Accounting Policies of Sujala Trading & Holdings Ltd. Company

Mar 31, 2025

Corporate Information:

Sujala Trading and Holdings Limited is a Company limited by shares, incorporated and domiciled in India. The Company is
primarily engaged in the business of investment in Share & Securities and registered with the RBI as Non-Banking Financial
Company and offers loans and other credit facilities and private funding etc. Equity shares of the Company are listed on BSE
Limited and The Calcutta Stock Exchange Limited. The registered office of the Company is located at 1A, Grant Lane, 2^nd
Floor, Room No: 202, Kolkata 700 012, West Bengal, India.

Note-2

Statement of Compliance and Recent Pronouncements:

Basis of Preparation and Compliance with Ind AS

The Company has adopted Indian Accounting Standards (referred to as “Ind AS”) notified under the Companies (Indian
Accounting Standards) Rules, 2015 (as amended) read with Section 133 of the Companies Act, 2013 (“the Act”) with effect
from April 1, 2017 and therefore Ind ASs issued, notified and made effective till the financial statements are authorized have
been considered for the purpose of preparation of these financial statements.

The Company has followed the provisions of Ind AS 101(Ind AS 101) in preparing its Ind AS Balance Sheet. In accordance
with Ind AS 101

Recent Pronouncements

In March 2017, Ministry of Corporate Affairs issued the Companies (Indian Accounting Standards) (Amendments) Rules,
2017, notifying amendments to the Ind AS 7 ‘Statement of Cash flows’ and Ind AS 102, ‘Share - Based Payment’ which are
applicable w.e.f. 1st April, 2017.

The amendment to Ind AS 7 “Statement of Cash Flows” requires the entities to provide disclosures that enable users of
financial statements to evaluate changes in liabilities arising from financing activities, including both changes arising from cash
flows and non-cash changes. The effect of this amendment on the financial statements of the Company is being evaluated.

Note-3

Significant Accounting Policy:

1. Basis of Accounting

The Financial Statements have been prepared under the historical cost convention excepting certain financial instruments which
are measured in terms of relevant Ind AS. The accounts have been prepared on the concept of going concern. All Assets and
Liabilities have been classified as current or non-current as per the operating cycle and other criteria set out in Ind AS 1
‘Presentation of Financial Statements’ and Schedule III to the Companies Act, 2013.

Further, the Company follows prudential norms for Income Recognition, assets classification and provisioning for Non¬
performing assets as well as contingency provision for Standard Assets as prescribed by the Reserve Bank of India (RBI) for
Non-Banking Financial Companies.

2. Inventories:

Inventories of shares and other trading goods are valued at cost computed on FIFO Basis or net realisable value, whichever is
lower.

3. Recognition of Income and Expenditure:

Income and expenditure are accounted for on accrual basis. Interest income is recognized on a time proportion basis taking into
account the amount outstanding and the rate applicable. Dividend income is recognized when the shareholder’s right to receive
payment is established by the balance sheet date.

4. Depreciation on Fixed Assets:

Depreciation on Fixed Assets has been provided based on useful life assigned to each asset prescribed in accordance with Part -
"C" of Schedule-II of the Companies Act, 2013.

5. Fixed Assets:

Fixed Assets are stated at cost less accumulated depreciation and impairment losses, if any. Cost comprises the purchase price
and any attributable cost of bringing the asset to its working condition for its intended use.

6.Impairment of Assets:

The carrying amounts of assets are reviewed at each balance sheet date if there is any indication of impairment based on
internal/external factors. An impairment loss is recognized wherever the carrying amount of an asset exceeds its recoverable
amount. The recoverable amount is the greater of the asset''s net selling price and value in use. In assessing the value in use, the
estimated future cash flows are discounted to their present value at the weighted average cost of capital.

After impairment, depreciation is provided on the revised carrying amount of the assets over its remaining useful life.

7.Financial Assets and Financial Liabilities:

Financial Assets and Financial Liabilities (financial instruments) are recognised when the Company becomes a party to the
contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the
acquisition or issue of financial assets and financial Liabilities (other than financial assets and financial liabilities at fair value
through profit or loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as app ropriate,
on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair
value through profit or loss are recognised immediately in the Statement of Profit and Loss.

The financial assets and financial liabilities are classified as current if they are expected to be realised or settled within operating
cycle of the company or otherwise these are classified as non-current.

The classification of financial instruments whether to be measured at Amortized Cost, at Fair Value through Profit and Loss
(FVTPL) or at Fair Value through Other Comprehensive Income (FVTOCI) depends on the objective and contractual terms to
which they relate. Classification of financial instruments are determined on initial recognition.

i. Cash and cash equivalents

All highly liquid financial instruments, which are readily convertible into determinable amounts of cash and which are
subject to an insignificant risk of change in value and are having original maturities of three months or less from the
date of purchase, are considered as cash equivalents. Cash and cash equivalents includes balances with banks which are
unrestricted for withdrawal and usage.

ii. Financial Assets and Financial Liabilities measured at amortised cost

Financial Assets held within a business whose objective is to hold these assets in order to collect contractual cash flows
and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding are measured at amortized cost.

iii. Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within
a business whose objective is achieved by both collecting contractual cash flows and selling financial assets and the
contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal

and interest on the principal amount outstanding. Subsequent to initial recognition, they are measured at fair value and
changes therein are recognised directly in other comprehensive income.

iv. Investment in Subsidiaries, Joint Ventures and Associates are being carried at deemed cost/at cost.

v. Impairment of financial assets

A financial asset is assessed for impairment at each balance sheet date. A financial asset is considered to be impaired if
objective evidence indicates that one or more events have had a negative effect on the estimated future cash flows of
that asset.

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Mar 31, 2024

Significant Accounting Policy:

1. Basis of Accounting

The Financial Statements have been prepared under the historical cost convention excepting certain financial instruments which are measured in terms of relevant Ind AS. The accounts have been prepared on the concept of going concern. All Assets and Liabilities have been classified as current or non-current as per the operating cycle and other criteria set out in Ind AS 1 ‘Presentation of Financial Statements’ and Schedule III to the Companies Act, 2013.

Further, the Company follows prudential norms for Income Recognition, assets classification and provisioning for Nonperforming assets as well as contingency provision for Standard Assets as prescribed by the Reserve Bank of India (RBI) for Non-Banking Financial Companies.

2. Inventories:

Inventories of shares and other trading goods are valued at cost computed on FIFO Basis or net realisable value, whichever is lower.

3. Recognition of Income and Expenditure:

Income and expenditure are accounted for on accrual basis. Interest income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable. Dividend income is recognized when the shareholder’s right to receive payment is established by the balance sheet date.

4. Depreciation on Fixed Assets:

Depreciation on Fixed Assets has been provided based on useful life assigned to each asset prescribed in accordance with Part -"C" of Schedule-II of the Companies Act, 2013.

5. Fixed Assets:

Fixed Assets are stated at cost less accumulated depreciation and impairment losses, if any. Cost comprises the purchase price and any attributable cost of bringing the asset to its working condition for its intended use.

6.Impairment of Assets:

The carrying amounts of assets are reviewed at each balance sheet date if there is any indication of impairment based on internal/external factors. An impairment loss is recognized wherever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the asset''s net selling price and value in use. In assessing the value in use, the estimated future cash flows are discounted to their present value at the weighted average cost of capital.

After impairment, depreciation is provided on the revised carrying amount of the assets over its remaining useful life.

7.Financial Assets and Financial Liabilities:

Financial Assets and Financial Liabilities (financial instruments) are recognised when the Company becomes a party to the contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial Liabilities (other than financial assets and financial liabilities at fair value through profit or loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair value through profit or loss are recognised immediately in the Statement of Profit and Loss.

The financial assets and financial liabilities are classified as current if they are expected to be realised or settled within operating cycle of the company or otherwise these are classified as non-current.

The classification of financial instruments whether to be measured at Amortized Cost, at Fair Value through Profit and Loss (FVTPL) or at Fair Value through Other Comprehensive Income (FVTOCI) depends on the objective and contractual terms to which they relate. Classification of financial instruments are determined on initial recognition.

i. Cash and cash equivalents

All highly liquid financial instruments, which are readily convertible into determinable amounts of cash and which are subject to an insignificant risk of change in value and are having original maturities of three months or less from the date of purchase, are considered as cash equivalents. Cash and cash equivalents includes balances with banks which are unrestricted for withdrawal and usage.

ii. Financial Assets and Financial Liabilities measured at amortised cost

Financial Assets held within a business whose objective is to hold these assets in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding are measured at amortized cost.

iii. Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business whose objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal

and interest on the principal amount outstanding. Subsequent to initial recognition, they are measured at fair value and changes therein are recognised directly in other comprehensive income.

iv. Investment in Subsidiaries, Joint Ventures and Associates are being carried at deemed cost/at cost.

v. Impairment of financial assets

A financial asset is assessed for impairment at each balance sheet date. A financial asset is considered to be impaired if objective evidence indicates that one or more events have had a negative effect on the estimated future cash flows of that asset.

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Mar 31, 2015

1. Basis Of Accounting

The Financial statements are prepared under historical cost convention, an an accrual basis and in accordance with relevant presentational requirements of the Companies Act, 2013 and the applicable mandatory Accounting Standards as prescribed under section 133 of Companies Act, 2013 read with rule 7 of the Companies (Accounts) Rules, 2014,

2. Inventories:

Inventories of shares are valued at cast computed on FIFO Basis nr fair value, which ever is lower.

3. Recognition of income and Expenditure ;

Income and expenditure are accounted for on accrual basis. Interest income is recognized on a time proportion basis taking ntb account the amount outstanding and the rate applicable. Dividend Income s recognized when the shareholder's rignt to receive payment is established by the balance sheet date.

4. Depreciation on Fhred Assets:

Depreciation on Fixed Assets has been provided based on useful life assignee to each asset prescribed m accordance with Part MC' of Schedule-!! of the Compames Act, 2013.

5. Fixed Assets:

Fixed Assets are stated at cost less accumulated depreciation and impairment losses, if any.

Cost comprises the purchase price and any attributable cost of bringing the asset to its working condit on for its intended use.

6. Impairment of Assets

. The carrying amounts of assets are reviewed at each balance sheet date if there S any indication of impairment based on Intcrnal/externai factors. An impalmtent loss is recognized wherever the carrying annoLint of an asset exceeds its recoverable amount.

E The recoverable amount is the greater of the asset's net selling price end value in use. in assessing the value in use, the estimated future cash flows are discounted :o their u Op £ present value at the weighted average cost of capita:, ii After impairment, depreciation is provided on the revised carrying amount of the assest value.

7. INVESTMENTS

investments that are readily realizable and intended to be held tor rot more then a year are classified as Current Investments. All other Investments are classified as Non Current Investments. Current Investments are stated at lower of cost and market rate on an mdivicual investment basis. Non Current Investments are considered 'at cost' on individual investment basis, unless there is a decline other than temporary in the value, in which case adequate provision is made against such diminution in the value of investments.

8. Earning per share:

Earnings per share are calculated by dividing the net profit or loss for the year attributable to equity shareholdc's, by the weighted average number of equty shares outstanding during the year.

Far the purpose of calculating diluted earnings per sha-'e, the net profit or loss for the year attributable to equity shareholders and weighted average number of shares outstanding during the year is adjusted for the effects ct all dilutive potential equity shares.

9. Ptgvifripn and Deferred Tan ;

The Provision for current tax is made after taking into consideration benefits admissible under the provisions of the Income Tax Act, 1961.

Deferred rax resulting from Timings difference" between book and taxable profit Is accounted for using the tax rates and laws that have been enacted or substantially enacted as on the Balance Sheet date, lbe Deferred Tax Asset is recognized and earned forward o-nly to the extent that there is a reasonable certainty that the assets will be realized in future.

10 Contingencies!

These are disclosed ay way of notes on the Balance sheet. Provisions is made in the accounts in respect of those contingencies winch are likely to materialize into liabilities after the year end , ti I the finalization of accounts, and material effect on the position stated Balance Sheet .

11. PROVISIONING FOR STANDARD ASSETS :

The Reserve Btink Of India vide Notification No DNSS 223/GSM (US) 2011 DATED T - JANUARY, 2011 has issued direction to all NBFCs to make provision of 0.25% on STANDARD ASSETS with immedate effect. Accordingly the Company has made provision

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Mar 31, 2014

1. Basis of Accounting ;

The financial statements are prepared under historical cost convention , on an accrual basis and in accordance with the generally accepted accounting principles in India , tne applicable mandatory Accounting Standards as notified by the Companies ( Accounting Standard ) Rules , 2006 and the relevant provisions of the Companies Act, 1956.

2. Inventories:

Inventories of shares are valued at Cost computed on FIFO Basis or fair value, which ever is lower,

3. Reconition Of Income and Expenditure;

Income and expenditure are accounted for on accrual basis, Interest income Is -ccognized on a sne proportion btisia Lakiuy into dULUUin die amount outstanding and the rate appl cable. Dividend income is recognized when the shareholder's right to receive payment Is established by the balance sheet date.

4. Depreciation Oft Fixed Assets:

Depreciation has been provided on written down vaiyy method at the rates and in the manner orescribed in schedule XIV of the Companies Act, 1956,

5. Fixed Assets:

Fixed Assets are stated at cost ess accumulated depreciation and impairment losses, ir any. cost comprises rne purchase price and any attributable cost of bringing the asset to its working condition for its intended use,

6. impairment ot Assets:

1. The carrying amounts of assets are reviewed at each balance sheet date if there is any Indication af impairment based on internai/external factors An impairment loss is recognized wherever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of die asset's net selling price and value In use. In assessing the value n use, the estimated future cash Flows are discounted to their present value at the weighted average cost of capital.

II. After impairment, depreciation is orovided on the revised carrying amount the assets over its remaining useful life.

7. Investment:

Investments that are readily realizable ard intended to be held for not more than a year are classified as Current Investments. AH other Investments are classified as Non Current Investments, Current Investments are stated at lower of cost and market rate on ar. individual Investment basis. Non Current Investments are considered at cost' on individual investment basis, unless there Is a decline other than temporary in the value, in which case adequate provision is made against such diminution In the value of Investments.

8. Earinig as get share:

r Earnings per share is calculated by dividing the net profit or less for the year attributable to equity shareholders, by the welghtec average number of equity shares outstanding during the year,

For the purpose of calculating diluted earnings per snare, me net profit or less tor

the year attrlhutahle to prinlly shareholders and weighted average number oF shares outstanding during the year is adjusted for the effects of all dilutive potential equity shares.

9. Provision and Deferred Tatto

The Provision for current tax is made after taking into consideration benefits admissible under the provisions of the Income Tax Art, 1561.

Deferred lax resulting from '"timings difference" between book and taxable profit Is accounted for using the tax rates and laws, that nave been enacted or substantially enacted as on the Balance Sheet date. The Deferred Tax Asset Is recognized and carried forward only to thy extent that there is a reasgnatile certainty mat me assets will he realized In future.

10. Contingencies:

Tltese are disclosed by way af notes or, the Balance sheet. Provisions is made In the accounts In respect of these contingencies which are likely to materialize into liabilities after the year end , till the finalization of accounts and material effect on the positron stated in the Balance Sheet .

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Mar 31, 2012

1. Basis of Accounting :

The financial statements are prepared under historical cost convention , on an accrual basis and in accordance with the generally accepted accounting principles in India , the applicable mandatory Accounting Standards as notified by the Companies ( Accounting Standard ) Rules , 2006 and the relevant provisions of the Companies Act , 1956.

2. Inventories:

Inventories of shares are valued at cost computed on FIFO Basis or fair value, which ever is lower.

3. Recognition of Income and Expenditure :

Income and expenditure are accounted for on accrual basis . Interest income is recognized on a time proportion basis taking into account the amount outstanding and the rate applicable. Dividend income is recognized when the shareholder''s right to receive payment is established by the balance sheet date.

4. Depreciation on Fixed Assets:

Depreciation has been provided on written down value method at the rates and in the manner prescribed in schedule XIV of the Companies Act, 1956.

5. Fixed Assets:

Fixed Assets are stated at cost less accumulated depreciation and impairment losses, if any. Cost comprises the purchase price and any attributable cost of bringing the asset to its working condition for its intended use.

6. Impairment of Assets:

I. The carrying amounts of assets are reviewed at each balance sheet date if there is any indication of impairment based on internal/external factors. An impairment loss is recognized wherever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the asset''s net selling price and value in use. In assessing the value in use, the estimated future cash flows are discounted to their present value at the weighted average cost of capital.

II. After impairment, depreciation is provided on the revised carrying amount of the assets over its remaining useful life.

7. Earnings per share:

* Earnings per share is calculated by dividing the net profit or loss for the year attributable to equity shareholders, by the weighted average number of equity shares outstanding during the year.

* For the purpose of calculating diluted earnings per share, the net profit or loss for the year attributable to equity shareholders and weighted average number of shares outstanding during the year is adjusted for the effects of all dilutive potential equity shares.

8. Provision and Deferred Tax :

The Provision for current tax is made after taking into consideration benefits admissible under the provisions of the Income Tax Act, 1961.

Deferred Tax resulting from "timings difference" between book and taxable profit is accounted for using the tax rates and laws that have been enacted or substantially enacted as on the Balance Sheet date. The Deferred Tax Asset is recognized and carried forward only to the extent that there is a reasonable certainty that the assets will be realized in future.

9. Contingencies:

These are disclosed by way of notes on the Balance sheet. Provisions is made in the accounts in respect of those contingencies which are likely to materialize into liabilities after the year end , till the finalization of accounts and material effect on the position stated in the Balance Sheet .

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Mar 31, 2011

1. Accounting Conventions

The financial Statements are prepared on Historical Cost Convention. Financial Statements are prepared in accordance with relevant presentational requirements of the Companies Act 1956 and applicable mandatary accounting standards

2. Fixed Assets

Fixed Assets are stated at Cost less Depreciation.

3. Depreciation

Depreciation on Fixed Assets are provided on Written Down Value Method at the rates and in the manner as prescribed in the schedule XIV to the Companies Act, 1956

A. Inventories

Inventories of Quoted Shares are valued at lower of Cost or Market Value. Unquoted Shares are valued at Cost.

5. Recongnition of Income & Expenditure

Income & Expenditure are accounted for on accrual basis.

6. Contingent Liabilities

Contingent LiabiIity, if any, is disclosed by way of note in the account.

7. Taxes on Income

Current Tax is determined as tie amount of tax payable in respect of taxable income for tire year Deferred Tax is recognised, subject to cons deration of prudence, in respect of deferred tax assets / liabilities on timing difference, being the difference between taxable income and accounting income that originated in one period and capable of reversal in one or more periods,

8- Segment Accounting

The Company is engaged in the business of Non-Banking Financial Services and there are no separate reportable segments as per the accounting standard -17 issued by the Institue of Chartered Accountants of India

9. Retirement Benefits

Retirement Benefits are not provided for in the books. It is provided as and when it arises.