Notes to Accounts of Tainwala Chemicals & Plastics (India) Ltd.

Mar 31, 2025

(l) Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event and it is
probable that an outflow of resources, that can be reliably estimated, will be required to settle such an obligation.

If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows to net
present value using an appropriate pre-tax discount rate that reflects current market assessments of the time value of money and,
where appropriate, the risks specific to the liability. Unwinding of the discount is recognised in the Statement of Profit and Loss as a
finance cost. Provisions are reviewed at each reporting date and are adjusted to reflect the current best estimate.

A present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle
or a reliable estimate of the amount cannot be made, is disclosed as a contingent liability. Contingent liabilities are also disclosed
when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non -
occurrence of one or more uncertain future events not wholly within the control of the Company.

Claims against the Company where the possibility of any outflow of resources in settlement is remote, are not disclosed as contingent
liabilities.

Contingent assets are not recognised in financial statements since this may result in the recognition of income that may never be
realised. However, when the realisation of income is virtually certain, then the related asset is not a contingent asset and is
recognised.

(m) Borrowing costs

Borrowing costs are interest and other costs that the Company incurs in connection with the borrowing of funds and is measured
with reference to the effective interest rate (EIR) applicable to the respective borrowing.

Borrowing costs, allocated to qualifying assets, pertaining to the period from commencement of activities relating to construction /
development of the qualifying asset up to the date of capitalisation of such asset are added to the cost of the assets. Capitalisation of
borrowing costs is suspended and charged to the Statement of Profit and Loss during extended periods when active development
activity on the qualifying assets is interrupted.

All other borrowing costs are recognised as an expense in the period which they are incurred.

(n) Segment Reporting - Identification of Segments

An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur
expenses, whose operating results are regularly reviewed by the company''s chief operating decision maker to make decisions for
which discrete financial information is available. Based on the management approach as defined in Ind AS 108, the chief operating
decision maker evaluates the Company''s performance and allocates resources based on an analysis of various performance indicators
by business segments and geographic segments.

(o) Earnings per share
Basic earnings per share

Basic earnings per share is calculated by dividing:

- the profit attributable to owners of the company

- by the weighted average number of equity shares outstanding during the financial year, adjusted for bonus elements in equity
shares issued during the year

Diluted earnings per share

Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account:

- the after income tax effect of interest and other financing costs associated with dilutive potential equity

- the weighted average number of additional equity shares that would have been outstanding assuming the conversion of all dilutive
potential equity shares.

(p) Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and short-term deposits with an original maturity
of three months or less, which are subject to an insignificant risk of changes in value.

For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and short-term deposits, as defined above,
net of outstanding bank overdrafts as they are considered an integral part of the Company''s cash management.

(q) Current/non current classification

The Company presents assets and liabilities in the balance sheet based on current/ non-current classification. An asset is treated as
current when it is:

- Expected to be realised or intended to be sold or consumed in normal operating cycle

- Held primarily for the purpose of trading

- Expected to be realised within twelve months after the reporting period, or

- Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the
reporting period

All other assets are classified as non-current.

A liability is current when:

- It is expected to be settled in normal operating cycle

- It is held primarily for the purpose of trading

- It is due to be settled within twelve months after the reporting period, or

- There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

The Company classifies all other liabilities as non-current.

Deferred tax assets and liabilities are classified as non-current assets and liabilities.

The operating cycle is the time between the acquisition of assets for processing and their realisation in cash and cash equivalents.
The company has identified twelve months as its operating cycle.

(r) Dividends

Provision is made for the amount of any dividend declared, being appropriately authorised and no longer at the discretion of the
entity, on or before the end of the reporting period but not distributed at the end of the reporting period.

(s) Rounding of amounts

All amounts disclosed in the financial statements and notes have been rounded off to the nearest Lakh as per the requirement of
Schedule III, unless otherwise stated.

3 Significant accounting judgements, estimates and assumptions

The preparation of these financial statements in conformity with the recognition and measurement principles of Ind AS requires the
management of the Company to make estimates and assumptions that affect the reported balances of assets and liabilities,
disclosures relating to contingent liabilities as at the date of the financial statements and the reported amounts of income and
expense for the periods presented.

This note provides an overview of the areas that involved a higher degree of judgement or complexity, and of items which are more
likely to be materially adjusted due to estimates and assumptions turning out to be different than those originally assessed. Detailed
information about each of these estimates and judgements is included in relevant notes together with information about the basis of
calculation for each affected line item in the financial statements.

Critical estimates and judgements

(i) Estimation of net realizable value for inventory

Inventory is stated at the lower of cost and net realizable value (NRV).

NRV for completed inventory is assessed by reference to market conditions and prices existing at the reporting date and is
determined by the Company, based on comparable transactions identified.

(ii) Impairment of non - financial assets

The Company assesses, at each reporting date, whether there is an indication that an asset may be impaired. If any indication exists,
or when annual impairment testing for an asset is required, the Company estimates the asset''s recoverable amount. An asset''s
recoverable amount is the higher of an asset''s or cash-generating unit''s (CGU) fair value less costs of disposal and its value in use.
Recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely
independent of those from other assets or groups of assets. When the carrying amount of an asset or CGU exceeds its recoverable
amount, the asset is considered impaired and is written down to its recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that
reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs
of disposal, recent market transactions are taken into account. If no such transactions can be identified, an appropriate valuation
model is used.

(iii) Recoverability of trade receivables

In case of trade receivables, the Company follows the simplified approach permitted by Ind AS 109 - Financial Instruments for
recognition of impairment loss allowance. The application of simplified approach does not require the Company to track changes in
credit risk. The Company calculates the expected credit losses on trade receivables using a provision matrix on the basis of its
historical credit loss experience.

(iv) Useful lives of property, plant and equipment/intangible assets

The Company reviews the useful life of property, plant and equipment/intangible assets at the end of each reporting period. This
reassessment may result in change in depreciation expense in future periods.

(v) Defined benefit plans

The cost of the defined benefit gratuity plan and other post-employment medical benefits and the present value of the gratuity
obligation are determined using actuarial valuations. An actuarial valuation involves making various assumptions that may differ from
actual developments in the future. These include the determination of the discount rate, future salary increases and mortality rates.
Due to the complexities involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes
in these assumptions. All assumptions are reviewed at each reporting date.

Thefinancial statements of the Company have been prepared in accordance with Indian Accounting Standards (Ind AS) notified under
the Companies (Indian Accounting Standards) Rules, 2015 as amended by the Companies (Indian Accounting Standards)(Amendment)
Rules, 2016 and the relevant provisions of the Companies Act, 2013 ("the Act").

(i) Leave Obligations

The leave obligations cover the Company''s liability for sick and earned leave.

The amount of the provision of INR 1.12 lakhs (March 31, 2024: INR 2.19 lakhs) is presented as current, since the company does not have an
unconditional right to defer settlement for any of these obligations.

(ii) Post Employment obligations
a) Gratuity

The Company provides for gratuity for employees in India as per the Payment ofGratuity Act, 1972. Employees who are in continuous service
for a period of five years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees last drawn
basic salary per month computed proportionately for 15 days salary multiplied by number of years of service.

The gratuity plan is an unfunded plan.

Finance Income and Cost, and fair value gains and losses on financial assets are not allocated to individual segments as the underlying
instruments are managed.

Current Taxes, deferred Taxes and certain financial assets and liabilites are not allocted to those segments as they are alos managed
on a group basis.

Revenue form Major Customers

Revenue from one customer amounted to INR 221.12 Lakhs ( March 31 2024 INR 148.42 Lakhs ), arising from sales in the Plastic Sheets
Segments.

The management assessed that the fair value of cash and cash equivalent, trade receivables, trade payables, and other current financial assets and liabilities approximate their carrying
amounts largely due to the short term maturities of these instruments.

The fair values of the equity and debt investment which are quoted are derived from the quoted market price in active markets.

The fair value of the financials instruments that are not traded in an active market that is i.e. are unquoted is determined using net asset valuation techniques where managemnet has
considered the net book value of the investee Companies at the reporting date based on the latest available audited financials statements. The net book values have been arived at by
dividing the value of asset less liabilities by numbers of equity shares.

The fair values for loans and other non current financial assets were calculated based on cash flows discounted using a current lending rate. They are classified as level 3 fairvalues in the
Fair value hierarchy due to the inclusion of unobservable inputs including counterparty credit risk.

Thefair values of non current borrowings are based on discounted cash flows using a current borrowing rate. They are classified as level 3 fairvalues in thefairvalue hierarchy due tothe
use of unobservable inputs, including own credit risk.

39. FINANCIAL RISK MANAGEMENT

The Company''s activity exposes it to market risk, liquidity risk and credit risk. Company''s overall risk management focuses on the unpredictability of financial markets and seeks to
minimise potential adverse effects on the financial performance of the company. This note explains the sources of risk which the entity is exposed to and how the company manages
the risk.

(A) Credit risk

Credit risk is the risk that the counterparty will not meet its obligations leading to a financial loss. Credit risk arises from cash and cash equivalents, financial assets carried at
amortised cost and deposits with banks and financial institutions, as well as credit exposures to customers including outstanding receivables.

i. Credit risk management

Credit risk has always been managed by the Company through credit approvals, establishing credit limits and continuously monitoring the creditworthiness of customers to which the
company grants credit terms in the normal course of business.

The company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each
reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk
of default as at the date of initial recognition. It considers available reasonable and supportive forwarding-looking information.

In general, it is presumed that credit risk has significantly increased since initial recognition if the payments are more than 30 days past due.

A default on a financial asset is when the counterparty fails to make contractual payments of when they fall due. This definition of default is determined by considering the business
environment in which entity operates and other macro-economic factors.

ii. Provision for expected credit losses

The Company follows ''simplified approach'' for recognition of loss allowance on Trade receivables.

As a practical expedient, the Company uses a provision matrix to determine impairment loss allowance on portfolio of its trade receivables. The provision matrix is based on its
historicallyobserved default rates overthe expected life ofthe trade receivables and is adjusted forforward-lookingestimates. At every reportingdate, the historical observed default
rates are updated and changes in the forward-looking estimates are analyzed.

(B) Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The Company manages its liquidity risk by ensuring, as far as possible,
that it will always have sufficient liquidity to meet its liabilities when due. The Company consistently generated sufficient cash flows from operations to meet its financial obligations.

Managementmonitors rollingforecasts ofthe Company''s liquidity position (comprising the undrawn borrowingfacilities) and cash and cash equivalents on the basis ofexpected cash
flows. In addition, the company''s liquidity management policy involves projecting cash flows and considering the level of liquid assets necessary to meet these, monitoring balance
sheet liquidity ratios against internal and external regulatory requirements.

Maturities of financial liabilities

The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay. In the table
below, borrowings includes both interest and principal cash flows. To the extent that interest rates are floating rate, the undiscounted amount is derived from interest rate curves at
the end of the reporting period.

41. OTHER STATUTORY DISCLOSURE

i. The title deeds of all the immovable properties (other than properties where the Company is the lessee and the lease
agreements are duly executed in favour of the lessee) as disclosed in the financial statements are held in the name of the
Company.

ii. The Company does not have any fixed assets which are revalued, therefore the disclosure regarding the reconciliation of
the gross and net carrying amount of each class of assets at the beginning and end of the reporting period is not applicable
to us. The Company has not acquired any asset through business combination, thus disclosures related to assets acquired
through business combination is not disclosed thereof.

iii. The Company does not hold any project in progress or any suspended project as on the reporting date, thus the Capital
work in progress ageing schedule is not applicable to us.

iv. The Company does not have any Intangible assets under development stage, therefore disclosures and ageing related to
those are not applicable to us.

v. The Company does not have any Benami property, where any proceeding has been initiated or pending against the
Company for holding any Benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1998) and the rules
made thereunder.

vi. The Company does not have any borrowings from Banks and Financial Institutions against any current assets and that are
used for any other purpose other than the specific purpose for which it was taken at the reporting balance sheet date.

vii. The Company has not entered into any transaction with the Companies Struck off under section 248 of the Companies
Act, 2013 or Section 560 of Companies Act, 1956 during the concerned financial year.

viii. The Company is not declared as a wilful defaulter by any Bank or Financial Institution or other lender during the any
reporting period.

ix. The Company does not have any credit facility with Bank or Financial Institute and the Company was not required to file
any form with Registrar of Companies (ROC) related to creation/ modification and Satisfaction of charge during the
concerned financial year.

x. The company does not have any subsidiaries as per clause (87) of section 2 of the Act read with Companies (Restriction
on number of Layers) Rules, 2017.

xi. There are no schemes or arrangements which have been approved by the Competent Authority in terms of sections 230
to 237 of the Companies Act, 2013 during the reporting periods.

xii. The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign
entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of
the Company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

xiii. The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party)
with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of
the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

xiv. The Company does not have any transaction which is not recorded in the books of accounts that has been surrendered
or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or
any other relevant provisions of the Income Tax Act, 1961).

xv. The company does not fall under the provision of section 135 of the Companies Act, 2013, hence the CSR disclosure is
not applicable to the Company.

xvi. The Company has not traded or invested in Crypto currency or Virtual Currency during reporting period.

xvii. There has been no Scheme of Arrangements that has been approved by the Competent Authority in terms of sections
230 to 237 of the Companies Act, 2013.

44. OTHERS

1. The balances in accounts of certain trade receivables, trade payables and loans and advances given are subject to confirmation and consequent reconciliations. Adjustments
in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

2. The management based on their review of assets and operation of the Company has determined the market value that there is no indication of potential impairment and
that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly, no provision for impairment has been considered necessary as at March 31,
2025.

45. Figures of the previous year have been regrouped, reclassified and/or rearranged wherever necessary.

Significant Accounting Policies and Notes forming 1 to 45

part of the Financial Statements
As per our report of even date attached

For GMJ & Co For and on behalf of the Board of Directors

Chartered Accountants
Firm Registration No. 103429W

Sd/- Sd/- Sd/-

CA. Haridas Bhat Ramesh Tainwala Upasana Babel

Partner Managing Director Director & CFO

Membership No. 039070 (DIN: 00234109) (DIN: 10625478)

Sd/-

UDIN: 25039070BMHZLF6308 Divya Saboo

Place: Mumbai Place: Mumbai Company Secretary

Date: May 22, 2025_Date: May 22, 2025_(ACS A72994)

---

Mar 31, 2024

# Investment in unquoted security instrument of investee Company (viz Samsonite South Asia Private Limited) is carried at fair value through other comprehensive income at each reporting date. The Management has considered the net book value of the investee Company at the reporting date based on the latest available audited financial statements as on 31st December, 2022. The net book values have been arrived at by dividing values of assets less liabilities by number of equity shares. The management is of the opinion that the methodology adopted for fair valuation of this instrument is in line with Ind AS 113 on Fair Value Measurement.

Terms/rights attached to equity shares

The Company has only one class of equity shares having par value of INR 10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees.

In the event of liquidation of the Company, the shareholders will be entitled in proportion to the number of equity shares held by them to receive remaining assets of the Company, after distribution to those it was secured.

The shareholders have all other rights as available to equity shareholders as per the provisions of the Companies Act ,2013, read together with the Memorandum of Association and Articles of Association of the Company, as applicable.

iv. Aggregate number of equity shares issued as bonus, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date - NIL

v. None of the above shares are reserved for issue under options/contract/commitments for sale of shares or disinvestments.

vi. The Company does not have any holding company.

(i) Leave Obligations

The leave obligations cover the Company''s liability for sick and earned leave.

The amount of the provision of INR 2.19 lakhs (March 31, 2023: INR 2.83 lakhs) is presented as current, since the company does not have an unconditional right to defer settlement for any of these obligations.

(ii) Post Employment obligations a) Gratuity

The Company provides for gratuity for employees in India as per the Payment ofGratuity Act, 1972. Employees who are in continuous service for a period of five years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied by number of years of service.

The sensitivity analysis above have been determined based on a method that extrapolates the impact on defined benefit obligation as a result of reasonable changes in key assumptions occurring at the end of the reporting period.

The average duration of the defined benefit plan obligation at the end of the reporting period is 8.97 years (March 31, 2023: 10.17 years) b) Defined contribution plans

The company also has defined contribution plans. Contributions are made to provident fund/pension fund in India for employees as per regulations. The contributions are made to registered provident fund/pension fund administered by the government. The obligation of the Company is limited to the amount contributed and it has no further contractual nor any constructive obligation. The expense recognised during the period towards defined contribution plan is INR 5.95 Lakhs (March 31, 2023: INR 8.75 Lakhs).

(INR in Lakhs)
34. COMMITMENTS AND CONTINGENCIES
A. Commitments
Capital Commitments
Capital commitment contracted for at the end of the reporting period but not recognised as liabilities is as follows:
Particulars	March 31, 2024	March 31, 2023
Capital commitment in respect of non current investments	59.33	67.00
B. Contingent Liabilities	March 31, 2024	March 31, 2023
Bank Guarantee
For Material	26.54	26.54
For Electricity Deposit- Factory	6.70	6.70
	33.24	33.24

(iii) Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with related parties during the year:

Remuneration Includes, paid to Rakesh Tainwala INR 0 (Previous Year INR 112.30)

There is no material Related party transaction in Financial Year 2023-24.

Loan repayment from Abhishri Packaging Private Limited INR 201.89 (Repayment in Previous year INR 200)

Interest income is from Abhishri Packaging Private Limited INR 7.93 (Previous Year INR 24.30)

(v) Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with related parties during the year:

Loan balance as at year end- given to Abhishri Packaging Private Limited is NIL (Previous Year INR 201.89)

Receivable as at year end (fully provided for loss allowance) relates to Tainwala Holdings Private Limited INR 391.16 (Previous Year INR 391.16 )

(vi) Terms and conditions of transactions with related parties

The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm''s length transactions. Outstanding balances at the year end are unsecured and interest free and settlement occurs in cash. There have been no guarantees provided or received for any related party receivables and payables. For the year ended March 31, 2024, the loss allowance on amount receivable from related party is INR 391.16 (Previous year : INR 391.16). This assessment is undertaken each financial year through examining the financial position of the related party and market in which the related party operates.

A. For management purposes, the Company is organised into business units based on its products and services and has two reportable segments, as follows:

Plastic Sheets Tradeable Items

No operating segments have been aggregated to form the above reportable operating segment

The Managing Director (MD) monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements. Also, the Company''s financing (including finance costs and finance income) and income taxes are managed on a Group basis and are not allocated to operating segments.

Finance Income and Cost, and fair value gains and losses on financial assets are not allocated to individual segments as the underlying instruments are managed.

Current Taxes, deferred Taxes and certain financial assets and liabilites are not allocted to those segments as they are alos managed on a group basis.

Revenue form Major Customers

Revenue from one customer amounted to INR 148.42 Lakhs ( March 31 2023 INR 49.44 Lakhs ), arising from sales in the Plastic Sheets Segments.

The management assessed that the fair value of cash and cash equivalent, trade receivables, trade payables, and other current financial assets and liabilities approximate their carrying amounts largely due to the short term maturities of these instruments.

The fair values of the equity and debt investment which are quoted are derived from the quoted market price in active markets.

The fair value of the financials instruments that are not traded in an active market that is i.e. are unquoted is determined using net asset valuation techniques where managemnet has considered the net book value of the investee Companies at the reporting date based on the latest available audited financials statements. The net book values have been arived at by dividing the value of asset less liabilities by numbers of equity shares.

The fair values for loans and other non current financial assets were calculated based on cash flows discounted using a current lending rate. They are classified as level 3 fair values in the Fair value hierarchy due to the inclusion of unobservable inputs including counterparty credit risk.

The fair values of non current borrowings are based on discounted cash flows using a current borrowing rate. They are classified as level 3 fair values in the fair value hierarchy due to the use of unobservable inputs, including own credit risk._

There have been no transfers among Level 1, Level 2 and Level 3 during the period Level 1 - Level 1 hierarchy includes financial instruments measured using quoted prices.

Level 2 - The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates.

Level 3 - If one or more of the significant inputs are not based on observable market data, the instrument is included in level 3.

iii. Valuation technique used to determine fair value

Specific Valuation techniques used to value financial instruments include:

- the use of quoted market prices or dealer quotes for similar instruments

- the use of Breakup value/net asset value for unquoted equity instruments

- the fair value of the remaining financial instruments is determined using discounted cash flow analysis

iv. Valuation inputs and relationships to fair value

The significant unobservable inputs used in the fair value measurement categorised within Level 3 of the fair value hierarchy together with a quantitative sensitivity analysis as at March 31, 2024 and March 31, 2023 are shown as below:

v. Valuation processes

The finance department of the Company includes a team that performs the valuations of financial assets and liabilities required for financial reporting purposes, including level 3 fair values. This team reports directly to the Chief Financial Officer (CFO) and the Audit Committee. Discussions of valuation processes and results are held between the CFO, audit committee and the valuation team regularly.

39. FINANCIAL RISK MANAGEMENT

The Company''s activity exposes it to market risk, liquidity risk and credit risk. Company''s overall risk management focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the financial performance of the company. This note explains the sources of risk which the entity is exposed to and how the company manages the risk.

(A) Credit risk

Credit risk is the risk that the counterparty will not meet its obligations leading to a financial loss. Credit risk arises from cash and cash equivalents, financial assets carried at amortised cost and deposits with banks and financial institutions, as well as credit exposures to customers including outstanding receivables.

i. Credit risk management

Credit risk has always been managed by the Company through credit approvals, establishing credit limits and continuously monitoring the creditworthiness of customers to which the company grants credit terms in the normal course of business.

The company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forwarding-looking information.

In general, it is presumed that credit risk has significantly increased since initial recognition if the payments are more than 30 days past due.

A default on a financial asset is when the counterparty fails to make contractual payments of when they fall due. This definition of default is determined by considering the business environment in which entity operates and other macro-economic factors.

ii. Provision for expected credit losses

The Company follows ''simplified approach'' for recognition of loss allowance on Trade receivables.

As a practical expedient, the Company uses a provision matrix to determine impairment loss allowance on portfolio of its trade receivables. The provision matrix is based on its historically observed default rates over the expected life of the trade receivables and is adjusted for forward-looking estimates. At every reporting date, the historical observed default rates are updated and changes in the forward-looking estimates are analyzed.

(B) Liquidity risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The Company manages its liquidity risk by ensuring, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due. The Company consistently generated sufficient cash flows from operations to meet its financial obligations. Also, the Company has unutilized credit limits with banks.

Management monitors rolling forecasts of the Company''s liquidity position (comprising the undrawn borrowing facilities) and cash and cash equivalents on the basis of expected cash flows. In addition, the company''s liquidity management policy involves projecting cash flows and considering the level of liquid assets necessary to meet these, monitoring balance sheet liquidity ratios against internal and external regulatory requirements.

Maturities of financial liabilities

The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay. In the table below, borrowings includes both interest and principal cash flows. To the extent that interest rates are floating rate, the undiscounted amount is derived from interest rate curves at the end of the reporting period.

(C) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of change in market prices. Market risk comprises three types of risk: foreign currency risk, interest rate risk and other price risk such as commodity risk.

(i) Foreign currency risk

Foreign currency risk is the risk of impact related to fair value or future cash flows of an exposure in foreign currency, which fluctuate due to changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the import of goods.

The Company evaluates exchange rate exposure arising from foreign currency transactions and follows established risk management policies and standard operating procedures to mitigate the risks.

(ii) Interest rate risk

The Company primarily borrows funds under fixed interest rate arrangements with banks and financial institutions and therefore the Company is not exposed to interest rate risk.

(iii) Price risk

The Company is not significantly exposed to changes in the prices of commodities/equity instruments.

41. OTHER STATUTORY DISCLOSURE

i. The title deeds of all the immovable properties (other than properties where the Company is the lessee and the lease agreements are duly executed in favour of the lessee) as disclosed in the financial statements are held in the name of the Company.

ii. The Company does not have any fixed assets which are revalued, therefore the disclosure regarding the reconciliation of the gross and net carrying amount of each class of assets at the beginning and end of the reporting period is not applicable to us. The Company has not acquired any asset through business combination, thus disclosures related to assets acquired through business combination is not disclosed thereof.

iii. The Company does not hold any project in progress or any suspended project as on the reporting date, thus the Capital work in progress ageing schedule is not applicable to us.

iv. The Company does not have any Intangible assets under development stage, therefore disclosures and ageing related to those are not applicable to us.

v. The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1998) and the rules made thereunder.

vi. The Company does not have any borrowings from Banks and Financial Institutions against any current assets and that are used for any other purpose other than the specific purpose for which it was taken at the reporting balance sheet date.

vii. The Company has not entered into any transaction with the Companies Struck off under section 248 of the Companies Act, 2013 or Section 560 of Companies Act, 1956 during the concerned financial year.

viii. The Company is not declared as a wilful defaulter by any Bank or Financial Institution or other lender during the any reporting period.

ix. The Company does not have any credit facility with Bank or Financial Institute and he Company was not required to file any form with Registrar of Companies (ROC) related to creation/ modification and Satisfaction of charge during the concerned financial year.

x. The company does not have any subsidiaries as per clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017.

xi. There are no schemes or arrangements which have been approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013 during the reporting periods.

xii. The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

xIII. The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

xIv. The Company does not have any transaction which Is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961).

xv. The company does not fall under the provision of section 135 of the Companies Act, 2013, hence the CSR disclosure Is not applicable to the Company.

xvI. The Company has not traded or invested in Crypto currency or Virtual Currency during reporting period.

xvII. There has been no Scheme of Arrangements that has been approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013.

The information has been given in respect of such vendors to the extent they could be identified as "Micro and Small” enterprises on the basis o'' information available with the Company.

44. OTHERS

1. The balances in accounts of certain trade receivables, trade payables and loans and advances given are subject to confirmation and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

2. The management based on their review of assets and operation of the Company has determined the market value that there is no indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly, no provision for impairment has been considered necessary as at March 31, 2024.

45. Figures of the previous year have been regrouped, reclassified and/or rearranged wherever necessary.

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Mar 31, 2023

(l) Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event and it is probable that an outflow of resources, that can be reliably estimated, will be required to settle such an obligation.

If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows to net present value using an appropriate pre-tax discount rate that reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability. Unwinding of the discount is recognised in the Statement of Profit and Loss as a finance cost. Provisions are reviewed at each reporting date and are adjusted to reflect the current best estimate.

A present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle or a reliable estimate of the amount cannot be made, is disclosed as a contingent liability. Contingent liabilities are also disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non -occurrence of one or more uncertain future events not wholly within the control of the Company.

Claims against the Company where the possibility of any outflow of resources in settlement is remote, are not disclosed as contingent liabilities.

Contingent assets are not recognised in financial statements since this may result in the recognition of income that may never be realised. However, when the realisation of income is virtually certain, then the related asset is not a contingent asset and is recognised.

(m) Borrowing costs

Borrowing costs are interest and other costs that the Company incurs in connection with the borrowing of funds and is measured with reference to the effective interest rate (EIR) applicable to the respective borrowing.

Borrowing costs, allocated to qualifying assets, pertaining to the period from commencement of activities relating to construction / development of the qualifying asset up to the date of capitalisation of such asset are added to the cost of the assets. Capitalisation of borrowing costs is suspended and charged to the Statement of Profit and Loss during extended periods when active development activity on the qualifying assets is interrupted.

All other borrowing costs are recognised as an expense in the period which they are incurred.

(n) Segment Reporting - Identification of Segments

An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the company''s chief operating decision maker to make decisions for which discrete financial information is available. Based on the management approach as defined in Ind AS 108, the chief operating decision maker evaluates the Company''s performance and allocates resources based on an analysis of various performance indicators by business segments and geographic segments.

(o) Earnings per share Basic earnings per share

Basic earnings per share is calculated by dividing:

- the profit attributable to owners of the company

- by the weighted average number of equity shares outstanding during the financial year, adjusted for bonus elements in equity shares issued during the year

Diluted earnings per share

Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account:

- the after income tax effect of interest and other financing costs associated with dilutive potential equity

- the weighted average number of additional equity shares that would have been outstanding assuming the conversion of all dilutive potential equity shares.

(p) Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and short-term deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in value.

For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and short-term deposits, as defined above, net of outstanding bank overdrafts as they are considered an integral part of the Company''s cash management.

(q) Current/non current classification

The Company presents assets and liabilities in the balance sheet based on current/ non-current classification. An asset is treated as current when it is:

- Expected to be realised or intended to be sold or consumed in normal operating cycle

- Held primarily for the purpose of trading

- Expected to be realised within twelve months after the reporting period, or

- Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period

A liability is current when:

- It is expected to be settled in normal operating cycle

- It is held primarily for the purpose of trading

- It is due to be settled within twelve months after the reporting period, or

- There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

The company classifies all other liabilities as non-current.

Deferred tax assets and liabilities are classified as non-current assets and liabilities.

The operating cycle is the time between the acquisition of assets for processing and their realisation in cash and cash equivalents. The company has identified twelve months as its operating cycle.

(r) Dividends

Provision is made for the amount of any dividend declared, being appropriately authorised and no longer at the discretion of the entity, on or before the end of the reporting period but not distributed at the end of the reporting period.

(s) Rounding of amounts

All amounts disclosed in the financial statements and notes have been rounded off to the nearest Lakh as per the requirement of Schedule III, unless otherwise stated.

3 Significant accounting judgements, estimates and assumptions

The preparation of these financial statements in conformity with the recognition and measurement principles of Ind AS requires the management of the Company to make estimates and assumptions that affect the reported balances of assets and liabilities, disclosures relating to contingent liabilities as at the date of the financial statements and the reported amounts of income and expense for the periods presented.

This note provides an overview of the areas that involved a higher degree of judgement or complexity, and of items which are more likely to be materially adjusted due to estimates and assumptions turning out to be different than those originally assessed. Detailed information about each of these estimates and judgements is included in relevant notes together with information about the basis of calculation for each affected line item in the financial statements.

Critical estimates and judgements

(i) Estimation of net realizable value for inventory

Inventory is stated at the lower of cost and net realizable value (NRV).

NRV for completed inventory is assessed by reference to market conditions and prices existing at the reporting date and is determined by the Company, based on comparable transactions identified.

(ii) Impairment of non - financial assets

The Company assesses, at each reporting date, whether there is an indication that an asset may be impaired. If any indication exists, or when annual impairment testing for an asset is required, the Company estimates the asset''s recoverable amount. An asset''s recoverable amount is the higher of an asset''s or cash-generating unit''s (CGU) fair value less costs of disposal and its value in use. Recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets. When the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account. If no such transactions can be identified, an appropriate valuation model is used.

(iii) Recoverability of trade receivables

In case of trade receivables, the Company follows the simplified approach permitted by Ind AS 109 - Financial Instruments for recognition of impairment loss allowance. The application of simplified approach does not require the Company to track changes in credit risk. The Company calculates the expected credit losses on trade receivables using a provision matrix on the basis of its historical credit loss experience.

(iv) Useful lives of property, plant and equipment/intangible assets

The Company reviews the useful life of property, plant and equipment/intangible assets at the end of each reporting period. This reassessment may result in change in depreciation expense in future periods.

(v) Defined benefit plans

The cost of the defined benefit gratuity plan and other post-employment medical benefits and the present value of the gratuity obligation are determined using actuarial valuations. An actuarial valuation involves making various assumptions that may differ from actual developments in the future. These include the determination of the discount rate, future salary increases and mortality rates. Due to the complexities involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date.

The financial statements of the company have been prepared in accordance with Indian Accounting Standards (Ind AS) notified under the Companies (Indian Accounting Standards) Rules, 2015 as amended by the Companies(Indian Accounting Standards)(Amendment) Rules, 2016 and the relevant provisions of the Companies Act, 2013 ("the Act").

41. OTHER STATUTORY DISCLOSURE

i. The title deeds of all the immovable properties (other than properties where the company is the lessee and the lease agreements are duly executed in favour of the lessee) as disclosed in the financial statements are held in the name of the company.

ii. The Company does not have any fixed assets which are revalued, therefore the disclosure regarding the reconciliation of the gross and net carrying amount of each class of assets at the beginning and end of the reporting period is not applicable to us. The Company has not acquired any asset through business combination, thus disclosures related to assets acquired through business combination is not disclosed thereof.

iii. The company does not hold any project in progress or any suspended project as on the reporting date, thus the Capital work in progress ageing schedule is not applicable to us.

iv. The company does not have any Intangible assets under development stage, therefore disclosures and ageing related to those are not applicable to us.

v. The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1998) and the rules made thereunder.

vi. The Company does not have any borrowings from banks and financial institutions against any current assets and that are used for any other purpose other than the specific purpose for which it was taken at the reporting balance sheet date.

vii. The Company has not entered into any transaction with the companies Struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956 during the concerned financial year.

viii. The Company is not declared as a wilful defaulter by any bank or financial institution or other lender during the any reporting period.

ix. The Company does not have any credit facility with Bank or Financial Institute and he Company was not required to file any form with Registrar of Companies (ROC) related to creation/modification and Satisfaction of charge during the concerned financial year.

x. The company does not have any subsidiaries as per clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017.

xi. There are no schemes or arrangements which have been approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013 during the reporting periods.

xii. The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

45. Figures of the previous year have been regrouped, reclassified and/or rearranged wherever necessary.

Significant Accounting Policies and Notes 1 to 45

forming part of the Financial Statements

As per our report of even date attached

For M/s. GMJ & Co For and on behalf of the Board of Directors

Chartered Accountants

Firm Registration No. 103429W

CA. Haridas Bhat Ramesh Tainwala Simran R Mansukhani

Partner Managing Director Director Finance & CFO

Membership No. 039070 (DIN: 00234109) (DIN: 06500475)

UDIN: 23039070BGTOTX7632

Place: Mumbai Place: Mumbai Aarti Parmar

Date : May 10, 2023 Date : May 10, 2023 Company Secretary

(ACS A51702)

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Mar 31, 2018

1. Corporate Information

These statements comprise financial statements of Tainwala Chemicals & Plastics (India) Limited (the company)(CIN:L24100MH1985PLC037387) for the year ended March 31, 2018. The company is a public company domiciled in India and is incorporated under the provisions of the Companies Act applicable in India. Its shares are listed on two recognised stock exchanges in India. The registered office of the company is located at Tainwala House, Road No. 18, M.I.D.C., Marol, Andheri (East), Mumbai - 400 093

"The Company is principally engaged in the manufacturing of plastic sheets and trading.'' The financial statements were authorised for issue in accordance with a resolution of the directors on May 22, 2018."

Trade or Other Receivable due from directors or other officers of the company either severally or jointly with any other person amounted to INR NIL (Previous year INR NIL)

Trade or Other Receivable due from firms or private companies respectively in which any director is a partner, a director or a member amounted to INR NIL (Previous year INR NIL)

The Company offsets tax assets and liabilities if and only if it has a legally enforceable right to set off current tax assets and current tax liabilities and the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same tax authority

Considering the probability of availability of future taxable profits in the period in which tax losses expire, deferred tax assets have not been recognised in respect of unabsorbed depreciation, business losses and long term capital losses carried forward by the Company

Terms/rights attached to equity shares

The company has only one class of equity shares having par value of INR 10 per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. In the event of liquidation of the company, the shareholders will be entitled in proportion to the number of equity shares held by them to receive remaining assets of the Company, after distribution to those it was secured.

iv. Aggregate number of equity shares issued as bonus, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding the reporting date - NIL:

v. None of the above shares are reserved for issue under options/contract/commitments for sale of shares or disinvestments.

vi. The Company does not have any holding company.

(i) Leave Obligations

The leave obligations cover the company''s liability for sick and earned leave.

The amount of the provision of INR 5.02 Lakhs (March 31, 2017: INR 4.92 Lakhs) is presented as current, since the company does not have an unconditional right to defer settlement for any of these obligations.

(ii) Post Employment obligations

a) Gratuity

"The company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of five years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied by number of years of service.““The gratuity plan is an unfunded plan."

The average duration of the defined benefit plan obligation at the end of the reporting period is 11.98 years (March 31, 2017: 12.24 years)

b) Defined contribution plans

The company also has defined contribution plans. Contributions are made to provident fund/pension fund in India for employees as per regulations. The contributions are made to registered provident fund/pension fund administered by the government. The obligation of the company is limited to the amount contributed and it has no further contractual nor any constructive obligation. The expense recognised during the period towards defined contribution plan is INR 8.31 Lakh (March 31, 2017: INR 6.52 Lakh).

(iii) Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with related parties during the year:

Remuneration Includes, paid to Rakesh Tainwala INR 40.87 Lakhs (Previous Year INR 21.22 Lakhs); Dungarmal Tainwala INR 9.75 Lakhs (Previous Year INR 9.75 Lakhs); Vandana Tainwala INR 7.42 Lakhs (Previous Year INR 7.42 Lakhs); and Simran Mansukhaani INR 14.26 Lakhs (Previous Year INR 10.01 Lakhs)

Sale of goods has been made to Abhishri Packaging Private Limited INR 276.32 Lakhs (Previous year NIL) Purchase of goods has been made from Abhishri Packaging Private Limited INR 161.49 Lakhs (Previous Year INR 144.13 Lakhs)

Rent income is from Abhishri Packaging Private Limited INR 6.32 Lakhs (Previous year INR 7.20 Lakhs) and from Tainwala Personal Care Products Private Limited INR 1.13 Lakhs (Previous year INR 0.96 Lakhs)

Interest income is from Abhishri Packaging Private Limited INR 32.55 Lakhs (Previous Year INR 36.10 Lakhs)

Dividend Income is from Samsonite South Asia Private Limited INR 613.97 Lakhs (Previous year INR 613.97 Lakhs)

(v) Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with related parties during the year:

Deposits given outstanding as at year end is INR 10 Lakhs (Previous Year INR 10.00 Lakhs) is to Rajkumar Tainwala towards industrial premises hired by the Company.

Loan balance as at year end given to Abhishri Packaging Private Limited INR 401.89 Lakhs (Previous Year INR 401.89 Lakhs)

Receivable as at year end (fully provided for loss allowance) relates to Tainwala Holdings Private Limited INR 391.16 Lakhs (Previous Year INR 391.16 Lakhs)

Investment at year end relates to Samsonite South Asia Private Limited INR 306.99 Lakhs (Previous Year INR 306.99 Lakhs) and Periwinkle Fashions Private Limited INR 700 Lakhs (Previous Year INR 700 Lakhs)

Payables for remuneration as at year end relates to Rakesh Tainwala INR 3.67 Lakhs (Previous year INR 1.38); Dungarmal Tainwala INR 0.74 Lakhs (Previous year INR 0.49 Lakhs); Vandana Tainwala INR 0.56 Lakhs (Previous year INR 0.54 Lakhs); and Simran Mansukhani INR 0.70 Lakhs (Previous year INR 0.58 Lakhs)

(vi) Terms and conditions of transactions with related parties

The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm''s length transactions. Outstanding balances at the year end are unsecured and interest free and settlement occurs in cash. There have been no guarantees provided or received for any related party receivables and payables. For the year ended March 31, 2018, the loss allowance on amount receivable from related party is INR 391.16 Lakhs (Previous year : INR 391.16 Lakhs). This assessment is undertaken each financial year through examining the financial position of the related party and market in which the related party operates.

2. SEGMENT REPORTING

A. For management purposes, the Company is organised into business units based on its products and services and has two reportable segments, as follows :

Plastic Sheets

Securities Trading

No operating segments have been aggregated to form the above reportable operating segment

The Managing Director (MD) monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements. Also, the Company''s financing (including finance costs and finance income) and income taxes are managed on a Group basis and are not allocated to operating segments.

Finance income and costs, and fair value gains and losses on financial assets are not allocated to individual segments as the underlying instruments are managed.

Current taxes, deferred taxes and certain financial assets and liabilities are not allocated to those segments as they are also managed on a group basis.

Revenue from Major Customers

Revenue from one customer amounted to INR 282,97,563 (March 31, 2017: INR 291,25,176), arising from sales in the Plastic Sheets Segment.

The management assessed that the fair value of cash and cash equivalent, trade receivables, trade payables, and other current financial assets and liabilities approximate their carrying amounts largely due to the short term maturities of these instruments.

The fair values for loans and other non current financial assets were calculated based on cash flows discounted using a current lending rate. They are classified as level 3 fair values in the Fair value hierarchy due to the inclusion of unobservable inputs including counterparty credit risk.

The fair values of non current borrowings are based on discounted cash flows using a current borrowing rate. They are classified as level 3 fair values in the fair value hierarchy due to the use of unobservable inputs, including own credit risk.

ii. Fair Value Hierarchy

This section explains the judgments and estimates made in determining the fair values of the financial instruments that are recognised and measure at fair value. To provide an indication about the reliability of the inputs used in determining fair value, the company has classified its financial instruments into three levels prescribed under the accounting standard. An explanation of each level follows underneath the table:

There have been no transfers among Level 1, Level 2 and Level 3 during the period Level 1 - Level 1 hierarchy includes financial instruments measured using quoted prices.

Level 2 - The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-specific estimates.

Level 3 - If one or more of the significant inputs are not based on observable market data, the instrument is included in level 3.

iii. Valuation technique used to determine fair value

Specific Valuation techniques used to value financial instruments include:

- the use of quoted market prices or dealer quotes for similar instruments

- the use of Breakup value/net asset value for unquoted equity instruments

- the fair value of the remaining financial instruments is determined using discounted cash flow analysis

v. Valuation processes

The finance department of the company includes a team that performs the valuations of financial assets and liabilities required for financial reporting purposes, including level 3 fair values. This team reports directly to the chief financial officer (CFO) and the audit committee. Discussions of valuation processes and results are held between the CFO, audit committee and the valuation team regularly.

3. FINANCIAL RISK MANAGEMENT

The Company''s activity exposes it to market risk, liquidity risk and credit risk. Company''s overall risk management focuses on the unpredictability of financial markets and seeks to minimise potential adverse effects on the financial performance of the company. This note explains the sources of risk which the entity is exposed to and how the company manages the risk.

(A) Credit risk

Credit risk is the risk that the counterparty will not meet its obligations leading to a financial loss. Credit risk arises from cash and cash equivalents, financial assets carried at amortised cost and deposits with banks and financial institutions, as well as credit exposures to customers including outstanding receivables.

i. Credit risk management

Credit risk has always been managed by the company through credit approvals, establishing credit limits and continuously monitoring the creditworthiness of customers to which the company grants credit terms in the normal course of business.

The company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive forwarding-looking information.

In general, it is presumed that credit risk has significantly increased since initial recognition if the payments are more than 30 days past due.

A default on a financial asset is when the counterparty fails to make contractual payments of when they fall due. This definition of default is determined by considering the business environment in which entity operates and other macroeconomic factors.

ii. Provision for expected credit losses

The company follows ‘simplified approach'' for recognition of loss allowance on Trade receivables.

As a practical expedient, the Company uses a provision matrix to determine impairment loss allowance on portfolio of its trade receivables. The provision matrix is based on its historically observed default rates over the expected life of the trade receivables and is adjusted for forward-looking estimates. At every reporting date, the historical observed default rates are updated and changes in the forward-looking estimates are analyzed.

(B) Liquidity risk

"Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The Company manages its liquidity risk by ensuring, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due. The Company consistently generated sufficient cash flows from operations to meet its financial obligations. Also, the Company has unutilized credit limits with banks.

“Management monitors rolling forecasts of the company''s liquidity position (comprising the undrawn borrowing facilities) and cash and cash equivalents on the basis of expected cash flows. In addition, the company''s liquidity management policy involves projecting cash flows and considering the level of liquid assets necessary to meet these, monitoring balance sheet liquidity ratios against internal and external regulatory requirements."

Maturities of financial liabilities

The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay. In the table below, borrowings includes both interest and principal cash flows. To the extent that interest rates are floating rate, the undiscounted amount is derived from interest rate curves at the end of the reporting period.

(C) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of change in market prices. Market risk comprises three types of risk: foreign currency risk, interest rate risk and other price risk such as commodity risk.

(i) Foreign currency risk

Foreign currency risk is the risk of impact related to fair value or future cash flows of an exposure in foreign currency, which fluctuate due to changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the import of goods.

The Company evaluates exchange rate exposure arising from foreign currency transactions and follows established risk management policies and standard operating procedures to mitigate the risks.

(a) The company exposure to foreign currency risk at the end of the reporting period expressed in INR lakhs, are as follows

(ii) Interest rate risk

The Company primarily borrows funds under fixed interest rate arrangements with banks and financial institutions and therefore the Company is not exposed to interest rate risk.

(iii) Price risk

The Company is not significantly exposed to changes in the prices of commodities/equity instruments.

4. CAPITAL MANAGEMENT

For the purpose of the company''s capital management, capital includes issued equity capital, share premium and all other equity reserves attributable to the equity holders of the Company. The primary objective of the Company''s capital management is to maximise the shareholder value.

5. STANDARDS ISSUED BUT NOT YET EFFECTIVE

Ind AS 115 - Revenue from Contracts with Customers

Ind AS 115 was issued in February 2016 and establishes a five-step model to account for revenue arising from contracts with customers. Under Ind AS 115 revenue is recognised at an amount that reflects the consideration to which an entity expects to be entitled in exchange for transferring goods or services to a customer. The new revenue standard will supersede all current revenue recognition requirements under Ind AS. This standard will come into force from accounting period commencing on or after April 1, 2018. The Company will adopt the new standard on the required effective date.

OTHERS

1. The balances in accounts of certain trade receivables, trade payables and loans and advances given are subject to confirmation and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

2. The management based on their review of assets and operation of the Company has determined that there is no indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly, no provision for impairment has been considered necessary as at March 31, 2018.

6. FIRST TIME ADOPTION OF IND AS

These are the company''s first financial statements prepared in accordance with Ind AS. The accounting policies set out in Note 2 have been applied in preparing the financial statements for the year ended March 31, 2018, the comparative information presented in these financial statements for the year ended March 31, 2017 and in the preparation of an opening Ind AS balance sheet at April 1, 2016 (the Company''s date of transition). In preparing its opening Ind AS balance sheet, the Company has adjusted the amounts reported previously in financial statements prepared in accordance with the accounting standards notified under Companies (Accounting Standards) Rules, 2006 (as amended) and other relevant provisions of the Act (previous GAAP or Indian GAAP). An explanation of how the transition from previous GAAP to Ind AS has affected the company''s financial position, financial performance and cash flows is set out in the following tables and notes.

A. Exemptions and exceptions availed

Set out below are the applicable Ind AS 101 optional exemptions and mandatory exceptions applied in the transition from previous GAAP to Ind AS.

i. Deemed cost

Ind AS 101 permits a first-time adopter to elect to continue with the carrying value for all of its property, plant and equipment and intangible assets covered by Ind AS 38 - Intangible Assets as recognised in the financial statements as at the date of transition to Ind AS, measured as per the previous GAAP and use that as its deemed cost as at the date of transition. Accordingly, the company has elected to measure all of its property, plant and equipment and intangible assets at their previous GAAP carrying value.

ii. Designation of previously recognised financial instruments

Ind AS 101 allows an entity to designate investments in equity instruments at FVOCI on the basis of the facts and circumstances at the date of transition to Ind AS. The company has elected to apply this option for its investment in quoted and unquoted equity investments.

iii. Estimates

"The estimates at April 1, 2016 and at March 31, 2017 are consistent with those made for the same dates in accordance with Indian GAAP (after adjustments to reflect any differences in accounting policies) apart from the following items where application of Indian GAAP did not require estimation:

- FVTOCI - unquoted equity shares

- Impairment of financial assets based on expected credit loss model

The estimates used by the company to present these amounts in accordance with Ind AS reflect conditions at April 1, 2016, the date of transition to Ind AS and as of March 31, 2017.

7. FIRST TIME ADOPTION OF IND AS

B. Reconciliations between previous GAAP and Ind AS

Ind AS 101 requires an entity to reconcile equity, total comprehensive income and cash flows for prior periods. The following tables represent the reconciliations from previous GAAP to Ind AS.

vi. Impact of Ind AS adoption on the statements of cash flows for the year ended March 31, 2017

There are no material adjustments to the Statement of Cash flows as reported under the previous GAAP.

C. Notes to first-time adoption:

Note 1: Fair valuation of investments

Under the previous GAAP, investments in equity instruments and mutual funds were classified as long-term investments or current investments based on the intended holding period and realisability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Current investments were carried at lower of cost and fair value. Under Ind AS, these investments are required to be measured at fair value. The resulting fair value changes of these investments (other than equity instruments designated as at FVOCI) have been recognised in retained earnings as at the date of transition and subsequently in the profit or loss for the year ended March 31, 2017.

Fair value changes with respect to investments in equity instruments designated as at FVOCI have been recognised in Equity instruments through OCI reserve as at the date of transition and subsequently in the other comprehensive income for the year ended March 31, 2017.

Note 2: Trade Receivables

Under Indian GAAP, the company has created provision for impairment of receivables consists only in respect of specific amount for incurred losses. Under Ind AS, impairment allowance has been determined based on Expected Loss model (ECL).

Note 3: Excise duty

Under the previous GAAP, revenue from sale of products was presented exclusive of excise duty. Under Ind AS, revenue from sale of goods is presented inclusive of excise duty. The excise duty paid is presented on the face of the statement of profit and loss as part of expenses. There is no impact on the total equity and profit.

Note 4: Remeasurements of post-employment benefit obligations

Under Ind AS, remeasurements i.e. actuarial gains and losses and the return on plan assets, excluding amounts included in the net interest expense on the net defined benefit liability are recognised in other comprehensive income instead of profit or loss. Under the previous GAAP, these remeasurements were forming part of the profit or loss for the year. There is no impact on the total equity as at March 31, 2017.

Note 5: Retained earnings

Retained earnings as at April 1, 2016 has been adjusted consequent to the above Ind AS transition adjustments.

Note 6: Other comprehensive income

Under Ind AS, all items of income and expense recognised in a period should be included in profit or loss for the period, unless a standard requires or permits otherwise. Items of income and expense that are not recognised in profit or loss but are shown in the statement of profit and loss as ‘other comprehensive income'' includes remeasurements of defined benefit plans and fair value gains or (losses) on FVOCI equity instruments. The concept of other comprehensive income did not exist under previous GAAP.

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Mar 31, 2016

b) Terms and Rights attached to equity shares:

The Company has only one class of equity shares having par value of Rs. 10 per share. Each Shareholder of equity is entitled to one vote per share.

In the Event of Liquidation by the company, the shareholders will be entitled in proportion to the number of equity shares held by them to receive remaining assets of the Company, after distribution to those it was secured.

The shareholders have all other rights as available to equity shareholders as per the provisions of the Companies Act, 2013, read together with the Memorandum of Association and Articles of Association of the Company, as applicable.

Notes:

i. Refer Note 31 for transactions with Related Parties of Loans given and Investments made.

ii. Refer Notes 12 and 14 for details of investments made.

iii. The purpose of loans given/ Investments made - Deployment of surplus fund of the Company.

b) Refer Note 31 for Loans and Advances due from Directors or parties where they are interested as Directors/Members.

1 a) The balances in accounts of certain trade receivables, trade payables and loans and advances given are subject to confirmation, and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

b) In the opinion of the management, assets other than fixed assets and non-current investments have a value on realization in the ordinary course of business at least equal to the amount at which they are stated.

2. Details of dues to Micro, Small and Medium Enterprises :

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Mar 31, 2015

1. Terms and Rights attached to equity shares:

The Company has only one class of equity shares having par value of '10 per share. Each Shareholder of equity is entitled to one vote per share.

In the Event of Liquidation by the company, the shareholders will be entitled in proportion to the number of equity shares held by them to receive remaining assets of the company, after distribution to those it was secured.

The shareholders have all other rights as available to equity shareholders as per the provisions of the Companies Act,2013, read together with the Memorandum of Association and Articles of Association of the company, as applicable.

2. Working capital facilities from a bank are secured by hypothecation of stocks of raw materials, finished goods, stock in process and book debts and further secured by equitable mortgage of plot of land measuring about 3,000 square meters bearing Survey No. 26, Plot No. 87 in the Govt. Industrial Estate, Village Khadoli, Dadra & Nagar Haveli, Silvasa and also the personal guarantee of a Director of the Company.There are no borrowings under the said facilities as at the year end.

3. No provision has been considered necessary for diminution in fair value of a long term unquoted equity investment, as in opinion of the management, such diminution is not of permanent nature and the investment was made on long term basis.

4. Pursuant to enactment of the Companies Act, 2013 and its applicability for accounting period commencing from 1st April, 2014, the estimated useful lives of fixed assets have been reviewed and revised generally to align with the provisions of Schedule II to the Act. Consequently:

a) The Company has fully depreciated the carrying value of assets, where the remaining useful life of the asset was determined to be nil as on April 1,2014, and has adjusted an amount of Rs. 52,25,180 against the opening Surplus in the Statement of Profit and Loss under Reserves and Surplus.

b) As a result, depreciation charge for the year is higher by Rs.9,02,784.

5. 'Stock in process' represents salvaged/ pelletised materials accumulated over a period of time to be consumed in the due course of time.

6. Disclosure as required under Section186 (4) of the Companies Act,2013 and Clause 32 of the Listing agreement:

7. Refer Note 32 for transactions with Related Parties of Loans given and Investment made.

8. The purpose of loans given/ Investments made - Deployment of surplus fund of the Company.

9. a) The balances in accounts of certain trade receivables, trade payables and loans and advances given are subject to confirmation, and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

b) In the opinion of the management, assets other than Fixed assets and non-current investments have a value on realisation in the ordinary course of business at least equal to the amount at which they are stated.

10. Related party disclosures: i. Related parties :

Key management personnel : Mr. Dungarmal Tainwala - Chairman Mr. Rakesh Tainwala- Managing Director Mrs. Simran Mansukhani- Executive Director (with effect from 24/09/2014 )

Relatives of Key management personnel: Ms. Vandana Tainwala

Mr. Rajkumar Tainwala

Enterprises in which Key management Abhishri Packaging Pvt. Ltd. personnel and/ or their relatives Tainwala Personal Care have significant influence: Products Pvt. Ltd. Tainwala Holdings Pvt. Ltd. Samsonite South Asia Pvt. Ltd. Periwinkle Fashions Pvt. Ltd.

Notes:

* Figures in brackets pertain to previous year.

* The related party relationships have been determined by the Company on the basis of the requirements of the

Accounting Standard (AS)-18 'Related Party Disclosures' and the same have been relied upon by the auditors.

* The relationships as mentioned above pertain to those related parties with whom transactions have taken place

during the year, except where control exists.

iii. Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with related parties during the year:

* Remuneration includes, paid to Mr. Rakesh Tainwala Rs. 2,367,000(Previous year Rs.2,367,000); Mr. Dungarmal Tainwala Rs. 821,400 (Previous year Rs. 821,400); Ms. Vandana Tainwala Rs. 537,600 (Previous year Rs. 537,600); and Mrs. Simran Mansukhani Rs. 6,53,711 (Previous year Not Applicable)

* Sale of goods has been made to Abhishri Packaging Pvt. Ltd. Rs.1,77,018(Previous year Rs. 25,064).

* Sale of goods has been made to Samsonite South Asia Pvt. Ltd. Rs.1,37,460 (Previous year Nil)

* Purchase of goods has been made from Abhishri Packaging Pvt. Ltd. Rs. 56,46,363(Previous year Rs. 5,098,957).

* Job work income is from Abhishri Packaging Pvt. Ltd.. Rs.177,550(Previous year Rs.166,150).

* Rent income is from Abhishri Packaging Pvt. Ltd. Rs. 720,000(Previous year Rs.732,000) and from Tainwala Personal Care Products Pvt. Ltd. Rs.96,000 (Previous year Rs.144,000).

* Interest income is from Abhishri Packaging Pvt. Ltd. Rs.3,616,974 (Previous year Rs.3,616,974).

* Dividend Income is from Samsonite South Asia Pvt. Ltd.. Rs.1,68,84,302 (Previous year Nil).

* Deposits outstanding as at year end Rs.1,000,000 (Previous Year Rs.1,000,000) is given to Mr. Rajkumar Tainwala towards industrial Premises hired by the Company.

* Debit Balance as at year end relates to Abhishri Packaging Pvt.Ltd. Rs.40,188,604 (Previous Year Rs.40,188,604).

* Receivable as at year end (fully provided for) relates to Tainwala Holdings Pvt. Ltd. Rs.39,115,941 (Previous Year Rs. 39,115,941).

* Investment at year end relates to Samsonite South Asia Pvt. Ltd. Rs.30,698,730 and Periwinkle Fashions Pvt. Ltd. '7,00,00,000.

b. Secondary segment reporting (Geographical segments):

In accordance with Accounting Standard (AS)-17 "Segment Reporting" there is no reportable geographical segment.

11. As per Accounting Standard (AS)-22 "Accounting for taxes on Income", deferred tax assets (net) pertaining to timing difference arising for the period upto 31st March,2015 of '16,331,965 (31/03/2014'15,925,409 ) have been determined.

As the Company has unabsorbed depreciation and carry forward losses and there is no virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which deferred tax assets can be realised, deferred tax assets (net) upto 31st March 2015 have not been recognised.

12. The management based on their review of assets and operation of the Company has determined that there is no indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly, no provision for impairment has been considered necessary as at 31st March, 2015.

Notes:

1 .Figures in brackets relate to previous year.

2. *Includes samples, breakages, damages, write-off, etc, sale of non usable palletized /salvaged materials.

3. **Including excise duty.

13. Previous year figures have been regrouped / rearranged, wherever considered necessary.

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Mar 31, 2014

1. Working capital facilities from a bank are secured by hypothecation of stocks of raw materials, finished goods, stock in process and book debts and further secured by equitable mortgage of plot of land measuring about 3,000 square meters bearing Survey No. 26, Plot No. 87 in the Govt. Industrial Estate, Village Khadoli, Dadra & Nagar Haveli, Silvasa and also the personal guarantee of a Director of the Company. There are no borrowings under the said facilities as at the year end.

2. No provision has been considered necessary for diminution in fair value of a long term unquoted equity investment, as in opinion of the management, such diminution is not of permanent nature and the investment was made on long term basis.

3. ''Stock in process'' represents salvaged/ pelletised materials accumulated over a period of time to be consumed in the due course of time.

4. Disclosure, including as per requirement of Clause 32 of the Listing agreement:

- Tainwala Holdings Pvt. Ltd.: Balance as at 31/03/2014 Rs. 39,115,941 (as at 31/03/2013 Rs.39,115,941) and maximum amount outstanding during the year Rs.39,115,941 (Previous year Rs.39,115,941).

- Abhishri Packaging Pvt. Ltd.: Balance as at 31/03/2014 Rs.40,188,604 (as at 31/03/2013 Rs.40,188,604) and maximum amount outstanding during the year Rs.40,188,604 (Previous year Rs.40,188,604).

5. a) The balances in accounts of certain trade receivables, trade payables and loans and advances given are subject to confirmation, and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained. b) In the opinion of the management, assets other than Fixed assets and non-current investments have a value on realisation in the ordinary course of business at least equal to the amount at which they are stated.

6. Related party disclosures:

i. Related parties :

Key management personnel :

Mr. Dungarmal Tainwala -Chairman

Mr. Rakesh Tainwala- Managing Director

Relatives of Key management personnel:

Ms. Vandana Tainwala

Mr. Rajkumar Tainwala

Enterprises in which Key management personnel and/ or their relatives have significant influence:

Abhishri Packaging Pvt.Ltd.

Tainwala Personal Care Products Pvt Ltd

Tainwala Holdings Private Limited

Notes:

- Figures in brackets pertain to previous year.

- The related party relationships have been determined by the Company on the basis of the requirements of the Accounting Standard (AS)-18 ''Related Party Disclosures'' and the same have been relied upon by the auditors.

- The relationships as mentioned above pertain to those related parties with whom transactions have taken place during the year, except where control exists.

iii. Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with

related parties during the year :

- Remuneration includes, paid to Mr. Rakesh Tainwala Rs. 2,367,000(Previous year Rs.2,367,000); Mr. Dungarmal Tainwala Rs.821,400 (Previous year Rs.821,400); Ms. Vandana Tainwala Rs.537,600 (Previous year Rs.537,600).

- Sale of goods has been made to Abhishri Packaging Private Ltd Rs. 25,064 (Previous year Rs.122,838).

- Purchase of goods has been made from Abhishri Packaging Private Ltd. Rs.5,098,957(Previous year Rs.Nil).

- Job work income is form Abhishri Packaging Private Ltd. Rs.166,150 (Previous year Rs. Nil).

- Rent income is from Abhishri Packaging Pvt. Ltd. Rs.732,000 (Previous year Rs.516,000)) and from Tainwala Per- sonal Care Products Pvt Ltd Rs.144,000 (Previous year Rs.144,000).

- Interest income is from Abhishri Packaging Pvt. Ltd. Rs.3,616,974 (Previous year Rs.3,616,974).

- Deposits outstanding as at year end Rs.1,000,000 (Previous Year Rs.1,000,000) is given to Mr. Rajkumar Tainwala towards industrial Premises hired by the Company.

- Debit Balance as at year end relates to Abhishri Packaging Pvt Ltd Rs.40,188,604 (Previous Year Rs.40,188,604).

b. Secondary segment reporting (Geographical segments):

In accordance with Accounting Standard (AS)-17 "Segment Reporting" there is no reportable geographical segment.

7. As per Accounting Standard (AS)-22 "Accounting for taxes on Income", deferred tax assets (net) pertaining to timing difference arising for the period upto 31st March,2014 of Rs.15,925,409 (31/03/2013 Rs.20,742,871) have been deter- mined.

As the Company has unabsorbed depreciation and carry forward losses and there is no virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which deferred tax assets can be realised, deferred tax assets (net) upto 31st March 2014 has not been recognised.

Major components of deferred tax assets and liabilities, arising on account of timing differences are as under :

8. Gratuity payable to employees as per provision of the Payment of Gratuity Act 1972 is a defined benefit plan. As per the Accounting Standard (AS)-15 "Employee Benefits", disclosure in respect of defined benefit plan are as under:

9. The management based on their review of assets and operation of the Company has determined that there is no indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly, no provision for impairment has been considered necessary as at 31st March, 2014.

10. Additional Information pursuant to paragraphs 3 and 4 of part II of Schedule VI to the Companies Act, 1956:

A. Details of turnover and stocks of finished goods:

Notes:

1. Figures in brackets relate to previous year.

2. Includes samples, breakages, damages, write-off, etc, sale of non usable palletized /salvaged materials.

3. Including excise duty.

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Mar 31, 2013

1. Working capital facilities from a bank are secured by hypothecation of stocks of raw materials, finished goods, stock in process and book debts and further secured by equitable mortgage of plot of land measuring about 3,000 square meters bearing Survey No. 26, Plot No. 87 in the Govt. Industrial Estate, Village Khadoli, Dadra & Nagar Haveli, Silvasa and also the personal guarantee of a Director of the Company. Borrowings under the said facilities as at the year end were Nil, previous year Nil.

2. No provision has been considered necessary for diminution in fair value of a long term unquoted equity invest- ment, as in opinion of the management, such diminution is not of permanent nature and the investment was made on long term basis.

3. ''Stock in process'' represents salvaged/ pelletised materials accumulated over a period of time to be consumed in the due course of time.

4. Disclosure, including as per requirement of Clause 32 of the Listing agreement:

- Tainwala Holdings Pvt. Ltd.: Balance as at 31/03/2013 Rs. 39,115,942 (as at 31/03/2012 W9.115.942) and maximum amount outstanding during the year Rs. 39,115,942 (Previous year Rs. 39,115,942).

- Abhishri Packaging Pvt. Ltd.: Balance as at 31/03/2013 Rs. 40,188,604 (as at 31/03/2012 Rs. 40,188,604) and maximum amount outstanding during the year Rs. 40,188,604 (Previous year Rs. 40,188,604).

5. a) The balances in accounts of certain trade receivables, trade payables and loans and advances given are subject to confirmation, and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

b) In the opinion of the management, assets other than Fixed assets and non-current investments have a value on realisation in the ordinary course of business at the amount at which they are stated.

6. Related party disclosures:

i. Related parties:

Key management personnel: Mr. Dungarmal Tainwala -Chairman

Mr. Rakesh Tainwala- Managing Director

Relatives of Key management personnel: Ms. Vandana Tainwala

Mr. Rajkumar Tainwala

Enterprises in which Key management personnel Abhishri Packaging Pvt. Ltd. and/ or their relatives have significant influence: Tainwala Personal Care Products Pvt Ltd

Abhishri Polycontainers (upto 31stMarch,2012) Tainwala Holdings Private Limted

7. As per Accounting Standard (AS)-22 "Accounting for taxes on Income", deferred tax assets (net) pertaining to timing difference arising for the period upto 31 st March,2013 ofRs. 20,742,871 (31/03/2012Rs. 45,023,821) have been deter- mined.

As the Company has unabsorbed depreciation and carry forward losses and there is no virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which deferred tax assets can be realised, deferred tax assets (net) upto 31st March 2013 has not been recognised.

8. The management based on their review of assets and operation of the Company has determined that there is nc indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly, no provision for impairment has been considered necessary as at 31stMarch, 2013.

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Mar 31, 2012

A) Terms and Rights attached to equity shares:

The company has only one class of equity shares having par value of Rs. 10 per share. Each Shareholder of equity is entitled to one vote per share.

In the Event of Liquidation by the company, the shareholders will be entitled in proportion to the number of equity shares held by them to receive remaining assets of the company, after distribution to those it was secured.

The shareholders have all other rights as available to equity shareholders as per the provisions of the Companies Act, 1956, read together with the Memorandum of Association and Articles of Association of the company, as applicable.

1. Commitments and contingent liabilities not provided for in respect of:_

As at As at

31/03/2012 31/03/2011 Rs Rs.

i. Income tax demands against which appeals are pending (Excluding further interest liability as may be determined on conclusion of the matter):

a. 1995-96 NIL 5,055,515

Rs.

Amount deposited 2,285,000

Amount adjusted against refund granted by the Department 1 ,1 65,457

TOTAL 3,450,457

b. 2004-05 (Including penalty Rs. Nil Previous year Rs. 17,877,960) 1,091,941 18,969,901 'Adjusted against refund granted by the Department and

Rs. 5,00,000 Deposited.

c. 2006-2007 3,317,036 3,317,036 Amount adjusted against refund granted by the Department Rs. 1,425,018

ii. Disputed liabilities in respect of central excise and custom duty 92,368 92,368

iii. Capital commitment in respect of long term investments 22,125,000 26,000,000

2. Working capital facilities from a bank are secured by hypothecation of stocks of raw materials, finished goods, stock in process and book debts and further secured by equitable mortgage of plot of land measuring about 3,000 square meters bearing Survey No. 26, Plot No. 87 in the Govt. Industrial Estate, Village Khadoli, Dadra & Nagar Haveli, Silvasa and also the personal guarantee of a Director of the Company. Borrowings under the said facilities as at the year end were Rs. Nil, previous year Rs. Nil.

3. No provision has been considered necessary for diminution in fair value of a long term unquoted equity investment, as in opinion of the management, such diminution is not of permanent nature and the investment was made on long term basis.

4. 'Stock in process' represents salvaged/ pelletized materials accumulated over a period of time to be consumed in the due course of time.

5. Disclosure as per requirement of Clause 32 of the Listing agreement:

- Tainwala Holdings Pvt. Ltd.: Balance as at 31/03/2012 Rs. 39,115,942 (as at 31/03/2011 Rs. 39,115,942) and maximum amount outstanding during the year Rs. 39,115,942 (Previous year Rs. 39,115,942). The Company has given legal notices to Tainwala Holdings Pvt. Ltd.

- Abhishri Packaging Pvt. Ltd.: Balance as at 31/03/2012 Rs. 40,188,604 (as at 31/03/2011 Rs. 40,188,604) and maximum amount outstanding during the year Rs. 40,188,604 (Previous year Rs. 40,188,604).

6. a) The balances in accounts of certain trade receivables, trade payables and loans and advances are subject to confirmation, and consequent reconciliations. Adjustments in this respect in the opinion ofthe management are not likely to be material and would be carried out as and when ascertained,

b) In the opinion of the management, assets other than Fixed assets and non-current investments have a value on realization in the ordinary course of business at the amount at which they are stated.

Notes:

- Figures in brackets pertain to previous year.

- The related party relationships have been determined by the Company on the basis of the requirements of the Accounting Standard (AS)-18 'Related Party Disclosures' and the same have been relied upon by the auditors.

- The relationships as mentioned above pertain to those related parties with whom transactions have taken place during the year, except where control exists.

iii. Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with related parties during the year:

- Remuneration includes, paid to Mr. Rakesh Tainwala Rs. 2,367,000 (Previous year Rs. 2,604,000);» Mr. Dungarmal Tainwala Rs. 806,400 (Previous year Rs. 806,400); Ms. Vandana Tainwala Rs. 537,600 (Previous year Rs. 537,600);

- Sale of goods has been made to Abhishri Packaging Private Ltd Rs. 189,361 (Previous year Rs. Nil)

- Rent income is from Abhishri Polycontainers Rs. 300,000 (Previous year Rs. 300,000) and from Tainwala Personal Care Products Pvt Ltd Rs. 144,000(PreviousyearRs. 144,000).

- Interest income isfromAbhishri Packaging Pvt. Ltd. Rs. 3,616,974 (Previous year Rs. 3,616,974).

- Deposits outstanding as at year end Rs. 1,000,000 (Previous Year Rs. 1,000,000) is given to Mr. Rajkumar Tainwala towards industrial Premises hired by the Company.

- Debit Balance as at year end relates to Abhishri Packaging Pvt Ltd Rs. 40,188,604 (Previous Year

Rs. 43,805,578), Abhishri Polycontainers Rs. 61,800 (Previous Year Rs. 3,00,000) and Tainwala Personal care products Pvt Ltd Rs. 1,73,664(Previous Year Rs. 1,44,000)

- Receivables as at year end fully provided for relates to Tainwala Holdings Pvt. Ltd.

7. Segment reporting

The disclosure in respect of Segment information as per Accounting Standard (AS) - 17 on "Segment Reporting" is given as follows:

8. As per Accounting Standard (AS)-22 "Accounting for taxes on Income", deferred tax assets (net) pertaining to timing difference arising for the period up to 31/03/2012 of Rs. 45,023,821 (31/03/2011 Rs. 49,275,516) have been determined.

As the Company has unabsorbed depreciation and carry forward losses and there is no virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which deferred tax assets can be realized, deferred tax assets (net) up to 31 st March 2012has not been recognized.

9. The management based on their review of assets and operation of the Company has determined that there is no indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly, no provision for impairment has been considered necessary as at 31st March, 2012.

10. The revised Schedule VI has been effective from 1st April, 2011 for the preparation of Financial Statements. This has significantly impacted the disclosure and presentation made in the Financial Statements. Accordingly the company has reclassified the previous year figure to this year classification. The adoption of revised Schedule VI does not impact revenue recognition and measurement principles followed for preparation of Financial Statements.

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Mar 31, 2011

1. Commitments and contingent liabilities not provided for in respect of:

As at As at 31/03/2011 31/03/2010 Rs. Rs.

i. Capital commitment in respect of 26,000,000 32,000,000 long term investments

ii. Income tax demands against which appeals are pending for the following assessment years (Excluding further interest liability as may be determined on conclusion of the matter):

a. 1995-96 5,055,515* 5,055,515

Amount paid / adjusted against demand for assessment Year 1995-96 (as per Company’s letter to department) is as under: Amount deposited 2,285,000

Amount adjusted against 1,165,457 refund granted by the Department

TOTAL 3,450,457

b. 2004-05(Including penalty 18,969,901* 18,969,901 Rs. 1,78,77,960) Rs. 33,30,219 adjusted against refund granted by the department and Rs. 5,00,000 Deposited

c: 2006-2007 33,17,036* 33,17,036

iii. Disputed liabilities in 92,368 92,368 respect of central excise and custom duty

*Certain matters decided in favour of the company, impact whereof could not be considered in absence of receipt of appeal effect orders.

2. Working capital facilities from a bank are secured by hypothecation of stocks of raw materials, finished goods, stock in process and book debts and further secured by equitable mortgage of plot of land measuring about 3,000 square meters bearing Survey No. 26, Plot No. 87 in the Govt. Industrial Estate, Village Khadoli, Dadra & Nagar Haveli, Silvasa and also the personal guarantee of a Director of the Company. Borrowings under the said facilities as at the year end were Nil, previous year Nil.

3. No provision has been considered necessary for diminution in fair value of a long term unquoted equity investment, as in opinion of the management, such diminution is not of permanent nature and the investment was made on long term basis.

4. 'Stock in process' represents salvaged/ pelletised materials accumulated over a period of time valued at lower than cost of finished goods to be consumed in due course of time.

5. Loans and advances include due from companies under the same management within the meaning of sub-section 1(B) of Section 370 are as under:

- Tainwala Holdings Pvt. Ltd.: Balance as at 31/03/2011 39,115,942 (as at 31/03/2010 39,115,942) and maximum amount outstanding during the year 39,115,942 (Previous year 39,115,942). The Company has given legal notices to Tainwala Holdings Pvt. Ltd.

- Abhishri Packaging Pvt. Ltd.: Balance as at 31/03/2011 40,188,604 (as at 31/03/2010 40,188,604) and maximum amount outstanding during the year 40,188,604 (Previous year 40,188,604).

6. a) The balances in accounts of certain debtors, creditors and loans and advances are subject to confirmation, and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

b) In the opinion of the management, current assets, loans, advances and deposits have a value on realisation in the ordinary course of business at the amount at which they are stated and the provision of all known liabilities is adequate and not in excess of the amount reasonably necessary.

7. Related party disclosures:

i. Related parties:

Key management personnel: Mr. Dungarmal Tainwala - Chairman Mr. Rakesh Tainwala - Managing Director

Relatives of Key Ms. Vandana Tainwala management personnel: Mr.Rajkumar Tainwala

Enterprises in which Key Tainwala Holdings Pvt Ltd management personnel Abhishri Polycontainers and/ or their relatives Abhishri Packaging Pvt. Ltd. have significant Tainwala Personal Care Products Pvt Ltd influence:

Notes: - Figures in brackets pertain to previous year.

- The related party relationships have been determined by the Company on the basis of the requirements of the Accounting Standard (AS)-18 'Related Party Disclosures' and the same have been relied upon by the auditors.

- The relationships as mentioned above pertain to those related parties with whom transactions have taken place during the year, except where control exists.

ii. Disclosure in respect of transactions which are more than 10% of the total transactions of the same type with related parties during the period:

- Remuneration includes paid to Mr. Rakesh Tainwala 2,325,000 (Previous year 3,360,000); Mr. Dungarmal Tainwala 806,400 (Previous year 806,400); Ms. Vandana Tainwala 537,600 (Previous year 537,600);

- Rent income is from Abhishri Polycontainers 300,000 (Previous year 216,000) and from Tainwala Personal Care Products Pvt Ltd 144,000 (Previous year Nil).

- Interest income is from Abhishri Packaging Pvt. Ltd. 3,616,974 (Previous year 3,616,974).

- Deposits outstanding as at year 1,000,000 (Previous Year 1,000,000 ) is given to Rajkumar Tainwala towards industrial Premises hired by the Company.

- Debit Balance as at year end relates to Abhishri Packaging Pvt Ltd 43,805,578 (Previous Year 43,805,578), Abhishri Polycontainers 300,000 (Previous Year 216,000) and Tainwala Personal care products Pvt Ltd 144,000 (Previous Year NIL)

- Receivables as at year end fully provided for relates to Tainwala Holdings Pvt. Ltd.

8. Segment reporting

b) Secondary segment reporting (Geographical segments):

In accordance with Accounting Standard (AS)-17 "Segment Reporting" there is no reportable geographical segment.

9. The management based on their review of assets and operation of the Company has determined that there is no indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly no provision for impairment is required as at 31st March, 2011.

10. Previous year's figures have been regrouped / rearranged / recast wherever necessary to confirm to the current year's presentation.

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Mar 31, 2010

1. Commitments and contingent liabilities not provided for in respect of:

As at As at

31/03/2010 31/03/2009

Rs. Rs.

i. Capital commitment in respect of long term investments 32,000,000 35,250,000

ii. Income tax demands against which appeals are pending for the following assessment years (Excluding further interest liability as may be determined on conclusion of the matter): a. 1995-96 5,055,515 5,055,515

Amount paid / adjusted against demand for assessment Year 1995-96 (as per Companys letter to department) is as under:

Amount deposited 2,285,000

Amount adjusted against refund 1,165,457

granted by the Department

TOTAL 3,450,457

b. 2004-05(lncluding penalty Rs. 1,78,77,960) 18,969,901 1,091,941

Rs. 12,72,338 adjusted against refund granted by the department

c: 2006-2007 33,17,036 -

iii. Disputed liabilities in respect of central excise and custom duty 92,368 102,288



2. Working capital facilities from a bank are secured by hypothecation of stocks of raw materials, finished goods, stock in process and book debts and further secured by equitable mortgage of plot of land measuring about 3,000 square meters bearing Survey No. 26, Plot No. 87 in the Govt. Industrial Estate, Village Khadoli, Dadra & Nagar Haveli, Silvasa and also the personal guarantee of a Director of the Company. Borrowings under the said facilities as at the year end were Rs. Nil, previous year Rs. Nil.

3. No provision has been considered necessary for diminution in fair value of a long term unquoted equity investment, as in opinion of the management, such diminution is not of permanent nature and the investment was made on long term basis.

4. The Company has recovered certain doubtful loans and advances given in earlier years to certain Companies and on re-assessment of doubtful loans and advances as at 31 March 2010, has written back provision aggregating to Rs. NIL (as at 31/03/2009 Rs. 34,727,284) which has been shown as "Exceptional items" in the profit and loss account.

5. Loans and advances include dues from companies under the same management within the meaning of sub-section 1(B) of Section 370 are as under:

Tainwala Holdings Pvt. Ltd.: Balance as at 31/03/2010 Rs. 39,115,942 (as at 31/03/2009 Rs. 39,115,942) and maximum amount outstanding during the year Rs. 39,115,942 (Previous year Rs. 39,115,942). The Company has given legal notices to Tainwala Holdings Pvt. Ltd.

Abhishri Packaging Pvt. Ltd.: Balance as at 31/03/2010 Rs. 40,188,604 (as at 31/03/2009 Rs. 40,188,604) and maximum amount outstanding during the year Rs. 40,188,604 (Previous year Rs. 40,188,604).

6. a) The balances in accounts of certain debtors, creditors and loans and advances are subject to confirmation, and consequent reconciliations. Adjustments in this respect in the opinion of the management are not likely to be material and would be carried out as and when ascertained.

b) In the opinion of the management, current assets, loans, advances and deposits are approximately of the value stated, if realised in the ordinary course of business. The provision of all known liabilities is adequate and not in excess of the amount reasonably necessary.

7. Related party disclosures:

i. Related parties:

Key management personnel: Mr. Dungarmal Tainwala

Mr. Rakesh Tainwala

Relatives of Key Ms. Vandana Tainwala

management personnel: Mr.Rajkumar Tainwala

Enterprises in which Key Concept Reality & Securities Ltd.

management personnel and/ or Tainwala Trading & Investment Co. Pvt. Ltd.

their relatives have Tainwala Holdings Pvt Ltd

significant influence: Abhishri Polycontainers

Abhishri Packaging Pvt. Ltd.



ii. Disclosure in respect of , transactions which are more than 10% of the total transactions of the same type with related parties during the period:

- Remuneration includes «paid to Mr. Rakesh Tainwala Rs. 3,360,000 (Previous year Rs. 3,360,000); Mr. Dungarmal Tainwala Rs. 806,400 (Previous year ,Rs.. 806.400); Ms. Vandana Tainwala Rs. 537,6,00 (Previous year Rs. 537,600);

- Loan taken / repaid is from / to ,1vlr. Rakesh Tainwala Rs. Nil (Previous year Rs. 3,700,000);

- Loans and Advances given received back include from Concept Reality and Securities Pvt. Ltd. Rs. NIL (Previous year 14,727,284) and Tainwala Trading and investment Co

- Rent income is from Abhishri Polycontainers Rs. 216,000 (Previous year Rs. 216,000).

- Interest income is from Abhishri Packaging Pvt. Ltd. Rs. 3,616,974 (Previous year Rs. 3,616,974).

- Deposits outstanding as at year Rs. 1,000,000 (Previous Year Rs. 1,000,000) is given to Rajkumar Tainwala towards industrial Premises hired by the Company.

- Debit Balance as at year end relates to Abhishri Packaging Pvt. Ltd.

- Receivables as at year end fully provided for relates to Tainwala Holdings Pvt. Ltd. 8. Segment reporting

b) Secondary segment reporting (Geographical segments):

In accordance with Accounting Standard (AS)-17 "Segment Reporting" there is no reportable geographical segment.

8. As per Accounting Standard (AS)-22 "Accounting for taxes on Income", deferred tax assets (net) pertaining to timing difference arising for the period upto 31/03/2010 of Rs. 46,882,819 (31/03/2009 Rs. 33,072,235) have been determined.

As the Company has unabsorbed depreciation and carry forward losses and there is no virtual certainty supported by convincing evidence that sufficient future taxable income will be available against which deferred tax assets can be realised, deferred tax assets (net) upto 31st March 2010 has not been recognised.

9. The management based on their review of assets and operation of the Company has determined that there is no indication of potential impairment and that the recoverable amount of its fixed assets is not lower than its carrying amount. Accordingly no provision for impairment is required as at 31 March 2010.

10. Additional Information pursuant to paragraphs 3 and 4 of part II of Schedule VI to the Companies Act, 1956:

A. Licensed Capacity - Not applicable

B. Installed Capacity and Actual Production

11. Previous years figures have been regrouped / rearranged / recast wherever necessary to confirm to the current years presentation.