Notes to Accounts of Tarapur Transformers Ltd.

Mar 31, 2024

10.1 Number of Equity Shares outstanding at the beginning and at the end of the year are same i.e. 19500011 of ? 10/- each and hence no reconciliation is required

10.2 Terms/Rights attached to equity shares

The company has issued only one class of equity shares having a par value of ? 10/- per share. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the numbers of equity shares held by shareholders.

10.3 Details of shresholders holding more than 5% of the total shares

13.1 The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore

disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said act have not been given.

14.1 Working Capital facilities is secured by Hypothecation of all Current Assets of the Company. The facilities are further collaterally Secured by equitable Mortgage of Land and Building at Boisar Unit and Hypothecation of all Fixed Assets of Boisar Unit.

14.2 Interest Rate-base rate 4.50% currently 14.75% per annum with monthly rest.

14.3 The Company has defaulted in repayment of dues including interest and principal to Canara Bank, on its various fund facilities availed, outstanding amounting to T 4026.00 Lacs.

14.4 The lender bank has issued a Legal Notice dated 22/12/2014, to the Compnay asking them to pay outstanding dues of 3704.84 Lacs within 7 days, failing which Lender Bank will intiate legal action against the Company. In view of Legal Notice and based on the Legal advice received by the Company it has been decide not to provide any interest on outstanding liability of Canara Bank w.e.f. 01/04/2014. Further, on 22nd October 2018, Canara Bank sold factory premises at J 20, MIDC, boisar, including the Plant & machinery thereon, by an e Auction on "as is where is" basis for Rs. 321.50 Lacs. The accounting effect of the same has accoordingly been given in the books of accounts.

The Company has not provided for Interest payable to Canara Bank amounting to X 2535.14 Lacs for the year ended 31st March 2024. Also for the financial year 2014-15, 2015-16, 2016-17, 2017-18, 2018-19, 2019-20, 2020-21, 2021-22 & 2022-23 the company has not provided for X 10601.86 lacs. The Company has also not made any provision for penal interest claimed by the bank. As a result the loss for the year ended 31st March 2024 is understated by ? 2535.14 Lacs & current liabilities as at 31st March, 2024 are also understated by X 2535.14 Lacs and reserves are overstated by X 2535.14 Lacs. As a result the accumulated Reserves are overstated by X 13137 Lacs. The amount of penal interest cannot be quantified as the details have not been received from the bank.

14.5 Other unsecured loan received from related party Bil Energy Systems Ltd. X 328.73 Lacs (P.Y. X 328.73 Lacs), Bilpower Limited 43.25 Lacs (P .YT. 43.25)

24. Financial Instruments 1) Capital Management

The primary objective of the Company''s capital management is intended to maximise the return to shareholders for meeting the long-term and shortterm goals of the Company through the optimization of the debt and equity balance. The Company is monitoring capital using debt equity ratio as its base which is debt to equity. For the purpose of capital management, capital includes issued equity capital, securities premium and all other reserves attributable to the equity shareholders of the Company. Net debt includes all long and short-term borrowings (including current maturities of long term debt) as reduced by cash and cash equivalents.

2) Financial Risk Management Objective And Policies

The Company is exposed to market risk, credit risk and liquidity risk. Risk management is carried out by the company under policies approved by the board of directors. The Company''s documented risk management policies are effective tool in mitigating the various financial risk to which the business is exposed to in the course of daily operations This Risk management plan defines how risks associated with the Company will be identified, analysed, and managed. It outlines how risk management activities will be performed, recorded, and monitored by the Company. The basic objective of risk management plan is to implement an integrated risk management approach to ensure all significant areas of risks are identified, understood and effectively managed, to promote a shared vision of risk management and encourage discussion on risks at all levels of the organisation to provide a clear understanding of risk/benefit trade-offs, to deploy appropriate risk management methodologies and tools for use in identifying, assessing, managing and reporting on risks, and to determine the appropriate balance between cost and control of risk and deploy appropriate resources to manage/optimize key risks. Activities are developed to provide feedback to management and other interested parties (e.g. Audit committee, Board etc.). The results of these activities ensure that risk management plan is effective in the long term

a) Market risk

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

i) Foreign Exchange Risk and Sensitivity

Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the Company''s operating activities. Currently, the Company does not have any transaction in Foreign Currencies.

ii) Interest Rate Risk and Sensitivity

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates .In order to optimize the Company''s position with regards to interest expenses and to manage the interest rate risk treasury performs a comprehensive corporate interest rate risk management by balancing the proportion of fixed rate and floating rate financial instruments in its total portfolio.

iii) Commodity Price Risk

The Company is engaged in construction work and commodities like ferrous and non ferrous metal materials, Welded pipes, MS TMT bars & Metals, Cements, etc are the basic commodity for consumption. Commodity price risk arises due to fluctuation in prices of metal products. The Company mitigate the risk by natural hedge as any increase/ decrease in materials price directly reflect the changes in finished goods price.

b) Credit Risk

Credit risk is the risk that a counter party will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is exposed to credit risk for trade receivables, other bank balances, loans, other financial assets and financial guarantees.

i) Trade Receivables

The Company extends credit to customers in normal course of business. The Company considers factors such as credit track record in the market and past dealings with the Company for extension of credit to customers. The Company monitors the payment track record of the customers.

Outstanding customer receivables are regularly monitored.

ii) Bank Balances

The Company seeks to limit its credit risk with respect to banks by only dealing with reputable banks.

c) Liquidity Risk

Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses. The Company''s objective is to, at all times, maintain optimum levels of liquidity to meet its cash and collateral requirements. The Company limits its liquidity risk by ensuring funds from trade receivables.

25. Contingent Liabilities				(^ in Lacs)
	Sr. No.	Particulars	As at 31st March, 2024	As at 31st March, 2023
	(A)	Guarantees outstanding	248.33	253.33
	(B)	Sales Tax Demands pending in appeals	341.94	341.94
	(C)	Income Tax Demands including interest which is under dispute and pending in appeals	4.62	4.62
	(D)	Custom duty on pending export obligation against import of machinery	144.85	144.85

26. Segment Reporting

The company primarily deals in the business of Manufacturing, Repair, Refurbishment and Upliftment of transformers and there are no material exports hence there is no Primary reportable segment, either product wise or geographical, in the context of Indian Accounting Standard 108 issued by The Institute of Chartered Accountants of India.

1. Receiving of Services

A) Remuneration Payment:-Suresh More ? 3.58 Lacs (P.Y ^ 2.11 Lacs)

B) Directors Sitting Fees : Meenakshi Chimata 0.20 lacs , Tabassum Shaikh 0.70 Lacs

2. Finance (Including Loans & Equity Contributions on Cash or Kind)

A) Loans & Advances Given includes:- Meenakshi Chimata ^ 0.35 Lacs

3. Outstanding as at 31^st March, 2024.

A) Loans & Advance Received includes:- Bil Energy Systems Limited ^ 328.73 Lacs (P.Y. ^ 328.73 Lacs)

Bilpower Limited 43.25 Lacs (P.Y. ^ 43.25)

B) Loans & Advance Given includes : Choudhary Global Limited ^ 866.50 Lacs (P.Y. ^ 866.50 Lacs )

Meenakshi Chimata ^ 0.35 Lacs

28. Raw Material Consumed:-

The material purchases have been applied towards manufacturing as well as repairs of transformers. Since the material has been used in common facilities towards both and since the requirement of law is to show consumption of Raw Material for Manufacturing, the same has not been given.

36. Term Deposit Receipts wherever obtained are endorsed in favor of Banks and Government Departments against Bank Guarantee, L/C Facility etc.

37. Disclosure pursuant to adoption of Indian Accounting Standard 19

Gratuity liability for the year is determined on actuarial valuation by the Life Insurance Co of India with whom the company has taken a policy for the settlement of future liability.

38. Some of the Creditors / Debtors / Loans / Advances are subject to Confirmations and resultant reconciliation, if any.

39. The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

40. In terms of the requirements of the Indian Accounting Standards-36 on "Impairment of Assets" issued by the Institute of Chartered Accountants of India, the amount recoverable against Fixed Assets has been estimated for the period by the management based on present value of estimated future cash flows expected to arise from the continuing use of such assets. The recoverable amount so assessed was found to be adequate to cover the carrying amount of the assets, therefore no provision for impairment in value thereof has been considered necessary, by the management.

41. As per the best estimate of the management, no provision is required to be made as per Indian Accounting Standard (Ind AS) 37 "Provision, Contingent Liabilities & Contingent Assets", in respect of any present obligation as a result of a past event that could lead to a probable outflow of resources which would be required to settle the obligation.

42. Sundry Debtors as on the date of Balance Sheet are net of amounts received after discounting of Letter of Credits.

43. Utilisation of Borrowed Funds and Share Premium:

A. The company has advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise) that the Intermediary shall

(i) 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

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

B The company has not received any fund from any person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise) that the company shall

(i) 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

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

44. Previous Year Figures have been regrouped / Re cast wherever necessary.

Signature to the Balance Sheet, Statement of Profit and Loss and notes which form an integral part of account.

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Mar 31, 2015

1. Number of Equity Shares outstanding at the beginning and at the end of the year are same i.e. 19500011 of Rs. 10/- each and hence no reconciliation is required

2. Terms/Rights attached to equity shares

The company has issued only one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividend in Indian Rupees. The dividend proposed by the Board of Directors is subject to approval of the shareholders in the ensuing Annual General Meeting.

During the year ended 31st March 2015 amount per share of dividend recognised as distributions to equity shareholders was Rs. Nil ( P.Y. Rs. Nil) In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the numbers of equity shares held by shareholders.

3. Details of shresholders holding more than 5% of the total shares

4. Terms of repayment of Term Loan:

a) The Loan is to be repayable in 18 equal quarterly installments of Rs. 27.78 Lacs starting from 01/11/2011.

b) Nature of security for Term Loan from Bank :

Term loan is secured by exclusive charge on "HAEFELY" make Impulse Generator at Pali Unit.

c) Rate of Interest of Term Loan:

The initial interest rate is 13.50% (Base Rate 4.25% fixed per annum with reset after 2 years) p.a with monthly rest.

d) The Company has Common Loan Agreement with Dhanlaxmi Bank Ltd. Rupee Term Loan amount Rs. 500.00 Lacs sanctioned during FY2011-12 by Dhanlaxmi Bank Ltd.

e) The Company has defaulted in repayment of quarterly installment of Rs. 27.78 Lacs each since the quarter ended March 2015 and interest accrued thereon remains unpaid since April 2013 onwards. Amount of interest accrued and due on term loan up to 31/03/2015 is Rs. 43.11 Lacs remain unpaid.

5. Working Capital facilities is secured by Hypothecation of all Current Assets of the Company. The facilities are further collaterally Secured by equitable Mortgage of Land and Building at Boisar Unit and Hypothecation of all Fixed Assets of Boisar Unit.

6. The Company has defaulted in repayment of dues including interest and principal to Canara Bank, on its various fund facilities availed, outstanding amounting to Rs. 40.26 Crores.

7. The lender bank has issued a Legal Notice dated 22/12/2014, to the Compnay asking them to pay outstanding dues of Rs. 37.05 Crores within 7 days, failing which Lender Bank will intiate legal action against the Company. In view of Legal Notice and based on the Legal advice received by the Company it has been decide not to provide any interest on outstanding liability of Canara Bank w.e.f. 01/04/2014. The Company has not provided interest payable to Canara Bank on Working Capital Loan amounting to Rs. 6.68 Crores during the year.

8. Interest Rate-base rate 4.50% currently 14.75% per annum with monthly rest.

9. Other unsecured loan received from related party Bilpower Limited Rs. 216.93 Lacs (P.Y. Rs. 217.23 Lacs), Bil Energy Systems Limited Rs. NIL (P.Y.Rs. 58.72 Lacs)

10. Trade Payables includes following related parties :-

Rs 7.25 Lacs (P.Y. Rs 6.24 Lacs ) payable to Related Party Choudhary Stamping , Rs 76.38 Lacs (P.Y. Rs 76.38 Lacs) payable to Related Party Bilpower Limited Rs Nil (P.Y. Rs 18.91 Lacs) payable to Related Party Bil Energy Systems Limited, Rs 186.66 Lacs ( P.Y. Rs 207.33 Lacs ) payable to Related Party Niksan Engineering Co Limited.

11. The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said act have not been given.

12.Stores and Spares Expenses includes Rs. 0.23 Lacs (P.Y. Nil) pertaining to prior period, Office and General Expenses includes Rs 0.005 Lacs (P.Y.Nil) pertaining to prior period.

13. Contingent Liabilities (Rs in Lacs)

Sr. No. Particulars As at 31st March, 2015 As at 31st March, 2014

(A) Guarantees outstanding 231.71 365.86

(B) Sales Tax Demands pending 136.49 - in appeals

(C) Income Tax Demands including interest which is under dispute and 283.90 221.83 pending in appeals

(D) Custom duty on pending export obligation against import of machinery 144.85 144.85

14. Segment Reporting

The company primarily deals in the business of Manufacturing, Repair, Refurbishment and Upliftment of transformers and there are no material exports hence there is no Primary reportable segment, either product wise or geographical, in the context of Accounting Standard 17 issued by The Institute of Chartered Accountants of India.

15. Related Party Disclosures

(A) Name and relation of The Relative Parties:-

i) Associates Company

Bilpower Limited Bil Energy Systems Limited

ii) Key Management Personnel

Rajendra Kumar Choudhary

iii) Company of Relative of KMP & Company of KMP

Niksan Engineering Co Limited Viniyog Mercantile Pvt Ltd

iv) Proprietory concern of relative of KMP

Choudhary Stamping

Disclosure in respect of Material Related Party Transactions During the year:-

16. Purchase of Goods/Expenses includes: Niksan Engineering Company Limited Rs. 1302.22 Lacs (P.Y. Rs. 319.56 Lacs), Bil Energy Systems Limited Rs. NIL (P.Y. Rs. 18.91 Lacs).

17. Sales of Goods includes: Niksan Engineering Company Limited Rs. 32.63 Lacs (P.Y. Rs. NIL )

18. Rent Income : Viniyog Mercantile Pvt. Ltd Rs. 0.30 Lacs (P.Y. Nil ). Bil Energy Systems Limited Rs. 0.60 Lacs (P.Y. Nil)

19. Receiving of Services

A) Labour Charges (Expenses) includes:- Choudhary Stamping Rs. 5.33 Lacs (P.Y. Rs. 2.79 Lacs)

B) Rent Expenses includes:- Niksan Engineering Company Limited Rs. 0.60 Lacs (P.Y. Rs. 3.60 Lacs)

20. Finance (Including Loans & Equity Contributions on Cash or Kind)

A) Loans &Advances Received includes:- Bilpower Limited Rs. 0.06 Lacs (P.Y.Rs. 10.73 Lacs), Bil Energy Systems Limited Rs. NIL (P.Y. Rs. 88.78 Lacs), Rajendra Kumar Choudhary Rs. NIL (P.Y. Rs. 26.68 Lacs).

B) Loans & Advances Given includes:- Bil Energy Systems Limited Rs. NIL (P.Y. Rs. 3.55 Lacs).

21. Purchase of Investment (Shares) includes :- Bilpower Limited Rs. 0.001 Lacs (P.Y. Rs. NIL ), Bil Energy Systemes Limited Rs. 0.001 Lacs (P.Y. Rs. NIL )

22. Outstanding as at 31st March, 2015.

a) Loans &Advance Received includes:- Bilpower Limited Rs. 216.93 Lacs (P.Y. Rs. 217.23 Lacs), Bil Energy Systems Limited Rs. NIL (P.Y. Rs. 58.72 Lacs),

b) Trade Receivable includes :- Viniyog Mercantile Pvt. Ltd. Rs. 0.30 Lacs (P.Y. Rs. NIL

c) Trade Payables includes:- Nik-San Engineering Co Limited Rs. 186.66 (P.Y. Rs 207.33 Lacs), Bilpower Limited Rs. 76.38 Lacs (P.Y. Rs. 76.38 Lacs), Bil Energy Systems Limited Rs. NIL (P.Y. Rs. 18.91 Lacs),Choudhary Stamping Rs. 7.25 Lacs (P.Y. Rs.6.24 Lacs).

23. Raw Material Consumed:-

The material purchases have been applied towards manufacturing as well as repairs of transformers. Since the material has been used in common facilities towards both and since the requirement of law is to show consumption of Raw Material for Manufacturing, the same has not been given.

24. Term Deposit Receipts wherever obtained are endorsed in favor of Banks and Government Departments against Bank Guarantee, L/C Facility etc.

25. Disclosure pursuant to adoption of accounting standard 15 Gratuity liability for the year is determined on actuarial valuation by the Life Insurance Co of India with whom the company has taken a policy for the settlement of future liability.

26. Some of the Creditors / Debtors / Loans / Advances are subject to Confirmations and resultant reconciliation, if any.

27. The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

28. In terms of the requirements of the Accounting Standards-28 on "Impairment of Assets" issued by the Institute of Chartered Accountants of India, the amount recoverable against Fixed Assets has been estimated for the period by the management based on present value of estimated future cash flows expected to arise from the continuing use of such assets. The recoverable amount so assessed was found to be adequate to cover the carrying amount of the assets, therefore no provision for impairment in value thereof has been considered necessary, by the management.

29. As per the best estimate of the management, no provision is required to be made as per Accounting Standard (AS) 29 "Provision, Contingent Liabilities & Contingent Assets" as notified by the companies (Accounting Standards) Rules 2006, in respect of any present obligation as a result of a past event that could lead to a probable outflow of resources which would be required to settle the obligation.

30. As at 31st March, 2015, IPO proceeds have been utilised as stated below. The utilisation of fund was as amended and ratified by the shareholder in the AGM held on 30th August, 2011.

As on 31st March, 2011 unutilized funds have been invested in liquid mutual fund schemes, Bank Fixed deposits and repayment of term loan to bank.

41. Sundry Debtors as on the date of Balance Sheet are net of amounts received after discounting of Letter of Credits.

42. Previous Year Figures have been regrouped / Re cast wherever necessary.

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Mar 31, 2014

1.1 Number of Equity Shares outstanding at the beginning and at the end of the year are same i.e. 19500011 of Rs. 10/- each and hence no reconcilation is required

1.2 Terms/Rights attached to equity shares The company has issued only one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividend in Indian Rupees. The dividend proposed by the Board of Directors is subject to approval of the shareholders in the ensuing Annual General Meeting.

During the year ended 31st March 2014 amount per share of dividend recognised as distributions to equity shareholders was Rs. Nil ( P.Y. Rs. Nil) in the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the numbers of equity shares held by shareholders.

2.1 Additional information of Current Matutities of Long Term Debts

Working Capital Demand Loan Rs. 9.40 Lacs crore sanctioned previous year by Canara Bank.

Details of terms of repayment:

F.Y.2013 -14, six equal monthly installments of Rs. 2.55 crores in April - 2013, Rs. 2.55 crores in May - 2013, Rs. 1.15 Lacs crores in June - 2013 and Rs. 0.25 Lacs crores in July-2013.

Working Capital facilities is secured by Hypothecation of all Current Assets of the Company. The facilities are further collaterally Secured

by equitable Mortgage of Land and Building at Boisar Unit and Hypothecation of all Fixed Assets of Boisar Unit. Interest Rate-base rate

4.50% currently 14.75% per annum with monthly rest. Other Terms Loan which are Auto Loans are secured against respective Vehicles.

2. CONTINGENT LIABILITIES (Rs. in Lacs)

Sr Particulars As at 31ST March 2014 As at 31ST March 2013 No

(A) Guarantees outstanding 365.86 511.04

Income Tax Demands including interest which is under dispute and pending 221.83 149.23 in appeals

(C) Custom duty on pending export obligation against import of machinery 144.85 144.85

3. SEGMENT REPORTING

The company primarily deals in the business of Manufacturing, Repair, Refurbishment and Upliftment of transformers and there are no material exports hence there is no Primary reportable segment, either product wise or geographical, in the context of Accounting Standard 17 issued by The Institute of Chartered Accountants of India.

4. RELATED PARTY DISCLOSURES

(A) The Company had transaction with the following related parties:

Sr. No. Name of The Related Party Relationship

1) Bilpower Limited Associate

2) Bil Energy Systems Limited Associate

3) Niksan Engineering Company Limited Associate

4) Rajendra Kumar Choudhary Key Management Personnel

5) Choudhary Stamping Proprietory concern of relative of KMP

6) TRC Power Proprietory concern of relative of KMP

Disclosure in respect of Material Related Party Transactions During the year:-

1. Purchase of Goods/Expenses includes: Niksan Engineering Company Limited Rs. 319.56 Lacs (P.Y. Rs. 1486.12 Lacs), Bil Energy Systems Limited Rs. 18.91 Lacs (P.Y. Rs. 42.83 Lacs), TRC Power Rs. NIL Lacs ( P.Y. Rs. 13.65 Lacs).

2. Sales of Goods includes: Bil Energy Systems Limited Rs. NIL Lacs (P.Y. Rs. 67.26 Lacs).

3. Receiving of Services

a) Labour Charges (Expenses) includes:- Choudhary Stamping Rs. 2.79 Lacs (P.Y. Rs. 1.96 Lacs)

b) Rent Expenses includes:- Niksan Engineering Company Limited Rs. 3.60 Lacs (P.Y. Rs. 3.60 Lacs)

4. Finance (Including Loans & Equity Contributions on Cash or Kind)

a) Loans & Advances Received includes: – Bilpower Limited Rs. 10.73 Lacs (P.Y. Rs. 236.19 Lacs), Bil Energy Systems Limited Rs. 88.78 Lacs (P.Y. Rs. NIL), Rajendra Kumar Choudhary Rs. 26.68 Lacs (P.Y. Rs. NIL), Choudhary Stamping Rs. Nil Lacs (P.Y. Rs. 20.00 Lacs).

b) Loans & Advances Given includes: – Niksan Engineering Company Limited Rs. NIL Lacs (P.Y. Rs. 133.15 Lacs), Bil Energy Systems Limited Rs. 3.55 (P.Y. Rs. 0.03 Lacs), TRC Power Rs. NIL Lacs ( P.Y. Rs. 7.36 Lacs).

5. Outstanding as at 31st March, 2014.

a) Expenses Payables includes: – Mohan Ranadive Rs. NIL Lacs (P.Y. Rs. 0.43 Lacs).

b) Loans & Advance Received includes: – Bilpower Limited Rs. 217.23 Lacs (P.Y. Rs. 236.19 Lacs), Bil Energy Systems Limited Rs. 58.72 Lacs (P.Y. Rs. NIL Lacs),

c) Trade Payables includes: – Nik-San Engineering Company Limited Rs. 207.33 Lacs ( P. Y. Rs. NIL Lacs), Bilpower Limited Rs. 76.38 Lacs (P.Y. Rs. 76.38 Lacs), Bil Energy Systems Limited Rs. 18.91 Lacs (P.Y. Rs. 0.70 Lacs), Choudhary Stamping Rs. 6.24 Lacs (P.Y. Rs. 3.99 Lacs), TRC Power Rs. NIL Lacs ( P.Y. Rs. 13.65 Lacs).

d) Loans & Advance Given includes:

5. Term Deposit Receipts wherever obtained are endorsed in favor of Banks and Government Departments against Bank Guarantee, L/C Facility etc.

6. Disclosure pursuant to adoption of accounting standard 15

Gratuity liability for the year is determined on actuarial valuation by the Life Insurance Co of India with whom the company has taken a policy for the settlement of future liability.

7. Some of the Creditors / Debtors / Loans / Advances are subject to confirmations and resultant reconciliation, if any.

8. The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

9. In terms of the requirements of the Accounting Standards-28 on "Impairment of Assets" issued by the Institute of Chartered Accountants of India, the amount recoverable against Fixed Assets has been estimated for the period by the management based on present value of Annual Report 2011 - 2012 estimated future cash flows expected to arise from the continuing use of such assets. The recoverable amount so assessed was found to be adequate to cover the carrying amount of the assets, therefore no provision for impairment in value thereof has been considered necessary, by the management.

10. As per the best estimate of the management, no provision is required to be made as per Accounting Standard (AS) 29 "Provision, Contingent Liabilities & Contingent Assets" as notifed by the companies (Accounting Standards) Rules 2006, in respect of any present obligation as a result of a past event that could lead to a probable outflow of resources which would be required to settle the obligation.

11. As at 31st March, 2014, IPO proceeds have been utilised as stated below. The utilisation of fund was as amended and ratified by the shareholder in the AGM held on 30th August, 2011.

12. During the financial year the company has written off stock of Boisar Unit only.

13. Sundry Debtors as on the date of Balance Sheet are net of amounts received after discounting of Letter of Credits.

14. Previous Year Figures have been regrouped / Re cast wherever necessary.

Signature to the Balance Sheet, Statement of profit and Loss and notes which form an integral part of accounts.

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Mar 31, 2013

1. CONTINGENT LIABILITIES (Rs. in Lacs)

Sr. No. Particulars As at 31ST As at 31ST March 2012 March 2012

(A) Guarantees outstanding 511.04 1605.87

(B) Income Tax Demands including interest which is under dispute and pending in appeal 149.23 -

(C) Custom duty on pending export obligation against import of machinery 144.85 -

2. SEGMENT REPORTING

The company primarily deals in the business of Manufacturing, Repair, Refurbishment and Upliftment of transformers and there are no material exports hence there is no Primary reportable segment, either product wise or geographical, in the context of Accounting Standard 17 issued by The Institute of Chartered Accountants of India.

Disclosure in respect of Material Related Party Transactions During the year:-

1. Purchase of Goods/Expenses includes: - Nik-San Engineering Company Limited Rs. 1486.12 Lacs (P.Y. Rs. 301.73 Lacs), Bil Energy Systems Limited Rs. 42.83 Lacs (P.Y. Rs. 30.25 Lacs), TRC Power Rs. 13.65 Lacs ( P.Y. Rs. NIL).

2. Sales of Goods includes: - Nik-San Engineering Company Limited Rs. NIL (P.Y. Rs. 2.01 Lacs ), Bilpower Limited Rs.. NIL (P.Y. Rs. 595.95 Lacs ), Bil Energy Systems Limited Rs. 67.26 Lacs (P.Y. Rs. 386.69 Lacs).

3. Labour Charge (Income) includes: – Bil Energy Systems Limited Rs. NIL (Rs. 0.12 Lacs )

4. Receiving of Services

A) Payment of Remuneration includes: – Mohan Ranadive Rs. NIL (P.Y. Rs. 6.51 Lacs).

B) Labour Charges (Expenses) includes:- Choudhary Stamping Rs. 1.96 Lacs (P.Y. Rs. 2.29 Lacs)

C) Rent Expenses includes:- Nik-San Engineering Company Limited Rs. 3.60 Lacs (P.Y. Rs. NIL)

5. Finance (Including Loans & Equity Contributions on Cash or Kind)

A) Loans & Advances Received includes: – Bilpower Limited Rs. 236.19 Lacs (P.Y. Rs. NIL), Choudhary Stamping Rs. 20.00 Lacs (P.Y. Rs. NIL).

B) Loans & Advances Given includes: – Nik-San Engineering Co Limited Rs. 133.15 Lacs (P.Y. Rs. NIL), Bil Energy Systems Limited Rs. 0.03 (P.Y. Rs. 148.50 Lacs), TRC Power Rs. 7.36 Lacs ( P.Y. Rs. NIL).

6. Purchase of Investment Includes:- Bilpower Limited Rs. NIL (P.Y. Rs. 2.00 Lacs)

7. Outstanding as at 31st March, 2013.

A) Trade Payables includes: – Nik-San Engineering Company Limited Rs. NIL ( P.Y. Rs. 167.22 Lacs), Bilpower Limited Rs. 76.38 Lacs (P.Y. Rs. 76.A3A8n Lnacnus)ua, BalillR ERneeeprgpoy orSytrst2e 0m21s0 L1im 1-it 2e-d 02 Rs.10 021.720 Lacs (P.Y. Rs. NIL), Choudhary Stamping Rs. 3.99 Lacs (P.Y. Rs. 2.05 Lacs), TRC Power Rs. 13.65 Lacs ( P. Y. Rs. NIL).

B) Trade Receivables includes: – Bil Energy Systems Limited Rs. NIL (P.Y. Rs. 519.23 Lacs)

C) Loans & Advance Given includes:

Nik San Engineering Company Limited Rs. 133.15 Lacs ( P.Y. Rs. NIL), Bil Energy Systems Limited Rs. 117.53 Lacs (P.Y. Rs. 148.50 Lacs)

D) Loans & Advance Receivable includes:- Bilpower Limited Rs. 236.19 Lacs (P.Y. Rs. NIL Lacs)

E) Expenses Payables includes: - Mohan Ranadive Rs. 0.43 Lacs (P.Y. Rs. 0.67 Lacs).

3. Term Deposit Receipts wherever obtained are endorsed in favor of Banks and Government Departments against Bank Guarantee, L/C Facility etc.

4. Disclosure pursuant to adoption of accounting standard 15

Gratuity liability for the year is determined on actuarial valuation by the Life Insurance Co of India with whom the company has taken a policy for the settlement of future liability.

5. Some of the Creditors / Debtors / Loans / Advances are subject to Confrmations and resultant reconciliation, if any.

6. The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

7. In terms of the requirements of the Accounting Standards-28 on "Impairment of Assets" issued by the Institute of Chartered Accountants of India, the amount recoverable against Fixed Assets has been estimated for the period by the management based on present value of estimated future cash fows expected to arise from the continuing use of such assets. The recoverable amount so assessed was found to be adequate to cover the carrying amount of the assets, therefore no provision for impairment in value thereof has been considered necessary, by the management.

8. As per the best estimate of the management, no provision is required to be made as per Accounting Standard (AS) 29 "Provision, Contingent Liabilities & Contingent Assets" as notifed by the companies (Accounting Standards) Rules 2006, in respect of any present obligation as a result of a past event that could lead to a probable outfow of resources which would be required to settle the obligation.

9 As at 31st March, 2013, IPO proceeds have been utilised as stated below. The utilisation of fund was as amended and ractifed by the shareholder in the AGM held on 30th August, 2011.

10. During the current fnancial year the company has recognized obsolete stock provision @ 20% on stock in Boisar Unit only.

11. Previous Year Figures have been regrouped / recast wherever necessary. Signature to the Balance Sheet, Statement of Proft and Loss and notes which form an integral part of accounts.

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Mar 31, 2012

1.1 Terms/Rights attached to equity shares

The company has issued only one class of equity shares having a par value of Rs. I0/- per share. Each holder of equity shares is entitled to one vote per share.The company declares and pays dividend in Indian Rupees.The dividend proposed by the Board of Directors is subject to approval ofthe shareholders in the ensuing Annual General Meeting.

During the year ended 3Ist March 20I2 amount per share of dividend recognised as distributions to equity shareholders was Rs. Nil ( PY. Rs. Nil) In the event of liquidation ofthe company, the holders of equity shares will be entitled to receive remaining assets ofthe company, after distribution of all preferential amounts. The distribution will be in proportion to the numbers of equity shares held by shareholders.

1.2 Terms of repayment of Term Loan

The Company has Common Loan Agreement during the previous year with Dhanlaxmi Bank Ltd. Rupee Term Loan amount Rs. 500.00 Lacs sanctioned during year by Dhanlaxmi Bank Ltd.

The initial interest rate is 13.50% (Base Rate 4.25% fixed per annum with reset after 2 years) p.a with monthly rest.

The Loan is to be paid in 18 equal quarterly installments starting after six months from the date of disbursement.

Nature of security for Term Loan from Bank :

Term loan secured by exclusive charge on "HAEFELY" make Impulse Generator of Pali Unit.

1.3 Other Terms Loan which are Auto Loans are secured against respective Vehicles.

2.1 Working Capital facilities is secured by Hypothecation of all Current Assets. The facilities are further collaterally Secured by equitable Mortgage of Land and Building at Boisar Unit and Hypothecation of all Fixed Assets of Boisar Unit.

3.1 Trade Payables Includes Rs. 167.22 Lacs (P.Y.Rs. 3.80 Lacs ) payable to Related Party Niksan Engineering Co Ltd Trade Payables Includes Rs. 2.05 Lacs (PY.Rs. I.28 Lacs ) payable to Related Party Choudhary Stamping

Trade Payables Includes Rs. 76.38 Lacs (P.Y.Rs. I29.22 Lacs) payable to Related Party Bilpower Limited

3.2 The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said act have not been given.

4.1 For Current Maturities of Long Terms Debts Refer Note No.4.I

4.2 For Current Maturities of Long Terms Car Loan Refer Note No.4.2

4.3 Other payables includes provision of leave encashment Rs. 1.74 Lacs (P.Y. Rs. I.48 Lacs)

5.1 Trade receivables includes amount due from following related parties Bil Energy Systems Limited Rs. 519.23 Lacs (PY. Rs. I98.52 Lacs )

6. CONTINGENT LIABILITIES

Guarantee given to Various Electricity Board etc, Rs. 1605.87 Lacs (P.Y Guarantee Rs. 829.09 Lacs)

7. SEGMENT REPORTING

The company primarily deals in the business of Manufacturing, Repair, refurbishment and upliftment of transformers and there are no material exports hence there is no Primary reportable segment, either product wise or geographical, in the context of Accounting Standard I7 issued by The Institute of Chartered Accountants of India.

8. RELATED PARTY DISCLOSURES

(A) The Company had transaction with the following related parties:

Sr. No. Name of The Related Party Relationship

1) Bilpower Limited Associate

2) Bil Energy Systems Ltd Associate

3) Niksan Engineering Company Ltd Associate

4) Mohan W. Randive Key Management Personnel

5) Choudhary Stamping Proprietary concern of relative of - KMP

Disclosure in respect of Material Related Party Transactions During the year :

1. Purchase of Goods/Expenses includes: Niksan Engineering Co Ltd Rs.301.73 Lacs (P.Y. Rs.I3.57 Lacs), Bil Energy Systems Limited Rs. 30.25 Lacs (P.Y. Rs.181.20 Lacs), Bilpower Limited Rs.NIL ( P.Y. Rs. 97.82 Lacs).

2. Sales of Goods includes: Niksan Engineering Co Ltd. Rs. 2.01 Lacs (P.Y.Rs. Nil ), Bilpower Limited Rs. 595.95 Lacs (P.Y.Rs. Nil ), Bil Energy Systems Limited Rs. 386.69 Lacs (P.Y.Rs. I98.9I Lacs).

3. Labour Charge (Income) includes: Bil Energy Systems Limited Rs. 0.12 Lacs (P.Y. Rs. Nil )

4. Receiving of Services

A) Payment of Remuneration includes: Mohan Ranadive Rs. 6.51 Lacs (P.Y.Rs. 6.72 Lacs).

B) Labour Charges (Expenses) includes: Choudhary Stamping Rs. 2.29 Lacs (P.Y.Rs. I.48 Lacs)

5. Finance (Including Loans & Equity Contributions on Cash or Kind)

A) Loans & Advances Received includes: Bilpower Limited Rs. Nil (P.Y. Rs. 70.33 Lacs)

B) Loans & Advances Given includes: Bil Energy Systems Limited Rs. 148.50 Lacs (P.Y. Rs. Nil), Bilpower Limited Rs. Nil (P.Y. Rs. 330.74 Lacs)

6. Purchase of Investment Includes: Bilpower Limited Rs. 2.00 Lacs (P.Y.Rs. Nil)

7. Outstanding as at 3Ist March, 20I2.

A) Trade Payables includes: Niksan Engineering Co Ltd Rs. 167.22 Lacs ( P.Y. Rs. 3.80 Lacs), Bilpower Limited Rs. 76.38 Lacs (P.Y. Rs. I29.22 Lacs), Choudhary Stamping Rs. 2.05 Lacs (P.Y.Rs. I.28 Lacs)

B) Trade Receivables includes: Bil Energy Systems Limited Rs. 519.23 Lacs (P.Y. Rs. I98.52 Lacs)

C) Loans & Advance Given includes: Bil Energy Systems Limited Rs. 148.50 Lacs (P.Y. Rs. Nil)

9. RAW MATERIAL CONSUMED

The material purchases have been applied towards manufacturing as well as repairs of transformers. Since the material has been used in common facilities towards both and since the requirement of law is to show consumption of Raw Material for Manufacturing, the same has not been given.

10. Term Deposit Receipts wherever obtained are endorsed in favour of Banks and Government Departments against Bank Guarantee, L/C Facility etc.

11. Disclosure pursuant to adoption of accounting standard I5

Gratuity liability for the year is determined on actuarial valuation by the Life Insurance Co of India with whom the company has taken a policy for the settlement of future liability.

12. Some of the Creditors / Debtors / Loans / Advances are subject to Confirmations and resultant reconciliation, if any.

13. The Company has not received any intimation from the suppliers under the Micro, Small & Medium Enterprises Development Act 2006 & therefore disclosures, if any relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been given.

14. In terms of the requirements of the Accounting Standards-28 on "Impairment of Assets" issued by the Institute of Chartered Accountants of India, the amount recoverable against Fixed Assets has been estimated for the period by the management based on present value of estimated future cash flows expected to arise from the continuing use of such assets. The recoverable amount so assessed was found to be adequate to cover the carrying amount of the assets, therefore no provision for impairment in value thereof has been considered necessary, by the management.

15. As per the best estimate of the management, no provision is required to be made as per Accounting Standard (AS) 29 "Provision, Contingent Liabilities & Contingent Assets" as notified by the companies (Accounting Standards) Rules 2006, in respect of any present obligation as a result of a past event that could lead to a probable outflow of resources which would be required to settle the obligation.

Note: As on 31st March, 20II unutilized funds have been invested in liquid mutual fund schemes, Bank Fixed deposits and repayment of term loan to bank.

16. Previous Year Figures have been regrouped / Re cast wherever necessary.

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Mar 31, 2011

1. Contingent Liabilities

Guarantee given to Various Electricity Board etc,Rs. 829.09 Lacs (P.Y Guarantee Rs. 659.02 Lacs)

2. Segment Reporting

The Company primarily deals in the business of Manufacturing, Repair, refurbishment and upliftment of transformers and there are no material exports hence there is no Primary reportable segment, either productwise or geographical, in the context of Accounting Standard 17 issued by The Institute of Chartered Accountants of India.

3. Related Party Disclosures

(A) The Company had transaction with the following related parties:

Sr. Name of the Related Party Relationship No.

1) Bilpower Limited Associate

2) Bil Energy Systems Ltd Associate

3) Niksan Engineering Company (P) Ltd Associate

4) Mohan W. Randive Key Management Personnel

5) Choudhary Stamping Proprietary concern of relative of- KMP.

4. Production, Turnover and Stock:-

Note:

Quantities are not given as the transformers Sold/ repaired are of varied capacities and specifi cations hence the numbers of transformers would not be meaningful. In view of this the Production column has been omitted as this column normally contains quantities only and not amount.

5. Raw Material Consumed:-

The material purchases have been applied towards manufacturing as well as repairs of transformers Since the material has been used in common facilities towards both and since the requirement of law is to show consumption of Raw Material for Manufacturing, the same has not been given.

6. Term Deposit Receipts wherever obtained are endorsed in favor of Banks and Government Departments against Bank Guarantee, L/C Facility etc.

7. Gratuity liability for the year is determined on actuarial valuation by the Life Insurance Corporation of India with whom the Company has taken a policy for the settlement of future liability.

8. Some of the Creditors / Debtors / Loans / Advances are subject to Confirmations and resultant reconciliation, if any.

9. Interest Income is net of interest expense of Rs. 48.00 Lacs (P.Y. Interest expense is net of interest income of Rs. 23.35 Lacs). Interest income is gross on which tax has been deducted amounting to Rs. 9.98 Lacs (P.Y. Rs. 3.87 Lacs)

10. Previous Year Figures have been regrouped / Re cast wherever necessary.

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Mar 31, 2010

1. CONTINGENT LIABILITIES

Guarantee given to Various Electricity Board Rs. 659.02 lacs (RY Guarantee Rs.575.10 lacs) (Note no. I Schedule M (B) in the Unabridged Annual Report)

2. RATIOS

(i) Sales to total assets ratio - 0.73 Times (Previous Year - 0.76 Times)

(ii) Operating Profit (EBIDTA)/ Closing Capital Employed - 7.82% (Previous Year - I 1.52%)

(iii) Return on Closing Networth - 7.77% (Previous Year - 10.47%)

(iv) Profit (PAT) to sales ratio - 4.68% (Previous Year - 7.35%)

3. Previous year figures has been re-grouped wherever necessary to confirm to current years clasification.

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Mar 31, 2008

1. Segment Reporting

The company primarily deals in the business of Manufacturing, Repair, refurbishment and upliftment of power transformers and there are no exports hence there is no Primary reportable segment, either product wise or geographical, in the context of Accounting Standard 17 issued by The Institute of Chartered Accountants of India.

2. Related Party Disclosures (As per AS -18)

(A) The Company had transaction with the following related parties:

Sr. No. Name of The Related Party Relationship

1) Bilpower Limited Holding Company

2) Naresh Kumar Choudhary Key Management Personnel

3) Rajendra Kumar Choudhary Key Management Personnel

4) Mohan W.Randive Key Management Personnel

5) Niksan Engineering company (P) Ltd Sister Concern

6) Choudhary Stamping Proprietary concern of relative of KMP

7) Manjulata Chaudhary Relative of KMP

3. Term Deposit Receipts wherever obtained are endorsed in favour of Banks and Government Departments against Bank Guarantee, L/C Facility etc.

4. Details of Dues to Micro enterprises and Small enterprises: Under the Micro, Small and Medium Enterprise Development Act, 2006 certain disclosure is required to be made related to micro, small and medium enterprise. The company is in the process of complying relevant information on the supplier about their coverage under the act. Since relevant information is not reality available, no disclosure is made in account.

5. The company has during the year under consideration, acquired the entire business of M/s Varsha Engineers, who were manufacturer of Transformers In view of this, figures of the year are not strictly comparable with the previous year figures. In view of the acquisitions, fixed assets belonging to the erstwhile Varsha Engineers have been shown under the addition column. Similarly depreciation written off until the previous year has been shown under addition.

6. Previous Year Figures have been Regrouped / Re cast wherever necessary.

7. Some of the Creditors / Debtors / Loans / Advances are subject to Confirmations and resultant reconciliation, if any.

8. Other Interest is net of interest income of Rs. 209618 [(Previous year Rs. 144935/-)