Notes to Accounts of Uniroyal Industries Ltd.

Mar 31, 2024

m. Provisions

A provision is recognized when the Company has a present obligation (legal or constructive) as a result of past event, it is
probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable
estimate can be made of the amount of the obligation. If the effect of the time value of money is material, provisions are
determined by discounting the expected future cash flows. These estimates are reviewed at each reporting date and adjusted to
reflect the current best estimates.

Contingent liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or
non-occurrence of one or more uncertain future events beyond the control of the Company or a present obligation that is not
recognized because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability
also arises in extremely rare cases, where there is a liability that cannot be recognized because it cannot be measured reliably.
the Company does not recognize a contingent liability but discloses its existence in the financial statements unless the
probability of outflow of resources is remote.

Provisions, contingent liabilities, contingent assets and commitments are reviewed at each balance sheet date.

n. Employee benefits
Provident fund

Provident fund contribution in respect of employees are made to government as per the Provident Fund Act.

"Gratuity"

Gratuity liability is a defined benefit obligation and is provided for on the basis of an actuarial valuation on projected unit credit
method made at the end of each financial year. The Company has also made contribution to SBI Life Insurance towards a policy
to cover the gratuity liability of the employees to an extent. The difference between the actuarial valuation of the gratuity of
employees at the year-end and the balance of funds with SBI Life is provided for as liability in the books.

Net interest is calculated by applying the discount rate to the net defined benefit (liabilities/assets). The Company recognized the
following changes in the net defined benefit obligation under employee benefit expenses in statement of profit and loss

(i) Service cost comprising current service cost, past service cost, gain & loss on curtailments and non routine settlements.

(ii) Net interest expenses or income

Remeasurements, comprising of actuarial gains and losses, the effect of the asset ceiling, excluding amounts included in net
interest on the net defined benefit liability and the return on plan assets (excluding amounts included in net interest on the net
defined benefit liability), are recognized immediately in the Balance Sheet with a corresponding debit or credit to retained
earnings through OCI in the period in which they occur. Remeasurements are not reclassified to profit or loss in subsequent
periods.

Short-term obligations

Liabilities for wages and salaries, including non monetary benefits that are expected to be settled wholly within twelve months
after the end of the period in which the employees render the related service are recognized in respect of employee service upto
the end of the reporting period and are measured at the amount expected to be paid when the liabilities are settled. the liabilities
are presented as current employee benefit obligations in the balance sheet.

o. 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.

p. Earning per share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to equity shareholders by the
weighted average number of equity shares outstanding during the period. The weighted average number of equity shares
outstanding during the period is adjusted for events such as bonus issue, bonus element in a rights issue, share split, and
reverse share split (consolidation of shares) that have changed the number of equity shares outstanding, without a
corresponding change in resources.

q. Foreign currencies

Items included in the financial statements are measured using the currency of the primary economic environment in which the
Company operates (‘the functional currency''). The Company''s financial statements are presented in Indian rupee (Rs) which is
also the Company''s functional and presentation currency.

Foreign currency transactions are recorded on initial recognition in the functional currency, using the exchange rate prevailing at
the date of transaction. However, for practical reasons, the Company uses an average rate if the average approximates the
actual rate at the time of the transaction.

Measurement of foreign currency items at the balance sheet date

Foreign currency monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot
rates of exchange at the reporting date.

Exchange differences arising on settlement or translation of monetary items are recognized as income or expense in the period
in which they arise with the exception of exchange differences on gain or loss arising on translation of non-monetary items
measured at fair value which is treated in line with the recognition of the gain or loss on the change in fair value of the item (i.e.,
translation differences on items whose fair value gain or loss is recognized in OCI or profit or loss are also recognized in OCI or
profit or loss, respectively).

r. Fair value measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market
participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the
asset or transfer the liability takes place either:

(i) In the principal market for the asset or liability, or

(ii) In the absence of a principal market, in the most advantageous market for the asset or liability
The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the
asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant''s ability to generate economic benefits
by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest
and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient date are avilable to
measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair
value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

(i) Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities

(ii) Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or
indirectly observable

(iii) Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is
unobservable

For assets and liabilities that are recognized in the financial statements on a recurring basis, the Company determines whether
transfers have occurred between levels in the hierarchy by re-assessing categorization (based on the lowest level input that is
significant to the fair value measurement as a whole) at the end of each reporting period.

External valuers are involved for valuation of significant assets, such as properties and financial assets and significant liabilities.
Involvement of external valuers is decided upon annually by the management. The management decided, after discussions
with the Company''s external valuers which valuation techniques and inputs to use for each case.

At each reporting date, the management analyses the movements in the values of assets and liabilities which are required to be
remeasured or re-assessed as per the Company''s accounting policies.

The management in conjuction with the Company''s external valuers, also compares the change in the fair value of each asset
and liability with relevant external sources to determine whether the change is reasonable.

For the purpose of fair value disclosures, the Company determines classes of assets and liabilities on the basis of the nature,
characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above.

s Dividend

Final dividend proposed by the Board of Directors is recognized upon approval by the shareholders who have the right to
decrease but not increase the amount of dividend recommended by the Board of Directors. Interim dividends are recognized on
declaration by the Board of Directors.

2.C Significant accounting judgements, estimates and assumptions

The preparation of the Company’s financial statements requires management to make judgements, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the
disclosure of contingent liabilities. These estimates are based on the management''s best knowledge of current events,
historical experience, actions that the Company may undertake in the future and on various other assumptions that are believed
to be reasonable under the circumstances. Uncertainty about these assumptions and estimates could result in outcomes that
require a material adjustment to the carrying amount of the asset or liability affected in future periods.

Judgements

In the process of applying the Company’s accounting policies, management has made the following judgements, which have the
most significant effect on the amounts recognized in the financial statements.

(a) Operating lease commitments - Company as lessee

The Company has taken various properties on leases. the Company has determined, based on an evaluation of the terms and
conditions of the arrangements, such as the lease term not constituting a substantial portion of the economic life of the
commercial property, and that it does not retain all the significant risks and rewards of ownership of these properties and
accounts for the contracts as operating leases.

Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a
significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are
described below. The Company based its assumptions and estimates on parameters available when the financial statements
were prepared. Existing circumstances and assumptions about future developments, however, may change due to market
changes or circumstances arising beyond the control of the Company. Such changes are reflected in the assumptions when
they occur.

(a) Taxes:

Uncertainties exist with respect to the interpretation of complex tax regulations, changes in tax laws, and the amount and timing
of future taxable income. Given the wide range of business relationships and the long term nature and complexity of existing
contractual agreements, differences arising between the actual results and the assumptions made, or future changes to such
assumptions, could necessitate future adjustments to tax income and expense already recorded. The Company establishes
provisions, based on reasonable estimates. The amount of such provisions is based on various factors, such as experience of
previous tax audits and differing interpretations of tax regulations by the taxable entity and the responsible tax authority. Such
differences of interpretation may arise on a wide variety of issues depending on the conditions prevailing in the respective
domicile of the companies.

(b) Gratuity benefit :

The cost of defined benefit plans (i.e. Gratuity benefit) is determined using actuarial valuations. An actuarial valuation involves
making various assumptions which may differ from actual developments in the future. These include the determination of the
discount rate, future salary increases, mortality rates and future pension increases. Due to the complexity of the valuation, the
underlying assumptions 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. In determining the appropriate discount rate, management
considers the interest rates of long term government bonds with extrapolated maturity corresponding to the expected duration of
the defined benefit obligation. The mortality rate is based on publicly available mortality tables for the specific countries. Future
salary increases and pension increases are based on expected future inflation rates.

(c) Impairment of Financial assets

The impairment provisions of financial assets are based on assumptions about risk of default and expected loss rates. the
Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on
Company’s past history, existing market conditions as well as forward looking estimates at the end of each reporting period.

(d) 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
assets recoverable amount is the higher of an asset’s CGU’S fair value less cost of disposal and its value in use. It is determined
for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets
or Company’s of assets. Where 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. These calculations are
corroborated by valuation multiples, or other fair value indicators.

The Company has a defined benefit gratuity plan. Under Gratuity Plan, every employee who has completed five years or more of
service gets a gratuity on departure at 15 days of last drawn salary for each completed year of service. The scheme is partially funded
with SBI Life Insurance in the form of a qualifying insurance policy.

The gratuity plan is governed by the Payment of Gratuity Act, 1972. The Company has purchased insurance policy, which is basically a
year-on-year cash accumulation plan in which the interest rate is declared on yearly basis and is guaranteed for a period of one year.
The insurance Company, as part of the policy rules, makes payment of all gratuity outgoes happening during the year (subject to
sufficiency of funds under the policy). The policy, thus, mitigates the liquidity risk. However, being a cash accumulation plan, the
duration of assets is shorter compared to the duration of liabilities. Thus, the Company is exposed to movement in interest rate (in
particular, the significant fall in interest rates, which should result in a increase in liability without corresponding increase in the asset.

The following tables summarise the components of net benefit expense recognised in the statement of profit or loss and the funded
status and amounts recognised in the balance sheet for the respective plans:

The Company''s has instituted an overall risk management programme which also focuses on the unpredictability of financial
markets and seeks to minimize potential adverse effects on the Company''s financial performance. The Company uses forward
covers to hedge foreign currency risk exposures.

The Company is exposed to capital risk, market risk, credit risk and liquidity risk. These risks are managed pro-actively by the
Senior Management of the Company, duly supported by various Groups.

a) Capital risk

The Company''s objective when managing capital is to safeguard its ability to continue as a going concern in order to provide
returns to its shareholders and benefits for other stakeholders and to provide for sufficient capital expansion.

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
employees prudent liquidity risk management practices which inter alia means maintaining sufficient cash and the availability of
funding through an adequate amount of committed credit facilities. Given the nature of the underlying businesses, the corporate
finance maintains flexibility in funding by maintaining availability under committed credit lines and this way liquidity risk is mitigated
by the availability of funds to cover future commitments. Cash flow forecasts are prepared and the utilized borrowing facilities are
monitored and there is adequate focus on good management practices whereby the collections are managed efficiently. The
Company while borrowing funds for large capital project, negotiates the repayment schedule in such a manner that these match
with the generation of cash on such investment. Longer term cash flow forecasts are updated from time to time and reviewed by the
Senior management of the Company.

c) Credit risk

Credit Risk is the risk that the counter party will not meet its obligation under a financial instrument or customer contract, leading to
a financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables) and from its
financing activities, including deposits with banks, foreign exchange transactions and other financial instruments.

(i) Trade receivables

Customer credit risk is managed subject to the Company''s established policy, procedures and control relating to customer credit
risk management. Management evaluate credit risk relating to customers on an ongoing basis. Receivable control management
team assesses the credit quality of the customer, taking into account its financial position, past experience and other factors.
Outstanding customer receivables are regularly monitored and any shipments to major customers are generally covered by letters
of credit or other forms of credit insurance. An impairment analysis is performed at each reporting date on group\category basis.
The calculation is based on exchange losses historical data and available facts as on date of evaluation. Trade receivables
comprise a widespread customer base. The Company evaluates the concentration of risk with respect to trade receivables as low,
as its customers are located in several jurisdictions and industries and operate in largely independent markets.

(ii) Financial instruments and cash deposit

Credit risk from balances with banks and financial institutions is managed by the Company''s Banking and Forex team in
accordance with the Company''s policy. The limits are set to minimize the concentration of risks and therefore mitigate financial loss
through counter party''s potential failure to make payments. Credit limits of all authorities are reviewed by the management on
regular basis. All balances with banks and financial institutions is subject to low credit risk due to good credit ratings assigned to the
Company.

d) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market
prices. Market prices comprises three types of risk: currency rate risk, interest rate risk and other price risks, such as equity price
risk and commodity price risk. Financial instruments affected by market risks include loans and borrowings, deposits, and foreign
currency receivables and payables.

For the purpose of the Company''s capital management, capital includes issued equity attributable to the equity shareholders of the
Company, share premium and all other equity reserves. The primary objective of the Company''s capital management is that it maintain an
efficient capital structure and maximize the shareholder value. The Company manages its capital structure and makes adjustments in light
of changes in economic conditions and the requirements of the financial covenants. To maintain or adjust the capital structure, The
Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares. The Company monitors
capital using a gearing ratio, which is net debt divided by total capital plus net debt. The Company includes within net debt, interest bearing
loans and borrowings, trade and other payables, less cash and cash equivalents, excluding discontinued operations.

10 In the opinion of the Directors current assets loans & advances have a value on realization in ordinary course of business at least
equal to the value at which they have been stated in the Balance Sheet.

11 Revenue from contracts is Rs. 1538135.98 which includes revenue from contracts Rs. 1551245.49 minus Rate Difference,
Rejections of Rs. 13109.51.

12 Small Scale Creditors

Sundry Creditors includes Rs. 95285.06 (Previous year - Rs. 33026.48) due to Micro/Small/Medium enterprises . There are four
undertaking from whom amount outstanding for more than 30 Days in respect of small scale undertaking where such dues exceeds
Rs. 1.00 lacs (Previous year Nine)

13 There is no property for which title deeds are not in the name of the company.

14 Investment properties have been stated at historical cost which as per the management is the fair value of these assets. However no
valuation report have been taken from a registered valuer as defined under Rule 2 of Companies ( Registered Valuers & Valuation )
Rules, 2017

15 No loans or advances in the nature of loans have been granted to Promoters, Directors, KMPs and the related parties, either severally
or jointly with other persons.

16 No Benami Property has been held by the company.

17 The company has taken working capital limit from HDFC Bank against the security of current assets of the company. Quarterly
statements of current assets filed by the company with the bank are in agreement with the books of accounts

18 The company is not a declared wilfull defaulter by any bank or Financial instituition or other lender

19 The company does not have ay transactions/relationship with any struck off company.

20 No charge is pending for registration or satisfaction with ROC beyond the Statutory Period

21 Compliance with number of layers of companies is not applicable o the company.

22 No scheme of arrangement was done during the year.

23 Provisions of CSR are not applicable to the company.

24 Company has no transactions in Crypo or virtual currency of any kind during the financial year.

As per our report of even date attached

For Uniroyal Industries Limited For Gopal Bhargawa & Co.

Chartered Accountants

(Arvind Mahajan) (Akhil Mahajan) (Neha Miglani) (Nasib Kumar Jaryal) (Gopal Bhargawa)

Managing Director Executive Director Company Secretary CFO Proprietor

DIN: 00007397 DIN: 00007598 M. No. ACS55845

Firm Regn. No. 026816N

Place: Panchkula M. No. 531619

Dated: 17th May, 2024

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Mar 31, 2015

1 CORPORATE INFORMATION

The company is carrying on the business of manufacture and trading of garment accessories such as labels narrow fabric woven labels, printed labels, hang tags, plastic seals etc. Company has its manufacturing facility at Panchkula, Haryana

Contingent Liabilities

Curr.Yr. Prev.Yr.

Contingent Liabilities not Provided for

Claims against the company not acknowledged as debt: Nil Nil

Uncalled Liabilities on shares partly paid up: Nil Nil

Arrears of Fixed Cummulative Dividend: Nil Nil

Estimated amount of contracts remaining to be executed on capital account and not provided for: Nil Nil

Other money for which the company is contingently liable:

i) Guarantees given by banks on behalf of the company

- to Reliance Industries Ltd. 5000000 5000000

- to Deputy Commissioner of customs 715000 715000

ii) Letters of credit open by the bank 0 0

3 In the opinion of the Directors current assets loans & advances have a value on realization in ordinary course of business at least equal to the value at which they have been stated in the Balance sheet.

4 Small Scale Creditors

Sundry Creditors includes Rs 15,59,669/- (Previous year -Rs. 17,84,427/-) due to Micro/Small/Medium enterprises. There is no undertaking from whom amount outstanding for more than 30 Days in respect of small scale undertaking where such dues exceeds Rs. 1.00 lacs (Previous year NIL)

5 Balances of sundry creditors, Sundry debtors and other advances are subject to confirmation

6. Employee Benefits

The company has adopted Accounting Standard 15(Revised) on accounting for Employee Benefits and has accounted the liability on the basis of actuarial valuation. The company has taken gratuity policy from SBI Life Insurance Co. Ltd and during the year contributed Rs. 10.00 lacs. Provision for leave salary is made by debit to profit and loss account

7. Related Party disclosures as per AS-18

a. List of related & Associated parties

Name of Party Relationship

Uniroyal Builders & Developers Partnership Investment of 50% Share of the Company

A M Textiles & Knitwears Limited 100% subsidiary company

b. Key management personnel

Mr. Arvind Mahajan Managing Director

Mrs Rashmi Mahajan Executive Director

Mr. Akhil Mahajan Executive Director

Mr. Abhay Mahajan Executive Director

8. Previous Years Figures

Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current year's classification /disclosure.

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Mar 31, 2014

1.Issued, Subscribed And Paid Up Capital Uniroyal Industries Ltd 82,68,720 ( Previous year-82,68,720) Equity shares of Rs. 10/- each -22,33,200 Shares of Rs. 10/- each fully paid up have been allotted pursuant to a scheme of Amalgamation, without payments being received in cash in 2006 Details of shares held by each shareholder holding more than 5% shares Equity Shares with voting rights

(a) Cash Credit from banks- secured

Secured by way of first charge on debtors arising out of trade transactions & stocks of raw materials and consumable stores stocks in process finished goods and packing materials and by way of charge on the immovable assets of the company and personal guarantees of promoter directors

2. Contingent Liabilities Curr. Yr. Prev. Yr.

Contingent Liabilities Not Provided for

Claims against the company not Nil Nil acknowledged as debt :

Uncalled Liabilities on shares partly Nil Nil paid up :

Arrears of Fixed Cummulative Dividend : Nil Nil

Estimated amount of contracts remaining to be executed on capital account and not provided for: Nil Nil

Other money for which the company is contingently liable :

i) Guarantees given by banks on behalf of the company

- to Reliance Industries Ltd. 5000000 5000000

- to Deputy Commissioner of customs 715000 715000

ii) Letters of credit open by the bank 0 0

3 In the opinion of the Directors current assets loans & advances have a value on realization in ordinary course of business at least equal to the value at which they have been stated in the Balance sheet.

4 Small Scale Creditors

Sundry creditors includes Rs 17,84,427/- (Previous year- Rs. 12,26,609/- ) due to Micro/Small/Medium enterprises. There is no undertaking from whom amount outstanding for more than 30 days in respect of small scale underakings where such dues exceeds Rs. 1.00 lacs ( Previous year NIL)

5 Balances of sundry creditors, Sundry debtors and other advances are subject to confirmation

6 Following items are being carried in the name of the erstwhile company i.e. Sidharta Textile Mills Ltd. which was subsequently merged with the company:

Fixed Assets - Vehicles (Santro and Honda CRV) included in the fixed assets note no ''9'' having WDV as on 31.3.2014 amounting to Rs. 2.17 lacs

7 The effect of profit / loss (if any) in case of investment in the following Partnership Firms for the period from the availability of the audited financial statements upto the date of annual accounts i.e 31.03.2014 have not been considered in these financial statement as the same are not available with the company.

In case of Uniroyal Builders & Promoters w.e.f 1.4.2007.

8 Employee Benefits

The Company has adopted Accounting Standard 15 (Revised) on accounting for Employee Benefits and has accounted the liability on the basis of acturial valuation. The company has teken gratuity policy from SBI Life Insurance Co. Ltd and during the year contributed Rs. 10.00 lacs.. Provision for leave salary is made by debit to profit and loss account.

The necessary disclosure as per Accounting Standard 15 is as under :

9 Related Party disclosures as per AS-18

a. List of related & Associated parties

Name of Party Relationship

Uniroyal Builders & Developers Partnership Investment of 50% Share of the Company

Uniroyal Builders & Promoters Partnership Investment 25% Share of the Company

A MTextiles & Knitwears Limited 100% subsidiary company

b. Key management personnel

Mr. Arvind Mahajan Managing Director

Mrs Rashmi Mahajan Executive Director

Mr. Akhil Mahajan Executive Director Mr. Abhay Mahajan Executive Director

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Mar 31, 2013

1. CORPORATE INFORMATION

The company is carrying on the business of manufacture and trading of garment accessories such as labels narrow fabric woven labels, prinited labels, hang tags, plastic seals etc. Company has its manufacturing facility at Panchkula, Haryana

2. Contingent Liabilities

Curr.Yr. Prev.Yr.

Contingent Liabilities Not Provided for

Claims against the company not acknowledged as debt: Nil Nil

Uncalled Liabilities on shares partly paid up: Nil Nil

Arrears of Fixed Cummulative Dividend: Nil Nil

Estimated amount of contracts remaining to be executed on capital account and not provided for: Nil Nil

There is a contingent liability of Rs. 138.02 lacs in respect of closed pharma divison merged with the company on account of sales tax exemption availed by it. The erestwhile company was granted sales tax exemption for Rs. 506.85 lacs to be availed in 120 months by DETC, Patiala based on the eligibility certificate issued by the DIC Patiala on the basis of unit beiing considrered as EOU. Later on due to inadequate exports the category of the company was shifted from category A to B i.e General category vide letter dated 26/09/2002. The sales tax exemption claimed by the erestwhile company was within the eligibility limits of category B granted to the company. However later on the letter of category change was withdrawn by the department. This suo motto withdrawal of the eligiblity of exemptiom is illegal and unjustified and the company is making efforts to restore the exemption. While framing assessment for the year 2004-05 a demand notice of Rs. 56.65 lac was raised by the AETC on the basis that the company being inelignle for sale tax exemtion. The company has taken upo the matter with the Punjab Government through Industries departmeny. The matter has been refereed to cabinet and is pending for decision. The company has not recognised this liability in the books being hopeful of favourable decision.

3 In the opinion of the Directors current assets loans & advances have a value on realization in ordinary course of business at least equal to the value at which they have been stated in the Balance sheet.

4 Small Scale Creditors

Sundry creditors includes Rs 12,26,609/- (Previous year- Rs. 9,69,854/-) due to Micro/Small/Medium enterprises. There is no undertaking from whom amount outstanding for more than 30 days in respect of small scale underakings where such dues exceeds Rs. 1.00 lacs (Previous year NIL)

5 Balances of sundry creditors, Sundry debtors and other advances are subject to confirmation

6 Following items are being carried in the name of the erstwhile company i.e. Sidharta Textile Mills Ltd. which was subsequently merged with the company:

Fixed Assets - Vehicles (Santro and Honda CRV) included in the fixed assets note no ''9'' having WDV as on 31.3.2013 amounting to Rs. 4.00 lacs

7 The effect of profit / loss (if any) in case of investment in the following Partnership Firms for the period from the availability of the audited financial statements upto the date of annual accounts i.e 31.03.2013 have not been considered in these financial statement as the same are not available with the company.

In case of Uniroyal Builders & Promoters w.e.f 1.4.2007.

8 Previous Years Figures

Previous year''s figures have been regrouped / reclassified wherever necessary to correspond with the current year''s classification / disclosure.

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Mar 31, 2012

1 CORPORATE INFORMATION

The company is carrying on the business of manufacture and trading of garment accessories such as labels narrow fabric woven labels, printed labels, hang tags, plastic seals etc. Company has its manufacturing facility at Panchkula, Haryana

2 Contingent Liabilities

Curr.Yr. Prev.Yr.

Contingent Liabilities Not Provided for

Claims against the company not acknowledged as debt: Nil Nil

Uncalled Liabilities on shares partly paid up: Nil Nil

Arrears of Fixed Cumulative Dividend : Nil Nil

Estimated amount of contracts remaining to be executed on capital account and Nil Nil not provided for:

Other money for which the company is contingently liable:

i) Guarantees given by banks on behalf of the company

- to Reliance Industries Ltd. 5000000 5000000

- to Deputy Commissioner of customs 715000 715000

ii) Letters of Credit opened by the Bank 0 0

There is a contingent liability of Rs. 138.02 lacs in respect of closed pharma division merged with the company on account of sales tax exemption availed by it. The erstwhile company was granted sales tax exemption for Rs. 506.85 lacs to be availed in 120 months by DETC, Patiala based on the eligibility certificate issued by the DIC Patiala on the basis of unit being considered as EOU. Later on due to inadequate exports the category of the company was shifted from category A to B i.e General category vide letter dated 26/09/2002. The sales tax exemption claimed by the erstwhile company was within the eligibility limits of category B granted to the company. However later on the letter of category change was withdrawn by the department. This suo motto withdrawal of the eligibility of exemption is illegal and unjustified and the company is making efforts to restore the exemption. While framing assessment for the year 2004-05 a demand notice of Rs. 56.65 lac was raised by the AETC on the basis that the company being ineligible for sale tax exemption. The company has taken upto the matter with the Punjab Government through Industries department. The matter has been refereed to cabinet and is pending for decision. The company has not recognized this liability in the books being hopeful of favorable decision.

3 In the opinion of the Directors current assets loans & advances have a value on realization in ordinary course of business at least equal to the value at which they have been stated in the Balance sheet.

4 Small Scale Creditors

Sundry creditors includes Rs. 9,69,854/- (Previous year - Rs. 8,56,614/-) due to Micro/Small/Medium enterprises. There is no undertaking from whom amount outstanding for more than 30 days in respect of small scale undertakings where such dues exceeds Rs. 1.00 lacs (Previous year NIL)

5 Balances of sundry creditors, Sundry debtors and other advances are subject to confirmation

6. Following items are being carried in the name of the erstwhile company i.e. Sidharta Textile Mills Ltd., which was subsequently merged with the company:

Fixed Assets - Vehicles (Santro and Honda CRV) included in the fixed assets note no '9' having WDV as on 31.3.2012 amounting to Rs. 5.84 lacs

7. The effect of profit/loss (if any) in case of investment in the following Partnership Firms for the period from the availability of the audited financial statements upto the date of annual accounts i.e 31.03.2012 have not been considered in these financial statement as the same are not available with the company.

In case of Uniroyal Builders & Promoters w.e.f 1.4.2007.

8 Employee Benefits

The Company has adopted Accounting Standard 15 (Revised) on accounting for Employee Benefits and has accounted the liability on the basis of acturial valuation. The company has taken gratuity policy from SBI Life Insurance Co. Ltd and during the year contributed Rs. 2.50 lacs. Provision for leave salary is made by debit to profit and loss account.

9 Related Party disclosures as per AS-18

a. List of related & Associated parties

Name of Party Relationship

Uniroyal Builders & Developers Partnership Investment of 50% Share of the Company

Uniroyal Builders & Promoters Partnership Investment 25% Share of the Company

AM Textiles & Knitwears Limited 100% subsidiary company

(b) Key management personnel

Mr.Arvind Mahajan Managing Director

Mrs Rashmi Mahajan Executive Director

Mr.Akhil Mahajan Executive Director

Mr. Abhay Mahajan Executive Director

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Mar 31, 2010

1. Contingent Liabilities

Contingent Liabilities Not Provided for Current Year Previous Year

Claims against the company not acknowledged as debt: Nil Nil

Uncalled Liabilities on shares partly paid up : Nil Nil

Arrears of Fixed Cummulative Dividend: Nil Nil Estimated amount of contracts remaining to be executed on capital

account and not provided for: Nil Nil Other money for which the company is contingently liable :

i) Guarantees given by banks on behalf 50 Lakhs 50 Lakhs

of the company - to Reliance Industires Ltd.

ii) Letters of Credit opened by the Bank 0 0

iii) There is a contingent liability of Rs. 138.02 lacs in respect of closed pharma divison merged with the company on account of sales tax exemption availed by it. The erstwhile Company was granted Sale Tax Exemption for Rs. 506.85 lacs to be availed in 120 months by AETC Patiala based on the eligibility certificate issued by the DIC Patiala on the basis of the unit being considered as EOU. Later on due to inadequate exports the category of the company was shifted from Category A to B i.e. General Category vide letter dated 26/09/2002. The sales tax exemption claimed by the erstwhile company was within the eligibility limits of category B granted to the company. However as mentioned by DETC (Appeals) the afore mentioned letter was withdrawn by the department. This suo motto withdrawal of the eligibility of exemption is illegal and unjustified and the company is making efforts to restore the exemption. However while framing assessment for the year 2004-05 a demand notice of Rs. 56.65 lacs was raised by The Excise & Taxation Officer on the basis of the erstwhile company being ineligible for sales tax exemption. The company has preferred an appeal before the Deputy Excise and Taxation Commissioner, Appeals, Patiala and the decision of which is still awaited. The company has not recognised this liability in the books being hopeful of the favourable decision.

2. In the opinion of the Directors current assets loans & advances have a value on realization in ordinary course of business at least equal to the value at which they have been stated in the Balance sheet.

3. Small Scale Creditors

Sundry creditors includes Rs 526022/- (Previous year- Rs. 104518/-) due to Micro/Small/Medium enterprises. There is no undertaking from whom amount outstanding for more than 30 days in respect of small scale undertakings where such dues exceeds Rs.1 lac. ( Previous year-Nil)

4. Balances of sundry creditors, Sundry debtors and other advances are subject to confirmation.

5. Following items are being carried in the name of the erstwhile company i.e. Sidharta Textile Mills Ltd. which was subsequently merged with the company :

Fixed Assets - Vehicles (Santro and Honda CRV) included in the fixed assets schedule E having WDV as on 31.3.2010 amounting to Rs. 9.50 lacs

6. Following items are being carried in the name of directors of the company

Fixed Assets - Vehicles (Innova) included in the fixed assets schedule E having WDV as on 31.3.2010 amounting to Rs.5.60 lacs

7. The effect of profit / loss (if any) in case of investment in the following Partnership Firms for the period from the availability of the audited financial statements upto the date of the Annual Accounts i.e. 31.3.2010 have not been considered in these financial statements as the same are not available with the company:

In case of Uniroyal Builders & Promoters w.e.f 1.4.2007.

8. Managerail Remuneration

(Remuneration is within the limit prescribed under Schedule XIII to the Companies Act, 1956.)

9. Employee Benefits

The Company has adopted Accounting Standard 15 (Revised) on accounting for Employee Benefitsed by the Institute of Chartered Accountants of India and has accounted the liability and planned assets on the basis of actuarial valuation during the year company took gratuity policy form SBI Life Insurance Co. Ltd. and contributed Rs. Five Lacs.

10. Related Party disclosures as per AS-18

a) List of related & Associated parties

Name of Party Relationship

Uniroyal Builders & Developers Partnership Investment of 50% Share of the Company

Uniroyal Builders & Promoters Partnership Investment 25% Share of the Company

A M Textiles & Knitwears Ltd. 100% subsidiary company

b) Key management personnel

Mr. Arvind Mahajan Managing Director

Mrs Rashmi Mahajan Executive Director Mr. Akhil Mahajan Executive Director

Mr. Abhay Mahajan Executive Director

Mr. Pritam Chand Mahajan Director

11. Information required by paragraph 3,4 (C) and 4(D) of part-ll of schedule VI of Companies Act,1956.

12. Previous Years Figures

Previous Years figures have been rearranged where ever necessary.

13. Balance sheet abstract and companys general profile as per Part IV of schedule VI of the Companies Act, 1956: