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A Oneindia Venture

Nifty 25,966.40 +0.58%

22k Gold ₹ 12,300 /gm

Sensex 84,929.36 +0.53%

Nifty 25,966.40 +0.58%

22k Gold ₹ 12,300 /gm

Sensex 84,929.36 +0.53%

Nifty 25,966.40 +0.58%

22k Gold ₹ 12,300 /gm

Notes to Accounts of United Credit Ltd.

Mar 31, 2025

2.6 Provisions, Contingent Liabilities
and Contingent Assets Provisions

Provisions are recognised when the Company has a present obligation (legal or constructive) as a
result of past event, it is probable that the Company will be required to settle the obligation, and a
reliable estimate can be made of the amount of the obligation.

The amount recognised as a provision is the best estimate of the consideration required to settle the
present obligation at the end of the reporting period, taking into account the risks and uncertainties
surrounding the obligation. When a provision is measured using the cash flows estimated to settle the
present obligation, its carrying amount is the present value of those cash flows (when the effect of the
time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be recovered
from a third party, a receivable is recognised as an asset if it is virtually certain that reimbursement
will be received and the amount of the receivable can be measured reliable.

Onerous contracts

An onerous contract is considered to exist where the Company has a contract under which the
unavoidable costs of meeting the obligations under the contract exceed the economic benefits
expected to be received from the contract. Present obligation arising under onerous contracts are
recognised and measured as provisions.

Contingent liabilities

Contingent liability is a possible obligation that arises from past events and 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; or is a present obligation that arises from past events
but is not recognized because either it is not probable that an outflow of resources embodying
economic benefits will be required to settle the obligation, or a reliable estimate of the amount of the
obligation cannot be made. Contingent liabilities are disclosed and not recognized. In the normal
course of business, contingent liabilities may arise from litigation and other claims against the
Company. Guarantees are also provided in the normal course of business. There are certain
obligations which management has concluded, based on all available facts and circumstances, are no
probable of payment or are very difficult to quantify reliably, and such obligations are treated as
contingent liabilities and disclosed in the notes but are not reflected as liabilities in the standalone
financial statements. Although there can be no assurance regarding the final outcome of the legal
proceedings in which the Company is involved, it is not expected that such contingencies will have a
material effect on its financial position or profitability.

Contingent Assets

Contingent Assets are neither recognized nor disclosed except when realization of income
is virtually certain.

2.7 Leases
As a lessee

The company recognises a right-of-use asset and a lease liability at the lease commencement date.

The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease
liability adjusted for any lease payments made at or before the commencement date, plus any initial
direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to
restore the underlying asset or the site on which it is located, less any lease incentives received.

The right-of-use asset is subsequently depreciated using the straight-line method from the
commencement date to the earlier of the end of the useful life of the right-of-use asset or the end of
the lease term. The estimated useful lives of right-of-use assets are determined on the same basis as
those of property and equipment. In addition, the right-of-use asset is periodically reduced by
impairment losses, if any, and adjusted for certain re-measurements of the lease liability.

The lease liability is initially measured at the present value of the lease payments that are not paid at
the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot
be readily determined, companyâs incremental borrowing rate.

Generally, the company uses its incremental borrowing rate as the discount rate.

Lease payments included in the measurement of the lease liability comprise the following:

- Fixed payments, including in-substance fixed payments;

- Variable lease payments that depend on an index or a rate, initially measured using the index or rate as
at the commencement date;

- Amounts expected to be payable under a residual value guarantee; and

- The exercise price under a purchase option that the company is reasonably certain to exercise, lease
payments in an optional renewal

As a lessor

Assets subject to operating leases are included in fixed assets. Lease income is recognised in the
statement of profit and loss on a straight- line basis over the lease term. Costs, including depreciation
are recognised as an expense in the statement of Profit &Loss. Initial direct costs such as legal costs,
brokerage costs, etc. are recognised immediately in the statement of Profit &Loss.

Assets given under a finance lease are recognised as a receivable at an amount equal to the net
investment in the lease. Lease income is recognised over the period of the lease so as to yield a
constant rate of return on the net investment in the lease. Initial direct costs relating to assets given on
finance leases are charged to Statement of Profit and Loss.

2.8 Trade receivables

Trade receivables are recognised initially at fair value and subsequently measured at amortised cost
using the effective interest method, less provision for impairment

2.9 Financial instruments
Recognition of Financial Instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the
contractual provisions of the financial instruments. Loans & advances and all other regular way
purchases or sales of financial assets are recognised and derecognised on the trade date

Initial Measurement of Financial Instruments

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are
directly attributable to the acquisition or issue of financial assets and financial liabilities (other than
financial assets and financial liabilities at FVTPL) are added to or deducted from their respective fair
value on initial recognition. Transaction costs directly attributable to the acquisition of financial assets
or financial liabilities at FVTPL are recognised immediately in statement of profit and loss.

Subsequent Measurement
(A)Financial Assets

Financial Assets carried at Amortised Cost (AC):

A financial asset is measured at amortised cost if it is held within a business model whose objective
is to hold the asset in order to collect contractual cash flows and the contractual terms of the financial
asset give rise on specified dates to cash flows that are solely payments of principal and interest on
the principal amount outstanding.

Financial Assets at Fair Value through Other Comprehensive Income (FVTOCI):

A financial asset is measured at FVTOCI if it is held within a business model whose objective is
achieved by both collecting contractual cash flows and selling financial assets and the contractual
terms of the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.

Financial assets measured at FVTOCI are subsequently measured at fair value. Interest income under
effective interest method, foreign exchange gains and losses and impairment are recognised in the
statement of profit and loss. Other net gains and losses are recognised in Other Comprehensive
Income (OCI). On derecognition, gains and losses accumulated in OCI are reclassified to the
statement of profit and loss.

Financial Assets at Fair Value through Profit or Loss (FVTPL):

A financial asset which is not classified in any of the above categories are measured at FVTPL. A
financial asset that meets the amortised cost criteria or debt instruments that meet the FVTOCI
criteria may be designated as at FVTPL upon initial recognition if such designation eliminates or
significantly reduces a measurement or recognition inconsistency that would arise from measuring
assets or liabilities or recognising the gains and losses on them on different bases. The Company has
not designated any debt instrument as at FVTPL.

Financial assets at FVTPL are measured at fair value at the end of each reporting period, with any
gains or losses arising on re- measurement recognised in statement of profit and loss.

Effective Interest Rate (EIR) Method:

The Effective Interest Rate Method is a method of calculating the amortized cost of a debt instrument
and of allocating interest income or expense over the relevant period. The Effective Interest Rate is
the rate that exactly discounts estimated future cash payments or receipts through the expected life of
the financial asset or financial liability to the gross carrying amount of a financial asset or to the
amortised cost of a financial liability on initial recognition

Impairment of Financial Assets:

The Company applies the expected credit loss model for recognising impairment loss on financial
assets measured at amortised cost, debt instruments at FVTOCI, lease/trade receivables, other
contractual rights to receive cash or other financial asset, and financial guarantees not designated as
at FVTPL.

The Company measures the loss allowance for a financial instrument at an amount equal to the
lifetime expected credit losses if the credit risk on that financial instrument has increased
significantly since initial recognition. If the credit risk on a financial instrument has not increased
significantly since initial recognition, the Company measures the loss allowance for that financial
instrument at an amount equal to 12-month expected credit losses.

When making the assessment of whether there has been a significant increase in credit risk since
initial recognition, the Company uses the change in the risk of a default occurring over the expected
life of the financial instrument instead of the change in the amount of expected credit losses. To make
that assessment, the Company considers reasonable and supportable information, that is available
without undue cost or effort, that is indicative of significant increases in credit risk since initial
recognition.

In case of debt instruments at FVTOCI, the loss allowance measured in accordance with the above
requirements is recognised in other comprehensive income with a corresponding effect to the
statement of profit and loss but is not reduced from the carrying amount of the financial asset in the

balance sheet; so the financial asset continues to be presented in the balance sheet at its fair value.

No Expected credit losses is recognised on equity investments but these are impaired if there is a
permanent diminution in the value of such investments.

For trade receivables or any contractual right to receive cash or another financial asset that result
from transactions that are within the scope of Ind AS 115, the Company measures the loss allowance
at an amount equal to lifetime expected credit losses.

Further, for the purpose of measuring lifetime expected credit loss allowance for trade receivables,
the Company has used a practical expedient as permitted under Ind AS 109. The expected credit loss
allowance is computed based on a provision matrix which takes into account historical credit loss
experience

Derecognition of Financial Assets:

The Company derecognizes a financial asset when the contractual rights to the cash flows from the
asset expire, or when it transfers the financial asset and substantially all the risks and rewards of
ownership of the asset to another party.

On derecognition of a financial asset accounted under Ind AS 109 in its entirety,

a) for financial assets measured at amortised cost, the gain or loss is recognized in the statement
of profit and loss.

b) for financial assets measured at FVTOCI, the cumulative fair value adjustments previously taken
to reserves are reclassified to the Statement of Profit and Loss unless the asset represents an equity
investment in which case the cumulative fair value adjustments previously taken to reserves is
reclassified within equity.

If the transferred asset is part of a larger financial asset and the part transferred qualifies for
derecognition in its entirety, the previous carrying amount of the larger financial asset shall be
allocated between the part that continues to be recognised and the part that is derecognised, on the
basis of the relative fair values of those parts on the date of the transfer.

If the Company neither transfers nor retains substantially all the risks and rewards of ownership and
continues to control the transferred asset, it recognises its retained interest in the assets and an
associated liability for amounts it may have to pay.

(B) Financial Liabilities and Equity Instruments:

Equity Instruments:

An Equity Instrument is any contract that evidences a residual interest in the assets of the Company after
deducting all of its liabilities.

Financial Liabilities:

Financial Liabilities are subsequently measured at amortised cost using the effective interest rate method.
Financial Guarantee Contracts:

Financial guarantee contracts issued by the Company are initially measured at their fair values and, if not
designated as at FVTPL, are subsequently measured at the higher of:

â¢ the amount of loss allowance determined in accordance with impairment requirements of Ind
AS 109; and

â¢ the amount initially recognised less, when appropriate, the cumulative amount of income
recognised in accordance with the principles of Ind AS 115.

Derecognition of financial liabilities:

The Company derecognises financial liabilities when, and only when, the Companyâs obligations are
discharged, cancelled or have expired. An exchange between with a lender of debt instruments with
substantially different terms is accounted for as an extinguishment of the original financial liability
and the recognition of a new financial liability. Similarly, a substantial modification of the terms of
an existing financial liability (whether or not attributable to the financial difficulty of the debtor) is
accounted for as an extinguishment of the original financial liability and the recognition of a new
financial liability. The difference between the carrying amount of the financial liability derecognised
and the consideration paid and payable is recognised in the statement of profit and loss.

Fair Value:

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:

a) In the principal market for the asset or liability, or

b) In the absence of a principal market, in the most advantageous market for the assets 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.

The Company uses valuation techniques that are appropriate in the circumstances and for which
sufficient data are available 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
categorised into Level 1, 2, or 3 based on the degree to which the inputs to the fair value
measurements are observable and the significance of the inputs to the fair value measurement in its
entirety, which are as follows:

â¢ Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the
entity can access at the measurement date;

â¢ Level 2 - Other than quoted prices included within Level 1, that are observable for the asset or
liability, either directly or indirectly; and

â¢ Level 3 - Unobservable inputs for the asset or liability.

2.10 Cash and cash equivalents

Cash and cash equivalents comprise of cash in hand and balances with banks, cheques on hand,
remittances in transit and short-term investments with an original maturity of three months or less that
are readily convertible to know amount of cash and which are subject to an insignificant change in
value.

2.11 Borrowings

Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are
subsequently measured at amortised cost. Any difference between the proceeds (net of transaction
costs) and the redemption amount is recognised in profit or loss over the period of the borrowings
using the effective interest method. Fees paid on the establishment of loan facilities are recognised as
transaction costs of the loan to the extent that it is probable that some or all of the facility will be
drawn down. In this case, the fee is deferred until the draw down occurs. To the extent there is no
evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised
as a prepayment for liquidity services and amortised over the period of the facility to which it relates.

Preference shares, which are mandatorily redeemable on a specific date, are classified as liabilities.
The dividends on these preference shares are recognised in profit or loss as finance costs.

Borrowings are removed from the balance sheet when the obligation specified in the contract is
discharged, cancelled or expired. The difference between the carrying amount of a financial liability
that has been extinguished or transferred to another party and the consideration paid, including any
non-cash assets transferred or liabilities assumed, is recognised in profit or loss as other
gains/(losses).

Borrowings are classified as current liabilities unless the Company has an unconditional right to defer
settlement of the liability for at least 12 months after the reporting period. Where there is a breach of
a material provision of a long-term loan arrangement on or before the end of the reporting period
with the effect that the liability becomes payable on demand on the reporting date, the entity does not
classify the liability as current, if the lender agreed, after the reporting period and before the approval
of the financial statements for issue, not to demand payment as a consequence of the breach.

2.12 Employee Benefits

(i) Short-term obligations:

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled
wholly within 12 months after the end of the period in which the employees render the related service
are recognised in respect of employeesâ services up to the end of the reporting period and are
measured at the amounts expected to be paid when the liabilities are settled. The liabilities are
presented as current employee benefit obligations in the balance sheet

(ii) Other long-term employee benefit obligations:

The liabilities for earned leave are not expected to be settled wholly within 12 months after the end
of the period in which the employees render the related service. They are therefore measured as the
present value of expected future payments to be made in respect of services provided by employees
up to the end of the reporting period using the projected unit credit method. The benefits are
discounted using the market yields at the end of the reporting period that have terms approximating
to the terms of the related obligation. Remeasurements as a result of experience adjustments and
changes in actuarial assumptions are recognised in profit or loss.

The obligations are presented as current liabilities in the balance sheet if the entity does not have an
unconditional right to defer settlement for at least twelve months after the reporting period,
regardless of when the actual settlement is expected to occur.

(iii) Post-employment obligations:

The company operates the following post-employment schemes:

Defined benefit plans such as Gratuity and Leave Encashment
Gratuity and Leave obligations

Gratuity Liability and Long Term compensated absences are defined benefit plans. The cost of
providing benefits is determined in accordance with the advice of independent, professionally qualified
actuaries, using the projected unit credit method.

Re-measurement, comprising actuarial gains and losses, the effect of the changes to the asset ceiling (if
applicable) and the return on plan assets (excluding net interest), is reflected immediately in the
balance sheet with a charge or credit recognised in other comprehensive income in the period in which
they occur. Re-measurement recognised in other comprehensive income is reflected immediately in
retained earnings and is not reclassified to statement of profit and loss. Past service is recognised in
statement of profit and loss in the period of a plan amendment. Net interest is calculated by applying
the discount rate at the beginning of the period to the net defined benefit liability or asset. Defined
benefit costs are categorised as follows:

â¢ service cost (including current service cost, past service cost, as well as gains and losses
on curtailments and settlements);

â¢ net interest expense or income; and

â¢ re-measurement

The Company presents the first two components of defined benefit costs in statement of profit and
loss in the line item âEmployee benefits expenseâ. Curtailment gains and losses are accounted for as
past service costs.

The present value of the defined benefit plan liability is calculated using a discount rate which is
determined by reference to market yields at the end of the reporting period on government bonds.

The retirement benefit obligation recognised in the balance sheet represents the actual deficit or
surplus in the Companyâs defined benefit plans. Any surplus resulting from this calculation is limited
to the present value of any economic benefits available in the form of refunds from the plans or
reductions in future contributions to the plans.

Defined contribution plans

The company pays provident fund contributions to publicly administered provident funds as per local
regulations. The company has no further payment obligations once the contributions have been paid.
The contributions are accounted for as defined contribution plans and the contributions are
recognised as employee benefit expense when they are due. Prepaid contributions are recognized
as an asset to the extent that a cash refund or a reduction in the future payments is available.

2.13 Income taxes

Income tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

The income tax expense or credit for the period is the tax payable on the current periodâs taxable
income based on the applicable income tax rate adjusted by changes in deferred tax assets and
liabilities attributable to temporary differences and to unused tax losses.

The current income tax charge is calculated on the basis of the tax laws enacted or substantively
enacted at the end of the reporting period in the country where the company operate and generate
taxable income. Management periodically evaluates positions taken in tax returns with respect to
situations in which applicable tax regulation is subject to interpretation. It establishes provisions
where appropriate on the basis of amounts expected to be paid to the tax authorities.

MAT credit is recognized as an asset only when and to the extent there is convincing evidence that
the Company will pay normal income tax during the specified period. In the year in which the MAT
credit becomes eligible to be recognized as an asset, the said asset is created by way of a credit to
statement of profit and loss and shown as MAT credit entitlement. The Company reviews the same at
each balance sheet date and writes down the carrying amount of MAT credit entitlement to the extent
there is no longer convincing evidence to the effect that the Company will pay normal income tax
during the specified period.

Deferred tax

Deferred tax is recognised on differences between the carrying amounts of assets and liabilities in the
balance sheet and the corresponding tax bases used in the computation of taxable profit. Deferred tax
liabilities are generally recognised for all taxable temporary differences. Deferred tax assets are
generally recognised for all deductible temporary differences to the extent that it is probable that
taxable profits will be available against which those deductible temporary differences can be utilised.
Such assets and liabilities are not recognised if the temporary difference arises from initial
recognition of other assets and liabilities in a transaction that affects neither the taxable profit nor the
accounting profit.

The carrying amount of deferred tax assets is reviewed at each balance sheet date and reduced to the
extent that it is no longer probable that sufficient taxable profits will be available to allow all or part
of the asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period
in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been
enacted or substantively enacted by the balance sheet date. The measurement of deferred tax
liabilities and assets reflects the tax consequences that would follow from the manner in which the
company, at the reporting date, to recover or settle the carrying amount of its assets and liabilities.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current
tax assets against current tax liabilities and when they relate to income taxes levied by the same
taxation authority and the company intends to settle its current tax assets and liabilities on a net basis.
Current and deferred tax for the year

Current and deferred tax are recognised in the statement of profit and loss, except when they relate to
items that are recognised in other comprehensive income or directly in equity, in which case, the
current and deferred tax are also recognised in other comprehensive income or directly in equity
respectively.

2.14 Revenue recognition

Revenue is recognized to the extent it is probable that the economic benefits will flow to the
Company and the revenue can be reliably measured.

Revenue from Operations is recognized in the Statement of Profit and Loss on an accrual basis as
stated herein below:

(a) Income for financial assets other than those financial assets classified as at Fair value through
profit and loss (âFVTPLâ) is recognized based on the effective interest rate method. Income from
Credit Impaired Financial Assets is recognized on net basis i.e. after considering Impairment Loss
Allowance.

(b) Interest income on fixed deposits/margin money/pass through certificates is recognized on a time
proportion basis taking into account the amount outstanding and the rate applicable.

(d) Income from dividend is recognized when the Companyâs right to receive such dividend is
established, it is probable that the economic benefits associated with the dividend will flow to the
entity, the dividend does not represent a recovery of part of cost of the investment and the amount of
dividend can be measured reliably.

2.15 Prudential Norms

The Company has followed the prudential norms for income recognition and provisioning against
non-performing assets and standard assets as prescribed by the Reserve Bank of India for NonÂ¬
Banking Financial Companies.

2.16 Segment Reporting

â¢ Based on the organizational structures and its Financial Reporting System, the Company has
classified its operation into two e business segments namely Financing Activity and Renting
Activity.

â¢ Revenue and expenses have been identified to segments on the basis of their relationship to the
operating activities of the segment. Revenue and expenses which are related to the enterprise as a
whole and are not allocable to segments on a reasonable basis have been included under unÂ¬
allocable expenses.

2.17 Trade and other payables

These amounts represent liabilities for goods and services provided to the company prior to the end
of financial year which are unpaid. The amounts are unsecured and are usually paid within 30 days of
recognition. Trade and other payables are presented as current liabilities unless payment is not due
within 12 months after the reporting period. They are recognised initially at their fair value and
subsequently measured at amortised cost using the effective interest method.

2.18 Basic earning 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 and excluding treasury shares

2.19 Cash Flow Statement

Cash Flow is reported using the indirect method, whereby profit before tax is adjusted for the effects
of transactions of a non cash nature and any deferrals or accruals of past or future cash receipts or
payments. The cash flow from regular revenue generating, financing and investing activities of the
Company are segregated.

2.20 Exceptional Item

When items of income and expenses within statement of profit and loss from ordinary activities are
of as such size, nature and or incidence that their disclosure is relevant to explain the performance of
the enterprise for the period, the nature and amount of such material items are disclosed separately as
exceptional items.

2.21 Critical estimates and judgements

The following are the critical judgements, apart from those involving estimations, that the
management have made in the process of applying the Company''s accounting policies and that have
the most significant effect on the amounts recognised in the financial statements

Expected credit loss on loans and advances

The Company has used its judgement in determining various parameters of expected credit loss.

These parameters include staging, default, discount rates, expected life, significant increase in credit
risk, amount and timing of future cash flows. In estimating these cash flows, the Company makes
judgement about the realisable value of the securities hypothecated/mortgaged to it, based on the
historical data and/or independent valuation reports.

These assumptions are based on the assumptions about a number of factors and actual results may
differ, resulting in future changes to the impairment allowance.

A collective assessment of impairment takes into account data from the loan portfolio (such as credit
quality, nature of assets underlying assets financed, levels of arrears, credit utilization, loan to
collateral ratios etc.), and the economic data (including levels of unemployment, country risk and
performance of different individual groups). These critical assumptions have been applied
consistently to all period presented.

Business Model Assessment

Classification and measurement of financial assets depends on the results of the SPPI and the
business model test. The Company determines the business model at a level that reflects how groups
of financial assets are managed together to achieve a particular business objective. The Company
monitors financial assets measured at amortized cost or fair value through other comprehensive
income that are derecognized prior to their maturity to understand the reason for their disposal and
whether the reasons are consistent with the objective of the business for which the asset was held.
Monitoring is part of the Companyâs continuous assessment of whether the business model for which
the remaining financial assets are held continues to be appropriate and if it is not appropriate whether
there has been a change in business model and so a prospective change to the classification of those
assets.

2.22 Recent Pronouncement

Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing standards under
Companies (Indian Accounting Standards) Rules as issued from time to time. On March 31, 2023, MCA
amended the Companies (Indian Accounting Standards) Amendment Rules, 2023, as follows:

Ind AS 1 - Presentation of Financial Statements - This amendment requires the entities to disclose their
material accounting policies rather than their significant accounting policies. The effective date for adoption of
this amendment is annual periods beginning on or after April 1, 2023. The company has evaluated the
amendment and the impact of the amendment is insignificant in the standalone financial statements.

Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors - This amendment has
introduced a definition of ''accounting estimates'' and included amendments to Ind AS 8 to help entities
distinguish changes in accounting policies from changes in accounting estimates. The effective date for adoption
of this amendment is annual periods beginning on or after April 1, 2023. The company has evaluated the
amendment and there is no impact on its standalone financial statements.

Ind AS 12 - Income Taxes - This amendment has narrowed the scope of the initial recognition exemptions so
that it does not apply to transactions that give rise to equal and offsetting temporary differences. The effective
date for adoption of this amendment is annual periods beginning on or after April 1, 2023. The company has
evaluated the amendment and there is no impact on its standalone financial statements.

Note 18- Continued

Special reserve (created pursuant to Section 45IC of the Reserve Bank of India Act, 1934)

The amount transferred to statutory reserves has been calculated in accordance with the provision of Section 45-IC of the RBI Act, 1934
Capital Reserve:

This reserve represents the reissue of forfeited shares and capital receipts towards transfer of tenancy right.

Securities Premium:

This reserve represents the premium on issue of shares and can be utilised in accordance with the provisions of the Companies Act, 2013.
Capital Redemption Reserve

In accordance with Rule 18(7)(b)(ii) of the Companies (Share Capital and Debentures) Rules, 2014 read with Section 71(4) of the Companies
General Reserve

General Reserve includes Revenue Reserve of Rs.17,871,849/- (Previous Year Rs.17,871,849/-) being difference between assets and
Retained Earnings:

This reserve represents the cumulative profits of the Company.

26. Employee Benefits

Defined benefit plans
(A) Gratuity Fund :-

The Company makes periodic contributions to the LIC Gratuity Fund, a funded defined benefit-plan for qualifying
employees. The plan provides for a lump-sum payment to vested employees at retirement, death while in employment
or on termination of employment of an amount equivalent to 15 days salary (last drawn) payable for each completed
year of service. Vesting occurs upon completion of five years of service. The Company makes annual contributions to
gratuity funds to LIC. The Company accounts for the liability for gratuity benefits payable in the future based on an
actuarial valuation.

Risk Management

The Defined Benefit Plans expose the Company to risk of actuarial deficit arising out of interest rate risk, Liquidity
Risk, Salary Escalation Risk. Demographic Risk , Regulatory Risk, Asset Liability Mismatching or Market Risk and
Investment Risk.

(a) Interest rate risk : The plan exposes the Company to the risk of fall in interest rates . A fall in the interest rates will
result in an increase in the ultimate cost of Providing the above benefit and will thus result in an increase in the value
of the Liability.

(b) Liquidity Risk : This is the risk that the Company is not able to meet the short-term gratuity payouts.This may arise
due to non availabilty of enough cash/cashequivalent to meet the liabilities or holding of illiquid assets not being

sold in time.

(c) Salary Escalation Risk: The present value of the defined benefit plan is calculated with the assumption of salary
increase rate of plan participants in future.Deviation in the rate of increase of salary in future for plan participants from
the rate of increase in salary used to determine the present value of obligation will have a bearing on the plan''s liabilty.

(d) Demographic risk : the company has used certain mortality and attrition assumptions in valuation of the
liability.The Company is exposed to the risk of actual experience turning out to be worse compared to the assumption.

(e) Regulatory Risk : Gratuity benefit is paid in accordance with the requirements of the Payment of Gratuity Act,1972
(as amended from time to time). There is a risk of change in regulations requiring higher gratuity payouts (e.g.Increase
in the maximum limit on gratuity of Rs. 20,00,000).

(f) Asset Liability Mismatching or Market Risk :The duration of the liabilty is longer compared to duration of assets ,
exposing the Company to market risk for volatilities/fall in interest rate.

(g) Investment Risk : The probability or likelihood of occurrence of losses relative to the expected return on any
particular investment.

For the purpose of the Companyâs capital management, capital includes issued equity capital, share premium and all other reserves
attributable to the equity holders of the parent. The primary objective of the Companyâs capital management is to maximize the value
of the shareholder.

The Company manages its capital so as to safeguard its ability to continue as a going concern and to optimise returns to shareholders.
The capital structure of the Company is based on managementâs judgment of its strategic and day-to-day needs with a focus on total
equity so as to maintain investor, creditors and market confidence.

The Management and the Board of Directors monitors the capital structure and may take appropriate steps in order to maintain, or if
necessary adjust, its capital structure. The Company has no external borrowings in the current year and the previous year. However,
the Company has taken iPhone and Car loan during the current year .

No changes were made in the objectives, policies or processes for managing capital during the years ended March 31, 2025 and
March 31, 2024.

This section gives an overview of the significance of financial instruments for

the Company and provides additional information on balance sheet items that contain

financial instruments

The details of significant accounting policies, including the criteria for recognition, the basis of measurement and
the basis on which income and expenses are recognised in respect of each class of
Financial asset, Financial liability and equity instrument are disclosed in Note 2 to the financial statements.

B. Fair value hierarchy

The following table provides an analysis of financial instruments that are measured subsequent to initial recognition at fair value, grouped into
Level 1 to Level 3, as described below:

Quoted prices in an active market (Level 1): Level 1 hierarchy includes financial instruments measured using quoted prices. This includes
listed equity instruments that have quoted price. The fair value of all equity instruments which are traded in the stock exchanges is valued
using the closing price as at the reporting period.

Valuation techniques with observable inputs (Level 2): The fair value of financial instruments that are not traded in an active market (for
example over-the counter derivatives) is determined using valuation techniques which maximise the use of observable market data and rely as
little as possible on entity-specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is
included in level 2.

Valuation techniques with significant unobservable inputs (Level 3): If one or more of the significant inputs is not based on observable market
data, the instrument is included in level 3. This is the case for unlisted equity securities included in level 3.

C) Financial risk management objectives

The Companyâs business activities are exposed to a variety of financial risks, namely liquidity risk, market risks and credit risk. The
Companyâs senior management has the overall responsibility for establishing and governing the Companyâs risk management framework.
The Company''s senior management is responsible for developing and monitoring the Companyâs risk management policies. The Companyâs
risk management policies are established to identify and analyse the risks faced by the Company, to set and monitor appropriate risk limits
and controls, periodically review the changes in market conditions and reflect the changes in the policy accordingly. The key risks and
mitigating actions are also placed before the Board. The Board of Directors reviews and agrees policies for managing each of these risks,
which are summarized below:

a) 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 factors.
Market risk comprises three types of risk: Interest rate risk, currency risk and other price risk, such as its equity price risk, liquidity risk and
commodity risk.

The Company''s Financial Instruments are exposed to market changes. The Company is exposed to the following significant market risk:

i. Foreign Currency Risk

ii. Interest Rate Risk

iii. Other Price Risk

i. Foreign currency risk

The Company has no exposure to foreign currency instruments and hence not susceptible to Foreign Currency Risks.

ii. Interest rate risk

The Company is not exposed to interest rate risk as the Company currently has no external borrowing.

iii. Price risk

Equity price risk is related to change in market reference price of investments in equity securities held by the Company. The fair value of
quoted investments held by the Company exposes the Company to equity price risks. In general, these investments are not held for trading
purposes. However, as the Company has fully impaired its investments, the Company is no longer exposed to price risks,

b) Liquidity risk

Liquidity Risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that
are settled by delivering cash or another financial asset.

The Company''s treasury maintains flexibility in funding by borrowing short term funds as and when required. However, the Company does
not have any external borrowings in the current year and the preceeding year.

The Companyâs Board of Directors lays down a broad framework for liquidity risk management to ensure that it is in a position to meet its
daily liquidity obligations as well as to withstand a period of liquidity stress from industry, market or a combination of them. The liquidity
profile is analyzed on a static as well as on a dynamic basis by using the gap analysis technique supplemented by monitoring of key liquidity
ratios and conduct of liquidity stress tests periodically.

c) Credit risk

The principal business of the company is to provide financing in the form of loans to its clients primarily to acquire assets. Credit Risk is
the risk of default of the counterparty to repay its obligations in a timely manner resulting in financial loss. The Company also provides
renting services to its clients which result in accrual of Trade Receivables. The Company is exposed to credit risk to the extent of such Trade
Receivables. Credit risk encompasses both the direct risk of default and the risk of deterioration of creditworthiness as well as concentration
risks. The Company has credit policies approved by the Board which lays down the credit evaluation and approval process in compliance
with regulatory guidelines.

The Company uses the Expected Credit Loss (ECL) Methodology to assess the impairment on both loan assets and trade receivables. The
Company reviews its large exposures on quarterly basis to identify cases where the expected credit loss is expected to be higher than the
amount recorded and recognises such impairments additionally.

Note 31: Segment information

Based on the organizational structures and its Financial Reporting System, the Company has classified its operation into two e
business segments namely Financing Activity and Renting Activity.

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision
maker. The chief operating decision-maker, who is responsible for allocating resources and assessing performance of the
operating segments, has been identified as the Chief Executive Officer.

The measurement principles for segment reporting are based on Ind AS segment''s performance and evaluated based on
segment revenue and profit or loss from operating activities

Unallocated expenses/results, assets and liabilities include expenses/results, assets and liabilities(including inter-segment
assets and liabilities) and other activities not allocated to the operating segments. These also include current taxes, deferred
taxes and certain financial assets and liabilities not allocated to the operating segments.

Note 32: Additional Notes to financial statements

A) RBI Disclosure

As required in terms of paragraph 18 under Chapter IV of Non-Banking Financial Company - Non-Systemically
Important Non-Deposit taking Company (Reserve Bank) Directions, 2016, as applicable and amended , the
schedule to the Balance Sheet is appended in Annexure I.

A comparison between provisions required under IRACP and impairment allowances made under Ind AS 109 is
appended in Annexure II.

B) OTHER NOTES

i) No proceedings

have been initiated or pending against the company for holding any benemi property under the benami
Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder and company has not been
declared as wilful defaulter by any bank or institution or other lender.

ii) To the best of the information available, the company has not entered into any transactions with
companies struck off under section 248 of the Companies Act,2013 or section 560 of Companies Act, 1956.

33. Figures pertaining to the previous years have been rearranged/ regrouped, wherever considered necessary,
to make them comparable with those of the current year,

Signatories to Notes 1 to 33.

In terms of our report attached

For L.B. JHA & CO. On behalf of the Board of Directors

Chartered Accountants

Firm Registration No. 301088E

Ranjan Singh
Partner

Membership Number 305423

Place : Kolkata
Date: 28th May, 2025

Mar 31, 2024

2.6 Provisions, Contingent Liabilities
and Contingent Assets Provisions

Onerous contracts

Contingent liabilities

Contingent Assets

Contingent Assets are neither recognized nor disclosed except when realization of income
is virtually certain.

2.7 Leases
As a lessee

The company recognises a right-of-use asset and a lease liability at the lease commencement date.

The lease liability is initially measured at the present value of the lease payments that are not paid at
die commencement date, discounted using the interest rate implicit in die lease or, if that rate cannot
be readily determined, companyâs incremental borrowing rate.

Generally, the company uses its incremental borrowing rate as the discount rate.

Lease payments included in the measurement of the lease liability comprise the following:

- Fixed payments, including in-substance fixed payments;

- Variable lease payments that depend on an index or a rate, initially measured using the index or rate as
at the commencement date;

- Amounts expected to be payable under a residual value guarantee; and

- The exercise price under a purchase option that the company is reasonably certain to exercise, lease
payments in an optional renewal

As a lessor

2.8 Trade receivables

Trade receivables are recognised initially at fair value and subsequently measured at amortised cost
using the effective interest method, less provision for impairment

2.9 Financial instruments
Recognition of Financial Instruments

Initial Measurement of Financial Instruments

Subsequent Measurement
(A)Financial Assets

Financial Assets carried at Amortised Cost (AC):

Financial Assets at Fair Value through Other Comprehensive Income (FVTOCI):

Financial Assets at Fair Value through Profit or Loss (FVTPL):

Financial assets at FVTPL are measured at fair value at the end of each reporting period, with any
gains or losses arising on re- measurement recognised in statement of profit and loss.

Effective Interest Rate (EIR) Method:

Impairment of Financial Assets:

The Company applies the expected credit loss model for recognising impairment loss on financial
assets measured at amortised eost, debt instruments at FVTOCI, lease/trade reeeivables, other
contractual rights to receive cash or other financial asset, and financial guarantees not designated as
at FVTPL.

In case of debt instruments at FVTOCI, the loss allowance measured in accordance with the above
requirements is recognised in other comprehensive income with a corresponding effect to the
statement of nrofit and loss but is not reduced from the carmine amount of the financial asset in the

balance sheet; so the financial asset continues to be presented in the balanee sheet at its fair value.

No Expected credit losses is recognised on equity investments but these are impaired if there is a
permanent diminution in the value of such investments.

For trade receivables or any contractual right to receive cash or another financial asset that result
from transactions that are within the scope of Ind AS 115. the Company measures the loss allowance
at an amount equal to lifetime expected credit losses.

Derecognition of Financial Assets:

On derecognition of a financial asset accounted under Ind AS 109 in its entirety,

a) for financial assets measured at amortised cost, the gain or loss is recognized in the statement
of profit and loss.

(B) Financial Liabilities and Equity Instruments:

Equity Instruments:

An Equity Instrument is any contract that evidences a residual interest in the assets of the Company after
deducting all of its liabilities.

Financial Liabilities:

Financial Liabilities are subsequently measured at amortised cost using the effective interest rate method.
Financial Guarantee Contracts:

Financial guarantee contracts issued by the Company are initially measured at their fair values and. if not
designated as at FVTPL, are subsequently measured at the higher of:

Â¦ the amount of loss allowance determined in accordance with impairment requirements of Ind
AS 109; and

Â¦ the amount initially recognised less, when appropriate, the cumulative amount of income
recognised in accordance with the principles of Ind AS 115.

Derecognition of financial liabilities:

Fair Value:

a) In the principal market for the asset or liability, or

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

â¢ Level 1 - Quoted prices (unadjusted) in active markets for identical assets or liabilities that the
entity can access at the measurement date;

â¢ Level 2 - Other than quoted prices included within Level 1, that are observable for the asset or
liability, either directly or indirectly; and

â¢ Level 3 - Unobservable inputs for the asset or liability.

2.10 Cash and cash equivalents

2.11 Borrowings

Preference shares, which are mandatorily redeemable on a specific date, are classified as liabilities.
The dividends on these preference shares are recognised in profit or loss as finance costs.

2.12 Employee Benefits

(i) Short-term obligations:

(ii) Other long-term employee benefit obligations:

(ill) Post-employment obligations:

The company operates the following post-employment schemes:

Defined benefit plans such as Gratuity and Leave Encashment
Gratuity and Leave obligations

â¢ service cost (including current service cost, past service cost, as well as gains and losses
on curtailments and settlements);

â¢ net interest expense or income; and

â¢ re-measurement

The Company presents the first two components of defined benefit costs in statement of profit and
loss in the fine item âEmployee benefits expenseâ. Curtailment gains and losses are accounted for as
past service costs.

The present value of the defined benefit plan liability is calculated using a discount rate which is
determined by reference to market yields at the end of the reporting period on government bonds.

Defined contribution plans

2.13 Income taxes

Income tax expense represents the sum of the tax currently payable and deferred tax.

Current tax

Deferred tax

2.14 Revenue recognition

Revenue is recognized to the extent it is probable that the economic benefits will flow to the
Company and the revenue can be reliably measured.

Revenue from Operations is recognized in the Statement of Profit and Loss on an accrual basis as
stated herein below:

(b) Interest income on fixed deposits/margin money/pass through certificates is recognized on a time
proportion basis taking into account the amount outstanding and the rate applicable.

(d) Ineome from dividend is recognized when the Companyâs right to receive such dividend is
established, it is probable that the economic benefits associated with the dividend will flow to the
entity, the dividend does not represent a recovery of part of cost of the investment and the amount of
dividend can be measured reliably.

2.15 Prudential Norms

2.16 Segment Reporting

â¢ Based on the organizational structures and its Financial Reporting System, the Company has
classified its operation into two e business segments namely Financing Activity and Renting
Activity.

2.17 Trade and other payables

2.18 Basic earning per share

2.19 Cash Flow Statement

2.20 Exceptional Item

2.21 Critical estimates and judgements

Expected credit loss on loans and advances

The Company has used its judgement in determining various parameters of expected credit loss.

These parameters include staging, default, discount rates, expected life, significant increase in credit
risk, amount and timing of future cash flows. In estimating these cash flows, the Company makes
judgement about the realisable value of the securities hyp othecated/m or t gaged to it, based on the
historical data and/or independent valuation reports.

These assumptions are based on the assumptions about a number of factors and actual results may
differ, resulting in future changes to the impairment allowance.

Business Model Assessment

2.22 Recent Pronouncement

Ind AS 1 - Presentation of Financial Statements - This amendment requires the entities to disclose their
material accounting policies rather dian their significant accounting policies. The effective date for adoption of
this amendment is annual periods beginning on or after April 1, 2023. The company has evaluated the
amendment and the impact of the amendment is insignificant in the standalone financial statements.

Note 18- Continued

Special reserve (created pursuant to Section 451C of the Reserve Bank of India Act, 1934)

The amount transferred to statutory reserves has been calculated in accordance with the provision of Section 45-lC of the RBI Act, 1934 which
requires transfer of 20% of the profit after tax to the statutory reserves.

Capital Reserve:

This reserve represents the reissue of forfeited shares and capital receipts towards transfer of tenancy right
Securities Premium:

This reserve represents the premium on issue of shares and can be utilised in accordance with the provisions of the Companies Act, 2013.

Capital Redemption Reserve

In accordance with Rule I S(''7XbXd) of the Companies (Share Capital and Debentures) Rules, 2014 read with Section 71(4) of the Companies
Act, 2013 the Company has created CRR only for redemption of Preference share capital

General Reserve

General Reserve includes Revenue Reserve of Rs 17,871,849/- (Previous Year Rs. 17,871,849/-) being difference between assets and liabilities
taken over after adjustment of consideration money in terms of Scheme of Amalgamation with United Credit Financial Services Ltd.

Retained Earnings:

This reserve represents the cumulative profits of the Company.

26. Employee Benefits

Defined benefit plans
(A) Gratuity Fund

Risk Management

The Defined Benefit Plans expose the Company to risk of actuarial deficit arising out of interest rate risk, Liquidity
Risk, Salary Escalation Risk. Demographic Risk, Regulatory Risk, Asset Liability Mismatching or Market Risk and
Investment Risk.

(b) Liquidity Risk: This is the risk that the Company is not able to meet the short-term gratuity payouts.This may arise
due to non availabilty of enough cash/cashequi valent to meet the liabilities or holding of illiquid assets not being sold
in time.

(d) Demographic risk: the company has used certain mortality and attrition assumptions in valuation of the liability.The
Company is exposed to the risk of actual experience turning out to be worse compared to the assumption.

(e) Regulatory Risk: Gratuity benefit is paid in accordance with the requirements of the Payment of Gratuity Act 1972
(as amended from time to time). There is a risk of change in regulations requiring higher gratuity payouts (e.g.Increase
in the maximum limit on gTatuity of Rs, 20,00,000).

(f) Asset Liability Mismatching or Market Risk :The duration of the liabilty is longer compared to duration of assets,
exposing the Company to market risk for volatilities/fall in interest rate,

(g) Investment Risk : The probability or likelihood of occurrence of losses relative to the expected return on any
particular investment.

28. CAPITAL MANAGEMENT

For the purpose of the Companyâs capital management, capital includes issued equity capital, share premium and all other reserves attributable to the
equity holders of the parent. The primary objective of the Companyâs capital management is to maximize the value of the shareholder.

The Company manages its capital so as to safeguard its ability to continue as agoing concern and to optimise returns to share holders, The capital
structure of the Company is based on managementâs judgment of its strategic and day-to-day needs with a focus on total equity so as to maintain
investor, creditors and market confidence.

The Management and the Board of Directors monitors the capital structure and may take appropriate steps in order to maintain, or if necessary adjust, its
capital structure. The Company has no external borrowings in the current year and the previous year. However, the Company has taken TV loan during
the current year and Car loan in Previous year.

No changes were made m the objectives, policies or processes for managing capital during the years ended March 31,2024 and March 31, 2023

This section gives an overview of the significance of financial instruments for
the Company and provides additional information on balance sheet items that contain financial instruments

The details of significant accounting policies, including the criteria for recognition, the basis of measurement and
the basis on which income and expenses are recognised in respect of each class of Financial asset, Financial liability and equity
instrument are disclosed in Note 2 to the financial statements.

19. FINANCIAL INSTRUMENTS AND RELATED DISCLOSURES

B. Fair value hierarchy

The following table provides an analysis of financial instruments that are measured subsequent to initial recognition at fair value, grouped into Level l to
Level 3, as described below:

Quoted prices in an active market (Level 1): Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity
instruments that have quoted price. The fair value of all equity instruments which are traded in the stock exchanges is valued using the closing price as at
the reporting period.

Valuation techniques with observable inputs (Level 2) The fair value of financial instruments that are not traded in an active market (for example over-the
counter derivatives) is determined using valuation techniques which maximise the use of observable market data and rely as little as possible on entity-
specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2.

Valuation techniques with significant unobservable inputs (Level 3): If one or more of the significant inputs is not based on observable market data, the
instrument is included in level 3. This is the case for unlisted equity securities included in level 3.

C) Financial risk management objectives

The Company''s business activities are exposed to a variety of financial risks, namely liquidity risk, market risks and credit risk. The Company''s senior
management has the overall responsibility for establishing and governing the Company''s risk management framework. The Company''s senior
management is responsible for developing and monitoring the Company''s risk management policies. The Company''s risk management policies are
established to identify and analyse the risks faced by the Company, to set and monitor appropriate risk limits and controls, periodically review the
changes in market conditions and reflect the changes in the policy accordingly. The key risks and mitigating actions are also placed before the Board.
The Board of Directors reviews and agrees policies for managing each of these risks, which are summarized below:

a) 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 factors. Market risk
comprises three types of risk: Interest rate risk, currency risk and olher price risk, such as its equity price risk, liquidity risk and commodity risk.

The Companyâs Financial Instruments are exposed to market changes. The Company ts exposed to the following significant market risk:

i. Foreign Currency Risk

ii. Interest Rate Risk

iii. Other Price Risk

L Foreign currency risk

The Company has no exposure to foreign currency instruments and hence not susceptible to Foreign Currency Risks.

ii. Interest rate risk

The Company'' is not exposed to interest rate risk as the Company currently has no external borrowing.

iii. Price risk

Equity price risk is related to change in market reference price of investments in equity securities held by the Company. The lair value of quoted
investments held by the Company exposes the Company to equity price risks. In general, these investments are not held for trading purposes. However,
as the Company has fully impaired its investments, the Company is no longer exposed lo price risks.

b) Liquidity risk

Liquidity Risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by
delivering cash or another financial asset.

The Company''s treasury maintains flexibility in funding by borrowing short term funds as and when required. However, the Company does not have
any external borrowings in the current year and the preceeding year.

The Company''s Board of Directors lays down a broad framework for liquidity risk management to ensure that it is in a position to meet its daily
liquidity obligations as well as lo withstand a period of liquidity stress from industry'', market or a combination of them The liquidity profile is
analyzed on a static as well as on a dynamic basis by using the gap analysis technique supplemented by monitoring of key liquidity ratios and conduct
of liquidity stress tests periodically.

cl Credit risk

The principal business of the company is to provide financing in the form of loans to its clients primarily to acquire assets. Credit Risk is the risk of
default of the counteiparty to repay its obligations in a timely manner resulting in financial loss. The Company also provides renting services to its
clients which result in accrual of Trade Receivables, The Company is exposed to credit risk to the extent of such Trade Receivables, Credit risk
encompasses both the direct risk of default and the risk of deterioration of creditworthiness as well as concentration risks. The Company has credit
policies approved by the Board which lays down the credit evaluation and approval process in compliance with regulatory guidelines.

The Company uses the Expected Credit Loss (ECL) Methodology to assess the impairment on both loan assets and trade receivables. The Company
reviews its large exposures on quarterly basis to identify cases where the expected credit loss is expected to be higher than the amount recorded and
recognises such impairments additionally.

Note 31: Segment information

Based on the organizational structures and its Financial Reporting System, the Company has classified its operation into two e
business segments namely Financing Activity and Renting Activity.

The measurement principles for segment reporting are based on Ind AS segment''s performance and evaluated based on
segment revenue and profit or loss from operating activities

Unallocated expenses/results, assets and liabilities include expenses/results, assets and liabilities(induding inter-segment
assets and liabilities) and other activities not allocated to the operating segments. These also include current taxes, deferred
taxes and certain financial assets and liabilities not allocated to the operating segments.

Note 32: Additional Notes to financial statements

A) RBI Disclosure

As required in terms of paragraph IS under Chapter IV of Non-Banking Financial Company - Non-Systemically Important Non-Deposit
taking Company (Reserve Bank) Directions, 2016, as applicable and amended , the schedule to the Balance Sheet is appended in Amrexure
1.

A comparison between provisions required under IRA CP and impairment allowances made under Ind AS 109 is appended in Annexure
II.

B) OTHER NOTES

i) No proceedings have been initiated or pending against the company for holding any benemi property under the benami Transactions
(Prohibition) Act, 1988 (45 of 1988) and the inles made thereunder and company has not been declared as wilful defaulter by any bank or
institution or other lender. ii) To the best of the information available, the company

has not entered into any transactions with companies struck off under section 248 of the Companies Act,2013 or section 560 of Companies
Act, 1956.

iii) Company has not traded or invested in Crypto currency or Virtual currency durintr the financial year.

33. Figures pertaining to the previous years have been rearranged/ regrouped, wherever considered necessary, to make them comparable
with those of the current year.

Signatories to Notes 1 to 33,

In terms of our report attached

For L.B. JHA & CO. On behalf of the Board of Directors

Chartered Accountants

Firm Registration No. 3010SSE

Deepali Gupta A K Dabriwala

Company Secretary Chairman & Managing Director

DIN : 00024498

Ranjan Singh
Partner

Membership Number 305423

Samarjit Jain Pramod Kumar Dhelia

Chief Financial Officer DIN : 00649782

Place : Kolkata
Date: 28th May, 2024

Mar 31, 2015

1. Contingent liabilities not provided for in respect of:

a) Income tax demand for the Assessment Year 1996-97 amounting to Rs. 6,900,919/- (Previous year Rs. 6,900,919/-) including Interest of Rs. 1,031,539/- calculated upto July 2008 against which the Company had filed an appeal under Section 260A of the Income Tax Act, 1961, before the Hon'ble High Court at Calcutta. The Company had already paid a sum of Rs. 6,900,919/- (Previous year Rs. 6,900,919/-) under protest which has been shown under Long-Term Loans and Advances in NOTE 11. However, the case was heard and judgement was given in favour of Income tax department and appeal of the Company was dismissed. The Company, after having consultation with experts, has decided to file an appeal before the Hon'ble Supreme Court shortly.

b) Income tax demand pertaining to Assessment Year 2011-12 amounting to Rs. 88,330/- (Previous year Rs. 85,897/-) in respect of which a rectification petition u/s 154 of the Income tax Act has been filed against Assessment Order u/s 143(3) dated 04/03/2014.

c) Income tax demand pertaining to Assessment Years 2012-13 and 2013-14 amounting to Rs. 171,890/- (Previous Year Rs. 169,750/-) and Rs. 100,740/- (Previous Year Rs. NIL) respectively, the Company has submitted response for outstanding demands to CPC.

2. General Reserve includes Revenue Reserve of Rs. 17,871,849/- (Previous Year Rs. 17,871,849/-) being difference between assets and liabilities taken over after adjustment of consideration money in terms of Scheme of Amalgamation of United Credit Financial Services Ltd.

3. The Company has followed the prudential norms prescribed by the Reserve Bank of India in respect of income recognition and provision for non-performing assets. The Company has made a provision of Rs. 856,800/- as on 31/03/2015 in respect of NPA assets under doubtful category. However, the Company has received an amount of Rs. 582,389/- (Previous year Rs. 582,389/-) towards Interest on Outstanding Principal from M/s The India Jute and Industries Ltd. The sum so received was as per the terms of settlement of our dues mentioned in the Draft Rehabilitation Scheme (DRS) filed with BIFR.

4. In compliance with the Notification No.DNBS/223/CGM(US)-2011 dated 17/01/2011 issued by Reserve Bank of India, the Company has made provision of Rs. 17,821/- (Previous year Rs. NIL) for Standard Assets @0.25% of outstanding loan amount. The Company has maintained a total provision of Rs. 225,399/- (Previous year Rs. 207,578/-) and the same has been separately shown as "Contingent Provisions against Standard Assets" under the head "Long-Term Provisions" under Non-Current Liabilities in NOTE 5.

5. Effective from 1st April 2014, the Company has charged depreciation based on the revised remaining useful life of the assets as per requirement of Schedule II of the Companies Act, 2013. Due to the above, depreciation charged for the year is higher by Rs. 234,328/-. Further based on transitional provision provided in Note 7(b) of the Schedule II, an amount of Rs. 65,541/- (Net of tax of Rs. 29,309/-) has been adjusted with retained earnings against carrying value of those assets whose remaining useful lives have been completed as on 31st March, 2014.

6. The Company is predominantly engaged in Non-Banking Financial activities and therefore Segment Reporting as envisaged in Accounting Standard (AS-17) on Segment Reporting is not applicable.

7. There are no reported micro, small and medium enterprises as defined in, "The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006" to which the Company owes dues and as such the disclosure requirements under Section 22 of the said Act does not arise.

8. The disclosures for "Employee Benefits" as defined in AS-15 (revised 2005) are given below:

Long Term Defined Benefit Plans in respect of Gratuity and Compensated Absences as on 31st March 2015 as per Actuarial Valuations using Projected Unit Credit Method and recognised in the financial statements in respect of Employee Benefit Schemes.

9.During the current year, the Company has computed tax as per normal provisions of the Income Tax Act, 1961 and is eligible to claim MAT Credit to the extent as specified under Section 115JAA (4) & (5) of the said Act.

10. Paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007.

As required in terms of paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007, the Note to the Balance Sheet is appended hereunder:

Notes:-

1. As defined in paragraph 2(1)(xii) of the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank) Directions, 1998.

2. Provisioning norms are applicable as prescribed in Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007.

3. Market value in respect of quoted investments and break up / fair value / NAV in respect of unquoted investments are disclosed.

11. The previous year's figures have been regrouped, recast and rearranged wherever necessary to make it comparable with the current year figures.

Mar 31, 2014

Note 1

a) Rights, preferences and restrictions attached to shares :

i) The Company has one class of Equity Shares having par value of Rs. 10/- per share at the end of the year. These Shares rank pari passu in all respects including voting rights and entitlement of dividend.

ii) 12.5% Redeemable Cumulative Preference Shares :

Pursuant to Order of the Hon''ble High Court at Calcutta on 2nd July 2008, 1,055,086 12.5% Redeemable Cumulative Preference Shares of Rs. 10/- each were issued and allotted on 4th September 2008 by way of conversion of equal number of Equity Shares of Rs. 10/- each without payment being received in cash. These Preference Shares are redeemable at a premium of 50% at the end of five years from the date of issue i.e. 03/09/2013 or earlier at the option of the Company which since been redeemed on 03/09/2013.

2. Contingent liabilities not provided for in respect of:

a) Income tax demand for the Assessment Year 1996-97 amounting to Rs. 6,900,919/- (Previous Year Rs. 6,900,919/-) including Interest of Rs. 1,031,539/- calculated upto July 2008 against which the Company had filed an application under Section 260A of the Income Tax Act, 1961 (the ''Act'') before the Hon''ble High Court at Calcutta. However a sum of Rs. 6,900,919/- (Previous Year Rs. 6,900,919/-) had been paid under protest which has been shown under Long-Term Loans and Advances in NOTE 11.

b) Income tax demand pertaining to Assessment Year 2011-12 amounts to Rs. 85,897/- (Previous year Rs. 75,767/-) against which a rectification petition u/s 154 of The Income Tax Act, 1961 has been filed.

c) Income tax demand pertaining to Assessment year 2012-13 amounts to Rs. 169,750/- (Previous Year Rs. NIL) against which a rectification petition u/s 154 of The Income Tax Act, 1961 has been filed.

3. General Reserve includes Revenue Reserve of Rs. 17,871,849/- (Previous year Rs. 17,871,849/-) being difference between assets and liabilities taken over after adjustment of consideration money in terms of Scheme of Amalgamation of United Credit Financial Services Ltd.

4. The Company has redeemed 1,055,086 12.5% Redeemable Cumulative Preference Shares of Rs. 10/- each at a premium of Rs. 5/- per share on 3rd September, 2013. In view of Redemption of Preference Shares, the Company has obtained legal opinion and as advised, made necessary transfers and adjustments in the books, details of which have been shown under "Reserves & Surplus" in NOTE 2.

5. The Company has followed the prudential norms prescribed by the Reserve Bank of India in respect of income recognition and provision for non performing assets and accordingly during the current year provision of Rs. 285,600/- (Previous Year Rs. 285,600/-) has been made making a total provision of Rs. 856,800/- (Previous Year Rs. 571,200/-) as at the end of the year.

6. In compliance with the Notification No.DNBS/223/CGM(US)-2011 dated 17/01/2011 issued by Reserve Bank of India, no provisions @0.25% on Standard Assets is required to be made during the year. Excess provision amounting to Rs. 6,933/- (Previous Year Rs. 226,280/-) has been written back during the year and shown under the head "Other Income" in NOTE 17. Total provision of Rs. 207,578/- (Previous year Rs. 214,511/-) has been separately shown as "Contingent Provisions against Standard Assets" under the head "Long-Term Provisions" under Non- Current Liabilities in NOTE 5.

7. The Company is predominantly engaged in Non-Banking Financial activities and therefore Segment Reporting as envisaged in Accounting Standard (AS-17) on Segment Reporting is not applicable.

8. There are no reported micro, small and medium enterprises as defined in, "The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006" to which the Company owes dues and as such the disclosure requirements under Section 22 of the said Act does not arise.

9. The disclosures for "Employee Benefits" as defined in AS-15 (revised 2005) are given below:

Long Term Defined Benefit Plans in respect of Gratuity and Compensated Absences as on 31st March 2014 as per Actuarial Valuations using Projected Unit Credit Method and recognised in the financial statements in respect of Employee Benefit Schemes.

10 During the current year, the Company has computed tax as per normal provisions of the Income Tax Act, 1961 and is eligible to claim MAT Credit to the extent as specified under Section 115JAA (4) & (5) of the same Act.

Notes:-

1. As defined in paragraph 2(1 )(xii) of the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank) Directions, 1998.

2. Provisioning norms are applicable as prescribed in Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007.

3. Market value in respect of quoted investments and break up / fair value / NAV in respect of unquoted investments are disclosed.

11 The previous year''s figures have been regrouped, recast and rearranged wherever necessary to make it comparable with the current year figures.

Mar 31, 2013

1.1 Contingent liabilities not provided for in respect of:

a) Income tax demand for the Assessment Year 1996-97 amounting to Rs. 6,900,919/- (Previous Year Rs. 6,900,919/-) including Interest ofRs. 1,031,539/- calculated upto July 2008 against which the Company had filed an application under Section 260A of the Income Tax Act, 1961 before the Hon''ble High Court at Calcutta. However a sum of Rs. 6,900,919/- (Previous Year Rs. 6,900,919/-) had been paid under protest which has been shown under Long-Term Loans and Advances in NOTE 11.

b) Income tax demand pertaining to Assessment Year 2011-12 of Rs. 75,767/- pending hearing with Dy. Commissioner of Income Tax.

c) Dividend on 12.5% Redeemable Cumulative Preference Shares ofRs. 1,318,858/- (Previous YearRs. NIL).

1.2 in respect of certain parties where suits have been filed and settlements made, interest has been calculated up to the date of filing suits / settlements. Amount so received taken into account on cash basis.

1.3 The Company has followed the prudential norms prescribed by the Reserve Bank of India in respect of income recognition and provision for non performing assets and accordingly during the current year provision of Rs. 285,600/- (Previous Year Rs. 285,600/-) has been made making a total provision of Rs. 571,200/- (Previous Year Rs. 285,600/-) as at the end of the year.

1.4 In compliance with the Notification No.DNBS/223/CGM(US)-2011 dated 17/01/2011 issued by Reserve Bank of India, the Company has made provision of Rs. NIL (Previous Year t 13,857/-) for Standard Assets @0.25% of the outstanding loan amount. During the year an amount of Rs.226,280/- towards excess provision has been written back and shown under the head "Other Income" in NOTE 17. The Company has maintained a total provision of t 214,511/- (Previous Year Rs. 440,791/-) and the same has been separately shown as "Contingent Provisions against Standard Assets" under the head "Long-Term Provisions" under Non-Current Liabilities in NOTE 5.

1.5 The Company is predominantly engaged in Non-Banking Financial activities and therefore Segment Reporting as envisaged in Accounting Standard (AS-17) on Segment Reporting is not applicable.

1.6 There are no reported micro, small and medium enterprises as defined in "The Micro, Small and Medium Enterprises Development (MSMED) Act, 2006" to which the Company owes dues and as such the disclosure requirements under Section 22 of the said Act does not arise.

1.7 The disclosures for "Employee Benefits" as defined in AS-15 (revised 2005) are given below:

Long Term Defined Benefit Plans in respect of Gratuity and Compensated Absences as on 31st March 2013 as per Actuarial Valuations using Projected Unit Credit Method and recognised in the financial statements in respect of Employee Benefit Schemes.

1.8 During the current year, the Company has computed tax as per normal provisions of the Income Tax Act, 1961 and is eligible to claim MAT Credit to the extent as specified under Section 115JAA (4) & (5).

1.9 Paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007.

As required in terms of paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007, the Note to the Balance Sheet is appended hereunder:

Notes:-

1. As defined in paragraph 2(1 )(xii) of the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank) Directions, 1998.

2. Provisioning norms are applicable as prescribed in Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007

3. Market value in respect of quoted investments and break up / fair value / NAV in respect of unquoted investments are disclosed.

1.10 The previous year''s figures have been regrouped, recast and rearranged wherever necessary to make it comparable with the current year figures.

Mar 31, 2012

1. The above Cash Flow Statement has been compiled from and is based on the Balance Sheet as at 31st March, 2012 and the related Statement of Profit and Loss for the year ended on that date.

2. The above Cash Flow Statement has been prepared under "Indirect Method" as set out in the Accounting Standard (AS-3) on "Cash Flow Statement", issued by The Institute of Chartered Accountants of India and reallocations required for this purpose are made by the Company.

3. In the above Cash Flow Statement, Cash and Cash Equivalents do not include bank balances of unpaid dividend account which are not available for use by the Company.

4. Figures in parenthesis represent outflow.

5. Previous year's figures have been regrouped, recast, wherever necessary, to conform current year's presentation.

a) Rights, preferences and restrictions attached to shares :

i) The Company has two types of share capital i.e. equity and preference. These shares carry the same right as mentioned in Sections 85 and 87 of the Companies Act, 1956. Pursuant to the Scheme of Arrangement approved by the Hon'ble High Court at Calcutta by an Order dated 2nd July 2008, preference shares also carry a right to be paid a fixed premium of 50% at the time of redemption.

ii) 12.5% Redeemable Cumulative Preference Shares :

Pursuant to Order of the Hon'ble High Court at Calcutta on 2nd July 2008, 1,055,086 12.5% Redeemable Cumulative Preference Shares of Rs. 10/- each were issued and allotted on 4th September 2008 by way of conversion of equal number of Equity Shares of Rs. 10/- each without payment being received in cash. These Preference Shares are redeemable at a premium of 50% at the end of five years from the date of issue i.e. 03/09/2013 or earlier at the option of the Company.

Note :

i) General Reserve includes Revenue Reserve of Rs. 17,871,849/- being difference between assets and liabilities taken over after adjustment of consideration money in terms of Scheme of Amalgamation of United Credit Financial Services Ltd.

Note :

(a) Other payables represent amount payable on account of liabilities for expenses and statutory dues.

(**) 250,000 Shares of United Nanotech Products Ltd. have been pledged on Collateral Security with Technology Development Board, New Delhi.

1.1 Contingent liabilities not provided for in respect of:

Income tax demand for the Assessment Year 1996-97 amounting to Rs. 6,900,919/- (Previous year Rs. 6,900,919/-) including Interest of Rs. 1,031,539/- calculated upto July 2008 against which the Company had filed an application under Section 260A of the Income Tax Act before the Hon'ble High Court at Calcutta. However a sum of Rs. 6,900,919/- (Previous year Rs. 6,900,919/-) had been paid under protest which has been shown under Long- Term Loans and Advances in NOTE 11.

1.2 In respect of certain parties where suits have been filed and settlements made, interest has been calculated upto the date of filing suits/settlements. Amount so received taken into accounts on Cash Basis.

1.3 The Company has followed the prudential norms prescribed by the Reserve Bank of India in respect of income recognition and provision for non performing assets and accordingly during the current year provision of Rs. 285,600/- (Previous year Rs. NIL) has been made and a sum of Rs. NIL (Previous year Rs. 1,038,389/-) has been written off.

1.4 In order to comply with the Notification No.DNBS/223/CGM(US)-2011 dated 17/01/2011 issued by Reserve Bank of India, the Company has made balance provision of Rs. 13,857/- (previous year Rs. 426,934/-) for Standard Assets at 0.25% of outstanding loan amount, making thereby a total provision of Rs. 440,791/- for the year ended 31.03.2012. The said provision has been separately shown as "Contingent Provisions against Standard Assets" under the head "Long-Term Provisions" under Non-Current Liabilities in Note 5 of Balance Sheet.

1.5 The Company had submitted its bid during the financial year 2010-11 to Industrial Investment Bank of India Ltd (IIBI) for purchase of Non-performing Assets (NPA) pertaining to India Jute and Industries Ltd. The Company had been declared the successful bidder for the same by IIBI vide its letter no. IIBI/HO/275/2011 dated 3rd February 2011. As per norms of Tender Document, Company has paid full bid money of Rs. 2,856,000/- to IIBI Ltd. towards such purchase. The Deed of Assignment of Debt, in this regard was executed on 1st July 2011, before the Additional Registrar of Assurance III, Kolkata.

Pursuant to Section 135 of the Companies Act, 1956 modification of charge in favour of the Company, being assignee, has been filed with the Registrar of Companies, West Bengal.

The above NPA (Loan Assets) so purchased has been shown as Long-term Loans & Advances under Non- Current Assets in Note 11 of Balance Sheet.

As required under the prudential norms prescribed by the Reserve Bank of India, a provision of Rs. 285,600/- has been made on purchase of Non-performing Assets. The said provision has been shown as Long-term Provisions under Non-Current Liabilities in Note 5 of Balance Sheet.

1.6 The Company is predominantly engaged in Non-banking Financial Activities and therefore Segment Reporting as envisaged in Accounting Standard (AS-17) on Segment Reporting is not applicable.

1.7 There are no reported micro, small and medium enterprises as defined in "The Micro, Small and Medium Enterprise Development Act, 2006" to which the Company owes dues and as such the disclosure requirements under Section 22 of the said Act does not arise.

1.8 Employee Benefits

Long Term Defined Benefit Plans in respect of Gratuity and Compensated Absences as on 31st March 2012 as per Actuarial Valuations using Projected Unit Credit Method and recognised in the financial statements in respect of Employee Benefit Schemes.

The above MAT Credit entitlement is eligible for set off in subsequent years.

1.9 The Company has been informed by United Nanotech Products Ltd. (UNTPL) that there has been substantial increase in revenue during the financial years 2010-2011 and 2011-2012. Going by this trend, the management of UNTPL is confident that in a span of five years, they will be able to liquidate accumulated loss.

Considering the facts as stated by UNTPL, there is no permanent diminution in the value of investments made by United Credit Ltd. and hence the question of provision for shortfall in the value of investment does not arise.

1.10 Paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007.

As required in terms of paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank Directions, 2007, the Note to the Balance Sheet is appended hereunder.

Notes:-

1. As defined in paragraph 2(1)(xii) of the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank) Directions, 1998.

2. Provisioning norms shall be applicable as prescribed in Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007.

3. Market value in respect of quoted investments and break up / fair value / NAV in respect of unquoted investments are disclosed except investments in unquoted equity shares & preference shares of United Nanotech Products Limited for which break up value could not be ascertained, hence disclosed at book value.

1.11 Consequent to the notification of Revised Schedule VI under the Companies Act, 1956, the financial statements for the year ended March 31, 2012 are prepared as per the Revised Schedule VI. Accordingly, previous year figures have also been reclassified to conform to this year's classification and also have been regrouped, recast and rearranged wherever necessary to make it comparable with the current year figures. The adoption of Revised Schedule VI for previous year figures does not impact recognition and measurement principles followed for preparation of financial statements.

Mar 31, 2011

1. Accounting of Assets given on finance lease upto 31st March 2001 has been made as per earlier Guidance Note on Accounting for leases issued by The Institute of Chartered Accountants of India.

2. General Reserve Includes Revenue Reserve of Rs.17,871,849/- being difference between assets and liabilities - taken over after adjustment of consideration money in terms of Scheme of Amalgamation of United Credit Financial Services Limited.

3. Contingent liabilities not provided for in respect of:

Income tax demand for the Assessment Year 1996-97 amounting to Rs. 6,900,919/- (Previous year Rs. 6,900,919/-) including Interest of X1,031,539/- calculated upto July 2008 against which the Company had filed an application under Section 260A of the Income Tax Act before the Hon'ble High Court at Kolkata. However a sum of Rs. 6,900,919/- (Previous.year Rs. 6,900,919/-) had been paid under protest which has been shown under Loans and Advances.

4. In respect of certain parties where suits have been filed and settlements made, interest has been calculated upto the date of filing suits/settlements. Amount so received taken into accounts on Cash Basis.

5. The Company has followed the prudential norms prescribed by the Reserve Bank of India in respect of income recognition and provision for non performing assets and accordingly during the year provision of Rs. NIL (Previous year Rs. NIL) has been made and a sum of Rs. 1,038,389/- (Previous year Rs. 3,078,202/-) has been written off.

6. In order to comply with the Notification No.DNBS/223/CGM(US)-2011 dated 17/01/2011 issued by Reserve Bank of India, the Company has made provision of Rs. 426,934/- for Standard Assets at 0.25% of outstanding amount. The said provision has been separately shown as "Contingent Provisions against Standard Assets" under the head "Provisions" in the Balance Sheet.

7. Pursuant to Section 205C(2)(d) of the Companies Act, 1956, the Company has transferred an amount of Rs. 4,538,055/- (Previous year
8. The Company had submitted its bid during the current financial year to Industrial Investment Bank of India Ltd (IIBI) for purchase of non performing assets pertaining to India Jute and Industries Ltd. The Company had been declared the successful bidder for the same by IIBI vide its letter no.HBI/HO/275/2011 dated 3rd February 2011. Out of total approved bid money of Rs. 2,856,000/-, Rs. 2,142,000/- has been paid by the Company to IIBI as advance towards such purchase. The execution of assignment agreement in respect of this purchase is in process,pending completion of execution of assignment agreement. The amount paid to IIBI has been shown under Loans and Advances in Schedule 9.

12. The Company is predominantly engaged in Non-banking Financial Activities and trading/dealing in shares and therefore Segment Reporting as envisaged in Accounting Standard (AS-17) on Segment Reporting is not applicable.

15. As required in terms of paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies

Prudential Norms (Reserve Bank) Directions, 2007, the schedule to the Balance Street is appended.

17. There are no reported micro, small and medium enterprises as defined in "The Micro Small and Medium Enterprise Development Act, 2006" to which the Company owes dues and as such the disclosure requirements under Section 22 of the said Act have not been made.

18. Provision for Minimum Alternative Tax for the current year has been made in view of Inadequate Tax under other provisions of the Income Tax Act, 1961.

19. The Previous year's figures have been regrouped, recast and rearranged wherever necessary to make it comparable with the current year figures.

Mar 31, 2010

1. Accounting of Assets given on finance lease upto 31st March 2001 has been made as per earlier Guidance Note on Accounting for leases issued by The Institute of Chartered Accountants of India.

2. General Reserve includes Revenue Reserve of Rs.17,871,849/- being difference between assets and liabilities taken over after adjustment of consideration money in terms of Scheme of Amalgamation of United Credit Financial Services Limited.

3. Contingent liabilities not provided for in respect of:

Income tax demand for the Assessment Year 1996-97 amounting to Rs.6,900,919/- (Previous year Rs.6,900,919/-) including Interest of Rs.1,031,539/- calculated upto July 2008 against which the Company has filed an application under Section 260A of the Income Tax Act before the Honble High Court at Kolkata. However a sum of Rs.6,900,919/- (Previous year Rs.6,900,919/-) has been paid under protest which has been shown under Loans and Advances.

4. In respect of certain parties where suits have been filed and settlements made, interest has been calculated upto the date of filing suits/settlements. Amount received taken into accounts on Cash Basis.

5. The Company has followed the prudential norms prescribed by the Reserve Bank of India in respect of income recognition and provision for non performing assets and accordingly during the year provision of Rs.NIL (Previous year Rs.1,423,594/-) has been made and a sum of Rs.3,078,202/- (Previous year Rs.177,056/-) has been written off.

6. a) The debentures issued by the Company had been redeemed on 1st April 2003 and accordingly the unclaimed debentures have been transferred to current liabilities. b) Pursuant to legal opinion obtained by the Company, that Section 205C (2) (e) of the Companies Act, 1956 dealing with transfer to Investor Education and Protection Fund, of interest accrued on the amounts referred to in clauses (a) to (d) of Section 205C (2), is not applicable in respect of debentures not matured, as Section 205C (2) (d) refers to "Matured Debentures with Companies", the Board of Directors decided at the meeting held on 25th January, 2010 to write back to the credit of Other Income, the unclaimed interest amounting to Rs.1,363,719/- on unmatured debentures for the years commencing from 2000-2001 to 2002-2003, which remained unclaimed for more than seven years as at 31st March 2010.

7. As at Balance Sheet date, there were no amounts due on account of unpaid dividends, which are required to be transferred to Investor Education and Protection Fund (IEPF), as required under Section 205C of the Companies Act, 1956 of India.

8. The Company is predominantly engaged in Non-banking Financial Activities and trading/dealing in shares and therefore Segment Reporting as envisaged in Accounting Standard (AS-17) on Segment Reporting is not applicable.

9. As required in terms of paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007, the schedule to the Balance Sheet is appended.

10. Based on the legal opinion, all the acquisition of shares and transactions thereof have been reckoned as long-term investments for the purpose of these accounts.

11. Debts (considered good) aggregating to Rs.98,521/- include other than Standard accounts amounting to Rs.68,000/- as defined under Non-Banking Financial Companies Prudential Norms (Reserve Bank) Directions, 2007 as amended, against which appropriate provisions have been made in these financial statements pursuant to the said Directions.

12. There are no reported micro, small and medium enterprises as defined in "The Micro Small and Medium Enterprise Development Act, 2006" to which the Company owes dues and as such the disclosure requirements under Section 22 of the said Act have not been made.

13. The Service tax amounts of Rs.36,788/-, Rs.70,707/- & Rs.88,385/- relating to October 2008 to March 2009, April 2009 to September 2009 and October 2009 to March 2010 remaining unpaid as on 31st March 2010 respectively, have been paid on 22/04/2010 after adjusting input tax credit of Rs.58,658/- and an amount of Rs.8,784/- paid towards interest. The amount related to rent on Immovable Property situated at 225C, A.J.C. Bose Road, Kolkata - 700 020 which was in arrear because of stay order granted by various High Courts and subsequent judgements pronounced in favour of tenants. However, after the amendment in the Finance Bill, 2010 this year, the same has been paid with interest as mentioned above and all necessary disclosures have been made retrospectively to the concerned Authorities.

14. Provision for Minimum Alternative Tax has been made in view of absence of normal tax this year.

15. The Previous years figures have been regrouped, recast and rearranged wherever necessary to make it comparable with the current year figures.

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