Notes to Accounts of Viceroy Hotels Ltd.

Mar 31, 2025

Provisions are recognised when the Company has a
present obligation (legal or constructive) as a result of
a past event, it is probable than an outflow of resources
embodying economic benefits will be required to settle
the obligation and a reliable estimate can be made of the
amount of the obligation. When the Company expects
some or all of the provisions to be reimbursed, the
expenses relating to the provisions is presented in the
statement of profit and loss net of any reimbursement.

If the effect of the time value of the money is material,
provisions are discounted using a current pre-tax rate
that reflects, when appropriate, the risks specific to the
liability. When discounting is used, the increase in the
provisions due to the passage of time is recognised as a
finance cost.

Contingent liability is a possible obligation arising from
past events and whose existence will be confirmed
only by the occurrence or non-occurrence of one
or more uncertain future events not wholly within
the control of the entity or a present obligation
that arises from past events but is not recognized
because it is not probable that an outflow of resources
embodying economic benefits will be required to
settle the obligation or the amount of the obligation
cannot be measured with sufficient reliability.
The Company does not recognize a contingent liability
but discloses its existence in the financial statements."

Contingent assets

Contingent assets has to be recognised in the financial
statements in the period in which if it is virtually
certain that an inflow of economic benefits will arise.
Contingent assets are assessed continually and no
such benefits were found for current financial period.
Provisions, contingent liabilities and contingent assets
are reviewed at each Balance Sheet date."

1.3.15 Events after reporting date

Where events occurring after the balance sheet date
provide evidence of conditions that existed at the end
of the reporting period, the impact of such event is
adjusted within the financial statements. Otherwise,
events after the balance sheet date of material size or
nature are only disclosed.

1.3.16 Earnings per share

Basic earnings per share is calculated by dividing the
net profit or loss attributable to equity holders of parent
company (after deducting preference dividends and
attributable taxes) by the weighted average number
of equity shares outstanding during the period.
Partly paid equity shares are treated as a fraction of
an equity share to the extent that they are entitled to
participate in dividends relative to a fully paid equity
share during the reporting period. The weighted
average number of equity shares outstanding during
the period is adjusted for events such as bonus issue,
bonus element in a rights issue, share split, and
reverse share split (consolidation of shares) that have
changed the number of equity shares outstanding,
without a corresponding change in resources.
For the purpose of calculating diluted earnings per share,
the net profit or loss for the period attributable to equity
shareholders of the Company and the weighted average
number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity
shares."

1.4 Recent accounting pronouncements

The Ministry of Corporate Affairs (MCA) notifies new
standards or amendments to the existing standards
under companies (Indian accounting standard) Rules
as issued from time to time. For the year ending 31^st
March 2025, MCA has not notified any new standards
or amendments to the existing standards applicable to
the Company.

B Terms and rights attached to equity shares

The Company has only one class of issued, subscribed and paid up equity shares having a par value of C10/- each per
share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian
rupees. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining
assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number
of equity shares held by the share holders.

C Bonus Shares/ Buy back shares for consideration other than cash issued during the past five years:

(1) Aggregate number and class of shares allotted as fully paid up pursuant to contracts without payment being
received in Cash - Nil

(2) Aggregate number and class of shares allotted as fully paid up by way of Bonus shares - Nil

(3) Aggregate number and class of Shares bought back - Nil

Nature and purpose of reserves
Capital reserve

The reserve comprises of profits/gains of capital nature earned by the Company and credited directly to such reserve.
Securities premium

Securities premium is used to record the premium on issue of shares. The reserve is utilized in accordance with the provisions
of the Act.

Revaluation reserve

A revaluation reserve is an equity account created to record the increase in value of a company''s assets when their current
market value exceeds their historical cost, reflecting unrealized gains that are not distributable as profits.

General reserve

General reserve represents appropriation of retained earnings and are available for distribution to shareholders.

Capital reduction reserve

Capital reduction reserve reflects the decrease in a company''s share capital.

Retained earnings

Retained earnings represents surplus/accumulated earnings of the Company and are available for distribution to
shareholders.

30 Operating segment

Ind AS 108 “Operating Segment” ("Ind AS 108”) establishes standards for the way that business enterprises report
information about operating segments and related disclosures about products and services, geographic areas, and major
customers. Based on the “management approach” as defined in Ind AS 108, Operating segments are to be reported in
a manner consistent with the internal reporting provided to the Board of directors, herewith after referred to as Chief
Operating Decision Maker (^fCODM''). The CODM evaluates the Company''s performance and allocates resources on
overall basis. The Company''s operations fall within a single business segment “Hotelier”. Hence, no segment disclosures
of the Company is presented.

II. Fair value hierarchy:

The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either

observable or unobservable and consists of the following three levels:

(a) Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices in an active market.
This includes listed equity instruments, traded debentures and mutual funds that have quoted price/ declared
NAV. The fair value of all equity instruments (including debentures) which are traded in the stock exchanges is
valued using the closing price as at the reporting period.

(b) Level 2: Level 2 hierarchy includes financial instruments that are not traded in an active market (for example,
traded bonds/debentures, over the counter derivatives). The fair value in this hierarchy is determined
using valuation techniques which maximise the use of observable market data and rely as little as possible
on entityspecific estimates. If all significant inputs required to fair value an instrument are observable, the
instrument is included in Level 2.

(c) Level 3: If one or more of the significant Inputs is not based on observable market data, the instrument is
included in Level 3. Fair values are determined in whole or in part using a valuation model based on assumptions
that are neither supported by prices from observable current market transactions in the same instrument
nor are they based on available market data. Financial instruments such as unlisted equity shares, loans are
included in this hierarchy.

III. Valuation techniques used to determine fair value

Specific valuation techniques used to value financial instruments include :

- the fair value of certain unlisted equity shares are determined based on the income approach or the comparable
market approach, and for certain equity shares equals to the cost

- the fair value for the currency swap is determined using forward exchange rate for balance maturity.

- the fair value of interest rate swaps is calculated as the present value of the estimated future cash flows based
on observable yield curves.

- the fair value of the forward foreign exchange contracts is determined using forward exchange rates at the
balance sheet date.

- the fair value preference shares and the remaining financial instruments is determined using discounted cash
flow analysis. The valuation model considers the present value of expected receipt/payment discounted
using appropriate discounting rates.

The investments included in level 3 of the fair value hierarchy have been valued using the discounted cash flow

technique to arrive at the fair value.

32 Financial risk management

Risk Management Framework

The Company''s Board of Directors has overall responsibility for the establishment and oversight of the Company''s
risk management framework. The board of directors is responsible for developing and monitoring the Company''s risk
management policies.

The Company''s risk management policies are established to identify and analyze the risks faced by the Company, to
set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies and
systems are reviewed regularly to reflect changes in market conditions and the Company''s activities. The Company,
through its training and management standards and procedures, aims to maintain a disciplined and constructive control
environment in which all employees understand their roles and obligations.

The Audit Committee oversees how management monitors compliance with the Company''s risk management
policies and procedures, and reviews the adequacy of the risk management framework in relation to the risks faced
by the Company. The audit committee is assisted in its oversight role by internal audit. Internal audit undertakes both
regular and ad hoc reviews of risk management controls and procedures, the results of which are reported to the audit
committee.

(A) Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to
meet its contractual obligations, and arises principally from the Company''s receivables from customers, cash and
cash equivalents and other bank balances, derivatives and investment securities. The carrying amounts of financial
assets represent the maximum credit exposure.

(a) Trade receivables from customers

The Company does not have any significant credit exposure in relation to revenue generated from its
hospitality business. Sale limits are established for each customer, reviewed regularly and any sales exceeding
those limits require approval from the appropriate authority. There are no significant concentrations of credit
risk within the Company.

Impairment

The ageing of trade and other receivables that were not impaired was as follows.

(c) Derivatives

The company has not entered into any derivative contracts.

(d) Other financial assets

Other financial assets are neither past due nor impaired.

(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 approach to
managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they
are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to
the Company''s reputation.

(b) Maturities of financial liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts
are gross and undiscounted, and include estimated interest payments and exclude the impact of netting
agreements.

The Company has sufficient current assets comprising of Trade Receivables, Cash & Cash Equivalents, Other
Bank Balances (other than restricted balances), Loans and Other Current Financial Assets to manage the
liquidity risk, if any in relation to current financial liabilities.The Company has overdraft facilities, general
corporate borrowings, which are used to ensure that the financial obligations are met as they fall due in case
of any deficit.

(c) Capital risk management

The Company''s policy is to maintain a strong capital base so as to maintain investor, creditor and market
confidence and to sustain future development of the business. Management monitors the return on capital as
well as the level of dividends to ordinary shareholders. The Company monitors capital using a ratio of ''adjusted
net debt'' to ''adjusted equity''. For this purpose, adjusted net debt is defined as total borrowings, comprising
interest-bearing loans and borrowings, less cash and cash equivalents and bank deposits. Adjusted equity
comprises all components of equity.

(C) Market risk

Market risk is the risk that changes in market prices such as foreign exchange rates and interest rates will effect the
Company''s income or the value of its holdings of financial instruments. Objective of market risk management is to
manage and limit exposure of the company''s earnings and equity to losses.

(a) Currency risk

The fluctuation in foreign currency exchange rates may have potential impact on the statement of profit or
loss and other comprehensive income, where any transaction references more than one currency or where
assets / liabilities are denominated in a currency other than the functional currency of the respective entities.
Considering the countries and economic environment in which the Company operates, its operations are
subject to risks arising from fluctuations in exchange rates in those countries. The risks primarily relate
to fluctuations in US Dollar against the functional currencies of the Company. The Company, as per its risk
management policy, uses natural hedge technique of adjusting foreign currency receivables against currency
payables. The Company evaluates the impact of foreign exchange rate fluctuations by assessing its exposure
to exchange rate risks. Exposure to all other foreign currencies other than US Dollar is not material.

Exposure to currency risk

The summary quantitative data about the Company''s exposure to currency risk as reported to the management
of the Company is as follows. The following are the remaining contractual maturities of financial liabilities at
the reporting date. The amounts are gross and undiscounted, and include estimated interest payments and
exclude the impact of netting agreements.

(b) Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk
is the risk of changes in fair values of fixed interest bearing financial assets or borrowings because of fluctuations in
the interest rates, if such assets/borrowings are measured at fair value through profit or loss. Cash flow interest rate
risk is the risk that the future cash flows of floating interest bearing borrowings will fluctuate because of fluctuations
in the interest rates. The Group adopts a policy to hedge the interest rate movement in order to mitigate the risk
with regards to floating rate linked loans based on the market outlook on interest rates. This is achieved partly
by entering into fixed rate instruments and partly by borrowing at a floating rate and using interest rate swaps as
hedges of the variability in cash flows attributable to interest rate risk.

No borrowings are obtained as interest swaps as on 31 March 2025 and 31 March 2024.

Fair value sensitivity analysis for fixed-rate instruments

The Company''s fixed rate borrowings are carried at amortized cost. They are therefore not subject to interest rate
risk as defined in Ind AS 107 Financial Instruments: Disclosures, since neither the carrying amount nor the future
cash flows will fluctuate because of a change in market interest rates.

Cash flow sensitivity analysis for variable-rate instruments

A reasonably possible change of 100 basis points in interest rates at the reporting date would have increased/
(decreased) profit or loss by the amounts shown below. This analysis assumes that all other variables, in particular
foreign currency exchange rates, remain constant. In cases where the related interest rate risk is capitalized to
fixed assets, the impact indicated below may affect the Company''s income statement over the remaining life of the
related fixed assets.

(ii) Defined Benefit Plans
Gratuity

The company provides for gratuity for employees as per the Payment of Gratuity Act, 1972. The amount of gratuity
payable on retirement/termination is the employees last drawn basic salary plus Dearness allowance per month
computed proportionately for 15 days salary multiplied with the number of years of service. The company operates
post retirement gratuity plan with LIC of India. The present value of obligation is determined based on actuarial
valuation using the Projected Unit Credit Method, which recognises each period of service giving rise to additional
unit of employee benefit entitlement and measures each unit separately to build up the final obligation.

The above sensitivity analysis is based on a change in each assumption while holding all other assumptions constant.
In practice, this is unlikely to occur and changes in some of the assumptions may be correlated. When calculating
the sensitivity of the defined benefit obligation to significant actuarial assumptions, the same method (present
value of the defined benefit obligation calculated with the projected unit credit method at the end of the reporting
period) has been applied as when calculating the defined benefit liability recognised in the balance sheet.

Risk exposure

Through its defined benefit plans, the company is exposed to a number of risks, the most significant of which are
detailed below:

Interest rate risk:

The defined benefit obligation calculated uses a discount rate based on government bonds. If bond yields fall, the
defined benefit obligation will tend to increase.

Salary inflation risk:

Higher than expected increases in salary will increase the defined benefit obligation.

Demographic risk:

This is the risk of variability of results due to unsystematic nature of decrements that include mortality, withdrawal,
disability and retirement. The effect of these decrements on the defined benefit obligation is not straight forward
and depends upon the combination of salary increase, discount rate and vesting criteria. It is important not to
overstate withdrawals because in the financial analysis the retirement benefit of a short career employee typically
costs less per year as compared to a long service employee.

Regulatory Risk:

Benefit is paid in accordance with the Rules of Establishment (as may be amended from time to time). There is a risk
of change in provisions of Rules requiring higher Plan Benefit pay outs (e.g, change in benefit formula).

Asset Liability Mismatching or Market Risk:

The duration of the liability is longer compared to duration of assets, exposing the Company to market risk for
volatilities/fall in interest rate.

Investment Risk:

The probability or likelihood of occurrence of losses relative to the expected return on any particular investment.

36 Additional disclosure under the regulatory requirements:

(i) There are no proceeding initiated or pending against the Company as at 31 March 2025 and as at 31 March 2024,
under Prohibition of Benami Property Transactions Act, 1988 (as amended in 2016).

(ii) The Company is not declared a wilful defaulter by any bank or financial institution or other lender.

(iii) The Company has no such transaction which is not recorded in the books of account that has been surrendered
or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or
survey or any other relevant provisions of the Income Tax Act, 1961).

(iv) The Company have not advanced or loaned or invested funds (either from borrowed funds or share premium or any
other sources or kind of funds) to any other person(s) or entity(ies), including foreign entities (intermediaries) with
the understanding that the intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the company (ultimate beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries.”

(v) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (funding party)
with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the funding party (ultimate beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the ultimate beneficiaries.”

(vi) The Company has not entered into any transaction with the companies struck off as per Section 248 of the
Companies Act, 2013 or Section 560 of the Companies Act, 1956.

(vii) The Company has not traded or invested in crypto or virtual currency during the current year and previous
year.

(viii) There are no Loans or Advances except as disclosed in note 4.6, in the nature of loans are granted to promoters,
directors, KMP^Js and the related parties (as defined under the Companies Act, 2013,) either severally or jointly with
any other person, that are:

(a) repayable on demand; or

(b) without specifying any terms or period of repayment.”

(ix) Compliance with number of layers if companies prescribed under clause (87) of Section 2 of the Companies Act,
2013 read with Companies (Restriction on number of Layers) Rules, 2017 is not applicable.

(x) The Company has not borrowed any money from banks or financial institutions on the basis of security of current
assets during the current year and previous year.

(xi) The Company has not entered into any scheme of arrangement which has an accounting impact on current or
previous financial year.

(xii) The Company has the following charges or satisfaction which are yet to registered with ROC beyond the
statutory period.

37 Insolvency and Bankruptcy Code

During the financial year 2017-2018, Corporate insolvency resolution process ("CIRP”) was initiated pursuant to a
petition filed by one of its financial creditors, Asset Reconstruction Company (India) Limited ("ARCIL”) under Section 7of
the Insolvency and Bankruptcy Code, 2016 ("IBC”). ARCIL filed the petition before the National Company Law Tribunal,
State Bench, Hyderabad ("Adjudicating Authority”) vide Company Petition No. (IB)-219/7/(HBD)/2017 on July 03, 2017.
The Adjudicating Authority admitted the said petition and the CIRP for the Company commenced on March 12, 2018.
Pursuant to this, based on the application made by the Committee of Creditors of the Company ("COC”), the Hon''ble
NCLT appointed Dr G.V. Narasimha Rao ("RP”) as the new Resolution Professional for conducting Corporate Insolvency
Resolution Process vide order dated April 13, 2022. Pursuant to COC^Js approval of resolution plan dated September 29,
2022 as submitted by the Resolution Applicant, Anirudh Agro Farms Limited ("AAFL”), RP has filed an application for
the approval of the resolution plan as submitted by AAFL before Hon''ble NCLT on November 11, 2022. NCLT rejected
the said resolution plan on June 9, 2023 on technical grounds. The order of NCLT was challenged before the Hon''ble
National Company Law Appellate Tribunal, Chennai Bench ("NCLAT”). On October 6, 2023, NCLAT pronounced an order
in CA(AT)(CH)(Ins).No.166 of 2023 & 183 of 2023, appeals filed by the AAFL and COC respectively and allowed the IA
(IBC) 1343 of 2022 in CP(IB) N0.219/2017, an application filed by the RP for approval of the Resolution Plan submitted
by AAFL with NCLT under section 30 & 31 of the Insolvency and Bankruptcy Code, 2016.

The impact of the NCLAT Order is effective from the Trigger Date, i.e. October 10, 2023 and the same is reflected in the
financial results for the year ended March 31, 2024 & March 31, 2025

Accordingly, keeping in view the Order dated October 10, 2023:

i. As per the Resolution Plan and the order of NCLAT, Monitoring Committee ("MC”) consisting of Managing Agent
(former RP), 2 representatives from CoC (assenting creditors) and 2 representatives from AAFL were appointed.
AAFL, through its SPV, Loko Hospitality Private Limited infused the share capital (first tranche as per Resolution
Plan) of C 60,00,00,000 (Rupees Sixty Crores only) towards subscription of Equity shares and accordingly MC
confirmed that October 10, 2023 as the Trigger Date for the Resolution Plan and for payment of CIRP cost and
employee related dues, and payment to financial creditors in terms of the approved Resolution Plan.

The Monitoring Committee in its meeting held on October 11, 2023 has also approved the following in terms of the
Resolution Plan:

1. Cancellation and extinguishment of 56,87,781 Equity shares of C 10/- each held by the erstwhile Promoter
Group.

2. The Equity Shares held by the existing Public Shareholders were stand restructured, reduced, reorganized,
consolidated and extinguished (as required) as a part of this Resolution Plan such that the Equity Shares held
by the existing Public Shareholders post such restructuring and reorganization shall be 6,31,579 Equity Shares
constituting 1% (one percent) of the issued and paid - up equity share capital of the Company.

3. Issuance of 6,00,00,000 Equity Shares Face Value of C 10/- each to the Loko Hospitality Private Limited, the
SPV of Resolution Applicant representing 95% of the issued & paid up equity share capital of the Company.

4. The assenting financial creditors were further allotted 25,26,316 equity shares at face value of 10 each
aggregating to 253 Lakhs approx. representing 4°% of the issued & paid up equity share capital of the
Company.

5. The Resolution Plan provides for the payment of admitted claims of the Company in the following manner:

6. Extinguishment of balance FC Debt and balance Operational Creditor Dues:

Resolution Applicant shall extinguish the Balance FC Debt (including that owed to the Related Parties) and

other Operational Creditor dues on the Effective Date, on and with effect from the NCLAT approval date

by virtue of the order of the NCLAT approving the Resolution Plan by transferring the difference amount to

Reserves.

i. The issued, subscribed and paid-up share capital of the Company, post the said extinguishment,
reduction/consolidation and issuance shall stand at C6,315.79 Lakhs divided into 6,31,57,895 Equity
Shares of face value of C10/- each.

ii. Further, the Company had i

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Mar 31, 2024

l) Provisions and Contingent Liabilities:

Provisions are recognised when the Company has a binding present obligation. This may be either legal because it derives from a contract, legislation or other operation of law, or constructive because the Company created valid expectations on the part of third parties by accepting certain responsibilities. To record such an obligation, it must be probable that an outflow

of resources will be required to settle the obligation and a reliable estimate can be made for the amount of the obligation. The amount recognised as a provision and the indicated time range of the outflow of economic benefits are the best estimate (most probable outcome) of the expenditure required to settle the present obligation at the balance sheet date, taking into account the risks and uncertainties surrounding the obligation. Noncurrent provisions are discounted if the impact is material.

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

m) Borrowing Costs:

General and specific borrowing costs directly attributable to the acquisition or construction of qualifying assets that necessarily takes a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use or sale. Borrowing costs consist of interest and other costs that the Company incurs in connection with the borrowing of funds. Interest income earned on temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalization. Borrowing costs that are not directly attributable to a qualifying asset are recognised in the statement of profit or loss using the effective interest method.

n) Statement of Cash Flows

Cash flows are reported using the indirect method, whereby profit/ (loss) before tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. Cash Flow for the year is classified by operating, investing and financing activities.

o) Earnings Per Share

Basic earnings per share is computed by dividing the profit or loss after tax by the weighted average number of equity shares outstanding during the year including potential equity shares on compulsory convertible debentures. Diluted earnings per share is computed by dividing the profit / (loss) after tax as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes) relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings per share.

p) Exceptional items:

The Company discloses certain financial information both including and excluding exceptional Items. The presentation of information excluding exceptional items allows a better Understanding of the underlying trading performance of the Company and provides consistency with the Company’s internal management reporting. Exceptional items are identified by virtue of either their size or nature so as to facilitate comparison with prior periods and to assess underlying trends in the financial performance of the Company. Exceptional items can include, but are not restricted to, gains and losses on the disposal of assets/ investments, impairment charges, exchange gain/ loss on long term borrowings/ assets and changes in fair value of derivative contracts.

q) Financial Instruments

(i) Financial assets

Initial recognition and measurement

Financial assets are recognised when, and only when, the Company becomes a party to the contractual provisions of the financial instrument. The Company determines the classification of its financial assets at initial recognition. When financial assets are recognised initially, they are measured at fair value, plus, in the case of financial assets not at fair value through profit or loss directly attributable transaction costs. Transaction costs of financial assets carried at fair value through profit or loss are expensed in the Statement of Profit and Loss

Classification

1. Cash and Cash Equivalents - Cash comprises cash on hand and demand deposits with Banks. Cash Equivalents are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of changes in value.

2. Debt Instruments -The Company classifies its debt instruments as subsequently measured at amortized cost, fair value through Other Comprehensive Income or fair value through profit or loss based on its business model for managing the financial assets and the contractual cash flow characteristics of the financial asset.

i) Financial assets at amortized cost

Financial assets are subsequently measured at amortized cost if these financial assets are held for collection of contractual cash flows where those cash flows represent solely payments of principal and interest. Interest income from these financial assets is included as a part of the Company’s income in the

Statement of Profit and Loss using the effective interest rate method.

ii) Financial assets at fair value through Other Comprehensive Income (FVOCI)

Financial assets are subsequently measured at fair value through Other Comprehensive Income if these financial assets are held for collection of contractual cash flows and for selling the financial assets, where the assets’ cash flows represent solely payments of principal and interest. Movements in the carrying value are taken through Other Comprehensive Income, except for the recognition of impairment gains or losses, interest revenue and foreign exchange gains or losses which are recognised in the Statement of Profit and Loss.

When the financial asset is derecognized, the cumulative gain or loss previously recognized in Other Comprehensive Income is reclassified from Other Comprehensive Income to the Statement of Profit and Loss. Interest income on such financial assets is included as a part of the Company’s income in the Statement of Profit and Loss using the effective interest rate method.

iii) Financial assets at fair value through profit or loss (FVTPL)

Assets that do not meet the criteria for amortized cost or FVOCI are measured at fair value through profit or loss. A gain or loss on such debt instrument that is subsequently measured at FVTPL and is not part of a hedging relationship as well as interest income is recognised in the Statement of Profit and Loss.

3. Equity Instruments - The Company subsequently measures all equity investments (other than the investment in subsidiaries, joint ventures and associates which are measured at cost) at fair value.

Where the Company has elected to present fair value gains and losses on equity investments in Other Comprehensive Income (“FVOCI”), there is no subsequent reclassification of fair value gains and losses to profit or loss.

Dividends from such investments are recognized in the Statement of Profit and Loss as other when the Company’s right to receive payment is established. At the date of transition to Ind AS, the Company has made an irrevocable election to present in Other Comprehensive Income subsequent changes in the fair value of equity

investments that are not held for trading. When the equity investment is derecognized, the cumulative gain or loss Previously Recognized Other Comprehensive Income is reclassified from Other Comprehensive Income to the Retained Earnings directly.

De-recognition

A financial asset is derecognized only when the Company has transferred the rights to receive cash flows from the financial asset. Where the Company has transferred an asset, the Company evaluates whether it has transferred substantially all risks and rewards of ownership of the financial asset. In such cases, the financial asset is derecognized where the Company has not transferred substantially all risks and rewards of ownership of the financial asset, the financial asset is not derecognized where the Company retains control of the financial asset, the asset is continued to be recognised to the extent of Continuing Involvement in the Financial Asset.

(ii) Financial liabilities

Initial recognition and measurement financial liabilities are recognised when, and only when, the Company becomes a party to the contractual provisions of the financial instrument. The Company determines the classification of its financial liabilities at initial recognition. All financial liabilities are recognised initially at fair value, plus, in the case of financial liabilities not at fair value through profit or loss directly attributable transaction costs. Subsequent measurement after initial recognition, financial liabilities that are not carried at fair value through profit or loss are subsequently measured at amortized cost using the effective interest method. Gains and losses are recognised in the Statement of Profit and Loss when the liabilities are derecognized, and through the amortization process.

De-recognition

A financial liability is de-recognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as a de-recognition of the original liability and the recognition of a new liability, and the difference in the respective carrying amounts is recognised in the Statement of Profit and Loss.

Equity instruments

An equity instrument is any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities. Equity instruments issued by the Company are recognised at the proceeds received, net of direct issue costs. Repurchase of the Company''s own equity instruments is recognised and deducted directly in equity.

No gain or loss is recognised in the Statement of Profit and Loss on the purchase, sale, issue or cancellation of the Company''s own equity instruments.

(iii) Impairment of financial assets

The Company assesses, at each reporting date, whether a financial asset or a group of financial assets is impaired. Ind AS-109 on Financial Instruments, requires expected credit losses to be measured through a loss allowance. For trade receivables only, the Company recognizes expected lifetime losses using the simplified approach permitted by Ind AS-109, from initial recognition of the receivables. For other financial assets (not being equity instruments or debt instruments measured subsequently at FVTPL) the expected credit losses are measured at the 12 Month expected credit losses or an amount equal to the lifetime expected credit losses if there has been a significant increase in credit risk since initial recognition.

r) Financial guarantee contracts

A financial guarantee contract is a contract that requires the issuer to make specified payments to reimburse the holder for a loss it incurs because a specified debtor fails to make payments when due in accordance with the terms of a debt Instrument. Financial guarantee contracts issued by the Company are measured at their fair values and recognised as income in the Statement of Profit and Loss. Where guarantees in relation to loans or other payables of group companies are provided for no compensation, the fair value are accounted for as contributions and recognised as part of cost of investment

s) Business combinations

Business combinations of entities under common control are accounted using the “pooling of interests” method and assets and liabilities are reflected at the predecessor carrying values and the only adjustments that are made are to Harmonies accounting policies. The figures for the previous periods are restated as if the business combination had occurred at the beginning of the preceding period irrespective of the actual date of the combination.

B Terms and rights attached to equity shares

The Company has only one class of issued, subscribed and paid up equity shares having a par value of H 10/- each per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. In the event of liquidation of the Company the holders of equity shares will be entitled to receive remaining assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the share holders.

The company declares and pays dividend in Indian rupees. The dividend prosposed by the board of directors is subject to the approval of the share holders in the ensuing Annual General Meeting.

During the year ended 31st March, 2024 the amount of per share dividend recognized as distribution to equity share holders is NIL

C Bonus Shares/ Buy back shares for consideration other than cash issued during the past five years:

(1) Aggregate number and class of shares allotted as fully paid up pursuant to contracts without payment being received in Cash - Nil

(2) Aggregate number and class of shares allotted as fully paid up by way of Bonus shares - Nil

(3) Aggregate number and class of Shares bought back - Nil

32. Contingent liabilities not provided for in respect of:-

As per the approved Resolution Plan, contingent liabilities (which have / are capable of being crystallized) prior to October 10, 2023 (“Effective Date”) stand extinguished.

Furthermore, the Resolution Plan, among other matters, provides that except to the extent of the amount payable to the relevant Operational Creditor in accordance with the Resolution Plan, all liabilities of the Company relating in any manner to the period prior to the Effective Date, immediately, irrevocably and unconditionally stand fully and finally discharged and settled and there being no further claims whatsoever, and all the rights of the Operational Creditors and Other Creditors to invoke or enforce the same stands waived off. It is provided that any and all legal proceedings initiated before any forum by or on behalf of any Operational Creditor (including Governmental Authorities) or any Other Creditors to enforce any rights or claims against the Company also stands extinguished.

Further, in terms of the Resolution Plan, no Governmental Authority has any further rights or claims against the Company, in respect of the period prior to the Effective Date and / or in respect of the amounts written off and all legal proceedings initiated before any forum by or on behalf of any Operational Creditor (including Governmental Authorities) or any Other Creditors, to enforce any rights or claims against the Company will immediately, irrevocably and unconditionally stand withdrawn, abated, settled and/or extinguished. Further, the Operational Creditors of the Company (including Governmental Authorities) and Other Creditors will have no further rights or claims against the Company (including but not limited to, in relation to any past breaches by the Company), in respect of any liability for period prior to the Effective Date, and all such claims shall immediately, irrevocably and unconditionally stand extinguished. The Company has been legally advised that while the Resolution Plan provides for extinguishment of all liabilities of the Company owed to Operational Creditors and Other Creditors as of the Insolvency Commencement Date i.e. July 26, 2017, the implementation of the Resolution Plan does not have any such similar effect over claims or receivables owed to the Company. Accordingly, the Company has concluded that any receivables due to the Company, evaluated based on merits of underlying litigations, from various Governmental Agencies (presented under Other Financial Assets - Non current) continue to subsist.

Guarantees provided after October 10, 2023:

The company has made first and exclusive hypothecation charge on all existing and future current assets and moveable fixed assets (excluding vehicles) of Viceroy Hotels Limited in favour of M/s Loko Hospitality Private Limited for sanction of term loan amounting to H 5,000/- Lakhs from Kotak Mahindra Bank.

33. Foreign currency risk

Foreign currency risk is the risk that fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rate. The company is not exposed to foreign currency risk as it has no borrowings in foreign currency.

36. Following are the pending litigations with income tax Department and contingent liabilities:

i) Income tax:

The company moved an application on December 18, 2023, with the income tax department for the extinguishment of all the prior year demands under the Income Tax Act, 1961 pursuant to Hon’ble NCLAT order dated October 6, 2023. Subsequently consequential orders deleting the demands raised prior to October 6, 2023, have been passed on March 14, 2024 giving effect to Hon’ble NCLAT order.

ii) Service Tax & GST:

All outstanding demands against the company “VICEROY HOTELS LIMITED” for various previous years stand waived and extinguished as per the NCLAT order.

iii) Luxury Tax / Sales Tax:

All outstanding demands against the company “VICEROY HOTELS LIMITED” for various previous years stand waived and extinguished as per the NCLAT order

37. Following are the amount outstanding and due to banks and other institutions:

1. All the liabilities existing in the beginning of the year have been extinguished and accounted as per the approved Resolution Plan.

2. Unsecured loans taken by new management

41. Segment information:

The Company’s only business is Hoteliering and hence disclosure of segment-wise information is not applicable under Indian Accounting Standard 108- ''Segmental Information’. There is no geographical segment to be reported.

42. During the financial year 2017-2018, Corporate insolvency resolution process (“CIRP”) was initiated pursuant to a petition filed by one of its financial creditors, Asset Reconstruction Company (India) Limited (“ARCIL”) under Section 7 of the Insolvency and Bankruptcy Code, 2016 (“IBC”). ARCIL filed the petition before the National Company Law Tribunal, State Bench, Hyderabad (“Adjudicating Authority”) vide Company Petition No. (IB)-219/7/(HBD)/2017 on July 03, 2017. The Adjudicating Authority admitted the said petition and the CIRP for the Company commenced on March 12, 2018. Pursuant to this, based on the application made by the Committee of Creditors of the Company (“COC”), the Hon’ble NCLT appointed Dr G.V. Narasimha Rao (“RP”) as the new Resolution Professional for conducting Corporate Insolvency Resolution Process vide order dated April 13, 2022. Pursuant to COC''s approval of resolution plan dated September 29, 2022 as submitted by the Resolution Applicant, Anirudh Agro Farms Limited (“AAFL”), RP has filed an application for the approval of the resolution plan as submitted by AAFL before Hon’ble NCLT on November 11,2022. NCLT rejected the said resolution plan on June 9, 2023 on technical grounds. The order of NCLT was challenged before the Hon’ble National Company Law Appellate Tribunal, Chennai Bench (“NCLAT”). On October 6, 2023, NCLAT pronounced an order in CA(AT)(CH)(Ins).No.166 of2023 & 183 of 2023, appeals filed by the AAFL and COC respectively and allowed the IA (IBC) 1343 of 2022 in CP(IB) N0.219/2017, an application filed by the RP for approval of the Resolution Plan submitted by AAFL with NCLT under section 30 & 31 of the Insolvency and Bankruptcy Code, 2016.

The impact of the NCLAT Order is effective from the Trigger Date, i.e. October 10, 2023 and the same is reflected in the financial results for the year ended March 31,2024.

Accordingly, keeping in view the Order dated October 10, 2023:

i. As per the Resolution Plan and the order of NCLAT, Monitoring Committee (“MC”) consisting of Managing Agent (former RP), 2 representatives from CoC (assenting creditors) and 2 representatives from AAFL were appointed. AAFL, through its SPV, Loko Hospitality Private Limited infused the share capital (first tranche as per Resolution Plan) of H 60,00,00,000 (Rupees Sixty Crores only) towards subscription of Equity shares and accordingly MC confirmed that October 10, 2023 as the Trigger Date for the Resolution Plan and for payment of CIRP cost and employee related dues, and payment to financial creditors in terms of the approved Resolution Plan.

The Monitoring Committee in its meeting held on October 11,2023 has also approved the following in terms of the Resolution Plan:

1. Cancellation and extinguishment of 56,87,781 Equity shares of H 10/- each held by the erstwhile Promoter Group.

2. The Equity Shares held by the existing Public Shareholders were stand restructured, reduced, reorganized, consolidated and extinguished (as required) as a part of this Resolution Plan such that the Equity Shares held by the existing Public Shareholders post such restructuring and reorganization shall be 6,31,579 Equity Shares constituting 1% (one percent) of the issued and paid-up equity share capital of the Company

3. Issuance of 6,00,00,000 Equity Shares Face Value of H 10/- each to the Loko Hospitality Private Limited, the SPV of Resolution Applicant representing 95% of the issued & paid up equity share capital of the Company.

4. The assenting financial creditors were further allotted 25,26,316 equity shares at face value of 10 each aggregating to 253 Lakhs approx. representing 4% of the issued & paid up equity share capital of the Company.

6. Extinguishment of balance FC Debt and balance Operational Creditor Dues:

Resolution Applicant shall extinguish the Balance FC Debt (including that owed to the Related Parties) and other Operational Creditor

dues on the Effective Date, on and with effect from the NCLAT approval date by virtue of the order of the NCLAT approving the Resolution

Plan by transferring the difference amount to Reserves.

i. The issued, subscribed and paid-up share capital of the Company, post the said extinguishment, reduction/consolidation and issuance shall stand at H 6,315.79 Lakhs divided into 6,31,57,895 Equity Shares of face value of H 10/- each.

ii. Further, the Company had intimated to the Monitoring Committee that the Company plans to prepay and settle in deferred tranches to various financial creditors ahead of the schedule proposed in the Resolution Plan. Upon receiving the formal consents from the respective financial creditors, the Company had made pre-payments and settled the dues of all the financial creditors during the quarter and nine months ended December 31,2023. Consequent to this, the entire dues of various financial creditors as per the Resolution Plan, stand settled and discharged by the Company.

iii. Exceptional items for the year ended March 31, 2024, is H 318 Lakhs, which comprises of impairment of investments in the subsidiary companies, due to accumulated losses in the subsidiaries.

iv. All the liabilities that have been extinguished are accounted as per the approved Resolution Plan.

v. As per the approved Resolution Plan, the Company had to pay H 8,923.14 Lakhs to certain assenting Financial Creditors spread over a period of 675 days. However, the Company in mutual agreement with the said Financial Creditors paid an upfront payment of H 6,795.05 Lakhs within a period of 60 days and settled the liability thereby the differential amount of H 2,128.09 Lakhs is transferred to the Reserves.

vi. The Directorate of Enforcement initially made a Provisional Attachment Order in PAO No. 04/2019 dated 26.03.2019 passed by the Deputy Director, Directorate of Enforcement against M/s Viceroy Hotels Limited (the Company), which was subsequently confirmed and the Company has challenged it before the Honorable Adjudicating Authority PMLA, 2002 and the same is still sub judice. Since the resolution plan of the Company has now been approved by the Hon’ble NCLAT Chennai, the provisions of the plan specifically provide for de-attachment of properties of the Company if attached by any agency / department of the Government pursuant to any proceeding and also provide that all such proceedings / attachments /litigations related to the Company are to be extinguished / de-attached / be declared infructuous by virtue of operation of law. Now, since the new board of the Company has been constituted pursuant to the approval of the Resolution Plan, the Company has actively made representations before the Hon’ble PMLA and application seeking de attachment of the properties has been moved based on Section 32 (a) of the Insolvency and Bankruptcy Code, 2016 on the last date of hearing on 08.02.2024. The Hon’ble PMLA, taking cognizance of the said application has directed further hearing on 29.04.2024, while extending the stay granted in favor of the Company against any coercive action by the Enforcement Department. Final order for the above de-attachment of property is awaited.

vii. The company moved an application on December 18, 2023, with the income tax department for the extinguishment of all the prior year demands under the Income Tax Act, 1961 pursuant to Hon’ble NCLAT order dated October 6, 2023. Subsequently consequential orders deleting the demands raised prior to October 6, 2023, have been passed on March 14, 2024 giving effect to Hon’ble NCLAT order.

viii. The figures of previous periods/year have been reclassified/regrouped, wherever necessary, to correspond to those of the current periods/ year.

ix. The comparative financials for the year ended 31st March, 2023 have been audited by the previous statutory auditor.

x. The date of implementation of the Code on Social Security, 2020 (''the code’) relating to employee benefits is yet to be notified by the Government of India and when implemented will impact the contributions by the group towards benefits such as Provident Fund, Gratuity etc. The group will assess the impact of the code and give effect in the financial results when the code and rules thereunder are notified.

Additional Regulatory Information:

1. There are no title deeds of Immovable Property not held in the name of the Company.

2. The Company has no Investment Property Accordingly, there is no revaluation of the Investment Property

3. During the year, no revaluation of Property Plant & Equipment and Right-of-Use Assets has been done by the Company

4. No revaluation of Intangible Assets has been done by the Company during the year.

5. The Company has no Loans or Advances in the nature of Loans to specified persons that are repayable on demand or without specifying any terms or period of repayment.

6. The Company has no Intangible Assets under development.

7. Borrowings secured against Current Assets The company has made first and exclusive hypothecation charge on all existing and future current assets and moveable fixed assets (excluding vehicles) of Viceroy Hotels Limited for sanction of term loan from Kotak Mahindra Bank

8. The Company has not been declared as willful defaulter by any bank or financial institution or other lender during the year.

9. The Company had no transactions with Companies struck off under section 248 of the Companies Act, 2013 or section 560 of the Companies Act, 1956 during the year.

10. The Company has no charges or satisfaction yet to be registered with ROC beyond the statutory period during the year.

11. The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Companies Act read with Companies

(Restriction on number of layers) Rules, 2017 during the year.

12. The Company has not traded or invested in Crypto currency or Virtual currency during the financial year.

13. During the year expenditure towards Corporate Social Responsibility (CSR) is not applicable.

As per our report of even date as attached

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

Chartered Accountants Viceroy Hotels Limited

Firm Regn.no. 000722S

(M Devaraja Reddy) Ravinder Reddy Kondareddy Anirudh Reddy Kondareddy

Partner Managing Director & CEO Non-Executive Director

Membership No. 026202 (DIN 00040368) (DIN 08638985)

UDIN:24026202BKCNZI9365

Place: Hyderabad T.A. Veena Aravind Pradyumna Kodali

Date: 30th May 2024 Company Secretary and Compliance Officer Chief Financial Officer

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Mar 31, 2023

27. The company has passed board resolution on 26-08-2017 for converting Capital work in progress of Rs. 111 .94 Crores to fixed assets. Depreciation has been calculated accordingly.

28. The Company has passed board resolution on 14-02-2018 for Writing off various Assets, Liabilities, Incomes and Expenses in the financial year 2017-18.

32. According to the information available with the Company, there are no amounts as at 31^st March, 2023, due to suppliers who constitute a "Micro, Small and Medium Enterprises".

33. Contingent Liabilities not provided for in respect of:-

i) Guarantees:
	Guarantees given to bank for the Bank Guarantee limits availed by the company towards EPCG Bonds given to DGFT, Hyderabad (Amount in Rs)	Rs. 16,22,500
	Previous Year (Amount in Rs)	Rs. 16,22,500

ii) Corporate Guarantee given to subsidiary company M/s Crustum Products Pvt Ltd for Rupee term loan of Rs. 8.65 Crores Sanctioned by Oriental Bank of Commerce.

iii) The company was holding a share in Equity Shares of Viceroy Bangalore Hotels Private Limited which was pledged to ASF Infrastructure Private Limited for obtaining a loan of Rs.25 crores for which there was a default in repayment, as a result the company ASF infrastructure Private Limited has confiscated the Share of 31.32% shareholding of Viceroy Hotels Limited in Viceroy Bangalore Hotels Private Limited with effect from 21-07-2017. The company has provided the interest amount in the books of accounts for the year 2016 and 2017. As per the communication received from ASF on dated: 27.02.2018 Rs.14.56 Crores has been disclosed in the books. On 31st March 2018, as per the final agreement letter received from ASF infrastructure the Loan amount becomes Rs.7,09,99,000/-.

37. Following are the pending litigations with income tax Department and contingent liabilities:

i) Guarantee issued by the company to Viceroy Bangalore Hotels Private Limited amount of Rs.317 crores.

Hon''ble NCLT vide order dt 02.05.2023 has dismissed the claim of Edelweiss ARC Limited of invocation of corporate guarantee of Rs. 317 Crores. Accordingly, the said contingent liability is extinguished.

It is not possible to predict the outcome of the pending litigations with accuracy, the company believes, based on legal opinions received, that it has meritorious defences to the claims. The management believe the pending actions will not require outflow of resources embodying economic benefits and will not have a material adverse effect upon the results of the operations, cash flows or financial condition of the company.

38. Gratuity:

As per Ind AS, the company needs to get the actuarial report having actuarial gain/loss in order to report in other comprehensive income. However the company has obtained actuarial report in normal terms, but couldn''t be able to obtain as per Ind AS actuarial gain / loss. The Company is in the process of obtaining the actuarial report as per Ind AS.

Properties mentioned in S.No 1 to 4 are originally in the name of Minerva Enterprises Pvt Ltd and these were transferred to the company through a scheme of arrangement approved by Hon''ble High of Court of Andhra Pradesh vide its order dated 1st May 2007. However, the revenue records are required to be updated to reflect the above title change.

Properties mentioned in S.No 5 to 8 were originally in the name of Krishna Cold Drinks Pvt Ltd ( the then name of Viceroy Hotels Limited).Subsequentlycompany changes its name several times i.e. from Krishna Cold Drinks Private Limited to ShriKishna Bottlers Private Limited and further as Palace Heights Private Limited.

Palace Heights Private Limited was converted as public limited Company namely Palace Heights Hotels Public Limited and finally became Viceroy Hotels Limited vide incorporation certificate of Registrar of Companies dated 21-09-2001. However, the revenue records are required to be updated to reflect the above name changes and conversions with regard to the title Properties mentioned in S.No.9 is originally in the name of Shri P. Prabhakar Reddy was invested by him as capital in a partnership firm which was subsequently converted as Minerva Enterprises Private Limited and this property was transferred to the company through a scheme of arrangement approved by Hon''ble High of Court of Andhra Pradesh vide its order dated 1st May 2007. However, the revenue records are required to be updated to reflect the above title change.

42. The Asset Reconstruction Company (India) Ltd (ARCIL) has filed plea under Sec.7 of The Insolvency and Bankruptcy Code, 2016 against M/s Viceroy Hotels Limited for an amount of Rs.525 crores (along with interest). The NCLT process is under way, with Committee of Creditors (CoC) formed and the Resolution Professional appointed.

M/s. Marriott Hotels India Private Limited has filed an petition against the Resolution Professional of M/s Viceroy Hotels Limited to make a payment of USD 18,77,151 /-(INR 14.5 Crores) in accordance with the Marriott and Courtyard Agreements, as CIRP costs. As per NCLT order dt. 16.09.2022, claim of Rs. 10.4 Crores are considered as part of CIRP costs, are duly paid during the FY 22-23 and remaining amount of claim related to Pre-CIRP period and the same has not been admitted, Marriott has filed a claim form with RP in this regard and same is admitted as operational creditors claim.

The Hon''ble NCLT, Hyderabad appointed Dr G.V. Narasimha Rao as new Resolution Professional for conducting Corporate Insolvency Resolution Process vide order dated April 13, 2022.

Pursuant to COC''s approval of resolution plan dated 29.09.2022 submitted by successful resolution applicant, RP has filed an application for approval of resolution plan before Hon''ble NCLT on 11.11.2022. The Contours of the resolution plan were presented before the Hon''ble NCLT bench and the matter is reserved for orders.

43. The Appeal has been filed by IARC seeking to set aside the order of the Hyd NCLT rejecting the Resolution Plan of CFM ARC dated 01-Sep-2021. Both IARC and RP have completed the pleadings and written submissions the primary issue being whether an ARC is disqualified to be a Resolution Applicant. CFM has filed an affidavit in this Appeal seeking to withdraw its Plan and have the Performance Bank Guarantee returned. The NCLAT has passed 2 interim orders one directing the RP to keep the CD as a going concern and the other to have the PBG extended. The next hearing is posted for dated 21^st June 2023.

44. The company has a pending adjudication against the Hon''ble Adjudicating Authority, PMLA, 2002. For which The Directorate of Enforcement made a Provisional Attachment Order in PAO No. 04/2019 dated 26.03.2019 passed by the Deputy Director, Directorate of Enforcement against the company. The Directorate of Enforcement has also filed an application under Insolvency and Bankruptcy code 2016 against the company in respect advances taken from Mahal hotels Ltd and the same has been accepted by the Hon''ble NCLT on dated 06-05-2019. The resolution professional has challenged the provisional attachment order of Enforcement Directorate, Chennai, before the Hon''ble NCLT, Hyderabad on 08-04-2019. NCLT has raised the attachment of Enforcement Directorate, Chennai.

Further, as per the Hon''ble NCLT, Hyderabad order dated 11.07.2019 declared that immovable and movable properties of Viceroy Hotels limited can''t be attached by the Enforcement Directorate - Chennai when the company is under Corporate Insolvency Resolution Process ("CIRP"). Subsequently Directorate of Enforcement, Chennai has gone to High Court, Chennai vide their writ petition number: WP/29970/2019 which was declared in their favour. Then the resolution professional of Viceroy Hotels Limited has approached Supreme Court vide order no SLP(C) no. 008259/2020 which is pending at Supreme Court. Further proceedings are subject to the respective authorities order.

45. The Company''s only business is Hoteliering and hence disclosure of segment-wise information is not applicable under Indian Accounting Standard 108- ''Segmental Information''. There is no geographical segment to be reported.

46. The company is in the process of getting confirmation for Trade receivables and Trade payables amount for the FY 2022-23.

47. The company is in the process of appointing Chief financial officer (CFO), CS and CEO for the FY-2022-23.

48. The company has forfeited an amount of Advance of Rs.134.65crores erroneously in the Financial year 2013-14 (Bhagyanagar Investment & Trading Private Limited- Rs.11.77 Crores, Ganga Industrial Corporation- Rs.0.65 Crores, Mahal Hotel Private Limited Rs.122.23 crores) and the same is taken back into the Books as Exceptional Item, which was qualified by the auditors.

49. Management believes the status of going concern is not affected and is confident of maintaining the going concern status and is undergoing the process of IBC Code, 2016. The final status can be known on approval of resolution plan.

50. As the loans turned as Non-Operating Assets, there is no correspondence from the banks and financial institutions regarding the interest provision, hence as a result the company could not provide for the interest expense during the year

51. The company is planning to convert the advances given to subsidiaries as investments in the future.

52. Additional Regulatory Information

i. The company has Land in its Financial Statements and the title deeds of those immovable properties are held in the name of the Company.

ii. The Company has not revalued its Property, Plant and Equipment since the Company has adopted cost model as its accounting policy to an entire class of Property, Plant and Equipment in accordance with Ind AS 16.

iii.The Company has not granted any loan or advance in the nature of loan to promoters, directors, KMPs and other related parties that are repayable on demand or without specifying any terms or period of repayment.

vi.The Company does not hold any Benami Property. Thus, there are no proceedings have been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988).

vii. The Company has not been sanctioned working capital limits in excess of five crore rupees, in aggregate, from banks or financial institutions on the basis of security of current assets at any point of time during the year.

viii. The Company is not declared as wilful defaulter by any bank or financial institution or other lenders.

ix. The Company did not have any transactions with Companies struck off under Section 248 of Companies Act, 2013 or Section 560 of Companies Act, 1956 considering the information available with the Company.

x. There are no charges or satisfactions yet to be registered with ROC beyond the statutory period by the Company.

xi. The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017.

xiii. There are no Scheme of Arrangements approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013 during the year.

xiv. The Company, other than as disclosed in the notes to accounts, has not advanced or loaned or invested any funds (either from borrowed funds or share premium or any other sources or kind of funds) to or in any other persons or entities, including foreign entities ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever ("Ultimate Beneficiaries") by or on behalf of the Company or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

xv. The company has also not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the company shall (i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or (ii) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

xvi. The Company, other than as disclosed in the notes to accounts, has not received any funds from any persons or entities, including foreign entities ("Funding Parties"), with the understanding, whether recorded in writing or otherwise, that the Company shall directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever ("Ultimate Beneficiaries") by or on behalf of the Funding Parties or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

xvii. The provisions of section 135 of the Companies Act, 2013 for constitution of CSR committee is not applicable to the Company.

xviii. The Company did not trade or invest in Crypto Currency or virtual currency during the financial year. Hence, disclosures relating to it are not applicable.

53. Previous year''s figures and current year s figures have been regrouped, recasted, wherever necessary.

54. The figures have been rounded off to Thousands and decimals thereof.

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Mar 31, 2016

1. In relation of Secured (Term) Loans:

A_sset Subservient charge on movable and immovable assets of Hyderabad Marriott hotel and

Reconstruction Subservient charge on movable and immovable fixed assets of company (except Company of India Bangaloreand Chennaiprojects).

Limited- Taken over The existing Limit Further secured by Second Charge on Mortgage by Deposit of Title from Axis Bank Deeds of Landed Properties (1)In Sy.No.140 (new No. 181) admeasuring 14,092 Sq.yards ^Limited (2) In Sy.No.139 admeasuring 346.72 Sq.Yards (3) 1-3-1-36/1admeasuring 220 & 220

Sq.Yards (4) In Sy.No.139 admeasuring 216.60, 216.60 and 216.60 Sq.Yards all are situated in Lower Tank Bund Road, Kavadiguda, Hyderabad.

A_sset A first charge by way of hypothecation of all the Company’s immovable properties

_{Reconstruction} movable plant and machinery etc. and on Receivables excluding the receivables

C_ompany _of Indi_a required by Operator as operating expenses for operation of the Project, present and

Li_mit_ed_- T_ak_en future, subject to prior charge of the working capital lenders for securing the working

_over f_rom IDFC capital facilities to the maximum of Rs.4 Crores and charge on all intangibles.

Li_mit_ed Charge/assignment on all the Company’s contracts/documents for the Projects

Asset Reconstruction a) First pari passu charge on movable assets at Hyderabad Marriot Hotel.

Company of India b) First pari-passu charge on immovable assets of Hyderabad Marriot Hotel (by way of Unrated^- Talr deposition title deeds with IDFC (at present with ARCIL) as an agent of Debenture from Axis Bank Limited Trustee)

IARC Ltd - Taken Hypothecation of Machinery/Goods/ Stocks and Book Debts in business. Extension of over from Laxmi equitable mortgage already created over the Land and Commercial Building Property Vilas Bank situated at D. No. 3-6-199 and 3-6-199/1, Himayat Nagar, Hydrabad admeasuring 1416.66 sq.yards.

Canara Bank First Charge on the entire fixed assets including mortgage over immovable assets and charge on movables) of Hyderabad Courtyard Hotel Project situated at Municipal Door NO. 1-3-1016to 1024, lower tank bund Gandhi Nagar, Hyderabad

State Bank Of India First Charge on the entire fixed assets of proposed Hotel Courtyard, Hyderabad, ranking pari passu with other term lender i.e. Canara Bank, R.P, Road, Branch, Secunderabad, including Equitable Mortgage of Land admeasuring 6263 Sq Yds situated at Kavadiguda, Hyderabad.

Bank of Maharastra Hypothecation Of Stocks & Receivables Of "Country add By Marriott" Hotel Sitauted At Gandhinagar, Lower Tank Bund Road, Hyderabad With Exclusive First Charge, Hypothecation Of Entire Current Assets, Present And Future Goods, Stocks, Of Raw Materials, Items, Inventories, Stocks, Present And Future Tangible And Intangible Assets etc.,

- Properties mentioned in S.No.1 to 4 are originally in the name of Minerva Enterprises Pvt Ltd and these were transferred to the company through a scheme of arrangement approved by Hon’ble High of Court of Andhra Pradesh vide its order dated 1st May 2007. However, the revenue records are required to be updated to reflect the above title change.

- Properties mentioned in S.No.5to 8 were originally in the name of Krishna Cold Drinks Pvt Ltd (the then name of Viceroy Hotels Limited).Subsequently company changes its name several times i.e. from Krishna Cold Drinks Private Limited to Shri Kishna Bottlers Private Limited and further as Palace Heights Hotels Private Limited.

Palace Heights Hotels Private Limited was converted as public limited company namely Palace Heights Hotels Limited and finally became Viceroy Hotels Limited vide incorporation certificate of Registrar of Companies dated 21-09-2001. However, the revenue records are required to be updated to reflect the above name changes and conversions with regard to the title.

- Properties mentioned in S.No.9 is originally inthe name of Shri P. Prabhakar Reddy was invested by him as capital in a partnership firm which was subsequently converted as Minerva Enterprises Private Limited and this property was transferred to the company through a scheme of arrangement approved by Hon’ble High of Court of Andhra Pradesh vide its order dated 1st May 2007. However, the revenue records are required to be updated to reflect the above title change.

2. Slump Sale:

Viceroy Hotels Limited has transferred all assets and liabilities pertaining to undertaking on a basis to M/s. Banjara Hospitalities Private Limited(BHPL) at a lump sum consideration of Rs. 3,17,00,000/-discharged by BHPL byway of issue of 31,70,000 fully paid equity shares of Rs 10/- each.

3. The Company’s only business is Hoteliering and hence disclosure of segment-wise information is not applicable under Accounting Standard 17- ‘Segmental Information’ (AS-17). There is no geographical segment to be reported.

4. Previous year’s figures and current year’s figures have been regrouped, recanted, wherever necessary.

5. The figures have been rounded off to the nearest rupee.

---

Mar 31, 2015

1. The financial statements are prepared under the historical cost convention, on an accrual basis and comply with the Accounting Standards (AS) notified by the Companies (Accounting Standards) Rules, 2006. The preparation of the financial statements requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities (including contingent liabilities) as of the date of the financial statements and the reported income and expenses. The Management believes that the estimates used in the preparation of the financial statements are prudent and reasonable. Future results could differ from these estimates. The significant accounting policies adopted in the presentation of the financial statements are as under:

2. According to the information available with the Company, there are no amounts as at 31st March, 2015, due to suppliers who constitute a "small industrial undertaking".

3. Contingent Liabilities not provided for in respect of:-

i) Claims againstthe company pending appellate/judicial decisions:

a) E.S.I Rs. 67,70,937/- ( Previous Year Rs. 67,70,937/-)

ii) Guarantees:

Guarantees given to bank for the Bank Guarantee Rs.16,22,500/- limits availed by the company towards EPCG Bonds given to DGFT, Hyderabad

Previous Year Rs.16,22,500/-

iii) Corporate Guarantee given to subsidiary company M/s Crustum Products Pvt Ltd for Rupee term loan of Rs.8.65 Crores Sanctioned by Oriental Bank ofCommerce.

4. In relation to Related Party Disclosures in compliance with Accounting Standard:

Name Nature of Relationship with the company

Mr. P Prabhakar Reddy Managing Director

Mr. PChakradhar Reddy Director

Mr. K.Guravaraju CFO

Ms. Y K. Priyadarshini CS

M/s Cafe D' Lake Pvt. Ltd. Subsidiary

M/s Crustum Products Pvt. Ltd. Subsidiary

M/s Minerva Hospitalities Pvt. Ltd. Subsidiary

M/s Viceroy Chennai Hotels & Resorts Pvt. Ltd Subsidiary

M/s Viceroy Bangalore Hotels Pvt. Ltd. Associate

M/s Parvath Investments Private Limited Common Director

M/s Parvath Reddy Investments Private Limited KMP is a Member

M/s Viceroy Hospitality Services Private Limited Common Director

M/s Minerva Enterprises Private Limited Common Director

5. In accordance with provisions of Schedule II of Companies Act,2013,in case of fixed assets which have completed the useful life as at 31st March 2014,the carrying value as on 01.04.2014 amounting to Rs.15,70,50,572/- has been recognized in the Retainedearnings as a transitional provision.

Further in case of assets acquired prior to 1st April, 2014, the carrying value of assets is depreciated over the remaining useful life as specified inthe companies Act, 2013 effective1st April, 2014.

6. The Company's only business is Hoteliering and hence disclosure of segment-wise information is not applicable under Accounting Standard 17- 'Segmental Information' (AS-17). There is no geographical segmentto be reported.

7. Previous year's figures and currentyear'sfigures have been regrouped, recasted, wherever necessary.

8. Thefigures have been rounded off to the nearest rupee.

---

Mar 31, 2014

1. According to the information available with the Company, there are no amounts as at 31st March, 2014, due to suppliers who constitute a "small industrial undertaking".

2. Contingent Liabilities not provided for in respect of:-

i) Claims againstthe company pending appellate/judicial decisions:

a) E.S.I Rs. 67,70,937/- ( Previous Year Rs. 67,70,937/-)

b) Income Tax AY 2004-05 Rs. 25,95,736 & AY 2005-06 Rs. 73,14,584/-

3. In relation of Secured (Term) Loans:

(i) Term loans from IDFC Limited and Non Convertible Debentures from AXIS Bank aggregating to Rs. 126.00 crores are secured by Pari Passu first charge on the immovable and movable properties of Hyderabad Marriott Hotel, the said Term Loans were taken over by ARCIL (ASSET RECONSTRUCTION COMPANY OF INDIALTD).

(ii) Term loans from State Bank of India, Andhra bank and Canara Bank for the Hyderabad Courtyard hotel project aggregating to Rs. 95.00 crores are secured by the first Pari-Passu charge on the fixed assets of the Courtyard hotel project and Rs. 25.00 crores sanctioned during the previous year are secured against present and future credit card receivables and also personal guarantee of Managing Director, Mr. P. Prabhakar Reddy worth Rs. 22.79 crore.

(iii) The company has availed Redeemable Non convertible Debentures aggregating Rs.42.50 crores from Axis Bank Limited. It is secured against the immovable and movable properties of Hyderabad Marriott. The company has created a Debenture Redemption reserve of Rs. 500 lakhs for the FY 2008. As per the agreement during the financial years 2011-12,2012-13 and 2013-14 the Company has to repay a sum of Rs. 2 crore, Rs 10 crore and 16 crore of debentures respectively, but the company has not made the same during the financial years 2011-12, 2012-13 and 2013-14.

4. In relation to Related Party Disclosures in compliance with Accounting Standard:

Name Relation with the Company

Shri. P. Prabhakar Reddy Managing Director

M/s Cafe D'' Lake Pvt. Ltd. Subsidiary

M/s Crustum Products Pvt. Ltd. Subsidiary

M/s Minerva Hospitalities Pvt. Ltd. Subsidiary

M/s Viceroy Chennai Hotels & Resorts Pvt. Ltd Subsidiary

M/s Viceroy Bangalore Hotels Pvt. Ltd. Associate

5. The Company''s only business is hoteliering and hence disclosure of segment-wise information is not applicable under Accounting Standard 17- ''Segmental Information'' (AS-17). There is no geographical segment to be reported.

6. SaleofChennai Project Division:

Sale of the ongoing project (Chennai Project) was made during theyear fora consideration of Rs. 486.20 Crores To Ceebros Hotels Private Limited against transfer of Land and Capital work in Progress amounting to Rs. 743.72 Crores resulting in loss amounting to Rs. 257.52 Crores, An amount of Rs. 134.65 Crores received towards non - refundable advances from the earlier proposed buyers is forfeited and adjusted from the loss of Rs. 257.52 Crores resulting in a Net Loss of Rs. 122.87, the same is shown as Loss from extraordinary item in the Statement of Profit &loss.

Dues to Banks and Financial Institutions in respect of the Chennai project is Rs. 45 crores to Central Bank of India whichis Payable by 31-03-2015 and an Amount of Rs.13.83 is payable to IARC.

7. During the Year there is an Assignment to Asset Reconstruction Company (India) Limited (AARCIL) of loans facilities granted by Axis Bank amounting to Rs.42.50 Crores NCD''s and Term Loan amounting to Rs.20.00 Crores. Similarfacility isalsogranted by IDFCamounting to Rs.70.775 Crores.

8. Since Central Government has issued a notification No. S.O. 301(E) dated 8th February, 2011 in exercise of the powers conferred by Section 211(3) of the Companies Act, 1956 granting general exemption to some specified classof companies, including hotelcompanies, from disclosing certain information intheirprofitand lossaccount as required under Part-II of Schedule VI of the Companies Act, 1956 subject to fulfilment of few conditions, the Company has duly complied with all conditions of the notification to seek general exemption under Section 211(4) of the Companies Act, 1956, paras 3(i)(a) and 3(ii)(d) of Part II of Schedule VI of the Companies Act, 1956 dealing with the disclosure of quantitative details of turnover of each class of goods, opening and closing stock, purchases, production and consumption of raw material in the financial statements for the financial year ended 31st March 2013. In this regard the Board of Directors of the Company has passed necessary resolution to comply with the conditions of the notification forthe same.

9. The Board of Directors of the Company has by resolution has given consent to avail of the General Circular Nos: 2/2011 and 3/2011 dated 8th February, 2011 and 21st February, 2011 respectively issued by the Ministry of Corporate Affairs, Government of India giving general exemption to the companies under Section 212(8) of the Companies Act, 1956 for not attaching the balance sheet of the subsidiaries. The Company has disclosed necessary information as required in the said Circularinthe consolidated balance sheetinaggregateforeach subsidiary.

10. Previous year''s figures and current year''s figures have been regrouped, recasted, wherever necessary to improve figures presentation.

11. The figures have been rounded off to the nearest rupee.

---

Mar 31, 2013

1. Fixed Assets :

Revaluation Reserve represents increase in the value of land on account of Revaluation made during the financial year 1989-90. Gross Block consists of Value of Chennai land aggregating Rs. 148.55 crores pertaining to the Chennai Hotel project and Rs. 12.99 crores of Hyderabad Courtyard land.

2. According to the information available with the Company, there are no amounts as at 31st March, 2013, due to suppliers who constitute a "small industrial undertaking".

3. Contingent Liabilities not provided for in respect of:-

i) Claimsagainstthe Company pending appellate/judicial decisions:

a) E.S.I Rs. 67,70,937/- ( Previous Year Rs. 67,70,937/-)

b) Income Tax AY 2004-05 Rs. 25,95,736 & AY 2005-06 Rs. 73,14,584/-

( Previous Year AY 2004-05 Rs. 25,95,736/- & AY 2005-06 Rs. 73,14,584/-)

ii) Guarantees:

Guarantees given to bank for the Bank Guarantee limits Rs. 16,22,500/- availed by the Company towards EPCG Bonds given to DGFT, Hyderabad. Previous Year Rs. 16,22,500/-

iii) Corporate Guarantee given to subsidiary Company M/sCrustum Products Pvt Ltd for Rupee term loan of Rs. 8.65 crores availed from Oriental Bank of Commerce.

4. In relationofSecured (Term) Loans:

(i) Term loans from IDFC Limited and Non Convertible Debentures from AXIS Bank aggregating to Rs. 126.00 crores are secured by Pari Passu first charge on the immovable and movable properties of Hyderabad Marriott Hotel.

(ii) Term loans sanctioned by State Bank of India, State Bank of Mysore, State Bank of Indore, State Bank of Bikaner & Jaipur, Allahabad Bank, Indian Overseas Bank and UCO Bank aggregating to Rs. 350.00 crores for the Chennai Hotel Project are secured by Pari-Passu first charge on the immovable and movable properties of Chennai Hotel Project.

(iii) Term loans from State Bank of India, Andhra bank and Canara Bank for the Hyderabad Courtyard hotel project aggregating to Rs. 95.00 crores are secured by the first Pari-Passu charge on the fixed assets of the Courtyard hotel project and Rs. 25.00 crores sanctioned during the previous year are secured against present and future credit card receivables and also personal guarantee of Managing Director, Mr. P. Prabhakar Reddy worth Rs. 22.79 crore.

(iv) The Company has availed Redeemable Non convertible Debentures aggregating Rs.50 crores from Axis Bank Limited. It is secured against the immovable and movable properties of Hyderabad Marriott. The Company has created a Debenture Redemption reserve of Rs. 500 lakhs for the FY 2008. As per the agreement during the financial years 2011-12 and 2012-13 the Company has to repay a sum of Rs. 2 crore and Rs 10 crore of debentures respectively, but the Company has not made the same during the financial years2011-12and2012-13.

5. The Company''s only business is hoteliering and hence disclosure of segment-wise information is not applicable under Accounting Standard 17- ''Segmental Information'' (AS-17). There is no geographical segment to be reported.

6. Sale of Chennai Project Division : The Company has received anapproval for the proposal to sell the entire Chennai Project division comprising of Chennai Hotel Project and Chennai Residential Project to Ceebros Hotels , Chennai foratotal consideration of Rs.480 crore. The board at its meeting held onMay 08, 2013 has approved for the same.

The board also approved the draft postal ballot notice under Companies Act ,1956 read with the Companies (passing of the resolution by Postal Ballot) Rules, 2001 with regard to sale of the above said Chennai Project division.

7. Since Central Government has issued a notification No. S.O. 301(E) dated 8th Februray, 2011 in exercise of the powers conferred by Section 211(3) of the Companies Act, 1956 granting general exemption to some specified class of companies, including hotel companies, from disclosing certain information in their profit and loss account as required under Part-II of Schedule VI of the Companies Act, 1956 subject to fulfilment of few conditions, the Company has duly complied with all conditions of the notification to seek general exemption under Section 211(4) of the Companies Act, 1956, paras 3(i)(a) and 3(ii)(d) of Part II of Schedule VI of the Companies Act, 1956 dealing with the disclosure of quantitative details of turnover of each class of goods, opening and closing stock, purchases, production and consumption of raw material in the financial statements for the financial year ended 31st March 2013. In this regard the Board of Directors of the Company has passed necessary resolution to comply with the conditions of the notification for the same.

8. The Board of Directors of the Company has by resolution has given consent to avail of the General Circular Nos: 2/2011 and 3/2011 dated 8th February, 2011 and 21st February, 2011 respectively issued by the Ministry of Corporate Affairs, Government of India giving general exemption to the companies under Section 212(8) of the Companies Act, 1956 for not attaching the balance sheet of the subsidiaries. The Company has disclosed necessary information as required in the said Circularinthe consolidated balance sheetinaggregate for each subsidiary.

9. Previous year''s figures and current year''s figures have been regrouped, recasted, wherever necessary to improve figures presentation.

10. The figures have been rounded off to the nearest rupee.

---

Mar 31, 2012

1. In relation of Fixed Assets:

Revaluation Reserve represents increase in the value of land on account of Revaluation made during the financial year 1989-90. Gross Block consists of Value of Chennai land aggregating Rs.148.55 crores pertaining to the Chennai Hotel project and Rs.12.99 crores of Hyderabad Courtyard land.

2. According to the information available with the Company, there are no amounts as at 31st March, 2012, due to suppliers who constitute a "small scale industrial undertaking".

3. Contingent Liabilities not provided for in respect of:-

i) Claims against the company pending appellate/judicial decisions:

a) E.S.I Rs 67,70,937/- (Previous Year Rs 67,70,937/-)

b) Income Tax AY 2004-05 Rs. 25,95,736 & AY 2005-06 Rs. 73,14,584/-

(Previous Year AY 2004-05 Rs. 25,95,736/- & Ay 2005-06 Rs. 73,14,584/-)

ii) Guarantees:

Guarantees given to bank for the Bank Guarantee limits Rs. 16,22,500/- availed by the company towards EPCG Bonds given to DGFT, Hyderabad. Previous Year Rs. 16,22,500/-

iii) Corporate Guarantee given to subsidiary company M/s Crustum Products Pvt Ltd for Rupee term loan of Rs.8.65 crores availed from Oriental Bank of Commerce.

4. In relation of Secured (Term) Loans:

(i) Term loans from IDFC Limited and Non Convertible Debentures from AXIS Bank aggregating to Rs.126.00 crores are secured by Pari Passu first charge on the immovable and movable properties of Hyderabad Marriott Hotel.

(ii) Term loans sanctioned by State Bank of India, State Bank of Mysore, State Bank of Indore, State Bank of Bikaner & Jaipur, Allahabad Bank, Indian Overseas Bank and UCO Bank aggregating to Rs.350.00 crores for the Chennai Hotel project are secured by Pari-Passu first charge on the immovable and movable properties of Chennai hotel project.

(iii) Term loans from State Bank of India, Andra bank and Canara Bank for the Hyderabad Courtyard hotel project aggregating to Rs.95.00 crores are secured by the first Pari-Passu charge on the fixed assets of the Courtyard hotel project and Rs. 25.00 crores sanctioned during the year are secured against present and future credit card receivables and also personal guarantee of Managing Director, Mr. P. Prabhakar Reddy worth Rs. 22.79 crores.

(iv) The company has availed Redeemable Non convertible Debentures aggregating Rs.50croresfromAxisBank Limited. It is secured against the immovable and movable properties of Hyderabad Marriott. The company has created a Debenture Redemption reserve of Rs.500 lakhs for the FY2008 and during the year under review. During the financial year 2011-2012 the Company has to repay a sum of Rs. 2 Crores of debentures as per agreement but the company has not made the same during the financial year 2011-2012.

5. The Company’s only business is hoteliering and hence disclosure of segment-wise information is not applicable under Accounting Standard 17 — 'Segmental Information’ (AS-17). There is no geographical segment to be reported.

A Slump sale was made during the year of the ongoing projects (Bangalore Project) for a net consideration of Rs. 212,15,02,357/-to Viceroy Bangalore Hotels Pvt. Ltd which resulted a capital reserve ofRs. 68,87,995/-.

6. Since Central Government had issued a notification No. S.O. 301 (E) dated 8th February, 2011 in exercise of the powers conferred by Section 211 (3) of the Companies Act, 1956 granting general exemption to some specified class of companies, including hotel companies, from disclosing certain information in their profit and loss account as required under Part-II of Schedule VI of the Companies Act, 1956 subject to fulfilment of few conditions, the Company has duly complied with all conditions of the notification to seek general exemption under Section 211 (4) of the Companies Act, 1956, paras 3(i)(a) and 3(ii)(d) of Part II of Schedule VI of the Companies Act, 1956 dealing with the disclosure of quantitative details of turnover of each class of goods, opening and closing stock, purchases, production and consumption of raw material in the financial statements for the financial year ended 31st March, 2012. In this regard the Board of Directors of the Company has passed necessary resolution to comply with the conditions of the notification for the same.

7. The Board of Directors of the Company has by resolution has given consent to avail of the General Circular Nos: 2/2011 and 3/2011 dated 8th February, 2011 and 21st February, 2011 respectively issued by the Ministry of Corporate Affairs, Government of India giving general exemption to the companies under Section 212(8) of the Companies Act, 1956 for not attaching the balance sheet of the subsidiaries. The Company has disclosed necessary information as required in the said Circular in the consolidated balance sheet in aggregate for each subsidiary.

8. Previous year’s figures and current year’s figures have been regrouped, recasted, wherever necessary to improve figures presentation.

9. The figures have been rounded off to the nearest rupee.

---

Mar 31, 2011

1. In relation of Fixed Assets:

Revaluation Reserve represents increase in the value of land on account of Revaluation made during the financial year 1989-90. Gross Block consists of Value of Chennai land aggregating Rs.148.55 crores pertaining to the Chennai Hotel project and Rs.12.99 crores of Hyderabad Courtyard land.

2. According to the information available with the Company, there are no amounts as at 31" March, 2011, due to suppliers who constitute a "small scale industrial undertaking".

3. Contingent Liabilities not provided for in respect of:-

i) Claims against the company pending appellate / Judicial decisions:

a) E.S.I Rs 67,70,937/- (Previous Yerar Rs 67,70,937/-)

b) Income Tax AY 2004-05 Rs. 25,95,736 & AY 2005-06 Rs. 73,14,584/-

(Previous Year AY 2004-05 Rs. 25,95,736 & Ay 2005-06 Rs. 73,14,584

ii) Guarantees:

Guarantees given to bank for the Bank Guarantee limits Rs. 16,22,500/-

availed by the company towards EPCG Bonds given to DGFT, Hyderabad.

Previous Year Rs. 29,50,300/-

iii) Corporate Guarantee given to subsidiary company M/s Crustum Products Pvt Ltd for Rupee term loan of Rs.8.65 crores availed from Oriental Bank of Commerce.

4. In relation of Secured (Term) Loans:

(I) Term loans from IDFC Limited and Non Convertible Debentures from AXIS Bank aggregating to Rs.126.00 crores are secured by Pari Passu first charge on the immovable and movable properties of Hyderabad Marriott Hotel.

(ii) Term loans sanctioned by State Bank of India, State Bank of Mysore, State Bank of Indore, State Bank of Bikaner & Jaipur, Allahabad Bank, Indian Overseas Bank and UCO Bank aggregating to Rs.350.00 crores for the Chennai Hotel project are secured by Pari Passu first charge on the immovable and movable properties of Chennai hotel project.

(iii) Term loans sanctioned by State Bank of Mysore, State Bank of Indore, State Bank of India and Canara Bank aggregating to Rs.112.00 crores for the Bangalore hotel project are secured by Pari- Passu first charge on the fixed assets of Bangalore Project. Apart from this the loans are also secured by deposit of lease deed of 53 years pertaining to the Bangalore project.

(iv) Term loans from State Bank of India and Canara Bank for the Hyderabad Courtyard hotel project aggregating to Rs.95.00 crores are secured by the first parri passu charge on the fixed assets of the Courtyard hotel project.

(v) The company has availed Redeemable Non convertible Debentures aggregating Rs.50 crores from Axis Bank Limited. It is secured against the immovable and movable properties of Hyderabad Marriott. The company has created a Debenture Redemption reserve of Rs.500 lakhs for the FY2008 and during the year under review, the company has not created any Debenture Redemption reserve. The company has redeemed Rs. 7.5 crores of these Non convertible Debentures during the year under review.

5. In relation of Related Party Disclosures in compliance with Accounting Standard :

However, during the financial year ended 31st March 2011, except Managerial remuneration no transaction were recorded between the company and any related party mentioned above, in respect of services.

6. The Company's only business is hoteliering and hence disclosure of segment-wise information is not applicable under Accounting Standard 17 — 'Segmental Information' (AS-17). There is no geographical segment to be reported.

7. Capital Work-in-Progress includes Pre-operative expenses of Rs.2843.61 lakhs pertaining to the Non- Refundable Deposit paid to the land lords for taking land on long lease of 53 years for the Bangalore hotel project.

8. Since Central Government had issued a notification No. S.O. 301 (E) dated 8th February, 2011 in exercise of the powers conferred by Section 211 (3) of the Companies Act, 1956 granting general exemption to some specified class of companies, including hotel companies, from disclosing certain information in their profit and loss account as required under Part-II of Schedule VI of the Companies Act, 1956 subject to fulfilment of few conditions, the Company has duly complied with all conditions of the notification to seek general exemption under Section 211 (4) of the Companies Act, 1956, paras 3(i)(a) and 3(ii)(d) of Part II of Schedule VI of the Companies Act, 1956 dealing with the disclosure of quantitative details of turnover of each class of goods, opening and closing stock, purchases, production and consumption of raw material in the financial statements for the financial year ended 31st March, 2011. In this regard the Board of Directors of the Company has passed necessary resolution to comply with the conditions of the notification for the same.

9. The Board of Directors of the Company has by resolution has given consent to avail of the General Circular Nos: 2/2011 and 3/2011 dated 8th February, 2011 and 21st February, 2011 respectively issued by the Ministry of Corporate Affairs, Government of India giving general exemption to the companies under Section 212(8) of the Companies Act, 1956 for not attaching the balance sheet of the subsidiaries. The Company has disclosed necessary information as required in the said Circular in the consolidated balance sheet in aggregate for each subsidiary.

10. Previous year's figures and current year's figures have been regrouped, recasted, wherever necessary to improve figures presentation.

11. The figures have been rounded off to the nearest rupee.

---

Mar 31, 2010

1. In relation of Fixed Assets:

Revaluation Reserve represents increase in the value of land on account of Revaluation made during the financial year 1989-90. Gross Block consists of Value of Chennai land aggregating Rs. 148.55 crores pertaining to the Chennai Hotel project and Rs. 12.99 crores of Hyderabad Courtyard land.

2. According to the information available with the Company, there are no amounts as at 31" March, 2010, due to suppliers who constitute a "small scale industrial undertaking".

3. Contingent Liabilities not provided for in respect of :-

I) Claims against the company pending appellate / Judicial decisions:

a) E.S.I Rs 67,70,937/- (Previous Yerar RS 67,70,937/-)

b) Income Tax AY 2004-05 Rs. 25,95,736 & AY 2005-06 Rs. 73,14,584/- Rs 73,14,584)

iii) Corporate Guarantee given to subsidiary company M/s Crustum Products Pvt Ltd for Rupee term loan of Rs.8.65 crores availed from Oriental Bank of Commerce.

4. In compliance with Part II of Schedule - VI to the Companies Act, 1956; the detailed information regarding quantitative particulars is as under:

5. In relation of Secured (Term) Loans:

(i) Term loans from IDFC Limited and Non Convertible Debentures from AXIS Bank aggregating to Rs. 126.00 crores are secured by Pari Passu first charge on the immovable and movable properties of Hyderabad Marriott Hotel.

(ii) Term loans sanctioned by State Bank of India, State Bank of Mysore, State Bank of Indore, State Bank of Bikaner& Jaipur, Allahabad Bank, Indian Overseas Bank and UCO Bank aggregating to Rs.350.00 crores for the Chennai Hotel project are secured by Pari Passu first charge on the immovable and movable properties of Chennai hotel project. (iii) Term loans sanctioned by State Bank of Mysore, State Bank of Indore, State Bank of Indi and Canara Bank aggregating to Rs.112.00 crores for the Bangalore hotel project are secured by Pari-Passu first charge on the fixed assets of Bangalore Project. Apart from this the loans are also secured by deposit of lease deed of 53 years pertaining to the Bangalore project.

(iv) Term loans from State Bank of India and Canara Bank for the Hyderabad Courtyard hotel project aggregating to Rs.95.00 crores are secured by the first parri passu charge on the fixed assets of the Courtyard hotel project.

(v)The company has availed Redeemable Non convertible Debentures aggregating Rs.50 crores from Axis Bank Limited. It is secured against the immovable and movable properties of Hyderabad Marriott. The company has created a Debenture Redemption reserve of Rs.500 lakhs for the FY2008 and during the year under review, the company has not created any Debenture Redemption reserve.

However, during the financial year ended 31st March 2010, except Managerial remuneration no transaction were recorded between the company and any related party mentioned above, in respect of services.

6. The Companys only business is hoteliering and hence disclosure of segment-wise information is not applicable under Accounting Standard 17 — Segmental Information (AS-17). There is no geographical segmentto be reported.

7. Pre-operative expenses include Rs.2843.61 lakhs pertaining to the Non- Refundable Deposit paid to the land lords for taking land on long lease of 53 years for the Bangalore hotel.

8. Previous years figures and current years figures have been regrouped, recasted, wherever necessary to improve figures presentation.

9. The figures have been rounded off to the nearest rupee.