Notes to Accounts of Vintron Informatics Ltd.

Mar 31, 2025

k. Provisions, Contingent liabilities and Contingent assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a
past events and it is probable that an outflow of resources embodying economic benefits will be required to
settle the obligation and a reliable estimate can be made of the amount of the obligation.

If the effect of the time value of money is material, provisions are 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
provision due to the passage of time is recognised as a finance cost.

Contingent liability is disclosed in the case of:

• a present obligation arising from past events, when it is not probable that an outflow of resources will
be required to settle the obligation;

• a present obligation arising from past events, when no reliable estimate is possible
Provisions, contingent liabilities and contingent assets are reviewed at each balance sheet date.

l. Earnings per share

Basic earnings per equity share is computed by dividing the net profit after tax attributable to the equity
shareholders by the weighted average number of equity shares outstanding during the year. Diluted earnings
per equity share is computed by dividing adjusted net profit after tax by the aggregate of weighted average
number of equity shares and dilutive potential equity shares during the year.

m. Cash and cash equivalents

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

For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and short-term
deposits, as defined above.

n. Fair value measurement

The Company measures financial instruments such as derivatives and certain investments, at fair value at each
balance sheet date.

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

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

• Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value
measurement is directly or indirectly observable

• Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value
measurement is unobservable

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

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

o. Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or
equity instrument of another entity.

(a) Financial assets

Classification

The Company classifies financial assets as subsequently measured at amortized cost, fair value through
other comprehensive income or fair value through profit or loss on the basis of its business model for
managing the financial assets and the contractual cash flows characteristics of the financial asset.

Initial recognition and measurement

All financial assets are recognized initially at fair value plus, in the case of financial assets not recorded at
fair value through profit or loss, transaction costs that are attributable to the acquisition of the financial
asset.

Subsequent measurement

For purposes of subsequent measurement financial assets are classified in below categories:

• Financial assets carried at amortised cost

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

• Financial assets at fair value through other comprehensive income

A financial asset is subsequently measured at fair value through other comprehensive income if it is held
within a business model whose objective is achieved by both collecting contractual cash flows and selling
financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows
that are solely payments of principal and interest on the principal amount outstanding. The Company has
made an irrevocable election for its investments which are classified as equity instruments to present the
subsequent changes in fair value in other comprehensive income based on its business model.

• Financial assets at fair value through profit or loss

A financial asset which is not classified in any of the above categories are subsequently fair valued
through profit or loss.

Derecognition

A financial asset is primarily derecognized when the rights to receive cash flows from the asset have
expired or the Company has transferred its rights to receive cash flows from the asset.

Investment in subsidiaries, joint ventures and associates

The company has accounted for its investment in subsidiaries, joint ventures and associates at cost.
Impairment of financial assets

The Company assesses impairment based on expected credit losses (ECL) model for measurement and
recognition of impairment loss on the financial assets that are trade receivables or contract revenue
receivables and all lease receivables.

(b) Financial liabilities

Classification

The Company classifies all financial liabilities as subsequently measured at amortized cost, except for
financial liabilities at fair value through profit or loss. Such liabilities, including derivatives that are
liabilities, shall be subsequently measured at fair value.

Initial recognition and measurement

All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and
payables, net of directly attributable transaction costs. The Company''s financial liabilities include trade
and other payables, loans and borrowings including bank overdrafts, and derivative financial instruments.

Subsequent measurement

The measurement of financial liabilities depends on their classification, as described below:

• Financial liabilities at amortised cost

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortized
cost using the EIR method. Gains and losses are recognized in profit or loss when the liabilities are
derecognized as well as through the EIR amortization process.

Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or
costs that are an integral part of the EIR. The EIR amortization is included as finance costs in the
statement of profit and loss.

• Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading and
financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial
liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near
term. This category also includes derivative financial instruments entered into by the Company that are
not designated as hedging instruments in hedge relationships as defined by Ind AS 109. Separated
embedded derivatives are also classified as held for trading unless they are designated as effective
hedging instruments.

Gains or losses on liabilities held for trading are recognized in the statement of profit and loss.
Derecognition

A financial liability is derecognized 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 the derecognition of the original liability and the recognition of a new liability.
The difference in the respective carrying amounts is recognized in the statement of profit and loss.

p. Unless specifically stated to be otherwise, these policies are consistently followed.

2.3 Significant accounting judgements, estimates and assumptions

The preparation of the Company''s financial statements requires management to make judgements, estimates
and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the
accompanying disclosures, and the disclosure of contingent liabilities at the date of the financial statements.
Estimates and assumptions are continuously evaluated and are based on management''s experience and other
factors, including expectations of future events that are believed to be reasonable under the circumstances.
Uncertainty about these assumptions and estimates could result in outcomes that require a material
adjustment to the carrying amount of assets or liabilities affected in future periods.

In particular, the Company has identified the following areas where significant judgements, estimates and
assumptions are required. Further information on each of these areas and how they impact the various
accounting policies are described below and also in the relevant notes to the financial statements. Changes in
estimates are accounted for prospectively.

Judgements

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

Contingencies

Contingent liabilities may arise from the ordinary course of business in relation to claims against the Company,
including legal, contractor, land access and other claims. By their nature, contingencies will be resolved only
when one or more uncertain future events occur or fail to occur. The assessment of the existence, and
potential quantum, of contingencies inherently involves the exercise of significant judgments and the use of
estimates regarding the outcome of future events.

Estimates and assumptions

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

circumstances arising beyond the control of the Company. Such changes are reflected in the assumptions
when they occur.

(a) Impairment of non-financial assets

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

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax
discount rate that reflects current market assessments of the time value of money and the risks specific to the
asset. In determining fair value less costs of disposal, recent market transactions are taken into account. If no
such transactions can be identified, an appropriate valuation model is used. These calculations are
corroborated by valuation multiples, quoted share prices for publicly traded subsidiaries or other available fair
value indicators.

(b) Defined benefit plans

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

(c) Fair value measurement of financial instruments

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be
measured based on quoted prices in active markets, their fair value is measured using valuation techniques
including the DCF model. The inputs to these models are taken from observable markets where possible, but
where this is not feasible, a degree of judgment is required in establishing fair values. Judgements include
considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these
factors could affect the reported fair value of financial instruments.

(d) Impairment of financial assets

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

2.4 Recent Accounting Pronouncement

Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing standards under
Companies (Indian Accounting Standards) Rules as issued from time to time. For the year ended March 31,
2025, MCA has not notified any new standards or amendments to the existing standards applicable to the
Company.

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Mar 31, 2024

31. Financial 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 is responsible for developing and monitoring the Company''s risk management policies. The Board holds regular meetings on its activities.

The Company''s risk management policies are established to identify and analyse 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 Board 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.

a) . Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables) and from its financing activities, including deposits with banks and financial institutions.

Credit risk from investments with banks and other financial institutions is managed by the Treasury functions in accordance with the management policies. Investments of surplus funds are only made with approved counterparties who meet the appropriate rating and/ or other criteria, and are only made within approved limits. The management continually re-assess the Company''s policy and update as required. The limits are set to minimise the concentration of risks and therefore mitigate financial loss through counterparty failure. The maximum credit risk exposure relating to financial assets is represented by the carrying value as at the Balance Sheet date

Trade and other receivables

Customer credit risk is managed by each business unit subject to the Company''s established policy, procedures and control relating to customer credit risk management. Credit quality of a customer is assessed based on an extensive credit review and individual credit limits are defined in accordance with this assessment. Outstanding customer receivables are regularly monitored.

At the year end the Company does not have any significant concentrations of bad debt risk other than that disclosed in note 8.

An impairment analysis is performed at each reporting date on an individual basis for major clients. The Company does not hold collateral as security. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and operate in largely independent markets.

Cash and cash equivalents and other bank balances

Credit risk from balances with banks and financial institutions is managed by the Company''s treasury department in accordance with the Company''s policy. Investments of surplus funds are made only with approved counterparties.

Other financial assets

Other financial assets measured at amortised cost includes deposits and fixed deposits with bank having orignal maturity period of more than 12 months. Credit risk related to these financial assets are managed by monitoring the recoveries of such amounts on regular basis and the Company does not perceive any credit risk related to these financial assets.

Other than trade and other receivables, the Company has no other financial assets that are past due but not 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.

Maturities of financial liabilities

The below table analyses the Company''s financial liabilities into relevant maturity based on their contractual maturities. The amounts disclosed in the table are contractual undiscounted cash flows._

(c). Market risk

Market risk is the risk arising from changes in market prices - such as foreign exchange rates and interest rates - that will affect the Company''s income or the value of its holdings of financial instruments. Market risk is attributable to all market risk sensitive financial instruments including foreign currency receivables and payables and long term debt. The Company is exposed to market risk primarily related to foreign exchange rate risk, interest rate risk and the market value of the investments. Thus, the exposure to market risk is a function of investing and borrowing activities and revenue generating and operating activities in foreign currency.

(i). Currency risk

The Company is exposed to currency risk on account of foreign currency transactions including recognized assets and liabilities denominated in a currency that is not the Company''s functional currency primarily in respect of United States Dollar. The Company

ensures that the net exposure is kept to an acceptable level.

Exposure to currency risk

The Company''s exposure to foreign currency risk at the end of the reporting period expressed in INR, are as follows:

The Company aims to manage its capital efficiently so as to safeguard its ability to continue as a going concern and to optimise returns to its shareholders. The capital structure of the Company is based on management''s judgement of the appropriate balance of key elements in order to meet its strategic and day-to-day needs. The Company''s policy is to maintain a stable and strong capital structure with a focus on total equity so as to maintain investor, creditors and market confidence and to sustain future development and growth of its business.

The Company monitors its capital by using gearing ratio, which is net debt divided to total equity. Net debt includes borrowings net of cash and bank balances and total equity comprises of equity share capital, general reserve, securities premium, other comprehensive income and retained earnings.

The business activity of the company falls within one broad business segment viz. “Manufacturing and Trading of electronic items and rendering related Job work services" and substantially sale of the product/services is within the country. The Gross income and profit from the other segment is below the norms prescribed in Ind AS 108 Hence the disclosure requirement of Indian Accounting Standard 108 of “Segment Reporting" issued by the Institute of Chartered Accountants of India is not considered applicable.

³⁷ Corporate social responsibility

The provisions stipulated under section135 of the Companies Act 2013 are not applicable to the company for the year ended March

31, 2024 and March 31, 2023.

³⁸ The financial statements were authorised for issue by the Company''s Board of directors on June 30, 2024.

³⁹ Other Statutory Information

(i) The Company do not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property

(ii) The Company do not have any transactions with companies struck off.

(iii) The Company do not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period,

(iv) The Company have not traded or invested in Crypto currency or Virtual Currency during the financial year.

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

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

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

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

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

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

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

40. Claim against the company (not acknowledged as Debts) Rs. 12.69 Lakhs (Previous year 12.69 Lakhs). The court has confirmed the claim for which the company negotiating with the bank for settlement. The company has filed appeal in Hon''ble High court against the order.

In earlier year, the company has settled it dues of Rs. 201.36 lacs excluding interest to party for Rs. 100.00 Lacs as one-time settlement offer (OTS offer). The OTS offer is duly placed and recorded before NCLT, New Delhi. In the earlier year due to liquidity constraints, company has fail to repay the amount of OTS in full as per repayment terms defined under OTS offer. Consequently as per terms of OTS offer, the OTS offer stands revoked and the company is liable to pay entire outstanding along with interest. The company is under negotiation with party for further settlement. As management is under negotiation the company has not provided for rest amount and interest

42.

Previous year figures have been regrouped / reclassified to confirm to current year presentation.

As per our report of even date attached

For and on behalf of the Board of Directors of For A T K &Associates Vintron Informatics Limited

Chartered Accountants

Firm Registration No. 018918C CIN: L72100DL1991PLC045276

CA Ankur Tayal Malvika Lalwani Pallavi Lalwani Harish Kumar Arora Surbhi Pokhriyal

^Partner Director Director CFO Company Secretary

Membership No.: 404791 DIN: 08673926 DIN: 07444062 Membership No.: 72034

Place: Delhi Place: Delhi Place: Delhi Place: Delhi Place: Delhi

Date: June 30, 2024 Date: June 30, 2024 Date: June 30, 2024 Date: June 30, 2024 Date: June 30, 2024

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Mar 31, 2023

m. Provisions, Contingent liabilities and Contingent assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past
events and it is probable that an outflow of resources embodying economic benefits will be required to settle the
obligation and a reliable estimate can be made of the amount of the obligation.

If the effect of the time value of money is material, provisions are 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 provision due to the
passage of time is recognised as a finance cost.

Contingent liability is disclosed in the case of:

• a present obligation arising from past events, when it is not probable that an outflow of resources will be required
to settle the obligation;

• a present obligation arising from past events, when no reliable estimate is possible
Provisions, contingent liabilities and contingent assets are reviewed at each balance sheet date.

n. Earnings per share

Basic earnings per equity share is computed by dividing the net profit after tax attributable to the equity shareholders
by the weighted average number of equity shares outstanding during the year. Diluted earnings per equity share is
computed by dividing adjusted net profit after tax by the aggregate of weighted average number of equity shares and
dilutive potential equity shares during the year.

o. Cash and cash equivalents

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

For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and short-term deposits,
as defined above.

p. Fair value measurement

The Company measures financial instruments such as derivatives and certain investments, at fair value at each
balance sheet date.

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

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

• Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement
is directly or indirectly observable

• Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement
is unobservable

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

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

q. Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity
instrument of another entity.

(a) Financial assets
Classification

The Company classifies financial assets as subsequently measured at amortized cost, fair value through other
comprehensive income or fair value through profit or loss on the basis of its business model for managing the
financial assets and the contractual cash flows characteristics of the financial asset.

Initial recognition and measurement

All financial assets are recognized initially at fair value plus, in the case of financial assets not recorded at fair
value through profit or loss, transaction costs that are attributable to the acquisition of the financial asset.
Subsequent measurement

For purposes of subsequent measurement financial assets are classified in below categories:

• Financial assets carried at amortised cost

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

• Financial assets at fair value through other comprehensive income

A financial asset is subsequently measured at fair value through other comprehensive income if it is held
within a business model whose objective is achieved by both collecting contractual cash flows and selling
financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows
that are solely payments of principal and interest on the principal amount outstanding. The Company has
made an irrevocable election for its investments which are classified as equity instruments to present the
subsequent changes in fair value in other comprehensive income based on its business model.

• Financial assets at fair value through profit or loss

A financial asset which is not classified in any of the above categories are subsequently fair valued through
profit or loss.

Derecognition

A financial asset is primarily derecognized when the rights to receive cash flows from the asset have expired or
the Company has transferred its rights to receive cash flows from the asset.

Investment in subsidiaries, joint ventures and associates

The company has accounted for its investment in subsidiaries, joint ventures and associates at cost.
Impairment of financial assets

The Company assesses impairment based on expected credit losses (ECL) model for measurement and
recognition of impairment loss on the financial assets that are trade receivables or contract revenue receivables
and all lease receivables.

(b) Financial liabilities
Classification

The Company classifies all financial liabilities as subsequently measured at amortized cost, except for financial
liabilities at fair value through profit or loss. Such liabilities, including derivatives that are liabilities, shall be
subsequently measured at fair value.

Initial recognition and measurement

All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables,
net of directly attributable transaction costs. The Company’s financial liabilities include trade and other payables,
loans and borrowings including bank overdrafts, and derivative financial instruments.

Subsequent measurement

The measurement of financial liabilities depends on their classification, as described below:

• Financial liabilities at amortised cost

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortized
cost using the EIR method. Gains and losses are recognized in profit or loss when the liabilities are
derecognized as well as through the EIR amortization process.

Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or
costs that are an integral part of the EIR. The EIR amortization is included as finance costs in the statement
of profit and loss.

• Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading and financial
liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are
classified as held for trading if they are incurred for the purpose of repurchasing in the near term. This
category also includes derivative financial instruments entered into by the Company that are not designated
as hedging instruments in hedge relationships as defined by Ind AS 109. Separated embedded derivatives
are also classified as held for trading unless they are designated as effective hedging instruments.

Gains or losses on liabilities held for trading are recognized in the statement of profit and loss.

Derecognition

A financial liability is derecognized 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 the
derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying
amounts is recognized in the statement of profit and loss.

r. Unless specifically stated to be otherwise, these policies are consistently followed.

2.3 Significant accounting judgements, estimates and assumptions

The preparation of the Company’s financial statements requires management to make judgements, estimates and
assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying
disclosures, and the disclosure of contingent liabilities at the date of the financial statements. Estimates and assumptions
are continuously evaluated and are based on management’s experience and other factors, including expectations of future
events that are believed to be reasonable under the circumstances. Uncertainty about these assumptions and estimates
could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities affected in future
periods.

In particular, the Company has identified the following areas where significant judgements, estimates and assumptions are
required. Further information on each of these areas and how they impact the various accounting policies are described
below and also in the relevant notes to the financial statements. Changes in estimates are accounted for prospectively.
Judgements

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

Contingencies

Contingent liabilities may arise from the ordinary course of business in relation to claims against the Company, including
legal, contractor, land access and other claims. By their nature, contingencies will be resolved only when one or more
uncertain future events occur or fail to occur. The assessment of the existence, and potential quantum, of contingencies
inherently involves the exercise of significant judgments and the use of estimates regarding the outcome of future events.
Estimates and assumptions

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

(a) Impairment of non-financial assets

The Company assesses at each reporting date whether there is an indication that an asset may be impaired. If any
indication exists, or when annual impairment testing for an asset is required, the Company estimates the asset’s
recoverable amount. An asset’s recoverable amount is the higher of an asset’s or CGU’s fair value less costs of
disposal and its value in use. It is determined for an individual asset, unless the asset does not generate cash inflows
that are largely independent of those from other assets or groups of assets. Where the carrying amount of an asset or
CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.
In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax
discount rate that reflects current market assessments of the time value of money and the risks specific to the asset.
In determining fair value less costs of disposal, recent market transactions are taken into account. If no such transactions
can be identified, an appropriate valuation model is used. These calculations are corroborated by valuation multiples,
quoted share prices for publicly traded subsidiaries or other available fair value indicators.

(b) Defined benefit plans

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

(c) Fair value measurement of financial instruments

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured
based on quoted prices in active markets, their fair value is measured using valuation techniques including the DCF
model. The inputs to these models are taken from observable markets where possible, but where this is not feasible,
a degree of judgment is required in establishing fair values. Judgements include considerations of inputs such as
liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the reported fair value
of financial instruments.

(d) Impairment of financial assets

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

2.4 Recent Accounting Pronouncement

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

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

Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors - This amendment has introduced a
definition of ''accounting estimates’ and included amendments to Ind AS 8 to help entities distinguish changes in accounting
policies from changes in accounting estimates. The effective date for adoption of this amendment is annual periods beginning
on or after April 1,2023. The Company has evaluated the amendment and there is no impact on its financial statements.
Ind AS 12 - Income Taxes - This amendment has narrowed the scope of the initial recognition exemption so that it does not
apply to transactions that give rise to equal and offsetting temporary differences. The effective date for adoption of this
amendment is annual periods beginning on or after April 1, 2023. The Company has evaluated the amendment and there
is no impact on its financial statement.

30. Financial risk management objectives and policies

The Company’s principal financial liabilities, borrowings, comprise , trade and other payables, security deposits,
employee liabilities. The Company’s principal financial assets include trade and other receivables, inventories and
cash and short-term deposits/ loan that derive directly from its operations.

The Company is exposed to market risk, credit risk and liquidity risk. The Company’s management oversees the
management of these risks. The Company’s senior management is supported by a Risk Management Compliance
Board that advises on financial risks and the appropriate financial risk governance framework for the Company.
The financial risk committee provides assurance to the Company’s management that the Company’s financial risk
activities are governed by appropriate policies and procedures and that financial risks are identified, measured and
managed in accordance with the Company’s policies and risk objectives. The management reviews and agrees
policies for managing each of these risks, which are summarised below.

I. Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of
changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other
price risk. Financial instruments affected by market risk include , deposits.

The sensitivity analyses of the above mentioned risk in the following sections relate to the position as at 31
March 2023 and 31 March 2022.

The analyses exclude the impact of movements in market variables on: the carrying values of gratuity and
other post-retirement obligations; provisions; and the non-financial assets and liabilities of foreign operations.
The analysis for contingent liabilities is provided in Note 33.

II. Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer
contract, leading to a financial loss. The Company is exposed to credit risk from its operating activities
(primarily trade receivables) and from its financing activities, including deposits with banks and financial
institutions.

Credit risk from investments with banks and other financial institutions is managed by the Treasury functions
in accordance with the management policies. Investments of surplus funds are only made with approved
counterparties who meet the appropriate rating and/or other criteria, and are only made within approved
limits. The management continually re-assess the Company’s policy and update as required. The limits
are set to minimise the concentration of risks and therefore mitigate financial loss through counterparty
failure.The maximum credit risk exposure relating to financial assets is represented by the carrying value
as at the Balance Sheet date

A. Trade receivables

Customer credit risk is managed by each business unit subject to the Company’s established policy,
procedures and control relating to customer credit risk management. Credit quality of a customer is
assessed based on an extensive credit review and individual credit limits are defined in accordance
with this assessment. Outstanding customer receivables are regularly monitored.

At the year end the Company does not have any significant concentrations of bad debt risk other
than that disclosed in note 8.

An impairment analysis is performed at each reporting date on an individual basis for major clients.
The calculation is based on historical data. The maximum exposure to credit risk at the reporting
date is the carrying value of each class of financial assets disclosed in Note 32. The Company does
not hold collateral as security. The Company evaluates the concentration of risk with respect to trade
receivables as low, as its customers are located in several jurisdictions and operate in largely
independent markets.

B. Financial instruments and cash deposits

Credit risk from balances with banks and financial institutions is managed by the Company’s treasury
department in accordance with the Company’s policy. Investments of surplus funds are made only
with approved counterparties.

III. Liquidity risk

The Company’s objective is to maintain a balance between continuity of funding and flexibility through the
use of bank overdrafts.

34. Claim against the Company (not acknowledged as Debts) - Rs. 12.69 Lakhs (Previous Year Rs. 12.69 Lakhs). The court has
confirmed the claim for which the company negotiating with the bank for settlement. The company has filed appeal in Hon’ble
High Court against the order.

35. In the opinion of the Management the Current Assets, Loans and Advances have a value on realization in ordinary course of
Business at least equal to the amount at which they are stated in the Balance Sheet, except otherwise stated elsewhere.

36. As at the end of the year the net worth of the company stands eroded and during the year the company has continued to incur
cash losses from operations. These conditions may cast doubt about the Company’s ability to continue as a going concern.
Nevertheless, the management have perception of revival of the company in subsequent years, and management has considered
the loss/erosion as aforesaid as temporary, financial statements have been prepared on going concern basis.

37. In earlier year, the company has settled its dues of Rs. 201.36 lacs excluding interest to a party for Rs. 100.00 lacs as one-time
settlement offer (OTS offer). The OTS offer is duly placed and recorded before NCLT, New Delhi. Due to liquidity constraints,
company has failed to repay the amount of OTS in full as per repayment terms defined under OTS offer. Consequently as per
terms of OTS offer, the OTS offer stands revoked and the company is liable to pay entire outstanding along with interest. The
company is under negotiation with party for further settlement. In view of uncertainty, the company has not provided for rest
amount and interest

38. Balance confirmation/certificates from number of parties, included in debtors, creditors, bank deposits and advance recoverable
(including bank deposits) were not available for verification.

39. Taxation
Current Year Tax

In view of current year losses and unabsorbed losses as per income tax records the Company is not liable to pay tax for the year.
Deferred Tax

Keeping in view the unabsorbed losses of the Company in Income Tax records and uncertainty of sufficient profits in the future
years, Deferred Tax Asset in accordance with the provisions of Ind-AS 12 on ‘Income Taxes’ has not been recognized and
provided in the accounts.

40. The “Employee Benefits” as required to be provided under Ind AS 19 and the same are accounted for by the company on the
basis as enumerated hereunder. The quantum of defined benefit plans is to be valued by an actuary in terms of provisions of
the Standard. Disclosures of Employees Benefits provided by the company is as under:-

Defined Contribution Plan:

The Company pays fixed contribution to Provident Fund at predetermined rates to regional authorities as per law. The contribution
to the fund for the period is recognized as expense and is charged to the statement of profit & loss. The obligation of the
Company is limited to such fixed contribution. An amount of Rs. 5.08 Lacs (Previous Year Rs. 8.68 Lacs) has been recognized
as expense for defined contribution plan (Contributory Provident Fund).

Defined Benefit Plan:

a) Earned Leave Benefit: Accrual of 20 days leave per annum is credited by the Company. Encashment is available at the
time of retirement or superannuation. Amount as per entitlement as at the end of the year is recognized as expense.
During the current and previous year no amount is provided for leave encashment has been provided towards leave
encashment expenses.

b) Gratuity: The Company has obtained policy from an insurance company towards gratuity benefit. The Company’s
contribution towards the policy is recognized as expense. Pending demand from insurance company, during the year Rs.
2.56 Lacs (Previous Year Rs. 16.38 Lacs) has been provided towards the gratuity contribution on adhoc basis.

For O P BAGLA & CO LLP For and on behalf of the Board of Directors

Chartered Accountants

Firm Regn. No. 000018N/N500091

Sd/- Sd/-

(NITIN JAIN) Malavik Lalawani Pallavi Lalwani

Place: New Delhi Partner Director Director

Dated: 30/05/2023 M. No. 510841 DIN: 08673926 DIN: 07444062

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Mar 31, 2015

1. The holders of the equity shares are entitled to receive dividends as declared from time to time, and are entitled to vote at meetings of the Company.

2. Of the above 7,25,00,000 equity shares (Previous Year 7,25,00,000 equity shares) are held by holding Company M/s Goodworth Build Invest Pvt. Ltd. that comprises 92.53% of share capital. Besides this none of the share holders is holding more than 5% of total share capital of the Company

3. Of the above 7,25,00,000 equity shares have been issued for a consideration other than cash by way of conversion of loans into equity pursuant to revival scheme as approved by the BIFR

4. Details of securitiy in respect of long term borrowings disclosed in Note No. 4 above

1) Secured loan of finance Company is secured by way of first charge on immovable property of the Company.

B) Other Disclosures related to long term borrowings

2) Loans from finance Company is at interest of 13.75% and is repayable in 120 equated monthly instalment.

3) There has no default in repayment of loan and interest as at the end of the year.

4) Unsecured loan from holding Company namely Goodworth Build Invest Private Limited is a non-interest bearing loan and there are no stipulations with regard to repayment of principle of the loan.

5. Contingent Liabilities not provided for in the books of accounts

a) Counter Guarantee issued against 21.00 21.00 outstanding -Bank Guarantees

b) Demand under Custom Act 610.45 610.45

c) Sales Tax disputed demand 110.58 86.70

d) ESI Demand 44.15 44.15

6. In the opinion of the Management the Current Assets, Loans and Advances have a value on realization in ordinary course of Business at least equal to the amount at which they are stated in the Balance Sheet, except otherwise stated elsewhere.

7. Claim against the Company (not acknowledged as Debts) - Rs. 41.00 Lakhs (Previous Year Rs. 168.68 Lakhs)

8. Inventories have been valued at lower of cost or realizable value in accordance with the accounting policy of the Company. In absence of Realizable value for certain raw material items, valuation is carried out at cost. Impact of the diminution in value of such items is not determined and shall be accounted for as and when the actual devaluation is occurred/ evaluated by technical expert. In view of management such devaluation shall not be significant.

9. Other advance in "Short term loan and Advances" in Note No. 14 includes Sales tax demand amounting to Rs. 24.00 lacs (Previous Year Nil) paid by the Company under protest and the matter is subjudice. The amount, as advised to the Company by legal experts is recoverable, hence not provided for as expense. The same shall be accounted for in accordance with the decision of the appeal.

10. Balance confirmation certificates from number of parties, included in debtors, creditors and advance recoverable were not available for verification.

11. No claim has been received from any of the Suppliers of their being a micro & small enterprise unit under Micro, Small and Medium Enterprises Development Act, 2006. Hence amount due to such entities is not ascertainable.

12. In compliance to Section 203 of the Companies Act, 2013 the Company is in process of appointment of key managerial person as Chief Financial Officer in the Company and the position is vacant as at 31st March, 2015.

13. Taxation Current Year Tax

In view of the unabsorbed losses as per income tax record the Company is not liable to pay tax on profit for the year. Also no tax liability is attracted on book profit of the Company under the provisions of Sec 115JB of Income Tax Act related to Minimum Alternate Tax (MAT).

Deferred Tax

Keeping in view the unabsorbed losses of the Company in Income Tax records and uncertainty of sufficient profit in the future years, Deferred Tax Asset in accordance with the provisions of Accounting Standard 22 on 'Taxes on Income' has not been recognized and provided in the accounts.

14. Related party transactions during the year in terms of the provisions of AS-18 of "Related Party Disclosures".

Name of the Associate : Goodworth Build Invest Pvt. Ltd.

Transactions during the year : Loan outstanding as at end of the year Rs. 518.97 Lacs (Previous Year Rs. 1049.05 Lacs.) Loan repaid during the year Rs. 530.07 Lacs (Previous Year Rs. 97.00 Lacs.). During the year Company obtained no loan (Previous year loan obtained 291.00 lacs)

Name of the Key Managerial Personnel : Shri R.K. Gupta, Managing Director

Transactions during the year : Remuneration Rs 14.62 Lacs (Previous Year Rs. 5.49 Lacs)

15. There are no reportable segments in the Company (Physical or geographical) hence segment-wise information in terms of the provisions of AS-17 on Segment Reporting' is not given.

16. The "Employee Benefits" as required to be provided under AS-15 issued by ICAI and the same are accounted for by the Company on the basis as enumerated hereunder. The quantum of defined benefit plans are to be valued by an actuary in terms of provisions of the Standard. Disclosures of Employees Benefits provided by the Company is as under :-

Defined Contribution Plan:

The Company pays fixed contribution to Provident Fund at predetermined rates to regional authorities as per law. The contribution to the fund for the period is recognized as expense and is charged to the statement of profit & loss. The obligation of the Company is limited to such fixed contribution. An amount of Rs.15.74 Lacs (Previous Year Rs. 11.63 Lacs) has been recognized as expense for defined contribution plan (Contributory Provident Fund).

Defined Benefit Plan:

a) Earned Leave Benefit: Accrual of 20 day leave per annum is credited by the Company. Encashment is available at the time of retirement or superannuation. Amount as per entitlement as at the end of the year is recognized as expense. During the year Rs.0.60 Lacs (Previous Year Rs. 1.07 Lacs) has been paid/ provided towards leave encashment expenses.

b) Gratuity: The Company has obtained policy from an insurance Company towards gratuity benefit. The Company's contribution towards the policy is recognized as expense. During the year Rs.1.41 Lacs (Previous Year Rs. 5.17 Lacs) has been provided towards the gratuity contribution.

17. Previous Year figures have been regrouped or re-casted wherever considered necessary.

---

Mar 31, 2014

1. a) The holders of the equity shares are entitled to receive dividends as declared from time to time, and are entitled to vote at meetings of the Company.

b) Of the above 7,25,00,000 equity shares (Previous Year 7,25,00,000 equity shares) are held by holding Company M/s. Goodworth Build Invest Private Limited that comprises 92.53% of share capital. Besides this none of the share holders is holding more than 5% of total share capital of the Company.

c) Of the above 7,25,00,000 equity shares have been issued for a consideration other than cash by way of conversion of loans into equity pursuant to revival scheme as approved by the BIFR.

2. A. Details of securitiy in respect of long term borrowings disclosed in note no. 4 above Secured loan of Holding Company is secured by way of first charge on immovable property of the Company.

B. Other Disclosures related to long term borrowings

Loans from holding Company is non interest bearing and no stipulations are determined for repayment of the same.

3. Contingent Liabilities not provided for in the books of accounts

AS AT AS AT 31.03.2014 31.03.2013 (Rs. In Lakhs) (Rs. in Lakhs)

a) Counter Guarantee issued against outstanding - Bank Guarantees 21.00 80.95

b) Demand under Foreign Exchange Laws (Pending being disputed) NIL 12.00

c) Demand under Custom Act 610.45 610.45

d) Sales Tax disputed demand 86.70 86.70

e) ESI Demand 44.15 44.15

4. In the opinion of the Management the Current Assets, Loans and Advances have a value on realization in ordinary course of Business at least equal to the amount at which they are stated in the Balance Sheet, except otherwise stated elsewhere.

5. Claim against the Company (not acknowledged as Debts) - Rs.168.68 Lakhs (Previous Year Rs.53.68 Lakhs)

6. During the year the company has opted for closure of case related to export obligation of earlier years in accordance with the notification of Director General of Foreign Trade. Accordingly liability of the company has been paid to the tune of Rs.362.28 lacs. Since the differential duty was related to import of machinery in earlier years, the amount paid as aforesaid has been capitalized under relevant machinery and is depreciated alongwith the remaining useful life of the respective machinery.

7. Balance confirmation certificates from number of parties, included in debtors, creditors and advance recoverable were not available for verification.

8. No claim has been received from any of the Suppliers of their being a micro & small enterprise unit under Micro, Small and Medium Enterprises Development Act, 2006. Hence amount due to such entities is not ascertainable.

9. Taxation

Current Year Tax

In view of the unabsorbed losses as per income tax record the Company is not liable to pay tax on profit for the year. Also no tax liability is attracted on book profit of the company under the provisions of Sec 115JB of Income Tax Act related to Minimum Alternate Tax (MAT).

Deferred Tax

Keeping in view the unabsorbed losses of the Company in Income Tax records and uncertainty of sufficient profit in the future years, Deferred Tax Asset in accordance with the provisions of Accounting Standard 22 on ''Taxes on Income'' has not been recognized and provided in the accounts.

10. Related party transactions during the year in terms of the provisions of AS-18 of "Related Party Disclosures".

Name of the Associate : Goodworth Build Invest Pvt. Ltd.

Transactions during the year : Loan outstanding as at end of the year Rs.1049.05 Lacs (Previous Year Rs.855.05 Lacs.) Loan repaid during the year Rs. 97.00 Lacs. During the year Company obtained loan Rs. 291 Lacs (Previous year loan obtained 9.50 lacs)

Name of the Key Managerial Personnel : Shri R. K. Gupta, Managing Director

Transactions during the year : Remuneration Rs. 5.49 Lacs (Previous Year Rs. 5.82 Lacs)

11. There are no reportable segments in the Company (Physical or geographical) hence segment-wise information in terms of the provisions of AS-17 on Segment Reporting'' is not given.

12. To comply with the guidance note on "Accounting Treatment of Excise Duty" issued by The Institute of Chartered Accountants of India, excise duty amounting to Rs.0.27 Lacs (Previous Year Rs. NIL) has been included in the value of inventories as on 31.3.2014 and the corresponding amount of Excise Duty Payable has been included in other liabilities. However, this has no impact on the profit for the year.

13. The "Employee Benefits" as required to be provided under AS 15 issued by ICAI and the same are accounted for by the company on the basis as enumerated hereunder. The quantum of defined benefit plans are to be valuated by an actuary in terms of provisions of the Standard. Disclosures of Employees Benefits provided by the company is as under :-

Defined Contribution Plan:

The Company pays fixed contribution to Provident Fund at predetermined rates to regional authorities as per law. The contribution to the fund for the period is recognized as expense and is charged to the statement of profit & loss. The obligation of the Company is limited to such fixed contribution. An amount of Rs.11.63 Lacs (Previous Year Rs.9.16 Lacs) has been recognized as expense for defined contribution plan (Contributory Provident Fund).

Defined Benefit Plan:

a) Earned Leave Benefit: Accrual of 20 day leave per annum is credited by the Company. Encashment is available at the time of retirement or superannuation. Amount as per entitlement as at the end of the year is recognized as expense. During the year Rs.1.07 Lacs (Previous Year Rs.0.45 Lacs) has been provided towards leave encashment expenses.

b) Gratuity: The Company has obtained policy from an insurance company towards gratuity benefit. The Company''s contribution towards the policy is recognized as expense. During the year Rs.5.17 Lacs (Previous Year Rs.6.22 Lacs) has been provided towards the gratuity contribution.

14. Previous Year figures have been regrouped or re-casted wherever considered necessary.

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Mar 31, 2013

1. Contingent Liabilities not provided for in the books of accounts:-

AS AT AS AT 31.03.2013 31.03.2012 (Rs. In Lakhs) (Rs. in Lakhs)

a) Counter Guarantee issued against outstanding - Bank Guarantees 80.95 80.95

b) Demand under Foreign Exchange Laws (Pending being disputed) 12.00 12.00

c) Demand under Custom Act 610.45 610.45

d) Sales Tax disputed demand 86.70 86.70

e) ESI Demand 44.15 44.15

2. In the opinion of the Management the Current Assets, Loans and Advances have a value on realization in ordinary course of Business at least equal to the amount at which they are stated in the Balance Sheet, except otherwise stated elsewhere.

3. Claim against the Company (not acknowledged as Debts) – Rs.53.68 Lakhs (Previous Year Rs.53.68 Lakhs)

4. Rupee equivalent as at 31.03.2013 of export obligation to be completed by the Company under EPCG Scheme Rs. 2,644.00 Lacs (Previous Year Rs. 2,644.00 Lacs). Pursuant to the relief granted under the revival scheme the Company has got extension of time limit for fulfillment of the obligation upto the financial year ending on 31.03.2014.

5. Balance confirmation certificates from number of parties, included in debtors, creditors and advance recoverable were not available for verification.

6. No claim has been received from any of the Suppliers of their being a micro & small enterprise unit under Micro, Small and Medium Enterprises Development Act, 2006. Hence amount due to such entities is not ascertainable.

7. Taxation Current Year Tax

In view of the unabsorbed losses as per income tax record the Company is not liable to pay tax on profit for the year. Also no tax liability is attracted on book profit of the Company under the provisions of Section 115JB of Income Tax Act related to Minimum Alternate Tax (MAT).

Deferred Tax

Keeping in view the unabsorbed losses of the Company in Income Tax records and uncertainty of sufficient profit in the future years, Deferred Tax Asset in accordance with the provisions of Accounting Standard 22 on ''Taxes on Income'' has not been recognized and provided in the accounts.

8. Related party transactions during the year in terms of the provisions of AS-18 of "Related Party Disclosures". Name of the Associate : Goodworth Build Invest Pvt. Ltd.

Transactions during the year : Loan outstanding as at end of the year Rs. 855.05 Lacs (Previous

Year Rs. 864.55 Lacs) Loan repaid during the year Rs. 9.50 Lacs (Previous Year loan obtained 179.90 Lacs)

Name of the Key Managerial Personnel : Shri R. K. Gupta, Managing Director

Transactions during the year : Remuneration Rs. 5.82 Lacs (Previous Year Rs. 6.67 Lacs)

9. There are no reportable segments in the Company (Physical or geographical) hence segment-wise information in terms of the provisions of AS-17 on ''Segment Reporting'' is not given.

10. The "Employee Benefits" as required to be provided under AS-15 issued by ICAI and the same are accounted for by the Company on the basis as enumerated hereunder. The quantum of defined benefit plans are to be valuated by an actuary in terms of provisions of the Standard. Disclosures of Employees Benefits provided by the Company is as under:-

Defined Contribution Plan:

The Company pays fixed contribution to Provident Fund at predetermined rates to regional authorities as per law. The contribution to the fund for the period is recognized as expense and is charged to the statement of profit & loss. The obligation of the Company is limited to such fixed contribution. An amount of Rs.9.52 Lacs (Previous Year Rs.6.75 Lacs) has been recognized as expense for defined contribution plan (Contributory Provident Fund).

Defined Benefit Plan:

a) Earned Leave Benefit: Accrual of 20 day leave per annum is credited by the Company. Encashment is available at the time of retirement or superannuation. Amount as per entitlement as at the end of the year is recognized as expense. During the year Rs.0.45 Lacs (Previous Year Rs.0.25 Lacs) has been provided towards leave encashment expenses.

b) Gratuity: The Company has obtained policy from an Insurance Company towards gratuity benefit. The Company''s contribution towards the policy is recognized as expense. During the year Rs.6.22 Lacs (Previous Year Rs.3.71 Lacs) has been provided towards the gratuity contribution.

11. Previous Year figures have been regrouped or re-casted wherever considered necessary.

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Mar 31, 2012

1. Contingent Liabilities not provided for in the books of accounts :-

AS AT AS AT 31.03.2012 31.03.2011 (Rs. In Lakhs) (Rs. in Lakhs)

a) Counter Guarantee issued against outstanding - Bank Guarantees 80.95 80.95

b) Demand under Foreign Exchange Laws (Pending being disputed) 12.00 12.00

c) Demand under Custom Act 610.45 610.45

d) Sales Tax disputed demand 86.70 86.70

e) ESI Demand 44.15 44.15

2. In the opinion of the Management the Current Assets, Loans and Advances have a value on realization in ordinary course of business at least equal to the amount at which they are stated in the Balance Sheet, except otherwise stated elsewhere.

3. Claim against the Company (not acknowledged as Debts) – Rs. 53.68 Lakhs (Previous Year Rs.53.68 Lakhs)

4. Rupee equivalent as at 31.03.2012 of export obligation to be completed by the Company under EPCG Scheme Rs. 2,644.00 Lakhs (Previous Year Rs. 2,644.00 Lakhs). Pursuant to the relief granted under the revival scheme the Company has got extension of time limit for fulfillment of the obligation upto the financial year ending on 31.03.2014.

5. Balance confirmation certificates from number of parties, included in debtors, creditors and advance recoverable were not available for verification.

6. No claim has been received from any of the Suppliers of their being a micro & small enterprise unit under Micro, Small and Medium Enterprises Development Act, 2006. Hence, amount due to such entities is not ascertainable.

7. Taxation Current Year Tax

In view of the unabsorbed losses as per income tax record the Company is not liable to pay tax on profit for the year. Also no tax liability is attracted on book profit of the Company under the provisions of Sec 115JB of Income Tax Act related to Minimum Alternate Tax (MAT).

Deferred Tax

Keeping in view the unabsorbed losses of the Company in Income Tax records and uncertainty of sufficient profit in the future years, Deferred Tax Asset in accordance with the provisions of Accounting Standard 22 on ‘Taxes on Income' has not been recognized and provided in the accounts.

8. Related party transactions during the year in terms of the provisions of AS-18 of "Related Party Disclosures". Name of the Associate : Goodworth Build Invest Pvt. Ltd.

Transactions during the year

Loan outstanding as at end of the year Rs.864.55 Lakhs (Previous Year Rs.684.65 Lakhs.) Loan obtained during the year Rs.179.90 Lakhs (Previous Year Nil)

Name of the Key Managerial Personnel : Shri R. K. Gupta, Managing Director

Transactions during the year : Remuneration Rs.6.67 Lakhs (Previous Year Rs.6.65 Lakhs)

9. There are no reportable segments in the Company (Physical or geographical) hence segment-wise information in terms of the provisions of AS-17 on Segment Reporting' is not given.

10. The "Employee Benefits" as required to be provided under AS-15 issued by ICAI and the same are accounted for by the Company on the basis as enumerated hereunder. The quantum of defined benefit plans are to be valuated by an actuary in terms of provisions of the Standard. Disclosures of Employees Benefits provided by the Company is as under :-

Defined Contribution Plan:

The Company pays fixed contribution to Provident Fund at predetermined rates to regional authorities as per law. The contribution to the fund for the period is recognized as expense and is charged to the statement of profit & loss. The obligation of the Company is limited to such fixed contribution. An amount of Rs.9.26 Lakhs (Previous Year Rs.7.83 Lakhs) has been recognized as expense for defined contribution plan (Contributory Provident Fund).

Defined Benefit Plan:

a) Earned Leave Benefit: Accrual of 20 day leave per annum is credited by the Company. Encashment is available at the time of retirement or superannuation. Amount as per entitlement as at the end of the year is recognized as expense. During the year Rs.0.25 Lakhs (Previous Year Rs.0.74 Lakhs) has been provided towards leave encashment expenses.

b) Gratuity: The Company has obtained policy from an insurance Company towards gratuity benefit. The Company's contribution towards the policy is recognized as expense. During the year Rs.3.71 Lakhs (Previous Year Rs.3.86 Lakhs) has been provided towards the gratuity contribution.

11. Previous Year figures have been regrouped or re-casted wherever considered necessary.

---

Mar 31, 2011

1.The Company is in process of implementing revival scheme being approved by BIFR vide Order dated 2.6.2009. In view of the financial result for the year ending 31.3.2010, the Company has applied to the BIFR for discharging the Company from the purview of the Sick Industrial Companies Act (SICA). The BIFR has reviewed the net worth of Company which has turned positive in financial year 2009-10. Accordingly the Board vide order dated 2nd December 2010 that the Company ceases to be a sick industrial Company and discharged the Company from the purview of SICA and BIFR provisions.

2.Contingent Liabilities not provided for in the books of accounts :-

AS AT AS AT 31.03.2011 31.03.2010 (Rs.In Lakhs) (Rs.in Lakhs)

a) Counter Guarantee issued against outstanding - Bank Guarantees 80.95 80.95

b) Demand under Foreign Exchange Laws (Pending being disputed) 12.00 12.00

c) Demand under Custom Act 610.45 610.45

d) Sales Tax disputed demand 86.70 86.70

e) ESI Demand 44.15 44.15

3.In the opinion of the Management the Current Assets, Loans and Advances have a value on realization in ordinary course of Business at least equal to the amount at which they are stated in the Balance Sheet, except otherwise stated elsewhere.

4.Claim against the Company (not acknowledged as Debts) – Rs.53.68 Lakhs (Previous Year Rs. 53.68 Lakhs)

5.Rupee equivalent as at 31.03.2011 of export obligation to be completed by the Company under EPCG Scheme Rs.2,644.00 Lacs (Previous Year Rs.2,644.00 Lacs). Pursuant to the relief granted under the revival scheme the Company has got extension of time limit for fulfillment of the obligation upto financial year 2011-12 and 2012-13.

6.Balance confirmation certificates from number of parties, included in debtors, creditors and advance recoverable were not available for verification.

7.No claim has been received from any of the Suppliers of their being a specific unit under Micro, Small and Medium Enterprises Development Act, 2006. Hence amount due to such entities is not ascertainable.

8.Taxation

Current Year Tax

In view of the unabsorbed losses as per income tax record the Company is not liable to pay tax on profit for the year. Also there is no tax liability on the Company under the provisions of Sec 115JB of Income Tax Act related to Minimum Alternate Tax (MAT).

Deferred Tax

Keeping in view the unabsorbed losses of the Company in Income Tax records and uncertainty of sufficient profit in the future years, Deferred Tax Asset in accordance with the provisions of Accounting Standard 22 on Taxes on Income' has not been recognized and provided in the accounts.

9.Related party transactions during the year in terms of the provisions of AS-18 of “Related Party Disclosures”.

Name of the Associate : Goodworth Build Invest Pvt. Ltd.

Transactions during the year : Loan outstanding as at end of the year Rs.684.65 Lacs.

Loan repaid during the year Rs.6.00 Lacs.

Name of the Key Managerial : Shri R.K. Gupta, Managing Director Personnel

Transactions during the year : Remuneration Rs.6.65 Lacs

10.There are no reportable segments in the Company (Physical or geographical) hence segment-wise information in terms of the provisions of AS 17 on Segment Reporting is not given.

11.The "Employee Benefits" as required to be provided under AS 15 issued by ICAI and the same are accounted for by the Company on the basis as enumerated hereunder. The quantum of defined benefit plans are to be valuated by an actuary in terms of provisions of the Standard. Disclosures of Employees Benefits provided by the Company is as under :-

Defined Contribution Plan:

The Company pays fixed contribution to Provident Fund at predetermined rates to regional authorities as per law. The contribution to the fund for the period is recognized as expense and is charged to the profit & loss accounts. The obligation of the Company is limited to such fixed contribution. An amount of Rs.7.83 Lacs (Previous Year Rs.6.02 Lacs) has been recognized as expense for defined contribution plan (Contributory Provident Fund).

Defined Benefit Plan:

a) Earned Leave Benefit: Accrual of 20 days leave per annum is credited by the Company. Encashment is available at the time of retirement or superannuation. Amount as per entitlement as at the end of the year is recognized as expense. During the year Rs.0.74 Lacs (Previous Year Rs.0.20 Lacs) has been provided towards leave encashment expenses.

b) Gratuity: The Company has obtained policy from an insurance Company towards gratuity benefit. The Company's contribution towards the policy is recognized as expense. During the year Rs 3.86 Lacs (Previous Year Rs.1.61 Lacs) has been provided towards the gratuity contribution.

# As certified by the management and relied on by the Auditors being a Technical Matter.

12.Figures in the brackets represent previous year figures.

13.During the year the Company has entered into an agreement with a party for sale of its property comprising land and building at Parwanoo. Necessary approvals for execution of sale deed in favour of the buyer are yet to be received from the relevant department/authorities of state government. Necessary adjustment shall be made as and when the aforesaid consent/approval is obtained.

14.Previous Year figures have been regrouped or re-casted wherever considered necessary.

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Mar 31, 2010

1. The Company is a sick industrial undertaking and revival scheme approved by BIFR vide Order dated 2.6.2009 is under implementation. According to the aforesaid scheme the Company reduced its existing paid up share capital as on the date of the approval of the scheme and face value of paid up equity share of the Company have been reduced from Rs 10 per share to Re 1/- per share. The amount so reduced from paid up capital of Rs 527.90 lacs has been transferred to Capital Reserve during the year. In addition to above and in accordance with the aforesaid revival scheme another 7,25,00,000 equity shares have been issued by way of conversion of loan into equity.

2. Contingent Liabilities not provided for in the books of accounts :-

AS AT AS AT

31.03.2010 31.03.2009 (Rs. In Lakhs) (Rs.in Lakhs)

a) Counter Guarantee issued against outstanding

- Bank Guarantees 80.95 80.95

b) Demand under Foreign Exchange Laws

(Pending being disputed) 12.00 12.00

c) Demand under Custom Act 610.45 610.45

d) Sales Tax disputed demand 86.70 86.70

e) ESI Demand 44.15 44.15

3. In the opinion of the Management the Current Assets, Loans and Advances have a value on realization in ordinary course of Business at least equal to the amount at which they are stated in the Balance Sheet, except otherwise stated elsewhere.

4. Claim against the Company (not acknowledged as Debts) – Rs.53.68 Lakhs (Previous Year Rs. 54.14 Lakhs)

5. Rupee equivalent as at 31.03.2010 of export obligation to be completed by the Company under EPCG Scheme Rs. 26.44 Crores (Previous Year Rs.26.44 Crores). Pursuant to the relief granted under the revival scheme the Company has applied for extension of time limit for fulfillment of the obligation.

6. Balance confirmation certificates from number of parties, included in debtors, creditors and advance recoverable were not available for verification.

7. No claim has been received from any of the Suppliers of their being a specific unit under Micro, Small and Medium Enterprises Development Act, 2006. Hence amount due to such entities is not ascertainable.

8. Taxation Current Year Tax

In view of the unabsorbed losses as per books of account and income tax record the Company is not liable to pay tax on profit for the year.

Deferred Tax

Keeping in view the recurring losses of the Company and uncertainty of sufficient profit in the future, Deferred Tax Asset in accordance with the provisions of Accounting Standard 22 on ‘Taxes on Income has not been recognized and provided in the accounts.

9. Related party transactions during the year in terms of the provisions of AS-18 of “Related Party Disclosures”.

Name of the Associate : Goodworth Build Invest Pvt. Ltd.

Transactions during the year : Loan obtained and outstanding as at end of the year Rs. 690.65 Lacs

Name of the Key Managerial Personnel : Shri R.K. Gupta, Managing Director

Transactions during the year : Remuneration Rs. 3.05 Lacs

10. There are no reportable segments in the Company (Physical or geographical) hence segment-wise information in terms of the provisions of AS 17 on Segment Reporting is not given.

11. Required disclosures pursuant to revised AS-15 on Employees Benefits are as under :-

Defined Contribution Plan:

The Company pays fixed contribution to Provident Fund at predetermined rates to regional authorities as per law. The contribution to the fund for the period is recognized as expense and is charged to the profit & loss accounts. The obligation of the Company is limited to such fixed contribution. An amount of Rs. 6.02 lacs has been recognized as expense for defined contribution plan (Contributory Provident Fund).

Defined Benefit Plan:

a) Earned Leave Benefit: Accrual of 20 days leave per annum is credited by the Company. Encashment is available at the time of retirement or superannuation. Amount as per entitlement as at the end of the year is recognized as expense. During the year Rs.20,563/- has been provided towards leave encashment expenses.

b) Gratuity: The Company has obtained policy from LIC towards gratuity benefit. The Companys contribution towards the policy is recognized as expense. During the year Rs.161,585/- has been provided towards the gratuity contribution.

12. Earning per share (EPS) – The numerators and denominators used to calculate Basic and Diluted Earning per share:

13. Additional information pursuant to para 3 & 4(C) of Part II of the Companies Act, 1956:

14. Figures in the brackets represent previous year figures.

15. Previous Year figures have been regrouped or re-casted wherever considered necessary.