measurement in its entirety, which are described as
follows:

• Level 1 inputs are quoted prices (unadjusted) in
active markets for identical assets or liabilities that
the entity can access at the measurement date;

• Level 2 inputs are inputs, other than quoted prices
included within Level 1, that are observable for
the asset or liability, either directly or indirectly;
and

• Level 3 inputs are unobservable inputs for the
assets or liability.

1.2 Use of estimates

The preparation of the financial statements in conformity
with Ind AS requires the Management to make estimates
and assumptions considered in the reported amounts
of assets and liabilities (including contingent liabilities)
and the reported income and expenses during the year.
The Management believes that the estimates used in
preparation of the financial statements are prudent and
reasonable. Future results could differ due to these estimates
and the differences between the actual results and the
estimates are recognised in the periods in which the results
are known / materialise.

1.3 Cash and cash equivalents (for purpose of Cash Flow
Statement)

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) and highly liquid investments that are readily
convertible into known amounts of cash and which are
subject to insignificant risk of changes in value.

1.4 Cash flow statement

Cash flows are reported using indirect method, whereby
Profit before tax reported under statement of profit/ (loss)
is adjusted for the effects of transactions of non-cash nature
and any deferrals or accruals of past or future cash receipts
or payments. The cash flows from operating, investing and
financing activities of the Company are segregated based on
available information.

1.5 Property, plant and equipment

All the items of property, plant and equipment are
stated at historical cost net off cenvat credit less
depreciation. Historical cost includes expenditure that
is directly attributable to the acquisition of the items.
Subsequent costs are included in the asset's carrying
amount or recognised as a separate asset, as appropriate,
only when it is probable that future economic benefits
associated with the item will flow to the Company
and the cost of the item can be measured reliably.

The carrying amount of any component accounted for as
a separate asset is derecognised when replaced. All other
repairs and maintenance are charged to profit or loss
during the reporting period in which they are incurred.
Depreciation is recognised so as to write off the cost of assets
(other than freehold land and properties under construction)
less their residual values over their useful lives, using the
written down value method. The estimated useful life is taken
in accordance with Schedule II to the Companies Act, 2013.
The estimated useful lives, residual values and depreciation
method are reviewed at the end of each reporting period,
with the effect of any changes in estimate accounted for on
a prospective basis.

An item of property, plant and equipment is derecognised
upon disposal or when no future economic benefits are
expected to arise from the continued use of the asset.
Any gain or loss arising on the disposal or retirement of an
item of property, plant and equipment is determined as the
difference between the sales proceeds and the carrying
amount of the asset and is recognised in profit or loss.

1.6 Impairment of tangible assets

At the end of each reporting period, the Company reviews
the carrying amounts of its tangible assets to determine
whether there is any indication that those assets have
suffered an impairment loss. If any such indication exists,
the recoverable amount of the asset is estimated in order to
determine the extent of the impairment loss (if any). When it
is not possible to estimate the recoverable amount of an
individual asset, the Company estimates the recoverable
amount of the cash-generating unit to which the asset
belongs. When a reasonable and consistent basis of allocation
can be identified, corporate assets are also allocated to
individual cash-generating units, or otherwise they are
allocated to the smallest Company of cash-generating units
for which a reasonable and consistent allocation basis can
be identified.

Recoverable amount is the higher of fair value less costs
of disposal and value in use. 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 for which the estimates of future cash
flows have not been adjusted.

If the recoverable amount of an asset (or cash-generating
unit) is estimated to be less than its carrying amount, the
carrying amount of the asset (or cash-generating unit) is
reduced to its recoverable amount. An impairment loss is
recognised immediately in profit or loss.

When an impairment loss subsequently reverses, the
carrying amount of the asset (or a cash-generating unit) is

increased to the revised estimate of its recoverable amount,
but so that the increased carrying amount does not exceed
the carrying amount that would have been determined
had no impairment loss been recognised for the asset
(or cash-generating unit) in prior years. A reversal of an
impairment loss is recognised immediately in profit or loss.

1.7 Revenue Recognition

"Revenue is recognised when the outcome of a transaction
involving the rendering of services can be estimated
reliably, revenue associated with the transaction shall
be recognised by reference to the stage completion
of the transaction at the end of the reporting period.
The outcome of a transaction can be estimated
reliably when all the following conditions are satisfied:

(a) the amount of revenue can be measured reliably

(b) it is probable that the economic benefit
associated with the transactions willl flow to the enitiy

(c) the stage of completion of the transaction at the end
of the reporting period can be measured reliably and

(d) the costs incurred for the transaction and the costs to
complete the transaction can be measured reliably."

1.8 Other Income

Interest income from a financial asset is recognised when
it is probable that the economic benefits will flow to the
Company and the amount of income can be measured
reliably. Interest income is accrued on a time basis, by
reference to the principal outstanding and at the effective
interest rate applicable, which is the rate that exactly
discounts estimated future cash receipts through the
expected life of the financial asset to that asset's net carrying
amount on initial recognition.

1.9 Foreign Currency Transactions

The functional currency for the Company is determined as
the currency of the primary economic environment in which
it operates. For the Company, the functional currency is the
local currency of the country in which it operates, which is
INR.

a) In preparing the financial statements the Company,
transactions in currencies other than the entity's
functional currency (foreign currencies) are recognised
at the rates of exchange prevailing at the dates of the
transactions. At the end of each reporting period,
monetary items denominated in foreign currencies
are retranslated at the rates prevailing at that date.
Non-monetary items carried at fair value that are
denominated in foreign currencies are retranslated at
the rates prevailing at the date when the fair value was
determined. Non-monetary items that are measured
in terms of historical cost in a foreign currency are not
retranslated.

b) The exchange differences arising on settlement /
restatement of long-term foreign currency monetary
items are taken into Statement of Profit and Loss.

1.10 Employees Benefits

Payments to defined contribution retirement benefit
plans are recognised as an expense when employees have
rendered service entitling them to the contributions:

For defined benefit retirement benefit plans, the cost of
providing benefits is determined using the projected unit
credit method, with actuarial valuations being carried out at
the end of each annual reporting period. Remeasurement,
comprising actuarial gains and losses, the effect of the
changes to the asset ceiling (if applicable) and the return on
plan assets (excluding net interest), is reflected immediately
in the balance sheet with a charge or credit recognised in
other comprehensive income in the period in which they
occur. Remeasurement recognised in other comprehensive
income is reflected immediately in retained earnings and is
not reclassified to profit or loss. Past service cost is recognised
in profit or loss in the period of a plan amendment.
Net interest is calculated by applying the discount rate at the
beginning of the period to the net defined benefit liability or
asset. Defined benefit costs are categorised as follows:

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

b. net interest expense or income; and

c. remeasurement

The Company presents the first two components of defined
benefit costs in profit or loss in the line item 'Employee
benefits expense'.

Curtailment gains and losses are accounted for as past
service costs.

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

Short-term and other long-term employee benefits

A liability is recognised for benefits accruing to
employees in respect of wages and salaries, annual
leave and sick leave in the period the related service is
rendered at the undiscounted amount of the benefits
expected to be paid in exchange for that service.
Liabilities recognised in respect of short-term employee
benefits are measured at the undiscounted amount of the
benefits expected to be paid in exchange for the related service.

Liabilities recognised in respect of other long-term employee
benefits are measured at the present value of the estimated
future cash outflows expected to be made by the Company
in respect of services provided by employees up to the
reporting date.

1.11 Accounting for Taxes

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

Current tax

The tax currently payable is based on taxable profit for
the year. Taxable profit differs from 'profit before tax' as
reported in the statement of profit and loss because of
items of income or expense that are taxable or deductible
in other years and items that are never taxable or deductible.
The Company's current tax is calculated using tax rates that
have been enacted or substantively enacted by the end of
the reporting period.

Deferred tax

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

Deferred tax liabilities are recognised for taxable temporary
differences associated with investments in subsidiaries and
associates, and interests in joint ventures, except where the
Company is able to control the reversal of the temporary
difference and it is probable that the temporary difference
will not reverse in the foreseeable future. Deferred tax assets
arising from deductible temporary differences associated
with such investments and interests are only recognised
to the extent that it is probable that there will be sufficient
taxable profits against which to utilise the benefits of the
temporary differences and they are expected to reverse in
the foreseeable future.

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

Deferred tax liabilities and assets are measured at the
tax rates that are expected to apply in the period in
which the liability is settled or the asset realised, based
on tax rates (and tax laws) that have been enacted or
substantively enacted by the end of the reporting period.
The measurement of deferred tax liabilities and assets reflects
the tax consequences that would follow from the manner
in which the Company expects, at the end of the reporting
period, to recover or settle the carrying amount of its assets
and liabilities.

Current and deferred tax for the year

Current and deferred tax are recognised in profit or loss,
except when they relate to items that are recognised in other
comprehensive income or directly in equity, in which case,
the current and deferred tax are also recognised in other
comprehensive income or directly in equity respectively.
Where current tax or deferred tax arises from the initial
accounting for a business combination, the tax effect is
included in the accounting for the business combination.

1.12 Leases
Transition

Effective April 01, 2019, the company adopted Ind As
116 "leases" and applied the standard to all applicable
lease contracts existing on April 1, 2019 using the
modified retrospective method with cumulative effect
of initially applying the standard recognised on the
date of initial application. Accordingly, company has
not restated comparative information and recognised
right of use assets at an amount equal to lease liability.
The Company's lease asset primarily consists of leases
for buildings. The Company assesses whether a contract
contains a lease, at inception of a contract. A contract is, or
contains, a lease if the contract conveys the right to control
the use of an identified asset for a period of time in exchange
for consideration. To assess whether a contract conveys the
right to control the use of an identified asset, the Company
assesses whether: (i) the contract involves the use of an
identified asset (ii) the Company has substantially all of the
economic benefits from use of the asset through the period
of the lease and (iii) the Company has the right to direct the
use of the asset.

Effective April 01, 2021, the company adopted Ind As 116
"leases" and applied the standard to all applicable lease
contracts.

The Company's lease asset primarily consists of leases
for buildings. The Company assesses whether a contract
contains a lease, at inception of a contract. A contract is, or
contains, a lease if the contract conveys the right to control
the use of an identified asset for a period of time in exchange
for consideration. To assess whether a contract conveys the
right to control the use of an identified asset, the Company

assesses whether: (i) the contract involves the use of an
identified asset (ii) the Company has substantially all of the
economic benefits from use of the asset through the period
of the lease and (iii) the Company has the right to direct the
use of the asset.

Company as a lessee

At the date of commencement of the lease, the Company
recognizes a right-of-use asset ("ROU") and a corresponding
lease liability for all lease arrangements in which it is a
lessee, except for leases with a term of twelve months or
less (short-term leases) and low value leases. For these
short-term and low value leases, the Company recognizes
the lease payments as an operating expense.

The right-of-use assets are initially recognized at cost, which
comprises the initial amount of the lease liability adjusted for
any lease payments made at or prior to the commencement
date of the lease plus any initial direct costs less any lease
incentives. They are subsequently measured at cost less
accumulated depreciation and impairment losses.

Right-of-use assets are depreciated from the commencement
date on a straight-line basis over the shorter of the lease term
and useful life of the underlying asset. Right of use assets are
evaluated for recoverability whenever events or changes in
circumstances indicate that their carrying amounts may not
be recoverable. For the purpose of impairment testing, the
recoverable amount (i.e. The higher of the fair value less cost
to sell and the value-in-use) is determined on an individual
asset basis unless the asset does not generate cash flows that
are largely independent of those from other assets. In such
cases, the recoverable amount is determined for the Cash
Generating Unit (CGU) to which the asset belongs.

The lease liability is initially measured at amortized cost at
the present value of the future lease payments. The lease
payments are discounted using the interest rate implicit
in the lease or, if not readily determinable, using the
incremental borrowing rates. Lease liabilities are remeasured
with a corresponding adjustment to the related right of use
asset if the Company changes its assessment if whether it will
exercise an extension or a termination option.

Lease liability and ROU asset have been separately presented
in the Balance Sheet and finance cost portion of lease
payments have been classified as financing cash flows.

1.12 Earnings Per Share

Basic earnings per share is computed by dividing the profit /
(loss) after tax (including the post tax effect of extraordinary
items, if any) by the weighted average number of equity
shares outstanding during the year. Diluted earnings per
share is computed by dividing the profit / (loss) after tax
(including the post tax effect of extraordinary items, if any) 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
and the weighted average number of equity shares which
could have been issued on the conversion of all dilutive
potential equity shares. Potential equity shares are deemed
to be dilutive only if their conversion to equity shares would
decrease the net profit per share from continuing ordinary
operations. Potential dilutive equity shares are deemed to
be converted as at the beginning of the period, unless they
have been issued at a later date. The dilutive potential equity
shares are adjusted for the proceeds receivable had the shares
been actually issued at fair value (i.e. average market value
of the outstanding shares). Dilutive potential equity shares
are determined independently for each period presented.
The number of equity shares and potentially dilutive equity
shares are adjusted for share splits / reverse share splits and
bonus shares, as appropriate.

1.13 Segment Reporting

Identification of segments:

Segments are identified in line with Ind AS-108 "segment
Reporting" taking into consideration the internal organisation
and management structure as well as the differential risk and
returns of the segment.

Based on the Company's business model, shipping services
including all allied services, sale of petroleum porducts
and sale of motor vehicles have been considered as the
reportable business and geographical segment.

Segment Policies:

The Company prepares its segment information in conformity
with the accounting policies adopted for preparing and
presenting the financial statements of the Company as a
whole.