Except wherever stated, accounting policies are consistent with the generally accounting principles and have been
consistently applied.
The company has following contingent liabilities during the year under review-
13. Provisions, Contingent Liabilities and Contingent Assets: - (AS-29)
Provisions are recognized only when there is a present obligation as a result of past events and when a reliable
estimate of the amount of the obligation can be made.
Contingent Liabilities is disclosed in Notes to the account for: -
(i) Possible obligations which will be confirmed only by future events not wholly within the control of the
company or
(ii) Present Obligations arising from past events where it is not probable that an outflow of resources will be
required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made.
Contingent assets are not recognized in the financial statement since this may result in the recognition of the
income that may never be realized.
General:
The Company has given Bank Guarantees for C 17156.840/- for Due Performance of Contracts to Various Public
Sector Companies/Corporations/Department of Defense for the above value.
The Company has given Bank Guarantees for C 1100.000/- for its probable obligation under the Export Obligations
against the benefits availed under EPCG Scheme.
14. Earning Per Share
Basic earnings per share are calculated by dividing the net profit for the year attributable to equity shareholders by
the weighted average number of equity shares outstanding during the period. Earnings considered in ascertaining
the company's earning per share is the net profit for the period after deducting preference dividends and any
attributable tax thereto for the period. The weighted average number of equity shares other than the conversion of
potential equity shares that they have changed the number of equity shares outstanding, without a corresponding
change in resources.
For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity
shareholders and the weighted average number of shares outstanding during the period is adjusted for the effects
of all dilutive potential equity shares.
15. Cash Flow Statement
Cash flow are reported using the indirect method, whereby net profit before tax is adjusted for the effects of
transaction of a non cash nature, any deferrals or accruals of past or future operating cash receipts or payments
and item of income or expenses associated with investing or financing cash flows. The cash flows from operating,
investing and financing activities of the company are segregated.
B Notes on Financial Statements
1. The SSI (MSME) status of the creditors is taken as per documents provided by the Comp hence reporting in the
financial statements are made on such the basis.
2. Salaries includes directors' remuneration on account of salary C 4650.000 (Previous C4400.000)
3. Trade receivables, Trade payables, Loans & Advances and Unsecured Loans have been ta at their book value
subject to confirmation and reconciliation.
4. Payments to Auditors:
(I) Pursuant to the Taxation Laws (Amendment) Act, 2019, with effect from 01-April 19 domestic companies have
the option to pay corporate income tax at a rate of 22 plus applicable surcharge and cess (New Tax Rate) subject
to certain conditions. The Company had adopted new scheme.
(ii) The Company does not have any Benami property, where any proceeding has been initiated or pending against
the Company for holding any Benami property.
(iii) The Company did not have any transactions with Companies struck off.
(iv) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the
statutory period.
(v) The Company has not traded or invested in Crypto currency or Virtual Currency during the respective financial
years/period.
(vi) The Company has 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
(vii) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding
Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:
(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or
on behalf of the Finding Party (Ultimate Beneficiaries) or
(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries,
(viii) The Company does not have any 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 elevant provisions of the Income Tax Act, 1961).
(ix) The Company has not been declared wilful defaulter by any bank or financial Institution or other lender.
(x) The Company does not have any Scheme of Arrangements which have been approved by the Competent
Authority in terms of sections 230 to 237 of the Act.
(xi) The Company has complied with the number of layers prescribed under of Section 2(87) of the Act read with the
Companies (Restriction on number of Layers) Rules, 2017.
(xii) Disclosure as required under section 186(4) of Companies Act 2013
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