(l) Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognized when there is a legal or constructive obligation
as a result of past events and it is probable that there will be an outflow of resources and a reliable estimate can be made of the
amount of obligation. Provisions are not recognised for future operating losses. The amount recognized as a provision is the best
estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the
risks and uncertainties surrounding the obligation.

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

Contingent assets are not recognised but disclosed in the Standalone Financial Statements by way of notes to accounts when an
inflow of economic benefits is probable.

(m) Employee Benefits

Employee benefits are accrued in the year in which services are rendered by the employees. Short term employee benefits are
recognized as an expense in the statement of profit and loss for the year in which the related service is rendered.

Contribution to defined contribution plans such as Provident Fund etc, is being made in accordance with statute and are recognised
as and when incurred.

Contribution to defined benefit plans consisting of contribution to gratuity are determined at close of the year at present value
of the amount payable using actuarial valuation techniques. Actuarial gain and losses arising from experience adjustments and
changes in actuarial assumptions are recognized in other comprehensive income.

Other long term employee benefits consisting of Leave Encashment are determined at close of the year at present value of
the amount payable using actuarial valuation techniques. The changes in the amount payable including actuarial gain/loss are
recognised in other comprehensive income.

(n) Revenue recognition
Contract Revenue

Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the
consideration the Company expect to receive in exchange for those products or services. The Company derives revenues primarily
from providing engineering and construction services. The Company evaluates whether the performance obligations in engineering
and construction services are satisfied at a point in time or over time. The performance obligation is transferred over time if one of
the following criteria is met:

• As the entity performs, the customer simultaneously receives and consumes the benefits provided by the entity's performance.

• The entity's performance creates or enhances an asset (e.g., work in progress) that the customer controls as the asset is created
or enhanced.

• The entity's performance does not create an asset with an alternative use to the entity and the entity has an enforceable right
to payment for performance completed to date. For performance obligations in which control is not transferred over time,
control is transferred as at a point in time. For performance obligation satisfied over time, the revenue is recognised using input
method by measuring the progress towards complete satisfaction of performance obligation.

The percentage-of-completion of a contract is determined by the proportion that contract costs incurred for work
performed upto the reporting date bear to the estimated total contract costs. When there is uncertainty as to measurement
or ultimate collectability, revenue recognition is postponed until such uncertainty is resolved. Transaction price is the

amount of consideration to which the Company expects to be entitled in exchange for transferring good or service to a
customer excluding amounts collected on behalf of a third party and is adjusted for variable considerations. Advance
payments received from contractee for which no services are rendered are presented as 'Advance from contractee.
estimates of variable consideration are based largely on an assessment of anticipated performance and all information
(historical, current and forecasted) that is reasonably available. Contract modifications are accounted for when additions,
deletions or changes are approved either to the contract scope or contract price. The accounting for modifications of
contracts involves assessing whether the services added to an existing contract are distinct and whether the pricing is at
the standalone selling price. Services added that are not distinct are accounted for on a cumulative catchup basis, while
those that are distinct are accounted for prospectively, either as a separate contract, if the additional services are priced
at the standalone selling price, or as a termination of the existing contract and creation of a new contract if not priced at
the standalone selling price. The Company presents revenues net of indirect taxes in its Statement of Profit and Loss.
Costs to obtain a contract which are incurred regardless of whether the contract as obtained are charged off in Statement of
Profit and Loss immediately in the period in which such costs are incurred.

In respect of construction/ project related activity, Revenue is recognised under over time method when it is probable that the
company will collect the consideration to which it is entitled to. Revenue under over time method is determined by survey of
work performed / physical measurement of work actually completed at each reporting date taking into account contractual
price/ unit rates and revision thereto.

(1) Critical accounting judgements, estimation and uncertainty:

Determining the revenue to be recognized in case of performance obligation satisfied over a period of time; revenue
recognition is done by measuring the progress towards complete satisfaction of performance obligation. The progress is
measured in terms of a proportion of actual cost incurred to date, to the total estimated cost attributable to the performance
obligation.

(2) Revenue from construction/project related activity is recognized as follows:

Fixed price contracts: Contract revenue is recognized over time to the extent of performance obligation satisfied and control
is transferred to the customer. Contract revenue is recognized at allocable transaction price which represents the cost of work
performed on the contract plus proportionate margin, using the percentage of completion method. Percentage of completion
is the proportion of cost of work performed to date, to the total estimated contract costs.

For contracts where the aggregate of contract cost incurred to date plus recognized profits (or minus recognized losses as
the case may be) exceeds the progress billing, the surplus is shown as contract asset and termed as "Due from customers". For
contracts where progress billing exceeds the aggregate of contract cost incurred to date plus recognized profits (or minus
recognized losses as the case may be), the surplus is shown as contract liability and termed as "Due to customers" Amount
received before the related work is performed are disclosed in the Balance Sheet as Contract Liability and termed as "Advances
from customers" The amounts billed on customer for work performed and are unconditionally due for payment i.e., only
passage of time is required before payment falls due, are disclosed in the Balance Sheet as "Trade Receivables". The amount of
retention money held by the customers pending completion of performance milestone is disclosed as part of contract asset
and is reclassified as "Trade Receivables" when it becomes due for payment.

Other Income

Interest Income

Finance income is accrued on a time proportion basis, by reference to the principal outstanding and the applicable EIR. Other
income is accounted for on accrual basis. Where the receipt of income is uncertain, it is accounted for on receipt basis.

Dividend Income

Dividend income is accounted for when the right to receive the same is established, which is generally when shareholders/
Board of Directors approve the dividend.

(o) Borrowing costs

Borrowing cost comprises of interest and other costs incurred in connection with the borrowing of the funds. All borrowing costs
are recognized in the Statement of Profit and Loss using the effective interest rate method except to the extent attributable to

qualifying Property Plant Equipment (PPE) which are capitalized to the cost of the related assets. A qualifying PPE is an asset, that
necessarily takes a substantial period of time to get ready for its intended use or sale. Borrowing cost also includes exchange
differences to the extent considered as an adjustment to the borrowing costs.

(p) Leases
As a lessee

The determination of whether an arrangement is, or contains, a lease is based on the substance of the arrangement at the inception
date, whether fulfilment of the arrangement is dependent on the use of a specific asset or assets or the arrangement conveys a right
to use the asset , even if that right is not explicitly specified in an arrangement.

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) Company has substantially all of the economic benefits
from the use of the asset through the period of the lease and (iii) Company has the right to direct the use of the asset.

At the date of commencement of the lease, 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), low-value
leases and where the agreement contain the clause for cancellation of agreement without any penalty. For these short-term, low-
value or cancellable leases, the Company recognizes the lease payments as an operating expense on a straight-line basis over the
term of the lease.

The lease liability is initially measured at present value of the future lease payments. The future lease payments are discounted
using the interest rate implicit in the lease or, if not readily determinable, using the incremental borrowing rates. Lease liability
is subsequently measured by increasing the carrying amount to reflect interest, reducing the carrying amount to reflect lease
payments made and remeasuring the carrying amount to reflect any reassessment of lease modification.

(q) Taxes on income

I ncome tax expense representing the sum of current tax expenses and the net charge of the deferred taxes is recognized in the
income statement except to the extent that it relates to items recognized directly in equity or other comprehensive income.

(1) Current Tax

Current income tax is recognised based on the estimated tax liability computed after taking credit for allowances and
exemptions in accordance with the Income Tax Act, 1961. Current income tax assets and liabilities are measured at the amount
expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are
those that are enacted or substantively enacted, at the reporting date. Current tax assets and tax liabilities are offset where the
Company has a legally enforceable right to offset and intends either to settle on a net basis, or to realise the asset and settle
the liability simultaneously. Current income tax relating to items recognised outside profit or loss is recognised outside profit
or loss (either in other comprehensive income or in equity). Current tax items are recognised in correlation to the underlying
transaction either in OCI or directly in equity. Management periodically evaluates positions taken in the tax returns with respect
to situations in which applicable tax regulations are subject to interpretation and considers whether it is probable that a
taxation authority will accept an uncertain tax treatment. The Company reflect the effect of uncertainty for each uncertain
tax treatment by using either most likely method or expected value method, depending on which method predicts better
resolution of the treatment.

(2) Deffered Tax

Deferred tax is accounted for in respect of temporary differences between the carrying amount of assets and liabilities in
the financial statements and the corresponding tax basis used in the computation of taxable profit as well as for unused
tax losses or credits. In principle, deferred tax liabilities are recognized for all taxable temporary differences and deferred tax
assets are recognized to the extent that it is probable that taxable profits will be available against which deductible temporary
differences can be utilized.

Deferred taxes are calculated at the enacted or substantively enacted tax rates that are expected to apply when the asset
or liability is settled. Deferred tax is charged or credited to the Statement of Profit and Loss, except when it relates to items

credited or charged directly to other comprehensive income in equity, in which case the corresponding deferred tax is also
recognized directly in other comprehensive income or equity.

(r) Earnings per share

Basic Earnings per share is calculated by dividing the profit from continuing operations and Total profit, both attributable to equity
shareholders of the Company by the weighted average number of equity shares outstanding during the period.

Diluted earnings per share is computed using the net profit or loss after tax and weighted average number of equity and potential
equity shares outstandingf during the year, except where the result would be anti-dilutive.

(s) Segment accounting

The company's operations consist of construction/project activities and there are no other reportable segments under Indian
Accounting Standards 108 - Operating Segments.

4. CRITICAL ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS

The preparation of the standalone financial statements in conformity with the measurement principle of Ind AS requires management to
make estimates, judgments and assumptions. These estimates, judgments and assumptions affect the application of accounting policies
and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the standalone
financial statements and reported amounts of revenues and expenses during the period. Accounting estimates could change from
period to period. Actual results could differ from those estimates. Appropriate changes in estimates are made as management becomes
aware of changes in circumstances surrounding the estimates. Differences between the actual results and estimates are recognized in
the year in which the results are known / materialized and, if material, their effects are disclosed in the notes to the standalone financial
statements.

Application of accounting policies that require significant areas of estimation, uncertainty and critical judgments and the use of
assumptions in the standalone financial statements have been disclosed below. The key assumptions concerning the future and other
key sources of estimation uncertainty at the balance sheet date, that have a significant risk of causing a material adjustment to the
carrying amount of assets and liabilities within the next financial year are discussed below:

(a) Contract estimates

The Company, being a part of construction industry, prepares budgets in respect of each project to compute project profitability.
The two major components of contract estimate are 'claims arising during Construction period' and 'budgeted costs to complete
the contract'. While estimating these components various assumptions are considered by the management such as (i) Work will be
executed in the manner expected so that the project is completed timely (ii) consumption norms will remain same (iii) Assets will
operate at the same level of productivity as determined (iv) Wastage will not exceed the normal % as determined etc. (v) Estimates
for contingencies (vi) There will be no change in design and the geological factors will be same as communicated and (vii) price
escalations etc. Due to such complexities involved in the budgeting process, contract estimates are highly sensitive to changes in
these assumptions all assumptions are reviewed at each reporting date.

Variable consideration (Claims)

The Company has claims in respect of cost over-runs arising due to client responsibility delays, client's suspension of projects,
deviation in design, change in scope of work etc., which are at various stages of negotiation/ discussion with the clients/ arbitration
/litigation. The realisability of these claims are estimated by the Company based on contractual terms, historical experience with
similar claims as well as legal opinion obtained from internal and external experts, wherever necessary. Revenue in respect of claim
is recognised to the extent the Company is reasonably certain of their realisation. Realisation of above claims may be lower than
the claims recognized if the Company decides to settle the same out of court in future considering the substantial time involved in
litigation. Impact thereof will be considered in the year of such settlement.

(b) Depreciation and impairment on PPE

Refer to 3(f) above

(c) Impairment on Investments in Subsidiaries and associates

I nvestments in Subsidiaries and associates are been carried at cost. The company has tested for impairment at year end based
on the market value where the shares are quoted, P/E ratio of similar sector company along with premium/discount for nature
of holding and Net Asset Value computed with reference to the book value/ projected discounted cash flow of such company in
respect of unquoted investments.

(d) Impairment allowances on trade receivables

The Company evaluates whether there is any objective evidence that trade receivables are impaired and determines the amount
of impairment allowance as a result of the inability of the customers to make required payments. The Company bases the estimates
on the ageing of the trade receivables balance, credit-worthiness of the trade receivables and historical write-off experience. If the
financial conditions of the trade receivable were to deteriorate, actual write-offs would be higher than estimated.

(e) Current Tax and Deferred Tax

Significant judgment is required in determination of taxability of certain income and deductibility of certain expenses during the
estimation of the provision for income taxes.

Deferred tax assets are recognised for unused losses (carry forward of prior years' losses) and unused tax credit to the extent that it
is probable that taxable profit would be available against which the losses could be utilised. Significant management judgment is
required to determine the amount of deferred tax assets that can be recognised, based upon the likely timing and the level of future
taxable profits together with future tax planning strategies.

(f) Defined benefit obligations (DBO)

Critical estimate of the DBO involves a number of critical underlying assumptions such as standard rates of inflation, mortality,
discount rate, anticipation of future salary increases etc. as estimated by Independent Actuary appointed for this purpose by the
Management. Variation in these assumptions may significantly impact the DBO amount and the annual defined benefit expenses.

(g) Provisions and Contingencies

Provisions and liabilities are recognized in the period when it becomes probable that there will be a future outflow of funds
resulting from past operations or events and the amount of cash outflow can be reliably estimated. The timing of recognition and
quantification of the liability requires the application of judgement to existing facts and circumstances, which can be subject to
change.

Management judgement is required for estimating the possible outflow of resources, if any, in respect of contingencies/claim/
litigations/ against the Company as it is not possible to predict the outcome of pending matters with accuracy.

The carrying amounts of provisions and liabilities and estimation for contingencies are reviewed regularly and revised to take
account of changing facts and circumstances.

6.3 The Company has as at March 31,2026 Non-Current Investment amounting to Rs.1,500.00 lakhs ( March 31,2025 ; Rs.1,500.00 lakhs) in
its wholly owned subsidiary company MBL (MP) Toll Road Company Ltd (""MTRCL""). The Hon'ble National Company Law Tribunal (NCLT),
Principal Bench, New Delhi, vide its order dated January 21, 2025, initiated the Corporate Insolvency Resolution Process (CIRP) under
the Insolvency and Bankruptcy Code, 2016 (IBC) in respect of MTRCL. Subsequently, the Resolution Plan submitted by the Company for
the Subsidiary was approved by the Hon'ble NCLT, Principal Bench, New Delhi, vide its order dated September 12, 2025. The approved
Resolution Plan has since been implemented, as recorded by the Hon'ble NCLT, Principal Bench, New Delhi, vide its order dated October
14, 2025.As at March 31,2026, the subsidiary has a positive net worth based on the fair/market value of its underlying investments and
assets. Based on the approved Resolution Plan, the future business plan, projected cash flows, and other relevant factors, management
has assessed that the recoverable amount of the investment exceeds its carrying value and therefore, the investment in the above
subsidiary is good and recoverable.

6.4 The Company has as at March 31, 2026 Non-Current Investment amounting to Rs.3,984.25 lakhs (March 31, 2025; Rs.3,984.25 lakhs) in
its wholly owned subsidiary company MBL Projects Ltd. The net worth of the subsidiary does not represent true market value of the
underlying investment/assets. The subsidiary holds shares in downstream SPVs in which projects were cancelled/terminated. Claims
have been filed against cancellation/termination of the projects. These claims are based on the terms and conditions implicit in the
contract in respect of cancelled/terminated projects. Considering the contractual tenability,legal advice received and progress of
arbitration/ litigation, the management is confident of recovery of these claims. In view of this, the management is confident that
the realisable amount is higher than the carrying value of the investment and, therefore, has considered the investment in the above
subsidiary as good and recoverable.

6.5 The Company has as at March 31,2026 Non-Current Investment amounting to Rs.18,505.23 lakhs (March 31,2025; Rs.18,505.23 lakhs) in
its wholly owned subsidiary company Suratgarh Bikaner Toll Road Company Private Limited (SBTRCPL) . The net worth of the subsidiary
does not represent true market value of the underlying investment/assets. SBTRCPL is under Corporate Insolvency Resolution Process
(CIRP) vide order dated December 01, 2025 passed by Adjudicating Authority, National Company Law Tribunal, Kolkata. The powers of
the members of the Board of Directors are suspended and management of the SBTRCPL vests with Resolution Professional. SBTRCPL
being MSME and the Company also being MSME is eligible to submit the Resolution Plan under IBC, 2016 and is one of the Prospective
Resolution Applicant . The Company has submitted Resolution Plan for SBTRCPL which is being evaluated by Committee of Creditors.
Based on the estimates like future business plan, arbitration proceedings and other factors, the management is confident that realisable
amount is higher than the carrying value of investment and therefore, investment in the above subsidiary is good and recoverable.

6.6 The Company has as at March 31,2026 Non- Current Investment amounting to Rs.5,110.00 lakhs (March 31, 2025; Rs.5,110.00 lakhs) in
its wholly owned subsidiary company MBL Highway Development Company Limited (MHDCL). The net worth of subsidiary does not
represent true market value of the underlying investment/assets. There was a participation in concession agreement dated September
09, 2011 by way of project centric ECB facility as per prudential norms of financing infrastructure projects in India as per RBI guidelines
and other applicable Indian laws in DBFOT project of MHDCL. Repayments and interest were to be made from escrow account out of
deposit of user fee (toll) on achievement of Commercial Operation Date (COD). However the concession agreement was terminated
by Authority on November 18, 2016. Legal proceedings are pending at various forums for adjudication of disputes including dispute
resolution proceedings in India and summary judgement and certificate of enforcement from a foreign country and its execution
petition in India by such participant. MHDCL has received legal advice that the same is not enforceable. MHDCL has counter claims
against the participant exceeding the amount of the claims. However, provision has been made for claims including foreign exchange
fluctuation as per 'conservative principles of accounting' but the same is not acknowledged as debt payable by MHDCL. MHDCL
has invoked arbitration against the Authority and Lenders Representative / Escrow Agent on account of material defaults/breach on
their part in fulfilling their obligations as per provisions of Substitution Agreement & Escrow Agreement and has filed claims. Based on
estimates like future business plan, arbitration proceedings and other factors, the management is confident that the realisable amount
is higher than the carrying value of the investment and, therefore, the investment in the above subsidiary is good and recoverable.

6.7 The Company has investment in 2,37,43,800 equity shares aggregating to 30.30% in Orissa Steel Expressway Pvt. Ltd. (OSEPL), a Special
Purpose Vehicle, for execution of Four/Two Laning of Rimuli-Roxy- Rajamunda Section of NH 215 from km 163.00 to km 269.00 in the
state of Orissa awarded by NHAI to the Joint Venture of the Company with SREI Infrastructure Finance Limited on DBFOT Basis. The
Company had executed option agreements with AMR India Limited and Rithwik Projects Private Ltd in respect of these shares. The
option was not exercised by these parties within the option period and also no claim was filed by these parties during CIRP of the
Company. The claims of these parties do not form part of the Approved Resolution Plan of the Company and claims of these parties
against the Company stood extinguished.

The concession agreement was foreclosed/terminated on 13.01.2017. Arbitration proceedings were initiated by OSEPL against NHAI and
arbitration award dated March 31,2019 for Rs.32,278.00 lakhs plus interest @ 10 % p.a. was passed in favour of OSEPL.

Out of 2,37,43,800 equity shares aggregating to 30.30%, 1,28,64,000 equity shares held by the Company were inappropriately transferred
to AMR India Limited reducing shareholding of the Company in OSEPL to 13.89 %, aggrieved by which the Company filed a petition
before Hon'ble NCLT, Cuttack, inter-alia, for oppression and mismanagement. The Petition was disposed of vide order dated 31.08.2022
directing the parties to Arbitration. The Company has filed appeal before Hon'ble NCLAT against the said NCLT order dated 31.08.2022.

The petition filed by Rithwik Projects Private Ltd under Section 11 of Arbitration & Conciliation Act 1996 was dismissed by Hon'ble High
Court at Calcutta vide judgement & order dated 05.06.2023 holding that claims of the party against the Company are extinguished/
deadwood. The Hon'ble Supreme Court vide order dated 19.02.2024 has dismissed the Special Leave Petition (SLP) filed by Rithwik
Projects Ltd against the said order of Hon'ble Calcutta High Court.

Hon'ble NCLAT vide Judgement and order dated 30.07.2025 inter alia, held that the Appeal filed by the Company is maintainable. Hon'ble
Supreme Court vide order dated 15.10.2025 dismissed the SLP filed by AMR India Limited against NCLAT order dated 30.07.2025. The SLP
filed by Rithwik Projects Private Ltd against the said order also stands dismissed due to non-clearance of defects despite opportunities.

During pendency of appeal before NCLAT, further 1,08,78,000 equity shares held in the name of the Company have been illegally
transferred to Rithwik Projects Private Ltd despite the order of Hon'ble High Court at Calcutta. The Company has filed necessary
application before Hon'ble NCLAT in this regard for restoring the shareholding of the Company in OSEPL.

OSEPL has received Rs 38,384.61 lakhs from NHAI towards one time settlement in terms of the Settlement Agreement executed with
NHAI in terms of Vivad Se Vihwas II (Contractual Disputes) Scheme of Government of India. Vide order dated 21.07.2025, Hon'ble NCLAT,
New Delhi directed that OSEPL shall not disburse any sum to its shareholders without leave of the Tribunal till further orders.

The matter is pending adjudication before Hon'ble NCLAT, New Delhi. The investment of the Company is carried at net cost.

8.1 i) Fixed deposits includes pledged with banks as margin of Rs.89.59 lakhs (March 31,2025: Rs.812.25 lakhs)

ii) Fixed deposits includes pledged with others as security deposit of Rs.14.73 lakhs (March 31,2025: Rs.229.97 lakhs)

8.2 The above balances are subject to confirmation/reconciliation.

8.3 The Company has not given any advances to Directors or other officers of the Company or any of them either severally or Jointly with
any other persons or advance to firms or private Company respectively in which any director is a partner or director or a member.

8.4 There is no loan or advance in the nature of loan granted by the Company to Promoters, Directors, KMP's and the related parties.

NCDs aggregating to Rs.82,628.18 Lakhs (March 31,2025 Rs.83,360.32 Lakhs) (Including Deferred Credit to March 31, 2026 Rs.31,425.35
Lakhs, March 31,2025 Rs.36,813.44 Lakhs) are secured by :

(i) 1^st pari-passu charge on the entire immovable properties and long term receivables.

(ii) 1^st pari- passu charge on movable fixed assets (except those assets which are exclusively charged to equipment financer/ECB Lenders)

(iii) 2^nd pari-passu charge on the entire current assets of the company.

17.2 There is working capital term loan of Rs.3,661.16 Lakhs (March 31, 2025 Rs.3,723.98 Lakhs) from banks in terms of the Approved
Resolution Plan. The rate of interest on such loan is 1 year MCLR of SBI plus spread of 0.70% p.a and will be repaid in 39 unequated
quarterly installments as per approved Resolution Plan (read with orders of Hon'ble NCLT/NCLAT)

The Working Capital Term Loan is secured as follows:

(i) 1^st pari-passu charge on the entire Fixed Assets (movable and immovable) of the Company except those specifically charged to
Equipment/ ECB lenders.

(ii) 1^st pari-passu charge on the long term receivables.

(iii) 2^nd pari-passu charge on the entire current assets of the Company.

(iv) Pledge of 24% Promoter Holding in the Company.

(v) Personal Guarantee of Mr. A.K. Lakhotia

17.3 Equipment/ Vehicle finance/ External commercial borrowings (ECB) availed from banks.The rate of interest on such loan is 1 year MCLR
of SBI plus spread of 0.70% p.a and will be repaid in 39 unequated quarterly installments as per approved Resolution Plan (read with
orders of Hon'ble NCLT/NCLAT/Supreme Court). ECB loan from banks are secured by hypothecation of specific equipments; comprising
construction equipments acquired out of the said loans.

17.4 Working capital facilities in term of Approved Resolution Plan

There is cash credit facilities aggregating to Rs 3,691.18 Lakhs (March 31,2025 Rs.3,738.00 Lakhs) from banks. The rate of interest on such
cash credit will be 1 year MCLR of SBI plus spread of 0.70% p.a as per the approved Resolution Plan. The Cash Credit facilities is secured
as follows:

(i) 1^st pari-passu charge on the entire current assets of the company.

(ii) 2^nd pari-passu charge on the entire Fixed Assets (movable and immovable) of the Company.

(iii) 2^nd pari-passu charge on the long term receivables.

(iv) Pledge of 24% Promoter Holding in the Company.

(v) Personal Guarantee of Mr. A.K. Lakhotia

17.5 All the amounts will be paid after proper reconciliation and without prejudice to legal remedies available to the Company. The Company
will have the option to prepay the dues to banks, financial institutions/ creditors (based on time value of their dues at discount rate),
without any additional levies.

17.7 The Resolution Plan dated November 22, 2017 submitted by Mr. A K Lakhotia with 78.50% CoC voting share was approved under IBC,
2016 and Orders dated April 18, 2018, March 11, 2022, September 13, 2023 and September 30, 2024 by Hon'ble National Company
Law Tribunal ("NCLT"), Kolkata, Orders dated August 16, 2019, May 23, 2023 and August 10, 2023 by Hon'ble National Company Law
Appellate Tribunal ("NCLAT") and Orders dated January 18, 2022, August 04, 2023 and September 25, 2023 by Hon'ble Supreme Court
were passed regarding approval and implementation of the Resolution Plan and the Resolution Plan has attained finality. The Working
Capital Consortium and other documents for implementation of the Financial Package/Approved Resolution Plan by banks have been
executed and the date of implementation of the Financial Package/Approved Resolution Plan has been declared by the Banks as
September 04,2024.

29 Exceptional Items

The Government of India consolidated 29 existing labour regulations into four Labour codes, namely, The Code on Wages, 2019. The
Industrial Relations Code, 2020. The Code of Social Security, 2020 and the Occupational Safety, Health and Working Conditions Code,
2020, collectively referred to as the 'New Labour Codes'. In accordance with the requirement of Ind AS 19 'Employee Benefits', these
changes have resulted into an estimated increase in the past service cost of gratuity and compensated absence by Rs.13.49 lakhs.
Considering that the enactment of the new legislation is a non-recurring event, the Company has presented this one-time charge
under 'Exceptional Item' for the year ended March 31,2026. The Company continues to monitor the finalisation of the Central and
State Rules and clarifications from the Government on the New Labour Codes and shall provide appropriate accounting effect based
on such developments, as necessary.

29.2 Exceptional Items

For the year ended March,31 2025, The exceptional items for Rs.4025.59 lakhs have resulted from implementation of the Package/
Resolution Plan by the Banks/Financial Creditors and are capital in nature and no income/profit has accrued nor any cash flow
realised to the Company. The amount has been routed through Profit & Loss account as per requirement of Ind AS and being capital
in nature has been transferred to Capital Reserve. Moreover, no real income/profit has accrued to the Company and in view of the
above the same is not taxable under provisions of Income Tax Act and Rules.

Note:

1 The above information is as identified by the management and relied upon by the auditors.

2 Terms and Conditions of transactions with Related Parties:

All transactions are from related parties are made in ordinary course of business. For the year ended March 31 2026, the Company has
not recorded any impairment of receivables relating to amounts owed by related parties. This assessment is undertaken each financial
year through examining the financial position of the related party and the market in which the related party operates.

31 Employee Benefits

As per Ind AS - 19 "Employee Benefits" the disclosure of Employee Benefits as defined are given below:

Defined Contribution Plan

The Company makes Provident Fund and Employees State Insurance Fund contributions for eligible employees. Under the schemes, the
Company is required to contribute a specified percentage / fixed amount of the payroll costs to fund the benefits. The contributions as
specified under the law are paid to the respective fund set up by the government authority.

Credit exposure is managed by counterparty limits for investment of surplus funds which is reviewed by the Management. Bank
balances are held with reputed and creditworthy banking institutions.

Trade receivables disclosed include amounts that are past due at the end of the reporting period but against which the Company
has not recognised an allowance for doubtful receivables because there has not been a significant change in credit quality and the
amounts are still considered recoverable.
ii) Liquidity Risk

The Company objective is maintaining optimum level of liquidity to meet its cash and collateral requirement at all times. The
Company relies on Borrowing and internal accruals to meet its need for fund. The current committed lines of credit are sufficient to
meet its short to medium term expansion needs.

The table provides undiscounted cash flow towards non-derivative financial liabilities and net settled derivative financial liabilities
into relevant maturity based on the remaining period at balance sheet date to contractual maturity date.

34.1 The Company's pending litigations comprises of claim against the Company and proceedings pending with tax/ statutory/Government
Authorities. The Company has reviewed all its pending litigation and proceedings and has made adequate provisions, and disclosed
the contingent liabilities, wherever applicable, in its financial statements.

34.2 The Resolution Plan approved under IBC is binding on all creditors including the Central Government, State Government, any Local
Authority under section 31(1) of IBC, 2016. Claims not filed/ not admitted/ claims which do not form part of the approved Resolution
Plan stand extinguished. The payments of claims are subject to reconciliation and rights and remedies available to the Company and
are not acknowledged as debt.

34.3 As per legal advice received, in case of claim not filed by creditor against Corporate Guarantee(s) provided by the Company in respect
of subsidiary company(ies), the same stand extinguished. Without prejudice to the above, as per the Resolution Plan dated November
22, 2017 of the Company approved under IBC, 2016 read with Orders dated April 18, 2018, March 11, 2022, September 13, 2023 and
September 30, 2024 by Hon'ble NCLT, Kolkata, Order dated August 16, 2019, May 23, 2023 and August 10, 2023 passed by Hon'ble
NCLAT and Order dated January 18, 2022, August 04, 2023 and September 25, 2023 passed by Hon'ble Supreme Court, the treatment of
Corporate Guarantees is "Any amount arising out of invocation of existing Corporate Guarantees/Contingent Liabilities other than the
current sub-judice matters will be paid after the payment of all the dues of Financial Creditors as per resolution plan, without any interest
and penalties subject to the rights and remedies available to the Company" and "All amounts will be paid after proper reconciliation and
without prejudice to the legal remedies available to the Company"

34.4 The amount shown above represents the best possible estimates arrived on the basis of available information. The uncertainties and
timing of the cash flows are dependent on the outcome of the different legal process which have been invoked by the company or the
claimants as the case may be and therefore it cannot be estimated accurately.

b) Commitments : Nil (March 31, 2025 - Rs.Nil)

35 Disclosures as required by Indian Accounting Standard (Ind AS) 37 "Provisions, Contingent Liabilities and Contingent Assets

A contingent asset is a possible asset that arises from past events and whose existence will be confirmed only by the occurrence
or non occurrence of one or more uncertain future events not wholly within the control of the entity. During the normal course of
business, unresolved claims remains outstanding. The inflow of economic benefits, in respect of such claims cannot be measured due
to uncertainties that surround the related events and circumstances.

36 Earnings per share

Basic and diluted earnings/(loss) per share is calculated by dividing the profit/(loss) attributable to equity holders of the Company by the
weighted average of equity shares outstanding during the year.

38.1 Pursuant to the provisions of Ind AS 12 "Income Taxes" the Company has conservatively recognised deferred tax assets (net) as at March
31, 2026 amounting to Rs 9,910.73 lakhs (March 31, 2025 Rs.15,144.78 lakhs) corresponding to unused brought forward income tax
losses for which it has convincing evidences viz. opportunities available in area of its core competence, bidding/pre-qualification limit,
conducive government policies and market conditions, recovery of pending claims, TEV study and approved Resolution Plan etc., based
on which it is inferred that sufficient taxable profit will be available against which unused tax losses can be utilised by the Company and
balance pertains to Ind AS adjustments which is merely timing difference capable of being reversed over the life of the asset.

39 Statutory Dues

In terms of the approved Resolution Plan:

a) Payment of statutory liabilities (like income tax, service tax, Vat, Royalties, Cess, Stamp Duty, other statutory dues etc.) will be made
over a period of 3 years from the date of implementation of the Resolution Plan by the financial creditors with waiver of penal
Interest, simple interest, compound interest, damages, penalties, compounding charges etc. on all statutory dues. Admitted claims
alone will be paid after reconciliation and subject to rights and remedies available.

b) Any liability arising out of the matter, which is presently sub-judice and leads to liability against the Company will be paid over a
period of 7 years after the judgement, without any interest and penalty, subject to rights & remedies available to the Company.
Admitted claims alone will be paid after reconciliation and subject to rights and remedies available.

c) The Resolution Plan approved under IBC is binding on all creditors including the Central Government, State Government, any
Local Authority under section 31(1) of IBC, 2016. Claims not filed/ not admitted/ claims which do not form part of the approved

Resolution Plan stand extinguished. The payments of claims are subject to reconciliation and rights and remedies available to the
Company and are not acknowledged as debt.

40 Disclosure in relation to Undisclosed Income

During the year, the Company has not surrendered or disclosed any income in the tax assessment under the Income Tax Act,1961(such
as, Search or Survey or any other relevant provision of the Income tax Act, 1961). Accordingly, there are no transactions which are not
recorded in the books of Accounts.

41 The Company's operations consist of construction/project activities and there are no other reportable segments under Indian
Accounting Standard 108 - Operating Segments. The Company's activities are predominantly within India and hence no separtate
geographical segment disclouser is considered necessary. The Company has all the non-current operating asset such as property,plant
and equipment and investment in India.

42 Disclosure pursuant to Regulation 34(3) read with Schedule VA(2) of the Securities and Exchange Board of India (Listing Obligations
and Disclosure Requirements) regulations, 2015: There is no loan/ advance/ investment outstanding during the year in Subsidiaries,
Associates and Firms/ Companies in which Directors are interested.

43 In accordance with the provisions of "Indian Accounting Standard (Ind AS) -36 - Impairment of Assets" the Company has made an
assessment of the recoverable amount of assets based on higher of the value in use considering its projected scale of operations,
prevailing market conditions, future cash flows and future growth projections and estimated net selling price of the assets pertaining
to its various Cash Generating Units and found recoverable amount of these assets to be higher as compared to carrying value of assets
in its Financial Statements. Accordingly, management considers that there is no need for the provision on account of impairment of
assets.

44 The Company has claims in respect of cost over-runs arising due to client responsibility delays, client's suspension of projects, deviation
in design, change in scope of work etc., which are at various stages of negotiation/ discussion with the clients/ arbitration /litigation.
The realisability of these claims are estimated by the Company based on contractual terms, historical experience with similar claims as
well as legal opinion obtained from internal and external experts, wherever necessary. Revenue in respect of claim is recognised to the
extent the Company is reasonably certain of their realisation. Realisation of above claims may be lower than the claims recognized if the
Company decides to settle the same out of court in future considering the substantial time involved in litigation. Impact thereof will be
considered in the year of such settlement.

45 Other Statutory information

i) The Company do not have any benami property, and no proceeding has been initiated against the Company for holding any
benami property.

ii) The Company does not have any transactions with struck off companies during the year.

iii) The Company do not has any charge 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 Group 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 does not have 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

viii) The Company have not declared wilful defaulter by any banks or any other financial institution at any time during the financial
year.

ix) All immovable properties are held in the name of the Company.

46 Additional Regulatory Information

*The key ratios are not comparable as operations of the Company were not normal. The documents for implementation of the Approved
Resolution Plan by the Banks have been executed and the date of implementation of the Package/Resolution Plan has been declared by
banks as September 04, 2024.

47 Figures for the previous period have been reworked/regrouped/recasted, wherever considered necessary.

48 These standalone financial statements have been approved by Board of Directors of the Company in their meeting dated May 30, 2026
for issue to the shareholders for their adoption.