Disclosures relating to investment property

The above investment property comprises of following mentioned property:

Express Zone B Wing Premises Co- operative Society Limited, Western Express Highway, Malad (East), Mumbai-400097 having office number 404, 405, 408, 409& 410.

Fair value

The fair value of investment property has been determined by external independent registered/approved valuer, having appropriate recognised professional qualification and experience in the valuation feild. The fair value of the investment property is ? 741.83 Lakhs as on 10 May 2023.

Premises given on lease

The Company has given investment property ( land and building) on operating lease for 3 years and is renewable further as per mutually agreeable terms.

*The company has acquired 7.05 Lakhs equity shares which is 100% share capital of Vikas Organics Private Limited (VOPL) accounted at amortized cost in accordance with Ind AS-28. Accordingly, the Company is reported as wholly owned subsidiary of Vikas Ecotech Limited (VEL).

**The company has purchased 26,88,679 equity shares of M/s Roseland Buildtech Private Limited (RBPL) equivalent to 15.93% from Hallow Securities Private Limited (HSPL) at purchase consideration of ? 2,850 Lakhs. The necessary financial commitments have been fulfilled, and all requisite documentation for the purchase has been completed. However, the formalities for the transfer of shares are still pending.

***a) The company has collaboarted in the development of real estate project in Gurugram, Haryana on profit sharing model with the Arm Estate Projects (P) Limited (AEPL). The project shall be funded in the ratio of 70:30, with our company contributing 70% of the total invesment. The funds infused by us (till year end ? 2,150 Lakhs) will be used by the AEPL towards making payments to Huda against the cost of the plot and construction. The profit sharing ratio is 30:70, our company share is 30%.

b) The company has collaboarted in the development of real estate project in Sonipat, Haryana on profit sharing model with the BG Technocrafts Private Limited (BGTL) in the ratio of 70:30, with our company contributing 70% of the total invesment. Total project cost is ? 1,80,000 Lakhs. The funds infused by us till year end ? 8,500 Lakhs. The profit sharing ratio is 30:70, our company share is 30%.

c) The company has collaboarted in the development of real estate project in Faridabad, Haryana on profit sharing model with the Innovative Supply Chains Solutions LLP (LLP) in the ratio of 70:30, with our company contributing 70% of the total invesment. The funds infused by us (till year end ? 800 Lakhs) will be used by the LLP towards making payments to Huda against the cost of the plot and construction. The profit sharing ratio is 30:70, our company share is 30%.

d) The company has entered into a collaboration agreement with Rudraveerya Developers Limited (RDL) for a significant real estate project in Delhi, NCR. The project will be funded with an investment ratio of 70:30, with our company contributing 70% of the total investment and our collaborating partner contributing the

remaining 30%. Upon the successful completion of the project, profits will be shared equally between both parties, with a 50:50 profit-sharing ratio. The estimated time for the completion of the project is five years, and the total estimated cost of the project is ? 13,000 Lakhs.

e) The company has collaboarted in the development of real estate project in Gurugram, Haryana on profit sharing model with the Nice Apartment Constructors (P) Limited (NACL) in the ratio of 70:30, with our company contributing 70% of the total invesment. The funds infused by us (till year end ? 7,000 Lakhs) will be used by the NACL towards making payments to Huda against the cost of the plot and construction. The profit sharing ratio is 30:70, our company share is 30%.

Deferred tax assets and deferred tax liabilities have been offset wherever the Company has a legally enforceable right to set off current tax assets against current tax liabilities and where the deferred tax assets and deferred tax liabilities relate to income taxes levied by same taxation authority. During the year the Company has increased its existing Deffered Tax Assets to ? 90.02 lakhs.

Inventory is valued at lower of cost or NRV

"(Valued and certified by the Company's Management, Independent Cost Accountant and Relied upon by Auditors)

The Company is in the business of High End additives and rubber-plastic compounds and accordingly deals in numerous items such as Tin Alloy / Ingots, 2Ethylhexyl Thiogycolate, Tinmate, Hydrogen Peroxide, PVC Resin, Styrene Butadiene Copolymer, Styrene Butadiene Styrene, Methyl Chloride (Gas) etc. Further, the company is also in trading of TMT Bars, Steel, HR Coils, CR Colis, ERW pipes & Coal. Keeping in view the nature of industry and vast number of items, it is not practical for the Company to give item wise break up of different type of products."

The company has raised funds of Rs. 13,398 Lakh through issuance of fresh shares through Further Public Offer ( FPO) which includes Qualified Institutional Placements (QIP) in 2 tranches. In first tranche we have issued 17,85,00,000 shares having paid up value Rs. 1/- & Share Premium of Rs. 1.80 per share, total issue size is Rs. 4998 Lakh & in second tranche, company has issued 16,12,80,000 shares having paid value Rs. 1/- & Security Premium of Rs. 2.10, total issue size is Rs. 4,999.68 Lakh. Further, Company has issued 10,00,00,000 shares on preferential basis to the promoters i.e. Mr. Vikas Garg at share price of Rs. 3.40 per share having paid up value Rs. 1/- & Security Premium of Rs. 2.40 per share, total preferential issue size is of ? 3400 Lakh.

Utilization of proceeds

The company has deployed these funds as per the objects of the proceeds. Proceeds from subscription to the Issue of Equity shares under QIP and preferential issue of 2023-24, made during the year ended 31 March 2024 have been utilised in the following manner:

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"*The company has described detailed utilisation of proceeds of QIP in its public placement documents (PPD) filed with the securities and exchange board of India (SEBI) and utilization of proceeds of preferential issue filed with stock exchanges. As per the objects, the company intends to use the Net Proceeds to finance (in whole or part) one or more, or any combination of the following: (a) working capital requirements, including repayment or prepayment thereof, meeting various expenditure of the Company including contingencies; (b) capital expenditure, including towards development, refurbishment and renovation of our assets; (c) any other cost incurred towards the objects of the Company; (d) financing of business opportunities, strategic initiatives; or (e) general corporate purpose. The Net Proceeds are proposed to be deployed towards the purpose set out above and not proposed to be utilized towards any specific project. The company has utilised the funds collectively in accordance with object of the issue in whole or part in one or more or any combination of the object of the issues.

"Terms / rights to Equity Shares

The Company has only one class of shares referred as equity shares having a par value of ? 1/- per share. Each holder of equity shares is entitled to one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the company after distribution of all preferential amounts , in proportion to their shareholding.

Rights, Preferences and Restrictions

The Authorised Share Capital of the Company consists of Equity Shares having nominal value of ?1/- each. The rights and privileges to equity shareholders are general in nature and allowed under Companies Act, 2013.

The equity shareholders shall have:

(1) a right to vote in shareholders' meeting. On a show of hands, every member present in person shall have one vote and on a poll, the voting rights shall be in proportion to his share of the paid up capital of the Company

(2) a right to receive dividend in proportion to the amount of capital paid up on the shares held The shareholders are not entitled to exercise any voting right either in person or through proxy at any meeting of the Company if calls or other sums payable have not been paid on due date. In the event of winding up of the Company, the distribution of available assets/losses to the equity shareholders shall be in proportion to the paid up capital.

The Company is availing working capital limits under consortium from Punjab National Bank and State Bank of India with Punjab National Bank as lead banker in consortium and SBI is member bank.

The Company is availing a cash credit limit of ? 1,000 Lakhs from Punjab National Bank with a sub limit of PC / PCFC / FBP / FBD of ? 500 Lakhs under the same Cash Credit limit against Hypothecation of stock, receivable, and advance to suppliers and other current assets on pari-passu basis with consortium members. No DP against stock and Book debts exceeding 180 days to be allowed at Margin @ 25% and the current rate of interest is lyear MCLR (8.50%) Spread (6.00%) i.e. 14.50% p.a. Further, the Company is also availing LC / DA / DP basis non Fund Based Limit of ? 750 Lacs (which includes both side inter change ability LC to CC for ? 500 Lacs) for procurement of Raw Material and spares. There are Cash Margins @ 15% in the shape of FDR(s) on LC limits. Total exposure from PNB is Rs. 1,750 lakhs as on 31 March 2024.

The Company is also availing Cash Credit limit of ? 1,350 Lakhs from State Bank of India (which includes interchangeability from CC to LC for ? 500 Lacs). The limit is secured by way of hypothecation of stock, receivables & other current assets on pari-passu basis with consortium members. No DP against stock and Book debts exceeding 180 days to be allowed at Margin @ 25% and the current rate of interest is 6 months MCLR (8.55%) Spread 4.10% i.e. 12.65% p.a. Further the Company was availing Non Fund Based LC (Import / Inland /DP/ DA/ BG, Buyers Credit) limits of ? 400 lakhs for procurement of raw material and spares. There are Cash Margins @ 15% in the shape of FDR'(s) on LC limits. Total exposure from SBI is Rs. 1,750 lakhs as on 31 March 2024.

"Further, the fund based & non fund based limits from banks are secured by mortgage of following collateral assets:

a) Industrial property at G-30 RIICO Industrial Area, Vigyan Nagar, Shahjahanpur Dist. Alwar, Rajasthan

b) Industrial property at G-24-29 RIICO Industrial Area, Vigyan Nagar, Shahjahanpur Dist. Alwar Rajasthan

c) Industrial Property No. - F-7 & 8, Vigyan Nagar RIICO Indl. Area, Shahjahanpur, Tehsil Neemrana Distt. Alwar, Rajasthan

"Further, the Fund Based & Non Fund Based limits are guaranteed by personal guarantee of the following persons:

a) Nand Kishore Garg

b) Vikas Garg

c) Vivek Garg

d) Usha Garg

e) Seema Garg

f) Namita Garg"

(b) Defined benefit plans

The Company operates a defined benefit gratuity plan, wherein every employee, who has rendered at least five years of continuous service, is entitled to the gratuity benefit equivalent to 15 days of total basic salary last drawn for each completed year of service, in terms of Payments of Gratuity Act, 1972. The Company has taken Group Gratuity Scheme for the employees from the LIC of India. Gratuity liability is provided for on the basis of an actuarial valuation on projected unit credit method made at the end of the each reporting period, as required under Ind AS 19 Employee Benefits.

The sensitivity analyses are based on change in above assumption while holding all other assumptions constant. The changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions, the same method (present value of the defined benefit obligation calculated with projected unit credit method at the end of the reporting year) has been applied, as has been applied when calculating the provision for defined benefit plan recognised in the Balance Sheet.

* Above Figures are stated without considering margin money given by the company, for margin money details please refer Note no 11

^c) Claims not acknowledged as debts

During the Financial year 2023-24, the income tax department conducted the search on the Vikas Ecotech Limited and its group companies including residence of promoter and KMPs under section 153 of the Income Tax Act. The said search was an additional cover of premises because of transaction with the M/s Best Agrolife Limited and its promoter.As per panchnama dated 30 September 2023 drawn on the conclusion of search no major deviation reported in the books of accounts. Further the department has not impounded any valuable article or things arising out of such proceedings.

The company has filed and appeal against the assessment order under section 153C passed by the Ld. Assessing Officer circle-31, Jhandealana, Delhi. The said appeal involves total demand of ? 660.60 Lakhs which pertains to assessment year 2010-11 to 2020-21. Further, the Ld. AO has initiated penalty proceeding u/s 274 of the income tax act, 1961.

During the year the income tax department has issued notice u/s 148 of the income tax act, 1961 for assessment year 2013-14 to 2017-18 & 2021-22 to 2022-23, against this notice the company has preferred to file a writ peition before honourable Delhi high court. The decision of such cases are pending as on 31 March 2024.

The company ahs filed rectification application u/s 154 of the income tax act, 1961 for the assessment year 2015-16 which is pending for order by the department. Although the company has already deposited outstanding tax of ? 3.70 Lakhs.

The Income Tax Department has filed an appeal against the order of honorable ITAT Delhi with respect to total addition of ? 339 Lakhs pertains to assessment year 2012-13. Such case is pending before the Honorable Delhi High Court. The total demand of income tax involves the matter of law whether the compensation received against the compulsory acquisition will be treated as agriculture Income or profit from business as sale of real estate division of the company.

An enquiry from the DGGI was initiated in April 2022 pertaining to verification of certain suppliers, wherein Vikas Ecotech Limited submitted a deposit of ? 300 Lakhs with the authorities, which is considered as recoverable, if and when the sanctity of the said supplier is verified and the enquiry is concluded favourably. As on the balance sheet date, the matter is pending and no show cause notice is yet issued.

During the year, the company has filed an appeal against the order of the Ld. Deputy Commissioner, Gautam Budh Nagar Noida under section 73 of the CGST act, 2017. The demand of ? 63.78 Lakhs pertains to difference in the Input tax credit availed through the GSTR-3B and populated in GSTR-2A.The said assessment pertains to the financial year 2017-18 having GSTN 09AAACV0608G2ZK.

Whereas the consequential interest and penalty of ? 63.78 Lakhs and ? 91.88 Lakhs respectively determined by the Ld. Deputy commissioner of Goods and Service Tax, Noida. Out of total demand raised, the company agreed for demand of ? 1.54 Lakhs and filed appeal with respect to disputed amount of Rs. 62.24 Lakhs and deposited 10% of the disputed demand as pre-deposit amounting ? 6.22 Lakhs.

During the year, the company has filed an appeal against the order of the Ld. Sales Tax Officer Ward-52,Delhi under section 73 of the CGST act, 2017..The demand of ? 207.52 Lakhs pertains to difference in the Input tax credit availed through the GSTR-3B and populated in GSTR-2A.The said assessment pertains to the financial year 2017-18 having GSTN 07AAACV0608G1ZP Whereas the consequential interest and penalty of ? 207.52 Lakhs and ? 20.75 Lakhs respectively determined by the Ld. Sales tax officer of Goods and services tax, Delhi. Further the company has deposited 10% of the demand of Rs. 20.75 Lakhs as a pre deposit for filing appeal against the order on 12th April 2024.

The Assistant Commssioner- II, Circle C, Enforcement wing III, Jaipur unit of Goods and services tax has initiated enquiry under section 70 of RGST Act, 2017 with respect to transaction with one of the supplier of the company. The department has deposited amount of ? 30 Lakhs u/s 73(5) of RGST Act, 2017 under protest. Further, the company has preferred a civil writ petition number 5022/2024 before honourable Jaipur High Court against such proceedings initiated by Ld. Assisstant Commissioner of GST Jaipur, the said petition is pending as on the date of balance sheet.

The Company has filed civil suit against ADM Agro Industries Kota and Akola Limited supplier of Soya Bean Oil in Saket Court Delhi (Case No-CS OS No.-198/214) amounting ?99.62 Lakhs due to poor supply of soya bean oil. The Company has suffered a loss due to such poor quality of material supplied by them and non-recovery of money from debtors and it also affect goodwill of the Company. ADM Agro Industries Kota and Akola Limited has also filed winding up petition against the Company in High Court (Case No. CO PET N. 64/2014) due to non-payment of Rs. 41,15,664 along with interest at the rate of 18% from the due date of payment. ADM Agro Industries Kota and Akola Limited has also filed a summary suit for recovery of debts in Tis Hazari Court (Summary Suit No. - C S (OS) 3077/2014).

Mr. Pradip Kumar Banerji (Former director) of Vikas Ecotech Limited has sued company for nonallotment of 4,37,000 equity shares under Employee Stock Option Scheme, 2011 for ? 110 Lakhs. Case is pending till 31 March 2024 in High Court of Delhi for disposal.

The Directorate of Enforcement, Delhi Zonal Office, New Delhi has issued a provisional attachment order ("Order") bearing number 04/2020 and file number ECIR/10/DZ-1/2017 under section 5(1) of The Prevention of Money Laundering Act, 2002 ("PMLA") against our company, its director Mr. Vikas Garg and other third parties. The ED has recovered the amount of ? 7.16 Lakhs on 29 June 2021 kept in the attached bank account No- 19450210001943 maintained with the UCO bank. After recovery of the said amount, attachment has been released by ED and duly closed by the company in FY 21-22.

d) Other money for which company is contingently liable- Nil ¹

The following methods / assumptions were used to estimate the fair values:

a) The carrying value of cash and cash equivalents, trade receivables and trade payables and liabilities approximate their fair values mainly due to short-term maturities of these instruments.

b) The fair value of other financial assets and other financial liabilities is estimated by discounting future cash flows using rates applicable to instruments with similar terms, currency, credit risk and remaining maturities. The fair values of other financial assets and other financial liabilities are assessed by the management to be same as their carrying value and is not expected to be significantly different if estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. These are classified as level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs.

c) The Company's borrowings have been contracted at floating rate of interest, which resets at short intervals. Accordingly, the carrying value of such borrowings (including interest accrued but not due) approximates fair value.

There are no significant unobservable inputs used in the fair value measurement.

Fair value hierarchy

All financial instrument for which fair value is recognised or disclosed are categorised 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) prices in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3: Inputs for assets or liabilities that are not based on observable market data (unobservable inputs).

The following table presents the financial instruments measured at fair value, by level within the fair value measurement hierarchy:

Segregation of post-employment benefit plans of gratuity for individuals cannot be ascertained.

Terms and conditions of transactions with related parties:

The transactions with related parties are made on terms equivalent to those that prevail in arm's length transactions. Outstanding balances at the year end are unsecured and interest free and settlement occurs in cash. There have been no guarantees provided or received for any related party receivables or payables.

? 43 Status of Insurance Claim

The fire incidence occurred at factory located at RIICO Industrial Area, Shahjahanpur, Rajasthan on 31 March 2017. The claim was lodged with Insurance Company for ?1,631 Lakhs out of which ?1,065 Lakhs was on account of stock. The company has filed appeal before the National Consumer Forum for the differential amount and Interest on delayed payment as well. Protocol insurance surveyors and loss assessors Private Limited has submitted insurance claim to the Insurance company and the claimed approved ? 614.98 Lakhs against stock and ? 319.33 against Plant & Machinery.

The Division officer (DO) of Oriental Insurance Company has approved the report submitted by surveyor without any modifications. Further, Division Officer has submitted their report to regional office for further disbursal of claim, in response to the evidence and Documents submitted the Ad hoc deduction of 10 % of consent amount (? 934.31 Lakhs) was made by the OIC. On 20 September 2019 the OIC had paid ? 837.60 Lakhs as settlement of claim. Aggrieved by the receipt of claim the company has filed appeal before the National Consumer court. The National Consumer court has approved the claim of ? 1,287.70 Lakhs on 30 April 2024 and same was received by the company. In nutshell the company has received ? 2,125.30 Lakhs including interest on delay payment from the date of acceptance of claim to the date of payment.

? 44 Financial risk management objectives and policies

The Company's principal financial liabilities comprise borrowings, trade payables etc. The main purpose of these financial liabilities is to manage finances for the Company's operations. The Company's principal financial assets include trade and other receivables, cash and cash equivalents, security deposits, etc. that derive directly from its operations.

The Company is exposed to market risk (interest rate risk), credit risk and liquidity risk. The Company's senior management oversees the management of these risks. The senior professionals working to manage the financial risks and the appropriate financial risk governance frame work for the Company are accountable to the Board Audit Committee. This process provides assurance to the Company's senior management that the Company's financial risk-taking activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with Company's policies and Company's risk appetite. All derivative activities for risk management purposes are carried out by specialist teams that have the appropriate skills, experience and supervision. It is the Company's policy that no trading in derivatives for speculative purposes shall be undertaken. The Board of Directors reviews and agrees policies for managing each of these risks which are summarised below:

Market Risk - Interest rate risk

Interest rate risk is the risk that the future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company's exposure to the risk of changes in market interest rates related primarily to the Company's borrowings with floating interest rates.

Exposure to interest rate risks

The Company's interest rate risk arises majorly from the borrowings carrying floating rate of interest. These obligations exposes the Company to cash flow interest rate risk. The exposure of the Company's borrowing to interest rate changes as reported to the management at the end of the reporting period are as follows:

? 46 Information on Segment Reporting pursuant to Ind AS 108 - Operating Segments Operating segments:

Infra & Energy

Chemical, Polymers & Special Additives Real Estate

Identification of segments:

The chief operational decision maker monitors the operating results of its business segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit and loss of the segment and is measured consistently with profit or loss in these financial statements. Operating segments have been identified on the basis of the nature of products & services.

Segment revenue and results

The expenses and income which are not directly attributable to any business segment are shown as unallocable expenditure (net of unallocable income).

The measurement principles of segments are consistent with those used in preparation of these financial statements. There are no inter-segment transfers.

3 Segment capital employed

The assets and liabilities of the Company are used interchangeably amongst segments. Allocation of such assets and liabilities is not practicable and any forced allocation would not result in any meaningful segregation. Hence, assets and liabilities have not been identified to any of the reportable segments.

4 Major customers

For the year ended 31 March 2024, revenue from two customers of the Infra & Energy Segment represented approximately ? 5,640.54 Lakhs and ? 1,569.67 Lakhs of the total revenue

For the year ended 31 March 2023, revenue from two customers of the Infra & Energy Segment represented approximately ? 10,661.19 Lakhs and ? 12,906.86 Lakhs of the total revenue

Segment revenue, results, assets and liabilities include the respective amounts identifiable to each of the segments and amounts allocated on a reasonable basis.

5 During the year, the company has expand its real estate division at a bigger scale. Adding to the real estate business, company has collaborated with other real estate groups and entered into several joint development agreements.The company made investment in such projects worth ?19,950 Lakhs as per their part contribution till 31 March 2024. The projects income is not yet accrued to the company as all the projects are at initial stages. (Refer note no. 4 for detail)

? 47 Trade receivables

The Company has established a credit policy under which each new customer is analysed individually for creditworthiness before the payment and delivery terms and conditions are offered. The Company's review includes external ratings, if they are available, financial statements, credit agency information, industry information and business intelligence. Sale limits are established for each customer and reviewed annually. Any sales exceeding those limits require approval from the appropriate authority as per policy. In monitoring customer credit risk, customers are grouped according to their credit characteristics, including whether they are an individual or a legal entity, whether they are a institutional, dealers or end-user customer, their geographic location, industry, trade history with the Company and existence of previous financial difficulties.

"Impairment of financial assets:

All financial assets except for those at FVTPL are subject to review for impairment at least at each reporting date to identify whether there is any objective evidence that a financial asset or a company of financial assets is impaired. Different criteria to determine impairment are applied for each category of financial assets. In accordance with Ind-AS 109, the company applies expected credit loss (ECL) model for measurement and recognition of impairment loss for financial assets carried at amortised cost. ECL is the weighted average of difference between all contractual cash flows that are due to the company in accordance with the contract and all the cash flows that the company expects to receive, discounted at the original effective interest rate, with the respective risks of default occurring as the weights. When estimating the cash flows, the company is required to consider -

- All contractual terms of the financial assets (including prepayment and extension) over the expected life of the assets.

- Cash flows from the sale of collateral held or other credit enhancements that are integral to the contractual terms.

- To measure the expected credit losses, trade receivables have been grouped based on shared credit risk characteristics and the days past due. The expected credit loss provision for trade receivables is determined as follows:"

Liquidity risk

Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses. The Company's objective is to, at all times maintain optimum levels of liquidity to meet its cash and collateral requirements. The Company principal sources of liquidity are cash and cash equivalents and the cash flow generated from operations. The Company closely monitors its liquidity position and deploys a robust cash management system.

The table below summarizes the maturity profile of the Company's financial liabilities based on contractual undiscounted payments:

Capital includes equity attributable to the equity holders of the parent. The primary objective of the Company's capital management is to ensure that it maintains a strong credit rating and healthy capital ratios in order to support its business and maximize shareholder value.

The Company manages its capital structure and makes adjustments to it, in light of changes in economic conditions. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares. No major changes were made in the objectives, policies or processes for managing capital during the year ended 31 March 2024 and 31 March 2023.

The Company's capital consists of equity attributable to equity holders that includes equity share capital, retained earnings and borrowings.

? 48 Regrouping/ Reclassification

Cretain reclassification have been to the comparitive period Financial statements to enhance comparability with the current financial year financial statements & enhance compliance with guidance note on the Division-II- Ind AS Shedule III to the companies Act, 2013.

As a result, cretain line items, comparative figures of 31 March 2023, have been reclassified in the balance sheet as at 31 March 2024 the details of which are as under:

? 50 Other Statutory Informations

a) All the immovable properties held by the company are in the name of the company (where the company is the lessee and the lease arrangements are duly executed in favour of lessee) as on the balance sheet date except the following :

There is one property of the company located in Jammu state, which is held in the state of Sigma Plastic Industries. The Said Firm was the taken over by the company in the earlier years. The title of the said property could not be transferred in company's name due to some pending procedural conditions and formalities.

b) The Company does not have any "Benami Property", where any proceeding has been initiated pending against the Company for holding any "Benami Property".

c) The Company has not advanced any loan or advances in the nature of loan to specified persons viz. Promoters, Directors, KMP and Related Parties which are repayable on demand or where the agreement document not specifies any terms or period of repayment.

d) The Company has not been declared as a wilful defaulter by any lender who has the power to declare a Company as a wilful defaulter at any time during the financial year or after the end of the reporting period but before the date when the financial statements are approved.

e) The Company has utilized funds raised from the issue of securities or borrowings from banks & financial institutions for the specific purposes, for which they were issued/taken.

f) 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 intermediatory shall: -

i) 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

ii) Provide any guarantees, securities or the like or on behalf of the ultimate beneficiaries

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

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

ii) Provide any guarantees, securities or the like or on behalf of the ultimate beneficiaries

h) There are no transactions and/or balances outstanding with companies struck off under section 248 of the Companies Act'2013.

i) The Company does not have any transaction which is not recorded in the books of accounts but has been surrendered or disclosed as income during the year in the tax assessment under the Income Tax Act, 1961.

j) The Company has not traded or invested in cryptocurrency or virtual currency during the financial year.

k) The Company does not have any charges or satisfaction of charges which is yet to be registered with the registrar of companies (ROC) beyond the satisfactory period.

l) The company has borrowings from banks and accordingly company has submitted monthly stock statements with respective Financial Institutions. Details of security of current assets filed by the Company with banks & their difference is as per table annexued below:

Note: The company has availed drawing power against working capital of the company as per working capital limit sanctioned under consortium finance by Punjab National Bank. Further there is no material discrepancies have been reported while submitting monthly drawing power statement to the lead bank. The company has not availed any excess DP during the year as the sanctioned limit is lower than company's DP eligibility as per stock statement submitted to bank and as per books of accounts for every month or quarter so the above discrepancies is irrelevant.

1

In pursuance of its planning to enter into Green-Enviro-friendly Infrastructure Development Projects, the company has entered into collobolartion agreement with real estate companies and induced funds of ? 19,950 Lakhs on account of its part contribution. The said funds contribution has been shown as Investments in Note 4 in the Balance Sheet. The estimated cost of project in certain cases is yet to be ascertained after conducting comprehensive assessments and feasibility studies to establish a precise project cost and accordingly remaining contribution of the company shall be decided at appropriate stages in the project development as required from time to time.