Notes to Accounts of Indo Amines Ltd.

Mar 31, 2023

NOTE 16.1 - LONG TERM BORROWINGS - NATURE OF SECURITY & TERMS OF REPAYMENT

Loan from banks carry interest ranging from 2.9% to 12.45% p.a. and are secured by way of hypothecation of Plant & Machinery & Equitable Registered Mortgage on some of the company''s immovable property and personal guarantees of promoter Directors.

Default in terms of repayment of principle and interest-NIL

The Company has used the borrowings taken from banks and financial institution for the specific purposes for which they were taken as at the balance sheet date

The Company has registered all the required charges with Registrar of Companies within the statutory period.

Company has made no default in making repayment of borrowings

The major term loan has been availed for financing of Dhule and Badlapur plant.

The term loan is secured by pari passu charge on the land & building and hypothecation of all the present & future immovable fixed assets and intangible assets pertaining to Dhule and Badlapur plant

NOTE 33 : NOTE ON MICRO SMALL OR MEDIUM ENTERPRISES

(a) the principal amount and the interest due thereon remaining unpaid to any supplier at the end of each accounting year. 247.19 lakh ( Previous Yr 281.60 Lakh )

(b) the amount of interest paid by the buyer in terms of section 16 of the Micro, Small and Medium Enterprises Development Act, 2006 (27 of 2006), along with the amount of the payment made to the supplier beyond the appointed day during each accounting year; NIL ( Previous Year NIL)

(c) the amount of interest due and payable for the period of delay in making payment (which has been paid but beyond the appointed day during the year) but without adding the interest specified under the Micro, Small and Medium Enterprises Development Act, 2006; NIL (Previous year NIL)

(d) the amount of interest accrued and remaining unpaid at the end of each accounting year:NIL (Previous Year NIL)

(e) the amount of further interest remaining due and payable even in the succeeding years, until such date when the interest dues above are actually paid to the small enterprise, for the purpose of disallowance of a deductible expenditure under section 23 of the Micro, Small and Medium Enterprises Development Act, 2006.NIL ( Previous Year NIL)

The above table represent total exposure of the company towards foreign exchange denominated liabilities (Net) the companies policy is to hedge its exposure above pre defined threseholds from recognised liabilities and firm commitment. The company does not enter into any derivative instrument for trading or speculation purposes.

The company is mainly exposed to changes in USD.The below table demonstrates the sensitivity to a 5% increase or decrease in the USD against INR with all other variables held constant. The sensitivity anylisis ie prepared on the net unhedged exposure of the company as at the reporting date. 5% represents management''s assessments of reasonably possible change in foreign exchange rate.

NOTE 43:- A. EMPLOYEE BENEFITS AS PER IND AS 19:-

The Company has classified various employee benefits as under

a) Provident Fundb) Defined Contribution Plans

The Provident Fund and the State Defined Contribution Plans are operated by the Regional Provident Fund Commissioner.Under the schemes, the Company is required to contribute a specified percentage of payroll cost to the retirement benefit schemes to fund the benefits. These funds are recognised by the Income Tax Authorities.

c) Defined benefit gratuity plan (Funded)

The Company has defined benefit gratuity plan for its employees, which requires contributions to be made to a separately administered fund. It is governed by the Payment of Gratuity Act, 1972. Under the Act, employee who has completed five years of service is entitled to specific benefit. The level of benefits provided depends on the member''s length of service and salary at retirement age. Such Gratuity Fund is administered by the LIC of India.

Aforesaid post-employment benefit plans typically expose the Company to actuarial risks such as: investment risk,interest rate risk, longevity risk and salary risk.

A. Investment Risk: These Plans invest in long term debt instruments such as Government securities and highly rated corporate bonds. The valuation of which is inversely proportionate to the interest rate movements. There is risk of volatility in asset values due to market fluctuations and impairment of assets due to credit losses.

B. Interest Risk : The present value of the defined benefit liability is calculated using a discount rate which is determined by reference to market yields at the end of the reporting period on Government securities. A decrease in yields will increase the fund liabilities and vice-versa.

C. Salary Escalation Rate: The present value of the defined benefit liability is calculated by reference to the future salaries of plan participants. As such, an increase in salary of the plan participants will increase the plan''s liability.

D. Longevity Risk: The present value of the defined benefit liability is calculated by reference to the best estimate of the mortality of plan participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the plan''s liability.

Quarterly statements of current assets filed by the company with banks are in agreement with the books of accounts.

x) Company is not declared wilful defaulter by any bank or financial institution or other lender.

xi) Company has no transactions with companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

xii) No charge or satisfaction of charge is yet to be registered with ROC beyond the statutory period.

Note:

1) Earning for Debts Service : Net profit after tax Non cash operating Expenses lioke Depreciation interest /- Other adjustment like Profit /(loss) on sales of asset.

2) Debt Service: Interest Payment Principle Payments.

3) Working Capital : Current Asset -Current Liabilities.

4) Capital Employed : Tangible Networth Total Debts Deferred Tax Liabilities.

xv) No scheme of Arrangements has been approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013 during financial year 2022-23

(xvi) Utilisation of Borrowed funds and share premium

a) Company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise) that the Intermediary 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 guarantee, security or the like to or on behalf of the Ultimate Beneficiaries;

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

NOTE 51:

The Board has approved revised draft scheme of Amalgamation of M/s Pious Engineering Private Limited with the company at its meeting held on April 3, 2023, considering appointed date of Amalgamation as January 1 2023. The scheme will be implemented after a sanction by National Company Law Tribunal (NCLT).

NOTE 52:

Capital commitments (Net of Advances) Rs 206.81 lakhs. (P Yr. 158.64 lakhs)

NOTE 53:

Previous years figures are regrouped/rearranged wherever necessary, to conform to the layout of accounts of current year.

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Mar 31, 2018

NOTE 1 - CORPORATE INFORMATION

Indo Amines Limited ( the Company) is public limited Company domiciled and incorporated in India under the Indian Companies Act,1913. The registered office of the Company is located at, W-44, Phase II, MIDC, Dombivali (E), Dist. Thane - 421204.

The Company is engaged in the Business of manufacturing, selling and distribution of Specialty Chemical with diversified end-user into Agrochemicals, Pharmaceuticals, High performance Polymers, Paints, Pigments, Printing Inks, Rubber Chemicals etc.

The company is a Public Limited Company domiciled in India and is incorporated under the provisions of Companies Act and its shares are listed on recognized stock exchanges of India.

The Standalone financial statements for the year ended 31st March 2018 are authorized and approved for the issue by the Board of Directors.

NOTE : 2 -A - TERMS/RIGHTS/RESTRICTIONS

The company has only one class of equity shares having par value of RS. 10/- per share. Each holder of equity share is entitled to one vote per share.

The company declares and pays dividend in Indian rupees. The dividend proposed by Board of directors, if any is subject to the approval of shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

NOTE 3.1 - LONG TERM BORROWINGS - NATURE OF SECURITY & TERMS OF REPAYMENT

The Term Loan are secured against the hypothecation of specific Plant & Machinery & Equitable register Mortgage on same of the company’s immovable property and personal guarantees of promoter Directors.

1 Term Loan from DNS Bank - RS. 60.00 Lakhs (outstanding is NIL (RY. 5.97 Lakhs) was taken in Financial Year 2010-11 and carries interest @ 11.00% p.a. The loan is repayable in 84 monthly installments of RS. 1.16 Lakhs

2 Term Loan from DNS Bank - V 24.00 Lakhs (outstanding is NIL (PY. 2.27 Lakhs) was taken in Financial Year 2010-11 and carries interest @ 11.00% p.a. The loan is repayable in 84 monthly installments of RS. 0.44 Lakhs after Moratorium period of 3 months

3 Term Loan from DNS Bank - RS. 148.00 Lakhs (outstanding is NIL (PY. 27.28 Lakhs) was taken in Financial Year 2014-15 and carries interest @ 11.00% p.a. The loan is repayable in 36 monthly installments of RS. 5.01 Lakhs after Moratorium period of 6 months

4 Term Loan from DNS Bank - RS. 320.00 Lakhs (outstanding RS. 158.81 Lakhs (PY. 113.77 Lakhs) was taken in Financial Year 2015-16 and carries interest @ 9.00% p.a. The loan is repayable in 48 monthly installments of RS. 9.90 Lakhs including Moratorium period of 9 months

5 Term Loan from DNS Bank - RS. 90.00 Lakhs (outstanding RS. 78.19 Lakhs (PY. 90.81 Lakhs) was taken in Financial Year 2016-17 and carries interest @ 9.00% p.a. The loan is repayable in 60 monthly installments of RS. 1.96 Lakhs including Moratorium period of 9 months

6 Term Loan from DNS Bank - RS. 400.00 Lakhs (outstanding V 288.20 Lakhs (PY. 402.75 Lakhs) was taken in Financial Year 2016-17 and carries interest @ 9.00% p.a. The loan is repayable in 48 monthly installments of RS. 11.84 Lakhs including Moratorium period of 6 months

7 Term Loan from DNS Bank - V 255.00 Lakhs (outstanding V 239.10 Lakhs (PY. 149.70 Lakhs) was taken in Financial Year 201617 and carries interest @ 9.00% p.a. The loan is repayable in 60 monthly installments of RS. 5.55 Lakhs after Moratorium period of 9 months

8 Term Loan from DNS Bank - RS. 315.00 Lakhs (outstanding RS. 168.48 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 9.00% p.a. The loan is repayable in 60 monthly installments of RS. 6.85 Lakhs after Moratorium period of 9 months

9 Term Loan from DNS Bank - V 250.00 Lakhs (outstanding RS. 155.04 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 9.00% p.a. The loan is repayable in 60 monthly installments of RS. 5.43 Lakhs after Moratorium period of 9 months

10 Term Loan from DNS Bank - RS. 188.00 Lakhs (outstanding RS. 188.00 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 9.00% p.a. The loan is repayable in 60 monthly installments of RS. 3.90 Lakhs after Moratorium period of NIL months

11 Term Loan from RBL Bank - V 293.14 Lakhs (outstanding RS. 175.89 Lakhs (PY. 234.51 Lakhs) was taken in Financial Year 201516 and carries interest @ 10.85% p.a. The loan is repayable in 60 installments. RS. 4.88 Lakhs paid against principal amount in every month.

12 Term Loan from RBL Bank - RS. 446.25 Lakhs (outstanding V 297.50 Lakhs (PY. 371.87 Lakhs) was taken in Financial Year 201516 and carries interest @ 10.85% p.a. The loan is repayable in 72 installments. RS. 6.19 Lakhs paid against principal amount in every month.

13 Term Loan from RBL Bank - RS. 150.00 Lakhs (outstanding RS. 87.50 Lakhs (PY. 137.49) was taken in Financial Year 2016-17 and carries interest @ 10.75% p.a. The loan is repayable in 36 monthly installments of RS. 4.89 Lakhs

14 Term Loan from SVC Bank - V 277.50 Lakhs (outstanding RS. 101.40 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 9.00% p.a. The loan is repayable in 78 monthly installments of RS. 4.81 Lakhs after Moratorium period of 6 months

15 Term Loan from YES Bank - V 222.49 Lakhs (outstanding V 222.49 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 4.61 Lakhs after Moratorium period of 8 months

16 Term Loan from YES Bank - RS. 17.70 Lakhs (outstanding Rs17.70 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 0.36 Lakhs after Moratorium period of 8 months

17 Term Loan from YES Bank - RS. 34.55 Lakhs (outstanding RS. 34.55 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 0.71 Lakhs after Moratorium period of 8 months

18 Term Loan from YES Bank - RS. 31.96 Lakhs (outstanding RS. 31.96 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 0.66 Lakhs after Moratorium period of 8 months

19 Term Loan from YES Bank - RS. 12.63 Lakhs (outstanding RS. 12.63 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 0.26 Lakhs after Moratorium period of 8 months

20 Term Loan from YES Bank - V 21.33 Lakhs (outstanding V 21.33 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 0.44 Lakhs after Moratorium period of 8 months

21 Term Loan from YES Bank - RS. 50.15 Lakhs (outstanding RS. 50.15 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 1.03 Lakhs after Moratorium period of 8 months

22 Term Loan from YES Bank - RS. 40.68 Lakhs (outstanding RS. 40.68 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 8.95% p.a. The loan is repayable in 60 monthly installments of RS. 0.84 Lakhs after Moratorium period of 8 months

23 Term Loan from YES Bank - V 213.56 Lakhs (outstanding RS. 196.87 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 9.20% p.a. The loan is repayable in 71 monthly installments of RS. 3.33 Lakhs after Moratorium period of 0 months

24 Term Loan from YES Bank - RS. 64.70 Lakhs (outstanding RS. 53.15 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 9.20% p.a. The loan is repayable in 36 monthly installments of V 2.31 Lakhs after Moratorium period of 0 months

25 Term Loan from YES Bank - RS. 14.88 Lakhs (outstanding RS. 8.68 Lakhs (PY. NIL) was taken in Financial Year 2017-18 and carries interest @ 9.20% p.a. The loan is repayable in 12 monthly installments of RS. 1.23 Lakhs after Moratorium period of 0 months

26 Term Loan from RBL Bank - RS. 125.00 Lakhs (outstanding RS.35.23 (PY. 43.36) was taken in Financial Year 2016-17 and carries interest @ 10.75% p.a. The loan is repayable in 48 monthly installments of RS. 0.90Lakhs

27 The Term Loan CBI Bank - RS.140.00 Lakhs ( Outstanding NIL ( PY. 88.49) was taken in the Scheme of Amalgamation during the Financial Year 2016-17 and carries Interest @ 12.50% p.a.

28 The Term Loan Laxmi Villas Bank - RS.250.00 Lakhs ( Outstanding NIL ( PY. 233.49) was taken in the Scheme of Amalgamation during the Financial Year 2016-17 and carries Interest @ 13% p.a.

Note: In Accordance with the requirement of Ind AS, revenue for the period April 1, 2017 to June 30, 2017 is inclusive of excise duty of RS. 355.32 lakh and revenue for the period July 1, 2017 to March 31, 2018 is net of Goods and Service Tax (‘GST’). However, revenue for the year ended March 31, 2017 is inclusive of excise duty of 1554.87 Lakhs.

NOTE 4 : NOTE ON MICRO SMALL OR MEDIUM ENTERPRISES

(a) The amount remaining unpaid to any supplier at the end of each accounting year; Principal amount due to Micro & Small enterprises NIL lakh ( P Yr RS. 18.25 lakh )

(b) The amount of interest paid by the buyer in terms of section 16 of the Micro, Small and Medium Enterprises Development Act, 2006, along with the amount of the payment made to the supplier beyond the appointed day during each accounting year; NIL ( Previous Year NIL)

(c) The amount of interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified under the Micro, Small and Medium Enterprises Development Act, 2006, nIl (Previous year NIL)

(d) The amount of interest accrued and remaining unpaid at the end of each accounting year;

(e) The amount of further interest remaining due and payable even in the succeeding years, until such date when the interest dues above are actually paid to the small enterprise, for the purpose of disallowance of a deductible expenditure under section 23 of the Micro, Small and Medium Enterprises Development Act, 2006.NIL ( Previous Year NIL)

The above information is provided based on the information available as per company records.

NOTE 5 : BORROWING COST (IND AS 23)_

Borrowing cost directly attributable to the acquisition /construction of a qualifying asset are capitalized as part of the cost of asset during the period is RS.12.82 lakhs ( P Yr RS. 30.57 lakhs)

NOTE 6 : SEGMENT REPORT.

SEGMENT REPORTING - 2017-18

(A) SEGMENTWISE DETAILS (PRIMARY)

A) The company is primarily operating in only one business (i.e. manufacturing of chemicals) as well as one geographical segment, hence no Primary segment reporting has been made.

NOTE 7 : INTANGIBLE ASSETS

During the year the Company acquired assets along with business of M/s Shree Sai industries located at K-33 MIDC Tarapur Kolawada Naka MIDC Tarapur-401506. Our Company paid RS. 101 lakhs towards Goodwill.

NOTE 8 : AMALGAMATION

During the year, the Hon’ble National Company Law Tribunal, Mumbai Bench vides Order dated 29th November, 2017 has approved a scheme of Amalgamation of the Classic Oil Limited (wholly owned subsidiary of the Company) and Sigma Solvents Private Limited with the Company.

The standalone financial results for the current year include the operations of the merged undertaking. The figures for the previous year ended March 31, 2017 have been restated accordingly to incorporate the impact of the Scheme of Amalgamation in accordance with the requirements of the Ind AS 103.

NOTE 9 :

Capital commitments (Net of Advances) RS. 643.31 lakhs. (P Yr. 270.81 lakhs)

NOTE 10 :

Previous years figures are regrouped/rearranged wherever necessary, to conform to the layout of accounts of current year.

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Mar 31, 2016

Contingent Assets are neither recognized nor disclosed in the financial statement N. Earnings Per Share

Basic and diluted earnings per share are computed in accordance with Accounting Standard - 20.

Basic earnings per share is calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period

Diluted earnings per share is calculated as follows:-

The net profit attributable to equity shareholders and the weighted average of number of shares outstanding are adjusted for the effect of all dilutive potential equity shares from the exercise of options on unissued share capital. The number of equity shares is the aggregate of the weighted average number of equity shares and the weighted average number of equity shares which would be issued on the conversion of all the dilutive potential equity shares into equity shares

Note 1 : Note on Micro Small or Medium Enterprises

(a) The principal amount and the interest due thereon (to be shown separately) remaining unpaid to any supplier at the end of each accounting year; Principal amount due to Micro & Small enterprises RS, 26.49 lac ( P Yr RS, 46.76 Lacs)

(b) The amount of interest paid by the buyer in terms of section 16 of the Micro, Small and Medium Enterprises Development Act, 2006, along with the amount of the payment made to the supplier beyond the appointed day during each accounting year;---NIL

(c) The amount of interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified under the Micro, Small and Medium Enterprises Development Act, 2006---NIL

(d) The amount of interest accrued and remaining unpaid at the end of each accounting year; --- NIL

(e) The amount of further interest remaining due and payable even in the succeeding years, until such date when the interest dues above are actually paid to the small enterprise, for the purpose of disallowance of a deductible expenditure under section 23 of the Micro, Small and Medium Enterprises Development Act, 2006.---NIL

Note 2 : Borrowing Cost:

Borrowing cost directly attributable to the acquisition /construction of a qualifying asset are capitalized as part of the cost of asset during the period of RS, NIL ( P Yr. RS, 7.55 lac)

Note 3 : Segment Report.

SEGMENT REPORTING - 2015-16 (A) SEGMENTWISE DETAILS (PRIMARY)

A) The company is primarily operating in only one business (i.e. manufacturing of chemicals) as well as one geographical segment, hence no Primary segment reporting has been made.

Note 4 : Previous year’s figures are regrouped/rearranged wherever necessary, to conform to the layout of accounts of current year.

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Mar 31, 2015

Note 1 : Preferential Convertible Warrants :

Pursuant to ordinary resolution passed and after the approval of the Bombay Stock Exchange , dated 05/02/2013, the Board had allotted 43,00,000 warrants on 09/02/2013 on preferential basis to entities in the promoter group. As per the terms of the said issue the Board has allotted 11,25,000 & 22,75,000 equity shares against the convertible warrants on 26/03/2013 & 08/02/2014 respectively. During the year, the company has received Rs 1,14,75,000/- towards balance 9,00,000 warrants pending for conversion @ of Rs.12.75/-. The said warrants were converted into equity on 09/08/2014 & thus the paid-up capital of the Company increased by Rs. 90,00,000/- Further 22,75,000 & 9,00,000 warrants were also entitled for bonus in the ratio 1:1, pursuant to ordinary resolution passed in the Annual General Meeting held on 5/09/2013.Accordingly even number of Bonus Equity shares were allotted on conversion of 22,75,000 & 9,00,000 convertible warrants.

Note 2: Fire insurance claim

The company had recognized insurance claim receivable of Rs. 357.56 lacs during the FY 2013-14 towards loss of stock, fixed assets & expenses at company's Dhule plant. The insurance company has settled the claim for Rs. 314.77 lacs. Hence the difference of Rs. 42.79 lacs is charged to P/L A/c under the head loss due to fire during FY 2014-15. The additional claim for Rs. 15.73 lac made by the company is also considered in the final settlement of Rs. 314.77 lac by the insurance company. The company has not made any additional claim other than the two claims mentioned hereinabove. The Company is still in the of process of filing claim for Loss of Profit.

Note 3:- Borrowing Cost ( AS16)

Borrowing cost directly attributable to the acquisition /construction of a qualifying asset are capitalised as part of the cost of asset during the period. Borrowing cost of Rs. 7.55 lac was captipalised ( P. Yr.Rs 69.29 lac).

The estimate of future salary increases considered in actuarial valuation takes into account general trend in inflation, promotion, and other relevant factors such as supply and demand factors in the employment market

The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held and historical results of the return on the plan assets.

Note 4 : Segment Report.

SEGMENT REPORTING - 2014-15

( A ) SEGMENTWISE DETAILS (PRIMARY)

A)The company is primarily operating in only one business (i.e. manufacturing of chemicals) as well as one geographical segment , hence no Primary segment reporting has been made.

Note 5: Due to inadequacy of profits, the company has paid managerial remuneration in accordance with the Schedule V of the Companies Act,2013. But the amount of such managerial remuneration to the extent of Rs 18.09 lacs is subject to shareholder's approval by way of special resolution in ensuing Annual General Meeting.

Note 6 : Previous years figures are regrouped/rearranged wherever necessary, to conform to the layout of accounts of current year.

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Mar 31, 2014

Note 1 : Preferential Convertible Warrants :

Pursuant to the approval dated 05/02/2013 of the Bombay Stock Exchange, as per terms of approval of shareholders of the company vide A.G.M held on 09/02/2013 and as per the applicable provisions including

Securities and Exchange Board of India ( Discloure and Investor Protection) Guidelines,2000, the company had allotted 43,00,000 warrants on 09/02/2013 on preferential basis to entities in the promoter group. As per the terms of the said issue, the warrant holders have a right to apply for equity shares of the company at a price of Rs 17/- each, within a period of 18 months from the date of allotment. The company has allotted 11,25,000 equity shares against the warrants during the F. Yr 12-13. During the year, the company has received Rs 2,90,06,250/- as under:

1) 22,75,000 warrants @ Rs12.75/-each

The company has allotted 22,75,000 equity shares of Rs 10/- each on 03/09/2013 against 22,75,000 warrants. Consequently,equityshare capitalofthecompany has increasedbyRs2,27,50,000/-,SharePremium Reservehas increased by Rs 1,59,25,000/- and the amount of Rs 38,25,000 /- against 9,00,000 share warrants has been shown under "Share Application money pending allotment".

Note 2 : Fire insurance claim

During the year fire broke out atCompany''s Dhule Plant on 27th July 2013.Subsequently,company lodged fire insurance claim of Rs 357.56 lacs with insurance Company .

i) Company is still in the process of filing additional claims for expenses and Loss of Profit. Insurance company hasalready paid Ad-hoc sum of Rs75.00 lacs andthe balance is awaited..

ii) The company has adjusted the Addition to Fixed assets of Rs 224.85 lacs agaist claim receivable from the Insurance company.

iii) The additional claim of Rs 15.73 lacs has been made. However, the claim for loss of profit is yet to be ascertained.

iv) The balance W.D.V of the assets lost due to fire has been adjusted against accumulated reserves of the Company.

Note3:Notes on Micro Small or Medium Enterprises

In the absence of necessary information in relation to the suppliers registered as Micro or Small enterprises under the Micro, Small and Medium Enterprises (Development) Act, 2006, the company is not able to identify such suppliers and the informationrequired under thesaidAct could not be compiled anddisclosed.

Note 4 :- BorrowingCost ( AS16)

Borrowing cost directly attributable to the acquisition /construction of a qualifing asset & capitalised as part ofthe cost of assetduringthe period isRs of Rs 69.29lac ( P. Yr.Rs 32.98 lac).

Note 5 : Contingent Liabilities: & Commitment Rs. In Lacs

A Contingent Liability 2013-2014 2012-2013

a) Bank Guarantee with IDBI 42.37 109.90

b) Letter of Credit with IDBI for Import Bills 125.57 902.93

c) Letter of Credit with IDBI for Local Bills 138.52 135.64

d) Income Tax Appeal A. Y 2010-11 85.43 0

e) Income Tax Appeal A. Y 2011-12 55.70 0

f) Income Tax Appeal - Penalty A. Y 2009-10 M/s. Indo Amines Ltd. 58.79 0

g) Appeal under Central Sales Tax- M/s Flame Pharma For the F. Y. 2002-03 4.16 4.16

h) Income Tax - Reopen Assessment - A. Y 2009-10 M/s. Versatile Chemicals Ltd. 7.00 0

i) Order – in – appeal F. No. V/ST/DN-V (BEL) Dt. 20.04.12 Non payment of service tax on BIS for 2006 -2012 70.33 70.33

j) Order – in – appeal no. PKS/10/BEL/2011, Dt. 28.04.11 non reversal of cenvat credit/remission or loss of goods in flood 2005- Rabale Location 6.45 6.45

k) Show cause notice dt. 10/10/2012 regarding Service Tax on Commission 15.58 15.58

l) Case No. WP/8536/2012 - Versatile Chemicals Ltd. - Non Encroachment case before the MIDC 11.88 11.88

The estimate of future salary increases considered in actuarial valuation takes into account general trend in inflation,promotion, and other relevant factors such as supply anddemand factors in the employmentmarket The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held andhistorical results of the return on the planassets

Since the company is complying the AS-15 thro Actuarial Certificatet for the first time,the additional expenses on account of gratuity has beendebitedto Profit & Loss a/c to theextent of Rs 47.68Lac

Note6:Segment Report.

SEGMENT REPORTING-2013-2014

( A ) The Company has identified four major Geographical Segments as requiredby Accounting Standard - 17 ''Segment Reporting'' andon thebasis ofwhich theCompany reports internally.

These segments are:

1) Dombivli Unit - Manufacturingof Chemicalslike Organic Chemicals,&Speciality Chemicals.

2) Baroda Unit - Manufacturingof Chemicalslike FattyAmines, Quarternary Ammonium Compoundsetc.

3) Rabale Unit - Manufacturing of Bulk Drugs& Intermediates forpharmaceutical companies.

4) Dhule Unit - Manufacturing of Fatty Acids.

Note 7 : Previous years figures are regrouped/rearranged wherever necessary, to confirm to the layout of accounts of current year.

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Mar 31, 2013

Note 1 : Preferential Convertible Warrants :

Pursuant to the approval dated 05/02/2013 of the Bombay Stock Exchange, as per terms of approval of shareholders of the company vide A.G.M held on 09/02/2013 and as per the applicable provisions including Securities and Exchange Board of India ( Discloure and Investor Protection) Guidelines,2000, the company had allotted 43,00,000 warrants on 09/02/2013 on preferential basis to entities in the promoter group. As per the terms of the said issue, the warrant holders have a right to apply for equity shares of the company at a price of Rs 17/- each, within a period of 18 months from the date of allotment. During the year, the company has received Rs 3,26,18,750/- as under:

1) Rs 1,91,25,000/-against 11,25,000 warrants @ Rs 17/-each and

2) Rs 1,34,93,750/- against 33,75,000 warrants(application amount)

The company has allotted 11,25,000 equity shares of Rs 10/- each on 09/03/2013 against 11,25,000 warrants.Consequently, equity share capital of the company has increased by Rs 1,12,50,000/-, Share Premium Reserve has increased by Rs 78,75,000/- and the amount of Rs 1,34,93,750/- against 33,75,000 share warrants has been shown under "Share Application money pending allotment".

Note 2 .-Notes on Micro Small or Medium Enterprises

In the absence of necessary information in relation to the suppliers registered as Micro or Small enterprises under the Micro, Small and Medium Enterprises (Development) Act, 2006, the company is not able to identify such suppliers and the information required under the said Act could not be compiled and disclosed.

Note 3: Contingent Liabilities:

a) Contingent Liability in respect of Central Sales tax for the financial year 2005-2006 is amounting to Rs. 16.08 lacs ( Prev Year Rs. 16.08 lacs )

b) Contingent Liability in respect of penalty on remission of duty on loss due to flood during the Financial year 2005-06 is amounting to Rs. 2.82 lacs/- ( Prev Year Rs. 2.82 lacs)

c) Contingent Liability in respect of Penalty on non payment of excise Duty on Freight Income is Rs.0.75 lacs (Prev Year Rs.0.75 lacs)

d) Contingent liability in respect of Income Tax Scrutiny Order for tax amount of Rs.85.43 lacs.(Prev year Rs.77.68)

e) Bank Guarantee with IDBI is amounting to Rs 109.90 Lacs. (Previous year Rs. 70.52 Lacs )

f) Letter of Credit with IDBI for Import Bills is amounting to Rs. 902.93 Lacs. (Previous Year Rs.432.70 Lacs)

g) Letter of Credit with IDBI for Local Bills is amounting to Rs. 135.64 Lacs. (Previous Year Rs.392 lacs)

Note 4 : Segment Report.

SEGMENT REPORTING - 2012-2013

(A) The Company has identified four major Geographical Segments as required by Accounting Standard - 17 ''Segment

Reporting'' and on the basis of which the Company reports internally. These segments are:

1) Dombivli Unit-Manufacturing of Chemicals like Organic Chemicals, & Speciality Chemicals.

2) Baroda Unit - Manufacturing of Chemicals like Fatty Amines, Quarternary Ammonium Compounds etc.

3) Rabale Unit - Manufacturing of Bulk Drugs & Intermediates for pharmaceutical companies.

4) Dhule Unit - Manufacturing of Fatty Acids.

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Mar 31, 2010

1. Convertible Warrants:

In terms of the approval of shareholders of the Company and as per the applicable statutory provisions including Securities and Exchange Board of India (Disclosure & Investor Protection) Guidelines 2000, the Company, on 26th March, 2009 has issued and allotted 8,50,000 warrants on preferential basis to entities in the Promoter Group entitling them to apply for equivalent number of fully paid up equity shares of Rs. 10/- each of the Company, at a price of Rs. 12/- per equity share. The warrant holders have a right to apply for equity shares within 18 months from the date of allotment of warrants. Amounts received against the warrants are shown as Convertible Warrants in the Balance Sheet, pending exercise thereof. During the year 417000 equity warrants have been converted into equity shares & premium thereon of Rs. 8,34,000/- is transferred to share premium account.

2. The balances of debtors, creditors, loans & advances are subject to confirmation. Sundry debtors include debts due from companies under same management [u/s 370 (1B)]

3. The Company is in the process of identifying the Micro & Small Units and hence:

a) Interest, if any payable to units covered under Micro, Small and Medium Enterprises Development Act 2006, is not ascertainable, and

b) Amount payable to such Units is not ascertainable.

4. Contingent Liabilities:

a) Contingent Liability in respect of Central Sales tax for the financial year 2005-2006 is amounting to Rs. 16.08 lacs. ( Prev Year Rs. 16.08 lacs )

b) Contingent Liability in respect of Excise Duty for the Financial year 2005-06 is amounting to Rs. 2.82 lacs ( Prev Year Rs. 2.82 lacs )

c) Letter of Credit with SBI for Import Bills is amounting to Rs. 52.70 Lacs. (Previous Year Rs. 255.77 Lacs)

d) Letter of Credit with SBI for Local Bills is amounting to Rs. NIL. (Previous Year Rs. 2.21 Lacs)

e) Bank Guarantees with SBI is amounting to Rs. 6.74 Lacs. (Previous year Rs. 56.99 Lacs)

f) Liability on account of Bills discounted is Rs.NIL/-( Prev year Rs.70.23Lacs )

g) Bank Guarantee with IDBI is amounting to Rs 23.63 Lacs. (Previous year Rs. NIL )

h) Letter of Credit with IDBI for Import Bills is amounting to Rs. 175.71 Lacs. (Previous Year NIL)

i) Letter of Credit with IDBI for Local Bills is amounting to Rs. 19.16 Lacs. (Previous Year NIL)

Note : Licensed and Installed capacity are as certified by Managing Director.

5. Computation of net profits in accordance with section 349 of the Companies act, 1956 and the commission payable to the director:

6. Cashflow statement

We have audited the attached cash flow statement of INDO AMINES LIMITED derived from the audited financial statements, books and records maintained by the Company for the year ended 31st March, 2010 and found the same in agreement therewith.