Notes to Accounts of Atishay Ltd.

Mar 31, 2026

r. Provisions, contingent liabilities and
contingent assets

Provisions are recognised when there is a present
legal or constructive obligation as a result of
past events, and it is probable that an outflow of
resources embodying economic benefits will be
required to settle the obligation and the amount can
be reliably estimated.

Provisions are measured at the present value of
management''s best estimate of the expenditure
required to settle the present obligation at the end
of the reporting period. The discount rate used to
determine the present value is a pre-tax rate that
reflects current market assessments of the time
value of money and the risks specific to the liability.
The increase in the provision due to the passage of
time is recognised as interest expense.

A contingent liability is a possible obligation that
arises from past events whose existence will be
confirmed by the occurrence or non-occurrence of
one or more uncertain future events beyond the
control of the Company or a present obligation that
is not recognized because it is not probable that an
outflow of resources will be required to settle the
obligation or the amount of the obligation cannot be
measured with sufficient reliability. The Company
does not recognize a contingent liability but
discloses its existence in the financial statements.

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 Company. Contingent assets
are not recognized, but its existence is disclosed in
the financial statements.

s. Revenue Recognition

Pursuant to adoption of Ind AS 115, Revenue from
contracts with customers are recognised when
The control over the goods or services promised in
the contract are transferred to the customer. The
amount of revenue recognised depicts the transfer
of promised goods and services to customers for
an amount that reflects the consideration to which
the Company is entitled to in exchange for the
goods and services.

â¢ Sale of services

Arrangements with customers are either on
a fixed-price, fixed-timeframe or on a time-
and-material basis.

Revenue on time-and-material contracts
are recognized as the related services are
performed and revenue from the end of the last
invoicing to the reporting date is recognized
as unbilled revenue. Revenue from fixed-
price, fixed-timeframe contracts, where the
performance obligations are satisfied over
time and where there is no uncertainty as to
measurement or collectability of consideration,
is recognized as per the percentage-of-
completion method. When there is uncertainty
as to measurement or ultimate collectability,
revenue recognition is postponed until such
uncertainty is resolved. Efforts or costs
expended have been used to measure progress
towards completion as there is a direct
relationship between input and productivity.

Revenue in excess of invoicing are classified as
contract assets (which we refer to as unbilled
revenue) while invoicing in excess of revenues
are classified as contract liabilities (which we
refer to as unearned revenues).

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
catch-up 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.

In arrangements for software development and
related services and maintenance services, the
Company has applied the guidance in Ind AS
115, Revenue from Contracts with Customers,
By applying the revenue recognition criteria
for each distinct performance obligation.
The arrangements with customers generally
meet the criteria for considering software
development and related services as distinct
performance obligations. For allocating the
transaction price, the Company has measured
the revenue in respect of each performance
obligation of a contract at its relative standalone
selling price. The price that is regularly charged
for an item when sold separately is the best
evidence of its standalone selling price. In cases
where the Company is unable to determine the
standalone selling price, the Company uses
the expected cost-plus margin approach in
estimating the standalone selling price. For
software development and related services,
the performance obligations are satisfied as
and when the services are rendered since the
customer generally obtains control of the work
as it progresses.

Revenue from licenses where the customer
obtains a âright to useâ the licenses is
recognized at the time the license is made
available to the customer. Revenue from
licenses where the customer obtains a âright
to accessâ is recognized over the access
period. Arrangements to deliver software
products generally have three elements:
license, implementation and Annual Technical
Services (ATS). The Company has applied the
principles under Ind AS 115 to account for
revenues from these performance obligations.
When implementation services are provided
in conjunction with the licensing arrangement
and the license and implementation have
been identified as two separate performance
obligations, the transaction price for such
contracts are allocated to each performance
obligation of the contract based on their relative
standalone selling prices. In the absence of a
standalone selling price for implementation, the
performance obligation is estimated using the
expected cost-plus margin approach. Where
the license is required to be substantially
customized as part of the implementation
service, the entire arrangement fee for

license and implementation is considered to
be a single performance obligation and the
revenue is recognized using the percentage-
of-completion method as the implementation
is performed. Revenue from client training,
support and other services arising due to the
Sale of software products is recognized as the
performance obligations are satisfied. ATS
revenue is recognized ratably over the period
in which the services are rendered.

â¢ Sale of goods

Revenue from sale of goods is recognised
when control of the products has transferred,
being when the products are delivered to
the customers and the customer has full
discretion over the channel and price to sell the
products, and there is no unfulfilled obligation
that could affect the customer''s acceptance
of the products. Delivery occurs when the
products have been shipped to the specific
loca tion, the risks of obsolescen ce a nd l oss
have been transferred to the customer, and
either the customer has accepted the products
in accordance with the sales contract, the
acceptance provisions have lapsed, or the
Company has objective evidence that all criteria
for acceptance have been satisfied. Revenue
from these sales is recognised based on the
price specified in the contract. No element of
financing is deemed present as the sales are
made against the receipt of advance or with an
agreed credit period of normal operating cycle
of the company, which is consistent with the
market practices. A receivable is recognised
when the goods are delivered as this is the point
of time that the consideration is unconditional
because only the passage of time is required
before the payment is due.

The amount recognised as revenue in its
Statement of Profit and Loss is exclusive of
Goods and Service Tax, Service Tax and Value
Added Taxes (VAT), and is net of discounts.

â¢ Dividend and Interest Income

Dividend income from investments is
recognised when the Company''s right to
receive payment has been established.

Interest income from a financial asset is
recognised when it is probable that the
economic benefits will flow to the Company and
the amount of income can be measured reliably.

Interest income is accrued on a time basis, by
reference to the principal outstanding and at
the effective interest rate applicable, which
is the rate that exactly discounts estimated
future cash receipts through the expected
Life of the financial asset to that asset''s net
carrying amount on initial recognition.

â¢ Rental income

Rental income arising from operating lease on
investment properties is accounted for on a
straight-line basis over the lease term and is
included in revenue in the Statement of Profit
and Loss due to its operating nature.

â¢ Profit /(loss) on sale of investment

Profit /(loss) on sale of investment is accounted
for when the sale is executed. On disposal of
such investments, the difference between the
carrying amount and the disposal proceeds,
net of expenses, is recognised in the statement
of profit and loss.

t. Employee Benefits

â¢ Short term employee benefits

All employee benefits payable wholly within
twelve months of rendering the service are
classified as short-term employee benefits
and they are recognized in the period in which
the employee renders the related service.
The Company recognizes the undiscounted
amount of short-term employee benefits
expected to be paid in exchange for services
rendered as a liability after deducting any
amount already paid.

â¢ Long term employee benefits

Defined contribution plans

The Company makes contributions to Provident
Fund, Employee State Insurance, Labour
Welfare Fund etc. for eligible employees
and these contributions are charged to the
Statement of Profit and Loss on accrual basis.

Defined Benefit Plans

The Company has a defined benefit plan for its
employees, which requires contribution to be
made to a separately Administrated Fund.

Liability for defined benefit plans i.e. Gratuity
is determined based on the actuarial valuation
carried out by an independent actuary, using
the projected unit credit method as at the year

end. As these liabilities are relatively long term
in nature, the actuarial assumptions take in
account the requirements of the relevant Ind AS
coupled with a long-term view of the underlying
variables / trends, wherever required.

Service cost and net interest cost on the defined
benefit liabilities/assets are recognized in the
Statement of Profit and Loss as employee
benefit expense and finance costs respectively.
Gains and losses on remeasurement of
defined benefits liabilities/plan assets arising
from changes in actuarial assumptions and
experience adjustments are recognised in the
other comprehensive income and are included
in retained earnings in the balance sheet.

u. Share-based Payments

Share-based compensation benefits are provided
to employees under the Atishay Limited Employees
Stock Option Scheme 2020 (''AL ESOP 2020'' or
âESOP scheme'').

The fair value of options granted under the
ESOP scheme is recognised as an employee
benefits expense over the vesting period with a
corresponding increase in other equity. The total
amount to be expensed is determined by reference
to the fair value of the options granted including any
market performance conditions (e.g., the entity''s
share price) and the impact of any service and nonÂ¬
market vesting conditions (e.g. profitability, sales
growth targets, employee continuity over the vesting
period). The total share-based compensation
expenses are recognised over the vesting period,
which is the period over which all of the specified
vesting conditions are to be satisfied.

At the end of each financial reporting period, the
entity revises its estimates of the number of options
that are expected to vest based on the non-market
vesting conditions. It recognises the impact of the
revision to original estimates, if any, in profit or
loss, with a corresponding adjustment to equity.
In respect of options that lapse after the vesting
period, the amount lying in equity is not recycled to
the Profit and Loss account.

v. Foreign Currency Translation

The functional currency of the Company is
Indian Rupees (h).

Transactions and translations

All transactions in foreign currency are recorded at
the rates of the exchange prevailing on the dates
when the relevant transactions took place. Any

gain/ loss on account of the fluctuations in the
rate of exchange is recognized in the Statement of
Profit and Loss.

Monetary items in the form of loans, current assets
and current liabilities in foreign currencies at the
Close of the year are converted in the Indian currency
at the appropriate rate of exchange prevailing on the
dates of the Balance Sheet. Resultant gain or loss
on account of fluctuation in the rate of exchange is
recognized in the Statement of Profit and Loss.

w. Income Tax

â¢ Current and deferred tax for the year

Income tax expense comprises current tax
expense and the net change in the deferred tax
asset or liability during the year. Current and
deferred tax are recognised in the Statement of
profit and loss, except when they relate to items
that are recognised in other comprehensive
income or directly in equity, in which case, the
current and deferred tax are also recognised
in other comprehensive income or directly in
equity respectively.

â¢ Current tax

The tax currently payable is based on taxable
profit for the year. Taxable profit differs from
âProfit Before Tax'' as reported in the Statement
of Profit and Loss because of items of income
or expense that are taxable or deductible
in other years and items that are never
taxable or deductible.

Current tax is determined on the basis of taxable
income in accordance with the applicable tax
rates and the provisions of applicable tax laws.

Advance taxes and provisions for current
income taxes are presented in the balance
sheet after off-setting advance tax paid and
income tax provision arising in the same tax
jurisdiction and where the relevant tax paying
unit intends to settle the asset and liability
on a net basis.

â¢ Deferred tax

Deferred tax is recognised on temporary
differences between the carrying amounts
of assets and liabilities in the financial
statements and the corresponding tax bases
used in the computation of taxable profit.
Deferred tax liabilities are generally recognised
for all taxable temporary differences. Deferred
tax assets are generally recognised for all
deductible temporary differences to the extent

that it is probable that taxable profits will
be available against which those deductible
temporary differences can be utilised. Such
deferred tax assets and liabilities are not
recognised if the temporary difference arises
From the initial recognition of assets and
liabilities in a transaction that affects neither
the taxable profit nor the accounting profit.

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

Deferred tax liabilities and assets are measured
at the tax rates that are expected to apply in
the period in which the liability is settled or
the asset realised, based on tax rates (and tax
laws) that have been enacted or substantively
enacted by the end of the reporting period.

Deferred tax assets and liabilities are offset
when they relate to income taxes levied by the
same taxation authority and the relevant entity
intends to settle its current tax assets and
liabilities on a net basis.

x. Earnings per Equity Share

Basic earnings per equity share is computed by
dividing the net profit attributable to the equity
holders of the company by the weighted average
number of equity shares outstanding during
the period. Diluted earnings per equity share is
computed by dividing the net profit attributable to
the equity holders of the company by the weighted
average number of equity shares considered for
deriving basic earnings per equity share and also the
weighted average number of equity shares that could
have been issued upon conversion of all dilutive
potential equity shares. The dilutive potential equity
shares are adjusted for the proceeds receivable had
the equity shares been actually issued at fair value
(i.e. the average market value of the outstanding
equity shares). Dilutive potential equity shares are
deemed converted as of the beginning of the period,
unless issued at a later date. Dilutive potential
equity shares are determined independently for
each period presented.

The number of equity shares and potentially dilutive
equity shares are adjusted retrospectively for all
periods presented for any share splits and bonus
shares issues including for changes effected prior
to the approval of the financial statements by the
Board of Directors.

y. Dividend / Distribution

Annual dividend distribution to the shareholders is
recognised as a liability in the period in which the
dividends are approved by the shareholders. Any
Interim dividend paid is recognised on approval
by the Board of Directors. Dividend payable and
corresponding tax on dividend distribution is
recognised directly in equity.

z. Segment Reporting

Operating segments are reported in a manner
consistent with the internal reporting provided to
the Chief Operating Decision Maker (âCODMâ). The
CODM is responsible for allocating resources and
assessing performance of the operating segments
of the Company.

3. Critical accounting judgement and estimates

The preparation of standalone financial statements
in conformity with Ind AS requires the Management to
make estimates, judgements and assumptions. These
estimates, judgements and assumptions affect the
applicability of accounting policies and the reported
amounts of assets and liabilities, the disclosures of
contingent assets and liabilities at the date of the
financial statement and reported amounts of revenue
and expenses during the period. The application of
accounting policies that require critical accounting
estimates involving complex and subjective judgements
and the use of assumptions in these statements have
been disclosed. Accounting estimates could change from
period to period. Actual results could differ from those
estimates. Appropriate changes in the estimates are
made as the Management becomes aware of changes
in circumstances surrounding the estimates. Changes in
estimates are reflected in the financial statements in the
period in which the changes are made and if material,
their effects are disclosed in the notes to the standalone
financial statement.

The Company uses the following critical accounting
estimates in preparation of its standalone
financial statements:

a. Revenue recognition

The Company''s contracts with customers include
promises to transfer multiple products and services
to a customer. Revenues from customer contracts
are considered for recognition and measurement
when the contract has been approved, in writing,
by the parties to the contract, the parties to
contract are committed to perform their respective

obligations under the contract, and the contract
is legally enforceable. The Company assesses
the services promised in a contract and identifies
distinct performance obligations in the contract.
Identification of distinct performance obligations
to determine the deliverables and the ability of
the customer to benefit independently from such
Deliverables, and allocation of transaction price
to these distinct performance obligations involves
significant judgement.

Fixed price maintenance revenue is recognized
ratably on a straight-line basis when services are
performed through an indefinite number of repetitive
acts over a specified period. Revenue from fixed
price maintenance contract is recognized ratably
using a percentage of completion method when the
pattern of benefits from the services rendered to the
customer and Company''s costs to fulfil the contract
is not even through the period of the contract
because the services are generally discrete in nature
and not repetitive. The use of method to recognize
the maintenance revenues requires judgement and
is based on the promises in the contract and nature
of the deliverables.

The Company uses the percentage-of-completion
method in accounting for other fixed-price contracts.
Use of the percentage-of-completion method
requires the Company to determine the actual
efforts or costs expended to date as a proportion of
the estimated total efforts or costs to be incurred.
Efforts or costs expended have been used to
measure progress towards completion as there is a
direct relationship between input and productivity.
The estimation of total efforts or costs involves
significant judgement and is assessed throughout
the period of the contract to reflect any changes
based on the latest available information.

Provisions for estimated losses, if any, on incomplete
contracts are recorded in the period in which such
losses become probable based on the estimated
efforts or costs to complete the contract.

b. Provision for income tax and deferred tax assets

The Company''s tax jurisdiction is India. The
Company uses estimates and judgements based
on the relevant rulings in the areas of allocation
of revenue, costs, allowances and disallowances
which is exercised while determining the provision
for income tax. A deferred tax asset is recognised
to the extent that it is probable that future taxable
profit will be available against which the deductible
temporary differences and tax losses can be utilised.

Accordingly, the Company exercises its judgement
to reassess the carrying amount of deferred tax
assets at the end of each reporting period.

c. Property, plant and equipment

Property, Plant and Equipment represent a significant
proportion of the asset base of the Company.
The charge in respect of periodic depreciation is
Derived after determining an estimate of an asset''s
expected useful life and the expected residual value
at the end of its life. The useful lives and residual
Values of Company''s assets are determined by the
management at the time the asset is acquired and
reviewed periodically, including at each financial year
end. The lives are based on historical experience
with similar assets as well as anticipation of future
events, which may impact their life, such as changes
in technical or commercial obsolescence arising
from changes or improvements in production or
from a change in market demand of the product or
service output of the asset.

d. Fair value measurement of financial

instruments

When the fair value of financial assets and financial
liabilities recorded in the balance sheet cannot
be measured based on quoted prices in active
markets, their fair value is measured using valuation
techniques including the Discounted Cash Flow
model. The inputs to these models are taken from
observable markets where possible, but where this
is not feasible, a degree of judgement is required
in establishing fair values. Judgements include
considerations of inputs such as liquidity risk, credit
risk and volatility. Changes in assumptions about
these factors could affect the reported fair value of
financial instruments.

e. Leases

Ind AS 116 requires lessees to determine the lease
term as the non-cancellable period of a lease
adjusted with any option to extend or terminate
the lease, if the use of such option is reasonably
certain. The Company makes an assessment on the
expected lease term on a lease-by-lease basis and
thereby assesses whether it is reasonably certain

that any options to extend or terminate the contract
will be exercised. In evaluating the lease term, the
Company considers factors such as any significant
leasehold improvements undertaken over the
lease term, costs relating to the termination of the
lease and the importance of the underlying asset
to Company''s operations taking into account the
location of the underlying asset and the availability
of suitable alternatives. The lease term in future
periods is reassessed to ensure that the lease term
reflects the current economic circumstances. After
considering current and future economic conditions,
the company has concluded that no changes are
required to the lease period relating to the existing
lease contracts.

The discount rate is generally based on the
incremental borrowing rate specific to the lease
being evaluated or for a portfolio of leases with
similar characteristics.

f. Loss allowance for receivables and unbilled
revenues

The company determines the allowance for credit
losses based on historical loss experience adjusted
to reflect current and estimated future economic
conditions. The company considered current and
anticipated future economic conditions relating to
industries the company deals with and the countries
where it operates.

4. Recent accounting pronouncements

The Ministry of Corporate Affairs (MCA) has notified
the Companies (Indian Accounting Standards) Second
Amendment Rules, 2025, which are effective for the
financial year beginning April 1, 2025. These include
amendments to Ind AS 1 regarding the classification
of liabilities with covenants, Ind AS 7 and Ind AS 107
concerning Supplier Finance Arrangements, and Ind AS
12 regarding International Tax ReformâPillar Two Model
Rules. The Company has evaluated the impact of these
amendments and concluded that they have no material
impact on the financial statements for the year ended
March 31, 2026.

1 Securities premium represents the premium on equity shares issued.

2 General reserve are free reserves of the company which are kept aside out of company''s profits to meet the future
requirements as and when they arise. Mandatory transfer to general reserve is not required under the Companies Act, 2013.

3 Retained earnings are the accumulated profits earned by the Company till date net off transfer to general reserves, dividend
paid and other distributions made to the shareholders.

4 Employee stock options outstanding (ESOP) is related to selected employees of the Company also receive remuneration
in the form of share-based payments under stock option program of the Company. Employee stock options outstanding
represents the fair value of equity-settled transactions, calculated at the date when the grant is made using an appropriate
valuation model and recognized over the period in which the performance and / or service conditions are fulfilled.

5 Capital reserve reflects an advance received from M/s Sainath against sale of plot, forfeited due to non-fulfilment of terms
and conditions of sale agreement in earlier years.

19.1 The Company obtained a vehicle loan of H98.25 lakhs from Bank of Baroda for the purchase of a vehicle. The loan carries an
interest rate of 9.05% per annum, payable monthly, and is to be repaid in 60 monthly instalments starting from March 2025. As
of March 31, 2026, 47 monthly instalments remain outstanding. The loan is secured by the primary security of the vehicle.

19.2 The Company has a sanctioned working capital loan limit of H500.00 lakhs from Bank of Baroda. The loan carries interest at
8.40% per annum, payable monthly based on utilization. The loan is secured by a hypothecation charge on the company''s entire
current assets, including stock and book debts.

19.3 The Company has a sanctioned overdraft limit of H108.00 lakhs against a fixed deposit of H120.00 lakhs from State Bank of
India. The overdraft carries an interest rate of 7.70% per annum (while the fixed deposit earns 6.70% per annum), with interest
payable monthly based on utilization. This facility is secured by a lien on the fixed deposit.

19.4 The Company obtained a property loan of H150.00 lakhs from Union Bank of India for purchase of a Building for office premises.
The loan carries an interest rate of 8.60% per annum, payable monthly, and is to be repaid in 60 monthly instalments starting
from February 2026. As of March 31, 2026, 58 monthly instalments remain outstanding. The loan is secured by the primary
security of Building.

19.5 Defaults in terms of repayment of principal and interest with regard to above borrowings is NIL.

Note - 36 Employee benefits

(1) Contribution to Provident Fund and Employees State Insurance -

The Company makes contributions to the Provident Fund and Employees State Insurance for eligible employees. Under
these plans, the Company is required to contribute a specified percentage of payroll costs. The Company has recognised
H24.62 lakhs (Previous year H19.80 lakhs) as expense in the statement of profit and loss during the year towards contribution
to these funds.

(2) ESOP -

In the financial year 2020-21, the Company introduced Atishay Limited Employees Stock Option Scheme 2020 (''AL ESOP
2020'') for issuance of 10,00,000 stock options. Atishay Limited ESOP 2020 was approved by the Nomination and Remuneration
Committee(''NRC'') and Board at their respective meetings held on November 9, 2020 and by the shareholders through postal
ballot, result of which was announced on December 24, 2020. Below are the summary of the activity in Company''s ESOP
2020, during the financial year 2025-26 :

(3) Gratuity

The company has defined benefit gratuity plan for its employees, which requires contributions to be made to a separately
administered fund. The fund has the form of a trust and it is governed by the Board of Trustees, in which benefits are defined
as per such policy. The Trust has taken âGroup Gratuity Scheme of LICâ.

Note: 1. The above remuneration to KMP does not include provision for gratuity as it is provided in the books on the basis
of actuarial valuation for the company as a whole and hence individual figures cannot be identified.

Note: 2. In the FY 2023-24, 20,000 stock options granted to Mr. Arjun Singh Dangi under Atishay Limited Employees
Stock Option Scheme 2020 (''AL ESOP 2020''). He has exercised 18,250 stock options during FY 2025-26 as per the terms
of grant letter.

Note - 40 Corporate social responsibility

As per section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2% of its
average net profit for the immediately preceding three financial years on corporate social responsibility (CSR) activities. The areas
for CSR activities are eradication of hunger and malnutrition, promoting education, art and culture, healthcare, destitute care and
rehabilitation, environment sustainability, disaster relief and rural development projects. A CSR committee has been formed by
the Company as per the act.

Note - 42 Financial Instruments

a) Financial risk management objects and policies

In its ordinary operations, the company''s activities expose it to the various types of risks, which are associated with the
financial instruments and markets in which it operates. The Company has a risk management policy which covers the foreign
exchanges risks and other risks associated with the financial assets and liabilities such as interest rate risks and credit risks.
The risk management policy is approved by the board of directors. The following is the summary of the main risks.

Market risk : -

Market risk is the risk that changes market prices, such as foreign exchange rates (currency risk) and interest rates (interest
rate risk), which affect the Company''s income or value of its holding of financial instruments. The objective of market risk
management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

i) Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk
is the risk of changes in fair value of fixed interest-bearing investments because of fluctuations in the interest rates.
Cash flow interest rate risk is the risk that the future cash flows of floating interest - bearing investments will fluctuate
because of fluctuations in the interest rates.

The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s long-term
debt obligations.

Interest rate sensitivity

The sensitivity analysis below has been determined based on exposure to interest rates for term loans at the end of
the reporting period and the stipulated change taking place at the beginning of the financial year and held constant
throughout the reporting period in case of term loans that have floating rates. If the interest rates had been 50 basis
points higher or lower and all the other variables were held constant, the effect on Interest expense for the respective
financial years and consequent effect on companies profit in that financial year would have been as below:

ii) Foreign currency risk

The Company is not exposed to any foreign currency risk.

Credit risk : -

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract,
leading to a financial loss. Financial instruments that are subject to concentrations of credit risk principally consists of
trade receivables, unbilled receivables, cash and cash equivalents, bank deposits and other financial asset.

The Company''s revenue combination is of government and private parties. The company is having majority of receivables
from Government undertakings. The exposure to credit risk at the reporting date is primarily from long due trade
receivables of Government undertakings.

In case of private customers, the Company considers factors such as credit track record in the market and past dealings
for extension of credit to customers. The Company monitors the payment track record of the customers. Outstanding
customer receivables are regularly monitored. The Company evaluates the concentration of risk with respect to
trade receivables as low, as its customers are located in several jurisdictions and industries and operate in largely
independent markets.

Credit Risk Exposure

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The
Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based
on the Company''s past history, existing market conditions as well as forward looking estimates at the end of each
balance sheet date. The allowances for expected credit loss for year ended March 31, 2026 and March 31, 2025 was
H7.76 lakhs and H 8.21 lakhs respectively.

b) Capital Management

The Company manages its capital structure and makes adjustments in light of changes in the financial condition and the
requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend
payment to shareholders, return capital to shareholders (buy back its shares) or issue new shares.

In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure that it
meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements.
The Company has complied with these covenants and there have been no breaches in the financial covenants of any
interest-bearing loans and borrowings.

No changes were made in the objectives, policies or processes for managing capital during the year ended March 31, 2026
and March 31, 2025.

Gearing Ratio :-

The management assessed that cash and cash equivalents, trade receivables, trade payables, other bank balances, other
current asset and other current liabilities approximate their carrying amounts largely due to the short-term maturities of
these instruments.

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

Long-term floating and variable-rate receivables/borrowings are evaluated by the Company based on parameters such
as interest rates, specific country risk factors, individual credit worthiness of the customer and the risk characteristics
of the financed project. Based on this evaluation, allowances are taken into account for the expected credit losses of
these receivables.

The fair value of loans from banks and other financial liabilities, as well as other non-current financial liabilities is estimated
by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities.
In addition to being sensitive to a reasonably possible change in the forecast cash flows or the discount rate, the fair value
of the equity instruments is also sensitive to a reasonably possible change in the growth rates. The valuation requires
management to use unobservable inputs in the model, of which the significant unobservable inputs are disclosed in the
tables below. Management regularly assesses a range of reasonably possible alternatives for those significant unobservable
inputs and determines their impact on the total fair value.

The fair values of the quoted Mutual Funds recognized at FVTPL financial assets have been estimated using per unit value
provided by the respective asset management company."

d) Fair value hierarchy

All financial assets and liabilities at amortised cost are in Level 3 of fair value hierarchy and have been considered at
carrying amount.

Note - 45 Additional regulatory information required by schedule III

i) The Company does not have any benami property held in its name. No proceedings have been initiated on or are pending
against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and
Rules made thereunder.

ii) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government or any
government authority.

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

iv) The Company did not have any transactions with companies struck off under Section 248 of the Companies Act, 2013 or
Section 560 of Companies Act, 1956 during the year.

v) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

vi) No funds have been advanced or loaned or invested (either from borrowed funds or securities premium or any other sources
or kind of funds) by the Company to or in any person(s) or entity(ies), including foreign entities (âthe intermediaries''), with
the understanding, whether recorded in writing or otherwise, that the intermediary shall, whether, directly or indirectly lend
or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (âthe Ultimate
Beneficiaries'') or provide any guarantee, security or the like on behalf the Ultimate Beneficiaries.

vii) No funds have been received by the Company from any person(s) or entity(ies), including foreign entities (âthe Funding
Parties''), with the understanding, whether recorded in writing or otherwise, that the Company shall, whether directly or
indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party
(âUltimate Beneficiaries'') or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

viii) The Company has not revalued its property, plant and equipment (including right of use assets) or intangible assets or both

during the current or previous year.

Note - 46 Previous year figures

The figures for the previous year have been regrouped/ rearranged wherever necessary to conform to the current year''s classification.

As per our report of even date attached For and on behalf of board of Atishay Limited

For B. M. Parekh & Co.

Chartered Accountants

Firm''s Registration No. 107448W Akhilesh Jain Archit Jain

(Managing Director) (Whole Time Director)

DIN :00039927 DIN :06363647

Bhavin Parekh

Partner Arjun Singh Dangi Sambedna Jain

Membership No. 108004 (Chief Fin ancial Officer) (Company Secretary)

Mumbai, April 24th, 2026 Bhopal, April 24th, 2026 Bhopal, April 24th, 2026

Mar 31, 2025

11.1 Other unsecured non current and current deposits (which are considered good) include various EMD''s given to government for participating in tenders and security deposit for utilities.

11.2 Balances of H 620.00 lakhs (2023-24 H 120.00 lakhs) with bank in deposit accounts are held as lien by banks against bank overdraft availed by the company.

11.3 Balances H 342.38 lakhs (2023-24 H 305.29 lakhs) with bank in deposit accounts are held as lien by banks against bank guarantees and PBG issued to government authorities in the normal course of business.

Note - 17.2 Rights, preferences and restrictions attached to equity shares

The Company has one class of equity shares having par value of H 10 per share. Each shareholder is eligible for one vote per share held and a right to dividend. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting except in case of interim dividend. 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.

1 Securities premium represents the premium on equity shares issued.

2 General reserve are free reserves of the company which are kept aside out of company''s profits to meet the future requirements as and when they arise. Mandatory transfer to general reserve is not required under the Companies Act, 2013.

3 Retained earnings are the accumulated profits earned by the Company till date net off transfer to general reserves, dividend paid and other distributions made to the shareholders.

4 Capital reserve reflects an advance received from M/s Sainath against sale of plot, forfeited due to non-fulfilment of terms and conditions of sale agreement in earlier years.

19.1 The Company obtained a vehicle loan of H98.25 lakhs from Bank of Baroda for the purchase of a vehicle. The loan carries an interest rate of 9.05% per annum, payable monthly, and is to be repaid in 60 monthly instalments starting from March 2025. As of March 31, 2025, 59 monthly instalments remain outstanding. The loan is secured by the primary security of the vehicle.

19.2 The Company has a sanctioned working capital loan limit of H500.00 lakhs from Bank of Baroda. The loan carries interest at 9.65% per annum, payable monthly based on utilization. The loan is secured by a hypothecation charge on the company''s entire current assets, including stock and book debts.

19.3 The Company has a sanctioned overdraft limit of H108.00 lakhs against a fixed deposit of H120.00 lakhs from State Bank of India. The overdraft carries an interest rate of 7.80% per annum (while the fixed deposit earns 6.80% per annum), with interest payable monthly based on utilization. This facility is secured by a lien on the fixed deposit.

19.4 The Company has a sanctioned overdraft limit of H475.00 lakhs against a fixed deposit of H500.00 lakhs from Yes Bank Limited. The overdraft carries an interest rate of 8.50% per annum (while the fixed deposit earns 8.10% per annum), with interest payable monthly based on utilization. This facility is secured by a lien on the fixed deposit.

19.5 Defaults in terms of repayment of principal and interest with regard to above borrowings is NIL.

Note - 36 Employee benefits

(1) Contribution to Provident Fund and Employees State Insurance -

The Company makes contributions to the Provident Fund and Employees State Insurance for eligible employees. Under these plans, the Company is required to contribute a specified percentage of payroll costs. The Company has recognised H 19.80 lakhs (Previous year H 18.14 lakhs) as expense in the statement of profit and loss during the year towards contribution to these funds.

(2) ESOP -

In the financial year 2020-21, the Company introduced Atishay Limited Employees Stock Option Scheme 2020 (''AL ESOP 2020'') for issuance of 10,00,000 stock options. Atishay Limited ESOP 2020 was approved by the Nomination and Remuneration Committee(''NRC'') and Board at their respective meetings held on November 9, 2020 and by the shareholders through postal ballot, result of which was announced on December 24, 2020. Below are the details of stock options granted during the financial year 2024-25 :

Note - 40 Corporate social responsibility

As per section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceding three financial years on corporate social responsibility (CSR) activities. The areas for CSR activities are eradication of hunger and malnutrition, promoting education, art and culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief and rural development projects. A CSR committee has been formed by the Company as per the act.

Note - 42 Financial Instruments

a) Financial risk management objects and policies

In its ordinary operations, the company''s activities expose it to the various types of risks, which are associated with the financial instruments and markets in which it operates. The Company has a risk management policy which covers the foreign exchanges risks and other risks associated with the financial assets and liabilities such as interest rate risks and credit risks. The risk management policy is approved by the board of directors. The following is the summary of the main risks.

Market risk : -

Market risk is the risk that changes market prices, such as foreign exchange rates (currency risk) and interest rates (interest rate risk), which affect the Company''s income or value of its holding of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

i) Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair value of fixed interest-bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest - bearing investments will fluctuate because of fluctuations in the interest rates.

The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s long-term debt obligations.

ii) Foreign currency risk

The Company is not exposed to any foreign currency risk.

Credit risk : -

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. Financial instruments that are subject to concentrations of credit risk principally consists of trade receivables, unbilled receivables, cash and cash equivalents, bank deposits and other financial asset.

The Company''s revenue combination is of government and private parties. The company is having majority of receivables from Government undertakings. The exposure to credit risk at the reporting date is primarily from long due trade receivables of Government undertakings.

In case of private customers, the Company considers factors such as credit track record in the market and past dealings for extension of credit to customers. The Company monitors the payment track record of the customers. Outstanding customer receivables are regularly monitored. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and industries and operate in largely independent markets.

Credit Risk Exposure

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Company''s past history, existing market conditions as well as forward looking estimates at the end of each balance sheet date. The allowances for expected credit loss for year ended March 31, 2025 and March 31, 2024 was H 8.21 lakhs and H 23.03 lakhs respectively.

Liquidity risk : -

Liquidity risk refers to the risk that the Company cannot meet its financial obligations.The Company manages liquidity risk by maintaining adequate reserves, banking facilities and borrowing facilities, by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial assets and liabilities.

b) Capital Management

The Company manages its capital structure and makes adjustments in light of changes in the financial condition and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders (buy back its shares) or issue new shares.

In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. The Company has complied with these covenants and there have been no breaches in the financial covenants of any interest-bearing loans and borrowings.

No changes were made in the objectives, policies or processes for managing capital during the year ended March 31, 2025 and March 31, 2024.

The management assessed that cash and cash equivalents, trade receivables, trade payables, other bank balances, other current asset and other current liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

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

Long-term floating and variable-rate receivables/borrowings are evaluated by the Company based on parameters such as interest rates, specific country risk factors, individual credit worthiness of the customer and the risk characteristics of the financed project. Based on this evaluation, allowances are taken into account for the expected credit losses of these receivables.

The fair value of loans from banks and other financial liabilities, as well as other non-current financial liabilities is estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. In addition to being sensitive to a reasonably possible change in the forecast cash flows or the discount rate, the fair value of the equity instruments is also sensitive to a reasonably possible change in the growth rates. The valuation requires management to use unobservable inputs in the model, of which the significant unobservable inputs are disclosed in the tables below. Management regularly assesses a range of reasonably possible alternatives for those significant unobservable inputs and determines their impact on the total fair value.

The fair values of the quoted Mutual Funds recognized at FVTPL financial assets have been estimated using per unit value provided by the respective asset management company.

d) Fair value hierarchy

All financial assets and liabilities at amortised cost are in Level 3 of fair value hierarchy and have been considered at carrying amount.

Note - 44 Operating Segment

Factors used to identify the reportable segments:

The Company has following business segments, which are its reportable segments. These segments offer different services and products that are managed separately. Operating segment disclosures are consistent with the information provided to and reviewed by the chief operating decision maker.

Note - 45 Additional regulatory information required by schedule III

i) The Company does not have any benami property held in its name. No proceedings have been initiated on or are pending against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.

ii) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government or any government authority.

iii) The Company has not traded or invested in crypto currency or virtual currency during the year.

iv) The Company did not have any transactions with companies struck off under Section 248 of the Companies Act, 2013 or Section 560 of Companies Act, 1956 during the year.

v) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

vi) No funds have been advanced or loaned or invested (either from borrowed funds or securities premium or any other sources or kind of funds) by the Company to or in any person(s) or entity(ies), including foreign entities (âthe intermediaries''), with the understanding, whether recorded in writing or otherwise, that the intermediary shall, whether, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (âthe Ultimate Beneficiaries'') or provide any guarantee, security or the like on behalf the Ultimate Beneficiaries.

vii) No funds have been received by the Company from any person(s) or entity(ies), including foreign entities (âthe Funding Parties''), with the understanding, whether recorded in writing or otherwise, that the Company shall, whether directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (âUltimate Beneficiaries'') or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

viii) The Company has not revalued its property, plant and equipment (including right of use assets) or intangible assets or both during the current or previous year.

Note - 46 Previous year figures

The figures for the previous year have been regrouped/ rearranged wherever necessary to conform to the current year''s

classification.

Mar 31, 2024

11.1 Other unsecured non current and current deposits (which are considered good) include various EMD''s given to government for participating in tenders and security deposit for utilities.

11.2 Balances of H 120.00 lakhs (2022-23 H 233.00 lakhs) with bank in deposit accounts are held as lien by banks against bank overdraft availed by the company.

11.3 Balances H 305.29 lakhs (2022-23 H 87.12 lakhs) with bank in deposit accounts are held as lien by banks against bank guarantees and PBG issued to government authorities in the normal course of business.

11.4 Other current financial assets include settlement of cash out services and other receivable from various service providers/ clients of Zapurse project.

Trade receivable are non-interest bearing and credit period extended to them is as per normal operating cycle. Above balances of trade receivable include balances with related parties.(refer note 38)

17.2 Rights, preferences and restrictions attached to equity shares

1 Securities premium represents the premium on equity shares issued.

2 General reserve are free reserves of the company which are kept aside out of company''s profits to meet the future requirements as and when they arise. Mandatory transfer to general reserve is not required under the Companies Act, 2013.

3 Retained earnings are the accumulated profits earned by the Company till date net off transfer to general reserves, dividend (including dividend distribution tax) and other distributions made to the shareholders.

4 Capital reserve reflects an advance received from M/s Sainath against sale of plot, forfeited due to non-fulfilment of terms and conditions of sale agreement in earlier years.

19.1 The company had taken a vehicle loan from Bank of Baroda for purchase of vehicle of H 27.90 Lakhs. The loan carries interest @ 9.60% per annum payable monthly and is to be repaid in 60 monthly Instalments starting from January 2022. As on march 31, 2024, 33 monthly instalment are still remaining to be due. Further, the said loan is secured by primary security of vehicle.

19.2 The Company had a sanctioned limit of H 500.00 lakhs of working capital loan from Bank of Baroda. The loan carries interest @ 9.90% per annum payable monthly according to utilisation. The said loan is secured by way of hypothecation charge on company''s entire current assets including stock and book debts.

19.3 The Company had a sanctioned limit of H 108.00 lakhs of overdraft against fixed deposit of H 120.00 lakhs from State Bank of India. The loan carries interest of 7.80% (Interest rate of fixed deposit is 6.80% per annum) per annum payable monthly according to utilisation. The said loan is secured by way of lien on fixed deposit.

19.4 The Company had a sanctioned limit of H 0.85 lakhs of overdraft against fixed deposit of H 1.00 lakhs from Axis Bank. The loan carries interest of 7.70% (Interest rate of fixed deposit is 6.70% per annum) per annum payable monthly according to utilisation. The said loan is secured by way of lien on fixed deposit.

19.5 Defaults in terms of repayment of principal and interest with regard to above borrowings is NIL.

Note - 35 Employee benefits

(1) Contribution to Provident Fund and Employees State Insurance -

The Company makes contributions to the Provident Fund and Employees State Insurance for eligible employees. Under these plans, the Company is required to contribute a specified percentage of payroll costs. The Company has recognised H 18.14 lakhs (Previous year H 9.99 lakhs) as expense in the statement of profit and loss during the year towards contribution to these funds.

(2) ESOP -

In the financial year 2020-21, the Company introduced Atishay Limited Employees Stock Option Scheme 2020 (''AL ESOP 2020'') for issuance of 10,00,000 stock options. Atishay Limited ESOP 2020 was approved by the Nomination and Remuneration Committee(''NRC'') and Board at their respective meetings held on November 9, 2020 and by the shareholders through postal ballot, result of which was announced on December 24, 2020. Below are the details of stock options granted during the financial year 2023-24 -

(3) Gratuity

The company has defined benefit gratuity plan for its employees, which requires contributions to be made to a separately administered fund. The fund has the form of a trust and it is governed by the Board of Trustees, in which benefits are defined as per such policy. The Trust has taken âGroup Gratuity Scheme of LICâ.

Note: 1. The above remuneration to KMP does not include provision for gratuity as it is provided in the books on the basis of actuarial valuation for the company as a whole and hence individual figures cannot be identified.

Note: 2. During the year 20,000 stock option granted to Mr. Arjun Singh Dangi under Atishay Limited Employees Stock Option Scheme 2020 (''AL ESOP 2020'').

Note - 39 Corporate social responsibility

As per section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceding three financial years on corporate social responsibility (CSR) activities. The areas for CSR activities are eradication of hunger and malnutrition, promoting education, art and culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief and rural development projects. A CSR committee has been formed by the Company as per the act.

Note - 41 Financial Instruments

a) Financial risk management objects and policies

In its ordinary operations, the company''s activities expose it to the various types of risks, which are associated with the financial instruments and markets in which it operates. The Company has a risk management policy which covers the foreign exchanges risks and other risks associated with the financial assets and liabilities such as interest rate risks and credit risks. The risk management policy is approved by the board of directors. The following is the summary of the main risks.

Market risk : -

Market risk is the risk that changes market prices, such as foreign exchange rates (currency risk) and interest rates (interest rate risk), which affect the Company''s income or value of its holding of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

i) Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair value of fixed interest-bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest - bearing investments will fluctuate because of fluctuations in the interest rates.

The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s long-term debt obligations.

Interest rate sensitivity

The sensitivity analysis below has been determined based on exposure to interest rates for term loans at the end of the reporting period and the stipulated change taking place at the beginning of the financial year and held constant throughout the reporting period in case of term loans that have floating rates. If the interest rates had been 50 basis points higher or lower and all the other variables were held constant, the effect on Interest expense for the respective financial years and consequent effect on companies profit in that financial year would have been as below:

ii) Foreign currency risk

The Company is not exposed to any foreign currency risk.

Credit risk : -

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. Financial instruments that are subject to concentrations of credit risk principally consists of trade receivables, unbilled receivables, cash and cash equivalents, bank deposits and other financial asset.

The Company''s revenue combination is of government and private parties. The company is having majority of receivables from Government undertakings. The exposure to credit risk at the reporting date is primarily from long due trade receivables of Government undertakings.

In case of private customers, the Company considers factors such as credit track record in the market and past dealings for extension of credit to customers. The Company monitors the payment track record of the customers. Outstanding customer receivables are regularly monitored. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and industries and operate in largely independent markets.

Credit Risk Exposure

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Company''s past history, existing market conditions as well as forward looking estimates at the end of each balance sheet date. The allowances for expected credit loss for year ended March 31, 2024 and March 31, 2023 was H 23.03 lakhs and H 12.67 lakhs respectively.

Liquidity risk : -

b) Capital Management

The Company manages its capital structure and makes adjustments in light of changes in the financial condition and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders (buy back its shares) or issue new shares.

In order to achieve this overall objective, the Companyâs capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. The Company has complied with these covenants and there have been no breaches in the financial covenants of any interest-bearing loans and borrowings.

No changes were made in the objectives, policies or processes for managing capital during the year ended March 31, 2024 and March 31, 2023.

The management assessed that cash and cash equivalents, trade receivables, trade payables, other bank balances, other current asset and other current liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

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

Long-term floating and variable-rate receivables/borrowings are evaluated by the Company based on parameters such as interest rates, specific country risk factors, individual credit worthiness of the customer and the risk characteristics of the financed project. Based on this evaluation, allowances are taken into account for the expected credit losses of these receivables.

The fair value of loans from banks and other financial liabilities, as well as other non-current financial liabilities is estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. In addition to being sensitive to a reasonably possible change in the forecast cash flows or the discount rate, the fair value of the equity instruments is also sensitive to a reasonably possible change in the growth rates. The valuation requires management to use unobservable inputs in the model, of which the significant unobservable inputs are disclosed in the tables below. Management regularly assesses a range of reasonably possible alternatives for those significant unobservable inputs and determines their impact on the total fair value.

The fair values of the quoted Mutual Funds recognized at FVTPL financial assets have been estimated using per unit value provided by the respective asset management company.

d) Fair value hierarchy

All financial assets and liabilities at amortised cost are in Level 3 of fair value hierarchy and have been considered at carrying amount.

Note - 42 Previous year figures

The financial statements have been prepared in accordance with the Companies (Indian Accounting Standards) Rules, 2015 (Ind AS) prescribed under Section 133 of the Companies Act, 2013 and other recognised accounting practices and policies to the extent applicable. The previous year''s figures have been regrouped / reclassified wherever necessary, to make them comparable.

EBIT/PBIT - Earning before interest and taxes (Including other income)

EBITDA - Earning before interest, taxes, depreciation and amortisation PAT - Profit after taxes

Debt includes current and non current borrowings and lease liabilities.

Capital employed includes shareholders equity and non current liabilities.

Average Trade receivables does not includes non-trade receivables.

Earning for Debt Service includes non-cash operating expenses and other non cash adjustments.

Debt services includes principal repayments.

Note 44: Operating Segment

Factors used to identify the reportable segments:

Mar 31, 2018

1: Intangible Assets under Development

Intangible Assets under development reflect an amount of Rs,143.33 lakhs C 46.43 lakhs for F.Y. 2016-17) which relate to the development of Hotel Management Software and the development cost for the same is capitalized as per the requirement of Ind AS - 38 Intangible Assets.

2: Sales Tax Deposit under CDA

Maharashtra VAT department has issued an intimation of findings of Computerized Desk Audit under sub section 7 of section 63 of Maharashtra Vat Act under which it was informed that Input Tax Rebate of Rs, 19.03 lakhs (Rs, 5.31 lakhs for F.Y. 2012-13, Rs, 9.58 lakhs for F.Y. 2013-14 and Rs, 4.14 lakhs for F.Y. 2014-15) is proposed to be denied on account of suppliers not showing taxable sales and supplies for which registration was cancelled. Company as an abandon precaution has deposited sum of Rs,5.31 lakhs as on 24.06.2016, Rs, 9.58 lakhs on 18.03.2017 and Rs, 4.14 lakhs on 14.08.2017 and recorded it under head other current assets (Note - 12 of Notes to Account to Balance Sheet). Company has not recognized this amount as expense because company had disputed such demand of Input Tax Rebate. In case demand is raised then appeal shall be filed by the company.

3: Employee benefits:

(i) Contribution to Provident Fund and Employees State Insurance

The Company makes contributions to the Provident Fund and Employees State Insurance for eligible employees. Under these plans, the Company is required to contribute a specified percentage of payroll costs. The Company has recognized Rs, 12.73 lakhs (Previous year Rs, 9.33 lakhs) as expense in the statement of profit and loss during the year towards contribution to these funds.

(ii) Gratuity

The company has defined benefit gratuity plan for its employees, which requires contributions to be made to a separately administered fund. The fund has the form of a trust and it is governed by the Board of Trustees, in which benefits are defined as per such policy. The Trust has taken "Group Gratuity Scheme of LIC"

4: Disclosure under Micro, Small and Medium Enterprises Development Act, 2006

Under the Micro, Small and Medium Enterprises Development Act, 2006 read with notification no. 8/7/2006 - CDN dated 17/05/2007, certain disclosures are required to be made relating to Micro, Small and Medium Enterprises. The Company is in the process of compiling relevant information from its suppliers about the applicability of the said Act. Since the relevant information is not readily available, no disclosures have been made in the accounts. However, in the view of the management, the impact of interest, if any, that may be payable as per the provisions of this Act is not expected to be material.

5: Operating Segment (Ind AS 108)

Factors used to identify the reportable segments:

6: Dividend

Proposed Dividend

The Board of Directors at its meeting held on May 25, 2018 have recommended a final dividend of Rs,0.60 per equity share of Rs, 10/each for the year ended March 31, 2018, which is subject to the approval of members at the Annual General Meeting.

7: Related Party Disclosure (Ind AS 24)

Related party transactions are being reported as per Ind AS-24 Rs,Related Party Disclosures'' for the year ended March 31, 2018 -

- Key Managerial Personnel (KMP''s):

S. No. Name Designation

1. Mr. Akhilesh Jain Chairman and Managing Director

2. Mr. Archit Jain Whole Time Director

3. Mr. Arjun Singh Dangi Chief Financial Officer

4. Ms. Iti Tiwari Company Secretary & Compliance Officer

5. Mrs. Rekha Jain Non-Executive Director

6. Mr. Arvind V Lowlekar Non-Executive Director

7. Mr. Ajay Majumdar Non-Executive Director

8. Mrs. Poonam Agarwal Non-Executive Director

9. Mr. Kavindra Singh Non-Executive Director

- Other Entity where significant influence exists:

Post-Employment Benefit Plan Entity - Atishay Infotech Limited Bhopal Employees Group Gratuity Assurance Scheme

- Particulars of Transactions with Related Parties:

42: Financial Instruments

a) Financial Risk Management objects and policies

In its ordinary operations, the company''s activities expose it to the various types of risks, which are associated with the financial instruments and markets in which it operates. The Company has a risk management policy which covers the foreign exchanges risks and other risks associated with the financial assets and liabilities such as interest rate risks and credit risks. The risk management policy is approved by the board of directors. The following is the summary of the main risks.

- Market Risk

Market risk is the risk that changes in market prices, such as foreign exchange rates (currency risk) and interest rates (interest rate risk), will affect the Company''s income or value of its holding of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimizing the return.

i) Interest Rate Risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair value of fixed interest-bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest-bearing investments will fluctuate because of fluctuations in the interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s long-term debt obligations.

Interest Rate Sensitivity

The sensitivity analysis below have been determined based on exposure to interest rates for term loans at the end of the reporting period and the stipulated change taking place at the beginning of the financial year and held constant throughout the reporting period in case of term loans that have floating rates. If the interest rates had been 50 basis points higher or lower and all the other variables were held constant, the effect on Interest expense for the respective financial years and consequent effect on companies profit in that financial year would have been as below:

ii) Foreign Currency Risk

The Company is not exposed to any foreign currency risk.

- Credit Risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

The company''s revenue combination is of government and private parties, the company is having majority of receivables from Government undertakings and hence they are secured from credit losses in the future.

In case of private customers, the Company considers factors such as credit track record in the market and past dealings for extension of credit to customers. The Company monitors the payment track record of the customers. Outstanding customer receivables are regularly monitored. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and industries and operate in largely independent markets.

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses judgment in making these assumptions and selecting the inputs to the impairment calculation, based on the Company''s past history, existing market conditions as well as forward looking estimates at the end of each balance sheet date.

Financial assets are written off when there is no reasonable expectation of recovery, however, the Company continues to attempt to recover the receivables. Where recoveries are made, these are recognized in the Statement of Profit and Loss.

The ageing analysis of the receivables has been considered from the date the invoice falls due -

- Liquidity Risk

The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows and matching the maturity profiles of financial assets and liabilities.

b) Capital Management

For the purpose of the Company''s capital management, capital includes issued equity capital, securities premium and all other equity reserves attributable to the equity shareholders of the Company. The Company''s objective when managing capital is to safeguard its ability to continue as a going concern so that it can continue to provide returns to shareholders and other stakeholders. The Company manages its capital structure and makes adjustments in light of changes in the financial condition and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders (buy back its shares) or issue new shares.

In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. The Company has complied with these covenants and there have been no breaches in the financial covenants of any interest-bearing loans and borrowings.

No changes were made in the objectives, policies or processes for managing capital during the year ended March 31, 2018 and March 31, 2017.

The management assessed that cash and cash equivalents, trade receivables, trade payables, other bank balances, other current asset and other current liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

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

Long-term floating and variable-rate receivables/borrowings are evaluated by the Company based on parameters such as interest rates, specific country risk factors, individual credit worthiness of the customer and the risk characteristics of the financed project. Based on this evaluation, allowances are taken into account for the expected credit losses of these receivables.

The fair value of loans from banks and other financial liabilities, as well as other non-current financial liabilities is estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. In addition to being sensitive to a reasonably possible change in the forecast cash flows or the discount rate, the fair value of the equity instruments is also sensitive to a reasonably possible change in the growth rates. The valuation requires management to use unobservable inputs in the model, of which the significant unobservable inputs are disclosed in the tables below. Management regularly assesses a range of reasonably possible alternatives for those significant unobservable inputs and determines their impact on the total fair value.

The fair values of the quoted Mutual Funds recognized at FVTPL financial assets have been estimated using per unit value provided by the respective asset management company.

There have been no transfers between Level 1 to Level 2 during the period.

8: First time adoption of Ind AS

These are the Company''s first financial statements prepared in accordance with Ind AS.

The accounting policies set out in "Note 2" have been applied in preparing the financial statements for the year ended March 31, 2018, the comparative information presented in these financial statements for the year ended March 31, 2017 and in the preparation of an opening Ind AS balance sheet at April 01, 2016 (the Company''s date of transition). In preparing its opening Ind AS balance sheet, the Company has adjusted the amounts reported previously in financial statements prepared in accordance with the accounting standards notified under Companies (Accounting Standards) Rules, 2006 (as amended) and other relevant provisions of the Act ("previous GAAP or IGAAP"). An explanation of how the transition from IGAAP to Ind AS has affected the Company''s financial position, financial performance and cash flows is set out in the following tables and notes.

- Exemptions and Exceptions availed on first time adoption of Ind AS 101

In preparing these Ind AS financial statements, the Company has availed certain optional exemptions and mandatory exceptions in accordance with Ind AS 101 from IGAAP to Ind AS, as explained below. The resulting difference between the carrying values of the assets and liabilities in the financial statements as at the transition date under Ind AS and IGAAP have been recognized directly in equity (retained earnings or another appropriate category of equity). This note explains the adjustments made by the Company in restating its IGAAP financial statements, including the Balance Sheet as at April 01, 2016 and the financial statements as at and for the year ended March 31, 2017.

- Ind AS optional exemptions

a) Deemed Cost for Property, Plant and Equipment, Intangible Assets and Investment Property

Ind AS 101 permits a first-time adopter to elect to continue with the carrying value of all item of its property, plant and equipment as recognized in the financial statements as at the date of transition to Ind AS, measured as per the IGAAP and use that as its deemed cost as at the date of transition. This exemption can also be used for intangible assets covered by Ind AS 38 ''Intangible Assets'' and Investment Properties covered by Ind AS 40 ''Investment Property''. Accordingly, the Company has elected to measure all items of property, plant and equipment, capital work in progress, intangible assets and investment property at their IGAAP carrying value as at the transition date i.e. April 01, 2016.

b) Designation of Previously recognized Financial Instruments

The Company has opted to apply this exemption for its investment in equity instruments i.e. Investment in Mutual Funds.

- Ind AS mandatory exceptions a) Estimates

An entity''s estimates in accordance with Ind AS at the date of transition to Ind AS shall be consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were in error. Ind AS estimates as at April 01, 2016 are consistent with the estimates as at the same date made in conformity with previous GAAP except where Ind AS required a different basis for estimates as compared to the previous GAAP

- Reconciliations between IGAAP and Ind AS

Ind AS 101 requires an entity to reconcile equity, total comprehensive income and cash flows for prior periods. The following tables represent the reconciliations from IGAAP to Ind AS.

The presentation requirements under IGAAP differs from Ind AS and hence the IGAAP information has been reclassified for ease of reconciliation with Ind AS. The reclassified IGAAP information is derived based on the audited financial statements of the Company for the year ended March 31, 2016 and March 31, 2017.

43.1 Footnotes to Reconciliation

a. Under Previous GAAP , the transaction cost (i.e. Processing Cost) incurred towards borrowings was capitalised with Property, Plant and Equipment. Upon transition to Ind AS, the transaction cost has been amortized over the loan period with interests as per effective interest rate method.

b Depreciation Under Ind AS: The Investment Properties were classified under the head "Investments" under the previous GAAP. On transition to Ind AS, the same has been reclassified under the head "Investment Property" and depreciation on the same has been adjusted and provided for accordingly.

c Share Issue Expense & Unamortized Pre Operating expense appearing as on April 01, 2016 under previous GAAP has been derecognized through Equity as per the prescribed Ind AS.

d The deferred tax adjustment include the impact of transition adjustments together with adjustments in relation to Ind AS making it mandatory of using balance sheet approach against profit and loss approach as in the previous GAAP. On the date of transition, deferred tax impact on transition provision has been accounted in the Reserves, and consequential impact in the statement of profit and loss for the subsequent periods.

e Under the Previous GAAP, Revenue was presented inclusive of Indirect Taxes as "Gross Revenue". Under Ind AS, revenue is presented on Net Basis i.e. Exclusive of Indirect Taxes.

f Under Previous GAAP, actuarial gains and losses were recognized in the Statement of Profit and Loss. Under Ind AS 19, the actuarial gains and losses is considered as remeasurement of net defined benefit liability / asset and is recognized in other comprehensive income and therefore the same is recorded accordingly and resultant change due to this transition from Previous GAAP to Ind AS has been recognized accordingly.

g Exceptional Items appearing under previous GAAP Financial Statement have been reclassified to other expenses due to change in nature of item as per Ind AS 1.

h Under previous GAAP, the Company was not required to present other comprehensive income (OCI) separately. Hence, it has reconciled Indian GAAP profit or loss to profit or loss as per Ind-AS. Further, Ind-AS profit or loss is reconciled to total comprehensive income as per Ind-AS.

9: Previous year comparatives

Previous year''s figures have been regrouped, rearranged or recast wherever necessary to conform to current year''s classification.

Mar 31, 2017

COMPANY OVERVIEW

Atishay Limited (Formerly known as Atishay Infotech Limited) is a public limited company and has its registered office in Mumbai, Maharashtra, India. It was incorporated on 30th March 2000 and is primarily engaged in the business of Information Technology, Data Base Management, E-governance and Hospitality. The company was converted into limited Company in the year 2013 from private limited company.

1.1 AGGREGATE NO. OF SHARES ALLOTED AS FULLY PAID UP BY WAY OF BONUS SHARES (DURING FIVE YEARS IMMEDIATELY PRECEDING MARCH 31, 2017):

2.1 CAPITAL RESERVE REFLECTS AN ADVANCE RECEIVED FROM M/S SAINATH AGAINST SALE OF PLOT NO 55 M P NAGAR BHOPAL FORFEITED DUE TO NON-FULFILLMENT OF TERMS AND CONDITIONS OF SALE AGREEMENT.

2.2 REGULAR ASSESSMENT TAX PAID RELATES TO F.Y. 2013-14 (RS. 116750), 2012-13 (RS. 308530), 2003-04 (RS. 12678).

3.1 THE COMPANY HAD TAKEN A TERM LOAN FROM BANK OF BARODA FOR HOTEL CONSTRUCTION OF RS. 400 LAKHS. THE LOAN IS TO BE REPAID IN 21 QUATERLY INSTALLMENTS STARTING FROM DECEMBER 2016, THEREBY TOTAL TENURE OF LOAN BEING 83 MONTHS INCLUDING 20 MONTHS OF MORATORIUM PERIOD. AS ON MARCH 31, 2017, 19 QUATERLY INSTALLMENT ARE STILL REMAINING TO BE DUE.FURTHER, THE SAID LOAN IS SECURED BY PRIMARY SECURITY OF LAND AT HOTEL AND COLLATERAL SECURITY OF FLAT AT DURGESH VIHAR, FLAT AT BHOPAL PLAZA AND TWO PERSONAL PROPERTY OF DIRECTORS ALONG WITH THEIR PERSONAL GUARANTEE.

3.2 THE COMPANY HAD TAKEN A TERM LOAN FROM DAIMLER FINANCIAL SERVICES INDIA PVT. LTD. FOR PURCHASE OF CAR OF RS. 30 LAKHS. THE LOAN IS TO BE REPAID IN 36 MONTHLY INSTALLMENTS STARTING FROM MAY 2016. AS ON MARCH 31, 2017, 25 MONTHLY INSTALLMENT ARE STILL REMAINING TO BE DUE.FURTHER, THE SAID LOAN IS SECURED BY PRIMARY SECURITY OF CAR.

4.1 BANK OF BARODA (OD) IS A CLEAN OVERDRAFT AND SECURED BY WAY OF COLLATERAL SECURITY OF IMMOVABLE PROPERTY OF COMPANY AND TWO PERSONAL PROPERTY OF DIRECTORS ALONG WITH THEIR PERSONAL GUARANTEE.

5.1 CREDITORS AND OTHER TRADE PAYABLES ARE SUBJECT TO CONFIRMATION.

6.1 DUTIES AND TAXES INCLUDES STATUTORY DUES.

6.2 OTHER PAYABLES INCLUDES SECURITY DEPOSITS AND PAYABLE FOR EXPENSES.

7.1 PROVISION FOR EMPLOYEE BENEFITS INCLUDES SALARY PAYABLE TO DIRECTORS AND EMPLOYEES AND PROVISION OF BONUS TO EMPLOYEES AND OTHER EMPLOYEES RELATED PROVISIONS.

7.2 PROVISION FOR INCOME TAX IS NET OF ADVANCE TAX PAID AND TAX DEDUCTED AT SOURCE.

8.1 Land & Building includes cost of Land for Hotel of Rs. 4,19,80,403/-.

8.2 During the year one of the companyâs fixed asset namely Ghansoli Office Mumbai recorded at WDV as on 01.04.2016 for Rs.18,82,569/- ceased to be used for business purposes w.e.f. 01.04.2016 and therefore the same was transferred to investment at WDV as on 01.04.2016. Further, the same is being let out and rental Income from the same is accounted for in books of accounts.

9.1 There is a change in Written Down Value as on 01.04.2015 of some of the Fixed Assets on account of due adjustment for the residual/ scrap value of these assets and accordingly variation in amount of depreciation of Rs 18,90,410/- for the F.Y 2014-15 has been adjusted in profit & loss statement under prior period item during the F.Y 2015-16.

10.1 CAPITAL ADVANCES INCLUDE ADVANCE PAYMENTS FOR ACQUISITION OF INVESTMENTS IN LAND AND BUILDING. FURTHER AN AMOUNT OF RS. 21,11,268/- WAS PAID TO MPSEDC LTD. FOR ACQUISITION OF LAND ON LEASE BASIS FOR THE PERIOD OF 99 YEARS. THE LEASE PERIOD WILL COMMENCE FROM APRIL -2017.

11.1 INVENTORIES ARE STATED AT LOWER OF COST AND NET REALIZABLE VALUE.

11.2 RAW MATERIAL INCLUDES STOCK AT HOTEL FOR THE PURPOSE OF CONSUMPTION.

12.1 THE BANK BALANCE INCLUDES RS. 2, 95,939 /- BEING FOREIGN CURRENCY OF USD 4,666.50.

13.1 COMMERCIAL TAX REFUND STATED ABOVE IS ON ACCOUNT OF REFUND OF ENTRY TAX FOR THE FY 2013-14.

14.1 SALARY AND WAGES INCLUDES DIRECTOR REMUNERATION OF RS. 33,00,000.00

15.1 THE EPS FOR THE YEAR ENDED MARCH 31, 2016 OF RS. 2.73/- AS STATED ABOVE IS ADJUSTED EPS (ON ACCOUNT OF ISSUE OF BONUS SHARES) AS PER THE REQUIREMENT OF AS -20 âEARNING PER SHAREâ.

16 Disclosure under Micro, Small and Medium Enterprises Development Act, 2006

Under the Micro, Small and Medium Enterprises Development Act, 2006 read with notification no. 8/7/2006 - CDN dated 17/05/2007, certain disclosures are required to be made relating to Micro, Small and Medium Enterprises. The Company is in the process of compiling relevant information from its suppliers about the applicability of the said Act. Since the relevant information is not readily available, no disclosures have been made in the accounts. However in the view of the management, the impact of interest, if any, that may be payable as per the provisions of this Act is not expected to be material.

17 Sales Tax Deposit under CDA

Maharashtra VAT department has issued an intimation of findings of Computerized Desk Audit under sub section 7 of section 63 of Maharashtra Vat Act under which it was informed that Input Tax Rebate of Rs.14, 88,779/- (Rs.5, 30,707/- for F.Y. 2012-13 and Rs.9, 58,072/- for F.Y. 2013-14) is proposed to be denied on account of suppliers not showing taxable sales and supplies for which registration was cancelled. Company as an abandon precaution has deposited sum of Rs.5,30,707/- as on 24.06.2016 and Rs.9,58,072/on 18.03.2017 and recorded it under head other current assets (Note - 20 of Notes to Account to Balance Sheet). Company has not recognized this amount as expense because company had disputed such demand of Input Tax Rebate. In case demand is raised than appeal shall be filed by the company.

18 Balance Written Back

Trade Creditors for a sum of Rs.9,44,374/-, those which are outstanding for more than 3 years and considered not payable unless fresh claim is made, have been written back during the year.

19 Employee benefits:

The Company has adopted the Accounting Standard 15 (revised 2005) on Employee Benefit. The company has taken âGroup Gratuity Scheme of LICâ by creating a âtrustâ in which benefits are defined as per such policy. The total amount of contribution to Gratuity Fund, Employees Provident Fund and Employees State Insurance is Rs.3,63,600/-, Rs.6, 08,752/- and Rs.3, 23,897/- respectively and the same has been recognized as expenses in Statement of Profit and Loss.

20 Net Profit or Loss for the Period, âPrior Period Items and Changes in Accounting Policiesâ (AS-5)

During the year an amount of Rs.14,14,594/- is recorded as âInterest on FDRâ under the head Prior Period Items (Note - 30 of Notes to Account to Balance Sheet) as this was not recognized in last yearâs as a result of error or omission in the preparation of the financial statement of prior period.

Further, during the year an amount of Rs.7,918/- is recorded as âForeign Exchange Fluctuation Reserve Written Offâ under the head Prior Period Items (Note - 30 of Notes to Account to Balance Sheet) as this was wrongly recognized in last year as Foreign Exchange Fluctuation Reserve under the head Reserve & Surplus due to error in the preparation of the financial statement of prior period.

21 Earnings per Share (AS 20):

The Shareholders of the company through an Annual General Meeting approved the issue of bonus equity share in the ratio of 1:4 by capitalization of General Reserves. Accordingly, on September 20, 2016, the company allotted 21,96,266 bonus equity share of Rs.10/- each fully paid-up to the existing shareholders as on the record date. The paid-up share capital of the company stands increase from Rs.8,78,50,670/- to Rs.10,98,13,330/-. Accordingly, the earnings per share have been adjusted for the bonus issue for the previous year presented in accordance with the provisions of Accounting Standard (AS) - 20 - âEarnings Per Shareâ

22 Segment Reporting (AS 17)

The Company has more than one business Segment during the year within the meaning of accounting standard -17, which differ from each other in risk and reward. The details of such business segments are provided vide âEnclosure - I.â

23 Accounting for Investments (AS 13)

Company owns some agricultural land in its name which is held for sale. Further, one of the companyâs properties located at Plot No. C-09, Manipuram Colony, Char Imli, Bhopal - 462 016, Madhya Pradesh is in name of one of the companyâs employee (Mr. Ankit Jain), however the consideration for the said property is paid by the company.

24 Intangible Assets under Development (AS - 26 Intangible Assets)

Intangible Assets under development reflect an amount of Rs.46,43,201/- which relate to the development of Software namely Hotel Management Software and Human Resource Management Software which is intended to be used for the purpose of business and thus the development cost for the same is capitalized as per the requirement of AS - 26 Intangible Assets.

25 Transfer to Reserve

The Company has transferred current yearâs Surplus of Rs.33,323,299/- to the General Reserve.

26 Disclosure of Specified Bank Notes (SBNs)

The Ministry of Corporate Affairs vide its notification no. G.S.R. 308(E) dated March 30, 2017 inserted a clause in Schedule III of Companies Act, 2013 where by it is required that every company has to give disclosure of specified bank notes (SBN) held and transacted during the period from 8th November, 2016 to 30th December, 2016 in the prescribed format. The details of such specified bank notes are provided vide âEnclosure - IIâ.

27 Material Adjustments

Appropriate adjustments have been made during the year in accordance with restated financial statements, whenever required, by reclassification of the corresponding items of assets, liabilities and cash flow statement, in order to ensure consistency and compliance with requirement of Schedule III and Accounting Standards.

Adjustment on account of Provision for Income taxes net of Advance Tax and TDS:

Necessary adjustments relating to net Balance of Income Tax paid and/or provisions, of earlier years have been made against Reserves and Surplus in the reported period.

28 Realizations:

In the opinion of the Board and to the best of its knowledge and belief, the value on realization of current assets, loans and advances will, in the ordinary course of business, not be less than the amounts at which they are stated in the Balance sheet.

29 Contractual liabilities

All other contractual liabilities connected with business operations of the Company have been appropriately provided for.

30 Amounts in the financial statements

The financial statements including financial information have been prepared after making such regroupings and adjustments, considered appropriate to comply with the same. As a result of these regroupings and adjustments, the amount reported in the financial statements/information may not necessarily be same as those appearing in the respective audited financial statements for the relevant years. Further, amounts in the financial statements are rounded off to nearest rupee. Figures in brackets indicate negative values.

Mar 31, 2016

D. NOTES TO ACCOUNTS

1. The financial statements including financial information have been prepared after making such regroupings and adjustments, considered appropriate to comply with the same. As result of these regroupings and adjustments, the amount reported in the financial statements /information may not necessarily be same as those appearing in the respective audited financial statements for the relevant years.

2. Employee benefits:

The Company has adopted the Accounting Standard 15 (revised 2005) on Employee Benefit. The company has taken âGroup Gratuity Scheme of LICâ by creating a âtrust" in which benefits are defined as per such policy. The total amount of contribution paid and recognized as expense for the year is Rs. 5,00,000/-.

3. Segment Reporting(AS17)

4. Provisions, Contingent Liabilities and Contingent Assets (AS 29)

Contingent liabilities and commitments (to the extent not provided for).

There are no contingent liabilities as on March 31,2016 except as mentioned below-

5. Related Party Disclosure (AS 18)

Related party transactions are being reported as per AS-18 of Companies (Accounting Standards) Rules, 2006,asamended, hereunder.

Mar 31, 2015

1. 16,16,267 Shares were alloted as Bonus Shares in the Last Five Years by way of Capitalisation of Free Reserves and Surplus in Year 2013-14.

2. 4,68,160 Shares were alloted as Bonus Shares in the Last Five Years by way of Capitalisation of Free Reserves and Surplus in Year 2012-13.

3. 23,20,000 Shares were alloted as public issue.

4. The provision fore gratuity expenses upto 31/03/2014 was made and a sum of Rs. 1892872/- was reduced from general reserve.

5. The variation in depreciation has been occurred upto 31/03/2014 and same was adjusted through general reserve. The amount so adjusted is Rs. 8324015/- and Rs. 3606893/-.

6. Interest on taxes upto 31/03/2014 have been re-classified under finance cost and charged against general reserve for a sum of Rs.861430/-.

7. Profit adjustment on sale of investment has been made in general reserve for Rs. 117873/-.

8. Adjustment of deffered tax has been made upto 31/03/2014 on account of change in profits, due to depreciation and gratuity expenses.

9. Provision of income tax having effect as per restated balance sheet has been accounted for through general reserve . However provision for wealth tax has been amended on the basis of recomputation of wealth as per Wealth Tax Act 1957 and the total amount of net taxable wealth includes plots and cars and the liability of wealth tax provided for the year is Rs.52,260/-

10. Adavance received against sale of property was forfeited due to no n fullfilment of terms and conditions of the agreement in F.Y. and amount so forfeited was reduced from the cost of assets in the books in that year now reverse to "Capital Reserve".

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