Notes to Accounts of Avishkar Infra Realty Ltd.

Mar 31, 2025

B.8 Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company has a present obligation (legal or
constructive) as a result of a past event, it is probable that the Company will be
required to settle the obligation, and a reliable estimate can be made of the amount of
the obligation.

The amount recognised as a provision is the best estimate of the consideration required
to settle the present obligation at the end of the reporting period, taking into account
the risks and uncertainties surrounding the obligation.

When some or all of the economic benefits required to settle a provision are expected
to be recovered from a third party, a receivable is recognised as an asset if it is virtually
certain that reimbursements will be received and the amount of the receivable can be
measured reliably.

Contingent liability is disclosed for possible obligations which will be confirmed only by
future events not within the control of the Company or present obligations arising from
past events where it is not probable that an outflow of resources will be required to
settle the obligation or a reliable estimate of the amount of the obligation cannot be
made.

Contingent Assets are not recognized since this may result in the recognition of income
that may never be realized.

B.9 Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a
party to the contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction
costs that are directly attributable to the acquisition or issue of financial assets and
financial liabilities (other than financial assets and financial liabilities at fair value
through profit or loss) are added to or deducted from the fair value of the financial
assets or financial liabilities, as appropriate, on initial recognition. Transaction costs
directly attributable to the acquisition of financial assets or financial liabilities at fair
value through profit or loss are recognised immediately in profit or loss.

Financial assets:

All regular way purchases or sales of financial assets are recognised and derecognised
on a trade date basis. Regular way purchases or sales are purchases or sales of financial
assets that require delivery of assets within the time frame established by regulation or
convention in the marketplace.

Classification of financial assets

The financial assets are initially measured at fair value. Transaction costs that are
directly attributable to the acquisition of financial assets are added to the fair value of
the financial assets on initial recognition.

After initial recognition:

(i) Financial assets (other than investments) are subsequently measured at amortised
cost using the effective interest method.

Effective interest method is a method of calculating the amortised cost of a debt
instrument and of allocating interest income over the relevant period. The effective
interest rate is the rate that exactly discounts estimated future cash receipts (including
all fees and points paid or received that form an integral part of the effective interest
rate, transaction costs and other premiums or discounts) through the expected life of
the debt instrument, or, where appropriate, a shorter period, to the net carrying
amount on initial recognition.

Investments in debt instruments that meet the following conditions are subsequently
measured at amortised cost:

• The asset is held within a business model whose objective is to hold assets in
order to collect contractual cash flows; and

• the contractual terms of the instrument give rise on specified dates to cash flows
that are solely payments on principal and interest on the principal amount
outstanding.

Income on such debt instruments is recognised in profit or loss and is included in the
"Other Income".

The Company has not designated any debt instruments as fair value through other
comprehensive income.

(ii) Financial assets (i.e. investments in instruments other than equity of subsidiaries)
are subsequently measured at fair value.

Such financial assets are measured at fair value at the end of each reporting period,
with any gains (e.g. any dividend or interest earned on the financial asset) or losses
arising on re-measurement recognised in profit or loss and included in the "Other
Income".

Investments in equity instruments of subsidiaries

The Company measures its investments in equity instruments of subsidiaries at cost in
accordance with Ind AS 27. At transition date, the Company has elected to continue
with the carrying value of such investments measured as per the previous GAAP and
use such carrying value as its deemed cost.

Impairment of financial assets:

A financial asset is regarded as credit impaired when one or more events that may have
a detrimental effect on estimated future cash flows of the asset have occurred. The
Company applies the expected credit loss model for recognising impairment loss on
financial assets (i.e. the shortfall between the contractual cash flows that are due and
all the cash flows (discounted) that the Company expects to receive).

De-recognition of financial assets:

The Company de-recognises a financial asset when the contractual rights to the cash
flows from the asset expire, or when it transfers the financial asset and substantially all
the risks and rewards of ownership of the asset to another party. If the Company
neither transfers nor retains substantially all the risks and rewards of ownership and
continues to control the transferred asset, the Company recognises its retained interest
in the asset and an associated liability for amounts it may have to pay. On de¬
recognition of a financial asset in its entirety, the difference between the asset''s
carrying amount and the sum of the consideration received and receivable is recognised
in the Statement of profit and loss.

Financial liabilities and equity instruments

Equity instruments

Equity instruments issued by the Company are classified as equity in accordance with
the substance and the definitions of an equity instrument. An equity instrument is any
contract that evidences a residual interest in the assets of an entity after deducting all
of its liabilities.

Financial liabilities

All financial liabilities are subsequently measured at amortised cost using the effective
interest method. The carrying amounts of financial liabilities that are subsequently
measured at amortised cost are determined based on the effective interest method.
Interest expense that is not capitalised as part of costs of an asset is included in the
"Finance Costs".

The effective interest method is a method of calculating the amortised cost of a
financial liability and of allocating interest expense over the relevant period. The
effective interest rate is the rate that exactly discounts estimated future cash payments
(including all fees and points paid or received that form an integral part of the effective
interest rate, transaction costs and other premiums or discounts) through the expected
life of the financial liability, or (where appropriate) a shorter period, to the net carrying
amount on initial recognition.

De-recognition of financial liabilities

The Company de-recognises financial liabilities when, and only when, the Company''s
obligations are discharged, cancelled or have expired. An exchange between with a
lender of debt instruments with substantially different terms is accounted for as an
extinguishment of the original financial liability and the recognition of a new financial
liability. Similarly, a substantial modification of the terms of an existing financial liability
(whether or not attributable to the financial difficulty of the debtor) is accounted for as
an extinguishment of the original financial liability and the recognition of a new
financial liability. The difference between the carrying amount of the financial liability
derecognised and the consideration paid and payable is recognised in profit or loss.

B. 10 Earnings per share

Basic earnings per share is calculated by dividing the net profit or loss for the year
attributable to equity shareholders by the weighted average number of equity shares
outstanding during the year. For the purpose of calculating diluted earnings per share,
the net profit or loss for the year attributable to equity shareholders and the weighted
average number of shares outstanding during the year are adjusted for the effects of all
dilutive potential equity shares.

C. Critical Accounting judgements and key sources of estimation uncertainty

The preparation of financial statements in conformity with Ind AS requires the
Company''s Management to make judgments, estimates and assumptions about the
carrying amounts of assets and liabilities recognised in the financial statements that are
not readily apparent from other sources. The judgements, estimates and associated
assumptions are based on historical experience and other factors including estimation
of effects of uncertain future events that are considered to be relevant. Actual results
may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions
to accounting estimates (accounted on a prospective basis) and recognised in the
period in which the estimate is revised if the revision affects only that period, or in the
period of the revision and future periods of the revision affects both current and future
periods.

The following are the key estimates that have been made by the Management in the
process of applying the accounting policies:

Fair value measurement of financial instruments

When the fair values of financial assets and financial liabilities recorded in the balance
sheet cannot be measured based on quoted prices in active markets, their fair value are
measured using valuation techniques. 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 relating to
these factors could affect the reported fair value of financial instruments.

Allowance for doubtful trade receivables

Trade receivables do not carry any interest and are stated at their nominal value as
reduced by appropriate allowances for estimated irrecoverable amounts.

Estimated irrecoverable amounts are derived based on a provision matrix which takes
into account various factors such as customer specific risks, geographical region,
product type, currency fluctuation risk, repatriation policy of the country, country
specific economic risks, customer rating, and type of customer, etc.

Individual trade receivables are written off when the management deems them not to
be collectable.

Note 3.2 : Capital Management

For the purpose of the company''s capital management, capital includes issued equity capital and all other equity reserves attributable
to the equity holders of the Company. The primary objectives of the Company''s capital managmement is to ensure that it maintains a
strong credit rating and healthy capital ratios in order to support its business and maximise return to stakeholders through the
optimisation of the debt and equity balance.

The Company determines the amount of capital required on the basis of annual planning and budgeting and corporate plan for
working capital, capital outlay and longterm product and strategic involvements. The funding requirements are met through internal
accruals and a combination of both long-term and short-term borrowings.

Note 3.3 : Financial Risk Management

In course of its business, the Company is exposed to certain financial risks that could have significant influence on the Company''s
business and operational/ financial performance. These include market risk (including currency risk, interest rate risk and price risk),
credit risk and liquidity risk.

The Board of Directors reviews and approves risk management framework and policies for managing these risks and monitors suitable
mitigating actions taken by the management to minimise potential adverse effects and achieve greater predictability to earnings. In
line with the overall risk management framework and policies, the management monitors and manages risk exposure through an
analysis of degree and magnitude of risks.

(i) Market Risk

Market risk is the risk that changes in market prices, liquidity and other factors that could have an adverse effect on realizable fair
values or future cash flows to the Company. The Company''s activities expose it primarily to the financial risks of changes in foreign
currency exchange rates and interest rates as future specific market changes cannot be normally predicted with reasonable accuracy.

(a) Foreign Currency Risk Management:

The Company undertakes transactions denominated in foreign currencies and thus it is exposed to exchange rate fluctuations. The
Company actively manages its currency rate exposures, arising from transactions entered and denominated in foreign currencies, and
uses derivative instruments such as foreign currency forward contracts to mitigate the risks from such exposures. The company does
not use derivative instruments to hedge risk exposure.

(b) Interest Rate Risk Management:

The Company is exposed to interest rate risk pertaining to funds borrowed at both fixed and floating interest rates. The Company''s
risk management activities are subject to management, direction and control under the framework of risk management policy of
interest rate risk. The management ensures risk governance framework for the company through appropriate policies and procedures
and that financial risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.

For the company''s total borrowings, the analysis is prepared assuming that amount of the liability outstanding at the end of the

(ii) Credit Risk

Credit risk refers to the risk that a counterparty or customer will default on its obligation resulting in a loss to the company. Financial
instruments that are subject to credit credit risk principally consist of Loans, Trade and Other Receivables, Cash and Cash Equivalents,
Investments and Other Financial Assets.

Credit risk encompasses both, the direct risk of default and the risk of deterioration of creditworthiness as well as concentration of
risk. The Company''s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of
transactions concluded is spread amongst approved counterparties.

Trade receivables consist of a large number of customers, spread across diverse industries and geographical areas. The Company
evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and
operate in independent markets. Ongoing credit evaluation is performed on the financial condition of accounts receivable and, where
appropriate. The average credit period are generally in the range of 14 days to 90 days. Credit limits are established for all customers
based on internal rating criteria.

(iii) Liquidity Risk

The Company monitors its risk of shortage of funds through using a liquidity planning process that encompasses an analysis of
projected cash inflow and outflow.

The Company''s objective is to maintain a balance between continuity of funding and flexibility largely through cash flow generation
from its operating activities and the use of bank loans. The Company assessed the concentration of risk with respect to refinancing its
debt and concluded it to be low. The Company has access to a sufficient variety of sources of funding.

- directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the
Funding Party (Ultimate Beneficiaries) or

- provide any guarantee, security or the like on behalf of the ultimate beneficiaries.

f) The Company does not have any transaction which is not recorded in the books of accounts that has been surrendered or
disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any
other relevant provisions of the Income tax Act, 1961.

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

h) There are no charges or satisfaction which are yet to be registered with Registrar of Companies beyond the statutory period.

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

---

Mar 31, 2024

C. Terms & Rights attached to equity shares :

(A) The company has only one class of equity shares having a par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividend in indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting . During the year ended March 31, 2024, the amount per share of dividend recognised as distributions to equity share holders was Rs. NIL.

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

1. Trade payables are recognized at their original invoices amounts which present their fair value on initial recognition. The trade payables are considered to be of short duration and are not discounted and the carrying values are assumed to approximate their fair values.

2. The information as required to be disclosed pursuant under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED Act, 2006) has been determined to the extent such parties have been identified on the basis of information available with the Company.

Note 3.1 : Capital Management

For the purpose of the company''s capital management, capital includes issued equity capital and all other equity reserves attributable to the equity holders of the Company. The primary objectives of the Company''s capital managmement is to ensure that it maintains a strong credit rating and healthy capital ratios in order to support its business and maximise return to stakeholders through the optimisation of the debt and equity balance.

The Company determines the amount of capital required on the basis of annual planning and budgeting and corporate plan for working capital, capital outlay and longterm product and strategic involvements. The funding requirements are met through internal accruals and a combination of both long-term and short-term borrowings.

The Company monitors the capital structure on the basis of total debt (long term and short term) to equity and maturity profile of the overall debt portfolio of the Company.

Note 3.2 : Financial Risk Management

In course of its business, the Company is exposed to certain financial risks that could have significant influence on the Company''s business and operational/ financial performance. These include market risk (including currency risk, interest rate risk and price risk), credit risk and liquidity risk.

The Board of Directors reviews and approves risk management framework and policies for managing these risks and monitors suitable mitigating actions taken by the management to minimise potential adverse effects and achieve greater predictability to earnings. In line with the overall risk management framework and policies, the management monitors and manages risk exposure through an analysis of degree and magnitude of risks.

(i) Market Risk

Market risk is the risk that changes in market prices, liquidity and other factors that could have an adverse effect on realizable fair values or future cash flows to the Company. The Company''s activities expose it primarily to the financial risks of changes in foreign currency exchange rates and interest rates as future specific market changes cannot be normally predicted with reasonable accuracy.

(a) Foreign Currency Risk Management:

The Company undertakes transactions denominated in foreign currencies and thus it is exposed to exchange rate fluctuations. The Company actively manages its currency rate exposures, arising from transactions entered and denominated in foreign currencies, and uses derivative instruments such as foreign currency forward contracts to mitigate the risks from such exposures. The company does not use derivative instruments to hedge risk exposure.

(b) Interest Rate Risk Management:

The Company is exposed to interest rate risk pertaining to funds borrowed at both fixed and floating interest rates. The Company''s risk management activities are subject to management, direction and control under the framework of risk management policy of interest rate risk. The management ensures risk governance framework for the company through appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with the Company''s policies and risk objectives For the company''s total borrowings, the analysis is prepared assuming that amount of the liability outstanding at the end of the reporting period was outstanding for the whole year.

(ii) Credit Risk

Credit risk refers to the risk that a counterparty or customer will default on its obligation resulting in a loss to the company. Financial instruments that are subject to credit credit risk principally consist of Loans, Trade and Other Receivables, Cash and Cash Equivalents, Investments and Other Financial Assets.

Credit risk encompasses both, the direct risk of default and the risk of deterioration of creditworthiness as well as concentration of risk. The Company''s exposure and the credit ratings of its counterparties are continuously monitored and the aggregate value of transactions concluded is spread amongst approved counterparties

Trade receivables consist of a large number of customers, spread across diverse industries and geographical areas. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and operate in independent markets. Ongoing credit evaluation is performed on the financial condition of accounts receivable and, where appropriate. The average credit period are generally in the range of 14 days to 90 days. Credit limits are established for all customers based on internal rating criteria.

(iii) Liquidity Risk

The Company monitors its risk of shortage of funds through using a liquidity planning process that encompasses an analysis of projected cash inflow and outflow.

The Company''s objective is to maintain a balance between continuity of funding and flexibility largely through cash flow generation from its operating activities and the use of bank loans. The Company assessed the concentration of risk with respect to refinancing its debt and concluded it to be low. The Company has access to a sufficient variety of sources of funding

Note 3.5: Contingent Liabilities

Contingent Liability in connection with Capital Expenditure of Purchase of rights in property for development not provided for is Rs. 393.55 Lacs (P.Y. Rs. 393.55 Lacs).

Note 3.6: Capital Commitements

Estimated amount remaining to be executed on contracts amounts to Rs. 595.40 Lacs (P.Y. Rs. 595.40 Lacs) to the members of the Lodha Co-operative Housing Society.

Note 3.7 : Other Notes

1. Outstanding Balance of unsecured loans, borrowings, trade receivables, trade payables and any other outstanding balances including all squared up accounts are subject to confirmation and reconciliation.

2. The Company has purchased and registered and are in the possession of 4 (Four) flats in the Lodha Cooperative Housing Society Ltd. at Kalina, Mumbai. The transfer of shares and membership in the name of the Company are yet to be registered by the Society as the matter is in legal dispute at Mumbai High Court, Maharashtra.

3. Previous Year Figures have been regrouped, rearranged, recalculated and reclassified whenever required and opening balance as per previous auditor certified.

5. Additional Regulatory Information

a) The Company does not have any benami property where any proceedings have been initiated on or are pending against the Company for holding benami property under the Benami Transactions (Prohibitions) Act, 1988 (45 of 1988) and rules made thereunder.

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

c) The Company has not entered into any scheme of arrangement which has an accounting impact on current or previous financial year.

d) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

- directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (Ultimate Beneficiary) or

- provide any guarantee, security or the like to or on behalf of the ultimate beneficiary.

e) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall

- directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

- provide any guarantee, security or the like on behalf of the ultimate beneficiaries.

f) The Company does not have any transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income tax Act, 1961.

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

h) There are no charges or satisfaction which are yet to be registered with Registrar of Companies beyond the statutory period.

i) The Company has no transactions with the Companies struck off under section 248 of the Companies Act,

2013 or section 560 of the Companies Act, 1956.

---

Mar 31, 2023

3.11 Provisions, contingent liabilities, contingent assets

A provision is recognized when the Company has a present obligation (legal or constructive) as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. If the effect of time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risk specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a finance cost. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.

A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not require an outflow of resources. When there is a possible obligation or a present obligation in respect of which likelihood of outflow of resources is remote, no provision or disclosure is made.

The Company does not recognize a contingent asset but discloses its existence in the financial statements if the inflow of economic benefits is probable. However, when the realization of income is virtually certain, then the related asset is no longer a contingent asset, but it is recognized as an asset.

Provisions, contingent liabilities, contingent assets, and commitments are reviewed at each balance sheet date.

3.12 Earnings per share

Basic Earnings Per Share is computed by dividing the profit / (loss) after tax by the weighted average number of equities shares outstanding during the year. Diluted earnings per share is computed by dividing the profit / (loss) after tax as adjusted for the effects of dividend, interest and other charges relating to the dilutive potential equity shares by weighted average number of equity shares plus dilutive potential equity shares.

OTHER ADDITIONAL INFORMATION FORMING PART OF FINANCIAL STATEMENT

I. Contingent Liability

Contingent Liability in connection with Capital Expenditure of Purchase of rights in property for development not provided for is Rs. 393.55 Lacs (P.Y. Rs. 393.55 Lacs).

II. Capital Commitment:

Estimated amount remaining to be executed on contracts amounts to Rs. 595.40 Lacs (P.Y. Rs. 595.40 Lacs) to the members of the Lodha Co-operative Housing Society.

III. Segment Reporting:

The Company has one reportable business and geographical segment and hence no further disclosure is required under IND AS- 108 on Segment Reporting.

IV. Related Parties Disclosures under IND AS 24: As per note attached

V. The Company has purchased and registered and are in the possession of 4 (Four) flats in the Lodha Co-operative Housing Society Ltd. at Kalina, Mumbai. The transfer of shares and membership in the name of the Company are yet to be registered by the Society as the matter is in legal dispute at Mumbai High Court, Maharashtra.

VII. The company has neither paid the principal amount to MSME creditors nor paid or provided any interest during the year and previous year on it.

VIII. Previous year''s figures have been regrouped and recast wherever necessary to conform to the current year classification.

FOR CHHAJED & DOSHI FOR AND ON BEHALF OF THE BOARD

CHARTERED ACCOUNTANTS (ICAI Firm Reg. No. 101794W)

Sd/- Sd/- Sd/-

(H. N. MOTIWALLA) BHAVIN J. SONI RACHNA B. SONI

PARTNER MANAGING DIRECTOR DIRECTOR

Membership No.: 011423 DIN: 00132135 DIN: 00918501

Sd/- Sd/-

AVINASH JADHAV SHRUTI SHAH

CHIEF FINANCIAL OFFICER COMPANY SECRETARY

Place: Mumbai Place: Mumbai Place: Mumbai

Date: 11/05/2023 Date: 11/05/2023 Date: 11/05/2023

---

Mar 31, 2015

NOTES 1

Terms/rights attached to the equity shares

The Company has only one class of shares referred to as equity shares having a par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share. The dividend is not proposed by the Board of Directors.

As per the Companies act 2013 the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts in the event of liquidation of the Company. However no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

# The company has taken loan from Edelweiss Housing Finance Limited for Rs. 17.19 Lacs against mortgage of Vakola premises which is guaranteed by Jayant Soni and Bhavin Soni on floating interest rate of 17.95% p.a. for 84 installments of Rs. 36,082/- each maturing on 15th July,2020.

Note 2: DEFERRED TAX LIABILITY (NET)

The company has recognized deferred tax arising on account of timing differences, being difference between the taxable income and accounting income, that originates in one period and is capable of reversal in one or more subsequent period(s) in compliance with the Accounting Standard (AS 22)-Accounting for taxes on income.

# The investments are made long term in nature at cost and are realizable. However, the Company is in Dormant / Strike Off Status, any short recovery shall be accounted as loss duly determined on the receipt of actual amount.

The partnership accounts are yet to be finalised for 31.03.2015 therefore, profit/loss (if any) shall be accounted on actual finalisation of accounts of the said firm and shall be accounted in subsequent years of the company. The Interest received on balance in capital account @ 12% is charged to the partnership firm as per deed and same is treated as income of the Company for the current year.

NOTE - 3:

OTHER ADDITIONAL INFORMATION FORMING PART OF FINANCIAL STATEMENT

I. Contingent Liability

(a) Contingent Liability in connection with Capital Expenditure of Purchase of rights in property for development not provided for is Rs. 393.55 Lacs (P.Y. Rs. 393.55 Lacs).

(b) The Income Tax Department has appealed against the Income tax Appellate Tribunal Order for A.Y 1996-1997 in the Mumbai High Court. Any adverse judgment of the Mumbai High Court may result in liability of interest shall be accounted on actual payment after the verdict of the Court(s). However, all the Income Tax and Interest thereon as per the Tribunal Order has been paid fully.

II. Capital Commitment:

Estimated amount remaining to be executed on contracts amounts to Rs. 595.40 Lacs (P.Y. Rs. 595.40 Lacs) to the members of the Lodha Co-operative Housing Society.

III. a. The provision for doubtful debts (if any) in the trade receivables shall be accounted asa. No provision is made as doubtful debts on trade receivables, the Directors are exploring the possibility of one time settlement with them and grant waiver which shall be accounted as bad debts after all efforts of the management to recover as one time settlement & installments granted to the debtors, devolves on account of non payment by them shall be written off as bad debts on non receipt as mutually agreed by the parties.

b. In view of non-receipt of maintenance bills from the Lodha CHS Ltd. till date, amount of maintenance charges is not determinable and hence provision is made on ad-hoc basis.

c. The investments are made long term in nature at cost and are realizable. However, the Company is in Dormant/Strike Off Status, any short recovery shall be accounted as loss duly determined on the receipt of actual amount.

d. Depreciation on premises is not provided as the same is not ready for use.

IV. Segment Reporting:

The Company has one reportable business and geographical segment and hence no further disclosure is required under Accounting Standard (AS)-17 on Segment Reporting..

V. Related Parties Disclosures under Accounting Standard 18 issued by ICAI

VI. The company has purchased and registered and are in the possession of 4 (Four) flats in the Lodha Co-operative Housing Society Ltd. at Kalina, Mumbai. The transfer of shares and membership in the name of the Company are yet to be registered by the Society as the matter is in legal dispute at Mumbai High Court, Maharashtra.

VII. Other disclosure requirements relating to exports, imports and earnings and / or outgo of foreign currency, is not given as the same is not applicable for the year under review.

VIII. Previous year's figures have been regrouped and recast wherever necessary to conform with the current year classification.

---

Mar 31, 2013

NOTE 1 : DEFERRED TAX LIABILITY (NET)

The company has recognized deferred tax arising on account of timing differences, being difference between the taxable income and accounting income, that originates in one period and is capable of reversal in one or more subsequent period(s) in compliance with the Accounrting Standard (AS 22) - Accounting for taxes on income.

The major components of deferred tax (liabilities)/assets arising on account of timing differences as at 31st March, 2013 are as follows:

I. Contingent Liability

(a)Contingent Liability in connection with Capital Expenditure of Purchase of rights in property for development not provided for is Rs. 407.41 Lacs {P.Y. Rs. 407.41 Lacs).

(b)The Income Tax Department has appealed against the Income tax Appellate Tribunal Order for A.Y 1996-1997 in the Mumbai High Court. All the income tax and interest as per the Tribunal order have been paid by the Company. Any adverse judgment of the High Court may result in tax liability and interest which is at present unascertainable.

II. Capital Commitment:

Estimated amount remaining to be executed on contracts amounts to Rs. 600.40 Lacs (P.Y. Rs. 595.40.Lacs) to the members of the Lodha Co-operative Housing Society and Rs. 10 Lacs (P.Y. 10 Lacs) towards furniture & fixture at Vakola office and Rs.6 Lacs (P.Y. NIL) towards architectural and allied service fees for projects.

III. No Provision is Made in Books

a. Trade Receivables includes amount due over 3 years, which are considered to be doubtful in nature, is not provided.

b. In view of non-receipt of maintenance bills from the Lodha CHS Ltd. till date, amount of maintenance charges is not determinable and hence not provided for.

c. Diminution in the value of investment is not accounted being long term in nature.

d. Depreciation on premises is not provided for as being fixed and immovable assets,

IV. Segment Reporting:

The Company has one reportable business and geographical segment and hence no further disclosure is required under Accounting Standard (AS)-17 on Segment Reporting.

V The company has purchased and registered and are in the possession or * y-uui; flats in the Lodha Co-operative Housing Society Ltd. at Kalina, Mumbai The share certificates and membership of the society of the above mentioned flats are yet to be transferred in the Company''s name as the matter is under legal dispute under High Court,Mumbai.

VI Other disclosure requirements relating to exports, imports and earnings and / or outgo of foreign currency, is not given as the same is not applicable for the year under review.

VII. Previous year''s figures have been regrouped and recast wherever necessary to confirm with the current year classification.

---

Mar 31, 2012

A) Terms/rights attached to the equity shares

The Company has only one class of shares referred to as equity shares having a par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share. The dividend is not proposed by the Board of Directors.

As per the Companies act 1956, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts in the event of liquidation of the Company. However no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

In order to give a true and fair picture of the financial net worth of the company, the board of directors of the company has recommended and applied for reduction of share capital U/s 100 to 105 of the Companies Act, 1956. After securing necessary approvals/ permissions from relevant authorities under the applicable laws, the company seeks to set off their debit balance in the Profit a; id Loss Account to the extent of Rs.7,30,92,700/- against the Securities Premium Account of Rs. 3,70,43,500/- and partly against equity share capital of Rs.360,49,200/- which shall reduce the equity capital to Rs.240,32,800/- consisting of 24,03,280 shares of Rs. 10/- each fully paid up after judicial/members approvals in due course instead of Rs. 6,00,82,000/- consisting of 60,08,200 equity shares of Rs. 10/- each at present.

NOTE 1 : DEFERRED TAX LIABILITY (NET)

The company has recognized deferred tax arising on account of timing differences, being difference between the taxable income and accounting income, that originates in one period and is capable of reversal in one or more subsequent period(s) in compliance with the Accounting Standard (AS 22) - Accounting for taxes on income.

The major components of deferred tax (liabilities)/assets arising on account of timing differences as at 31st March, 2012 are as follows:

NOTE-2 :

OTHER ADDITIONAL INFORMATION FORMING PART OF FINANCIAL STATEMENT

I. Contingent Liability

Contingent Liability in connection with Capital Expenditure of Purchase of rights in property for development not provided for is Rs. 407.41 Lacs (P.Y. Rs. 407.41 Lacs).

II. Capital Commitment:

Estimated amount remaining to be executed on contracts amounts to Rs. 595.40 Lacs (P.Y. Rs. 595.40 Lacs) to the members of the Lodha Co-operative Housing Society and Rs. 10 Lacs (P.Y. NIL) towards furniture & fixture at Vakola office.

III. No Provision is Made in Books

a. Trade receivable includes amount due over 3 years, which are considered to be doubtful in nature, is not provided for.

b. The Income tax department has appealed against Income Tax Appellate Tribunal order for Assessment Year 1996 - 97 in Mumbai High Court. The liability and interest, if any, thereon is not provided since order is pending and not ascertainable. As legally advised to the company, all the undisputed tax and interest thereon is paid till date by the company.

c. In view of non-receipt of maintenance bills from the Lodha CHS Ltd. till date, amount of maintenance charges is not determinable and hence not provided for.

d. Diminution in the value of investment is not accounted being long term in nature.

IV. Segment Reporting :

The Company has one reportable business and geographical segment and hence no further disclosure is required under Accounting Standard (AS)-17 on Segment Reporting.

VI. The debit balance of Rs. 782,581/- under the head miscellaneous expenditure has been charged to profit and Loss account during the year fully.

VII. The company has purchased and registered and are in the possession of 4 (Four) flats in the Lodha Co-operative Housing Society Ltd. at Kalina, Mumbai. The share certificates and membership of the society of the above mentioned flats are yet to be transferred in the Company's name as the matter is under legal dispute under Court of Laws.

VIII. Other disclosure requirements Revised Schedule VI in the statement of the Companies Act, 1956, relating to exports, imports and earnings and / or outgo of foreign currency, is not given as the same is not applicable for the year under review.

X. To Comply with Revised Schedule VI, previous year's figures have been regrouped and recast wherever necessary.

---

Mar 31, 2011

I. The Company has entered into Partnership Business, At Will, in the name and - style of Abhishek Properties on 20th December, 2007 for development of real estate business along with following partners with initial capital, introduced by partners, of Rs.10,000/- each at profit/loss sharing ratio as per partnership deed.

The partnership accounts are yet to be finalized for 31st March 2011 therefore provisional share of loss of Firm for FY 2010-2011 Rs.59,467/- i.e. 1/3 share of total loss of Rs. 1,78,400/- has been accounted. The variation in said loss (if any) shall be accounted on finalization of accounts of the Firm. However, interest on capital and loan @ 12% p.a. is charged to partnership firm as per deed and is treated as income of the Company in the current year.

II. Contingent Liability

Contingent Liability in connection with Capital Expenditure of Purchase of rights in property for development not provided for is Rs.407.41 Lacs (P.Y. Rs.339.37 Lacs)

III. No Provision is Made in Books

i Sundry Debtors & Advances include amount due over 3 years, which are considered to be doubtful in nature, is not provided for in the books.

ii Diminution in value of Investment in shares and bonds are not considered being long term in nature, therefore no provision has been made in Books. However, physical verification is made and shortfall and/or omission are written off during the year.

iii. The Income tax department has appealed against Income Tax Appellate Tribunal order for Assessment Year 1996 - 97 in Mumbai High Court. The liability and interest thereon is not provided since order is pending and not ascertainable. As legally advised to the company, all the undisputed tax and interest thereon is paid till date by the company.

iv. In view of non-receipt of maintenance bills from the Lodha CHS Ltd. till date, amount of maintenance charges is not determinable and hence not provided for.

VI. Estimated amount remaining to be executed on contracts amounts to 595.40 Lacs (P.Y. Rs.700.10 Lacs) to the members of the Lodha Co-operative Housing Society and NIL for SBI Alka CHS Limited (P. Y. Rs.130 Lacs)

IV. Miscellaneous expenditure incurred for increase of authorized share capital aggregating to Rs.782,581/- is treated as deferred revenue expenditure and no amortization is made for the year.

V. Segment Reporting:

The Company has one reportable business and geographical segment and hence no further disclosure is required under Accounting Standard (AS)-17 on Segment Reporting

VI. Other information as required by Schedule VI of Part II of the Companies Act, 1956, relating to exports, imports and earnings and / or outgo of foreign currency, is not given as the same is not applicable to the year under review.

VII. The company has acquired and is in the possession of total 4 (Four) flats from the member of Lodha Co-operative Housing Society Ltd. The share certificates of the said flats are yet to be transferred in the Company's name as the matter is under dispute.

VIII. During the year, no remuneration has been paid to the managing director Shri. Bhavin J. Soni, in view of meager profit.

---

Mar 31, 2010

I. The Company has entered into Partnership Business, At Will, in the name and style of Abhishek Properties on 20th December, 2007 for development of real estate business along with following partners with initial capital, introduced by partners, of Rs 10,000/- each at profit/loss sharing ratio as per partnership deed.

The partnership accounts are yet to be finalized therefore profit or loss (if any) shall be accounted on respective date. However, interest on capital and loan @ 12% p.a. is charged to partnership firm as per deed and is treated as income of the Company in the current year. III. Deferred Tax In compliance of Accounting Standard (AS) - 22 on Accounting for Taxes On Income issued by ICAI the breakup of Deferred Tax Liability (net) is as under:

II. Contingent Liability

Contingent Liability in connection with Capital Expenditure of Purchase of rights in property for development not provided for is Rs. 339.37 Lacs including Rs. 1.25 Lacs for maintenance charges of flats.

III. No Provision is Made in Books

Sundry Debtors & Advances include amount due over 3 years, which are considered to be doubtful in nature, is not provided for in the books since new Management shall pursue with debtors for recovery.

ii Diminution in value of Investment in shares and bonds are not considered being long term in nature, therefore no provision has been made in Books. However, physical verification is made and shortfall and/or omission is written off during the year. iii. The Income tax department has appealed against Income Tax Appellate Tribunal order for Assessment Year 1996- 97 in Mumbai High Court. The liability and interest thereon is not provided since order is pending and not ascertainable. As legally advised to the company, all the undisputed tax and interest thereon is paid till date by the company.

IV. Estimated amount remaining to be executed on contracts amounts to Rs. 700.10 Lacs to the members of the Lodha Society and Rs. 130 Lacs for SBI Alka CHS Ltd.

V. Miscellaneous expenditure incurred for increase of authorized share capital aggregating to Rs. 782,581/- is treated as deferred revenue expenditure and no amortization is made during the year.

VI. Segment Reporting:

The Company has one reportable business and geographical segment and hence no further disclosure is required under Accounting Standard (AS)-17on Segment Reporting

VII. Related Parties Disclosures under Accounting Standard 18 issued by ICAI

(A) Key Management Personnel

Name of Related Party Nature of Relationship

Shri Bhavin J. Soni Managing Director

Shri Jayant B. Soni Chairman

Shri K. Madhusudan Reddy Director Resigned w.e.f. 31 -07-2009

VIII. Other information as required by Schedule VI of Part II of the Companies Act, 1956, relating to exports, imports and earnings and / or outgo of foreign currency, is not given as the same is not applicable to the year under review.

IX. The company has acquired and in the possession of total 3 (Three) flats from the member of Lodha Co-operative Housing Society Ltd. The share certificates of the said flats are yet to be transferred on the Companys name.

X. During the year, no remuneration has been paid to the managing director, Shri. Bhavin J. in view of meager profit.

XI. The company is complied all the statutory requirements of Employees Provident Funds and Miscellaneous Provisions Act 1952 although it is not mandatory as the number of employee of the company is below the limit prescribed under the Act.

XII. Previous Years figures have been regrouped and recast wherever necessary.