Accounting Policies of Groarc Industries India Ltd. Company

Mar 31, 2024

1. Significant Accounting Policies and Notes on Accounts.

Accounting policies / compliance of Accounting Standards issued by the Institute of Chartered
Accountants of India.

(1) AS 1 : Disclosure on accounting policies

The financial statements have been prepared under the historical cost convention in accordance with
the generally accepted accounting principles in India and the provisions of the Companies Act, 2013
and in compliance with the applicable Accounting Standards referred as per Companies Act, 2013.
The accounts are maintained on accrual basis as a going concern.

All assets and liabilities have been classified as current or non-current as per the Company''s normal
operating cycle and other criteria set out in the Schedule III in the Companies Act, 2013. Based on the
nature of products and the time between the acquisition of assets for processing and their realization in
cash and cash equivalents, the Company has determined its operating cycle as twelve months for the
purpose of current & non current classification of assets and liabilities.

The preparation of financial statements requires estimates and assumptions to be made that affects the
reported amount of assets and liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reported period. Difference between the actual
results and estimates are recognized in the period in which the results are known / materialized.

(2) AS 2 : Valuation of Inventories

Cost of Inventory is generally ascertained on the weighted average basis.

(3) AS 3: Cash Flow Statements

Cash Flow Statement has been attached to the Balance Sheet and Profit and Loss Account.

(4) AS 4: Events occurring after balance sheet date:

There are no events occurring after the Balance Sheet date that require adjustment or disclosures.

(5) AS 5: Net Profit or Loss for the period, prior period items and changes in Accounting Policies:
There are no events occurring after the Balance Sheet date that require adjustment or disclosures.

(6) AS 6: Depreciation Accounting

Depreciation on fixed assets is provided on a straight line basis so as to charge the cost of the assets
over the useful life of the respective assets as prescribed under part C of schedule II of the companies
Act 2013. Residual value has been considered as 5% of the cost of the respective assets. Depreciation/
Amortization on assets added, sold or discarded during the year is provided on pro rata basis.

(7) AS 7: Accounting for Construction contracts

The above standard is not applicable to the Company as it is not engaged in the business of
construction.

(8) AS 8 : Accounting for Research Development

This standard has been withdrawn from 1-4-2003 consequent to the introduction of Accounting
Standard AS 26 on Accounting for intangible Assets becoming mandatory.

(9) AS 9: Revenue recognition

Revenue is recognized and expenditure is accounted for on their accrual. Interest and other costs in
connection with borrowing of funds to the extent related / attributed to the acquisition / construction
of qualifying fixed assets are capitalized up to the date when such assets are ready for its intended use.
Other borrowings costs are charged to Profit and Loss Accounts. During the year, the Company
amended its objects in Memorandum of Association and passed necessary resolutions.

(10) AS 10: Accounting for Fixed Assets.

a) Fixed Assets are stated at the values at which they are acquired, less accumulated depreciation. The
value at which fixed assets are acquired includes all related expenses up to the date of putting them
to use.

b) Cenvat Credit availed on acquisition of Fixed Assets is reduced from the cost of the concerned
assets.

c) The Fixed Assets of the company are insured against fire risks for the acquisition Value / market
value whichever applicable.

(11) AS 11: Accounting for effects in Foreign exchange rates.

The company export its trading to foreign countries. The cost or earnings are accounted on Net
Realisable value.

(12) AS 12: Accounting for Government grants.

The company has not received any grant from the Government during the year .

(13) AS 13: Accounting of Investments.

Current investments are valued at lower of cost and fair value.

(14) AS 14: Accounting for Amalgamations.

The above standard is not applicable as there was no amalgamation during the year.

(15) AS 15: Accounting for retirement benefit.

Leave encashment is at the discretion of the management and is charged off to revenue in the year of
payment. Accounting for Gratuity was made on Cash basis.

(16) AS 16: Borrowing cost.

Interests on borrowings to finance fixed assets are capitalized only if the borrowing costs are
attributable to the acquisition of fixed assets that take a substantial period of time to get ready for its
intended use. Expenditure incurred on alteration/temporary constructions is charged off as
expenditure under appropriate heads of expenditure in Profit and Loss account in the year in which it
is incurred.

(17) AS 17: Segment reporting

Since the company''s business activity falls within a single business segment, there is no additional
disclosures to be provided under account standard 17-''segment reporting'' other than those already
provided in the financial statements.

(18) AS 18: Related party disclosure:

There is no related party transactions during the year.

(19) AS 19: Leases.

There is no lease agreement between the company and others. Hence this standard is not applicable.

(20) AS 21: Consolidated financial statements.

The standard is not applicable since the company does not have Subsidiary company

(21) AS 22: Accounting for taxes on income.

Provision is made for income tax liability estimated to arise on the results for the year at the current
rate of tax in accordance with the Income Tax Act 1961.

In accordance with the Accounting Standard - 22, Accounting for Taxes on Income, issued by the
Institute of Chartered Accountants of India (ICAI), and effective from 1st April 2001 and in accordance
with the listing Agreements with the respective stock exchanges, the Company has recognized the
deferred tax liability in the accounts whereby:

1. The Net deferred tax Asset arising on account of timing differences at 31-03-2024 is Rs.52,130/-

2. Deferred Tax resulting from timing differences between book and tax profits is accounted for
under the Assets, at the current rate of tax.

3. Deferred tax assets / liabilities arising on account of brought forward losses and unabsorbed
depreciation are recognized only when there is virtual certainty supported by convincing evidence
that such assets will be realized. Deferred tax assets/liabilities arising on other temporary timing
differences are recognized only if there is a reasonable certainty of realization.

(22) AS 23: Accounting for investments in associates

The above standard is not applicable to this Company as there are no associates.

(23) AS 24: Discontinuing Operations.

The company has not discontinued any operations during the year.

(24) AS 25: Interim Financial Reporting

Since the company is a Public ltd Company quarterly financial results are sent to all Stock Exchanges.

(25) AS 26: Intangible Assets.

The company has not acquired any intangible assets during the year and hence the standard is not
applicable.

(26) AS 27: Financial Reporting of interests in joint ventures.

This standard is not applicable to this company.

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Mar 31, 2011

1. Basis of preparation of Financial Statements:

The Financial Statements have been prepared in accordance with die generally accepted accounting principles on accrual basis and comply with the accounting standards referred to in section 211 (3C) of die Companies Act, 1956 as adopted consistency by the company. The company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

2. Revenue Recognition:

Revenue from software development is recognized at the time of invoicing them to customers. The sale of Shares is accounted on transfer and sale of Land is accounted on registration of sale deed.

3. Fixed Assets:

Fixed assets are stated at historical cost less accumulated depreciation.

4. Investments:

Investments are classified as long-term investments and current investments. Long-term investments are stated at cost and any decline other than temporary, in the value of such investments is charged to the Profit and Loss Account. Current investments are stated at lower of cost and market value. Investments are held in the name of the company. As on the date of the balance sheet all investments made by the Company are Long term investments only.

5. Depreciation:

Depreciation on fixed assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act, 1956.The Company has provided depreciation only on the assets utilized during the year.

6. Segment:

The Company has amended its main objects clause on 30.09.2009 and accordingly the name of the Company was also changed from Telesys Software Limited to Telesys Info Infra (India) Limited on 5th November 2009. Therefore the Company operates in two segments that is to say (1) Software Development and sale (2) Development of infrastructure and immovable properties and sale as stated in the Objects clause of Memorandum of Association. Hence, the income-generated from sale of land considered as business income.

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Mar 31, 2010

Not Available

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Mar 31, 2009

1.Basis of preparation of Financial Statements:

The Financial Statements have been prepared in accordance with the generally accepted accounting principles on accrual basis and comply with the accounting standards referred to in section 211 (3C) of the Companies Act, 1956 as adopted consistently by the company. The company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

2. Revenue Recognition:

Revenue from software development is recognized at the time of invoicing them to customers. The sale of Shares is accounted on transfer and sale ofLand is accounted on registration of sale deed.

3. Fixed Assets:

Fixed assets are stated at historical cost less accumulated depreciation

4.1nvestments:

Investments are classified as long-term investments and current investments. Long-term investments are stated at cost and any decline other than temporary, in the value of such investments is charged to the Profit and Loss Account. Current investments are stated at lower of cost and market value. Investments are held in the name of the company. As on the date of the balance sheet all investments made by the Company are Long term investments only.

5. Depreciation:

Depreciation on fixed assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act, 1956.The Company has provided depreciation only on the assets utilized during the year

6. Segment:

The Company operates in only one segment that is Software development and sales in India only. During the year as there was downtrend in the Software Business, the Company has also purchased and sold Land and Shares on Trading.

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Mar 31, 2008

1. Basis of preparation of Financial Statements:

The Financial Statements have been prepared in accordance with the generally accepted accounting principles on accrual basis and comply with the accounting standards referred to in section 211 (3C) of the Companies Act, 1956 as adopted consistently by the company. The company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

2. Revenue Recognition:

Revenue from software development is recognized at the time of invoicing them to customers

3. Fixed Assets:

Fixed assets are stated at historical cost less accumulated depreciation.

4. Investments:

Investments are classified as long-term investments and current investments. Long- term investments are stated at cost and any decline other than temporary, in the value of such investments is charged to the Profit and Loss Account. Current investments are stated at lower of cost and market value. Investments are held in the name of the company. As on the date of the balance sheet all investments made by the Company are Long term investments only.

5. Depreciation:

Depreciation on fixed assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act, 1956.The Company has provided depreciation only on the assets utilized during the year.

6. Segment:

The Company operates in only one segment that is Software development and sales in India only.

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Mar 31, 2007

1. Basis of preparation of Financial Statements:

The Financial Statements have been prepared in accordance with the generally accepted accounting principles on accrual basis and comply with the accounting standards referred to in section 211 (3C) of the Companies Act, 1956 as adopted consistently by the company. The company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

2. Revenue Recognition:

Revenue from software development is recognized at the time of invoicing them to customers

3. Fixed Assets:

Fixed assets are stated at historical cost less accumulated depreciation.

4. Investments:

Investments are classified as long-term investments and current investments. Long- term investments are stated at cost and any decline other than temporary, in the value of such investments is charged to the Profit and Loss Account. Current investments are stated at lower of cost and market value. Investments are held in the name of the company.

5. Depreciation:

Depreciation on fixed assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act, 1956.The Company has provided depreciation only on the assets utilized during the year.

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Mar 31, 2005

1. Basis of preparation of Financial Statements:

The Financial Statements have been prepared in accordance with the generally accepted accounting principles on accrual basis and comply with the accounting standards referred to in section 211 (3C) of the Companies Act, 1956 as adopted consistently by the company. The company follows the mercantile system of accounting and recognizes income and expenditure on accrual basis.

2. Revenue Recognition:

Revenue from software development is recognized at the time of invoicing them to customers

3. Fixed Assets:

Fixed assets are stated at historical cost less accumulated depreciation.

4. Investments:

Investments are classified as long-term investments and current investments. Long-term investments are stated at cost and any decline other than temporary, in the value of such investments is charged to the Profit and Loss Account. Current investments are stated at lower of cost and market value. Investments are held in the name of the company.

5. Depreciation:

Depreciation on fixed assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act, 1956. The Company has provided depreciation only on the assets utilized during the year.

6. Taxes on Income:

The Company has made necessary provision for Income Tax, taking into account the allowances and exemptions under the Income Tax Act, 1961.

Deferred Tax resulting from timing difference between book and tax profits is accounted for under the liability method, at the current rate of tax, to the extent that the timing difference are expected to crystallize.

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Mar 31, 2003

1. Significant Accounting Policies

a) Basis of preparation of financial statements

The Financial Statements have been prepared in accordance with the generally accepted accounting principles on accrual baste and comply with the accounting standards referred to in section 211 (3C) of the Companies Act, 1956 as adopted consistently by the company. The Company follows the mercantile system of accounting and recognize* income and expenditure on accrual basis.

b) Revenue recognition

Revenue from software development is recognized based on software developed or time spent in person hours or person weeks and billed to customers as per the terms of specific contracts.

Revenue from software development services comprises income from time and materials fixed price contracts. Revenue Is recognized in accordance with the terms of the contract with the customer. Revenue with respect to time-and material contracts is recognized as related services are performed. Revenue from fixed-price contracts Is recognized in accordance with the percentage of completion method.

c) Fixed Assets

Fixed assets are stated at historical cost less accumulated depreciation

d) Depreciation

Depreciation on fixed assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act. 1956. The expenditure incurred towards the acquisition of Assets for Research and Development have been capitalized and no depreciation has been provided for.

e) Taxes on Income

The Company has made necessary provision for Income Tax, taking into account the allowances and exemptions under the Income Tax Act, 1961.

Deferred Tax resulting from timing difference between book and tax profits is accounted for under the liability method, at the current rate of tax, to the extent that the timing differences are expected to crystallize.

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Mar 31, 2002

A) The Financial Statements have been prepared in accordance with the generally accepted accounting principles on an accrual basis and comply with the accounting standards referred to in section 211 (3C) of the Companies Act, 1956 as adopted consistently by the company.

b) The Company follows the mercantile system of accounting and recognises income and expenditure on accrual basis.

c) Fixed Assets are stated at the historical cost less accumulated depreciation.

d) Depreciation on Fixed Assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act 1956.

The Expenditure incurred towards the acquisition of Assets for Research and Development have been capitalized and no depreciation has been provided for.

e) The Company has made necessary provision for Income Tax, taking into account the allowances and exemptions under the Income Tax Act 1961.

f) Deferred Tax resulting from timing difference between book and tax profits is accounted for under the liability method, at the current rate of tax, to the extent that the timing differences are expected to crystallize.

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Mar 31, 2001

1. Basis for preparation of Financial Statements :

The Financial Statements have been prepared in accordance with the generally accepted accounting principles and the Companies Act, 1956 as adopted consistently by the company.

2. The Company follows the mercantile system of accounting and recognises income and expenditure on accrual basis.

3. Fixed Assets :

Fixed Assets are stated at the historical cost less accumulated depreciation.

4. Depreciation :

Depreciation on Fixed Assets is provided on written down value basis at the rates prescribed in schedule XIV to the Companies Act 1956.

The Expenditure incurred towards the acquisition of Assets for Research and development have been capitalized and no depreciation has been provided for.

5. Inventories :

Inventories are valued at the lower of historical cost and net realizable value.

6. Income Tax :

The Company has made necessary provision for Income Tax, taking into account the allowances and exemptions under the Income Tax Act 1961.

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Mar 31, 2000

1. Basis for preparation of Financial Statements :

The Financial Statements have been prepared in accordance with the generally accepted Accounting principle and the companies Act, 1956, as adopted consistently by the company.

2. The Company follows the mercantile system of accounting and recognises income and expenditure on accrual basis.

3. Fixed Assets :

Fixed Assets are stated at the historical cost less accumulated depreciation.

4. Depreciation :

Depreciation on Fixed Assets is provided on written down value basis at the rates prescribed in schedule XIV to the companies Act, 1956.

The Expenditure incurred towards the acquisition of Assets for Research and development have been capitalized and no depreciation has been provided for.

5. Inventories :

Inventories are valued at the lower of historical cost and net realizable value.

6. Income Tax :

The company has made necessary provision for Income Tax, Taking into account the allowances and exemptions under the Income Tax Act, 1961.

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Mar 31, 1999

A. INCOME AND EXPENDITURE

Company follows accrual system of accounting in general.

B. FIXED ASSETS

Fixed assets are valued at cost less accumulated depreciation.

C. DEPRECIATION

a) Depreciation is provided on WDV method applying the rates specified in Schedule XIV to the Companies Act, 1956.

b) Depreciation on Fixed Assets added/disposed off during the year is provided of on prorata basis with reference to the month of additions/disposal.

D) VALUATION OF CLOSING STOCK

Closing Stock is valued at cost or market value whichever is lower.

E) OTHERS

Preliminary expenses & Deferred Exps. are written off over a period of ten years.

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Mar 31, 1998

Information is not available.