Accounting Policies of Hampton Sky Realty Ltd. Company

Mar 31, 2025

3. Material Accounting Policies

a. Compliance with IND AS

The Standalone Financial Statements have been
prepared in accordance with the Indian
Accounting Standards (IND AS) as prescribed
under section 133 of the Companies Act, 2013
read with Companies (Indian Accounting
Standards) Rules as amended from time to time,
to the extent applicable.

The accounting policies, as set out in the
following paragraphs of this note, have been
consistently applied, by the Company, to all the
periods presented in the said Standalone
Financial Statements.

The preparation of the said Standalone Financial
Statements requires the use of certain critical
accounting estimates and judgments. It also
requires the management to exercise judgment
in the process of applying the Company''s
accounting policies. The areas where estimates
are significant to the Standalone Financial
Statements, or areas involving a higher degree of
judgment or complexity, are disclosed in Note 40.

The Standalone Financial Statements are based
on the classification provisions contained in Ind
AS 1, ''Presentation of Financial Statements'' and
division II of schedule III of the Companies Act
2013.

In preparing the Standalone Financial
Statements, management is responsible for
assessing the Company''s ability to continue as a
going concern, disclosing, as applicable, matters
related to going concern and using the going
concern basis of accounting unless management
either intends to liquidate the Company or to
cease operations, or has no realistic alternative
but to do so.

Further, for the purpose of clarity, various items
are aggregated in the statement of profit and loss
and balance sheet. Nonetheless, these items are
dis-aggregated separately in the notes to the
Standalone Financial Statements, where
applicable or required. All the amounts included
in the Standalone Financial Statements have
been rounded off to the nearest Lakhs upto two
decimals, as required by General Instructions for
preparation of Standalone Financial Statements
in Division II of Schedule III to the Companies Act,
2013, except per share data and unless stated
otherwise.

These Standalone Financial Statements are
approved for issue by the Board of Directors on
30th May, 2025.

b. Historical Cost Convention

The Standalone Financial Statements have been
prepared under the historical cost convention on
accrual basis except where the Ind AS requires a
different accounting treatment. The principal
variations from the historical cost convention
relate to financial instruments classified as fair
value for the followings:

i. Certain financial assets and liabilities and
contingent consideration which are
measured at fair values.

ii. Assets held for sale measured at fair value
less cost to sell.

iii. Defined benefit plan assets measured at fair
value.

Historical Cost is generally based on the fair
value of the consideration given in exchange for
goods and services.

c. Use of Estimates and Judgments

The preparation of Standalone Financial
Statements is in conformity with the recognition
and measurement principles of Ind AS requires
the management of the Company to make
estimates and judgements that affect the
reported balances of assets and liabilities,
disclosures relating to contingent liabilities as at
the date of the Standalone Financial Statements
and the reported amounts of income and
expense for the periods presented.

Estimates and underlying assumptions are
reviewed on an ongoing basis. Revisions to
accounting estimates are recognized in the
period in which the estimates are revised, and
future periods are affected.

d. Current and Non-Current Classification

The Company presents assets and liabilities in
the balance sheet based on current/ non-current
classification. An asset is treated as current when
it is:

i. Expected to be realized or intended to be
sold or consumed in normal operating cycle

ii. Held primarily for the purpose of trading, or

iii. Expected to be realized within twelve
months after the reporting period other than
for (a) above, or

iv. Cash or cash equivalent unless restricted
from being exchanged or used to settle a
liability for at least twelve months after the
reporting period

All other assets are classified as non-current.

A liability is current when:

i. It is expected to be settled in normal
operating cycle

ii. It is held primarily for the purpose of trading

iii. It is due to be settled within twelve months
after the reporting period other than for (a)
above, or

iv. There is no unconditional right to defer the
settlement of the liability for at least twelve
months after the reporting period

All other liabilities are classified as non-current.

e. Fair value measurement

The Company measures financial instruments,
such as, derivatives at fair value at each balance
sheet date. Fair value is the price that would be
received to sell an asset or paid to transfer a
liability in an orderly transaction between market
participants at the measurement date.

A fair value measurement of a non-financial asset
takes into account a market participant''s ability to
generate economic benefits by using the asset in
its highest and best use or by selling it to another
market participant that would use the asset in its
highest and best use.

The Company uses valuation techniques that are
appropriate in the circumstances and for which
sufficient data are available to measure fair value,
maximizing the use of relevant observable inputs
and minimizing the use of unobservable inputs.

The Company categorizes assets and liabilities

mpasiirprl at fair vali ip intn nnp nf thrpp Ip\/pIq as

follows:

• Level 1

Level 1 inputs are quoted prices (unadjusted) in
active markets for identical assets or liabilities
that the entity can access at the measurement
date.

A quoted price in an active market provides the
most reliable evidence of fair value and shall be
used without adjustment to measure fair value
whenever available.

• Level 2

Level 2 inputs are inputs other than quoted prices
included within Level 1 that are observable for the
asset or liability, either directly or indirectly.

Level 2 inputs include the following:

a) Quoted prices for similar assets or liabilities
in active markets.

b) Quoted prices for identical or similar assets
or liabilities in markets that are not active.

c) Inputs other than quoted prices that are
observable for the asset or liability.

d) Market - corroborated inputs..

• Level 3

They are unobservable inputs for the asset or
liability reflecting significant modifications to
observable related market data or Company''s
assumptions about pricing by market
participants. Fair values are determined in whole
or in part using a valuation model based on
assumptions that are neither supported by prices
from observable current market transactions in
the same instrument nor are they based on
available market data..

. Property, Plant and Equipment (PPE)

An item is recognized as an asset, if and only if, it is
probable that the future economic benefits associated
with the item will flow to the Company and its cost can
be measured reliably. Property, Plant and Equipment
are stated at actual cost less accumulated
depreciation and impairment loss. Actual cost is
inclusive of freight, installation cost, duties, taxes and
other incidental expenses for bringing the asset to its
working conditions for its intended use (net of
CENVAT/GST) and any cost directly attributable to
bringing the asset into the location and condition
necessary for it to be capable of operating in the
manner intended by the Management. It includes
professional fees and borrowing costs for qualifying
assets.

Property, Plant, Equipment and Intangible Assets are
not depreciated or amortized once classified as held
for sale.

Significant Parts of an item of PPE (including major
inspections) having different useful lives & material
value or other factors are accounted for as separate
components. All other repairs and maintenance costs
are recognized in the statement of profit and loss as
incurred.

Depreciation of these PPE commences when the
assets are ready for their intended use.

Depreciation is provided for on straight line method on
the basis of useful life. On assets acquired on lease
(including improvements to the leasehold premises),
amortization has been provided for on Straight Line
Method over the primary period of lease.

The estimated useful lives and residual values are
reviewed on an annual basis and if necessary,
changes in estimates are accounted for prospectively.

Depreciation on subsequent expenditure on PPE
arising on account of capital improvement or other
factors is provided for prospectively over the
remaining useful life.

An item of PPE is de-recognized upon disposal or
when no future economic benefits are expected to
arise from the continued use of the asset. Any gain or
loss arising on the disposal or retirement of an item of
PPE is determined as the difference between the
sales proceeds and the carrying amount of the asset
and is recognized in the Statement of Profit and Loss.

g. Intangible Assets

The Intangible assets is recognized as per IND AS 38,
on purchase of intangible assets or self-created if, and
only if it is probable that the future economic benefits
that are attributable to the asset will flow to the
company and the cost of the asset can be measured
reliably.

All expenditure on intangible items is expensed as
incurred unless it qualifies as intangible assets. The
carrying value of intangible assets is assessed for
recoverability by reference to the estimated future
discounted net cash flows that are expected to be
generated by the asset. Where this assessment
indicates a deficit, the assets are written down to the
market value or fair value as computed above.

Purchase of computer software used for the purpose
of operations is capitalized. However, any expenses
on software support, maintenance, upgrade etc.

payable periodically is charged to the Statement of
Profit & Loss.

An intangible asset is derecognized on disposal, or
when no future economic benefits are expected from
use or disposal. Gains or losses arising from de¬
recognition of an intangible asset, measured as the
difference between the net disposal proceeds and the
carrying amount of the asset, and are recognized in
the Statement of Profit and Loss when the asset is
derecognized.

Intangible assets are amortized on straight line basis
over a period of its equate economic useful life.

h. Inventories

Inventory of Land and construction/development are
valued at cost or net realizable value, whichever is
lower. Cost of land purchased/acquired by the
company include purchase/ acquisition price plus
stamp duty and registration charges etc.
Construction/development expenditure includes cost
of development rights, all direct and indirect
expenditure incurred on development of land
/construction, attributable interest and financial
charges and overheads relating to site management
and administration less incidental revenues arising
from site operations.

Inventory of Shares and Derivatives is determined at
Cost or net realizable value whichever is lower.

Net realizable value is the estimated selling price in
the ordinary course of business, less estimated costs
of completion and the estimated costs necessary to
make the sale and certified by the Management.

I. Impairment of financial assets

The Company has applied the impairment
requirements of Ind AS 109 retrospectively; however,
as permitted by Ind AS 101, it has used reasonable
and supportable information that is available without
undue cost or effort to determine the credit risk at the
date that financial instruments were initially
recognized in order to compare it with the credit risk at
the transition date. Further, the Company has not
undertaken an exhaustive search for information
when determining, at the date of transition to Ind AS,
whether there have been significant increases in
credit risk since initial recognition, as permitted by Ind
AS 101.

j. Cash and Cash Equivalents

Cash and cash equivalent in the Balance sheet
comprises of cash at bank and on hand and short¬
term deposits with an original maturity of three months
or less, which are subject to an insignificant risk of
changes in values. Cash and cash equivalents
include balances with banks which are unrestricted for
withdrawal and usage.

k. Financial Instruments

A Financial Instrument is any contract that gives rise to

a financial asset of one entity and a financial liability or
equity instrument of other entity. The financial
instruments are recognized in the balance sheet when
the Company becomes a party to the contractual
provisions of the financial instrument. The Company
determines the classification of its financial
instruments at initial recognition.

i) Financial Assets
Initial Recognition:

All financial assets are recognized initially at fair
value plus, in the case of financial assets not
recorded at fair value through profit or loss,
transaction costs that are attributable to the
acquisition of the financial asset. Purchases or
sales of financial assets that require delivery of
assets within a time frame are recognized on the
trade date, i.e., the date that the Company
commits to purchase or sell the asset.
Subsequent measurement:

For purposes of subsequent measurement,
financial assets are classified in following
categories based on business model of the entity:

• Debt instruments at amortized cost.

• Debt instruments at fair value through other
comprehensive income (FVTOCI).

• Debt instruments, derivatives and equity
instruments at fair value through profit or
loss (FVTPL).

• Equity instruments measured at fair value
through other comprehensive income
(FVTOCI).

Debt instruments at amortized cost: -

A ''debt instrument'' is measured at the amortized
cost if both the following conditions are met:

a. Financial assets are held within a business
model whose objective is to hold these
assets to collect contractual cash flows and

b. The contractual terms of the financial asset
give rise on specified dates to cash flows that
are solely payments of principal and interest
(SPPI) on the principal amount outstanding.

After initial measurement, such financial assets
are subsequently measured at amortized cost
using the effective interest rate (EIR) method.
Debt instrument at FVTOCI:

A ''debt instrument'' is classified as at the FVTOCI
if both of the following criteria are met:

a) The objective of the business model is
achieved both by collecting contractual cash
flows and selling the financial assets, and

b) The asset''s contractual cash flows represent
SPPI

Debt instruments included within the FVTOCI
category are measured initially as well as at each
reporting date at fair value. Fair value

movements are recognized in the other
comprehensive income (OCI). However, the
Company recognizes interest income,
impairment losses & reversals and foreign
exchange gain or loss in the P&L. On
derecognition of the asset, cumulative gain or
loss previously recognized in OCI is reclassified
from the equity to P&L. Interest earned whilst
holding FVToCi debt instrument is reported as
interest income using the EIR method.

Debt instrument at FVTPL:

Any debt instrument, that does not meet the
criteria for categorization as at amortized cost or
as FVTOCI, is classified as at FVTPL.

In addition, the Company may elect to designate
a debt instrument, which otherwise meets
amortized cost or FVTOCI criteria, as at FVTPL.
However, such election is allowed only if doing so
reduces or eliminates a measurement or
recognition inconsistency (referred to as
''accounting mismatch''). The Company has not
designated any debt instrument as at FVTPL.
Debt instruments included within the FVTPL
category are measured at fair value with all
changes recognized in the P&L.

Equity investments (Other than investment in
subsidiary)

All other equity investments are measured at fair
value. For Equity instruments, the Company may
make an irrevocable election to present in other
comprehensive income subsequent changes in
the fair value. The Company makes such election
on an instrument-by-instrument basis. The
classification is made on initial recognition and is
irrevocable.

If the Company decides to classify an equity
instrument as at FVTOCI, then all fair value
changes on the instrument, excluding dividends,
are recognized in the OCI. This amount is not
reclassified from OCI to P&L, even on sale of
investment. However, the Company may transfer
the cumulative gain or loss within equity.

Financial assets are measured at fair value
through profit or loss unless they are measured at
amortised cost or at fair value through other
comprehensive income on initial recognition. The
transaction costs directly attributable to the
acquisition of financial assets and liabilities at fair
value through profit or loss are immediately
recognised in Statement of Profit and Loss.

Equity instruments included within the FVTPL
category are measured at fair value with all
changes recognized in the Statement of Profit
and Loss.

De-recognition of financial assets:

A financial asset is de-recognized only when

• The Company has transferred the rights to
receive cash flows from the financial asset or

• retains the contractual rights to receive the
cash flows of the financial asset, but
assumes a contractual obligation to pay the
cash flows to one or more recipients.

Where the Company has transferred an asset, it
evaluates whether it has transferred substantially
all risks and rewards of ownership of the financial
asset. In such cases, the financial asset is de¬
recognized.

Where the Company has neither transferred a
financial asset nor retains substantially all risks
and rewards of ownership of the financial asset,
the financial asset is de-recognised if the
Company has not retained control of the financial
asset. Where the Company retains control of the
financial asset, the asset is continued to be
recognised to the extent of continuing
involvement in the financial asset.

Impairment of financial assets:

The Company assesses at each date of balance
sheet whether a financial asset or a group of
financial assets is impaired. Ind AS 109 requires
expected credit losses to be measured through a
loss allowance. In determining the allowances for
doubtful trade receivables, the Company has
used a practical expedient by computing the
expected credit loss allowance for trade
receivables based on a provision matrix. The
provision matrix considers historical credit loss
experience and is adjusted for forward looking
information. For all other financial assets,
expected credit losses are measured at an
amount equal to the 12-months expected credit
losses or at an amount equal to the life time
expected credit losses if the credit risk on the
financial asset has increased significantly since
initial recognition.

ECL impairment loss allowance (or reversal)
recognized during the period is recognized as
income/ expense in the statement of profit and
loss (P&L).

ii) Equity Instruments and Financial Liabilities:

Financial liabilities and equity instruments issued
by the Company are classified according to the
substance of the contractual arrangements
entered and the definitions of a financial liability
and an equity instrument.

Equity Instruments:

An equity instrument is any contract that
evidences a residual interest in the assets of the
Company after deducting all its liabilities, Equity
instruments which are issued for cash are
recorded at the proceeds received, net of direct
issue costs. Equity instruments which are issued
for consideration other than cash are recorded at

fair value of the equity instrument.

iii) Financial liabilities:

Initial Recognition:

Financial liabilities are recognised when the
company becomes a party to the contractual
provisions of the instrument. Financial liabilities
are initially measured at the fair value.
Transaction costs that are directly attributable to
financial liabilities (other than financial liabilities
at fair value through profit or loss) are added to or
deducted from the fair value measured on initial
recognition of financial liability.

Subsequent measurement:

Financial liabilities are subsequently measured
at amortised cost using the effective interest rate
method. Financial liabilities carried at fair value
through profit or loss are measured at fair value
with all changes in fair value recognised in the
statement of profit and loss.

Trade and Other Payables
These amounts represent liabilities for goods and
services provided to the Company prior to the
end of financial period which are unpaid. Trade
and other payables are presented as current
liabilities unless payment is not due within 12
months after the reporting period. They are
recognized initially at their fair value and
subsequently measured at amortised cost using
the effective interest method.

Loans and Borrowings

After initial recognition, interest-bearing loans
and borrowings are subsequently measured at
amortized cost using the EIR method. Gains and
losses are recognized in profit or loss when the
liabilities are derecognized as well as through the
EIR amortization process.

Financial Guarantee Contracts
Financial guarantee contracts are recognised
initially as a liability at fair value, adjusted for
transaction costs that are directly attributable to
the issuance of the guarantee. Subsequently, the
liability is measured at the higher of the amount of
loss allowance determined as per impairment
requirements of Ind AS 109 and the amount
recognised less cumulative amortisation.
De-recognition of financial liabilities:

Financial liabilities are de-recognized from the
balance sheet when the obligation specified in
the contract is discharged, cancelled or expired.
The difference between the carrying amount of a
financial liability that has been extinguished or
transferred to another party and the
consideration paid, including any non-cash
assets transferred or liabilities assumed, is
recognized in the Statement of Profit and Loss as
other gains/ (losses).

---

Mar 31, 2024

1. Company Overview

Hampton Sky Realty Ltd (the company) is engaged in the business of Real Estate Business, Textiles, trading in Shares and Derivatives and Mobile. The company is a public limited company incorporated with the name of Ritesh Properties and Industries Limited and domiciled in India and has its registered office at 11/5B, Pusa Road, New Delhi - 110060. Shares of the company are listed on Bombay Stock Exchange, Mumbai, India. During the year the company has changed its name to Hampton Sky Realty Limited with effect from 6th October, 2023 and has changed its registered office 205, Second Floor, Kirti Mahal, Rajendra Place, New Delhi 110008 effective from 30th May, 2023.

2. Recent Pronouncements

Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. For the year ended March 31, 2024, MCA has not notified any new standards or amendments to the existing standards applicable to the Company.

3. Material Accounting Policies

a. Compliance with IND AS

The financial statements have been prepared in accordance with the Indian Accounting Standards (IND AS) as prescribed under section 133 of the Companies Act, 2013 read with Companies (Indian Accounting Standards) Rules as amended from time to time.

The accounting policies, as set out in the following paragraphs of this note, have been consistently applied, by the Company, to all the periods presented in the said financial statements. The preparation of the said financial statements requires the use of certain critical accounting estimates and judgments. It also requires the management to exercise judgment in the process of applying the Company''s accounting policies. The areas where estimates are significant to the financial statements, or areas involving a higher degree of judgment or complexity, are disclosed in Note 35.

The financial statements are based on the classification provisions contained in Ind AS 1, ''Presentation of Financial Statements'' and division II of schedule III of the Companies Act 2013.

In preparing the financial statements, management is responsible for assessing the Company''s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The impact of COVID-19 on the Company''s

financial statements may differ from that estimated as at the date of approval of these financial statements.

Further, for the purpose of clarity, various items are aggregated in the statement of profit and loss and balance sheet. Nonetheless, these items are disaggregated separately in the notes to the financial statements, where applicable or required. All the amounts included in the financial statements are reported in Indian Rupees (''Rupees'') and are rounded to the nearest rupees except per share data and unless stated otherwise.

b. Historical Cost Convention

The Financial Statements have been prepared under the historical cost convention on accrual basis except where the Ind AS requires a different accounting treatment. The principal variations from the historical cost convention relate to financial instruments classified as fair value for the followings:

i. Certain financial assets and liabilities and contingent consideration which are measured at fair values.

ii. Assets held for sale measured at fair value less cost to sell.

iii. Defined benefit plan assets measured at fair value.

Historical Cost is generally based on the fair value of the consideration given in exchange for goods and services.

c. Use of Estimates and Judgments

The preparation of financial statements in conformity with the recognition and measurement principles of IND AS requires management to make estimates, judgments and assumptions. These estimates, judgments and assumptions affect the application of accounting policies and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the period.

Estimates and underlying assumptions are reviewed on an ongoing basis. Appropriate changes in estimates are made as management becomes aware of changes in circumstances surrounding the estimates. Changes in estimates are reflected in the financial statements in the period in which changes are made and, if material, their effects are disclosed in the Notes to the financial statements. Further future periods are also affected.

d. Current and Non-Current Classification

The Company presents assets and liabilities in the balance sheet based on current/ non-current

classification. An asset is treated as current when it is:

i. Expected to be realized or intended to be sold or consumed in normal operating cycle

ii. Held primarily for the purpose of trading, or

iii. Expected to be realized within twelve months after the reporting period other than for (a) above, or

iv. Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period

All other assets are classified as non-current.

A liability is current when:

i. It is expected to be settled in normal operating cycle

ii. It is held primarily for the purpose of trading

iii. It is due to be settled within twelve months after the reporting period other than for (a) above, or

iv. There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period

All other liabilities are classified as non-current.

e. Fair value measurement

The Company measures financial instruments, such as, derivatives at fair value at each balance sheet date. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

A fair value measurement of a non-financial asset takes into account a market participant''s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.

The Company categorizes assets and liabilities measured at fair value into one of three levels as follows:

• Level 1 — Quoted (unadjusted)

This hierarchy includes financial instruments measured using quoted prices.

• Level 2

Level 2 inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either

directly or indirectly.

Level 2 inputs include the following:

a) Quoted prices for similar assets or liabilities in active markets.

b) Quoted prices for identical or similar assets or liabilities in markets that are not active.

c) Inputs other than quoted prices that are observable for the asset or liability.

d) Market - corroborated inputs.

• Level 3

They are unobservable inputs for the asset or liability reflecting significant modifications to observable related market data or Company''s assumptions about pricing by market participants. Fair values are determined in whole or in part using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

f. Property, Plant and Equipment (PPE)

An item is recognized as an asset, if and only if, it is probable that the future economic benefits associated with the item will flow to the Company and its cost can be measured reliably. Property, Plant and Equipment are stated at actual cost less accumulated depreciation and impairment loss. Actual cost is inclusive of freight, installation cost, duties, taxes and other incidental expenses for bringing the asset to its working conditions for its intended use (net of CENVAT/GST) and any cost directly attributable to bringing the asset into the location and condition necessary for it to be capable of operating in the manner intended by the Management. It includes professional fees and borrowing costs for qualifying assets.

Property, Plant, Equipment and Intangible Assets are not depreciated or amortized once classified as held for sale.

Significant Parts of an item of PPE (including major inspections) having different useful lives & material value or other factors are accounted for as separate components. All other repairs and maintenance costs are recognized in the statement of profit and loss as incurred.

Depreciation of these PPE commences when the assets are ready for their intended use.

Depreciation is provided for on straight line method on the basis of useful life. On assets acquired on lease (including improvements to the leasehold premises), amortization has been provided for on Straight Line Method over the primary period of lease.

The estimated useful lives and residual values are

reviewed on an annual basis and if necessary, changes in estimates are accounted for prospectively.

Depreciation on subsequent expenditure on PPE arising on account of capital improvement or other factors is provided for prospectively over the remaining useful life.

The useful life of property, plant and equipment are as follows: -

Asset Class	Useful Life
Building	45 Years
Plant & Machinery	10 Years
Furniture & Fixture	10 Years
Computers, Software & Office	03 Years to 05
Equipments	Years
Vehicles	08 Years

An item of PPE is de-recognized upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of PPE is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognized in the Statement of Profit and Loss.

g. Intangible Assets

All expenditure on intangible items is expensed as incurred unless it qualifies as intangible assets. The carrying value of intangible assets is assessed for recoverability by reference to the estimated future discounted net cash flows that are expected to be generated by the asset. Where this assessment indicates a deficit, the assets are written down to the market value or fair value as computed above.

Purchase of computer software used for the purpose of operations is capitalized. However, any expenses on software support, maintenance, upgrade etc. payable periodically is charged to the Statement of Profit & Loss.

An intangible asset is derecognized on disposal, or when no future economic benefits are expected from use or disposal. Gains or losses arising from de-recognition of an intangible asset, measured as the difference between the net disposal proceeds and the carrying amount of the asset, and are recognized in the Statement of Profit and Loss when the asset is derecognized.

Intangible assets are amortized on straight line basis over a period ranging between 2-5 years which equates its economic useful life.

The company has not purchased or self-created any intangible assets hence no intangible assets is recognized. The Intangible assets shall be recognized as per IND AS 38, on purchase of intangible assets or self-created if, and only if it is

probable that the future economic benefits that are attributable to the asset will flow to the company and the cost of the asset can be measured reliably.

h. Inventories

Inventory of Land and construction/ development are valued at cost or net realizable value, whichever is lower. Cost of land purchased/ acquired by the company include purchase/ acquisition price plus stamp duty and registration charges etc. Construction/ development expenditure includes cost of development rights, all direct and indirect expenditure incurred on development of land /construction, attributable interest and financial charges and overheads relating to site management and administration less incidental revenues arising from site operations.

Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale and certified by the Management.

I. Impairment of financial assets

The Company has applied the impairment requirements of Ind AS 109 retrospectively; however, as permitted by Ind AS 101, it has used reasonable and supportable information that is available without undue cost or effort to determine the credit risk at the date that financial instruments were initially recognized in order to compare it with the credit risk at the transition date. Further, the Company has not undertaken an exhaustive search for information when determining, at the date of transition to Ind ASs, whether there have been significant increases in credit risk since initial recognition, as permitted by Ind AS 101.

j. Cash and Cash Equivalents

Cash and cash equivalent in the Balance sheet comprises of cash at bank and on hand and shortterm deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in values. Cash and cash equivalents include balances with banks which are unrestricted for withdrawal and usage.

k. Financial Instruments

A Financial Instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of other entity. The financial instruments are recognized in the balance sheet when the Company becomes a party to the contractual provisions of the financial instrument. The Company determines the classification of its financial instruments at initial recognition.

i) Financial Assets Initial Recognition:

All financial assets are recognized initially at fair value plus, in the case of financial assets not recorded at fair value through profit or loss, transaction costs that are attributable to the acquisition of the financial asset. Purchases or sales of financial assets that require delivery of assets within a time frame are recognized on the trade date, i.e., the date that the Company commits to purchase or sell the asset.

Subsequent measurement:

For purposes of subsequent measurement, financial assets are classified in following categories based on business model of the entity: -

• Debt instruments at amortized cost.

• Debt instruments at fair value through other comprehensive income (FVTOCI).

• Debt instruments, derivatives and equity instruments at fair value through profit or loss (FVTPL).

• Equity instruments measured at fair value through other comprehensive income (FVTOCI).

Debt instruments at amortized cost: -

A ''debt instrument'' is measured at the amortized cost if both the following conditions are met:

a. Financial assets are held within a business model whose objective is to hold these assets to collect contractual cash flows and

b. The contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest rate (EIR) method.

Debt instrument at FVTOCI:

A ''debt instrument'' is classified as at the FVTOCI if both of the following criteria are met:

a) The objective of the business model is achieved both by collecting contractual cash flows and selling the financial assets, and

b) The asset''s contractual cash flows represent SPPI

Debt instruments included within the FVTOCI category are measured initially as well as at

each reporting date at fair value. Fair value movements are recognized in the other comprehensive income (OCI). However, the Company recognizes interest income, impairment losses & reversals and foreign exchange gain or loss in the P&L. On derecognition of the asset, cumulative gain or loss previously recognized in OCI is reclassified from the equity to P&L. Interest earned whilst holding FVTOCI debt instrument is reported as interest income using the EIR method.

Debt instrument at FVTPL:

Any debt instrument, that does not meet the criteria for categorization as at amortized cost or as FVTOCI, is classified as at FVTPL.

In addition, the Company may elect to designate a debt instrument, which otherwise meets amortized cost or FVTOCI criteria, as at FVTPL. However, such election is allowed only if doing so reduces or eliminates a measurement or recognition inconsistency (referred to as ''accounting mismatch''). The Company has not designated any debt instrument as at FVTPL.

Debt instruments included within the FVTPL category are measured at fair value with all changes recognized in the P&L.

Equity investments (Other than investment in RPIL healthcare) other equity investments are measured at fair value. For Equity instruments, the Company may make an irrevocable election to present in other comprehensive income subsequent changes in the fair value. The Company makes such election on an instrument-by-instrument basis. The classification is made on initial recognition and is irrevocable.

If the Company decides to classify an equity instrument as at FVTOCI, then all fair value changes on the instrument, excluding dividends, are recognized in the OCI. This amount is not recycled from OCI to P&L, even on sale of investment. However, the Company may transfer the cumulative gain or loss within equity.

Financial assets are measured at fair value through profit or loss unless they are measured at amortised cost or at fair value through other comprehensive income on initial recognition. The transaction costs directly attributable to the acquisition of financial assets and liabilities at fair value through profit or loss are immediately recognised in Statement of Profit and Loss.

Equity instruments included within the FVTPL category are measured at fair value with all

changes recognized in the Statement of Profit and Loss.

De-recognition of financial assets:

A financial asset is de-recognized only when

• The Company has transferred the rights to receive cash flows from the financial asset or

• retains the contractual rights to receive the cash flows of the financial asset, but assumes a contractual obligation to pay the cash flows to one or more recipients.

Where the Company has transferred an asset, it evaluates whether it has transferred substantially all risks and rewards of ownership of the financial asset. In such cases, the financial asset is de-recognized.

Where the Company has neither transferred a financial asset nor retains substantially all risks and rewards of ownership of the financial asset, the financial asset is de-recognised if the Company has not retained control of the financial asset. Where the Company retains control of the financial asset, the asset is continued to be recognised to the extent of continuing involvement in the financial asset.

Impairment of financial assets:

The Company assesses at each date of balance sheet whether a financial asset or a group of financial assets is impaired. Ind AS 109 requires expected credit losses to be measured through a loss allowance. In determining the allowances for doubtful trade receivables, the Company has used a practical expedient by computing the expected credit loss allowance for trade receivables based on a provision matrix. The provision matrix considers historical credit loss experience and is adjusted for forward looking information. For all other financial assets, expected credit losses are measured at an amount equal to the 12-months expected credit losses or at an amount equal to the life time expected credit losses if the credit risk on the financial asset has increased significantly since initial recognition.

ECL impairment loss allowance (or reversal) recognized during the period is recognized as income/ expense in the statement of profit and loss (P&L).

ii) Equity Instruments and Financial Liabilities:

Financial liabilities and equity instruments issued by the Company are classified according to the substance of the contractual arrangements entered and the definitions of a financial liability and an equity instrument.

Equity Instruments:

An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all its liabilities, Equity instruments which are issued for cash are recorded at the proceeds received, net of direct issue costs. Equity instruments which are issued for consideration other than cash are recorded at fair value of the equity instrument.

iii) Financial liabilities:

Initial Recognition:

Financial liabilities are recognised when the company becomes a party to the contractual provisions of the instrument. Financial liabilities are initially measured at the fair value. Transaction costs that are directly attributable to financial liabilities (other than financial liabilities at fair value through profit or loss) are added to or deducted from the fair value measured on initial recognition of financial liability.

Subsequent measurement:

Financial liabilities are subsequently measured at amortised cost using the effective interest rate method. Financial liabilities carried at fair value through profit or loss are measured at fair value with all changes in fair value recognised in the statement of profit and loss.

Trade and Other Payables

These amounts represent liabilities for goods and services provided to the Company prior to the end of financial period which are unpaid. Trade and other payables are presented as current liabilities unless payment is not due within 12 months after the reporting period. They are recognized initially at their fair value and subsequently measured at amortised cost using the effective interest method.

Loans and Borrowings

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortized cost using the EIR method. Gains and losses are recognized in profit or loss when the liabilities are derecognized as well as through the EIR amortization process.

Financial Guarantee Contracts

Financial guarantee contracts are recognised initially as a liability at fair value, adjusted for transaction costs that are directly attributable to the issuance of the guarantee. Subsequently, the liability is measured at the higher of the amount of loss allowance determined as per impairment requirements of Ind AS 109 and the amount recognised less

cumulative amortisation.

De-recognition of financial liabilities:

Financial liabilities are de-recognized from the balance sheet when the obligation specified in the contract is discharged, cancelled or expired. The difference between the carrying amount of a financial liability that has been extinguished or transferred to another party and the consideration paid, including any noncash assets transferred or liabilities assumed, is recognized in the Statement of Profit and Loss as other gains/ (losses).

l. Provisions, Contingent Liabilities and contingent Asset

I) A provision is recognized when the company has a present obligation because of past events and it is probable that an outflow of resource will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions (excluding gratuity and compensated absences) are determined based on management''s estimate required to settle the obligation at the balance sheet date. When appropriate, the time value of money is material, provision is discounted using a current pre-tax rate that reflects, when appropriate, the risks 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 management estimates.

ii) Contingent Liability are disclosed in respect of possible obligation that arise from past events, whose existence would be confirmed by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the company. A contingent liability also arises, in rare cases, where a liability cannot be recognized because it cannot be measured reliably. Contingent Liability is disclosed in the financial statements by way of note to accounts where the possibility of an outflow of resources embodying economic benefits is remote. (Refer Note-37)

iii) Contingent asset is disclosed in the financial statements by way of note to accounts where the economic benefits are probable.

m. Income tax (IND-AS 12):

Income tax comprises of current and deferred income tax. Income tax is recognized as an expense or income in the Statement of Profit and Loss.

Current income tax:

Current income tax is recognized based on the estimated tax liability computed after taking credit for allowances and exemptions in accordance with the Income Tax Act, 1961. Current income tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities.

Deferred Tax:

Deferred tax is determined by applying the Balance Sheet approach. Deferred tax assets and liabilities are recognized for all deductible temporary differences between the financial statements'' carrying amount of existing assets and liabilities and their respective tax base. Deferred tax assets and liabilities are measured using the enacted tax rates or tax rates that are substantively enacted at the Balance Sheet date. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in the period that includes the enactment date. Deferred tax assets are only recognized to the extent that it is probable that future taxable profits will be available against which the temporary differences can be utilized.

Such assets are reviewed at each Balance Sheet date to reassess realization, deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and liabilities.

Minimum Alternative Tax ("MAT") credit is recognized as an asset only when and to the extent it is probable that the Company will pay normal income tax during the specified period.

n. Revenue Recognition:

The Company recognizes revenue in accordance with IND AS 115. Revenue is recognized upon transfer of control of promised products or services to the customers in an amount that reflects the consideration that the company expects to receive in exchange of those products or services. The company presents revenues net of indirect taxes in its statement of Profit and Loss.

i) Revenue from Real Estate

Revenue from constructed properties is recognized in accordance with the "Guidance Note on Accounting for Real Estate Transactions" (''Guidance Note''). As per this Guidance Note, the revenue has been recognized on percentage of completion method and on the percentage of actual project costs incurred thereon to total estimated project cost, provided the conditions specified in Guidance Note are satisfied.

Revenue from sale of land and plots is recognized in financial year in which

agreement to sell / application form is executed and there exist no uncertainty in the ultimate collection of consideration from buyer. In case there is remaining substantial obligation as per agreement to sell the revenue is recognized as per percentage of completion method.

Revenue from Common Area Maintenance Charges is recognized on accrual basis and in accordance with the respective agreement.

ii) Revenue from Textile Business

Revenue from the textile business during ordinary activities is measured at the fair value of consideration received or receivable, net of returns, trade discount and volume rebate. Revenue is recognized when the significant risks and rewards of ownership have been transferred to the buyer, recovery of the consideration is probable, the associated costs and possible return of goods can be estimated reliably, there is no continuing effective control over, or managerial involvement with, the goods, and the amount of revenue can be measured reliably.

iii) Revenue from Trading of Shares

Revenue from the trading of share business during ordinary activities is measured at the fair value of consideration received or receivable. Revenue is recognized when the significant risks and rewards of ownership have been transferred to the buyer, recovery of the consideration is probable, there is no continuing effective control over, or managerial involvement with, the goods, and the amount of revenue can be measured reliably.

iv) Revenue from Mobile Division

Revenue from the Mobile business during ordinary activities is measured at the fair value of consideration received or receivable, net of returns, trade discount and volume rebate. Revenue is recognized when the significant risks and rewards of ownership have been transferred to the buyer, recovery of the consideration is probable, the associated costs and possible return of goods can be estimated reliably, there is no continuing effective control over, or managerial involvement with, the goods, and the amount of revenue can be measured reliably.

o. Other Income:

i) Dividend Income

Dividend income is recognized in profit or loss on the date on which the entity''s right to receive payment is established.

ii) Interest Income

Interest income is recognized using the effective interest method.

The effective interest rate is the rate that exactly discounts estimated future cash payment or receipt through the expected life of the financial instrument to:

- The gross carrying amount of the financial asset, or

- The amortized cost of the financial liability.

In calculating interest income, the effective interest rate is applied to the gross carrying amount of the asset (when the asset is not credit-impaired) or to the amortized cost of the liability. However, for financial assets that have become credit-impaired after initial recognition, interest income is calculated by applying the effective interest rate to the amortized cost of the financial asset. If the asset is no longer credit-impaired, then the calculation of interest income reverts to the gross basis.

p. Borrowing Costs

Borrowing costs are interest and other costs (including exchange differences relating to foreign currency borrowings to the extent that they are regarded as an adjustment to interest costs) incurred in connection with the borrowing of funds. Borrowing costs directly attributable to acquisition or construction of an asset which necessarily take a substantial period to get ready for their intended use are capitalized as part of the cost of that asset.

Other borrowing costs are recognized as an expense in the period in which they are incurred.

q. Leases As a lessee

The Company''s lease asset classes primarily consist of leases for land and buildings. The Company assesses whether a contract contains a lease, at inception of a contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Company assesses whether:

I. the contract involves the use of an identified asset

ii. the Company has substantially all of the economic benefits from use of the asset through the period of the lease and

iii. the Company has the right to direct the use of the asset.

At the date of commencement of the lease, the Company recognizes a right-of-use asset (“ROU”)

and a corresponding lease liability for all lease arrangements in which it is a lessee, except for leases with a term of twelve months or less (shortterm leases) and low value leases. For these shortterm and low value leases, the Company recognizes the lease payments as an operating expense on a straight-line basis over the term of the lease.

Certain lease arrangements include the options to extend or terminate the lease before the end of the lease term. ROU assets and lease liabilities includes these options when it is reasonably certain that they will be exercised.

The right-of-use assets are initially recognized at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or prior to the commencement date of the lease plus any initial direct costs less any lease incentives. They are subsequently measured at cost less accumulated depreciation and impairment losses.

Right-of-use assets are depreciated from the commencement date on a straight-line basis over the shorter of the lease term and useful life of the underlying asset. Right of use assets are evaluated for recoverability whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. For the purpose of impairment testing, the recoverable amount (i.e. the higher of the fair value less cost to sell and the value-in-use) is determined on an individual asset basis unless the asset does not generate cash flows that are largely independent of those from other assets. In such cases, the recoverable amount is determined for the Cash Generating Unit (CGU) to which the asset belongs.

The lease liability is initially measured at amortized cost at the present value of the future lease payments. The lease payments are discounted using the interest rate implicit in the lease or, if not readily determinable, using the incremental borrowing rates in the country of domicile of these leases. Lease liabilities are remeasured with a corresponding adjustment to the related right of use asset if the Company changes its assessment if whether it will exercise an extension or a termination option.

Lease liability and ROU asset have been separately presented in the Balance Sheet and lease payments have been classified as financing cash flows.

As a lessor

Leases for which the Company is a lessor is classified as a finance or operating lease. Whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee, the contract is classified as a finance lease. All other leases are classified as operating

leases.

When the Company is an intermediate lessor, it accounts for its interests in the head lease and the sublease separately. The sublease is classified as a finance or operating lease by reference to the right-of-use asset arising from the head lease.

For operating leases, rental income is recognized on a straight-line basis over the term of the relevant lease.

Short-term leases and leases of low-value assets

The Company applies the short-term lease recognition exemption to its short-term leases (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the lease of low-value assets recognition exemption to leases that are considered to be low value (Less than 50,000/- per month). Lease payments on short-term leases and leases of low-value assets are recognised as expense on a straight-line basis over the lease term.

r. Employee Benefit Expense Short term employee benefits: -

Liabilities for wages and salaries, including nonmonetary benefits that are expected to be settled wholly within12 months after the end of the period in which the employees render the related service are recognized in respect of employees'' services up to the end of the reporting period and are measured at the amounts expected to be paid when the liabilities are settled. The liabilities are presented as current employee benefit obligations in the balance sheet.

Long-Term employee benefits

Compensated expenses which are not expected to occur within twelve months after the end of period in which the employee renders the related services are recognized as a liability at the present value of the defined benefit obligation at the balance sheet date

Post-employment obligations I. Defined contribution plans

Provident Fund and employees'' state insurance schemes

All employees of the Company are entitled to receive benefits under the Provident Fund, which is a defined contribution plan. Both the employee and the employer make monthly contributions to the plan at a predetermined rate (presently 12%) of the employees'' basic salary. These contributions are made to the fund administered and managed by the Government of India. In addition, some employees of the Company are covered under the employees'' state insurance schemes, which are

also defined contribution schemes recognized and administered by the Government of India..

The Company''s contributions to both these schemes are expensed in the Statement of Profit and Loss. The Company has no further obligations under these plans beyond its monthly contributions.

ii. Defined Benefits Gratuity plan

The Company provides for gratuity obligations through a defined benefit retirement plan (the ''Gratuity Plan'') covering all employees. The Gratuity Plan provides a lump sum payment to vested employees at retirement or termination of employment based on the respective employee salary and years of employment with the Company. The Company provides for the Gratuity Plan based on actuarial valuations in accordance with Indian Accounting Standard 19 (revised), “Employee Benefits''¹. The present value of obligation under gratuity is determined based on actuarial valuation using Project Unit Credit Method, which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation.

Defined retirement benefit plans comprising of gratuity, un-availed leave, post-retirement medical benefits and other terminal benefits, are recognized based on the present value of defined benefit obligation which is computed using the projected unit credit method, with actuarial valuations being carried out at the end of each annual reporting period. These are accounted either as current employee cost or included in cost of assets as permitted.

The company has policy of expiry of un-availed leave at end of the financial year, hence no provision is required for leave encashment.

iii. Actuarial gains and losses are recognized in OCI as and when incurred.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. This cost is included in employee benefit expense in the statement of profit and loss.

Re-measurement, comprising actuarial gains and losses, the effect of the changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest as defined above), are recognized in other comprehensive income except those included in cost of assets as permitted in the period in which they occur and are not subsequently reclassified to profit or loss.

The retirement benefit obligation recognized in the Financial Statements represents the actual deficit or surplus in the Company''s defined benefit plans. Any surplus resulting from this calculation is limited to the present value of any economic benefits available in the form of reductions in future contributions to the plans.

Termination benefits

Termination benefits are recognized as an expense in the period in which they are incurred.

s. Earnings per share

Basic earnings per share are computed by dividing the net profit after tax by the weighted average number of equity shares outstanding during the period. Diluted earnings per share is computed by dividing the profit after tax by the weighted average number of equity shares considered for deriving basic earnings per share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares.

t. Segment Reporting

Operating segments are reported in a manner consistent with the internal financial reporting provided to the Chief Operating Decision Maker (CODM) i.e. Board of Directors. CODM monitors the operating results of all product segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit and loss and is measured consistently with profit and loss in the financial statements. The primary reporting of the Company has been performed on the basis of business segments. The analysis of geographical segments is based on the areas in which the Company''s products are sold or services are rendered.

Allocation of common costs:

Common allocable costs are allocated to each segment according to the relative contribution of each segment to the total common costs.

Unallocated items:

The Corporate and other segment include general corporate income and expense items, which are not allocated to any business segment.

u. Cash Flow Statement

Cash flows are reported using the indirect method. The cash flows from operating, investing and financing activities of the Company are segregated.

v. Exceptional Items

Exceptional items refer to items of income or expense within the statement of profit and loss from ordinary activities which are non-recurring and are of such size, nature or incidence that their separate disclosure is considered necessary to explain the performance of the Company.

---

Mar 31, 2015

A) Accounting Convention

The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and in accordance with the Accounting Standards applicable in India and the provisions of the Companies Act, 1956 as adopted consistently by the Company.

b) Fixed Assets

All fixed assets are stated at cost less accumulated depreciation. Cost of the acquisition of new assets is inclusive of taxes and other incidental expenses.

c) Inventories

The inventories have been determined on the basis of FIFO method and the basis of determining cost for various categories of inventories are as follows:-

1) Stock (Real Estate) At Cost

2) Project Expenses On the basis of actual expenses incurred

d) Revenue Recognition

1) Sales are recognized to the extent of project completion basis. During the year, the manage- ment has certified that the development of Project has been completed to the extent of 90% till 31.03.2015 (Previous Year 90%) on mercantile basis. Accordingly the revenue has been recognized.

2) Foreign currency fluctuations during the year are NIL (Previous year NIL).

3) Vat tax liability is accounted for on the basis of sales/Vat tax returns filed and tax deposited by the Company. Additional liability, if any, arises at the time of assessment, will be accounted for in the year of finalization of assessment.

e) Foreign Exchange Transaction Nil (Previous year Nil)

f) Depreciation

Consequent to the enactment of the Companies Act, 2013(the act) and its applicability for the accounting periods after April 1, 2014, the company has computed depreciation with reference to the estimated economic lives of the fixed assets prescribed by the Schedule II to the Act. For assets whose life is over, the carrying value, net of residual value, aggregating to Rs.4.53 lacs as at April 1, 2014 has been adjusted to retained earnings and in other assets the carrying value as at April 1,2014 has been depreciated over the remaining of the revised useful life of the assets and recognized in the above financial results. As a result, charge of depreciation is higher by Rs. 5.20 Lacs for the Qtr and for the year ended March 31,2015 and the net profit from activities before tax is lower by the same amount.

g) Retirement Benefits

Gratuity liability has been accounted for on an accrual basis.

Contribution to Provident Fund, Family Pension Scheme and E.S.I. are accounted for on accrual basis and charged to Profit & Loss Account accordingly.

h) Investments Investments are valued at cost.

I) Accounting of Taxes on Income

No provision for current tax is made on the basis of estimated taxable income for the current accounting year, in accordance with the provision of Income Tax Act, 1961.

The deferred tax for timing difference between the book profits and tax profits for the year is accounted for using the tax rates and laws that have been enacted or substantially enacted as on the Balance Sheet date. Deferred tax asset arising from timing difference are recognized to the extent there is reasonable certainty that these would be realized in future and are reviewed for the appropriateness of their respective carrying value at each Balance Sheet date.

j) Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting policies in India requires management to make estimates and assumption that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The Management believes that the estimates made in the preparation of the financial statements are prudent and reasonable. Actual results could differ from those estimates. Any revision of accounting estimates will be recognized prospectively in future periods.

k) IMPAIRMENT OF ASSETS

The Company assesses at each balance sheet whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount and the reduction is treated as an impairment loss and is recognized in the Profit and Loss Statement. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at recoverable amount subject to a maximum of depreciated historical cost and is accordingly reversed in the Profit and Loss Statement.

---

Mar 31, 2014

A) Accounting Convention

The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and in accordance with the Accounting Standards applicable in India and the provisions of the Companies Act, 1956 as adopted consistently by the Company.

b) Fixed Assets

All fixed assets are stated at cost less accumulated depreciation. Costs of the acquisition of new assets are inclusive of taxes and other incidental expenses.

c) Inventories

The inventories have been determined on the basis of FIFO method and the basis of determining cost for various categories of inventories are as follows:-

1) Finished Goods At Estimated (Factories) : realizable value

2) Stock At Cost (Real Estate) :

3) Project On the basis of Development actual expenses Expenses incurred

d) Revenue Recognition

1) Sales are recognized to the extent of project completion basis. During the year, the management has certified that the development of Project has been completed to the extent of 90% till 31.03.2014 (Previous Year 80%) on mercantile basis. Accordingly the revenue has been recognized.

2) Foreign currency fluctuations during the year are NIL( Previous year NIL).

3) Vat tax liability is accounted for on the basis of sales/Vat tax returns filed and tax deposited by the Company. Additional liability, if any, arises at time of assessment, will be accounted for in the year of finalization of assessment.

e) Foreign Exchange Transaction - NIL (Previous year NIL)

f) Depreciation

Depreciation on Fixed Assets have not been calculated on the rates as per Schedule XIV of the Companies Act, 1956, however, it had been calculated and provided as per the rates prescribed in Income Tax Act, 1961 as consistently been provided year after year in the past.

g) Retirement Benefits

Gratuity liability has been accounted for on accrual basis.

Contribution to Provident Fund, Family Pension Scheme and E.S.I. are accounted for on accrual basis and charged to Profit & Loss Account accordingly.

h) Investment

Investments are valued at cost.

i) Accounting of Taxes on Income

Provision for current tax is made on the basis of estimated taxable income for the current accounting year, in accordance with the provision of Income Tax Act, 1961.

The deferred tax for timing difference between the book profits and tax profits for the year is accounted for using the tax rates and laws that have been enacted or substantially enacted as on the Balance Sheet date. Deferred tax asset arising from timing difference are recognized to the extent there is reasonable certainty that these would be realized in future and are reviewed for the appropriateness of their respective carrying value at each Balance Sheet date.

j) Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting policies in India requires management to make estimates and assumption that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The Management believes that the estimates made in the preparation of the financial statements are prudent and reasonable. Actual results could differ from those estimates. Any revision of accounting estimates will be recognized prospectively in future periods.

k) Impairment of Assets

The Company assesses at each balance sheet whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount and the reduction is treated as an impairment loss and is recognized in the Profit and Loss Statement. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at recoverable amount subject to a maximum of depreciated historical cost and is accordingly reversed in the Profit and Loss statement.

---

Mar 31, 2013

A) Accounting Convention

The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and in accordance with the Accounting Standards applicable in India and the provisions of the Companies Act, 1956 as adopted consistently by the Company.

b) Fixed Assets

All fixed assets are stated at cost less accumulated depreciation. Costs of the acquisition of new assets are inclusive of taxes and other incidental expenses.

c) Inventories

The inventories have been determined on the basis of FIFO method and the basis of determining cost for various categories of inventories are as follows:-

1) Finished Goods At Estimated (Factories): realizable value

2) Stock At Cost (Real Estate):

3) Project On the basis of Development actual expenses Expenses incurred

d) Revenue Recognition

1) Sales are recognized to the extent of project completion basis. During the year, the management has certified that the development of project has been completed to the extent of 80% till 31.03.2013 (Previous Year 55%) on mercantile basis. Accordingly the revenue has been recognized. During the previous year the company has undertaken the development work of the project from Ansal API. The development expenses & other expenses incurred on project by Ansal API was taken as Project Development expenses in the cost of material.

During the previous year the company has changed the method of accounting for the recognition of revenue on the sale of plots. Earlier to the previous year the company was recognized the revenue for their own share of 62.50% on the basis of project completion basis as per the Development Agreement with Ansal API, but during the previous year the company had recognized the sale of plot at its own sale instead of share of revenue.

2) Foreign currency fluctuations during the year are NIL( Previous year NIL).

3) Vat tax liability is accounted for on the basis of sales/Vat tax returns filed and tax deposited by the Company. Additional liability, if any, arises at time of assessment, will be accounted for in the year of finalization of assessment.

e) Foreign Exchange Transaction - NIL (Previous year NIL)

f) Depreciation

Depreciation on Fixed Assets have not been calculated on the rates as per Schedule XIV of the Companies Act, 1956, however, it had been calculated and provided as per the rates prescribed in Income Tax Act, 1961 as consistently been provided year after year in past.

g) Retirement Benefits

Gratuity liability has been accounted for on accrual basis.

Contribution to Provident Fund, Family Pension Scheme and E.S.I, are accounted for on accrual basis and charged to Profit & Loss Account accordingly.

h) Investment

Investments are valued at cost.

i) Accounting of Taxes on Income

Provision for current tax is made on the basis of estimated taxable income for the current accounting year, in accordance with the provision of Income Tax Act, 1961.

The deferred tax for timing difference between the book profits and tax profits for the year is accounted for using the tax rates and laws that have been enacted or substantially enacted as on the Balance Sheet date. Deferred tax asset arising from timing difference are recognized to the extent there is reasonable certainty that these would be realized in future and are reviewed for the appropriateness of their respective carrying value at each Balance Sheet date.

j) Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting policies in India requires management to make estimates and assumption that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The Management believes that the estimates made in the preparation of the financial statements are prudent and reasonable. Actual results could differ from those estimates. Any revision of accounting estimates will be recognized prospectively in future periods.

k) Impairment of Assets

The Company assesses at each balance sheet whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount and the reduction is treated as an impairment loss and is recognized in the Profit and Loss Statement. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at recoverable amount subject to a maximum of depreciated historical cost and is accordingly reversed in the Profit and Loss Statement.

---

Mar 31, 2011

A) Accounting Convention

The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and in accordance with the Accounting Standards applicable in India and the provisions of the Companies Act, 1956 as adopted consistently by the Company.

b) Fixed Assets

All fixed assets are stated at cost less accumulated depreciation. Cost of the acquisition of new assets are inclusive of taxes and other incidental expenses.

c) Inventories

The inventories have been determined on the basis of FIFO method and the basis of determining cost for various categories of inventories are as follows:-

1) Finished Goods : At Estimated realizable Value

2) Stock At Cost (Real Estate)s

d) Revenue Recognition

1) Sales are recognized to the extent of project completion basis. During the year, project on development of mercantile basis by the Management has reported / completed to the extent of 45%. Certificate in this regards have been obtained from the Management of the Company. Company's share of sales to the extent of 62.50% in terms of Agreement with Developer has been provided in the books of accounts of the company on Mercantile System of Accounting followed by the company year after year.

2) Foreign currency fluctuations during the year are NIL.

3) Vat tax liability is accounted for on the basis of sales/Vat tax returns filed and tax deposited by the Company. Additional liability, if any, arises at time of assessment, will be accounted for in the year of finalization of assessment.

e) Foreign Exchange Transaction

NIL

f) Depreciation

Depreciation on Fixed Assets have not been calculated on the rates as per Schedule XIV of the Companies Act, 1956, however, it had been calculated and provided as per the rates prescribed in Income Tax Act, 1961 which has consistently been provided year after year in past.

g) Gratuity

Gratuity liability contribution to Provident Fund, Family Pension Scheme and E.S.I. has been provided on accrual basis.

h) Investment

Investments are valued at cost. All the investments are treated as Long-term investments.

i) Accounting of Taxes on Income

Provision for current tax is made on the basis of estimated taxable income for the current accounting year, in accordance with the provision of Income Tax Act, 1961.

The deferred tax for timing difference between the book profits and tax profits for the year is accounted for using the tax rates and laws that have been enacted or substantially enacted as on the Balance Sheet date. Deferred tax asset arising from timing difference are recognized to the extent there is reasonable certainty that these would be realized in future and are reviewed for the appropriateness of their respective carrying value at each Balance Sheet date.

j) Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting policies in India requires management to make estimates and assumption that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The Management believes that the estimates made in the preparation of the financial statements are prudent and reasonable. Actual results could differ from those estimates. Any revision of accounting estimates will be recognized prospectively in future periods. In view of this, the figure of sale of Real Estate of Rs.818.82 lacs have been provided in the books of accounts of the company on estimated project completion to the extent of 45%.

k) Impairment of Assets

The Company assesses at each balance sheet whether there is any indication that an asset may be impaired. If any such indication exists, the company estimates the recoverable amount of the asset. If such recoverable amount of the asset or the recoverable amount of the cash generating unit to which the asset belongs is less than its carrying amount, the carrying amount is reduced to its recoverable amount and the reduction is treated as an impairment loss and is recognized in the profit and loss account. If at the balance sheet date there is an indication that a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the asset is reflected at recoverable amount subject to a maximum of depreciated historical cost and is accordingly revered in the profit and loss account.

---

Mar 31, 2010

A) Accounting Convention

The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and in accordance with the Accounting Standards applicable in India and the provisions of the Companies Act, 1956 as adopted consistently by the Company.

b) Fixed Assets

All fixed assets are stated at cost less accumulated depreciation. Cost of the acquisition is inclusive of freight, duties, taxes and other incidental expenses.

c) Inventories

The inventories have been determined on the basis of FIFO method and the basis of determining cost for various categories of inventories are as follows:-

1) Raw Material At Cost

2) Finished Goods : At Estimated

realizable Value

3) Others: At Cost

d) Revenue Recognition

1) Sale is recognized on mercantile basis.

2) Foreign currency fluctuations are recognized to revenue at time of realization.

3) Vat tax liability is accounted for on the basis of salesA/at tax returns filed and tax deposited by the Company. Additional liability, if any, arises at time of assessment, will be accounted for in the year of f inalization of assessment.

e) Foreign Exchange Transaction

All the foreign exchange transactions for sale are accounted for at the rate applicable at the time of execution of documents with the bank or dispatch of goods.

f) Depreciation

Depreciation has been calculated as per the Income Tax Act, 1961 on Written down Value Method.

g) Gratuity

Gratuity liability has been accounted for on accrual basis.

Contribution to Provident Fund, Family Pension Scheme and ESI are accounted for on accrual basis and charged to Profit & Loss Account accordingly.

h) Investment

Investments are valued at cost plus incidental expenses, if any. All Investments are treated as Long-term investments, which are stated at cost.

i) Accounting of Taxes on Income

No provision for Income tax has been made keeping in view the carried forward losses of the previous years.

Consequent to the issuance of Accounting Standard 22(AS-22) "Accounting for Taxes on Income" by the Institute of Chartered Accountants of India which is mandatory in nature, the company has reviewed Deferred Taxes which result from the timing difference between the Book Profits and Tax Profits.

In consideration of prudence as set out in paragraph 15 to 18 of AS-22, the company has not recognized Net Deferred Tax Assets in the Financial Statement for the year ended 31.03.2010. Further in accordance with paragraph 19 of AS-22 the Net Deferred Tax Asset, if any, shall be reassessed at the end of each Balance Sheet date hereafter and accordingly due recognition shall be given in the Financial Statements

j) Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting policies in India requires management to make estimates and assumption that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The Management believes that the estimates made in the preparation of the financial statements are prudent and reasonable. Actual results could differ from those estimates. Any revision of accounting estimates is recognized prospectively in current and future periods.

k) Borrowing Cost

Borrowings cost that are attributable to the acquisition or constructions of qualifying assets are capitalized as part of cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are recognized as expense in the year in which they are incurred.

l) Provisions, Contingent Liabilities And Contingent Assets

A provision is created where there is present obligation as a result of a past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation.

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 outflow of resources. When there is a possible obligation or a present obligation in respect of which the likelihood of outflow of resources is remote, no provision or disclosure is made.

Contingent assets are neither recognized nor disclosed in the financial statements.

m) Impairment of Assets

An asset is treated as impaired when the carrying cost of assets exceeds its receivable value. An impairment loss is charged to the profit & loss accounts in the year in which an asset is identified as impaired. The impairment loss recognized in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.

---

Mar 31, 2009

A) Accounting Convention

The financial statements have been prepared under the historical cost convention in accordance with the generally accepted accounting principles and in accordance with the Accounting Standards applicable in India and the provisions of the Companies Act, 1956 as adopted consistently by the Company.

b) Fixed Assets

All fixed assets are stated at cost less accumulated depreciation. Cost of the acquisition is inclusive of freight, duties, taxes and other incidental expenses. Loss on conversion of foreign currency liability for acquisition of fixed assets is added to the assets.

c) Inventories

The inventories have been determined on the basis of FIFO method and the basis of determining cost for various categories of inventories are as follows:-

1) Raw Material At Cost

2) Finished Goods : At Estimated

realizable Value

3) Others: At Cost

d) Revenue Recognition

1) Sale is recognized on mercantile basis.

2) Foreign currency fluctuations are recognized to revenue at time of realization.

3) Sales/Vat tax liability is accounted for on the basis of sales/Vat tax returns filed and tax deposited by the Company. Additional liability, if any, arises at time of asses- sment, will be accounted for in the year of finalization of assessment.

e) Foreign Exchange Transaction

All the foreign exchange transactions for sale are accounted for at the rate applicable at the time of execution of documents with the bank or dispatch of goods.

f) Depreciation

Depreciation has been calculated as per the Income Tax Act, 1961 on Written down Value Method.

g) Gratuity

Gratuity liability has been accounted for on accrual basis.

Contribution to Provident Fund, Family Pension Scheme and ESI are accounted for on accrual basis and charged to Profit & Loss Account accordingly.

h) Investment

Investments are valued at cost plus incidental expenses, if any. Investments are classified into Current and Long-term investments. Current investments are stated at the lower of cost and fair value. Long-term investments are/shall be stated at cost. A provision for diminution shall be made to recognize a decline, other than temporary, in the value of long-term investments.

i) Accounting of Taxes on Income

Since the company has incurred losses during the year, so income-tax for current year has not been provided.

Consequent to the issuance of Accounting Standard 22(AS-22) "Accounting forTaxes on Income" by the Institute of Chartered Accountants of India which is mandatory in nature, the company has reviewed Deferred Taxes which result from the timing difference between the Book Profits and Tax Profits.

Fringe Benefit Tax (FBT) payable under the provisions of section 115WC of the Income Tax Act, 1961, is in accordance with the Guidance Note on Accounting for

Fringe Benefit Tax issued by the ICAI, regarded as an additional income tax and considered in determination of the profits for the year.

j) Use of Estimates

The preparation of financial statements in conformity with generally accepted accounting policies in India requires management to make estimates and assumption that affect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. The Management believes that the estimates made in the preparation of the financial statements are prudent and reasonable. Actual results could differ from those estimates. Any revision of accounting estimates is recognized prospectively in current and future periods.

k) Borrowing Cost

Borrowings cost that are attributable to the acquisition or constructions of qualifying assets are capitalized as part of cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are recognized as expense in the year in which they are incurred.

l) Provisions, Contingent Liabilities And Contingent Assets

A provision is created where there is present obligation as a result of a past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation.

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 outflow of resources. When there is a possible obligation or a present obligation in respect of which the likelihood of outflow of resources is remote, no provision or disclosure is made.

Contingent assets are neither recognized nor disclosed in the financial statements.

m) Impairment of Assets

An asset is treated as impaired when the carrying cost of assets exceeds its receivable value. An impairment loss is charged to the profit & loss accounts in the year in which an asset is identified as impaired. The impairment loss recognized in prior accounting period is reversed if there has been a change in the estimate of recoverable amount.