Notes to Accounts of Monind Ltd.

Mar 31, 2025

Provisions are recognised when the Company has a present obligation (legal or
constructive) as a result of a past events and it is probable that an outflow of
resources embodying economic benefits will be required to settle the obligation and a
reliable estimate can be made of the amount of the obligation.

If the effect of the time value of money is material, provisions are 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
recognised as a finance cost.

• a present obligation arising from past events, when it is not probable that an
outflow of resources will be required to settle the obligation;

• a present obligation arising from past events, when no reliable estimate is possible

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

j. Leases

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.

The Company as a lessee

From 1 April 2019, leases are recognised as a right-of-use asset and a corresponding
liability at the date at which the leased asset is available for use by the Company.
Contracts may contain both lease and non-lease components. The Company allocates
the consideration in the contract to the lease and non-lease components based on
their relative stand-alone prices.

Assets and liabilities arising from a lease are initially measured on a present value
basis. Lease liabilities include the net present value of the following lease payments:

• fixed payments (including in -substance fixed payments), less any lease
incentives receivable

• variable lease payment that are based on an index or a rate, initially measured
using the index or rate as at the commencement date

• amounts expected to be payable under residual value guarantees, if any

• the exercise price of a purchase option if any, if the Company is reasonably
certain to exercise that option

• payment for penalties for terminating the lease, if the lease term reflects the
Company exercising that option

The lease payments are discounted using the interest rate implicit in the lease. If the
rate cannot be readily determined, which is generally the case for leases in the
Company, the lessee’s incremental borrowing rate is used, being the rate that the
individual lessee would have to pay to borrow the funds necessary to obtain an asset
of similar value to the right-of-use asset in a similar economic environment with similar
terms, security and conditions.

Lease payments are allocated between principal and finance cost. The finance cost is
charged to the statement of profit and loss over the lease period so as to produce a
constant periodic rate of interest on the remaining balance of the liability for each
period. Variable lease payments that depend on sales are recognised in the
statement of profit and loss in the period in which the condition that triggers those
payments occurs.

Right-of-use assets are generally depreciated over the shorter of the asset''s useful life
and the lease term on a straight-line basis. If the Company is reasonably certain to
exercise a purchase option, the right-of-use asset is depreciated over the underlying
assets useful life.

Payments associated with short-term leases are recognised on a straight-line basis as
an expense in the statement of profit and loss. Short term leases are the leases with a
lease term of 12 months or less. Further, rental payments for the land where lease
period is considered to be indefinite or indeterminable, these are charged off to the
statement of profit and loss.

k. Earnings per share

Basic earnings per equity share is computed by dividing the net profit after tax
attributable to the equity shareholders by the weighted average number of equity
shares outstanding during the year. Diluted earnings per equity share is computed by
dividing adjusted net profit after tax by the aggregate of weighted average number of
equity shares and dilutive potential equity shares during the year.

l. Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand,
cheques 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 value.

For the purpose of the statement of cash flows, cash and cash equivalents consist of
cash and short-term deposits, as defined above.

m. Fair value measurement

The Company measures financial instruments such as derivatives and certain
investments, at fair value at each balance sheet date.

All assets and liabilities for which fair value is measured or disclosed in the financial
statements are categorized within the fair value hierarchy, described as follows,
based on the lowest level input that is significant to the fair value measurement as a
whole:

• Level 1 — Quoted (unadjusted) market prices in active markets for identical assets
or liabilities

• Level 2 — Valuation techniques for which the lowest level input that is significant
to the fair value measurement is directly or indirectly observable

• Level 3 — Valuation techniques for which the lowest level input that is significant
to the fair value measurement is unobservable

For assets and liabilities that are recognized in the balance sheet on a recurring basis,
the Company determines whether transfers have occurred between levels in the
hierarchy by re-assessing categorization (based on the lowest level input that is
significant to the fair value measurement as a whole) at the end of each reporting
period.

For the purpose of fair value disclosures, the Company has determined classes of
assets and liabilities on the basis of the nature, characteristics and risks of the asset or
liability and the level of the fair value hierarchy as explained above.

n. 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 another entity.

(a) Financial assets
Classification

The Company classifies financial assets as subsequently measured at amortized cost,
fair value through other comprehensive income or fair value through profit or loss on the
basis of its business model for managing the financial assets and the contractual cash
flows characteristics of the financial asset.

Initial recognition and measurement

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.

Subsequent measurement

For purposes of subsequent measurement financial assets are classified in below
categories:

• Financial assets carried at amortised cost

A financial asset is subsequently measured at amortised cost if it is held within a
business model whose objective is to hold the asset in order to collect contractual cash
flows and the contractual terms of the financial asset give rise on specified dates to cash
flows that are solely payments of principal and interest on the principal amount
outstanding.

• Financial assets at fair value through other comprehensive income

A financial asset is subsequently measured at fair value through other comprehensive
income if it is held within a business model whose objective is achieved by both
collecting contractual cash flows and selling financial assets and the contractual terms of
the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding. The Company has made an
irrevocable election for its investments which are classified as equity instruments to
present the subsequent changes in fair value in other comprehensive income based on
its business model.

• Financial assets at fair value through profit or loss

A financial asset which is not classified in any of the above categories are subsequently
fair valued through profit or loss.

Derecognition

A financial asset is primarily derecognized when the rights to receive cash flows from the
asset have expired or the Company has transferred its rights to receive cash flows from
the asset.

Impairment of financial assets

The Company assesses impairment based on expected credit losses (ECL) model for
measurement and recognition of impairment loss on the financial assets that are trade
receivables or contract revenue receivables and all lease receivables.

(b) Financial liabilities

Classification

The Company classifies all financial liabilities as subsequently measured at amortized
cost, except for financial liabilities at fair value through profit or loss. Such liabilities,
including derivatives that are liabilities, shall be subsequently measured at fair value.

Initial recognition and measurement

All financial liabilities are recognized initially at fair value and, in the case of loans and
borrowings and payables, net of directly attributable transaction costs. The Company’s
financial liabilities include trade and other payables, loans and borrowings including bank
overdrafts, and derivative financial instruments.

Subsequent measurement

The measurement of financial liabilities depends on their classification, as described
below:

• Financial liabilities at amortised cost

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.

Amortized cost is calculated by taking into account any discount or premium on
acquisition and fees or costs that are an integral part of the EIR. The EIR amortization is
included as finance costs in the statement of profit and loss.

• Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for
trading and financial liabilities designated upon initial recognition as at fair value through
profit or loss. Financial liabilities are classified as held for trading if they are incurred for
the purpose of repurchasing in the near term. This category also includes derivative
financial instruments entered into by the Company that are not designated as hedging
instruments in hedge relationships as defined by Ind AS 109. Separated embedded
derivatives are also classified as held for trading unless they are designated as effective
hedging instruments.

Gains or losses on liabilities held for trading are recognized in the statement of profit and
loss.

Derecognition

A financial liability is derecognized when the obligation under the liability is discharged
or cancelled or expires. When an existing financial liability is replaced by another from
the same lender on substantially different terms, or the terms of an existing liability are
substantially modified, such an exchange or modification is treated as the derecognition
of the original liability and the recognition of a new liability. The difference in the
respective carrying amounts is recognized in the statement of profit and loss.

o. Unless specifically stated to be otherwise, these policies are consistently followed.

2.3 Significant accounting judgements, estimates and assumptions

The preparation of the Company’s financial statements requires management to make
judgements, estimates and assumptions that affect the reported amounts of revenues,
expenses, assets and liabilities, and the accompanying disclosures, and the disclosure
of contingent liabilities at the date of the financial statements. Estimates and
assumptions are continuously evaluated and are based on management’s experience
and other factors, including expectations of future events that are believed to be
reasonable under the circumstances. Uncertainty about these assumptions and
estimates could result in outcomes that require a material adjustment to the carrying
amount of assets or liabilities affected in future periods.

In particular, the Company has identified the following areas where significant
judgements, estimates and assumptions are required. Further information on each of
these areas and how they impact the various accounting policies are described below
and also in the relevant notes to the financial statements. Changes in estimates are
accounted for prospectively.

Judgements

In the process of applying the Company’s accounting policies, management has made
the following judgements, which have the most significant effect on the amounts
recognized in the financial statements:

Contingencies

Contingent liabilities may arise from the ordinary course of business in relation to
claims against the Company, including legal, contractor, land access and other claims.
By their nature, contingencies will be resolved only when one or more uncertain future
events occur or fail to occur. The assessment of the existence, and potential quantum,
of contingencies inherently involves the exercise of significant judgments and the use
of estimates regarding the outcome of future events.

Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation
uncertainty at the reporting date that have a significant risk of causing a material
adjustment to the carrying amounts of assets and liabilities within the next financial
year, are described below. The Company based its assumptions and estimates on
parameters available when the consolidated financial statements were prepared.

Existing circumstances and assumptions about future developments, however, may
change due to market change or circumstances arising beyond the control of the
Company. Such changes are reflected in the assumptions when they occur.

(a) Impairment of non-financial assets

The Company assesses at each reporting date whether there is an indication that an
asset may be impaired. If any indication exists, or when annual impairment testing for
an asset is required, the Company estimates the asset’s recoverable amount. An
asset’s recoverable amount is the higher of an asset’s or CGU’s fair value less costs of
disposal and its value in use. It is determined for an individual asset, unless the asset
does not generate cash inflows that are largely independent of those from other assets
or groups of assets. Where the carrying amount of an asset or CGU exceeds its
recoverable amount, the asset is considered impaired and is written down to its
recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their
present value using a pre-tax discount rate that reflects current market assessments of
the time value of money and the risks specific to the asset. In determining fair value
less costs of disposal, recent market transactions are taken into account. If no such
transactions can be identified, an appropriate valuation model is used. These
calculations are corroborated by valuation multiples, quoted share prices for publicly
traded subsidiaries or other available fair value indicators.

(b) Defined benefit plans

The cost of the defined benefit plan and other post-employment benefits and the
present value of such obligation are determined using actuarial valuations. An actuarial
valuation involves making various assumptions that may differ from actual
developments in the future. These include the determination of the discount rate, future
salary increases, mortality rates and future pension increases. Due to the complexities
involved in the valuation and its long-term nature, a defined benefit obligation is highly
sensitive to changes in these assumptions. All assumptions are reviewed at each
reporting date.

(c) Fair value measurement of financial instruments

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

(d) Impairment of financial assets

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

2.4 Recent Accounting Pronouncement

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, 2025, MCA has not notified any new
standards or amendments to the existing standards applicable to the Company.

---

Mar 31, 2024

Provisions are recognised when the Company has a present obligation (legal or
constructive) as a result of a past events and it is probable that an outflow of
resources embodying economic benefits will be required to settle the obligation
and a reliable estimate can be made of the amount of the obligation.

If the effect of the time value of money is material, provisions are 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 recognised as a finance cost.

• a present obligation arising from past events, when it is not probable that an
outflow of resources will be required to settle the obligation;

• a present obligation arising from past events, when no reliable estimate is
possible

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

j. Leases

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.

The Company as a lessee

From 1 April 2019, leases are recognised as a right-of-use asset and a
corresponding liability at the date at which the leased asset is available for use by
the Company. Contracts may contain both lease and non-lease components. The
Company allocates the consideration in the contract to the lease and non-lease
components based on their relative stand-alone prices.

Assets and liabilities arising from a lease are initially measured on a present value
basis. Lease liabilities include the net present value of the following lease
payments:

• fixed payments (including in -substance fixed payments), less any lease
incentives receivable

• variable lease payment that are based on an index or a rate, initially
measured using the index or rate as at the commencement date

• amounts expected to be payable under residual value guarantees, if any

• the exercise price of a purchase option if any, if the Company is reasonably

certain to exercise that option

• payment for penalties for terminating the lease, if the lease term reflects

the Company exercising that option

The lease payments are discounted using the interest rate implicit in the lease. If
the rate cannot be readily determined, which is generally the case for leases in the
Company, the lessee''s incremental borrowing rate is used, being the rate that the
individual lessee would have to pay to borrow the funds necessary to obtain an
asset of similar value to the right-of-use asset in a similar economic environment
with similar terms, security and conditions.

Lease payments are allocated between principal and finance cost. The finance cost
is charged to the statement of profit and loss over the lease period so as to
produce a constant periodic rate of interest on the remaining balance of the
liability for each period. Variable lease payments that depend on sales are
recognised in the statement of profit and loss in the period in which the condition
that triggers those payments occurs.

Right-of-use assets are generally depreciated over the shorter of the asset''s useful
life and the lease term on a straight-line basis. If the Company is reasonably
certain to exercise a purchase option, the right-of-use asset is depreciated over the
underlying assets useful life.

Payments associated with short-term leases are recognised on a straight-line basis
as an expense in the statement of profit and loss. Short term leases are the leases
with a lease term of 12 months or less. Further, rental payments for the land
where lease period is considered to be indefinite or indeterminable, these are
charged off to the statement of profit and loss.

k. Earnings per share

Basic earnings per equity share is computed by dividing the net profit after tax
attributable to the equity shareholders by the weighted average number of equity
shares outstanding during the year. Diluted earnings per equity share is
computed by dividing adjusted net profit after tax by the aggregate of weighted
average number of equity shares and dilutive potential equity shares during the
year.

l. Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on
hand, cheques 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 value.

For the purpose of the statement of cash flows, cash and cash equivalents consist
of cash and short-term deposits, as defined above.

m. Fair value measurement

The Company measures financial instruments such as derivatives and certain
investments, at fair value at each balance sheet date.

All assets and liabilities for which fair value is measured or disclosed in the
financial statements are categorized within the fair value hierarchy, described as
follows, based on the lowest level input that is significant to the fair value
measurement as a whole:

• Level 1 — Quoted (unadjusted) market prices in active markets for identical
assets or liabilities

• Level 2 — Valuation techniques for which the lowest level input that is
significant to the fair value measurement is directly or indirectly observable

• Level 3 — Valuation techniques for which the lowest level input that is
significant to the fair value measurement is unobservable

For assets and liabilities that are recognized in the balance sheet on a recurring
basis, the Company determines whether transfers have occurred between levels in
the hierarchy by re-assessing categorization (based on the lowest level input that is
significant to the fair value measurement as a whole) at the end of each reporting
period.

For the purpose of fair value disclosures, the Company has determined classes of
assets and liabilities on the basis of the nature, characteristics and risks of the asset
or liability and the level of the fair value hierarchy as explained above.

n. 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 another entity.

(a) Financial assets
Classification

The Company classifies financial assets as subsequently measured at amortized cost,
fair value through other comprehensive income or fair value through profit or loss
on the basis of its business model for managing the financial assets and the
contractual cash flows characteristics of the financial asset.

Initial recognition and measurement

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.

Subsequent measurement

For purposes of subsequent measurement financial assets are classified in below
categories:

• Financial assets carried at amortised cost

A financial asset is subsequently measured at amortised cost if it is held within a
business model whose objective is to hold the asset in order to collect contractual
cash flows and the contractual terms of the financial asset give rise on specified
dates to cash flows that are solely payments of principal and interest on the
principal amount outstanding.

• Financial assets at fair value through other comprehensive income

A financial asset is subsequently measured at fair value through other
comprehensive income if it is held within a business model whose objective is
achieved by both collecting contractual cash flows and selling financial assets and
the contractual terms of the financial asset give rise on specified dates to cash flows
that are solely payments of principal and interest on the principal amount
outstanding. The Company has made an irrevocable election for its investments
which are classified as equity instruments to present the subsequent changes in fair
value in other comprehensive income based on its business model.

• Financial assets at fair value through profit or loss

A financial asset which is not classified in any of the above categories are
subsequently fair valued through profit or loss.

Derecognition

A financial asset is primarily derecognized when the rights to receive cash flows
from the asset have expired or the Company has transferred its rights to receive
cash flows from the asset.

Impairment of financial assets

The Company assesses impairment based on expected credit losses (ECL) model for
measurement and recognition of impairment loss on the financial assets that are
trade receivables or contract revenue receivables and all lease receivables.

(b) Financial liabilities

Classification

The Company classifies all financial liabilities as subsequently measured at
amortized cost, except for financial liabilities at fair value through profit or loss.
Such liabilities, including derivatives that are liabilities, shall be subsequently
measured at fair value.

Initial recognition and measurement

All financial liabilities are recognized initially at fair value and, in the case of loans
and borrowings and payables, net of directly attributable transaction costs. The
Company''s financial liabilities include trade and other payables, loans and
borrowings including bank overdrafts, and derivative financial instruments.

Subsequent measurement

The measurement of financial liabilities depends on their classification, as described
below:

• Financial liabilities at amortised cost

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.

Amortized cost is calculated by taking into account any discount or premium on
acquisition and fees or costs that are an integral part of the EIR. The EIR
amortization is included as finance costs in the statement of profit and loss.

• Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities
held for trading and financial liabilities designated upon initial recognition as at fair
value through profit or loss. Financial liabilities are classified as held for trading if
they are incurred for the purpose of repurchasing in the near term. This category
also includes derivative financial instruments entered into by the Company that are
not designated as hedging instruments in hedge relationships as defined by Ind AS
109. Separated embedded derivatives are also classified as held for trading unless
they are designated as effective hedging instruments.

Gains or losses on liabilities held for trading are recognized in the statement of
profit and loss.

Derecognition

A financial liability is derecognized when the obligation under the liability is
discharged or cancelled or expires. When an existing financial liability is replaced by
another from the same lender on substantially different terms, or the terms of an
existing liability are substantially modified, such an exchange or modification is
treated as the derecognition of the original liability and the recognition of a new
liability. The difference in the respective carrying amounts is recognized in the
statement of profit and loss.

o. Unless specifically stated to be otherwise, these policies are consistently followed.

2.3 Significant accounting judgements, estimates and assumptions

The preparation of the Company''s financial statements requires management to
make judgements, estimates and assumptions that affect the reported amounts of
revenues, expenses, assets and liabilities, and the accompanying disclosures, and
the disclosure of contingent liabilities at the date of the financial statements.
Estimates and assumptions are continuously evaluated and are based on
management''s experience and other factors, including expectations of future
events that are believed to be reasonable under the circumstances. Uncertainty
about these assumptions and estimates could result in outcomes that require a
material adjustment to the carrying amount of assets or liabilities affected in
future periods.

In particular, the Company has identified the following areas where significant
judgements, estimates and assumptions are required. Further information on
each of these areas and how they impact the various accounting policies are
described below and also in the relevant notes to the financial statements.
Changes in estimates are accounted for prospectively.

Judgements

In the process of applying the Company''s accounting policies, management has
made the following judgements, which have the most significant effect on the
amounts recognized in the financial statements:

Contingencies

Contingent liabilities may arise from the ordinary course of business in relation
to claims against the Company, including legal, contractor, land access and other
claims. By their nature, contingencies will be resolved only when one or more
uncertain future events occur or fail to occur. The assessment of the existence,
and potential quantum, of contingencies inherently involves the exercise of
significant judgments and the use of estimates regarding the outcome of future
events.

Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation
uncertainty at the reporting date that have a significant risk of causing a material
adjustment to the carrying amounts of assets and liabilities within the next
financial year, are described below. The Company based its assumptions and
estimates on parameters available when the consolidated financial statements
were prepared. Existing circumstances and assumptions about future
developments, however, may change due to market change or circumstances
arising beyond the control of the Company. Such changes are reflected in the
assumptions when they occur.

(a) Impairment of non-financial assets

The Company assesses at each reporting date whether there is an indication that
an asset may be impaired. If any indication exists, or when annual impairment
testing for an asset is required, the Company estimates the asset''s recoverable
amount. An asset''s recoverable amount is the higher of an asset''s or CGU''s fair
value less costs of disposal and its value in use. It is determined for an individual
asset, unless the asset does not generate cash inflows that are largely
independent of those from other assets or groups of assets. Where the carrying
amount of an asset or CGU exceeds its recoverable amount, the asset is
considered impaired and is written down to its recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their
present value using a pre-tax discount rate that reflects current market
assessments of the time value of money and the risks specific to the asset. In
determining fair value less costs of disposal, recent market transactions are taken

into account. If no such transactions can be identified, an appropriate valuation
model is used. These calculations are corroborated by valuation multiples,
quoted share prices for publicly traded subsidiaries or other available fair value
indicators.

(b) Defined benefit plans

The cost of the defined benefit plan and other post-employment benefits and the
present value of such obligation are determined using actuarial valuations. An
actuarial valuation involves making various assumptions that may differ from
actual developments in the future. These include the determination of the
discount rate, future salary increases, mortality rates and future pension
increases. Due to the complexities involved in the valuation and its long-term
nature, a defined benefit obligation is highly sensitive to changes in these
assumptions. All assumptions are reviewed at each reporting date.

(c) Fair value measurement of financial instruments

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

(d) Impairment of financial assets

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

2.4 Recent Accounting Pronouncement

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.

Note -19

Earning per share

Basic and Diluted EPS amounts are calculated by dividing the profit / loss for the year attributable to equity
holders of the company by the weighted average number of Equity shares outstanding during the year.

Diluted EPS amounts are calculated by dividing the profit / loss attributable to equity holders of the company
by the weighted average number of Equity shares outstanding during the year plus the weighted average
number of Equity shares that would be issued on conversion of all the dilutive potential Equity shares into
Equity shares.

(a) The principal amount and the interest due thereon
remaining unpaid to any supplier as at the end of each
accounting year

Principal amount due to micro and small enterprises
Interest due on above

(b) The amount of interest paid by the buyer in terms of
section 16 of the MSMED Act 2006 along with the
amounts of the payment made to the supplier beyond
the appointed day during each accounting year

(c) The amount of interest due and payable for the period
of delay in making payment (which have been paid but
beyond the appointed day during the year) but without
adding the interest specified under the MSMED Act
2006.

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

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

Note -21

Segment Reporting

There are no major business activity during the year. Hence the disclosure requirement of
Indian Accounting Standard 108 of “Segment Reporting” issued by the Institute of Chartered
Accountants of India is not considered applicable.

Note-23 - Financial risk management objectives and policies

The Company''s principal financial liabilities, comprise borrowings, trade and other payables, security deposits and others. The
Company''s principal financial assets include trade and other receivables and cash and short-term deposits and loans.

The Company is exposed to market risk, credit risk and liquidity risk. The Company''s management oversees the management of these
risks. The Company''s senior management is supported by a Risk Management Compliance Board that advises on financial risks and
the appropriate financial risk governance framework for the Company. The financial risk committee provides assurance to the
Company''s management that the Company''s financial risk activities are governed by appropriate policies and procedures and that
financial risks are identified, measured and managed in accordance with the Company''s policies and risk objectives. The management
reviews and agrees policies for managing each of these risks, which are summarised below.

I. Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices.
Market risk comprises three types of risk: interest rate risk, currency risk and other price risk. Financial instruments affected by market
risk include , deposits.

The sensitivity analyses of the above mentioned risk in the following sections relate to the position as at 31 March 2024 and 31 March
2023.

The analyses exclude the impact of movements in market variables on: the carrying values of gratuity and other post-retirement
obligations; provisions; and the non-financial assets and liabilities of foreign operations. The analysis for contingent liabilities is provided
in Note 34.

The following assumptions have been made in calculating the sensitivity analyses:

- The sensitivity of the relevant profit or loss item is the effect of the assumed changes in respective market risks. This is based on
the financial assets and financial liabilities held at 31 March 2024 and 31 March 2023.

The movement in the pre-tax effect on profit and loss is a result of a change in the fair value of derivative financial instruments not
designated in a hedge relationship and monetary assets and liabilities denominated in INR, where the functional currency of the entity is
a currency other than INR.

II. Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a
financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables) and from its financing
activities, including deposits with banks and financial institutions.

Credit risk from investments with banks and other financial institutions is managed by the Treasury functions in accordance with the
management policies. Investments of surplus funds are only made with approved counterparties who meet the appropriate rating
and/or other criteria, and are only made within approved limits. The management continually re-assess the Company''s policy and
update as required. The limits are set to minimise the concentration of risks and therefore mitigate financial loss through counterparty
failure.

The maximum credit risk exposure relating to financial assets is represented by the carrying value as at the Balance Sheet date
A. Financial instruments and cash deposits

Credit risk from balances with banks and financial institutions is managed by the Company''s treasury department in accordance with
the Company''s policy. Investments of surplus funds are made only with approved counterparties.

IV. Excessive risk concentration

Concentrations arise when a number of counterparties are engaged in similar business activities, or activities in the same geographical
region, or have economic features that would cause their ability to meet contractual obligations to be similarly affected by changes in
economic, political or other conditions. Concentrations indicate the relative sensitivity of the Company''s performance to developments
affecting a particular industry.

The objective of the Company''s capital management structure is to ensure that there remains
sufficient liquidity within the Company to carry out committed work programme requirements. The
Company monitors the long term cash flow requirements of the business in order to assess the
requirement for changes to the capital structure to meet that objective and to maintain flexibility.

The Company manages its capital structure and makes adjustments to it, in light of changes to
economic conditions. To maintain or adjust the capital structure, the Company may adjust the
dividend payment to shareholders, return capital, issue new shares for cash, repay debt, put in
place new debt facilities or undertake other such restructuring activities as appropriate.

a. During the year there are no major business activities in the company. The
accumulated losses of the company as on 31^st March 2024 exceeded its Paid
Up Capital & Free Reserves. Net worth of the company have become negative
and the company has incurred cash losses during the year and immediately
preceding previous year and current liabilities are significantly higher than
current assets. In this regard the management perceives that there will be
improvisation in financial performance of the company. Accordingly, the
financial statements of the company have been prepared on Going Concern
Basis.

b. The company has continued to be in financial stress and yet to commence any
business activities. Considering the situation, the lenders of unsecured loans
have agreed to convert the borrowing of Rs. 9,000.00 lacs into Non¬
Convertible, Redeemable, non-Cumulative preference shares. The disclosures
of terms of issuance of shares is done in Note no 7.

27. Balance confirmations have not been received from some of the parties showing
debit/credit balances.

28. The company has accounted for retirement benefit of employees on accrual basis
calculated on arithmetical basis based on last drawn salaries which is considered
sufficient by the management in view of significance of amount for compliance of
Ind AS -19.

29. In the opinion of the Board and to the best of their knowledge and belief, the value
on realization of loans, advances & other current assets in the ordinary course of
business will not be less than the amount at which they are stated in the Balance
Sheet.

30. Deferred tax asset has not been recognized in terms of Ind- AS 12 issued by ICAI

by adopting the conservative approach in respect of ascertained profitability in
the future years for setting off the deferred tax asset.

31. Previous year figures have been regrouped wherever necessary.

In terms of our report of even date annexed
For OP BAGLA & CO. LLP
CHARTERED ACCOUNTANTS
Firm Regn. No. 000018N/N500091

Sd/- Sd/-

Sd/- KESHAV SHARMA MAHESH KUMAR

SHARMA

NITIN JAIN DIRECTOR WHOLE-TIME

PARTNER DIN- 08275228 DIRECTOR

M.NO. 510841 DIN- 07504637

Sd/- Sd/-

RINKAL MAHESH KUMAR

COMPANY SHARMA

SECRETARY CHIEF FINANCE

OFFICER

M.NO. A55732 PAN - BJNPS4236D

PLACE : NEW DELHI
DATE : 30.05.2024

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Mar 31, 2015

A) (i) During the year, the Company has not issued or brought back Equity shares

(ii) During the year the Company has issued 10% Non Comulatiive Non Convertible Reedemable Prererence shares on Dt. 30.09.2014.

b) The holders of the equity shares are entitled to receive dividends as declared from time to time, and are entitled to vote at meetings of the Company.

c) There are no holding or subsidiary companies of the Company.

d) Following shareholders held more than 5% of the total Equity & Preference shares in the Company

(iii) Following is the reconciliation of number of shares outstanding as at the beginning of the year and end of the year

DISCLOSURES REGARDING LONG TERM BORROWINGS

a) The term loan is secured against First pari passu charge by way of hypothecation and mortage over entire present & future movable & immovable fixed assets of the company

b) The loan is further secured by exclusive charge by way of mortage over the immovable property at 10-11, Masjid Moth G.K.-II New Delhi owned by M/s Pace Enterprises Pvt. Ltd. & M/s Cambridge Construction ( Delhi ) Ltd.

c) The total amount of borrowing has been invested in 6.5% Non Convertible Cumulative Redeemable Preference shares (CRPS ) of M/s Monnet Ispat & Energy Ltd. @ Rs.100/- per Share which have been pledged with the bank alongwith all rights associated with CRPS..

d) The loan is further secured by personal guarantee of Sh. Sandeep Jajodia and corporate guarantee of M/s Pace Enterprises Pvt. Ltd. & M/s Cambridge Construction ( Delhi ) Ltd.

e) The loan is repayable in 3 equal installment payable at the end of 3th, 4th & 5th years from the date of disbursement. The loan is carrying interest rate is 12.25 %.

f) There has been no continuing default on the balance sheet date in repayment of loan and interest.

a) Non-Current Investments have been valued considering the Significant Accounting Policy No.5 disclosed in Note No. 1 to these financial statement.

b) Figures in bracket represent previous year figures.

OTHER NOTES ON ACCOUNTS

1. Balance confirmations have not been received from some of the parties showing debit/credit balances.

2. The company has accounted for retirement benefit of employees on accrual basis calculated on arithmetical basis based on last drawn salaries which is considered sufficient by the management for compliance of Accounting Standard AS-15.

3. The Company, has during the year not received any information from any vendor regarding their status being registered under Micro, Small and Medium Enterprises Development Act, 2006. Based on the above, disclosures, if any, relating to amounts unpaid as at the period end along with interest paid / payable have not been given.

4. In the opinion of the Board and to the best of their knowledge and belief, the value on realization of loans, advances & other current assets in the ordinary course of business will not be less than the amount at which they are stated in the Balance Sheet.

5. Deferred tax asset has not been recognized in terms of AS 22 issued by ICAI by adopting the conservative approach in respect of ascertained profitability in the future years.

6. Depreciation and Amortization on tangible and intangible fixed assets: the Company was hitherto charging depreciation on Written Down Value (WDV) at the rates provided in Schedule XIV of the Companies Act, 1956. In the current year, the Company has reassessed the useful life of assets, and adopted the useful life as provided in Schedule II of the Companies Act, 2013.

Consequent to change of useful life as above, an amount of Rs.88,22,928/- representing WDV of those assets whose useful life had already expired as on 1st April, 2014 has been adjusted against the Surplus in Schedule 3, Reserves & Surplus.

Had there been no change, depreciation charge for the year would have been higher by Rs.1412150/- and profit for the year would have been lower by the same amount.

7. The accumulated losses of the company as on 31st March 2015 exceeds its Paid Up Capital & Free Reserves. Since the net worth of the company have become negative, it is a Sick Industrial Unit. Suitable steps shall be taken in current financial year in this connection. In view of uncertainty, the financial statements of the company have been prepared on Going Concern Basis.

8. Segmental Reporting:

The business activity of the company falls within one broad business segment viz "Ferro Magnese" and substantially sale of the product is within the country. The Gross income and profit from the other segment is below the norms prescribed in AS-17 of The Institute of Chartered Accountants of India. Hence the disclosure requirement of Accounting Standard 17 of "Segment Reporting" issued by the Institute of Chartered Accountants of India is not considered applicable.

9. To comply with the guidance note on "Accounting Treatment of Excise Duty" issued by Institute of Chartered Accountants of India, excise duty amounting to Rs.15,83,356/- (previous year Nil ) has been included in the value of inventories as on 31.03.2015 and the corresponding amount of Excise Duty payable has been included in other liabilities. However, this accounting policy has no impact on the profit for the year.

10. Related Party Disclosures:

In accordance with the Accounting Standards (AS-18) on Related Party Disclosures, where control exists and where key management personnel are able to exercise significant influence and, where transactions have taken place during the year, alongwith description of relationship as identified, are given below:-

11. Earning per share (EPS)-The numerators and denominators used to calculate Basic and Diluted Earning per share :

12. Previous year figures have been regrouped or recasted wherever necessary.

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Mar 31, 2014

1. Balance confirmations have not been received from some of the parties showing debit/credit balances.

2. The Company has accounted for retirement benefit of employees on accrual basis calculated on arithmetical basis based on last drawn salaries which is considered sufficient by the management for compliance of Accounting Standard AS-15.

3. The Company, has during the year not received any information from any vendor regarding their status being registered under Micro, Small and Medium Enterprises Development Act, 2006. Based on the above, disclosures, if any, relating to amounts unpaid as at the period end along with interest paid / payable have not been given.

4. In the opinion of the Board and to the best of their knowledge and belief, the value on realization of loans, advances & other current assets in the ordinary course of business will not be less than the amount at which they are stated in the Balance Sheet.

5. Deferred tax asset has not been recognized in terms of AS 22 issued by ICAI by adopting the conservative approach in respect of ascertained profitability in the future years.

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Mar 31, 2011

1. In the opinion of the Board and to the best of their knowledge and belief, the value on realization of loans, advances & other current assets in the ordinary course of business will not be less than the amount at which they are stated in the Balance Sheet.

2.Previous year figures have been regrouped or recasted wherever necessary.

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Mar 31, 2010

1. Balance confirmations have not been received from some of the parties showing debit/credit balances.

2. The Company has not complied with Accounting Standard AS-15 (revised) regarding retirement benefits of the employees. However the company has accounted for retirement benefit of employees on accrual basis calculated on arithmetical basis based on last drawn salaries.

3. No information has been furnished by any of the Creditors of their being a specific unit under Micro Small & Medium Enterprises Development Act 2006. Hence, the amount due to such units as on 31st March, 2010 is not ascertainable.

4. In the opinion of the Board and to the best of their knowledge and belief, the value on realization of loans, advances & other current assets in the ordinary course of business will not be less than the amount at which they are stated in the Balance Sheet.

5. Deferred tax asset has not been recognized in terms of AS 22 issued by ICAI by adopting the conservative approach in respect of ascertained profitability in the future years.