Notes to Accounts of MPS Pharma Ltd.

Mar 31, 2024

o. PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS

(i) A provision is recognized, if as a result of past event the company has present legal or constructive obligations that is
reasonably estimable and it is probable that an outflow of economic benefits will be required to settle the obligation.
Provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market
assessments of the time value of money and the risk specific to liability.

(ii) A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but
probably will not, require an outflow of resources. When there is a possible obligation or a present obligation in respect of
which 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.

These are reviewed at each balance sheet date and adjusted to reflect the current best estimate.

p. LEASES

The Company, as a lessee, recognizes a right of-use asset and a lease liability for its leasing arrangements, if the contract conveys
the right to control the use of an identified asset.

The contract conveys the right to control the use of an identified asset, if it involves the use of an identified asset and the
Company has substantially all of the economic benefits from use of the asset and has right to direct the use of the identified
asset. The cost of the right-of-use asset shall comprise of the amount of the initial measurement of the lease liability adjusted for
any lease payments made at or before the commencement date plus any initial direct costs incurred. The right-of-use assets is
subsequently measured at cost less any accumulated depreciation, accumulated impairment losses, if any and adjusted for any
remeasurement of the lease liability. The right-of-use assets is depreciated using the straight-line method from the
commencement date over the shorter of lease term or useful life of right-of-use asset.

The Company measures the lease liability at the present value of the lease payments that are not paid at the commencement
date of the lease. The lease payments are discounted using the interest rate implicit in the lease, if that rate can be readily
determined. If that rate cannot be readily determined, the Company uses incremental borrowing rate.

For short-term and low value leases, the Company recognizes the lease payments as an operating expense on a straight-line
basis over the lease term

q. DEPRECIATION

(i) Normal depreciation on all property, plant & equipment except Land are provided from the date of put to use for
commercial production on Straight Line Method at the useful lives prescribed in Schedule-II to The Companies Act,
2013 and after providing for the residual value (maximum to the extent of 5%) of the Fixed Assets as determined by the
management.

(ii) Depreciation/Amortization on addition /deletions to Fixed Assets is provided on pro-rata basis from/to the date of
addition/deletions.

(iii) Depreciation/Amortization on additions/deletions to the fixed assets due to exchange rate fluctuation is provided on
pro-rata basis since inception.

(iv) The estimated useful lives, residual values and depreciation method are reviewed at each financial year end and the
effect of any change is accounted for on prospective basis.

r. PURCHASES

(i) Purchases returns / rebates are adjusted from the purchases of the year in which the returns take place / rebates allowed.

(ii) Purchases are accounted for "Net of VAT Credit/GST availed on eligible inputs".

s. CLAIMS BY/AGAINST THE COMPANY

Claims by/ against the Company arising on any account are provided for in the accounts on receipts/acceptances.

t. BORROWING COST

Borrowing cost are interest and other costs (including exchange differences relating to foreign currency borrowings to the
extent they are regarded as an adjustment to interest costs) incurred in connection with the borrowing of funds. Borrowing
cost directly attributable to the acquisition or construction of qualifying /eligible assets, intended for commercial production
are capitalised as part of the cost of such assets. All other borrowing costs are recognized as an expense in the year in which
they are incurred.

u. STATEMENT OF CASH FLOWS

Statement of Cash Flows is made using the indirect method, whereby profit before tax is adjusted for the effects of
transactions of a non-cash nature, any deferrals or accruals of past or future cash receipts or payments and item of income or
expenses associated with investing or financing cash flows. The cash flows from operating, financing and investing activities of
the Company are segregated.

v. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

The Company''s principal financial liability includes Borrowings, T rade payable and other financial liabilities. The main purpose
of these financial liabilities is to finance the Company''s operations. The Company''s principal financial assets include Trade
receivables, Cash and cash equivalents and other financial assets that derive directly from its operations. The Company is
exposed to credit risk, liquidity risk and Interest rate risk & market risk. The Company''s senior management oversees the
management of these risks and the appropriate financial risk governance framework for the Company. The senior management
provides assurance 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 Board of Directors reviewed policies for managing each of these risks, which are summarized below:

(i) 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 impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses
judgment in making these assumptions and selecting the inputs to the impairment calculation, based on the Company''s past
history, existing market conditions as well as forward looking estimates at the end of each balance sheet date. Financial assets
are written off when there is no reasonable expectation of recovery, however, the Company continues to attempt to recover
the receivables. Where recoveries are made, these are recognized in the Statement of Profit and Loss.

(ii) Liquidity Risk

Liquidity risk refers to the probability of loss arising from a situation where there will not be enough cash and/or cash
equivalents to meet the needs of depositors and borrowers, sale of illiquid assets will yield less than their fair value and illiquid
assets will not be sold at the desired time due to lack of buyers. The primary objective of liquidity management is to provide for
sufficient cash and cash equivalents at all times and any place in the world to enable us to meet our payment obligations.

(iii) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in
market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the
Company''s borrowings obligations with floating interest rates.

w CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS

The preparation of financial statements in conformity with Indian Accounting Standards (Ind AS) requires management to make
judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and
disclosure of contingent liabilities at the end of the reporting period. Although these estimates are based upon management''s
best knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the
outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods.

a. Useful lives of Property, plant and equipment

Property, plant and equipment represent a significant proportion of the asset base of the company. The charge in respect of
periodic depreciation is derived after determining an estimate of an asset''s expected useful life and the expected residual value
at the end of its life. The useful lives and residual values of property, plant and equipment are determined by the management
based on technical assessment by internal team and external advisor. The lives are based on historical experience with similar
assets as well as anticipation of future events, which may impact their life, such as changes in technology. The Company
believes that the useful life best represents the period over which the Company expects to use these assets.

b. Contingent liability

Management judgement is required for estimating the possible outflow of resources, if any, in respect of contingencies/claim/
litigations against the Company as it is not possible to predict the outcome of pending matters with accuracy.

c. Income taxes

The calculation of the Company''s tax charge necessarily involves a degree of estimation and judgement in respect of certain
items whose tax treatment cannot be finally determined until resolution has been reached with the relevant tax authority or,
as appropriate, through a formal legal process. The Company reviews at each balance sheet date the carrying amount of
Income Tax /deferred tax Liabilities.

d. Defined benefit plans (gratuity)

The Company''s obligation on account of gratuity is determined based on 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 and mortality rates. Due to the complexities involved in the valuation and its long-term
nature, these liabilities are highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting
date. The parameter most subject to change is the discount rate. In determining the appropriate discount rate, the
management considers the interest rates of government bonds in currencies consistent with the currencies of the post¬
employment benefit obligation.

x. Accounting Policies not specifically referred to are in accordance with generally accepted accounting principles.

32 Financial instruments
(i) Fair values hierarchy

Financial assets andfinancial liabilities measured atfairvalue in the statement of financial position are classified i nto three Levels of a fair value hierarchy.
The three levels are defined based on the observability of significant inputs to the measurement, as foll ows:

Level 1: Quoted prices (unadjusted) in active markets for financial instruments.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximise the use of
observable market data rely as little as possible on entity specific estimates.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.

Financial risk management

The Company''s activities expose it to market risk, liquidity risk and credit risk. The Company''s board of di rectors has overall responsibilityfortheestablishment
and oversight of the Company''s risk management framework. This note explains the sources of risk which the entity is exposed to and how the entity manages
the risk and the related impact in the financial statements.

A) Credit risk

Credit risk is the risk thata counterpartyfails to discharge an obligation to the company.The companyis exposed to this risk forvarious financial instruments, for
example by granting loans and receivables to customers, placing deposits, etc. The company''s maximum exposure to credit risk is limited to the carrying amount
of followi ng types of financial assets.

- cash and cash equivalents,

- trade receivables,

- loans & receivables carried at amortised cost, and

- deposits with banks

Credit risk management

Credit risk rating

TheCompanyassesses and manages credit risk based on intemal credit rating system, continuouslymonitoring defaults of customers and othercounterparties,
identified eitherindividuallyorbythe company, and incorporates this information into its credit risk controls. Internal credit rating is performed foreach class of
financial instruments with different characteri stics. The Company assigns the following credit ratings to each class of financial assets based on the assumptions,
inputs and factors specific to the class of financial assets.

B) Liquidity risk

Prudent liquidity risk management implies maintaining s ufficient cash and ma rketable securities and theavailabilityof funding through an adequate amountof
committed credit facilities to meet obligations when due. Due to the nature of the business, the Company maintains flexibility in funding by maintaining
availability under committed facilities.

Management monitors rolling forecasts of the Company''s liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company
takes into account the liquidity of the marketin which the entityoperates. In addition, the Compa ny''s liquidity management policy involves projecting cash flows
i n major currencies and consideringthe level of liquid assets necessaryto meet these, monitoring balance sheet liquidityratios against i nternal and external
regulatory requirements and maintaining debt financing plans.

Maturities of financial liabilities

The amounts disclosed in the table are the contractual undiscounted cash flows. Balances due within 12 months equal their carrying balances as the impact of
discounting is not significant.

C) Market risk

a) Interest rate risk

The Company is not exposed to changes in market interest rates.

b) Price risk
Exposure

The Company''s exposure to price risk arises is nil
Capital management

The Company'' s capital management objectives a re

- to ensure the Company''s ability to continue as a going concern

- to provide an adequate return to shareholders

Management assesses the Company''s capital requirements in order to maintain an efficient overall financing structure. This takes into account the
subordination levels of the Company''s various classes of debt.The Companymanages the capital structure and makes adjustments to itin the lightof changes in
economic conditions and the risk characteristics of the underlying assets.

35. INVESTMENTS

Company has sent various notices to the Companies in which the company has made an investment, as neither
they are sending duplicate shares certificates nor replying to the letters of the company. The company has
misplaced/lost the share certificates of the investments made by it during the shifting of records. As such these
shares certificates are not physically held by the company as on 31st March, 2024. Accordingly, company has not
calculated the fair value of the investments.

36. The company is in the process of getting its name changed in the records of BSE Ltd & ASE, where the shares of
the company are listed and the necessary formalities in this regard will be completed soon.

37. The company has applied for renewal of its Drug Manufacturing Licences before the term of its expiry with the
Food & Drugs Administration (FDA), Panchkula, for manufacturing pharmaceutical and allied products and the
same is under consideration at the end of the FDA. The management of the company firmly believes that the
company would be able to restart its business operations as the company is getting quotes from the prospective
buyers & the management is of the opinion that the new deals would be finalized soon. Further, the management
of the company is also exploring the market and business opportunities and is putting necessary efforts in this
respect so that the operations of the company can be started again.

38. Annual Listing Fees of BSE is unpaid for the F.Y. 2021-22, 2022-23 & 2023-24. The management of the company is
trying to arrange the necessary funds and believes that all the outstanding dues of BSE shall be cleared soon.

39. Necessary disclosures under Micro, Small and Medium Enterprises Development Act 2006, could not be
considered for previous years as the relevant information to identify the suppliers who were covered under the
said Act were not received from such parties during the previous years.

45. Borrowings from Banks/FI on the basis of security of Current Assets: Company had no working capital limit with

bank hence no requirement of submission of quarterly statement to bank was applicable.

46. The company has not been declared as willful defaulter by any bank of financial institution or any other lender.

47. Transactions with Struck-off Companies: The Company has not entered into any transactions with struck off

companies under section 248 of the Companies Act 2013 or Section 560 of Companies Act 1956.

48. Registration of Charges or Satisfaction: During the year, company does not have any outstanding Charges.

49. Compliance with layers of the companies:-

The company has no layers of companies prescribed under Clause (87) of the Act read with Companies (Restriction
on number of Layers) Rules 2017.

50. Scheme of Arrangement : During the year, the company has not entered into any scheme or arrangement in
terms of Section 230 to 237 of the Companies Act 2013.

51. During the year no income was surrendered or disclosed as income in the tax Assessments.

52. Use of Borrowed Funds: During the year Company has not borrowed any funds from banks and Financial
Institutions.

53. The company has not dealt in Crypto Currency during the year.

54. The Company has not advanced or loaned or invested funds to any other person or entities with an
understanding that the intermediary will invest or provide any guarantee, security or the like to or on behalf of
ultimate beneficiaries.

55. The Company has not received any fund from any person (s) or entity(s), including foreign entities (Funding party)
with the understanding that the company shall directly or indirectly invest or provide any guarantee, security or
the like to or on behalf of funding party.

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

57. In terms of Section 135(1) of the Companies Act, 2013, the provisions of Corporate Social Responsibility are not
applicable to the Company.

58. In the opinion of the Board, all current assets have a value on realization in the ordinary course of business which
is equal to the amount at which they are stated in financial statements.

59. Additional information, to the extent applicable, required under paragraphs 5 (viii) (c) of general instructions for
preparation of the Statement of profit & Loss as per schedule III to the Companies Act, 2013

60. The Company is engaged primarily in pharmaceuticals business and there are no separate reportable segments as
per IND AS-108.

61. Previous year figures have been regrouped, rearranged wherever necessary to correspond with the current year''s
classification/disclosure.

For Nemani Garg Agarwal & Co. For and on behalf of the Board of Directors of MPS Pharmaa Limited

Chartered Accountants (Formerly Advik Laboratories Limited)

Firm Regn. No. : 010192N

Sd/- Sd/- Sd/- Sd/- Sd/-

(J.M.Khandelwal) (Peeyush Kumar Aggarwal) (Ram Niwas Sharma) (Manoj Bhatia) (Pooja Chuni)

Partner Chairman Director CFO Company Secretary

Membership No. 074267 DIN: 00090423 DIN:08427985

UDIN:24074267BKHG UW6380

Place: New Delhi
Date: 30^th May, 2024

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Mar 31, 2015

1. Background

The Company is Public limited company, incorporated under the Indian Companies Act, 1913, having its registered office in Sohna, Haryana and is listing on BSE Ltd & ASE Ltd. The Company is engaged in manufacturing, marketing, trading and export of Pharmaceutical Products. The Company has its own manufacturing facility at Sohna. The Company has various independent contract/third party manufacturers based across the country.

(a) Term loan from Indian Overseas Bank of Rs. 81,01,098/- which carries interest base rate 3.75% and is repayable in 60 installments of Rs. 2,06,000/- from October, 2012. The loan is secured by all immovable & movable fixed assets of the company.

(b) Term loan from Indian Overseas Bank of Rs. 1,80,97,433/- which carries interest base rate 3.75% and is repayable in 84 installments of Rs. 3,28,000/- from October, 2012. The loan is secured by all immovable & movable fixed assets of the company.

(c) Term loan includes Working Capital Term Loan of Rs. 1,13,40,000/- from Indian Overseas Bank which carries interest base rate 3.75% and is repayable in 60 monthly installments of Rs. 2,83,000/- from October, 2012. The loan is secured by 1st charge on the current and fixed assets of the company.

(d) Vehicle Finance loan carries interest @ 10% p.a. financed by HDFC Bank repayable in 36 equal monthly installments stated from January, 2013 to December, 2015. The loan is secured by hypothecation of vehicle.

NOTE NO. 2 CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF:

As on 31st As on 31st March, 2015 March, 2014 (Rs.) (Rs.)

Performance Guarantees given - - by company bankers on behalf of company

Company has received notice under section 143(2) of the Income Tax Act, 1960 for the Financial Year 2012-13 & the case is under processing.

NOTE NO. 3

During the year, pursuant to the notification of Schedule II to the Companies Act, 2013 with effect from April 1, 2014, the Company revised the estimated useful life of relevant assets to align the useful life with those specified in schedule II. Pursuant to the transitional provisions prescribed in Schedule II to the Companies Act, 2013, the Company has fully depreciated the carrying value of the assets, net of residual value, where the remaining useful life of the asset was determined to be nil as on April 1, 2014, and adjusted an amount of Rs. 61.19 lacs against the opening balance in the Statement of Profit & Loss under Reserve and Surplus.

NOTE NO. 4 Employee Benefits: The Disclosure required as per the revised AS-15

Brief description of the Plans: The Company has various schemes for long term benefits such as Provident Fund, Gratuity, and Leave Encashment. The Company's defined contribution plans are Provident Funds, Employee's State Insurance Fund & Employee's Pension Scheme (under the provision of Provident Funds & Miscellaneous Provisions Act, 1952). The Company has no further obligation beyond making the contributions. The Company's defined benefit plans include Gratuity & Leave Encashment Plan. In accordance with the applicable Indian Laws, the company provides for gratuity for all employees. The Gratuity Plan provides a lump sum payment to vested employees, at retirement or termination of employment, an amount based on respective employee's last drawn salary & for the years of employment with the Company. The amounts charges to Profit & Loss Account based on estimated basis are as under:-

Particulars Gratuity A/c Leave Encashment A/c (Rs. In lacs)

Obligation as on 31.03.2015 2.58 0.55

5. The provision for Interest provided on long term & short term borrowings in the note "Other Current Liabilities" amounting to Rs. 43.46 lacs for the period from Oct, 2014 to March, 2015 has been charged at the rate of 10.50% as bank has not booked the interest amount in the account of company due to non-payment of the same.

6. Company has not received intimation from supplier regarding the status under Micro, Small & Medium Enterprises Development Act, 2006 and hence disclosure, if any, relating to amount unpaid as at the year- end together with the interest paid/payable as required under the Act have not been given.

7. The company has received Rs. 5.63 lacs against the sale of Focus Market Scheme licence as export incentive, which is included under Revenue from operation Head in Profit & Loss A/c.

8. In the opinion of the Board, the Current Assets, Loan & Advances shown in the Balance Sheet have a value on realisation in the ordinary course of business at least equal to the amount at which they are stated.

9. INVESTMENTS

Company has sent notices to the various companies in which company has invested, as neither they are sending duplicate shares nor are replying the letters of the company, as company has misplaced/lost the share certificates during the shifting of records. As such these shares certificates are not physically held by the company as on 31st March, 2015.

10. Related Party Disclosures

"Related party disclosures as required under Accounting Standard (AS)-18 "Related Party Disclosures".

(a). Related parties and nature of related party relationships where control exists

Name of the party Relationship

Mr. Sachin Garg Managing Director

Mr. Peeyush Kumar Aggarwal Director

Mr. Kamal Kishore Sharma Director

Mr. Brahm Dutt Sharma Director

Mr. Manoj Kumar Jain Director

Mrs. Madhu Sharma Director

Ms. Vaishali Anand Company Secretary

Mr. Manoj Bhatia CFO

(b). Related party and nature of related party relationship with whom transactions have taken place:

Name of the party Relationship

Mr. Manoj Bhatia Key Managerial Personnel

Ms. Vaishali Anand Key Managerial Personel

11. The Company has also dealt with trading activities from its Delhi office which includes in the turnover account.

12. The balances of unsecured loans, loans & advances and sundry creditors are subject to the confirmation and consequential reconciliation/adjustments arising there from, if any. The management, however, does not except any material variation.

13. Previous year figures have been regrouped, rearranged wherever necessary to correspond with the current year's classification/disclosure.

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Mar 31, 2014

NOTE NO. 1 CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF:

As on 31st March, As on 31st March, 2014 2013 (Rs.) (Rs.)

Performance Guarantees given by company bankers on behalf of ____ 4,34,000 company



NOTE NO. 2 Employee Benefits: The Disclosure required as per the revised AS-15

Brief description of the Plans: The Company has various schemes for long term benefits such as Provident Fund, Gratuity, and Leave Encashment. The Company''s defined contribution plans are Provident Funds, Employee''s State Insurance Fund & Employee''s Pension Scheme (under the provision of Provident Funds & Miscellaneous Provisions Act, 1952). The Company has no further obligation beyond making the contributions. The Company''s defined benefit plans include Gratuity & Leave Encashment Plan. In accordance with the applicable Indian Laws, the company provides for gratuity for all employees. The Gratuity Plan provides a lump sum payment to vested employees, at retirement or termination of employment, an amount based on respective employee''s last drawn salary & for the years of employment with the Company. The amounts charge to Profit & Loss Account based on Gratuity Plan as required under Accounting Standard ("AS") 15 (Revised) are as under:-

3. Company has not received intimation from supplier regarding the status under Micro, Small & Medium Enterprises Development Act, 2006 and hence disclosure, if any, relating to amount unpaid as at the year end together with the interest paid/payable as required under the Act have not been given.

4. On November 21, 2013 company has received In-principle approval from BSE(Bombay Stock Exchange) for the issuance of 56,75,350 Equity Shares and 40,82,650 Warrants convertible into Equity Shares of Rs. 10/- each issued at par to Promoters & Non-Promoters on a preferential basis in terms of Clause 24(a) of the Listing Agreement. Accordingly, on 21.11.13, company has issued the above stated Equity Shares & Warrants to Promoter & Non Promoters Category as under:-.

5. Related Party Disclosures

Information relating to Related Party Transactions as per "Accounting Standard 18" notified by the Companies (Accounting Standards) Rules, 2006 Related Party and relationship with whom transactions have taken place during the year

i. Key Management Personnel :Mr. V.K.Jain, Managing Director

Enterprises owned or significantly influenced by KMP and/or their relatives

i. Advik Finance & Properties Pvt. Ltd.

6. In the opinion of the Board, the Current Assets, Loan & Advances shown in the Balance Sheet have a value on realisation in the ordinary course of business at least equal to the amount at which they are stated.

7. INVESTMENTS

Company has sent notices to the various companies in which company has invested, as neither they are sending duplicate shares nor are replying the letters of the company, as company has misplaced/lost the share certificates during the shifting of records. As such these shares certificates are not physically held by the company as on 31st March, 2014.

8. The Company has made some trading activities from its Delhi office which includes in the Sales amount.

9. The balances of unsecured loans, loans & advances and sundry creditors are subject to the confirmation and consequential reconciliation/adjustments arising there from, if any. The management, however, does not except any material variation.

10. Previous year figures have been regrouped, rearranged wherever necessary to correspond with the current year''s classification/disclosure.

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Mar 31, 2013

NOTE NO. 1 CONTINGENT LIABILITIES NOT PROVIDED FOR IN RESPECT OF:

As on 31st March, 2013 As on 31st March, 2012 (Rs.) (Rs.)

Performance Guarantees given by company bankers on behalf of 4,34,000 13,99,100 company

NOTE NO. 2 Employee Benefits: The Disclosure required as per the revised AS-15

Brief description of the Plans: The Company has various schemes for long term benefits such as Provident Fund, Gratuity, and Leave Encashment. The Company''s defined contribution plans are Provident Funds, Employee''s State Insurance Fund & Employee''s Pension Scheme (under the provision of Provident Funds & Miscellaneous Provisions Act, 1952). The Company has no further obligation beyond making the contributions. The Company''s defined benefit plans include Gratuity & Leave Encashment Plan. In accordance with the applicable Indian Laws, the company provides for gratuity for all employees. The Gratuity Plan provides a lump sum payment to vested employees, at retirement or termination of employment, an amount based on respective employee''s last drawn salary & for the years of employment with the Company. The amounts charge to Profit & Loss Account based on Gratuity Plan as required under Accounting Standard ("AS") 15 (Revised) are as under:-

NOTE NO. 3 The disclosure as per Accounting Standard (AS-17) "Segment Reporting" Issued by the Institute of Chartered Accountants of India:

(a) Business Segment:

The Company is engaged primarily in pharmaceuticals business and there are no separate reportable segments as per AS-17.

4. Rs. 1,65,000/- shown is Margin Money A/c with Bank is relates to the issuance of bank guarantee''s to Govt. Departments.

5. Company has not received intimation from supplier regarding the status under Micro, Small & Medium Enterprises Development Act, 2006 and hence disclosure, if any, relating to amount unpaid as at the year end together with the interest paid/payable as required under the Act have not been given.

6. On June 20, 2012 M/s Omkam pharmaceuticals Pvt Ltd has entered into a Share Purchase Agreement (SPA) with the erstwhile promoters of Advik Laboratories Limited for acquisition of 24,84,837 Equity Shares of face value of Rs. 10/- each representing 26.57% of the paid up equity share capital of the Target Company along with complete control and management of the Target Company. The Open Offer in respect of the same was completed in October, 2012 & the entire shareholding of erstwhile promoters i.e. 2484837 equity shares of Rs. 10/- each constituting 26.57%, except 2400 equity shares has been transferred to M/s Omkam Pharmaceuticals P Ltd. in the month of April, 2013 & M/s Omkam Pharmaceuticals Pvt. Ltd. has taken over the control of management by virtue of the aforesaid Share Purchase Agreement.

7. In the opinion of the Board, the Current Assets, Loan & Advances shown in the Balance Sheet have a value on realisation in the ordinary course of business at least equal to the amount at which they are stated.

8. INVESTMENTS

Company has sent legal notice to the various companies in which company has invested, as neither they are sending duplicate shares nor are replying the letters of the company, as company has misplaced/lost the share certificates during the shifting of records. As such these shares certificates are not physically held by the company as on 31st March, 2013.

9. (a) The Company has not provided quantities information under Clause 2(5) in view of the exemption granted by Central Government vide their notification no. 301 dated 08.02.2011.

10. The Company has made some trading activities from its Delhi office which includes in the Sales amount.

11. The balances of unsecured loans, loans & advances and sundry creditors are subject to the confirmation and consequential reconciliation/adjustments arising there from, if any. The management, however, does not except any material variation.

12. Previous year figures have been regrouped, rearranged wherever necessary to correspond with the current year''s classification/disclosure.

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Mar 31, 2012

1. Contingent Liabilities

As at 31.03.12 As at 31.03.11

Performance Guarantees issued to 13,99,100 16,95,800

Government Authorities as on date

2. Employee Benefits: The Disclosure required as per the revised AS-15 are as under:

Brief description of the Plans: The Company has various schemes for long term benefits such as Provident Fund, Gratuity, and Leave Encashment. The Company's defined contribution plans are Provident Funds, Employee's State Insurance Fund & Employee's Pension Scheme (under the provision of Provident Funds & Miscellaneous Provisions Act, 1952). The Company has no further obligation beyond making the contributions. The Company's defined benefit plans include Gratuity & Leave Encashment Plan. In accordance with the applicable Indian Laws, the company provides for gratuity for all employees. The Gratuity Plan provides a lump sum payment to vested employees, at retirement or termination of employment, an amount based on respective employee's last drawn salary & for the years of employment with the Company. The amounts charge to Profit & Loss Account based on Gratuity Plan as required under Accounting Standard ("AS") 15 (Revised) are as under:- Particulars Gratuity A/c (Rs. In lacs) Leave Encashment A/c Obligation as on 31.03.2012 0.62 0.30

3. Rs. 2,15,000/- showing in Margin Money with Bank is relates to the issuance of bank guarantee's to Govt. Departments.

4. Balances in respect of loan & advances, debtors & creditors are subject to confirmation and consequential effect of which is not ascertainable at this stage, but in the opinion of the management are fully realizable to the extent stated.

5. The company has Cash Credit Limit of Rs. 500.00 lacs & Term Loan Limit of Rs. 875.00 lacs from Indian Overseas Bank. Against this sanctioned limit outstanding balance as on 31st March, 2012 is Rs. 404.79 lacs against Cash Credit & Rs. 541.69 lacs against Term Loan limits. The company is also having non fund based limit for Letter of Guarantee/Letter of Credit of Rs. 500.00 lacs. Non fund based limits utilized as on 31st March, 12 are Rs. 20.35 lacs.

6. The present promoters of the company have entered into an Share Purchase agreement with M/s Omkam Pharmaceuticals Pvt. Ltd. having its Registered office at 702, Arunachal Building, 19, Barakhamba Road, New Delhi – 110062 in the month of June, 2012. And accordingly the entire shareholding of the existing promoters i.e 2484837 Equity Shares of Rs.10 each constituting 26.57% is proposed to be sold. As per the relevant Laws for the time being in force, the proposed acquirer has brought an open offer in the market as on date the said open offer is in process.

7. Regarding the disclosure as per the provisions of the Micro, Small and Medium Enterprises Development Act, 2006, the Company has no information regarding the status of the service providers/suppliers as per the provisions of the said Act. In view of this the above disclosure relating to the amount unpaid as at the end of the year together with interest paid/payable has not been given.

8. Related Party Disclosures

(i) Information relating to Related Party Transactions as per "Accounting Standard 18" notified by the Companies (Accounting Standards) Rules, 2006

Name of Related Party Relationship

Mr. V.K.Jain, Director Key Management Personnel

Advik Finance & Properties Pvt. Ltd. Common Director

(ii) Detail of transactions between company and Related Parties and the status of Outstanding balances at the year end:-

d) Summary of Transactions 2011-12 2010-11

Remuneration paid to V.K.Jain 625220 627405

Interest Free loan from Advik Finance & 5708226 5714796

Properties Pvt. Ltd.

9. INVESTMENTS

Company has sent legal notice to the various companies in which company has invested, due to the reason that neither they are sending duplicate shares nor are they replying the letters of the company, as company has misplaced/lost the share certificates during the shifting of records. As such these shares certificates are not physically held by the company as on 31st March, 2012.

10. The company is dealing only in one type of product as such as per Accounting Standard-17 there is no segment reporting required.

11. The company has made some trading activities from its Delhi office, which includes in the Sales amount.

12. The Revised Schedule VI has become effective from 01st April, 2011 for the preparation of financial statements. This has significantly impacted the disclosure and presentation made in the financial statements. Previous year's figures have been regrouped/reclassified wherever necessary to correspond with the current year's classification/disclosure.

1. For the convenience of members, persons other than members/proxies will not be admitted.

2. Please bring your copy of Annual report at the Meeting.

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Mar 31, 2010

Current year Previous year

1. Contingent Liabilities not provide for

Performance Guarantees issued to 37,06,740 50,92,740

Government Authorities.

2. Provision for Income tax has been made on the basis of Section 115JB of the Income Act, 1961.(Minimum Alternate Tax).

3. Employee Benefits: The Disclosure required as per the revised AS-15 are as under:

Brief description of the Plans: The Company has various schemes for long term benefits such as Provident Fund, Gratuity, Leave Encashment & Pension Scheme. In case of funded schemes, the funds are recognized by the Income Tax Authorities. The Companys defined contribution plans are Provident Funds, Employees State Insurance Fund & Employees Pension Scheme (under the provision of Provident Funds & Miscellaneous Provisions Act, 1952). The Company has no further obligation beyond making the contributions. The Companys defined benefit plans include Gratuity & Leave Encashment Plan. In accordance with the applicable Indian Laws, the company provides for gratuity for all employees. The Gratuity Plan provides a lump sum payment to vested employees, at retirement or termination of employment, an amount based on respective employees last drawn salary & for the years of employment with the Company. The amounts charge to Profit & Loss Account based on Gratuity Plan as required under Accounting Standard ("AS") 15 (Revised) are as under:-

4. Balances in respect of loan & advances, debtors & creditors are subject to confirmation and consequential effect of which is not ascertainable at this stage, but in the opinion of the management are fully realizable to the extent stated.

5. The company has received Capital Subsidy of Rs. 15.00 lacs from the State Government of Haryana for setting up plant in the rural area of Roj Ka Meo Industrial Area, Sohna & the same has been credited to Profit & Loss Account.

6. The company has Cash Credit Limit of Rs. 400.00 lacs & Term Loan Limit of Rs. 525.00 lacs from Indian Overseas Bank. Against this sanctioned limit outstanding balance as on 31st March, 2010 is Rs. 264.49 lacs against Cash Credit & Rs. 193.04 lacs against Term Loan limits. The company is also having non fund based limit for Letter of Guarantee/Letter of Credit of Rs. 350.00 lacs. Non fund based limits utilized as on 31st March, 10 are Rs. 41.75 lacs.

7. Regarding the disclosure as per the provisions of the Micro, Small and Medium Enterprises Development Act, 2006, the Company has no information regarding the status of the service providers/suppliers as per the provisions of the said Act. In view of this the above disclosure relating to the amount unpaid as at the end of the year together with interest paid/payable has not been given.

8. Related Party Disclosures

Related party disclosures as required under Accounting Standard on " Related Party Disclosure" issued by the Institute of Chartered Accountants of India are given below:-

a) Key Management Personnel i) Mr. V.K.Jain, Director

b) Entities over which key management ii) Advik Finance & Properties

personnel are able to exercise signi- Pvt. Ltd.

ficant influence

c) Related Parties iii) Mr. V.K.Jain, M.D. of Company

9. INVESTMENTS

Company is going to sent legal notice to the various companies in which company has invested, due to the reason that neither they are sending duplicate shares nor they are replying the letters of the company, as company has misplaced/lost the share certificates during the shifting of records. As such these shares certificates are not physically held by the company as on 31st March, 2010.

10. DEFERRED TAX ASSETS/(LIABILITY)

11. The company is dealing only in one type of product as such as per Accounting Standard-17 there is no segment reporting required.

12. The company has made some trading activities from its Delhi office, which includes in the Sales amount.

13. Schedule 1 to 17 form an integral part of Balance Sheet and Profit and Loss Account.

14. Previous year figure have been regrouped, re-arranged or readjusted wherever deemed necessary to make them comparable with current year figures.

15. Disclosure pursuant to Clause 32 of the Listing Agreement :

i) Loan & Advances in the nature of Loans to Subsidiaries/Associates: Nil

ii) Investment by the loanee in the share of the Parent Company & Subsidiary Co.: Nil

16. Additional Information Pursuant to Provision of Paragraph 3, 4C & 4D of Schedule VI of the Companies Act, 1956.

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Mar 31, 2009

Current year Previous year

1. Contingent Liabilities not provide for Performance Guarantees/Bank Guarantees 50,92,740 32,00,000

2. Loan & Advances are subject to confirmation, some advances are old more than one year, but in the opinion of the management, are fully realizable to the extent stated.

3. The Balance confirmation from Debtors & Creditors have not received. Some sundry Debtors are old more than one year, but in the opinion of the management, are fully realizable to the extent stated.

4. The company has Cash Credit Limit of Rs. 200.00 lacs from Indian Overseas Bank. Against this sanctioned limit outstanding balance as on 31st March, 2009 is Rs. 194.71 lacs. The company is also having non fund based limit for Letter of Guarantee/Letter of Credit of Rs. 400.00 lacs. Non fund based limits utilized as on 31st March, 09 are Rs. 50.93 lacs.

5. Regarding the disclosure as per the provisions of the Micro, Small and Medium Enterprises Development Act, 2006, the Company has no information regarding the status of the service providers/suppliers as per the provisions of the said Act. In view of this the above disclosure relating to the amount unpaid as at the end of the year together with interest paid/payable has not been given.

6. Related Party Disclosures

Related party disclosures as required under Accounting Standard on " Related Party Disclosure" issued by the Institute of Chartered Accountants of India are given below:- a) Key Management Personnel i) Mr. V.K.Jain, Director

b) Entities over which key management ii) Advik Finance & Properties personnel are able to exercise signi- Pvt. Ltd. ficant influence

c) Related Parties

iii) Mr. V.K.Jain, M.D. of Company

7. INVESTMENTS

The company has written letters to various companies in which company has invested for the issuance of duplicate shares certificates, as company has misplaced/lost the share certificates during the shifting of records & still is in the process of getting the same. As such these shares certificates are not physically held by the company as on 31st March, 2009.

8. The company is dealing only in one type of product as such as per Accounting Standard-17 there is no segment reporting required.

9. The company has made some trading activities from its Delhi office, which includes in the Sales amount.

10. Schedule 1 to 17 form an integral part of Balance Sheet and Profit and Loss Account.

11. Previous year figure have been regrouped, re-arranged or readjusted wherever deemed necessary to make them comparable with current year figures.

12. The Company carries out a periodic review of all assets with a view to identify any impairment. Impairment of assets if any, identified on the basis of such review is accounted for in the books as required by the Accounting Standard on Impairment of Assets (AS-28) issued by the Institute of Chartered Accountants of India. No impairment of assets has been identified during the review carried out in the current year.

13. Disclosure pursuant to Clause 32 of the Listing Agreement :

i) Loan & Advances in the nature of Loans to Subsidiaries/Associates: Nil

ii) Investment by the loanee in the share of the Parent Company & Subsidiary Co.: Nil