Mar 31, 2015
1.1 Basis of preparation of financial statements
The financial statements are prepared with generally accepted
accounting principles in India under the historical cost convention and
on an accrual basis of accounting. These financial statements have been
prepared to comply with all material aspects of the mandatory and
applicable Accounting Standards as prescribed by the Companies
(Accounting Standards) Rules, 2006 as amended, relevant provisions of
the Companies Act, 2013 (to the extent notified), and NBFC Directions.
All assets and liabilities have been classified as current or
non-current as per the Company's normal operating cycle and other
criteria set out in the Revised Schedule III to the Companies Act, 2013
read with NBFC Directions as aforesaid. Based on the nature of products
and the time between the acquisition of assets for processing and their
realization in cash and cash equivalents, the Company has ascertained
its operating cycle as twelve months for the purpose of current- non
current classification of assets and liabilities.
1.2 Use of Estimates
The presentation of Financial Statements requires estimates and
assumptions to be made that affects the reported amount of assets and
liabilities on the date of financial statements and the reported amount
of revenue and expenses during the reporting year. Difference between
the actual results and estimates are recognized in the period in which
results are known/ materialized.
1.3 Cash Flow Statement
Cash flows are reported using the indirect method, whereby profit /
(loss) before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipt or payment. The cash flows from operating,
investing and financing activities of the Company are segregated based
on the available information.
1.4 Revenue Recognition
a) Revenue is recognized when it is earned and no significant
uncertainty exists as to its realization or collection.
b) Interest income from financing activities is recognized on an
accrual basis except in the case of non-performing assets, when it is
recognized on realization, as per the prudential norms of RBI.
c) Dividend income is accounted for when the right to receive the
payment is established.
d) Revenue from sale of shares and securities is recognized on the date
of sale of such shares and securities.
1.5 Tangible Assets
Fixed assets are stated at cost (or revalued amounts, as the case may
be), less accumulated depreciation and impairment losses, if any. Cost
comprises the purchases price and any directly attributable cost of
bringing the asset to its working condition for its intended use.
Borrowing costs relating to acquisition of fixed assets which take
substantial period of time to get ready for its intended use are also
included to the extent they relate to the period till such assets are
ready to be put to use.
1.6 Intangible Assets
Intangible Assets are recognized only if it is probable that the future
economic benefits that are attributable to assets will flow to the
enterprise and the cost of the assets can be measured reliably.
The intangible assets are recorded at cost and are carried at cost less
accumulated depreciation and accumulated impairment losses, if any.
1.7 Depreciation and Amortization
Depreciation is charged on written down value method at the rates
specified in accordance with the schedule II of the Companies Act,
2013.
Depreciation is charged from the date on which new asset is put to use.
No depreciation is charged from the date on which the asset is sold.
Intangible Assets are amortized over their estimated useful life.
1.8 Impairment of Assets
A substantial portion of the company's assets comprise of 'financial
assets' to which Accounting Standard 28 'Impairment of Assets' is not
applicable. In the opinion of the management, there is no impairment of
its assets (to which the standard applies), requiring recognition in
terms of the said standard.
1.9 Borrowing Cost
Borrowing Cost includes interest and ancillary cost. Ancillary costs
incurred for arrangement of borrowings such as processing fees,
brokerage and debenture issue expense are amortized over the tenure of
the borrowing.
1.10 Provisions, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement
are recognized when there is a present obligation as a result of past
events and it is probable that there will be an outflow of resources.
The Company maintains contingent provision on Standard Assets pursuant
systemically important Non Banking Financial (Non Deposit Accepting or
Holding) Companies Prudential Norms (Reserve Bank) Directions 2015.
Contingent liabilities are not recognized but are disclosed in the
notes. Contingent assets are neither recognized nor disclosed in the
financial statements.
1.11 Investments
Investments are classified into current and non - current investments.
Investments which are intended to be held for one year or more are
classified as non - current investments and investments which are
intended to be held for less than one year are classified as current
investments. Non - current investments are accounted at cost and any
decline in the carrying value other than temporary in nature is
provided for. Current investments are valued at lower of cost or market
value/ fair value.
1.12 Taxes on Income
a) Current tax is determined as the amount of tax payable in respect of
taxable income for the year.
b) Provision for taxation for the year is ascertained on the basis of
assessable profits computed in accordance with the provisions of the
Income Tax Act, 1961.
c) Deferred Tax is recognized, subject to consideration of prudence, on
timing differences, being difference between taxable incomes and
accounting income/expenditure that originate in one period and are
capable of reversal in one or more subsequent year(s). Deferred taxes
are reviewed for their carrying values at each balance sheet date.
1.13 Earnings per Share
Basic earnings per share are calculated by dividing the net profit for
the year attributable to equity shareholders by the weighted average
number of equity shares outstanding during the year. The weighted
average number of equity shares outstanding during the period is
adjusted for events of bonus issue and share split.
For the purpose of calculating diluted earning per share, the net
profit or loss for the period attributable to equity shareholders and
the weighted average number of shares outstanding during the year are
adjusted for the affects of all dilutive potential equity shares. The
dilutive potential equity shares are deemed converted as of the
beginning of the period, unless they have been issued at a later date.
Mar 31, 2014
1.1 Basis of preparation of financial statements
The financial statements are prepared under the historical cost
convention, on an accrual basis and in accordance with the generally
accepted accounting principles in India, the applicable mandatory
Accounting Standards as notified by the Companies (Accounting Standard)
Rules, 2006, relevant provisions of the Companies Act, 1956 ("the Act")
read with the General Circular 15/2013 dated 13 September 2013 of the
Ministry of Corporate Affairs in respect of Section 133 of the
Companies Act, 2013 and applicable regulations prescribed by Reserve
Bank of India.
1.2 Use of estimates
The presentation of financial statements in conformity with Indian GAAP
requires management to make estimates and assumptions that affects the
reported balances of assets and liabilities (including contingent
liabilities) as at the date of financial statements and the reported
amount of revenue and expenses during the reporting year. The
Management believes that the estimates used in preparation of the
financial statements are prudent and reasonable. Future results could
differ due to these estimates and differences between the actual
results and the estimates are recognized in the periods in which the
results are known/materialize.
1.3 Cash flow statement
Cash flows are reported using the indirect method, whereby
profit/(loss) before extraordinary items and tax is adjusted for the
effects of transactions of non-cash nature and any deferrals or
accruals of past or future cash receipts or payments. The cash flows
from operating, investing and financing activities of the Company are
segregated based on the available information.
1.4 Revenue Recognition
a) Revenue is recognized when it is earned and no significant
uncertainty exists as to its realization or collection.
b) Interest income from financing activities is recognized on an
accrual basis except in the case of non-performing assets, when it is
recognized on realization, as per the prudential norms of RBI.
c) Dividend income is accounted for when the right to receive the
payment is established.
d) Revenue from Sale of Shares and Securities is recognized on the date
of sale of such Shares and Securities.
1.5 Tangible assets
Fixed assets are stated at cost (or revalued amounts, as the case may
be), less accumulated depreciation and impairment losses, if any. Cost
comprises the purchases price and any directly attributable cost of
bringing the asset to its working condition for its intended use.
Borrowing costs relating to acquisition of fixed assets which take
substantial period of time to get ready for its intended use are also
included to the extent they relate to the period till such assets are
ready to be put to use.
1.6 Intangible assets
Computer Software which is not an integral part of the related hardware
is classified as an intangible assets and is being amortized.
1.7 Depreciation
Depreciation is charged on written down value method at the rates
specified in accordance with the provisions of Schedule XIV of the
Companies Act, 1956.
Depreciation is charged from the date on which new asset is put to use.
No depreciation is charged from the date on which the asset is sold.
1.8 Borrowing cost
Borrowing Cost includes interest and amortization of ancillary costs
incurred in connection with the arrangement of borrowings to the extent
they are regarded as an adjustment to the interest cost.
1.9 Impairment of Assets
At each Balance Sheet date, the Company assesses whether there is any
indication that an asset may be impaired. If any such indication
exists, the Company estimates the recoverable amount. If the carrying
amount of the asset exceeds its recoverable amount, an impairment loss
is recognized in the statement of Profit and Loss to the extent the
carrying amount exceeds the recoverable amount. If at the Balance Sheet
date there is an indication that if a previously assessed impairment
loss no longer exists, the recoverable amount is reassessed and the
asset is reflected at the recoverable amount.
1.10 Investments
Investments are classified into current and non - current investments.
Investments which are intended to be held for one year or more are
classified as non - current investments and investments which are
intended to be held for less than one year are classified as current
investments. Non - current investments are accounted at cost and any
decline in the carrying value other than temporary in nature is
provided for. Current investments are valued at lower of cost or market
value/ fair value.
1.11 Employee benefits
a) Gratuity liability is a defined obligation and is wholly unfunded.
The Company accounts for the net present value of its obligations for
gratuity benefits, based on an independent external actuarial
valuation, determined on the basis of the projected unit credit method,
carried out as at the Balance Sheet date. Actuarial gains and losses
are recognised immediately in the Statement of Profit and Loss.
b) The employees of the Company are entitled to leave encashment as per
the policy of the Company, the liability in respect of which is
provided, based on an actuarial valuation as at the balance sheet date.
1.12 Taxes on Income
a) Current tax is determined as the amount of tax payable in respect of
taxable income for the year.
b) Deferred Tax is recognized, subject to consideration of prudence, on
timing differences, being difference between taxable income and
accounting income/expenditure that originate in one period and are
capable of reversal in one or more subsequent year(s). Deferred taxes
are reviewed for their carrying values at each Balance Sheet date.
c) Provision for taxation for the year is ascertained on the basis of
assessable profits computed in accordance with the provisions of the
Income Tax Act, 1961.
1.13 Provisions, Contingent Liabilities and Contingent Assets
A provision is recognized when the Company has a present obligation as
a result of past events, for which it is probable that an outflow of
resources embodying economic benefits will be required
to settle the obligation and a reliable estimate of the amount can be
made. Provisions are determined based on management estimate required
to settle the obligation at the balance sheet date. Provisions are
reviewed regularly and are adjusted where necessary to reflect the
current best estimates of the obligation.
Contingent Liabilities are not recognized but are disclosed in the
notes.
Contingent Assets are neither recognized nor disclosed in the financial
statements.
1.14 Segment Reporting
As the Company''s business activity primarily falls within a single
business and geographical segment, there are no additional disclosures
to be provided in terms of Accounting Standard 17 on "Segment
Reporting".
1.15 Debenture Issue Expenses
The expenditure incurred on the issue of debentures is amortized over
the tenure of the debentures.
1.16 Earnings per Share
Basic earnings per share are calculated by dividing the net profit for
the year attributable to equity shareholders by the weighted average
number of equity shares outstanding during the year. The weighted
average numbers of equity shares are calculated on the proportionate
basis. For the purpose of calculating diluted earnings per share, the
net profit or loss for the period attributable to equity shareholders
and the weighted average number of shares outstanding during the year
are adjusted for the affects of all dilutive potential equity shares.
The dilutive potential equity shares are deemed converted as of the
beginning of the period, unless they have been issued at a later date.
(b) Rights, preference and restriction attached to equity shares
The company has only one class of equity shares having par value of Rs.
10 per share. Each holder of equity shares is entitled to one vote per
share. The company declares and pays dividends in Indian rupees. The
dividend proposed by the Board of Directors is subject to the approval
of the shareholders in the ensuing Annual General Meeting.
In the event of Liquidation of the company, the holder of equity shares
will be entitled to receive the remaining assets of the Company after
distribution of all preferential amounts. The distribution will be in
proportion to the number of equity shares held by the shareholders.
(c) The Company does not have any Holding Company.
(e) Shares allotted as fully paid up pursuant to contract(s) without
payment being received in cash (during 5 years immediately preceding
March 31, 2014) - NIL
(f) There are no shares bought back by the Company since the
incorporation of the Company.
5.1 Security
(i) Non convertible debentures are secured by way of pari passu charge
on the fixed and current assets of the company.
Details of Secured - Non-Convertible Debentures redeemable at par
(ii) Intercorporate Loan is secured by way of pledge of equity shares
of Religare Enterprises Ltd. and Fortis Healthcare Ltd. held by the
group companies.
5.2 The Company has not created any Debenture Redemption Reserve on
Secured - Non-Convertible Debentures issued by the Company in view of
the clarification issued by Ministry of Corporate Affairs vide circular
no. 04/2013 [No 11/02/2012-CL-V (A)] dated February 11, 2013 exempting
the requirement of creating the Debenture Redemption Reserve by NBFC''S
on privately placed debentures.
Mar 31, 2012
1.1 Basis of preparation of financial statements
The financial statements are prepared in accordance with Indian
Generally Accepted Accounting Principles in India (Indian GAAP) under
the historical cost convention on the accrual basis except for certain
financial instruments which are measured at fair values. GAAP comprises
mandatory accounting standards as prescribed by the Companies
(Accounting Standard) Rules, 2006 and the relevant provisions of the
Companies Act, 1956. Accounting Policies have been consistently applied
where a newly issued accounting standard is initially adopted or a
revision to an existing accounting standard requires a change in the
accounting policy hitherto in use
1.2 Use of Estimates
The presentation of Financial Statements in conformity with Indian GAAP
requires management to make estimates and assumptions that affects the
reported balances of assets and liabilities (including contingent
liabilities) as at the date of financial statements and the reported
amount of revenue and expenses during the reporting year. The
Management believes that the estimates used in preparation of the
financial statements are prudent and reasonable. Future results could
differ due to these estimates and differences between the actual
results and the estimates are recognized in the periods in which the
results are known/materialize.
1.3 Cash Flow Statement
Cash flows are reported using the indirect method, whereby profit /
(loss) before extraordinary items and tax is adjusted for the effects
of transactions of non-cash nature and any deferrals or accruals of
past or future cash receipts or payments. The cash flows from
operating, investing and financing activities of the Company are
segregated based on the available information.
1.4 Revenue Recognition
a) Revenue is recognized when it is earned and no significant
uncertainty exists as to its realization or collection,
b) Interest income from financing activities is recognized on an
accrual basis except in the case of non-performing assets, when it is
recognized on realization, as per the prudential norms of RBI.
c) Dividend income is accounted for when the right to receive the
payment is established.
d) Revenue from Sale of Shares & Securities is recognized on the date
of sale of such Shares & Securities.
e) Income from Investments in OCD's is not recognized in view of
availability of option to convert the OCD's into shares after expiry
of 24 months from the date of issue (March 31,2011).
1.5 Tangible Assets
Fixed assets are stated at cost (or revalued amounts, as the case may
be), less accumulated depreciation and impairment losses, if any. Cost
comprises the purchases price and any directly attributable cost of
bringing the asset to its working condition for its intended use.
Borrowing costs relating to acquisition of fixed assets which take
substantial period of time to get ready for its intended use are also
included to the extent they relate to the period till such assets are
ready to be put to use.
1.6 Intangible Assets
Computer software which is not an integral part of the related hardware
is classified as an intangible asset and is being amortized.
1.7 Depreciation
Depreciation is charged on Written Down Value method at the rates
specified in accordance with the provisions of schedule XIV of the
Companies Act, 1956, Depreciation is charged from the date in which new
assets are put to use. No depreciation is charged from the date in
which assets are sold.
Individual assets / group of similar assets costing less than Rs. 5,000
has been depreciated in full in the year of purchase.
1.8 Borrowing Cost
Borrowing Costs are accounted for as expense in the period in which
they are incurred and are related to.
1.9 Impairment of Assets
At each Balance Sheet date, the Company assesses whether there is any
indication that an asset may be impaired. If any such indication
exists, the Company estimates the recoverable amount. If the carrying
amount of the asset exceeds its recoverable amount, an impairment loss
is recognized in the Statement of Profit and Loss to the extent the
carrying amount exceeds the recoverable amount. If at the Balance Sheet
date there is an indication that if a previously assessed impairment
loss no longer exists, the recoverable amount is reassessed and the
asset is reflected at the recoverable amount.
1.10 Investments
Investments are classified into current and long-term investments.
Current investments are stated at lower of cost or market value.
Long-term investments are carried at cost less provisions, if any, for
permanent diminution in the value of such Investment.
1.11 Employee Benefits
The Company provides Gratuity and Leave Encashment on the basis of
actuarial Valuation.
1.12 Foreign Currency and Derivative Transactions
- Foreign Currency Transactions are accounted at the Exchange rates
prevailing on the date of the transaction.
- Cross Currency interest rate swap is used as hedging instrument. The
notional principal of such instrument is recorded as off Balance Sheet
Item. Interest received and paid as well as accruals on Cross Currency
Interest Rate Swap is converted into Indian Rupees and routed through
the interest account. Exchange Gain/Loss on the cross currency interest
swap is recognized at the year end exchange rate prevailing except in
the circumstances where year end rates do not reflect the amount in
reporting currency that is likely to be realized from or required to be
disbursed or where the year end rate is unrealistic, in which
circumstances, Exchange Gain/Loss is recognized at the amount which is
likely to be realized from or required to be disbursed at the time of
finalization of accounts.
1.13 Service Tax Input Credit
Service Tax Input Credit is accounted for in the books in the period
when the underlying service received is accounted and when there is no
uncertainty in availing/ utilizing the same.
1.14 Taxes on Income
a) Current tax is determined as the amount of tax payable in respect of
taxable income for the year.
b) Deferred Tax is recognized, subject to consideration of prudence, on
timing differences, being difference between taxable income and
accounting income/expenditure that originate in one period and are
capable of reversal in one or more subsequent year(s). Deferred taxes
are reviewed for their carrying values at each Balance Sheet Date.
c) Provision for taxation for the year is ascertained on the basis of
assessable profits computed in accordance with the provision of the
Income Tax Act, 1961.
1.15 Provisions and Contingent Liabilities
A provision is recognized when the Company has a present obligation as
a result of past events, for which it is probable that an outflow of
resources embodying economic benefits will be required to settle the
obligation and a reliable estimate of the amount can be made.
Provisions are determined based on management estimate required to
settle the obligation at the balance sheet date.
Provisions are reviewed regularly and are adjusted where necessary to
reflect the current best estimates of the obligation.
1.16 Segment Reporting
As the Company's business activity primarily falls within a single
business and geographical segment, there are no additional disclosures
to be provided in terms of Accounting Standard 17 on 'Segment
Reporting'.
Mar 31, 2010
A. Basis of preparation of financial statements
The financial statements are drawn up in accordance with the historical
cost convention on accrual basis and comply with the accounting
standards referred to in Sec. 211(3C) of the Companies Act, 1956.
b. Use of Estimates
The presentation of financial statements in conformity with the
generally accepted accounting principles requires estimates and
assumptions to be made that affect the reported amount of assets and
liabilities on the date of the financial statements and the reported
amount of revenues and expenses during the reporting period. Difference
between the actual result and estimates are recognized in the period in
which the results are known / materialized.
c. Fixed Assets, and Depreciation
Fixed assets are stated at cost of acquisition less accumulated
depreciation and impairment loss if any thereon. Depreciation is
charged on Written Down Value method at the rates specified in
accordance with the provisions of schedule XIV of the Companies Act,
1956. Depreciation is charged from the month in which new assets are
put to use. No depreciation is charged from the month in which assets
are sold.
Individual assets / group of similar assets costing less than Rs. 5,000
has been depreciated in full in the year of purchase.
d. investments
Investments are classified into current: and long-term investments.
Current investments are stated at lower of cost or market value.
Long-term investments are carried at cost less provisions, if any, for
permanent diminution in the value of such Investment.
e. Stock in Trade
Trading stocks of shares and securities are valued at cost or market
value whichever is lower.
f. Revenue Recognition
Dividend income is accounted for when the right to receive the payment
is established. Interest and other dues are accounted on accrual basis.
Revenue from Sale of Shares & Securities are recognised on the date of
Sale of such Shares & Securities.
g. Debenture Issue Expenses
Debenture issue Expenses incurred on issue of debentures is amortised
over the tenure of the debentures.
h. Employee Benefits
The Company provides Gratuity and Leave Encashment on the basis of
acturial valuation.
f. Taxes on Income
Provision for current tax is computed in accordance with relevant tax
provisions. Deferred tax Is recognized for ail timing differences
between accounting income & taxable income and is quantified using
enacted / substantially enacted tax rates as at the balance sheet date.
Deferred tax assets are recognized subject to the management judgement
that the realisation is virtually / reasonably certain.
j. Borrowing Cost
Borrowing Costs are accounted for as. expense in the period in which
they are incurred and they are related to.
k. Foreign Currency and Derivative Transactions
- Foreign Currency Transactions are accounted at the Exchange rates
prevailing on the date of the transaction.
- Cross Currency interest rate swap is used as hedging instrument. The
notional principal of such instrument is recorded as off Balance Sheet
Item. Interest received and paid as well as accruals on Cross Currency
Interest Rate Swap is converted into Indian Rupees and routed through
the interest account. Exchange Gain/Loss on the cross currency interest
swap is recognised at the year end exchange rate prevailing except in
the circumstances where year end rates do not reflect the amount in
reporting currency that is likely to be realised from or required to be
disbursed or where the year end rate is unrealistic, in which
circumstances, Exchange Gain/Loss Is recognised at the amount which is
likely to be realised from or required to be disbursed at the lime of
realisation of accounts.
Mar 31, 2002
A. The accounts are prepared on accrual basis of accounting.
b. Fixed Assets and Depreciation : Fixed assets are stated at
historical costs less accumulated depreciation on the same.
Depreciation on Fixed Assets is provided on Written Down Value Method
at the rates specified in Schedule XIV of the Companies Act, 1956.
c. Investments (long term) are stated at cost. However, provision for
diminution is made to recognise a decline, other than temporary, in the
value of investments wherever applicable.
d. Trading Stocks of Shares & Securities are valued at lower of Cost
or Realisable Value.
e. Income on Capital Contribution made for Trading in Shares and
Securities shall be accounted for in the year in which underlying
Assets are disposed off in terms of agreement entered into.
f. Share Issue Expenses are amortised over a period of 10 years.