Notes to Accounts of Rikhav Securities Ltd.

Mar 31, 2025

12. Provisions, Contingent Liabilities and Contingent Assets:

The company, being a stock broker has availed bank
guarantees aggregating to 125 crores in favour of stock
exchange(s) , which are used for the margin and other
requirements. Guarantees are availed from banks are as
under:

Following are the Contingent Liabilities as on the Balance
Sheet date.

• Bank Guarantee availed from the Banks are as fol¬
lows:

Axis Bank - ''75 Crores

ICICI Bank - ''30 Crores

HDFC Bank - '' 30 Crores

However, these guarantees are issued by the bankers
after pledging an adequate collateral bank fixed depos¬
it. However, these bank guarantees are obtained by the
company as a normal course of business activities which
are backed by adequate securities, no material provision
is required to be made in the financial statements.

15. Proceedings were initiated in FY 23-24 against the Company under the provisions of the Benami Transactions (Prohibition)
Act, 1988 and the rules made thereunder. The Company contested the matter before the Adjudicating Authority, where it
received a favorable order and the order is deleted, however the department preferred to challenge the adjudication order
before the Appellate Tribunal, and the proceedings are currently pending. In view of the management assessment , the
company has a strong case thus no material impact is expected in the financial statements.

16. During the year the company has continued availing Working Capital limits against security by way of pledge of quoted
shares & securities. There is no material discrepancy in quarterly statements filed by the company with banks/financial
institutions and are in agreement with books of accounts.

17. During the year there have been income tax assessments proceedings under any other relevant provisions of the Income
Tax Act, 1961. There are no transactions needed to be recorded in the books of accounts which has been surrendered or
disclosed as income in the Tax Assessments. Certain additions were made during the course of assessment and the same
are challenged before the appropriate Appellate Authority.

18. During the year the company is covered under section 135 of the Companies Act 2013. Accordingly during the year the
company has expended way by of Donation of '' 64,82,727/- towards CSR contribution.

There are no charges or satisfaction of any charges that are yet to be registered with the ROC that goes beyond the
statutory period. The above list is of the charges open as on 31 March, 2025.

20. During the period under audit the company has not granted any Loans & Advances to Promoters, directors, KMPs, and the
related parties.

21. During the year the Company is not declared willful defaulter by any bank or financial institution or other lenders.

22. The Company doesn''t provides for any Employee Benefit Obligation or Termination benefit as per AS 15 - Employee Benefits
like Gratuity but has the practice to account for the same in the year in which the benefit or amount is paid to the employee.

23 Initial Public Offer (IPO)

The Company had issued and alloted 8328000 shares having face value of Rs. 5 per shares at a premium of Rs. 81 per
share through Initial Public Offer (IPO) during the Financial Year 2024-25. The net issue expenses were of Rs. 732.46
Lakhs. The details of utilization of the net IPO proceeds are as follows:

7. Additional information as per Schedule III of the Companies Act, 2013 to the extent applicable are as under:

(As certified by the Directors and relied upon by the Auditors)

Current Year Previous Year

a) Value of Import on CIF Basis Nil Nil

b) Expenditure in the foreign Currency Nil Nil

c) Earning in Foreign Exchange Nil Nil

8. Previous Year figures have been rearranged and regrouped wherever necessary to make them comparable with the current
year figures.

As per our report of even date attached

For AHSP & Co LLP For and on behalf of Board

Chartered Accountants Rikhav Securities Limited

Siddhant Nitin Shah Hitesh H. Lakhani Rajendra Shah

(Partner) (Director) (Director & CFO)

FRN :100163W (DIN - 01457990) (DIN - 01248226)

Membership No.:156278

Date: 13 May, 2025
Place: Mumbai

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Mar 31, 2024

10. Provision for taxation

Provision for income tax has been made in accordance with normal provisions of
Income Tax Act, 1961. The deferred tax for timing differences between the book and
tax profits for the year is accounted for, using tax rates and laws that have been
substantively enacted as of the balance sheet date.

11. Provisions. Contingent Liabilities and Contingent Assets:

The company recognizes a provision when there is a present obligation as a result of
past event on which it is probable that there will be outflow of resources to settle
the obligation in respect of which reliable estimate can be made. Contingent assets
are neither recognized nor disclosed.

15. During the year there has been no proceedings initiated or are pending against the

company for holding any benami property under the Benami Transactions
(Prohibition) Act, 1988 (45 of 1988) and rules made there-under.

16. During the year the company has continued availing Working Capital limits against

security by way of pledge of quoted shares & securities. There is no material
discrepancy in quarterly statements filed by the company with banks/financial
institutions and are in agreement with books of accounts.

17. During the year there have been no transactions wich companies Struck off under
section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

18. During the year there has been no tax assessment or search or survey or proceedings
under any other relevant provisions of the income Tax Act, 1961. Hence there are no
transactions needed to be recorded in the books of accounts which has been
surrendered or disclosed as income in the Tax Assessments.

19. During the year the company is covered under section 135 of the Companies Act
2013. Accordingly during the year the company has expended way by of Donation of
Rs.39,44,297/- towards CSR contribution.

20. During the financial year, a fixed asset (Motor Car) is purchased in the name of
Director, is shown in financial statements as an asset as the same isjtsssfefer
company purposes.

There are no charges or satisfaction of any charges that are yet to be registered
with the ROC that goes beyond the statutory period. The above list is of the charges
Open as on 31st March, 2024.

23. During the period under audit the company has not granted any Loans & Advances
to Promoters, directors, KMPs, and the related parties.

24. During the year the Company is not declared willful defaulter by any bank or

financial institution or other lenders.

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25.The Company doesn''t provide for any Employee Benefit Obligation or Termination
benefit as per AS 15 - Employee Benefits like Gratuity but has the practice to
account for the same in the year in which the benefit or amount is paid to the
employee.

iv) Disclosure in respect of Micro and Small Enterprises:

The concern is in piocess of compiling relevant information from its supplier about
their coverage under the Micro, Small & Medium Enterprises Development Act,
2006. As the concern has not received any information from its supplier as on date
legal ding their status under the above said Act and hence no disclosure has been
made and accordingly Trade Payables has been disclosed (Refer Note 6).

8. Previous Year figures have been rearranged and regrouped wherever necessary to
make them comparable with the current year figures.

As per our report of even date attached

For Deepak C Agarwal & Associates For and on behalf of Board

Chartered Accountants for Rikhav Securities Limited

k

Deepak C Agarwalh^iV 166938 J^JJ Hitesh H. Lakhani MonilRShah

(Proprietor) NsT''''—(Director) (Director)

Membership No.:l659^&''-^-''^ (DLN - 014S7990) (DIN - 08064436)

Date: 16-07-2024
Place: Mumbai
UDIN: