Accounting Policies of Safecure Services Ltd. Company

Mar 31, 2025

Corporate Information

Safecure Services Limited (SSL) was incorporated on 31st Oct 2012, under the companies Act 1956, and the company is directly and indirectly
engaged in rendering security and related services consisting of manned guarding traning, Event Security Management, Interior Fitout Projects
and indirectly engaged in emergency response services: loss prevention, asstes protection and mobile patrols: facilty management services
consisting of cleaning, house keeping and pest control management service in the area of facility management; ATM management service
consisting Repair and management and alarm monitoring and response services consisting of installation of electronic security devices and
NOTE 1: MATERIAL ACCOUNTING POLICIES

I. Basis of accounting and preparation of financial statements

The financial statements of the Company have been prepared in accordance with the Indian Accounting Standards [Indian Accounting
Standards) to comply with the Accounting Standards notified under the Companies (Accounting Standards) Rules, 2015 (as amended) and the
relevant provisions of the Companies Act, 2013. The financial statements have been prepared on accrual basis under the historical cost
convention.

The Company has voluntarily adopted Indian Accounting Standards (IND AS) in compliance with the Accounting Standards notified under the
Companies (Accounting Standards) Rules, 2006, for the restatement of financial statements. This adoption aligns with the standards issued by

II. Use of Estimates.

The preparation of the financial statements in conformity with Ind AS requires the Management to make estimates and assumptions
considered in the reported amounts of assets and liabilities (including contingent liabilities) and the reported income and expenses during the
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 the differences between the actual results and the estimates are recognized in the periods in which the
results are known / materialize.

III. Going Concern Assumption

The Management believes that the Company would be in a position to continue as a going concern for the foreseeable future and may meet its
financial obligations as they fall due. Accordingly, these financial statements have been prepared under the going concern assumption.

IV. Property. Plant and Equipment

Property Plant & Equipment are stated at cost of acquisition less accumulated depreciation and impairment loss, if any. Capital Work in progress
are stated at cost, net off accumulated impairment losses if any. The cost of acquisition includes direct cost attributable to bringing the assets to
their present location and working condition for their intended use. The cost of fixed assets includes interest on borrowings attributable to
acquisition of qualifying fixed assets up to the date the asset is ready for its intended use and other incidental expenses incurred up to that date
and excludes any tax for which input credit is taken.

Subsequent expenditure is capitalised only when it increases the future economic benefits for its intended from the existing assets beyond its
previously assessed standard of performance. When significant parts of plant and equipment are required to be replaced at intervals, the
Company depreciates them''separately based on their specific useful lives and capitalises cost of replacing such parts if capitalisation criteria are
met All other repairs and maintenance are charged to profit or loss during the reporting period in which they are incurred.

Gains or losses arising from derecognition of property, plant and equipment are measured as the difference between the net disposal proceeds
and the carrying amount of the asset and are recognized in the Statement of Profit and Loss when the asset is derecognized

Depreciation

Depreciation on Tangible Assets has been provided on Written Down Value (WDV) method and the amount of depreciation has been computed
as per the useful life specified under companies act 2013.

V. Investments

Classification of Investment:

Investment that are by their nature are readily realisable and are intended to be held for more than one year from the date of on which such
investment are made is classified as Non-current investments.

Investment other than current investment are classified as Long term Investments
Investments are initial recognized at cost
Valuation of Investment:

i. Investments are initially recognized at cost.

The cost of an investment includes acquisition charges such as brokerage, fees and duties

ii. If an investment is acquired, or partly acquired, by the issue of shares or other securities, the acquisition cost is the fair value of the securities
issued

iii. If an investment is acquired in exchange, or part exchange, for another asset, the acquisition cost of the investment is determined by
reference to the fair value of the asset given up.

VI. Revenue recognition

Revenue towards satisfaction of a performance obligation is measured at the amount of transaction price (net of variable consideration)
allocated to that performance obligation. The transaction price of goods sold and services rendered is net of variable consideration on account
of various discounts and schemes offered by the Company as part of the contract Revenue is recognised when the control is transferred to the
customer and when the Company has completed its performance obligations under the contracts.

At the inception of the new contractual arrangement with the customer, the Company identifies the performance obligations inherent in the
agreement The terms of the contracts are such that the services to be rendered represent a series of services that are substantially the same
with the same pattern of the transfer to the customer. Revenue is recognised as follows:

(i) Revenue from services represents the amounts receivable for services rendered.

(ii) For contract-based business (Expressed or implied), revenue represents the sales value of work carried out for customers during the
period. Such revenues are recognised in the period in which the service is rendered.

Oil) Unbilled revenue (contract assets) net of expected deductions is recognised at the end of each period. Such unbilled revenue is reversed in
the subsequent period when actual invoice is raised.

(iv) Customer Advances (contract liabilities) represents revenue billed but for which services have not yet been performed. The same is
released to the statement of profit and loss as and when the services are rendered.

fv) Revenue from the use of assets such as rent for using property, plant and equipment is recognised on a straight-line basis over the terms of
Rendering of Services;

Revenue from Security & Event, E-Surveillance and repair & Maintance and Facility Services are recognised when the Company has completed
its performance obligation under the contracts and upon completion of Services.

Revenue from Interior fit out projects are recognised when Company has satisfactory completed its project and handed over to client

VII. Interest Income

interest income is recognized on a time proportionate basis taking into account the amount outstanding and the applicable effective interest
rate. Interest income is included under the head "Interest Income" in the statement of profit & loss.

Other services:

Revenue from other services such as profit on sale of assets, etc are recognised as when the consideration for transaction measurable and
receivable.

VIII. Employee benefits

fO Shortterm employee benefits

benefits like salaries, wages, and short term compensated absences and performance incentives are recognized in the period in which the
employee renders the related service.
fijl Post-employment benefits

a) Defined contribution plan

The Company''s state governed provident fund scheme. Employee State Insurance Corporation, Labour Welfare Fund, Professional Tax are
classified as defined contribution plans. The contribution paid / payable under the schemes is recognised in the statement of profit and loss in

b) Defined benefits plan

The Employee''s gratuity fund scheme is the Company''s defined benefit plans. The cost of providing defined benefits is determined using the
Projected Unit Credit method with actuarial valuations being carried out at each reporting date. The defined benefit obligations recognized in
the Balance Sheet represent the present value of the defined benefit obligations as reduced by the fair value of plan assets, if applicable. All
expenses represented by current service cost, past service cost, if any, and net interest on the defined benefit liability (asset) are recognized in
the Statement of Profit and Loss

IX. Taxes on Income
Current Tax:

Provision for current tax is made in terms of provisions of the Income Tax Act, 1961. Deferred tax on account of timing difference between
taxable and accounting income is provided considering the tax rates and tax laws enacted or substantively enacted by Balance sheet date, the
deferred tax asset is recognized and carried forward only to the extent that there is a reasonable certainty that the assets will be realized in
future.

Minimum Alternate Tax credit is recognized as an asset only when and to the extent there is convincing evidence that the Company will pay
normal income tax during the specified period. The Company reviews the same at each balance sheet date and writes down the carrying amount
of MAT Credit Entitlement to the extent there is no longer convincing evidence to the effect that the Company will pay normal Income Tax
during the specified period.

Deferred Tax:

Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting
purposes and the amounts used for taxation purposes. Deferred tax is measured at the tax rates that are expected to be applied to temporary
differences when they reverse, using tax rates enacted or substantively enacted at the reporting date and are expected to apply when the related

X. Borrowing Cost:

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time
to get ready for its intended use or sale are capitalized as part of the asset All other borrowing costs are expensed in the period in which they
occur. Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds.