Notes to Accounts of Shiv Aum Steels Ltd.

Mar 31, 2024

o) Provisions

Provisions are recognised when the Company has a present obligation as a result of past events, it is more likely than not that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions are not discounted to their present value and are determined based on the best estimate required to settle the obligation at the reporting date. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates.

Where the company expects some or allofa provision to be reimbursed, for example under an insurance contract, the reimbursement is recognized as a separate asset but only when the reimbursement is virtually certain. The expense relating to any provision is presented in the statement of profit and loss net of any reimbursement.

p) Contingent Liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or nonoccurrence of one or more uncertain future events beyond the control of the company or a present obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized because it cannot be measured reliably. The company does not recognize a contingent liability but discloses its existence in the financial statements.

q) Borrowing Costs

Borrowing cost includes interest and amortization of ancillary costs incurred in connection with the arrangement of borrowings.

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 cost of the respective asset. All other borrowing costs are expensed in the period they occur.

r) Cash and Cash Equivalents

Cash and cash equivalents for the purposes of cash flow statement comprise cash at bank and in hand and short-term investments with an original maturity of three months or less.

s) 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. Cash flows for the year are classified by operating, investing and financing activities.

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Mar 31, 2023

o) Provisions

Provisions are recognised when the Company has a present obligation as a result of past events, it is more likely than not that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. Provisions are not discounted to their present value and are determined based on the best estimate required to settle the obligation at the reporting date. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates.

Where the company expects some or all of a provision to be reimbursed, for example under an insurance contract, the reimbursement is recognized as a separate asset but only when the reimbursement is virtually certain. The expense relating to any provision is presented in the statement of profit and loss net of any reimbursement.

p) Contingent Liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the control of the company or a present obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized because it cannot be measured reliably. The company does not recognize a contingent liability but discloses its existence in the financial statements.

q) Borrowing Costs

Borrowing cost includes interest and amortization of ancillary costs incurred in connection with the arrangement of borrowings.

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 cost of the respective asset. All other borrowing costs are expensed in the period they occur.

r) Cash and Cash Equivalents

Cash and cash equivalents for the purposes of cash flow statement comprise cash at bank and in hand and short-term investments with an original maturity of three months or less.

s) 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. Cash flows for the year are classified by operating, investing and financing activities.

T erms & Condition ofB48:I106 Sanction:

SBI (e-DFS A/c) Jindal: Limit 40 Crores

Primary Security:

Hypothecation of company''s entire stocks & Receivables Pertaining to Jindal Steel & Power Limited.

Collateral Security:

1) Registered Mortgage of Flat No. 7, 2nd Floor, Amber CHS, Plot No -75, Road No. 25, Behind SIES College, sion. Next to Sindhi Colony, Sion (W), Mumbai- 400022, admg 1114 sqft, owned by Shri Jatin Nagindas Mehta.

2) Registered mortgage Offfice No. 515, 5th floor, The Summit Business Bay, Plot No 266 & 266/1 to 172, Village -Gundavali, Andheri Kurla Road, Near Cinemax & W.E. Highway Metro, Andheri (E), Mumbai - 400093 EDMG 2200 sqft built up area, owned by Shiv Aum Steels Pvt. Ltd.

3) Lien on 729242.888 Units oi SBI Magnum Medium Duration Fund - Regular Growth at Purchase value of Rs. 3.00 Crore under folio no. 29129602 in the name of Shiv Aum Steels Limited.

Third Parties Guarantee: Personal Guarantee of Directors:

1) Shri Jatin Nagindias Mehta 2) Shri Krishna Nagindas Mehta 3) Shri Sanjay Narendra Bansal 4) Shri. Ajay Narendra Bansal 5) Shri. Rishabh Jatin Mehta 6) Shri. Utsav Sanjay Bansal

Terms & Condition of Sanction:

Standard Chartered Overdraft: Limit 35 Crores

Primary Security:

Exclusive charge on Hypothecation of current assets both present and future exculding charge on inventory & receivables pertaining to JSPL under SCF facility. Since no value is assigned for stocks and book bedts and its stock insurance is waived.

Collateral Security:

1) Exclusive charge on Residential property located at Flat 1602, 16th Floor, Building No 3C indiabulls, Green Sector 02, Panvel -410206. Property is owned by Shiv Aum Steels Limited.

2) Exclusive charge on Plot No. 1555C, Kalamboli Steel Warehousing Complax (KWC), Nr Kalamboli Rly Station , Kalamboli, Dist Raigad, Navi Mumbai 410218. Property is owned by Hari Om Steels.

3) Exclusive charge on Land at Taloja under Survey No. 99, Hissa No. 1A/2(1)/A and Survey No. 99, Hissa No. 1A/2(2), Vavanje Village, Taluka Panvel owned by Shiv Aum Steels Ltd.

4) Exclusive charge on Residential Property located at Flat 710, Skyi Songbirds Building No. 2, 2A, Bhugaon Mulshi, Pune -412115. Property is owned by Sanjay Narendra Bansal.

5) Exclusive charge on Residential Property located at Flat 1010. Skyi Songbirds Building No. 2, 2A, Bhugaon Mulshi, Pune -412115. Property is owned by Sanjay Narendra Bansal.

6) Exclusive charge on Residential Property located at Flat 1108. Skyi Songbirds Building No. 2, 2A, Bhugaon Mulshi, Pune -412115. Property is owned by Sanjay Narendra Bansal.

Third Parties Guarantee: Personal Guarantee of Directors and corporate Gurantee:

1) Shri Jatin Nagindias Mehta 2) Shri Krishna Nagindas Mehta 3) Shri Sanjay Narendra Bansal 4) Shri. Ajay Narendra Bansal 5) Shri. Rishabh Jatin Mehta 6) Shri. Utsav Sanjay Bansal 7) m/s Hari om Steels 8) M/s Mobi Relators Private Limtied

5 Deneni Description

Benefit Type

75 yea rs for 6

Retirement Age ^{70 Years} 70 years for Directors & 1 Employee and 65 years for Employees

for 1 Employee and 65

years for Employees

Vesting Period 5 Yrs of Service 5 Yrs of Se rvice

The principal actuarial assumptions for the above are as follows: -

Salary Growth Rate 7% p.a. 7% p.a.

Discount Rate 7.20% per annum 7.30% per annum

Mortality IALM 2012-14 Ultimate IALM 2012-14 Ultimate

Withdrawal Rate 5 % per annum 5 % per annum

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Mar 31, 2021

Micro, Small and Medium Enterprises

As per the information available with the Company and certified by them, total outstanding due to Small Enterprises as required to be disclosed under the Micro, Small and Medium Enterprises Development Act, 2006 at the end of the year is Rs. Nil (Nil).

In the opinion of the Board, Current Assets, Loans and Advances have a value on realisation in the ordinary course of business, at least equal to the amount at which they are stated.

The outstanding balances of Sundry Debtors, Sundry Creditors, and loans & advances are subject of confirmation and reconciliation/ consequential adjustment, if any.

The previous year''s figures have been reworked, rearranged and reclassified wherever considered necessary. Accordingly, amounts and other disclosures for the preceding year are included as an integral part of the current year financial statements and are to be read in relation to the amounts and other disclosures relating to the current year.

All items of receipts and payments, Income & Expenditure wherever details, vouchers, supporting and or any sort of evidences not available are hereby approved confirmed, authenticated and certified by the management.

1. Terms/rights attached to equity shares:

(a) The Company has one class of shares i.e., Equity shares having a face value of Rs.10 per share. Each holder of Equity Shares is entitled to one vote per share.

(b) There were forfeited shares and buy back of shares in last five years. Bonus shares issued in the year 2016-17,

(c) Details of Equity Shareholders holding more than 5% of equity shares along with No of Equity Shares held at the beginning and at the end of the reporting period are as given below:-

(d) Company does not have any Revaluation Reserve.

(e) The above statement should be read with the significant accounting policies and notes to restated summary statements of assets and liabilities, profits and losses and cash flows appearing in Annexures IV, I, II and III.

1. List of persons/entities classified as ''Promoters'' and ''Promoter Group Companies'' has been determined by the Management and relied upon by the Auditors. The Auditors have not performed any procedure to determine whether the list is accurate and complete.

Amount due to entities covered under Micro, Small and Medium Enterprises as defined in the Micro, Small, Medium Enterprises Development Act, 2006, have been identified on the basis of information available with the Company. It is informed by the management no provision has been made for interest as required by Interest on Delayed Payments to Small Scale and Ancillary Industrial Undertakings Act, 1993 on amounts due to Small Scale Industries, as none of the outstanding as on date are of the entity listed in MSME.

The figures disclosed above are based on the restated summary statement of assets and liabilities of the Company.

The above statement should be read with the significant accounting policies and notes to restated summary statements of assets and liabilities, profits and losses and cash flows.