Notes to Accounts of Sonalis Consumer Products Ltd.

Mar 31, 2025

ADDITIONAL DISCLOSURES

(i) Title deeds of Immovable Property are under process as full payment for the same has not been done by the company

(ii) The Company has not revalued its Property, Plant and Equipment, during the audited period.

(iii) The Company does not have any Intangible assets under development.

(iv) The Company has not granted any Loans or Advances in the nature of loans to promoters, Directors, KMPs and the related parties (as defined under Companies Act, 2013,) either severally or jointly with any other person, that are (a) repayable on demand or (b) without specifying any terms or period of repayment.

(v) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.

(vi) The Company has borrowings from banks on the basis of hypothecation of stock and book debts.

(vii) The Company has not declared willful defaulter by any bank or financial institution or other lender.

(viii) Based on the information available with the Company, the Company does not have any transactions with companies struck off u/s 248 of the Companies Act, 2013.

(ix) The Company does not have any charges or satisfaction which is yet to be registered with Registrar of Companies beyond the statutory period.

(x) The Company has not entered into any scheme of arrangement therefore approval of competent authority in terms of sections 230 to 237 of the Companies Act, 2013 is not required.

(xi) The Company has not traded or invested in Crypto currency or Virtual Currency during the audited period.

(xii) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

(xiii) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

(xiv) The Company has not entered into any such transaction which is not recorded in the books of account 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.

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Mar 31, 2024

Provisions:

A provision is recognized when the company has a present obligation as a result
of past event, it is probable 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 retaining. The
expense relating to any provision is presented in the statement of profit and loss
net of any reimbursement.

Contingent Liabilities:

A contingent liability is a possible obligation that arise from past events whose
existence will be confirmed by the concurrency 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.

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.

Company has some huge value of cash balance at the end of the year as most of
the revenue collection is from retail customers who prefers to pay through cash.

As per our report of even date For & On Behalf of the Board

For S S R V and Associates SONALIS CONSUMER PRODUCTS LIMITED

Chartered Accountants
FRN: 135901W

Vishnu Kant Kabra Sonali Nilesh Kocharekar Smita Shashikant Shah

Partner Director & Compliance Director

Officer

Membership No.: 403437 Din: 09536461 Din: 09536462

Date: 14th June, 2024
Place: Mumbai

UDIN: 24403437BKAJPL3731 Shivang Shah

CFO