Notes to Accounts of The Ravalgaon Sugar Farm Ltd.

Mar 31, 2025

17.1: As per Sec. 74 of the Companies Act 2013 which has come into force with effect from 01.04.2014, deposits accepted from public before commencement of this Act, remain unpaid or become due at any time thereafter the same has to be repaid within one year or date on which it is due whichever is earlier. The Company had approached the Company Law Board seeking extension of time for repayment of deposit and the Company Law Board vide it''s order no. CA. No. 09/2015 dated 07.04.2015 has approved the company''s request for the time extension and directed the Company to pay the deposits with agreed interest to all Fixed Deposit holders as per the date of maturity. Uncliamed public deposits includes deposits matured but not claimed by the depositors.

24.1 EMPLOYEE BENEFITS

i) Short Term Employee Benefits.

All employee benefits payable wholly within twelve months of rendering the service are classified as short term employee benefits. Benefits such as salaries, wages, short terms compensated absences, etc., and the expected cost of bonus, ex-gratia are recognised in the period in which the employee renders the related service.

ii) Defined Benefit Plan and long term employee benefits.

Gratuity: The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on death or resignation or retirement at 15 days [last drawn salary] for each completed year of service. The scheme is funded with an insurance company in the form of a qualifying insurance policy.

The employees'' gratuity fund scheme managed by Life Insurance Corporation of India is a defined benefit plan. The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method, which recognizes each period of service giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

i. The Company had received a notice during the course of FY 2024-2025 from the Grampanchayat Office, Ravalgaon, demanding outstanding Grampanchayat Tax for various years amounting to R 2,31,91,494. The Company believes that the calculation is inaccurate and unfair and has appealed to the Hon. Minister for Rural Development & Panchayat Raj. The Company made ad-hoc payments of R10,00,000 in Financial Year 2023-24 and R 50,00,000 in Financial Year 2024-25 to show its bona tides. The final liability cannot be ascertained until the Hon. Minister decides on the matter. However, the Company believes that the strength of its appeal and the payments already made should meaningfully address any liability once determined, and has not recognized the outstanding amount as a debt or created a provision according to Ind AS 37.

ii. The Company entered into agreements with the Government of Maharashtra in 2020 for drawing water from the Girna Left Canal for industrial and domestic use. The agreement stipulated specific water usage targets, with penalties for nonusage. However, due to the COVID-19 pandemic and subsequent government-mandated shutdowns, the Company was unable to utilize the water as per the agreement. Consequently, the Irrigation Department issued bills from time to time with pending claims totalling R19,93,113 for industrial use and R3,14,407 for domestic use, including interest and certain penalties such as non-fulfilment of usage obligations. In response, the Company submitted a representation dated 3rd March 2025 to the Hon. Executive Engineer, Malegaon Dam Division, requesting a waiver of the penalties. Payments of R6,50,191 for industrial use and R78,212 for domestic use were made during the financial year 2024-2025, as part of the Company''s efforts to settle the accepted dues. As the Company has formally requested a waiver and believes that a further outflow of resources is not probable, it has not recognized the outstanding amounts as a debt nor created a provision according to Ind AS 37.

iii. In May 2025, the Second Labour Court, Nashik, ruled in favour of 21 former seasonal workers, estimating their total gratuity demand at R28,22,662, along with interest of R33,87,196. The Company disputes this ruling, asserting that the workers'' seasonal employment does not meet the criteria for gratuity under the Payment of Gratuity Act, 1972, as they did not complete the requisite 240 days of service in a year. Consequently, the Company plans to file an appeal before the Industrial Court, Nashik. Since the Company believes the liability is not probable, it has not recognized the estimated gratuity amount as a debt nor created a provision according to Ind AS 37, pending the outcome of the legal proceedings.

32. The identification of Micro, Small and Medium Enterprises is based on Management''s knowledge of their status. Disclosure of trade payables under other liabilities is based on information available with the Company regarding .i e status of the suppliers as defined under the Micro, Small and Medium Enterprises Development Act, 2006. The Company also has no outstanding dues in the current year that were required to be furnished under section 22 of Micro, Small and Medium Enterprises Development Act, 2006.

33. Additional regulatory information required by Schedule III of Companies Act, 2013

I. No proceedings have been initiated on or are pending against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.

II. The Company has not been declared wilful defaulter by any bank or financial institution or other lender in accordance with the guidelines on wilful defaulters issued by the Reserve Bank of India.

III. The Company has not revalued its property, plant and equipment (including right-of-use assets) or other intangible assets or both during the year.

IV. The Company has not recorded any transactions which are not in the books of accounts and has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961.

V. The Company has not traded or invested in Crypto currency or Virtual Currency during the current and previous financial year.

VI. The Company has not entered into any scheme of arrangement which has an accounting impact on current and previous year

VII. During the year no funds raised on short-term basis have been used for long-term purposes by the Company.

VIII. The Company has complied with the number of layers prescribed under the Companies Act, 2013.

IX. There are no charges or satisfactions which are yet to be registered with the Registrar of Companies beyond the statutory period.

34. Balance Confirmation

Balances of Trade Receivables, Trade Payables, loans and advances, deposits, Borrowings are subject to confirmation and reconciliation. Accounts receivables are net of advances.

35. The financial statements are approved for issue by the Audit Committee and the Board of Directors at their respective meetings conducted on 29th May, 2025.

36. The previous year''s figures have been regrouped / restated / rearranged, wherever considered necessary, to make them comparable with the current year presentation.

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Mar 31, 2024

xv) Provisions and Contingent Liabilities

A provision is recognised when the Company has a present obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation in respect of which a reliable estimate can be made. Provisions (excluding retirement benefits) are determined based on the best estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current best estimates.

Contingent liabilities are disclosed in respect of possible obligations that arise from past events, whose existence would be confirmed upon the occurrence or non occurrence of one or more uncetain furture events not wholly within the control of the Company.

xvi) Employee Benefits Short-term obligations

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly within 12 months after the end of the period in which the employees render the related service are recognised in respect of employees'' services up to the end of the reporting period and are measured at the amounts expected to be paid when the liabilities are settled.

Gratuity obligations

In respect of Post employment benefits viz. Gratuity, the Company has a master policy with LIC under Group Gratuity Scheme for its employees. The company used to provide / contribute to LIC Group Gratuity for future payments of retirement gratuity to the employees as determined by Management.

The Company provides for the liability towards the said plans on the basis of actuarial valuation carried out yearly as at the reporting date, by an independent qualified actuary using the projected unit-credit method.

The obligation towards the said benefits is recognised in the balance sheet, at the present value of the defined benefit obligations. The present value of the said obligation is determined by discounting the estimated future cash outflows.

The interest expense is calculated by applying the above metioned discount rate to the defined benefit obligations liability. The interest expense on the defined benefit liability is recognised in the statement of profit and loss. However, the related re-measurements of the defined benefit liability is recognised directly in the other comprehensive income in the period in which it arises. The said re-measurements comprise of actuarial gains and losses (arising from experience adjustments and changes in actuarial assumptions). Re-measurements are not re-classified to the statement of profit and loss in any of the subsequent periods.

xvii) Segment reporting

Earlier the company had two reportable segments in the form of sugar and confectionery. But the sugar factory was not opearting since FY 2013-14. It was subsequently sold in September 2019. Similary the candy sugar plant has not been in operation since FY 2004-05 and this was sold during the thrid quarter. In view of this sales, separate segmented results are not given and the company has only one segment that is ''Confectionery.''

xviii) Contributed Equity

Equity shares are classified as equity.

Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.

i) Earnings per Share

Basic earnings per share is calculated by dividing:

- The profit attributable to owners of the Company

- By the weighted average number of equity shares outstanding during the financial year, adjusted for bonus elements in equity shares issued during the year.

xix) Diluted earnings per share

Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account:

- the after income tax effect of interest and other financing costs associated with dilutive potential equity shares, and

- the weighted average number of additional equity shares that would have been outstanding assuming the conversion of all dilutive potential equity shares.

ii) Dividends to shareholders

Annual dividend distribution to the shareholders is recognised as a liability in the period in which the dividends are approved by shareholders. Any interim dividend paid is recognised on approval by board of directors. Dividend payable and corresponding tax on dividend distribution is recognised directly in equity.

33. The identification of Micro, Small and Medium Enterprises is based on Management''s knowledge of their status. Disclosure of trade payables under other liabilities is based on information available with the Com.pany regarding >.i e status of the suppliers as defined under the Micro, Small and Medium Enterprises Development Act, 2006. The Company also has no outstanding dues in the current year that were required to be furnished under section 22 of Micro, Small and Medium Enterprises Development Act, 2006.

34. Previous year''s figures have been regrouped whenever considered necessary to confirm with the current year presentation.

As per our report of even date For and on behalf of the Board of Directors

For Anil A. Masand & Co Harshavardhan Doshi Nihal Doshi

Chartered Accountants Chairman & Managing Director Executive Director & CFO

FRN:100412W DIN: 00688736 DIN:00246749

Anil A. Masand Ritu Arjun Gianani

PROPRIETOR Company Secretary and Compliance Officer

Membership No.: 037245 Membership No. A59770

Mumbai, Dated: May 30, 2024 Mumbai, Dated: May 30, 2024

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Mar 31, 2023

xv) Provisions and Contingent Liabilities

A provision is recognised when the Company has a present obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation in respect of which a reliable estimate can be made. Provisions (excluding retirement benefits) are determined based on the best estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current best estimates.

Contingent liabilities are disclosed in respect of possible obligations that arise from past events, whose existence would be confirmed upon the occurrence or non occurrence of one or more uncetain furture events not wholly within the control of the Company.

xvi) Employee Benefits Short-term obligations

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly within 12 months after the end of the period in which the employees render the related service are recognised in respect of employees'' services up to the end of the reporting period and are measured at the amounts expected to be paid when the liabilities are settled.

Gratuity obligations

In respect of Post employment benefits viz. Gratuity, the Company has a master policy with LIC under Group Gratuity Scheme for its employees. The company provides / contributes to LIC Group Gratuity Scheme for future payments of retirement gratuity to the employees as determined by Management.

xvii) Segment reporting

Earlier the company had two reportable segments in the form of sugar and confectionery. But the sugar factory was not opearting since FY 2013-14. It was subsequently sold in September 2019. Similary the candy sugar plant has not been in operation since FY 2004-05 and this was sold during the thrid quarter. In view of this sales, separate segmented results are not given and the company has only one segment that is ''Confectionery.''

xviii) Contributed Equity

Equity shares are classified as equity.

Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction, net of tax, from the proceeds.

i) Earnings per Share

Basic earnings per share is calculated by dividing:

- The profit attributable to owners of the Company

- By the weighted average number of equity shares outstanding during the financial year, adjusted for bonus elements in equity shares issued during the year.

xix) Diluted earnings per share

Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account:

- the after income tax effect of interest and other financing costs associated with dilutive potential equity shares, and

- the weighted average number of additional equity shares that would have been outstanding assuming the conversion of all dilutive potential equity shares.

ii) Dividends to shareholders

Annual dividend distribution to the shareholders is recognised as a liability in the period in which the dividends are approved by shareholders. Any interim dividend paid is recognised on approval by board of directors. Dividend payable and corresponding tax on dividend distribution is recognised directly in equity.

24.1 EMPLOYEE BENEFITS

i) Short Term Employee Benefits.

All employee benefits payable wholly within twelve months of rendering the service are classified as short term employee benefits. Benefits such as salaries, wages, short terms compensated absences, etc., and the expected cost of bonus, ex-gratia are recognised in the period in which the employee renders the related service.

Contributions to provident fund and ESIC

Contribution to Defined Contribution Plans, recognised as expense for the year is as under:

ii) Defined Benefit Plan and long term employee benefits.

Gratuity: The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on death or resignation or retirement at 15 days [last drawn salary] for each completed year of service. The scheme is funded with an insurance company in the form of a qualifying insurance policy.

Leave Wages: The leave wages are not payable any employees at the of any accumulated leave on death or on resignation or upon retirement on attending superannuation age hence the provision for leave encashment is not made in the books of accounts and the previous year provision has been reversed in the books of accounts as liability no longer payable.

The employees'' gratuity fund scheme managed by Life Insurance Corporation of India is a defined benefit plan. The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method, which recognizes each period of service giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. No further provision is made for Gratuity in current financial year. The obligation for leave encashment is recognized in the same manner as gratuity.

32. The identification of Micro, Small and Medium Enterprises is based on Management''s knowledge of their status. Disclosure of trade payables under other liabilities is based on information available with the Company regarding i.e. status of the suppliers as defined under the Micro, Small and Medium Enterprises Development Act, 2006. The Company also has no outstanding dues in the current year that were required to be furnished under section 22 of Micro, Small and Medium Enterprises Development Act, 2006.

33. Previous year''s figures have been regrouped whenever considered necessary to confirm with the current year presentation.

As per our report of even date For and on behalf of the Board of Directors

For Anil A. Masand & Co Harshavardhan B. doshi Nihal doshi

Chartered Accountants Chairman & Managing Director Executive Director & CFO

FRN:100412W Din:00688736 Din:00246749

Anil A. Masand Ritu Arjun Gianani

PROPRIETOR Company Secretary and Compliance Officer

Membership No.: 037245 Membership No. A59770

Mumbai, dated: May 22, 2023 Mumbai, dated: May 22, 2023

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Mar 31, 2016

1 Term loan from Banks : The Term loan from Dena Bank is secured by the hypothecation of the finished goods, raw material stocks and other assets; and residual charge on other fixed assets of the company. Carries interest @ 12.55% p.a. The term loan from HDFC Bank is secured by the equitable mortgage of Office Property and carries interest @ 12.05% p.a. The loan is repayable in monthly installments from January, 2011 to October 2019.

2 Term loan from State Government is secured against Bank Guarantee and further secured by residual charge on fixed assets.

3 The total amount outstanding from SICOM is Rs 149.35 Lacs out of which Rs 41.66 Lacs is repayable from April 2016 to March 2017 and the balance amount is to be repaid within 5 years from the date of completion of the assessment of the relevant years

4 Working Capital borrowings from the banks are secured by way of joint hypothecation of inventory including stock of sugar, confectionery and other items and second charge by way of equitable mortgage of company''s immovable property situated at factory

5 Inter Corporate Deposits bears interest between 11% p.a.

6 Cane, Transport and Harvesters advances and liabilities, Debtors and Creditors balances are subject to confirmation and reconciliation.

7 As per the accounting practice followed by the Company, excise duty is accounted for at the point of Sales / transfer of goods.

8 In the opinion of the Board, current assets, loans and advances have a value on realization in the ordinary course of the business at least equal to the amount at which they are stated.

9 AS 15 - Employee benefits:

a The present value of accrued Gratuity liability as determined by an Actuary as at 31 March 2016 was Rs. 284.50 lacs (Previous year Rs. 320.35 lacs).

The balance lying in the contributory fund with the Life Insurance Corporation of India (LIC) as at 31 March 2016 is Rs. 1.10 lacs (Previous Year Rs. 1.02 lacs).

The net liability of Rs.283.40 lacs as at year end (Previous Year Rs.319.33 lacs) has not been recognized in the Accounts as required under the Accounting Standard - 15 i.e. Employee Benefits, notified by Companies (Accounts) Rules, 2014.

Consequently as against the charge to the profit and loss account of Rs. Nil (Previous Year Rs. Nil Lacs), the expense determined by the Actuarial Valuation is Rs. (17.20) Lacs (Previous Year Rs. 17.89 lacs).

However the Company expects to meet this liability in due course with enhanced funding of the Contribution to L.I.C. or upon actual payment to employees as has been done in earlier years.

b Subject to above, however the disclosure required under AS 15 "Employee Benefits" notified in the Companies (Accounts) Rules 2014, are given below:

I General description :

a Gratuity : The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of services gets a gratuity on death or resignation or retirement at 15 days salary (last drawn) for each completed year of service. The scheme is funded with Insurance Company in the form of qualifying insurance policy.

b Leave Wages : The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement on attaining superannuation age.

II Defined Benefit Plan :

The employees'' Gratuity Fund scheme managed by a Trust is a defined benefit plan.

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit to build up

The obligation for leave encashment is recognized in the same manner as gratuity.

10 Related Party Disclosures:

A. Associate Companies Lanica Financial Services Limited Associate Company

Carina Finvest Limited Associate Company

Acrow India Limited Associate Company

Leela Bharat Foundation Associate Company

B. Key Management Personnel Mr. Harshavardhan B Doshi Chairman & Managing Director

Mr. Nihal H Doshi Executive Director

C. Relative of Key managerial Mrs. Lamya H Doshi Spouse of Chairman & Managing Director ^personnel Miss Carina H Doshi Daughter of Chairman & Managing Director

11 Lease Rentals:

a) Future lease rentals payable within one year in respect of premises taken on lease Rs. Nil Lacs.

(Previous Year Rs. Nil Lacs)

b) Rent includes payment of lease rent in respect of premises of Rs. Nil Lacs.(Previous Year Rs. Nil Lacs)

c) General Description of Lease Terms:

Lease rentals are recognized on the basis of agreed terms. Assets are taken on lease for a period of 12/ 33/ 60 months

12 Due to economic constraints, lack of availability of harvesting labour, coupled with declaration of drought in the state of Maharashtra, the Company did not run sugar manufacturing operations during the financial year. However, the Company is of the view that this is a temporary situation, which is liklely to turnaround shortly. Based on this, it is felt that the going concern assumption is not affected and, hence, the accounts have been prepared accordingly.

13 As per Sec.74 of the Companies Act 2013 which has come into force with effect from 01.04.2014, deposits accepted from public before commencement of this Act, remain unpaid or become due at any time thereafter the same has to be repaid within one year or date on which it is due whichever is earlier. The Company had approached the Company Law Board seeking extension of time for repayment of deposit and the Company Law Board vide it''s order no. CA. No. 09/2015 dated 07.04.2016 has approved the company''s request for the time extension and directed the Company to pay the deposits with agreed interest to all Fixed Deposit holders as per the date of maturity.

14 The Central Government in consultation with National Advisory Committee on Accounting Standards has amended Companies (Accounting Standards) Rules, 2006 (''principal rules’), vide notification issued by Ministry of Corporate Affairs dated March 30, 2016, The Companies (Accounting Standards) Rules, 2016 is effective March 30, 2016.

The Company believes, that the Rule 3(2) of the principal rules has not been withdrawn or replaced and accordingly, the Companies (Accounting Standards) Rule, 2016 will apply for the accounting periods commencing on or after March 30, 2016.

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Mar 31, 2015

1.Terms Rights attached to equity shares

The Company has only one class of equity shares having a par value of Rs.50 per share. Each holder of equity share 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 holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the no. of equity shares held by the shareholder.

i. Term loan from Bank The Term loan from Dena Bank is secured by the hypothecation of the finished goods, raw material stocks and other assets; and residual charge on other fixed assets of the company. Carries interets @ 12.55% p.a. The term loan from HDFC Bank is secured by the equitable mortgage of Office Property and carries interest @ 12.75% p.a. The loan is repayable in monthly installments from January, 2011 to November 2019.

ii. Term loan from State Government is secured against Bank Guarantee and further secured by residual charge on fixed assets.

iii. The total amount outstanding from SICOM is Rs. 185.36 Lacs out of which Rs. 36.01 Lacs is repayable from April 2015 to March 2016 and the balance amount is to be repaid within 5 years from the date of completion of the assessment of the relevant years

vi. Working Capital borrowings from the banks are secured by way of joint hypothecation of inventory including stock of sugar, confectionary and other items and second charge by way of equitable mortgage of company's immovable property situated at factory

v. Inter Corporate Deposit bears interest between 11 % and 14% p.a.

vi. There is no amount due and outstanding to be credited to the Investor Education and Protection Fund.

vii. Includes Security deposit of Rs. 15.00 Lacs (Previous Year Rs. 15.00 Lacs) given to companies in which directors are interested against lease of premises.

2. Contingent Liabilities Rs. In lacs

Current Previous Year Year

a Guarantees given by Banks 45.97 45.97

b Sales Tax/Other Liability for the years 1995-99 not acknowledged as debt. 60.90 60.90

(Cane Purchase Tax)

c Electricity Duty on own Generation 76.33 76.33

d Income Tax Demands in appeal - 25.73

e Construction House Employees Union's workmen wage demands against the order of industiral Un Un tribunal - Mumbai ascertained ascertained

f Provident Fund on Contract Labour 140.00 140.00

3. Cane, Transport and Harvesters advances and liabilities, Debtors and Creditors balances are subject to confirmation and reconciliation.

4. As per the accounting practice followed by the Company, excise duty is accounted for at the point of Sales / transfer of goods.

5. In the opinion of the board, current assets, loans and advances have a value on realisation in the ordinary course of the business at least equal to the amount at which they are stated.

6. AS 15 - Employee benefits:

a The present value of accrued Gratuity liability as determined by an Actuary as at 31 March 2015 was Rs. 320.35 lacs (Previous year Rs. 541.46 lacs).

The balance lying in the contributory fund with the Life Insurance Corporation of India (LIC) as at 31 March 2015 is Rs. 1.02 lacs (Previous Year Rs. 0.94 lacs).

The net liability of Rs. 319.33 lacs as at year end (Previous Year Rs. 540.52 lacs) has not been recognised in the Accounts as required under the Accounting Standard - 15 i.e. Employee Benefits, notified by Companies (Accounts) Rules, 2014.

Consuquently as against the charge to the profit and loss account of Rs. Nil (Previous Year Rs. Nil Lacs), the expense determined by the Actuarial Valuatiuon is Rs. 17.89 Lacs (Previous Year Rs. 73.20 lacs).

However the Company expcets to meet this liability in due course with enhanced funding of the Contribution to L.I.C. or upon actual payment to employees as has been done in earlier years

b Subject to above, however the disclosure required under AS 15 "Employee Benefits" notified in the Companies (Accounts) Rules 2014, are given below:

I General description:

a Gratuity : The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of services gets a gratuity on death or resignation or retirement at 15 days salary (last drawn) for each completed year of service. The scheme is funded with Insurance Company in the form of qualifying insurance policy, b Leave Wages : The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement on attaining superannuation age.

II Defined Benefit Plan :

The employees' Gratuity Fund scheme managed by a Trust is a defined beneift plan.

The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit to build up

The obligation for leave encashment is recognized in the same manner as gratuity.

7. Segment Reporting:

a The Company has disclosed Business segment as the primary segment. Segments have been identified taking into account the nature of the products, the differing risks and returns, the organisation structure and internal reporting system.

b The Company's operation predominantly relate to manufacture of Sugar and Confectionery.

C The Company mainly caters to the needs of the domestic market. As such there are no reportable geographical segments.

d Inter Segment Transfer Pricing Policy : The Sugar supplied to Candy & Confectionery division and Bura supplied to Confectionery division is based on market price. All other Inter Segment transfers are at cost.

8. Lease Rentals:

a) Future lease rentals payable within one year in respect of premises taken on lease Rs. Nil Lacs. (Previous Year Rs. Nil Lacs)

b) Rent includes payment of lease rent in respect of premises of Rs. Nil Lacs.(Previous Year Rs. 13.48 Lacs)

c) General Description of Lease Terms:

Lease rentals are recognised on the basis of agreed terms. Assets are taken on lease for a period of 12/ 33/ 60 months

9. The Company is in the advanced stages of selling its non core assets like land banks, buildings etc., which will absorb all losses and make it's net worth positive. Accordingly the accounts have been prepared on the basis of going concern assumption.

10. As per Sec.74 of the Companies Act 2013 which has come into force with effect from 01.04.2014, deposits accepted form public before commencement of this Act, remain unpaid or become due at any time thereafter the same has to be repaid within one year or date on which it is due whichever is earlier. The Company has approached the Company Law Board seeking extension of time for repayment of deposit and the Company Law Board vide it's order no. CA. No. 09/2015 dtaed 07.04.2015 has approved the company's request for the time extension and directed the Company to pay the deposits with agreed interest to all Fixed Deposit holders as per the date of maturity.

11. Current period figures are of twelve months as compared to eighteen months for the previous period, hence are not comparable.

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Mar 31, 2014

1 Contingent Liabilities

Current Period Previous Period (Rs. in lacs) (Rs. in lacs)

a Guarantees given by Banks 45.97 45.97

b Sales Tax / Other Liability for the years 1995-1999 not 60.90 60.90 acknowledged as debt (Cane Purchase Tax)

c Show Cause notices cum demand for Excise Duty - 136.36

d Electricity Duty on own Generation 76.33 76.33

e Income Tax Demands in appeal 25.73 25.73

f Construction House Employees Union''s workmen wage demands against the order of industiral tribunal - Mumbai Unascertained Unascertained

g Provident Fund on contract labour 140.00 -

2 Cane, Transport and Harvesters advances and liabilities , Debtors and Creditors balances are subject to confirmation and reconciliation.

3 As per the accounting practice followed by the Company, excise duty is accounted for at the point of Sales / transfer of goods.

4 In the opinion of the board, current assets, loans and advances have a value on realisation in the ordinary course of the business at least equal to the amount at which they are stated.

5 AS 15 - Employee benefits:

a. The present value of accrued Gratuity liability as determined by an Actuary as at 31March 2014 was Rs.541.46 lacs (Previous year Rs. 565.11 lacs).

The balance lying in the contributory fund with the Life Insurance Cooporation of India (LIC) as at 31 March 2014 is Rs. 0.94 lacs (Previous Year Rs. 2.56 lacs).

The net liability of Rs.540.52 lacs as at year end (Previous Year Rs. 562.55 lacs) has not been recognised in the Accounts as required under the Accounting Standard - 15 i.e. Employee Benefits, notified by Companies Accounting Standards Rules, 2006.

Consuquently as against the charge to the profit and loss account of Rs. Nil (Previous Year Rs. Nil Lacs), the expense determined by the Actuarial Valuation is Rs. 73.20 Lacs (Previous Year Rs. 139.62 lacs).

However the Company expects to meet this liability in due course with enhanced funding of the Contribution to L.I.C. or upon actual payment to employees as has been done in earlier years.

b Subject to above, however the disclosure required under AS 15 ''Employee Benefits'' notified in the Companies (Accounting Standard) Rules 2006, are given below:

I. General description :

(i) Gratuity : The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of services gets a gratuity on death or resignation or retirement at 15 days salary (last drawn) for each completed year of service. The scheme is funded with Insurance Company in the form of qualifying insurance policy. (ii) Leave Wages : The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement on attaining superannuation age.

II. Defined Benefit Plan :

The employees'' Gratuity Fund scheme managed by a Trust is a defined beneift plan. The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

6 Segment Reporting:

a The Company has disclosed Business segment as the primary segment. Segments have been identified taking into account the nature of the products, the differing risks and returns, the organisation structure and internal reporting system.

b The Company''s operation predominantly relate to manufacture of Sugar and Confectionery.

c The Company mainly caters to the needs of the domestic market. As such there are no reportable geographical segments.

d Inter Segment Transfer Pricing Policy : The Sugar supplied to Candy & Confectionery division and Bura supplied to Confectionery division is based on market price. All other Inter Segment transfers are at cost.

7 Lease Rentals:

a) Future lease rentals payable within one year in respect of premises taken on lease Rs.Nil Lacs. (Previous Year Rs. 13.48 Lacs)

b) Rent includes payment of lease rent in respect of premises of Rs.13.48 Lacs.(Previous Year Rs. 30.32 Lacs)

c) General Description of Lease Terms:

Lease rentals are recognised on the basis of agreed terms Assets are taken on lease for a period of 12/ 33/ 60 months

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Sep 30, 2012

1.1 Term loan from Bank

The term loan from Dena Bank is secured by the hypothecation of the Harvesting Machines / Tractors Trolleys / Metallic Bullock Carts and other assets and residual charge on other fixed assets of the company. Repayable in equal quaterly installment from July, 2012 to September, 2014. Average rate of borrowing for the period is 13 % pa.

The term loan from HDFC Bank is secured by the equitable mortgage of Office Property and carries interest @ 12.55 % p.a. the loan is repayable in monthly installments from January, 2011 to November, 2019.

1.2 Term loan from Financial Institutions.

The term loan from Urban Sugar Development Fund for modernisation of Sugar Mill is secured by way of hypotecation of all movable properties of the company, including plant and machinery, spares, tools and accessories.

Term loan from State Government is secured against Bank Guarantee and further secured by residual charge on fixed assets.

1.3 The total amount outstanding from SICOM is Rs. 217.66 Lacs out of which Rs.36.42 lacs is repayable from April 2011 to April 2014 and the balance amount to be repaid within 5 years from the date of completion of the assessment of the relevant years.

2.1 Working Capital borrowings from the banks are secured by way of joint hypothecation of inventory including stock of sugar, confectionary and other items and second charge by way of equitable mortgage of company's immovable property situated at factory.

2.2 Inter Corporate Deposit bears interest at 11% p.a.

3 Contingent Liabilities

Current Period Previous Year Rs. Lacs Rs. Lacs

a Guarantees given by Banks 45.97 45.97

b Sales Tax / Other Liability for the years 1995-1999 not 60.90 60.90 acknowledged as debt. (Cane Purchase Tax)

c Show Cause notices cum demand for Excise Duty 136.36 136.36

d Electricity Duty on own Generation 76.33 76.33

e Income Tax Demands in appeal 25.73 25.73

f Construction House Employees Union's workmen wage demands

4 Cane, Transport and Harvesters advances and liabilities , Debtors and Creditors balances are subject to confirmation and reconciliation.

5 As per the accounting practice followed by the Company, excise duty is accounted for at the point of Sales / transfer of goods.

6 In the opinion of the board, current assets, loans and advances have a value on realisation in the ordinary course of the business at least equal to the amount at which they are stated.

7 AS 15 - Employee benefits:

a. The present value of accrued Gratuity liability as determined by an Actuary as at 30th September 2012 was Rs.565.11 lacs (Previous year Rs. 485.24 lacs). The balance lying in thecontributory fund with the Life Insurance Cooporation of India (LIC) as at 30th September 2012 is Rs. 2.56 lacs (Previous Year Rs. 62.31 lacs). The net liability of Rs.528.55 lacs as at year end (Previous Year Rs. 388.93 lacs) has not been recognised in the Accounts as equired under the Accounting Standard - 15 i.e. Employee Benefits, notified by Companies Accounting Standards Rules. 2006. Consuquently as against the charge to the profit and loss account of Rs. Nil (Previous Year Rs. 34 Lacs), the expense determined by the Actuarial Valuatiuon is Rs. 139.62 Lacs(Previous Year Rs. 84.72 lacs). However the Company expeets to meet this liability in due course with enhanced funding of the Contribution to L.I.C. or upon actual payment to employees as has been done in earlier years.

b Subject to above, however the disclosure required under AS 15 "Employee Benefits" notified in the Companies (Accounting Standard) Rules 2006, are given below:

I. Genera] description :

(i) Gratuity : The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of services gets a gratuity on death or resignation or retirement at 15 days salary (last drawn) for each completed year of service. The scheme is funded with Insurance Company in the form of qualifying insurance policy. (ii) Leave Wages : The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement on attaining superannuation age.

II. Defined Benefit Plan :

The employees' Gratuity Fund scheme managed by a Trust is a defined beneift plan. The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

8 Segment Reporting:

a The Company has disclosed Business segment as the primary segment. Segments have been identified taking into account the nature of the products, the differing risks and returns, the organisation structure and internal reporting system.

b The Company's operation predominantly relate to manufacture of Sugar and Confectionery.

c The Company mainly caters to the needs of the domestic market. As such there are no reportable geographical segments.

d Inter Segment Transfer Pricing Policy : The Sugar supplied to Candy & Confectionery division and Bura supplied to Confectionery division is based on market price. All other Inter Segment transfers are at cost.

9 Lease Rentals:

a) Future lease rentals payable within one year in respect of premises taken on lease Rs. 12.00 Lacs. (Previous Year Rs. 24.93 Lacs)

b) Rent includes payment of lease rent in respect of premises of Rs.30.32 Lacs.(Previous Year Rs. 24.93 Lacs)

c) General Description of Lease Terms:

Lease rentals are recognised on the basis of agreed terms Assets are taken on lease for a period of 12/ 33/ 60 months.

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Mar 31, 2011

Current Previous Year Year Rs. Lacs Rs. Lacs

1 CONTINGENT LIABILITIES:

a. Guarantees given by Banks 45.97 45.97

b. Sales Tax/ Other liability for the years 1995-1999 not 60.92 60.92 acknowledged as debt

c. Cane purchase Tax Nil Nil

d. Show cause notices cum demand for Excise Duty 136.36 138.07

e. Electricity Duty on own Generation 76.33 76.33

f. Income Tax demands in appeal 25.73 25.08

g. Construction House Employees Union's workmen wage Unascertained Unascertained demands against the order of industrial tribunal-Mumbai.

2 There are no dues to micro and small enterprises as at 31st March 2011. This information as required to be disclosed under the Micro, Small and Medium Enterprises Development Act, 2006 has been determined to the extent such parties have been identified on the basis of information available with the company.

3 The total loan amount outstanding from Sicom (Sales Tax Deferment Loan) is Rs. 254.57 Lacs out of which Rs. 93.80 lacs is repayable from April 2011 to April 2014 and the balance amount to be repaid within 5 years from the date of completion of the assessment of the relevant years.

4 Cane, Transport and Harvesters advances and liabilities, Debtors and Creditors balances are subject to confirmation and reconciliation.

5 As per the accounting practice followed by the Company, excise duty is accounted for at the point of Sales/Transfer of goods and no Excise Duty is provided for in respect of the Finished Goods not sold or transferred. The estimated excise duty on closing stock of finished goods, as at 31st March 2011 as per prevailing rates is Rs 164.64 Lacs (Previous Year Rs.17.70 lacs). However, this will have no impact on the profit for the year.

6 in the opinion of the board, current assets, loans and advances have a value on realisation in the ordinary course of the business at least equal to the amount at which they are stated.

7 AS 15- Employee benefits :

a) The present value of accrued Gratuity liability as determined by an Actuary as at 31st March 2011 was Rs.485.24 lacs (Previous Year Rs.444.16 lacs ).The balance lying in the contributory fund with the Life Insurance Corporation of India (LIC) as at 31st March 2011 is Rs.62.31 lacs (Previous year Rs.32.16 lacs).The net liability of Rs.388.93 lacs as at year end (previous year Rs,337.00 lacs ) has not been recognised in the Accounts as required under the Accounting Standard -15 i.e. Employee Benefits,, notified by Companies Accounting Standards Rules, 2006. Consequently as against the charge to the profit and loss account of Rs.34.00 lacs (Previous year Rs.75.00 lacs), the expense determined by the Actuarial Valuation is Rs.84.72 lacs (previous year credit Rs.79.73 lacs) However the Company expects to meet this liability in due course with enhanced funding of the Contribution to L.I.C. or upon actual payment to employees as has been done in earlier years.

b) Subject to above, however the disclosure required under AS 15 "Employee Benefits" notified in the Companies (Accounting Standard) Rules 2006, are given below:

I. General description :

(i) Gratuity : The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on death or resignation or retirement at 15 days salary (last drawn) for each completed year of service. The Scheme is funded with Insurance Company in the form of qualifying insurance policy.

(ii) Leave Wages : The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement on attaining superannuation age.

II. Defined Benefit plan :

The employees' Gratuity Fund scheme managed by a Trust is a defined benefit plan. The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build, up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

8 Related Party Disclosures:

Name of the Related Party Nature of Relationship

A Associate Companies Lanica Financial Services Pvt. Ltd. Associate Company

Carina Finvest Ltd. Associate Company

Acrow India Ltd. Associate Company

B Key Management Mr. Harshavatdhan B. Doshi Chairman & Managing Personnel Director

Mr Nihal H Doshi Executive Director w.e.f 1 st Jan 2011

C Relative of key Mrs. Lamya H Doshi Spouse of Chairman & Managing Director managerial personnel Miss Carina H Doshi Daughter of Chairman & Managing Director

9 Lease Rentals:

a) Future lease rentals payable within one year in respect of premises taken on lease Rs 24.93 Lacs. (Previous Year Rs.27.29 Lacs)

b) Rent includes payment of lease rent in respect of premises of Rs 24.93 Lacs. (Previous Year Rs.27.29 Lacs)

c) General Description of Lease Terms:

Lease rentals are recognised on the basis of agreed terms. Assets are taken on lease for a period of 12 / 33 / 60 months.

10 Additional information pursuant to the provisions of paragraphs 3, 4C & 4D of Part II of Schedule VI of the Companies Act, 1956 as certified by the Managing Director.

a) Net of Internal Transfer of 2010 M.T. (Previous Year 1344 M.T.)

b) Confectionery turnover including samples % damages Nil M.T. (Previous year Nil M.T.)

c) Excise Duty on closing stock Rs. 164.64 lacs (Previous Year Rs. 17.70 lacs) not considered.

d) Turnover shown are net of Excise duty.

e) Previous year figures are shown in brackets.

11 Previous Year figures have been regrouped / rearranged wherever necessary so as to conform to Current Year's grouping.

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Mar 31, 2010

1. Current Year Previous Year

Rs. Lacs Rs. Lacs

1 CONTINGENT LIABILITIES:

a. Guarantees given by Banks 45.97 44.97

b. Sales Tax / Other liability for the years 1995-1999 not

acknowledged as debt 60.92 60.92

c. Show cause notices cum demand for Excise Duty 138.07 143.05

d. Electricity Duty on own Generation 76.33 109.29

e. Construction House Employees Unions workmen

wage demands against the order of industrial Unascertained Unascertained

tribunal-Mumbai.

2 The purchases of Sugarcane during the year has been accounted as per sugarcane price policy announced by the Company from time to time and the estimate of the same as at the Balance sheet date is considered adequate.

3 There are no dues to micro and small enterprises as at 31 st March 2010. This information as required to be disclosed under the Micro, Small and Medium Enterprises Development Act, 2006 has been determined to the extent such parties have been identified on the basis of information available with the company.

4 The total loan amount outstanding from Sicom (Sales Tax Deferment Loan) is Rs. 294.95 Lacs out of which 134.17 lacs is repayable from April 2010 to April 2014 and the balance amount to be repaid within 5 years from the date of completion of the assessment of the relevant years.

5 Cane, Transport and Harvesters advances and liabilities, Debtors and Creditors balances are subject to confirmation and reconciliation.

6 As per the accounting practice followed by the Company, excise duty is accounted for at the point of Sales/Transfer of goods and no Excise Duty is provided for in respect of the Finished Goods not sold or transferred. The estimated excise duty on closing stock of finished goods, as at 31 st March 2010 as per prevailing rates is Rs 17.70 Lacs (Previous Year Rs. 184.60 lacs). However, this will have no impact on the profit for the year.

7 In the opinion of the board, current assets, loans and advances have a value on realisation in the ordinary course of the business at least equal to the amount at which they are stated.

8 AS 15-Employee benefits :

a) The present value of accrued Gratuity liability as determined by an Actuary as at 31st March 2010 was Rs.444.16 lacs (Previous Year Rs.406.70 lacs ).As against this amount of Rs.75 lacs has been provided as at that date.The balance lying in the contributory fund with the Life Insurance Corporation of India (LIC) as at 31st March 2010 is Rs. 32.16 lacs (Previous year 10.90 lacs ).The net liability of Rs. 337.00 lacs as at year end (previous year Rs.330.80 lacs) has not been recognised in the Accounts as required underthe Accounting Standard -15 i.e. Employee Benefits, issued by the Institute of Chartered Accountants of India. Consequently as against the charge to the profit and loss account of Rs.75 lacs (representing contributions to / provisions for the fund), the expense determined by the Actuarial Valuation is Rs. 79.73 lacs (previous year credit Rs 107.69 lacs) However the Company expects to meet this liability in due course with enhanced funding of the Contribution to L.I.C. or upon actual payment to employees as has been done in earlier years.

b) Subject to above, however the disclosure required under AS 15 "Employee Benefits" notified in the Companies (Accounting Standard) Rules 2006, are given below:

I. General description:

(i) Gratuity :

The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a gratuity on death or resignation or retirement at 15 days salary (last drawn) for each completed year of service. The Scheme is funded with Insurance Company in the form of qualifying insurance policy.

(ii) Leave Wages:

The leave wages are payable to all eligible employees at the rate of daily salary for each day of accumulated leave on death or on resignation or upon retirement on attaining superannuation age.

II. Defined Benefit plan :

The employees Gratuity Fund scheme managed by aTrust is a defined benefit plan. The present value of obligation is determined based on actuarial valuation using the Projected Unit Credit Method which recognizes each period of service as giving rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final obligation. The obligation for leave encashment is recognized in the same manner as gratuity.

9. Segment Reporting:

a) The Company has disclosed Business segment as the primary segment. Segments have been identified taking into account the nature of the products, the differing risks and returns, the organisation structure and internal reporting system.

b) The Companys operations predominantly relate to manufacture of Sugar and Confectionery.

c) The Company mainly caters to the needs of the domestic market. As such there are no reportable geographical Segments.

d) Inter Segment Transfer Pricing Policy: The Sugar supplied to Candy & Confectionery division and Bura supplied to Confectionery division is based on market price. All other Inter segment transfers are at cost.

10 Related Party Disclosures:

Related Party Discussion Name of the Related Party Nature of Relationship A) Associate Companies Lanica Financial Services Pvt. Ltd. Associate Company

Carina Finvest Ltd. Associate Company

Acrow India Ltd. Associate Company

B) Key Management Personnel Mr. Harshawardhan B. Doshi Chairman & Managing

Director

C) Relative of key managerial Mrs. Lamya H Doshi Spouse personnel Mr. Nihal H Doshi Son



11. a) Future lease rentals payable within one year in respect of premises taken on lease Rs 27.29 Lacs. (Previous Year Rs.41.40 Lacs)

b) Rent includes payment of lease rent in respect of premises of Rs 27.29 Lacs. (Previous Year Rs.34.20 Lacs)

c) General Description of Lease Terms:

Lease rentals are recognised on the basis of agreed terms. Assets are taken on lease for a period of 12 / 33 / 60 months.

12 Previous Year figures have been regrouped/rearranged wherever necessary so as to conform to Current Years grouping.