Dear Members,

The Directors are pleased to present the 2 4ln Annual Report of INDOTHAI SECURITIES LIMITED (the “Company”) along with the Audited Financial Statements for the financial year ended 31st March,2018.

- COMPANY OVERVIEW

Your Company has been offering services to corporate clients, high net worth individuals and retail investors since 1995. The Company is rendering broking and clearing services in the Capital & Derivatives Segments being a Member of National Stock Exchange of India Limited (“NSE”),BSE Limited (“BSE”) and Metropolitan Stock Exchange of India Limited (“MSEI”) and Depository Participant of Central Depository Services (India) Limited (“CDSL”). Considering our diversified base of customers and highly talented workforce, we are emerging as a growing Company in the field of Securities Market. Indo Thai Securities Limited is the flagship Company of ‘Indo Thai’ group, which has its Registered Office at Indore.

FINANCIAL HIGHLIGHTS

The financial performance of the Company for the financial year ended 31st March, 2018 is summarized below:

(Rs. in Lakhs)

PERFORMANCE REVIEW AND STATE OF COMPANY’S AFFAIRS

- Standalone Performance

The operating revenue (including sale of shares) was remarkable at Rs.5276.56 Lakhs as against Rs.4412.85 Lakhs in previous year. The profit for the year attributable to shareholders was Rs. 1155.66 Lakhs and Profit After Tax (‘PAT’) was Rs. 894.39 Lakhs. The Earning per Share (“EPS”) was at Rs. 8.94 for the financial year 2017-18

- Consolidated Performance

During the financial year under review, on a consolidated basis, the operating revenue (including sales of shares) was higher at Rs. 5306.56 Lakhs as against Rs. 4412.85 Lakhs (an increase of approx 20%). The profit for the year attributable to shareholders was Rs. 1138.24 Lakhs and Profit After Tax (‘PAT’) was Rs. 872.61 Lakhs.The Earning per Share was at Rs. 8.73 for the financial year 2017-18.

- FUTURE PROSPECTS

The Company is of the view that there is no space for stagnancy in this fast growing economy. Moreover, the Company deals in securities market, being one of the most fluctuating yet lucrative sector. Indo Thai Securities Limited has always believed that for the purpose of growth, diversification and expansion are must.

IndoThai Securities Limited, for the purpose of setting its hand in commodities market, has applied for transfer of Membership from Indo Thai Commodities Private Limited (the Associate Company of Indo Thai Securities Limited) in Multi Commodity Exchange of India (“MCX”)and National Commodity and Derivatives Exchange.

The Company is also engaging itself in market making of several Companies listed on SME Exchanges i.e.NSE Emerge and BSE SME. The Company is giving importance to margin trading facility for NSE clients.

Your Company has also registered itselfasaThird Party Distributor in NCD Broking, FDs.FMPs, Bonds,etc.

The Company is further exploring various fields to maintain and to escalate itself in the securities market.

- DIVIDEND

The Board of Directors in their meeting held on 26’* May, 2018 has recommended a final dividend @ 10% i.e. Re. 1/-per Equity Share of face value of Rs. 10/-each for the financial year 2017-18, aggregating to Rs. 1 Crore (excluding dividend distribution tax). The dividend payout is subject to approval of Members at the ensuing Annual General Meeting (“AGM”) of the Company.

TRANSFER TO RESERVES

During the year under review, no amount was transferred to General Reserve and profit available after assets write-off and provision for dividend and Dividend Distribution Tax has been carried forward to the Profit & Loss Statement.

- SUBSIDIARY/IES AND ASSOCIATE/S

Your Company has two Wholly Owned Subsidiary Companies i.e IndoThai Realties Limited and IndoThai Globe Fin (IFSC) Limited and one Associate Company i.e.IndoThai Commodities Private Limited.

Indo Thai Globe Fin (IFSC) Limited was incorporated on 20thFebruary,2017and has a paid-up share capital of Rs. 1,25,00,000/- (Rupees One Crore Twenty Five Lakhs only). Mr. Dhanpal Doshi, Mr. Sarthak Doshi and Mr. Sunil Kumar Soni are holding office as Directors in the Company.

Indo Thai Realties Limited was incorporated on 1st March, 2013 as a Wholly Owned Subsidiary Company of Indo Thai Securities Limited. Indo Thai Realties Limited has a paid - up share capital of Rs. 7,97,87,000/-(Rupees Seven Crores Ninety Seven Lakhs Eighty Seven Thousand only). Mr. Parasmal Doshi, Mr. Om Prakash Gauba, Mr. Mayur Rajendrabhai Parikh and Mr. Saurabh Oswal are holding office as Directors in the Company and Ms. Mayuri Jain was rendering her services as the Company Secretary of Indo Thai Realties Limited and has resigned from the post w.e.f. IS’“ July, 2018.

Indo Thai Commodities Private Limited is an Associate Company of Indo Thai Securities Limited, being incorporated on 21st November, 2003. Indo Thai Commodities Private Limited has a paid - up share capital of Rs. 1,85,80,000/- (Rupees One Crore Eighty Five Lakhs Eighty Thousand only). IndoThai Securities Limited has 40.05% Equity Shareholding in such Associate Company by investing Rs. 42,52,000/-(Rupees Forty Two Lakhs Fifty Two Thousand only). Mr. Parasmal Doshi, Mr. Dhanpal Doshi and Mr. Sarthak Doshi are holding office as Directors in the Company.

During the year, the Board of Directors reviewed the affairs of the subsidiaries. The Consolidated Financial Statements with subsidiaries were prepared as per provisions of Section 129(3) and other applicable provisions, if any, of the Companies Act, 2013 and rules made thereunder and in accordance with Accounting Standard 21 as issued by the Institute of Chartered Accountants of India,which have been furnished under Note No. 33 to the Consolidated Financial Statements andforms part of this Annual Report.

The Financial Statements of the Subsidiaries and Associate Company and related information are available for inspection by the Members at the Registered Office of your Company during business hours on all days except Saturdays and public holidays upto the date of the Annual General Meeting as required under Section 136 of the Companies Act, 2013. Any Member desirous of obtaining a copy of the said financial statements may request to the Company Secretary. The financial statements including financial statements of Subsidiaries and Associate Companies and all other documents required to be attached to this report have been uploaded on the website of your Company www.indothai.co.in.

The financial performance of Subsidiary Companies & Associate Company as included in the consolidated financial statements of your Company and is also set out in the prescribed format ‘Form No. AOC-1’ is appended as “Annexure-A” to this Board’s Report.

- DIRECTORS & KEYMANAGERIALPERSONNEL

The Board of Directors of your Company consists of the following Directors:

1. Mr.Parasmal Doshi (Chairman cum WTD cum CFO)

2. Mr.Dhanpal Doshi (Managing Director cum CEO)

3. Mr.Rajendra Bandi (Whole Time Director)

4. Mr.Om Prakash Gauba (Independent Director)

5. Mr.Sukrati Ranjan Solanki (Independent Director)

6. Mr.Sunil Kumar soni (Independent Director)

7. Mrs.Shobha Santosh (Independent Director) Choudhary

Your Company also consists of the following Key Managerial Personnel:

1. Mr.Deepak Sharma (Chief Financial Officer)

2. Mr.Udayan Abhilash Shukla (Company Secretary cum Compliance Officer)

In compliance with the provisions of Sections 149 and 152, read with Schedule IV and all other applicable provisions of the Companies Act, 2013 and the Companies (Appointment and Qualification of Directors) Rules, 2014 (including any statutory modification(s) or re-enactment thereof for the time being in force) and Regulation 17(1) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, Mr. Om Prakash Gauba, Mr. Sunil Kumar Soni, Mr. Sukrati Ranjan Solanki, and Mrs. Shobha Santosh Choudhary were appointed as the Non-Executive Independent Directors at the 20”‘ AGM of the Company held on 201’ September, 2014 to hold office for a term of 5 (Five) consecutive years from the date of 20’“ Annual General Meeting.

Mr. Deepak Sharma was appointed as Chief Financial Officer pursuant to provisions of Section 203 of Companies Act, 2013 and rules made thereunder w.e.f. 9”‘ May, 2014 as defined under Section 2(19) of Companies Act, 2013 and falls under definition of “Key Managerial Personnel” of the Company pursuant to Section 2(51) of CompaniesAct,2013.

Pursuant to provisions of Section 203 of Companies Act, 2013 and rules made thereunder and in adherence to Regulation 6(1) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,2015,Mr.Udayan Abhilash Shukla was appointed as the Company Secretary cum Compliance Officer of the Company in the Board Meeting held on Friday,20thJanuary,2017

- CHANGES IN DIRECTORS & KEY MANAGERIAL PERSONNEL

- Board of Directors

There have been no changes in Board of Directors of the Company during the year under review.

- Key Managerial Personnel

The Company observed no change in Key Managerial Personnel of the Company during the year under review.

- RETIREMENTBYROTATION

In accordance with the provisions of Section 152 of the Companies Act, 2013 and in terms of the Articles of Association of the Company, Mr. Rajendra Bandi (Whole Time Director) (DIN: 00051441) is liable to retire by rotation and being eligible, seeks re-appointment at the ensuing Annual General Meeting. Mr. Rajendra Bandi is not disqualified under Section 164(2) of the Companies Act, 2013. Board of Directors recommends his re-appointment in the best interest of the Company.

Brief resume of the Director proposed to be appointed/reappointed, nature of his experience in specific functions and area and number of listed companies in which he holds Membership/ Chairmanship of Board and Committees, shareholdings and inter-se relationships with other Directors as stipulated under Regulation 36(3) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 are provided in the Annexure to the Notice of AGM’ forming part of the Annual Report.

- FAMILIARISATION PROGRAMME FOR INDEPENDENT DIRECTORS

Independent Directors are familiarized with their roles, rights and responsibilities in the Company as well as with the nature of industry and business. The details of Familiarization Programme arranged for Independent Directors have been disclosed on the website of the Company and are available at the following link: http://www.indothai.co.in/wp-content/uploads/2018/07/Details-of-Familiarization-Proaramme 2017-18.pdf

- DECLARATION BYTHE INDEPENDENT DIRECTORS

The Company has received necessary declaration from each Independent Director under Section 149(7) of the Companies Act, 2013, that they meet the criteria of the independence laid down in Section 149(6) of the Companies Act, 2013 and Regulation 16(l)(b) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,2015.

- CODE OF CONDUCT FOR INDEPENDENT DIRECTORS

The Company has also placed the Code of Conduct for Independent Directors. This Code is a guide to professional conduct for Independent Directors. Adherence to these standards by Independent Directors and fulfillment of their responsibilities in a professional and faithful manner will promote confidence of the investment community, particularly minority shareholders, regulators and Companies in the institution of Independent Directors.

- ANNUAL EVALUATION

The Board of Directors has carried out an annual evaluation of Board Committees pursuant to the provisions of the Companies Act, 2013 and the corporate governance requirements as prescribed by the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,2015.

The performance of the Board was evaluated by the Nomination and Remuneration Committee after seeking inputs from all the Directors on the basis of criteria such as the Board composition and structure, effectiveness of Board processes, information and functioning, etc. as provided by the Guidance Note on Board Evaluation issued by the Securities and Exchange Board of India on 5thJanuary,2017.

The performance of the Committees was evaluated by the Board after seeking inputs from the Committee Members on the basis of criteria such as the composition of committees, effectiveness of committee meetings, etc.

The Nomination and Remuneration Committee reviewed the performance of individual Directors on the basis of criteria such as the contribution of the individual Director to the Board and Committee meetings like preparedness on the issues to be discussed, meaningful and constructive contribution and inputs in meetings,etc.

In a separate meeting of Independent Directors held on 12th March,2018, performance of Non-Independent Directors and the Board as a whole was evaluated.

- DIRECTORS’ RESPONSIBILITY STATEMENT

To the best of knowledge and belief and according to the information and explanations obtained by them, your Directors make the following statements in terms of Section 134(3)(c) of the Companies Act, 2013 that:

- in the preparation of the Annual Accounts for the year ended Sl^March,2018,the applicable Accounting Standards have been followed and there are no material departures for the same;

- the Directors have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company as on 31st March, 2018 and of the profits of the Company for the year ended on that date;

- the Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;

- the Directors have prepared the annual accounts on a going concern basis;

- the Directors have laid down internal financial controls to be followed by the Company and that such internal financial controls are adequate and operating effectively; and

- the Directors have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

- NUMBER OF MEETINGS OFTHE BOARD

5 (Five) meetings of the Board were held on the following dates during the financial year 2017-18:

I. Saturday, 6th May, 2017;

II. Thursday,3rd August,2017;

III. Thursday,14th September,2017;

IV. Wednesday 8th November 2017;

V. Wednesday,17th January,2018.

Details of such meetings are provided in the Corporate Governance Report, which forms part of this report.

The maximum interval between any two meetings did not exceed 120 days as prescribed in the Companies Act,2013.

- AUDITORS

- STATUTORYAUDITOR AND AUDITOR’S REPORT

Pursuant to the provisions of Section 139 of the Companies Act, 2013, M/s SPARK & Associates, Chartered Accountants, Indore (Firm Registration No. 005313C) were appointed as the Statutory Auditor of the Company at 22ri Annual General Meeting held on 24,t’September,2016 till the conclusion of 27°’AGM.

Pursuant to the notification issued by the Ministry of Corporate Affairs on 7th May 2018, amending Section 139 of Companies Act, 2013, the mandatory requirement for ratification of appointment of Auditors by the Members at every AGM has been omitted and hence your Company has not proposed ratification of the StatutoryAuditors.

The Report given by the Auditors on the financial statement of the Company is part of this Annual Report. The Audit Report does not contain any qualification, reservation, adverse remark or disclaimer.

- SECRETARIAL AUDITOR & SECRETARIAL AUDIT REPORT

Pursuant to the provisions of Section 204 of Companies Act, 2013 and rules made thereunder, the Board has appointed M/s Kaushal Ameta & Co., Company Secretary in Practice (holding Certificate of Practice bearing No. 9103), to undertake the SecretarialAudit of the Company.

The Secretarial Audit Report for the financial year ended 31st March,2018 is annexed herewith marked as “Annexure-B” in ‘Form No. MR-3’ and forms an integral part of this Report. No qualifications, reservations and adverse remarks were contained in the Secretarial Audit Report.

- REPORTING OF FRAUDS BYTHE AUDITORS

During the year under review, the Statutory Auditor and Secretarial Auditor have not reported any instances of frauds committed in the Company by its Officers or Employees to the Audit Committee under Section 143(12) of the Companies Act, 2013, details of which needs to be mentioned in the Board’s Report.

PUBLIC DEPOSITS

Your Company has not accepted any deposits from the public falling within the purview of Section 73 and 74 of the Companies Act, 2013 read together with the Companies (Acceptance of Deposits) Rules, 2014 and therefore, there was no principal or interest outstanding as on the date of the Balance Sheet.

- CODE OF CONDUCT

In compliance with Regulation 26(3) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, and the Companies Act, 2013 the Company has framed and adopted a Code of Conduct (the “Code”). The Code is applicable to the Members of the Board, the Senior Management, Officers and Employees of the Company. The Code is available on the following link: http://www.indothai.co.in/wp-content/u p loads/2018/06/Code-of-Conduct-for-Directors-and-Senior-Manaament-l.pdf

All the Members of the Board, the Senior Management, Officers and Employees have affirmed compliance to the Code as on 31s’ March, 2018. Declaration to this effect, signed by Managing Director cum CEO, forms part of the Annual Report.

- MANAGEMENT DISCUSSION AND ANALYSIS REPORT

Management Discussion and Analysis Report for the financial year 2017-18,as stipulated under Regulation 34(2)(e) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 is presented in a separate section forming part of this Annual Report, and gives detail of overall industry structure, developments performance and state of affairs of the Company’s operations during the year.

- INTERNAL FINANCIAL CONTROL

Your Company has put in place adequate internal financial controls with reference to the financial statements, some of which are outlined below:

Your Company has adopted accounting policies which are in line with the Accounting Standards prescribed in the Companies (Accounting Standards) Rules, 2006, that continue to apply under Section 133 and other applicable provisions, if any, of the Companies Act, 2013 read with Rule 7 of the Companies (Accounts) Rules, 2014, as amended from time to time.

Your Company has always believed that a system of strict internal control, including suitable monitoring procedures and transparency, is an important factor in the success and growth of any organization. It also ensures that financial and other records are reliable for preparing financial statements.

Internal Audit Reports and significant audit observations are brought to the attention of the Audit Committee of the Company. The internal controls existing in the Company are considered to be adequate vis-a-vis the business requirements.

Your Company ensures adequacy, commensurate with its current size and business, to ensure operational efficiency, protection and conservation of resources, accuracy and promptness in financial reporting and compliance of laws and regulations. It is supported by the internal audit process and will be enlarged to be adequate with the growth in the business activity.

For more details on internal financial control system and their adequacy kindly refer Management Discussion and Analysis Report.

- INTERNAL AUDITORS

Internal Audit for the financial year 2017-18 was conducted by M/s BDMV & Co., Chartered Accountants, Indore.The idea behind conducting Internal Audit is to examine that the Company is carrying out its operations effectively and performing the processes, procedures and functions as per the prescribed norms. The Internal Auditor reviewed the adequacy and efficiency of the key internal controls guided by the Audit Committee.

The Company has re-appointed M/s BDMV & Co., Chartered Accountants, Indore in the Board Meeting held on 26th May, 2018 in accordance with the circulars issued by Securities and Exchange Board of India for conducting an Internal Audit of Stock Broking and Depository Participant Operations, Regulatory Compliance Audit for the financial year 2018-19. The purpose of this Internal Audit is to examine that the processes and procedures followed and the operations carried out by the Company meet with the requirements prescribed by SEBI and Stock Exchange(s) for Depository Participant/Trading Members/Clearing Members.

- LISTINGS. DEPOSITORY FEE

The Company has paid Annual Listing Fee for the financial year 2018-19 to BSE Ltd. and National Stock Exchange of India Ltd. according to the prescribed norms & regulations.

Company has also paid Annual Custody Fee to National Securities Depository Limited and Issuer Fee to Central Depository Services (India) Limited for the financial year2018-19.

EXTRACTOFANNUALRETURN

The details forming part of extract of Annual Return in ‘Form No. MGT-9’, as required under Section 92(3) of the Companies Act, 2013 read with the Companies (Management and Administration) Rules 2014, is included in this Board’s Report as “Annexure-D” and forms an integral part of this report.

- PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS

The details of loans, guarantees and investments covered under the provisions of Section 186 of the Companies Act, 2013 and rules made thereunder are shown under Note No. 11 & 40 in the notes to the financial statements.

- RELATED PARTYTRANSACTIONS

There were no materially significant related party transactions which fall under the scope of Section 188(1) of the Companies Act, 2013 i.e. transactions of material nature, with its promoters,directors or senior management or their relatives etc., that may have potential conflict with the interest of the Company at large. Transactions entered with related parties, as defined under Section 2(76) of the Companies Act, 2013 and provisions of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015,during the financial year 2017-18 were mainly in the ordinary course of business and on an arm’s length basis.

Prior approval of the Audit Committee is obtained by the Company before entering into any related party transaction as per the applicable provisions of Companies Act, 2013 and Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. As per the provisions of Section 188 of the Companies Act, 2013, approval of the Board of Directors is also obtained for entering into related party transactions by the Company. A quarterly update is also given to the Audit Committee and the Board of Directors on the Related Party Transactions undertaken by the Company for their reviewand consideration.

During the year, your Company has not entered into any material contract,arrangement or transaction with related parties, as defined under Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 and Policy on Materiality of Related Party Transactions and Dealing with Related Party Transactions of the Company.The details with respect to the related party transactions are mentioned in the notes to the audited (standalone) financial statements.

There were no transactions during the year under review, that are required to be reported in Form AOC-2 and such Form AOC-2 is given as Annexure -C in this Board’s Report.

The Policy on Materiality of Related Party Transactions and Dealing with Related Party Transactions, as approved by the Board, is available on the Company’s website and may be accessed at: http://www.indothai.co.in/wp-content/uDloads/2018/06/Policv-on-Related-Partv-Transactions 06.05.2017.pdf

- RISK MANAGEMENT

Risk is an integral part of business and your Company is committed to managing the risks in a proactive and efficient manner. Your Company periodically assesses risks in the internal and external environment along with the cost of treating risks and incorporates risk treatment plans in its strategy, business and operational plans.

The Company’s operations are prone to general risks associated with economic conditions, change in Government regulations, tax regimes, other statutes, financial risks and capital market fluctuations.

Your Company has taken Brokers Indemnity Insurance Policy for Exchange(s) in order to cover the risk arising from operations. Additionally, the assets of the Company have also been insured under different kinds of separate policies i.e. Standard Fire and Special Perils Policy, Electronic Equipment Insurance, Vehicle Insurance Policy. Company has also taken Keyman Insurance Policy(ies) in order to avoid large negative impact on the Company’s operations due to sudden loss of Keyman of the Company.

The Board of Directors of the Company has formed a Risk Management Committee to frame, implement, and monitor the risk management plan for the Company. The Committee is responsible for reviewing the risk management plan and ensuring its effectiveness. The Audit Committee has additional oversight in the area of financial risks and controls. The major risks identified by the businesses and functions are systematically addressed through mitigating actions on a continual basis. Further risk factors are set out in Management Discussion and Analysis Report which is forming part of this Annual Report.

For the development and implementation of risk plan the Board has framed a Risk Management Policy which may be accessed on the Company’s website: http://www.indothai.co.in/wp-con tent/up loads/2018/06/Risk-Management-Policv 06.05.2017.Ddf

- CORPORATE SOCIAL RESPONSIBILITY (“CSR”) & CSR INITIATIVES

The Company has constituted Corporate Social Responsibility Committee under the Chairmanship of Mr. Parasmal Doshi, Whole Time Director cum Chief Financial Officer of the Company, in order to conduct and review Corporate Social Responsibilityactivities in a prudent manner.

The brief outline of the Corporate Social Responsibility policy of the Company, initiatives undertaken by the Company on CSR activities during the year and details regarding the CSR Committee are set out in “Annexure-E” of this report as “Annual Report on CSR Activities”.

Policy may be accessed on the Company’s website at the link:

http://www.indothai.co.in/wp-con ten t/up loads/2 018/06/Corpo rate-Soci a l-Responsibilitv-Policv.pdf

During the year the Company spent Rs. 7,00,300/-(Rupees Seven Lakhs Three Hundred only) on Corporate Social Responsibility activities.The amount required to be spent by the Company on Corporate Social Responsibility (CSR) related activities as specified in Schedule VII of the Companies Act, 2013 for the financial year 2018-19 is Rs.8,37,950/-(Rupees Eight Lakhs Thirty Seven Thousand Nine Hundred and Fifty only). The Company will utilize the aforementioned amount on CSR Activities in the year 2018-19.

-VIGIL MECHANISM POLICY / WHISTLE BLOWER POLICY

The Board has adopted Vigil Mechanism/Whistle Blower Policy pursuant to the provisions of Section 177(9) of the Companies Act, 2013 read with the Companies (Meetings of Board and its Powers) Rules, 2014 and Regulation 22 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The policy provides for a framework and process whereby concerns can be raised by its Employees and Directors to the management about unethical behavior, actual or suspected fraud or violation of the Code of conduct or legal or regulatory requirements incorrect or misrepresentation of any financial statements and have been outlined in Corporate Governance Report which forms part of this Annual Report. The policy provides for adequate safeguards against victimisation of employees and Directors of the Company.

The Vigil Mechanism/Whistle Blower Policy may be accessed on the Company’s website at the link: http://www.indothai.co.in/wp-con tent/up loads/2 018/06/Vi ail-Meehan ism-Policv 06.05.2017.Ddf.

- NOMINATION AND REMUNERATION POLICY

Pursuant to the provisions of Section 178 of the Companies Act, 2013 and in compliance of Regulation 19 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Company has formulated the Nomination and Remuneration Policy for Directors, Key Managerial Personnel and Employees of the Company in order to pay equitable remuneration to Directors, KMPs and other Employees of the Company. The composition of Nomination and Remuneration Committee has been given under Corporate Governance Report forming part of this Annual Report and Policy on Remuneration of Directors, Key Managerial Personnel and Other Employees’ has been stated in “Annexure-F” set out to be part of Board’s Report.

The policy may also be accessed on the Company’s website at the Link:

http://www.indothai.co.in/wp-content/uploads/2018/06/PoLicv-on-Remuneration-of-Directors-KMP-and-other-Ennplovees.pdf

- POLICY ON PRESERVATION OF DOCUMENTS AND RECORDS

Your Company has formulated a policy on Preservation of Documents and Records in accordance with Regulation 9 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Policy ensures that the Company complies with the applicable document retention laws, preservation of various statutory documents and also lays down minimum retention period for the documents and records in respect of which no retention period has been specified by any law/ rule/ regulation. The Policy also provides for the authority under which the disposal /destruction of documents and records after their minimum retention period can be carried out.

The said policy is available on the website of the Company at the link: http://www.indothai.co.in/wp-content/uploads/2018/06/Policv-for-Preservation-of-Docs.pdf

- POLICY ON DISCLOSURE OF MATERIAL EVENTS AND INFORMATION

Pursuant to Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Policy on Determination of Materiality has been adopted by the Board to determine the events and information which are material in nature and are required to be disclosed to the concerned Stock Exchanges.

The said policy is available on the website of the Company at the link: http://www.indothai.co.in/wp-content/uploads/2018/06/Policv-for-Determination-of-Materialitv06.05.2017.pdf

- MATERIALSUBSIDIARY

In accordance with the requirements of Regulation 16(l)(c) and Regulation 24 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Company has formulated a Policy for Determining Material Subsidiaries.

The same has been hosted on the website of the Company at the link: http://www.indothai.co.in/wp-content/uploads/2018/06/Policv-for-Materia i-Subsidiarv.pdf

- CODE OF CONDUCT FOR PROHIBITION OF INSIDER TRADING

Your Company has in place a Code of Conduct for Prohibition of Insider Trading, under SEBI (Prohibition of Insider Trading) Regulations, 2015, which lays down the process of trading in securities of the Company by the employees and connected persons and to regulate, monitor and report trading by such employees and connected persons of the Company either on his/her own behalf or on behalf of any other person, on the basis of unpublished price sensitive information. The Company reviews the policy on need basis.

The policy on Insider Trading is available on the website of the Company at the link: http://www.indothai.co.in/wp-content/uploads/2018/06/lnsider-Tradina-Policv ITSL 06.05.2017-Final.pdf

- CODE OF PRACTICES AND PROCEDURES FOR FAIR DISCLOSURE OF UNPUBLISHED PRICE SENSITIVE INFORMATION

Pursuant to Regulation 8(1) of Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, Company has a Code of Practices and Procedures for Fair Disclosure of Unpublished Price Sensitive Information, with a view to lay down practices and procedures for fair disclosure of unpublished price sensitive information that could impact price discovery in market for its securities.

The Code of Practices and Procedures for Fair Disclosure of Unpublished Price Sensitive Information is available on the website of the Company at the URL:

http://www.indothai.co.in/wp-content/uploads/2018/06/Code-of-Practices-and-Procedures-for-Fair-Disclosure-of-UPSI-06.05.2017-Final.pdf

- ARCHIVAL POLICY

The Company has formulated a policy for archival of its records under Regulation 9 of SEBI (Listing Obligations and Disclosure Requirements), 2015. The policy deals with the retention and archival of corporate records of IndoThai Securities Limited and all its subsidiaries. The policy provides guidelines for archiving of corporate records and documents as statutorily required by the Company.

The Archival Policy is available on the website of the Company at the link:

http://www.indothai.co.in/wp-content/uploads/2018/07/Archival-Policv 07112015.pdf

- PREVENTION OF SEXUAL HARASSMENT AT WORKPLACE

Your Company has zero tolerance policy in case of sexual harassment at workplace and is committed to provide a healthy environment to each and every employee of the Company. The Company has in place ‘Policy against Sexual Harassment of Women at Workplace’ in line with the requirements of Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013 (hereinafter referred as the “said Act”) and rules made there under. As per the provisions of Section 4 of the said Act, the Board of Directors has constituted the Internal Complaints Committee (“ICC”) at the Registered Office and at all the Regional Offices of the Company to deal with the complaints received by the Company pertaining to gender discrimination and sexual harassment at workplace.

During the year under review, there were no such incidents in relation to Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013.

Your Company has also organised workshops and awareness programmes at regular intervals for sensitising the employees with the provisions of the Act and orientation programmes for the Members of the ICC in the manner prescribed in the said Act.

The Policy against Sexual Harassment of Women at Workplace is available on the website of the Company at the link:

http://www.indothai.co.in/wp-content/up loads/2018/07/Policv-Aaa inst-Sexual-Harassment ITSLpdf

- AUDITCOMMITTEE

Your Company, pursuant to the provisions of Section 177 of the Companies Act, 2013 and Regulation 18 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, has formed the Audit Committee under the Chairmanship of Mr.Om Prakash Gauba.The composition of Audit Committee has been stated under Corporate Governance Report and forms an i nteg ra I pa rt of re port.

All recommendations made by the Audit Committee were accepted by the Board.The role of the Committee is to provide oversight of the financial reporting process, the audit process, the system of internal controls and compliance with laws. All possible measures are taken by the Committee to ensure the objectivity and independence of Independent Auditors.

-HUMAN RESOURCE

Your Company firmly believes that employees are the most valuable assets and key players of business success and sustained growth. Only with their participation we manage to achieve a healthy work culture, transparency in working, fair business practices and passion for efficiency. Thus, development of human resources at all levels is taken on priority to upgrade knowledge and skills of employees and sensitize them towards productivity, quality, cost reduction, safety and environment protection. The Company’s ultimate objective is to create a strong and consistent team of employees wherein each link in the resource chain is as strong as the other. In view of this, various employee benefits, recreational and team building programs are conducted to enhance employee skills, motivation as aIso to foster team spirit.

Your Company also conducts in-house training programs to develop leadership as well as functional capabilities in order to meet future talent requirements and to enhance business operations. Industrial relations were cordial throughout the year. To ensure that the employees are at their productive best, we continue to work on simplifying the internal processes through collaborative efforts with our workforce.

- MATERIALCHANGES

- Material Changes during the financial year 201718:

In Futures and Options Segment (F&O segment) of National Stock Exchange India Limited, the Company’s Clearing Member was changed to Edelweiss Custodial Services Limited.

- Material Changes after the end of financial year 2017-18:

The Company issued a Postal Ballot Notice dated 28IhApril,2018 forthe following businesses:

1. To increase the borrowing limits u/s 180(l)(c) of the Companies Act, 2013.

2. To create charge/mortgage etc. on Company’s movable or immovable properties in terms of Section 180(l)(a) of the Companies Act,2013.

3. To ratify increase in remuneration of Mr. Dhanpal Doshi, Managing Director cum CEO of the Company.

All the above resolutions were duly passed with requisite majority. The results for the same were declared on 16IhJune,2018 along with the Scrutinizer’s Report.

The Postal Ballot result is available on the website of the Company at the link: http://www.indothai.co.in/wp-content/uploads/2018/06/Postalballotresultsandscrutinizersreport.pdf

- PARTICULARS OF EMPLOYEE AND RELATED DISCLOSURES

The ratio of remuneration of each Director to the median of employees’ remuneration as per Section 197(12) of the Companies Act, 2013, read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 forms part of the Board’s Report under “Annexure-G”as Median Remuneration.

In terms of the provisions of Section 197(12) of the Act read with Rules 5(2) and 5(3) of the Companies (Appointment & Remuneration of Managerial Personnel) Rules, 2014, the list of the top 10 employees in terms of remuneration forms part of the Board’s Report under”Annexure-G”.

- CORPORATE GOVERNANCE

Your Company has been observing best corporate governance practices and benchmarking itself in line with each such practice on a continual basis. Your Company is committed for highest standard of Corporate Governance in adherence of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,2015. Pursuant to Regulation 34(3) read with Schedule V of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 with the Stock Exchanges, a Report on Corporate Governance forms an integral part of this annual report. A ‘Certificate’ from the M/s Kaushal Ameta & Co., Practicing Company Secretary, confirming compliance by the Company of the conditions of Corporate Governance as stipulated in Regulation 34(3) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 is also annexed as “Annexure-H” to this Board’s Report.

The details of Executive Director, liable to retire by rotation and seeking re-appointment,are made part in the Annexure to Notice of 24,hAGM under Brief Profile of Directors seeking Re-Appointment as required under Regulation 36 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,2015.

- PARTICULARS REGARDING CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGSANDOUTGO

Being a Broking Company, we are not involved in any industrial or manufacturing activities and therefore, the Company’s activities involve very low energy consumption and has no particulars to report regarding conservation of energy and technology absorption. However, efforts are made to further reduce energy consumption.

There has been no earnings and outgo in foreign exchange during the financial year 2017-18.

The information on conservation of energy, technology absorption and foreign exchange earnings and outgo stipulated under Section 134(3)(m) of the Companies Act, 2013 read with Rule 8 of the Companies (Accounts) Rules, 2014 is annexed herewith and forms part of this Report as “Annexure-I”.

- SIGNIFICANT/MATERIAL ORDERS PASSED BY THE REGULATORS/COURTS/TRIBUNALS

During the financial year 2017-18, there were no significant or material orders passed by the Regulators or Courts or Tribunals which affect the going concern status of the Company and its operations in future.

- GOODS AND SERVICES TAX (GST)

Goods and Service Tax (GST) came into effect from 1st July, 2017 through the implementation of One Hundred and First Amendment of the Constitution of India. GST replaced the existing multiple cascading taxes levied by the Central and State Governments.

Your Company has successfully implemented and migrated to GST followed by the changes across various departments/operations of the Company.

- GENERAL

Other disclosures related to financial year 2017-18:

- Your Company does not have any Employee Stock Option Scheme & Employee Stock Purchase Scheme for its Employees/Directors.

- Your Company has not issued shares with differential rights as to dividend,voting or otherwise.

- Neither the Managing Director nor the Whole-time Director(s) of the Company received any remuneration or commission from any of the Subsidiaries of your Company.

- The applicable Secretarial Standards, i.e. SS-1 and SS-2, relating to ‘Meetings of Board of Directors’ and ‘General Meetings’ respectively, have been duly complied by your Company.

- APPRECIATIONS & ACKNOWLEDGMENT

Your Directors wish to place on record their gratitude to Shareholders for the confidence reposed by them and thank all the Clients, Dealers, and other business associates for their contribution to your Company’s growth. The Directors also wish to place on record their appreciation of the valuable services rendered by the executives, staff and workers of the Company.

Your Board expresses its gratitude for the assistance and co-operation extended by SEBI, BSE, NSE, MSEI, CDSL, RBI, MCA, ROC, Central Government and Government of various States and other Regulatory Authorities including Local Governing Bodies. Your Board appreciates the precious support provided by the Auditors, Lawyers and Consultants. We place on record our appreciation for the contribution made by our employees at all levels. Our consistent growth was made possible by their hard work, solidarity, cooperation and support.

By order of the Board of Directors

IndoThai Securities Limited

Date : 23 dJuly, 2018 Parasmal Doshi

(Chairman cum Whole-time Director cum CFO)

Place : lndore DIN:00051460