2.12 PROVISIONS, CONTINGENT LIABILTIES AND CONTINGENT ASSETS :
(i) Provisions:
A provision is recognized, when company has a present obligation (legal or constructive) as a result of past events and it is probable that an outflow of
resources embodying economic benefits will be required to settle the obligation, in respect of which a reliable estimate can be made for the amount of
obligation. 'Hie expense relating to the provision is presented in the profit and loss net of any reimbursement.
If the effect of the tunc value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to
the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.
(ii) Contingent Liability
A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or
more uncertain future events beyond the control of the Company or a present obligation that is not recognized because it is not probable that an outflow of
resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized
because it cannot be measured reliably. The Company does not recognize a contingent liability but discloses its existence in the financial statements.
Contingent liabilities, if material, are disclosed by way of notes and contingent assets, if any, are disclosed in the notes to financial statements.
(iii) Contingent Assets
Contingent Assets arc disclosed, where an inflow of economic benefits is probable.
2.13 Cash and cash equivalents
Cash and cash equivalents includes cash in hand, deposits with banks, other short term highly liquid investments with original maturities of three months or
less that are readily convertible to known amounts of cash and which arc subject to an insignificant risk of changes in value.
I or the piiqsosc of presentation in the statement of cash flows, cash and cash equivalents includes outstanding bank overdraft shown within current
liabilities in statement of financial balance sheet and which arc considered as integral part of company's cash management policy.
2.14 Trade receivables
Trade receivables are recognised initially at their fair value and subsequendy measured at amortised cost using the effective interest method, less provision
for expected credit loss.
2.15 Trade and other payables
These amounts represent liabilities for goods and services provided to the Company prior to the end of financial year which are unpaid. Iradc and other
payables are recognised, initially at fair value, and subsequently measured at amortised cost using effective interest rale method.
2.1C Cash Flow Statement ______
Cush flows are reported using the indirect method, whereby net profit before tax is adjusted fpjifi^ffejc^^i(apsactu>ns of a non-cash nature, any deferrals
or accruals of past or future operating cash receipts or payments and item of income or cxpvftscS associated ufalvinycsting or * *lc cas*’
flows from operating, investing and financing activities of the Company are segregated. V '
Ý W-'.l
2.17 Operating Cycle
Baaed on the nature of products/activitics of the Company and the normal time between acquisition of assets and their realisation in cash or cash
equivalents, the Company has determined its operating cycle as 12 months for the purpose of classification of its assets and liabilities as current and non
current.
2.18 Rounding of amounts
AH amounts disclosed in the financial statements and notes have been rounded off to the nearest Rupees Lakhs (up to two decimals), unless otherwise stated
as per the requirement of Schedule III (Division II).
2.19 Recent Accounting Pronouncements
'Hie Ministry of Corporate Affairs, during the year has not made any announcement or notified new Accounting Standards or any amendments m the
existing Accoumuig Standards as applicable to die Company. I Icncc there is no such notification which would have been applicable from 01 st April, 2022.
2.20 Tlie date of implementation of the Code on Wages, 2019 and the Code on Social Sccunty 2020 is yet to be notified by the Government. The Company will
assess the impact of these Codes and give effect in die financial results when the Rulcs/Schcmcs thereunder are notified._
1‘Ik Board provides guiding principles for overall risk management, as well as policies covering specific areas such as credit risk and liquidity risk effecting
business operations. The company’s risk management is carried out by the management as per guidelines and policies approved by the Hoard of
Directors.
(A) Credit Risk
Credit risk is the tisk dial counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. Credit
risk encompasses the direct risk of default, risk of deterioration of creditworthiness as well as concentration risks. The Company is exposed to credit risk
from its operating activities (primarily trade receivables).
Credit Risk Management
1'hc company's credit risk mainly from trade receivables as these arc typically unsecured. I his credit risk has always been managed through credit
approvals, establishing credit limits and continuous monitoring the creditworthiness of customers to whom credit is extended in the normal course of
business. The Company estimates the expected credit loss based on past data, available information on public domain and experience, Expected credit
losses of financial assets receivable arc estimated based on historical data of the Company. 'Hie company has provisioning policy for expected credit
losses.
(B) Liquidity Risk
The Company’s principal sources of liquidity are “cash and cash equivalents” and cash (lows that arc generated from operations. Hie Company believes
that its working capital is sufficient to meet its current requirements, lienee the Company does not perceive any liquidity risk.
24 Capital Management
Lor the purposes of Company capital management, Capital includes equity attributable to the equity holders of the Company and all other equity reserves,
flic primary objective of the Company capital management is to ensure that it maintains an efficient capital structure and maximize shareholder value,
flu Company manages its capital structure and makes adjustments in light of changes tn economic conditions and the requirements of the financial
covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders or issue new shares. No changes
were made in the objectives, policies or processes for managing capital during the year ended March 31, 2023.
The Company monitors capital using a gearing ratio and is measured by debt divided by total Equity. The Company’s Debt is defined as long-term and
short-term borrowings including current maturities of long term borrowings and total equity (as shown in balance sheet) includes issued capital and all
other reserves.
26 In the opinion of Board of Directors, current assets, loans and advances have a value on realisation in the ordinary course of business atleast equal to the amount at which they
.»r« state d in the Balance Sheet and provisions for all known and expected liabilities have been made.
27 Balance* ot the Trade Receivables, Trade Pay ables, lawns and Advances arc sublet to confirmation, reconciliation and consequent adjustment if any. However, in the opinion
of i he management such adjustments, if any, will not be material
28 The <Company it engaged in the Real Estate related business and accordingly there arc nn reportable segments.
29 C )thcr disclosures of Schedule III arc not applicable to the company.
Mo funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any
other pcrson(s) or entityfics), including foreign entities ("Intermediaries*’) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend
or invest tn party identified by or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any pany(s) (Funding Party) with the
understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company (“Ultimate
Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
31 Previous year's figures have been regroupcd/rcarranged wherever necessary to confirm die current presentation as per the Schedule III
For SHAH & TAP ARIA
CHARTERED ACCOUNTANTS FOR AND ON BEHALF OF BOARD
Firm's Registration Number: 109463W okj
pTimSS^ SSt£^LSAVlA DIRECTOR & CFO
MEMHfcKiWfto.: 130863 r, • I 'V Vi WIIOLE TIME DIRECTOR DIN: 01SS2W7
lilt 1 DIN: 00403389
PLACE: MUMBAI /£ /
DATED: 7th May 2024 \
K1RTILUDHRANI
M COMPANY SECRETARY _
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