1.23 Provisions, Contingent Liabilities, Contingent Assets and Commitments
(i) Provisions
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past
event, it is probable that an outflow of resources embodying economic benefits will be required to settle the
obligation and a reliable estimate can be made of the amount of the obligation. If the effect of the time value of
money is material, the amount of a provision shall be the present value of expense expected to be required to
settle the obligation Provisions are therefore discounted, when effect is material, The discount rate shall be pre-tax
rate that reflects current market assessment of time value of money and risk specific to the liability. Unwinding of
the discount is recognised in the Statement of Profit and Loss as a finance cost. Provisions are reviewed at each
balance sheet date and are adjusted to reflect the current best estimate.
(ii) Contingencies
Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of
which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not
wholly within the control of the Company or a present obligation that arises from past events where it is either not
probable that an outflow of resources will be required to settle or a reliable estimate of the amount cannot be
made. Information on contingent liability is disclosed in the Notes to the Standalone financial statements.
A contingent asset is a possible asset that arises from past events and whose existence will be confirmed only by the
occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity, Contingent
assets are not recognised, but are disclosed in the notes. However, when the realisation of income is virtually certain,
then the related asset is no longer a contingent asset, but it is recognised as an asset.
1.24 Events occurring after the Balance Sheet date:
Events occurring after the balance sheet date up to the date of adoption of the accounts, which represent material
changes and commitments affecting the financial position, are disclosed by way of notes on the accounts.
2.1 The Company has only one class of shares referred to as Equity Shares having a face value of Rs. 10/- each. All equity
shares carry one vote per share without restriction and are entitled to dividend, as and when declared. All shares are
ranked equally with regard to company's residual assets.
2.2 The equity shares of the company, listed and admitted to the dealing on the SME (Small and Medium Enterprises)
Platform of National Stock Exchange (“NSE”) on 2nd July 2024. The company has completed Offer for Sale (OFS) by
the selling shareholders through public offer of 66,17,600 equity shares for Rs 11316.10 Lakh and the company has not
received any amount out of the proceeds of OFS.
2.3 The company had bought back its 13,00,000 fully paid-up equity shares, representing 5% of the total issued capital and
extinguished those Equity Shares on 11th December 2023. Consequently, Paid up Share Capital of the company has
been reduced by Rs.130 Lakhs.
29.11 Inventories of Raw Material includes 13390.77 MT (Previous year: 7810.12 MT) amounting to Rs. 2601.42 Lakhs
(Previous year Rs.1488.07 Lakhs) lying with port authorities at Haldia.
29.12 The company uses foreign currency forward contracts to hedge its risks associated with foreign currency transactions.
The company does not use forward contracts for speculative purposes. There are six (previous year: one) outstanding
short-term forward exchange contracts entered into by the Company on account of payables amounting to US$ 55.18
Lakhs (Previous year: US$ 13.65 Lakhs) equivalent to Rs. 4810.00 Lakhs (previous year Rs. 1135.00 Lakhs). As at
Balance Sheet date, the Company has net foreign currency exposure of US$ 15.07 Lakhs (Previous year US$ 13.42
Lakhs) equivalent to Rs. 1202.44 Lakhs (Previous year Rs. 1121.81 Lakhs), which are not hedged by derivative
instruments.
29.13 The gross amount required to be spent by the company on corporate social responsibility (CSR) activities under
Section 135 of the Companies Act, 2013 for the year ended 31st March 2025 is Rs 88.14 Lakhs (Previous Year:
Rs.10.46 Lakhs). The Company has spent Rs. 87.77 Lakhs on Corporate Social Responsibility activities during the
year (Previous year: Rs. 11.73 Lakhs).
b) The Company has no contingent rent to be recognized as an expense in the statement of profit and loss for the
period and has not sub-leased any property.
29.26 Additional regulatory information
a) The Company does not have any Benami Property and no proceedings have been initiated or is pending against
the Company for holding any Benami property under the Benami Transactions(Prohibition) Act,1988.
b) The Company has not been declared a wilful defaulter by any bank or financial institution or any other lender.
c) The Company has no transactions with companies struck off under Sec.248 of the Companies Act, 2013 or
Sec.560 of the Companies Act, 1956.
d) The Company does not have any charges or satisfaction yet to be registered with ROC beyond the statutory period.
e) The company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read
with Companies (Restriction on number of Layers) Rules, 2017.
f) The Company has not traded or invested in Crypto currency or Virtual Currency during current or previous year.
g) The Company does not have any such transactions which is not recorded in the books of accounts that has been
surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such
as, search or survey or any other relevant provisions of the income Tax Act,1961).
h) There are no immovable properties where the title deeds are not held in the name of the Company (other than properties
where the company is the lessee and the lease agreements are duly executed in favour of the company, if any).
i) The Company has been regular in filling quarterly returns or statements of current assets with banks and those
are generally in agreement with the books of accounts.
j) There are no loans or advances in the nature of loans granted to promoters, directors, KMPs and related parties,
either severally or jointly with another person, that are (i) repayable on demand or (ii) without specifying any terms
or period of repayment.
k) The Company has not advanced, loaned or invested funds with any other person(s) or entity(ies), including
foreign entities (Intermediaries) with the understanding that the Intermediary shall (i) directly or indirectly lend or
invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (Ultimate
Beneficiaries) or (ii) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.
l) The Company has not received any funds from any person(s) or entity(ies), including foreign entities with the
understanding (whether recorded in writing or otherwise) that the Company shall (i) directly or indirectly lend or
invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party
(Ultimate Beneficiaries) or (ii) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.
29.27 The company has not revalued any Property, Plant and Equipment during the year or previous year.
29.28 The company has commissioned a 10MW Waste Heat Recovery Captive Power Plant at Haldia on 6th March 2025.
29.29 The Company has exercised the option of New Tax Regime under section 115BAA of the Income Tax Act, 1961 with effect
from financial year 2023-24 and filed Form10-IC on 6th September 2024. Accordingly, the company has reversed excess
income tax provisions of Rs. 454.51 Lakhs and the same has been disclosed as Tax adjustment related to earlier year.
29.30 In opinion of the management, all the assets other than fixed assets and non-current investments have a value on
realisation in the ordinary course of business otherwise stated, at least equal to the amount at which they are stated.
29.31 Certain debit and credit balances lying in the accounts are subject to confirmation thereof.
29.32 The current reporting period is 01.04.2024 to 31.03.2025 (Previous reporting period is 01.04.2023 to 31.03.2024).
29.33 The Previous year figures are rearranged/regrouped/recasted wherever necessary to conform to this year’s
classification.
As per our report of even date For and on behalf of the Board of Directors
for D. K. CHHAJER & Co. PETRO CARBON AND CHEMICALS LIMITED
Firm Regn. No. : 304138E
Chartered Accountants Sd/- Sd/-
Sd/- Vishal Atha Rudra Sen Singh
CA Aditya Madhogarhia Managing Director Whole time Director
Partner DIN : 00916400 DIN : 06824502
Membership No. : 304771
Sd/- Sd/-
Place : Kolkata Arun Kumar Kedia Manisha Somani
Date : 2nd May 2025 Chief Financial Officer Company Secretary
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