g) . Provisions & Contingencies
Provisions are recognised when the Company has a present legal or constructive obligation as a result of past events for which it Is probable that an outflow of resources will be required to settle the obligation and the amount can be reliably estimated as at the balance sheet date,
A disclosure for a contingent liability is made when there Is a possible obligation or a present obligation that may, but will probably not, require an outflow of resources. Information on contingent liabilities is disclosed in the notes to financial statements unless the possibility of an outflow of resources embodying economic benefit is remote.
A contingent asset is neither recognised in the financial statements nor disclosed in the financial statements,
h) . Employee Benefit Expenses
(i). Short Term Employee Benefits
All Employee Benefits payable wholly within twelve month of rendering the service are classified as Short Term Employee Benefits and they ere recognised in the period In which the employee renders the related service.
The undiscounted amount of shortterm employee benefits expected to be paid in exchange for the services rendered by employees are recognised as an expense during the period when the employees render the services.
(ii). Post Employment Benefits Defined Contribution Plans
A defined contribution plan is a post-employment benefit plan under which the Company makes specified monthly payments to Provident Fund Scheme and other Similar Schemes for all applicable employees, the Company's Contribution is recognised as an expense in the Statement of Profit and Loss during the period in which the employee renders the related service.
Defined Benefit Plans
Gratuity liability is a defined benefit obligation which is provided on the basis of an actuarial valuation on Projected Unit cost method made at the end of each financial year. Actuarial gains/(losses) are recognised directly in Other comprehensive income. This benefit is presented according to present value after deducting the fair value of the plan assets, The Company determines the net interest on the net defined benefit liability (asset) in respect of a defined benefit by multiplying the net liability (asset) in respect of a defined benefit by the discount rate used to measure the defined benefit obligation as they were determined at the beginning of the annual reporting period.
Accumulated leave is treated as short-term employee henefit. The Company measures the expected cost of such absences as the additional amount that It expects to pay as a result of the unused entitlement that has accumulated at the reporting date.
Re-measurement of defined benefit plans in respect of post-employment are charged to the Other Comprehensive income.
i) . Tax Expenses
The tax expense for the period comprises Current and Deferred Tax. Tax is recognised in Statement of Profit and Loss, except to the extent that it relates to items recognised in the comprehensive income or in equity. In which case, the tax is also recognised in other comprehensive income or equity.
Current Tax
Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities, based on tax rates and laws that are enacted or substantively enacted at the Balance sheet date.
Minimum Alternative tax (MAT) Credit is recognised as an asset only when and to the extent there is convincing evidence that the company will pay Income Tax under the normal provisions during the specified period, resulting in utilisation of MAT Credit. In the Year In which the MAT Credit becomes eligible to be recognised as an asset in accordance with the recommendations contained in Guidance Note issued by the institute of Chartered Accountants' of India, the said asset is created by way of a credit to the Statement of Profit and Loss and shown as MAT credit Entitlement. Company reviews the same at each Balance Sheet date and writes down the carrying amount of MAT Credit Entitlement to the extent there Is no longer convincing evidence to the effect that the Company will utilise MAT Credit during the specified period,
Deferred Tax
Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the standalone financial statements and the corresponding tax bases used in the computation of taxable profit.
Deferred t3x liabilities and assets are measured at the tax rates that are expected to epply in the period in which the liability is settled or the asset realised, based on tex rates (and tax laws) that have been enacted or substantively enected by the end of the reporting period. The carrying amount of Deferred tax liabilities and assets are reviewed at the end of each reporting period.
j) . Foreign Currency
Functional and presentation currency
The financial statements of the Company are presented using Indian Rupee (INR) i.e. currency of the primary economic environment in which the entity operates ['the functional currency').
Transactions and balances
Foreign currency transactions are translated into the respective functional currency using the exchange rates at the dates of the transactions. Foreign exchange gains and losses resulting from the settlement of such transactions end from the translation of monetary assets and liabilities denominated in foreign currencies at year end exchange rates are recognised in profit or loss.
k) . Revenue Recognition
The Company has recognised revenue pursuant to a contract (other than a contract listed in paragraph 5 of Ind AS US) only If the counterparty to the contract is 3 customer. A customer is a party that has contracted with an entity to obtain Goods and services that are an output Df the entity's ordinary activities in exchange for consideration.
Revenue is recognised to the extent that it Is probable thaL the economic benefits will flow to the company and the revenue can be reliably measured. Escalation and other claims, which are not ascertalnable/acknowledged by customers, are not taken into account. Revenue is measured at the fair value of the consideration received or receivable, net of returns and allowances, trade discounts and volume rebates.
Criteria for recognition of revenue are as under:
a) sale of Goods
Revenue from the sale of goods is recognised when the goods are delivered and titles have passed, at which time all the following conditions are satisfied;
(i) significant risks and rewards of ownership of the goods are transferred to the buyer;
(ii) Company retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;
(iii) it is probable that economic benefits associated with transaction will flow to the Company; and (lv| amount of revenue can be measured reliably;
b) Income from sale of electricity is recognized as per the terms and conditions of the agreement with the Customer.
c) Interest income is recognised on a time proportion basis taking into account amount outstanding and applicable Interest rate.
d) Dividend is recognised when the company's right to receive the payment Is established, which is generally when shareholders approve the dividend.
I). Financial instruments
(i), Financial Instruments
Initial Recognition
Financial instruments i.e. Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual provisions of the instruments, Financial instruments are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or Issue of financial Instruments (other than financial instruments at fair value through profit or loss] are added to or deducted from the fair value of the financial instruments, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial instruments assets or financial liabilities at fair value through profit or loss are recognised in Statement of profit or loss.
Subsequent Measurement Financial assets
All recognised financial assets are subsequently measured at amortized cost except financial assets carried at fair value through Profit and loss (FVTPL) or fair value through other comprehensive income (FVDCI).
a) Equity investments (nther than investments In subsidiaries, associates and joint venture)
All equity investments falling within the scope of Ind-AS 109 are mandatory measured at Fair Value Through Profit and Loss (FVTPL) with all fair value changes recognized in the Statement of Profit and Loss.
Investments in equity shares of Subsidiaries, Joint Ventures St Associates are recorded at cost and reviewed for impairment at each reporting date
The Company has an irrevocable option of designating certain equity Instruments as FVOCI. Option of designating instruments as FVOCI is done on an instrumcnt-by-instrument basis. The classification made on initial recognition Is irrevocable.
If the Company decides to classify an equity instrument as FVOCI, then all fair value changes on the instrument are recognized in Statement of Other Comprehensive Income (SOCI), Amounts from SOCI are not subsequently transferred to profit and loss, even on sale of Investment.
clVT A A S_ cwvv
b) Derecognition
A financial asset is primarily derecognised when the rights to receive cash Tows from the asset have expired, or the Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a pass-through arrangement; and with that a)the Company has transferred substantially all the risks and rewards of the asset, or b| the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.
c) Impairment of financial assets
The Company applies the expected credit loss model for recognising allowances for expected credit loss on financial assets measured at amortised cost.
Financial Liabilities Classification
Financial liabilities and equity instruments issued by the Company are classified according to the substance of the contractual arrangements entered Into and the definitions of a financial liability and an equity instrument.
Subsequent Measurement
Loans and borrowings are subsequently measured at Amortised costs using Infective Interest Rate (EIR), except for financial liabilities at fair value through profit or loss. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs Lhat are an integral parL of the ElR. Amortisation is included as a part of Finance Costs in the Statement of Profit and Loss
Financial liabilities recognised at FVTPL, shall be subsequently measured at fair value.
Derecognition
A financial liability is derecognised when the obligation under the liability Is discharged or cancelled or expires.
Offsetting financial Instruments
Financial assets and liabilities are offset and the net amount is reported in the balance sheet where there is a legally enforceable right to offset the recognised amounts and there is an Intention to settle on a net basis or realise the asset and settle the liability simultaneously.
Re-classification of financial instruments
The Company determines classification of financial assets and liabilities on initial recognition. After initial recognition, no reclassification is made for financial assets which are equity instruments and financial liabilities. For financial assets which are debt instruments, a reclassification is made only If there Is a change In the business model for managing those assets, Changes to the business model are expected to be infrequent The Company's senior management determines change in the business model as a result of external or internal changes which are significant to the Company's operations. Such changes are evident to external parties. A change in the business model occurs when the Company either begins or ceases to perform an activity that Is significant to its operations. If the Company reclassifies financial assets, it applies the reclassification prospectively from the reclassification date which is the first day of the immediately next reporting period following the change In business model. The Company does not restaLeany previously recognised gains, tosses (including impairment gains or losses) or interest, The Company has not reclassified any financial asset during the current year or previous year.
m). Earnings per share
Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to equity shareholder by the weighted average number of equity shares outstanding during the period.
For the purpose of calculating diluted earnings per share, the net profit after tax for the period attributable to equity shareholders and the weighted average number of equity shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares.
n) . Cash and Cash Equivalents
The Group considers all highly liquid investments, which are readily convertible into known amounts of cash that are subject to an insignificant risk ot change in value to be cash equivalents. Cash and cash equivalents consist of balances with banks which ate unrestricted for withdrawal and usage.
o) . Segment Reporting
Eased on "Management Approach" as defined In Ind AS ina -Operating Segments, the Chief Operating Decision Maker evaluates the Company’s performance and allocates The resources based on an analysis of various performance indicators by business segments. The Company concludes that it ojaerates under Lwo reporting segment viz (a) Trading, Distribution and Development and (b) Wind power genration. The secondary reporting segment is geographical segment based on location of customer vr domestic and overseas,
Unallocable items includes general corporate income and expense Items which are not allocated to any business segment.
Segment Policies
The Company prepares its segment information in conformity with the accounting policies adopted for preparing and presenting the standalone financial statements of the Company as a whole. Common allocable costs are allocated to each segment on an appropriate basis.
Key estimates and assumptions
The preparation of the financial statements in conformity with Ind AS requires the Management to make estimates and assumptions that impact the reported amount of assets, liabilities, income, expenses and disclosure of contingent liabilities as at the date of the financial statements. The estimates and assumptions used In the accompanying financial statements are based upon management's evaluation of Lhe relevant facts and circumstances as on the date of the financial statements. Actual results may differ from the estimates and assumptions used In preparing the accompanying financial statements. Difference between the actual and estimates are recognised in the period In which they actually materialise or are known. Any revision to accounting estimates is recognised prospectively. Management believes that the estimates used in preparation of Financial Statements are prudent and reasonable,
Note No, 4G
the Company has recognized all the claim receivable* / liabilities with various government authorities towards Custom duty, VAT. Cass, IneGma-tax, SAP. Unutilized CENVAT credit and Insurance claim etc, on accrual basis and sho*n under the head Loans & Advances and Current Liabilities respectively. During the ye««r, the company has made application with the Authorized Dealer |AD) far settlement of Export & Import Outstanding of same party The accounting treatment Of the Sard settlement is already accounted in books of account? on dar* or application to AD.
Note Mo. 4? Capital Management
The Company's objective for Capital Management I? to maximise shfcfe holder value, sofeguard business continuity and support the growth of the Company, The Company determines the Capital requirements based on annual operating plans and long term and other strategic Investment plans. The funding requirements are met through equity and operating cash flows generated.
Nate No. 4H
The Company has following reportable segments Trading, Distribution St Development and Power Generations. The Company through Its wholly-owned subsidiary, Veritas Polytime Private Limited has initiated a setup or the integrated manufacturing complex at the Dighi Port in the state of Maharashtra, consisting of PVC manufacturing plant. Polymerized Bitumen Plant and Gas Storage Tanks which has been identified as a reportable segment, "Manufacturing", The project has received the status of Ultra Mega Project by the government Of Maharashtra. The Company ha* Initiated thn process of seeking Various approvals required to commence setting up of the plant. The project is presently financed by the Company and would also be suitably financed subsequently thtOUgh appropriate means at appropriate time.
Note No, 49 Figure to the previous period have been regrouped / rearranged, wherever necessary.
As pgr our report of 4ven date attached f. a
For $habhlr and Itlta Associate* UP For and on bnhalf ofltne Board of Directors I
Chartered Accountants _ I II fj [ *-
Firm Rcgd. No.: 109420W „ :> \ I .J J,| I/~N^ jJ | *
^ {/'_'Ý/ Paraft Merchapl^"" Vlvfik Merchant
fr?$L \*io\ 1 T,,m Alls'll DtreptOJ^" Director
sis' ^ I ... \e»\\ I'l , | .'77 JI I3wTSog£o37 DIN ; 06389079
‘ MUMBAI p \ ", fJ - \\ TO
Membership No „Ý ujmss ,9V r /*// X, -k JF. \
Place. Momboi ^ --' RaJ*ftm Shanbhag
Date: 29-01-2024 Chief Financial Officer
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