Provision:-
Provision are recognized when there is a present obligation as a result of a past event and it is probable that an outflow of benefits will be required to settle the obligation and there is a reliable estimate of the amount of the obligation.
Contingent liabilities:-
Contingent liabilities are disclosed when there is a possible obligation arising from the past events, the existence of which will be confirmed only on 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.
XV. Cash and Cash Equivalents:
In the Cash flow statement, cash and cash equivalents include cash on hand, demand deposits with bank including short term margin money against bank guarantee issued.
XVI. Government Grants
Government grants are recognized at their fair value where there is a reasonable assurance that the Grant will be received and the company will comply with all attached conditions.
Government Grants relating to purchase of property, plant and equipment are included in non- current liabilities as deferred income and are credited to profit or loss in proportion to depreciation over the expected lives of the related assets and presented within other income.
Government grants relating to income are deferred and recognized in the Statement of Profit and Loss over the period necessary to match them with the costs that they are intended to compensate and presented within other income.
For and on Behalf of the Board of
As per our report of even date annexed
Directors
For Raju & Prasad Chartered Accountants
Sd/- Sd/- Sd/-
Avinash T Jain
Proprietor ^B^dkur^ Harsh Pradeep Badkur
Mem No.: 041689
Whole Time Chairman & Managing Director & CFO Director
Place: Thane DIN: 07803209 DIN: 00676715
Date: 24th May, 2024
UDIN: 24041689BKALFK3020
iii) TERMS AND RIGHTS ATTACHED TO EQUITY SHARES
The company has only one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by 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. the distribution will be in proportion to the number of equity shares held by the shareholders.
Pursuant to the approval of the Board of Directors in its meeting held on 15th January, 2024 along with the approval of the Shareholders at the Extra Ordinary General Meeting held on 13th February, 2024 and pursuant to the In-Principle Approval granted by the BSE vide its respective letter dated 15th February, 2024 and on receipt of an aggregate amount of Rs.18,70,00,000 (Rupees Eighteen Crores Seventy Lakhs Only), the Board of Directors along with the approval of the Audit Committee has approved the Preferential Allotment of 31,50,000 (Thirty one lakhs Fifty Thousand Only) Equity Shares of Rs.55 (Rupees Fifty Five Only) each and 10,00,000 (Ten Lakhs Only ) Compulsorily Convertible Warrants of Rs.55 (Rupees Fifty Five Only) each to NonPromoter Person/entities.
The Allotment of the Shares was made on 20th February, 2024
The Equity Shares issued by the Company are Fully Paid Equity Shares whereas the Compulsorily Convertible Warrants are partly paid and would be converted into Equity Shares after 18 months on the payment of the remaining amount.
Securities and Terms of Borrowings for secured Term Loans Term Loan from Banks
16.1.1 Term Loan from IndusInd Bank is secured by way of :
(i) Primary Security
First and exclusive charge on land & building, Plant & Machinery, all movable & immovable assets (both present & future), factory at Kondala Road, Survey Gut No. 37, Village Vadvali, Tah Wada, Dist Thane, Pin-421312 owned by the Company.
(ii) Common Collateral Security
(a) Hypothecation on movable fixed assets of the company both present & future except other assets exclusively financed by other banks.
(b) Corporate Office owned by the Company & situated at 503, Sunrise Business Park, Road no.16, Wagle Estate, Thane (W) - 400604, Maharashtra.
d. Personnel Guarantee of Mr. Ignatious C. David, Mr.Pradeep S. Badkur, Mr.Harsh Badkur and Mr. Puneet Badkur Director/Promoters/Shareholders of the company.
e. Working Capital Loan from IndusInd Bank amounting to 941587.92/-(P.Y.2555738/-).
15.1.2 The Long Term Loan of Rs.301 Lakhs from IndusInd Bank is secured by way of hypothecation of Office No. 503, 5th floor, Sunrise Business Park, Quantum IT Park, Plot No. B-68, Road No. 16, Wagle Industrial Estate, Thane (W) 400604 owned by Company. This Loan was earlier ongoing with Yes Bank Ltd which during FY 2023-24 has been taken over by IndusInd Bank.
16.2 Term Loan from banks
16.2.1 Term Loan against property From IDFC First Bank Ltd amounting to Rs.11774249.86/- (P.Y.-11875208.3/--).repayable in 180 monthly installment (including interest) of Rs.1,30,745/- per month commencing from 2/1/2021 last installment due in December 2035 i.e.165 installment from the close of this Financial Period.
16.2.2 Term Loan against property From IDFC First Bank TOP UP LOAN amounting to Rs.3558404.77/-
16.2.3 Car Loan from HDFC Bank Ltd. Amounting to Rs.1401477.45/- (P.Y.-1830204.21/-) repayable in 60 installments (including interest) of Rs.45,819/- per month commencing from 7/2/2022 last installment due in 7/1/2027 i.e 58 installment from the close of this financial period.
16.2.4 Car Loan from HDFC Bank Ltd. Amounting to Rs.1401477.45/- (P.Y.-1830204.21/-) repayable in 60 installments (including interest) of Rs.45,819/- per month commencing from 7/2/2022 last installment due in 7/1/2027 i.e 58 installment from the close of this financial period.
16.2.5 Car Loan from Yes Bank Ltd. Amounting to Rs.768516/- (P.Y.-1125840/-) repayable in 60 installments (including interest) of Rs.36,110/- per month commencing from 15/3/2021 last installment due in 15/2/2026 i.e 47 installment from the close of this financial period.
16.2.6 Medium Term Loan 2152 - Indusind Bank amounting to Rs. 916055.2/- taken during last year.
21.1 Cash Credit from Induslnd Bank is secured primarily by way of Hypothecation of the entire current assets of the company comprising of, inter alia of stock of raw material, Work in progress, Finish goods, receivable, book debts and other current assets and with the collateral security as referred in Note 15.1 above.
• With respect to the Central Sales Tax Due of Rs.45,30,181/- the company has file an appeal and based on expert legal advise and merits of the case the Company is hopeful that the outcome would in its favor. And accordingly no provision is required to be made in the accounts. However, it is not practicable to estimate the timing of cash outflow if any, in respect of the above pending the resolution of the proceedings.
• In respect of Contingent Liability related to CKP bank shares , the same has been disclosed because the bank has stopped its main operations as per RBI instructions.
• The Joint Commissioner ,Thane in the order dated 30.03.2024 had imposed an penalty amounting to 7,89,90,324/- against the earlier show cause Notice issued in F.Y 2022-23 for which the company had filed an appeal which was in favour of company hereby dropping tax and interest from the said notice However the management is against the order and looking forward to file the appeal & will litigate the same until the matter attains finality.
38.
i) The balance confirmation in respect of debtors, creditors, advances, loans and deposits as at 31st March 2024 have been called for and the same are subject to confirmation and reconciliation if any. However, the management has scrutinized the accounts and the balances appearing in the balance sheet are correct.
ii) In the opinion of management, no item of current assets, loans and advances has a value on realization in the ordinary course of business, which is less than the amount of value at which it is stated in the balance sheet, unless otherwise specified.
39. Figures of previous year are regrouped and reclassified as and when necessary.
For and on Behalf of the Board of
As per our report of even date annexed
Directors
For Raju & Prasad Chartered Accountants
Sd/- Sd/- Sd/-
Avinash T Jain
Proprietor ^B^dkur^ Harsh Pradeep Badkur
Mem No.: 041689
Whole Time Chairman & Managing Director & CFO Director
Place: Thane DIN: 07803209 DIN: 00676715
Date: 24th May, 2024
UDIN: 24041689BKALFK3020
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