NOTE 24: - FINANCIAL RISK MANAGEMENT Risk Management Framework

In the ordinary course of business, the Company is exposed to a different extent to a variety of financial risks: foreign currency risk, interest rate risk, liquidity risk, price risk and credit risk. In order to minimize any adverse effects on the financial performance of the Company, derivative financial instruments, such as foreign exchange forward contracts, foreign currency option contracts are entered to hedge certain foreign currency risk exposures. Derivatives are used exclusively for hedging purposes and not as trading or speculative instruments.

Credit Risk

Credit risk is the risk of financial loss arising out of a customer or counterparty failing to meet their repayment obligations to the Company. The Company assesses the credit quality of all financial instruments that are subject to credit risk.

Classification of financial assets under various stages

The Company classifies its financial assets in three stages having the following characteristics Stage 1: unimpaired and without significant increase in credit risk since initial recognition;

Stage 2: a significant increase in credit risk since initial recognition on which a lifetime ECL is recognized;

Stage 3: objective evidence of impairment, and are therefore considered to be in default or otherwise credit impaired on which a lifetime ECL is recognized.

Unless identified at an earlier stage, all financial assets are deemed to have suffered a significant increase in credit risk.

The Company has calculated ECL using three main components: a probability of default (PO), a loss given default (LGO) and the exposure at default (EAO) along with an adjustment considering forward macro-economic conditions [for a detailed note for methodology of computation of ECL please refer to significant accounting policies note no 1(L) to the financial statements.

The table below summaries the gross carrying values and the associated allowances for expected credit loss (ECL) stage wise for loan portfolio:

Investments are reviewed for any fair valuation loss on periodically basis and necessary provision/fair valuation adjustments has been made based on the valuation carried by the management to the extent available sources, the management does not expect any investment counterparty to fail to meet its obligations.

Trade Receivable, Trade Payable, Short Term Borrowings and Short-Term Loans and Advances balances are subject to confirmation and reconciliation.

Liquidity Risk management

Prudent liquidity risk management implies maintaining sufficient cash aid marketable securities and the availability of funding to meet obligations when due. Due to the dynamic nature of the underlying businesses, Company's treasury maintains flexibility in funding by maintaining sufficient cash and bank balances available to meet the working capital requirements. Management monitors rolling forecasts of the Company's liquidity position (comprising the unused cash and bank balances along with liquid investments) on the basis of expected cash flows. This is generally carried out at Company level in accordance with practice and limits set by the Company. These limits vary to take into account the liquidity of the market in which the Company operates.

Ultimate responsibility for liquidity risk management rests with the board of directors. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

NOTE 26: - FAIR VALUE HIERARCHY

(A) This section explains the judgments and estimates made in deterring the fair values of the financial instruments. To provide an indication about the reliability of the inputs used in determining fair "Value. The Company has classified its financial instruments into the three levels prescribed under the accounting standard.

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments. traded bonds and mutual funds that have quoted price. The fair value of all equity instruments which are traded in the stock exchanges is valued using the closing price as at the reporting period.

Level2: The fair value of financial instruments that are not traded in an active market determined using valuation techniques which maximize the use of observable market data and rely as little as possible on entity-specific estimates It all significant Inputs required to fair value an instrument is observable; the instrument is included in level2.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity securities.

The following table provides an analysis of financial instruments that are measured at fair value and have been grouped into Level 1, Level 2 and Level 3 below:

The following methods and assumptions were used to estimate the fair values.

Quoted equity investments: Fair value is derived from quoted market prices in active markets.

(B) Valuation technique used to determine fair value

Specific valuation techniques used to value financial instruments includes:

the use of quoted market prices or dealer quotes for similar instruments the fair value of forward foreign exchange contracts is determinate using forward exchange rate at the balance sheet date.

the fair value of the remaining financial instruments is determined using discounted cash flow analysis All the resulting fair value estimates are included in level 2 or level 3, where the fair value have been determined based on present values and the discount rates used were adjusted for counterparty or own credit risk.

(C) Fair value Estimations

Estimated fair value disclosures of financial instruments are made in accordance with the requirements of Ind AS 107 "Financial instruments Disclosure" Fair value is defined as the amount at which the instrument could be exchanged in a current transaction between knowledgeable willing parties in arm's length transaction other than in forced or liquidation sale. As no readily available market exists for a large part of the Company's Financial instruments, judgement is necessary in arriving at fair value. Based on Current economic conditions and specific risk attributable to the instrument. The estimates presented herein are not necessarily indicative of the amount the Company could realise in a market exchange from the sale of its full holding or a particular instrument.

Dividend/interest-bearing Investments

Fair value is calculate based on discounted expected future principles and interest cash now's. The carrying amount on the Company's investment are valued at fair value on the basis of fair market rate with reference to the investment with similar credit risk level and maturity period at the reporting date.

Trade & other Receivable/Payables

The management assessed that Trade Receivables, Cash and Cash equivalents. Bank Balances, Deposits, other nonderivative current financial, assets. Short term borrowings, Trade payables, Nonderivative Current Financial Liabilities approximate their earring amount largely due to the short- tern maturities of these instruments.

There are no transfers between level1 and level 2 during the year

NOTE 29 EMPLOYEE BENEFITS

Provision for retirement benefits to employees was not provided on accrual basis, which is not in conformity with Ind AS19 and the amount has not been quantified because actuarial valuation report is not available. However, in the opinion of the management the amount involved is negligible and has no material impact on the Profit & Loss Account.

NOTE 30 LOANS AND ADVANCES

Majority of the loans given are demand loans, therefore in some cases the terms of repayment and loan agreement are not available. Non-Recoverable loans are appropriately written off as bad debts. Demand and other loans given are governed by the Board policies. Considering the close monitoring of Board no appraisal, renewal, Policies, Procedure, Committee or documents have been prescribed and executed.

NOTE 31 MICRO, SMALL AND MEDIUM ENTERPRISES

The Company has not received any intimation from any of its suppliers regarding their Status as Micro, Small and Medium Enterprise under "The Micro, Small and Medium Enterprises Development Act, 2006". Hence Disclosures. if any. relating to amounts unpaid as at the end of the year along with interest paid/payable as required under the said act is not applicable in the case of the Company

NOTE 33 SEGMENT REPORTING

The Company's Managing director (MD) is identified as the Chief Operating Decision Maker (CODM) as defined by Ind AS 108, Operating Segments. The CODM evaluates the Company's performance and allocates resources based on an analysis of various performance indicators, however the Company is primarily engaged in 'Lending and Securities Trading' and "Income from Commodity/Trading Business". Hence the Company have reportable Segments as per Indian Accounting Standard 108 "Operating Segments".

NOTE 35 Crypto Currency and Virtual Currency: The company has not traded or invested in any Crypto currency or Virtual currency.

NOTE 36 Gratuity and Employment Benefit Plan: No provision has been made for retirement and employee benefit as per 'Ind AS 19'

NOTE 37 Capital Commitments: The capital commitment as at March 31,2025 is NIL.

NOTE 38 Unhedged Foreign Currency Exposures: There is no foreign currency exposure outstanding as on 31/03/2025.

NOTE 39 Income/ Expenditure in Foreign Currency: There is no Income/ Expenditure In foreign currency as on31/03/2025.

NOTE 40 Benami Property held: There is no Benami Property held by company as on 31/03/2025.

NOTE 41 Willful Defaulter: The Company is not declared as willful defaulter by any Bank or Financial institution.

NOTE 42 Relationship with Struck off Companies: The Company has not had any transactions with companies struck off under section 248 or the Companies Act,1956.

NOTE 43 Registration of charges or satisfaction with Register of Companies: The company does not have any charge as on 31/03/2025.

NOTE 44 Compliance with approved Scheme (s) of Arrangement: The Company has not approved any Scheme of Arrangement in terms of sections 230 to 237 of the Companies Act,2013.

NOTE 45 Utilisation of Borrowed funds and share premium: The Company doesn't have any advance, loan or invested (either from borrowed fund or share premium or any other sources or kind of funds) by the any company to or any other person or entity including foreign entity.

The Company not received any fund from any person or entity including foreign entities, that the company has directly or indirectly, end or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party \Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf or the Ultimate Beneficiaries.

NOTE 46 Corporate Social Responsibility (CSR): The company is not required to fulfill any liability under the provisions of section 135 of the Companies Ac relating to Corporate Social Responsibility.

NOTE 47 SME Accounting Standard Compliance: In absence of adequate information relating to the suppliers under the Micro. Small and Medium Enterprises Development Act,2006, the Company is unable to Identify such suppliers, hence the Information required under the said Act, cannot be ascertained.

NOTE 48 Compliance with number of layers Companies:

Clause 87 of section 2 or the Act Companies (Restriction on number of Layers) Rules,2017 is not applicable to NBFC.

NOTE 49 - Unless otherwise stated, figures in brackets relate to the previous year. Previous period's figures have been regrouped / rearranged, to the extent necessary, to conform to current period's classifications. All the numbers have been rounded off to nearest Lakhs.