r. Provisions Contingent Liabilities and Contingent
Assets
Provisions are recognised when the Company has a
present obligation (legal or constructive) as a result
of a past event, it is probable that the Company will
be required to settle the obligation, and a reliable
estimate can be made of the amount of the obligation.
Provisions are reviewed at each balance sheet date and
adjusted to reflect the current best estimate.
If the effect of time value of money is material,
provisions are determined by discounting the expected
future cash flows to net present value using an
appropriate pre-tax discount rate that reflects current
market assessments of the time value of money and
where appropriate, the risks specific to the liability.
When there is a possible obligation or a present
obligation in respect of which the likelihood of outflow
of resources is remote, no provision or disclosure is
made.
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, is disclosed as a contingent
liability. Contingent liabilities are also 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.
Contingent assets are not recognised in the financial
statements. However, when the realisation of income
is virtually certain, then the related asset is not a
contingent asset and is recognized.
s. Cash and Cash Equivalents
Cash and cash equivalents in the balance sheet
comprise cash on hand, cheques and drafts on hand,
balance with banks in current accounts and short-term
deposits with an original maturity upto three months,
which are subject to an insignificant risk of change in
value.
t. Statement of Cash Flow
Statement of Cash flow are reported using the indirect
method as set out in Ind-AS 7 "Statement of Cash
Flows", whereby the net profit before tax is adjusted
for the effects of transactions of a non-cash nature, any
deferrals or accruals of past or future operating cash
receipts or payments and items of income or expenses
associated with investing or financing cash flows. The
statement of cash flows from operating, investing and
financing activities of the Company are segregated and
presented.
u. Earnings Per Share ("EPS")
Basic earnings per share is calculated by dividing the
net profit or loss for the period attributable to equity
shareholders by the weighted average number of
equity shares outstanding during the period.
The weighted average number of equity shares
outstanding during the period and for all periods
presented is adjusted for shares issued during the year.
For the purpose of calculating diluted EPS, profit after
tax for the year attributable to the equity shareholders
and the weighted average number of equity shares
outstanding during the year are adjusted for the effects
of all dilutive potential equity shares.
3A. Recent Accounting Pronouncements
Ministry of Corporate Affairs ("MCA") notifies New
Standards or amendments to the existing Standards under
Companies (Indian Accounting Standards) Amendment
Rules, as issued from time to time. During the year ended
31ST MARCH 2025, MCA has notified amendments to the
existing Standards applicable to the Company.
The Ministry of Corporate Affairs issued the amendments to
the Companies (Indian Accounting Standards) Amendment
Rules in August 2024 in which MCA has notified
Ind AS 117 - Insurance Contracts and amendments to
Ind AS 116 - Leases, relating to sale and lease back
transactions, applicable from April 1, 2024.
On May 9, 2025, MCA notifies the amendments to
Ind AS 21 - Effects of Changes in Foreign Exchange Rates.
These amendments aim to provide clearer guidance
on assessing currency exchangeability and estimating
exchange rates when currencies are not readily
exchangeable. The amendments are effective for annual
periods beginning on or after April 1, 2025. The Company
has evaluated and assessed that the amendments does not
have any material impact on the Financial Statements of
the Company.
Terms/rights attached to RCPS
The RCPS do not have voting rights other than matters which directly affect them. In the event of any due and payable
dividends remain unpaid for aggregate period of at least two years prior to the start of any general meeting of the equity
shareholders, RCPS holders shall have voting rights in line with their voting rights of the equity shareholders. The RCPS will
be redeemed at the end of three years from the date of allotment and the payment of dividend would be in accordance with
the terms agreed at the time of issuance of RCPS.
On winding up or repayment of capital, RCPS holders enjoy preferential rights vis a vis equity shareholders, for repayment of
capital paid-up and shall include any unpaid dividends.
For the year ended 31st March 2025, the Company declared and paid an interim dividend of ' 176.88 lakhs after deduction
of tax deducted at source of ' 4.78 lakhs on RCPS of ' 100 each fully paid (31st March 2024 : ' 141.01 lakhs)
c) Terms/ rights attached to equity shares
The Company has only one class of equity shares having a par value of ' 10 per share. Each holder of equity shares is
entitled to one vote per share. The dividend is subject to the approval of the Members at the ensuing annual general
meeting. The Board of Directors have, at their meeting held on 30th May 2025,recommended a dividend of 8 per cent,
'0.80 per share (31st March 2024 : ' 0.80 per share) on equity shares. The Company declares and pays dividend in Indian
rupees.
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of
the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity
shares held by the members.
The proposed dividend for the Financial Year 2024-25 adheres to the ceiling limits on dividend payout ratios for NBFCs, as
prescribed by the Reserve Bank of India in Notification RBI/2021-22/59 DOR.ACC.REC.No.23/21.02.067/2021-22 dated
24th June 2021.
d) For the years ended 31st March 2025 and 31st March 2024
i) There are no equity shares of the Company held by a holding Company or ultimate holding Company or by subsidiaries
or associates of the holding Company or the ultimate holding Company.
ii) There are no shares reserved for issue under options and contracts / commitments for the sale of shares or divestment.
iii) There are no securities issued convertible into equity shares.
iv) There are no calls unpaid and further there are no forfeited shares to report.
e) For the period of five years immediately preceeding 31st March 2025 and 31st March 2024.
i) There are no equity shares allotted as fully paid up pursuant to contract without payment being received in cash.
ii) There are no equity shares allotted as fully paid up by way of bonus shares.
iii) There are no equity shares bought back.
Capital reserve: Capital reserve is the excess amount received on re-issue of forfeited equity shares in an earlier year.
Securities Premium : The amount received in excess of face value of the equity shares is recognised as Securities premium.
The reserve can be utilised only for limited purposes such as issuance of bonus shares in accordance with the provisions of
the Companies Act 2013.
General reserve : Under the Companies Act, 1956, general reserve was created through an annual transfer of net income at a
specified percentage in accordance with applicable regulations. Consequent to the introduction of the Companies Act 2013
("the Act"), the requirement to mandatorily transfer a specified percentage of the net profit to general reserve has been
withdrawn. However, the amount previously transferred to the general reserve can be utilised only in accordance with the
specific requirements of the Act.
Debenture redemption reserve:
Consequent to the amendment to the Companies (Share Capital and Debentures) Rules 2014,as amended the requirement to
create Debenture Redemption Reserve ("DRR") is no longer required for listed NBFCs registered with Reserve Bank of India
under Section 45-IA of the RBI Act 1934, for the value of outstanding both public issue of debentures and privately placed
debentures.
The Company is required to deposit or invest before 30th day of April of each year, as the case may be, a sum which shall
not be less than 15% of the amount of its debenture issued through public issue maturing within one year from the Balance
sheet date. Accordingly the Company, before the year end / subsequent to the year end has invested a sum of ' 665.00 lakhs
(Previous Year ' 2,420 lakhs) in the form of fixed deposits with scheduled banks, representing 15% of the debenture issued
through public issue, which are due for redemption within one year from the balance sheet date.
Statutory reserve: Every year the Company transfers a sum of not less than twenty per cent of net profit after tax of that year
as disclosed in the statement of profit and loss to it's Statutory Reserve as per Section 45-iC of The Reserve Bank of India
Act 1934.
The conditions and restrictions for distribution attached to statutory reserves as specified in Section 45-IC(1) in The
Reserve Bank of India Act, 1934:
(1) Every non-banking financial company ("NBFC") shall create a reserve fund and transfer therein a sum not less than
twenty per cent of its net profit every year as disclosed in the statement of Profit and Loss account and before any
dividend is declared.
(2) No appropriation of any sum from the reserve fund shall be made by the NBFC except for the purpose as may be specified
by the RBI from time to time and every such appropriation shall be reported to the RBI within twenty-one days from the
date of such withdrawal:
Provided that the RBI may, in any particular case and for sufficient cause being shown, extend the period of twenty one
days by such further period as it thinks fit or condone any delay in making such report.
(3) Notwithstanding anything contained in sub-section (1), the Central Government may, on the recommendation of the
RBI and having regard to the adequacy of the paid-up capital and reserves of a NBFC in relation to its deposit liabilities,
declare by order in writing that the provisions of sub-section (1) shall not be applicable to the NBFC for such period as
may be specified in the order:
Provided that no such order shall be made unless the amount in the reserve fund under sub-section (1) together with the
amount in the securities premium a is not less than the paid-up capital of the NBFC
Retained earnings: Retained earnings are the profits that the Company has earned till date less any transfers to statutory
reserve, general reserve, dividends distributions paid to members and transfer from debenture redemption reserve.
Other comprehensive Income: Other Comprehensive Income comprises items of income and expenses that are not recognised
in statement of profit and loss as required or permitted by other ind AS. They comprise the following : (a) Cumulative
gains/(losses) on account of remeasurement of post employment benefit obligations (b) Cumulative gains/(losses) on
remeasurement of equity instruments measured at fair value through Other Comprehensive Income. Such remeasurements
are not reclassified to the statement of profit and loss in subsequent periods.
Proposed dividend : The Board of Directors of the Company have a their meeting held on 30th May,2025 recommended a
dividend of 8% being ' 0.80 per share on the equity shares of the Company, for the year ended 31st March 2025 (' 0.80
per share - 31st March 2024) which is subject to approval of members. Consequently the proposed dividend has not been
recognisedas a liability in the books in accordance with Ind AS 10. (Also Refer Note 57)
Components of Numerator
"Tier I Capital" means owned fund as reduced by investment in shares of other non-banking financial companies and in
shares, debentures, bonds, outstanding loan receivables and other advances made to and deposits with subsidiaries and
companies in the same group exceeding, in aggregate, ten per cent of the owned fund.
"Owned fund" means paid up equity capital, preference shares which are compulsorily convertible into equity, free reserves,
balance in share premium account and capital reserves representing surplus arising out of sale proceeds of asset, excluding
reserves created by revaluation of asset, as reduced by accumulated loss balance, book value of intangible assets and
deferred revenue expenditure, if any.
"Tier ii Capital" includes the following -
a. preference shares other than those which are compulsorily convertible into equity;
b. revaluation reserves at discounted rate of fifty five percent;
c. General provisions (including that for Standard Assets) and loss reserves to the extent these are not attributable to
actual diminution in value or identifiable potential loss in any specific asset and are available to meet unexpected
losses, to the extent of one and one fourth percent of risk weighted assets
d. hybrid debt capital instruments; and
e. Sub-Ordinated debt to the extent the aggregate does not exceed Tier I capital.
f. perpetual debt instruments issued by a non-deposit taking non-banking financial company which is in excess of what
qualifies for Tier I Capital, to the extent the aggregate does not exceed Tier I capital.
components of Denominator
Aggregate Risk Weighted Assets:
Under RBI Guidelines, degrees of credit risk expressed as percentage weightages have been assigned to eachof the onbalance
sheet assets and off- balance sheet assets. Hence, the value of each of the on-balance sheetassets and off- balance sheet
assets requires to be multiplied by the relevant risk weights to arrive at risk adjustedvalue of assets. The aggregate shall be
taken into account for reckoning the minimum capital ratio.
42. DISCLOSURE REQUIREMENTS UNDER iND AS 19 ("Employee Benefits")
a. Defined benefit obligation - Gratuity
The Gratuity scheme is a defined benefit plan, that provides for a lumpsum payment upon death while in employment
or at the time of separation. Based on rules of the scheme, the benefits are calculated on basis of last drawn salary and
the period of service rendered and paid as lumpsum. There is a vesting period of 5 years. The plan invloves the following
risks that affect the liabilities and cash flows
1. Interest rates risk:
The defined benefit obligation calculated using a discount rate based on government bonds. If bond yields fall, the
defined benefit obligation will tend to increase.
2. Salary inflation risk:
Higher than expected increases in salary will increase the defined benefit obligation.
3. Demographic risks:
This is the risk of volatility of results due to unexpected nature of decrements that include mortality attrition,
disability and retirement. The effects of this decrement on the DBO depend upon the combination of salary increase,
discount rate, and vesting criteria and therefore not very straight forward. It is important not to overstate withdrawal
rate because the cost of retirement benefit of a short service employees will be less compared to long service
employees.
4. Actuarial Risk:
It is the risk that benefits will cost more than expected. This can arise due to one of the following reasons
Adverse Salary Growth Experience: Salary hikes that are higher than the assumed salary escalation will result into an
increase in Obligation at a rate that is higher than expected.
Variability in mortality rates: If actual mortality rates are higher than assumed mortality rate assumption then the
Gratuity benefits will be paid earlier than expected. Since there is no condition of vesting on the death benefit, the
acceleration of cash flow will lead to an actuarial loss or gain depending on the relative values of the assumed salary
growth and discount rate.
Variability in withdrawal rates: If actual withdrawal rates are higher then assumed withdrawal rate assumption then
the Gratuity benefits will be paid earlier than expected. The impact of this will depend on whether the benefits are
vested as at the resignation date
Terms and conditions of transaction with related parties:
1. All transactions are in the ordinary course of business on terms equivalent to those that prevail in an arm's length transaction.
2. The Company has not granted loans or advances that is repayable on demand or without specifying any terms or period of repayment to
promoters, directors, KMPs and the related parties (as defined under the Companies Act, 2013), either severally or jointly with any other
person, for the financial years ended March 31, 2025 and March 31, 2024.
3. There have been no guarantees provided or received to/from any related party on receivables or payables.
4. For the year ended 31st March, 2025, the Company has not recorded any impairment of receivables relating to amounts owed by related
parties. This assessment is undertaken each financial year through examining the financial position of the related party.
5. During the year ended 31st March 2025, the Company has not written off any receivables due from related parties.
6. There were no termination benefits and share based payment to any Key Management Personnel (KMP) during the year ended 31st March
2025 and 31st March 2024
7. Outstanding balances as at the year ended are unsecured and settlement takes place in cash / transfer of assets.
8. For the year 31st March 2025 and 31st March 2024, there are no amounts incurred for provision of Key Management Personnel services
that are provided by a separate entity.
9. The provisions relating to Post Employment Benefits (Gratuity) and Other Long Term Benefits (Leave encashment) are determined based
on actuarial valuation for the Company as a whole. Accordingly such benefits provided to individual Key Management Personnel is not
disclosed above.
45. FINANCIAL RiSK MANAGEMENT FRAMEWORK
The company is engaged in finance business and like any other NBFC is exposed to risks such as credit risk, liquidity risk,
market risk, operational risks etc. The company follows pro-active risk management practices to mitigate these risks. The risk
management policies are periodically reviewed by the Risk Management Committee and Audit Committee.
Credit Risk
Credit risk is the risk that arises when the borrowers of the company are unable to meet the financial obligations.
The Company has a comprehensive and well - defined credit policy, which encompasses a credit approval process for all
businesses along with guidelines for mitigating the risks associated with them. The appraisal process includes a detailed
risk assessment of the borrowers, physical verifications and field visits. The company has a robust post sanction monitoring
process supervision and follow-up to identify portfolio trends and early warning signals. This enables the company to
implement necessary changes to the credit policy, whenever the need arises. Also being in asset finance, the company's
lending is secured by adequate collaterals from the borrowers. Repayment by individual customers and portfolio is tracked
regularly and required steps for recovery are taken through follow ups and legal recourse.
In assessing the impairment of financial loans under Expected credit Loss (ECL) Model, the assets have been segmented into
three stages. The three stages reflect the general pattern of credit deterioration of a financial instrument. The difference in
accounting between stages, relate to the recognition of expected credit losses and the measurement of interest income
Expected Credit Loss ("ECL")
As a result of adoption of IndAs , the company has followed Ind As 109 for the calculation of expected credit loss. The
measurement of ECL involves three main components Viz.
Exposure at default (EAD), Probability of Default (PD) and Loss Given Default (LGD) and weightages have been decided based
on industry best practices and judgement. ECL is measured based on various stages of assets and by applying PD and LGD to
arrive at impairment loss.
Exposure at Default ("EAD")
Exposure at Default (EAD) is defined as the sum of Principal outstanding and interest accrued at the reporting date.
Probability of Default ("PD")
The Probability of Default is an estimate of the likelihood of an account getting into default over a given time horizon. The PD
model reflects the probability of default, taking into consideration the residual tenor of each contract and it relies not only
on historical information and the current economic environment, but also considers forward-looking information such as the
forecasts on the macroeconomic factors like GDP , Inflation rate etc.
Loss Given Default ("LGD")
The Loss Given Default is an estimate of the loss arising in the case where a default occurs at a given time. It is based on the
difference between the contractual cash flows due and those that the Company would expect to receive, including from the
realisation of any collateral. It is usually expressed as a percentage of the EAD.
Definition of Default
If the borrower is past due for more than 90 days on any material credit obligation to the Company; or the borrower is
unlikely to pay his credit obligations to the Company in full, it is considered as default.
The Company categorises loan assets into stages primarily based on the Days of Past Due Status.
Stage 1 : 0-30 days past due
Stage 2 : 31-90 days past due
Stage 3 : More than 90 days past due
Write-offs (Refer Note 3(c))
Financial assets are written off either partially or in their entirety only when the Company has no reasonable expectation
of recovery. If the amount to be written off is greater than the accumulated loss allowance, the difference recorded as an
expense in the period of write off. Any subsequent recoveries against such loans are credited to the statement of profit and
loss.
Operational Risk
Operational risk is the risk of loss resulting from inadequate or failed internal processes, people or systems or from external
events.
The operational risks of the company are managed through comprehensive internal control systems and procedures and key back
up processes.
Further submission of exceptional reports for procedural lapses at the branches level, risk-based audits on a regular basis across
all business units/functions and IT disaster recovery plans are put in place for evaluating key operational risks the processes of
which are meant to adequately mitigate them on an on-going basis.
46. Disclosures Pursuant To ind AS ”108" - Operating Segments
a. The Company is primarily engaged in the business of asset financing. This, in the context of Ind AS 108 on "Operating
Segments" notified by the Companies (Indian Accounting Standards) Rules 2016, is considered to constitute a single
primary segment and there are no other seperate reportable segments identified.
The Company operates in single segments only. There are no operations outside india and hence there is no external
revenue or assets which require disclosure.
i) Information about geographical areas
The Company operates within India. Therefore, it neither generates any revenue from outside India nor has any non
current assets located outside India for the financial years ended 31st March 2025 and 31st March 2024.
ii) Information about major customers
No single external customer contributes 10% or more to the revenues of the Company for the financial years ended
31st March 2025 and 31st March 2024.
b. Disclosures pursuant to Ind As"23" - Borrowing Costs
There were no borrowing costs capitalized during the years ended 31st March 2025 and 31st March 2024 and hence
disclosure of capitalization rate used to determine the amount of borrowing costs eligible for capitalization is not
applicable.
c. The Company has no discontinuing operations during the financial years ended 31st March 2025 and 31st March 2024
monitoring and review of various aspects and types of risks, including liquidity risk, faced by the Company. The
meetings of RMC are presently held as may be necessary, Moreover, the Board of Directors have also constituted an
Asset Liability Committee ("ALCO"), for the management of the Company's short and long-term funding and meeting
liquidity requirements. The Company manages liquidity risk by maintaining adequate reserves and surplus, accessing
undrawn bank facilities and obtaining funding from various other sources, as may be feasible. ALCO provides guidance
and direction in terms of interest rate, liquidity, funding sources etc. ALCO meetings are held as may be required, The
minutes of ALCO meetings are placed before the Board of Directors at their next meeting for their perusal / approval /
ratification.
Definition of terms as used in the table above:
a) Significant counter party:
A "Significant counterparty" is defined as a single counterparty or group of connected or affiliated counterparties
accounting in aggregate for more than 1% of the NBFC's total liabilities.
b) Significant instrument/product:
A "Significant instrument/product" is defined as a single instrument/product of group of similar instruments/products
which in aggregate amount to more than 1% of the NBFC's total liabilities.
c) Total liabilities:
Total liabilities include all external liabilities (other than equity).
d) Public funds:
"Public funds" includes funds raised either directly or indirectly through public deposits, inter-corporate deposits, bank
finance and all funds received from outside sources such as funds raised by issue of commercial papers, debentures
etc. but excludes funds raised by issue of instruments compulsorily convertible into equity shares within a period
not exceeding 5 years from the date of issue. It includes total borrowings outstanding under all types of instruments/
products.
e) Other short-term liabilities:
All short-term borrowings other than CPs and NCDs with original maturity less than 12 months.
Disclosure on liquidity coverage Ratio ("LcR")
The Company has implemented the guidelines on Liquidity Risk Management Framework prescribed by the Reserve Bank of
India requiring maintenance of Liquidity Coverage Ratio ("LCR"), which aim to ensure that an NBFC maintains an adequate
level of unencumbered ("HOLAs") which can be converted into cash to meet its liquidity needs for a 30 calendar day time
horizon under a significantly severe liquidity stress scenario.
The LCR is computed as per the formula given below:
LCR = Stock of High-Quality Liquid Assets ("HOLAs") / Total Net Cash Outflows over the next 30 calendar days
HOLAs consist of Cash (would mean cash on hand and demand deposits with Scheduled Commercial Banks), Investment
in Central and State Government Securities, and highly-rated Corporate Bonds and Commercial papers, including those of
Public Sector Enterprises, as adjusted after assigning the haircuts as prescribed by RBI.
Total net cash outflows are arrived after taking into consideration total expected cash outflows minus total expected cash
inflows for the subsequent 30 calendar days.
As prescribed by RBI, total net cash outflows over the next 30 days = Stressed Outflows [Min (stressed inflows; 75% of
stressed outflows)]. Total expected cash outflows (stressed outflows) are calculated by multiplying the outstanding
balances of various categories or types of liabilities and off-balance sheet commitments by 115% (15% being the rate at
which they are expected to run off further or be drawn down). Total expected cash inflows (stressed inflows) are calculated
by multiplying the outstanding balances of various categories of contractual receivables by 75% (25% being the rate at
which they are expected to under-flow).
The Liquidity Risk Management framework of the Company is governed by its Liquidity Risk Management Policy and
Procedures approved by the Board. The Asset Liability Management ("ALM") Committee oversee the implementation of
liquidity risk management strategy of the Company and ensure adherence to the risk tolerance/limits set by the Board.
The Company maintains a robust funding profile with no undue concentration of funding sources. In order to ensure a
diversified borrowing mix, concentration of borrowing through various sources is monitored. Further, the Company has
prudential limits on investments in different instruments to maintain a healthy investment profile. Any potential collateral
calls from the same forms a miniscule part of cash outflows. There is no currency mismatch in the LCR. The above is
periodically monitored and reviewed by ALCO.
51. Disclosure under clause 53(e) of the Securities and Exchange Board of india (Listing Obligations and Disclosure
Requirements) Regulations, 2015
The Debentures are secured by way of a first and pari passu mortgage in favour of the Security Trustee on the Company's
Office at 'GDA House', First FLoor, Plot No.85, Bhusari colony (Right), Paud Road, Pune.
52. There are no items of income and expenditure of exceptional nature for the financial year ended 31st March 2025 and 31st
March 2024.
53. disclosure under code on social security, 2020
The Code on Social Security, 2020 (the Code) has been enacted, which would impact contribution by the Company towards
Provident Fund and Gratuity. The effective date from which changes are applicable is yet to be notified and the rules
thereunder are yet to be announced. The actual impact on account of this change will be evaluated and accounted for when
notification becomes effective.
54. The Company does not fall under the definition of large corporate as per SEBI Master Circular No. SEBI/HO/DDHS/PoDl/
CIR/2023-24 dated 22nd May 2024 and as such furnishing of necessary disclosures do not arise.
55. There were no whistle blower complaints received by the Company during the financial year ended March 31, 2025 and
March 31, 2024. (Refer Note 21 of Board's Report and Refer Note 26(c) of Corporate Governance Report).
56. The Company has maintained proper books of accounts in electronic mode in servers physically located in India and
further the Company has complied with the process of taking daily back-up of books of accounts as per Notification No.
G.S.R.\624(E) dated 5th August 2023 issued by Ministry of Corporate Affairs.
57. There have been no events after the reporting date that require disclosure in these financial statements. The Board of
Directors of the Company have recommended a dividend of 8% being ' 0.80 per share on the equity shares of the Company,
for the year ended 31st March 2025 (' 0.80 per share - 31st March 2024) which is subject to approval of shareholders.
Consequently, the proposed dividend has not been recognised as a liability in the books in accordance with IND AS 10.
58. Disclosure of penalties imposed by RBI and other regulators
During the year ended 31st March 2024, Reserve Bank of India (RBI) has imposed a monetary penalty of ' 6.00 lakhs on
account of instances of non-compliance with the KYC-RBI-Master Directions - Know Your Customer Directions 2016, as
amended for failure to Categorize customers as low, medium and high risk categories and to carry out periodic updation of
KYC for high risk customers for the financial year 2021-22. The Company has paid the penalty amount of ' 6.00 lakhs to
Reserve Bank of India on 29th January 2024.
59. No fraud by the Company or on the Company has been noticed or reported in relation to the Financial Year 2024-25 and
2023-24.
60. The Company has used the borrowings from banks, financial institutions and Debts securities for the specific purpose for
which it was taken as at 31st March 2025 and 31st March 2024.
61. The Company has not raised any funds from green deposits during the financial years ended 31st March 2025 and
31st March 2024.
62. The Company has not sponsored any off-balance sheet SPV, which are required to be consolidated as per accounting norms.
63. Previous year figures have been regrouped, reclassified and rearranged, wherever necessary, to conform to current year
presentation. There are no signif icant regroupings / reclassifications for the year under report.
As per our report attached
For PN Raghavendra Rao & co., For and on behalf of the Board
Chartered Accountants M. BALASUBRAMANiAM M. MANIcKAM
Firm Regn. N°.: 003328S Vice Chairman and Managing Director Chairman
P R Vittel DIN : 00377053 DIN : 00102233
Partner
Membership No. 018111 s.venkatesh sundaramurthy kumarasamy
Coimbatore Company Secretary and Chief Compliance Officer Chief Financial Officer
30th May 2025 Membership No. FCS 7012 Membership No.204905
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