(ii) Term / right attached to equity shares
The company has only one class of equity shares having par value of '10 per share. Each holder of equity shares is entitled to one vote per share. The dividend, if any, is subject to the approval of the shareholders in the ensuing annual general meeting.
The company has not declared any dividend during the year.
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 shareholders.
(iii) Capital management for the Company’s objectives, policies and processes for managing capital:
The Company’s objective is to maintain
appropriate levels of capital to support its business strategy taking into account the regulatory, economic and commercial environment.
The primary objectives of the Company’s capital management policy are to ensure that the Company complies with externally imposed capital requirements and maintains strong credit ratings and healthy capital ratios in order to support its business and to maximise shareholder value.
The Company manages its capital structure and makes adjustments in the light of changes in economic conditions and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares. The Company monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt. The Company includes within net debt, interest bearing loans and borrowings less cash and short-term deposits.
Nature and Purpose of Reserves:
A)Statutory Reserves:
Every year the Company transfers a sum of not less than twenty per cent of net profit of that year as disclosed in the statement of profit and loss to its Statutory Reserve pursuant to Section 45-IC of the RBI 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:
a) Every non-banking financial company (NBFC) shall create a reserve fund and transfer therein a sum not less than twenty per cent of its netprofit every year as disclosed in the profit and loss account and before any dividend is declared.
b) 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.
c) Notwithstanding anything contained in subsection (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 share premium account is not less than the paid-up capital of the NBFC.
B) Securities Premium:
The amount received in excess of face value of the equity shares is recognised in Securities premium. In case of equity-settled share based payment transactions, the difference between fair value on grant date and nominal value of share is accounted 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
C) Retained Earnings:
Retained earnings are the profits that the Company has earned till date, less any transfers to statutory reserve, debenture redemption reserve, general reserve, dividends distributions paid to shareholders and transfer from debenture redemption reserve.
D) Other Comprehensive Income:
Other comprehensive income comprises of Changes in acturial gains on account of Defined
Benefit obligations and Investment in Equity Instruments designated at FVOCI not reclassifiable to Profit and Loss Statement. On derecognition of Equity Instruments, company transfers the amount to Retained Earnings.
E) Capital Reserve:
Capital reserve is unexcercised warrant amount forfeited. (refer note: 19)
*During the year 2022, the company had forfeited outstanding amountsof Rs. 16.25 lakhs pertaining to advances received from certain parties more than 5 years back, owing to failure in fulfillment of further commitment by such parties. Such forfeited advance amounts are appropriately considered as income now. No amount would be due to such parties and no claim could be held good against the company in this regard.
However, in line with Ind AS 37, the company recognizes the said amount of Rs. 16.25 lakhs as a Contingent Liability. There are no other unexecuted capital contracts which are outstanding or remaining to be performed.
There is no pending commitments for the financial years ended March 31,2026 and March 31,2025
39. Utilization of borrowings from Banks and Financial Instituitions
The Company has used loan from the bank for the purpose it was availed during the financial year ended March 31, 2026. The Company did not have any borrowings from anybank or financial institution during the financial year ended March 31,2025.
40. Details of title deeds of Immovable Property not heldin name of the Company: (other than properties where the company is the lessee and the lease agreements are duly executed in favour of the lessee)
The Company does not possess any immovable property whose title deeds are not held in the name of the Company during the financial year ended March 31,2026 and March 31,2025
41. Details of loans and advances in the nature of loans granted to promoters, directors, KMPs and the realted parties (as defined under companies act, 2013) either severally or jointly with any other person:
The Company hasn't granted any loansor advances to promoters, directors,KMPs and their realted parties during the financial year ended March 31,2026 and March 31,2025
42. Details of Benami Property Proceedings under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder:
No proceedings have been initiated or pending against the Company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder in the financial years ended March 31,2026 and March 31,2025
43. Borrowings from Banks and Financial Instituitions on the basisof Current Assets(Working Capital Funds)
The company doesn't have any anyborrowings from banks or financialinstituitions in the financial years ended March 31, 2026 and March 31,2025
44. Details of Wilful Defaulter
The Companyhas not been declared as a wilful defaulter by anybank or financial institution or other lender in the financial years ended March 31,2026 and March 31,2025.
45. Details of transactions with Struck-Off Companies
The company doesn't have any transactions with struck off companies in the financialyears ended March 31,2026 and March 31,2025.
46. Details of Over due of ChargerRegistration with Registrar of Companies
All charges or satisfaction, if required, are registered with ROC within the statutory period for the financial years ended March 31, 2026 and March 31, 2025. No charges or satisfactions are yet to be registered with ROC beyond the statutory period.
47. Compliance with numberof layers of companies:
The Company has no subsidiaries for the financialyears ended March 31,2026 and March 31,2025
48. Details of undisclosed incomeunder Income Tax Act, 1961 not recordedin books of accounts:
There are no transactions not recorded in the books of accounts.
49. Details of Crypto Currency or Virtual Currency:
The Company has not traded or invested in Crypto currencyor Virtual currencyduring the financialyears ended March 31, 2026 and March 31,2025
50. Disclosure requiredunder Sec 186(4) of the Companies Act 2013
The loan made, guarantee given or security provided in the ordinary course of business by a NBFC registered with Reserve Bank of India are exempt from the applicability of provisions of Section 186 of the Act.
51. Scheme of Arrangements
The company doesn't have any scheme of arrangements to disclose during the financialyears ended March 31, 2026 and March 31,2025
52. Utilisation of Borrowed funds and share premium:
The Company, as part of its normal business, grants loans and advances, makes investment, provides guarantees to and accept deposits and borrowings from its customers, other entities and persons. These transactions are part of Company's normal nonbanking finance business, which is conducted ensuring adherence to all regulatory requirements.
Other than the transactions describedabove, no funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other persons or entities, including foreign entities (“Intermediaries”) with the understanding, whether
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