We have audited the Financial Statements of SMC CREDITS LIMITED (’ the Company")- which
coin prise the balance Sheet es at 31* March 2025, and the statement of profit and Loss
(including other comprehensive income), Statement of Changes in equity and Statement of
Cash flows for the year then ended, and notes to (he Financial Statements, including a
summary of significant accounting; policies and other explanatory Information (hereinafter
referred to as" the financial Statements').

in our opinion and to the hast of our information and according to the explanations giver to
us, the aforesaid Financial Statements gives the information required by the Companies Ac:,
2013 ["the Act") in the manner so requited and give a true and fair view in conformity with
the accounting principles generally accepted in India, of the slate of affairs of The Company as
at 31 March 2025, and profit/(loss) (including other comprehensive income), changes in
equity and its cash flows For the year ended on that dale.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAS) specified under
Section 143( 10) of the Act. Our responsibilities under those SAS are further described in the
Auditor's Responsibilities for the Audit of the Financial Statements section of our report We
are independent of the company in accordance with the Code of Ethics issued by the Institute
or Chartered Accountants of India together with the ethical requirements that are relevant to
out audit of the Financial Statements under the provision-, of the Act and the Rules
thereunder, and we have fulfilled our other ethical responsibilities, in accordance with the so
requirements and the Code of Ethics. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis tor our opinion,

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most
significance in our audit of the financial statements of the current period. These matters were
addressed in the context of our audit of the financial statements as a whole, and in forming
our opinion thereon, and we do not provide a separate opinion on these matters.

We have determined the matters described below to be the Key Audit Matters to be
communicated:

Other Information

The Company's management and Board of Directors are responsible for the other information.
The other information comprises the information included in the Company's annual report,
but does not include the Financial Statements and our auditors' report thereon.

Our opinion on the Financial Statements does not cover the other information, and we do not
express any form of assurance conclusion thereon.

In connection with our audit of the Financial Statements, our responsibility is to read the other
information and, in doing so, consider whether the other information is materially
inconsistent with the Financial Statements or our knowledge obtained in the audit or
otherwise appears to be materially misstated. If, based on the work we have performed, we
conclude that there is a material misstatement of this other information, we are required to
report that fact. We have nothing to report in this regard.

Management's Responsibility for the Financial Statements

The Company's management and Board of Directors are responsible for the matters stated in
Section 134(5) of the Act with respect to the preparation of these Financial Statements that

give a true and fair view of the state of affairs, profit/loss (Inducting other comprehensive
income), changes in equity and cash flows of the Company in accordance with the accounting
principles generally accepted in India, including the Indian Accounting Standards [ind AS)
specified under Section 133 of the Act. This responsibility also Includes maintenance of
adequate accounting records in accordance with the provisions of the Act for safeguarding of
the assets of the Company and for preventing and detecting freucs and other irregularities;
selection and application of appropriate accounting policies; making judgments and estimates
that are reasonable and prudent; and design, implementation and maintenance of adequate
internal financial controls that were operating effectively for ensuring the accuracy and
completeness of the accounting records, relevant to the preparation and presentation of
the Financial Statements that give a true and fair view and are free from material
misstatement, whether due id fraud or error.

In preparing the Financial Statements, management and Board of Directors are responsible
for assessing the Company's ability to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern basis of accounting unless
management either intends to liquidate the Company or to cease operations, or has no
realistic alternative but to do so.

Board of Directors Is also responsible for overseeing the Company's financial reporting
process.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the Financial Statements
as a whole are free from material misstatement, whether due to fraud or error, and to issue
art auditor's report that Includes our opinion. Reasonable assurance is a high level of
assurance, but it is not a guarantee that an audit conducted in accordance with SAS will
always detect a material misstatement when it exists. Misstatements can arise from fraud or
error and are considered material if, individually Or in the aggregate, they COUld reasonably
be expected to influence the economic decisions of users taken on the basis of these Financial
Statements,

As part of an audit in accordance with SAS, we exercise professional Judgment and maintain
professional skepticism throughout the audit. We also:

* Identify and assess the risks of material misstatement of the Financial Statements,
whether due to fraud or error, design and perform audit procedures responsive to
those risks, and obtain audit evidence that is sufficient and appropriate to provide a basts for our opinion. The risk of not detecting a material misstatement resulting from

fraud is higher than for the resulting from error, as fraud may involve collusion,

forgery, intentional omissions, misrepresentations, or the-override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances. Under Section 143(3)(i)

of the Act, we are also responsible for expressing our opinion on whether the
company has adequate internal financial controls with reference to Financial
Statements in place and the operating effectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonableness of
accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of management's use of the going concern basis of
accounting and, based on the audit evidence obtained, whether a material
uncertainty exists related to events or conditions that may cast significant doubt on
the Company's ability to continue as a going concern. If we conclude that a material
uncertainty exists, we are required to draw attention in our auditor's report to the
related & disclosures in the Financial Statements or, if such disclosures are
inadequate, to modify our opinion. Our conclusions are based on the audit evidence
obtained up to the date of our auditors' report. However, future events or conditions
may cause the Company to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the Financial Statements,
including the disclosures, and whether the Financial Statements represent the
underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the
planned scope and timing of the audit and significant audit findings, including any significant
deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with
relevant ethical requirements regarding independence, and to communicate with them all
relationships and other matters that may reasonably be thought to bear on our
independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those
matters that were of most significance in the audit of the Financial Statements of the current
period and are therefore the key audit matters. We describe these matters in our auditors'
report unless law or regulation precludes public disclosure about the matter or when, in
extremely rare circumstances, we determine that a matter should not be communicated in

our report because the adverse consequences of doing so would reasonably be expected to
outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor’s Report) Order, 2020 ('the Order') issued by the
Central Government In terms of Section 143(H) of the Act, we give in the "Annexure —
A", a statement on the matters specified in paragraphs 3 and 4 of the Order.

2. A. As required by section 143(3) of the Act, we report that:

a. we have sought and obtained all the information and explanations which, to the
best of our knowledge and belief, were necessary for the purpose of our audit;

b. In our opinion, proper books of account as required by law have been kept by the
Company so far as appears from our examination of those books;

c. The Balance Sheet, the Statement of Profit and Loss (including other
comprehensive income), the Statement of Changes in Equity and the Statement
of Cash Flows dealt with by this Report are in agreement with the books of
account.

d. In our opinion, the aforesaid financial statement complies with the Indian
Accounting Standards specified in section 133 of the Act;

e. On the basis of the written representations received from the directors as on 31
March 2025, taken on record by the Board of Directors, none of the directors Is
disqualified as on 31 March 2025 from being appointed as a director in terms of
Section 164(2) of the Act.

f. With respect to the adequacy of the internal financial controls over financial
reporting of the Company and the operating effectiveness of such controls, refer
to our separate Report in "Annexure — B".

B. With respect to the other matters to be included in the Auditors' Report in accordance

with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to

the best of our information and according to the explanations given to us:

a. The Company has disclosed the impact of pending litigations on its financial
position in its Financial Statements

b. The Company did not have any long term contracts, including derivative contracts,

for which there were any material foreseeable losses.

c. There were no amounts which were required to be transferred to the Investor
Education and Protection Fund by the Company.

d. (i) The management has represented that, to the best of it's knowledge and belief,
other than as disclosed in the notes to the accounts, 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 person(s) or entity(ies),
including foreign entities ("Intermediaries"), with the understanding, whether
recorded in writing or otherwise, that the Intermediary shall, whether, directly or
indirectly lend or invest in other persons or entities identified in any manner
whatsoever by or on behalf of the company ("Ultimate Beneficiaries") or provide
any guarantee, security or the like on behalf of the Ultimate Beneficiaries;

(ii) The management has represented, that, to the best of it’s knowledge and belief,
other than as disclosed in the notes to the accounts, no funds have been received
by the company from any person(s) or entity(ies), including foreign entities

("Funding Parties"), with the understanding, whether recorded in writing or
otherwise, that the company shall, whether, directly or indirectly, lend 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 of the Ultimate Beneficiaries; and

(iii) Based on audit procedures which we considered reasonable and appropriate
in the circumstances, nothing has come to their notice that has caused them to
believe that the representations under sub-clause (i) and (ii) contain any material
mis-statement.

e. The company has not declared or paid any dividend during the year in
contravention of the provisions of section 123 of the Companies Act, 2013.

f. The reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014
is applicable from 1 April 2023.

Based on our examination, which included test checks, we observed that the company
has used accounting software for maintaining its books of account. Although this
software has a feature for recording an audit trail (edit log), we found that the audit
trail feature was not operating effectively during the reporting period for ail relevant
transactions recorded in the software. Consequently, we were unable to verify the
integrity of the audit trail throughout the year.

3. With respect to the matter to be included in the Auditors' Reports under section 197(16);

In our opinion and according to the information and explanations given to us, the
remuneration paid by the Company to its directors during the current year is in
accordance with the provisions of Section 197 of the Act. The remuneration paid to any
director is not in excess of the limit laid down under Section 197 of the Act.

For Kumar Ashwani & Associates

Chartered Accountants

FRN: 008891N

Shivam gupta

Partner

M. No. 534422

UDIN: 25534422BMMIFY1933
Date: 30.05.2025
Place: New Delhi