CORPORATE INFORMATION

Shivom Investment & Company Limited (the Company) is a public limited company domiciled in India and incorporated under the provisions of the Companies Act.

The company is registered as a Non-banking Financial Company (NBFC) as defined under section 45-IA of the Reserve bank of India (RBI) Act, 1934.

a) Terms/rights attached to equity shares

The Company has only one class of equity shares having a par value of Rs. 10/- each. Each holder of equity shares is entitled to one vote per share. The dividend proposed by the Board of Directors, if any, is subject to the approval of the shareholders in the subsequent Annual General Meeting. In the event of liquidation of the Company, the holder of equity shares will be entitled to receive remaining assets of the Company after distributions of all preferential amount. The distributions will be in proportion to the number of equity shares held by the shareholders; and any other right as the Memorandum and Articles of Association of the Company may prescribe in relation to the aforesaid equity shares of the Company.

a) Segment Reporting

The Company is predominantly engaged in the business of financial activities and is a ‘Single Segment’ Company.

b) Related Party Disclosures

As per Accounting Standard 18 ‘Related Party Disclosures’, the disclosure of transactions with related parties are given below: (i) Names of the related parties and description of relationship

1 Key Management Personnel (KMP):

Shri Pradip Kumar Sultania (w.e.f. 17/08/2011 till 18/08/2017)

Shri Mahesh Sharma (w.e.f. 17/08/2011 till 28/06/2017)

Shri Varun Pravinchandra Aghara (w.e.f. 18/09/2017)

Shri Ashish Murarka (w.e.f. 17/08/2011 till 31/01/2018)

c) Accounting for Taxes on Income

As availability of future taxable income is not certain, on consideration of prudence, provision for deferred tax assets is not made in term of AS 22, Accounting for Taxes on Income.

d) Scheme of Amalgamation:

i) A Composite Scheme of Arrangement (“the Scheme”) between Shivom Investment & Consultancy Limited (“SICL”) and Relax Vintrade Limited (“RVL”) and Intime Dealers Limited (“IDL”) under Sections 391 to 394 of the Companies Act, 1956 for amalgamation of RVL and IDL with the Company into the Company has been sanctioned by the High Court of Maharashtra at Calcutta on 13th May 2014. The Scheme has become effective from the appointed date 1st April 2011.

ii) Pursuant to the Scheme, all the assets, liability and reserves of RVL & IDL have transferred to and vested in the Company as a going concern with effect from the appointed date 1st April 2011.

* The amalgamation has been accounted for under the “Pooling of Interest Method” as per AS 14. Accordingly, as on appointed date, all the assets and liabilities have been taken at their book value and all the reserves identity has been preserved and added to identical reserves of SICL. The liabilities have been accounted for on their book value basis of accrual and certainty as decided by the management. However, as per the scheme the difference between Net asset value and equity shares issued to shareholders of transferor companies shall be recorded as Capital Reserve or goodwill.

* In the year 2014-15, As consideration for the amalgamation, the Company has during the year issued and allotted 3,30,00,000 Equity Shares of Rs 10/each fully paid up in the ratio of 165 (One Sixty Five) Equity Share of 10/- each of SICL for every 1 (One) Equity Shares of Rs 10/- each of RVL in the Capital of the Company, and 3,26,51,025 Equity Shares of Rs 10/- each fully paid up in the ratio of 165 (One Sixty Five) Equity Share of 10/- each of SICL for every 1 (One) Equity Shares of Rs 10/- each of IDL in the Capital of the Company.

* In the year, 2014-15, the difference between the net asset value i.e Book value of Assets minus liabilities (including reserves) of the transferor companies as on the appointed date and equity shares issued to the shareholders of transferor companies on amalgamation by the transferee company of Rs. 27.79 crores has been credited to goodwill account at the time of allotment of shares.

e) Details of dues to micro and small enterprises as defined under the MSMED Act,2006

On the basis of information available with the Company, under the Micro, Small and Medium Enterprises Development Act, 2006, there are no Enterprises to whom the Company owes dues which were outstanding anytime during the year. This has been relied upon by the Auditors.

f) Particulars as required in terms of Paragraph 13 of Non-Banking Financial (Non-Deposit Accepting or Holding) Companies Prudential Norms (Reserve Bank) Directions, 2007 are given by way of an Annexure to the financial statements.

g) Previous year figures have been recast/reclassified wherever appropriate to confirm to current year’s presentation as per revised Schedule II notified under the Companies Act, 2013.

h) All the figures in these notes are in ‘Rs’ except otherwise stated.

Notes :

¹ As defined in Paragraph 2 (1) (xii) of the Non-Banking Financial Companies Acceptance of Public Deposits (Reserve Bank ) Directions, 1998.

^2. Provisioning norms shall be applicable as prescribed in the Non - Banking Financial Companies Prudential Norms ( Reserve Bank ) Directions, 1998.

^3. All Accounting Standards and Guidance Notes issued by ICAI are applicable including for valuation of investments and other assets as also assets acquired in satisfaction of debt. However, market value in respect of quoted investments and break up / fair value / NAV in respect of unquoted investment should be disclosed irrespective of whether they are classified as long term or current in