_ _ Claims against the company are either paid or treated as liability if accepted by the company and are treated as contingent

9 Contingent Li3Dilities i .. ,

- - liability if disputed by the company.

Disclosure The company has a contingent liability of Rs.847.57(in lakhs) as per the order issued by the Income tax
department dated 25th Dec 2019, for the A.Y. 2017-18 against which the company has filed an appeal.

* Interest accrued on the same is Rs277.28 (in lakhs)

The gratuity liability has been determined based on the provision of Gratuity Act, 1972 and charged to Statement of Profit

10 Retirement Benefit . and Loss.

' Contribution payable to the recognised provident fund which is defined contribution schemes, is charged to Profit and loss
account.

Borrowing costs are recognized as an expense in the period in which they are incurred, except when they are directly
attributable to the acquisition, construction, or production of a qualifying asset. Qualifying assets are those that require a
substantial period of time to prepare for their intended use or sale, and in such cases, the borrowing costs are capitalized as

11 Borrowing Costs : part of the cost of the asset.

Effective from mid-September, the company has revised its accounting policy to amortize loan processing costs. Due to the
impracticality of determining the retrospective effect, this change has been applied prospectively in accordance with the
applicable accounting standards.

A provision is recognised when the Company has a present obligation as a result of past event; it is probable that an
outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made.

12 Provisions : Provisions are not discounted to its present value and are determined based on best estimate required to settle the

obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the
current best estimates.

Basic earnings per equity share is computed by dividing profit or loss attributable to owners of the Company by the
weighted average number of equity shares outstanding during the financial year.

13 Earn in er share . Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into account the

' after income tax effect of interest and other financing costs associated with dilutive potential equity shares, and • the

weighted average number of additional equity shares that would have been outstanding assuming the conversion of all
dilutive potential equity shares.

Current Tax

The current charge for income is calculated in accordance with relevant tax regulations applicable to the company.

Deferred Tax

Deferred tax charge or benefit reflects the tax effects of timing differences between accounting income and taxable income

14 Taxes . f_or the year. The deferred tax charge or benefit and the corresponding deferred tax liabilities or assets are recognised using

the tax rates that have been enacted or substantially enacted by the balance sheet date. Deferred tax assets are recognised
only to the extent the is reasonable certainty that the assets can be realised in future; however, where there is unabsorbed
depreciation or carry forward of losses, deferred tax assets are recognised only if there is virtual certainty of realisation of
such assets. Deferred tax assets are reviewed at each balance sheet date and written- down or written-up to reflect the
amount that is reasonably/virtually certain to be realised.

Costs relating to acquisition and development of computer software are capitalised in accordance with the

Intangible assets and

15 amortisation thereof ' ^S-26 ‘Intangible Assets’ and are amortised using the straight line method over a period of five years, which is the

- Management’s estimate of its useful life.

. . . _ . _ Provision for Standard Assets / Substandard Assets / Doubtful Assets / Loss Assets has been made in compliance with the

_s[°^V'^SI0.ⁿ/ °^r—i_tf m"-" . directions of Reserve Bank of India. As per the RBI/DoR/2023-24/106 Master Direction No.

¹⁶ Assets ^P°^{UbtfU L}°^SS 1 Dor.FIN.REC.No.45/03.10.119/2023-24 dated 19th October 2023 (updated as on May 05th, 2025) Company has made

- general provision of 0.25% of Standard Assets. Other directives of Reserve Bank of India have been duly complied with.

Note:

1) 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 share
is entitled to one vote per share. In the event of liquidation of the Company, the holders of equity share 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 Share holders.

2) The equity shares are not repayable except in the case of a buy back, reduction of capital or winding up in terms of the provisions of the Companies Act, 2013.

3) Every member of the company holding equity shares has a right to attend the General Meeting of the Company and has a right to speak and on a show of
hands, has one vote if he is present in person and on a poll shall have the right to vote in proportion to his share of the paid-up capital of the company.

Note:

1. In Companies Act, 2013, it was mandatory to transfer the profit to general reserve before declaring dividend but first
proviso to section - 123(1) of Companies Act, 2013 provides that it is the discretion of the company to transfer the
profits to reserve at such rate as it deems fit before declaring dividend. (In PY, 31st March, 2025 Rs. 1 crores, was
transfered to General Reserve).

2. Dividend proposed for the FY 2024-25 and paid in the FY 2025-26 Rs. 0.50 per equity share, totalling to Rs.50 Lakhs.

Note:

Secured

1. Term Loans from Banks

a) For Purchase of Vehicles

The loans has been secured by hypothecation of assets acquired out of the proceeds of loan. The payment is made on
EMI and average interest rate on such loan is 13% p.a. The loan in this category shall be repaid in full by the end of year
2025.

b) Others

The loans has been secured by hypothecation of Debtors and Personal Guarantees. The payment is made on EMI and
average interest rate on such loans is 12.50%-12.90% p.a. Most of the loan in this category shall be repaid in full by the
end of year 5 year except for loan with Punjab National Bank (United Bank of India) & Indian Overseas Bank which
shall be repaid in full by the end of year 2025 & 2028 respectively.

2. Term Loans from Others

The loans has been secured by hypothecation of Debtors and Personal Guarantees. The payment is made on EMI and
average interest rate on such loans is 14.50% p.a. Most of the loan in this category shall be repaid in full by the end of
year 2025.

Note:

Secured

1. Cash Credit

The loan has been secured by hypothecation of Book Debts, Immovable Assets & FD. An average interest rate charged
by bank on such loan is 10.64% p.a.

2. Bank Overdraft

The loan has been secured by hypothecation of FD. An average interest rate charged by bank on such loan is 7.09%
p.a.

Unsecured

3. From Inter Corporates

The loan has been unsecured and is repayable in 12 months. An average interest rate charged on such loan is 15% p.a.

For KASG & Co. For and on behalf of the Board

Chartered Accountants DAR Credit and Capital Limited

Firm Regn. No.: 002228C

Ramesh Kumar VIJay Jayanta Banlk

(Chairman and Director) (CEO)

DIN - 00658473

Roshan Kumar Bajaj
Membership No.: 068523

UDIN: 25068523BMIWMF3193 Saket Saraf Priya Kumari

Place: Kolkata (CFO) (Company Secretary)

Date: 29'" May 2025