Pending CIRP, the company has not carried out impairment testing of Property, Plant and Equipment in its entirety as at the balance sheet date. Although, on 4th of July, 2019, the physical verification and valuation of assets and inventories has been conducted by the ' registered IBBI valuer's as per IBC, 2016. However, no accounting impact was given in the financial statement of the Corporate Debtor based on the outcome of the valuation and physical verification of the assets. Refer Note 2.11.

Pursuant to transitional provisions prescribed in Schedule II of the Companies Act, 2013, the Company had fully depreciated the carrying value of assets, net of residual value, where the remaining useful life of the asset was determined to be Nil as on April 1,2014. ii) Accordingly, the company carried the net depreciated value as opening gross value instead of value before depreciation. The Gross value of Property, Plant & Equipment as at 31.03.2024 before such adjustments in past and subsequent years is Rs 21740.61 lakhs and the accumulated depreciation as at 31.03.2024 is Rs 19560.24 lakhs (as at 31.3.2023 is Rs 19229.83 lakhs ) .

Pursuant to transitional provisions prescribed in Schedule II of the Companies Act, 2013, the Company had fully amortised the carrying value of tangible assets, net of residual value, where the remaining useful life of the asset was determined to be Nil as on i) April 1, 2014. Accordingly, the company carried the net amortised value as opening gross value instead of value before amortisation. The Gross value of intangible Assets as at 31.03.2024 before such adjustments in past and subsequent years is Rs 960.85 lakhs and the accumulated amortisation as at 31.03.2024 is Rs 960.85 lakhs

Prepaid lease payment of Rs. 1.75 lakhs (as at 31.03.2023: Rs. 1.75 lakhs) incurred for settling right on leased assets for which documents are yet to be executed. The Company has applied to the Bihar Government for exemption of this land from the Urban Land (Ceiling and Regulation) Act, 1976. The decision of the Government is still awaited. On account of this the company has not amortised the lease payment.

Since the inception of CIRP, the Company has not done any assessment on the impairment of its financial assets.

The estimated liability for the allowance for credit impaired of the previous year of Rs. 70.77 lakhs remained same in the absence of any impairment as at 31.03.2024 (as at 31.03.2023 : Rs. 70.77 lakhs) for performance of the products (mainly rolls) based on past experience and amounts not likely to be received due to suspension of operations.

There were no outstanding debts due from directors or other officers of the Company.

The Company has one class of equity shares having a par value of Rs. 10 per share. Each shareholder is eligible for one vote per share held. As refered in Note 2.2, the company is under insolvency process and a Resolution Plan has been filed with the Ho'ble NCLT for approval which is reserved for order. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding as per Section 53 of the IBC.

... Non-cumulative redeemable preference ⁽⁾ shares

25,100,000 Non-cumulative redeemable preference shares of Rs. 100 each are entitled to a fixed rate of dividend at the rate of 8.50% p.a., 64,00,000 Non-cumulative redeemable preference shares of Rs. 100 each are entitled to a fixed rate of dividend at the rate of 7.17% p.a., 43,30,000 Non-cumulative redeemable preference shares of Rs. 100 each are entitled to a fixed rate of dividend at the rate of 7.00% p.a. and 300,000 Non-cumulative redeemable preference shares of Rs. 100 each are entitled to a fixed rate of dividend at the rate of 8.00% p.a.,The issuer shall redeem the preference shares at face value in three equal instalments in the following month after the month of completion of eighth, ninth and tenth year from the date of allotment. As the CIRP process has been initiated as refered in Note 2.2 and this amount is of related party, its priority for payment ranks last as per Waterfall Mechanism in IBC 2016 and is unlikely to be paid in view of non-availability of assets of the company. Also Jharkhand Bijili Vitran Nigam Limited the sole Resolution Applicant has proposed to resolve this company and the same was approved by comittee of creditors by more than 92 % votes. The said Resolution plan has been filed with Hon'ble NCLT, Kolkata for approval which is reserved for order.

(ii) The terms of repayment of other loans are stated below

Notes :

The unsecured borrowings represents amounts received and repayable / due to related parties of the Company. Interest chargeable in normal course of business is 7.00% p.a. on the outstanding loan balances (as at 31.03.2023: 7.00% p.a.). However, as the CIRP process has been initiated as refered in Note 2.2 and this amount due is of related party, its priority for payment ranks last as per Waterfall Mechanism in IBC 2016 and is unlikely to be paid (_i) in view of non-availability of assets of the company. Also Jharkhand State Electricity Board (the then) / Jharkhand ⁽⁾ Bijili Vitran Nigam Limited (JBVNL) ( now) the Resolution Applicant has proposed to resolve this company and the same was approved by comittee of creditors by more than 92 % votes. Since, the amount claimed comes under the category of related parties debt, no interest has been provided for in the financial year ended on 31.03.2024 (As on 31.03.2023: Rs 0 lakh) The said Resolution plan has been filed with Hon'ble NCLT, Kolkata for approval which is reserved for order.

... Provision for employee benefits include leave, early retirement and termination benefits provided by the Company as

⁽⁾ per the VSS scheme announced by the Company during the year and revised from time to time.

The provision for warranty claims incudes warranty given on sale of rolls. Provision for warranty is made based on (ii) technical estimates and past experience of such costs. Actual claims may differ from estimates and the difference is recognised in the year of occurrence.

29.1 Products and services from which reportable segments derive their revenues

Operating segments are defined as components of an enterprises for which discrete financial information is available. This was evaluated regularly by the chief operating decision maker, in deciding how to allocate resources and assessing performance untill the operations were suspended on account of initiation of CIRP. The Company's chief operating decision maker was the Board of Directors of the Company. Pursuant to the order of initiation of CIRP, the powers of the Board of Directors stood suspended and is being exercised by RP. (Refer Note 2.2)

As the company's operations have been suspended since 2016 and subsequently CIRP was initiated,the Company had no operations and therefore, there are no segment reporting applicable.

31 Employee benefit plan

31.1 Defined contribution plan

The Company participates in a number of defined contribution plans on behalf of relevant personnel. Any expense recognised in relation to these schemes represents the value of contributions payable during the period by them at rates specified by the rules of those plans. The only amounts included in the balance sheet are those relating to the prior month's contributions that were not due to be paid until after the end of the reporting period.

Significant actuarial assumptions for the determination of the unfunded defined benefit obligation are discount rate, expected salary increase and mortality. The sensitivity analyses below have been determined based on reasonably possible changes of the assumptions occurring at the end of the reporting period, while holding all other assumptions constant.

1) No Acturial valuation has been done for the period.

2) The gratuity plan is funded till the date of initiation of CIRP

3) As the Company has prepared the financial statements for the year ended 31 March, 2024 and 31 March, 2023 on not a going concern basis, liability for post retirement gratuity is provided for on an estimate basis till the initiation of CIRP and for post CIRP period it was suspended and hence disclosures as required under Ind AS 19 "Employee Benefits" related to defined benefit plans have not been made.

4) Further, the company received communication dated 19th Dec' 2022 from Employees' Provident Fund Organization, Regional Office, Jamshedpur enquiring whether the accumulated losses till date have been made good or not. It has been informed to the Regional Office that the Tata Yodogawa Provident Fund Trust has incurred accumulated losses of Rs 9232723 for the year ended 31st March 2019 to 31st March 2023 due to shortfall in the earnings of the Trust. As per the byelaws of the Trust, such loss/shortfall has to be paid by the company to Trust. However, as the CIRP has commenced since 5th April 2019 and the corresponding expense and liability of the said amount has not been provided for in the books of the company, the said shortfall amount will be paid by the Resolution Applicant on approval of which is reserved for order.

5) Refer Note 2.24

Note:

(i) In respect to Jharkhand State Electricty Board (JSEBt/Jharkhand Biili Vitran Nigam Limited (JBVNL)

Consequent to the judgment dated 2nd May, 2013 of Honorable Jharkhand High Court with regard to the applicability of power tariff structure on the Company's Induction Furnace Unit from January, 2000, the Jharkhand State Electricity Board (JSEB) (the then) / Jharkhand Bijli Vitran Nigam limited (JBVNL)( Now ) had raised rectified energy bill dated 10th June, 2013 for Rs. 27,203.00 lakhs (later claim revised to Rs. 26,361.00 lakhs). The rectified energy bill was challenged separately before the Honorable Jharkhand High Court. The Company had also contested the judgment dated 2nd May, 2013 on the applicability of power tariff structure by way of filing an appeal (Letters Patent Appeal) before the Honorable Jharkhand High Court which was admitted on merit on 3rd July 2013.

a) JSEB/JBVNL had also initiated certificate proceedings for recovery of Rs. 26,361.00 lakhs against the Company and Board of Directors, which was challenged before the Certificate Officer. The Certificate Officer in his Order dated 12th December, 2015 had absolved the directors from any liability to the extent the Certificate amount was considered. He also directed JSEB/JBVNL to raise revised bills and the Company to pay the same within 15 days of the Order. Consequently, JSEB/JBVNL raised the revised bill dated 24th December 2015 for Rs. 21,804.00 lakhs. The Company had also challenged the Order dated 12th December, 2015 of the Certificate officer before the Division Bench of the Honorable Jharkhand High Court.

On 18th December, 2015, the Division Bench of Honorable Jharkhand High Court passed its Order that "No Coercive Action" shall be initiated against the Company during pendency and final hearing of these Appeals. The matter is sub-judice.

During the Corporate Insolvency Resolution Process, JSEB/JBVNL had submitted a claim for Rs 44053.35 Lakhs including Delayed Payment Surcharge pursuant to Public Announcement dated 10th April, 2019 issued in terms of Section 15 of the IBC 2016. The claim raised by JSEB/JBVNL was recalculated by the Resolution Professional and appropriately admitted. The effect of such recalculation and admission of liability, however, has not been given effect to in the financial statements.

b) During the financial year 2000-01, Bihar State Electricity Board (BSEB) had issued circulars revising the fuel surcharge rates for the period from 1996-97 to 1999-2000. Based on management estimate the Company had paid and provided the principal amount aggregating to Rs. 43.61 lakhs in the books of account and filed a Letters Patent Appeal (LPA) before the Division Bench of the Jharkhand High Court disputing payment of delayed payment surcharge (DPS) amounting to Rs. 1,232.39 lakhs.

Further, the Company had also filed a Special Leave Petition (SLP) before the Hon'ble Supreme Court for seeking relief from payment of DPS. The Supreme Court granted stay on the payment of DPS till final decision by the Jharkhand High Court. The matter is still sub-judice. Pending finalisation of the matter no adjustments have been made in the financial statements for the year ended 31 March, 2024.

On admission of the claim and because they became members of CoC, liabilties towards JSEB/JBVNL cease to be contingent in nature.

(ii) In respect to others

As on 5th April 2019 (i.e. date of initiation of CIRP), the company had contingent liabilities towards Excise & Service Tax, Sales Tax and Income Tax departments. After the date of commencement of Corporate Insolvency Resolution Process (CIRP), Excise & Service tax and Sales Tax department had filed their claims of Rs 281.38 lakhs and Rs 760.31 lakhs respectively which were admitted by the RP and upon admission of the claim amount they became the members of CoC. Hence, they ceased to be contingent in nature. However, no effects of the same has been made in the financial statements.

34.2 The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.

34.3 Few of the shareholders of the Company have disputed title over the shares for which they are fighting cases with their relatives/ others to establish the title over the shares. As per the provisions of the Companies Act, 2013 and the court order, the Company is require to deposit these amount of dividend pertaining to those shares in a separate bank account .However, the company has closed the separate bank account The accumulated deposits over the years to this account is Rs. 0.47 lakh (As at 31.03.2023: Rs 0.47 lakh). The amount belongs to more than one shareholders. Accordingly, such amounts were transferred to the Investor Education and Protection Fund (IEPF) by the Company. (Also refer Note 12)

35 Financial instruments Capital management

The Company has incurred a loss of Rs. 330.47 lakhs during the year ended 31 March, 2024 (incurred a loss of Rs. 344.36 lakhs during the year ended 31 March, 2023) and the accumulated losses as at 31 March, 2024 amounting to Rs. 55,311.67 lakhs (as at 31 March, 2023 amounting to Rs. 54,981.20 lakhs) have eroded the net worth of the Company. The Company's operating results continue to be materially affected by various factors and unavailability of future financing.

The Board of Directors at their meeting held on 5th September, 2016 had decided to close the operations of the Company. Accordingly, on 6th September, 2016 the Company filed closure application U/s 25-O of the Industrial Disputes Act, 1947 with the State Government Authorities, which was rejected on 27th October, 2016. The Company filed a Writ Petition before the Honorable Jharkhand High Court against the rejection order. Currently the Company has withdrawn the petition in view of the amendment made to the Industrial Disputes Act, 1947 and also that the rejection order is valid for one year and has lost its force by efflux of time framed by Statute itself.

The CIRP in terms of the IBC has commenced pursuant to the Order dated 05.04.2019 passed by NCLT Kolkata and has appointed Mrs. Vinita Agrawal as the Interim Resolution Professional (IRP) of the Company. Mrs. Vinita Agrawal has now been confirmed as the Resolution Professional (RP) for the Company by the Committee of Creditors (CoC) constituted in terms of the IBC.

Consequent to a petition filed by CoC the Hon'ble NCLT, Kolkata , has passed an order on 30.10.2019 and has appointed Mr. Anish Agarwal (IP Registration No.: IBBI/IPA-001/IP-P-01497/2018-2019/12256) as Resolution Professional in place of Mrs. Vinita Agrawal .

B The following table provides an analysis of financial instruments that are measured subsequent to initial recognition at fair ' value, grouped into Level 1 to Level 3, as described below:

Quoted prices in an active market (Level 1):

This level of hierarchy includes financial assets that are measured by reference to quoted prices (unadjusted) in active markets for identical assets or liabilities. This category consists quoted equity shares, quoted corporate debt instruments and mutual fund investments.

Valuation techniques with observable inputs (Level 2):

This level of hierarchy includes financial assets and liabilities, measured using inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices). This level of hierarchy includes Company's over-the-counter (OTC) derivative contracts.

Valuation techniques with significant unobservable inputs (Level 3):

This level of hierarchy includes financial assets and liabilities measured using inputs that are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

Investments of the Company are measured at fair value at the end of each reporting period. However, since the inception of CIRP, company has not done any fair valuation of its investments. The following table gives information on determination of its fair value, the valuation technique and inputs used.

Notes:

(i) Includes certain investments whose fair values are Nil.

(ii) Cost of these investments approximate the fair value because there is a range of possible fair value measurements and the cost represents estimate of fair value within that range.

Fair value of the Company's financial assets and financial liabilities that are not measured at fair value on a recurring basis :

The directors/resolution professional consider that the carrying amounts of financial assets and financial liabilities recognised in the financial statements approximate their fair values.

C. Financial risk management

The Company's activities expose it to a variety of financial risks which includes market risk (including foreign currency exchange rate risk and interest rate risk ), credit risk and liquidity risk.

The Company's focus is to ensure liquidity which is sufficient to meet the Company's ongoing requirements. The Company monitors and manages key financial risks so as to minimise potential adverse effects on its financial performance. The Company has a risk management policy which covers the risks associated with the financial assets and liabilities. The details for managing each of these risks are summarised ahead.

Market risk

Market risk is the risk that the expected cash flows or fair value of a financial instrument could change owing to changes in market prices. The Company's activities expose it primarily to the financial risks of changes in Foreign currency exchange rate and interest.

Foreign currency exchange rate risk:

Foreign exchange risk comprises of risk that may arise to the Company because of fluctuations in foreign currency exchange rates. Fluctuations in foreign currency exchange rates may have an impact on the Statements of Profit and Loss. At the year end, the Company was exposed to foreign exchange risk arising from the foreign currency payables of the Company. However, the foreign currency liability has not been revalued as on 31.03.2024 due to the ongoing CIRP as the vendor has not submitted any claims to RP.

Interest rate risk management

The Company has a working capital borrowings from related party on which interest is payable at specified rates. However, due to the ongoing CIRP the company did not make any provisions for the interest on such borrowings. (Also refer Note 16)

Credit risk management

The operations of the Company remained suspended since 5th September, 2016, accordingly there was no counterparty risk other than the existing trade receivables against which sufficient credit risk allowance has already been created. (Also refer Note 10)

Liquidity risk management

Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with financial liabilities that are settled by delivering cash or other financial assets.

37 Figures of the previous periods have been regrouped, wherever necessary.

38 Approval of financial statements

(i) The resolution to receive, consider and adopt the Audited Financial Statements of the Company for the financial year ended 31st March 2020, 31st March 2021, 31st March 2022 and 31st March 2023 and the reports of the Board of Directors / Resolution Professional and the reports of the Auditor thereon were not approved and passed with the requisite majority of the shareholders in the 52nd , 53rd, 54th and 55th Annual General Meeting of the Company held on 25th September 2020, 30th September 2021,30th September 2022 and 14th September 2023 through Video Conferencing (“VC”)/ Other Audio-Visual means (“OAVM), respectively.

(ii) The resolution to appoint Statutory Auditors for the financial year ending 31st March 2021,31st March 2022, 31st March 2023 and 31st March 2024 to fix their remuneration was not passed with the requisite majority of the shareholders in the 52nd, 53rd, 54th and 55th Annual General Meeting of the Company held on 25th September 2020, 30th September 2021, 30th September 2022 and14th September 2023 through Video Conferencing (“VC”)/ Other Audio-Visual means (“OAVM), respectively. The re-appointments of Statutory Auditors for the financial year 31st March 2021,31st March 2022, 31st March 2023 and 31st March 2024; and to fix their remuneration have been done by the Resolution Professional, is in continuation of the resolution passed for the appointment of the Statutory Auditors by CoC in its 6th CoC Meeting held on 28th August 2019.

The Ind AS Standalone financial statements for the year ended on 31st March, 2024, were noted/approved for issue by Board of Directors/Resolution Professional on 23rd May, 2024.

For and on behalf of the Board of Directors/Resolution Professional