xiv Provisions, Contingent Liabilities and Contingent Assets

A provision is recognised when the Company has a present obligation (legal or constructive) as a result of past events and it is probable that an
outflow of resources embodying economic benefits will be required to settle the obligation, in respect of which a reliable estimate can be made of
the amount of obligation. Provisions (excluding gratuity and compensated absences) are determined based on management's estimate required
to settle the obligation at the Balance Sheet date. In case the time value of money is material, provisions are discounted using a current pre-tax
rate that reflects the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is
recognised as a finance cost. These are reviewed at each Balance Sheet date and adjusted to reflect the current management estimates.

Contingent liabilities are disclosed in respect of possible obligations that arise from past events, whose existence would be confirmed by the
occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company. A contingent liability also
arises, in rare cases, where a liability cannot be recognised because it cannot be measured reliably.

Contingent assets are neither recognised nor disclosed in the financial statements.

xv Cash Flows

Cash flows are reported using the indirect method, where by net profit before tax is adjusted for the effects of transactions of a non-cash nature,
any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or
financing cash flows. The cash flows from operating, investing and financing activities are segregated.

Note 2.3 :Recent pronouncements

Ministry of Corporate Affairs (“MCA”) notifies new standard or amendments to the existing standards under Companies (Indian Accounting
Standards) Rules as issued from time to time. On March 31, 2024, MCA has not notified any new standards or amendments to the existing
standard applicable to the company.

Note 23 : Contingent liabilities disclosures as required under Indian Accounting Standard 37, “Provisions, Contingent Liabilities and Contingent
Assets” are given below:

Claims against the Company under the Income Tax Act, 1961 Appeals are pending before High Court/ CIT (A) / Assessing Officer Rs.29.64 lakhs (as at
31 March 2023 Rs. 29.64 lakhs).

Note 24 : The Company has agreed to pay to Bombay Stock Exchange re-instatement fees of Rs 44.95 Lakhs in installments . Consequently, the
suspension in trading of equity shares of the Company has been revoked w.e.f. 29th April, 2024 and securities are available for trading in the “XT” Group.

Note 25 : Other Payables amounting to Rs. 837 lakhs were secured against charge on the land of the Company pursuant to an Arbitration Award dated
3rd December, 2010. During the Financial year 2019-20, this charge has been released and the said land has been sold as per the Arbitration Award and
sale consideration has been kept in an escrow account. This amount will now be payable as per the terms of Escrow Agreement. Accordingly, the said
payables have been disclosed as Other Current Liabilities in Note No. 16.

Note 28 : Segment Reporting

(i) Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision Maker (“CODM”) of the
Company. The CODM, who is responsible for allocating resources and assessing performance of the operating segments, has been identified as the
Chief Executive Officer of the Company. The Company operates only in one Business Segment i.e. 'Consultancy Services', hence does not have any
reportable Segments as per Ind AS 108 “Operating Segments”.

(ii) Further, from three external customers the company has revenue of f 16.00 lakhs (PY 16.00 lakhs ) more than 10% of the total revenue from
operations.

(iii) All the Non-current assets of the company are held in India

Financial Risk Management
Risk management framework

A wide range of risks may affect the Company’s business and operational / financial performance. The risks that could have significant influence on the Company
are market risk, credit risk and liquidity risk. The Company’s Board of Directors reviews and sets out policies for managing these risks and monitors suitable
actions taken by management to minimise potential adverse effects of such risks on the company’s operational and financial performance.

Market risk

Market Risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises
three types of risk: currency risk, interest rate risk and other price risk.

Currency risk

The Company is not much exposed to currency risk.

Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises
principally from the Company’s trade and other receivables, cash and cash equivalents and other bank balances. To manage this, the Company periodically
assesses financial reliability of customers, taking into account the financial condition, current economic trends and analysis of historical bad debts and ageing of
accounts receivable. The maximum exposure to credit risk in case of all the financial instruments covered below is restricted to their respective carrying amount.

(a) Trade and other receivables from customers

The Company extends credit to customers in normal course of business. The Company considers factors such as credit track record in the market and past
dealings for extension of credit to customers. To manage credit risk, the Company periodically assesses the financial reliability of the customer, taking into
account the financial condition, current economic trends, and analysis of historical bad debts and ageing of accounts receivables. Outstanding customer
receivables are regularly monitored to make an assessment of recoverability. Receivables are provided as doubtful / written off, when there is no reasonable
expectation of recovery. Where receivables have been provided / written off, the Company continues regular follow up,engage with the customers, legal options /
any other remedies available with the objective of recovering these outstandings.The Company is not exposed to concentration of credit risk to any one single
customer since services are provided to vast specturm.

(b) Cash and cash equivalents and other bank balances

The Company held cash and cash equivalents and other bank balances amounting to Rs. 5.63 Lakhs and Rs. 942.77 Lakhs respectively (March 31,2023: Rs.
5.26 and 888.26 Lakhs respectively). The cash and cash equivalents are held with bank with good credit ratings and financial institution counterparties with good
market standing.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The
Company does not have any exposure to the risk of changes in market interest rates as it relates primarily to the Company’s total debt obligations with fixed
interest rates.

Fair value sensitivity analysis for fixed-rate instruments :

The Company's fixed rate borrowings are carried at amortised cost. They are therefore not subject to interest rate risk as defined in Ind AS 107, since neither the
carrying amount nor the future cash flow will fluctuate because of a change in market interest rates.

Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering
cash or another financial asset. The Company’s approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its
liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

Note 30 Capital management

For the purpose of the Company's capital management, capital includes issued equity capital and all other equity reserves attributable to the equity holders of the
Company. The Company strives to safeguard its ability to continue as a going concern so that they can maximise returns for the shareholders and benefits for
other stake holders. The aim is to maintain an optimal capital structure and minimise cost of capital.

Note 33 : Corporate Social Responsibility

The Provision for CSR are not applicable as per Section 135 of Companies act 2013.

Note 34 : ADDITIONAL REGULATORY INFORMATION REQUIRED BY SCHEDULE III TO THE COMPANIES ACT, 2013

1 The Company does not have any benami property held in its name. No proceedings have been initiated on or are pending against the Company for holding
benami property under the Benami T ransactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.

2 The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government or any government authority.

3 The Company has complied with the requirement with respect to number of layers as prescribed under section 2(87) of the Companies Act, 2013 read with the
Companies (Restriction on number of layers) Rules, 2017.

4 Disclosure on Revaluation of property, plant and equipment and intangible assets from Registered Valuers is not applicable to company.

5 Relationship with Struck off Companies*

During the year, the Company has not entered into any transaction with companies stuck off under Section 248 of the Companies Act, 2013 or Section 560 of
Companies Act, 1956.

6 Utilisation of borrowed funds and share premium

I The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the
understanding that the Intermediary shall:

(a) 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

(b) Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries.

II The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in
writing or otherwise) that the Company shall:

(a) 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

(b) provide any guarantee, security or the like on behalf of the ultimate beneficiaries.

7 There is no income surrendered or disclosed as income during the year in tax assessments under the Income Tax Act, 1961 (such as search or survey), that has
not been recorded in the books of account.

8 The Company has not traded or invested in crypto currency or virtual currency during the year.

9 No dividend is declared and paid during the current financial year.

10 There has been no events after the reporting date that require disclosure in these financial statements.

11 The Company has not carried out any scheme of arrangement which is approved by regulatory authorities during the year.

12 The Company, in respect of current financial years has not used such accounting software for maintaining its books of account which has a feature of recording
audit trail (edit log) facility.

13 The Company does not have any charges or satisfaction of charges which is yet to be registered with Registrar of Companies beyond the statutory period.

Note 35 : Prior year comparatives

Previous year's figures have been regrouped or reclassified, to conform to the current year's presentation wherever considered necessary.

For C A S & Co. For and on behalf of the Board of Directors of

Chartered Accountants Automobile Products of India Limited

Firm Reg. No. 111075W CIN : L34103MH1949PLC326977

Sajjan Kanodia Shyam Agarwal Devesh Bhatt

Partner Director Director

Membership No. 048047 (DIN 00039991) (DIN 08225392)

Ajit Kathariya Indra Prasad Jain

Chief Executive Officer Chief Financial Officer

Ankit Patel

Company Secretary

Place : Mumbai Place : Mumbai

Date : 29th May 2024 Date : 29th May 2024