2.10 Provisions

Provisions are recognised when the enterprise 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, and a reliable
estimate can be made of the amount of the obligation.

When the effect of the time value of money is material, the enterprise determines the
level of provision by discounting the expected cash flows at a pre-tax rate reflecting the
current rates specific to the liability. The expense relating to any provision is presented in
the Statement of Profit and Loss net of any reimbursement.

2.11 Contingent Liabilities

A contingent liability is a possible obligation that arises from past events whose existence
will be confirmed by the occurrence or non-occurrence of one or more uncertain future
events beyond the control of the Company or a present obligation that is not recognized
because it is not probable that an outflow of resources will be required to settle the
obligation. A contingent liability also arises in extremely rare cases where there is a
liability that cannot be recognized because it cannot be measured reliably. The Company
does not recognize a contingent liability but discloses its existence in the financial
statements.

2.12 Earnings Per Share

The Company reports basic and diluted earnings per share in accordance with Ind AS 33
on Earnings per share. Basic EPS vis calculated by dividing the net profit or loss for the

year attributable to equity shareholders (after deducting preference dividend and
attributable taxes) by the weighted average number of equity shares outstanding during
the year.

For the purpose of calculating diluted earnings per share, the net profit or loss for the
year attributable to equity shareholders and the weighted average number of shares
outstanding during the year are adjusted for the effects of all dilutive potential equity
shares. Dilutive potential equity shares are deemed converted as of the beginning of the
period, unless they have been issued at a later date. In computing the dilutive earnings
per share, only potential equity shares that are dilutive and that either reduces the earnings
per share or increases loss per share are included.

2.13 Accounting judgements, estimates and assumptions

The preparation of financial statements in conformity with the Ind AS requires the
management to make judgments, estimates and assumptions that affect the reported
amounts of revenues, expenses, assets and liabilities and the accompanying disclosure
and the disclosure of contingent liabilities, at the end of the reporting period. Estimates
and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognised in the period in which the estimates are revised and future
periods are affected. Although these estimates are based on the management's best
knowledge of current events and actions, uncertainty about these assumptions and
estimates could result in the outcomes requiring a material adjustment to the carrying
amounts of assets or liabilities in future periods.

In particular, information about significant areas of estimation, uncertainty and critical
judgments in applying accounting policies that have the most significant effect on the
amounts recognized in the financial statements is included in the following notes:

i. Useful lives of depreciable assets

Management reviews its estimate of the useful lives of depreciable assets at each
reporting date, based on the expected utility of the assets. Uncertainties in these
estimates relate to technological obsolescence that may change the utility of certain
software and IT equipment.

ii. Lease term of right-to-use assets

Management reviews its estimate of the lease term of right-to-use assets at each
reporting date, based on the expected utility of the leased property. Uncertainties in
this estimate relate to business obsolescence/discontinuance that may change the
lease term for certain right-to-use assets.

iii. Impairment of non-financial assets

Impairment exists when the carrying value of an asset or cash generating unit exceeds
its recoverable amount, which is the higher of its fair value less costs of disposal and
its value in use. The fair value less costs of disposal calculation is based on available
data from binding sales transactions, conducted at arm's length, for similar assets or
observable market prices less incremental costs for disposing of the asset. The value
in use calculation is based on a DCF model. The cash flows are derived from the
budget for the next five years and do not include restructuring activities that the

Company is not yet committed to or significant future investments that will enhance
the asset's performance of the CGU being tested. The recoverable amount is sensitive
to the discount rate used for the DCF model as well as the expected future cash-
inflows and the growth rate used for extrapolation purposes.

iv. Defined employee benefit assets and liabilities

The cost of the defined benefit gratuity plan and the present value of the gratuity
obligation are determined using actuarial valuations. An actuarial valuation involves
making various assumptions that may differ from actual developments in the future.
These include the determination of the discount rate; future salary increases and
mortality rates. Due to the complexities involved in the valuation and its long-term
nature, a defined benefit obligation is highly sensitive to changes in these assumptions.
All assumptions are reviewed at each reporting date.

v. Impairment of loans portfolio

The measurement of impairment losses across all categories of financial assets
requires judgement, in particular, the estimation of the amount and timing of future
cash flows and collateral values when determining impairment losses and the
assessment of a significant increase in credit risk. These estimates are driven by a
number of factors, changes in which can result in different levels of allowances.

It has been the Company's policy to regularly review its models in the context of
actual loss experience and adjust as and when necessary.

vi. Effective Interest Rate (EIR) method

The Company's EIR methodology, recognises interest income / expense using a rate
of return that represents the best estimate of a constant rate of return over the expected
behavioural life of loans given / taken and recognises the effect of potentially different
interest rates at various stages and other characteristics of the product life cycle
(including prepayments and penalty interest and charges).

This estimation, by nature, requires an element of judgement regarding the expected
behaviour and life-cycle of the instruments, as well expected changes to Company's
base rate and other fee income/expense that are integral parts of the instrument.

2.14 Operating Cycle

Based on the nature of products/activities of the company and the normal time between
acquisition of assets and their realisation in cash or cash equivalents, the company has
determined its operating cycle as 12 months.

2.15 Recent pronouncements

Ministry of Corporate Affairs (“MCA") notifies new standards or amendments to the existing
standards under Companies (Indian Accounting Standards) Rules as issued from time to
time. For the year ended March 31, 2025, MCA has notified Ind AS - 117 Insurance
Contracts and amendments to Ind AS 116 - Leases, relating to sale and leaseback
transactions, applicable to the Company w.e.f. April 1,2024. The Company has reviewed
the new pronouncements and based on its evaluation has determined that it does not
have any significant impact in its financial statements.

Terms/Rights attached :

Equity Shares:

The company has only one class of equity shares having a par value of Rs. 10 per share. Each holder of
equity shares is entitled to one vote per share. The company declares and pays dividends in Indian
Rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders
in the ensuing Annual General Meeting.

During the year ended March 31,2025, the amount of per share dividend recognized as distributions to
equity shareholders was Rs.Nil (March 31,2024 Rs. Nil) per Equity Share.

In the event of Liquidation of the Company, the holders of equity shares 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 shareholders.

Statutory Reserve pursuant to Section 45-IC of the RBI Act, 1934

Every non-banking financial company shall create a reserve fund to transfer therein a sum not less than twenty per
cent of its net profit every year as disclosed in the statement of profit and loss and before any dividend is declared.
Securities Premium Reserve

Securities premium reserve is used to record the premium on issue of shares. The reserve can be utilised only for
limited purposes such as issuance of bonus shares in accordance with the provisions of the Companies Act, 2013.
Capital Redemption Reserve

A statutory, non-distributable reserve into which amounts are transferred following the redemption or purchase of a
company's own shares. Subject to the company's articles, the capital redemption reserve may be used to pay up new
shares to be allotted to members as fully paid bonus shares.

FVTOCI Reserve

It represents the cumulative gains/ (losses) arising on the revaluation of Equity Instruments measured at fair value
through OCI, net of amounts reclassified to Retained Earnings on disposal of such instruments.

32. Capital Management:

The primary objectives of the Company's capital management policy are to ensure that the Company
complies with externally imposed capital requirements and maintains strong credit ratings and healthy
capital ratios in order to support its business and to maximise shareholders value.

The Company manages its capital structure and makes adjustments to it according to changes in economic
conditions and the risk characteristics of its activities. Capital Management Policy, objectives and processes
are under constant review by the Board.

The Company's objectives when managing capital are to safeguard the Company's ability to continue as
a going concern in order to provide maximum returns for shareholders and benefits for other stakeholders
and to maintain an optimal capital structure to reduce the cost of capital. The primary objective of the
Company's Capital Management is to maximise shareholder value. The Company manages its capital
structure and makes adjustments in the light of changes in economic environment and the requirements
of the financial covenants.

For the purposes of the Company's capital management, capital includes issued capital, securities premium,
and all other equity reserves attributable to the equity holders.

To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders,
return capital to shareholders or issue new shares. The Company monitors capital using a gearing ratio,
which is net debt divided by total capital plus net debt. The Company includes within net debt, other non¬
current financial liabilities, other non current liabilities, other current financial liabilities, other current liabilities,
trade payables less cash and cash equivalents.

The management assessed that the fair value of cash and cash equivalents, loans, other financial assets, borrowings, and
other current financial liabilites (except financial instruments carried at amortised cost) approximate their carrying amounts
largely due to the short-term maturities of these instruments.

b) Financial Instruments - Fair value measurement

This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a)
recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the
financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has
classified its financial instruments into the three levels prescribed under the accounting standard. An explanation of each level
follows underneath the table.

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes
listed equity instruments, traded bonds and mutual funds that have quoted price. The fair value of all
equity instruments and bonds which are traded in the stock exchanges is valued using the closing price
as at the reporting period. The mutual funds are valued using the closing NAV.

Level 2: The fair value of financial instruments that are not traded in an active market (for example,
traded bonds, over-the counter derivatives) is determined using valuation techniques which maximise
the use of observable market data and rely as little as possible on entity-specific estimates. If all significant
inputs required to fair value an instrument are observable, the instrument is included in level 2.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument
is included in level 3.

The carrying amounts of trade receivables, trade payables, capital creditors and cash and cash equivalents
are considered to be the same as their fair values, due to their short-term nature.

For financial assets and liabilities that are measured at fair value, the carrying amounts are equal to the
fair values.

34. Financial Risk Management Objectives and Policies:

The Company's principal financial liabilities comprise Borrowings and Payables. The Company's financial
assets include Investments, Loan, Interest receivable on Loan and Cash and Cash equivalents that
derive directly from its operations.

The Company is exposed to credit risk, liquidity risk and market risk. The Company's board of directors
has an overall responsibility for the establishment and oversight of the Company's risk management
framework. The board of directors has established the risk management committee, which is responsible
for developing and monitoring the Company's risk management policies. The committee reports to the
board of directors on its activities.

The Company's risk management policies are established to identify and analyse the risks faced by the
Company, to set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk
management policies and systems are reviewed to reflect changes in market conditions and the Company's
activities.

The Company's risk management committee oversees how management monitors compliance with the
Company's risk management policies and procedures, and reviews the adequacy of the risk management
framework in relation to the risks faced by the Company.

1) Credit risk

Credit risk is the risk of financial loss to the Company if a customer fails to meet its contractual obligations
and arises principally from the Company's receivables from customers and loans. The carrying amounts
of financial assets represent the maximum credit risk exposure.

Loans

The Company's exposure to credit risk is influenced mainly by the individual characteristics of each
Borrower / Customer, However, management also considers the factors that may influence the credit
risk of its customer base. Including the default risk associated with the industry. The Company's exposure
to credit risk for loans and advances by type of counterparty is as follows;

The Loans are repayable on demand, however an impairment analysis is performed at each reporting
date based on the facts and circumstances existing on that date to identify expected losses on account
of time value of money and credit risk. For the purposes of this analysis, the trade receivables are
categorised into groups based on days past due.

Investments

The company has made investments in Equity shares, bonds and units of mutual funds on the basis of
risk and returns of the respective scheme.

Cash and cash equivalent and Bank deposits

Credit risk on cash and cash equivalent and bank deposits is limited as the fund are in Current Account
and sometimes in invests in term deposits with banks.

2) Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting its obligations associated
with its financial liabilities. The Company's approach in managing liquidity is to ensure that it will have
sufficient funds to meet its liabilities when due.

The Company is monitoring its liquidity risk by estimating the future inflows and outflows during the start
of the year and planned accordingly the funding requirement. The Company manages its liquidity by
term loans, inter-corporate deposit and investment in mutual funds.

The table below summarises the maturity profile of the Company's non-derivative financial liabilities
based on contractual undiscounted payments along with its carrying value as at the balance sheet date.

3) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate
because of changes in market prices.

Market risk includes interest rate risk and foreign currency risk. The objective of market risk management
is to manage and control market risk exposures within acceptable parameters, while optimizing the
return.

4) Interest Risk

Interest rate risk arises from the possibility that changes in interest rates will affect future cash flows or
the fair values of financial instruments. The main business of the Company is providing loans to Corporates.
The Company uses its own fund as well as borrows the funds for its lending activity. These activities
expose the Company to Interest rate risk.

Interest rate risk is measured through earnings at risk from an earnings perspective and through duration
of equity from an economic value perspective. Further, exposure to fluctuations in interest rates is also
measured by way of gap analysis, providing a static view of the maturity and re-pricing characteristic of
balance sheet positions. An interest rate sensitivity gap report is prepared by classifying all rate sensitive
assets and rate sensitive liabilities into various time period categories according to contracted/behavioural
maturities or anticipated re-pricing date. The difference in the amount of rate sensitive assets and rate
sensitive liabilities maturing or being re-priced in any time period category, gives an indication of the
extent of exposure to the risk of potential changes in the margins on new or re-priced assets and liabilities.
The interest rate risk is monitored through above measures on a time to time basis.

The following table demonstrates the sensitivity to a reasonably possible change in interest rates (all
other variables being considered as constant) of the Company's statement of profit and loss and equity:

40 Gratuity and other post employment benefit plans (Ind AS - 19)

Defined Benefit Plans
Gratuity:

The gratuity payable to employees is based on the employee's service and last drawn salary at the
time of leaving the services of the Company and is in accordance with the rules of the Company for
payment of gratuity.

Inherent Risk:

The plan is defined benefit in nature which is sponsored by the Company and hence it underwrites
all the risks pertaining to the plan. In particular, this exposes the Company to actuarial risk such as
adverse salary growth, change in demographic experience, inadequate return on underlying plan
assets. This may result in an increase in cost of providing these benefits to employees in future.
Since the benefits are lump sum in nature, the plan is not subject to any longevity risks.

1. Analysis of Defined Benefit Obligation

The number of members under the scheme have remained the same.

The total salary has increased by 4.90% during the accounting period.

The resultant liability at the end of the period over the beginning of the period has increased
by 34.63%.

2. Expected rate of return basis

Scheme is not funded EORA is not applicable

3. Description of Plan Assets and Reimbursement Conditions

Not Applicable

4. Investment / Interest Risk

Since the scheme is unfunded the Company is not exposed to Investment / Interest risk.

5. Longevity Risk

The Company is not exposed to risk of the employees living longer as the benefit under the
scheme ceases on the employee separating from the employer for any reason.

6. Risk of Salary Increase

The salary escalation rate has remain unchanged and hence there is no change in liability
resulting in no actuarial gain or loss due to change in salary escalation rate.

7. Discount Rate

The discount rate has decreased from 6.97% to 6.45% and hence there is an increase in
liability leading to actuarial loss due to change in discount rate.

44 The provisions of section 186 of the Companies Act, 2013 pertaining to investment and lending
activities were not applicable to the Company since the Company was an NBFC. Further, during
the year, the Company has not provided any guarantee.

45 Disclosures as required by RBI Notification No. DNBR.019/CGM (CDS) - 2015 dated April 10,
2015 has not been given since the asset size of the Company does not exceed Rs.500 Crores as
on the Balance Sheet date.

46 There are no amounts due and outstanding to be credited to Investor Education & Protection
Fund as at March 31, 2025.

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

48 The Company is not required to spent any amount in terms of provisions of section 135 of the
Companies, Act 2013 on Corporate Social Responsibility.

49 The Company is not as wilful defaulter by any bank or financial institution or other lenders.

50 The are no transactions with the Struck off Companies under Section 248 or 560 of the Companies,
Act 2013.

51 No proceedings initiated or pending against the Company for holding any benami property under
the Benami Transactions (Prohibition) Act, 1988.

b) The Company has not acquired any loan not in default during the year ended March 31, 2025.

c) The Company has not transferred or acquired any stressed loan during the year ended March 31,
2025.

56 During the year, the Company has fulfilled NBFC Criteria of financial assets and financial income
more than 50 per cent of the total assets and total income respectively, Accordingly, the Company
holds NBFC registration from the Reserve Bank of India as at the year end and the financial results
are prepared as per Division III of Scedule III of the Companies Act, 2013.

57 In the opinion of the Board, the Current assets, and Loans and Advances have a value on realisation
in the ordinary course of the business at least equal to the amount at which they are stated in the
books of account and adequate provision has been made of founds all known liabilities.

58 a) Figures are disclosed in rupee in lakhs.

b) Previous year figures have been regrouped and/or reclassified wherever necessary to conform
to current year's presentation.

The accompanying notes are an integral part of these financial statements.

As per our Report of even date attached For and on behalf of

M/s. J M T & ASSOCIATES For and on behalf of Board of Directors

Chartered Accountants

Firm Registration No.104167W Narendra Karnavat Narendra Arora

Director Director

(Amar Bafna) (DIN : 00027130) (DIN : 03586182)

Partner

Membership No:048639 Chirag Bhuptani Ranjana Auti

Place: Mumbai Company Secretary Chief Financial Officer

Date : 15th May, 2025 (Membership No. ACS 55740)