9. Provisions, Contingent Liabilities
and Contingent Assets

1. Provisions involving substantial
degree of estimation in
measurement are recognized
when there is a present
obligation as a result of past
events and it is probable
that there will be outflow of
resources.

2. Where as a result of past events,
there is a possible obligation
that may, but probably will
not, require any outflow of
resources, no provision is
recognized but appropriate
disclosure is made in the notes
as Contingent Liabilities.

3. Contingent liabilities are
disclosed on the basis of
judgement of the management/
independent experts. These are
revised at each Balance Sheet
date and adjusted to reflect the
current management estimate.

4. Contingent assets are disclosed
where an inflow of economic
benefits is probable.

5. Provisions, contingent liabilities
and contingent assets are
reviewed at each Balance Sheet
date.

6. However, where the effect of
time value of money is material,
the amount of provision shall
be the present value of the
expenditure expected to be
required to settle the obligation.

7. Capital commitments and
Contingent liabilities disclosed
are in respect of items which
exceed '100,000/- in each
case.

10. Non-current assets or disposal

group held for sale

Non-current assets, or disposal groups
comprising assets and liabilities are
classified as held for sale if it is highly
probable that they will be recovered
primarily through a sale rather than
through continuing use. Such assets,
or disposal groups, are generally
measured at the lower of their carrying
amount and fair value less costs to sell.
Assets and liabilities classified as held
for sale are presented separately in
the balance sheet. Property, plant and
equipment and intangible assets once
classified as held for sale/ distribution
to owners are not depreciated or
amortised.

Discontinued operations are excluded
from the results of continuing
operations and are presented as a
single amount as profit or loss post
tax from discontinued operations in

the statement of profit and loss.All
other notes to the financial statements
mainly include amounts for continuing
operations, unless otherwise
mentioned.

11. Income-tax

Income tax expense comprises current
tax expense and the net change in the
deferred tax asset or liability during
the year. Current and deferred tax are
recognised in the Statement of Profit
and Loss, except when they relate to
items that are recognised in Other
Comprehensive Income or directly
in equity, in which case, the current
and deferred tax are also recognised
in Other Comprehensive Income or
directly in equity, respectively.

Current tax:

Current tax expenses are accounted
for in the same period to which the
revenue and expenses relate. Provision
for current income tax is made for the
tax liability payable on taxable income
after considering tax allowances,
deductions and exemptions
determined in accordance with the
applicable tax rates and the prevailing
tax laws.

Current tax assets and current tax
liabilities are offset when there is a
legally enforceable right to set off the
recognised amounts and there is an
intention to settle the asset and the
liability on a net basis.

Additional Income tax that arise from
the distribution of dividends are
recognized at the same time when the
liability to pay the related dividend is
recognized.

Deferred tax:

Deferred tax is recognized using the
balance sheet method, providing for
temporary difference between the
carrying amount of an asset or liability
in the balance sheet and its tax base.
Deferred tax is measured at the tax
rates that are expected to apply
when the temporary differences are
either realised or settled, based on
the laws that have been enacted or
substantively enacted by the end of
reporting period.

A deferred tax asset is recognized
to the extent that it is probable that
the future temporary difference will
reverse in the foreseeable future

and the future taxable profit will be
available against which the temporary
difference can be utilized.

The carrying amount of deferred tax
assets are reviewed at each reporting
period and are reduced to the extent
that it is no longer probable that the
related tax benefit will be realized.
Minimum Alternative Tax (“MAT”) credit
forming part of Deferred tax assets is
recognized as an asset only when and
to the extent that it is probable that
the Company will pay normal income
tax during the specified period. Such
asset is reviewed at each Balance
Sheet date and the carrying amount of
the MAT credit asset is written down to
the extent there is no longer probable
to the effect that the Company will pay
normal income tax during the specified
period.

12. Borrowing Cost

1. Borrowing Costs if any, directly
attributable to the acquisition/
construction of qualifying assets
are capitalized as part of the cost of
the respective assets.

2. Other borrowing costs are
expensed in the year in which they
are incurred.

13. Government Grants:

1. Grants from the government are
recognised at their fair value where
there is a reasonable assurance that
the grant will be received and the
group will comply with all attached
conditions.

2. Government grants relating to

income are deferred and recognised
in the profit or loss over the period
necessary to match them with the
costs that they are intended to
compensate and presented within
other income.

3. Government grants relating to

the purchase of property, plant
and equipment are included in

non-current liabilities as deferred

income and are credited to profit
or loss on a straight-line basis over
the useful lives of the related assets
and presented within other income.

14. Financial Instruments
Recognition, Initial Measurement
and de-recognition

Financial Assets and Financial
Liabilities are recognised when the
Company becomes a party to the
contractual provisions of the financial
instrument and are measured initially
at fair value adjusted by transaction
costs, except for those carried at fair
value through profit or loss (FVTPL)
which is measured initially at fair value.
Subsequent measurement of Financial
Assets and Financial Liabilities are
described below.

Classification and Subsequent
Measurement of Financial Assets

For purpose of subsequent
measurement financial assets are
classified in two broad categories:-

• Amortized Cost

• Financial assets at FVTPL

All financial assets except for those
at FVTPL are subject to review for
impairment.

Amortised cost

A financial asset shall be measured at
amortised cost using effective interest
rates if both of the following conditions
are met:

a) The financial asset is held within a
business model whose objective is
to hold financial assets in order to
collect contractual cash flows; and

b) The contractual terms of the financial

assets give rise on specified dates to
cash flows that are solely payments
of principal and interest on the
principal amounts outstanding.

The Company's cash and cash
equivalents, trade and other
receivables fall into this category of
financial instruments.

Impairment of financial assets
Expected credit losses are recognized
for all financial assets subsequent to
initial recognition other than financial
assets in FVTPL category.

For receivables and contract assets,
the Company applies the simplified
approach permitted by Ind AS 109
Financial instruments, which requires
expected lifetime losses to be
recognized from initial recognition
of the trade receivables and contract
assets.

De-recognition of Financial
Instruments

Financial Assets are derecognised
when the contractual rights to the
cash flows from the Financial Assets
expire, or when the Financial Assets
and all substantial risks and rewards
are transferred. A Financial Liability is
derecognised when it is extinguished,
discharged, cancelled or expires.

15. Leases

i. As a lessee

The Company recognizes a right-of-use
asset and a lease liability at the lease
commencement date. The right-of-
use asset is initially measured at cost,
which comprises the initial amount
of the lease liability adjusted for any
lease payments made at or before the
commencement date, plus any initial
direct cost incurred and an estimate
of costs to dismantle and remove the
underlying asset or to restore the
underlying asset or the site on which
it is located, less any lease incentives
received.

The right-of-use asset is subsequently
depreciated using the straight-line
method from the commencement date
to the earlier of the end of the useful
life of the right-to-use asset or the
end of the lease term. The estimated
useful life of right-of-use asset is
determined on the same basis as those
of property, plant and equipment.
In addition, the right-of-use asset is
periodically reduced by impairment
losses, if any, and adjusted for certain
remeasurements of the lease liability.
The lease liability is initially measured
at the present value of the lease
payments that are not paid at the
commencement date, discounted
using the interest rate implicit in
the lease or, if that rate cannot be
readily determined, the Company's
incremental borrowing rate.

The lease liability is measured at
amortized cost using the effective
interest method. It is remeasured
when there is a change in future
lease payments from a change in
an index or rate. When the lease
liability is remeasured in this way, a
corresponding adjustment is made to
the carrying amount of the right-of-use
asset, or is recorded in the profit and

loss if the carrying amount of the right-
of-use asset has been reduced to zero.

The Company presents right-of-use
asset that do not meet the definition of
investment property in “Property, plant
and equipment” and lease liabilities
in “other financial liabilities” in the
Balance Sheet.

Short term leases and leases of low
value assets: The Company has elected
not to recognize right-of-use asset and
lease liabilities for short term leases
that have a lease term of 12 months
or less and leases of low value assets.
The Company recognizes the lease
payments associated with these leases
as an expense on a straight-line basis
over the lease term.

Cancellable lease: The Company
recognise the lease payments
associated with the leases which are
cancellable in nature as expense on a
straight-line basis over the lease term.

ii. As a lessor

When the Company acts as a lessor,
it determines at lease inception
whether each lease is a finance lease
or an operating lease. To classify each
lease, the Company makes an overall
assessment of whether the lease
transfers substantially all the risk and
rewards incidental to the ownership
of the underlying asset. If this is the
case, then the lease is a finance lease,
if not, then it is an operating lease. As
part of the assessment, the Company
considers certain indicators such as
whether the lease is for the major part
of the economic life of the asset.

If an arrangement contains lease and
non-lease components, the Company
applies Ind AS 115 “Revenue from
contract with customers” to allocate
the consideration in the contract.

The Company recognizes lease
payments received under operating
lease as income on a straight line
basis over the lease term as part of
“Revenue”.

16. Exceptional Items

The company discloses certain
financial information both including
and excluding exceptional items. The
presentation of information excluding
exceptional items allows a better
understanding of the underlying

performance of the company and
provides consistency with the
company's internal management
reporting. Exceptional items are
identified by virtue of either their
size or nature so as to facilitate
comparison with prior periods and
to assess underlying trends in the
financial performance of the company.
Exceptional items can include, but are
not restricted to, gains and losses on
the disposal of assets/ investments.

17. Prior Period Items

Material prior period items which arise
in the current period as a result of
error or omission in the preparation of
prior period's financial statement are
corrected retrospectively in the first
set of financial statements approved
for issue after their discovery by:

a) restating the comparative
amounts for the prior period(s)
presented in which the error
occurred; or

b) if the error occurred before the
earliest prior period presented,
restating the opening balances
of assets, liabilities and equity
for the earliest prior period
presented.

c) Any items exceeding rupees
five lakhs ('5 Lakhs) shall be
considered as material prior
period item.

d) Retrospective restatement
shall be done except to the
extent that it is impracticable
to determine either the
period specific effects or
the cumulative effect of the
error. When it is impracticable
to determine the period
specific effects of an error
on comparative information
for one or more prior periods
presented, the company shall
restate the opening balances
of assets, liabilities and equity
for the earliest prior for which
retrospective restatement is
practicable (which may be the
current period).

18. Cash and Cash Equivalent

Cash and cash equivalents comprise
cash at bank and on hand. It includes
term deposits and other short-term

money market deposits with original
maturities of three months or less
that are readily convertible to known
amounts of cash and which are subject
to an insignificant risk of changes in
value.

19. Segment Reporting

Operating segments are reported in a
manner consistent with the internal
reporting provided to the chief
operating decision maker.

The Board of Directors assesses the
financial performance and position
of the group and makes strategic
decisions and have identified business
segment as its primary segment.

20. Cash Flow Statement

Cash Flow Statement, as per Ind AS 7,
is prepared using the indirect method,
whereby profit for the period 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 items
of income or expenses associated with
investing or financing cash flows. The
cash flows from operating, investing
and financing activities of the company
are segregated.

21. Earnings per share

1. Basic earnings per share: Basic
earnings per share is calculated
by dividing the net profit or loss
for the year post tax attributable
to equity shareholders by
weighted average number
of equity shares outstanding
during the period.

2. Diluted earnings per share:
Diluted earnings per share
is calculated by dividing the
net profit or loss for the year
post tax attributable to equity
shareholders by the weighted
average number of equity shares
outstanding including equity
shares which would have been
issued on the conversion of all
dilutive potential equity shares
unless they are considered anti¬
dilutive in nature.

* The Share are not transferable without the consent of Co-promoters within ten years. Even after ten years Shares can not be transferred to private parties.

** Proposal was received from the State Government to pay '79.39 lakh as depreciated cost of building as full and final amount to ITDC against transfer of all rights and ownership

of the project to PTDC and other expenses will be borne by both the Joint Venture Partners as per their respective shareholding and will be booked as loss in their books of accounts.
The proposal was examined and approved in the ITDC Board. Hence, on a prudent basis, provision for dimunition in value of investment has been created for an amount of
'48.11 lakh.

*** Share in Joint Venture Company - ITDC Aldeasa India Private Limited for an amount of '0.50 lakh, for which provision for dimunition in value of investment of '0.50 lakh was already
created. RoC vide Notice No ROC-DEL/248(5)/STK-7/071 dated September 1, 2017, notified that the Joint Venture Company - ITDC Aldeasa India Private Limited, have been struck off
from the Register of the Companies and the said is dissolved, w.e.f., August 21, 2017.

**** Investment worth '25/-, provision has been created against these investments due to non-traceability of the respective share certificates"

Notes:

The investment in equity/preference shares in three subsidiary companies viz. Ranchi Ashok Bihar Hotel Corporation Ltd. (RABHCL), Utkal Ashok Hotel Corporation Ltd. (UAHCL) and
Pondicherry Ashok Hotel Corporation Ltd. for '800.48 lakh included in '879.87 lakh and amount recoverable from subsidiary - UAHCL are considered good for recovery despite their
having incurred significant accumulated losses.

As regards RABHCL, outstanding loans with interest and other receivables including price of investment, upto December 28, 2020 has been received. However, on account of pendency of
share transfer formalities amount against investment has been shown as advance of '306.00 lakh.

During the previous financial years sale proceeds of disinvestment of three other subsidiary companies viz. Assam Ashok Hotel Corporation Ltd. (AAHCL), Madhya Pradesh Ashok Hotel
Corporation Ltd. (MPAHCL) and Donyi Polo Ashok Hotel Corporation Ltd. (DPAHCL) were received by ITDC which were much more than the amount originally invested in the said subsidiary
companies. Moreover, all other outstanding amount receivables from these three subsidiary companies were also fully settled by them. The process of disinvestment of remaining
subsidiary company, i.e., UAHCL & Pondicherry Ashok Hotel Corporation Ltd. are also being carried out on the same principle. Therefore, the investment in the subsidiary company and
amount recoverable from them are considered good for recovery and no provision against such investment and recoverable is considered necessary.

1 The Airports Authority of India (AAI)
and other private airport operators
had levied service tax on their
billings for licence fee/royalty for
Duty Free Shops at various locations
and Ashok Airport Restaurant w.e.f.
September 10, 2004. However,
the Circular dated September 17,
2004 issued by the Government
of India provides that the activity of
renting, leasing out part of airport/
civil enclave premises does not
amount to rendering of services
and the license fee/ royalty payable
in this regard is not subject to be
covered under service tax. M/s
Airports Authority of India had
filed an appeal in CESTAT interalia
to adjudicate if Service tax is
chargeable on Appellants revenue
from renting/ leasing of space inside
Airports Civil Enclave to various
persons for their business activities.
The CESTAT vide their order date
January 2, 2015 had ordered that
service tax is chargeable on above
renting/ leasing. The AAI has
further appealed against the order.
Further an amount of '160.97 lakh
paid by ITDC as security deposit in
the form of Fixed Deposit during
2006-07 was encashed by Delhi
International Airport Pvt. Ltd.(DIAL)
on account of Service tax levied as
above. Pending final resolution of
the matter the estimated liability
of '1,723.96 lakh (Previous year
'1,723.96 lakh) from September 10,
2004 to March 31, 2008 has been
included as Contingent Liability at
Para A(a)(i). above, and '160.97
lakh has been included under Other
Financial Assets (Non-Current).
However, provision for credit losses
have been made for the deposit
amount of '160.97 lakh during F.Y.
2020-21.

2 ITDC (Regional Office - South)
was occupying the premises at 29,
Ethiraj Salai, Chennai on lease w.e.f.
December 1, 1980 and the Lease
Agreement had been continuously
renewed till November 20, 2010.

However, after the said date,
Ms. Junaitha Begum (power of
attorney hoder) had desired to
extend the period for 11 months
and called upon to handover the
premises at the end of lease. During
2013, the lessor three different
proceedings were initiated against
ITDC. Rent was revised from
'0.45 lakh to '8.81 lakh as the
fair rent per month by The Rent
Controler Appellate Tribunal vide
order dated September 1, 2018.
An amount of '200.00 lakh has
been deposited with The Registrar
General, High Court, Chennai 104
as ordered by this Hon'ble Court
order. Subsequently, the landlord
lady filed a withdrawal of payment
application in the High Court,
Madras to withdraw the entire
'200.00 lakh deposited by ITDC
in the High Court. After hearing
both the sides, the Court vide
Order dated September 25, 2019
permitted the applicant/ landlord
to withdraw a sum of '100.00
lakh deposited by ITDC before the
Court along with proportionate
accrued interest. Further ITDC
has deposited '288.75 lakh as per
Hon'ble Court Order dated October
31, 2022.

ITDC filed a SLP to the Hon'ble
Supreme Court and the Court
granted interim stay in the order
passed by the High Court of Madras
vide order dated September 29,
2022. Further, upon landlord's
submission for withdrawal of
deposited amount, Court Order
dated October 4, 2024 permitted
the landlord to withdraw 50%
of the amount deposited with
Supreme Court, i.e, '144.37 lakh.
The balance amount of '244.37 lakh
deposited with the Court is shown
in Financials as Other Current
Assets, and has been considered
under Contingent Liability.

3 The dispute between ITDC Hotels
(Ashok, Samrat, Janpath) and
NDMC spans several years, with

significant developments in recent
legal proceedings. NDMC finalized
the assessment against a court case
filed by ITDC, up to the financial
year 2008-09. ITDC accepted the
assessment and made the payment
accordingly. However, the dispute
escalated from the financial year
2009-10 onwards when NDMC
implemented the unit area method
for taxation, resulting in notices and
assessments for 2009-10 to 2024¬
25 under New Annual Rent Bye
Law 2009. The assessment done
by the NDMC on very high side in
comparison with the previous
year's assessment.

Various associations, including
ITDC, challenged the unit area
method in the Hon'ble High Court of
Delhi, which was eventually struck
down on August 10, 2017. NDMC
then filed a Special Leave Petition
(SLP) in the Hon'ble Supreme
Court of India, which upheld the
judgment of the Hon'ble High Court
of Delhi on January 27, 2019.

Despite the dismissal of NDMC's
appeal by the Hon'ble Supreme
Court of India, NDMC reassess
the hotels on comparable rent
under section 63(1) of NDMC Act
1994. The Hon'ble High Court vide
it's order dated December 18,
2024 observed that the NDMC/
Petitioner's grievance stands
satisfied. The writ petitions,
alongwith pending applications,
are therefore disposed of in terms
of the aforesaid statement on
behalf of NDMC and the rights
and contentions of the parties in
respect to any fresh assessment
orders that NDMC may press are
left open.

Various representations dtd.
December 21, 2023, October 28,
2024 and March 10, 2025 are
submitted to NDMC. ITDC has
assessed property tax liability
amounting to '9,867.00 lakh
(Hotel Ashok and Hotel Samrat)
upto F.Y. 2023-24. The matter is

under discussion with NDMC for
settlement.

During the current year, an amount
of '8,243.00 lakh has been
considered in the Books of Accounts
('658.00 lakh considered in F.Y.
2024-25, '509.00 lakh in F.Y. 2023¬
24 and '7,076.00 lakh adjusted
against the opening reserves).

ITDC considered a contingent
liability of '47,565.90 lakh (Hotel
Ashok - '28,998.56 lakh, Hotel
Samrat - '12,443.80 lakh and Hotel
Janpath - '6,123.54 lakh).

4 M/s Gupta Bros (India) (GBI) were
awarded a contract by ITDC in
2009 for renovation of 186 rooms
and suites on 4th, 5th & 7th floor
along with other spaces at Hotel
Ashok. The said works were to be
completed within strict timelines
considering the prestigious
event of Commonwealth Games
(CWG) 2010.

GBI committed breach of the
contract and despite time being
essence of the contract GBI did not
even complete 40% of the work till
stipulated period (despite repeated
extensions). On account of the said
breaches, the contract with GBI was
terminated by ITDC in May, 2010.
Subsequently, GBI approached the
Hon'ble High Court of Delhi and
as per Orders, a Sole Arbitrator
was appointed to adjudicate the
disputes between the parties.

In the pending arbitration, GBI has
filed its statement of claim for an
amount of '161.99 Cr along with
interest and cost of arbitration.
Matter is still pending at Arbitration
and is next listed for hearing on July
7, 2025. ITDC has already booked
an admitted liability of '697.88
lakh, hence, contingent liability is
considered of '15,501.16 lakh in the
matter.

Also, ITDC has filed a counterclaim
of '14,141.90 lakh with interest
claiming the amount spent
for getting the work done,

compensation of delay, business
loss, loss of reputation, etc.

i M/s Kayo Enterprises Pvt Ltd has
entered into a License Agreement
dated January 06, 2018 with
Hotel Samrat - a unit of ITDC, for
occupying space in Hotel Samrat
for running restaurant on license
fees basis for a period of five years.
M/s Kayo Enterprises (Licensee)
has failed to make the payment
of license fees on regular basis.
Due to non-payment of license
fees, the license agreement has
been terminated on May 14, 2020
and Hotel Samrat has filed cases
under section 138/ 141 of NI Act
for dishonor of the Cheques to the
tune of '857.18 lakh which is almost
equal to the outstanding amount
(after adjusting the existing security
deposit of '201.67 lakh). Further
the fixed assets and equipments
are lying in the premises of Hotel
Samrat which is under lien to Hotel
Samrat as per the agreement and
can be auctioned as per direction
of Estate Office, ITDC under PPE
Act. Hotel Samrat has prayed for
recovery of damages of '48,578.85
lakh quantified as on June 20, 2022
for illegal occupation by Kayo from
May 15, 2020 till the date of handing
over of the possession before the
Ld. Estate Officer under provisions
of the PP Act, 1972. Matter is listed
for hearing on July 9, 2025.

M/s Kayo Enterprises Pvt. Ltd. has
also filed an Arbitration Application
U/s 11(6) of the Arbitration and
Conciliation Act, 1996 for the
appointment of Arbitrator and
claiming damages alleging some
structures deemed illegal by
authorities delaying NOC for
commercial operations for an
amount of '2,765.63 lakh. The
Hon'ble Delhi High Court vide
order dated December 22, 2021
has appointed a Sole Arbitrator to
adjudicate the disputes between
the parties. Matter is listed for
hearing on July 14, 2025.

Total Provision for Bad & Doubtful
has been created against the party
of '756.72 lakh (Previous year
'756.72 lakh) after considering
the lien over the fixed assets and
equiments lying in the premises of
Hotel Samrat.

6 Hotel Ashok licensed out space
to M/s Sustainable Luxury Gravity
Global for “International Standard
Spa, Health Club & Swimming Pool”
in the Ashok Hotel for a period of 10
years on as in where is basis upto
December 13, 2028. Due to non¬
payment of licence fee, electricity
fee, water charges etc. ITDC filed
recovery application under PP Act
1972 for recovery of an amount of
'1,432.48 lakh. Simultaneously,
M/s Sustainable Luxury Gravity
Global appointed Arbitrator by the
Hon'ble Delhi High Court based
on the request of agencies, where
their claim for '7,676.79 lakh
(considered as contingent liability).
Apart from the two cases above,
criminal complaints were also filled
on account of Cheque bounce
against the party. The matter is
listed for hearing on August 8, 2025
(Arbitration) and July 10, 2025
(Estate Office).

7 M/s Good Times Restaurant Private
Limited (GTRPL) was licenced
out space for running a 24 hour
F & B (International Cuisine) outlet
at Hotel Samrat, New Delhi. M/s
GTPRL failed to pay the agreed
license fees from the period June,
2010 upto June, 2011. Legal demand
notice was serviced to M/s GTRPL
for outstanding dues. Also, M/s
GTRPL has filed claims before the
sole arbitrator claiming a total sum
of '1,400.00 lakh (approx.) towards
refund of license fee. Arbitrator
passed an award of '1,169.59 lakh
with interest 18% and cost of '5.00
lakh against Hotel Samrat on March
30, 2019. ITDC (Hotel Samrat) has
challenged the award and filed
an appeal against the arbitration
award before the Delhi High Court

under relevant and Applicable law
and after hearing the matter the
operation of the award has been
stayed by the Hon'ble Delhi High
Court vide order dated November
23, 2020 subject to deposit the
amount of '904.16 lakh inclusive

of interest as per arbitration order.
Accordingly, '904.16 lakh has been
deposited with the High Court
for admission of appeal (shown
under Note 13 - Other Current
Assets - Amount Recoverable)
and matter to be heard before the

Hon'ble High Court. M/s GTRPL has
also filed an execution petition.
The matter is listed on August
18, 2025. Contingent liability has
been considered for an amount
of '1,169.59 lakh (Previous Year
'1,169.59 lakh).

NOTE: 39 - GENERAL NOTES

1. System has been developed for
obtaining confirmation from
Debtors. Multiple confirmation
letters have been sent to parties and
kept on record. The Company does
not expect any material variation
w.r.t the recoverability/ payment of

the same. Also, confirmation letters
have been sent to Creditors.

In the opinion of the management,
the value of current assets, loans
and advances on realization in the
ordinary course of business, will
not be less than the value at which
they are stated in the Financial
Statement.

2. The net accumulated amount of
losses - '4,303.34 lakh (Previous
year '4,136.36 lakh) of subsidiary
companies so far as it concerns
the company, not dealt with in the
accounts is as under:-

3. Following the past practice,
consumption of Stocks, stores,
crockery, cutlery etc. has been
worked out by adding opening
balances to purchases and
deducting therefrom closing
balance based on physical
inventories valued as per the
accounting policy.

Valuation of stock of crockery,
cutlery, glassware and linen, etc.
in circulation, items are to written
off/ amortized as per the same
accounting practice followed over
the years (applicable for Hotel
Units), i.e., as a total % of items in
circulation. Item wise amortization
rate is detailed below:

a. Crockery & Cutlery (Brass
Items) - 20.00%

b. Crockery & Cutlery (Other
Items) - 33.33%

c. Linen Items - 50.00%

4. Impairment of Financial Assets
(Provisioning of Trade Receivables
and Other Receivables)
Expected credit losses are
recognized for all financial

subsequent to initial recognition
other than financial assets in FVTPL
category.

For receivables and contract
assets, the Company applies the
simplified approach permitted by
Ind AS 109 - Financial Instruments
which requires expected lifetime
losses to be recognized of the trade
receivables and contract assets.

Hence, company is complying to
the requirements of Ind AS. Under
the simplified approach company
is following the below mentioned
practice:

a. Impairment / provision is

being created 100% - on

the Receivables (other than
Government or PSU Parties or
Autonomous bodies), ageing
more than 3 years, net of Bank
Guarantee or Security Deposit
or lien of the assets any other
security available with the
Company;

b. For Government or PSU parties
on case to case basis based
on detailed review by the Unit
Management/ Cross functional

committee assessment

considering the circumstances
and facts of the relevant case;

c. Impairment / Provision is being
created 100% - on Receivables
ageing below 3 years where
party has filed a legal suit /
litigation against the Company;

d. After providing impairment/
provision as per above steps,
company assesses its total
impairment during the year in
comparison to the estimated
provisioning of the past trend.
Shortfall (if any) is created
as an additional impairment/
provision for the year.

On the analysis of past trend
of provisioning, an estimated
impairment/ provisioning of 3%
is derived on the total trade and
other receivables of the Company.
The same would be followed for
the coming years as well, unless
there are exceptional changes or
circumstances.

5. ITDC entered into an agreement
dated February 19, 2002 with M/s.
Maruti Udyog Ltd. (now Maruti

10. Risk Management :

The company's activities expose
it to market risk, liquidity risk and
credit risk. This note explains the
sources of risk which the entity
is exposed to and how the entity
manages the risk:

a. Credit Risk: Credit Risk refers
to the risk of default on its
obligation by the counterparty
resulting in a financial loss.
Primarily exposure to the credit
risk is from trade receivables
amounting to '21,979.07 lakhs
(previous year '16,239.34
lakhs) and unbilled revenue
amounting to '5,070.44 lakh
(previous year '1,295.00 lakh)
which are typically unsecured.
Credit risk is being managed
by continuously monitoring
the outstanding dues from the
customers.

Further, most of the
clients of the company are
Government or Government
Undertakings; hence credit risk
is bare minimum. Company
has impaired, as a prudent
measure, the trade receivables
towards expected credit loss as
per company accounting policy

to the extent of '9,885.57 lakhs
(previous year '8,618.63 lakhs).
Keeping in view the nature of
business expected credit loss
is provided as per the policy on
impairment of financial assets.

No significant credit risk on cash
and bank balances amounting
to '8,145.50 lakhs (previous year
'5,413.48 lakhs) is expected as
company parks surplus funds
with Schedule Banks having
good credit adequacy ratio and
least NPA as determined by RBI
and guidelines of the company.
Company has parked its owned
funds in fixed deposits of
'13,569.31 lakhs (previous year
'11,017.44 lakhs) with Schedule
banks with negligible credit
risks.

The Company has also provided
House Building Loan, Vehicle
Loan and Computer Loan to
the employees amounting
to '2.78 lakhs (previous year
'2.78 lakhs), these loans are
secured and the Company
does not envisage any risk from
the same in nearby future.
The Company has granted
interest bearing loans to its
subsidiaries (incl. interest)
amounting to '3,082.41 lakh
(previous year '2,912.38 lakh).

b. Liquidity risk: Company's
principal source of liquidity are
cash and bank balances and the
cash flow that is generated from
the operations. The Company
has no bank borrowings and is
an unleveraged entity.

The Company has a working
capital of '33,089.30 lakh
(previous year '27,290.73
lakh) including cash and bank
balances of '8,145.50 lakhs
(previous year '5,413.48 lakhs).
Fund flow statement and
investment of surplus funds
is also reported in the audit
committee meetings held from
time to time.

Company believes that the
working capital is sufficient to
meet its requirements and to
discharge its liabilities towards
trade payables and other
current liabilities as and when
they fall due, accordingly no
liquidity risk is being perceived
by the Company.

c. Market Risk:

• Interest rate risk: The
company is exposed to
interest rate risk to the
extent of its investments
in fixed deposits with
banks. The company also
invested in preference share
capital of its subsidiary
company Utkal Ashok Hotel
Corporation limited (unit
is non-operative since
31.03.2004).

• Foreign currency risk: The
Company has duty free
shops at major sea ports in
India. The foreign currency
is being collected against
the sale proceeds from
customers at these shops.
The duty free goods for
the same are purchased
centrally for these shops.
The Foreign currency
exposure in the company is
not material.

d. Capital Management:

The Company' s capital
management objectives are :

- to ensure the Company's ability
to continue as a going concern

- to provide an adequate return
to shareholders.

The Company monitors capital
on the basis of the carrying
amount of equity less cash and
cash equivalents as presented
on the face of balance sheet.
Management assesses the
Company's capital requirements
in order to maintain an efficient
overall financing structure while
avoiding excessive leverage.
The Company manages the
capital structure and makes
adjustments to it in the light of
changes in economic conditions
and the risk characteristics of
the underlying assets. In order
to maintain or adjust the capital
structure, the Company may
adjust the amount of dividends

paid to shareholders, return
capital to shareholders, issue
new shares, or sell assets to
avoid debt.

11. Private Licensees of Hotel and
Catering Units of ITDC, i.e., Hotel
Ashok (New Delhi), Hotel Samrat
(New Delhi) and Taj Restaurant
(Agra) had made request for waiver
of licence fees for the lockdown
period.

The matter has been submitted
before the Board of ITDC. Keeping
in mind the business scenario and
considering the impact on cash
flow, bills were not generated
against most of the Private
Licensees for the lockdown period
amounting to '1,292.59 lakh upto
September, 2020 and hence, not
considered in the Financial Results.
ITDC Board discussed that the
grievances of Licences are genuine
but it is also a fact that ITDC is a
commercial organization and has
been paying taxes, charges etc.
despite lockdown without any
exemption being granted to ITDC
by any Statutory Organization. The
matter is referred to MoT for their
consideration.

12. Prior to Ind AS transition, i.e.,
before April 1, 2016, old recoverable
dues from Subsidiary Companies
(UAHCL & PAHCL) in the nature
of Management Fees and Interest
on Loan has not been recognized
to the extent of '65.50 lakh and
'312.46 lakh.

13. Impact of Fire accident and
Theft at DFS Mumbai Unit

A fire accident occurred at Unit of
ITDC, DFS Mumbai on March 30,
2021. Company filed an Insurance
claim for the loss of stock and
property, plant & equipment at the
site, cause was stated as electrical
short circuit. Claim for an amount
of '48.30 lakh was submitted to
the Insurer (National Insurance
Company Limited) dated March 30,
2021. A claim of amount of '39.78

Lakhs was accepted by the Insurer
on account of the same on March

28, 2024. Also, admitted claim of
'39.78 Lakhs was received on April

29, 2024.

4. In 2007 ITDC formed a
Joint Venture Company (JV) in
collaboration with M/s Aldeasa
of Spain. After incorporation, no
business was carried on. On the
basis draft financial statements of
F.Y. 2009-10 of the JV company and
concept of prudence Corporation's
share of loss amounting to '245.52
Lakh in connection with running the
JV has been accounted for based on
the ratification of expenditure by
JV Board & subsequent acceptance
by ITDC. Since the F.Y. 2007-08 to
2013-14 the Financial Statement
were prepared and audited and
thereafter, i.e., for the F.Y. 2014-15
to 2016-17 the unaudited financial
statement was prepared. From F.Y.
2017-18 to 2022-23, no share of
profit/ loss with respect to ITDC
Aldeasa has been booked as per the
MCA Notice No. ROC-DEL/248(5)/
STL-7/5071 dated September 1,
2017 and it has been struk off by
the registrar of companies and
the said company is dissolved,
w.e.f., August 21, 2017. As at March
31, 2025, an amount of '226.51
lakh (Previous year '226.51 lakh),
liability is outstanding towards
ITDC Aldeasa (JV).

5. Pursuant to a decision of the
Government of India, it was decided
that the Ministry of Tourism will
examine the proposal for Sale/
Lease of Hotel Properties of the
Company including Properties
of Subsidiary Companies. In the
cases where Hotel properties are
located on State Govt Leased Land
and the State is reluctant to extend
the lease and allow it to be sub¬
leased to the private party, then
the property may be offered to the
State Govt at its officially valued
price. According to this decision the
process of disinvestment is carried
on as under:

a. Hotel Janpath:

Ministry of Tourism (MoT)
communicated vide their
letter dtd. June 14, 2017 the
in-principle approval of the
government for transferring the
property of Hotel Janpath to the
Ministry of Urban Development
(MoUD) and for compensating
ITDC for loss of business
opportunity with disputed
liability to be sorted out.

Subsequently it was decided
by the government to close the
operations of Janpath Hotel,
New Delhi and to handover the
land & building of Janpath Hotel
to L&DO, MoHUA (erstwhile
MoUD). Accordingly, the Land
& Building was technically
handed over to L&DO, MoHUA
on October 31, 2017.

MoT constituted Valuation
Committee to determine the
amount of compensation
which will be payable to
ITDC and sorting of disputed
liability. The first meeting of
the reconstituted valuation
committee was held on
September 16, 2021. Valuation
Committee, after deliberation,
recommended to IMG the
valuation of '15,340.00
lakh based on average
(PBT Depreciation) of F.Y.
2012 to 2016 and compounded
annual growth rate (CAGR) of
last 29 years' profit before tax
which comes to 9.51%.

Recommendation of Valuation
Committee was placed before
IMG. IMG directed to put up
the comments of JS-DIPAM and
L&DO on file. L&DO has raised
certain demands against CPWD
dues, difference of premium,
damage charges inclduing
unauthorised construction.
Breakup of the damage charges
is being collected from L&DO.

In the Valuation Committee
meeting held on July 18, 2024,
the recommendation was also
obtained on disputed liability.
Accordingly, draft agenda
was sent to MoT on August
20, 2024 with the request
to call the IMG meeting for
placing the recommendations
of the valuation committee,
i.e., compensation for loss
of business opportunity and
disputed liability to be sorted
out in respect of Hotel Janpath.

Since, the approval of amount
of compensation due on
account of loss of business
opportunity is still awaited
from MoT therefore, the VRS
amount of '658.57 lakh has
been kept under recoverable,
and disputed liability towards
NDMC property tax of '6,123.54
lakh is not yet provided (Refer
Note 38 - Contingent Liability,
Point No. 3). Accordingly,
nothing towards compensation
for loss of business opportunity
has been considered in the
Financial Statements for the
Financial Year 2024-25.

b. Hotel Ashok:

DIPAM has appointed
Transaction Advisor for studying
lease terms & conditions of
land, explore the possibilities of
giving Hotel Ashok on operation
& management (O&M)/ Sub¬
leasing and optimum utilisation
of vacant/ unused land in Hotel
Ashok-Samrat Complex.

Recently meeting was held
with Niti Aayog wherein it
was discussed to go through
PPPAC route. I IT Roorkee has
been engaged for conducting
a detailed structural analysis
of hotel building for checking
the remaining life. Report
on Structural analysis by I IT
Roorkee has been received.

Draft PPPAC documents, i.e.,
Memorandum for PPPAC
Committee along with Draft
Concessionaire Agreement
(DCA), Draft Request for
Proposal (RFP) and Draft
Request for Qualification (RFQ)
have been received from the
Consultant and the same will
be put up to the Board for
consideration and approval.

c. Kosi Restaurant

The operation of Kosi
Restaurant, a unit managed
by the Company had been
closed on October 31, 2017. The
Ministry of Tourism has been
requested to take possession
of the Restaurant building. In
response MoT vide letter dated
November 11, 2019, requested
ITDC for exploring possibilities
for making it operational,
by submitting a plan and to
indicate feasibility and viability
of the project. Meanwhile,
notice was received from the
office of Ziledaar, Apar Khand
Agra Naher, Mathura stating
that Department of Irrigation,
Mathura is the owner of
the land on which ITDC was
running Kosi Restaurant. In
view of the aforesaid notice
and non-availability of any lease
documents either with ITDC or
MoT pertaining to land, it was
not prudent to proceed with
the process of appointing the
Consultant and getting the DPR
prepared. Hence, MoT has been
requested to initiate necessary
action for surrendering back
the land to State Govt.

d. Hotel Kalinga

Ashok, Bhubaneswar

RFP floated in 2017, 2018
and 2019 but remained
unsuccessful. IMG in the
meeting held on March 6,
2020 decided to retender with

revised selection criteria. In the
IMG meeting held on March 4,
2021, TA presented the revised
selection criteria. IMG directed
the ITDC officials to do the
road show with the revised
parameters and apprise of the
result/ inputs. Roadshow has
been conducted and report
from TA was presented to
the IMG in the meeting held
on September 7, 2021. IMG
decided that a letter may be
sent to the State Government
seeking permission for sub¬
leasing of property and for
increasing the lease tenure for
developing the property on
PPP model. Meeting was held
with State Govt. and State Govt.
reiterated the concerned fee
for sub leasing permission. The
IMG decided that if State Govt.
is interested to take back the
property, the matter may be
discussed with the State Govt.

IMG was apprised that in the
meeting held on September
6, 2022 between the Chief
Secretary, Odisha and MD-ITDC,
ITDC was requested to send the
terms & conditions for transfer
of land and building of Hotel
Kalinga Ashok to the Govt. of
Odisha. IMG directed that Govt.
of Odisha and ITDC to discuss
mutually on the terms of
transfer and apprise the result
to the IMG in the next meeting.

Proposal from TA (M/s CBRE)
regarding terms of transfer of
property were approved by
ITDC Board in its meeting and
a letter was sent from Secretary
(Tourism) to Chief Secretary
(Odisha). Reply is awaited.

In the Board Meeting held
on February 13, 2025, Board
advised that if Govt. of Odisha
is not responding to the
decision of the IMG for taking
over properties in Odisha at
mutually decided value, ITDC

may move the proposal to the
IMG to develop these properties
commercially through private
party and may approach to
Odisha Govt. to buy the leased
land of these properties to get
the unfettered rights on the
land. In this connection, ITDC
may consult the existing TA M/s
CBRE. Accordingly, M/s CBRE
was approached and they had
visited the properties in the
first week of April, 2025. Report
from M/s CBRE is awaited.

e. Pondicherry Ashok Hotel
Corporation Limited

IMG in the meeting on March 4,
2021 decided to give the existing
Hotel along with 8 acres of land
for development on O&M basis
for 50 years and remaining
land will be monetized through
DIPAM. Meeting was held
with MHA and State Govt. and
it was discussed that as per
the current laws in State of
Pondicherry, max. leasing is
allowed for a term of 19 years
only.

In the IMG meeting held May
2, 2022, it was decided that if
permission for leasing beyond
19 years is not possible, State
Govt. may be offered buyout for
the equity stake of ITDC in the
JV Company.

In IMG meeting held on
September 22, 2022, MD-

Pondicherry Industrial

Promotion and Development
Investment Corporation

(PIPDIC) apprised that the
PIPDIC Board had accorded
approval to buy out the
51% equity of ITDC in the
Pondicherry Ashok Hotel
Corporation Limited.

PIPDIC vide letter dated
November 3, 2022, forwarded
the resolution of the PIPDIC
Board conveying the acceptance
of the proposal in principle

subject to State Government
approval. Reply dated July 18,
2024 from the State Govt. is
received at the MoT regarding
mode of valuation to be
decided. In this regard, an
agenda was put up before the
Board in the meeting schedule
on August 2, 2024 which was
taken up on August 13, 2024.
Board approved that IMG be
requested for appointment of
TA/ Valuer for valuation. Draft
Agenda sent to MoT on October
28, 2024 with the request to
call the IMG meeting.

f. Punjab Ashok Hotel Company
Limited, Punjab

IMG in meeting dated
September, 22, 2022, approved
the Valuation of '79.39 lakh
for transfer 51% equity of ITDC
in the Punjab Ashok Hotel
Company Limited to the PTDC/
Govt. of Punjab. Share Transfer
Agreement will be executed
after the CCEA approval and
receipt of funds from the Punjab
Government. MoU signed on
February 14, 2023.

Revised Draft CCEA Note sent to
the MoT on October 6, 2023 for
further action. CCEA Note was
circulated by the MoT for inter
ministerial consultations. DIPAM
advised for taking approval of
Alternative Mechanism instead
of CCEA Note. Accordingly, the
note for Alternative Mechanism
has been sent to MoT on March
28, 2024. Revised Note for
Alternative Mechanism was
sent to MoT on February 7, 2025
with copy to DIPAM.

g. Ranchi Ashok Bihar Hotel
Corporation Limited:

In case of Ranchi Ashok Bihar
Hotel Corporation Limited,
operations of the Hotel have
been closed w.e.f. March 29,
2018 with the approval of Inter¬
Ministerial Group of Ministry of

Tourism. It has been decided
by MOT that the ITDC's equity
stake will be transferred to the
Jharkhand State Government.

MoU for transfer of 51% equity
stake of ITDC in RABHCL to
Govt. of Jharkhand signed
on November 24, 2020.

Consideration for an amount of
'942.51 lakh has been received
on December 28, 2020 including
settled price of '306.00 lakh,
against investment in shares.

VRS was offered thrice and
out of 32 employees, presently
there are 6 employees, the
rest have taken VRS/ Super
Annuated. Salaries and other
terminal benefits of employees
are due, i.e., '172.32 lakh as at
March 31, 2025. Employees of
the Hotel had been repeatedly
threatening of self immolation
with their families due to non
receipt of their legitaimate
dues.

Upon request from Subsidiary
company, ITDC has disbursed
loan of '613.44 lakhs to clear the
outstanding dues of employees.
Dues upto June 2022 have been
cleared. A proposal for the
fourth time VRS for remaining
employees of RABHCL has been
sent to the MoT vide letter dated
February 23, 2023 for approval,
which is under process. Loan
and all other dues of '1,029.83
lakh are receivable upto March
31, 2025 (Previous Year '960.07
lakh).

DIPAM advised for taking
approval of Alternative
Mechanism (AM) instead of
CCEA Note. As advised by MoT,
Note for approval of AM has
been sent to MoT on September
4, 2024. Property will be
transferred after AM approval
and after receiving all residual
dues from Jharkhand Govt. The
financial statements of RABHCL
have been incorporated treating

Ltd.; Madhya Pradesh Ashok
Hotel Corporation Ltd. and
Donyi Polo Ashok Hotel
Corporation Limited had
been already transferred to
the their respective State
Governments, and the sales
proceeds as worked out by
the Transaction Advisor on the
basis of valuation of available
business opportunity etc. which
had been received by ITDC is
more than the amount originally
invested by ITDC in respective
subsidiary companies.

Moreover all outstanding trade
receivables from these three
Subsidiary Companies have also
been fully cleared by them.

The process of disinvestment /
divestment of Utkal Ashok Hotel
Corporation Limited is also
being carried out and as ITDC's
equity / preference shares
investment are considered
good for recovery, no provision
is considered necessary.

16. Hotel Jammu Ashok, Jammu

40 years lease period of the land
expired in January 2010. ITDC had
first requested for an extension in
February 2007. ITDC repeatedly
requested State Government for
renewal but the renewal of land
lease remained pending with the
State Government.

Govt. of J & K vide letter dated March
20, 2020, informed about non¬
renewal of lease and resumption
of land by the State Govt. Pursuant
to the Board decision, Operation of
Hotel was closed on June 17, 2020
and employees were offered VRS.
Those who did not opt VRS, were
adjusted in other units of ITDC.

Matter was pursued with the
State Govt. for taking possession
of the Hotel after payment of
compensation in accordance
with clause 3 (ii) of the lease
deed. A Committee has been
formed both by ITDC and Govt. of

J & K. for determining amount
of compensation. Architect cum
Valuer had been appointed and they
had given their report which has
been sent to the State Government.

In the IMG meeting held on
September 22, 2022, IMG approved
the Valuation for transfer of all
property, plant and equipment
items constructed by ITDC on the
leased land on “As is where is basis.

The same was agreed by Govt. of
J & K. Handing over to take place
immediately after CCEA approval
and receipt of consideration
amount from the Govt. of J & K.
MoU with Govt. of J & K signed on
February 9, 2023. Revised Draft
CCEA Note sent to the Ministry of
Tourism on October 25, 2023. MoT
has circulated the Draft CCEA Note
for Inter Ministerial Consultations.
DIPAM advised to take approval
of Alternative Mechanism in place
of CCEA. Accordingly, note for
Alternative Mechanism has been
sent to MoT on August 29, 2024.

The unit results had been considered
as a part of discontinued operations
in the financial statements for the
year ended March 31, 2025.

17. Merger of Kumarakruppa Frontier
Hotels Pvt. Ltd. (KFHPL) with
ITDC

ITDC Board in its meeting held on
December 12, 2019 has accorded
in-principal approval to the merger
of Kumarakruppa Frontier Hotels
Pvt. Ltd. (KFHPL) with ITDC. ITDC
has requested Ministry of Tourism
(MoT) vide letter dated December
30, 2019 to consider the proposal
for onward approvals from DIPAM,
Ministry of Finance/ CCEA, etc. MoT
vide letter dated September 14,
2020 requested DIPAM, Ministry
of Finance to grant approval in
connection with merger of KFHPL
with ITDC. The Matter is still under
consideration at end of MoT/
DIPAM.

18. In Ashok Consultancy and
Engineering Services Unit, out
of total 85 projects, 56 projects
were completed/ closed but not
closed in the books of accounts
as final bills were reportedly not
received/ settled. Amount due
from customers includes '3,015.09
lakh (Previous Year '612.31 lakh)
and amount due to customer
includes '2,285.54 lakh (Previous
Year '1,461.98 lakh) which pertains
to completed projects. Exercise is
in progress to reconcile the work
done, provision for liability for work
done and finalisation of final bill
payment.

19. Dues recoverable from DDA by
Ashok Consultancy & Engineering
Services (ACES)

MOU was signed between DDA
and ITDC, as a special business
dealing for furnishing DDA flats
(Akshardham & Vasant Kunj)
with furniture and fixtures during
Commonwelath Games (2010). As
per MOU, ITDC shall procure the
material from suppliers/ vendors
as per standard guidelines of
Govt. of India and shall procure
and install the furniture fixtures
at the said locations. Accordingly,
ITDC procured the materials
and payments were made to the
Vendors initially. However, the
work could not completed in line
with the work order, due to some
unforeseen circumstances from the
part of DDA.

As the orders were placed with
the vendors as per the MOU
requirement, disputes were raised
by the parties/ vendors and parties
went to Arbitration/ Court. In the
cases where there were orders
passed in the favour of vendor,
payments were released by ITDC
over the last few years. These
payments were made as per the
conditions of the MOU entered
with DDA. Recovery proceedings
were initiated by ITDC from DDA

as per the MoU. Total amount
recoverable from DDA is '1,882.09
lakh (Previous Year '1,882.09 lakh).

The matter is under dispute
between ITDC and DDA, and as
per the prescribed mechanism for
settlement of disputes between
CPSE'S, the matter has been referred
to Administrative Mechanism for
Resolution of CPSE'S Disputes
(AMRCD). Committee has been
formed by the AMRCD consisting
of Secretary (Ministy of Tourism),
Secretary (Ministry of Housing &
Urban Affairs) and Secretary (D/o
Legal Affairs) on February 10, 2023
to settlement of dispute between
ITDC and DDA. The management
is very hopeful of recovery of the
amount involved.

20. Provision for Bad & Doubtful Debts
(Credit Impairment) has been
created in case of private licencee
parties, where ageing is less than 3
years, for total amount of '1,200.82
lakh (Previous Year '301.50 lakh).
These cases have been specifically
assessed by the management as
exceptional scenarios on account
of legal notice/ cases.

21. Participation in Mahakumbh,
Prayagraj 2025 - Luxury Tent
Accommodation Project

ITDC, through its division - Ashok
Travels & Tours (ATT), New
Delhi, successfully undertook a
prestigious project to provide
luxury tent accommodation and
allied facilities during Mahakumbh
2025 in Prayagraj.

A land parcel was allocated to ITDC
for the execution of this project. To
carry out the operations efficiently,
the project was executed through

one of ATT's empaneled General
Sales Agents (GSA).

Considering the special nature of
assignment and business involved,
ITDC has engaged an independent
Chartered Accountant (CA) firm to
conduct reconciliation, verification,
and certification of the project
accounts. Based on the interim
report of the CA Firm and further
approvals by competent authority,
income and expense have been
recognised in the financials for the
period ended March 31, 2025. The
project concluded successfully,
resulting in a positive financial
outcome.

22.Turnover of Ashok Travels & Tours
(ATT), Delhi

During the review of revenue
recognition of Package Tour
Operations (inc. Transport & Hotel)
of Ashok Travels & Tours, New Delhi
(ATT), it was observed that income
was being recognised on Gross
Basis, however, as per the terms
of contract, ATT was acting purely
as an agent. Hence, in compliance
to the requirements of Ind AS 115,
revenue and cost of services are
adjusted for an amount of '3,118.40
lakh for F.Y. 2024-25 and previous
year figures have been similarly
adjusted for an amount of '2,271.31
lakh.

23 Leases

Company as lessee

The company has adopted Ind AS
- 116 w.e.f. April 1, 2019, and has
elected certain available practical
expedients. Thus, the company has
no significant impact of the same in
it's financial statements.

Company as lessor

The Company has given certain
portion of office premises at
Corporate Office on cancellable
operating lease. The rent received
on the same has been grouped
under Other Income. The rental
income during the current year is
amounting to '44.14 lakh (Previous
Year '42.25 lakh).

24 Impairment of Assets

Impairment of Property, Plant
& Equipment/ Capital work-in¬
progress at each balance sheet
date and impairment loss, if
any, ascertained as per Indian
Accounting Standard (Ind AS)
36-'Impairment of Assets' is
recognised. As on March 31, 2025,
in the opinion of the Management
the impairment loss has been
recognised in respect of assets not
in active use.

25. The receivables pertaining to
Ticketing Business (Ashok Travels
& Tour Division) are reclassified
from Trade Receivables to Other
Receiavbles under Other Financial
Assets. Bifurcation is made on the
basis of estimated % (as per internal
working) which on average varies
between 1-6% (for respective year).