MSL Global Ltd. కంపెనీ అకౌంటింగ్ విధానాలు

Mar 31, 2025

1. A. Background

MADHUSUDAN SECURITIES LIMITED (“the Company”] is a public company domiciled in India and
incorporated under the provisions of the Companies Act, 1956. The Company is incorporated with the
object to carry on the business of trading in Goods & merchandise.

The Company''s shares are listed on the Bombay Stock Exchange (BSE] in India.

B. Basis of preparation

1.1. Statement of compliance with Ind AS

The financial statements of the Company have been prepared in accordance with Indian Accounting
Standards (Ind AS) notified under Companies (Indian Accounting Standards) Rules, 2015 as amended
from time to time.

1.2. Going concern

These financials are prepared on going concern basis on the following basis:

i) Company has incurred loss during the year and however earned profit in the preceding previous
year;

ii) The Management is looking forward to better business avenues.

1.3. Functional and presentation of currency

The financial statements are prepared in Indian Rupees which is also the Company''s functional currency.
All amounts are rounded to the nearest rupees.

1.4. Fair value measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants at the measurement date.

The Company uses valuation techniques that are appropriate in the circumstances and for which
sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and
minimizing the use of unobservable inputs.

Fair values, as applicable, have been determined for measurement and/or disclosure purposes using
methods as prescribed in “Ind AS 113 Fair Value Measurement”.

1.5. Use of significant accounting estimates, judgment, and assumptions

The preparation of these financial statements in conformity with the recognition and measurement
principles of Ind AS requires management to make estimates and assumptions that affect the reported
balances of assets and liabilities, disclosure of contingent liabilities as on the date of financial statements,
and reported amounts of income and expenses for the periods presented. The Company based its
assumptions and estimates on parameters available when the financial statements were prepared.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognized in the period in which the estimates are revised and future periods are affected.

Estimates and Assumptions

Key assumptions concerning the future and other key sources of estimation uncertainty at the reporting
date that have a significant risk of causing a material adjustment to the carrying amounts of assets and
liabilities within the next financial year are described below. The estimates used in the preparation of the

financial statements are prudent and reasonable. Differences between the actual results and estimates
are recognized in the period in which the results are known/ materialized.

C. Significant Accounting Policies

1.6. Presentation and disclosure of financial statement

All assets and liabilities have been classified as current and non-current as per Company''s normal
operating cycle and other criteria set out in Schedule III of the Companies Act, 2013 for a company whose
financial statements are made in compliance with the Companies (India Accounting Standards) Rules,
2015.

Based on the nature of products/services and the time between the acquisition of assets for
processing/rendering of services and their realization in cash and cash equivalents, the operating cycle
is less than 12 months, however, for the purpose of current/non-current classification of assets and
liabilities, period of 12 months has been considered as its normal operating cycle.

The Company presents assets and liabilities in the balance sheet based on current / non-current
classification.

An asset is treated as current when it is:

• Expected to be realized or intended to be sold or consumed in a normal operating cycle

• Held primarily for the purpose of trading

• Expected to be realized within twelve months after the reporting period, or

• Cash or cash equivalents unless restricted from being exchanged or used to settle a liability for at
least twelve months after the reporting period.

All other assets are classified as non-current.

A liability is current when:

• It is expected to be settled in a normal operating cycle

• It is held primarily for the purpose of trading

• It is due to be settled within twelve months after the reporting period, or

• There is no unconditional right to defer the settlement of the liability for at least twelve months
after the reporting period.

The Company classifies all other liabilities as non-current.

1.7. Property, Plant and Equipment and Depreciation
Recognition and measurement

Under the previous GAAP, property, plant, and equipment were carried at historical cost less depreciation
and impairment losses, if any. On transition to Ind AS, the Company has availed the optional exemption
under Ind AS 101 and accordingly, it has used the carrying value as at the date of transition i.e. 1^st April
2016 as the deemed cost of the property, plant & equipment under Ind AS.

Properties plants and equipment are stated at their cost of acquisition. The cost of an item of property,
plant, and equipment includes purchase price including non-refundable taxes and duties, borrowing cost
directly attributable to the qualifying asset, any costs directly attributable to bringing the asset to the
location and condition necessary for its intended use, and the present value of the expected cost for the
dismantling/decommissioning of the asset.

Subsequent costs are included in the asset''s carrying amount or recognized as a separate asset, as
appropriate, only when it is probable that future economic benefits associated with the item will flow to
the Company. All other repair and maintenance costs are recognized in the statement of profit and loss
as incurred.

Capital work-in-progress comprises of costs incurred on property, plant, and equipment under
construction/acquisition that are not yet ready for their intended use at the Balance Sheet Date.

Depreciation and useful lives

Depreciation on the property, plant, and equipment (other than freehold land and capital work in
progress) is provided on a straight-line method (SLM) over their useful lives which is in consonance with
the useful life mentioned in Schedule II to the Companies Act, 2013. Depreciation in respect of fixed assets
put to use during the year is provided on a pro-rata basis with reference to the date of installation of
assets.

De-recognition

An item of property, plant, and equipment and any significant part initially recognised is de-recognised
upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss
arising on the de-recognition of the asset (calculated as the difference between the net disposal proceeds
and the carrying amount of the asset) is included in the statement of profit and loss when the asset is de¬
recognised.

1.8. Inventories

Raw Material, packing material, stock in trade, work in progress, and finished goods are valued at lower
of cost and net realizable value as per Ind AS - 2.

Costs of finished goods, and work in progress are determined by taking material cost (net of Cenvat) and
relevant appropriate overheads, but excluding borrowing costs.

1.9. Revenue recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company
and the revenue can be reliably measured. Revenue is measured at the fair value of the consideration
received or receivable, taking into account contractually defined terms of payment and excluding taxes
or duties collected on behalf of the government and discounts given to the customers. The Company has
applied the guidelines mentioned in Ind AS 18 for Revenue Recognition.

Interest income is recognized on a time proportionate basis taking into account the amount outstanding
and the rate as applicable.

The dividend is recognized on an actual receipt basis.

1.10. Employee benefits

The provisions of Provident Fund Act, 1952, and the Payment of Gratuity Act, 1972 are not applicable to
the Company at present as the number of employees does not exceed the permissible limit.

1.11. Taxes on income

Provision for current tax is made after taking into consideration benefits admissible under the provisions
of the Income Tax Act, 1961.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic
benefits in the form of adjustment to future income tax liability, is considered as an asset if there is
convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognised as an
asset in the Balance Sheet when it is probable that future economic benefits associated with it will flow
to the Company.

1.12. Investments in equity instruments at FVTOCI

The investment in Equity shares of Subsidiary and Associate companies is carried at cost.

The quoted and unquoted Equity investments of other companies (including Equity oriented Mutual
Funds] are initially measured at fair value plus transaction costs. Subsequently, they are measured at fair
value with gains and losses arising from changes in fair value recognized in other comprehensive income
and accumulated in the ‘Reserve for equity instruments through other comprehensive income''. The
cumulative gain or loss is not reclassified to profit or loss on disposal of the investments.

There are no equity investments which are held for trading as on year end. The investments held for less
than 12 months during the year are considered as held for trading and the gain / loss on sale / redemption
is accounted through Profit & Loss.

The Quoted Shares are valued as per quoted value available on the stock Exchange on the last day of the
year (Level I]

The unquoted Shares are valued as per Book value of the previous year as per the audited accounts of the
Company (Level II]

1.13. Cash and cash equivalent

Cash and cash equivalents include cash in hand, bank balances, deposits with banks (other than on lien],
and all short-term and highly liquid investments that are readily convertible into known amounts of cash
and are subject to an insignificant risk of changes in value.

For the purpose of the cash flow statement, cash and cash equivalent as calculated above also includes
outstanding bank overdrafts as they are considered an integral part of the Company''s cash management.

1.14. Cash flow statement

Cash flows are reported using the indirect method, where 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 items of income or expenses associated with investing or financing cash flows. The cash
flows from operating, investing, and financing activities are segregated.

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Mar 31, 2024

I. SIGNIFICANT ACCOUNTING POLICIES 1. A. Background

MADHUSUDAN SECURITIES LIMITED (“the Company”) is a public company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The Company is incorporated with the object to carry on the business of trading in Goods & merchandise.

The Company’s shares are listed on the Bombay Stock Exchange (BSE) in India.

B. Basis of preparation

1.1. Statement of compliance with Ind AS

The financial statements of the Company have been prepared in accordance with Indian Accounting Standards (Ind AS) notified under Companies (Indian Accounting Standards) Rules, 2015 as amended from time to time.

1.2. Going concern

These financials are prepared on going concern basis on the following basis:

i) Company has earned profit during the year and however incurred loss in the preceding previous year;

ii) The Management is looking forward to better business avenues.

1.3. Functional and presentation of currency

The financial statements are prepared in Indian Rupees which is also the Company’s functional currency. All amounts are rounded to the nearest rupees.

1.4. Fair value measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.

Fair values, as applicable, have been determined for measurement and/or disclosure purposes using methods as prescribed in “Ind AS 113 Fair Value Measurement”.

1.5. Use of significant accounting estimates, judgment, and assumptions

The preparation of these financial statements in conformity with the recognition and measurement principles of Ind AS requires management to make estimates and assumptions that affect the reported balances of assets and liabilities, disclosure of contingent liabilities as on the date of financial statements, and reported amounts of income and expenses for the periods presented. The Company based its assumptions and estimates on parameters available when the financial statements were prepared. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and future periods are affected.

Estimates and Assumptions

Key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are described below. The estimates used in the preparation of the financial statements are prudent and reasonable. Differences between the actual results and estimates are recognized in the period in which the results are known/ materialized.

1.6. Presentation and disclosure of financial statement

All assets and liabilities have been classified as current and non-current as per Company’s normal operating cycle and other criteria set out in Schedule III of the Companies Act, 2013 for a company whose financial statements are made in compliance with the Companies (India Accounting Standards) Rules, 2015.

Based on the nature of products/services and the time between the acquisition of assets for processing/rendering of services and their realization in cash and cash equivalents, the operating cycle is less than 12 months, however, for the purpose of current/non-current classification of assets and liabilities, period of 12 months has been considered as its normal operating cycle.

The Company presents assets and liabilities in the balance sheet based on current / non-current classification. An asset is treated as current when it is:

• Expected to be realized or intended to be sold or consumed in a normal operating cycle

• Held primarily for the purpose of trading

• Expected to be realized within twelve months after the reporting period, or

• Cash or cash equivalents unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period.

All other assets are classified as non-current.

A liability is current when:

• It is expected to be settled in a normal operating cycle

• It is held primarily for the purpose of trading

• It is due to be settled within twelve months after the reporting period, or

• There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

The Company classifies all other liabilities as non-current.

1.7. Property, Plant and Equipment and Depreciation Recognition and measurement

Under the previous GAAP, property, plant, and equipment were carried at historical cost less depreciation and impairment losses, if any. On transition to Ind AS, the Company has availed the optional exemption under Ind AS 101 and accordingly, it has used the carrying value as at the date of transition i.e. 1^st April 2016 as the deemed cost of the property, plant & equipment under Ind AS.

Properties plants and equipment are stated at their cost of acquisition. The cost of an item of property, plant, and equipment includes purchase price including non-refundable taxes and duties, borrowing cost directly attributable to the qualifying asset, any costs directly attributable to bringing the asset to the location and condition necessary for its intended use, and the present value of the expected cost for the dismantling/decommissioning of the asset.

Subsequent costs are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company. All other repair and maintenance costs are recognized in the statement of profit and loss as incurred.

Capital work-in-progress comprises of costs incurred on property, plant, and equipment under construction/acquisition that are not yet ready for their intended use at the Balance Sheet Date.

Depreciation and useful lives

Depreciation on the property, plant, and equipment (other than freehold land and capital work in progress) is provided on a straight-line method (SLM) over their useful lives which is in consonance with the useful life mentioned in Schedule II to the Companies Act, 2013. Depreciation in respect of fixed assets put to use during the year is provided on a pro-rata basis with reference to the date of installation of assets.

De-recognition

An item of property, plant, and equipment and any significant part initially recognised is de-recognised upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on the de-recognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the statement of profit and loss when the asset is de-recognised.

1.8. Inventories

Raw Material, packing material, stock in trade, work in progress, and finished goods are valued at lower of cost and net realizable value as per Ind AS - 2.

Costs of finished goods, and work in progress are determined by taking material cost (net of Cenvat) and relevant appropriate overheads, but excluding borrowing costs.

1.9. Revenue recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured. Revenue is measured at the fair value of the consideration received or receivable, taking into account contractually defined terms of payment and excluding taxes or duties collected on behalf of the government and discounts given to the customers. The Company has applied the guidelines mentioned in Ind AS 18 for Revenue Recognition.

Interest income is recognized on a time proportionate basis taking into account the amount outstanding and the rate as applicable.

The dividend is recognized on an actual receipt basis.

1.10. Employee benefits

The provisions of Provident Fund Act, 1952, and the Payment of Gratuity Act, 1972 are not applicable to the Company at present as the number of employees does not exceed the permissible limit.

1.11. T axes on income

Provision for current tax is made after taking into consideration benefits admissible under the provisions of the Income Tax Act, 1961.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognised as an asset in the Balance Sheet when it is probable that future economic benefits associated with it will flow to the Company.

1.12. Investments in equity instruments at FVTOCI

The quoted and unquoted Equity investments are initially measured at fair value plus transaction costs. Subsequently, they are measured at fair value with gains and losses arising from changes in fair value recognized in other comprehensive income and accumulated in the ‘Reserve for equity instruments through other comprehensive income’. The cumulative gain or loss is not reclassified to profit or loss on disposal of the investments.

There are no equity investments that are held for trading.

1.13. Cash and cash equivalent

Cash and cash equivalents include cash in hand, bank balances, deposits with banks (other than on lien), and all short-term and highly liquid investments that are readily convertible into known amounts of cash and are subject to an insignificant risk of changes in value.

For the purpose of the cash flow statement, cash and cash equivalent as calculated above also includes outstanding bank overdrafts as they are considered an integral part of the Company’s cash management.

1.14. Cash flow statement

Cash flows are reported using the indirect method, where 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 items of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing, and financing activities are segregated.

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Mar 31, 2015

A. BASIS OF PREPARATION

The financial statements are prepared under the historical cost convention on an accrual & going concern basis of accounting, in accordance with the generally accepted Accounting Principles, Accounting Standards notified under the Companies Act, 2013 and the relevant provisions thereof.

b. USE OF ESTIMATES

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. Although these estimates are based on assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods.

c. TANGIBLE FIXED ASSETS & DEPRECIATION

Tangible Fixed Assets, if any, are stated at cost of acquisition net of accumulated depreciation. Cost comprises purchase price and directly attributable cost incurred for bringing the asset for its intended use.

Depreciation on fixed assets, if any, shall be provided as per Straight Line Method at the rates and in the manner specified in Schedule II of the Companies Act, 2013.

d. REVENUE RECOGNITION

The Revenue is recognized on accrual basis. However, the recognition of revenue is restricted to the extent it is probable or there is a certainty that the economic benefits will flow to the Company and the revenue can be reliably measured. The Revenue shall be accounted on the basis of prudence to the extent it is quantifiable.

Interest is recognized on a time proportionate basis taking into account the amount outstanding and the rate as applicable.

Dividend is recognized when Company''s right to receive dividend is established and / or receipts, whichever is earlier.

e. INVESTMENTS

Investments, which are readily realizable and intended to be held for not more than 12 months from the date on which such investments are made, are classified as Current Investments. All other Investments are classified as Non-current investments.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as brokerage, fees and duties.

Non-current Investments are carried at cost. However, provision in diminution in the value is made to recognize a decline, other than temporary, in the carrying value of each investment.

Profit or Loss on sale of investments is recorded at the time of transfer of title from the company and is determined as the amount of difference between the sale proceeds and the carrying value of investment as on that date.

f. TAX EXPENSES

Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961 enacted in India and tax laws prevailing in the respective tax jurisdictions where the company operates. The tax rates and laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognized as an asset in the Balance Sheet when it is probable that future economic benefit associated with it will flow to the Company

g. RETIREMENT AND OTHER EMPLOYEE BENEFITS

The provisions of Provident Fund Act, 1952 and Payment of Gratuity Act, 1972 are not applicable to the Company at present as the number of employees does not exceed the statutory limits prescribed in the Act.

h. EVENTS OCCURRING AFTER THE BALANCE SHEET DATE

Where material, events occurring after the Balance Sheet Date are considered up to the date of approval of accounts by the Board of Directors

i. PROVISIONS

A provision is recognized when the company has a present obligation as a result of past event, 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. These estimates are reviewed at the required to settle the obligation at the reporting date. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates.

j. CONTINGENT LIABILITIES

The company does not recognize a contingent liability but discloses its existence in the financial statements. 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.

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Mar 31, 2014

A. BASIS OF PREPARATION

The financial statements have been prepared to comply in all material respects with the applicable accounting principles in India, the applicable accounting standards notified under section 211(3C) of the Companies Act, 1956, section 133 of the Companies Act, 2013 read with the General Circular 15/2013 dated 13th September, 2013 and the relevant provisions thereof.

b. USE OF ESTIMATES

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. Although these estimates are based on assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods.

c. Tangible Fixed Assets & Depreciation

Tangible Fixed Assets, if any, are stated at cost of acquisition net of accumulated depreciation. Cost comprises purchase price and directly attributable cost incurred for bringing the asset for its intended use.

Depreciation on fixed assets, if any, shall be provided as per Straight Line Method at the rates and in the manner specified in Schedule XIV of the Companies Act, 1956.

d. REVENUE RECOGNITION

The Revenue is recognized on accrual basis. However, the recognition of revenue is restricted to the extent it is probable or there is a certainty that the economic benefits will flow to the Company and the revenue can be reliably measured. The Revenue shall be accounted on the basis of prudence to the extent it is quantifiable.

Interest is recognized on a time proportionate basis taking into account the amount outstanding and the rate as applicable.

Dividend is recognized when Company''s right to receive dividend is established and / or receipts, whichever is earlier.

e. Investments

Investments, which are readily realizable and intended to be held for not more than 12 months from the date on which such investments are made, are classified as Current Investments. All other Investments are classified as Non-current investments.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as brokerage, fees and duties.

Non-current Investments are carried at cost. However, provision in diminution in the value is made to recognize a decline, other than temporary, in the carrying value of each investment.

Profit or Loss on sale of investments is recorded at the time of transfer of title from the company and is determined as the amount of difference between the sale proceeds and the carrying value of investment as on that date.

f. TAX EXPENSES

Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income Tax Act, 1961 enacted in India and tax laws prevailing in the respective tax jurisdictions where the company operates. The tax rates and laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognised as an asset in the Balance Sheet when it is probable that future economic benefit associated with it will flow to the Company

g. RETIREMENT AND OTHER EMPLOYEE BENEFITS

The provisions of Provident Fund Act, 1952 and Payment of Gratuity Act, 1972 are not applicable to the Company at present as the number of employees does not exceed the statutory limits prescribed in the Act.

h. EVENTS OCCURRING AFTER THE BALANCE SHEET DATE

Where material, events occurring after the Balance Sheet Date are considered up to the date of approval of accounts by the Board of Directors

i. PROVISIONS

A provision is recognized when the company has a present obligation as a result of past event, 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. These estimates are reviewed at the required to settle the obligation at the reporting date. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates.

j. CONTINGENT LIABILITIES

The company does not recognize a contingent liability but discloses its existence in the financial statements. 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.

# As per the records of the company, including the register of members c) Terms / rights attached to the equity shares

The Company has equity shares having a Face value of Rs. 10 per share. Each holder of equity share is entitled to one vote per share. The dividend, if any, proposed by the Board of Directors, is subject to the approval of the shareholders in the ensuing Annual General Meeting.

* - The Special Reserve was created as per the RBI Regulation u/s 45 (IC) in the past. The Company has further added in its Main Object to Dealing in Textile Garments. Therefore, application of provisions of NBFC will not be applicable and the said reserve shall be part of General Reserve, henceforth.

All the investments held by the Company in Shares and others are long term in nature, are registered in Note: its own name (Physical / Demat form) or are under process of registration by the Company and are free from any encumbrances.

No Provisions is made for diminishing in value of investment being Long Term in nature as considered by the management

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Mar 31, 2012

I. Basis of Accounting:

The financial statements are prepared under the historical cost convention, on an accrual & ongoing concern basis, in accordance with the generally accepted accounting principles in India and materially comply with mandatory accounting standards issued by the Institute of the Chartered Accountants of India and the provisions of the Companies Act, 1956.

ii. Other Accounting Policies:

These are generally consistent with the well accepted accounting standard principles and practices.

iii. Revenue Recognition:

Revenue is recognised only when it can be reliably measured and it is reasonable to expect ultimate collection. In case of uncertainties, revenue is recognised only when it becomes reasonably certain that ultimate collection will be made.

Interest income (net) is recognised on time proportion basis.

Dividend income is recognised when the right to receive dividend is established and/ or receipts.

iv. Fixed Assets:

Fixed Assets, if any, held by company are valued at cost less depreciation, if any.

v. Depreciation:

Depreciation on fixed assets, if any, shall be provided as per Straight Line Method at the rates and in the manner specified in Schedule XIV of the Companies Act, 1956.

vi. Shares Investment:

Investments are valued at cost plus brokerage and other incidental charges. Profit or losses on investment are accounted as and when realised as Capital Gain/ Loss, if any.

vii. Expenses:

All expenses are accounted for on accrual basis.

viii. Retirement Benefits:

The provisions of the Provident Fund Act 1952 are not applicable to the company, as number of employees does not exceed the statutory limits prescribed in the Act.

ix. Taxes on Income:

Current Tax is the amount of tax payable on the taxable income for the year as determined in accordance with the provisions of the Income Tax Act, 1961.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognised as an asset in the Balance Sheet when it is probable that future economic benefit associated with it will flow to the Company

x. Events Occurring After the Balance Sheet Date

Where material, events occurring after the Balance Sheet Date are considered up to the date of approval of accounts by the Board of Directors.

xi. Contingent Liabilities and Contingent Assets

Contingent liabilities are not recognised but are disclosed in the Notes. Contingent Assets are neither recognised nor disclosed in the financial statements.

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Mar 31, 2010

I. Basis of Accounting:

The financial statements are prepared under the historical cost convention, on an accrual & on going concern basis, in accordance with generally accepted accounting principles in India and materially comply with mandatory accounting standards issued by the Institute of the Chartered Accountants of India and the provisions of the Companies Act 1956.

ii. Other Accounting Policies:

These are generally consistent with the well accepted accounting standard principles and practices.

iii. Revenue Recognition;

Revenue is recognised only when measurability and realisability is certain. In case of uncertainties revenue recognition is postponed to the year in which it is properly measured, and realisability is assured.

Interest income is recognised on time proportion basis.

Dividend income is recognised when the right to receive dividend is established and/ or receipts.

iv. Fixed Assets:

Fixed Assets, if any are stated at historical cost of acquisition net of depreciation provided as per policy.

v. Shares Investment:

Investments are valued at cost plus brokerage and other charges. Profit or losses on investment are accounted as and when realised as Capital Gain/ Loss, if any. No Provisions is made for diminishing in value of investment being Long Term in nature as considered by the management

vi. Expenses:

All expenses are accounted for on accrual basis.

vii. Depreciation:

Depreciation on Fixed Assets, if any shall be provided as per Straight Line method at the rates and in the manner specified in schedule XIV of the Companies Act, 1956.

viii. Retirement Benefits:

The provisions of the Provident Fund Act 1952 are not applicable to the company, as number of employees does not exceed the statutory limits prescribed in the Act

ix. Events Occurring After the Balance Sheet Date

Where material, events occurring after the Balance Sheet Date are considered upto the date of approval of accounts by the Board of Directors.