అకౌంట్స్ గమనికలుSagar Diamonds Ltd.

Mar 31, 2024

b. Terms/rights attached to equity shares

The company has only one class of equity shares having a par value of INR 10 per share. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

a. Vehicle Loans obligations are secured by hypothecation of vehicles taken on lease. The loans are repayable in 60 monthly installments along with interest of 7.40 % p.a. from the date of loan.

b. Term loans were applied for the purpose for which the loans were obtained.

c. The Company has not been declared as a wilful defaulter by any bank or financial institution or other lender in accordance with the guidelines on wilful defaulters issued by the Reserve Bank of India.

d. The Company do not have any changes or satisfaction which is yet to be registered with ROC beyond the statutory period.

U The financial results are prepared In accordance with Iho Accounting Standard!, at appllr abla and guldallnet Issued by the

Securities and Exchange Hoard of India ("SCDI"). As company''s operations halted due to restrictions Imposed by the regulators, and seems It will take time to restart the operations, the financial results are prepared based on net realisable value and impact given In profit and loss statement till company receives consents from regulators to start the business again

11 Due to past COVID-19 pandemic, the Company has made assessment of recoverability of the Company''s assets such as Trade receivables, loans and advances and Inventories, the Company has considered Internal and external information up to the date of approval of these financial results. Based on the current Indicators of future economic conditions, and as per note 26, the Company do not expects to recover the carrying amount of these assets till start the business again.

Other Impact, if any, remains uncertain and may be different from what we have estimated as of the date of approval of these financial results and the Company will continue to closely monitor any material changes to future economic conditions.

28 Gratuity and other post-employment benefit plans

Company has made provision for payment of gratuity based on actuarial valuation using the Projected Unit Credit method of INR Nil [PYINR 6.19] respectively at the year end.

Contribution, to defined contribution scheme such as Provident Fund Is charged to the profit and loss account as incurred.

31 Details of dues to micro and small enterprises as defined under the MSMED Act, 2006

Based on the information available with the company there are no suppliers who are registered under the Micro, Small and Medium Enterprises Development Act, 2006 as at March 31,2024. Hence, the information as required under the Micro, Small and Medium Enterprises Development Act, 2006 is not disclosed.

34 The Code on Social Security, 2020 (''Code’) has been notified in the Official Gazatte of India on September 29,

2020, which could Impact the contributions of the Company towards certain employment benefits. The effective date from which changes are applicable is yet to be notified and the rules are yet to be framed. Impact, if any, of the change will be assessed and accounted in the period of notification of the relevant provisions.

a The Company hit nol traded or Invested lit Crypla Currency or Virtual Currency during the financial

J* year,

b No proceeding* have been Initialed or are pending again*! the Company for holding any benaml property under the Benaml Transaction* (Prohibition) Act,10118 (45 of 19SB) and rule* made thereunder.

c The Company has not advanced or loaned or Invested fund* to any other person)*) or entity(les), Including foreign entitles (Intermediaries) with the understanding that the Intermediary shall:

I directly or Indirectly lend or Invest In other persons or entitles Identified In any manner whatsoever by or on behalf of the company (ultimate beneficiaries) or

II provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries.

_d The Company has not received any fund from any person(s) or entlty(les), Including foreign entities (funding party) with the understanding (whether recorded In writing or otherwise) that the Company shall:

I directly or Indirectly lend or Invest In other persons or entitles identified In any manner whatsoever by or on behalf of the funding party (ultimate beneficiaries) or

i! provide any guarantee, security or the like on behalf of the ultimate beneficiaries.

_e The Company does not have any such transaction which Is not recorded In the books of accounts that has been surrendered or disclosed as income during the year In the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961.

f The Company does not have any transactions with companies which are struck off.

g The Company has not entered with any Scheme(s) of arrangement In terms of sections 230 to 237 of

the Companies Act, 2013.

h The Company do not have any subsidiary, so there is no requirement to comply with the number of layers prescribed under clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017.

37 Previous year''s figures have been restated wherever necessary to make them comparable with current year''s figures.

38 Previous year''s figures have been audited by another firm of Chartered Accountants.

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Mar 31, 2023

j. Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the company has present obligation as a result of past events, for
which 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 for the amount of the obligation.

Contingent Liabilities are disclosed by way of notes of accounts.

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

k. Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to
equity shareholders (after deducting attributable taxes) by the weighted average number of equity
shares outstanding during the period. Partly paid equity shares are treated as a fraction of an equity
share to the extent that they are entitled to participate in dividends relative to a fully paid equity
share during the reporting period. The weighted average number of equity shares outstanding during
the period is adjusted for events such as bonus issue, bonus element in a rights issue, share split, and
reverse share split(consolidation of shares) that have changed the number of equity shares
outstanding, without a corresponding change in resources.

l. Cash flow statement

Cash flows are reported 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 item 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.

m. Events after Reporting date

Where events occurring after the Balance Sheet date provide evidence of conditions that existed at
the end of the reporting period, the impact of such events is adjusted within the financial statements.
Otherwise, events after the Balance Sheet date of material size or nature are only disclosed.

n. Amendments to Schedule III of the Companies Act, 2013

Ministry of Corporate Affairs (MCA) issued notifications dated 24th March, 2021 to amend Schedule
III of the Companies Act, 2013 to enhance the disclosures required to be made by the Company in its
financial statements. These amendments are applicable to the Company for the financial year starting
1st April, 2021 and applied to the standalone financial statements:

a. Additional disclosure for shareholding of promoters.

b. Additional disclosure for ageing schedule of trade receivables, trade payables, capital work-in¬
progress.

c. Specific disclosure such as compliance with approved schemes of arrangements, compliance with
number of layers of companies, title deeds of immovable property not held in the name of the
Company, loans and advances to promoters, directors, key managerial personnel (KMP) and
related parties etc.

d. Additional disclosures relating to undisclosed income.

(b) Terms/rights attached to equity shares

The company has only one class of equity shares having a par value of IN R 10 per share. Each holder of
equity shares is entitled to one vote per share. In the event of liquidation of the company, the holders of
equity shares will be entitled to receive remaining assets of the company, after distribution of all
preferential amounts. The distribution will be in proportion to the number of equity shares held by the
shareholders.

25 Unsecured Trade receivables includes Rs. 7,56,123.46 Lakh outstanding beyond one year, which are
being pursued for recovery by the Company. In the opinion of the Management, no allowance/ provision
are required for above receivables and they are considered good and fully recoverable.

26 Due to ongoing COVID-19 pandemic, the Company has made assessment of recoverability of the
Company''s assets such as Trade receivables, loans and advances and Inventories, the Company has
considered internal and external information up to the date of approval of these financial results. Based
on the current indicators of future economic conditions, the Company expects to recover the carrying
amount of these assets.

The impact of COVID-19 remains uncertain and may be different from what we have estimated as of the
date of approval of these financial results and the Company will continue to closely monitor any material
changes to future economic conditions.

27 Gratuity and other post-employment benefit plans

Company has made provision for payment of gratuity based on actuarial valuation using the Projected
Unit Credit method of INR 6.19 Lakh [PY INR 6.19] respectively at the year end.

Contribution, to defined contribution scheme such as Provident Fund is charged to the profit and loss
account as incurred.

30 Details of dues to micro and small enterprises as defined under the MSMED Act, 2006

Based on the information available with the company there are no suppliers who are registered under the
Micro, Small and Medium Enterprises Development Act, 2006 as at March 31, 2023. Hence, the
information as required under the Micro, Small and Medium Enterprises Development Act, 2006 is not
disclosed.

33 The Code on Social Security, 2020 (''Code'') has been notified in the Official Gazette of India on
September 29, 2020, which could impact the contributions of the Company towards certain employment
benefits. The effective date from which changes are applicable is yet to be notified and the rules are yet
to be framed. Impact, if any, of the change will be assessed and accounted in the period of notification of
the relevant provisions.

35 Other Disclosure

a. The Company has not traded or invested in Crypto Currency or Virtual Currency during the financial
year.

b. No proceedings have been initiated or are pending against the Company for holding any benami
property under the Benami Transactions (Prohibition) Act,1988 (45 of 1988) and rules made
thereunder.

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

I. directly or indirectly lend or invest in other persons or entities identified in any manner
whatsoever by or on behalf of the company (ultimate beneficiaries) or

II. provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries.

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

I. directly or indirectly lend or invest in other persons or entities identified in any manner
whatsoever by or on behalf of the funding party (ultimate beneficiaries) or

II. provide any guarantee, security or the like on behalf of the ultimate beneficiaries.

e. The Company does not have any such transaction which is not recorded in the books of accounts
that has been surrendered or disclosed as income during the year in the tax assessments under the
Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax
Act, 1961.

f. The Company does not have any transactions with companies which are struck off.

g. The Company has not entered with any Scheme(s) of arrangement in terms of sections 230 to 237 of
the Companies Act, 2013.

h. The Company do not have any subsidiary, so there is no requirement to comply with the number of
layers prescribed under clause (87) of section 2 of the Act read with Companies (Restriction on
number of Layers) Rules, 2017.

36 Previous year''s figures have been restated wherever necessary to make them comparable with
current year''s figures.

37 Previous year''s figures have been audited by another firm of Chartered Accountants.

As per our report of even date attached

For AK Barman & Associates For Sagar Diamonds Limited

Chartered Accountants Vaibhav Shah (DIN: 03302936) - Managing Director

Sd/- Samir Gaonkar (DIN: 03100710)- Director

CA BARMAN ANJAN KUMAR

(Proprietor)

Membership No. 052949
FRN No. 316190E
Date: September 08, 2023

Place : Surat

Date : September 08, 2023