అకౌంట్స్ గమనికలుSangam Finserv Ltd.

Mar 31, 2025

Nature and Purposes of Reserves:

i. Statutory Reserve: Statutory Reserve represents the Reserve Fund created under Section 4S-IC of the Reserve Bank

II. Amalgamation Reserve: Amalgamation Reserve represent surplus arising on Amalgamation which was General Reserve

iii. General Reserve: General reserve is a free reserve, retained from Company''s profits and can be utilized upon fulfilling certain conditions in accordance with specific requirement of Companies Act, 2013.

iv. Retained Earnings: Retained earnings are the profits that the Company has earned till date, less any transfers to general reserve, dividends or other distributions paid to shareholders.

V. Equity Instruments through Other Comprehensive Income: This represents the cumulative gains and losses arising on the revaluation of equity Instruments measured at fair value through other comprehensive Income, under an Irrevocable option.

vi. Impairment Reserve: Where impairment allowance under Ind AS 109 is lower than the provisioning required under IRACP {including standard asset

provisioning), NBFCs are required to appropriate the difference from their net profit or loss after tax to a separate ''Impairment Reserve''. The balance in the ''Impairment Reserve'' is not reckoned for regulatory capital. Further, no withdrawals are permitted from this reserve without prior permission from the Department of Supervision, RBI.

(25) FINANCIAL INSTRUMENTS

ACCOUNTING CLASSIFICATIONS AND FAIR VALUES

The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation The categories used are as follows:

• Level 1: Quoted prices for identical instruments in an active market;

« Level 2: Directly or indirectly observable market inputs, other than Level 1 inputs; and

• Level 3: Inputs which are not based on observable market data.

(26) FINANCIAL RISK MANAGEMENT

The Company''s activities expose it to market risk, interest risk, liquidity risk and credit risk. The Company''s Board of Directors has overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the Company is exposed to and how the Company manages the risk and the related impact in the financial statements.

Market Risk : Market risk is the risk that changes in market prices - such as foreign exchange rates, interest rates and equity prices will affect the Company''s income or the value of its holdings of financial instruments. Market risk is attributable to ail market risk sensitive financial instruments including foreign currency receivables and payables and long-term debt. The Company is exposed to market risk primarily related to interest rate risk and the market value of certain commodities. Thus, Company''s exposure to market risk is a function of investing and borrowing activities and revenue generating and operating activities. The objective of market risk management is to avoid excessive exposure to these risks in Company''s revenues and costs.

Interest Rate Risk:

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate because of fluctuations in the interest rates.

Equity Price Risk

The Company is exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Company does not actively trade in these investments.

Credit Risk:

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the loan given to corporate parties.

The Company has adopted a policy of only dealing with counterparties that have sufficient credit rating. The Company''s exposure and credit ratings of its counterparties are continuously monitored and the aggregate value of transactions is reasonably spread amongst the counterparties.

Liquidity Risk;

Liquidity Risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. The Company''s management and finance department is responsible for liquidity, funding as well as settlement management. Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due. Due to the nature of the business, the Company maintains flexibility in funding by maintaining availability under committed facilities. Management monitors rolling forecasts of the Company''s liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market In which it operates.

Regulatory Risk: ,

The Company is exposed to risk attached to various statutes, laws and regulations including the Competition Act The Company is mitigating these risks through regular review of legal compliances carried out through internal scrutiny as well as external compliance audits.

Capital Risk Management:

For the purpose of the Company''s capital management, capital includes issued equity capital, share premium and all other equity reserves attributable to the equity holders. The primary objective of the Company''s capital management policy is to ensure that all times, it remains going concern and safeguard interest of its shareholders and stakeholders.

The Company does not have any outstanding dilutive potential equity shares.

Note:

During the year ended March 2025, pursuant to approval given by the shareholders in the Extraordinary General Meeting held on 9 January 2025, the Company has issued 3,72,90,200 fully paid up bonus equity shares of Rs. 10 each in the ratio of four equity shares of Rs. 10 each for every one existing equity share of Rs. 10 each. Earning per share of comparative year have been duly adjusted for the same.

(34) The Company, as part of its normal business, grants loans and advances, makes investment, provides guarantees to and accept deposits and borrowings fro other entities and persons. These transactions are part of Company''s normal non-banking finance business, which is conducted ensuring adherence to all regulatory requirements.

a) Other than the transection prescribed above no funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries") with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries).

b) The Company has not received any fund from any party(s) (Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

(35) there are no instances of transactions not recorded in the books of account of the Company, which have been surrendered or disclosed as income in the tax assessments under the Income Tax Act, 1961 (43 of 1961).

(36) The Company has not traded or invested in Crypto currency or Virtual Currency during the year.

(37) The Company has not undertaken any transactions with companies struck off under section 248 of Companies Act, 2013 or section 560 of the Companies Act, 1956.

(38) The Company has not been declared as a wilful defaulter by any bank cr financial institution or other lender

(39) There is no charge form filed beyond the statutory period for registration of charges or satisfaction with Registrar of Companies by the Company

(40) Foreign Currency Transaction

_No Foreign currency transaction during the relevant financial year.

(42) Previous year figures

Previous Year’s figures have been regrouped/reclassified, wherever necessary, to correspond with the current year’s ciassification/disclosures.

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Mar 31, 2024

iv Provisions, Contingent Liabilities and Contingent Assets:

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a 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. Provisions are measured at the best estimate of the expenditure required to settle the present obligation at the Balance Sheet date.

If the effect of the time value of money is material, provisions are discounted to reflect its present value using a current pre-tax rate that reflects the current market assessments of the time value of money and the risks specific to the obligation. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount cannot be made.

Contingent assets are neither recognized nor disclosed except when realisation of income is virtually certain, related asset is disclosed.

v Revenue Recognition:

Revenue is recognised to the extent that it is probable that economic benefits will flow to the Company and that revenue can be reliably measured, regardless of when the payments is being made. Revenue is measured at the fair value of the consideration received or receivable, taking into account contractually defined terms of payment and excluding duties and taxes collected on behalf of the Government.

The Company follows the prudential norms for income recognition and provides for /writes off Non-Performing Assets as per the prudential norms prescribed by the Reserve Bank of India or earlier as ascertained by the management.

Interest Income on Loan: Interest Income is recognised on a time proportion basis taking into account the amount outstanding and applicable interest rate. For all financial instruments measured at amortised cost, interest income is recorded using the Effective interest rate method to the net carrying amount of the financial assets.

Interest Income on Investment: Interest on Investment is recognised on accrual basis on time proportion.

Fee income : Fees income such as Processing/ Login, documentation, and preclosure charges etc are recognised on a point-in-time basis.

Net Gain/Loss on Fair Value Changes : Any differences between the fair values of the investment in debt oriented mutual funds classified as fair value through the profit or loss, held by the Company on the balance sheet date is recognised as an unrealised gain/ loss in the statement of profit and loss. In cases there is a net gain in aggregate, the same is recognised in “Net gains or fair value changes” under revenue from operations and if there is a net loss, the same is disclosed as“Expenses”, in the statement of profit and loss.

vi Expenditure:

Expenses are accounted on accrual basis.

vii Interest expenses on loans repayable on demand are calculated on a time proportion basis taking into account the amount outstanding and applicable interest rate and the same and all other Borrowing costs are recognised in the Statement of Profit and Loss in the year in which they are incurred.

viii Employee Benefits:

Short term Employee Benefits:

All employee benefits payable wholly within twelve months of rendering the service are classified as short-term employee benefits and they are recognized in the period in which the employee renders the related service. The Company recognizes the undiscounted amount of short-term employee benefits expected to be paid in exchange for services rendered as a liability.

Defined Contribution Plans :

Contributions to defined contribution schemes such as employees’ state insurance, employee provident fund and employee pension scheme etc. are charged as an expense based on the amount of contribution required to be made as and when services are rendered by the employees. Company’s provident fund contribution is made to a government administered fund and charged as an expense to the Statement of Profit and Loss. The above benefits are classified as Defined Contribution Schemes as the Company has no further defined obligations beyond the monthly contributions.

Post-employment Benefits:

The Company operates defined benefit plan in the form of gratuity and compensated absence. The liability or asset recognised in the balance sheet in respect of its defined benefit plans is the present value of the defined benefit obligation at the end of the reporting period. The defined benefit obligation is calculated annually by actuaries using the projected unit credit method. The present value of the said obligation is determined by discounting the estimated future cash out flows, using market yields of government bonds that have tenure approximating the tenures of the related liability. The interest expenses are calculated by applying the discount rate to the net defined benefit liability or asset. The net interest expense on the net defined benefit liability or asset is recognised in the Statement of Profit and loss. Remeasurement gains and losses arising from experience adjustments and changes in actuarial assumptions are recognised in the period in which they occur, directly in other items of other comprehensive income. They are included in Other Equity in the Statement of Changes in Equity and in the Balance Sheet. Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments are recognised immediately in profit or loss as past service cost.

ix Income Taxes:

Tax expense is the aggregate amount included in the determination of profit or loss for the period in respect of current tax and deferred tax.

Current tax:

Current tax is the amount of income taxes payable in respect of taxable profit for a period. Taxable profit differs from ‘profit before tax’ as reported in the Statement of Profit and Loss because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible under the Income Tax Act, 1961.

Current tax is measured using tax rates that have been enacted by the end of reporting period for the amounts expected to be recovered from or paid to the taxation authorities.

Deferred tax:

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit under Income tax Act, 1961.

Deferred tax liabilities are generally recognized for all taxable temporary differences. However, in case of temporary differences that arise from initial recognition of assets or liabilities in a transaction that affect neither the taxable profit nor the accounting profit, deferred tax liabilities are not recognized.

Deferred tax assets are generally recognized for all deductible temporary differences to the extent it is probable that taxable profits will be available against which those deductible temporary difference can be utilized. In case of temporary differences that arise from initial recognition of assets or liabilities in a transaction that affect neither the taxable profit nor the accounting profit, deferred tax assets are not recognized.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow the benefits of part or all of such deferred tax assets to be utilized.

Deferred tax assets and liabilities are measured at the tax rates that have been enacted or substantively enacted by the balance sheet date and are expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled.

Presentation of current and deferred tax:

Current and deferred tax are recognized as income or an expense in the Statement of Profit and Loss, except when they relate to items that are recognized in Other Comprehensive Income, in which case, the current and deferred tax income/expense are recognized in Other Comprehensive Income.

The Company offsets current tax assets and current tax liabilities, where it has a legally enforceable right to set off the recognized amounts and where it intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously. In case of deferred tax assets and deferred tax liabilities, the same are offset if the Company has a legally enforceable right to set off corresponding current tax assets against current tax liabilities and the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same tax authority on the Company.

x Earnings Per Share:

Basic EPS is arrived at based on net profit after tax available to equity shareholders to the weighted average number of equity shares outstanding during the year.

The diluted EPS is calculated on the same basis as basic EPS, after adjusting for the effects of potential dilutive equity shares unless impact is antidilutive.

xi Cash flows Statement

Cash flows are reported using the indirect method where by the profit before tax is adjusted for the effect of the transactions of a non-cash nature, any deferrals or accruals of past and 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._

(26) FINANCIAL RISK MANAGEMENT

The Company''s activities expose it to market risk, interest risk, liquidity risk and credit risk. The Company''s Board of Directors has overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the Company is exposed to and how the Company manages the risk and the related impact in the financial statements.

Market Risk : Market risk is the risk that changes in market prices - such as foreign exchange rates, interest rates and equity prices will affect the Company''s income or the value of its holdings of financial instruments. Market risk is attributable to all market risk sensitive financial instruments including foreign currency receivables and payables and long-term debt. The Company is exposed to market risk primarily related to interest rate risk and the market value of certain commodities. Thus, Company''s exposure to market risk is a function of investing and borrowing activities and revenue generating and operating activities. The objective of market risk management is to avoid excessive exposure to these risks in Company''s revenues and costs.

Interest Rate Risk:

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate because of fluctuations in the interest rates.

Exposure to interest rate risk: The Company''s interest rate risk arises from borrowings. Borrowings issued at fixed rates exposes to fair value interest rate risk. The interest rate profile of the Company''s interest-bearing financial instruments as reported to the management of the Company is as follows.

Equity Price Risk

The Company is exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Company does not actively trade in these investments.

Credit Risk:

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the loan given to corporate parties.

The Company has adopted a policy of only dealing with counterparties that have sufficient credit rating. The Company''s exposure and credit ratings of its counterparties are continuously monitored and the aggregate value of transactions is reasonably spread amongst the counterparties.

Liquidity Risk:

Liquidity Risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. The Company''s management and finance department is responsible for liquidity, funding as well as settlement management. Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due. Due to the nature of the business, the Company maintains flexibility in funding by maintaining availability under committed facilities. Management monitors rolling forecasts of the Company''s liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which it operates.

Regulatory Risk:

The Company is exposed to risk attached to various statutes, laws and regulations including the Competition Act. The Company is mitigating these risks through regular review of legal compliances carried out through internal scrutiny as well as external compliance audits.

Capital Risk Management:

For the purpose of the Company''s capital management, capital includes issued equity capital, share premium and all other equity reserves attributable to the equity holders. The primary objective of the Company''s capital management policy is to ensure that all times, it remains going concern and safeguard interest of its shareholders and stakeholders.

(36) Previous year figures

Previous Year''s figures have been regrouped/reclassified, wherever necessary, to correspond with the current year''s classification/disclosures.

As per our report of even date For and on behalf of the board

For O P DAD & CO.

Chartered Accountants (FRN 002330C)

Vinod K. Sodani Arjun Agal

Chairman Whole Time Director

Sunil Kumar Lohiya DIN: 00403740 DIN: 07575105

Partner

M. No.075948

UDIN- 24075948BKBMDP9794

Dated: 28.05.2024 Pushpendra Singh Anjana Soni Thakur

_Place: Bhilwara_Company Secretary_Chief Financial Officer

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Mar 31, 2023

iv Provisions, Contingent Liabilities and Contingent Assets:

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a 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. Provisions are measured at the best estimate of the expenditure required to settle the present obligation at the Balance Sheet date. If the effect of the time value of money is material, provisions are discounted to reflect its present value using a current pre-tax rate that reflects the current market assessments of the time value of money and the risks specific to the obligation. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount cannot be made.

Contingent assets are neither recognized nor disclosed except when realisation of income is virtually certain, related asset is disclosed.

v Revenue Recognition:

Revenue is recognised to the extent that it is probable that economic benefits will flow to the Company and that revenue can be reliably measured, regardless of when the payments is being made. Revenue is measured at the fair value of the consideration received or receivable, taking into account contractually defined terms of payment and excluding duties and taxes collected on behalf of the Government.

The Company follows the prudential norms for income recognition and provides for /writes off Non-Performing Assets as per the prudential norms prescribed by the Reserve Bank of India or earlier as ascertained by the management.

Interest Income: Interest Income is recognised on a time proportion basis taking into account the amount outstanding and applicable interest rate. For all financial instruments measured at amortised cost, interest income is recorded using the Effective interest rate method to the net carrying amount of the financial assets.

Net Gain/Loss on Fair Value Changes: Any differences between the fair values of the investment in debt oriented mutual funds classified as fair value through the profit or loss, held by the Company on the balance sheet date is recognised as an unrealised gain/ loss in the statement of profit and loss. In cases there is a net gain in aggregate, the same is recognised in “Net gains or fair value changes” under revenue from operations and if there is a net loss, the same is disclosed as“Expenses”, in the statement of profit and loss.

vi Expenditure:

Expenses are accounted on accrual basis.

vii Interest expenses on loans repayable on demand are calculated on a time proportion basis taking into account the amount outstanding and applicable interest rate and the same and all other Borrowing costs are recognised in the Statement of Profit and Loss in the year in which they are incurred.

viii Employee Benefits:

Short term Employee Benefits:

All employee benefits payable wholly within twelve months of rendering the service are classified as short-term employee benefits and they are recognized in the period in which the employee renders the related service. The Company recognizes the undiscounted amount of short-term employee benefits expected to be paid in exchange for services rendered as a liability.

Defined Contribution Plans :

Contributions to defined contribution schemes such as employees'' state insurance, employee provident fund and employee pension scheme etc. are charged as an expense based on the amount of contribution required to be made as and when services are rendered by the employees. Company''s provident fund contribution is made to a government administered fund and charged as an expense to the Statement of Profit and Loss. The above benefits are classified as Defined Contribution Schemes as the Company has no further defined obligations beyond the monthly contributions.

Post-employment Benefits:

The Company operates defined benefit plan in the form of gratuity and compensated absence. The liability or asset recognised in the balance sheet in respect of its defined benefit plans is the present value of the defined benefit obligation at the end of the reporting period. The defined benefit obligation is calculated annually by actuaries using the projected unit credit method. The present value of the said obligation is determined by discounting the

estimated future cash out flows, using market yields of government bonds that have tenure approximating the tenures of the related liability. The interest expenses are calculated by applying the discount rate to the net defined benefit liability or asset. The net interest expense on the net defined benefit liability or asset is recognised in the Statement of Profit and loss. Remeasurement gains and losses arising from experience adjustments and changes in actuarial assumptions are recognised in the period in which they occur, directly in other items of other comprehensive income. They are included in Other Equity in the Statement of Changes in Equity and in the Balance Sheet. Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments are recognised immediately in profit or loss as past service cost.

ix Income Taxes:

Tax expense is the aggregate amount included in the determination of profit or loss for the period in respect of current tax and deferred tax. Current tax:

Current tax is the amount of income taxes payable in respect of taxable profit for a period. Taxable profit differs from ‘profit before tax'' as reported in the Statement of Profit and Loss because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible under the Income Tax Act, 1961.

Current tax is measured using tax rates that have been enacted by the end of reporting period for the amounts expected to be recovered from or paid to the taxation authorities.

Deferred tax:

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit under Income tax Act, 1961.

Deferred tax liabilities are generally recognized for all taxable temporary differences. However, in case of temporary differences that arise from initial recognition of assets or liabilities in a transaction that affect neither the taxable profit nor the accounting profit, deferred tax liabilities are not recognized.

Deferred tax assets are generally recognized for all deductible temporary differences to the extent it is probable that taxable profits will be available against which those deductible temporary difference can be utilized. In case of temporary differences that arise from initial recognition of assets or liabilities in a transaction that affect neither the taxable profit nor the accounting profit, deferred tax assets are not recognized.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow the benefits of part or all of such deferred tax assets to be utilized.

Deferred tax assets and liabilities are measured at the tax rates that have been enacted or substantively enacted by the balance sheet date and are expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled.

Presentation of current and deferred tax:

Current and deferred tax are recognized as income or an expense in the Statement of Profit and Loss, except when they relate to items that are recognized in Other Comprehensive Income, in which case, the current and deferred tax income/expense are recognized in Other Comprehensive Income.

The Company offsets current tax assets and current tax liabilities, where it has a legally enforceable right to set off the recognized amounts and where it intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously. In case of deferred tax assets and deferred tax liabilities, the same are offset if the Company has a legally enforceable right to set off corresponding current tax assets against current tax liabilities and the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same tax authority on the Company.

x Earnings Per Share:

Basic EPS is arrived at based on net profit after tax available to equity shareholders to the weighted average number of equity shares outstanding during the year.

The diluted EPS is calculated on the same basis as basic EPS, after adjusting for the effects of potential dilutive equity shares unless impact is anti-dilutive.

xi Cash flows Statement

Cash flows are reported using the indirect method where by the profit before tax is adjusted for the effect of the transactions of a non-cash nature, any deferrals or accruals of past and 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.

(26) FINANCIAL RISK MANAGEMENT

The Company’s activities expose it to market risk, interest risk, liquidity risk and credit risk. The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk management framework. This note explains the sources of risk which the Company is exposed to and how the Company manages the risk and the related impact in the financial statements.

Market Risk : Market risk is the risk that changes in market prices - such as foreign exchange rates, interest rates and equity prices will affect the Company’s income or the value of its holdings of financial instruments. Market risk is attributable to all market risk sensitive financial instruments including foreign currency receivables and payables and long-term debt. The Company is exposed to market risk primarily related to interest rate risk and the market value of certain commodities. Thus, Company''s exposure to market risk is a function of investing and borrowing activities and revenue generating and operating activities. The objective of market risk management is to avoid excessive exposure to these risks in Company''s revenues and costs.

Interest Rate Risk:

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate because of fluctuations in the interest rates.

Exposure to interest rate risk: The Company’s interest rate risk arises from borrowings. Borrowings issued at fixed rates exposes to fair value interest rate risk. The interest rate profile of the Company’s interest-bearing financial instruments as reported to the management of the Company is as follows.

Equity Price Risk

The Company is exposed to equity price risks arising from equity investments. Equity investments are held for strategic rather than trading purposes. The Company does not actively trade in these investments.

Credit Risk:

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the loan given to corporate parties.

The Company has adopted a policy of only dealing with counterparties that have sufficient credit rating. The Company’s exposure and credit ratings of its counterparties are continuously monitored and the aggregate value of transactions is reasonably spread amongst the counterparties.

Liquidity Risk:

Liquidity Risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. The Company’s management and finance department is responsible for liquidity, funding as well as settlement management. Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due. Due to the nature of the business, the Company maintains flexibility in funding by maintaining availability under committed facilities. Management monitors rolling forecasts of the Company’s liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which it operates.

Regulatory Risk:

The Company is exposed to risk attached to various statutes, laws and regulations including the Competition Act. The Company is mitigating these risks through regular review of legal compliances carried out through internal scrutiny as well as external compliance audits.

Capital Risk Management:

For the purpose of the Company''s capital management, capital includes issued equity capital, share premium and all other equity reserves attributable to the equity holders. The primary objective of the Company’s capital management policy is to ensure that all times, it remains going concern and safeguard interest of its shareholders and stakeholders.

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Mar 31, 2018

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2018

(Amounts in

Note No.	Particulars	As at 31st March, 2018	As at 31st March, 2017
2	Share Capital
	Authorised :
	9500000 (P.Y. 9500000) Equity Shares of Rs. 10/- each	9,50,00,000	9,50,00,000
	Issued, Subscribed and Paid-up:
	9322550 (P.Y. 9322550) Equity Shares of Rs. 10/- each	9,32,25,500	9,32,25,500
		9,32,25,500	9,32,25,500
	a. The number of shares and amount outstanding at the beginning and at the end of the reporting year is same.
	b. The Company has only one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity share is entitled to same right in all the assets.
	c. Detail of shares held by the holding company
	Particulars	No. of Shares Held	No. of Shares Held
	Marigold Investrade Private Limited	5880250	5505850
	d. Shares in the Company held by each shareholders holding more than 5% shares:
	No. of Shareholders each holding more than 5% of the share capital	No. of Shares Held Percentage of holding	No. of Shares Held Percentage of holding
	One shareholder (P.Y. One shareholder)	5880250	5505850
		63.08%	59.06%
3	Reserves & Surplus
	a. Statutory Reserve / Special reserve as per RBI Act	1,95,000	1,95,000
	Add: Set aside during the year	1,47,24,000	NIL
	Closing Balance	1,49,19,000	1,95,000
	b. Amalgamation Reserve (Opening & Closing Balance)	61,26,51,582	61,26,51,581
	c. General Reserve
	Opening Balance	NIL	NIL
	Add: Addition during the year	1,84,04,000	NIL
	Closing Balance	1,84,04,000	NIL
	d. Surplus in Statement of Profit and Loss
	Opening Balance	4,78,21,580	41,57,030
	Add: Net Profit for the current year	7,36,15,247	4,36,64,550
	Amount Available for appropriations	12,14,36,828	4,78,21,580
	Less : Transfer to Reserve Fund in terms of section 45-IC(1) of the Reserve Bank of India Act, 1934	1,47,24,000	NIL
	Less : Transfer to General Reserve	1,84,04,000	NIL
	Dividend	93,22,550	NIL
	Tax on Dividend	18,97,852	NIL
	Closing Balance	7,70,88,426	4,78,21,580
		72,30,63,007	66,06,68,162

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2018

(Amounts in Rs)

Note No.	Particulars	As at 31st March, 2018	As at 31st March, 2017
4	Long-term Borrowings
	Secured*
	- Term Loan from IL&FS Financial Services Ltd	41,03,65,365	50,00,00,000
	Less: Amount disclosed under the head	10,52,80,000	7,89,47,367
	Other Current Liabilities (Refer Note 8)
		30,50,85,365	42,10,52,633

* The term loan from financial institution is repayable in 19 equated quarterly instalments starting from 1st July, 2017. The loan is secured against hypothecation of receivables of loans advanced to Kalyan Sangam Infratech Ltd. and Kalyan Toll Infrastructure Ltd. Current maturity of loan due and payable within a year is classified as other current liabilities (Refer Note 8).

5	Long -term Provisions
	Contingent Provision against Standard Assets	76,56,873	37,05,215
		76,56,873	37,05,215
6	Short-term Borrowings
	Unsecured
	--Loans from Others	2,02,84,16,890	55,58,75,352
		2,02,84,16,890	55,58,75,352
7	Short-term Provisions
	Provision for Tax (net of taxes paid)	78,19,297	53,98,702
		78,19,297	53,98,702
8	Other Current Liabilities
	Current maturity of long-term borrowings (Refer Note 4)	10,52,80,000	7,89,47,367
	Statutory Dues	66,61,385	54,13,453
	Other Payables	3,22,705	3,62,057
	Unclaimed Dividend	72,446	Nil
		11,23,36,536	8,47,22,877

9 Tangible Fixed Assets

(Amounts in Rs)

	GROSS BLOCK			DEPRECIATION			NET BLOCK
Description	As AT 01/04/17	ADDITIONS/ (DEDUCTIONS)	As At 31/03/18	As At 01/04/17	FOR THE YEAR	As At 31/03/18	As At 31/03/18	As At 31/03/17
COMPUTER/ PRINTER	53,025	NIL	53,025	46,639	3,490	50,129	2,896	6,386
AIR CONDITIONER	23,500	NIL	23,500	21,165	1,160	22,325	1,175	2,335
Total	76,525	NIL	76,525	67,804	4,650	72,454	4,071	8,721
Previous Year	76,525	NIL	76,525	55,898	11,906	67,804	8,721	20,627

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2018

Note No.	Particulars	As at 1st March, 2018	As at 31st March, 2017
10	Non-current Investments
	Non-trade Investments
	Unquoted
	Investment in Equity Instruments
	1200 (1200) Eq. Shares of Rs.100/- each of Finworth Investment Pvt. Ltd.	12,00,000	12,00,000
	10000 (10000) Eq. Shares of Rs.10/- each of Parishray Elegancy Pvt. Ltd.	10,00,000	10,00,000
	10000 (10000) Eq. Shares of Rs.10/- each of Pisces Securities Pvt. Ltd.	10,00,000	10,00,000
	6665 (6665) Eq. Shares of Rs. 10/- each of Shiv Shivam Developers Pvt. Ltd	12,99,675	12,99,675
		44,99,675	44,99,675
	Investment in Preference Shares
	2000000 (2000000) Pref. Sh. of Rs. 10/- each of Keti Sangam Infrastructure (India) Limited	20,05,00,000	20,05,00,000
		20,05,00,000	20,05,00,000
	Total Non -current Investments	20,49,99,675	20,49,99,675
11	Deferred Tax Asset
	Major components of Deferred Tax Asset arising on account of temporary timing differences are given below:
	Deferred Tax Asset
	Difference between Book & Tax Depreciation	2,663	2363
	Deferred Tax Liability
	Difference between Book & Tax Depreciation	NIL	NIL
	Deferred Tax Asset (net)	2,663	2,363
12	Long-term Loans & Advances
	(Unsecured, considered good)
	Security Deposits	10,00,000	10,00,000
	Other Loans & Advances
	-- Advance Income Tax (net of Provision)	4,80,294	7,24,146
	-Service Tax Credit Available	NIL	10,441
	-GST Credit Available	17,399	NIL
		14,97,693	17,34,587
13	Cash & Bank Balances
	Cash & Cash Equivalents
	-Cash on Hand	33,061	58,038
	-Balance with Bank
	in Current Account	82,44,509	1,59,027
	Other Bank Balances
	-in Unpaid Dividend Accounts	72,446	NIL
		83,50,016	2,17,065

Note No.	Particulars	As at 31st March, 2018	As at 31st March, 2017
14	Short-term Loans & Advances
	(Unsecured, considered good)
	Loans and Advances
	to Staff	NIL	21,500
	to Others	3,06,27,49,348	1,48,20,64,531
		3,06,27,49,348	1,48,20,86,031
15	Other Current Assets
	Other Receivables	NIL	13,56,00,000
		NIL	13,56,00,000
16	Revenue From Operations
	Interest on Loan	21,58,35,560	9,08,88,000
	Syndication Fees	2,75,15,800	3,61,02,749
		24,33,51,360	12,69,90,749
17	Other Income
	Interest on I.T.Refund	15,847	NIL
		15,847	NIL
18	Employee Benefits Expenses
	Salary, bonus etc.	12,64,736	10,99,865
	Staff Welfare	3,058	1,425
		12,67,794	11,01,290
19	Finance Costs
	Interest on Loan	12,66,27,914	4,62,50,769
	Interest on deferement of advance tax	6,70,225	5,67,827
	Franking Charges and Stamp Duty	10,57,340	10,31,820
	Processing Fees for Loan	NIL	53,26,500
		12,83,55,479	5,31,76,916
20	Other Expenses
	Listing Fees	2,88,359	2,49,038
	Professional Fees	33,75,806	35,29,330
	Legal Fees	53,875	1,00,500
	Depository Charges	48,488	68,701
	Advertisement	35,681	54,743
	Auditors'' Remuneration
	- For Statuory Audit	38,625	25,125
	- For Tax Audit	16,450	10,050
	- For Income Tax Matters	Nil	2,512
	- For Certification & Other Matters	10,700	13,754
	Internal Audit Fees	32,700	17,250
	Secretarial Audit Fees	63,100	29,500

21 Segment Reporting

The Company is engaged solely in financial & investment activity segment and all activities of the Company revolve around this business. As such there are no other reportable segment as defined by Accounting Standard -17 on "Segment Reporting" issued by the Institute of Chartered Accountants of India.

22 As per Accounting Standard -18 on" Related Party Disclosure" issued by the Institute of Chartered Accountants of India, there were no transactions and outstanding year end balance with related parties during the year.

24 A dividend at the rate of Rs. 1.20 per share for the year 2017-18 has been recommended by the Board of Directors for declaration at the ensuing Annual General Meeting. The said dividend and dividend distribution tax on such dividend aggregating to Rs. 1,34,86,593/- is not provided in the accounts in conformity with the Accounting standard (AS 4) as revised.

25 Previous year figures

Previous Year''s figures have been regrouped/reclassified, wherever necessary, to correspond with the current year''s classification/disclosures.

Note No.	Particulars	As at 31st March, 2018	As at 31st March, 2017
	Filing Fees	1,000	10,885
	Printing & Stationery	4,307	5,461
	Office Rent	3,26,063	1,26,300
	Membership Fees	21,800	26,525
	Sundry Expenses	1,14,528	57,214
	Postage and Courier Charges	15,026	4,739
	Profession Tax	2,500	2,500
	Web Designing Charges	7,750	7,500
	Telephone Expenses	3,188	Nil
	Travelling Expenses	4,380	Nil
		44,64,325	43,41,627

23 Earnings PerShare (EPS)

		2017-18	2016-17
a)	Weighted Average Number of Equity Shares outstanding during the year	9322550	9322550
b)	Net Profit after tax available for Equity Shareholders (Rs.)	7,36,15,247	4,36,64,550
c)	Basic and Diluted Earnings Per Share (Rs.)	7.90	4.68
d)	Nominal Value Per Share (Rs.)	10/-	10/-

The Company does not have any outstanding dilutive potential equity shares.

	For and on behalf of the Board
For S. S. Rathi & Co Chartered Accountants	For Suchitra Finance & Trading Co. Ltd.
(Firm Regn. No.108726W)

D. P. Rathi	Vinod K. Sodani	Anjana Soni Thakur
Partner	Chairman	Whole Time Director
Mem. No. 042068	DIN: 00403740	DIN: 00401469
Place : Mumbai	Govinda Soni	Antima Soni
Dated: 30th May, 2018	Company Secretary	Chief Financial Officer

---

Mar 31, 2015

1. Previous year Figures

Previous Year's figures have been regrouped/reclassified wherever necessary to correspond with the current year's classification/disclosures.

---

Mar 31, 2014

1 Related Party Disclosures

i. List of Related Party with whom transaction have taken place &

Relationship.

Name of the Related Party Relationship

a.Sangam Infratech Limited Enterprises over which Key

Management Personnel are able to , exercise significant influence

2 Previous year Figures

Previous Year''s figures have been regrouped/reclassified wherever necessary to correspond with the current year''s classification/disclosures.

---

Mar 31, 2013

1 Segment Reporting

The Company is engaged solely in investment activity segment and all activities of the Company revolve around this business. As such there are no other reportable segment as defined by Accounting Standard 17 on "Segment Reporting" issued by the Institute of Chartered Accountants of India.

2 Related Party Disclosures

i. List of Related Party with whom transaction have taken place & Relationship.

Name of the Related Party Relationship

a. Sangam Infratech Limited Enterprises over which Key

Management Personnel are able to exercise significant influence

3 Previous year Figur

Previous Year''s figures have been regrouped/reclassified wherever necessary to correspond with the current year''s classification/ disclosures.

---

Mar 31, 2012

1. In accordance with the Notification No. DNBS.222/CGM(US)-2011 dated 17.01.2011 issued by the Reserve Bank of India(RBI) vide its directions to all NBFC''s to make a general provision of 0.25% on the standard assets, the Company has recognized Contingent Provisions against Standard Assets as at the year end aggregating Rs. 1,132,501/-(Previous year Rs. 305,883/-).

2. Segment Reporting

The company is engaged solely in investment activity segment and all activities of the Company revolve around this business. As such there are no other reportable segment as defined by Accounting Standard 17 on the "Segment Reporting" issued by the Institute of Company Secretaries of India.

3. Related Party Disclosures

i. List of Related Parties with whom transaction have taken place & Relationship.

Name of the Related Parties Relationship

a. Sangam Infratech Limited Enterprises over which Key Management

Personnel are able to exercise significant influence.

4.Previous Year Figures

The Revised Schedule VI has become effective from April 01, 2011 for the preparation and presentation of financial statements. This has significantly impacted the disclosures and presentation made in the financial statements. Previous Year''s figures have been regrouped/ reclassified wherever necessary to correspond with the current year''s classification/disclosures.

---

Mar 31, 2011

1) The provision of Provident Fund Act, ESI Act and Payment of Gratuity Act are not applicable to the company since the number of employees is less than those specified in the aforesaid Acts.

2) As identified from available information, there are no dues to small-scale Industrial undertakings, which require disclosure.

3) As the business activity falls within a single segment, the disclosure requirements of Accounting Standard 17 "Segment Reporting", issued by the Institute of Chartered Accountants of India, is not applicable.

4) Previous year figures have been regrouped or rearranged wherever necessary.