అకౌంట్స్ గమనికలుStandard Surfactants Ltd.

Mar 31, 2025

xvi) Provisions, contingent liabilities and assets

Provisions are recognized 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. The expense
relating to a provision is presented in the statement of profit or loss net of any reimbursement. Provisions
are not recognised for future operating losses.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate
that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in
the provision due to the passage of time is recognized as a finance cost.

Contingent liabilities are possible obligations that arise from past events and whose existence will only be
confirmed by the occurrence or non-occurrence of one or more future events not wholly within the control
of the Company. Where it is not probable that an outflow of economic benefits will be required, or the
amount cannot be estimated reliably, the obligation is disclosed as a contingent liability, unless the
probability of an outflow of economic benefits is remote.

A contingent asset is not recognised but disclosed when a probable asset that arises from past events and
whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the entity.

Provisions, contingent liabilities and contingent assets are reviewed at each balance sheet date.

xvii) Cash and cash equivalents

Cash and cash equivalents include cash on hand, cheques on hand, balance with banks on current
accounts and short-term, highly liquid investments with an original maturity of three months or less and
which are subject to an insignificant risk of changes in value.

For the purpose of statement of cash flow, cash and cash equivalents consist of cash and short term
deposits, net of outstanding bank overdraft as they being considered as integral part of the company’s
cash management.

xviii) Dividend payable

Dividends and interim dividends payable to a Company’s shareholders are recognized as changes in equity
in the period in which they are approved by the shareholder’s meeting and the Board of Directors
respectively.

xix) Non-current assets (or disposal group) held for sale and discontinued operations:

Non-current assets and disposal groups classified as held for sale are measured at the lower of their
carrying value and fair value less costs to sell.

Assets and disposal groups are classified as held for sale if their carrying value will be recovered through
a sale transaction rather than through continuing use. This condition is only met when the sale is highly
probable and the asset, or disposal group, is available for immediate sale in its present condition and is
marketed for sale at a price that is reasonable in relation to its current fair value.

Where a disposal group represents a separate major line of business or geographical area of operations,
or is part of a single coordinated plan to dispose of a separate major line of business or geographical area
of operations, then it is treated as a discontinued operation. The post-tax profit or loss of the discontinued

operation together with the gain or loss recognised on its disposal are disclosed as a single amount in the
statement of profit and loss, with all prior periods being presented on this basis.

xx) Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability
or equity instrument of another entity.

A. Financial assets
Classification

The company classifies financial assets as subsequently measured at amortized cost, fair value through
other comprehensive income or fair value through profit or loss on the basis of its business model for
managing the financial assets and contractual cash flow characteristics of the financial asset.

Initial recognition and measurement

All financial assets, except trade receivables, are initially recognized at fair value. Trade receivables are
initially measured at transaction price. Transaction costs that are directly attributable to the acquisition or
issue of financial assets, which are not at fair value through profit or loss, are adjusted to the fair value of
the financial assets, as appropriate, on initial recognition.

The financial assets include equity and debt securities, trade and other receivables, loans and advances,
cash and bank balances and derivative financial instruments. Trade receivables that do not contain a
significant financing component are measured at transaction price.

Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in the following categories:

a) Financial assets carried at amortised cost

A “financial asset” is measured at the amortized cost if both the following condition are met:

i) The assets are held within a business model whose objective is to hold assets for collecting
contractual cash flow (business model test) , and

ii) Contractual terms of the assets give rise on specified dates to cash flows that are solely payments
of principle and interest on the principle amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortized cost using the
effective interest rate (EIR) method. Amortized cost is calculated by taking into account any discount,
premium, fee or costs that are an integral part of an EIR. The EIR amortization is included in finance income
in the statement of profit and loss.

b) Financial assets at fair value through other comprehensive income (FVTOCI)

A financial asset is measured at FVTOCI if both the following conditions are met:

i) The asset is held within a business model in which asset are managed both in order to collect
contractual cash flows and for sale, and

ii) Contractual terms of the assets give rise on specified dates to cash flows that are solely payments
of principle and interest on the principle amount outstanding.

After initial measurement (at fair value minus transaction cost), such financial assets are measured at fair
value with changes in fair value recognized in Other comprehensive income except for:

• Interest calculated using EIR

• Foreign exchange gain and losses , and

• Impairment losses and gains

c) Financial assets at fair value through profit or loss (FVTPL)

FVTPL is a residual category for financial instruments. Any financial instrument, which does not meet the
criteria for categorization as at amortized cost or as FVTOCI, is classified as at FVTPL. In addition, the
Company may elect to classify a financial instrument, which otherwise meets amortized cost or FVTOCI
criteria, as at FVTPL. However, such election is allowed only if doing so reduces or eliminates a
measurement or recognition inconsistency (referred to as ‘accounting mismatch’). Financial instruments
included within the FVTPL category are measured at fair value with all changes recognized in the profit and
loss.

d) Equity investments

All equity investments in the scope of Ind AS 109 are measured at fair value. Equity instruments included
within the FVTPL category, if any, are measured at fair value with all changes recognized in statement of
profit or loss. . The Company may make an irrevocable election to present in OCI subsequent changes in
the fair value. The Company makes such election on an instrument-by-instrument basis. The classification
is made on initial recognition and is irrevocable. When the fair value has been determined based on level
3 inputs, the difference between the fair value at initial recognition and the transaction price, if loss, is
recognized through retained earnings and after initial recognition subsequent changes in fair value of equity
instruments is recognised as gain or loss to the extent it arises from change in input to valuation technique.
If the Company decides to classify an equity instrument at FVTOCI, then all fair value changes on the
instrument, excluding dividends, are recognized in OCI. There is no recycling of the amounts from OCI to
profit or loss, even on sale of investment. However, the Company may transfer the cumulative gain.

De-recognition

A financial asset (or, where applicable, a part of a financial asset) is primarily derecognized when:

• The right to receive cash flows from the assets have expired or

• The company has transferred substantially all the risks and rewards of the assets, or

• The company has neither transferred nor retained substantially all the risks and rewards of the assets,
but has transferred control of the assets.

B. Financial liabilities
Classification

Debt and equity instruments issued by the company are classified as either financial liabilities or as equity
in accordance with the substance of the contractual agreements and the definitions of financial liability

Initial recognition and measurement

The company recognizes financial liability when it becomes a party to the contractual provision of the
instrument. Financial liabilities are initially measured at fair value. Transaction costs that are directly
attributable to the acquisition or issue of financial liabilities (other than financial liabilities at fair value
through profit or loss) are added to or deducted from the fair value of the financial liabilities, as appropriate,
on initial recognition.

Subsequent measurement

Financial liabilities are carried at amortized cost using the effective interest method or at FVTPL.

Financial liability at amortized cost

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortized
cost using the Effective Interest Rate (EIR) method. Gain and losses are recognized in statement of profit
and loss when the liabilities are derecognized.

Amortization cost is calculated by taking into account any discount or premium on acquisition and
transaction cost. These amortization is included as finance cost in the statement of profit and loss.

This category generally applies to loans & borrowings.

Financial liability at FVTPL

Financial liabilities are classified at FVTPL when the financial liability is either contingent consideration
recognized by the company as an acquirer in a business combination to which Ind AS 103 applies or is held
for trading or it is designed as at FVTPL.

Financial liabilities at FVTPL are stated at fair value, with any gain or loss arises on re-measurement
recognized in profit or loss. The net gain or loss recognized in profit or loss incorporates any interest paid
on the financial liability.

Financial guarantee contracts :

Financial guarantee contracts issued by the company are those contracts that requires a payment to be
made to reimburse the holder for a loss it incurs because the specific debtors fails to make a payment
when due in accordance with the terms of debt instrument. Financial guarantee contracts are recognized
when due in accordance with the terms of debt instrument. Financial guarantee contracts are recognised
initially as a liability at a fair value, adjusted for transaction costs that are directly attributable to the
issuance of the guarantee. Subsequently, the liability is measured at the higher of the amount of loss
allowance determined as per impairment requirement of Ind AS 109 and the amount recognised less
cumulative amortization.

Derecognition of financial liabilities:

A financial liability is derecognized when the obligation under the liability is discharged or cancelled or
expired. When an existing financial liability is replaced by another from the same lender on substantially
different terms, or the terms of an existing liability are substantially modified, such an exchange or
modification is treated as the de-recognition of the original liability and the recognition of a new liability.
The difference in the respective carrying amount recognized in the Statement of Profit and Loss.

C. Offsetting of financial instruments

Financial assets and financial liabilities including derivative instruments are offset and the net amount is
reported in the balance sheet if there is a currently enforceable legal right to offset the recognised amounts
and there is an intention to settle on a net basis, to realise the assets and settle the liabilities
simultaneously.

D. Equity Share Capital

Ordinary shares are classified as equity instrument is a contract that evidences a residual interest in
Company''s assets after deducting all it''s liabilities.

Incremental cost directly attributable to the issuance of new equity share and buy back of equity shares are
shown as a deduction from the equity, net off any tax effects.

xxi) Derivative Financial Instruments and Hedge Accounting

The Company uses various derivative financial instruments to mitigate the risk of changes in interest rates,
exchange rates and commodity prices. Such derivative financial instruments are initially recognised at fair
value on the date on which a derivative contract is entered into and are also subsequently measured at
fair value. Derivatives are carried as Financial Assets when the fair value is positive and as Financial
Liabilities when the fair value is negative.

Any gains or losses arising from changes in the fair value of derivatives are taken directly to Statement of
Profit and Loss, except for the effective portion of cash flow hedge which is recognised in Other
Comprehensive Income and later to Statement of Profit and Loss when the hedged item affects profit or
loss or is treated as basis adjustment if a hedged forecast transaction subsequently results in the
recognition of a Non-Financial Assets or Non-Financial liability.

Hedges that meet the criteria for hedge accounting are accounted for as follows:

A. Cash Flow Hedge:

The Company designates derivative contracts or non-derivative Financial Assets / Liabilities as hedging
instruments to mitigate the risk of movement in interest rates and foreign exchange rates for foreign
exchange exposure on highly probable future cash flows attributable to a recognised asset or liability or
forecast cash transactions. When a derivative is designated as a cash flow hedging instrument, the
effective portion of changes in the fair value of the derivative is recognized in the cash flow hedging reserve
being part of Other Comprehensive Income. Any ineffective portion of changes in the fair value of the
derivative is recognized immediately in the Statement of Profit and Loss. If the hedging relationship no
longer meets the criteria for hedge accounting, then hedge accounting is discontinued prospectively. If the
hedging instrument expires or is sold, terminated or exercised, the cumulative gain or loss on the hedging
instrument recognized in cash flow hedging reserve till the period the hedge was effective remains in cash
flow hedging reserve until the underlying transaction occurs. The cumulative gain or loss previously
recognized in the cash flow hedging reserve is transferred to the Statement of Profit and Loss upon the
occurrence of the underlying transaction. If the forecasted transaction is no longer expected to occur, then
the amount accumulated in cash flow hedging reserve is reclassified in the Statement of Profit and Loss.

B. Fair Value Hedge:

The Company designates derivative contracts or non-derivative Financial Assets / Liabilities as hedging
instruments to mitigate the risk of change in fair value of hedged item due to movement in interest rates,
foreign exchange rates and commodity prices. Changes in the fair value of hedging instruments and
hedged items that are designated and qualify as fair value hedges are recorded in the Statement of Profit
and Loss. If the hedging relationship no longer meets the criteria for hedge accounting, the adjustment to
the carrying amount of a hedged item for which the effective interest method is used for amortising to
Statement of Profit and Loss over the period of maturity.

xxii) Fair value measurement

The Company measures financial instruments at fair value at each balance sheet date.

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 fair value measurement is based
on the presumption that the transaction to sell the asset or transfer the liability takes place either:

- In the principal market for the asset or liability or

- In the absence of a principal market, in the most advantageous market for the asset or liability

A fair value measurement of a non-financial asset takes into account a market participant’s ability to
generate economic benefits by using the asset in its highest and best use or by selling it to another market
participant that would use the asset in its highest and best use.

The Entity 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.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are
categorized within the fair value hierarchy, described as follows, based on the lowest level input that is
significant to the fair value measurement as a whole:

Level 1: Quoted (unadjusted) market prices in active markets for identical assets or liabilities

Level 2: Valuation techniques for which the lowest level input that is significant to the fair value

measurement is directly or indirectly observable

Level 3: Valuation techniques for which the lowest level input that is significant to the fair value
measurement is unobservable

For the purpose of fair value disclosures, the Company has determined classes of assets & liabilities on
the basis of the nature, characteristics and the risks of the asset or liability and the level of the fair value
hierarchy as explained above.

xxiii) Employees benefit plans:

Expenses and liabilities in respect of employee benefits are recorded in accordance with Indian Accounting
Standard (lnd AS)-19 - ''Employee Benefits''.

• Short-term employee benefits

Short-term employee benefit obligations are measured on an undiscounted basis and are expense off as
the related service is provided. A liability is recognized for the amount expected to be paid e.g., under
shortterm cash bonus, if the Company has a present legal or constructive obligation to pay this amount as
a result of past service provided by the employee, and the amount of obligation can be estimated reliably.

• Defined contribution plans

A defined contribution plan is a post-employment benefit plan under which an entity pays fixed
contributions into a separate entity and will have no legal or constructive obligation to pay further
amounts. The Company makes specified monthly contributions towards Government administered
provident fund scheme. Obligations for contributions to defined contribution plans are recognized as an
employee benefit expense in statement of profit or loss in the periods during which the related services
are rendered by employees. Prepaid contributions are recognized as an asset to the extent that a cash
refund or a reduction in future payments is available.

Retirement benefit in the form of superannuation fund is a defined contribution scheme. The Company
has established a Superannuation Fund Trust to which contributions are made quarterly. The Company
recognizes contribution payable to the superannuation fund scheme as expenditure, when an employee
renders the related service. The Company has no other obligations beyond its quarterly contributions.

• Defined benefit plans

A defined benefit plan is a post-employment benefit plan other than a defined contribution plan. The
company net obligation in respect of defined benefit plans is calculated separately for each plan by
estimating the amount of future benefit that employees have earned in the current and prior periods,
discounting that amount and deducting the fair value of any plan assets.

The calculation of defined benefit obligation is performed annually by a qualified actuary using the
projected unit credit method. When the calculation results in a potential asset for the company, the
recognized asset is limited to the present value of economic benefits available in the form of any future

refunds from the plan or reductions in future contributions to the plan (‘the asset ceiling’). In order to
calculate the present value of economic benefits, consideration is given to any minimum funding
requirements.

Re-measurements of the net defined benefit liability, which comprise actuarial gains and losses, the
return on plan assets (excluding interest) and the effect of the asset ceiling (if any, excluding interest),
are recognized as other comprehensive income. The company determines the net interest expense
(income) on the net defined benefit liability (asset) for the period by applying the discount rate used to
measure the defined benefit obligation at the beginning of the annual period to the then-net defined
benefit liability (asset), taking into account any changes in the net defined benefit liability (asset) during
the period as a result of contributions and benefit payments. Net interest expense and other expenses
related to defined benefit plans are recognized in profit or loss.

When the benefits of a plan are changed or when a plan is curtailed, the resulting change in benefit
that relates to past service (‘past service cost’ or ‘past service gain’) or the gain or loss on curtailment
is recognized immediately in statement of profit or loss. The company recognizes gains and losses on
the settlement of a defined benefit plan when the settlement occurs.

• Other long-term employee benefits

The Company''s net obligation in respect of long-term employee benefits other than post-employment
benefits is the amount of future benefit that employees have earned in return for their service in the
current and prior periods; that benefit is discounted to determine its present value, and the fair value
of any related assets is deducted. The obligation is measured on the basis of an annual independent
actuarial valuation using the projected unit credit method. Re-measurements gain or losses are
recognized in statement of profit or loss in the period in which they arise.

• Voluntary Retirement Scheme

Expenditure on voluntary retirement scheme is charged to the Statement of Profit and Loss in the year
in which it is incurred.

• Compensated absences

The employees of the Company are entitled to compensated absences that are both accumulating and
non accumulating in nature. The expected cost of accumulating compensated absences is determined
by actuarial valuation using the projected unit credit method for the unused entitlement accumulated
at the balance sheet date. The benefits are discounted using the market yields at the end of the balance
sheet date that has terms approximating the terms of the related obligation. Re-measurements resulting
from experience adjustments and changes in actuarial assumptions are recognized in profit or loss.

xxiv) Operating segments

The Company’s operating segments are established on the basis of those components of the Company
that are evaluated regularly by the Board of Directors (the ‘Chief Operating Decision Maker’ as defined in
Ind AS 108 - ‘Operating Segments’), in deciding how to allocate resources and in assessing performance.
These have been identified taking into account the nature of products and services, the differing risks and
returns and the internal business reporting systems.

Revenue and Expenses have been identified to a segment on the basis of relationship to operating
activities of the segment. Revenue and Expenses which relate to enterprise as a whole and are not
allocable to a segment on reasonable basis have been disclosed as “Un-allocable”.

Segment Assets and Segment Liabilities represent Assets and Liabilities in respective segments. Assets
and liabilities that cannot be allocated to a segment on reasonable basis have been disclosed as “Un¬
allocable”.

xxv) Cash flow statement

Cash flows are stated using the indirect method, whereby profit/loss 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 incomes and expenses associated with investing or financing flows. The cash flows
from operating, investing and financing activities of the Company are segregated.

xxvi) Earnings per share

Basic earnings per share are calculated by dividing the profit/(loss) for the year (before other
comprehensive income), attributable to the equity shareholders, by the weighted average number of equity
shares outstanding during the year.

Diluted earnings per share are calculated by dividing the profit/(loss) for the year (before other
comprehensive income), adjusting the after tax effect of interest and other financing costs associated with
dilutive potential equity shares, attributable to the equity shareholders, by the weighted average number
of equity shares considered for deriving basic earnings per share and also the weighted average number
of equity shares which could be issued on the conversion of all dilutive potential equity shares.

3) Use of estimates and management judgements

The preparation of financial statements in conformity with Indian Accounting Standards (Ind AS) requires
the management of the company to make judgments, estimates and assumptions that affect the reported
amount of revenues, expenses, assets, liabilities and related disclosures concerning the items involved as
well as contingent assets and liabilities at the balance sheet date.

The estimates and management’s judgments are based on previous experience and other factors
considered reasonable and prudent in the circumstances. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognised in the period in which the estimates are revised and in any future periods
affected

The areas involving critical judgement are as follows:

i. Useful lives of property plant and equipment / intangible assets

PPE & Intangible asset represent a significant proportion of the asset base of the Company. The charge
in respect of periodic depreciation/ amortisation is derived after determining an estimate of an asset’s
expected useful life and the expected residual value at the end of its life. The useful lives and residual
value expected useful life and the expected residual value at the end of its life. The useful lives and
residual value of the asset are determined by the management when the asset is acquired and reviewed
periodically including at each financial year end. The lives are based on technical evaluation made by the
management of the expected usage of the asset, the physical wear and tear and technical or commercial
obsolescence of the asset. Due to the judgements involved in such estimations, the useful life and
residual value are sensitive to the actual usage in future period.

ii. Provisions, Contingent Liabilities and Contingent Assets

The timing of recognition and quantification of the provisions, contingent liabilities and contingent assets
require the application of judgement to existing facts and circumstances which are subject to change on
the actual occurrence or happening. Judgement is required for estimating the possible outflow of
resources, if any, in respect of contingencies/ claims/ litigations against the Company and possible inflow
of resources in respect of the claims made by the Company which has been considered to be contingent
in nature. These are reviewed at each balance sheet date and adjusted to reflect the current best
estimates.

iii. Recognition and measurement of defined benefit

The obligation arising from defined benefit plan is determined on the basis of actuarial assumptions. Key
actuarial assumption includes discount rate, trends in salary escalation and attrition rate. The discount
rate is determined by reference to market yields at the end of the reporting period on government
securities. The period to maturity of the underlying securities correspond to the probable maturity of the
post-employment benefit obligations. However any changes in these assumptions may have a material
impact on resulting calculations.

iv. Current taxes and deferred tax assets

Significant judgement is required in the determination of the taxability of certain income and deductibility
of certain expenses during the estimation of the provision for current income taxes and option to be
exercised for application of reduced rates of taxation on possible cessation of tax deduction and

exhaustion of MAT credit entitlement in future years based on estimates of future taxable profits for
estimation of the deferred taxes.

Deferred tax assets are recognised for all deductible temporary differences, the unused tax losses and the
unused tax credit to the extent that it is probable that taxable profit would be available against which these
could be utilized. Significant management judgement is required to determine the amount of deferred tax
assets that can be recognised, based upon the likely timing and the level of future taxable profits together
with future tax planning strategies. The deferred tax assets and liabilities are reviewed at each balance
sheet date and adjusted to reflect the current best estimates.

v. Leases

The Company evaluates if an arrangement qualifies to be a lease as per the requirements of Ind AS 116.
Identification of a lease requires significant judgment. The Company uses significant judgement in
assessing the lease term (including anticipated renewals) and the applicable discount rate.

The Company determines the lease term as the non-cancellable period of a lease, together with both
periods covered by an option to extend the lease if the Company is reasonably certain to exercise that
option; and periods covered by an option to terminate the lease if the Company is reasonably certain not
to exercise that option. In assessing whether the Company is reasonably certain to exercise an option to
extend a lease, or not to exercise an option to terminate a lease, it considers all relevant facts and
circumstances that create an economic incentive for the Company to exercise the option to extend the
lease, or not to exercise the option to terminate the lease. The Company revises the lease term if there is
a change in the non-cancellable period of a lease.

The discount rate is generally based on the incremental borrowing rate specific to the lease being
evaluated or for a portfolio of leases with similar characteristics.

vi. Fair value measurement of financial instruments

When the fair value of financial assets and financial liabilities recorded in the balance sheet cannot be
measured based on quoted price in markets, then fair value is measured using valuation techniques
including the Discounted Cash Flow model. The inputs to these models are taken from observable markets
where possible, but where this is not feasible, a degree of judgement is required in establishing fair values.
Judgements include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in
assumptions about these factors could affect the reported fair value of financial instruments.

vii. Net Realisable Value of an item of Inventory

Significant judgement is required in the estimation of net realisable value of an item of inventory
specifically of an item which is not actively traded in the market. The management considers various
factors such as prevailing unit specific market price of the item of inventory, minimum sale price/
controlled price of the products, contracted rates for the contracted quantity, Government Policies, price
trend in domestic and international market, monthly sale quota, estimated sale expenses etc. in
determination of the net realisable value of the item of inventory actively traded in the market. The
management also considers the expected final yield of the finished products for deriving the net realisable
value of the tailor made by product is not actively traded in the market. The final net realisation of the item
of inventory is dependent on the market conditions prevailing at the time of its ultimate sale and hence
could differ from the reported amount in the financial statements.

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Mar 31, 2024

Note 17.1 : Nature and purpose of reserves

I Securities Premium

Securities premium reserves is used to record the premium on issue of shares. The reserve is utilised in accordance with the provision of the Companies Act, 2013.

II Retained Earnings

This comprise company''s undistributed profit after taxes.

III Other Comprehensive Income

Other Comprehensive Income(OCI) reserve represents the balance in equity for items to be accounted in other comprehensive income. OCI is classified into : (i) Items that will not be reclassified into statement of profit & loss and (ii) Items that will be reclassified to statement of profit & loss

(a) GECL1.0 Extension from State bank of India are secured by hypothecation of entire current assets (present and future ) of the company including goods in transit and stock in process and book debts , first charge on fixed assets of the company and equitable mortgage of immovable properties owned by the company and M/S Standard Sulphonators Pvt Ltd and further secured by personal guarantee of the directors of the company and corporate gurantee of M/S Standard Sulphonators Pvt Ltd.

(b) Term Loan from SBI is secured by hypothecation of Plant and Machinery, first charge on fixed assets of the company and equitable mortgage of immovable properties owned by the company and M/S Standard Sulphonators Pvt Ltd and further secured by personal guarantee of the directors of the company and corporate gurantee of M/S Standard Sulphonators Pvt Ltd.

(c) The PNB Car loan and Kotak Mahindra Car Loan is secured by the hypothecation of vehicle owned by the company and further secured by personal guarantee of Mr. Ankur Garg (director of the company).

The Quarterly Returns/ Statements (referred to as "Bank returns"), which were prepared based on provisional books of accounts and filed before the completion of all financial statement closure activities including Ind AS related adjustments/ reclassifications, as applicable. Also, there were exclusion of certain current assets in the Bank returns filled with the Banks, which led to these differences between the Financial Statements and the bank return.

Further, difference also arises on account of different valuation methodology adopted for valuing the finished goods stock in the books and for the purpose of reporting in the bank return. In the books, stock of finished goods is recorded at lower of cost or net realisable value but for bank purposes it is taken at net realisable value which is determined as per bank norms. However, there is no material difference in reporting the quantity of stock in the bank returns as compared to books of accounts.

The differences arise due to different methodology of valuation of stock in the books and for the purpose of reporting in the bank return and due to stautory adjustment for finalisation of the results

CC Limits ,Forex Demand Loan and e-DFS (IOCL) loan from bank are secured by hypothecation of entire current assets (present and future ) of the company including goods in transit and stock in process and book debts , first charge on fixed assets of the company and equitable mortgage of immovable properties owned by the company and M/S Standard Sulphonators Pvt Ltd and further secured by personal guarantee by the directors of the company and corporate gurantee of M/S Standard Sulphonators Pvt Ltd.

The finance cost on Edfs financing is net of cost recovered from customer. Note-36-Contingent Liabilities and Commitments: Not provided for in respect of:

Contingent Liabilities		(Rs. in lakhs)
Particulars	As at March 31,2024	As at March 31,2023
i) Demands being disputed by the Company : a) Excise duty and Service Tax demands b) Trade Tax and Entry Tax demands d) Estimated amount of interest on above	29.31	29.31
ii) Claims against the company not acknowledged as debts : a) Statutory liability being disputed by authorities b) Income Tax demand on processing of TDS Returns c) Other Liabilities d) In respect of some pending cases of employees under labour laws	-	-

The amount shown above represents the best possible estimates arrived on the basis of available information. The uncertainties and timing of the cash flows are dependent on the outcome of the different legal process which have been invoked by the company.

In the opinion of the management, no provision is considered necessary for the disputes mentioned above on the grounds that there are fair chances of sucessfull outcome.

The required disclosures of employees benefits as per Indian Accounting Standard (Ind AS) -19 are given hereunder I) Defined Contribution Plan :

The contribution to the respective funds are made in accordance with the relevant statute and are recognised as expense when employees have rendered service entitling them to the contribution. The contribution to defined contribution plan, recognised as expense in the Statement of Profit & Loss are as under:

II) Defined Benefit Plan

(i) In respect of non funded defined benefit scheme of gratuity (Based on actuarial valuation) :

The gratuity plan is governed by the Payment of Gratuity Act, 1972. Under the said Act, an employee who has completed 5 years of service is entited to specific benefit. The gratuity plan providesa lumpsum payment to employees at retirement, death, incapacitation or termination of employment. The level of benefits provided depends on the member''s length of service and salary at retirement age. It is valued as per the actuarial report.

The Group is exposed to various risks in providing the above gratuity benefit which are as follows:

Interest Rate risk : The plan exposes the Group to the risk of fall in interest rates. A fall in interest rates will result in an increase in the ultimate cost of providing the above benefit and will thus result in an increase in the value of the liability (as shown in financial statements).

Salary escalation risk : The present value of the defined benefit plan is calculated with the assumption of salary increase 0.50% per annum of plan participants in future. Deviation in the rate of increase of salary in future for plan participants from the rate of increase in salary used to determine the present value of obligation will have a bearing on the plan’s liability.

Actual mortality & disability : deaths & disability cases proving lower or higher than assumed in the valuation can impact the liabilities.

Sensitivities due to mortality & withdrawals are not material & hence impact of change due to these not calculated.

Sensitivities as rate of increase of pensions in payment, rate of increase of pensions before retirement & life expectancy are not applicable.

Note-38- DISCLOSURES AS REQUIRED BY INDIAN ACCOUNTING STANDARD (Ind AS) 108 OPERATING SEGMENTS

a) Operating Segments

The Company is organized into two main business segments, namely:

a) Chemical and Surface active segment

b) Others

b) Identification of Segments

The chief operational decision maker monitors the operating results of its Business Segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements.Operating Segments have been identified by the management and reported taking into account, the nature of products and services, the differing risks and returns, the organization structure, and the internal financial reporting systems.

c) Segment revenue and results:

The expenses and incomes which are not directly attributable to any business segment are shown as unallocable expenditure (net of unallocated income).

d) Segment assets and liabilities:

While most assets can be directly attributed to individual segments, the carrying amount of certain assets used jointly by two or more segments is allocated to the segments on a reasonable basis. Segment Liabilities include all operating liabilities and include creditors, accrued liabilities and interest bearing liabilities.

e) Segment Accounting Policies:

(i) The segment results have been prepared using the same accounting policies as per the Financial Statements of the Company.

(ii) Unallocated assets include deferred tax, investments and interest bearing deposits.

(iii) Unallocated liabilities include non-interest bearing liabilities and tax provisions.

(iv) Capital expenditure pertains to additions made to fixed assets during the year and includes capital work in progress.

(v) Rvenues are shown net of intersegment revenue.

f) Geographical Information

The company operated only in India during the year ended 31st March, 2023 and 31st March, 2022.

g) Information about major customers

No single customer contributed 10% or more of the total revenue of the company for the year ended 31st March, 2023 and 31st March, 2022.

Note :The company has converted 2,48,302 and 5,97,000 warrants on March 24, 2023 and April 12, 2023 respectively, into the same number of equity shares of Rs10 each (face value) at a premium of Rs32 each.

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Mar 31, 2015

1. Rupee Term Loans from non banking financial institution is :-

(a) Secured by first charge on hypothetication of FIVE cars owned by the companies.

(b) Rate of interest is 5.75% of outstanding principal amount, repayable monthly installment of Rs. 17,910 (agreement no.CF6882438) Rs. 29000 (agreement no. CF8224477) & Rs.25740 (agreement no.CF 6926179) Rs. 21,412 (CF9454470) AND Rs.19,089 (agreement no. CF10451052) are given against car loan.

As at As at 31.03.2015 31.03.2014 Rs. Rs.

2. : CONTINGENT LIABILITIES & COMMITMENTS:

Contingent Liabilities :

Claims against the Company not acknowledged as debts - -

Other Contingent Liabilities

In respect of disputed Excise duty demand 17.25 2.25

In respect of disputed Service Tax demand - 5.81

In respect of disputed Sales rade Tax demand 29.01 32.83

In respect of disputed Entry Tax demand - -

Commitments :

Estimated amount of contracts remaining to be executed on Capital Account not provided for - -

Uncalled liabilities on shares and other investments partly paid - - Other Commitments

3. RELATED PARTY DISCLOSURE :

Name of the related parties with whom transactions were carried out during the year and description of relationship :

I) Key Management Personnel & their relatives :

(i) Mr. Pawan Kumar Garg, Chairman & Managing Director

(ii) Mr. Atul Kumar Garg, Whole Time Director

(iii) Mr. Ankur Garg, Director

(iv) Mr. Aditya Garg, Son of Director

(v) Mr. Kunal Garg

II) Person having significant influence over the enterprises :

(i) M/s Standard Sulphonators (P) Ltd.

(ii) M/s Kashi Prasad Roop Kishore

(iii) M/s Standard Ventures Ltd.

(iv) M/s Sudhir Kumar Gautam Kumar

(v) M/s Standard Ganpati Merchandise (P) Ltd.

(vi) M/s Navsheel Standard Constructions Pvt. Ltd.

(vii) M/s Standard Organo Chemicals Pvt. Ltd.

(viii) M/s Icon Developers

4. Some of the Suppliers, Debtors, Advances and Unsecured Loans accounts are subject to Confirmation/Reconciliation, settlement of claims and encashment/realization of cheques in hand/issued.

5. In the view of Management

(i) No provision is required to be made for any impairment loss as in the opinion of the management the recoverable amount of the assets of the each unit is much more than the value stated in the accounts.

(ii) Credit balances, not payable, hence written back in the books of accounts.

(in) The realizable value of all current assets, in the normal course of business, is not less than the value stated in the balance sheet.

6. DISCLOSURE REQUIRED BY MICRO, SMALLAND MEDIUM ENTERPRISES (DEVELOPMENT) ACT, 2006

In the absence of necessary information in relation to the suppliers registered as Micro or Small enterprises under the Micro, Small and Medium Enterprises (Development) Act, 2006, the company has not been able to identify such suppliers and the information required under the said Act could not be complied and disclosed.

7. Segment Reporting :

(A) Segment Identification

Business segments have been identified on the basis of the nature of products.

(B) Segment Composition

Chemicals and Surfaces Active Segment is engaged in the manufacture and sale of specialty chemicals in detergent, personal care and pesticides industry. Synthetic Detergent Segment - engaged in manufacturing of synthetic detergent. Others - engaged in trading and other activities.

8. The detergent plants at Rania & Mandideep (Bhopal) are not in operation, during the year & there are no immediate plans to operate the same. In view thereof, no depreciation is provided in respect of the two units since past 4 years. The year an adjustment of depreciation for past four years has been booked through opening reserves of the company.

9. The Previous year's figures have been reworked or regrouped and reclassified wherever necessary.

10. Notes- '1 to 37' Form an integral part of accounts.

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Mar 31, 2014

As at As at 31.03.2014 31.03.2013 Rs. Rs. Rs. Rs.

NOTE-1 : CONTINGENT LIABILITIES & COMMITMENTS:

Contingent Liabilities : Claims against the Company not acknowledged as debts - -

Other Contingent Liabilities

In respect of disputed Excise duty demand 2.25 2.25

In respect of disputed Service Tax demand 5.81 5.81

In respect of disputed Salestrade Tax demand 32.83 37.87

In respect of disputed Entry Tax demand - -

Commitments :

Estimated amount of contracts remaining to be executed on Capital Account not provided for - -

Uncalled liabilities on shares and other investments partly paid - -

Other Commitments - -

NOTE-2 : RELATED PARTY DISCLOSURE :

Name of the related parties with whom transactions were carried out during the year and description of relationship :

I) Key Management Personnel & their relatives :

(i) Mr. Pawan Kumar Garg, Chairman & Managing Director

(ii) Mr. Atul Kumar Garg, Whole Time Director

(iii) Mr. Ankur Garg, Director

(iv) Mr. Aditya Garg, Son of Chairman & Managing Director

(v) Mr. Kunal Garg

II) Person having significant influence over the enterprises :

(i) M/s Standard Sulphonators (P) Ltd.

(ii) M/s Kashi Prasad Roop Kishore

(iii) M/s Standard Ventures Ltd.

(iv) M/s Sudhir Kumar Gautam Kumar

(v) M/s Standard Ganpati Merchandise (P) Ltd.

(vi) M/s Navsheel Standard Constructions Pvt. Ltd.

(vii) M/s Standard Organo Chemicals Pvt. Ltd.

(viii) M/s Icon Developers

Note :-

3. Some of the Suppliers, Debtors, Advances and Unsecured Loans accounts are subject to Confirmation/Reconciliation, settlement of claims and encashment/realization of cheques in hand/issued.

4. In the view of Management

(i) No provision is required to be made for any impairment loss as in the opinion of the management the recoverable amount of the assets of the each unit is much more than the value stated in the accounts.

(ii) Credit balances, not payable, hence written back in the books of accounts.

(iii) The realizable value of all current assets, in the normal course of business, is not less than the value stated in the balance sheet.

5. During the year gratuity has been provided on adhoc basis in absence of actuarial valuation.

6. DISCLOSURE REQUIRED BY MICRO, SMALL AND MEDIUM ENTERPRISES (DEVELOPMENT) ACT, 2006

In the absence of necessary information in relation to the suppliers registered as Micro or Small enterprises under the Micro, Small and Medium Enterprises (Development) Act, 2006, the company has not been able to identify such suppliers and the information required under the said Act could not be complied and disclosed.

7. Segment Reporting :

(A) Segment Identification

Business segments have been identified on the basis of the nature of products.

(B) Segment Composition

Chemicals and Surfaces Active Segment is engaged in the manufacture and sale of specialty chemicals in detergent, personal care and pesticides industry. Synthetic Detergent Segment - engaged in manufacturing of synthetic detergent. Others - engaged in trading and other activities.

8. The detergent plants at Rania & Mandideep (Bhopal) are not in operation, during the year & there are no immediate plans to operate the same. In view thereof, no depreciation is provided in respect of the two units. Amount is not ascertained.

9. The Previous year''s figures have been reworked or regrouped and reclassified wherever necessary.

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Mar 31, 2013

NOTE-1 : RELATED PARTY DISCLOSURE:

Name of the related parties with whom transactions were carried out during the year and description of relationship :

I) Key Management Personnel & their relatives :

(i) Mr. Pawan Kumar Garg. Chairman & Managing Director

(ii) Mr. Atul Kumar Garg, Whole Time Director

(iii) Mr. Rakesh Kumar Garg

(iv) Mr. Ankur Garg. Director

(v) Mr. Aditya Garg. Son of Chairman & Managing Director

(vi) Mr. Kunal Garg

II) Person having significant influence over the enterprises :'' (i) M/s Standard Sulphonators (P) Ltd.

(ii) M/s Industrial Enterprises. Kanpur

(iii) M/s Kashi Prasad Roop Kishore

(iv) M/s Standard Ventures Ltd.

(v) M/s Sudhir Kumar Gautam Kumar

(vi) M/s Standard Ganpati Merchandise (P) Ltd.

(vii) M/s Navsheel Standard Constructions Pvt. Ltd.

2. Some of the Suppliers, Debtors. Advances and Unsecured Loans.accoums are subject to Confirmation/Reconciliation. settlement of claims and encashment/realization of cheques in hand/issued.

3. In the view of Management

(i) No provision is required to be made tor any impairment loss as in the opinion of the management the recoverable amount of the assets of the each unit is much more than the value stated in the accounts.

(ii) Credit balances, not payable, hence written back in the books of accounts.

(iii) The realizable value of all current assets, in the normal course of business, is not less than the value stated in the balance sheet.

4. During the year gratuity has been provided on adhoc basis in absence of actuarial valuation.

5. DISCLOSURE REQUIRED BY MICRO, SMALL AND MEDIUM ENTERPRISES (DEVELOPMENT) ACT, 2006

In the absence of necessary information in relation to the suppliers registered as Micro or Small enterprises under the

Micro, Small and Medium Enterprises (Development) Act, 2006. the company has not been able to identity such suppliers and the information required under the said Act could not be complied and disclosed.

6. Segment Reporting :

(A) Segment Identification

Business segments have been identified on the basis of the nature of products.

(B) Segment Composition

Chemicals and Surfaces Active Segment is engaged in the manufacture and sale of specialty chemicals in detergent. personal care and pesticides industry. Synthetic Detergent Segment - engaged in manufacturing of synthetic detergent. Others - engaged in trading and other activities.

7. The detergent plants at Rania & Mandideep (Bhopal) are not in operation, during the year & there are no immediate plans to operate the same. In view thereof, no depreciation is provided in respect of the two units. Amount is not ascertained.

8. The Previous year''s figures have been reworked or regrouped and reclassified wherever necessary.

9. Notes-'' 1 to 24'' Form an integral part of accounts.

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Mar 31, 2010

As at As at

31.3.2010 31.3.2009

Rs. in Lacs Rs. in Lacs

1. Contingent Liabilities on account of

a) Excise Duty Demand in dispute 8.99 16.42

b) Service Tax demand in dispute - 3.33

c) Sale/Trade Tax Demand in dispute 124.87 110.45

d) Sale /Trade Tax Demand m dispute 20.84 21.00

e) Electricity Demand in dispute - 5.31

2. Details of Pending Cases and disputed amount before adjudicating authority of Central Excise, Service Tax/Trade tax/ Sales tax department/authority.

3. In View of the stay of Allahabad High Court against the recovery of Entry Tax on certain products traded by the company, entry tax aggregating to Rs. 20.84 Lacs has not been deposited and provided for.

4. Cash Credit and demand loan from bank is secured by hypothecation of raw materials, work in progress, finished goods, book debts and collaterally secured by way of second charge on the fixed assets of the company and first charge on immovable property owned by other body corporate and further guaranteed by the three directors of the company and other body corporate.

5. Facilities from IDBI is secured by hypothecation of all present and future movable properties of the company (save and except charged to the bank for securing working capital limit) and by mortgage of immovable properties of the Company and guaranteed by the four directors of the Company.

6. Equipment and vehicle Loans are secured by hypothecation of respective equipments and vehicles.

7. Amount of Sales includes interunit transfer of Products at selling price Rs. 17,096,502.00 (Previous Year Rs. 24,736,391.00.)

8. Expenditure on account of Premium on forward Contract to be recognized in the profit and loss account of next year aggregates to Rs. 14.15 Lacs (Previous Year Rs. 9.60 lacs).

9. Some of the suppliers, Debtors, Advances and Unsecured Loans accounts are subject to confirmation/Reconciliation, settlement of claims and encashment/realization of Cheques in hand /issued.

10. In the view of Management

(i) The account of one of the unit is continued to be prepared on going concern basis even after sale of its substantial plant and machinery as management plans to operate the unit at reduced capacity in future.

(ii) No provision is required to be made for any impairment loss as in the opinion of the management the recoverable amount of the assets of the each unit is much more than the value stated in the accounts.

(iii) Credit balances, not payable, hence written back in the books of accounts.

(iv) The realizable value of all current assets, in the normal course of business, is not less than the value stated in the balance sheet.

11. During the year gratuity has been provided on adhoc basis in absence of actuarial valuation.

12. DISCLOSURE REQUIRED BY MICRO, SMALL AND MEDIUM ENTERPRISES (DEVELOPMENT) ACT, 2006.

In the absence of necessary information in relation to the suppliers registered as Micro or Small enterprises under the Micro, Small and Medium Enterprises (Development) Act, 2006, the company has not been able to identify such suppliers and the information required under the said Act could not be complied and disclosed.

13. As at 31stMarch, 2010, there is two outstanding Forward Contract of $ 1.60 million equivalent to Rs. 743.41 Lacs which has been entered into to hedge the USD Working Capital Demand Loan of $ 1.60 million.

14. Disclosure of related parties Transactions :

Name of the related parties with whom transactions were carried out during the year and description of relationship:

A Key Management persons (KMP) and their relatives

(i) Mr. Pawan Kumar Garg, Chairman & Managing Director (ii) Mr. Atul Kumar Garg, Whole Time Director (iii) Mr. Ankur Garg, Director (iv) Mr. Aditya Garg, Executive

B. Enterprises where KMP have significant influence

(l) M/s Standard Sulphonators (P) Ltd.

(ii) M/s Industrial Enterprisers, Kanpur

(iii) M/s Kashi Prasad Roop Kishore

(iv) M/s Standard Ventures Ltd.

(v) M/s Sudhir Kumar Gautam Kumar

(vi) M/s Standard Ganpati Merchandise (P) Ltd.

15. Segment Reporting

(a) Segment Identification

Business segments have been identified on the basis of the nature of products.

(b) Segment Composition

Chemicals and Surface Active Segment engaged in the Manufacture and sale of specialty Chemicals in detergent, Personal care and pesticides industry, Synthetic Detergent engaged in manufacturing of Synthetic Detergent, Others engaged in Trading and other activities.

16. Previous years figures have been reworked or regrouped and reclassified wherever necessary