(b) Terms / rights attached to Equity Shares

The Company has issued equity shares. All equity shares issued rank pari-passu in respect of distribution of dividend and repayment of capital. 1,30,32,914 Equity Shares are quoted equity shares with no restriction on transfer of shares. 27,600 Equity Shares are 'A' equity shares, which are transferrable only to permanent employees of the Company. 1,15,748 Equity Shares are Second 'A' equity shares which are transferrable to permanent employees, who have putinfive years of service with the Company.

(c) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

(d) Shares held by holding/ultimate holding companyand/ortheirsubsidiaries/associates

The Company is a subsidiary of Jaya Hind Industries Private Limited, which holds 57.38% (31st March 2022 : 57.38%), 75,59,928 (31st March 2022: 75,59,928) shares in the Company.

• Term Loans are secured by hypothecation, by way of exclusive first charge on specific Plant and Machinery, being movable properties, secured as a continuing security for the repayment of Term Loans together with interest. The term loans are repayable in quarterly instalments over a period upto six years, including moratorium. Term Loans include foreign currency loan.

• Non-Convertible Debentures : The Company has issued 190 (5.85%) Secured unlisted rated redeemable non-convertible debentures of ' 100 lakhs, each total amounting to ' 19,000 lakhs, on 15th February 2021. The debentures are secured by way of first ranking exclusive charge over the specific movable fixed assets. The debentures are redeemable over a period of four years (including moratorium) maturing in February 2025.

• Working Capital Loans are secured by hypothecation of Company's stock of raw materials, work-in-progress, finished goods, consumable stores, spares, bills receivable and book debts, both present and future. The Fund Based Limits are payable on demand to the Banks.

• Inter corporate deposits from Holding Company are unsecured and are repayable in July 2024.

• The Company has used the borrowedfundsforthe specific purposefor which it was taken as at the balance sheet date.

• The quarterly returns or statements, of current assets, filed by the Company with Banks or financial institutions are in agreement with the Books of accounts of the Company.

(a) Government Incentives - During the yearunder report, the methods of availing of incentives/assistance, granted bythe Government of Madhya Pradesh, as per the Madhya Pradesh Industrial Investment Promotion Assistance Scheme, 2010, (the Scheme), were clarified by that Government. Accordingly, the Company could submit its claims for assistance, as per the Scheme, for the Financial Years 2017-2018 to 2021-2022. Sanction Orders dated 24th March 2023 were issued sanctioning the amount of assistance of ' 9,102 lakhs for the year 2017-18,'9,481 lakhsfortheyear2018-19,'9,061 lakhsfortheyear2019-20,'3,187lakhsfortheyear2020-21 and? 4,415lakhsforthe year 2021-22. The Company has also received disbursement of sanctioned assistance amounting to ' 9,992 lakhs. The assistance amounting to ' 4,415 lakhs has been recognized under the head “Other Income”, for the Financial Year 2021-2022 and assistance related to the Financial Years 2017-2018to 2020-2021 amountingto ' 30,831 lakhs istreated as “Exceptional Item”-of income.

(b) Write-off - Intangible Assets under development and Capital Work-in-Progress - In view of the changing business environment, particularly emphasis on use of alternate energy, instead of fossil fuels, the Company was required to reassess various development programs under implementation and consequential effect on capital work-in-progress.

One of the Projects, which was under implementation, viz. manufacture of Utility Van Platform, based on technical assistance, available to the Company, was reviewed by the Board and the Company came to conclusion that it is not worthwhile pursuing the Project for development of Utility Van Platform, such as T0 Platform forthe time being.

Based on this review, it is decided that the intangible assets under development, having value of' 4,620 lakhs and amount equal to ' 7,596 lakhs, reflected in capital work-in-progress, being value of assets/investment for acquisition of specific assets, such as dies, related to the said project in Utility Van Platform, be written off. Accordingly the value of the capital asset, in the development stage, was reduced from ' 12,216 lakhs to ' 2,217 lakhs. The amount of ' 2,217 lakhs represents realisable value of those assets based on the weight and prevalent market rates, ascertained on the basis of quotations/proposals received by the Company, in respect of disposal of these assets, when scrapped.

(c) As reported earlier, a foreign company has initiated legal proceedings in a foreign court, in respect of notional and unfounded claims for damages, without there being any enforceable agreement, relating to export business. The Company has obtained opinion from a Senior Counsel, in respect of these alleged claims against the Company. The Company has been advised that such notional / unfounded claims are not as per the applicable law nor these claims, if any, can be enforced in the Court of Law in India. This information is being disclosed as per the provisions of Schedule III to the Companies Act, 2013, only to indicate the alleged claims made against the Company and the developments in respect thereof. Moreover, considering the period lapsed, since the conclusion of the said legal proceedings, the Company does not expect any impact of this litigation on its financial position.

The proceedings initiated by one of the suppliers, claiming to be a small scale enterprise, as perthe provisions of Section 18 of the Act, culminated into an award of claim for' 157 lakhs with interest. The Company has not accepted the said liability. The Company has a major counter-claim against the said supplier amounting to about' 906 lakhs, which being unearned income, is not accounted. The award is challenged by the Company, as perthe provisions of the Act and proceedings are pending before the Hon'ble District Judge, Pune, and before the Hon'ble High Court of Judicature at Bombay.

33. FOREIGN EXCHANGE DIFFERENCES

Theamountof net exchange differences included in the Profit/Loss for the year on Revenue account is' 985 lakhs Debit (31st March 2022: ' 2,014 lakhs Credit) and on Capital account is' 119 lakhs Debit (31st March 2022:' 15 lakhs Debit).

35. LEASES

Operating Leases As a Lessor

(a) Industrial Shed at Chakan

The Company has entered into a Lease Agreement for Industrial shed at Chakan, Pune, for a period of 10 years. The Lease Agreement provides for a refundable interest free deposit of' 169 lakhs, clause for escalation of lease rental and a non-terminable lock-in period of 36 months. The Lease income has been recognized in the Statement of Profit and Loss.

(b) Freehold Land

Out of the freehold land at Akurdi, Pune

2700 sq. mtrs. (cost' 1,374) of land is given on lease to Maharashtra State Electricity Distribution Company Limited for 99 years, w.e.f. 1st August 1989. Lease rentals are recognized in the Statement of Profit and Loss.

19,000 sq. mtrs. (cost' 9,669) of land is given on lease to Navalmal Firodia Memorial Hospital Trust for 25 years, w.e.f. 12th August 2014. Lease rentals are recognized in the Statement of Profit and Loss.

These land given on lease are not considered as investment property considering the insignificant area and cost of that with respect to the total area and cost of freehold land atthe respective places.

As a Lessee Leasehold land

The Company has entered into Lease Agreements for Industrial Land, at Pithampur in Madhya Pradesh. The Company, being a Lessee, may surrender the leased area after giving Lessor 3 months notice period in writing. The lease premium is not refundable to Company in case of early termination of agreement by the Company. The Lessor is also entitled to terminate the Lease Agreement, if the Lessee defaults the terms and conditions of the Lease Agreement. The lease expense has been recognized in the Statement of Profit and Loss.

The following methods and assumptions were used to estimate the fair values :

The fair values of Trade Payables, Trade Receivables, Cash and Cash equivalents and Other Bank Balances, are reasonable approximation of fair valueduetotheshort-termmaturities oftheseinstruments.

Investment in subsidiary and joint venture are accounted at cost in accordance with Ind AS 27 Separate financial statements, accordingly investmentinsubsidiaryandjointventurearenotfairvalued.

Allowanceforcreditloss on Trade Receivables, istaken into account, on the basis ofcredit worthiness of the customer individual.

Borrowings represents Working Capital Loan, ICD, Term Loans from Bank and NCD obtained at market rates of interest available for debt on similar terms, credit risk and remaining maturities. As of reporting date, the fair value of borrowings is measured at amortized cost, which is reasonableapproximationoffairvalue.

39. FINANCIAL RISK MANAGEMENT

Financial RiskManagementPolicyandObjectives

The Company's principal financial liabilities comprise of Borrowings, Trade and Other payables. The main purpose of these financial liabilities is to finance the Company's operations. The Company's principal financial assets include Trade and Other receivables and Cash and Cash equivalents, which are derived directlyfrom its operations.

The Company is exposed to market risk, credit risk and liquidity risk.

The management of these risks is overseen by the senior management, which is advised by a team of senior officials. The Risk Management team oversees the policies and systems, on a regular basis to reflect changes in market conditions and company's activities and reviews the adequacy of the risk managementframework in relation to the risks faced bytheCompany.

44. ADDITIONAL REGULATORY INFORMATION:

(a) Loans and Advances in the nature of Loan to Related Parties:

The Company has not granted any Loans or Advances in the nature of loans to promoters, directors, KMPs and the related parties (as defined under Companies Act, 2013), either severally orjointlywith any other person as on 31st March 2023.

(b) Relationshipwith Struckoff Companies:

As perourknowledge, the Company do nothave anytransactions with struckoff companies.

(c) Registration of charges or satisfaction with Registrar of Companies:

The Company has no charges or satisfaction yetto be registered with Registrar of Companies beyondthe statutory period.

(d) Compliancewith numberof layers of companies:

The Company complies with the number of layers prescribed under Clause 87 of Section 2 of the Act, read with the Companies (Restriction on numberoflayers) Rules, 2017.

(e) Compliancewith approved Scheme (s) ofArrangementsAccounted as per Scheme & IndAS

Neither the Company has approached to nor any Competent Authority has approved any scheme of arrangements so as to account for in the books of account ofthe Company, in orderto disclose any deviation in that regard.

(f) Loans, Guarantee, Security given by Company to Intermediary anditisgivingtoothers on behalf of Company:

The Company has neither advanced nor loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other person(s) or entity(ies), including foreign entities (Intermediaries).

(g) Crypto Currency orVirtual Currency:

The Company has neithertraded nor invested in Crypto currency orVirtual currency duringthefinancial year.

(h) BenamiProperty:

The Company does not have any Benami property, and hence no proceeding has been initiated or pending against the Company for holding any Benami property underthe Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.

(i) There is no income surrendered or disclosed as income during the current or previous year in the tax assessments under the Income Tax Act, 1961, that has not been recorded in the books of account.

45. DIVIDEND

The Board of Directors has recommended payment of Dividend of' 10 perfully paid Equity Shares (31st March 2022:' 10). This proposed dividend is subjectto the approval of Shareholders in the ensuingAnnual General Meeting. This dividend is not recognized in the books of account at the end of thereportingperiod.

46. The Company is operating in aSingle Segment.

47. Previous year's figures have been re-grouped, re-arranged and re-classified wherever necessary.