1.7 Provisions, Contingent Liabilities and Contingent Assets, legal or constructive
Provisions are recognised when there is 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 there is a reliable estimate of the amount of the obligation. If the effect of
the time value of money is material, provisions are measured at the present value of management's
best estimate of the expenditure required to settle the present obligation at the end of the reporting
period. The discount rate used to determine the present value is a pre-tax rate that reflects current
market assessments of the time value of money and the risk specific to the liability. The increase in the
provision due to the passage of time is recognised as interest expense.
A disclosure for contingent liabilities is made 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 or a reliable estimate of the amount cannot be made.
When there is a possible obligation or a present obligation and the likelihood of outflow of resources is
remote, no provision or disclosure for contingent liability is made.
Contingent Assets are not recognised but are disclosed in the notes to the Financial Statements when
an inflow of economic benefits is probable.
Provisions, contingent liabilities and contingent assets are reviewed at each balance date.
1.8 Borrowing Costs
Borrowing Costs directly attributable to the acquisition, construction or production of qualifying assets
that necessarily takes a substantial period of time to get ready for its intended use or sale are
capitalized as part of the cost of the asset. Borrowing costs consist of interest and transaction costs
that an entity incurs in connection with the borrowing of funds. Transaction costs in respect of long¬
term borrowings are amortised over the tenor of respective loans using effective interest method.
All other borrowing costs are charged to Statement of Profit and Loss, i.e., expensed in the period in
which they are incurred. Borrowing costs also includes exchange differences arising from foreign
currency borrowings to the extent they are regarded as an adjustment to the borrowing costs.
1.9 Revenue Recognition
Revenue from contract with customer is recognised upon transfer of control of promised products to
customers on complete satisfaction of performance obligations for an amount that reflects the
consideration which the Company expects to receive in exchange for those products. Revenue is
measured based on the transaction price, which is the consideration.
The specific recognition criteria from various stream of revenue are described below:
Sale of Goods - Revenue from contract with customer is recognized when control of goods is
transferred to the customer at an amount that reflects the consideration to which the company
expects to be entitled in exchange for those goods. Revenue is measured based on the consideration
specified in a contract with a customer, adjusted for discounts and other incentives, if any, as per
contracts with the customers. Revenue also excludes taxes or amounts collected from customers in its
capacity as agent.
Revenue from the sale of products is recognized at a point in time, generally upon delivery of products.
At present the Company has no existing contracts for which revenue over time is required to be
recognized by the Company.
Interest Income - Interest Income from debt instruments is recognised using the effective interest rate
method. Interest income is accrued on a time basis, by reference to the principal outstanding and at
the effective interest rate applicable.
Dividend Income - Dividend Income is recognised in the Statement of Profit and Loss when the right to
receive dividend is established.
1.10 Exceptional items
The Company recognises exceptional item when items of income and expenses within Statement of
Profit and Loss from ordinary activities are of such size, nature or incidence that their disclosure is
relevant to explain the performance of the Company for the period.
1.11 Accounting for Taxes
Income Tax Expense
The income tax expense or credit for the period is the tax payable on the current period's taxable
income based on the applicable income tax rate adjusted by changes in deferred tax assets and
liabilities attributable to temporary differences and to unused tax losses. Current and deferred taxes
are recognised in Statement of Profit and Loss, except when they relate to items that are recognised in
other comprehensive income or directly in equity, in which case, the current and deferred tax are also
recognised in other comprehensive income or directly in equity, respectively.
Current Tax
Current income tax assets and liabilities are measured at the amount expected to be recovered from
or paid to the taxation authorities. Current income tax (including Minimum Alternate Tax (MAT)) is
measured at the amount expected to be paid to the tax authorities in accordance with the Income-Tax
Act, 1961 enacted in India. The tax rates and tax laws used to compute the amount are those that are
enacted or substantially enacted, at the end of reporting date. Current income tax relating to items
recognised outside the statement of profit and loss is recognised outside the statement of profit and
loss (either in other comprehensive income (OCI) or in equity). Management periodically evaluates
positions taken in the tax returns with respect to situations in which applicable tax regulations are
subject to interpretation and establishes provisions where appropriate.
Deferred Tax
Deferred Income Tax is provided in full, using the liability method, on temporary differences arising
between the tax bases of assets and liabilities and their carrying amounts in the Financial Statements
at the reporting date. Deferred income tax is determined using tax rates (and laws) that have been
enacted or substantially enacted by the end of the reporting period and are expected to apply when
the related deferred income tax asset is realised or the deferred income tax liability is settled.
Deferred Tax Liabilities are recognised for all temporary taxable differences. Deferred Tax Assets are
recognised for all deductible temporary differences and unused tax losses and unused tax credits only
if it is probable that future taxable amounts will be available to utilise those temporary differences and
losses.
Deferred Tax Assets and Liabilities are offset when there is a legally enforceable right to offset current
tax assets and liabilities and when the deferred tax balances relate to the same taxation authority.
Current tax assets and tax liabilities are offset where the entity has a legally enforceable right to offset
and intends either to settle on a net basis, or to realise the asset and settle the liability simultaneously.
Current and deferred tax is recognised in profit or loss, except to the extent that it relates to items
recognised in other comprehensive income or directly in equity. In this case, the tax is also recognised
in other comprehensive income or directly in equity, respectively.
1.12 Employee Benefits
Employee benefits include gratuity, compensated absences, contribution to provident fund,
employees' state insurance and superannuation fund.
1.12.1 Short-term Employee Benefits
Employee benefits payable wholly within twelve months of rendering the services are classified as
short-term employee benefits and recognised in the period in which the employee renders the related
service. These are recognised at the undiscounted amount of the benefits expected to be paid in
exchange for that service.
1.12.2 Post-employment Benefits
Defined Contribution Plans
Retirement benefits in the form of provident fund and superannuation fund are defined contribution
schemes. The Company has no obligation, other than the contribution payable to the provident fund.
The Company recognises contribution payable to these funds as an expense, when an employee
renders the related service. If the contribution payable to the scheme for service received before the
balance sheet date exceeds the contribution already paid, the deficit payable to the scheme is
recognised as a liability after deducting the contribution already paid.
Defined Benefits Plans
In case of Defined Benefit Plans, the cost of providing the benefit is determined using the Projected
Unit Credit Method with actuarial valuation being carried out at each Balance Sheet date. Actuarial
gains and losses are recognised in full in the Other Comprehensive Income for the period in which they
occur. Past service cost is recognised immediately to the extent that the benefits are already vested,
and otherwise is amortised on a straight-line basis over the average period until the benefits become
vested. The retirement benefit obligation recognised in the Balance Sheet represents the present value
of the defined benefit obligation as adjusted for unrecognised past service cost, if any, and as reduced
by the fair value of plan assets, where funded. Any asset resulting from this calculation is limited to the
present value of any economic benefit available in the form of refunds from the plan or reductions in
future contributions to the plan.
For the purpose of presentation of defined benefit plans and other long-term benefits, the allocation
between current and non-current provisions has been made as determined by an actuary.
1.12.3 Other Employee Benefits
Other employee benefits comprise of compensated absences/leaves. The actuarial valuation is done as
per projected unit credit method. Remeasurements as a result of experience adjustments and changes
in actuarial assumptions are recognised in the Statement of Profit and Loss.
1.12.4 Bonus plans
The Company recognizes a liability and an expense for bonuses. The Company recognizes a provision
where contractually obliged or where there is a past practice that has created a constructive
obligation.
1.13 Earnings per Share
1.13.1 Basic Earnings per Share
Basic earnings per share is calculated by dividing the profit/loss attributable to owners of the Company
by the weighted average number of equity shares outstanding during the financial year.
1.13.2 Diluted earnings per share
Diluted earnings per share adjust the figures used in the determination of basic earnings per share to
take into account:
• The after-income tax effect of interest and other financing costs associated with dilutive
potential Equity Shares, and
• The weighted average number of additional Equity Shares that would have been outstanding
assuming the conversion of all dilutive potential Equity Shares.
1.14 Recent pronouncements
The Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing
standards under Companies (Indian Accounting Standards) Rules as issued from time to time. For the
year ended March 31, 2025, MCA has notified Ind AS 117 - Insurance Contracts and amendments to
Ind AS 116 - Leases, relating to sale and leaseback transactions, applicable to the Company w.e.f. April
1, 2024. The Company has reviewed the new pronouncements and based on its evaluation has
determined that it does not have any significant impact in its Financial Statements.
Capital Reserve
The capital reserve represents the excess of the identifiable assets and liabilities over the consideration paid/ received or vice versa in a sale/transfer of business/investment.
Securities Premium Reserve
Securities Premium is credited when shares are issued at premium. It can be used to issue bonus shares, to provide for premium on redemption of shares or debentures, write off
equity related expenses like underwriting cost etc.
Capital Redemption Reserve
As per requirements of the Companies Act, 2013, the Company creates Capital Redemption Reserve on the event of buyback of Equity Shares.
Retained Earnings
Retained Earnings represents the represents accumulated profits earned by the Company and remaining undistributed as on date. This can be utilised in accordance with the
provisions of the Companies Act, 2013.
Fair Value through Other Comprehensive Income Reserve
It represents the cumulative gains/ (losses) arising on the revaluation of Equity Shares measured at fair value through Other Comprehensive Income, net of amounts reclassified to
Retained Earnings on disposal of such instruments, and amounts arising on remeasurement of defined benefits plan.
Note: The Company's pending litigations comprise of claims against the Company and proceedings
pending with statutory/Government Authorities. The Company has reviewed all its pending litigation
proceedings, made adequate provisions, and disclosed the contingent liabilities wherever
applicable, in its financial statements. The Company does not expect the outcome of these
proceedings to have a material impact on its financial position. Future cash outflows in respect of
above are determinable only on receipt of judgment/decision pending with various
forums/authorities.
25. No amount is due to Micro, Small and Medium enterprises (identified on the basis of information
made available during the year by such enterprises to the Company). No interest in terms of Micro,
Small and Medium Enterprises Development Act, 2006 has been either paid or accrued during the
year.
26. The Company does not have any Trade Receivables and Trade Payables as at 31st March, 2025 and
31st March, 2024. Hence, ageing schedule is not required.
27. Employment Benefits
The disclosures required under Ind AS 19 "Employee Benefits" are given below:
Assumptions relating to future salary increases, attrition, interest rate for discount & overall
expected rate of return on Assets have been considered based on relevant economic factors such as
inflation, market growth & other factors applicable to the period over which the obligation is
expected to be settled.
J. Sensitivity Analysis
Discount Rate, Salary Escalation Rate and Withdrawal Rate are significant actuarial assumptions. The
change in the Present Value of Defined Benefit Obligation for a change of 100 Basis Points from the
assumed assumption is given below. There is no sensitivity depicted since closing provisions consists
only of crystalized liability of resigned employees.
31. Financial Risk Management
In the course of its business, the Company is exposed to a number of risks, key ones being:
• Operational risk
• Liquidity risk
• Market risk
• Compliance Risk
This note presents the Company's objectives, policies and processes for managing its risks.
• Operational Risk
The company is exposed to operational risks arising from inadequate or failed internal
processes, systems, people, or external events. The company has established internal
controls to ensure effective management of these risks and reduce the operational failures.
• Liquidity Risk
Liquidity risk is the risk that the Company may encounter difficulty in meeting its obligations.
The Company determines its liquidity requirements in the short, medium and long term. This
is done by drawing up cash forecast for short and medium-term requirements and strategic
financing plans for long term needs.
The Company manages its liquidity risk in a manner so as to meet its normal financial
obligations without any significant delay or stress. Such risk is managed through ensuring
operational cash flow while at the same time maintaining adequate cash and cash
equivalents position. This is generally carried out in accordance with practice and limits set
by the Company.
• Market Risk
Market risk is the risk that changes in market prices, such as equity prices which will affect
the Company's income or the value of its holdings of financial instruments. The objective of
market risk management is to manage and control market risk exposures within acceptable
parameters, while optimizing the return.
i. Price Risk
The Company's exposure to equity securities price risk arises from investments held by
the Company and classified in the Balance Sheet at fair value through Profit or Loss and
fair value through other comprehensive income. The majority of the Company's equity
investments are publicly traded.
ii. Sensitivity analysis - Equity price risk
The table below summaries the impact of increase/decrease of the market price of the
listed instruments on the Company's equity and profit for the period. The analysis is
based on the assumption that market price had increased by 2% or decreased by 2 %
• Compliance Risk
The Company operates in strongly regulated business segments. The risk arises out of
change in laws and regulations governing the business. The internal control system of the
Company is designed to suit the complexity of its business operations. The system ensures
strict adherence to all applicable statutes and regulations governing the business operations.
The internal financial controls with reference to financial statements as designed and
implemented by the Company are adequate.
Risk management framework
The Company is having a system of risk management commensurate with its size and nature of
activities to address the consequent vulnerability. Quarterly reports are placed before the Audit
Committee and the Board of Directors of the Company. The Company has a comprehensive Risk
policy relating to the risks that the Company faces under various categories like strategic,
operational, reputational and other risks and these have been identified and suitable mitigation
measures have also been formulated. Major risks identified by the businesses and functions are
systematically addressed through mitigating actions on a continuing basis. A risk management
process is in place to identify and mitigate risks that arise from time to time.
Notes:
1) The management has assessed the fair value of Trade Receivables, Cash and Cash Equivalents, Bank
Balances and Deposits and Advances which approximate their carrying amounts.
2) The fair value of the financial assets is included at the amount at which the instrument could be
exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.
The financial instruments are categorized into three levels based on the inputs used to arrive at fair
value measurements as decided below:
Level 1 - Quoted (unadjusted) prices in active markets for identical assets or liabilities.
Level 2 - Other techniques for which all inputs which have a significant effect on the recorded fair
value are observable, either directly or indirectly.
Level 3 - Techniques which use inputs that have a significant effect on the recorded fair value that
are not based on observable market data.
Methods and assumptions
The following methods and assumptions were used to estimate the fair values at the reporting date:
i. Quoted Equity Shares: Closing quoted price (unadjusted) in National Stock Exchange of
India Limited
ii. Mutual Funds: Closing quoted price (unadjusted) in Central Depository Services (India)
Limited
iii. Non-Convertible Redeemable Preference Shares: Fair value of preference shares is
estimated by discounting cash flows. The valuation requires management to use
unobservable inputs in the model, of which the significant unobservable inputs are
disclosed in the table below. Management regularly assesses a range of reasonably
possible alternatives for those significant unobservable inputs and determines their
impact on the total fair value.
Following ratios are not provided:
• Debt - Equity Ratio - The Company did not have any Debt during the year.
• Inventory Turnover Ratio - The Company did not have any Inventories as on 31st March.
• Trade Receivables Turnover Ratio - The Company did not have any Trade Receivables.
• Trade Payables Turnover Ratio - The Company did not have any Trade Payables.
35. The Company is mainly engaged in the business of trading of Commodities (tea, ferrous and non¬
ferrous metals). However, the Company is also dealing and investing in shares and securities and has
interest income from loans and advances. The relevant information about the Segment is given in
the following table:
36. (a) Proceedings before the National Company Law Tribunal (NCLT) in respect of complaints under
Section 241 read with Section 242 of the Companies Act, 2013 filed on 28.03.2025, are continuing,
which may influence the operations of the company in accordance with the order that may finally be
passed by the NCLT in course of time. The outcome of hearing/interim order passed by Hon'ble NCLT
are awaited.
Further, the Company has received show-cause notice under Section 206 of the Companies Act, 2013
from the Office of the Registrar of Companies (West Bengal) ("ROC"). The Company has replied to
the said notice and the matter is yet to be decided by the ROC.
(b) The management was unable to provide information, documents, Registers of Company,
Records, Books and Papers and Books of Account and other relevant documents and statutory
records necessary for preparation of the Financial Statements, as these were not handed over by
the previous management despite repeated requests by virtue of non-cooperation by the erstwhile
management. As a result, the correctness of certain balances and transactions could not be
independently verified and have been presented based on the best available information. Such non¬
availability of information and continued non-cooperation by the erstwhile management posed
serious constraints in the preparation of the Financial Statements and periodic compliances and
reporting with several agencies including BSE Limited.
(c) The management has not been able to obtain all the supporting documents and loan
confirmations from related parties. These balances have been presented based on the best
information presently accessible and the management's hope to recover the missing supporting
documents and confirmations.
Certain balances in respect of deposits, advances, loans and advances are subject to confirmation
and reconciliation. However, in the opinion of the management, they have value at least equal to
the amount as stated, if realized in the ordinary course of business unless otherwise stated.
37. During the year, a penalty of Rs.27.00 (Amount in '000) has been levied by BSE Limited for the non¬
compliance of Regulation 6(1) of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015.
39. Additional disclosures pursuant to notification by Ministry of Corporate Affairs dated 24th March,
2021:
i. The Company has made given loans or advances in the nature of loans to Promoters,
Directors, KMP's and the related parties which are outstanding as at the end of the current
year amounting to Rs. 1,04,172.59 (Amount in '000).
ii. No proceedings have been initiated or are pending against the company for holding any
benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and
rules made thereunder.
iii. The Company has not borrowed funds from banks, financial institutions or other lenders and
therefore the declaration of whether the Company has been declared wilful defaulter at any
time during the current year or in previous year is not applicable.
iv. The Company has not undertaken any transactions with companies struck off under Section
248 of the Companies Act, 2013 during the current year or in previous year.
v. The Company has not created any charge on its assets and hence disclosure of registration
or satisfaction of charges with Registrar of Companies (ROC) is not applicable.
vi. The Company has complied with the number of layers of investments in Companies as
prescribed under clause (87) of Section 2 of the Act read with the Companies (Restriction on
number of Layers) Rules, 2017.
vii. Utilisation of Borrowed Funds and Share Premium:
i) The Company has not advanced or loaned or invested funds to or in any other persons
or entities, including foreign entities (lntermediaries) with the understanding.
whether recorded in writing or otherwise, that the intermediary shall directly or
indirectly lend to or invest in other persons or entities identified in any manner
whatsoever by or on behalf of the company (Ultimate Beneficiaries) or provide any
guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.
ii) The Company has not received any fund from any persons or entities, including foreign
entities (Funding Party) with the understanding whether recorded in writing or
otherwise, that the company shall directly or indirectly lend to or invest in other
persons or entities identified in any manner whatsoever by or on behalf of the Funding
Party (Ultimate Beneficiaries) or provide any guarantee, security or the like on behalf
of the Ultimate Beneficiaries.
viii. The Company has not taken any working capital facilities from banks on the basis of security
of current assets.
ix. There were no transactions which have not been recorded in the books of account, but have
been surrendered or disclosed as income in the tax assessments under the Income Tax Act,
1961 (43 of 1961) during the year.
x. The Company has not traded or invested in Crypto Currency or Virtual Currency during the
year ended 31st March, 2025 and 31st March, 2024.
Signature to Notes 1 to 39 For and on behalf of the Board of Directors
As per our report of even date annexed
For V. SINGHI & ASSOCIATES
Chartered Accountants Pradip Kumar Daga Ashu Bajaj
Firm Registration No.: 311017E Director Director
(DIN 00040692) (DIN 10885920)
(Naveen Taparia)
Partner Navpreet Kaur Jyoti
Membership No.: 058433 Director Company Secretary
(DIN 07144566) (Mem. A53669)
Place: Kolkata Shantanu Daga Rohini Mukherjee
Date: 30th June, 2025 Chief Executive Officer Chief Financial Officer
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