(i) GENERAL RESERVE: the general reserve is used from time to time to transfer profits from retained earnings for appropriation purposes. As the general reserve is created by a transfer from one component of equity to another and is not an item of other comprehensive income.

General reserve reflects amount transferred from statement of profit and loss in accordance with regulations of the companies act, 2013.

(ii) SECURITIES PREMIUM RESERVE: securities premium reserve is used to record the premium on issue of shares. The reserve is utilized in accordance with the provision of the companies act, 2013

(hi) INVESTMENT ALLOWANCE UTILIZATION RESERVE: investment allowance utilization

reserve is a free reserve.

(i) during the earlier years the company has taken working capital term loan (wctl under gecl) secured by way of first charge on company's entire fixed assets i.e., raw material, sip, finished goods, packing material, consumables stores and book debts. This loan is further secured by first charge in respect of other movable and immovable fixed assets of the company and personal guarantee of mr. Harish chand jain, managing director of the company. The wctl sanctioned for 48 months with a moratorium period of 12 months and will be repayable in 36 monthly installments starting from june 2022.

(ii) during previous year the company has taken working capital term loan (wctl under gecl extension) secured by way of first charge on company's entire fixed assets i.e., raw material, sip, finished goods, packing material, consumables stores and book debts. This loan is further secured by first charge in respect of other movable and immovable fixed assets of the company and personal guarantee of mr. Harish chand jain, managing director of the company. The wctl sanctioned for 60 months with a moratorium period of 24 months and will be repayable in 35 monthly installments starting from february 2024.

(iii) during the earlier years, the company has taken unsecured loan from mr. Harish chand jain, managing director of the company for meeting its operational working capital requirements. Loan is repayable when funds are available with company. Applicable rate of interest is 9 % p.a.

31. During the year 2018-19 the company has filed revision petition under section 397 crpc, 1973 against the order dated 07.01.2019 passed in complaint no. 137/2018 filed by roc against the company, its directors and kmp for committing offence under section134 (8) of the companies act,2013 for violating the provisions of section 134(5)(a) of the companies act,2013. The maximum penalty under this section can be rs. 500000. No provision is considered necessary by the management.

33. EMPLOYEE BENEFITS:

(a) DEFINED CONTRIBUTION PLANS

The company operates defined contribution retirement benefit plans for all qualifying employees.contribution to provident fund and esi of rs. Lakhs (previous year rs. Lakhs) is recognised as an expense and included in "employee benefit expenses" in statement of profit and loss.

(b) POST EMPLOYMENT BENEFITS :

(1) THE COMPANY HAS A DEFINED BENEFIT GRATUITY PLAN :

The company has defined benefit gratuity plan for its employees. It is governed by the payment of gratuity act, 1972. Under the act, employee who has completed five years of service is entitled to specific benefit. The level of benefits provided depends on the member's length of service and salary at retirement age. Vasting occurs upon completion of five years of service. The management of the company is responsible for the administration of the plan assets including investment of the funds in accordance with the norms prescribed by the government of india.

(2) THESE PLANS TYPICALLY EXPOSE THE GROUP TO ACTUARIAL RISKS SUCH AS INVESTMENT RISK,INTEREST RATE RISK AND SALARY RISK. INVESTMENT RISK

The present value of the defined benefit plan liability (denominated in indian rupee) is calculated using a discount rate which is determined by reference to market yields at the end of the reporting period oN GOVERNMENT BONDS.

INTEREST RISK : a decrease in the bond interest rate will increase the plan liability.

SALARY RISK :

The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants.

As such, any variation in the expected rate of salary increase of the plan participants will change the plan liability.

(5) SENSITIVITY ANALYSIS :

Significant actuarial assumptions for the determination of defined obligation are discount rate and expected salary increase. The sensitivity analysis below have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.

The sensitivity analysis presented above may not be representative of the actual change in the defined benefit obligation as it is unlikely that the change in assumption would occur in isolation of one another as some of the furthermore, in presenting the above sensitivity analysis, the present value of the defined benefit obligation has been calculated using the projected unit credit method at the end of the reporting

period, which is the same as that applied in calculating the defined benefit obligation liability recognised in the balance sheet.

There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.

( C ) ANNUAL LONG TERM EMPLOYEE BENEFITS: ANNUAL LEAVE & SHORT TERM LEAVE

There is no pending encashment of leave of employees at the end of year hence no provision is required. However, the company has made provisions in the books of accounts for gratuity on the basis of actuarial valuation as per ind as-19. Details of which are as under :

*FIGURES IN THE BRACKET RELATES TO PREVIOUS YEAR ENDED MARCH 31, 2024.

38. themanaging director has been paid rs.582000/-(previous year rs.720000/-) as remuneration as per schedule v of the companies act, 2013.computation of net profit for the purpose, of managerial remuneration in accordance with the companies act,2013 has not been given as no commission by way of a percentage of profit is payable for the year under review.

39. Tax deducted at source on interest income included in other income is nil, (previous year rs. Nil.)

43. STATEMENT OF MANAGEMENT

(A)the current assets, loans and advances are good and recoverable and are approximately of the values, if realized in the ordinary courses of business unless and to the extent stated otherwise in the accounts. Provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

(b)balance sheet and statement of profit and loss read together with notes to the accounts thereon, are drawn up so as to disclose the information required under the companies act, 2013 as well as give a true and fair view of the statement of affairs of the company as at the end of the year and results of the company for the year under review.

44. FINANCIAL RISK MANAGEMENT

Financial risk factors the company's principal financial liabilities, other than derivatives, comprise borrowings, trade and other payables, and financial guarantee contracts. The main purpose of these financial liabilities is to manage finances for the company's operations. The company has loan and other receivables,

trade and other receivables, and cash and short-term deposits that arise directly from its operations. The company's activities expose it to a variety of financial risks:

(A) Market risk:- market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market prices comprise three types of risk: currency rate risk, interest rate risk and other price risks, such as equity price risk and commodity risk. Financial instruments affected by market risk include loans and borrowings, deposits, investments, and derivative financial instruments. Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. Credit risk credit risk is the risk that a counter party will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

(B) liquidity risk:- liquidity risk is the risk that the company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses.

The company's overall risk management programme focuses on the unpredictability of financial markets and seeks to minimize potential adverse effects on the company's financial performance. The company uses derivative financial instruments to hedge certain risk exposures. The company does not acquire or issue derivative financial instruments for trading or speculative purposes.

Risk management is carried out by the treasury department under policies approved by the board of directors. The treasury team identifies, evaluates and hedges financial risks in close co-operation with the company's operating units. The board provides principles for overall risk management, as well as policies covering specific areas, such as foreign exchange risk, interest rate risk, and credit risk, use of derivative financial instruments and non-derivative financial instruments, and investment of excess liquidity.

45. ADDITIONAL REGULATORY INFORMATION:

(i) There is no title deeds of immovable property which are not held in name of the company.

(ii) The company do not have any investment in property.

(iii) The company has not revalued its property, plant and equipment.

(iv) The company do not have any intangible assets.

(v) The company has not granted loans or advances in the nature of loans to promoters, directors, kmps and the related parties (as defined under companies act, 2013,) either severally or jointly with any other person.

(vi) There is no capital work in progress undergoing in the company at the balance sheet date.

(vii) There is no intangible assets under development.

(viii) There is no benami property held by the company.

(ix) The company has borrowings from banks on the basis of security of current assets. Quarterly returns or statements of current assets filed by the company with banks are in agreement with the books of accounts.

(x) The company has not been declared willful defaulter by any bank or financial institution.

(xi) The company has no transactions with companies struck off under section 248 of the companies act, 2013 or section 560 of companies act, 1956.

(xii) There are no charges or satisfaction of charge which is yet to be registered with registrar of companies.

(xiii) The company has not subsidiary companies as at the balance sheet date.

(xv) There is no scheme of arrangement approved by the competent authority in terms of sections 230 to 237 of the companies act, 2013.

(xvi) Information pursuant to clause no. Xvi to additional regulatory information required under schedule iii of companies act, 2013 regarding utilization of borrowed funds and share premium is nil or not applicable

46. OTHER NOTES:

a) The company do not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the income tax act, 1961 (such as, search or survey or any other relevant provisions of the income tax act, 1961.

b) The company is not covered under section 135 of companies act 2013. Hence no amount was spent on csr activity.

c) The company has not traded or invested in crypto currency or virtual currency during the financial year.