Disclosures on lease pursuant to Ind AS 116 - Leases

a) The Company has leases for office buildings. Variable lease payments which do not depend on an index or a rate are excluded from the initial measurement of the lease liability and right of use assets. The Company classifies its right-of-use assets in a consistent manner to its property, plant and equipment.

b) Each lease generally imposes a restriction that, unless there is a contractual right for the Company to sublease the asset to another party, the right-of-use asset can only be used by the Company. Some leases contain an option to extend the lease for a further term. The Company is prohibited from selling or pledging the underlying leased assets as security. For leases over office buildings and other premises, the Company must keep those properties in a good state of repair and return the properties in their original condition at the end of the lease. Further, the Company is required to pay maintenance fees in accordance with the lease contracts.

f) Total cash outflow against the lease liabilities for the year ended 31 March 2024 is ? 4.17 million (previous year: ? 5.24 million). Interest on lease for the year ended 31 March 2024 liabilities is ? 0.96 million (previous year ? 1.34 million).

g) Refer note 34 for contractual maturity of lease liabilities.

(ii) Terms/rights attached to:

I) Equity shares

The Company has only one class of equity shares having par value of ? 1 per share. Each holder of equity shares is entitled to one vote per share.

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.

II) Preference shares

The Company has only one class of 7.25% Non-cumulative redeemable preference shares of ? 1 each. The said preference shares were allotted to Zee Telefilms Limited (now Zee Entertainment Enterprises Limited) on 29 December 2006, pursuant to the scheme of arrangement for demerger of cable business undertaking of Zee Telefilms Limited approved by the Hon'ble Bombay High Court vide its order dated 17 November 2006. Initially, as per the terms of the issue and allotment, the said preference shares were due for redemption on 29 December 2008. However, with the written consent/approval of Zee Entertainment Enterprises Limited, the terms of the issue of said preference shares were varied by extending the period of redemption by another three years i.e. till 29 December 2011. Later on 06 June 2011 these shares were transferred to Churu Enterprises LLP by Zee Entertainment Enterprises Limited.

Period for redemption of preference shares was extended by a period of five years till 29 December 2026. The preference shares are redeemable at par.

In the event of liquidation of the Company the holders of preference shares will have priority over equity shares in the payment of dividend and repayment of capital. These instruments are accounted for as liability in accordance with the Ind AS.

(iv) Shares reserved for issue under options

For details of shares reserved for issue under the employee stock option plan (ESOP) of the Company, refer note 32.

(v) No shares were issued pursuant to contract without payment being received in cash, allotted as fully paid up by way of bonus issue or brought back during the current year and last 5 years.

⁽ⁱ⁾ For details of terms of repayment, nature of security & interest rate of borrowings and delays/defaults in repayment of borrowings (current and non-current), refer note 15.1 and note 15.2 respectively.

(ii) Inter corporate deposit pertain to deposit taken from subsidiary carrying an interest rate of 9% per annum (31 March 2023; 9%)

(iii) For disclosure of fair values in respect of financial liabilities measured at amortised cost and analysis of there maturity profiles, refer note 33 & 34 respectively.

(i) As at 31 March 2024 and 31 March 2023 the cash credit facilities are secured by first pari passu charge on the future and current assets of the Company with minimum assets cover ratio 1:1. The Company is required to maintain Debt Service Reserve Account ('DSRA') for 2 quarter's interest. The same are further secured by corporate guarantee of an associate Company to maintain DSRA and carries an interest rate of bank borrowing rate 250 basis points ('BBR 250 BPS'), intrinsic value base rate ('IVBR') and six months marginal cost of funds based lending rate 1.70% ('MCLR 1.70%') respectively. Since the accounts of the Company have been classified as NPA, covenants compliances are not applicable to the Company.

(ii) For disclosure of fair values in respect of financial liabilities measured at amortised cost and analysis of there maturity profiles, refer note 33 & 34 respectively.

The details of amounts outstanding to micro enterprises and small enterprises under Micro, Small and Medium Enterprises Development Act (MSMED), 2006 are as per available information with the Company.

(i) For disclosure of fair values in respect of financial liabilities measured at amortised cost and analysis of there maturity profiles, refer note 33 & 34 respectively.

(ii) Refer note 35 for related party disclosures

(iii) Refer note 47 for aging schedule of trade payables

The Company has disaggregated the revenue from contracts with customers on the basis of nature of services/goods sold. The Company believes that the disaggregation of revenue on the basis of nature of services/goods sold has no impact on the nature, amount, timing and uncertainty of revenue and cash flows.

31 Employee benefit obligations

Post-employment obligations - gratuity

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/termination equals the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number of completed years of service. The expected contribution to the plan for next annual reporting period amounts to K 3.68 million (previous year : f 3.73 million ).

The weighted average duration of the defined benefit obligation as at 31 March 2024 is 11 years (previous year 12 years).

The plan exposes the Company to actuarial risks such as interest rate risk and inflation risk.

Interest rate risk

The present value of the defined benefit liability is calculated using a discount rate determined by reference to market yields of risk free securities.

Inflation risk

A significant proportion of the defined benefit liability is linked to inflation. An increase in the inflation rate will increase the Company’s liability.

The following tables summarises the components of net benefit expense recognised in the standalone statement of profit and loss and the amount recognised in the standalone balance sheet for the respective plans.

These assumptions were developed by management with the assistance of independent actuary. Discount factors are determined close to each year-end by reference to market yields of nsk free securities that are denominated in the currency in which the benefits will be paid and that have terms to maturity approximating to the terms of the related pension obligation. Other assumptions are based on current actuarial benchmarks and management’s historical experience.

The present value of the defined benefit obligation was measured using the projected unit credit method.

32 Share-based employee remuneration

Employee Stock Option Plan -ESOP-2015

The Company instituted the Employee Stock Option Scheme -2015 (“SITI ESOP 2015” or "New Plan") to grant equity based incentives to eligible employees. The SITI ESOP-2015 has been approved by the Board of Directors of the Company at their meeting held on 28 May 2015 and by the shareholders of the Company by way of special resolution passed at their Annual General Meeting held on 27 August 2015 to grant upto 33,881,656 options, representing one share for each option upon exercise by the eligible employee at an exercise price determined by the Board/ remuneration committee.

The options granted under the Scheme shall vest not less than one year and not more than five years from the date of grant of options. Under the terms of the Scheme, 50%, 35% and 15% of the options will vest in the employee(s) after expiry of one year, two years and three years, respectively, from the date of grant of options. The option grantee must exercise all vested options within a period of four years from the date of vesting and the shares arising on exercise of such options shall not be subject to any lock-in period.

The underlying expected volatility was determined by reference to historical data of the Company's shares over a period of time since its listing on the Stock Exchange. No special features inherent to the options granted were incorporated into measurement of fair value. The employee remuneration expense has decreased by ' nil million (previous year: decreased by ' nil million), all of this relates to options lapsed/ expired during the year due to resignation of eligible employees.

B. Financial instruments measured at fair value

The following tables present financial assets and liabilities measured at fair value as at balance sheet in accordance with the fair value hierarchy. This hierarchy groups financial assets and liabilities into three levels based on the significance of inputs used in measuring the fair value of the financial assets and liabilities. The fair value hierarchy has the following levels:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities;

Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices); and Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs).

The level within which the financial asset or liability is classified is determined based on the lowest level of significant input to the fair value measurement.

Valuation technique to determine fair value Optionally convertible debentures (Level 3)

For the year ended 31 March 2024 and 31 March 2023:

The valuation of optionally convertible debentures ('OCD') has been done using the discounted cashflows method. Discounted cash flow or DCF is the method for estimating the current value of an investment by taking into account its future cash flows. It can be used to determine the estimated investment required to be made in order to receive predetermined returns. The discounted cash flow method is based on the concept of the time value of money, which says that the money that an individual has now is worth more than the same amount in the future.

The valuation exercise is based on the following information:

a) Audited financial Statements of Siti Saistar Digital Media Private Limited and Siti Sin Digital network Pvt. Ltd. (together referred to as 'investee companies') for the FY 2023-24 comprising Balance Sheet and Profit and Loss account.

b) Projections of the investee companies comprising of Balance Sheet and Profit and Loss account for the FY 2024-25 to FY 2028-29

c) Vanous issues relevant for the valuation including the prospects and outlook of the investee companies / industry etc.

The discounted cash flow method involves discounting the investee companies free cash flows for the explicit forecast period and the perpetuity value thereafter. The free cash flows are discounted by weighted average cost of capital comprising of debt and equity. The risk free rate of 6.84% is considered on the 10 year government zero coupon bond yield as on 31 March 2024.

There have been no transfer between level 1, level 2 and level 3 during the year ended 31 March 2024 and 31 March 2023.

34 Financial risk management objectives and policies Financial risk management

The Company is exposed to various risks in relation to financial instruments. The main types of risks are credit risk, liquidity risk and market risk.

The Company's risk management is coordinated in close co-operation with the Resoulution Professinal and the Chief Executive Officer focused on securing the Company's short to medium term cash flows. This note explains the sources of risk which the Company is exposed to and how the Company manages the risk and the related impact in these standalone financial statements.

A. Credit risk

Credit risk is the risk that a customer or counterparty to a financial instrument will fail to perform or pay amounts due to the Company causing financial loss. The Company's exposure to credit risk is influenced mainly by cash and cash equivalents, trade receivables and financial assets measured at amortised cost. The Company continuously monitors defaults of customers and other counterparties and incorporates this information into its credit risk controls.

Credit risk management

Credit risk rating

The Company assesses and manages credit risk of financial assets based on following categories arrived on the basis of assumptions, inputs and factors specific to the class of financial assets.

A: Low credit risk on financial reporting date B: High credit risk

Credit risk exposure

Provision for expected credit losses

The Company provides for 12 month expected credit losses for following financial assets.

For the purpose of computation of expected credit loss, the Company has analysed the trend of provisions for doubtful trade receivables created in earlier years. The average rate of provision has been computed based on the adjusted sales (excluding those where the Company does not have any historical provision) and provision for doubtful debtors created against those sales.

B. Liquidity risk

Liquidity risk is the risk that suitable sources of funding for the Company's business activities may not be available.

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions. Management monitors rolling forecasts of the Company's liquidity position (comprising the undrawn borrowing facilities) and cash and cash equivalents on the basis of expected cash flows. Short term liquidity requirements comprises mainly of trade payables, employee dues and other current payables arising during normal course of business as on each balance sheet date. Long term liquidity requirement is assessed by the management on periodical basis and is managed through internal accruals and through funding commitments from shareholders. As at each balance sheet date, the Company's liabilities having contractual maturities (including interest payments where applicable) are summarised as follows:

C. Market Risk

Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities denominated in a currency that is not the Company's functional currency (?). The risk is measured through a forecast of highly probable foreign currency cash flows.

(ii) Cash flow and fair value interest rate risk

The Company's mam interest rate nsk arises from long-term borrowings with variable rates, which expose the Company to cash flow interest rate risk. The Company's fixed rate borrowings are carried at amortised cost and are therefore not subject to interest rate risk as defined in Ind AS 107, since neither the carrying amount nor the future cash flows will fluctuate because of a change in market interest rates.

(i) As per internal assessment performed by the Company of related parties in accordance with Ind AS 24 - Related Party Disclosures, Zee Entertainment Enterprises Limited and Zee Media Corporation Limited are no longer related parties of the Company. However, the Resoutional Professional has classified these companies as related parties under Section 5(24) of the Insolvency and Bankruptcy Code, 2016, which, in case of Zee Entertainment Enterprises Limited, is subject to the order to be passed by the Hon'ble NCLT in Interlocutary Application No. 4910/2023 in CP (IB) 690 of 2022.

(ii) The Company provides long term benefits in the form of gratuity to its KMP along with all employees, the cost and liability of the same is not identifiable for each KMP and hence could not be disclosed.

* excludes pending cases/litigations including ones with business associates/statutory authorities where the management believes that no material liability will devolve on the Company in respect of these litigations or where amount of liability is not ascertainable. These are net of amounts deposited under protest amounting to f 55.74 million (previous year: f 55.74 million).

*** (i) Claim for Power Grid Corporation of India has been admitted contingently subject to the outcome of the appeal filed by Power Grid Corporation in TDSAT.

(ii) Claim from the Assistant Commissioner (Sales Tax)* Andhara Pradesh has been admitted contingently as appeal has been filed against the order of the department.

(iii) The Department of Telecommunications has submitted its claim in two parts: A (K 11,352 million) & B (K 11,520 million). The DOT vide its letter dated 20-08-2024 has intimated to the corporate debtor that the effective date of surrender of the ISP licence has now been amended to 31-08-2015 basis representations from the corporate debtor. Accordingly, claims made by the DOT post 31-08-2015 till 26-012019 is now rejected. Further the claim of the DoT up 31-08-2015 is admitted contingently pursuant to the appeal filed by DOT against the TDSAT order in Netmagic which is currently pending before the Supreme Court.

iii) The Directorate of Revenue Intelligence (DRI), Bangalore, under section 108 of the Custom Act, 1962, had inquired about the classification of viewing cards for applicability of customs duty. The Company had, suo-moto, paid K 20.00 million (previous year K 20.00 million) under protest and had received a show cause notice with a demand for K 1,030.49 million (previous year K 1,030.49.22 million). The matter is adjourned to 24 August 2022. The Company is confident that the demand will not sustain, therefore no provision has been made in these financial statements and the amount demanded has been considered as contingent liability.

iv) Siti Network Limited got a demand for K 340.25 million from Zee Entertainment Limited against alleged re-transmitting it's channels during the disconnection period from 06 May 2023 to 25 February 2024. However, no provision has been made in the financial statements against such demand in the absence of working / basis for the demand.

The tax losses expire in assessment year 2024-2025. The deductible temporary differences which includes unabsorbed depreciation and provision for doubtful debts do not expire under the current income tax legislation.

40 Capital management

The Company aim to manage its working capital efficiently so as to safeguard its ability to continue as a going concern given that it is currently under resolution process. The working capital structure of the Company is based on management’s judgement of the appropriate balance of key elements in order to meet its strategic and day-to-day needs. We consider the amount of capital in proportion to risk and manage the working capital structure in light of changes in economic conditions and the risk characteristics of the underlying assets.

The Company’s policy is to maintain a stable and strong working capital structure with a focus on net assets so as to maintain business continuity and to sustain future development and growth of its business. The Company will take appropriate steps in order to maintain, or if necessary adjust, its working capital structure.

42 Information under Section 186 (4) of the Companies Act, 2013

There are no investments or loan given or guarantee provided or security given by the Company other than the investments and loans in these standalone financial statements, which have been made predominantly for the purpose of business.

43 The Company predominantly operates in a single business segment of cable distribution in India only. Hence there are no separately reportable business or geographical segments as per Indian Accounting Standard (‘Ind AS’) 108 on Operating Segments. The aforesaid is in line with the way operating results are reviewed by the chief operating decision maker(s).

44 Exceptional items in the standalone financial statements include the following:

a) During the year ended 31 March 2024, gain on account of settlement of borrowings amounting to K 696.84 million was booked and dimunition in the value of investments in subsidiaries amounting to K 72.17 million was booked.

b) During the year ended 31 March 2023, dimunition in the value of investments in subsidiaries amounting to K 346.20 million was booked.

45 For the year ended 31 March 2024, the ‘Subscription income’ included in the ‘Revenue from operations’ in these financial statements, inter alia, includes the amounts payable to the broadcasters towards their

share per Tariff order 2017 in relation to the pay channels subscribed by the customers. The aforementioned corresponding amounts (i.e. Broadcaster’s share) has also been presented as an expense in these

financial statements. The said amount is K 3,063.47 million for the year ended 31 March 2024 (previous year: K 3,284.54) in the standalone financial statements.

Had these expenses been disclosed on net basis, the ‘Revenue from operations’ and the ‘Pay channel costs’ each would have been lower by K 3,063.47 million for the year ended 31 March 2024 (previous

year: K 3,284.54) in the standalone financial statements. However, there would not have been any impact on the net loss for the period then ended in standalone financial statements.

49 No dividend was paid during the current year as well as in preceding financial year. Further no dividend is proposed for the current financial year.

50 The Code on Social Security, 2020 which would impact the contributions by the Company towards Provident Fund and Gratuity has received presidential assent on 28 September 2020. The effective date from which the changes are applicable is yet to be notified and the final rules are yet to be framed. The Company will carry out an evaluation of the impact and record the same in the financial statements in the period in which the Code becomes effective and the related rules are published.

51 There are no transactions that have been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 which have not been recorded in the books of account.

52 The Company is undergoing Corporate Insolvency Resolution Process (CIRP) pursuant to order dated 22 February 2023 (“Admission Order”) passed by Hon’ble National Company Law Tribunal (NCLT'), Mumbai, under the provisions of Insolvency and Bankruptcy Code, 2016 (“Code”/ “IBC”). By the Admission Order, Mr. Rohit Mehra was appointed as the interim Resolution Professional of the Company. The Admission Order was challenged by one of the Directors (powers suspended) of the Company before the Hon’ble National Company Law Appellate Tribunal (“NCLAT”) in an Appeal. By order dated 7 March 2023 (“Stay Order”), the Hon’ble NCLAT issued notice in the Appeal and passed an interim order staying the operation of the Admission Order. Pursuant to the Stay Order, the control and management of the Company was handed back to the Directors (powers suspended) of the Company by the Interim Resolution Professional. By order dated 10 August 2023, the Hon’ble NCLAT dismissed the Appeal, along with all interim applications (“NCLAT Final Order”) and upheld the Admission Order reinstating the CIRP of the Company. Mr. Rohit Mehra was subsequently confirmed as the Resolution Professional of the Company by the committee of creditors. Further, a moratorium in terms of Section 14 of the IBC is in force with respect to the affairs of the Company during its ongoing CIRP.

The Resolution Professional has filed an application to NCLT Mumbai seeking clarification with respect to the treatment of liabilities, obligations, and claims incurred arising during the Stay Period i.e., from 7 March 2023 to 10 August 2023 and cut-off date for certain activities. In relation to the clarification sought, multiple broadcasters have also filed applications with NCLT, Mumbai for release of costs by the Resolution Professional related to the services provided during the Stay Period. These applications are also pending adjudication.

53 The standalone financial statements for the year ended 31 March 2024 have been signed by the Chief Executive Officer and the Resolution Professional (RP) while exercising the powers of Board of Directors of the Company which has been conferred upon him in terms of the provisions of Section 17 of the Insolvency and Bankruptcy Code 2016.

54 The Statutory Auditors have disclaimed their opinion in the audit report in respect of the standalone financial statements for year ended 31 March 2024.

55 The Company has incurred a net loss (including other comprehensive income) of ? 1,502.47 million during the year ended 31 March 2024, and as of that date, the Company’s accumulated losses amount to ? 27,925.22 million resulting in a negative net worth of ? 10,989.95 million and its current liabilities exceeded its current assets by ? 15,368.42 million resulting in negative working capital.

Accordingly, there exists a material uncertainty about the Company’s ability to continue as a going concern since the future of the Company is dependent upon the successful implementation of the Resolution plan. Since the CIRP is currently in progress, as per the Code, it is required that the Company be managed as a going concern during the CIRP period. The standalone financial statements have been prepared assuming going concern basis of accounting, although there exists material uncertainty about the Company’s ability to continue as going concern since the same is dependent upon the successful implementation of a resolution plan as and when approved by NCLT.

56 Pursuant to the commencement of CIRP of the Company under Insolvency and Bankruptcy Code, 2016, the Resolution Professional has begun to receive claims from financial creditors, operational creditors, statutory authorities, employees and other creditors as on 22 February 2023 and if any changes/updates which have happended during the stay period on CIRP upto 10 August 2023. As per the last update on 5 September 2024, the financial creditors have submitted claims amounting to ? 12,060.33 million, out of which ? 11,292.65 million have been admitted by the Resolution Professional. Further, the operational creditors, statutory authorities, employees and other creditors have submitted claims amounting to ? 19,834.60 million as on 10 August 2023, out of which ? 7,066.86 million has been admitted and ? 3,391.56 has been contingently admitted by the Resolution Professional.

57 Pursuant to the commencement of CIRP of the Company under Insolvency and Bankruptcy Code, 2016, certain information including the minutes of meetings of the Committe of Creditors ('CoC') held on various dates, ongoing litigations in NCLT including the one pertaining to the treatment of claims/liabilities/obligations arising during the period of stay obtained by one of the Directors (powers suspended) of the Company before NCLAT upto the date of dismissal of such appeal, i.e., 07 March 2023 upto 10 August 2023, and the outcome of certain procedures carried out as a part of the CIRP are confidential in nature and could not be shared with anyone other than the member of CoC members and Hon’ble NCLT.

However, the stock exchanges have been informed about the convening of the meeting of the committee of creditors and the same was released by them as public anouncement.

58 One of the subsidiaries of the Company, Siti Broadband Services Private Limited, which is undergoing Corporate Insolvency Resolution Process by an order dated 31 October 2023, has not been audited by their statutory auditors and have not been approved/ signed by the Resolution Professional appointed for this subsidiary.

59 One of the subsidiaries of the Company, Siti Jind Digital Media Communications Private Limited, which is undergoing Corporate Insolvency Resolution Process by an order dated 22 March 2024, has not been audited by their statutory auditors and have not been approved/ signed by the Resolution Professional appointed for this subsidiary.

60 The Company has not carried out recoverability and/ or impairment assessment for any of its subsidiaries as at 31 March 2024.

61 For the year ended 31 March 2024, the ‘Subscription income’ included in the ‘Revenue from operations’ in these financial statements, inter alia, includes the amounts payable to the broadcasters towards their share in relation to the pay channels subscribed by the customers. The aforementioned corresponding amounts (i.e. Broadcaster’s share) has also been presented as an expense in these financial statements. The said amount of ? 3,284.54 million for year ended 31 March 2024 in the standalone financial statements.

Had these expenses been disclosed on net basis, the ‘Revenue from operations’ and the ‘Pay channel, carriage sharing and related costs’ each would have been lower by ? 3,284.54 million for year ended 31 March 2024 in the standalone financial statements. However, there would not have been any impact on the net loss for the year ended in the standalone financial statements.

62 The Resolution Professional has filed an application ag^mst members of the erstwhile management of the Company under section 25(2)(j) read with Section 66 of the Insolvency and Bankruptcy Code, 2016 read with Regulation 35(A)(3) of the IBBI (Insolvency Resolution Process for Corporate Persons) Regulations, 2016 seeking relief against certain fraudulent and wrongful trading transactions undertaken by the Corporate Debtor under the erstwhile management prior to the insolvency commencement date.

63 Zee Entertainment Enterprises Limited (ZEEL') vide its letter dated 4 August 2023, informed the Company that it has discharged the liability of the Company towards IndusInd Bank Limited for a term loan amounting to ? 1175.81 million for ? 880.00 million (inclusive of outstanding interests) in which ZEEL had provided the Debt Service Reserve Account (DSRA guarantee'). As a result, ZEEL stands subrogated in place of IndusInd Bank Limited vis a vis Company as per the applicable laws.

Further, ZEEL has also executed a Settlement Agreement with Standard Chartered Bank ('SCB”) in regards to the outstanding dues to SCB by the Company. SCB has issued a No Dues Certificate dated 8 January 2024 confirming receipt of all dues from ZEEL as per the Settlement Agreement. ZEEL has discharged the liability of the Company towards SCB for a term loan amounting to ? 1001.03 million for ? 600.00 million (inclusive of outstanding interest) in which ZEEL had provided the Debt Service Reserve Account (DSRA guarantee'). As a result, ZEEL stands subrogated in place of SCB vis a vis Company as per the applicable laws. The Resolution Professional has admitted the claims of ZEEL with regard to the dues of the Company to IndusInd Bank and SCB. However, since the Resolution Professional has classified ZEEL as a related party under Section 5(24) of the Insolvency and Bankruptcy Code, 2016, ZEEL is not a member of the committee of creditors. An application has been filed by ZEEL before NCLT, Mumbai regarding its non-inclusion in the CoC and the same is pending.

Further, ZEEL has communicated vide their letter dated 08 July 2024 that it has assigned its dues amounting to ? 1,480.00 million to Vani Agencies Private Limited via an assignment agreement dated 2 July 2024. The claim outstanding in the name of ZEEL has been subrogated to Vani Agencies Private Limited.

64

During the year ended 31 March 2024, the bank and financial institutions exercising their rights under various facility agreements have received an amount of ? 1,230.00 million from the Company’s bank account against the borrowings which have been classified as non-performing asset (NPA). Due to non-availability of confirmations from certain lenders, the Company has adjusted such amounts, with the liability for ‘Principal Outstanding’ on borrowings in the books of accounts.

In connection with the above appropriation, Asset Reconstruction Company (India) Limited, one of the financial creditors of the Company, has filed an application with NCLT, Mumbai seeking directions that moratorium was in force during the stay period (i.e., from 7 March 2023 to 10 August 2023) and directions against certain creditors to refund the amount appropriated by them during the Stay Period.

65 As on 31 March 2024, the Company has defaulted in repayment of bank loans and its accounts have been classified as Non-Performing Assets (NPA) by the lenders under the Consortium. The Company have not provided for additional and penal interest as part of finance cost in terms with conditions put forth in arrangements entered into between the banks & financial institutions with the Company and in accordance with the requirements of Ind AS 109, Financial Instruments.

66 Corporate Social Responsibility (CSR)

In view of losses during the year and insufficient profits in the previous year, expenditure on CSR is not applicable for current and previous financial year.

67 Additional Regulatory Information required by Schedule III to the Companies Act 2013

(A)(i) The Company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other persons or entities, including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise) that the Intermediary shall (i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or (ii) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

(A) (ii) The Company has not received any funds from any persons or entities, including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the company shall (i) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or (ii) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

(B) The Company does not have any benami property held in its name. No proceedings have been initiated on or are pending against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.

(C) Company has borrowing from banks and financials institutions (FIs) secured by current assets as mentioned in note 40. These borrowings are declared as non-performing assets (NPAs) by the respective banks and FIs. Due to this, company is under discussion with the banks for re-structuring of its loans. As a result, Company has not been filing any quarterly returns or statements of current assets with the banks or FIs.

(D) The Company has not made any investment therefore requirements prescribed under clause (87) of section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017 are not applicable to the Company.

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

(F) The Company has not traded or invested in crypto currency or virtual currency during the year.

(G) The Company does not have any charges or satisfaction of charges which is yet to be registered with Registrar of Companies beyond the statutory period.

(H) The Company does not have any transaction with struck off companies during the year.

(I) The Company does not have any Property, plant and equipment to be classified as investment property.

(J) The Company has not revalued any of its Property, plant and equipment.

(K) The Company has not entered into any scheme of arrangement which has an accounting impact on current or previous financial year.

(L) No loans or advances in the nature of loans are granted to promoters, directors, KMPs and the related parties either severally or jointly with any other person.

68 There are no proceedings that has been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

69 The Company is not declared willful defaulter by any bank or financial Institution or other lender.

70 Previous period figures have been re-grouped / reclassified wherever necessary, to conform to current period's classification in order to comply with the requirements of the amended Schedule III of the Companies Act, 2013 effective from 01 April 2021.

71 Post reporting date events

No adjusting or significant non-adjusting events have occurred between 31 March 2024 and the date of authorisation of these standalone financial statements.