N.Provisions and Contingencies:
a) Provisions are recognized based on the best estimate of probable outflow
of resources which would be required to settle obligations arising out of past
events.
b) Contingent liabilities not provided for as per (a) above are disclosed in
notes forming part of the Financial Statements 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.
c) Contingent Assets are disclosed, where the inflow of economic benefits is
probable.
O. Earnings per Share:
a) Basic earnings per share are calculated by dividing the net profit or loss for
the period attributable to equity shareholders (after deducting preference
dividends, if any, and attributable taxes) by the weighted average number of
equity shares outstanding during the period.
b) For the purpose of calculating diluted earnings per share, the net profit or
loss for the period attributable to equity shareholders and the weighted
average number of shares outstanding during the period are adjusted for the
effect of all dilutive potential equity shares.
P. Leases:
A contract is, or contains, a lease if the contract conveys the right to control
the use of an identified asset for a period of time in exchange for
consideration.
Company as a lessee
(a) Lease Liability
At the commencement date, the Company measures the lease liability at the
present value of the lease payments that are not paid at that date. The lease
payments shall be discounted using incremental borrowing rate.
(b) Right-of-use assets
Initially recognised at cost, which comprises the initial amount of the lease
liability adjusted for any lease payments made at or prior to the
commencement date of the lease plus any initial direct costs less any lease
incentives.
Subsequent measurement
(A) Lease Liability
Company measure the lease liability by (a) increasing the carrying amount to
reflect interest on the lease liability; (b) reducing the carrying amount to
reflect the lease payments made; and (c) remeasuring the carrying amount
to reflect any reassessment or lease modifications.
(b) Right-of-use assets
Subsequently measured at cost less accumulated depreciation and
impairment losses. Right-of-use assets are depreciated from the
commencement date on a straight line basis over the shorter of the lease
term and useful life of the under lying asset.
Impairment
Right of use assets are evaluated for recoverability whenever events or
changes in circumstances indicate that their carrying amounts may not be
recoverable. For the purpose of impairment testing, the recoverable amount
(i.e. the higher of the fair value less cost to sell and the value-in-use) is
determined on an individual asset basis unless the asset does not generate
cash flows that are largely independent of those from other assets. In such
cases, the recoverable amount is determined for the Cash Generating Unit
(CGU) to which the asset belongs.
Short term Lease
Short term lease is that, at the commencement date, has a lease term of 12
months or less. A lease that contains a purchase option is not a short-term
lease. If the company elected to apply short term lease, the lessee shall
recognise the lease payments associated with those leases as an expense on
either a straight-line basis over the lease term or another systematic basis.
The lessee shall apply another systematic basis if that basis is more
representative of the pattern of the lessee's benefit.
As a lessor
Leases for which the company is a lessor is classified as a finance or
operating lease. Whenever, the terms of the lease transfers substantially all
the risks and rewards of ownership to the lessee, the contract is classified as a
finance lease. All other leases are classified as operating leases.
Lease income is recognised in the statement of profit and loss on straight line
basis over the lease term.
Q.Exceptional items:
Certain occasions, the size, type or incidence of an item of income or expense,
pertaining to the ordinary activities of the Company is such that its disclosure
improves the understanding of the performance of the Company, such
income or expense is classified as an exceptional item and accordingly,
disclosed in the notes accompanying to the financial statements.
1.1 USE OF JUDGEMENTS, ESTIMATES AND ASSUMPTIONS
While preparing financial statements in conformity with Ind AS, the
management has made certain estimates and assumptions that require
subjective and complex judgments. These judgments affect the application of
accounting policies and the reported amount of assets, liabilities, income and
expenses, disclosure of contingent liabilities at the statement of financial
position date and the reported amount of income and expenses for the
reporting period. Financial reporting results rely on the management estimate
of the effect of certain matters that are inherently uncertain. Future events
rarely develop exactly as forecasted and the best estimates require
adjustments, as actual results may differ from these estimates under different
assumptions or conditions. Estimates and underlying assumptions are
reviewed on an ongoing basis. Revisions to accounting estimates are
recognized prospectively.
Judgment, estimates and assumptions are required in particular for:
a) Determination of the estimated useful life of tangible assets
Useful life of tangible assets is based on the life prescribed in Schedule II of
the Companies Act, 2013. In cases, where the useful life are different from that
prescribed in Schedule II, they are based on technical advice, taking into
account the nature of the asset, the estimated usage of the asset, the
operating conditions of the asset, past history of replacement, anticipated
technological changes, manufacturers' warranties and maintenance support.
b) Recognition and measurement of defined benefit obligations
The obligation arising from defined benefit plan is determined on the basis of
actuarial assumptions.
Key actuarial assumptions include discount rate, trends in salary escalation,
actuarial rates and life expectancy. The discount rate is determined by
reference to market yields at the end of the reporting period on government
bonds. The period to maturity of the underlying bonds correspond to the
probable maturity of the post-employment benefit obligations. Due to
complexities involved in the valuation and its long-term nature, defined
benefit obligation is highly sensitive to changes in these assumptions. All
assumptions are reviewed at each reporting period.
c) Recognition of deferred tax liabilities
Deferred tax assets and liabilities are recognized for the future tax
consequences of temporary differences between the carrying values of
assets and liabilities and their respective tax bases, and unutilized business
loss and depreciation carryforwards and tax credits. Deferred tax assets are
recognized to the extent that it is probable that future taxable income will be
available against which the deductible temporary differences, unused tax
losses, depreciation carry-forwards and unused tax credits could be utilized.
d) Discounting of financial assets / liabilities
All financial assets / liabilities are required to be measured at fair value on
initial recognition. In case of financial assets / liabilities which are required to
be subsequently measured at amortized cost, interest is accrued using the
effective interest method.
7.4 Terms/ right attached to equity shares
The Company has only one class of equity shares of par value of Rs.10 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.
7.5 Right pertaining to repayment of Capital
In the event of liquidation of the company, the holders of equity share will be entitled to receive remaining assets of the
company, after distribution of all prefrential amounts. The distribution will be accroding to the shareholders rights and
interest in the company.
(i) Fair value hierarchy
This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a)
recognized and measured at fair value and (b) measured at amortized cost and for which fair values are disclosed in the
financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has
classified its financial instruments into the three levels prescribed under the accounting standard. An explanation of each level
follows underneath the table.
Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments,
traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are
traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using the
closing NAV.
Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques
which maximise the use of observable market data and rely as little as possible on entity-specific estimates. If all significant
inputs required to fair value an instrument are observable, the instrument is included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3.
There are no transfers between levels 1 and 2 during the year.
The Company's policy is to recognise transfers into and transfers out of fair value hierarchy levels at the end of the reporting
period.
(ii) Valuation technique used to determine fair value
Specific valuation techniques used to value financial instruments include:
- the use of quoted market prices or dealer quotes for similar instruments
- the fair value of the remaining financial instruments is determined using discounted analysis.
All of the resulting fair value estimates are included in level 1 or 2 except for unlisted equity securities where the fair values
have been determined based on present values and the discount rates used were adjusted for counter party or own credit risk.
The carrying amounts of trade receivables, electricity deposit, employee advances, cash and cash equivalents and other short
term receivables, trade payables, unclaimed dividend, borrowings, and other current financial liabilities are considered to be the
same as their fair values, due to their short-term nature.
24 FINANCIAL RISK MANAGEMENT
The company's activities expose it to market risk, liquidity risk and credit risk.
This note explains the sources of risk which the entity is exposed to and how the entity manages the risk.
The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk
management framework. The board of directors has established the Risk Management Committee, which is responsible
for developing and monitoring the Company's risk management policies. The committee reports to the board of
directors on its activities.
The Company's risk management policies are established to identify and analyse the risks faced by the Company, to set
appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies and
systems are reviewed periodically to reflect changes in market conditions and the Company's activities. The Company,
through its training, standards and procedures, aims to maintain a disciplined and constructive control environment in
which all employees understand their roles and obligations.
The audit committee oversees how management monitors compliance with the company's risk management policies
and procedures, and reviews the adequacy of the risk management framework in relation to the risks faced by the
Company. The audit committee is assisted in its oversight role by internal audit. Internal audit undertakes both regular
and ad hoc reviews of risk management controls and procedures, the results of which are reported to the audit
committee.
(A) Credit risk
Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to
meet its contractual obligations, and arises principally from the Company's receivables from customers and investment
securities. Credit risk is managed through credit approvals, establishing credit limits and continuously monitoring the
creditworthiness of customers to which the Company grants credit terms in the normal course of business.
(i) Trade receivables
The Company measures the expected credit loss of trade receivables based on historical trend, industry practices and
the business environment in which the entity operates. However, based on historical data, there were no significant bad
debts written off nor provision for doubful debts had been created. Further there is no Trade Receievables outstanding
for more than 6 months at reporting date. Hence, allowances for doubtful debt has not been created.
(ii) Cash and cash equivalents
As at the year end, the Company held cash and cash equivalents of Rs. 10.73 /- Lakhs (31.03.2024 Rs. 2.58/- Lakhs). The
cash and cash equivalents are held with bank and financial institution counterparties with good credit rating.
(iii) Loans and advances
In the case of loans to employees, the same is managed by establishing limits. (Which in turn based on the employees
salaries and number of years of service put in by the concern employee)
(iv) Other Financials Assets
Others Financial Assets are considered to be of good quality and there is no significant increase in credit risk.
(B) Liquidity risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its
financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing
liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due,
under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company's
reputation.
Maturities of financial liabilities
The tables herewith analyse the Company's financial liabilities into relevant maturity groupings based on their
The amounts disclosed in the table are the contractual undiscounted cash flows. Balances due within 12 months equal
their carrying balances as the impact of discounting is not significant.
26 Segment Reporting
Ind AS 108 Operating Segments requires Management to determine the reportable segments for the
purpose of disclosure in financial statements based on the internal reporting reviewed by Chief Operating
Decision Maker (CODM) to assess performance and allocate resources.
Operating segments are defined as 'Business Units' of the Company about which separate financial
information is available that is evaluated regularly by the Chief Operating Decision Maker or decision
making group in deciding how to allocate resources and in assessing performance.
The Company is engaged in one business segment i.e Trading of Stamps,Coins & Antiques items. The
Company is operating in a single geographical segment i.e. India. The management considers that these
business units have similar economic characteristic nature of the product, nature of the regulatory
environment etc. Based on the management analysis, the Company has only one operating segment, so no
seperate segment report is given. The principle geographical areas in which company the Company operates
is India.
27 In respect of the Outstanding Income Tax demand for the Assessment Year 2017-2018, amounting to INR
357.63 Lakhs, for which the Company has neither filed any appeal nor created any provision in the books of
accounts. Had the company has provided the same loss would have been higher by INR 357.63 Lakhs. Due to
non payment of this ,CBDT Freeze the bank account of company.
28 The Financial Statements in respect of the Non-moving inventories amounting to Rs. 1643.24/- Lakh, which
comprises of the 92.79% of the total assets of the company. Non-moving inventories along with other
matters set forth in the "Basis of Qualified Opinion” section above indicate the existence of material
uncertainty that may cast significant doubt about the Company’s ability to continue as a going concern.
However, in view of mitigating factors including business plan, the management is of the view that going
concern basis of accounting is appropriate. Our opinion is not modified in respect of this matters.
29 The inventories as on 31.03.2025 amounting to Rs. 1643.84/- Lakh valued as per Valuation report dated 8th
May 2023, stating valuation mentioned in this report as on the date of 31st March 2023. Consequently, we
had relied upon the valuation of the inventories as on 31st March 2025 .
30 With respect to the Investments as stated in Non-Current Investments amounting to Rs. 113.67/- Lakhs, the
requisite documents with respect to this investment are not available with the Company, in the absence of
sufficient information, the Management has also not provided for any Impairment for the same and in turn
we are unable to comment on the carrying value of Investment made by the Company and the consequent
impact thereof on Other Comprehensive Income.
31 In case of Loans granted by the Company and loans taken by the Company, the terms of repayment has not
been specified and hence it falls under the repayable on demand. On the basis of the same we have classified
the entire Borrowings as Current Liabilities and Loans as Current Assets.
32 In the opinion of the Board of Directors, Current Assets, Loans & Advances have value at which they are
stated in the Balance Sheet, if realized in the ordinary course of business. The provision for depreciation and
for all know liabilities is adequate and not in excess of the amount reasonably necessary.
33 The Company do not have any Benami property, where any proceeding has been initiated or pending
against the Company for holding any Benami property.
34 Relationship with Struck off companies
Where the company has no transactions with companies struck off under section 248 of the Companies Act,
2013 or section 560 of Companies Act, 1956.
35 The Company do not have any charges or satisfaction which is yet to be registered with ROC beyond the
statutory period.
36 The Company have not traded or invested in Crypto currency or Virtual Currency during the year.
37 The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), including
foreign entities (Intermediaries) with the understanding that the Intermediary shall: 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 provide any guarantee, security or the like to or on behalf of the
Ultimate Beneficiaries.
38 The Company have not received any fund from any person(s) or entity(ies), including foreign entities
(Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:
(a) 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
(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
39 The Company do not have any such transaction which is not recorded in the books of accounts and 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).
40 The company holds all the title deeds of immovable property in its name.
41 There is no Scheme of Arrangements approved by the Competent Authority in terms of sections 230 to 237
of the Companies Act, 2013.
42 The company is not declared as wilful defaulter by any bank or financial Institution or other lender.
43 The Previous year's figures, wherever necessary, have been regrouped/reclassified to conform to the
current year's presentation.
As per Our Report of Even Date For and on behalf of the Board of Directors of
For M Sahu & Co Alexander Stamps and Coin Limited
Chartered Accountants
Firm Registration No : 130001W
Anirudh Sethi Jignesh Soni
Manojkumar Sahu Managing director Director
Partner DIN- 06864789 DIN- 10277836
Membership No. 132623
UDIN: 25132623BMGYUO1837
Place: Vadodara Vineet Dubey
Date: 22/05/2025 Chief Financial Officer
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