The company considers all highly liquid financial instruments, which are readily convertible into known amounts of cash that are subject to an insignificant risk of change in value and having original maturities of three months or less from the date of purchase to be cash equivalents. Cash and cash equivalents consist of balances with banks which are unrestricted for withdrawal and usage.

b. Terms /Rights attached to the equity shares

The company has only one class of equity shares having a Par Value of 2/- each. Each holder of equity shares is entitled to one vote per share.

The company declares and pays dividends in Indian Rupees.

Employee benefits obligations Gratuity

The Companyprovided gratuityfor employees as per the Graturity Act, 1972. Employees who are in continuous servicefor a period offiveyears are eligiblefor gratuity. The amount of gratuity ispayable on retirement or termination whichever is earlier. The level of benefitsprovided depends on the member's length of service and salary at retirement age. The gratuityplan is afundedplan.

Compensated absences

The leave obligation cover the Company's liabilityfor earned leaves.

Empoyee Benefits Expenses

Expenses and liabilities in respect of employee benefit expenses are recorded as per Ind AS 19, Employee Benefits.

Short Term Benefits

Short term employee benefits are recognized as an expense in the statement of profit and loss of the year in which related services are rendered by the employees.

Compensated Absences

The liability of leave encashment and other compensated absences is recognised on arithmetical basis at the end of the year are charged to expense each year

Post Employment Benefits Defined Contribution Plans

Obligations for contribution to defined contribution plans are expensed in the statement of profit and loss of the year in which the related services are rendered by the employees.

The company makes payments to State Govt. Provident Fund Scheme and Employee State Insurance Scheme which are defined contribution plans. The contribution paid / payable under the scheme is recognized in the statement of profit and loss during the period in which the employee renders the related services. The company has no further obligations under these schemes beyond its periodic contributions.

Defined Benefit Plans:-

Gratuity (funded): - The cost is determined using the projected unit credit method with the actuarial valuation being carried at each balance sheet date by independent actuary. The present value of the defined benefit obligation denominated in INR is determined by discounting the estimated future cash outflows by reference to market yields at the end of the reporting period on government bonds that have terms approximating to the terms of related obligation.

The net interest cost is calculated by applying the discount rate to the balance sheet of the defined benefit obligation. This cost is calculated in employee benefit expense in the Statement of Profit and Loss.

Remeasurement gains or losses arising from experience adjustment, demographic adjustments and changes in actuarial assumptions are recognised in the period, in which they occur, directly in Other Comprehensive Income. They are included in retained earnings in the Statement of Changes in Equity and in the Balance Sheet Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments are recognised immediately in Profit or Loss as past service cost.

Other Employee Benefits

Accidental & medical Insurance Scheme, defined contribution plan is taken from Iffco-Tokio General Insurance Co Ltd.. Gratuity

The Company provides for gratuity, a defined benefit plan (the "Gratuity plan") covering eligible employees in accordance with the Payment of Gratuity Act, 1972. The Gratuity Plan provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment of an amount based on the respective employees's salary ast drawn and the tenure of employment. The Company's liability is actuarially determined (using the Projected Unit Credit Method) at the end of each year. Actuarial losses/gains are recognized in the Statment of Profit and Loss in the year in which they arise.

Sensitivities due to mortality & withdrawals are not material & hence impact of change due to these not calculated. Sensitivities as rate of increase of pensions in payment, rate of increase of pensions before retirement & life expectancy are not applicable.

9. Risk Exposure

Through its defined benefit plans the Company is exposed to a number of risks, the most significant of which are detailed below:

Investment risk:

If investment return of assets can be lower than the discount rate assumed.

Salary Escalation Risk

The present value of the defined benefit plan is calculated with the assumption of salary increase rate of plan participants in future, based on past experience. Deviation in the rate of increase of salary in future for plan participants from the rate of increase in salary used to determine the present value of obligation will have a bearing on the plan’s liability.

Miscellaneous Expenses:-

1. Does not include any item of expenditure with a value of more than 1% of Revenue from operations.

2. Includes expenses towards Advertisement, Printing & Stationary, Internal Audit Fees, Testing Charges, Electricity & water, Postage & courier and Others etc.

Note : 31

Earning per share

Basic EPS amounts are calculated by dividing the profit for the year attributble to equity holders by the weighted average number of equity shares outstanding during the year.

Diluted EPS amounts are calculated by dividing the profit for the year attributble to equity holders by the weighted average number of equity shares outstanding during the year.

The company is in receipt of notice u/s 153C of the Income Tax Act 1961 for the period 2011-12 to 2017-18. Writ had been filed against the issue of notice in the Delhi High Court which is pending for adjudication. The liability is still undertemined and the management does not expect any significant adverse impact in the future.

Note : 37

Impairment of Trade Receivables

The Company recognises provision on Trade Receivables based on historical default rates to determine impairment loss on the portfolio of trade receivables. Under Ind AS, impairment of Trade Receivables shall be recognised based on Expected Credit Loss.

Trade Receivables ( Considered Good)

The company's exposure to credit risk is influenced mainly by the individual characteristics of each customer, Credit risk is managed through credit approvals, establishing credit limits and continususly monitoring the creditworthiness of customers to which the company granst credit terms in the normal course of business.

The Company uses an allowance matrix to measure the expected credit losses of trade receivables . The following table provides information about the exposure to credit risk and loss allowance (including expected credit loss provision) for trade receivables:

Note : 38

Financial risk management

The Company’s principal financial liabilities comprise of loans and borrowings, trade payables and other financial liabilities The main purpose of these financial liabilities is to finance the Company’s operations. The Company’s principal financial assets include trade and other receivables, cash and short-term deposits that derive directly from its operations.

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 Audit Committee, which is responsible for developing and monitoring the Company's risk management policies. The Committees reports regularly to the Board of Directors on its activities.

The Company's risk management policies are established to identify and analyse the risk 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 regularly to reflect changes in market conditions and the Company's activities. The Company''s 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 an internal audit team. Internal audit team undertakes both regular and adhoc reviews of risk management controls and procedures, the results of which are reported to the Audit Committee.

The Company has exposure to the following risks arising from financial instruments:

Credit Risk Liquidity Risk Market Risk

Credit Risk

Credit risk is the risk of fiancial loss to the company if a customer or counter party to a financial instrument fails to meet its contranctual 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. The company establishes an allowance for doubtful debts and impairment that represents its estimate of incurred losses in respect of trade and other receivables.

The maximum exposure to credit risk in case of all the financial instruments covered below is restricted to their respective carrying amount.

Liquidity Risk

Liquidty risk is the risk that the Company will encounter if there is 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 liquifity 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 unaceptable losses or risking damage to Company's reputation.

Capital Risk Management

The Company manages its capital to ensure that it will be able to continue as a going concern. The structure is managed to maintain an investment grade credit rating, to provide ongoing returns to shareholders and to service debt obligations, whilst maintaining maximum operational flexibility.

Consistent with others in the industry, the Company monitors capital on the basis of the gearing ratio. This ratio is calculated as net debt divided by Equity. Net debt is calcculated as total borrowings (including 'current and non-current term loans' as shown in the balance sheet) less cash and cash equivalents and bank balances.

Market Risk

Market risk is the risk that the changes in market prices such as foreign exchange rates, interest rates and equity prices 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 optimising the return.

Foreign Currency Risk

The primay market risk to the Company's is foreign exchange risk. The Company is exposed to foreign exchange risk through its purchases from overseas suppliers and payment of services availed in various foreign currencies. The Comapy pays off its foreign exchange exposure within a short period of time, thereby mitigating the risk of material changes in exchange rate of foreign currency exposure.

The fair value of financial assets and liabilities are 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 following methods and assumptions were used to estimate the fair values.

A. The fair value of cash and cash equivalents, bank balances other than Cash and cash equivalents, trade receivables, loans, current financial assets, trade payables and current financial liabilities approximate their carrying amount, largely due to the short-term nature of these instruments. The change in the Fair Value of Non-Current Financial Asset and Liability is insignificant and hence carrying value and fair value is taken same.

B. Long-term borrowings measured at amortized cost are evaluated by the Company based on parameters such as interest rates, specific country risk factors, credit risk and other risk characteristics. Fair value of borrowings approximates their carrying values. Risk of other factors for the company is considered to be insignificant in valuation.

Note : 41

Corporate Social Responsibility

As per Section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceding three financial years on corporate social responsibility (CSR) activities. The areas for CSR activities are eradication of hunger and malnutrition, promoting education, art and culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief, women empowerment, Relief to poor and rural development projects. A CSR committee has been formed by the company as per the Act. The funds were primarily allocated to a corpus and utilized through the year on these activities which are specified in Schedule VII

a. No proceedings have been initiated or pending against the company for holding any Benami Property under the

Benami Transactions (Prohibitions) Act, 1988 (45 of 1988) and the Rule made thereunder.

b. The company has no transactions with companies struck off under Section 248 of the Companies Act, 2013 or

Section 560 of the Companies Act, 1956.

c. There are no charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

d. The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

e. The Company has 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:

1. 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

2. provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

f. The Company has 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:

1. 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

2. provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

g. The Company does not have any such transaction which are not recorded in the books of accounts and 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).

h. The Company has not been declared as a willful defaulter by any bank or financial institution or other lender.

Notes:

1. Current Assets & Current Liabilities as per Balance Sheet

2. Total Debt : Long Term Borrowings including ( Current Maturities of Long Term Borrowings), Short term borrowings and interest accrued on debts

3. Shareholder equity includes sum of equity share capital and Reserve & Surplus.

4. Earning available for debt service = Net Profit after taxes Depreciation Interest Cost

Net profit after tax means reported amount of "Profit /(Loss) for the period" and it does not include items of other comprehensive income.

5. Debt service = Interest cost Principal repayments

6. Average shareholders equity is (opening closing)/2

7. Cost of goods sold includes purchase of stock in trade and change in inventories of stock in trade

8. Working Capital = Current Assets - Current Liabilities

9. Capital Employed = Tangible Net worth Total Debt where Tangible Net worth = Total Assets - Total Liabilities

Notes:

The Company has 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:

1. (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.

2. The Company has 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:

(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.

Note : 43

Segment Reporting

The Company has two reportable operating segments which are engaged in the business of "Coal and Sponge Iron, Billets & Scrap Iron". Another new segment of Real Estate business has started which is under progress and no revenue has been generated till the reporting period.

Note : 44

Previous year figures have been regrouped / rearranged wherever considered necessary to make them comparable with those of the current year.