(a) Terms/rights attached to equity shares/warrants

The Company has only one class of equity shares having par value of B 10 per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividend in Indian rupees. The Board of Directors of the Company has not declared any dividend during the reporting period.

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.

*During the year ended 31 March 2022, the Company has made allotment of 284,315 equity shares @ Rs 10 per equity share to the eligible employees on exercise of employee stock option scheme.

(b) The Company restructured its business in the financial year 2010-11 resulting in creation of Capital Reserve amounting to Rs. 60,523.24 lakhs. The aforementioned reserve has been reconciled to amount recognised in the books of accounts except for Rs. 365.36 lakhs which the Company is in the process of reconciling. However, the management believes that there is no impact of the same on statement of profit and loss.

(b) Nature and purpose of other reserves

(i) Securities premium

Securities premium represents premium received on issue of shares. The reserve is utilised in accordance with the provisions of the Companies Act, 2013.

(ii) Capital reserve:

This reserve represents the excess of net assets taken, over the cost of consideration paid at the time of amalgamation done in prior years. This reserve is not available for the distribution to the shareholders.

(iii) Employees' stock options outstanding account

The account is used to recognise the grant date value of options issued to employees under Employee stock option plan and adjusted as and when such options are exercised or otherwise expire.

(iv) Retained earnings

Retained earnings comprise of the Company's accumulated undistributed profits/(losses) after taxes.

(i) The Company has certain cases/disputes aggregating to B 1,597.17 lakhs (31 March 2022: B 1869.51 lakhs) involving customers, vendors and ex-employees. Whilst the impact of these litigations on these financial statements can only be ascertained on the settlement of such cases/disputes, management has broadly assessed that based on the merits of such cases, the Company has reasonably good chances of succeeding and accordingly, no provision has been recognised in these standalone financial statements.

(ii) The Company has certain litigations related to Sales tax and Values added tax (VAT) pending under Rajasthan Value Added Tax Act, 2003 aggregating to Nil Lakhs (31 March 2022 B 441.28 lakhs) West Bengal Value Added Tax Act, 2003 aggregating to B 2,250 lakhs ( 31 March 2022 B 2,250 lakhs), The Assam Value Added Tax Act, 2003 aggregating to B 7.20 lakhs (31 march 2022 B 7.20 lakhs), The Uttar Pradesh Value Added Tax Act, 2008 aggregating to B 24.46 lakhs (31 March 2022 B 24.46 Lakhs), The Haryana Value Added Tax Act, 2003 aggregating to B 59.79 lakhs( 31 March 2022 B 59.79 lakhs) and The Bihar Value Added Tax Act, 2005 B 179.49 lakhs (31 March 2022 B 19.05). Whilst the impact of these litigations on these financial statements can only be ascertained on the settlement of such cases/disputes, management has broadly assessed that based on the merits of such cases, the Company has reasonably good chances of succeeding and accordingly, no provision has been recognised in these standalone financial statements.

(iii) The Company has pending litigation related to service tax under Finance Act, 1994 amounting to B 302.08 lakhs (31 March 2022: B 302.08 lakhs). Whilst the impact of these litigations on these financial statements can only be ascertained on the settlement of such cases/disputes, management has broadly assessed that based on the merits of such cases, the Company has reasonably good chances of succeeding and accordingly, no provision has been recognised in these standalone financial statements.

(iv) Out of contingent liabilities existing as at 31 March 2023 as disclosed above, certain cases amounting to B Nil (31 March 2022: B 747.25 lakhs) comprising of claims against the Company not acknowledged as debt of B Nil (31 March 2022: B 281.51 lakh) and Value added tax related disputes aggregating B Nil (31 March 2022: B 465.75 lakh) [(included in point (i) and (ii) above] are under appeal with different authorities at different levels for which the management does not have necessary details and information. Whilst the impact of these contingent liabilities on the standalone financial statements can only be ascertained on the settlement of such cases/disputes, management has broadly assessed that based on the merits of such cases, the Company has reasonably good chances of succeeding and accordingly, no provision has been recognised in these standalone financial statements.

36 Segment information

"In accordance with Ind AS 108, the Board of directors, being the Chief operating decision maker of the Company, has determined that the Company is engaged in the business of retail trade of garments, textiles and accessories in India and there are no separate reportable segments as per Ind AS 108. Thus, the segment revenue, segment results, total carrying amount of segment assets, total carrying amount of segment liabilities, total cost incurred to acquire segment assets, total amount of charge for depreciation during the year is as reflected in the financial statement. The Company's operations are such that all activities are confined only to India and here are no customers accounting for more than 10% of its revenue."

37 During the current year ended 31 March 2023, the management has recorded provision amounting to 689.34 (31 March 2022: B 628.10 lakhs) for expected loss for sale of old inventory taking into account most reliable information available at the reporting date and in view of management, the provision is adequate. Further, during the current year, management has performed physical verification of inventories at stores and warehouse. Based on the physical verification, the Company has written-off inventory amounting to B 634.46 lakhs (31 March 2022: B 825.20 lakhs) which has been adjusted against the provision created.

A Gratuity

The Company operates gratuity plan where in every employee is entitled to benefit equivalent to 15 days salary (includes dearness allowance) last drawn for each completed year of service. The same is payable on termination of service, or retirement, or death whichever is earlier. The benefits vests after five years of continuous service. Gratuity benefits valued were in accordance with the payment of Gratuity Act, 1972.

The following tables summarise the components of net benefit expense recognised in the statement of profit or loss and amounts recognised in the balance sheet for the Gratuity plan:

1 The discount rate is based on the prevailing market yields of Indian Government securities as at the balance sheet date for the estimated term of obligations.

2 The estimates of future salary increase considered takes into account the inflations, seniority, promotion and other relevant factors on long term basis.

3 The weighted average duration to the payment of these cash flows is 1.73 years (31 March 2022: 1.72 years).

B Defined contribution scheme

The Company's state governed provident fund scheme, employee state insurance scheme and labour welfare fund scheme are considered as defined contribution plans. The contribution under the schemes is recognised as an expense in the statement of profit and loss, when an employee renders the related service. There are no other obligations other than the contribution payable to the respective funds. The amount of contribution made by the Company to employees' provident fund is B 300.54 lakhs (31 March 2022: B 224.36 lakhs).

39 Share based payment

During the year ended 31 March 2023, the Company has granted Nil (31 March 2022: 225,000) employee stock options ("ESOP") as per scheme approved by "Nomination and Remuneration Committee", at an exercise price of B 10 per option. Further, out of Nil (31 March 2022: 284,684) ESOP outstanding as at the beginning of the year, the Company has forfeited Nil (31 March 2022: 369) ESOP and Company has issued shares for Nil (31 March 2022: 284,315) ESOP exercised. Total ESOP outstanding as at 31 March 2023 are 225,000 (31 March 2022: 225,000). The vesting period of the ESOP is ranging from 15 months to 36 months. The granted options can be exercised after vesting at any time before the expiry of 3 months from vesting date. An amount of B 172.38 lakhs (31 March 2022: B 129.19 lakhs) has been recorded for the year ended 31 March 2023 as employee benefits expense, as the proportionate cost of ESOP granted.

B Fair values hierarchy

The fair value of financial instruments as referred to in note (A) above has been classified into three categories depending on the inputs used in the valuation technique. The hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities [Level 1 measurements] and lowest priority to unobservable inputs [Level 3 measurements]. Level 1: Quoted prices for identical instruments in an active market;

Level 2: Directly (i.e. as prices) or indirectly (i.e. derived from prices) observable market inputs, other than Level 1 inputs; and Level 3: Inputs which are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part using a net asset value or valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

The management assessed that fair values of cash and cash equivalents, trade payables, Interest accrued on bank deposits with banks, other current financial assets and other current financial liabilities approximates their carrying amounts largely due to the short-term maturities of these instruments.

The fair values of borrowings, lease liabilities and other financial assets and liabilities are considered to be the same as their fair values, as there is an immaterial change in the lending rates.

"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 investments in debt securities. The carrying amount of financial assets represents the maximum credit exposure.

- cash and cash equivalents,

- loans and receivables carried at amortised cost, and

- deposits with banks"

a) Credit risk management

The Company assesses and manages credit risk based on internal credit rating system, continuously monitoring defaults of customers and other counterparties, identified either individually or by the company, and incorporates this information into its credit risk controls. Internal credit rating is performed for each class of financial instruments with different characteristics. The Company assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.

Cash & cash equivalents and bank deposits

Credit risk related to cash and cash equivalents and bank deposits is managed by only accepting highly rated banks and diversifying bank deposits and accounts in different banks.

Trade receivable, loans and other financial assets measured at amortised cost

Other financial assets measured at amortized cost includes loans and advances to employees, security deposits and others. Credit risk related to these other financial assets is managed by monitoring the recoverability of such amounts continuously, while at the same time internal control system in place ensure the amounts are within defined limits. 'The Company's trade receivables does not have any expected credit loss as the Company sells products once the entire payment is received except some sales are made through E-Commerce operators on which the Company has created life time expected credit loss.

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. Due to the nature of the business, the Company maintains flexibility in funding by maintaining availability under committed facilities. Management monitors rolling forecasts of the Company's liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which the entity operates.

Maturities of financial liabilities

The tables below analyse the Company's financial liabilities into relevant maturity of Company based on their contractual maturities for all non-derivative financial liabilities.

C) Market risk

Market risk is the risk that 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.

a) Interest rate risk i) Liabilities

The Company's policy is to minimise interest rate cash flow risk exposures on long-term financing. As at 31 March 2022, the Company is exposed to changes in market interest rates through bank borrowings at variable interest rates.

ii) Assets

The Company's fixed deposits are carried at amortised cost and are fixed rate deposits. They 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.

42(b) The Company has recognised deferred tax assets arising from unabsorbed depreciation and business losses to the extent there is reasonable certainty the Company would be able to realise the deferred tax assets against future taxable income.

An entity should disclose amount of DTA and nature of evidence supporting its recognition as per para 82 of INDAS-12

43 Capital management

The Company's capital management objectives are

- to safeguard their ability to continue as a going concern

- to maintain an optimal capital structure to reduce the cost of capital

The Company monitors capital on the basis of the carrying amount of equity less cash and cash equivalents as presented on the face of balance sheet.

Management assesses the Company's capital requirements in order to maintain an efficient overall financing structure while avoiding excessive leverage. This takes into account the subordination levels of the Company's various classes of debt. The Company manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares, or sell assets to reduce debt.

The Company's adjusted net debt to equity ratio at 31 March 2023 and 31 March 2022 are as follows.

44 Advertising advance to Bennett, Coleman and Company Limited (BCCL)

The Company executed an Advertisement contract dated 7 July 2015 for the period of 5 years with Bennet Coleman and Company Limited (BCCL), pursuant to which the Company has agreed to give advertisements of Rs. 5,000 lakhs, being the total commitment and BCCL has extended long-term credit facility amounting to Rs. 3,250 lakhs to be utilized in accordance with the terms of aforesaid agreement. The aforesaid agreement was further extended twice for a term of one year each and the management is confident of its renewal beyond July 7, 2023 basis its ongoing discussion with BCCL and past practice. The Company has paid Rs. 1,557.65 lakhs till year ended 31 March 2023 (outstanding since April, 2019,) pursuant to this contract and disclosed this amount under "other non-current assets" as at 31 March 2023. Further, the management is confident of utilising the above advance with in the extended contractual period and therefore, has considered the aforesaid advance as good and recoverable.

46 Ind AS 116 - Leases

"The Company has leases for the office , warehouse, retail stores and others. With the exception of short-term leases and leases with variable lease payments, each lease is reflected on the balance sheet as a right-of-use asset and a lease liability. The lease terms for office premises, warehouse and store sites are for an period of one year to fifteen years and having a lock-in period ranging from one to three years. The lease are further renewable on expiry of total lease term subject to mutual consent of both the parties. The Company also sub lease portion of retail stores. However, the sub-lease income is not material to the total lease outflows."

The Company had elected to apply the practical expedient of not assessing the rent concessions as a lease modification, as per MCA notification dated 24 July 2020 and 18 June 2021 on Ind AS 116 for rent concessions which are granted due to COVID-19 pandemic. Accordingly, it has accounted for Rs. 29.33 lakhs in year ended 31 March 2023, (Rs.856.05 lakhs in year ended 31 March 2022) under head other income with respect to unconditional rent concessions confirmed by the landlord.

For movement of lease liability refer note no. 3(i)(b) and for maturity profile of lease liability refer note 44(a).

47 The Company has performed physical verfication of property, plant and equipment during the year ended 31 March 2023 in accordance with the phased program of conducting such verification over a period of 3 years. However, the Company is in process of performing related reconciliation of such physical verification with the underlying fixed asset register maintained by the Company. Management does not expect any adjustments to be material to the financial statements.

50 Other Statutory Information

(i) "The Company do not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property."

(ii) The Company do not have any transactions with struck off companies.

(iii) The Company has not been declared wilful defaulter by any bank or financial institution or government or any government authority.

(iv) The Company has complied with the number of layers prescribed under the Companies Act, 2013.

(v) The Company do not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

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

(vii) "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:"

"(a) 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"

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

(viii) "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:"

"(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,

(ix) The Company has not 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

(x) Borrowings obtained by the Company from banks and financial institutions have been applied for the purposes for which such loans were was taken.

(xi) The company has been sanctioned working capital limit from bank on the basis of security of current assets. The quarterly returns/ statements filed by the company with the bank, are in agreement with the books of accounts of the company of the respective quarters and differences, are not material.

53 The Board of Directors of the Company has not declared any dividend during the current year and previous year.

54 Previous year's figures has been regrouped and/or reclassified wherever necessary to conform to the current year's groupings an classifications, however, the regrouping is not material therefore, details are not given.