@ The Company has a carrying value of investment in Raheja QBE General Insurance Company Limited, a subsidiary company of R 339.26 Crores as at March 31, 2025 (Previous year : R 295.89 Crores)
Considering the continued losses recorded over the years by the aforesaid subsidiary company, the management has identified that indicators exist that requires the management to test the carrying value of such investment for possible impairment.
As per the valuation methods based on the Discounted Cash Flow and Comparable Company Multiples (Previous year : Discounted Cash Flow method), the fair value of investment and the assumptions considered are as under :
Fair value - R 394.88 Crores (Previous year : R 304.44 Crores)
Discount rate - 12.83% (Previous year : 15.90%)
Terminal growth rate - 6.50% (Previous year : 10%)
Based on the above, considering that the fair value is higher than the carrying value, no impairment provision was required to be recorded.
** The Company had subscribed to 45% equity share capital of ReNew Green (MPR Two) Private Limited (“ReNew”) amounting to ' 7.28 Crores resulting in ReNew being the associate of the Company. The investment was made with the objective of ReNew setting up of captive wind power project aggregating 24 MW for supply of power to the Company’s cement plant at Satna, Madhya Pradesh.
Subsequent to year ended March 31, 2025, the Company had received communication from ReNew informing the Company about ReNew’s decision to terminate the Power Consumption Agreement (“PCA”) entered into between both the parties citing existence of Force Majeure since inception of PCA. In response, the Company through formal communication had rejected the proposed termination of the PCA, citing lack of merits in the claims raised. The Company also issued a Captive Generator Event of Default Notice to ReNew for failing to meet its obligations under the PCA and failure to commission the Project by the Long Stop Date. The Company further informed ReNew that, in the event of ReNew's failure to pay the liquidated damages, it reserves the right to invoke and encash ReNew’s Performance Bank Guarantee (“PBG”) amounting to ' 7.28 Crores, in accordance with the terms of the PCA.
The management believes it has strong grounds to contest the invocation of Force Majeure event and proposed termination. Accordingly, based on management’s current assessment, there is no impact of the above on the standalone financial statements of the Company for the year ended March 31, 2025.
* I nvestment in subsidiary Small Luxetile Private Limited (Formerly known as Small Johnson Floor Tiles Private Limited) includes equity component recognised from 0.01% Non-cumulative Optionally Convertible Preference Shares. The carrying value of such equity component is ' 0.78 Crore (Previous year : ' 0.78 Crore) with respect to the subsidiary company.
## Company has given Non-Disposal Undertaking to certain banks for its investment in subsidiary company.
$ I nvestment in subsidiary Sanskar Ceramics Private Limited includes equity component recognised from 0.01% and 0.02% Nonconvertible Non-Participating Non-cumulative Redeemable Preference shares. The carrying value of such equity component is ' 4.87 Crores (Previous year : ' 4.87 Crores) with respect to the subsidiary company.
b. Rights, preference and restrictions attached to Equity shares :
The Company has one class of equity shares having a par value of ' 10 per share. Each shareholder is entitled to one vote per equity share. The shareholders are entitled to dividend declared on proportionate basis. On liquidation of the Company, the equity shareholders are eligible to receive remaining assets of the Company in proportion to their shareholding after distribution of all preferential amounts.
Description of the nature and purpose of each reserve within equity is as follows :a. Capital Redemption Reserve :
The Company had created capital redemption reserve pursuant to past amalgamation.
b. General Reserve :
The Company had earlier transferred a portion of the net profit of the Company before declaring dividend to the general reserve pursuant to the earlier provisions of the Companies Act, 1956. Mandatory transfer to general reserve before declaration of dividend is not required under the Companies Act, 2013. This reserve can be utilised in accordance with the requirements of Companies Act, 2013.
c. Retained Earnings :
Retained earnings are the net profits that the Company has earned till date and is net of amount transferred to other reserves such as general reserves, debenture redemption reserve etc., amount distributed as dividend and adjustments in terms of Ind AS 101.
d. Capital Reserve :
The Company had created capital reserve pursuant to past demerger of business and amalgamation.
(a) Supplier’s credit represents the extended interest bearing credit offered by the funding bank to the supplier which is secured against the Usance Letter of Credit (LC). Under this arrangement, the supplier’s negotiating bank is eligible to receive payment from the funding bank prior to the expiry of the extended credit period. The interest for the extended credit period is payable to the funding bank on maturity of LC.
(b) Supplier’s credit also includes the Under Invoice Discounting Facility program for Vendor undertaken by the Bank, the eligible supplier can assign invoices to the Bank and receive payment prior to the extended credit period. The Company submits an undertaking or a debit authority to the Bank as part of security for the transaction.
(c) The Company has tied up with Trade Receivables Discounting System (“TReDS”) Platform approved of RBI to facilitate early payments to its MSME Suppliers whereby the invoices approved by the Company is factored / discounted by the financiers registered with the TReDS Platform. Under this arrangement, the Suppliers will receive early payment against their invoices from the financier on the basis of the undertaking / debit mandate issued by the Company to the TReDS platform, basis this debit mandate, the Company will make payment to the relevant financier on the due date of the invoice.
The charges / interest under all the above arrangements is borne by the Company and classified under finance costs.
6. The effective interest rate for lease liabilities is 10%.
7. The maturity analysis of lease liabilities are disclosed in note 4.09. The Company does not face a significant liquidity risk with regard to its lease liabilities as the current assets are sufficient to meet the obligations related to lease liabilities as and when they fall due.
8. Future lease payments in respect of Leases not yet commenced for which the Company is committed is Nil (Previous year : Nil).
QI03 EMPLOYEE BENEFIT PLANS1. Defined contribution plans
The Company operated defined benefits contribution retirement benefits plans for all qualifying employees.
The total expenses recognised in the Statement of Profit and Loss of ' 18.91 Crores (Previous year : ' 18.97 Crores) represents contributions payable to these plans by the Company at rates specified in rules of the plans.
2. Defined Benefits Plans
The Company sponsors funded defined benefit plans for qualifying employees. The defined benefits plan are administered by separate funds that are legally independent entities. The governing body of the fund is responsible for the investment policy with regard to assets of the funds.
These plans typically expose the Company to Actuarial risks such as : investment risk, interest rate risk, longetivity risk and salary risk. No other post-retirement benefit are provided to the employees.
Investment risk : The present value of the defined benefit plan liability is calculated using a discount rate which is determined by reference to market yields at the end of the reporting period on government bonds.
I nterest risk : A decrease in the bond interest rate will increase the plan liability; however, this will be partially offset by an
increase in the return on the plan debt investments.
Longevity risk : The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the plan’s liability.
Salary risk : The present value of the defined plan liability is calculated by reference to the future salaries of plan participants. As such, an increase in the salary of the plan participants will increase the plan’s liability.
(a) Contingent Liabilities
(i) Guarantees given by the Company’s bankers and counter guaranteed by the Company : ' 218.50 Crores (Previous year : ' 191.69 Crores).
(ii) Claims against the Company not acknowledged as debts on account of disputes in respect of Income Tax, Goods and Services Tax, Sales Tax, Entry Tax, Excise Duty, Service Tax and other claims ' 212.00 Crores. (Previous year : ' 253.31 Crores).
Future cash flow in respect of contingent liability matters depend on the final outcome of judgement / decisions pending at various forums / authorities.
(b) Capital and other Commitments
Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances) ' 201.33 Crores (Previous year : ' 147.16 Crores) and other commitments includes outstanding letters of credit ' 42.22 Crores (Previous year : ' 50.79 Crores).
(c) In terms of long-term Gas Supply Agreement (‘GSA’) for Re-Liquefied Natural Gas (‘RLNG’) with GAIL (India) Limited (‘GAIL’) having validity till April, 2028, the Company is committed to draw minimum quantity of RLNG specified therein. In case of underdrawn quantities, determined on calendar year basis, the Company is liable to deposit purchase price under Take or Pay Obligation clause (‘TOP’) of the GSA and is allowed to draw such underdrawn quantities in the balance term of the GSA at then prevailing price.
I n earlier years, the Company has not been able to draw committed quantity of RLNG and GAIL has waived the TOP obligations under the GSA. For the Calendar Year (CY) 2024 also, GAIL has waived of TOP obligations.
The Company has Gas supply agreements / contracts for three manufacturing locations i.e. at Dewas, Kunigal and Pen. At Dewas and Kunigal, the Company has been able to renegotiate Minimum Guaranteed Obligation (‘MGO’), thereby reducing (limiting) the TOP obligation on the Company for the undrawn quantities of MGO. The Company is pursuing its efforts with GAIL for similar reduction for its plant at Pen.
The estimated amount committed under TOP obligation for the underdrawn quantities of RLNG for the quarter ended March 31, 2025, which would be due in December 2025, if it remains undrawn or not waived, is approximately ' 20.48 Crores. The aforesaid amount, if payable, will only be in the nature of an advance payment for RLNG which can be drawn anytime thereafter up to the end of term of the GSA i.e. April 2028. Accordingly, this contract is not considered as in the nature of onerous contract and no effect of the same is required to be given in the accounts.
QI08 CAPITAL MANAGEMENT
The Company’s policy is to maintain a stable and strong capital structure with a focus on total equity so as to maintain investors', creditors' and market confidence and to sustain future development and growth of its business and at the same time, optimise returns to the shareholders. The Company takes appropriate and corrective steps in order to maintain, or if necessary adjust, its capital structure.
The 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. The Company considers the amount of capital in proportion to risk and manage the capital structure in light of changes in economic conditions and the risk characteristics of the underlying assets.
Consistent with others in the industry, the Company monitors capital on the basis of the Net Debt to Equity ratio computed as under : Net debt (total Borrowings net of Cash and Bank balance) divided by Total Equity.
* excluding restricted fixed deposits of ' 0.69 Crore (March 31, 2024 : ' 4.11 Crores)
The Company has complied with all material externally imposed conditions relating to capital requirements and there has not been any delay or default during the period covered under these financial statements. No lenders have raised any matter that may lead to breach of covenants stipulated in the underlying documents.
Q09 FINANCIAL INSTRUMENTS
(i) Methods and assumptions used to estimate the fair values
The fair values of the 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 carrying amounts of receivables and payables which are short term in nature such as trade receivables, other bank balances, deposits, loans to employees, trade payables, payables for acquisition of non-current assets, demand loans from banks and cash and cash equivalents are considered to be the same as their fair values.
b) The fair values for long term loans, long term security deposits given and remaining non current financial assets were calculated based on cash flows discounted using a current lending rate. They are classified as level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs.
c) The fair values of long term security deposits taken, non-current borrowings and remaining non current financial liabilities are based on discounted cash flows using a current borrowing rate. They are classified as level 3 fair values in the fair value hierarchy due to the use of unobservable inputs.
d) For financial assets and liabilities that are measured at fair value, the carrying amounts are equal to the fair values.
(ii) Categories of financial instruments
The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique :
Level 1 : unadjusted quoted prices in active markets for identical assets or liabilities;
Level 2 : directly or indirectly observable market inputs, other than Level 1 inputs; and Level 3 : inputs which are not based on observable market data.
The Company’s financial risk management is an integral part of how to plan and execute its business strategies. The Company’s financial risk management policy is set by the Board. The details of different types of risk and management policy to address these risks are listed below :
The Company’s activities are exposed to various risks vis. Credit risk, Liquidity risk and Market risk. In order to minimise any adverse effects on the financial performance of the Company, it uses various instruments and follows polices set up by the Board of Directors / Management.
a. Credit Risk :
Credit risk arises from the possibility that counter party will cause financial loss to the Company by failing to discharge its obligation as agreed.
Credit risks from balances with banks and financial institutions are managed in accordance with the Company policy. For financial instruments, the Company attempts to limit the credit risk by only dealing with reputable banks and financial institutions having high credit-ratings assigned by credit-rating agencies.
Each division of the Company has specific policies for managing customer credit risk; these policies factor in the customers’ financial position, past experience and other customer specific factors. The Company uses the allowance matrix to measure the expected credit loss of trade receivables from customers.
Based on the industry practices and business environment in which the Company operates, management considers that the trade receivables are in default if the payment are more than 2 years past due.
Trade receivables consists of large number of customers spread across diverse industries and geographical areas with no significant concentration of credit risk. The outstanding trade receivables are regularly monitored and appropriate action is taken for collection of overdue receivables.
Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with financial liabilities that are settled by delivering cash or another financial asset. The Company's approach for 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 Company’s reputation. In addition, processes and policies related to such risks are overseen by the senior management. The Management monitors the Company’s net liquidity position through rolling forecasts on the basis of expected cash flows.
Financing arrangements
The Company has sufficient sanctioned line of credit from its bankers / financiers; commensurate to its business requirements. The Company reviews its line of credit available with bankers and lenders from time to time to ensure that at any point of time there is sufficient availability of line of credit to handle peak business cycle.
The Company pays special attention to the net operating working capital invested in the business. In this regard, as in previous years, considerable work has been performed to control and reduce collection periods for trade and other receivables, as well as to optimise accounts payable with the support of banking arrangements to mobilise funds and minimise inventories.
c. Market Risk :
Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises two types of risk : currency risk and interest rate risk.
i. Market Risk - Foreign Exchange
Foreign currency risk is that risk in which the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Company operates internationally and a portion of its business is transacted in several currencies and therefore the Company is exposed to foreign exchange risk through its overseas sales and purchases in various foreign currencies. The Company hedges the receivables as well as payables as per policies set by the Management.
The Company is also exposed to the foreign currency loans availed from various banks to reduce the overall interest cost.
ii. Market Risk - Interest Rate
The interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates.
The Company borrows at variable as well as fixed interest rates and the same is managed by the Company by constantly monitoring the trends and expectations. In order to reduce the overall interest cost, the Company has borrowed in a mix of short term and long term loans.
Interest rate sensitivity analysis
The sensitivity analysis below have been determined based on the exposure to interest rates on the borrowings at the end of the reporting period. For floating rate liabilities, the analysis is prepared assuming the amount of liability outstanding at the end of the reporting period was outstanding for whole of the year. A 100 basis point increase or decrease is used for internal review by the key management personnel.
Terms and conditions of transactions with related parties :i) Sales to related parties and concerned balances For terms of transaction
Sales are made to related parties on the same terms as applicable to third parties in an arm’s length transaction and in the ordinary course of business. The Company mutually negotiates and agrees sales price, discount and payment terms with the related parties by benchmarking the same to transactions with non-related parties, who purchase goods and services of the Company in similar quantities. Such sales generally include payment terms requiring related party to make payment within 30 to 120 days from the date of invoice.
For terms of balance
Trade receivables outstanding balances are unsecured, interest free and require settlement in cash. No guarantee or other security has been received against these receivables. The amounts are recoverable within 30 to 120 days from the reporting date (Previous year : 30 to 120 days from the reporting date). For the year ended March 31, 2025, the Company has not recorded any impairment on receivables due from related parties (Previous year : Nil).
ii) Purchases of goods and related balances For terms of transaction
Purchases are made from related parties on the same terms as applicable to third parties in an arm’s length transaction and in the ordinary course of business. The Company mutually negotiates and agrees purchase price and payment terms with the related parties by benchmarking the same to sale transactions with non-related parties entered into by the counter-party. Such purchases generally include payment terms requiring the Company to make payment within 30 to 121 days from the date of invoice.
For terms of balance
Trade payables outstanding balances are unsecured, interest free and require settlement in cash. No guarantee or other security has been given against these payables. The amounts are payable within 30 to 121 days from the reporting date (Previous year : 30 to 121 days from the reporting date).
iii) Loans and advances given to related parties
The Company has given loans and advances to its subsidiary companies for meeting the working capital requirements and business expansion purposes. The loans and advances have been utilised by the subsidiary companies for the purpose for which these loans and advances were obtained. The loans and advances are unsecured, repayable as per the terms of the agreement and carries interest rates at the rate of 10.62% to 12.00% per annum. For the year ended March 31, 2025, the Company is carrying impairment provision on loans due from the subsidiary amounting to ' 2.80 Crores (Previous year : ' 2.80 Crores).
iv) Investment in subsidiary companies
The Company has acquired equity shares in subsidiary companies on arm's length basis.
v) Services rendered to related parties For terms of transaction
The Company has entered into contract with related party for rendering services. The services so rendered are on the same terms as applicable to third parties in an arm’s length transaction and in the ordinary course of business. The Company mutually negotiates and agrees the price and payment terms with the related parties by benchmarking similar services rendered by the Company to other non-related parties.
For terms of balance
Outstanding balances are unsecured, interest free and require settlement in cash. No guarantee or other security has been received against these assets. The amounts are recoverable within 30 to 67 days from the invoice date. For the year ended March 31, 2025, the Company has not recorded any impairment on the amounts due from related parties (Previous year: Nil).
vi) Services received from related parties For terms of transaction
The Company receives services from its related parties on the same terms as applicable to third parties in an arm’s length transaction and in the ordinary course of business. The Company mutually negotiates and agrees the price and payment terms with the related parties by benchmarking the same to the services to non-related parties entered into by the counter-party.
For terms of balance
Outstanding balances are unsecured, interest free and require settlement in cash. No guarantee or other security has been given against these payables. The amounts are payable within 30 to 67 days from the reporting date.
vii) Compensation to Key Management Personnel of the Company
The amounts disclosed in the table above are the amounts recognised as an expense during the financial year related to Key Management Personnel. The amounts do not include expense, if any, recognised toward post-employment benefits and other long-term benefits of key managerial personnel. Such expenses are measured based on an actuarial valuation done for Company as a whole. Hence, amounts attributable to Key Management Personnel’s are not separately determinable.
viii) Sitting Fees to Independent Directors
Sitting fees is paid to directors including non-executive and independent directors for attending meetings of the Board and various Committees constituted by the Board at rates approved by the Board and Shareholders of the Company. The Sitting fees is payable to each Director shortly after conclusion of each meeting.
ix) Others
a) The value of related party transaction and balances reported are based on actual transaction and without giving effect to notional Ind AS adjustment entries.
b) Transactions disclosed against “Others” in the above table are those transactions with related party which are of the amount not in excess of 10% of the total related party transactions of the same nature.
] SEGMENT INFORMATION
In accordance with Ind AS 108 on ''Operating segments” information has been given in the Consolidated Financial Statement of the Company and therefore no separate disclosure on segment information is given in the Standalone Financial Statements.
BD3 GOVERNMENT GRANTS BY WAY OF TAX SUBSIDY / EXEMPTION SCHEMES
a) As per Jammu and Kashmir Budgetary support scheme under Goods and Services Tax, the Company is entitled to claim 2% of the taxable turnover with respect to interstate supplies made by the Industrial unit under Integrated Goods and Services Tax Act, 2017 provided that the maximum amount of annual reimbursement shall be limited to 2% of the interstate sales turnover reflected by the dealer in his returns for the accounting year 2016-17. The Company has recognised the Interstate Sale Rebate and credited to ''Other Operating Income” amounting to Nil (Previous year : ' 0.50 Crore) in the Statement of Profit and Loss.
b) As per Industrial Promotion Policy, 2014 of Madhya Pradesh Government, the Company is entitled to receive a subsidy of 40% of total amount invested in project for a period of seven years. During the year, based on the sanction received, the Company has recognised as income an amount of ' 1.62 Crores (Previous year : ' 1.62 Crores) and credited to 'Other Operating Income” in the Statement of Profit and Loss.
c) As part of fiscal incentives to North East Region, the Ministry of Commerce & Industry had provided capital investment incentives under 'North East Industrial and Investment Promotion Policy (NEIIPP), 2007”. The Company had invested ' 1.56 Crores in plant and machinery in FY 2012-13 and lodged claim for capital subsidy. During the FY 2018-19, the Government had approved the Company's claim against NEIIPP 2007 and sanctioned capital subsidy of ' 0.47 Crore. The Company had recognised this as unearned income, to be recognised in Statement of Profit and Loss over the balance useful life of the assets.
^B4/I7 Pursuant to Order of the Hon’ble Supreme Court dated September 24, 2014, Sial Ghogri Coal mine of the Company was de-allocated and put to auction by the Ministry of Coal through Nominated Authority. The Nominated Authority had determined compensation of ' 32.49 Crores for the said Coal Block as against expenses and book value of assets amounting to ' 47.58 Crores.
Till date, a sum of ' 32.34 Crores has been disbursed by the Nominated Authority. The Company had inter-alia disputed the quantum of compensation before the Hon’ble High Court of Judicature, Delhi. As per the directions of the said High Court, the Company had filed its claim for an additional compensation of ' 53.03 Crores before the Coal Tribunal at Singrauli, duly appointed under Coal Bearing Areas (Acquisition and Development) Act, 1957.
The Coal Tribunal however, has declined to entertain claim of the Company being of the view that the same has to be heard by the Nominated Authority. Aggrieved by the decision of the Coal Tribunal, the Company has filed an appeal before the High Court of Madhya Pradesh to restore the claim before the Coal Tribunal.
Pending final disposal of the matter, the Company has not recognised excess of compensation claimed over the book value as income as well as loss that may have to be incurred in the event compensation is denied. Accordingly, the balance amount appears under the head Other Financial Assets (note 2.05) and Freehold Land (note 2.01) ' 13.93 Crores and ' 1.31 Crores respectively. The Freehold Land continues to be in possession of the Company as it was not part of the vesting order. Based on the legal opinion, the Company has more than reasonable chances of succeeding in the matter.
4.18 Insurance claim of the year 2012 relating to collapse of blending silo at cement plant and consequential damages was rejected by the insurance company. Against the rejection of the claim, the Company had filed a money suit against the insurance company for recovery of ' 150.27 Crores. The matter is before the Commercial Court at Rewa, Madhya Pradesh. In the previous years, the Company had recognised a sum of ' 58.94 Crores as receivable. As a matter of prudence, in the FY 2023-24 the Company had made provision of the said receivable of ' 58.94 Crores, which is shown as an exceptional item in note 4.02.
In addition, the Company is pursuing arbitration proceedings against Gannon Dunkerly & Co. Limited (GDCL), the party responsible for construction of the said silo for recovery of damages. In FY 2024-25, an interim (final) award has been passed by the Arbitral Tribunal finding GDCL responsible for deficiencies in construction, which had contributed to the collapse of the Silo and holding that GDCL is liable to bear and pay 80% of the loss sustained by the Company. The quantum of damages, interest and costs shall be decided by the Arbitral Tribunal in a separate quantum tranche hearing in due course. The Company is hopeful of succeeding in the matter.
4.19 According to the information available with the management, on the basis of intimation received from its suppliers regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006, the Company has amounts due to micro and small enterprises under the said Act are as follows :
EE3 DETAILS OF PROPERTIES IN WHICH TITLE DEEDS ARE NOT IN THE NAME OF THE COMPANY
The title deeds of all immovable properties (other than properties where the Company is the lessee and the lease agreements are duly executed in favour of the lessee) disclosed in the financial statements are held in the name of the Company. However, there are certain immovable properties which continue to appear in the records of the relevant authorities in the erstwhile name of the Company vis. Karan Cement Limited or Prism Cement Limited. The name change process of these properties in the current name of the Company i.e. Prism Johnson Limited is under progress. In addition, certain immovable properties were vested in the Company on amalgamation of RMC Readymix (India) Private Limited and H. & R. Johnson (India) Limited as of April 1, 2009 and also on amalgamation of Silica Ceramica Private Limited and Milano Bathroom Fittings Private Limited as of April 1, 2018. Some of these immovable properties owned or taken on long-term non-cancellable lease arrangements by these amalgamating entities are yet to be transferred in the name of the Company. The Company is pursuing the matter to get the same registered with the relevant authorities in the name of the Company. The details of the same are as under :
4.24 | During the year ended March 31, 2025, the Company has received favourable orders from the Income Tax Appellate Tribunal (“ITAT”) for assessment years 2006-2007 to 2010-2011, pertaining to additional grounds filed by the Company during assessment proceedings primarily relating to treatment of VAT / Sales tax subsidy and other matters. Consequently, the Company has accounted for tax credit amounting to ' 70.89 Crores disclosed under “Adjustment of tax relating to earlier periods” and interest thereon of ' 82.33 Crores disclosed under “Other income” in the Standalone Financial Statements.
5 OTHER STATUTORY INFORMATION :
(i) As on March 31, 2025, the Company does not have any charge or satisfaction which are yet to be registered with the Registrar of Companies beyond the statutory period.
(ii) The quarterly returns or statements of current assets filed by the Company with banks or financial institutions are in agreement with the books of accounts.
(iii) (a) The Company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other source
or kind of funds) to any other person(s) or entity(ies), 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.
(b) The Company has not received any funds from any person(s) or entity(ies), including foreign entities ('Funding Parties'), with the understanding, whether recorded in writing or otherwise, that the Company shall, 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 provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(iv) The Company does not hold any Benami property under the Benami Transactions (Prohibitions) Act, 1988 (45 of 1988).
(v) The Company has not revalued its property, plant and equipment and intangible assets, thus valuation by a registered valuer as defined under rule 2 of the Companies (Registered Valuers and Valuation) Rules, 2017 is not applicable.
(vi) The Company has not been declared wilful defaulter by any bank or financial institution or other lender.
(vii) The Company has not entered into any scheme of arrangements as approved by the competent authority in terms of section 230 to 237 of the Companies Act, 2013.
(viii) The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017.
(ix) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961).
(x) The Company has not traded or invested in crypto currency or virtual currency during the current or previous year.
EE3 AUDIT TRAIL FEATURE IN ACCOUNTING SOFTWARE
The Company has used accounting software for maintaining its books of account which has a feature of recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the software. Further, there are no instance of audit trail feature being tampered with. Additionally, the audit trail of prior year has been preserved as per the statutory requirements for record retention to the extend it was enabled.
|