Provisions and contingent liabilities:

The Company creates a provision when there is present
obligation as a result of a past event that probably requires
an outflow of resources and a reliable estimate can be
made of the amount of the obligation. A disclosure for a
contingent liability is made when there is a possible
obligation or a present obligation that may, but probably

will not, require an outflow of resources. When there is
a possible obligation or a present obligation in respect of
which the likelihood of outflow of resources is remote, no
provision or disclosure is made.

Government Subsidy:

Government subsidy related to specific fixed assets is
reduced from the Gross value of the said asset. Capital
Investment subsidy from Government is shown as Capital
Reserve

Earning per share:

The basic and diluted earnings per share is computed by
dividing the net profit attributable to equity shareholders
for the year, by the weighted average number of equity
shares outstanding during the year.

Cash and Cash Equivalent:

The company recognizes the following items as a part of its
Cash and Cash equivalent in accordance with Accounting
Standard 3 “Cash Flow Statement”

i. Cash in Hand

ii. Balances with Bank

iii. Highly liquid securities/Deposits having maturity less

than 3 months

1. Term Loan from Tata Capital Taken Under Primary Security Over The Equipment of Borrower Already Hypothecated To Tata Capital Limited (For The
Existing Finance Facilities Availed by The Borrower from Tel, FACR to be Maintained At LSxAtAll Times, Carrying Roi of 11.5%(FIoating)Per Annum.
Issued Under Irrevocable and Personal Guarantee of Mr Mitya Kaushik, Mr. Unit Kaushik and Anita Kaushik.

2. Car Loan from HDFC Bank Is Secured by Hypothecation of Car for Which Loan Has Been Taken and Further Secured by Director’s Guarantee Carrying
Roi Of 7.24% Payable In 48 EMI's.

3. Credit Facilities by HDFC Bank Ltd. Having Floating Roi Ranging from 10.6% To 12.34% and secured Against Primary Security of Cash Margin In
Form of Fdr Against Lc, Bg, Plant & Machinery Etc. Personal Guarantee of The Promoters and Collateral Security As Detailed Below

4. Honda City Car Loan from HDFC Bank in Panclikula Is Secured by Hypothecation of Car for Which Loan Has Been Taken. Carry ing Roi of 9.06%
Payable in 48 EMI’s.

5. Swift Dzire Car Loan from ICICI Bank Isis Secured by Hypothecation of Car for Which Loan Has Been Taken. Carrying Roi of 7.80% Payable in 60
EMI’s.

6. Loan from Tata Capital Is Secured Under CGTMSE Scheme for 50% Guarantee Coverage and Secured by Personal Guarantee of Mr Amit Kaushik and
Mr Aditya Kaushik.

7. Honda City Car Loan from HDFC Bank in Hyderabad Secured by Hypothecation of Car for Which Loan Has Been Taken. Carrying Roi of 9.08% Payable
in 48 EMI’s.

8. Breeza Car Laon from HDFC Bank Ltd Is Secured by Hpothecation Against Brezza Carcarrying Roi 8.19% Per Annum in Total 40 installments

9. Royal Enfiled Loan from HDFC Bank Is Secured by Hypothecation Against Royal Enfield Bike Carrying Roi 15.75% Per Annum in Total 36 installments

10. Innova Crysta Loan from Yes Bank Is Secured by Hypothecation of Innova Crysta Carrying Roi 8.37% Per Annum in Total 48 installments

11. Mahindra Vehicle Pickup from HDFC Bank Is Secured by Hypothecation of Mahindra Vehical Pickup Carrying Roi 8.51% Per Annum in Total 48
installments

12. Kia Seltos Car Laon from Union Bank of India Is Secured by Hpothecation Against Brezza Car Carrying Roi 8.50% Per Annum Payable in Total 84
installments

13. Term Loan from Tata Capital Carrying Roi of 11.5%(Floating) Per Annum. Issued Under Irrevocable and Personal Guarantee of Mr Aditya Kaushik, Mr
Amit Kaushik and Anita Kaushik.

14. WAGONR Car Loan from HDFC Bank Is Secured by Hypothecation of Car for Which Loan Has Been Taken Payable in 60 EMI’s.

15. Unsecured Loan from Director Are Taken Without Interest Subject to Revision from Time to Time and Is Repayable on Demand. However Same Has
Been Taken to Meet Business Requirement on Long Term Basis.

Note- 5 Other Longterm Liabilities

1. Car Loan from HDFC Bank is Secured by Hypothecation of Car for Which Loan Has Been Taken and Further Secured by Director's Guarantee Carrying
Floating Roi Of 7.24% Payable in 48 EMI’s.

2. Extension of Second Ranking Charge Over Existing Primary & Collateral Securities including Mortgage in Fa\’our of Bank as Detailed in Note 8.
Carrying Floating Roi @ 8.25% Repayable in 4 Years.

3. Swift Dzire Car Loan from ICICI Bank is Secured by Hypothecation of Car for Which Loan Has Been Taken. Carrying Roi of 7.80% Payable in 60 EMI's.

4. Loan from IDFC First Bank is Payable in 48 Equal installments.

5. Honda City Car Loan from HDFC Bank is Secured by Hypothecation of Car for Which Loan Has Been Taken. Carrying Roi of 9.06% Payable in 48
EMI’s.

6. Loan from Tata Capital is Secured by Hypothecation Against Specific Machinery for Which Loan Has Been Taken and Escrow of Receivable of The
Borrower from HSIL in The form and Manner As Acceptable TOTCFSL Carrying Roi Of 11% Payable in 60 EMI's.

7. Honda City Car Loan from HDFC Bank is Secured by Hypothecation of Car for Which Loan Has Been Taken. Carrying Roi of 9.08% Payable in 48
EMI's.

Notes Forming Part of The Financial Statements

8. Loan from Tata Capital is Secured by Hypothecation of Machinery Purchased Out ofTcfsl Fund and Escrow of Receivables of The Borrower from HSIL
in. The form and Manner as Acceptable To TCFSL. Carrying Roi of9.25% Repayable in 4 Years.

9. Term Loan from Tata Capital Carrying Roi of 11.5%(Floating) Per Annum, issued Under Irrevocable and Personal Guarantee ofMrAditya Kaushik, Mr
Amit Kaushik and Anita Kaushik.

10. Term Loan from Tata Capital Carrying Roi of 11.5%(Floating) Per Annum, and Secured Under Irrevocable and Personal Guarantee.

11. Breeza Car Laon from HDFC Bank Ltd is Secured by Hpothecation Against Brezza Car Carrying Roi 8.19% Per Annum in Total 40 installments

12. Royal Enfiled Loan from HDFC Bank is Secured by Hypothecation Against Royal Enfield Bike Carrying Roi 15.75% Per Annum in Total 36 installments

13. Innova Crysta Loan from Yes Bank is Secured by Hypothecation of innova Crvsta Carrying Roi 8.37% Per Annum in Total 48 installments

14. Mahindra Vehicle Pickup from HDFC Bank is Secured by Hypothecation ofMahindra Vehical Pickup Carrying Roi 8.51% Per Annum in Total 48
installments

15. HDFC Term Loan Carrying Roi 7.75%> Per Annum in Total 84 installments

16. Kia Seltos Car Laon from Union Bank of India is Secured by Hpothecation Against Brezza Car Carrying Roi 8.50% Per Annum Payable in Total 84
installments

17. Credit Facilities by HDFC Bank Ltd. Having Floating Roi Ranging from 10.6% To 12.34% and Secured Against Primary Security ofCashMargin in form of FDR Against
LC, BG, Debtors, Stock, Plant & Machinery Etc. Personal Guarantee of The Promoters and Collateral Security As Detailed Below: -

Note- 43 to 53

43) The Company has utilised the borrowings from banks and financial institutions for the specific purpose for which it was taken at the balance sheet date and no default has
been made regarding the same.

44) The title deeds of the immovable property as appearing in the books of accounts are in the name of the company.

45) The Company has not revalued any of its Property, Plant & Equipments or intangible Assets during the current year.

46) The Company has not given any loan and advanes to its promoters, Directors, KMPs or any related parties during the current year.

47) As per information and explanation given us by management, no proceedings has been intitated or pending against the Company for holding any Benami property under
Benami Transactions (Prohibition) Act, 1988.

48) As per information and explanation given us by management, Company is not declared as willful defaulter by any Bank or financial institution or any other lender.

49) As per information and explanation given us by management, Company has not inccured any transactions with Companies struck off under section 248 of the Companies
Act 2013 or section 560 of Companies Act 1956.

50) As per information and explanation given us by management,No charge is pending for registration before the ROC, beyond the specified time period.

51) As per information and explanation given us by management, Company is not having any transaction which is not recorded in books of accounts of Company which has
been surrendered in tax assessments under income Tax Act 1961.

52) As per the limits prescribed under section 135 of Companies Act 2013, Corporate Social Responsbility clause is not applicable on the company during current Financial
Year.

53) As per information and explanation given us by management, Company has not dealt/traded/invested in the Crypto Currency or Virtual Currency during current Financial
year.

* Explanation for Change in Ratio (for more than 25% in comparison with last year)

Note- 57) Previous Year Figures Have Been Classified as Necessary

For and on The Behalf of Board of Directors

Amit Kaushik Zalak Shah Aditya Kaushik Ashwani Kumar Goel

CFO/CEO (Company Secretary) (Managing Director) (Director)

Pan - a****02*7* Memb. No.: A56904 DIN-06790052 DIN-08621161