XIV. PROVISIONS, CONTINGENT LIABILITIES & CONTINGENT ASSETS:

Provisions are recognised only when the Company has present, legal or constructive obligations as a result of past events, for which it is probable that an outflow of economic benefit will be required to settle the transaction and a reliable estimate can be made for the amount of the obligation.

Contingent liability is disclosed for

(i) possible obligations which will be confirmed only by future events not wholly within the control of the Company, or

(ii) present obligations arising from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made.

Contingent assets are not recognised in the financial statements since this may result in the recognition of income that may never be realised.

XV. CURRENT/ NON CURRENT CLASSIFICATION OF ASSETS/ LIABILITIES:

The Company has classified all its assets / liabilities into current / non-current portion based on the time frame of 12 months from the date of financial statements. Accordingly, assets/ liabilities expected to be realised/ settled within 12 months from the date of financial statements are classified as current and other assets/ liabilities are classified as non-current.

XVI. ROUNDING OFF AMOUNTS

All amounts disclosed in financial statements and notes have been rounded off to the nearest rupees in Lakh as per requirement of Schedule III of the Act, unless otherwise stated.

3 (c) Terms & Right attached to Equity shares

The Company has only one class of shares referred to as equity shares having a par value of ' 10/- Each holder of equity shares is entitled to one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the company after distribution of all preferential amounts, in the proportions to their holdings.

Terms & Rights attached to Preference Share Capital

The company has issued and allotted redeemable non-cumulative, non convertible Preference Shares of ' 10/- each redeemable at any time at the option of the company on or after 10 Years from the date of allotment of such preference shares.

Contingent liabilities

(i) Bank Guarantee issued by SBI on behalf of the company in favour of WBSEDCL as on 31st March 2024 - 21.45 Lakhs (P.Y ' 21.45 Lakhs) for Security Deposit for connection of power.

(ii) Pursuant to an order by Hon'ble High court at Calcutta (division Bench) dated 30th August,2023 has appointed an Ex -Supreme court Judge as the sole Arbitrator to adjudicated the issues and differences between the parties pertaining to the Business Transfer Agreement dated January 19,2022 involving the contingent liability amounting to ' 1034.33 Lakhs. The instant matter is pending for adjudication and financial effect if any will be provided on settlement of the issue.

Reason for variation more than 25%

Current Ratio: Ratio impacted owing to fund raised from prefrential allotment is unutilsed and reflected in bank balances.

Debt Equity Ratio: Ratio impacted due to increase in profit & equity and repayment of debt

Debt Service Coverage Equity Ratio: Ratio impacted due to increase in profit and decrease in finace cost and repayment of debt

Return on Equity: Ratio impacted due to incraese in equity

Trade Receivable Turnover Ratio: Ratio impacted due to increase in Turnover and trade term Return on Capital Employed: Ratio impacted due to increase in profit & equity and repayment of debt

Note 32: Segment information

Based on guiding principles given in Accounting Standard on "Segment Reporting" (AS - 17), the company's primary business is Cold roll forming part of Railway Wagon. As the company's business activity falls within a single primary business segment the disclosure requirement of As-17 in this regard are not applicable.

Note 34 : Revaluation of Fixed Assets :

The Company has revalued the Property, Plant & Equipment of CRF Unit Singur based on valuation report dated 14th June, 2023 issued by the Registered Valuer and adopted its value resulting in Revaluation Reserve of ' 4473.96 Lakhs and corresponding increase in Property, Plant & Equipment. In view of the same, the incremental depreciation of ' 200.21 Lakhs for the year has been adjusted against Revaluation Reserve and transfer to Retained Earning.

Note 35:

In our opinion and according to the information and explanations given to us and the records examined by us and based on the examination of the registered sale deed / transfer deed / conveyance deed / other relevant records evidencing title of the company, we report that, the title deeds, comprising all the immovable properties of land and buildings which are freehold other than self-constructed assets included in property plant and equipment, are held in the name of the Company as at the balance sheet date.

Note 36: Additional Statutory Information

• No proceedings have been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988, Hence relevant disclosures are not applicable.

• The Company has been sanctioned working capital/DLOD limits by Bank on the basis of security of current assets. The monthly /quarterly returns or statements of current assets filed by the company with the bank or financial institutions are generally in agreement with the books of accounts. However, the Company has repaid its working capital/DLOD facility availed from the bank in the month of August 2023 and got sanction of working capital facility from Bank of India within the financial year but disbursement of the working capital facility was made after 31st March 2024.

• There are no instances of any transaction 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)

• The company does not have any transactions with companies struck off under section 248 of the Companies Act, 2013, Hence no disclosure required.

• There are no charges or satisfaction of Charges pending to be registered with Registrar of Companies beyond the statutory period.

• The Company is not declared as a wilful defaulter by any bank or financial Institution or other lender.

• 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

• The Company has not traded or invested in crypto currency or virtual currency during the financial year

• There is no scheme of arrangement approved by competent authority in terms of sections 230 to 237 of the Companies Act,2013 during the year, hence relevant disclosures are not applicable.

• No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entities ("Intermediaries") with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any party(Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

Note 37:

The figures for the previous period have been re-classified/re-grouped wherever necessary, the impact of

such restatements/ regroupings are not material to Financial Statements

As per our report of even date

For G A R V & Associates For & on behalf of the Board

Chartered Accountants For Cosmic CRF Limited

Firm Registration No. 301094E CIN: L27100WB2021PLC250447

(Ashish Rustagi) Aditya Vikram Birla Purvi Birla

Partner Managing Director Wholetime Director

Membership No. 062982 DIN: 06613927 DIN: 02488423

Place: Kolkata Ram Pada Mandal Trupti Upadhyay

Date : 15th May 2024 Chief Financial Officer Company Secretary