[2.22] Provisions, Contingent Liabilities and Contingent Assets
Provisions for legal claims, discounts, schemes and returns are recognized when the Company has a present
legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be
required to settle the obligation and the amount can be reliably estimated. Provisions are not recognized for future
operating losses.
Where there are a number of similar obligations, the likelihood that an outflow will be required in settlement is
determined by considering the class of obligations as a whole. A provision is recognized even if the likelihood of
an outflow with respect to any one item included in the same class of obligations may be small.
Provisions are measured at the present value of management's best estimate of the expenditure required to settle
the present obligation at the end of the reporting period. The discount rate used to determine the present value
is a pre-tax rate that reflects current market assessments of the time value of money and the risk specific to the
liability. The increase in the provision due to the passage of time is recognized as interest expense.
Contingent liabilities are possible obligations that arise from past events and whose existence will be confirmed by
the occurrence or non-occurrence of one or more future events not wholly within the control of the Company, such
obligation is disclosed as contingent liability.
Contingent Assets are possible assets that arise from past events and whose existence will be confirmed only by
occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company.
Contingent assets are disclosed in financial statements when in flow of economic benefits is probable on the basis
of judgement of management.
[2.23] Employee Benefits
[2.23.1] Short Term Obligations
Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly
within 12 months after the end of the period in which the employees render the related service are recognized in
respect of employees' service upto the end of the reporting period and are measured at the amounts expected to
be paid when the liabilities are settled. The liabilities are presented as current employee benefit obligations in the
Balance Sheet.
[2.23.2] Other Long Term Employee Benefit Obligations
The liabilities for earned leave are not expected to be settled wholly within 12 months after the end of the period in
which the employees render the related service. The liability or asset recognized in the balance sheet in respect of
defined benefits as leave encashment, pension and gratuity plans is the present value of defined benefit obligation
at the end of the reporting period less the fair value of plan assets. The defined benefit obligation is calculated by
actuaries using the projected unit credit method. The present value of defined benefit obligations is determined by
discounting the same using the market yields at the end of the reporting period on Government Bonds, that have
terms approximating to the terms of the related obligation.
Net interest cost is calculated by applying the discount rate to the net balance of defined benefit obligation and fair
value of plan assets and the same is included in employee benefit expenses in the statement of profit and loss.
Re-measurements as a result of experience adjustments and changes in actuarial assumptions are recognized
in the period in which they occur, in other comprehensive income. They are included in retained earnings in the
statement of changes in equity and in the balance sheet.
The obligations are presented as current liabilities in the Balance Sheet if the entity does not have an unconditional
right to defer settlement for at least twelve months after the reporting period, regardless of when the actual
settlement is expected to occur.
Unavailed medical benefits are measured at actual cost during a block of3 years.
[2.23.3] Post Employment Obligations
The Company operates the following post-employment schemes :
[a] Defined benefit plan which is Gratuity.
[b] Defined contribution plan which is Provident Fund only. The Organization pay provident fund to publicly
administered provident fund as per local regulations and apart from the contribution the Company has no
further payment obligation and the contribution are recognized as employee benefit expense when they are
due.
[c] One time medical benefits are measured at actual cost.
[2.24] Dividends
Dividends and interim dividends payable to the Company’s shareholders are recognized as change in equity in the
period in which they are approved by the Company’s shareholders and the Board of Directors respectively.
[2.25] EarningsperShare
[2.25.1] Basic Earnings pershare
Basic earnings per share is calculated by dividing:
* The profit/loss attributable to owners ofthe Company.
* By the weighted average number of equity shares outstanding during the financial year.
[2.25.2] Diluted Earnings perShare
Diluted earnings per share adjusts the figures used in the determination of basic earnings per share to take into
account :
* The after income tax effect of interest and other financing costs associated with dilutive potential equity
shares, and
* The weighted average number of additional equity shares that would have been outstanding assuming the
conversion of all dilutive potential equity shares.
[2.26] Financial Liabilities
Financial liabilities of the Company are contractual obligation to deliver cash or another financial asset to another
entity or to exchange financial assets or financial liabilities with another entity under conditions that are potentially
unfavorable to the Company.
The Company’s financial liabilities include loans and borrowings, trade and other payables.
[a] Classification, initial recognition and measurement
Financial liabilities are recognized initially at fair value minus transactions costs and subsequently measured
at amortized cost. Any difference between the proceeds (net of transaction costs) and the fair value at initial
recognition is recognized in the Statement of Profit and Loss or in the carrying amount of an asset if another
standard permits such inclusion, overthe period ofthe borrowings using the effective rate of interest.
Borrowings are classified as current liabilities unless the Company has an unconditional right to defer
settlement of the liability for at least 12 months after the reporting period.
[b] Subsequent measurement
After initial recognition, financial liabilities are subsequently measured at amortized cost using the EIR
(Effective Interest Rate) method. Gains and losses are recognized in the Statement of Profit and Loss or in the
carrying amount of an asset if another standard permits such inclusion, when the liabilities are derecognized
as well through the EIR amortization process.
Amortized cost is calculated by taking into account any discount or premium on acquisition and fees or costs
that are an integral part of the EIR The EIR amortization is included as finance costs in the Statement of Profit
and Loss.
[c] Derecognition
Afinancial liability is derecognized when the obligation under the liability is discharged or cancelled or expired.
When an existing financial liability is replaced by another from the same lender on substantially different
terms, or the terms of an existing liability are substantially modified, such an exchange or modification is
treated as the derecognition of the original liability and the recognition of a new liability. The difference in the
respective carrying amounts is recognized in the Statement of Profit and Loss.
[2.27] FairValueMeasurement
Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction
between market participants at the measurement date. Normally at initial recognition, the transaction price is the
best evidence of fair value.
However, when the Company determines that transaction price does not represent the fair value, it uses inter-
alia valuation techniques that are appropriate in the circumstances and for which sufficient data are available to
measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable
inputs.
All financial assets and financial liabilities for which fair value is measured or disclosed in the financial statements
are categorized within the fair value hierarchy. This categorization is based on the lowest level input that is
significant to the fair value measurement as a whole :
* Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities.
* Level 2-Valuation techniques for which the lowest level input that is significant to the fair value measurement
in directly or indirectly observable.
* Level 3-Valuation techniques for which the lowest level input that is significant to the fair value measurement
in unobservable.
For financial assets and financial liabilities that are recognized at fair value on a recurring basis, the Company
determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization at the
end of each reporting period.
[2.28] Financial Risk Management
The entity’s activities expose it to market risk, liquidity risk and credit risk. In order to minimize effects of the above,
various arrangements are entered into by the entity. The following table explains the sources of risk and how the
entity manages the risk in its financial statements.
Note 39 Employee Benefits
[39.1]
[a] Leave Obligation:-The Company provides for encashment of leave or leave with pay subject to certain
rules. The employees are entitled to accumulate leaves subject to certain limits for future encashment. The
liability is provided on the basis of number of days of accumulated leave at each Balance sheet date on
actuarial valuation. The scheme is unfunded. The amount of provision for leave encashment as on 31st March,
2025 is Rs. 1054.97 Lakhs (Rs 1013.49 Lakhs) is presented as current and non-current as per actuarial
valuation basis.
[b] Medical Benefits:The Medical benefits for the employees for domiciliary treatment is for a block of three
years and shall lapse yearly thereafter if the concerned employee does not avail it. The liability towards such
unveiled quantum of Medical benefits has been determined on actual basis instead of actuarial valuation
method since the eligible amount will remain fixed during the next block. The total amount of liability as on 31st
March, 2025 is Rs 165.63 Lakhs(Rs177.68 Lakhs) has been taken into accounts.
[39.2] Post employment obligation- Defined benefits plans:
[a] Gratuity:- The Company has an obligation towards Gratuity payable to eligible employees as per the
Payment of Gratuity Act,1972. The plan is being managed by a separate trust created for the purpose and
obligation of the Company is to make contribution to the trust based on actuarial valuation. The scheme is
funded.
[b] Post retirement Medical Scheme:- Under the scheme employee gets onetime benefits subject to certain
limit of amount. The liability for this is determined on actual cost. The scheme is unfunded.
[c] Pension fund:- The Company has a defined benefit pension fund for certain eligible employees. The
scheme is managed by a separate trust created for the purpose. However since as on 31.03.25 there is no
eligible members of this fund , the present value of obligation at the end of the year is Rs Nil.
The Company offsets tax assets and liabilities if and only if it has a legally enforceable right to set off current tax assets and current
tax liabilities and the deferred tax assets and deferred tax liabilities related to income taxes levied by the same tax authority.
Note 47.2
During the year ended 31st March 2025, there is no liability in respect of Assam and West Bengal Agricultural Income Tax as the
same has been waived by the respective State Governments. Further in view of the loss incurred by the company there is no
liability in respect of Income Tax Act, 1961
Pending transfer of Assets and Liabilities of Engineering and Electrical Division to two 100% subsidiaries incorporate in the name
of Yule Engineering Ltd and Yule Electrical Ltd as per Sanctioned Rehabilitation Scheme (SRS) all transactions for the year ended
31st March 2025 related to aforesaid divisions entered into by the Company in the Name of Andrew Yule & Company Ltd. (AYCL)
have been accounted for in the Books of Accounts. There is a proposal for closure of Yule Engineering and Yule Electrical LTd
Note 52
Other Receivables includes Rs 85.96 Lakhs paid as Electricity duty which is considered receivable vide Circular Number233-IR/O/
IM-4/2003 dated 25th February, 2014 issued by Govt of West Bengal under “West Bengal Industrial Renewal Scheme, 2001” stated
that the amount paid as electricity duty under the Provisions of Bengal Electricity Rules, 1935 shall be waived for period of five
years with effect from 31st March, 2006.However as a matter of abundance caution the same has been provided in the Accounts.
Note 53
The moratorium period in respect Zero rated unsecured Redeemable Bond of Rs295.00 Lakhs ( PY Rs295.00 Lakhs) (Original
Value RS 305 Lakhs and 6 % cumulative Redeemable Preference Shares of RsNil (PY Rs153.30Lakhs)(original Value Rs 204.40
lakhs), of M/s Webfil Ltd has expired on 21/12/2022 and 01/04/2022 respectively. Dividend on Cumulative Preference Shares
of Rs 161.68 Lakhs will be accounted for as and when they will be realized However M/s Webfil ltd has submitted a repayment
schedule , which was duly approved by the competent authority of Andrew Yule & Co. Ltd , as under.
Expenditures in the nature Rent,Electricity, Security Services required for maintenance of the assetsof erstwhile Hooghly Printing
Co are booked under corporate division w.e.f 04/06/2022.
Note 55
The Company follows the practice of inspection of individual current or non-current asset by a scrap committee before declaring the
same as scrap and ultimately putting the same for sale.
Note 56
The liability for payment of Gratuity as per the Provisions of the Act is considered for the Company as a whole and not Unit/Division
wise.
Note 57
The company accounts for investment loss & overall loss if any in respect of Provident fund contribution to Exempted Trust Fund
on actual receipt of claim from the trustees of the said fund
Note 58
Capital WIP includes nurturing & related expenses of young tea plants amounting to Rs 5932.97 Lakhs (Rs8741.85 Lakhs in 2023¬
24) in compliance with IND-AS.
Note 59
For renewal of land lease of three tea gardens in Dooars, Govt, of W.B. have asked for salami of Rs 177.66 Lakhs, which has been
taken up by AYCL for waiver with local State Govt. authorities as well as with higher Govt. Authorities at Kolkata. AYCL is hopeful for
settlement of the issue in favour of the Company which is also indicative from renewal of lease for another Garden of AYCL without
payment of salami.
As the matter is related to Govt. & Quasi Govt-Authorities/Autonomous body (as applicable) and though the applications of the
Company for waiver of the demands have been turned down, AYCL has again represented the matter before the GOWB which is
pending. Further AYCL has obtained a legal opinion from a renowned solicitor firm and based on which have included total amount
of Rs177.66 Lakhs has been included in “Claims against the company not acknowledged as debt” as stated in note no. 40.
Note 60
The Company has system of seeking year ending balance confirmation certificates from Debtors and Creditors.However.the
company has maintained the figures available in accounts for cases wherein, no response from Debtors /creditors is received.
Note 61
“Balance With statutory Authorities” under Note 15 “Other Current Assets” includes a sum of Rs 42.97 Lakhs towards refund receivable
from Provident Fund Authorities in pursuant with an order issued by erstwhile Board of Industrial & Financial Reconstruction ( BIFR)
in F.Yr 2015-16. A claim in this regards has already been lodged with Central provident Fund (PF) authorities who in turn have taken
up the same with concerned regional Provident Fund Authorities. This being a due from Government Department .However, as a
matter of abundant precaution the aforesaid amount has been provided in Accounts.
Note 62
As approved by the Board of Directors in their meetings date 12/11/2022 & 05/01/2023 , the Land , Building , Plant & machinery
including Electrical Installations of the Three Units of Electrical Kolkata Operations were decided to be disposed off. Accordingly
during the finalization of the Annual Accounts for the Financial Year 2024-25, in respect of land & building, the company is yet to
receive approval from GOI and also is contemplating for alternate use and hence the said asset has been classified under Property
, Plant & equipment . In respect of Plant & Machinery since the company is in the process of conducting auction for disposal
therefore following the principles laid down in INDAS 105 , the said assets were treated as “ Assets held for Sale”.
Since the realizable value of the said assets which are yet to be disposed off as on 31st March, 2025 are not readily available the
carrying amount has been charged off as gains and losses arising from continuing operation and presented as gains or losses
recognised in relation to re measurement of fair Value of assets in Note 35 “ Other Expenses “ of Rs 41.14 lakhs
Ministry of Heavy Industries , GOI vide letter dated 21st January, 2025 had conveyed the approval of the competent authority
regarding transfer of 1012 Sq. mt land of Electrical-Chennai Operations (E-CO) to Chennai Metro Rail Limited (CMRL) as per
agreed terms and conditions. Based on the above approval Registration of Land to CMRL Authorities was completed on 19.03.2025
and CMRL authorities had handed over two Cheques totaling to Rs.19,97,80,250/- (Rupees Nineteen crore ninety-seven lakh
eighty thousand two hundred and fifty only) net of TDS of Rs 2017982/- as compensation for land and structure value which was
deposited at KVB bank, Adyar Branch on the same day i.e. 19.03.2025.
Accordingly an amount of Rs 19,60,68,749/- has been recognized as Gain on Land Acquisition by Government of India and Rs
56,19,123.96 as Profit on sale of Fixed Assets after adjustment of carrying Amount as appearing in the Books of account.in “Note-
29” ’’Other Income” . No Income Tax liabilities has been considered based on opinion obtained from Legal Firm.
Note-64: An amount of Rs 287.58 Lakhs was transferred from Advance account land compensation and has been recognized as
Gain on land Acqusition by Government of Assam in “Note-29” “Other Income”after completion of physical handing over in the
current period ending 31.03.2025.
In addition to the above an amount of Rs 97.30 Lakhs has been recognized as Gain on land Acqusition by Government of Assam
in “Note-29” “Other Income”after completion of physical handing over in the current period ending 31.03.2025. Being Agricultural
Land both the above gains is exempt from the purview of Income Tax and therefore no Tax liabilities has been considered with
respect to the above gains.
Note 65
The Company has adopted INDAS-116 effective 01/04/2019 In the following manners:
(a) The standards have been applied to only such cases wherever executed lease agreements and/or Notifications issued by the
concerned lessor Government re in hands of the Company and for the balance period of such lease as on 01/04/2019, except for
cases mentioned in (b) below.
(b) In case of lease of lands from the Government of Assam for the Tea gardens in Assam, the Company, in conjunction with Indian
Tea Association, has noted that, section 9 of the Assam Land and Revenue Regulation 1886 provides and lessee, righ to fuse,
occupancy and other relevant rights subject to payment of revenues, taxes, cesses and rates from time to time as may due in
respect of said land and thus, there is no fixed or defined period of lease. As such, INDAS 116 should not accordingly be applicable
in case of Assam.
Note 66
The company has not used Bank Borrowings for any other purpose other than those for which the said borrowings are sanctioned
and taken as at 31.03.2025
Note -67
The Company has not advanced/ loaned/ invested funds nor has received any fund from any person/entity (including foreign)
for directly or indirectly lending or investing in other person or entity on behalf of the ultimate company/funding company or has
provided any guarantee/security on behalfofthe ultimate beneficiary.
Note-68
Statements of current assets submitted to bank are in agreement with booKs of Accounts. Except for Engineering Division of the
company since there is no lending bank , the question of such statement does not arise.
Note-69 Other Regulatory Information
(i) There is no Immovable Property which is not held in the name of the Company.
(ii) The Company does not have any Benami property, where any proceeding has been initiated or pending against the
Company for holding any Benami property.
(iii) The Company does not have any transactions with companies struck off.
(iv) 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.
(v) 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
(vi) The company has not traded or invested in Crypto Currency or virtual Currency during the Financial Year
(vii) There are no charges or satisfaction yet to be registered with ROC beyond the statutory period
Note-70
The Company has not been declared a wilfull defaulter by any Financial Institution on the date of Balance sheet
[a] Figures in Bracket are of previous year.
[b] The fig in these accounts have been rounded offto nearest Lakhs of Rupees.
[c] Previous year figures are rearranged and realigned as required.
For N.C.Banerjee & Co. For Andrew Yule & Company Limited
Chartered Accountants
F.No.: 302081E
M.C.Kodali
Partner (M.No.: 056514)
Place : Kolkata SUCHARITA DAS SHRISANJAY VERMA SHRI ANANTA MOHAN SINGH
Date : 29/05/2025 Company Secretary Director Finance Chairman & Managing Director
UDIN : 25056514BMJNFV4026 DIN : 10373225 DIN : 03594804
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