Rights, preferences and restrictions attached to shares
The Company has only one class of issued, subscribed and paid-up equity shares having a par value of ?.1 each. Each shareholder of equity shares is entitled to one vote per share. No dividend is proposed by the Board of directors for the financial year under audit. In the event of liquidation of the Company, the shareholders of equity shares will be entitled to receive the remaining assets of the Company. The distribution will be in proportion to the number of equity shares held by the shareholders.
Upto 15 September 2023 Company was having 13,94,56,800 Shares, on 15 Spetember 2023 Company has Converted its 27,50,000 Warrents into Equity Shares of 1 Rs. Each and also issued Bonus of 2 Shares for 1 Shares Hold on Converted Warrents.
37 FIRST -TIME ADOPTION OF INDIAN ACCOUNTING STANDARDS ("IND AS")
These financial statements, for the year ended 31 March 2024, are the first financial statement, the Company has prepared in accordance with Ind As. For periods up to and including the year ended 31st march, 2024 the Company prepared its financial statements in accordance with accounting standards notified under section 133 of the Companies Act, 2013 (the "Act") read rogether with paragraph 7 of the Companies (Accounts) Rules, 2014 (Indian GAAP).
According, the Company has prepared financial statements which comply with Ind AS applicable for periods ending on or after 31 March 2024, together with the comparative period date as at and for the year ended 31 March 2023, as described in the summary of significant accounting policies. In preparing these financial statements, the Company's opening Balance Sheet was prepared as at April 1, 2022, the Company's date of transition to Ind As. This note explains the principal adjustments made by the Company in restating its Indian GAAP financial statements, including the Balance Sheet as at April 1,2022 and the financial statements as at and for the year ended 31 March 2023
Exemptions applied
Ind AS 101 "First-Time Adoption of Indian Accounting Standards" allows, first-time adopters certain exemptions from the restrospectve application of certain requirements under Ind AS. The Company has applied the following exemptions:
A) Since there is no change in the functional currency, the Company has elected to continue with the carrying value for all of its Property, plant and equipment and Intangible assets as recognised in its Indian GAAP financial as deemed cost at the transistion date.
B) The Company has elected to disclose the following amounts prospectively from the date of transition (Ind As ordinarily requires the amounts for the current and previous four annual periods to be disclosed):
(i) the present value of the defined benefit obligation, the fair value of the plan assets and the surplus or dificit in the plan; and
(ii) the experience adjustments arising on the plan liabilties and the plan assets.
C) Appendix X to Ind As 116 requires an entity to asses whether a contract or arrangement contains a lease. In accordance with Ind As 116 this assessment should be carried out at the inception of the contract or arrangement. However, the Company has used Ind As 101 exemption and assessed all arrangements based for embedded leases based on conditions in place as at the date of transition.
Explanatory Notes to the transition from previous GAAP to Ind AS:(a) Re-measurement cost of net defined liability:
Both under Indian GAAP and Ind As, the Company recognised costs related to its post-employment defined benefit on an actuarial basis. Under Indian GAAP, the entire cost, including actuarial gains and losses, are charged to Statement of Profit and Loss. Under Ind As, re-measurements comprising of actuarial gains and losses, interest on the net defined benefit liability immediately in the Balance Sheet with a corresponding debit or credit to retained earnings through P&L.
(b) Other Comprehensive Income
Under Indian GAAP, the Company has not presented other comprehensive Income (OCI) separately. Hence, it has reconciled Indian GAAP Statement of Profit and Loss to Statement of Profit and Loss as per Ind AS. Further, Indian GAAP Statement of Profit and Loss is reconciled to total comprehensive income as per Ind AS.
(c) Deferred Tax Adjustments:
Indian GAAP requires deferred tax accounting using the income statement approach, which focuses on differences between taxable profits and accounting profits for the period. Ind AS 12 requires entities to account for deferred taxes using the Balances Sheet approach, which focuses on temporary differences between the carrying amont of an asset or liability in the Balance Sheet and its tax base. The applicatoin of Ind AS 12 approach has resulted in recognition of deferred tax on new temporary difference which was not required under Indian GAAP. In addition, the various transitional adjustments lead to temporary difference, According to the accounting policies, the Company has to account for such differences. Deferred tax adjustements are recognised in co-relation to the underlying transaction either in retained earnings or a seperate component of equity. Further, tax credits in the form of minimum alternate tax credit entitlement is classified as differed tax under Ind AS.
(d) Statement of Cash Flow
The Transition from Indian GAAP to Ind AS does not have material impact on the statement of Cash Flow
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