Shanti Gold International Ltd. ಖಾತೆಯ ಉಪಯುಕ್ತ ಮಾಹಿತಿ

Mar 31, 2024

11) PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS

Provision is recognised when the company has present obligation as a result of past event(s)
and it is probable that an outflow of resources will be required to settle the obligation, in
respect of the estimate made

Provisions are not discounted to its present value and are determined based on best estimate
required to settle the obligation at reporting date. These estimates are reviewed at each
reporting date and adjusted to reflect the current best estimates.

Contingent liabilities are disclosed unless the possibility of outflow of resources is remote.
Contingent asset is neither recognised nor disclosed in the financial statement.

12) IMPAIRMENT OF ASSETS

An asset is treated as impaired when the carrying cost of asset exceeds its recoverable
value. An impairment loss is charged to the Statement of Profit and Loss in the year in which
an asset is identified as impaired.

An impairment loss is charged to the Profit and Loss Statement in the year in which an asset
is identified as impaired. The impairment loss recognised in prior accounting period is
reversed if there has been a change in the estimate of recoverable amount.

After impairment, depreciation is provided on the revised carrying amount of the asset over
its useful life.

13) Foreign Currency Transactions
Initial recognition:

Foreign currency transactions are recorded in the reporting currency by applying to the
foreign

Currency amount, the exchange rate between the reporting currency and the foreign
currency

Prevailing as at the date of the transaction.

Exchange differences on settlement:

Exchange differences arising on the settlement of monetary items at rates different from
those at

Which they were initially recorded during the period, or reported in previous financial
statements,

Are recognized as income or as expenses in the period in which monetary items are settled.
Reporting at balance sheet date:

At the balance sheet date, foreign currency monetary items are reported using the closing
rate. Non-monetary items which are carried in terms of historical cost denominated in a
foreign currency are reported using the exchange rate at the date of the transaction.

14) Statement of Cash Flows

Cash flows are reported using the indirect method, whereby profit / loss before
extraordinary items and tax for the period is adjusted for the effects of transactions of non¬
cash nature, any deferrals or accruals of past or future operating cash receipts or payments.
Cash flows from operating, investing and financing activities of the Company are
segregated. Cash and cash equivalents for the purpose of cash flow statement comprise of
cash at bank, cash in hand and short-term deposits with an original maturity of three
months or less, as reduced by bank overdrafts.

C. NOTES TO ACCOUNTS

1. In the opinion of the Board, the current assets, loans and advances are approximately of the
value stated, if realised, in the ordinary course of business. The provision for all known
liabilities is adequate and not in excess of the amount reasonably necessary.

2. '' BALANCES IN RESPECT OF LOANS, ADVANCES AND DEPOSITS MADE

Debit balances, if any in respect of loans, advances and deposits made, are subject to
confirmation. Their balances are reflected in the accounts as appearing in the general ledger and
unfavourable adjustments, if any, not currently ascertainable will be considered in the
subsequent financial years.

3. CONTINGENCIES AND EVENTS OCCURRING AFTER BALANCE SHEET DATE

There are no contingencies or events occurred between the Balance Sheet date and reporting
date.

4. EFFECT OF CHANGES IN FOREIGN EXCHANGE RATES

The company has accounted Exports at FOB value at the exchange rate as provided by customs
on the date of transaction. Any difference on realization of export invoice is recognised as
income/expenditure in the Statement of Profit & Loss. Receivables in respect of exports are
stated at TT buying rate at the end of the year.

D) COMPLIANCE TO CORPORATE SOCIAL RESPONSIBILITY

During the year the company was required to spend a sum Rs. 35,31,538/- as CSR in
terms of the provisions of Section 135 & Sub Sections 1 & 2 to Section 469 of the
Companies Act, 2013 out of which the company has spent in Current Year Rs. 35,31,538/-
on the ongoing project.

E) IMPAIRMENT OF ASSETS

No provision for Impairment loss in terms of Accounting Standard - 28 has been made as
the management is of the opinion that considering the future use of the said assets, the .
fair value of the respective assets will be higher than the value for which they are carried.

I) Employee benefits:-

The Company has adopted the Accounting Standard 15 (revised 2005) on Employee
Benefits as per an actuarial valuation carried out by an independent actuary in •
financials. The disclosures as envisaged under the standard are as under:-

K) WORKING CAPITAL/BORROWING

The Company has obtained borrowings from banks or financial institutions on the basis
of security of Current Assets. The Company has filed Monthly Statements of Current
Assets with Banks &/or Financial Institutions and, the same are in agreement with the
books of accounts.

L) As per the information available with the Company and certified by them, total
outstanding due to Small Enterprises as required to be disclosed under the Micro,
Small and Medium Enterprises Development Act, 2006 as below

M) Rounding Off

All amounts disclosed in the financial statements and notes have been rounded off to
nearest thousands, wherever applicable. Transactions and balances with values below the
rounding off norm adopted by the Company have been reflected as "0." in the relevant
notes to these financial statements.

N) Other Statutory Information

i. The Company does not have any Benami property or any proceeding is pending
against the Company for holding any Benami property.

ii. The Company do not have any charges or satisfaction which is yet to be registered
with Registrar of Companies beyond the statutory period.

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

iv. The Company is not classified as wilful defaulter.

v. The Company doesn''t have any 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.

vi. The Company did not have any transactions with the companies struck off under
Section 248 of Companies Act, 2013 or Section 560 of Companies Act, 1956

vii. The Company is in compliance with the number of layers in accordance with clause
87 of Section 2 of the Act read with Companies (Restriction on number of layers)
Rules, 2017, and there are no companies beyond the specified layers.