k. PROVISION FOR INCOME TAX

(i) Current Tax is the amount of Tax payable on the taxable income for the year as determined
in accordance with provision of Income Tax Act. 1961.

(ii) Deferred tax resulting from “timing difference” between book and taxable profit is accounted
for using tax rates and laws that have been enacted or subsequently enacted as on the
balance sheet date. The Deferred tax asset is recognized and carried forward only to the
extent that there is a reasonable certainty that the asset will be realized in future, however
where there is unabsorbed depreciation or carry forward of losses, deferred tax assets are
recognized only if there is a virtual certainty of realization of such assets supported by
convincing evidence that there will be sufficient future taxable income available to realize the
assets.

Security

(i) First charge by way of Hypothecation in favour of SIDBI of all borrower''s movables, including movables,
plant, machinery, machinery spares, tools & accessories Office equipments, computers, furnitutes
and fixtures, MFA, etc. acquired/ to be acquired under the project/ scheme.

(ii) First charge by way of mortgage in favour of SIDBI of all that piece and parcel of Borrower''s industrial
use non-agricultural land bearing block/survey no. 347 paiki, admeasuring 19,200 Sq.Mtrs, situated
lying and being at village-lunej, Taluka-Khambhat, Registration district-Anand and sub district-
Khambhat together with factory shed, building and structure thereon present & future.

(iii) Collateral Security of all the other movable assets of the Company and additional FD of Rs 40.00
lakhs.

(iv) Personal Guarantee of the Promoter Directors

The Disclosure in respect of the amounts payable to Micro and Small Enterprises have been made in the
financial statements based on the information received and available with the Company. Further, in view of
the Management, the impact of interest, if any, that may be payable in accordance with the provisions of the
Act is not expected to be material. The Company has not received any claim for interest from any supplier
as at the balance sheet date. These facts have been relied upon by the auditors.

Note-26

Other Statutory Disclosures / Additional Regulatory Information:

The following disclosures are given in compliance with the requirements of Schedule III to the Companies
Act, 2013, as amended, and are to be read together with the other notes forming part of the financial
statements

Unless otherwise stated, the management has represented that no reportable transaction/event exists
under the respective clauses. The disclosures have been drafted parimateria with the requirements of
Schedule III and may be suitably modified based on the final audited financial statements of Technichem
Organics Ltd.

a. Title deeds of Immovable Properties not held in the name of the Company

The title deeds of all immovable properties, as disclosed in the financial statements under Property,
Plant and Equipment / Investment Property / Non-current assets held for sale, are held in the name of
the Company. Accordingly, no disclosure is required in respect of immovable properties whose title
deeds are not held in the name of the Company.

f. Benami Property

No proceedings have been initiated or are pending against the Company for holding any benami
property under the Benami Transactions (Prohibition) Act, 1988 and the rules made thereunder.
Accordingly, no disclosure is required in this regard.

g. Borrowings secured against Current Assets

(i) During the year the company has been sanctioned working capital limits in form of cash credit of
Rs. 750.00 lakh from a bank secured against inventories and trade receivables. We have verified
and reconciled the periodical statements sent to the bank with the books as mentioned below.

(ii) The Company has not been declared as a willful defaulter by any bank, financial institution or
other lender. Accordingly, no disclosure is required in this regard.

h. Relationship with Struck-off Companies

The Company has not entered into any transactions with companies struck off under section 248 of
the Companies Act, 2013 or section 560 of the Companies Act, 1956. Further, there are no balances
outstanding with such companies as at the reporting date.

i. Registration of Charges or Satisfaction with Registrar of Companies

There are no charges or satisfaction of charges which are yet to be registered with the Registrar of
Companies beyond the statutory period. Accordingly, no disclosure is required in this regard.

j. Compliance with number of layers of companies

The Company has complied with the provisions relating to number of layers prescribed under section
2(87) of the Companies Act, 2013 read with the Companies (Restriction on Number of Layers) Rules,
2017.

Where the Company does not have any subsidiary company, the following sentence may be retained:
''The Company does not have any subsidiary company and hence the said disclosure is not applicable.''

l. Compliance with approved Scheme(s) of Arrangements

No scheme of arrangement has been approved by the competent authority under sections 230 to 237
of the Companies Act, 2013 during the year. Accordingly, no disclosure is required in this regard.

Where a scheme has been approved, the Company shall disclose that the accounting effect of the
scheme has been given in the books of account in accordance with the scheme and in accordance
with applicable accounting standards; any deviation shall be explained.

m. Utilisation of borrowed funds and share premium

A Funds advanced/loaned/invested through Intermediaries: The Company has not advanced, loaned
or invested funds, whether borrowed funds, share premium or any other source or kind of funds,
to any person or entity, including foreign entities, with an understanding, whether recorded in
writing or otherwise, that such person or entity shall directly or indirectly lend or invest in other
persons or entities identified by or on behalf of the Company, or provide any guarantee, security
or the like on behalf of ultimate beneficiaries.

B. Funds received from Funding Parties: The Company has not received any funds from any person
or entity, including foreign entities, with an understanding, whether recorded in writing or otherwise,
that the Company shall directly or indirectly lend or invest in other persons or entities identified by
or on behalf of such funding party, or provide any guarantee, security or the like on behalf of
ultimate beneficiaries.

Accordingly, no disclosure is required in respect of Intermediaries / Funding Parties / Ultimate
Beneficiaries.

n. Undisclosed Income

The Company has not surrendered or disclosed any transaction, not recorded in the books of account,
as income during the year in tax assessments under the Income-tax Act, 1961, including search,
survey or any other relevant provisions. Accordingly, no disclosure is required in this regard.

o. Corporate Social Responsibility

The provisions of section 135 of the Companies Act, 2013 relating to Corporate Social Responsibility
are not applicable to the Company for the year. Accordingly, no CSR disclosure is required.

Where CSR is applicable to the Company, the following table may be retained and completed based
on audited figures.

q. Borrowings not used for specific purpose

The Company has utilised borrowings from banks and financial institutions for the specific purpose
for which such borrowings were obtained. There are no instances where borrowings were not used
for the specific purpose for which they were taken at the balance sheet date.

V. Provisions for losses of subsidiary companies

Not Applicable, since the company has no any subsidiary company.

Note-28

The balances of Loans and advances, debtors and creditors are subject to balance confirmation by the
respective parties, and necessary adjustment if any will be made on its reconciliation.

Estimated amount of contract as per the Management remaining to be executed on capital account and not
provided for Rs. Nil (Rs. Nil)

There amounts outstanding as at 31^st March, 2026, due to supplier who constitute a Micro, Small and
Medium Enterprises as per MSMED Act, 2006 is Rs. 104.65 lakhs (Rs. 139.39 lakhs)

Note - 37

Segment Reporting

The company is engaged in manufacturing and selling of chemical products. Since the company''s business
falls within a single business segment, no further information for business segment is required.
Secondary Segment-Geographical segment
Information of Geographical segment

Note - 38

The figures of the previous year have been regrouped wherever necessary to make them comparable with
current year figures. Figures in Bracket indicate previous year figures.

h. PROVISION FOR INCOME TAX

(i) Current Tax is the amount of Tax payable on the taxable income for the year as determined
in accordance with provision of Income Tax Act. 1961.

(ii) Deferred tax resulting from “timing difference” between book and taxable profit is accounted
for using tax rates and laws that have been enacted or subsequently enacted as on the
balance sheet date. The Deferred tax asset is recognized and carried forward only to the
extent that there is a reasonable certainty that the asset will be realized in future, however
where there is unabsorbed depreciation or carry forward of losses, deferred tax assets are
recognized only if there is a virtual certainty of realization of such assets supported by
convincing evidence that there will be sufficient future taxable income available to realize the
assets.

Note: 1 - Primary Security

First charge by way of Hypothecation in favour of SIDBI of all borrower''s movables, including movables,
plant, machinery, machinery spares, tools & accessories Office equipments, computers, furnitutes and
fixtures, MFA, etc. acquired/ to be acquired under the project/ scheme

First charge by way of mortgage in favour of SIDBI of all that piece and parcel of Borrower''s industrial use
non-agricultural land bearing block/survey no. 347 paiki, admeasuring 19,200 Sq.Mtrs, situated lying and
being at village-lunej, Taluka-Khambhat, Registration district-Anand and sub district-Khambhat together
with factory shed, building and structure thereon present & future

Collateral Security

First charge by way of Hypothecation in favour of SIDBI of all borrower''s movables, including movables,
plant, machinery, machinery spares, tools & accessories Office equipments, computers, furnitutes and
fixtures, MFA, etc. acquired/ to be acquired under the project/ scheme and FD of Rs. 40.00 Lakhs

First charge by way of hypothecation of whole of current assets, both present & future

Personal Guarantee of Shri Bharat Jayantilal Pandya and Shri Anil Jayantilal Pandya

Note: 2 - Loan Sanctioned in the name of the director.

Note: 3 - Secured against Mortgage of Immovable Property (Residential home & Office in the name of
Directors & relatives)

The Disclosure in respect of the amounts payable to Micro and Small Enterprises have been made in the
financial statements based on the information received and available with the Company. Further, in view of
the Management, the impact of interest, if any, that may be payable in accordance with the provisions of the
Act is not expected to be material. The Company has not received any claim for interest from any supplier
as at the balance sheet date. These facts have been relied upon by the auditors.

Note-28

ADDITIONAL REGULATORY INFORMATION

I. Title deeds of Immovable Property not held in the name of the Company

The company does not possess any immovable property, whose title deeds of Immovable property
not held in the name of the company during the financial year ended March 31, 2025 and March 31,
2024.

II. Revaluation of Property, Plant and Equipment

The company has not revalued any of its property, plant and equipment during the years ended March
31,2025 and March 31, 2024.

Hence, the amount of change in gross and net carrying amount due to revaluation and impairment
losses/reversals is nil.

IV. Intangible assets under development ageing schedule / completion schedule

The company does not possess any of its Intangible assets under development during the years
ended March 31, 2025 and March 31, 2024.

V. Details of Benami Property held

No proceedings have been initiated or pending against the company for holding any benami property
under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder in the
financial years ended March 31, 2025 and March 31, 2024.

VI. Security of current assets against borrowings

The company has not borrowed from banks or financial institutions on the basis of security of current
assets as primary security.

VII. Wilful Defaulter

As informed to us, the company has not been declared as a wilful defaulter by any bank or financial
institution or other lender in the financial years ended March 31, 2025 and March 31, 2024.

VIII. Relationship with Struck off Companies

As informed to us and on the basis of verification, no any transactions entered with companies whose
names have been struck off under section 248 of Companies Act, 2013 or section 560 of companies
Act, 1956 in the financial years ended March 31,2025 and March 31, 2024.

IX. Registration of charges or satisfaction with Registrar of Companies (ROC)

During the audit period, there is no any registration of charges or satisfaction of charged with Registrar
of companies.

X. Compliance with number of layers of companies

Not Applicable, since the company has no any subsidiary company.

XII. Compliance with approved Scheme(s) of Arrangements

During the period ended March 31, 2025 and March 31, 2024, the company has not proposed any
scheme.

XIII. Utilisation of borrowed funds and share premium

The company has not received/advanced any fund from/to any parties (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 funding party (“Ultimate Beneficiaries”) or provide any guarantee,
security or the like on behalf of the Ultimate Beneficiaries.

XIV. Other additional information to be disclosed by way of Notes to Statement of Profit and Loss
I. Adjustments to the carrying amount of investments

During the period ended March 31, 2025and March 31, 2024, the company has not adjusted in
the carrying amount of investment.

Note - 36

Estimated amount of contract as per the Management remaining to be executed on capital account and not
provided for Rs. Nil (Rs. Nil)

Note - 37

There amounts outstanding as at 31st March, 2025, due to supplier who constitute a Micro, Small and
Medium Enterprises as per MSMED Act, 2006 is Rs .139.39 lakh (Rs 221.52 Lakh)

Note - 38

Segment Reporting

The company is engaged in manufacturing and selling of chemical products. Since the company''s business
falls within a single business segment, no further information for business segment is required.

Note - 39

The figures of the previous year have been regrouped wherever necessary to make them comparable with
current year figures. Figures in Bracket indicate previous year figures.

As per our report of even date attached FOR AND ON BEHALF OF THE BOARD OF DIRECTORS

For, DEVPURA NAVLAKHA & CO.

CHARTERED ACCOUNTANTS

FRN : 121975W BHARAT PANDYA ANIL PANDYA

CHAIRMAN AND WHOLETIME DIRECTOR

(RAHUL R. MODI) MANAGING DIRECTOR (DIN 00921815)

PARTNER (DIN 00921775)

MEMBERSHIP NO.184321

UDIN:24184321BKABZF5817 NARAYANSINGH DEORA PARTH B. THAKKAR

CHIEF FINANCIAL OFFICER COMPANY SECRATORY

Date : 28/05/2025
Place : AHMEDABAD

Hole: t-Primary Swtully

Fir*] charge try wry of HypoWdUon In favour of SIDSl of all borrowers m&uaEtes. ¦hCliidMg mOvntilm p:.inl, machinery. marJini.^Lry spurns. UtiU A accessories Office equlpnwiis_L computer*. fumiluiet and Untunes, Uf,\, ele acquired/ to tic qcij uined under tim tr^ocV temp

Fi^''f cfwrtH? try wjyol morfsiiuo In Iwowol 5HMI 4t eN ir.ii p*ece and parcel of Bwro*»r^,i Indwlnat uw non-agricultural in no soaring oiocUsunioy no J*7 pttkf. admeusuilng I9.IW Sq.Wtra, sltualed lying and bong at viiags-iuiii;. Taluha-Khambhat. Registrantn Plainer-Anand and tut) district Khambhat togcinar vwth factory (hod. building and anjciur* inetnon ptrtsnni 4 future CfliMttaftocurttv

Firtt Cftaitfl* by way of Hypothecs!**) m (Crvuul ef SlUB! ul oil tWIqwtff''S mpvtWos. Including ingvstiles. pleot. msebinery, machinery spares tool* A occrssonOs Office e

TEJKeiH* no Lakhs

First Char JO try way of hypothecs fck) cJ whore of Cufrenj iitwh Uslfi piifjcn! A tulurc Personal GuSfsnhie of Srm Sturm joyontiial Pandya am) Sim Ami Juyanlilal Pandyo Norn j - Loan Saocttcpnnj m flu name ur 11m dirtcior

Note 3 - Secured agulnil Morlpugo of Immovoblt Property (Residentisl homo & Office m the name of Director* A relative*)

I, Title deeds of Immovable Property not held in the name of the Company

The company does not possess any immovable property, whose title deeds of Immovable property not held in the name of the company during the financial year ended March 31.2024 and March 31,2023.

It. Revaluation of Property, Plant and Equipment

The company has not revalued any of its property, plant and equipment during the years ended March 31.2024 and March 31,2023.

Hence, the amount of change in grass and ret carrying amount due to revaluation and impairment losses/reversals is nil.

IV. Intangible assets under development ageing schedule / completion schedule

The company does not possess any of its Intangible assets under development during the years ended March 31.2024 and March 31.2023

V, Details of Senamj Property held

No proceedings have been initialed or pending against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1088 (45 of 1988), and rules made thereunder in the financial years ended March 31. 2024 and Mafdh 31,2023,

VI. Security of current assets against borrowings

The company has not borrowed from banks or financial institutions on the basis of security of current assets as primary security.

VII. Wilful Defaulter

As informed to us. the company has nol been declared as a wilful defaulter by any bank or financial institution or other lender in ihe financial years ended March 31,202*1 and March 31.2023,

VIII. Relationship with Struck off Companies

As informed to us and on the basis of verification, no any transactions entered with companies whose names have been struck off under section 248 of Companies Act, 2013 or section 560 of companies Act, 1956 in Ihe financial years ended March 31. 2024 and March 31, 2023

JX. Registration of charges or satisfaction with Registrar of Companies {ROC)

During the audit period, there is no any registration of charges or satisfaction of charged with Registrar of companies.

X, Compliance with number of layers of companies

Not Applicable, since the company has no any subsidiary company.

XII. Compliance with approved Scheme(s) of Arrangements

During the period ended March 31, 2024 and March 31, 2023, the company has not proposed any scheme.

XIH. Utilization of borrowed funds and share premium

The company has not race ived/adva need any fund from to any parties (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 funding parly (“Ultimate Beneficiaries '') or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

Other additional information to be disclosed bv wav of Notes to Statement of Profit and Loss U Adjustments to the carrying amount of investments

During the period ended March 31, 2024 and March 31, 2023, the company has not adjusted in the carrying amount of investment.

II. Net gain or Joss on foreign currency translation (other than considered as finance cost)

vi Provisions for losses of subsidiary companies

Not Applicable, since the company has no any subsidiary company

VN. Corporate social responsibility activities''.

The company is not covered under section 135 of the Companies Act. 2013 for the financial years ended March 31,2024 and March 31.2023.

VtIL Undisclosed income’.

There are no any transactions which are not recorded in the books of accounts.

IX. Details of crypto currency or virtual currency''.

The company has not traded or invested in crypto currency or virtual currency during the financial years ended March 31 2024 and March 31,2023.

Mote Mo:

(2£) The balances of Loans and advances, debtors and creditors are subject to balance confirmation by the respective parties, and necessary adjustment if any will be made on its reconciliation

(35) Estimated amount of contract as per the Management remaining to be executed on capital account and not provided for Rs. Nrl (Rs. Nil)

(36) There amounts outstanding as at 31 si March, 2024. due to supplier who constilute a Micro. Small and Medium Enterprises as per MSMED Act, 2006 is Rs 221.52 lacs (Previous year -Rs 302 96 Lacs)

(37) The company was initially allotted Incorrect PAN -AABFT0997 J i e under firm category instead of company. After the instructions of the Income tax officer (ITO). application for correction was made and new correct PAN- AACCT2Q27K was issued, under which Income Tax returns are filed from AY 2006-07 onwards During the year 2022-23 the National Faceless Assessment Authority had issued Assessment Orders for AY 2015-16 and 2017-18 under PAN - AABFT0997J on the basis of information from export data from Income tax internal sources and have raised & issued demand notices

Against these orders. The Company had hied petitions in the High Court of Gujarat. The Honorable Judges of the High Court on 6ⁱⁿ May. 2024 have disposed the matter and set aside I he assessment orders and the demand notices for both the years issued by the assessing authority.

Further during (he year under audit, the company has received notice for the AY 2016-17 and AY 2016-19 from Ihe Income tax department suggesting that income chargeable to tax has escaped within Ihe meaning of section 147 of the Act in respect of PAN No AABFT0997J, which was allotted to company initially under FIRM category and subsequently under Ihe instructions of the |unsdictional assessing officer it was corrected and new PAN No. AACCT2027K was allotted to the company The company has filed a detailed reply of Ihe notice for AY 2015-17 and AY 201Q19 against the same reply the assessment proceedings which were initiated u/s 147 have been dropped on 23/03/2024

(38) Segment Reporting

The company is engaged in manufacturing and selling of chemical products Since the company''s business falls within a single business segment, no further information for business segment is required.

(39) The figures of the previous year have been regrouped/reclassified wherever necessary to make them comparable with current year figures.