The company has entered into arena of Green-Enviro-friendly Infrastructure Development Projects in collaboration with M/s Nice Apartment Constructions Pvt Ltd and BG Technocrats Private Limited (a company engaged in Real Estate Development of Commercial and Residential Projects in Delhi NCR) and made an initial Investment of Rs.5500 Lakhs.

Deferred tax assets and deferred tax liabilities have been offset wherever the Company has a legally enforceable right to set off current tax assets against current tax liabilities and where the deferred tax assets and deferred tax liabilities relate tc income taxes levied by same taxation authority. During the year the Company has decreased its existing Deffered Tax Assets to Rs. 58.71 lakhs (Valued and certified by the Company's Management, Independent Cost Accountant and Relied upon by Auditors The Company is in the business of High End additives and rubber-plastic compounds and accordingly deals in numerous items such as Tin Alloy / Ingots, 2EthylhexylThiogycolate, Tinmate, Hydrogen Peroxide, PVC Resin, Styrene Butadiene Copolymer, Styrene Butadiene Styrene, Methyl Chloride (Gas) etc. Keeping in view the nature of industry and vast number of items, it is not practical for the Company to give item wise break up of different type of products.

Trade receivables are subject to confirmation / reconciliation, consequential adjustment if any and verification from Bank realisation certificates

The carrying amount of trade receivables approximates their fair value, is included in note 37.

The Company's exposure to credit risk and impairment allowances related to trade receivables is disclosed in Note 41.

Terms / rights attached to equity shares

The Company has only one class of equity shares having par value of Re 1 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividend in Indian Rupees. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the Company in proportion to the number of equity shares held by the shareholders, after distribution of all preferential amounts.

Aggregate number of shares issued for consideration other than cash during the period of five years immediately preceding the reporting date:

The Company has not issued any share for consideration other than cash during the period of five year immediately preceding 31 March 2023.

Secured term loans from banks

a) ICICI LAP A/c No. LBDEL00004899038: Vikas Ecotech Ltd. has taken Loan Against Immovable Commercial property from ICICI Bank during Feburary'2019. Repayable in 91 EMI of Rs 8,67,358.00 each & Date of EMI is 05th of suceeding month. The Term loan was secured against Office No. 404, 405, 408,409 & 410 in the Building known as “Express Zone”, Western Express Highway, Malad (East) Mumbai, Maharashtra and the property is in the name of the Company. The current rate of interest is 7.75% p.a.The loan has been fully repaid in October 2022.

b) Covid Loan of Rs. 200 lakhs has been sanctioned by SBI in the first quater of F.Y 2020-21 in order to meet out contigencies arose due to epedamic ongoing covid crisis. The Term Loan was secured by way of hypothecation of stock, receivable, and advance to suppliers and other current assets on pari-passu basis with consortium members. The current rate of interest is 7.40% p.a. The loan shall be fully repaid in June 2022.

c) Covid Loan of Rs. 582 lakhs has been sanctioned by PNB in the first quater of F.Y 2020-21 in order to meet out contigencies arose due to epedamic ongoing covid crisis. The Term Loan was secured by way of hypothecation of stock, receivable, and advance to suppliers and other current assets on pari-passu basis with consortium members. The current rate of interest is 7.30% p.a. The loan shall be fully repaid in July 2022.

Secured Fund Based (Cash Credit, PCFC etc.) & Non Fund Based limits from Banks

- The Company is availing working capital limits under consortium from Punjab National Bank, Bank of Baroda and State Bank of India with Punjab National Bank as lead banker in consortium and others banks are member.

- The Company is availing a cash credit (Hypothetical) limit of Rs. 4,000 Lacs from Punjab National Bank with a sub limit of PC / PCFC / FBP / FBD of Rs. 500 Lacs under the same Cash Credit limit against Hypothecation of stock, receivable, and advance to suppliers and other current assets on pari-passu basis with consortium members. No DP against stock and Book debts exceeding 180 days to be allowed. Margin @ 25% and the current rate of interest are 1year MCLR 7.25% Spread 6.00% i.e. 13.25% p.a. Further, the Company was also availing LC / DA / DP basis non Fund Based Limit of Rs. 2,250 Lacs (which includes both side inter change ability LC to CC for Rs.1,000 Lacs) for procurement of Raw Material and spares. There are Cash Margins @ 15% in the shape of FDR(s) on LC limits.

- Earlier, The Company was also availing Cash Credit limit of Rs. 995 Lacs from Bank of Baroda as on 31.03.2022, later on in current FY 22-23, limits has been reduced to Rs. 730 lacs. The limit is secured by way of hypothecation of stock, receivables & other current assets on pari-passu basis with consortium members. No DP against stock and Book debts exceeding 180 days to be allowed. Margin @ 25% and the current rate of interest are BRLLR 6.75% Strategic Premium 0.25% Spread 6.00% i.e. 13.00% p.a.

- The Company is also availing Cash Credit limit of Rs.1,350 Lacs from State Bank of India with a sub limit of PC / PCFC / FBP / FBD of Rs. 500 Lacs under the same Cash Credit limit. The limit is secured by way of hypothecation of stock, receivables & other current assets on pari-passu basis with consortium members. No DP against stock and Book debts exceeding 180 days to be allowed. Margin @ 25% and the current rate of interest are EBLR 9.15% Spread 4.75% i.e. 13.90% p.a. Further the Company was availing Non Fund Based LC (Import /Inland /DP/ DA/ BG, Buyers Credit) limits of Rs. 400 lacs for procurement of raw material and spares. There are Cash Margins @ 15% in the shape of FDR'(s) on LC limits.

Further, the Fund Based & Non Fund Based limits from Banks are secured by Mortgage of following Collateral Assets:

a) Industrial property at G-30 RIICO Industrial Area, Vigyan Nagar, Shahjahanpur Dist. Alwar, Rajasthan.

b) Property situated at Khasra no. 710/201 in Village Rithala, Delhi owned by Mr. Vivek Garg.

c) A-28 Khasra No.12/10 and 13/6 Village Kamrudin Nagar Nangloi owned by Ms. Seema Garg and Ms. Usha Garg.

d) 770, Khasra No.142/770, situated at Village Khanjawala, New Delhi owned by Ms. Usha Garg

e) Industrial property at G-24-29 RIICO Industrial Area, Vigyan Nagar, Shahjahanpur Dist. Alwar Rajasthan, owned by Company.

f) Industrial Property No. - F-7 & 8, Vigyan Nagar RIICO Indl. Area, Shahjahanpur, Tehsil Neemrana Distt. Alwar, Rajasthan.

Further, the Fund Based & Non Fund Based limits are guaranteed by personal guarantee of the following persons:

a) Mr. Nand Kishore Garg

b) Mr. Vikas Garg

c) Mr. Vivek Garg

d) Mrs. Usha Garg

e) Mrs. Seema Garg

f) Mrs. Namita Garg

The Company is in the business of High End additives and rubber-plastic compounds and accordingly deals in numerous items such as Tin Alloy / Ingots, 2EthylhexylThiogycolate, Tinmate, Hydrogen Peroxide, PVC Resin, Styrene Butadiene Copolymer, Styrene Butadiene Styrene, Methyl Chloride (Gas) etc. Further, the company is also in trading of TMT Bars, Steel, HR Coils, CR Colis, ERW pipes & Coal. Keeping in view the nature of industry and vast number of items, it is not practical for the Company to give item wise break up of different type of products.

Defined benefit plan

The Company operates a defined benefit gratuity plan, wherein every employee, who has rendered at least five years of continuous service, is entitled to the gratuity benefit equivalent to 15 days of total basic salary last drawn for each completed year of service, in terms of Payments of Gratuity Act, 1972. The Company has taken Group Gratuity Scheme for the employees from the LIC of India. Gratuity liability is provided for on the basis of an actuarial valuation on projected unit credit method made at the end of the each reporting period, as required under Ind-AS 19 - Employee Benefits.

The sensitivity analyses are based on change in above assumption while holding all other assumptions constant. The changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions, the same method (present value of the defined benefit obligation calculated with projected unit credit method at the end of the reporting year) has been applied, as has been applied when calculating the provision for defined benefit plan recognised in the Balance Sheet.

34. Operating lease

The Company has taken various premises on operating leases. The underlying agreements are executed for a period generally ranging from one year to three years except long term leases, renewable at the option of the Company and the lessor. There are no restrictions imposed by such leases and there are no sub leases. The rent charged and minimum rental payments to be made in the future in respect of these operating leases are as under:

b) Claims not acknowledged as debts

With respect to income tax matters, there are no disputed matters pending before any appellate authorties. However, there are certain routine assessments/rectifications matters related to credit mismatch, rectifications of mistakes apprapent from records etc., which are pending for disposal with juridisctional Assessing officers as on date, for which company has already made adequate representations.

The Company has filed civil suit against ADM Agro Industries Kota and Akola Limited supplier of Soya Bean Oil in Saket Court Delhi (Case No-CS OS No.-198/214) amounting Rs. 99,61,516 due to poor supply of soya bean oil. The Company has suffered a loss due to such poor quality of material supplied by them and non-recovery of money from debtors and it also affect goodwill of the Company. ADM Agro Industries Kota and Akola Limited has also filed winding up petition against the Company in High Court (Case No. CO PET N. 64/2014) due to non-payment of Rs. 41,15,664 along with interest at the rate of 18% from the due date of payment. ADM Agro Industries Kota and Akola Limited has also filed a summary suit for recovery of debts in Tis Hazari Court (Summary Suit No. - C S (OS) 3077/2014).

The Directorate of Enforcement, Delhi Zonal Office, New Delhi has issued a provisional attachment order (“Order") bearing number 04/2020 and file number ECIR/10/DZ-1/2017/16962 under Section 5(1) of the Prevention of Money Laundering Act, 2002 (“PMLA") against our Company and its Promoter/ Director Mr. Vikas Garg and other third parties. Through the said attachment, our bank account UCO Bank at Parliament Street, New Delhi Branch maintained with has been attached for an amount of Rs. 7,15,533/-.

An enquiry from the DGGI was initiated in April'2022 pertaining to verification of certain suppliers, wherein Vikas Ecotech Limited submitted a deposit of Rs. 3.00 crore with the authorities, which is considered as recoverable, if and when the sanctity of the said supplier is verified and the enquiry is concluded favourably. As on balance sheet date the matter is under adjudication.The Income Tax Department has filed an appeal against the Order of Honorable ITAT Delhi with respect to total addition of Rs 339 Lakhs pertains to A.Y 2012-13. Such case is pending before the Honorable Delhi High Court. The total Demand of Income Tax Involves the matter of law whether the compensation received against the compulsory acquisition will be treated as agriculture Income or profit from business as sale of real estate division of the company. The said amount is being reported as contingent liability which is totally based on the outcome of final order of the Honorable Delhi High Court.

* The Company has intended to purchase the property for Rs. 18,25,01,400 at New Rohtak Road, New Delhi. The Company has made the payment of Rs. 17,94,64,646/- for the same till 31 March 2022, which is shown as per Note No. 8 under “other non-current assets" in the Balance Sheet. Balance payment will be done in due course at the time of possession and after successful completion of registration and other legal formalities.

In pursuance of its planning to enter into Green-Enviro-friendly Infrastructure Development Projects, the company has entered into collobolartion agreement with real estate companies and induced funds of Rs. 5500 Lakhs on account of its part contribution. Remaining contribution shall be decided and shall be done at appropriate stages in the project development as required time to time. The said funds contribution has been shown as Investments in Note-6A in the Balance Sheet.

37. Fair value measurement and financial instruments

Financial instruments - by category and fair value hierarchy

The following table shows the carrying amounts of financial assets and financial liabilities, including their levels in the fair value hierarchy:

The following methods / assumptions were used to estimate the fair values:

a) The carrying value of cash and cash equivalents, trade receivables and trade payables and liabilities approximate their fair values mainly due to short-term maturities of these instruments.

b) The fair value of other financial assets and other financial liabilities is estimated by discounting future cash flows using rates applicable to instruments with similar terms, currency, credit risk and remaining maturities. The fair values of other financial assets and other financial liabilities are assessed by the management to be same as their carrying value and is not expected to be significantly different if estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. These are classified as level 3 fair values in the fair value hierarchy due to the inclusion of unobservable inputs.

c) The Company's borrowings have been contracted at floating rate of interest, which resets at short intervals. Accordingly, the carrying value of such borrowings (including interest accrued but not due)

There are no significant unobservable inputs used in the fair value measurement.

Fair value hierarchy

All financial instrument for which fair value is recognised or disclosed are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3: Inputs for assets or liabilities that are not based on observable market data (unobservable inputs)

The following table presents the financial instruments measured at fair value, by level within the fair value measurement hierarchy:

39. Status of Insurance Claim

The company has reported exceptional item on account of fire loss of Unit-II of RIICO Industrial Area, Shahjahanpur, Alwar, Rajasthan, in the financial statement for the year ended 31.03.2017. In the FY 2019-20, the Company has already received insurance claim of Rs. 837.30 lakhs and in accordance with the accounting policies, the Company had accounted the proceeds from insurance claim in the Financial year 2019-20. The Company has already filled objection with respect to short amount of insurance claim received from OIC & matter is still under adjudication with National Consumer Forum, Delhi.

40 b). Information on Segment Reporting pursuant to Ind AS 108 - Operating Segments

Operating segments:

Infra fi Energy

Chemical, Polymers fi Special Additives Real Estate

Identification of segments:

The chief operational decision maker monitors the operating results of its business segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit and loss of the segment and is measured consistently with profit or loss in these financial statements. Operating segments have been identified on the basis of the nature of products fi services.

Segment revenue and results

The expenses and income which are not directly attributable to any business segment are shown as unallocable expenditure (net of unallocable income).

Segment assets and liabilities:

Assets used by the operating segments mainly consist of property, plant and equipment, trade receivables, cash and cash equivalents and inventories. Segment liabilities include trade payables and other liabilities. Common assets and liabilities which cannot be allocated to any of the segments are shown as a part of unallocable assets/liabilities.

The measurement principles of segments are consistent with those used in preparation of these financial statements. There are no inter-segment transfers

3. Segment Capital employed

The assets and liabilities of the Company are used interchangeably amongst segments. Allocation of such assetsandliabilitiesisnotpracticableandanyforcedallocationwouldnot result inanymeaningfulsegregation. Hence, assets and liabilities have not been identified to any of the reportable segments.

4. Major Customers_

For the year ending 31st March 2022, Revenue from One Customer of the Infra Segment represented approximately Rs. 10,453.94 Lakhs of the total revenue.

For the year ending 31st March 2023, Revenue from Two Customers of the Infra & Energy Segment represented approximately Rs. 10661.19 Lakhs and Rs. 12906.86 Lakhs of the total revenue.

Segment revenue, results, assets and liabilities include the respective amounts identifiable to each of the segments and amounts allocated on a reasonable basis.

41. Financial risk management objectives and policies

The Company's principal financial liabilities comprise borrowings, trade payables etc. The main purpose of these financial liabilities is to manage finances for the Company's operations. The Company's principal financial assets include trade and other receivables, cash and cash equivalents, security deposits, etc. that derive directly from its operations.

The Company is exposed to market risk (interest rate risk), credit risk and liquidity risk. The Company's senior management oversees the management of these risks. The senior professionals working to manage the financial risks and the appropriate financial risk governance frame work for the Company are accountable to the Board Audit Committee. This process provides assurance to the Company's senior management that the Company's financial risk-taking activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with Company's policies and Company's risk appetite. All derivative activities for risk management purposes are carried out by specialist teams that have the appropriate skills, experience and supervision. It is the Company's policy that no trading in derivatives for speculative purposes shall be undertaken. The Board of Directors reviews and agrees policies for managing each of these risks which are summarised below:

Market Risk - Interest rate risk

Interest rate risk is the risk that the future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company's exposure to the risk of changes in market interest rates related primarily to the Company's borrowings with floating interest rates.

Exposure to interest rate risks

The Company's interest rate risk arises majorly from the borrowings carrying floating rate of interest. These obligations exposes the Company to cash flow interest rate risk. The exposure of the Company's borrowing to interest rate changes as reported to the management at the end of the reporting period are as follows:

Trade receivables

Customer credit risk is managed by each business unit subject to the Company's established policy, procedures and control relating to customer credit risk management. On adoption of Ind AS 109, the Company uses expected credit loss model to assess the impairment gain or loss. The Company uses a provision matrix to compute the expected credit loss allowance for trade receivables. The provision matrix takes into account available internal credit risk factors such as the Company's historical experience of customers. Based on the business environment in which the Company operates, management considers that the trade receivables are not in default (credit impaired) as there is very good track record against sales realisations and further there is Zero bad debts in past, hence the Company based upon past trends determined that an impairment allowance for loss on trade receivables is not required.

Currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company is exposed to currency risk on account of its borrowings, receivables and other payables in foreign currency. The functional currency of the company is Indian Rupee.

The foreign currency exchange management policy is to minimize economic and transactional exposures arising from currency movements against the US dollar & Euro. The Company manages the risk by netting off naturally-occurring opposite exposures wherever possible, and then dealing with any material residual foreign currency exchange risks if any.

A reasonably possible strengthening (weakening) of the Indian Rupee against US dollar & Euro at reporting date would have affected the measurement of financial instruments denominated in foreign currencies and affected equity and profit or loss by the amounts shown below. This analysis assumes that all other variables, in particular interest rates, remain constant and ignores any impact of forecast sales and purchases.

Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses. The Company's objective is to, at all times maintain optimum levels of liquidity to meet its cash and collateral requirements. The Company principal sources of liquidity are cash and cash equivalents and the cash flow generated from operations. The Company closely monitors its liquidity position and deploys a robust cash management system.

Capital management

Capital includes equity attributable to the equity holders of the parent. The primary objective of the Company's capital management is to ensure that it maintains a strong credit rating and healthy capital ratios in order to support its business and maximize shareholder value.

The Company manages its capital structure and makes adjustments to it, in light of changes in economic conditions. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares. No major changes were made in the objectives, policies or processes for managing capital during the year ended 31 March 2023 and 31 March 2022.

42. Re- Grouping

Cretain reclassification have been to the comparitive period Financial statements to enhance comparability with the current financial year financial statements fi enhance compliance with guidance note on the Division-II- Ind AS Shedule III to the companies Act.

43 Other Statutory Informations

a) All the immoveable properties held by the company are in the name of the company (where the company is the lesse and the lease arrangements are duly executed in favour of lessee) as on the balance sheet date except the following :

There is one property of the company located in Jammu state, which is held in the state of Sigma Plastic Industries. The Said Firm was the taken over by the company in the earlier years. The title of the said property could not be transferred in company's name due to some pending procedural conditions and formalities.

b) The Company does not have any “Benami Property", where any proceeding has been initiated pending against the Company for holding any “Benami Property".

c) The Company has not advanced any loan or advances in the nature of loan to specified persons viz. Promoters, Directors, KMP, and Related Parties which are repayable on demand or where the agreement document not specifies any terms or period of repayment.

d) The Company has not been declared as a wilful defaulter by any lender who has the power to declare a Company as a wilful defaulter at any time during the financial year or after the end of the reporting period but before the date when the financial statements are approved.

e) The Company has utilized funds raised from the issue of securities or borrowings from banks fi financial institutions for the specific purposes, for which they were issued/taken.

f) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies) including foreign entities (intermediaries) with the understanding that the intermediatory shall: -

i. Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (ultimate beneficiaries) or

ii. Provide any guarantees, securities or the like or on behalf of the ultimate beneficiaries

g) The Company has not received any funds from any person(s) or entity(ies), including foreign entity(ies) (funding party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

i. Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the funding party (ultimate beneficiaries) or

ii. Provide any guarantees, securities or the like or on behalf of the ultimate beneficiaries.

h) There are no transactions and/or balances outstanding with companies struck off under section 248 of the Companies Act'2013.

i) The Company does not have any transaction which is not recorded in the books of accounts but has been surrendered or disclosed as income during the year in the tax assessment under the Income Tax Act'1961.

j) The Company has not traded or invested in cryptocurrency or virtual currency during the financial year.

k) The Company does not have any charges or satisfaction of charges which is yet to be registered with the registrar of companies (ROC) beyond the satisfactory period.

l) The company has borrowings from Banks and accordingly company has submitted monthly stock statements with respective Financial Institutions. Details of security of current assets filed by the Company with banks & their difference is as per table annexued below:-

In FY 22-23, Company has Surplus DP of Rs. 6-7 crs. Approx. in each fi every month from Sanctioned fi utilised limits from Banking Arrangement fi thus in no case where company has availed excess DP due to above variances.

m) The Fair Market value of Investment property is based on valuation by Registererd valuer as defined under Rule 2 companies ( Registered valuer and Valuation) Rule, 2017. The Fair market value is closely approximate to the cost value (net of accumulated depreciation) of investment property. Hence Investment property is shown in books at cost.