6.14. Provisions, Contingent Liabilities, Contingent Assets and Commitments
General

Provisions (legal and constructive) are recognized when the Company has a present obligation (legal
or constructive) as a result of a past event and it is probable that an outflow of resources will be
required to settle the obligation, in respect of which a reliable estimate can be made.

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

If there is any expectation that some or all of the provision will be reimbursed, the reimbursement is
recognized as a separate asset but only when the reimbursement is virtually certain. The expense
relating to a provision is presented in the statement of profit and loss net of any virtually certain
reimbursement.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax
rate that reflects, when appropriate, the risk specific to the liability. When discounting is used, the
increase in the provision due to the passage of time is recognized as a finance cost.

Contingent liability is disclosed in the case of:

• a present obligation arising from past events, when it is not probable that an outflow of resources
will be required to settle the obligation;

• a present obligation arising from past events, when no reliable estimates is possible;

• a possible obligation arising from past events, unless the probability of outflow of resources is
remote

Contingent liabilities are not recognized but disclosed in the standalone financial statements.
Contingent assets are neither recognized nor disclosed in the financial statements.

Commitments include the amount of purchase order (net of advances) issued to parties for completion
of assets and Non-cancellable operating lease.

Provisions, contingent liabilities, contingent assets and commitments are reviewed at each balance
sheet date.

(ii) Rights, preferences and restrictions attached to shares

The Company has a single class of equity shares having at par value of '.10/- per share. Each holder of
equity share is eligible to one vote per share held. In the event of liquidation of the Company, the equity
shareholders are eligible to receive the remaining assets of the Company in proportion to the number of
equity shares held by each shareholder, after settlement of all preferential obligations.

The dividend proposed if any, by the Board of Directors is subject to the approval of the shareholders in
the ensuing Annual General Meeting, except in case of interim dividend.

Employee benefits :

As required by Ind AS 19 ' Employee Benefits' the disclosures are as under:

Defined Contribution Plan

The Company offers its employees defined contribution plans in the form of provident fund (PF) and
Employees' pension scheme (EPS) for all employees, with the government authorities. Contributions
are made to the Government administered funds. While both the employees and the Company pay
predetermined contributions into the Provident Fund, contributions into the Pension fund is made only
by the Company. The Company recognised ' 12.89 Lakhs. (31 March, 2024: ' 10.99 Lakhs) The
contributions are normally based on a certain proportion of the employee's salary and the contribution
payable to these plans by the Company are at rates specified in the rules of the schemes.

Defined Benefits Plan

All defined benefit plans obligations are determined at actuals, as at the Balance Sheet date, for the
amount being actually paid during the year. The classification of the Company's net obligation into
current and non-current is asscertain as and when the said liability arises.

29 Debtors and Creditors balances are subject to confirmations from the parties.

30 In the opinion of the Board of Directors the Current Assets, Loans & Advances except those shown
as doubtful have a value on realization in the ordinary course of business at least equal to the
amount at which items are stated in the Balance Sheet.

31 Figures of the current year and previous year have been re-grouped / rearranged /reclassified
wherever necessary.

The notes referred to above form an integral part of the financial statements

As per our report of even date For and on behalf of the Board of Directors of

For Akshay Kirtikumar & Associates LLP Kunststoffe Industries Limited
Chartered Accountants
Firm Registration No: 138182W/W100760

Akshay K. Shah Soniya P. Sheth Pravin V. Sheth

Partner Managing Director Director

Membership No.: 155729 DIN: 02658794 DIN: 00138797

UDIN: 25155729BMLEHX5544

Padmini Ravindran Unnati P. Sheth

Company Secretary CFO

FCS No: 5134