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सेंसेक्स 78,205.98 +0.82% ↑ निफ्टी 24,288.15 +1.08% ↑ सोना ₹ 14,900/gm चांदी ₹ 2,90,000/kg पेट्रोल ₹ 94.77 डीज़ल ₹ 87.67 कच्चा तेल $ 92.18 USD ₹ 91.96

Shriram Asset Management Company Ltd. के अकाउंट के लिये नोट

Mar 31, 2025

14.3) Terms/rights attached to Equity Shares

The Company has only one class of equity shares having a par value of ^ 10/- per share. Each holder of equity share is entitled to one vote per share. Dividend, as and when recommended by the Board of Directors, is subject to approval of the shareholders in their Annual General Meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders. The Board of Directors have not recommended any dividend during the year.

Nature and purpose of reserves

(i) Capital redemption reserve

Whenever there is a buy-back or redemption of preference share capital, the nominal value of the capital is transferred to a reserve called Capital Redemption Reserve so as to retain the capital.

(ii) Securities premium

Premium is used to record the premium (amount received in excess of face value of equity shares) on issue of shares. The reserve can be utilised only for limited purposes in accordance with the provisions of the Companies Act, 2013.

(iii) Share options outstanding account

The grant date fair value of equity-settled share-based payment transactions with employees and directors are recognised in the Statement of Profit and Loss with the corresponding credit to this account over the vesting period. The amounts recorded in Share options outstanding account are transferred to securities premium upon exercise of stock options by the employees and subsequent allotment of shares to them.

(iv) Retained earnings

Retained earnings are the profits that a company has earned to date, less any dividends or other distributions paid to the Shareholders, net of utilisation as permitted under applicable regulations

22.2) Lease Rent

The Company has entered into agreements for operating leases in respect of office premises taken on lease. Right of Use Asset is created for all the leases which are long term and non cancellable for the lease term. All the lease agreements other than that are cancellable lease contracts.

a) Under these agreements refundable interest free deposits are given.

b) All these agreements have restriction on further leasing.

The Company does not face a significant liquidity risk with regard to its lease liabilities as the current assets are sufficient to meet the obligations related to lease liabilities as and when they fall due. The weighted average incremental borrowing rate applied to lease liabilities for financial year 2023-2024 & 2024-2025 is 10%

23 Segment Reporting

The principal business of the Company is asset management of Shriram Mutual Fund and portfolio management service to the clients. Further, all the business activities are carried out within India. Since Company''s principal business is asset management, hence there are no separate reportable segments as per the Indian Accounting Standard 108 (lnd AS) on ''Operating Segments''.

24 There are no capital commitments as on March 31, 2025 and March 31, 2024.

27 Contingent Liability not provided for

a) Penalty order U/s 271 (1) dt. 29/03/2022 for AY 2013-14 is ^ 1,32,086/- (31st Mar 24 ^ 1,32,086) and Company has filed an Appeal before CIT Appeal against the penalty order.

b) Demand for AY 2017-18 is ^ 17,032/- (31st Mar 24 ^ 17,032) and Company has filed an Appeal before CIT Appeal against the demand order.

c) Demand for AY 2018-19 is ^ 67,820/- (31st Mar 24 ^ 67,820) and Company has filed an Appeal before CIT Appeal against the demand order.

d) Demand for AY 2008-2009 in respect of Income Tax , relating to Tax Deducted at Source amounting to ^ 67,840/- (31st Mar 24 ^ 67,840/-).

28 Capital Management

Equity share capital and other equity are considered for the purpose of Company''s capital management. The Company manages its capital in a manner which enables it to safeguard its ability to continue as a going concern and to optimise returns to the Shareholders. The capital structure of the Company is based on management''s judgement of its strategic and day-to-day needs with a focus on total equity so as to maintain investor, creditors and market confidence. The funding requirements are met through operating cash flows and other equity. The management monitors the return on capital and the board of directors monitors the level of dividends to be paid to shareholders of the Company. The Company may take appropriate steps in order to maintain, or if necessary adjust, its capital structure.

29 The Code on Social Security, 2020 (''Code'') relating to employee benefits during employment and post-employment benefits received Presidential assent in September 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not been notified. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period in which the Code becomes effective.

30 Employee share based payments

The total charge for share based payment to employees towards outstanding options as at March 31, 2025, is ^ 269.50 Lakhs for the year ended March 31, 2025 (March, 2024 Rs. 121.30 Lakhs). Accounting for equity settled share based payment transaction (ESOPs) at fair value increases the non cash component of Employee Benefits Expenses and is also reflected in Share Options Outstanding Account under Other Equity. This balance of Share Options Outstanding Account is transferred to Securities Premium as and when the stock options are exercised by the employees and subsequent allotment of shares to them. Hence, this charge is neutral to Equity of the Company.

31 Pursuant to the approval of shareholders (by way of special resolution) at the extraordinary general meeting of the Company held on January 08, 2025 and pursuant to receipt of the applicable approvals (including approval from South African Reserve Bank, approval from the Competition Commission of India, approvals from the Securities and Exchange Board of India and inprinciple approval from BSE Limited), the Securities Issue Committee of the Board of Directors of the Company at its meeting held on April 23, 2025 allotted 38,88,889 Equity Shares at ^ 270 per share amounting to ^ 105,00,00,030/- (Rupees One Hundred Five Crore Thirty Only) to Sanlam Emerging Markets (Mauritius) Limited.

32 Employee share based payments

Employee stock option Plan 2022 (ESOP-2022) (Equity settled)

The Company has ESOP-2022 which covers eligible employees of the Company. The vesting of the options is from expiry of one year till 3 years/5 years as per Plan. Each Option entitles the holder thereof to apply for and be allotted / transferred one Equity Share of the Company upon payment of the exercise price during the exercise period.

Fair value of options granted

The fair value at grant date is determined using the Black Scholes Model which takes into account the exercise price, the term of the option, the share price at grant date and expected price volatility of the underlying share, the expected dividend yield and the risk free interest rate for the term of the option.

The options granted will vest upon the completion of service condition as specified in scheme in graded manner. Vested options are exercisable for the period of five years after the vesting.

Accounting for equity settled share-based payment transaction (ESOPs) at fair value increases the non-cash component of Employee Benefits Expenses and is also reflected in Share Options Outstanding Account under Other Equity. This balance of Share Options Outstanding Account is transferred to Securities Premium as and when the stock options are exercised by the employees and subsequent allotment of shares to them. Hence, this charge is neutral to Equity of the Company.

b) Defined benefit plans

The Company has gratuity liability ascertained on actuarial basis, wherein every employee who has completed five years or more of service is entitled to gratuity on retirement or resignation or death calculated at 15 days salary for each completed year of service, subject to a maximum of ^ 20 lacs per employee. The vesting period for Gratuity as payable under The Payment of Gratuity Act is 5 years. The plans in India typically expose the Company to actuarial risks such as: investment risk, interest rate risk, longevity risk and salary risk.

Investment risk: The present value of the defined benefit plan liability is calculated using a discount rate determined by reference to government bond yields; if the return on plan asset is below this rate, it will create a plan deficit.

Interest risk: A decrease in the bond interest rate will increase the plan liability; however, this will be partially offset by an increase in the return on the plan''s debt investments.

Longevity risk :The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after their employment. An increase in the life expectancy of the plan participants will increase the plan''s liability.

Salary risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As such, an increase in the salary of the plan participants will increase the plan''s liability.

There are no other post-retirement benefits provided to employees.

The most recent actuarial valuation of the plan assets and the present value of the defined benefit obligation were carried out at March 31, 2025. The present value of the defined benefit obligation, and the related current service cost and past service cost, were measured using the projected unit credit method.

Fair value of loans, trade and other receivables, cash and cash equivalents, other financial assets (except as mentioned in table above) approximate the carrying amounts largely due to the fact that they are short term in nature and hence the fair value for these financial instruments have continued to be same as carrying value and not disclosed in the above table.

D Fair value hierarchy

Fair value hierarchy As per Ind AS 107, ''Financial Instruments: Disclosures'', the fair values of the financial assets or financial liabilities are defined as the price that would be received on sale of asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable. The hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities and lowest priority to unobservable inputs.

The hierarchy used is as follows :

Level-1 Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Investment in open ended Mutual Funds are included in Level 1.

Level-2 Inputs are other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices). Investment in unlisted open ended Mutual Fund are included in Level 2

Level-3 Inputs are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

The Company has an Audit & Risk Management Committee established by its Board of Directors for overseeing the Risk Management Framework and developing and monitoring the Company''s risk management policies. The risk management policies are established to ensure timely identification and evaluation of risks, setting acceptable risk thresholds, identifying and mapping controls against these risks, monitor the risks and their limits, improve risk awareness and transparency. Risk management policies and systems are reviewed regularly to reflect changes in the market conditions and the company''s activities to provide reliable information to the Management and the Board to evaluate the adequacy of the risk management framework in relation to the risk faced by the company.

The risk management policies aims to mitigate the following risks arising from the financial instruments:

- Credit risk

- Liquidity risk

- Market risk-price

- Market Risk-Interest Rate

- Market Risk-Foreign Exchange

ⁱ⁾ Credit risk management:

Exposure to credit risk

Financial services business has a risk management framework that monitors and ensures that the business lines operate within the defined risk appetite and risk tolerance levels as defined by the senior management. The amortised cost of the financial assets represents the maximum credit risk exposure.

Investment in Fixed Deposit

The Company has made investments in Fixed Deposit. Funds are invested after taking into account parameters like safety, liquidity and post tax returns etc. The Company avoids credit risk by investing in organization with good credit rating profile and sound financial position.

Loans

All the loans are stage 1 assets with no default history and forward looking information is monitored to manage the risk.

Trade and Other Receivables

Exposures to customers'' outstanding at the end of each reporting period are reviewed by the Company to determine incurred and expected credit losses. Historical trends of collection from counterparties on timely basis reflects there is no credit risk. As the Company has a contractual right to such receivables as well as control over preponderant amount of such funds due from customers, the Company does not estimate any credit risk in relation to such receivables.

Liquidity risk refers to the risk of financial distress or extraordinary high financing costs arising due to shortage of liquid funds in a situation where business conditions unexpectedly deteriorate and requiring financing. The company requires funds for short term operational needs. The company manages liquidity risk by maintaining adequate reserves, and by matching the maturity profiles of financial assets and liabilities.

The tables include both interest and principal cash flows.

To the extent that interest flows are floating rate, the undiscounted amount is derived from interest rate curves at the end of the reporting period. The contractual maturity is based on the earliest date on which the company may be required to pay.

iv) Market risk (Interest Rate Risk)

The Company''s investments on which it get interest income are primarily in fixed rate interest instruments. Accordingly, the exposure to interest rate risk is insignificant.

v) Market risk (Currency Risk)

The Company does not have amount of foreign currency denominated assets. Accordingly, there is no exposure to currency risk.

Footnote- The amounts disclosed towards employee benefits for Key Managerial Personnel does not include the provision for gratuity, leave encashment, bonus and ESOP''s.

38. Corresponding figures for the previous period have been regrouped wherever necessary to confirm the current period classification.

Mar 31, 2024

3.8 Provisions (other than for employee benefits), contingent liabilities, contingent assets and commitments

A provision is recognised if, as a result of a past event, the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by discounting the expected future cash flows (representing the best estimate of the expenditure required to settle the present obligation at the Balance Sheet date) at a pre tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. The unwinding of the discount is recognised as finance cost. Expected future operating losses are not provided for.

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the obligation or a reliable estimate

of the amount cannot be made.

A contingent asset is not recognised but disclosed in the financial statements where an inflow of economic benefit is probable.

Commitments include the amount of purchase order (net of advance) issued to counterparties for supplying/ development of assets and amounts pertaining to investments which have been committed but not called for.

Provisions, contingent assets, contingent liabilities and commitments are reviewed at each Balance Sheet date.

3.9 Leases

As a Lessee

The Company recognizes a right-of-use asset (ROU) and a lease liability at the lease commencement date. The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, then Company''s incremental borrowing rate. The Company uses its incremental borrowing rate as the discount rate.

The ROU asset is initially measured at cost, which comprises of the initial measurement of the lease liability adjusted for any lease payments made at or before the commencement date, less any lease incentives received; plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located.

The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the end of the lease term.

The lease liability is remeasured when there is a change in one of the following:

- the Company''s estimate of the amount expected to be payable under a residual value guarantee; or

- the Company''s assessment of whether it will exercise a purchase, extension, or termination option; or

- if there is a modification in the lease.â

Short-term leases and leases of low-value assets

The Company has elected not to recognize right-of-use assets and lease liabilities for short-term leases that have a lease term of twelve months or less and leases of low-value assets.

3.10 Income Tax

Tax expenses comprise Income Tax and Deferred Tax. It is recognised in the Statement of Profit and Loss

except to the extent that it relates to a business combination or to an item recognised directly in equity or in Other Comprehensive Income.

3.10.1 Current Tax

Current tax comprises the expected tax payable or receivable on the taxable income or loss for the year and any adjustment to the tax payable or receivable in respect of previous years. The amount of current tax reflects the best estimate of the tax amount expected to be paid or received after considering the uncertainty, if any, related to income taxes. It is measured using tax rates (and tax laws) enacted or substantively enacted by the reporting date. Current tax assets and current tax liabilities are offset only if there is a legally enforceable right to set off the recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously.

3.10.2Deferred Tax

Deferred tax is recognised in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the corresponding amounts used for taxation

purposes.

Deferred tax is measured at the tax rates that are expected to apply to the period when the asset is realised or the liability is settled, based on the laws that have been enacted or substantively enacted by the reporting date.

The measurement of deferred tax reflects the tax consequences that would follow from the manner in

which the Company expects, at the reporting date, to recover or settle the carrying amount of its assets and liabilities.

Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities and assets, and they relate to income taxes levied by the same tax authority.

3.11 Earning Per Share (EPS)

The basic earnings per share is computed by dividing profit after tax attributable to the equity shareholders

by the weighted average number of equity shares outstanding during the reporting period. The diluted earnings per share is computed by dividing profit after tax attributable to the equity shareholders by the

weighted average number of equity shares outstanding plus the weighted average number of equity shares that would be issued on the conversion of all the dilutive potential ordinary shares into ordinary shares. The number of equity shares used in computing diluted earnings per share comprises the weighted average number of shares considered for deriving basic earnings per share and also weighted average number of equity shares which would have been issued on the conversion of all dilutive potential shares, unless they are antidilutive.

3.12 Cash Flows

Cash flows are reported using the indirect method in accordance with Indian Accounting Standards (Ind AS 7), âStatement of Cash Flows'' whereby net profit before tax is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities are segregated.

3.13 Scheme Expenses and Commission

Pursuant to circulars issued by SEBI with effect from 22nd October, 2018, scheme related expenses and commission subject to certain permitted exceptions, are being borne by the respective schemes.

New Fund Offer (NFO) expenses on the launch of schemes are borne by the Company and recognised in the Statement of Profit and Loss as and when incurred.â

3.14 Operating Segments

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker (CODM). The CODM''s function is to allocate the resources of the Company and assess the performance of the operating segments of the Company.

a) These RNCPS carry non cumulative dividend. Each holder of RNCPS is entitled to one vote per share only on resolutions placed before the Company which directly affect the rights attached to RNCPS. The RNCPS shall be redeemed by the Company at par on expiry of ten years from the date of allotment /issue of Preference Shares as per norms attached with the issue.

b) Subject to the applicable laws, and the approvals/consents as may be necessary or required, the date of redemption of RNCPS can be extended for such further term as may be mutually agreed to between the Company and the holder of RNCPS.

c) During the year ended March 31, 2024, the Company has not declared dividend on Preference Shares.

d) During the year ended March 31, 2024, the Company has redeemed 4,00,000 Redeemable Non-Convertible

Preference Shares of f 100/- each amounting to f 4 00 00 000/_-

a) These CCPS carry non cumulative dividend @ 6% p.a. Each holder of CCPS is entitled to one vote per share only on resolutions placed before the Company which directly affect the rights attached to CCPS. The CCPS shall be convertible to equity shares in the ratio 500,000,000 CCPS shall convert into 4,022,526 equity shares by the Company on the earlier of the occurrence of the following events: (a) at the expiry of 18 months from the date of issuance of the Subscription Securities; or (b) the Investors exercising their right to convert the all the Subscription Securities into equity shares.

b) On July 24, 2023, the Company had issued 8,04,500 equity shares and on November 23, 2023 issued 32,18,026 equity shares in lieu of conversion of 9,99,99,350 and 40,00,00,650 Compulsory Convertible Preference Shares (CCPS) respectively at a face value of '' 10/- and premium of '' 114.30 per equity share to Shriram Credit Company Limited.

14.12) Terms/rights attached to Compulsory Convertible Debenture (CCDs)

a) These CCD carry interest @ 9.5% p.a. The CCD shall be convertible to equity shares in the ratio 18,800 CCD shall convert into 1,512,469 equity shares by the Company on the earlier of the occurrence of the following events: (a) at the expiry of 18 months from the date of issuance of the Subscription Securities; or (b) the Investors exercising their right to convert the all the Subscription Securities into equity shares.

On November 23, 2023, 18,800 number of Compulsorily Convertible Debentures issued to Mission 1 Investments LLC have been converted by issuance of 15,12,469 Equity Shares at '' 124.3 per share with a face value of '' 10 per share and a premium of '' 114.30 per share.

15.1 The Company on July 24, 2023 and November 23, 2023 issued 8,58,134 equity shares and 1,80,526 equity shares respectively at ? 124.30 per share with a face value of ? 10 per share and a premium of ? 114.30 per share to Mission 1 Investments LLC in lieu of conversion of equivalent number of warrants, upon payment of ? 7,99,99,542.15/- and ? 1,68,29,536.35/- respectively, being the balance 75% to convert the said number of warrants to Equity Shares.

15.2 The total charge for share based payment to employees towards outstanding options for the year ended March 31, 2024 is ? 121.30 Lakhs and the balance of outstanding employee options is ? 137.91 Lakhs as at March 31, 2024. Accounting for equity settled share based payment transaction (ESOPs) at fair value increases the non cash component of Employee Benefits Expenses and is also reflected in Share Options Outstanding Account under Other Equity. This balance of Share Options Outstanding Account is transferred to Securities Premium as and when the stock options are exercised by the employees and subsequent allotment of shares to them. Hence, this charge is neutral to Equity of the Company.

Nature and purpose of reserves

(i) Capital redemption reserve

Whenever there is a buy-back or redemption of preference share capital, the nominal value of the capital is transferred to a reserve called Capital Redemption Reserve so as to retain the capital.

(ii) Securities premium

(iii) Share options outstanding account

28 Contingent Liability not provided for

a) Penalty order U/s 271 (1) dt. March 29, 2022 for AY 2013-2014 is ? 1,32,086/- (March 31,2023 ? 1,32,086/-) and Company has filed an Appeal before CIT Appeal against the penalty order.

b) Demand for AY 2017-2018 is ? 17,032/- (March 31,2023 ? 17,032/-) and Company has filed an Appeal before CIT Appeal against the demand order.

c) Demand for AY 2018-2019 is ? 67,820/- (March 31, 2023 ? 67,820/-) and Company has filed an Appeal before CIT Appeal against the demand order.

d) Demand for AY 2008-2009 in respect of Income Tax, relating to Tax Deducted at Source amounting to ? 67,840/-(March 31, 2023 ? 62,180/-)

29 Capital Management

30 The Code on Social Security, 2020 (''Code'') relating to employee benefits during employment and post-employment benefits received Presidential assent in September 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not been notified. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period in which the Code becomes effective.

31 Employee share based payments

Employee stock option Plan 2022 (ESOP-2022) (Equity settled)

D Fair value hierarchy

The hierarchy used is as follows :

Level-1 Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities. Investment in open ended Mutual Funds are included in Level 1.

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

^E Valuation techniques used to determine fair value

Financial Instrument Valuation Technique

Non Convertible Debentures Last traded price of Non Convertible Debentures at Security Exchange

on which instrument is being listed

Mutual Funds Net Asset Value (NAV) declared by the mutual fund at which units are

issued or redeemed.

Fixed Deposit Fair value by discounting the future cash flows considering the interest

rate on the deposits on reporting date.

^F Financial risk management

The risk management policies aims to mitigate the following risks arising from the financial instruments:

- Credit risk

- Liquidity risk

- Market risk-price

- Market Risk-Interest Rate

- Market Risk-Foreign Exchange

ⁱ⁾ Credit risk management:

Exposure to credit risk

Trade and Other Receivables

ii) Liquidity risk management

The tables include both interest and principal cash flows.

Note- The amounts disclosed towards employee benefits for Key Managerial Personnel does not include the provision for gratuity, leave encashment, bonus and ESOP''s.

37. Corresponding figures for the previous period have been regrouped wherever necessary to confirm the current period classification.

As per our report of even date attached

FOR G. D. APTE & CO. FOR SHRIRAM ASSET MANAGEMENT COMPANY LIMITED

CHARTERED ACCOUNTANTS FIRM REGISTRATION No.100515W

KARTIK JAIN SUBHASRI SRIRAM

MANAGING DIRECTOR & CEO DIRECTOR

DIN No. 09800492 DIN No. 01998599

CHETAN R. SAPRE

PARTNER REENA YADAV JAYA INNANI

MEMBERSHIP No.116952 COMPANY SECRETARY CHIEF FINANCIAL OFFICER

Place : Mumbai Place : Mumbai

Date : May 15, 2024 Date : May 15, 2024

Mar 31, 2019

1. Corporate Information

Shriram Asset Management Company Limited (âthe Companyâ) was incorporated under the Companies Act, 1956 on July 27, 1994 and received the Certificate of Commencement of Business on 5th December, 1994. The Company received permission from Securities and Exchange Board of India (SEBI) to act as the Asset Management Company of Shriram Mutual Fund on November 21, 1994 vide registration no. MF/017/94/4.

2. Basis of preparation

The financial statements of the Company have been prepared in accordance with Indian Accounting Standards (Ind AS) notified under the Companies (Indian Accounting Standards) Rules, 2015 (as amended from time to time). The financial statements have been prepared under the historical cost convention or fair values as per the requirements of Ind AS. Accounting policies have been consistently applied to all periods presented, unless otherwise stated.

The preparation of financial statements requires the use of certain critical accounting estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses and the disclosed amount of contingent liabilities.

The financial statements are presented in Indian Rupees (INR), except when otherwise indicated.

3. Presentation of financial statement

The financial statements of the Company are presented as per Schedule III (Division III) of the Companies Act, 2013. Financial assets and financial liabilities are generally reported on a gross basis except when, there is an unconditional legally enforceable right to offset the recognised amounts without being contingent on a future event and the parties intend to settle on a net basis in the following circumstances:

i. The normal course of business

ii. The event of default

iii. The event of insolvency or bankruptcy of the Company and/or its counterparties

4. Statement of compliance

These standalone or separate financial statements of the Company have been prepared in accordance with Indian Accounting Standards as per the Companies (Indian Accounting Standards) Rules, 2015 as amended and notified under Section 133 of the Companies Act, 2013 and the other relevant provisions of the Act.

The aforesaid financial statements have been approved by the board of directors in the meeting held on May 08, 2019.

The Company has no restrictions on the realisability of its investment properties or remittance of income and proceeds of disposal. Further, there are no contractual obligations to purchase, construct or develop investment properties or for repairs, maintenance and enhancements.

4.1 Fair value of the Companyâs investment properties

The fair value of the Companyâs investment properties as at March 31, 2019 was arrived at on the basis of local enquiry carried out by the company.

4.2 Description of valuation techniques used and key inputs to valuation on investment properties

Properties, held to earn rentals and/or capital appreciation are classified as investment property and measured and reported at cost, including transaction costs. It is the value of the property at which it can be sold in open market at a particular time free from forced value or sentimental value. Investment properties (other than land) are depreciated using WDV method over their estimated useful lives. The useful life has been determined based on technical evaluation by management

4.3 Terms/rights attached to Equity Shares

The Company has only one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity share is entitled to one vote per share. Dividend, as and when recommended by the Board of Directors, is subject to approval of the shareholders in their Annual General Meeting. The Directors have not recommended any dividend for the year ended March 31, 2019.

4.4 The entire lot of Redeemable Non Convertible Preference Shares (RNCPS) were issued to meet the minimum net worth requirement as defined under SEBI (Mutual Funds) Regulations, 1996 as amended from time to time. Hence these RNCPS form a part of the eligible net worth & has been accordingly presented as part of Share Capital. Fair Market Value (FMV) of these RNCPS (not being listed on any Stock Exchange and redeemable at par) is equivalent to its Face Value.

Terms/rights attached to Redeemable Non Convertible Preference Shares (RNCPS)

a) These RNCPS carry non cumulative dividend @ 0.01% and 6% p.a. Each holder of RNCPS is entitled to one vote per share only on resolutions placed before the Company which directly affect the rights attached to RNCPS. The RNCPS shall be redeemed by the Company at par on expiry of five years/ten years from the date of allotment /issue of Preference Shares as per norms attached with the issue.

b) The Company shall, however, has the right to redeem the RNCPS before the due date.

c) Subject to the applicable laws, and the approvals/consents as may be necessary or required, the date of redemption of RNCPS can be extended for such further term as may be mutually agreed to between the Company and the holder of RNCPS.

d) During the year no provision has been made for dividend on Preference Shares on account of the loss for the year and carry forward losses.

Notes:

i) Gratuity is payable as per Companyâs scheme as detailed in the report.

ii) Actuarial gain/loss is accounted for in the period of occurrence under Other Comprehensive Income (OCI).

iii) All above figures of OCI are gross of taxation.

iv) Salary escalation and attrition rate are considered as advised by the Company; they appear to be in line with the Industry practice considering promotion and demand & supply of the employees.

v) Maturity Analysis of Benefit Payments is undiscounted cash flows considering future salary, attrition & death in respective year for members as mentioned above.

vi) Average Expected Future Service represents Estimated Term of Post - Employee Benefit Obligation.

Note: An amount of Rs. 22,785,000/- representing disputed redemption money on 35,00,000 units of âRisk Guardian 95â is held by the Company in trust to be paid to the rightful owner when the dispute is settled by the appropriate court/forum. This amount has been deployed in NCD now (earlier in subordinated bond) and along with interest accrued thereon, the present value of which is Rs. 12,85,38,265/- (net of tax). The disputed amount of Rs. 22,785,000/- along with interest accrued thereon has been recognised in the accounts as payable to the rightful owner.

4.5 Lease Rent

The Company has entered into agreements for operating leases in respect of office premises taken on lease. All these leases are cancellable.

a)The lease expenditure recognised in the Statement of Profit and Loss : Expenditure Rs. 16,20,168/-(Previous year Rs. 14,51,088/-)

b) Under these agreements refundable interest free deposits are given.

c) All these agreements have restriction on further leasing.

d) Agreements for office premises provide for revision in the rent.

5. Segment Reporting

Based on the guiding principles given in INDAS-108, issued by the Institute of Chartered Accountants of India, Companyâs primary business : Investment manager of Shriram Mutual Fund. As the companyâs business activity falls within a single primary business segment, the disclosure requirements of INDAS-108, are not applicable.

6. The Company does not have âsuppliersâ registered under Micro, Small and Medium Enterprises Development (âMSMEDâ) Act, 2006. Accordingly, no disclosure relating to amounts unpaid as at the year end, together with interest paid/payable are required to be furnished.

7. There are no capital commitments as on March 31,2019 and March 31,2018.

8. In view of the Loss incurred during the period, no provision for Income Tax is considered necessary.

9. No dividend is proposed on 14,00,000 (Fourteen Lakhs) (0.01%) RNCPS of Rs. 100/- each fully paid up and 35,00,000 (Thirty Five Lakh) (6%) RNCpS of Rs. 100/- each fully paid up, in view of loss incurred by the Company.

10. Reconciliations between previous GAAP and Ind AS

Ind AS 101 requires an entity to reconcile equity, total comprehensive income and cash flows for prior periods. The following tables represent the reconciliations from previous GAAP to Ind AS.

# Shriram Value Services Limited (SVS) became Subsidiary of Shriram Capital Limited (Ultimate Holding Company w.e.f. February 28, 2019. Companyâs transaction with SVS towards HR, IT and Network Support Services for the year amounts to Rs. 3,30,000/- against which an amount of Rs. 165,000/- is outstanding including the above mentioned amount of Rs. 27,500/-.

11. Corresponding figures for the previous periods have been regrouped wherever necessary to confirm the current period classification.

Mar 31, 2018

NOTES TO FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2018

		March 31, 2018	March 31, 2017
		(Rs)	(Rs.)
12 CASH AND CASH EQUIVALENTS
Balances with banks
On current accounts		1,374,942	1,388,464
Cash in hand		10,161	9,443
Total		1,385,103	1,397,907
13 SHORT TERM LOANS AND ADVANCES
13.1) Advances recoverable in cash or kind
Unsecured considered good		44,484	44,857
Sub Total		44,484	44,857
13.2) Other Loans and Advances
Prepaid expenses		218,770	111,959
Loans to employees		352,992	220,266
Advance to Income Tax (net of provision for taxation)		6,892,622	7,571,716
Short Term Loan to Related Party		150,000,000	-
Sub Total		157,464,384	7,903,941
Total (13.1 13.2)		157,508,868	7,948,798
14 OTHER CURRENT ASSETS
GST Input		2,338,739	-
Service Tax Input		-	1,324,218
Other Assets		1,069,022	960,272
Total		3,407,761	2,284,490
15 INCOME FROM OPERATION
Management Fees		9,021,223	8,642,030
Total		9,021,223	8,642,030
16 OTHER INCOME
Interest received on staff loan		29,618	26,741
Dividend Income - Equity		3,000	1,500
Rent received		180,000	180,000
Profit /(Loss) on sale of Fixed Assets		3,367,709	-
Income on Sale of Mutual Fund Units		4,105,480	1,174,498
Interest received on Income Tax Refund		289,346	-
Liability no longer required		10,007	171,000
Interest Income on Arbitration Award #		-	10,752,948
Interest on Loan From SISBL		1,863,014	-
Miscellaneous Income		3,447	333
Interest Received on Subordinate Bond (Gross) for the
year ended 31.03.2018**	11,724,296		10,534,624
	11,724,296		10,534,624
Less: Contingency provision for interest payable to the
rightful owner	11,724,296		10,534,624
Total		9,851,621	12,307,020

16.1) Interest income on subordinate bond

** Interest of Rs. 57,21,434/- (net of tax,if any) for the period from 01.04.2017 to 31.03.2018 has been recognised as interest received in the accounts.

# Interest Income on Arbitration Award

In the previous FY 2016-17 the Company had received an interest of Rs. 1,07,52,948/- against an arbitration award from BSE Limited.

	March 31, 2018	March 31, 2017
	(Rs)	(Rs)
17 EMPLOYEE BENEFIT EXPENSES
Salaries,wages and bonus	16,593,778	14,012,410
Contribution to provident and other fund	882,854	690,287
Gratuity expense	457,563	237,500
Medical Expenses	83,821	90,786
Staff welfare expenses	128,716	21,338
Total	18,146,732	15,052,321
18 OTHER EXPENSES
Advertisement and Business Promotion Expenses	242,196	156,666
Annual Custodial Fees	20,250	37,500
Auditors'' Remuneration	353,335	314,290
Board and General Meeting expenses	49,100	58,239
Depository fees	40,000	70,132
Directors'' Sitting Fees	778,000	209,000
Telephone, Courier and Postage Expenses	258,781	209,653
Membership Subscription	400,000	400,000
Annual Fees	128,750	128,750
Insurance Premium	72,387	67,977
Professional Charges	830,765	595,513
Filing Fees	3,335,152	11,710
Listing Fees	250,000	200,000
Printing & Stationery	203,677	119,307
Sundry Expenses	337,387	121,499
Trustee Meeting Fees	520,000	270,000
Travelling, Hotel and Conveyance expenses	661,060	466,998
HR IT & Network Support	330,000	342,054
Software expenses	436,992	12,054
Retainership Fees	1,806,667	1,670,000
Rent	2,014,202	1,367,162
Repairs & Maintenance	435,387	378,691
Share of Common Infrastructure Costs	795,602	835,794
Rates & Taxes	5,000	21,948
Car hire Charges	84,561	92,411
Write Off of Fixed Assets	-	23,243
General Expenses	24,773	31,382
Interest Paid To Income Tax	108,174	-
Royalty Expenses	500,000	-
Total	15,022,198	8,211,973

	March 31, 2018	March 31, 2017
	(Rs)	(Rs.)
18.1) Auditors'' Remuneration
Statutory Audit fee	272,000	228,000
Tax audit fee	60,000	60,000
Corporate Governance and Other Certification Fees	18,000	20,500
Out of pocket expenses	3,335	5,790
Total	353,335	314,290
18.2) Mutual Fund Expenses
Mutual Fund Expense	1,823,911	539,957
Brokerage	2,358,768	2,706,198
RTA Expenses	875,106	879,379
Fund Accounting Charges	123,108	114,543
DMAT Rolling and Safe Custody Charges	113,154	103,999
Total	5,294,046	4,344,076

18.2.1) In terms of decision by the Operations Committee as delegated to it by Board, Mutual Fund Expenses of Rs. 52.94 Lakhs representing total expenditure absorbed during current year against Rs. 43.44 Lakhs of previous year. The overall revenue from operation amounted to Rs. 90.21 Lakhs from Rs. 86.42 Lakhs of previous year. Such accounting has the effect of increasing the loss for the year by Rs. 5.74 Lakhs over the previous year.

19. The "Unclaimed Redemption Money" with respect to Mutual Fund Schemes wound up during earlier years amounts to Rs. 3,67,888/- as on March 31, 2018. The company has decided not to charge any "Management Fees" with respect to these Funds, as the same is not material.

20. Contingent Liabilities not provided for:

Particulars

For the year ended March 31, 2018

(Rs.)

For the year ended March 31 ,2017

(Rs)

a) Demand in respect of Income Tax AY 2010-11 (Amount of Rs. 2,00,000 has been paid under protest on May 08, 2013).

21,59,460

b) As regards A.Y. 2007-08, the Company has received a favourable order from ITAT allowing bad debts amounting to Rs. 27,10,000/- in respect of dues from Ahmedabad Urban Cooperative Bank Ltd., which was previously disallowed by CIT (A). There will be a refund due to the Company if the order giving effect to the decision of the ITAT is issued which is awaited.

21. The components of Deferred Tax Liability and Assets as at March 31, 2018 are as under:

Particulars	For the year ended March 31, 2018 (Rs)	For the year ended March 31, 2017 (Rs)
Deferred tax liability :
(i) W.D.V on fixed assets	(418,221)	(520,553)
	(418,221)	(520,553)
Deferred tax assets :
(i) Provision for Gratuity and Leave encashment	982,146	677,436
(ii) Diminution in value of investments	798,936	798,936
(iii) Contingency provision for interest payable to rightful owner	29,805,428	26,182,621
(iv) Provision for Bonus	80,340	71,070
	31,666,851	27,730,063
Net Deferred Tax Asset/(Liability)	# 31,248,630	# 27,209,510

# Deferred tax asset has not been recognized in the accounts on the basis of prudence as per AS 22 for the financial year 2017-18.

22. In view of the Loss incurred during the period, no provision for Income Tax is considered necessary.

23. The Company operates in only one segment. Hence segment reporting under AS17 is not applicable to the Company.

24. Related party disclosure as required by Accounting Standard (AS)-18 "Related Party Disclosure" as notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 2013.

Name	Relationship
Shriram Ownership Trust	Promoter Group
Shriram Credit Company Limited	Holding Company
Ceylinco Shriram Capital Management Services Co. Private Limited	Associate Company
Shriram Insight Share Brokers Limited	Associate Company
Shriram Fortune Solutions Limited	Associate Company
Shriram Financial Products Solutions (Chennai) Private Limited	Associate Company
Mr. Akhilesh Kumar Singh (M.D)	Key Managerial Personnel
Ms. Chandana Dutt (CFO)	Key Managerial Personnel
Ms. Reena Yadav (CS)	Key Managerial Personnel

The following transactions were carried out with the related parties in the ordinary course of business.

Particulars	Promoter Group / Holding Company		Associates		Key Management Personnel		Total
	31.03.2018	31.03.2017	31.03.2018	31.03.2017	31.03.2018	31.03.2017	31.03.2018	31.03.2017
Payments :
Rent	-	-	648,396	807,162	-	-	648,396	807,162
Brokerage:
Shriram Insight Share Brokers Ltd.	-	-	1,952,890	2,007,113	-	-	1,952,890	2,007,113
Shriram Fortune Solutions Ltd.	-	-	166,813	212,326	-	-	166,813	212,326
Other Expenses	-	-	8,400	22,600	-	-	8,400	22,600
Share of Common Infrastructure
Costs	-	-	435,602	475,794	-	-	435,602	475,794
Royalty Expenses	500,000	-	-	-	-	-	500,000	-
Reimbursement of actual Salary	-	884,000	-	2,500,000	-	-	-	3,384,000
Employee Benefits for Key
Managerial Personnel	-	-	-	-	5,295,776	5,038,484	5,295,776	5,038,484
Short Term Loan Receivable from:
Shriram Insight Share Brokers Ltd.	-	-	150,000,000	-	-	-	150,000,000	-
Interest received on above Short
Term Loan	-	-	1,863,014	-	-	-	1,863,014	-
Balance Outstanding :
Investment in equity shares of Ceylinco Shriram Capital Management Services Co Private Limited			3,878,332	3,878,332			3,878,332	3,878,332
Shriram Insight Share Brokers Limited	_	_	536,117	518,442	_	_	536,117	518,442
Shriram Fortune Solutions Limited	-	-	12,748	-	-	-	12,748	-
Shriram Ownership Trust	135,000	-	-	-	-	-	135,000	-

25. Earnings per share (EPS) computed in accordance with Accounting Standard 20 "Earning per Share" Basic and Diluted

Particulars		March 31, 2018 (Rs)	March 31, 2017 (Rs)
Profit after tax as per accounts (Rs)		(20,128,742)	(6,978,995)
Add/(Less): Prior Period Adjustment/ (Excess provision w/back)		-	-
Profit attributable to Equity share holders	(A)	(20,128,742)	(6,978,995)
Number of shares issued	(B)	6,000,000	6,000,000
Basic EPS (Rupees) (Face value Rs 10 each)	(A)/(B)	(3.35)	(1.16)

26. The Company does not have ''suppliers'' registered under the Micro, Small and Medium Enterprises Development ("MSMED") Act, 2006. Accordingly, no disclosure relating to amounts unpaid as at the year end, together with interest paid / payable are required to be furnished.

27. No dividend is proposed on 14,00,000 (Fourteen Lakhs) (0.01%) RNCPS of Rs 100/- each fully paid up and 35,00,000 (Thirty Five Lakhs) (6%) RNCPS of Rs 100/- each fully paid up, in view of loss incurred by the Company.

28. Previous period figures have been re-grouped and re-arranged, wherever considered necessary.

As per our report of even date attached
FOR G. D.APTE & CO.	FOR SHRIRAM ASSET MANAGEMENT COMPANY LIMITED
CHARTERED ACCOUNTANTS
FIRM REGISTRATION NO.100515W
	AKHILESH KUMAR SINGH	R.SUNDARA RAJAN
	MANAGING DIRECTOR	DIRECTOR
	DINNo.00421577	DIN No.00498404
CHETAN R. SAPRE
PARTNER	REENA YADAV	CHANDANA DUTT
MEMBERSHIP NO. 116952	COMPANY SECRETARY	CHIEF FINANCIAL OFFICER
Place : Mumbai	Place : Chennai
Date : April 27, 2018	Date : April 27, 2018

Mar 31, 2017

1. Terms/rights attached to Equity Shares

2. Terms/rights attached to Redeemable Non Convertible Preference Shares (RNCPS)

During the financial year 2015-16 the Company issued additional 1000000 (Ten lakh) (0.01%) RNCPS of Rs. 100/- each fully paid up, over and above 400000 (Four lakh) issued in earlier Financial Years, taking the total amount of RNCPS to Rs. 14,00,00,000/- These RNCPS carry non cumulative dividend @ 0.01% p.a. Each holder of RNCPS is entitled to one vote per share only on resolutions placed before the Company which directly affect the rights attached to RNCPS. The RNCPS shall be redeemed by the Company at par on expiry of five years/ten years from the date of allotment /issue of Preference Shares as per norms attached with the issue. The Company shall, however, has the right to redeem the RNCPS before the due date. Subject to the applicable laws, and the approvals/consents as may be necessary or required, the date of redemption of RNCPS can be extended for such further term as may be mutually agreed to between the Company and the holder of RNCPS. During the period no provision has been made for dividend on Preference Shares.

3. An amount of Rs. 22,785,000/- representing disputed redemption money on 35,00,000 units of âRisk Guardian 95â is held by the Company in trust to be paid to the rightful owner when the dispute is settled by the appropriate court/forum. This amount has been deployed in subordinated bond and along with interest accrued thereon, the present value of which is Rs. 10,53,34,730/- (inclusive of tax of Rs. 11,122,842/- for the period from 2001-02 to 2010-11). The disputed amount of Rs. 22,785,000/- along with interest accrued thereon has been recognized in the accounts as payable to the rightful owner.

4. In terms of decision by the Operations Committee as delegated to it by Board, Mutual Fund Expenses of Rs. 43.44 Lakhs representing total expenditure absorbed during current year against Rs. 53.88 Lakhs of previous year. The overall revenue from operation amounted to Rs. 86.42 Lakhs from Rs. 76.95 Lakhs of previous year. Such accounting has the effect of decreasing the loss for the year by Rs. 19.91 Lakhs over the previous year.

5. The Scheme Risk GuardianRs.95 has been wound up, effective 7th July 2000 and the three tax saving schemes Tax GuardianRs.95, Tax GuardianRs.96, Tax GuardianRs.97 have been wound up with effect from 30th April 2001 and Interval Fund 97 with effect from 1st December 2001, with the approval of SEBI. For the unclaimed redemption money of these schemes the company has been following the provisions laid down under Regulation 59 of SEBI (Mutual Funds) Regulations, 1996. Further, as the unclaimed redemption money being managed by the Company is very small amounting to Rs. 367,888/-, it has been decided not to charge asset management fees from 01.04.2004 to Shriram Mutual Fund with regard to the old schemes mentioned above.

6. Contingent Liabilities not provided for:

The Company received an order dated 26.03.15 from CIT(A) for A.Y. 2010-11, in which the decision of the A.O to treat interest income of Rs. 1,15,19,591/- as income from other sources was determined instead of the head business. The company being aggrieved has filed an appeal with ITAT against the said order on 23.06.2015 which is pending disposal.

The Company received an Order dated 10.03.2013 U/S 143 (3) of the IT Act for the assessment year 2010 -11 along with a demand notice of Rs. 21,59,460/- and paid Rs. 2,00,000/- on protest towards the demand which is pending disposal. The Company has already filed an appeal with the CIT(A) against the order.

7. As regards A.Y. 2007-08, the Company has received a favourable order from ITAT allowing bad debts amounting to Rs. 27,10,000/- in respect of dues from Ahmedabad Urban Co-operative Bank Ltd., which was previously disallowed by CIT (A). There will be a refund due to the Company if the order giving effect to the decision of the ITAT is issued which is awaited.

8. In view of the loss incurred during the period, no provision for Income Tax is considered necessary.

9. The Company operates in only one segment. Hence segment reporting under AS17 is not applicable to the Company.

10. Related party disclosure as required by Accounting Standard (AS)-18 âRelated Party Disclosureâ as notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 2013.

11. The Company does not have âsuppliers'' registered under the Micro, Small and Medium Enterprises Development (âMSMEDâ) Act, 2006. Accordingly, no disclosure relating to amounts unpaid as at the year end, together with interest paid / payable are required to be furnished.

12. No dividend is proposed on 14,00,000 (Fourteen Lakhs) (0.01%) RNCPS of Rs. 100/-each fully paid up in view of loss incurred by the Company.

13. Previous year''s figures have been re-grouped and re-arranged, wherever considered necessary.

Mar 31, 2015

1. Terms/rights attached to Equity Shares

The Company has only one class of equity shares having a par value of Rs. 10/- per share. Each holder of equity share is entitled to one vote per share. Dividend, as and when recommended by the Board of Directors, is subject to approval of the shareholders in their Annual General Meeting. The Directors have not recommended any dividend for the year ended March 31, 2015.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

2. Terms/rights attached to Redeemable Non Convertible Preference Shares (RNCPS)

During the previous year ended March 31, 2014 the Company issued additional 300000 (Three lakh) (0.01%) RNCPS of Rs. 100/-each fully paid up, taking the total amount of RNCPS to Rs. 4,00,00,000/-. These RNCPS carry non cumulative dividend @ 0.01% p.a. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the Annual General Meeting. Each holder of RNCPS is entitled to one vote per share only on resolutions placed before the Company which directly affect the rights attached to RNCPS. The RNCPS shall be redeemed by the Company at par on expiry of five years from the date of allotment. The Company shall, however, has the right to redeem the RNCPS before the due date. Subject to the applicable laws, and the approvals/consents as may be necessary or required, the date of redemption of RNCPS can be extended for such further term as may be mutually agreed to between the Company and the holder of RNCPS.

During the period no provision has been made for dividend on Preference Share.

4. RESERVES AND SURPLUS

(*) Note: To fall in line with the requirements of Schedule II of Companies Act, 2013, necessary adjustments have been made in the life of the asset as required either through retained earnings account where remaining useful life is Nil or through Profit and Loss Account in other cases. No depreciation provision is considered necessary where WDV is less than adjusted residual value. Such change has no material effect on the Financial Results of the Company under review.

5. LONG TERM LIABILITIES

An amount of Rs. 22,785,000/- representing disputed redemption money on 35,00,000 units of "Risk Guardian 95" is held by the Company in trust to be paid to the rightful owner when the dispute is settled by the appropriate court/forum. This amount has been deployed in subordinated bond and along with interest accrued thereon, the present value of which is Rs. 85,309,871/- (inclusive of tax of Rs. 11,122,842/- for the period from 2001-02 to 2010-11).The disputed amount of Rs. 22,785,000/- along with interest accrued thereon has been recognised in the accounts as payable to the rightful owner. In view of the loss incurred during the period, no provision for Income Tax is considered necessary.

Notes: Gratuity is payable as per Company's scheme as detailed in the report. Actuarial gain/loss is accounted for in the period of occurrence. Salary escalation and attrition rate are considered as advised by the Company, they appear to be in line with the industry practice considering promotion and demand and supply of the employees.

# Receivable from broker

The Company's claim for the recovery from a broker for a principal amount of Rs. 72.10 lakhs, together with interest thereon has been upheld by the Arbitration Tribunal of the BSE Limited. However, the Income Tax Department had issued prohibitory orders/attachment notices, against the Exchange in respect of properties of the broker. In response, the Exchange has filed a Writ Petition, before the Hon'ble High Court, Bombay against the Income Tax Department, challenging the prohibitory order/attachment notices. The Hon'ble Court has passed an Interim Order, inter alia directing the Exchange not to disburse the amount till further orders. The said Writ Petition is pending before the Hon'ble High Court, Bombay. In view of the uncertainty pending finality of the proceedings, the Company has not recognised the interest on principal amount of Rs. 72.10 lakhs. In 2010-11, the Company received Rs. 3 lakhs from the Exchange, as a part payment against the award.

Interest income on subordinate bond

** Interest of Rs. 8,502,688/- (net of tax, if any) for the period from April 01, 2014 to March 31,2015 has been recognised as interest received in the accounts for the year ended March 31,2015.

19. The Scheme Risk Guardian'95 has been wound up, effective July 7, 2000 and the three tax saving schemes Tax Guardian'95, Tax Guardian'96, Tax Guardian'97 have been wound up with effect from April 30, 2001 and Interval Fund 97 effective December 01, 2001, with the approval of SEBI. For the unclaimed redemption money of these schemes the company has been following the provisions laid down under Regulation 59 of SEBI (Mutual Funds) Regulations, 1996. Further, as the unclaimed redemption money being managed by the Company is very small amounting to Rs. 385,748/-, it has been decided not to charge asset management fees from April 01,2004 to Shriram Mutual Fund.

6. Contingent Liabilities

6.1 An appeal is pending before CIT (A) for the A.Y.2006-07, wherein the disallowance made under section 14A of the Income Tax Act, 1961, of Rs. 279,520/- calculated as per Rule 8D, is disputed by the Company.

6.2 As regards A.Y 2007-08, the Company has filed appeal before ITAT against disallowance of Rs. 2,710,000/- by CIT(A) written off as bad debts in respect of Ahmedabad Urban Co-operative Bank Ltd.

6.3 The Company received an Order dated March 10, 2013 U/S 143 (3) of the IT Act along with a demand notice of Rs. 2,159,460/- and paid Rs. 200,000/- on protest for A.Y 2010-11 for sundry disallowances. The Company has already filed an appeal with the appropriate authority against the order.

# Deferred tax asset has not been recognized in the accounts on the basis of prudence as per AS 22 for the financial year 2014-15.

7. The Company operates in only one segment. Hence segment reporting under AS17 is not applicable to the Company.

8. Related party disclosure as required by Accounting Standard (AS)-18 "Related Party Disclosure" as notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 2013.

Name Relationship

a) Shriram Credit Company Limited Holding Company

b) Shriram Transport Finance Co Ltd (STFC) Associate to Holding Co.

c) Ceylinco Shriram Capital Management Services Co. Pvt. Ltd. Associate Co.

d) Mr. Akhilesh Kumar Singh (M.D) Key Management personnel

e) Shriram Insight Share Brokers Ltd. Associate Co.

f) Shriram Fortune Solutions Ltd. Associate Co.

9. The Company does not have 'suppliers' registered under the Micro, Small and Medium Enterprises Development ("MSMED") Act, 2006. Accordingly, no disclosures relating to amounts unpaid as at the year end and together with interest paid / payable are required to be furnished.

10. Since the Company has incurred a loss in the current year, hence provision for dividend on 400000 (Four Lakh) (0.01%) RNCPS of Rs.100/- each fully paid up has not been provided in the accounts.

11. Previous year's figures have been re-grouped and re-arranged, wherever considered necessary.

Mar 31, 2014

1. The Scheme Risk Guardian''95 has been wound up, effective 7th July 2000 and the three tax saving schemes Tax Guardian''95, Tax Guardian''96, Tax Guardian''97 have been wound up with effect from 30th April 2001 and Interval Fund 97 effective 1st December 2001, with the approval of SEBI. For the unclaimed redemption money of these schemes the company has been following the provisions laid down under Regulation 59 of SEBI (Mutual Funds) Regulations 1996. Further, as the unclaimed redemption money being managed by the Company is very small amounting to Rs. 385,748/- it has been decided not to charge asset management fees from 01.04.2004 to Shriram Mutual Fund.

2. Contingent Liabilities

2.1 An appeal is pending before CIT (A) for the A.Y.2006-07, wherein the disallowance made under Section 14A of the Income Tax Act, 1961, of Rs. 2,79,520/- calculated as per Rule 8D,is disputed by the Company.

2.2 As regards A.Y 2007-08, the Company has filed appeal before ITAT against disallowance of Rs. 27,10,000/- by CIT(A) written off as bad debts in respect of Ahmedabad Urban Co-operative Bank Ltd.

2.3 The Company received an Order dated 10.03.2013 U/S 143(3) of the IT Act along with a demand notice of Rs.21,59,460/- and paid Rs. 2,00,000/- on protest for AY 2010-11 for sundry disallowances . The Company has already filed an appeal with the appropriate authority against the order.

# Deferred tax asset has not been recognized in the accounts on the basis of prudence as per AS 22 for the financial year 2013-14.

3. The Company operates in only one segment. Hence segment reporting under AS17 is not applicable to the Company.

4. Related party disclosure as required by Accounting Standard (AS)-18 "Related Party Disclosure" as notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and the relevant provisions of the Companies Act, 1956.

Name Relationship

a) Shriram Credit Company Limited Holding Company

b) Shriram Transport Finance Co. Ltd. (STFC) Associate to Holding Co.

c) Ceylinco Shriram Capital Management Services Co. Pvt. Ltd. Associate Co.

d) Mr. Akhilesh Kumar Singh (M.D.) Key Management personnel

e) Shriram Insight Share Brokers Ltd. Associate Co.

f) Shriram Fortune Solutions Ltd. Associate Co.

5. The Company does not have ''suppliers'' registered under the "The Micro, Small and Medium Enterprises Development ("MSMED") Act, 2006. Accordingly, no disclosures relating to amounts unpaid as at the year end and together with interest paid / payable are required to be furnished.

6. Since the Company has incurred a loss in the current year, hence provision for dividend on 400000 (Four Lakh) 0.01% RNCPS of Rs. 100/-each fully paid up has not been provided in the accounts.

7. Previous year''s figures have been re-grouped and re-arranged, wherever considered necessary.

Mar 31, 2013

1. The Scheme Risk Guardian''95 has been wound up effective 7th July 2000 and the three tax saving schemes Tax Guardian''95, Tax Guardian''96, Tax Guardian''97 have been wound up effective 30th April 2001 and Interval Fund 97 effective 1st December 2001.

2. Currently Shriram Mutual Fund does not have any live schemes and no new schemes have been launched during the year, however, for all the five schemes launched previously the company has been following the provisions laid down under Regulations 59 of SEBI (Mutual Funds) Regulations, 1996. Further, the Company has continued to maintain its status as an Asset Management Company for Mutual Fund by complying with all the relevant provisions of SEBI (Mutual Funds) Regulations, 1996. Accordingly, the financial statements of the Company have been prepared on a going concern basis.

3. As the unclaimed redemption money being managed by the Company is very small, it has been decided not to charge asset management fees from 01.04.2004 to Shriram Mutual Fund.

4. Contingent Liabilities

4.1 An appeal is pending before CIT (A) for the A.Y.2006-07, wherein the disallowance made under Section 14A of the Income Tax Act, 1961, of Rs. 279,520/- calculated as per Rule 8D, is disputed by the Company.

As regards A.Y 2007-08, the Company has filed appeal before ITAT against disallowance of Rs. 27,10,000/- by CIT(A) written off as bad debts in respect of Ahmedabad Urban Co-operative Bank Ltd.

4.2 The Company received an Order dated 10.03.2013 U/S 143 (3) of the IT Act along with a demand notice of Rs. 2,159,460/- for AY 2010-11 for sundry disallowances. The Company has already filed an appeal with the appropriate authority against the order.

5. The Company operates in only one segment. Hence segment reporting under AS17 is not applicable to the Company.

6. The Company does not have ''suppliers'' registered under the The Micro, Small and Medium Enterprises Development ("MSMED") Act, 2006. Accordingly, no disclosures relating to amounts unpaid as at the year end and together with interest paid / payable are required to be furnished.

7. Since the Company has incurred a loss in the current year, hence provision for dividend on 1,00,000 (One Lac) 0.01% Redeemable Non Covertible Preference Shares of Rs.100/- each fully paid up has not been provided in the accounts.

8. Previous year''s figures have been re-grouped and re-arranged, wherever considered necessary.

Mar 31, 2012

1.1) Terms/rights attached to equity shares

The Company has only one class of equity shares having a par value of Rs.10 per share. Each holder of equity share is entitled to one vote per share. Dividend, as and when recommended by the Board of Directors, is subject to approval of the shareholders in their Annual General Meeting.

For the financial year ended March 31, 2012, the Company has not declared any dividend.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts.

The distribution will be in proportion to the number of equity shares held by the shareholders.

2.1) An amount of Rs.22,785,000/- representing disputed redemption money on 35,00,000 units of "Risk Guardian 95" is held by the Company in trust to be paid to the rightful owner when the dispute is settled by the appropriate court/forum. This amount has been deployed in subordinate bond and along with interest accrued thereon, the present value of which is Rs.61,179,768/- (inclusive of tax of Rs.11,122,842/- for the period from 2001-02 to 2010-11).

The disputed amount of Rs.22,785,000/- along with interest accrued thereon has been recognised in the accounts as payable to the rightful owner.

# Receivable from broker

The Company's claim for the recovery from a broker for a principal amount of Rs.72.10 lakhs, together with interest thereon has been upheld by the Arbitration Tribunal of the Bombay Stock Exchange Ltd. However, the Income Tax Department had issued prohibitory orders /attachment notices, against the Exchange in respect of properties of the broker. In response, the Exchange has filed a Writ Petition, before the Hon'ble High Court, Bombay against the Income Tax Department, challenging the prohibitory order/ attachment notices. The Hon'ble Court has passed an Interim Order, interalia directing the Exchange not to disburse the amount till further orders. The said Writ Petition is pending before the Hon'ble High Court, Bombay.

In view of the uncertainty pending finality of the proceedings, the Company has not recognised the interest on principal amount of Rs.72.10 lakhs. In the previous year, the Company received Rupees Three lakhs from the Exchange, as a part payment against the award.

3.1) Interest income on subordinate bond

Interest on the subordinate bond of Rs.22,388,702/- (net of tax) for the period from financial year 2001-02 to financial year 2010- 11 has been recognised as prior period item. Interest of Rs.4,883,224/- (net of tax) for the period from 01.04.2011 to 31.03.2012 has been recognised as interest received in the accounts for the financial year ended 31.03.2012.

Prior period item of Rs.33,511,544/- (gross) represents interest received against subordinate bond for the priod from financial year 2001-02 to financial year 2010-11 and had offered for tax during the respective years.

4. The Scheme Risk Guardian'95 has been wound up effective 7th July 2000 and the three tax saving schemes Tax Guardian'95, Tax Guardian'96, Tax Guardian'97 have been wound up effective 30th April 2001 and Interval Fund 97 effective 1st December 2001.

5. Though all the schemes of Shriram Mutual Fund have been wound up and no new schemes have been launched during the year, the Company has continued to maintain its status as an Asset Management Company for Mutual Fund. Accordingly, the financial statements of the Company have been prepared on going concern basis.

6. As the unclaimed redemption money being managed by the Company is very small, it has been decided not to charge asset management fees from 01.04.2004 to Shriram Mutual Fund.

7. Contingent Liabilities

7.1 An appeal is pending before CIT (A) for the A.Y.2006-07, wherein the disallowance made under section 14A of the Income Tax Act, 1961, of Rs. 2,79,520/- calculated as per Rule 8D, is disputed by the Company.

7.2 As regards A.Y 2007-08, the Company has filed appeal before CIT (A) against disallowance of Rs.2,96,560/- under the provisions of Section 14A of the Income Tax Act, 1961 and also against disallowance of Rs.27,10,000/- written off as bad debts in respect of Ahmedabad Urban Co-operative Bank Ltd.

8. Income Tax assessment has been completed up to and including the Assessment Year 2007-08

9. The Company operates in only one segment. Hence segment reporting under AS17 is not applicable to the Company.

10. Earning per share (EPS) computed in accordance with Accounting Standard 20 " Earning per Share"

11. The Company does not have 'suppliers' registered under the "The Micro, Small and Medium Enterprises Development ("MSMED") Act, 2006. Accordingly, no disclosures relating to amounts unpaid as at the year end and together with interest paid / payable are required to be furnished.

12. Previous year's figures have been re-grouped and re-arranged, wherever considered necessary.

Mar 31, 2010

1. The Scheme Risk Guardian95 has been wound up effective 07.07.2000 and the three tax saving schemes Tax Guardian95, Tax Guardian96, Tax Guardian97 have been wound up effective 30.04.2001 and Interval Fund 97 effective 01.12.2001. The assets appearing in Schedule F (A) to the accounts represents assets taken over from / relating to the schemes which have been wound up.

2. Though all the schemes of Shriram Mutual Fund have been wound up and no new schemes have been launched during the year, the Company has continued to maintain its status as an Asset Management Company for Mutual Fund. Accordingly, the financial statements of the Company have been prepared on going concern basis.

3. As the unclaimed redemption money being managed by the Company is very small, it has been decided not to charge asset management fees from 01.04.2004 to Shriram Mutual Fund.

4. Contingent Liabilities

a) An appeal is pending before CIT (A) for the A.Y.2006-07, wherein the disallowance made under Section 14A of the Income Tax Act, 1961, of Rs.2,79,520/- calculated as per Rule 8D, is disputed by the Company.

b) As regards A.Y. 2007-08, the Company has filed appeal before CIT (A) against disallowance of Rs. 2,96,560/- under the provisions of Section 14A of the Income Tax Act, 1961 and also against disallowance of Rs. 27,10,000/- written off as bad debts in respect of Ahmedabad Urban Co-operative Bank Ltd.

5. A sum of Rs. 41,340,000/- as on 01.04.2009 (P.Y. Rs. 41,340,000/-) represents disputed redemption amount which is held by the Company in trust which is to be paid to the rightful owner when the dispute is settled by an appropriate court / forum. An equivalent amount is invested in subordinate debt certificate. Accordingly, this amount and interest earned thereon of Rs. 54,22,948/- (TDS Rs. 5,42,294/-) during the year ended 31.03.2010 are not reflected in the Balance Sheet and Profit and Loss account of the Company.

6. Provision for tax has been worked out after considering interest income on subordinated bonds.

The tax payments on this account will be claimed at the time of interest payments to the rightful owner in the event of settlement of dispute as stated in Note No.7 above.

7. Other Current Assets includes:

Rs. 7,210,351/- (P.Y. Rs. 7,061,349/-) is receivable from a broker and taken over by the Company from mutual fund. In the arbitral reference filed by the Company, the broker has entered into consent terms with the Company and consequently, the High Court of Judicature at Mumbai allowed the parties to re-agitate the issues freshly before the Arbitration Panel of stock exchange. On reference to the Arbitration panel of Bombay Stock Exchange, Companys claim for principal amount of Rs. 72.10 lakhs has been allowed. Company has preferred further appeal for interest on delayed payments which is pending before the Honble Appeal Bench of the Bombay Stock Exchange Ltd.

8. Income Tax assessment has been completed up to and including the Assessment Year 2007-08

9. The Deferred Ta x Assets & Liabilities arising on account of timing difference are recognized in the Profit & Loss account. Deferred tax assets have been recognized only to the extent there is virtual certainty that the assets would be realized in future.

10. The Company operates in only one segment.

11. Related party disclosure as required by Accounting Standard (AS)-18 "Related Party Disclosure" issued by the Institute of Chartered Accountants of India

Name Relationship

a) Shriram Transport Finance Co. Ltd. (STFC) Associate Co.

b) Ceylinco Shriram Capital Management Services Co. Pvt. Ltd. Associate Co.

c) Shriram Capital Ltd. Associate Co.

d) Mr.R.Sundara Rajan (M.D) Key Managerial personnel

12. The Company does not have suppliers registered under the "The Micro, Small and Medium Enterprises Development ("MSMED") Act, 2006. Accordingly, no disclosures relating to amounts unpaid as at the year end and together with interest paid / payable are required to be furnished.

13. Previous years figures have been re-grouped and re-arranged, wherever considered necessary.

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