United Polyfab Gujarat Ltd. के अकाउंट के लिये नोट

Mar 31, 2025

i. Provision for Current and Deferred Tax

Provision for current tax is made after taking into consideration benefits admissible under the provisions of the
Income-tax Act, 1961.

Deferred tax resulting from "timing difference" between taxable and accounting income is accounted for using the tax
rates and laws that are enacted or substantively enacted as on the balance sheet date. Deferred tax asset is recognized
and carried forward only to the extent that there is a virtual certainty that the asset will be realized in future.

j. Provisions

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation

as a result of past events and it is probable that there will be an outflow of resources will be required to settle the
obligation and 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 reporting
date and adjusted to reflect the current best estimates.

k. Earnings per Share

Basic earnings per share is calculated by dividing the net profit after tax by the weighted average number of equity
shares outstanding during the year adjusted for bonus element in equity share. Diluted earnings per share adjust the
figures used in determination of basic earnings per share to take into account the conversion of all dilutive potential
equity shares. Dilutive potential equity shares are deemed converted as at the beginning of the period unless issued at
a later date.

l. Segment reporting

A) Primary Business Segments:

The Company''s Operations currently comprise of one segment i.e. manufacturing of textiles.

B) Secondary Business Segments:

• The company operate its business at single a place and the function of company is such that the company cannot
be classified into segments as per IND AS 108.

m. Contingent Liability:

Disclosure of contingent liability is made 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 embodying economic benefits will be required to settle or a reliable estimate of amount
cannot be made.

n. Financial Instruments
i. Financial Assets

A. Initial Recognition and Measurement

All Financial Assets are initially recognised at fair value. Transaction costs that are directly attributable to the acquisition
or issue of Financial Assets, which are not at Fair Value Through Profit or Loss, are adjusted to the fair value on initial
recognition. Purchase and sale of Financial Assets are recognised using trade date accounting. However, trade
receivables that do not contain a significant financing component are measured at transaction price.

Subsequent Measurement

a) Financial Assets measured at Amortised Cost (AC)

A Financial Asset is measured at Amortised Cost if it is held within a business model whose objective is to hold the asset
in order to collect contractual cash flows and the contractual terms of the Financial Asset give rise to cash flows on
specified dates that represent solely payments of principal and interest on the principal amount outstanding.

b) Financial Assets measured at Fair Value Through Other Comprehensive Income (FVTOCI)

A Financial Asset is measured at FVTOCI if it is held within a business model whose objective is achieved by both
collecting contractual cash flows and selling Financial Assets and the contractual terms of the Financial Asset give rise
on specified dates to cash flows that represents solely payments of principal and interest on the principal amount
outstanding.

c) Financial Assets measured at Fair Value Through Profit or Loss (FVTPL)

A Financial Asset which is not classified in any of the above categories are measured at FVTPL. Financial assets are
reclassified subsequent to their recognition, if the Company changes its business model for managing those financial
assets. Changes in business model are made and applied prospectively from the reclassification date following the
changes in business model in accordance with principles laid down under Ind AS 109 - Financial Instruments.

C. Investment in Subsidiaries, Associates and Joint Ventures

The Company has accounted for its investments in Subsidiaries, associates and joint venture at cost less impairment
loss (if any).

D. Other Equity Investments

All other equity investments are measured at fair value, with value changes recognised in Statement of Profit and Loss,
except for those equity investments for which the Company has elected to present the value changes in ''Other
Comprehensive Income''. However, dividend on such equity investments arerecognised in Statement of Profit and loss
when the Company''s right to receive payment is established.

. Impairment of Financial Assets

In accordance with Ind AS 109, the Company uses ''Expected Credit Loss'' (ECL) model, for evaluating impairment of
Financial Assets other than those measured at Fair Value Through Profit and Loss (FVTPL), limited to measurement trade
receivables. Expected Credit Losses are measured through a loss allowance at an amount:

• equal to 20 % of those receivables who are outstanding beyond 180 days (limited to within 365 days) of the bill date;

• equal to 50 % of those receivables who are outstanding beyond 365 days (limited to within 720 days) of the bill date;

• equal to 100% of those receivables who are outstanding beyond 720 days (expected credit losses that result from all
possible default events over the life of the financial instrument).

For Trade Receivables the Company applies ''simplified approach'' which requires expected lifetime losses to be
recognised from initial recognition of the receivables. The Company uses historical default rates to determine

impairment loss on the portfolio of trade receivables. At every reporting date these historical default rates are reviewed
and changes in the forward-looking estimates are analyzed.

ii. Financial Liabilities

A. Initial Recognition and Measurement

All Financial Liabilities are recognized at fair value and in case of borrowings, net of directly attributable cost. Fees of
recurring nature are directly recognized in the Statement of Profit and Loss as finance cost.

B. Subsequent Measurement

Financial Liabilities are carried at amortized cost using the effective interest method. For trade and other payables
maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the short
maturity of these instruments.

iii. Derecognition of Financial Instruments

The Company derecognizes a Financial Asset when the contractual rights to the cash flows from the Financial Asset
expire or it transfers the Financial Asset and the transfer qualifies for derecognition under Ind AS 109. A Financial liability
(or a part of a Financial liability) is derecognized from the Company''s Balance Sheet when the obligation specified in the
contract is discharged or cancelled or expires.

Offsetting

Financial Assets and Financial Liabilities are offset and the net amount is presented in the balance sheet when, and only
when, the Company has a legally enforceable right to set off the amount and it intends, either to settle them on a net
basis or to realise the asset and settle the liability simultaneously.

o. Non Current Asset Held for Sale

Non current asset or disposal groups comprising of asset and liabilities are classified as ''held for sale'' when all the
following criteria are met:

i) decision has been made to sell ,

ii) the asset are available for immediate sale in its present condition ,

iii) the asset are being actively marketed and

iv) sale has been agreed or is expected to be concluded with in 12 months of the balance sheet.

Subsequently , such non current assets and disposal groups classified as ''held for sale'' are measured at the lower of its
carrying value and fair value less costs to sell. Non Current assets held for sale are not depreciated or amortised.

For and on Behalf of
Rajiv Shah & Associates

Rajiv C Shah( Partner) Chartered Accountants

FRN No:108454W

M.No.:043261 UDIN:25043261BMKYZA6293

Place: Ahmedabad

Date:26.05.2025

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Mar 31, 2024

10.6 Rights, Preferences and Restrictions Attached to Shares:

(i) The Company has only one class of shares i.e. Equity Shares having par value of Rs 10 each. Each holder of Equity Shares is entitled to one vote per share.

(ii) 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, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

10.7 In the current year, the company vide its board resolution dated 26/12/2023, with reference to special

resolution passed by the members of the company in EGM dated 09/12/2022 and on reciept of 75 % of the issue price of all share warrant holders, it converted 20,00,000 Equity Share Warrants into 20,00,000 Equity Shares of face value Rs. 10/- each at a premium of Rs. 52/- per share. The rights attached to such shares shall be pari-passu with the existing Equity Shares of the Company.

12.4 The Outstanding Balance of PNB and Indian Bank is taken over by SBI on 30/03/2024. The outstanding balance in latter banks is amount petinent to Interest on the closing date.

**The company is liable to get registered under The Employee’s Provident Fund scheme, 1952 and deduct PF of its employees and contribute the same to EPFO. Nevertheless, the company has not taken any Universal Account Number (UAN) for EPF contribution and does not conform to the requirements of the said act.

Note 32: Contingent Liabilities and Commitments
Particulars	For the Year Ended 31 March, 2024	For the Year Ended 31 March, 2023
(i) Contingent Liabilities
(A) Claims against the Group / disputed liabilities not acknowledged as debt
(B) Guarantees
(i) Guarantees to Banks and Financial Institutions against credit facilities extended to third parties & other guarantees
(ii) Performance Guarantees	-	-
(iii) Outstanding guarantees furnished to Banks and Financial Institutions including in respect of Letters of Credits *	263.51	256.74
(ii) Commitments	_	_
Total	263.51	256.74

Note 34: Significant Events Occuring After the Balance Sheet Date

(i) The company had received an Adjudication Order Bearing No. Order/SV/VC/2023-24/30058-30065 dated February 29th, 2024 under provisions of section 15HA of Securities and Exhange Board ogf India Act, 1992, for violation of the provision of section 12A(a),(b),(c) of SEBI Act read with Regulations 3(a),3(b),3(c),3(d) and regulations 4(1),4(2)(a), and (e) (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) of SEBI Regulations, 2003, imposing a penalty of Rs. 48,00,000. The company, along with its directors, have filed an appeal on April 15th, 2024 against the adjudicating officer for the amount of penalty imposed.

(ii) The company had received Income Tax Assessment Order vide DIN: ITBA/AST/S/143(3)/2023-24/1063476558(1) on 27/03/2024 under section 143(3) r.w.s. 144B of the Income Tax Act, 1961 which proposed an addition of Rs. 1,01,35,000 in the total income filed as per original return. The department raised a demand of Rs. 11,510 (after MAT adjustments) against which the company has filed an appeal on April 18th, 2024.

(iii) The company had received Income Tax Assessment Order vide DIN: ITBA/AST/S/147/2023-24/1063361063(1) on 25/03/2024 under section 147 r.w.s 144B of the Income Tax Act, 1961 which proposed an addition of Rs. 1,13,41,802 in the total income filed as per original return. The department raised a demand of Rs. 3,52,300 (after MAT adjustments) against which the company has filed an appeal on April 16th, 2024