Informed Technologies India Ltd. — Annual Report 2020

Sep 6, 2020

INFORMED TECHNOLOGIES INDIA LIMITED

CIN L99999MH1958PLC011001

| Regd. Office: ‘Nirmal’, 20[th] Floor, Nariman Point, Mumbai - 400021| | Tel# +91 22 2202 3055/66 | Fax# +91 22 2204 3162 |

| Email: itil_investor@informed-tech.com | Website: www.informed-tech.com |

Date: September 06, 2020

To, Bombay Stock Exchange Limited Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai 400 001.

Dear Sir/Madam,

SCRIP CODE: - 504810

Sub: Annual Report for the Financial Year 2019-2020

Ref: Regulation 34(1) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015

In compliance with Regulation 34 (1) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, enclosed please find the Annual Report of the Company for the Financial Year 2019-2020.

Kindly take the same on your records.

Yours faithfully,

For M/s. Informed Technologies India Limited

REENA Digitally signed by REENA S YADAV S Date: 2020.09.06 YADAV 14:18:09 +05'30'

Reena Yadav Company Secretary & Compliance Officer Membership No. A36429

INFORMED TECHNOLOGIES INDIA LIMITED

62[nd] ANNUAL REPORT 2019-2020

Informed Technologies India Limited

Annual Report 2019-2020

BOARD OF DIRECTORS

Mr. Gautam Khandelwal DIN 00270717 Non-Executive Chairman Mrs. Suelve Khandelwal DIN 00270811 Executive Director Mr. Nimis Sheth DIN 00482739 Independent Director Mr. Virat Mehta DIN 07910116 Independent Director

CHIEF FINANCIAL OFFICER

Mrs. Roshan D’souza

COMPANY SECRETARY AND COMPLIANCE OFFICER

Ms. Reena Yadav (ICSI Membership No. A36429)

STATUTORY AUDITORS

M/s. Parekh Sharma And Associates Chartered Accountants, Mumbai

BANKERS

Bank of Baroda

The Hongkong and Shanghai Banking Corporation Ltd ICICI Bank Ltd

LISTED AT

Bombay Stock Exchange Limited ISIN : INE123E01014

REGISTERED OFFICE

Nirmal, 20[th] Floor, Nariman Point, Mumbai-400021. Tel No. : 022-22023055/66

Email id: itil_investor@informed-tech.com Website : www.informed-tech.com CIN: L99999MH1958PLC011001

SOFTWARE DEVELOPMENT CENTRE

Millenium Business Park, 302, 303, Bldg. No. 4, Sector No. 3, TTC. MIDC, Mahape, Navi Mumbai-400710, Maharashtra, India.

REGISTRAR & SHARE TRANSFER AGENTS

Link Intime India Private Limited

C 101, 247 Park, L B S Marg, Vikhroli West, Mumbai 400 083 Tel No: +91 22 49186000 Fax: +91 22 49186060 Email Id: rnt.helpdesk@linkintime.co.in

Contents ...............................................Page No. Company Information ............................................... 1 Notice......................................................................... 2 Directors' Report, Management Discussion & Analysis Report .................................................... 10 Secretarial Auditor Report - Annexure I .................. 23 Form No. MGT- 9 - Annexure II ................................ 27 Auditors' Report ....................................................... 34 Balance Sheet ......................................................... 42 Profit & Loss Statement .......................................... 43 Cash Flow Statement ............................................. 44 Notes on Financial Statements .............................. 46 Consolidated Statements ....................................... 78 Form AOC-1 ........................................................... 121

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Informed Technologies India Limited

Annual Report 2019-2020

NOTICE

NOTICE is hereby given that the Sixty Second Annual General Meeting of the Members of Informed Technologies India Limited will be held on Wednesday, September 30, 2020 at 2:00 PM through Video Conferencing (VC) / Other Audio Visual Means (OAVM) to transact the following business:

ORDINARY BUSINESS:

1. To receive, consider and adopt the Audited Financial Statements of the Company for the financial year ended March 31, 2020 together with the Directors’ Report and Auditors Report thereon; and the Audited Consolidated Financial Statement of the Company for the financial year ended March 31, 2020 together with the Auditors Report thereon.

2. To appoint a Director in place of Mrs. Suelve Gautam Khandelwal (DIN 00270811), who retires by rotation and, being eligible, offers herself for re-appointment.

SPECIAL BUSINESS:

3. APPROVAL FOR RELATED PARTY TRANSACTIONS UNDER SECTION 188 OF THE COMPANIES ACT, 2013

To consider and, if thought fit to pass the following resolution as an Ordinary Resolution:

“RESOLVED THAT pursuant to Section 188 and other applicable provisions of the Companies Act, 2013 read with the Companies (Meeting of Board and its Power) Rules, 2014 (including any statutory modification(s) or re-enactment(s) thereof for the time being in force), and applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (including any amendment(s), modification(s) or re-enactment(s) thereof), consent of the members of the Company be and is hereby accorded for the transactions hitherto entered or to be entered into by the Company in the ordinary course of business and at arm’s length price with the following related parties upto the maximum amount as mentioned herein below for the financial year 2020-2021 and for every financial year thereafter on such terms and condition as may be mutually agreed between the company and the related parties:

Sr. No.	Name of the related party	Relationship with the related party	Transactions define under section 188 of the Companies Act, 2013	Maximum Value of the Transaction(s) per annum (Rs. In Lakhs)
1.	Mr. Arnold Allen	Foreign Holding Company’s Secretary	Availing of Services	10.00
2.	Nagpur Power And Industries Limited	Same Promoter Group Company	Re-imbursements of Expenses to/from group company	100.00
3.	Entecres Labs Pvt. Ltd.	Associate Company	Re-imbursements of Expenses to/from group company	10.00
4.	The Motwane Mfg. Co. Pvt. Ltd	Subsidiary of Group Company	Re-imbursements of Expenses to/from group company	25.00
5.	The Motwane Mfg. Co. Pvt. Ltd	Subsidiary of Group Company	Availing & Providing of Services	200.00

“RESOLVED FURTHER THAT the Board of Directors of the company be and are hereby authorized to do all acts, deeds, matters and things as may be considered necessary, proper or desirable to give effect to this resolution.”

For and on behalf of the Board

Place: Mumbai Date: September 02, 2020

Gautam Khandelwal Chairman DIN 00270717

Registered Office:

"Nirmal", 20th Floor, Nariman Point, Mumbai 400021

CIN: L99999MH1958PLC011001 Website: www.informed-tech.com

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Informed Technologies India Limited

Annual Report 2019-2020

NOTES

1. Pursuant to the General Circular numbers 20/2020, 14/2020, 17/2020 issued by the Ministry of Corporate Affairs (MCA) and Circular number SEBI/HO/CFD/CMD1/CIR/P/2020/79 issued by the Securities and Exchange Board of India (SEBI) (hereinafter collectively referred to as “the Circulars”), companies are allowed to hold AGM through VC/OAVM, without the physical presence of members at a common venue. Hence, in compliance with the Circulars, the AGM of the Company is being held through VC/OAVM.

2. An Explanatory Statement pursuant to Section 102 (1) of the Companies Act, 2013, in respect of special business to be transacted at the Annual General Meeting (AGM), as set out under Item No. 3 and the relevant details of the Director seeking re-appointment under Companies Act, 2013, SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and Secretarial Standards – 2 on General Meetings issued by the Institute of Company Secretaries of India is annexed thereto.

3. M/s. Parekh Sharma and Associates, Chartered Accountants, were appointed as Statutory Auditors of the Company at the 59[th] Annual General Meeting held on September 28, 2017. Pursuant to Notification issued by the Ministry of Corporate Affairs on 7th May, 2018 amending section 139 of the Companies Act, 2013 and the Rules framed thereunder, the mandatory requirement for ratification of appointment of Auditors by the Members at every Annual General Meeting (“AGM”) has been omitted, hence the Company is not proposing an item on ratification of appointment of Auditor at this AGM.

4. Pursuant to the provisions of the Act, a Member entitled to attend and vote at the AGM is entitled to appoint a proxy to attend and vote on his/her behalf and the proxy need not be a Member of the Company. Since this AGM is being held pursuant to the MCA Circulars through VC/OAVM, physical attendance of Members has been dispensed with. Accordingly, the facility for appointment of proxies by the Members will not be available for the AGM and hence the Proxy Form and Attendance Slip are not annexed to this Notice.

5. Participation of members through VC will be reckoned for the purpose of quorum for the AGM as per section 103 of the Companies Act, 2013 (“the Act”).

6. Institutional / Corporate Members are requested to send a scanned copy (PDF / JPEG format) of the Board Resolution authorizing its representatives to attend and vote at the AGM, pursuant to Section 113 of the Act, at itil_investor@informedtech.com.

7. The Register of Members and Share Transfer Books of the Company will remain closed from Thursday, September 24, 2020 to Wednesday, September 30, 2020 (both days inclusive).

8. In terms of Section 123 of the Companies Act, 2013 the amount of dividend remaining unclaimed or unpaid for a period of seven consecutive years from the date of transfer to the unpaid dividend account is required to be transferred to the Investor Education and Protection Fund (IEPF). Accordingly, in the year 2019-2020 the Company has transferred unpaid dividend for the year ended March 31, 2012 to IEPF. Further, in the year 2020-21, the Company would be transferring the unclaimed or unpaid final dividend for the year ended March 31, 2013 to IEPF. Thus, shareholders are requested to claim the dividend on or before October 20, 2020. No claim shall lie from a Member once the transfer is made to the said Fund. The Members who have not encashed their dividend warrants are requested to encash the same before the said transfer in their own interest.

9. As per the provisions of Investor Education and Protection Fund (Uploading of Information regarding Unpaid and Unclaimed amounts lying with Companies) Rules, 2012, the Company has placed on its website (www.informedtech.com), the information on dividend which remains unclaimed with the Company as on Tuesday, September 10, 2019 i.e. date of the previous AGM. The information is also available on the website of the Ministry of Corporate Affairs (www.mca.gov.in).

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Annual Report 2019-2020

1. Further, pursuant to the provisions of section 124 of the Companies Act, 2013 read with IEPF Rules, all shares on which dividend has not been paid or claimed for seven consecutive years or more shall be transferred to IEPF Authority as notified by the Ministry of Corporate Affairs. In accordance with the aforesaid IEPF Rules, the Company has sent notice to all the Shareholders whose shares are due for transfer to the IEPF Authority and has also published notice in newspapers. Further, the said details of shareholders are also uploaded on website of the Company and can be accessed at http://informed-tech.com/investors/unclaimed-dividend/. Further, the shareholders whose dividend/shares are/will be transferred to the IEPF Authority can claim the same from the IEPF Authority by following the procedure as detailed on the website of IEPF Authority (http://www.iepf.gov.in/IEPF/refund.html).

2. The Company’s equity shares are listed at Bombay Stock Exchange Limited, Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai 400 001 and the Company has paid the Annual Listing Fees to the Stock Exchanges for the Financial Year 2020-21.

3. In terms of Section 72 of the Companies Act, 2013, and Rule 19 of the Companies (Share Capital and Debentures) Rules, 2014, every share holder of the Company may, at any time, nominate, in the prescribed manner, a person to whom his/her shares in the Company shall vest in the event of his/her death. Members, who wish to avail this facility, may fill the prescribed Form No. SH-13 (which will be made available on request) and submit these details to their DP in case the shares are held by them in electronic form, and to the Registrar and Transfer Agent, M/s. Link Intime India Private Limited, in case the shares are held in physical form.

4. Members seeking any information with regards to the Accounts are requested to write to the Company at an early date, so as to enable the Management to keep the information ready at the meeting.

5. Members who would like to express their views or ask questions during the AGM may register themselves as a speaker by sending their request/ questions to the company via email (itil_investor@informed-tech.com ) in advance from their registered email address mentioning their name, DP ID and Client ID/folio number, PAN, mobile numbers (7) seven days prior to the AGM. Those Members who have registered themselves as a speaker will only be allowed to express their views/ask questions during the AGM on first in first out basis. The Company reserves the right to restrict the number of speakers depending on the availability of time for the AGM.

6. The Directors’ Report, Auditors Report and Audited Financial Statements (Standalone and Consolidated) as at March 31, 2020 are enclosed.

7. Inspection of Documents – Register of Directors and Key Managerial Personnel and their shareholdings and Register of Contracts or Arrangements in which Directors are interested, maintained under Sections 170 and 189 of the Act, 2013 will be available electronically for inspection by the Members during the AGM.

8. In compliance with the aforesaid MCA Circulars and SEBI Circular dated May 12, 2020, Notice of the AGM along with the Annual Report 2019-20 is being sent only through electronic mode to those Members whose email addresses are registered with the Company/Depositories. Members may note that the Notice and Annual Report 2019-20 will also be available on the Company’s website www.informed-tech.com and website of the Bombay Stock Exchange at www.bseindia.com.

9. Members holding shares in physical mode and who have not updated their email addresses with the Company are requested to update their email addresses by writing to the Company at itil_investor@informed-tech.com along with the copy of the signed request letter mentioning the name and address of the Member, self-attested copy of the PAN card, and self-attested copy of any document (eg.: Aadhar Card, Driving License, Election Identity Card, Passport etc.) in support of the address of the Member. Members holding shares in dematerialized mode are requested to register / update their email addresses with the relevant Depository Participants. In case of any queries difficulties in registering the e-mail address, Members may write to itil_investor@informed-tech.com.

10. Since the AGM will be held through VC, the Route Map is not annexed in this Notice.

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Informed Technologies India Limited

Annual Report 2019-2020

1. The members are requested to intimate any change in their address with PIN Code, immediately and quote Folio Number in all correspondence.

2. The Name of the Company has been changed from Khandelwal Ferro Alloys Limited to KFA Corporation Limited and later from KFA Corporation Limited to Informed Technologies India Limited w.e.f. August 06, 2001.

3. THOSE MEMBERS WHO HAVE NOT SURRENDERED THEIR OLD CERTIFICATES FOR EXCHANGE TO OBTAIN THEIR NEW SHARE CERTIFICATES OR AFFIXATION OF STICKER/STAMP ARE REQUESTED TO SURRENDER THE SAME AT THE REGISTERED OFFICE ADDRESS OF THE COMPANY/RTA AT MUMBAI.

4. SEBI has vide its Notifications dated June 08, 2018 and November 30, 2018 mandated that securities of listed companies can be transferred only in dematerialized form from April 01, 2019. In view of the above and to avail various benefits of dematerialization, Members are advised to dematerialize the shares held by them in physical form.

5. The Securities and Exchange Board of India (SEBI) has made it mandatory for all companies to use the bank account details furnished by the Depositories and the bank account details maintained by the Registrar and Transfer Agents for payment of dividend to Members electronically. As directed by SEBI, the Members holding shares in physical form are requested to submit particulars of their bank account alongwith the original cancelled cheque bearing the name of the Member to Link Intime/Company to update their Bank Account details.

6. The Securities and Exchange Board of India (SEBI) has mandated the submission of the Permanent Account Number (PAN) by every participant in the securities market. Members holding shares in electronic form are, therefore, requested to submit their PAN to their Depository Participant(s). Members holding shares in physical form are required to submit their PAN details to the M/s. Link Intime India Private Limited, Registrar and Share Transfer Agents, C 101, 247 Park, L B S Marg, Vikhroli West, Mumbai 400 083, Maharashtra.

7. To support the ‘Green Initiative’, the Members who have not registered their e-mail addresses are requested to register the same with M/s. Link Intime India Private Limited /Depositories or send a request to the Company for the same.

27. Process and manner for members opting for Remote e-voting are as under:

In terms of Section 108 of the Companies Act, 2013 read with Rule 20 of the Companies (Management and Administration) Rules, 2014, the Company has engaged the services of CDSL to provide the facility of electronic voting (‘e-voting’) in respect of the Resolutions proposed at this AGM.

A. The instructions for Shareholders voting electronically are as under:-

• (i) The remote e-voting period begins on Sunday, September 27, 2020 (9:00 AM) and ends on Tuesday, September 29, 2020 (5:00 PM). During this period shareholders’ of the Company, holding shares either in physical form or in dematerialized form, as on the cut-off date of Wednesday, September 23, 2020, may cast their vote electronically. The remote e-voting module shall be disabled by CDSL for voting thereafter.

• (ii) Shareholders who have already voted prior to the meeting date would not be entitled to vote at the meeting.

• (iii) The Shareholders should Log on to the e-voting website www.evotingindia.com

• (iv) Click on “Shareholders” tab.

• (v) Now Enter your User ID

• a. For CDSL: 16 digits beneficiary ID;

• b. For NSDL: 8 Character DP ID followed by 8 Digits Client ID;

• c. Members holding shares in Physical Form should enter Folio Number registered with the Company.

• (vi) Next enter the Image Verification as displayed and Click on Login.

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Informed Technologies India Limited

Annual Report 2019-2020

• (vii) If you are holding shares in demat form and had logged on to www.evotingindia.com and voted on an earlier voting of any company, then your existing password is to be used.

• (viii) If you are a first time user follow the steps given below:

For Members holding shares in Demat Form and Physical Form

PAN

Enter your 10 digit alpha-numeric *PAN issued by Income Tax Department (Applicable for both demat shareholders as well as physical shareholders) • Members who have not updated their PAN with the Company/Depository Participant are requested to use the first two letters of their name and the 8 digits of the sequence number in the PAN field. • In case the sequence number is less than 8 digits enter the applicable number of 0’s before the number after the first two characters of the name in CAPITAL letters. Eg. If your name is Ramesh Kumar with sequence number 1 then enter RA00000001 in the PAN field.

Dividend Bank Details OR Date of Birth (DOB)

Enter the Dividend Bank Details or Date of Birth (in dd/mm/yyyy format) as recorded in your demat account or in the Company records in order to login. Please enter the DOB or Dividend Bank Details in order to login. • If both the details are not recorded with the depository or Company please enter the member id/ folio number in the Dividend Bank details field as mentioned in instruction (v).

• (ix) After entering these details appropriately, click on “SUBMIT” tab.

• (x) Members holding shares in physical form will then directly reach the Company selection screen. However, Members holding shares in demat form will now reach ‘PASSWORD CREATION’ menu wherein they are required to mandatorily enter their login password in the new password field. Kindly note that this password is to be also used by the demat holders for voting for resolutions of any other company on which they are eligible to vote, provided that company opts for e-voting through CDSL platform. It is strongly recommended not to share your password with any other person and take utmost care to keep your password confidential.

• (xi) For Members holding shares in physical form, the details can be used only for e-voting on the resolutions contained in this Notice.

• (xii) Click on the EVSN for the relevant < INFORMED TECHNOLOGIES INDIA LIMITED > on which you choose to vote.

• (xiii) On the voting page, you will see “RESOLUTION DESCRIPTION” and against the same the option “YES/NO” for voting. Select the option YES or NO as desired. The option YES implies that you assent to the Resolution and option NO implies that you dissent to the Resolution.

• (xiv) Click on the “RESOLUTIONS FILE LINK” if you wish to view the entire Resolution details.

• (xv) After selecting the resolution you have decided to vote on, click on “SUBMIT”. A confirmation box will be displayed. If you wish to confirm your vote, click on “OK”, else to change your vote, click on “CANCEL” and accordingly modify your vote.

• (xvi) Once you “CONFIRM” your vote on the resolution, you will not be allowed to modify your vote.

• (xvii) You can also take out print of the voting done by you by clicking on “Click here to print” option on the Voting page.

• (xviii) If a demat account holder has forgotten the login password then Enter the User ID and the image verification code and click on Forgot Password & enter the details as prompted by the system.

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Informed Technologies India Limited

Annual Report 2019-2020

(xix) Note for Non-individual Shareholders & Custodians:

• Non-Individual Shareholders (i.e. other than Individuals, HUF, NRI etc.) and Custodians are required to log on to www.evotingindia.com and register themselves as Corporate.

• A scanned copy of the Registration Form bearing the stamp and sign of the entity should be emailed to helpdesk.evoting@cdslindia.com.

• After receiving the login details a Compliance User should be created using the admin login and password. The Compliance User would be able to link the account(s) for which they wish to vote on.

• The list of accounts linked in the login should be mailed to helpdesk.evoting@cdslindia.com and on approval of the accounts they would be able to cast their vote.

• A scanned copy of the Board Resolution and Power of Attorney (POA) which they have issued in favour of the Custodian, if any, should be uploaded in PDF format in the system for the scrutinizer to verify the same.

• (xx) In case you have any queries or issues regarding e-voting, you may refer the Frequently Asked Questions (“FAQs”) and e-voting manual available at www.evotingindia.com under help section or write an email to helpdesk.evoting@cdslindia.com.

• (xxi) Shareholders can also cast their vote using CDSL’s mobile app “CDSL m-Voting” available for android based mobiles. The m-Voting app can be downloaded from Google Play Store. Apple and Windows phone users can download the app from the App Store and the Windows Phone Store respectively. Please follow the instructions as prompted by the mobile app while voting on your mobile.

B. Instructions for Shareholders for e-Voting during the AGM are as under:-

• (xxii) The procedure for e-voting on the day of the AGM is same as the instructions mentioned above for Remote e- voting.

• (xxiii) Only those shareholders, who are present in the AGM through VC/OAVM facility and have not casted their vote on the Resolutions through remote e-Voting and are otherwise not barred from doing so, shall be eligible to vote through e-Voting system available during the AGM.

• (xxiv) If any Votes are cast by the shareholders through the e-voting available during the AGM and if the same shareholders have not participated in the meeting through VC/OAVM facility , then the votes cast by such shareholders shall be considered invalid as the facility of e-voting during the meeting is available only to the shareholders attending the meeting.

• (xxv) Those shareholders who have registered themselves as a speaker will only be allowed to express their views/ask questions during the meeting.

• C. The voting rights of the members shall be in proportion to their shares of the paid up equity share capital of the Company as on the cut-off date of Wednesday, September 23, 2020.

• D. Mr. Sanam Umbargikar, Partner of M/s. DSM and Associates, Practicing Company Secretary (Membership No. 26141, COP No. 9394), has been appointed as Scrutinizer for scrutinizing the remote e-voting procedure in a fair and transparent manner.

• E. The Scrutinizer shall immediately after the conclusion of e-voting at the annual general meeting, first count the votes cast by e-voting at the general meeting and thereafter unblock the votes cast through remote e-voting in the presence of at least two witnesses not in the employment of the Company and shall make, not later than three days of the conclusion of the AGM, a consolidated scrutinizer's report of the total votes cast in favour or against, if any, to the Chairman or a person authorized by him in writing, who shall countersign the same and declare the result of the voting forthwith.

• F. The declared Results, along with the Scrutinizer’s Report, will be available on the Company’s corporate website www.informed-tech.com under the section ‘Investor’ and on the website of CDSL; such Results will also be forwarded to the Bombay Stock Exchange where the Company’s shares are listed.

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Annual Report 2019-2020

• G. The members who have casted their votes by remote e-voting prior to the meeting may also attend the meeting but shall not be entitled to cast their vote again.

• Instructions For Members For Attending the AGM through VC/OAVM are as under:

• (i) Member will be provided with a facility to attend the AGM through VC / OAVM through the CDSL e-voting system. Members may access the same at https://www.evoting.cdsl.com under shareholders/members login by using the remote e-voting credentials. The link for VC / OAVM will be available in shareholder/members login where the EVSN of Company will be displayed. Please note that the members who do not have the User ID and Password for e-Voting or have forgotten the User ID and Password may retrieve the same by following the remote e-Voting instructions mentioned in the notice to avoid last minute rush. Further members can also use the OTP based login for logging into the e-Voting system of CDSL.

• (ii) Members are encouraged to join the Meeting through Laptops for better experience.

• (iii) Further Members will be required to allow Camera and use Internet with a good speed to avoid any disturbance during the meeting.

• (iv) Please note that Participants Connecting from Mobile Devices or Tablets or through Laptop connecting via Mobile Hotspot may experience Audio/Video loss due to Fluctuation in their respective network. It is therefore recommended to use Stable Wi-Fi or LAN Connection to mitigate any kind of aforesaid glitches.

• (v) The facility for joining the AGM through VC/OAVM shall open 30 minutes before the time scheduled for the AGM and will be available for 1000 members on a first come first served basis.

Details of the Directors seeking appointment / re-appointment in the forthcoming Annual General Meeting

Name Of Director	Mrs. Suelve Gautam Khandelwal
DIN NO.	00270811
Date of Birth (Age)	02.06.1964 (56 Years)
Nationality	Indian
Date of Appointment	01.04.2015
Qualifications	She holds a Graduate degree from University of Delhi
Expertise in specific functional areas	She is responsible for business diversification, business process re-engineering, organizational development in the Company and she had significantly contributed in past to the overall performance and growth of the Company.
Directorships held in other companies	1. Zeppelin Investments Pvt. Ltd. 2. TypeOut Media Private Limited 3. TestData Technologies Private Limited
Committee position held in other companies	Nil
No. of shares held in the Company	1,01,580 Equity Shares
Inter-se relationship between Directors, Manager and Key Managerial Personnel	Wife of Mr. Gautam Premnath Khandelwal
Disclosure of relationship with promoter of the Company	She is part of promoter group of the Company

• Board Meeting Attendance And Remuneration Details Are Provided In Directors Report.

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Informed Technologies India Limited

Annual Report 2019-2020

EXPLANATORY STATEMENT

(PURSUANT TO SECTION 102(1) OF THE COMPANIES ACT, 2013)

Item No. 3

APPROVAL FOR RELATED PARTY TRANSACTIONS UNDER SECTION 188 OF THE COMPANIES ACT, 2013

Section 188 of the Companies Act, 2013 provides that except with the consent of the Board of Directors given by a resolution at a meeting of the Board and subject to such conditions as prescribed in rules framed in this regard, no company shall enter into any contract or arrangement with a related party with respect to transactions specified therein. It is further provided that in case of a company having paid- up share capital of not less than such amount or transactions not exceeding such sums as are prescribed in the rules framed in this regard, no contract or arrangement shall be entered into except with the approval of the company by an ordinary resolution. It is further provided that nothing in this sub- section shall apply to any transaction entered into by the company which are entered in its ordinary course of business and are at arm’s length.

Prior approval of shareholders is required for the transactions that are not in the ordinary course of business and not at an arm’s length basis. Though your Company always seeks to enter into transactions with related parties in the ordinary course of business and/or at arm’s length basis, still as better corporate governance measure, it is considered desirable to have the consent of the Members in respect of related party transactions.

Pursuant to rule 15(3) of Companies (Meetings of Board and its Powers) Rules, 2014, the nature of transactions with the related parties is provided in the said resolution.

The transactions entered with the Related Parties, were placed before the Audit Committee. The said transactions were approved and recommended to the Board.

The members are further informed that no member(s) of the Company being a related party or having any interest in the resolution as set out at item No. 3 shall be entitled to vote on this Ordinary Resolution.

None of the Directors other than those representing the related parties, Key Managerial Personnel’s of the Company or their relative(s) are interested and/or concerned with the said Resolution. The Board recommends the resolution set forth in Item No. 3 for the approval of the Members as an Ordinary Resolution.

	For and on behalf of the Board
	Gautam Khandelwal
Place: Mumbai	Chairman
Date: September 02, 2020	DIN 00270717
Registered Office:
"Nirmal", 20th Floor, Nariman Point, Mumbai 400021
CIN: L99999MH1958PLC011001
Website: www.informed-tech.com

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Informed Technologies India Limited

Annual Report 2019-2020

Directors Report, Management Discussion and Analysis Report

To the Members,

Your Directors have pleasure in presenting their Sixty Second Annual Report together with the Audited Financial Statements of your Company for the Financial Year ended March 31, 2020. The Management Discussion and Analysis are also included in this Report.

Financial Highlights

The performance of your Company for the financial year under review is summarized below:

(Rs. in Lakhs)

Particulars	2019-2020	2018-2019
Revenue from Operations and Other Income	180.36	276.81
Profit/(Loss) before Interest, Depreciation & Tax	(152.52)	(79.81)
Less: Interest	7.54	8.08
Profit before Depreciation & Tax	(160.06)	(87.89)
Less: Depreciation	28.04	26.12
Profit/ (Loss) before Taxation	(188.10)	(114.01)
Less: Provision for Current Tax / (MAT)
Minimum Alternate tax credit	-	-
Deferred Tax	(60.80)	(14.36)
Profit/ (Loss) after tax for the year	(127.31)	(99.65)
Total other comprehensive income (net of tax)	29.40	8.47
Total comprehensive income for the year	(156.71)	(91.18)

* Figures as per Ind AS for both the years.

Dividend and Reserves

In order to conserve capital for future investment plan and considering the losses in the financial year ended March 31, 2020, the Board did not recommend any dividend for the year ended March 31, 2020. During the year under review, no amount was required to be transferred to General Reserve.

Share Capital

During the year, the Company has not issued shares with differential voting rights, nor has granted any stock options or sweats equity, no bonus shares were issued by the Company. There was no provision made by the Company for purchase of its own shares by employee or by the trustee. As on March 31, 2020, none of the Directors of the Company hold instruments convertible into equity shares of the Company. During the year, there was no change in the Share Capital of the Company. As on March 31, 2020, the issued, subscribed and paid up share capital of your Company stood at Rs. 41, 691,000/- comprising 4,169,100 Equity shares of Rs. 10/- each.

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Informed Technologies India Limited

Annual Report 2019-2020

Directors and Key Managerial Personnel

The Company is well supported by the knowledge and experience of its Directors and Key Managerial Personnel. Pursuant to provisions of the Companies Act, 2013, Mrs. Suelve Gautam Khandelwal, Director of the Company is liable to retire by rotation and being eligible, has offered herself for re-appointment. The Board recommends their reappointment.

During the year Mr. Ajay Kumar Swarup has resigned as an Independent Director of the Company due to his pre-occupation from closure of business hours on May 29, 2019. The Company appreciates the valuable Service & Support rendered by him to the Company during his tenure as an Independent Director of the Company. Further, Mr. Ajay Kumar Swarup has confirmed that there was no material reason for his resignation other than those mentioned in his resignation and confirmation letter as available on company’s website and on BSE website.

Further, the shareholders approved the re-appointment of Mr. Nimis Sheth as an Independent Director of the Company for the second term of 5 (five) consecutive years with effect from September 15, 2019.

All the Directors of the Company have confirmed that they are not disqualified from being appointed as Directors in terms of Section 164 of the Companies Act, 2013 and not debarred or disqualified by the SEBI / Ministry of Corporate Affairs or any such statutory authority from being appointed or continuing as Director of the Company or any other Company where such Director holds such position in terms of Regulation (10)(i) of Part C of Schedule V of Listing Regulations.

The Company has following persons as Key Managerial personnel:

Sr. No.	Name of the person	Designation	Date of Appointment
1. 2. 3.	Mrs. Suelve Gautam Khandelwal Mrs. Roshan D’souza Ms. Reena Yadav	Executive Director Chief Financial Officer Company Secretary and Compliance Officer	01.04.2015 30.09.2014 13.08.2014

Details of Board meetings

During the year, the Board of Directors met 5 (Five) times, details of which are as follows:

Date of Meetings	No. of Directors attended the Meeting
May 29, 2019 July 30, 2019 September 10, 2019 November 14, 2019 February 14, 2020	4 3 3 4 3

Notes:

• Mr. Gautam Khandelwal and Mr. Nimis Sheth have attended all the meetings during the year;

• Mr. Ajay Kumar Swarup has attended 0 Meetings out of 1 Meetings during the year;

• Mrs. Suelve Khandelwal has attended 4 Meetings out of 5 Meetings during the year; and

• Mr. Virat Mehta has attended 3 Meetings out of 5 Meetings during the year.

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Informed Technologies India Limited

Annual Report 2019-2020

Committees of the Board and attendance at last AGM

The details of the various committees of the board and their composition and number of meetings attended as on March 31, 2020 are as under:

Name of Director(s)	Audit Committee	Audit Committee	Stakeholders Relationship Committee	Stakeholders Relationship Committee	Nomination and Remuneration Committee	Nomination and Remuneration Committee	Attendance at last AGM
	Chairman/ Member	No. of Meeting attended/ Out of	Chairman/ Member	No. of Meeting attended/ Out of	Chairman/ Member	No. of Meeting attended/ Out of
Mr. Nimis Seth	Chairman	4/4	Chairman	5/5	Chairman	3/3	Yes
Mr. Gautam Khandelwal	Member	4/4	Member	5/5	Member	3/3	Yes
Mrs. Suelve Gautam Khandelwal	-	-	Member	4/5	-	-	Yes
Mr. Virat Mehta	Member	3/4	Member	3/5	Member	2/3	No

Notes:

• The Audit Committee met 4 (Four) times during the year i.e. on May 29, 2019, July 30, 2019, November 14, 2019 and February 14, 2020.

• The Stakeholders Relationship Committee met 5 (Five) times during the year i.e. on May 10, 2019, May 29, 2019, July 30, 2019, November 14, 2019 and February 11, 2020.

• Nomination and Remuneration Committee met 3 (Three) times during the year i.e. on May 29, 2019, July 30, 2019 and February 14, 2020.

The Company has received necessary declarations from its Independent Directors confirming that they meet the criteria of independence as prescribed under Section 149 (6) of the Companies Act, 2013 and there has been no change in the circumstances which may affect their status as Independent Director during the year. Independent Directors have also submitted declaration that they have registered themselves on the online data bank of Indian Institute of Corporate Affairs (IICA) in accordance with the Companies (Appointment and Quali-fication of Directors) Fifth Amendment Rules, 2019.

During the year, the Independent Director meeting was held on November 14, 2019 as required by regulation 25 of SEBI (LODR) Regulations, 2015.

Nomination and Remuneration Policy

The policy of the Company on director’s appointment and remuneration, including criteria for determining qualifications, positive attributes and independence of a director and other matters provided under sub-section (3) of Section 178 of the Companies Act, 2013 is adopted by the Board and may be accessed on Companies website at the link: http://informedtech.com/investors/corporate-governance/. We affirm that the remuneration paid to the directors is as per the terms laid out in the nomination and remuneration policy of the Company. Further, the Nomination and Remuneration Committee devises the policy on Board diversity to provide for having a broad experience and diversity on the Board.

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Annual Report 2019-2020

Informed Technologies India Limited

Board Evaluation

Pursuant to the provisions of the Companies Act, 2013 and applicable provision of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a structured questionnaire was prepared as per the requirement of the act which included various aspects of Boards and Committees functioning, Composition of the Board and its Committees, functioning of the Individual directors, board diversity. The aspects covered in the evaluation included the contribution to and monitoring of corporate governance practices and the fulfillment of Directors obligations and fiduciary responsibilities, including but not limited to, active participation at the Board and Committee meetings.

The evaluation of all directors, committee’s chairman of the board and the board as whole was conducted based on the criteria and framework and the board expressed their satisfaction with the evaluation process.

Familiarization Program

Your Company has been regularly familiarizing the Independent Directors on its Board on the Company operations, strategic business plans. Apart from above, Independent Directors are also familiarized through various regulatory developments, change in laws.

Significant and material orders passed by the regulators or courts or tribunals

There were no significant material orders passed by the regulators or courts or tribunals which may impact the going Concern status and Companies operations.

Internal financial controls

The details in respect of internal financial control and their advocacy are included in the management discussion and analysis which forms part of this Annual Report.

IEPF Share Transfer and Nodal Officer

As per Companies act, 2013 the Company has transferred 16,745 Equity shares to Investor Education and Protection fund. Further, Ms. Reena Yadav, Company Secretary and compliance officer is the Nodal Officer for IEPF.

Deposits

During the year, your Company has not accepted any deposits under the provisions of Chapter V of the Companies Act, 2013 and the rules made there under.

Subsidiary/Joint Ventures/Associate Companies

The Company does not have Subsidiary Companies /Joint Ventures. The Company has One Associate Company “Entecres Labs Private Limited”.

Loans, Guarantees or Investments

Loans, guarantees and investments covered under Section 186 of the Companies Act, 2013 form part of the notes to the financial statements provided in this Annual Report.

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Informed Technologies India Limited

Annual Report 2019-2020

Management Discussion and Analysis

a) Industry Review and future outlook:

The Indian IT industry has now matured and is internationally recognized for its technical skills & trained manpower. The need for greater transparency in governance of companies in international financial markets is continuing to drive businesses in which the Company is associated as a service provider. The Indian companies are now emphasizing on improving technology and offering higher value added services. The digital transformation of businesses provides opportunities for IT Services industry in providing a range of new services.

The Company is principally engaged in the business of Business Process Outsourcing which is the only reportable segment.

The Company is actively looking for expansion opportunities in various sectors which are technology enabled in order to drive growth for the Company.

b) Business Review & Development and Overview of Financial Performance & Operations:

Your Company is operating as IT enabled service provider and is a content provider to the securities and financial research industry. Companies Data Management techniques enable organizations to leverage their operations and help them reduce costs and turnaround time.

Your Company has also developed insight into the market segment of financial content and has developed relationships with its customers, which are well known and respected American Corporations. During the year, the total operational revenue was Rs. 189.41 Lakhs as compared to Rs. 204.21 Lakhs in previous year. Your Company is also exploring new business opportunities in other areas in information technology services and is in the process of developing software application solutions for proprietary products. During the year, the total income of the Company was Rs. 180.36 Lakhs compared to Rs. 276.81 Lakhs in previous year.

c) Internal Control Systems:

The Company has adequate internal control systems in place with reference to the financial statements. The Audit Committee of the Board periodically reviews the internal control systems with the management, Internal Auditors and Statutory Auditors and the adequacy of internal audit function, significant internal audit findings and follow-ups thereon. There are no adverse observations having material impact on financials, commercial implications or material noncompliance which have not been acted upon.

The Company has also implemented Quality Management System (QMS) and has got itself registered under ISO 9001:2015 Standard.

d) Risks, Concerns, Threats and Impact of COVID – 19 on business:

The lockdowns and restrictions imposed by Central/ State Governments and various local governments in the countries where the Company’s operates, due to COVID-19 Pandemic, have posed many challenges to the operations of the Company. However, the Company has been successful in enabling and facilitating most of its employees to work from home to continue servicing its clients. Hence, COVID-19 pandemic has had a minimum impact on the operations of the company but the total revenue of the company will be impacted due to the impact on non – operational income (other income) of the company.

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Informed Technologies India Limited

Annual Report 2019-2020

The Company’s nature of operations is Business Process Outsourcing, the Company has successfully ensured that most of the employees service our clients by working from home. The Company has managed to secure the consent of its clients to service them through work from home model by Company’s employees. The Company continues to encourage its employees to work from home till the resumption of complete normalcy. Further, the Company is advising its employees to take requisite precautionary measures as regards to their health and safety announced by the Government.

The Company has taken all necessary steps to adhere to the guideline for social distancing with various directives issued by the Central/State Government and has put safety measures which include: – Sanitization of Premises, Enforcing wearing of masks and Hand sanitizer at entry point, etc. Thus, any employees who need to come to office they have to follow all the rules and regulations. The company is providing transport facilities and employees have to follow social distancing and all other safety measures at all times.

Due to the unpredictable nature of the situation, it is very early & difficult to assess the actual future impact of COVID-19 with reasonable certainty. With the opening of domestic markets post lockdown, we expect business to improve gradually in the coming months.

This section lists forward-looking statements that involve risks and uncertainties. Our actual results could differ materially from those anticipated in these statements as a result of certain factors. Our Risks, Concerns & Threats are as follows:

• We may not be able to sustain our previous profit margins or levels of profitability.

• Our revenues are dependent on clients primarily located in the United States of America, as well as on clients concentrated in specific sectors. An economic slowdown or other factors that affect the economic health of these countries or those sectors, or any other impact on the growth of such sectors, may affect our business.

• Currency fluctuations may affect the revenue generation from our operations.

• Intense competition in the market could affect our pricing, which could reduce our share of business from clients and decrease our revenues.

• A large part of our revenues is dependent on our top clients and the loss of any one of our major clients could significantly impact our business.

• Our client contracts can typically be terminated without cause and with little or no notice or penalty, which could negatively impact our revenues and profitability.

• We may be liable to our clients for damages caused by the disclosure of confidential information, system failures, errors or unsatisfactory performance of services.

• We may engage in acquisitions, strategic investments, strategic partnerships or alliances or other ventures that may or may not be successful.

• Anti-outsourcing legislation in certain countries in which we operate may restrict companies in those countries from outsourcing work to us, or may limit our ability to send our employees to certain client sites.

• In the event that the Government of India or the government of another country changes its tax policies in a manner that is adverse to us our tax expense may materially increase, reducing our profitability.

• If the Government of India modifies dividend distribution tax rates or introduces new forms of taxes on the distribution of profits, or changes the basis of application of these taxes, the same could materially affect the returns to our shareholders.

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Informed Technologies India Limited

Annual Report 2019-2020

e) Associate Company and Consolidated Statements:

Your Company has one associate company i.e. “Entecres Labs Private Limited” (ELPL). During the year, total revenue of the ELPL has increased to Rs. 624.81 Lakhs from Rs. 599.07 Lakhs the previous year and its net profit after tax has reduced to Rs. 37.04 Lakhs from Rs. 39.95 Lakhs in the previous year.

The Consolidated Financial Statement of your Company for the financial year 2019-20, is prepared in compliance with applicable provisions of the Companies Act, 2013, Indian Accounting Standard and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Consolidated Financial Statements have been prepared on the basis of audited financial statements of the Company, its associates, as approved by their respective Board of Directors.

Pursuant to sub-section (3) of section 129 of the Act, the statement containing the salient features of the financial statement of Company’s associate is given as AOC -1. Brief particulars about the business of the Associate Company is as follows:-

Entecres Labs Private Limited (ELPL) is the brainchild of a group of research engineers along with some professors and educationalists. The Company core business is to promote STEM education (STEM stand for Science, Technology, Engineering, and Mathematics) among students at an earlier age. Apart from India, It also has presence in various countries including Japan, UAE, Singapore, Maldives, Sri Lanka, Bangladesh, Nepal and Malaysia. The investment has allowed your Company to enter the education sector and explore new opportunities for growth in education and technology sector.

f) Material developments in human resources / industrial relations, including number of people employed:

The human resource plays a vital role in the growth and success of an organization. The Company has maintained cordial and harmonious relations with employees.

During the year under review, various training and development workshops were conducted to improve the competency level of employee with an objective to improve the operational performance of individuals. The Company has built a competent team to handle challenging assignments and projects.

The Company has 21 permanent employees as on March 31, 2020.

g) Details of Significant Changes:

Details of Significant Changes:
Ratios	2020	2019
Debtors Turnover ratio Interest coverage ratio Current ratio Debt equity ratio Operating Profit Margin % Net Profit Margin % Return on Net worth EPS PE Ratio	6.72 (27.69) 9.01 0.04 (0.96) (67.21)% (10.71)% (3.05) (2.71)	7.12 (15.21) 19.42 0.02 (0.52) (48.80)% (7.41)% (2.39) (14.14)

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Informed Technologies India Limited

Annual Report 2019-2020

Reason for significant change:

• Revenue from Operations & other Income: The Revenue has dropped in the current year amidst challenging business environment encountered during the year. Other Income has reduced mainly due to conservative approach adopted to avoid & limit our exposure to volatility & sensitivity in the Financial Markets.

• Debtors Turnover ratio: The Debtors Turnover Ratio has changed but it is realized within the credit permissible policy of the company.

• The Interest coverage ratio has come down due to loss incurred by the company during the year. However the management is of the view that the losses are due to Ind AS effect wherein the notional losses of current investments have been factored in and the company has adequate cash flow to service the interest.

• The net operating margin has come down due to decrease in sales in the current year as compared to the last year. However the management is of the view that effect of decrease in sales is not significant and it is mainly on account of IND AS effect wherein the notional losses of current investments have been factored in.

• The net loss margin has increased to (67.21%) as compared to last year as compared to net loss margin of (48.80)% in the previous year. However the management’s contention is that it is due to Ind AS effect wherein the notional losses of current investments have been factored in.

• The earnings per share have gone down from Rs. (2.39) to Rs. (3.05) per share i.e there is a decrease of 28% due to the increased losses by the company in the current year. The negative EPS is mainly on account of notional losses of current investments and as such is of transitional nature.

h) Details of any change in Return on Net Worth as compared to the immediately previous financial year:

Due to increase in loss for the current year the return on net worth i.e. the return on shareholders’ equity has gone down by 11.65%. However the management’s contention is that it the Ind AS affect wherein the notional losses of current investments have been factored in.

BSE Adjudication Order

The company has received an Adjudication order dated April 21, 2020 (Ref No.: Order/AP/AS/2020-21/7504) under section 15-I of SEBI Act, 1992 read with rule 5 of SEBI (Procedure for holding inquiry and imposing penalties) Rules, 1995 for failing to make disclosure under regulation 13(4A) read with regulation 13 (5) of the PIT regulations, 1992 for the period 2012-2013 for 5 instances. As per the order received, the penalty of Rs. 5,00,000/- (Rupees Five Lakh Only) has been imposed on the Company under section 15A (b) of the SEBI Act. The Company has paid the required penalty within due date.

The complete order is available on the company website at http://informed-tech.com/investors/material-events/

Risk Management

The Company is aware of the risks associated with the business. The Senior Managements regularly analyses and takes corrective actions for managing / mitigating the same. In terms of the requirement of the Act, the Company has authorized Senior Management to manage, monitor and report on the principal risks and uncertainties that can impact the ability to achieve the Companies strategic objectives. The Senior Management periodically informs the board on various issues along with its recommendations and comments for Boards review and necessary action.

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Informed Technologies India Limited

Annual Report 2019-2020

Statutory Auditors, their Report and Notes to Financial Statements

M/s. Parekh Sharma and Associates, Chartered Accountants (Firm Registration No. 129301W) were appointed as the Statutory Auditors of the Company as per the provisions of Section 139 of the Companies Act, 2013 to hold office from the conclusion of the 59th Annual General Meeting (AGM) held on September 28, 2017 until the conclusion of the Fifth consecutive AGM of the Company to be held in the year 2022 (subject to ratification of their appointment by the Members at every AGM held after the AGM held on September 28, 2017).

Further, in accordance with the Companies Amendment Act, 2017, enforced on May 07, 2018 by the Ministry of Corporate Affair, the appointment of Statutory Auditors is not required to be ratified at every Annual General Meeting. Therefore, it is not proposed to ratify the appointment of auditors at the ensuing Annual General Meeting.

The Notes on financial statement referred to in the Auditors’ Report are self-explanatory and do not call for any further comments. The Auditors’ Report does not contain any qualification, reservation or adverse remark.

Total fees for all services paid by the Company and its subsidiaries, on a consolidated basis, to the statutory auditor and all entities in the network firm/network entity of which the statutory auditor is a part is given below:

Particular	As at March 31, 2020
Audit Fees Tax Audit Fees Other Service Total	3,24,500 - 1,18,000 4,42,500

Details in respect of Frauds Reported by Auditors

During the year under review, the Statutory Auditors and Secretarial Auditor have not reported any instances of frauds committed in the Company by it or its Employees to the Audit Committee under section 143(12) of the Companies Act, 2013, details of which needs to be mentioned in this Report.

Secretarial Auditor

In terms of Section 204 of the Act and Rules made there under, M/s. DSM & Associates, Practicing Company Secretary (COP No. : 9394) have been appointed as Secretarial Auditors of the Company. The secretarial audit report does not contain any adverse remarks or disclaimers it is enclosed as Annexure I to this report. The report is self-explanatory and do not call for any further comments.

Secretarial Standards

The Company is in compliance with the applicable secretarial standards.

Internal Auditors

In terms of Section 138 of the Companies Act, 2013 and the rules made there under, M/s M. V. Ghelani & Co., Chartered Accountants (ICAI Registration No. 119077W) are Internal Auditors of the Company. The audit Committee of the Board of Directors in consultation with the Internal Auditors, formulate the scope, functioning, periodicity and methodology for conducting the internal audit.

Related Party Transactions

There have been no materially significant related party transactions between the Company and the Directors, the management, the key managerial personnel or their relatives except for those disclosed in the financial statements.

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Annual Report 2019-2020

Informed Technologies India Limited

Accordingly, particulars of contracts or arrangements with related parties referred to in Section 188(1) along with the justification for entering into such contract or arrangement in Form AOC-2 does not form part of the report.

The policy on Related Party Transactions as approved by the Board is uploaded on the Company website and can be accessed at the Web link: http://informed-tech.com/investors/corporate-governance/.

Extract of the Annual Return

Pursuant to the provisions of section 92 (3) of Companies Act, 2013, the extract of the annual return in Form No. MGT – 9 is enclosed with the report as Annexure II and also available on the website of the Company at http://informedtech.com/investors/corporate-governance/.

Disclosures pursuant to the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014

• A) Details of the ratio of the remuneration of each director to the median employee’s remuneration and other details as required pursuant to Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014:

Sr. No.	Name of Director/ KMP and Designation	Remuneration of Director /KMP for financial year 2019-20 (Rs. In Lacs)	% increase in Remuneration in the financial year 2019-20	Ratio of remuneration of each Director/ to median remuneration of employees	Comparison of the Remuneration of the KMP against the performance of the Company
1.	Mr. Gautam Khandelwal Non Executive Chairman	NIL	Not Applicable	Not Applicable	Not Applicable
2.	Mr. Nimis Sheth Independent Director	NIL	Not Applicable	Not Applicable	Not Applicable
3.	Mr. Ajay Kumar Swarup* Independent Director	NIL	Not Applicable	Not Applicable	Not Applicable
4.	Mr. Virat Mehta Independent Director	NIL	Not Applicable	Not Applicable	Not Applicable
5.	Mrs. Suelve Khandelwal Executive Director	24.00	No change	6.92:01	Loss After Tax Increased by 27.75% during the financial year 2019 -20
6.	Mrs. Roshan Dsouza** Chief Financial Officer	8.58	10%	Not Applicable
7.	Ms. Reena Yadav** Company Secretary and Compliance Officer	8.96	10%	Not Applicable

• *Mr. Ajay Kumar Swarup was member of board only for part of the year thus, said information is not comparable.

** The % increase is calculated on the basis of the base remuneration excluding any ex-gratia or leave encashment. # The Company has not paid any sitting fees to any directors during the year.

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Annual Report 2019-2020

Informed Technologies India Limited

Notes

• i) The Ratio of the remuneration of each Director to the median remuneration of the employees of the Company for the financial year 2019-20: As per table given above.

• ii) The percentage increase in remuneration of each Director, Chief Financial Officer and Company Secretary during the financial year 2019-20 and: As per table given above.

• iii) The percentage increase in the median remuneration of employees in the financial year 2019-20: 2.79%

• iv) There were 21 confirmed employees on the rolls of the Company as on March 31, 2020.

• v) Average percentage increase already made in the salaries of employees other than the managerial personnel in the last financial year and its comparison with the percentage increase in the managerial remuneration and justification thereof and point out if there are any exceptional circumstances for increase in the managerial remuneration: As per table given above.

• vi) Affirmation that the remuneration is as per remuneration policy of the Company- Yes

B) Particulars of employees remuneration, as required under section 197(12) of the Companies Act, 2013, read with Rule 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Amendment Rules, 2016: During the year under consideration, none of the employees of the Company were in receipt of remuneration in excess of limits prescribed under section 197(12) of the Companies Act, 2013, read with Rule 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Amendment Rules, 2016 hence particulars as required under section 197(12) of the Companies Act, 2013, read with Rule 5(2) and 5(3) of the Companies ( A p p o i n t m e n t and Remuneration of Managerial Personnel) Amendment Rules, 2016 are not given.

Conservation of Energy, Technology Absorption, Foreign Exchange Earning and Outgo

Disclosures pertaining to conservation of energy, technology absorption are not applicable to your company during the year under Review. The Company has not undertaken any R&D activity in the current year. The Company has not imported any technology during the year.

During the year, the foreign Exchange outgo was Rs. Nil (Previous year - Rs. 6.32 Lakhs). The Foreign Exchange earning was Rs. 189.41 Lakhs (Previous year Rs. 204.21 Lakhs).

Corporate Social Responsibility (CSR)

Since the CSR norms are not applicable to the Company hence, the disclosures as per Rule 9 of the Companies (Corporate Social Responsibility Policy) Rules, 2014 is not required to be made.

Cost Record

Maintenance of cost records as specified under Section 148(1) of the Act is not applicable to your Company.

Vigil Mechanism and Whistle Blower Policy

The Company has adopted a Vigil Mechanism and Whistle Blower Policy to provide a mechanism for the directors and

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Informed Technologies India Limited

Annual Report 2019-2020

employees to report genuine concerns about any unethical behavior, actual or suspected fraud or violations of the Company’s code of conduct. The provisions of this policy are in line with the provisions of Section 177 (9) of the Act. The policy can be accessed on the company’s website at following link http://informed-tech.com/investors/corporategovernance/

Disclosure under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013

The Company has in place Prevention of Sexual Harassment at Workplace Policy in line with the requirements of the Sexual Harassment of Women in the Workplace (Prevention, Prohibition & Redressal) Act, 2013. Internal Complaints Committee (ICC) has been set up to redress complaints received regarding sexual harassment. All employees (permanent, contract, temporary, trainees) are covered under this policy.

The following is a summary of Sexual Harassment Complaints received and disposed off during the year 2019-2020.

No. of Complaint received	No. of Complaints disposed off	No. of Complaints pending
Nil	N.A.	N.A.

Material Changes

There were no material changes and commitments affecting the financial position of the Company, which have occurred between the end of the financial year of the Company to which this report relates and the date of the report except as otherwise mentioned in this director report, if any.

There had been no changes in the nature of Companies business. To the best of information and assessment there has been no material changes occurred during the financial year, generally in the classes of business in which the Company has an interest except as otherwise mentioned in this director report, if any.

Directors Responsibility Statement

Pursuant to Section 134 (3) (c) and 134 (5) of the Companies Act, 2013, the Board of Directors, to the best of their knowledge and ability, confirm that:

• i) in the preparation of the annual accounts, the applicable accounting standards have been followed and that there are no material departures;

• ii) they have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the Company at the end of the financial year and of the loss of the Company for that year;

• iii) they have taken proper and sufficient care to the best of their knowledge and ability, for the maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities;

• iv) the annual accounts have been prepared on a going concern basis;

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Informed Technologies India Limited

Annual Report 2019-2020

• v) they have laid down internal financial controls to be followed by the Company and such internal financial controls are adequate and operating effectively; and

• vi) they have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

Dematerialisation of Shares

94.68% of the Company’s paid up equity share capital is in dematerilised form as on March 31, 2020 and balance 5.32% is in physical form. The Company’s Registrar and Share Transfer Agents is M/s. Link Intime India Pvt. Ltd. having office at C-101, 247 Park, LBS Marg, Vikhroli – (W), Mumbai - 400083.

Corporate Governance

As per regulation 15 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 provisions as specified in regulation 27 shall not apply to your Company. As such there is no requirement to attach the corporate governance report.

Acknowledgements

Your Board of Directors wishes to place on record their appreciation for the whole-hearted cooperation received by the Company from the Shareholders, various Government departments, Business Associates, Company's Bankers and all the employees during the year.

For and on behalf of the Board

Gautam Khandelwal

Place: Mumbai Chairman Date: September 02, 2020 DIN 00270717

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Informed Technologies India Limited

Annual Report 2019-2020

Annexure I

SECRETARIAL AUDIT REPORT

For the Financial Year ended 31[st] March, 2020

(Pursuant to section 204(1) of the Companies Act, 2013 and the Rule No.9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014)

To,

The Members of

Informed Technologies India Limited

We have conducted the secretarial audit of the compliance of applicable statutory provisions and the adherence to good corporate practices by Informed Technologies India Limited (CIN: L99999MH1958PLC011001) (hereinafter called “The Company”). We have conducted Secretarial Audit in a manner that provided us a reasonable basis for evaluating the corporate conducts/statutory compliances and expressing our opinion thereon.

Due to restricted movement and COVID-19 pandemic, we have conducted the secretarial audit by examining the Secretarial Records including Minutes, Documents, Registers and other records etc., and some of them received by way of electronic mode from the Company and could not be verified from the original records. The management has confirmed that the records submitted to us are true and correct. Based on our verification of the Company’s books, papers, minute books, forms and returns filed and other records maintained by the Company, the information provided by the Company, its officers, agents and authorised representatives during the conduct of secretarial audit, the explanations and clarifications given to us and the representations made by the Management and considering the relaxations granted by the Ministry of Corporate Affairs and Securities and Exchange Board of India, warranted due to the spread of the COVID-19 pandemic, we hereby report that in our opinion, the Company has, during the audit period covering the financial year ended on 31[st ] March, 2020 (“Audit Period”), generally complied with the statutory provisions listed hereunder and also that the Company has proper Board processes and compliance mechanism in place to the extent, in the manner and subject to the reporting made hereinafter:

We have examined the books, papers, minute books, forms and returns filed and other records maintained by the Company for the financial year ended on 31[st] March, 2020 according to the provisions of:

• (i) The Companies Act, 2013 (the Act) and the rules made there under;

• (ii) The Securities Contracts (Regulation) Act, 1956 (SCRA) and the rules made there under;

• (iii) The Depositories Act, 1996 and the regulations and bye laws framed there under;

• (iv) The Foreign Exchange Management Act, 1999 and the rules and regulations made there under to the extent of Foreign Direct Investment, Overseas Director Investment and External Commercial Borrowings;

• (v) The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992 (SEBI Act);

• a) SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011;

• b) SEBI (Prohibition of Insider Trading) Regulations, 2015;

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Informed Technologies India Limited

Annual Report 2019-2020

• c) SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009;

• d) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993 regarding the Companies Act and dealing with client;

• (vi) Other specifically applicable laws to the Company during the period under review;

• (i) Income Tax Act, 1961;

• (ii) Chapter V of the Finance Act, 1994 (Service Tax);

• (iii) Public Liability Insurance Act, 1991;

• (iv) Registration Act, 1908;

• (v) Indian Stamp Act, 1899;

• (vi) Indian Contract Act, 1872;

• (vii) Negotiable Instrument Act, 1881;

• (viii) Information Technology Act, 2000;

• (ix) Prevention of Money Laundering Act, 2002;

• (x) Consumer Protection Act, 1986;

• We have also examined compliance with the applicable clause of the following:

• (i) Secretarial Standards issued by The Institute of Company Secretaries of India;

• (ii) The Listing Agreement entered into by the Company with The Bombay Stock Exchange or Securities and Exchange Board of India (Listing Obligations AndDisclosure Requirements) Regulations, 2015

Based on the aforesaid information provided by the Company, we report that during the financial year under report, the Company has complied with the provisions of the above mentioned Act/s, Rules, Regulations, Guidelines, Standards, etc. mentioned above to the extent applicable.

We further report that

The Board of Directors of the Company is duly constituted with proper balance of Executive Directors, Non Executive Directors and Independent Directors. The changes in the composition of the Board of Directors that took place during the period under review, if any, were carried out in compliance with the provisions of the Act.

Adequate notice is given to all directors to schedule the Board Meetings, agenda and detailed notes on agenda were sent at least seven days in advance and a system exists for seeking and obtaining further information and clarification on the agenda items before the meeting and for meaningful participation at the meeting.

As per the minutes of the meetings duly recorded and signed by the Chairman, the decisions of the Board were unanimous and no dissenting views have been recorded.

We further report that, based on the information provided and the representation made by the Company, in our opinion there are adequate systems and processes in the Company commensurate with the size and operations of the Company to

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monitor and ensure compliance with applicable laws, rules, regulations and guidelines.

We further report that during the audit period:

• i. Mr. Ajay Kumar Swarup, Independent Director of the Company, resigned from Directorship of the Company with effect from 29[th] May, 2019;

and there were no other specific events/actions in pursuance of the above referred laws, rules, regulations, guidelines, etc. having a major bearing on the Company’s affairs.

The Company has received an Adjudicating Order, dated 21[st] April, 2020 (Ref No.Order/AP/AS/2020-21/7504) under Section 15-I of SEBI Act, 1992 read with rule 5 of SEBI (Procedure for Holding of Inquiry and Imposing Penalties) Rules, 1995 for failing to make disclosures under regulation 13(4A) read with regulation 13(5) of the SEBI (Prohibition of Insider Trading) Regulations, 1992 for the period 2012-13 for 5 instances and the penalty has been levied on the Company. The Company has made necessary disclosures to the Stock Exchanges as well said information is also available on the website of the Company. Even though the reporting of this incidence do not strictly required as it falls outside the Audit Period, the reporting is done as the Show Cause Notice, Replies from the Company, communications from Adjudicating Officer has started from the month of January-February, 2020 and Adjudicating Order received before issue of this report.

For DSM & Associates, Company Secretaries

CS Sanam Umbargikar Partner M.No.26141. CP No.9394. UDIN: A026141B000519251

Date: 28[th] July, 2020. Place: Mumbai.

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Annual Report 2019-2020

To,

The Board of Directors

Informed Technologies India Limited

Dear Sirs,

Subject: Secretarial Audit Report for financial year ended 31[st] March, 2020.

Our report of even date is to be read along with this letter:

1. Maintenance of Secretarial record is the responsibility of the management of the Company. Our responsibility is to express an opinion on these Secretarial records based on our audit.

2. We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about the correctness of the contents of the Secretarial records. The verification was done on test check basis to ensure that correct facts are reflected in Secretarial records. We believe that the processes and practices we followed provide a reasonable basis for our opinion.

3. We have not verified the correctness, appropriateness of financial records and books of accounts of the Company.

4. Where ever required, we have obtained the Management Representation about the compliance of laws, rules and regulations and happening of events etc.

5. The compliance of the provisions of corporate and other applicable laws, rules, regulations, standards is the responsibility of the management. Our examination was limited to the verification of procedures on test check basis.

6. The Secretarial audit report is neither an assurance as to the future viability of the Company nor of the efficacy or effectiveness with which the management has conducted the affairs of the Company.

For DSM & Associates, Company Secretaries CS Sanam Umbargikar Partner M.No.26141. CP No.9394. UDIN: A026141B000519251

Date: 28[th] July, 2020. Place: Mumbai.

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Informed Technologies India Limited

Annual Report 2019-2020

Annexure II

FORM NO. MGT 9

EXTRACT OF ANNUAL RETURN

As on financial year ended on March 31, 2020

Pursuant to Section 92 (3) of the Companies Act, 2013 and rule 12(1) of the Company (Management & Administration) Rules, 2014

I. REGISTRATION & OTHER DETAILS

1.	CIN	L99999MH1958PLC011001
2.	Registration Date	07.01.1958
3.	Name of the Company	Informed Technologies India Limited
4.	Category/Sub-category of the Company	Company Limited by Shares/ Indian Non-Government Company
5.	Address of the Registered office & contact details	Nirmal, 20thFloor, Nariman Point, Mumbai – 400021 Tel: 91-22-22023055 Email: cs@informed-tech.com
6.	Whether listed company	Listed on BSE Ltd. (BSE)
7.	Name, Address & contact details of the Registrar & Transfer Agent, if any.	Link Intime India Private Limited C 101, 247 Park, L B S Marg, Vikhroli West, Mumbai 400 083 Tel No: +91 22 49186000/49186270 Fax: +91 22 49186060 e-mail id: rnt.helpdesk@linkintime.co.in

II. PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY

(All the business activities contributing 10 % or more of the total turnover of the Company shall be stated)

Sr. No.	Name and Description of main Products / Services	NIC Code of the Product / Service	% to total turnover of the Company
1.	Data Processing	63111	100%

III. PARTICULARS OF HOLDING, SUBSIDIARY AND ASSOCIATE COMPANIES

Sr. No.	Name and Address of the Company	CIN/GLN	Holding/ Subsidiary/ Associate	% of shares held	Applicable Section
1.	Khandelwals Limited 10, Orange Street, London, UK , WC2H 7DQ	Foreign Company	Holding Company	64.24%	2 (46)
2.	Entecres Labs Private Limited House No Rz D - 30 B, Dabri Extension East, New Delhi- 110045	U73100DL2012PTC230786	Associate Company	27.96%	2 (6)

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IV. SHARE HOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity) i) Category-wise Share Holding:

Category of Shareholders	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	% Change during the year
	Demat	Physical	Total	% of Total Shares	Demat	Physical	Total	% of Total Shares
A. Promoters (1) Indian a) Individual/HUF b) Central Govt. or State Govt. c) Bodies Corporate d) Bank/FI e) Any other	448061 0 0 0 0	0 0 0 0 0	448061 0 0 0 0	10.75 0 0 0 0	448061 0 0 0 0	0 0 0 0 0	448061 0 0 0 0	10.75 0 0 0 0	0 0 0 0 0
SUB TOTAL:(A) (1)	448061	0	448061	10.75	448061	0	448061	10.75	0
(2) Foreign a) NRI- Individuals b) Other Individuals c) Bodies Corp. d) Banks/FI e) Any other…	0 0 2678220 0 0	0 0 0 0 0	0 0 2678220 0 0	0 0 64.24 0 0	0 0 2678220 0 0	0 0 0 0 0	0 0 2678220 0 0	0 0 64.24 0 0	0 0 0 0 0 0
SUB TOTAL (A) (2)	2678220	0	2678220	64.24	2678220	0	2678220	64.24	0
Total Shareholding of Promoter (A)= (A)(1)+(A)(2)	3126281	0	3126281	74.99	3126281	0	3126281	74.99	0
B. PUBLIC SHAREHOLDING (1) Institutions a) Mutual Funds b) Banks/FI C) Central Govt. d) State Govt. e) Venture Capital Fund f) Insurance Companies g) FIIS h) Foreign Venture Capital Funds i) Others (specify)	0 10 0 0 0 385380 0 0 0	40 1080 0 0 0 0 0 0 0	40 1090 0 0 0 385380 0 0 0	0.00 0.03 0 0 0 9.24 0 0 0	0 10 0 0 0 385380 0 0 0	0 630 0 0 0 0 0 0 0	0 640 0 0 0 385380 0 0 0	0.00 0.02 0 0 0 9.24 0 0 0	0 (0.01) 0 0 0 0 0 0 0
SUB TOTAL (B)(1):	385390	1120	386510	9.27	385390	630	386020	9.26	(0.01)
(2) Non Institutions a) Bodies corporate i) Indian ii) Overseas b) Individuals	8293 0	0 0	8293 0	0.20 0	4822 0	0 0	4822 0	0.12 0	(0.08) 0

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Informed Technologies India Limited

Category of Shareholders	Category of Shareholders	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the beginning of the year [As on 31-March-2019]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	No. of Shares held at the end of the year [As on 31-March-2020]	% Change during the year
		Demat		Physical		Total		% of Total Shares	Demat	Physical	Total		% of Total Shares
i) Individual shareholders holding nominal share capital upto Rs. 1 lakhs ii) Individuals shareholders holding nominal share capital in excess of Rs. 1 lakhs c) Others (specify) Non Resident Individual (rep) Clearing Members Government Companies Hindu Undivided Family Non Resident Individual (non rep) IEPF		162680 85254 100 2595 0 20244 1398 111195		253700 10550 300 0 0 0 0 0		416380 95804 400 2595 0 20244 1398 111195		9.99 2.30 0.01 0.06 0 0.49 0.03 2.67	178045 85254 100 212 0 19790 2256 145173	210297 10550 300 0 0 0 0 0	388342 95804 400 212 0 19790 2256 145173		9.31 2.30 0.01 0.01 0 0.47 0.05 3.48		(0.68) 0 0 (0.05) 0 (0.02) 0.02 0.81
SUB TOTAL (B)(2):		391759		264550		656309		15.74	435652	221147	656799		15.75		0.01
Total Public Shareholding (B)= (B)(1)+(B)(2)		777149		265670		1042819		25.01	821042	221777	1042819		25.01		0.00
C. Shares held by Custodian for GDRs & ADRs		0		0		0		0	0	0	0		0		0
Grand Total (A+B+C)		3903430		265670		4169100		100.00	3947323	221777	4169100		100.00		0.00
ii) Shareholding of Promoter:
Sr. No.	Shareholder’s Name		Shareholding at the beginning of the year						Shareholding at the end of the year					% Change in shareholding during the year
			No. of Shares		% of total shares of the Company		% of shares Pledged / encumbered to total shares		No. of shares	% of total shares of the Company		% of shares Pledged / encumbered to total shares
1	Gautam Khandelwal		110751		2.66		0		110751	2.66		0		0
2	Suelve Khandelwal		101580		2.44		0		101580	2.44		0		0
3	Geeta Khandelwal		115040		2.76		0		115040	2.76		0		0
4	Sia Khandelwal		40250		0.97		0		40250	0.97		0		0
5	Tara Khandelwal		40190		0.96		0		40190	0.96		0		0
6	Uday Siddharth Khandelwal		40250		0.97		0		40250	0.97		0		0
7	Khandelwals Limited		2678220		64.24		0		2678220	64.24		0		0
	Total		3126281		74.99		0		3126281	74.99		0		0

ii) Shareholding of Promoter:

Sr.	Shareholder’s Name	Shareholding at the beginning of the year	Shareholding at the beginning of the year	Shareholding at the beginning of the year	Shareholding at the end of the year	Shareholding at the end of the year	Shareholding at the end of the year	% Change
No.		No. of	% of total	% of shares	No. of	% of total	% of shares	in
		Shares	shares of	Pledged /	shares	shares of	Pledged /	shareholding
			the Company	encumbered to		the Company	encumbered to	during the
				total shares			total shares	year
1	Gautam Khandelwal	110751	2.66	0	110751	2.66	0	0
2	Suelve Khandelwal	101580	2.44	0	101580	2.44	0	0
3	Geeta Khandelwal	115040	2.76	0	115040	2.76	0	0
4	Sia Khandelwal	40250	0.97	0	40250	0.97	0	0
5	Tara Khandelwal	40190	0.96	0	40190	0.96	0	0
6	Uday Siddharth	40250	0.97	0	40250	0.97	0	0
	Khandelwal
7	Khandelwals Limited	2678220	64.24	0	2678220	64.24	0	0
	Total	3126281	74.99	0	3126281	74.99	0	0

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Informed Technologies India Limited

iii) Change in Promoters' Shareholding: (please specify, if there is no change)

Particulars	Shareholding at the beginning of the year	Shareholding at the beginning of the year	Cumulative Shareholding during the year	Cumulative Shareholding during the year
	No. of Shares	% of total shares of the Company	No. of Shares	% of total shares of the Company
At the beginning of the year	3126281	74.99	3126281	74.99
Date wise Increase / Decrease in Promoters Shareholding during the year specifying the reasons for increase / decrease (e.g. allotment /transfer / bonus/ sweat equity etc.)	*	*	*	*
At the end of the year	3126281	74.99	3126281	74.99

* There is no change in the total shareholding of promoters between 01.04.2019 and 31.03.2020.

iv) Shareholding Pattern of top ten Shareholders: (Other than Directors, Promoters and Holders of GDRs and ADRs)

Sr. No.	For Each of the Top 10 **Shareholders ***	Shareholding at the beginning of the year (01.04.2019)	Shareholding at the beginning of the year (01.04.2019)	Shareholding at the end of the year (31.03.2020)	Shareholding at the end of the year (31.03.2020)
		No. of Shares	% of total shares of the Company	No. of Shares	% of total shares of the Company
1 2 3 4 5 6 7 8 9 10	Life Insurance Corporation Of India Investor Education And Protection Fund Authority Ministry Of Corporate Affairs** Ajay Kumar Swarup Bhagwat Devidayal Gulab Nihalchand Jain Uday Acharya Nidhi Narayan Salampuria Chandraprakash Kabra Samta Engineer Thakker Bhupendra	384750 128428 72840 12414 11399 10550 2101 8643 5130 4817	9.2286 3.0805 1.7471 0.2978 0.2734 0.2531 0.05 0.2073 0.123 0.1155	384750 145173 72840 12414 11399 10550 9087 8643 5130 4817	9.2286 3.4821 1.7471 0.2978 0.2734 0.2531 0.218 0.2073 0.123 0.1155

* The shares of the Company are traded on a daily basis and hence the date wise increase / decrease in Shareholding is not indicated.

** Shares has been transferred to IEPF.

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v) Shareholding of Directors and Key Managerial Personnel:

Sr. No.	Particulars	Shareholding at the beginning of the year	Shareholding at the beginning of the year	Cumulative Shareholding during the year	Cumulative Shareholding during the year
		No. of Shares	% of total shares of the Company	No. of Shares	% of total shares of the Company
A	DIRECTORS Gautam Khandelwal (Non-Executive Chairman) Suelve Khandelwal (Executive Director) Virat Mehta (Independent Director) Nimis Sheth (Independent Director)	110751 101580 0 1000	2.66 2.44 0 0.02	110751 101580 0 1000	2.66 2.44 0 0.02
B	Key Managerial Personnel Suelve Khandelwal (Executive Director) Roshan D'Souza (CFO) Reena Yadav (Company Secretary And Compliance Officer)	101580 10 0	2.44 0.00 0	101580 10 0	2.44 0.00 0

V. INDEBTEDNESS

Indebtedness of the Company including interest outstanding/accrued but not due for payment.

(Rs. In Lakhs)

Particulars	Secured Loans excluding deposits	Unsecured Loans	Deposits	Total Indebtedness
Indebtedness at the beginning of the financial year i) Principal Amount ii) Interest due but not paid iii) Interest accrued but not due	21.71 0 0	0 0 0	0 0 0	21.71 0 0
Total (i+ii+iii)	21.71	0	0	21.71
Change in Indebtedness during the financial year Addition Reduction Net Change Indebtedness at the end of the financial year i) Principal Amount ii) Interest due but not paid iii) Interest accrued but not due	0 (7.06) (7.06) 14.65 0 0	0 0 0 0 0 0	0 0 0 0 0 0	0 (7.06) (7.06) 14.65 0 0
Total (i+ii+iii)	14.65	0	0	14.65

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Annual Report 2019-2020

Informed Technologies India Limited

VI. REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL

A. Remuneration to Managing Director, Whole-time Directors and/or Manager:

(Rs. In Lacs)

Remun	eration to Managing Director, Whole-time Directors and/or Manager:	(Rs. In Lacs)
S.N.	Particulars of Remuneration	Name of MD/WTD/ Manager
		Mrs. Suelve Gautam Khandelwal
1	Gross salary	24.00
	(a) Salary as per provisions contained in section 17(1) of the Income-tax Act, 1961
	(b) Value of perquisites u/s 17(2) Income-tax Act, 1961
	(c) Profits in lieu of salary under section 17(3) Income- tax Act, 1961
2	Stock Option	N/A
3	Sweat Equity	N/A
4	Commission - as % of profit - others, specify…	N/A
5	Others, please specify	N/A
	Total (A)	24.00
	Ceiling as per the Act	As per Sec II of Part II of Schedule V to the Co. Act, 2013

B. Remuneration to other directors

SN.	Particulars of Remuneration	Name of Directors	Name of Directors	Name of Directors	Name of Directors	Total Amount
1	Independent Directors	-	-	-	-	-
	Fee for attending board committee meetings	-	-	-	-	-
	Commission	-	-	-	-	-
	Others, please specify	-	-	-	-	-
	Total (1)	-	-	-	-	-
2	Other Non-Executive Directors	-	-	-	-	-
	Fee for attending board committee meetings	-	-	-	-	-
	Commission	-	-	-	-	-
	Others, please specify	-	-	-	-	-
	Total (2)	-	-	-	-	-
	Total (B)=(1+2)	-	-	-	-	-
	Total Managerial Remuneration	-	-	-	-	-
	Overall Ceiling as per the Act	-	-	-	-	-

Note: No Remuneration was paid to any other directors of the Company during the FY 2019-20.

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Informed Technologies India Limited

C. Remuneration to Key Managerial Personnel Other than MD/MANAGER/WTD

(Rs. In Lacs)

		(Rs. In Lacs)	(Rs. In Lacs)	(Rs. In Lacs)
SN	Particulars of Remuneration	Key Managerial Personnel
		Reena Yadav Company Secretary	Roshan Dsouza CFO	Total
1 2 3 4 5	Gross salary (a) Salary as per provisions contained in section 17(1) of the Income-tax Act, 1961 (b) Value of perquisites u/s 17(2) Income-tax Act, 1961 (c) Profits in lieu of salary under section 17(3) Income-tax Act, 1961 Stock Option Sweat Equity Commission - as % of profit others, specify… Others, please specify	8.96 - - - - - - - - -	8.58 - - - - - - - - -	17.54 - - - - - - - - -
	Total	8.96	8.58	17.54

VII. PENALTIES / PUNISHMENT/ COMPOUNDING OF OFFENCES

Type	Section of the Companies Act	Brief Description	Details of Penalty / Punishment / Compounding fees imposed	Authority [RD / NCLT / COURT]	Appeal made, if any (give details)
A. COMPANY Penalty Punishment Compounding	- - -	- - -	- - -	- - -	- - -
B. DIRECTORS Penalty Punishment Compounding	- - -	- - -	- - -	- - -	- - -
C. OTHER OFFICERS IN DEFAULT Penalty Punishment Compounding	- - -	- - -	- - -	- - -	- - -

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Informed Technologies India Limited

Annual Report 2019-2020

Independent Auditors’ Report

To the Members of

Informed Technologies India Limited Report on the Audit of the Standalone Financial Statements

Opinion

We have audited the standalone financial statements of Informed Technologies India Limited (“the Company”), which comprise the Balance Sheet as at 31 March 2020, and the Statement of Profit and Loss (including other comprehensive income), Statement of Changes in Equity and Statement of Cash Flows for the year then ended, and notes to the standalone financial statements, including a summary of significant accounting policies and other explanatory information (hereinafter referred to as “the standalone financial statements”).

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Companies Act, 2013 (“the Act”) in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31 March 2020, and loss (including other comprehensive income), changes in equity and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under Section 143(10) of the Act. Our responsibilities under those SAs are further described in the Auditor’s Responsibilities for the Audit of the Standalone Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of the standalone financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that in our professional judgement, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Sr.no	Key Audit Matters	Our Response
1	Defined benefit obligation The valuation of the retirement benefit scheme in the company is determined with reference to various actuarial assumptions including discount rate, future salary increases, rate of inflation mortality rates and attrition rates. Due to the size of these assumptions can have a material impact on the defined benefit obligation	We have examined the key controls over the process involving member data, formulation of assumptions and the financial reporting process in arriving at the provision for retirement benefits. We tested the controls for determining the actuarial assumptions and the approval of those assumptions by senior management. We found these controls were designed, implemented and operated effectively, and therefore determined that we could place reliance on these key controls for the purpose of our audit.We tested the employee data used in calculating the obligation and where material, we also considered the treatment of curtailments, settlement, past

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Annual Report 2019-2020

Informed Technologies India Limited

service costs, remeasurements, benefits paid, and other amendments made to obligations during the year. From the evidence obtained, we found the data and assumptions used by the management in the actuarial valuations for retirement benefit obligations to be appropriate.

Other Information

The Company’s management and Board of Directors are responsible for the other information. The other information comprises the information included in the Company’s annual report, but does not include the standalone financial statements and our auditors’ report thereon.

Our opinion on the standalone financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the standalone financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the standalone financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Management’s Responsibility for the Standalone Financial Statements

The Company’s management and Board of Directors are responsible for the matters stated in Section 134(5) of the Act with respect to the preparation of these standalone financial statements that give a true and fair view of the state of affairs, loss (including other comprehensive income), changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under Section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the standalone financial statements, management and Board of Directors are responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Board of Directors is also responsible for overseeing the Company’s financial reporting process.

Auditor’s Responsibilities for the Audit of the Standalone Financial Statements

Our objectives are to obtain reasonable assurance about whether the standalone financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users

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Informed Technologies India Limited

Annual Report 2019-2020

taken on the basis of these standalone financial statements.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the standalone financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under Section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the company has adequate internal financial controls with reference to standalone financial statements in place and the operating effectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the standalone financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors’ report. However, future events or conditions may cause the Company to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the standalone financial statements, including the disclosures, and whether the standalone financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the standalone financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditors’ report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditors’ Report) Order, 2016 (“the Order”) issued by the Central Government of India in terms of Section 143(11) of the Act, we give in “Annexure A” a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

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Informed Technologies India Limited

Annual Report 2019-2020

• (A) As required by Section 143(3) of the Act, we report that:

• (a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

• (b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books and records.

• (c) The Balance Sheet, the Statement of Profit and Loss (including other comprehensive income), the Statement of Changes in Equity and the Statement of Cash Flows dealt with by this Report are in agreement with the books of account.

• (d) In our opinion, the aforesaid standalone financial statements comply with the Ind AS specified under Section 133 of the Act.

• (e) On the basis of the written representations received from the directors as on 31 March 2020 taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2020 from being appointed as a director in terms of Section 164(2) of the Act.

• (f) With respect to the adequacy of the internal financial controls with reference to financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in “Annexure B”.

• (B) With respect to the other matters to be included in the Auditors’ Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:

• i. The Company has disclosed the impact of pending litigations as at 31 March 2020 on its financial position in its standalone financial statements - Refer Note 35 to the standalone financial statements;

• ii. The Company has made provision, as required under the applicable law or accounting standards, for material foreseeable losses, if any.

• iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.

• iv. The Company did not have any long term contracts including derivatives contract for which there were any material foreseeable losses.

• (C) With respect to the matter to be included in the Auditors’ Report under section 197(16):

In our opinion and according to the information and explanations given to us, the remuneration paid by the Company to its directors during the current year is in accordance with the provisions of Section 197 of the Act. The remuneration paid to any director is not in excess of the limit laid down under Section 197 of the Act. The Ministry of Corporate Affairs has not prescribed other details under Section 197(16) which are required to be commented upon by us.

For Parekh Sharma & Associates Chartered Accountants Firm’s Registration No: 1 2 9 3 0 1 W

Sujesh Sharma

Mumbai Date: 31st July 2020

Partner Membership No: 118944 UDIN: 20118944AAAAFM2506

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Informed Technologies India Limited

Annual Report 2019-2020

Annexure A

TO THE INDEPENDENT AUDITOR’S REPORT ON THE ACCOUNTS FOR THE YEAR ENDED 31[ST] MARCH 2020.

With reference to the Annexure A referred to in the Independent Auditors’ Report to the members of the Company on the standalone financial statements for the year ended 31 March 2020, we report the following:

• (i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets.

• (b) As explained to us, the fixed assets have been physically verified by the management during the year in accordance with a phased programme of verification which, in our opinion, is reasonable having regards to the size of the company and nature of its fixed assets. The discrepancies noticed on verification between the physical fixed assets and the books records were not material having regard to nature and size of the operations of the company and the same have been properly dealt with in the books of accounts.

• (c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds of immovable properties included in fixed assets are held in the name of the current or former name of the company.

In respect of immovable properties been taken on lease and disclosed as property, plant and equipment in the standalone financial statements, the lease agreements are in the name of the Company.

• (ii) The nature of the company’s operation during the year does not required it to hold inventories. Accordingly, paragraph 3(ii) of the order is not applicable to the company.

• (iii) According to the information and explanations given to us, the Company has not granted any loans, secured or unsecured to companies, firms, limited liability partnerships or other parties covered in the register maintained under Section 189 of the Act. Accordingly, the provisions of clause 3(iii) (a), (b) and (c) of the Order are not applicable to the Company.

• (iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Section 186 of the Act, with respect to the loans given, investments made, guarantees and securities given.

• (v) The Company has not accepted any deposits from the public within the meaning of the directives issued by the Reserve Bank of India, provisions of Section 73 to 76 of the Act, any other relevant provisions of the Act and the relevant rules framed thereunder.

• (vi) The Central Government has not prescribed the maintenance of cost records under Section 148 of the Act for any of the services rendered by the Company.

• (vii) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted / accrued in the books of account in respect of undisputed statutory dues including Provident fund, Employees’ State Insurance, Income-tax, Goods and Services tax, duty of Customs, Cess and other material statutory dues have generally been regularly deposited during the year by the Company with the appropriate authorities.

According to the information and explanations given to us, no undisputed amounts payable in respect of Provident fund, Employees’ State Insurance, Income-tax, Goods and Services tax, duty of Customs, Cess and other material statutory dues were in arrears as at 31 March 2020, for a period of more than six months from the date they became payable.

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Informed Technologies India Limited

Annual Report 2019-2020

• (b) According to the information and explanations given to us, there are no dues of Income-tax or Sales tax or Service tax or Goods and Services tax or duty of Customs or duty of Excise or Value added tax which have not been deposited by the Company on account of disputes.

• (viii) In our opinion and according to the information and explanations given to us, the Company has not defaulted in the repayment of loans or borrowings to banks. Further the Company does not have any debentures issued/outstanding any time during the year.

• (ix) In our opinion and according to the information and explanations given to us, the Company did not raise any money by way of initial public offer or further public offer (including debt instruments) and term loans during the year. Accordingly, paragraph 3(ix) of the Order is not applicable to the Company.

• (x) To the best of our knowledge and according to the information and explanations given to us, no material fraud by the Company or on the Company by its officers or employees has been noticed or reported during the course of our audit.

• (xi) In our opinion and according to the information and explanations given to us and based on examination of the records of the Company, the Company has paid / provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of Section 197 read with Schedule V to the Act.

• (xii) According to the information and explanations given to us, in our opinion, the Company is not a Nidhi Company as specified in Nidhi Rules 2014. Accordingly, the provisions of clause 3(xii) of the order is not applicable to the company.

• (xiii) According to the information and explanations given to us and based on our examination of the records of the Company, all transactions with the related parties are in compliance with Sections 177 and 188 of the Act, where applicable, and details of such transactions have been disclosed in the standalone financial statements as required by the applicable accounting standards.

• (xiv) According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. Accordingly, paragraph 3(xiv) of the Order is not applicable to the Company.

• (xv) According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not entered into non-cash transactions with directors or persons connected with him. Accordingly, paragraph 3(xv) of the Order is not applicable to the Company.

• (xvi) According to the information and explanation given to us, the Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act 1934. Accordingly, paragraph 3(xvi) of the order is not applicable to the company.

For Parekh Sharma & Associates Chartered Accountants Firm’s Registration No: 1 2 9 3 0 1 W

Sujesh Sharma

Partner

Mumbai Date: 31st July 2020

Membership No: 118944 UDIN: 20118944AAAAFM2506

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Informed Technologies India Limited

Annual Report 2019-2020

Annexure B

TO THE INDEPENDENT AUDITOR’S REPORT ON THE ACCOUNTS FOR THE YEAR ENDED 31[ST] MARCH 2020.

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (“the Act”)

We have audited the internal financial controls with reference to standalone financial statements of Informed Technologies India Limited (“the Company”) as of 31 March 2020 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.

Management’s Responsibility for Internal Financial Controls

The Company’s management is responsible for establishing and maintaining internal financial controls based on the internal control with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the “Guidance Note”) issued by the Institute of Chartered Accountants of India (“ICAI”). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to the Company’s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.

Auditor’s Responsibility

Our responsibility is to express an opinion on the Company’s internal financial controls with reference to financial statements based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, issued by ICAI and deemed to be prescribed under Section 143(10) of the Act, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by ICAI. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to financial statements was established and maintained and if such controls operated effectively in all material respects.

Because of the matter described in Disclaimer of opinion paragraph below, we were not able to obtain sufficient appropriate audit evidence to provide a basis for an audit opinion on internal financial controls system over financial reporting of the company.

Meaning of Internal Financial Controls with reference to Financial Statements

A company’s internal financial control with reference to financial statements is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal financial control with reference to financial statements includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention

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Annual Report 2019-2020

Informed Technologies India Limited

or timely detection of unauthorised acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financials Controls with reference to Financials Statements

Because of the inherent limitations of internal financial controls with reference to financial statements, including the possibility of collusion or improper management override of controls, misstatement due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls with reference to financial statements may become inadequate because of changes in the conditions or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

We have considered the disclaimer reported above in determining the nature, timing and extract of audit tests applied in our audit of the standalone financial statements of the company, and the disclaimer do not affect our opinion on the standalone financial statements of the company.

For Parekh Sharma & Associates Chartered Accountants Firm’s Registration No: 1 2 9 3 0 1 W

Sujesh Sharma

Partner

Mumbai Date: 31st July 2020

Membership No: 118944 UDIN: 20118944AAAAFM2506

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Annual Report 2019-2020

Informed Technologies India Limited

BALANCE SHEET AS AT 31ST MARCH, 2020	BALANCE SHEET AS AT 31ST MARCH, 2020	Amount in`
Particulars Note no.	As at 31st March, 2020	As at 31st March, 2019
ASSETS Non-current assets Property, plant and equipment 2 Investment property 3 Other intangible assets 4 Intangible assets under development 5 Investments 6 Non-current tax assets (Net) 7 Deferred tax assets (Net) 8 Other non-current assets 9 Current assets Financial assets Investments 10 Trade receivables 11 Cash and cash equivalents 12 Bank balance other than mentioned in cash and cash equivalents 13 Other current assets 14 TOTAL ASSETS EQUITY AND LIABILITIES Equity Equity share capital 15 Other equity 16 Total Equity Liabilities Non-current liabilities Financial liabilities Borrowings 17 Provisions 18 Deferred tax liabilities (Net) 19 Other non-current liabilities 20 Total non-current liabilities Current liabilities Financial liabilities Borrowings 21 Trade payables 22 Total outstanding dues of micro and small enterprises and Total outstanding due of creditors other than micro and small enterprises Other current liabilities 23 Total current liabilities TOTAL EQUITY AND LIABILITIES Significant accounting policies 1 The accompanying notes are an integral part of these standalone financial statements	31,046,969 2,282,142 45,543 1,814,238 35,108,228 3,737,990 4,029,451 970,780 79,035,341 41,322,786 1,977,449 3,284,305 851,831 4,568,202 52,004,573 131,039,914 41,691,000 77,155,186 118,846,186 3,059,634 2,463,940 - 897,381 6,420,955 1,150,433 - 1,028,177 3,594,163 5,772,773 12,193,728 131,039,914	26,676,847 2,390,798 57,940 1,814,238 40,621,141 2,484,281 - 1,124,776
		75,170,021
		64,663,139 3,662,758 860,102 1,030,390 3,843,984
		74,060,373
		149,230,394
		41,691,000 92,826,124
		134,517,124
		1,464,830 1,146,335 2,050,018 6,238,437
		10,899,620
		706,566 - 829,003 2,278,081
		3,813,650
		14,713,270
		149,230,394
As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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Annual Report 2019-2020

Informed Technologies India Limited

STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020

Amount in `

|Amount in<br>**STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020**|**Amount in**
STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020|Amount in`
STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020|
|---|---|---|
||||
|Particulars
Note no.
For the year ended
For the year ended
31st March, 2020
31st March, 2019|||
|I
Revenue from operations
24

II
Other income
25

III
Total income ( I + II )

IV Expenses
Employee benefits expenses
26

Finance costs
27

Depreciation and amortization expenses
2 - 4

Other expenses
28

Total expenses

V
Profit before exceptional items and tax (III-IV)

VI Exceptional items
VII Profit/(Loss) before tax (V-VI)

VIII Tax expense
29
Current tax

Minimum alternate tax credit

Deferred tax

IX Profit/(Loss) for the year (VII-VIII)

X
Other comprehensive income
30
(i) Items that will not be reclassified to
statement of profit and loss
Re-measurement gains/(losses)
on defined benefit plans

Fair value gains/ (losses) on equity instruments

(ii) Items that will be reclassified to
statement of profit and loss
Debt instruments through other comprehensive income
Total Other Comprehensive Income

XI Total Comprehensive Income for the year (IX+X)

(Comprising profit and other comprehensive
income for the year)
Earnings per equity share
31
Basic (in Rs)

Diluted (in Rs)

Significant accounting policies
1
The accompanying notes are an integral part of these
standalone financial statements|18,941,498

(905,304)

18,036,194

17,528,049

753,520

2,804,355

15,760,231

36,846,155

(18,809,961)


(18,809,961)

-

-

(6,079,469)

(12,730,492)

(898,757)

(2,041,689)


(2,940,446)

(15,670,938)

(3.05)

(3.05)
|20,421,621
7,259,200|
|||27,680,821|
|||16,151,021
807,866
2,612,557
19,510,666|
|||39,082,110|
|||(11,401,289)
-|
|||(11,401,289)
-
-
(1,436,225)|
|||(9,965,064)|
|||46,111
800,812
-|
|||846,923|
|||(9,118,141)|
|||(2.39)
(2.39)|
|As per our report of even date attached
For and on behalf of the Board of Directors
For Parekh Sharma & Associates
Chartered Accountants
Gautam P. Khandelwal
Nimis Sheth
Firm Regn. No. 129301W
Chairman
Director
DIN 00270717
DIN 00482739
Sujesh Sharma
Roshan Dsouza
Reena Yadav
Partner
Chief Financial Officer
Company Secretary
M.No. :118944
(ICSI Reg.No. A36429)
Mumbai : Date: 31st July 2020
Mumbai : Date: 31st July 2020|||

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Informed Technologies India Limited

Annual Report 2019-2020

CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020

CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020	CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020	CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020
Amount in`
Particulars For the year ended For the year ended 31 March, 2020 31 March, 2019
A. Cash flows from operating activities: Net profit / (loss) before exceptional items & tax Adjustments for: Depreciation and amortization Finance cost Unrealised gain on investments measured at FVTOCI (net) Re-measurement gains/(losses) on defined benefit plans Profit on sale of investments Unrealised gain/ loss from investments Interest income Dividend income Income from investment assets Operational profit before working capital changes Adjustments for changes in working capital : Trade receivables Other current assets Trade payables Other current liabilities Cash from/ (used) in operating activities Direct taxes paid, net Net cash from/ (used) in operating activities B. Cash flow from investing activities Purchase of property, plant and equipment Proceeds of (purchase) / sale of investments Income from investment assets Dividend received Interest received Proceeds / (repayment) of loans and deposits Net cash from/ (used) in investing activities C. Cash flow from financing activities Proceeds/(repayment) of non-current borrowings Proceeds / (repayment) of current borrowings Dividend paid Finance cost Net cash generated from financing activities D. Net cash flows during the year (A+B+C) E. Cash and cash equivalents at the beginning F. Cash and cash equivalents at the end (D+E) G. Cash and cash equivalents comprise of: Cash on hand Cheques on hand Balances with banks Cash and cash equivalents at the end	(18,809,961) 2,804,355 753,520 (2,041,689) (898,757) 81,191 15,838,260 (36,164) (668,284) (14,491,521) (17,469,050) 1,685,310 (724,218) 199,174 2,990,804 (13,317,980) (1,253,709) (14,571,689) (7,053,424) 12,933,816 14,491,521 668,284 36,164 (5,187,060) 15,889,300 1,594,804 443,867 (178,559) (753,520) 1,106,592 2,424,203 860,102 3,284,305 24,568 3,259,737 3,284,305	(11,401,289) 2,612,557 807,866 800,812 46,111 1,449,361 3,224,271 (18,756) (1,094,269) (10,509,816)
		(14,083,152) (1,587,591) (600,173) 125,084 (185,016)
		(16,330,849) (1,419,990)
		(17,750,839)
		(579,313) 5,862,324 10,509,816 1,094,269 18,756 (127,540)
		16,778,312
		(706,566) 57,609 (159,991) (807,866)
		(1,616,814)
		(2,589,341) 3,449,443 860,102 24,926 - 835,176
		860,102
As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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Informed Technologies India Limited

Annual Report 2019-2020

STATEMENT OF CHANGE IN EQUITY FOR THE YEAR ENDED 31ST MARCH, 2020

Equity	Amount in`
Particulars As at Change in 1st April, Equity share 2018 capital during the year	As at Change in As at 1st April, Equity share 31st March, 2019 capital during 2020 the year
Equity Share Capital 41,691,000 -	41,691,000 - 41,691,000
Other Equity	(Amount in`)
Particulars Reserves and Surplus	Items of Other Total Comprehensive Income Items that will not be reclassified to Profit and Loss
General Retained Equity Other Reserve Earnings instruments Items
Balance as at 1st April 2018 110,407,865 (2,700,854) (5,624,783) (137,965) 101,944,265
Profit for the year - (9,965,064) - - (9,965,064) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (net of tax) - - - 46,111 46,111 Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - 800,812 - 800,812
Balance as at 31st March 2019 110,407,865 (12,665,918) (4,823,971) (91,854) 92,826,124
Profit for the year - (12,730,492) - - (12,730,492) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (net of tax) - - - (898,757) (898,757) Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - (2,041,689) - (2,041,689)
Balance as at 31st March 2020 110,407,865 (25,396,410) (6,865,660) (990,611) 77,155,186
As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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Informed Technologies India Limited

Annual Report 2019-2020

Notes on Financial Statements for the year ended 31[st] March, 2020

Note - 1

Significant Accounting Policies

1. Corporate Information

Informed Technologies India Limited (‘ITIL’ ‘The Company’) is a limited Company incorporated and domiciled in India. The Company is a public limited company and its equity shares are listed with Bombay Stock Exchange (“BSE”) in India.

The registered office of the Company is situated at 20[th] Floor, Nirmal Building, Nariman Point, Mumbai– 400021.

2. Statement of Compliance

These financial statements are prepared and presented in accordance with the Indian Accounting Standards (Ind AS) notified under the Companies (Indian Accounting Standard) Rules, 2015 as amended by the Companies (Indian Accounting Standard) Rules, 2017 notified under section 133 of the Companies Act, 2013, the relevant provisions of the Companies Act, 2013 and the guidelines issued by the Securities and Exchange Board of India (SEBI), as applicable.

3. Basis of Preparation

The financial statements of the Company have been prepared and presented on the going concern basis and at historical cost except for the following assets and liabilities which have been measure at fair value.

• Certain financial assets and liabilities at fair value (refer accounting policy regarding financial instruments)

• Employee’s Defined Benefit Plan as per actuarial valuation

4. Functional and Presentation Currency

The financial statements are presented in Indian Rupees, which is the functional currency of the Company and the currency of the primary economic environment in which the Company operates.

5. Use of Estimates

The preparation of financial statements in conformity with the Indian Accounting Standards requires judgments, estimates and assumptions to be made that affect the reported amount of assets and liabilities, disclosures of contingent liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Difference between the actual results and estimates are recognized in the period in which the results are known/ materialized.

6. Classification of Assets and Liabilities as Current and Non-Current

All assets and liabilities are classified as current and non-current as per the Company’s normal operating cycle, and other criteria set out in Schedule III of the Companies Act, 2013. Based on the nature of products and the time lag between the acquisition of assets for processing and their realization in cash and cash equivalents, 12 months period has been considered by the Company as its normal operating cycle.

7. Overall Consideration

The financial statements have been prepared applying the significant accounting policies and measurement bases summarized below.

8. Revenue Recognition

Sale of services

Sale of services are recognized on satisfaction of performance obligation towards rendering of such services.

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Informed Technologies India Limited

Annual Report 2019-2020

Dividend, Interest and Rental Income

Dividend from investments are recognized in profit or loss when the right to receive payment is established.

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to the Company and the amount of income can be measured reliably.

Rental income is recognized in accordance with terms of lease.

9. Property Plant and Equipment

Property, plant and equipment are stated at acquisition or construction cost less accumulated depreciation and impairment loss. Cost comprises the purchase price and any attributable cost of bringing the assets to its location and working condition for its intended use, including relevant borrowing costs and any expected costs of decommissioning.

If significant parts of an item of PPE have different useful lives, then they are accounted for as separate items (major components) of PPE.

The cost of an item of PPE is recognized as an assets if, and only if, it is probable that the economic benefits associated with the item will flow to the Company in future periods and the item can be measured reliably. However, cost of excludes indirect taxes to the extent credit of the duty or tax is availed off.

Items such as spare parts, standby equipment and servicing equipment are recognized as PPE when it is held for use in production or supply of goods or services, or for administrative purpose, and are expected to be used for more than one year. Otherwise such items are classified as inventory.

An item of PPE is de-recognized upon disposal or when no future economic benefits are expected to arise from the continued use of assets. Any gain or loss arising on the disposal or retirement of an item of PPE, is determined as the difference between the sales proceeds and the carrying amount of the assets and is recognized in the Statement of Profit and Loss.

Capital Advance given towards acquisition or construction of PPE outstanding at each reporting date are disclosed as Capital Advances under Other Non-current Assets.

Expenditure incurred after the PPE have been put into operations, such as repairs and maintenance expenses are charged to the Statement of Profit and Loss during the period in which they are incurred.

10. Depreciation and Amortization

Depreciation on tangible assets is provided on Straight Line Method and based on useful life of the assets as prescribed in Schedule II to the Companies Act, 2013, except in respect of the following assets, where the useful life is exceeding those prescribed in Schedule II based on the Chartered Engineer’s Valuation Certificate namely:

Description	Range of Useful lives in years
Furniture	1 – 9 years
Electrical Installation	2 years

Depreciation on assets purchased / sold during the period is proportionately charged. The residual value for all the above assets are retained at 5% of the cost. Residual values and useful lives are reviewed and adjusted, if appropriate, for each reporting period.

11. Intangible Assets

Intangible assets are stated at Cost of acquisition, less accumulated amortization/depletion and accumulated impairment losses, if any, are amortized over a period of 6 years or license period, whichever is lower.

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Informed Technologies India Limited

Annual Report 2019-2020

Expenditure incurred on development is capitalized if such expenditure leads to creation of any intangible assets, otherwise, such expenditure is charged to the Statement of Profit and Loss.

12. Investment Property

Investment properties are recognized initially at cost. Subsequent to initial recognition, investment properties are stated at cost less accumulated depreciation. The Company has depreciated assets based on Straight line method as per Schedule II to the Companies Act, 2013.

13. Impairment of Assets

At end of each reporting period, the Company reviews the carrying amounts of non-financial assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the assets is estimated to be less than its carrying amount, the carrying amount of the assets is reduced to its recoverable amount. An Impairment loss is recognised immediately in the Statement of Profit and Loss.

14. Cash and Cash equivalents and Cash Flow Statement

Cash and cash equivalents comprise cash on hand and demand deposits, together with other short-term, highly liquid investments maturing within three months from the date of acquisition and which are readily convertible into cash and which are subject to only an insignificant risk of changes in value.

Cash flows are reported using the indirect method, whereby Profit or Loss before tax is appropriately classified for the effects of transactions of non-cash nature and any deferrals or accruals of past or future receipts or payments. In the cash flow statement, cash and cash equivalents include cash in hand, cheques on hand, balances with banks in current accounts, EEFC accounts and other short- term highly liquid investments with original maturities of three months or less.

15. Segment reporting

The Company is principally engaged in the business of Business process outsourcing which is the only operating reportable segment as per Ind AS 108.

16. Borrowing costs

Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized during the period of time that is necessary to complete and prepare the asset for its intended use or sale. Other borrowing costs are expensed in the period in which they are incurred under finance costs. Borrowing cost also includes exchange differences to the extent regarded as an adjustment to interest costs.

17. Foreign Exchange Transactions

Transactions denominated in foreign currencies are recorded at the exchange rate prevailing on the date of the transaction. At end of each reporting period, monetary assets and liabilities denominated in foreign currencies are translated at the exchange rates prevailing on that date. Non-monetary items that are measured in terms of historical cost in a foreign currency, are not retranslated. Exchange difference on monetary items are recognised in the Statement of Profit and Loss in the period in which these arise.

18. Income Taxes

Tax expense recognized in the Statement of Profit and Loss comprises the sum of deferred tax and current tax not recognized in other comprehensive income or directly in equity.

Calculation of current tax is based on tax rates in accordance with tax laws that have been enacted or substantively enacted by the end of the reporting period.

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Informed Technologies India Limited

Annual Report 2019-2020

Deferred income taxes are calculated using the ‘Balance Sheet approach on temporary differences between the carrying amounts of assets and liabilities in financial statements and the amount used for taxation purposes.

Deferred taxes pertaining to items recognized in other comprehensive income (OCI) are disclosed under OCI.

Deferred tax assets are recognized to the extent that it is probable that the underlying tax loss or deductible temporary difference will be utilized against future tax liability. This is assessed based on the Company’s forecast of future earnings, excluding non-taxable income and expenses and specific limits on the use of any unused tax loss or credit. Deferred tax liabilities are generally recognized in full, although Ind AS 12 ‘Income Taxes’ specifies some exemptions.

Minimum Alternate Tax (MAT) Credit are in the form of unused tax credits that are carried forward by the Company for specified period of time, hence, it is presented as Deferred Tax Assets.

19. Employee Benefits

Short-term obligations:

Short term obligations are those that are expected to be settled fully within 12 months after the end of the reporting period. They are recognised up to the end of the reporting period at the amounts expected to be paid at the time of settlement.

Other Long-term obligations :

The liabilities for earned leave are not expected to be settled wholly within 12 months after end of the period in which the employees render the related service.

Long-term compensated absences are provided for on the basis of an actuarial valuation at the end of each financial year. Actuarial gains / losses, if any, are recognised immediately in Statement of Profit and Loss.

Defined Contribution Plans:

Contribution payable to recognised provident funds, which are substantially defined contribution plans, is recognised as expense in the Statement of Profit and Loss, as they are incurred.

Defined Benefit Plan:

The obligation in respect of defined benefit plan, which covers Gratuity, is provided for on the basis of an actuarial valuation at the end of each financial year. Gratuity is funded with an approved trust maintained by LIC.

Re-measurement, comprising actuarial gains and losses, the effect of the changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest), is reflected immediately in the Balance Sheet with a charge or credit recognised in other comprehensive income in the period in which they occur. Re-measurement recognised in other comprehensive income is reflected immediately in OCI Reserve and will not be reclassified to Statement of Profit and Loss.

Bonus Payable:

The Company recognized a liability and an expense for bonus. The Company recognised a provision where contractually obliged or where there is a past practice that has created a constructive obligation.

20. Lease

The Company, at the inception of a contract, assesses whether the contract is a lease or not lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a time in exchange for a consideration. This policy has been applied to contracts existing and entered into on or after April 1, 2019 as per Ind As 116.

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Informed Technologies India Limited

Annual Report 2019-2020

The Company recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, 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, less any lease incentives received.

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 initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the Company’s incremental borrowing rate. It is remeasured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in the Company’s estimate of the amount expected to be payable under a residual value guarantee, or if the Company changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.

The Company has elected not to recognise right-of-use assets and lease liabilities for short-term leases that have a lease term of 12 months or less and leases of low-value assets. The Company recognises the lease payments associated with these leases as an expense over the lease term.

In the comparative period, leases under which the Company assumes substantially all the risks and rewards of ownership are classified as finance leases. When acquired, such assets are capitalized at fair value or present value of the minimum lease payments at the inception of the lease, whichever is lower. Lease payments and receipts under operating leases are recognised as an expense and income respectively, on a straight line basis in the statement of profit and loss over the lease term except where the lease payments are structured to increase in line with expected general inflation.

In accordance with the standard the company has elected not to apply the requirements of Ind AS 116 to short term leases less than 12 months.

21. Trade receivable

Trade receivables are amounts due from customers for goods sold or services performed in the ordinary course of business. If the receivable is expected to be collected within a period of 12 months or less from the reporting date (or in the normal operating cycle of the business, if longer), they are classified as current assets otherwise as non-current assets.

Trade receivables are measured at their transaction price unless it contains a significant financing component or pricing adjustments embedded in the contract.

22. Financial Instruments

Initial Recognition and Measurement:

Financial assets (other than trade receivables) and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the financial instrument and are measured initially at fair value adjusted for transaction costs, except for those carried at fair value through Statement of Profit and Loss which are measured initially at fair value.

Trade receivables are recognised at their transaction value as the same do not contain significant financing component.

Trade payable is in respect of the amount due on account of goods purchased in the normal course of business are recognised at their transaction value as the same do not contain significant financing component.

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Informed Technologies India Limited

Annual Report 2019-2020

(I) Financial Assets:

Classification and Subsequent Measurement:

The Company classifies financial assets as subsequently measured at amortised cost, fair value through other comprehensive income (FVTOCI) or fair value through profit or loss (FVTPL) on the basis of both

• (a) Business model for managing the financial assets, and

• (b) The contractual cash flow characteristics of the financial asset

A Financial Asset is measured at amortised cost if both of the following conditions are met:

• (i) the financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows, and

• (ii) the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

A financial asset is measured at fair value through Other Comprehensive Income (FVTOCI) if both of the following conditions are met:

• (i) the financial asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets, and

• (ii) the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

A Financial Asset shall be classified and measured at fair value through profit or loss (FVTPL) unless it is measured at amortised cost or at fair value through OCI.

All recognized financial assets are subsequently measured in their entirety at either amortised cost or fair value, depending on the classification of the financial assets.

Equity Investments:

Equity investments in Associates are out of scope of Ind AS 109 and hence, the Company has accounted for its investment in Associates at cost. All other equity investments are measured at fair value.

Equity instruments, which are held for trading are classified as at FVTPL. For equity instruments other than held for trading, the company has exercised irrevocable option to recognise in other comprehensive income subsequent changes in the fair value.

Derecognition of financial assets:

The Company derecognises a financial asset when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party. If the Company neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the transferred asset, the Company recognises its retained interest in the asset and an associated liability for amounts it may have to pay. If the Company retains substantially all the risks and rewards of ownership of a transferred financial asset, the Company continues to recognise the financial asset and also recognises an associated liability.

On derecognition of a financial asset, the difference between the asset’s carrying amount and the sum of the consideration received and receivable and the cumulative gain or loss that had been recognised in other comprehensive income and accumulated in equity is recognised in the Statement of profit and loss or transfer to retained earnings, as the case may be.

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Informed Technologies India Limited

Annual Report 2019-2020

(II) Financial Liabilities and Equity Instruments

Classification as Debt or Equity:

Debt and equity instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

Equity instruments:

An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities. Equity instruments issued by the Company are recognised at the proceeds received, net of direct issue costs.

Financial liabilities:

Financial liabilities are classified, at initial recognition:

• At fair value through Statement of Profit and Loss,

• Loans and borrowings, payables, or

• As derivatives designated as hedging instruments in an effective hedge, as appropriate.

All financial liabilities are recognised initially at fair value and in the case of loans and borrowings and payables, they are recognised net of directly attributable transaction costs.

The Company’s financial liabilities include trade and other payables, loans and borrowings, including bank overdrafts, financial guarantee contracts and derivative financial instruments.

Subsequent Measurement:

The measurement of financial liabilities depends on their classification, as described below:

Financial Liabilities at FVTPL:

Financial liabilities at FVTPL include financial liabilities held for trading and financial liabilities designated upon initial recognition as at FVTPL. Financial liabilities are classified as held for trading, if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the company that are not designated as hedging instruments in hedge relationships as defined by Ind AS 109. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments.

Gains or losses on liabilities held for trading are recognised in the statement of profit and loss.

Financial liabilities designated upon initial recognition at FVTPL are designated as such at the initial date of recognition, and only if the criteria in Ind AS 109 are satisfied.

Loans and Borrowings:

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortised cost using the Effective Interest Rate (EIR) method. Gains and losses are recognised in the Statement of Profit and Loss when the liabilities are derecognised as well as through the EIR amortisation process.

Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included as finance costs in the Statement of Profit and Loss.

Derecognition of Financial Liabilities:

The Company de-recognises financial liabilities when and only when, the Company’s obligations are discharged, cancelled or have expired. The difference between the carrying amount of the financial liability de-recognised and the consideration paid and payable is recognised in the statement of profit and loss or transfer to retained earnings, as the case may be.

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Informed Technologies India Limited

Annual Report 2019-2020

23. Provisions and contingent liabilities

Provisions:

A Provision is recorded when the Company has a present obligation (legal or constructive)as a result of past events, it is probable that an outflow of resources will be required to settle the obligation and the amount can be reasonably estimated.

Contingent liabilities:

Whenever there is possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity or a present obligation that arises from past events but is not recognised because (a) it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation; or (b) the amount of the obligation cannot be measured with sufficient reliability are considered as contingent liability.

Show cause notices are not considered as Contingent Liabilities unless converted into demand.

Contingent Assets:

Contingent assets are not recognised in the financial statements since this may result in recognition of income that may never be realized. However, when the realization of income is virtually certain, then the related assets is not a contingent assets and is recognised.

24. Investment in Associates

The investments in associates are carried in these financial statements at historical cost except when the investment, or a portion thereof, is classified as held for sale, in which case it is accounted for as Non-current assets held for sale and discontinued operations.

When the Company is committed to a sale plan involving disposal of an investment, or a portion of an investment in an associate the investment or the portion of the investment that will be disposed of is classified as held for sale when the criteria described above are met.

Any retained portion of an investment in an associate that has not been classified as held for sale continues to be accounted for at historical cost. Upon loss of significant influence over the associate the Company measures and recognises any retained investment at its fair value. Any difference between the carrying amount of the associate and the fair value of retained investment and proceeds from disposal is recognised in Statement of Profit and Loss.

25. Cash Dividend to Equity Holders of the Company

The Company recognises a liability to make cash distributions to equity holders of the Company when the distribution is authorised and the distribution is no longer at the discretion of the Company. As per the corporate laws in India, a distribution is authorised when it is approved by the shareholders. A corresponding amount is recognised directly in equity.

26. Earnings per share

Basic earnings per share are calculated by dividing the Net Profit or Loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period.

For the purpose of calculating diluted earnings per share, the Net Profit or Loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are considered for the effects of all dilutive potential equity shares.

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Informed Technologies India Limited

Annual Report 2019-2020

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----- Start of picture text -----

As at 31st March,2019 Rs. 12,921,627 6,652,645 - 437,169 5,216,941 726,351 224,567 497,547 26,676,847 As at 31st March,2018 Rs. 13,279,243 6,786,946 - 289,167 6,495,448 821,963 318,530 559,862 28,551,160
- -
NET BLOCK As at 31st March,2020 Rs. 12,589,627 6,518,344 1,549,695 7,967,399 1,051,808 934,864 435,232 31,046,969 NET BLOCK As at 31st March,2019 Rs. 12,921,627 6,652,645 437,169 5,216,941 726,351 224,567 497,547 26,676,847
As at 31st March,2020 Rs. 7,056,699 2,018,756 - 2,185,309 6,741,952 2,462,294 2,320,497 1,050,115 23,835,622 As at 31st March,2019 Rs. 6,724,699 1,884,455 - 2,107,757 5,149,614 2,144,034 2,153,961 987,800 21,152,320
Rs. - - - - - - - - - Rs. - - - - - - - - -
Disposals /De-recognition during the year Disposals /De-recognition during the year
Additions Rs. 332,000 134,301 77,552 1,592,338 318,260 166,536 62,315 2,683,302 Additions Rs. 357,616 134,301 - 39,500 1,278,507 384,035 197,351 62,315 2,453,625
ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION
As at 1st April, 2019 Rs. 6,724,699 1,884,455 - 2,107,757 5,149,614 2,144,034 2,153,961 987,800 21,152,320 As at 1st April, 2018 Rs. 6,367,083 1,750,154 - 2,068,257 3,871,107 1,759,999 1,956,610 925,485 18,698,695
As at 31st March,2020 Rs. 19,646,326 8,537,100 - 3,735,004 14,709,351 3,514,102 3,255,361 1,485,347 54,882,591 As at 31st March,2019 Rs. 19,646,326 8,537,100 - 2,544,926 10,366,555 2,870,385 2,378,528 1,485,347 47,829,167
Rs. - - - - - - - - - Rs. - - - - - - - - -
Disposals /De-recognition during the year Disposals /De-recognition during the year
GROSS BLOCK Rs. - - - - GROSS BLOCK Rs. - - - - -
Additions 1,190,078 4,342,796 643,717 876,833 7,053,424 Additions 187,502 288,423 103,388 579,313
As at 1st April, 2019 Rs. 19,646,326 8,537,100 - 2,544,926 10,366,555 2,870,385 2,378,528 1,485,347 47,829,167 As at 1st April, 2018 Rs. 19,646,326 8,537,100 - 2,357,424 10,366,555 2,581,962 2,275,140 1,485,347 47,249,854
Particulars Buildings : Buildings freehold Buildings leasehold Plant and equipment Furniture and fixtures Vehicles Office equipment Computers Electrical installation Total Particulars Buildings : Buildings freehold Buildings leasehold Plant and equipment Furniture and fixtures Vehicles Office equipment Computers Electrical installation Total
Sr. No. (a) (b) (c') (d) (e') (f) (g) F.Y. 2018-19 Sr. No. (a) (b) (c) (d) (e) (f) (g)
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Informed Technologies India Limited

Annual Report 2019-2020

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----- Start of picture text -----

As at 31st March,2019 Rs. 2,390,798 2,390,798 As at 31st March,2018 Rs. 2,499,453 2,499,453
NET BLOCK As at 31st Rs. NET BLOCK As at 31st Rs. -
March,2020 2,282,142 2,282,142 March,2019 2,390,798 2,390,798
Rs. Rs.
10,065,600
As at 31st March,2020 2,071,584 2,071,584 As at 31st March,2019 1,962,928 1,962,928
10,065,600 108,655 9,956,945
Rs. - - Rs. - -
Year Ended 2019 (Rs.)
Disposals Disposals
189,196,000
/De-recognition during the year /De-recognition during the year
Rs. Rs.
108,656 As at 31st March, 2019 (Rs.)
Additions 108,656 108,656 Additions 108,655 108,655 14,171,600 14,171,600 14,062,944
ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION
As at 1st Rs. As at 1st Rs.
April, 2019 1,962,928 1,962,928 April, 2018 1,854,273 1,854,273 Year Ended 2020 (Rs.)
As at 31st Rs. As at 31st Rs. 189,196,000
March,2020 4,353,726 4,353,726 March,2019 4,353,726 4,353,726
- - - -
Disposals /De-recognition during the year Rs. Disposals /De-recognition during the year Rs. As at 31st March, 2020 (Rs.)
GROSS BLOCK Rs. - - GROSS BLOCK Rs. - -
Additions Additions
As at 1st April, 2019 Rs. 4,353,726 4,353,726 As at 1st April, 2018 Rs. 4,353,726 4,353,726
Information regarding income and expenditure of Investment Property: Particulars Rental income from investment property Direct expenses: Contribute to rental income (including R&M) Profit before depreciation and indirect expenses (I - II) Depreciation Profit before indirect expenses Fair Value of Investment Properties: Office Premises
The fair value of the Company’s Investments properties as at March 31, 2020 have been arrived at on the basis of valuation carried out as at the respective dates by management based on ready reckoner valuation published by local goverment with the authority which governs the valuer in India.
Particulars Buildings : Office Premises-freehold Total Particulars Buildings : Office Premises-freehold Total
Investment Property F.Y.2019-20 Sr. No. (a) F.Y.2018-19 Sr. No. (a) (a) I I I III IV V (b)
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Informed Technologies India Limited

Annual Report 2019-2020

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----- Start of picture text -----

As at 31st March,2019 Rs. 57,940 57,940 As at 31st March,2018 Rs. 108,217 108,217 As at 31st March,2019 Rs. 1,814,238 1,814,238 As at 31st March,2018 Rs. 1,814,238 1,814,238
NET BLOCK As at 31st March,2020 Rs. 45,543 45,543 NET BLOCK As at 31st March,2019 Rs. 57,940 57,940 NET BLOCK As at 31st March,2020 Rs. 1,814,238 1,814,238 NET BLOCK As at 31st March,2019 Rs. 1,814,238 1,814,238
As at 31st March,2020 Rs. 916,186 916,186 As at 31st March,2019 Rs. 903,789 903,789 As at 31st March,2020 Rs. - - As at 31st March,2019 Rs. - -
Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - -
Additions Rs. 12,397 12,397 Additions Rs. 50,277 50,277 Additions Rs. - - Additions Rs. - -
ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION
As at 1st April, 2019 Rs. 903,789 903,789 As at 1st April, 2018 Rs. 853,512 853,512 As at 1st April, 2019 Rs. - - As at 1st April, 2018 Rs. - -
As at 31st March,2020 Rs. 961,729 961,729 As at 31st March,2019 Rs. 961,729 961,729 As at 31st March,2020 Rs. 1,814,238 1,814,238 As at 31st March,2019 Rs. 1,814,238 1,814,238
Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - -
GROSS BLOCK Rs. - - GROSS BLOCK Rs. - - GROSS BLOCK Rs. - - GROSS BLOCK Rs. - -
Additions Additions Additions Additions
As at 1st April, 2019 Rs. 961,729 961,729 As at 1st April, 2018 Rs. 961,729 961,729 As at 1st April, 2019 Rs. 1,814,238 1,814,238 As at 1st April, 2018 Rs. 1,814,238 1,814,238
Particulars Computer software Total Particulars Computer software Total Particulars Intangible asset under development Total Particulars Intangible asset under development Total
Other Intangible assets F.Y.2019-20 Sr. No. (a) F.Y.2018-19 Sr. No. (a) Note - 5 Intangible assets under development F.Y.2019-20 Sr. No. (a) F.Y.2018-19 Sr. No. (a)
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Annual Report 2019-2020

Informed Technologies India Limited

Notes to Financial Statements for the year ended 31st March, 2020

Note - 6

Non-current financial assets - Investments

Particulars Investment in equity instruments Unquoted Associates: Carried at cost Entecres Labs Private Ltd. Others: Carried at fair value through other comprehensive income (FVTOCI) Gras Education and Training Service P Ltd. Quoted Others: Carried at fair value through other comprehensive income (FVTOCI) Power Grid Corporation of India Ltd. Gujarat Steel Tubes Ltd. Nagpur Power & Industries Ltd. Zenith Birla (I) Ltd. Total Other details: i Aggregate book value of: Particulars Quoted investments Unquoted investments Aggregate market value of quoted investments Aggregate impairment in value of investments	Face value Numbers (Rs.) As at 31st March 2020	Face value Numbers (Rs.) As at 31st March 2020	As at As at 31st March, 31st March, 2020 2019 (Rs.) (Rs.)
	10 4,680 10,487,880 10,487,880 10,487,880 10,487,880 10 159,957 15,896,527 15,896,527 15,896,527 15,896,527 10 23,273 - 4,605,727 10 180 375 375 10 254,232 8,605,753 9,470,142 10 164,132 117,693 160,490 8,723,821 14,236,734 35,108,228 40,621,141 As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.) 8,723,821 14,236,734 26,384,407 26,384,407 35,108,228 40,621,141 8,723,821 14,236,734 - -		10,487,880 10,487,880
			10,487,880 10,487,880
			15,896,527 15,896,527
			15,896,527 15,896,527
			- 4,605,727 375 375 8,605,753 9,470,142 117,693 160,490
			8,723,821 14,236,734
			35,108,228 40,621,141
			As at As at rch, 2020 31st March, 2019 (Rs.) (Rs.) ,723,821 14,236,734 ,384,407 26,384,407
		3	5,108,228 40,621,141
		8,723,821 14,236,734 - -

ii Disclosure requirement of Ind AS 107- financial instruments : disclosure: Equity instrument (other than subsidiary and associates) designated at FVTOCI:

These investment have been designated on initial recognition to be measured at FVTOCI as these are long-term investment and not intended for sale.

-- 57 --

Annual Report 2019-2020

Informed Technologies India Limited

Notes to Financial Statements for the year ended 31st March, 2020

Note - 7 Non-current tax assets/(liabilities) (Net) Provision for taxation Income tax paid Less: MAT credit entitlement Total Note - 8 Deferred tax assets (Net) Opening balance Add: DTL for the year Less: MAT credit entitlement Total Note - 9 Other non-current assets Security deposits Advances to supplier for goods and services Total Note - 10 Current financial assets - investments Carried at fair value through profit and loss (FVTPL) Quoted Investment in equity instruments Investment in mutual funds Total Other details: i Aggregate book value of: Quoted investments Unquoted investments Aggregate market value of quoted investments Aggregate impairment in value of investments Particulars	As at 31st March, 2020 (Rs.)	As at 31st March, 2020 (Rs.)	As at 31st March, 2019 (Rs.)
	(24,797,000) 28,534,990 -		(24,797,000) 27,281,281 -
	3,737,990		2,484,281
	(2,050,018) 6,079,469 -		- - -
	4,029,451		-
	754,880 215,900		749,880 374,896
	970,780		1,124,776
	41,322,786 -		64,663,139 -
	41,322,786		64,663,139
	41,322,786 -		64,663,139 -
	41,322,786		64,663,139
	41,322,786 -		64,663,139 -

-- 58 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to Financial Statements for the year ended 31st March, 2020

Particulars As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Note - 11 Trade receivables (Unsecured, unless otherwise stated) Considered good 1,977,449 3,662,758 Doubtful - - Total 1,977,449 3,662,758 Note - 12 Cash and cash equivalents Balance with banks: In Current accounts 3,174,609 748,731 In Deposit accounts 63,907 59,890 In EEFC accounts 21,221 26,555 Cash on hand 24,568 24,926 Total 3,284,305 860,102 Note - 13 Bank balance other than mentioned in cash and cash equivalents Earmarked balances with banks Unclaimed dividend 851,831 1,030,390 Total 851,831 1,030,390 Note: There are no amounts due and outstanding to be credited to the investor education and protection fund as at 31st March, 2020. Note - 14 Other current assets Balance with statutory/government authorities 1,744,708 2,798,447 Prepaid expenses 347,277 444,890 Advances to supplier for services 2,215,517 66,576 Advances to employees 224,544 188,000 Other receivables 36,157 346,071 Total 4,568,202 3,843,984	As at 31st March, 2020 (Rs.)	As at 31st March, 2020 (Rs.)	As at 31st March, 2019 (Rs.)
	1,977,449 -		3,662,758 -
	1,977,449	3,662,758 748,731 59,890 26,555 24,926 860,102 1,030,390 1,030,390 protection fund as at 31st 2,798,447 444,890 66,576 188,000 346,071 3,843,984	3,662,758
	3,174,609 63,907 21,221 24,568		748,731 59,890 26,555 24,926
	3,284,305		860,102
	851,831		1,030,390
	851,831		1,030,390
	4,568,202		3,843,984

-- 59 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to Financial Statements for the year ended 31st March, 2020

Note - 15 Equity Share Capital : Authorized Capital Equity shares of Rs. 10/- each 15% ‘A’ cumulative redeemable preference shares of Rs. 100/- each Issued, Subscribed and Paid-up Equity Shares of Rs. 10/- each fully paid up Total a Reconciliation of the number of shares outstand Particulars Equity shares at the beginning of the year Add: shares issued during the year Less: shares cancelled/bought back during the ye Equity shares at the end of the year Particulars	Note - 15 Equity Share Capital : Authorized Capital Equity shares of Rs. 10/- each 15% ‘A’ cumulative redeemable preference shares of Rs. 100/- each Issued, Subscribed and Paid-up Equity Shares of Rs. 10/- each fully paid up Total a Reconciliation of the number of shares outstand Particulars Equity shares at the beginning of the year Add: shares issued during the year Less: shares cancelled/bought back during the ye Equity shares at the end of the year Particulars	No. of shares Value No. of shares Value As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
		7,000,000 70,000,000 7,000,000 70,000,000 50,000 5,000,000 50,000 5,000,000
		7,050,000 75,000,000 7,050,000 75,000,000
		4,169,100 41,691,000 4,169,100 41,691,000
		4,169,100 41,691,000 4,169,100 41,691,000
		ing is set out below: Number of Shares
		As at As at 31st March, 2020 31st March, 2019
		4,169,100 4,169,100 - - ar - - 4,169,100 4,169,100
		rights and are subject to the restriction as prescribed under the rt I of schedule III of companies act, 2013 is NIL. ate shares in the company
	Particulars Khandelwals Limited* Life Insurance Corporation of India Ltd.	As at As at 31st March, 2020 31st March, 2019
		No. of shares % of holdings No. of shares % of holdings
		2,678,220 64.24 2,678,220 64.24 384,750 9.23 384,750 9.23

• b The equity shares of the company having voting rights and are subject to the restriction as prescribed under the companies Act, 2013.

• c Disclosure pursuant to note no. 6(D) (h,i,j,k,l) of part I of schedule III of companies act, 2013 is NIL.

• d Shareholders holding more than 5% of the aggregate shares in the company

Particulars		As at		As at
		31st March, 2020		31st March, 2019
	No. of shares	% of holdings	No. of shares	% of holdings
Khandelwals Limited*	2,678,220	64.24	2,678,220	64.24
Life Insurance Corporation of India Ltd.	384,750	9.23	384,750	9.23

• *Khandelwals Limited is registered outside India i.e. 10 Orange Street, London , United Kingdom

• e During the financial year 2019-20 company has transferred 16,745 number of equity shares to IEPF account as per MCA general circular no. 12/2017 and section 124(6).

-- 60 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to Financial Statements for the year ended 31st March, 2020

Note - 16

Note - 16	Note - 16
Other Equity Particulars		Items of Other Comprehensive Income
Reserves and Surplus		Items that will not be reclassified to Profit and Loss
General Retained Equity Other Total Reserve Earnings instruments Items
Balance as at 1st April 2018 110,407,865 (2,700,854) (5,624,783) (137,965) 101,944,265
Profit / (Loss) for the year - (9,965,064) - - (9,965,064) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (Net of tax) - - - 46,111 46,111 Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - 800,812 - 800,812
Balance as at 31st March 2019 110,407,865 (12,665,918) (4,823,971) (91,854) 92,826,124
Profit / (Loss) for the year - (12,730,492) - - (12,730,492) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (Net of tax) - - - (898,757) (898,757) Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - (2,041,689) - (2,041,689)
Balance as at 31st March 2020 110,407,865 (25,396,410) (6,865,660) (990,611) 77,155,186
Note - 17 Borrowings Particulars Secured Term loan from banks Total	As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
	3,059,634 1,464,830
	3,059,634 1,464,830
Term loan consist of:

Note - 17
Borrowings
Particulars	As at	As at
	31st March, 2020	31st March, 2019
	(Rs.)	(Rs.)
Secured
Term loan from banks	3,059,634	1,464,830
Total	3,059,634	1,464,830
Term loan consist of:

(1) Kotak Mahindra Prime Ltd having fixed interest @ 9.36% p.a. secured by hypothecation of motor car purchased under the loan. Repayment is to be made in 60 equated monthly instalments (EMI) of Rs 64,426/- each till July, 2024 of which principal sum therein totaling to Rs 2,206,383/-payable over balance 40 EMI's are long term maturities.

(2) Axis Bank Ltd having fixed interest @7.86% p.a. secured by hypothecation of motor car purchased under the loan. Repayment is to be made in 60 equated monthly instalments (EMI) of Rs 40,421/- each till February, 2023 of which principal sum therein totaling to Rs 853,237/-payable over balance 23 EMI's are long term maturities.

-- 61 --

Annual Report 2019-2020

Informed Technologies India Limited

Notes to Financial Statements for the year ended 31st March, 2020

Notes to Financial Statements for the year ended 31st March, 2020	rch, 2020	rch, 2020
Note - 18 Provisions Provision for Employee Benefits: Gratuity 1,821,922 Leave encashment 642,018 Total 2,463,940 Note - 19 Deferred tax liabilities (Net) Opening Balance - Add: DTL for the year - Less: MAT credit entitlement Total - Note - 20 Other non-current liabilities Security deposits 825,522 Other liabilities 71,859 Total 897,381 Note - 21 Borrowings Current maturity of term loans from bank 1,150,433 Total 1,150,433 Note - 22 Trade Payables Dues to micro, small and medium enterprises (MSME) - Dues to others 1,028,177 Total 1,028,177 (i) Total outstanding dues of micro, small and medium enterprises (MSME): The principal amount and the interest due thereon remaining unpaid to - any supplier at the end of each accounting year. The amount of interest paid by the buyer in terms of section 16 of the micro, - small and medium enterprises development act, 2006, along with the amount of the payment made to the supplier beyond the appointed day during each accounting year. Particulars As at 31st March, 2020 (Rs.)	As at 31st March, 2020 (Rs.)		As at 31st March, 2019 (Rs.)
	1,821,922 642,018		729,029 417,306
	2,463,940		1,146,335
	- -		3,486,243 (1,436,225) -
	-		2,050,018
	825,522 71,859		5,979,320 259,117
	897,381		6,238,437
	1,150,433		706,566
	1,150,433		706,566
	- 1,028,177		- 829,003
	1,028,177		829,003
			- -

-- 62 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to Financial Statements for the year ended 31st March, 2020

Particulars The amount of interest due and payable for the period of delay in making payment but without adding the interest specified under the micro, small and medium enterprises development act, 2006. The amount of interest accrued and remaining unpaid at the end of each accounting year end. The amount of further interest remaining due and payable even in the succeeding years, until such date when the interest dues above are actually paid to the small enterprise, for the purpose of disallowance of a deductible expenditure under section 23 of the micro, small and medium enterprises development act, 2006.

As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)

- - - - - -

(ii) The balance of trade payables are subject to confirmation.

(iii) The information has been given in respect of such vendor to the extent they could be identified as micro and small enterprises on the basis of information available with the company.

Note - 23
Other current liabilities
Statutory liabilities	452,748	542,014
Unclaimed dividend	851,831	1,030,390
Other payables	242,993	250,826
Provision for expenses	626,591	454,851
Advance from Customer	1,420,000	-
Total	3,594,163	2,278,081

Movement of provisions during the year as required by Ind AS -37 - ‘provisions, contingent liabilities and contingent	Movement of provisions during the year as required by Ind AS -37 - ‘provisions, contingent liabilities and contingent	Movement of provisions during the year as required by Ind AS -37 - ‘provisions, contingent liabilities and contingent
assets’ :
Provision for expenses:
Balance at the beginning of the year	454,851	686,829
Add: created during the year	1,800,361	1,486,520
Less: settled during the year	1,628,621	1,718,498
Less: reversed during the year	-	-
Balance at the end of the year	626,591	454,851

-- 63 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

Particulars Note - 24 Revenue from operations Sale of services Total Note - 25 Other income Interest income Dividend income Profit/ (loss) on sale of : Investment (net) - mutual funds units Investment (net) - equity instruments Gain/(Loss) on fair valuation of current investments (measure at FVTPL) Rental income Other non-operating income Sundry balance w/off Total Note - 26 Employee benefit expenses Salaries and wages, including bonus and ex-gratia Contribution to provident and other funds Staff welfare expenses Gratuity and leave salary Training expenses Staff bus charges Total Note - 27 Finance costs Interest expenses Bank charges Total	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
		18,941,498		20,421,621
		18,941,498		20,421,621
		36,164 668,284 - (81,191) (15,838,260) 14,491,521 22,399 (204,221)		18,756 1,094,269 (22,601) (1,426,760) (3,224,271) 10,509,816 267,128 42,863
		(905,304)		7,259,200
		15,152,369 702,042 399,511 498,874 2,989 772,265		14,028,597 673,812 325,968 358,466 - 764,178
		17,528,049		16,151,021
		655,562 97,958		703,489 104,377
		753,520		807,866

-- 64 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

Particulars Note - 28 Other expenses Advertisement and publicity Auditors remuneration Business promotion expenses Conveyance Electricity charges Insurance charges Legal & consultancy fees Motor car expenses Printing & stationery Rates & taxes Repair to buildings Repairs to others Research and development expenses Software expenses Travelling expenses-director’s Travelling expenses-foreign Travelling expenses-others Website, internet charges Miscellaneous expenditures Foreign exchange fluctuation Total Note - 28.1 Auditors’ remuneration (inclusive of taxes) Audit fees For taxation matters including tax audit For other services Total Note - 29 Tax Expenses Income tax expenses recognized in Statement of Profit and Loss: Current income tax for the year Deferred Tax: Deferred income tax for the year MAT Credit entitlement Total income tax expense recognized in statement of profit and loss for the year	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
		122,041 375,000 - 1,007,094 1,085,247 377,712 3,771,739 200,924 63,157 631,404 - 4,429,503 48,594 33,772 100,274 1,278,859 189,490 490,548 1,326,450 228,424		135,337 375,000 - 1,029,372 808,174 298,434 3,984,017 128,651 138,153 3,355,799 2,611,020 3,207,752 197,708 93,718 276,003 835,576 384,184 541,135 882,273 228,360
		15,760,231		19,510,666
		324,500 - 118,000		324,500 - 118,000
		442,500		442,500
		- (6,079,469) -		- (1,436,225) -
		(6,079,469)		(1,436,225)

-- 65 --

Annual Report 2019-2020

Informed Technologies India Limited

Notes to financial statements for the year ended 31st March, 2020 Reconciliation of estimated income tax expense recognized in statement of profit and loss : Particulars Income from continued operation before income taxes Tax effect of adjustments to reconcile expected income tax expense to reported income tax expenses: Income exempt from tax Income taxable under taxable other heads i.e. capital gain, house property and other source Expenses allowed on payment basis Depreciation as per income tax act, 1961 Expenses related to exempt incomes Depreciation as per schedule II of companies act, 2013 Provision for expenses allowed on payment basis Income which is exempt uder Section 10 (other than the provisons contained in clause (38) thereof or Section 11 or Section 12 of the Income-Tax, if any amount is credited to the Profit and loss accounts; 1/5th of Transition amount as per sec. 115JB(2C) Amount Debit to OCI under the head “Items that will not be re-classified to Profit and Loss” other than gain or loss from investment in equity instruments designated FVTOCI Income from business / book profit Income under capital gains: - Short-term capital gain Income taxable under house property head Income from other sources Taxable income / book profit under MAT Estimated Income Tax expenses Income Tax expense recognized in Statement of Profit and Loss	For the year ended 31st March, 2020 (Rs.)
	(18,809,961) - - - - 150,707 - - (668,284) 5,712,955 898,757
	(12,715,826) - - -
	(12,715,826) - -

Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923	Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923	Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923	Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923
	(2,940,446)		846,923

-- 66 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (12,730,492) (9,965,064) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (3.05) (2.39) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (12,730,492) (9,965,064) Dilutive effect on weighted average number of equity shares outstanding during the year - - Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (3.05) (2.39) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable - - by mutual consent on mutually agreed terms	Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (12,730,492) (9,965,064) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (3.05) (2.39) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (12,730,492) (9,965,064) Dilutive effect on weighted average number of equity shares outstanding during the year - - Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (3.05) (2.39) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable - - by mutual consent on mutually agreed terms	Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (12,730,492) (9,965,064) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (3.05) (2.39) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (12,730,492) (9,965,064) Dilutive effect on weighted average number of equity shares outstanding during the year - - Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (3.05) (2.39) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable - - by mutual consent on mutually agreed terms	Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (12,730,492) (9,965,064) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (3.05) (2.39) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (12,730,492) (9,965,064) Dilutive effect on weighted average number of equity shares outstanding during the year - - Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (3.05) (2.39) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable - - by mutual consent on mutually agreed terms
	**(3.05) **		(2.39)
	(12,730,492) - 4,169,100		(9,965,064) - 4,169,100
	**(3.05) **		(2.39)
	14,171,600 1,300,000 - - - - -		10,065,600 5,871,600 - - - - -

In accordance with the standard the company has elected not to apply the requirements of Ind AS 116 to short term leases less than 12 months.

-- 67 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

Note - 33

Segment information

For management purpose, the company comprise of only one reportable segment - Business Process Outsourcing. The Management monitors the operating results of this segment for the purpose of making decision about resource allocation and performance assessment. Segment information is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements.

(i) Revenue from geographical segments

Revenue from geographical segments
Particulars	For the year ended	For the year ended
	31st March, 2020	31st March, 2019
	(Rs.)	(Rs.)
India	-	-
Outside India	18,941,498	20,421,621
Total	18,941,498	20,421,621

(ii) Entire non-current assets of the company are situated in India

(iii) Information about transaction with major customers:

Revenue from one customer of the company is Rs 1.83 Cr (previous year was Rs 1.92 Cr.) which is 96.65%of (previous year was 94.18%) of the company's total revenue.

Note - 34

Related party disclosures

(i) List of related parties where control exists and related parties with whom transactions have taken place and relationships:

Sr. No. Name of Related Party

• 1 Khandelwals Limited 2 Entecres Labs Private Limited

• 3 Nagpur Power & Industries Ltd 4 Zeppelin Investments Pvt. Ltd.

• 5 Ramprasad Khandelwal Memorial Trust

Nature of Relationship

• Holding Company Associate Company

Enterprise that directly, or indirectly through one or more intermediaries, control, or are controlled by, or are under common control with, the reporting enterprise.

Enterprises owned or significantly influenced by any management personnel or their relatives.

• 6 KEY MANAGERIAL PERSONNEL

i Mr. Gautam P. Khandelwal Non Executive Director (Chairman) ii Mrs. Suelve Khandelwal Wholetime Director iii Mr. Nimis S. Sheth Independent Director iv Mr.Virat Mehta Independent Director v Ms. Reena Yadav Key Management Personnel vi Mrs. Roshan Dsouza Key Management Personnel

-- 68 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

(ii) Transactions during the year with related parties:

Sr. Nature of No. Transactions 1 Sale of services 2 Purchase of services 3 Payment to key manageria personnel - salaries 4 Donation given Outstanding balances: 1 Due to company 2 Due by company	For the Year ended 31.03.2020 For the Year ended 31.03.2019 Holding Subsidiaries Key Total Holding Subsidiaries Key Total Company Managerial Company Managerial Personnel Personnel
	- - - - - - - - - - - - - - - - l - - 4,154,508 4,154,508 - - 4,140,639 4,140,639 - - - - - - - -
	- - - - - - - - - - - - - - - -

Notes:

(a) No amounts have been written off / provided for or written back during the year in respect of debts due from or to related parties.

Note - 35

Commitments, contingent liabilities and contingent assets:

Particulars	As at	As at
	31st March, 2020	31st March, 2019
	(Rs.)	(Rs.)
(a) Contingent liabilities
Claims made against the Company/ disputed liabilities not acknowledgement as debts:
(i) Legal claims
- Income tax matters - under appeal	-	142,943
- Other matters	-	-
(ii) Guarantees	-	-
(b) Capital commitments	-	-
(c) Contingent assets	-	-

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

Note - 36

Defined benefit plans as per actuarial valuation:

Employee benefits disclosure

i) Gratuity:

Retirement benefits in the form of gratuity liability (being administered by Life Insurance Corporation of India) is a defined benefit obligation and is provided for on the basis of an actuarial valuation made at the end of each financial year.

The present value of obligation is determined based on actuarial valuation using the projected unit credit method as prescribed by the Ind AS-19 - ‘Employee Benefits’, which recognises each period of service as giving rise to additional unit of employee benefit entitlement and measure each unit separately to build up final obligation.

ii) Compensated absences/leave encashment:

The company also extends defined plans in the form of compensated absences/leave encashment to employees. Provisions for compensated absences is made on actuarial valuation basis.

The company is exposed to various risks as regards its obligation towards gratuity benefit and leave salary which are as follows: (i) interest rate risk,(ii) liquidity risk, (iii) salary escalation risk, (iv) regulatory risk, (v) market risk and (vi) investment risk

Particulars (i) Reconciliation of present value of the obligation: Opening defined benefit obligation Adjustments of: Current service cost Interest cost Actuarial loss/(gain) Liabilities assumed on acquisition/(settled on divestit Benefits paid Other (employee contribution, taxes, expenses) Remeasurements - due to financial assumptions Remeasurements - due to experience adjustments Closing defined benefit obligation (ii) Reconciliation of fair value of the plan assets: Opening fair value of the plan assets Adjustments of: Return on plan assets Actuarial gain/(loss) Contributions by the employer Assets acquired on acquisition/(distributed on divestit Benefits paid Other (employee contribution, taxes, expenses) Remeasurements - return on assets (excluding interest income) Closing fair value of the plan assets	Amount in Rs. Gratuity Leave encashment
	As at 31st As at 31st As at 31st As at 31st March, 2020 March, 2019 March, 2020 March, 2019
	1,983,115 1,840,004 417,306 346,738 292,694 245,387 111,153 56,341 146,484 135,154 28,863 20,843 ure) (114,094) (56,077) (80,026) (137,651) (22,484) (19,829) (24,725) (31,858) (4,855) (3,295) 768,330 (129,665) 169,577 134,331
	3,029,320 1,983,116 642,018 417,307
	1,254,086 983,894 - - 80,321 82,608 - - 14,340 247,866 80,026 137,651 ure) (114,094) (56,077) (80,026) (137,651) (22,484) (19,829) 9,569 15,624
	1,221,738 1,254,086 - -

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

						Amount in Rs.
Particulars			Gratuity		Leave	encashment
		As at 31st	As at 31st		As at 31st	As at 31st
	March, 2020		March, 2019		March, 2020	March, 2019
(iii) Net liabilities/(assets) recognised in the balance sheet:
Present value of the defined benefit obligation
at the end of the period		3,029,320	1,983,115		642,018	417,306
Fair value of the plan assets		1,221,738	1,254,086		-	-
Net liabilities recognised in the balance sheet		1,807,582		**729,029 **	**642,018 **	417,306
Short term liability		55,104		26,322	97,695	51,423
(iv) Amount recognised in salary and wages under employee
benefits expense in the statement of profit and loss:
Current service cost		292,694		245,387	111,153	56,341
Interest on defined benefit obligation (net)		66,163		52,546	28,863	20,843
Net cost		358,858		297,933	140,016	77,184
Capitalised as Pre-Operative Expenses in respect of
Net Charge to the Statement of Profit and Loss
Net charge to the statement of profit and loss		358,858		**297,933 **	**140,016 **	77,184
(v) Amount recognised in other comprehensive income	(OCI) for the year:
Changes in financial assumptions		(24,725)		(31,858)	(4,855)	(3,295)
Experience adjustments		768,330	(129,665)		169,577	134,331
Actual return on plan assets less interest on plan assets		(9,569)		(15,624)	-	-
Recognised in OCI for the year		**734,036 **	**(177,147) **		**164,722 **	131,036
(vi) The major categories of plan assets as a % of total plan:
Insurance policies		100%		100%	0%	0%
Total		100%		100%	0%	0%
(vii)Experience adjustments on present value of DBO and plan assets
(Gain)/loss on plan liabilities		768,330	(129,665)		169,577	134,331
% of opening plan liabilities		38.74%		(7.05%)	40.64%	38.74%
(Gain)/loss on plan assets		9,569		15,624	-	-
% of opening plan assets		0.76%		1.59%	-	-
(viii) Principal actuarial assumptions:
Discount rate		6.67%		7.65%	6.67%	7.65%
Salary escalation rate		4.00%		5.00%	4.00%	5.00%
Withdrawal rate		1.00%		1.00%	-	-
Attrition rate		-		-	1.00%	1.00%
Normal retirement age		58 years		58 years	58 years	58 years
Adjusted average future service		19.00		19.00	-	-
Leave encashment rate during employment		-		-	10%	10%
Leave availment rate		-		-	2%	2%
Mortality tables		Indian Assured Lives			Mortality (2006-08)

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

Note - 37

Financial instruments : Fair values measurement

Accounting classification and fair value hierarchy

Carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy, are presented below. It does not include the fair value information for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value.

The company uses the following hierarchy for determining and disclosing the fair value of financial instruments:

Level 1: inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date;

Level 2: inputs other than quoted prices included within level 1, that are observable for the asset or liability, either directly or indirectly; and Level 3: If one or more significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity instruments and certain debt instruments which are valued using assumptions from market participants.

Set out below, is a comparison by category of the carrying amounts and fair value of the company’s financial instruments.

As on 31st March, 2020: Particulars Financial assets Non current: Investments in equity instruments (other than associates) Current: Investments in equity instruments Investments in mutual funds Cash and cash equivalents Bank balance other than mentioned in cash and cash equivalents Trade receivables Financial liabilities Borrowings Trade payables Security deposit	Amount in Rs. Carrying Amount Fair Value Fair value FVTPL FVTOCI Amortised hierarchy
	- 24,620,348 - 24,620,348 Level 1 41,322,786 - - 41,322,786 Level 1 - - - Level 2 - 3,284,305 3,284,305 - - - 851,831 851,831 - 1,977,449 - - 1,977,449 -
	43,300,235 24,620,348 4,136,136 72,056,719
	- - 4,210,067 4,210,067 - 1,028,177 - - 1,028,177 - - - 897,381 897,381 Discounted cash flow method
	1,028,177 - 5,107,448 6,135,625

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Annual Report 2019-2020

Informed Technologies India Limited

Notes to financial statements for the year ended 31st March, 2020

As on 31st March, 2019: Particulars Financial assets Non current: Investments in equity instruments (other than associates) Current: Investments in equity instruments Investments in mutual funds Cash and cash equivalents Bank balance other than mentioned in cash and cash equivalents Trade receivables Financial liabilities Borrowings Trade payables Security deposit	Amount in Rs. Carrying Amount Fair Value Fair value FVTPL FVTOCI Amortised hierarchy
	- 30,133,261 - 30,133,261 Level 1 64,663,139 - - 64,663,139 Level 1 - - - - Level 2 - 860,102 860,102 - - - 1,030,390 1,030,390 - 3,662,758 - - 3,662,758 -
	68,325,898 30,133,261 1,890,492 100,349,651
	- - 2,171,396 2,171,396 - 829,003 - - 829,003 - - - 6,238,437 6,238,437 Discounted cash flow method
	829,003 - 8,409,833 9,238,836

Key inputs:

• Listed equity investments (other than subsidiaries, joint ventures and associates): quoted bid price on stock exchange (Level 1)

• Mutual funds: based on net asset value of the scheme (Level 2)

• The management assessed that fair value of cash and bank balances, trade receivables, loans, trade payables, borrowings, other financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

• During the reporting period ending 31st March, 2020 and 31st March, 2019, there was no transfer between Level 1 and Level 2 fair value measurement.

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

Note - 38

Financial instruments : financial risk management

The Company’s activities exposes it to various risk such as market risk, liquidity risk and credit risks. This section explains the risks which the Company is exposed to and how it manages the risks.

The board of directors (‘board’) oversee the management of these risks through its audit committee The company’s risk management policy has been formulated by the audit committee and approved by the board. The policy articulates on the company’s approach to address uncertainties in its endeavor to achieve its stated and implicit objectives. It also prescribes the roles and responsibilities of the company’s management, the structure for managing risks and the framework for risk management. The framework seeks to identify, assess and mitigate risks in order to minimize potential adverse effects on the company’s financial performance.

The board of directors reviews and agrees on policies for managing each of these risks, which are summarized below. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk.

Risk	Exposure arising from	Measurement	Management
Credit Risk	Trade receivables, Other Cash	Credit ratings and	Diversification of
	and cash equivalents, Bank	Ageing analysis	counterparties, investment
	balances other than cash and		limits, check on
	cash equivalents, Security		counterparties basis credit
	deposits, Loans and other		rating and number of
	financial assets		overdue days
Liquidity Risk	Borrowings, Trade payables,	Maturity analysis	Preparing and monitoring
	Deposits from dealers and		forecasts of cash flows and
	other financial liabilities		maintaining sufficient cash
			and cash equivalents
Market Risk- Foreign	Financial assets and liabilities	Sensitivity analysis	Exposure limits
Exchange	denominated in other than
	functional currency
Market Risk- Price risk	Investment in equity	Sensitivity analysis	Strategic investment
	instruments
Market Risk- Interest	Security deposits	Sensitivity analysis	Periodical reset of interest
rate risk			rate linked to market

1 Credit risk

Credit risk is the risk of financial loss to the company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the company's receivable from customers and loans and advances.

The carrying amount of following financial assets represents the maximum credit exposure:

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

(i) Trade receivables

The Company's exposure to credit risk is influenced mainly by the individual characteristics of each customer in which it operates. Credit risk is managed through credit approvals, establishing credit limits and continuously monitoring the creditworthiness of customers to which the company grants credit terms in the normal course of business.

The Company has established a credit policy under which each customer is analysed individually for creditworthiness before the company's standard payment terms and conditions are offered.

All the trade receivables are realised well with in due dates. Accordingly, management is in the opinion that requirement of provision is not arrised.

As at 31st March, 2020, the ageing of trade receivables was as follows;

Particulars Neither past due nor impaired Due 1- 30 days Due 31- 90 days Due 90- 180 days Due 181- 365 days	31st March, 2020 31st March, 2019 Rs. Rs.
	- - - - 1,977,448 3,662,758 - - - -
	1,977,448 3,662,758

(ii) Financial assets other than trade receivables

Credit risk from balances with banks and financial institutions is managed by the CFO in accordance with it’s policy. Surplus funds are parked only within approved investment categories . Investment category is periodically reviewed by the company’s board of directors.

The company held cash and cash equivalents of Rs. 32.84 Lakhs as on 31st March, 2020 (Previous year ‘ Rs. 8.60 Lakhs). The cash and cash equivalent’s are held with bank counterparties with good credit ratings.

2 Liquidity risk

Liquidity risk is the risk that the company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damages to the company’s reputation.

Maturity profile of financial liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are gross and undiscounted, and include estimated interest payments and exclude the impact of netting agreements.

As on 31st March, 2020			Amount in Rs.
Particulars	Borrowings	Trade Payables	Other Financial Liabilities
(I) Carrying amount	4,210,067	1,028,177	897,381
(II) Contractual cash flow:
Less than 12 months	1,150,433	1,028,177	-
More than 12 months	3,059,634	-	897,381

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

As on 31st March, 2019			Amount in Rs.
Particulars	Borrowings	Trade Payables	Other Financial Liabilities
(I) Carrying amount	2,171,396	829,003	6,238,437
(II) Contractual cash flow:
Less than 12 months	706,566	829,003	-
More than 12 months	1,464,830	-	6,238,437

Matuiry profile of liquid financial assets
Surplus fund Investments in Equity, Mutual Funds, Bonds and deposits etc
Period	Carrying	Less than	More than
	Amount	12 months	12 months
31st March, 2020	76,431,014	41,322,786	35,108,228
31st March, 2019	105,284,281	64,663,139	40,621,141

Company's surplus funds are more than to total borrowings outstanding as on 31st March, 2020. Hence, the liquidity risk is very low.

3 Market risk

Market risk is the risk that changes in market prices - such as foreign exchange rates, interest rates and equity prices - will affect the company’s income or the value of its holdings of financial instruments. Market risk is attributable to all market risk sensitive financial instruments including foreign currency receivables and payables and long term debt. Management exposed to market risk primarily related to the market value of investments and interest rate risk. Thus, our exposure to market risk is function of investing and borrowing activities only.

4 Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate because of fluctuations in interest rates.

Exposure to interest rate risk

Company is not having interest rate risk arises from borrowings, as company is having borrowings with fixed interest rate. The interest rate profile the company’s interest bearing financial instruments as reported to the management of the company.

the company.
Particulars	Rate of interest
Kotak Mahindra Prime Ltd - car loan	9.36%
Axis Bank Ltd - car loan	7.86%

Capital management

For the purpose of the company's capital management, capital includes issued capital and other equity reserves. The primary objective of the company's capital management is to maximise shareholders value. The company manages its capital structure and makes adjustments in the light of changes in economic environment and the requirements of the financial covenants.

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to financial statements for the year ended 31st March, 2020

The Company monitors capital using debt to equity ratio.

The Company monitors capital using debt to equity ratio.
Noncurrent borrowings Current borrowings Gross debts Less: Cash and cash equivalents Net debts Total equity Adjusted net debt to equity ratio	As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
	3,059,634 1,464,830 1,150,433 706,566 4,210,067 2,171,396 3,284,305 860,102 925,762 1,311,294 118,846,186 134,517,124 NA NA

Note - 39

Additional Information Details :

• 1 Event after reporting period:

No adjusting or significant non-adjusting event have occurred between the 31st March, 2020 reporting date and the date of authorization.

• 2 Previous GAAP figures have been reclassified / regrouped wherever necessary to conform with financial statements prepared under Ind AS.

• 3 The outbreak of Coronavirus (COVID-19) pandemic globally and in India is causing significant disturbance and slowdown of economic activity. The Company has evaluated impact of this pandamic on its busniess operations and based on its review and current indicators of future economic conditions, there is no significant impact on its financial results.

As per our report of even date attached	For and on behalf of the Board of Directors	For and on behalf of the Board of Directors
For Parekh Sharma & Associates
Chartered Accountants	Gautam P. Khandelwal	Nimis Sheth
Firm Regn. No. 129301W	Chairman	Director
	DIN 00270717	DIN 00482739
Sujesh Sharma	Roshan Dsouza	Reena Yadav
Partner	Chief Financial Officer	Company Secretary
M.No. :118944		(ICSI Reg.No. A36429)
Mumbai : Date: 31st July 2020	Mumbai : Date: 31st July 2020

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Informed Technologies India Limited

Annual Report 2019-2020

Independent Auditors’ Report

To the Members of

Informed Technologies India Limited Report on the Audit of the Consolidated Financial Statements

Opinion

We have audited the accompanying consolidated financial statements of Informed Technologies India Limited (hereinafter referred to as “the Holding Company”) and its associate ‘Entecres Lab Private Limited (Holding Company and its associate together referred to as “the Group”), which comprise the consolidated balance sheet as at 31 March 2020, and the consolidated statement of profit and loss (including other comprehensive income), the consolidated statement of changes in equity and the consolidated statement of cash flows for the year then ended, and notes to the consolidated financial statements, including a summary of significant accounting policies and other explanatory information (hereinafter referred to as “the consolidated financial statements”).

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid consolidated financial statements give the information required by the Companies Act, 2013 (‘the Act’) in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the consolidated state of affairs of the Group as at 31 March 2020, of its consolidated loss and other comprehensive income, consolidated changes in equity and consolidated cash flows for the year then ended.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under Section 143(10) of the Act. Our responsibilities under those SAs are further described in the Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Group in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India (‘ICAI’), and we have fulfilled our other ethical responsibilities in accordance with the provisions of the Act. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that in our professional judgement, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

Sr.no	Key Audit Matters	Our Response
1	Defined benefit obligation The valuation of the retirement benefit scheme in the company is determined with reference to various actuarial assumptions including discount rate, future salary increases, rate of inflation mortality rates and attrition rates. Due to the size of these assumptions can have a material impact on the defined benefit obligation	We have examined the key controls over the process involving member data, formulation of assumptions and the financial reporting process in arriving at the provision for retirement benefits. We tested the controls for determining the actuarial assumptions and the approval of those assumptions by senior management. We found these controls were designed, implemented and operated effectively, and therefore determined that we could place reliance on these key controls for the purpose of our audit. We tested the employee data used in calculating the obligation and where material, we also considered the treatment of curtailments, settlement, past service costs, remeasurements,

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Annual Report 2019-2020

Informed Technologies India Limited

benefits paid, and other amendments made to obligations during the year. From the evidence obtained, we found the data and assumptions used by the management in the actuarial valuations for retirement benefit obligations to be appropriate.

Other Information

The Holding Company’s management and Board of Directors are responsible for the other information. The other information comprises the information included in the Holding Company’s Annual Report, but does not include the financial statements and our auditors’ report thereon.

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated.

If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance for the Consolidated Financial Statements

The Holding Company’s management and Board of Directors are responsible for the preparation and presentation of these consolidated financial statements in terms of the requirements of the Act that give a true and fair view of the consolidated state of affairs, consolidated profit/loss and other comprehensive income, consolidated statement of changes in equity and consolidated cash flows of the Group in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under Section 133 of the Act. The respective Board of Directors of the entities included in the Group are responsible for maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of each entity and for preventing and detecting frauds and other irregularities; the selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the consolidated financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error, which have been used for the purpose of preparation of the consolidated financial statements by the Directors of the Holding Company, as aforesaid .

In preparing the consolidated financial statements, the respective management and Board of Directors of the entities included in the Group are responsible for assessing the ability of each entity to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the entity or to cease operations, or has no realistic alternative but to do so.

The respective Board of Directors of the entities included in the Group is responsible for overseeing the financial reporting process of each entity.

Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements.

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Informed Technologies India Limited

Annual Report 2019-2020

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under Section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the entity has adequate internal financial controls system in place and the operating effectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of management’s use of the going concern basis of accounting in preparation of consolidated financial statements and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the appropriateness of this assumption. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors’ report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditors’ report. However, future events or conditions may cause the Group (Holding company and associate) to cease to continue as a going concern.

• Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

• Obtain sufficient appropriate audit evidence regarding the financial information of such entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the audit of financial information of such entities.

We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the consolidated financial statements.

We communicate with those charged with governance of the Holding Company and such other entities included in the consolidated financial statements of which we are the independent auditors regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditors’ report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

Other Matters

We did not audit the financial statements of the associate company, namely, Entecres Labs Private Limited whose financial statement reflects total assets of Rs. 359.87 Lacs as at 31[st] March 2020, total revenue of Rs.624.81 Lacs and net profit of Rs.37.04 Lacs for the year ended on that date, as considered in the consolidated Financial Statement. These Financial

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Informed Technologies India Limited

Annual Report 2019-2020

statement and other information have been audited by the other auditor whose report has been furnished to us by the management, and our opinion on the Consolidated financial statement, in so far as it relates in terms of sub-section (3) and (11) of section 143 of the Act, in so far as it relates to the aforesaid associate, is based solely on the report of the other auditor.

Report on Other Legal and Regulatory Requirements

• A. As required by Section 143(3) of the Act, based on our audit, we report, to the extent applicable, that:

• a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit of the aforesaid consolidated financial statements.

• b) In our opinion, proper books of account as required by law relating to preparation of the aforesaid consolidated financial statements have been kept so far as it appears from our examination of those books.

• c) The consolidated balance sheet, the consolidated statement of profit and loss (including other comprehensive income), the consolidated statement of changes in equity and the consolidated statement of cash flows dealt with by this Report are in agreement with the relevant books of account maintained for the purpose of preparation of the consolidated financial statements.

• d) In our opinion, the aforesaid consolidated financial statements comply with the Ind AS specified under Section 133 of the Act.

• e) On the basis of the written representations received from the directors of the Holding Company and its associate which are incorporated in India, as on 31 March 2020 and taken on record by the Board of Directors of respective companies, none of the directors of the Group companies incorporated in India is disqualified as on 31 March 2020 from being appointed as a director in terms of Section 164(2) of the Act.

• f) With respect to the adequacy of the internal financial controls with reference to financial statements of the Holding Company and its associate company incorporated in India and the operating effectiveness of such controls, refer to our separate report in Annexure A.

• B. With respect to the other matters to be included in the Auditors’ Report in accordance with Rule 11 of the Companies (Audit and Auditor’s) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:

• i. The consolidated financial statements disclose the impact of pending litigations as at 31 March 2020 on the consolidated financial position of the Group. Refer Note 35 to the consolidated financial statements.

• ii. Provision has been made in the consolidated financial statements, as required under the applicable law or Ind AS, for material foreseeable losses, if any.

• iii. There has been no delay in transferring amounts to the Investor Education and Protection Fund by the Holding Company and its associate company incorporated in India during the year ended 31 March 2020.

• C. With respect to the matter to be included in the Auditors’ report under Section 197(16) :

• In our opinion and according to the information and explanation given to us, the remuneration paid during the current year by the Holding Company and its associate which are incorporated in India is in accordance with the provisions of Section 197 of the Act. The remuneration paid to any director by the Holding Company and its associate which are incorporated in India, is not in excess of the limit laid down under Section 197 of the Act. The Ministry of Corporate Affairs has not prescribed other details under Section 197(16) which are required to be commented upon by us.

For Parekh Sharma & Associates

Chartered Accountants Firm’s Registration No: 1 2 9 3 0 1 W

Sujesh Sharma

Partner

Mumbai Date: 31st July 2020

Membership No: 118944 UDIN: 20118944AAAAFM2506

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Informed Technologies India Limited

Annual Report 2019-2020

Annexure A

TO THE INDEPENDENT AUDITOR’S REPORT ON THE ACCOUNTS FOR THE YEAR ENDED 31[ST] MARCH 2020

Report on the Internal Financial Controls under Clause (i) of sub-section 3 of Section 143 of the Companies Act, 2013 (“the Act”)

In conjunction with our audit of the consolidated financial statements of Informed Technologies India Limited (“the Holding Company”) as of 31 March 2020, we have audited the internal financial controls with reference to the financial statements of the Holding Company and its associate, which are incorporated in India as of that date.

Management’s Responsibility for Internal Financial Controls

The respective Board of Directors of the Holding company and its associate which are incorporated in India, are responsible for establishing and maintaining internal financial controls based on the internal control with reference to financial statements criteria established by the Holding company and its associate, which are incorporated in India, considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (“the Guidance Note”) issued by the Institute of Chartered Accountants of India (“ICAI”). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to the respective entity’s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.

Auditor’s Responsibility

Our responsibility is to express an opinion on the internal financial controls with reference to financial statements of the Holding Company and its associate which are incorporated in India, based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, issued by the ICAI and deemed to be prescribed under Section 143(10) of the Act, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the ICAI. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to financial statements was established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system with reference to financial statements and their operating effectiveness. Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to financial statements, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor’s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the internal financial control system with reference to financial statements of the Holding Company and its associate which are incorporated in India.

Meaning of Internal Financial Controls with reference to Financial Statements

A company’s internal financial control with reference to financial statements is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in

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Informed Technologies India Limited

accordance with generally accepted accounting principles. A company’s internal financial control with reference to financial statements includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financials Controls with reference to Financials Statements

Because of the inherent limitations of internal financial controls with reference to financial statements, including the possibility of collusion or improper management override of controls, misstatement due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls with reference to financial statements may become inadequate because of changes in the conditions or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion, the Holding Company and its associate which are incorporated in India, have, in all material respects, an adequate internal financial controls system with reference to financial statements and such internal financial controls with reference to financial statements were operating effectively as at 31 March 2020, based on the internal control with reference to financial statements criteria established by the Holding Company and its associate which are incorporated in India, considering the essential components of internal control stated in the Guidance Note issued by the ICAI.

Other Matters

Our aforesaid report under section 143(3)(i) of the act on the adequacy and operation effectiveness of the internal financial controls over financial reporting in so far as it related to an associate company incorporated in India, based on the corresponding report of the auditor of such company.

For Parekh Sharma & Associates Chartered Accountants Firm’s Registration No: 1 2 9 3 0 1 W

Mumbai Date: 31st July 2020

Sujesh Sharma Partner Membership No: 118944 UDIN: 20118944AAAAFM2506

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CONSOLIDATED BALANCE SHEET AS AT 31ST MARCH, 2020	CONSOLIDATED BALANCE SHEET AS AT 31ST MARCH, 2020	Amount in`
Particulars Note no.	As at 31st March, 2020	As at 31st March, 2019
ASSETS Non-current assets Property, plant and equipment 2 31,046,969 Investment property 3 2,282,142 Other intangible assets 4 45,543 Intangible assets under development 5 1,814,238 Investments 6 38,335,265 Non-current tax assets (Net) 7 3,737,990 Deferred tax assets (Net) 8 4,029,451 Other non-current assets 9 970,780 82,262,378 Current assets Financial assets Investments 10 41,322,786 Trade receivables 11 1,977,448 Cash and cash equivalents 12 3,284,305 Bank balance other than mentioned in cash and cash equivalents 13 851,831 Other current assets 14 4,568,202 52,004,572 TOTAL ASSETS 134,266,951 EQUITY AND LIABILITIES Equity Equity share capital 15 41,691,000 Other equity 16 80,382,223 Total Equity 122,073,223 Liabilities Non-current liabilities Financial liabilities Borrowings 17 3,059,634 Provisions 18 2,463,940 Deferred tax liabilities (Net) 19 - Other non-current liabilities 20 897,381 Total non-current liabilities 6,420,955 Current liabilities Financial liabilities Borrowings 21 1,150,433 Trade payables 22 1,028,177 Total outstanding dues of micro enterprises and small enterprises and Total outstanding dues of creditors other than micro enterprises and small enterprises Other current liabilities 23 3,594,163 Total current liabilities 5,772,773 12,193,728 TOTAL EQUITY AND LIABILITIES 134,266,951 Significant accounting policies 1 The accompanying notes are an integral part of these consolidated financial statements		26,676,847 2,390,798 57,940 1,814,238 42,812,671 2,484,281 - 1,124,776
		77,361,551
		64,663,139 3,662,758 860,102 1,030,390 3,843,984
		74,060,373
		151,421,924
		41,691,000 95,017,654
		136,708,654
		1,464,830 1,146,335 2,050,018 6,238,437
		10,899,620
		706,566 829,003 2,278,081
		3,813,650
		14,713,270
		151,421,924
As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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Informed Technologies India Limited

CONSOLIDATED STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020

CONSOLIDATED STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020	CONSOLIDATED STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020	CONSOLIDATED STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2020
Amount in`
Particulars Note no. For the year ended For the year ended 31st March, 2020 31st March, 2019
I Revenue from operations 24 II Other income 25 III Total income ( I + II ) IV Expenses Employee benefits expenses 26 Finance costs 27 Depreciation and amortization expenses 2 - 4 Other expenses 28 Total expenses V Profit before exceptional items and tax (III-IV) VI Exceptional items VII Share of profit/(loss) of associate company VIII Profit/(Loss) before tax (V-VI) IX Tax expense 29 Current tax Minimum alternate tax credit Deferred tax X Profit/(Loss) for the year (VII-VIII) XI Other comprehensive income 30 (i) Items that will not be reclassified to statement of profit and loss Re-measurement gains/(losses) on defined benefit plans Fair value gains/ (losses) on equity instruments (ii) Items that will be reclassified to statement of profit and loss Debt instruments through other comprehensive income Total Other Comprehensive Income XII Total Comprehensive Income/(Loss) for the year (IX+X) (Comprising profit and other comprehensive income for the year) Earnings per equity share 31 Basic (in Rs) Diluted (in Rs) Significant accounting policies 1 The accompanying notes are an integral part of these consolidated financial statements	18,941,498 (905,304) 18,036,194 17,528,049 753,520 2,804,355 15,760,231 36,846,155 (18,809,961) - 1,035,507 (17,774,454) - - (6,079,469) (11,694,985) (898,757) (2,041,689) (2,940,446) (14,635,431) (2.81) (2.81)	20,421,621 7,259,200
		27,680,821
		16,151,021 807,866 2,612,557 19,510,666
		39,082,110
		(11,401,289) - 1,116,972
		(10,284,317)
		- - (1,436,225)
		(8,848,092)
		46,111 800,812 -
		846,923
		(8,001,169)
		(2.12) (2.12)
As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020

Amount in `

|CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020
Amount in|**CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020**<br>**Amount in**|CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2020
Amount in`|
|---|---|---|
||||
|Particulars
For the year ended
For the year ended
31 March, 2020
31 March, 2019|||
|A.
Cash flows from operating activities:
Net profit / (loss) before exceptional items & tax
Adjustments for:
Depreciation and amortization
Finance cost
Unrealised gain on investments measured at FVTOCI (net)
Re-measurement gains/(losses) on defined benefit plans
Profit on sale of investments
Unrealised gain/ loss from investments
Interest income
Dividend income
Income from investment assets
Operational profit before working capital changes
Adjustments for changes in working capital :
Trade receivables
Other current assets
Trade payables
Other current liabilities
Cash from/ (used) in operating activities
Direct taxes paid, net
Net cash from/ (used) in operating activities
B.
Cash flow from investing activities
Purchase of property, plant and equipment
Proceeds of (purchase) / sale of investments
Income from investment assets
Dividend received
Interest received
Proceeds / (repayment) of loans and deposits
Net cash from/ (used) in investing activities
C.
Cash flow from financing activities
Proceeds/(repayment) of non-current borrowings
Proceeds / (repayment) of current borrowings
Dividend paid
Finance cost
Net cash generated from financing activities
D.
Net cash flows during the year (A+B+C)
E.
Cash and cash equivalents at the beginning
F.
Cash and cash equivalents at the end (D+E)
G.
Cash and cash equivalents comprise of:
Cash on hand
Cheques on hand
Balances with banks
Cash and cash equivalents at the end|(18,809,961)

2,804,355

753,520

(2,041,689)

(898,757)

81,191

15,838,260

(36,164)

(668,284)

(14,491,521)

(17,469,050)

1,685,311

(724,218)

199,173

2,990,804

(13,317,980)

(1,253,709)

(14,571,689)

(7,053,424)

12,933,816

14,491,521

668,284

36,164

(5,187,060)

15,889,301

1,594,804

443,867

(178,559)

(753,520)

1,106,592

2,424,203

860,102

3,284,305

24,568

-

3,259,737

3,284,305
|(11,401,289)
2,612,557
807,866
800,812
46,111
1,449,361
3,224,271
(18,756)
(1,094,269)
(10,509,816)|
|||(14,083,152)
(1,587,591)
(600,173)
125,083
(185,016)|
|||(16,330,849)
(1,419,990)|
|||(17,750,839)|
|||(579,313)
5,862,324
10,509,816
1,094,269
18,756
(127,540)|
|||16,778,312|
|||(706,566)
57,609
(159,991)
(807,866)|
|||(1,616,814)|
|||(2,589,341)
3,449,443|
|||860,102|
|||24,926
-
835,176|
|||860,102|
||||

As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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Annual Report 2019-2020

CONSOLIDATED STATEMENT OF CHANGE IN EQUITY FOR THE YEAR ENDED 31ST MARCH, 2020

Equity	Amount in`
Particulars As at Change in 1st April, Equity share 2018 capital during the year	As at Change in As at 1st April, Equity share 31st March, 2019 capital during 2020 the year
Equity Share Capital 41,691,000 -	41,691,000 - 41,691,000
Other Equity	(Amount in`)
Particulars Reserves and Surplus	Items of Other Total Comprehensive Income Items that will not be reclassified to Profit and Loss
General Retained Equity Other Reserve Earnings instruments Items
Balance as at 1st April 2018 110,407,865 (1,626,296) (5,624,783) (137,965) 103,018,823
Profit for the year - (8,848,092) - - (8,848,092) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (net of tax) - - - 46,111 46,111 Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - 800,812 - 800,812
Balance as at 1st April 2019 110,407,865 (10,474,388) (4,823,971) (91,854) 95,017,654
Profit for the year - (11,694,985) - - (11,694,985) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (net of tax) - - - (898,757) (898,757) Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - (2,041,689) - (2,041,689)
Balance as at 31st March 2020 110,407,865 (22,169,373) (6,865,660) (990,611) 80,382,223
As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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Annual Report 2019-2020

Notes on Consolidated Financial Statements for the year ended 31[st] March, 2020

Note - 1

Significant Accounting Policies

1. Corporate Information

Informed Technologies India Limited (‘ITIL’ ‘The Company’) is a limited Company incorporated and domiciled in India. The Company is a public limited company and its equity shares are listed with Bombay Stock Exchange (“BSE”) in India. The registered office of the Company is situated at 20[th] Floor, Nirmal Building, Nariman Point, Mumbai – 400021.

Under Companies Act, 2013 Group is defined as parent, subsidiaries, joint ventures and associates. As ITIL has no subsidiary the consolidation pertains to ITIL (hereafter holding Company) and it’s Associate viz.

Name of the Associate Companies Percentage of Holding

Entecres Labs Pvt. Ltd. 27.96%

2. Statement of Compliance

These financial statements are prepared and presented in accordance with the Indian Accounting Standards (Ind AS) notified under the Companies (Indian Accounting Standard) Rules, 2015 as amended by the Companies (Indian Accounting Standard) Rules, 2017 notified under section 133 of the Companies Act, 2013, the relevant provisions of the Companies Act, 2013 and the guidelines issued by the Securities and Exchange Board of India (SEBI), as applicable.

3. Principles of Consolidation

The consolidated financial statements relate to Informed Technologies India limited (‘the Company or Investor’) and it’s Associate Entecres Labs Pvt. Ltd. The company and its Associate together constitute ‘The Group’. The consolidated financial statements have been prepared on the following basis.

• i. The financial statements of the Company and Associate used in the consolidated procedure are drawn up to the same reporting date i.e. 31[st] March, 2020.

• ii. Investment in associate company has been accounted in this consolidated financial statements as per the equity method in terms of Indian Accounting Standards (Ind AS ) 28-‘Investments in Associates and Joint Ventures’.

They are initially recognised at cost, which include transactions costs. Subsequent to initial recognition, Consolidated Financial Statements include the Group’ share of profit or loss and OCI of equity accounted investees until the date on which significant influence ceases.

• iii. Where the Group’s share of losses of an equity accounted investee exceed the Group’s interest in that associate, the group discontinues recognizing its share of further losses. Additional losses are recognised only to the extent that the Group has incurred legal or constructive obligation or made payments on behalf of the associate.

• iv. These consolidated financial statements have been prepared in compliance of section 129 of the Companies Act, 2013.

4. Basis of Preparation

The financial statements of the Company have been prepared and presented on the going concern basis and at historical cost except for the following assets and liabilities which have been measure at fair value.

• Certain financial assets and liabilities at fair value (refer accounting policy regarding financial instruments)

• Employee’s Defined Benefit Plan as per actuarial valuation

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5. Functional and Presentation Currency

The financial statements are presented in Indian Rupees, which is the functional currency of the Company and the currency of the primary economic environment in which the Company operates.

6. Use of Estimates

The preparation of financial statements in conformity with the Indian Accounting Standards requires judgments, estimates and assumptions to be made that affect the reported amount of assets and liabilities, disclosures of contingent liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Difference between the actual results and estimates are recognized in the period in which the results are known/ materialized.

7. Classification of Assets and Liabilities as Current and Non-Current

All assets and liabilities are classified as current and non-current as per the Company’s normal operating cycle, and other criteria set out in Schedule III of the Companies Act, 2013. Based on the nature of products and the time lag between the acquisition of assets for processing and their realization in cash and cash equivalents, 12 months period has been considered by the Company as its normal operating cycle.

8. Overall Consideration

The financial statements have been prepared applying the significant accounting policies and measurement bases summarized below.

9. Revenue Recognition

Sale of services

Sale of services are recognized on satisfaction of performance obligation towards rendering of such services.

Dividend, Interest and Rental Income

Dividend from investments are recognized in profit or loss when the right to receive payment is established.

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to the Company and the amount of income can be measured reliably.

Rental income is recognized in accordance with terms of lease.

10. Property Plant and Equipment

Property, plant and equipment are stated at acquisition or construction cost less accumulated depreciation and impairment loss. Cost comprises the purchase price and any attributable cost of bringing the assets to its location and working condition for its intended use, including relevant borrowing costs and any expected costs of decommissioning.

If significant parts of an item of PPE have different useful lives, then they are accounted for as separate items (major components) of PPE.

The cost of an item of PPE is recognized as an assets if, and only if, it is probable that the economic benefits associated with the item will flow the Company in future periods and the item can be measured reliably. However, cost of excludes indirect taxes to the extent credit of the duty or tax is availed off.

Items such spare parts, standby equipment and servicing equipment are recognized as PPE when it is held for use in production or supply of goods or services, or for administrative purpose, and are expected to be used for more than one year. Otherwise such items are classified as inventory.

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An item of PPE is de-recognized upon disposal or when no future economic benefits are expected to arise from the continued use of assets. Any gain or loss arising on the disposal or retirement of an item of PPE, is determined as the difference between the sales proceeds and the carrying amount of the assets and is recognized in the Statement of Profit and Loss.

Capital Advance given towards acquisition or construction of PPE outstanding at each reporting date are disclosed as Capital Advances under Other Non-current Assets.

Expenditure incurred after the PPE have been put into operations, such as repairs and maintenance expenses are charged to the Statement of Profit and Loss during the period in which they are incurred.

11. Depreciation and Amortization

Depreciation on tangible assets is provided on Straight Line Method and based on useful life of the assets as prescribed in Schedule II to the Companies Act, 2013, except in respect of the following assets, where the useful life is exceeding those prescribed in Schedule II based on the Chartered Engineer’s Valuation Certificate namely:

Description Range of Useful lives in years Furniture 1 – 9 years Electrical Installation 2 years

Depreciation on assets purchased / sold during the period is proportionately charged.

The residual value for all the above assets are retained at 5% of the cost. Residual values and useful lives are reviewed and adjusted, if appropriate, for each reporting period.

12. Intangible Assets

Intangible assets are stated at Cost of acquisition, less accumulated amortization / depletion and accumulated impairment losses, if any, are amortized over a period of 6 years or license period, whichever is lower.

Expenditure incurred on development is capitalized if such expenditure leads to creation of any intangible assets, otherwise, such expenditure is charged to the Statement of Profit and Loss.

PPE procured for research and development activities are capitalized.

13. Investment Property

Investment properties are recognized initially at cost. Subsequent to initial recognition, investment properties are stated at cost less accumulated depreciation. The Company has depreciated assets based on Straight line method as per Schedule II to the Companies Act, 2013.

14. Impairment of Assets

At end of each reporting period, the Company reviews the carrying amounts of non-financial assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the assets is estimated to be less than its carrying amount, the carrying amount of the assets is reduced to its recoverable amount. An Impairment loss is recognised immediately in the Statement of Profit and Loss.

15. Cash and Cash equivalents and Cash Flow Statement

Cash and cash equivalents comprise cash on hand and demand deposits, together with other short-term, highly liquid investments maturing within three months from the date of acquisition and which are readily convertible into cash and which are subject to only an insignificant risk of changes in value.

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Cash flows are reported using the indirect method, whereby Profit or Loss before tax is appropriately classified for the effects of transactions of non-cash nature and any deferrals or accruals of past or future receipts or payments. In the cash flow statement, cash and cash equivalents include cash in hand, cheques on hand, balances with banks in current accounts, EEFC accounts and other short- term highly liquid investments with original maturities of three months or less.

16. Segment reporting

The Company is principally engaged in the business of Business process outsourcing which is the only operating reportable segment as per Ind AS 108.

17. Borrowing costs

Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized during the period of time that is necessary to complete and prepare the asset for its intended use or sale. Other borrowing costs are expensed in the period in which they are incurred under finance costs. Borrowing cost also includes exchange differences to the extent regarded as an adjustment to interest costs.

18. Foreign Exchange Transactions

Transactions denominated in foreign currencies are recorded at the exchange rate prevailing on the date of the transaction.

At end of each reporting period, monetary assets and liabilities denominated in foreign currencies are translated at the exchange rates prevailing on that date. Non-monetary items that are measured in terms of historical cost in a foreign currency, are not retranslated.

Exchange difference on monetary items are recognised in the Statement of Profit and Loss in the period in which these arise.

19. Income Taxes

Tax expense recognized in the Statement of Profit and Loss comprises the sum of deferred tax and current tax not recognized in other comprehensive income or directly in equity.

Calculation of current tax is based on tax rates in accordance with tax laws that have been enacted or substantively enacted by the end of the reporting period.

Deferred income taxes are calculated using the Balance Sheet approach on temporary differences between the carrying amounts of assets and liabilities in financial statements and the amount used for taxation purposes.

Deferred tax assets are recognized to the extent that it is probable that the underlying tax loss or deductible temporary difference will be utilized against future tax liability. This is assessed based on the Company’s forecast of future earnings, excluding non-taxable income and expenses and specific limits on the use of any unused tax loss or credit.

Deferred tax liabilities are generally recognized in full, although Ind AS 12 ‘Income Taxes’ specifies some exemptions.

Minimum Alternate Tax (MAT) Credit are in the form of unused tax credits that are carried forward by the Company for specified period of time, hence, it is presented as Deferred Tax Assets.

20. Employee Benefits

Short-term obligations:

Short term obligations are those that are expected to be settled fully within 12 months after the end of the reporting

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Annual Report 2019-2020

period. They are recognised up to the end of the reporting period at the amounts expected to be paid at the time of settlement.

Other Long-term obligations :

The liabilities for earned leave are not expected to be settled wholly within 12 months after end of the period in which the employees render the related service.

Long-term compensated absences are provided for on the basis of an actuarial valuation at the end of each financial year. Actuarial gains / losses, if any, are recognised immediately in Statement of Profit and Loss.

Defined Contribution Plans:

Contribution payable to recognised provident funds, which are substantially defined contribution plans, is recognised as expense in the Statement of Profit and Loss, as they are incurred.

Defined Benefit Plan:

The obligation in respect of defined benefit plan, which covers Gratuity, is provided for on the basis of an actuarial valuation at the end of each financial year. Gratuity is funded with an approved trust maintained by LIC.

Re-measurement, comprising actuarial gains and losses, the effect of the changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest), is reflected immediately in the Balance Sheet with a charge or credit recognised in other comprehensive income in the period in which they occur.

Re-measurement recognised in other comprehensive income is reflected immediately in OCI Reserve and will not be reclassified to Statement of Profit and Loss.

Bonus Payable:

The Company recognised a liability and an expense for bonus. The Company recognised a provision where contractually obliged or where there is a past practice that has created a constructive obligation.

21. Lease

The Company, at the inception of a contract, assesses whether the contract is a lease or not lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a time in exchange for a consideration. This policy has been applied to contracts existing and entered into on or after April 1, 2019 as per Ind As 116.

The Company recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, 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, less any lease incentives received.

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 initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the Company’s incremental borrowing rate. It is remeasured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in the Company’s estimate of the amount expected to be payable under a residual value guarantee, or if the Company changes its assessment of whether it will exercise a purchase, extension or termination option. When the lease liability is remeasured in this way, a corresponding

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adjustment is made to the carrying amount of the right-of-use asset, or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.

The Company has elected not to recognise right-of-use assets and lease liabilities for short-term leases that have a lease term of 12 months or less and leases of low-value assets. The Company recognises the lease payments associated with these leases as an expense over the lease term.

In the comparative period, leases under which the Company assumes substantially all the risks and rewards of ownership are classified as finance leases. When acquired, such assets are capitalized at fair value or present value of the minimum lease payments at the inception of the lease, whichever is lower. Lease payments and receipts under operating leases are recognised as an expense and income respectively, on a straight line basis in the statement of profit and loss over the lease term except where the lease payments are structured to increase in line with expected general inflation.

In accordance with the standard the company has elected not to apply the requirements of Ind AS 116 to short term leases less than 12 months.

22. Trade receivable

Trade receivables are amounts due from customers for goods sold or services performed in the ordinary course of business. If the receivable is expected to be collected within a period of 12 months or less from the reporting date (or in the normal operating cycle of the business, if longer), they are classified as current assets otherwise as non-current assets.

Trade receivables are measured at their transaction price unless it contains a significant financing component or pricing adjustments embedded in the contract.

23. Financial Instruments

Initial Recognition and Measurement:

Financial assets (other than trade receivables) and financial liabilities (other than trade payables) are recognized when the Company becomes a party to the contractual provisions of the financial instrument and are measured initially at fair value adjusted for transaction costs, except for those carried at fair value through Statement of Profit and Loss which are measured initially at fair value.

Trade receivables are recognised at their transaction value as the same do not contain significant financing component. Trade payable is in respect of the amount due on account of goods purchased in the normal course of business are recognised at their transaction value as the same do not contain significant financing component.

(I) Financial Assets:

Classification and Subsequent Measurement:

The Company classifies financial assets as subsequently measured at amortised cost, fair value through other comprehensive income (FVTOCI) or fair value through profit or loss (FVTPL) on the basis of both

• (a) Business model for managing the financial assets, and

• (b) The contractual cash flow characteristics of the financial asset

A Financial Asset is measured at amortised cost if both of the following conditions are met:

• (i) the financial asset is held within a business model whose objective is to hold financial assets in order to collect contractual cash flows, and

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• (ii) the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

A financial asset is measured at fair value through Other Comprehensive Income (FVTOCI) if both of the following conditions are met:

• (i) the financial asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets, and

• (ii) the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

A Financial Asset shall be classified and measured at fair value through profit or loss (FVTPL) unless it is measured at amortised cost or at fair value through OCI.

All recognised financial assets are subsequently measured in their entirety at either amortised cost or fair value, depending on the classification of the financial assets.

Equity Investments:

Equity investments in Associates are out of scope of Ind AS 109 and hence, the Company has accounted for its investment in Associates at cost. All other equity investments are measured at fair value.

Equity instruments, which are held for trading are classified as at FVTPL. For equity instruments other than held for trading, the company has exercised irrevocable option to recognize in other comprehensive income subsequent changes in the fair value.

Derecognition of financial assets:

The Company derecognises a financial asset when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party. If the Company neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the transferred asset, the Company recognises its retained interest in the asset and an associated liability for amounts it may have to pay. If the Company retains substantially all the risks and rewards of ownership of a transferred financial asset, the Company continues to recognise the financial asset and also recognises an associated liability.

On derecognition of a financial asset, the difference between the asset’s carrying amount and the sum of the consideration received and receivable and the cumulative gain or loss that had been recognised in other comprehensive income and accumulated in equity is recognised in the Statement of profit and loss or transfer to retained earnings, as the case may be.

(II) Financial Liabilities and Equity Instruments

Classification as Debt or Equity:

Debt and equity instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

Equity instruments:

An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities. Equity instruments issued by the Company are recognised at the proceeds received, net of direct issue costs.

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Financial liabilities:

Financial liabilities are classified, at initial recognition:

• At fair value through Statement of Profit and Loss,

• Loans and borrowings, payables, or

• As derivatives designated as hedging instruments in an effective hedge, as appropriate.

All financial liabilities are recognised initially at fair value and in the case of loans and borrowings and payables, they are recognised net of directly attributable transaction costs.

The Company’s financial liabilities include trade and other payables, loans and borrowings, including bank overdrafts, financial guarantee contracts and derivative financial instruments.

Subsequent Measurement:

The measurement of financial liabilities depends on their classification, as described below:

Financial Liabilities at FVTPL:

Financial liabilities at FVTPL include financial liabilities held for trading and financial liabilities designated upon initial recognition as at FVTPL. Financial liabilities are classified as held for trading, if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the company that are not designated as hedging instruments in hedge relationships as defined by Ind AS 109. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments.

Gains or losses on liabilities held for trading are recognised in the statement of profit and loss. Financial liabilities designated upon initial recognition at FVTPL are designated as such at the initial date of recognition, and only if the criteria in Ind AS 109 are satisfied.

Loans and Borrowings:

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortised cost using the Effective Interest Rate (EIR) method. Gains and losses are recognised in the Statement of Profit and Loss when the liabilities are derecognised as well as through the EIR amortization process.

Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortization is included as finance costs in the Statement of Profit and Loss.

Derecognition of Financial Liabilities:

The Company de-recognises financial liabilities when and only when, the Company’s obligations are discharged, cancelled or have expired. The difference between the carrying amount of the financial liability de-recognised and the consideration paid and payable is recognised in the statement of profit and loss or transfer to retained earnings, as the case may be.

24. Provisions and contingent liabilities

Provisions:

A Provision is recorded when the Company has a present obligation (legal or constructive)as a result of past events, it is probable that an outflow of resources will be required to settle the obligation and the amount can be reasonably estimated.

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Contingent liabilities:

Whenever there is possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity or a present obligation that arises from past events but is not recognised because (a) it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation; or (b) the amount of the obligation cannot be measured with sufficient reliability are considered as contingent liability.

Show cause notices are not considered as Contingent Liabilities unless converted into demand.

Contingent Assets:

Contingent assets are not recognised in the financial statements since this may result in recognition of income that may never be realized. However, when the realization of income is virtually certain, then the related assets is not a contingent assets and is recognised.

25. Investment in Associates

The investments in associates are carried in these financial statements at historical cost except when the investment, or a portion thereof, is classified as held for sale, in which case it is accounted for as Non-current assets held for sale and discontinued operations.

When the Company is committed to a sale plan involving disposal of an investment, or a portion of an investment in an associate the investment or the portion of the investment that will be disposed off is classified as held for sale when the criteria described above are met.

Any retained portion of an investment in an associate that has not been classified as held for sale continues to be accounted for at historical cost.

Upon loss of significant influence over the associate the Company measures and recognises any retained investment at its fair value. Any difference between the carrying amount of the associate and the fair value of retained investment and proceeds from disposal is recognised in Statement of Profit and Loss.

26. Cash Dividend to Equity Holders of the Company

The Company recognises a liability to make cash distributions to equity holders of the Company when the distribution is authorised and the distribution is no longer at the discretion of the Company. As per the corporate laws in India, a distribution is authorised when it is approved by the shareholders. A corresponding amount is recognised directly in equity.

27. Earnings per share

Basic earnings per share are calculated by dividing the Net Profit or Loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period.

For the purpose of calculating diluted earnings per share, the Net Profit or Loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are considered for the effects of all dilutive potential equity shares.

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----- Start of picture text -----

As at 31st March,2019 Rs. 12,921,627 6,652,645 - 437,169 5,216,941 726,351 224,567 497,547 26,676,847 As at 31st March,2018 Rs. 13,279,243 6,786,946 - 289,167 6,495,448 821,963 318,530 559,862 28,551,160
NET BLOCK As at 31st March,2020 Rs. 12,589,627 6,518,344 - 1,549,695 7,967,399 1,051,808 934,864 435,232 31,046,969 NET BLOCK As at 31st March,2019 Rs. 12,921,627 6,652,645 - 437,169 5,216,941 726,351 224,567 497,547 26,676,847
As at 31st March,2020 Rs. 7,056,699 2,018,756 - 2,185,309 6,741,952 2,462,294 2,320,497 1,050,115 23,835,622 As at 31st March,2019 Rs. 6,724,699 1,884,455 - 2,107,757 5,149,614 2,144,034 2,153,961 987,800 21,152,320
Rs. - - - - - - - - - Rs. - - - - - - - - -
Disposals /De-recognition during the year Disposals /De-recognition during the year
Additions Rs. 332,000 134,301 77,552 1,592,338 318,260 166,536 62,315 2,683,302 Additions Rs. 357,616 134,301 - 39,500 1,278,507 384,035 197,351 62,315 2,453,625
ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION
As at 1st April, 2019 Rs. 6,724,699 1,884,455 - 2,107,757 5,149,614 2,144,034 2,153,961 987,800 21,152,320 As at 1st April, 2018 Rs. 6,367,083 1,750,154 - 2,068,257 3,871,107 1,759,999 1,956,610 925,485 18,698,694
As at 31st March,2020 Rs. 19,646,326 8,537,100 - 3,735,004 14,709,351 3,514,102 3,255,361 1,485,347 54,882,591 As at 31st March,2019 Rs. 19,646,326 8,537,100 - 2,544,926 10,366,555 2,870,385 2,378,528 1,485,347 47,829,167
Rs. - - - - - - - - - Rs. - - - - - - - - -
Disposals /De-recognition during the year Disposals /De-recognition during the year
GROSS BLOCK Rs. - - - - GROSS BLOCK Rs. - - - - -
Additions 1,190,078 4,342,796 643,717 876,833 7,053,424 Additions 187,502 288,423 103,388 579,313
As at 1st April, 2019 Rs. 19,646,326 8,537,100 - 2,544,926 10,366,555 2,870,385 2,378,528 1,485,347 47,829,167 As at 1st April, 2018 Rs. 19,646,326 8,537,100 - 2,357,424 10,366,555 2,581,962 2,275,140 1,485,347 47,249,854
Particulars Buildings : Buildings freehold Buildings leasehold Plant and equipment Furniture and fixtures Vehicles Office equipment Computers Electrical installation Total Particulars Buildings : Buildings freehold Buildings leasehold Plant and equipment Furniture and fixtures Vehicles Office equipment Computers Electrical installation Total
Vehicles acquired under finance lease is recognized under PPE as substantially all the significant risk and rewards incidental to ownership of vehicles under lease have been transferred to the Company.
Sr. No. (a) (b) (c') (d) (e') (f) (g) F.Y. 2018-19 Sr. No. (a) (b) (c') (d) (e') (f) (g)
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----- Start of picture text -----

As at 31st March,2019 Rs. 2,390,798 2,390,798 As at 31st March,2018 Rs. 2,499,453 2,499,453
NET BLOCK As at 31st Rs. NET BLOCK As at 31st Rs. - -
March,2020 2,282,142 2,282,142 March,2019 2,390,798 2,390,798
Rs. Rs.
10,065,600
As at 31st March,2020 2,071,584 2,071,584 As at 31st March,2019 1,962,928 1,962,928
10,065,600 10,065,600
Rs. - - Rs. - -
Year Ended 2019 (Rs.)
Disposals Disposals
189,196,000
/De-recognition during the year /De-recognition during the year -
Rs. Rs.
As at 31st March, 2019 (Rs.)
Additions 108,656 108,656 Additions 108,655 108,655 14,171,600 14,171,600 14,171,600
ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION
As at 1st Rs. As at 1st Rs.
April, 2019 1,962,928 1,962,928 April, 2018 1,854,273 1,854,273 Year Ended 2020 (Rs.)
As at 31st Rs. As at 31st Rs. 189,196,000
March,2020 4,353,726 4,353,726 March,2019 4,353,726 4,353,726
- - - -
Disposals /De-recognition during the year Rs. Disposals /De-recognition during the year Rs. As at 31st March, 2020 (Rs.)
GROSS BLOCK Rs. - - GROSS BLOCK Rs. - -
Additions Additions
As at 1st April, 2019 Rs. 4,353,726 4,353,726 As at 1st April, 2018 Rs. 4,353,726 4,353,726
Information regarding income and expenditure of Investment Property: Particulars Rental income from investment property Direct expenses: Contribute to rental income (including R&M) Profit before depreciation and indirect expenses (I - II) Depreciation Profit before indirect expenses Fair Value of Investment Properties: Office Premises
The fair value of the Company’s Investments properties as at March 31, 2020 have been arrived at on the basis of valuation carried out as at the respective dates by management based on ready reckoner valuation published by local goverment with the authority which governs the valuer in India.
Particulars Buildings : Office Premises-freehold Total Particulars Buildings : Office Premises-freehold Total
Investment Property F.Y.2019-20 Sr. No. (a) F.Y.2018-19 Sr. No. (a) (a) I II III IV V (b)
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----- Start of picture text -----

As at 31st March,2019 Rs. 57,940 57,940 As at 31st March,2018 Rs. 108,217 108,217 As at 31st March,2019 Rs. 1,814,238 1,814,238 As at 31st March,2018 Rs. 1,814,238 1,814,238
NET BLOCK As at 31st March,2020 Rs. 45,543 45,543 NET BLOCK As at 31st March,2019 Rs. 57,940 57,940 NET BLOCK As at 31st March,2020 Rs. 1,814,238 1,814,238 NET BLOCK As at 31st March,2019 Rs. 1,814,238 1,814,238
As at 31st March,2020 Rs. 916,186 916,186 As at 31st March,2019 Rs. 903,789 903,789 As at 31st March,2020 Rs. - - As at 31st March,2019 Rs. - -
Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - -
Additions Rs. 12,397 12,397 Additions Rs. 50,277 50,277 Additions Rs. - - Additions Rs. - -
ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION ACCUMULATED DEPRECIATION
As at 1st April, 2019 Rs. 903,789 903,789 As at 1st April, 2018 Rs. 853,512 853,512 As at 1st April, 2019 Rs. - - As at 1st April, 2018 Rs. - -
As at 31st March,2020 Rs. 961,729 961,729 As at 31st March,2019 Rs. 961,729 961,729 As at 31st March,2020 Rs. 1,814,238 1,814,238 As at 31st March,2019 Rs. 1,814,238 1,814,238
Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - - Disposals /De-recognition during the year Rs. - -
GROSS BLOCK Rs. - - GROSS BLOCK Rs. - - GROSS BLOCK Rs. - - GROSS BLOCK Rs. - -
Additions Additions Additions Additions
As at 1st April, 2019 Rs. 961,729 961,729 As at 1st April, 2018 Rs. 961,729 961,729 As at 1st April, 2019 Rs. 1,814,238 1,814,238 As at 1st April, 2018 Rs. 1,814,238 1,814,238
Particulars Computer software Total Particulars Computer software Total Particulars Intangible asset under development Total Particulars Intangible asset under development Total
Note - 4 Other Intangible assets F.Y.2019-20 Sr. No. (a) F.Y.2018-19 Sr. No. (a) Note - 5 Intangible assets under development F.Y.2019-20 Sr. No. (a) F.Y.2018-19 Sr. No. (a)
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Informed Technologies India Limited

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 6 Non-current financial assets - Investments Particulars Investment in equity instruments Unquoted Associates: Carried at cost Entecres Labs Private Ltd. Others: Carried at fair value through other comprehensive income (FVTOCI) Gras Education and Training Service P Ltd. Quoted Others: Carried at fair value through other comprehensive income (FVTOCI) Power Grid Corporation of India Ltd. Gujarat Steel Tubes Ltd. Nagpur Power & Industries Ltd. Zenith Birla (I) Ltd. Total Other details: i Aggregate book value of: Particulars Quoted investments Unquoted investments Aggregate market value of quoted investments Aggregate impairment in value of investments	Face value Numbers (Rs.) As at 31st March 2020	Face value Numbers (Rs.) As at 31st March 2020	As at As at 31st March, 31st March, 2020 2019 (Rs.) (Rs.)
	10 4,680 13,714,917 12,679,410 13,714,917 12,679,410 10 159,957 15,896,527 15,896,527 15,896,527 15,896,527 10 23,273 - 4,605,727 10 180 375 375 10 254,232 8,605,753 9,470,142 10 164,132 117,693 160,490 8,723,821 14,236,734 38,335,265 42,812,671 As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.) 8,723,821 14,236,734 29,611,444 28,575,937 38,335,265 42,812,671 8,723,821 14,236,734 - -		13,714,917 12,679,410
			13,714,917 12,679,410
			15,896,527 15,896,527
			15,896,527 15,896,527
			- 4,605,727 375 375 8,605,753 9,470,142 117,693 160,490
			8,723,821 14,236,734
			38,335,265 42,812,671
			As at As at rch, 2020 31st March, 2019 (Rs.) (Rs.) ,723,821 14,236,734 9,611,444 28,575,937
		3	8,335,265 42,812,671
		8,723,821 14,236,734 - -

ii Disclosure requirement of Ind AS 107- financial instruments : disclosure: Equity instrument (other than subsidiary and associates) designated at FVTOCI:

These investment have been designated on initial recognition to be measured at FVTOCI as these are long-term investment and not intended for sale.

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Informed Technologies India Limited

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 7 Non-current tax assets/(liabilities) (Net) Provision for taxation Income tax paid Less: MAT credit entitlement Total Note - 8 Deferred tax assets (Net) Opening balance Add: DTL for the year Less: MAT credit entitlement Total Note - 9 Other non-current assets Security deposits Advances to supplier for goods and services Total Note - 10 Current financial assets - investments Carried at fair value through profit and loss (FVTPL) Quoted Investment in equity instruments Investment in mutual funds Total Other details: i Aggregate book value of: Quoted investments Unquoted investments Aggregate market value of quoted investments Aggregate impairment in value of investments Particulars	As at 31st March, 2020 (Rs.)	As at 31st March, 2020 (Rs.)	As at 31st March, 2019 (Rs.)
	(24,797,000) 28,534,990 -		(24,797,000) 27,281,281 -
	3,737,990		2,484,281
	(2,050,018) 6,079,469 -		- - -
	4,029,451		-
	754,880 215,900		749,880 374,896
	970,780		1,124,776
	41,322,786 -		64,663,139 -
	41,322,786		64,663,139
	41,322,786 -		64,663,139 -
	41,322,786		64,663,139
	41,322,786 -		64,663,139 -

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Notes to consolidated financial statements for the year ended 31st March, 2020

Particulars Note - 11 Trade receivables (Unsecured, unless otherwise stated) Considered good Doubtful Total Note - 12 Cash and cash equivalents Balance with banks: In Current accounts In Deposit accounts In EEFC accounts Cash on hand Total Note - 13 Bank balance other than mentioned in cash and cash equivalents Earmarked balances with banks Unclaimed dividend Total	As at 31st March, 2020 (Rs.)	As at 31st March, 2020 (Rs.)	As at 31st March, 2019 (Rs.)
	1,977,448 -		3,662,758 -
	1,977,448		3,662,758
	3,174,609 63,907 21,221 24,568		748,731 59,890 26,555 24,926
	3,284,305		860,102
	851,831		1,030,390
	851,831		1,030,390
		protection fund as at 31st
Note - 14 Other current assets Balance with statutory/government authorities Prepaid expenses Advances to supplier for services Advances to employees Other receivables Total	1,744,708 347,277 2,215,517 224,544 36,157		2,798,447 444,890 66,576 188,000 346,071
	4,568,202		3,843,984

Note: There are no amounts due and outstanding to be credited to the investor education and protection fund as at 31st March, 2020.

Note - 14
Other current assets
Balance with statutory/government authorities	1,744,708	2,798,447
Prepaid expenses	347,277	444,890
Advances to supplier for services	2,215,517	66,576
Advances to employees	224,544	188,000
Other receivables	36,157	346,071
Total	4,568,202	3,843,984

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Informed Technologies India Limited

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 15 Equity Share Capital : Authorized Capital Equity shares of Rs. 10/- each 15% ‘A’ cumulative redeemable preference shares of Rs. 100/- each Issued, Subscribed and Paid-up Equity Shares of Rs. 10/- each fully paid up Total a Reconciliation of the number of shares outstand Particulars Equity shares at the beginning of the year Add: shares issued during the year Less: shares cancelled/bought back during the ye Equity shares at the end of the year Particulars	Note - 15 Equity Share Capital : Authorized Capital Equity shares of Rs. 10/- each 15% ‘A’ cumulative redeemable preference shares of Rs. 100/- each Issued, Subscribed and Paid-up Equity Shares of Rs. 10/- each fully paid up Total a Reconciliation of the number of shares outstand Particulars Equity shares at the beginning of the year Add: shares issued during the year Less: shares cancelled/bought back during the ye Equity shares at the end of the year Particulars	No. of shares Value No. of shares Value As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
		7,000,000 70,000,000 7,000,000 70,000,000 50,000 5,000,000 50,000 5,000,000
		7,050,000 75,000,000 7,050,000 75,000,000
		4,169,100 41,691,000 4,169,100 41,691,000
		4,169,100 41,691,000 4,169,100 41,691,000
		ing is set out below: Number of Shares
		As at As at As at 31st March, 2020 31st March, 2019 31st March, 2018
		4,169,100 4,169,100 4,169,100 - - - ar - - - 4,169,100 4,169,100 4,169,100
		rights and are subject to the restriction as prescribed under the rt I of schedule III of companies act, 2013 is NIL. ate shares in the company
	Particulars Khandelwals Limited* Life Insurance Corporation of India Ltd.	As at As at 31st March, 2020 31st March, 2019
		No. of shares % of holdings No. of shares % of holdings
		2,678,220 64.24 2,678,220 64.24 384,750 9.23 384,750 9.23

• b The equity shares of the company having voting rights and are subject to the restriction as prescribed under the companies Act, 2013.

• c Disclosure pursuant to note no. 6(D) (h,i,j,k,l) of part I of schedule III of companies act, 2013 is NIL.

• d Shareholders holding more than 5% of the aggregate shares in the company

Particulars		As at		As at
		31st March, 2020		31st March, 2019
	No. of shares	% of holdings	No. of shares	% of holdings
Khandelwals Limited*	2,678,220	64.24	2,678,220	64.24
Life Insurance Corporation of India Ltd.	384,750	9.23	384,750	9.23

*Khandelwals Limited is registered outside India i.e. 10 Orange Street, London, United Kingdom

• e During the financial year 2019-20 company has transferred 16,745 number of equity shares to IEPF account as per MCA general circular no. 12/2017 and section 124(6).

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Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 16

Note - 16	Note - 16
Other Equity Particulars		Items of Other Comprehensive Income
Reserves and Surplus		Items that will not be reclassified to Profit and Loss
General Retained Equity Other Total Reserve Earnings instruments Items
Balance as at 31st March 2018 110,407,865 (1,626,296) (5,624,783) (137,965) 103,018,823
Profit / (Loss) for the year - (8,848,092) - - (8,848,092) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (Net of tax) - - - 46,111 46,111 Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - 800,812 - 800,812
Balance as at 1st April 2019 110,407,865 (10,474,388) (4,823,971) (91,854) 95,017,654
Profit / (Loss) for the year - (11,694,985) - - (11,694,985) Proposed dividend on equity shares - - - - - Tax paid thereon - - - - - Transfer to retained earnings - - - - - Re-measurement of gain/(loss) on defined benefit plans (Net of tax) - - - (898,757) (898,757) Fair value gain/(loss) of equity instruments through other comprehensive income (net of tax) - - (2,041,689) - (2,041,689)
Balance as at 31st March 2020 110,407,865 (22,169,373) (6,865,660) (990,611) 80,382,223
Note - 17 Borrowings Particulars Secured Term loan from banks Total	As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
	3,059,634 1,464,830
	3,059,634 1,464,830
Term loan consist of:

Note - 17
Borrowings
Particulars	As at	As at
	31st March, 2020	31st March, 2019
	(Rs.)	(Rs.)
Secured
Term loan from banks	3,059,634	1,464,830
Total	3,059,634	1,464,830
Term loan consist of:

(1) Kotak Mahindra Prime Ltd having fixed interest @ 9.36% p.a. secured by hypothecation of motor car purchased under the loan. Repayment is to be made in 60 equated monthly instalments (EMI) of Rs 64,426/- each till July, 2024 of which principal sum therein totaling to Rs 2,206,383/-payable over balance 40 EMI's are long term maturities.

(2) Axis Bank Ltd having fixed interest @7.86% p.a. secured by hypothecation of motor car purchased under the loan. Repayment is to be made in 60 equated monthly instalments (EMI) of Rs 40,421/- each till February, 2023 of which principal sum therein totaling to Rs 853,237/-payable over balance 23 EMI's are long term maturities.

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Annual Report 2019-2020

Informed Technologies India Limited

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 18 Provisions Provision for Employee Benefits: Gratuity 1,821,922 Leave encashment 642,018 Total 2,463,940 Note - 19 Deferred tax liabilities (Net) Opening Balance - Add: DTL for the year - Less: MAT credit entitlement Total - Note - 20 Other non-current liabilities Security deposits 825,522 Other liabilities 71,859 Total 897,381 Note - 21 Borrowings Current maturity of term loans from bank 1,150,433 Total 1,150,433 Note - 22 Trade Payables Dues to micro, small and medium enterprises (MSME) - Dues to others 1,028,177 Total 1,028,177 (i) Total outstanding dues of micro, small and medium enterprises (MSME): The principal amount and the interest due thereon remaining unpaid to - any supplier at the end of each accounting year. The amount of interest paid by the buyer in terms of section 16 of the micro, - small and medium enterprises development act, 2006, along with the amount of the payment made to the supplier beyond the appointed day during each accounting year. Particulars As at 31st March, 2020 (Rs.)	As at 31st March, 2020 (Rs.)	As at 31st March, 2020 (Rs.)	As at 31st March, 2019 (Rs.)
	1,821,922 642,018		729,029 417,306
	2,463,940		1,146,335
	- -		3,486,243 (1,436,225) -
	-		2,050,018
	825,522 71,859		5,979,320 259,117
	897,381		6,238,437
	1,150,433		706,566
	1,150,433		706,566
	- 1,028,177		- 829,003
	1,028,177		829,003
			- -

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

Particulars The amount of interest due and payable for the period of delay in making payment but without adding the interest specified under the micro, small and medium enterprises development act, 2006. The amount of interest accrued and remaining unpaid at the end of each accounting year end. The amount of further interest remaining due and payable even in the succeeding years, until such date when the interest dues above are actually paid to the small enterprise, for the purpose of disallowance of a deductible expenditure under section 23 of the micro, small and medium enterprises development act, 2006.

As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)

- - - - - -

(ii) The balance of trade payables are subject to confirmation.

(iii) The information has been given in respect of such vendor to the extent they could be identified as micro and small enterprises on the basis of information available with the company.

Note - 23
Other current liabilities
Statutory liabilities	452,748	542,014
Unclaimed dividend	851,831	1,030,390
Other payables	242,993	250,826
Provision for expenses	626,591	454,851
Advance from Customer	1,420,000	-
Total	3,594,163	2,278,081

Movement of provisions during the year as required by Ind AS -37 - ‘provisions, contingent liabilities and contingent	Movement of provisions during the year as required by Ind AS -37 - ‘provisions, contingent liabilities and contingent	Movement of provisions during the year as required by Ind AS -37 - ‘provisions, contingent liabilities and contingent
assets’ :
Provision for expenses:
Balance at the beginning of the year	454,851	686,829
Add: created during the year	1,800,361	1,486,520
Less: settled during the year	1,628,621	1,718,498
Less: reversed during the year	-	-
Balance at the end of the year	626,591	454,851

-- 106 --

Annual Report 2019-2020

Informed Technologies India Limited

Notes to consolidated financial statements for the year ended 31st March, 2020

Particulars Note - 24 Revenue from operations Sale of services Total Note - 25 Other income Interest income Dividend income Profit/ (loss) on sale of : Investment (net) - mutual funds units Investment (net) - equity instruments Gain/(Loss) on fair valuation of current investments (measure at FVTPL) Rental income Other non-operating income Sundry balance w/off Total Note - 26 Employee benefit expenses Salaries and wages, including bonus and ex-gratia Contribution to provident and other funds Staff welfare expenses Gratuity and leave salary Staff bus charges Total Note - 27 Finance costs Interest expenses Bank charges Total	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
		18,941,498		20,421,621
		18,941,498		20,421,621
		36,164 668,284 - (81,191) (15,838,260) 14,491,521 22,399 (204,221)		18,756 1,094,269 (22,601) (1,426,760) (3,224,271) 10,509,816 267,128 42,863
		(905,304)		7,259,200
		15,152,369 702,042 399,511 498,874 772,265		14,028,597 673,812 325,968 358,466 764,178
		17,528,049		16,151,021
		655,562 97,958		703,489 104,377
		753,520		807,866

-- 107 --

Annual Report 2019-2020

Informed Technologies India Limited

Notes to consolidated financial statements for the year ended 31st March, 2020

Particulars Note - 28 Other expenses Advertisement and publicity Auditors remuneration Business promotion expenses Conveyance Electricity charges Insurance charges Legal & consultancy fees Motor car expenses Printing & stationery Rates & taxes Repair to buildings Repairs to others Research and development expenses Software expenses Travelling expenses-director’s Travelling expenses-foreign Travelling expenses-others Website, internet charges Miscellaneous expenditures Foreign exchange fluctuation Total Note - 28.1 Auditors’ remuneration (inclusive of taxes) Audit fees For taxation matters including tax audit For other services Total Note - 29 Tax Expenses Income tax expenses recognized in Statement of Profit and Loss: Current income tax for the year Deferred Tax: Deferred income tax for the year MAT Credit entitlement Total income tax expense recognized in statement of profit and loss for the year	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)	For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
		122,041 375,000 - 1,007,094 1,085,247 377,712 3,771,739 200,924 63,157 631,404 - 4,429,503 48,594 33,772 100,274 1,278,859 189,490 490,548 1,326,450 228,424		135,337 375,000 - 1,029,372 808,174 298,434 3,984,017 128,651 138,153 3,355,799 2,611,020 3,207,752 197,708 93,718 276,003 835,576 384,184 541,135 882,273 228,360
		15,760,231		19,510,666
		324,500 - 118,000		324,500 - 118,000
		442,500		442,500
		- (6,079,469) -		- (1,436,225) -
		(6,079,469)		(1,436,225)

-- 108 --

Annual Report 2019-2020

Informed Technologies India Limited

Notes to consolidated financial statements for the year ended 31st March, 2020
Reconciliation of estimated income tax expense recognized	For the year ended
in statement of profit and loss :	31st March, 2020
Particulars	(Rs.)
Income from continued operation before income taxes	(18,809,961)
Tax effect of adjustments to reconcile expected income tax
expense to reported income tax expenses:
Income exempt from tax	-
Income taxable under taxable other heads i.e. capital gain,
house property and other source	-
Expenses allowed on payment basis	-
Depreciation as per income tax act, 1961	-
Expenses related to exempt incomes	150,707
Depreciation as per schedule II of companies act, 2013	-
Provision for expenses allowed on payment basis	-
Income which is exempt uder Section 10 (other than the provisons
contained in clause (38) thereof or Section 11 or Section 12 of the Income-Tax,
if any amount is credited to the Profit and loss accounts;	(668,284)
1/5th of Transition amount as per sec. 115JB(2C)	5,712,955
Amount Debit to OCI under the head “Items that will not be re-classified to
Profit and Loss” other than gain or loss from investment in equity instruments designated FVTOCI	898,757
Income from business / book profit	(12,715,826)
Income under capital gains:
- Short-term capital gain	-
Income taxable under house property head	-
Income from other sources	-
Taxable income / book profit under MAT	(12,715,826)
Estimated Income Tax expenses	-
Income Tax expense recognized in Statement of Profit and Loss	-

Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923	Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923	Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923	Note - 30 Other comprehensive income (OCI) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Items that will not be reclassified to profit and loss Re-measurement gains/ (losses) on defined benefit plans (898,757) 46,111 Equity instrument through other comprehensive income (2,041,689) 800,812 Income tax relating to items will not be reclassified to profit and loss - - Items that will be reclassified to profit and loss Debt instruments through other comprehensive income - - Income tax relating to items will be reclassified to profit and loss - - Total (Net) (2,940,446) 846,923
	(2,940,446)		846,923

-- 109 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (11,694,985) (8,848,092) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (2.81) (2.12) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (11,694,985) (8,848,092) Dilutive effect on weighted average number of equity shares outstanding during the year Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (2.81) (2.12) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable by mutual consent on mutually agreed terms - -	Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (11,694,985) (8,848,092) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (2.81) (2.12) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (11,694,985) (8,848,092) Dilutive effect on weighted average number of equity shares outstanding during the year Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (2.81) (2.12) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable by mutual consent on mutually agreed terms - -	Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (11,694,985) (8,848,092) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (2.81) (2.12) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (11,694,985) (8,848,092) Dilutive effect on weighted average number of equity shares outstanding during the year Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (2.81) (2.12) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable by mutual consent on mutually agreed terms - -	Note - 31 Earnings per equity share (EPS) Particulars For the year ended For the year ended 31st March, 2020 31st March, 2019 (Rs.) (Rs.) Nominal value of equity shares (Rs.) 10 10 Net profit for the year attributable to equity shareholders (11,694,985) (8,848,092) Weighted average number of equity shares outstanding during the year (nos.) 4,169,100 4,169,100 Basic earnings per equity shares (Rs.) (2.81) (2.12) Dilutive effect on profit Net profit for the year attributable to equity shareholders for computing diluted EPS (11,694,985) (8,848,092) Dilutive effect on weighted average number of equity shares outstanding during the year Weighted average number of equity shares for computing diluted EPS (nos.) 4,169,100 4,169,100 Diluted earnings per equity shares (Rs.) (2.81) (2.12) Note - 32 Assets given on operating lease Operating lease receipts recognized in statement of profit and loss 14,171,600 10,065,600 The total of future minimum lease receipts under non-cancellable operating leases are as follows: For a period not later than one year 1,300,000 5,871,600 For a period later than one year and not later than five years - - For a period later than five years - - General description of leasing agreements: i Lease assets - Office building - - ii Future lease rentals are determined on the basis of agreed terms - - iii Lease agreements are generally cancellable and are renewable by mutual consent on mutually agreed terms - -
	**(2.81) **		(2.12)
	(11,694,985) 4,169,100		(8,848,092) 4,169,100
	**(2.81) **		(2.12)
	14,171,600 1,300,000 - - - - -		10,065,600 5,871,600 - - - - -

In accordance with the standard the company has elected not to apply the requirements of Ind AS 116 to short term leases less than 12 months.

-- 110 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 33

Segment information

For management purpose, the company comprise of only one reportable segment - Business Process Outsourcing. The Management monitors the operating results of this segment for the purpose of making decision about resource allocation and performance assessment. Segment information is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements.

(i) Revenue from geographical segments

Revenue from geographical segments
Particulars	For the year ended	For the year ended
	31st March, 2020	31st March, 2019
	(Rs.)	(Rs.)
India	-	-
Outside India	18,941,498	20,421,621
Total	18,941,498	20,421,621

(ii) Entire non-current assets of the company are situated in India

(iii) Information about transaction with major customers:

Revenue from one customer of the company is Rs 1.83 Cr (previous year was Rs 1.92 Cr.) which is 96.65%of (previous year was 94.18%) of the company's total revenue.

Note - 34

Related party disclosures

(i) List of related parties where control exists and related parties with whom transactions have taken place and relationships:

Sr. No. Name of Related Party

• 1 Khandelwals Limited 2 Entecres Labs Private Limited

• 3 Nagpur Power & Industries Ltd 4 Zeppelin Investments Pvt. Ltd.

• 5 Ramprasad Khandelwal Memorial Trust

Nature of Relationship

• Holding Company Associate Company

Enterprise that directly, or indirectly through one or more intermediaries, control, or are controlled by, or are under common control with, the reporting enterprise.

Enterprises owned or significantly influenced by any management personnel or their relatives.

• 6 KEY MANAGERIAL PERSONNEL

i Mr. Gautam P. Khandelwal Non Executive Director (Chairman) ii Mrs. Suelve Khandelwal Wholetime Director iii Mr. Nimis S. Sheth Independent Director iv Mr.Virat Mehta Independent Director v Ms. Reena Yadav Key Management Personnel vi Mrs. Roshan Dsouza Key Management Personnel

-- 111 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

(ii) Transactions during the year with related parties:

Sr. Nature of No. Transactions 1 Sale of services 2 Purchase of services 3 Payment to key manageria personnel - salaries 4 Donation given Outstanding balances: 1 Due to company 2 Due by company	For the Year ended 31.03.2020 For the Year ended 31.03.2019 Holding Subsidiaries Key Total Holding Subsidiaries Key Total Company Managerial Company Managerial Personnel Personnel
	- - - - - - - - - - - - - - - - l - - 4,154,508 4,154,508 - - 4,140,639 4,140,639 - - - - - - - -
	- - - - - - - - - - - - - - - -

Notes:

(a) No amounts have been written off / provided for or written back during the year in respect of debts due from or to related parties.

Note - 35 Commitments, contingent liabilities and contingent assets:

Particulars	As at	As at
	31st March, 2020	31st March, 2019
	(Rs.)	(Rs.)
(a) Contingent liabilities
Claims made against the Company/ disputed liabilities not acknowledgement as debts:
(i) Legal claims
- Income tax matters - under appeal	-	142,943
- Other matters	-	-
(ii) Guarantees	-	-
(b) Capital commitments	-	-
(c) Contingent assets	-	-

-- 112 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 36

Defined benefit plans as per actuarial valuation:

Employee benefits disclosure

i) Gratuity:

Retirement benefits in the form of gratuity liability (being administered by Life Insurance Corporation of India) is a defined benefit obligation and is provided for on the basis of an actuarial valuation made at the end of each financial year.

The present value of obligation is determined based on actuarial valuation using the projected unit credit method as prescribed by the Ind AS-19 - ‘Employee Benefits’, which recognises each period of service as giving rise to additional unit of employee benefit entitlement and measure each unit separately to build up final obligation.

ii) Compensated absences/leave encashment:

The company also extends defined plans in the form of compensated absences/leave encashment to employees. Provisions for compensated absences is made on actuarial valuation basis.

The company is exposed to various risks as regards its obligation towards gratuity benefit and leave salary which are as follows: (i) interest rate risk,(ii) liquidity risk, (iii) salary escalation risk, (iv) regulatory risk, (v) market risk and (vi) investment risk

Particulars (i) Reconciliation of present value of the obligation: Opening defined benefit obligation Adjustments of: Current service cost Interest cost Actuarial loss/(gain) Liabilities assumed on acquisition/(settled on divestit Benefits paid Other (employee contribution, taxes, expenses) Remeasurements - due to financial assumptions Remeasurements - due to experience adjustments Closing defined benefit obligation (ii) Reconciliation of fair value of the plan assets: Opening fair value of the plan assets Adjustments of: Return on plan assets Actuarial gain/(loss) Contributions by the employer Assets acquired on acquisition/(distributed on divestit Benefits paid Other (employee contribution, taxes, expenses) Remeasurements - return on assets (excluding interest income) Closing fair value of the plan assets	Amount in Rs. Gratuity Leave encashment
	As at 31st As at 31st As at 31st As at 31st March, 2020 March, 2019 March, 2020 March, 2019
	1,983,115 1,840,004 417,306 346,738 292,694 245,387 111,153 56,341 146,484 135,154 28,863 20,843 ure) (114,094) (56,077) (80,026) (137,651) (22,484) (19,829) (24,725) (31,858) (4,855) (3,295) 768,330 (129,665) 169,577 134,331
	3,029,320 1,983,116 642,018 417,307
	1,254,086 983,894 - - 80,321 82,608 - - 14,340 247,866 80,026 137,651 ure) (114,094) (56,077) (80,026) (137,651) (22,484) (19,829) 9,569 15,624
	1,221,738 1,254,086 - -

-- 113 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

						Amount in Rs.
Particulars			Gratuity		Leave	encashment
		As at 31st	As at 31st		As at 31st	As at 31st
	March, 2020		March, 2019		March, 2020	March, 2019
(iii) Net liabilities/(assets) recognised in the balance sheet:
Present value of the defined benefit obligation
at the end of the period		3,029,320	1,983,115		642,018	417,306
Fair value of the plan assets		1,221,738	1,254,086		-	-
Net liabilities recognised in the balance sheet		1,807,582		**729,029 **	**642,018 **	417,306
Short term liability		55,104		26,322	97,695	51,423
(iv) Amount recognised in salary and wages under employee
benefits expense in the statement of profit and loss:
Current service cost		292,694		245,387	111,153	56,341
Interest on defined benefit obligation (net)		66,163		52,546	28,863	20,843
Net cost		358,858		297,933	140,016	77,184
Capitalised as Pre-Operative Expenses in respect of
Net Charge to the Statement of Profit and Loss
Net charge to the statement of profit and loss		358,858		**297,933 **	**140,016 **	77,184
(v) Amount recognised in other comprehensive income	(OCI) for the year:
Changes in financial assumptions		(24,725)		(31,858)	(4,855)	(3,295)
Experience adjustments		768,330	(129,665)		169,577	134,331
Actual return on plan assets less interest on plan assets		(9,569)		(15,624)	-	-
Recognised in OCI for the year		**734,036 **	**(177,147) **		**164,722 **	131,036
(vi) The major categories of plan assets as a % of total plan:
Insurance policies		100%		100%	0%	0%
Total		100%		100%	0%	0%
(vii)Experience adjustments on present value of DBO and plan assets
(Gain)/loss on plan liabilities		768,330	(129,665)		169,577	134,331
% of opening plan liabilities		38.74%		(7.05%)	40.64%	38.74%
(Gain)/loss on plan assets		9,569		15,624	-	-
% of opening plan assets		0.76%		1.59%	-	-
(viii) Principal actuarial assumptions:
Discount rate		6.67%		7.65%	6.67%	7.65%
Salary escalation rate		4.00%		5.00%	4.00%	5.00%
Withdrawal rate		1.00%		1.00%	-	-
Attrition rate		-		-	1.00%	1.00%
Normal retirement age		58 years		58 years	58 years	58 years
Adjusted average future service		19.00		19.00	-	-
Leave encashment rate during employment		-		-	10%	10%
Leave availment rate		-		-	2%	2%
Mortality tables		Indian Assured Lives			Mortality (2006-08)

-- 114 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 37

Financial instruments : Fair values measurement

Accounting classification and fair value hierarchy

Carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy, are presented below. It does not include the fair value information for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value.

The company uses the following hierarchy for determining and disclosing the fair value of financial instruments:

Level 1: inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date;

Level 2: inputs other than quoted prices included within level 1, that are observable for the asset or liability, either directly or indirectly; and

Level 3: If one or more significant inputs is not based on observable market data, the instrument is included in level 3. This is the case for unlisted equity instruments and certain debt instruments which are valued using assumptions from market participants.

Set out below, is a comparison by category of the carrying amounts and fair value of the company’s financial instruments.

As on 31st March, 2020: Particulars Financial assets Non current: Investments in equity instruments (other than associates) Current: Investments in equity instruments Investments in mutual funds Cash and cash equivalents Bank balance other than mentioned in cash and cash equivalents Trade receivables Financial liabilities Borrowings Trade payables Security deposit	Amount in Rs. Carrying Amount Fair Value Fair value FVTPL FVTOCI Amortised hierarchy
	- 24,620,348 - 24,620,348 Level 1 41,322,786 - - 41,322,786 Level 1 - - - Level 2 - 3,284,305 3,284,305 - - - 851,831 851,831 - 1,977,449 - - 1,977,448 -
	43,300,235 24,620,348 4,136,136 72,056,718
	- - 4,210,067 4,210,067 - 1,028,177 - - 1,028,177 - - - 897,381 897,381 Discounted cash flow method
	1,028,177 - 5,107,448 6,135,625

-- 115 --

Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

As on 31st March, 2019: Particulars Financial assets Non current: Investments in equity instruments (other than associates) Current: Investments in equity instruments Investments in mutual funds Cash and cash equivalents Bank balance other than mentioned in cash and cash equivalents Trade receivables Financial liabilities Borrowings Trade payables Security deposit	Amount in Rs. Carrying Amount Fair Value Fair value FVTPL FVTOCI Amortised hierarchy
	- 30,133,261 - 30,133,261 Level 1 64,663,139 - - 64,663,139 Level 1 - - - - Level 2 - 860,102 860,102 - - - 1,030,390 1,030,390 - 3,662,760 - - 3,662,760 -
	68,325,900 30,133,261 1,890,492 100,349,653
	- - 2,171,396 2,171,396 - 829,003 - - 829,003 - - - 6,238,437 6,238,437 Discounted cash flow method
	829,003 - 8,409,833 9,238,836

Key inputs:

• Listed equity investments (other than subsidiaries, joint ventures and associates): quoted bid price on stock exchange (Level 1)

• Mutual funds: based on net asset value of the scheme (Level 2)

• The management assessed that fair value of cash and bank balances, trade receivables, loans, trade payables, borrowings, other financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

• During the reporting period ending 31st March, 2020 and 31st March, 2019, there was no transfer between Level 1 and Level 2 fair value measurement.

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

Note - 38

Financial instruments : financial risk management

The Company’s activities exposes it to various risk such as market risk, liquidity risk and credit risks. This section explains the risks which the Company is exposed to and how it manages the risks.

The board of directors (‘board’) oversee the management of these risks through its audit committee The company’s risk management policy has been formulated by the audit committee and approved by the board. The policy articulates on the company’s approach to address uncertainties in its endeavor to achieve its stated and implicit objectives. It also prescribes the roles and responsibilities of the company’s management, the structure for managing risks and the framework for risk management. The framework seeks to identify, assess and mitigate risks in order to minimize potential adverse effects on the company’s financial performance.

The board of directors reviews and agrees on policies for managing each of these risks, which are summarized below. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk.

Risk	Exposure arising from	Measurement	Management
Credit Risk	Trade receivables, Other Cash	Credit ratings and	Diversification of
	and cash equivalents, Bank	Ageing analysis	counterparties, investment
	balances other than cash and		limits, check on
	cash equivalents, Security		counterparties basis credit
	deposits, Loans and other		rating and number of
	financial assets		overdue days
Liquidity Risk	Borrowings, Trade payables,	Maturity analysis	Preparing and monitoring
	Deposits from dealers and		forecasts of cash flows and
	other financial liabilities		maintaining sufficient cash
			and cash equivalents
Market Risk- Foreign	Financial assets and liabilities	Sensitivity analysis	Exposure limits
Exchange	denominated in other than
	functional currency
Market Risk- Price risk	Investment in equity	Sensitivity analysis	Strategic investment
	instruments
Market Risk- Interest	Security deposits	Sensitivity analysis	Periodical reset of interest
rate risk			rate linked to market

1 Credit risk

Credit risk is the risk of financial loss to the company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the company's receivable from customers and loans and advances.

The carrying amount of following financial assets represents the maximum credit exposure:

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

(i) Trade receivables

The Company's exposure to credit risk is influenced mainly by the individual characteristics of each customer in which it operates. Credit risk is managed through credit approvals, establishing credit limits and continuously monitoring the creditworthiness of customers to which the company grants credit terms in the normal course of business.

The Company has established a credit policy under which each customer is analysed individually for creditworthiness before the company's standard payment terms and conditions are offered.

All the trade receivables are realised well with in due dates. Accordingly, management is in the opinion that requirement of provision is not arrised.

As at 31st March, 2020, the ageing of trade receivables was as follows;

Particulars Neither past due nor impaired Due 1- 30 days Due 31- 90 days Due 90- 180 days Due 181- 365 days	31st March, 2020 31st March, 2019 Rs. Rs.
	- - - - 1,977,448 3,662,758 - - - -
	1,977,448 3,662,758

(ii) Financial assets other than trade receivables

Credit risk from balances with banks and financial institutions is managed by the CFO in accordance with it’s policy. Surplus funds are parked only within approved investment categories . Investment category is periodically reviewed by the company’s board of directors.

The company held cash and cash equivalents of Rs. 32.84 Lakhs as on 31st March, 2020 (Previous year ‘ Rs. 8.60 Lakhs). The cash and cash equivalent’s are held with bank counterparties with good credit ratings.

2 Liquidity risk

Liquidity risk is the risk that the company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damages to the company’s reputation.

Maturity profile of financial liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are gross and undiscounted, and include estimated interest payments and exclude the impact of netting agreements.

As on 31st March, 2020			Amount in Rs.
Particulars	Borrowings	Trade Payables	Other Financial Liabilities
(I) Carrying amount	4,210,067	1,028,177	897,381
(II) Contractual cash flow:
Less than 12 months	1,150,433	1,028,177	-
More than 12 months	3,059,634	-	897,381

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

As on 31st March, 2019 Particulars (I) Carrying amount (II) Contractual cash flow: Less than 12 months More than 12 months Matuiry profile of liquid financial assets Surplus fund Investments in Equity, Mutual Funds, Period 31st March, 2020 31st March, 2019	Borrowings Trade Payables Other Financial Liabilities Amount in Rs.
	2,171,396 829,003 6,238,437 706,566 829,003 - 1,464,830 - 6,238,437 Bonds and deposits etc Carrying Less than More than Amount 12 months 12 months
	79,658,051 41,322,786 38,335,265 107,475,810 64,663,139 42,812,671

Company's surplus funds are more than to total borrowings outstanding as on 31st March, 2020. Hence, the liquidity risk is very low.

3 Market risk

Market risk is the risk that changes in market prices - such as foreign exchange rates, interest rates and equity prices - will affect the company’s income or the value of its holdings of financial instruments. Market risk is attributable to all market risk sensitive financial instruments including foreign currency receivables and payables and long term debt. Management exposed to market risk primarily related to the market value of investments and interest rate risk. Thus, our exposure to market risk is function of investing and borrowing activities only.

4 Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate because of fluctuations in interest rates.

Exposure to interest rate risk

Company is not having interest rate risk arises from borrowings, as company is having borrowings with fixed interest rate. The interest rate profile the company’s interest bearing financial instruments as reported to the management of the company.

Particulars Rate of interest Kotak Mahindra Prime Ltd - car loan 9.36% Axis Bank Ltd - car loan 7.86%

Capital management

For the purpose of the company's capital management, capital includes issued capital and other equity reserves. The primary objective of the company's capital management is to maximise shareholders value. The company manages its capital structure and makes adjustments in the light of changes in economic environment and the requirements of the financial covenants.

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Informed Technologies India Limited

Annual Report 2019-2020

Notes to consolidated financial statements for the year ended 31st March, 2020

The Company monitors capital using debt to equity ratio.

The Company monitors capital using debt to equity ratio.
Noncurrent borrowings Current borrowings Gross debts Less: Cash and cash equivalents Net debts Total equity Adjusted net debt to equity ratio	As at As at 31st March, 2020 31st March, 2019 (Rs.) (Rs.)
	3,059,634 1,464,830 1,150,433 706,566 4,210,067 2,171,396 3,284,305 860,102 925,762 1,311,294 122,073,223 136,708,654 NA NA

Note - 39

Additional Information Details :

• 1 Event after reporting period:

• No adjusting or significant non-adjusting event have occurred between the 31st March, 2020 reporting date and the date of authorization.

• 2 Previous GAAP figures have been reclassified / regrouped wherever necessary to conform with financial statements prepared under Ind AS.

• 3 The outbreak of Coronavirus (COVID-19) pandemic globally and in India is causing significant disturbance and slowdown of economic activity. The Company has evaluated impact of this pandamic on its busniess operations and based on its review and current indicators of future economic conditions, there is no significant impact on its financial results.

Note - 40

Share of profit/(loss) of Associate company

Name of Associate	Extent of	Original	Share of post acquisition	Carrying amount of	Carrying amount of
	Holding(%)	cost of	Reserve and surplus	Investments
		Investment
			For the For the	For the	For the
			Year ended Year ended	Year ended	Year ended
			31st March 31st March	31st March	31st March
			2020 2019	2020	2019
Entecres Labs	27.96	10,487,880	1,035,507 1,116,972	13,714,917	12,679,410
Private Limited
As per our report of even date attached			For and on behalf of the Board of Directors
For Parekh Sharma & Associates
Chartered Accountants			Gautam P. Khandelwal	Nimis Sheth
Firm Regn. No. 129301W			Chairman	Director
			DIN 00270717	DIN 00482739
Sujesh Sharma			Roshan Dsouza	Reena Yadav
Partner			Chief Financial Officer	Company Secretary
M.No. :118944				(ICSI Reg.No. A36429)
Mumbai : Date: 31st July 2020			Mumbai : Date: 31st July	2020

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Informed Technologies India Limited

Annual Report 2019-2020

FINANCIAL YEAR ENDED 31ST MARCH, 2020

FORM AOC-1

Part "B": Associates and Joint Ventures

Statement pursuant to first proviso to sub- section(3) of section 129 of the companies Act 2013, read with rule 5 of Companies (accounts) Rules, 2014 in the prescribed Form AOC-1 related to Associate Companies and Joint Ventures.

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(In ` )
Sr No Name of the Associate Company M/s. Entecres Labs
Private Limited
1 Latest Audited Balance Sheet date 31st March,2020
2 Shares of Associates/Joint ventures held by the Company on the year end 27.96%
No's 4,680
3 Amount of investment in Associates/Joint ventures (Rs.) 10,487,880
4 Description of how there is significant influence Associate
5 Reason why the Associate/Joint venture is not consolidated Consolidated
6 Net worth attributable to share holding as per
latest audited Balance sheet (Rs) 7,279,514
Profit & Loss for the year (Rs.) 3,703,531
i. Considered in Consolidation (Rs.) 1,035,507
ii. Not considered in Consolidation (Rs.) 2,668,024
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Notes:

Names of the subsidiaries which are yet to commence operations:- Nil

Names of subsdiaries which have been liquidated or sold during the year:- Nil

As per our report of even date attached For and on behalf of the Board of Directors For Parekh Sharma & Associates Chartered Accountants Gautam P. Khandelwal Nimis Sheth Firm Regn. No. 129301W Chairman Director DIN 00270717 DIN 00482739 Sujesh Sharma Roshan Dsouza Reena Yadav Partner Chief Financial Officer Company Secretary M.No. :118944 (ICSI Reg.No. A36429) Mumbai : Date: 31st July 2020 Mumbai : Date: 31st July 2020

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Informed Technologies India Limited `Nirmal’, 20th Floor, Nariman Point, Mumbai – 400 021 Cin: L99999MH1958PLC011001 Website: www.informed-tech.com