Khandelwal Extraction Ltd. — Annual Report 2023

Aug 28, 2023

KHANDELWAL EXTRACTIONS LTD.

51/47 , NAYAGANJ, KANPUR-208001 Phones: 2313195, 2319610 Mobile No.: 09415330630 Email Id : kelknp@yahoo.com Website: www.khandelwalextractions.com CIN : L24241UP1981PLC005282

Ref. No. HO/SECY/23-24/33/

28[th] August, 2023

To, The Listing Manager BSE Ltd. The Department of Corporate Services PJ Towers, Dalal Street MUMBAI -400001 Scrip Code: 519064 ISIN No: INE687W01010 Listing Centre: listing.bseindia.com

Sub: 41[st] Annual Report FY 2022-23

Dear Sir/Ma’am,

Pursuant to Regulation 34(1) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, please find enclosed herewith the 41[st] Annual Report of the Company for the F.Y. 2022-23 along with notice of the 41[st] Annual General Meeting of the Company to be held on Saturday, 23[rd] September, 2023 at 4:00 PM at 50 MIG Bungalow, W Block, Keshav Nagar, Kanpur-208014.

41[st] Annual Report of the Company for the F.Y. 2022-23 along with notice of the 41st Annual General Meeting of the Company is also available on the website of the company at https://khandelwalextractions.com/financial_result/Annual_Report22_23.pdf

Please take it on record.

Thanking You.

Yours faithfully, For Khandelwal Extractions Limited

SATYANS Digitally signed by SATYANSHA DUBEY HA DUBEY Date: 2023.08.28 15:38:27 +05'30'

Satyansha Dubey Company Secretary and Compliance Officer M.No.: A67216

KHANDELWAL EXTRACTIONS LIMITED

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41st ANNUAL REPORT 2022-2023

KHANDELWAL EXTRACTIONS LIMITED

BOARD OF DIRECTORS

K. N. KHANDELWAL - Chairman V. N. KHANDELWAL - Whole Time Director (Works) DINESH KHANDELWAL - Whole Time Director (Finance) & CFO ASHOK GUPTA - Independent Director ATUL BAGLA - Independent Director ANIL KAMTHAN - Independent Director till 12-11-2022 REKHA KEJRIWAL - Independent Director

COMPANY SECRETARY

MOHIT SRIVASTAVA till 12-08-2022 SATYANSHA DUBEY w.e.f. 13-08-2022 REGISTERED OFFICE : 51/47, NAYAGANJ, KANPUR – 208 001

CIN : L24241UP1981PLC005282 Website : www.khandelwalextractions.com Email : kelknp@yahoo.com

WORKS :

AKRAMPUR – MAGARWARA DISTT. UNNAO (UTTAR PRADESH)

AUDITORS :

M/S. P. L. TANDON & CO., KANPUR

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CONTENTS
NOTICE 1-2
DIRECTORS' REPORT 3-4
SECRETARIAL AUDIT REPORT 5
INDEPENDENT AUDITOR'S REPORT 6
ANNEXURE-A 7
ANNEXURE-B 8
BALANCE SHEET 9
PROFIT & LOSS ACCOUNT 10
CASH FLOW STATEMENT 11
STATEMENT OF CHANGES IN EQUITY 12
NOTES TO FINANCIAL STATEMENT 13-26
ATTENDANCE SLIP & PROXY FORM 27
ROUTE MAP OF AGM 28
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KHANDELWAL EXTRACTIONS LIMITED

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MIG Bungalow, W Block, Keshav Nagar, Kanpur-208014 on Saturday, the 23NOTICE is hereby given that the 41 NOTICE st Annual General Meeting of Khandelwal Extractions Ltd. will be held at 50 rd September, 2023 at 4:00 P.M,to l) SEBI vide its notification dated January 24, 2022 has mandated that all requests for transfer of securities view of the same and to eliminate all risks associated with physical shares and avail various benefits of including transmission and transposition requests shall be processed only in dematerialized form. In
transact the following business: dematerialisation, Members are advised to dematerialise the shares held by them in physical form.
ORDINARY BUSINESS: m) In terms of Section 108 of the Companies Act 2013 read with relevant applicable rules and pursuant to
1. To receive, consider and adopt the Audited Financial Statements of the Company for the financial year Regulation 44 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the
ended 31st March, 2023 and Report of the Board of Directors and Auditors' thereon. Company has made arrangement of e -voting through CDSL. Members have option to cast their vote by
2. To appoint a Director in place of Shri Dinesh Khandelwal (DIN: 00161831),who retires by rotation and using electronic voting system from a place other than the venue of the meeting (remote e-
being eligible offers himself for re-appointment. voting).Members who wish to cast the vote at AGM shall be provided a Ballot to cast their vote. The
SPECIAL BUSINESS members who have cast their vote by remote e-voting may also attend the meeting but shall not be
To consider and if thought fit, to pass with or without modification(s), the following resolution(s) entitled to cast/change their vote again in the meeting. Information and instructions relating to e-voting
As Special Resolution: 3. Re-appointment of Shri Vishwa Nath Khandelwal as Whole-time Director (Works) herewith.are provided at end of the notice. The details of User ID and Password relating to e-voting are sent
NOTES: a) Company Secretary and Compliance Officerthings as may be considered necessary, desirable or expedient to give effect to this resolution.”Company Secretary of the Company, be and are hereby authorized to do all such acts, deeds, matters and “RESOLVED FURTHER THAT be and is hereby appointed as an Independent Director of the Company, not liable to retire by rotation, for a term of five consecutive years commencing from 12.08.2023.” Securities and Exchange Board of India (Listing Obligation and Disclosure Requirements) Regulations, 2015 meets the criteria for independence as provided under Section 149(6) of the Act and Regulation 16(1)(b) of the Pandey, who holds office of Additional Independent Director up to the date of Annual General Meeting and who recommendation of the Nomination & Remuneration Committee and the Board of Directors, Mr. Prakhar (Appointment and Qualification of Directors) Rules, 2014, as amended from time to time, and pursuant to the statutory modification(s) or re-enactment(s) thereof, for the time being in force) and the Companies provisions, if any, of the Companies Act, 2013 (“the Act”) read with Schedule IV to the Act (including any “RESOLVED FURTHER THAT Director of the Company.” office expires at this Annual General Meeting and in respect of whom the Company has received a notice in writing from a member proposing his candidature for the office of Director be and is hereby appointed as Act, 2013 read with Companies (Appointment and Qualification of Directors) Rules, 2014 and whose term of Company by the Board of Directors with effect from 12.08.2023 in terms of Section 161 (1) of the Companies Resolution: “RESOLVED THAT To consider and if thought fit, to pass with or without modification(s), the following Resolution as Special 4. things as may be considered necessary, desirable or expedient to give effect to this resolution.”Company secretary of the Company, be and are hereby authorized to do all such acts, deeds, matters and “the Explanatory Statement attached to the notice.”the terms and conditions as recommended by Nomination and Remuneration Committee and as contained in for compliance of Section 152 (6) of the Companies Act, 2013, for five (5) years with effect from 01.04.2024, on Khandelwal (DIN: 00161893), designated as Whole-time Director (Works), not liable to retire by rotation except consent of the members of the Company be and is hereby accorded for the re-appointment of Mr. Vishwa Nath re-enactment(s) thereof for the time being in force), read with Schedule V to the Companies Act, 2013, the other applicable provisions, if any and the Rules made thereunder (including any statutory modification(s) or “RESOLVED THAT Regd. Office:51/47, Nayaganj, Kanpur – 208 001 Dated: 12th August, 2023 RESOLVED FURTHER THATAppointment of Mr. Prakhar Pandey (DIN 09193170) as an Independent Director of the Company. The Explanatory Statement(s) pursuant to Section 102 of the Companies Act, 2013 (“the Act”), with Mr. Prakhar Pandey (DIN 09193170) who was appointed as an Additional Director of the pursuant to the provisions of Section 196, 197, 203 of The Companies Act, 2013 and any the Board of Directors of the Company (including its Committee thereof) and /or the Board of Directors of the Company (including its committee thereof) and/or pursuant to the provisions of Sections 149, 152 and other applicable By order of the Board of Directors Satyansha Dubey M.No. : A67216 (i) Step 2 Step 1 THE INTRUCTIONS OF SHAREHOLDERS FOR REMOTE E-VOTING: v) u) t) s) r) q) p) o) n) The voting period begins on 20All documents referred to in the accompanying notice shall be open for inspection at the registered office In compliance with the MCA vide circular dated May 5, 2022 read with Circulars dated April 8, 2020, April A Route Map showing directions to reach the venue of AGM is attached at the end of this Annual Report as Register of Directors and KMP and their Shareholding maintained u/s 170, Register of contracts and Subject to receipt of requisite number of votes, the Resolutions shall be deemed to be passed on the date The scrutinizer after scrutinizing the votes cast at the meeting and through remote e-voting, will, not later The Company has appointed M/s. Banthia & Co. (Prop. Mr. G.K. Banthia) of Kanpur, Practicing Company The voting rights of the members shall be in proportion to their shares of the paid up share capital of the In case of joint holders attending the Meeting, only such joint holder who is higher in the order of names dematerialized form, as on the cut-off date 16P.M.) Time. During this period shareholders' of the Company, holding shares either in physical form or in non-individual shareholders in demat mode. shares in demat mode.Annual General Meeting.of the Company between 02:00 pm to 04:00 pm on all working days except Saturday upto the date of www.bseindia.com and website of CDSL at www.evotingindia.com. www.khandelwalextractions.com. The notice can also be accessed from the website of BSE Limited at Annual Report 2022-23 will also be available on the Company's website addresses are registered with the Company/ Depositories. Members may note that the Notice and the Annual Report 2022-23 is being sent only through electronic mode to those Members whose email circulars dated May 12, 2020 and January 15, 2021 Electronic copy of the Notice of the AGM along with 13, 2020, May 05, 2020 and January 13, 2021 and SEBI vide its Circular dated May 13, 2022 read with per the requirement of the Secretarial Standard -2 on General Meetings.AGM.arrangements in which Directors are interested u/s 189 shall be open for inspection of the member during of the Meeting, i.e.23www.evotingindia.com. The results will simultaneously be communicated to the Stock Exchange(s).placed on the website of the Company www.khandelwalextractions.com and on the website of CDSL same to the Chairman. The results declared along with the consolidated scrutinizer's report shall be than three days of conclusion of the meeting, make a consolidated scrutinizer's report and submit the transparent manner who have consented to be available for the same. Secretaries (C.P. No. 1405) as the Scrutinizer for conducting the e-voting and polling process in fair and time.scrutinized and report thereon will be prepared in accordance with Section 109 of the Companies Act, 2013 read with the Companies (Management and Administration) Rules, 2014 as amended from time to Company as on the cut off date i.e.will be entitled to vote.: Access through Depositories CDSL/NSDL e-Voting system in case of individual shareholders holding : Access through CDSL e-Voting system in case of shareholders holding shares in physical mode and rd September, 2023.th September, 2023(10:00 am) and ends on 22 16th September, 2023 th September, 2023 may cast their vote electronically. The e-.The poll process shall be conducted and nd September, 2023(5:00
respect to the Special Businesses set out in the Notice is annexed hereto. voting module shall be disabled by CDSL for voting thereafter.
b) A MEMBER ENTITLED TO ATTEND AND VOTE AT THE ANNUAL GENERAL MEETING (THE (ii) Shareholders who have already voted prior to the meeting date would not be entitled to vote at the
HERSELF AND SUCH PROXY NEED NOT BE A MEMBER OF THE COMPANY.“MEETING”) IS ENTITLED TO APPOINT A PROXY TO ATTEND AND VOTE INSTEAD OF HIMSELF / A person can act as (iii) Pursuant to SEBI Circular No. meeting venue. SEBI/HO/CFD/CMD/CIR/P/2020/242 dated 09.12.2020, under
proxy on behalf of members not exceeding 50 (fifty) and holding in aggregate not more than 10% of total Regulation 44 of Securities and Exchange Board of India (Listing Obligations and Disclosure
share capital of the company carrying voting rights. A member holding more than ten percent of the total Requirements) Regulations, 2015, listed entities are required to provide remote e-voting facility to its
share capital of the Company carrying voting rights may appoint a single person as proxy and such shareholders, in respect of all shareholders' resolutions. However, it has been observed that the
person shall not act as a proxy for any other person or shareholder. The instrument of proxy in order to be participation by the public non-institutional shareholders/retail shareholders is at a negligible level.
effective must be received by the Company not less than 48 hours before the commencement of the Currently, there are multiple e-voting service providers (ESPs) providing e-voting facility to listed entities
annual general meeting. A Proxy form is annexed herewith and same is available on the Company's in India. This necessitates registration on various ESPs and maintenance of multiple user IDs and
website www.khandelwalextractions.com. Proxies submitted on behalf of the Companies must be passwords by the shareholders.
supported by an appropriate resolution/authority as applicable. In order to increase the efficiency of the voting process, pursuant to a public consultation, it has been
c) The Register of members and Share Transfer books of the Company will remain closed from 17thSeptember, 2023 to 23rd September, 2023 (both days inclusive). through their demat accounts/ websites of Depositories/ Depository Participants decided to enable e-voting to all the demat account holders , by way of a single login credential, . Demat account
d) Brief resume of the Director proposed to be re-appointed along with such other details as stipulated under holders would be able to cast their vote without having to register again with the ESPs, thereby, not only
Regulation 36(3) of SEBI Listing Regulations, as amended, and Secretarial Standards on General facilitating seamless authentication but also enhancing ease and convenience of participating in e-voting
Meetings (SS-2), are provided in this Notice. process.
e) The Company has entered into necessary arrangements with National Securities Depository Limited Step 1 : Access through Depositories CDSL/NSDL e-Voting system in case of individual shareholders holding
(NSDL) and Central Depository Services (India) Limited (CDSL) to enable the shareholders to shares in demat mode.
dematerialize their shareholding in the Company for which they may contact the Depository Participant of (iv) In terms of SEBI circular no. SEBI/HO/CFD/CMD/CIR/P/2020/242 dated December 9, 2020 on e-
the above Depositories. The Company's ISIN No. is INE687W01010. Voting facility provided by Listed Companies, Individual shareholders holding securities in demat mode
f) Members are requested to lodge Share Transfer documents and all other correspondences and queries are allowed to vote through their demat account maintained with Depositories and Depository
relating to Share Transfer, Share Certificates, Change of Address etc., to the Company's Registrar and Participants. Shareholders are advised to update their mobile number and email Id in their demat
Transfer Agent (“RTA”) i.e. M/s Alankit Assignments Limited having its office at Alankit House, 4E/2, accounts in order to access e-Voting facility.
Jhandelwalan Extension, New Delhi - 110055 Pursuant to abovesaid SEBI Circular , Login method for e-Voting for Individual shareholders holding securities
g) Members are requested to register/update/intimate changes, if any, pertaining to their name, postal in Demat mode CDSL/NSDLis given below:
bank mandates, demat account details, nominations, etc., in following manner. address, email address, telephone/mobile numbers, Permanent Account Number (PAN), signature, Type of shareholders Login Method
a. For shares held in physical form, to the Company/ RTA in prescribed Form ISR-1 and other forms
b. For shares held in electronic form, to their Depository Participants (“DPs”)www.khandelwalextractions.com. 2021. All the prescribed forms can be downloaded from the Company's website at pursuant to the SEBI Circular No. SEBI/HO/MIRSD/ MIRSD_RTAMB/CIR/2021/655 dated November 3, Individual Shareholders holding securities in Demat mode with CDSL Depository 2) 1) After successful login the Easi / Easiest user will be able to see the e-Voting option for eligible companies where the are requested to visit cdsl website www.cdslindia.com and click on login icon & New System Myeasi Tab.will be made available to reach e-Voting page without any further authentication. The users to login to Easi / Easiest Users who have opted for CDSL Easi / Easiest facility, can login through their existing user id and password. Option
h) Pursuant to the provisions of SEBI circular no. SEBI/HO/MIRSD/MIRSDPoD-1/P/CIR/2023/37 dated evoting is in progress as per the information provided by company. On clicking the evoting option, the user will be
March 16, 2023 w.r.t “Common and Simplified norms for processing investor's service requests by RTAs able to see e-Voting page of the e-Voting service provider for casting your vote during the remote e-Voting period or
and norms for furnishing PAN, KYC details and Nomination”, all the shareholders holding shares in joining virtual meeting & voting during the meeting. Additionally, there is also links provided to access the system of
physical form are requested to approach for furnishing their PAN, Nomination, Contact details, Bank all e-Voting Service Providers, so that the user can visit the e-Voting service providers' website directly.
Account Details and specimen signature for their corresponding folio numbers etc. To the Registrar and 3) If the user is not registered for Easi/Easiest, option to register is available at cdsl website www.cdslindia.com and
Transfer Agent of the Company (“RTA”) viz. M/s Alankit Assignments Limited in the format/mode as click on login & New System Myeasi Tab and then click on registration option.
form are requested to approach their respective depository participants for updating above mentioned Company as per the above mentioned SEBI Circular. Shareholders holding shares in dematerialized document/details are not available on or after October 01, 2023, shall be frozen by the RTA of the 91-11-4254 1234, E-mail:rta@alankit.com. Please note that the folios wherein any of the above cited Company at Alankit House, 4E/2, Jhandelwalan Extension, New Delhi - 110055 or contact via Phone: prescribed under above mentioned SEBI Circular. The shareholders can also reach the RTA of the 4) Service Providers.see the e-Voting option where the evoting is in progress and also able to directly access the system of all e-Voting registered Mobile & Email as recorded in the Demat Account. After successful authentication, user will be able to Voting link available on www.cdslindia.com home page. The system will authenticate the user by sending OTP on Alternatively, the user can directly access e-Voting page by providing Demat Account Number and PAN No. from a e-
details. 1) If you are already registered for NSDL IDeAS facility, please visit the e-Services website of NSDL. Open web browser
j) i) In line with the Ministry of Corporate Affairs (MCA) Circular No. 17/2020 dated April 13, 2020, the Notice As per the provisions of Section 72 of the Act and SEBI Circular dated November 3, 2021, the facility for The Notice can also be accessed from the websites of the Stock Exchanges i.e. BSE Limited respectively calling the AGM has been uploaded on the website of the Company at www.khandelwalextractions.com. the RTA in case the shares are held in physical form. said details to their Depository Participant in case the shares held by them in dematerialized form and to from the Company's website www.khandelwalextractions.com. Members are requested to submit the may submit the same in Form ISR-3 or SH-14 as the case may be. The said forms can be downloaded 13. If a Member desires to opt out or cancel the earlier nomination and record a fresh nomination, he/she have not yet registered their nomination are requested to register the same by submitting Form No. SH-making nomination is available for the Members in respect of the shares held by them. Members who Individual Shareholders holding securities in demat mode with NSDL Depository 3) 2) “Login” which is available under 'Shareholder/Member' section. A new screen will open. You will have to enter your either on a Personal Computer or on a mobile. Once the home page of e-Voting system is launched, click on the icon Visit the e-Voting website of NSDL. Open web browser by typing the following URL: https://www.evoting.nsdl.com/ Select “Register Online for IDeAS “Portal or click at https://eservices.nsdl.com/SecureWeb/IdeasDirectReg.jspIf the user is not registered for IDeAS e-Services, option to register is available at https://eservices.nsdl.com. directed to e-Voting service provider website for casting your vote during the remote e-Voting period.you will be able to see e-Voting page. Click on company name or e-Voting service provider name and you will be re-authentication, you will be able to see e-Voting services. Click on “Access to e-Voting” under e-Voting services and 'IDeAS' section. A new screen will open. You will have to enter your User ID and Password. After successful home page of e-Services is launched, click on the “Beneficial Owner” icon under “Login” which is available under by typing the following URL: https://eservices.nsdl.com either on a Personal Computer or on a mobile. Once the
and the AGM Notice is also available on the website of CDSL(agency for providing Remote e-Voting User ID (i.e. your sixteen digit demat account number hold with NSDL), Password/OTP and a Verification Code as
facility) i.e. www.evotingindia.com. shown on the screen. After successful authentication, you will be redirected to NSDL Depository site wherein you
k) The Members may further note that SEBI vide its circular dated January 25, 2022, has mandated the website of the Company at www.khandelwalextractions.com. It may be noted that any service requested service request by submitting a duly filled and signed form ISR-4 format of which is available on the securities certificates/folios, Transmission, Transposition. Accordingly, Members are requested to make Securities certificate, Endorsement, Sub-division/ Splitting of securities certificate, Consolidation of Issue of duplicate securities certificate, claim from Unclaimed Suspense Account, Renewal/Exchange of listed companies to issue the securities in dematerialized form only, while processing the requests for Individual Shareholders (holding securities in demat mode) login through their Depository Participants(DP) to e-Voting service provider website for casting your vote during the remote e-Voting period.you can see e-Voting feature. Click on company name or e-Voting service provider name and you will be redirected on e-Voting option, you will be redirected to NSDL/CDSL Depository site after successful authentication, wherein with NSDL/CDSL for e-Voting facility. After Successful login, you will be able to see e-Voting option. Once you click You can also login using the login credentials of your demat account through your Depository Participant registered Votincan see e-Voting page. Click on company name or e-Voting service provider name and you will be redirected to e-g service provider website for casting your vote during the remote e-Voting period.
can be processed only after the folio is KYC compliant.
01
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KHANDELWAL EXTRACTIONS LIMITED

Important note:Members who are unable to retr and Forget Password option available at abovem Helpdesk for Individual Shareholders holding se login through Depository i.e. CDSL and NSDL	ieve Us entioned curities	er ID/ Password are advised to use Forget User ID website. in demat mode for any technical issues related to
Login type	Help	desk details
Individual Shareholders holding securities in Demat mode with CDSL	Memb conta helpd free n	ers facing any technical issue in login can ct CDSL helpdesk by sending a request at esk.evoting@cdslindia.com or contact at toll o. 1800225533
Individual Shareholders holding securities in Demat mode with NSDL	Memb conta evotin 022 - 2	ers facing any technical issue in login can ct NSDL helpdesk by sending a request at g@nsdl.co.in or call at : 022 - 4886 7000 and 499 7000
Step 2: Access through CDSL e-Voting system in non-individual shareholders in demat mod (v) Login method for Remote e-Voting fo individual holding in Demat form. 1) The shareholders should log on to the e-voting 2) Click on “Shareholders” module. 3) Now enter your User ID a. For CDSL: 16 digits beneficiary ID,	case o e. rPhysi website	f shareholders holding shares in physical mode and cal shareholders and shareholders other than www.evotingindia.com.

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

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

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

5) If you are h earlier e-vot 6) If you are a f	olding shares in demat form and had logged on to ing of any company, then your existing password is to irst-timeuser follow the steps given below:	www.evotingindia.comand voted on an be used.
	For Physical shareholders and oth shareholders holding shares in De	er than individual mat.
PAN	Enter your 10digit alpha -numeric *P	AN issued by Income Tax
	Department (Applicable for both dem	at shareholders as well as
	physical shareholders)
	· Shareholders who have not up	dated their PAN with the
	Company/Depository Participa	nt are requested to use the
	sequence number sent by C	ompany/RTA or contact
	Company/RTA.
Dividend	Enter the Dividend Bank Details or	Date of Birth (in dd/mm/yyyy
Bank	format) as recorded in your demat ac	count or in the company
Details	records in order to login.
OR Date	· If both the details are not recor	ded with the depository or
of Birth	company, please enter the me	mber id / folio number in the
(DOB)	Dividend Bank details field.

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

• (vii) Shareholders holding shares in physical form will then directly reach the Company selection screen. However, shareholders 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.

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

• (ix) Click on the EVSN for the resolutions of Khandelwal Extractions Limited on which you choose to vote.

• (x) 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.

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

• (xii) 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.

• (xiii) Once you “CONFIRM” your vote on the resolution, you will not be allowed to modify your vote. (xiv) You can also take a print of the votes cast by clicking on “Click here to print” option on the Voting page.

• (xv) 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.

• (xvi) There is also an optional provision to upload BR/POA if any uploaded,which will be made available to scrutinizer for verification.

• (xvii) Additional Facility for Non – Individual Shareholders and Custodians –For Remote Voting only. · 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 in the “Corporates” module.

• · 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 will be mapped automatically & can be delink in case of any wrong mapping.

• · It is Mandatory that, 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.

• · Alternatively Non Individual shareholders are required mandatory to send the relevant Board Resolution/ Authority letter etc. together with attested specimen signature of the duly authorized signatory who are authorized to vote, to the Scrutinizer and to the Company at the email address viz kelknp@yahoo.com, if they have voted from individual tab & not uploaded same in the CDSL e-voting system for the scrutinizer to verify the same.

• PROCESS FOR THOSE SHAREHOLDERS WHOSE EMAIL/MOBILE NO. ARE NOT REGISTERED WITH THE COMPANY/DEPOSITORIES. 1. For Physical shareholders- please provide necessary details like Folio No., Name of shareholder, scanned copy of the share certificate (front and back), PAN (self attested scanned copy of PAN card), AADHAR (self attested scanned copy of Aadhar Card) by email to Company/RTA email id.

• 1. For Demat shareholders -, Please update your email id & mobile no. with your respective Depository Participant (DP)
• 1. For Individual Demat shareholders – Please update your email id & mobile no. with your respective Depository Participant (DP) which is mandatory while e-Voting & joining virtual meetings through Depository. If you have any queries or issues regarding e-Voting from the CDSL e-Voting System, you can write an email to helpdesk.evoting@cdslindia.com or contact at toll free no. 1800 22 55 33

All grievances connected with the facility for voting by electronic means may be addressed to Mr. Rakesh Dalvi, Sr. Manager, (CDSL, ) Central Depository Services (India) Limited, A Wing, 25th Floor, MarathonFuturex, Mafatlal Mill Compounds, N M Joshi Marg, Lower Parel (East), Mumbai - 400013 or send an email to helpdesk.evoting@cdslindia.com or call at toll free no. 1800 22 55 33

EXPLANATORY STATEMENT PURSUANT TO SECTION 102(1) OF THE COMPANIES ACT, 2013 Item No. 3

Mr. Vishwa Nath Khandelwal, aged 75 years who has been associated with the Company's activities since accorded by members of the Company in the 36inception, has been holding office in the capacity of Whole-Time Director (Works) in terms of approval th Annual General Meeting held on 29th September, 2018 for a period of 5 years w.e.f. 01.04.2019. His present tenure would expire on 31.03.2024. The Board of Directors on the basis of recommendation of Nomination and Remuneration Committee has re-appointed him as WholeTime Director (Works) for another period of five (5) years w.e.f 01.04.2024 on the remuneration package which is within the maximum permissible limit under Schedule V of the Companies Act, 2013. Fresh approval of the members by way of Special Resolution is being sought for the same. The Nomination and Remuneration Committee/Board of Directors has recommended the re- appointment of Mr. Vishwa Nath Khandelwal, aged 75 years, as the Whole-Time Director (Works) of the Company, considering his rich experience, expertise and contribution in the growth of the Company. The followings are the terms and conditions as regards to salary and perquisites payable to him: i) Salary: Rs.30000/- per month

Category –A:

a) Provident Fund: Company's contribution to Provident Fund will not be included in the computation of the ceiling on perquisite to the extent these, either singly or put together are not taxable under the Income Tax Act.

Category – B:

Provision of Car and cell phone for use on Company's business will not be considered as perquisites. Use of car for private purpose shall be billed by the Company. He shall not be entitled for any sitting fees for meeting of the Board or of any committee thereof attended by him .In the event of loss or inadequacy of profits in any financial year(s), the aforesaid remuneration shall be paid as minimum remuneration in accordance with the provisions of Companies Act, 2013. The Board of Directors may revise upwards, the remuneration from time to time, within the maximum permissible limit under Schedule V of the Companies Act, 2013, but not exceeding Rs. 60000/- p.m. excluding perquisites.

Board of Directors may revise upwards, permissible limit under Schedule V of the excluding perquisites.	the remuneration from time to time, within the maximum Companies Act, 2013, but not exceeding Rs. 60000/- p.m.
No Director and Key Management Person Mr. Vishwa Nath Khandelwal being relative Brief particulars of Mr. Vishwa Nath Khande and Disclosure Requirements) Regulation terms of Secretarial Standards on General	nel, except Mr. K N Khandelwal, Mr. Dinesh Khandelwal, and to each other, are concerned and interested in the resolution. lwal pursuant to Regulation 36(3) of SEBI (Listing Obligations s, 2015 and additional information to be given to members in Meetings (SS-2) is given below:
Category A	WholeTimeDirector 75
ge Qualification D f fii h B	years M.Sc
ate o rst appontment on te oard Brief resume of Director	24.04.1981 Mr. Vishwa Nath Khandelwal is one of the promoter Directors and is associated with the Company since inception and having an experience of more than 40 years in managing solvent extraction plant. Further, he also has relevant expertise and proficiency in the matters related to lease and licensing and thus his contribution towards the Company is of utmost importance.He has been devoting full time and attention to the affairs of the Company and has been responsible for all the activities related to leasing of Godowns, supervision of assets and other related matters. His association with the Company has been veryfruitfuland beneficial.
Expertise in specific functional areas	Production and Quality Control, Activities related to leasing of Godowns, Supervisionofassets and other relatedmatters
Directorship/Membership/Chairmanship held in Committees of Board of other companies	Nil
Number of shares held in the Company	29650
Relationship with other directors inter-se	Brother of Mr. Kailash Nath Khandelwal and Mr. Dinesh Khandelwal
No. of Board meetings attended in theyear 2022-23	4(Four) outof 4(Four)
Remuneration last drawn	Detailsgiven in Form MGT-9

Item No. 4

On 12.08.2023, the Board of Directors of the Company appointed Mr. Prakhar Pandey (DIN :09193170) as an Additional Director (Independent) of the Company w.e.f. 12.08.2023 in accordance with the provisions of Section 161 of the Companies Act, 2013 to hold office upto this Annual General Meeting. In terms of Section 149 and 152 and any other applicable provisions of the Companies Act, 2013, Mr. Prakhar Pandey is proposed to be appointed as a Non-Executive Independent Director whose office is not liable to retire by rotation in the Annual General Meeting. Notice has been received from a member proposing his candidature for the office of Director of the Company. The Company has received a declaration from Mr. Prakhar Pandey confirming that he meets the criteria of independence under the Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Further, the Company has also received Mr. Prakhar Pandey's consent to act as a Director in terms of section 152 of the Companies Act, 2013 and a declaration that he is not disqualified from being appointed as a Director in terms of Section 164 of the Companies Act, 2013. In the opinion of the Board, Mr. Prakhar Pandey fulfils the conditions specified in the Companies Act, 2013 and rules made thereunder and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 for his appointment as an Independent Director of the Company and is independent of the management. Mr. Prakhar Pandey is the proprietor of Prakhar Pandey & Co., and is a Practicing Company Secretary. He has over 10 years of experience in Secretarial and Legal Compliances. He spent initial years of his career by working in renowned corporate Companies and Practicing Company Secretary Firms in order to enhance and upgrade his skills and knowledge in the field and then eventually switched to become a Company Secretary in Practice and owns his own firm at present. Mr. Prakhar Pandey has done his Graduation (B.Com) from P.P.N College, Kanpur and Bachelor of Law (LL.B) from Brahmanand College of Law, Kanpur. A brief profile of Mr. Prakhar Pandey, pursuant to Regulation 36 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and the Secretarial Standards on General Meetings (SS2), is provided at Annexure A to this Notice. Except Mr. Prakhar Pandey and/or his relatives, none of the Directors and Key Managerial Personnel of the Company and/or their relatives is/are concerned or interested, financially or otherwise, in the resolution set out at Item No. 4. The Board of Directors recommends the resolution proposing the appointment of Mr. Prakhar Pandey as an Independent Director of the Company, as set out in Item No. 4 for approval of the Members by way of a Special Resolution.

ANNEXURE – A' TO ITEM NO. 4 OF THE NOTICE

ANNEXURE – A' TO ITEM NO. 4 OF	THE NOTICE
Brief particulars of Mr. Prakhar Pan Disclosure Requirements) Regulatio of Secretarial Standards on General	dey pursuant to Regulation 36(3) of SEBI (Listing Obligations and ns, 2015 and additional information to be given to members in terms Meetings (SS-2) is given below:
Name of the Director	Mr. Prakhar Pandey
DIN	09193170
Nationality	INDIAN
Date of Appointment on the Board	12-08-2023
Qualification	Mr. Prakhar Pandey has done his Graduation (B.Com) from P.P.N College, Kanpur and Bachelor of Law(LL.B)from Brahmanand College of Law,Kanpur
Expertise in Specific functional area	Mr. Prakhar Pandey is the proprietor of Prakhar Pandey & Co., and is a Practicing Company Secretary. He has over 10 years of experience in Secretarial and Legal Compliances. He spent initial years of his career by working in renowned corporate Companies and Practicing Company Secretary Firms in order to enhance and upgrade his skills and knowledge in the field and then eventuallyswitched to become a CompanySecretaryin Practice and owns his own firm atpresent.
Number of shares held in the Company	NIL
List of directorship held in other Companies	NIL
Disclosure of Relationships between directors inter-se	Mr. Prakhar Pandey does not have any inter-se relationship with other directors of the company.
Number of Board Meeting attended during the year	Mr. Prakhar Pandey was appointed in the Board Meeting of the Company dated 12-08-2023.
Remuneration details(Paid in 2022-23)	None

02

KHANDELWAL EXTRACTIONS LIMITED

DIRECTORS' REPORT

	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
03 Dear Members, st Your Directors have pleasure in presenting Company's 41 Annual Report and Audited st Financial Statements for the financial year ended March 31 , 2023. 1. FINANCIAL RESULTS 2. HIGHLIGHTS OF PERFORMANCE During the year, the Company's working resulted in profit before interest and depreciation of Rs. 39.91 Lacs. After adjustment of Interest, depreciation and tax, the year resulted in profit of Rs. 19.48 lakhs as compared to the profit of Rs. 29.71 lakhs in the previous year. The Company's assessment under Income Tax Act, 1961 is completed upto A.Y. 2022-23 and there was no outstanding demand. Indian Accounting Standards (Ind-AS)–IFRS Converged Standards. The Company has adopted Indian Accounting Standards (Ind-AS) with effect from 1st April, 2017 pursuant to Ministry of Corporate Affairs' notification of the Companies (Indian Accounting Standard) Rules, 2015 and the Annual Accounts of 2022-23, has been drawn in terms of provisions of the Ind-AS. Future Outlook: The present lease agreements of Godowns of the Company given on rent are upto 14.11.2023 but the management expects possibilities of its further renewal. 3. TRANSFER TO RESERVES The Company has retained the amount of Rs. 19.48 lakhs in the Profit and Loss Account and no amount has been transferred to General Reserve. 4. DIVIDEND During the year, the Board of Directors do not recommend any dividend on Equity shares. 5. SHARE CAPITAL The Company's Authorized Capital remains unchanged at Rs. 200 Lakhs. The Paid up Equity Share Capital of the Company as on the date of Balance Sheet stands unchanged at Rs. 85,01,000/- (comprising of 8,50,100 Equity shares of Rs. 10/- each). 6. FIXED DEPOSITS Your Company has not invited any deposits during the financial year under review. 7. SUBSIDIARIES Your Company does not have any subsidiary within the meaning of the Companies Act, st 2013. During the financial year ended 31 March 2023, no entity became or ceased to be the subsidiary, joint venture or associate of the Company. 8. DIRECTORS AND KEY MANAGERIAL PERSONNEL a. In accordance with the provisions of Section 152 of the Companies Act, 2013 and Rules made thereunder, Mr. Dinesh Khandelwal (DIN: 00161831), Whole-time Director (Finance) & CFO retires by rotation at the ensuing Annual General Meeting and being eligible offers himself for re-appointment to the Board. The tenure of Mr. VIshwa Nath Khandelwal( DIN: 00161893) designated as st Whole-time Director (Works), who was appointed for five (5) years w.e.f 1 April, st 2019 will expire on 31 March 2024. The Board on the recommendation of Nomination and Remuneration Committee has recommended for his re- appointment as Whole-time Director (Works) for five (5) years period from 01.04.2024 on the remuneration detailed in the notice of AGM, subject to approval by members in the general meeting. Your Directors recommend the resolution for re-appointment of Mr. Vishwa Nath Khandelwal for your approval. Pursuant to the Companies (Appointment and Qualification of Directors) Fifth Amendment Rules, 2019, all Independent Directors have registered their name in the data bank of Independent Directors. All Independent Directors have given declarations of compliance of Rule 6(1) & (2) of Companies (Appointment and Qualification of Directors) Rules, 2014 as amended along with the declaration that they meet the criteria of independence as laid down under Section 149 (6) of the Companies Act, 2013. b. During the month of November 2022, the company got the information regarding the sad demise of Mr. Anil Kamthan , Independent Director of the Company. Pursuant to this casual vacancy, Mr. Anil Kamthan ceased to be the Independent Director of the Company w.e.f. 12.11.2022. The Board places on record its appreciation for the efforts and contribution received from Mr. Anil Kamthan during his tenure as the Independent Director of the Company and grieves about this loss. The Board also expresses their deep condolences to his family. His demise didn't affect the Composition of the Board and Committees of the Company and it remains in accordance with the applicable regulations. c. Mr. Mohit Srivastava resigned from the position of Company Secretary and Compliance Officer of the Company w.e.f 12.08.2022. The Board places on record its appreciation for the efforts and contribution received from Mr. Mohit Srivastava during his tenure as the Company Secretary and Compliance Officer of the Company. d. Ms. Satyansha Dubey was appointed as the Company Secretary and Compliance Officer of the Company w.e.f 13.08.2022. The aforesaid appointment was made pursuant to a detailed evaluation by the Nomination and Remuneration Committee members and their unanimous recommendation to the Board. e. Mr. Dinesh Khandelwal (DIN: 00161831), Whole-time Director (Finance) & CFO; Mr. Vishwa Nath Khandelwal (DIN: 00161893), Whole-time Director (Works) and Ms. Satyansha Dubey, Company Secretary and Compliance Officer are the Key Managerial Personnel of the Company. Ms. Satyansha Dubey holds the position of Company Secretary and Compliance Officer w.e.f 13.08.2022 subsequent to the resignation of Mr. Mohit Srivastava from the same post. 9. BOARD EVALUATION Pursuant to the provisions of the Companies Act, 2013; the Nomination and Remuneration Committee formulated the criteria for evaluation of the performance of the Board of Directors, its various Committees constituted as per the provisions of the Companies Act, 2013 and individual directors. Based on that, the Board of Directors carried out an annual evaluation of its own performance and of its various Committees viz. Audit Committee, Nomination and Remuneration Committee, Stakeholder Relationship Committee and Committee of Directors and expressed their satisfaction with its performance and performance of its Committees. The Board of Directors also evaluated the performance of individual Director on the basis of self-appraisal and expressed their satisfactory performance. The Board of Directors also carried out an annual performance evaluation of its Independent Directors and expressed their satisfaction with their functioning / performance. In terms of Schedule IV to the Companies Act, 2013, the Independent Directors also convened a separate meeting for this purpose and evaluated the performance of Chairman and Non- Independent Directors. 10. REMUNERATION POLICY The Board of Directors on the recommendation of the Nomination and Remuneration Committee has framed a policy which lays down a framework in relation to remuneration of Directors, Key Managerial Personnel and Senior Management of the Company. The Policy covers the criteria for selection and appointment of Board Members and senior management and their remuneration. The Company's Remuneration Policy is based on the principles of (i) Pay for Responsibility and Duties, (ii) Pay for Potential and (iii) Pay for growth of the Company. The Nomination and Remuneration Committee is vested with powers to determine yearly increments/salary increase of Executive Directors/ KMPs and one level below based on their performance and contribution towards profitability and sustainability of Company. Non Executive Directors are paid only sitting fee which is decided by Nomination & Remuneration Committee. 11. RISK MANAGEMENT POLICY The Company's business at present is limited to leasing out the godowns which have limited risk. As leasing to a renowned corporate entity has little risk. 12. INTERNAL CONTROL SYSTEM The Company has an adequate system of internal control relating to purchase/repairs & maintenance items commensurate with the size of the Company and nature of its business. The Company has also Internal Control System for speedy compilation of Accounts and Management Information Reports and to comply with applicable laws and regulations. The Company has a well defined organizational structure, authority levels and internal rules and regulations for conducting business transactions suitable to the size of the business. The Company has already formed an Audit Committee which met four times in a year. Audit Committee also ensures proper compliance with the provisions of The Companies Act, 2013 and also reviews the adequacy and effectiveness of the internal control environment and monitors implementation of internal audit recommendations. Besides the above, Audit Committee is actively engaged in overseeing financial disclosures and in reviewing your Company's risk management policies. 13. INTERNAL FINANCE CONTROLS In accordance with Section 134(5) (e) of the Companies Act, 2013, the Company has Internal Financial Controls Policy by means of policies and procedures commensurate with the size & nature of its operations and pertaining to financial reporting. In accordance with Rule 8(5) (viii) of Companies (Accounts) Rules, 2014, it is hereby confirmed that the Internal Financial Controls are adequate with reference to the financial statements. 14. WHISTLE BLOWER POLICY/ VIGIL MECHANISM The Company has a Whistle Blower Policy to report genuine concerns or grievances detrimental to the interest of the Company. The Whistle Blower Policy/ Vigil Mechanism has been posted on the website of the Company. 15. RELATED PARTY TRANSACTIONS All related party transactions that were entered into during the financial year were on an arm's length basis and in the ordinary course of business and the provisions of Section 188 of the Companies Act, 2013 are not attracted. There are no materially significant related party transactions made by the Company with Promoters, Directors, Key Managerial Personnel or other designated persons which may have a potential conflict with the interest of the Company at large. Thus, disclosure in Form AOC-2 was not required. Details of transactions made are disclosed in financial statements. All related party transactions are presented to the Audit Committee and the Board. Omnibus approval of Audit Committee was obtained for the transactions which are foreseen and repetitive in nature. 16. STATUTORY AUDITORS AND THEIR REPORT Pursuant to the provisions of Section 139 of the Companies Act, 2013 and the Rules made there under M/s. P.L. Tandon & Co., Kanpur, Chartered Accountants, (ICAI Registration No 000186C were appointed as the Statutory Auditors of the Company to hold office for five ) consecutive years starting from the conclusion of the 40th Annual General Meeting (AGM) held on September 24, 2022 until the conclusion of the 45th AGM of the Company to be held in year 2027. M/s. P.L. Tandon & Co.have confirmed their eligibility and qualification required under Sections 139, 141 and other applicable provisions of the Companies Act, 2013 and Rules issued thereunder (including any statutory modification(s) or re-enactment(s) thereof for DIRECTORS' REPORT (Rs. in Lakhs) Other Income 87.53 Profit before Interest and Depreciation 39.91 Less : Interest 5.70 Depreciation 2.94 Tax Expense (including Deferred Tax) 11.79 Profit after tax 19.48 Other Comprehensive Income/(Loss) - Total Comprehensive Income/(Loss) 19.48
		03

03

KHANDELWAL EXTRACTIONS LIMITED

the time being in force). M/s. P.L. Tandon & Co., Kanpur, Chartered Accountants, (ICAI Registration No 000186C), have given their consent for the proposed appointment as Statutory Auditors of the Company from the conclusion of the ensuing Annual General Meeting of the members of the Company. They have further confirmed that the said appointment, if made, would be within the prescribed limits under Section 141(3)(g) of the Companies act, 2013 and that they are not disqualified for appointment. Auditor's Report for the financial year ended 31There are no qualifications, reservations or adverse remarks or disclaimer made in the st March, 2023 which requires any clarification or explanation by the Board of Directors. 17. SECRETARIAL AUDIT REPORT Pursuant to the provisions of Section 204 of The Companies Act, 2013 and the Rules made were appointed to conduct the Secretarial Audit of the Company for the year ended 31there under, M/s. Banthia & Co, Practicing Company Secretary (CP No. 1405), Kanpur, st March, 2023.The Practicing Company Secretary has submitted his Report on the secretarial audit which is annexed as Annexure I to this Directors' Report. The Secretarial Audit Report does not contain any adverse observation or qualification requiring explanation or comments from the Board under Section 134(3) (f) of the Companies Act, 2013. Further, he has been duly re-appointed to conduct the Secretarial audit of the company for the Financial Year 2023-24. 18. DETAILS IN RESPECT OF FRAUDS REPORTED BY AUDITORS

Gupta, Chairman; Mr. K.N. Khandelwal and Mr. Dinesh Khandelwal met once on 25.03.2023 to take note of investor complaints/grievances. All the members of the said committee were present in the meeting.

• e. Independent Directors held a meeting on 25.03.2023 to assess /evaluate the performance of Chairman and Non-Independent Directors and concluded their satisfaction on their performances.

• iv. CORPORATE SOCIAL RESPONSIBILITY Corporate Social Responsibility is not applicable to the Company.

• v. DISCLOSURE UNDER SECTION 186: LOANS AND INVESTMENTS Loans and investments were made for deployment of surplus funds which are within the limits as prescribed u/s 186 of the Companies Act, 2013. Details are given in financial statements annexed in the Annual Report for F.Y. 2022-23.

• vi. CONSERVATION OF ENERGY Not Applicable.

• vii. TECHNOLOGY ABSORPTION Not Applicable.

viii. IMPORTS / EXPORTS AND FOREIGN EXCHANGE EARNINGS AND OUTGO There was no import/export and no foreign exchange earnings and outgo incurred during the year under review. ix. REMUNERATION PAID TO EXECUTIVE DIRECTORS AND KEY MANAGERIAL PERSONNAL Details of remuneration paid to Directors, KMPs are given in Form No. MGT-9 (available on the website of the Company). Further, details as required under Rule 5(1) of The Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014 read with section 197(12) of the Act, are same as per previous year. The Board appointed Ms. Satyansha Dubey as Company Secretary and Compliance Officer w.e.f 13.08.2022 on the recommendations of Nomination and Remuneration Committee. Her Remuneration was decided by the Nomination and Remuneration Committee which shall be subject to yearly performance evaluation and increment. Executive directors have been paid minimum remuneration as approved by the Shareholders. Non-executive Directors have been paid only sitting fees. There was no employee getting salary in excess of the limit as specified under Rule 5(2) of The Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014 read with section 197(12) of the Act, throughout or part of the year under review. x. SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013 No complaint has been received under the aforesaid Act during the year under reference.

Pursuant to the provisions of Section 143 (12) of the Companies Act, 2013, no instance of fraud has been reported by the auditors against the Company.

19. DIRECTORS' RESPONSIBILITY STATEMENT

• Pursuant to Section 134(5) of the Companies Act 2013, your Directors confirm that: a) in the preparation of the annual accounts, the applicable accounting standards have been followed with no material departure:

• b) 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 income of the Company for the same period;

• c) they have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013 for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

• d) they have prepared the annual accounts on a going concern basis; e) they have laid down internal financial controls in the Company that are adequate and are operating effectively; and

• f) they have devised proper systems to ensure compliance with the provisions of all applicable laws and that these are adequate and are operating effectively.

20. MATERIAL CHANGES AND COMMITMENTS

There are no material changes or commitments made by the Company affecting the financial position of the Company between the end of financial year and date of the Report .

24. ENVIRONMENT AND SAFETY

21. DETAILS OF SIGNIFICANT & MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR TRIBUNAL

In the present business there is no generation of pollution of any sort. Security personnel are duly employed for safety of godowns/assets.

No significant and material orders have been passed by any Regulator or Court or Tribunal impacting the going concern status and Company's operations in future. Although,Reassessment of VAT cases of the Company, Input credit partially allowed due to manufacturing Exempt Goods (Deoiled Rice Bran) for the F.Y. 2016-17 & 2017-18 were finalized as decided by department and tax liability of Rs. 24.24 Lacs has been assessed and adjusted against VAT refund due. The Company has filed appeal under Judicial authorities of the VAT Tax against these orders.

25. LISTING OF EQUITY SHARES

The Equity shares continue to be listed with BSE Ltd. The Company has paid the Annual Listing fee for the year 2022-23 to the said stock exchange.

26. DEMATERIALISATION OF SHARES/APPOINTMENT OF RTA

The Company has necessary arrangements with National Securities Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL) to enable the shareholders to dematerialize their shareholding in the Company for which they may contact the Depository Participant of the above Depository. The Company's ISIN No. is INE687W01010.

22. CHANGE IN THE NATURE OF BUSINESS

The Company had closed manufacturing operations in 2018. During the F.Y. 2021-22 all the plant and machineries and stores and spare parts have been sold. It has leased out all godowns at year end of the Company situated at Akrampur-Magarwara, Distt. Unnao. 23. STATUTORY DISCLOSURES: i. CORPORATE GOVERNANCE

M/s Alankit Assignments Limited, New Delhi continues as its Registrar and Share Transfer Agent (RTA) for providing services in respect of transfer and dematerialization of securities of the Company with NSDL/CDSL.

The Company is exempted from compliance of Corporate Governance provisions as per SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015.

27. MANAGEMENT DISCUSSSION AND ANALYSIS REPORT

The present leasing agreements of Godowns of the Company on rent are upto November 2023 and management expects for extension/renewal of the agreement.

ii. ANNUAL RETURN

28. COMPLIANCE WITH APPLICABLE SECRETARIAL STANDARD

Act, 2013 the Annual Return as on 31Pursuant to Section 92(3) read with Section 134(3)(a) of the Companies st March, 2023 is available on the w e b s i t e o f t h e C o m p a n y a n d c a n b e a c c e s s e d a t http://www.khandelwalextractions.com/announcements.html iii. MEETINGS OF THE BOARD AND COMMITTEES HELD DURING THE YEAR a. The Board of Directors met four times during the year on 28.05.2022, 13.08.2022, 12.11.2022 and 11.02.2023. All the Directors were present in all the meetings.

The Company has complied with the applicable Secretarial Standards, SS-1 on Meetings of the Board of Directors and SS-2, SS-3 and SS-4 on General Meetings and Board Meeting issued by the Institute of Company Secretaries of India.

29. ACKNOWLEDGMENT Your Directors thank all the Stakeholders including employees for their continued support to your Company.

b. The Audit Committee formed under Section 177 of Companies Act, 2013, consisting of Mr. Ashok Gupta, Chairman; Mr. Atul Bagla and Mr. K.N.Khandelwal met four times during the year on 28.05.2022, 13.08.2022, 12.11.2022 and 11.02.2023. All the members were FOR AND ON BEHALF OF THE BOARD present in all the meetings. c. During the year, Nomination and Remuneration Committee consisting of Mr. Ashok Gupta, Chairman; Mr. Atul Bagla and Mr. K N KHANDELWAL the members of the said committee were present in the meeting.K.N. Khandelwal met one time during the year on 13.08.2022. All Place: KanpurDate: 12.08.2023 (CHAIRMAN)DIN : 00037250 d. The Stake Holders Relationship Committee consisting of Mr. Ashok

FOR AND ON BEHALF OF THE BOARD

04

KHANDELWAL EXTRACTIONS LIMITED

Annexure - I

		KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
04 5 SECRETARIAL AUDIT REPORT Annexure - I st FOR THE FINANCIAL YEAR ENDED 31 March, 2023 [Pursuant to Section 204(1) of the Companies Act, 2013 and rule No.9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014] To, The Members, Khandelwal Extractions Ltd. 51/47,NayaGanj Kanpur 208001. I have conducted the secretarial audit of the compliance of applicable statutory provisions and the adherence to good corporate practices by Khandelwal Extractions Limited (hereinafter called the company). Secretarial Audit was conducted in a manner that provided me a reasonable basis for evaluating the corporate conducts/statutorycompliances and expressing my opinion thereon. Based on my verification of the Company's books, papers, minute books, forms and returns filed and other records maintained by the Company and also the information provided by the Company, its officers, agents and authorized representatives during the conduct of secretarial audit, the explanations and clarifications given to me and the representations made by the Management and considering the relaxations granted by the Ministry Of Corporate Affairs/other Authorities warranted due to spread of Covid-19 pandemic, I hereby report that in my opinion, the company has, during the audit period covering the financial year st ended on 31 March, 2023 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: I have relied upon the accuracy of the documents and information as shared by the Company with me through appropriate Information Technology tools to assist us in completing the secretarial audit work and the same is subject to physical verification. I have examined the books, papers, minute books, forms and returns filed and other records maintained by Khandelwal Extractions Ltd. for the financial year st ended on 31 March, 2023 according to the provisions of: 1) The Companies Act, 2013 (the Act) and the rules made there under; 2) The Securities Contracts (Regulation) Act, 1956 ('SCRA') and the rules made there under; 3) The Depositories Act, 1996 and the Regulations and Bye-laws framed there under; 4) Foreign Exchange Management Act, 1999 and the rules and regulations made there under. 5) The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992 ('SEBI Act') a) The Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011; b) The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015; c) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009; (Not applicable during the Audit Period) d) The Securities and Exchange Board of India (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 2014. (Not applicable during the Audit Period). e) The Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008; (Not applicable during the Audit Period). f) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993 regarding the Companies Act and dealing with clients; g) The Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009; (Not applicable during the Audit Period); h) The Securities and Exchange Board of India (Buyback of Securities) Regulations, 2018; (Not applicable during the Audit Period); 6) I further report that reliance has been placed on the management representation by company for compliances and systems and mechanisms formed by the Company on compliance with other laws; there is no specific Law applicable to the Company: I have also examined compliance with the applicable clauses of the following: i. Secretarial Standards issued by The Institute of Company Secretaries of India. ii. The Listing Agreement (LODR)entered into by the Company with the Bombay Stock Exchange Limited. Shares of the Company are listed at Bombay Stock Exchange Limited. For transfer of shares to suspense account as per clause 39 of LODR Regulations, letters have been issued to the concerned shareholders for claiming Undelivered/unclaimed shares of physical segment and the compliance is under process.Letters to members also issued in terms of SEBI vide it Circular No. SEBI / HO /MIRSD/ MIRSD_RTAMB /P /CIR /2021/ 655 dated November 3, 2021 (read with clarification issued by SEBI vide Circular No. SEBI/HO/MIRSD/MIRSD_RTAMB/P/CIR/2021/687 dated December 14, 2021, furnishing of PAN, KYC details, Nomination details and Bankdetails etc. by shareholders holding shares in physical form. UP Stock Exchange ceased to be a recognized Stock Exchange in June 2015. (Listing Agreement with said Exchange also ceased). During the period under review the Company has complied with the provisions of the Act, Rules,Regulations, Guidelines, Standards, etc. mentioned above. I have relied on the information and representation made by the Company and its Officers for systems and mechanism formed by the Company for compliances under other applicable Acts, Laws, and Regulations to the Company. I further report that the Board of Directors of the Company is duly constituted with proper balance of Executive Director, Non-Executive Director and Independent Directors. The changes in the composition of the Board of Directors that took place during the period under review 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/ as per applicable provisions, and a system exists for seeking and obtaining further information and clarifications on the agenda items before the meeting and for meaningful participation at the meeting. All decisions at Board Meetings and Committee Meetings are carried out unanimously as recorded in the minutes of the meetings of the Board of Directors or Committee(s) of the Board, as the case may be. I further report that there are adequate systems and processes in the company commensurate with the size and operations of the company to monitor and ensure compliance with applicable laws, rules, regulations and guidelines. I further report that during the audit period, there were no other events having a major bearing on the Company's affairs in pursuance of the above referred laws, rules, regulations, guidelines etc. except the following: i. The Company closed its plant and manufacturing operations in November 2018; the company leased out all its godowns on rent and same continues. ii. Future events or conditions may cause the Company to cease to continue as going concern. iii. On reassessment of VTA cases For F.Y.2016-17& 2017-18, tax liability of 24.24 Lacs has been assessed and adjusted against VAT refund due The Company has filed appeal in the matter before appropriate/competent authority. iv. Since Company's Plant/Operations remain closed from November 2018, there is no impact of COVID -19 on the Financial Performance of the Company. Signature Banthia And Company G.K.Banthia (Prop.) ACS No.:4933; C P No.:1405 This report is to be read with our letter of even date which is annexed asAnnexure Aand forms an integral part of this report. Annexure A To, The Members Khandelwal Extractions Ltd. 51/47,NayaGanj Kanpur 208001. Our report of even date is to be read along with this letter. 1. It is the responsibility of the management of the company to maintain secretarial record, devise proper systems to ensure compliance with the provisions of all the applicable laws and to ensure that the systems are adequate and operate effectively. 2. Our responsibility is to express an opinion on these secretarial records based on our audit. 3. 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 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. 4. We have not verified the correctness and appropriateness of finance records and Books of Accounts of the company. 5. Where ever required, we have obtained the Management representation about the compliance of laws, rules and regulations and happening of events etc. which relates to the period ending March Thirty First Two Thousand Twenty Three (31.03.23). Disclaimer: 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. Signature Banthia And Company G.K.Banthia (Prop.) Practicing Company Secretary ACS No.:4933; C P No.:1405 Place :Kanpur Date : 04.08.2023 UDIN : A004933E000741121 Place :Kanpur Date : 04.08.2023 UDIN : A004933E000741121
	SECRETARIAL AUDIT REPORT st FOR THE FINANCIAL YEAR ENDED 31 March, 2023 [Pursuant to Section 204(1) of the Companies Act, 2013 and rule No.9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014] To, The Members, Khandelwal Extractions Ltd. 51/47,NayaGanj Kanpur 208001. I have conducted the secretarial audit of the compliance of applicable statutory provisions and the adherence to good corporate practices by Khandelwal Extractions Limited (hereinafter called the company). Secretarial Audit was conducted in a manner that provided me a reasonable basis for evaluating the corporate conducts/statutorycompliances and expressing my opinion thereon. Based on my verification of the Company's books, papers, minute books, forms and returns filed and other records maintained by the Company and also the information provided by the Company, its officers, agents and authorized representatives during the conduct of secretarial audit, the explanations and clarifications given to me and the representations made by the Management and considering the relaxations granted by the Ministry Of Corporate Affairs/other Authorities warranted due to spread of Covid-19 pandemic, I hereby report that in my opinion, the company has, during the audit period covering the financial year st ended on 31 March, 2023 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: I have relied upon the accuracy of the documents and information as shared by the Company with me through appropriate Information Technology tools to assist us in completing the secretarial audit work and the same is subject to physical verification. I have examined the books, papers, minute books, forms and returns filed and other records maintained by Khandelwal Extractions Ltd. for the financial year st ended on 31 March, 2023 according to the provisions of: 1) The Companies Act, 2013 (the Act) and the rules made there under; 2) The Securities Contracts (Regulation) Act, 1956 ('SCRA') and the rules made there under; 3) The Depositories Act, 1996 and the Regulations and Bye-laws framed there under; 4) Foreign Exchange Management Act, 1999 and the rules and regulations made there under. 5) The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992 ('SEBI Act') a) The Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011; b) The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015; c) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009; (Not applicable during the Audit Period) d) The Securities and Exchange Board of India (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 2014. (Not applicable during the Audit Period). e) The Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008; (Not applicable during the Audit Period). f) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993 regarding the Companies Act and dealing with clients; g) The Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009; (Not applicable during the Audit Period); h) The Securities and Exchange Board of India (Buyback of Securities) Regulations, 2018; (Not applicable during the Audit Period); 6) I further report that reliance has been placed on the management representation by company for compliances and systems and mechanisms formed by the Company on compliance with other laws; there is no specific Law applicable to the Company: I have also examined compliance with the applicable clauses of the following: i. Secretarial Standards issued by The Institute of Company Secretaries of India. ii. The Listing Agreement (LODR)entered into by the Company with the Bombay Stock Exchange Limited. Shares of the Company are listed at Bombay Stock Exchange Limited. For transfer of shares to suspense account as per clause 39 of LODR Regulations, letters have been issued to the concerned shareholders for claiming Undelivered/unclaimed shares of physical segment and the compliance is under process.Letters to members also issued in terms of SEBI vide it Circular No. SEBI / HO /MIRSD/ MIRSD_RTAMB /P /CIR /2021/ 655 dated November 3, 2021 (read with clarification issued by SEBI vide Circular No. SEBI/HO/MIRSD/MIRSD_RTAMB/P/CIR/2021/687 dated December 14, 2021, furnishing of PAN, KYC details, Nomination details and Bankdetails etc. by shareholders holding shares in physical form. UP Stock Exchange ceased to be a recognized Stock Exchange in June 2015. (Listing Agreement with said Exchange also ceased). During the period under review the Company has complied with the provisions of the Act, Rules,Regulations, Guidelines, Standards, etc. mentioned above. I have relied on the information and representation made by the Company and its Officers for systems and mechanism formed by the Company for compliances under other applicable Acts, Laws, and Regulations to the Company. I further report that the Board of Directors of the Company is duly constituted with proper balance of Executive Director, Non-Executive Director and Independent Directors. The changes in the composition of the Board of Directors that took place during the period under review 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/ as per applicable provisions, and a system exists for seeking and obtaining further information and clarifications on the agenda items before the meeting and for meaningful participation at the meeting. All decisions at Board Meetings and Committee Meetings are carried out unanimously as recorded in the minutes of the meetings of the Board of Directors or Committee(s) of the Board, as the case may be. I further report that there are adequate systems and processes in the company commensurate with the size and operations of the company to monitor and ensure compliance with applicable laws, rules, regulations and guidelines. I further report that during the audit period, there were no other events having a major bearing on the Company's affairs in pursuance of the above referred laws, rules, regulations, guidelines etc. except the following: i. The Company closed its plant and manufacturing operations in November 2018; the company leased out all its godowns on rent and same continues. ii. Future events or conditions may cause the Company to cease to continue as going concern. iii. On reassessment of VTA cases For F.Y.2016-17& 2017-18, tax liability of 24.24 Lacs has been assessed and adjusted against VAT refund due The Company has filed appeal in the matter before appropriate/competent authority. iv. Since Company's Plant/Operations remain closed from November 2018, there is no impact of COVID -19 on the Financial Performance of the Company. Signature Banthia And Company G.K.Banthia (Prop.) ACS No.:4933; C P No.:1405 This report is to be read with our letter of even date which is annexed asAnnexure Aand forms an integral part of this report. Annexure A To, The Members Khandelwal Extractions Ltd. 51/47,NayaGanj Kanpur 208001. Our report of even date is to be read along with this letter. 1. It is the responsibility of the management of the company to maintain secretarial record, devise proper systems to ensure compliance with the provisions of all the applicable laws and to ensure that the systems are adequate and operate effectively. 2. Our responsibility is to express an opinion on these secretarial records based on our audit. 3. 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 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. 4. We have not verified the correctness and appropriateness of finance records and Books of Accounts of the company. 5. Where ever required, we have obtained the Management representation about the compliance of laws, rules and regulations and happening of events etc. which relates to the period ending March Thirty First Two Thousand Twenty Three (31.03.23). Disclaimer: 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. Signature Banthia And Company G.K.Banthia (Prop.) Practicing Company Secretary ACS No.:4933; C P No.:1405 Place :Kanpur Date : 04.08.2023 UDIN : A004933E000741121 Place :Kanpur Date : 04.08.2023 UDIN : A004933E000741121
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0 45

KHANDELWAL EXTRACTIONS LIMITED

INDEPENDENT AUDITOR'S REPORT

To the Members of KHANDELWAL EXTRACTIONS LIMITED Report on the Audit of the Financial Statements Opinion

conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the 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 auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern. l Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

We have audited the financial statements of KHANDELWAL EXTRACTIONS LIMITED (“the Company”), which comprise the balance sheet as at 31st March 2023, and the statement of Profit and Loss, statement of changes in equity and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of significant accounting policies and other explanatory information. In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act, read with the Companies (Indian Accounting Standards ) Rules 2015, as amended ,(“Ind AS “) and other accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2023, and profit, changes in equity and its cash flows for the year ended on that date. Basis for Opinion

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.

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013. Our responsibilities under those Standards are further described in the Auditor's Responsibilities for the Audit of the 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 financial statements under the provisions of the Companies Act, 2013 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. Emphasis of Matter We draw attention to Note No 26 of the financial statements which describes the following matters:

Report on Other Legal and Regulatory Requirements

• As required by the Companies (Auditor's Report) Order, 2020 (“the Order”), issued by the Central Government of India in terms of sub-section (11) of section 143 of the Companies Act, 2013, we give in the ” Annexure A” a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable. 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.

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

• d. In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

• e. On the basis of the written representations received from the directors as on 31st March, 2023 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2023 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 over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in

• Annexure B. g. With respect to the other matters to be included in the Auditor's Report in accordance with the requirements of Section 197(16) of the Act, as amended: In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act.

• h. With respect to the other matters to be included in the Auditor's 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 on its financial position in its financial statements -Refer note no.31 to the financial statements

• ii. The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.

• iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.

• iv(a) The Management has represented that, to the best of it's knowledge and belief, as disclosed in the note no. 32 to the accounts, no funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

• iv (b) The Management has represented, that, to the best of it's knowledge and belief, other than as disclosed in the note no. 33 to the accounts, no and belief, other than as disclosed in the note no. 33 to the accounts, no funds have been received by the Company from any person(s) or entity(ies), including foreign entities (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries. Based on such audit procedures we have considered reasonable and appropriate in the circumstances; nothing has come to our notice that has caused us to believe that the representations under sub-clause (iv)(a) and (iv) (b) in the circumstances; nothing has come to our notice that has caused us above contain any material misstatement.

• v The company has not declared or paid any dividend during the year .

There is no manufacturing activities during the year .All the plant and machineries have been sold and manufacturing activities have been closed permanently. Factory building(Godowns) have been given on lease. Other Information The Company's Board of Directors is responsible for the preparation of the other information. The other information comprises the information included in the Director's Report including Annexures to Director's Report etc., but does not include the financial statements and our auditor's report thereon. The Director's Report including Annexures to Director's Report etc. is not made available to us till the date of this report and is expected to be made available to us after the date of this Auditors' Report. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. Responsibility of Management for Financial Statements

The Company's Board of Directors is responsible for the matters stated in section 134(5) of the Companies Act, 2013 (“the Act”) with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance, changes in equity and cash flows of the Company in accordance with the Ind AS and other accounting principles generally accepted in India. 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 financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.

Company's ability to continue as a going concern, disclosing, as applicable, matters In preparing the financial statements, management is responsible for assessing the statements related to going concern and using the going concern basis of accounting unless ii. The Company did not have any long term contracts including derivative management either intends to liquidate the Company or to cease operations, or has no contracts for which there were any material foreseeable losses. realistic alternative but to do so. iii. There were no amounts which were required to be transferred to the The Board of Directors are also responsible for overseeing the company's financial Investor Education and Protection Fund by the Company. reporting process. iv(a) The Management has represented that, to the best of it's knowledge and Auditor's Responsibilities for the Audit of the Financial Statements belief, as disclosed in the note no. 32 to the accounts, no funds have Our objectives are to obtain reasonable assurance about whether the financial statements been advanced or loaned or invested (either from borrowed funds or as a whole are free from material misstatement, whether due to fraud or error, and to issue share premium or any other sources or kind of funds) by the Company an auditor's report that includes our opinion. Reasonable assurance is a high level of to or in any other person(s) or entity(ies), including foreign entities assurance, but is not a guarantee that an audit conducted in accordance with SAs will (“Intermediaries”), with the understanding, whether recorded in writing always detect a material misstatement when it exists. Misstatements can arise from fraud or otherwise, that the Intermediary shall, directly or indirectly lend or or error and are considered material if, individually or in the aggregate, they could invest in other persons or entities identified in any manner whatsoever reasonably be expected to influence the economic decisions of users taken on the basis of by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any these financial statements. guarantee, security or the like on behalf of the Ultimate Beneficiaries. maintain professional skepticism throughout the audit. We also:As part of an audit in accordance with SAs, we exercise professional judgment and iv (b) The Management has represented, that, to the best of it's knowledge and belief, other than as disclosed in the note no. 33 to the accounts, no l Identify and assess the risks of material misstatement of the financial funds have been received by the Company from any person(s) or statements, whether due to fraud or error, design and perform audit procedures entity(ies), including foreign entities (“Funding Parties”), with the responsive to those risks, and obtain audit evidence that is sufficient and understanding, whether recorded in writing or otherwise, that the appropriate to provide a basis for our opinion. The risk of not detecting a material Company shall, directly or indirectly, lend or invest in other persons or misstatement resulting from fraud is higher than for one resulting from error, as entities identified in any manner whatsoever by or on behalf of the fraud may involve collusion, forgery, intentional omissions, misrepresentations, Funding Party (“Ultimate Beneficiaries”) or provide any guarantee, or the override of internal control. security or the like on behalf of the Ultimate Beneficiaries. Based on l Obtain an understanding of internal control relevant to the audit in order to design such audit procedures we have considered reasonable and appropriate 143(3)(i) of the Companies Act, 2013, we are also responsible for expressing our audit procedures that are appropriate in the circumstances. Under section to believe that the representations under sub-clause (iv)(a) and (iv) (b) in the circumstances; nothing has come to our notice that has caused us opinion on whether the company has adequate internal financial controls system above contain any material misstatement. in place and the operating effectiveness of such controls. v The company has not declared or paid any dividend during the year . l Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by For P.L. Tandon & Co. management. Chartered Accountants l Conclude on the appropriateness of management's use of the going concern Firm's Registration No.- 000186C basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast Place: Kanpur P.P.SINGH significant doubt on the Company's ability to continue as a going concern. If we Date: 27-05-2023 (Partner) (Membership No.- 072754) 0 46 UDIN 23072754BGWEDE8926

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KHANDELWAL EXTRACTIONS LIMITED
ANNEXURE-A TO THE INDEPENDENT AUDITOR'S REPORT
Re : KHANDELWAL EXTRACTIONS LIMITED
on the financial statements for the year ended 31The Annexure referred to in Independent Auditors' Report to the members of the Company st March, 2023, we report that: viii According to the information and explanations given to us, there is no transactions which have not been recorded in the books of account but have been surrendered or disclosed as income
i. In respect of its Property ,Plant and Equipment and Intangible Assets : during the year in the tax assessments under the Income Tax Act, 1961 (43 of 1961).
(a) (A) The Company has maintained proper records showing full particulars, including ix (a) In our opinion and according to the information and explanations given to us, the
quantitative details and situation of property, plant and equipment. Company has not defaulted in repayment of loans or other borrowings or in the
(B) The company does not have any intangible assets and therefor provision of payment of interest thereon to any lender.
paragraph3(i)(a)(B) of Companies (Auditor's Report ) Order, 2020 are not (b) According to the information and explanations given to us, the company has not been
applicable to company. declared as willful defaulter by any bank or financial institution or other lender.
(b) All the property, plant and equipment have not been physically verified by the (c ) In our opinion and according to the information and explanations given to us, the
management during the year but there is a regular programme of verification which, in company has not obtained any term loan during the year .Therefore , the provisions of
our opinion, is reasonable having regard to the size of the Company and the nature of its paragraph 3 (ix) (c ) of the Companies (Auditor's Report ) order, 2020, are not applicable
property , plant and equipment . No material discrepancies were noticed on such to the company.
verification. (d) According to the information and explanations given to us , and the procedure performed
(c) According to the information and explanation given to us and on the basis of our by us , and on the overall examination of the financial statements of the company , we
examination of the records of the company the title deeds of all the immovable properties report that no funds raised on short term basis have been used for long term purposes by
disclosed in the financial statements are held in the name of the company except the company.
details below : (e) According to the information and explanations given to us and procedure performed by
us, the company does not have any subsidiary, joint venture or associate companies
Relevant line item balance in the Description of item of property Carrying Gross value held in deeds Title the holder is promotor director or relative Whether title deed of Property which since held being held Reason for not in the x (a) The Company did not raise any money by way of initial public offer or further public offer (Auditor's Report ) order, 2020, are not applicable to the companyand therefore the provisions of paragraph 3 (ix)(e) and 3(ix) (f) of the Companies
sheet name Promotor/Directors date name of (including debt instruments) during the year. Accordingly, provisions of paragraph
of Promotor/Directorsor Employees of company the company.3(x)(a) of the Companies (Auditor's Report ) order, 2020, are not applicable to the
Property Freehold Rs. 1.55 lacs Khand NO 05.05.1981 The (b) According to the information and explanations given to us and on our examination of the
plant and Land elwal registration records of the Company, the Company has not made any preferential allotment or
equipment ExtractiLimited Private ons process of transfer of name is stillin progress Report) order, 2020, are not applicable to the company.the year.Therefore provisions of paragraph 3(x)(b) of the Companies (Auditor's private placement of shares or fully , partly or optionally convertible debentures during
as on xi (a) According to the information and explanations given to us, no fraud by the Company or
31.03.2023 on the Company has been noticed or reported during the course of our audit.
iii ii (a) In respect of loans secured or unsecured , investments in,provided any guarantee or (b) The company has not been sanctioned working capital limits in excess of five crores (a) (e) (d) The company has not made investments in, provided any guarantee or security or companies, firms, Limited Liability Partnerships or any other parties during the year granted any loans or advances in the nature of loans, secured or unsecured, to information and explanations given to us :to companies,firms, Limited Liability partnerships or any other parties , according to the The company does not have any inventories and Therefore provisions of paragraph In respect of its Inventories:security or granted any loans or advances in the nature of loans, secured or unsecured (Auditor's Report ) Order, 2020 are not applicable to company.security of current assets.Therefore provisions of paragraph 3(ii)(b) of Companies rupees during the year in aggregate from banks and financial institutions on the basis of According to the information and explanations given to us , the company does not hold company.3(ii) (a) of the Companies(Auditor's Report) Order, 2020 are not applicable to the According to the information and explanations given to us , the company has not Companies (Auditor's Report ) Order, 2020 are not applicable to the company.and rules made thereunder . Therefore provisions of paragraph 3(i) (e) of the any benami property under the Benami Transactions (Prohibition) Act 1988 (45 of 1988) assets or both during the year . revalued its property ,plant and equipments (including right of use assets) or intangible xvi xv xiv xiii According to the information and explanations given to us and based on our examination of xii In our opinion and according to the information and explanations given to us , the company is (a) The Company is not required to be registered under section 45 –IA of the Reserve Bank According to the information and explanations given to us , in our opinion during the year the (b) We have considered the internal audit reports of the company issued till date, for the (a) (c) (b) No report under sub- section (12) of section 143 of the Companies Act, has been filed in the financial statements as required by the applicable accounting standards.177 and 188 of the Act where applicable and details of such transactions have been disclosed the records of the Company, transaction with the related parties are in compliance with section (Auditors' Reeport ) order , 2020 , are not applicable to the company.not a Nidhi Company. Accordingly , the provisions of paragraph 3 (xii) of the Companies 2013 are not applicable to the company. connected with its directors and hence provisions of section 192 of the Companies Act, company has not entered into any non-cash transactions with its directors or persons of India Act 1934.period under audit.In our opinion and based on our examination, the company has an internal audit system As represented to us by the management , there are no Whistle blower complaints commensurate with the size and nature of its business. received by the company during the year .Auditors ) Rules, 2014 with the Central Government .by auditors in Form ADT- 4 as prescribed under rule 13 of Companies (Audit and
and therefore provisions of paragraph3(iii)(a) to 3 (iii)(e) of Companies (Auditor's (b) The company has not conducted any Non- Banking Financial or Housing Finance
Report ) Order, 2020 are not applicable to company. activities without a valid Certificate of Registration (CoR) from Reserve Bank of India.
(f) The company has not granted loans or advances in the nature of loans to promoters , ( c) The company is not a Core Investment Company as defined in the regulations made by
related parties as defined in clause( 76) of section 2 of the companies act2013 which Reserve Bank of India. Therefore provisions of paragraph 3 (xvi)(c ) of the Companies
are repayable on demand or without specifying any terms or period of repayments (Auditors' Report ) order , 2020 , are not applicable to the company.
.Therefore provisions of paragraph 3 (iii)(f) of Companies (Auditor's Report ) Order, (d) According to the information and explanations given to us , the company's group does
2020 are not applicable to company. not have more than one Core Investment Company (CIC) as part of the group.
iv In our opinion and according to the information and explanation given to us, the Company has xvii The company has not incurred cash losses during the current financial year and in the
complied with the provisions of section 185 and 186 of the Companies Act, with respect to immediately preceding financial year.
the loans and investments made. xviii iThere has been no resignation of the statutory auditors during the year and therefor the
v In our opinion and according to information and explanations given to us, the company has not provisions of paragraph 3(xviii) of the Companies (Auditors' Report ) order , 2020 , are not
accepted any deposits within the provisions of sections 73 to 76 or any other relevant applicable to the company.
provisions of the Companies Act , 2013 and the rules made thereunder. Therefore , the xix According to the information and explanations given to us and on the basis of the financial
provisions of paragraph 3 (v) of the Companies (Auditor's Report) order, 2020, are not ratios, ageing and expected dates of realization of financial assets and payment of financial
applicable to the company. liabilities, other information accompanying the financial statements, our knowledge of the
vi The Central Government has not prescribed maintenance of cost records under sub-section Board of Directors and management plans and based on our examination of the evidence
(1) of section 148 the Companies Act, 2013 for the products of the company. supporting the assumptions, nothing has come to our attention, which causes us to believe
vii According to the information and explanations given to us, in respect of statutory and other that any material uncertainty exists as on the date of the audit report that company is not
(a) The Company is generally regular in depositing with appropriate authorities undisputed dues:statutory dues including goods and services tax. provident fund, employees' state assurance as to the future viability of the company. We further state that our reporting is based within a period of one year from the balance sheet date. We, however, state that this is not an capable of meeting its liabilities existing at the date of balance sheet as and when they fall due
insurance, income tax, sales tax, services tax, duty of custom , duty of excise, value on the facts up to the date of the audit report and we neither give any guarantee nor any
added tax ,cess and any other statutory dues applicable to it. According to the assurance that all liabilities falling due within a period of one year from the balance sheet date,
goods and services tax , Provident fund, Employees State Insurance, Income Tax, Sales information and explanations given to us, no undisputed amounts payable in respect of xx (a) will get discharged by the company as and when they fall due.According to the information and explanations given to us and based on such audit
other Statutory dues were in arrear as at 31Tax, Services Tax, Duty of Custom, Duty of Excise, Value Added Tax, Cess and any st March, 2023 for a period more than six section 135 of companies act is not applicable to the company .Therefore provisions of procedures we have considered reasonable and appropriate inthe circumstances ,
months from the date they became payable. paragraph 3 (xx)(a ) of the Companies (Auditors' Report ) order , 2020 , are not
(b) According to the records of the company, goods and services tax, provident fund, applicable to the company.
Employees State Insurance, Income Tax, Sales Tax, Services Tax, Duty of Custom, (b) In view of our comments in paragraph 3(xx)(a) above , the provisions of paragraph 3
Duty of Excise, Value Add Tax, Cess which have not been deposited on account of any (xx)(b) of the Companies (Auditors' Report ) order , 2020 , are not applicable to the
dispute, are as follows company.
Name of the Statute Nature of the Dues Amount which the Period to amount Forum where dispute is pending xxi The company does not have any subsidiary, associate or joint venture company and therefore are not applicable to the company.provisions of paragraph 3 (xxi) (a ) of the Companies (Auditors' Report ) order , 2020 ,
Relates
For P.L. Tandon & Co.
Central VAT (U.P) Rs. 16.71 01-04-2011 to Additional Chartered Accountants
sales/vat Act lacs 31-03-2012 Commissioner Firm's Registration No.- 000186C
Gr-2 (Appeal)
2 [nd] Tax, Kanpur.Commercial Place: KanpurDate: 27-05-2023 P.P.SINGH (Partner)
(Membership No.- 072754)
UDIN 23072754BGWEDE8926
07
----- End of picture text -----

KHANDELWAL EXTRACTIONS LIMITED

ANNEXURE –“B” TO THE INDEPENDENT AUDITORS REPORT OF EVEN DATE ON THE FINANCIAL STATEMENTS OF KHANDELWAL EXTRACTIONS LIMITED

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company's internal financial controls system over financial reporting.

Annexure - B to the Auditors' Report

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

Meaning of Internal Financial Controls over Financial Reporting

We have audited the internal financial controls over financial reporting of KHANDELWAL EXTRACTIONS LIMITED (“the Company”) as of 31 March 2023 in conjunction with our audit of the financial statements of the Company for the year ended on that date.

A company's internal financial control over financial reporting 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 over financial reporting 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 authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the company's assets that could have a material effect on the financial statements.

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 over financial reporting 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 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 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 Companies Act, 2013.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting (the “Guidance Note”) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, 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 Institute of Chartered Accountants of India. 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 over financial reporting was established and maintained and if such controls operated effectively in all material respects.

Opinion

In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31 March 2023, based on the internal control over financial reporting 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 issued by the Institute of Chartered Accountants of India.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, 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.

For P.L. Tandon & Co.

Chartered Accountants Firm's Registration No.- 000186C P.P.SINGH (Partner) Place: Kanpur (Membership No.- 072754) Date: 27-05-2023 UDIN 23072754BGWEDE8926

08

KHANDELWAL EXTRACTIONS LIMITED

		KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
09 BALANCE SHEET AS AT 31st MARCH, 2023 As per our report of even date attached Membership No. 072754 For P. L. Tandon & Co. Chartered Accountants Registration No.000186C P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) DINESH KHANDELWAL K.N. KHANDELWAL (Director- Finance & CFO) V.N. KHANDELWAL ASHOK GUPTA (Whole Time Director) (Independent Director) Place: Kanpur Date: 27.05.2023 (Chairperson) DIN : 00161831 DIN : 00037250 DIN : 00161893 DIN : 00135288 M. No. A67216 As At As At NOTES 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs ASSETS Non-Current Assets Property, Plant and Equipment 2 11.39 13.02 Investment Property 3 44.67 45.97 Deferred Tax Assets (net) 12 31.33 43.08 TOTAL NON CURRENT ASSETS 87.39 102.07 Current Assets Financial Assets: Trade Receivable 4 0.04 0.09 Cash and Cash equivalents 5 198.56 187.56 Loans 6 45.00 55.00 Other Financial Assets 7 4.14 4.14 Total Financial Assets 247.74 246.79 Current Tax Assets (Net) 8 8.79 - Other Current Assets 9 47.91 47.82 TOTAL CURRENT ASSETS 56.70 47.82 TOTAL ASSETS 391.83 396.68 EQUITY AND LIABILITIES Equity Equity Share Capital 10 88.01 88.01 Other Equity 11 140.09 120.61 TOTAL EQUITY 228.10 208.62 LIABILITIES Current Liabilities Financial Liabilities: Borrowings 14 88.00 120.00 Trade Payables 13 5.59 6.37 Other Financial Liabilities 5.13 6.48 Total Financial Liabilities 98.72 132.85 Other Current Liabilities: Other Current Liabilities 15 65.01 54.76 TOTAL CURRENT LIABILITIES Current Tax Liabilities (Net) - 0.45 TOTAL CURRENT LIABILITIES 163.73 188.06 TOTAL LIABILITY 391.83 396.68 Accounting policies and notes on financial statements 1 to 38
	09 BALANCE SHEET AS AT 31st MARCH, 2023 As per our report of even date attached Membership No. 072754 For P. L. Tandon & Co. Chartered Accountants Registration No.000186C P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) DINESH KHANDELWAL (Director- Finance & CFO) V.N. KHANDELWAL (Whole Time Director) Place: Kanpur Date: 27.05.2023 DIN : 00161831 DIN : 00161893 M. No. A67216 NOTES ASSETS Non-Current Assets Property, Plant and Equipment 2 Investment Property 3 Deferred Tax Assets (net) 12 TOTAL NON CURRENT ASSETS Current Assets Financial Assets: Trade Receivable 4 Cash and Cash equivalents 5 Loans 6 Other Financial Assets 7 Total Financial Assets Current Tax Assets (Net) 8 Other Current Assets 9 TOTAL CURRENT ASSETS TOTAL ASSETS EQUITY AND LIABILITIES Equity Equity Share Capital 10 Other Equity 11 TOTAL EQUITY LIABILITIES Current Liabilities Financial Liabilities: Borrowings 14 Trade Payables 13 Other Financial Liabilities Total Financial Liabilities Other Current Liabilities: Other Current Liabilities 15 TOTAL CURRENT LIABILITIES Current Tax Liabilities (Net) TOTAL CURRENT LIABILITIES TOTAL LIABILITY Accounting policies and notes on financial statements 1 to 38				K.N. KHANDELWAL ASHOK GUPTA (Independent Director) (Chairperson) DIN : 00037250 DIN : 00135288 As At As At 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs 11.39 13.02 44.67 45.97 31.33 43.08 87.39 102.07 0.04 0.09 198.56 187.56 45.00 55.00 4.14 4.14 247.74 246.79 8.79 - 47.91 47.82 56.70 47.82 391.83 396.68 88.01 88.01 140.09 120.61 228.10 208.62 88.00 120.00 5.59 6.37 5.13 6.48 98.72 132.85 65.01 54.76 - 0.45 163.73 188.06 391.83 396.68		As At 31.03.2022 Rs. In lacs 13.02 45.97 43.08
							102.07
							0.09 187.56 55.00 4.14
							246.79
							- 47.82
							47.82
							396.68
							88.01 120.61
							208.62
							120.00 6.37 6.48
							132.85
							54.76 0.45
							188.06
							396.68
			09

KHANDELWAL EXTRACTIONS LIMITED

		KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
10 STATEMENT OF PROFIT & LOSS FOR THE YEAR ENDED 31st MARCH, 2023 As per our report of even date attached Membership No. 072754 For P. L. Tandon & Co. Chartered Accountants Registration No.000186C P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) DINESH KHANDELWAL K.N. KHANDELWAL (Director- Finance & CFO) V.N. KHANDELWAL ASHOK GUPTA (Whole Time Director) (Independent Director) Place: Kanpur Date: 27.05.2023 (Chairperson) DIN : 00161831 DIN : 00037250 DIN : 00161893 DIN : 00135288 M. No. A67216 Year Ended Year Ended Notes 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs INCOME Revenue from operations 16 - 0.90 Other Income 17 87.53 46.41 Profit on sale of Plant & Machinery - 106.85 Total Income 87.53 154.16 EXPENSES: Changes in inventories of finished stock 18 - 0.99 Employees Benefits Expense 19 26.67 28.52 Finance cost 20 5.70 7.20 Depreciation and amortization expense 2.94 3.01 Other Expenses 21 20.95 71.66 Total Expenses 56.26 111.38 Profit/ (Loss) before Tax 31.27 42.78 Tax Expenses: Current Tax - 10.20 Tax Adjustment of earlier years 3.71 - Deferred Tax 8.08 2.87 Profit/ (Loss) for the period 19.48 29.71 Other Comprehensive Income - - Total Other Comprehensive Income - - Total Comprehensive Income for the year 19.48 29.71 Earning per equity share of Rs 10 each Basic and Diluted ( In Rs ) 22 2.29 3.49 Accounting policies and notes on financial statements 1 to 38
	10 STATEMENT OF PROFIT & LOSS FOR THE YEAR ENDED 31st MARCH, 2023 As per our report of even date attached Membership No. 072754 For P. L. Tandon & Co. Chartered Accountants Registration No.000186C P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) DINESH KHANDELWAL K.N. KHANDELWAL (Director- Finance & CFO) V.N. KHANDELWAL ASHOK GUPTA (Whole Time Director) (Independent Director) Place: Kanpur Date: 27.05.2023 (Chairperson) DIN : 00161831 DIN : 00037250 DIN : 00161893 DIN : 00135288 M. No. A67216 Year Ended Year Ended Notes 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs INCOME Revenue from operations 16 - 0.90 Other Income 17 87.53 46.41 Profit on sale of Plant & Machinery - 106.85 Total Income 87.53 154.16 EXPENSES: Changes in inventories of finished stock 18 - 0.99 Employees Benefits Expense 19 26.67 28.52 Finance cost 20 5.70 7.20 Depreciation and amortization expense 2.94 3.01 Other Expenses 21 20.95 71.66 Total Expenses 56.26 111.38 Profit/ (Loss) before Tax 31.27 42.78 Tax Expenses: Current Tax - 10.20 Tax Adjustment of earlier years 3.71 - Deferred Tax 8.08 2.87 Profit/ (Loss) for the period 19.48 29.71 Other Comprehensive Income - - Total Other Comprehensive Income - - Total Comprehensive Income for the year 19.48 29.71 Earning per equity share of Rs 10 each Basic and Diluted ( In Rs ) 22 2.29 3.49 Accounting policies and notes on financial statements 1 to 38
			10

KHANDELWAL EXTRACTIONS LIMITED

CASH FLOW STATEMENT FOR THE YEAR ENDED 31st MARCH, 2023

		KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
11 CASH FLOW STATEMENT FOR THE YEAR ENDED 31st MARCH, 2023 2022-23 2021-22 A CASH FLOWS FROM OPERATING ACTIVITIES Rs. In Lacs Rs. In Lacs Net Profit Before Taxation 31.27 42.78 Adjustments for: Interest Income (19.28) (17.39) Rent Income (68.24) (29.00) Dividend Income (0.02) (0.02) Profit on sale of Fixed Assets - (106.85) Finance Cost 5.70 7.20 Depreciation 2.94 (78.90) 3.01 (143.05) Operating Profit before Working Capital changes (47.63) (100.27) Adjustments for: (Increase)/Decrease in Trade & Other Receivables (0.58) 22.67 (Increase)/Decrease in Inventories - 1.81 Increase/(Decrease) in Trade & Other Payables 8.67 8.09 19.97 44.45 Cash Utilised In operations (39.54) (55.82) Adjusted for: Income Tax Paid (Net of TDS) 0.80 (1.86) Net Cash from Operating Activities (38.74) (53.96) B CASH FLOW FROM INVESTING ACTIVITIES Purchase of Fixed Assets - (0.33) Sale of Fixed Assets - 130.35 Interest Received(Net of TDS) 17.36 15.66 Rent Received(Net of TDS) 61.41 26.10 Dividend Received 0.02 0.02 Repayment of Loan (32.00) 14.00 Net Cash from Investing Activities 46.79 185.80 C CASH FLOW FROM FINANCING ACTIVITIES Proceeds from loans 10.00 - Interest paid including Dividend and Dividend Tax (7.05) (7.20) Net Cash used in Financing Activities 2.95 (7.20) 11.00 124.64 Opening Balance of Cash & Cash Equivalents 187.56 62.92 Closing Balance of Cash & Cash Equivalents 198.56 187.56 Notes: 1 Cash and Cash Equivalents consists of Cash in hand and balance in bank. 2 Reconcilation of Cash and cash Equivalent : Cash and cash equivalent as per Note No 6. Net Increase/ (Decrease) in Cash & Cash equivalents (A)+(B)+(C) As per our report of even date attached Membership No. 072754 For P. L. Tandon & Co. Chartered Accountants Registration No.000186C P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) DINESH KHANDELWAL K.N. KHANDELWAL (Director- Finance & CFO) V.N. KHANDELWAL ASHOK GUPTA (Whole Time Director) (Independent Director) Place: Kanpur Date: 27.05.2023 (Chairperson) DIN : 00161831 DIN : 00037250 DIN : 00161893 DIN : 00135288 M. No. A67216
	11 2022-23 2021-22 A CASH FLOWS FROM OPERATING ACTIVITIES Rs. In Lacs Rs. In Lacs Net Profit Before Taxation 31.27 42.78 Adjustments for: Interest Income (19.28) (17.39) Rent Income (68.24) (29.00) Dividend Income (0.02) (0.02) Profit on sale of Fixed Assets - (106.85) Finance Cost 5.70 7.20 Depreciation 2.94 (78.90) 3.01 (143.05) Operating Profit before Working Capital changes (47.63) (100.27) Adjustments for: (Increase)/Decrease in Trade & Other Receivables (0.58) 22.67 (Increase)/Decrease in Inventories - 1.81 Increase/(Decrease) in Trade & Other Payables 8.67 8.09 19.97 44.45 Cash Utilised In operations (39.54) (55.82) Adjusted for: Income Tax Paid (Net of TDS) 0.80 (1.86) Net Cash from Operating Activities (38.74) (53.96) B CASH FLOW FROM INVESTING ACTIVITIES Purchase of Fixed Assets - (0.33) Sale of Fixed Assets - 130.35 Interest Received(Net of TDS) 17.36 15.66 Rent Received(Net of TDS) 61.41 26.10 Dividend Received 0.02 0.02 Repayment of Loan (32.00) 14.00 Net Cash from Investing Activities 46.79 185.80 C CASH FLOW FROM FINANCING ACTIVITIES Proceeds from loans 10.00 - Interest paid including Dividend and Dividend Tax (7.05) (7.20) Net Cash used in Financing Activities 2.95 (7.20) 11.00 124.64 Opening Balance of Cash & Cash Equivalents 187.56 62.92 Closing Balance of Cash & Cash Equivalents 198.56 187.56 Notes: 1 Cash and Cash Equivalents consists of Cash in hand and balance in bank. 2 Reconcilation of Cash and cash Equivalent : Cash and cash equivalent as per Note No 6. Net Increase/ (Decrease) in Cash & Cash equivalents (A)+(B)+(C) As per our report of even date attached Membership No. 072754 For P. L. Tandon & Co. Chartered Accountants Registration No.000186C P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) DINESH KHANDELWAL K.N. KHANDELWAL (Director- Finance & CFO) V.N. KHANDELWAL ASHOK GUPTA (Whole Time Director) (Independent Director) Place: Kanpur Date: 27.05.2023 (Chairperson) DIN : 00161831 DIN : 00037250 DIN : 00161893 DIN : 00135288 M. No. A67216
			11

KHANDELWAL EXTRACTIONS LIMITED

STATEMENT OF CHANGES IN EQUITY

Statement of changes in equity for the year ended 31st March,2023

A. Equity Share Capital	Rs. In lacs Changes in equity share capital during the year 2022-23 Balance at the end of the Reporting Period i.e. 31st March, 2023 - 88.01	Rs. In lacs Changes in equity share capital during the year 2022-23 Balance at the end of the Reporting Period i.e. 31st March, 2023 - 88.01	Rs. In lacs Changes in equity share capital during the year 2022-23 Balance at the end of the Reporting Period i.e. 31st March, 2023 - 88.01	Rs. In lacs Changes in equity share capital during the year 2022-23 Balance at the end of the Reporting Period i.e. 31st March, 2023 - 88.01	Rs. In lacs Changes in equity share capital during the year 2022-23 Balance at the end of the Reporting Period i.e. 31st March, 2023 - 88.01
Balance at the beginning of the Reporting Period i.e. 01st April, 2022	Changes in equity share capital during the year 2022-23	Balance at the end of the Reporting Period i.e. 31st March, 2023
88.01	-	88.01
	Capital Redemption Reserve	General Reserve	Retained Earnings	Other Comprehensive Income	Total
As on 31st March, 2022
Balance as at 1st April,2022	50.00	96.25	(25.64)	-	120.61
Profit/(Loss)for theyear	-	-	19.48	-	19.48
Other Comprehensive Income	-	-	-	-	-
Total Comprehensive Income for theyear	-	-	19.48	-	-
Balance as at 31st March, 2023	50.00	96.25	(6.16)	-	140.09

1204

KHANDELWAL EXTRACTIONS LIMITED

NOTES TO THE FINANCIAL STATEMENTS FOR THE YEAR ENDED 31st MARCH, 2022

Reporting Entity

Khandelwal Extractions Limited (the “Company”) is a company d o m i c i l e d i n I n d i a a n d l i m i t e d b y s h a r e s ( C I N : L24241UP1981PLC005282).The shares of the company are publicly traded on the BSELimited. The address of the company's registered office is 51/47, 3rd floor, KesharwaniBhawan, Nayaganj, Kanpur208001. The company is primarily engaged in the manufacturing and sale of solvent oil.

1.1 Basis of preparation

The financial statements of the Company have been prepared in accordance with Indian Accounting Standards (Ind-AS) notified under the Companies (Indian Accounting Standards) Rules,2015.

1.2 Current and non-current Classification

The Company presents assets and liabilities in the Balance Sheet based on current/ non-current classification. An asset is treated as current when:

• (a) it expects to realise the asset, or intends to sell or consume it, in its normal operating cycle;

• (b) it holds the asset primarily for the purpose of trading;

• (c) it expects to realise the asset within twelve months after the reporting period; or

• (d) the asset is cash or a cash equivalent (as defined in Ind AS 7) unless the asset is restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period. All other assets are classified as non-current.

An entity shall classify a liability as current when:

• (a) it expects to settle the liability in its normal operating cycle;

• (b) it holds the liability primarily for the purpose of trading;

• (c) the liability is due to be settled within twelve months after the reporting period; or

• (d) it does not have an unconditional right to defer settlement of the liability for at least twelve months after the reporting period. Terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do not affect its classification.

All other liabilities are classified as non-current.

1.3 Revenue recognition

1.3.1 Sales revenue

Revenue from the sale of goods is recognised when all the following conditions have been satisfied:

• (a) the entity has transferred to the buyer the significant risks and rewards of ownership of the goods;

• (b) the entity retains neither continuing managerial involvement to the degree usually associated with ownership nor effective control over the goods sold;

• (c) the amount of revenue can be measured reliably;

• (d) it is probable that the economic benefits associated with the transaction will flow to the entity; and

• (e) the costs incurred or to be incurred in respect of the transaction can be measured reliably.

Revenue is measured at the fair value of the consideration received or receivable, taking into account contractually defined terms of payment and excluding taxes, levies or duties collected on behalf of the government/ other statutory bodies. The taxes, levies or duties are not considered to be received by the Company on its own account and are excluded from net revenue.

1.3.2 Interest

Interest income is recognised using the Effective Interest Method.

1.3.3 Dividend

Dividend income from investments is recognised when the rights to receive payment is established.

1.3.4 Other Claims

Other claims (including interest on delayed realization from customers) are accounted for, when there is certainty of realisation.

1.4 Property, Plant and Equipment (PPE) Land is carried at historical cost. Historical cost includes expenditure which are directly attributable to the acquisition of the land like,

rehabilitation expenses, resettlement cost etc.

After recognition, an item of all other Property, plant and equipmentare carried at its cost less any accumulated depreciation and any accumulated impairment losses under Cost Model. The cost of an item of property, plant and equipment comprises:

• (a) its purchase price, including import duties and non-refundable purchase taxes, after deducting trade discounts and rebates.

• (b) any costs directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

• (c) the initial estimate of the costs of dismantling and removing the item and restoring the site on which it is located, the obligation for which an entity incurs either when the item is acquired or as a consequence of having used the item during a particular period for purposes other than to produce inventories during that period.

Each part of an item of property, plant and equipment with a cost that is significant in relation to the total cost of the item depreciated separately. However, significant part(s) of an item of PPE having same useful life and depreciation method are grouped together in determining the depreciation charge.

Costs of the day to-day servicing described as for the 'repairs and maintenance' are recognised in the statement of profit and loss in the period in which the same are incurred.

Subsequent Measurement

Subsequent cost of replacing parts of an item of property, plant and equipment are recognised in the carrying amount of the item, if it is probable that future economic benefits associated with the item will flow to the Company; and the cost of the item can be measured reliably. The carrying amount of those parts that are replaced is derecognised in accordance with the derecognition policy mentioned below.

When major inspection is performed, its cost is recognised in the carrying amount of the item of property, plant and equipment as a replacement if it is probable that future economic benefits associated with the item will flow to the Company; and the cost of the item can be measured reliably. Any remaining carrying amount of the cost of the previous inspection (as distinct from physical parts) is derecognised. An item of Property, plant or equipment is derecognised upon disposal or when no future economic benefits are expected from the continued use of assets. Any gain or loss arising on such derecognitionof an item of property plant and equipment is recognised in profit and Loss.

Depreciation

Depreciation on property, plant and equipment, except freehold land, is provided onstraight linemethod based on useful life specified in schedule II to the Companies Act, 2013.The residual value of Property, plant and equipment is considered as 5% of the original cost of the asset.

Depreciation on the assets added / disposed of during the year is provided on pro-rata basis with reference to the month of addition / disposal.

Capital Expenses incurredby the company on construction/ development of certain assets which are essential for production, supply of goods or for the access to any existing Assets of the company are recognised as Enabling Assets under Property, Plant and Equipment.

1.5 Impairment of Assets

The Company assesses on a forward looking basis the expected credit losses associated with its assets carried at amortised cost and FVOCI debt instruments. The impairment methodology applied depends on whether there has been a significant increase in credit risk.

With regard to trade receivable, the Company applies the simplified approach as permitted by Ind AS 109, Financial Instruments , which requires expected lifetime losses to be recognised from the initial recognition of the trade receivables.

The Company assesses at the end of each reporting period whether there is any indication that an asset may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset. An asset's recoverable amount is the higher of the asset's or

13

KHANDELWAL EXTRACTIONS LIMITED

cash-generating unit's value in use and its fair value less costs of disposal, and is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets, in which case the recoverable amount is determined for the cash-generating unit to which the asset belongs.

Investment Property

Property (land or a building or part of building or both) held to earn rentals or for capital appreciation or both, rather than for, use in the production or supply of goods or services or for administrative purpose; or sale in the ordinary course of business are classified as investment property.Investment property is measured initially at its cost, including related transaction costs and where applicable borrowing cost. Investment properties are depreciated using the written down value method over the estimated useful lives.

1.6 Financial Instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

1.6.1 Financial assets

1.6.1 Initial recognition and measurement

All financial assets are recognised initially at fair value, in the case of financial assets not recorded at fair value through profit or loss, plus transaction costs that are attributable to the acquisition of the financial asset. Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the date that the Company commits to purchase or sell the asset.

1.6.2 Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in four categories:

• Debt instruments at amortised cost

• Debt instruments at fair value through other comprehensive income (FVTOCI)

• Debt instruments, derivatives and equity instruments at fair value through profit or loss (FVTPL)

• Equity instruments measured at fair value through other comprehensive income (FVTOCI)

1.6.3 Impairment of financial assets

The Company assesses on a forward looking basis the expected credit losses associated with its assets carried at amortised cost and FVOCI debt instruments. The impairment methodology applied depends on whether there has been a significant increase in credit risk.

With regard to trade receivable, the Company applies the simplified approach as permitted by Ind AS 109, Financial Instruments , which requires expected lifetime losses to be recognised from the initial recognition of the trade receivables.

The Company assesses at the end of each reporting period whether there is any indication that an asset may be impaired. If any such indication exists, the Company estimates the recoverable amount of the asset. An asset's recoverable amount is the higher of the asset's or cash-generating unit's value in use and its fair value less costs of disposal, and is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets, in which case the recoverable amount is determined for the cash-generating unit to which the asset belongs.

1.6.4 Financial liabilities

1.6.4.1 Initial recognition and measurement

The Company's financial liabilities include trade and other payables, loans and borrowings including bank overdrafts.

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

1.6.4.2 Subsequent measurement

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

1.6.4.3 Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial

liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. 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 profit or loss.

Financial liabilities designated upon initial recognition at fair value through profit or loss are designated as such at the initial date of recognition, and only if the criteria in Ind AS 109 are satisfied. For liabilities designated as FVTPL, fair value gains/ losses attributable to changes in own credit risk are recognized in OCI. These gains/ loss are not subsequently transferred to P&L. However, the Company may transfer the cumulative gain or loss within equity. All other changes in fair value of such liability are recognised in the statement of profit or loss. The Company has not designated any financial liability as at fair value through profit and loss.

1.6.5 Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the consolidated balance sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously.

1.7 Borrowing Costs

Borrowing costs are expensed as incurred except where they are directly attributable to the acquisition, construction or production of qualifying assets i.e. the assets that necessarily takes substantial period of time to get ready for intended use, in which case they are capitalised as part of the cost of those asset up to the date when the qualifying asset is ready for its intended use.

1.8Tax Expenses

The tax expense for the period comprises current and deferred tax. Tax is recognised in Statement of Profit and Loss, except to the extent that it relates to items recognised in the comprehensive income or in equity. In which case, the tax is also recognised in other comprehensive Income or equity.

Current Tax:

Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities, based on tax rates and laws that are enacted or substantively enacted at the Balance Sheet date.

Deferred Tax:

Deferred Tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit.

1.9 Employee Benefits

(i) Short term employee benefits

Short-term employee benefits are expensed as the related service is provided. A liability is recognised for the amount expected to be paid if the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

(ii) Defined contribution plans

Obligations for contributions to defined contribution plans are expensed as the related service is provided. The company has following defined contribution plans: a) Provident fund b) Superannuation scheme (iii) Defined benefit plans

The company net obligation in respect of defined benefit plans is calculated separately for each plan by estimating the amount of future benefit that employees have earned in the current and prior periods, discounting that amount and deducting the fair value of any plan assets.

The calculation of defined benefit obligations is performed annually by

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KHANDELWAL EXTRACTIONS LIMITED

a qualified actuary using the projected unit credit method. When the calculation results in a potential asset for the company, the recognised asset is limited to the present value of economic benefits available in the form of any future refunds from the plan or reductions in future contributions to the plan. To calculate the present value of economic benefits, consideration is given to any applicable minimum funding requirements.

Remeasurement of the net defined benefit liability, which comprise actuarial gains and losses, the return on plan assets (excluding interest) and the effect of the asset ceiling (if any, excluding interest), are recognised immediately in Other Comprehensive Income. Net interest expense (income) on the net defined liability (assets) is computed by applying the discount rate, used to measure the net defined liability (asset), to the net defined liability (asset) at the start of the financial year after taking into account any changes as a result of contribution and benefit payments during the year. Net interest expense and other expenses related to defined benefit plans are recognised in profit or loss.

When the benefits of a plan are changed or when a plan is curtailed, the resulting change in benefit that relates to past service or the gain or loss on curtailment is recognised immediately in profit or loss. The company recognises gains and losses on the settlement of a defined benefit plan when the settlement occurs.

The company has following defined benefit plans:

a) Gratuity The company provides for its gratuity liability based on actuarial valuation of the gratuity liability as at the Balance Sheet date, based on Projected Unit Credit Method, carried out by an independent actuary and contributes to the gratuity fund of the company. The contributions made are recognized as plan assets. The defined benefit obligation as reduced by fair value of plan assets is recognized in the Balance Sheet. Re-measurements are recognized in the Other Comprehensive Income, net of tax in the year in which they arise.

1.10 Foreign Currency Transactions

The company's reported currency and the functional currency for majority of its operations is in Indian Rupees (INR) being the principal currency of the economic environment in which it operates.

Transactions in foreign currencies are converted into the reported currency of the company using the exchange rate prevailing at the transaction date. Monetary assets and liabilities denominated in foreign currencies outstanding at the end of the reporting period are translated at the exchange rates prevailing as at the end of reporting period. Exchange differences arising on the settlement of monetary assets and liabilities or on translating monetary assets and liabilities at rates different from those at which they were translated on initial recognition during the period or in previous financial statements are recognised in statement of profit and loss in the period in which they arise.

Non-monetary items denominated in foreign currency are valued at the exchange rates prevailing at the transaction date.

1.11 Inventories

i) Inventories are valued as follows:

Raw materials, packing materials, stores and spares	Lower of cost and net realisable value. Cost is determined by using First in First Out (FIFO) method.Materials and other items held for use in the production of inventories are not written down below costs, if finished goods in which they will be incorporated are expectedto be sold atorabove cost
Work-in-progress, finished goods and traded goods	Lower of cost and net realisable value. Cost includes direct materials, labour and a proporti on of manufacturing overheads. Cost of finished goods includes excise duty, wherever applicable.
Waste	At net realisable value
Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and to make the sale. i) Work-in-progress, finished goods and traded goods have been valued as per the principles and basis consistently followed.

ii) Provision for obsolete/ old inventories is made, wherever required.

1.12 Cash and Cash Equivalent

Cash and cash equivalents in the balance sheet comprise cash at banks and on hand and short term deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in value.

1.13 Provisions, Contingent Liabilities &Contingent Assets

Provisions are recognized when the company has a present obligation (legal or constructive) as a result of a past event, and it is probable that an outflow of economic benefits will be required to settle the obligation and a reliable estimate of the amount of the obligation can be made. Where the time value of money is material, provisions are stated at the present value of the expenditure expected to settle the obligation. All provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate.

Where it is not probable that an outflow of economic benefits will be required, or the amount cannot be estimated reliably, the obligation is disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote. Possible obligations, whose existence will only be confirmed by the occurrence or non-occurrence of one or more future uncertain events not wholly within the control of the company, are also disclosed as contingent liabilities unless the probability of outflow of economic benefits is remote. Contingent Assets are not recognised in the financial statements. However, when the realisation of income is virtually certain, then the related asset is not a contingent asset and its recognition is appropriate.

1.14 Earnings per share Basic earnings per share are computed by dividing the net profit after tax by the weighted average number of equity shares outstanding during the period. Diluted earnings per shares is computed by dividing the profit after tax by the weighted average number of equity shares considered for deriving basic earnings per shares and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares.

1.15 Judgements, Estimates and Assumptions

The preparation of the financial statements in conformity with Ind AS requires management to make estimates, judgements and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of financial statements and the amount of revenue and expenses during the reported period. Applications of accounting policies involving complex and subjective judgements and the use of assumptions in these financial statements have been disclosed. Accounting estimates could change from period to period. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimate are recognised in the period in which the estimates are revised and, if material, their effects are disclosed in the notes to the financial statements.

1.15.1 Judgements

In the process of applying the Company's accounting policies, management has made the following judgements, which have the most significant effect on the amounts recognised in the consolidated financial statements:

1.15.1.1 Formulation of Accounting Policies

Accounting policies are formulated in a manner that result in financial statements containing relevant and reliable information about the transactions, other events and conditions to which they apply. Those policies need not be applied when the effect of applying them is immaterial.

In the absence of an Ind AS that specifically applies to a transaction, other event or condition, management has used its judgement in developing and applying an accounting policy that results in information that is: a) relevant to the economic decision-making needs of users and b) reliable in that financial statements: (i) represent faithfully the financial position, financial

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KHANDELWAL EXTRACTIONS LIMITED

performance and cash flows of the entity; (ii) reflect the economic substance of transactions, other events and conditions, and not merely the legal form; (iii) are neutral, i.e. free from bias; (iv) are prudent; and (v) are complete in all material respects on a consistent basis

In making the judgement management refers to, and considers the applicability of, the following sources in descending order:

(a) the requirements in Ind ASs dealing with similar and related issues; and

(b) the definitions, recognition criteria and measurement concepts for assets, liabilities, income and expenses in the Framework.

In making the judgement, management considers the most recent pronouncements of International Accounting Standards Board and in absence thereof those of the other standard-setting bodies that use a similar conceptual framework to develop accounting standards, other accounting literature and accepted industry practices, to the extent that these do not conflict with the sources in above paragraph.

1.15.1.2 Materiality

Ind AS applies to items which are material. Management uses judgment in deciding whether individual items or groups of item are material in the financial statements. Materiality is judged by reference to the size and nature of the item. The deciding factor is whether omission or misstatement could individually or collectively influence the economic decisions that users make on the basis of the financial statements. Management also uses judgement of materiality for determining the compliance requirement of the Ind AS. In particular circumstances either the nature or the amount of an item or aggregate of items could be the determining factor. Further an entity may also be required to present separately immaterial items when required by law.

1.15.2 Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below. The Company based its assumptions and estimates on parameters available when the financial statements were prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or circumstances arising that are beyond the control of the Company. Such changes are reflected in the assumptions when they occur.

1.15.2.1 Impairment of non-financial assets

There is an indication of impairment if, the carrying value of an asset or cash generating unit exceeds its recoverable amount, which is the higher of its fair value less costs of disposal and its value in use. Company considers individual PPE as separate cash generating units for the purpose of test of impairment. The value in use calculation is based on a DCF model. The cash flows are derived from the budget for the next five years and do not include restructuring activities that the Company is not yet committed to or significant future investments that will enhance the asset's performance of the CGU being tested. The recoverable amount is sensitive to the discount rate used for the DCF model as well as the expected future cash-inflows and the growth rate used for extrapolation purposes.

1.15.2.2 Taxes

Deferred tax assets are recognised for unused tax losses to the extent that it is probable that taxable profit will be available against which the losses can be utilised. Significant management judgement is required to determine the amount of deferred tax assets that can be recognised, based upon the likely timing and the level of future taxable profits together with future tax planning strategies.

1.15.2.3 Defined benefit plans

The cost of the defined benefit gratuity plan and other postemployment medical benefits and the present value of the gratuity obligation are determined using actuarial valuations. An actuarial valuation involves making various assumptions that may differ from actual developments in the future. These include the determination of the discount rate, future salary increases and mortality rates.

Due to the complexities involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting

date. The parameter most subject to change is the discount rate. In determining the appropriate discount rate for plans operated in India, the management considers the interest rates of government bonds in currencies consistent with the currencies of the post-employment benefit obligation.

1.15.2.4 Fair value measurement of financial instruments

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques including the DCF model. The inputs to these models are taken from observable markets where possible, but where this is not feasible, a degree of judgement is required in establishing fair values. Judgements include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the reported fair value of financial instruments.

1.16 Recent Accounting Pronouncement

On 31st March, 2023, Ministry of Company Affairs has amended the Companies (Indian Accounting Standards) Amendment Rule, 2023, applicable from 1st April, 2023, as below:

Ind AS 103 – Business Combination:

The amendment required the new disclosure in respect of date on which the transferee Obtains the control of the transferor. The company does not expect the amendments to Have any impact in its financials.

Ind AS 107- Financial Instruments Disclosure:

The companies ( Indian Accounting Standards) Amendment Rule 2023 has amended paragraph 21 and paragraph B5 of Ind AS 107, thereby requiring companies to disclose their Material Accounting Policy Disclosure rather than their significant accounting policy .The company does not Expect the amendments to have any impact in its financials.

Ind AS 1 – Presentation of Financial Statements:

The amendment states that:

• Companies should disclose the material accounting policies rather than the significant accounting Policies.

• Clarifies that accounting policies relate to immaterial transactions, other events or conditions are themselvesare immaterial and therefore need not to be disclosed. The company does not expect the amendments to have any impact in its financials.

Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors:

The amendment rule 2023 inserted the definition of accounting estimate and omitted the change in Accounting estimate. But the company does not expect the amendments to have any impact in itsFinancials.

Ind AS 12 – Income Taxes:

Amendment RULE 2023 have issued certain amendments to Ind AS 12 .The amendments have been madeto narrow the scope of initial recognition exemption ,i.e., it no longer apply to transactions that , on initial recognition ,give rise to equal taxable and deductible temporary difference .With effect from 1st April, 2023 , the initial recognition exemption will be read as under:

• At the time of transaction , affect neither accounting profit nor taxable profit (tax loss);

• At the time of transaction, does not give rise to equal taxable and deductible temporary difference.

The company does not expect the amendments to have any impact in its financials.

1.16 Abbreviation used:

	a.	CGU	Cash generating unit
	b. c. d.	DCF FVTOCI FVTPL	Discounted Cash Flow Fair value through Other Comprehensive Income Fair value through Profit & Loss
	e.	GAAP	Generally accepted accounting principal
	f. g. h.	Ind AS OCI P&L	Indian Accounting Standards Other Comprehensive Income Profit and Loss
	i.	PPE	Property, Plant and Equipment

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KHANDELWAL EXTRACTIONS LIMITED

NON-CURRENT ASSETS

2. PROPERTY, PLANT	AND EQUIPMENT Rs. In lacs Opening Balance as on 01.04.2021 Additions made during the year Deletion made during the year Balance as on 31.03.2022 Additions made during the year Deletions/Adju stment made during the year Balance as on 31.03.2023 5.46 - - 5.46 - - 5.46 103.01 - 82.59 20.42 - - 20.42 188.57 0.33 183.96 4.94 - - 4.94 1.57 - - 1.57 - - 1.57 15.34 - - 15.34 - - 15.34 313.95 0.33 266.55 47.73 - - 47.73 Upto 31.03.2021 Depreciation for the year Adjustments during the year Upto 31.03.2022 Depreciation for the year Adjustments during the year Upto 31.03.2023 - - - - - - - 54.67 0.04 35.31 19.40 - - 19.40 164.22 0.20 160.46 3.96 0.16 - 4.12 1.56 - - 1.56 - - 1.56 8.32 1.47 - 9.79 1.47 - 11.26 228.77 1.71 195.77 34.71 1.63 - 36.34 As at 31st March 2023 As at 31st March 2022 5.46 5.46 1.02 1.02 0.82 0.98 0.01 0.01 4.08 5.55 11.39 13.02 Gross Block Depreciation Block Net Block	AND EQUIPMENT Rs. In lacs Opening Balance as on 01.04.2021 Additions made during the year Deletion made during the year Balance as on 31.03.2022 Additions made during the year Deletions/Adju stment made during the year Balance as on 31.03.2023 5.46 - - 5.46 - - 5.46 103.01 - 82.59 20.42 - - 20.42 188.57 0.33 183.96 4.94 - - 4.94 1.57 - - 1.57 - - 1.57 15.34 - - 15.34 - - 15.34 313.95 0.33 266.55 47.73 - - 47.73 Upto 31.03.2021 Depreciation for the year Adjustments during the year Upto 31.03.2022 Depreciation for the year Adjustments during the year Upto 31.03.2023 - - - - - - - 54.67 0.04 35.31 19.40 - - 19.40 164.22 0.20 160.46 3.96 0.16 - 4.12 1.56 - - 1.56 - - 1.56 8.32 1.47 - 9.79 1.47 - 11.26 228.77 1.71 195.77 34.71 1.63 - 36.34 As at 31st March 2023 As at 31st March 2022 5.46 5.46 1.02 1.02 0.82 0.98 0.01 0.01 4.08 5.55 11.39 13.02 Gross Block Depreciation Block Net Block	AND EQUIPMENT Rs. In lacs Opening Balance as on 01.04.2021 Additions made during the year Deletion made during the year Balance as on 31.03.2022 Additions made during the year Deletions/Adju stment made during the year Balance as on 31.03.2023 5.46 - - 5.46 - - 5.46 103.01 - 82.59 20.42 - - 20.42 188.57 0.33 183.96 4.94 - - 4.94 1.57 - - 1.57 - - 1.57 15.34 - - 15.34 - - 15.34 313.95 0.33 266.55 47.73 - - 47.73 Upto 31.03.2021 Depreciation for the year Adjustments during the year Upto 31.03.2022 Depreciation for the year Adjustments during the year Upto 31.03.2023 - - - - - - - 54.67 0.04 35.31 19.40 - - 19.40 164.22 0.20 160.46 3.96 0.16 - 4.12 1.56 - - 1.56 - - 1.56 8.32 1.47 - 9.79 1.47 - 11.26 228.77 1.71 195.77 34.71 1.63 - 36.34 As at 31st March 2023 As at 31st March 2022 5.46 5.46 1.02 1.02 0.82 0.98 0.01 0.01 4.08 5.55 11.39 13.02 Gross Block Depreciation Block Net Block	AND EQUIPMENT Rs. In lacs Opening Balance as on 01.04.2021 Additions made during the year Deletion made during the year Balance as on 31.03.2022 Additions made during the year Deletions/Adju stment made during the year Balance as on 31.03.2023 5.46 - - 5.46 - - 5.46 103.01 - 82.59 20.42 - - 20.42 188.57 0.33 183.96 4.94 - - 4.94 1.57 - - 1.57 - - 1.57 15.34 - - 15.34 - - 15.34 313.95 0.33 266.55 47.73 - - 47.73 Upto 31.03.2021 Depreciation for the year Adjustments during the year Upto 31.03.2022 Depreciation for the year Adjustments during the year Upto 31.03.2023 - - - - - - - 54.67 0.04 35.31 19.40 - - 19.40 164.22 0.20 160.46 3.96 0.16 - 4.12 1.56 - - 1.56 - - 1.56 8.32 1.47 - 9.79 1.47 - 11.26 228.77 1.71 195.77 34.71 1.63 - 36.34 As at 31st March 2023 As at 31st March 2022 5.46 5.46 1.02 1.02 0.82 0.98 0.01 0.01 4.08 5.55 11.39 13.02 Gross Block Depreciation Block Net Block	AND EQUIPMENT Rs. In lacs Opening Balance as on 01.04.2021 Additions made during the year Deletion made during the year Balance as on 31.03.2022 Additions made during the year Deletions/Adju stment made during the year Balance as on 31.03.2023 5.46 - - 5.46 - - 5.46 103.01 - 82.59 20.42 - - 20.42 188.57 0.33 183.96 4.94 - - 4.94 1.57 - - 1.57 - - 1.57 15.34 - - 15.34 - - 15.34 313.95 0.33 266.55 47.73 - - 47.73 Upto 31.03.2021 Depreciation for the year Adjustments during the year Upto 31.03.2022 Depreciation for the year Adjustments during the year Upto 31.03.2023 - - - - - - - 54.67 0.04 35.31 19.40 - - 19.40 164.22 0.20 160.46 3.96 0.16 - 4.12 1.56 - - 1.56 - - 1.56 8.32 1.47 - 9.79 1.47 - 11.26 228.77 1.71 195.77 34.71 1.63 - 36.34 As at 31st March 2023 As at 31st March 2022 5.46 5.46 1.02 1.02 0.82 0.98 0.01 0.01 4.08 5.55 11.39 13.02 Gross Block Depreciation Block Net Block	AND EQUIPMENT Rs. In lacs Opening Balance as on 01.04.2021 Additions made during the year Deletion made during the year Balance as on 31.03.2022 Additions made during the year Deletions/Adju stment made during the year Balance as on 31.03.2023 5.46 - - 5.46 - - 5.46 103.01 - 82.59 20.42 - - 20.42 188.57 0.33 183.96 4.94 - - 4.94 1.57 - - 1.57 - - 1.57 15.34 - - 15.34 - - 15.34 313.95 0.33 266.55 47.73 - - 47.73 Upto 31.03.2021 Depreciation for the year Adjustments during the year Upto 31.03.2022 Depreciation for the year Adjustments during the year Upto 31.03.2023 - - - - - - - 54.67 0.04 35.31 19.40 - - 19.40 164.22 0.20 160.46 3.96 0.16 - 4.12 1.56 - - 1.56 - - 1.56 8.32 1.47 - 9.79 1.47 - 11.26 228.77 1.71 195.77 34.71 1.63 - 36.34 As at 31st March 2023 As at 31st March 2022 5.46 5.46 1.02 1.02 0.82 0.98 0.01 0.01 4.08 5.55 11.39 13.02 Gross Block Depreciation Block Net Block	AND EQUIPMENT Rs. In lacs Opening Balance as on 01.04.2021 Additions made during the year Deletion made during the year Balance as on 31.03.2022 Additions made during the year Deletions/Adju stment made during the year Balance as on 31.03.2023 5.46 - - 5.46 - - 5.46 103.01 - 82.59 20.42 - - 20.42 188.57 0.33 183.96 4.94 - - 4.94 1.57 - - 1.57 - - 1.57 15.34 - - 15.34 - - 15.34 313.95 0.33 266.55 47.73 - - 47.73 Upto 31.03.2021 Depreciation for the year Adjustments during the year Upto 31.03.2022 Depreciation for the year Adjustments during the year Upto 31.03.2023 - - - - - - - 54.67 0.04 35.31 19.40 - - 19.40 164.22 0.20 160.46 3.96 0.16 - 4.12 1.56 - - 1.56 - - 1.56 8.32 1.47 - 9.79 1.47 - 11.26 228.77 1.71 195.77 34.71 1.63 - 36.34 As at 31st March 2023 As at 31st March 2022 5.46 5.46 1.02 1.02 0.82 0.98 0.01 0.01 4.08 5.55 11.39 13.02 Gross Block Depreciation Block Net Block
Particulars	Gross Block
	Opening Balance as on 01.04.2021	Additions made during the year	Deletion made during the year	Balance as on 31.03.2022	Additions made during the year	Deletions/Adju stment made during the year	Balance as on 31.03.2023
Tangible Assets Freehold Land Factory Buildings Plant and equipments Furniture and Fixtures Vehicles	5.46 103.01 188.57 1.57 15.34	- - 0.33 - -	- 82.59 183.96 - -	5.46 20.42 4.94 1.57 15.34	- - - - -	- - - - -	5.46 20.42 4.94 1.57 15.34
TOTAL	313.95	0.33	266.55	47.73	-	-	47.73
Particulars	Depreciation Block
	Upto 31.03.2021	Depreciation for the year	Adjustments during the year	**Upto 31.03.2022 **	Depreciation for the year	Adjustments during the year	Upto 31.03.2023
Tangible Assets Freehold Land Factory Buildings Plant and equipments Furniture and Fixtures Vehicles	- 54.67 164.22 1.56 8.32	- 0.04 0.20 - 1.47	- 35.31 160.46 - -	- 19.40 3.96 1.56 9.79	- - 0.16 - 1.47	- - - - -	- 19.40 4.12 1.56 11.26
TOTAL	228.77	1.71	195.77	34.71	1.63	-	36.34
Particulars	Net Block
	As at 31st March 2023	As at 31st March 2022
Tangible Assets Freehold Land Factory Buildings Plant and equipments Furniture and Fixtures Vehicles	5.46 1.02 0.82 0.01 4.08	5.46 1.02 0.98 0.01 5.55
TOTAL	11.39	13.02

2.1 Note: The title deed of immovable property included in property plant & equipment are held in the name of company except the following

3. INVESTMENT PROPERTY

	Gross Block	Gross Block	Gross Block	Depreciation Block	Depreciation Block	Depreciation Block	Depreciation Block	Net Block
Particulars	Opening Balance as on 01.04.2022	Adjustment made during theyear	Balance as on 31.03.2023	**Upto 31.03.2022 **	Depreciation for the year	Adjustments during the year	Upto 31.03.2023	As at 31.03.2023
Investment Property	82.59	-	82.59	36.61	1.31	-	37.92	44.67

3.1 Note: The title deed of immovable property included in property plant & equipment are held in the name of company except the following

Relevant line item in the balance sheet	Description of item of property	Gross Carrying value	Title deeds held in the name of	Whether title deed holder is promotor director or relative of Promotor/Direct ors or Employees of Promotor/Direct ors	Property held since which date	Reason for not being held in the name of the company
Property plant and equipment	Freehold Land	Rs.1.55 lacs	Khandelwal Extractions Private Limited	No	05.05.1981	The regsitration process of transfer of name is in progress as on 31.03.2023

Notes:

(A) The Fair value of investment property is not reliably measurable on continuing basis as the market for comparable properties is inactive.

(B) The estimated fair value in accordance with circle rate fixed by local government authorities is Rs. 625.28 Lacs. However circle rate approved by local authorities.

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KHANDELWAL EXTRACTIONS LIMITED

As At As At 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs 0.04 0.09 0.04 0.09

	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
18 As At As At 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs 4 TRADE RECEIVABLES(Unsecured Considered Good) 0.04 0.09 0.04 0.09 Less than 6 months 6 mon-1 year 1-2 years 2-3 years More than 3 years More than 3years A Undisputed trade receivables 1 Considered Good 0.04 - - - - - 0.04 [0.09] (-) (-) (-) (-) (-) [0.09] 2 Considered Doubtful - - - - - - - (-) (-) (-) (-) (-) (-) (-) B Disputed trade receivables 1 Considered Good - - - - - - - (-) (-) (-) (-) (-) (-) (-) 2 Considered Doubtful - - - - - - - (-) (-) (-) (-) (-) (-) (-) 0.04 - - - - 0.04 [0.09] (-) (-) (-) (-) (-) [0.09] Note: Figures in brackets are in respect of previous year . 5 CASH & BANK BALANCES : Balance In Current accounts 15.49 14.85 Other Bank Balances (Fixed Deposits) 182.50 172.42 Cash on hands 0.57 0.29 198.56 187.56 6 LOANS: Inter- Corporate Deposits(Unsecured Considered Good) 45.00 55.00 45.00 55.00 6.1 7 OTHER FINANCIAL ASSETS: Security Deposit 4.14 4.14 4.14 4.14 8 CURRENT TAX ASSETS: Income Tax Advance 8.79 - 8.79 - 9 OTHER CURRENT ASSETS: Vat Recoverable 5.76 5.76 Vat Disputed Tax Deposited 3.20 3.20 GST Recoverable 34.40 34.38 Interest Receivables 3.46 3.14 Income Tax recoverable 0.54 Other Advances 1.09 0.80 47.91 47.82 9.1 Trade Receivables Aging Schedule Rs in Lacs Total Outstanding for following periodsfrom due date ofpayments Total Total Previous Year S.no. Particulars No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries. No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities (“Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). -
		18

• 9.1 No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities (“Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries).

18

KHANDELWAL EXTRACTIONS LIMITED

10 SHARE CAPITAL: AUTHORISED: 1000000 Equity Shares of Rs. 10/- each Cumulative Redeemable Preference Shares of Rs 100/- each 40000 12% 10000 10% 50000 10.5% ISSUED, SUBSCRIBED & PAID UP 850100 Equity Shares of Rs. 10/- each Equity Shares Forfeiture A/c	As At As At 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs 100.00 100.00 40.00 40.00 10.00 10.00 50.00 50.00 200.00 200.00 85.01 85.01 3.00 3.00 88.01 88.01

Rights , Prefrences and Restriction attach to Equity shares

The Company has single class of equity shares. Accordingly, all equity shares rank equally with regard to dividend and share in the Company's residual assets. The equity shareholders are entitled to receive dividend as declared from time to time. The voting rights of an equity shareholder on a poll (not on show of hands) are in proportion to its share in the paid- up equity capital of the Company. Voting rights cannot be exercised in respect of shares on which any call or other sums presently payable have not been paid. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the residual assets of the Company, remaining after distribution of all preferential amounts in proportion to the number of equity shares held.

The Reconciliation of number of shares outstanding at the beginning and end of theyear:	The Reconciliation of number of shares outstanding at the beginning and end of theyear:	The Reconciliation of number of shares outstanding at the beginning and end of theyear:	The Reconciliation of number of shares outstanding at the beginning and end of theyear:	The Reconciliation of number of shares outstanding at the beginning and end of theyear:	The Reconciliation of number of shares outstanding at the beginning and end of theyear:	The Reconciliation of number of shares outstanding at the beginning and end of theyear:	The Reconciliation of number of shares outstanding at the beginning and end of theyear:
Particulars				No. of Shares		No. of Shares
EquityShares at the Beginningof theyear				8.50			8.50
EquityShares at the end of theyear				8.50			8.50
Details Of Shareholders Holding More Than 5 % Shares
EquityShares				NIL			NIL
	Shareholding of Promoters
Shares held by promoters at the end of the Year
S.no.		Promoters Name		No. of Shares	% of total shares		% change during the year
1		Kailash Nath Khandelwal		35,000	4.12%		-
2		Vishwa Nath Khandelwal		29,650	3.49%		-
3		Dinesh Khandelwal		42,000	4.94%		-
Total				1,06,650	13%		-

19

KHANDELWAL EXTRACTIONS LIMITED

	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
As At As At 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs 11 OTHER EQUITY: a CAPITAL REDEMPTION RESERVE Balance at the beginning of the year 50.00 50.00 Balance at the end of the year 50.00 50.00 b GENERAL RESERVE Balance at the beginning of the year 96.25 96.25 Balance at the end of the year 96.25 96.25 c Retained Earnings Balance at the beginning of the year (25.64) (55.35) Add: Total Comprehensive Income for the year 19.48 29.71 Balance at the end of the year (6.16) (25.64) 140.09 120.61 NOTES TO OTHER EQUITY: 11.1 Capital Redemption Reserve represents amount of Preference Capital redeemed. 11.2 General Reserve is the free reserve arising out of profit/loss earned by the Company after appropriations till date. 11.3 Retained Earnings represents the cumulative loss of the Company. This reserve can be utilised in accordance with the provision of the Companies Act 2013. NON-CURRENT LIABILITIES FINANCIAL LIABILITIES 12 DEFERRED TAX LIABILITIES(NET) Balance at the beginningof theyear 43.08 51.08 Charge/Credit to statement of Profit/Loss (11.75) (8.00) Balance at the end of theyear 31.33 43.08 Component of Deferred Tax Liability/Asset Deferred Tax Liability/(Asset) in relation to Property,Plant & Equipment 11.36 11.96 Unabsorbed Business Losses & Depreciation (42.69) (51.36) MAT Credit Entitlement - (3.68) (31.33) (43.08) Note- As At As At 31.03.2023 31.03.2022 CURRENT LIABILITIES Rs. In lacs Rs. In lacs FINANCIAL LIABILITIES 13 TRADE PAYABLES To Micro Enterprises and Small Enterprises - - To Others 5.58 6.37 5.58 6.37 There will be available future taxable profit against which unused tax losses and unused tax credit can be utilised 20
		20

20

KHANDELWAL EXTRACTIONS LIMITED

	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
21 Note: 1. Figures in Brackets are in respect of Previous Year 2. Based on the information available with the Company regarding the status of suppliers as defined under MSMED Act, 2006, there was no principal amount overdue and no interest was payable to the Micro, Small and Medium Enterprises on 31st March 2023 as per the terms of contract. 14 OTHER CURRENT FINANCIAL LIABILITIES Borrowings: Unsecured loans from related parties 88.00 120.00 Interest Accrued and due 5.13 6.48 93.13 126.48 14.1 15 OTHER CURRENT LIABILITIES Payable to related parties 53.65 Other Payable 5.63 Security Deposit 5.73 65.01 The company has not received any fund from any person(s) or entity(ies), including foreign entities (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries. 44.32 4.71 5.73 54.76 P less than 1 year 1-2 years 2-3 years More than 3 years 1 M 0.42 0.57 - 4.59 5.58 [0.56] [0.43] [0.49] [4.89] [6.37] 2 MSME 0.00 0.00 0.00 0.00 [0.00] [0.00] [0.00] [0.00] [0.00] 3 Disputed Dues - MSME 0.00 0.00 0.00 0.00 [0.00] [0.00] [0.00] [0.00] [0.00] 4 Disputed Dues - Others 0.00 0.00 0.00 0.00 [0.00] [0.00] [0.00] [0.00] 0.57 - 4.59 5.58 [0.43] [0.49] [4.89] [6.37] Trade Payables Aging Schedule Amt. in Lacs Outstanding for following periods from due date of payments Total S.no. Total Previous Year Total Others 0.42 16 17 0.90 0.90 29.00 17.39 0.02 106.85 153.26 REVENUE FROM OPERATIONS: (a) Sale of products OTHER INCOME: Rent Interest Income Dividend Profit on sale of Assets - - 68.23 19.28 0.02 - 87.53 0.00 0.00 [0.56] 0.42 [0.00] 0.00 0.00] 0.00]
		21

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KHANDELWAL EXTRACTIONS LIMITED

		KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
22 Year Ended 31.03.2022 Rs. In lacs 0.99 - 0.99 26.16 1.83 0.53 28.52 7.20 7.20 3.00 31.36 0.30 24.24 12.55 71.45 0.21 0.21 71.66 Year Ended 31.03.2023 Rs. In lacs - - - 24.39 1.83 0.45 26.67 5.70 5.70 3.54 3.12 0.30 - 13.71 20.67 18 19 20 21 CHANGES IN INVENTORIES OF FINISHED GOODS: Stock at Commencement Stock at Close (Increase)/Decrease EMPLOYEE BENEFITS EXPENSE: Salaries & Wages Contribution To Provident and Other Funds Staff Welfare Expense FINANCE COST: Interest on Borrowings OTHER EXPENSES: ADMINISTRATIVE EXPENSES Rates & Taxes Repairs to Buildings Rent VAT Tax Miscellaneous Expenses REMUNERATION TO AUDITORS Audit Fees 0.28 0.28 20.95 22 TAX EXPENSE A. Amount recognised in Profit or Loss Current Tax Income Tax for the year 0.00 10.20 Adjustments/(credits) related to previous year-Net 3.71 0.00 Total Current Tax 3.71 10.20 Deferred Tax Deferred Tax for the year 8.08 2.87 Adjustments/(credits) related to previous year-Net Total Deferred Tax 8.08 2.87 Total Tax Expense 11.79 13.07 B. Amount recognised in other comprehensive income: 0.00 0.00 Deferred Tax: On items that will not be reclassified to Profit or Loss: 0.00 0.00 On items that will be reclassified to Profit or Loss: 0.00 0.00 Total 0.00 0.00 Reconciliation of effective tax rate: The income tax expense for the year can be reconciled to the accounting profit as follows: Profit Before Tax 31.27 42.78 Applicable Tax Rate 0.25 0.25 Computed Tax Expense 7.87 10.77 Adjustment in respect of current Income Tax of Previous Year 3.71 0.00 Tax effect of: Exempted Income 0.00 0.00 Expenses Allowed/Disallowed under Income Tax Act (Net) 0.00 0.00 Tax Adjustment of last years 0.00 0.00 Current Tax Provisions (A) 0.00 10.20 Incremental Deferred Tax Asset / (Liability) on account of Tangible and Intangible Assets -0.59 -2.33 Incremental Deferred Tax Asset / (Liability) on account other Timing Differences 8.67 5.20 Deferred Tax Asset / (Liability) (B) 8.08 2.87 Adjustments recognised in the current year in relation to the current tax of prior years (C) 0.00 0.00 Tax Expenses recognised in Statement of Profit and Loss (A-B) 8.08 13.07 Effective Tax Rate 0.26 0.31 The tax (charge)/credit arising on income and expenses
	22 Year Ended 31.03.2022 Rs. In lacs 0.99 - 0.99 26.16 1.83 0.53 28.52 7.20 7.20 3.00 31.36 0.30 24.24 12.55 71.45 0.21 0.21 71.66 Year Ended 31.03.2023 Rs. In lacs - - - 24.39 1.83 0.45 26.67 5.70 5.70 3.54 3.12 0.30 - 13.71 20.67 18 19 20 21 CHANGES IN INVENTORIES OF FINISHED GOODS: Stock at Commencement Stock at Close (Increase)/Decrease EMPLOYEE BENEFITS EXPENSE: Salaries & Wages Contribution To Provident and Other Funds Staff Welfare Expense FINANCE COST: Interest on Borrowings OTHER EXPENSES: ADMINISTRATIVE EXPENSES Rates & Taxes Repairs to Buildings Rent VAT Tax Miscellaneous Expenses REMUNERATION TO AUDITORS Audit Fees 0.28 0.28 20.95 22 TAX EXPENSE A. Amount recognised in Profit or Loss Current Tax Income Tax for the year 0.00 10.20 Adjustments/(credits) related to previous year-Net 3.71 0.00 Total Current Tax 3.71 10.20 Deferred Tax Deferred Tax for the year 8.08 2.87 Adjustments/(credits) related to previous year-Net Total Deferred Tax 8.08 2.87 Total Tax Expense 11.79 13.07 B. Amount recognised in other comprehensive income: 0.00 0.00 Deferred Tax: On items that will not be reclassified to Profit or Loss: 0.00 0.00 On items that will be reclassified to Profit or Loss: 0.00 0.00 Total 0.00 0.00 Reconciliation of effective tax rate: The income tax expense for the year can be reconciled to the accounting profit as follows: Profit Before Tax 31.27 42.78 Applicable Tax Rate 0.25 0.25 Computed Tax Expense 7.87 10.77 Adjustment in respect of current Income Tax of Previous Year 3.71 0.00 Tax effect of: Exempted Income 0.00 0.00 Expenses Allowed/Disallowed under Income Tax Act (Net) 0.00 0.00 Tax Adjustment of last years 0.00 0.00 Current Tax Provisions (A) 0.00 10.20 Incremental Deferred Tax Asset / (Liability) on account of Tangible and Intangible Assets -0.59 -2.33 Incremental Deferred Tax Asset / (Liability) on account other Timing Differences 8.67 5.20 Deferred Tax Asset / (Liability) (B) 8.08 2.87 Adjustments recognised in the current year in relation to the current tax of prior years (C) 0.00 0.00 Tax Expenses recognised in Statement of Profit and Loss (A-B) 8.08 13.07 Effective Tax Rate 0.26 0.31 The tax (charge)/credit arising on income and expenses
			22

KHANDELWAL EXTRACTIONS LIMITED

2022-23 2021-22 Rs. In lacs Rs. In lacs 23 EARNINGS PER SHARE: 19.48 29.71 8.50 8.50 2.29 3.49 24 25 a) Defined Contribution Plan Contribution to defined contribution plan recognised as expenses for the year 2021-22 are as under 2022-23 2021-22 Rs. In lacs Rs. In lacs Employer's Contribution to Provident Fund 1.80 1.80 b) Defined Benefit Plan Balances of other Current Assets and Trade Paybles are subject to reconciliation and confirmation. The Employees Gratuity Fund Scheme managed by L.I.C. is Defined Benefit Plan. The present value of obligation is determined based on actuarial valuation provided by L.I.C. Disclosure in terms of Ind As -19 issued by the Institute Of Chartered Accountants Of India has not been given as required details have not been provided by the Life Insurance Corporation Of India Net Profit available to equity shareholders (used as numerator for calculating Basic & Diluted EPS) Number of equity shares (used as denominator for calculating Basic & Diluted EPS) Basic and Diluted Earning per share of Rs. 10/-	2022-23 2021-22 Rs. In lacs Rs. In lacs EARNINGS PER SHARE: 19.48 29.71 8.50 8.50 2.29 3.49 Defined Contribution Plan Contribution to defined contribution plan recognised as expenses for the year 2021-22 are as under 2022-23 2021-22 Rs. In lacs Rs. In lacs Balances of other Current Assets and Trade Paybles are subject to reconciliation and confirmation. Net Profit available to equity shareholders (used as numerator for calculating Basic & Diluted EPS) Number of equity shares (used as denominator for calculating Basic & Diluted EPS) Basic and Diluted Earning per share of Rs. 10/-	2022-23 2021-22 Rs. In lacs Rs. In lacs EARNINGS PER SHARE: 19.48 29.71 8.50 8.50 2.29 3.49 Defined Contribution Plan Contribution to defined contribution plan recognised as expenses for the year 2021-22 are as under 2022-23 2021-22 Rs. In lacs Rs. In lacs Balances of other Current Assets and Trade Paybles are subject to reconciliation and confirmation. Net Profit available to equity shareholders (used as numerator for calculating Basic & Diluted EPS) Number of equity shares (used as denominator for calculating Basic & Diluted EPS) Basic and Diluted Earning per share of Rs. 10/-	2022-23 2021-22 Rs. In lacs Rs. In lacs EARNINGS PER SHARE: 19.48 29.71 8.50 8.50 2.29 3.49 Defined Contribution Plan Contribution to defined contribution plan recognised as expenses for the year 2021-22 are as under 2022-23 2021-22 Rs. In lacs Rs. In lacs Balances of other Current Assets and Trade Paybles are subject to reconciliation and confirmation. Net Profit available to equity shareholders (used as numerator for calculating Basic & Diluted EPS) Number of equity shares (used as denominator for calculating Basic & Diluted EPS) Basic and Diluted Earning per share of Rs. 10/-	2022-23 2021-22 Rs. In lacs Rs. In lacs EARNINGS PER SHARE: 19.48 29.71 8.50 8.50 2.29 3.49 Defined Contribution Plan Contribution to defined contribution plan recognised as expenses for the year 2021-22 are as under 2022-23 2021-22 Rs. In lacs Rs. In lacs Balances of other Current Assets and Trade Paybles are subject to reconciliation and confirmation. Net Profit available to equity shareholders (used as numerator for calculating Basic & Diluted EPS) Number of equity shares (used as denominator for calculating Basic & Diluted EPS) Basic and Diluted Earning per share of Rs. 10/-	2022-23 2021-22 Rs. In lacs Rs. In lacs EARNINGS PER SHARE: 19.48 29.71 8.50 8.50 2.29 3.49 Defined Contribution Plan Contribution to defined contribution plan recognised as expenses for the year 2021-22 are as under 2022-23 2021-22 Rs. In lacs Rs. In lacs Balances of other Current Assets and Trade Paybles are subject to reconciliation and confirmation. Net Profit available to equity shareholders (used as numerator for calculating Basic & Diluted EPS) Number of equity shares (used as denominator for calculating Basic & Diluted EPS) Basic and Diluted Earning per share of Rs. 10/-
	Employer's Contribution to Provident Fund		1.80		1.80

26 Related Party Disclosures: A) Related Party disclosures as required under section 188 of Companies Act, 2013 has been made with whom transactions has been made during the year

Key Management Personnel and their relatives :

V.N. Khandelwal Whole-time Director (Works) Dinesh Khandelwal Whole-time Director (Finance) & CFO K.N. Khandelwal Non-Executive Non-Independent Director Sudhir Kumar Khandelwal Relative Anil Khandelwal Relative

Key Management Personnel:

Mohit Srivastava Company Secretary till 12.08.2023 Satyansha Dubey Company Secretary w.e.f 13.08.2023

Independent Directors:

Ashok Gupta Atul Bagla Anil Kamthan Rekha Kejriwal

B) The following transactions were carried with above related parties in the ordinary course of business and on terms equivalent to those that prevail in arm's length transaction.:

	2022-23	2021-22
	Rs. In lacs	Rs. In lacs
Directors Sitting Fee- Non-Executive Non-Independent Director	0.10	0.11
Independent Directors	0.25	0.34
Remuneration	17.16	18.92
Unsecured Loan and Deposits
Balance at the beginning of the year	120.00	120.00
Amount paid during the year	32.00	-
Amount received during the year	-	-
Balance at the end of the year	88.00	120.00
Interest Paid	5.70	7.20

Note: Related Parties relationship is as identified by the Company and relied upon by the auditors.

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KHANDELWAL EXTRACTIONS LIMITED

27 Financial Instruments and Related Disclosures

Capital Management:

The Company’s financial strategy aims to support its strategic priorities and provide adequate capital to its businesses for growth and creation of sustainable stakeholder value. The Company funds its operations majorly through internal accruals. The Company aims at maintaining a strong capital base largely towards supporting the future growth of its businesses as a going concern.

A a B a 28	Categories of Financial Instruments	Categories of Financial Instruments	Rs in Lacs	Rs in Lacs	Rs in Lacs	Rs in Lacs
	Particulars	Note	As at 31st March,2023		As at 31st March,2022
			Carrying Value	Fair Value	Carrying Value	Fair Value
	FINANCIAL ASSETS
	Measured at amortised cost
	Cash and Cash Equivalents	**5 **	198.56	198.56	198.56	198.56
	Loans	**6 **	45.00	45.00	55.00	55.00
	Trade Receivables	**4 **	0.04	0.04	0.09	0.09
	Other Financial Assets	**7 **	4.14	4.14	4.14	4.14
	Sub-total		247.74	247.74	257.79	257.79
	Total financial assets		247.74	247.74	257.79	257.79
	FINANCIAL LIABILITIES
	Measured at amortised cost
	Borrowings	**14 **	88.00	88.00	120.00	120.00
	Trade Payables	**13 **	5.59	5.59	6.37	6.37
	Other Financial Liabilities		5.13	5.13	6.48	6.48
	Sub-total		98.72	98.72	132.85	132.85
	Total financial liabilities		98.72	98.72	132.85	132.85
	FINANCIAL RISK MANAGEMENT OBJECTIVES: Liquidity Risk: The company current assets aggregate to Rs 304.44 Lacs ( P.Y. 2021-22 Rs 294.61 Lacs ) including Trade receivable , cash and cash equivalent , loans and other financial assets of Rs 247.74 Lacs ( P.Y. 2021-22 Rs 246.79 lacs) against aggregate current liabiolity Rs 65.01 lacs ( P.Y. 2021-22 Rs 188.06 lacs) non current lioability of Rs 98.72 lacs on the reporting date. Further , while the company's total equity stands 228.10 lacs ( P.Y. 208.62 lacs) it has borrowing of Rs 88.00 lacs ( P.Y. 2021-22 Rs 120.00 lacs ). In such circumstances liquidity rirk, or the risk that the company may not be able to settle or meet its obligations as they become due does not exist. The Company has a system-based approach to risk management, anchored to policies and procedures and internal financial controls aimed at ensuring early identification, evaluation and management of key financial risks (such as market risk, credit risk and liquidity risk) that may arise as a consequence of its business operations as well as its investing and financing activities. Accordingly, the Company’s risk management framework has the objective of ensuring that such risks are managed within acceptable and approved risk parameters in a disciplined and consistent manner and in compliance with applicable regulation. It also seeks to drive accountability in this regard.

Market Risks:

The Company is not an active investor in equity markets.

Foreign Currency Risk:

The Company has no exposure in foreign currency and therefore ,the company does not have foreign currency risk. Credit Risk:

The Company’s historical experience of collecting receivables and the level of default indicate that credit risk is low and generally uniform across markets. The Company’s exposure to credit risk is influenced mainly by the individual characteristics of each customer.

FAIR VALUE MEASUREMENT:

Fair value hierarchy:

Fair value of the financial instruments is classified in various fair value hierarchies based on the following three levels:

Level 1:

Quoted prices (unadjusted) in active markets for identical assets or liabilities. Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3:

Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs). The fair value of trade receivables, trade payables and other Current financial assets and liabilities is considered to be equal to the carrying amounts of these items due to their short-term nature.

24

KHANDELWAL EXTRACTIONS LIMITED

• 29 There is no manufacturing activities during the year. All the Plant and Machineries have been sold and manufacturing activities have been closed permanently. Factory building (Godowns) has been given on lease.

• 30 The Government of India on September 20, 2019, vide the Taxation Law (amendment) Ordinance, 2019, inserted a new section 115 BAA in the Income Tax Act, 1961, which provides Domestic Companies a Non-Reversible option to pay Corporate Tax at reduced rate effective April 01, 2019, subject to certain conditions. The Company decided to opt for lower rate of Tax as specified under section of 115BAA of Income Tax Act, and accordingly MAT Credit of Rs 368028 charged to Profit and Loss Account.

• 31 a) Disclosure of Ratios:

Followings are the ratios as per the requirement of schedule III to the companies Act, 2013

Sl . No.	Ratio	As at 31-03-2023	As at 31-03-2022	Reason for change where change is more than 25%
1	Current ratio	1.86	1.57	Not Applicable
2	Debt equity ratio	0.39	0.58	Ratio has been improved due to repayment of debt
3	Debt Service Coverage Ratio	0.75	6.94	The company’s manufacturing activities remained suspended since accounting year 2020-21 and has income through rent on investment property only and therefore there is variance in DSCR
4	Return on Equity Ratio	8.92%	14.24%	The company’s manufacturing activities remained suspended since 2020-21 and has income through rent on investment property only and therefore there is variance due to decrease in profit
5	Inventory Turnover Ratio	NIL	NIL	Not Applicable as there is no turnover during the year
6	Trade Receivable Turnover Ratio	NIL	0.32%	Not Applicable
7	Trade Payable Turnover Ratio	NIL	NIL	Not Applicable
`8	Net capital turnover ratio	NIL	0.84%	Not Applicable as there is no turnover during the year
9	Net Profit Ratio	28.55	NIL	During the year income from rent on investment property increased and therfore there is an variance.
10	Return on capital employed	13.70%	23.96%	During the year income from rent on investment property increased and therfore there is an variance.
11	Return on investment	Not Applicable Not Applicable		Not Applicable

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KHANDELWAL EXTRACTIONS LIMITED

31 b) FORMULAE FOR COMPUTATION OF RATIOS

Formulae for computation of ratios are as follows

	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED	KHANDELWAL EXTRACTIONS LIMITED
26 32 31.03.2023 31.03.2022 Rs. In lacs Rs. In lacs 5.21 5.21 16.71 16.71 33 34 35 36 37 38 Approval of Financial Statements: The Financial Statements were approved by the Board of Directors on 27.05.2023. The company did not enter any transactions with companies struck off under section 248 of the Companies Act, 2013 or section 560 of the Companies Act, 1956. There is no outstanding balanceswith struck off companies. The company did not held any Benami Properties and no proceedings has been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibiton) Act, 1988 (45 of 1988) and rules made thereunder. The company has not entered into any scheme of arrangements and no scheme of arrangements has been approved by the Competent Authority in terms of section 230 to 237 of Companies Act, 2013. The company has complied with number of layers of company. Figures of previous year have been regrouped and recasted to conform to the layout of the accounts for the current year. Claims against the Company not acknowledged as debts. VAT Disputed Liability Assessment Year 2011-12 of which appeal is pending with Additional Commissioner Gr-2 (Appeal) Commercial Tax, Kanpur. CONTINGENT LIABILITIES: 31 b) FORMULAE FOR COMPUTATION OF RATIOS Formulae for computation of ratios are as follows Sl. No. RATIO 11 8 9 4 6 Net Profit Ratio Net capital turnover ratio 5 7 Return on Equity Ratio Trade Receivable Turnover Ratio Trade Payable Turnover Ratio Inventory Turnover Ratio Total Debt Debt Equity Ratio Debt Service Coverage Ratio 3 2 Earning available for debt service Total equity = Total shareholders fund Total Debt= Short term borrowing+ long term borrowings Total equity Current Liabilities Current Assets 1 Current Ratio FORMULAE Profit after tax (after exceptional items) Net credit purchase = Gross credit purchase- purchase return Net annual sale Working capital Working capital = Current assets- current liabilities Return on investment Value of sales and services Earning before tax and interest Capital employed Net credit purchase Average trade payable` Interest expenses+ Lease payment +principal repayments made during the year. Earning available for debt service = Net profit after taxes+ non cash operating expenses like depreciation and other amortisation + interest +other adjustments like loss on sale of fixed assets Net profit after tax – preference Dividend (if any) Average Shareholder equity Shareholder equity = Assets – Liabilities Net credit sale = gross credit sale -sales return Average shareholder equity = (Opening + closing )/2 Cost of goods sold(cost of material consumed +purchases+ changes in inventory + manufacturing expenses) OR SALE Average inventory of finished goods , stock in process and stock in trade Net credit sale Average trade receivable Capital employed = Total assets – current liabilities OR Tangible net worth +total debt + deferred tax liability Vf-Vi Vi Vf= Final value of investment including dividend and interest Vi = Initial value of investment(Cost of investment ) Return on capital employed 10 As per our report of even date attached Membership No. 072754 For P. L. Tandon & Co. Chartered Accountants Registration No.000186C P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) DINESH KHANDELWAL K.N. KHANDELWAL (Director- Finance & CFO) V.N. KHANDELWAL ASHOK GUPTA (Whole Time Director) (Independent Director) Place: Kanpur Date: 27.05.2023 (Chairperson) DIN : 00161831 DIN : 00037250 DIN : 00161893 DIN : 00135288 M. No. A67216
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• 34 The company did not held any Benami Properties and no proceedings has been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibiton) Act, 1988 (45 of 1988) and rules made thereunder.

• 35 The company has complied with number of layers of company.

• 36 The company has not entered into any scheme of arrangements and no scheme of arrangements has been approved by the Competent Authority in terms of section 230 to 237 of Companies Act, 2013.

• 37 Figures of previous year have been regrouped and recasted to conform to the layout of the accounts for the current year.

• 38 Approval of Financial Statements:

The Financial Statements were approved by the Board of Directors on 27.05.2023.

As per our report of even date attached

For P. L. Tandon & Co. Chartered Accountants Registration No. 000186C

P.P. SINGH SATYANSHA DUBEY (Partner) (Company Secretary) Membership No. 072754 M. No. A67216 Place: Kanpur Date: 27.05.2023

DINESH KHANDELWAL K.N. KHANDELWAL (Director- Finance & CFO) (Chairperson) DIN : 00161831 DIN : 00037250 V.N. KHANDELWAL ASHOK GUPTA (Whole Time Director) (Independent Director) DIN : 00161893 DIN : 00135288

V.N. KHANDELWAL (Whole Time Director) DIN : 00161893

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KHANDELWAL EXTRACTIONS LIMITED

KHANDELWAL EXTRACTIONS LIMITED

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(CIN:L24241UP1981PLC005282)
Regd. Office: 51/47 NayaGanj, Kanpur-208001
E-mail:kelknp@yahoo.com Website: www.khandelwalextractions.com
Mobile : 9415330630
Attendance Slip
I/We hereby record my/our presence at the 41st Annual General Meeting of the Company to be held on Saturday,
23rd September 2023, at 4.00 P.M at 50 MIG Bungalow, W Block, Keshav Nagar, Kanpur 208014.
……………...……...….….. ……………....………...….. …..............……………………….
Member's Folio No./BOID Member's/Proxy's name Member's /Proxy's Signature
In Block Letters
Note : Please complete the Folio No. /BOID and name, sign this Attendance Slip and hand it over at the ENTRANCE
OF THE MEETING HALL.
PROXY FORM
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Folio No./BOID :
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as my/our proxy to attend and vote (on a poll) for me/us and on my/our behalf at the 41st Annual General Meeting of the
Company to be held at 50 MIG Bungalow, W Block, Keshav Nagar, Kanpur, 208014 on Saturday, 23rd September, 2023 at
4.00 p.m. and at any adjournment thereof in respect of such resolutions as indicated below:
Resolution No. RESOLUTIONS Optional ( ü )
Ordinary Business For Against
1. ended 31Adoption of Audited Financial Statements & Reports of the Directors and Auditors for the year st March, 2023
2. Re-appointment of Mr. Dinesh Khandelwal who retires by rotation
Special Business/Special Resolution
3. Re-appointment of Shri Vishwa Nath Khandelwal as Whole time Director (Works)
4. Appointment of Mr. Prakhar Pandey as an Independent Director
Affix Revenue Stamp of Rs.1/-
Signed this………..day of September, 2023
Signature of shareholder……………………………………
Signature of Proxy holder(s)………………..
Note:
1. This form of proxy in order to be effective should be duly completed and deposited at the Registered Office of the Company not
less than 48 hours before the commencement of Meeting.
2. For the Resolutions, Explanatory Statement and Notes please refer to the Notice of the 41st Annual General Meeting.
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KHANDELWAL EXTRACTIONS LIMITED
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VENUE : 50 MIG BUNGLOW, W BLOCK, KESHAV NAGAR, KANPUR - 208 014 (Near Aman Paradise)
MAP SHOWING VENUE OF ANNUAL GENERAL MEETING OF KHANDELWAL EXTRACTIONS LIMITED
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