NATH INDUSTRIES LIMITED

(FORMERLY KNOWN AS RAMA PULP AND PAPERS LIMITED)

39TH ANNUAL REPORT

2020-21

Registered Office	Units:
Nath House, Nath Road Aurangabad- 431005 Maharashtra	i) Rama Paper Plot No. 293-296, Phase II, G.I.D.C., Vapi – 396195 Gujarat.
Corporate Office 1, Chateau Windsor, 86, Veer Nariman Road,	ii) Nath Paper Nath Nagar (north), Village Wahegaon, Taluka Paithan, Dist. Aurangabad-431148 Maharashtra. iii) Nath Chemical Plot No. 295, Phase II, G.I.D.C., Vapi – 396195 Gujarat.
Churchgate, Mumbai – 400 020
Directors:	Statutory Auditors:
Shri Akhileshkumar Sharma Shri Ramniklal Salgia Shri Abhaykumar Jain Mrs Jeevanlata Kagliwal Shri Shrirang Agrawal Shri Kashinath Iyer Ganapathy	M/s Vidya & Co Chartered Accountants
Company Secretary:
Ms. Nupur Lodwal
Registrar & Share Transfer Agent:	Bankers
Big Share Services Pvt. Ltd. st Floor, Bharat Tin Works Building, 1 Makwana Road Marol, Andheri-East, Mumbai-400059	State Bank of India

Contents: Page No.

Notice	1-8
Directors Report	9-44
Independent Auditors Reports	45-51
Balance Sheet	52
Profit and Loss Account	53
Cash Flow Statement	54
Notes to Accounts	55-88

NOTICE OF ANNUAL GENERAL MEETING

Notice is hereby given that the 39th ANNUAL GENERAL MEETING of NATH INDUSTRIES LIMITED will be held on Thursday the 30th September, 2021 at 02.30 P.M. through Video Conferencing (VC)/ other Audio-Visual Means (OAVM) to transact the following Business:

ORDINARY BUSINESS:

1. ADOPTION OF FINANCIAL STATEMENTS.

To receive, consider and adopt Audited Balance Sheet of the Company as at March 31, 2021 and Statement of Profit & Loss for the year ended as on that date together with the Report of Directors and Auditors thereon.

2. RE-APPOINTMENT OF DIRECTOR

To appoint Mr. Shrirang Agrawal (DIN-00119681) as Director of the Company, who retires by rotation and being eligible, offer herself for re-appointment.

NOTES

1. In view of the massive outbreak of the COVID-19 pandemic, social distancing is a norm to be followed and pursuant to the Circular No. 14/2020 dated April 08, 2020, Circular No.17/2020 dated April 13, 2020 issued by the Ministry of Corporate Affairs followed by Circular No. 20/2020 dated May 05, 2020 and Circular No. 02/2021 dated January 13, 2021 and all other relevant circulars issued from time to time, physical attendance of the Members to the EGM/AGM venue is not required and general meeting be held through video conferencing (VC) or other audio visual means (OAVM). Hence, Members can attend and participate in the ensuing EGM/AGM through VC/OAVM.
1. Pursuant to the Circular No. 14/2020 dated April 08, 2020, issued by the Ministry of Corporate Affairs, the facility to appoint proxy to attend and cast vote for the members is not available for this EGM/AGM. However, the Body Corporates are entitled to appoint authorised representatives to attend the EGM/AGM through VC/OAVM and participate there at and cast their votes through e-voting.
1. The Members can join the EGM/AGM in the VC/OAVM mode 15 minutes before and after the scheduled time of the commencement of the Meeting by following the procedure mentioned in the Notice. The facility of participation at the EGM/AGM through VC/OAVM will be made available for 1000 members on first come first served basis. This will not include large Shareholders (Shareholders holding 2% or more shareholding), Promoters, Institutional Investors, Directors, Key Managerial Personnel, the Chairpersons of the Audit Committee, Nomination and Remuneration Committee and Stakeholders Relationship Committee, Auditors etc. who are allowed to attend the EGM/AGM without restriction on account of first come first served basis.
1. The attendance of the Members attending the EGM/AGM through VC/OAVM will be counted for the purpose of reckoning the quorum under Section 103 of the Companies Act, 2013.
1. Pursuant to the provisions of Section 108 of the Companies Act, 2013 read with Rule 20 of the Companies (Management and Administration) Rules, 2014 (as amended) and Regulation 44 of SEBI (Listing Obligations & Disclosure Requirements) Regulations 2015 (as amended), and the Circulars issued by the Ministry of Corporate Affairs dated April 08, 2020, April 13, 2020 and May 05, 2020 the Company is providing facility of remote e-Voting to its Members in respect of

the business to be transacted at the EGM/AGM. For this purpose, the Company has entered into an agreement with National Securities Depository Limited (NSDL) for facilitating voting through electronic means, as the authorized agency. The facility of casting votes by a member using remote e-Voting system as well as venue voting on the date of the EGM/AGM will be provided by NSDL.

1. In line with the Ministry of Corporate Affairs (MCA) Circular No. 17/2020 dated April 13, 2020, the Notice calling the EGM/AGM has been uploaded on the website of the Company at www.nathindustries.com . The Notice can also be accessed from the websites of the Stock Exchanges i.e. BSE at www.bseindia.com and the EGM/AGM Notice is also available on the website of NSDL (agency for providing the Remote e-Voting facility) i.e. www.evoting.nsdl.com.
1. EGM/AGM has been convened through VC/OAVM in compliance with applicable provisions of the Companies Act, 2013 read with MCA Circular No. 14/2020 dated April 08, 2020 and MCA Circular No. 17/2020 dated April 13, 2020, MCA Circular No. 20/2020 dated May 05, 2020 and MCA Circular No. 2/2021 dated January 13, 2021.
1. As per Regulation 40 of SEBI Listing Regulations, as amended, securities of listed companies can be transferred only in dematerialized form with effect from, April 1, 2019, except in case of request received for transmission or transposition of securities. In view of this and to eliminate all risks associated with physical shares and for ease of portfolio management, members holding shares in physical form are requested to consider converting their holdings to dematerialized form. Members can contact the Company or Company's Registrars and Transfer Agents, Bigshare Services Private Limited for assistance in this regard.
1. To support the 'Green Initiative', Members who have not yet registered their email addresses are requested to register the same with their DPs in case the shares are held by them in electronic form and with Bigshare Services Private Limited in case the shares are held by them in physical form.
1. Members are requested to intimate changes, if any, pertaining to their name, postal address, email address, telephone/ mobile numbers, Permanent Account Number (PAN), mandates, nominations, power of attorney, bank details such as, name of the bank and branch details, bank account number, MICR code, IFSC code, etc., to their DPs in case the shares are held by them in electronic form and to RTA Bigshare Services Private Limited in case the shares are held by them in physical form.
1. In compliance with the aforesaid MCA Circulars and SEBI Circular dated May 12, 2020, Notice of the AGM along with the Annual Report 2020-21 is being sent only through electronic mode to those Members whose email addresses are registered with the Company/ Depositories. Members may note that the Notice and Annual Report 2020-21 will also be available on the Company's website www.nathindustries.com, website of the Stock Exchange i.e. BSE Limited at www.bseindia.com
1. The Business set out in the Notice will be transacted through electronic voting system and the Company is providing facility for voting by electronic means. Instructions and other information relating to e-voting are given in this Notice.
13. Pursuant to Section 91 of the Companies Act, 2013, The Register of Members and Share Transfer Books of the Company will be closed from 27th September 2021 to 29th September 2021 both days inclusive.
1. As there is no special business, hence no Explanatory Statements is given, pursuant to Section 102(1) of the Companies Act, 2013 during the year.
1. The Securities & Exchange Board of India (SEBI) has mandated the submission of Permanent Account Number (PAN) by every participant in the securities market. Members holding shares in the Electronic form are therefore requested to submit their PAN to their depository Participants with

whom they are maintaining their demat accounts. Members holding Physical shares can submit their PAN to the Company/ Bigshare Services.

1. Ms. Neha P. Agrawal, Company Secretary in whole time practice, has been appointed as Scrutinizer, who in the opinion of the Board, can scrutinize the e-voting process in fair and transparent manner.
1. Instruction for E-Voting and joining AGM are as follows:

THE INSTRUCTIONS FOR MEMBERS FOR REMOTE E-VOTING AND JOINING GENERAL MEETING ARE AS UNDER:-

The remote e-voting period begins on 27.09.2021 at 09:00 A.M. and ends on 29.09.2021 at 05:00 P.M. The remote e-voting module shall be disabled by NSDL for voting thereafter. The Members, whose names appear in the Register of Members / Beneficial Owners as on the record date (cutoff date) i.e. 23.09.2021, may cast their vote electronically. The voting right of shareholders shall be in proportion to their share in the paid-up equity share capital of the Company as on the cutoff date, being 23.09.2021.

How do I vote electronically using NSDL e-Voting system?

The way to vote electronically on NSDL e-Voting system consists of "Two Steps" which are mentioned below:

Step 1: Access to NSDL e-Voting system

A) Login method for e-Voting and joining virtual meeting for Individual shareholders holding securities in demat mode

In terms of SEBI circular dated December 9, 2020 on e-Voting facility provided by Listed Companies, Individual shareholders holding securities in demat mode are allowed to vote through their demat account maintained with Depositories and Depository Participants. Shareholders are advised to update their mobile number and email Id in their demat accounts in order to access e-Voting facility.

Type of shareholders	Login Method
Individual Shareholders	1.	Existing IDeAS user can visit the e-Services website of NSDL
holding securities in		Viz. https://eservices.nsdl.com either on a Personal Computer or
demat mode with NSDL.		on a mobile. On the e-Services home page click on the
		"Beneficial Owner" icon under "Login" which is available
		under 'IDeAS' section , this will prompt you to enter your
		existing User ID and Password. After successful authentication,
		you will be able to see e-Voting services under Value added
		services. Click on "Access to e-Voting" under e-Voting
		services and you will be able to see e-Voting page. Click on
		company name or e-Voting service provider i.e. NSDL and
		you will be re-directed to e-Voting website of NSDL for casting
		your vote during the remote e-Voting period or joining virtual
		meeting & voting during the meeting.
	2.	If you are not registered for IDeAS e-Services, option to register
		is available at https://eservices.nsdl.com. Select "Register
		Online for IDeAS Portal" or click at
		https://eservices.nsdl.com/SecureWeb/IdeasDirectReg.jsp
	3.	Visit the e-Voting website of NSDL. Open web browser by
		typing the following URL: https://www.evoting.nsdl.com/
		either on a Personal Computer or on a mobile. Once the home

	page of e-Voting system is launched, click on the icon "Login" which is available under 'Shareholder/Member' section. A new screen will open. You will have to enter your User ID (i.e. your sixteen digit demat account number hold with NSDL), Password/OTP and a Verification Code as shown on the screen. After successful authentication, you will be redirected to NSDL Depository site wherein you can see e-Voting page. Click on company name or e-Voting service provider i.e. NSDL and you will be redirected to e-Voting website of NSDL for casting your vote during the remote e-Voting period or joining virtual meeting & voting during the meeting. 4. Shareholders/Members can also download NSDL Mobile App "NSDL Speede" facility by scanning the QR code mentioned below for seamless voting experience.


Individual Shareholders holding securities in demat mode with CDSL	1. Existing users who have opted for Easi / Easiest, they can login through their user id and password. Option will be made available to reach e-Voting page without any further authentication. The URL for users to login to Easi / Easiest are https://web.cdslindia.com/myeasi/home/login or www.cdslindia.com and click on New System Myeasi.
	2. After successful login of Easi/Easiest the user will be also able to see the E Voting Menu. The Menu will have links of e-Voting service provider i.e. NSDL. Click on NSDL to cast your vote.
	3. If the user is not registered for Easi/Easiest, option to register is available at https://web.cdslindia.com/myeasi/Registration/EasiRegistration
	4. Alternatively, the user can directly access e-Voting page by providing demat Account Number and PAN No. from a link in www.cdslindia.com home page. The system will authenticate the user by sending OTP on registered Mobile & Email as recorded in the demat Account. After successful authentication, user will be provided links for the respective ESP i.e. NSDL where the e-Voting is in progress.

Important note: Members who are unable to retrieve User ID/ Password are advised to use Forget User ID and Forget Password option available at abovementioned website.

Helpdesk for Individual Shareholders holding securities in demat mode for any technical issues related to login through Depository i.e. NSDL and CDSL.

Login type	Helpdesk details
Individual Shareholders holding
securities in demat mode with NSDL	Members facing any technical issue in login can contact NSDL helpdesk by sending a request at [email protected] or call at toll free no.: 1800 1020 990 and 1800 22 44 30
Individual Shareholders holding securities in demat mode with CDSL	Members facing any technical issue in login can contact CDSL helpdesk by sending a request at [email protected] or contact at 022- 23058738 or 022-23058542-43

B) Login Method for e-Voting and joining virtual meeting for shareholders other than Individual shareholders holding securities in demat mode and shareholders holding securities in physical mode.

How to Log-in to NSDL e-Voting website?

1. Visit the e-Voting website of NSDL. Open web browser by typing the following URL: https://www.evoting.nsdl.com/ either on a Personal Computer or on a mobile.
1. Once the home page of e-Voting system is launched, click on the icon "Login" which is available under 'Shareholder/Member' section.
1. A new screen will open. You will have to enter your User ID, your Password/OTP and a Verification Code as shown on the screen. Alternatively, if you are registered for NSDL eservices i.e. IDEAS, you can log-in at https://eservices.nsdl.com/ with your existing IDEAS login. Once you log-in to NSDL eservices after using your log-in credentials, click on e-Voting and you can proceed to Step
2 i.e. Cast your vote electronically. 4. Your User ID details are given below :

Manner of holding shares i.e. Demat (NSDL or CDSL) or Physical	Your User ID is:
a) For Members who hold shares in demat	8 Character DP ID followed by 8 Digit Client
account with NSDL.	ID

	For example if your DP ID is IN300 and Client ID is 12 then your user ID is IN30012**.
b) For Members who hold shares in demat	16 Digit Beneficiary ID
account with CDSL.	For example if your Beneficiary ID is
	12** then your user ID is
	12**
c) For Members holding shares in Physical	EVEN Number followed by Folio Number
Form.	registered with the company
	For example if folio number is 001*** and
	EVEN is 101456 then user ID is
	101456001***

1. Password details for shareholders other than Individual shareholders are given below:
a) If you are already registered for e-Voting, then you can user your existing password to login and cast your vote.
b) If you are using NSDL e-Voting system for the first time, you will need to retrieve the 'initial password' which was communicated to you. Once you retrieve your 'initial password', you need to enter the 'initial password' and the system will force you to change your password.
c) How to retrieve your 'initial password'?
- (i) If your email ID is registered in your demat account or with the company, your 'initial password' is communicated to you on your email ID. Trace the email sent to you from NSDL from your mailbox. Open the email and open the attachment i.e. a .pdf file. Open the .pdf file. The password to open the .pdf file is your 8 digit client ID for NSDL account, last 8 digits of client ID for CDSL account or folio number for shares held in physical form. The .pdf file contains your 'User ID' and your 'initial password'.
- (ii) If your email ID is not registered, please follow steps mentioned below in process for those shareholders whose email ids are not registered.
1. If you are unable to retrieve or have not received the " Initial password" or have forgotten your password:
a) Click on "Forgot User Details/Password?"(If you are holding shares in your demat account with NSDL or CDSL) option available on www.evoting.nsdl.com.
b) Physical User Reset Password?" (If you are holding shares in physical mode) option available on www.evoting.nsdl.com.
c) If you are still unable to get the password by aforesaid two options, you can send a request at [email protected] mentioning your demat account number/folio number, your PAN, your name and your registered address etc.
d) Members can also use the OTP (One Time Password) based login for casting the votes on the e-Voting system of NSDL.
1. After entering your password, tick on Agree to "Terms and Conditions" by selecting on the check box.
1. Now, you will have to click on "Login" button.
1. After you click on the "Login" button, Home page of e-Voting will open.

Step 2: Cast your vote electronically and join General Meeting on NSDL e-Voting system. How to cast your vote electronically and join General Meeting on NSDL e-Voting system?

1. After successful login at Step 1, you will be able to see all the companies "EVEN" in which you are holding shares and whose voting cycle and General Meeting is in active status.
1. Select "EVEN" of company for which you wish to cast your vote during the remote e-Voting period and casting your vote during the General Meeting. For joining virtual meeting, you need to click on "VC/OAVM" link placed under "Join General Meeting".
1. Now you are ready for e-Voting as the Voting page opens.
1. Cast your vote by selecting appropriate options i.e. assent or dissent, verify/modify the number of shares for which you wish to cast your vote and click on "Submit" and also "Confirm" when prompted.
1. Upon confirmation, the message "Vote cast successfully" will be displayed.
1. You can also take the printout of the votes cast by you by clicking on the print option on the confirmation page.
7. Once you confirm your vote on the resolution, you will not be allowed to modify your vote.

General Guidelines for shareholders

1. Institutional shareholders (i.e. other than individuals, HUF, NRI etc.) are required to send scanned copy (PDF/JPG Format) of the relevant Board Resolution/ Authority letter etc. with attested specimen signature of the duly authorized signatory(ies) who are authorized to vote, to the Scrutinizer by e-mail to [email protected] with a copy marked to [email protected].
1. It is strongly recommended not to share your password with any other person and take utmost care to keep your password confidential. Login to the e-voting website will be disabled upon five unsuccessful attempts to key in the correct password. In such an event, you will need to go through the "Forgot User Details/Password?" or "Physical User Reset Password?" option available on www.evoting.nsdl.com to reset the password.
1. In case of any queries, you may refer the Frequently Asked Questions (FAQs) for Shareholders and e-voting user manual for Shareholders available at the download section of www.evoting.nsdl.com or call on toll free no.: 1800 1020 990 and 1800 22 44 30 or send a request to Mr Sanjeev Yadav of NSDL Official at [email protected]

Process for those shareholders whose email ids are not registered with the depositories for procuring user id and password and registration of e mail ids for e-voting for the resolutions set out in this notice:

1. In case shares are held in physical mode please provide 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 [email protected]
1. In case shares are held in demat mode, please provide DPID-CLID (16 digit DPID + CLID or 16 digit beneficiary ID), Name, client master or copy of Consolidated Account statement, PAN (self attested scanned copy of PAN card), AADHAR (self attested scanned copy of Aadhar Card) to [email protected] . If you are an Individual shareholders holding securities in demat mode, you are requested to refer to the login method explained at step 1 (A) i.e. Login method for e-Voting and joining virtual meeting for Individual shareholders holding securities in demat mode.
1. Alternatively shareholder/members may send a request to [email protected] for procuring user id and password for e-voting by providing above mentioned documents.
1. In terms of SEBI circular dated December 9, 2020 on e-Voting facility provided by Listed Companies, Individual shareholders holding securities in demat mode are allowed to vote through their demat account maintained with Depositories and Depository Participants. Shareholders are required to update their mobile number and email ID correctly in their demat account in order to access e-Voting facility.

THE INSTRUCTIONS FOR MEMBERS FOR e-VOTING ON THE DAY OF THE EGM/AGM ARE AS UNDER:-

1. The procedure for e-Voting on the day of the EGM/AGM is same as the instructions mentioned above for remote e-voting.
1. Only those Members/ shareholders, who will be present in the EGM/AGM through VC/OAVM facility and have not casted their vote on the Resolutions through remote e-Voting and are otherwise not barred from doing so, shall be eligible to vote through e-Voting system in the EGM/AGM.
1. Members who have voted through Remote e-Voting will be eligible to attend the EGM/AGM. However, they will not be eligible to vote at the EGM/AGM.
1. The details of the person who may be contacted for any grievances connected with the facility for e-Voting on the day of the EGM/AGM shall be the same person mentioned for Remote e-voting.

INSTRUCTIONS FOR MEMBERS FOR ATTENDING THE EGM/AGM THROUGH VC/OAVM ARE AS UNDER:

1. Member will be provided with a facility to attend the EGM/AGM through VC/OAVM through the NSDL e-Voting system. Members may access by following the steps mentioned above for Access to NSDL e-Voting system. After successful login, you can see link of "VC/OAVM link" placed under "Join General meeting" menu against company name. You are requested to click on VC/OAVM link placed under Join General Meeting menu. The link for VC/OAVM will be available in Shareholder/Member login where the EVEN of Company will be displayed. Please note that the members who do not have the User ID and Password for e-Voting or have forgotten the User ID and Password may retrieve the same by following the remote e-Voting instructions mentioned in the notice to avoid last minute rush.
1. Members are encouraged to join the Meeting through Laptops for better experience.
1. Further Members will be required to allow Camera and use Internet with a good speed to avoid any disturbance during the meeting.
1. Please note that Participants Connecting from Mobile Devices or Tablets or through Laptop connecting via Mobile Hotspot may experience Audio/Video loss due to Fluctuation in their respective network. It is therefore recommended to use Stable Wi-Fi or LAN Connection to mitigate any kind of aforesaid glitches.
1. Shareholders who would like to express their views/have questions may send their questions in advance mentioning their name demat account number/folio number, email id, mobile number at [email protected] . The same will be replied by the company suitably.
1. Shareholders who would like to express their views or have questions may send their questions in advance, mentioning their Name, Demat account number, Folio Number, mobile number and e-mail address at ([email protected]) from 27th September, 2021 (9:00 a.m. IST) to 29th September, 2021 (5:00 p.m. IST). Those Members who have registered themselves as a speaker will only be allowed to express their views/ask questions during the AGM. The Company reserves the right to restrict the number of speakers depending on the availability of time for the AGM.

For Nath Industries Limited

Ramniklal Salgia Director (DIN: 02704031)

CIN: L21010MH1980PLC022820 Registered Office: Nath House, Nath Road, Aurangabad 431 005. Email: [email protected] Date : 31.08.2021

DIRECTORS' REPORT

Dear Shareholders,

We have the pleasure in presenting the 39 th Annual Report of the Company and the audited statement of accounts for the year ended 31stMarch, 2021.

FINANCIAL PERFORMANCE

A summary of the financial results is given below:

		(Rs. In Lakhs)
FINANCIAL RESULTS
	Year Ended
Particulars	31.03.2021	31.03.2020
Total Income	29,340	30,107
Profit before Interest & Depreciation	3,120	2,930
Interest & Depreciation	955	1,056
Profit before Tax	2,165	1,874
Provision for Taxes	641	53
Surplus for the year	1,524	1,821
Other Comprehensive Income	79	-364
Total comprehensive Income for the year	1,603	1,457
Earnings per Share (Rs.)	8.02	9.59

REVIEW OF OPERATIONS

Presently, Company is operating in following segments

1) Paper and
2) Industrial Chemicals.

FY 2020-21 brought an unprecedented and most difficult economic challenges of the century to the world and India was no exception because of Covid-19. To stop the spread of corona virus, stricter lock-down were imposed throughout the country.

Thereafter the restrictions placed were relaxed and commercial activities were started in phased manner. Starting up of commercial activities resulted in pent up demand and witnessed a V shape recovery. The company recorded stellar performance in last two quarters of FY 2020-21.

Despite a marginal fall in the turnover from Rs. 30,107 Lakhs to Rs. 29,340 lakhs and adverse situation, the Profit Before Tax was increased from Rs. 1,874 Lakhs to Rs. 2,165 lakhs thereby reporting increase in profit by 15.54% on year on year basis.

PAPER DIVISION

The overall paper industry in general and writing and printing paper industry was severally affected because of online teaching, adoption of work from home culture in FY 2020-21. Despite a loss of around two months of production due to the pandemic the Paper segment could maintain the turnover of Rs. 21,300 Lakhs as against the turnover of Rs. 21,051 Lakhs recorded in previous year.

UNIT- RAMA PAPER

It is a matter of pleasure to inform you that various upgradation and modernization programs taken up in Unit Rama paper, to improve the quality and energy, conservation are completed successfully and bearing the fruits now. The energy efficiencies achieved are now contributing in the saving of power and steam consumption and generating extra revenue to profitability.

CERTIFICATIONS

It is the endeavour of the company to ensure that its products are safe, reliable and confirm good quality standards. Compliance with strict quality management is validated by ISO certifications of ISO 9001:2015 and 14001:2015.

ENVIRONMENT:

Company is also committed to its responsibilities for Environment. To make its products ecofriendlier and environmentally sustainable, the company has done necessary compliance to become FSC and PEFC COC certified which have not only helped paving roads to product's acceptance internationally but protect environment as well.

PRODUCTS AND PRODUCTS LAUNCHES

In recent years the slogans like "Eco Friendly", "Go Green" or "Green Earth' have become the buzz words for healthier living. Keeping our commitment to this Green movement last year we launched a new product Mac D Kraft for Paper Bags, which is now contributing greatly in terms of quantity and value addition as the single use of Plastic is reducing day by day and the demand of Paper Bags and Paper packaging is Globally growing rapidly.

Company's product, Absorbent Kraft is already well accepted in domestic and global markets. The demand is expected to increase primarily due to rise in the utilization of Decorative Laminates and ready-to-use furniture. In overview of this, your Company will soon be launching, more synergic and value-added products like Barrier Paper and Print Base paper which will be extensively used in Laminates Industry.

Our M G White Tissue, Colour tissue and Brown Wrapping Paper are well accepted Globally. These products are used for decorative Gift wrap to Mega-stores and Super Markets in India and abroad.

Visualizing the growing domestic and Global demand for MASKING PAPER for automobiles segment and PROTECTION PAPER for digital printing segment, we will be launching these products, to realize the full market potential, which will be again a milestone added to company's product mix.

MARKETING STRATEGIES

The total Global production of various grades of Paper is more than 400 million tons and this is expected to grow at the healthy rate of 5 to 7% per annum. According to an estimate the global paper products market size was estimated at USD 350 billion in 2018 -2019 and is expected to register a CAGR of 0.3% from 2020 to 2025.

Company's growth of its Exports of Absorbent Kraft, White Tissue and Colour Tissues has expanded its market to South East Asia, Middle East, Europe and Latin American countries like Argentina and Brazil.

Demand for high pressure laminates is expected to rise at a steady pace. Latest study forecasts the growth of Global decorative and High-Pressure Laminate Industry to reach USD 7.8 Billion by end of year 2021-22.

Looking to the above and going forward with new products like Barrier Paper, print base, Masking and Protection Paper, we expect considerable growth of business driven out of these special segments.

To maintain quality excellence, trials were conducted by the Company to improve and upgrade the existing product mix and developed the new products, which are now creating good space in all market segments.

Company has well-knit sales network in India and abroad and market its products over thirty countries in the world, marked by a preferred consistency in quality and price - value proposition.

UNIT -NATH PAPER

The performance of the unit has been satisfactory despite various economic and industry challenges. During the year, even after a loss of production for two months due to Covid-2019 pandemic, the unit has improved its turnover to Rs. 13052 Lakhs by selling 36,532 MT of Core Board and 2316 MT of Thermal Grade Paper as against turnover of Rs. 11875 Lakhs in the previous year.

Unit has increased its production capacity of Core board from 48000 MTPA to 66000 MTPA. With the investment in Imported Vacuum System, Kadant System (high efficiency steam condensate system & Dryers), Coal Handling System, Pulper, unit has achieved substantial increase in production capacity and savings in energy cost. Unit has made further investment in finishing house by installing Slitter to provide finished coils to customers resulting into reducing the cost of production at customer's end.

PRODUCTS

Unit's high GSM Core Boards and Thermal Paper are well received in the market. Core Board is basically used for manufacturing of paper tubes used by textile and plastic films manufacturing industry. Company is producing Core Board TTP 500 & TTP 600 grade.

Unit also manufacture a specialty grade paper called Thermal Grade Paper. Thermal Paper is firmly established in many areas of daily life with wide range of applications like ATM Rolls, Cash Deposit Kiosks, Point of Sales Receipts, Cash Registers, Movie Tickets, Bus Tickets, Parking Slots, and Toll Tickets etc. This technology provides speedy, reliable, economical and high-definition images.

MARKETS

The unit has embarked on exports of core boards and we hope to build substantial export business. Despite Covid-2019 pandemic, your company has exported 6221 MT of paper during the year 2020-21. Unit has exported mainly to China, UAE, Sri Lanka & Singapore during this financial year.

Demand of thermal sensitive paper globally is robust and is growing at CAGR of 15%. Domestic consumption is strong and is set to further expand due to digital Initiatives by the government of India. It has high export potential due to low cost of conversion and high degree of value addition in converted rolls form (small bobbins). Looking at the leadership position the company enjoys in the market and strong tail winds driving up the demand, the company is all set to expand its production facilities.

CHEMICAL DIVISION

UNIT-NATH CHEMICAL

The chemical segment sold 91,239 MT of equivalent acid as against the 86,096 MT sold in previous year. However, due to low input cost, the realization in prices was also low resulting into reduced turnover without affecting the profitability.

FUTURE PLANS

PAPER DIVISION

As already informed, your Company is implementing a project for co-generation by installing a High Pressure boiler of 16.5 TPH and back pressure steam turbine of 2 MW capacity. Boiler will generate high pressure steam which will be used in power generation through turbine and low pressure steam will be used in drying of paper.

This co-generation project will substantially reduce the requirement as well as dependency of power from Grid and will result in saving power cost significantly.

CHEMICAL DIVISION

TRANSFORMATION FROM COMMODITY MANUFACTURER TO SPECIALITY CHEMICALS MANUFACTURER: -

The company plans to have a transformation strategy from being a commodity player to have a complex product mix catering to various sectors and Global markets. The plans include expansion of existing capacities and introducing new product portfolio details of which are as under: -

A. CAPACITY EXPANSION FROM 280 TPD TO 500 TPD

The Company has firm up capacity expansion plan for our main line of products like Sulphuric acid and downstream products wherein we target to scale the capacities to 500 MTD from the current capacities of 280 MTPD. The capacity expansion well aligns with our strategy to scale up the market share on the basis of ever-growing customer sectors and demand projections.

B. INTRODUCING NEW PRODUCTS

The Company intends to expand its product portfolio to have a sustainable business equation with end sectors having regular, robust demand trends and consumption patterns.

Venturing into specialized chemistries like aniline derivatives and sulphates, the Company aims to establish a strong footprint in the Agrochemicals / Dyes sector. We envision our new product Dimethyl Aniline as a step forward for getting into critical applications by virtue of concrete infrastructure and manufacturing / technical capabilities. The focused sectors being Pharma / Agrochemicals / Dyes which shows a consistent YOY business growth.

The target sectors are selected based on the past consumption, future growth potential and unimpacted trends in the current climatic / geographical / Pandemic situation which ensures positive growth .

Our planned forward integrated product lines like Sodium Sulphite, Sodium Metabisulphites and Sulfuryl chloride further will consolidated our strengths in sulphur chemistries and cater to our customers demand for most of the sulphur derivatives.

With this we move forward to create Nath brand a solution provider with a mix of basic commodities and speciality chemicals. The envisaged product mix of commodity and speciality will be in adherence to our Vision of creating a value proposition in the market in terms of revenue generation and consistent sustainable growth.

MARKETS

The company intends to establish footprints in global markets by virtue of complex products like Dimethyl Aniline / Dimethyl Sulphate. Though Domestic demands are encouraging the exports market will ensure better margins and realisation, also will establish the NATH brand entity in Global markets.

The markets for products like Sodium metabilsulphite – Food grade would be primarly India market. Having captive capacity of SO2 and latest technology will ensure better consistent quality and adherence to the food grade criteria.

DIVIDEND

In view of the proposed growth plans, the Directors have not recommended dividend for the financial year 2020-21.

TRANSFER TO RESERVES

The Company has not transferred any amount from profit to general reserves.

SUBSIDARY COMPANY

The Company does not have any subsidiary.

PUBLIC DEPOSIT

The Company has not accepted deposits from the public during the financial year under the review within the meaning of Section 73 of the Companies Act, 2013, read with companies (Acceptance of Deposits) Rules, 2014.

EXTRACT OF ANNUAL RETURN

The extract of the Annual Return in Form No. MGT-9 shall form part of the Boards Report in Annexure-I.

CORPORATE GOVERNANCE

A separate statement on Corporate Governance together with a certificate from the Auditors of the Company regarding compliance of conditions of Corporate Governance as stipulated under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 forms part of this report are given in Annexure-II.

NUMBER OF MEETINGS HELD DURING THE YEAR

The details of all the meetings of Board of Directors and the Committees, which have taken place during the year and their details along with their attendance, is given in Para 2 of Annexure-II.

CORPORATE SOCIAL RESPONSIBILITY (CSR)

As per the Provisions of Sec 135 of the Companies Act, 2013 related to Corporate Social Responsibility (CSR), the amount of CSR required to be spent for the FY 2020-21 is Rs. 18.00 Lakhs which has already been incurred by the Company. The initiatives undertaken by the Company on CSR activities during the year under review are set out in Annexure-III which is part of this report.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

The Management Discussion and Analysis of the financial condition and results of consolidated operations of the Company under review, is annexed and forms an integral part of the Directors' Report, is given in Annexure-IV.

DIRECTORS AND KEY MANAGERIAL PERSONNEL

Pursuant to the provisions of Section 152 of the Companies Act, 2013 and Rules made there under, Mr Shrirang Agrawal (DIN 00119681) Director of the Company, shall retire by rotation at this Annual General Meeting and being eligible, offer himself for re-appointment, for which necessary resolution has been incorporated in the notice of the meeting. The Board of Directors recommends the re-appointment of Mr Shrirang Agrawal as a Director of the Company.

The Company has received declarations from all the Independent Directors of the Company in terms of Section 149(7) of the Act, confirming that they meet criteria of independence as prescribed under section 149(6) of the Act and Regulation 25 of SEBI Listing Regulations, 2015.

Based on the confirmations received from Directors, none of the Directors are disqualified from appointment under Section 164 of the Companies Act, 2013.

DIRECTORS' RESPONSIBILITY STATEMENT

Pursuant to the requirement Under Section 134 (3) (c) of the Companies Act, 2013 with respect to Directors' Responsibility Statement, it is hereby confirmed that:

a. In the preparation of the annual accounts for the year ended March 31, 2021, the applicable Accounting Standards have been followed and there are no material departures from the same;
b. The Directors have selected such Accounting Policies and applied them consistently and made judgments and estimates that were reasonable and prudent so as to give a true and fair view of the State of affairs of the Company as at March 31,2021 and of the Profit of the Company for that period;
c. The Directors 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. The Directors had prepared the annual accounts of the Company on a going concern basis;
e. The Directors had laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and were operating effectively;
f. The Directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

PARTICULARS OF EMPLOYEES AND RELATED DISCLOSURES

The Disclosures pertaining to remuneration as required Under Section 197(2) of the Companies Act, 2013 and with Rules 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 forms part of Directors Report, is given in Annexure-V

The statement of particulars of employees under section 197(12) of the Companies Act, 2013 and with Rules 5(2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 is not provided with, as during financial year under review, no employee of the company including Whole Time Director were in receipt of remuneration in excess of the limits set out in the said rules.

Industrial Relations at all three units of the Company continued to remain peaceful and cordial throughout the year. The Company values the long association of our employees, contractors and their workmen, customers and suppliers to sustain industrial harmony and create a positive work environment. Your Company is committed to build and strengthen our human capital by defining policies that support their growth, goals, and help them achieve excellence.

EVALUATION OF BOARD

Pursuant to the provisions of the Companies Act, 2013 the Board has carried out an annual performance evaluation of the Directors individually as well as the evaluation of the working of its Audit, Nomination & Remuneration, CSR and Compliance Committees and its own performance. The manner in which the evaluation has been carried out has been explained in the Corporate Governance Report.

INTERNAL CONTROL SYSTEM

The Company has a robust internal control mechanism across all units. The Company has also developed a set of documented SOPs for all major functions which laid down policies, procedures, and guidelines that forms part of internal control system. The internal control systems devised is commensurate with the size of its business operations.

Services of external Audit firm is also availed to further strengthen its effectiveness. Regular internal audits are conducted to review the internal control systems and compliance thereof as per the annual audit plan approved by Audit Committee of the Board. The findings of the Audit team are reviewed by the Audit Committee and corrective actions are initiated, where necessary. No material reportable weakness was observed in the design or operation during the year.

WHISTLE BLOWER POLICY / VIGIL MECHANISM

During the year, your Directors have constituted a Whistle Blower Policy / Vigil Mechanism Policy for the Company to report to the management instances of unethical behaviour, actual or suspected, fraud or violation of the code of conduct of the Company as per the provisions of Section 177 (9) and (10) of Companies Act, 2013. The Vigil Mechanism Policy report has been uploaded on the Website of the Company at www.nathindustries.com. It is affirmed that no person has been denied access to the Audit Committee.

OBLIGATION OF COMPANY UNDER THE SEXUAL HARASSMENT OF WOMEN AT WORK PLACE (PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013

Your Company has Zero tolerance towards any action on the part of any one which may fall under the ambit of 'Sexual Harassment' at workplace, and is fully committed to uphold and maintain the dignity of every women working with the Company. The Policy framed by the Company in this regard provides for protection against sexual harassment of women at workplace and for prevention and redressal of such complaints. During the year, the company has not received any complaint of harassment. The detailed policy forms have been uploaded on the Website of the Company at www.nathindustries.com.

RISK MANAGEMENT POLICY

During the year, your Directors have constituted a risk management policy for the Company including identification therein of elements of risk, if any, which in the opinion of the Board may threaten the existence of the Company as per the provisions of Section 134(3) (n) of Companies Act, 2013. The detailed policy forms part of the annual report, is given in Annexure-VI.

STATUTORY INFORMATION

The Company is basically into the Paper and Chemical business and is the member of BSE Platform.

STATUTORY AUDITORS

The members, in the 36th Annual General Meeting held on 28th September, 2018, appointed M/S Vidya & Co., Chartered Accountants (Firm Registration No. 308022E), Mumbai as Statutory Auditors of the Company for a period of five years with effect from the conclusion of the 36th Annual General Meeting to the conclusion of the 41st Annual General Meeting.

SECRETARIAL AUDITOR

The board has appointed Ms. Neha P. Agrawal, Practicing Company Secretary to conduct Secretarial Audit for the Financial Year 2020-21. The Secretarial Audit Report is annexed herewith in Annexure-VII and does not contain any qualification, reservation or adverse remark.

AUDITORS REPORT

The notes referred to by the Auditors in their report are self-explanatory and do not call for further explanation.

With reference to the observation of auditors regarding transfer of title deeds of the amalgamating companies viz Nath Industrial Chemicals Limited and Nath Pulp and Paper Mills Limited, the company hereby informs that the legal formalities for transfer of titles deeds are under process.

CONTRACTS AND ARRANGEMENTS WITH RELATED PARTIES

All related party transactions that were entered into during the Financial Year were on arm's length basis and were in the ordinary course of the business. There are no materially significant related party transactions made by the Company with Promoters, Key Managerial Personnel or other designated persons which may have potential conflict with interest of the Company at large. The details of Related party transactions are provided in the Notes to Accounts accompanying the financial statements. Since all related party transactions entered into by the Company were in ordinary course of business and were on an arms length's basis, Form AOC– 2 is not applicable to Company

PARTICULARS OF LOANS, GUARANTEES AND INVESTMENTS

Details of Guarantees and Investments covered under the provisions of Section 186 of the Companies Act, 2013 are given in the Notes to the financial statements.

INSURANCE

All the properties and the insurable interest of the Company including building, plants and machinery and stocks wherever necessary and to the extent required have been adequately insured.

RESEARCH & DEVELOPMENT

The Company believes that technological obsolescence is a reality. Only progressive research and development will help us to measure up to future challenges and opportunities. We invest in and encourage continuous innovation.

ENERGY CONSERVATION MEASURES, TECHNOLOGY ABSORPTION AND R& D EFFORTS AND FOREIGN EXCHANGE EARNINGS AND OUTGO

Information in accordance with the provisions of Section 134 (3) (m) of the Companies Act, 2013 read with the Companies (Accounts) Rules, 2014 are set out below:

(A) Conservation of Energy

Your Company is continuously taking initiatives to ensure the optimum utilization of energy available in day to day operations not only in offices but also at Plant and factory premises. Your Company uses energy efficient lighting devices, light fittings to save energy, capacitor bank/devices to maintain power factor and plant & equipment which are environment and power efficient.

(B) Technology Absorption

Company has carried out R & D work for development of paper for paper bags and Absorbent Kraft Paper for laminates and improvement in the quality of Carbon Base Paper, Napkin Tissue Papers & Cream Wove and Energy Conservation.

Company is benefited in High Realization, Reduction in Energy Cost and Increase in the efficiency of the machines as a result of above R & D.

(C) Foreign Exchange Earnings and Outgo

The Company has incurred the following expenses in foreign currency during the financial year 2020-21. The rupee equivalent of that amount has been given hereunder:

Particulars	Rs. In Lakhs
Total Earnings	3,432
Total Expenditure	7,436

ACKNOWLEDGEMENT

The Board of Directors acknowledges dedication, hard work, commitment and efforts put in by all the employees of the company. The Board of Directors would also like to express sincere appreciation for all the assistance and continuous support extended by all Shareholders, Customers, Financial Institutions, suppliers, other business associates and other stakeholders and their confidence in its management and look forward to having the same in future.

For and on behalf of the Board,

Place: Mumbai Director Date: 31.08.2021 (DIN: 02704031)

Ramniklal Salgia

Annexure – I

FORM NO. MGT 9 EXTRACT OF ANNUAL RETURN as on financial year ended on 31.03.2021

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

I REGISTRATION AND OTHER DETAILS:-

i	CIN	L21010MH1980PLC022820
Ii	Registration Date	09.07.1980
iii	Name of the Company	Nath Industries Limited
Iv	Category/Sub-category of the	Limited by Shares
	Company
V	Address of the Registered office	Nath House, Nath Road, Aurangabad
	& contact details	431005
vi	Whether listed company	Listed
vii	Name, Address & contact details of	Bigshare Services Pvt Ltd.
	the Registrar & Transfer Agent, if	stFloor, Bharat Tin Works Bldg., Opp 1
	any.	Vasant Oasis, Makwana Road, Andheri
		(East), Mumbai - 400 059.

II PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY

SL No	Name & Description of main products / services	NIC Code of the Product /service	% to total turnover of the company
i	Paper	Group-170	79
ii	Chemical	Group-202	21

III PARTICULARS OF HOLDING, SIBSIDIARY AND ASSOCIATE COMPANIES:-

Company is not having any holding, subsidiary and associates companies.

IV			SHAREHOLDING PATTERN (Equity Share capital break up as % to total Equity)

Category of Shareholders	(i) Category wise shareholding		No. of Shares held at the beginning of the year
					No. of Shares held at the end of the year				Change during the year
	Demat	Physical	Total	% of Total Shares	Demat	Physical	Total	% of Total Shares	In Qty	In %
A. Promoters
(1) Indian
a) Individual/HUF	933	351	1284	0.00	933	351	1284	0.00	-	-
b) Central Govt. or State Govt.
c) Bodies Corporate	14003037	6787	14009824	73.74	14003037	6787	14009824	73.74	-	-
d) Bank/FI
e) Any other
SUB TOTAL:(A) (1)	14003970	7138	14011108	73.74	14003970	7138	14011108	73.74	-	-
(2) Foreign
a) NRI- Individuals
b) Other Individuals
c) Bodies Corp.
d) Banks/FI
e) Any other… SUB TOTAL (A) (2)
Total Shareholding of Promoter
(A)= (A)(1)+(A)(2)	14003970	7138	14011108	73.74	14003970	7138	14011108	73.74	-	-
B. PUBLIC SHAREHOLDING (1) Institutions
a) Mutual Funds	190	7473	7663	0.04	190	7473	7663	0.04	-	-
b) Banks/FI	51865	5891	57756	0.30	51865	5891	57756	0.30	-	-
C) Central govt
d) State Govt.
e) Venture Capital Fund
f) Insurance Companies
g) FIIS
h) Foreign Venture Capital Funds
i) Others (specify)
SUB TOTAL (B)(1):	52055	13364	65419	0.34	52055	13364	65419	0.34	-	-
(2) Non Institutions
a) Bodies corporate i) Indian	2034665	20112	2054777	10.82	1969602	9700	1979266	10.42	-75511	-0.40
ii) Overseas
b) Individuals
i) Individual shareholders holding nominal share capital up to Rs.1 lakhs	2109230	193322	2302552	12.12	1706070	113009	1819079	9.57	-483473	-2.63
ii) Individuals shareholders holding nominal share capital in excess of Rs. 1 lakhs	347053	0	347053	1.83	887003	19000	906003	4.77	558950	2.94
c) Others (specify)
i) Trust	1	0	1	0.00	1	0	1	0.00	0	0.00
ii) Clearing member	22781	0	22781	0.12	21561	0	21561	0.11	-1220	0.00
iii) N R I	194234	2039	196273	1.03	195578	1449	197527	1.05	1254	0.02
SUB TOTAL (B)(2):	4707964	215473	4923437	25.92	4779815	143158	4923437	25.92	0	0.00
Total Public Shareholding (B)= (B)(1)+(B)(2)	4760019	228873	4988856	26.26	4760019	156522	4988856	26.26	0	0.00
C. Shares held by Custodian for GDRs & ADRs	0	0	0	0.00	0	0	0	0.00	0	0.00
GRAND TOTAL	18763989	236011	19000000	100.00	18763989	236011	19000000	100.00	0	0.00

(ii) Share Holding of Promoters:

Shareholders Name	Shareholding at the			Shareholding at the end	%
	beginning	of the year		of the year	chang
	No of	% of	% of	No of	% of	% of	e in
	shares	total	shares	shares	total	share	share
		shares	pledge		shares	s	holdin
		of the	d		of the	pledg	g
		compan	encum		comp	ed	durin
		y	bered		any	encu	g the
			to total			mber	year
			shares			ed to
						total
						share
						s
1.Nandkishor Kagliwal	480	0.00	-	480	0.00	-	-
2.Jeevanlata N. Kagliwal	213	0.00	-	213	0.00	-	-
3.Subhash Kagliwal	25	0.00	-	25	0.00	-	-
4.Mrs Sweta Kagliwal	180	0.00	-	180	0.00	-	-
5.Akash Kagliwal	181	0.00	-	181	0.00	-	-
6.Ashu Jain	181	0.00	-	181	0.00	-	-
7.Anil Kagliwal	24	0.00	-	24	0.00	-	-
8.NCFS Limited	823	0.01	-	823	0.01	-	-
9.Paresh Farms Pvt. Ltd	27151	0.14	-	27151	0.14	-	-
10.Prabha Farms Pvt. Ltd	32139	0.17	-	32139	0.17	-	-
11.Jeevan Farms Pvt. Ltd	82157	0.44	-	82157	0.44	-	-
12.Akash Farms LLP	6927809	36.46	1.44	6927809	36.46	1.44	-
13.Ashu Farms LLP	5939745	31.26	-	5939745	31.26	-	-
14.Tapovan Paper and	1000000	5.26	-	1000000	5.26	-	-
Board Mills Ltd
Total	14011108	73.74	-	14011108	73.74	-	-

(iii) Change in Promoter's shareholding: -

	No of Shares	% Holding
At the beginning of the year	14011108	73.74
At the end of the year	14011108	73.74

Sr	Name	No. of Shares	% of total	No. of Shares at	% of total
No		at the	shares of the	the end of the	shares of
		beginning of	company	year	the
		the year			company
1	Mayo Farm LLP	615492	3.24	644086	3.39
2	Tapovan Farms LLP	374995	1.97	405651	2.13
3	Wexford Trading Co
	Pvt Ltd	333333	1.75	333333	1.75
4	Malpani Financial
	Services Limited	245050	1.29	129473	0.68
5	Adesh Venture LLP	244798	1.29	244798	1.29
6	Ritman Concrete Pvt.
	Ltd.	111968	0.59	111968	0.59
7	Vijaypriya S Mollyn	48868	0.26	48868	0.26
8	Sudhir Laxman Nayak	98704	0.52	98704	0.52
9	Aejaz Ahmed
	Mohamed	39920	0.21	36221	0.19
10	Parampaul Uberoi	38508	0.20	38508	0.20

(iv) Shareholding Pattern movement of top 10 Share Holders (Other than Director, Promoters& Holders of GDR & ADRs)

(v) Shareholding of Directors & KMP: -

Shareholders Name		Shareholding at the beginning of the			Shareholding at the end of the year
	year						change
	No of	% of total	% of shares	No of	% of	% of shares	in share
	shares	shares	pledged	shares	total	pledged	holding
		of the	encumbered		shares	encumbered	during
		company	to total		of the	to total	the year
			shares		company	shares

1. Jeevanlata N. Kagliwal	213	0.00	-	213	0.00	-	-
Total	213	0.00	-	213	0.00	-	-

V. INDEBTEDNESS:

Indebtedness of the company including interest outstanding /accrued but not due for Payment:

			Rs. In Lakhs
Particulars	Secured Loans	Unsecured	Deposits	Total
	excluding deposits	Loans
Indebtedness at the Beginning of the financial Year
i)Principal Amount	2,052.10	4,523.28	-	6,575.38
ii)Interest due but not paid	-	-	-	-
iii)Interest accrued but not due	-	-	-	-
Total (i+ii+iii)	2052.10	4,523.28	-	6,575.38
Changes during financial year Addition	-	-	-	-
(Reduction)	(333.32)	(559.67)	-	(892.99)
Net Change	(333.32)	(559.68)	-	(892.99)
Indebtedness at the end of the Financial year

i)Principal Amount	1,718.78	3,963.61	-	5,682.39
ii)Interest due but not paid	-	-	-	-
iii)Interest accrued but not due	-	-	-	-
Total (i+ii+iii)	1,718.78	3,963.61	-	5,682.39

VI. REMUNERATION TO DIRECTORS AND KEY MANAGERIAL PERSONNEL

A. Remuneration to Managing Director /Whole Time Director and /or Manager

Sr.	Particulars of remuneration	Rs in
No. 1	Akhilesh Sharma (Director)	Lakhs
	a) Salary as per provisions contained in section 17(1) of the Income Tax Act 1961	19.02
	b) Value of perquisites u/s 17 (2) of the Income Tax Act 1961 Profits in lieu of salary u/s 17 (2)	-
	of the Income Tax Act 1961
	Total 1	19.02
	Ramniklal Salgia ( Director)
	a)Salary as per provisions contained in section 17(1) of the Income Tax Act 1961	20.96
	b)Value of perquisites u/s 17 (2) of the Income Tax Act 1961 Profits in lieu of salary u/s 17 (2) of	-
	the Income Tax Act 1961
	Total 2	20.96
	Abhaykumar Jain ( Director)
	a)Salary as per provisions contained in section 17(1) of the Income Tax Act 1961	25.00
	b)Value of perquisites u/s 17 (2) of the Income Tax Act 1961 Profits in lieu of salary u/s 17 (2) of	-
	the Income Tax Act 1961
	Total 3	25.00
	Amol Deo ( CFO)
	a)Salary as per provisions contained in section 17(1) of the Income Tax Act 1961	14.69
	b)Value of perquisites u/s 17 (2) of the Income Tax Act 1961 Profits in lieu of salary u/s 17 (2) of
	the Income Tax Act 1961
		-
	Total 4	14.69
	Ms Nupur Lodwal (Company Secretary)
	a)Salary as per provisions contained in section 17(1) of the Income Tax Act 1961	2.64
	b)Value of perquisites u/s 17 (2) of the Income Tax Act 1961 Profits in lieu of salary u/s 17 (2) of
	the Income Tax Act 1961	-

	Toal 5	2.64
	Grand Total 1 to 5	82.31

B. Remuneration to other directors: NIL

C. Remuneration to key managerial personnel other than MD/Manager/WTD: NIL

VII PENALTIES/PUNISHMENT/COMPOUNDING OF OFFENCES UNDER COMPANIES ACT:-

There are no Penalties / Punishment/ Compounding of offences against the company / its directors / other officers in default during the year.

Annexure - II

CORPORATE GOVERNANCE REPORT

1. COMPANY'S PHILOSOPHY ON THE CODE OF CORPORATE GOVERNANCE:

Corporate Governance is an integral part of values, ethics, integrity, transparency and best business practises adopted by your company. It goes beyond fulfilling statutory compliance. Your company believes that corporate governance is more about creating culture of organizational excellence leading to increased satisfaction of all stakeholders. Your company believes that sound and strong corporate governance leads to durable sustenance of business and generates long term value for all stake holders.

2. Board of Directors and Board Meetings:

The Board of Directors of the Company (Board) has optimum combination of Executive, Non-Executive Independent Directors as provided in the Listing Agreement to ensure independency and transparency in managerial decision making in Board and Committee Meetings, to secure the interest of the company, its employees, stakeholders and creditors. As on 31stMarch 2021 Board comprises Three Whole Time Director, One Promoter Director and two Independent Non Executive Directors. The details of the composition of the Board of Directors and details of other directorship held by them, during the year are mentioned as below:

Name	Category	No of outside Directorship held in Public Limited Companies	Committee Member ship	Committee Chairman ship
Mr. Akhilesh Sharma	Executive Director	0	-	-
Mr. Ramniklal salgia	Executive Director	0	1	-
Mr. Abhaykymar Jain	Executive Director	0	-	-
MrsJeevanlata	Non-Executive	6	3	-
Kagliwal	Women Director
Mr. Shrirang Agrawal	Non-Executive & Independent Director	4	4	4
Mr Kashinath Iyer Ganpathy	Non-Executive & Independent Director	1	4	1

3. Meeting and Attendance record of each Director

During the year ended 31st March 2021, eight meetings of the Board were held on the following date:

(1) 01.07.2020 (2) 24.07.2020 (3) 31.08.2020 (4) 11.11.2020 (5) 12.02.2021 (6) 01.03.2021

The attendance record of the Directors at the Board Meetings held during the year ended 31st March, 2021 and the last Annual General Meeting (AGM) of the Company are as under:

Name of the Director	Board Meetings	Last AGM ( Y/N)
Mr. Akhilesh Sharma	6	Yes
Mr. Ramniklal Salgia	6	Yes
Mr. Abhaykumar Jain	6	Yes
Mrs Jeevanlata Kagliwal	6	Yes
Mr. Shrirang Agrawal	6	Yes
Mr Kashinath Iyer Ganpathy	6	Yes

4. Audit Committee:

The Audit Committee is constituted in line with provisions of Corporate Governance of Listing Regulation read with Section 177 of the Companies Act 2013.

Composition, attendance and dates of Meetings:

During the financial year 2020-21, Composition of Audit Committee and the meetings attended by members are as follows:

Name of Directors	Categories	No. of
		Attended
Shri Shrirang Agrawal	Chairman	Four
Shri Kashinath Iyer Ganpathy	Member	Four
Shri Ramniklal Salgia	Member	Four

During the Financial Year 2020-21, Four Meetings of the Audit Committee members were held on the following dates:

(1) 24.07.2020 (2) 31.08.2020 (3) 11.11.2020 (4) 12.02.2021

Terms of reference:

The Terms of Reference of Audit Committee include overseeing the Company's financial reporting process and disclosure of financial information, reviewing with the management, the quarterly and annual financial statements before submission to the Board for approval; reviewing with the management, the performance of Statutory and Internal Auditors and adequacy of internal control systems and all other matters specified under Regulation 18 read with Part C of Schedule II of SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015 and as per Section 177 of the Companies Act, 2013 read with rules framed there under.

5. Corporate Social Responsibility Committee (CSR) :

The CSR Committee is constituted in line with provisions Section 135 of the Companies Act 2013.

Composition, attendance and dates of Meetings:

During the financial year 2020-21, Composition of CSR Committee and the meetings attended by members are as follows:

Name of Directors	Categories	No. of Meeting
		Attended
Shri Shrirang Agrawal	Chairman	Two
Shri Kashinath Iyer Ganpathy	Member	Two
Mrs. Jeevanlata Kagliwal	Member	Two

During the Financial Year 2020-21, Two Meetings of the CSR Committee members were held on (1) 01.07.2020 and (2) 11.11.2020.

Terms of reference:

The Committee was constituted at Board Meeting held on 01.07.2020 to;

i. Formulate and recommend to the Board, a Corporate Social Responsibility Policy indicating the activities to be undertaken by the Company as specified in Schedule VII.
ii. Recommend the amount of expenditure to be incurred on the activities referred to in clause (i).
iii. Monitor the Corporate Social Responsibility Policy of the Company from time to time.

6. NOMINATION AND REMUNERATION COMMITTEE:

The nomination and remuneration committee is constituted in line with provisions of Corporate Governance of Listing Regulation read with Section 178 of the Companies Act'2013.

Composition, attendance and dates of Meetings:

During the financial year 2020-21-, Composition of nomination and remuneration committee and the meetings attended by members are as follows:

Name of Directors	Categories	No. of Meeting Attended
Shri Kashinath Iyer Ganpathy	Chairman	Two
Mrs Jeevanlata Kagliwal	Member	Two
Shri Shrirang Agrwal	Member	Two

Meetings and Attendance during the year:

During the Financial Year 2020-21, Two Meetings of the Committee were held on 24.07.2020 and 11.11.2020.

Terms of reference

The role of the committee shall, inter-alia include the following:

a. Formulation of the criteria for determining qualifications, positive attributes and independence of a director and recommend to the Board a policy, relating to the remuneration of the directors, key managerial personnel and other employees.
b. Formulation of criteria for evaluation of Independent Directors and the Board.
c. Devising a policy on Board diversity.
d. Identifying persons who are qualified to become directors and who may be appointed in senior management in accordance with the criteria laid down and recommend to the Board their appointment and removal.

The formal annual evaluation of the Board and its committees and Individual Directors is done on the basis of the criteria formulated by the Nomination and Remuneration Committee.

Particulars of	Shri	Shri	Shri	Mrs.	Shri	Shri	Shri	Ms.
Remuneration	Akhilesh	Abhaykum	Ramniklal	Jeevanlata	Shrirang	Kashinat	Amol	Nupur
	Sharma –	ar Jain	Salgia –	Nandkishor	Agrawal	h Iyer	Deo	Lodwal
	Executive	Executive	Executive	Kagliwal –	Indepen	Independ	CFO	Compa
	Director	Director	Director	Non –	dent	ent – Non		ny
				Executive	Non –	–		Secretar
				Promoter	Executiv	Executiv		y
				Director	e	e
					Director	Director
Salary as per	19.02	25.00	20.96	NIL	NIL	NIL	14.69	2.64
Provisions of
Section 17(1) of
I.T.Act,1961
Perquisites as per	NIL	NIL	NIL	NIL	NIL	NIL	NIL	NIL
Provisions of
Section 17(2) of
I.T.Act,1961
Profit in view of	NIL	NIL	NIL	NIL	NIL	NIL	NIL	NIL
Salary u/s 17(3)
of I.T.Act, 1961
Stock option/	NIL	NIL	NIL	NIL	NIL	NIL	NIL	NIL
Sweat equity/
commission/
others
Total	19.02	25.00	20.96	NIL	NIL	NIL	14.69	2.64

During the year no sitting fees paid to any Directors.

7. STAKEHOLDER RELATIONSHIP COMMITTEE

The stakeholder relationship committee is constituted in line with provisions of Corporate Governance of Listing Regulation read with Section 178 of the Companies Act 2013.

Composition, attendance and dates of Meetings:

During the financial year 2020-21, Composition of stakeholder relationship committee and the meetings attended by members are as follows:

Name of Directors	Categories	No. of Meeting Attended
Shri Shrirang Agrawal	Chairman	Two
Mrs Jeevanlata Kagliwal	Member	Two
Shri Kashinath Iyer Ganpathy	Member	Two

Meetings and Attendance during the year:

During the Financial Year 2020-21, Two Meetings of the Committee were held on 24.07.2020 and 12.02.2021.

Terms of reference

The Committee has been constituted to resolve the complaints and grievances of the investors/stakeholders and also to function in an efficient manner that all issues / concerns of stakeholders are addressed / resolved promptly.

Name & Designation and Address of the Compliance Officer

Ms. Nupur Lodwal – Company Secretary Nath Industries Limited Office: 1, Chateau Windsor, 86, Veer Nariman Road, Churchgate, Mumbai – 400 020

Ramesh Sidram Phadatare – Deputy General Manager, Nath Industries Limited Office: 1, Chateau Windsor, 86, Veer Nariman Road, Churchgate, Mumbai – 400 020

Status of Complaints received, resolved and pending as on 31st March, 2021

Number of Shareholders' Complaints pending at the beginning of the year	Nil
Number of Shareholders' Complaints received during the year	Two
Number of Shareholders' Complaints disposed during the year	Two
Number of Shareholders' Complaints remain unresolved at the end of the year	Nil

GENERAL BODY MEETINGS

The details of Annual General Meetings held during the last three years are as follows:

Year	Day, Date and Time	Venue
2017-18	28th September, 2018 at 11.00 a.m	Nath House, Nath Road,
		Aurangabad – 431 005
2018-19	30th September, 2019 at 11.00 a.m	Nath House, Nath Road,
		Aurangabad – 431 005
2019-20	30th September, 2020 at 03.30 p.m.	Nath House, Nath Road,
		Aurangabad – 431 005

POSTAL BALLOT

No Postal Ballot was conducted during the financial year under review.

EXTRAORDINARY GENERAL MEETING:

During the year under review, no Extra Ordinary Meeting was held.

8 DISCLOSURES

Related Party Transaction

All related party transactions that were entered into during the Financial Year were on arm's length basis and were in the ordinary course of the business. There are no materially significant related party transactions made by the Company with Promoters, Key Managerial Personnel or other designated persons which may have potential conflict with interest of the Company at large. The details of related party transactions are provided in the Notes to Accounts accompanying the financial statements. Since all related party transactions entered into by the Company were in ordinary course of business and were on an arms length's basis, Form AOC–2 is not applicable to Company.

Statutory Compliance, Penalties and Structures

The Company has complied with the requirements of the Stock Exchange / Securities and Exchange Board of India (SEBI / and Statutory Authorities to the extent applicable, and accordingly no penalties have been levied or structures have been imposed on the Company on any matter related to capital markets during the last three years.

Whistle Blower Policy/Vigil Mechanism Policy

The Company has framed a Code of Conduct for Directors and Senior Management. At present, the Company has a formal Whistle Blower Policy / Vigil Mechanism Policy. The Directors of the Company affirms that no person have been denied access to the Audit Committee.

Reconciliation of Share Capital Audit

In line with the requirements stipulated by SEBI, Reconciliation of Share Capital Audit is carried out on a quarterly basis by a Practicing Company Secretary to confirm that the aggregate number of equity shares of the Company held in national Securities Depository Limited (NSDL), Central Depository Services (India) Limited (CDSL) and in physical form tally with the total number of issued, paid-up, listed and admitted capital of the Company.

9. MEANS OF COMMUNICATION

The quarterly/half yearly/yearly financial results are regularly submitted to the Stock Exchange in accordance with the listing Agreement and also uploaded on the Company's website www.nathindustries.com

In addition to the financial results, we publish/upload (on Company's Website) the other information too, as required to be published/upload (on Company's Website) under the Companies Act, 2013 or The Listing Agreement or any other Laws applicable or as may be required in the public interest.

10. GENERAL SHAREHOLDERS MEETING

Date, Time and Venue	h September, 2021 30t at 2.30 p.m. at Nath House, Nath
	Road, Aurangabad – 431 005.
Financial Year	The Financial Year of the Company is from April 1 to
	March 31
Date of Book Closure	th September, 2021 th September, 2021 27 to 29 (both
	days inclusive).
Listing on Stock Exchanges	BSE
Scrip Code/ID	502587/NATHIND

a. Annual general meetings

b. Financial Calendar (Tentative) :

Results for quarter ending 30th June 2021	First week of August, 2021
Results for quarter ending 30th Sep. 2021	Last week of Oct. 2021
Results for quarter ending 31st Dec. 2021	First week of Feb. 2022
Results for quarter ending 31st March 2022	Last week of May, 2022
Annual General Meeting	September 2022

c. Status of listing fees: Paid for the year 2021-22.
d. Registrar & Share Transfer Agents:

Bigshare Services Private Limited 1 st Floor, Bharat Tin Works Building, Opp.Vasant Oasis, Makwana Road, Marol, Andheri (E), Mumbai – 400 059.

e. Demat ISIN Number in NSDL & CDSL for Equity Shares: INE777A01023 Corporate Identification Number: L21010MH1980PLC022820
f. Stock Market Price Data:

		Stock Market Price		Stock Market Price
Month	High	Low	Month	High	Low
April 2020	73.00	59.30	Oct. 2020	75.85	62.35
May 2020	71.00	58.50	Nov. 2020	69.00	57.45
June 2020	88.00	57.25	Dec. 2020	84.60	63.10
July 2020	93.20	63.60	Jan. 2021	94.00	71.00
Aug. 2020	89.95	73.25	Feb. 2021	110.00	63.15
Sept. 2020	82.90	63.00	Mar. 2021	102.00	83.45

Source - BSE web site: www.bseindia.com

g. Share Transfer System: The Company's Shares are covered under compulsory dematerialization and are transferable through the Depository System. Shares send for transfer in physical form are registered & returned within a period of thirty days from the date of receipt of the documents, provided the documents are valid and complete in all respects.
h. Shareholding Pattern and Distribution of equity shareholding as on 31st March, 2021.
i) Shareholding Pattern

	Sr. No. Category	No. of shares held	% of share holding
A	Promoters	1,40,11,108	73.74
B	Public	49,88,8952	23.26
	TOTAL	1,90,00,000	100.00

ii) Distribution of Shareholdings as on 31st March, 2021

No. of Equity	No. of Share	% of Share	Amount in Rs.	% of Total
Share Held in Rs	Holders	Holders

1-5000	28292	97.64	5603900	2.95
5001-10000	259	0.89	2013740	1.06
10001-20000	152	0.52	2211190	1.16
20001-30000	57	0.20	1426620	0.75
30001-40000	28	0.10	982110	0.52
40001-50000	24	0.08	1096610	0.58
50001-100000	83	0.29	6258700	3.29
100001-above	81	0.28	170407130	89.69
Total	28976	100%	190000000	100%

i. Dematerialization of Shares and Liquidity:

The shares are compulsorily traded in de-materalised form and available at both National Security Depository Limited (NSDL) and Central Depository Services (India) Limited (CDSL).

j. Plant Location:

i) Unit Rama Paper : Plot No. 293-296, Phase II, G.I.D.C., Vapi 396195 Gujarat.
ii) Unit Nath Chemical : Plot No. 293-296, Phase II, G.I.D.C., Vapi 396195 Gujarat.
iii) Unit Nath Paper : Nath Nagar (north), Village Wahegaon, Taluka Paithan, Dist. Aurangabad.

k. Address for Correspondence:

Bigshare Services Private Limited (Registrar and Share Transfer Agents) 1 st Floor, Bharat Tin Works Building, Opp.Vasant Oasis, Makwana Road, Marol, Andheri (E), Mumbai – 400 059. Tel.No. +91-22-62638200 Email: [email protected]

Nath Industries Limited Nath House, Nath Road, Aurangabad – 431 005 Tel.No. +91-240-2376315/16/17 Email: [email protected] Website: www.nathindustries.com

Nath Industries Limited 1, Chateau Windsor, 86, Veer Nariman Road, Churchgate, Mumbai – 400 020 Tel.No. +91-22-22875653/54/55 Email: [email protected] Website: www.nathindustries.com

l. Compliance Certificate of The Auditors

Certificate from the Company's Auditors, M/s.Vidya & Co., Chartered Accountants confirming compliance with conditions of Corporate Governance as stipulated in Chapter IV of Securities & Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 pursuant to the Listing Agreement of the said Company with Stock Exchanges, is attached to this Report.

m. CEO and CFO Certification

The Executive Director and the Chief Financial Officer of the Company give annual certification on financial reporting and internal controls to the Board in terms of Regulation 17(8) read with Part B of Schedule II of SEBI (Listing obligations and disclosure requirements) Regulations, 2015. The annual certificate given by the Executive Director and the Chief Financial Officer is attached to this Report.

n. Compliance with Code of Conduct

As Stipulated under the provisions of Regulation 34(3) read with Part D of Schedule V of SEBI (Listing obligations and disclosure requirements) Regulations, 2015, all the Directors and the designated personnel in the Senior Management of the Company have affirmed compliance with the said code for the financial year ended on March 31, 2021.

For and on behalf of the Board, Ramniklal Salgia Director Place : Mumbai (DIN: 02704031)

Date: 31.08.2021

AUDITORS' CERTIFICATE ON CORPORATE GOVERNANCE

To, The Members, Nath Industries Limited Nath House, Nath Road, Aurangabad

1. We have examined the compliance of conditions of Corporate Governance by Nath Industries Limited ("The Company"), for the year ended on 31st March, 2021 as stipulated in Chapter IV of Securities & Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 pursuant to the Listing Agreement of the said Company with Stock Exchanges.
1. The compliance of conditions of Corporate Governance is the responsibility of the Management. Our examination has been limited to a review of the procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of the Corporate Governance. It is neither an audit nor an expression of the opinion on the financial statements of the Company.
1. In our opinion and to the best of our information and according to the explanations given to us, and based on the representations made by the Directors and the Management, we certify that the Company has complied with the conditions of Corporate Governance as stipulated in Chapter IV of Securities & Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 pursuant to the Listing Agreement of the said Company with Stock Exchanges.
1. We state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency of effectiveness with which the management has conducted the affairs of the Company.

For Vidya & Co Chartered Accountants (Firm's Registration No. 308022E)

Amit Nagar PARTNER (Membership No. 056156) Mumbai, 30th June 2021

CEO and CFO Compliance Certificate

We, Akhileshkumar Sharma, Executive Director and Vijay Saboo, Chief Financial Officer certify that:

a) We have reviewed the financial statements including the cash flow statement for the year ended 31st March, 2021 and to the best of our knowledge and belief:

i) these statements do not contain any materially untrue statement or omit any material fact or contain statements that might be misleading;

ii) these statements together present a true and fair view of the Company's affairs and are in compliance with Indian Accounting Standards, applicable laws and regulations.

b) To the best of our knowledge and belief, no transactions entered into by the Company during the year ended 31st March, 2021 are fraudulent, illegal or violative of the Company's code of conduct.

c) We accept responsibility for establishing and maintaining internal controls for financial reporting and we have evaluated the effectiveness of internal control systems of the Company pertaining to financial reporting. Deficiencies in the design or operation of such internal controls, if any, of which we are aware have been disclosed to the auditors and the Audit Committee and steps have been taken to rectify these deficiencies.

d) We have indicated to the Auditors and the Audit Committee that

i) There has not been any significant change in internal control over financial reporting during the year under reference;

ii) Changes in accounting policies consequent to the implementation of new Indian Accounting Standards (Ind AS) have been appropriately disclosed in the financial statements. The impact of the new Ind AS on the Company's financials is not material; and

iii) We are not aware of any instance during the year of significant fraud with involvement therein of the management or any employee having a significant role in the Company's internal control system over financial reporting.

Akhileshkumar Sharma Vijay Saboo Executive Director Chief Financial Officer Mumbai 31.08.2021

DECLARATION ON COMPLIANCE OF THE COMPANY'S CODE OF CONDUCT

To, Nath Industries Limited Nath House, Nath Road, Aurangabad

The Company has framed a specific Code of Conduct for the members of the Board of Directors and the Senior Management Personnel of the Company pursuant to terms of Regulation 17(8) read with Part B of Schedule II of SEBI (Listing obligations and disclosure requirements) Regulations, 2015 to further strengthen corporate governance practices of the Company.

All the members of the Board and Senior Management Personnel of the Company have affirmed due observance of the said Code of Conduct in so far as it is applicable to them and there is no non compliance thereof during the year ended 31st March, 2021.

For and on behalf of the Board,

Place: Mumbai Director

Ramniklal Salgia Date: 31.08.2021 (DIN: 02704031)

Annexure III

ANNUAL REPORT ON CORPORATE SOCIAL RESPONSIBILITY (CSR) ACTIVITES FOR THE FINANCIAL YEAR 2020-21

1. A brief outline of the Company's CSR Policy including overview of projects or programs proposed to be undertaken and a reference to the web-link to the CSR Policy and projects or programs and the composition of CSR Committee

At Nath Industries Limited, Corporate Social Responsibility (CSR) is being embedded in the long-term business strategy of the Company. For Nath Industries Limited, business priorities and social commitments are meant to co-exist in harmony for the development of people and communities at large. The Company's CSR initiative is in promoting education including special education & employment enhancing vocation skills.

2. The Composition of the CSR Committee.

Mr Shrirang Agrawal - Chairperson Shri K G Iyer - Member Mrs Jeevanlata Kagliwal _ Member

1. Average net profit of the Company for last three financial years: Rs. 898.48 lacs
1. Prescribed CSR expenditure: Rs. 17.97 lacs

(two percent of the amount mentioned in item 3 above)

1. Details of CSR spent during the financial year: 18.00 lacs
Total amount to be spent for the financial year: 18.00 lacs
Amount unspent, if any : Nil

Manner in which the amount spent during the year: Details given below :

DETAILS OF AMOUNT SPENT ON CSR ACTIVITIES DURING THE FINANCIAL YEAR 2020-21

| S.
No. | CSR Project or
Activity identified
Sector in which
project is
covered(Clause no
of Schedule VII to
the Companies Act
2013 as amended) | Project
of
Program
(1)Local
Area or
Other
(2)
Specify
the
State
and
district
where
projects
or
programs
was
undertaken | Amount
Outlay
(Budget)
Project or
Program
wise
( in Lakhs) | Amount
spent
On
the
Projects
or Programs
Sub Heads:
(1) Direct
Expenditure
on
Projects
or
Programs
(2)
Overheads
(in Lakhs) | Cumulative Expenditure Up to the reporting period i.e. FY 2020- 2021 ( in Lakhs) | Amount
Spent Direct
or through
Implementing
Agency |
|-------------|------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------|----------------------------------------------------------------|
| 1.
Total | (ii) | Maharashtra | | 18.00
18.00 | | |

Annexure IV

MANAGEMENT DISCUSSIONS AND ANALYSIS

1. Industry Overview

A. PAPER INDUSTRY

The pulp and paper industry have been thriving and will continue to do so in 2021 despite the process of digitalization because of anti-plastic sentiments and hygiene products demand.

North America and European Union account for about 25% of total world's total paper and paper board production. Growth is speedy in Asia. It accounts for almost 40% total world paper and paperboard production. India embraces 15th rank among paper manufacturing nations in the world.

The Paper and Paperboard in India are expected to grow at CAGR of 5.3% during the forecast period of 2021-2026. This market is growing rapidly owing to the higher growth of food and beverages, cosmetics, and other industries in India. Moreover, different government initiatives to reduce plastic wastes are also influencing the growth of this market. India's Paper and Print Industries show large potential. The paper industry of India is providing employment to 400,000 people directly and 1.5 million indirectly. Paper consumption in India is approximately 15 million tonnes per annum and it is expected to reach 23.5 tonnes per annum by 2025.

B. CHEMICAL INDUSTRY

Covering more than 80,000 commercial products, India's chemical industry is extremely diversified and can be broadly classified into bulk chemicals, specialty chemicals, agrochemicals, petrochemicals, polymers and fertilisers.

Globally, India is the fourth-largest producer of agrochemicals after the United States, Japan and China. India accounts for ~16% of the world production of dyestuffs and dye intermediates. Indian colorants industry has emerged as a key player with a global market share of ~15%. The country's chemicals industry is de-licensed, except for few hazardous chemicals. India holds a strong position in exports and imports of chemicals at a global level and ranks 14th in exports and 8th in imports at global level (excluding pharmaceuticals).

The Indian Chemical Industry stood at US\$ 178 billion in 2019 and is expected to reach US\$ 304 billion by 2025 registering a CAGR of 9.3%. The demand for chemicals is expected to expand by 9% per annum by 2025. The Chemical Industry is expected to contribute US\$ 300 billion to India's GDP by 2025. The speciality chemicals constitute 22% of the total chemicals and petrochemicals market in India. The demand for speciality chemicals is expected to rise at a 12% CAGR in 2019-22. The Indian agrochemicals market is expected to register an 8% CAGR to reach US\$ 3.7 billion by FY22 and US\$ 4.7 billion by FY25.

2. Opportunities and Threats

PAPER INDUSTRY

INCREASING CONSUMPTION: -

Consumption of paper and paperboard per person varies significantly from country to country. One person uses about 60 kg of paper a year on average; the extremes are 265 kg for each US resident and some 7 kg for each African. In the heavily populated areas of Asia, only around 40 kg of paper per person is used. This means that Asian consumption will continue to grow intensely in the coming years if developments there follow the example of the West. In Finland, consumption of paper and paperboard per person is about 194 kg. Although India's population is about 7% of the world's population, it consumes barely 2% of the global paper output with consumption per person at only 9 kg against a global average of 55 kg, 65 kg in China and 215 kg in Japan. Rapid growth in Asian paper production in recent years has increased the region's self-sufficiency, lessening the export opportunities available to both Europeans and Americans. Moreover, Asian paper has started to enter Western markets.

INCREASED ONLINE SALES: -

The online sales of pulp and paper products are growing and this trend is expected to continue in 2021. Global shipping volume is expected to surpass 100 billion parcels in 2021, according to projections by Pitney Bowes. It's partly due to online shopping that has required innovation in packaging to optimize the display of products on shelves. The growth encompasses a higher demand for raw materials and corrugated boxes. There is also an increase in the number of products that are required immediately with very little lead time. This includes both same-day and next-day product delivery services.

LIGHTWEIGHT PACKAGING: -

This is the case for packaging products at all levels, including luxury brands. One of the benefits of lightweight packaging is that it can support the growth of a business by cutting expenses. Lightweight packaging lowers pulp expenses, reduces CO2 emissions, and slashes shipping costs, which are just some of the many benefits.

RECYCLABLE PRODUCTS: -

The ability to recycle pulp and paper products is non-negotiable nowadays. As a result, there is an increase in recyclable products. This has been a challenge in that some products contained coatings that were waterproof and problematic for recycling. Now there is a push to use protective coatings that are recyclable, and it's a trend that will further develop in 2021 and beyond. The growing concern over the amount of packaging that could not be recycled has resulted in the involvement of the European Union in the area of plastic packaging. This offers many future opportunities for pulp and paper.

HYGIENE PRODUCTS PACKAGING: -

Post Covid-19, the paper industry is witnessing the growth of hygiene products and the subsequent need for packaging. This includes toilet paper, wipes, tissues, and paper towels, to name a few. The growth is partly due to the increased purchase of these items by the middle class. In some regions of the world, this is attributed to an actual increase in the middle-class population and thus an increase in the consumption of these products.

ANTI PLASTIC SENTIMENTS: -

There are on-going efforts to reduce or eliminate the use of plastic for packaging. This antiplastic sentiment is beneficial to the pulp and paper industry in that it encourages biodegradable alternatives. In fact, the use of plant-based raw materials is being explored. This is being driven by governmental agencies and by consumers that are health conscious and committed to finding eco-friendly options. Simply put, the problems associated with plastic result in a tremendous number of opportunities in the pulp and paper industry. The development of alternative products will continue into 2021 and beyond, especially as it relates to the banning of single-use plastic products.

INCREASING DEMAND FOR LAMINATES: -

The India wood and laminate flooring market size was estimated at USD 2.80 billion in 2019 and is expected to expand at a CAGR of 6.4% in terms of revenue, from 2020 to 2027. The introduction of engineered wood and laminates floors emerging as cost-effective alternatives to hardwood flooring is anticipated to fuel the growth. Superior durability and ease of maintenance are the key factors expected to propel the adoption of wood and laminate floorings in the country. Advancements in designing and printing technologies have facilitated the enhancements in aesthetics and textures of the products, creating growth opportunities for the market. Factors, such as rising population and rapid growth of urbanization have propelled construction activities for corporate offices, retail spaces, educational facilities, government buildings, hotels, lodging spaces, medical and healthcare units, industrial spaces, and commercial utilities. This, in turn, is expected to positively influence the demand for wood and laminate and flooring.

ECOMONIC SLOWDOWN DUE TO THE PANDEMIC: -

The industrial sector has been affected by the current slowdown of the Indian economy due to COVID-19, but the impact of the economic slowdown on the paper industry will be mitigated by several factors like increased use and awareness of sanitary and hygienic products, favourable younger demographic, better quality packaging requirement for FMCG products and the rise of e-commerce.

CHEMICAL INDUSTRY

The global sulphuric acid market reached a volume of almost 284.4 million metric tons in 2020. The industry is further expected to grow at a CAGR of 1.5% between 2021 and 2026 to reach a value of almost 311 million metric tons by 2026. The global sulphuric acid market is driven by the increase in the fertilizers and chemicals industry. The market is expected to be driven by the end-use sectors like the agriculture segment. The acid is used for producing phosphoric acid, and as a consequence, phosphate fertilizers, which are extensively used in the agricultural sector.

Sulphuric acid is, apart from its on-purpose production, produced as a by-product of metal smelting, where large volumes of the product are involuntarily produced. Therefore, no definitive capacity is installed for the commodity. In spite of this, the involuntary production has afflicted the market with excess supply for about a decade now. The production of sulphuric acid is nearly 10% more than the requirement, in spite of more than 200 million metric tons consumption of sulphuric acid every year. This persistent oversupply of the acid is expected to hinder the market growth in the coming years due to the significant gap between supply and demand.

3. Internal Control Systems and their adequacy

The Company believes that Internal Control System is an important pillar of corporate Governance. The Company has adequate internal controls and standard operating procedures in place covering all financial and operational functions commensurate with the size and nature of the business. The same are reviewed and monitored through internal audits and operational Reviews. Company has also installed ERP system 'PAPERBIZ" which has also helped in strengthening internal controls.

4. Financial performance with respect to operational performance

The company has registered EBIDTA of Rs.3120 Lakhs and a net profit before tax of Rs. 2165 Lakhs in the current year as against the EBIDTA of Rs. 2930 Lakhs and a net profit of Rs. 1874 Lakhs in the previous year despite the adverse impact of Covid-19 pandemic.

5. Development in human resources/industrial relations front

The company believes that Human Resource is the most critical asset and differentiating factor in any organization. The company considers the competence, dedication, commitments and calibre of human resources as crucial to its success. The company organizes systematic programmes for on the job training and appropriate system of recognition and rewards. The industrial relations of the company continues to be cordial.

For and on behalf of the Board,

Place: Mumbai Director Date: 31.08.2021 (DIN: 02704031)

Ramniklal Salgia

Annexure V

DETAILS PERTAINING TO REMUNERATION AS REQUIRED UNDER SECTION 197(2) OF THE COMPANIESACT, 2013 READ WITH RULE 5 (1) OF THE COMPANIES (APPOINTMENT AND REMUNERATION OF MANAGERIAL PERSONNEL) RULES, 2014.

(i) The percentage increased in remuneration of each directors, chief financial Officer and company Secretary during the financial year 2020-21, ratio of the remuneration of the employees of the Company for the financial year 2019-20 and the comparison of remuneration of each Key Managerial Personnel (KMP) against the performance of the Company are as under:

Sr.	Name of Director/KMP and	Remuneration	% increase in
No.	Designation	of	Remuneratio
		Director/KMP	n in the F.Y.
		for F.Y.2020-	2020-21
		21 (in Lakhs)
1	Shri Akhilesh Sharma	19.02	1.82%
2	Shri Ramniklal Salgia	20.96	6.23%
3	Mrs. Jeevanlata Kagliwal	NIL	NA
4	Shri Abhaykumar Jain	25.00	12.26%
5	Shri Amol Deo	14.69	3.16%
6	Ms. Nupur Lodwal	2.64	0%

Annexure VI

RISK MANAGEMENT POLICY

The Company Nath Industries Limited is required to adhere to the regulations made both by the Companies Act,2013 and Listing Agreement governed by the Securities and Exchange Board of India (SEBI). Where any stipulation is common between the regulations more stringent of the two shall be complied with.

This Policy has been implemented by the Company w.e.f. 30.04.2016.

The Board of Directors of Nath Industries Limited has adopted the following policy and procedures with regard to risk management policy. It shall be attached to financial statements laid before a company in general meeting, a report by its Board of Directors, which shall include a statement indicating development and implementation of a risk management policy for the company including identification therein of elements of risk, if any, which in the opinion of the Board may threaten the existence of the company as per the provisions of Section 134(3) (a) of companies Act, 2013.

The purpose of the risk management policy shall be to assist the Board with regard to the identification evaluation and mitigation of operational, strategic and external environment risks. Pursuant to provisions of Section 177(4) and other applicable provisions of Companies Act, 2013 the Audit Committee has overall responsibility for monitoring and approving the risk policies and associated practices of the Company.

The Board & Audit committee is responsible for reviewing and approving risk disclosure statement in any public documents or disclosures.

The Members of Audit committee and senior executives of the company shall have free access to management and management information. The members of the Committee at their sole authority, may seek the advice of outside experts or consultants where judged necessary.

The risk management policy will cover the following areas:

1. Assessment of the Company's risk profile and key areas of risk in particular.
1. Recommending to the Board and adopting risk assessment and rating procedures.
1. Examining and determining the sufficiency of the Company's internal processes for reporting on and managing key risk areas.
1. Assessing and recommending to the Board acceptable levels of risk.
1. Development and implementation of a risk management framework and internal control system. On an annual basis, agreeing with the Audit Committee which aspect of the internal audit are non-financial aspects to be monitored. In relation to the non-financial aspects of the internal audit the committee to:
· Monitor the progress of the Company's auditors against the audit plan.
· Review all relevant representation letters signed by management.
· Discuss the results of the internal audit with the Company's auditors; inquiring if there have been any significant disagreements between management and the Company's auditors, and monitoring management's response to the Company's auditors recommendations that are adopted.
· Initiate and monitoring special investigation into areas of corporate risk and breakdowns in internal control.
· Review the nature and level of insurance coverage.

ANNEXURE VII

SECRETARIAL AUDIT REPORT Form No. MR-3 FOR THE FINANCIAL YEAR ENDED 31.03.2021 [Pursuant to Section 204(1) of the Companies Act, 2013 and Rule No.9 of the Companies (Appointment and Remuneration Personnel) Rules, 2014]

To, The Members, Nath Industries Limited, 1, Chateau Windsor, 86, Veer Nariman Road, Church gate, Mumbai – 400 020

I have conducted the secretarial audit of the compliance of applicable statutory provisions and the adherence to good corporate practices by M/s. Nath Industries Limited (hereinafter call the company). Secretarial Audit was conducted in a manner that provided me a reasonable basis for evaluating the corporate conducts/statutory compliances and expressing my opinion thereon.

Based on my verification of the M/s. Nath Industries Limited, 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, I hereby report that in my opinion, the company has, during the audit period covering the financial year ended on 31stMarch, 2021 complied with the statutory Provisions listed hereunder and also that the Company has proper broad-processes and compliance-mechanism in place to the extent, in the manner and subject to the reporting made hereinafter:

I have examined the books, papers, minute books, forms and returns filed and other records maintained by M/s. Nath Industries Limited for the financial year ended on 31stMarch, 2021 according to the provisions of:

i. The Companies Act, 2013 (the Act) and the rules made there under;
ii. The Securities Contacts (Regulation) Act, 1956 ("SCRA") and the rules made there under;
iii. The Depositories Act, 1996 and the Regulations and Bye-laws framed there under;
iv. Foreign Exchange Management Act, 1999 and the rules and regulations made there under to the extent of Foreign Direct Investment, Overseas Direct Investment and External Commercial Borrowings;
v. The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992('SEBI Act') to the extent applicable during the year:
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, 1992;
c. The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009;
d. The Securities and Exchange Board of India (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999;
e. The Securities and Exchange Board of India (Issue and Listing of Debt Securities) Regulations, 2008;
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 client;
g. The Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009; and
h. The Securities and Exchange Board of India (Buyback of Securities) Regulations, 1998;
vi. Other Laws Specifically Applicable to Company:
a. Contact Labour (Regulation & Abolition) Act, 1970.

I have also examined compliance with the applicable clauses of the followings:

i. Secretarial Standards issued by The Institute of Company Secretaries of India.
ii. Securities and Exchange Board of India (Listing Obligation and Disclosure requirements) Regulations 2015;

During the year under review, the company has complied with the provisions of the act, rules, regulations and guidelines mentioned above.

I further report that, based on the information provided by the company, its officers and authorized representative, during the conduct of the audit and also on the review of reports of the company, in my opinion, adequate systems and processes and control mechanism exist in the company to monitor and ensure compliance with applicable general laws.

I further report that, the compliance by the company of applicable financial laws, like direct and indirect tax laws, has not been reviewed in this audit since the same have been subject to review by statutory financial audit and other designated professionals.

I further report that, the Board of Directors of the Company is duly constituted with proper balance of Executive Directors, Non-Executive Directors and Independent Directors. The changes in the composition of the Board of Directors that took place during the period under review were carried out in compliance with the provisions of the Act. Adequate notice is given to all Directors to schedule the Board Meetings, Agenda and detailed notes on Agenda were sent at least seven days in advance and a system exists for seeking and obtaining further information and clarifications on the Agenda items before the meeting and for meaningful participation at the meeting. As per the minutes of the meetings duly recorded and signed by the Chairman, the decisions of the Board were unanimous and no dissenting views have been recorded.

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.

Date: 31.08.2021 FCS No.: 7350

Place: Aurangabad Name of PCS: Neha P.Agrawal C.P.No.: 8048

INDEPENDENT AUDITOR'S REPORT

To,

The Members of M/s Nath Industries Ltd.

1. Report on the Financial Statements

We have audited the accompanying financial statements of M/s Nath Industries Ltd, which comprise the Balance Sheet as at March 31, 2021, and the Statement of Profit and Loss for the year then ended, and a summary of significant accounting policies and other explanatory information.

In our opinion & to the best of our information and according to the explanation given to us, the aforesaid Ins AS financial statements give the information required by the Companies Act, 2013,as amended (the act) in the manner so required and give a true & fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the company as at March 31, 2021, its profit including other comprehensive income and its cash Flow statement for the year ended on that date.

2. Management's Responsibility for the Financial Statements

Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance in accordance with the Accounting Standards referred to in section 129(1) of the Companies Act, 2013 read with the General Circular 15/2013 dated 13th September, 2013 of the Ministry of Corporate Affairs in respect of Section 133 & Section 134(5) of the Companies Act, 2013 and in accordance with the accounting principles generally accepted in India. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

3. Auditor's Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted the audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

4. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, we have considered internal control relevant to the Company's preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company's internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

5. We believe that the audit evidences obtained are sufficient and appropriate to provide a basis for our audit opinion.

6. Opinion

In our opinion and to the best of information and according to the explanations given to us, the 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 accounting principles generally accepted in India.

(a) in the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2021;

(b) in the case of the Statement of Profit and Loss, of the profit for the year & its cash Flow. ended on that date

Report on Other Legal and Regulatory Requirements

7. As required by the Companies (Auditor's Report) Order, 2016, issued by the Central Government of India in terms of subsection (11) of section 143 of the Companies Act 2013 and on the basis of such checks of the books and records of the company as we consider appropriate and according to the information and explanations given to us, we give in the Annexure A statement on the matters specified in paragraphs 3 and 4 of the Order.

8. As required by section 143(3) of the Act, we report that:
(i) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of audit;
(ii) In our opinion proper books of accounts as required by law have been kept by the Company so far as appears from examination of those books;
(iii) The Balance Sheet, Statement of Profit and Loss and cash Flow statement dealt with by this Report are in agreement with the books of accounts;
(iv) In our opinion, the aforesaid Ind AS financial statements including the Balance Sheet, Statement of Profit and Loss, comply with the Accounting Standards notified under the Act, read with Rule 7 of the Company`s (Accounts) Rules, 2014 & read with the General Circular 15/2013 dated 13th September, 2013 of the Ministry of Corporate Affairs in respect of Section 133 of the Companies Act, 2013.
(v) On the basis of written representations received from the directors as on March 31, 2021, and taken on record by the Board of Directors, We report that none of the director is disqualified as on March 31, 2021, from being appointed as a director in terms of sub-section (2) of section 164 of the Companies Act, 2013.
(vi) In our opinion & to the best of our information and according to explanation given to us, we report with respect to other matters to be included in Auditors Report in accordance with Rule 11 of the companies (Audit & Auditors) Rule 2014 as under.
i. The company does not have any pending litigation which would impact its financial position except Service Tax liability and excise duty as per para (vii) (b) of the Annexure A of this report.
ii. The company did not have any long term contracts including derivative contracts, as such the question of commenting any material foreseeable losses there on does not arise
iii. There has been no delay in transferring amounts required to be transferred, to The Investors Education & Protection Fund by the company.

For VIDYA & CO Chartered Accountants Firm Registration No.: Firm Reg. No. 308022E

Place: Mumbai Amit Nagar Date: 30th June 2021 Partner Membership No: .056156 UDIN:- 21056156AAAAKM6879

The Annexure `A` referred to in paragraph 7 of our Report of even date to the members of M/s Nath Industries Ltd. on the accounts of the company for the year ended 31st March, 2021

i). a) The Company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets.
b) As informed to us, the fixed assets have been physically verified by the management during the year at reasonable intervals and we were informed that no material discrepancies have been noticed on such verification.

M/s Nath Pulp & Paper Ltd. and M/s Nath Industrial Chemicals Limited were merged in Nath Industries Ltd. (Formerly known as Rama Pulp & Paper Ltd) by order of Hon`ble NCLT dated 22nd August 2019

Title deeds of all immovable properties are held in the name of the company, except immovable properties belonging to two merged companies as under: `

1. Nath Pulp and Paper Mills Limited:-

Freehold land situated at Wahegaon Gut no 319 to 324, 50/2 to 50/6, 37/3 Freehold land situated at Issarwadi Gut no 54/1 to 54/5 Freehold land situated at Pimpalwadi 26/1, Freehold Land situate at - Gut No 124 ( S No 54), Village Mudalwadi, All above lands parcels are situated at Taluka Paithan, Dist Aurangabad, Maharashtra - 431 148 Gross Value Rs. 5136.63 lakhs Net Rs. 5136.63 lakhs Total Area 4,93,676 sq meter

2. Nath Industrial Chemicals Limited:-

Lease hold land situated at Plot no 294- 295, Phase 2, Industrial Estate, GIDC, Vapi- Gujarat - 396 195. Gross Value Rs. 4682.40 lakhs Net Rs. 4375.36 lakhs Area 39020 sq meters, We have been informed that transfer of above all lands parcels are in the process.

ii). a) Physical verification of the inventory has been conducted at reasonable intervals by the management,
b) Procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and nature of its business.
c) The company is maintaining proper records of inventory and no material discrepancies were noticed on physical verification
iii). a) Company has granted Unsecured loans & advances to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act 2013.
b) Receipt of the principal amount are regular. However receipt of interest is not regular.
c) If overdue amount is more than one lacs, reasonable steps have been taken by the company for recovery of the principal and interest.
iv). In our opinion & according to information & explanation given to us, there are adequate internal control system commensurate with the size of the company and the nature of its business, for the purchase of inventory and fixed assets and for the sale of goods and services. There is no weaknesses in the internal control system, hence questions of correcting internal control system do not arise.
v). The company has not accepted deposits, hence question of compliance with the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 companies Act 2013 or any other relevant provisions of the companies Act 2013 and the rules framed there under, are not applicable to the company.
vi). We have broadly reviewed the cost records maintained by the company pursuant to the order of the Central Government under sub-section (1) of section 148 of the Act and are of the opinion that, prima facie, the prescribed records have been made and maintained. We are, however, not required to make a detailed examination of the records with a view to determine whether they are accurate or complete.
vii).a) As per the records of the company and according to the information and explanations given to us, the company is regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Employees State Insurance, income tax, Goods & Service Tax, sales tax, wealth tax, custom duty, excise duty, cess, value added tax and other statutory dues, to the extent applicable to it.
b) Company has not deposited disputed Service tax, & disputed Excise Duty In respect of Vapi Plant & Aurangabad Plant respectively as under. Appeal by the company are pending before Appellate Authorities.

Particulars	Forum where the dispute is pending	Amount Rs	Period to which the Amount Relates
Service	Unit –Rama Paper-Customs Excise &	2,59,56,040/-	16.05.2008 to
Tax	Service Tax Appellate Tribunal, Ahmedabad.		31.03.2010
Excise	Unit- Nath Paper -Commissioner of Central	74,36,435	2010-2011 to
Duty	Excise Aurangabad		2014-2015

c) During the year, no amount was required to be transferred to The Investors Education & Protection Fund.
viii). There are no accumulated losses at the end of the financial year of the company and neither any cash losses is incurred in such financial year or in the immediately preceding financial year.
ix). The company has not defaulted in repayment of dues for loans from Financial institution or bank or debenture holders
x) The company has given guarantee of Rs.6.00 crores for loan taken by others from the bank, the terms & conditions whereof are not prejudicial to the interest of the company.
xi) The company has not raised any funds by way of public issue. Company has taken term loans from Bank and as required under the paragraph 3 clause (xi), Term loans were applied for the purpose for which they were obtained.
xii) According to the information and explanations given to us, Company has suffered a loss of Rs. 4,50,000/- due to Cyber fraud. Company has filed a case with appropriate authorities.
xiii) Managerial Remuneration paid is in accordance with the requisite approval mandated by the provisions of section 197 read with schedule V of the companies act 2013.
xiv) In our opinion & according to the information & explanation given to us, the company is not a nidhi company. Accordingly paragraph 3 clause (xiv) of the order is not applicable.
xv) In our opinion & according to the information & explanation given to us, transactions with the related parties, wherever applicable, according to section 177 & 188 of the Companies Act 2013, have been disclosed in the notes to the Ind AS financial statements, as required by the applicable accounting standard.
xvi). Company has not made any preferential allotment/ Private placement of shares or Debentures during the year under review.
xvii). Company has not entered in to non cash transactions with Directors or persons connected with him as referred in section 192 of the Companies Act, 2013.
xviii). Company is not required to be registered under u/s 45-IA of the Reserve Bank of India Act, 1934.

For VIDYA & CO Chartered Accountants Firm Registration No.: Firm Reg. No. 308022E

Place: Mumbai Amit Nagar Date: 30th June 2021 Partner Membership No: .056156 UDIN:- 21056156AAAAKM6879

Annexure B to the Auditors' Report

Report on the Internal Financial control under Clause (i) of Sub – section 3 of Section 143 of the Companies Act, 2013 ( the Act ).

We have audited the Internal Financial controls over financial reporting of M/s Nath Industries Ltd as of 31st March 2021 in conjunction with our audit of the Ind AS financial statements of the Company for the year ended on that date.

Management 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 Control 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 the company's policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act 2013.

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 Company 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 were established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system 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.

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.

Meaning of Internal Financial Controls Over Financial Reporting.

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 of 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 details, 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 preparing of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of the management and directors of the Company and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisitions, use, or disposition of the company's assets that could have a material effect on the financial statements.

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.

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 31st March 2020 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.

For VIDYA & CO Chartered Accountants Firm Registration No.: Firm Reg. No. 308022E

Place: Mumbai Amit Nagar Date: 30th June 2021 Partner Membership No: .056156 UDIN:- 21056156AAAAKM6879

Nath Industries Limited (Formerly known as Rama Pulp and Papers Limited) Balance Sheet as at March 31, 2021 L21010MH1980PLC022820

			(amount in Lakhs)
Particulars	Note No.	As on 31.03.2021	As on 31.03.2020
Assets
Non-current assets
(a) Property, plant and equipment	2	20,226.03	20,518.44
(b) Capital work-in-progress	3	101.69	52.34
(c) Financial assets
(i) Investments	4	0.25	183.69
(ii) Security Deposits	5	418.01	411.51
(iii) Deposits with Banks- Earmarked	6	16.29	16.29
(iv) Loans and Advances	7	657.84	901.79
(d) Other non-current assets	8	3,203.59	3,190.76
		24,623.70	25,274.82
Current assets
(a) Inventories	9	3,465.86	2,978.86
(b) Financial assets
(i) Trade receivables	10	5,416.50	4,513.18
(ii) Cash and bank balances	11	940.88	249.59
(iii) Other Current Financial Assets	12	88.89	86.05
(c) Other current assets	13	1,204.94	1,357.73
		11,117.07	9,185.41
Total Assets		35,740.77	34,460.23

Equity and Liabilities
Equity
(a) Equity share capital	14	1,900.00	1,900.00
(b) Other equity	15	21,051.30	19,448.53
		22,951.30	21,348.53
Liabilities
Non-current liabilities
(a) Financial liabilities
(i) Borrowings	16	373.18	439.67
(ii) Deferred Sales Tax Liabilites payable as per Govt Scheme	17	3,316.02	3,386.48
(b) Provisions	18	490.26	529.95
(c) Deferred tax liabilities (net)	19	2,506.90	2,494.79
		6,686.36	6,850.89
Current liabilities
(a) Financial liabilities
(i) Borrowings	20	1,329.65	2,327.08
(ii) Trade payables (iii) Other Current financial liabilities	21 22	2,589.91 663.54	2,211.32 422.16
(b) Other current liabilities	23	743.05	648.43
(c) Provisions	24	359.98	291.81
(d) Current Tax Liabilities (net)	25	416.98	360.01
		6,103.11	6,260.81
Total Equity and Liabilities		35,740.77	34,460.23

Significant Accounting Policies and notes form an integral part of	1 & 34 to
Financial Statements	47

IN TERMS OF OUR REPORT ATTACHED FOR VIDYA & CO CHARTERED ACCOUNTANTS AKHILESH K SHARMA FIRM REG. NO. 308022E (DIRECTOR)

AMIT NAGAR ABHAYKUMAR JAIN (PARTNER) (DIRECTOR) M NO. 056156 UDIN:- 21056156AAAAKM6879 PLACE: MUMBAI 30th June 2021

FOR AND ON BEHALF OF THE BOARD

Nath Industries Limited (Formerly known as Rama Pulp and Papers Limited) Statement of Profit and Loss for the year ended March 31, 2021 L21010MH1980PLC022820

			(amount in Lakhs)
Particulars	Note No.	For the year ended 31.03.2021	For the year ended 31.03.2020
Income
Revenue from operations (net)	26	29,170.38	29,920.54
Other income	27	169.49	186.58
Total income		29,339.87	30,107.12
Expenses
Cost of material consumed	28	16,988.45	17,288.18
Purchase - Trading	29	44.37	58.23
Changes in inventories	30	184.76	10.58
Employee benefits expense	31	1,684.16	1,922.70
Finance costs	32	312.59	443.00
Depreciation and amortization expense	2	643.01	613.31
Other expenses	33	7,317.84	7,897.55
Total expenses		27,175.18	28,233.55
Profit / (loss) before tax		2,164.69	1,873.57
Tax expense :
(1) Current tax		643.75	356.70
(2) Deferred tax		12.11	268.01
(3)Mat Credit:-
F.Y. 2018-19		-	-557.31
F.Y. 2019-20		-14.83	-15.03
Total		- 641.03	- 52.37
Profit / (loss) for the period		1,523.66	1,821.20
Other comprehensive income
A (i) Items that will not be reclassified to profit or loss		-	-363.74
(ii) Income tax related to items that will not be reclassified to profit or loss		-	-
B (i) Items that will be reclassified to profit or loss		79.12	-
(ii) Income tax related to items that will be reclassified to profit or loss		-	-
Total comprehensive income for the period		1,602.78	1,457.46
Earnings per equity share
(1) Basic		8.02	9.59
(2) Diluted		8.02	9.59
Significant Accounting Policies and notes form an integral part of Financial Statements	1 & 34 to 47

IN TERMS OF OUR REPORT ATTACHED FOR VIDYA & CO CHARTERED ACCOUNTANTS FOR AND ON BEHALF OF THE BOARD FIRM REG. NO. 308022E

AMIT NAGAR AKHILESH K SHARMA (PARTNER) (DIRECTOR) M NO. 056156 UDIN:- 21056156AAAAKM6879 ABHAYKUMAR JAIN PLACE: MUMBAI (DIRECTOR) 30th June 2021

Nath Industries Limited (Formerly known as Rama Pulp and Papers Limited) Cash Flow Statement for the year ending 31.03.2021
L21010MH1980PLC022820
				(amount in Lakhs)
Particulars		For the Year Ended 31st Mar, 2021		For the Year Ended 31st Mar, 2020
A. Cash flow from operating activities
Net Profit / (Loss) after Tax		1,523.68		1,821.20
Adjustments for:
Depreciation and amortisation	643.01		613.32
Finance costs	312.58		443.00
Tax Expenes	655.86		624.71
Mat Credit Income Interest income	(14.83) (30.67)		(572.35) (47.56)
Bad Debts Written Back	-		(5.21)
Dividend Income	-		(0.14)
Gain on Sale of Land	-		(74.20)
Profit on Sale of Investment	(110.13)		-
Change in Deferred Tax Liability	-		-
Change in Current Tax	-		-
Provision for Employee Benefits	-	1,455.82	98.71	1,080.28
Operating profit / (loss) before working capital changes		2,979.49		2,901.48
Changes in working capital:
Adjustments for (increase) / decrease in operating assets:
Inventories	(487.00)		(124.37)
Trade receivables	(903.32)		(569.23)
Security Deposits Non-current Financial Asset	(6.50) -		51.44 -
Other non-Current Assets	(131.76)		(299.39)
Current Financial Assets	(2.84)		(8.08)
Other Current Assets	152.79		(65.02)
Adjustments for increase / (decrease) in operating liabilities:	-		-
Trade payables	378.58		(256.96)
Other current liabilities Income tax Paid	152.54 (350.25)		152.20 (21.37)
	-		-
Provision for Expenses / ( Paid)	41.57		(5.58)
Short Term Employee Benefits Paid	26.59		(56.48)
Long Term Employee Benefits Paid	(39.69)	(1,169.29)	14.62	(1,188.22)
Net cash flow from / (used in) operating activities (A) B. Cash flow from investing activities		1,810.20		1,713.26
Capital expenditure on fixed assets, including capital advances	(350.60)		(1,029.67)
Change in Capital work in progress	(49.35)		(5.94)
Proceed from Sale of Shares / (Investment in Shares)	262.56		(39.15)
Advance given for Land Development	7.54		(19.83)
Advance given for purchase of Land	111.39		(482.90)
Loans and advances Received Back /(Given) Redemption of Mutual Fund	22.25 -		(71.98) 800.52
Proceed from Sale of Land	-		113.36
Interest received	30.67		47.56
Dividend Received	-		0.14
Profit on Sale of Investment	110.13		-
Gain on Sale of Land	-		74.20
Net cash flow from / (used in) investing activities (B)		144.60 144.60		(613.70) (613.70)
C. Cash flow from financing activities
Increase / (Repayment) of Trade & Inter corporate Deposits	(705.04)		(865.60)
Increase / (Repayment of Long term Borrowings	17.01		(110.63)
Increase in Deferred Sales Tax Liability	87.42		373.08
Increase / (Repayment) of Short-term borrowings from Banks	(350.33)		(173.00)
Finance cost Net cash flow from / (used in) financing activities (C)	(312.58)	(1,263.51) (1,263.51)	(443.00)	(1,219.14) (1,219.14)

Net increase / (decrease) in Cash and cash equivalents (A+B+C)	-	691.29	-	-119.58
Cash and cash equivalents at the beginning of the year	-	249.59	-	3.62
Add:- Cash and Bank balance acquired on amalgamation	-	-	-	365.55
Cash and cash equivalents at the end of the year		940.88		249.59
Comprises: Cash and Cash Equivalents (a) Cash on hand	-	6.15	-	9.95
(b) Balances with banks in Current Accounts	-	934.73	-	239.63
		940.88		249.59

IN TERMS OF OUR REPORT ATTACHED			FOR AND ON BEHALF OF THE BOARD

FOR VIDYA & CO CHARTERED ACCOUNTANTS FIRM REG. NO. 308022E AKHILESH K SHARMA

AMIT NAGAR (PARTNER) ABHAYKUMAR JAIN M NO. 056156 (DIRECTOR) UDIN:- 21056156AAAAKM6879 PLACE: MUMBAI 30th June 2021

(DIRECTOR)

NOTE NO. 1 NOTES FORMING PART OF FINANCIAL STATEMENTS AS ON 31st March 2021

A. GENERAL INFORMATION:

Nath Industries Limited –CIN L21010MH1980PLC22820 (Formerly known as Rama Pulp and Papers Limited) (the 'Company') is a public company limited by shares domiciled in India and is incorporated under the provision of the Companies Act applicable in India.

Company's registered office is located at Nath House, Nath Road, Aurangabad (Maharashtra) and its manufacturing facilities are situated at Paithan (Maharashtra) & Vapi (Gujrat). The Company is mainly engaged in the business of manufacturing and selling of various types of industrial & specialty papers & industrial chemicals.

The equity shares of the Company are listed on the Bombay Stock Exchange Limited in India.

The financial statements were approved and authorized for issue in accordance with the resolution of the Company's Board of Directors on 30th June 2021.

B. SIGNIFICANT ACCOUNTING POLICIES.

a) Basis of Preparation & presentation:

i. The financial statements are prepared on historical cost basis in accordance with applicable Indian Accounting Standards (Ind AS) and on accounting principles of going concern except fixed assets which are measured at fair values. These financial statements have been prepared to comply with all material aspects with the Indian accounting.
ii. Accounting policies have been consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policies hitherto in use.
iii. As the quarter and year figures are taken from the source and rounded to the nearest digits, the figures already reported for all the quarters during the year might not always add up to the year figures reported in this statement.
iv. All assets and liabilities have been classified as current or non-current as per the Company's normal operating cycle and other criteria set out in the Schedule III to the Act. Based on the nature of products and the time between the acquisition of assets for processing and their realization in cash and cash equivalents, the company has ascertained its operating cycle as 12 months for the purpose of current classification of assets and liabilities.

(b) Revenue Recognition:

(i) Products

Revenue from sale of goods is recognized when significant risks and rewards of ownership in the goods are transferred to the buyer as per the terms of the contract. Sales are net of sales returns, trade discounts, Good and Service Tax (GST).

(ii) Services

The Company recognizes revenue when the significant terms of the arrangement are enforceable, services have been delivered and the collectability is reasonably assured. The method of recognizing the revenues and costs depends on the nature of the services rendered. Revenue from services is recognized on completion of services.

(iii) Other Income

Other Income such as Interest is recognized using the time-proportion method, based on rates implicit in the transaction. Goods and Service tax (GST) is accounted on the basis of both, payments made in respect of goods cleared / services provided.

(iv) Export Benefits

Export entitlements (arising out of Duty Drawback, MEIS and RoDTEP) are recognized when the right to receive credit as per the terms of the schemes is established in respect of the exports made by the Company and where there is no significant uncertainty regarding the ultimate collection of the relevant export proceeds.

(c) Use of Estimates:

The preparation of the financial statements is in conformity with the Indian generally accepted accounting principles which requires making judgments, estimates and assumptions that affect the reported amount of revenues, expenses, assets and liabilities and the disclosures of contingent liabilities, at the end of the reporting period. Although these estimates are based on the Managements best knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods.

(d) Property ,Plant & Equipment:

i. Land and Building held for use in the production or supply of goods or services, or for administrative purposes, are stated in the balance sheet at fair value less accumulated depreciation and impairment losses. Freehold land is not depreciated while lease hold land is amortized over its balance lease life.

ii. Properties are carried at cost, less any recognized impairment loss. Cost includes professional fees and, for qualifying assets, borrowing costs capitalized in accordance with the Company's accounting policy. Such properties are classified into appropriate categories of property, plant and equipment when completed and ready for intended use. Depreciation of these assets, on the same basis as other property assets, commences when the assets are ready for their intended use.
iii. Fixtures and equipment are stated at cost less accumulated depreciation and accumulated impairment losses.
iv. An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognized in profit or loss.
v. Machinery spares procured along with the plant and machinery or subsequently and whose use is expected to be irregular are capitalized separately, if cost of such spares is known and depreciated fully over the residual useful life of the related plant and machinery. If the cost of such spares is not known particularly when procured along with the mother plant, these are capitalized and depreciated along with the mother plant. The written down value (WDV) of the spares is charged as revenue expenditure in the year in which such spares are consumed. Similarly, the value of such spares procured and consumed in a particular year is charges as revenue expenditure in that year itself.
vi. Subsequent expenditure related to an item of fixed asset is added back to its book value only if it increases the future benefits from the existing asset beyond its previously assessed standards of performance.
vii. All the other expenses of existing fixed assets, including day to day repair and maintenance expenditure, are charged to the statement of profit and loss account to the period during which such expenses are incurred.

(e) Capital work in Progress:

Expenditure related to and incurred during the construction / implementation of the projects is included under Capital Work-in-Progress and the same are capitalized under the appropriate heads on completion of the projects.

(f) Depreciation /Amortization:

i) Depreciation on tangible Property, plant and equipment is provided for on basis of useful life specified in Schedule II to the Act.

ii) Depreciation is charged as per the provisions of Schedule II to the Act based upon useful life of Property, plant and equipment. The useful life is adopted for the purpose of depreciation is as under:-

Assets	F.Y. 2020-21	F.Y. 2019-20
	Useful Life	Rate of Dep %
Building :
Pulp mill building , security cabin and flats	60	1.58
Site development, drainage, bldg. staff qtrs.	60	1.58
Factory building	30	3.17
Roads	10	9.50
Plant & Machinery :
Electrical installation, effluent treatment plant, gas	10	9.50
cylinder
Energy conveyor equipment	25	3.80
Paper machine, gen plant & Machinery, boiler, Steam
line pipe, DM plant, coal conveyor, water line	25	3.80
Energy saving equipment, steam turbine, bore well	25	3.80
Workshop plant & lab equip. Water meter	25	3.80
Furniture, Fixture & Equipment:
Furniture & fixture, air conditioner	10	9.50
Office equipment	5	19.00
HF Transmitter	5	19.00
Water cooler	5	19.00
Computer	3	31.67
Vehicles :
Van and Scooter	10	9.50
Motor Car	8	11.88
Pay Loader	8	11.88

iii) The useful lives, residual values and the method of depreciation of property, plant and equipment are reviewed, and adjusted if appropriate, at the end of each reporting period. An item of property, plant and equipment and any significant part initially recognized is derecognized upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on de-recognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the Statement of Profit and Loss when the asset is derecognized.
iv) Advances paid towards the acquisition of property, plant and equipment outstanding at each balance sheet date are classified as 'Capital Advances' under other noncurrent assets and the cost of property, plant and equipment not ready to use are disclosed under 'Capital Work in Progress.
v) Leasehold land is amortized over the remaining lease hold period.

(g) Intangible Assets

Intangible assets (Computer Software) has a finite useful life and are stated at cost less accumulated amortization and accumulated impairment losses, if any. Intangible assets with finite lives are amortized over the useful economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortization period and the amortization method for an intangible asset with a finite useful life are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortization period or method, as appropriate, and are treated as changes in accounting estimates. The amortization expense on intangible assets with finite lives is recognized in the statement of profit and loss unless such expenditure forms part of carrying value of another asset.

Computer Software for internal use, which is primarily acquired from third-party vendor is capitalized. Subsequent costs associated with maintaining such software are recognized as expense as incurred. Cost of software includes license fees and cost of implementation/system integration services, where applicable. Gains or losses arising from de-recognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the statement of profit or loss when the asset is derecognized. Computer software are amortized on a pro-rata basis using the straight-line method over their estimated useful life of 5 years, from the date they are available for use. Amortization method and useful lives are reviewed periodically at each financial year end.

(h) Impairment of Tangible and Intangible Assets:

Assessment is done at each Balance Sheet date as to whether there is any indication that an asset may be impaired. For the purpose of assessing impairment, the smallest identifiable group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows from other assets or groups of assets, is considered as a cash generating unit. If any such indication exists, an estimate of the recoverable amount of the asset/cash generating unit is made. Assets whose carrying value exceeds their recoverable amount are written down to the recoverable amount. Recoverable amount is higher of an asset's or cash generating unit's net selling price or its value in use. Value in use is the present value of estimated future cash flows expected to arise from the continuing use of an asset and from its disposal at the end of its useful life. Assessment is also done at each Balance Sheet date as to whether there is any indication that an impairment loss recognized for an asset in prior accounting periods may no longer exist or may have decreased.

(i) Borrowing Costs:

General and specific borrowing costs that are directly attributable to the acquisition, construction or production of a qualifying asset are capitalized during the period of time that is required to complete and prepare the asset for its intended use or sale. Qualifying assets are assets that necessarily take a substantial period of time to get ready for their intended use or sale.

Other borrowing costs are expensed in the period in which they are incurred.

(j) Investments:

(i) Investments which are readily realizable and intended to be held for not more than a year, from the date of acquisition, are classified as current investments. All other investments are classified as non-current investments
(ii) On initial recognition, all investments are measured at cost. The Cost comprises purchase price and directly attributable acquisition charges such as brokerages, fees and duties. If an investment is acquired, or partly acquired, by the issue of share or other securities, the acquisition cost is the fair market value of the securities issued. If an investment is acquired in exchange for an another asset, the acquisition is determined by the reference to the fair value of the asset given up or by reference to the fair value of the investment acquired, whichever is more clearly evident.
(iii) Provision for diminution in value of investments is made to recognize a decline in the value of investments. Investments other than long term investments being current investments are valued at cost or fair value whichever is lower, determined on an individual basis.
(iv) On disposal of an investment, the difference between its carrying amount and net disposal proceeds, is charged to or credited to the Statement of Profit & Loss.

(k) Inventories:

(i) Raw materials, components, stores and spares are valued at lower of cost and net realizable value. However, materials and other items held for use in the production of inventories are not written down below cost if the finished products in which they will be incorporated are expected to be sold at or above cost. Cost is determined on First in First out Method.
(ii) Work-in-progress and finished goods are valued at lower of cost and net realizable value which includes appropriate production overheads.
(iii) Traded goods are valued at lower of cost and net realizable value. Cost includes cost of purchase and other costs incurred in bringing the inventories to their present location and condition. Cost is determined on a weighted average basis.

(iv) Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale.

(l) Cash & Cash Equivalents:-

In the Cash Flow Statement, Cash & cash equivalents comprises cash in hand and demand deposit with banks. Cash and cash equivalents for the purposes of cash flow statement comprise cash at bank, cash in hand and cheques in hand.

(m) Government Grants

Grants and subsidies from the government are recognized when there is reasonable assurance that (a) the company will comply with the conditions attached to them, and (b) the grant/subsidy will be received. When the grant or subsidy relates to revenue, it is recognized as income on a systematic basis in the statement of profit and loss over the periods necessary to match them with the related costs, which they are intended to compensate. Grants which are given as equity support are disclosed as promoter contribution under the head Capital Reserve.

(n) Loans & Borrowings:

Borrowings are initially recognized at fair value, net of transaction costs incurred. Borrowings are subsequently measured at amortized cost using effective interest method. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognized in profit or loss over the period of the borrowings using the effective interest method. Fees paid on the establishment of loan facilities are recognized as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this case, the fee is deferred until the draw down occurs. To the extent there is no evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalized as a prepayment for liquidity services and amortized over the period of the facility to which it relates. Borrowings are de-recognized from the balance sheet when the obligation specified in the contract is discharged, cancelled or expired. Borrowings are classified as current and non-current liabilities based on repayment schedule agreed with banks.

(o) Deferred Sales tax Liability:

Deferred Sales Tax Liability is the sales tax liability pursuant to the company being eligible under package scheme of incentives (PSI-1988) of Government of Maharashtra. Company is eligible to collects the sales tax and defer its payment as per the Package scheme of Incentives. Accordingly Company recognizes the same as deferred sales tax liability as a non-current liability.

Deferred Sales Tax Liability which is payable in the current financial year is being recognized as current liability.

(p) Taxes on Income

Income Tax

Provision for Current Tax is made and retained in the accounts on the basis of estimated tax liability as per applicable provisions of Income Tax Act 1961.

Deferred Tax Asset /Liability

Deferred tax is recognized 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. Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilized. Such deferred tax assets and liabilities are not recognized if the temporary difference arises from the initial recognition (other than in a business combination) of assets and liabilities in a transaction that affects neither the taxable profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay normal income tax. Accordingly, MAT is recognized as an asset in the Balance Sheet when it is highly probable that future economic benefit associated with it will flow to the Company.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realized, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period.

Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.

Current and deferred tax for the period

Current and deferred tax are recognized in profit or loss, except when they relate to items that are recognized in other comprehensive income or directly in equity, in which case, the current and deferred tax are also recognized in other comprehensive income or directly in equity respectively. Where current tax or deferred tax arises from the initial accounting for a business combination, the tax effect is included in the accounting for the business combination.

The Company recognizes interest levied and penalties related to Income Tax assessments in the tax expense.

(q) Foreign Currency Transactions:

i) Initial Recognition

Foreign currency transaction are recorded in the reporting currency, by applying to the foreign currency amount the exchange rate between the reporting currency and the foreign currency on the date of the transactions.

ii) Conversion

Foreign currency monetary items are translated using the exchange rate prevailing on the reporting date. Non-monetary items, which are measured in terms of historical cost denominated in a foreign currency, are reported using the exchange rate on the date of transaction. Non-monetary items which are measured at fair value or other similar valuation denominated in a foreign currency, are translated using the exchange rate on the date when such value was determined.

(r) Employee Benefits :

i) Defined Contribution Plan

The company has defined contribution plan namely Provident Fund & Employees State Insurance Contribution, administered by the Regional Provident Fund Commissioner. Regular contributions made to Provident Fund are charged to the Statement of Profit and Loss. The company has no further obligation beyond making its contribution on monthly basis.

The Company recognized contribution payable to this fund/scheme as expenditure, when an employee renders the related services. If the contribution payable to these funds/schemes for service received before the balance sheet date exceeds the contribution already paid, the deficit payable to the funds/schemes are recognized as a liability after deducting the contribution already paid. If the contribution already paid exceeds the contribution due for services received before the balance sheet date, then excess is recognized as an asset to the extent that the pre-payment will lead to, for example, a reduction in future payment or a cash refund.

ii) Defined Benefit Plan:,

The Company determines the present value of the defined benefit obligation and recognizes the liability or asset in the balance sheet.

The present value of the obligation is determined using the projected unit credit method, with actuarial valuations being carried out at the end of each year.

Defined benefit costs are composed of:

(a) service cost – recognized in profit or loss; service cost comprises (i) current cost which is the increase in the present value of defined benefit obligations resulting from employee service in the current period, (ii) past service cost which is the increase in the present value of defined benefit obligations resulting from employee service in the prior periods resulting from a plan amendment, and (iii) gain or loss on settlement.

(b) re-measurement of the liability or asset - recognized in other comprehensive income.

(c) re-measurement of the liability or asset essentially comprise of actuarial gains and losses (i.e. changes in the present value of defined benefit obligations resulting from experience adjustments and effects of changes in actuarial assumptions).

Short-term benefits: A liability is recognized for benefits accruing to employees in respect of wages and salaries, annual leave and sick leave and other short term benefits in the period the related service is rendered at the undiscounted amount of the benefits expected to be paid in exchange for that service.

Other long-term benefits: Liabilities recognized in respect of other long-term employee benefits are measured at the present value of the estimated future cash outflows expected to be made by the Group in respect of services provided by employees up to the reporting date.

Gratuity:

The gratuity liability is determined on the basis of actuarial valuation as at year end. Provision in respect of leave encasement is made based on the basis of actual leave balance of employees at the end of the Year in accordance with Accounting Standard-15 on "Accounting for retirement Benefits in the financial statement of Employer" as issued by the Institute of Chartered Accountants of India.

The company has neither created fund nor contributed to Scheme framed by the Insurance Company for the defined benefit plans for the qualifying employees. The present value of the defined benefit obligation and the related current service cost were measured using the Projected Unit credit method with independent actuarial valuations being carried out at each balance sheet date.

Leave Encashment:-

The company provides for leave encashment liability of its employees who are eligible for encashment of accumulated leave based as on the balance sheet date.

Bonus:-

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

(s) Financial Assets at Amortized Cost:

Financial assets are subsequently measured at amortized cost if these financial assets are held within a business whose objective is to hold these assets in order to collect contractual cash flows and contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

(t) Financial Assets at Fair Value through other Comprehensive Income :

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business whose objective is achieved by both collecting contractual cash flows and selling financial assets and a contractual terms of the financial assets give rise on the specified dates to cash flows that are solely payment of the principal and interest on the principal amount outstanding.

(u) Dividend Distribution to Equity-holders

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

(v) Earning Per Share:

Basic earnings per share is calculated by dividing the net profit or loss for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year. Earnings considered in ascertaining the Company's earnings per share are the net profit for the year attributable to equity shareholders. The weighted average number of equity shares outstanding during the year and for all years presented is adjusted for events, such as bonus shares, other than the conversion of potential equity shares, that have changed the number of equity shares outstanding, without a corresponding change in resources.

For the purpose of calculating diluted earnings per share, the net profit or loss for the year attributable to equity shareholders and the weighted average number of shares outstanding during the year is adjusted for the effects of all dilutive potential equity shares.

(w) Provisions & Contingent Liabilities:

Provisions:

Provisions are recognized when the Company has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and the amount can be reliably estimated. Provisions are measured at the present value of management's best estimate of the expenditure required to settle the present obligation at the end of the reporting period. When the Company expects some or all of a provision to be reimbursed, for example, under an insurance contract, the reimbursement is recognized as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the Statement of Profit and Loss net of any reimbursement.

Contingent Liabilities:

A disclosure for contingent liabilities is made when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources embodying economic benefits will be required to settle or a reliable estimate of the amount cannot be made.

(x) Financial Assets at Fair Value through Profit or Loss Account:

Financial assets are measured at fair value through profit or loss unless it is measured at amortized cost or at fair value through other comprehensive income on initial recognition. The transaction costs directly attributable to the acquisition of assets and liabilities at fair value through profit and loss are immediately recognized in the statement of profit and loss.

(y) Financial Liabilities:

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings or payables, as appropriate. All financial liabilities are recognized initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs. The Company's financial liabilities include trade and other payables, loans and borrowings including bank overdrafts and financial guarantee contracts.

Financial liabilities are measured at amortized cost using the effective interest method.

(z) Reclassification of Financial Assets & Liabilities:

The Company determines classification of the financial assets and liabilities on initial recognitions. After initial recognition, no reclassification is made for financial assets which are equity instruments and financial liabilities. For financial assets which are debt instruments, a reclassification is made only if there is a change in the business model for managing those assets. Changes to the business model are expected to be infrequent. The Company's senior management determines change in the business model as a result of external or internal changes which are significant to the company's operations. Such changes are evident to external parties. A change in the business model occurs when a company either begins or ceases to perform an activity that is significant to its operations. If the Company reclassifies financial assets, it applies the reclassification prospectively from the reclassification date which is the first day of the immediately next reporting period following the change in business model. The Company does not restate any previously recognized gains, losses (including impairment gains and losses) or interest.

(aa) Offsetting of Financial Instruments

Financial assets and liabilities are offset and the net amount is reported in the Balance Sheet if there is currently enforceable legal right to offset the recognized amounts and there is no intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously.

Nath Industries Limited (Formerly known as Rama Pulp and Papers Limited)

Notes to financial statements for the year ended March 31, 2021

Note no 2:- Property, Plant and Equipment:-

				ASSET					DEPRECIATION
Sr	Particulars	Opening	Asset acquired	Addition	Sold/	Balance as on	Balances as	Add:-	Depreciation		Total	Net Block as on	Net Block as on
No		Balance as on	on Merger	During the	Disposed	31.03.2021	at April 1,	Accumulate	charge for the	Depreciation	Depreciation	31.03.2021	31.03.2020
		01.04.2020		year	During the		2020	Depreciation	year	on asset	upto 31.03.2021
					year			on assets		sold/
								purchases		disposed off
								on merger


	1 Freehold Land	5,136.64	-	-	-	5,136.64	-	-	-	-	-	5,136.64	5,136.64
2	Leasehold Land
		7,023.20	-	-	-	7,023.20	381.75	-	114.67	-	496.42	6,526.78	6,641.45
	3 Building	1,851.07	-	-	-	1,851.07	248.14	-	73.68	-	321.82	1,529.25	1,602.93
	4 Plant and
	equipment	7,777.02	-	345.72	-	8,122.74	946.53	-	398.46	-	1,344.99	6,777.75	6,830.49
	5 Office
	equipments	12.18	-	1.24	-	13.42	5.03	-	2.39	-	7.42	6.00	7.15
	6 Electrical
	Installation	129.64	-	-	-	129.64	12.93	-	12.32	-	25.25	104.39	116.70
	7 Furniture and
	Fixtures	33.64	-	1.56	-	35.20	14.42	-	3.96	-	18.38	16.82	19.22
	8 Computers	13.67	-	2.07	-	15.74	9.90	-	2.47	-	12.37	3.37	3.77
	9 Vehicles	255.26	-	-	-	255.26	95.17	-	35.06	-	130.23	125.03	160.09
	Total	22,232.32	-	350.59	-	22,582.91	1,713.88	-	643.01	-	2,356.88	20,226.03	20,518.44

	Previous Years	6,046.47	15,269.53	1,029.67	-113.36	22,232.32	688.08	412.48	613.31	-	1,713.87	20,518.44	5,358.39

Nath Industries Limited (Formerly known as Rama Pulp and Papers Limited)

Notes to financial statements for the year ended March 31, 2021

Note 3 : Capital work-in-progress

		(amount in Lakhs)
Particulars	As on 31.03.2021	As on 31.03.2020
Capital work-in-progress	101.69	52.34
Total	101.69	52.34

Note 4 : Non-current investments

Particulars	As on 31.03.2021	As on 31.03.2020
Investment at Fair Value Throgh Other Comprehensive Income
Investment in Equity Instruments
0 (Previous year 1,34,784 Eq Shares of M/s Nath Biogene (I) Ltd
(Quoted , Face Value per share Rs. 10/-, Market Value per share is Rs. 136.10/- per share)	-	183.44
Unquoted shares
2,000 Eq Shares of M/s Saraswat Co-operative Bank Ltd	0.20	0.20
51 Eq Shares of Zoaratrian Co-Operative Bank	0.05	0.05
Total	0.25	183.69

Aggregate amount of quoted investments (Cost)	-	262.56
Aggregate amount of quoted investments (Market Value)	-	183.44
Aggregate amount of unquoted investments	0.25	0.25
Aggregate amount of impairment in value of investments	0.25	0.25

Note 5 : Non-current Security Deposit

Particulars	As on 31.03.2021	As on 31.03.2020
Security deposits	418.01	411.51
Total	418.01	411.51

Note 6 : Non-current Earmarked Deposits

Particulars	As on 31.03.2021	As on 31.03.2020
Earmarked deposits with maturity more than 12 months
Deposits with banks (Earmarked towards BG)	16.29	16.29
Total	16.29	16.29

Note 7 : Non-current Loans and advances

Particulars	As on 31.03.2021	As on 31.03.2020
Loans and Advances	307.19	329.44
Mat Credit Entitlement	350.65	572.35

Total	657.84	901.79

Note 8 : Other non-current assets

Particulars	As on 31.03.2021	As on 31.03.2020
Advances for land development	667.18	674.71
Advances for purchase of land	1,214.01	1,325.40
Deferred Sales Tax Receivable	1,322.40	1,190.65
Total	3,203.59	3,190.76

Note 9 : Inventories

Particulars	As on 31.03.2021	As on 31.03.2020
Raw Materials	1,821.35	846.20
Raw Material in transit	24.42	-
Coal/Lignite Stock	23.60	40.36
Dyes and Chemicals	189.51	483.46
Stores, Spares & Tools	436.82	453.92
Finished Goods	890.45	1,038.96
Stock In Process	79.71	115.96
Total	3,465.86	2,978.86

Note 10 : Trade receivables

Particulars	As on 31.03.2021	As on 31.03.2020

Due for a period of more than six months
Unsecured, considered good	106.91	171.07
Total Debtors o/s for more than 6 months	106.91	171.07

Others
Secured, considered good	50.50	50.50
Unsecured, considered good	5,259.09	4,291.61
Total Other o/s Debtors	5,309.59	4,342.11

Total	5,416.50	4,513.18

Note 11 : Cash and Cash Equivalents

Particulars	As on 31.03.2021	As on 31.03.2020
Cash and cash equivalents
Balances with Scheduled banks	934.73	239.63
Cash on hand	6.15	9.96
Total	940.88	249.59

Note 12 : Other current financial assets

Particulars	As on 31.03.2021	As on 31.03.2020

Interest accrued on deposits	11.70	10.47
Interest receivable	22.49	22.61
Advances to Employees	17.89	25.44
Export Incentive Receivable	36.81	27.53
Total	88.89	86.05

Note 13 : Other Current Assets

Particulars	As on 31.03.2021	As on 31.03.2020
Prepaid expenses	24.44	20.49
Advance for Expenses	11.35	11.12
Balances with government authorities	795.02	890.34
Advances to suppliers	374.13	435.78
Total	1,204.94	1,357.73

Nath Industries Limited (Formerly known as Rama Pulp and Papers Limited)

Notes to financial statements for the year ended March 31, 2021

Note 14 : Equity Share Capital

				(amount in Lakhs)
Particulars		As on 31.03.2021		As on 31.03.2020
Share capital
Authorised :		5,350.00		5,350.00
5,35,00,000 Equity Shares of Rs. 10/- each
(Previous Year 5,35,00,000 Equity Shares of Rs 10 each)
Issued, Subscribed and Fully Paid up :
1,90,00,000 Equity Shares of Rs. 10/- each		1,900.00		1,900.00
(Previous Year 1,90,00,000 Equity Shares of Rs.10 each)
(a) Reconciliation of Number of Shares
Issued, Subscribed and Fully Paid up :
Equity Shares		1,900.00		1,100.00
Less : Reduction in Capital (Trfd. to Capital Reserve) -
by reducing face value from Rs. 10/- to Rs. 5/-		-		-550.00
1,10,00,000 Equity Shares of Rs. 5/- each		-		550.00
Consolidation of Equity Shares of Rs. 5 each into Rs. 10 each
55,00,000 Equity Shares of Rs. 10/- each		-		550.00
Add : Issued during the year
90,00,000 Equity Shares of Rs. 10/- each to the shareholders of Nath Industrial Chemicals Ltd				900.00
45,00,000 Equity Shares of Rs. 10/- each to the
shareholders of Nath Pulp and Paper Mills Ltd				450.00
Total Equity Share capital As on 31.03.2021		1,900.00		1,900.00

( b ) List of Shareholders holding more than 5% of
the total Number of Share issued by the Company	No of shares	Holding %	No of shares	Holding %
M/s. Akash Farms LLP	69,27,809	36.46%	69,27,809	36.46%
M/s Ashu Farms LLP	59,39,745	31.26%	59,39,745	31.26%
M/s. Tapovan Paper Board Pvt Ltd	10,00,000	5.26%	10,00,000	5.26%

Note 15 : Other equity

Particulars	As on 31.03.2021	As on 31.03.2020

Capital Subsidy	45.00	45.00
Capital Reserve
Opening Balance	570.07	0.20
Add:- Reduction in Share face value from Rs. 10 each
to Rs 5 each	-	550.00
Add: Bargain gain on Purchase
- Nath Industrial Chemicals Ltd	-	16.70
- Nath Pulp and Paper Mills Ltd	-	3.17
Total Capital Reserve	570.07	570.07

Forfieted Share App. Money	31.25	31.25

Share Premium
Opening Balance	7,710.00	150.00

Add : Towards Equity Shares issued during the year to
- Shareholders of Nath Industrial Chemicals Ltd	-	5,040.00
- Shareholders of Nath Pulp and Paper Mills Ltd	-	2,520.00
Toal Share Premium	7,710.00	7,710.00
General Reserve	300.00	300.00

Retained Earnings
Opening Balance	10,906.08	6,156.46
Add:- Adjustment due to merger	-	2,928.42
Add:- Adjustment of Deferred Tax of Earlier years
Add:- Net profit after Tax for the year	1,523.66	1,821.20
Total Retained earning	12,429.74	10,906.08
Other Comprhensive Income
Opening Balance	-113.88	284.62
Less:- Adjustment due to merger		-34.76
Less: Other Comprehensive Profit /( Loss) for the
year	79.12	-363.74
Total Other Comprehensive Loss	-34.76	-113.88

Total	21,051.30	19,448.53

Note 16 : Non-current Borrowings

Particulars	As on 31.03.2021	As on 31.03.2020

Term Loans from Bank	333.33	369.42
Vehicle Loan	39.85	70.25

Total	373.18	439.67

Note 17: Deferred Sales Tax Liabilities

Particulars	As on 31.03.2021	As on 31.03.2020

Deferred Sales Tax Liabilities - VAT	1,993.62	2,195.83
Deferred Sales Tax Liabilities - SGST	1,322.40	1,190.65

Total	3,316.02	3,386.48

Note 18: Provisions (Non-current)

Particulars	As on 31.03.2021	As on 31.03.2020

Provision for gratuity	382.68	439.25
Provision for leave encashment	107.58	90.70

Total	490.26	529.95

Note No 19:- Deferred Tax Liabilities / (Asset)

Particulars	As on 31.03.2021	As on 31.03.2020
Deferred Tax Liability
Fixed Assets	2,709.50	2,698.25

Deferred Tax Asset
Employee Benefit	199.64	203.46
Long Term Capital Loss	2.96	-

Total	2,506.90	2,494.79

Note 20: Current Borrowings

Particulars	As on 31.03.2021	As on 31.03.2020

Short Term Bank Borrowing	1,003.44	1,353.77
Inter-corporate Deposits	326.21	973.31

Total	1,329.65	2,327.08

Note 21 : Trade payables

Particulars	As on 31.03.2021	As on 31.03.2020
Outstanding dues of micro and small enterprises	-	-
Others	2,589.91	2,211.32
Total	2,589.91	2,211.32

Note 22 : Other current financial liabilities

Particulars	As on 31.03.2021	As on 31.03.2020

Current maturity of long term loans	381.63	298.13
Deferred Sales Tax (Current Maturity)	281.91	124.03

Total	663.54	422.16

Note 23 : Other current liabilities

Particulars	As on 31.03.2021	As on 31.03.2020

Advance from customers	169.04	107.36
Trade deposits	208.18	266.12
Statutory Liabilities	230.12	132.80
Other Liabilities	135.71	142.15

Total	743.05	648.43

Note 24 : Provisions (Current)

Particulars	As on 31.03.2021	As on 31.03.2020

Provision for expenses	164.64	123.07
Provision for gratuity	136.98	90.30
Provision for leave encashment	6.37	26.47
Provision for bonus	51.99	51.97

Total	359.98	291.81

Note No 25-Current Tax Liabilities (Net)

Particulars	As on 31.03.2021	As on 31.03.2020
Current Tax Liabilities	416.98	360.01

Total	416.98	360.01

Nath Industries Limited (Formerly known as Rama Pulp and Papers Limited) Notes to financial statements for the year ended March 31, 2021

Note 26 : Revenue from operations

		(amount in Lakhs)
Particulars	Year ended March 31, 2021	Year ended March 31, 2020
Manufacturing
Papers	21,001.38	20,542.94
Chemicals	7,824.41	8,855.37
Other revenues	289.40	441.16
Trading
Waste papers	25.46	68.08
Chemicals	29.73	12.99
Total	29,170.38	29,920.54

Note 27 : Other income

Particulars	Year ended March 31, 2021	Year ended March 31, 2020

Interest income
- from banks	3.40	3.84
- from others	27.27	43.73
Interest on Income tax Refund	1.11	-
Profit on Sale of Investment	110.13	-
Dividend income	-	0.14
Insurance claim	7.17	41.26
Gain on Sale of Land	-	74.20
Other miscellaneous income	20.41	18.21
Bad Debt Written back	-	5.21
Total	169.49	186.58

Note 28 : Cost of material consumed

Particulars	Year ended March 31, 2021	Year ended March 31, 2020
Raw materials
Opening stock	1,329.66	1,128.86
Add : Purchases	17,694.07	17,488.98
Less : Closing stock	-2,035.28	-1,329.66
Total	16,988.45	17,288.18

Note 29 : Purchase (Trading)

Particulars	Year ended March 31, 2021	Year ended March 31, 2020
Waste paper	23.58	47.13
Acid	20.79	11.10
Total	44.37	58.23

Note 30 : Changes in inventories:-

Particulars	Year ended March 31, 2021	Year ended March 31, 2020
Opening stock of finished goods & work-in progress Closing stock of finished goods & work-in progress	1,154.92 -970.16	1,165.50 -1,154.92
Total	184.76	10.58

Note 31 : Employee benefits expenses

Particulars	Year ended March 31, 2021	Year ended March 31, 2020
Salaries & wages	1,492.42	1,689.74
Contribution to provident fund and other funds	95.54	114.74
Staff welfare expenses	96.20	118.22

Total	1,684.16	1,922.70

Note 32 : Finance costs

Particulars	Year ended March 31, 2021	Year ended March 31, 2020
Interest on Working Capital	195.54	333.68
Interest on term loans	77.91	83.40
Interest on trade deposits	12.36	14.37
Interest on others	26.78	11.55

Total	312.59	443.00

Note 33 : Other expenses

Particulars	Year ended March 31, 2021	Year ended March 31, 2020
Stores ,Spares & Packing Material Consumption	1,082.44	1,155.09
Power & fuel	3,410.82	3,911.91
Water charges	164.86	208.18
Repair to others	12.25	31.06
Repairs to building	4.13	3.17
Repairs to plant & machinery	207.66	287.56
Other Manufacturing Expenses	183.54	217.92
Hire charges - fork lift	16.44	15.37
Insurance charges	37.27	27.37
Transportation & materials handling	109.21	147.09
Technical consultation charges	33.00	31.50
Discount on sales	872.60	856.98
Freight outward charges	538.43	382.17
Bank charges	24.55	20.51
Processing charges - bank loan	1.39	9.20
Auditor's fees	3.50	3.50
Auditors re-imbursement expenses	-	0.50
Internal and Tax Auditors Reimbursement	-	1.50
GST Audit fees	0.50	0.50
Tax audit fees	3.00	3.00
Internal audit fees	2.75	3.13
ITC reversal due to OGS/BT	1.89	7.44
Mvat Expenses	-	23.39
Excise and Service Tax Amensty Scheme Payment	-	41.04
Corporate social responsibility expenses	18.00	8.00
Donation	2.14	0.51
Director's sitting fees
Legal & professional fees	- 179.39	0.60 155.09
License, inspection and testing charges	3.80	10.79
Listing fees	3.00	3.00
Membership fees & subscription	4.20	3.37
Depository service charges	3.65	2.63
Business Development / Business promotion expenses	8.81	17.22
Computer expenses	10.05	8.52
Conveyance	12.22	10.08
Corporate office expenses	4.52	5.94
Garden expenses	6.81	10.26
Motor car expenses	17.14	23.29
Stamp Duty Expense	129.51
Other expenses	48.47	44.19
Postage & telegram	3.61	10.30
Printing & stationery	7.96	13.89
Prior Year Expenses	8.57	0.50
Rent, rates & taxes	58.04	35.27
Security services Sundry balances written off	33.86 31.00	33.89 56.96
Telephone & telex	5.56	7.10
Traveling expenses	7.31	47.07
Total	7,317.84	7,897.55

Note No.:34 Financial Instruments and Risk Review:

i) Capital Management:-

The Company's capital management objectives are to maintain a strong capital base so as to maintain investors, creditors and market confidence and to future development of the business. The Board of Directors monitor return on capital employed.

The Company manages capital risk by maintaining sound/optimal capital structure through monitoring of financial ratios, such as debt-to-equity ratio and net borrowings-to-equity ratio on a monthly basis and implements capital structure improvement plan when necessary.

The Company uses debt ratio as a capital management index and calculates the ratio as Net debt divided by total equity. Net debt and total equity are based on the amounts stated in the financial statements.

Debt-to-equity ratio is as follows

		(Rs. In Lakhs)
Particulars	As on 31.03.2021	As on 31.03.2020

Net Debts* (A)	5,682.39	6,575.38
Equity ** (B)	22,951.30	21,348.53
Debt Equity Ratio (A/B)	0.25	0.31

* Net Debts includes Non-Current borrowings, Deferred Sales Tax Liability, Current borrowings and Current Maturities of non-current borrowing.

** Equity Includes capital and other equity.

ii) Credit Risk:-

Credit risk is the risk of financial loss arising from counter-party failure to repay or service debt according to contractual terms or obligations. Credit risk encompasses both, the direct risk of default and the risk of deterioration of credit worthiness as well as concentration of risks. Credit risk is controlled by analyzing credit limit and creditworthiness of customers on a continuous basis to whom the credit has been granted offer necessary approvals for credit.

Financial instruments that are subject to credit risk principally consists of trade receivable, investments, derivative financial instruments and other financial assets. None of the financial instruments of the Company results in material concentration of credit risk.

Exposure to credit risk:-

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk is as under, being the total of the carrying amount of balances with trade receivables and loans and advances:-

	(Rs. In Lakhs)
Particulars	As on 31.03.2021	As on 31.03.2020
Trade Receivables	5,416.50	4,513.18
Loans and Advances	307.19	329.44
TOTAL	5,723.69	4,842.62

Ind AS requires expected credit losses to be measured through a loss allowance. The Company assesses at each date of financial statement whether a financial asset or group of financial assets is impaired. The Company recognizes lifetime expected losses for all contract assets and / or all trade receivables that do not constitute a financing transaction. For all other financial assets, expected credit losses are measured at an amount equal to 12 months expected credit losses or at an amount equal to the life time expected credit losses, if the credit risk on the financial asset has increased significantly since initial recognition

Before accenting any new customer, the Company uses an external/internal credit scoring system to assess potential customer's credit quality and defines credit limits by customer. Limits and scoring attributed to customer are reviewed periodic basis

iii) Liquidity Risk

a. Liquidity Risk Management:-

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

b. Maturities of financial liabilities

The following tables detail the remaining contractual maturities for its financial liabilities with agreed repayment period. The amount disclosed in the tables have been draw up based on the undiscounted cash flow of financial liabilities based on the earliest date on which the Company can be required to pay. The table includes principal cash flows.

		(Rs. In Lakhs)
Particulars		F.Y. 2020-21		F.Y. 2019-20
	Upto 1 Year	Above 1 Year		Above 1 Year
Non-current Financial Liabilities	281.91	3,316.03	124.03	3,386.48
Term Loan	381.63	373.18	298.13	439.67

c. Maturities of financial assets:-

The following table details the Company's expected maturity for financial assets. The table has been drawn up on based on the undiscounted contractual maturities of the financial assets including interest that will be earned such assets.

		(Rs. in Lakhs)
Particulars		F.Y. 2020-21		F.Y. 2019-20
	Upto 1 Year	Above 1 Year	Upto 1 Year	Above 1 Year
Non-current Financial Assets:-
Security Deposits	-	418.01	-	411.51
Fixed Deposit with Bank	-	16.29	-	16.29
Loans and Advances	-	657.84	-	901.79

d. Market Risk:-

Market risk is risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in the market prices. Such changes in the value of financial instruments may result from changes in the foreign currency exchange rate, interest rate, credit, liquidity and other market changes.

Note No.: 35 Employee Benefits:

Provident Fund:

During the year, the Company has recognized the following amounts in the Profit & Loss Account.

(Rs. in Lakhs)
Particulars	FY 2020-21	FY 2019-20
Employers Contribution to Provident Fund	77.40	83.92
Employers Contribution to ESIC	17.96	30.52
Employers Contribution to Labour Welfare Fund	0.18	0.30

Gratuity :

a. In accordance with Ind AS 19, actuarial valuation was done in respect of the aforesaid defined benefit plan of gratuity based on the following assumptions: -

Actuarial Assumptions		31.03.2021		31.03.2020
	Unit Rama	Unit Nath	Unit Nath	Unit Rama	Unit Nath	Unit Nath
	Paper	Chemicals	Paper	Paper	Chemicals	Paper
Discount Rate	6.75%	6.72%	6.04%	6.63%	6.63%	7.59%
Salary Escalation Rate	5.00%	5.00%	7.00%	5.00%	7.00%	7.00%
Expected rate of return	N.A.	N.A.	N.A.	N.A.	N.A.	N.A.
Plans assets
Expected average	-	-	-	-	-	-
remaining service of
employee in the
number of years

Disclosures for defined benefit plans based on Actuarial Reports as at 31st March 2021

b. Change in Present Value of Defined Benefit Obligation (Gratuity) :-

	(Rs. in Lakhs)
Change in present value of Obligation	As on 31.03.2021	As on 31.03.2020
Present Value of Obligation as at the beginning of the year	529.55	59.43
Liability as on 01.04.2019 of amalgamating companies	-	435.15
Interest Cost	33.08	37.22
Current Service Cost	25.33	24.75
Benefit Paid	-51.41	-41.39
Actuarial (gain) /loss on obligation	-16.89	14.39
Present value of Obligation as at the end of the year	519.66	529.55

c. Change in Fair value of plan assets

Change in Fair value of Plans Assets	31.03.2021	31.03.2020

Fair Value of plan Assets as at the beginning of the year	NIL	NIL
Actual Return on plan Assets	NA	NA
Contributions	NA	NA
Benefit Paid	NA	NA
Actuarial gain/(loss) on plan Assets	NA	NA
Fair Value of Plan Assets as at the end of the year	NIL	NIL

d. Reconciliation of the present value of defined benefit obligations and the fair value of plan assets

		( Rs. in Lakhs)
Reconciliation of present value of defined benefit obligation and	31.03.2021	31.03.2020
the fair value of assets

Present value of funded obligations as at the end of the year	-	-
Fair value of plan assets as at the end of the year	-	-
Funded (Assets)/liability recognized in the Balance Sheet as at the	-	-
end of the year
Present value of unfunded (assets) / obligations as at the end of the	519.66	529.55
year
Unrecognized past service cost	-	-
Unrecognized actuarial (gain)/loss	-	-
Unfunded net (Assets)/liability recognized in the Balance Sheet as	519.66	529.55
at the end of the year

e. Net employee benefit expense (Recognized in employment cost) for the year ended on 31st March 2021:-

		(Rs. in Lakhs)
Particulars	31.03.2021	31.03.2020
Current Service Cost	25.33	24.75
Interest Cost	33.08	37.22
Expected return on plan assets	-	-
Net Actuarial (Gain) / Loss recognized in the year	-16.89	14.39
Past Service cost	-	-
Net Gratuity (income) / expense	41.52	76.36

f. Detail of Present value of obligation, Plan Assets and Experience Adjustments:-

		(Rs. in Lakhs)
Particulars	31.03.2021	31.03.2020
Present value of obligation	519.66	529.55
Fair value of plan assets	-	-
(Surplus) / Deficit	519.66	529.55
Experience Adjustment	-	-
(Gain)/ Loss on plan liabilities	-	-
(Gain)/ Loss on plan assets	-	-

Leave Encashment :

The liability for leave encashment and compensated absences as at year end is as under:-

	(Rs.in Lakhs)
Particulars	31.03.2021	31.03.2020
Liability for leave encashment and compensated absence	113.93	117.17

Note No.: 36 Secured Loans

a. Working Capital and Term Loan:-

During the year, the company has paid off its loan facilities availed from the Zoroastrian Co-op Bank Limited completely.

The company has received enhancement in credit facilities from the State Bank of India thereby increasing total credit facilities to Rs. 4,920 lakhs which consist of fund based limit of Rs. 4,720 lakhs and non-fund based limit of Rs. 150 lakhs.

Loans Repayable on demand or on due date availed from the State Bank of India is primarily secured by Hypothecation of present and future stock of raw materials, Stock in process, finished goods, Stores & spare parts and Book debts. This facility is additionally secured by the registered mortgage on existing leasehold land admeasuring 23,490 sq mtr with building and structure thereon, including all machineries at industrial Plot No 293, 296 in industrial area bearing survey no. 55/P, 57/P, 67P, 68P and 139P, within the limits of Chirri and Chanod, Vapi, Taluka Pardi, Dist Valsad – 396195 and existing leasehold land and building bearing Survey No 621/P, 58/P, 56/P, 136/P, 137/P situated at Industrial Plot No 294, 296 and 296/P, within the limits of Chirri and Chanod, Vapi, Taluka Pardi, Dist Valsad – 396195 admeasuring 39,020 sq mtrs.

b. Vehicle loans availed are secured against the hypothecation of respective vehicles.
c. Maturity profile of term loans is as under:-

			(Rs.in Lakhs)
	F.Y.2020-21 F.Y. 2019-20
Upto 1 Year	1 to 3 years	Upto 1 Year	1 to 3 years
381.63	373.18	298.13	439.67

Note No.:37 CIF Value of Imported & Indigenous Material and Components

Value of Imported and Indigenous Material and Components consumed as on 31st March 2021 is as under: (on CIF Basis)

				(Rs. In Lakhs)
Account Head	F.Y. 2020-21		F.Y. 2019-20
(a) Raw Material
Imported	6,736.23	39.65	7,628.32	44.12
Indigenous	10,252.22	60.35	9,659.86	55.88
Total	16,988.45	100.00	17,288.18	100.00
(b) Stores and Spare Part
Imported	29.66	2.74	5.59	0.48
Indigenous	1,052.77	97.26	1,149.50	99.52
Total	1,082.43	100.00	1,155.09	100.00

Note No.: 38 Deferred Tax Asset/(Liability):

Company's Deferred Tax Asset/(Liability) position is as under:

	(Rs. in Lakhs)
	As on 31.03.2021	As on 31.03.2020
Assets
(a) Deferred tax assets arising on account of timing differences:-
(i) Unabsorbed capital loss	2.96	-
(ii) Employee Benefits	199.64	203.46
Liability
(b) Deferred Tax Liabilities arising on account of timing differences in WDV
	2,709.50	2,698.25
Net Deferred Tax Asset	-	-
Net Deferred Tax Liability	2,506.90	2494.79

Note No.:39 Related Party Transactions-

a. Details of Related Parties

i. Key Management Personnel :-

Shri Ramniklal Salgia ,Director Shri Akhilesh Kumar Sharma, Director Shri Abhay Kumar Jain, Director Shri Amol Deo ,Chief Financial Officer Ms Nupur Lodwal ,Company Secretary

ii. Non-Executive/Independent Directors on the Board

Mrs. Jeevanlata Kagliwal Shri Shrirang S. Agarwal, Independent Director Shri Kashinath G. Iyer, Independent Director

iii. Relatives of Key Management Personnel

Smt Pratima Sharma, Manager Smt. Rajni Jain, Manager

b. Transaction during the Year

		(Rs. in Lakhs)
Sr.	Particulars	Year	Ended	31st	Year	ended	31st
No.		March 2021			march 2020
1)	Remuneration paid to Key Managerial Personnel and	97.92			92.92
	Relatives

Note: The remuneration paid to key managerial personal excludes gratuity and compensated absences as the provision is computed for the Company as a whole and separate figures are not available.

c. Other Related Parties:-

i. M/s Akash Farms LLP
ii. M/s Ashu Farms LLP
iii. M/s Tapovan International Trading Private Limited
iv. Mrs Sweta Kagliwal
v. Prabha Farms Private Limited
vi. Paresh Farms Private Limited
d. Transactions carried out with related parties are in the ordinary course of business and the transactions are made on terms equivalent to those that prevail in arm's length transactions. Outstanding balances at the year-end are unsecured. Transaction details are as under:

			(Rs. in Lakhs)
Sr No	Name	Nature of Transaction	F.Y. 2020-21	F.Y. 2019-20
i.	Tapovan International Trading Pvt Ltd	Purchase of waste paper	2,193.01	1,867.42
ii.	Akash Farms LLP	Advance given for / (Received back against) purchase of Land	(85.50)	85.50
iii.	M/s Ashu Farms LLP	Loan given /(received back)	(11.50)	11.50
iv.	Mrs. Sweta Kagliwal	Consultancy Fees paid in her professional capacity	15.00	15.00
v.	Prabha Farms Private Limited	Loan given/ (Received back)	(5.00)	5.00
vi.	Paresh Farms Private Limited	Advance given for / (Received back against) purchase of Land	(115.00)	115.00

e. Outstanding Balances at the year end:-

		(Rs. in Lakhs)
Sr	Name	As on	As on
No		31.03.2021	31.03.2020
i.	Tapovan International Trading Pvt Ltd	508.01 (cr)	259.44 (cr)
ii.	Akash Farms LLP	-	85.50 (dr)
iii.	M/s Ashu Farms LLP	-	11.50 (dr)
iv.	Mrs. Sweta Kagliwal	13.88 (cr)	-
v.	Prabha Farms Private Limited	-	5.00 (dr)
vi.	Paresh Farms Private Limited	-	115.00 (dr)

Note No.:40

Contingent Liabilities not provided for :

		(Rs. in Lakhs)
		As on	As on
Particulars		31.03.2021	31.03.2020
i)	Bank Guarantee given to the DGVCL	169.00	189.00
ii)	Bank Guarantee given to the GPCB	7.50	6.25
iii)	Compensation awarded by the court not claimed / Suits filed	1.25	1.25
iv)	a. Service tax demand for the period 16.5.2008 to 31.03.2010 of Rs.	333.92	333.92
	259.56 lakhs. Appeal by the company is pending before Customs excise &
	Service Tax Appellate Tribunal, Ahmadabad.
	b. Disputed Demand of Central Excise & Service Tax of Rs. 74.36
v)	Appeal pending with Tribunal against Excise Demand of Rs. 9.92 lakhs for	8.81	8.84
	reversal of Modvat which is not provided in books, Company has paid Rs.
	1.08 lakhs.
vi)	Appeal pending with Commissioner (A) against Custom Demand of Rs. 7.19	6.65	6.65
	lakhs for interpretation of Sulphur which is not provided in books, Company
	has paid Rs. 0.54 lakhs
vii)	Corporate Guarantee and collateral security of land admeasuring to 4.47	600.00	600.00
	acres given to Malkapur Urban Co- Op Bank Limited for working capital limit
	availed by Tapovan International Trading Pvt Ltd.

viii)	One of the vendors has made a claim against the Company for Rs. 90.39	-	-
	lakhs against the Company's counter claim on the vendor of Rs. 281.17
	lakhs. The Company is in arbitration with the said the vendors. The
	management is of the opinion that no additional liability would arise.
ix)	Disputed demands of Water Cess (MPCB)	15.98	15.98
x)	Disputed demand of Property Tax from Wahegaon Gram Panchayat	27.13	27.13
xi)	Deferred sales tax Liability transferred to another Company (with recourse)	1,586.36	1,586.36
xii)	Capital Commitments :- Estimated amount of contracts remaining to be	27.86	38.30
	executed and not provided for tangible assets

Note No.:41 Foreign Exchange Difference

All exchange gains and losses arising out of translation/restatement, are accounted for in the statement of profit and loss.

	(Rs. in Lakhs)
Particulars	F.Y. 2020-21	F.Y. 2019-20
Earnings in Foreign Exchange:-
Receipt against Export of Goods	3,431.68	2,457.78
Expenditure in Foreign Currency:-
Purchase of Imported Raw Materials	7,370.06	7,621.73
Purchase of Imported Stores	29.66	5.59
Purchase of fixed asset	36.05	-
Foreign Exchange Gain / (Loss)	9.61	40.32

Note No.:42 Segment Reporting :

i) Primary Segment:-

After the amalgamation, the company is engaged in manufacturing of Paper & chemicals. Management has identified reportable primary Segment & Geographic secondary Segment in accordance with Accounting Standard 108 issued by the Institute of Chartered Accountants of India. Revenue & Expenses directly attributable to segments are reported under each reportable segment. Expenses which are not directly identifiable to a specific segment have been allocated on the basis of associated revenue of the segment and manpower efforts. All other expenses which are not attributable or allocable to segment have been disclosed as un allocable expenses. Assets and liabilities that are directly attributable or allocable to segments are disclosed under each reportable segment. All other assets and liabilities are disclosed as un allocable.

			(Rs. in Lakhs)
Particulars	Paper	Chemical	Total
Revenue (Net)	21,299.84	7,870.54	29,170.38
Other Income	157.25	12.24	169.49
Total Revenue	21,457.09	7,882.78	29,339.87
Expenses	19,912.72	6,306.86	26,219.58
Depreciation	377.88	265.13	643.01
Operating Income	1,166.49	1,310.79	2,477.28

Un-allocable Expenses
Finance Cost			312.59
Un-allocable Tax
Income Tax			643.75
Deferred Tax			12.11
MAT Credit			-14.83
Total Unallocable Expenses			953.62

Profit after tax			1,523.66

Other Information
Assets
Non Current Assets	15,598.35	9,025.35	24,623.70
Current Assets	9,225.60	1,891.47	11,117.07

Equity and Liabilities			22,951.30
Non Current Liability	4,233.36	2,453.04	6,686.40
Current Liability	5,501.20	601.87	6,103.07

ii) Secondary Segment:-

Geographical Revenue is allocated based on the location of the customer.

The company produces and sales, its products in India & also Export the same directly or indirectly to overseas countries. The overseas sales operations are managed by its office located in India. For the purpose of AS 108 regarding segment reporting secondary segment information on geographical segment is considered on the basis of revenue generated from Domestic & Export market.

						(Rs. in Lakhs)
	F.Y. 2020-2021			F.Y. 2019-2020
Particulars	Domestic	Export	Total	Domestic	Export	Total
Revenue	25,738.69	3,431.68	29,170.37	27,462.76	2,457.78	29,920.54
Carrying Amount of Trade	4,790.08	626.42	5,416.50	4,288.75	224.43	4,513.18
Receivable
Carrying amount of Current	5,700.58	-	5,700.58	4,672.23	-	4,672.23
Assets other than Trade
Receivable
Addition to Fixed Assets &	314.55	36.05	350.60	849.70	179.97	1,029.67
Intangible Assets

NOTE No.:43

Deferred Sales Tax Liability

Nath Industries Limited –Unit Nath Paper is the beneficiary of Package Scheme of Incentive (PSI-1988) of Government of Maharashtra. As per the scheme Unit-Nath Paper is eligible to defer its VAT/ SGST liability for a period of 10 years from the respective year of collection and the same will be paid from 11th year in 5 equal annual instalment.

The Department of Industries, Government of Maharashtra has sanctioned vide their letter dated 07.12.2015 the Eligibility for the CQB of Rs. 1951.75 lakhs under PSI-1988, for a period of 5 years i.e. from 1st November, 2015 to 31st October, 2020

Deferred Sales tax Liability of MVAT/ SGST has been valued at Book value, which would have been Rs 2,026.67 lakhs if valued at Fair Value as required under the IND AS -113 Fair Value Measurement, considering the fact that the company is liable to pay entire dues to the Government as per the schedule of repayment.

Note No.:44 Earning Per Share:

The net profit (loss) for the purpose of measurement of basic and diluted earnings per share in terms of Ind Accounting Standard - 33 on Earnings per Share issued by the Institute of Chartered Accountants of India has been calculated as under:

Particulars	Current Year	Previous Year
Profit Before tax (Rs.in Lacs)	2,164.69	1,873.57
Tax Provision (Net of MAT Credit) (Rs. in Lacs)	641.03	52.37
Profit after tax	1,523.66	1,821.20
Weighted Average Number of Equity Shares	1,90,00,000	1,90,00,000
Basic & Diluted Earning per Share (EPS)	8.02	9.59
Face Value per share Rs.	10	10

Note No.:45

Disclosure in accordance with Section 22 of the Micro, Small and Medium Enterprises Act, 2006:

The Company has asked for confirmations from suppliers and service providers who have registered themselves under the Micro Small and Medium Enterprises Development Act, 2006 (MSMED Act, 2006) However no confirmations or information was received or available with the Company as on date of signing of final accounts, Hence information about the balance of Principal amount and the Interest due thereon remaining unpaid to supplier registered under Micro, Small and Medium Enterprises as defined under the MSMED Act, 2006 is not available.

Note No.:46

Corporate Social Responsibility (CSR) in terms of section 135 of Companies Act:

(Rs.in


Corporate Social Responsibility Expenditure	F.Y.2020-21	F.Y.2019-20
(a) Gross amount required to be spent by the Company for the year @ 2% of average profit of last 3 years	18.00	8.00
(b) Expenditure towards Corporate Social Responsibility Activities incurred	18.00	8.00
(c) Advance given for CSR activities for future years	106.20	25.00

Note No.:47

Previous year Figures

UDIN:- 21056156AAAAKM6879

Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current year's classification / disclosure.

In term of our report attached For Vidya & Co, For and on behalf of the Board Chartered Accountants Firm Reg. No. 308022E Amit Nagar Akhilesh K. Sharma Partner Director M.No.: 056156

Place : Mumbai Abhaykumar Jain Date: 30th June 2021 Director

AI assistant

NATH INDUSTRIES LIMITED — Regulatory Filings 2021

62211_rns_2021-09-02_ab646b58-5b73-41e1-af81-1cc78d1d822f.pdf

NATH INDUSTRIES LIMITED

39TH ANNUAL REPORT

2020-21

Contents: Page No.

NOTICE OF ANNUAL GENERAL MEETING

ORDINARY BUSINESS:

1. ADOPTION OF FINANCIAL STATEMENTS.

2. RE-APPOINTMENT OF DIRECTOR

NOTES

THE INSTRUCTIONS FOR MEMBERS FOR REMOTE E-VOTING AND JOINING GENERAL MEETING ARE AS UNDER:-

How do I vote electronically using NSDL e-Voting system?

Step 1: Access to NSDL e-Voting system

A) Login method for e-Voting and joining virtual meeting for Individual shareholders holding securities in demat mode

Helpdesk for Individual Shareholders holding securities in demat mode for any technical issues related to login through Depository i.e. NSDL and CDSL.

B) Login Method for e-Voting and joining virtual meeting for shareholders other than Individual shareholders holding securities in demat mode and shareholders holding securities in physical mode.

How to Log-in to NSDL e-Voting website?

Step 2: Cast your vote electronically and join General Meeting on NSDL e-Voting system. How to cast your vote electronically and join General Meeting on NSDL e-Voting system?

General Guidelines for shareholders

Process for those shareholders whose email ids are not registered with the depositories for procuring user id and password and registration of e mail ids for e-voting for the resolutions set out in this notice:

THE INSTRUCTIONS FOR MEMBERS FOR e-VOTING ON THE DAY OF THE EGM/AGM ARE AS UNDER:-

INSTRUCTIONS FOR MEMBERS FOR ATTENDING THE EGM/AGM THROUGH VC/OAVM ARE AS UNDER:

DIRECTORS' REPORT

FINANCIAL PERFORMANCE

REVIEW OF OPERATIONS

PAPER DIVISION

UNIT- RAMA PAPER

CERTIFICATIONS

ENVIRONMENT:

PRODUCTS AND PRODUCTS LAUNCHES

MARKETING STRATEGIES

UNIT -NATH PAPER

PRODUCTS

MARKETS

CHEMICAL DIVISION

UNIT-NATH CHEMICAL

FUTURE PLANS

PAPER DIVISION

CHEMICAL DIVISION

TRANSFORMATION FROM COMMODITY MANUFACTURER TO SPECIALITY CHEMICALS MANUFACTURER: -

A. CAPACITY EXPANSION FROM 280 TPD TO 500 TPD

B. INTRODUCING NEW PRODUCTS

MARKETS

DIVIDEND

TRANSFER TO RESERVES

SUBSIDARY COMPANY

PUBLIC DEPOSIT

EXTRACT OF ANNUAL RETURN

CORPORATE GOVERNANCE

NUMBER OF MEETINGS HELD DURING THE YEAR

CORPORATE SOCIAL RESPONSIBILITY (CSR)

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

DIRECTORS AND KEY MANAGERIAL PERSONNEL

DIRECTORS' RESPONSIBILITY STATEMENT

PARTICULARS OF EMPLOYEES AND RELATED DISCLOSURES

EVALUATION OF BOARD

INTERNAL CONTROL SYSTEM

WHISTLE BLOWER POLICY / VIGIL MECHANISM

OBLIGATION OF COMPANY UNDER THE SEXUAL HARASSMENT OF WOMEN AT WORK PLACE (PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013

RISK MANAGEMENT POLICY

STATUTORY INFORMATION

STATUTORY AUDITORS

SECRETARIAL AUDITOR

AUDITORS REPORT

CONTRACTS AND ARRANGEMENTS WITH RELATED PARTIES

PARTICULARS OF LOANS, GUARANTEES AND INVESTMENTS

INSURANCE

RESEARCH & DEVELOPMENT

ENERGY CONSERVATION MEASURES, TECHNOLOGY ABSORPTION AND R& D EFFORTS AND FOREIGN EXCHANGE EARNINGS AND OUTGO

(A) Conservation of Energy

(B) Technology Absorption

(C) Foreign Exchange Earnings and Outgo

ACKNOWLEDGEMENT

FORM NO. MGT 9 EXTRACT OF ANNUAL RETURN as on financial year ended on 31.03.2021

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

I REGISTRATION AND OTHER DETAILS:-

II PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY

III PARTICULARS OF HOLDING, SIBSIDIARY AND ASSOCIATE COMPANIES:-

NATH INDUSTRIES LIMITED Regulatory Filings 2021