CA NIKITA BAJAJ CHARTERED ACCOUNTANT

Transcription

1 CA NIKITA BAJAJ CHARTERED ACCOUNTANT Office Address :- 7, Vivek Apartment, Shukrawar Peth, Subhash Nagar, Lane No. 4, Pune: Ph. No.: nmaniyar@gmail.com Independent Auditor s Report To the Members of Bellflower Properties Private Limited Report on the Standalone Ind AS Financial Statements We have audited the accompanying standalone Ind AS financial statements of Bellflower Properties Private Limited ( the Company ), which comprise the balance sheet as at 31 March 2018, the statement of profit and loss (including other comprehensive income), the statement of cash flows and the statement of changes in equity for the year then and a summary of the significant accounting policies and other explanatory information (herein after referred to as standalone Ind AS financial statements ). Management s Responsibility for the Standalone Financial Statements The Company s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ( the Act ) with respect to the preparation of these standalone Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Act read with relevant rules issued thereunder. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone Ind AS financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error. Auditor s Responsibility Our responsibility is to express an opinion on these standalone Ind AS financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder. We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the standalone Ind AS financial statements are free from material misstatement.

2 An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the standalone Ind AS financial statements. The procedures selected depend on the auditor s judgment, including the assessment of the risks of material misstatement of the standalone Ind AS financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company s preparation of the standalone Ind AS financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company s Directors, as well as evaluating the overall presentation of the standalone Ind AS financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone Ind AS financial statements. Opinion In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone Ind AS 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 including the Ind AS, of the financial position of the Company as at 31 March, 2018, and its financial performance including other comprehensive income, its cash flows and the changes in equity for the year on that date. Report on Other Legal and Regulatory Requirements 1. As required by the Companies (Auditor s Report) Order, 2016 ( the Order ) issued by the Central Government of India in terms of section 143(11) of the Act, we give in the Annexure A, a statement on the matters specified in the paragraph 3 and 4 of the order. 2. As required by Section 143(3) of the Act, we report that: (a) (b) (c) (d) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit. In our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books; The balance sheet, the statement of profit and loss, the statement of cash flows and the statement of changes in equity dealt with by this Report are in agreement with the books of account; In our opinion, the aforesaid standalone Ind AS financial statements comply with the Accounting Standards specified under Section 133 of the Act read with relevant rule issued thereunder; (e) On the basis of the written representations received from the directors as on 31 March 2018 taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2018 from being appointed as a director in terms of Section 164 (2) of the Act; (f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, as per section 143(3)(i) of the Companies Act 2013 the report on the same is not required.

3 (g) With respect to the other matters to be included in the Auditor s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us: i. The Company does not have any pending litigations which would impact its financial position ; ii. iii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses ; There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company. CA Nikita Bajaj. Chartered Accountant Proprietor M. No Pune

4 Annexure - A to the Auditors Report The Annexure referred to in Independent Auditors Report to the members of the Company on the standalone Ind AS financial statements for the year 31 March 2018, we report that: (i) (ii) (iii) (iv) (v) (vi) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets. (b) The Company has a regular programme of physical verification of its fixed assets by which fixed assets are verified in a phased manner over a period of three years. In accordance with this programme, certain fixed assets were verified during the year and no material discrepancies were noticed on such verification. In our opinion, this periodicity of physical verification is reasonable having regard to the size of the Company and the nature of its assets. (c) The Company does not have any immovable properties of freehold or leasehold land and building and hence reporting under clause 3(i)(c) of the Order is not applicable.. In our opinion and according to the information and explanation given to us, having regard to the nature of inventory, the physical verification by verification of title deeds, site visits by the management and certification of extent of work completion by competent persons, are at reasonable intervals and no material discrepancies were noticed on physical verification. The Company has not granted any loans, secured or unsecured to companies, firms, Limited Liability partnerships or other parties covered in the Register maintained under section 189 of the Act. Accordingly, the provisions of clause 3 (iii) (a) to (C) of the Order are not applicable to the Company and hence not commented upon. The Company has not granted any loans, made investments or provide guarantees and hence reporting under clause 3 (iv) of the Order are not applicable. The Company has not accepted any deposits from the public. The Central Government has not prescribed the maintenance of cost records under section 148(1) of the Act, for any of the services rendered by the Company. (vii) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues including provident fund, income-tax, sales tax, value added tax, duty of customs, service tax, cess and other material statutory dues have been generally regularly deposited during the year by the Company with the appropriate authorities. As explained to us, the Company did not have any dues on account of employees state insurance and duty of excise. According to the information and explanations given to us, no undisputed amounts payable in respect of provident fund, income tax, sales tax, value added tax, duty of customs, service tax, cess and other material statutory dues were in arrears as at 31 March 2018 for a period of more than six months from the date they became payable. (b) According to the information and explanations given to us, there are no any Statutory dues which have not been deposited with the appropriate authorities on account of any dispute

5 (viii) (ix) (x) (xi) (xii) (xiii) (xiv) (xv) (xvi) The Company does not have any loans or borrowings from any financial institution, banks, government or debenture holders during the year. Accordingly, paragraph 3(viii) of the Order is not applicable. The Company did not raise any money by way of initial public offer or further public offer (including debt instruments) and term loans during the year. Accordingly, paragraph 3 (ix) of the Order is not applicable. According to the information and explanations given to us, no material fraud by the Company or on the Company by its officers or employees has been noticed or reported during the course of our audit. Based upon the audit procedures performed and the information and explanations given by the management, no managerial remuneration has been paid or is payable during the year and hence reporting under clause 3(xi) of the Order is not applicable. In our opinion and according to the information and explanations given to us, the Company is not a nidhi company. Accordingly, paragraph 3(xii) of the Order is not applicable. According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with sections188 of the Act where applicable and details of such transactions have been disclosed in the standalone Ind AS financial statements as required by the applicable accounting standards. According to the information and explanations give to us and based on our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not entered into non-cash transactions with directors or persons connected with him. Accordingly, paragraph 3(xv) of the Order is not applicable. The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act CA Nikita Bajaj. Chartered Accountant Proprietor M. No Pune

6 Balance Sheet as at Mar 31, 2018 A ASSETS Note No. As at March 31, 2018 As at March 31, Non-current assets (a) Property, Plant and Equipment 2A 347, ,327 (b) Capital work-in-progress (c) Goodwill (d) Investment Property (e) Other Intangible assets 2B 86, ,283 (f) Intangible assets under development (g) Financial Assets (iv) Others 6 1,822,379 1,822,379 (h) Deferred tax assets (net) 7 532, ,052 (i) Income Tax Assets (Net) 8 1,700,000 2,300,000 Total Non - Current Assets 4,489,143 5,576,041 2 Current assets (a) Inventories 10 77,363,509 62,078,230 (b) Financial Assets (ii) Trade receivables 12 7,557,580 7,557,580 (iii) Cash and cash equivalents 13 11,910,579 53,761,624 (iv) Loans ,000, ,500,000 (d) Other current assets 16 20,633,401 27,220,387 Total Current Assets 290,465, ,117,820 B EQUITY AND LIABILITIES Total Assets (1+2) 294,954, ,693,862 1 Equity (a) Equity Share capital 17 9,999,990 9,999,990 (b) Other Equity ,317, ,451,566 Equity attributable to owners of the Company (I) 263,317, ,451,555 Non-controlling interests (II) LIABILITIES Total equity (I+II) 263,317, ,451,555 2 Non-current liabilities Total Non - Current Liabilities Current liabilities (a) Financial Liabilities (ii) Trade payables 25 15,458,176 26,134,707 (c) Current Tax Liabilities (Net) 8 1,293,409 17,156,803 (d) Other current liabilities 28 4,673,835 4,533,652 Total Current Liabilities 21,425,419 47,825,162 Liabilities associated with assets held for sale Total Equity and Liabilities (1+2+3) 284,742, ,276,718 See accompanying notes to the financial statements In terms of our report attached. For and on Behalf of the Board CA Nikita Bajaj Chartered Accountant Proprietor M. NO Place : Pune Date : 16/05/2018 Nelson Misquith Director (Din No: ) Pravin Parandekar Director (Din No: )

7 Statement of Profit and Loss for the period Mar 31, 2018 Note No. As at March 31, 2018 As at March 31, 2017 Continuining Operations I Revenue from operations 29 62,679, ,349,045 II Other Income ,443 1,609,215 III Total Revenue (I + II) 62,788, ,958,260 IV EXPENSES (a) Cost of materials consumed 31 36,442, ,428,694 (b) Employee benefit expense 32 1,184,840 2,819,565 (c) Finance costs 33 1,889,395 11,336,370 (d) Depreciation and amortisation expense 2 298,261 1,255,634 (e) Other expenses 34 17,452,742 38,877,990 (f) CSR Activity 35 10,500,000 4,000,000 Total Expenses (IV) 67,767, ,718,253 V Share of profit / (loss) of joint ventures and associates - - (1) Share of profit / (loss) of joint ventures and associated VI Profit/(loss) before tax (VII - VIII) (4,978,989) 116,240,007 VII Tax Expense (1) Current tax (1,062,596) 52,957,183 (2) Deferred tax 188,638 (305,085) (3) Short / (Excess) provision for tax relating to prior years 2,029,386 2,174,167 Total tax expense 1,155,428 54,826,265 VIII Profit/(loss) after tax from continuing operations (IX - X) (6,134,417) 61,413,742 Profit/(loss) after tax from discontinued operations - - X Profit/(loss) for the period (VIII + IX) (6,134,417) 61,413,742 XI Other comprehensive income - XII Total comprehensive income for the period (XV + XVIII) (6,134,417) 61,413,742 XIII Earnings per equity share : (1) Basic (6.13) (2) Diluted (6.13) In terms of our report attached. For and on Behalf of the Board CA Nikita Bajaj Chartered Accountant Nelson Misquith Pravin Parandekar Proprietor Director Director M. NO (Din No: ) (Din No: ) Place : Pune Date : 16/05/2018

8 Statement of changes in equity for the year Mar 31, 2018 a. Equity share capital Bellflower Properties Private Limited Standalone Statement of Changes in Equity Amount Balance As at April 1, ,999,990 Change for the year - Balance As at March 31, ,999,990 Change for the year - Balance As at Mar 31, ,999,990 b. Other Equity FY Reserve and Surplus Total Securities premium reserve Capital reserve Retained earnings Balance As at April 1, ,037, ,037,824 Interim Dividend paid (Including Dividend Distribution tax) Less: Depreciation on transition to Schedule II of the Companies Act, 2013 on tangible fixed assets with nil remaining life (Net of Deffered tax Rs Debenture Redemption Reserve Financial Guarantee Premium Other Comprehensive Income Profit for the year ,413,742 61,413,742 Balance as at 31st March ,451, ,451,566 c. Other Equity FY Reserve and Surplus Total Securities premium reserve Capital reserve Retained earnings Balance As at April 1, ,451, ,451,566 Interim Dividend paid (Including Dividend Distribution tax) Other Comprehensive Income Total Comprehensive Income for the year - - (6,134,417) (6,134,417) Balance as at 31st March ,317, ,317,150 In terms of our report attached. For and on behalf of the Board of Directors CA Nikita Bajaj Chartered Accountant Nelson Misquith Pravin Parandekar Proprietor Director Director M. NO (Din No: ) (Din No: ) Place : Pune Date : 16/05/2018

9 BELLFLOWER PROPERTIES PRIVATE LIMITED Cash Flow Statement for the year 31 March 2018 A As at March 31, 2018 As at March 31, 2017 CASH FLOW FROM OPERATING ACTIVITIES Net Profit before tax: (4,978,989) 116,240,007 Adjustment for: Depreciation/Amortisation 298,261 1,255,634 Finance Cost 1,889,395 11,336,370 Interest & Dividend received on Investments (4,643) (1,320,911) Expenses employee stock option scheme Operating profit before Working Capital changes (2,795,976) 127,511,100 Adjustments for changes in Working capital (Increase)/Decrease in Inventories (15,285,279) 118,586,394 (Increase)/Decrease in Trade Receivables (0) 85,368,954 (Increase)/Decrease in Other Non current Financial - Loan - (Increase)/Decrease in Other non-current assets - (800,000) (Increase)/Decrease in Financial Assets - Other - (109,500,000) (Increase)/Decrease in Other current assets (56,913,014) (11,081,463) Increase/(Decrease) in Trade Payables (10,676,531) 10,489,492 Increase/(Decrease) in Other current liabilities 140,183 (174,216,438) Increase/(Decrease) in Short term Provisions - (7,406,727) Cash generated from/ (used in) operations (85,530,618) 38,951,313 Income taxes (paid)/refund received (18,817,002) (55,131,350) Net Cash from / (used in) operating activities (104,347,620) (16,180,037) B C CASH FLOW FROM INVESTING ACTIVITIES Capital expenditure on fixed assets,cwip including capital advances - (8,375) Interest & Dividend received on Investments 4,643 1,320,911 Net Cash from/(used in) investing activities 4,643 1,312,536 CASH FLOW FROM FINANCING ACTIVITIES Net increase / decrease in working capital borrowings (0) - Dividend & Tax on dividend Paid - - Net Cash from/(used in) financing activities (1,889,395) (11,336,370) D NET INCREASE / (DECREASE) IN CASH AND CASH EQUIVALENTS (106,232,373) (26,203,871) Cash and Cash Equivalents (Opening balance) 53,761,624 44,066,991 Cash and Cash Equivalents (Closing balance) (52,470,749) 17,863,120 For and on behalf of the Board of Directors CA Nikita Bajaj Nelson Misquith Pravin Parandekar Chartered Accountant Director Director Proprietor (Din No: ) (Din No: ) M. NO Place : Pune Date : 16/05/2018

10 Notes to the financial statements for the year 1. CORPORATE INFORMATION Bellflower Properties Private Limited ( the Company ) is a Company registered under the Companies Act, It was incorporated on 27 th February The Company is primarily engaged in business of construction of residential and commercial complexes, flats, shopping malls, etc. The financial statements for the year were approved by the Board of Directors and authorized for issue on 16 th May, SIGNIFICANT ACCOUNTING POLICIES A. Statement of Compliance: The financial statements have been prepared in accordance with Ind AS notified under the Companies (Indian Accounting Standards) Rules, 2015.Upto the year 31 March 2016, the company has prepared its financial statements in accordance with the requirements of previous GAAP, which includes Standards notified under the Companies (Accounting Standards) Rules, 2006.These are the company s first Ind AS financial statements. The date of transition to Ind AS is 1 April Refer Note 23 for the details of first-time adoption exemptions availed by the Company. B. Basis of Preparation of Financial Statements: The financial statements have been prepared on the historical cost basis except for certain financial instruments that are measured at fair values at the end of each reporting period, as explained in the accounting policies below. Historical cost is generally based on the fair value of the considerations given in exchange for goods and services. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date, regardless of whether that price is directly observable or estimated using another valuation technique. In estimating the fair value of an asset or a liability, the Company takes into account the characteristics of the asset or liability if market participants would take those characteristics into account when pricing the asset or liability at the measurement date. Fair value for measurement and/ or disclosure purposes in these financial statements is determined on such a basis, except for share-based payment transactions that are within the scope of Ind AS 102, leasing transactions that are within the scope of Ind AS 17, and measurements that have some similarities to fair value but are not fair value, such as net realizable value in Ind AS 2 or value in use in Ind AS 36.

11 Notes to the financial statements for the year In addition, for financial reporting purposes, fair value measurements are categorized into Level 1, 2 or 3 based on the degree to which the inputs to the fair value measurements are observable and the significance of the inputs to the fair value measurement in its entirety, which are described as follows: Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date; Level 2 inputs are inputs, other than quoted prices included within Level 1, that are observable for the asset or liability, either directly or indirectly; and Level 3 inputs are unobservable inputs for the asset or liability C. Use of Estimates The preparation of financial statements requires the management of the company to make estimates and assumptions to be made that affect the reported amounts of assets and liabilities on the date of financial statements, disclosure of contingent liabilities as at the date of the financial statements, and the reported amounts of income and expenses during the reported period. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised and future periods are affected. D. Inventories: Inventory comprises of stock of raw material, completed properties for sale and properties under construction (Work in Progress). Work In Progress comprises cost of land, development rights, construction and development cost, cost of material, services and other overheads related to projects under construction. Inventory is valued at cost or net realizable value whichever is lower. E. Cash Flow Statement The Cash Flow statement is prepared by indirect method set out in Ind AS 7- Cash Flow Statements and present cash flows by operating, investing and financing activities of the Company. F. Property, Plant & Equipment Property, Plant & Equipment and Intangible assets are stated at actual cost less accumulated depreciation and net of impairment. The actual cost capitalised includes material cost, freight, installation cost, duties and taxes, eligible borrowing costs and other incidental expenses incurred during the construction / installation stage. Depreciable amount for assets is the cost of an asset, or other amount substituted for cost, less its estimated residual value. Depreciation / amortisation on Property, Plant & Equipment is charged based on straight line method on an estimated useful life as prescribed in Schedule II to the Companies Act, 2013

12 Notes to the financial statements for the year The estimated useful lives and residual values of the Property, Plant & Equipment and Intangible assets are reviewed at the end of each reporting period, with the effect of any changes in estimate accounted for on a prospective basis. For transition to Ind AS, the Company has elected to continue with the carrying value of all the property, plant and equipment recognised as of April 1, 2015 (transition date) measured as per the previous GAAP and use that carrying value as its deemed cost as of the transition date. G. Revenue Recognition Revenue from real estate projects including integrated townships is recognised on the Percentage of Completion Method of accounting. Revenue is recognized, in relation to the sold areas only, on the basis of percentage of actual cost incurred thereon including land as against the total estimated cost of the project under execution subject to construction costs being 25% or more of the total estimated cost. The estimates of saleable area and costs are revised periodically by the management. The effect of such changes to estimates is recognised in the period such changes are determined. In accordance with Guidance Note issued by the Institute of Chartered Accountants of India (ICAI), on Accounting for Real Estate Transactions (for entities to whom Ind AS is applicable), revenue is recognised on percentage of completion method if (a) actual construction and development cost (excluding land cost) incurred is 25% or more of the estimated cost, (b) At least 25% of the saleable project area is secured by contracts or agreements with buyers and (c)at least 10% of the total revenue as per sales agreement or any other legally enforceable document are realised as at the reporting date. i) Interest income is accounted on accrual basis on a time proportion basis. ii) Dividend income is recognized when right to receive is established. H. Cost of Construction / Development: Cost of Construction/Development (including cost of land) incurred is charged to the statement of profit and loss proportionate to project area sold. Costs incurred for projects which have not achieved reasonable level of development is carried over as construction workin-progress. I. Earnings Per Share The Company reports basic and diluted earnings per share in accordance with Ind AS - 33 on Earnings per Share. Basic earnings per share is computed by dividing the net profit or loss for the year by the weighted average number of Equity shares outstanding during the year. Diluted earnings per share is computed by dividing the net profit or loss for the year by the weighted average number of equity shares outstanding during the year as adjusted for the effects of all diluted potential equity shares except where the results are anti- dilutive

13 Notes to the financial statements for the year J. Current and Deferred Taxes Current Tax Tax expense comprises of current tax and deferred tax. Current tax is measured at the amount expected to be paid to / recovered from the tax authorities, based on estimated tax liability computed after taking credit for allowances and exemption in accordance with the local tax laws existing in the respective countries. Deferred Tax Deferred income tax is recognised using the balance sheet approach. Deferred income tax assets and liabilities are recognised for deductible and taxable temporary differences arising between the tax base of assets and liabilities and their carrying amount. Deferred income tax asset are recognised to the extent that it is probable that taxable profit will be available against which the deductible temporary differences and the carry forward of unused tax credits and unused tax losses can be utilised. The carrying amount of deferred income tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to be utilised. Deferred tax liabilities and assets 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 by the end of the reporting period. The measurement of deferred tax liabilities and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to recover or settle the carrying amount of its assets and liabilities. K. Provisions, Contingent Liabilities and Contingent Assets A provision is recognised when the Company has a present obligation as a result of past event and it is probable than an outflow of resources will be required to settle the obligation, in respect of which the reliable estimate can be made. When a provision is measured using the cash flows estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of money is material) and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date adjusted to reflect the current best estimates. Contingent liabilities and Contingent assets are not recognised in the financial statements.

14 Notes to the financial statements for the year L. Operating Cycle Based on the nature of products / activities of the Company and the normal time between acquisition of assets and their realisation in cash or cash equivalents, the Company has determined its operating cycle as 12 months for the purpose of classification of its assets and liabilities as current and non-current.

15 Notes to the financial statements for the year Mar 31, 2018 Note 2A: Property, Plant & Equipment As at April 1, 2017 Deemed Cost Depreciation Net Block Additions As at Mar 31, As at Mar 31, As at March 31, As at April 1, 2017 As at Mar 31, 2018 during the year Buildings Plant & Equipment 282, ,350 97,647 20, , , ,703 Furniture & Fixtures 4,914,074-4,914,074 4,588, ,963 4,751, , ,203 Office Equipment 1,271,459-1,271,459 1,216,038 34,433 1,250,471 20,988 55,421 Vehicles Computers 539, , , , Note 2B : Intangible Assets Total (a) 7,007,569-7,007,569 6,442, ,845 6,660, , ,327 As at April 1, 2017 Deemed Cost Amortisation Net Block Additions As at Mar 31, As at Mar 31, As at March 31, As at April 1, 2017 As at Mar 31, 2018 during the year Computer software 573, , ,313 80, ,728 86, ,283 Total (b) 573, , ,313 80, ,728 86, ,283 Total (a+b) 7,581,165-7,581,165 6,848, ,261 7,146, , ,610 Note 2C : Capital WIP Capital work in progress As at 31st March 2017 As at 31st March 2016 Note 2D : Intangible assets under development Total - - Intangible assets under development As at 31st March 2017 As at 31st March 2016 Total - -

16 Notes to the financial statements for the year Note No. 6 - Others Non current Financial Assets Financial assets at amortised cost As at March 31, 2018 Non- Current As at March 31, 2017 Non- Current a) Security Deposits - Secured, considered good Unsecured, considered good 1,822,379 1,822,379 - Doubtful - - Less : Allowance for bad and doubtful deposits - - TOTAL (A) 1,822,379 1,822,379 b) Current Account in LLP/Firm - - c) Fixed deposit more than 12 months - - d) Operating lease receivables - - Less: Allowance for Credit Losses e) Bills of exchange - - f) Advances to directors or other officers that are in nature of financial asset - - g) Maintenance Charges recoverable - - Total Financial assets at amortised cost 1,822,379 1,822,379 TOTAL 1,822,379 1,822,379

17 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Note - 7 : Deferred Tax Assets (Net) For the Year March 31,2018 A. Tax effect of items constituting deferred tax liabilities 1) On difference between book balance and tax balance of fixed assets 3,294,912 2) On expenditure deferred in the books but allowable for tax purposes 6) Others.. Tax effect of items constituting deferred tax liabilities 3,294,912 B. Tax effect of items constituting deferred tax assets 1) Provision for compensated absences, gratuity and other employee benefits 3,631,885 2) Provision for doubtful debts / advances Tax effect of items constituting deferred tax assets 3,631,885 C. Tax on Other Comprehensive Income 1) Revaluation of Property plant and Equipment 8) Equity Accounted investee's share of OCI Tax on Other Comprehensive Income - Deferred tax (liabilities) / assets (net) 415,967

18 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Note - 8a : Income Tax March 31, 2017 Current Tax Asset: Advance income tax Others Total 1,700,000 2,300,000 Note - 8b : Taxes March 31, 2017 Current Tax Liabilities Income Tax payable Others Total 1,293,409 17,156,803

19 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Note - 10: Inventories March 31, 2017 (a) Raw materials (b) Land, plots and construction work-in-progress (c) Completed Finished Properties - - (d) Stock-in-trade of goods acquired for trading - - (e) Stores and spares - - (f) Loose Tools - (g) Agricultural produce (including biological assets) - (h) Agricultural produce (including biological assets) - - (i) Others - Packing Material - - (j) Others - Scrap - - Total Inventories at the lower of cost and net realisable value 77,363,509 62,078,230 Included above, goods-in-transit: (i) Raw materials - - (ii) Finished and semi-finished goods - - (iii) Stock-in-trade of goods acquired for trading - - (iv) Stores and spares - - (v) Loose Tools - - (vi) Others - - Total goods-in-transit - -

20 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Note No Trade receivables* Trade receivables outstanding for a period of more than 6 months Current March 31, 2017 Current (a) Secured, considered good 1,889,395 1,889,395 (b) Unsecured, considered good 1,889,395 1,889,395 (c) Doubtful 1,889,395 1,889,395 Less: Allowance for Credit Losses 1,889,395 1,889,395 Other Trade receivables (a) Secured, considered good (b) Unsecured, considered good (c) Doubtful Less: Allowance for Credit Losses TOTAL 7,557,580 7,557,580

21 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Note - 13: Cash and Bank Balances Company to discloses the policy which it adopts in determining the composition of cash and cash equivalents. For example: Cash and cash equivalents include cash in hand and in banks, net of overdraft. Current Cash and bank balances March 31, 2017 (a) Balances with banks In current accounts In deposit accounts (b) Cheques, drafts on hand 0 0 (c ) Cash in hand (d) Other Bank Balances 1) Balances held as margin money or security against borrowings, gu 0 0 2) Earmarked accounts - unpaid dividend accounts 0 Total Cash and cash equivalent 11,910,579 53,761,624

22 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Note No Loans Current March 31, 2017 Current a) Loans to related parties - Secured, considered good - - Unsecured, considered good - - Doubtful - Less : Allowance for bad and doubtful loans - TOTAL - b) Loans to directors and other officers (except KMP) - Secured, considered good - Unsecured, considered good - Doubtful Less : Allowance for bad and doubtful deposits TOTAL - c) Other loans and advances - Secured, considered good 173,000, ,500,000 - Unsecured, considered good - - Doubtful - Less: Allowance for Credit Losses TOTAL 173,000, ,500,000 GRAND TOTAL 173,000, ,500,000

23 Bellflower Properties Pvt ltd Notes to the financial statements for the year Note No.16- Other current assets Current March 31, 2017 Current (a) Advances to suppliers 6,468,682 12,459,777 (b) Advances to related parties - - (c) Advances to employees 256, ,842 (d) Balances with government authorities (other than income 13,908,248 6,648,768 taxes) (e) Prepayments - - (f) Unamortised expenses (i) Ancillary borrowing costs (ii) Discount on shares (where applicable) (g) Others - - (i) Insurance claims (ii) Receivables on sale of fixed assets (iii) Advance given to India Advantage Fund III - - (iv) Others (Adv paid to Anisha education) - 8,000,000 TOTAL 20,633,401 27,220,387

24 Bellflower Properties Pvt ltd Notes to the financial statements for the year Mar 31, 2018 Note - 17: Equity Share Capital Amount in Rupees As at March 31, As at March 31, Authorised: 10,00,000 Equity shares of Rs. 10 each 10,000,000 10,000,000 (as at : 10,00,000 equity shares of 10/- each) 10,000,000 10,000,000 Issued, Subscribed and Fully Paid: 9,99,999 Equity shares of Rs. 10 each fully paid up 9,999,990 9,999,990 (as at : 9,99,999 equity shares of 10/- each) Total 9,999,990 9,999,990 a. Terms / Rights attached to equity Shares The Company has only one class of equity shares having a face value of Rs. 10 per share. Accordingly, all equity shares rank equally with regards to dividends & share in the Company's residual assets. The equity shares are entitled to receive dividend as declared from time to time. Each holder of equity shares is entitled to one vote per share. In the event of liquidation of the Company, the holder of equity shares will be entitled to receive the remaining assets of the Company, after distribution of all preferential amount. The distribution will be in proportion to the number of equity shares held by the shareholders. b. Reconciliation of Shares outstanding at the beginnig of the reporting year Equity Shares 31st March, st March, 2017 No. of shares Amount in Rupee No. of shares Amount in Rupees At the beginning of the period 9,99,999 99,99,990 9,99,999 99,99,990 Issued During the period Bought Back during the last year Outstanding at the end of the year 9,99,999 99,99,990 9,99,999 99,99,990 c. Shares held by holding / ultimate holding company and / or their subsidiaries / associates Out of equity shares issued by the company, shares held by its holding company are as below : 31st March, st March, 2017 No. of shares Amount in Rupee No. of shares Amount in Rupees Kolte Patil Developers Limited, Holding Company (As on Mar 31,2018 9,99,999 equity shares of Rs. 10 each fully paid) 999,999 9,999, ,999 9,999,990 d. Information regarding issue of shares in the last five years: i) The company has not received any shares without payment being received in cash ii) The company has not issued any bonus shares. iii) The company has not bought back any shares e. Details of Shareholders holding more than 5% shares in the company : Equity Shares of Rs. 10 each fully paid 31st March, st March, 2017 No. of shares % holding No. of shares % holding Kolte Patil Developers Limited, Holding Company 999, % 999, % 999, ,999

25 Notes to the financial statements for the year Mar 31, 2018 Note - 18 : Other Equity Paticulars March 31, 2017 (I) Reserve : Balance as at the beginning of the year 259,451, ,037,824 Financial Guarantee Premium - - Profit for current period (6,134,417) 61,413,742 Other Comprehensive Income - - Less : Interim Dividend Distributed during the year - - Fixed Assets written off during the year Transfer to Reserve Balance as at the end of the year 253,317, ,451,566 (II) Capital Redemption Reserve : Balance as at the beginning of the year - - Add: Additions during the year on account of buy-back Balance as at the end of the year - - (III) Securities Premium Reserve : Balance as at the beginning of the year - - Less: Utilized for buy-back Balance as at the end of the year - - Total 253,317, ,451,566

26 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Mar 31, 2018 Note - 25: Current Trade Payables Current March 31, 2017 Current i) Creditors for supplies / services 15,458,175 26,134,707 ii) Creditors for accrued wages and salaries - - Ind AS 10iii) Acceptances - - Total trade payables* 15,458,175 26,134,707

27 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Mar 31, 2018 Note - 28: Other Liabilities Current March 31, 2017 Current a. Advances received from customers b. Defered Revenue - Deferred Revenue arising from Customer Loyalty program - - Deferred Government grant related to assets - - Other Deferred Revenues - c. Others - Lease Incentives - Employee Recoveries and Employer Contributions Statutory Dues (Excise duty, service tax, sales tax, TDS, Royalty etc.) Project management fees receieved in advance Others (Stamp duty and registration fees) Other credit balances TOTAL OTHER LIABILITIES 4,673,835 4,533,652

28 Bellflower properties Pvt Ltd Notes to the financial statements for the year Mar 31, 2018 Note no -29 Revenue from Operations The following is an analysis of the company's revenue for the year from continuing operations. March 31, 2017 (a) Sale of Properties/Flats (Residential and Commecial) 62,675, ,349,045 (b) Sale of Land - - (c) Rental income - - (d) Project Management Fees - - (e) Other Operating Revenues Profit from Partnership Firms (Net) Profit from LLPs (Net) Compensation for Surrender of Right Modification & Extra Work Receipts 3, Sale of Services - - Total Revenue from Operations 62,679, ,349,045

29 Bellflower properties Pvt Ltd Notes to the financial statements for the year Mar 31, 2018 Note no -30 Other Income (a) March 31, 2018 Interest Income Interest income earned on financial assets that are not designated as at fair value through profit and loss: (1) On Bank deposits (at amortised cost) (2) On Debenture - (3) Other Financial assets carried at amortised cost (b) Dividend Income from (1) Current investment (2) Equity investments (c) Other non-operating income (net of expenses directly attributable to such income) (1) Rental income: (i) Finance lease contingent rental income - - (ii) Operating lease rental income: Investment property Contingent rental income Royalties Others (aggregate of immaterial items) - - d) Other gains and losses (1) Gain/(loss) on disposal of property, plant and equipment - - (2) Gain/(loss) on disposal of debt instruments at FVTOCI - - (3) Cumulative gain/(loss) reclassified from equity on disposal of debt instruments at FVTOCI - - (4) Net foreign exchange gain/(losses) - - (5) Gain arising on effective settlement of legal claim - - (6) Net gain/(loss) arising on financial assets designated as at FVTPL - - (7) Net gain/(loss) arising on financial Liabilities designated as at FVTPL - - (8) Net gain/(loss) arising on financial assets mandatorily measured at FVTPL - - (9) Net gain/(loss) arising on held for trading financial liabilities - - (10) Hedge ineffectiveness on cash flow hedges - - (11) Hedge ineffectiveness on net investment hedges - - (12) Gain recognised on disposal of interest in former associates - - (13) Net gain/(loss) arising on derecognition of financial assets measured at amortised cost - - (14) Sundry Balances Written Back - - (15) Guarentee premium income - - (16) Miscellaneous Income Total Other Income 109,443 1,609,215

30 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Mar 31, 2018 Note 31.a Cost of materials consumed (a) Opening stock 55,405, ,452, Add : Inventory of Amalgamated Company - Oakwoods Less : Completed unit transferred to fixed assets (A) 55,405, ,452,230 (b) Add: Cost incurred during the year Cost of land/ development rights - - Purchase of material & transportation 2,159, ,170, Contract cost, labour and other charges 28,607, ,590, Other construction expenses 18,411, ,621, Personnel costs - - (B) 49,178, ,382,382 (c) Less : Closing stock (C) 68,141,664 55,405,918 Cost of materials consumed (A+B-C) ,428,694

31 Bellflower Properties Pvt Ltd Notes to the financial statements for the year Mar 31, 2018 Note no -32 Employee Benefits Expense (a) Salaries and wages, including bonus 1,011, ,830 (b) Contribution to provident and other funds 173,502 57,340 (c) Gratuity Expenses - - (d) Share based payment transactions expenses 1,889,395 (1) Equity-settled share-based payments - (2) Cash-settled share-based payments - (e) Staff welfare expenses - - Total Employee Benefit Expense 1,184,840 2,819,565

32 Notes to the financial statements for the year Mar 31, 2018 Note no -29 Finance Cost (a) Interest expense - - (i) Borrowings - 1,889,395 (ii) Trade payables - 1,889,395 (iii) Related parties - 1,889,395 (iv) Interest on delayed / deferred payment of income tax - 1,889,395 (v) obligation under finance lease - Grand Maratha deposit - - (v) Others (give details) (e.g. Bill discounting charges) 1,889,395 1,889,395 (b) Dividend on redeemable preference shares - - (c) Exchange differences regarded as an adjustment to borrowing costs - - (d) Other borrowing cost - - 1,889,395 Total finance costs 1,889,395 11,336,370

33 Notes to the financial statements for the year Mar 31, 2018 Note no -34 Other Expenses (a) Stores and spares consumed - - (b) Repairs to buildings - - (c) Repairs to machinery - - (d) Powe & Fuel oil consumed 333, ,340 (e) Freight and handling charges - - (f) Rent including lease rentals - - (g) Repairs and maintenance - Buildings 51,863 75,573 (h) Repairs and maintenance - Machinery - - (i) Repairs and maintenance - Others 1,115, ,605 (j) Rent - - (k) Royalty - - (l) Rates and taxes 1,801,093 1,051,892 (m) Expenditure on corporate social responsibilty (CSR) under section 135 of the Companies Act, (n) Insurance charges 19,918 16,549 (o) Commission, discounts and rebates - - (p) Provision for doubtful debts and advances - - (q) Excise duties - - (r) Net loss / (gain) on foreign currency transactions net off Derivative gain/loss (other than considered as finance costs) - - (s) Net loss / (gain) on Derivative contracts - - (t) Auditors remuneration and out-of-pocket expenses 1,889,395 1,889,395 (i) As Auditors 230, ,000 (ii) For Taxation matters - - (iii) For Company Law matters - - (iv) For Other services - - (v) Auditors out-of-pocket expenses - - (u) Other expenses 1,889,395 1,889,395 (1) Provision for diminution of Investments - - (2) Printing & Stationery 20,044 41,822 (1) Legal and other professional costs 3,947,001 3,865,789 (2) Advertisement, Promotion & Selling Expenses 3,896,288 8,100,160 (3) Travelling Expenses 206, ,134 (4) communication 39, ,474 (5) Other General Expenses 2,012,286 1,646,912 (6) Research and Development - - (i) Research and development (Gross) 1,889,395 (ii) Less: Recoveries 1,889,395 (v) Loss arising on derecognition of financial assets - - (w) Net gain/(loss) arising on financial Liabilities designated as at FVTPL - - (x) Net gain/(loss) arising on financial assets designated as at FVTPL - - (y) Net gain/(loss) arising on financial assets designated as at FVTOCI - - (z) Net gain/(loss) arising on financial assets carried at amortized cost - - (aa) Net gain/(loss) arising on financial assets carried at cost - - (ab) Net gain/(loss) arising on financial liabilities measured at amortised cost - - Total Other Expenses 17,452,742 38,877,990

34 Notes to the financial statements for the year Mar 31, 2018 Note no -35 CSR Activity (a) CSR Activity 10,500,000 4,000,000 Total Other Expenses 10,500,000 4,000,000

35 Notes forming part of the financial statements 36. Contingent liabilities (to the extent not provided for) (Amount in Rs.) (1) Claims against the Company not acknowledged as debt * (a) Claims not acknowledged as debts represent cases filed in Civil Court and High Court. (b) Claims in respect of Income Tax matters (pending in Appeal). (c) Claims in respect of Value Added Tax. As at As at March 31, ,345,320 42,462,080 (2) Guarantees issued by the Company on behalf of Subsidiaries** (Refer Note 50) Total 43,345,320 42,462,080 *in the opinion of the management the above claims are not sustainable and the Company does not expect any outflow of economic resources in respect of above claims and therefore no provision is made in respect thereof. **The Company does not expect any outflow of resources in respect of the Guarantees issued. 37. Auditors Remuneration (net of service tax) towards (Amount in Rs.) Year Year March 31, 2017 Audit Fees including fees for quarterly limited reviews 230, ,000 Other services Reimbursement of expenses Total 230, , Disclosure as required by Guidance Note on Accounting for Real Estate Transactions : (Amount in Rs.) Year Year March 31, Project revenue recognised as revenue for the year 31st 62,679, ,349,045 March - Methods used to determine the project revenue Percentage of completion Percentage of completion - Method used to determine the stage of completion of the Project % of actual cost to budgeted cost % of actual cost to budgeted cost - Aggregate amount of costs incurred and profits recognised to 36,442, ,428,694 date as at 31 March - Advances received as at 31 March 1,494,312 1,847,758 - Amount of work in progress & finished goods as at 31 March 68,141,664 55,405,918 - Amount of Construction Materials as at 31 March 9,221,845 6,672,311 - Unbilled revenue as at 31 March - - -Sundry Debtors as at 31 March 36,325,798 95,038,941