ln industries india ltd Directors report

The Members,

ACS TECHNOLOGIES LIMITED (Formerly LN Industries India Limited)

The Directors have pleasure in submitting their Annual Report and the Companys Audited Financial Statements for the financial year ended March 31^st, 2023.

INITIATION OF CORPORATE INSOLVENCY RESOLUTION PROCESS (CIRP):

The National Company Law Tribunal ("NCLT"), Hyderabad Bench, vide Order dated July 01, 2022 ("Insolvency Commencement Order") had initiated Corporate Insolvency Resolution Process ("CIRP") against your Company based on the petition filed by the Operational Creditor under Section 9 of the Insolvency and Bankruptcy Code, 2016 ("the Code"). Mr. M.Madhusudhana Reddy was appointed as an Interim Resolution Professional ("IRP") to manage affairs of the Company in accordance with the provisions of the Code.

Thereafter, pursuant to the Insolvency Commencement Order and in consonance with the stipulation contained in Section 17 of the IBC, 2016, the powers of the Board of Directors of the Company stand suspended and the same are vested and exercised by Mr. M.Madhusudhana Reddy, Resolution Professional (RP) w.e.f. July 01, 2022.Members of the Committee of Creditors (CoC) in their 06th Meeting held on December 02, 2022 considered the resolution plans and approved the resolution plan submitted by the Consortium (lead by Mr.Ashok Kumar Buddharaju and Mr.Ratakonda Vivek Kumar).

The Resolution Professional filed an application under Section 30(6) of the Code before the Honble NCLT for the approval of Resolution Plan. The Adjudicating Authority has reserved the judgement vide its order dated March 24, 2023. Members may kindly note that, the Resolution Professional was not in office for the entire period to which this report primarily pertains. During the CIR Process (i.e. from July 01, 2022 to March 31, 2023), the Resolution Professional was entrusted with the management of the affairs of the Company. The Resolution Professional is submitting this Report in compliance with the provisions of the Companies Act, 2013, the rules and regulations framed thereunder ("Act") and the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements), Regulations 2015 ("Listing Regulations").

FINANCIAL SUMMARY AND STATE OF THE COMPANYS AFFAIRS:

The Financial performance Summary and the State of the Companys Affairs for the current financial year ended March 31^st, 2023, along with the figures for the previous financial year, are as follows:

(Rs. in Lakhs)

Particulars	Standalone		Consolidated
	31-Mar-23	31-Mar-22	31-Mar-23	31-Mar-22
Revenue from operations	6,883.57	-	6,944.98	-
Other Income	5.17	-	5.17	-
T otal Revenue	6,888.74	-	6,950.15	-
Profit /(Loss) before Interest, Depreciation & Tax	613.22	(1.00)	624.29	(1.00)
Depreciation	129.81	0.00	136.42	0.00
Financial Charges	183.42	-	183.60	-
Profit / (Loss) before Tax	299.99	(1.00)	304.27	(1.00)
Tax Expenses	-13.19	-	-14.05	-
Profit / (Loss) for the Year after tax	286.80	(1.00)	290.22	(1.00)

HIGHLIGHTS OF COMPANYS PERFORMANCE:

• During the financial year 2022-23, LN Industries India Limited was in the process of CIRP and Honble National Company Law Tribunal passed order no. CP (IB) No. 17/9/HDB/2022 Dated 24^th March 2023.

• As Per above stated order, Scheme of arrangement with ACS TECHNOLOGIES LIMITED was approved.

• As per scheme of arrangement, ACS TECHNOLOGIES LIMITED has been merged with LN Industries Limited with effect from 31^st March 2022.

• Revenue from Operations Rs. 6883.57 Lakhs is from ACS TECHNOLOGIES LIMITED which is merged entity and no operations have been carried out by LN Industries India Limited.

• The name of the company has been changed from LN Industries India Limited to ACS TECHNOLOGIES LIMITED with effect from June 26,2023.

STATE OF AFFAIRS OF THE COMPANY:

• As per the Honble National Company Law Tribunal passed order no. CP (IB) No. 17/9/HDB/2022 Dated 24^th March 2023, the objects of the business had been changed to Information Technology/Information Technology Enabled Services.

MANAGEMENT DISCUSSION AND ANALYSIS:

The core business verticals i.e. IT Infrastructure Management, Software Products and Solutions, Security and Surveillance Solutions, forayed into Smart Technologies business vertical. As the world is transforming into digital mode, IOT has become need of the hour and using this technology in many areas in daily lives. Considering the developments taking place rapidly in the business environment,.

IT INFRASTRUCTURE MANAGEMENT

Information technology Infrastructure support services. Evolved with the technology, mastering, and delivering a cohesive, end to end optimization of Data Centers which are aligned with business trends and availability of latest technology and techniques. We provide comprehensive solutions thereby transforming an organization into a total IT driven enterprise.

Our IT Infrastructure Solutions include turnkey projects involving end-to-end Design & Implementation of Network, Smart Server Solutions, Storage Solutions, security and Infrastructure. We provide end to end solutions in this space that leads to the transformation of the enterprise making it as a total IT driven, by partnering with leading technology leaders like Dell, HP, CISCO, Juniper, SAP, Microsoft, VMware, Infinova, Bosch etc.

We leveraged our extensive expertise in IT Infrastructure to foray into Smart Security and Surveillance. We manage multi-vendor and multi-system-based services in Electronic Security, Dynamic Security concentrating on providing state-of-the-art services for Design, Installation, Commissioning and Management of the systems in Security and Surveillance segment. The systems include Closed Circuit Televisions (CCTV), Access Control, Fire Detection and Alarm, Perimeter Protection & Intruder Detection, Metal Detectors, X-Ray Machines, Boom Barriers, Tyre Shudders, Bollards, Road Blockers etc. customers who all have a need for the service/product portfolio. From IT Infrastructure to Security/Surveillance, Energy Management, Transport, Water Management, Smart Advertising, Building Automation and Home Automation, all the domains are mutually supplementing the needs of our clientele.

SECURITY & SURVEILLANCE SOLUTIONS

We leveraged our extensive expertise in IT Infrastructure to foray into Smart Security and Surveillance. We manage multi-vendor and multi-system based services in Electronic Security, Dynamic Security concentrating on providing state-of-the-art services for Design, Installation, Commissioning and Management of the systems in Security and Surveillance segment. The systems include Closed Circuit Televisions (CCTV), Access Control, Fire Detection and Alarm, Perimeter Protection & Intruder Detection, Metal Detectors, X-Ray Machines, Boom Barriers, Tyre Shudders, Bollards, Road Blockers etc. Advancements in the field of IP based security systems and analytics is set to change the security and safety landscape.

Security and Surveillance Systems primarily involves physical security and safety systems, namely - Video Surveillance System, Access Control System, Fire Detection & Alarm System and Public Address System. Advancements in the field of IP based security systems and analytics is set to change the security and safety landscape. Now companies are looking for ways in which to derive business value from their security and safety systems and hence want to integrate these systems with their IT systems. These integrated systems are not only cost effective but are also proactive, flexible and provide greater control over these systems.

• Security and Surveillance Assessment: Analyzing the organizations current and future security requirements. Designing, Developing, Deploying and Operating the solution

• Integrating the solution with other IT security and business systems.

• Managing the security information such as access control, remote access, sharing and collaborating, search and retrieval. Managing various surveillance infrastructures from cameras and sensors to video storage devices.

• Formulating processes which comply with the various security standards.

Business Potential of Security & Surveillance Solutions

• Continuous escalation of crimes and of global terrorism has increased the potential of the IP surveillance industry in India and around the world. After the 26/11 Mumbai terror attacks, the government of India has undertaken several important initiatives to improve security in the country, including installation of CCTV cameras in most public places.

• The Asia-Pacific region is witnessing tremendous growth in the use of video surveillance systems. IP based surveillance systems are now considered indispensable in a range of industries and in government projects, leading to huge growth in this region.

• Apart from the demand generated by the government and industrial development projects, video surveillance systems are also being installed at residences, in commercial establishments, and in the transportation sector. Currently, the market is shifting towards IP based surveillance cameras. "Along with their reduced prices, this growing adoption of IP based cameras is being supported by the strengthening IT infrastructure across the nation. The adaptation of highly advanced and evolving technologies like artificial intelligence, IoT, and smart video analytics features like facial recognition, starlight technology, etc, have made IP cameras value for money propositions, providing the best quality surveillance at the ideal prices. The video surveillance landscape has shifted towards IP based security cameras, with cloud- based solutions, remote monitoring systems and mobile based surveillance solutions giving the user control over security from anywhere," adds Dham.

• The ongoing R&D in the field of video surveillance and security devices is increasing the functionality of such tools. This has improved the graphics resolution of security feeds and decreased the number of devices required. Kumar says, "India is experiencing unprecedented digitization across all industries. This has increased the need for surveillance and security products within the country. Given this, the segment has witnessed a phenomenal growth rate of 27 per cent in the country over the past couple of years and is expected to reach US$ 2.4 billion by the end of 2020."

• Growth of IP based surveillance products Constant innovations in security, surveillance and network offerings have moderately reduced the cost of specialised products and improved their effectiveness, which is also leading to the growth of the industry. Most importantly, these advances have successfully reduced the cost of deploying security cameras within a premise. The invention of the 360-degree video capturing technology has led to the phasing out of the typical three to four PTZ (pan-tilt- zoom) devices or the traditional CCTV products, and considerably reduced costs.

• According to the title report, "India CCTV Market Outlook, 2026", the India CCTV market is anticipated to grow at a CAGR of more than 14% in forecast periods from 2021-2026. CCTV market in India is segregated into two technology type i.e. IP (Internet Protocol) and Non-IP CCTV cameras. Non-IP division is leading the market with more than 80% market share. However, in the coming years IP segment is anticipated to take the lead soon. By overtaking the analog category in Non-IP segment HD category is dominating the market with higher market share. By product wise market is segregated into three major categories i.e. Dome, PTZ and Bullet cameras. Dome CCTV is dominating the market with more than 50% of market share. (Source: https://www.researchandmarkets.com/reports/5521849/india-cctv-camera-market-outlook-2026).

• There is a huge demand for safe city projects in India to ensure public safety. With the successful deployment of surveillance and smart city projects in several Indian cities, more areas are expected to adopt similar video surveillance systems with central control rooms equipped with high-end large video wall solutions to monitor minute details. Emerging technologies in video analytics, biometrics, face recognition, and CCTV are becoming equally important for city surveillance monitoring and analysis. Four segments: security cameras, access control devices, intrusion detection devices, and video recording devices make up this market. Indias surveillance systems market is currently estimated to be a $2.5 billion industry. It is largely comprised of video surveillance and is expected to grow at 25-30% annually. (Source: https://www.trade.gov/market-intelligence/indias-surveillance-and-securitv-market).

• ACS is already a key player in this segment and has implemented Safe City Projects for L&T for Hyderabad and Visakhapatnam and has a large client base in Defence and Govt Establishments across multiple states.

SMART TECHNOLOGIES

a) Home & Office Intelligence

• ACS market its Home and Office intelligence products under the branch name "IOTIQ". IOTIQ is one of its kind Home Automation System that is present and available in the industry today. IOTIQ provides the best solution to home complications and problems with cutting edge technology that is not only available but also durable and affordable.

• A connected home demands a powerful, reliable and yet secure platform capable of running and functioning even in the rigors of real world conditions, IOTIQ provides this with the help of the industrial standard ZIGBEE protocol, IOTIQ offers you utmost access over all home appliances with just a touch via your smartphone or tablet without any compromise in quality, technology and performance and thus is simply unmatched in all these areas.

• Automation for us means something which works on its own and requires no human intervention. So, we built an Infrastructure which is adaptable for all and this infrastructure will be able to work on its own without any human intervention. We are heavily invested on developing Algorithms supporting our deep learning neutral network which is constantly trying to access the users pattern on using appliances.

• Speaking about a long-term vision: We will be including every online service provider, e-commerce websites, local services and utility providers in our system that also without making any change in existing infrastructure and make IOTIQ a SINGLE SIGN ON Platform for any Personal Assistance.

India Home Automation Market Outlook - 2027

• Smart home refers to homes with appliances such as electronic devices is controlled or operated by user via smartphone or a mobile app. Smart devices include appliances such as lighting devices, air conditioning units, ovens, refrigerators, audio & video entertainment systems, and cooling & heating units. The user monitors and controls the functions of smart home devices with home automation technology. There are two types of home automation technology—wireless system and wiring system. The wireless system includes Z-wave, Wi-Fi, Infrared (IR), Bluetooth, and others. The wired systems include cabling for the integration of sensors and smart home systems in the home with internet cables and connectors.

• According to Renub Research, Indian Home Automation Industry will grow with a double-digit CAGR of 15.62% during 2021-2027.

The advantages of home automation are safety and security, convenience, low utility costs, and time saving. The main focus to implement home automation in India is security, and energy efficiency. The home automation technology allows to control the heating and cooling systems in home, which can save considerable energy. Moreover, lights can be automatically switched on or off during sunrise or sunset as well as while leaving or entering the respective room.

The cost effectiveness is one of the driving factors for the India home automation market. Multiple cities, especially Pune, and Mumbai, witness considerable growth in adoption of smart home system every year that are backed by various competitors, which offers home automation at a low cost, thus increasing the India home automation market scope. Surge in economical video surveillance for security solutions that are integrated with real-time analytics are anticipated to boost the growth of the India home automation market. Moreover, the development of smart kitchen appliances such as smart coffeemaker, intelligent oven, precision cooker, and smart grill, has enhanced IoT for smart homes, which continues to provide profitable business opportunities to the players in India home automation market.

However, the market penetration of home automation systems in India is less as compared to other developing nations, owing to the limited connectivity and lower average bandwidth. Furthermore, the lack of standardization of products and components in smart home can lead to failure of the system. Such factors hamper the India home automation market growth. audio, volume & multimedia controls, and others. The others segment includes wall panels, ceiling plates, fans, and wires. Depending on technology, the market is bifurcated into wired and wireless. By end user, it is fragmented into residential, commercial, and hospitality.

Key Benefits for India Home Automation Market:

• The report provides an extensive analysis of the current and emerging India home automation market trends and dynamics.

• In-depth India home automation market analysis is conducted by constructing market estimations for the key market segments between 2018 and 2026.

• Extensive analysis of the market is conducted by following key product positioning and monitoring of the top competitors within the market framework.

• A comprehensive analysis of all regions is provided to determine the prevailing opportunities.

• The India home automation market forecast analysis from 2018 to 2026 is included in the report.

• Key market players are profiled in this report and their strategies are analyzed thoroughly, which help to understand the competitive outlook of the India home automation industry.

IOTIQ being focused in this space and efforts are in place to expand its foot print in PAN india, hence there is a fair chance of faring well during this period is remarkably high.

All of them bundle with Athena Smart Analytics Mobile, Desktop and Web Platform to give unparalled and scalable features.

• VOICE CONTROLLED - Users can control and instruct the system through their voice by using Amazon Alexa & Google Home -Amazon and Google Certified

• APPLIANCE CONTROLLED - User can both power and functionally control all the appliances from anywhere in the world like TV, SET TOP Box, AC, Projector, DVD player etc.

• TEMPERATURE CONTROLLED - Though Smart Senses temperature sensor.

• SECURE with INTRUSION DETECTOR - Though Smart Senses occupancy sensor.

• ENERGY SAVINGS AND MONITORING - By leveraging Smart Senses occupancy sensor data and energy consumption data, giving tips to users hoe to save energy.

• LOCK MODE - Provides security by locking all the IOTIQ enabled devices and activates the motion sensor to monitor the unauthorised activity and then alerts the user by sending notifications to all the family members.

• MOOD CONTROLLED - Customized Mood control

• SCHEDULABLE - Schedule appliances according to users habits and necessity ensuring peace of mind.

• IP CAMERA ACCESS - Our Wi-Fi Video Door Phone can be installed at the Door so that whenever a visitor comes, the resident will get a live video call on his/her phone and they can speak to them directly. If they have a digital door lock, they will be able to operate the same as well. The VDP will also raise an alarm if someone is loitering or trying to break in through your door through its inbuilt PIR sensors.

Athena Smart Analytics

Athena Smart Analytics System is conceived to integrate multiple Smart Sensor Technologies of Industry Partners providing Visualization, Analytics and Decision Support for the team managing the resources of City Corporations. Smart Energy, Smart Surveillance, Smart Water, Smart Transport, Smart Emergency Response Information Services, Intelligent Advertising and Home Automation with Data Mining are the focal points. A large-scale implementation of Athena can cover a City, but the solution scales upwards from individual homes to Condominiums/ Apartments, Campuses to small townships and upwards to a whole City. It can be implemented at any level for the Consumers/End Users and the Service Providers.

There is no dearth of Smart Technologies, however, there is a clear gap in terms of having an integrated platform that can provide a Common Operational Picture (COP) spanning across various utilities and services. Most of these Smart Technologies do not talk to each other, maintain isolated databases, and provide functionality limited to their domain. Athena Smart Analytics System is designed to end this debacle paving way to a modern highly functioning well integrated society.

We have over 16 IoT Systems currently integrated with Athena which includes Home Intelligence Sensors, Smart Water Meters, Smart Street Lighting Control, and Intelligent Advertising via remote control of Digital Signage Displays, Smart Vehicle Tracking and Fleet Management. Its next release will have integrations with Video Conferencing for Ops/Maintenance Support and Emergency Response, online Helpdesk and Ticketing System, Passenger Information Displays, Smart Energy Meters and Energy Monitoring Devices (For Transmission and Distribution Audits) and Smart Condominium Management System.

KEY OFFERINGS

o Smart Home & office	o Smart AgriTech
Solutions	o Smart Healthcare
o Smart Water management	o Smart Learning
o Smart Advertisements	o Smart Campus
o Smart Industry	o Smart Energy Mgmt.
o Smart Parking

SOFTWARE SOLUTIONS

ACS offers Design and Development of Custom Software Applications with Structured and Object Oriented Analysis. We have core skills on multiple platforms and databases. Our data analytics expertise enables us to offer Big Data and Analytics custom solutions on platforms like Hadoop, R, Kubernetes and many other Container Architectures. We also offer IV&V services with manual and automated testing.

ACS has developed and is continuously enhancing its software products portfolio for Enterprise Clientele. Its products include:

ACS IntelliQ - Intelligent Queue Management System

Market: Healthcare Sector (Clinics, Hospitals, Diagnostics), Service Sector (Banks, Telecom)

ACS DMS - Enterprise Document Management System

Market: Mid to Large Corporates/PSUs/Govt/Defence with requirements of large archives of documents, workflows, audit trail management

ACS HelpDesk - Service and Help Ticketing and Resolution System

Market: SMEs/PSUs/Govt/Defence, Call Centres/BPO Companies handling Customer (inhouse and external) issues and support for IT as well as non-IT products/services

ACS CMS - Digital Content Management System

Market: Ad and info streaming from remote servers in Apartments, Malls, Corporates, Hotels/Restaurants, Digital Signage

ACS LMS - Learning Management System

Market: Training and Knowledge Repository Software for Schools/Colleges/Distance Education/BPO/Corporate Training, Govt/Railways/PSU/Banking Sector Skill Enhancement Trainings

Some of its products have been deployed in preceding FYs with large Govt and Corporate Customers.

Our IntelliQ software is being used by Apollo Health group and it is expected to increase installation base in current FY to over 120 Clinics/Hospitals and Franchise Centres of Apollo Pan India. This software has enormous potential in HealthCare sector and was earlier installed in Naresuan Medical Centre in Thailand as a PoC. An LoI was given for implementation of the same across 450 Hospitals in Thailand.

Its Enterprise Document Management System was installed with APEPDCL (Andhra Pradesh Eastern Power Corp), a Govt Sector Power Utility Provider. Over 7 Terabytes of documents of Consumers, billing, requisitions, installations spanning over 10 years of Operations Data are being managed by ACS DMS Software repository. This software has huge potential in deployment in Govt/PSU due to the Digitization and paperless Office Automation processes that most Govt Organizations in India are migrating to under the aegis of Digital India.

ACS HelpDesk is a new product which is perfectly synchronized with ACS business line as an IT Infrastructure Management Company. It has inhouse application to automate Service Requests, Service Provision, SLA and Performance monitoring for existing clients of ACS. ACS also plans to sell it in SaaS (Software As A Service) model to generate month on month revenue and provide a low capital investment tool to Govt/PSU/Corporates and BPO Companies.

USPs of ACS in the existing and emerging verticals of business

• IOT Solutions

USP: Own products. Capability to customize design for specific customer requirements.

• Athena - Integrated Platform

USPs:

a) No single player in the market is providing an integration of own and 3^rd party sensors.

b) Capability to deliver solutions that meet Govt/Large Corporate/Smart City requirements rather than just out of box products.

c) Capability to evolve into a PaaS (Platform As A Service). Future plans of providing software platform to IoT Product developer community to allow them to quickly build/integrate software data acquisition, reporting and analytics on top of their Electronic/Electrical/Electro-mechanical IoT products.

d) Own base of 20+ products and Athena open to IoT developers creating a product portfolio of hundreds of products in a non compete environment.

• IT Infra

USP: 40+ years proven track record of IT Infra Services for Government/Defence/PSU and Large

Corporates.

• Security and Surveillance Solutions

USP: System Integrator role combining IT Infra, IoT, Security and Surveillance Solutions along with

O&M.

• Software Products

USP: Niche products in SaaS and PaaS model.

Future Outlook

Technology R&D

As part of our ongoing plans of taking our existing IOTbusiness nationally and globally, we want to setup a R&D division primarily to focus on Industrial IOT (IIOT) and exploring of various Solutions for Construction, Manufacturing, Pharma, Health and Agriculture industries.

Some of the Product and Solution Segments being targeted for inhouse Innovative development are: a) Sensor and Data Acquisition Systems

i. Intelligent Occupancy Sensors - Utility: All Corporates, Industrial Units, Factories, Military Establishments. USP: Intelligent People Counter, actions and alerts based on Use Case, Safety/Security and Energy Savings.

ii. Proximity Detection and Collision Avoidance - Utility: Construction, Mining, Road Safety. USP: Failsafe Design for standalone and command centre operations, Multiple failsafe sensors (GPS, Active RFID, Radio Transponders), Can work on standalone, own low bandwidth mesh or on commercial WiFi/GSM.

iii. Smart Helmets - Utility: Construction, Mining, Defence and Homeland Security, Harsh Work Environment Industrial Plants. USP: Location, Health Parameters, Alerts, Supervisory Monitoring, Fall Detection.

iv. LORA and Radio Communication Mesh Networks - Utility: Construction, Mining, Large Factories and Plants with no network availability in Area of Operations. USP: Low bandwidth, reliable communications without commercial networks, any weather (harsh environment) operations.

v. Smart Farming - Utility: Agri, Aquaculture. USP: Automated context based monitoring of environment and control of machinery and alerting to supervisory teams (soil, humidity, temperature, water, pH levels, turbidity etc), lower risk of crop of produce damage and improved production.

Athena Smart Analytics - A Cloud Platform for creating AI based Visualization, Monitoring and Management System for IoT Applications. Athena shall provide multiple Industrial IoT protocols and visualization tools as out of the box API cutting down development times drastically for developers. It will provide ACS own as well as 3rd Party Product integration capabilities through Industry Standard Interfaces. The Platform will be used to create own IoT solutions of ACS as well as be thrown open to developers community (Engineers, Scholars, Researchers, Startups, Established Companies attempting entry into IoT domain with their own designed sensors or trying to build multi sensor Intelligent Applications).

To enable lowering of costs of production and supply chain, the R&D division primarily requires the basic assembly and testing equipment and the quality resources experienced in electronics and communication along with Data analytics. This is being planned for an in house setup with personnel, electronics assembly line equipment and test centre.

B2B and B2G Focus

ACS is already primarily working in B2B and B2G segment with its major clientele being Govt/PSU/Defence or Large Corporates and BFSI. To enable revenue growth, ACS will focus on high value contracts in this segment (multiple orders, each of value 5 to 25 Crore INR). Execution of such contracts requires between 30 to 50% rotating cash flow to fund the supply chain and execution milestones.

The target prospect clientele for these segments are in major part same as existing clientele of ACS. In addition, Industries (Construction, Mining, Pharma, Agri) and Real Estate and Hospitality (Builders, Hotel Chains, Facilities Management Service Providers etc) will be prospected for B2B collaborative Industrial or Building Automation Solutions implementations.

ACS has already empaneled itself as a preferred Services Provider with Govt/PSU/Quasi-Govt agencies like ECIL, ITIL and many more. These organizations bid for high value contracts or take on single vendor tenders of values Rs 50 Cr to 500 Cr and act as System Integrators offloading majority of the works to their preferred partners/vendors.

Business Development

ACS has a predominant revenue footprint in Telangana, Andhra Pradesh, Kerala, Orissa, Maharashtra and Chhattisgarh. It aims to expand its business in both domestic and international regions through:

• Own Sales Offices

• Channel Partnerships

• Distributor/Dealerships

ACS is planning enhancement of sales team, expansion of national and global footprint and in continuous branding and digital awareness campaigns. It has plans of setting up sales offices in major cities in India like Chennai, Bengaluru, Pune, Mumbai, Delhi NCR, Kolkata etc and also in Middle East and APAC regions.

It already has partnerships with established companies in Thailand and Naresuan University of Thailand which is promoted by the Royal family of Thailand.

WEBLINK FOR ANNUAL RETURN:

The Company is having website i.e www.acstechnologies.co.in and the annual report for the F.Y 2022-23 of Company has been published on such website.

NUMBER OF MEETINGS OF THE BOARD:

No Board Meetings have transpired during the year due to the companys involvement in the CIRP.

DETAILS OF FRAUD REPORT BY AUDITOR:

As per auditors report, no fraud u/s 143(12) reported by the auditor.

AUDITORS AND AUDITORS REPORT:

M/s Gorantla & Co., Chartered Accountants (Firm Registration No. 16943S) are appointed Statutory Auditors of the Company till the conclusion of Annual General Meeting for F.Y 2026-2027

The Independent Auditors Report and Annexure referred to this Report are self-explanatory and do not call for any further comments. The Auditors Report does not contain any qualification, reservation, adverse remark or disclaimer.

SECRETARAIL AUDITOR:

M/s VCSR and Associates practicing company secretaries has been appointed as secretarial auditor of the company till the conclusion of Annual General Meeting for F.Y 2026-2027.

INTERNAL AUDITORS

The Internal Auditor appointment procedure is currently ongoing.

PARTICULARS OF LOANS, GURUANTEES OR INVESTMENTS:

Details loans, guarantees or investments under section 186 (4) of the Companies Act 2013 and Rules made there under, were made by the Company during the financial year 2022-23. The detailed note of the same are given in notes to Financial Statement.

INFORMATION ON SHARES OF THE COMPANY:

The Authorised share capital of the Company is Rs. 172,00,00,000/-*

*Authorized capital is increased from 145,00,00,000/- to 172,00,00,000/- due the scheme of merger with ACS TECHNOLOGIES LIMITED(CIN: U72200TG1980PLC002703)

PARTICULARS OF CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES:

The Company has outstanding unsecured loans taken from directors amounting to Rs.87,46,961/- as on financial year ended 31^st March ,2023.

RESERVES AND SURPLUS:

The Company earned a Net Profit of Rs. 2,86,77,945/- during the current financial year and net loss of Rs. 100000/- during the previous financial year of 2021-22. Reserves and Surplus is of Rs.26,13,64,475/- as on 31^st March, ,2023 which constitutes surplus in profit and loss account of Rs.7,55,16,475 and securities premium balance of Rs. 18,58,48,000/-. Both these amount are relating to ACS TECHNOLOGIES LIMITED, the transferor company (as per approved scheme by Honble NCLT vide its order dated 24^th March, 2023).

DIVIDEND:

The Directors have not recommended any dividend for the current financial year.

MATERIAL CHANGES AND COMMITMENTS

• During the financial year 2022-23, LN Industries India Limited was in the process of CIRP and Honble National Company Law Tribunal passed order no. CP(IB) No. 17/9/HDB/2022 Dated 24^th March 2023.

• Scheme of arrangement with ACS TECHNOLOGIES LIMITED was approved by the Honble NCLT vide above reference order.

• As per scheme of arrangement, ACS TECHNOLOGIES LIMITED was merged with LN Industries India Limited with effect from 31^st March, 2022.

• Name of the company of LN Industries India Limited had changed to ACS TECHNOLOGIES LIMITED with effect from June 26, 2023 as a part of the approved scheme of arrangement

• The main objects of the company had changed to Information Technology/ Information Technology Enabled Service as a part of the approved scheme arrangement

• The previous management personnel had been changed due to approved Honble NCLT order dated 24^th March, 2023.

HOLDING / SUBSIDIARY / JOINT VENTURES / ASSOCIATE COMPANIES:

The detail of Holding / Subsidiary / Joint Ventures / Associate Companies is detailed out as below:

S.No. Name of the Company	Status	Effective date
1 IOTIQ Innovations Private Limited	Subsidiary	20th September 2018*

*Due to the merger of ACS Technologies Ltd. with LN Industries India Ltd., IOTIQ Innovations Private Limited has become the subsidiary of ACS Technologies Ltd. (Formerly Known as LN Industries India Ltd)

DIRECTORS / KMP APPOINTED OR RESIGNED DURING THE YEAR:

The Board of Directors was duly constituted during the financial year.

• The Following existing directors of LN Industries India Limited have been vacated pursuant to the Honble NCLT Order.

S.No. Name	DIN No.	Designation
1 SHAILESH SHIVRAM MISTRY	02828383	Director
2 GARLAPATI LAXMA REDDY	06902285	Director
3 SNEHA RUPESH TALREJA	07161901	Additional Director
4 KUMAR REDDY MADHU LATTUPALLI	07604968	Director

• The following directors have been appointed by the resolution professional and their brief details are as follows.

S.No Name Of Director	Date Of Appointment	DIN	Designation
1 ASHOK KUMAR BUDDHARAJU	25/04/2023	03389822	Director
2 RAMA DEVI BUDDHARAJU	25/04/2023	07026035	Director
3 ANITHA ALOKAM	25/04/2023	07309591	Director

• Mr. ASHOK KUMAR BUDDHARAJU has been appointed as Chairman and Managing Director of the company as on 30^th May 2023.

• Mr.Prabakara Rao Alokam has been appointed as Chief Financial Officer of the company with effect from 05^th May 2023.

• Mr.Venkata Nagarjuna.P has been appointed as Company Secretary and Compliance Officer of the Company with effect from 10^th April, 2023.

DIRECTORS RESPONSIBILITY STATEMENT:

Your directors state that:

a) In the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures.

b) The Directors had 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 at the end of the financial year and of the profit and loss of the Company for that period.

c) The Directors had taken proper & sufficient care of 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 & detecting fraud & other irregularities.

d) The Directors had prepared the annual accounts on a going concern basis; and

e) The provisions for laying down internal financial controls were not applicable to the Company.

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.

DELCLARATION BY INDEPENDENT DIRECTORS:

The Independent Directors of your Company have submitted declaration confirming that they will meet the criteria of independence as laid down under Section 149(6) of the Act as the committee of Independent Director were inducted in the Company on 1^st March 2021.

PARTICULARS OF DIRECTORS / KMP / SPECIFIED EMPLOYEES:

None of the employee has received remuneration exceeding the limit as stated in rule 5(2) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014

The provisions of Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, relating to furnishing of particulars of remuneration of Directors / KMP / Other Specified Employees, are not applicable to the Company.

DEPOSITS:

During the current financial year as well as previous financial year, the Company had not invited / accepted any deposits under Companies Act, 2013 and there was no outstanding of any deposit as at March 31^st, 2023 as well as at March 31^st, 2022.

FRAUDS TO BE REPORTED BY AUDITORS:

The Auditors of the Company had not reported any offence involving any fraud committed against the Company by any officer or employee of the Company during the current financial year as well as during the previous financial year, as required under sub-section (12) of section 143 of the Companies Act, 2013.

RISK MANAGEMENT POLICY:

In the opinion of the Board, there is no material element of risk which may threaten the existence of the Company.

ACTIVITIES RELATING TO EXPORTS:

There was following activity relating to exports during the current financial

• Exports Of Products/Services - $ 11,59,915 USD.

• Exports Of Products/Services - 4,33,470.20 EURO

CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS & OUTGO:

(A) Conservation of Energy:

There is no consumption of electricity by the Company.

(B) Technology Absorption:

There is no technology absorption involved in the operations of the Company.

(C) Foreign Exchange Earnings & Outgo:

The import and export during the current financial year as well as during the previous financial year are as follows.

Particulars	2022-23
Import	$ 7,207.23 USD
Export	$ 11,59,915.00 USD 4,33,470.20 EURO

CORPORATE SOCIAL RESPONSIBILITY:

The provisions of Corporate Social Responsibility are not applicable to the Company.

FORMAL ANNUAL EVALUATION:

The provisions related to formal annual evaluation either by the Board or any of its committee or Individual Directors are not applicable to the Company.

SIGNIFICANT AND MATERIAL ORDERS AGINST THE COMPANY:

During the financial year 2022-23, LN Industries India Limited was in the process of CIRP and Honble National Company Law Tribunal passed order no. CP(IB) No. 17/9/HDB/2022 Dated 24^th March 2023

ACKNOWLEDGEMENTS

Your Company and its Directors wish to extend their sincerest thanks to the Members of the Company, Bankers, State Government, Local Bodies, Customers, Suppliers, Executives, Staff and workers at all levels for their continuous cooperation and assistance.

For and on behalf of the Board of Directors ACS TECHNOLOGIES LIMITED
Ashok Kumar Buddharaju	Anitha Alokam
Chairman and Managing Director	Director
DIN: - 03389822	DIN: - 07309591
Date: 05/09/2023
Place: Hyderabad