Equippp Social Impact Technologies Ltd Auditor Reports

To

The Members of

EQUIPPP SOCIAL IMPACT TECHNOLOGIES LIMITED
(Formerly Proseed India Limited)

Report on Audit of the Standalone Financial Statements
Opinion

We have audited the accompanying standalone Financial Statements of EQUIPPP SOCIAL
IMPACT TECHNOLOGIES LIMITED (Formerly Proseed India Limited) ("the Company"),
which comprise of the Balance Sheet as at 31^st March 2025, the Profit and Loss, including the
statement of Other Comprehensive Income, the Cash Flow Statement and the statements of
changes in equity for year then ended and a summary of the significant accounting policies and
other explanatory information.

In our opinion and to the best of our information and according to the explanations given to
us, the aforesaid standalone 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 state of affairs (financial position) of the Company as
at March 31, 2025 and its loss (financial performance including other comprehensive income),
its cash flows and the changes in equity for the year ended on that date.

Basis for Opinion

We conducted our audit of the standalone Ind AS financial statements in accordance with the
Standards on Auditing (SAs) as specified under Section 143(10) of the Companies Act 2013.
Our responsibilities under those standards are further described in the Auditors
Responsibilities for the Audit of the Financial Statements Section of our report. We are
independent of the company in accordance with the code of Ethics issued by the Institute of
Chartered Accountants of India together with the ethical requirements that are relevant to our
audit of the financial statements under the provisions of the companies act 2013 and the Rules
there under, and we have fulfilled our ethical responsibilities in accordance with those
requirements and the code of Ethics. We believe that the audit evidence we have obtained is
Sufficient and appropriate to provide a basis for our audit opinion on the Standalone Ind AS
Financial Statements.

Key audit matters

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

We have determined that there are no key audit matters to communicate in our report.

Emphasis of Matter

Trade receivables include an amount of Rs.91.05 Lakhs which is overdue as on 31.03.2025.
Based on information received, the management has initiated necessary action towards its
recovery and compliances thereon. The matter needs to be expedited.

Our conclusion is not modified in respect of this matter.

Other Information

The Companys management and board of directors are responsible for the preparation of
the other information. The other information comprises the information included in the
companys annual report but does not include the financial statements and our auditors
report thereon.

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

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

Managements Responsibility for the Standalone Financial Statements

The Companys Board of Directors are responsible for the matters stated in Section 134(5) of
the Companies Act, 2013 ("the Act") with respect to the preparation of these financial
statements that give a true and fair view of the state of affairs (financial position), profit or
loss (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) specified under Section 133 of
the Act. This responsibility also includes maintenance of adequate accounting records in
accordance with the provisions of the Act for safeguarding the assets of the Company and for
preventing and detecting frauds and other irregularities; selection and application of
appropriate accounting policies; making judgments and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate internal financial
controls, that were operating effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the financial statements
that give a true and fair view and are free from material misstatements, whether due to fraud
or error.

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

The Board of Directors are also responsible for overseeing the companys financial Reporting
process.

Auditors Responsibilities for the Audit of the Standalone Financial Statements

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

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

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

• Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances. Under section 143(3)(i) of the
Companies Act, 2013, we are also responsible for expressing our opinion on whether the
company has adequate internal financial controls system in place and the operating
effectiveness of such controls

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

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

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

• Obtain sufficient appropriate audit evidence regarding the financial information of the
business activities of the Company to express an opinion on the standalone financial
statements. We are responsible for the direction, supervision and performance of the
audit of the standalone financial statements of such entity included in.

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

We also provide those charged with governance with a statement that we have complied with
relevant ethical requirements regarding independence, and to communicate with them all
relationships and other matters that may reasonably be thought to bear on our independence,
and where applicable, related safeguards. From the matters communicated with those charged
with governance, we determine those matters that were of most significance in the audit of
the financial statements of the current period and are therefore the key audit matters. We
describe these matters in our auditors report unless law or regulation precludes public
disclosure about the matter or when, in extremely rare circumstances, we determine that a
matter should not be communicated in our report because the adverse consequences of doing
so would reasonably be expected to outweigh the public interest benefits of such
communication.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditors Report) Order, 2020 ("the order") issued by the
Central Government in terms of Section 143(11) of the Act, we give in the "Annexure A"
a statement on the matters specified in paragraph 3 and 4 of the said order.

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

(i) We havesought and obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our audit;

(ii) In our opinion, proper books of accounts as required by law been kept by the
Company so far as it appears from our examination of those books;

(iii) The Balance Sheet, Profit and Loss Account including other comprehensive
income the Cash flow Statement and statement of Changes in Equity dealt with by
this Report are in agreement with the books of account;

(iv) In our opinion, the aforesaid financial statements comply with Accounting
Standards specified under Section 133 of the Act, read with Companies (Indian
Accounting Standards) Rules, 2015, as amended.

(v) On the basis of written representations received from the directors, as on 31^st
March, 2025 and taken on record by the Board of Directors, we report that none of
the directors are disqualified as on 31^st March, 2025 from being appointed as a
director in terms of section 164(2) of the Act.

(vi) With respect to the adequacy of the internal financial controls over financial
reporting of the company and the operating effectiveness of such controls, refer to our
separate Report in "Annexure B".

(vii) In our opinion, Section 197 of the companies Act, 2013 is in complied by the
Company.

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

i. The Company does not have any pending litigations which would impact its
financial position;

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

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

iv.

a) The management has represented that, to the best of its knowledge and
belief, other than as disclosed in the notes to the accounts, no funds have been
advanced or loaned or invested (either from borrowed funds or share premium
or any other sources or kind of funds) by the company to or in any other
person(s) or entity(ies), including foreign entities ("Intermediaries"), with the
understanding, whether recorded in writing or otherwise, that the
intermediary shall, whether, directly or indirectly lend or invest in other
persons or entities identified in any manner whatsoever by or on behalf of the
company ("Ultimate Beneficiaries") or provide any guarantee, security or the
like on behalf of the Ultimate Beneficiaries;

b) The management has represented, that, to the best of its knowledge and
belief, other than as disclosed in the notes to the accounts, no funds have been
received by the company from any person(s) or entity(ies), including foreign
entities ("Funding Parties"), with the understanding, whether recorded in
writing or otherwise, that the company shall, whether, directly or indirectly,
lend or invest in other persons or entities identified in any manner whatsoever
by or on behalf of the Funding Party ("Ultimate Beneficiaries") or provide
any guarantee, security or the like on behalf of the Ultimate Beneficiaries; and

V. The company has not declared nor proposed or paid any dividends during
the year and therefore compliance under section 123 of the act is not
applicable to the company.

VI. The Company has obtained audit trail feature for the books of accounts
maintained by them using accounting software by providing ‘Edit/Log Option.

ANNEXURE - "A" TO THE INDEPENDENT AUDITORS REPORT

(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory Requirements of
our Audit Report of even date to the members of EQUIPPP SOCIAL IMPACT
TECHNOLOGIES LIMITED (Formerly known as Proseed India Limited) ("the
Company"), on the STANDALONE Financial Statements of the Company for the year
ended on 31st March 2025)

1) a. The Company is maintaining proper records showing full particulars including
quantitative details and situation of Property, Plant & Equipment, on the basis of the
information made available to us;

The company has intangible assets and maintaining proper records showing full
particulars of intangible assets.

b. As explained to us, the Property, Plant & Equipment have been physically verified by
the Management at reasonable intervals; and no material discrepancies were found on
such verification.

c. The company has no immovable property so; clause 3 (i) (c) is not applicable.

d. The company has not revalued its property, plant and equipment (including right to
use assets) or intangible assets or both during the year.

e. According to information and explanations given to us and on the basis of our
examination of the records of the company, there are no proceedings initiated or pending
against the company for holding any Benami property under the Prohibition of Benami
Property Transactions Act, 1988 and rules made there under and the details have been
appropriately disclosed in the financial statements.

2) a) There is no inventory available with the company during financial year and hence
Physical verification of the same is not applicable.

b) The company is not sanctioned with any working capital from Banks or Financial
Institutions in excess of Rs. 5Cr during the year, on the basis of security of current assets.
Hence Clause 3(ii) (b) of the Order is not applicable.

3) The Company has granted unsecured loan to its Subsidiary M/s. Three point 0 labs
Technologies (P) ltd of Rs. 50.00 lakhs, which was covered in the register maintained
under section 189 of the Companies Act.

a) The Company has granted a loan of Rs. 50.00 lakhs and the same is outstanding as at
the end of the year.

b) The terms & conditions of such loan are not prejudicial in the interest of the
company. However, the Outstanding interest of Rs. 1.37 lakhs on the aforesaid loan is
yet to be recovered from the party.

c) The schedule of repayment of the aforesaid loan is not stipulated. However, there are
no repayments during the year.

d) As such, the above loan does not become overdue for more than 90 days as on the
even date.

e) There is no renewed or extended loan or fresh loans granted to settle the over dues of
the existing loans given to the same parties during the year.

f) The company has granted loan without specifying period of repayment of Rs 50.00
lacks, which is 100% of loans and advanced as at the balance sheet date.

4) In our opinion and according to the information and explanation given to us, the
Company has complied with respect of loans & investments made during the year and,
as per the provisions of Section 185 and Section 186 of the Companies Act, 2013.

5) According to the information and explanation given to us the Company has not
accepted any deposits from the public during the year. Hence Clause 3(v) of the Order is
not applicable.

6) Maintenance of cost records has not been specified by the Central Government under
sub-section (1) of Section 148 of the Companies Act. Hence this clause 3(VI) of the
Order is not applicable.

7) (a)According to the information and explanations given to us, and the records of the
Company examined by us, in our opinion, the Company is generally regular in
depositing the undisputed statutory dues as applicable with the appropriate authorities.
There are no arrears of undisputed statutory dues outstanding as at March 31, 2025 for
a period of more than six months from the date they become payable.

(b) According to the information and explanations given to us and the records of the
Company examined by us, the statutory dues which have not been deposited on account
of any dispute are as follows.

SI. NO	Name of the Statute	Nature of Dues	Total Demand Amount (Rs.)	Paid under Protest	Period to which the amount relates	Forum where dispute is pending
			---NIL----

7) There are no transactions that are recorded in the books of accounts to be surrendered
or disclosed as income during the year in the assessments under the Income Tax Act,
1961.

According to the information and explanations given to us and after the Completion of
CIRP under IBC 2016, the company has not defaulted in repayment of loans to the
banks, and to promoters. Pursuant to the approval of the order by the Honble NCLT,
and as per the terms of the Resolution Plan outstanding loans are settled partially and
balance will be waived off. The company has not taken any loans or borrowings from the
government or has not issued any debentures.

(a) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the Company has not defaulted in
repayment of dues to any bank or financial institution or bank or debenture holders
after completion of CIRP.

(b) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the Company has not been declared a
willful defaulter by any bank or financial institution or other lender after completion of
CIRP.

(c) According to the information and explanations given to us by the management, the
Company has not obtained any term loans during the year. Hence Clause 3(IX) (c) of
the Order is not applicable.

(d) According to the information and explanations given to us and on an overall
examination of the balance sheet of the Company, we report that no funds raised on
short term basis have been used for long-term purposes by the Company.

(e) According to the information and explanations given to us and on an overall
examination of the standalone financial statements of the Company, we report that the
Company has not taken any funds from any entity or person on account of or to meet
the obligations of its subsidiaries, associates or joint ventures as defined under the Act,
except advance given to Rs. 50.00 lakhs to its subsidiary on reasonable terms of interest.

(f) According to the information and explanations given to us and procedures
performed by us, we report that the Company has not raised loans during the year on
the pledge of securities held in its subsidiaries, associate companies or joint ventures as
defined under the Act.

10) (a) According to the information and explanations given to us, the company has not
raised any monies by way of initial public offer or further public offer (including debt
instruments) during the year. Hence, clause 3(x) (a) of the order is not applicable.

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

11) a) According to the information and explanations given to us, no fraud by the
Company or on the Company by its officers or employees has been noticed or reported
during the course of our audit.

b) According to the information and explanations given to us, no report under sub-
section (12) of Section 143 of the Act has been filed by the auditors in Form ADT-4 as
prescribed under Rule 13 of the Companies (Audit and Auditors) Rules, 2014 with the
Central Government.

(c) According to the information and explanation given to us, the company has not
received any whistle-blower complaints during the year and hence the consideration of
the same does not arise.

12) In our opinion and according to the information and explanation given to us, the
Company is not a Nidhi Company. Accordingly, Paragraph 3(xii) of the Order is not
applicable

13) According to the information and explanations given to us and based on our
examination of the records of the Company, transactions entered into with the related
parties are in compliance with Sections 177 & 188 of the Companies Act, 2013 where
applicable and details of such transactions have been disclosed in the financial
statements as required by the applicable accounting standards.

14) a) According to the information & explanations given to us, the company has an
internal audit system commensurate with the size and nature of its business.

b) The reports of the Internal Auditors for the period under audit have been considered.

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

16) (a) The Company is not required to be registered under Section 45-IA of the Reserve
Bank of India Act, 1934. Accordingly, clause 3(xvi)(a) of the Order is not applicable.

(b) The Company is not conducted any Non-Banking Financial or House Finance
Activities without a valid certificate of Registration from the Reserve Bank of India as
per Reserve Bank of India Act, 1934. Accordingly, clause 3(xvi)(b) of the Order is not
applicable

(c) The Company is not a Core Investment Company (CIC) as defined in the regulations
made by the Reserve Bank of India. Accordingly, clause 3(xvi)(c) of the Order is not
applicable.

(d) The Group has not more than one CIC as part of the Group.

17) According to the information & explanations given to us, The Company has incurred
cash loss of Rs. 17.24 lakhs during the current financial year and not in the immediately
previous financial year.

18) There was no resignation of the statutory auditors during the year.

19) According to the information and explanations given to us and on the basis of the
financial ratios, ageing and expected dates of realization of financial assets and payment
of financial liabilities, other information accompanying the financial statements, our
knowledge of the Board of Directors and management plans and based on our
examination of the evidence supporting the assumptions, nothing has come to our
attention, which causes us to believe that any material uncertainty exists as on the date
of the audit report that the Company is capable of meeting its liabilities existing at the
date of balance sheet as and when they fall due within a period of one year from the
balance sheet date.

We, however, state that this is not an assurance as to the future viability of the
Company. We further state that our reporting is based on the facts up to the date of the
audit report and we neither give any guarantee nor any assurance that all liabilities
falling due within a period of one year from the balance sheet date, will get discharged
by the Company as and when they fall due.

20) According to the information and explanation sec 135(5) is not applicable as the
company has not crossed the threshold limits of the CSR. Hence the clause (XX)(a) and
(b) are not applicable.

21) There are no qualifications or adverse remarks by the Auditors of the Subsidiaries, whose
share of profit/ loss is included in the consolidated financial statements of the Company.

ANNEXURE "B" To the Independent Auditors Report of even date on the Financial
Statements of EQUIPPP SOCIAL IMPCAT TECHNOLOGIES LIMITED (Formerly
known as Proseed India Limited)

Report on the Internal Financial Controls Over Financial Reporting 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 EQUIPPP
SOCIAL IMPACT TECHNOLOGIES LIMIITED (Formerly known as Proseed India
Limited ("the Company") as of March 31, 2025 in conjunction with our audit of the
standalone financial statements of the Company for the year ended on that date.

Opinion

In our opinion, the company has, in all material aspects, had an adequate internal financial
control system over financial reporting and such internal financial controls over financial
reporting were operating effectively as at March 31, 2025, based on the internal financial
controls over financial reporting criteria established by the company considering essential
components of internal control stated in the Guidance Note on Audit of Financial Controls
Over Financial Reporting issued by the Institute of Chartered Accountants of India.

Managements Responsibility for Internal Financial Controls

The Management of the Company is responsible for establishing and maintaining internal
financial controls based on the internal control over financial reporting criteria established by
the Company considering the essential components of internal control stated in the Guidance
Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute
of Chartered Accountants of India. 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 respective
companys 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 internal financial controls over financial
reporting of the Company 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") issued by the Institute of Chartered Accountants of India and the
Standards on Auditing prescribed under Section 143(10) of the Companies Act, 2013, to the
extent applicable to an audit of internal financial controls. Those Standards and the
Guidance Note require that we comply with ethical requirements and plan and perform the

the audit to obtain reasonable assurance about whether adequate internal financial controls
over financial reporting was established and maintained and if such controls operated
effectively in all material respects.

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 auditors
judgment, including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error.

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

Meaning of Internal Financial Controls over Financial Reporting

A companys internal financial control over financial reporting is a process designed to
provide reasonable assurance regarding the reliability of financial reporting and the
preparation of financial statements for external purposes in accordance with generally
accepted accounting principles. A companys internal financial control over financial
reporting includes those policies and procedures that

1. Pertain to the maintenance of records that, in reasonable detail, accurately and fairly
reflect the transactions and dispositions of the assets of the company;

2. Provide reasonable assurance that transactions are recorded as necessary to permit
preparation of financial statements in accordance with generally accepted accounting
principles, and that receipts and expenditures of the company are being made only in
accordance with authorizations of management and directors of the company; and

3. Provide reasonable assurance regarding prevention or timely detection of unauthorized
acquisition, use, or disposition of the companys 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.

For ANJANEYULU& CO.,

Chartered Accountants

FRN: 000180S

 

CA K Narayana Murthy

Partner- M No: 026012

UDIN: 25026012BMICMQ5066

 

Place: Hyderabad

Date: 30.05.2025