Equippp Social Impact Technologies Ltd Directors Report

24. DIRECTORS RESPONSIBILITY STATEMENT:

Pursuant to the provisions of Section 134(3)(c) and 134(5) of the Companies Act, 2013, your
Directors, to the best of their knowledge and belief and according to the information and
explanations obtained by them, state and confirm that:

1.In the preparation of the Annual Accounts for the Financial Year ended March 31st,
2025, the applicable Accounting Standards have been followed and there are no material
departures from the same;

2. They have selected such Accounting Policies and applied them consistently and made
judgments and estimates that are reasonable and prudent so as to give a true and fair
view of the state of affairs of the Company at the end of the financial year and of the
Loss of the Company for that period;

3. They have taken proper and sufficient care for the maintenance of adequate accounting
records in accordance with the provisions of the Act for safeguarding the assets of the
Company and for pre- venting and detecting fraud and other irregularities;

4. The Annual Financial Statements for the Financial Year ended March 31st, 2025 are
prepared on a going concern basis;

5. They have laid down Internal Financial Controls to be followed by the Company and
such internal financial controls are adequate and operating effectively;

6. They have devised proper systems to ensure compliance with the provisions of all
applicable laws and that such systems are adequate and operating effectively.

The Board is of opinion that the Companys Internal Financial Controls are commensurate
with the nature of its business and the size and complexity of its Operations and were
effective during the Financial Year 2024-25. The Board of Directors confirm compliance
with the Secretarial Standards issued by the Institute of Company Secretaries of India.

During the year under review, the Non-Executive Directors of the Company had no
pecuniary relationship or transactions with the Company, other than Sitting Fees, and
Reimbursement of Expenses, if any.

25. AUDITORS:

M/s. Anjaneyulu & Co, Chartered Accountants (ICAI Firm registration no. 000180S) were
appointed as Statutory Auditors of the Company, at the 30th Annual General Meeting held
on December 30th, 2022, for a term of 5 (five) consecutive years i.e., to hold office from the
conclusion of 30th Annual General Meeting until the conclusion of 35th Annual General
Meeting of the Company to be held in the year 2027.

Further, the aforesaid Statutory Auditors have confirmed that they are not disqualified to act
as Auditors and are eligible to hold office as Auditors of your Company.

Further, the report of the Statutory Auditors along with the notes to accounts is enclosed
with the Financial Statements. The Auditors have issued an unmodified opinion on the
Financial Statements for the financial year ended 31st March, 2025. The Auditors of the
Company have not reported any fraud as specified under section 143(12) of the Companies
Act, 2013.

B. Secretarial Auditors and their Report:

Pursuant to the provisions of Section 204 of the Act and the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014, the Board of Directors had appointed
Mr. Balarama Krishna Desina, proprietor of Balramakrishna & Associates, company
secretaries in practice, to undertake the Secretarial Audit of the Company for the financial
year ended 31st March, 2025. The report of the Secretarial Auditor in form MR-3 is annexed
to this report as Annexure 2. The comments mentioned in the Secretarial Audit Report are
Self-Explanatory.

Pursuant to the circular issued by the SEBI dated 8th February, 2019, Secretarial Auditor has
issued the "Annual Secretarial Compliance Report" for the year ended 31st March, 2025, and
the same was submitted to the stock exchanges in time.

No fraud has been reported by the Secretarial Auditor during the period under the review.

C. Cost Audit:

During the year under review, maintenance of cost records and requirements of cost audit as
prescribed under the provisions of Section 148 (1) of the Companies Act, 2013 are not
applicable to the Company.

D. Internal Auditors:

Your Company has a robust Internal Audit team for carrying out Internal Audit. Pursuant to
the provisions of Section 138 of the Companies Act and the Companies (Accounts) Rules,
2014, M/s. GBM & ASSOCIATES Chartered Accountants, Hyderabad, was appointed as the
Internal Auditors of the Company for the F.Y 2024- 25 to perform the duties of Internal
Auditors of the Company.

The report submitted by the Internal Auditors gets reviewed by the audit committee from
time to time.

26. BUSINESS RISK MANAGEMENT:

Company periodically assesses the risk elements, mitigates the different kinds of risks which
the Company faces in its day-to-day operations and incorporates such risk mitigation plans in
its business operational plans. As on date of this report, your Company does not foresee any
critical risk, which threatens its existence.

27. CORPORATE SOCIAL RESPONSIBILITY:

The provisions of Corporate Social Responsibility are not applicable to the Company as the
Company does not come under the ambit of Section 135 of the Companies Act, 2013 read
with Companies (Corporate Social Responsibility Policy) Rules, 2014.

28. PUBLIC DEPOSITS:

The Company has not accepted any deposits from the public under Chapter V of the
Companies Act, 2013 during F.Y. 2024-25 and, as such, no amount on account of principal
or interest on public deposits was outstanding as on March 31st, 2025.

(a) accepted during the year: NIL

(b) remained unpaid or unclaimed as at the end of the year: NIL

(c) whether there has been any default in repayment of deposits or payment of interest
thereon during the year and if so, number of such cases and the total amount involved-

(i) at the beginning of the year: NIL

(ii) maximum during the year: NIL

(iii) at the end of the year: NIL

(d) Details of the money received from directors: NIL

29. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS:

Details of Loans, Guarantees and Investments covered under the provisions of Section 186
of the Companies Act, 2013, are given in the notes to the Financial Statements

30. TRANSACTIONS WITH RELATED PARTIES:

The company entered into transactions with related parties in accordance with the provisions
of the Companies Act, 2013 read with rules and the particulars of contracts or arrangements
with related parties referred to in Section 188(1) are in ordinary course of business and at
arms length. The Related party transactions are disclosed in the financial statements.

31. MANAGEMENT DISCUSSION AND ANALYSIS REPORT:

Management Discussion and Analysis Report as stipulated under the Regulation 34(2)(e) of
the SEBI Listing Regulations and the same is presented in a separate section forming part of
this Annual Report as Annexure-3. It provides details about the overall industry structure,
global and domestic economic scenarios, developments in business operations / performance
of the Companys various businesses, internal controls and their adequacy, risk management
systems, human resources and other material developments during the financial year 2024-25.

32. CORPORATE GOVERNANCE:

The compliance with the corporate governance provisions as specified in regulations 17, 17A,
18, 19, 20, 21, 22, 23, 24, 24A, 25, 26, 27 and clauses (b) to (i) and (t) of sub-regulation (2) of
regulation 46 and para C, D and E of Schedule V shall not apply, in respect of -

(a) a listed entity having paid up equity share capital not exceeding rupees ten crore and (b)
net worth not exceeding rupees twenty-five crore, as on the last day of the previous financial
year.

Since the net worth of the company as on March 31, 2025, continues to be less than Rs.25
Crores, the above- mentioned provisions are not applicable to the Company. However, out of
abundant caution the Company has furnished the Corporate Governance Reports to the
NSE & BSE for all quarters of F.Y. 2024-25, the NSE had held that the Company had to
comply with the CG provisions and imposed penalties for non-compliance/ delayed
compliance under Listing Agreements and SEBI (Listing Obligations and Disclosure
Requirements) Regulations 2015.

The Company is contesting the aforesaid issue of applicability of provisions relating to
Corporate Governance. Though the applicability of Corporate Governance norms for the FY
2024-25 is in question, the Company has decided to implement certain Corporate
Governance provisions as a good practice, on a best endeavor basis and enclosed the
Corporate Governance report as Annexure -4 to this report.

33. BUSINESS RESPONSIBILITY AND SUSTAINABILITY REPORT:

The Company doesnt fall under the Top 1000 Companies as per market capitalization as on
31st March 2025. Hence the disclosures relating to Business Responsibility and Sustainability
Report is not applicable for FY 2024-25.

34. COMPLIANCE WITH SECRETARIAL STANDARDS:

The Board of Directors affirms that the Directors have devised proper systems to ensure
compliance with the provisions of all applicable Secretarial Standards issued by the Institute
of Companies Secretaries of India and that such systems are adequate and operating
effectively. The Company has complied with the applicable Secretarial Standards.

35. VIGIL MECHANISM/WHISTLE BLOWER POLICY:

In Compliance with Section 177(9) of the Act and Regulation 22 of SEBI Listing Regulation,
the Company has adopted a Whistle Blower Policy. The Audit Committee oversees the
functioning of this policy. The Companys vigil mechanism/ Whistle blower Policy aims to
provide the appropriate platform and protection for whistle blowers to report instances of
fraud and mismanagement, if any, to promote reporting of any unethical or improper
practice or violation of the Companys Code of Conduct or complaints regarding
accounting, auditing, internal controls or suspected incidents of violation of applicable laws
and regulations including the Companys code of conduct or ethics policy or Code of
Conduct for Prevention of Insider Trading in the Company, Code of Fair practices and
Disclosure. The Vigil Mechanism provides a mechanism for employees of the Company to
approach the Chairman of the Audit Committee of the Company for redressal.

36. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR
COURTS OR TRIBUNALS IMPACTING THE GOING CONCERN STATUS OF THE
COMPANY:

There were no material orders passed by any Regulator or Courts or Tribunals impacting the
going concern of the Company during the FY 2024-25.

However, the order dated 13-12-2022 passed by the Honble NCLT Hyderabad, granting 3
months time to comply with the Minimum Public Shareholding (MPS) requirements by the
Company has been recalled via order no. IA (IBC)/1161/2023 dated June 03, 2024.

37. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN
EXCHANGE EARNINGS AND OUTGO:

A. Conservation of Energy- NIL

(i) the steps taken or impact on conservation of energy;

(ii) the steps taken by the company for utilizing alternate sources of energy;

(iii) the capital investment on energy conservation equipments;

B. Technology Absorption - NIL

(i) the efforts made towards technology absorption;

(ii) the benefits derived like product improvement, cost reduction, product development or
import substitution;

(iii) in case of imported technology (imported during the last three years reckoned from the
beginning of the financial year)-

(a) the details of technology imported;

(b) the year of import;

(c) whether the technology has been fully absorbed;

(d) if not fully absorbed, areas where absorption has not taken place, and the reasons thereof;
and

(iv) the expenditure incurred on Research and Development.

C. Foreign Exchange earnings and Outgo:

38. DISCLOSURE AS PER SEXUAL HARASSMENT OF WOMEN AT WORKPLACE
(PREVENTION, PROHIBITION & REDRESSAL) ACT, 2013:

The Company has in place an Anti-Sexual Harassment Policy in line with the requirements
of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal)
Act, 2013. All employees (permanent, contractual, temporary and trainees) are covered under
this policy. The Company has also complied with the provisions related to the constitution of
an Internal Complaints Committee (ICC) under the said Act to redress complaints received
regarding sexual harassment. During the Financial year the Company has not received any
complaints on sexual harassment.

39. COMPLIANCE WITH MATERNITY BENEFIT ACT 1961:

The company is complying with the requirements under the provisions of Maternity Benefit
Act 1961. All the employees are covered under this maternity policy placed in the company.

Annual Report 2024 - 25

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40. INTERNAL FINANCIAL CONTROL SYSTEMS AND THEIR ADEQUACY:

The company has a robust Internal Control System commensurate with the size and scale of
its operations. Roles and responsibilities are clearly defined and assigned. A reputed
Chartered Accountants firm has also been engaged for Internal Audit. The Audit Committee
reviews the adequacy and effectiveness of Internal Control Systems and provides guidance
for further strengthening them.

41. TRANSFER OF AMOUNTS TO INVESTOR EDUCATION AND PROTECTION
FUND:

The company did not have any funds lying unpaid or unclaimed for a period of Seven years.
Therefore, there were no funds which were required to be transferred to investor Education
and Protection Fund (IEPF).

42. CODE OF CONDUCT FOR PREVENTION OF INSIDER TRADING:

Pursuant to the provisions of Regulations 8 & 9 of SEBI (Prohibition of Insider Trading)
Regulations, 2015, the Board of Directors has formulated, implemented and has in place a
comprehensive "Code of Fair Disclosure of Unpublished Price Sensitive Information" &
"Code of Conduct for Prevention of the Insider Trading" (hereinafter known as "Codes of
Conduct") for regulating, monitoring and reporting the trading by Designated persons of the
Company which exemplifies the spirit of good ethics and governance and is applicable to the
Designated Personnel of the Company which includes Promoters, Promoter Group, KMPs,
Directors, Senior Management and such other employees of the Company and others in
fiduciary relationships and as may be approved by the Board of Directors, from time to time,
based on the fact of having access to unpublished price sensitive information. The said Codes
lays down guidelines advising the Designated Personnel on procedures to be followed and
disclosures to be made while dealing with the securities of the Company.

43. DISCLOSURE ABOUT BUY BACK OF SECURITIES, SWEAT EQUITY, BONUS
ISSUE, EMPLOYEES STOCK OPTION PLAN:

A) Buy Back: There have been no such cases during the year 2024-25.

(B) Sweat Equity: There have been no such cases during the year 2024-25.

(C) Bonus Issue: There have been no such cases during the year 2024-25.

(D) Employee Stock Option Plan (ESOP)s: There have been no such cases of ESOPs issue
during the year 2024-25.

Annual Report 2024 - 25

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44. DETAILS OF APPLICATION MADE OR PROCEEDING PENDING UNDER
INSOLVENCY AND BANKRUPTCY CODE, 2016:

During the year under review, to our knowledge, there were no applications made or
proceedings pending in the name of the Company under the Insolvency Bankruptcy Code,
2016.

45. DETAILS OF DIFFERENCE BETWEEN VALUATION AMOUNT ON ONE TIME
SETTLEMENT AND VALUATION WHILE AVAILING LOAN FROM BANKS AND
FINANCIAL INSTITUTIONS:

During the year under review, there was no incident of one-time settlement of loans taken
from Banks and Financial Institutions. Hence, the disclosure under this heading is not
applicable to the Company.

46. ACKNOWLEDGEMENTS:

Your Directors wish to place on record their gratitude to the Companys Business Associates,
Trade Partners, Dealers, Customers, Shareholders, Vendors, Bankers, Technology Providers
and other Stakeholders all over India and Overseas for the continued support and
cooperation extended by them to the Company during the Year. Your Board also thanks the
Government of India, State Governments and other Government Authorities for their
continued support and encouragement to the Company and look forward to their support in
the future.

The Directors appreciate and value the contribution made by every member of the EQUIPPP
Family.

For and on behalf of Board of Directors of
EQUIPPP SOCIAL IMPACT TECHNOLOGIES LIMITED

Place: Hyderabad
Date: 05-09-2025

Sd/-

Vindhya Dronamraju
Whole Time Director
DIN: 03169319

Sd/-

Sreenivasa Chary
Kalmanoor
Executive Director
DIN: 09105972