Kavveri Telecom Products Ltd Directors Report

Your directors are pleased to present below the 29^th Annual Report along with the Consolidated and Standalone Audited Financial Statements for the financial year ended 31^st March, 2024.

FINANCIAL RESULTS

(Rs IN Lakhs):

Particulars (In Rs Lakhs)	Consolidated*		Standalone*
	FY24	FY23	FY24	FY23
Total Income	187.99	24,363.6 0	16.65	24,014.0 4
Profit before exceptional items and tax	(109.30)	3 ,237.31	(60.73)	3,305.24
Add/Less-Exceptional Items Income/(Expense)	25.00	87.74	25.00	87.74
Profit after exceptional items and before Tax	(134.30)	3 ,149.57	(85.73)	3 ,217.50
Less: provision for tax	-	-	(0.81)	-
Current tax	(0.81)	-	-	-
Tax adjustment relating to earlier years	-	0.81	-	0.81
Deferred tax (credit)/charge	-	-	-	-
Profit after Tax	(133.50)	3,148.76	(84.92)	3 ,216.70
Other comprehensive income for the year, net of tax	-	-	-	-
Total comprehensive income for the year	-	-	-	-
Add: balance brought forward from previous year	-	-	-	-
Total available for appropriation	-	-	-	-
Interim dividend	-	-	-	-
Dividend distribution tax	-	-	-	-
Share based compensation adjustment	-	-	-	-
Balance transferred to Balance Sheet	(133.50)	3 ,148.76	(84.92)	3 ,216.70

* The previous period figures have been regrouped and/or reclassified wherever necessary to confirm with the current period presentation in compliance with Ind AS requirement.

DIVIDEND AND RESERVES:

The Directors regret their inability to recommend dividend for the year under review due to insufficient profit.

The Company has transferred entire amounts of loss to reserves for the financial year ended March 31, 2024.

OPERATING RESULTS:

The financial performance highlights for the year ended March 31, 2024, are as follows:

On a Standalone basis, the Company has registered a net income stood at Rs. 16.55 Lakhs as compared to total revenue of Rs. 24,014.04 Lakhs of previous year (The company undergoes the OTS with the bank and all the financial liabilities are settled off. Hence total income appears to be high) and the Company has reported Loss after tax of Rs. 84.92 Lakhs during the Financial Year as compared to profit of Rs. 3,216.70 Lakhs in the previous Financial Year. The company undergoes the OTS with the bank and all the financial liabilities are settled off. Hence it appears that, the company earned the profit as per the Profit and Loss statement in the previous year.

On Consolidated basis, the Company has registered a net income stood at Rs. 187.99 Lakhs as compared to total revenue of Rs. 24,363.60 Lakhs of previous year (The company undergoes the OTS with the bank and all the financial liabilities are settled off. Hence total income appears to be high) and the Company has reported Loss after tax of Rs. 133.50 Lakhs during the Financial Year as compared to Profit of Rs. 3,148.76 Lakhs in the previous Financial Year 2022-23. The company undergoes the OTS with the bank and all the financial liabilities are settled off. Hence it appears that, the company earned the profit in the previous year as per the Profit and Loss statement.

COMPANYS PRODUCTS / SERVICES:

Kavveri Telecom Products Limited formerly Kaveri Telecoms Ltd. ("Kavveri was incorporated in 1996 and is engaged in the design, development and manufacture of RF products Antennas for Telecom, Defence and space Applications in India and abroad. Kavveri enjoys the stature of being one of the largest manufacturers of Antennas & R F Products in India. Kavveri also provides total Turnkey solutions for coverage and capacity enhancement requirements for Turnkey solution for coverage and capacity enhancement requirements for GSM and CDMA carriers in India.

Kavveri is one of the leading providers of intelligent indoor coverage solutions for the mobile communications industry. Kavveri is working directly with mobile carriers to innovative approaches that extend wireless coverage indoors while preserving network integrity. It provides repeater solutions seamlessly to bring the outdoor signal inside for medium and large sized enterprise facilities ensuring that cell phones and mobile devices work reliably indoors.

Its focus on quality products has also enabled Kavveri to become the favoured vendor for GSM and CDMA operators and OEMs across India. Kavveris esteemed clientele include industry giants such as Airtel, BSNL, Idea, ISRO, Nokia, Reliance Communications, Tata Teleservices, Vodafone to name a few. All the products that are manufactured by the company are designed and developed by the in-house Research & Development Centre of the Company.

Kavveris products are mainly used in Telecom, Defence and Space segments and it has been dominant in the Telecom Segment since inception. For the last over 2 decades, Kavveri has been designing and developing various Radio Frequency Products and Antennas for defence and space requirements. Kavveri continues to invest in the research and development of Telecom products and the diversification of offerings, and has one of the industrys leading portfolios in terms of performance and features. The proprietary design technology is a further differentiator for the companys products.

CHANGES IN SHARE CAPITAL:

There were no changes in the Share Capital of the Company during the financial year. CAPITAL STRUCTURE OF THE COMPANY:

The Authorized Share Capital of the Company as on date is Rs 25,00,00,000/- (Indian Rupees Twenty-Five Crores only) divided into 2,50,00,000 (Two Crore Fifty Lakhs only) Equity Shares of Rs 10/- (Indian Rupees Ten only) each.

The Issued, Subscribed and Paid-up Share Capital of the Company as on date is Rs 20,12,42,600/- (Indian Rupees Twenty Crore Twelve Lakhs Forty-Two Thousand Six Hundred only) divided into 2,01,24,260 (Two Crore One Lakh Twenty-Four Thousand Two Hundred Sixty only) Equity Shares of Rs 10/- (Rupees Ten only) each.

DISCLOSURE REGARDING ISSUE OF EQUITY SHARES WITH DIFFERENTIAL VOTING RIGHTS:

During the financial year under review, the Company has not issued Shares with Differential Voting Rights.

DISCLOSURE REGARDING ISSUE OF EMPLOYEE STOCK OPTIONS:

During the financial year under review, the Company has not issued Shares Employee Stock Options.

DISCLOSURE REGARDING ISSUE OF SWEAT EQUITY SHARES:

During the financial year under review, the Company has not issued Sweat Equity Shares. MATERIAL CHANGES AND COMMITMENTS:

There has been no material changes and commitments, affecting the financial performance of the Company which occurred between the end of the financial year of the Company to which the financial statements relate and the date of this Report.

MANAGEMENT DISCUSSION AND ANALYSIS:

The Management Discussion and Analysis (MD&A) Report is annexed to this report as "Annexure I" as required under Regulation 34 of SEBI (Listing Obligations and Disclosure Requirements (LODR)) Regulations, 2015 (Hereinafter referred as SEBI (LODR) Regulations 2015),

DIRECTORS AND KEY MANAGERIAL PERSONNEL:

Directors Retiring by Rotation

In accordance with the provisions of Section 152 of the Companies Act, 2013 and Articles of Association of the Company, Mr. Chennareddy Shivakumarreddy and Rajpeta Kasturi Hanumenthareddy, is due to retire by rotation at the forthcoming Annual General Meeting ("AGM") and, being eligible, offers himself/herself for re-appointment. The Board recommends his reappointment at the forthcoming AGM.

During the year under review, Mr. Abhishek Padmanabha Desai, Director resigned with effect from October 12, 2023. The Board placed on the record its appreciation for valuable contribution given by him during the tenure as Independent Director of the Company.

Mr. Gokul Rajendran, has been appointed as an Additional Independent Director with effect from June 21, 2024.

During the year under review, Ms. Ankita Chowdhary (Membership No. A36224) has been appointed as Company Secretary and Compliance Officer of the Company with effect from 6^th September 2023 and she has been resigned from the office of the Company Secretary and Compliance Officer of the Company with effect from 28^th March 2024. The Board placed on the record its appreciation for valuable contribution given by her during the tenure of Key Managerial Person in the Company.

Ms. Nandita Singh (Membership No. A59351) was appointed as Company Secretary and Compliance Officer of the Company with effect from June 10, 2024.

DECLARATION FROM INDEPENDENT DIRECTORS ON ANNUAL BASIS:

The Company has received declarations from all the Independent Directors of your Company confirming that they meet the criteria of Independence as mentioned under sub-section (6) of Section 149 of the Companies Act, 2013 and as per the SEBI (LODR) Regulations, 2015 and criteria of independence from the Management.

On October 22, 2019, the MCA had released the Companies (Accounts) Amendment Rules, 2019, the Companies (Appointment and Qualification of Directors) Fifth Amendment Rules, 2019 and the Companies (Creation and Maintenance of databank of Independent Directors) Rules, 2019. These rules have come into force on December 1, 2019 and your Company yet to comply with these requirements.

The Policy on Directors appointment and remuneration including criteria for determining qualifications, positive attributes, Independence of Director, and also remuneration for Key Managerial Personnel and other employees forms part of Corporate Governance Report of this Annual Report. The Independent Directors possess the requisite expertise and experience (including Proficiency) necessary for acting as Independent Directors of the Company.

DIRECTORS INTEREST:

During the year, the Company not entered contract/arrangement/ transaction with related parties which could be considered material in accordance with the policy of the Company on materiality of related party transactions.

The Policy on materiality of related party transactions and dealing with related party transactions as approved by the Board may be accessed on the Companys website.

Your Directors draw attention of the members to Note to the financial statement which sets out related party disclosures.

INVESTOR EDUCATION AND PROTECTION FUND (IEPF):

Pursuant to the applicable provisions of the Companies Act, 2013, read with the IEPF Authority Accounting, Audit, Transfer and Refund) Rules, 2016 ("the IEPF Rules"), all unpaid or unclaimed dividends are required to be transferred by the Company to the IEPF, established by the Government of India, after the completion of seven years. Further, according to the Rules, the shares on which dividend has not been paid or claimed by the shareholders for seven consecutive years or more shall also be transferred to the demat account of the IEPF Authority. During the year, the Company has not required to transfer any unclaimed and unpaid dividends to IEPF. Further, no shares were transferred as per the requirements of the IEPF rules.

DIRECTORS RESPONSIBILITY STATEMENT:

Based on the framework of internal financial controls and compliance systems established and maintained by the Company, work performed by the internal, statutory, cost and secretarial auditors and external consultant(s) including audit of internal financial controls over financial reporting by the Statutory Auditors and the reviews performed by Management and the relevant Board Committees, including the Audit Committee and Risk Management Committee, the Board is of the opinion that the Companys internal financial controls were adequate and effective during the FY24.

Accordingly, pursuant to the provisions of Section 134(3)(c) and Section 134(5) of the Companies Act, 2013, the Board of Directors, to the best of its knowledge and ability, report that:

• the applicable accounting standards have been followed in the preparation of the financial statements, along with proper explanations relating to material departures, if any;

• 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 as at March 31, 2024 and of the loss of the Company for the year ended on that date;

• 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 preventing and detecting fraud and other irregularities;

• they have prepared the annual accounts on a going concern basis;

• they have laid down internal financial controls to be followed by the Company and that such internal financial controls are adequate and were operating effectively; and

• they have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

DEPOSITS:

During the financial year, your Company has not invited/ accepted any Public Deposits pursuant to the provisions of Chapter V of the Companies Act, 2013.

SUBSIDIARIES, JOINT VENTURES AND ASSOCIATE COMPANIES:

The details of Subsidiaries are mentioned elsewhere in this Annual Report.

Pursuant to Ministry of Corporate Affairs Circular No. 2/2011 dated 08.02.2011, since the company is presenting consolidated financial statement of Holding and Subsidiary companies, the individual financial statements of the subsidiaries are not presented separately.

The consolidated financial statement has been prepared in strict compliance with applicable Accounting Standards and, where applicable, Requirements as prescribed by the Security and Exchange Board of India. The company do undertake that annual report that annual accounts of the subsidiary companies and the related detailed information shall be made available to shareholders of the holding and subsidiary companies seeking such information at any point of time. Annual accounts of the subsidiary companies are also kept for inspection by any shareholders in the head office (i.e., Registered Office) of the company and of the subsidiary companies.

The consolidated Financial figures for the Financial Year ending on 31st March 2024 are not comparable with the Financial figures for the Financial Year ending on 31st March 2023, as the Financial figures for the Financial Year ending on March 31, 2024 do not include the following subsidiaries.

01. Kavveri Telecom Infrastructure Limited

02. EAICOM India Private Limited

03. Kavveri Technologies Americans Inc.

04. New England Communications Systems Inc.

05. Quality Communications Systems Inc.

06. Spotwave Wireless Ltd.

07. Trackcon Systems International Inc.

as Kavveri Telecom Infrastructure Limited is undergoing Insolvency process under the provisions of the Insolvency and Bankruptcy Code, 2016 (the Code) in respect of Kavveri Telecom Infrastructure Limited, subsidiary of the Company and has appointed Interim Resolution Professional to carry out the functions as mentioned under the Code, and the functions of the Board of the subsidiary are suspended and the said company is under liquidation Under IBC 2016 and Spotwave Wireless Ltd is undergoing bankruptcy proceedings in Canada and other companies are non-operating companies currently, hence the same is not considered for the consolidated financials.

PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS:

The Company has not provided any loans and guarantees and no investment has been made during the Financial Year.

SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR TRIBUNALS:

During the financial year under review, there were no significant and material orders passed by the Regulators or Courts or T ribunals impacting the going concern status of the Company and its future operations.

CHANGE IN THE NATURE OF BUSINESS:

There were no changes in the nature of business of the Company during the financial year ended on 31^st March 2024.

EVALUATION OF THE BOARDS PERFORMANCE:

Pursuant to the provisions of the Companies Act, 2013 and SEBI (LODR) Regulations,

2015, the Board had adopted a formal mechanism for evaluating its performance and that of its Committees and Directors, including the Chairman of the Board. During the financial year, the evaluation exercise was carried out through a structured evaluation process covering various aspects of the functioning of the Board and Committees such as their composition, experience & competencies, performance of specific duties & obligations, governance issues etc. A separate exercise was carried out to evaluate the performance of each individual Director including the Boards Chairman who were evaluated on parameters such as contribution at the meetings, independent judgment, attendance and other relevant aspects. The Board was satisfied with the evaluation results, which reflected the overall engagement of the Board, Committees and the Directors of the Company.

Further, SEBI (LODR) (Amendment) Regulations, 2018 has changed the evaluation criteria of Independent Directors from April 1, 2019. As per the amendment, evaluation of Independent Directors by the entire Board shall include:

(a) Performance of Directors and

(b) Fulfilment of independence criteria as specified in SEBI (LODR) Regulations, 2015 and their independence from the Management.

CORPORATE GOVERNANCE:

Pursuant to Regulation 34 (3) read with Schedule V(C) of SEBI (LODR) Regulations, 2015, a report on Corporate Governance and the Certificate as required under Schedule V Part C (10) (i) of SEBI (LODR) Regulations, 2015 from CS Guruprasada Bhat, Practicing Company Secretary, regarding compliance of conditions of Corporate Governance is annexed as "Annexure II and Annexure III" which forms part of this report. Further, in compliance with the Listing Regulations, your Board has adhered to the Corporate Governance Code.

As required by SEBI (LODR) (Amendment) Regulations, 2018, Annual Secretarial Compliance Report issued by CS Guruprasada Bhat, Practicing Company Secretary for the financial year ended 31^st March 2024 is annexed as "Annexure IV" which forms part of this report.

COMPLIANCE WITH THE CODE OF CONDUCT:

A declaration signed by the Managing Director affirming compliance with the Companys Code of Conduct by your Directors and Senior Management of your Company, for the financial year under review, as required under SEBI (LODR) Regulations, 2015 is annexed as "Annexure V" and forms part of this report.

WHISTLE-BLOWER POLICY/VIGIL MECHANISM

The Board of Directors of the company are committed to maintain the highest standard of honesty, openness and accountability and recognize that employees have important role to play in achieving the goal. As a public company the integrity of the financial matters of the Company and the accuracy of financial information is paramount. The stakeholders of the Company and the financial markets rely on this information to make decisions. For these reasons, the Company must maintain workplace where it can retain and treat all complaints concerning questionable accounting practices, internal accounting controls or auditing matters or concerning the reporting of fraudulent financial information to our shareholders, the Government or the financial markets. The employees should be able to raise these free of any discrimination, retaliation or harassment. Pursuant to the policy, employees are encouraged to report questionable accounting practices to Mr. L R Venugopal, Chairman of Audit Committee through email or by correspondence through post.

FAMILIARISATION PROGRAMME FOR INDEPENDENT DIRECTORS

Pursuant to the Companies Act 2013 and Provisions of SEBI (LODR) Regulations 2015, the Company has formulated a programme for familiarising the Independent Directors with the company, their roles, rights, responsibilities in the company, nature of the industry in which the company operates, business model of the company etc... through various initiatives.

STATUTORY AUDITORS

The members of the Company in their 27^th Annual General Meeting (AGM) held on 30^th September 2022 appointed M/s. J K Chopra & Associates, Chartered Accountants, Bangalore (F.R.N 016071S), as Statutory Auditors of the Company for a term of 5 (five) years from the conclusion of 27^th Annual General Meeting till the conclusion of 32^nd Annual General Meeting.

AUDIT REPORT FOR 2023-2024

Statutory Auditors in their Standalone audit report qualified the following points.

Sl. Details of Audit No. Qualifications	Managements Representations on audit qualification
1. Material uncertainty related to Going Concern:	In respect of qualification 1 above, In the opinion of the management, resolution and revival of the Company is possible in foreseeable future. Rapid increase of competitors in the telecommunication business effects the operations of the company during the previous years. The management of the company is taking steps to improve the business in the year 2024-25 and will improve the operations in the coming years. Hence the companys management is of the opinion that the company is Going Concern only and the accounts have been prepared accordingly.
During the year the company has incurred a Net loss of Rs. 84.92 Lakhs resulting into accumulated losses of Rs. 9,108.30 Lakhs, which is after recording all the necessary entries based on the write back off of Deposits, Interest receivables and Trade receivables. There is significant decrease in revenue over the past few years. These conditions indicate the existence of a material uncertainty that may cast a significant doubt on the Companys ability to continue as going concern and therefore may be unable to realize its assets and discharge its liabilities in the normal course of business. The ultimate outcome of these matters is at present not ascertainable. Accordingly, we are unable to comment on the consequential impact, if any, on the accompanying standalone financial statements.	The management of the Company is in communication with such subsidiaries engaged in the other projects to recover the dues and cost incurred by the RsCompany and taking necessary steps to turnaround the loss-making subsidiary Companies. Considering the long-term nature of investments and in view of ongoing discussion, no provision has been considered necessary by the management in respect of impairment in the value of investment.
2. In relation to carrying value of investments held by the company in its subsidiaries, which have been incurring losses and in some of these companies, net worth was fully or substantially eroded. Taking into account the management internal assessment and initiatives to be implemented to improve the profitability in the medium to long term, the management of the company is of the view that carrying value of investments are realizable at the value stated in the books. In the absence of fair valuation of these investments, we are unable to comment upon the carrying value and thus, we are unable Pto comment whether any provision for impairment in the value of investments is required.	Company is in the process of arrive at the reinstated forex values. The same shall be taken care in the current financial year.
3. "The company has not reinstated the forex balances in respect receivables and payables including the related parties balances which is not in conformity with Indian Accounting Standards 21, we are unable to comment the possible effects on the financial statements as the company does not have the details of the forex receivables and payables, further there are no balance confirmations available.

Statutory Auditors in their consolidated audit report qualified the following points.

Sl. No. Details of Audit Qualifications	Managements Representations on audit qualification
1. In the consolidated financial statements, the financial statements/ financial information of the following subsidiaries are not included for the Year ended 31st March, 2024.	In respect of qualification above, the opinion of the Management is as follows:
	Kavveri Telecom Infrastructure Limited is undergoing Insolvency process Under IBC 2016 and Spotwave Wireless Ltd is undergoing bankruptcy proceedings in Canada and other companies are non- operating companies currently, hence the same is not considered for the consolidated financials.
a. Kavveri Telecom Infrastructure Limited
b. EAICOM India Private Limited
c. Kavveri T echnologies Americans Inc.
d. New England Communications Systems Inc.
_ e. Quality Communications Systems Inc.
f. Spotwave Wireless Ltd.
g. Trackcon Systems International Inc.
As the results/ financial information of the above mentioned subsidiaries are not considered in consolidation for the year ended 31.03.2024, the current year figures are not comparable to previous year.
2. In respect of preparation of financial statements of "the group" on going concern basis, during the Year ended, "the group" has incurred a Net loss of Rs. 133.50 Lakhs resulting into accumulated losses of Rs. 9,224.81 Lakhs. "The group" has obligations towards fund-based borrowings and significant decrease in revenue over the years. These conditions indicate the existence of a material uncertainty that may cast significant doubt on "the groups" ability to continue as going concern and "the group" may be unable to realize its assets and discharge its liabilities in the normal course of business. The ultimate outcome of these matters is at present not ascertainable. Accordingly, we are unable to comment on the consequential impact, if any, on the accompanying consolidated financial statements.	In respect of qualification above, In the opinion of the management, resolution and revival of the Company is possible in foreseeable future. Rapid increase of competitors in the telecommunication business effects the operations of the company during the previous years. The management of the company is taking steps to improve the business in the year 2024-25 and will improve the operations in the coming years. Hence the companys management is of the opinion that the company is Going Concern only and the accounts have been prepared accordingly.
3. Material uncertainty related to Going Concern: During the year the company has incurred a Net loss of Rs. 84.92 Lakhs resulting into accumulated losses of Rs. 9,108.30 PLakhs, which is after recording all the necessary entries based on the write back off of Deposits, Interest "receivables and Trade receivables. There is significant decrease in revenue over the past few years. These conditions indicate the existence of a material uncertainty that may cast a significant doubt on the Companys ability to continue as going concern and therefore may be unable to realize its assets and discharge its liabilities in the normal course of business. The ultimate outcome of these matters is at present not ascertainable. Accordingly, we are unable to comment on the consequential impact, if any, on the accompanying standalone financial statements.	In respect of qualification above, In the opinion of the management, resolution and revival of the Company is possible in foreseeable future. Rapid increase of competitors in the telecommunication business effects the operations of the " company during the previous years. The management of the company is taking steps to improve the business in the year 2024-25 and will improve the operations in the coming years. Hence the companys management is of the opinion that the company is Going Concern only and the accounts have been prepared accordingly.
4. In relation to carrying value of investments held by the company in its subsidiaries, which have been incurring losses and in some of these companies, net worth was fully or substantially eroded. T aking into account the management internal assessment and initiatives to be implemented to improve the profitability in the medium to long term, the management of the company is of the view that carrying value of investments are realizable at the value stated in the books. In the absence of fair valuation of these investments, we are unable to comment upon the carrying value and thus, we are unable to comment whether any provision for impairment in the value of investments is required.	The management of the Company is in communication with such subsidiaries engaged in the other projects to recover the dues and cost incurred by the Company and taking necessary steps to turnaround the loss-making subsidiary Companies. Considering the long-term nature of investments and in view of ongoing discussion, no provision has been considered necessary by the management in respect of impairment in the value of investment. Further, depending upon the future the management of the company shall take the necessary modifications if required.

REPORTING OF FRAUDS

There was no instance of fraud during the financial year under review, which required the Statutory Auditors to report to the Audit Committee and / or the Board, as required under Section 143(12) of the Act and Rules framed thereunder.

SECRETARIAL AUDIT

Pursuant to the provisions of Section 204 of the Companies Act, 2013 and the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Secretarial Audit Report is obtained by the company and forms part of this Annual report.

Disclosures pursuant to The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014

1. The Disclosures pursuant to sub-rule (1) of Rule 5 of The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are forms part of the Boards Report.

2. The Disclosures pursuant to sub-rule (2) of Rule 5 of The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, in respect of employees of the Company forms part of the Boards Report.

COST AUDIT

Cost Audit is not applicable as your industry is not within the purview of cost audit. INTERNAL FINANCIAL CONTROL

The Company has in place with adequate internal financial controls with reference to financial statements. Periodic audits are undertaken on a continuous basis covering all the operations i.e., manufacturing, sales & distribution, marketing, finance, etc. Reports of internal audits are reviewed by management from time to time and desired actions are initiated to strengthen the control and effectiveness of the system.

PARTICULARS OF DISCLOSURES AS REQUIRED UNDER SECTION 197 OF THE COMPANIES ACT, 2013

The Board has, on the recommendation of the Nomination & Remuneration Committee framed a policy for selection and appointment of Directors, Senior Management and their remuneration. The details pertaining to criteria for determining qualifications, positive attributes and independence of a Director and remuneration policy have been provided in Section of the attached Corporate Governance Report.

DISCLOSURE UNDER THE SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013

The Company has in place an Anti-Sexual Harassment Policy in line with the requirements of Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act 2013. An Internal committee has been set up to redress the complaints received regarding sexual harassment at workplace. All employees including trainees are covered under this policy.

CORPORATE SOCIAL RESPONSIBILITY (CSR)

The Company has formulated CSR Policy pursuant to the provisions of Section 135 of the Companies Act, 2013. The Company has constituted a Corporate Social Responsibility (CSR) Committee comprising of the following Members:

1. Mr. Lakshmipuram Rajagopalachar Venugopal - Chairman

2. Mr. Shankarnarayan Srikantiah Bangalore - Member

3. Mr. Chennareddy Shivkumarreddy - Member

PERSONNEL / INDUSTRIAL RELATIONS

The relationship between the management and the staff was very cordial throughout the year under review. Your directors take this opportunity to record their appreciation for the cooperation and loyal services rendered by the employees.

RISK MANAGEMENT

The Risk Management Committee which has been entrusted with the responsibility to assist the Board in (a) Overseeing and approving the Companys enterprise wide risk management framework; and (b) Overseeing that all the risks that the organization faces such as strategic, financial, credit, market, liquidity, security, property, IT, legal, regulatory, reputational and other risks have been identified and assessed and there is an adequate risk management infrastructure in place capable of addressing those risks. A Group Risk Management Policy was reviewed and approved by the Committee.

The Company managers, monitors and reports on the principal risks and uncertainties that can impact its ability to achieve its strategic objectives. The Companys management systems, organisational structures, processes, standards, code of conduct and behaviors together form the Reliance Management System (RMS) that governs how the Group conducts the business of the Company and manages associated risks.

The Company has introduced several improvements to Integrated Enterprise Risk Management, Internal Controls Management and Assurance Frameworks and processes to drive a common integrated view of risks, optimal risk mitigation responses and efficient management of internal control and assurance activities. This integration is enabled by all three being fully aligned across Group wide Risk Management, Internal Control and Internal Audit methodologies and processes.

NUMBER OF BOARD MEETINGS

The Board of Directors met 6 (Six) times during the financial year 2023-24. The details of the Board meetings and the attendance of the Directors are provided in the Corporate Governance Report.

The Agenda of the Meeting is circulated to the Directors in advance. Minutes of the Meetings of the Board of Directors are circulated amongst the Members of the Board for their perusal and approval.

COMMITTEES OF BOARD OF DIRECTORS

Details of memberships and attendance of various Committee Meetings of the Company are given in the Corporate Governance Report.

COMPLIANCE WITH THE APPLICABLE SECRETARIAL STANDARDS

The Company has complied with Secretarial Standards issued by the Institute of Company Secretaries of India on Board Meetings and Annual General Meetings.

DISCLOSURE ON ONGOING PRIVATE PLACEMENT AND PREFERENTIAL ISSUE OF CONVERTIBLE WARRANTS OF THE COMPANY

As you all aware your company is undertaking the issue of 4,00,00,000 Convertible warrants on Private Placement and Preferential issue. The said issue has been approved by the shareholders of the company in the Extra-Ordinary General Meeting held on 5^th July 2024. Unfortunately, the details of pre and post shareholding were not correctly represented in the Notice calling Extra-Ordinary General Meeting since the Board was not aware of some pre preferential holdings by Mr. Kumar and Mr. Shrikanth Krishnamachary who holds 100 and 2550 shares prior to the relevant date respectively. The said mis representation was unintentional and without mens ria.

Further, the Board took the appropriate action to initiate the lock-in for the pre preferential holdings, held by the above said allottees and intimated the same to stock exchange for receipt of in-principle approval for the said issue. The National Stock Exchange (NSE) advised to overcome the lapse by mentioning the correct details in the Boards report and to take the shareholders consent in the upcoming General Meeting.

As per the instruction and advise from the NSE, disclosing the appropriate details of pre and post shareholdings of the proposed allottees. Following are the pre and post shareholding details of proposed allottees in the said private placement and preferential offer.

Sr N o. Name of the Allottee	Category of the allottee as per Regulation 31(1) of SEBI (LODR) Regulations, 2015	PAN of the Allottee	Pre- Preferential Holding		No. of Equity share s to be allotted	Post- Preferential Holding
			No. of Shares	% of Holding		No. of Shares	% of Holding
1 Uma Reddy C	Promoter	AEMPC49 63Q	17,50, 100	8.70	27500 00	45001 00	7.48
2 C Rohit Reddy	Promoter Group	ATOPC45 55B	0.00	0.00	22500 00	22500 00	3.74
3 C Mokshith Reddy	Promoter Group	BBYPC91 36P	0.00	0.00	22500 00	22500 00	3.74
4 C Sanketh Ram Reddy	Promoter Group	BGVPC52 07K	0.00	0.00	22500 00	22500 00	3.74
5 Ruma Reddy Chenna Reddy	Promoter Group	DEHPC40 41D	0.00	0.00	22200 00	22200 00	3.69
6 Shrikanth Krishnamach ary	Non- Promoter/Individual	AQMPK0 038L	2,550	0.01	1,90,0 00	19255 0	0.32
7 Manjunath Reddy P	Non- Promoter/Individual	BNNPR23 85E	0.00	0.00	25,000	25000	0.04
8 Kumar	Non- Promoter/Individual	BPFPK97 94E	100	0.00	25,000	25100	0.04
9 Vincent Anthonidas	Non- Promoter/Individual	ARRPA42 15H	89	0.00	10,000	10089	0.02
1 0 Raju K	Non- Promoter/Individual	BGQPR30 68G	0.00	0.00	10,000	10000	0.02
1 1 Kempe Gowda H	Non- Promoter/Individual	AWAPM5 258J	0.00	0.00	10,000	10000	0.02
1 2 Shrinivas	Non- Promoter/Individual	FYDPS77 84D	0.00	0.00	10,000	10000	0.02
1 3 Manish V Lakhani	Non- Promoter/Individual	AABPL03 57N	0.00	0.00	2,00,0 00	20000 0	0.33
1 4 Shila M Lakhani	Non- Promoter/Individual	ABCPL82 64A	0.00	0.00	2,00,0 00	20000 0	0.33
1 5 Shrey M Lakhani	Non- Promoter/Individual	AJCPL191 7C	0.00	0.00	2,00,0 00	20000 0	0.33
1 6 ChandrkantV Lakhani	Non- Promoter/Individual	AAFPC32 52K	0.00	0.00	2,00,0 00	20000 0	0.33
1 7 Ketan A Shah	Non- Promoter/Individual	AKPPS23 59P	0.00	0.00	2,00,0 00	20000 0	0.33
1 8 Jigar A Shah	Non- Promoter/Individual	AKPPS23 61H	0.00	0.00	2,00,0 00	20000 0	0.33
1 9 Kishor Vora	Non- Promoter/Individual	AAIPV10 27A	0.00	0.00	2,00,0 00	20000 0	0.33
2 0 Yash M Joshi	Non- Promoter/Individual	AYRPJ08 02E	0.00	0.00	2,00,0 00	20000 0	0.33
2 1 Madhukant J Joshi	Non- Promoter/Individual	AZGPJ232 4M	0.00	0.00	2,00,0 00	20000 0	0.33
2 2 Nisarg P Shah	Non- Promoter/Individual	CONPS42 34M	0.00	0.00	2,00,0 00	20000 0	0.33
2 3 Ratilal J Pitroda	Non- Promoter/Individual	AIJPP556 3C	0.00	0.00	2,00,0 00	20000 0	0.33
2 4 Ratilal J Pitroda HUF	Non- Promoter/HU F	AAFHR55 60P	0.00	0.00	2,00,0 00	20000 0	0.33
2 5 Jaisukh H Shah	Non- Promoter/Individual	ELAPS52 59G	0.00	0.00	2,00,0 00	20000 0	0.33
2 6 Sapna Chiranjeev Pardasani	Non- Promoter/Individual	APMPP55 15J	0.00	0.00	25,00, 000	25000 00	4.16
2 7 Chiranjeev Pardasani	Non- Promoter/Individual	AGFPP84 69F	1,60,6 63	0.79	25,00, 000	26,60, 663	4.43
2 8 Manish Modi	Non- Promoter/Individual	AFKPM22 11E	0.00	0.00	6,00,0 00	60000 0	1.00
2 9 Ami Modi	Non- Promoter/Individual	AHHPS92 79F	0.00	0.00	6,00,0 00	60000 0	1.00
3 0 Mahendra Modi	Non- Promoter/Individual	AIXPM99 60E	0.00	0.00	6,00,0 00	60000 0	1.00
3 1 Niketa Modi	Non- Promoter/Individual	ADIPM80 08R	0.00	0.00	6,00,0 00	60000 0	1.00
3 2 Ronish U Shah	Non- Promoter/Individual	AZFPS58 00G	0.00	0.00	15,00, 000	15000 00	2.49
3 3 Upendrakum ar Narottamdas Shah	Non- Promoter/Individual	AADPS45 93D	0.00	0.00	15,00, 000	15000 00	2.49
3 4 Upendrakum ar Narottamdas Shah HUF	Non- Promoter/HU F	AAAHU9 790H	0.00	0.00	15,00, 000	15000 00	2.49
3 5 Ronish U Sha h HUF	Non- Promoter/HU F	AAPHR80 18C	0.00	0.00	15,00, 000	15000 00	2.49
3 6 Tej Doshi	Non- Promoter/Individual	CDGPT56 17P	0.00	0.00	20,00, 000	20000 00	3.33
3 7 Hetal Shashank Doshi	Non- Promoter/Individual	AGTPD90 11D	0.00	0.00	20,00, 000	20000 00	3.33
3 8 Shashank Pravinchandr a Doshi	Non- Promoter/Individual	AEFPD10 89R	0.00	0.00	20,00, 000	20000 00	3.33
3 9 Amrutlal G Thobhani	Non- Promoter/Individual	ABDPT00 50D	0.00	0.00	20,00, 000	20000 00	3.33
4 0 Thobhani Vershaben J	Non- Promoter/Individual	ADSPT98 49F	0.00	0.00	20,00, 000	20000 00	3.33
4 1 Jignesh Amrutlal Thobhani	Non- Promoter/Individual	ABSPT63 98K	0.00	0.00	20,00, 000	20000 00	3.33

Further, we request the shareholders of the company take note of the above submission and give the consent.

ACKNOWLEDGEMENTS

Your Directors place on record their appreciation for the support and assistance received from customers, investors, business associates, bankers, vendors, regulatory and governmental authorities. Your Directors also wish to place on record their gratitude to the shareholders for their continued trust, confidence and express its sincere appreciation to all employees for their teamwork and contributions during the financial year.