PKF Finance Ltd · 2019. 9. 3. · Corporate Office : 'Balbir Tower', PKF-Namdev Chowk, G. T. Road, Jalandhar-144001. Ph. : 2238611-15 E-mail : [email protected] Website : Statutory

PKF

Corporate Information

Board of Directors

Director's Report

Annexures to Director's Report

Financial Highlights

Performance Highlights

Auditor's Report

Balance Sheet

Profit & Loss Account

Cash Flow Statement

Notes to Financial Statement

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3

5

14

27

28

29

35

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2018-19

CONTENTS

ANNUAL REPORT

Registered Office : 317, New Jawahar Nagar, Jalandhar-144001.

Corporate Office : 'Balbir Tower', PKF-Namdev Chowk, G. T. Road, Jalandhar-144001.

Ph. : 2238611-15

E-mail : [email protected]

Website : www.pkffinance.com

Statutory Auditors : Dass & Co., Chartered Accountants, Civil Lines, Jalandhar.

Branch Auditors : Daver Sikri & Co., Chartered Accountants, New Delhi.

Internal Auditors : V. P. Vijh & Co., Chartered Accountants, K. K. Towers, Jalandhar.

Principal Bankers : Punjab National Bank

Jalandhar Branch-I : 19, G. T. Road. Ph. : 2225058, 2223114

Jalandhar Branch-II : Ground Floor, Balbir Tower, G. T. Road. Ph. : (0181) 2238611

Delhi : 'Anupam Bhawan', Azadpur Complex, G. T. Karnal Road. Ph. : (011) 27682986-88

Nawanshahr : 'Rai Market', Chandigarh Road. Ph. : (01823) 223513

Kapurthala : DC Chowk (adj. to Kinetic Showroom), Jalandhar Road. Ph. : (01822) 237639

Moga : 'Basant Bhawan', Ferozepur Road. Ph. : (01636) 233188

Batala : SCO-53, Dharam Singh Market. Ph. : (01871) 502311

Ludhiana : Samrala-Cheema Chowk, Link Road. Ph. : (0161) 4622213

Bathinda : SCF-70, First Floor, Model Town Market, Phase-I. Ph. : (0164) 5012324

Patiala : Shop No. 8, Khalsa School Market. Ph. : (0175) 5002528

Mohali : SCF 80, Phase-6. Ph. : (0172)5094050

Bilaspur : 21D & 22D, Diana, Sector-8, NH 21. Ph. : (01978) 221599

Gurugram : Nr. Atul Kataria Chowk. Ph : (0124) 4057737

Sirsa : Opp. Activa Showroom, Dabwali Road. Ph : 97792-31266

(0181)

CORPORATE INFORMATION

BRANCHES

2

BOARD OF DIRECTORS

Managing Director :

1. Mr. Alok Sondhi

Managing Director

Director : Reliable Agro Engg. Services Pvt. Ltd.

: Punjab Reliable Investments Pvt. Ltd.

: PKF Securities Pvt. Ltd.

: Jullundur Motor Agency (Delhi) Ltd.

: Growth Properties Pvt. Ltd.

Executive Member : Finance Industry Development Council (FIDC)

: Federation of Indian Hire Purchase Association (FIHPA)

Managing Trustee : Rai Salig Ram Sondhi Charitable Hospital (Estd. 1903), Jalandhar.

Secretary General : Punjab & Haryana Finance Co.'s Association

General Secretary : Kanya Maha Vidyalaya, Jalandhar.

: Doaba College, Jalandhar.

: Dev Raj Girls Sr. Sec. School, Jalandhar.

: Jalandhar Model School, Jalandhar.

: Sanskriti KMV School, Jalandhar.

Executive Member : Manav Sehyog Society

Joint Managing Director :

2. Mr. Vivek Sondhi

Joint Managing Director : Punjab Kashmir Finance Ltd.

Director : Reliable Agro Engg. Services Pvt. Ltd.




Managing Trustee : Savitri Loomba Charitable Trust

: B.R.R.M. Sondhi Family Charitable Trust

Executive Member : Arya Shiksha Mandal (Handling two colleges & three schools)

: Punjab & Haryana Finance Co's Association

3. Mr. Ashim Sondhi

Director : Punjab Kashmir Finance Ltd.

: Reliable Agro Engg. Services Pvt. Ltd.



: Punjab Kashmir Finance Ltd.

WHOLE TIME DIRECTOR :

3

DIRECTORS :

4. Mrs. Raj Mohini Sondhi

Chairperson : Punjab Kashmir Finance Ltd.


Director : Punjab Reliable Investments Pvt. Ltd.



President : Inner Wheel Club of Jalandhar (1980-81)

Chief Advisor : All India Women Conference, Jalandhar.

Trustee : B.R.R.M. Sondhi Family Charitable Trust

: Rai Salig Ram Sondhi Charitable Hospital

Executive Member : Arya Samaj, Model Town, Jalandhar

: Lajwanti Manchanda Charitable Hospital

: Shri Guru Virjanand Samark Samiti, Kartarpur

: Arya Siksha Mandal

5. Mr. Jagjit Singh Ghuman

: Chief Town Planner and Head of T & CP Department, Govt. of Punjab (Retd.)

: Past President, Institute of Town Planners of India (1990-91)

: Life Member of Indian National Trust for Art & Cultural Heritage

: Members Chandigarh Admn. Advisory Council (1995-1997)

: Professor of Physical Planning, GNDU, Amritsar (1992 - 1995)

INDEPENDENT DIRECTORS :

6. Mr. Chetan Kumar Kalia



7. Mr. Baljit Singh Virk


: Reliable Agro Engg. Services Private Limited

Member : Jalandhar Co-operative Cold Storage, Jalandhar

4

market conditions, Company has become selective to lend

only to clients with good back ground. A lot of stress is being

laid on recovery of Bad Debts and NPAs so as to maximize

Profitability.

I) RESOURCES:

1) Deposits: Your Company is registered with Reserve Bank

of India as a Category 'A' Deposit accepting Asset Finance

Company. Your Company enjoys immense goodwill amongst

its customer and has one of the best Deposit renewal ratio in

the industry.stTotal Deposits held by the Company as on 31 March'19 stood

at Rs. 25 crores 69 lacs as compared to Rs. 27 crores 25 lacs a

year before.

A. OPERATIONS:

Your Company has recorded growth in Profitability over the

previous year despite the slow down in the Economy in the

later half of financial year 2018-19 and in a highly competitive

financial services sector.

Company opened two new Branches in Haryana in 2018 at

Sirsa and Gurgaon which will help in business growth in

future.

Tight liquidity conditions due to many Banks and Financial

Institutions facing high defaults has affected the on-lending to

Industry, Finance as well as the Transport Sector and economy

on the whole.

Your Company has no dearth of funds to lend, however,

considering the prevailing Economic slow down and sluggish

5

26th Director's Report

(figures in Lacs of `)

Total Income

Expenditure Interest

Employee Cost

Administration Cost

Bad Debts and NPA Provision

TOTAL

Profit before Depreciation

Depreciation

Profit before Tax (PBT)

Less : Provision for Income Tax

Profit After Tax (PAT)

Add Profit Brought Forward

Amount available for appropriation

Appropriation Statutory Reserve

General Reserve

Dividend

Dividend Distribution Tax

TOTAL

Surplus carried forward to the Balance Sheet

1

2

3

4

5

6

7

8

9

10

11

S.No. Particulars

1548

688

316

154

155

1313

235

27

208

58

150

105

255

31

20

79

16

146

109

1355

577

291

143

124

1135

220

21

199

63

136

113

249

27

20

81

16

144

105

2018-192017-182016-17

1243

514

232

132

112

990

253

22

231

77

154

40

194

31

50

-

-

81

113

Dear Shareholders,

The Board of Directors have the pleasure in presenting the Twenty Sixth Annual Report of the Company alongwith

Audited Accounts for the financial year ended 31st March'19.

6

2) Debentures: Your Company has diversified funding

sources and has accepted fully secured non-convertible

Debentures through private placement to the tune of Rs. 23

crores 94 lacs during the financial year 2018-19 against Rs. 19

crores 88 lacs a year before.

3) Bank Finance : Your Company has a Cash Credit Limit of

Rs. 10 crores from Punjab National Bank.

4) Credit Rating : India's top credit rating agency 'CRISIL' has

re-affirmed Company's Fixed Deposits rating as 'FA'- stable and

'BBB'-adequate safety rating for Bank Borrowings for the

current year.

II) INVESTMENTS:

During the financial year 2018-19, Company disbursed an

amount of Rs. 45 crores 21 lacs as against Rs. 46 crores 99 lacs a

year before and the asset under management stood at Rs. 95 stcrores 69 lacs as on 31 March'19 as compared to Rs. 90 crores

14 lacs a year earlier. Company has done quite well by

increasing Investment Portfolio by 6%.

Your company extends finance for all kinds of new & used

moveable Assets which help in Nation's Economic Growth &

Employment Generation. Commercial Vehicles constitute the

majority of the Investment portfolio alongwith Construction

Equipment, Industrial Machinery, Gen-sets, Medical

Equipment, AC plants, Lifts and all kinds of movable Assets

used for Commercial purpose.

III) REALIZATION:

Transport sector is facing a tough time with freight rates

having come down due to lack of Goods available on one hand

and cost of operations having gone up on the other hand

mainly due to increase in Diesel cost. Delay in repayment of

installments by the borrowers has resulted in the increase of

outstandings and Non-performing Assets.

Reducing NPAs is the top priority of the Company and

consistent efforts are being made to pursue realisation of NPAs

and recovery of Bad Debts written off.

IV) PROFITABILITY:

By improving return on the Investments and increasing

operational efficiency Company has managed to enhance

Profitability by 10%. Net profit of the company increased from stRs. 1 crore 36 lacs a year before to Rs. 1 crore 50 Lacs as on 31

March'19.

We are confident of improving our profitability by bringing

down NPAs, expediting recovery of old Bad Debts besides

reducing cost of Operations as well as ensuing Business

Growth.

V) NET WORTH:

1) Reserves of your Company have gone up by 5% from Rs. 11

crore 24 lacs a year before to Rs. 11 crore 79 lacs as on 31st

March'19. During the year, an amount of Rs. 31 lacs has been

transferred to Statutory Reserve as per section 45 (IC) of the

Reserve Bank of India.

Receivables (5 Years)

Am

ou

nt

in L

acs

(`)

14000

12000

10000

8000

7000

6000

5000

4000

3000

2000

201920182016 201720150

(As on March 31st)

76737967

1155712206

9824

Deposits & Debentures (5Years)

Am

ou

nt

in L

acs

()`

5500

5000

4500

4000

3500

3000

2500

2000

1500

1000

0

(As on March 31st)2018 201920172015

3464

4015

2016

4048

5461

5065

7

2) Net Owned Funds of your company stand at Rs. 20 crore

13 lacs as on 31st March'19 against Rs. 19 crore 58 lacs a year

before.

3) Book Value of Company's Equity Share of Rs. 10 has grown stto Rs. 33.58 paise as on 31 March'19 against Rs. 32.50 paise

a year before.

4) Capital Adequacy Ratio (CRAR) stands at 21.55 % on the

year-end against the statutory requirement of 15%, reflecting

a robust and sound financial health of your company.

VI) MANAGEMENT DISCUSSION AND ANALYSIS

ECONOMIC OVERVIEW:

Global Economy: After strong growth in 2017 and early 2018,

global economic activity slowed notably in the second half of

last year, reflecting a confluence of factors affecting major

economies. China's growth declined following trade tensions

with the United States. The euro area economy lost more

momentum than expected as consumer and business

confidence weakened.

External demand, especially from emerging Asia, softened.

Elsewhere, natural disasters hurt activity in Japan. Trade

tensions increasingly took a toll on business confidence and,

so, financial market sentiment worsened, with financial

conditions tightening for vulnerable emerging markets as well

as advanced economies weighing on global demand.

Global growth, which peaked at close to 4 percent in 2017,

softened to 3.6 percent in 2018, and is projected to decline

further to 3.3 percent in 2019.

As per Global ranking based on International Monetary Fund

(IMF), India has overtaken United Kingdom to become the

fifth largest Economy of the World in 2019. Ranking of top ten

countries in nominal terms is : United States at No. 1 followed

by China, Japan, Germany, India, France, United Kingdom,

Italy, Brazil and Canada.

Indian Economy: In 2018-19 fiscal, Indian economy is

estimated to have grown 6.9%, lower than 7.2% in 2017-18.

Drags from the Demonetisation and the introduction of the

goods and services tax still lingers on fade, Indian economy

has taken a down turn since second half of the last fiscal and is

projected to grow at 6.8% in the current fiscal 2019-20 and

7.2% in 2020, remains to be the fastest growing major

economy of the world.

Inspite of the slow down, India is the fastest-growing trillion-

dollar economy in the world and the fifth-largest with a

nominal GDP of $2.61 trillion as per the IMF report. The

country ranks third when GDP is compared in terms of

purchasing power parity at $9.45 trillion. When it comes to

calculating GDP per capita, India's high population drags its

nominal GDP per capita down to $1,982 and is ranked 141 in

the World. The Indian economy in 1980, ranked 13th on the

list globally has now become fifth biggest Economy in the

World in 2019.

India's post-independence journey began as an agrarian

nation, however, over the years the manufacturing and

services sector has emerged strongly. Today, its service sector

is the fastest-growing sector in the world, contributing to more

than 60% to its economy and accounting for 28% of

employment. Manufacturing remains as one of its crucial

sectors. Contribution of its agricultural sector has declined to

around 17%.

The economy's strength lies on Exports, high saving rate,

favorable demographics, and a rising middle class.

Indian economy remains vulnerable to domestic and

geopolitical risks, monsoons play a big role in bringing

economic growth changes that can affect relative prices and

hurt current and fiscal account deficit. While expectations of

inflationary pressures remain benign, concerns have risen on

Reserves Capital Net Worth

(As on March 31st)

2000

1800

1500

1200

900

600

300

02015 2016 201920182017

671

931

1288

1765

616

834

Reserves & Net Worth (5 Years)

`

10851124 1178

1919 1959 2013

834 834 834

Am

ou

nt

in L

acs

()`

8

the twin deficit problem—current account deficit and fiscal

deficit—especially as portfolio investments remain subdued

while trade deficit stays high. While fiscal expansion remains

key to accelerating growth, it may weigh on government

coffers if private investment loses steam.

Indian rupee is prevailing at Rs.70/- against Rs. 67/- a year

ago, It had touched a record low of Rs. 74/- to a US dollar

during the year under review.

Sensex prevails around 37,000 after touching 39,200 in

April'19, it was prevailing around 35,000 a year back in

May'18.

Foreign Exchange Reserves of India stand at US $ 420

billion as against US $ 426 billion a year back.

Parliamentary elections are going on in the World's largest thDemocracy. First phase of Voting took place on 11 April'19

th thwith 7 & last phase of polling scheduled on 19 May'19 with rdthe Results scheduled to be announced on 23 May'19.

Let's hope India gets a stable Government at the centre which

brings in the much needed structural changes to realise the

dream of India becoming a developed economy in the next

decade.

VII) AUTOMOBILE INDUSTRY AND ROAD TRANSPORT

SECTOR:

The Automobile industry produced a total 3 cr 9 lacs vehicles

including passenger vehicles, commercial vehicles, three

wheelers, two wheelers and quadricycle in April-March 2019

as against 2 cr 91 lacs a year before registering a growth of 6 %

over the same period last year.

The overall Commercial Vehicles segment registered a growth

of 17.55 percent in April- March 2019 as compared to the same

period last year. Medium & Heavy Commercial Vehicles

(M&HCVs) increased by 14.66 percent and Light Commercial

Vehicles grew by 19.46 percent in April-March 2019 over the

same period last year.

Transport sector in India has developed to a great extent but it

still faces some problems. The growing population and traffic

in India always adds to the need of constructing more roads.

Heavy Goods hauling by large vehicles have also been an issue

in maintenance of roads and the need for quality roads. The

road length of India 75.01 km per 100 sq km area is very low

compared to 294.6 km of Japan, 131.2km of Austria, 451.8 km

of Belgium, 147.2 km of France and many more developed

countries.

About 20 percent of National Highways need to be widened

from single to double lanes and 70 percent of two lane roads

need to be converted into Expressways. The main challenge in

road sector is to prepare all weather good quality roads

connecting each village with State or National Highways. The

roads in village areas need to be strengthened for carrying

large volumes of agricultural products to the city areas. And all

these need more funds allocation to the development and

maintenance schemes.

Road Transport Sector is going through major changes.

Weight carrying capacity of the Commercial Vehicles has been

increased both for New as well as Used ones. Stringent

emission norms are being set for future. B-IV emission norms

are proposed to be made mandatory for all vehicles sold w.e.f. st1 April'20. European Union (EU), China, India continue to

increase fuel economy and vehicle emission standards.

Meanwhile, reflecting the fiscal realities of incentives

programs, policies regarding electric vehicle across major

consuming regions are undergoing a re-evaluation as

policymakers attempt to strike a balance between government

support and the competitiveness of electric vehicles.

VIII) NBFC SECTOR AND REGULATORY FRAME WORK:

NBFC sector in India has undergone a significant

transformation over the past few years and has come to be

recognised as systemically important component of the

financial system and it is growing quite consistently year-on-

year. NBFCs are playing a critical role for the development of

core infrastructure, transport, employment generation,

wealth creation, economic development, to finance

economically weaker sections and considerable contribution

to the state exchequer.

NBFC sector continues to remain at the forefront in driving

new credit disbursals for the country's underserved retail and

9

MSME market. Despite recording robust growth, the NBFC

market share has been dominated by large players, while

many small players have struggled to scale up operations

profitably.

Moreover, recently, the sector has taken a beating in the stock

market with defaults and liquidity challenges, specifically

related to two large NBFCs. Although the problem seems

isolated, it has concerned regulators due to the risk of

contagion effect and the overall governance in the sector.

Given the sector is fairly large now to impact the overall

economy, this certainly entails some potential implications,

including new compliance measures by the regulator, lending

slowdown and potential consolidation by larger players.

Your company is registered with Reserve Bank of India as a

category 'A' Asset Finance Company (NBFC) and adheres to all

prudential norms of RBI and other regulatory bodies.

It is hoped that high NPAs of the banks would make the

Government & RBI to take ground realities of the Indian

Economy into account and take suitable measures by bringing

in the much needed changes in the law & by addressing long

pending demands of the financial sector so as to ensure early

recovery of dues from the defaulters.

Asset Finance Companies have been helping the Economy in

employment generation, capital formation and financial

inclusion since independence. There is a need for sensitivity

from the regulators especially towards medium and small

sector which faces extinction due to mandatory credit rating

and un-realisitic NPA recognizing norms made applicable in

Nov,2014. Promised support of 'SARFESI' and other legal

measures required for NPA control are still to be provided to

the NBFC sector by the RBI for a level playing field as these are

available to Banks to expedite recovery from defaulters.

IX) INTERNAL CONTROL SYSTEMS:

The Company has an internal control system to

commensurate with the size, scale and complexity of its

operations. The internal auditor monitor the efficiency and

efficacy of the internal controls systems in the Company,

compliance with operating systems / accounting procedures

and policies of the Company. Significant audit observations

and corrective actions thereon are presented to the Audit

Committee of the Board.

The Company also undertakes audit of its branches covering

all aspects of branch operations and credit audit covering

underwriting aspects.

The Company has adequate systems and procedures to

provide assurance of recording transactions in all material

respects. During the year, the internal auditors reviewed the

operating effectiveness of the internal financial controls by

undertaking an effectiveness testing of controls covered

under the Risk Control Matrices for major processes. During

the year the internal auditors reviewed the adequacy of the

internal financial controls of various processes as required

under Section 134 (5) of the Companies Act, 2013.

1) Internal Audit: The Company has an internal audit

department & has also appointed reputed Chartered

Accountant firms as internal auditors & Branch auditors.

They conduct audits of all areas of operations including

branches as per an audit calendar approved by the

Committee.

2) Compliance: The audit committee reviews the

performance of the compliance functions, the

effectiveness of controls and compliance with regulatory

guidelines and gives such directions to the management

as necessary / considered appropriate. The Company has

framed a Board approved compliance policy to effectively

monitor and supervise the compliance function in

accordance with the statutory requirements.

X) ROLE AS A GOOD CORPORATE CITIZEN:

Your company has always believed in conducting business

with honesty & transparency, we take pride in our Corporate

Governance practices and customer oriented policies.

In addition to substantial tax contribution to the National Ex-

Chequer year after year, your company undertakes various

social projects for betterment of Environment, promotion of

Educational, Sports, Cultural and Arts related activities.

Provisions of the Section 135 of the Companies Act, 2013

10

regarding Corporate Social Responsibility (CSR) are not

applicable to the company.

Company has been maintaining various Round-abouts, Green

Belts, Parks in the city which have been appreciated and

awarded by the various Government authorities and social

organizations. Tree Plantation in collaboration with Punjab

Police for making the City Clean and Green, Sponsorship of

Music Competition of Harivallabh Sangeet Sammelan for

promoting budding Hindustani Sangeet Artistes, Yuvaa

Theatre & SPICMACAY for the Promotion of Art & Culture are

some of the projects undertaken by the Company on

continuous basis.

XI) INFORMATION TECHNOLOGY:

Your Company believes that use of the technology in an

optimum manner in its business for enhancing efficiency

servicing customers and other back-end operations, is

essential to enhance its brand visibility and achieve business

goals.

In the FY 2018-19, major initiatives were taken in the

Information Technology infrastructure and related systems of

your Company so as to keep in pace with the business and

technological requirements. During this period your

Company has tied up with software provider NELITO which is

subsidiary of TATA & Japan's DTS Corp.

Company's website and social media pages are upgraded

regularly with the most futuristic outlook. Your Company has

the ability to do real time business transactions.

Data privacy and Information security has been a focus area

during the year. The Company has augmented equipment,

tools and processes, including staff training, to augment the

information security framework.

XII) HUMAN RESOURCES:

Your Company strongly believes that people focus is must to

achieve business success and nurture talent and give them

ample opportunity to grow. Your Company strongly believes

and provides a positive and productive work environment

which is very important and drives our Team to perform.

Company undertakes many initiatives for Human Resource

Development in the shape of - monthly in-house bulletin

'PROGRESS'. “I am Committed to ensure Results rather than

Justifications , I will make the Difference” is the Annual Team

Theme for the financial year 2019-20. PKF specific Annual

Planner is provided to Team Members alongwith the new year

diary, Company has a Team Creed and periodical review of

Company's existing policies and formulation of new systems

and policies is undertaken regular basis.

Oath taking ceremony is held every Monday at all offices,

planning & game session every Saturday, periodical meeting

with the Team Member is held at least once a month, Quarterly

Branch Head meeting are some of the initiatives your

Company undertakes for personality development, talent and

knowledge enhancement so as to encourage & motivate Team

Members for their own and Company's betterment.

Family meet is held annually to bring together family

members of PKF Team to emphasize importance & role of

family in the growth of Company.

Attractive incentive schemes and holiday trips are offered to

increase performance levels from time to time. A number of

on-going incentives are available which are linked to clear Key

Responsibility Areas (KRAs) defined individually for each

Team member.

XIII) FUTURE OUTLOOK:

Prospects for the Indian economy does not seem very

promising in the first half of the current fiscal. The latest

downturn is a culmination of the adverse global conditions

that have played out over the last few months. A sudden spike

in crude oil prices had sent the Indian currency in a freefall,

widening the current account deficit and dampening growth.

Only a reversal in oil price trends proved to be a saving grace

for the Indian economy. The series of events were a rude

reminder of the dependence of the health of the Indian

economy on the price of oil.

Despite softer growth, the Indian economy remains as the

11

fastest growing Economy in the world and possibly the least

affected by global turmoil. Longterm future outlook is positive

for India.

Fostering private investment and careful management of

public finances could help the economy go a long way. Robust

government spending should support growth, as should

looser monetary policy and greater political certainty

following the elections. However, weak public finances and

global trade protectionism both weigh on prospects.

Branch at Mohali & Bilaspur were made fully operational last

year and have started earning profit on their own. Branches at

Sirsa & Gurgaon have started working with formal

inauguration scheduled in the current fiscal. Your company is

in the process of re-organizing the existing organizational

structure and upgrading systems so as to leverage higher

efficiency and productivity.

We hope to derive great benefit from Company's new ERP

system which has been recently launched. We are committed

to improve on Investment growth & hope to achieve

exceptional all round growth culminating in better

profitability.

Your company is a part of PKF group which celebrated it's

Diamond Jubilee in the year 2018 with a glorious track record

of 60 Years of continuous growth & profit sharing. We are

committed to preserve Your Trust and uphold highest Ethical

business standards and are confident of setting new records in

the times to come.

XIV) STATUTORY REQUIREMENTS:

Matured Deposits

Company Acceptance of Public Deposits (Reserve Bank)

Directions, 1998 on NBFCs : Deposit of Rs. 159.50 lacs

belonging to 159 depositors stood matured but not renewed

/ encashed up to March 31, 2019, a number of these have

since been paid and required steps have been taken for

reminding the deposit holders for their overdue deposits.

Meetings of the Board

During the year Eleven (11) meetings of the Board of Directors

were held. For further details, please refer Annexure I.

Contracts and Arrangements with Related Parties

During the year, the Company did not enter into any material

transaction with related parties, under Section 188 of the

Companies Act, 2013. All transactions entered into by the

Company with the related parties were in the ordinary course

of business and on an arm's length basis. Form AOC-2, as

required under Section 134 (3)(h) of the Act, read with Rule 8

(2) of the Companies (Accounts) Rules 2014, is attached as part

of this report vide Annexure II. For further details of Related

Party transactions, please refer to Note No. 23.9 of the

Financial Statements.

Extract of Annual Return

As required pursuant to Section 92 (3) of the Companies Act,

2013 and Rule 12 (1) of the Companies (Management and

Administration) Rules, 2014, an extract of Annual Return in

MGT-9 is annexed as a part of this report vide Annexure III. ( to

be placed on website of the company as amended in companies

act 2017).

Director's Responsibility Statement:

In accordance with the provisions of Section 134 (5) of the

Companies Act, 2013 : Yours Directors confirm that -

(i) In the preparation of annual accounts for the year ended st31 March'19, the applicable accounting standards have

been followed and there are no material departures from

the same.

ii) Accounting policies selected were applied consistently.

Reasonable and prudent judgments and estimates were

made so as to give true and fair view of state of affairs of stthe Company as at the end of 31 March'19 and of the profit

of the Company for the year ended on that date.

iii) Proper and sufficient care has been taken for the

maintenance of adequate accounting records in

accordance with the provision of Companies Act, 2013, for

safeguarding assets of the Company and for preventing

and detecting frauds and other irregularities.

iv) The annual accounts of the Company have been prepared

on a going concern basis.

v) Proper systems have devised to ensure compliance with

the provisions of all applicable laws and that such systems

12

are adequate and operating effectively.

Directors and Key Managerial Personnel.

In accordance with the provisions of the Companies Act, 2013

Director Prof. J. S. Ghuman retires by rotation at the ensuing

Annual General Meeting and being eligible has offered himself

for re-appointment.

The Company has received necessary declaration from

Independent Directors of the Company under Section 149 (7)

of the Companies Act, 2013 that the Independent Directors of

the Company meet with the criteria of their Independence laid

down in Section 149 (6).

Policy on Directors Appointment and Remuneration

The company has a policy as required under section 178 of the

Companies Act, 2013 for performance evaluation of the Board

of Directors, Independent Directors, Committees, and other

individual directors which includes the non executive

directors and executive directors. The company policy for

selection of directors and determining directors

independence & Remuneration policy are attached as part of

this report vide Annexure IV. to be placed on website of the

company as amended in companies act 2017)

Particular of Loans given, Investments made,

Guarantee given and Securities provided.

Section 186 is not applicable to the company being an NBFC.

However, no loans, guarantees, have been given and

investment made other than in the ordinary course of

business.

XV) DIVIDEND

Equity Dividend; Board of Directors propose a dividend of

10% on equity shares in the current financial year.

Preference Shares; Interim dividend amounting to Rs. 28.15

Lakhs at the agreed rate has been paid on preference shares in

Mr. Jai Paul Gupta, resigned from the directorship of the

company due to his health issues w.e.f. 01st Feb, 2019 and

expired on 19th Feb, 2019.

The board record its deep appreciation for the contribution of

Shri Jai Paul Gupta as Director throughout his directorship

and also for the significant contribution he has made to the

management of affairs of the Company and for the valuable

advises he made to the board from time to time.

the month of April 19.

Material changes & Commitments

There has been no material changes and commitment,

affecting the financial position of the company which has

occurred between the end of the financial year to which the

financial statement relate and the date of the report.

Particulars regarding Conservation of energy,

Technology absorption and Foreign Exchange Earnings

and Expenditure

Particulars regarding conservation of energy, technology

absorption stipulated in the Companies ( Accounts) Rules,

2014 are not applicable to the company. Company does not

have any foreign exchange earnings and expenditure.

Information as per Rule 5 (2) of Companies

(Appointment and Remuneration of Managerial

Personnel) Rules, 2014

There are no employees in the company drawing salary of Rs. 1

Crore 2 lacs per annum or Rs. 8.50 lac per month or more; and

none of the employees are relatives of Directors. Moreover,

none of the employees of the Company other than Managing

Director and Joint Managing Director hold by himself or along

with his spouse or dependent children two percent or more

equity shares of the Company.

Transfer of unclaimed dividend to Investor Education

and Protection fund

Unclaimed or Unpaid Dividend relating to the financial year th2010-11 was due for remittance on 14 August, 2018 to the

Investor Education and Protection Fund established by the

Central Government. The company has duly transferred the

requisite amount to Investor Education and Protection Fund ston 31 July, 2018.

Name of the companies which has become ceased to be

Subsidiaries/Associates or Joint Ventures during the

year

The Company does not have any Subsidiary, Joint venture or

Associate Company.

Disclosure Under The Sexual Harassment of Women At

Workplace (Prevention, Prohibition And Redresseal)

And the unclaimed dividend for the financial

year 2011-12 will be transferred to the Investor Education

Protection Fund in current year.

13

Act, 2013 - Constitute Internal Complaint Committee.

The company has constituted a internal compliant committee

for redressal of complaints for Sexual Harassment of women at

the workplace. There is no pending complaint under the said

act.

Appointments/Resignations of the Key Managerial

Personnel

Mr. Alok Sondhi, Managing Director, Mr. Vivek Sondhi, Joint

Managing Director, Mr. Ashim Sondhi, Whole Time Director

and Mrs. Sonia Gaba, Company Secretary of the company are

the Key Managerial Personnel as per the provisions of the

Companies Act, 2013.

Vigil Mechanism

The Company has implemented a Whistle Blower Policy

pursuant to which Whistle Blowers can raise concerns relating

to Reportable Matters (as defined in the policy) such as breach

of Code of Conduct, fraud, bribery, corruption, employee

misconduct, illegality, health & safety, environmental issues

and wastage / misappropriation of company funds/assets, etc.

Further, the mechanism adopted by the company encourages

the Whistle Blower to report genuine concerns or grievances

and provides for adequate safeguards against victimization of

Whistle Blower who avail of such mechanism and also

provides for direct access to the Chairman of the Audit

Committee, in exceptional cases. The functioning of the Vigil

mechanism is reviewed by the Audit Committee from time to

time. None of the Whistle Blowers have been denied access to

the Audit Committee of the Board.

Risk Management Framework

Risk Management Committee has been entrusted with the

responsibility to assist the Board in (a) Overseeing and

approving the Company's 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 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.

XVI) AUDITORS:

Your Company's statutory auditors M/s Dass & Co. Chartered

Accountants, Jalandhar are proposed to be re-appointed upto th27 Annual General Meeting to be held in the year 2020. The

Company has received a certificate form M/s Dass & Co. as

required under section 139 (1) of the Companies Act, 2013 to

the effect that reappointment if made will be within the

statutory prescribed limit.

M/s Daver Sikri & Co. Branch Auditors of Delhi Branch hold

office until the conclusion of the ensuing Annual General

Meeting and are eligible for re-appointment.

There are no qualifications, reservation and adverse remarks

made by the Auditors in the Auditor Report. Hence do not

require any comments and explanation by the board.

XVII) ACKNOWLEDGMENT:

We are grateful to our valued Depositors and Debenture

holders for their continued faith. We thank our Clients,

Associates for their support, our bankers Punjab National Bank

for extending us credit facilities. It is always our endeavor to

provide our clients with our best services.

We are indeed fortunate to have a capable Team which

continues to strive hard for increasing profitability. PKF Team

is dedicated and believes in converting challenges into

By the order of the Board

Place : Jalandhar Alok Sondhi

Date : May 16, 2019 Managing Director

DIN: 00583970

14

Particulars Board Meeting Audit Risk Nomination & Asset LiabilityCommittee Management Remuneration Committee

Committee Committee Meeting

No. of meetings 11 2 1 2 3

Dates of Meeting 30/04/2018 15/05/2018 15/05/2018 15/05/2018 31/05/2018

15/05/2018 15/12/2018 25/10/2018 31/08/2018

31/05/2018 30/11/2018

30/06/2018 10/12/2018

31/07/2018 20/12/2018

31/08/2018

08/09/2018

29/09/2018

20/10/2018

15/12/2018

30/03/2019

Number of meetings attended by the Directors/Members

Mr. Alok Sondhi 10 N.A. N.A. 2 5

Mr. Vivek Sondhi 10 2 1 N.A. 5

Mr. Ashim Sondhi 11 N.A. N.A. N.A. N.A.

Mrs. Raj Mohini 11 N.A. N.A. N.A. N.A.

Sondhi

Mr. Chetan Kalia 4 2 1 2 N.A.

Mr. J.S Ghuman 4 N.A. N.A. N.A. N.A.

Mr. Baljit Singh Virk 3 2 1 2 N.A.

Mr. Lalit Kohli N.A. N.A. N.A. N.A. 5

Mr.Harvinder Singh N.A. N.A. N.A. N.A. 5

Annexure -I

Number of Board and Committees Meetings :

Annexure -II

Form No. AOC-2

(Pursuant to clause (h) of sub-section (3) of section 134 of the Act and Rule 8(2)

of the Companies (Accounts) Rules, 2014)

Form for disclosure of particulars of contracts/arrangements entered into by the company with related parties

referred to in sub-section (1) of section 188 of the Companies Act, 2013 including certain arms length transactions

under third proviso thereto

1. Details of contracts or arrangements or transactions not at arm's length basis: Nil

2. Details of material contracts or arrangement or transactions at arm's length basis:

a) Contract with the Related Party duly approved in the Board of Directors meeting as required under section 188(1) of the

Companies Act, 2013

Name(s) of the Nature of Nature of contracts/ Duration of Salient terms Date(s) of Amount paidrelated party relationship arrangements/ the contracts / of the contracts approval by the as advances,

transactions arrangements/ or arrangements Board, if anyif any transactions or transactions

including the value, if any

NIL NIL NIL NIL NIL NIL NIL

b) Detail of transactions entered into by the company in its ordinary course of business at arm length price and hence no approval

in Board of Directors is required as provided third proviso to Section 188 (1) of the Companies Act, 2013-

Mr. Rohan Dhawan Director Relative Deposits 3 years 76,198 N.A Nil

Mr. Raghav Kalia Director Relative Deposits 3 years 5,40,000 N.A Nil

Mr. Chetan Kalia Director Relative Deposits 3 years 2,00,000 N.A Nil

Ms. Surbhie Cheba Director Relative Deposits 3 years 8,47,233 N.A Nil

Ms. Neha Kalia Director Relative Deposits 3 years 4,51,530 N.A Nil

Ms. Chetan Kalia HUF Director Relative Deposits 3 years 6,76,331 N.A Nil

Mrs. Anuradha Sondhi Director Relative Deposits 5 years 3,03,000 N.A Nil

Mrs. Raj Mohini Sondhi Director Relative Deposits 5 years 22,000 N.A Nil

Ms. Vijaya Sondhi Director Relative Deposits 5 years 33,000 N.A Nil

15

Name(s) of the related party

Nature of relationship

Nature of contracts/

arrangements/transactions

Duration of thecontracts /

arrangements/ transactions

Salient terms of the contracts or

arrangements or transactions

including the value, if any

Date(s) ofapproval by the

Board, if any

Amount paid as advances,

if any

i CIN U65921PB1994PLC014314

ii Registration Date 11/03/94

iii Name of the Company PKF FINANCE LIMITED

iv Category/Sub-category of the Company Company Limited by Shares

v Address of the Registered office & contact details 317, New Jawahar Nagar, Jalandhar,

(0181) 2238611

vi Whether listed company No

vii Name , Address & contact details of the Registrar & Transfer Agent, Registrar of Companies, Chandigarh

if any.

SL No Name & Description of main NIC Code of the % to total turnover

products/services Product /service of the company

1 Hypothecation Loans/ Other Loans 65923 93.30%

Annexure -III

FORM NO. MGT 9

EXTRACT OF ANNUAL RETURN

as on financial year ended on 31.03.2019

Pursuant to Section 92 (3) of the Companies Act, 2013 and rule 12(1) of the Company

(Management & Administration ) Rules, 2014.

I. REGISTRATION & OTHER DETAILS:

II. PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY

The company is engaged in financing of Moveable assets, Commercial Vehicles, Passenger Vehicles, Plant and Machinery,

Business Loan etc. in India.

III. PARTICULARS OF HOLDING, SUBSIDIARY & ASSOCIATE COMPANIES

16

Sl No Name & Address of the Company CIN/GLN HOLDING/

SUBSIDIARY/ SHARES HELD SECTION

ASSOCIATE

1 Nil Nil Nil Nil Nil

% OF APPLICABLE

Category of No. of Shares held at the No. of Shares held at the % change during

Shareholders beginning of the year end of the year the year

Demat Physical Total % of Total Demat Physical Total % of Total

Shares Shares

A. Promoters

(1) Indian

a) Individual/HUF 0 8,09,900 8,09,900 16..20% 8,200 8,07,700 8,15,900 16.32% 6000 0.12%

b) Central Govt.or State Govt. 0 0 0 0 0 0 0 0 0 0

c) Bodies Corporates 0 29,97,200 29,97,200 59.94% 0 29,97,200 29,97,200 59.94% 0 0

d) Bank/FI 0 0 0 0 0 0 0 0 0 0

e) Any other 0 0 0 0 0 0 0 0 0 0

SUB TOTAL:(A) (1) 0 38,07,100 38,07,100 76.14% 8,200 38,04,900 38,13,100 76.26% 6000 0.12%

(2) Foreign

a) NRI- Individuals 0 0 0 0 0 0 0 0 0 0

b) Other Individuals 0 0 0 0 0 0 0 0 0 0

c) Bodies Corp. 0 0 0 0 0 0 0 0 0 0

d) Banks/FI 0 0 0 0 0 0 0 0 0 0

e) Any other… 0 0 0 0 0 0 0 0 0 0

SUB TOTAL (A) (2) 0 0 0 0 0 0 0 0 0 0

Total Shareholding of Promoter

(A)= (A)(1)+(A)(2) 38,07,100 38,07,100 76.14% 8,200 38,04,900 38,13,100 76.26% 6000 0.12%

B. PUBLIC SHAREHOLDING

(1) Institutions

a) Mutual Funds 0 0 0 0 0 0 0 0 0 0

b) Banks/FI 0 0 0 0 0 0 0 0 0 0

C) Central Govt 0 0 0 0 0 0 0 0 0 0

d) State Govt. 0 0 0 0 0 0 0 0 0 0

e) Venture Capital Fund 0 0 0 0 0 0 0 0 0 0

f) Insurance Companies 0 0 0 0 0 0 0 0 0 0

g) FIIS 0 0 0 0 0 0 0 0 0 0

h) Foreign Venture

Capital Funds 0 0 0 0 0 0 0 0 0 0

i) Others (specify) 0 0 0 0 0 0 0 0 0 0

SUB TOTAL (B)(1): 0 0 0 0 0 0 0 0 0 0

(2) Non Institutions

a) Bodies corporates 0 0 0 0 0 0 0 0 0 0

i) Indian

ii) Overseas 0 0 0 0 0 0 0 0 0 0

b) Individuals

i) Individual shareholders

holding nominal share

capital upto Rs. 1 lakh 0 0 0 0 0 0 0 0 0 0

ii) Individuals shareholders

holding nominal share

capital in excess of

Rs. 1 lakh 0 0 0 0 0 0 0 0 0 0

c) Others (specify) 0 0 0 0 0 0 0 0 0 0

SUB TOTAL (B)(2): 0 0 0 0 0 0 0 0 0 0

Total Public Shareholding

(B)= (B)(1)+(B)(2) 0 0 0 0 0 0 0 0 0 0

C. Shares held by

Custodian for

GDRs & ADRs 0 0 0 0 0 0 0 0 0 0

Other than Promoters 11,92,900 11,92,900 23.86% 56,100 11,30,800 11,86,900 23.74% - 6000 0.12%

Grand Total (A+B+C) 0 50,00,000 50,00,000 100% 64,300 49,35,700 50,00,000 100% 0 0

IV. SHAREHOLDING PATTERN (Equity Share capital Break up as % to total Equity)

17

Sl. Shareholders Name Shareholding at the Shareholding at the % change

No. Beginning of the year end of the year in share

No. of % of total % of shares No. of shares % of total % of shares holding

shares shares pledged shares pledged

of the encumbered of the encumbered

company to total shares company to total shares

1 Alok Sondhi 4,73,200 9.46% Nil 4,74,200 9.48% Nil 0.02%

2 Vivek Sondhi 1,09,300 2.19% Nil 1,09,300 2.19% Nil 0.00%

3 Raj Mohini Sondhi 26,000 0.52% Nil 26,000 0.52% Nil 0.00%

4 Raizada B R Vivek Sondhi 50,500 1.01% Nil 50,500 1.01% Nil 0.00%

5 Vandana Sondhi 72,200 1.44% Nil 72,200 1.44% Nil 0.00%

6 Ashim Sondhi 4,700 0.09% Nil 9,700 0.19% Nil 0.1%

7 Varuna Sondhi 27,000 0.54% Nil 27,000 0.54% Nil 0.00%

8 Vijaya Sondhi 22,000 0.44% Nil 22,000 0.44% Nil 0.00%

9 Punjab Kashmir Finance Ltd 9,50,000 19.00% Nil 9,50,000 19.00% Nil 0.00%

10 Reliable Agro Engg. Services

Pvt. Ltd. 9,50,000 19.00% Nil 9,50,000 19.00% Nil 0.00%

11 Punjab Reliable Investments

Pvt. Ltd. 9,50,000 19.00% Nil 9,50,000 19.00% Nil 0.00%

12 PKF Securities Pvt. Ltd. 1,47,200 2.94% Nil 1,47,200 2.94% Nil 0.00%

13 Raizada B.R. Alok Sondhi 25,000 0.50% Nil 25,000 0.50% Nil 0.00%

38,07,100 76.14% Nil 38,13,100 76.26% Nil 0.12%

(ii) SHARE HOLDING OF PROMOTERS

18

1 Alok Sondhi 4,73,200 9.45% 1,000 0.02% 4,74,200 9.48% Tsfr. 1000 Share

on 25/05/2018

2 Vivek Sondhi 1,09,300 2.19% 0 0.00% 1,09,300 2.19% No Change

3 Raj Mohini Sondhi 26,000 0.52% 0 0.00% 26,000 0.52% No Change

4 Raizada B R Vivek Sondhi 50,500 1.01% 0 0.00% 50,500 1.01% No Change

5 Vandana Sondhi 72,200 1.44% 0 0.00% 72,200 1.44% No Change

6 Ashim Sondhi 4,700 0.02% 5,000 0.1% 9,700 0.19% Tsfr. 1000 shares

on 27/04/18,

Tsfr. 1000 shares

on 11/06/18,

Tsfr. 1000 shares

on 28/08/18,

Tsfr. 500 shares

on 22/08/18

Tsfr. 1000 shares

on 29/09/18,

Tsfr. 500 shares

on 01/10/18

7 Varuna Sondhi 27,000 0.54% 0 0.00% 27,000 0.54% No Change

8 Vijaya Sondhi 22,000 0.44% 0 0.00% 22,000 0.44% No Change

9 Punjab Kashmir Fin. Ltd 9,50,000 19.00% 0 0.00% 9,50,000 19.00% No Change

10 Reliable Agro Engg.

Services Pvt. Ltd. 9,50,000 19.00% 0 0.00% 9,50,000 19.00% No Change

11 Punjab Reliable

Investments Pvt. Ltd. 9,50,000 19.00% 0 0.00% 9,50,000 19.00% No Change

12 PKF Securities Pvt. Ltd. 1,47,200 2.94% 0 0.00% 1,47,200 2.94% No Change

13 Raizada BR Alok Sondhi 25,000 0.50% 0 0.00% 25,000 0.50% No Change

38,07,100 76.14% 6,000 0.12% 38,13,100 76.26% No Change

(iii) CHANGE IN PROMOTERS' SHAREHOLDING ( SPECIFY IF THERE IS NO CHANGE)

Sr No.

Name Share holding at the beginning of the Year

Increase / Decrease in Share-holding

Cumulative Share holding during the year

Mode of Changealong with

Date

No. of Shares

No. of Shares

No. of Shares

% of total shares of

the company

% of total shares of the

company

% of total shares of the

company

19

(iv) Shareholding Pattern of top ten Shareholders (other than Direcors, Promoters & Holders of GDRs & ADRs)

1 Onkar Nath Aggarwal 189000 3.78% Nil Nil 189000 3.78%

2 Geetu Mehra 100000 2.00% Nil Nil 100000 2.00%

3 Ashok Mehra 50000 1.00% Nil Nil 50000 1.00%

4 Narinder Kaur Keith 28000 0.56% Nil Nil 28000 0.56%

5 K S Paintal 24800 0.50% Nil Nil 24800 0.50%

6 Surjit Singh Ajmal 20000 0.40% Nil Nil 20000 0.40%

7 M.L Mahajan 28000 0.56% Nil Nil 28000 0.56%

8 Amarjit Kaur Paintal 16700 0.33% Nil Nil 16700 0.33%

9 Vijay Kumar Vasudev 14500 0.29% Nil Nil 14500 0.29%

10 Aradhana Misra 13500 0.27% Nil Nil 13500 0.27%

484500 9.69% Nil Nil 484500 9.69%

Sr.No.

Name Share holding at the beginningof the Year



No. of Shares

No. of Shares

No. of Shares

% of total

shares of the

company

% of total

shares of the

company

% of total

shares of the

company

(v) Shareholding of Directors & KMP

1 Sh. Alok Sondhi 4,73,200 9.46% 1,000 0.02% 4,74,200 9.48%

2 Sh. Vivek Sondhi 1,0,9300 2.19% 0 0.00% 1,09,300 2.19%

3 Smt.Raj Mohini Sondhi 26,000 0.52% 0 0.00% 26,000 0.52%

4 Sh. Ashim Sondhi 4,700 0.09% 5,000 0.1% 9,700 0.19%

5 Sh. Chetan Kalia 15,000 0.30% 0 0.00% 15,000 0.30%

6 Sh. J.S Ghuman 1,000 0.02% 0 0.00% 1,000 0.02%

7 Sh. Baljit Singh Virk 2,000 0.04% 833 0.02% 2,833 0.06%

6,31,200 12.62% 6,833 0.14% 6,38,033 12.76%

Sr No. Name Share holding at the beginningof the Year



No. of Shares

No. of Shares

No. of Shares

% of total

shares of the

company

% of total

shares of the

company

% of total

shares of the

company

20

V INDEBTEDNESS

i) Principal Amount 3403.14 351.17 2725.93 6480.24

ii) Interest due but not paid 0 0 0 0

iii) Interest accrued but not due 148.65 24.31 286.96 399.92

Total (i+ii+iii) 3551.79 375.48 2952.89 6880.16

Net Change in Indebtedness during the

financial year 564.00 151.72 -110.62 605.10

Indebtedness at the end of the

financial year

i) Principal Amount 3908.91 498.48 2569.05 6977.39

ii) Interest due but not paid 0 0 0 0

iii) Interest accrued but not due 206.88 29.73 272.27 507.87

Total (i+ii+iii) 4115.79 527.20 2842.27 7485.26

Indebtedness of the Company including interest outstanding/accrued but not due for payment

Secured Loans

excluding

deposits

Unsecured

Loans

DepositsTotal

Indebted-

ness

Indebtness at the beginning of

the financial year

(Rs. in Lacs)

21

1 Gross Salary Mr. Alok Sondhi Mr. Vivek Sondhi Mr.Ashim Sondhi Total Amount

(a) Salary as per provisions 16,68,011 10,68,014 15,69,658 43,05,683

contained in section 17(1) of the

Income Tax. 1961.

(b) Value of perquisites u/s 17(2)

of the Income tax Act, 1961 60,261 1,19,889 75,299 2,55,449

(c ) Profits in lieu of salary under

section 17(3) of the Income Tax

Act, 1961 Nil Nil Nil Nil

2 Stock option Nil Nil Nil Nil

3 Sweat Equity Nil Nil Nil Nil

4 Commission Nil Nil Nil Nil

as % of profit Nil Nil Nil Nil

others (specify) Nil Nil Nil Nil

5 Directors Meeting Fees 37,500 40,500 36,000 1,14,000

Total (A) 17,65,772 12,28,403 16,80,957 46,75,132

Ceiling as per the Act : 84 lacs as per schedule V PART II SECTION II of the Companies Act, 2013

VI REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL

A. Remuneration to Managing Director, Whole time Director and/or Manager:

Particulars of Remuneration Sl.No. Name of the MD/WTD/Manager

B. Remuneration to other directors:

(a) Fee for attending board

committee meetings 43,500 33,500 N.A N.A 77,000

(b) Commission Nil Nil Nil N.A N.A

(c ) Others, please specify Nil Nil Nil N.A N.A

Total (1) 43,500 33,500 N.A N.A 77,000

2 Other Non Executive Directors

(a) Fee for attending board

committee meetings N.A N.A 36,000 36,000 72,000

(b) Commission N.A N.A Nil Nil

(c ) Others, please specify. N.A N.A Nil Nil

Total (2) N.A N.A 36,000 36,000 72,000

Total (B) =(1+2) 43,500 33,500 36,000 36,000 1,49,000

Total Managerial

Remuneration 48,24,132

Overall Ceiling as per the Act. 84 lacs as per schedule V PART II SECTION II of the Companies Act, 2013

Particulars of Remuneration

Independent Directors

S.No. Name of the DirectorsTotal

AmountMr.Chetan Kumar Kalia

Mr. Baljit Singh Virk

Mrs. Raj Mohini Sondhi

Mr. J. S.Ghuman

1

22

1 Gross Salary CEO Company CFO

Secretary

Sonia Gaba

(a) Salary as per provisions

contained in section 17(1) of

the Income Tax Act, 1961. Nil 3,20,689 Nil 3,20,689

(b) Value of perquisites u/s

17(2) of the Income Tax Act, 1961 Nil Nil Nil Nil

(c ) Profits in lieu of salary

under section 17(3) of the

Income Tax Act, 1961 Nil Nil Nil Nil

2 Stock Option Nil Nil Nil Nil

3 Sweat Equity Nil Nil Nil Nil

4 Commission Nil Nil Nil Nil

as % of profit Nil Nil Nil Nil

others, specify Nil Nil Nil Nil

5 Others, please specify Nil Nil Nil Nil

Total Nil 3,20,689 Nil 3,20,689

A. COMPANY NO

Penalty

Punishment None

Compounding

B. DIRECTORS NO

Penalty

Punishment None

Compounding

C. OTHER OFFICERS IN DEFAULT NO

Penalty

Punishment None

Compounding

Type Section of the

Companies Act

Brief

Description

Details of Penalty/

Punishment/Compounding fees imposed

Authority

(RD/NCLT/

Court)

Appeall made

if any

(give details)

C. REMUNERATION TO KEY MANAGERIAL PERSONNEL OTHER THAN MD/MANAGER/WTD

Particulars of Remuneration S.No. Key Management Personnel Total

VII PENALTIES/PUNISHMENT/COMPOUNDING OF OFFENCES

23

Annexure -IV

Criteria for evaluation of the Board and non-

independent directors at a separate meeting of

Independent Directors

PKF ensures constitution of a Board of Directors with an

appropriate composition , size, diversified expertise and

experience and commitment to discharge their

responsibilities and duties effectively.

PKF recognize the importance of independent directors in

achieving the effectiveness of the board and aim to have an

optimum combination of Executive, Non Executive and

Independent Directors.

This policy sets out the guiding principles for the Nomination

and Remuneration committee for identifying persons who

are qualified to become directors and to determine the

independence of directors, in case of their appointment as

independent directors of the company.

The following policy shall be followed for selection of

directors and determining directors independence

The company with the approval of its Board of Directors,

Nomination and Remuneration Committee ( Committee) has

put in place a policy on directors appointment and

remuneration including criteria for determining qualification

, positive attributes, independence of director .The committee

would evaluate the composition of the board and vacancies

arising from time to time.

Criteria for evaluation of Chairman at separate

meeting of Independent Directors:

1. Leadership qualities

2. Standard of Integrity

24

3. Understanding of Macro economic trends and Micro

industry trends.

4. Public Relations

5. Future Vision and Innovation

Criteria for evaluation of Independent Directors by the

entire Board:

1. Qualifications & Experience

2. Standard of Integrity

3. Attendance in Board Meetings / AGM

4. Understanding of Company's business

5. Value addition in Board Meetings

Criteria for evaluation of the Audit Committee by the

Board:

1. Qualification & Experience of members

2. Depth of review of financial performance

3. Oversight of Audit & Inspection

4. Review of regulatory compliance

5. Fraud monitoring

For the above assessment, the committee would also consider

the Fit and Proper criteria for Directors guidelines issued by

the Reserve Bank of India in this regard.

The committee based on the above assessment will make

suitable recommendations on the appointment of directors to

the board.

Remuneration Policy:

PKF recognizes the importance of aligning the business

objectives with specific and measurable individual objectives

and targets. The Company has therefore formulated the

25

remuneration policy for its directors, key managerial

personnel and other employees keeping in view the following

objectives:

a. Ensuring that the level and composition of remuneration

is reasonable and sufficient to attract, retain and

motivate, to run the company successfully.

b. Ensuring that relationship of remuneration to

performance is clear and meets the performance

benchmarks.

c. Ensuring that remuneration involves a balance between

fixed and incentive pay reflecting short and long term

performance objectives appropriate to the working of

the company and its goals.

This Policy sets out the guiding principles for the Nomination

Committee and Remuneration Committee (NCRC) and

Human Resources for recommending to the Board the

remuneration of the directors, key managerial personnel and

other employees of the Company.

The following policy shall be hereinafter referred to as

"Remuneration Policy of PKF Finance Limited"

I . Definitions

a) "Remuneration" means any monetary benefit or its

equivalent extended to any person for services rendered

by him/her and includes perquisites as defined under the

Income-tax Act, 1961.

b) "Key Managerial Personnel" means,

i) Managing Director, Chief Executive Officer or Manager;

ii) Whole-time Director;

iii) Chief Financial Officer;

iv) Company Secretary.

c) "Employee" will mean an employee who has been

appointed on the rolls of PKF Finance Limited

(hereinafter referred to as 'the Company') and has been

issued an appointment order by the Company.

II. Board Diversity

It will be the endeavour of the Company to attract people to be

on the Board of our Company as Directors from variety of

backgrounds which are appropriate to the business interests

of the Company.

III . Remuneration Pattern

The NCRC lays down the following remuneration pattern for

Non-executive Directors and Independent Directors,

Executive Directors, Key Managerial Personnel, Senior

Management and other employees under the Remuneration

Policy:

1. The remuneration payable to Non-Executive

Directors and Independent Directors shall consist of:

a) Sitting fees for attending the meetings of the Board and

sub-committees of the Board, within the limit prescribed

under the Companies Act, 2013;

b.) Reimbursement of expenses for attending meetings of

the Board and sub-committees of the Board.

2. The remuneration payable to Managing Director,

Whole-time Director, who are appointed based on

Shareholders' approval, shall consist of:

a) Salary, allowances, commission and perquisites;

b) Commission for each financial year, as may be decided by

the Board of Directors, based on the recommendations of

the NCRC;

c) Minimum Remuneration in any financial year, when the

Company has no profits or its profits are inadequate, by

way of salary, allowances, commission and perquisites

not exceeding the limits specified in Part II of Section II of

26

Schedule V to the Companies Act, 2013 or such other

limits as may be prescribed by the Government from time

to time as minimum remuneration.

The overall remuneration payable to Directors, including

Executive Directors, shall be within the limits prescribed

under Section 197 of the Companies Act, 2013 read with

Schedule V.

3. The remuneration payable to Key Managerial

Personnel, Senior Management and other employees of

the company shall consist of :

Salary, allowances, perquisites and variable components

reflecting the short and long term performance objectives

appropriate to the working of the Company, which are aligned

to industry standards.

IV. Implementation of the Remuneration Policy

The remuneration payable to Non-executive Directors and

Independent Directors shall be determined by the Board of

Directors, after taking into account their performance and

contribution.

The Remuneration payable to Executive Directors shall be

determined by the NCRC after taking into account their

experience, qualification, responsibilities, contributions,

performance and industry standards.

The Remuneration Policy of the Company, to the extent

applicable to Key Managerial Personnel other than Executive

Directors, Senior Management and other employees shall be

monitored by the Managing Director, who shall take

appropriate steps to ensure that the remuneration is

commensurate with their experience, qualification,

responsibilities, contributions, performance and industry

standards.

The NCRC shall take suitable steps to issue guidelines,

procedures and such other steps as may be considered

appropriate from time to time, for effective implementation of

the Remuneration Policy.

Financial Highlights

Progress of the Company through Years : 1994-2019 : A Comparative Statement

As on 30th June ` ` ` ` ` ` ` `

1994 1,900 26 2,429 - 35 -- 35 18% 8

As on 31st March

1995 7,500 0 812 13,833 1,743 1,130 -- 1,130 20% 344

1995-96 18,000 0 2,153 35,915 10,022 2,993 -- 2,993 20% 652

1996-97 18,000 0 3,640 66,640 30,976 6,056 789 5,267 20% 3,600

1997-98 25,000 0 1,542 1,06,899 84,403 3,674 1,500 2,174 10% 2,077

1998-99 25,000 0 3,670 1,87,558 1,17,633 6,106 648 5,458 12% 3,330

1999-00 25,000 0 7,007 2,41,145 1,43,913 8,709 1,765 6,944 13% 3,607

2000-01 25,000 4,520 9,723 2,26,523 1,47,029 8,777 3,030 5,747 11% 3,030

2001-02 25,000 4,520 12,622 2,36,444 1,59,930 8,772 2,620 6,152 10% 3,253

2002-03 25,000 7,220 10,303 2,36,090 1,70,545 8,529 3,645 5,601 10% 3,217

2003-04 28,300 9,920 12,646 2,40,135 1,81,285 8,848 6,032 5,840 9% 3,498

2004-05 28,300 20,000 14,925 2,70,523 2,01,987 8,489 4,574 5,753 9% 3,474

2005-06 28,300 20,000 16,430 3,20,917 2,17,789 9,548 3,643 6,093 9% 4,588

2006-07 28,300 27,400 18,788 3,41,379 2,29,956 11,184 3,857 7,269 10% 4,911

2007-08 28,300 27,400 21,006 3,90,520 2,59,620 11,802 3,738 7,267 10% 5,039

2008-09 28,300 27,400 25,719 4,05,096 2,94,754 13,576 4,456 8,946 10% 4,244

2009-10 28,300 27,400 30,004 4,13,216 3,29,809 12,439 4,365 8,198 9% 3,913

2010-11 28,300 30,064 32,134 4,49,371 3,59,026 15,311 6,122 10,226 11% 5,433

2011-12 28,300 33,386 35,275 4,79,940 4,06,897 20,094 5,739 13,618 12% 7,154

2012-13 28,300 33,386 42,861 5,53,949 4,42,778 22,596 7,405 15,000 12% 7,413

2013-14 28,300 33,386 54,153 5,73,645 4,78,717 28,134 8,575 19,117 13% 7,825

2014-15 28,300 33,386 67,132 6,18,193 4,37,338 23,613 7,916 1,66,67 - 3,689

2015-16 50,000 33,386 93,099 7,37,346 3,82,211 22,745 8,321 15,113 Int.11% 10,846

Final 10%

2016-17 50,000 33,386 1,08,527 9,35,516 4,46,558 23,112 9,837 15,428 10% 9,689

2017-18 50,000 33,386 1,12,449 11,00,492 5,46,533 19,863 7,682 13,610 10% 9,550

2018-19 50,000 33,386 1,17,903 11,72,614 5,97,040 20,807 8,556 15,008 10% 9,554

27

(` in thousands)

Financial

Year

Paid up Capital

Equity

Share

Pref.

Share

Reserves

&

Surplus

Investments

(inclusive

of advance

finance

charges)

Deposits/

Debentures

(including

accrued

interest)

Profit

before

Tax

Income

Tax

Net

Profit

Equity

Dividend

%

DividendAmountincl. tax

(on Equity& Pref. Shares)

Performance Highlights

28

Sources & Distribution of Income (2018-19)Rs. 1,548 Lacs

DISTRIBUTION

FinanceCost44%

Employee &AdministrativeExpenses30%

RetainedProfits

10%

TaxExpenses4%

Provision& WriteOff10%

Depreciation2%

SOURCES

Income fromFinancingOperations95%

Income fromOthers 1%

Income fromInvestment4%

BOOK VALUE

(As on March 31st)

NET PROFIT NET OWNED FUNDS

Am

ou

nt

in L

acs

(`)

(As on March 31st)2015 2016 2017 2018 2019

200 -

180 -

160 -

140 -

120 -

100 -

80 -

60 -

40 -

20 -

0 -

Am

ou

nt

in L

acs

(`)

34 3432 32

28

(As on March 31st)2015 2016 2017 2018 2019

40

35 -

30 -

25 -

20 -

15 -

10 -

5 -

0 -

-

Am

ou

nt

in L

acs

(`)

1288

1765

1919 1958 2013

(As on March 31st)2015 2016 2017 2018 2019

2500

2000 -

1500 -

1000 -

500 -

0 -

-

150

166

151 154

136

29

Auditor's Report To the Members of PKF Finance Limited

Report on the standalone Financial Statements

Opinion

We have audited the accompanying Standalone

financial statements of M/s. PKF FINANCE LIMITED

(“the Company”) which comprises the Balance Sheet

as at March 31, 2019, the Statement of Profit and Loss,

and statement of cash flows for the year then ended and

notes to the financial statements, including a summary

of significant accounting policies.

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, of the state of

affairs of the Company as at March 31, 2019, and profit

and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the

Standards on Auditing (SAs) specified under section

143(10) of the Companies Act , 2013. Our

responsibilities under those Standards are further

described in the Auditor's 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 other ethical responsibilities in

accordance with these 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 opinion.

Responsibility of Management for the Standalone

Financial Statements

The Company's Board of Directors is responsible for the

matters stated in section 134(5) of the Companies Act,

2013 (“the Act”) with respect to the preparation of these

standalone financial statements that give a true and fair

view of the financial position, financial performance,

(changes in equity) and cash flows of the Company in

accordance with the accounting principles generally

accepted in India, including the accounting Standards

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 of the assets of the Company

and for preventing and detecting frauds and other

irregularities; selection and application of appropriate

implementation and maintenance of 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 statement that give a true and fair view and

are free from material misstatement, whether due to

fraud or error.

In preparing the financial statements, management is

responsible for assessing the Company's 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 company's financial reporting process

Auditor's Responsibility for the Audit of the

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 auditor's 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

30

reasonably be expected to influence the economic

decisions of users taken on the basis of these financial

statements.

Report on Other Legal and Regulator y

Requirements

As required by the Companies (Auditor's Report) Order,

2016 (“the Order”), issued by the Central Government

of India in terms of sub-section (11) of section 143 of the

Companies Act, 2013, we give in the Annexure 'B” a

statement on the matters specified in paragraphs 3 and

4 of the Order, to the extent applicable.

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

a) We have sought and obtained all the information

and explanations which to the best of our

knowledge and belief were necessary for the

purposes of our audit.

b) In our opinion, proper books of account as

required by law have been kept by the Company so

far as it appears from our examination of those

books.

c) The Balance Sheet, the Statement of Profit and Loss,

and the Cash Flow Statement dealt with by this

Report are in agreement with the books of account.

d) In our opinion, the aforesaid standalone financial

statements comply with the Accounting Standards

specified under Section 133 of the Act, read with

Rule 7 of the Companies (Accounts) Rules, 2014.

e) On the basis of the written representations

received from the directors as on 31st March, 2019

taken on record by the Board of Directors, none of

the directors is disqualified as on 31st March, 2019

from being appointed as a director in terms of

Section 164 (2) of the Act.

f) With respect to the adequacy of the internal

financial controls over financial reporting of the

Company and the operating effectiveness of such

controls, refer to our separate Report in “Annexure

A”.

g) With respect to the other matters to be included in

the Auditor's Report in accordance with Rule 11 of

the Companies (Audit and Auditors) Rules, 2014, in

our opinion and to the best of our information and

according to the explanations given to us:

i. The Company does not have any pending

litigations which would impact its financial

position.

ii. The Company did not have any long-term

contracts including derivative contracts for

which there were any material foreseeable

losses.

iii. There were no amounts pending which were

required to be transferred to the Investor

Education and Protection Fund by the

Company.

For Dass & Co

Chartered Accountants

FRN 000200N

Sd/-

Place: Jalandhar Neeru Saluja

Dated : 16th May, 2019 Partner

M.No. 505151

31

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 .PKF FINANCE LIMITED(“the

Company”) as of March 31, 2019 in conjunction with our

audit of the standalone financial statements of the

Company for the year ended on that date.

Management's Responsibility for Internal

Financial Controls

The Board of Directors 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 company's 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.

Auditor's 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 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 auditor's judgement, 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 company's 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 company's 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

ANNEXURE “A” TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 1(f) under 'Report on Other Legal and Regulatory Requirements'

section of our report to the Members of Infosys Limited of even date)

32

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 authorisations of

management and directors of the company; and (3)

provide reasonable assurance regarding prevention or

timely detection of unauthorised acquisition, use, or

disposition of the company's assets that could have a

material effect on the financial statements.

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.

Opinion

In our opinion, to the best of our information and

according to the explanations given to us, the Company

has, in all material respects, an adequate internal

financial controls system over financial reporting and

such internal financial controls over financial reporting

were operating effectively as at March 31, 2019, 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.

For Dass & Co


FRN 000200N

Sd/-



M.No. 505151

33

“Annexure B” to the Independent Auditors' Report

Referred to in paragraph 1 under the heading 'Report on Other Legal & Regulatory Requirement' of our report

of even date to the financial statements of the Company for the year ended March 31, 2019:

i. a) The Company has maintained proper records

showing full particulars, including quantitative

details and situation of fixed assets;

b) The management at reasonable intervals has

physically verified the fixed assets and no

material discrepancies were noticed on such

physical verification.

c) The title deeds of immovable properties are

held in the name of the company.

ii. The Company is a Non Banking Financial company

engaged in loans and advances. Accordingly, it does

not hold any physical inventories. Thus, paragraph

3(ii) of the Order is not applicable to the Company.

iii. The Company has not granted any loans, secured or

unsecured to companies, firms, Limited Liability

partnerships or other parties covered in the

Register maintained under section 189 of the Act.

Accordingly, the provisions of clause 3 (iii) (a) to (c)

of the Order are not applicable to the Company and

hence not commented upon.

iv. In our opinion and according to the information

and explanations given to us, the company has not

given any loans and has not made any investment

covered under the provisions of section 185 and

I86 of the Companies Act, 2013.

v. On the examination of records produced before us,

the Company has complied with the rules and

regulations of Reserve Bank of India with regard to

acceptance of deposits from the public during the

year under audit.

vi. The maintenance of Cost Records has not been

specified by the Central Government under sub-

section (1) of Section 148 of the Act, in respect of

the activities carried on by the company.

vii. a. In our opinion and according to the

information and explanation given to us, the

company is regular in depositing with

appropriate authorities undisputed statutory

dues including Income tax, provident fund,

employees' state insurance, service tax, GST,cess

and other statutory dues applicable to it.

According to the information and explanations

given to us, there are no undisputed amount

payable in respect of Income tax, provident

fund, employees' state insurance, service tax,

GST, cess and other material statutory which are

in arrears as on 31/03/2019 for a period of more

than six months from the date they became

payable.

b. According to the information and explanation

given to us, there are no dues of income tax,

service tax, GST outstanding on account of any

dispute.

viii. In our opinion and according to the information

and explanations given to us, the Company has not

been defaulted in repayment of dues to banks and

Debenture holders.

ix. Based upon the audit procedures performed and

the information and explanations given by the

management, the company has not raised moneys

by way of initial public offer or further public offer

(including debt instruments).

x. Based upon the audit procedures performed and


management, we report that no fraud by the

Company or on the company by its officers or

employees has been noticed or reported during the

year.

xi. Based upon the audit procedures performed and


management, the managerial remuneration has

been paid or provided in accordance with the

requisite approvals mandated by the provisions of

section 197 read with Schedule V to the Companies

Act;

xii. The Company is not a Nidhi Company. Therefore,

the provisions of clause 4 (xii) of the Order are not

applicable to the Company.

34

Xiii. In our opinion, all transactions with the related

parties during the year under audit are in

compliance with section 177 and 188 of Companies

Act, 2013 and the details have been disclosed in the

Financial Statements as required by the applicable

accounting standards.

xiv. Based upon the audit procedures performed and


management, the company has not made any

preferential allotment or private placement of

shares or fully or partly convertible debentures

during the year under review. Accordingly, the

provisions of clause 3 (xiv) of the Order are not

applicable to the Company and hence not

commented upon.

xv. Based upon the audit procedures performed and


management, the company has not entered into any

non-cash transactions with directors or persons

connected with during the year under report.

Accordingly, the provisions of clause 3 (xv) of the

Order are not applicable to the Company and hence

not commented upon.

xvi. The company has been registered as Non Banking

Financial Companies (Deposit accepting

Company) with Reserve Bank of India, Chandigarh

vide registration No.06.00104 dated 30th April,

1998.

For Dass & Co


FRN 000200N

Sd/-



M.No. 505151

Directors

Alok Sondhi

Vivek Sondhi

Raj Mohini Sondhi

Ashim Sondhi

Chetan Kumar Kalia

Jagjit Singh Ghuman

Baljit Singh Virk

Company Secretary

Sonia Gaba

Balance Sheet as at 31st March, 2019

Particulars

(Amount in Rs.)

Note No. 31st March '19 31st March '18

I. EQUITY AND LIABILITIES

1 Shareholders’ funds

(a) Share Capital 2 8,33,86,350 8,33,86,350

(b) Reserve and Surplus 3 11,79,03,263 11,24,49,018

Sub-Total Share-holders Funds 20,12,89,613 19,58,35,368

2 Non-current liabilities

(a) Long Term Borrowings 4 35,20,17,310 28,39,80,354

(b) Long Term Provisions 5 3,58,65,994 2,43,39,432

Sub-Total Non-Current liabilities 38,78,83,304 30,83,19,786

3 Current liabilities

(a) Short Term Borrowings 6 22,40,05,947 24,51,46,314

(b) Other Current Liabilities 7 21,84,96,817 21,95,66,116

(c) Short Term Provisions 8 85,56,000 76,82,000

Sub-Total Current Liabilities 45,10,58,764 47,23,94,430

Total Equity & Liabilities ( 1+2+3) 1,04,02,31,681 97,65,49,584

II. ASSETS

Non-current assets

1 (a) Fixed Assets

Tangible assets 9 1,90,13,426 1,89,02,053

(b) Non Current Investments 10 4,80,02,968 5,61,50,968

(c) Deferred Tax Assets (net) 11 85,24,432 57,66,929

(d) Long Term Loans and Advances 12 58,54,18,900 54,03,31,509

(e) Other Non Current Assets 13 16,45,398 6,99,863

Sub-Total Non-Current Assets 66,26,05,124 62,18,51,322

2 Current assets

(a) Cash and Cash Equivalents 14 1,75,55,018 1,26,64,384

(b) Short Term Loans and Advances 15 34,27,47,492 32,67,96,544

(c) Other Current Assets 16 1,73,24,047 1,52,37,334

Sub-Total Current Assets 37,76,26,557 35,46,98,262

Total Assets (1 +2) 1,04,02,31,681 97,65,49,584

Significant Accounting Policies and Notes to Accounts 1 to 23

Schedule as per RBI requirement 24

35

Auditor's ReportAs per our report attached herewithFor Dass & Co.Chartered AccountantsFRN 000200NNeeru SalujaPartnerM.No. 505151Place : JalandharDate : May 16, 2019

Profit & Loss StatementFor the Year Ended 31st March, 2019

Particulars

(Amount in Rs.)

ReferNote No.

31st March '19 31st March '18

I. Revenue from Operations 17 15,31,48,636 13,25,63,215

II. Other Income 18 16,73,153 29,27,210

III. Total Revenue (I + II) 15,48,21,789 13,54,90,425

IV. Expenses:

Employee benefits expense 19 3,15,63,850 2,90,84,325

Finance costs 20 6,88,21,912 5,77,31,212

Depreciation and amortization expense 9 26,95,156 21,51,036

Other expenses 21 1,54,02,174 1,42,62,034

Provisions and write off 22 1,55,31,315 1,23,98,603

Total expenses 13,40,14,407 11,56,27,210

V. Profit before exceptional and extraordinary items and tax (III-IV) 2,08,07,382 1,98,63,215

VI. Exceptional items - -

VII. Profit before extraordinary items and tax (V - VI) 2,08,07,382 1,98,63,215

VIII. Extraordinary Items - -

IX. Profit before tax (VII- VIII) 2,08,07,382 1,98,63,215

X Tax expense:

(1) Current tax (-) 85,56,000 (-) 76,82,000

(2) Deferred tax 27,57,503 14,29,733

(3) Excess Income tax Provision of Earlier Years 0 0

(-) 57,98,497 (-) 62,52,267

XI Profit for the period from continuing operations (IX-X) 1,50,08,885 1,36,10,948

XII Profit from discontinuing operations - -

XIII Tax expense of discontinuing operations - -

XIV Profit from Discontinuing operations (after tax) (XII-XIII) - -

XV Profit for the period (XI + XIV) 1,50,08,885 1,36,10,948

XVI Earning per share :

Basic 2.32 2.02

Diluted 2.50 2.26

Significant Accounting Policies and Notes to Accounts 1 to 23

36

Directors

Alok Sondhi

Vivek Sondhi

Raj Mohini Sondhi

Ashim Sondhi

Chetan Kumar Kalia

Jagjit Singh Ghuman

Baljit Singh Virk

Company Secretary

Sonia Gaba

Auditor's ReportAs per our remarks at the foot of the Balance Sheet of even dateFor Dass & Co.Chartered AccountantsFRN 000200NNeeru SalujaPartnerM.No. 505151Place : JalandharDate : May 16, 2019

37

A) CASH FLOW FROM OPERATING ACTIVITIES

Profit Before Tax 2,08,07,382 1,98,63,215

Add: Financial Expenses 6,88,21,912 8,96,29,294 5,77,31,212, 7,75,94,427

Add: Depreciation 26,95,156 21,51,036

Add: Premium on Investment written off 52,000 2,72,000

Add: Provision for Non-Performing Assets 1,13,87,199 82,24,496

Add: Provision for Standard Assets 1,39,363 1,42,73,718 7,98,394 1,14,45,926

Profit on Sale of Fixed Assets (-) 1,30,132 (-) 1,19,405

Dividend Received (-) 81,895 (-) 81,995

Interest Received on Government Securities (-) 42,93,099 (-) 44,67,753

Tax paid (-) 87,24,420 (-) 1,32,29,546 (-) 1,05,83,967 (-) 1,52,53,120

Operating Profit before Working capital Changes 9,06,73,466 7,37,87,233

Working Capital Changes

Change in Long term advances (-) 4,50,87,391 (-) 9,48,45,792

Change in Non Current Assets (-) 76,425 (-) 9,000

Change in Short term loans and advances (-) 1,59,50,948 (-) 3,82,87,134

Change in other current assets (-) 19,65,403 (-) 12,93,891

Change in other current liabilities (-) 1,16,79,979 (-) 7,47,60,148 (-) 3,76,38,066 (-)17,20,73,883

1,59,13,320 (-) 9,82,86,650

Less: Financial Expenses (-) 5,82,11,232 (-) 5,93,16,196

Cash Flow from Operating Activities (-) 4,22,97,912 (-)15,76,02,846

B) CASH FROM INVESTING ACTIVITIES

Purchase of Fixed Assets (-) 29,02,973 (-) 52,74,920

Sale of Fixed Assets 2,26,576 5,80,715

Change in Investments 81,48,000 (-) 87,90,068

Dividend & Interest received 43,74,994 45,49,748

Cash Flow from Investing activities 96,46,597 (-) 89,34,525

C) CASH FLOW FROM FINANCING ACTIVITIES

Change in Long term borrowings 6,80,36,956 11,75,15,194

Change in Short term borrowings 2,11,40,367 5,56,56,159

Dividend & Dividend Tax paid 95,54,640 (-) 96,89,876

Cash Flow from Financing activities 3,73,41,949 16,34,81,477

Net Increase/( decrease) in Cash/ Cash Equivalents (A+B+C) 48,90,634 (-) 30,55,894

Cash & Cash equivalents at the beginning of the year 1,26,64,384 1,57,20,278

Cash & Cash equivalents at the end of the year 1,75,55,018 1,26,64,384

+ sign indicates inflow and (-) sign indicates outflow

CASH FLOW STATEMENT FOR THE YEAR ENDED ON 31st March '19 31st March '18

Directors

Alok Sondhi

Vivek Sondhi

Raj Mohini Sondhi

Ashim Sondhi

Chetan Kumar Kalia

Jagjit Singh Ghuman

Baljit Singh Virk

Company Secretary

Sonia Gaba

Auditor's ReportAs per our remarks at the foot of the Balance Sheet of even dateFor Dass & Co.Chartered AccountantsFRN 000200NNeeru SalujaPartnerM.No. 505151Place : JalandharDate : May 16, 2019

38

NOTE: 1 - SIGNIFICANT ACCOUNTING POLICIES:

1.1 Basis of Accounting

The Company prepares its Financial Statement under historical cost convention on accrual basis of Accounting in accordance

with requirements of the Companies Act 2013, as per accounting standards issued by the Institute of Chartered Accountants of

India (ICAI) and Directions issued by Reserve Bank of India applicable to Deposit taking Non-Banking Financial Companies.

1.2 Fixed Assets:

Fixed Assets are carried at cost less Accumulated Depreciation.

1.3 Depreciation:

Depreciation on fixed assets is provided, at pro-rata basis, on the Straight Line Method at the rates prescribed under schedule II

of the Companies Act 2013.

1.4 Loan under Hypothecated Assets:

Loans granted under hypothecation of assets are stated at agreed value less installments received.

1.5 Valuation of Investments:

Long term Investments are valued at cost in accordance with the Prudential Norms Directives of The Reserve Bank of India and

also in accordance with the Accounting standard on Investments (AS- 13) issued by The Institute of Chartered Accountants of

India, New Delhi..

1.6 Revenue recognition:

i) Income and Expenditure are accounted for on accrual basis. The Income arising from Non- Performing Assets is

recognized as and when realized as recommended in Para-3 of Prudential norms Directions of RBI.

(ii) Income in respect of Loan under Hypothecated Assets and Loans and Advances (Other) is recognized on the basis of

the Internal Rate of Return Method..

(iii) Income in respect of Government securities is recognized on accrual basis.

(iv) Income from Dividend on Shares is recognized on declaration of dividend.

(v) Income from bad debts recovered is recognized as and when realized.

(vi) Interest from overdue installments charges is recognized on receipt basis.

1.7 Provision for Non Performing Assets:

Provision for Non-Performing Assets is made in accordance with the Non Banking Financial Company Systemically Important

Non Deposit Taking Company and Deposit Taking Company (Reserve Bank) Directions, 2016.

1.8 Provision for Standard Assets:

Provision for Standard Assets has been made @ 0.40% of the Standard Assets as prescribed In Non Banking Financial Company

Systemically Important Non Deposit Taking Company and Deposit Taking Company (Reserve Bank) Directions, 2016.

1.9 Retirement Benefits:

(i) Gratuity liability of the employees of the company is covered by the Group Gratuity Policy taken from the Life

Insurance Corporation of India for the payment of gratuity payable to its employees. Necessary contribution for the

liability ascertained on this account has been made as per terms of policy.

(ii) Year end accrued liability towards un-availed leave benefit is provided.

1.10 Impairment of Assets

The carrying amounts of assets are reviewed at balance sheet date to ascertain impairment based on internal and external

factors. The carrying amount of the assets is not less than the recoverable amount of these assets. Hence there is no impairment

loss on the assets of the company.

1.11 Taxation:

Provision for Income Tax has been made in accordance with Income Tax Act, 1961.

Particulars As at 31st March 2019

Number NumberAmount Amount

As at 31st March 2018

Preference Shares

Shares outstanding at the beginning of the year 33,38,635 3,33,86,350 33,38,635 3,33,86,350

Shares Issued during the year - - - -

Shares bought back during the year - - - -

Any other movement (Redeemed) - - - -

Shares outstanding at the end of the year 33,38,635 3,33,86,350 33,38,635 3,33,86,350

Share CapitalAs at 31st March 2019



AuthorisedEquity Shares of Rs. 10 each 70,00,000 7,00,00,000 60,00,000 6,00,00,000Preference Shares of Rs. 10 each 50,00,000 5,00,00,000 60,00,000 6,00,00,000

1,20,00,000 12,00,00,000 1,20,00,000 12,00,00,000IssuedA) EquityEquity Shares of Rs.10 each 50,00,000 5,00,00,000 50,00,000 5,00,00,000B) Preference8% ( PY 9.25% )Convertible Preference shares of Rs. 10 each 5,00,000 50,00,000 5,00,000 50,00,0008% ( PY 9.25% )Convertible Preference shares of Rs. 10 each 40,000 4,00,000 40,000 4,00,0008% ( PY 9% )Convertible Preference shares of Rs. 10 each 3,67,000 36,70,000 3,67,000 36,70,0008% ( PY 9% )Convertible Preference shares of Rs. 10 each 7,40,000 74,00,000 7,40,000 74,00,0008% ( PY 9% )Convertible Preference shares of Rs. 10 each 2,66,400 26,64,000 2,66,400 26,64,0009% Convertible Preference shares of Rs. 10 each 1,20,000 12,00,000 1,20,000 12,00,0008% ( PY 9.25% )Convertible Preference shares of Rs. 10 each 10,000 1,00,000 10,000 1,00,0008.25% Convertible Preference shares of Rs. 10 each 9,63,000 96,30,000 9,63,000 96,30,0008.25% Convertible Preference shares of Rs. 10 each 3,32,235 33,22,350 3,32,235 33,22,350

33,38,635 3,33,86,350 33,38,635 3,33,86,350Subscribed & fully Paid upA) Equity Equity Shares of Rs. 10 each 50,00,000 5,00,00,000 50,00,000 5,00,00,000B) Preference8% ( PY 9.25% )Convertible Preference shares of Rs. 10 each 5,00,000 50,00,000 5,00,000 50,00,0008% ( PY 9.25% )Convertible Preference shares of Rs. 10 each 40,000 4,00,000 40,000 4,00,0008% ( PY 9% )Convertible Preference shares of Rs. 10 each 3,67,000 36,70,000 3,67,000 36,70,0008% ( PY 9% )Convertible Preference shares of Rs. 10 each 7,40,000 74,00,000 7,40,000 74,00,0008% ( PY 9% )Convertible Preference shares of Rs. 10 each 2,66,400 26,64,000 2,66,400 26,64,0009% Convertible Preference shares of Rs. 10 each 1,20,000 12,00,000 1,20,000 12,00,0008% ( PY 9.25% )Convertible Preference shares of Rs. 10 each 10,000 1,00,000 10,000 1,00,0008.25% Convertible Preference shares of Rs. 10 each 9,63,000 96,30,000 9,63,000 96,30,0008.25% Convertible Preference shares of Rs. 10 each 3,32,235 33,22,350 3,32,235 33,22,350

33,38,635 3,33,86,350 33,38,635 3,33,86,350Total (A + B) 83,38,635 8,33,86,350 83,38,635 8,33,86,350

a) Reconciliation of Number of shares

Particulars As at 31st March 2019



Equity Shares

Shares outstanding at the beginning of the year 50,00,000 5,00,00,000 50,00,000 5,00,00,000

Shares Issued during the year - - - -

Shares bought back during the year - - - -

Any other movement (forfeited) - - - -

Shares outstanding at the end of the year 50,00,000 5,00,00,000 50,00,000 5,00,00,000

NOTE - 2 : Share Capital

BALANCE SHEET

39

31-3-2019

1 8% ( PY 9.25%) Preference shares 10,000 1,00,000 1,00,000 31/03/20242 9% Preference shares 1,20,000 12,00,000 12,00,000 31/03/20223 8% ( PY 9.25%) Preference shares 40,000 4,00,000 4,00,000 31/07/20224 8% ( PY 9%) Preference shares 3,67,000 36,70,000 36,70,000 30/11/2022 5 8% ( PY 9.25%) Preference shares 5,00,000 50,00,000 50,00,000 31/03/20256 8.25% Preference shares 9,63,000 96,30,000 96,30,000 31/03/20277 8.25% Preference shares 3,32,235 33,22,350 33,22,350 31/03/20278 9% Preference shares 7,40,000 74,00,000 74,00,000 31/03/20269 9% Preference shares 2,66,400 26,64,000 26,64,000 31/03/2026 3,33,86,350 3,33,86,350

40

b) Rights , preferences and restrictions attached to shares

Equity Shares: The company has one class of equity shares having a par value of Rs. 10 per share. Each shareholder is eligible of one vote per

share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General

Meeting. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the company after distribution of all

preferential amounts in proportion to their shareholding.

Preference shares: The company has issued different series of convertible Preference shares of Rs. 10 each. Each Preference share holder is

eligible to receive dividend at the agreed rate. These shares are convertible in equity shares as mentioned at point no. (d) here in below.

Name of Shareholder

Name of Shareholder

Particulars



No. of Sharesheld

No. of Sharesheld

No. of Sharesheld

No. of Sharesheld

% ofHolding

% ofHolding

No. ofShares

% ofHolding

% ofHolding

Amount Date ofConversion



Equity Shares

Preference Shares

c) Details of shares held by shareholders holding more than 5% of the aggregate shares in the company

1 Punjab Kashmir Finance Ltd. 9,50,000 19.00% 9,50,000 19.00%

2 Reliable Agro. Engg. Services Pvt Ltd. 9,50,000 19.00% 9,50,000 19.00%

3 Punjab Reliable Investments Pvt Ltd. 9,50,000 19.00% 9,50,000 19.00%

4 Mr. Alok Sondhi 4,74,200 9.48% 4,73,200 9.46%

1 Mrs. Jatinder Kaur & Mr. J.P. Singh 2,61,000 7.82% 2,50,000 7.49%2 Mrs. Palvi Khanna 3,22,500 9.66% 2,95,000 8.84%3 Dr. Vijay Mahajan 0 0.00% 5,38,000 16.11%4 Mr. C.L. Jairath 2,17,000 6.50% 1,90,000 5.69%5 Dr. Malwinderwant Kaur 2,00,000 5.99% 2,00,000 5.99%6 Mr. Mohinder Paul Singh 2,50,000 7.49% 0 0.00%7 Mr. Abhiraj Singh 2,00,000 5.99% 0 0.00%

S.No.31-3-2018

d) Terms of Securities convertible into equity shares

The above mentioned preference shares are convertible into equity shares of the company at Book value at the end of financial year preceding

the date of conversion or as decided by the Board of Directors of the company at the time of conversion.

41

NOTE - 3 : Reserves and Surplus

Reserves & Surplus As at31st March 2019

As at31st March 2018

a. General Reserve

Opening Balance 3,45,00,000 3,25,00,000

(+) Current Year Transfer 20,00,000 20,00,000

(-) Written Back in Current Year - -

Closing Balance 3,65,00,000 3,45,00,000

b. Statutory Reserve Fund

Opening Balance 4,11,75,000 3,84,50,000

(+) Current Year Transfer 31,00,000 27,25,000


Closing Balance 4,42,75,000 4,11,75,000

c. Capital Redemption Reserve

Opening Balance 45,20,000 45,20,000

(+) Current Year Transfer - -


Closing Balance 45,20,000 45,20,000

d. Share Premium

Opening Balance 2,17,00,000 2,17,00,000

(+) Current Year Transfer - -


Closing Balance 2,17,00,000 2,17,00,000

-

e. Surplus

Opening balance 1,05,54,018 1,13,57,946

(+) Net Profit for the current year 1,50,08,885 1,36,10,948

(-) Dividend Paid 79,26,379 80,50,902

(-) Dividends Distribution Tax 16,28,261 16,38,974

(-) Transfer to General Reserve 20,00,000 20,00,000

(-) Transfer to Statutory Reserve 31,00,000 27,25,000

Closing Balance 1,09,08,263 1,05,54,018

Total (a+b+c+d+e) 11,79,03,263 11,24,49,018

42

Long Term ProvisionsAs at

31st March 2019As at

31st March 2018

NOTE - 4: Long term borrowings

Note 5 : Long Term Provisions

NOTE - 6- Short term Borrowings

Other ProvisionProvisions for Non Performing Assets 2,21,29,188 1,43,51,081Provision for un-realised Finance charges 1,04,09,611 68,00,519Contingent Provision for Standard Assets 33,27,195 31,87,832

Total 3,58,65,994 2,43,39,432

# The company is registered with Reserve Bank of India (RBI) as Deposit Accepting Company. The company has accepted deposits as per extent

RBI Guidelines and its repayments are also governed by the directives issued by the RBI from time to time and as per the terms and conditions of

deposit.

Long Term BorrowingsAs at


31st March 2018

Secured

Debentures

1,69,868 (previous year 1,21,872) Non convertible Redeemable

Debentures of Rs. 1,000 each 16,98,68,000 12,18,72,000

Secured against movable properties in the form of floating charge excluding

investments purchased for the purpose of statutory liquidity subject to prior

charge created in the favour of company's banker on the hypothecation of

documents of the company.

b) HDFC Bank Ltd. (Secured against Hypothecation of Car) 11,87,368 23,87,201

Repayable in 37 monthly Installments of Rs. 1,12,320/- carrying

interest @ 8.02%

17,10,55,368 12,42,59,201

Unsecured

Deposits # 18,09,61,942 15,97,21,153

Total 35,20,17,310 28,39,80,354

Short Term BorrowingsAs at


31st March 2018

Secured

(a) Working Capital Loans repayable on demand from Bank

i) Punjab National Bank 9,90,78,948 13,79,86,826

(Secured against hypothecation of documents, promissory notes, Equitable Mortgage of

Land of the company situated at Civil Lines, Near Prem Eye Hospital, Jalandhar, Property

of Punjab Reliable Investments situated at Nawanshahr, Property in the name of Growth

Properties Pvt. Ltd. at Jalandhar and Personal Guarantee of the Directors)

Ii) Punjab National Bank

Overdraft (Secured against FDRs of Punjab Reliable Investments Pvt. Ltd. And

Reliable Agro, Engg. Services Pvt. Ltd. 5,00,46,301 0

14,91,25,249 13,79,86,826

Unsecured

Deposits# 7,48,80,698 10,71,59,488

Total 22,40,05,947 24,51,46,314

43

NOTE - 7: Other Current liabilities

NOTE-8: Short Term Provisions

A : There is no amount due for payment to the Investor Education and Protection Fund under section 125 of the Companies Act, 2013 as on

31/03/2019

(a) Current maturities of long-term debt (Deposit) 3,49,61,183 2,46,25,614

(b) Current maturities of long-term debt (Debentures) 5,87,48,000 6,76,12,000

(c) Interest accrued but not due on Deposit 2,77,11,303 2,25,94,009

(d ) Interest accrued but not due on debentures 1,94,20,393 1,34,99,334

(e) Interest accrued and due on debentures 27,119 1,92,297

(f) Interest accrued and due on deposits 78,960 1,74,856

(g) Interest payable on debenture application money 68,224 39,017

(h) Security deposit 10,18,735 8,18,735

(i) Interest payable on security deposit 1,22,823 1,96,476

(j) Unpaid dividends (refer note A below) 5,05,066 5,45,146

(k) Unpaid matured deposits and interest accrued thereon (refer note A below) 1,84,58,450 1,87,36,938

(l) Unpaid matured debentures and interest accrued thereon (refer Note A below) 1,20,30,499 1,07,13,340

(m) Tax deducted at source 23,67,578 21,53,897

(n) Trade advance 11,02,485 1,84,363

(o) Sundry payable 18,21,121 2,29,41,572

(p) Cheque issued but not yet presented 3,03,34,483 2,59,62,543

(q) Contingency security 37,87,288 29,68,830

(r) GST payable 53,474 45,610

(s) Expenses payable 4,61,490 5,77,253

(t) Stamp duty payable 0 1,06,669

(u) Salary/ Leave Salary payable 22,84,878 20,21,257

(v) Contribution to PF/ESI 2,10,661 1,85,089

(w) Bonus payable 17,12,531 15,63,623

(x) Current Maturity of Long term Debt ( Car Loan) 11,99,833 11,07,648

(y) Punjab State Development Tax 10,240 0

Total 21,84,96,817 21,95,66,116

Other Current LiabilitiesAs at


31st March 2018

Short Term ProvisionsAs at


31st March 2018

Others

Provision for Income tax 85,56,000 76,82,000

Total 85,56,000 76,82,000

44

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On disposals



Particulars

Particulars


31st March 2019


31st March 2018

Other Investments

(a) Investment in Equity instruments- Sarup Tanneries Ltd. 2,968 2,968

(b) Investments in 9.25% preference shares-

Punjab Kashmir Finance Ltd. 830 (PY 430) Shares of Rs. 1000 0 8,30,000

(c) Investments in 9% preference shares-

Punjab Kashmir Finance Ltd. (68 shares of 1000 each) 0 68,000

(d) Investments in Government or Trust securities

i) 9.50% Punjab State Electricity Board 0 60,00,000

ii) 9.20% West Bengal Infra-structure Development Financial Corp. 50,00,000 50,00,000

iii) 9.43% Punjab State Industrial Development Corp. 90,00,000 90,00,000

iv) 9.45% Haryana Vidyut Parsaran Nigam Ltd. 1,00,00,000 1,00,00,000

v) 9.70% Tamilnadhu Genreration & Distribution Corp. Ltd. 50,00,000 50,00,000

vi) 9.97% Andhara Pardesh Power Corp. 50,00,000 50,00,000

vii) 9.99% Kerala Finance Corp. 0 12,50,000

(viii) 8.74% Andhra Pardesh Power Corp. 50,00,000 50,00,000

ix) 9.20% Tamilnadhu Power Finance & Infrastructure Dev. Corp.Ltd. 90,00,000 90,00,000

4,80,00,000 5,52,50,000

Total (a+b+c+d) 4,80,02,968 5,61,50,968

Less : Provision for dimunition in the value of Investments - -

Total 4,80,02,968 5,61,50,968

Note: 10 Non Current Investments

Aggregate amount of quoted investments 3,40,02,968 3,22,52,968

Aggregate amount of unquoted investments 1,40,00,000 2,38,98,000

Market value of quoted bonds un-ascertainble. The investments are valued at cost.

Note: 11 Deferred Tax

45

Particulars

Deferred Tax Assets

a) Tax impact of expenditure u/s 43B of the Income Tax Act, 1961 33,575 33,575

b) Tax impact of provisions for Non-performing Assets (Net of Amount deductible u/s 36(1)

(vii) of the Income Tax Act, 1961) 77,55.141 50,40,506

c) Tax impact of provision for standard asset 9,25,626 8,86,855

Total (a+b+c) 87,14,342 59,60,936

Less : Deferred Tax liability

Tax impact of difference between book depreciation and depreciation under

Income Tax Act, 1961 1,89,910 1,94,007

Net Deferred Tax affect 85,24,432 57,66,929

46

Loans and advances

a) Capital Advance 1,09,01,192 1,04,01,192

b) Security Deposit - -

c) Loans and advances to related parties - -

d) Other Advances - -

i) Loan and advances against Hypothecation of Assets

Secured

Considered Good 49,00,70,068 46,97,11,053

Doubtful 8,44,27,640 57,44,97,708 5,88,29,907 52,85,40,960

ii) Loans and advances (other)

Secured Considered Good - 12,69,157 -

Unsecured - -

Considered Good - -

Doubtful 20,000 20,000 1,20,200 13,89,357

58,54,18,900 54,03,31,509

Note 12: Long Term Loans and advances

Note 14 : Cash and bank balances

Note 13: Other Non Current Assets

Long Term Loans and AdvancesAs at


31st March 2018

Other Non Current Assets

Cash and Cash EquivalentsAs at


31st March 2018



a) Income tax paid for earlier years (Net of Provision) 13,73,593 4,52,483

b) Security Deposit 1,26,837 50,412

c) Premium on Investments 1,96,968 4,68,968

Less : Transferred to P & L A/c. 52,000 1,44,968 2,72,000 1,96,968

16,45,398 6,99,863

a. Cash on hand 1,00,89,053 67,92,344

b. Cheques drafts on hand 41,59,081 31,01,226

c. bank balances - in current a/c

i) In current a/cs 28,01,818 22,24,154

ii) in un-claimed dividend a/c 5,05,066 33,06,884 5,46,660 27,70,814

1,75,55,018 1,26,64,384

47

Other Current Assets



Note 16: Other Current Assets

i) Advance tax paid 83,08,016 81,86,706

ii) Interest Accrued on Investments 52,72,867 51,94,341

iii) Sundry receivables 31,68,585 12,26,806

iv) Pre paid expenses 3,09,793 4,88,708

v) GST/input Credit receivable 2,64,786 1,40,773

1,73,24,047 1,52,37,334

ParticularsFor the year ended

31st March 2019For the year ended

31st March 2018

Note 17: Revenue from operations

STATEMENT OF PROFIT & LOSS

Revenue From Operations

i) Finance charges and settlement from Hypothecation 14,53,35,151 12,49,28,909

ii) Interest on Loans and advances (Other) 13,18,717 8,99,322

iii) Interest on Government Securities 42,93,099 44,67,753

iv) Documentation Charges 22,01,669 15,31,48,636 22,67,231 13,25,63,215

Total 15,31,48,636 13,25,63,215

Short Term Loans and AdvancesAs at


31st March 2018

Note 15: Short Term Loans and Advances

a) Loan and advances against Hypothecation of Assets

Secured Considered Good 33,30,73,465 31,48,15,757

b) Loans and advances (Other)

Unsecured Considered Good 6,28,922 8,86,470

c. Others

Secured considered good 12,69,157 14,01,309

Unsecured Considered Good

i) Advances to Staff 4,60,777 5,72,652

Secured Considered Good

ii) Loan Against company's FDRs/ company's security 73,15,171 90,45,105 91,20,356 1,10,94,317

34,27,47,492 32,67,96,544

48

(a) Salaries incentives 2,66,95,883 2,43,35,958

(b) Bonus 17,67,108 16,46,637

(c) Contributions to -

(i) Provident & Other Fund 13,46,752 11,84,209

(d) Gratuity fund contributions 89,938 4,56,311

(e) Staff welfare expenses 16,64,169 14,61,210

Total 3,15,63,850 2,90,84,325

Employee Benefit Expenses

Particulars

For the year ended31 March 2019st

For the year ended31st March 2019

For the year ended31 March 2018st


NOTE 19: Employee Benefit Expenses

NOTE 20 : Finance Cost

Interest expense

(i) Deposits 2,56,41,508 2,67,47,454

(ii) Debentures 2,11,49,992 1,42,76,309

(iii) Bank Borrowings 82,99,450 71,66,276

(iv) Other Borrowings 1,28,40,282 85,76,193

Bank Charges 4,85,138 5,26,080

Stamp Duty on debentures 4,05,542 4,38,900

Total 6,88,21,912 5,77,31,212

ParticularsFor the year ended


31st March 2018

Note 18: Other Income

Dividend Income 81,895 81,995

Profit on sale of Fixed Assets 1,30,132 1,19,405

Bad debts recovered 4,62,824 18,62,689

Rebate & Discount 4,53,852 3,54,317

Interest deducted on pre mature Deposit/debentures 4,67,239 3,97,769

Misc. Income 77,211 1,11,035

Total 16,73,153 29,27,210

Advertisement 34,21,817 33,78,611Annual General Meeting Expenses 88,266 89,391Payment to Auditor 1,53,000 1,53,000Books & Periodicals 79,328 93,155Business Development 1,11,996 75,261Car Expenses 6,06,420 4,72,156Charity & Donation 3,57,020 2,37,811Club & Membership 1,38,989 1,34,448Commission 2,14,762 3,11,600Computer Expenses 5,61,186 8,55,999Directors Meeting Fee 2,63,000 2,02,500Diwali Expenses 3,90,674 1,90,076Document Charges 66,005 61,216Electricity and water charges 3,19,184 3,05,141General Expenses 6,28,617 3,86,923Generator Expenses 92,365 49,752Insurance Premium 5,03,132 4,20,724Legal Charges 2,76,683 2,79,348Printing and Stationery 7,92,318 7,12,362Professional charges 11,96,007 10,90,232Rates and taxes 27,233 56,923Rent 8,11,461 5,82,434Repair and maintenance - Building Repair 3,66,741 2,54,621 - other Repair 5,48,053 1,40,099Telephone and Postage 9,02,020 9,95,543 Traveling and Conveyance 17,75,458 18,10,569GST Paid 5,06,929 4,86,453Security Expenses 1,51,510 1,07,686Loss on Sale of Bonds 0 56,000Premium on Investments written off 52,000 2,72,000Total 1,54,02,174 1,42,62,034

49

Other ExpensesFor the year ended


31st March 2018

NOTE 21: Other Expenses

NOTE 22 Provisions and write off

Particulars For the year ended31st March 2019


Bad Debts written off 19,10,498 16,05,243Loss on sale of repossessed assets 17,83,240 10,75,579Provision for Non Performing Assets 77,78,107 67,04,732Provisions for un-realised Finance charges 36,09,092 15,19,764Provision for Standard Assets 1,39,363 7,98,394Rebate and Discount 3,11,015 6,94,891

Total 1,55,31,315 1,23,98,603

Payments to the auditor as For the year ended31st March 2019


a. auditor 1,53,000 1,53,000

b. for taxation matters - -

c. for company law matters - -

d. for management services - -

e. for other services - -

f. for reimbursement of expenses - -

Total 1,53,000 1,53,000

50

NOTE No. 23 : GENERAL

23.1 Statutory Reserve:

A sum of Rs. 31,00,000/- (Minimum 20% of Profit after tax) has been transferred to Statutory Reserve in accordance with Section 45-IC of the

Reserve Bank of India Act, 1934.

23.2 Company has issued Secured Redeemable Non Convertible Debentures having face value of Rs. 1000/- which are redeemable at par in

accordance with the terms of allotment. Maturity Profile and Rate of Interest on Non-Convertible Debentures are as set below-

7.40 2057000 0 0 0 0 20570007.50 2595000 0 0 0 0 25950007.55 670000 0 0 0 0 6700007.60 1825000 0 0 0 0 18250007.65 355000 0 0 0 0 3550007.70 410000 0 0 0 0 4100007.75 2190000 2215000 0 0 0 44050007.80 0 0 2000000 0 0 20000007.85 5140000 0 0 0 0 51400007.90 2015000 500000 0 0 0 25150008.00 2901000 3665000 4886000 0 0 114520008.05 770000 0 500000 351000 0 16210008.10 3830000 4500000 260000 0 0 85900008.15 2025000 250000 0 0 0 22750008.20 0 0 0 2200000 0 22000008.25 1790000 5400000 2880000 1950000 1800000 138200008.30 2966000 200000 2770000 0 100000 60360008.35 406000 3910000 0 1540000 0 58560008.40 2440000 2000000 1765000 0 0 62050008.45 995000 0 0 0 0 9950008.50 1650000 4616000 6165000 1300000 1700000 154310008.55 500000 200000 1304000 1900000 260000 41640008.60 8412000 1000000 1736000 0 20000 111680008.65 0 4650000 1700000 700000 400000 74500008.70 500000 0 500000 0 530000 15300008.75 0 13525000 1265000 9205000 2050000 260450008.80 1600000 0 1780000 1804000 0 51840008.85 0 0 3030000 3500000 1164000 76940008.90 0 0 2000000 400000 0 24000008.95 0 0 913000 0 300000 12130009.00 3341000 0 15184000 7300000 9800000 356250009.05 0 0 0 2050000 0 20500009.10 2080000 0 800000 0 900000 37800009.15 0 0 0 1600000 0 16000009.20 0 0 1500000 0 700000 22000009.25 0 0 350000 0 0 3500009.30 0 0 2150000 0 0 21500009.40 0 0 0 0 2000000 20000009.50 0 1261000 0 0 0 12610009.75 0 1300000 0 0 0 130000010.00 700000 3128000 0 0 0 382800010.25 0 1600000 0 0 0 160000010.50 1400000 2261000 0 0 0 366100010.75 3185000 725000 0 0 0 3910000TOTAL 58748000 56906000 55438000 35800000 21724000 228616000

Rate of Interest

(%)

Maturity Profile of Debentures

2019-20 2020-21 2022-23 2023-242021-22 Total

23.9 Related party disclosures-Names of related Parties a) Key Management Personnel Mr. Alok Sondhi , Mg. Director

Mr. Vivek Sondhi, Joint Mg. DirectorMr. Ashim Sondhi, Director

b) Relatives of Key Management Personnel: Mr. Alok Sondhi Mrs. Anuradha Sondhi Wife

Mrs. Aradhana Misra DaughterMrs. Aditi Soni DaughterRaizada Balbir Raj Alok Sondhi HUFMrs. Raj Mohini Sondhi Mother

Mr. Vivek Sondhi Mrs. Vandana Sondhi WifeMs. Varuna Sondhi DaughterMs. Vijaya Sondhi DaughterRaizada Balbir Raj Vivek Sondhi HUFMrs. Raj Mohini Sondhi Mother

Mr. Ashim Sondhi Mrs. Ruhani Wife

51

The remuneration to Directors has been paid in accordance with Schedule V of the Companies Act, 2013.23.5 Interest expense includes Rs. 16,40,900/- ( Previous Year Rs 25,05,028/-) paid to the Directors on their deposits.23.6 Interest on overdue deposit is accounted for as and when such deposits are renewed and further renewed.23.7 Earning per share (Basic and Diluted)

Basic EPS

1. Profit after Tax 1,50,08,885 1,36,10,948

Less:

2. Dividend on Preference shares including Dividend Distribution tax 33,94,751 35,21,877

3. Profit available for Equity shareholder (1-2) 1,16,14,134 1,00,89,071

4 No. of Equity Shares 50,00,000 50,00,000

5 Earning per share (Basic) (3 / 4) 2.32 2.02

6 Earning per share (Restated) (3/7)

Diluted EPS

7. No. of Equity Shares 50,00,000 50,00,000

8. Add: Potential Equity shares on Conversion of Preference shares

(calculated on the basis of Book value at the end of the year) 9,94,233 10,27,588

9. Total shares 59,94,233 60,27,588

10. Diluted EPS (1/9) 2.50 2.26

31 March, 2018stSr. No. Particulars 31 March, 2019st

23.8 Dividend proposed to be distributed on shares is as under-

Particulars Amount Per Share

To preference shareholders 28,15,929 As per terms of allotment

To Equity Shareholders 50,00,000 Rs. 1.00 per share

Sr. No. Particulars 2018-19 2017-18

a) Salary 43,05,683 38,94,072

b) Contribution to PF 43,200 43,200

c) Perquisites 2,55,449 2,11,943

Total 46,04,332 41,04,215

23.3 In the opinion of the Board of Directors, current Assets, loans and advances granted in the ordinary course of business are expected to realize as stated in the Balance Sheet.

23. 4 Remuneration to directors:

d) Related party transactions for the year ended on 31st March, 2019

52

c) Enterprises owned or significantly influenced by Key Managerial Personnel or their relatives

i) Punjab Kashmir Finance Ltd.

ii) Punjab Reliable Investments Pvt. Ltd.

iii) Reliable Agro. Engg. Services Pvt. Ltd.

iv) PKF Securities Pvt. Ltd.

V) Growth Properties Pvt. Ltd.

23.10 There is no amount due to small scale industries in terms of the 'The Micro, Small and Medium Enterprises Development Act 2006'.

23.11 The balance shown in the Balance Sheet on account of Sundry debtors, Sundry Advances and Creditors are subject to confirmation.

23.12 From time to time, the company has purchased Securities for complying with the SLR requirement as prescribed under Section 45IB

of the Reserve Bank of India Act, 1934. Since the purchase of securities are either at premium at discount, the company has followed

consistent policy of disclosing the securities at face value, the difference so arisen is charged to the profit & loss account on

proportionate basis by taking into account the year of redemption of security.

23.13 Additional Disclosures as required by Para No. 70 of the Non Banking Financial Company Systemically Important Non Deposit

Taking Company and Deposit Taking Company (Reserve Bank) Directions, 2016.

Nature of

Transaction

Key Management

Personnel

Relatives of key Management

PersonnelAssociates Previous yearTotal

Income

Dividend Nil Nil 81,895 81,895 81,895

Expenses

Remuneration 46,04,332 Nil Nil 46,04,332 41,04,215

Interest 3,44,047 22,63,699 70,50,244 96,57,990 83,59,534

Director meet. fees 1,14,000 36,000 Nil 1,50,000 1,13,500

Service/Outsou.fees Nil Nil 5,40,000 5,40,000 Nil

Dividend 7,37,525 1,97,700 30,93,169 40,28,394 40,31,194

Asset

Preference shares Nil Nil Nil Nil 8,98,000

Liabilities

Equity Shares 59,32,000 19,77,000 2,99,72,000 3,78,81,000 3,83,26,000

Preference Shares 14,50,000 Nil Nil 14,50,000 25,12,850

Deposit 26,14,871 2,12,48,566 Nil 2,38,63,437 2,89,09,658

a) Capital Adequacy Ratio

i) CRAR (%) 21.55% 22.54%

ii) CRAR - Tier I Capital (%) 21.18% 22.17%

iii) CRAR - Tier II Capital (%) 0.37% 0.37%

iv) Amount of subordinated debt raised as Tier-II Capital Nil Nil

v) Amount raised by issue of Perpetual Debt Instruments Nil Nil

Particulars 31st March 2019 31st March 2018

b) Investments

(1) Value of Investments

(i) Gross Value of Investments

(a) In India 480.03 561.51

(b) Outside India Nil Nil

(ii) Provisions for Depreciation

(a) In India Nil Nil


(iii) Net Value of Investments

(a) In India 480.03 561.51


(2) Movement of provisions held towards depreciation on investments.

(i) Opening balance Nil Nil

(ii) Add : Provisions made during the year Nil Nil

(iii) Less : Write-off / write-back of excess provisions during the year Nil Nil

(iv) Closing balance Nil Nil

(Amount in Rs.Lac)

Particulars

53

31st March 2019 31st March 2018

c) Asset Liability Management (Amt in Lac)

Up to 30/31 days

Over 1 month to2 Month

Over 2months to3 months

Over 3months to6 months

Over 6months to

1 Year

Over 1Year to3 Year

Over 3Year to5 Year

Over 5 Years

Total

Deposits 245.15 102.83 84.70 153.70 671.54 1390.65 418.97 Nil 3067.54

Debentures 107.63 114.98 Nil 290,19 182.31 1123.44 575.24 Nil 2393.79

Bank 0.96 0.97 0.98 2.97 1497.37 11.87 Nil Nil 1515.12

Inflows

Advances 446.96 279.62 278.27 898.51 1524.12 4075.20 1352.50 317.48 9172.65

Investments Nil Nil 90.00 Nil Nil 227.00 163.00 0.03 480.03

Outflows

Borrowings

d) Ratings assigned by credit rating agencies and migration of ratings during the year

Company has obtained Credit Rating of its Fixed Deposits and Bank Loan from CRISIL and has been assigned credit rating of FA- /Stable to

Fixed Deposit and BBB/Stable on Bank Loan Rating. CRISIL has reaffirmed the credit rating at the same level which is valid upto 21st

March 2020.

e) Remuneration of Non-Executive Director

Company has not paid any remuneration to the Non-executive Directors during the year except fees of Rs. 1,49,000/- ( PY 1,17,000) for

attending the meeting of Board of Directors.

f) Provisions and Contingencies

Provisions for depreciation on Investment Nil Nil

Provision towards NPA 113.87 82.24

Provision made towards Income tax 85.56 76.82

Provision for Deferred Tax (27.58) (14.30)

Provision for Standard Assets 1.39 7.98

(Amount in Rs. Lac)

Break up of 'Provisions and Contingencies' shown under the head Expenditure

in Profit and Loss Account

54

31st March 2019 31st March 2018

g) Concentration of Deposits, Advances, Exposures and NPAs

i) Concentration of Deposits

Total Deposits of twenty largest depositors 700.47

Percentage of Deposits of twenty largest depositors to Total Deposits of the NBFC 22.83%

(Amount in Rs. Lacs)

Total Advances to twenty largest borrowers 1147.20

Percentage of Advances to twenty largest borrowers to Total Advances of the NBFC 12.51%


Total Exposure to twenty largest borrowers / Customers 1147.20

Percentage of Exposures to twenty largest borrowers / customers to Total Exposure of

the NBFC on borrowers / customers 12.51%


ii) Concentration of Advances

iii) Concentration of Exposures

Total Exposure to top four NPA accounts 135.68


iv) Concentration of NPAs

v) Sector-wise NPAs

1. Agriculture & allied activities 28.06%

2. MSME 11.68%

3. Corporate borrowers NIL

4. Services NIL

5. Unsecured personal loans NIL

6. Auto loans 7.47%

7. Other personal loans NIL

Sl. No. Sector Percentage of NPAs to Total Advances in that sector

55

h) Movement of NPAs

(i) Net NPAs to Net Advances (%) 5.87% 4.53%

(ii) Movement of NPAs (Gross)

(a) Opening balance 589.50 406.01

(b) Additions during the year 439.20 377.04

(c) Reductions during the year 184.22 193.55

(d) Closing balance 844.48 589.50

(iii) Movement of Net NPAs


(b) Additions during the year 260.70 220.57

(c) Reductions during the year 119.59 119.33


(iv) Movement of provisions for NPAs (excluding provisions on standard assets)


(b) Provisions made during the year 178.50 156.47

(c) Write-off / write-back of excess provisions 64.63 74.22


(Amount in Rs.Lac)

Particulars 31st March 2019 31st March 2018

Liabilities side :

(1) Loans and advances availed by the NBFCs inclusive of

interest accrued thereon but not paid :

(a) Debentures : Secured 2600.94 120.30

: Unsecured ---------- ----------

(other than falling within the meaning

of public deposit)

(b) Deferred Credits ---------- ----------

(c) Term Loans 23.87 ----------

(d) Inter-Corporate loans and borrowing 221.20 ----------

(e) Commercial Paper ---------- ----------

(f) Public Deposits 2842.12 184.58

(g) Others --------- ----------

i) Directors & Directors relatives 307.20 ----------

ii) Bank Borrowings 1491.25 ----------

(2) Break-up of (1) (f) above (Outstanding public deposits

inclusive of interest accrued thereon but not paid) :

(a) In the form of unsecured debentures ---------- ----------

(b) In the form of partly secured debentures i.e. debentures ---------- ----------

where there is a shortfall in the value of security.

(c) Other public deposits 2842.12 187.58

Assets side :

Amount outstanding

(3) Break-up of Loans and Advances including bills receivables

(other than those included in (4) below) :

(a) Secured 73.15

(b) Unsecured 11.10

NOTE NO. 24[Schedule to the Balance sheet as required in terms of Paragraph 18 of Non-Banking

Financial Company systematically Important Not Deposit taking Company &

Deposit taking Company (Reserve Bank) Directions 2016]

Particulars

(Rs. in lakhs)

Amount Outstanding

Amount Overdue

56

57

(4) Break-up of Leased Assets and stock on hire and other assets

counting towards AFC activities

(i) Lease assets including lease rentals under sundry debtors :

(a) Financial lease ----------

(b) Operating lease ----------

(ii) Stock on hire including hire charges under sundry debtors:

(a) Assets on hire ----------

(b) Repossessed Assets ----------

(iii) Other Loans counting towards AFC activities :

(a) Loans where assets have been repossessed ----------

(b) Loans other than (a) above 9088.44

(5) Break-up of Investments :

Current Investments :

Quoted :

(i) Shares : (a) Equity ----------

(b) Preference ----------

(ii) Debentures and Bonds ----------

(iii) Units of mutual funds ----------

(iv) Government Securities ----------

(v) Others (please specify) ----------

Unquoted :


(b) Preference ----------



(iv) Government Securities ----------

(v) Others ----------

Long Term Investments :

1. Quoted :


(b) Preference 0.03



(iv) Government Securities 340.00

(v) Others ----------

2. Unquoted :


! (b) Preference ----------



(iv) Government Securities 140.00

(v) Others (please specify) ----------

58

(6) Borrower group-wise classification of assets financed as in (3) and (4) above :

Amount net of Provisions

Category Secured Unsecured Total

1. Related Parties

(a) Subsidiaries ---------- ---------- ----------

(b) Companies in the same group ---------- ---------- ----------

(c) Other related parties ---------- ---------- ----------

2. Other than related parties 8836.20 11.06 8847.26

Total 8836.20 11.06 8847.26

(7) Investor group-wise classification of all investments (current and long term) in shares and

securities (both quoted and unquoted)

Category Market Value/ Book Value

Break up or fair (Net of

value or NAV Provisions)

1. Related Parties

(a) Subsidiaries ---------- ----------

(b) Companies in the same group ---------- ----------

(c) Other related parties ---------- ----------

2. Other than related parties 480.00 480..0

Total 480.00 480..00

(8) Other information

Particulars Amount

(i) Gross Non-Performing Assets

(a) Related parties ----------

(b) Other than related parties 844.48

(ii) Net Non-Performing Assets

(a) Related parties ----------

(b) Other than related parties 519.09

(iii) Assets acquired in satisfaction of debt ----------

Documents

PKF Finance Ltd · 2019. 9. 3. · Corporate Office : 'Balbir Tower', PKF-Namdev Chowk, G. T. Road, Jalandhar-144001. Ph. : 2238611-15 E-mail : [email protected] Website : Statutory