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Aaron Industries Ltd.

BSE: 535103 Sector: Engineering
NSE: AARON ISIN Code: INE721Z01010
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Aaron Industries Ltd. (AARON) - Director Report

Company director report

To

The Members

Your Directors are pleased to present the 8th Annual Report of your Companytogether with the Audited Financial statements and Auditors' Report for the year ended on31st March 2021.

1. FINANCIAL HIGHLIGHTS & STATE OF AFFAIRS:

The financial performance of the Company for the financial year ended 31stMarch 2021 is summarized below:

(Rs in Lakhs)
Particulars 2020-21 2019-20
Revenue from Operations 2492.44 2139.92
Other Income 12.19 3.74
Net Income 2504.63 2143.66
Profit/(Loss) Before Tax & Exceptional/Extraordinary Items 245.62 196.19
Less: Exceptional/Extraordinary items 0.00 0.00
Profit/(Loss) Before Tax 245.62 196.19
Less: Tax Expense :
- Current Tax 41.00 33.61
- Deferred Tax Charge/ (Credit) 11.92 28.18
Net Profit/(Loss) After Tax 192.70 134.40

The Net Income of your Company for the current year was increased to 2504.63 Lakhs asagainst 2143.66 Lakhs of the previous year. Accordingly the Company's Net Profit afterTax has been increased to 192.70 Lakhs for the current year as against the Net Profitafter Tax of 134.40 Lakhs of the previous year.

2. DIVIDEND:

The Board of Directors do not recommend any dividend for the financial year 2020-21.

3. TRANSFER OF UNCLAIMED DIVIDEND TO THE INVESTOR EDUCATION AND PROTECTION FUND (IEPF):

In accordance with the provisions of Sections 124 and 125 of the Companies Act 2013and Investor Education and Protection Fund Authority (Accounting Audit Transfer andRefund) Rules ("IEPF Rules") dividends of a company which remain unpaid orunclaimed for a period of seven years from the date of transfer to the Unpaid DividendAccount shall be transferred by the Company to the Investor Education and Protection Fund("IEPF").

In terms of the foregoing provisions of the Act there is no dividend which remainsoutstanding or remains to be paid & require to be transferred to the IEPF by theCompany during the year ended 31st March 2021.

4. SHARE CAPITAL:

During the year under review your Company's Authorised Share Capital has beenincreased from Rs. 60000000/- (Rupees Six Crore) divided into 6000000 (Sixty Lakh)equity shares of Rs. 10/- each to Rs. 110000000/- (Rupees Eleven Crore) divided into11000000 (One Crore Ten Lakh) equity shares of Rs. 10/- each.

During the year under review your Company's issued subscribed & paid up EquityShare Capital has been increased from Rs. 52611140/- (Rupees Five Crore Twenty Six LakhEleven Thousand One Hundred and Forty) consisting of 5261114 (Fifty Two Lakh Sixty OneThousand One Hundred and Fourteen) equity shares of Rs. 10/- each to Rs. 100439390/-(Rupees Ten Crore Four Lakh Thirty Nine Thousand Three Hundred and Ninety) consisting of10043939 (One Crore Forty Three Lakh Nine Hundred and Thirty Nine) equity shares of Rs.10/- each by way of issue of Bonus shares in the proportion of 10:11.

5. TRANSFER TO RESERVES:

The Company has not transferred any amount to the Reserves for the financial year ended31st March 2021.

6. MANAGEMENT DISCUSSION AND ANALYSIS REPORT:

Pursuant to Regulation 34(2) read with Schedule V of the SEBI (Listing Obligations andDisclosure Requirements) Regulations 2015 Management Discussion and Analysis Report ispresented in a separate section forming part of this Annual Report.

7. CORPORATE GOVERNANCE:

Your Company has incorporated the appropriate standards for the Corporate Governance.During the year the Company has migrated from SME platform (NSE Emerge) to the main boardof National Stock Exchange (NSE) w.e.f. 6th November 2020. Pursuant toRegulation 15(2) of SEBI (Listing Obligations and Disclosure Requirements) Regulations2015 the SME's are not required to mandatorily comply with the provisions of certainregulations of the SEBI (Listing Obligations and Disclosure Requirements) Regulations2015 and as the Company was SME listed prior to the said date of migration to the mainboard of NSE Company has not filed the Corporate Governance Report for the quarters endedprior to and on 30th June 2020 and 30th September 2020 to theStock Exchange. However the Company has complied with major requirements of CorporateGovernance norms. Further post Migration of the Company to the main board of NSE Companyhas filed all the quarterly compliance reports on Corporate Governance within the due timeline to the Stock Exchange as specified in regulation 27(2) of the SEBI (ListingObligations and Disclosure Requirements) Regulations 2015 and all other CorporateGovernance norms mentioned under the said regulation dully complied by the Company.

Pursuant to Regulation 34(3) read with Schedule V of Securities and Exchange Board ofIndia (Listing Obligations and Disclosure Requirements) Regulations 2015 a report onCorporate Governance forms an integral part of this Annual Report is given in Annexure– 1.

8. CERTIFICATE ON CORPORATE GOVERNANCE:

A certificate received from a Practicing Company Secretary regarding compliance ofconditions of Corporate Governance as required under Schedule V of SEBI (ListingObligations and Disclosure Requirements) Regulations 2015 is attached herewith inAnnexure – 2.

9. CORPORATE SOCIAL RESPONSIBILITY (CSR):-

The provisions of the CSR expenditure and Composition of Committee as provided in theSection 135 of the Companies Act 2013 is not applicable to the Company.

10. MATERIAL CHANGES AND COMMITMENT – IF ANY AFFECTING FINANCIAL POSITION OF THE

COMPANY FROM THE END OF THE FINANCIAL YEAR TILL THE DATE OF THIS REPORT:

There have been no material changes and commitments affecting the financial positionof the Company which have occurred between the end of the financial year of the Company towhich the financial statements relate and the date of this report.

11. COVID-19 AND ITS IMPACT:

Your Directors have been periodically reviewing with the Management the impact ofCOVID-19 on the Company. The Covid-19 impact remains a serious concern for governments andbusinesses. The Company has implemented Standard Operating Procedures of socialdistancing workplace sanitization and employee health monitoring and these are beingfollowed strictly across all its manufacturing locations and its registered office.Company has also taken various Initiatives focusing on safeguarding workforce health.Further Company is also taking effective steps to control cost in all quarters and assesshow profitability loans revolving credit and cash flows can support ongoing operationsin a low revenue environment.

12. RISK MANAGEMENT POLICY:-

The Company has been exempt under regulation 21 of the SEBI (Listing Obligations andDisclosure requirements) Regulations 2015 from reporting of risk management.

A well-defined risk management mechanism covering the risk mapping and trend analysisrisk exposure potential impact and risk mitigation process is in place. The board isfully aware of Risk Factor and is taking preventive measures wherever required.

13. VIGIL MECHANISM/WHISTLE BLOWER POLICY:-

The Company has adopted a Whistle Blower Policy to provide a formal mechanism to theDirectors and employees to report their concerns about unethical behaviour actual orsuspected fraud or violation of the Company's Code of Conduct or Ethics Policy. The Policyprovides for adequate safeguards against victimization of employees who avail of themechanism and provides to employees' direct access to the Chairman of the Audit Committee.It is affirmed that no personnel of the Company have been denied access to the AuditCommittee. The Whistle Blower Policy has been posted on the Website of the Company athttps://aaronindustries.net/wp-content/uploads/2020/10/Whistle-Blower-Policy-Vigil-Mechanism.pdf.

14. INFORMATION REQUIRED UNDER SEXUAL HARASSMENT OF WOMEN AT WORKPLACE

(PREVENTION PROHIBITION & REDRESSAL) ACT 2013:-

The Company has in place a policy on prevention prohibition and redressal of SexualHarassment at workplace in line with the requirements of the Sexual Harassment of Women atWorkplace (Prevention Prohibition and Redressal) Act 2013. The Internal ComplaintsCommittee has been setup to redress the complaints received on the sexual harassment. Allemployees of the Company are covered under this policy.

The details of complaints received and disposed off during the financial year 2020-21is as follows:

S. No. Particulars Remarks
1 Number of complaints filed during the financial year Nil
2 Number of complaints disposed of during the financial year Nil
3 Number of complaints pending as on end of the financial year Nil

15. PARTICULARS OF CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES:-

All Related Party Transactions that were entered into during the Financial Year underreview were on an arm's length basis and in the ordinary course of business and are incompliance with the applicable provisions of the Act and the Listing Regulations. Therewere no materially significant Related Party Transactions made by the Company during theyear that required shareholders' approval under Regulation 23 of the SEBI (ListingObligations and Disclosure Requirements) Regulations 2015.

All Related Party Transactions are placed before the Audit Committee for priorapproval. Prior omnibus approval of the Audit Committee is obtained for the transactionswhich are repetitive in nature or when the need for these transactions cannot be foreseenin advance.

Particulars of contracts or arrangements with Related Parties as required under Section134(3)(h) of the Act read with Rule 8(2) of the Companies (Accounts) Rules 2014 are givenin Annexure - 3 in Form AOC - 2 and forms part of this Report.

The Company has adopted a Policy for dealing with Related Party Transactions. ThePolicy as approved by the Board is available at the web linkhttps://aaronindustries.net/wp-content/uploads/2019/07/Related-Party-Transaction-Policy.pdf.

16. PARTICULARS OF LOANS GUARANTEES AND INVESTMENTS UNDER SECTION 186 OF THE

ACT:

The Company has not given any loan or provided any guarantee or made any investmentunder provision of Section 186 of the Companies Act 2013.

17. THE DETAILS OF APPLICATION MADE OR ANY PROCEEDING PENDING UNDER THE

INSOLVENCY AND BANKRUPTCY CODE 2016 (31 OF 2016) DURING THE FINANCIAL YEAR:

There is no application made or any proceeding pending under the Insolvency andBankruptcy Code 2016 (31 of 2016) during the financial year 2020-2021.

18. THE DETAILS OF DIFFERENCE BETWEEN AMOUNT OF THE VALUATION DONE AT THE TIME OF

ONE TIME SETTLEMENT AND THE VALUATION DONE WHILE TAKING LOAN FROM THE BANKS ORFINANCIAL INSTITUTIONS ALONG WITH THE REASONS THEREOF DURING THE FINANCIAL YEAR:

Not applicable during the financial year 2020-2021.

19. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR

TRIBUNALS:

There were no significant or material orders passed by the Regulators or Courts orTribunals during the financial year 2020-2021 impacting the going concern status andCompany's operations in future.

20. EXTRACT OF ANNUAL RETURN:

As required under Section 92(3) and 134(3)(a) of the Act and Rule 12 of the Companies(Management and Administration) Rules 2014 (as amended) an extract of Annual Return inForm MGT-9 is available on the website of the Company at the web-linkwww.aaronindustries.net.

21. DEPOSITS:

During the year under review your Company has neither invited nor accepted any PublicDeposits within the meaning of Section 73 of the Companies Act 2013 read with Companies(Acceptance of Deposit) Rules 2014.

22. DETAILS OF SUBSIDIARY JOINT VENTURE OR ASSOCIATES COMPANIES:-

As on 31st March 2021 your Company does not have any Subsidiaries JointVentures and Associates Company.

23. CHANGE IN THE NATURE OF BUSINESS:-

During the year under review there has been no change in the Company's nature ofbusiness.

24. DIRECTORS:

The Board of the Company comprises of Six (6) directors; one Managing Director oneWhole-time Director One Executive Director and remaining three (3) being IndependentDirectors. As on the date of this report the Board of the Company constitutes of thefollowing directors:

Name of Directors Category & Designation
Mr. Amar Chinubhai Doshi Executive Chairman & Managing Director
Mr. Karan Amar Doshi Executive Whole-Time Director
Mr. Monish Amarbhai Doshi Executive Director
Mr. Pradeepkumar Sanmukhlal Choksi Non-Executive Independent Director
Mr. Hetal Mehta Non-Executive Independent Director
Mrs. Shrungi Kiranbhai Desai Non-Executive Independent Director

During the financial year 2020-2021 under review Mr. Amar Doshi (DIN: 00856635)Chairman & Managing Director and Mr. Karan Doshi (DIN: 06690242) Whole Time Directorof the Company who were re-appointed as Managing Director and Whole Time Directorrespectively at the Board Meeting held on 16th January 2021 for a period ofthree years w.e.f. 1st February 2021 to 31st January 2024 subjectto approval of the members in the ensuring general meeting.

As per the provisions of the Companies act 2013 Mr. Amar Doshi (DIN: 00856635)Managing Director of the Company retires by rotation at the ensuing Annual General Meetingand being eligible offers himself for re-appointment.

25. KEY MANAGERIAL PERSONNEL:

As per the provisions of the Section 2(51) and Section 203 of the Companies Act 2013;the Key Managerial Personnel (KMP) of the Company are as follow:

Name of KMP Designation
Mr. Amar Chinubhai Doshi Managing Director
Mr. Karan Amar Doshi Whole-Time Director
Mr. Monish Amarbhai Doshi Director & CFO
Mr. Ankitkumar Tank* Company Secretary
Mr. Nitinkumar Maniya# Company Secretary

* Resigned w.e.f. 16th January 2021 # Appointed w.e.f. 16thJanuary 2021

26. INTERNAL FINANCIAL CONTROL:

In terms of Section 134(5)(e) of the Act the term Internal Financial Control means thepolicies and procedures adopted by a company for ensuring orderly and efficient conduct ofits business including adherence to company's policies the safeguarding of its assetsprevention and detection of frauds and errors accuracy and completeness of the accountingrecords and timely preparation of reliable financial information.

Internal Control over Financial Reporting (ICFR) remains an important component tofoster confidence in a company's financial reporting and ultimately streamlining theprocess to adopt best practices. Your Company through Internal Audit Program is regularlyconducting test of effectiveness of various controls. The ineffective and unsatisfactorycontrols are reviewed and remedial actions are taken immediately. The internal audit planis also aligned to the business objectives of the Company which is reviewed and approvedby the Audit Committee. Further the Audit Committee monitors the adequacy andeffectiveness of your Company's internal control framework.

Adequate internal financial controls are in place which ensures the reliability offinancial and operational information. The regulatory and statutory compliances are alsoensured.

27. AUDITORS:

a) STATUTORY AUDITOR:

The members at the 6th Annual General Meeting of the Company had appointedM/s. P. J. Desai & Co. Chartered Accountants (FRN 102330W) as the Statutory Auditorsof the Company to hold office from the conclusion of the said Annual General Meeting untilthe conclusion of 10th the Annual General Meeting to be held in the year 2023.The Ministry of Corporate Affairs vide its Notification dated 7th May 2018has dispensed with the requirement of ratification of Auditor's appointment by theshareholders every year. Hence the resolution relating to ratification of Auditor'sappointment is not included in the Notice of the ensuing Annual General Meeting.

The Company has received a certificate from M/s. P. J. Desai & Co. confirming thatthey are not disqualified from continuing as Statutory Auditors of the Company.

The Auditor's Reports for the Financial Year 2020-21 do not contain any qualificationreservation adverse remark or disclaimer. Notes to Accounts and Auditors remarks in theirreport are self-explanatory and do not call for any further comments. Pursuant toprovisions of Section 143 (12) of the Companies Act 2013 the Statutory Auditors have notreported any incident of fraud to the Audit Committee or Central Government during theyear under review.

b) INTERNAL AUDITOR:

M/s. VCAS & Co. Chartered Accountant Surat who are Internal Auditor have carriedout Internal Audit for the financial year 2020-2021. Their reports were reviewed by theAudit Committee. c) COST AUDITOR:

During the year the maintenance the cost records as specified by the CentralGovernment under subsection (1) of section 148 of the Companies Act 2013 is notapplicable to the Company.

d) SECRETARIAL AUDITOR:

Pursuant to the provisions of Section 204 of the Companies Act 2013 and the Companies(Appointment and Remuneration of Managerial Personnel) Rules 2014 the Company hadappointed Mr. Dhiren R. Dave Company Secretary in Practice to undertake the SecretarialAudit of the Company for the year ended 31st March 2021. The Secretarial AuditReport issued in this regard is annexed as Annexure - 4.

The Auditors' Report and the Secretarial Audit Report for the Financial Year ended 31stMarch 2021 do not contain any qualification or reservation or adverse remarks.

28. MEETINGS OF BOARD AND COMMITTEE:

During the Financial Year 2020-21 the Board of Directors met eight (8) times and thedetails of the meetings of the Board and its Committees are given in the CorporateGovernance Report (Annexure-1). The gap intervening between two meetings was within thetime prescribed under the Act and LODR Regulations.

Details of attendance of meetings of the Board its Committees and Annual GeneralMeeting are included in the Report on Corporate Governance which forms part of thisAnnual Report.

29. MEETING OF INDEPENDENT DIRECTORS:

In terms of requirements under Schedule IV of the Companies Act 2013 and Regulation 25(3) of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015 aseparate meeting of the Independent Directors was held on 28th October 2020& 23rd March 2021.

The Independent Directors at the meeting inter alia reviewed the following:-

? Performance of Non-Independent Directors and Board as a whole.

? Performance of the Chairman of the Company taking into account the views ofExecutive Directors and Non-Executive Directors.

? Assessed the quality quantity and timeliness of flow of information between theCompany Management and the Board that is necessary for the Board to effectively andreasonably perform their duties.

30. DECLARATION FROM INDEPENDENT DIRECTORS:

The Company has received necessary declaration from each Independent Directors underSection 149(7) of the Companies Act 2013 that they meet the criteria of independence asprovided in Section 149(6) of the Companies Act 2013 and Regulation 16(1)(b) read withRegulation 25 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations2015 confirming compliance with the criteria of independence as stipulated thereunder.

All Independent Directors of the Company have affirmed compliance with the Schedule IVof the Act and Company's Code of Conduct for Directors and Employees for the FY 2020-21.

The Independent Directors of the Company have registered themselves with the IndianInstitute of Corporate Affairs (‘IICA') towards the inclusion of their names in thedata bank maintained with it. The online proficiency self-assessment test conduct by thesaid institute is yet to be passed by them.

31. NON EXECUTIVE DIRECTORS' COMPENSATION AND DISCLOSURES:

None of the Independent / Non- Executive Directors has any pecuniary relationship ortransactions with the Company which in the Judgment of the Board may affect theindependence of the Directors.

32. FAMILIARISATION PROGRAMME FOR INDEPENDENT DIRECTORS:

The Company has adopted a familiarization programme for Independent Directors with anobjective of making the Independent Directors of the Company accustomed with the businessand operations of the Company through various structured orientation programmes. Thefamiliarization programme also intends to update the Directors on a regular basis on anysignificant changes therein so as to be in a position to take well informed and timelydecision.

The details of the Familiarization programme undertaken have been uploaded on theCompany's website.

33. PERFORMANCE EVALUATION OF BOARD AND ITS COMMITTEES:

Pursuant to the provisions of the Companies Act 2013 and SEBI (Listing Obligations andDisclosure Requirements) Regulations 2015 and as per Guidance Note on Board Evaluationissued by SEBI on 5th January 2017 the Board has carried out annualperformance evaluation of its own performance the Directors individually as well asevaluation of the working of its Committees.

34. DIRECTOR'S APPOINTMENT AND REMUNERATION POLICY:

Pursuant to provision of Section 178(3) of the Companies Act 2013 the Company has onthe recommendation of the Nomination & Remuneration Committee framed and adopted aPolicy for selection appointment cessation remuneration and evaluation of DirectorsKey Managerial Personnel and senior management personnel including criteria fordetermining qualifications positive attributes and independence of Directors. TheNomination and Remuneration Policy of the Company is available on the website of theCompany at web-linkhttps://aaronindustries.net/wp-content/uploads/2019/07/Nomination-Remuneration-policy.pdf

35. PARTICULARS OF EMPLOYEES AND RELATED DISCLOSURES:

The table containing the names and other particulars of ratio of Directors'Remuneration to Median Employees' Remuneration in accordance with the provisions ofSection 197(12) of the Companies Act 2013 read with Rule 5(1) of the Companies(Appointment and Remuneration of Managerial Personnel) Rules 2014 is attached to thisreport as Annexure – 5 and forms part of this Report.

None of the employee has received remuneration in excess of the limits as prescribedunder Section 197(12) of the Companies Act 2013 read with Rule 5(2) and 5(3) of theCompanies (Appointment and Remuneration of Managerial Personnel) Rules 2014.

36. CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS ANDOUTGO:

The details of Conservation of Energy Technology Absorption and Foreign ExchangeEarnings and Outgo as stipulated under Section 134(3)(m) of the Companies Act 2013 readwith Rule 8(3) of the Companies (Accounts) Rules 2014 is annexed as Annexure - 6 andforms part of this Report.

37. DIRECTORS' RESPONSIBILITY STATEMENT:

The Directors' Responsibility Statement referred to in Section 134(3)(c) of theCompanies Act 2013 shall state that:

(a) in the preparation of the annual accounts the applicable accounting standards hadbeen followed along with proper explanation relating to material departures;

(b) the directors had selected such accounting policies and applied them consistentlyand made judgments and estimates that are reasonable and prudent so as to give a true andfair view of the state of affairs of the company at the end of the financial year and ofthe profit and loss of the company for that period;

(c) the directors had taken proper and sufficient care for the maintenance of adequateaccounting records in accordance with the provisions of this Act for safeguarding theassets of the company and for preventing and detecting fraud and other irregularities;

(d) the directors had prepared the annual accounts on a going concern basis;

(e) the directors had laid down internal financial controls to be followed by thecompany and that such internal financial controls are adequate and were operatingeffectively.

(f) the directors had devised proper systems to ensure compliance with the provisionsof all applicable laws and that such systems were adequate and operating effectively.

38. SECRETARIAL STANDARDS:

The Company complies with all applicable mandatory Secretarial Standards issued by theInstitute of Company Secretaries of India (ICSI).

39. CHIEF FINANCIAL OFFICER (CFO) CERTIFICATION:

As required under Regulation 17(8) of the SEBI (Listing Obligations and DisclosureRequirements) Regulations 2015 a declaration by CFO was placed before the Boardcertifying the accuracy of Financial Statements and the adequacy of internal controlssystem pertaining to Financial Reporting for the year ended 31st March 2021 isattached herewith as per Annexure - 7.

40. DECLARATION REGARDING COMPLIANCE BY BOARD MEMBERS AND SENIOR MANAGEMENT

PERSONNEL WITH THE COMPANY'S CODE OF CONDUCT:

The Board of Directors has formulated and adopted the code of Conduct for all BoardMembers and Senior Management Personnel of the Company. All the Board Members and SeniorManagement Personnel have affirmed compliance with the Code on annual basis. In thisregard certificate from Managing Directors as required under Schedule V of the SEBI(Listing Obligations and Disclosure Requirements) Regulations 2015 has been received bythe Board and the same is attached herewith as per Annexure - 8.

Code of Conduct for Board of Directors and Senior Management Personnel is available onthe website of the Company at web linkhttps://aaronindustries.net/wp-content/uploads/2019/07/Code-of-Conduct-for-Board-Members-and-Senior-Management-Personnel.pdf.

41. REPORTING OF FRAUDS :

During the year under review neither the Statutory Auditor nor the Secretarial Auditorhas reported to the Audit Committee and/or Board any instances of fraud as required underSection 143(12) of the Act and the rules made thereunder.

42. REGISTRAR AND SHARE TRANSFER AGENT:

Your Company has appointed M/s. Bigshare Services Private Limited as its Registrar andShare Transfer Agent and executed post IPO agreement between Company and M/s. BigshareServices Private Limited on 3rd September 2018.

43. INSURANCE:

Your Company has taken the required insurance coverage for its assets against thepossible risks like fire flood burglary etc.

44. GREEN INITIATIVES:

In commitment to keep in line with the Green Initiative and going beyond it to createnew green initiatives electronic copy of the Notice of 8th Annual GeneralMeeting of the Company including the Annual Report for FY 2020-21 are being sent to allMembers whose e-mail addresses are registered with the Company/Depository Participant(s).For members who have not registered their e-mail addresses physical copies are sentthrough the permitted mode.

45. CAUTIONARY STATEMENT:

The Annual Report including those which relate to the Directors' Report ManagementDiscussion and Analysis Report may contain certain statements on the Company's intentexpectations or forecasts that appear to be forward-looking within the meaning ofapplicable securities laws and regulations while actual outcomes may differ materiallyfrom what is expressed herein. The Company bears no obligations to update any such forwardlooking statement. Some of the factors that could affect the Company's performance couldbe the demand and supply for Company's product and services changes in Governmentregulations tax laws forex volatility etc.

46. APPRECIATION:

The Directors take this opportunity to thank the private equity investors bankers andthe financial institutions for their co-operation and support to the operations and lookforward for their continued support in future. The Directors also thank to all thecustomers vendor partners and other business associates for their continued supportduring the year. The Directors place on record their appreciation for the hard work put inby all employees of the Company.

For and on behalf of the Board

Amar Doshi

Date: 06/08/2021 Chairman & Managing Director Place: Surat DIN: 00856635

.