To the Members of Sita Enterprises Limited

Report on the audit of financial statements

Opinion

We have audited the accompanying standalone financial statements of Sita EnterprisesLimited ("the Company") which comprise the balance sheet as at March 31 2022the statement of profit and loss including the detail of other comprehensive income thestatement of changes in equity and the cash flow statement for the year then ended andnotes to the financial statements including a summary of significant accounting policiesand other explanatory information (hereinafter referred to as "the financialstatements"). In our opinion and to the best of our information and according to theexplanations given to us the aforesaid financial statements give the information requiredby the Companies Act 2013 ("the Act") in the manner so required and give a trueand fair view in conformity with the Indian Accounting Standard (Ind-AS) and accountingprinciples generally accepted in India of the state of affairs of the Company as at March31 2022 its profit including other comprehensive income the changes in equity and itscash flows for the year ended on that date.

Basis for opinion

We conducted our audit of the financial statements in accordance with the Standards onAuditing (SAs) as specified under section 143(10) of the Act. Our responsibilities underthose Standards are further described in the ‘Auditor's responsibilities for theaudit of the financial statements' section of our report. We are independent of theCompany in accordance with the ‘Code of Ethics' issued by the Institute of CharteredAccountants of India together with the ethical requirements that are relevant to our auditof the financial statements under the provisions of the Act and the Rules there under andwe have fulfilled our other ethical responsibilities in accordance with these requirementsand the Code of Ethics.We believe that the audit evidence we have obtained is sufficientand appropriate to provide a basis for our audit opinion on the Ind-AS financialstatements.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the financial statements for the financial year ended March31 2022. These matters if any are addressed in the context of our audit of thefinancial statements and in forming our opinion thereon and we do not provide a separateopinion on these matters. We have determined that there are no such key audit matters tobe communicated in our report.

Other Information

The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the Directors Report along withannexures but does not include the Ind AS financial statements and our auditor's reportthereon.

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

In connection with our audit of the Ind AS financial statements our responsibility isto read the other information and in doing so consider whether the other information ismaterially inconsistent with the Ind AS financial statements or our knowledge obtained inthe audit or otherwise appears to be materially misstated. If based on the work we haveperformed we conclude that there is a material misstatement of this other information weare required to report that fact. We have nothing to report in this regard.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters stated in section134(5) of the Act with respect to the preparation of these financial statements that givea true and fair view of the financial position financial performance including othercomprehensive income changes in equity and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the Indian AccountingStandards (Ind AS) specified under section 133 of the Act read with the Companies (IndianAccounting Standards) Rules 2015 as amended. This responsibility also includesmaintenance of adequate accounting records in accordance with the provisions of the Actfor safeguarding of the assets of the Company and for preventing and detecting frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and the design implementationand maintenance of adequate internal financial controls that were operating effectivelyfor ensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the financial statements that give a true and fair viewand are free from material misstatement whether due to fraud or error. In preparing thefinancial statements management is responsible for assessing the Company's ability tocontinue as a going concern disclosing as applicable matters related to going concernand using the going concern basis of accounting unless management either intends toliquidate the Company or to cease operations or has no realistic alternative but to doso. Those Board of Directors are also responsible for overseeing the Company's financialreporting process.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken based onthese financial statements. As part of an audit in accordance with SAs we exerciseprofessional judgment and maintain professional skepticism throughout the audit. We arealso: - Identify and assess the risks of material misstatement of the financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control. -Obtain an understanding of internal control relevant to the audit in order to design auditprocedures that are appropriate in the circumstances. Under section 143(3)(i) of the Actwe are also responsible for expressing our opinion on whether the Company has an adequateinternal financial controls system in place and the operating effectiveness of suchcontrols. - Evaluate the appropriateness of accounting policies used and thereasonableness of accounting estimates and related disclosures made by management. -Conclude on the appropriateness of management's use of the going concern basis ofaccounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditor'sreport. However future events or conditions may cause the Company to cease to continue asa going concern. - Evaluate the overall presentation structure and content of thefinancial statements including the disclosures and whether the financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

Materiality is the magnitude of misstatements in the financial statements thatindividually or in aggregate makes it probable that the economic decisions of areasonably knowledgeable user of the financial statements may be influenced. We considerquantitative materiality and qualitative factors in (i) planning the scope of our auditwork and in evaluating the results of our work; and (ii) to evaluate the effect of anyidentified misstatements in the financial statements. We communicate with those chargedwith governance regarding among other matters the planned scope and timing of the auditand significant audit findings including any significant deficiencies in internal controlthat we identify during our audit. We also provide those charged with governance with astatement that we have complied with relevant ethical requirements regarding independenceand to communicate with them all relationships and other matters that may reasonably bethought to bear on our independence and where applicable related safeguards. From thematters communicated with those charged with governance we determine those matters thatwere of most significance in the audit of the financial statements of the current periodand are therefore the key audit matters. We describe these matters in our auditor's reportunless law or regulation precludes public disclosure about the matter or when inextremely rare circumstances we determine that a matter should not be communicated in ourreport because the adverse consequences of doing so would reasonably be expected tooutweigh the public interest benefits of such communication

Report on Other Legal and Regulatory Requirements

I. As required by the Companies (Auditor's Report) Order 2020 ("the Order")issued by the Central Government of India in terms of subsection (11) of section 143 ofthe Act we give in the "Annexure A" a statement on the matters specified inparagraphs 3 and 4 of the Order to the extent applicable. II. As required by Section143(3) of the Act we report that:

a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purposes of our audit; b) In ouropinion proper books of account as required by law have been kept by the Company so faras it appears from our examination of those books; c) The balance sheet the statement ofprofit and loss statement of changes in equity and the statement of cash flows dealt withby this Report are in agreement with the books of account;

d) In our opinion the aforesaid financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Companies (Indian AccountingStandards) Rules 2015 as amended;

e) On the basis of the written representations received from the directors as on March31 2022 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2022 from being appointed as a director in terms of Section 164 (2) of theAct;

f) With respect to the adequacy of the internal financial controls over financialreporting of the Company with reference to these financial statements and the operatingeffectiveness of such controls refer to our separate Report in "Annexure B" tothis report;

g) In our opinion the managerial remuneration for the year ended March 31 2022 hasbeen paid / provided by the Company to its directors in accordance with the provisions ofsection 197(16) read with Schedule V to the Act; h) With respect to the other matters tobe included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit andAuditors) Rules 2014 as amended in our opinion and to the best of our information andaccording to the explanations given to us: i. The Company did not have any pendinglitigation which impact on its financial positions;

ii. The Company did not have any long-term contracts including derivative contractshaving any material foreseeable losses; and iii. There are no amounts required to betransferred to the Investor Education and Protection Fund by the Company. iv. (a) Themanagement has represented that to the best of its knowledge and belief other than asdisclosed in notes to the accounts no funds have been advanced or loaned or invested(either from borrowed funds or share premium or any other sources or kind of funds) by theCompany to or in any other persons or entities including foreign entities("Intermediaries") with the understanding whether recorded in writing orotherwise that the Intermediary shall whether directly or indirectly lend or invest inother persons or entities identified in any manner whatsoever by or on behalf of theCompany ("Ultimate Beneficiaries") or provide any guarantee security or thelike on behalf of the Ultimate Beneficiaries (b) The management has represented that tothe best of its knowledge and belief other than as disclosed in the notes to theaccounts no funds have been received by the Company from any persons or entitiesincluding foreign entities ("Funding Parties") with the understanding whetherrecorded in writing or otherwise that the Company shall whether directly or indirectlylend or invest in other persons or entities identified in any manner whatsoever by or onbehalf of the Funding Party ("Ultimate Beneficiaries") or provide any guaranteesecurity or the like on behalf of the Ultimate Beneficiaries; and (c) Based on theinformation and details provided and other audit procedures followed nothing has come toour notice that has caused us to believe that the representations under sub clause iv(a)and (b) contain any material misstatement. v. The company has not declared or paid anydividend during the year. vi. Apart from sitting fees paid to the independent directorsthe company has not paid any remuneration to directors and as such reporting under section197(16) of The Companies Act 2013 is not applicable to the company.

(a) The company does not have any asset group as Property Plant and Equipment. TheCompany does not have any intangible assets and right of use assets.

(b) The clause i (b) of the order is not applicable to the company.

(c) According to the information and explanations given to us and on the basis ofexamination of records the title deeds of all immovable properties disclosed in financialstatements as Investment Properties are held in the name of the Company.

(d) The clause i (d) of the order is not applicable to the company. (e) There are noproceedings initiated or pending against the Company for holding any benami property underthe Benami Transactions (Prohibition) Act 1988 (45 of 1988) and rules made thereunder.ii.

(a) The Company's business does not involve inventories and accordingly therequirements under clause 3(ii)(a) of the Order is not applicable to the Company. (b) TheCompany has not been sanctioned any working capital limits from banks and financialinstitutions and has not borrowed any funds from lenders and as such the quarterly returnsor statements are not required to be filed by the Company and clause 3 (ii) (b) of theOrder is not applicable. iii. During the year the company has made investments in andgranted unsecured loans to companies firms Limited Liability Partnerships or any otherparties. The Company has not provided guarantees or securities during the year.

(a) As the Company is a Non- Banking Finance Company (NBFC) holding Certificate ofRegistration from Reserve Bank of India and having its principal business to give loansand make investments hence clause iii (a) and iii (e) of the Order are not applicable tothe Company. (b) In our opinion and according to information and explanation given to usthe investments made and terms and conditions on which the loan are given were prima facienot prejudicial to the interest of the Company.

(c) Loans given by the company are repayable on demand. The repayments of principalamounts and interest are generally regular barring an amount of Rupees Eighty Seven Lakhsoverdue for more than ninety days. The Company has taken reasonable steps for recovery ofprincipal and interest.

(d) All loans given by the company amounting to Rs. 324 Lakhs as on 31-03-2022 arerepayable on the demand. No loans were granted to Promoters related parties as defined inclause (76) of section 2 of the Companies Act 2013. iv. According to the information andexplanations given to us and the records of the Company examined by us the Company hascomplied with the provisions of Section 185 and Section 186 of the Act in respect of loansgranted and investments made wherever applicable. The Company has not given guaranteesand provided security. v. The Company has not accepted any deposits or amounts which aredeemed to be deposits from the public within the directives issued by Reserve Bank ofIndia and within the meaning of Sections 73 to 76 of the Act and the rules framedthereunder. vi. According to information and explanation given to us the CentralGovernment of India has not prescribed the maintenance of cost records under Section148(1) of the Act for any of the activities carried on by of the Company vii. Accordingto the records of the Company examined by us and information and explanations given to us:

(a) The company is regular in depositing Undisputed statutory dues of income tax andother applicable taxes. The provision relating to custom duty provident fund employees'state insurance Goods and service tax are currently not applicable to the Company.

(b) There are no amounts of any statutory dues which are yet to be deposited on accountof any dispute. viii. There are no such transactions relating to previously unrecordedincome that have been surrendered or disclosed as income during the year in the taxassessments under the Income Tax Act 1961 (43 of 1961). ix.

(a) According to the records of the Company examined by us and the information andexplanations given to us the Company has not borrowed any funds from government banksfinancial institution and other parties. The Company has not issued debentures during theyear. (b) According to the records of the Company examined by us and information andexplanations given to us the Company is not declared willful defaulter by any bank orfinancial institution or any other lender.

(c) According to the records of the Company examined by us and information andexplanations given to us the Company has not taken any term loan during the year andthere are no outstanding term loans at the beginning of the year and hence reportingunder clause 3(ix)(c) of the Order is not applicable.

(d) According to the records of the Company examined by us and information andexplanations given to us no funds have been raised on short term basis by the companyduring the year.

(e) According to the records of the Company examined by us and information andexplanations given to us the Company has not taken any funds from any entities to meetobligations of its associates. There are no subsidiaries and joint venture of the company.(f) According to the records of the Company examined by us and information andexplanations given to us the Company has not raised any loans during the year on thepledge of securities held in its associate and there are no subsidiary and joint venture.x. In our opinion and according to the information and explanations given to us theCompany has not raised any money by way of initial public offer or further public offer(including debt instruments) and hence reporting on clause 3(ix)(f) of the Order is notapplicable. xi.

(a) During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstance of fraud by the Company or on the Company noticed or reported during the yearnor have been informed of any such case by the Management. (b) No report under sub-section(12) of section 143 of the Act has been filed in Form ADT-4 as prescribed under rule 13 ofCompanies (Audit and Auditors) Rules 2014 with the Central Government during the yearand up to the date of this report. (c) According to the records of the Company examined byus and information and explanations given to us there are no whistle blower complaintsreceived during the year.

xii. In our opinion and according to the information and explanations given to us theCompany is not a Nidhi company and the Nidhi Rules 2014 are not applicable to it. Henceclause (xii) (a) (b) and (c) of the Order are not applicable. xiii. According to theinformation and explanations given to us and based on our examination of the records ofthe Company transactions with the related parties if any are in compliance withSections 177 and 188 of the Act and details of such transactions have been disclosed inthe standalone Ind AS financial statements as required by the applicable AccountingStandard. xiv.

(a) During the year Internal audit has been carried out by the Independent firm ofChartered accountants. In our opinion and according to the information and explanationsgiven to us the scope and coverage is commensurate with the size of the Company and thenature of its business. (b) We have considered the internal audit reports for the yearunder audit issued by Company during the year and till date in determining the naturetiming and extent of our audit procedures.

xv. According to the records of the Company examined by us and information andexplanations given to us the Company has not entered into non-cash transactions withdirectors or persons connected with him and hence provisions of section 192 of the Act arenot applicable to the Company.

xvi. The Company is registered as Non-Banking Financial Institution (NBFI) and isholding a Certificate of Registration (CoR) from Reserve Bank of India to carry onbusiness of NBFI in terms of Sec 45-IA of the RBI Act 1934. (b) In our opinion there isno core investment company within the Group (as defined in the Core Investment Companies(Reserve Bank) Directions 2016) and accordingly reporting under clause 3(xvi)(d) of theOrder is not applicable. xvii. According to the records of the Company examined by us andinformation and explanations given to us the Company has not incurred cash losses neitherin the current financial year nor in the immediately preceding financial year.

xviii. There has been no resignation of statutory auditor during the year hence clause3(xviii) of the Order is not applicable. xix. On the basis of the financial ratios ageingand expected dates of realisation of financial assets and payment of financialliabilities other information accompanying the financial statements the auditor'sknowledge of the Board of Directors and management plans there is no material uncertaintythat exists as on the date of the audit report and that the Company is capable of meetingits liabilities existing at the date of balance sheet as and when they fall due within aperiod of one year from the balance sheet date. We however state that this is not anassurance as to the future viability of the company. We further state that our reportingis based on the facts up to the date of the audit report and we neither give any guaranteenor any assurance that all liabilities falling due within a period of one year from thebalance sheet date will get discharged by the company as and when they fall due. xx. Theprovisions of section 135 of the Companies Act 2013 are not applicable to the company.

Report on the Internal Financial Controls under Clause (i) of Subsection 3 of Section143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of SitaEnterprises Limited ("the Company") as of March 31 2022 in conjunction withour audit of the financial statements of the Company for the year ended on that date.

Management's Responsibility for Internal Financial Controls

The Company's Management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls Over Financial Reportingissued by the Institute of Chartered Accountants of India. These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to the Company's policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired under the Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting(the "Guidance Note") and the Standards on Auditing as specified under section143(10) of the Companies Act 2013 to the extent applicable to an audit of internalfinancial controls both applicable to an audit of Internal Financial Controls and bothissued by the Institute of Chartered Accountants of India. Those Standards and theGuidance Note require that we comply with ethical requirements and plan and perform theaudit to obtain reasonable assurance about whether adequate internal financial controlsover financial reporting was established and maintained and if such controls operatedeffectively in all material respects. Our audit involves performing procedures to obtainaudit evidence about the adequacy of the internal financial controls system over financialreporting and their operating effectiveness. Our audit of internal financial controls overfinancial reporting included obtaining an understanding of internal financial controlsover financial reporting assessing the risk that a material weakness exists and testingand evaluating the design and operating effectiveness of internal control based on theassessed risk. The procedures selected depend on the auditor's judgment including theassessment of the risks of material misstatement of the financial statements whether dueto fraud or error. We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the internal financial controlssystem over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A company's internal financial control over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of financial statements for external purposes in accordance with generallyaccepted accounting principles. A company's internal financial control over financialreporting includes those policies and procedures that (1) pertain to the maintenance ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the company are being made only in accordance with authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized acquisition use or disposition of thecompany's assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over Financial ReportingBecause of the inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.Also projections of any evaluation of the internal financial controls over financialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate. OpinionIn our opinion the Company has in all material respects an adequate internal financialcontrols system over financial reporting and such internal financial controls overfinancial reporting were operating effectively as at March 31 2022 based on the internalcontrol over financial reporting criteria established by the Company considering theessential components of internal control stated in the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.