Reliance Infocom Inc
Balance Sheet as at March 31, 2024
Amount in ` | ||||||||
Notes | As at | As at | ||||||
March 31, 2024 | March 31, 2023 | |||||||
ASSETS | ||||||||
Non Current Assets | ||||||||
(a) Property, Plant and Equipment | 2.01 | 167 | 158 | |||||
Current Assets | ||||||||
(a) Financial Assets | ||||||||
(i) Investments | 2.02 | 417,859,050 | 411,671,700 | |||||
(ii) Trade Receivables | 2.03 | - | - | |||||
(iii) Cash and Cash Equivalents | 2.04 | 1,997,466 | 2,074,546 | |||||
(b) Income Tax Assets (Net) | 2.05 | 2,015,398 | 2,076,600 | |||||
Total Assets | 421,872,082 | 415,823,004 | ||||||
EQUITY AND LIABILITIES | ||||||||
Equity | ||||||||
(a) Equity Share Capital | 2.06 | 75,064,500 | 73,953,000 | |||||
(b) Other Equity | 2.07 | (246,426,828) | (171,362,328) | (241,840,614) | (167,887,614) | |||
LIABILITIES | ||||||||
Non-Current Liabilities | ||||||||
(a) Financial Liabilities | ||||||||
(i) Borrowings | 2.08 | 592,458,994 | 592,458,994 | 582,864,596 | 582,864,596 | |||
Current Liabilities | ||||||||
(a) Other Liabilities | 2.09 | 775,416 | 846,022 | |||||
775,416 | 846,022 | |||||||
Total Equity and Liabilities | ||||||||
421,872,082 | 415,823,004 | |||||||
Significant Accounting Policies | 1 | |||||||
Notes on Accounts | 2 |
As per our Report of even date | |
For Nirav M Haria & Co. | For and on Behalf of the Board |
Chartered Accountants | |
Firm Regn.No.140676W |
Nirav M Haria | Vaishali Mane |
Proprietor | Director |
Membership No. 165022 | |
Place : Mumbai | |
Date : 26.08.2024 |
Reliance Infocom Inc | |||||
Statement of Profit and Loss for the year ended March 31, 2024 | Amount in ` | ||||
Notes | For the year ended | For the year ended | |||
March 31, 2024 | March 31, 2023 | ||||
INCOME | |||||
I | Revenue from Operations | - | - | ||
II | Other Income | - | - | ||
III | Total Income (I + II) | - | - | ||
IV | EXPENSES |
Depreciation, Impairment and Amortisation | ||
Sales and General Administration Expenses | 2.10 | |
Total Expenses (IV) | ||
V | (Loss) before Tax (III - IV) | |
VI | Tax expense: | |
- Current Tax | ||
- (Excess) /Short Provision of earlier years | ||
VII | (Loss) after Tax (V - VI) | |
Other Comprehensive (Loss) | ||
Total Comprehensive (Loss) | ||
VIII | Earnings per Share | 2.12 |
- Basic | ||
- Diluted | ||
Significant Accounting Policies | 1 | |
Notes on Accounts | 2 | |
As per our Report of even date |
For Nirav M Haria & Co.
Chartered Accountants
Firm Regn.No.140676W
Nirav M Haria
Proprietor
Membership No. 165022
Place : Mumbai
Date : 26.08.2024
- | - | ||
762,643 | 1,415,409 | ||
762,643 | 1,415,410 | ||
(762,643) | (1,415,410) | ||
181,720 | 173,773 | ||
- | - | ||
(944,363) | (1,589,181) | ||
(3,641,852) | (18,680,244) | ||
(4,586,215) | (20,269,426) | ||
(9,443.63) | (15,891.81) | ||
(9,443.63) | (15,891.81) |
For and on Behalf of the Board
Vaishali Mane
Director
Reliance Infocom Inc
Statement of changes in equity for the year ended March 31, 2024
Amount in ` | |||
For the year ended | For the year ended | ||
March 31, 2024 | 31-Mar-23 | ||
(a) Equity Share Capital (Refer Note : 2.06) | |||
Balance at the beginning of the year | 73,953,000 | 68,213,250 | |
Change in equty capital during the year | - | - | |
Foreign Exchange Variance | 1,111,500 | 5,739,750 | |
Balance at the end of the year | 75,064,500 | 73,953,000 | |
(b) Other Equity (Refer Note : 2.07) | |||
Amount in ` | |||
Attributable to | |||
Equity holders | |||
Particulars | Retained | Other | Total |
Comprehensive | |||
Earnings | |||
Income (OCI) | |||
Balance as at April 1, 2022 | (186,881,534) | (34,689,653) | (221,571,188) |
Total Comprehensive Loss for the year | (1,589,181) | (18,680,244) | (20,269,426) |
Balance as at March 31, 2023 | (188,470,716) | (53,369,898) | (241,840,613) |
Net Loss for the year | (944,363) | (3,641,852) | (4,586,215) |
Balance as at March 31, 2024 | (189,415,079) | (57,011,749) | (246,426,828) |
As per our Report of even date | |
For Nirav M Haria & Co. | For and on Behalf of the Board |
Chartered Accountants | |
Firm Regn.No.140676W |
Nirav M Haria | Vaishali Mane |
Proprietor | Director |
Membership No. 165022 | |
Place : Mumbai | |
Date : 26.08.2024 |
Reliance Infocom Inc | |||
Statement of Cash Flow for the year ended March 31, 2024 | |||
Amount in ` | |||
For the year ended | For the year ended | ||
March 31, 2024 | March 31, 2023 | ||
A CASH FLOW FROM OPERATING ACTIVITIES | |||
(Loss) before Income tax | (762,643) | (1,415,409) | |
Adjusted for: | |||
Provision for Taxes | (181,720) | (173,773) | |
Operating Profit before Working Capital Changes | (944,363) | (1,589,182) | |
Adjusted for: | |||
Receivables and other Advances | 61,202 | (77,194) | |
Trade Payables | (70,606) | 421,130 | |
Effect of Exchange difference on translation of Assets & | |||
Liabilities | 790,717 | 346,377 | |
Cash Generated from Operations | |||
(953,767) | (1,245,246) | ||
Less : Income Tax Paid | |||
- | - | ||
Net Cash Inflow/(Outflow) from Operating Activities | |||
(163,050) | (898,870) | ||
B CASH FLOW FROM INVESTING ACTIVITIES | |||
Purchase of Investments | - | - | |
Sale of Investments | - | - | |
Financial Income | - | - | |
Net Cash Inflow/(Outflow) from Investing Activities | |||
- | - | ||
C CASH FLOW FROM FINANCING ACTIVITIES | |||
Net Proceeds from Long term Borrowings | - | - | |
Net proceeds from short term boorowings | - | - | |
Financial Charges | |||
Net Cash Inflow/(Outflow) from Financing Activities | - | - | |
Net Increase/ (Decrease) in Cash and Cash Equivalents | (163,050) | (898,870) | |
Opening Balance of Cash and Cash Equivalents | 2,074,546 | 2,973,416 | |
Closing Balance of Cash and Cash Equivalents | |||
1,911,496 | 2,074,546 | ||
The Notes referred to above form an integral part of the Balance Sheet. | |||
As per our Report of even date | |||
For Nirav M Haria & Co. | For and on Behalf of the Board | ||
Chartered Accountants | |||
Firm Regn.No.140676W | |||
Nirav M Haria | Vaishali Mane | ||
Proprietor | Director | ||
Membership No. 165022 | |||
Place : Mumbai | |||
Date : 26.08.2024 |
Reliance Infocom Inc
Note :1 General Information and Significant Accounting Policies to the Financial Statements 1.01 General Information
Reliance Infocom, Inc. (the "Company") is a Delaware corporation incorporated on September 21, 2000 as a wholly owned subsidiary of Reliance Infocom B.V. ("B.V."). On October 17, 2000, 100 shares of common stock were issued to B.V. in exchange for $900,000.
1.02 Basis of Preparation of Financial Statements
The financial statements are prepared under historical cost convention, in accordance with the generally accepted accounting principles (GAAP) in India and Comply with Accounting Standard specified under Section 133 of the Companies Act, 2013 ("the Act") read with Rule 3 of the Companies (Indian Accounting Standard) Rules, 2015, Companies (Indian Accounting Standards) Amendment Rules 2016 and other provisions of the Act, to the extent notified and applicable as well as applicable guidance note and pronouncements of the Institute of Chartered Accountants of India (the ICAI).
All assets and liabilities have been classified as current or non-current as per the Company's normal operating cycle and other criteria set out in Schedule III to the Companies Act, 2013. Based on the nature of the services and their realisation in cash & cash equivalents, the Company has ascertained its operating cycle as twelve months for the purpose of current or non-current classification of assets and liabilities.
1.03 Revenue Recognition
Interest Income is recognised on time proportion basis.
1.04 Foreign Currency Transactions :
Exchange difference arising either on settlement or on translation of monetary items is recognised in the Statement of Profit and Loss.
1.05 Use of Estimates
The presentation of financial statements requires estimates and assumptions to be made that affect the reported amount of assets and liabilities and disclosure of contingent liabilities on the date of the financial statements and the reported amount of revenues and expenses during the reporting period. Difference between the actual results and estimates are recognised in the period in which the results are known / materialised.
1.06 Taxes on Income and Deferred Tax
Provision for Income Tax is made on the basis of taxable income for the year at current rates. Tax expense comprises of Current Tax and Deferred Tax at the applicable enacted or substantively enacted rates. Current Tax represents the amount of Income Tax payable / recoverable in respect of the taxable income / loss for the reporting period. Deferred Tax represents the effect of timing difference between taxable income and accounting income for the reporting period that originate in one period and are capable of reversal in one or more subsequent periods. The Deferred Tax Asset is recognised and carried forward only to the extent that there is a reasonable certainty that the assets will be realised in future. However, where there is unabsorbed depreciation or carried forward loss under taxation laws, Deferred Tax Assets are recognised only if there is virtual certainty of realisation of assets.
1.07 Earning per Share
In determining Earning per Share, the Company considers the net profit after tax and includes the post tax effect of any extra-ordinary / exceptional item. The number of shares used in computing Basic Earning per Share is the weighted average number of shares outstanding during the period. The number of shares used in computing Diluted Earning per Share comprises the weighted average number of shares considered for deriving Basic Earnings per Share, and also the weighted average number of shares that could have been issued on the conversion of all dilutive potential Equity Shares. Dilutive potential Equity Shares are deemed converted as of the beginning of the period, unless issued at a later date.
1.08 Provisions, Contingent Liabilities and Contingent Assets
Provisions involving substantial degree of estimation in measurement are recognised when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognised but are disclosed in the Notes. Contingent Assets are neither recognised nor disclosed in the financial statements.
1.09 Investments
Non Current Investments are stated at cost or fair value as required .
Reliance Infocom Inc
Note :1 General Information and Significant Accounting Policies to the Financial Statements
1.10 Financial Instruments
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.
Financial Assets
-
Initial recognition and measurement
All financial assets are recognised initially at fair value plus, in the case of financial assets not recorded at fair value through profit or loss, transaction costs that are attributable to the acquisition of the financial asset.
- Subsequent measurement
Subsequent measurement of the debt instruments depends on the Company‟s business model for managing asset and cash flow characteristics of the asset. There are three measurement categories into which the Company classifies its debt instruments.
- Financial Assets measured at amortised cost
A "debt instrument‟ is measured at the amortised cost, if both the following conditions are met:- Asset is held within a business model, whose objective is to hold assets for collecting contractual cash flows, and
- Contractual terms of the asset give rise to cash flows, on specified dates, that are solely payments of principal and interest (SPPI) on the principal amount outstanding. After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of EIR. EIR amortisation is included in finance income in the Statement of Profit and Loss. Losses arising from impairment are recognised in the Statement of Profit and Loss. This category generally applies to trade and other receivables.
- Financial Assets measured at fair value through other comprehensive income (FVTOCI)
A "debt instrument‟ is classified as FVTOCI if both of the following criteria are met:- Objective of the business model is achieved both, by collecting contractual cash flows and selling financial assets, and
- Contractual cash flows of the asset represent SPPI: Debt instruments included within FVTOCI category are measured initially as well as at each reporting date at fair value. Fair value movements are recognized in OCI. However, the Company recognizes interest income, impairment loss and reversal and foreign exchange gain or loss in the Statement of Profit and Loss. On derecognition of the asset, cumulative gain or loss previously recognised in OCI is reclassified from the equity to Statement of Profit and Loss. Interest earned whilst holding FVTOCI debt instrument is reported as interest income using EIR method.
- Financial Assets measured at fair value through profit or loss (FVTPL):
Any debt instrument, which does not meet the criteria for categorization as at amortized cost or as FVTOCI, is classified as FVTPL. In addition, the Company may elect to designate a debt instrument, which otherwise meets amortized cost or FVTOCI criteria, as FVTPL. However, such election is allowed only if, doing so reduces or eliminates measurement or recognition inconsistency (referred to as "accounting mismatch‟).
-
Equity investments:
All equity investments in scope of Ind AS 109 "Financial Instruments" are measured at fair value. Equity instruments which are held for trading are classified as FVTPL. For all other equity instruments, the Company decides to classify the same either as FVOCI or FVTPL. The Group makes such election on instrument by instrument basis. The classification is made on initial recognition, which is irrevocable. If the Company decides to classify an equity instrument as FVOCI, then all fair value changes on the instrument, excluding dividend, are recognized in the OCI. There is no recycling of the amounts from OCI to profit and loss, even on sale of investment. However, the Company may transfer the cumulative gain or loss within equity. Equity instruments included within FVTPL category are measured at fair value with all changes recognized in the Statement of Profit and Loss. Also, the Comapny has elected to apply the exemption available under Ind AS 101 to continue the carrying value for its investments in subsidiaries and associates as recognised in the financial statements
- Derecognition of Financial Assets
A financial asset is primarily derecognised when: (I) Rights to receive cash flows from the asset have expired, or (II) The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under "pass-through‟ arrangement and either (a) the Company has transferred substantially all the risks and rewards of the asset, or- the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.
Reliance Infocom Inc
Note :1 General Information and Significant Accounting Policies to the Financial Statements
-
Impairment of Financial Assets
The Company assesses on a forward looking basis the expected credit losses associated with its assets carried at amortised cost. Impairment methodology applied depends on whether there has been a significant increase in the credit risk. As a practical expedient, the Company uses a provision matrix to determine impairment loss allowance on portfolio of its trade receivables, as permitted by Ind AS 109. Provision matrix is based on its historically observed default rates over the expected life of the trade receivables and is adjusted for forward looking estimates. At every reporting date, the historical observed default rates are updated and changes in the forward looking estimates are analysed.
Financial Liabilities
-
Initial recognition and measurement
All financial liabilities are recognised initially at fair value, in the case of loans, borrowings and payables, net of directly attributable transaction costs. Financial liabilities include trade and other payables and loans.
- Subsequent measurement
The measurement of financial liabilities depends on their classification, as described herein:
(a) Financial liabilities at Fair Value through Profit or Loss: Financial liabilities at Fair Value through Profit or Loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading, if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the Company that are not designated as hedging instruments in hedge relationship as defined by Ind AS 109. Gains or losses on liabilities held for trading are recognised in Statement of Profit or Loss.
(b) Financial liabilities measured at amortised cost: After initial recognition, interest bearing loans and borrowings are subsequently measured at amortised cost using Effective Interest Rate (EIR) method. Gains or losses are recognised in Statement of Profit and Loss when the liabilities are derecognised as well as through EIR amortisation process. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of EIR. EIR amortisation is included as finance costs in the Statement of Profit and Loss.
-
Derecognition of Financial Liabilities
A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised in the Statement of Profit and Loss.
1.11 Cash And Cash Equivalents
The company considers all highly liquid accounts (money market funds) and investments with a maturity of three months or less when acquired as cash equivalents.
Reliance Infocom Inc
Notes on Accounts to the financial statement for the year ended March 31, 2024
2.01 Property, Plant and Equipment
Amount in ` | |||
Plant and | Furniture | ||
Particulars | and | Total | |
Machinery | |||
Fixtures | |||
Gross carrying value | |||
As at March 31, 2023 | 12,020,132 | 208,646 | 12,228,778 |
Additions | - | - | - |
Disposals | - | - | - |
As at March 31, 2024 | 12,020,132 | 208,646 | 12,228,778 |
Accumulated Depreciation | |||
As at March 31, 2023 | 12,020,048 | 208,563 | 12,228,611 |
Depreciation for the year | - | - | - |
Disposals | - | - | - |
As at March 31, 2024 | 12,020,048 | 208,563 | 12,228,611 |
Closing net carrying value as at March | |||
31, 2024 | 83 | 83 | 167 |
Gross carrying value as at March 31, | |||
2024 | 12,020,132 | 208,646 | 12,228,778 |
Accumulated Depreciation | 12,020,048 | 208,563 | 12,228,611 |
Closing net carrying value as at March | |||
31, 2024 | 83 | 83 | 167 |
Plant and | Furniture | ||
Particulars | and | Total | |
Machinery | |||
Fixtures | |||
Gross carrying value | |||
As at March 31, 2021 | 11,842,146 | 189,603 | 12,031,749 |
Additions | - | - | |
Disposals | - | ||
As at March 31, 2023 | 11,842,146 | 189,603 | 12,031,749 |
Accumulated Depreciation | |||
As at March 31, 2021 | 11,842,064 | 189,527 | 12,031,591 |
Depreciation for the year | - | - | |
Disposals | - | ||
As at March 31, 2023 | 11,842,064 | 189,527 | 12,031,591 |
Closing net carrying value as at March | |||
31, 2023 | 82 | 76 | 158 |
Gross carrying value as at March 31, | |||
2023 | 11,842,146 | 189,603 | 12,031,749 |
Accumulated Depreciation | 11,842,064 | 189,527 | 12,031,591 |
Closing net carrying value as at March | |||
31, 2023 | 82 | 76 | 158 |
Reliance Infocom Inc
Notes on Accounts to the financial statement for the year ended March 31, 2024
Amount in `
Note 2.02 Investment
In Equity Shares of Companies
Unquoted, fully Paidup
In Equity Shares of subsidiary company
100 (100)
of Reliance Communications Inc of USD 50 000 each In Equity Shares subsidiary company
100 (100) of Bonn Investment Inc of USD .01 each
As at | As at |
March 31, 2024 | March 31, 2023 |
417,025,000410,850,000
834,050821,700
417,859,050411,671,700
Reliance Infocom Inc
Notes on Accounts to the financial statement for the year ended March 31, 2024
2.03 Trade Receivables | Amount in ` | ||
As at | As at | ||
Particulars | March 31, 2024 | March 31, 2023 | |
Unsecured | |||
Considered Good | - | - | |
Considered Doubtful | 71,157,009 | 70,103,368 | |
Less: Provision for Doubtful Debts | 71,157,009 | 70,103,368 | |
- | - | ||
2.04 Cash and Cash Equivalents | |||
As at | As at | ||
Particulars | March 31, 2024 | March 31, 2023 | |
Balance with Banks | 1,997,466 | 2,074,546 | |
in current accounts | |||
1,997,466 | 2,074,546 | ||
2.05 Income Tax Assets (Net)
As at | As at | |
Particulars | March 31, 2024 | March 31, 2023 |
Income Tax (Net) | 2,015,398 | 2,076,600 |
2,015,398 | 2,076,600 | |