inanna fashion and trends limited - bombay stock exchange · 2018-10-16 · notice is hereby given...

Inanna Fashion and Trends Limited(Formerly known as Frontline Business Solutions Limited)

25th

Annual Report 2017- 2018

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25th ANNUAL REPORT 2017-18INANNA FASHION AND TRENDS LIMITED

CORPORATE INFORMATION

BOARD OF DIRECTORSMr. Natwar Sureka - Managing Director (Resigned from 27/07/2018)Mrs. Manju Sureka - Non Independent Non-Executive Director (Resigned from 27/07/2018)Mr. Brijkishore Ruia - Independent Director (Resigned from 27/07/2018)Mr. Sandeep Mhaske - Independent Director (Resigned from 27/07/2018) Mr. Rahul Saraf - Whole-time Director (Appointed from 27/07/2018) Mr. Rishabh Sharma - Independent Director (Appointed from 27/07/2018) Ms. Purnima Parashar - Independent Director (Appointed from 27/07/2018) Mrs. Gita Devi Agarwal - Non-Executive Director (Appointed from 27/07/2018)

STATUTORY AUDITORS B. N. Kedia & Co Chartered Accountants

REGISTERED OFFICE 103, Hubtown Solaris, N S Phadke Marg, Andheri (East), Mumbai-400069, Maharashtra, India

REGISTRAR AND Universal Capital Securities Private LimitedTRANSFER AGENT (Formerly known as Mondkar Computers Private Limited) 21, Shakil Niwas, Opp. Satya Saibaba, Temple, Mahakali Caves Road, Andheri (East), Mumbai-400 093.

BANKERS Kotak Bank ICICI Bank IDBI Bank HDFC Bank

ANNUAL GENERAL MEETING

Day: Friday

Date: 28th September, 2018

Venue: FM Banquet, Mini Hall,

8/B, Udyog Nagar, Kamath Club Lane,

OffS.V.Road,GoregaonWest,Mumbai400062

Time: 11.00AM

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Contents Page No.Notice 3DirectorsReport 17ManagementDiscussionandAnalysis 33CorporateGovernanceReport 35AuditorsReport 48Balance Sheet 54Profit&LossAccount 55Cash Flow Statement 56Change in Equity 57NotestotheAccounts 58AttendanceSlipProxy Form

Important Communication to Members

TheMinistryofCorporateAffairshastakena“GreenInitiativeintheCorporateGovernance”byallowingpaperlesscompliancebytheCompaniesandhasissuedcircularsstatingthatserviceofnotice/documentsincludingAnnulReportcanbesentbye-mailtoitsMembers.ToSupportthisgreeninitiativeoftheGovernmentinfullmeasure,Memberswhohavenotregisteredtheire-mailaddress,sofar,arerequestedtoregister theire-mailaddress, inrespectofelectronicholdingswiththeDepositorythroughtheirconcernedDepositoryParticipants.MemberswhoholdsharesinphysicalformarerequestedtoregisterthesamewiththeCompany’sRegistrarandTransferAgent,UniversalCapitalSecuritiesPrivateLimitedbysendinge-mailtoinfo@unisec.in

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Inanna Fashion and Trends LimitedRegistered office: 103, Hubtown Solaris,

NSPhadkeMarg,Andheri(East),Mumbai-400069,Maharashtra,India

CIN:L17200MH1994PLC076018Website:http://frontlinegroup.in/

Email:[email protected]. No. :022-66067200FaxNo.66067270

NOTICE OF ANNUAL GENERAL MEETINGNOTICE isherebygiven that theTwenty-fifthAnnualGeneralMeetingof Inanna Fashion and Trends Limited (Formerly known as Frontline Business Solutions Limited) will be held on Friday, 28thSeptember,2018at11.00AMatFMBanquet,MiniHall,8/B,UdyogNagar,KamathClubLane,OffS.V.Road,GoregaonWest,Mumbai400062to transact the following business:

ORDINARY BUSINESS: 1. Toconsiderandadopt theAuditedFinancialStatementsof theCompany for thefinancial yearended31st

March2018, including theAuditedBalanceSheetasat31stMarch,2018, thestatementofProfitandLossAccountfortheyearendedonthatdatetogetherwiththereportoftheDirectors’andAuditor’sthereon.

SPECIAL BUSINESS: 2. Appointment of Mr. Rishabh Sharma (DIN: 08051566) as a Non Executive Independent Director Toconsiderand if thought fit, topass,withorwithoutmodification(s)asmaybedeemedfit, the following

resolutionasOrdinaryResolution:

“RESOLVED THAT Mr.RishabhSharma(DIN:08051566),whowasappointedasanAdditionalDirectorofthecompanybytheBoardofDirectorswitheffectfromJuly27,2018intermsofSection161(1)oftheCompaniesAct,2013andwhosetermsoftheofficeexpiresatthisAnnualGeneralMeetingandinrespectofwhomtheCompanyhasreceivedanoticeinwritingfromamemberproposinghiscandidaturefortheofficeofdirectorbeandisherebyappointedasanIndependentDirectoroftheCompanyintermsofsection149,152andotherapplicableprovisions,ifany,oftheCompaniesAct,2013(Act)andtheRulesframedthereunder,readwithScheduleIVtotheAct,asamendedfromtimetotime,toholdofficefor5(Five)consecutiveyearsfromtheconclusionofthisAnnualGeneralMeeting.

3. Appointment of Ms. Purnima Parashar (DIN: 07675850) as a Non Executive Independent Director Toconsiderand if thought fit, topass,withorwithoutmodification(s)asmaybedeemedfit, the following


“RESOLVED THATMs.PurnimaParashar(DIN:07675850),whowasappointedasanAdditionalDirectorof thecompanyby theBoardofDirectorswitheffect fromJuly27,2018 in termsofSection161(1)of theCompaniesAct,2013andwhosetermsoftheofficeexpiresatthisAnnualGeneralMeetingandinrespectofwhomtheCompanyhasreceivedanoticeinwritingfromamemberproposinghercandidaturefortheofficeofdirectorbeandisherebyappointedasanIndependentDirectoroftheCompanyintermsofsection149,152andotherapplicableprovisions,ifany,oftheCompaniesAct,2013(Act)andtheRulesframedthereunder,readwithScheduleIVtotheAct,asamendedfromtimetotime,toholdofficefor5(Five)consecutiveyearsfromtheconclusionofthisAnnualGeneralMeeting.

4. Appointment of Mrs. Gita Devi Agarwal (DIN: 08126967) as a Non Executive Director Toconsiderand if thought fit, topass,withorwithoutmodification(s)asmaybedeemedfit, the following


“RESOLVED THATMrs.GitaDeviAgarwal(DIN:08126967),whowasappointedasanAdditionalDirectorof thecompanyby theBoardofDirectorswitheffect fromJuly27,2018 in termsofSection161(1)of theCompaniesAct,2013andwhosetermsoftheofficeexpiresatthisAnnualGeneralMeetingandinrespectofwhomtheCompanyhasreceivedanoticeinwritingfromamemberproposinghercandidaturefortheofficeofdirectorbeandisherebyappointedasanNonExecutiveDirectoroftheCompanyliabletoretirebyrotationintermsofsection149,152andotherapplicableprovisions,ifany,oftheCompaniesAct,2013(Act)andtheRulesframedthereunderasamendedfromtimetotime.

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5. Appointment of Mr. Rahul Saraf (DIN: 01494992) as Whole-time Director of the Company Toconsiderand if thought fit, topass,withorwithoutmodification(s)asmaybedeemedfit, the following

resolutionasaSpecialResolution

“RESOLVED THAT Mr.RahulSaraf(DIN:01494992)whowasappointedasanAdditionalDirectorbytheBoardofDirectorsoftheCompanyonJuly27,2017andaspertheprovisionofSection161(1)oftheCompaniesAct,2013whosetermsoftheofficeexpiresatthisAnnualGeneralMeetingandinrespectofwhomtheCompanyhasreceivedanoticeinwritingfromamemberproposinghiscandidaturefortheofficeofDirectorbeandisherebyappointedasanExecutiveDirectoroftheCompany.

“RESOLVED FURTHER THAT inaccordancewith theprovisionsofSections196,197and203readwithScheduleVandallotherapplicableprovisionsoftheCompaniesAct,2013andtheCompanies(Appointmentand Remuneration of Managerial Personnel) Rules, 2014 (including any statutory modification(s) or re-enactment(s)thereofforthetimebeinginforce),approvaloftheCompanybeandisherebyaccordedfortheappointmentandtermsofremunerationpayableto,includingtheremunerationtobepaidintheeventoflossorinadequacyofprofitinanyfinancialyearduringthetenureofappointmentofMr.RahulSaraf(DIN:01494992)asWhole-timeDirectoroftheCompany,foraperiodofthreeyearscommencingfromJuly27,2018,toJuly26,2021,subjecttoretirementbyrotation,onthetermsandconditionsassetoutintheexplanatorystatementannexedtotheNoticeconveningthisMeeting,with libertytotheBoardofDirectors(hereinafterreferredtoas“theBoard”whichtermshallbedeemedtoincludetheNominationandRemunerationCommitteeoftheBoard)toalterandvarythetermsandconditionsofthesaidappointmentand/orremunerationasitmaydeemfitandasmaybeacceptabletoMr.RahulSaraf(DIN:01494992),subjecttothesamenotexceedingthelimitsspecifiedunderScheduleVtotheCompaniesAct,2013oranystatutorymodification(s)orre-enactment(s)thereof”

RESOLVED FURTHER THAT the Board be and is hereby authorized to do all such acts, deeds, things and to takeallsuchstepsasmaybenecessary,properorexpedienttogiveeffecttothisresolution.

6. Increase of Authorised Share Capital Toconsiderand if thoughtfit, topass,withorwithoutmodification(s), the following resolutionasaSpecial

Resolution:

“RESOLVED THAT pursuant to provision ofSection 61(1)(a) of theCompaniesAct, 2013, and any otherapplicable provisions and the relevant rules framed there under and in accordancewith the provisions oftheArticlesofAssociationoftheCompany,theAuthorisedShareCapitaloftheCompanybeandisherebyincreased from Rs. 12,50,50,000/-(Rupees Twelve Crores Fifty Lacs Fifty Thousand Only) divided into2,50,10,000EquitysharesofRs.5/-(RupeesFiveonly)eachtoRs.20,00,00,000/-(RupeesTwentyCroresonly)dividedinto4,00,00,000EquitySharesofRs.5/-(RupeesFiveonly)each.

RESOLVED FURTHER THATtheClauseNo.VofMemorandumofAssociationoftheCompanybealteredasbelow

Clause V:V. TheAuthorisedShareCapitaloftheCompanyisRs.20,00,00,000/-(RupeesTwentyCroresonly)divided

into4,00,00,000EquitySharesofRs.5/-(RupeesFiveonly)each,withpowerstoincreaseorreduceorvarythecapitaloftheCompanyand/orthenominalvalueofthesharesandpowertodividethesharesinthecapitalforthetimebeingintoseveralclassesandattachtheretorespectivelysuchpreferential,specialrights,privileges,conditionsorrestrictionsasmaybedeterminedbyorinaccordancewiththeArticlesofAssociationoftheCompanyandtovary,modifyorabrogateanysuchrights,privileges,conditionsorrestrictionsinsuchmannerasmay,forthetimebeing,beprovidedbytheArticlesofAssociationoftheCompanysubjecttotheprovisionsofthelawforthetimebeinginforce.”

RESOLVED FURTHER THAT the Board of Directors of the Company be and are hereby severallyauthorizedtotakenecessarystepsforthepurposeofmakinge–filingsforregistrationoftheamendmenttotheMemorandumofAssociationwithRegistrarofCompaniesandtodoallsuch,deedsasmayberequiredtogiveeffecttotheaforesaidresolution.”

7. Change in main object of the Memorandum of Association of the company To consider and, if thought fit to pass,with orwithoutmodification(s), the following resolutionsasSpecial

Resolution:

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“RESOLVED THATpursuanttoprovisionofSection13ofCompaniesAct,2013andotherapplicableprovisionsoftheCompaniesAct,2013includinganystatutorymodification(s)orre-enactmentthereof,forthetimebeinginforceandtheRulesframedthereunder,asamendedfromtimetotime,andsubjecttotheapprovaloftheRegistrarofCompanies,Maharashtra,Mumbai(“ROC”) and/or of any other statutory or regulatory authority, asmaybenecessary,PartAofClauseIIIoftheObjectoftheMemorandumofAssociationoftheCompanybeand is hereby altered as follows

• replacingexistingclauses(1),(1A)and(1B)withNewclause(1)thereof:

(1)To carry on the business of manufacturing, buying, selling, importing, exporting, transporting, storing, developing,promoting,marketingorsupplying,trading,dealinginanymannerwhatsoeverinalltypeofgoodsincluding business of ironmasters, steel makers, steel converters, ferrous and non-ferrous metals, cokemanufacturers,miners,smelters,engineersandironfounderinalltheirrespectivebranches,preciousmetalsandrareearthmetalsonretailaswellasonwholesalebasisinIndiaorelsewhereandtodealinallkindsofagri-commodities,timber,oleo-chemicals,petro-chemicalsandfattyacids,cottoncastor&derivatives,edibleandnon-edibleoils, lubricatingoils,naturalgases,bitumen, coffeeetc.and toactasexhibitorsof variousgoods,servicesandmerchandiseandtodeal in textiles,cotton,silk,artsilk, rayon,nylon,syntheticfibers,staple fibers, polyester,worsted,wool, hempand other fibrematerials, yarn, cloth, linen, rayon and othergoods or merchandise whether textile felted, netted or looped in all kinds of plastic raw materials and products, polymersandpolymerproductsandadditives.Toinvestthecapitalandothermoneysofthecompanyinthepurchaseoruponthesecurityofshares,stocks,units,debentures,debentures-stocks,bondsetc.andtocarryonthebusinessofrealestatecontractorsandbuilders.

RESOLVED FURTHER THAT theexistingMemorandumofAssociationof theCompany,dulymodifiedasaforesaidandacceptedbythemembers,beadoptedastheMemorandumofAssociationoftheCompany;

RESOLVED FURTHER THAT theapprovalofthemembersoftheCompanybeandisherebyaccordedforcommencingandcarryingonnewbusinessandactivitiesasincludedintheMainobjectoftheCompanyasalteredaboveatsuchtimeortimesastheBoardmayinitsabsolutediscretiondeemfit;

RESOLVED FURTHER THATanyDirectoroftheCompanybeandisherebyseverallyauthorizedtodoallsuchacts,deedsandthingsandtosignallsuchdocuments,papersandwritingsasmaybenecessarytogiveeffecttotheresolution,takesuchfurtherstepsinthisregard,asmaybeconsidereddesirableorexpedientbytheBoardinthebestinterestoftheCompany.”

8. Amendments to clause III B and clause III C of the Memorandum of Association To consider and, if thought fit to pass,with orwithoutmodification(s), the following resolutionsasSpecial

Resolution:

“RESOLVED THAT pursuanttotheprovisionsofSection4(1)(c)and13andallotherapplicableprovisions,ifany,oftheCompaniesAct,2013(includinganyamendmenttheretoorre-enactmentthereof),andtheRulesframedthereunder,asamendedfromtimetotimeandsubjecttotheapprovaloftheRegistrarofCompanies,Maharashtra,Mumbai(“ROC”)and/orofanyotherstatutoryorregulatoryauthority,asmaybenecessary,theexistingClauseIIIBandClauseIIICoftheMemorandumofAssociation,inrelationtotheobjectsincidentalorancillarytotheattainmentofthemainobjectsandotherobjects,beandisherebyamendedasfollows:

• Bydeletingsubclause2 to5of theClauseIII (B)of theobjects thatare incidentalorancillary to theattainmentofthemainobjectsoftheMemorandumofAssociation

• ByreplacingtitleoftheClauseIII(B)oftheobjectsthatareincidentalorancillarytotheattainmentofthemainobjectsoftheMemorandumofAssociationwiththetitle“MATTERSWHICHARENECESSARYFORFURTHERANCEOFTHEOBJECTSSPECIFIEDINCLAUSEIII(A)ARE.”

• Re-numberingtheClausenumbersinexistingClauseIIIBpursuanttotheaboveamendments

• ByremovingandcompletelydeletingtheClauseIIICoftheobjectclausethatisOTHEROBJECTS.

RESOLVED FURTHER THAT all theDirectorsof theCompanybeandareherebyseverallyauthorized tofile,sign,verifyandexecuteallsuche-forms,papersordocuments,asmayberequiredanddoallsuchacts,deeds,mattersandthingsasmaybenecessaryandincidentalforgivingeffecttothisResolution,includingagreeingtoanychangeasmayberequiredbytheROCand/oranystatutory/regulatoryauthority.

9. Change of name of the company Toconsiderand if thought fit, topasswithorwithoutmodification(s), the following resolutionasaSpecial

Resolution:

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“RESOLVED THATpursuanttoSections4,13andotherapplicableprovisions,ifany,oftheCompaniesAct,2013,relevantrulesmadethereunderandotherapplicableenactments,asamendedfromtimetotimeandsubjecttotheapprovaloftheCentralGovernment,theMembersoftheCompanyherebyaccordtheirapprovalfor changing thenameof theCompany from “InannaFashionandTrendsLimited”’ to “SevenResourcesLimitedorMaxgrowIndiaLimited”oranyothernameasmaybeapprovedbytheRegistrarofCompanies,MaharashtraMumbai.

RESOLVED FURTHER THATuponthechangeofnameoftheCompanybecomingeffective,thename“InannaFashionandTrendsLimited”whereveritoccursintheMemorandum,ArticlesofAssociationanddocuments,etcbesubstitutedbythename“SevenResourcesLimitedLimitedorMaxgrowIndiaLimited”or any other name asmaybeapprovedbytheRegistrarofCompanies,Maharashtra,Mumbai.

RESOLVED FURTHER THAT the Board of Directors of the Company be and are hereby authorized to make necessaryapplication(s)with theCentralGovernment /RegistrarofCompanies,Maharashtra,Mumbai forseekingtheirapprovaltochangethenameoftheCompanyandtodoallsuchacts,deedsandthingsasmaybedeemedexpedientandnecessaryintheirabsolutediscretiontogiveeffecttothisResolutioninthebestinterestsoftheCompany.”

10. Reclassification of Promoters and To Notify the Change in Promoters & Key Managerial Personnel of the Company

Toconsiderand if thought fit, topasswithorwithoutmodification(s), the following resolutionasaSpecialResolution:

“RESOLVED THAT pursuanttoRegulation31AandotherrelevantprovisionsoftheSEBI(ListingObligationsandDisclosuresRequirements)Regulations, 2015andapplicable provisions if anyof theCompaniesAct,2013 and in accordancewith theSharePurchaseAgreement dated January 30, 2018 executed betweenApogeeBusinessSolutionsPvtLtd,ManjuNatwarSureka,TusharN.Surekha,NatwarB.Sureka(hereinafterreferredtoas“ExistingPromoterandPromoterGroup”or“Seller”)andMr.RahulSaraf(“NewPromoter”or“Acquirer”)theapprovaloftheMembersbeandisherebyaccordedtodesignatetheAcquirerasPromoterofthe Company in place of the Existing Promoters of the Company

RESOLVED FURTHER THATuponreceiptofapprovalfromStockExchangeforthereclassificationMr.RahulSaraf shall bePromoter of theCompany in place of “ExistingPromoters”, theCompany shall effect suchreclassificationinthestatementofshareholdingpatternfromimmediatesucceedingquarterunderRegulation31ofSEBI(ListingObligation&DisclosureRequirements)Regulations,2015andalsoundertakecomplianceoftheSEBI(SubstantialAcquisitionofSharesandTakeovers)Regulations,2011,SEBI(ProhibitionofInsiderTrading)Regulations,2015,andotherapplicableprovisionsofSEBIRegulations.

RESOLVED FURTHER THAT theCompanywasinreceiptofrequestsforreclassificationfrom“Acquirer”toclassifythemas“Promoter&PromoterGroup” inplaceof“ExistingPromotersandPromoterGroup”oftheCompanyunderRegulation31AofSEBI(ListingObligationsandDisclosureRequirements)Regulations,2015(‘ListingRegulations,2015’).

RESOLVED FURTHER THAT any of the Directors of the Company or the Company Secretary or Compliance OfficerorsuchotherpersonasauthorizedbytheBoard,beandisherebyauthorizedtosubmitapplicationforreclassificationtoStockExchange(s),whereinthesecuritiesoftheCompanyarelistedoranyotherregulatorybody,asmayberequired,andtotakesuchstepsexpedientordesirabletogiveeffecttothisresolution.”

11. Ratification and Approval of Utilisation of proceeds received from issue of equity shares of the Company on Preferential Basis

Toconsiderand if thought fit, topasswithorwithoutmodification(s), the following resolutionasaSpecialResolution:

“RESOLVED THAT theCompanyhavingallotted77,11,039equitysharesoffacevalueRs.10/-(RupeesTenOnly)pershareonMarch2,2011offeredatapriceofRs.12.32/-(RupeesTwelveandThirtyTwoPaisaOnly)pershare(includingpremiumofRs.2.32/-(RupeesTwoandThirtyTwoPaiseOnly)pershare)and9,50,000equitysharesoffacevalueRs.10/-(RupeesTenOnly)pershareonJune20,2011offeredatapriceofRs.20/-(RupeesTwentyOnly)pershare(includingpremiumofRs.10/-(RupeesTenOnly)pershare)and8,00,000equitysharesoffacevalueRs.10/-(RupeesTenOnly)pershareonOctober30,2012offeredatapriceofRs.20/-(RupeesTwentyOnly)pershareincludingpremiumofRs.10/-(RupeesTenOnlypershare);

ANDWHEREAS theCompany receiveda totalsumofRs.13,00,00,000.48/- (RupeesThirteenCroresandFortyEightPaiseOnly)againsttheabovestatedallotmentof94,61,039equitysharesoffacevalueRs.10/-pershare;

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ANDWHEREAStheCompanyhasutilizedtheabovestatedfundsinthemannerstatedbelow:

Sr. No. Payment to Purpose Amount Utilized1 Teknopoint Mercantile

CompanyPvt.Ltd.Purchase of 41,50,000 equity shares at afacevalueofRs10/-pershareofTeknopointMercantileCompanyPvt.Ltd.

Rs.4,15,00,000.00

2 Sainath Herbal Care Marketing Pvt.Ltd.

Purchase of 32,00,000 equity shares at a face valueofRs10/-pershareofSainathHerbalCareMarketingPvt.Ltd.

Rs.3,20,00,000.00

3 Neil Information TechnologyLtd.

SoftwarePurchase -Company has acquiredCRM software from Neil InformationTechnologyLtd.

Rs.20,00,000.00

4 ShreeMangalJewelsPvt.Ltd ForpurchaseofJewelleryProducts Rs.1,45,00,000.005 PerfectOctavePrivateLimited Perfect Octave Private Limited will be

conducting advertising and designingcampaign for company’s foray in fashion and clothing sector. Based on Letter Of Intent aonetimeinterestfreesecuritydepositofRs.1croreisprovidedbythecompany.

Rs.86,00,000.00

6 SwastikLegalConsultantsPvt.Ltd.

Investment for 10,00,000 OptionallyConvertible Preference Shares of Rs.10/-each,convertibleafteraperiodof2yearsinto10,00,000equityshares.

Rs.50,00,000.00

7 Fastline Multitrade Pvt. Ltd.(FMPL)

Based on Letter of Intent a onetime interestfreesecuritydepositofRs1croreisgivenforusageofInfrastructureandNetworkofFMPLinSAARCforexportandtradingofnewrangeofproducts.

Rs.1,00,00,000.00

8 WorkingCapitalrequirement Placing of purchase orders, management fees, commissions, payment for salaries on behalfofHRfirm.

Rs.1,64,00,000.48

Total Rs.13,00,00,000.48

ANDWHEREASBSEvideletterdatedJuly27,2016allegedthattheCompanyhadmis-utilisedthefundsraisedandhadsuspendedthetradinginequitysharesoftheCompany;

ANDWHEREAStheCompanyhadprovidedappropriatelyrepliestoBSELtd.andhadalsoreceivedanorderfromHon’bleSecuritiesAppellateTribunalinfavouroftheCompanyforresumptionoftrading;

ANDWHEREASBSELtd.videitsnoticenumber20160613-29datedJune13,2018requiringthecompanieswhichundergonesurveillancemeasuresformis-utilisationoffundstoundertake“Mandatorydisclosurestobemadebythecompaniesw.r.t.mis-utilisationofpreferentialproceedsalongwithensuingquarterlyunaudited/auditedfinancialresultsandsametoberatifiedbytheshareholdersofthecompanywithin3monthsfromintimation”;

ANDWHEREASthemembersoftheCompany,pursuanttothesaidBSELtd.noticenumber20160613-29datedJune13,2018,theCompany,herebyratifyandapprovetheutilizationoffundsbytheCompanyinthemannerstatedinthetableearlier.”

On behalf of the Board of Directors

Place: Mumbai Rahul SarafDate: 21st August, 2018 Whole-time DirectorRegd. Office: 103,HubtownSolaris,NSPhadkeMarg,Andheri(East),Mumbai-400069,Maharashtra

DIN: 01494992

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NOTES: 1. A member entitled to attend and vote at the meeting may appoint a proxy to attend and vote on a poll

on his behalf. A proxy need not be a member of the Company.ApersoncanactasproxyonbehalfofnotexceedingfiftyMembersandholdingintheaggregatenotmorethan10%ofthetotalEquityShareCapitaloftheCompany.AnyMemberholdingmorethan10%ofthetotalEquitysharecapitaloftheCompanymayappoint a single person as proxy and in such a case, the said person shall not act as proxy for any other person ormember.Theinstrumentappointingproxyshouldbedulycompletedandinordertobeeffectiveshouldbedulystamped,completedandsignedandmustbedepositedattheRegisteredOfficeoftheCompanynotlessthan48hoursbeforethecommencementoftheMeeting.(ProxyformMGT-11isannexedherewith).

2. TheCompany’sRegistrarandShareTransferAgentforitsShareRegistrywork(PhysicalandElectronic)isM/sUniversalCapitalSecuritiesPrivateLimited21,ShakilNiwas,Opp.SatyaSaibabaTemple,MahakaliCavesRoad,Andheri(East),Mumbai-400093.

3. PursuanttoSection91oftheCompaniesAct,2013,theRegisterofMembersandShareTransferBooksofEquity Shares of the Company will remain closed from September 22, 2018 to September 28, 2018 (Both days inclusive).

4. MembersarerequestedtobringtheirattendanceslipalongwiththeircopyofAnnualReporttotheMeeting.

5. CorporateMembersarerequestedtosendtotheRegisteredOfficeoftheCompany,adulycertifiedcopyoftheBoardResolution,pursuanttoSection113oftheCompaniesAct,2013,authorisingtheirrepresentativetoattendandvoteattheAnnualGeneralMeeting.

6. Membersarerequestedtonotify immediatelyaboutanychangeintheiraddress/e-mailaddress/dividendmandate / bank details to their Depository Participant (DP) in respect of their shareholding in Demat mode and inrespectoftheirphysicalshareholdingtotheCompany’sRegistrarandShareTransferAgent.

7. Memberswhoaredesirousofseekinganyfurtherinformationorclarification,ifany,particularlywithregardtotheaccountsarerequestedtowritetotheCompanyatleasttendaysinadvanceofthemeetingsothattheinformationcanbemadeavailableatthemeeting.

8. The informationregardingtheDirectorwho isproposedtobeappointedorre-appointed,asrequiredtobeprovidedunderSecuritiesandExchangeBoardof India (ListingObligationsandDisclosureRequirements)Regulations,2015,(“ListingRegulations”)andSecretarialStandardonGeneralMeetingsissued,isannexedhereto.

9. TheRegisterofDirectorsandKeyManagerialPersonnelandtheirshareholding,maintainedunderSection170oftheCompaniesAct,2013,willbeavailableforinspectionbythemembersattheAGM.

10. ThecopiesofAnnualReportarebeingdispatchedtoalltheshareholdersasareappearingintheregisterofmembersasonAugust24,2017.PursuanttoSection72oftheCompaniesAct,2013,membersholdingsharesinphysicalformareadvisedtofilenominationintheprescribedFormSH-13withtheCompany’ssharetransferagent.Inrespectofsharesheldinelectronic/dematform,themembersmaypleasecontacttheirrespectivedepositoryparticipant.

11. TheSecuritiesandExchangeBoardof India (SEBI)hasmandated the submissionofPermanentAccountNumber (PAN) by every participant in securities market. Members holding shares in electronic form are,therefore, requested to submit their PAN to their Depository Participants with whom they aremaintainingtheirdemataccounts.MembersholdingsharesinphysicalformcansubmittheirPANtotheCompanyortheCompany’sShareRegistrarsandTransferAgents.

12. MembersarerequestedtogivetheirvaluablesuggestionsforimprovementoftheservicesandarealsoadvisedtoquotetheirE-mailId’s,telephone/facsimileno.forpromptreplyoftheircommunications.

13. In compliance with the provisions of Section 108 of the CompaniesAct, 2013 read with Rule 20 of theCompanies (Management andAdministration) Rules, 2014 as amended by theCompanies (ManagementandAdministration)AmendmentRules, 2016and theprovisionsof theRegulation44of theSEBI (ListingObligationsandDisclosureRequirements)Regulations,2015 thecompany ispleased toprovidemembersfacilitytoexercisetheirvotingrightstocasttheirvoteelectronically,throughthee-votingservicesprovidedbyCDSL,onallresolutionssetforthinthisNotice.

14. Voting through electronic means:

ThefacilityforvotingthroughballotpapershallbemadeavailableatAGMandthemembersattendingthemeetingwhohavenotcasttheirvotebyremotee-votingshallbeabletoexercisetheirrightatthemeetingthroughballotpaper.

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Thememberswhohavecasttheirvotebyremotee-votingpriortotheAGMmayalsoattendtheAGMbutshallnotbeentitletocasttheirvoteagain.

Theremotee-votingperiodcommencesonTuesday,September25,2018(9.00a.m.)andendsonThursday,September27,2017(5.00pm).Duringthisperiodmembers’oftheCompany,holdingshareseitherinphysicalformorindematerializedform,asonthecut-offdateofSeptember21,2018maycasttheirvotebyremotee-voting.Theremotee-votingmoduleshallbedisabledbyCDSL forvoting thereafter.Once thevoteonaresolutioniscastbythemember,themembershallnotbeallowedtochangeitsubsequently.

15. Theinstructionsandprocessfore-votingareasunder:

Openyourwebbrowserduringthevotingperiodandlogontothee-votingwebsitewww.evotingindia.com.

Nowclickon‘Shareholders’tabtocastyourvotes.

Now, select the ‘Electronic Voting Sequence Number (EVSN)’ along with ‘Frontline Business Solutions Limited’ fromthedropdownmenuandclickon‘SUBMIT’.

NowEnteryourUserID(ForCDSL:16digitsbeneficiaryID,ForNSDL:8CharacterDPIDfollowedby8DigitsClientID,MembersholdingsharesinPhysicalFormshouldenterFolioNumberregisteredwiththeCompanyandthenentertheCaptchaCodeasdisplayedandClickonLogin.

IfyouareholdingsharesinDematformandhadloggedontowww.evotingindia.comandcastedyourvoteearlierforEVSNofanycompany,thenyourexistingpasswordistobeused.Ifyouareafirsttimeuserfollowthestepsgivenbelow.

Now,fillupthefollowingdetailsintheappropriateboxes:

PAN* Enteryour10digitalpha-numeric*PANissuedbyIncomeTaxDepartment(inCapital)(Applicableforbothdematshareholdersas well as physical shareholders)

DOB# Enter the Date of Birth as recorded in your demat account or in the Company records for the said demat account or folio in dd/mm/yyyyformat.

DividendBankDetails# EntertheDividendBankDetailsasrecordedinyourdemataccount or in the Company records for the said demat account orfolio.

* MemberswhohavenotupdatedtheirPANwiththeCompany/DepositoryParticipantarerequestedtousethefirsttwolettersoftheirnameandthesequencenumberinthePANfield.Incasethesequencenumberislessthan8digitsentertheapplicablenumberof0’sbeforethenumberafterthefirsttwocharactersofthename.Eg.IfyournameRameshKumarwithsequencenumber1thenenterRA00000001inthePANfield.

# Pleaseenteranyoneofthedetailsinordertologin.Incaseboththedetailsarenotrecordedwiththedepositoryorcompanypleaseenterthememberid/folionumberintheDividendBankdetailsfield.

Afterenteringthesedetailsappropriately,clickon‘SUBMIT’

Equity Shareholders holding Equity shares in Physical form will then reach directly to the EVSN selection screen.HoweverEquityShareholdersholdingsharesinDematformwillnowreach‘PasswordChange’menuwherein theyare required tomandatorilyenter their loginpassword in thenewpasswordfield.KindlynotethatthispasswordisalsotobeusedbytheDematholdersforvotingforresolutionofanyotherCompanyonwhichtheyareeligibletovote,providedthatCompanyoptsfore-votingthroughCDSLplatform.Itisstronglyrecommended not to share your password with any other person and take utmost care to keep your password confidential.

EquityShareholdersholdingsharesinphysicalformcanusethesedetailsonlyfore-votingontheresolutionscontainedinthisNotice.

ClickontherelevantEVSNonwhichyouchoosetovote.

Onthevotingpage,youwillseeDescriptionofResolution(s)andoptionforvotingYes/Noforvoting.Selecttheoptionyesornoasdesired.Theoption‘YES’impliesthatyouassenttotheresolution&‘NO’impliesthatyoudissent to the resolution

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ClickontheResolutionfilelinkifyouwishtoviewtheentireNotice.

After selecting the resolution you have decided to vote on, click on ‘SUBMIT’.A confirmation boxwill bedisplayed.Ifyouwishtoconfirmyourvote,clickon‘OK’,elsetochangeyourvote,clickon‘CANCEL’andaccordinglymodifyyourvote.

Onceyou‘CONFIRM’yourvoteontheresolution,youwillnotbeallowedtomodifyyourvote.

Youcanalsotakeoutprintofthevotingdonebyyoubyclickingon‘Clickheretoprint’optionontheVotingpage.

IfDemataccountholderhasforgottenthechangedpasswordthenentertheUserIDandCaptchaCodeclickonForgotpassword&enterthedetailsaspromptedbythesystem.

ShareholderscanalsocasttheirvoteusingCDSL’smobileappm-Votingavailableforandroidbasedmobiles.Them-VotingappcanbedownloadedfromGooglePlayStore.AppleandWindowsPhoneuserscandownloadthe app from theAppStore and theWindowsPhoneStore respectively.Please follow the instructions aspromptedbythemobileappwhilevotingonyourmobile

InstitutionalEquityShareholders(i.e.otherthanindividuals,HUF,NRIetc.)arerequiredtologonhttps://www.evotingindia.co.inandregister themselvesasCorporates.After receiving the logindetails theyhave to linktheaccount(s)whichtheywishtovoteonandthencasttheirvote.TheyshoulduploadascannedcopyoftheBoardresolutionandPowerofAttorneywhichtheyhaveissuedinfavouroftheCustodian,ifany,inPDFformatinthesystemforthescrutinizertoverifythesame.

Incaseyouhaveanyqueriesorissuesregardinge-voting,youmayrefertheFrequentlyAskedQuestionsande-votingmanualavailableatwww.evotingindia.comunder help section or write an email to CDSL on [email protected].

Anyperson,whoacquiressharesoftheCompanyandbecomememberoftheCompanyafterdispatchofthenoticeandholdingsharesasofthecut-offdatei.e.September21,2018mayobtaintheloginIDandpasswordby sending a request at [email protected].

16. Thevotingrightsofmembersshallbeinproportiontotheirsharesofthepaid-upequitysharecapitalintheCompanyasonthecut-of-datei.e.September21,2018.

17. Aperson,whosenameisrecordedintheregisterofmembersorintheregisterofbeneficialownersmaintainedbythedepositoriesasonthecut-offdateonlyshallbeentitledtoavailthefacilityofremotee-votingaswellasvotingattheAGMthroughballotpaper.

18. M/s.SGParekh&Co.,PracticingCompanySecretaries,havebeenappointedastheScrutinizertoscrutinizethee-votingprocessandvotescastthroughBallotPaperattheAGMinafairandtransparentmanner.

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EXPLANATORY STATEMENTPursuant to Section 102 of the Companies Act, 2013

PursuanttoSection102oftheCompaniesAct,2013(‘theAct’),thefollowingExplanatoryStatementsetsoutallmaterialfactsrelatingtothebusinessmentionedunderItemNos.2to11oftheaccompanyingNoticedatedAugust21,2018.

Item No. 2Mr.RishabhSharma(DIN:08051566)wasappointedasanAdditionalDirectorsbytheBoardofDirectorw.e.f.July27,2018.HeisapersonofintegrityandpossessesrelevantexpertiseandexperienceandiseligibleforappointmentinthepositionofanIndependentDirectoroftheCompanyandfulfillstheconditionsspecifiedbytheCompaniesAct,2013andtheSEBI(ListingObligationandDisclosureRequirement)Regulations,2015.TheBoardconsidersthathisassociationwillbebeneficialand in thebest interestof theCompany.TheNomination&RemunerationCommittee has recommended the appointment of Mr.RishabhSharma(DIN:08051566)asIndependentDirectoroftheCompany.

HehasgivenadeclarationtotheBoardthathemeetsthecriteriaofIndependentDirectorasprovidedundersection149(6)oftheAct.NoticesasrequiredunderSection160oftheCompaniesAct,2013havebeenreceivedfromamemberproposingcandidatureof the said IndependentDirector.Upon theconfirmationof appointmentof saiddirectorasIndependentDirectorbythemembersoftheCompany,theappointmentshallbeformalizedbytheissueofaletterofappointmentbytheCompanytothesaidIndependentDirector.

Hisbrief resume, thenatureofhisexpertise inspecific functionalareas,namesofcompanies inwhichheholdDirectorship,CommitteeMemberships/Chairmanshipsetc.,areseparatelyannexedhereto.

AcopyofdraftletterofappointmentasNon-ExecutiveIndependentDirectorsettingoutthetermsandconditionsoftheirappointmentisavailableforinspectionbymembersattheRegisteredOfficeoftheCompany.TheBoardofDirectorsrecommendstheordinaryresolutionforyourapproval.

HeisnotrelatedtoanyoftheDirectorsorKeyManagerialPersonnel(includingrelativesoftheDirectorsandKeyManagerialPersonnel)oftheCompanyintermsofSection2(77)oftheCompaniesAct,2013.

NoneoftheDirectorsorKeyManagerialPersonneloftheCompany(includingrelativesoftheDirectorsandKeyManagerial Personnel) other than Mr. Rishabh Sharma (DIN: 08051566), himself, is concerned or interested, financiallyorotherwise,inthisresolution.

Item No. 3Ms.PurnimaParashar(DIN:07675850)wasappointedasanAdditionalDirectorbytheBoardofDirectorsw.e.f.July27,2018.She isapersonof integrityandpossesses relevantexpertiseandexperienceand iseligible forappointment in the position of an IndependentDirector of theCompany and fulfills the conditions specified bytheCompaniesAct,2013andtheSEBI(ListingObligationandDisclosureRequirement)Regulations,2015.TheBoardconsidersthatherassociationwillbebeneficialandinthebestinterestoftheCompany.TheNomination&RemunerationCommittee has recommended the appointment ofMs.PurnimaParashar(DIN: 07675850) as IndependentDirectoroftheCompany.

Shehasgivenadeclarationto theBoardthatshemeetsthecriteriaof IndependentDirectorasprovidedundersection149(6)oftheAct.NoticesasrequiredunderSection160oftheCompaniesAct,2013havebeenreceivedfromamemberproposingcandidatureofthesaidIndependentDirector.UpontheconfirmationofappointmentofsaiddirectorasIndependentDirectorbythemembersoftheCompany,theappointmentshallbeformalizedbytheissueofaletterofappointmentbytheCompanytothesaidIndependentDirector.

Herbriefresume,thenatureofherexpertiseinspecificfunctionalareas,namesofcompaniesinwhichsheholdDirectorship,CommitteeMemberships/Chairmanshipsetc.,areseparatelyannexedhereto.

AcopyofdraftletterofappointmentasNon-ExecutiveIndependentDirectorsettingoutthetermsandconditionsoftheirappointmentisavailableforinspectionbymembersattheRegisteredOfficeoftheCompany.TheBoardofDirectorsrecommendstheordinaryresolutionforyourapproval.

SheisnotrelatedtoanyoftheDirectorsorKeyManagerialPersonnel(includingrelativesoftheDirectorsandKeyManagerialPersonnel)oftheCompanyintermsofSection2(77)oftheCompaniesAct,2013.

NoneoftheDirectorsorKeyManagerialPersonneloftheCompany(includingrelativesoftheDirectorsandKeyManagerial Personnel) other than Ms.PurnimaParasharherself,isconcernedorinterested,financiallyorotherwise,inthisresolution.

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Item No. 4 Mrs.GitaDeviAgarwal(DIN:08126967)wasappointedasAdditionalDirectoreffectivefromJuly27,2018andholdofficeasDirectoruptothedateoftheensuingAGM.TheBoardconsidersthatherassociationwillbebeneficialandinthebestinterestoftheCompany.TheCompanyhasreceivednoticeunderSection160oftheCompaniesAct,2013 from a member proposing the candidature of Mrs.GitaDeviAgarwal as a Director of the Company, liable to retirebyrotationalongwiththeprescribeddeposit.Herbriefresume,thenatureofherexpertiseinspecificfunctionalareas,namesofcompaniesinwhichtheyholdDirectorship,CommitteeMemberships/Chairmanshipsetc.,areseparatelyannexedhereto.SheisnotrelatedtoanyoftheDirectorsorKeyManagerialPersonnel(includingrelativesoftheDirectorsandKeyManagerialPersonnel)oftheCompanyintermsofSection2(77)oftheCompaniesAct,2013.NoneoftheDirectorsorKeyManagerialPersonneloftheCompany(includingrelativesoftheDirectorsandKeyManagerial Personnel) other than Mrs.GitaDeviAgarwalherself,isconcernedorinterested,financiallyorotherwise,inthisresolution.Item No. 5Mr.RahulSaraf(DIN:01494992),hasbeenappointedasanAdditionalDirectoroftheCompanywitheffectfromJuly27,2018,pursuant to theprovisionsofArticlesofAssociationof thecompany readwithSection161(1)oftheCompaniesAct,2013,Mr.RahulSarafholdsofficeasDirectorofthecompanyuptothedateoftheensuingAnnualGeneralMeetingbut is eligible for appointment as aDirector.Anotice underSection160(1) of theActhasbeenreceivedsignifyingintentiontoproposeMr.RahulSarafasacandidatefortheofficeofDirectoroftheCompany.FurtherBoardapprovedtheappointmentofMr.RahulSaraf(DIN:01494992)asWhole-timeDirectoroftheCompanyforaperiodofthreeyearswitheffectfromJuly27,2018ontherecommendationofthenominationandremunerationcommittee,subjecttotheapprovaloftheshareholdersintheGeneralMeetingForthepurpose,anagreementhasbeenenteredintobytheCompanywiththeWhole-timeDirectoronJuly27,2018.ThemaintermsandconditionsofhisappointmentasWhole-timeDirector,ascontainedinthesaidagreementare furnished below:1) TermofAppointment:Three(3)yearswitheffectfromJuly27,20182) Remuneration:SinceCompanyisyettocommenceprofitableoperations,Mr.RahulSarafhasvolunteerednot

to draw remuneration from the company TheBoardthereforerecommendsthepassingoftheSpecialResolutionatItemNo.5oftheaccompanying

Noticeformember’sapprovalforappointmentofMr.RahulSarafasaWhole-timeDirectoroftheCompany,w.e.f.July27,2018

Mr.RahulSarafisinterestedintheresolution.Saveandexcepttheabove,noneoftheotherDirectorsoftheCompany is, in any way, concerned or interested in the resolution.

Item No. 6The present authorised capital of the company is Rs. 12,50,50,000/- (Rupees Twelve Crores Fifty Lacs FiftyThousandOnly)dividedinto2,50,10,000EquitysharesofRs.5/-(RupeesFiveonly)each.Inviewoftheexpansionplans of the company which require additional funds, it is proposed to increase the authorised equity share capital fromtheexisting limitofRs.12,50,50,000/-(RupeesTwelveCroresFiftyLacsFiftyThousandOnly)dividedinto2,50,10,000EquitysharesofRs.5/-(RupeesFiveonly)eachtoRs.20,00,00,000/-(RupeesTwentyCroresonly)dividedinto4,00,00,000EquitySharesofRs.5/-(RupeesFiveonly)each.TheResolutioncontainedinItemNo.6seekstoincreasetheAuthorisedShareCapitaloftheCompanyasaforesaidandtoaltertheMemorandumofAssociationandArticlesofAssociationoftheCompanyconsequentialtoincreaseintheAuthorisedShareCapitalof theCompany. Theproposal requires theconsentof themembers.TheBoardofDirectors recommends thattheproposalbeapproved.Noneofthedirectors,keymanagerialpersonneloftheCompanyandtheirrespectiverelativesareinanywayconcernedorinterested,financiallyorotherwise,intheresolutionItem no. 7 and 8TheBoardofDirectorsoftheCompanyinitsmeetingheldonJuly27,2018decidedtochangetheMainobjectoftheCompanyandventureintovibrantbusinessofmanufacturing,buying,selling,importing,exporting,transporting,storing,developing,promoting,marketingorsupplying, trading,dealing inanymannerwhatsoever inall typeofgoods including business of ironmasters, steelmakers, steel converters, ferrous and non-ferrousmetals, cokemanufacturers,miners,smelters,engineersandironfounderinalltheirrespectivebranches,preciousmetalsandrareearthmetalson retailaswellasonwholesalebasis in Indiaorelsewhereand todeal inall kindsofagri-commodities,timber,oleo-chemicals,petro-chemicalsandfattyacids,cottoncastor&derivatives,edibleandnon-edibleoils,lubricatingoils,naturalgases,bitumen,coffeeetc.andtoactasexhibitorsofvariousgoods,servicesandmerchandiseandtodealintextiles,cotton,silk,artsilk,rayon,nylon,syntheticfibers,staplefibers,polyester,

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worsted,wool,hempandotherfibrematerials,yarn,cloth,linen,rayonandothergoodsormerchandisewhethertextile felted, netted or looped in all kinds of plastic raw materials and products, polymers and polymer products and additives.Toinvestthecapitalandothermoneysofthecompanyinthepurchaseoruponthesecurityofshares,stocks,units,debentures,debentures-stocks,bondsetc.andtocarryonthebusinessofrealestatecontractorsandbuilders.With theenactmentofnewCompaniesAct,2013, it is consideredexpedient toamend the formof theexistingMemorandumofAssociationtobeinaccordancewiththerequirementsundertheCompaniesAct,2013.IntermsofSection4(1)(c)oftheCompaniesAct,2013,theMemorandumofAssociationofacompanyistostatetheobjectsforwhichtheCompanyisproposedtobeincorporatedandanymatterconsiderednecessaryinfurtherancethereof.Assuch,therequirementsofseparatelyindicatingthe“mainobjects”,“incidentalorancillaryobjects”and“otherobjects”undertheerstwhilelegislationhaschanged.Accordingly,itisproposedtoreplacetheexistingheadingofClauseIIIB,andcompletelydeletethe“OtherObjects”intheexistingMemorandumofAssociationinordertocomplywiththeprovisionoftheCompaniesAct,2013andaccordinglyMemorandumofAssociationwillnolongercarryotherobjects.TheconsentoftheshareholdersbypassingaSpecialResolutionisrequiredinthisregard.TheshareholdersoftheCompanycanalsoobtainacopyofthesameattheRegisteredOfficeoftheCompany.AspertheprovisionsofSections13oftheCompaniesAct,2013,approvaloftheshareholdersisrequiredtobeaccordedalteration forchangingthemainobjectof the in theMemorandumofAssociationbywayofpassingaSpecialResolution.Hence,theresolutionisputupforshareholdersapproval.No Director or Key Managerial Personnel of the company has any interest in the resolution except as a member, if any,oftheCompany.Item No.9TheBoardofDirectorsoftheCompanyinitsmeetingheldonJuly27,2018decidedtochangethenameoftheCompany from “InannaFashion andTrends Limited” to “SevenResources Limited orMaxgrow India Limited”Toreflect thediversifiedbusinessactivities in thenameof theCompany, itwasdecidedtochangenameof theCompany.TheDirectorsbelievethatthechangeinthenameoftheCompanywhichisbeingundertakenaspartofcorporaterebrandingwouldmakethenameoftheCompanysimple,sharpandfocused.TheCompanyhasalreadyappliedtotheRegistrarofCompaniesabouttheavailabilityofnewname“SevenResourcesLimited or Maxgrow IndiaLimited”oranyothernameasapprovedbytheRegistrarofCompaniesforregistrationunderSections4,13andotherapplicableprovisions, ifany,of theCompaniesAct,2013,andsubject to theresolutionbeingpassedanapplicationwillbemadetotheCentralGovernmentforapprovalofthechangeofnameunderSection4and13oftheAct.Ifthechangeofnameisapproved,sharecertificatesalreadyissuedwillnotbecalledinonlyforthepurposeofexchangeintocertificatesbearingthenewname,butwillbesoexchangedasandwhentheexistingcertificatescomeintothepossessionofthecompanyandinthemeantimetheexistingcertificateswillcontinuetobeacceptedforallpurposesasindicatingentitlementtosharesoftheCompany.AspertheprovisionsofSections13oftheCompaniesAct,2013,approvaloftheshareholdersisrequiredtobeaccordedforchangingthenameoftheCompany&consequentalterationintheMemorandumofAssociationandArticlesofAssociationbywayofpassingaSpecialResolution.Hence,theresolutionisputupforshareholdersapproval.No Director or Key Managerial Personnel of the company has any interest in the resolution except as a member, if any,oftheCompany.Item no. 10Mr. Rahul Saraf had entered into a Share PurchaseAgreement (SPA) dated January 30, 2018 with ApogeeBusinessSolutionsPvtLtd,ManjuNatwarSureka,TusharNSurekha,NatwarBSureka erstwhile Promoters of theCompany,toacquire34,37,798(ThirtyFourLakhsThirtySevenThousandsevenHundredandNinety-eight)EquitySharesatapriceofRs.2/-(RupeesTwoOnly)perEquityShareoftheCompany.PursuanttotheexecutionoftheSPA,theAcquirersmadeanOpenOffertoallPublicShareholdersinaccordancewithRegulation3(1)and4oftheSEBI(SAST)Regulations2011toacquireupto94,44,260(NinetyFourLakhsFortyFourThousandTwoHundredSixtyOnly)EquitySharesconstituting26%(TwentySix)oftheShareCapitaloftheCompanyatanofferpriceofRs.8/-(RupeesEightOnly)perEquityShare.InaccordancewiththeSPAandOpenOffer,theacquirersshallbeclassifiedas thepromotersof theCompanyreplacing theexistingpromoterssubject to theapprovalofShareholdersasperRegulation31AoftheSEBI(ListingObligationsandDisclosureRequirements)Regulations,2015.Onconsummationof theOfferPeriod, theAcquirershaveacquired in total34,59,586, (ThirtyFourLakhsFiftyNinethousandFiveHundredandEightysix)equitysharesconstituting16.22%ofthetotalsharecapitaloftheCompany.AsperRegulation31AoftheSEBI(ListingObligationsandDisclosureRequirements)Regulations,2015,andtheletterofofferissuedinconnectionwiththeopenoffer,approvalofshareholdersinthegeneralmeetingisrequiredforclassifyingMr.RahulSarafasthePromoteroftheCompanyinplaceoftheApogeeBusinessSolutionsPvtLtd,ManjuNatwarSureka,TusharNSurekha,NatwarBSureka. Hence,theresolutionisputupforshareholdersapproval.

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Item No. 11Ratification and Approval of Utilisation of proceeds received from issue of equity shares of the Company on Preferential BasisYourCompanyneededfundsforlongtermworkingcapitalrequirementsandforapprovedcorporatepurposes.Assuch,yourCompanyonprivateplacementbasis,hadallotted77,11,039equitysharesoffacevalueRs.10/-(RupeesTenOnly)pershareonMarch2,2011offeredatapriceofRs.12.32/-(RupeesTwelveandThirtyTwoPaisaOnly)pershare(includingpremiumofRs.2.32/-(RupeesTwoandThirtyTwoPaiseOnly)pershare)and9,50,000equitysharesoffacevalueRs.10/-(RupeesTenOnly)pershareonJune20,2011offeredatapriceofRs.20/-(RupeesTwentyOnly)pershare(includingpremiumofRs.10/-(RupeesTenOnly)pershare)and8,00,000equitysharesoffacevalueRs.10/-(RupeesTenOnly)pershareonOctober30,2012offeredatapriceofRs.20/-(RupeesTwentyOnly)pershare(includingpremiumofRs.10/-(RupeesTenOnly)pershare);YourCompanyreceivedtotalsumofRs.13,00,00,000.48/-(RupeesThirteenCroresandFortyEightPaiseOnly)againsttheabovestatedallotmentof94,61,039equitysharesoffacevalueRs.10/-pershare;YourCompanyhasutilisedtheabovestatedfundsinthemannerstatedbelow:

Sr. No. Payment to Purpose Amount Utilized

1 Teknopoint Mercantile CompanyPvt.Ltd.

Purchase of 41,50,000 equity shares at afacevalueofRs10/-pershareofTeknopointMercantileCompanyPvt.Ltd.

Rs.4,15,00,000.00

2 Sainath Herbal Care Marketing Pvt.Ltd.

Purchase of 32,00,000 equity shares at a face valueofRs10/-pershareofSainathHerbalCareMarketingPvt.Ltd.

Rs.3,20,00,000.00

3 Neil Information TechnologyLtd.

SoftwarePurchase -CompanyhasacquiredCRM software from Neil InformationTechnologyLtd.

Rs.20,00,000.00

4 ShreeMangalJewelsPvt.Ltd ForpurchaseofJewelleryProducts Rs.1,45,00,000.00

5 PerfectOctavePrivateLimited Perfect Octave Private Limited will beconducting advertising and designingcampaign for company’s foray in fashion and clothing sector. Based on Letter Of Intent aonetimeinterestfreesecuritydepositofRs.1croreisprovidedbythecompany.

Rs.86,00,000.00

6 SwastikLegalConsultantsPvt.Ltd.

Investment for 10,00,000 OptionallyConvertible Preference Shares of Rs.10/-each,convertibleafteraperiodof2yearsinto10,00,000equityshares.

Rs.50,00,000.00

7 Fastline Multitrade Pvt. Ltd.(FMPL)

Based on Letter of Intent a onetime interestfreesecuritydepositofRs1croreisgivenforusageofInfrastructureandNetworkofFMPLinSAARCforexportandtradingofnewrangeofproducts.

Rs.1,00,00,000.00

8 WorkingCapitalrequirement Placing of purchase orders, management fees, commissions, payment for salaries on behalfofHRfirm.

Rs.1,64,00,000.48

Total Rs.13,00,00,000.48

BSEvideletterdatedJuly27,2016allegedthattheCompanyhadmis-utilisedthefundsraisedandhadsuspendedthetradinginequitysharesoftheCompany.

YourCompanyhadprovidedappropriaterepliestoBSELtd.andhadalsoreceivedanorderfromHon’bleSecuritiesAppellateTribunalinfavouroftheCompanyforresumptionoftrading.

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BSELtd.nowvideitsnoticenumber20160613-29datedJune13,2018hasdirectedthecompanieswhichundergonesurveillancemeasuresformis-utilisationoffundstoundertake“Mandatorydisclosurestobemadebythecompaniesw.r.t.mis-utilisationofpreferentialproceedsalongwithensuingquarterlyunaudited/auditedfinancialresultsandsametoberatifiedbytheshareholdersofthecompanywithin3monthsfromintimation”;

ThemembersoftheCompanyarehencerequestedto;,pursuanttothesaidBSELtd.noticenumber20160613-29datedJune13,2018,theCompany;herebyratifyandapprovethesaidspecialresolutionfortheutilizationoffundsbytheCompanyinthemannerstatedinthetableearlier.

Noneofdirectorsofthecompanyareinterestedinthesaidspecialresolution.

On behalf of the Board of Directors

Place: Mumbai Rahul Saraf Date: 21st August, 2018 Whole-time Director

DIN: 01494992Regd. Office: 103, Hubtown Solaris, N S PhadkeMarg, Andheri (East), Mumbai-400069, Maharashtra

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ANNEXURE TO THE NOTICENotesondirectorsseekingappointmentasrequiredunderRegulation36(3)SEBI(LODR)Regulation,2015andSecretarialStandardsonGeneralmeetingsaregivenbelow.

Name of the Director Mr. Rahul Saraf Ms. Purnima ParasharDirectorIdentificationNumber(DIN)

01494992 07675850

Date of Birth 07/08/1984 10/07/1987Nationality Indian IndianDateofAppointmentonBoard 27/07/2018 27/07/2018

Expertise in functional area

AsFounder ofMaxgrowGroup,hestartedhisjourneyattheageof16.HehasledMaxgrowfromamodest background to a 2000 Cr professionally managed empire inarelativelyshortperiodoftime.He has a risk taking appetite and riskabsorptioncapacity.

SheisAssociatememberoftheInstituteofCompanySecretariesof India (ICSI), Bachelor ofLaw (LL.B) and Bachelor ofCommerce with specialization in Computer Application. Sheis having more than 5 years ofexperience of Company Law and otherCorporate Laws.Sheis also associated with one of the leading group of media companiesinIndia.

Shareholding in the Company 34,59,586 NilList of Directorships held in other Companies

1.MaxgrowIndustriesLimited

2.MaxgrowAgriCommoditiesLimited

NA

Memberships / Chairmanships ofAuditandStakeholders’RelationshipCommitteesacrossPublicCompanies.

Nil Nil

Name of the Director Mr. Rishabh Sharma Mrs. Gita Devi AgarwalDirectorIdentificationNumber(DIN)

08051566 08126967

Date of Birth 15/04/1995 09/11/1953Nationality Indian IndianDateofAppointmentonBoard 27/07/2018 27/07/2018

Expertise in functional area

Bachelor of Commerce and is a diplomaholderinWebDesigningand possessesTechnical Skills-HTML,CSS,JavaScript,Jquery,PHP. He is having more than1 year of experience as WebDeveloper

She is a versatile personalityhaving Directorship in otherCompaniesaswell.

Shareholding in the Company Nil NilList of Directorships held in other Companies

NA 1.MaxgrowIndustriesLimited

2.MaxgrowAgriCommoditiesLimited

Memberships / Chairmanships ofAuditandStakeholders’RelationshipCommitteesacrossPublicCompanies.

Nil Nil

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DIRECTORS’ REPORT

To,The Members,

YourDirectorshavepleasureinpresentingtheir25thAnnualReportonthebusinessandoperationsoftheCompanyandtheaccountsfortheFinancialYearendedMarch31,2018.

1. FINANCIAL RESULTS : Pursuant to thenotificationdatedFebruary16,2015 issuedbyMinistryofCorporateAffairs, theCompanyhasadoptedtheIndianAccountingStandards(“INDAS”)notifiedundertheIndianAccountingRules,2015witheffectfrom1stApril 2017.Financial statement provides further explanationon the transition to IndAS.Financial andOperationalResultsoftheCompanyfortheyearended31stMarch,2018ascomparedtothepreviousfinancialyear, is summarized below

Particulars (Standalone) (Amount in INR)2017-18 2016-17

TotalIncome 84,291,381 21,389,904Total Expenditure 85,387,544 34,425,186Profit /(loss)before exceptional items and Tax (1,096,163) (13,035,282)Less: Exceptional items - -Profit /(loss)before Tax (1,096,163) (13,035,282)Less:CurrentTax(NetofMATCredit) - -PreviousYearTax - - Deferred Tax 22,408 19,976Profit /(loss)For the Year (1,073,755) (13,015,306)EarningperEquityShare(FaceValue:Rs.5/-) Basic (0.05) (0.61) Diluted (0.05) (0.61)

REVIEW OF OPERATIONS,TheCompany during the financial year under review, has generated revenue of Rs.842.91lacs (previous yearRs.213.89lacs),resultinginlossofRs.10.74lacs(lossinpreviousyearRs.130.15lacs)andthetotalexpenditureduringtheyearisRs.853.87lacsagainstexpenditureofpreviousyearwasRs.344.25lacs.

2. DIVIDEND:Therewerenoprofitsearnedduringtheyearandthereforenotdeclaredanydividendforthecurrentfinancialyear.

3. TRANSFER TO RESERVES :TherearenoamountstransferredtoReservesduringtheyearunderreview.HowevercreditbalanceofProfitandLossAccountistransferredtoReservesandSurplusinBalanceSheet.

4. CHANGE IN PROMOTERSDuringtheyearunderreview,theexistingpromotersofyourcompanyhaveexitedandofferedtheirshareholdingtoMr.RahulSaraf,thenewpromotersofthecompany.TheexistingPromotersoftheCompanyhaveagreedtotakeanexitandthenewpromotershaveagreedtoacquireequitystakeof16.12%fromtheexistingPromotersthroughSharePurchaseAgreementonJanuary30,2018.

Further,TheBoardofDirectorsintheirmeetingheldonJanuary30,2018andtheshareholdersintheirmeetingheldonMarch01,2018approvedandresolvedtoallot1,50,00,000warrantswhichwillbeconvertibleintoequalnumberofEquitysharesonpreferentialbasistothenewpromoterintermsofSection62andotherapplicableprovisionsoftheCompaniesAct,2013andintermsofSEBI(ICDR)Regulations2009.PursuanttoSPAandsaidpreferentialallotmentthenewpromotershallhold34,37,798equitysharesand1,50,00,000warrantsrepresenting9.46%and41.29%respectivelyoftheVotingSharecapitaloftheCompanypostPreferentialAllotment.

CompanyhasreceivedInPrincipleApprovalfromBSEonAugust8,2018forthesaidpreferentialallotment.

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Oncompletionoftheabovesaidobligations,Mr.RahulSarafistoberecognizedasPromotersinplaceofApogeeBusinessSolutionsPvtLtd,ManjuNatwarSureka,TusharN.Sureka,NatwarB.Sureka.SincethisrequirestheapprovaloftheMemberspursuanttoRegulation31AoftheSEBI(LODR)Regulations,2015bywayofaspecialresolutionthesameisproposedfortheapprovalofthemembersattheensuingAGM.

5. MATERIAL CHANGES AND COMMITMENTS BETWEEN END OF FINANCIAL YEAR AND DATE OF REPORT:1. PublicAnnouncementdatedJanuary30,2018wasfiledinrelationtoOpenOfferforacquiringupto94,44,260

(NinetyFourLakhsFortyFourThousandTwoHundredSixtyOnly)EquityShares.Pursuanttotheallotmentof1,50,00,000warrantswhichwillbeconvertedintoequalnumberofequityshares,representing26%oftheVotingShareCapital,fromthePublicbyMr.RahulSaraf.

2. TheBoard ofDirectors of theCompany at theirmeeting held on July 27, 2018, has approved to changetheRegisteredofficeoftheCompanywithincityfrom“A/9,TheParleColonyCo-OperativeHousingSocietyLimited,SahakarRoad,VileParle (East),Mumbai400057” to “103,HubtownSolaris,NSPhadkeMarg,Andheri(East),Mumbai-400069,Maharashtra”.

6. DIRECTORS’ RESPONSIBILITY STATEMENT:Aspertheclause(c)ofsub-section(3)ofSection134oftheCompaniesAct,2013,theDirectors’statethat:

a) in the preparation of the annual accounts, the applicable accounting standards had been followed along with properexplanationrelatingtomaterialdepartures;

b) thedirectorshadselectedsuchaccountingpoliciesandappliedthemconsistentlyandmadejudgmentsandestimates that are reasonableandprudent soas togivea trueand fair viewof the stateof affairsof thecompanyattheendofthefinancialyearandofthelossofthecompanyforthatperiod;

c) the directors had taken proper and sufficient care for themaintenance of adequate accounting records inaccordancewiththeprovisionsofthisActforsafeguardingtheassetsofthecompanyandforpreventinganddetectingfraudandotherirregularities;

d) thedirectorshadpreparedtheannualaccountsonagoingconcernbasis;

e) thedirectorshadlaiddowninternalfinancialcontrolstobefollowedbythecompanyandthatsuchinternalfinancialcontrolsareadequateandwereoperatingeffectively;and

f) thedirectorshaddevisedpropersystemstoensurecompliancewiththeprovisionsofallapplicablelawsandthatsuchsystemswereadequateandoperatingeffectively.

7. SUBSIDIARIES, JOINT VENTURES AND ASSOCIATE COMPANIES:TheCompanydoesnothaveanysubsidiary,jointventuresandassociatecompany.

8. DEPOSITS:Duringthefinancialyear2017-18,yourCompanyhasnotacceptedanydepositwithinthemeaningofSection73and74oftheCompaniesAct,2013readtogetherwiththeCompanies(AcceptanceofDeposits)Rules,2014.

9. CASH FLOW STATEMENT: Cashflowstatementinpursuanttoregulation34(2)(c)ofLODRRegulation,2015isattachedandformpartofthereport.

10. SHARE CAPITAL:ThePaid-upEquityShareCapital asonMarch31,2018wasRs.10,66,20,390/- comprising2,13,24,078EquitySharesofRs.5/-each.

11. RISK MANAGEMENT POLICY:TheCompanyhasadoptedaRiskManagementPolicydulyapprovedbytheBoardandisoverseenbytheAuditCommitteeof theCompanyonacontinuousbasis to identify,assess,monitorandmitigatevarious risks tokeybusinessobjectives.

12. ADEQUACY OF INTERNAL FINANCIAL CONTROLS:TheCompanyhasinplaceadequateinternalfinancialcontrolswithreferencetofinancialstatements.Duringtheyear,suchcontrolsweretestedandnoreportablematerialweaknessinthedesignoroperationwasobserved.

19


13. MANAGEMENT DISCUSSION AND ANALYSIS REPORT:AsrequiredbySEBI(ListingObligationAndDisclosureRequirement)Regulation,2015,theManagementdiscussionandAnalysisReportformspartofthisAnnualReport.

14. CORPORATE GOVERNANCE:TheCompanyiscommittedtogoodcorporategovernanceinlinewiththeListingRegulationsandInannaFashionandTrendsLimited(FormerlyknownasFrontlineBusinessSolutionLimited)ascorporategovernancenorms.TheCompanyisincompliancewiththeprovisionsoncorporategovernancespecifiedintheListingAgreementwithBSE.TheCompliancecertificatefromM/s.B.N.Kedia&Co.,CharteredAccountantregardingcomplianceofconditionsofcorporategovernanceasstipulatedinListingRegulationshasbeenannexedwiththereport.

15. PREVENTION OF SEXUAL HARASSMENT POLICY:TheCompanyhasinplaceaPreventionofSexualHarassmentpolicyinlinewiththerequirementsoftheSexualHarassmentofWomenattheWorkplace(Prevention,ProhibitionandRedressal)Act,2013.AnInternalComplaintsCommitteehasbeensetuptoredresscomplaintsreceivedregardingsexualharassment.Allemployees(permanent,contractual, temporary, trainees)arecoveredunder thispolicy.During theyear2017-2018,nocomplaintswerereceivedbytheCompanyrelatedtosexualharassment.

16. DIRECTORS AND KEY MANAGERIAL PERSONNEL:DuringtheyeartherewerenochangeinBoardstructureoftheCompany,Further;thefollowingchangeshavebeenmadeintheBoardstructureoftheCompanyaftertheendofthisfinancialyear:

Sr.No. Name Of Directors DIN Date OfAppointment

Date OfResignation

Designation

1. Natwar Balkrishna Sureka 01296522 06/04/2008 27/07/2018 Managing Director2. ManjuNatwarSureka 01362461 06/04/2008 27/07/2018 Director3. BrijkishoreK.Ruia 00309420 12/04/2011 27/07/2018 IndependentDirector4. Sandeep Mhaske 03000052 10/04/2017 27/07/2018 IndependentDirector5. RahulSaraf 01494992 27/07/2018 - WholetimeDirector6. Purnima Parashar 07675850 27/07/2018 - IndependentDirector7. RishabhSharma 08051566 27/07/2018 - IndependentDirector8. GitaDeviAgarwal 08126967 27/07/2018 - NonExecutive

Director

17. DECLARATION OF INDEPENDENT DIRECTOR:TheCompanyhasreceiveddeclarationfromIndependentDirectorsthattheymeetthecriteriaofindependenceaslaiddownunderSection149(6)oftheAct.

18. EVALUATION OF BOARD’S PERFORMANCE:PursuanttotheprovisionsoftheCompaniesAct,2013andListingRegulations,theBoardhascarriedoutanannualperformanceevaluationofitsownperformance,thedirectorsindividuallyaswellastheevaluationoftheworkingofitsAudit,Nomination&RemunerationandComplianceCommittees.ThemannerinwhichtheevaluationhasbeencarriedouthasbeenexplainedintheCorporateGovernanceReport.

19. BOARD AND BOARD COMMITTEES:The details of Board Meetings held during the year, attendance of the directors at the meetings and details of all the Committeesalongwiththeircharters,compositionandmeetingsheldduringtheyear,areprovidedinthe“ReportonCorporateGovernance”,apartofthisAnnualReport.

20. MANAGERIAL REMUNERATION:Disclosures of the ratio of the remuneration of each director to the median employee’s remuneration and other detailsasrequiredpursuanttoSection197(12)oftheCompaniesAct,2013readwithRule5(1)oftheCompanies(AppointmentandRemunerationofManagerialPersonnel)Rules,2014isprovidedas“Annexure A”.21. PARTICULARS OF EMPLOYEES:

20


ThereisnoemployeedrawingremunerationfallingwithinthelimitsspecifiedunderSection134(3)and197oftheCompaniesAct,2013 readwith theCompanies (ParticularsofEmployees)Rules,2011,hencenostatement isenclosed.

22. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS UNDER SECTION 186:TheCompanyhasnotgrantedanyloansorgivenguaranteesormadeanyinvestmentscoveredundertheprovisionsofSection186oftheCompaniesAct,2013

23. CORPORATE SOCIAL RESPONSIBILITY (CSR):TheCompanyisnotrequiredtodevelopandimplementanyCorporateSocialResponsibilityinitiativesasthesaidprovisionsarenotapplicable.

24. RELATED PARTY TRANSACTIONS:Duringthefinancialyear2017-18,yourCompanyhasnotexecutedanytransactionswithrelatedpartiesasdefinedunderSection2(76)oftheCompaniesAct,2013readwithCompanies(SpecificationofDefinitionsDetails)Rules,2014.Duringthefinancialyear2017-18,therewerenotransactionswithrelatedpartieswhichqualifyasmaterialtransactionsundertheListingRegulations.

25. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS:TherearenosignificantmaterialorderspassedbytheRegulators/CourtswhichwouldimpactthegoingconcernstatusoftheCompanyanditsfutureoperations.

26. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION, FOREIGN EXCHANGE EARNINGS & OUTGO:The information on conservation of energy, technology absorption and foreign exchange earnings and outgostipulatedunderSection134(3)(m)oftheCompaniesAct,2013readwithRule,8ofTheCompanies(Accounts)Rules,2014,areasbelow:

• Energy Conservation: DuringtheperiodunderreviewtherewasnoEnergyconservation.• Technology Absorption:DuringtheperiodunderreviewtherewasnoTechnologyAbsorption.• Foreign Exchange Earnings and Outgo:During theperiodunder review therewasno foreignexchange

earningsoroutflow.

27. STATUTORY AUDITORS:M/s.B.N.Kedia&Co.,CharteredAccountantwereappointedastheStatutoryAuditoroftheCompanytoholdofficetill the conclusion of 29thAnnualGeneralMeetingatthe24thAnnualGeneralMeetingheldon29thSeptember,2017.IntermsoftheprovisionofSection139(1)oftheCompaniesAct,2013,theappointmentshallbeplacedforratificationateveryAnnualGeneralMeeting.

InaccordancewiththeCompaniesAmendmentAct,2017,enforcedon7thMay,2018bytheMinistryofCorporateAffairs,theappointmentofStatutoryAuditorsisnotrequiredtoberatifiedateveryAnnualGeneralMeeting.

M/s.B.N.Kedia&Co.hasprovidedtheirrespectiveconsent,certificatesanddeclarationasrequiredunderSection139and141oftheActandtheCompanies(AuditandAuditors)Rules,2014.TheReportoftheAuditorsonthefinancialstatementfortheyearended31stMarch2018doesnotcontainanyqualification.

28. AUDITORS’ OBSERVATION & REPORT:TheobservationmadeintheAuditors’ReportreadtogetherwithrelevantnotesthereonareselfexplanatoryandhencedonotcallforanyfurthercommentsunderSection134oftheCompaniesAct,2013.

29. SECRETARIAL AUDIT:Pursuant to the provisions of Section 204 of theAct and the Companies (Appointment and Remuneration ofManagerialPersonnel)Rules,2014,theBoardofDirectorshasM/s.SGParekh&Co.forconductingsecretarialauditoftheCompanyforthefinancialyear2017-2018.

TheSecretarialAuditReportisannexedherewithas“Annexure B”.TheQualificationofSecretarialAuditorinitsreportandtheCompany’responsetheretoissetforthbelow:

1. TheCompany has not appointed CompanySecretary andChief FinancialOfficer as theKeyManagerialPersonnel as required under the provisions of Sec 203(1)(ii) & (iii) read with Rule 8 of The Companies

21


(AppointmentandRemunerationofManagerialPersonnel)Rules,2014.

2. TheCompanyhasnotdesignateQualifiedCompanySecretaryasaComplianceofficerasrequiredundertheRegulation6ofSEBI(ListingObligationandDisclosureRequirements)Regulation,2015

Company’s Response to the above Qualifications: Duringtheyearunderreview,alleffortweremadebytheCompanytofillupthepositionofCompanySecretary

andCFObutcouldnotfindasuitablecandidateforthesaidposition.

3. Regulation47of theSEBI(ListingobligationsandDisclosureRequirements)Regulation,2015,Section108of theCompaniesAct2013readwithRule20of theCompanies(ManagementandAdministration),Rules,2014andSection91of theCompaniesAct 2013 readwithRule10of theCompanies (Management andAdministration)Rules,2014–NonPublicationofResultsAuditedandUnauditedinnewspaper.

Company’s Response to the above Qualifications: TheCompanyhasnotbeendoingthatsincethefinancialpositionoftheCompanydoesnotallowBoardto

incursuchexpenditurekeepinginmindthattheresultsaremadeavailableforinvestorsandmarketthroughStockExchange.TheCompany,ontimelybasissubmitstheresultstotheExchangetobringtheinformationinpublic domain

4.TheCompanyhasnotappointedinternalauditorasrequiredunderSec138oftheCompaniesAct,2013.

Company’s Response to the above Qualifications: Duringtheperiodunderreview,theCompanyhasnotenteredintosubstantialfinancialtransactionsandhence

theCompanyhasnotappointedInternalAuditor.HowevertheCompanyhasadequatemechanismforinternalfinancialcontrol.

30. EXTRACT OF THE ANNUAL RETURN:ThedetailsformingpartoftheextractoftheAnnualReturninFormMGT-9inaccordancewithSection92(3)oftheCompaniesAct,2013readwiththeCompanies(ManagementandAdministration)Rules,2014,aresetoutherewithas “Annexure C” tothisReport.31. ACKNOWLEDGEMENTS:Your Directors thank the Company’s bankers, financial institutions, Central Government, other governmentauthoritiesandshareholdersfortheirconsistentsupporttotheCompany.TheDirectorsalsosincerelyacknowledgetothesignificantcontributionsmadebyallstakeholdersfortheirdedicatedservicesandsupporttotheCompany.

On behalf of Board of Directors

Place: Mumbai Rahul Saraf Geeta Devi AgrawalDate: 21/08/2018 Whole-time Director Director DIN: 01494992 DIN: 08126967

22


Annexure AInformation required under Section 197 of the Companies Act, 2013 read with Companies

(Appointment and Remuneration of Managerial Personnel) Rules, 2014i. Ratioof the remunerationofeachExecutiveDirector to themedian remunerationof theEmployeesof the

Companyforthefinancialyear2017-18,thepercentageincreaseinremunerationofChiefExecutiveOfficer,ChiefFinancialOfficerandotherExecutiveDirectorandCompanySecretaryduringthefinancialyear2017-18.

Sr. No. Name of Director / KMP Designation Ratio of remuneration ofeach Director to median

remuneration of Employees

Percentageincrease in

Remuneration1 Mr.NatwarSureka Managing

DirectorNil 0.00

2 Mrs.ManjuSureka Non-ExecutiveDirector

Nil 0.00

ii. ThepercentageincreaseinthemedianremunerationofEmployeesforthefinancialyearwasnil.

iii. Numberofpermanent Employees on rolls of the Company as on March 31, 2018 is 13

iv. AveragepercentageincreasemadeinthesalariesofEmployeesotherthanthemanagerialpersonnelinthefinancialyearwasnilandtheCompanyhasnotpaidanymanagerialremunerationduringthefinancialyear.

v. It is hereby affirmed that the remuneration paid during the year is as per theRemunerationPolicy of theCompany.



23


Annexure BForm No. MR-3

SECRETARIAL AUDIT REPORTFORTHEFINANCIALYEARENDED31st March, 2018

[Pursuant to section 204(1) of the Companies Act, 2013 andRule No.9 of the Companies Appointment and Remuneration Personnel)Rules, 2014]

To,The Members,Inanna Fashion and Trends Limited(Formerly known as Frontline Business Solutions Limited)

Ihaveconductedthesecretarialauditofthecomplianceofapplicablestatutoryprovisionsandtheadherencetogood corporate practices by Inanna Fashion and Trends Limited(Formerly known as Frontline Business Solutions Limited) (here in after called “the company”).SecretarialAuditwasconductedinamannerthatprovidedmeareasonablebasisforevaluatingthecorporateconducts/statutorycompliancesandexpressingmyopinionthereon.

BasedonmyverificationoftheCompany’sbooks,papers,minutebooks,formsandreturnsfiledandotherrecordsmaintainedbythecompanyandalsotheinformationprovidedbytheCompany,itsofficers,agentsandauthorizedrepresentativesduringtheconductofsecretarialaudit,Iherebyreportthatinmyopinion,thecompanyhas,duringtheauditperiodcoveringthefinancialyearended31stMarch,2018compliedwith thestatutoryprovisions listedhereunderandalso that theCompanyhasproperBoardprocessesandcompliance-mechanism inplace to theextent,inthemannerandsubjecttothereportingmadehereinafter:

1.Ihaveexaminedthebooks,papers,minutebooks,formsandreturnsfiledandotherrecordsmaintainedbytheCompanyforthefinancialyearended31stMarch,2018accordingtotheprovisionsof:

i. TheCompaniesAct,2013(theAct)andtherulesmadethereunder;ii. TheSecuritiesContracts(Regulation)Act,1956(‘SCRA’)andtherulesmadethereunder;iii. TheDepositoriesAct,1996andtheRegulationsandBye-lawsframedthereunder;

iv. ThefollowingRegulationsandGuidelinesprescribedundertheSecuritiesandExchangeBoardofIndiaAct,1992(‘SEBIAct’):

a. TheSecuritiesandExchangeBoardofIndia(SubstantialAcquisitionofSharesandTakeovers)Regulations,2011;

b. TheSecuritiesandExchangeBoardofIndia(ProhibitionofInsiderTrading)Regulations,2015;

c. TheSecuritiesandExchangeBoardofIndia(IssueofCapitalandDisclosureRequirements)Regulations,2009;

d.TheSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirementsRegulations,2015

2. ProvisionsofthefollowingRegulationsandguidelinesprescribedundertheSecuritiesandExchangeBoardofIndiaAct,1992werenotapplicabletotheCompanyunderthefinancialyearunderreport:

a) TheSecuritiesandExchangeBoardofIndia(IssueandListingofDebtSecurities)Regulations,2008;

b) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents)Regulations,1993regardingtheCompaniesActanddealingwithclient;

c) TheSecuritiesandExchangeBoardofIndia(DelistingofEquityShares)Regulations,2009;and

d) TheSecuritiesandExchangeBoardofIndia(BuybackofSecurities)Regulations,1998;

e) SecuritiesandExchangeBoardofIndia(ShareBasedEmployeeBenefits)Regulations,2014;

3. ProvisionsoftheForeignManagementAct,1999andtherulesandRegulationsmadethereundertotheextentofExternalCommercialBorrowingswerenotattractedtothecompanyundertheAuditperiod.

4. Ihavealsoexaminedcompliancewiththeapplicableclausesofthefollowing:

(i) SecretarialStandardsissuedbyTheInstituteofCompanySecretariesofIndia.

24


Duringthefinancialyearunderreportandaspertheexplanationsandtheclarificationsgiventousandthe representation made by the Management of the Company, the Company has generally complied with theprovisionsoftheAct,Rules,Regulations,Guidelines,Standards,etc.mentionedabovetotheextendapplicableandsubjecttothefollowingobservation:

1. The Company has not appointed Company Secretary and Chief Financial Officer as the Key Managerial Personnel as required under the provisions of Sec 203(1)(ii) & (iii) read with Rule 8 of The Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.

2. The Company has not designate Qualified Company Secretary as a Compliance officer as required under the Regulation 6 of SEBI (Listing Obligation and Disclosure Requirements) Regulation, 2015

3. Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015, the Company shall issue a public notice in at least in one English daily newspaper circulating in the whole or substantially the whole of India and in one daily newspaper published in the language of the region, where the registered office of the company is situated for following matters:

a) Board meeting wherein quarterly unaudited / audited results are to be considered where Prior 7 clears day’s intimation needs to be published.

b) Financial results within 48 hrs of the conclusion of Board or committee meeting at which they were approved. However, the Company has not complied with the requirements of the aforesaid clause of SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015.

4. The Company has not appointed internal auditor as required under Sec 138 of the Companies Act, 2013.

5. The Company has changed its name from Frontline Business Solutions Limited to Inanna Fashion and Trends Limited. The change of name of the Company in the records of BSE is pending.

I further report that;ThechangesinthecompositionoftheBoardofDirectorsthattookplaceduringtheperiodunderreviewwerecarriedoutincompliancewiththeprovisionsoftheAct.AdequatenoticefortheBoard/CommitteeMeetingswasgiventoall directors to schedule the Board/Committee Meetings, agenda and detailed notes on agenda were sent at least sevendaysinadvance,andasystemexistsforseekingandobtainingfurtherinformationandclarificationsontheagendaitemsbeforethemeetingandformeaningfulparticipationatthemeeting.ThedecisionattheBoardMeetingarecarriedoutthroughmajorityvotewhilethedissentingmembers’views,ifany,arecapturedandrecordedaspartoftheminutes.

I further report that as represented by the Company and relied upon by us there are adequate systems and processes in the Company commensurate with the size and operations of the Company to monitor and ensure compliancewithapplicablelaws,rules,regulationsandguidelines.

I further report thatthecompliancebytheCompanyofapplicablefinanciallaws,likedirectandindirecttaxlaws,AccountingStandardsetc.hasnotbeenreviewedinthisAudit,sincethesameissubjecttoreviewbydesignatedprofessional/sduringthecourseofstatutoryfinancialaudit.

Ifurtherstatethatmyreportofevendateistobereadalongwith“Annexure–A”appendedhereto.

For S G Parekh & Co.Company Secretaries

Shilpa Parekh Date: August 21, 2018 M. No. F9232Place: Mumbai CP No. 10746

25


‘ANNEXURE A’ to SECRETARIAL AUDIT REPORT

To,The Members,Inanna Fashion and Trends LimitedOur report of even date is to be read along with this letter.1. Maintenanceofsecretarialrecordistheresponsibilityofthemanagementofthecompany.Ourresponsibilityis

toexpressanopiniononthesesecretarialrecordsbasedonouraudit.

2. Wehave followed theaudit practicesandprocessesaswereappropriate to obtain reasonable assuranceaboutthecorrectnessof thecontentsof theSecretarialrecords.Theverificationwasdoneontestbasistoensurethatcorrectfactsarereflectedinsecretarialrecords.Webelievethattheprocessesandpractices,wefollowedprovideareasonablebasisforouropinion.

3. WehavenotverifiedthecorrectnessandappropriatenessoffinancialrecordsandBooksofAccountsofthecompany.

4. Whereeverrequired,wehaveobtainedtheManagementrepresentationaboutthecomplianceoflaws,rulesandregulationsandhappeningofeventsetc.

5. ThecomplianceoftheprovisionsofCorporateandotherapplicablelaws,rules,regulations,standardsistheresponsibilityofmanagement.Ourexaminationwaslimitedtotheverificationofproceduresontestbasis.

6. TheSecretarialAuditreportisneitheranassuranceastothefutureviabilityoftheCompanynoroftheefficacyoreffectivenesswithwhichthemanagementhasconductedtheaffairsofthecompany.

For S G Parekh & Co.Company Secretaries

Shilpa Parekh Date: August 21, 2018 M. No. F9232Place: Mumbai CP No. 10746

26


Annexure ‘C’

FORM NO. MGT 9EXTRACT OF ANNUAL RETURN

as on financial year ended on 31.03.2018 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:

1 CIN L17200MH1994PLC0760182 RegistrationDate 12-01-943 Name of the Company InannaFashionandTrendsLimited

(Formerly known as Frontline Business Solutions Limited)

4 Category/Sub-categoryoftheCompany Public Company / Limited by Shares 5

AddressoftheRegisteredoffice&contactdetails A/9,TheParleColonyCo-OperativeHousingSociety,Limited,SahakarRoad,VileParle(East),Mumbai–400057Tel:(022)-66067200

6 Whetherlistedcompany BSE Limited7

Name,Address&contactdetailsoftheRegistrar&TransferAgent,ifany.

M/s.UniversalCapitalSecuritiesPvt.Ltd21, ShakilNiwas, OppSatyaSaibaba Temple, MahakaliCavesRoad,Andheri(E),Mumbai–400093Tel:(022)28207203-05/28257641 Fax: (022) 28207207

II. PRINCIPAL BUSINESS ACTIVITIES OF THE COMPANY (Allthebusinessactivitiescontributing10%ormoreofthetotalturnoverofthecompanyshallbestated)S.No.

Name and Description of main products / services

NICCodeofthe Product/service

%tototalturnoverofthecompany

1 Trading in textiles clothes 46411 100%

III. PARTICULARS OF HOLDING, SUBSIDIARY AND ASSOCIATE COMPANIESSN Name and address of the Company CIN/

GLNHolding/

Subsidiary/ Associate

%of shares held

Applicable Section

NOTAPPLICABLE

IV. SHARE HOLDING PATTERN

(Equity share capital breakup as percentage of total equity)

(i) Category-wise Share Holding

Category of Shareholder

Demat

No. of Shares held at the beginning of the year [As on 31-March-2017]

No. of Shares held at the end of the year [As on 31-March-2018]

% Change during

the year Physical Total % of Total

Shares

Demat Physical Total % of Total Shares

A. Promoters(1)Indian

a)Individual/HUF

1164420 - 1164420 5.46 1164420 - 1164420 5.46 -

27


b)CentralGovt - - - - - - - - -

c)StateGovt(s) - - - - - - - -

d)BodiesCorp. 2273378 2273378 10.66 2273378 2273378 10.66 -

e)Banks/FI - - - - - - - - -

f)Anyother - - - - - - - - -

Sub Total (A) (1)

3437798 - 3437798 16.12 3437798 - 3437798 16.12 -

(2) Foreign

a)NRIIndividuals

- - - - - - - - -

b) Other Individuals

- - - - - - - - -

c)BodiesCorp. - - - - - - - - -

d)Anyother - - - - - - - - -

Sub Total (A) (2)

- - - - - - - - -

TOTAL (A) 3437798 - 3437798 16.12 3437798 - 3437798 16.12 -

B. Public Shareholding1. Institutions

a) Mutual Funds

- 960 960 0.00% 960 960 0.00 -

b)Banks/FI - - - - - - - - -

c)CentralGovt - - - - - - - - -

d) State Govt(s)

- - - - - - - - -

e) Venture Capital Funds

- - - - - - - - -

f)InsuranceCompanies

- - - - - - -

g)FIIs - - - - - - - - -

h) Foreign Venture Capital Funds

- - - - - - - - -

i) Others (specify)

- - - - - - - - -

Sub-total (B)(1):-

0 960 960 0.00 0 960 960 0.00 -

2. Non-Institutions

a)BodiesCorp. 7705209 17380 7722589 36.22 1521044 17380 1538424 7.21 -29.01

i)Indian - - - - - -

ii)Overseas - - - - - -

b)Individuals

i)Individualshareholders holding nominal share capital uptoRs1lakh

4125658 396278 4521936 21.21 3455049 393398 3848447 18.05 -3.16

28


ii)Individualshareholders holding nominal share capital in excessofRs1 lakh

4224010 - 4224010 19.81 10423721 - 10423721 48.88 29.07

c) Others (specify)

647398 - 647398 3.04 1465594 - 1465594 6.87 3.83

NonResidentIndians/OverseasCorporate Bodies

34829 - 34829 0.16 25631 - 25631 0.12 -0.04

Foreign Nationals

- - - -- - - - -

Clearing Members

734558 - 734558 3.44 583503 - 583503 2.74 -0.7

Trusts - - - - - - - - -

Foreign Bodies -DR

- - - - - - - - -

Sub-total (B)(2):-

17471662 413658 17885320 83.87 17474542 410778 17885320 83.87 -

Total Public (B)

17471662 414618 17886280 83.88 17474542 411738 17886280 83.88 -

C.Sharesheldby Custodian forGDRs&ADRs

- - - - -

Grand Total (A+B+C)

20909460 414618 21324078 100% 20912340 21324078 100% -

(ii) Shareholding of Promoter

SN Shareholder’s Name

Shareholding at the beginning of the year As on 01-04-2017

Shareholding at the end of the year As on 31-03-2018

% change in shareholding

during the yearNo. of

Shares% of total

Shares of the

company

% of Shares Pledged/ encum-bered to

total shares

No. of Shares

% of total Shares of the

company

% of Shares Pledged / encum-

bered to total shares

1 ManjuSureka 1,60,000 0.75% 0 1,60,000 0.75% 0 0.00%2 NatwarSureka 6,47,020 3.03% 0 6,47,020 3.03% 0 0.00%3 TusharSureka 3,57,400 1.68% 0 3,57,400 1.68% 0 0.00%

4 ApogeeBusinessSolutionsPvtLtd

22,73,378 10.66% 0 22,73,378 10.66% 0.00%

TOTAL 34,37,798 16.12% 0 34,37,798 16.12% 0 0.00%

(iii) Change in Promoters’ Shareholding (please specify, if there is no change)

SN Particulars Shareholding at the beginning of the year

(As on 01-04-2017)

Cumulative Shareholding during the year (As on 01-04-2017 to

31-03-2018)% of total

sharesNo. of shares % of total

sharesNo. of shares

Atthebeginningoftheyear

NoChangeinPromoterShareholding.

DatewiseIncrease/DecreaseinPromoters Share holding during the year specifying the reasons for increase/decrease(e.g.allotment/transfer / bonus/ sweat equity etc) #

Attheendoftheyear

29


iv Shareholding Pattern of top ten Shareholders

Sr. No Name

No. of Shares at the

beginning / end of the

Year

% of the Shares of the

Company

DateIncrease / drcease in

shareholdingReason

Cumulative No. of shares

% of total shares of the

Company

1BhavinPankajDoshi

50000 0.23 10-11-2017 150000 buy 200000 0.9424-11-2017 100000 buy 300000 1.4108-12-2017 503125 buy 803215 3.7722-12-2017 100000 buy 903125 4.24

1003125 4.7 12-01-2018 100000 buy 1003125 4.7

2Darshan Kiritkumar Shah

0 0 01-09-2017 100000 buy 100000 0.4715-09-2017 100000 buy 200000 0.9422-09-2017 100000 buy 300000 1.4106-10-2017 20000 buy 500000 2.3413-10-2017 100000 buy 600000 2.8110-11-2017 20000 buy 800000 3.7524-11-2017 100000 buy 900000 4.22

1000000 4.69 15-12-2017 100000 buy 1000000 4.69

3Mittal Darshan Shah

0 0 01-09-2017 100000 buy 100000 0.4715-09-2017 100000 buy 200000 0.9422-09-2017 212000 buy 412000 1.9315-12-2017 100000 buy 512000 2.422-12-2017 100000 buy 612000 2.87

712000 3.34 09-02-2018 100000 buy 712000 3.34

4Taraben Chandulal Doshi

0 0 27-10-2017 100000 buy 100000 0.4710-11-2017 100000 buy 200000 0.9424-11-2017 54564 buy 254564 1.1908-12-2017 100000 buy 354564 1.6622-12-2017 50000 buy 404564 1.902-02-2018 50000 buy 454564 2.13

504564 2.37 09-02-2018 50000 buy 504564 2.37

5Kirtikumar Chunilal Shah

0 0 15-09-2017 100000 buy 100000 0.4703-11-2017 300000 buy 400000 1.88

500000 2.34 15-12-2017 100000 buy 500000 2.34

6 ShivajiraoSJondhale

456810 2.14 0 0 NA 456810 2.14

7 Sunil Kantilal Shah

405800 1.9 0 0 NA 405800 1.9

8Sunil Bansilal Raisoni

233749 1.1 08-12-2017 300000 buy 533749 2.5

433749 2.03 02-02-2018 -100000 sell 433749 2.03

9 AmrapaliBDoshi

0 0 01-09-2017 100000 buy 100000 0.4708-09-2017 200000 buy 300000 1.41

370000 1.74 15-09-2017 70000 buy 370000 1.74

10Mukesh Chandulal Doshi HUF

0 0 08-12-2017 75000 buy 75000 0.35

22-12-2017 75000 buy 150000 0.709-02-2018 75000 buy 225000 1.06

289000 1.36 31-03-2018 64000 buy 289000 1.36

30


(v) Shareholding of Directors and Key Managerial Personnel:SN Name Shareholding Date Increase /

Decrease in share-holding

Reason Cumulative Share-holding during the year (As on 01-04-2017to 31-03-2018)

No. of Shares at

the beginning (01-04-17)/ end of the

year (31-03-18)

% of total shares of

the Company

No. of shares

% of total

shares of

the Compa-

ny

A. DIRECTORS1 NatwarBalkrishnaSureka-

Managing Director647020 3.03% 01.04.2017 Nil

movementduring the

year 647020 3.03% 31.03.2018

2 ManjuNatwarSureka-WholeTimeDirector

160000 0.75 01.04.2017 Nil movementduring the

year 160000 0.75 31.03.2018

3 Brijkishorek.Ruia-IndependentDirector

0 0 01.04.2017 Nil movementduring the

year 0 0 31.03.2018

4 SandeepMhaske-IndependentDirector

0 0 01.04.2017 Nil movementduring the

year0 0 31.03.2018

B. Key Managerial Personnel-- -- -- -- -- -- -- --

V. INDEBTEDNESSIndebtednessoftheCompanyincludinginterestoutstanding/accruedbutnotdueforpayment.(Amt.Rs./Lacs)

Particulars Secured Loans excluding deposits

Unsecured Loans

Deposits Total Indebtedness

Indebtedness at the beginning of the financial yeari)PrincipalAmount 0.00 72.67 0.00 72.67ii)Interestduebutnotpaid 0.00 0.00 0.00 0.00iii)Interestaccruedbutnotdue 0.00 0.00 0.00 0.00

Total (i+ii+iii) 0.00 72.67 0.00 72.67Change in Indebtedness during the financial year*Addition 0.00 0.00 0.00 0.00*Reduction 0.00 9.50 0.00 9.50Net Change 0.00 -9.50 0.00 -9.50Indebtedness at the end of the financial yeari)PrincipalAmount 0.00 63.17 0.00 63.17ii)Interestduebutnotpaid 0.00 0.00 0.00 0.00iii)Interestaccruedbutnotdue 0.00 0.00 0.00 0.00

Total (i+ii+iii) 0.00 63.17 0.00 63.17

31


VI. REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNELA.RemunerationtoManagingDirector,Whole-timeDirectorsand/orManager:SNo.

Particulars of Remuneration Name of MD/WTD/ Manager

Total Amount

Name Mr. NatwarSurekaManaging Director

(Rs/Lac) Designation

1 Grosssalary (a)Salaryasperprovisionscontainedinsection17(1)oftheIncome-taxAct,1961

0.00 0.00

(b)Valueofperquisitesu/s17(2)Income-taxAct,1961

0.00 0.00

(c)Profitsinlieuofsalaryundersection17(3)Income-taxAct,1961

0.00 0.00

2 Stock Option 0.00 0.003 Sweat Equity 0.00 0.004 Commission

-as%ofprofit 0.00 0.00-others,specify 0.00 0.00

5 Others, please specify 0.00 0.00 ConveyanceAllowances 0.00 0.00 MedicalAllowances 0.00 0.00

House rent allowance 0.00 0.00LeaveTravellingAllowance 0.00 0.00

Total(A) 0.00 0.00

B. Remuneration to other DirectorsSNo.

Particulars of Remuneration

Brijkishore Ruia Sandeep Mhaske Total Amount(Rs/Lac)

1 IndependentDirectors 0.0 0.0 0.00Fee for attending board committee meetings

0.0 0.0 0.00

Commission 0.0 0.0 0.00Others, please specify 0.0 0.0 0.00Total (1) 0.0 0.0 0.00

2 OtherNon-ExecutiveDirectors ManjuSurekaFee for attending board committee meetings

0.00 0.00 0.00

Commission 0.00 0.00 0.00Others,pleasespecify–Remuneration* 0.00 0.00 0.00

Total (2) 0.00 0.00 0.00 Total (B)=(1+2) 0.00 0.00 0.00 TotalManagerialRemuneration 0.00 0.00 0.00 OverallCeilingaspertheAct 11%oftheNetprofit

32


C.RemunerationtoKeyManagerialPersonnelotherthanMD/Manager/WTDS.No

Particulars of Remuneration Name of Key Managerial Personnel

Total AmountName

Designation (Rs/Lac)1 Grosssalary 0.00 0.00

(a)Salaryasperprovisionscontainedinsection17(1)oftheIncome-taxAct,1961

0.00 0.00

(b)Valueofperquisitesu/s17(2)Income-taxAct,1961 0.00 0.00(c)Profitsinlieuofsalaryundersection17(3)Income-taxAct,1961 0.00 0.00

2 Stock Option 0.00 0.003 Sweat Equity 0.00 0.004 Commission 0.00 0.00

-as%ofprofit 0.00 0.00-others,specify 0.00 0.00

5 Others, please specify 0.00 0.00 SpecialAllowance 0.00 0.00 Total 0.00 0.00

VII. PENALTIES / PUNISHMENT/ COMPOUNDING OF OFFENCES: Type Section

of the Companies

Act

Brief Description

Details of Penalty /

Punishment/ Compounding fees imposed

Authority [RD / NCLT/ COURT]

Appeal made, if any (give

Details)

A. COMPANY NILPenaltyPunishmentCompounding

B. DIRECTORS NILPenaltyPunishmentCompounding

C. OTHER OFFICERS IN DEFAULT NIL

PenaltyPunishmentCompounding



33


MANAGEMENT DISCUSSION AND ANALYSIS REPORTINDUSTRY STRUCTURE AND DEVELOPMENT:CurrentlyyourcompanyInannaFashionandTrendsLimitedisinthebusinessoffashion,However,duetochallengesfromtheindustryplayersandnonapprovalofnameofthecompanyatBombayStockExchange,yourcompanycouldnotcommencebusinessinthetargetedsegment.Hence,theexistingpromotershavedecidedtohandoverthecompanytoMr.RahulSarafandMr.RahulSarafacquiredthecompanythroughanopenoffer.Mr.RahulSarafisamultifacetedbusinesspersonalityandhewilltakethecompanytonewheights.TheCompanyisdiversifyingintodifferentbusinessactivitieswithaviewtooptimizetheutilizationoftheresources.

OUTLOOK:Wehavebeenputting insignificantefforts towardsestablishing thenewbusiness lines.However theoutlookofnewbusinessdimensionswilltotallydependonmarketcircumstancesandselectedsectorforbusiness.Thenewmanagementofyourcompanywillputineffortsinidentifyingnewagebusinessopportunitieswhichisanon-trivialtaskanddependsonanumberoffactors.Henceinformationisbeingcollectedfromanumberofsourcesandbasedonwhichyourmanagementwillembarkuponasuitablestrategy.Alsoexpertopinionisbeingsoughtinordertocovervarioussectorspecificattributessuchaslevelofcompetition,economicactivitiesetc.

OPPORTUNITIES AND THREATS:Economicgrowthofaround7½%which,makesIndiaoneofthefastest-growingG20economy.Theaccelerationofstructuralreforms,themovetowardsarule-basedpolicyframeworkandlowcommoditypriceshaveprovidedastronggrowthimpetustothecountryasawhole.Recentderegulationmeasuresandeffortstoimprovetheeaseofdoingbusinesshavealsoboostedforeigninvestment.Inlinewiththisimpetus,keyopportunitiesandthreatsarebeingidentifiedforthesectors/businesslinesbeingevaluated.

RISKS AND CONCERN:Whilesettingupandconductingbusinessoperations,theCompanyisexposedtoavarietyofrisksthatareinherenttothesectorsinwhichitoperates.However,wehaveanintenseriskmanagementframeworkencompassingriskorganizationstructure,proceduresandtheriskmanagementpoliciestoeffectivelyidentifyandtacklerisks.Someofthe risks that we are possibly exposed to include:

• Increasingemployeebenefitscosts

• Broadeconomicuncertainties

• Techanddata/cyberrisks

• Complyingwithlaws

• Attractingandretainingtalent

Hence, theGlobaland Indianeconomywill haveaverygreat impacton the futuregrowthconsidering that theorganizationisundergoingamajortransformation.

INTERNAL CONTROL SYSTEM AND THEIR ADEQUACY:Considering thepresent levelofoperationsofyourCompany, themanagementhasevolvedasystemofstronginternal controls to ensure that the assets are safeguarded and transactions are authorized, recorded and correctly reported.Theinternalcontrolsystemissupplementedbymanagementreviewsandindependentperiodicalreviewsby theexternalcharteredaccountancyfirms,whichevaluate the functioningandqualityof internalcontrolsandprovides assurance of its adequacy andeffectiveness.TheCompany has an audit committee,which overseestheinternalcontrolsystemsandproceduresoftheCompany’sfinancialoperatingprocessesandthedisclosureofitsfinancial informationtoensurethatthefinancialstatement iscorrect,sufficientandcredible.AuditCommitteereviewssuchauditfindingsandtheadequacyofinternalcontrolsystems.TheStatutoryAuditorsoftheCompanyalsointeractwiththeAuditCommitteetosharetheirfindingsandthestatusofcorrectiveactionsunderimplementation.

DISCUSSION AND FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE:TheCompany during the financial year under review, has generated revenue of Rs.842.91lacs (previous yearRs.213.89lacs),resultinginlossofRs.10.74lacs(lossinpreviousyearRs.130.15lacs)andthetotalexpenditureduringtheyearisRs.853.87lacsagainstexpenditureofpreviousyearwasRs.344.25lacs.

DuringtheFinancialYear,theCompanywasoperatingunderonesegmentonly(HumanResources).

34


CAUTIONARY STATEMENT:ThestatementsintheManagementDiscussionandAnalysisReportdescribingtheCompany’sobjectives,activities,projections,estimates,expectationsorpredictionsmaybe“forward looking statements” within the meaning of applicablesecuritieslawsandregulations.Actualresultscoulddiffermateriallyfromthoseexpressedor implied.ImportantfactorsthatcouldinfluencetheCompany’soperationsincludeeconomicdevelopmentswithinthecountry,demandandsupplyconditionsintheindustry,changesinGovernmentregulations,taxlawsandotherfactors.



35


REPORT ON CORPORATE GOVERNANCE

TheDirectors’ReportonthecomplianceoftheCorporateGovernanceCodeisgivenbelow:

CORPORATE GOVERNANCE:• Company’s Philosophy on Corporate Governance:Asagoodcorporatecitizen,theCompanyiscommittedtosoundcorporatepracticesbasedonconscience,openness,fairness,professionalismandaccountabilityinbuildingconfidenceofitsvariousstakeholdersinittherebypavingthewayforitslongtermsuccess.

BOARD OF DIRECTORS: • Composition of Board:Ason31stMarch,2018,thetotalBoardstrengthcomprisesofthefollowing:

Name of Director CategoryMr.NatwarSureka Managing DirectorMrs.ManjuSureka Non-IndependentandNon-ExecutiveDirectorBrijKishanRuia IndependentandNon-ExecutiveDirectorSandeep Mhaske IndependentandNon-ExecutiveDirector

Directorsareappointedorre-appointedwiththeapprovaloftheshareholders.Apartfromthedirectorsappointedforaspecific termand the independentdirectorof theCompanyall thedirectorsare liable to retireby rotationunlessotherwisespecificallyapprovedbytheshareholders.

•Board Training and InductionAtthetimeofappointingaDirector,aformalletterofappointmentisgiventothedirectorappointed,whichinteraliaexplainstherole,function,dutiesandresponsibilitiesexpectedofhimasaDirectoroftheCompany.TheDirectorisalsoexplainedindetailthecompliancesrequiredfromhimundertheCompaniesAct,ListingRegulationsandotherrelevantregulationsandhisaffirmationtakenwithrespecttothesame.

•Familiarization program for Independent DirectorTheCompanyhasconductedtheFamiliarizationprogramfor IndependentDirectorsappointedduring theyear.TheProgramaimstoprovideinsightsintotheCompanytoenabletheIndependentDirectortounderstanditsbusinessindepth, to acclimatize them with the processes, businesses and functionaries of the Company and to assist them in performingtheirroleasIndependentDirectorsoftheCompany.

• Meetings, agenda and proceedings etc. of the Board Meeting:Meetings:FiveBoardMeetingswereheldduringtheyearandthegapbetweentwomeetingsdidnotexceedonehundredandtwentydays.Thedatedonwhichsaidmeetingswereheld:

30.5.2017, 14.8.2017, 14.11.2017, 30.01.2018 and 14.2.2018ThelastAnnualGeneralMeeting(AGM)washeldonSeptember29,2017.TheattendancerecordoftheDirectorsattheBoardMeetingsduringtheyearendedon31stMarch,2018,andatthelastAGMisasunder:-

Name of the Director Category No. of Board Meetings attended

AttendanceAt last AGM

Mr.NatwarSureka Promoter-ExecutiveDirector 5 of 5 YesMrs.ManjuSureka Promoter-NonExecutiveDirector 5 of 5 YesMr.BrijkishoreRuia Independent–NonExecutiveDirector 5 of 5 YesMr.SandeepMhaske Independent–NonExecutiveDirector 5 of 5 Yes

36


Separate Meeting of Independent Directors:AsstipulatedbytheCodeofIndependentDirectorsunderScheduleIVoftheCompaniesAct,2013andRegulation25oftheListingRegulations,aSeparatemeetingoftheIndependentDirectorsoftheCompanywasheldon22ndMarch,2018toreviewtheperformanceofNon-independentDirectors(IncludingChairman)andtheBoardasawhole.

Agenda:All themeetings are conducted as perwell designed and structured agenda.All the agenda items are backed bynecessarysupportinginformationanddocuments(exceptforthecriticalpricesensitiveinformation,whichiscirculatedatthemeeting)toenabletheBoardtotakeinformeddecisions.AgendaalsoincludesminutesofthemeetingsofalltheBoardCommittees.Additionalagendaitemsintheformof“OtherBusiness”areincludedwiththepermissionoftheChairman.AgendapapersaregenerallycirculatedsevendayspriortotheBoardMeeting.Inaddition,foranybusinessexigencies, theresolutionsarepassedbycirculationandlaterplacedintheensuingBoardMeetingforratification/approval.

• Other Directorships etc.:NoneoftheDirectorsisaDirectorinmorethan10PublicLimitedCompaniesoractsasanIndependentDirectorinmorethan7ListedCompanies.Further,noneoftheDirectoractsasamemberofmorethan10committeesoractsasachairmanofmorethan5committeesacrossallPublicLimitedCompaniesinwhichheisaDirector.

ThedetailsoftheDirectorships,ChairmanshipsandtheCommitteemembershipsinotherCompanies(excludingPrivateLimited Companies, Foreign Companies and Section 8 Companies) held by the Directors as on 31st March, 2018, are givenbelow:-

Sr. No.

Name of the Director Other Directorship # Committee Positions ##

Chairman Member

1 Mr.NatwarSureka 3 - -

2 Mrs.ManjuSureka 2 - -

3 Mr.BrijkishoreRuia - - -

4 Mr.SandeepMhaske - - -

#ExcludingPrivateLimitedCompanies,ForeignCompanies,Section8CompaniesandAlternateDirectorships

##IncludesonlyAuditCommitteeandShareholders/InvestorsGrievanceCommittee(listedandunlisted).

Evaluation of the Board’s Performance:TheBoardhascarriedoutanannualevaluationof itsownperformance,boardcommitteesandindividualdirectorspursuanttotheprovisionsoftheActandthecorporategovernancerequirementasprescribedbytheSEBI(ListingObligationsandDisclosureRequirements),Regulations2015

The exercise was carried out through a structured evaluation process covering various aspects of the BoardsfunctioningsuchascompositionoftheBoard&committees,experience&competencies,performanceofspecificduties&obligations, governance issuesetc.Separateexercisewas carriedout toevaluate theperformanceof individualDirectors includingtheBoardChairmanwhowereevaluatedonparameterssuchasattendance,contributionat themeetingsandotherwise,independentjudgment,safeguardingofminorityshareholdersinterestetc.

TheevaluationoftheIndependentDirectorswascarriedoutbytheentireBoardandthatoftheChairmanandtheNon-IndependentDirectorswerecarriedoutbytheIndependentDirectors.TheDirectorsweresatisfiedwiththeevaluationresults,whichreflectedtheoverallengagementoftheBoardanditsCommitteeswiththeCompany.

Code of Conduct:The Board of Directors has laid down a Code of Conduct for Business and Ethics (the Code) for all the Board members andalltheemployeesinthemanagementgradeoftheCompany.TheCodecoversamongstotherthingstheCompany’scommitment to honest & ethical personal conduct, fair competition, corporate social responsibility, sustainableenvironment,health&safety,transparencyandcomplianceoflaws&regulationsetc.

AlltheBoardmembersandseniormanagementpersonnelhaveconfirmedcompliancewiththecode.AdeclarationtothateffectsignedbytheManagingDirectorisattachedandformspartoftheAnnualReportoftheCompany.

Prevention of Insider Trading Code:TheCompanyhasadoptedaCodeofConduct forPreventionof InsiderTradingwitha view to regulate trading in

37


securitiesbytheDirectorsanddesignatedemployeesoftheCompany.TheCoderequirespre-clearancefordealingin the Company’s shares and prohibits the purchase or sale of Company shares by the Directors and the designated employeeswhileinpossessionofunpublishedpricesensitiveinformationinrelationtotheCompanyandduringtheperiodwhentheTradingWindowisclosed.TheBoardisresponsibleforimplementationoftheCode.

COMMITTEES OF THE BOARD:Withaviewtohaveamore focusedattentiononbusinessandforbettergovernanceandaccountability, theBoardhasconstitutedthefollowingmandatorycommitteesviz.AuditCommittee,Stakeholders’RelationshipCommitteeandNomination&RemunerationCommittee.Thetermsof referenceof theseCommitteesaredeterminedby theBoardandtheirrelevancereviewedfromtimetotime.MeetingsofeachoftheseCommitteesareconvenedbytherespectiveChairman of the Committee, who also informs the Board about the summary of discussions held in the Committee Meetings.TheMinutesoftheCommitteeMeetingsaresenttoallDirectorsindividuallyandtabledattheBoardMeetings.

a) Audit Committees TheAuditCommitteeoftheCompanyisconstitutedinlinewiththeprovisionsofSection177oftheCompanies

Act,2013readwithRegulation18ofSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015.TheAuditCommitteemetfivetimesduringtheyearon:

10.4.2017, 30.5.2017, 14.8.2017, 14.11.2017 and 14.2.2018 TheBoardhasconstitutedanAuditCommitteecomprisingofthreedirectors,twoindependentdirectorsandone

isNonIndependentdirectorwhoarewellversedwithfinancialmattersandcorporatelaws.

The composition of the Committee during year ended March 31, 2018 and the details of meetings held and attended by the Directors are as under:

Name Category Position Number of meetings during

year ended March 31, 2018Held Attended

Mr.BrijkishoreRuia IndependentandNon-ExecutiveDirector

Chairman 5 5

Mrs.ManjuSureka Non-IndependentandNon-ExecutiveDirector

Member 5 5

Mr.SandeepMhaske IndependentandNon-ExecutiveDirector

Member 5 5

Powers of the Audit Committee

1) Toinvestigateanyactivitywithinitstermsofreference.

2) Toseekinformationfromanyemployee.

3) Toobtainoutsidelegalorotherprofessionaladvice.

4) Tosecureattendanceofoutsiderswithrelevantexpertise,ifitconsidersnecessary.

Role of the Audit Committee

ThetermsofreferencefortheAuditCommitteearebroadlyasunder:

1) OversightoftheCompany’sfinancialreportingprocessandthedisclosureofitsfinancialinformationtoensurethatthefinancialstatementiscorrect,sufficientandcredible;

2) Recommendingtheappointment,remunerationandtermsofappointmentofauditorsofthecompany;

3) Approvalofpaymenttostatutoryauditorsforanyotherservicesrenderedbythestatutoryauditors;

4) Reviewing, with themanagement the annual financial statements and the auditor’s report thereon, beforesubmissiontotheboardforapproval,withparticularreferenceto:

a. MattersrequiredtobeincludedinDirector’sResponsibilityStatementincludedinBoard’sreport.

b. Changes,ifany,inaccountingpoliciesandpracticesandreasonsforthesame.

c. Majoraccountingentriesbasedonexerciseofjudgmentbymanagement.

d. Significantadjustmentsmadeinthefinancialstatementsarisingoutofauditfindings.

38


e. Compliancewithlistingandotherlegalrequirementsrelatingtofinancialstatements.

f. Disclosureofanyrelatedpartytransactions.

g. Qualificationsinthedraftauditreport.

5) Reviewing, with the management, the quarterly financial statements before submission to the Board forapproval;

6) Reviewing, with the management, statement of uses and application of funds raised through an issue,statementoffundsutilisedforotherpurposesandreportofmonitoringagency;

7) Reviewandmonitortheauditors’independenceandperformance,andeffectivenessofauditprocess;

8) Approvaloranysubsequentmodificationoftransactionsofthecompanywithrelatedparties;

9) Scrutinyofinter-corporateloansandinvestments;

10) Valuationofundertakingsorassetsofthecompany,whereveritisnecessary;

11) Evaluationofinternalfinancialcontrolsandriskmanagementsystems;

12) Reviewing,withthemanagement,performanceofstatutoryandinternalauditors,adequacyoftheinternalcontrolsystems;

13) Reviewing the adequacy of internal audit function, if any, including the structure of the internal auditdepartment,staffingandseniorityoftheofficialheadingthedepartment,reportingstructurecoverageandfrequencyofinternalaudit;

14) Discussionwithinternalauditorsofanysignificantfindingsandfollowupthereon;

15) Reviewing the findings of any internal investigations by the internal auditors intomatterswhere there issuspected fraud or irregularity or a failure of internal control systems of a material nature and reporting the mattertotheboard;

16) Discussionwithstatutoryauditorsbeforetheauditcommencesaboutnatureandscopeofauditaswellaspost-auditdiscussiontoascertainanyareaofconcern;

17) To look into the reasons for substantial defaults in the payment to the depositors, debenture holders, shareholders(incaseofnon-paymentofdeclareddividends)andcreditors;

18) ToreviewthefunctioningoftheWhistleBlowermechanism;

19) ApprovalofappointmentofCFO;

20) To review report submitted byMonitoringAgency informingmaterial deviations in the utilisation of issueproceedsandtomakenecessaryrecommendationstotheBoard,if,whenandwhereapplicable;

21) CarryingoutanyotherfunctionasismentionedinthetermsofreferenceoftheAuditcommittee.

22) Reviewingthefollowinginformation:

a) TheManagementDiscussionandAnalysisoffinancialconditionandresultsofoperations;

b) Statement of significant related party transactions (as defined by the Audit Committee), submitted bymanagement;

c) Managementletters/lettersofinternalcontrolweaknessesissuedbythestatutoryauditors;

d) Internalauditreportsrelatingtointernalcontrolweaknesses;and

e) Reviewing the appointment, removal and terms of remuneration of the Chief internal auditor / internalauditor(s).

b) Stakeholders’ Relationship Committee ThecommitteeisconstitutedinlinewiththeprovisionsoftheRegulation20ofSEBIListingRegulationsreadwith

section17oftheAct.TheCommitteeperiodicallyreviewsthestatusofshareholders’grievancesandredressalofthesame.TheCommitteemetfourtimesduringtheyearon:

30.5.2017, 14.8.2017, 14.11.2017 and 14.2.2018 Thenecessaryquorumwaspresentforallthemeetings.TheChairmanoftheCommitteewaspresentatthelast

AnnualGeneralMeetingoftheCompanyheldonSeptember29,2017.

39


The composition of the Committee during year ended March 31, 2018and the details of meetings held and attended by the Directors are as under:

Name Category Position Number of meetings duringyear ended March 31, 2018

Held AttendedMr.BrijkishoreRuia Independent–Non-Executive

DirectorChairman 4 4

Mr.NatwarBalkrishnaSureka

ExecutiveDirector Member 4 4

Mr.SandeepMhaske Independent–Non-ExecutiveDirector

Member 4 4

TheCompanyhasappointedUniversalCapitalSecuritiesPrivateLimitedasitsRegistrarsandTransferAgentstoconsider,approveorrejectthesharetransfer,transmission,consolidations,splitting,demat&rematofsharesandtocarryoutrelatedfunctionsandalldocumentationandproceduresinconnectionwiththesame.

Noneofthecomplaintsispendingforaperiodexceeding30days.Alltherequestsfortransferofshareshavebeenprocessedontimeandtherearenotransferspendingformorethan15days.

Overandabovetheaforesaidcomplaints,theCompanyanditsRegistrar&ShareTransferAgenthavereceivedletters / queries / requests on variousmatters such as change of address, change of bank particulars, ECSmandate,nominationrequestetc.andwearepleasedtoreportthatexceptforrequestsreceivedduringtheyearendwhichareunderprocess,allotherqueries/requestshavebeenrepliedontime.

c) Nomination and Remuneration Committee TheNominationandRemunerationCommitteemetonApril10,2017andMay30,2017.Thenecessaryquorum

waspresentforallthemeetings.ThecompositionoftheCommitteeduringyearendedMarch31,2018andthedetails of meetings held and attended by the Directors are as under:

Name Category Position Number of meetings duringthe year ended March 31, 2018

Held AttendedMr.BrijkishoreRuia Independent-Non-

ExecutiveDirectorChairman 2 2

Mrs.ManjuSureka ExecutiveDirector Member 2 2Mr.SandeepMhaske

Independent-Non-ExecutiveDirector

Member 2 2

ThebroadtermsofreferenceoftheNominationandRemunerationCommitteeare:

1) Toformulatethecriteriafordeterminingqualifications,competencies,positiveattributesandindependenceforappointmentofaDirector(ExecutiveandNon-Executive)andrecommendtotheBoard,policiesrelatingtotheremunerationoftheDirectors,keymanagerialpersonnelandotheremployees;

2) ToformulatethecriteriaforevaluationofalltheDirectorsontheBoard;

3) TodeviseapolicyonBoarddiversity;and

4) Tolayoutremunerationprinciplesforemployeeslinkedtotheireffort,performanceandachievementrelatingtotheCompany’sgoals.

Further, the details of remuneration paid to all the Directors and the other disclosures required to be made havebeenpublishedintheprevioussectionofthisReporttitled“BoardofDirectors”.

SittingfeesandcommissionpaidtoNon-ExecutiveDirectors:

Nosittingfeeshavebeenpaidtoanydirectorduringtheyear.

Reconstitution of Committee : TheBoardofDirectorsoftheCompanyattheirmeetingheldonJuly27,2018havereconstitutedtheaforesaid

CommitteesandthecompositionofeachoftheaboveCommitteesasondateisgivenbelow:

40


AuditCommittee Ms.PurnimaParashar-ChairmanMr.RishabhSharma-MemberMrs.GitaDeviAgarwal–Member

NominationandRemunerationCommittee

Ms.PurnimaParashar-ChairmanMr.RishabhSharma-MemberMrs.GitaDeviAgarwal–Member

StakeholdersRelationshipCommittee

Mr.RishabhSharma-ChairmanMs.PurnimaParashar-MemberMr.RahulSaraf–Member

d) Risk Management Policy - TheAuditCommitteeisempoweredtotakethenecessarystepsformitigatingriskforwhichRiskManagement

Policy was framed under Regulation 21 of Securities and Exchange Board of India (Listing Obligations andDisclosureRequirements)Regulations,2015

a. Its terms of reference of such Committee are stated as below:• Toapprovestructures,analyzerisksandbenefits,seekindependentopinionwithregardtostructureor

views.

• Reviewingandapprovingriskrelateddisclosures.

• Responsiblefordaytodayoversightofriskmanagementincludingidentification,impactassessment,monitoring,mitigationandreporting.

• ProvidingupdatestotheBoardonenterpriserisksandactiontaken.EnsurecompliancewithpoliciesandprocedureslaiddownbytheCompanyforspecificbusinessunits.

• Maintenanceanddevelopmentofasupportiveculture,inrelationtothemanagementofriskappropriatelyembedded through procedures, training and leadership actions so that all employees are alert to the widerimpactonthewholeorganisationoftheiractionsanddecisions.

• AdvisingBoardonallhighlevelriskmatters.

• Toreviewtheeffectivenessoftheinternalcontrolsystemandriskmanagementframeworkinrelationtotheachievementofbusinessobjectives.

• Reportingriskeventsandincidentsinatimelymanner.

VIGIL MECHANISM / WHISTLE BLOWER POLICYTheCompanyhasaWhistle-BlowerPolicyforestablishingavigilmechanismforDirectorsandemployeestoreportgenuineconcernsregardingunethicalbehavior,actualorsuspectedfraudorviolationoftheCompany‘sCodeofConductandEthicspolicy.ThesaidmechanismalsoprovidesforadequatesafeguardsagainstvictimizationofpersonswhousesuchmechanismandmakesprovisionfordirectaccesstothechairpersonoftheAuditCommitteeinappropriateorexceptionalcases.WeaffirmthatnoemployeeoftheCompanywasdeniedaccesstotheAuditCommittee.ThesaidpolicyisuploadedonthewebsiteoftheCompany:http://frontlinegroup.in/inanna-fashion/investor-relation.html.

GENERAL BODY MEETINGS:(i) Annual General Meeting (AGM): Thelocation,timeandvenueofthelastthreeAnnualGeneralMeetingswereasunder:

Meeting Date, Time and Venue Special resolutions passedTwenty – fourth

AnnualGeneralMeetings

Date-Friday,September29,2017Time–3.00P.M.Venue-A-9,ParleColonyChs,SahakarRoad,VileParle(E),Mumbai400057

NIL

Twenty – third

AnnualGeneralMeetings

Date-Friday,September30,2016Time–3.00P.M.Venue-A-9,ParleColonyChs,SahakarRoad,VileParle(E),Mumbai400057

Re-appointmentofMr.NatwarlalSureka as a Managing Director of the Company for a period of Three yearsw.e.f.June20,2016toJune19,2019

41


Twenty – second AnnualGeneralMeetings

Date-Monday,September29,2015Time–2.30P.M.Venue-A-9,ParleColonyChs,SahakarRoad,VileParle(E),Mumbai400057

AdoptionofnewsetofArticlesofAssociation.

(ii) Extra Ordinary General Meeting (EGM): InadditiontoAnnualGeneralMeeting,theCompanyholdsGeneralMeetingsoftheshareholdersasandwhen

need arises.During the year, oneExtraOrdinaryGeneralMeetingwas held on 1st March 2018 for issue of 1,50,00,000 warrants at a price of `8 each amounting to `12,00,00,000/-onpreferentialbasistoMr.RahulSaraf,whichwillbesubjecttotheregulatoryapprovalsandMr.RahulSaraffulfillingopenofferobligations.

(iii) Postal Ballot: TheCompanyhasnotpassedanyspecialresolutionthroughPostalBallotduringtheyearendedMarch31,2018.

RELATED PARTY TRANSACTIONSAll transactionsentered intowithRelatedPartiesasdefinedunder theCompaniesAct,2013andRegulation23ofListingRegulationsduringthefinancialyearwereintheordinarycourseofbusinessandonanarm’slengthpricingbasisanddonotattracttheprovisionsofSection188oftheCompaniesAct,2013.TherewerenomateriallysignificanttransactionswithrelatedpartiesduringthefinancialyearwhichwereinconflictwiththeinterestoftheCompany.SuitabledisclosureasrequiredbytheAccountingStandards(AS-18)hasbeenmadeinthenotestotheFinancialStatements.

DISCLOSURES:Strictures and PenaltiesNo strictures or penalties have been imposed on theCompany by theStockExchanges or by theSecurities andExchangeBoardofIndia(SEBI)orbyanystatutoryauthorityonanymattersrelatedtocapitalmarketsduringthelastthreeyears.

Internal ControlsThe Company has a formal system of internal control testing which examines both the design effectiveness andoperational effectiveness to ensure reliability of financial and operational information and all statutory/ regulatorycompliances.

Independent DirectorTheIndependentDirectorhasconfirmedthattheymeetthecriteriaof‘Independence’asstipulatedunderRegulation16oftheListingRegulations.

Details of compliance with mandatory requirements and adoption of non-mandatory requirements of the Listing Regulations:The Company has fully complied with themandatory requirements of the Listing Regulations. No non-mandatoryrequirementsofListingRegulationisadoptedbytheCompany.

Policy for determining material subsidiaries:SincetheCompanydonothaveanysubsidiarycompany,nopolicyhasbeenformulatedinthisconnection.

Commodity price risks and commodity hedging activities:TheCompanyisnotdealingwithanysuchactivity.

Noncompliance of requirement of Corporate Governance:TheCompanyisfullycompliantwithrespecttomandatoryrequirementofCorporateGovernanceReport.

Disclosures of the compliance of Corporate Governance Requirement:TheCompanyhasmadedisclosuresofthecomplianceofCorporateGovernanceRequirementsasspecifiedinregulation17to27andclauses(b)to(i)ofsubregulation(2)ofregulation46ismadeinthissectionofCorporateGovernanceReport.

Compliance certificate signed by a Statutory Auditors regarding compliance of conditions of corporate governance is annexed herewith.• Disclosure with respect to unclaimed suspense account: N.A.

42


CEO/CFO CERTIFICATION:TheManagingDirector has given aCertificate to theBoard as contemplated in Schedule-V of theSecurities andExchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 and is separatelyannexed.

MEANS OF COMMUNICATION:Thequarterly,half-yearlyandyearlyfinancialresultsoftheCompanyaresenttotheStockExchangesimmediatelyaftertheseareapprovedbytheBoard.

TheseresultsaresimultaneouslyuploadedonthewebsiteofBombayStockExchangeofIndiaLtd.TheresultsarealsodisplayedontheCompany’swebsitehttp://frontlinegroup.in/inanna-fashion/investor-relation.html.

GENERAL INFORMATION TO SHAREHOLDERS1. Annual General Meeting (AGM)

Day: FridayDate: 28th September, 2018Time: 11.00AMVenue: FMBanquet,MiniHall, 8/B,UdyogNagar,KamathClubLane,OffS.V.Road,Goregaon

West,Mumbai4000622. Financial Year: FinancialYear-1stApril,2018to31stMarch,2019.

3. Financial Calendar: The Company follows the period of 1stApril,2018to31stMarch,2019,astheFinancialYear

First quarterly results OnorbeforeAugust14,2018Second quarterly / Half yearly results OnorbeforeNovember14,2018Third quarterly results On or before February14,2019AnnualresultsfortheyearendingonMarch31,2019 On or before May30,2019Websitewhere the financial results, shareholding pattern,annualreportetc.areuploaded

www.bseindia.com

4. Date of Book Closure: Saturday, September 22, 2018toFriday,September28,2018(bothdaysinclusive)

5. Listing on Stock Exchange: The Equity Shares of the Company are listed on:

Bombay Stock Exchange Limited (BSE)PhirozeJeejeebhoyTowers

DalalStreetMumbai–400001

Listingfeesasapplicablehavebeenpaid.

6. Stock Code:

Stock Exchange CodeBSE 521167DematISINNumbersinNSDLandCDSL INE485D01035CIN L17200MH1994PLC076018

43


7. Market Price Data: The high / low market price of the shares during the year ended March 31, 2018 at the Bombay Stock Exchange

areasunder:-

Month Bombay Stock Exchange (Face Value of Rs. 5/- Per Share)High Low

April2017 8.09 7.45May 2017 8.26 7.42June2017 8.38 7.22July2017 8.55 7.28August2017 8.3 6.49September 2017 7.86 6.55October 2017 8.45 6.15November2017 7.95 6December 2017 8.33 6January2018 8.65 7.45February 2018 11.38 9.03March 2018 10.79 8.21

8. Performance in comparison to Bombay Stock Exchange Limited SENSEX

9. Registrar and Share Transfer Agents:Universal Capital Securities Private Limited(FormerlyknownasMondkarComputersPrivateLimited)21, ShakilNiwas, OppSatyaSaibaba Temple,MahakaliCavesRoad,Andheri(E),Mumbai,Maharashtra,400093Tel.No:022-28207203-05/28257641Fax:022-28207207EmailID:[email protected]

10. Investor’s Complaints to be addressed to: RegistrarandShareTransferAgentsattheabovementionedaddresses.

44


11. Share Transfer System: SharetransfersinphysicalformareprocessedandthesharecertificatesaregenerallyreturnedtotheCompany

are complete in all respects.

12. Distribution of Shareholding as on March 31, 2018is as under: -

Shareholders Face Value of Rs. 5/- Per ShareNumbers % of

shareholdersNo. of Shares %

To total1 – 500 8469 89.016 584791 2.742501-1000 357 3.752 307165 1.4401001-2000 213 2.239 361983 1.6982001-3000 73 0.767 194024 0.9103001-4000 40 0.420 146310 0.6864001-5000 64 0.673 306224 1.4365001-10000 121 1.272 925663 4.34110001andabove 177 1.860 18497918 86.747Total 9514 100.00 106620390 100.00

13. Dematerialization of Shares and Liquidity: About98%of total equity share capital is held in dematerialised form with National Securities Depository Limited

(NSDL) and CentralDepositoryServices(India)Limited(CDSL) as onMarch31,2018.

Thebreak-upofEquitysharesheldinphysicalandDematformasonMarch31,2018isgivenbelow:

Particulars Shares %Physical Shares 411738 1.93Demat SharesNSDL 6698224 31.41CDSL 14214116 66.66Total 21324078 100.00

Foranyassistanceinconvertingphysicalsharesinelectronicform,investorsmayapproachRegistrarandShareTransferAgentsattheabovementionedaddresses.

14. Compliance Officer: Mr.RahulSaraf

Tel.No/Fax:022-66067200EmailID:[email protected]

15. Electronic Clearing Service (ECS): TheCompanyhasextendedtheECSfacilitytoshareholderstoenablethemtoreceivedividendthroughelectronic

modeintheirbankaccount.TheCompanyencouragesmemberstoavailofthisfacilityasECSprovidesadequateprotection against fraudulent interception and encashment of dividend warrants, apart from eliminating loss/damageofdividendwarrantsintransitandcorrespondencewiththeCompanyonrevalidation/issuanceofduplicatedividendwarrants.

16. Bank Details for electronic shareholding: MembersarerequestedtonotifytheirDepositoryParticipant(DP)aboutthechangesinthebankdetails.Members

arerequestedtofurnishcompletedetailsoftheirbankaccounts,includingMICRcodesoftheirbanks,totheirDPs.

17. Shareholding Pattern as on March 31, 2018: TheshareholdingofdifferentcategoriesoftheshareholdersasonMarch31,2018isgivenbelow:-

Sr. No

Category of Shareholders Total Holdings % of Sharehold-ings

1. Promoter&PromoterGroup 34,37,798 16.122. MutualFundsandUTI 960 0.003. Banks, Financial Institutions, InsuranceCompanies and

Venture Capital Fund- -

45


4. FIIs/ForeignBodies - -5. Bodies Corporate 1538424 7.216. IndianPublic 14272168 66.937. NRIs 25631 0.128. Clearing Member 583503 2.749. HUF 1465594 6.87

TOTAL 2,13,24,078 100.0018 Registered Office:

103, Hubtown Solaris,NSPhadkeMarg,Andheri(East),Mumbai-400069,Maharashtra.

19. Permanent Account Number (PAN): MemberswhoholdsharesinphysicalformareadvisedthatSEBIhasmadeitmandatorythatacopyofthePAN

cardofthetransferee/s,members,survivingjointholders/legalheirsbefurnishedtotheCompanywhileobtainingtheservicesoftransfer,transposition,transmissionandissueofduplicatesharecertificates.

20. Pending Investors’ Grievances: AnyMember/Investorwhosegrievancehasnotbeenresolvedsatisfactorily,maykindlywritetotheCompany

SecretaryandHeadComplianceattheRegisteredOfficewithacopyoftheearliercorrespondence.

21. Reconciliation of Share Capital Audit: AsstipulatedbySecuritiesandExchangeBoardofIndia(SEBI),aqualifiedpracticingCompanySecretarycarries

out theShareCapitalAudit to reconcile the total admitted capitalwithNational SecuritiesDepository Limited(NSDL)andCentralDepositoryServices(India)Limited(CDSL)andthetotalissuedandlistedcapital.

ThisauditiscarriedouteveryquarterandthereportthereonissubmittedtostockexchangesandisalsoplacedbeforetheBoardofDirectors.Nodiscrepancieswerenoticedduringtheseaudits.

22. Outstanding GDRs or Warrants or any Convertible Instrument, conversion Dates and likely impact on Equity:

TheCompanyhasnotissuedanyGDRs/ADRs/WarrantsoranyConvertibleInstruments.

23. Addresses for CorrespondenceInvestor’s Correspondence:

For transfer of shares in physical form, dematerialization and rematerialisation: UniversalCapitalSecuritiesPrivate.Limited 21, ShakilNiwas, OppSatyaSaibaba Temple, MahakaliCavesRoad,Andheri(E) Mumbai,Maharashtra,400093 Tel. No:022-28207203-05/28257641 Fax:022-28207207 Email ID: [email protected]

Any query on Annual Report:InannaFashionandTrendsLimited(Formerly known as Frontline Business solution Limited)103, Hubtown Solaris,NSPhadkeMarg,Andheri(East),Mumbai-400069,Maharashtra,India Email ID: [email protected]

46


Declaration Regarding Code of ConductAsprovidedunderSchedule-VoftheSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Regulations,2015,theBoardofDirectorsandtheSeniorManagementPersonnelhaveconfirmedcompliancewiththeCodeofConductandEthicsforthefinancialyearendedMarch,31,2018.

Natwar SurekaDate: May 30, 2018 Managing Director Place: Mumbai DIN.01296522

M. D. / CFO Certification

The Board of Directors

Inanna Fashion and Trends Limited WehavereviewedthefinancialstatementsandthecashflowstatementofInanna Fashion and Trends Limited (Formerly known as Frontline Business Solutions Limited) for the year ended 31st March, 2018 and that to the bestofourknowledgeandbelief,westatethat;

(a) (i) these statements do not contain any materially untrue statement or omit any material fact or contain statementsthatmaybemisleading;

(ii)thesestatementspresentatrueandfairviewoftheCompany’saffairsandareincompliancewithcurrentaccountingstandards,applicablelawsandregulations.

(b) there are, to the best of our knowledge and belief, no transactions entered into by the Company during the year whicharefraudulent,illegalorinviolationoftheCompany’scodeofconduct.

(c) we accept responsibility for establishing andmaintaining internal controls for financial reporting.We haveevaluatedtheeffectivenessofinternalcontrolsystemsoftheCompanypertainingtofinancialreportingandhavedisclosedtotheAuditorsandtheAuditCommittee,deficienciesinthedesignoroperationofsuchinternalcontrols,ifany,ofwhichweareawareandstepstakenorproposedtobetakenforrectifyingthesedeficiencies.

(d) wehaveindicatedtotheAuditorsandtheAuditCommittee:

(i) significantchanges,ifany,intheinternalcontroloverfinancialreportingduringtheyear.

(ii) significantchanges, ifany, inaccountingpoliciesmadeduring theyearand that thesamehavebeendisclosedinthenotestothefinancialstatements;and

(iii) instancesofsignificant fraudofwhichwehavebecomeawareand the involvement therein, ifany,ofthemanagementoranemployeehavingasignificantroleintheCompany’sinternalcontrolsystemoverfinancialreporting.

Natwar SurekaDate: May 30, 2018 Managing Director Place: Mumbai DIN.01296522

47


Auditor’s CertificateAuditors’ certificate on compliance with the conditions of Corporate Governance under Chapter IV of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015

ToThe Members of M/s INANNA FASHION AND TRENDS LIMITED(Formerly known as M/s Frontline Solutions Limited)

WehaveexaminedthecomplianceofconditionsofcorporategovernancebyM/sINANNAFASHIONANDTRENDSLIMITED(FormerlyknownasM/sFrontlineBusinessSolutionsLimited) (‘TheCompany’) for theyearended31March,2018,asstipulatedunderregulation17to27andclauses(b)to(i)ofregulation46(2)andparaCandDofScheduleVoftheSecuritiesandExchangeBoardofIndia(ListingObligationsandDisclosureRequirements)Reg-ulations,2015.Wehaveobtainedalltheinformationandexplanationswhichtothebestofourknowledgeandbeliefwerenecessaryforthepurposesofcertification.

ThecomplianceofconditionsofcorporategovernanceistheresponsibilityoftheManagement.Ourexaminationwas limited to procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditionsofthecorporategovernance.ItisneitheranauditnoranexpressionofopiniononthefinancialstatementsoftheCompany.

Inouropinionandtothebestofourinformationandaccordingtotheexplanationsgiventous,wecertifythattheCompanyhascompliedwiththeconditionsofcorporategovernanceasstipulatedintheabovementionedRegula-tions except for:

1. CompanyhasnotappointedaCompanySecretaryasitsComplianceOfficer;

2. CompanyhasnotappointedInternalAuditorasrequiredu/s138ofCompaniesAct,2013.

WefurtherstatethatsuchcomplianceisneitheranassuranceastofutureviabilityoftheCompanynortheefficiencyoreffectivenesswithwhichtheManagementhasconductedtheaffairsoftheCompany.

For B.N. Kedia & Co.Chartered Accountants

F.R.N. 001652N

(CA S.K. Kedia)Place: Mumbai PartnerDated: 21/08/2018 Membership No.: 052579

48


INDEPENDENT AUDITOR’S REPORT

To The MembersINANNA FASHION AND TRENDS LIMITED(Formally known as M/s. FRONTLINE BUSINESS SOLUTIONS LIMITED)Mumbai.

Report on the Financial Statements 1. We have audited the accompanying standalone IndAS financial statements of INANNA FASHION AND

TRENDS LIMITED (FormallyknownasM/s.FRONTLINEBUSINESSSOLUTIONSLIMITED)(“theCompany”),whichcomprisetheBalanceSheetasatMarch31,2018,theStatementofProfitandLoss(includingothercomprehensiveincome),theCashFlowStatementandStatementofChangeinEquityfortheyearthenended,andasummaryofsignificantaccountingpoliciesandotherexplanatoryinformation.

Management’s Responsibility for the Financial Statements 2. TheCompany’sBoardofDirectorsisresponsibleforthemattersstatedinSection134(5)oftheCompanies

Act,2013(“theAct”)withrespecttothepreparationofthesestandalonefinancialstatementsthatgiveatrueandfairviewofthefinancialposition,financialperformanceincludingothercomprehensiveincome,cashflowsandChangeinEquityoftheCompanyinaccordancewiththeaccountingprinciplesgenerallyacceptedinIndia,includingtheIndianAccountingStandards(IndAS)prescribedunderSection133oftheAct.

ThisresponsibilityalsoincludesmaintenanceofadequateaccountingrecordsinaccordancewiththeprovisionsoftheActforsafeguardingoftheassetsoftheCompanyandforpreventinganddetectingfraudsandotherirregularities;selectionandapplicationofappropriateaccountingpolicies;making judgmentsandestimatesthatarereasonableandprudent;anddesign,implementationandmaintenanceofadequateinternalfinancialcontrols,thatwereoperatingeffectivelyforensuringtheaccuracyandcompletenessoftheaccountingrecords,relevanttothepreparationandpresentationofthefinancialstatementsthatgiveatrueandfairviewandarefreefrommaterialmisstatement,whetherduetofraudorerror.

Auditor’s Responsibility 3. Ourresponsibilityistoexpressanopiniononthesestandalonefinancialstatementsbasedonouraudit.

4. Inconductingouraudit,wehave taken intoaccount theprovisionsof theAct, theaccountingandauditingstandardsandmatterswhicharerequiredtobeincludedintheauditreportundertheprovisionsoftheActandtheRulesmadethereunderandtheOrderissuedundersection143(11)oftheAct.

5. WeconductedourauditofthestandaloneIndASfinancialstatementsinaccordancewiththeStandardsonAuditing specified underSection 143(10) of theAct.ThoseStandards require thatwe complywith ethicalrequirements and plan and perform the audit to obtain reasonable assurance aboutwhether the financialstatementsarefreefrommaterialmisstatements.

6. AnauditinvolvesperformingprocedurestoobtainauditevidenceabouttheamountsanddisclosuresinthestandaloneIndASfinancialstatements.Theproceduresselecteddependontheauditor’sjudgment,includingtheassessmentoftherisksofmaterialmisstatementofthestandaloneIndASfinancialstatements,whetherduetofraudorerror.Inmakingthoseriskassessments,theauditorconsidersinternalfinancialcontrolrelevanttotheCompany’spreparationofthestandaloneIndASfinancialstatementsthatgiveatrueandfairviewinordertodesignauditproceduresthatareappropriateinthecircumstances.Anauditalsoincludesevaluatingthe appropriateness of accounting policies used and the reasonableness of the accounting estimates made bytheCompany’sdirectors,aswellasevaluatingtheoverallpresentationofthestandaloneIndASfinancialstatements.

7. WebelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforourauditopiniononthestandaloneIndASfinancialstatements.

Opinion 8. Inouropinionandtothebestofourinformationandaccordingtotheexplanationsgiventous,theaforesaid

financialstatementsgivetheinformationrequiredbytheActinthemannersorequiredandgiveatrueandfairviewinconformitywiththeaccountingprinciplesgenerallyacceptedinIndia,ofthestateofaffairsoftheCompanyasatMarch31,2018,anditsprofit,totalcomprehensiveincome,itscashflowandthechangeinequityfortheyearendedonthatdate.

49


Key Audit Matters9. Keyauditmattersarethosemattersthat,inourprofessionaljudgment,wereofmostsignificanceinourauditof

thefinancialstatementsofthecurrentperiod.Thesematterswereaddressedinthecontextofourauditofthefinancialstatementsasawhole,andinformingouropinionthereon,andwedonotprovideaseparateopinionon these matters.

Report on Other Legal and Regulatory Requirements 10. AsrequiredbytheCompanies(Auditors’Report)Order2015(“theOrder”)issuedbytheCentralGovernment

in terms of Section 143(11) of theAct,we give in the ‘AnnexureA’ statement on thematters specified inparagraphs3and4oftheOrder.

11. AsrequiredbySection143(3)oftheAct,wereportthat:

a) Wehavesoughtandobtainedalltheinformationandexplanationswhichtothebestofourknowledgeandbeliefwerenecessaryforthepurposesofouraudit;

b) Inouropinion,properbooksofaccountasrequiredbylawhavebeenkeptbytheCompanysofarasitappearsfromourexaminationofthosebooks;

c) TheBalanceSheet,thestatementofProfitandLossincludingothercomprehensiveincome,thecashflowsandChangeinEquitydealtwithbythisReportareinagreementwiththebooksofaccount;

d) Inouropinion,theaforesaidstandaloneIndASfinancialstatementscomplywiththeAccountingStandardsprescribedunderSection133oftheAct,readwithRule7oftheCompanies(Accounts)Rules,2014;

e) OnthebasisofthewrittenrepresentationsreceivedfromthedirectorsasonMarch31,2018,takenonrecordbytheBoardofDirectors,noneofthedirectorsisdisqualifiedasonMarch31,2018frombeingappointedasadirectorintermsofSection164(2)oftheAct;

f) With respect to the internalfinancialcontrolswith reference to thefinancial reportingof theCompanyandtheoperatingeffectivenessofsuchcontrols,refertoourseparateReportin‘AnnexureB’.Ourreportexpressesanunmodifiedopinionontheinternalfinancialcontrolswithreferencetothefinancialreporting.

g) WithrespecttotheothermatterstobeincludedintheAuditor’sReport inaccordancewithRule11oftheCompanies(AuditandAuditors)Rules,2014,inouropinionandtothebestofourinformationandaccordingtotheexplanationsgiventous:

i) TheCompany does not have any pending litigationswhichwould impact its standalone IndASfinancialstatements;

ii) TheCompanydidnothaveanylong-termcontractsincludingderivativecontractsforwhichtherewereanymaterialforeseeablelosses;

iii) AnamountofRs.80,873/-beingunpaiddividendaccountwhichisoutstandingsinceformorethan7yearsarerequiredtobetransferredtotheInvestorEducationandProtectionFundbytheCompany.


F.R.N. 001652N


50


Annexure-A to Independent Auditor’s Report(Referred to in paragraph 9 under ‘Report on Other Legal and Regulatory Requirements’ section of our report of even date) i. Inrespectofitsfixedassets:

a) TheCompanyhasmaintainedproperrecordsshowingfullparticularsincludingquantitativedetailsandsituationoffixedassets.

b) TheCompanyhasaprogramofphysicalverificationofall itsfixedassets inaphasedmannerwhich,inouropinion,isreasonablehavingregardtothesizeoftheCompanyandthenatureofitsassets.Inaccordancewithsuchaprogram,certainfixedassetswerephysicallyverifiedbythemanagementduringtheyear.Accordingtotheinformationandexplanationgiventous,nomaterialdiscrepancieswerenoticedonsuchverification.

c) AccordingtoinformationandexplanationgiventousandonthebasisofourexaminationofrecordsoftheCompany,thetitledeedsoftheimmovablepropertiesareheldinthenameoftheCompany.

ii. Inrespectofitsinventories:

Asexplainedtous,theinventorieswerephysicallyverifiedduringtheyearbytheManagementatreasonableintervalsandnomaterialdiscrepancywasnoticedonphysicalverification.

iii. TheCompanyhasgrantedinterestfreeunsecuredloanstoapartycoveredintheregistermaintainedunderSection189oftheCompaniesAct,2013.Themaximumamountoutstandingduringtheyearandyear-endbalanceofsuchloanaggregatetoRs94,81,563/-andRs.91,23,713/-respectively.

a. Inrespectoftheaforesaidloans,thetermsandconditionsunderwhichsuchloansweregrantedarenotprejudicialtotheCompany’sinterest.

b. Thesaidloansarerepayableondemandandthereforethequestionofitsoverdueand/oramountofoverdueand/orstepstakenbytheCompanyforrecoveryofprincipalandinterestdoesnotarise.

iv. Inouropinionandaccordingtotheinformationgiventous,theCompanyhascompliedwiththeprovisionsofsection185and186of theAct,withrespect to the loansand investmentsmade.Thecompanyhasnotprovidedanyguaranteeorsecurityintermsofsection185and186oftheAct

v. Accordingtotheinformationandexplanationsgiventous,theCompanyhasnotacceptedanydepositfromthepublicduringtheyearintermsoftheprovisionofSection73to76oranyotherrelevantprovisionoftheActandtherulesframedtheirunder.Asinformedtous,noOrderhasbeenpassedbytheCompanyLawBoardorNationalCompanyLawTribunalorReserveBankofIndiaforthismatter.

vi. TheCentralGovernmenthasnotprescribedthemaintenanceofcostrecordsundersection148(1)oftheAct,inrespectoftheproductmanufacturedand/ortheservicesrenderedbytheCompany.

vii. Accordingtotheinformationandexplanationsgiventousinrespectofstatutorydues;

a. TheCompanyhasgenerallybeen regular indepositingundisputedstatutorydues includingprovidentfund,employees’state insurance, income-tax,sales tax,service tax,customsduty,exciseduty,valueaddedtax,cessandanyotherstatutorydueswiththeappropriateauthorities.TherewerenoundisputedamountpayableinrespectofProvidentfund,Employees’StateInsurance,Incometax,Salestax,Servicetax and any other material statutory dues in arrears as at March 31, 2018 for a period of more than six monthsfromthedatetheybecomepayable.

b. DetailsofSalestaxdueswhichhavenotbeendepositedasonMarch31,2018onaccountofdisputearegivenbelow:

Name of Statue Nature of dues Amount Period Forum where dispute is pending Appeal

JCCI Penalty 534523/- 1991-92 AppealSales tax Assessmentdue 647571/- 1996-97 Appeal

viii. AnamountofRs.80,873/-beingunpaiddividendaccountwhichisoutstandingsinceformorethan7yearsarerequiredtobetransferredtotheInvestorEducationandProtectionFundbytheCompany.

ix. Inouropinion,andaccordingtoinformationandexplanationgiventous,nomoneywasraisedbywayoftermloanorbywayofinitialpublicofferorfurtherpublicoffer(includingdebtinstruments)duringtheyear.

51


x. During thecourseofourexaminationof thebooksofaccountand recordsof theCompany,carriedout inaccordance with the generally accepted auditing practices in India, and according to the information andexplanationsgiventous,wehaveneithercomeacrossanyinstanceofmaterialfraudbytheCompanyorontheCompanybyitsofficersoremployees,noticedorreportedduringtheyear,norhavewebeeninformedofanysuchcasebytheManagement.

xi. Inouropinionandaccordingtotheinformationandexplanationsgivenbythemanagement,theCompanyhaspaid/providedmanagerialremunerationinaccordancewiththeprovisionsofsection197readwithScheduleVoftheAct

xii. Inouropinionandaccording to the informationandexplanationsgiven tous, theCompany isnotaNidhiCompany.Accordingly,paragraph3(xii)oftheorderisnotapplicabletotheCompany.

xiii. According to the information and explanation given to us, all the transactions with related parties are incompliancewiththeprovisionsofSections177and188oftheAct,whereapplicable.Thedetailsofrelatedparty transactionshavebeendisclosed in thefinancial statementsas requiredunderAccountingStandard(AS)18RelatedPartyDisclosuresspecifiedunderSection133oftheAct,readwithRule7oftheCompanies(Accounts)Rules,2014.

xiv. Accordingto the informationandexplanationsgiventousandbasedonourexaminationof therecordsofthe company, the companyhasnotmadeanypreferential allotment or privateplacementof fully or partlyconvertibledebenturesnorpreferentialallotmentofequitysharesandhencereportingunderclause(xiv)ofCARO2016isnotapplicabletotheCompany

xv. Inouropinionandaccordingtotheinformationandexplanationsgiventousandbasedonourexaminationof the records of the Company, the Company has not entered into any non cash transactions with directors or personsconnectedwithhimduringtheyear.Accordingly,paragraph3(xv)oftheorderisnotapplicabletotheCompany.

xvi. According to the information and explanations given to us, theCompany is not required to be registeredundersection45-IAoftheReserveBankofIndiaAct,1934.Accordingly,paragraph3(xvi)oftheorderisnotapplicabletotheCompany.


F.R.N. 001652N


52


‘Annexure B’ to Independent Auditor’s Report(Referredtoinparagraph10(f)under‘ReportontheStandaloneFinancialStatementOtherLegalandRegulatoryRequirements’sectionofourreportofevendate)

Report on the internal financial controls with reference to the financial reporting under Clause (i) of Sub-section 3 of Section 143 of the Act.WehaveauditedtheinternalfinancialcontrolswithreferencetothefinancialreportingofM/sINANNAFASHIONANDTRENDSLIMITED(FormallyknownasM/s.FRONTLINEBUSINESSSOLUTIONSLIMITED)(‘theCompany”)asofMarch31,2018,inconjunctionwithourauditofthestandalonefinancialstatementsoftheCompanyfortheyearendedonthatdate.

Management’s Responsibility for Internal Financial Controls1. TheCompany’smanagementisresponsibleforestablishingandmaintaininginternalfinancialcontrolsbasedon

theinternalfinancialcontrolswithreferencetothefinancialreportingestablishedbytheCompanyconsideringtheessentialcomponentsofinternalcontrolstatedintheGuidanceNoteonAuditofInternalFinancialControlsOverFinancialReportingissuedbytheInstituteofCharteredAccountantsofIndia(ICAI).Theseresponsibilitiesincludethedesign,implementationandmaintenanceofadequateinternalfinancialcontrolsthatwereoperatingeffectively forensuring theorderlyandefficientconductof itsbusiness, includingadherence tocompany’spolicies,thesafeguardingofitsassets,thepreventionanddetectionoffraudsanderrors,theaccuracyandcompletenessoftheaccountingrecordsandthetimelypreparationofreliablefinancialinformation,asrequiredundertheAct.

Auditors’ Responsibility 2. OurresponsibilityistoexpressanopinionontheCompany’sinternalfinancialcontrolswithreferencetothe

financialreportingbasedonouraudit.WeconductedourauditinaccordancewiththeGuidanceNoteonAuditofInternalFinancialControlsOverFinancialReporting(the“GuidanceNote”)andtheStandardsonAuditingissuedbyICAIanddeemedtobeprescribedundersection143(10)oftheAct,totheextentapplicabletoanauditof internalfinancialcontrols,bothapplicable toanauditof internalfinancialcontrolsandboth issuedbytheICAI.ThoseStandardsandtheGuidanceNoterequirethatwecomplywithethicalrequirementsandplanandperformtheaudittoobtainreasonableassuranceaboutinternalfinancialcontrolswithreferencetothefinancialreportingwasestablishedandmaintainedandifsuchcontrolsoperatedeffectivelyinallmaterialrespects.

3. Ourauditinvolvesperformingprocedurestoobtainauditevidenceabouttheadequacyoftheinternalfinancialcontrolswithreferencetothefinancialreportingandtheiroperatingeffectiveness.Ourauditofinternalfinancialcontrolswith reference to the financial reporting includedobtainingandunderstandingof internal financialcontrols with reference to the financial reporting, assessing the risk that amaterial weakness exists, andtestingandevaluatingthedesignandoperatingeffectivenessofinternalcontrolbasedontheassessedrisk.Theproceduresselecteddependontheauditor’sjudgement,includingtheassessmentoftherisksofmaterialmisstatementofthefinancialstatements,whetherduetofraudorerror.

4. WebelievethattheauditevidencewehaveobtainedissufficientandappropriatetoprovideabasisforourauditopinionontheCompany’sinternalfinancialcontrolswithreferencetothefinancialreporting.

Meaning of internal financial controls with reference to the financial reporting5. Acompany’sinternalfinancialcontrolswithreferencetothefinancialreportingisaprocessdesignedtoprovide

reasonableassuranceregardingthereliabilityoffinancialreportingandthepreparationoffinancialstatementsfor external purposes in accordancewith generally accepted accounting principles. A company’s internalfinancial controls with reference to the financial reporting includes those policies and procedures that (1)pertaintothemaintenanceofrecordsthat,inreasonabledetail,accuratelyandfairlyreflectthetransactionsanddispositionoftheassetsofthecompany;(2)providereasonableassurancethattransactionsarerecordedasnecessarytopermitpreparationoffinancialstatementsinaccordancewithgenerallyacceptedaccountingprinciples, and that receipts and expenditures of the company are being made only in accordance with authorisationsofmanagementanddirectorsofthecompany;and(3)providereasonableassuranceregardingpreventionor timelydetectionofunauthorisedacquisition,use,ordispositionof thecompany’sassets thatcouldhaveamaterialeffectonthefinancialstatements.

Inherent Limitations of internal financial controls with reference to the financial reporting

6. Becauseoftheinherentlimitationsofinternalfinancialcontrolswithreferencetothefinancialreporting,includingthepossibilityofcollusionorimpropermanagementoverrideofcontrols,materialmisstatementsduetoerroror

53


fraudmayoccurandnotbedetected.Also,projectionsofanyevaluationoftheinternalfinancialcontrolswithreferencetothefinancialreportingtofutureperiodsaresubjecttotheriskthattheinternalfinancialcontrolswithreferencetothefinancialreportingmaybecomeinadequatebecauseofchangesinconditions,orthatthedegreeofcompliancewiththepoliciesorproceduresmaydeteriorate.

Opinion7. Inouropinion,theCompanyhas,inallmaterialrespects,anadequateinternalfinancialcontrolswithreference

to the financial reportingand such internal financial controlswith reference to the financial reportingwereoperatingeffectivelyasatMarch31,2018,basedontheinternalfinancialcontrolswithreferencetothefinancialreporting criteria established by the Company considering the essential components of internal control stated intheGuidanceNoteonAuditofInternalFinancialControlsOverFinancialReportingissuedbytheInstituteofCharteredAccountantsofIndia.


F.R.N. 001652N


54


BALANCE SHEET AS AT 31st MARCH 2018Particulars Notes. No. As At

31st March 2018 As At

31st March 2017 As At

31st March 2016 ASSETSI. Non-current Assets(a) Property Plant and Equipment 3 554,223 732,200 929,560(b)CapitalWork-in-progress(c)InvestmentProperty 4 - - -(d)Goodwill 5 - - -(e)OtherIntangibleAssets 5 - - -(f)FinancialAssets 6(i)Investments 55,596,000 55,596,000 55,596,000(ii)TradeReceivable 4,042,756 3,984,864 3,984,864 (iii) Loans 51,333,016 51,618,578 59,398,818(iv)Otherstobespecified 63,514 63,514 63,514(g)DefferedTaxassets(net) 7 50,768 28,360 8,384(h)Othernon-currentassets 8 - 3,062,500 -Total non-current assets 111,640,277 115,086,016 119,981,140 II. Current Assets(a)Inventories 9 - - -(b)FinancialAssets(i)Investments 6a - - -(ii)TradeReceivable 6b 88,019,508 - 5,505,716(iii)Cashandcashequivalent 6d 405,397 1,282,718 14,771,901(iv)Bankbalanceotherthan(iii)above - - -(v)Loans 6c 21,941,978 27,858,978 17,060,424(iv)Otherstobespecified 11 - - -(c)CurrentTaxAssets(Net)(d) Other current assets 10 37,564 - 6,073Total current assets 110,404,447 29,141,696 37,344,114 Total Assets 222,044,724 144,227,713 157,325,253 EQUITY AND LIABILITIES Equity(a) Equity Share capital 12 106,620,390 106,620,390 106,620,390(b) Other Equity 10,951,530 12,025,285 25,040,588Total Equity 117,571,920 118,645,675 131,660,978 LIABILITIESI. Non-Current Liabilities(a) Financial Liabilities 13 (i) Borrowings 6,316,930 7,266,930 5,927,880 (ii) Trade payables 9,492,926 9,492,926 9,492,926(iii)OtherFinancialliabilities(otherthanthosespecifiedinitem(b)(b)Provisions 14 - - -(c)Employeebenefitobligations 15 - - -(d)DefferedTaxliabilities(Net) 16 - - -(e)Othernon-currentliabilitiesTotal non-current liabilities 133,381,776 135,405,531 147,081,784 II. Current Liabilities(a) Financial Liabilities (i) Borrowings 13a (ii) Trade payables 13c 88,509,816 845,361 2,441,459(iii)OtherFinancialliabilities(otherthanthosespecifiedinitem(c)(b) Other current liabilities 18 153,132 7,976,821 7,802,010 (c)Provisions 14 - - -(d)Employeebenefitobligations 15 - - -(e) Current Tax liabilities (Net) 17 - - -Total current liabilities 88,662,948 8,822,182 10,243,469 TOTAL EQUITY AND LIABILITIES 222,044,724 144,227,713 157,325,253 TheaccompanyingnotesareanintegralpartoffinancialstatementsAsperourReportofevendate

As per our Report of even dateFor B. N. Kedia & Co. For INANNA FASHIONS AND TRENDS LIMITEDChartered Accountants

(CA. S. K. Kedia) Natwar Surekha Manju Surekha Partner Managing Director Whole-time Director Membership No. : 052579 DIN: 1296522 DIN: 01362461 Place: MumbaiDated: 30/05/2018

55


PROFIT & LOSS STATEMENT FOR THE YEAR ENDED ON 31st MARCH, 2018Sr. No

Particulars Notes. No.

Figures as at 31st March 2018

Figures as at 31st March 2017

I Revenuefromoperations 19 84,113,806 19,044,201

II OtherIncome 20 177,575 2,345,703

III III. Total Revenue (I +II) 84,291,381 21,389,904

IV Expenses:CostofGoods/ServicesSold 21 83,875,550 -

EmployeeBenefitExpenses 22 - 25,318,884

Financial Costs 25 - -

DepreciationandAmortizationExpenses 23 177,978 197,360

Other Expenses 24 1,334,016 8,908,942

Total Expenses (IV) 85,387,544 34,425,186 V Profit/(loss)beforeexceptionalitemsandtax(III-IV) (1,096,163) (13,035,282)

VI ExceptionalItems - -

VII Profit/(loss)beforetax(V-VI) (1,096,163) (13,035,282)

VIII Tax expense: 26 (1) Current tax - -

(3) Deferred tax 22,408 19,976

IX Profit(Loss)fortheperiodfromcontinuingoperations(VII-VIII) (1,073,755) (13,015,306)

X Profit/(loss)fromdiscontinuedoperations -

XI Tax expense of discontinued operation - -

XII Profit/(loss)fromDiscontinuedoperations(aftertax)(X-XI) - -

XIII Profit/(loss)fortheperiod(IX+XII) (1,073,755) (13,015,306)

XIV Other Comprehensive Income A(i)Itemsthatwillnotbereclassifiedtoprofitorloss - -

(ii)Incometaxrelatingtoitemsthatwillnotbereclassifiedtoprofitorloss - -

B(i)Itemsthatwillbereclassifiedtoprofitorloss - -

(ii)Incometaxrelatingtoitemsthatwillbereclassifiedtoprofitorloss - -

XV TotalComprehensiveIncomefortheperiod(XIII+XIV)(Comprising (1,073,755) (13,015,306)

Profit(Loss)andOtherComprehensiveIncomefortheperiod)

XVI Earnings per equity share (for continuing operation): (1) Basic (0.05) (0.61)

(2) Diluted (0.05) (0.61)

XVII Earnings per equity share (for discontinued operation): (1) Basic - -

(2) Diluted - -

XVIII Earnings per equity share(for discontinued & continuing operations) (1) Basic (0.05) (0.61)

(2) Diluted (0.05) (0.61)

Theaccompanyingnotesareanintegralpartoffinancialstatements



56


CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2018FOR THE YEAR

ENDED 31/03/2018FOR THE YEAR

ENDED 31/03/2017[1] Cash Flow From Operating Activities :NetProfit/(Loss)beforetax (1,096,163) (13,035,282)Adjustmentfor:Depreciation 177,978 197,360Finance Charges -LiabilityNoLongerRequiredInterest/Dividendreceived (177,575) (1,605,253)DeferredTaxAsset 22,408 19,976

22,811 (1,387,917)OperatingProfitbeforeWorkingCapitalChanges (1,073,352) (14,423,199)Adjustmentfor:Change in Sundry Debtors (88,077,400) 5,505,716ChangeinShorttermloanandAdvances 5,917,000 (10,798,554)ChangeinOtherCurrentAssets (37,564) 6,073ChangesinAdvances&Deposits 285,562 7,780,240Change in Trade Payables 87,664,455 (1,596,098)Changes in Other Current Liabilities (7,823,689) 174,811ChangeinDefferedTax (22,408) (19,976)

(2,094,044) 1,052,212 CashGeneratedfromOperations (3,167,396) (13,370,987)InterestPaid - -Direct Taxes paid -

- -NetCashFromOperatingActivities (3,167,396) (13,370,987)[2] Cash flow From Investing Activities:PurchaseofFixedAssets -PurchaseofInvestments 3,062,500 (3,062,500)SaleofInvestments/FixedAssetsInterest/DividendReceived 177,575 1,605,253NetCashusedinInvestingActivities 3,240,075 (1,457,247)[3] Cash Flow From Financing ActivitiesShareApplicationmoneypendingallotment -ProposedDividend(netoflastyearsexcessProv) - -Finance Charges -Loan Processing Fees -DividendTaxPaid - -Borrowings (Net of repayments) (950,000) 1,339,050NetCashFromFinancingActivities (950,000) 1,339,050NETINCREASE/(DECREASE)INCASHANDCASHEQUIVALENTS[A+B+C]

(877,321) (13,489,184)

CASHANDCASHEQUIVALENTSATTHEBEGINNINGOFTHEYEAR

1,282,717 14,771,901

CASHANDCASHEQUIVALENTSATTHE END OF THE YEAR 405,397 1,282,717

For and on behalf of the Board

Place :- Mumbai Natwar Sureka Manju Sureka Dated: 30/05/2018 Managing Director Whole-time Director

AUDITORS CERTIFICATEWehaveexamined theattachedCashFlowStatementof Inanna Fashion and Trends Limited (Formerly known as Frontline Business Solutions Limited)fortheyearended31stMarch,2018.ThestatementhasbeenpreparedbytheCompanyinaccordancewiththerequirementsoftheINDAS7issuedbyTheInstituteofCharteredAccountantsofIndiaandisbasedonandinagreementwithcorrespondingProfit&LossAccountandtheBalanceSheetoftheCompanycoveredbyourreportofevendatetothemembersoftheCompany.



57


STATEMENT OF CHANGE IN EQUITY FOR THE YEAR ENDED 31st MARCH, 2018A. Equity Share CapitalBalance as at 1st April 2017

Changes in the share capital during the year Balance as at 31st March 2018

106,620,390 - 106,620,390 Balanceasat1stApril2016 Changes in the share capital during the year Balance as at 31st March 2017106,620,390 - 106,620,390

B. Other EquityShare

application money

pend-ing allotment

Reserves and Surplus Debt instrument through other

comprehensive Income

Money received against share

warrants

TotalCapital

ReserveSecurity Premium Reserve

Retained Earnings

Balance as at 1st April 2017

- - 35,389,626 (23,364,342) - - 12,025,284

Changes in accounting policy or prior period errors

- - - - - - -

Restatedbalanceasat1stApril2017

- - 35,389,626 (23,364,342) - - 12,025,284

Total ComprehensiveIncomefortheyear

- - - - - - -

Dividends - - - - - - -Transfer to RetainedEarnings

- - - (1,073,755) - - (1,073,755)

Anyotherchange(tobespecified)

- - - - - - -

Balance as at 31 March 2018

- - 35,389,626 (24,438,097) - - 10,951,529

Share application

money pend-ing allotment

Reserves and Surplus Debt instrument through other

comprehensive Income

Money received against share

warrants

TotalCapital

ReserveSecurity Premium Reserve

Retained Earnings

Balance as at 1st April2016

- - 35,389,626 (10,349,038) - - 25,040,588

Changes in accounting policy or prior period errors

- - - - - - -

Restatedbalanceasat1stApril2016

- - 35,389,626 (10,349,038) - - 25,040,588

Total ComprehensiveIncomefortheyear

- - - - - - -

Dividends - - - - - - -Transfer to RetainedEarnings

- - - (13,015,305) - - (13,015,305)

Anyotherchange(tobespecified)

- - - - - - -

Balance as at 31 March 2017

- - 35,389,626 (23,364,342) - - 12,025,284

58


Notes Forming Part of the Financial Statements1. Company Information InannaFashionandTrendsLimited(FormerlyknownasFrontlineBusinessSolutionsLimited)(“theCompany)

is a public limited company incorporated in Indiawith its registered office inMumbai,Maharashtra, India.TheCompanyislistedontheBombayStockExchange(BSE).ThefinancialstatementasatMarch31,2018present thefinancialpositionof theCompany.Thefunctionalandpresentationcurrencyof theCompany isIndianRupeewhichisthecurrencyoftheprimaryeconomicenvironmentinwhichtheCompanyoperates.ThefinancialstatementfortheyearendedMarch31,2018wereapprovedbytheBoardofDirectorsandauthorizedforissueon29thMay2018.

2. Significant Accounting Policies: TheSignificantAccountingPoliciesappliedbytheCompanyinthepreparationofitsfinancialstatementare

listedbelow.Suchaccountingpolicieshavebeenappliedconsistently toall theperiodspresented in thesefinancialstatementsandinpreparingtheopeningIndASBalancesheetasatApril1,2016forthepurposeoftransitiontoIndAS,unlessotherwiseindicated.

a) Statement of compliance InaccordancewiththenotificationissuedbytheMinistryofCorporateAffairs,theCompanyhasadopted

IndASnotifiedundertheCompanies(IndianAccountingStandards“,witheffectfromApril1,2016.ThetransitionfromPreviousGAAPtoIndAS101”FirstTimeAdoptionofIndianAccountingStandards”,withApril 1,2016being the transitiondate. Inaccordancewith IndAS101 “FirstTimeadoptionof IndianAccountingStandard”, theCompanyhasmadepresentationoffinancialstatementsunderaccountingstandardsnotifiedundertheCompanies(AccountingStandards)Rules,2006(“PreviousGAAP)toIndASoftotalequityasatApril1,2016andMarch31,2017totalcomprehensiveIncomeandcashflowfortheyear ended March 31, 2017

b) Basis of Preperation TheseFinancialStatementshavebeenpreparedunderthehistoricalcostconventionwiththeexception

ofcertainassetsandliabilitiesthatarerequiredtobecarriedatfairvaluebyIndAS.Fairvalueisthepricethatwouldbereceivedtosellanassetorpaidtotransferaliabilityinanorderlytransactionbetweenmarketparticipantsatthemeasurementdate.

c) Use of Estimates Thepreparationoffinancialstatements,thecompanymakesmakejudgments,estimatesandassumptions

aboutthecarryingvaluesofassetsandliabilitiesthatarenotreadilyapparentfromothersources.Theestimates and the associated assumptions are based on historical experience and other factors that are consideredtoberelevant.Actualresultsmaydifferfromthisestimates.

Theestimatesandtheunderlinedassumptionsarereviewedonanongoingbasis.Revisionstoaccountingestimatesarerecognizedintheperiodinwhichtheestimateisrevisedandfutureperiodsaffected.

Significant judgements and estimates relating to the carrying values of assets and liabilities includeuseful livesofproperty,plantandequipmentand intangibleassets, impairmentofproperty,plantandequipmentandintangibleassetsandinvestments,provisionforemployeebenefitsandotherprovisions,recoverabilityofdeferredtaxassets,commitmentsandcontingencies.

d) Property, plant and equipment An item of property, plant and equipment is recognized as an asset, if it is probable that the future

economicbenefitsassociatedwiththeitemwillflowtothecompanyanditscostcanbemeasuredreliably.This recognition principle is applied to the costs incurred initially to acquire an item of property, plant and equipmentandalsotocostsincurredsubsequentlytoaddto,replacepartof,orserviceit.Allotherrepairandmaintenancecostsincludingregularservicingarerecognizedinthestatementofprofitandlossasincurred.

Property,plantandequipmentarestatedatcost,lessaccumulateddepreciationandimpairment.Costincludes all direct costs and expenditure incurred to bring to its working condition and location for its intendeduse.

Thegainorlossarisingondisposalofanassetisdeterminedasthedifferencebetweenthesaleproceedsandthecarryingvalueofassetandisrecognizedinthestatementofprofitandloss.

59


e) Intangible Assets Intangibleassetsarestatedattheircostofacquisition, lessaccumulatedamortizationandimpairment

losses.Anintangibleassetisrecognized,whereitisprobablethatfutureeconomicbenefitsattributabletotheassetwillflowtotheenterpriseandwhereitscostcanbereliablymeasured.ThedepreciableamountofIntangibleAssetsisallocatedoverthebestestimateofitsuse-fulllifeonstraightlinebasis.

f) Depreciation Depreciationonfixedassets isprovidedproratabaseonstraight linemethodat theratesand in the

mannerprescribedinScheduleIItotheCompaniesAct,2013.Intangibleassetsareamortizedovertheirestimatedusefullifeof5years.

g) Impairment of Assets The management assesses for any impairment of assets or cash generating units, in indicators, external

orinternal,suggestspossibilitiesforreductioninnetrealizablevalueofassetsorvalueinuseofcashgeneratingunitsbelowitscarryingcosts.Impairments,ifany,willberecognizedintheProfitandLossAccounts.

h) Cash and cash equivalents Cashandcashequivalent in thebalancesheetcomprisecashatbanksandonhandandshort-term

depositswithanoriginalmaturityof threemonthsor less,whicharesubject toan insignificant riskofchangesinvalue.

Forthepurposeofthestatementofcashflows,cashandcashequivalentsconsistofcashandshort-termdeposits,asdefinedabove.

i) Financial Instruments Financial assets and financial liabilities are recognized when the company becomes a party to the

contractualprovisionsoftheinstrument.Financialassetsandliabilitiesareinitiallymeasuredatfairvalue.Thetransactioncostsdirectlyattributabletofinancialassetandfinancial liabilitiesatfairvaluethroughprofitandlossareimmediatelyrecognizedinthestatementofprofitandloss.

j) Revenue Recognition Therevenueisrecognizedtotheextentitisprobablethattheeconomicbenefitswillflowtothecompanyand

therevenuereliablymeasured,regardlessofwhenthepaymentisbeingmade.Revenueismeasuredatthefairvalueoftheconsiderationreceivedorreceivablenetofdiscounts,takingintoaccountcontractuallydefinedtermsandexcludingtaxesordutiescollectedonbehalfofthegovernment.

Sale of Goods Revenuefromsaleofgoodsisrecognizedwhenthesignificantrisksandrewardsofownershiphavebeen

transferredtothebuyer.Norevenueisrecognizediftherearesignificantuncertaintyregardingrecoveryoftheamountdue,associatedcostorthepossiblereturnofthegoods.

Interest Income Interestincomeisrecognizedonatimeproportionbasis,byreferencetotheprincipaloutstandingandthe

effectiveinterestrateapplicable.

k) Provisions, Contingent Liabilities and Contingent Assets Aprovisionismadebasedonareliableestimatewhenitisprobablethatanoutflowofresourcesembodying

economicbenefitwillberequiredtosettleanobligation.

Contingent Liabilities in respect of showcause notice received are considered only when they areconvertedintodemands.ContingentLiabilitiesundervariousfiscallawsincludethoseinrespectofwhichtheCompany/Departmentisinappeal.ContingentLiabilitiesaredisclosedbywayofnotestoaccounts.

Contingentassetsarenotrecognizedordisclosedinthefinancialstatement.

Notes Forming Part of the Financial Statements

60


l) Taxation: Current income tax Currentincometaxassetsandliabilitiesaremeasuredattheamountexpectedtoberecoveredfromor

paidtothetaxationauthorities.Thetaxratesandtaxlawsusedtocomputetheamountarethosethatareenactedorsubstantivelyenacted,atthereportingdate.

CurrenttaxitemsarerecognisedincorrelationtotheunderlyingtransactioneitherinOCIordirectlyinequity.Managementperiodicallyevaluatespositionstakeninthetaxreturnswithrespecttosituationsinwhichapplicabletaxregulationsaresubjecttointerpretationandestablishesprovisionswhereappropriate.

Deferred tax Deferred tax isprovidedusing the liabilitymethodontemporarydifferencesbetweenthe taxbasesof

assetsand liabilitiesand theircarryingamounts forfinancial reportingpurposesat the reportingdate.Deferredtaxliabilitiesarerecognisedforalltaxabletemporarydifferences,exceptwhenitisprobablethatthetemporarydifferenceswillnotreverseintheforeseeablefuture.

Deferredtaxassetsarerecognisedforalldeductibletemporarydifferences,thecarryforwardofunusedtaxcreditsandanyunusedtaxlosses.Deferredtaxassetsarerecognisedtotheextentthatitisprobablethat taxable profitwill beavailable againstwhich thedeductible temporary differences, and the carryforwardofunusedtaxcreditsandunusedtaxlossescanbeutilized.

MinimumAlternateTax(MAT)paidinaccordancewiththetaxlaws,whichgivesfutureeconomicbenefitsintheformofadjustmenttofuture incometaxliability, isconsideredasanasset if there isconvincingevidencethattheCompanywillpaynormalincometax.Accordingly,MATisrecognisedasanassetintheBalanceSheetwhenitisprobablethatfutureeconomicbenefitassociatedwithitwillflowtotheCompany.

m) Earnings Per Share: TheCompanypresentsbasicanddilutedearningspershare(“EPS”)data for itsequityshares.Basic

EPSiscalculatedbydividingtheprofitandlossattributabletoequityshareholdersoftheCompanybytheweightedaveragenumberofequitysharesoutstandingduringtheperiod.DilutedEPSisdeterminedbyadjustingtheprofitandlossattributabletoequityshareholdersandtheweightedaveragenumberofequitysharesoutstandingfortheeffectsofalldilutivepotentialequityshares.

Note : 3 Property, Plant and Equipment

Computer Furniture & Fixture

Office Equipment Total

Cost/Deemed cost at 1st April 2016 404,263 973,806 1,109,224 2,487,293Additions - - - -Disposals - - - -Closing gross carrying amount as at 31st March 2017 404,263 973,806 1,109,224 2,487,293Acuumulated Depreciations as at 1st April 2016 220,352 343,514 993,868 1,557,733 Depreciation charged during the year 57,967 109,493 29,901 197,360Disposal - - - -Closing Accumulated depreciation as at 31st March 2017 278,318 453,006 1,023,768 1,755,093Openinggrosscarryingamountasat1stApril2017 404,263 973,806 1,109,224 2,487,293Additions - - - -Disposals - - - -Transfers - - - -Closing gross carrying amount as at 31st March 2018 404,263 973,806 1,109,224 2,487,293Openingaccumulateddepreciationasat1stApril2018 278,318 453,006 1,023,768 1,755,093Depreciation during the year 53,488 109,493 14,997 177,978Disposals - - - -Closing accumulated depreciation as at 31st March 2018 331,806 562,499 1,038,765 1,933,070Net carrying amount as at 1st April 2016 183,911 630,292 115,356 929,560Net carrying amount as at 31st March 2017 125,945 520,800 85,456 732,200 Net carrying amount as at 31st March 2018 72,457 411,307 70,459 554,223


61


Particulars As at 31st March, 2018

As at 31st March, 2017

Note : 4 Investment PropertiesGrossscarryingamountOpening gross carrying amount / Deemed cost

- -

Additions - -Disposals - -Closing gross carrying amount - -AccumulateddepeciationOpening accumulated depreciation - -Depreciation charge - -Disposals - -Closing accumulated depreciation - -Net carrying amount - -

Note : 5 Intangible assetsParticulars Goodwill Other Intangible

assets Total

Cost/Deemedcostasat1stApril2016 - - -Additions - - -Disposals - - -Closing gross carrying amount as at 31st March,2017

- - -

Accumulatedamortisationasat1stApril2016

- - -

Amortisationchargefortheyear - - -Disposals - - -Closing accumulated depreciation as at 31st March 2017

- - -

Grosscarryingamountasat1stApril2017Opening gross carrying amount - - -Additions-Internaldevelopment - - -Disposals - - -Closing gross carrying amount as at 31st March 2018

- - -

Accumulatedamortisationasat1stApril2017Opening accumulated depreciation - - -Amortisationchargefortheyear - - -Disposal - - -Closing accumulated amortisation as at 31st March 2018

- - -

Closingnetcarryingamountasat1stApril2016

- - -

Closing net carrying amount as at 31st March 2017

- - -

Closing net carrying amount as at 31st March 2018

- - -


62


Particulars As at 31st March,2018

As at 31st March,2017

As at 1st April,2016

Note : 6 Financial assetsEquityInvestmentsatFVOCIUnquoted-TechnoPointMerchantileCo.PvtLtd 4,15,00,000 4,15,00,000 4,15,00,000-440500RadhaMadhavResearch&TradePvtLtd

1,40,96,000 1,40,96,000 1,40,96,000

Total (equity instruments) 5,55,96,000 5,55,96,000 5,55,96,000Total Non-current Investments 5,55,96,000 5,55,96,000 5,55,96,000

Note : 6(a) Current investmentsInvestmentinequityInstrumentQuoted - - -EquityInvestmntsatFVOCIUnquoted - - -Total (equity instruments) - - - Total current Investments - - -

Note : 6(b) Trade receivablesTradereceivables 9,20,62,264 39,84,864 94,90,580Receivablefromrelatedparties - - -Less:Allowancefordoubtfuldebts - - -Totalreceivables 9,20,62,264 39,84,864 94,90,580Current position 8,80,19,508 - 55,05,716Non-CurerentPosition 40,42,756 39,84,864 39,84,864Break-upofsecuritydetailsSecured, considered good - - -Unsecured, considered good 9,20,62,264 39,84,864 94,90,580Doubtful - - -Total 9,20,62,264 39,84,864 94,90,580 Allowancefordoubtfuldebts - - -Total trade receivables 9,20,62,264 39,84,864 94,90,580

Note: 6 (c ) LoansNon-currentMATCreditentitlement 4,47,743 4,47,743 4,47,743Security Deposit 1,32,200 1,41,200 3,56,200LoantoInterCo. 91,23,713 79,47,063 54,36,659Other Loans 4,16,29,360 4,17,29,360 4,17,29,360Taxdeductedatsource(netofprovisions) - 13,53,212 1,14,28,856Totalnon-currentloansandadvances 5,13,33,016 5,16,18,578 5,93,98,818CurrentAdvancestosuppliers 2,19,41,978 2,78,58,978 1,70,10,424Advancestostaff - - 50,000 Totalcurrentloansandadvances 2,19,41,978 2,78,58,978 1,70,60,424Total in ` 7,32,74,994 7,94,77,556 7,64,59,242


63





OtherLoanincludesshareapplicationmoneypendingallotmentinthefollowingcompanies:-SainathHerbalCareMarketingPrivateLimited

3,20,00,000 3,20,00,000 3,20,00,000

SwastikLegalConsultantsPrivateLimited 39,00,000 40,00,000 40,00,000

LoantoIntercompanyincludesasumofRs.91,23,713/-(F.Y.2016-17-79,47,063/-&F.Y.2015-16-54,36,659/-)o/sfromacompanyinwhichthedirectorisinterested.

Note: 6 (d) Cash and cash equivalentsBalance with banks-incurrentaccounts 2,16,662.19 7,68,983 86,35,171(OfwhichRs.80,873/-(P.Y.80873/-)areearmarkedforpaymentofunpaiddividend)-inEEFCaccounts - - -Deposits with maturity of less than three months

- 3,70,000 3,50,000

Cash on Hand 1,88,735.00 1,43,735 57,86,730Total cash and cash equivalents 4,05,397 12,82,718 1,47,71,901

Note : 6 (e) Other financial assetsNationalSavingCertificate 63,514 63,514 63,514Total other financial assets 63,514 63,514 63,514

Note : 7 Deferred tax assets (net)Property, plant and equipment and investmentproperty

50,768 28,360 8,384

Others - - -Totaldefferedtaxassets 50,768 28,360 8,384Set-offofdefferedtaxassetspursuanttoset-offprovisions

- - -

Net deferred tax assets 50,768 28,360 8,384

Note : 8 Other non- current assetsBank FD with maturity more than 12 months

- 30,62,500 -

Total other non-current assets - 30,62,500 -

Note : 9 InventoriesRawMaterials - - -Finished goods - - -Traded goods - - -Total inventories - - -


64





Note : 10 Other current assetsIncomeReceivable - - 6,073IGSTreceivable 36,764.00 - -Professional Tax refund 800.00 - -Total other current assets 37,564 - 6,073

Note : 11 Assets classified as held for sale- - -

Total assets classified as held for sale - - -

Note : 12 Equity share capital and other equityNote : 12 (a) Equity share capitalAuthorisedcapital Number of shares AmountEquitysharesofRs.5/-eachAsat1April2016 2,50,10,000 12,50,50,000 Increaseduringtheyear - -Asat31March2017 2,50,10,000 12,50,50,000 Increaseduringtheyear - -Asat31March2018 2,50,10,000 12,50,50,000

Movementinequitysharecapital Number of shares AmountEquitysharesofRs.5/-eachAsat1April2016 2,13,24,078 10,66,20,390Exerciseofoptions-proceedsreceived - -Asat31March2017 2,13,24,078 10,66,20,390Exerciseofoptions-proceedsreceived - -Rightissue - -Asat31March2018 2,13,24,078 10,66,20,390

Thecompanyhasalloted6005000equitysharesasbonusintheratioof1:1intheyear2009bycapitalisationofsecuritypremiumandthereafterinpursuancetotheorderofBombayHighCourtdated25/06/2010hasreducedthesharecapitalfromRs12.01Croredividedinto120100000equitysharesofRs10eachtoRs1.201Croredividedinto1201000equitysharesofRs10eachwithoutpaymentofcanceledvalueofthesaidsharestotheshareholdersofthecompany.Thecompanyhasalloted800000equitysharesofRs10eachatapremiumofRs10inexerciseofrightofthewarrantholderintheyear2013andthereafterspilttedthesharestofacevalueofRs5eachbyissuing10662039equity shares to the existing shareholders

Terms/ rights attached to equity shares1.ThecompanyhasonlyoneclassofequityshareshavingparvalueofRs.5(P.Y.Rs.5/-)persharewhichrank

pari-passuinallrespectsincludingvotingrightsandentitlementtodividend2.Intheeventofliquidation,eachsharecarryequalrightsandwillbeentitledtoreceiveequalamountpershare

outoftheremaingamountavailablewiththeCompanyaftermakingpreferntialpayments.


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Shares of the company held by holding/ultimate holding companyNotApplicable - - -

Note : 12 (b) Reserve and SurplusSecuritiespremiumreserve 3,53,89,626 3,53,89,626 3,53,89,626Retainedearnings (2,44,38,097) (2,33,64,342) (1,03,49,038)Total in ` 1,09,51,530 1,20,25,285 2,50,40,588

Note : 12 (b) (i) Securities premium reserveParticulars As at 31st

March,2018 As at 31st March,2017

Opening Balance 3,53,89,626 3,53,89,626Rightsissue - -Transaction cost arising on share issue, net of taxes

- -

Closing balance 3,53,89,626 3,53,89,626

Note : 12 (b) (ii) Retained EarningsOpening balance (2,33,64,342) (1,03,49,038)Netprofitfortheperiod (10,73,755) (1,30,15,306)ItemsofotherComprehensiveincomerecognized directly in retained earningsDividends - -Closing balance (2,44,38,097) (2,33,64,342)




Note 13: Financial LiabilitiesNote : 13 (a) Non-current borrowingsSecured - - -Un-secured 63,16,930 72,66,930 59,27,880Total non-current borrowings 63,16,930 72,66,930 59,27,880

Note : 13 (a) Current borrowingsLoan repayable on demandSecured - - --FromBanks - - --BankoverdraftUn-secured-FromRelatedParties - - --Loanfromassociates - - -Total current borrowings - - -


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Note : 13 (b) Other financial LiabilitiesNon-current - - -DerivativesnotdesignatedashedgesPrincipal swap - - -Others - - -Contingent consideration - - -Total other non-current financial liabilities

- - -

CurrentCurrent maturities of long term debt - - -Currentmaturitiesoffinanceleaseobligations

- - -

Interestaccrued - - -Capital creditors - - -DerivativesdesignatedashedgesForeign exchange forward contracts - - -DerivativesnotdesignatedashedgesPrincipal swap - - -Total other current financial liabilities - - -

Note : 13 (c ) Trade payableTrade payable 9,80,02,742 1,03,38,287 1,19,34,385Trade payable to related parties - - -Total Trade payable 9,80,02,742 1,03,38,287 1,19,34,385 Non-current 94,92,926 94,92,926 94,92,926Current 8,85,09,816 8,45,361 24,41,459

Note : 14 ProvisionsCurrent - - -Non-current - - -Total - - -

Note : 15 Employee benefit obligationsCurrent - - -Non-current - - -Total employee benefit obligation - - -

Note : 16 Deferred tax liabilities Property, plant and equipment and investmentproperty

- - -

Others - - -Total deffered tax liabilitiesSet-offofdefferedtaxliabilitiespursuanttoset-offprovisions

- - -

Netdefferedtaxliabilities - - -


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Note : 17 Current tax liabilitiesOpening balance - - -Add:currenttaxpayablefortheyear - - -Less:Taxes paid - - -Closing balance - - -

Note 18: Other current liabilitiesCreditor against capital asset - - 7,00,000 Statutory tax payables 1,53,132 79,76,821 71,02,010 Total other current liabilities 1,53,132 79,76,821 78,02,010



Note 19: Revenue From operationsSale of products 8,41,13,806 -saleofservices - 1,90,44,201otheroperatingrevenue - -Total revenue from continuing operations 8,41,13,806 1,90,44,201

Note 20: Other income and other gains/(loses)(a) other incomeInterestincome 24,895 16,05,253OtherIncome 1,52,680 7,40,450Total other income 1,77,575 23,45,703(b) other gains/(loses)Net gain on disposal of property,plant and equipment(excluding property, plant and equipment sold as part of the discontinued operation)

- -

Netgainonsaleofinvestments - -Changesinfairvalueofcontingentconsideration - -Total other gain losses - -

Note 21: Cost of Goods/Services SoldStock at the begning of the year - -Add:PurchasesofGoods/Services 8,38,75,550 -Stock at the closing of the year - -CostofGoods/ServicesSold 8,38,75,550 -

Note 22: Emplyee benefit expenseSalaries, wages and bonus - 2,25,97,219Contributiontoprovidentfund - 27,21,665Total employee benefit expense - 2,53,18,884


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Note 23: Depreciation and amortization expense Depreciation of property, plant and equipment 1,77,978 1,97,360Depreciationoninvestmentproperties - -Amortisationofintangibleassets - -Total depreciation and amortisation expense 1,77,978 1,97,360

Note 24: Other expensesAuditor'sRemuneration 3,02,500 75,000 Electricity Charges - 1,45,770InternetCharges - 2,480Legal&ProfessionalFee 2,55,260 10,08,315 Listing&ROCFees 5,49,795 3,81,149OfficeExpenses 2,496 8,910RentExpenses - 3,85,000 Telephone&MobileExpenses 30,490 1,25,074TravellingExpenses 2,700 52,700 AdvertisementExpenses 11,500 11,000 Bank Charges 1,133 32,500 WebsiteCharges 3,560 17,250 Registrar&TransferFees 85,663 94,133Misc.Expenses 30,190 13,947Profession Tax 3,500 2,500 SundryBalancesWrittenOff - 30,377 Servicetax/GST 55,229 64,92,104Sales Tax Paid - 30,733 Total 13,34,016 89,08,942

Note : 25 Finance costsInterestandfinancechargesTotal - -

Note 26: Income tax expenses(a)IncometaxexpensesCurrent Tax - -Currenttaxonprofitsfortheyear - -Adjustmentforcurrenttaxofpriorperiod - -Total - -DefferedtaxDecrease(increase)indefferedtaxassets 22,408 19,976(Decrease)increaseindefferedtaxliabilities - -Totaldefferedtaxexpenses/(benefit) 22,408 19,976Incometaxexpensesisattributableto:Profitfromcontinuingoperations - -Profitfromdiscontinuedoperations - -

Notes Forming Part of the Financial Statements As at 31st March,2018


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27. CONTINGENT LIABILITIES TheCompanyhasContingentLiabilitiesinrespectofJCCIPenaltyofRs.5,34,523/-andDisputedSalesTax

Liability(Bangalore)ofRs.6,47,571/-.

28. Balance Appearing in various accounts under the head Unsecured Loans, Sundry Debtors, Loans andAdvances, Deposits and Sundry Creditors are subject to confirmation and reconciliation’s. Consequentialadjustmentthereofarisingifany,willbemadeintheyear,theconfirmationandreconciliationsarereceived.

29. Intheopinionofthemanagement,theCurrentAssets,LoansandAdvances,depositareexpectedtorealizeatthevaluesstatedintheBalanceSheetandadequateprovisionshavebeenmadeintheaccountsforallknownliabilities.

30. Noamountsareoutstanding toMicro,SmallandMediumEnterprisesDevelopmentAct,2006 for theyearended on 31stMarch2018.

31. SEGMENT REPORTING Till thefinancialyear2016-17theCompanywasengaged inonlyonebusinesssegmentofHRSolutions,

However,duringtheyear2017-18ithaschangeditslineofoperationandisnowengagedinanothersegmenti.e.ofTradingingoods.Sinceincurrentyearaswellinpreviousyear,itoperatesinonlyonesegment,thereisnothingtoreportunder“SegmentReporting”intermofIndAS108.

32. RELATED PARTY DISCLOSUREa. List of Related Parties HoldingCompany - None

SubsidiaryCompany - None

b. Key Management Personnel (KMP) NatwarSureka - ManagingDirector

ManjuSureka - Director

c. Enterprise over which KMP is having significant control ApogeeBusinessSolutionsPvt.Ltd.

(FormerlyKnownasFrontlineBhoomiVistarPrivateLimited)

Transactions with related party during the year

Particulars Name Received Repaid

Short Term Loan Natwar Sureka - 9,50,000

Note : 1. RelatedpartyrelationshipisasidentifiedbytheCompanyandrelieduponbytheAuditors.

2. No amounts in respect of related parties have beenwritten off/written back during the year, nor has anyprovisionbeenmadefordoubtfuldebts/receivables.

33. EARNING PER SHARE

Particulars 2017-18 2016-17 2015-16

NetProfit/(Loss)afterTax (10,73,755) (1,30,15,305) (29,67,090)

WeightedNo.ofordinarysharesforbasicEPS 21324078 21324078 21324078

Nominal Value of Ordinary Shares 5 5 5

EarningspershareinRs.(Basic&Diluted) (0.05) (0.61) (0.14)


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34. AUDITOR’S REMUNERATION

Particulars 2017-18 2016-17 2015-16P.C. BARADIYA & CO.-AuditFees - 75,000 75,000-ForCertificationMatters 52,500 - -

TOTAL 52,500 75,000 75,000B.N. KEDIA & CO.-AuditFees 1,50,000 - --ForCertificationMatters 30,000 - --ForGST/ServiceTaxAudit 70,000 - -

TOTAL 2,50,000 - -

35. INCOME TAX EXPENSES ThemajorcomponentsofIncomeTaxexpensesfortheyearended31st March 2018 are as below:

StatementofProfit&LossAccountfortheyearended 31st March 2018 31st March 2017CurrentTaxonProfitfortheyear - -Charge/(Credit) in respect of current tax for earlier years - -Total Current Tax - -Deferred TaxOriginationandreversaloftemporarydifferences 22,408 19,976Charge/(Credit) in respect of deferred tax for earlier years 28,360 8,384Total Deferred Tax 50,768 28,360

36. ADOPTION OF INDIAN ACCOUNTING STANDARD (Ind AS)A. Mandatory exceptions to retrospective application TheCompanyhasappliedthefollowingexceptionstotheretrospectiveapplicationofIndASasmandatorily

requiredunderIndAS101“FirstTimeAdoptionofIndianAccountingStandards”(i) Estimates OnassessmentofestimatesmadeunderthePreviousGAAPfinancialstatements,theCompany

has concluded that there is nonecessity to revise suchestimatesunder IndAS, as there is noobjectiveevidenceofanerrorinthoseestimates

(ii) Classification and measurement of financial assets Theclassificationoffinancialassetstobemeasuredatamortisedcostorfairvaluethroughother

comprehensiveincomeismadeonthebasisoffactsandcircumstancesthatexistedonthedateoftransitiontoIndAS.

B. Optional exemptions from retrospective application IndAS101 “First timeAdoptionof IndianAccountingStandards”permitsCompaniesadopting IndAS

for thefirst timetotakecertainexemptionsfromthefull retrospectiveapplicationof IndASduringthetransition.TheCompanyhasaccordinglyontransitiontoIndASavailedthefollowingkeyexemptions:(i) Fair value as deemed cost for items of property, plant and equipment TheCompanyhaselectedtotreatfairvalueasdeemedcostforcertainitemsofitsproperty,plant

andequipment.(ii) Fair value as deemed cost for investments in subsidiaries, associates and joint ventures TheCompanydoesnothaveanysubsidiaries,associatesandjointventurescompany.


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(iii) Designation of previously recognized financial instruments UnderIndAS109“FinancialInstruments”,at initialrecognitionofafinancialasset,anentitymay

makeanirrevocableelectiontopresentsubsequentchangesinfairvalueofaninvestmentinequityinstrumentinothercomprehensiveincome.

IndAS101“FirsttimeAdoptionofIndianAccountingStandards”allowssuchdesignationofpreviouslyrecognizedfinancialassetsas“fairvaluethroughothercomprehensiveincome”onthebasisoffactsandcircumstancesthatexistedatthedateoftransitiontoIndAS.

Accordingly,theCompanyhasdesignateditsinvestmentsinequityinstrumentsatfairvaluethroughothercomprehensive incomeon thebasisof factsandcircumstances thatexistedat thedateoftransitiontoIndAS.

37. PreviousYear’sfigureshavebeenregroupedandrearrangewherevernecessary.

For B. N. Kedia & Co.Chartered Accountants For Inanna Fashion and Trends LimitedFRN: 001652N

(CA S.K.Kedia) Natwar Sureka Manju SurekaPartner Managing Director Whole Time DirectorMembership No.: 052579

Place: MumbaiDate: 30/05/2018


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Form No. MGT-11PROXY FORM

[Pursuant to section 105(6) of the Companies Act, 2013 and Rule 19(3) of the Companies (Management and Administration) Rules, 2014]

25th Annual General MeetingName of the Member(s)RegisteredAddressE-mailId FolioNo/ClientID DPID

I/we,beingthemember(s)ofsharesoftheabovenamedcompany,herebyappoint:Name: E-mailIdAddress:Signature , or failing him

Name: E-mailIdAddress:Signature , or failing himName: E-mailIdAddress:Signature , or failing him

Asmy/ourProxytoattendandvote(onapoll)forme/usandonmy/ourbehalfatthe25thAnnualGeneralMeetingoftheCompanytobeheldonFriday,28thSeptember,2018at11.00amatFMBanquet,MiniHall,8/B,UdyogNagar,KamathClubLane,OffS.V.Road,GoregaonWest,Mumbai400062andatanyadjournmentthereofinrespectofsuchresolutionsasareindicated below:

ResolutionNo. Resolutions VoteOrdinary Business For Against Abstain1. ConsiderandadopttheAuditedFinancialStatementsfortheyear

ended31stMarch,2018togetherwiththeReportsoftheBoardofDirectorsandAuditorsthereon

Special Business2. AppointmentofMr.RishabhSharma(DIN:08051566)asaNon

ExecutiveIndependentDirector3. AppointmentofMs.PurnimaParashar(DIN:07675850)asaNon

ExecutiveIndependentDirector4. AppointmentofMrs.GitaDeviAgarwal.(DIN:08126967)asaNon

ExecutiveIndependentDirector5. AppointmentofMr.RahulSaraf(DIN:01494992)asWhole-time

DirectoroftheCompany.6. IncreaseofAuthorisedShareCapital7. ChangeinmainobjectoftheMemorandumofAssociationofthe

company.8. AmendmentstoclauseIIIBandclauseIIICoftheMemorandumof

Association9. Change of name of the company10. ReclassificationofPromotersandToNotifytheChangeinPromotors&

Key Managerial Persons of the Company11. RatificationandApprovalofUtilisationofproceedsreceivedfromissue

of equity shares of the Company on Preferential Basis

Signed this ___________day of ________2018

SignatureofProxyHolder:………………SignatureofMember(s):……….…SignatureofShareholderacrosstherevenuestamp

Note:

1. ThisformofproxyinordertobeeffectiveshouldbedulycompletedanddepositedatRegisteredOffice,notlessthan48hoursbeforethecommencementoftheAnnualGeneralMeeting.

2. Theproxyneednotbeamemberofthecompany

AffixRs.1/-

RevenueStamp

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Inanna Fashion and Trends Limited (Formerly known as Frontline Business Solutions Limited)

CIN:L17200MH1994PLC076018RegisteredOffice:103,HubtownSolaris,NSPhadkeMargAndheri(East),Mumbai400069

ATTENDANCE SLIP

(To be presented at the entrance)

FolioNo.:________________DPIDNo.:_______________ClientI.D.No.:_________________

No.ofsharesheld:____________________

I/Wehereby recordmy/ourpresenceat theTwenty-FifthAnnualGeneralMeetingof theCompany onFriday,September28,2018at11.00amatFMBanquet,MiniHall,8/B,UdyogNagar,KamathClubLane,OffS.V.Road,GoregaonWest,Mumbai400062

Name of the Member: ____________________________________ Signature _____________

Name of the Proxy holder: _________________________________ Signature _____________

NOTE:Member/jointmember/proxiesarerequestedtobringthisslipwiththemandhanditoverattheentrance.Duplicateslipswillnotbeissuedattheentranceofthevenue.

-------------------------------------------------------------------------------------------------------------------------------------------

EVSN (Electronic Voting Event Number

USER ID PASSWORD/PIN

180906024

Note: E-votingperiod:25thSeptember,2018at9.00a.m.ISTandendson27thSeptember,2018at05.00p.m.IST. Ifyouhaveanyqueryregardinge-votingPassword/PIN,[email protected]

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Route Map for the Annual General Meeting Venue

Venue : FMBanquet,MiniHall,8/B,UdyogNagar,KamathClubLane,OffS.V.Road,GoregaonWest,Mumbai400062

Day and Date : Friday, 28th September, 2018

Time: 11.00AM

FM Banquet

Grand Blossom

Al Falah Education Trust

Goregaon Mulund link Rd

SVC co-operative Bank Ltd

Asian Paints

The Empire Banquet

If undelivered, please return to :

Inanna Fashion and Trends Limited 103, Hubtown Solaris, N S PhadkeMarg Andheri(East),Mumbai400069

BOOK-POST

PrintedBy:D

JMediaprint&

LogisticsLtd.9323185444/[email protected]

inanna fashion and trends limited - bombay stock exchange · 2018-10-16 · notice is hereby given...

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