AR 2022-23

Annual Report
2022-23
Beyond FinAnciAl SeRviceS

Building
Better lives
IIFL Samasta Finance Limited
index
04 08 30
1 Corporate
Overview
2 Statutory
Reports
02 Beyond Financial Services. 22 Physical Capital 46 Management

Building Better Lives. 24 Intellectual Capital Discussion and Analysis
04 FY 2022-23 Scorecard 26 Human Capital 58 Board’s Report
06 Lineage with IIFL Finance 30 Social and Relationship
08 About IIFL Samasta Finance Capital
10 Diversified Product Portfolio 36 Stakeholder Engagement
38 Natural Capital
3
14 MD’s Communique Financial
16 Strategizing for the Future 40 Robust Governance
Structure
Statements
18 Value Creation Model 91-192
44 Awards and Recognitions
20 Financial Capital
45 Corporate Information
For more investor-related information, please visit:

investor information
https://iiflsamasta.com/investor-relations/
CIN U65191KA1995PLC057884
BSE Code 973128 Or, simply just scan this QR code:
AGM Date July 27, 2023
110/3, Lalbagh Main Road, Krishnappa
AGM Venue Layout, Bengaluru-560027
Karnataka, India
disclaimer: This document contains statements about expected future events and financials of IIFL Samasta Finance Limited (‘The Company’), which
are forward-looking. By their nature, forward-looking statements require the Company to make assumptions and are subject to inherent risks and
uncertainties. There is a significant risk that the assumptions, predictions, and other forward-looking statements may not prove to be accurate. Readers
are cautioned not to place undue reliance on forward-looking statements as several factors could cause assumptions, actual future results and events
to differ materially from those expressed in the forward-looking statements. Accordingly, this document is subject to the disclaimer and qualified in
its entirety by the assumptions, qualifications and risk factors referred to in the Management Discussion and Analysis section of this Annual Report.
About the report
Basic of reporting reporting Principles and Framework

We are pleased to present our maiden Integrated Report The financial information presented in this report is in line
<IR> for the year FY 2022-23. This report serves as a key with the requirements of:
communication document intended for all our stakeholders.
The Companies Act, 2013 (including the rules made
It provides comprehensive insights into our operational
thereunder)
and financial performance, as well as its impact on our
strategic objectives and our ability to generate sustainable The Companies (Indian Accounting Standards) Rules,
value. We are committed to continually enhancing this 2015
report by incorporating additional elements in the future, The Securities and Exchange Board of India (Listing
maintaining our dedication to building trust and fostering Obligations and Disclosure Requirements) Regulations,
transparency with all our stakeholders. 2015
The Report has been prepared in accordance with the

Approach to reporting
<IR> framework prescribed by the International Integrated
During the course of FY 2022-23, IIFL Samasta Finance Reporting Council (IIRC) and United Nations Sustainable
Limited (referred to as 'the Company' or 'we') made a Development Goals (UN SDGs).
proactive choice to embrace Integrated Reporting <IR>.
With the unveiling of this report, we aim to provide our target Audience
stakeholders with a comprehensive understanding of
our integrated value-creation process, which is based The intended recipients of this Integrated Report <IR>
on the six capitals framework aligned with the principles typically comprise various stakeholders, including
established by the International Integrated Reporting customers, investors, employees, communities,
Council (IIRC). These capitals encompass both financial lenders, regulatory bodies, and the general public.
and non-financial forms, including Physical, Intellectual, These stakeholders demonstrate a keen interest in the
Human, Social, Relationship, and Natural capital. Company's financial and non-financial performance,
overarching strategy, potential risks and opportunities,
as well as its future prospects. They also prioritize
reporting scope and Boundary
transparency, accountability, and assurance that the
The reporting period for this Integrated Report is from April Company operates in an ethical and sustainable manner.
1, 2022 to March 31, 2023. It includes an overview of our Accordingly, the Annual Report should adopt a clear,
operations, business segments and key focus strategies. succinct, and easily understandable writing style, ensuring
the provision of pertinent and dependable information
that meets the diverse requirements of its target audience.
leveraging three strategies for Optimising Our Future
1 2 2
Expanding the Strengthening the Optimising capital
product offerings market position allocation
read more on Pages 16-19

BeyOnd Financial
ServiceS.
Building
Better
LIVES.
At iiFl samasta Finance, we go beyond
the boundaries of traditional financial
services in our commitment to enhancing
lives. Our overarching theme, ‘Beyond
Financial Services. Building Better Lives.’,
encapsulates our steadfast dedication to
effecting holistic and enduring change,
surpassing the realm of mere transactions.
We firmly believe that genuine progress lies in equipping
individuals and communities with the necessary tools and
resources to thrive. Our services are designed to uplift society
and empower individuals, enabling them to unleash their
full potential. By extending access to financial services to
underserved populations and promoting financial inclusion,
as well as supporting livelihood enrichment and empowering
rural women communities, we are fully committed to making a
meaningful and lasting impact on people's lives.
Furthermore, we recognize the vital importance of sustainable

development and our responsibility to safeguard the environment
for future generations. Our comprehensive approach seamlessly
integrates sustainability principles into our operations, ensuring
that our initiatives generate positive outcomes for both people
and the planet.
Annual Report 2022-23
2
Corporate Overview Statutory Reports Financial Statements

3
FY 2022-23 scorecard
Key Business Metrics

Our stronghold in the market reflects through the businesses we do while
maintaining trust with our customers
Facilitating Empowering our Helping our customers to Adding value through our
customers to realise their dream of service to the lives of
Financial
inclusion enrich their Owning a Rural Women
for our customers livelihoods House Community
Operational Highlights
Our pan-India reach, diversified product offerings, advanced digital platform, and robust workforce
help us to steadfast our operational credibility
Branches Presence in the Country Happy Employees
1,267 19 states 13,287

New Products Launched Total Rural and Semi-Urban Customers
1 2.3 Million
Financial Highlights
Our financial figures are the testimonial of our prudent performance, reflecting
our business excellence
Assets Under Management Total Income Profit After Tax
102.52 Billion `17.54 Billion `1.28 Billion

GNPA Return on Equity
2.12% 11.43%
4
sustainability Highlights
As a business, we remain steadfast in our commitment to sustainability, ensuring that our efforts
serve as a testament to our standing as a responsible and sustainable entity.
Invested in CSR Activities Lives Benefited Trees Planted
` 0.02 Billion 44,185 1,450

5
lineage with iiFl Finance
expanding HOrizOnS OF iMpact
Incorporated in 1995, IIFL Finance as a part of the prestigious iiFl group,

we hold immense pride in doing business
limited strives to work towards the
within india’s changing financial landscape.
mission of providing easy-to-avail We are committed to foster a lasting legacy
loans with a core vision: to become in our field and positioning ourselves as
‘the country’s most respected the leading microfinance institution in the
country.
financial services company’. IIFL
Finance limited has over two-and-
a-half decades of experience and
excellence in customer service.
vision
iiFl Finance provides a wide suite To be the most respected
financial services company
of products and services to meet
in India. Not necessarily the
the diverse financial needs of largest or most profitable.
our customers, from retail and
institutional clients to micro, small
and medium enterprises.

6
core values
Our core values serve as a moral compass in all our activities. Fairness, Integrity, and Transparency – FIT – is
the driving force behind all we do at IIFL Finance. We work with people who fit into our professional ethos. It is
our constant endeavor to create sustainable value for all our stakeholders. We are resolute in the observance
of these values and will let go of any growth opportunities that deem unfit.
FAirness
F integritY
i trAnsPArencY
t
Fairness in our transactions Integrity and honesty of the Transparency in all our
with all stakeholders, utmost nature, in the letter, in dealings with stakeholders,
including employees, spirit, and in all our dealings media, investors, and the
customers, communities, with people, internal or public at large
regulators, Government, external
investors, and vendors, bereft
of fear or favor
Assets Under Management Total Income (Consolidated) Profit After Tax (Consolidated) Branches
` 646.38 Billion ` 84.5 Billion ` 16.4 Billion 4,267
Employees GNPA (Consolidated) Return on Equity
33,910 1.8% 19.9%

7
About iiFl samasta Finance
tranSFOrMing liveS tHrOugH Financial ServiceS
iiFl samasta Finance limited the company underwent a rebranding

process, transitioning from Samasta
(hereinafter referred to as ‘IIFL
Microfinance limited to iiFl Samasta
Samasta’, or ‘ISFL’, or ‘We’, or ‘the Finance limited, to better align its
Company’), a prominent entity identity while remaining committed to
within the iiFl group, is guided its core mission of serving marginalized
communities. With a wide range of loans
by visionary leaders committed
tailored for underserved individuals who
to driving women’s economic lack access to traditional banking services,
empowerment. Established in iiFl Samasta operates across the country,
March 2008, the company has effectively providing responsible financial
products and services that act as catalysts
become a prominent name in
for sustainable and inclusive economic
providing innovative and affordable growth. going beyond financial assistance,
financial products for women in the company has earned recognition for
underserved segments of society, its provision of non-financial services,
including life and hospicash insurance,
both in rural and semi-urban areas.
along with valuable financial counseling,
ensuring comprehensive support for its
valued customers.

8
vision
To be the chosen financial products and
services provider backed by technology and
passionate human capital
Mission
To bridge the gap between our customers’
ambition and achievement by providing
topnotch financial products and services
values
• Integrity Always
• Respect for Individuals and

Communities
• Excellence in Everything We Do

9
Diversified Product Portfolio
eMpOWering Financial WellBeing
Our diversified product portfolio signifies our commitment to meeting the

financial needs of underserved communities, driving economic empowerment,
and fostering financial resilience. By offering a range of products and services
tailored to the diversified demands of its customers, we are positively impacting
the lives of individuals and contributing to the overall development of the
communities we serve.
IIFL Samasta plays a crucial role in empowering individuals and enriching communities by addressing financial challenges
faced by underprivileged individuals. We bridge the gap between ambition and achievement by providing financial support
tailored to the specific needs of our clients. We are dedicated to supporting low-income women, encompassing cultivators,
agricultural laborers, vegetable and flower vendors, cloth traders, tailors, craftsmen, as well as household and industrial
workers. By assessing their income-generating potential and reliability, we determine the tailored financial assistance they
need. To cater to our diverse customer base, we provide a comprehensive range of loan products. These include Income
Generation Loans, Dairy Cattle Loans, Product Loans, MSME Loans, Education Loans, Top-up Loans, and Insurance. Each
product is meticulously designed to address specific financial needs and facilitate our clients' path to economic empowerment.
samriddhi `
samvardhana
(Income Generating Loan - IGL) (Top-up Loan)
Samriddhi empowers women customers by providing Samvardhana supports customers in enhancing their
access to capital, facilitating the establishment and financial capabilities by offering top-up loans. These
expansion of their micro enterprises. This versatile loans are exclusively provided to Income Generating
loan product addresses various financial needs such Loan (IGL) customers with a commendable repayment
as capital requirements, working capital growth, and history. By being able to access more cash through
stock purchases, among others. top-up loans, customers can amplify their income
generation activities and further augment their financial
prospects.
Loan size Loan size
` 10,000-70,000 ` 10,000-35,000
sampark Advantage sampark

(Loan Against Property) (Loan Against Property)
Sampark Advantage is meticulously crafted to bolster Sampark is a loan product aimed at bolstering the
customers’ business capabilities and facilitate retail business capabilities of self-employed and salaried
financing by utilizing their property as collateral. individuals in rural and semi-urban areas. It offers
This loan product offers a competitive interest rate financial assistance to improve living conditions and
and ensures prompt and secure lending, thereby enhance financial stability, with competitive interest
fostering the enhancement of business capabilities for rates and collateral requirements.
customers residing in rural and semi-urban areas.
Loan size Loan size
` 0.6-5 lakhs ` 3-15 lakhs

10
swabhimaan surabhi
(Micro Enterprise Loan) (Dairy Cattle Loan)
Swabhimaan is a loan product that offers timely and Surabhi is a specialized loan product designed to
affordable lending solutions to micro-enterprises support women in fulfilling their dairy development
without any collateral requirement. This unique loan needs, including the procurement of new cattle. This
product caters to the expansion needs of customers inclusive loan offering includes insurance coverage to
and is supported by the net cash flow at a higher, but mitigate risks associated with dairy farming.
affordable interest rate.
Loan size Loan size
` 60,000-5 lakhs ` 60,000-90,000
sajal suvidha
(Sanitation and Jal loans for Rural India) (Product Loans)
Sajal empowers customers with affordable credit Suvidha enriches customers’ lifestyles through loans
for securing essential life necessities like sanitation dedicated to the acquisition of daily-use items like cook
and hygiene. This collateral-free loan, ranging from stoves, water purifiers, solar lights, mobile phones, and
₹4,000 to ₹30,000, is exclusively offered to existing IGL other products enhancing their way of life. This loan
customers. It can be utilized for various purposes, such product is designed to bring convenience and elevate
as setting up filtration units, tap water connections, the overall quality of life for our valued customers.
water storage facilities, toilet construction/
improvement, and other vital amenities.
Loan size Loan size
` 10,000-35,000 ` 2,000-25,000
11
Our success stories
inSpiring grOWtH and SuStainaBility
state Bihar
Branch sakri
name of the customer shobha devi
loan type Micro-enterprise loan
loan Amount ` 50,000
IIFL Samasta's commitment to fostering exponential growth and

empowering its partners is exemplified through the inspiring story
of an extraordinary entrepreneur from the Sakri branch. Through the
provision of a first-cycle loan, IIFL Samasta enabled this ambitious
woman to expand her small general store and turn it into a thriving
cosmetic store. The loan acted as a pivotal springboard for her
business transformation, allowing her to diversify her inventory and
attract a broader customer base. This success story stands as a
testament to the significant impact of IIFL Samasta in empowering
individuals and improving their financial stability. The entrepreneur
is grateful for the support and dedication shown by IIFL Samasta,
which has played a vital role in her journey towards success.
state Kerala
Branch Aluva
name of the customer sheela
Sheela, a resident of Vazhakulam, Aluva, experienced a remarkable

transformation in her life with the support of IIFL Samasta.
Recognizing Sheela’s potential, IIFL Samasta provided her with
the necessary financial support to expand her tailoring business.
With the assistance of IIFL Samasta, Sheela was able to invest
in modern equipment and machinery, significantly increasing her
production capacity and creating employment opportunities for
others. Sheela successfully diversified her offerings, catering to
market demand by accepting orders from large shops, thereby
ensuring the sustainability of her business. The financial support
and unwavering belief from IIFL Samasta played a pivotal role in
transforming Sheela’s life, empowering her to achieve her dreams
and secure the well-being of her family.

12
state Karnataka
Branch Magadi road
name of the customer Mrs. Girijambika
Since 2014, Mrs. Girijambika has been a valued customer of IIFL

Samasta. Initially, she operated a small vegetable shop on the
roadside near Mysore Road Kavika Layout. However, after learning
about our Company, she approached us for financial assistance.
In 2014, she obtained a loan of ₹ 15,000 from IIFL Samasta, which
allowed her to establish a business in a small shop.
Today, Girijambika is not only a satisfied customer but also a

successful entrepreneur. She is delighted with the progress she
has made, and her loan repayments have been consistently on
time. Her success has motivated her to seek further support
from IIFL Samasta, as she now plans to expand her business and
aims to secure a loan amount of ₹ 1,00,000. Girijambika’s journey
exemplifies the positive impact of IIFL Samasta in empowering
individuals and supporting their entrepreneurial aspirations.
state Odisha
Branch rasgovindpur
name of the customer Mrs. Sujata Pradhan
loan Amount ` 1.10 lakhs
Mrs. Sujata Pradhan, a resident of Luhapada village in Balasore

district, Odisha, has experienced a remarkable transformation
in her life with the support of IIFL Samasta. As her husband
worked as a daily wage laborer, managing household expenses
became challenging. Determined to contribute to her family’s
financial stability and provide quality education for her children,
Mrs. Pradhan decided to start a small grocery store in her locality.
With the financial assistance of IIFL Samasta, she received a loan
of ₹ 1.10 lakhs in three instalments till 2022, which enabled her to
successfully establish the shop. Over time, Mrs. Pradhan expanded
her business, diversified her product range, and earned ₹ 900 –
1,000 per day. Her inspiring journey stands as a testament to the
transformative impact of IIFL Samasta in empowering individuals
and promoting financial independence.

13
MD’s Communique
We are delighted to announce that we crossed a

remarkable milestone of 2 Million customers during
the year, and by the end of Fy 2022-23, our customer
count stood at an impressive 2.3 Million.

14
dear stakeholders,
As we reflect on the achievements and milestones of FY begins to bounce back, we foresee a surge in credit demand.
2022-23, it fills us with immense pride and gratitude for the We are confident that our well-established position and
journey we have embarked upon together. This past year robust infrastructure will allow us to leverage this potential
was truly exceptional, as it not only demonstrated our upswing effectively.
unwavering resilience but also showcased our commitment To cater to the evolving needs of our customers, we have
to growth and customer-centric innovation. developed strategic plans to introduce new products and
One of our most notable accomplishments was the services. In the upcoming year, we will be launching
significant expansion of our customer base. We are consumer loans, two-wheeler loans, and other offerings
delighted to announce that we crossed a remarkable that align with our mission of providing a comprehensive
milestone of 2 Million customers during the year, and by the suite of financial solutions tailored to our customers' unique
end of FY 2022-23, our customer count stood at an requirements. These additions to our product portfolio will
impressive 2.3 Million. This represents a remarkable 63% enable us to better serve our customers and solidify our
increase in our portfolio, growing from ₹ 6,483 Crore to position as a trusted partner in their financial journey.
₹ 10,552 Crore. Such remarkable growth exemplifies the As we continue our growth trajectory, we remain committed
trust our customers have placed in us and our ability to to investing in technology, our talented workforce, and
meet their financial needs effectively. innovative products. By channeling our resources into these
Furthermore, our strategic diversification efforts yielded key areas, we will not only enhance our operational
outstanding results. In particular, our Retail vertical efficiency but also drive sustained growth in the years to
experienced remarkable success by surpassing ₹ 1,000 come. Our focus on technology will enable us to remain at
Crore with a growth rate of 115%. Additionally, our Dairy and the forefront of the industry, empowering us to deliver
Cattle loan vertical achieved a phenomenal growth rate of cutting-edge solutions to our customers.
147%, exceeding ₹ 430 Crore in the portfolio. These None of these achievements would have been possible
achievements affirm our ability to identify new market without the dedication and hard work of our exceptional
opportunities and tailor our offerings to meet the evolving team. I would like to express my deepest gratitude to each
needs of our diverse customer base. and every member of our organization. It is your unwavering
In our relentless pursuit of financial inclusion, we expanded commitment and tireless efforts that have propelled us to
our operations to Arunachal Pradesh and Andhra Pradesh. new heights. Your perseverance in the face of challenges,
By extending our reach to these regions, we have been able your passion for innovation, and your unwavering dedication
to welcome new customers into our fold and empower to our core values have been the bedrock of our success.
them with the financial resources they need to thrive. I would also like to extend my heartfelt appreciation to our
Importantly, all our expansions and growth initiatives were customers. Your trust in us has been instrumental in our
conducted in strict adherence to the updated RBI guidelines growth and success. We remain committed to providing
for NBFC MFIs, reflecting our commitment to regulatory you with the highest level of service and tailored financial
compliance and responsible lending practices. solutions to meet your needs. Your loyalty inspires us to
FY 2022-23 was also characterized by significant continually raise the bar and exceed your expectations.
technological advancements. We successfully introduced The accomplishments of the past year are a testament to
E-sign, a cutting-edge electronic signature system, and the dedication of our employees, the trust of our customers,
implemented various system-level upgrades. These and the continued support from our stakeholders. As the
technological enhancements have streamlined our Managing Director, I extend my deepest gratitude. With your
processes, enabling us to provide our customers with a support, we are looking forward to forging ahead in our
more efficient and seamless experience. By embracing mission of financial inclusion and setting new benchmarks
technology, we have not only improved our operational in FY 2023-24.
efficiency but also positioned ourselves at the forefront of
digital transformation in the financial sector. Best regards,
Looking ahead to FY 2023-24, we are filled with enthusiasm Venkatesh N.
and anticipation for the journey that lies before us. As the Managing Director
effects of the pandemic gradually recede and the economy

15
strategising for the Future
SuStainaBle StrategieS FOr Future SucceSS
At IIFL Samasta, we are devoted to refining our strategies to is another pivotal component of our growth strategy, as
drive growth and deliver value to stakeholders. An essential we seek to enter new markets and extend our footprint
element of our approach is expanding product offerings across multiple states, expanding our reach and impact
to diversify our loan portfolio, meeting evolving customer on underserved communities. In line with our unwavering
demands. Through the introduction of new and innovative commitment to efficient capital management, we prioritize
financial products, we strive to maintain our competitive optimizing capital allocation to drive sustainable growth. We
advantage and uphold our position as a prominent player evaluate investment opportunities, allocate resources to
in the microfinance sector. Additionally, we are committed high-potential areas, and continually monitor and assess the
to strengthening our market presence through strategic performance of our portfolio to ensure optimal outcomes.
partnerships and collaborations. Geographical expansion
#1 expanding Our product portfolio

strategy
To expand our product portfolio strategy, we mainly focus partnerships enable us to tap into expertise, resources, and
towards continuous innovation and customer-centric distribution channels, accelerating our ability to bring new
solutions. We are committed to offering a comprehensive products to market and expand our reach.
range of financial products and services that cater to the
Additionally, we continuously invest in research and
evolving needs of our customers.
development to stay ahead of industry trends and emerging
Through extensive market research and analysis, we technologies. This proactive approach ensures that our
identify gaps and opportunities in the market, allowing us to product portfolio remains relevant and competitive in a
develop and introduce new products that address specific rapidly evolving financial landscape.
customer requirements. We leverage technology and data-
driven insights to design innovative solutions that provide
convenience, flexibility, and value to our customers. New Products Launched
We actively collaborate with strategic partners to enhance

our product offerings and access new markets. These 1

16
#2 Strengthening the Market position

strategy
Strengthening our market position is a core strategy at commitment to reaching out to more individuals and
IIFL Samasta Finance Limited, and we have taken several providing them with access to our comprehensive range of
initiatives to achieve this goal. One key aspect is branch financial solutions.
expansion, and in FY 2022-23, we successfully added
460 new branches to our network, extending our presence New Customers Onboarded
across the country. This expansion allows us to reach new
markets and serve a larger customer base.
11.52 lakhs
New Branches Added
To facilitate our market expansion efforts, we leverage
460 the power of ML-based data analysis. By harnessing

the insights generated through advanced analytics, we
can identify market opportunities with greater accuracy
To support our growing operations, we have prioritized and make informed decisions to expand our operations
strengthening our human resources. In FY 2022-23, we efficiently.
hired 14,225 talented individuals who bring diverse skills
and expertise to our organization. By investing in our
workforce, we enhance our ability to deliver exceptional
Ml-Based data Analytics
service and meet the evolving needs of our customers. Utilization for Market Research and Expansion
In line with our customer-centric approach, we have

New Employees Hired
enhanced our customer support capabilities. We have
14,225 established an in-house contact center to ensure timely

resolution and comprehensive assistance for any
customer queries or concerns. This dedicated support
We are proud to have added 11.52 lakhs new customers system reinforces our commitment to delivering excellent
in FY 2022-23. This substantial increase reflects our customer service at every touchpoint.
#3 Optimizing capital allocation

strategy
At IIFL Samasta Finance Limited, efficient capital allocation fiscal year, aiming to raise funds of a similar magnitude. In
serves as a pivotal strategy, forming the foundation for our the coming years, our focus will be on diversifying funding
sustainable growth and value creation for stakeholders. sources through engagements with Development Financial
We recognize the significance of deploying our capital Institutions (DFIs) and retail investors. We are currently in
efficiently, and we have implemented a rigorous process discussions with several DFIs and retail investors to explore
to evaluate investment opportunities. This entails thorough funding opportunities through various structures.
assessments of risk and reward profiles, informed by data-
driven insights and robust financial models. By allocating Fund Raised
resources to high-potential areas that align with our
business objectives and risk appetite, we ensure prudent
capital deployment.
` 7,400 Crore
To support our capital allocation objectives, our treasury In anticipation of the upcoming FY 2023-24, we have set an
fund-raising team has devised a well-planned funding ambitious target of raising funds between ₹ 11,000 - ₹ 11,500
strategy. We are actively diversifying our funding sources to Crore. This planned capital infusion will fuel our projected
fuel business growth and strengthen our balance sheet. In business growth, allowing us to seize market opportunities,
FY 2022-23, we successfully added five new lenders, raising expand operations, and enhance our capabilities.
a total of ₹ 7,400 Crore. We will continue to engage with
existing lenders and seek new partnerships in the current

17
value creation Model
BeyOnd prOFitS - creating SuStainaBle value
input KPis value creation

FinAnciAl cAPitAl
Amalgamation of equity and Total equity funding : ` 2 Billion Our Robust Diversified Offerings
debt funding to create
adequate financial assets to Total debt funding : ` 52.20 Billion
support our business samriddhi samvardhana
` (Top-up Loan)
(income generating
Loan - IGL)
PHYsicAl cAPitAl
The wide reach of our branch Total branch network : 1,267 Input KPIs Value Creation Output sajal
suvidha
network to address maximum (Product Loans)
SDG Linked (sanitation and
number of customers at a New branches added : 460 Jal loans for
time in FY 2022-23 Rural India)
Presence across : 19 states
intellectuAl cAPitAl Supporting financial

inclusion and women
empowerment
We harness the potential of Strengthening the cybersecurity
our technology-backed domain 1
infrastructure, complemented Prudent credit
by our in-depth market Conducting regular risk Providing
underwriting, robust
knowledge, extensive Assessment Programmes
risk management 5 2 affordable
Our microfinance
experience, and proficient Enhancing the network security framework and asset
credit underwriting. This quality
Focus credit
Protocols
synergy empowers us to
efficiently process loans, Conducting regular employee 4 3
effectively manage risks, and Awareness and training on
provide exemplary customer information security matters Strengthening our Expanding geographical
service digital infrastructure reach across India
HuMAn cAPitAl
An efficient work force Total training hours : 880 Hours

enabling our credibility to provided in FY 2022-23
stakeholders engaged
provide services with better
prospects gurukul training module
for area and divisional managers
sOciAl And relAtiOnsHiP cAPitAl Customers investors/ employees

Shareholders
Strong relationship with the Amount invested : ` 0.023 Billion
stakeholders to create an towards CSR
ecosystem of trust within and
outside the organization No. of CSR activities : 10
undertaken communities/ government/ Business
ngOs regulators partners/
Suppliers
nAturAl cAPitAl
lenders
Our judicious consumption No. of initiatives :4
of the resources for the undertaken during
prosperity of business and FY 2022-23
steps to environmental
conservation Project Paryavaran
– Tree plantation initiative

18
Output sdg linked

FinAnciAl cAPitAl
Revenue: ` 17.46 Billion
EBITDA: ` 7.59 Billion
swabhimaan PAT: ` 1.28 Billion

surabhi
(Micro enterprise (dairy cattle Provision Coverage
Loan) Loan) Ration: 62.03%
PHYsicAl cAPitAl
sampark sampark Total customer base:
(loan Against Advantage 2.34 Million
Property) (loan Against No. of customer added in FY
Property) 2022-23: 1.15 Million
strategic imperatives intellectuAl cAPitAl

Deployed platforms
expanding the Product Offerings MAvrc, ZOHO
To strengthen inter-
Diversifying our product portfolio by introducing
departmental
innovative offerings, targeting untapped market
communication
segments, and leveraging customer insights to
meet evolving needs and capture new growth Samasta Sakhi
opportunities App for the customers to
get the updates regarding
loans and repayments
strengthening the Market Position

Implementing a comprehensive market penetration HuMAn cAPitAl
strategy that includes aggressive marketing Total workforce: 13,287
campaigns, strategic partnerships, and continuous
product enhancements to increase brand visibility, New employees
capture a larger market share, and solidify our onboarded: 14,225
position as a market leader
Optimising capital Allocation

Employing a disciplined approach to capital
allocation by conducting thorough financial analysis, sOciAl And relAtiOnsHiP cAPitAl
prioritizing investments with the highest potential for
Lives benefited through CSR
returns, and actively managing our capital structure
activities: 44,185
to enhance profitability, maximize efficiency, and
drive sustainable long-term growth
Prudent governance
Establishing robust governance frameworks,
implementing rigorous risk management practices, and
ensuring compliance with regulatory requirements to
foster transparency, integrity, and accountability across
all levels of the organization, safeguarding the interests
nAturAl cAPitAl
of stakeholders and maintaining a solid foundation for Trees planted under project
sustainable business growth Paryavaran: 1,450

19
Financial capital
StrengtHening Financial FOundatiOnS
With a steadfast commitment to financial Effectively understanding and fulfilling customers’ financial
needs and maintaining strong customer relationships have
excellence, at iiFl Samasta Finance limited, helped us achieve a notable increase in loan disbursement
we have demonstrated consistent growth by 79%. Our vigilant cost management and focus on
and solidified our leadership position in operational efficiencies have resulted in a commendable
cost-to-income ratio of 47% for FY 2022-23.
the industry. Our financial performance
Also, our Net Interest Margin experienced a reduction of
remains robust, as evidenced by the 3.18%. This outcome reflects the effectiveness of our
remarkable income growth of 72% in the risk management system, robust credit policy, and strong
underwriting skills, as evidenced by the high quality of our
current year. We take pride in maintaining
assets and a low Gross Non-Performing Assets (GNPA) ratio
a healthy and strong balance sheet, which of 2.12%. Furthermore, as responsible lenders, we increased
serves as a testament to our disciplined our specific provision coverage to 62.03%.
approach to financial management. as we Our commitment to delivering strong growth is evident in

our financial performance. We have achieved a significant
continue to drive sustainable growth, our
growth in Profit After Tax by 153% and witnessed an
focus on optimizing capital allocation and increase in Return on Equity to 11.43%. These results
maximizing returns for our stakeholders highlight our dedication to generating sustainable earnings
and maximizing returns for our stakeholders.
remains unwavering. With our strong
financial foundation, we are well-equipped
to navigate the dynamic market landscape
and deliver value to our valued customers
and investors.
income (` in Billion) Net Profit (` in Billion)
FY 2022-23 17.54 FY 2022-23 1.28
FY 2021-22 10.17 FY 2021-22 0.50
FY 2020-21 7.02 FY 2020-21 0.66
FY 2019-20 5.82 FY 2019-20 1.07
FY 2018-19 3.40 FY 2018-19 0.53

20
loan Assets under Management (` in Billion) Return on Equity (%)
FY 2022-23 105.52 FY 2022-23 11.43
FY 2021-22 64.84 FY 2021-22 6.32
FY 2020-21 47.95 FY 2020-21 11.80
FY 2019-20 34.00 FY 2019-20 29.40
FY 2018-19 22.80 FY 2018-19 29.20
return on Average Assets (%) Capital Adequacy Ratio (CAR) (%)
FY 2022-23 1.68 FY 2022-23 17.14
FY 2021-22 0.94 FY 2021-22 17.83
FY 2020-21 1.90 FY 2020-21 18.54
FY 2019-20 4.80 FY 2019-20 25.80
FY 2018-19 4.00 FY 2018-19 20.50
gross nPA (%) cost of Funds (%)
FY 2022-23 2.12 FY 2022-23 10.52
FY 2021-22 3.07 FY 2021-22 9.96
FY 2020-21 1.82 FY 2020-21 10.42
FY 2019-20 1.50 FY 2019-20 10.74
FY 2018-19 0.30 FY 2018-19 10.19
net interest Margin (%)
FY 2022-23 9.15
FY 2021-22 8.80
FY 2020-21 9.40
FY 2019-20 9.20
FY 2018-19 9.30

21
Physical capital
inveSting in SuStainaBle
develOpMent No. of Branches
(as on March 31, 2023)
Our extensive coverage across india, particularly

in tier 2 and tier 3 regions, empowers us to
effectively deliver our services to the final
destinations. With a specific emphasis on
2
andhra
2
arunachal
17
assam
pradesh pradesh
offering credit solutions primarily in rural areas,
our physical presence plays a crucial role in
fortifying our market position. Furthermore,
it enables us to foster a strong bond with the
customer community and cultivate a trusted
169
Bihar
18
chhattisgarh
3
goa
ecosystem within society. Our overarching
objective is to address the challenges
encountered by marginalized segments, and our
widespread network of branches greatly adjust 38 30 169
spacing, remove justify. gujarat Jharkhand Karnataka
79
in FY2022-23
49
Kerala Madhya
26
Maharashtra
pradesh
460 new branches

that added to our total count of
1,267 113
Odisha
2
puducherry
142
rajasthan
Across
19 states in the country 209

tamil nadu
7
tripura
89
uttar pradesh
Expanded the physical presence in

Andhra Pradesh
Arunachal Pradesh
103
West Bengal

22
arunachal
pradesh
rajasthan
assam
uttar pradesh
Bihar
Jharkhand
gujarat Madhya pradesh West tripura
Bengal
chhattisgarh
Odisha
Maharashtra
puducherry
goa
andhra
pradesh
Karnataka
tamil nadu
Kerala
disclaimer: this map is a generalised illustration only for the ease of the reader to understand the locations and it is not intended to be used for reference
purposes. The representation of political boundaries and the names of geographical features/states do not necessarily reflect the actual position. The
Company or any of its directors, officers or employees, cannot be held responsible for any misuse or misinterpretation of any information or design thereof.
The Company does not warrant or represent any kind of connection to its accuracy or completeness.

23
intellectual capital
intellectual aSSetS FOr SuStainaBle iMpact
in the ever-evolving landscape of finance, technology has opened up a world of possibilities,

providing both financial institutions and consumers with greater accessibility to services.
Keeping pace with this transformative momentum, we have taken significant strides
towards enhancing our organization through technology. With improved digitization, we
have strengthened inter-organizational connectivity, while enhancing our customer support
services to provide better service prospects.
technological adoption
FY 2022-23 has shown significant progress in IT & Strategic flexibility to create both ‘Inbound and Outbound Campaigns’
Implementations. The focus of this year was on introducing without any involvement of the Development team.
Features and Functionalities towards ‘Enhancing Ease of ‘Customer Experience’ is now a notch higher with this
Business’, ‘Improving Operational Efficiency’, ‘Arresting improved facility used by our Operations Team.
possibility of Frauds & Non Compliance’
Penetration of Digital Collections has improved by Leaps
e-Sign has significantly reduced time and cost of and Bounds this year. BBPS, UPI and NACH have taken the
documentation. 100% of disbursements are now driven Retail Cashless collections to about ~70% & Microfinance
through e-sign which has also benefited in taking the to about 3.5 lakhs accounts per month.
organization towards its goal of ‘Going Paperless’.
With rapid business growth and alongside the Field-HO
Redundancy built in through D-sign ensures that there is no
Manpower increase, it became imperative for us bring in
manual documentation even in case of e-sign not happening
higher levels of efficiency and to make our activities “Process
in remote scenarios. Customers benefit by shorter
Dependent. With this objective, we built several applications
Document Execution time frames. They no longer need to
and IT systems to meet the purpose of automating routine
preserve their manual documentation. The same is available
activities through ‘Bots’, ‘Digitization’ and ‘Workflow based
as a link for them to see and use through the Customer App,
approach’ on both Zoho and MAVRC platforms.
‘Samasta Sakhi’
‘Digital Registers’ helped us inch a step closer to our ‘Go-
IT systems were enhanced to handle ‘Co-Lending’ which
Paperless’ and ‘Digitization’ vision of the organization.
opened new tangents in Sourcing of Funds and given us
additional confidence to increase disbursement through MAVRC, our Field Supervisory & Monitoring tool has been
shared funding with partners such as Canara Bank. This is enhanced with Modules for Retail Business - Credit and
also beneficial to customers in the form of more attractive Vigilance teams. Cash Management module connecting the
Interest rates as against direct lending. ‘Cash in hand’ and ‘Cash in Transit’ modules have provided
the visibility on Cash Status in Branch and in transit to
Zoho CRM based Agile Contact Center was developed
Deposit locations.
which has given our Operations team, the much needed

24
introducing Our cashlight approach for

enhanced Business efficiency
at iiFl Samasta, we are spearheading the drive for efficiency through our revolutionary ‘cashlight
approach’. By leveraging innovative digital payment solutions such as upi and aadhar enabled
payment Services, we empower our customers to transact seamlessly and securely.
Through strategic initiatives like business correspondence (BC) point deposits, efficient bank deposit formats, and robust
cash management services, we have successfully transformed our Samasta branches into cashless entities. This not only
minimizes operational risks but also optimizes overall efficiency.
To mitigate cash-carrying risks for our Customer Relationship Officers (CROs), we have established a robust network of
transit BC points. This allows for a direct Customer Cash Drop model, eliminating unnecessary intermediaries and enhancing
security. As a testament to our commitment, we have significantly bolstered our BC network, compared to FY 2021-22.
Security Information and Event Management (SIEM):
Our focus is on enhancing incident response capabilities

by automating the detection and response to security
incidents. Through the implementation of SIEM systems,
we aim to effectively identify and address any potential
security threats.
endpoint Protection, response, and encryption:
We plan to enhance our endpoint protection platforms

(EPP) to offer advanced features such as malware
detection, prevention, response, and encryption. These
measures will ensure the security and integrity of our
endpoints.
Introducing ‘Samasta Sakhi’ – The Ultimate
loan Account companion
single sign-On and identity and Access Management
The ‘Samasta Sakhi’ application serves as a customer- (IAM):
centric app, providing users with the ability to access
To streamline user access management and bolster
loan-related information such as Loan Schedules and
security, we are implementing robust IAM solutions.
Repayment Details. Additionally, it enables users to make
These solutions will enable us to manage user identities,
EMI payments through the application conveniently. IIFL
access rights, and authentication mechanisms efficiently.
Samasta emphasizes a fully digital approach for collection,
Additionally, integrating multi-factor authentication (MFA)
utilizing BBPS and UPI platforms, alongside the inclusion of
will strengthen access controls and mitigate the risk of
a UPI payment option within the ‘Samasta Sakhi’ app.
unauthorized access.
the Future roadmap

Data Loss Prevention (DLP) Solutions:
We have outlined several significant technology integration
initiatives that are going to be implemented in the future In order to safeguard sensitive data, we are deploying
to maintain a stronghold in terms of technological a dedicated DLP solution. This solution will enable us to
advancement within the organization. These initiatives monitor, classify, and protect sensitive information from
aim to strengthen the Company’s security measures and unauthorized access, leakage, or exfiltration.
improve operational efficiency. The key initiatives include:

25
Human capital
peOple-centric apprOacH tO Building Better liveS
With a comprehensive approach to Hr management, we strive to create a positive work

environment, foster talent, and ensure fairness and inclusivity in all our practices. By aligning
our Hr strategies with the organization’s goals and values, we aim to cultivate a motivated
and high-performing workforce that drives our mission forward.
At IIFL Samasta, we believe in nurturing our employees' Ensuring that opportunities for career advancement,
growth, career advancement, and continuous learning. We such as the ICA (Internal Career Advancement)
have established key principles that act as catalysts for program, are accessible to all employees, irrespective
their development: of their backgrounds; thus, promoting fast-track career
Aligning individual goals with organizational objectives, growth and meeting the career aspirations of our
ensuring clarity and focus on achieving desired workforce
outcomes Following pay equity across all grades, functions,
Fostering a culture of continuous learning and age groups, and gender; also regularly benchmark
development by providing employees with immersive ourselves with competitors to maintain external parity.
training programs, real-time simulations, and role plays Herein, specially abled employees receive equal pay
and are recognized for their dedication, contributing to
Customising learning programs in regional languages our diverse workforce
to further enhance clarity on job roles
We embrace Operating in
the spirit of ‘Ubuntu’ 19 states
within our organization 1 union territory
This reflects that we recognize our collective It allows us to hire individuals from diverse
success depends on collaborative efforts. By backgrounds, promoting cultural inclusivity within
fostering a sense of community and shared our workforce.
purpose, we strive to meet organizational goals
together.
Each year, we hire approximately Our leaders also participate in

4,000 individuals from rural coach the coachee
parts of india succession planning programs
Thus, contributing to Government initiatives and

generating employment opportunities for young
rural talent.

26
Safe and Healthy Work environment
We prioritize the well-being of our employees and promote a Preventing Accidents and Promoting Mental Health:
safe work environment. Key measures include:
We provide additional accidental insurance and
grievance redressal medical benefits to our field employees. Furthermore,
we promote mental health awareness and support
All employees have access to an app for raising
employee well-being through various initiatives.
grievances, ensuring their concerns are addressed
promptly and through a structured flow.
employee engagement and communication
We foster a culture of employee engagement and open employee Awareness of sustainability goals
communication through measures that include:
To ensure employee awareness of our sustainability
e-sangam and townhall goals and initiatives, we have an ESG committee and
an annual calendar of awareness initiatives. Employees
Our annual townhall, leadership meets, strategic meets,
are encouraged to participate and contribute to these
and zonal meets provide platforms for interactive
initiatives.
discussions and employee participation.
employee Feedback and recognition

We conduct
Pulse surveys, rewards and recognition programs, and
sankalp Meetings in rajasthan open channels of communication allow employees
and maintain one-on-one communication to provide feedback and receive recognition for their
contributions.
surveys and ideation Fests
We conduct surveys and ideation fests, encouraging

employees to share their ideas and contribute to
decision-making and organizational improvement.

27
o ‘Gaurav’ awards for all quarters were commemorated o We have also launched a series highlighting employee
with the involvement of our Chief Executives from Head success stories. These stories showcase the journeys
Office and Zonal Heads. of individuals who have thrived within the IIFL Samasta
o To foster a culture of appreciation and support within our community. By sharing their career paths, success
organization, we have developed an online appreciation factors, tips, and learnings, we aim to provide guidance
module in our HRMIS. This module enables employees and inspiration to our fellow colleagues.
from various functions to acknowledge and appreciate o In March 2023, we joyfully celebrated the 16th Anniversary
each other for their invaluable contributions towards our of IIFL Samasta, commemorating our remarkable
organizational objectives. journey. Special allowances were granted to branches
o Additionally, we have created multiple badges to further to organize local celebrations, further enhancing the
facilitate the recognition and appreciation process. spirit of togetherness and camaraderie among our
These badges serve as symbols of acknowledgment for employees.
the support received by employees in their day-to-day
work.
talent Management and Succession planning
We have a dedicated Gurukul program that focuses on

developing mid-level leaders. This program, conducted in
collaboration with CMR University, aims to engage team
members and ensure continuity of leadership and key skills
through a well-designed 30-day module spread over 9
months.

28
compliance with labor laws and ethical

employment practices
We prioritize compliance with labor laws and ethical code of conduct

employment practices through the following measures:
We provide all employees with a Code of Conduct,
trackers and Audits promoting ethical behavior and compliance with
Company policies for increased awareness and
To ensure labor law compliance, we conduct internal
adherence.
and external audits and utilize trackers for effective
monitoring.
employee compensation and Benefits
Our employee compensation and benefits approach Retirement Benefits

includes:
Employees are entitled to benefits such as Provident
competitive Pay Fund, Gratuity, and NPS (National Pension Scheme).
We offer attractive salaries and incentives, including Monitoring Hr Performance and driving continuous
milestone-based salary increments, to attract and retain improvement
the best talent in the industry.
We employ defined Key Performance Indicators (KPIs)
Promotions and PMs and parameters for HR process management, ensuring
continuous improvement over time. These KPIs are
Promotions follow a clear policy with defined guidelines
managed through Standard Operating Procedures
based on tenure, competencies, and milestone
(SOPs) reviewed and refined annually.
achievements, ensuring transparency and employee
satisfaction.
employee refreshment
Employee refreshment is an essential aspect of One of our notable initiatives was the organization of
maintaining a vibrant work environment. We understand ‘Champions 2023’, where employees actively participated in
the significance of work-life balance and the need for a variety of sports events. These activities not only served
rejuvenation. To infuse an element of fun into our work as team-building exercises but also fuelled employee
culture, we have introduced exciting games and activities. motivation. Effective communication was facilitated among
We firmly believe that beyond their entertainment value, individuals at all hierarchical levels, fostering stronger bonds
these games contribute to fostering unity and team spirit across the Company. The sports week provided employees
among our employees, which are crucial for the success with an active break from their monotonous routines,
of any organization. Moreover, they instil a renewed sense of keeping them energized and engaged.
determination within the participants.

29
social and relationship capital
Building laSting relatiOnSHipS FOr
cOllective prOSperity
as a socially responsible organization, we prioritize building strong relationships and

partnerships with various stakeholders. through these collaborations, we aim to leverage
our collective resources, knowledge, and networks to address key social challenges and
drive positive change. By actively engaging with and understanding the needs of different
communities, we strive to build trust, promote inclusivity, and empower individuals and
groups to achieve their full potential.
By implementing these initiatives, IIFL Samasta aims to contribute to the overall development of livestock, improving
productivity, and empowering rural communities engaged in animal husbandry.
Our Company's CSR approach is deeply rooted in our to overcome challenging circumstances and work towards
philosophy, guided by our CSR Policy. IIFL Samasta sustainable livelihoods.
prioritizes sustainable programs that create a meaningful
Our Company's CSR initiatives are guided by principles
impact on underprivileged communities. Our initiatives
of honesty, social impact, strengthening relationships
span areas such as livestock development, girls' education,
with communities, and employee engagement. They
financial literacy, youth skill development, health,
emphasize innovation, collaboration, transparency, and
environment, and rural women's micro-entrepreneurship.
accountability in their CSR projects. These values are
To address social and community impacts associated with woven into their initiatives to foster sustainable growth
our operations, we follow a strategic and holistic approach. and uplift underprivileged sections of society. Most of their
We actively involve individuals and communities in creating CSR projects are implemented in collaboration with trusted
social change where it is most needed. As catalysts for NGO partners.
change and development, our aim is to empower individuals

30
Financial literacy program (Flp)
Financial literacy stands as a crucial asset for any nation, Alarmingly, 80% of women in India suffer from financial
closely tied to economic growth. It encompasses the skills illiteracy. This knowledge gap hinders sound decision-
and knowledge necessary to make informed decisions, making and financial adaptability during challenging times.
effectively managing resources and income for prudent
IIFL Samasta tirelessly addresses these nationwide
consumption and saving. In essence, financial literacy
concerns. We educate women, youth, and farmers on
empowers individuals to create sound and sustainable
financial literacy through village training, fostering tangible
financial plans that align with their resources and income,
shifts in saving habits, promoting formal finance, and
catering to both present and future needs.
enrolling them in government schemes. Moreover, we
In India, only 24% of the population possesses financial support financial inclusion by establishing village kiosks
literacy, while a staggering 76% lack basic understanding. and conducting post training follow-up visits.
Women trained Kiosks set up in all for FY 2022-23
17,878 202

31
shiksha Ki udaan Youth skills development and
In many parts of the world, including India, girls and sustainability Program
women continue to face obstacles in obtaining education The development of a nation heavily relies on its youth,
due to various socioeconomic and cultural factors. Gender especially in India. With the right skills and adequate
inequality remains a significant concern, with more than training, young Indians have the potential to make a
50% of girls in India discontinuing their education due to significant impact on the country’s economy. However,
financial constraints. there is a growing concern about the inadequate skill
Scholarships specifically designed for girls play a vital role development among the youth.
in addressing this issue and providing them with improved Skill development plays a crucial role in empowering the
educational and career opportunities. These scholarships youth by enhancing their employability, enabling them
serve as a means to overcome financial barriers by to acquire new skills, and ensuring their competitiveness
offering financial support to cover tuition fees, books, and in the job market. In response to this need, we have, in
other educational expenses. Moreover, scholarships have collaboration with Lok Bharthi Education Society, initiated
broader benefits, such as encouraging girls to pursue a project to provide training on BFSI (Banking, Financial
education, promoting gender equality, and reducing gender Services, and Insurance) skill sets to the youth. This
gaps in various fields. initiative aims to equip them with the necessary skills and
IIFL Samasta takes immense pride in its commitment knowledge required to excel in the BFSI sector and create
to supporting the education of young girls. Through better career opportunities for themselves.
our scholarship program, we aim to empower students By focusing on skill development, we can empower the
from financially weaker sections by providing them with youth of India to contribute effectively to the nation’s
financial assistance. Additionally, we offer guidance and growth and development. Through this project, young
coaching through our mentorship program, ensuring individuals will have the opportunity to enhance their
that the recipients receive comprehensive support. Over capabilities, expand their employment prospects, and
the past year, we have awarded scholarships to 549 girl contribute positively to the economy.
students from across the country, positively impacting
their educational journeys and creating a path for a
brighter future.
No. of meritorious girl students benefited Youth enrolled

through scholarship programs
549 450
livestock development program
Animal husbandry plays a vital role in Indian agriculture which is only about 50% of the global average. This is
as it sustains the livelihoods of nearly 55% of the rural primarily due to insufficient knowledge of livestock rearing,
population. The objective of rearing livestock is to make inadequate preventive health care measures, neglecting
them beneficial for various purposes, many of which the importance of quality fodder, and underutilization of
hold economic value. Consequently, animal husbandry Artificial Insemination technology.
holds immense potential for generating non-farm
To address these challenges and support dairy cattle
employment and income in rural areas. In India, where a
farmers, IIFL Samasta has adopted a holistic approach.
significant portion of the population is less literate and
Under our project, we have established Livestock
unskilled, agriculture becomes the primary source of
Development Centers at the village level to provide
livelihood. However, as agriculture is seasonal, providing
doorstep cattle health services, including Artificial
employment for a maximum of 180 days per year, those
Insemination (AI), and inputs to dairy cattle farmers.
without land or with limited land rely on livestock to utilize
Additionally, we promote the cultivation of improved
their labor during the lean agricultural season.
fodder, such as BNH 10 and lucerne, among dairy cattle
One of the major challenges in animal husbandry is farmers. We also organize cattle health camps and training
improving the productivity of farm animals. The average programs to create awareness about preventive health
annual milk yield of Indian cattle stands at 1,172 liters, care measures.

32
Our efforts have reached
13,807
dairy cattle farmers
in Rajasthan, Odisha, and Karnataka
Women empowerment
Rural women in India heavily rely on agriculture and through various entrepreneurial activities. As part of
livestock for their livelihoods. However, the well-being this initiative, we have provided support to 212 women
of rural communities, especially small and marginal who aspire to embark on their entrepreneurial journeys.
households, including women, is at risk due to the shrinking The project focuses on developing women’s skills to
of land holdings through successive divisions among independently run their own enterprises.
generations. Agriculture alone is insufficient to meet the
Key activities of this program include raising awareness
livelihood requirements of poor and marginal households.
about entrepreneurship, mobilizing women within the
Moreover, the increasing unpredictability of rainfall patterns
community, providing training in basic skills and enterprise
has heightened the risks and uncertainties in the farming
management, assisting them in setting up their businesses,
sector, leading to a growing trend of individuals leaving
facilitating exposure visits, and offering support for market
agriculture and seeking opportunities in other sectors.
linkages to sell their products. By empowering rural women
Recognizing the potential of non-farm rural with the necessary skills and resources, we aim to foster
entrepreneurship in addressing the economic needs of their economic independence and contribute to the overall
rural households, IIFL Samasta has launched a project development of rural communities.
aimed at enhancing sustainable income for rural women
Provided support to
212
Women to embark their
entrepreneurial journeys

33
environment and renewable energy
In India, more than 240 Million people currently lack economic and social development. Access to energy is
adequate access to grid-electricity, and an additional crucial for improving health, livelihoods, education, and
20 Million households receive less than four hours of overall well-being. To achieve sustainable development,
electricity per day, according to the Climate Group (2015). it is essential to utilize sustainable energy sources and
Despite 75 years of Independence, many villages still do ensure affordable, reliable, and modern energy access for
not have access to the minimum required power supply. all citizens.
This energy poverty poses a significant barrier to rural
IIFL Samasta has undertaken a project

in collaboration with selcO
india Foundation
This project with SELCO aims at implementing customized

renewable energy solutions for sustainable village
development.
97 solar streetlights
were installed
and solar-powered digital classrooms have been set up
in 10 government schools and

5 Anganwadis in Karnataka
Under the Sustainable Village Development Programme
During the year, we also organized city-based tree

plantation drives in partnership with the Lining Foundation
Trust ‘Project Paryavaran’.
Trees planted
1,450
across four cities in India, including Kolkata,
Patna, Purnia, and Bhubaneswar
These tree plantation programs aim to promote greenery

and combat the hazards of pollution in cities. In the long
run, this initiative will help rejuvenate the entire region
with a greener environment and resilient trees that can
withstand natural calamities.

34
vision care
The Eye Camp serves as a critical initiative in reaching out

to the underprivileged individuals suffering from blindness
in rural areas. These camps have a significant impact on
the lives of economically disadvantaged individuals who
lack access to proper eye care services. By bringing eye
care directly to their doorstep, these camps provide much-
needed support to those who would otherwise remain
untreated. The importance of these camps cannot be
overstated, as they bridge the gap and ensure that even the
most vulnerable members of society receive the eye care
they desperately need.
Free Eye Check-up camps Individuals screened in rural Needy people were provided
areas of Bihar and Tamil Nadu with free spectacles
22 2,224 1,109
distributed the deskit/School bags
These are convertible into a study table. It has a compact

design and is waterproof and it helps kids to maintain a Provided 1,200
proper and comfortable sitting posture while studying. deskit/school bags to underprivileged students
studying in govt schools in MP, Bihar, WB and Odisha
Flood relief activities
During the past year, several Indian states faced the Other initiatives undertaken by our Company include
devastating impact of heavy rainfall and floods. According conducting vision screening camps to provide eye care
to the National Emergency Response Centre, the floods services in rural areas, and providing flood relief support to
resulted in the loss of around 1,800 lives, with 89 individuals affected communities.
still reported as missing. Moreover, over 1,100 people were
To measure and monitor the social and community
injured, and a staggering 1.3 Million individuals had to be
impacts of its operations, IIFL Samasta has a dedicated
evacuated from affected areas. In times of such adversity,
in-house team responsible for implementing CSR
IIFL Samasta has consistently extended its support to
interventions. The Team follows standard procedures to
the affected communities. By offering this assistance, we
monitor and measure the effectiveness of CSR initiatives.
aimed to provide immediate relief and aid in the recovery
It conducts regular visits to project locations, gathers
process for those affected by this natural calamity.
feedback from beneficiaries, and holds quarterly review
meetings with NGOs and stakeholders to evaluate progress.
Provided essential groceries and sustenance to
2,095
The CSR committee plays an active role in finalizing projects
individuals and budgets, as well as assessing milestones achieved.
in the states of Assam, Odisha, and Karnataka The internal audit team conducts periodic audits of all CSR
activities to ensure compliance and effectiveness. This
information is used to drive continuous improvement in the
Company’s CSR initiatives over time.

35
stakeholder engagement
cOllaBOrative partnerSHipS FOr SuStainaBle iMpact
Our dedication to stakeholder engagement transcends traditional communication and

consultation. We foster true collaboration and understanding. actively involving stakeholders
in decision-making processes, we value their perspectives, feedback, and ideas to shape our
strategies. through effective stakeholder engagement, we aim to build trust, transparency,
and mutual respect.
stAKeHOlder needs And exPectAtiOns engAgeMent MOde KPis

grOuP And FrequencY
• Customized financial products • Ongoing and regular • Number of products

and services engagement offered
• Competitive interest rates • Emails, calls, SMS, • Number of families
• Access to physical and digital WhatsApp, branch, and supported
channels managers
• Number of branches
• Seamless customer service • Social media
• Number of loans
customers • Secure transactions communication
disbursed
• Fair and responsive grievance • Marketing campaigns
redressal mechanism
• Customer satisfaction
surveys
• Ethical business practices and • Annual and quarterly • Credit rating

good corporate governance investor meets/calls
• Assets under
• Regular dividends • Investor presentations management
• Sustainable performance and • Annual General • Net profit

value creation Meeting
• Dividend
investors/
• ESG integration into strategy • Investor grievance
shareholders • Return ratios
and operations channels
• Transparent reporting and • Annual report

disclosure
• Training and development • Town halls, workshops • Number of training

hours for employees
• Fair and timely remuneration • One-on-one meetings,
performance appraisals • Awards received
• Rewards, recognition, and
appreciation • Engagement initiatives • Diversity in workforce
• Diverse, open, non- • Digital apps, collection • Number of appraisals

employees
discriminatory, and safe officers and reviews conducted
working environment
• Learning through online
• Work-life balance modules

36
stAKeHOlder needs And exPectAtiOns engAgeMent MOde KPis

grOuP And FrequencY
• Social upliftment • Regular meetings, • Number of families

seminars, workshops supported
• Enhancing financial literacy
• Periodical submission • Amount spent towards
• Community welfare initiatives
of business CSR
performance
communities/ • Current welfare
ngOs • One-on-one or group initiatives in operation
meetings
• Written communication
• Compliance with laws and • Mandatory regulatory • Liquidity ratio

regulations filings
• Number of stakeholder
• Ethical business grievances addressed
government/
• Active participation in industry
regulators
and regulatory working groups
• Fair and ethical procurement • Regular meetings, • Share of procurements

and engagement practices seminars, workshops from MSMEs
Business
Partners/
suppliers
• Institutional loans • Submission of reports • Credit rating
• Lending to underserved/PSL • Liquidity ratio

segments
lenders

37
natural capital
preServing nature FOr Future generatiOnS
at iiFl Samasta, we uphold our responsibility as mindful custodians of the planet by

seamlessly integrating sustainable practices into our operations. Our commitment to
environmental stewardship encompasses a comprehensive range of initiatives aimed at
reducing our ecological impact and fostering sustainable practices.
By implementing energy-efficient measures, responsible water management, and effective waste management practices,
IIFL Samasta is committed to sustainable and environmentally conscious operations.
energy Management
Utilizing direct and indirect energy resources to fuel our Educating employees about the impact of conscientious
operations. Direct energy consumption includes the participation in energy conservation
use of diesel in generator sets and LPG in cafeterias
Following mindful approaches include prioritizing
Staying cognizant to switch off AC’s whenever it is not the use of pedestal fans over AC units and installing
required sensor-based lights in offices
Reducing our energy footprint involves replacing Having installed sensor device in all RO/ZO/HO in
energy-intensive lighting with energy-efficient all cabins, meeting rooms/discussion room and
alternatives at our branches/offices washrooms
Promoting consciousness at the ground level by Using LED in all the branches, RO, ZO and HO
fostering behavioral change among employees

38
Water Management
Recognizing the pressing issue of water scarcity in India, we At our HO, we have appointed a 3rd party vendor to
are dedicated to minimizing our water footprint. Our water come and collect waste from our office on daily basis
supply primarily relies on groundwater reserves, with some and recycling the same. At RO/ZO, local municipality
locations supplemented by third-party providers. Within our people have been appointed to clear the waste.
office premises, we prioritize prudent water management
practices to ensure responsible consumption.
Rain water harvesting, wherein we use the accumulated

rain water to water the plants and for cleaning purposes.
We have installed sensor lights and aerators for water

taps in all the RO/ZO/HO to minimize consumption.
In Bhubaneswar-ZO, Odisha, we had requested LL to

install a wash basin outside and the output pipe has
been connected to the garden instead of drainage/
sewage line. So, whenever the wash basin is being used
the water is supplied directly to the garden through the
outer pipe connected with wash basin. In this way, we
water plants indirectly.
Waste Management
E-waste is diligently recycled, ensuring responsible

disposal
Other scrap materials are handed over to authorized

vendors for recycling and reusing
Paper waste is securely shredded due to the sensitive

personal information it may contain
Waste management initiatives aim to minimize

environmental impact and promote recycling
Strictly avoid use of plastic in our office. Instead of

plastic cups we use ceramic and paper cups
Carton boxes are used to send materials to various

branches

39
robust governance structure
StrOng FraMeWOrK FOr SuStainaBle practiceS
iiFl Samasta Finance limited upholds robust governance practices as a cornerstone of

its operations. transparency, accountability, and ethical conduct form the foundation for
building trust with stakeholders and maintaining a sustainable business model. through
effective governance mechanisms and practices, we integrate valuable insights and
recommendations from our esteemed Board of directors, fostering growth and ensuring the
organization's long-term success.
Key Focus areas
Our Company, IIFL Samasta Finance Limited, places This policy aligns with the relevant regulations and
significant emphasis on corporate governance as a undergoes necessary revisions to reflect any changes in
cornerstone of our operations. We are committed to the regulatory landscape. We prioritize the implementation
adhering to best practices and the highest standards of of proper corporate governance practices, guided by the
governance to ensure transparency, accountability, and RBI’s directives, to uphold transparency, accountability,
ethical conduct across all levels of the organization. By and ethical conduct throughout our operations.
implementing effective governance mechanisms, we aim
to build trust among our stakeholders and foster long-term Public disclosure of esg strategy
sustainability. and Progress:
Our Company is committed to environmental, social,
compliance to regulations and
and governance (ESG) principles and recognizes the
ethical standards
significance of sustainability in business operations. We
IIFL Samasta recognizes the importance of compliance proactively disclose our ESG strategy and progress to the
with applicable laws, regulations, and ethical standards. public, providing transparency and accountability to our
Our Company ensures strict adherence to the provisions stakeholders. By making this information readily available,
of the Companies Act 2013 and other relevant regulations IIFL Samasta demonstrates its commitment to responsible
prescribed by regulatory bodies such as the Reserve and sustainable practices and invites scrutiny and feedback
Bank of India and the Securities and Exchange Board of from its stakeholders.
India (SEBI). We operate within the legal framework and
continually update our policies and practices to align with
evolving legal and ethical requirements.
We maintain a strong awareness of the regulatory

guidelines applicable to the financial sector, as mandated
by government agencies, and strictly adhere to them. The
Reserve Bank of India (RBI) periodically issues guidelines
on corporate governance, aimed at assisting Non-Banking
Financial Companies (NBFCs) in adopting best practices
and enhancing transparency in their operations. These
guidelines for corporate governance are outlined in
Chapter XI of the Master Direction - Non-Banking Financial
Company Systemically Important Non-Deposit taking
Company and Deposit taking Company (Reserve Bank)
Directions, 2016, with subsequent amendments.
In line with the RBI guidelines, we have formulated a

robust Corporate Governance Policy that serves as a
comprehensive framework to ensure effective governance
and transparency across all levels of the organization.

40
policy Framework at iiFl Samasta

ECL Policy Vigilance Policy
Fit and Proper Criteria Policy on prevention and Detection of Frauds
Nomination and Remuneration Policy Credit Risk Management Policy
Corporate Governance Code Risk Management Policy
Policy on Independent Directors Business Continuity Planning
Insider Trading ALM Policy
RPT Policy ICAAP Policy
Code of Conduct for Directors and Senior Fair Practices Code
Management-IIFL Samasta Pricing Policy
Succession Policy for Appointments to the Customer Grievance Redressal Policy
Board and to Senior Management
Code of Conduct and Process Policy
Policy on preservation of the Documents
KYC & AML Policy
Statutory Auditors Appointment
Credit Policy
Board Diversity
Collection Policy
Investment Policy
Write-off Policy
Policy for Resource Planning
One Time Settlement policy
Securitization Policy
Co-lending policy
POSH Policy
IT Policies
Compensation Policy
CSR Policy
Whistle Blower
Risk based Internal Audit Policy
anti-corruption and Bribery
At iiFl samasta, we prohibit: Using vendors or suppliers that do not have high
Offering or suggesting or authorizing the offer or standards on bribery and corruption
suggestion of a bribe Processing funds known to be, or reasonably suspected
Soliciting or accepting a bribe to influence an action of being, the proceeds of bribery or corruption
Using another party to conduct any of the above
prevention of Sexual Harassment (pOSH) policy
At IIFL Samasta, we prioritize creating a respectful and The scope of the POSH Policy encompasses three key
safe environment for all our employees. In line with The aspects: prohibition, prevention, and redressal. We are
Sexual Harassment of Women at Workplace (Prevention, committed to maintaining a work environment free from
Prohibition & Redressal) Act and Rules, 2013, we have any form of sexual harassment, and our policy outlines
established a robust Prevention of Sexual Harassment clear guidelines and procedures to address any such
(POSH) Policy. This policy aims to strictly prohibit, prevent, incidents effectively.
and address any form of harassment that may amount to
To ensure the proper administration of the POSH
or connote sexual harassment within our organization.
Policy, we have established an Internal Committee (IC)
The POSH Policy applies to all incidents of sexual comprising senior employees and regional representatives.
harassment that occur at IIFL Samasta, involving any This committee plays a vital role in overseeing the
individuals who are directly or indirectly associated with implementation of the policy, facilitating a supportive and
our Company, regardless of their employment status. While safe workplace for everyone at IIFL Samasta.
the Act primarily focuses on protecting women, we believe
in inclusivity and have extended the Policy to be gender-
neutral.

41
the Board of directors
The Board meetings serve as crucial platforms for shaping The esteemed individuals on our Board of Directors
the organization’s trajectory. These meetings facilitate in- bring their extensive expertise, diverse perspectives, and
depth discussions on key matters that require the attention valuable insights to the table, shaping the governance and
and approval of the Board. The suggestions put forth by strategic direction of IIFL Samasta Finance Limited. Their
the Board members are thoroughly considered during the collective wisdom ensures our Company’s commitment to
decision-making process, playing a vital role in formulating upholding the highest standards of corporate governance
important strategies for the overall development of our while fostering its overall growth and success.
Company.
Meet the Board
Mr. Venkatesh, Managing Director
Mr. Venkatesh N. is the visionary Founder and Managing Director of IIFL Samasta
Finance Limited. With over 23 years of experience as an entrepreneur in the financial
services industry, he has demonstrated exceptional leadership. Prior to founding
IIFL Samasta, Mr. Venkatesh established PNV Techno Acquisitions Private Limited,
a company that marketed financial products, and Affluence Edifice, a wealth
management service provider. He holds a bachelor's degree in computer science
and has completed the prestigious Harvard Business School-ACCION Program on
strategic leadership in microfinance.
Mr. Shivaprakash Deviah, Whole-Time Director
Mr. Shivaprakash Deviah, leveraging his expertise, spearheads our Company’s

technology initiatives. He has been instrumental in setting up a comprehensive
IT infrastructure for lending activities and driving process efficiency through
automation. With a background spanning over two decades in the software
and financial services industries, Mr. Shivaprakash previously managed global
technology projects for Wipro. He holds a bachelor’s degree in computer science and
engineering from PSG College of Technology and a diploma in microfinance from the
Indian Institute of Banking & Finance.
Mr. Vikraman Ampalakkat, Independent Director
Mr. Vikraman Ampalakkat brings a wealth of experience to the Board, having retired
as the Chief General Manager of SIDBI Foundation for Micro Credit. With a career
spanning 38 years, he has worked with esteemed organizations such as Reserve
Bank of India, IDBI, and SIDBI. Mr. Vikraman’s expertise lies in the microfinance
sector, and he currently serves on the boards of other microfinance and financial
corporations.

42
Mr. Ramanathan Annamalai, Independent Director
Mr. Ramanathan Annamalai holds significant experience in development banking in

the agriculture and rural sectors. He previously served as the Chief General Manager
in the Micro Credit Innovations Department of NABARD, where he managed the
world’s largest microfinance program, the SHG Bank Linkage program. With his
profound knowledge of financial inclusion and rural development, Mr. Ramanathan
adds valuable insights to the Board.
Mr. Badrinarayanan Seshadri, Independent Director
Mr. Badrinarayanan Seshadri is a multi-faceted professional with a diverse

background. He holds a B.Tech in mechanical engineering from IIT Madras and a
PhD in mechanical engineering from Cornell University, US. Mr. Seshadri co-founded
Cricinfo.com, the leading cricket portal worldwide. He is currently involved in running
Synprosoft, a software services company, and Kizhakku Pathippagam, a renowned
Tamil book publisher. Additionally, he co-owns Aargee Staffing Services Pvt Ltd, an IT
staffing company. Mr. Seshadri is known for his insightful writings on current affairs
and politics in both Tamil and English.
Ms. Malini B. Eden, Independent Director
Ms. Malini B. Eden is a distinguished development specialist and strategy consultant

with a remarkable career spanning over two decades. She has worked extensively
with marginalized communities, advocating for their inclusion in policy development.
Ms. Eden holds key positions in bilateral agencies, government boards, and trusts
dedicated to economic empowerment, health, and donor relations. She currently
heads the Women’s Education Project at Trust India and consults for the Azim
Premjee Foundation.

43
Awards and recognitions
recOgnizing excellence in Building Better liveS

44
corporate information
BOArd OF directOrs Asset liability Management Beacon trusteeship limited
committee Address-4C & D Siddhivinayak Chambers,
Mr. Venkatesh N.
Managing Director Mr. Venkatesh N. Gandhi Nagar,
Managing Director Opp MIG Cricket Club,Bandra (East),
Mr. Shivaprakash Deviah Mumbai - 400051
Whole-Time Director Mr. Manoj Pasangha
Chief Business Officer Phone: 022-26558759
Mr. Badrinarayanan Seshadri Fax No.: 022-26558759
Independent Director Mr. Anantha Kumar T. Email: [email protected]
Chief Financial Officer Website: https://beacontrustee.co.in
Mr. Vikraman Ampalakkat
Independent Director Mr. Gaurav Kumar
Chief Operating Officer registered OFFice
Mr. Ramanathan Annamalai 110/3, Lalbagh Main Road, Krishnappa Layout,
Independent Director Mr. Mohan Kumar
Head- Treasury Bengaluru-560027, Karnataka, India
Ms. Malani B. Eden
Independent Director list OF BAnKers
I.T. Strategy Committee
Aditya Birla Finance Limited
Badrinarayanan S.
cOMMittees OF BOArd Independent Director Axis Bank Limited
Bajaj Finance Limited
Shivaprakash D.
Audit committee Bandhan Bank Ltd
Whole Time Director
Mr. Vikraman Ampalakkat Bank of Baroda
Chairman Bank of Maharashtra
stAtutOrY AuditOrs
Mr. Ramanathan Annamalai Canara Bank
Member M/s Brahmayya & Co. Capital Small Finance Bank Limited
Mr. Shivaprakash Deviah Credit Saison India
Member internAl AuditOrs DBS Bank Limited
KPMg DCB Bank Limited
nomination and remuneration Dhanlaxmi Bank Ltd
committee
cOre MAnAgeMent teAM Federal Bank Limited
Mr. Ramanathan Annamalai HDFC Bank Limited
Chairman Mr. Venkatesh N. Hero Fincorp Limited
Managing Director Hinduja Leyland Finance Limted
Mr. Badrinarayanan Seshadri
Member Mr. Shivaprakash Deviah HSBC Bank
Mr. Vikraman Ampalakkat
Whole Time Director & ICICI Bank Limited
Chief Technology Officer IDBI Bank Limited
Member
Mr. Manoj Pasangha IDFC First Bank Limited
stakeholders relationship committee Chief Business Officer Indian Bank
Mr. Vikraman Ampalakkat Mr. Anantha Kumar T. Indian Overseas Bank
Chairman Chief Financial Officer Jana Small Finance Bank Limited
Mr. Ramanathan Annamalai Mr. Gunasekaran Loganathan JM Financial Products Limited
Member Chief Information Security Officer Karnataka Bank Limited
Mr. Venkatesh N. Mr. Ashwini Kumar Karur Vysya Bank
Member Chief People Officer Kookmin Bank
Mr. Sabari Krishna Kotak Mahindra Bank Limited
risk Management committee Chief Compliance Officer Maanaveeya Development & Finance Pvt Ltd
Shivaprakash D. Mahindra & Mahindra Financial Services Limited
Mr. Gaurav Kumar
Whole-Time Director Chief Operations Officer MAS Financial Services Limited
Ramanathan A. MUDRA
Mr. Manoranjan Biswal
Independent Director NABARD
Company Secretary and
Badrinarayanan S. Compliance Officer Nabkisan Finance Limited
Independent Director Nabsamruddhi Finance Limited
deBenture trustee Northern Arc
corporate social responsibility Piraml Enterprises Limited
committee catalyst trusteeship limited Punjab and Sind Bank
Venkatesh N. (Erstwhile GDA Trusteeship Limited) RBL Bank Limited
Managing Director Address: GDA House, First Floor, SBM Bank (Mauritius) Ltd
Shivaprakash D. Plot No.: 85 S. No. 94 & 95, SIDBI
Whole-Time Director Bhusari Colony (right), South Indian Bank Limited
Kothrud, Pune - 411038 Standard Chartered Bank
Malini eden Phone: 022 49220555
Independent Director State Bank of India
Fax No.: 022 49220505
Ashwini Kumar Email: ComplianceCTL-Mumbai@ Suryoday Small Finance Bank Limited
Chief People Officer ctltrustee.com Tata Capital Financial Services Limited
Website: www.catalysttrustee.com UCO Bank
Union Bank of India
Utkarsh Small Finance Bank Limited
Woori Bank
YES Bank

45
ANNExURE - III TO DIRECTORS’ REPORT
MANAGEMENT DISCUSSION
AND ANALYSIS REPORT
Indian Economic Overview and investment, economic activity is expected to further
boost demand.
The Indian economy demonstrated a sustained growth
rate and has once again established itself as one of the Despite maintaining a steady growth momentum, India
fastest-growing economies in the world in FY 2022-23. has been grappling with inflationary pressures since the
This remarkable growth trajectory began after the onset commencement of the year 2022. In response, the Reserve
of the COVID-19 pandemic a couple of years ago and has Bank of India implemented consecutive repo rate hikes,
been characterized by significant progress. The upswing reaching 6.50% in FY 2022-23. This approach has gradually
in economic activities, particularly in private sector reduced inflationary pressures, with moderate rates in the
consumption, along with the Government’s increased focus third quarter. In FY 2023-24, the RBI maintained the repo
on infrastructure development, has played a crucial role in rate, signalling a gradual easing of inflationary pressures.
driving this progress. According to the Ministry of Statistics The projected CPI inflation rates for FY 2023-24 stood at
and Programme Implementation (MoSPI), the Indian 5.2% for the April to June quarter, and 5.4% and 5.2% for
economy registered a growth rate of 7.2% in FY 2022-23. the subsequent quarters. This positive transformation
With increased Government spending announced in the stimulates domestic demand, contributing to an upward
Union Budget 2023-24 and a rise in private consumption trajectory in economic growth.
Indian Economic Growth (% Change) (%)
6.4 7.4 8.0 8.2 7.2 6.8 4.2 (7.3) 9.1 7.2
FY2020-21
FY2013-14 FY2014-15 FY2015-16 FY2016-17 FY2017-18 FY2018-19 FY2019-20 FY2021-22 FY2022-23
(Source: MoSPI, https://www.reuters.com/world/india/india-sees-gdp-growth-slowing-6-68-202324-govt-survey-2023-01-31/)
OUTLOOK supported by high GST and direct tax collections to counter

the cautious investment stance of the private sector.
According to the World Bank’s Global Economic Prospects
However, caution is necessary due to global spillovers,
report (June 2023), the Indian economy is projected to grow
high inflation, and contractionary monetary policies that
by 6.3% in FY 2023-24, maintaining its position as one of
could potentially slow down the steady growth trajectory.
the fastest-growing economies among emerging markets.
With deepening trade and financial linkages with advanced
The Government has increased capital expenditure and is
economies, India may experience short-term ramifications

46
of a downturn, given its synchronisation with developed The Government has recognized the importance of
nations. NBFCs and is actively promoting their development with a
(Source: MOSPI,https://www.moneycontrol.com/news/business/rbi- strong emphasis on driving quality corporate governance
policy-rbi-lowers-inflation-forecast-for-fy24-to-5-1-makes-big-cut-in-
across these entities. This regulatory focus enhances the
q1-estimate-10762021.html, https://www.livemint.com/news/india/
world-bank-expects-slowdown-in-indias-gdp-growth-to-6-3-in-fy24-key- credibility and reliability of NBFCs, instilling confidence in
highlights-here-11686065896325.html )
their operations.
According to a CRISIL Ratings report, the Assets Under

Industrial Overview Management (AUM) of NBFCs are projected to witness an
impressive growth rate of 13-14% in FY 2023-24, reaching a
Non-Banking Financial Company (NBFC) staggering ` 34 lakh Crore. This growth is fueled by several
favorable factors, including an upturn in economic activity,
NBFCs have transformed the lending landscape in
stronger financial buffers, and diminishing concerns
India, providing financial inclusion to individuals who
over asset quality. Notably, the demand for personal
previously struggled to access credit. Through the power
loans continues to be a key driver for NBFCs, providing
of digitalization and technology, NBFCs have revolutionized
the necessary fuel for their expansion and fulfilling their
the customer financing experience, particularly for
working capital requirements.
underserved segments of the population with limited
creditworthiness. By embracing fintech and introducing As India marches towards becoming the world’s third-
innovative products, NBFCs have expanded their business largest economy by the end of this decade, NBFCs are
horizons and tapped into untapped industrial opportunities. expected to play a pivotal role in financing this remarkable
Their hybrid approach, combining physical and digital transition. Their steady momentum and ability to adapt
delivery, has unlocked new avenues for growth. to changing market dynamics position them as crucial
contributors to India’s economic growth and development.
NBFC INDUSTRY AUM Growth
30.0 40%
8-10%
5-8%
27% 18% 30%
25.0 6% 5%
18%
13.2 20%
20.0 11.0 12.0
10.4
In std. Trillion
10%
15.0 9.7
8.5 0%
1.6 1.6
10.0 6.6 1.8 1.7
2.2
5.5 2.0 -10%
1.2 1.6
5.0 -20%
5.1 5.7 7.2 8.9 9.7 10.2 10.8 11.8
0.0 -30%
June-16 March-17 March-18 March-19 March-20 March-21 March-22P March-23P
NBFC-Retail NBFC-Wholesale HFC (adj) NBFC-Retail Growth NBFC-Wholesle Growth HFC (adj) Growth Overall Growth
(Source: CRISIL NBFC Report 2021, https://www.moneycontrol.com/news/business/nbfcs-assets-under-management-expected-to-grow-by-13-14-in-fy23-24-

crisil-ratings-10360431.html)

47
Microfinance Industry IIFL Samasta Finance Limited (ISFL)
The microfinance industry in India is a thriving sector and its Operations
with immense potential, playing a vital role in meeting the
credit requirements of low-income households and small Business Growth
businesses. While the Covid-19 pandemic temporarily
As of the end of FY 2022-23, IIFL Samasta serves 23.53
slowed down expansion plans, the demand for microfinance
lakh customers. The gross loan portfolio (GLP) of ISFL
is expected to soar as more individuals seek financial
reached ` 10,552 Crore. With an increase of 63% from the
assistance.
previous year, we have increased our footprint to 19 states
According to the MFIN Micrometer December 2022 report, even as retail & dairy cattle loans increased their respective
Q3 FY 2022-23 witnessed a disbursal of ` 33,786 Crore portfolios by 115% and 149%.
through 79.1 lakhs accounts, marking a substantial 47.6%
Amidst an unprecedented crisis caused by the Covid-19
increase compared to Q3 FY 2021-22. The average loan
pandemic, IIFL Samasta strategically concentrated on
amount disbursed per account during this period reached
its existing customer base to facilitate the resumption of
` 42,687, reflecting a notable 15.1% growth from the same
their livelihood generation activities. Simultaneously, we
quarter of FY 2021-22. Furthermore, as of December 2022,
prioritized the onboarding of quality customers through a
the total microfinance gross loan portfolio witnessed
rigorous credit appraisal process, thereby enhancing our
a remarkable year-on-year growth of 25.2%, reaching
organization’s collection efficiency. Despite the sustained
approximately ` 3.21 Trillion. This portfolio served 64
challenges posed by the Covid-19 pandemic, we achieved a
Million unique borrowers across 126 Million loan accounts,
crucial milestone this financial year by surpassing ` 10,000
underscoring the industry’s reach and impact.
Crore AUM, exemplifying our resilience and determination.
Although the microfinance sector faced initial sluggishness
IIFL Samasta launched multiple initiatives to provide
at the beginning of FY 2022-23 due to macroeconomic
additional financial support to customers who were making
challenges, it began to recover as the year progressed. The
timely repayments and also to the customers who needed
borrowers’ community demonstrated increased demand
financial credit to kick-start their livelihood. ISFL strives to
for credit, propelling the sector’s revival. Overall, the
serve the people belonging to the bottom of the pyramid via
microfinance industry in India holds great promise, fueled
its widespread network of 1,267 branches spread across
by its ability to address the financial needs of underserved
19 states of the country, with a strong dedicated team of
segments. With the sector bouncing back from early
7,000+ field staff.
setbacks, it is poised for a dynamic and prosperous future.
(Source: https://www.bqprime.com/business/microfinance-loan-disbursals- With guidelines on NBFC-MFI dated March 14, 2022, the
rise-19-to-rs-77877-crore-in-december-quarter-mfin-micrometer, MFIN RBI has ensured equal opportunities and a level playing
Micrometer December 2022) field for all NBFC-MFIs, while at the same time ensuring that
NBFC-MFIs have played a major role in complementing customers are not exploited by the lenders. The method
banks and other financial institutions, and helping fill the of credit appraisal and underwriting has always been the
gaps in the availability of financial services concerning forte of ISFL. Further building on the knowledge, ISFL has
products as well as customer and geographical segments. developed a holistic and customer-centric process for
Strong linkages at the grassroots level make them a critical income and obligation assessment keeping in mind the
cog in catering to the unbanked masses in rural and semi- new RBI guidelines which in turn helps in developing a
urban reaches, enabling the Government and Regulators quality portfolio and improving customer experience. ISFL
to further the mission of financial inclusion. The sheer size is well equipped to accommodate changes in the current
of the market in terms of financially excluded households system, backed by a robust risk framework, experience and
presents large opportunities for a business model that internal process/policy framework.
offers sustainable credit to the unbanked and under- Both the management and the team are confident and
banked at affordable rates and a repayment cycle spread ready to overcome obstacles & challenges sometimes
over a longer duration. The dynamics of the NBFC sector thrown open by uncontrollable external events and convert
are reflective of its evolving role in niche areas of specialized them into opportunities to achieve milestones, setting a
services. benchmark for the industry itself.

48
Geographical Expansion across the Country (Branch Expansion)

With a vision of enhancing portfolio quality and extending financial services to a wider geographical reach, we undertook a
branch expansion strategy. This approach encompassed three key aspects: geographical deepening (in existing territories),
geographical expansion (in potential territories) and implementation of improved monitoring and the control measures at
branches with a significant portfolio size. Accordingly, 460 branches (which include split branches) in 16 states currently
entail.
Andhra Pradesh Karnataka Tamil Nadu

Arunachal Pradesh Kerala Tripura
Bihar Madhya Pradesh Uttar Pradesh
Goa Maharashtra West Bengal
Gujarat Odisha
Jharkhand Rajasthan
Arunachal
Pradesh
Rajasthan
Assam
Uttar Pradesh
Bihar
Jharkhand
Gujarat Madhya Pradesh West Tripura
Bengal
Chhattisgarh
Odisha
Maharashtra
Pondicherry
Goa
Andhra
Pradesh As of March 31, 2023, the number of branches stood at 1267,
Karnataka spread strategically across 19 states as compared to 807
branches as of March 31, 2022.
Tamil Nadu Andhra Pradesh Jharkhand Rajasthan
Kerala
Arunachal Pradesh Karnataka Tamil Nadu
Assam Kerala Tripura
Bihar Madhya Pradesh Uttar Pradesh
Chhattisgarh Maharashtra West Bengal
Goa Odisha
Gujarat Puducherry
This map is a generalised illustration only for the ease of the reader to understand the locations and it is not intended to be used for reference purposes. The
representation of political boundaries and the names of geographical features/states do not necessarily reflect the actual position. The Company or any of its
directors, officers or employees, cannot be held responsible for any misuse or misinterpretation of any information or design thereof. The Company does not
warrant or represent any kind in connection to its accuracy or completeness.

49
Products
Currently, IIFL Samasta’s product bouquet contains a diverse product line, designed to cater to the specific financial
requirements for a variety of customer segments. These products are as follows:
(Income Generating (Top-up (Product

`
Loan-IGL) Loan) Loans)
Water and Sanitation Surabhi (Dairy Sampark

Loan (SAJAL) & Cattle Loan) (Mortgage Loan)
Pragati Swabhiman
(Mortgage loan) (Unsecured Loan)
For the above-mentioned loan products, the tenure varies from 6 months to 10 years, whereas the loan amount varies from
` 5,000 to ` 25,00,000.
Customer Segment
Our main target customers are the economically backward women of the weaker sections of society to generate employment
and empower them. However, with the availability of other large ticket-size products, IIFL Samasta aims at tapping into the
‘missing-middle’ customer segment with a repayment capability for larger EMIs.
Risk Management Internal Capital Adequacy Assessment Process (ICAAP)

Policy to identify, assess and manage all risks that may
Risk Governance have a material adverse impact on our business/financial
position/capital adequacy.
Our Board of Directors is responsible for managing
comprehensive risks. The Risk Management Committee Risk exposures are regularly captured and reported to
(RMC), constituted by the Board, oversees the the relevant levels of management for the initiation of
implementation of our risk strategy. The RMC guides the appropriate mitigation measures.
development of policies, procedures and systems and
We have an Internal Audit Department which is responsible
evaluates their adequacy and appropriateness to the
for independently evaluating the adequacy and
changing business conditions, as well as our risk appetite.
effectiveness of all internal controls, governance systems
The Chief Risk Officer (CRO) heads an independent risk and processes.
management team. The CRO interacts regularly with
We have separate Risk, Audit and Compliance functions
the members of the RMC. The risk management team is
from the business functions to create a strong culture
primarily responsible for the implementation of risk strategy
of checks and balances and to eliminate any possible
approved by the Board.
conflict of interest between revenue generation, and risk
The nature of our business and business activities, along management and control.
with the regulatory environment at large, expose us to
several types of risks. For us, the key risks are Credit Risk, Key Risks
Operational Risk, Liquidity Risk, Interest Rate Risk and
Information Security Risk. Our operations expose us to Credit Risk
Compliance and Reputation Risk. We have put in place an The risk arises from default by borrowers in their terms of
Aggregate Risk Appetite Framework. the contract with the Company, especially failure to make
We have a structured management framework in the payments or repayments.

50
Mitigation to meet its financial obligations as they fall due. Basel

norms mandate sufficient liquidity to fulfil the obligations
The Company ensures effective risk management across
within 30 days.
business segments, strengthened by ongoing reviews for
early identification. There are robust policies and processes Mitigation
for managing credit risk across the line of businesses,
The Company’s framework for liquidity risk management is
mainly through the identification of geographies, target
well articulated in our Asset-Liability Management Policy.
segments, credit approval process, post-disbursement
Further, we have a robust mechanism to track the cash
monitoring and remedial management procedures.
flows comprehensively under normal as well as stressed
conditions and critical ratios as per BASEL norms have
Operational Risk
been implemented.
Operational risk arises from inadequate or failed internal
Interest Rate Risk
processes, people and systems or external events.
Mitigation Interest Rate Risk arises on account of the changes in

the interest rates which could have a potential impact
A Board-approved governance structure is in place on earnings if the interest-sensitive assets and interest-
with a detailed framework and processes for managing sensitive liabilities mismatch on tenor.
operational risk. Under the framework, IIFL Samasta
has developed a Risk Control Self-assessment (RSCA) Mitigation
process for identifying, assessing and evaluating risks We have adopted a risk-based pricing approach based
in a compatible format across processes, activities, and on the cost of funds including operating costs. The
systems. We have well-defined KRIs to monitor and an Asset Liability Committee periodically reviews the impact
Incident reporting mechanism to report external and of changing interest rates under normal and stressed
internal events on an ongoing basis. We ensure the efficacy scenarios.
of the process through control testing, Risk-based Audits
and KRI dashboards. Information Security Risk
A well-defined Contingency Plan and Business Continuity The risk to organizational operations (including mission,
Plan are also in place to mitigate any business interruptions functions, image, and reputation) and organizational assets
due to external events. due to the potential for unauthorized access, use, disclosure,
disruption, modification, or destruction of information and/
Liquidity Risk or information systems.
Liquidity risk is the risk that the Company may not be able

51
Audit and Internal Controls The Audit Department of IIFL Samasta Finance Limited is
decentralized, and internal audit staff is deployed in each
Department Overview & Purpose state where we operate. The team members report to the
respective state team leader. The state team leader reports
The purpose of IIFL Samasta’s Internal Audit Department is
to Zonal Head - Audit, who in turn reports to the Head-IA.
to provide independent, objective assurance and consulting
Both the Heads of Internal Audit (IGL, Retail & Corporate)
services designed to add value and improve IIFL Samasta
report functionally to the Audit Committee Board and
Finance Limited’s operations. IIFL Samasta’s Internal Audit
administratively to the Managing Director.
function is governed by its Internal Audit Charter.
The Head/s of Audit (HOA) derives authority from the Board/

Audit Committee of IIFL Samasta. The Audit Committee, on
behalf of the Board, shall review the internal audit function, Functions of the Department
scope of work, and resources of the department periodically. The internal audit department has 3 vertical functions
as mentioned below:
Audit Microfinance/ Retail Asset Corporate

MD
Committee IGL & DCL Audit: The Audit: The
Asset Audit: team engages team engages
The team in Retail in Head office
Head Audit Head Audit - engages in product functions
- IGL Retail & Corporate Microfinance audits/ audits/
& DCL assurance assurance
product activities activities
audits/
IGL Retail Corporate assurance
Audit Audit Audit activities
As on March 31, 2023, the total team strength stood at 214

members. The field auditors have been deployed in each
state where IIFL Samasta operates. All the assurance and
consulting activities, including the deployment of staff are
planned and monitored by the HO team. The department
conducts audits for the branches, Regional Offices, Zonal
Offices and also the Head Office. Audits of some specific
functions are outsourced to external audit firms based on
the organizational requirement.
To be effective, the Internal Audit Department has qualified,
skilled and experienced staff who work by the code of ethics
and are in the process of implementing the standards
prescribed by the Institute of Internal Auditors International
Professional Practices Framework (IPPF).
Types of Audit
Regular Audit
Special/Thematic Audit (Based on Red Flags)
Concurrent Audit
Intimation Audit (New Branch)

52
Audit Plan
Regular risk-based internal audits and thematic audits will be planned based on the Independent Risk Assessment
are conducted across the branches based on the risk which the IA team does periodically. Quarterly audits are
parameters such as portfolio, disbursement, PAR, conducted across the functional units in the respective
collection efficiency, attrition and audit frequency. Audits region (Minimum frequency).
Audit Sampling
Field audit samples are arrived at based on predetermined Central operations. This sampling framework results in an
risk-based sampling drivers/risk factors/parameters appropriate sample that represents the overall population
covering Disbursement, LUC, Collection processes and of transactions for a period.
Audit Reporting
Non-compliances are reported to the respective review and further course of action. Quarterly reports are
stakeholders through an Audit Management System presented to the audit committee with recommendations
(AMS). The summary of the reports is shared with the and management action plans.
senior management on a weekly/monthly basis for their
Consulting & Other Activities

To improve internal audit efficiency and effectiveness, the following are the initiatives undertaken during the year:
As a consulting activity, supported the FCU team in screening the loan portfolio of the branch staff involved in
misappropriation
As a consulting activity, supported the business team by motivating customers to collect during lockdown by tele calling
and during interaction with customers in center meeting visits
Data analytics on documentation and KYC to check any anomalies/fraudulent activities
Quarterly survey conducted among the team members and other stakeholders to understand their concerns and to obtain
feedback on the internal audit quality and for improvement
Monthly online professional development training and assessments provided to team members to upgrade their skills
Team members’ enrolment for IIBF Certificate in Microfinance and AML-KYC examinations
Team supervisors undergoing training on IPPF implementation guidelines
Financial Performance
(` in Crores)
Particulars FY 2022-23 (`) FY 2021-22 (`)
Net Interest Income 1,159.25 610.95
Other Income 7.28 7.14
Total Income 1,166.53 618.09
Operating Expenses 552.74 328.58
Operating Profit 613.79 289.51
Provisions 455.28 230.56
Profit before Exceptional Items & Tax 158.51 58.95
Exceptional Items - -
Profit Before Tax 158.51 58.95
Taxes 30.33 8.35
Profit After Tax 128.18 50.60

53
Human Resources
IIFL Samasta believes in giving its team the best employee experience as they are the greatest assets to us. Employees serve
our customers, and in all for us? not clear Thus, it becomes more important to have high employee engagement through
various measures to improve efficiency in customer service and ensure customer delight.
IIFL Samasta marked a historic milestone of being certified among the Top 50 India’s Best Workplaces Building a Culture of
Innovation by All 2023.
1. Employee Communication
The Management actively engaged with branches and
employees across various pan-India locations through IIFL
Samasta Sangam. Additionally, Sankalp events were held
in Rajasthan, and regular one-on-one interactions were
conducted to strengthen communication.
We celebrated IIFL Samasta Foundation Day and had grand

celebrations pan-India and HO.
On International Women’s Day, we conducted financial,

health talks and hi-tea for our women employees.
Continuous efforts were invested in measuring

performance to enhance efficiency and boost productivity.
Regular feedback and helpful tips were provided to improve
collection efficiency.
2. Employee Focus
2.1 Employee Recognition:
Continuous connection, mentoring and consistent

recognition helped in boosting employee morale, resulting in
gaining management trust and employees going the extra
mile. We held recognition ceremonies for employees who
walked the extra mile in improving customer experience.
‘Gaurav’ awards for all quarters were commemorated with

the involvement of our Chief Executives from the Head
Office and Zonal Heads. This inculcated in employees a
high sense of achievement and recognition among the
Top Management. About 16% of our employees have
showcased their extraordinary achievements, which our
Top Management recognized and rewarded.

54
Long service awards are an integral element of our

employee recognition program. It helps us recognize and
appreciate our employees who have given a significant part
of their life to the organization’s success. At IIFL Samasta,
we have a plethora of rewards and benefits to ensure each
employee is rewarded in one or the other and feels like an
integral part of the organization. Employees who achieve
target milestones are given increments.
required times in their day-to-day work.
We launched a series of employee success stories, to

recognize employees who have been through the journey
of IIFL Samasta. We shared their career path with us and
what makes them successful here, their tips and learnings.
We had already built an online appreciation module This worked as a guide to the other colleagues. The main
in our HRMIS to imbibe the culture of appreciation objective of this was to recognize long-tenured employees
across functions as they worked in tandem to fulfil the with their contributions and create a sense of pride within
organization’s objectives. It also created a positive impact to them and increase belongingness with the organization.
overcome anxiety and depression during the crisis. We have
We celebrated the 16th Anniversary of ISFL in March 2023,
created multiple badges for employees to acknowledge
where we commemorated the entire journey. Branches
and appreciate each other for the support received during
were granted a special allowance for celebrations locally.
2.2 Employee Engagement obvious fun element, games help develop unity and team
spirit among employees which is critical for the success of
HR Branch visits and ensuring all new policies, referral
any organization. It brings in a new spirit of determination
bonus schemes were downloaded to have the employee
within the players.
buy-in and encourage referrals to boost employee tenure.
IIFL Samasta organized ‘Champions 2023’ where the
2.3 Employee Refreshment
employees actively participated in the sports events. Team
In adherence to the proverbial wisdom, ‘All work and no play building exercises and activities generated employee
makes Jack a dull boy,’ we have embraced the importance motivation and brought effective communication between
of leisure by incorporating enjoyable games into our work people across all hierarchies in the Company. The Sports
environment to enhance employee engagement and foster Week kept the employees active and was a good break from
a healthier work-life balance. We believe apart from the a monotonous routine.

55
2.4 Employee Volunteering Activities as a
Responsible Corporate Citizen:
Employee volunteering
Our employees are not only involved in driving

business but also in impact by giving back
to the communities where they operate.
Upon conducting meetings and visits, they
promote a plethora of initiatives that we as an
organization have to offer to the community.
They carry application forms, and process
guidelines wherever they travel. This enables
the beneficiaries to get immediate aid.
Despite having busy schedules, our culture
has enhanced their joy of giving back to

society, creating a sense of satisfaction in
each employee.
Our employees volunteer in activities

related to nature and its conservation.
They organize camps and drives for tree
plantation, giving their time and energy,
even taking a day off for this priceless
contribution.
777 employees were promoted through

the ICA program in FY 2022-23
3. Maximising Human Potential coaching skills to further develop future leaders of IIFL
Samasta. This encompasses enriching their skills in
ICA is a career advancement program, where vacancies,
Emotional Intelligence and giving good direction to develop
across departments and areas of operation, are primarily
the team to the fullest potential. Our leaders also participate
filled with internally eligible employees. This approach has
in ‘Coach the Coachee’ succession planning programs and
given equal opportunity to employees, ensured fast-track
coaching the mid-management on the same skills, so that
career growth and met their career aspirations.
they further take care of their teams till the last mile.
Immersive Learning: Our approach to learning pedagogy
is immersive with the essence of real-time simulations
and role plays. To cater to the training needs of our diverse
workforce we ensure customized learning programs in 9
regional languages leading to clarity on their job role.
Data Science Training: We have identified employees who

have an acumen for analytics & data science. We have
imparted training through external agencies for them.
This bunch of talented employees are now engaged in
developing data models and business dashboards, that give
key insights to the Management for decision-making. We
ensured that organizational goals and individual aspirations
are well aligned, thus being a win-win for both.
Leadership development programs across all levels

strengthen our leaders and thus create a high-performing
organization.
Leaders as Coach: We have developed our leaders on

56
Continuous performance feedback culture (Monthly/ planning and execution for the coming months. Similarly,
Quarterly): for enabling function, we have a quarterly approach. The
best-performing employee names are displayed in the
Unlike annual feedback, this feedback is done continuously.
branches, which leads to their motivation and pride. The
Through our machine learning intervention, every month we
low-performing employees are given constructive feedback
extract a scorecard of the field employees which is published
through a structured Performance Improvement Plan.
to front-line managers. The people managers who are
People managers hold discussions with them and identify
trained on GLOW Application approach, give constructive
specific training needs.
feedback and feed-forward guiding them for better
For IIFL Samasta Finance Limited For IIFL Samasta Finance Limited
Venkatesh N. Shivaprakash D.
Managing Director Whole Time Director
DIN: 01018821 DIN: 02216802
Date: April 21, 2023
Place: Bangalore

57
DIRECTORS’ REPORT
Dear Members, 158.51 Crore Profit after tax stood at 128.18 Crore During
the year ended March 31, 2023, Assets Under Management
The Directors take pleasure in presenting the 28th (Twenty
(AUM) of the Company has grown by 63%. Loan book has
Eighth) Annual Report together with the Audited Financial
grown by 39% y-o-y as on March 31, 2023.
Statements and the Auditors’ Report of the Company for
the financial year ended March 31, 2023. The Company
is registered with the Reserve Bank of India (“RBI”) as a 2. OPERATIONAL HIGHLIGHTS:
Systemically Important Non-Banking Financial Company Particulars Year ended Year ended
(“NBFC”) not accepting public deposits (NBFC-ND-SI). The March 31, 2023 March 31, 2022
summarized results for the year ended March 31, 2023 are Active borrowers 23,53,955 17,51,909
as under: (Own Portfolio)
Loan disbursement 10,213.77 5,710.24
1. FINANCIAL SUMMARY OR HIGHLIGHTS/ (` in Crore)
PERFORMANCE OF THE COMPANY. Loan portfolio 10,552.24 6483.84
(` in Crore)
The financial results / highlights of the Company for
Securitization/ 1,620.51 447.58
the financial year ended March 31, 2022 and March 31,
Assignment
2023 are as under. (` in Crore)
A. Financial Highlights of M/s. IIFL Samasta BC loan portfolio 923.24 263.54

(` in Crore)
Finance Limited.
No of Branches 1,267 807
(` In Crores)
No. of centers 2,17,826 1,62,161
Particulars Year ended Year ended
Repayment rate 96% 90%
March 31, 2023 March 31, 2022
Total Revenue 1,753.51 1,019.93
3. EXTRACT OF ANNUAL RETURN:
Total Expenses 1,595.00 960.98
Earnings before tax 158.51 58.95 As required under Section 92(3) of the Act and the
Earnings after tax 128.18 50.60 rules made thereunder and amended from time to
time, the extract of Annual Return of the Company in
REVIEW OF BUSINESS the prescribed Form MGT-7 is available on the website
During the year under review, Company’s total income of the Company at https://iiflsamasta.com/investor-
amounted to 1753.51 Crore Profit before tax stood at relations/.
4. MEETINGS OF THE BOARD DURING THE FY 2022-23:

The Board duly met for 6 (Six) times during the financial year under review.
The meetings of Board of Directors and attendance of the Directors are as given below:
SL. Date of Meeting Venkatesh Shivaprakash Ramanathan Badrinarayan Vikraman Malini B. Monu
No. N. D. A. S. A. Eden Ratra
1 April 22, 2022 Y Y Y Y Y Y Y
2 June 17, 2022 Y Y Y Y Y Y Y
3 July 22, 2022 Y Y Y Y Y Y Y
4 October 21, 2022 Y Y Y Y Y Y NA
5 January 24, 2023 Y Y Y Y Y Y NA
6 March 14, 2023 Y Y Y Y Y Y NA
Y –Yes, N –No, NA- Not Applicable
5. DIRECTORS’ RESPONSIBILITY STATEMENT: a) In the preparation of the annual accounts, for

Pursuant to Section 134(5) of the Act, the Board, based year ended on March 31, 2023, the applicable
on the representations received from the management, accounting standards have been followed and
confirms that: that there are no material departures;

58
DIRECTORS’ REPORT (Contd.)

b) The Board has selected such accounting Company. The terms and conditions for appointment
policies and applied them consistently and made of Independent Directors are uploaded on the website
judgments and estimates that are reasonable of the Company and may be accessed via web link
and prudent so as to give a true and fair view of https://iiflsamasta.com/investor-relations/ and the
the state of affairs of the Company at the end of Nomination & Remuneration Policy of the Company
the financial year and of the profit and loss of the can be accessed via web link - https://iiflsamasta.
Company for that period. com/investor-relations/
c) The Directors had taken proper and sufficient
care for the maintenance of adequate accounting 9. AUDITORS:
records in accordance with the provisions of the Statutory Auditors & Report:
Act for safeguarding the assets of the Company M/s Brahmayya & Co., Chartered Accountants, [Firm
and for preventing and detecting fraud and other Registration No. 000515S] was appointed as the
irregularities; and Statutory Auditors of the Company at the Annual
d) The Directors had prepared the annual accounts General Meeting held on June 30, 2022.
on a going concerns basis.
The Board has duly examined the Statutory Auditors’
e) The directors had laid down internal financial Report for the FY 2022-23, which is self-explanatory.
controls to be followed by the Company and that There are no qualifications, reservations or adverse
such internal financial controls are adequate and remarks or disclaimer made by the auditor in their
were operating effectively. report for the year under review and requires no further
comments thereon.
f) The directors had devised proper systems to
ensure compliance with the provisions of all Secretarial Auditors & Report:
applicable laws and that such systems were
The Company has appointed Mr. Krishnamurthy
adequate and operating effectively.
Hegde, Partner, KMH and Associates, Practicing
Company Secretary as the Secretarial Auditor under
6. REPORTING OF FRAUDS BY AUDITORS
Section 204 of the Companies Act, 2013 for the period
During the year under review, the Statutory Auditors under review.
and the Secretarial Auditor have not reported any
instances of frauds committed in the Company by its Secretarial Auditors Report in form MR-3, submitted
Officers or Employees to the Audit Committee under by Secretarial Auditors of the Company for FY 2022-
section 143(12) of the Companies Act, 2013, details of 23 is enclosed with this report as Annexure IV. Further,
which needs to be mentioned in this Report. there are no qualifications, reservations or adverse
remarks or disclaimer made by the auditor in their
7. DECLARATIONS BY INDEPENDENT DIRECTORS: report for the year under review and requires no further
comments thereon.
The Company has received declarations from the
Independent Directors stating they meet the criteria Internal Auditors & Report:
as specified under Section 149 (6) of the Companies
The Company has re-appointed KPMG, as Internal
Act, 2013.
Auditor under Section 138 of the Companies Act, 2013
for the period under review.
8. COMPANY’S POLICIES ON APPOINTMENT OF
DIRECTORS, REMUNERATION AND OTHER MATTERS: The Board has duly examined the Internal Auditors’
The Company takes a cautious approach in relation Report for the FY 2022-23, which is self-explanatory.
to appointment of Directors on the Board of the There are no qualifications, reservations or adverse
Company. It shall appoint such persons who have remarks or disclaimer made by the auditor in their
relevant expertise and vast experience in the field of report for the year under review and requires no further
microfinancing. The remuneration of Directors, Key comments thereon.
Managerial Personnel and other senior management
Tax Auditors
personnel shall be based on their contribution
towards the overall development of the Company The Company has re-appointed Gowthama and Co as
as well as their participation in the meetings of the Tax Auditors under applicable laws.

59
IT AUDITORS 14. DIVIDEND ON EQUITY SHARES:
The Company has re-appointed CYRAACs as IT During the year under review, no dividend was declared.
Auditors under applicable laws.
15. IMPACT OF COVID -19 PANDEMIC:
Internal Audit:
The detailed disclosure on the material impact of
As part of the effort to evaluate the effectiveness of
Covid–19 pandemics on the Company is forming
the internal control systems, the Company’s internal
part of the Financial Statements of the Company. You
audit function reviews all the control measures on
a periodic basis and recommends improvements, may refer to Note no. 61 of the Standalone Financial
wherever appropriate. The Audit Committee regularly Statements for the same.
reviews the audit findings as well as the adequacy and
effectiveness of the internal control measures. 16. FUND ALLOCATION:
The Company has its own Internal Audit Team headed Total Borrowings:
by Head – Internal Audit of the Company. The said The Company’s overall borrowing as on March 31,
team submits its report before the Audit Committee 2023 was ` 7196.35 Crores.
on a set interval.
i) Non-Convertible Securities (Non-Convertible
Debentures/Market Linked Debenture)
10. PARTICULARS OF LOANS, GUARANTEES OR
INVESTMENTS UNDER SECTION 186: During the year under review, the Company had
The provisions of Section 186 of the Companies raised funds of ` 420 Crores through issue of
Act, 2013 read with relevant rules made thereunder Non-Convertible Debentures (NCDs) on private
pertains to the disclosure of loans, guarantee and placement basis and outstanding NCDs as on
security are not applicable to a Non-Banking Financial March 31, 2023 was ` 853.80 Crores.
Company. Further, the investments made by the ii) Commercial Paper.
Company during the FY 2022-23 are disclosed in Note
During the year under review, the Company had
No. 7 of the Financial Statements.
raised CP of ` 75.90 Crores. The outstanding CPs
11. PARTICULARS OF CONTRACTS OR ARRANGEMENTS as on March 31, 2023 was Nil
WITH RELATED PARTIES:
iii) Term Loan
The particulars relating to the contracts or
During the year under review, the Company had
arrangements with related parties have been placed in
raised ` 4,724 Crores through Term Loan and
Form No. AOC-2 enclosed as Annexure I to this Report
outstanding Term Loan as on March 31, 2023
and suitable disclosures as required in compliance
was ` 6,342.55 Crores.
with accounting standards with related parties are
disclosed in note 38 of the financial statements in the iv) Direct Assignment (Assignment of Loans)
annual report. Related Party Transactions Policy is During the year under review, the Company had
uploaded on website of the Company and the same raised ` 2,176 Crores through Direct Assignment
can be accessed via https://iiflsamasta.com/investor-
(DA) Transactions and outstanding DA as on
relations/
March 31, 2023 was ` 1,804.11 Crores.
12. TRANSFER TO RESERVES:

17. CREDIT RATING:
During the year under review, the Company has
During the period under review, the Company has
transferred 25.63 Crores to Special Reserve in
received credit rating from CRISIL for its borrowing
accordance with Section 45-IC of the Reserve Bank of
program as under:
India Act, 1934.
Rating Instrument Rating agency Rating/Grading
13. DEMATERIALISATION OF SHARES Long term Bank CRISIL AA-/Stable
As on March 31, 2023, all shares held by the Shareholders Loan Facilities
are in Demat form, except two shareholders, whose Non-Convertible CRISIL AA-/Stable
shareholding is lesser than 0.001%. Debentures

60
Rating Instrument Rating agency Rating/Grading report for each of the loan sanctions. This coupled
with intense follow-ups and efficient processes have
Long Term CRISIL PP-MLD AA- /
Principal Stable resulted in constantly building high quality assets with
Protected Market minimal delinquencies.
Linked Debentures
Commercial Paper CRISIL A1+ 21. CUSTOMER GRIEVANCE
Comprehensive CRISIL M1C1 The Company has a dedicated Customer Grievance
Microfinance Team for receiving and handling customer complaints/
Grading grievances and ensuring that the customers are
(Institutional
treated fairly and without any bias at all times. All
Grading/Code
issues raised by the customers are dealt with courtesy
of Conduct
and redressed expeditiously.
Assessment
(COCA))
22. FAIR PRACTICE CODE:
18. NAME & CONTACT DETAILS OF DEBENTURE The Company has in place a Fair Practice Code
TRUSTEES: (FPC) approved by the Board in compliance with the
The details of Debenture Trustees of the Company are guidelines issued by RBI, to ensure better service
as follows and provide necessary information to customers to
take informed decisions. The FPC is available on the
CATALYST BEACON TRUSTEESHIP website of the Company at https://iiflsamasta.com/
TRUSTEESHIP LIMITED LIMITED
investor-relations.
(Erstwhile GDA
Trusteeship Limited) The Board also periodically reviews the FPC to ensure
Address- GDA House, 4C & D Siddhivinayak levels of adequacy and appropriateness
First Floor, Plot No. 85 Chambers, Gandhi
S. No. 94 & 95, Bhusari Nagar, Opp MIG Cricket 23. MATERIAL CHANGES DURING AND POST END OF
Colony (right), Kothrud, Club, Bandra (East), THE FINANCIAL YEAR:
Pune - 411038 Mumbai 400051
There are no significant material changes during and
Phone - 022 49220555 Phone - 022-26558759
Fax No - 022 49220505 Fax No-022-26558759 post end of the Financial Year till the date of this report.
Email - ComplianceCTL- Email - compliance1@

[email protected] beacontrustee.co.in 24. CONSERVATION OF ENERGY, TECHNOLOGY
Website-www. Website: https:// ABSORPTION, FOREIGN EXCHANGE EARNINGS/
catalysttrustee.com beacontrustee.co.in OUTGO IN TERMS OF SECTION 134(3)(M) OF THE
COMPANIES ACT, 2013 AND RULE, 8 OF COMPANIES
19. IIFL FINANCE LIMITED IS HOLDING COMPANY: (ACCOUNTS) RULES, 2015:
IIFL FINANCE LIMITED (Formerly known as IIFL a) Energy Consumption:

Holdings Limited) is the holding company. 12,45,55,797 There are no matters to be reported under this
Equity shares held by IIFL Home Finance Limited were head as the Company is not engaged in power-
transferred to IIFL Finance Limited on July 27, 2022 intensive activities and hence not applicable to
thereby increasing the percentage of shareholding of this company.
IIFL Finance Limited in IIFL Samasta Finance Limited
to 99.51% as on March 31, 2023 b) Technology Absorption:
There are no matters to be reported under this
20. CREDIT BUREAU SUBSCRIPTION: head as the Company is not entered into any
In order to address the issue of multiple lending or technical collaboration agreements.
over indebtedness and also to know the credit history
c) Foreign Exchange Outflow/Inflow:
of the customer, the Company continues to submit
monthly and weekly data to Highmark, CIBIL, Equifax The Company has no transactions in foreign
and Experian Credit Bureaus and also use their credit currency during the FY 2022-23.

61
25. RISK MANAGEMENT POLICY: The Report on CSR activities of the Company is
Risk is an integral part of the Company’s business, annexed herewith and marked as Annexure II
and sound risk management is critical to the success
of the organization. As a financial intermediary, the 27. STATEMENT SHOWING ANNUAL PERFORMANCE
Company is exposed to risks that are particular to its EVALUATION OF BOARD AND ITS COMMITTEE:
lending and the environment within which it operates. As per the provisions of the Companies Act, 2013,
The Company has identified and implemented the Board has carried out an annual performance
comprehensive policies and procedures to assess, evaluation of its own performance, the directors
monitor and manage risk throughout the Company. individually as well as the evaluation of the working of
The risk management process is continuously its Committees. A structured exercise was carried out
improved and adapted to the changing risk scenario based on the criteria for evaluation forming part of the
and the agility of the risk management process is Directors Appointment, Remuneration & Evaluation
monitored and reviewed for its appropriateness in the Policy, including framework for performance
changing risk landscape. The process of continuous evaluation of Directors, Board & Committees,
evaluation of risks includes taking stock of the risk familiarization Program for Independent Directors
landscape on an event-driven basis. The Company Criteria for Evaluation and the inputs received from
has an elaborate process for risk management. the Directors, covering various aspects of the Board’s
This rests on the three pillars of Business Risk functioning such as adequacy of the composition of
Assessment, Operational Controls Assessment and the Board and its committee, attendance at meetings,
Policy Compliance Processes. Major risks identified Board culture, duties of directors, and governance.
by the businesses and functions are systematically A separate exercise was carried out to evaluate
addressed through mitigating actions on a continuing the performance of individual Directors including
basis. These are discussed with both the Management the Chairman of the Board, who were evaluated
and the Risk Management Committee of the Board. on parameters such as level of engagement and
Some of the risks relate to competitive intensity and contribution, independence of judgment, safeguarding
the changing legal and regulatory environment. The the interest of the Company and its stakeholders
Risk Management Committee of the Board reviews etc. The performance evaluation of the Independent
the risk management policies in relation to various Directors was carried out by the entire Board. The
risks and regulatory compliance issues. performance evaluation of the Chairman and the
Company identifies the following as key risks: Non-Independent Directors was carried out by the
Independent Directors. The Directors have expressed
1. Political Risk
their satisfaction with the evaluation process.
2. Concentration Risk
The Board opine that the Independent Directors of
3. Operational Risk the Company act with utmost integrity, expertise and
experience and proficiency and safeguard the interest
4. Liquidity Risk
of the Company and its stakeholders.
5. Information Security Risk
28. DETIALS OF BOARD OF DIRECTORS, COMMITTEES
26. CORPORATE SOCIAL RESPONSIBILITY (CSR): OF THE BOARD AND KEY MANAGERIAL PERSONNEL:
In pursuance of the provisions of Section 135 read A) Board of Directors:
with Schedule VII of the Act, the Company has a
The Board of Directors of the Company was
CSR Committee of the Board which reviews and
duly constituted as per the requirement of the
recommends (a) the policy on Corporate Social
Companies Act, 2013 throughout the year.
Responsibility (CSR) including changes thereto, and
However, following changes were made to the
(b) Implementation of the CSR Projects or Programs
Board composition:
to be undertaken by the Company as per its CSR
Policy. The CSR policy of the Company is available i) Retiring by rotation:
on the website of the Company – https://iiflsamasta. In accordance with the provisions of the
com/investor-relations. Companies Act, 2013, Mr. Venkatesh N

62

(DIN: 01018821), retires at the ensuing AGM, and of the ensuing AGM. The Board of Directors of
being eligible, offers himself for re-appointment. the Company recommends the re-appointment
of the Director liable to retire by rotation at the
The brief resume/details relating to Director who
ensuing AGM.
is to be re-appointed is furnished in the Notice
Disclosures pursuant to RBI Circular number RBI/2022-23/26 DOR.ACC.REC.No.20/21.04.018/2022-23 dated April

19, 2022
Sl. Name of Director Director Capacity (i.e. DIN Number of No. of Remuneration No. of
No since Executive/ Board Meetings other shares
Non-Executive/ Held Attended Director Salary Sitting Commission held in and
Chairman/ ships and other Fee convertible
Promoter compen (In `) instruments
nominee/ sation held in the
Independent) (In `) NBFC
1 Mr. Venkatesh February Managing 01018821 6 6 0 2,40,00,000/- NA NA 1335840

Narayanaswamy 01, 2004 Director p.a
2 Mr. Shivaprakash July 30, Whole Time 02216802 6 6 0 90,00,000/- NA NA 345000
Deviah. 2008 Director p.a
3 Mr. Badrinarayanan July 30, Independent 00507371 6 6 4 NA 4,40,000 NA -
Seshadri 2008 Director
4 Mr. Vikraman June 26, Independent 01978341 6 6 3 NA 3,80,000 NA -
Ampalakkat 2009 Director
5 Mr. Ramanathan April 23, Independent 02645247 6 6 6 NA 3,60,000 NA -
Annamalai 2009 Director
6 Ms. Malini B. Eden April 26, Independent 00732954 6 6 0 NA 2.40,000 NA -
2018 Director
7 Mr. Monu Ratra June 24, Non-Executive 07406284 6 3 NA NA NA NA -
Resigned w.e.f 2020 Director
07-09-2022
1. Composition of the Board

Details of change in composition of the Board during the current and previous FY 2022-23.
Sl. Name of Director Capacity (i.e., Executive/ Nature of change Effective date
Non-Executive/ (resignation,
No.
Chairman/ Promoter appointment)
nominee/ Independent)
1 Mr. Monu Ratra Non-Executive Director Resignation September 07, 2022
Where an independent director resigns before expiry of her/ his term, the reasons for resignation as given by her/him
shall be disclosed- Not Applicable
Details of any relationship amongst the directors inter-se shall be disclosed- Not Applicable
2. Committees of the Board and their composition

To focus effectively on the issues and ensure expedient resolution of diverse matters, the Board has constituted the
following set of Committees with specific terms of reference / scope. The terms of reference of all the Committees shall
be accessed via https://iiflsamasta.com/investor-relations/.
i) Audit Committee:
All the recommendations of the Committee have been adopted by the Board.

63
The members and meetings of the Audit Committee and attendance of its members are as given below:
Sl. Date of Meeting Name of Directors
No. Vikraman A. Badrinarayanan S. Shivaprakash D Monu Ratra
1 April 22, 2022 Yes Yes NA Yes
2 June 17, 2022 Yes Yes NA Yes
3 July 22, 2022 Yes Yes NA Yes
4 October 21, 2022 Yes Yes Yes NA
5 January 23, 2023 Yes Yes Yes NA
Sl. Name of Director Member of the Capacity (i.e., Executive/ Number of Meetings Number
No. Committee since Non-Executive/ of the committee of Shares
Chairman/ Promoter Held in
nominee/ Independent) Held Attended NBFC
1 Vikraman A June 26, 2009 Independent Director 5 5 -
2 Badrinarayanan S July 30, 2008 Independent Director 5 5 -
3 Shivaprakash D October 20, 2022 Whole Time Director 5 2* 3,45,000
4 Monu Ratra June 23, 2020 Non- Executive Director 5 3*
(Resigned w.e.f
September 07, 2023)
*During the year, Mr. Shivaprakash Deviah was appointed as a member of the Audit Committee on account of
resignation of Mr. Monu Ratra from Board with effect from September 07, 2022
ii) Nomination & Remuneration Committee:

The members and meetings of the Nomination and Remuneration Committee and attendance of its members are
as given below:

No. Ramanathan A. Badrinarayanan S. Vikraman A. Monu Ratra*
1 April 22, 2022 Yes Yes Yes Yes
3 March 14, 2023 Yes Yes Yes NA
Chairman/ Promoter Held Attended Held in
nominee/ Independent) NBFC
2 Vikraman A June 26, 2009 Independent Director 3 3 -
3 Ramanathan A April 23, 2009 Independent Director 3 3 -
*During the year, the Nomination and Remuneration Committee was re-constituted on account of resignation of
Mr. Monu Ratra from Board with effect from September 07, 2022
iii) Risk Management Committee:

The members and meetings of the Risk Management Committee and attendance of its members are as given
below:
No. Shivaprakash D Ramanathan A. Badrinarayanan S Monu Ratra
1 April 22, 2022 Yes Yes NA Yes
2 July 22, 2022 Yes Yes NA Yes
3 October 21, 2022 Yes Yes Yes NA

64
Sl. Name of Director Member of the Capacity (i.e., Executive/ Number of Meetings Number of
No. Committee since Non-Executive/ of the committee Shares Held
Chairman/ Promoter in NBFC
nominee/ Independent) Held Attended
1 Shivaprakash D July 30, 2008 Whole Time Director 4 4 3,45,000
2 Ramanathan A April 23, 2009 Independent Director 4 4 -
3 Badrinarayanan S October 20, 2022 Independent Director 4 2* -
*During the year, the Risk Management Committee was re-constituted on account of resignation of Mr. Monu Ratra
from Board with effect from September 07, 2022
iv) Information Technology Strategy Committee:

The members and meetings of the Information Technology Strategy Committee and attendance of its members are
as given below:

No. Shivaprakash D Badrinarayanan S
1 July 22, 2022 Yes Yes
2 January 23, 2023 Yes Yes
nominee/ Independent) Held Attended NBFC
2 Shivaprakash D July 30, 2008 Whole Time Director 2 2 3,45,000
v) Asset Liability Management Committee:

The members of the Asset and Liability Management Committee met every month in the FY 2022-23 and all the
members of the Committee were present for all the eligible meetings
Sl. Name of Director/ Member of the Capacity (i.e., Executive/ Number of Meetings Number
No. Members Committee since Non-Executive/ of the committee of Shares
Chairman/ Promoter Held Attended Held in
1 Mr. Venkatesh N February 01, 2004 Managing Director 12 12 13,35,840
2 Mr. Manoj Pasangha April 22, 2022 Chief Business Officer 12 11* -
3 Mr. Anantha Kumar T October 21, 2019 Chief Financial Officer 12 12 -
4 Mr. Gaurav Kumar March 10, 2023 Chief Operating Officer 12 1* -
5 Mr. Mohan Kumar October 21, 2022 Head- Treasury 12 5* -
*During the year, the Asset and Liability Management Committee was re-constituted on account of changes in the
Senior Management of the Company.
vi) Independent Directors Meeting:

In compliance with Schedule IV of the Companies Act 2013, Independent Directors had scheduled their separate
meeting on March 14, 2023 without the presence of any non-independent directors. All the Independent Directors
were present at the meeting.

65
vii) Corporate Social Responsibility Committee:
The members and meetings of the Corporate Social Responsibility Committee and attendance of its members are
as given below:
Sl. Date of Meeting Name of Members

No. Venkatesh N Shivaprakash D Malini B Eden Ashwini Kumar
1 July 22, 2022 Yes Yes Yes Yes
2 March 24, 2023 Yes Yes Yes Yes
Held Attended
1 Venkatesh N July 26, 2019 Managing Director 2 2 1335840
2 Shivaprakash D July 26,2019 Whole Time Director 2 2 345000
3 Malini Eden July 26,2019 Independent Director 2 2 -
4 Ashwini Kumar July 26,2019 Chief People Officer 2 2 -
viii) Stakeholders Relationship Committee:

The Stakeholders Relationship Committee currently consists of the following members
1. Mr. Narayanaswamy Venkatesh
2. Mr. Vikraman Ampalakkat
3. Mr. Ramanathan Annamalai
In compliance with applicable laws and regulations, Stakeholders Relationship Committee meeting was held on
March 14, 2023 and all the Committee members attended the said meeting.
Capacity (i.e., Executive/ Number of Meetings Number

Sl. Member of the Non-Executive/ of the committee of Shares
Name of Director
No. Committee since Chairman/ Promoter Held Attended Held in
1 Venkatesh N January 21, 2022 Managing Director 1 1 1335840
2 Vikraman A January 21, 2022 Independent Director 1 1 -
3 Ramanathan A January 21, 2022 Independent Director 1 1 -
ix) Prevention of Sexual Harassment Committee: held whenever required and all the Committee
The Company has complied with provisions members attended the said meeting.
relating to the constitution of Internal Complaints
x) Whistle Blower Committee:
Committee (ICC) under the Sexual Harassment
of Women at Workplace (Prevention, Prohibition The Whistle Blower Committee currently consists
and Redressal) Act, 2013. The Prevention of of the following members
Sexual Harassment (POSH) Committee currently 1. Mr. Bichitra Basu- Head- IGL
consists of the following members 2. Mr. Buddeppa Mallapur- Head- Retail
1. Ms. Nalini K - Vice President (Chairperson) Assets
2. Ms. Dhanashree Raj- Deputy General 3. Mr. Ashwini Kumar- Chief People Officer
Manager 4. Mr. Sreedhar Vadla- Assistant Vice President
3. Mr. Mukund Sharma- Deputy Vice President In compliance with applicable laws and
4. Ms. Premalatha- Advocate/External regulations, Whistle Blower Committee meeting
Chairperson was held whenever required and all the
In compliance with applicable laws and Committee members attended the said meeting.
regulations, POSH Committee meeting was

66

3. GENERAL BODY MEETINGS
Sl. Type of Date and Place Special Resolution Passed
No. Meetings
1 Extra Ordinary May 20, 2022 • Increase in borrowing limits of the Company to 12,000 Crores as per
General Meeting Bangalore section 180 1(a) and 180 1(c) of Companies Act 2013
• Approval of the limit of issuance of non-convertible debentures
(NCD)/ market linked debentures (MLD) on private placement basis
for the FY 2022-2023 of upto 3,500 Crores
• Approval of the limit of issuance of commercial papers on private
placement basis for the FY 2022-2023 upto ` 1000 Crores.
2 Annual General June 30, 2022 • Revision in the Managerial Remuneration of Mr. Venkatesh N.,
Meeting Bangalore Managing Director w.e.f April 01, 2021.
• Revision in the Managerial Remuneration of Mr. Shivaprakash Deviah,
Whole-time Director w.e.f April 01, 2021.
3 Extra Ordinary January 30, 2023 • To consider and approve increase in authorized share capital of the
General Meeting Bangalore Company to 700 Crores.
• Alteration of capital clause of the memorandum of association of the
Company.
• Approval of the limit of issuance of non-convertible debt securities on
private placement basis for the FY 2023- 2024 of upto 3,500 Crores.
• Approval of the limit of issuance of commercial papers on private
placement basis for the FY 2023-2024 of upto 1,000 Crores.
• To consider and approve ratification of appointment of Mr. A.
Vikraman, Independent Director.
• To consider and approve ratification of appointment of Mr. A.
Ramanathan, Independent Director.
4 Extra Ordinary March 24, 2023 • Approval for increase in ESOP Pool and other amendments in IIFL
General Meeting Bangalore Samasta Finance Limited Employee Stock Option Plan – 2023.
• Revision in the managerial remuneration of Mr. Venkatesh N.,
Managing Director w.e.f April 01, 2022.
• Revision in the managerial remuneration of Mr. Shivaprakash D.,
Whole-Time Director w.e.f April 01, 2022.
4. Details of non-compliance with requirements of Companies Act, 2013.: NIL
5. Details of penalties and strictures NBFCs should disclose details of penalties or stricture imposed on it by the
Reserve Bank or any other statutory authority: NIL
B) Board of Directors/Key Managerial Personnel Pursuant to the provisions of Section 203 of

and Senior Management. the Act, the Key Managerial Personnel of the
Company as on March 31, 2023 are:
During the Financial Year under review, there
were no changes in the Key Managerial a. Mr. Narayanaswamy Venkatesh -Managing
Personnel of the Company. Board members and Director
Senior Management Personnel of the Company b. Mr. Shivaprakash Deviah-Whole Time
have affirmed their compliance with the Code of Director
Conduct of the Company. c. Mr. Anantha Kumar T-Chief Financial Officer
and
d. Mr. Manoranjan Biswal-Company Secretary

67
Senior Management of the Company as on 32. DEPOSITS:
March 31, 2023 are: The Company is registered with Reserve Bank of India
a. Mr. Narayanaswamy Venkatesh -Managing (RBI) as Non-Deposit Accepting NBFC under Section
Director 45-IA of the RBI Act, 1934 and classified as NBFC-
b. Mr. Shivaprakash Deviah -Whole-Time MFI. The Board of Directors hereby confirm that the
Director. Company has not accepted any public deposit during
c. Mr. Manoj Pasangha - Chief Business Officer the year under review and will not accept deposit in
future without prior approval of Reserve Bank of India.
d. Mr. Gaurav Kumar- Chief Operating Officer
e. Mr. Anantha Kumar T-Chief Financial Officer 33. DETAILS OF SIGNIFICANT& MATERIAL ORDER
f. Mr. Ashwini Kumar-Chief People Officer. PASSED BY THE REGULATORS OR COURTS OR
g. Mr. Gunasekaran Loganathan- Chief TRIBUNAL:
Information Security Officer There was no significant & material order passed by
h. Mr. Sabari Krishna- Chief Compliance Officer Regulators/Courts/Tribunal during the period under
review.
i. Mr. Manoranjan Biswal-Company Secretary
During the Financial Year under review, Mr. Sabari 34. INTERNAL CONTROLS:
Krishna was appointed as Chief Compliance officer The Company has a well-established and adequate
(CCO) of the Company w.e.f. January 24, 2023, internal financial control and risk management
Mr. Sudeep H S was appointed as the Chief Risk framework, with appropriate policies and procedures,
Officer (CRO) w.e.f November 02, 2022, Mr. to ensure the highest standards of integrity and
Gunasekaran L was appointed as the Chief Information transparency in its operations and a strong corporate
Security Officer (CISO) of the Company w.e.f. January governance structure, while maintaining excellence in
24, 2023, Mr. Gaurav Kumar was appointed as the services to all its stakeholders. Appropriate controls
Chief Operation Officer (COO) of the Company w.e.f are in place to ensure: (a) the orderly and efficient
March 01, 2023, Mr. Sudeep HS who was appointed
conduct of business, including adherence to policies,
as the Chief Risk Officer (CRO) of the Company has
(b) safeguarding of assets. (c) Prevention and detection
tendered his resignation.
of frauds / errors, (d) accuracy and completeness of
the accounting records and (e) timely preparation of
29. DETAILS OF SUBSIDIARY, JOINT VENTURE OR
reliable financial information. An independent internal
ASSOCIATES:
audit system is in place to conduct audit of all the
The Company does not have any Subsidiary, Joint branches, regional offices, Zonal offices as well as
Venture or Associates companies. head office.
Further, the Company had appointed M/s KPMG,

30. NON-APPLICABILITY OF MAINTENACE OF COST
Chartered Accountants as its Internal Auditors vide the
RECORDS:
Board Meeting dated June 17, 2022 which conducted
The provisions of Section 148 of the Companies Act,
audit on the internal controls of various functions of the
2013 and Rules framed thereunder pertaining to
Company including Operations, Finance, Compliance,
maintenance of cost records as well as appointment
Human Resource and Information Technology.
of Cost Auditors are not applicable to the Company.
The Company controls, risk management measures,
31. COMPLIANCE WITH THE SECRETARIAL STANDARDS accounting procedures, financial management and
operations has an Audit Committee, which regularly
The Board of Directors affirms that the Company has
reviews and monitors systems, internal of the
complied with the applicable mandatory Secretarial
Standards issued by the Institute of Company Company based on the observations made by the
Secretaries of India. Internal Audit Head as well as KPMG.

68

35. MAINTENANCE OF COST RECORDS AS SPECIFIED Preference Shares of ` 10/- (Rupees Ten only)
BY THE CENTRAL GOVERNMENT: each aggregating to ` 14,50,000 (Rupees
Section 148(1) of the Companies Act, 2013 is Fourteen Lakh and Fifty Thousand Only) and;
not applicable to the Company hence there is no b) 18,55,000 (Eighteen Lakh Fifty-Five Thousand
requirement to maintain Cost Records as specified Only) Preference Shares of ` 10/- (Rupees
by the Central Government hence such accounts and Ten Only) each aggregating to ` 1,85,50,000
records are not made and maintained. (Rupees One Crore Eighty-Five Lakh and Fifty
Thousand Only).”
36. DISCLOSURES UNDER SEXUAL HARASSMENT
0F WOMEN AT WORKPLACE (PREVENTION, Paid-up Share Capital
PROHIBITION & REDRESSAL) ACT, 2013: The Paid-up Share Capital of the Company has
The Company has in place a Policy on Prevention, increased from ` 498,22,31,900 to ` 593,64,30,370
Prohibition and Redressal of Sexual Harassment of as on March 31, 2023 pursuant to allotment through
Women at Workplace and in line with the requirements rights issue of 9,54,19,847 Equity shares of Face Value
of the Sexual Harassment of Women at Workplace of ` 10 each (issued at ` 20.96 per share amounting to
(Prevention, Prohibition and Redressal) Act, 2013 and ` 199,99,99,993) on February 08, 2023
Rules made thereunder for reporting and conducting
inquiry into the complaints made by the victim on the 38. DISCLOSURE ON ESTABLISHMENT OF VIGIL
harassments at the workplace. The functioning of the MECHANISM:
Committees was carried out as per letter and spirit of In Compliance with the provisions of Section 177(9)
the provisions of the Act. of the Companies Act, 2013, read with the rules made
there under, the Company has adopted a Whistle
37. SHARE CAPITAL OF THE COMPANY: Blower Policy and has established the necessary vigil
mechanism for employees to report genuine concerns
Authorized Share Capital
about unethical behavior, actual or suspected fraud
The Authorized Share Capital of the Company was or violation of the Company’s code of conduct or
increased from ` 6,00,00,00,000 to ` 7,00,00,00,000 ethics policy. The Policy also provides for adequate
vide Extraordinary General Meeting dated January safeguard against victimization of Whistle Blower who
30, 2023. avails of such mechanism and also provides for the
Current Structure of Authorized Share Capital of the access to the Chairman of the Audit Committee. None
Company is hereunder: of the Whistle Blowers have been denied access to the
Audit Committee.
“The Authorized Share Capital of the Company is
` 700,00,00,000 (Rupees Seven Hundred Crores Only) Whistle Blower Policy is uploaded on website of
divided into, the Company in https://iiflsamasta.com/investor-
relations/
a. 69,80,00,000 (Sixty-Nine Crore Eighty Lakh Only)
Equity shares of ` 10 (Rupees Ten only) each
39. MANAGERIAL REMUNERATION:
aggregating to ` 698,00,00,000 (Rupees Six
Disclosure under Section 197 (12) read with Rule 5 of
Hundred Ninety- Eight Crore Only), and;
the Companies (Appointment and Remuneration of
b. 20,00,000 (Twenty Lakh Only) Preference Shares Managerial Personnel) Rules, 2014:
of ` 10/- (Rupees Ten Only) aggregating to
A. There were 2 employees during the year who were
` 2,00,00,000 (Rupees Two Crore Only)
employed throughout the financial year and was in
comprising of,
receipt of remuneration for that year which, in the
a) 1,45,000 (One Lakh Forty-Five Thousand Only) aggregate, was not less than one crore and two lakh
Redeemable Non-Convertible Cumulative rupees;

69
The details of the employee are as follows,
Particulars Employee 1 Employee 2

Name of the Employee Mr. Venkatesh N Mr. Gerard David Manoj Pasangha
Designation Managing Director Chief Business Officer (CBO)
Remuneration received ` 2,32,72,380 ` 1,02,72,936
Nature of employment, whether Permanent Permanent
contractual or otherwise
Qualifications and Experience of the Mr. Venkatesh holds a bachelor’s Mr. Manoj has completed B. Com &
employee degree in computer Science and has PG and has 30 years of experience
completed the Harvard Business
School-ACCION Program on Strategic
Leadership in Microfinance. He has
over 21 years of experience
Date of commencement of February 01, 2004 March 2022
employment
Age 47 years 55 years
Last Employment held by such NA Bharat Financial Inclusion Limited
employee before joining the Company (“BFIL)
Percentage of equity shares held 0.22 Nil
Whether such employee is a relative No No
of any director or manager of the
Company and if so, name of such
director or manager:
There was no employee during the year- iii. The percentage increase in the median
I. If employed for a part of the financial year, was in remuneration of employees in the financial year:
receipt of remuneration for any part of that year, at Median increase in Rupees: -16800
a rate which, in the aggregate, was not less than
Median increase in percentage: -10%
eight lakhs and fifty thousand rupees per month;
iv. The number of permanent employees on the rolls
II. If employed throughout the financial year or
of company: 13287
part thereof, was in receipt of remuneration in
that year which, in the aggregate, is in excess of v. Average percentile increase already made
that drawn by the managing director or whole- in the salaries of employees other than the
time director or manager and holds by himself or managerial personnel in the last financial year
along with his spouse and dependent children, and its comparison with the percentile increase
not less than two percent of the equity shares of in the managerial remuneration and justification
the Company thereof and point out if there are any exceptional
circumstances for increase in the managerial
B. i. The ratio of the remuneration of each director to
remuneration: Total Increment % 10.28%.
the median remuneration of the employees of the
Company for the financial year: vi. Affirmation that the remuneration is as per the
Mr. Venkatesh N., Managing Director: 130:1; remuneration policy of the Company: Yes, we
affirm that the remuneration was as per the
Mr. Shivaprakash D., Whole Time Director: 49.1;
remuneration policy of the Company.
ii. The percentage increase in remuneration of each
The Company has paid sitting fees to Non Executive
Director, Chief Financial Officer, Chief Executive
Independent Directors for attending the Board and
Officer, Company Secretary or Manager, if any, in
Committee Meetings.
the financial year:
Managing Director – 50%
40. MANAGEMENT DISCUSSION AND ANALYSIS
Whole Time Director – 23% REPORT:
Chief Financial Officer – 25.5% The Management Discussion and Analysis Report has
Company Secretary – 18.75% been enclosed as Annexure III to this Report.

70

41. DETAILS REGARDING ANY PROCEDINGS PENDING to eligible employees. The ESOPs are administered
UNDER INSOLVENCY AND BANKRUPTCY CODE, 2016: through Direct route by the Company. The Company
No application was made and no proceeding is transfers share to the eligible employees upon exercise
pending under the Insolvency and Bankruptcy Code, of the options by such employees. The Company had
2016 as at the end of the Financial Year. an ESOP scheme called ESOP Plan 2023. The ESOP
plan 2023 came into force on March 24, 2023.
42. DETAILS OF DIFFERENCE BETWEEN AMOUNT OF During the financial year 2022-23, the Company has
VALUATION DONE introduced a new stock option scheme namely “ESOS
Not Applicable 2023” effective from March 24, 2023. Till March 31,
2022, the Company has not granted any option under
43. AT THE TIME OF ONE TIME SETTLEMENT AND THE ESOS 2023.
VALUATION DONE WHILE TAKING LOANS FROM
BANKS/FINANCIAL INSTITUTIONS: The total number of Employee Stock Options to be
granted, which shall not exceed 5% of the Paid up
Not Applicable
share Capital of the Company, as expanded from time
to time, comprising 2,96,82,152 (Two Crores Ninety
44. DETAILS REGARDING SUB RULE 9 OF RULE 12 OF
Six Lakhs Eighty Two Thousand One Hundred and
COMPANIES (SHARE CAPITAL AND DEBENTURES)
Fifty Two) Options which shall be convertible into
RULES, 2014 OF EMPLOYEES STOCK OPTION
equal number of Shares
SCHEME:
The Company’s Employee Stock Option Plan - 2023
(“ESOP Plan”) provide for the grant of stock options
The details are ESOP scheme are as follows.
S.No Particulars Details

1. Options Granted 84,41,758
2. Options Vested Nil
3. Options Exercised Nil
4. The Total Number of Shares Arising as a Result of Exercise of Option NA
5. Options Lapsed NA
6. The Exercise Price 20.96 Per Share
7. Variation of Terms of Options NA
8. Money Realized by Exercise Of Options NA
9. Total Number of Options In Force NA
10. Employee Wise Details of Options Granted to Mr. Anantha Kumar
A. Key Managerial Personnel T- Chief Financial Officer
No. of options
granted- 2,42,637
B. Any Other Employee who receives a grant of options in any one year of option No
amounting to five percent or more of options granted during that year
C. Identified Employees who were granted option, during any one year, equal to or No
exceeding one percent of the Issued Capital (Excluding Outstanding Warrants
and Conversions) of the Company at the time of grant
45. ANNEXURE FORMING PART OF THIS REPORT OF DIRECTORS:

The Annexure referred to in this Report and other information which are required to be disclosed are annexed herewith
and form a part of this Report of the Directors:
a. Statement on Related Party Transactions in Form No.AOC-2 - Annexure I
b. Report on Corporate Social Responsibility (CSR) - Annexure II
c. Management Discussion and Analysis Report - Annexure III
d. Secretarial Audit Report - Annexure IV
e. Corporate Governance Report - Annexure V

71
46. ACKNOWLEDGEMENTS: acknowledged. Your involvement as shareholder is
The Directors place on record their sincere greatly valued. The Directors look forward to your
appreciation for the assistance and guidance provided continued support.
by the regulators, stock exchanges, other statutory
bodies and Company’s bankers for the assistance, For and on behalf of the Board of Directors
cooperation and encouragement extended to the IIFL Samasta Finance Limited
Company. The Directors also gratefully acknowledge
all stakeholders of the Company viz. customers, Narayanaswamy Venkatesh Shivaprakash Deviah
dealers, vendors, banks and other business partners Managing Director Whole Time Director
for the excellent support received from them during DIN: 01018821 DIN: 02216802
the year. The Company’s employees are instrumental
in the Company scaling new heights, year after Place: Bengaluru
year. Their commitment and contribution is deeply Date: April 21, 2023

72
ANNEXURE - I TO DIRECTORS’ REPORT

FORM NO. AOC 2
Form for disclosure of particulars of contracts/arrangements entered into by the Company with related parties referred
to in sub-section (1) of section 188 of the Companies Act, 2013 including certain arm’s length transactions under third
proviso thereto and Regulation 53(f) read with Part A of Schedule V of SEBI LODR
(Pursuant to clause (h) of sub-section (3) of Section 134 of the Act and Rule 8 (2) of
the Companies (Accounts) Rules, 2014 and Regulation 53(f) read with Para A of Schedule V of SEBI LODR)
1. Details of contracts or arrangements or transactions not at arm’s length basis: NIL

a) Name of the related party and nature of relationship:
b) Nature of contracts/ arrangements / transactions:
c) Duration of the contracts/ arrangements/ transactions:
d) Salient terms of the contracts or arrangements or transactions including the value, if any:
e) Justification for entering into such contracts/ arrangements/ transactions:
f) Date of approval by the Board:
g) Amount paid as advance, if any:
h) Date on which the special resolution was passed in general meeting as required under the first proviso to section
188:
2. Details of material contracts or arrangement or transactions at arm’s length basis:

Name Nature of Nature of Transactions Duration Date of Amount
Relationship approval (in Crores)
IIFL Finance Limited Holding Inter Corporate Deposit received 1 Year April 22, 2022 100
Company Inter Corporate Deposit Repaid 1 Year April 22, 2022 100
IIFL Home Finance Limited Group Inter Corporate Deposit received 1 Year April 22, 2022 775
Company Inter Corporate Deposit Repaid 1 Year April 22, 2022 775
IIFL Wealth Management Group Brokerage Expense/Other 1 Year April 22, 2022 0.09
Limited Company Expense
IIFL Finance Limited Promoters and Dividend Paid 1 Year April 22, 2022 3.71
IIFL Home Finance Limited Relatives of April 22, 2022 1.25
Narayanaswamy Venkatesh promoters April 22, 2022 0.01
Shivaprakash Deviah April 22, 2022 0.00
Venkatakrishnama April 22, 2022 0.01
Appanaidu Narayanaswamy
Anitha Shivaprakash April 22, 2022 0.00
IIFL Finance Limited Holding Service Fee on Business 1 Year April 22, 2022 56.72
Company Correspondence- Income
IIFL Finance Limited Holding Interest Expense 1 Year April 22, 2022 1.03
Company
IIFL Home Finance Limited Group Interest Expense 1 Year April 22, 2022 9.94
Company
IIFL Wealth Management Group Interest Expense 1 Year April 22, 2022 0.37
Limited Company
IIFL Wealth Prime Limited Group Interest Expense 1 Year April 22, 2022 0.56
(Erstwhile IIFL Wealth Company
Finance Limited)

73
ANNEXURE - I TO DIRECTORS’ REPORT (Contd.)
Name Nature of Nature of Transactions Duration Date of Amount

Relationship approval (in Crores)
IIFL Management Services Group Arranger Fee 1 Year April 22, 2022 0.50
Limited Company
IIFL Finance Limited Holding Reimbursement of Expenses 1 Year April 22, 2022 0.03
Company
IIFL Finance Limited Holding Equity Share Capital Received 1 Year April 22, 2022 95.42
Company
IIFL Finance Limited Holding Securities Premium 1 Year April 22, 2022 104.58
Company
Remuneration paid to Key NA Short term Employee benefit 1 Year April 22, 2022 4.07
Managerial Personnel
Sundry Receivable - IIFL Holding Outstanding Balance as on 1 Year April 22, 2022 7.18
Finance Limited (after TDS Company March 31 ,2023
deduction)
IIFL Wealth Prime Limited Group Outstanding Balance as on 1 Year April 22, 2022 7.60
(Erstwhile IIFL Wealth Company March 31 ,2023
Finance Limited)
IIFL Wealth Management Group Outstanding Balance as on 1 Year April 22, 2022 15.36
Limited Company March 31 ,2023
Venkatesh N Shivaprakash D
DIN: 01018821 DIN: 02216802
Place: Bengaluru

74
ANNEXURE – II TO DIRECTORS’ REPORT

The Annual Report on Corporate Social Responsibility (CSR) Activities of IIFL Samasta Finance Limited
for Financial Year ended March 31, 2023
[Pursuant to clause (o) of sub-section (3) of Section 134 of the Companies Act, 2013 and
Rule 9 of the Companies (Corporate Social Responsibility) Rules, 2015]
1. BRIEF OUTLINE OF CSR POLICY

IIFL Samasta as an organization is very committed towards the development of the society and our key objective is
to improve the quality of life of our community. Our CSR initiatives are directed to provide benefit to all the people
irrespective of their background details. However, a special focus is given to women, girl child, aged population and those
coming from the marginalized communities. This helps in contributing to the sustainable development of the society &
environment and to nurture our planet for the future generations.
Objective of our CSR initiatives are:

1. Striving for the economic development of the community to positively impact the society at large.
2. Carrying out developmental initiatives which are purely sustainable in nature.
3. To operate in a socially, environmentally and economically responsible manner.
2. COMPOSITION OF CSR COMMITTEE:
Sl. Name of Director Designation / Nature of Number of meetings of Number of meetings of

No. Directorship CSR Committee held CSR Committee attended
during the year during the year
1 Venkatesh N. Managing Director 2 2
2 Shivaprakash D Whole Time Director 2 2
3 Malini B Eden Independent Director 2 2
4 Ashwini Kumar Chief People Officer 2 2
3. Provide the web-link where Composition of CSR committee, CSR Policy and CSR projects approved by the board are
disclosed on the website of the Company.
https://iiflsamasta.com/csr/
4. Provide the executive summary along with web-link(s) of Impact Assessment of CSR Projects carried out in pursu-
ance of sub-rule (3) of rule 8, if applicable.
NA
5. (a) Average net profit of the Company as per sub-section (5) of section 135:
` 93,80,94,217
(b) Two percent of average net profit of the Company as per sub-section (5) of section 135
` 1,87,61,884
(c) Surplus arising out of the CSR Projects or programs or activities of the previous financial years:
NA
(d) Amount required to be set-off for the financial year, if any;

NA
(e) Total CSR obligation for the financial year [(b)+(c)-(d)]:

` 1,87,61,884

75
ANNEXURE – II TO DIRECTORS’ REPORT (Contd.)
6. (a) Amount spent on CSR Projects (both Ongoing Project and other than Ongoing Project).
` 2,28,93,972
i) Spent from current year budget: ` 1,02,11,138
Ii) Amount carry forward from previous year (Unspent) spent in this year: ` 1,26,82,834
(b) Amount spent in Administrative Overheads.

` 51,690
(c) Amount spent on Impact Assessment, if applicable.

NA
(d) Total amount spent for the Financial Year [(a)+(b)+(c)].

` 2,29,45,662
(e) CSR amount spent or unspent for the Financial Year:
Total Amount Spent for the Amount Unspent (in `)

Financial Year. (in `) Total Amount transferred to Amount transferred to any fund specified
Unspent CSR Account as per under Schedule VII as per second proviso to
section 135(6). section 135(5).
Amount. Date of Name of the Amount. Date of
transfer. Fund transfer.
2,29,45,662 84,99,056 - - -
(f) Excess amount for set-off, if any: NA
Sl. No. Particular Amount (in `)

1 (2) (3)
(i) Two percent of average net profit of the Company as per sub-section (5) of section 135
(ii) Total amount spent for the Financial Year
(iii) Excess amount spent for the Financial Year [(ii)-(i)]
(iv) Surplus arising out of the CSR projects or programs or activities of the previous Financial
Years, if any
(v) Amount available for set off in succeeding Financial Years [(iii)-(iv)]
7) Details of Unspent CSR amount for the preceding three financial years:
Sl. Preceding Amount transferred Amount Amount transferred to any fund Amount remaining
No. Financial Year. to Unspent CSR spent in the specified under Schedule VII as to be spent in
Account under reporting per section 135(6), if any. succeeding
section 135 (6) Financial Year Name of Amount Date of financial years.
(in `) (in `). the Fund (in `). transfer. (in `)
1. 19-20 Nil Nil Nil Nil Nil Nil
2. 20-21 7289452 00 Nil Nil Nil 00
3. 21-22 53,93,382 1,26,82,834 Nil Nil Nil 1,26,82,834
Total 1,26,82,834 1,26,82,834 Nil Nil Nil 00
8. Whether any capital assets have been created or acquired through Corporate Social Responsibility amount spent in
the Financial Year:
No

76
ANNEXURE – II TO DIRECTORS’ REPORT (Contd.)

If Yes, enter the number of Capital assets created/ acquired
Furnish the details relating to such asset(s) so created or acquired through Corporate Social Responsibility amount
spent in the Financial Year:
S. No Short particulars of the Pincode of Date of Amount of

property or asset(s) the property creation CSR amount
[including complete address or asset(s) spent
and location of the property]
(1) (2) (3) (4) (5) (6)
Nil Nil Nil Nil CSR Name Registered
Registration address
Number, if
applicable
9. Specify the reason(s), if the Company has failed to spend two per cent of the average net profit as per subsection (5)
of section 135.
IIFL Samasta has taken multi years CSR projects to create larger impact on the communities, hence we have reserved
25% of budget for these ongoing CSR projects. This amount is been transferred to separate bank account and same will
be utilized only for ongoing CSR projects.
Sd/- Sd/-
Venkatesh N (Chairman CSR Committee).
Managing Director
Venkatesh N Shivaprakash D
DIN: 01018821 DIN: 02216802
Place: Bengaluru

77
ANNEXURE - IV TO DIRECTORS’ REPORT
FORM NO. MR-3
SECRETARIAL AUDIT REPORT

FOR THE FINANCIAL YEAR ENDED MARCH 31, 2023
[Pursuant to Section 204(1) of the Companies Act, 2013, Rule No. 9 of the Companies
(Appointment and Remuneration of Managerial Personnel) Rules, 2014 and Regulation 24A of SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015]
To,
The Members,
IIFL Samasta Finance Limited,
110/3, Lalbagh Main Road, Krishnappa Layout,
Bangalore- 560027
We have conducted the Secretarial Audit of the compliance of specific applicable statutory provisions and the adherence to good
corporate practices by IIFL Samasta Finance Limited (hereinafter called “Company”) bearing CIN U65191KA1995PLC057884.
Secretarial Audit was conducted in a manner that provided us a reasonable basis for evaluating the corporate conducts/
statutory compliances and expressing our opinion thereon.
Based on our verification of the Company’s books, papers, minute books, forms and returns filed and other records maintained
by the Company and also the information provided by the Company, its officers, agents and authorized representatives during
the conduct of Secretarial Audit, we hereby report that in our opinion, the Company has, during the audit period covering the
financial year ended on March 31, 2023, complied with the statutory provisions listed hereunder and also that the Company
has proper Board-processes and compliance-mechanism in place to the extent, in the manner and subject to the reporting
made hereinafter:
We have examined the books, papers, minute books, forms and returns filed and other records maintained by the Company
for the financial year ended on March 31, 2023 and made available to us, according to the provisions of:
(i) The Companies Act, 2013 (the Act) and the Rules made thereunder.
(ii) The Securities Contracts (Regulation) Act, 1956 (‘SCRA’) and the rules made thereunder.
(iii) The Depositories Act, 1996 and the Regulations and Bye-laws framed thereunder.
a) Foreign Exchange Management Act, 1999 and the Rules and Regulations made thereunder to the extent of Foreign
Direct Investment, Overseas Direct Investments and External Commercial Borrowings. (Not applicable during the
audit period).
(iv) The following Regulations and Guidelines prescribed under the Securities and Exchange Board of India Act, 1992 (‘SEBI
Act’):
b) Securities and Exchange Board of India (Issue and Listing of Non-Convertible Securities) Regulations, 2021.
c) The Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.
(hereinafter referred as ‘SEBI (LODR) 2015’).
d) The Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011
(Not applicable during the audit period).
e) The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015
f) The SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 (‘ICDR 2018’) [notified by the Securities
and Exchange Board of India (‘SEBI’) on September 11, 2018, which came into effect on November 10, 2018, thereby
rescinding and repealing the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009 (‘ICDR 2009’)]
(Not applicable during the audit period).
g) The Securities and Exchange Board of India (Employee Stock Option Scheme and Employee Stock Purchase
Scheme) Guidelines, 1999. (Not applicable during the audit period).

78
ANNEXURE - IV TO DIRECTORS’ REPORT (Contd.)

h) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993
regarding the Companies Act, 2013 and dealing with the client (Not applicable during the audit period).
i) The Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2009 (Not applicable during
the audit period).
j) The Securities and Exchange Board of India (Buy-Back of Securities) Regulations, 2018 (Not applicable during the
audit period) and
(v) We also verified the Non-Banking Financial Company (NBFC) – Non-Systemically Important Non-Deposit taking
Company (Reserve Bank) Directions, 2016 (Updated as on December 29, 2022) issued by the Reserve Bank of India
along with other Notifications, Guidelines, Circulars, Directions.
(vi) Insurance Regulatory and Development Authority Act, 1999 and Rules and regulations made thereunder.
(vii) The Listing Agreements entered in to by the Company with Bombay Stock Exchange(s) w.r.t. Debt listing
(viii) The Sexual Harassment of Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013
(ix) The Reserve Bank of India Act, 1934;
(x) The Prevention of Money Laundering Act, 2002 and Rules framed there under
(xi) Secretarial Standards and Auditing Standards issued by The Institute of Company Secretaries of India;
During the period under review, based on the explanations and representations made by the Management, the Company
has complied with the provisions of the Companies Act, 2013, NBFC Regulations, SEBI Act and the corresponding Rules,
Regulations, Guidelines, Secretarial Standards etc. as mentioned above and has filed all the form and returns, with the
Registrar of Companies within the prescribed time or in case of delay, filing has been made with the requisite additional fee.
We further report that the,
1. Board of Directors of the Company is duly constituted with proper Directors and Directors as required under the
provisions of the Companies Act, 2013 and the Articles of Association of the Company. Mr. Monu Ratra (DIN: 07406284)
has tendered his resignation on September 07, 2022 during the period under audit.
2. Adequate notice has been given to all the directors to schedule the Board and Committee Meetings, agenda and detailed
notes on agenda were sent at least seven days in advance and wherever it was not sent, at least one Independent
Director was present at the Meeting in compliance with Companies Act 2013 and rules made thereunder.
3. Decisions at the Board Meeting, as represented by the Management, were taken unanimously. We further report that
there are adequate systems and processes in the Company commensurate with its size and operations to monitor and
ensure compliance with applicable Laws, Rules, Regulations and Guidelines.
We further report that, during the audit period, the Company had the following events which had bearing on the Company’s
affairs, in pursuance of the above referred laws, rules, regulations, guidelines and standards:
1. During the audit period, the Company has composited its CSR committee with four members.
During the reporting period, the Company is required to spend ` 1,87,61,884 which is 2% of Average Three Years Net
Profit and unspent amount of ` 1,26,82,834/- for previous year. Therefore the Company is required to spend total amount
of ` 3,14,44,718/-. The Company has spent ` 2,29,45,662 /- during the Audit Period. The unspent amount was pertaining
to an ongoing project and the same was transferred to a separate bank account within 30 days of the end of the Financial
Year in compliance with section 135 of the Companies Act 2013
2. Based on the Audited Financial Statement, the outstanding secured loan of the Company as on 31st March, 2023 was
` 6731,34,97,802 /- and outstanding unsecured loan was ` 4,64,99,99,999 from various financial institutions.
3. During the reporting period, the Company has repaid its secured loan amounting to ` 31,25,50,03,584.
4. During the FY 2022-23, the Company has allotted following Securities on Private Placement Basis:
i. 250 Rated, Listed, Senior, Secured, Redeemable, Taxable, Principal Protected, Market Linked, Non-Convertible
Debentures of ` 10,00,000 each aggregating to a total nominal value of ` 25,00,00,000 (Rupees Twenty-Five Crore
Only) allotted on June 01, 2022.

79
ii. 800 Rated, Listed, Senior, Secured, Redeemable, Taxable, Principal Protected, Market Linked, Non-Convertible
Debentures of ` 10,00,000 each issued at ` 10,02,976.00 per debenture aggregating to a total value of ` 80,23,80,800
(Rupees Eighty Crores Twenty Three Lakhs Eighty thousand and Eight Hundred Only) allotted on June 14, 2022.
iii. 150 Listed, Unsecured, Subordinated, Redeemable, Non- Convertible Debentures face value(FV) of ` 1,00,00,000/-
each (Rupees One Crore Only), aggregating upto ` 150,00,00,000 (Rupees One Hundred and Fifty Crores only)
allotted on August 19, 2022.
iv. 1000 Listed, Unsecured, Unsubordinated, Redeemable, Non- Convertible Debentures Face Value of ` 10,00,000/-
(Rupees Ten Lakhs Only) Each, aggregating to ` 100,00,00,000 (Indian Rupees One Hundred Crores only)allotted on
December 19, 2022.
v. 25– Subordinated Redeemable Non-Convertible Debentures of Face Value of ` 1,00,00,000/- (Rupees One Crores
Only) Each, aggregating to ` 25,00,00,000 (Indian Rupees Twenty Five Crores Only)allotted on February 02, 2023.
vi. 4000 Listed, Unsecured, Unsubordinated, Redeemable, Non- Convertible Debentures Face Value of ` 1,00,000/-
(Rupees One Lakhs Only) Each, aggregating to ` .40,00,00,000/- (Indian Rupees Forty Crores only) allotted on
February 24, 2023.
5. The Company has passed special resolution on 20th May 2022 for Increase in borrowing limits of the Company from
` 10,000 Crores to ` 12,000 Crores.
6. The Company has passed special resolution on May 20, 2022 to issue, offer and allot Secured/ Unsecured/ Listed/
Unlisted/ Rated/ Unrated/ Non –Convertible/ Market Linked/ Subordinated Debt/ Perpetual Debentures/ Fixed Maturity
Debentures or any other securities of the Company shall not at any time exceed an amount of ` 3500 Crores (Rupees
Three Thousand Five Hundred Crores only) on private placement basis in one or more tranches
7. The members have passed special resolution on May 20, 2022 to issue Commercial Papers which shall not at any time
exceed an amount of ` 1000 Crores (Rupees One Thousand Crores only).
8. The members have passed special resolution on January 30, 2023 and the same was approved by the Board of Directors
at their meeting held on January 24, 2023 to issue, offer and allot Secured/ Unsecured/ Listed/ Unlisted/ Rated/ Unrated/
Non –Convertible/ Market Linked/ Subordinated Debt/ Perpetual Debentures/ Fixed Maturity Debentures or any other
securities of the Company that shall not at any time exceed an amount of ` 3500 Crores (Rupees Three Thousand Five
Hundred Crores only) for the FY 2023-2024 on private placement basis in one or more tranches and to issue Commercial
Papers that shall not at any time exceed an amount of ` 1000 Crores (Rupees One Thousand Crores only) for the FY
2023-2024 on private placement basis in one or more tranches
9. The Company has issued Final Dividend of ` 0.10 (Ten Paisa) per equity share to all the registered shareholders as on the
record date i.e., March 31, 2022 at the Annual General Meeting held on June 30, 2022.
10. During the audit period, the Company has reported three cases to District Officer under The Sexual Harassment of
Women at Workplace (Prevention, Prohibition, and Redressal) Act, 2013.
11. The Company has ratified the appointment of following directors at the Extra- Ordinary General Meeting held on January
30, 2023:
i. Mr. Vikraman Ampalakkat, Independent and Non-Executive Director of the Company, who has attained the age of
seventy five years in August 2022.
ii. Ramanathan Annamalai, Independent and Non-Executive Director of the Company, who will attain the age of
seventy five years in December 2023.
Pursuant to regulation 17(1A) of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, the Company
has to pass a special resolution to continue the directorship of any person as a non-executive director who has attained
the age of seventy five year.
12. On the Extraordinary General Meeting held on January 30, 2023, the Company has passed resolution for increasing the
authorized share capital of the Company from the existing ` 600,00,00,000 consisting of Equity share Capital divided
into 59,80,00,000 Equity shares of ` 10 each and 20,00,000 Preference shares of ` 10 each which is further divided

80

into 1,45,000 Redeemable Non-Convertible Cumulative Preference Shares of ` 10 each aggregating to ` 14,50,000 and
18,55,000 Preference Shares of ` 10 each aggregating to ` 1,85,50,000 to the revised authorized capital of ` 700,00,00,000
consisting of Equity share Capital divided into 69,80,00,000 Equity shares of ` 10 each and 20,00,000 Preference shares
of ` 10 each which is further divided into 1,45,000 Redeemable Non-Convertible Cumulative Preference Shares of ` 10
each aggregating to ` 14,50,000 and 18,55,000 Preference Shares of ` 10 each aggregating to ` 1,85,50,000.
13. On the Extraordinary General Meeting held on March 24, 2023, the Company has passed resolution to approve the IIFL
Samasta Finance Limited Employee Stock Option Plan – 2023 (“Plan”) by increasing the total number of Employee Stock
Options to be granted, which shall not exceed 5% of the Paid Up share Capital of the Company, as expanded from time
to time, by 1,36,41,485 (One crore thirty six lakhs forty one thousand four hundred eighty five) options thereby taking the
total Employee Stock Options pool to 2,96,82,152 (Two crore ninety six lakhs eighty two thousand one hundred fifty two)
exercisable into 2,96,82,152 equity shares having face value of ` 10/- each under the Plan, at any time to or to the benefit
of such person(s) who are in permanent employment of the Company who has been working in India or out of India,
including any Director of the Company (other than independent directors), whether whole time director or otherwise, on
such terms and conditions as may be fixed or determined by the Board of Directors in accordance with the applicable
laws.
14. On Annual General Meeting held on June 30, 2022 the Company has passed a resolution to revise the Managerial
Remuneration of Mr. Venkatesh N., Managing Director and Mr. Shivaprakash Deviah, Whole-Time Director effective from
April 01, 2021.
15. On the Extraordinary General Meeting held on March 24, 2023 the Company has passed a resolution to revise the
Managerial Remuneration of Mr. Venkatesh N., Managing Director and Mr. Shivaprakash Deviah, Whole-Time Director
effective from April 01, 2022.
For KMH & Associates

Company Secretaries
FRN P2020KR079900
________________________
Date: April 21, 2023 Krishnamurthy Hegde
Place: Bangalore Partner
UDIN: A037474E000160333 ACS No: 37474 | COP No: 20126
Note: This report is to be read with the letter of even date which is annexed as Annexure and forms an integral part of this
report.

81
ANNEXURE TO THE SECRETARIAL AUDIT REPORT
To,
The Members,
IIFL Samasta Finance Limited,
110/3, Lalbagh Main Road, Krishnappa Layout,
Bangalore- 560027
Our report of even date is to be read along with this letter.
(1) Maintenance of secretarial record is the responsibility of the management of the Company. Our responsibility is to
express an opinion on these secretarial records based on our audit.
(2) We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about the
correctness of the contents of the Secretarial records. The verification was done on test basis to ensure that true facts
are reflected in secretarial records. We believe that the processes and practices we followed provide a reasonable basis
to strengthen our opinion.
(3) We have not verified the accuracy, correctness and appropriateness of financial records and Books of Accounts of the
Company.
(4) Wherever required, we have obtained the Management representation about the compliance of laws, rules and regulations
and happening of events etc.
(5) The compliance of the provisions of Corporate and other applicable laws, rules, regulations, standards is the responsibility
of Management. Our examination was limited to the verification of procedures on test basis.
(6) The Secretarial Audit report is neither an assurance as to the future viability of the Company nor of the efficacy or
effectiveness with which the Management has conducted the affairs of the Company.
For KMH & Associates

Company Secretaries
FRN P2020KR079900
________________________
Date: April 21, 2023 Krishnamurthy Hegde
Place: Bangalore Partner
UDIN: A037474E000160333 ACS No: 37474 | COP No: 20126

82
ANNEXURE V
CORPORATE GOVERNANCE REPORT
This Corporate Governance Report relating to the year ended on March 31, 2023 was prepared in compliance with the
applicable provisions of the Securities and Exchange Board of India (SEBI) (Listing Obligations and Disclosure Requirements)
Regulations, 2015 and amendments thereof and RBI Circular No. RBI/2022-23/26 DOR.ACC.REC. No.20/21.04.018/2022-23,
dated April 19, 2022 and forms a part of the Director’s Report to the Members of IIFL Samasta Finance Limited (the Company).
1. COMPANY’S PHILOSOPHY
The Company consistently focusses on following the highest standards of governance. The Company envisions
becoming the most respected in the financial services space and firmly believes that the highest degree of corporate
governance is the key to achieve it and emphasizes implementing robust, resilient and best corporate practices in every
facet of its operations and activities. The Company sees corporate governance standards beyond the compliance of
regulatory norms.
Transparency, fairness, integrity, effective internal control at each level of operations in each business transactions
and adequate and prompt disclosure to respective stakeholders are the key ingredients of corporate governance. The
ultimate responsibility to oversee corporate governance lies with the Board of Directors, and the changing environment
of stakeholder stewardship has a greater influence on the quality of the board and its composition and, skills. The
Company has an adequate mix of Board members. The majority of them are Independent Directors with backgrounds
in financial services. The entire Board has demonstrated skill sets and relevant experience that bring rich experience
in financial services to the Company. The Board constituted various committees of Directors and/or officers that are
mandated under the Companies Act, applicable regulations of the Securities and Exchange Board of India, and the
Reserve Bank of India through its various Policy Circulars/Directions and those were warranted for smooth operations
of the Company. The Board of Directors along with its committees provides leadership and guidance to the Company’s
management and directs, supervises and controls it activities. The responsibility of the Board as a whole, and the Terms
of Reference Committees are provided in this Report.
2. Board of Directors
a. Composition of the Board of Directors
b. attendance of each director at the meeting of the board of
directors and the last annual general meeting
c. number of other board of directors or committees in
which a directors is a member or chairperson The details are provided in the Directors report
d. number of meetings of the board of directors held and
dates on which held
e. disclosure of relationships between directors inter-se
f. number of shares and convertible instruments held by
non- executive directors
g. web link where details of familiarization programmes

Not Applicable
imparted to independent directors is disclosed.
h. A chart or a matrix setting out the skills/expertise/

competence of the board of directors.
i. confirmation that in the opinion of the board, the
independent directors fulfill the conditions specified The details are provided in the Directors report
in these regulations and are independent of the
management.
Not Applicable
j. detailed reasons for the resignation of an independent
director who resigns before the expiry of his/her tenure
along with a confirmation by such director that there are
no other material reasons other than those provided.

83
ANNEXURE V (Contd.)
3. Audit committee
(a) brief description of terms of reference;
The details are provided in the Directors report
(b) composition, name of members and chairperson;
(c) meetings and attendance during the year.
4. Nomination and Remuneration Committee

(b) composition, name of members and chairperson; The details are provided in the Directors report
(c) meeting and attendance during the year;
(d) performance evaluation criteria for independent directors
5. Stakeholders’ relationship committee

(a) name of the non-executive director heading the
committee;
(b) name and designation of the compliance officer; The details are provided in the Directors report. We
(c) number of shareholders’ complaints received during the have not received any complaints from Stakeholders
financial year; for the FY 2022-23.
(d) number of complaints not solved to the satisfaction of
shareholders;
(e) number of pending complaints.
5A. Risk management committee:

The details are provided in the Directors report
(b) composition, name of members and chairperson;
(c) meetings and attendance during the year
5B. Senior management

Particulars of senior management including the changes The details are provided in the Directors report
therein since the close of the previous financial year
6 Remuneration of directors: The details are provided in the Annual report
The details are provided in the Directors report. No

7. General body meetings
resolutions were passed through postal ballot.
8. Means of communication The primary source of information to the shareholders,

(a) quarterly results; customers, analysts and other stakeholders of the
Company and to public at large is through the website
(b) newspapers wherein results normally published;
of the Company.
(c) any website, where displayed;
The Annual Report, quarterly financial results, corporate
(d) whether it also displays official news releases; and actions and copies of press releases, if any, among
(e) presentations made to institutional investors or to the others, are regularly submitted to the Stock Exchanges
analysts and uploaded on the website of the Company including
Quarterly / Annual Financial Results in accordance
with the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015. All the disclosures
made to the Stock Exchanges are also available on
the website of the Company i.e. The quarterly and
annual results of the Company are published in widely
circulated English newspaper

84
ANNEXURE V (Contd.)
9. General Shareholder Information
1. Annual General Meeting The details are provided in the Notice of Annual General Meeting for
the FY 2022-23
2. Financial Year (2022-23) From April 1 to March 31
Results for the quarter ended on June 30, 2022 - within 45 days from
the end of the quarter
Results for the quarter ended on September 30, 2022 - within 45
days from the end of the quarter
Results for the quarter ended on December 31, 2022 - within 45 days
from the end of the quarter
Results for the quarter and year ended on March 31, 2023 - within 60
days from the end of the quarter
3. Dividend payment date (Interim dividend) The details are provided in the Directors report.
4. Name and address of each stock BSE Limited
exchange(s) at which the listed entity’s Phiroze Jeejeebhoy Towers,
securities are listed and a confirmation Dalal Street, Mumbai – 400051
about payment of annual listing fee to each Maharashtra, India
of such stock exchange(s); BSE Scrip Code – 973128
The Listing fees as applicable have been duly paid to the stock
exchange.
5. Stock Code (Scrip Code) BSE Scrip Code – 973128
6. Market price data- high, low during each Not applicable; as Equity Shares of the Company are not listed on
month in last financial year any Stock Exchange
7. Performance in comparison to broad- Not applicable; as Equity Shares of the Company are not listed on
based indices such as BSE any Stock Exchange
sensex, CRISIL Index etc

8. In case the securities are suspended from Not Applicable
trading, the directors report shall explain
the reason thereof
9. Registrar to an issue and share transfer Link Intime India Private Limited
agents
C-101, 1st Floor, 247 Park , Lal Bahadur Shastri Marg, Gandhi Nagar,
Vikhroli West, Mumbai, Maharashtra 400083.
Telephone: 022-49186101
Email: [email protected]
10. Share transfer system The entire equity share capital of the Company is held in
dematerialized form.
Pursuant to Regulation 40(9) of the Listing Regulations, the Company

obtained certificates from a practicing Company Secretary on a
yearly basis to the effect that all the transfers are completed within
the statutory stipulated period. A copy of the certificates so received
are submitted to the Stock Exchanges viz BSE.
There was no instance of suspension of trading in Company’s shares

during FY 2022-23.
11. Distribution of shareholding Not Applicable
12. Dematerialization of Shares and liquidity Shares are in dematerialized form.

85
ANNEXURE V (Contd.)
13. Outstanding Global depository receipts or Not Applicable

American depository receipts or warrants
or any convertible instruments, conversion
date and likely impact on equity
14. Commodity price risk or foreign exchange Not Applicable
risk and hedging activities
15. Plant locations Not Applicable
16. Address for Correspondence Mr. Manoranjan Biswal
Company Secretary & Compliance Officer
110/3, Lalbagh Main Road, Krishnappa Layout, Bengaluru 560027,

Karnataka
17. List of all credit ratings obtained by the The details are provided in the Directors report
entity along with any revisions thereto
during the relevant financial year, for all
debt instruments of such entity or any
fixed deposit programme or any scheme
or proposal of the listed entity involving
mobilization of funds, whether in India or
abroad
Shareholding Pattern
Categories of Equity Shareholders as on March 31, 2023
Sl. Name of Share holder No. of Equity Face Value Total Amount % of Share
No. Shares In (`) In (`) Holding
1 IIFL Finance Limited 59,07,16,057 10 5,90,71,60,570 99.51
2 Mr. Narayanaswamy Venkatesh 13,35,840 10 1,33,58,400 0.22
3 Mr. Venkatakrishnama Appanaidu 10,52,938 10 1,05,29,380 0.18
Narayanaswamy
4 Mr. Shivaprakash Deviah 3,45,000 10 34,50,000 0.06
5 Ms. Anitha Shivanna 1,93,200 10 19,32,000 0.03
6 Ms. Prema Narayanaswamy 1 10 10 0.00
7 Ms. Vidhya Anand 1 10 10 0.00
Total 59,36,43,037 10 5,93,64,30,370 100
10. Other Disclosures

(a) Disclosures on materially significant related party transactions that may have potential conflict with the inter-
ests of listed entity at large
The Company has put in place a Related Party Transactions Policy (RPT Policy) which was approved by the Board
of Directors. The Policy provides for identification of RPTs, necessary approvals by the Audit Committee / Board /
Shareholders, reporting and disclosure requirements in compliance with the Companies Act, 2013 and SEBI (Listing
Obligations and Disclosure Requirements) Regulations, 2015. All transactions executed by the Company during the
Financial Year with related parties were on arm’s length basis and in the ordinary course of business. All such RPT
were placed before the Audit Committee for approval, wherever applicable. The policy on the materiality of RPTs
(part of the Related Party Transaction Policy) and dealing with RPTs as approved by the Board may be accessed on
the website of the Company i.e. https://iiflsamasta.com/investor-relations/ .
You may refer to the Financial Statement which contains related party disclosures.

86
ANNEXURE V (Contd.)
(b) Details of Non-Compliance (h) Details of utilization of funds raised through
No strictures/ penalties were imposed on preferential allotment or qualified institutions
Company by the Stock Exchanges or by the placement as specified under Regulation 32 (7A):
Securities and Exchange Board of India or by any Not Applicable
statutory authority on any matter related to the (i) A certificate from a company secretary in
securities markets during the last three financial practice that none of the directors on the board of
years. the Company have been debarred or disqualified
(c) Details of establishment of vigil mechanism/ from being appointed or continuing as directors
whistle blower policy, and affirmation that of companies by the Board/Ministry of Corporate
no personnel was denied access to the Audit Affairs or any such statutory authority forms part
committee. of this report.
In Compliance with the Companies Act, 2013 (j) Where the board had not accepted any
and SEBI (Listing Obligations and Disclosure recommendation of any committee of the board
Requirements) Regulations, 2015, the Company which is mandatorily required, in the relevant
has adopted a Whistle Blower Policy and has financial year, the same to be disclosed along
established the necessary vigil mechanism for with reasons thereof: No such instance was
employees to report genuine concerns about reported.
unethical behaviour, actual or suspected fraud
(k) Total Fees to Statutory Auditor
or violations of the Company’s Code of Conduct
or ethics policy. The Policy provides adequate Total fees (exclusive of GST and other taxes as
safeguard against the victimization of whistle applicable) for all services paid by the listed entity
blowers, who avails such mechanism and also and its subsidiary, on a consolidated basis, to the
provides for the access to the Chairman of Audit Statutory Auditor and all entities in the network
Committee. None of the whistle blowers have firm/network entity of which the statutory auditor
been denied access to the Audit Committee. is a part, are as follows:
The said Policy as approved by the Board may
Particulars Amount Particulars
be accessed on the website of the Company i.e.
(` in lakhs) Amount
https://iiflsamasta.com/investor-relations/. (` in lakhs)
(d) Details of compliance with mandatory Audit Fee 17
requirements and adoption of the non-mandatory Limited Review -
requirements; Other matters and certification 1
The Company has adhered to all the mandatory Out of Pocket Expenses 3.71
requirements of Corporate Governance norms Others, if any -
as prescribed for High Value Debt Listed Total 21.71
Companies in the SEBI (Listing Obligations and
Disclosure Requirements) Regulations, 2015 (l) Prevention of Sexual Harassment
to the extent applicable to the Company. The The Company recognizes its responsibility and
status of Compliance with the Non- mandatory continues to provide a safe working environment
recommendation in the SEBI Regulations is as for women, free from sexual harassment
follows: and discrimination. In Compliance with the
• The Internal Auditor has direct access to the Sexual Harassment of Women at Workplace
Audit Committee. (Prevention, Prohibition and Redressal) Act,
2013, the Company has put in place a Policy on
(e) Web link where policy for determining ‘material’
the prevention of Sexual Harassment of Women
subsidiaries is disclosed at-NA
at Workplace and has constituted an Internal
(f) Web link where policy on dealing with related Complaints Committee. During the year under
party transactions is disclosed at review, there were following complaints received
https://iiflsamasta.com/investor-relations/ as on January 01, 2022 and December 31, 2022.
(g) Disclosure of commodity price risks and a. Number of complaints filed during the
commodity hedging activities: Not Applicable calendar year: 3

87
ANNEXURE V (Contd.)
b. Number of complaints disposed of during (p) The disclosures of the compliance with corporate
the calendar year: 3 governance requirements specified in regulation
17 to 27 and clauses (a) to (i) of Regulation 62
c. Number of complaints pending as on end of
(1A) of the SEBI Listing Regulations shall be
calendar year: Nil
made in the section on corporate governance of
Number of workshops or awareness programmes the annual report.
against sexual harassment carried out: The
13. The Company is in compliance with all the mandatory
Company regularly sensitizes its employees on
requirements specified in Regulation 17 to 27 of the
the prevention of sexual harassment through
SEBI (Listing Obligation and Disclosure Requirements)
online training.
Regulation, 2015, which have become applicable to the
(m) Disclosure by listed entity and its subsidiaries Company as a High Value Debt Listed Entity (“HVDLE”)
of ‘Loans and advances in the nature of loans to on a ‘comply or explain’ basis until March 31, 2023.
firms/companies in which directors are interested
D. Declaration signed by the chief executive officer/
by name and amount: Not Applicable, however
MD stating that the members of board of directors
Except for transactions mentioned under related
and senior management personnel have affirmed
party transactions, no loans and advances are
compliance with the code of conduct of board of
granted to firms/companies in which Directors
directors and Senior Management.
are interested.
This is to confirm that the Company has adopted
11. Non-compliance of any requirement of corporate
a Code of Conduct for its Board Members and
governance report of sub-paras (2) to (10) above:
the Senior Management Personnel and the same
Company is complied with the requirements.
is available on the Company’s website. I confirm
12. Among discretionary requirements, as specified in that the Company has in respect of Financial Year
Part E of Schedule II of Listing Regulations and other ended March 31, 2023, received from the Board
acts, rules, regulations, and guidelines as applicable, Members and Senior Management Personnel of
the Company has adopted the following: the Company, declaration of compliance with the
a. The Company has adopted a regime of financial Code of Conduct as applicable to them.
statements with an unmodified audit opinion.
b. Chairman of the committee is a Non-Executive For IIFL Samasta Finance Limited

Director.
Sd/-
c. The internal auditor directly reports to the Audit VENKATESH N
Committee of the Company. Managing Director
(DIN: 01018821)

88
ANNEXURE V (Contd.)
E. Compliance certificate from either the auditors or practicing company secretaries regarding compliance of conditions
of corporate governance shall be annexed with the directors’ report
The Secretarial Audit Report received from the Secretarial Auditors of the Company confirm the compliance of conditions
of corporate governance which is disclosed in Annexure IV of the Directors Report.
CHIEF EXECUTIVE OFFICER (CEO) AND CHIEF FINANCIAL OFFICER (CFO) CERTIFICATION UNDER SEBI (LISTING
OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015
To,
The Board of Directors
We certify that;
(a) We have reviewed the Financial Statements and the cash flow statement of IIFL Samasta Finance Limited for the
Financial Year ended March 31, 2023 and that to the best of our knowledge and belief:
(i) These statements do not contain any materially untrue statement or omit any material fact or contain statements
that might be misleading;
(ii) These statements together present a true and fair view of the Company’s affairs and are in compliance with the
existing accounting standards, applicable laws and regulations.
(b) There are, to the best of our knowledge and belief, no transactions entered into by the Company during the year which
are fraudulent, illegal or violative of the Company’s Code of Conduct.
(c) We accept responsibility for establishing and maintaining internal controls for financial reporting and we have evaluated
the effectiveness of the Company’s internal control systems pertaining to financial reporting. We have not come across
any deficiencies in the design or operation of such internal controls.
(d) We have indicated to the Auditors and the Audit Committee:
(i) Significant changes in internal control over financial reporting during the year;
(ii) That there are no significant changes in accounting policies during the year;
(iii) That there are no instances of significant fraud of which we have become aware.
Sd/- Sd/-
VENKATESH N ANANTHA KUMAR THANGAVEL

Place: Bengaluru Managing Director Chief Financial Officer
Date: April 21, 2023 (DIN: 01018821)

89
FINANCIAL STATEMENTS
INDEPENDENT AUDITOR’S REPORT
Standalone
To the Members of IIFL Samasta Finance Limited BASIS FOR OPINION
(Formerly known as “Samasta Micro Finance Limited”) 3. We conducted our audit in accordance with the
Report on the Audit of the financial statements Standards on Auditing (SAs) specified under section
143(10) of the Act. Our responsibilities under those
OPINION Standards are further described in the Auditor’s
1. We have audited the financial statements of M/s IIFL Responsibilities for the Audit of the Financial
Samasta Finance Limited (“the Company”), which Statements section of our report. We are independent
comprise the Balance Sheet as at March 31, 2023, of the Company in accordance with the Code of Ethics
the Statement of Profit and Loss (including Other issued by the Institute of Chartered Accountants of
Comprehensive Income), Statement of changes in India(‘ICAI’) together with the ethical requirements that
Equity and Statement of Cash Flows for the year then are relevant to our audit of the financial statements
ended, and notes to the financial statements, including under the provisions of the Act and the rules thereunder,
a summary of significant accounting policies and and we have fulfilled our other ethical responsibilities
other explanatory information (hereinafter referred to in accordance with these requirements and the Code
as “the financial statements”). of Ethics. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a
2. In our opinion and to the best of our information
basis for our opinion.
and according to the explanations given to us, the
aforesaid financial statements give the information
KEY AUDIT MATTERS
required by the Companies Act, 2013(“Act”) in the
manner so required and give a true and fair view 4. Key audit matters are those matters that, in our
in conformity with Indian Accounting Standards professional judgment, were of most significance in
prescribed under section 133 of the Act read with our audit of the financial statements of the current
the Companies (Indian Accounting Standards) Rules, period. These matters were addressed in the context
2015, as amended (“Ind AS”) and other accounting of our audit of the financial statements as a whole, and
principles generally accepted in India, of the state of in forming our opinion thereon, and we do not provide
affairs of the Company as at March 31, 2023, its profit, a separate opinion on these matters.
other total comprehensive income, changes in equity
and cash flows for the year ended on that date.
We have determined the matters described below to be the key audit matters to be communicated in our report.
Key Audit Matter How our Audit addressed the Key Audit Matter
(a) Expected Credit Loss
Refer note 2 (c) of significant accounting policies and Our audit focused on assessing the appropriateness
note 40 for credit disclosures. of management’s judgment and estimates used in the
impairment analysis through procedures that included, but
As at 31 March 2023, the Company has total gross
were not limited to, the following:
loan assets of ` 7,998.53 Crores (2022: ` 5,772.72
Crores) against which an Expected Credit Loss (‘ECL’) • Evaluated the Company’s accounting policies for
of ` 257.22 Crores (2022 ` 254.80 Crores) has been estimation of expected credit loss on loan assets
accrued. in accordance with the requirements of Ind AS 109,
Financial Instruments.
The ECL approach as required under Ind AS 109,
Financial instruments, involves high degree of • Obtained an understanding of the modelling techniques
complexity and requires significant judgement of the adopted by the Company including the key inputs
management. and assumptions. Since modelling assumptions and
parameters are based on historical data, we assessed
whether historical experience was representative of
current circumstances and was relevant in view of the
recent impairment losses incurred within the portfolios.

91
INDEPENDENT AUDITOR’S REPORT (Contd.)
The Management is required to determine the ECL • Assessed the design and implementation, and
that may occur over either a 12-month period or tested the operating effectiveness of controls
the remaining life of an asset, depending on the over the modelling process including governance
categorization of the individual asset. The key areas of over monitoring of the model and approval of key
judgment include: assumptions.
1. Categorization of loans in Stage 1, 2 and 3 based • Evaluated the appropriateness of the Company’s
on identification of: process of determination of significant increase in
credit risk in accordance with the applicable accounting
a) exposures with Significant Increase in Credit
standard and the basis for classification of exposures
Risk (SICR) since their origination and
into various stages.
b) Individually impaired / default exposures.
• Obtained the approved policy of board of directors to
2. Techniques used to determine Loss Given understand the relief measures sanctioned to various
Default (‘LGD’) and Probability of Default (‘PD’) to class of borrowers in accordance with the directions
calculate an ECL are based on past experience. given by the RBI and tested, on sample basis, the
3. The impact of different future macroeconomic compliance with respect to asset classification and
conditions in the determination of ECL. provisioning norms as per such directions.
These parameters are derived from the Company’s • Tested management’s computation of ECL by
internally developed statistical models, historical data performing following procedures:
and a change in such models or assumptions could a) Evaluated management’s groupings of
have a material impact on the accompanying financial borrowers on the basis of different product
statements. lines and customer segments with different risk
These factors required the models to be reassessed characteristics.
based on the available information including the b) Tested classification of loans into various
additional risk profiling due to the impact of COVID-19 categories based on their past due status
Pandemic, geographical, political and economic risk to and other loss indicators. On a sample basis,
measure the ECL. inspected the repayment schedule from the
Management has made a number of interpretations underlying borrower agreements and collection
and assumptions when designing and implementing made on due dates;
models that are compliant with the standard. The c) Performed test of details of the input information
accuracy of data flows and the implementation of used in ECL computation on a sample basis.
related controls is critical for the integrity of the
d) Tested the arithmetical accuracy of the
estimated impairment provisions.
computation.
Considering the significance of the above matter to
e) Performed analytical procedures by determining
the financial statements and the significant auditor
various ratios or percentage-based measures to
attention required to test such complex accounting
review overall reasonableness of the estimate
estimates, we have identified this as a key audit matter
determined by the management.
for current year audit.

92
Standalone
2. Identification and Measurement of NPA: Performed other substantive procedures, included but not
As per RBI’s circular dated November 12, 2021 read with limited to the following:
earlier circular dated October 1, 2021 on “Prudential • Assessed the appropriateness of asset classification
norms on Income Recognition, Asset Classification and adequacy of related provisioning by performing
and Provisioning pertaining to Advances, Automation procedures such as computation of overdue ageing,
of NPA and provisioning is required to be implemented assessment of borrower level NPA identification and
by all lending Institutions. verification of applicable provision rates as per ECL
The NPA provisioning as per ECL methodology policy of the Company on test check basis;
followed by the Company are not fully automated • Selected samples of performing loan accounts to
in Software Applications used by the Company for assess, independently, whether such loan accounts
Loans Management and are performed manually should be classified as NPA;
through excel spreadsheets. Further, marking of
linked accounts at borrower level as NPAs are done • Recompilation of the amount of ECL provisioning on
manually. These may have impact on the accuracy the total advances base considering the stage wise
and completeness of the provision accrued for NPAs. categories of advances, LGD (Loss given default) and
PD (Probability of default) arrived by the Company.
Considering the significance, we have identified this as
a key audit matter for current year audit.
INFORMATION OTHER THAN THE FINANCIAL statements that give a true and fair view of the
STATEMENTS AND AUDITOR’S REPORT THEREON financial position, financial performance, total
5. The Company’s Board of Directors is responsible comprehensive income, changes in equity and cash
for the other information. The other information flows of the Company in accordance with the Ind AS
comprises the information included in the Annual and other accounting principles generally accepted in
Report, but does not include the financial statements India. This responsibility also includes maintenance of
and our auditor’s report thereon. The Annual Report is adequate accounting records in accordance with the
expected to be made available to us after the date of provisions of the Act for safeguarding of the assets of
this auditor’s report. the Company and for preventing and detecting frauds
and other irregularities; selection and application of
Our opinion on the financial statements does not cover
appropriate accounting policies; making judgments
the other information and we do not express any form
and estimates that are reasonable and prudent;
of assurance conclusion thereon.
and design, implementation and maintenance
In connection with our audit of the financial statements, of adequate internal financial controls, that were
our responsibility is to read the other information operating effectively for ensuring the accuracy and
identified above when it becomes available and, in completeness of the accounting records, relevant
doing so, consider whether the other information is to the preparation and presentation of the financial
materially inconsistent with the financial statements, statements that give a true and fair view and are free
or our knowledge obtained in the audit or otherwise from material misstatement, whether due to fraud or
appears to be materially misstated. error.
When we read the Annual Report, if we conclude 7. In preparing the financial statements, Management
that there is a material misstatement therein, we are and the Board of Directors are responsible for
required to communicate the matter to those charged assessing the Company’s ability to continue as a
with governance. going concern, disclosing, as applicable, matters
related to going concern and using the going concern
RESPONSIBILITIES OF MANAGEMENT AND THOSE basis of accounting unless the Board of Directors
CHARGED WITH GOVERNANCE FOR THE FINANCIAL either intends to liquidate the Company or to cease
STATEMENTS: operations, or has no realistic alternative but to do
6. The Company’s Board of Directors are responsible so. The Board of Directors are also responsible for
for the matters stated in section 134(5) of the Act overseeing the Company’s financial reporting process.
with respect to the preparation of these financial

93
AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF a material uncertainty exists, we are required
THE FINANCIAL STATEMENTS to draw attention in our auditor’s report to the
8. Our objectives are to obtain reasonable assurance related disclosures in the financial statements or,
about whether the financial statements as a whole if such disclosures are inadequate, to modify our
are free from material misstatement, whether due to opinion. Our conclusions are based on the audit
fraud or error, and to issue an auditor’s report that evidence obtained up to the date of our auditor’s
includes our opinion. Reasonable assurance is a high report. However, future events or conditions may
level of assurance but is not a guarantee that an audit cause the Company to cease to continue as a
conducted in accordance with SAs will always detect a going concern.
material misstatement when it exists. Misstatements • Evaluate the overall presentation, structure and
can arise from fraud or error and are considered content of the financial statements, including the
material if, individually or in the aggregate, they could disclosures, and whether the financial statements
reasonably be expected to influence the economic represent the underlying transactions and events
decisions of users taken on the basis of these financial in a manner that achieves fair presentation.
statements.
10. Materiality is the magnitude of misstatements
9. As part of an audit in accordance with SAs, we exercise in the financial statements that, individually or in
professional judgement and maintain professional aggregate, makes it probable that the economic
scepticism throughout the audit. We also: decisions of a reasonably knowledgeable user of the
• Identify and assess the risks of material financial statements may be influenced. We consider
misstatement of the financial statements, whether quantitative materiality and qualitative factors in (i)
due to fraud or error, design and perform audit planning the scope of our audit work and in evaluating
procedures responsive to those risks, and obtain the results of our work; and (ii) to evaluate the effect
audit evidence that is sufficient and appropriate of any identified misstatements in the financial
to provide a basis for our opinion The risk of statements.
not detecting a material misstatement resulting 11. We communicate with those charged with governance
from fraud is higher than for one resulting from regarding, among other matters, the planned scope
error, as fraud may involve collusion, forgery, and timing of the audit and significant audit findings,
intentional omissions, misrepresentations, or including any significant deficiencies in internal control
override of internal control. that we identify during our audit.
• Obtain an understanding of internal control 12. We also provide those charged with governance with
relevant to the audit in order to design a statement that we have complied with relevant
audit procedures that are appropriate in the ethical requirements regarding independence, and to
circumstances. Under section 143(3)(i) of the communicate with them all relationships and other
Act, we are also responsible for expressing our matters that may reasonably be thought to bear on
opinion on whether the Company has adequate our independence, and where applicable, related
internal financial controls system with reference safeguards.
to financial statements in place and the operating
effectiveness of such controls. 13. From the matters communicated with those charged
with governance, we determine those matters that
• Evaluate the appropriateness of accounting were of most significance in the audit of the financial
policies used and the reasonableness of statements of the current period and are therefore the
accounting estimates and related disclosures key audit matters. We describe these matters in our
made by management. auditors’ report unless law or regulation precludes
• Conclude on the appropriateness of public disclosure about the matter or when, in
management’s use of the going concern basis extremely rare circumstances, we determine that a
of accounting and, based on the audit evidence matter should not be communicated in our report
obtained, whether a material uncertainty exists because the adverse consequences of doing so would
related to events or conditions that may cast reasonably be expected to outweigh the public interest
significant doubt on the Company’s ability to benefits of such communication.
continue as a going concern. If we conclude that

94
Standalone
REPORT ON OTHER LEGAL AND REGULATORY adequacy and operating effectiveness of the
REQUIREMENTS Company’s internal financial controls with
14. As required by Sec 197(16) of the Act, we report that reference to financial statements.
the Company has paid remuneration to its directors (g) With respect to the other matters to be included
during the year in accordance with the provisions in the Auditor’s Report in accordance with Rule
of and limits laid down under section 197 read with 11 of the Companies (Audit and Auditors) Rules,
schedule V to the Act. 2014, in our opinion and to the best of our
15. As required by the Companies (Auditor’s Report) Order, information and according to the explanations
2020 (“the Order”), issued by the Central Government given to us:
of India in terms of sub section (11) of section 143 of i. The Company does not have any pending
the Companies Act, 2013, we give in “Appendix - A” a litigations which would impact its financial
statement on the matters specified in paragraphs 3 position in its financial statements;
and 4 of the Order, to the extend applicable.
ii. The Company did not have any long-term
16. As required by Section 143(3) of the Act, we report contracts including derivative contracts for
that: which there were any material foreseeable
(a) We have sought and obtained all the information losses;
and explanations which to the best of our iii. There were no amounts which were required
knowledge and belief were necessary for the to be transferred to the Investor Education
purposes of our audit of the financial statements. and Protection Fund by the Company.
(b) In our opinion, proper books of account as iv.
required by law have been kept by the Company
so far as it appears from our examination of a. The Management has represented
those books. that, to the best of its knowledge and
belief, no funds have been advanced
(c) The Balance Sheet, the Statement of Profit or loaned or invested (either from
and Loss (including Other Comprehensive borrowed funds or securities premium
Income), the Statement of Changes in Equity or any other sources or kind of
and the Statement of Cash Flows dealt with by funds) by the Company to or in any
this Report are in agreement with the books of persons or entities, including foreign
account for the purpose of preparation of the entities (‘the intermediaries’), with
financial statements. the understanding, whether recorded
(d) In our opinion, the aforesaid financial statements in writing or otherwise, that the
comply with the Accounting Standards specified intermediary shall, whether, directly or
under Section 133 of the Act read with the indirectly lend or invest in other persons
Companies (Indian Accounting Standards) Rules, or entities identified in any manner
2015, as amended. whatsoever by or on behalf of the
Company (‘the Ultimate Beneficiaries’)
(e) On the basis of the written representations or provide any guarantee, security
received from the directors as on March 31, 2023 or the like on behalf the Ultimate
taken on record by the Board of Directors, none of Beneficiaries.
the directors is disqualified as on March 31, 2023
from being appointed as a director in terms of b. The Management has represented
Section 164(2) of the Act. that, to the best of its knowledge and
belief, no funds have been received
(f) With respect to the adequacy of the internal by the Company from any persons
financial controls with reference to financial or entities, including foreign entities
statements of the Company and the operating (‘the Funding Parties’), with the
effectiveness of such controls, refer to our understanding, whether recorded in
separate report in “Appendix-B”. Our report writing or otherwise, that the Company
expresses an unmodified opinion on the shall, whether directly or indirectly, lend

95
or invest in other persons or entities vi. Proviso to Rule 3(1) of the Companies
identified in any manner whatsoever (Accounts) Rules, 2014 for maintaining
by or on behalf of the Funding Party books of account using accounting
(‘Ultimate Beneficiaries’) or provide any software which has a feature of recording
guarantee, security or the like on behalf audit trail (edit log) facility is applicable to
of the Ultimate Beneficiaries; and the Company with effect from April 1, 2023,
and accordingly, reporting under Rule 11(g)
c. Based on such audit procedures
of Companies (Audit and Auditors) Rules,
performed as considered reasonable
2014 is not applicable for the financial year
and appropriate in the circumstances,
ended March 31, 2023.
nothing has come to our attention
that causes us to believe that the
For Brahmayya & Co.,
management representations under
Chartered Accountants
sub-clauses (a) and (b) above contain
ICAI Firm Registration No: 000515S
any material misstatement.
v. The Company has paid dividend during the G. Srinivas

year which is in compliance with section Partner
Membership No: 086761
123 of the Companies Act, 2013.
UDIN No. 23086761BGWJIF3287
Place: Bengaluru

96
APPENDIX-A TO THE INDEPENDENT AUDITOR’S REPORT
Standalone
The Appendix referred to in Independent Auditors’ Report to (iii)
the members of the Company on the financial statements
(a) The Company’s principal business is to give
for the year ended March 31, 2023, we report that:
loans. Hence, the provisions stated in paragraph
(i) In respect of the Company’s Property, Plant and 3(iii)(a) of the Order are not applicable to the
Equipment and Intangible Assets Company.
(a) (A) The Company has maintained proper (b) In our opinion, having regard to the nature of
records showing full particulars, including the Company’s business, the investments made
quantitative details and situation of Property, and the terms and conditions of the grant of all
Plant and Equipment (‘PPE’) and relevant loans and advances in the nature of loans and
details of Right-of-use assets. guarantees provided are not prejudicial to the
Company’s interest;
(B) The Company has maintained proper
records showing full particulars of intangible (c) In respect of the aforesaid loans and advances
assets. in nature of loans, the schedule of repayment
of principal and payment of interest have been
(b) The Company has a regular program of physically
stipulated by the Company. Considering that the
verifying all fixed assets at its offices in a phased
Company is a Non-Banking Financial Company
manner, which in our opinion is reasonable
engaged in the business of granting loans in the
having regard to the size of the Company and the
micro finance industry, the details of the amount,
nature of its assets.
due date for payment and extent of delay (that
Based on the information and explanation given has been suggested in the Guidance Note on
to us and on verification of the records of the CARO 2020 issued by the Institute of Chartered
Company, the Company has physically verified Accountants of India for reporting under this
the fixed assets as per their program during the clause) have not been detailed hereunder because
year. No material discrepancies as compared to it is not practicable to furnish such details owing
book records were noticed on such verification. to the voluminous nature of data generated in
(c) According to the information and explanations the normal course of the Company’s business.
given to us and on the basis of our examination Further, except for the instances where there
of the records of the Company’s (other than are delays or defaults in repayment of principal
properties where the Company is the lessee and/ or interest and in respect of which the
and the lease agreements are duly executed in Company has recognized necessary provisions
favour of the lessee), the title deeds of immovable in accordance with the principles of Indian
properties are held in the name of the Company. Accounting Standards (Ind AS) and the guidelines
issued by the Reserve Bank of India (“RBI”) for
(d) The Company has not revalued any of its Income Recognition and Asset Classification,
Property, Plant and Equipment (including right- the parties are repaying the principal amounts,
of-use assets) and intangible assets during the as stipulated, and are also regular in payment of
year. interest, as applicable.
(e) No proceedings have been initiated during the (d) According to the information and explanations
year or are pending against the Company as at given to us and on the basis of our examination
March 31, 2023 for holding any benami property of the records of the Company, ` 117.52 Crores
under the Benami Transactions (Prohibition) amount overdue for more than ninety days.
Act, 1988 (as amended in 2016) and rules made
thereunder. (e) The Company’s principal business is to give
loans. Hence, the provisions stated in paragraph
(ii) The Company is not carrying on any trading or 3(iii)(e) of the Order are not applicable to the
manufacturing activities and hence does not have Company.
inventories. Therefore, paragraph 3(ii) of the Order is
not applicable to the Company. (f) The Company has not granted any loans or
advances in the nature of loans either repayable
on demand or without specifying any terms or

97
APPENDIX-A TO THE INDEPENDENT AUDITOR’S REPORT (Contd.)
period of repayment during the year. Hence, repayment of loans or borrowings to Financial
reporting under clause 3(iii)(f) is not applicable. Institutions, Banks and monies raised by issue
of debentures. The Company has not raised any
(iv) The Company has not advanced loans or made
loan from Government.
investments in or provided guaranty or security to
parties covered by section 185 and section 186 is not (b) The Company has not been declared wilful
applicable to the Company. Hence reporting under defaulter by any bank or financial institution or
paragraph 3(iv) of the Order is not applicable. other lender.
(v) The Company has not accepted any deposits from (c) According to the information and explanations
the public, within the meaning of Section 73 to 76 or provided to us, the Company has applied the
any other relevant provisions of the Act and Rules loans for which the loans were obtained.
framed thereunder. We are informed that no order has
(d) On an overall examination of financial statements
been passed by the Company Law Board or National
of the Company, funds raised on short-term basis
Company Law Tribunal or Reserve Bank of India or any
have, prima facie, not been used during the year
court or other tribunal.
for long-term purposes by the Company.
(vi) According to the information and explanations given
(e) According to the information and explanation
to us, in respect of the class of industry the Company
provided to us and based on our examination
falls under, the Central Government has not specified
of the records of the Company, the Company
the maintenance of cost records under section 148 (1)
doesn’t have any subsidiaries, Joint ventures
of the Act. Therefore, the provisions of clause (vi) of
or associate companies. Accordingly, reporting
the Order are not applicable to the Company.
under this clause is not applicable.
(vii) (a) According to the records of the Company, the
(x) (a) According to the information and explanations
Company is generally regular in depositing
given by the management, the Company has not
undisputed statutory dues payable including
raised moneys by way of initial public offer or
Provident Fund, Employees’ State Insurance,
further public offer. However, money raised from
Income Tax, Goods and Services Tax, and Cess
debt instruments have been, prima facie, applied
and other material statutory dues as applicable
for the purposes for which they were raised.
to the Company with the appropriate authorities.
According to the information and explanations (b) During the year, the Company has utilized funds
given to us, no undisputed amounts payable raised by way of preferential allotment of shares
in respect of Provident Fund, Employees’ State for the purposes for which they were raised.
Insurance Income Tax, Goods and Services Tax, (xi) (a) Based upon the audit procedures performed
and Cess were in arrears as at March 31, 2023 for for the purpose of reporting the true and fair
a period of more than six months from the date view of the financial statements and as per the
they became payable. information and explanations given to us by the
(b) According to the information and explanations Management and the representations obtained
given to us, there are no dues in respect of income from the management, we report that no material
tax, sales tax, service tax, value added tax, goods fraud by the Company and no material fraud
and service tax, customs duty, excise duty, cess on the Company by its officers or employees,
which have not been deposited on account of except for 365 cases of frauds in the nature of
dispute. ‘fraudulent encashment / manipulation of books
of accounts’ amounting to ` 1.56 Crores on the
(viii) There were no transactions relating to previously
Company have been noticed or reported during
unrecorded income that have been surrendered
the year.
or disclosed as income during the year in the tax
assessments under the Income Tax Act, 1961. (b) No report under sub-section (12) of section 143
of the Companies Act has been filed in Form
(ix)
ADT-4 as prescribed under rule 13 of Companies
(a) On the basis of verification of records and (Audit and Auditors) Rules, 2014 with the Central
according to the information and explanations Government, during the year and upto the date of
given to us, the Company has not defaulted in this report.

98
Standalone
(c) We have taken into consideration the whistle (xviii) There has been no resignation of the statutory
blower complaints received by the Company auditors of the Company during the year.
during the year, while determining the nature,
(xix) On the basis of the financial ratios, ageing and
timing and extent of our audit procedures.
expected dates of realization of financial assets and
(xii) In our opinion and according to the information and payment of financial liabilities, other information
explanations given to us, the Company is not a Nidhi accompanying the financial statements and our
company. Accordingly, the provisions of clause 3(xii) knowledge of the Board of Directors and Management
of the order are not applicable to the Company and plans and based on our examination of the evidence
hence not commented upon. supporting the assumptions, nothing has come to our
attention, which causes us to believe that any material
(xiii) In our opinion and according to the information and
uncertainty exists as on the date of the audit report
explanations given to us, based on verification of
indicating that Company is not capable of meeting its
the records and approvals of the Audit Committee,
liabilities existing at the date of balance sheet as and
the Company is in compliance with Section 177
when they fall due within a period of one year from the
and Section 188 of the Act, where applicable, for all
balance sheet date. We, however, state that this is not
transactions with the related parties and the details
an assurance as to the future viability of the Company.
of related party transactions have been disclosed in
We further state that our reporting is based on the
the financial statements as required by the applicable
facts up to the date of the audit report and we neither
accounting standards.
give any guarantee nor any assurance that all liabilities
(xiv) According to the information and explanations given falling due within a period of one year from the balance
to us and on an overall examination of the books of sheet date, will get discharged by the Company as and
account: when they fall due.
(a) In our opinion the Company has an adequate (xx) (a) There are no unspent amount towards Corporate
internal audit system commensurate with the Social Responsibility (CSR) in respect of other
size and the nature of its business. than ongoing projects.
(b) We have considered, the internal audit reports (b) In respect of ongoing projects, the Company
for the year under audit, issued to the Company has transferred unspent Corporate Social
during the year and till date, in determining the Responsibility (CSR) amount as at the end of
nature, timing and extent of our audit procedures. the previous financial year, to a Special account
(xv) According to the information and explanations given within a period of 30 days from the end of the said
to us and based on our examination of the records of financial year in compliance with the provision of
the Company, the Company has not entered into non- section 135(6) of the Act.
cash transactions with directors or persons connected (xxi) The reporting under clause 3(xxi) is not applicable
with him as referred to in section 192 of companies in respect of audit of financial statements of the
Act, 2013. Accordingly, paragraph 3(xv) of the Order is Company. Accordingly, no comment has been included
not applicable. in respect of said clause under this report.
(xvi) (a) The Company is registered under section 45-IA
of the Reserve Bank of India Act, 1934.
(b) In our opinion, there is no core investment For Brahmayya & Co.,
company within the Group (as defined in the Chartered Accountants
Core Investment Companies (Reserve Bank) ICAI Firm Registration No: 000515S
Directions, 2016) and accordingly reporting under
clause 3(xvi)(d) of the Order is not applicable.
G. Srinivas
(xvii) The Company has not incurred cash losses during the
Partner
financial year covered by our audit and the immediately Place: Bengaluru Membership No: 086761
preceding financial year. Date: April 21, 2023 UDIN No. 23086761BGWJIF3287

99
Report on the Internal Financial Controls under Clause (i) financial reporting included obtaining an understanding of
of Sub-section 3 of Section 143 of the Companies Act, internal financial controls over financial reporting, assessing
2013 (“the Act”) the risk that a material weakness exists, and testing and
evaluating the design and operating effectiveness of
We have audited the internal financial controls over financial
internal control based on the assessed risk. The procedures
reporting of IIFL Samasta Finance Limited (“the Company”)
selected depend on the auditor’s judgment, including the
as of March 31, 2023 in conjunction with our audit of the Ind
assessment of the risks of material misstatement of the
AS financial statements of the Company for the year ended
financial statements, whether due to fraud or error.
on that date.
We believe that the audit evidence we have obtained is
MANAGEMENTS RESPONSIBILITY FOR INTERNAL sufficient and appropriate to provide a basis for our audit
FINANCIAL CONTROLS opinion on the Company’s internal financial controls system
The Company’s management is responsible for establishing over financial reporting.
and maintaining internal financial controls based on the
internal control over financial reporting criteria established MEANING OF INTERNAL FINANCIAL CONTROLS OVER
by the Company considering the essential components of FINANCIAL REPORTING
internal control stated in the Guidance Note on Audit of A company’s internal financial control over financial reporting
Internal Financial Controls over Financial Reporting issued is a process designed to provide reasonable assurance
by the Institute of Chartered Accountants of India (ICAI). regarding the reliability of financial reporting and the
These responsibilities include the design, implementation preparation of financial statements for external purposes in
and maintenance of adequate internal financial controls accordance with generally accepted accounting principles.
that were operating effectively for ensuring the orderly A company’s internal financial control over financial
and efficient conduct of its business, including adherence reporting includes those policies and procedures that (1)
to company’s policies, the safeguarding of its assets, the pertain to the maintenance of records that, in reasonable
prevention and detection of frauds and errors, the accuracy detail, accurately and fairly reflect the transactions and
and completeness of the accounting records, and the timely dispositions of the assets of the Company; (2) provide
preparation of reliable financial information, as required reasonable assurance that transactions are recorded as
under the Companies Act, 2013. necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles,
AUDITOR’S RESPONSIBILITY and that receipts and expenditures of the Company are
Our responsibility is to express an opinion on the Company’s being made only in accordance with authorizations of
internal financial controls over financial reporting based management and directors of the Company; and (3) provide
on our audit. We conducted our audit in accordance with reasonable assurance regarding prevention or timely
the Guidance Note on Audit of Internal Financial Controls detection of unauthorized acquisition, use, or disposition of
Over Financial Reporting (the “Guidance Note”) and the the Company’s assets that could have a material effect on
Standards on Auditing, issued by ICAI and deemed to be the financial statements.
prescribed under section 143(10) of the Companies Act,
2013, to the extent applicable to an audit of internal financial INHERENT LIMITATIONS OF INTERNAL FINANCIAL
controls, both applicable to an audit of Internal Financial CONTROLS OVER FINANCIAL REPORTING
Controls and, both issued by the Institute of Chartered Because of the inherent limitations of internal financial
Accountants of India. Those Standards and the Guidance controls over financial reporting, including the possibility
Note require that we comply with ethical requirements and of collusion or improper management override of controls,
plan and perform the audit to obtain reasonable assurance material misstatements due to error or fraud may occur
about whether adequate internal financial controls over and not be detected. Also, projections of any evaluation
financial reporting was established and maintained and if of the internal financial controls over financial reporting
such controls operated effectively in all material respects. to future periods are subject to the risk that the internal
financial control over financial reporting may become
Our audit involves performing procedures to obtain audit
inadequate because of changes in conditions, or that the
evidence about the adequacy of the internal financial
degree of compliance with the policies or procedures may
controls system over financial reporting and their operating
deteriorate.
effectiveness. Our audit of internal financial controls over

100
Standalone
OPINION
In our opinion, the Company has, in all material respects,
an adequate internal financial Control system over financial
reporting and such internal financial controls over financial
reporting were operating effectively as at March 31, 2023,
based on the internal control over financial reporting criteria
established by the Institute of Chartered Accountants of
India.
For Brahmayya & Co.,

Chartered Accountants
ICAI Firm Registration No: 000515S
G. Srinivas
Partner
Place: Bengaluru Membership No: 086761
Date: April 21, 2023 UDIN No. 23086761BGWJIF3287

101
BALANCE SHEET
AS AT MARCH 31, 2023
(` in Crores)
Particulars Notes As at As at
March 31, 2023 March 31, 2022
ASSETS
1 Financial assets
(a) Cash and cash equivalents 3 227.11 455.08
(b) Bank Balance other than (a) above 3 382.39 255.56
(c) Derivative financial instruments 4 9.22 9.87
(d) Receivables
(i) Trade Receivables 5 17.98 8.48
(ii) Other Receivables -
(e) Loans 6 7,736.08 5,518.63
(f) Investments 7 160.42 0.05
(g) Other Financial assets 8 289.48 51.96
2 Non-financial assets
(a) Other non-financial assets 9 5.70 14.11
(b) Current tax assets (Net) 10 2.12 1.64
(c) Deferred tax Assets (Net) 11 45.04 63.12
(d) Investment Property 12 0.05 0.05
(e) Property, Plant and Equipment 13 20.36 9.12
(f) Right to Use 13 8.15 6.75
(g) Other Intangible assets 14 - 0.01
Total Assets 8,904.10 6,394.43
LIABILITIES AND EQUITY

Liabilities
1 Financial liabilities
(a) Derivative financial instruments 4 9.22 9.87
(b) Payables
(I) Trade Payables
(i) total outstanding dues of micro enterprises and small - -
enterprises
(ii) total outstanding dues of creditors other than micro 15 20.38 8.06
enterprises and small enterprises
(II) Other Payables
(i) total outstanding dues of micro enterprises and small -
enterprises
(ii) total outstanding dues of creditors other than micro -
(c) Debt Securities 16 477.00 514.81
(d) Borrowings (Other than Debt Securities) 17 6,328.70 4,603.36
(e) Unsecured/ Subordinated Liabilities 18 464.60 140.72
(f) Lease Liability 19 9.21 7.42
(g) Other financial liabilities 20 232.80 91.36
2 Non-financial liabilities
(a) Current tax liabilities (net) 21 0.18 5.51
(b) Provisions 22 13.29 8.46
(c) Other non-financial liabilities 23 26.57 5.58
3 Equity
(a) Equity share capital 24 593.64 498.22
(b) Other equity 25 728.51 501.06
Total Liabilities and Equity 8,904.10 6,394.43
Significant Accounting policies 2
Accompanying notes are an integral part of these financial statements.
As per our attached report of even date.

For Brahmayya & Co., For and on behalf of the Board of Directors
Chartered Accountants of IIFL Samasta Finance Limited
Firm No. 000515S
G.Srinivas N. Venkatesh D. Shivaprakash

Partner Managing Director Whole-Time Director
M. No. 086761 DIN : 01018821 DIN : 02216802
Place: Bengaluru Anantha Kumar T Manoranjan Biswal

Date: 21-04-2023 Chief Financial Officer Company Secretary

102
STATEMENT OF PROFIT AND LOSS
Standalone
FOR THE YEAR ENDED MARCH 31, 2023
(` in Crores)
Sr. Particulars Notes Year ended Year ended
No March 31, 2023 March 31, 2022
Revenue from operations
(a) Interest Income 26 1,539.63 984.23
(b) Fees and commission Income 27 100.67 26.09
(c) Net gain on derecognition of financial instruments under amortized cost 28 105.93 2.47
category
(I) Total Revenue from operations 1,746.23 1,012.79
(II) Other Income 29 7.28 7.14
(III) Total Income (I+II) 1,753.51 1,019.93
Expenses
(a) Finance Costs 30 586.98 395.10
(b) Net loss on derecognition of financial instruments under amortized cost 31 450.91 138.58
category
(c) Impairment on financial instruments 32 4.37 98.72
(d) Employee Benefits Expenses 33 393.87 236.65
(e) Depreciation, amortization and impairment 12, 13, 13.24 7.86
14
(f) Others expenses 34 145.63 84.07
(IV) Total Expenses 1,595.00 960.98
(V) Profit before exceptional items and tax (III-IV) 158.51 58.95
(VI) Tax expense:
(1) Current Tax 35 13.77 36.77
(2) Tax related to Earlier Years 35 (1.63) (0.19)
(3) Deferred Tax 35 18.19 (28.23)
Total Tax Expense (1+2+3) 30.33 8.35
(VII) Profit for the year (VI-VI) 128.18 50.60
(VIII) Other Comprehensive Income
(A) (i) Items that will not be reclassified to profit or loss 35 (0.42) (1.11)
(ii) Income tax relating to items that will not be reclassified to 35 0.11 0.28
profit or loss
Subtotal (A) 35 (0.31) (0.83)
(B) (i) Items that will be reclassified to profit or loss

(ii) Income tax relating to items that will be reclassified to profit
or loss
Subtotal (B) - -
Other Comprehensive Income (0.31) (0.83)

(IX) Total Comprehensive Income for the period (Comprising Profit and 127.87 49.77
other Comprehensive Income for the period) (VII+VIII)
(X) Earnings per equity share
Basic (`) 2.50 1.22
Diluted (`) 2.50 1.22
Significant Accounting Policies 2

Firm No. 000515S

M. No. 086761 DIN : 01018821 DIN : 02216802


103
CASH FLOW STATEMENT
(` in Crores)
March 31, 2023 March 31, 2022
1 CASH FLOWS FROM OPERATING ACTIVITIES
Net profit before taxation, and extraordinary item 158.51 58.95
Adjustments for:
Depreciation 13.23 7.86
Net (gain) / loss on derecognition of financial instruments under amortized (93.20) 6.74
cost category
Interest income on FD's (17.66) (10.65)
Short Term Capital Gain (7.01) (7.02)
Gratuity and Leave Salary 4.51 2.20
Profit on sale of assets - -
Dividend income - -
Provisions for Standard and Non Performing Assets 4.37 98.73
Net loss on derecognition of financial instruments under amortized cost 450.91 131.84
category
Operating profit before working capital changes 513.67 288.64

(Increase) / Decrease in Trade Receivables (9.50) (5.42)
(Increase) / Decrease in loans (2,672.74) (1,786.16)
(Increase) / Decrease in Other Assets (153.59) (31.37)
Increase / (Decrease) in Other Liabilities 190.61 (126.62)
Increase / (Decrease) in trade payables 12.32 (0.54)
Changes in Working Capital (2,632.91) (1,950.12)
Cash generated from operations (2,119.24) (1,661.48)

Income taxes paid (5.10) (29.00)
Net cash from operating activities (2,124.34) (1,690.48)
2 CASH FLOWS FROM INVESTING ACTIVITIES

Purchase of PPE (22.25) (9.37)
Proceeds from sale of equipment 0.01 0.01
Purchase of Investments (8,136.40) (6,117.79)
Investment in Deposits (126.83) (101.12)
Sale of Investments 8,143.41 6,124.81
Investment in Security Receipts (160.37) -
Interest received 17.85 8.42
Dividends received - -
Net cash from investing activities (284.58) (95.04)

104
CASH FLOW STATEMENT
Standalone
FOR THE YEAR ENDED MARCH 31, 2023 (Contd.)
(` in Crores)
March 31, 2023 March 31, 2022
3 CASH FLOWS FROM FINANCING ACTIVITIES
Proceeds from issuance of share capital 200.00 300.00
Proceeds from long-term borrowings 6,093.24 4,000.77
Repayment of long-term borrowings (4,104.33) (2,209.79)
Interest paid
Dividends paid (4.98) -
Net cash used in financing activities 2,183.93 2,090.98

4 NET INCREASE/(DECREASE) IN CASH AND CASH EQUIVALENTS (224.98) 305.46
5 CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD 452.09 146.63
6 CASH AND CASH EQUIVALENTS AT END OF PERIOD 227.11 452.09

Firm No. 000515S

M. No. 086761 DIN : 01018821 DIN : 02216802


105
NOTES FORMING PART OF FINANCIAL STATEMENTS
NOTE 1. CORPORATE INFORMATION: Any revision to accounting estimates is recognized

IIFL Samasta Finance Limited (Formerly known as prospectively in the current and future period.
Samasta microfinance Limited) has its registered office at This note provides an overview of the areas that
Bangalore, India and was Incorporated under the Provisions involved a higher degree of judgment or complexity,
of Companies Act,1956. The Company has obtained and of items which are more likely to be materially
certificate of registration from RBI dated 05-09-2013. adjusted due to estimates and assumptions turning
The Company is categorized as systematically important out to be different than those originally assessed.
Non Banking Finance (non - deposit accepting or holding) Detailed information about each of these estimates and
Company - micro Finance Institution (NBFC MFI) under judgments is included in the relevant notes together
the provisions of RBI Act 1934. The Company is engaged with information about the basis of calculation for
in providing micro finance services to women who are each affected line item in the financial statements.
enrolled as members and organized as Joint Liability Group
(‘JLG’), Small business loans and loans against property. The areas involving critical estimates are:
The Company is a subsidiary of IIFL Finance Limited. i) Determining inputs into the ECL measurement
model - (Refer Note h)
NOTE 2. SIGNIFICANT ACCOUNTING POLICIES AND
ii) Estimation of defined benefit obligation - (Refer
KEY ACCOUNTING ESTIMATES AND JUDGEMENTS
Note s (II))
a) Basis of Preparation of financial statements:
The areas involving critical judgements are:
The financial statements, together with the
i) Classification of financial assets : Assessment of
comparative period date as at and for the year ended
the business model within which the assets are
March 31, 2023, comply in all material aspects with
held and assessment of whether the contractual
Indian Accounting Standards (Ind AS) notified under
terms of the financial asset are Solely Payment
Section 133 of the Companies Act, 2013 (the Act)
of Principal and Interest (SPPI) on the principal
[Companies (Indian Accounting Standards) Rules,
amount outstanding.
2015], as amended and other relevant provisions of
the Act. ii) Derecognition of financial assets and
The Company has followed statutory requirements, securitization.
circulars and guidelines issued by the Reserve Bank iii) Categorization of loan portfolios
of India (RBI) for Non-Banking Financial Companies
(NBFC), time to time. d) Business Combinations
Business combinations are accounted for using the
b) Historical cost convention: acquisition method. At the acquisition date, identifiable
The financial statements have been prepared on a assets acquired and liabilities assumed are measured
historical cost basis, except for the following: at fair value. For this purpose, the liabilities assumed
1) certain financial assets and liabilities (including include contingent liabilities representing present
derivative instruments) are measured at fair obligation and they are measured at their acquisition
value as stated in notes; date fair values irrespective of the fact that outflow
of resources embodying economic benefits is not
2) defined benefit plans – plan assets measured at probable. The consideration transferred is measured
fair value. at fair value at acquisition date and includes the fair
value of any contingent consideration. However,
c) Use of estimates and critical Estimates and
deferred tax asset or liability and any liability or asset
judgements
relating to employee benefit arrangements arising
The preparation of financial statements requires from a business combination are measured and
management to make certain estimates and recognized in accordance with the requirements of Ind
assumptions that affect the amounts reported in AS 12, Income Taxes and Ind AS 19, Employee Benefits
the financial statements and notes thereto. The respectively.
management believes that these estimates and
assumptions are reasonable and prudent. However, Where the consideration transferred exceeds the
actual results could differ from these estimates. fair value of the net identifiable assets acquired and

106
Standalone
liabilities assumed, the excess is recorded as goodwill. ii) Intangible Asset

Alternatively, in case of a bargain purchase wherein the Intangible assets acquired separately are
consideration transferred is lower than the fair value measured on initial recognition at cost. Intangible
of the net identifiable assets acquired and liabilities assets arising on acquisition of business are
assumed, the difference is recorded as a gain in other measured at fair value as at date of acquisition.
comprehensive income and accumulated in equity Following initial recognition, intangible assets
as capital reserve. The costs of acquisition excluding with finite useful life are carried at cost less
those relating to issue of equity or debt securities are accumulated amortization and accumulated
charged to the Statement of Profit and Loss in the impairment loss, if any.
period in which they are incurred.
iii) Investment Property
In case of business combinations involving entities
Investment Property are measured on initial
under common control, the above policy does not
recognition at cost. Transaction costs are
apply. Business combinations involving entities under
included in the initial measurement. The cost
common control are accounted for using the pooling
of a purchased investment property comprises
of interests method. The net assets of the transferor
its purchase price and any directly attributable
entity or business are accounted at their carrying
expenditure. Directly attributable expenditure
amounts on the date of the acquisition subject
includes, for example, professional fees for
to necessary adjustments required to harmonize
legal services, property transfer taxes and other
accounting policies. Any excess or shortfall of the
transaction costs. Following initial recognition,
consideration paid over the share capital of transferor
an entity shall measure all of its investment
entity or business is recognized as capital reserve
properties in accordance with Ind AS 40’s
under equity.
requirements for cost model.
e) Non Financial Assets: Depreciation/ Amortization
Measurement Depreciation on each item of PPE and Investment
i) Property, Plant and Equipment Property is provided using the Straight-Line
PPE (Property Plant and Equipment) is recognized Method based on the useful lives of the assets
when it is probable that future economic benefits as estimated by the management and is charged
associated with the item will flow to the Company to the Statement of Profit and Loss. The estimate
and the cost of the item can be measured reliably. of the useful life of the assets has been assessed
PPE is stated at original cost net of tax, if any, based on the nature of the asset, the usage of
less accumulated depreciation. Cost includes the asset, expected physical wear and tear, the
professional fees related to the acquisition of operating conditions of the asset, anticipated
PPE and for qualifying assets, borrowing costs technological changes, manufacturers warranties
capitalised in accordance with the Company’s and maintenance support, etc. Freehold land is
accounting policy, less GST to the extent credit of not depreciated.
tax is availed. Following initial recognition, items Intangible Assets with finite lives are amortized
of property, plant and equipment are carried on a Straight Line basis over the estimated useful
at its cost less accumulated depreciation and economic life and is recognized in the Statement
accumulated impairment losses. of Profit and Loss.
Subsequent costs are included in the asset’s Individual assets costing up to `5,000 has been
carrying amount or recognized as a separate depreciated in full in the year of purchase.
asset, as appropriate, only when it is probable
that future economic benefits associated with No depreciation is charged from the month in
the item will flow to the Company and the cost which assets are sold. Depreciation/ Amortization
of the item can be measured reliably. All repairs on PPE, Investment Property and Intangible
and maintenance are charged to the Statement Assets added or disposed off during the year is
of Profit and Loss during the reporting period in calculated on pro- rata basis with reference to
which they are incurred. the date of addition or deletion.

107
Estimated useful life of the assets is as under: discount rate that reflects current market rates and
the risk specific to the asset. For an asset that does
Class of assets Useful life in years
not generate largely independent cash inflows, the
Buildings * 20
recoverable amount is determined for the CGU to
Furniture and fixtures * 5
which the asset belongs. Fair value less cost to sell
Office equipment * 5
Electrical Equipment * 5 is the best estimate of the amount obtainable from
Vehicles * 5 the sale of an asset in an arm’s length transaction
Computers * 3 between knowledgeable, willing parties, less the cost
Software * 3 of disposal. Impairment losses, if any, are recognized
in the Statement of Profit and Loss and included in
* For these class of assets, based on internal
depreciation and amortization expenses.
assessment and independent technical
evaluation carried out by external valuers the Impairment losses are reversed in the Statement
management believes that the useful lives as of Profit and Loss only to the extent that the asset’s
given above best represent the period over which carrying amount does not exceed the carrying amount
management expects to use these assets. Hence that would have been determined if no impairment
the useful lives for these assets is different from loss had previously been recognized.
the useful lives as prescribed under Part C of
Schedule II of the Companies Act 2013. g) Financial Instruments:
A financial instrument is any contract that gives rise to
Derecognition
a financial asset of one entity and a financial liability or
The carrying amount of an item of PPE, equity instrument of another entity.
Investment Property and Intangible Asset is
derecognized (eliminated from the balance sheet) h) Financial Assets
on disposal or when no future economic benefits Business Model Assessment
are expected from its use or disposal. The gain
The Company makes an assessment of the objective
or loss arising from the de-recognition of an item
of a business model in which an asset is held at a
of property, plant and equipment is measured as
portfolio level because this best reflects the way the
the difference between the net disposal proceeds
business is managed and information is provided to
and the carrying amount of the item and is
management.
recognized in the Statement of Profit and Loss
when the item is derecognized. Assessment of whether contractual cash flows are
solely payments of principal and interest
f) Impairment of Non Financial Assets
For the purpose of this assessment, ‘principal’ is
Assets that have an indefinite useful life, for example
defined as the fair value of the financial asset on initial
goodwill, are not subject to amortization and are
recognition. ‘Interest’ is defined as consideration
tested for impairment annually and whenever there is
for the time value of money and for the credit risk
an indication that the asset may be impaired. Assets
associated with the principal amount outstanding
that are subject to depreciation and amortization are
during a particular period of time and for other basic
reviewed for impairment, whenever events or changes
lending risks and costs, as well as profit margin.
in circumstances indicate that carrying amount may
not be recoverable. Such circumstances include, In assessing whether the contractual cash flows are
though are not limited to, significant or sustained SPPI, the Company considers the contractual terms of
decline in revenues or earnings and material adverse the instrument. This includes assessing whether the
changes in the economic environment. financial asset contains a contractual term that could
change the timing or amount of contractual cash
An impairment loss is recognized whenever the
flows such that it would not meet this condition.
carrying amount of an asset or its Cash Generating
Unit (CGU) exceeds its recoverable amount. The Reclassifications
recoverable amount of an asset is the greater of Financial assets are not reclassified subsequent to
its fair value less cost to sell and value in use. To their initial recognition, except in the period after the
calculate value in use, the estimated future cash flows Company changes its business model for managing
are discounted to their present value using a pre-tax financial assets.

108
Standalone
Initial recognition and measurement: A financial asset is measured at FVTOCI if both of

The Company recognizes a financial asset in the following conditions are met:
its Balance Sheet when it becomes party to the a) The Company’s business model objective
contractual provisions of the instrument. for managing the financial asset is achieved
All financial assets are recognized initially at fair value both by collecting contractual cash flows
plus, in the case of financial assets not recorded at and selling the financial assets, and
Fair Value Through Profit or Loss (FVTPL), transaction b) The contractual terms of the financial asset
costs that are attributable to the acquisition of the give rise on specified dates to cash flows that
financial asset. are solely payments of principal and interest
However, trade receivables that do not contain a on the principal amount outstanding.
significant financing component are measured at For the above category, income by way of interest
transaction price. and dividend, provision for impairment are
Subsequent measurement: recognized in profit or loss and changes in fair
value (other than on account of above income or
For subsequent measurement, the Company classifies
expense) are recognized in other comprehensive
a financial asset in accordance with the below criteria:
income and accumulated in other equity.
i. The Company’s business model for managing
On disposal of debt instruments at FVOCI, the
the financial asset and
cumulative gain or loss previously accumulated
ii. The contractual cash flow characteristics of the in other equity is reclassified to Statement of
financial asset. Profit and Loss.
Based on the above criteria, the Company classifies iii. Financial assets measured at FVTPL
its financial assets into the following categories: A financial asset is measured at FVTPL unless
i. Financial assets measured at amortized cost it is measured at amortized cost or at FVTOCI
as explained above. This is a residual category
ii. Financial assets measured at Fair Value Through
applied to all other investments of the Company
Other Comprehensive Income (FVTOCI)
excluding investments in subsidiaries and
iii. Financial assets measured at Fair Value Through associate. Such financial assets are subsequently
Profit or Loss (FVTPL) measured at fair value at each reporting date. Fair
value changes are recognized in the Statement of
i. Financial assets measured at amortized cost
Profit and Loss.
A financial asset is measured at the amortized
cost if both the following conditions are met: Derecognition:
a) The Company’s business model objective A financial asset (or, where applicable, a part of a
for managing the financial asset is to financial asset or part of a company of similar financial
hold financial assets in order to collect assets) is derecognized (i.e. removed from the
contractual cash flows, and Company’s Balance Sheet) when any of the following
occurs:
b) The contractual terms of the financial asset
give rise on specified dates to cash flows that i. The contractual rights to cash flows from the
are solely payments of principal and interest financial asset expires;
on the principal amount outstanding. ii. The Company transfers its contractual rights to
This category applies to cash and bank balances, receive cash flows of the financial asset and has
trade receivables, loans, investments and other substantially transferred all the risks and rewards
financial assets of the Company. Such financial of ownership of the financial asset;
assets are subsequently measured at amortized iii. The Company retains the contractual rights to
cost using the effective interest method. receive cash flows but assumes a contractual
ii. Financial assets measured at FVTOCI obligation to pay the cash flows without material
delay to one or more recipients under a ‘pass-

109
through’ arrangement (thereby substantially based on the Days Past Due status:
transferring all the risks and rewards of ownership
Stage Past Due ECL Regulatory
of the financial asset); Standards
iv. The Company neither transfers nor retains, Stage 1 30 days past 12 Month Equivalent to
due ECL standard assets
substantially all risk and rewards of ownership, as per RBI
Stage 2 31-90 Days Life time
and does not retain control over the financial Past Due ECL
asset. Stage 3 More than Life time Equivalent to
90 Days Past ECL NPA assets as
In cases where company has neither transferred nor Due per RBI
retained substantially all of the risks and rewards
of the financial asset, but retains control of the Measurement of ECL
financial asset, the Company continues to recognize ECL are a probability-weighted estimate of credit
such financial asset to the extent of its continuing losses. They are measured as follows :
involvement in the financial asset. In that case, the
Financial assets that are not credit-impaired at
Company also recognizes an associated liability.
the reporting date: As the present value of all cash
The financial asset and the associated liability are
shortfalls (i.e. the difference between the cash flows
measured on a basis that reflects the rights and
due to the Company in accordance with the contract
obligations that the Company has retained.
and the cash flows that the Company expects to
On Derecognition of a financial asset, (except as receive);
mentioned in ii above for financial assets measured at
Financial assets that are credit-impaired at the
FVTOCI), the difference between the carrying amount
reporting date: As the difference between the gross
and the consideration received is recognized in the
carrying amount and the present value of estimated
Statement of Profit and Loss.
future cash flows.
Impairment of financial assets:
Trade Receivables
The Company recognizes loss allowance for
For trade receivables, the Company applies the
Expected credit Loss “ECL” on the following financials
simplified approach which requires life-time ECL to be
instruments that are not measured at FVTPL :
recognized from initial recognition of the receivables.
i) Loans
Presentation of allowance for ECL in the statement
ii) Trade Receivables
of financial position
Loans
Loss allowances for ECL are presented in the
The Company measures loss allowances at an amount statement of financial position for financial assets
equal to lifetime ECL, except for financial instruments measured at amortized cost as a deduction from the
whose credit risk has not increased significantly gross carrying amount of the assets.
since initial recognition, for which a 12-month ECL is
computed. Write off
Life-time ECL is based on the result from all possible Loans are written off when there is no reasonable
default events over the expected life of the financial expectation of recovering in its entirety or a portion
instrument. thereof. This is generally the case when the Company
determines that the borrower does not have assets or
12-month ECL is based on the result from default sources of income that could generate sufficient cash
events on a financial instrument that are possible flows to repay the amounts subject to the write-off.
within the 12 months after the reporting date. This assessment is carried out at the individual asset
The assessment of whether lifetime ECL should be level.
recognized is based on significant increases in the Financial assets that are written off could still be
likelihood or risk of a default occurring since initial subject to recovery activities in order to comply with
recognition. The impairment methodology applied the Company’s procedures for recovery of amounts
depends on whether there has been a significant due.
increase in credit risk.
ii) Financial Liabilities
The Company categorises loan assets into stages

110
Standalone
Initial recognition and measurement: received to sell an asset or paid to transfer a liability in
The Company recognizes a financial liability in an orderly transaction between market participants at
its Balance Sheet when it becomes party to the the measurement date. The fair value measurement is
contractual provisions of the instrument. Having based on the presumption that the transaction to sell
regards to the terms and structure of issuance, the asset or transfer the liability takes place either:
Financial Liabilities are categorized as follows i. In the principal market for the asset or liability, or
(i) recognized at amortized costs (ii) recognized
at fair value through profit and loss (FVTPL) (iii) ii. In the absence of a principal market, in the most
where there is an embedded derivative as part of advantages market for the asset or liability.
the financial liability, such embedded derivative All assets and liabilities for which fair value is
is separated and recorded at fair value and the measured or disclosed in the financial statements
remaining component is categorized as on are categorized within the fair value hierarchy that
amortized costs. categorizes into three levels, described as follows, the
Subsequent measurement: inputs to valuation techniques used to measure value.
The fair value hierarchy gives the highest priority to
(i) All financial liabilities of the Company
quoted prices in active markets for identical assets
categorized as at amortized cost are
or liabilities (Level 1 inputs) and the lowest priority to
subsequently measured using the effective
unobservable inputs (Level 3 inputs).
interest method.
Level 1 — quoted (unadjusted) market prices in active
(ii) All financial liabilities of the Company
markets for identical assets or liabilities
categorized at fair value are subsequently
measured at fair value through profit and Level 2 — inputs other than quoted prices included
loss statement. within Level 1 that are observable for the asset or
liability, either directly or indirectly
(iii) For derivatives embedded in the liability,
the embedded derivative is subsequently Level 3 —inputs that are unobservable for the asset or
measured at fair value through profit liability
and loss and the liability is subsequently For assets and liabilities that are recognized in the
measured at amortized cost using the financial statements at fair value on a recurring
effective interest method. basis, the Company determines whether transfers
Derecognition: A financial liability is derecognized have occurred between levels in the hierarchy by re-
when the obligation under the liability is assessing categorization at the end of each reporting
discharged or cancelled or expires. period and discloses the same.
i) Derivative Financial Instruments l) Functional Currency

Derivatives Financial Contracts are initially recognized i) Functional and presentation currencies:
at fair value on the date a derivative contract is entered Items included in the financial statements are
into and are subsequently re-measured to their fair measured using the currency of the primary
value at the end of each reporting period. economic environment in which the Company
operates (‘the functional currency’). i.e. in Indian
j) Offsetting Financial Instruments
rupees (`) and all values are rounded off to nearest
Financial assets and liabilities are offset and the net Rupees except where otherwise indicated.
amount is reported in the balance sheet where there
is a legally enforceable right to offset the recognized ii) Transactions and balances
amounts and there is an intention to settle on a a. Foreign currency transactions are translated
net basis or realize the asset and settle the liability into functional currency using exchange
simultaneously. rates at the date of transaction.
k) Fair Value b. Foreign exchange gains and losses resulting

from the settlement of such transactions
The Company measures financial instruments at
and from the translation of monetary
fair value in accordance with the accounting policies
assets and liabilities denominated in foreign
mentioned above. Fair value is the price that would be

111
currencies at year end exchange rates are Fee and commission income that are not integral
generally recognized in the Statement of part of the effective interest rate on the financial
Profit and Loss. asset are recognized as the performance
obligation is are performed. There is no significant
m) Securitization transaction financing component in the consideration.
In accordance with Ind AS 109, in case of securitization
iii) Other Income:
where the risks and rewards are not transferred
completely, the assets are not derecognized and the Dividend income is recognized when the right to
liability to Special Purpose Vehicle (SPV) is shown receive income is established.
under borrowings. The gain arising on securitization is All other income is recognized on an accrual
amortized over the life of the securities issued by SPV. basis, when there is no uncertainty in the ultimate
Loss, if any, is recognized upfront in the Statement realization / collection.
of Profit and Loss for all types of Securitization
Transactions. p) Taxes on Income
The income tax expense or credit for the period is the tax
n) Assignment transaction
payable on the current period’s taxable income based
In accordance with Ind AS 109, in case of assignment on the applicable income tax rate for each jurisdiction
with complete transfer of risks and rewards without adjusted by the changes in deferred tax assets and
any retention of residual interest, gain arising on the liabilities attributable to temporary differences and
assignment is recorded upfront in the Statement of to unused tax losses. The current income tax charge
Profit and Loss and the loan is derecognized from is calculated on the basis of the tax laws enacted
the Statement of Assets and Liabilities immediately or substantively enacted at the end of the reporting
on sale of the loan. However, in cases where the risks period. Management periodically evaluates positions
and rewards are not transferred completely, then the taken in tax returns with respect to situations in which
gain arising on the assignment is amortized over the applicable tax regulation is subject to interpretation. It
remaining life of the loan. Loss, if any, is recognized establishes provisions where appropriate on the basis
upfront in the Statement of Profit and Loss for all types of amounts expected to be paid to the tax authorities.
of Assignment Transactions.
Deferred tax provided in full, using the liability method,
o) Revenue Recognition on temporary differences arising between the tax bases
i) Income from financing activity: of assets and liabilities and their carrying amounts
in the financial statements. However, deferred tax
Interest income is recognized using the Effective
liabilities are not recognized if they arise from the initial
Interest Rate (EIR) method for all financial
recognition of goodwill. Deferred income tax is also not
assets measured at amortized cost. The EIR is
accounted for if it arises from initial recognition of an
the rate that exactly discounts estimated future
asset or liability in a transaction other than a business
cash receipts through the expected life of the
combination that at the time of the transaction affects
financial asset, to its gross carrying amount. The
neither accounting profit nor taxable profit or loss.
calculation of the effective interest rate includes
Deferred income tax is determined using tax rates (and
transaction costs and transaction income that
laws) that have been enacted or substantially enacted
are directly attributable to the acquisition of a
by the end of the reporting period and are expected to
financial asset.
apply when the related deferred income tax asset is
For financial assets that are not Purchases realized or the deferred income tax liability is settled.
Originally credit Impaired “POCI” but have
Deferred tax assets are recognized only if it is probable
subsequently became credit-impaired (or
that future taxable amounts will be available to utilise
‘stage-3’), for which interest revenue is calculated
those temporary differences and losses.
by applying the effective interest rate to their
amortized cost (i.e. net of the expected credit loss Deferred tax assets and liabilities are offset when
provision). there is a legally enforceable right to offset current
tax assets and liabilities and when the deferred tax
ii) Other revenue from operation:
balances relate to the same taxation authority. Current

112
Standalone
tax assets and tax liabilities are offset where the entity there is a possible obligation or a present obligation
has a legally enforceable right to offset and intends in respect of which likelihood of outflow of resources
either to settle on a net basis, or to realise the asset embodying economic benefits is remote, no provision
and settle the liability simultaneously. or disclosure is made.
Current and deferred tax is recognized in the Statement r) Cash and Cash Equivalents
of Profit and Loss, except to the extent that it relates
Cash and cash equivalents for the purpose of Cash
to items recognized in other comprehensive income or
Flow Statement comprise cash and cheques in hand,
directly in equity. In this case, the tax is also recognized
bank balances, demand deposits with banks where
in other comprehensive income or directly in equity,
the original maturity is three months or less and other
respectively.
short term highly liquid investments.
A deferred tax asset is recognized for unclaimed tax
credits that are carried forward as deferred tax assets. s) Employee Benefits
I. Defined contribution plans:
Presentation of current and deferred tax:
Defined contribution plans are post-employment
Current and deferred tax are recognized as income or
benefit plans (such as Provident Fund) under
an expense in the Statement of Profit and Loss, except
which the Company pays fixed contributions
when they relate to items that are recognized in Other
into benefit schemes and will have no legal
Comprehensive Income, in which case, the current
or constructive obligation to pay further
and deferred tax income/expense are recognized in
contributions. The Company’s contributions to
Other Comprehensive Income.
defined contribution plans are recognized in the
The Company offsets current tax assets and current Statement of Profit and Loss in the financial year
tax liabilities, where it has a legally enforceable right to to which they relate.
set off the recognized amounts and where it intends
II. Defined benefit plans:
either to settle on a net basis, or to realize the asset and
settle the liability simultaneously. In case of deferred Gratuity is post employment benefit and is in the
tax assets and deferred tax liabilities, the same are nature of Defined Benefit Plan. The present value
offset if the Company has a legally enforceable right of the obligations under defined benefit plans is
to set off corresponding current tax assets against determined based on actuarial valuation using
current tax liabilities and the deferred tax assets and the Projected Unit Credit Method.
deferred tax liabilities relate to income taxes levied by The obligation is measured at the present value of
the same tax authority on the Company. the estimated future cash flows using a discount
rate based on the market yield on government
q) Provisions and Contingencies
securities of a maturity period equivalent to the
The Company recognizes provisions when a present weighted average maturity profile of the defined
obligation (legal or constructive) as a result of a benefit obligations at the Balance Sheet date.
past event exists and it is probable that an outflow
of resources embodying economic benefits will be Re-measurement, comprising actuarial gains
required to settle such obligation and the amount of and losses, the return on plan assets (excluding
such obligation can be reliably estimated. amounts included in net interest on the net
defined benefit liability or asset) and any change
If the effect of time value of money is material, in the effect of asset ceiling (if applicable) is
provisions are discounted using a current pre-tax rate recognized in other comprehensive income and
that reflects, when appropriate, the risks specific to the is reflected in retained earnings and the same is
liability. When discounting is used, the increase in the not eligible to be reclassified to profit or loss.
provision due to the passage of time is recognized as
a finance cost. Defined benefit costs comprising current service
cost, past service cost and gains or losses on
A disclosure for a contingent liability is made when settlements are recognized in the Statement of
there is a possible obligation or a present obligation Profit and Loss as employee benefits expense.
that may, but probably will not require an outflow of Interest cost implicit in defined benefit employee
resources embodying economic benefits or the amount cost is recognized in the Statement of Profit
of such obligation cannot be measured reliably. When and Loss under finance cost. Gains or losses

113
on settlement of any defined benefit plan are i.e. domestic.

recognized when the settlement occurs. Past
service cost is recognized as expense at the u) Leases
earlier of the plan amendment or curtailment The Company’s lease asset classes primarily consist
and when the Company recognizes related of leases for buildings. The Company, at the inception
restructuring costs or termination benefits. In of a contract, assesses whether the contract is a
case of funded plans, the fair value of the plan lease or not lease. A contract is, or contains, a lease
assets is reduced from the gross obligation if the contract conveys the right to control the use
under the defined benefit plans to recognize the of an identified asset for a time in exchange for
obligation on a net basis. a consideration. This policy has been applied to
contracts existing and entered into on or after April 01,
The liabilities for earned leave are not expected
2019.
to be settled wholly within 12 months after the
end of the period in which the employees render The Company recognizes a right-of-use asset and
the related service. They are therefore measured a lease liability at the lease commencement date.
as the present value of the expected future The right-of-use asset is initially measured at cost,
payments to be made in respect of services which comprises the initial amount of the lease
provided by employee up to the end of reporting liability adjusted for any lease payments made at or
period using the projected unit credit method and before the commencement date, plus any initial direct
is recognized in a similar manner as in the case of costs incurred and an estimate of costs to dismantle
defined benefit plans. The benefits are discounted and remove the underlying asset or to restore the
using the market yields at the end of the reporting underlying asset or the site on which it is located, less
period that have terms approximating to the terms any lease incentives received.
of the related obligation. Re-measurements as a The right-of-use asset is subsequently depreciated
result of experience adjustments and changes using the straight-line method from the
in actuarial assumptions are recognized in the commencement date to the end of the lease term.
Statement of Profit and Loss.
The lease liability is initially measured at the present
Long term employee benefit costs comprising value of the lease payments that are not paid at the
current service cost and gains or losses on commencement date, discounted using the Company’s
curtailments and settlements, re-measurements incremental borrowing rate. It is remeasured when
including actuarial gains and losses are there is a change in future lease payments arising
recognized in the Statement of Profit and Loss as from a change in an index or rate, if there is a change
employee benefit expenses. Interest cost implicit in the Company’s estimate of the amount expected to
in long term employee benefit cost is recognized be payable under a residual value guarantee, or if the
in the Statement of Profit and Loss under finance Company changes its assessment of whether it will
cost. exercise a purchase, extension or termination option.
t) Segment Reporting When the lease liability is remeasured in this way, a
corresponding adjustment is made to the carrying
Operating segments are reported in a manner
amount of the right-of-use asset, or is recorded in the
consistent with the internal reporting provided to
Statement of Profit and Loss if the carrying amount of
the chief operating decision maker (CODM) of the
the right-of-use asset has been reduced to zero.
Company. The CODM is responsible for allocating
resources and assessing performance of the operating The Company has elected not to recognize right-of-
segments of the Company. Revenue, expenses, assets use assets and lease liabilities for short-term leases
and liabilities which relate to the Company as a whole that have a lease term of 12 months or less. The
and are not allocable to segments on reasonable Company recognizes the lease payments associated
basis have been included under ‘unallocated revenue with these leases as an expense over the lease term.
/ expenses / assets / liabilities’. The Company
operates in a single business segment i.e. lending
to members, having similar risk and returns for the
purpose of IND AS 108 on ‘Operating Segments’. The
Company operates in a single geographical segment

114
Standalone
NOTE 3. CASH AND CASH EQUIVALENTS

(` in Crores)
Particulars As at As at
March 31, 2023 March 31, 2022
Cash and Cash Equivalents
Cash on hand 0.72 0.62
Balance with Banks 214.20 264.54
In Fixed Deposit Accounts 12.19 189.92
Cash and Cash Equivalents 227.11 455.08
Out of the Fixed Deposits shown above:

(` in Crores)
March 31, 2023 March 31, 2022
Lien Marked * - 74.78
Other deposits 12.19 115.14
Total 12.19 189.92
*Deposits have been placed with certain banks as cash collateral against term loans and working capital.
(` in Crores)
March 31, 2023 March 31, 2022
Other Bank Balances
In Fixed Deposit Account (Maturity upto 12 months) 201.45 123.65
In Fixed Deposit account (Maturity more than 12 months) 180.94 131.91
Total 382.39 255.56
Out of the Fixed Deposits shown above:

(` in Crores)
March 31, 2023 March 31, 2022
Lien Marked * 382.39 280.33
Other deposits 0.00 (24.77)
Total 382.39 255.56
*Deposits have been placed with certain banks as cash collateral against term loans and working capital.
(` in Crores)
March 31, 2023 March 31, 2022
Cash and Cash Equivalents (As per Ind AS 7 Statement of Cash Flows )
Cash on hand 0.72 0.62
Balance with Banks 214.20 264.54
-In current accounts
In Fixed Deposit Accounts 12.19 189.92
227.11 455.08
Less: Cash credit / Overdraft facilities (Refer Note no 17) - 2.99
Cash and cash equivalents (As per Ind AS 7 Statement of Cash Flows) (A) 227.11 452.09

115
NOTE 4. DERIVATIVE FINANCIAL INSTRUMENTS

(` in Crores)
Particulars As at March 31, 2023 As at March 31, 2022
Nominal Fair Value - Fair Value - Nominal Fair Value - Fair Value -
Amount Assets Liabilities Amount Assets Liabilities
Interest Rate Derivatives
Options Purchased * 4.32 9.22 9.22 4.32 9.87 9.87
Total 4.32 9.22 9.22 4.32 9.87 9.87
* Unsecured Non Convertible Debentures of ` 9.22 Crore (P.Y. ` 9.87 Crore) made as per the terms of issue and on maturity
will be transferred to the investors of the NCD.
NOTE 5. RECEIVABLES
(` in Crores)
March 31, 2023 March 31, 2022
Trade Receivables
Receivables considered good - Unsecured 17.98 8.48
Total - Gross 17.98 8.48
Less: Impairment loss allowance - -
Total - Net 17.98 8.48
The Company follows simplified method of estimation of expected credit loss and hence information required under Part (C)
(i) is not furnished.
5.1 Trade Receivables ageing schedule as on March 31, 2023

(` in Crores)
Particulars Outstanding for following periods from due date of payment
Not Less than 6 months 1-2 2-3 More Total
due 6 months - 1 year years years than 3
years
Undisputed trade receivables – considered good 1.56 16.41 0.00 0.01 - - 17.98
Undisputed trade receivables – which have - - - - - - -
significant increase in credit risk
Undisputed trade receivables – credit impaired - - - - - - -
Disputed trade receivables – considered good - - - - - - -
Disputed trade receivables – which have significant - - - - - - -
increase in credit risk
Disputed trade receivables – credit impaired - - - - - - -
Total 1.56 16.41 0.00 0.01 - - 17.98
5.2 Trade Receivables ageing schedule as on March 31, 2022
(` in Crores)
Particulars Outstanding for following periods from due date of payment
Not Less than 6 months 1-2 2-3 More Total
due 6 months - 1 year years years than 3
years
Undisputed trade receivables – considered good 2.06 6.43 - - - - 8.48
Undisputed trade receivables – which have - - - - - -
significant increase in credit risk
Undisputed trade receivables – credit impaired - - - - - -
Disputed trade receivables – considered good - - - - - -
Disputed trade receivables – which have significant - - - - - -
increase in credit risk
Disputed trade receivables – credit impaired - - - - - -
Total 2.06 6.43 - - - - 8.48

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NOTE 6. LOANS
(` in Crores)
Amortized cost Total Amortized cost Total
Loans
(A)
Term Loans 7,998.53 7,998.53 5,772.72 5,772.72
Inter Corporate Deposit to Holding Company - - - -
-
Unamortized Processing Fee (69.20) (69.20) (48.05) (48.05)
Advance from Customers - - - -
Accrued Interest but not due 63.97 63.97 48.75 48.75
Total (A) -Gross 7,993.30 7,993.30 5,773.42 5,773.42
Less: Impairment loss allowance (including ECL on Stage 3 (257.22) (257.22) (254.80) (254.80)
of ` 105.04 Crore P.Y. `130.13 Crore)
Total (A) - Net 7,736.08 7,736.08 5,518.62 5,518.62
(B)
(i) Secured by tangible assets 37.24 37.24 65.67 65.67
of `0.16 Crore P.Y. `1.43 Crore)
Total (i) 36.30 36.30 63.08 63.08
(ii) Unsecured 7,956.06 7,956.06 5,707.76 5,707.76

of ` 104.87 Crore P.Y. `128.70 Crore)
Total (ii) 7,699.78 7,699.78 5,455.55 5,455.55
Total (B)-Net 7,736.08 7,736.08 5,518.63 5,518.63
(C)
(I) Loans in India
(i) Public Sector - - - -
(ii) Others
Joint Liability Group 7,439.98 7,439.98 5,374.30 5,374.30
Small Business Loans 516.08 516.08 333.46 333.46
Loan Against Property 37.24 37.24 65.67 65.67
Inter Corporate Deposit to Holding Company - - - -
of ` 105.04 Crore P.Y. `130.13 Crore)
Total(C) (I)-Net 7,736.08 7,736.08 5,518.63 5,518.63
(II)Loans outside India - - - -
Less: Impairment loss allowance - - - -
Total (C) (II)- Net - - - -
Total C(I) and C(II) 7,736.08 7,736.08 5,518.63 5,518.63
(` in Crores)
6.1 Particulars As at As at
March 31, 2023 March 31, 2022
The loan receivables reflected above excludes microfinance loans 1,620.51 447.58
assigned to a third party on direct assignment in accordance with
RBI Guidelines which qualify for derecognition as per Ind AS 109. The
amounts given are net of minimum retention retained in the books:

117
(` in Crores)
6.2 Particulars As at As at
March 31, 2023 March 31, 2022
Provisions as per RBI Prudential Norms (117.96) (125.72)
Provisions as per ECL model under Ind AS 109 (257.22) (254.80)
Amount recorded in the books (257.22) (254.80)
6.3 Reconciliation of impairment allowance on Loans*

Particulars Amount
Impairment allowance as at April 01, 2021 155.44
Add: Impairment allowance provided in statement of Profit & Loss 231.18
Less: Impairment allowance Utilized for writing off Loss assets (131.84)
Impairment allowance as at March 31, 2022 254.79
Add: Impairment allowance provided in statement of Profit & Loss 453.34
Less: Impairment allowance Utilized for writing off Loss assets (450.91)
Impairment allowance as at March 31, 2023 257.22
* Reconciliation table does not include ECL provision on other receivables (Refer point no.9).
6.4 The Company has not given any loans or advances to directors, promoters, key managerial person and related parties
either repayable on demand or without any terms of repayment.
NOTE 7. INVESTMENTS
(` in Crores)
At Fair Value Others * Total At Fair Value Others * Total
through profit through profit
or loss or loss
(A)
Equity instruments - - - - - -
Alpha microfinance Consultants Private - 0.05 0.05 - 0.05 0.05
Limited (50,000 Equity Shares of ` 10 each)
(B)
Investments in Security Receipts 160.37 160.37
Total – Gross (A+B) - 160.42 160.42 - 0.05 0.05
i) Investments outside India - - - - -
ii) Investments in India - 160.42 160.42 - 0.05 0.05
Unquoted equity instruments in India 0.05 0.05 0.05 0.05
Quoted equity instruments in India - - - -
Other than Equity Instruments 160.37 160.37 - -
Total (B) - 160.42 160.42 - 0.05 0.05
Less: Allowance for Impairment Loss (C) - - - - - -
Total- Net (D) = A-C - 160.42 160.42 - 0.05 0.05
* The Company has carried investment in equity shares at cost.

118
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NOTE 8. OTHER FINANCIAL ASSETS

(` in Crores)
Accrued interest on Fixed Deposits 4.38 4.57
Staff Advances 0.09 0.17
Security Deposits 9.67 6.35
Interest Strip Asset on Assignment 129.88 36.67
Other Receivables 152.02 8.82
Less:Impairment loss allowance towards other Receivable (6.57) 145.46 (4.62) 4.20
Total 289.48 51.96
NOTE 9. OTHER NON FINANCIAL ASSETS

(` in Crores)
March 31, 2023 March 31, 2022
Prepaid expenses 4.33 2.24
Vendor Advances 1.37 1.96
Other Assets - 9.91
Total 5.70 14.11
NOTE 10. CURRENT TAX ASSETS (NET)

(` in Crores)
March 31, 2023 March 31, 2022
Advance Tax 8.31 34.71
TDS Receivables 11.33 4.30
Provision for Taxation (17.52) (37.37)
Total 2.12 1.64
NOTE 11. DEFERRED TAX ASSETS (NET)

Significant components of deferred tax assets and liabilities for the year ended March 31, 2023 are as follows:
(` in Crores)
Particulars Opening (Charged) / Effect of Deferred (Charged) / Closing
balance Recognized the Tax Tax Taken Recognized balance
in Profit or Rate to Balance in OCI
Loss Sheet
Deferred Tax Assets:
Provisions, allowances for doubtful receivables 63.00 2.29 - - - 65.29
Compensated absences and retirement benefits 2.13 1.02 - - 3.15
Unamortized Processing Fees Income 12.09 5.32 - - 17.42
Lease Liability 0.17 0.10 - - 0.27
Total Deferred Tax Assets 77.39 8.72 - - - 86.13
Deferred Tax Liabilities: -
Property, plant and equipment 1.92 0.94 - - - 2.86
Prepaid expenses claimed (6.57) (4.45) - - - (11.02)
Unamortized Processing Fees Expense (0.36) 0.18 - - - (0.18)
Interest Strip Assets (9.23) (23.46) - - - (32.69)
Income on Security Deposit (0.03) (0.02) - - - (0.05)
Total Deferred Tax Liabilities (14.27) (26.81) - - - (41.09)
Deferred Tax Assets 63.12 (18.08) - - - 45.04

119
Significant components of Deferred Tax Assets and Liabilities for the year ended March 31, 2022 are as follows:
(` in Crores)
Particulars Opening (Charged) / Effect of Deferred (Charged) / Closing
balance Recognized the Tax Tax Taken Recognized balance
in Profit or Rate to Balance in OCI
Loss Sheet
Deferred Tax Assets:
Provisions, allowances for doubtful receivables* 37.85 25.15 - - - 63.00
Over Due Interest - - - - -
Compensated absences and retirement benefits 1.37 0.48 - - 0.28 2.13
Unamortized Processing Fees Income 8.38 3.71 - - - 12.09
Unrealized profit on investments - - - - -
Lease Liability 0.14 0.03 - - - 0.17
Total Deferred Tax Assets 47.74 29.37 - - 0.28 77.39
Deferred Tax Liabilities:
Property, plant and equipment 1.52 0.40 - - - 1.92
Prepaid expenses claimed (2.83) (3.73) - - - (6.57)
Unamortized Processing Fees Expense (0.87) 0.51 - - - (0.36)
Interest Strip Assets (10.93) 1.70 - - - (9.23)
Income on Security Deposit (0.01) (0.01) - - - (0.03)
Total Deferred Tax Liabilities (13.12) (1.14) - - - (14.27)
Deferred Tax Assets 34.62 28.23 - - 0.28 63.12
NOTE 12. INVESTMENT PROPERTY

(` in Crores)
Particulars Land Building Total
Cost or Valuation as at April 01, 2022 0.01 0.05 0.06
Additions - - -
Deductions /Adjustments during the year - - -
As at March 31, 2023 0.01 0.05 0.06
Depreciation
As at April 01, 2022 - 0.01 0.01
Depreciation For the year - 0.00 0.00
Deductions/Adjustments during the year - - -
Up to March 31, 2023 - 0.01 0.01
Net Block as at March 31, 2023 0.01 0.04 0.05
NOTE 12. INVESTMENT PROPERTY

(` in Crores)
Particulars Land Building Total
Cost or Valuation as at April 01, 2021 0.01 0.05 0.06
Additions - - -
Deductions /Adjustments during the year - - -
As at March 31, 2022 0.01 0.05 0.06
Depreciation
As at April 01, 2021 - 0.01 0.01
Depreciation For the year - 0.00 0.00
Up to March 31, 2022 - 0.01 0.01
Net Block as at March 31, 2022 0.01 0.04 0.05
i) There are no direct expenses incurred towards above investment property.

ii) The investment property is given as security against non - convertible debentures.

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iii) There are no contractual obligation existed as on March 31, 2023 in connection to purchase, construct or develop
investment property.
iv) The title deed of the above property is held in the name of the Company.
v) The Company does not have any Benami Property and no proceedings have been initiated during the year or are pending
against the Company as at March 31, 2023 for holding any Benami Property under the Benami Transactions (Prohibition)
Act, 1988 as amended in 2016 and Rules made thereunder.
vi) The revaluation is based on the valuation by a registered valuer as defined under rule 2 of Companies (Registered Valuers
and Valuation) Rules, 2017.
NOTE 13. PROPERTY PLANT AND EQUIPMENT

(` in Crores)
Particulars Furniture Office Electrical Air Computers Vehicles Right to Total
& Fixture Equipment Equipment Conditioner Use*
Cost as at April 01, 2022 8.15 3.82 1.47 0.37 20.21 0.43 9.58 44.03
Additions 5.13 9.52 1.18 0.19 6.23 - 3.64 25.89
Deductions/Adjustments (0.12) (0.01) (0.03) - (0.03) - - (0.19)
As at March 31, 2023 13.16 13.33 2.62 0.56 26.41 0.43 13.22 69.73
Depreciation -
As at April 01, 2022 7.35 2.50 0.92 0.18 13.98 0.41 2.83 28.17
Depreciation for the year 4.42 1.57 0.39 0.09 4.51 0.01 2.23 13.22
Reclassification (0.00) (0.03) (0.00) 0.00 0.03 (0.00)
Deductions/Adjustments (0.12) (0.01) (0.02) - (0.02) - - (0.17)
Up to March 31, 2023 11.65 4.03 1.29 0.27 18.50 0.41 5.06 41.22
Net Block as at March 31, 2023 1.51 9.29 1.33 0.29 7.91 0.01 8.15 28.51
(` in Crores)
Particulars Furniture Office Electrical Air Computers Vehicles Right to Total
& Fixture Equipment Equipment Conditioner Use*
Cost as at April 01, 2021 5.94 2.97 1.09 0.29 14.43 0.56 7.20 32.49
Additions 2.23 0.85 0.41 0.08 5.78 0.02 2.38 11.75
Reclassification -
Deductions/Adjustments (0.02) (0.00) (0.03) - (0.00) (0.15) - (0.20)
As at March 31, 2022 8.15 3.82 1.47 0.37 20.21 0.43 9.58 44.04
Depreciation -
As at April 01, 2021 5.20 1.84 0.70 0.12 10.64 0.53 1.57 20.60
Depreciation for the year 2.17 0.66 0.24 0.06 3.34 0.03 1.26 7.76
Reclassification -
Deductions /Adjustments (0.02) (0.00) (0.02) - (0.00) (0.15) - (0.19)
Up to March 31, 2022 7.35 2.50 0.92 0.18 13.98 0.41 2.83 28.17
Net Block as at March 31, 2022 0.80 1.32 0.55 0.19 6.23 0.02 6.75 15.87
* Right to use represent Lease asset

(i) During the year, the Company has not performed any revaluation of Plant and Equipment

121
NOTE 14. INTANGIBLE ASSETS (OTHER THAN INTERNALLY GENERATED)

(` in Crores)
Particulars Software
Cost as at April 01, 2022 0.76
Additions
Deductions /Adjustments during the year -
As at March 31, 2023 0.76
Amortization
As at April 01, 2022 0.75
Amortization For the year 0.01
Reclassification -
Deductions/Adjustments during the year
Up to March 31, 2023 0.76
Net Block as at March 31, 2023 -
(` in Crores)
Particulars Software
Cost as at April 01, 2021 0.76
Additions -
Deductions /Adjustments during the year -
As at March 31, 2022 0.76
Amortization
As at April 01, 2021 0.66
Amortization For the year 0.09
Reclassification -
Deductions/Adjustments during the year -
Up to March 31, 2022 0.75
Net Block as at March 31, 2022 0.01
14.1 There are no intangible assets under development.
NOTE 15. TRADE PAYABLES

(` in Crores)
March 31, 2023 March 31, 2022
(1) Trade Payables
- (i) Total outstanding dues of micro enterprises and small enterprises - -
(Refer note 15.1) *
- (ii) Total outstanding dues of creditors other than micro enterprises and 20.38 8.06
small enterprises
Total 20.38 8.06
* Dues to micro, small and medium enterprises have been determined to the extent such parties have been identified on the
basis of information collected by the Management. There are no interest due or outstanding on the same.

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15.1 Disclosure under The micro, Small and Medium Enterprises Development Act, 2006
The following disclosure is made as per the requirement under the micro, Small and Medium Enterprises Development
Act, 2016 (MSMED) on the basis of confirmations sought from suppliers on registration with the specified authority
under MSMED:
(` in Crores)
March 31, 2023 March 31, 2022
(a) Principal amount remaining unpaid to any supplier at the year end - -
(b) Interest due thereon remaining unpaid to any supplier at the year end - -
(c) Amount of interest paid and payments made to the supplier beyond - -
the appointed day during the year
(d) Amount of interest due and payable for the period of delay in making - -
payment (which have been paid but beyond the appointed day during
the year) but without adding the interest specified under the Act
(e) Amount of interest Accrued and remaining unpaid at the year end - -
(f) Amount of further interest remaining due and payable even in the - -
succeeding years, until such date when the interest dues above are
actually paid to the small enterprise, for the purpose of disallowance of
a deductible expenditure under section 23 of the Act
15.2 Trade Payables Ageing Schedule

(` in Crores)
Particulars Outstanding for following periods from due date of payment Total
Less than 1 year 1-2 years 2-3 years More than 3 years
(i) MSME - - - - -
(ii) Others 20.38 - - - 20.38
(iii) Disputed dues – MSME - - - - -
(iv) Disputed dues - Others - - - - -
Total 20.38 - - - 20.38
(` in Crores)
Particulars Outstanding for following periods from due date of payment Total
Less than 1 year 1-2 years 2-3 years More than 3 years
(i) MSME - - - - -
(ii) Others 8.06 - - - 8.06
(iii) Disputed dues – MSME - - - - -
(iv) Disputed dues - Others - - - - -
Total 8.06 - - - 8.06
NOTE 16. DEBT SECURITIES

(` in Crores)
At Amortized Cost Total At Amortized Cost Total
Secured
Secured Non Convertible Debentures 438.80 438.80 468.80 468.80
Less : Derivative Financial Liability - - - -
Less : Unamortized Debenture Issue Expenses (0.93) (0.93) (2.59) (2.59)
Interest Accrued on Debt Securities 39.13 39.13 23.38 23.38
Others (Bonds/ Debenture etc.)
477.00 477.00 489.59 489.59

123
(` in Crores)
Commercial Paper - - 25.90 25.90
Less : Unexpired Discount on CP - - (0.68) (0.68)
- - 25.22 25.22
Total 477.00 477.00 514.81 514.81
Debt Securities in India 477.00 477.00 514.81 514.81
Debt Securities outside India - - - -
Total 477.00 477.00 514.81 514.81
(a) These Non convertible debentures are secured by way of first pari-passu charge on investment property, book debts,
loans and advances including receivables other than those specifically charged.
(b) Non Convertible Debentures – Secured includes redeemable Non convertible debenture amounting to Rs NIL - P.Y. (Rs
NIL) which carries call option effective from 13-07-2018.
(c) There is breach of financial covenanats for the secured non convertible debentures (ISIN: INE413U07111,INE413U07103,
INE413U07129) for the year ended as on March 31, 2023, although there is no penalty implications for the same as per
the agreement.
16.1 Details of commercial paper - Unsecured

(` in Crores)
Particulars Tenor Interest As at As at
Rate (%) March 31, 2023 March 31, 2022
India Energy Exchange Limited 182 Days 7.50% - 25.90
Total - 25.90
(i) Details of commercial paper issued/repaid during the current year ended March 31, 2023
(` in Crores)
Particulars Tenor Discount Rate p.a Date of Transaction Redemption Date
India Energy Exchange Limited 182 Days 8.00% 11-Feb-22 12-Aug-22
India Energy Exchange Limited 182 Days 8.00% 30-Aug-22 28-Feb-23
Northern Arc Money Market Alpha Trust 90 Days 8.65% 29-Nov-22 27-Feb-23
(ii) Details of commercial paper issued/repaid during the current year ended 31 March 2022
(` in Crores)
Particulars Tenor Discount Rate p.a Date of Transaction Redemption Date
India Energy Exchange Limited 182 Days 7.50% 12-Aug-21 10-Feb-22
India Energy Exchange Limited 182 Days 7.50% 11-Feb-22
16.2 The funds received through above borrowings have been utilized for the purpose, it is generated.
16.3 All the charges against the receivable has been registered with the ROC and there are no charges which are to be
registered as on March 31, 2023.
16.4 During the year, the Company has submitted quarterly statement of book debts with all the lenders and the value of book
debts statement submitted is as per the books of accounts.

124
16.5 Debt securities-Secured

(` in Crores)
Particulars March 31, 2023 March 31, 2022 Date of Repayment Maturity date Terms of repayment Security Offered

borrowing start date
INE413U07020 - NCD - 5.00 30-06-2016 29-06-2022 29-06-2022 Rate of Interest - 15.25% , Hypothecation of
principal repayable on maturity. book debts
INE413U07103 - Bank of India - 25.00 25.00 18-06-2020 05-06-2023 05-06-2023 Rate of Interest - 11.50% p.a. Hypothecation of
NCD principal repayable on maturity. book debts.
INE413U07103 - Bank of 15.00 15.00 05-06-2020 05-06-2023 05-06-2023 Rate of Interest - 11.50% p.a. Hypothecation of
Maharashtra - NCD principal repayable on maturity. book debts.
INE413U07103 - Canara Bank - 20.00 20.00 05-06-2020 05-06-2023 05-06-2023 Rate of Interest - 11.50% p.a. Hypothecation of
NCD principal repayable on maturity. book debts.
INE413U07178 - MLD 59.00 59.00 30-03-2021 30-04-2024 30-04-2024 Rate of Interest - 9% p.a. principal Hypothecation of
repayable on maturity. book debts.
INE413U07178 - MLD 74.80 74.80 30-03-2021 30-04-2024 30-04-2024 Rate of Interest - 9% p.a. principal Hypothecation of
repayable on maturity. book debts.
INE413U07129 - Indian Bank - NCD 25.00 25.00 10-07-2020 10-07-2023 10-07-2023 Rate of Interest - 11.50% p.a. Hypothecation of
principal repayable on maturity. book debts.
Corporate Overview
INE413U07160 - NorthernArc - NCD - 50.00 18-03-2021 18-03-2023 18-03-2023 Rate of Interest - 10.50% p.a. Hypothecation of
INE413U07111 - State Bank of India 100.00 100.00 26-06-2020 21-04-2023 21-04-2023 Rate of Interest - 11.50% p.a. Hypothecation of
- NCD principal repayable on maturity. book debts.
INE413U07145 - UNIFI-AIF - MLD - 15.00 02-03-2021 02-06-2022 02-06-2022 Rate of Interest - 10.20% p.a. Hypothecation of
INE413U07152 - UNIFI-AIF - MLD - 15.00 02-03-2021 02-01-2023 02-01-2023 Rate of Interest - 10.20% p.a. Hypothecation of
Statutory Reports
INE413U07111 - Union Bank of 15.00 15.00 26-06-2020 21-04-2023 21-04-2023 Rate of Interest - 11.50% p.a. Hypothecation of
India - NCD principal repayable on maturity. book debts.
INE413U07194 - MLD - 50.00 26-10-2021 26-12-2022 26-12-2022 Rate of Interest - 7.75.% p.a. Hypothecation of
INE413U07202 - MLD 105.00 - 01-06-2022 01-06-2022 01-09-2023 Rate of Interest - 8.70.% p.a. Hypothecation of
Total 438.80 468.80

Financial Statements
125
Standalone
NOTE 17. BORROWINGS

(` in Crores)
(a) Term Loans
- (i) From Banks 4,311.87 4,311.87 3,476.23 3,476.23
- (ii) From Other Parties 2,030.68 2,030.68 1,132.44 1,132.44
Unamortized Processing Fees (31.75) (31.75) (24.69) (24.69)
Interest Accrued on Borrowings 17.90 17.90 16.39 16.39
- (i) from banks
- (ii) from other parties
6,328.70 6,328.70 4,600.37 4,600.37
(b) Other Loans (specify nature)
Cash Credit / Overdraft Facilities - - 2.99 2.99
Total 6,328.70 6,328.70 4,603.36 4,603.36
Borrowings in India 6,328.70 6,328.70 4,603.36 4,603.36
Borrowings outside India - - - -
Total 6,328.70 6,328.70 4,603.36 4,603.36
17.1 Security given for Term Loans from Banks and Others
(` in Crores)
March 31, 2023 March 31, 2022
(a) Deposits with Banks & Others 218.01 170.67
(b) Deposits with NBFCs 71.65 68.81
Total 289.66 239.48
17.4 During the year, the Company has submitted quarterly statement of book debts with all the lenders and the value of book
debts statement submitted is as per the books of accounts.

126
17.5 Loan from Banks

(` in Crores)
Particulars March 31, March 31, Loan taken Repayment Maturity Terms of repayment Security Offered
2023 2022 start date date

Axis Bank Limited - 6.82 11-03-2021 09-06-2021 09-03-2023 Rate of Interest 3M MCLR+2.95% spread loan Hypothecation of book
repayable in 22 monthly installments of ` 56,81,818/- debts and cash collateral
Axis Bank Limited - 20.45 11-03-2021 09-06-2021 09-03-2023 Rate of Interest 3M MCLR+2.95% spread loan Hypothecation of book
repayable in 22 monthly installments of ` 1,70,45,454/- debts and cash collateral
Axis Bank Limited 60.86 143.18 09-12-2021 09-02-2022 09-12-2023 Rate of Interest 1Y MCLR+ 2.45% Spread, loan repayable Hypothecation of book
in 22 monthly installments of ` 6,81,81,818.18 debts and cash collateral
Axis Bank Limited 47.67 - 13-12-2022 13-03-2023 13-12-2024 Rate of Interest 3M MCLR+ 2.00% Spread, loan repayable Hypothecation of book
in 22 monthly installments of ` 2,27,27,272 debts
Axis Bank Limited 150.00 - 10-02-2023 10-05-2023 10-02-2025 Rate of Interest 3M MCLR+ 2.00% Spread, loan repayable Hypothecation of book
in 22 monthly installments of ` 6,81,81,818.18 debts
Bandhan Bank Limited - 71.42 26-03-2021 01-10-2021 25-03-2023 Rate of Interest 11%, loan Hypothecation of book
repayable in 7 quarterly installments of ` 14,28,57,143/- debts
Bandhan Bank Limited 57.14 100.00 22-12-2021 01-07-2022 22-12-2023 Rate of Interest 9.50%, loan Hypothecation of book
repayable in 7 quarterly installments of debts.
Corporate Overview
` 14,28,57,142.86/-
Bandhan Bank Limited 57.14 100.00 18-02-2022 01-09-2022 18-02-2024 Rate of Interest 9.50%, loan Hypothecation of book
repayable in 7 Quarterly installments of debts.
` 14,28,57,142.86/-
Bandhan Bank Limited 64.29 - 29-07-2022 01-02-2023 28-07-2024 Rate of Interest Repo Rate + 4.90% Spread, loan Hypothecation of book
repayable in 7 Quarterly installments of ` 10,71,42,857/- debts.
Bandhan Bank Limited 200.00 - 24-02-2023 01-09-2023 23-02-2025 Rate of Interest Repo Rate + 3.85% Spread, loan Hypothecation of book
repayable in 7 Quarterly installments of `28,57,14,286/- debts.
Statutory Reports
Bank of Baroda 25.00 41.67 24-09-2021 31-10-2021 30-09-2024 Rate of Interest 7.35% (1Y MCLR)+ 1.00% Spread, loan Hypothecation of book
repayable in 36 monthly Installments of ` 1,38,88,888/- debts.
Bank of Baroda 100.00 - 28-02-2023 31-08-2023 30-11-2025 Rate of Interest 1Y MCLR+ 1.25% Spread, loan repayable Hypothecation of book
in 10 Quarterly Installments of ` 10,00,00,000/- debts.
Bank of Maharashtra - 0.14 28-03-2018 30-04-2018 31-03-2022 Rate of Interest 1Y MCLR+0.25%+0.95% spread, loan Hypothecation of book
repayable in 47 monthly installments of ` 20,84,000/- & debts and cash collateral
last instalment of ` 20,52,000/-
127
Standalone
128
(` in Crores)
Bank of Maharashtra 81.70 136.36 28-09-2021 01-03-2022 01-09-2024 Rate of Interest 1Y MCLR+ 2.00% Spread, loan repayable Hypothecation of book
in 10 quarterly installments of ` 1,36,36,36,37/- and last debts.
installment of ` 1,36,36,36,30/-
Bank of Maharashtra 100.00 - 31-12-2022 28-06-2023 28-12-2025 Rate of Interest 1Y MCLR+ 2.00% Spread, loan repayable Hypothecation of book
in 11 quarterly installments of ` 9,09,09,091/- debts.
Capital Small Finance 5.40 10.40 31-03-2021 01-05-2021 01-03-2024 Rate of Interest 11%, loan Hypothecation of book
Bank Limited repayable in 35 monthly installments of ` 48,85,983/- & debts.
last instalment of ` 49,41,161/-
Canara Bank 163.64 272.73 22-09-2021 22-03-2022 22-09-2024 Rate of Interest 1Y MCLR+ 2.00% spread, loan repayable Hypothecation of book
in 10 quarterly installments of ` 27,27,27,273/- and last debts and cash collateral
installment of ` 27,27,27,270/-
Catholic Syrian Bank - 36.35 29-01-2021 29-07-2021 21-03-2023 Rate of Interest 1Y MCLR, loan Hypothecation of book
Limited repayable in 11 quarterly installments of ` 4,54,54,550/- debts.
DBS Bank Limited 17.05 57.95 31-08-2021 25-11-2021 25-08-2023 Rate of Interest 9.50%, loan Hypothecation of book
repayable in 22 Monthly installments of ` debts and cash collateral
3,40,90,909.09/-
DBS Bank Limited 41.67 - 04-08-2022 04-12-2022 04-11-2024 Rate of Interest 1Y MCLR+1.85% spread ,loan repayable Hypothecation of book
in 24 monthly installments of ` 2,08,33,333.33/- debts and cash collateral
DBS Bank Limited 50.00 - 22-12-2022 22-04-2023 22-03-2025 Rate of Interest 1Y MCLR+1.85% spread ,loan repayable Hypothecation of book
DCB Bank Limited 7.49 17.49 28-09-2021 04-01-2022 04-12-2023 Rate of Interest 3M MCLR + 0.00% spread, loan Hypothecation of book
repayable in 24 monthly installments of ` 83,33,333.33/- debts and cash collateral
DCB Bank Limited 50.00 - 27-03-2023 30-06-2023 31-05-2025 Rate of Interest 3M MCLR + 0.00% spread, loan Hypothecation of book
repayable in 24 monthly installments of `2,08,33,333.33/- debts
Dhanlakshmi Bank - 10.31 21-03-2020 21-06-2020 21-02-2023 Rate of Interest 1Y MCLR+1.30% spread ,loan repayable Hypothecation of book
Limited in 32 monthly installments of ` 93,75,000/- debts and cash collateral
Dhanlakshmi Bank 9.09 18.18 12-03-2021 12-07-2021 12-03-2024 Rate of Interest 1Y MCLR+1.30% spread ,loan repayable Hypothecation of book
Limited in 32 monthly installments of ` 75,75,758/- and last debts and cash collateral
installment of ` 75,75,744/-
Dhanlakshmi Bank 19.09 31.82 29-09-2021 29-01-2022 29-09-2024 Rate of Interest 1Y MCLR+ 1.20% spread, loan repayable Hypothecation of book
Limited in 32 monthly Installments of ` 1,06,06,061/- and last debts and cash collateral

(` in Crores)

Federal Bank 7.50 17.50 30-12-2021 29-01-2022 29-12-2023 Rate of Interest 1Y MCLR+0.00% spread, loan Hypothecation of book
repayable in 24 monthly installments of ` 83,33,333.33/- debts.
Federal Bank 18.75 - 12-09-2022 12-10-2022 12-09-2024 Rate of Interest 1Y MCLR+0.00% spread, loan Hypothecation of book
repayable in 24 monthly installments of `1,04,16,666.67/- debts.
Federal Bank 25.00 - 03-03-2023 03-04-2023 03-03-2025 Rate of Interest 6M MCLR+1.00% spread, loan Hypothecation of book
HDFC Bank Limited 34.37 71.88 25-02-2022 25-03-2022 25-02-2024 Rate of Interest 9.00%, loan Hypothecation of book
repayable in 24 monthly installments of ` 3,12,50,000/- debts.
HDFC Bank Limited 41.67 - 25-11-2022 25-12-2022 24-11-2024 Rate of Interest 9.90%, loan Hypothecation of book
The Hongkong and - 34.29 19-03-2021 19-07-2021 19-03-2023 Rate of Interest 1Y MCLR+2.60% spread, loan repayable Hypothecation of book
Shanghai Banking in 21 monthly installments of ` 2,85,71,428/- debts.
Corporation Limited
The Hongkong and 30.00 60.00 23-03-2022 23-04-2022 23-03-2024 Rate of Interest 1Y MCLR+ 2.35% spread, loan repayable Hypothecation of book
Shanghai Banking in 24 monthly Installments of ` 2,50,00,00,000/- debts.
Corporate Overview
Corporation Limited
The Hongkong and 20.00 40.00 15-03-2022 16-04-2022 15-03-2024 Rate of Interest 1Y MCLR+ 2.35% spread, loan repayable Hypothecation of book
Shanghai Banking in 24 monthly Installments of ` 1,66,66,666.67/- debts.
Corporation Limited
The Hongkong and 158.13 - 17-02-2023 17-03-2023 17-05-2025 Rate of Interest 3 M MCLR+ 4.10% spread, loan repayable Hypothecation of book
Shanghai Banking in 24 monthly Installments of ` 68,75,0000/- debts.
Corporation Limited
ICICI Bank Limited - 3.41 31-08-2020 10-11-2020 10-08-2022 Rate of Interest 1Y MCLR+2.55% spread, loan Hypothecation of book
Statutory Reports

repayable in 17 monthly installments of ` -76,47,058.83/- debts and cash collateral
ICICI Bank Limited 1.94 25.24 26-10-2021 10-12-2021 10-04-2023 Rate of Interest 1Y MCLR+ 2.45% spread , loan repayable Hypothecation of book
129
Standalone
130
(` in Crores)
ICICI Bank Limited - 97.65 31-07-2021 10-09-2021 10-01-2023 Rate of Interest 1Y MCLR+ 2.45% spread , loan repayable Hypothecation of book
ICICI Bank Limited - 5.18 31-08-2021 10-10-2021 10-02-2023 Rate of Interest 1Y MCLR+ 2.45% spread , loan repayable Hypothecation of book
in 17 monthly installments of ` 47,05,882.36/- debts and cash collateral
ICICI Bank Limited 2.35 16.47 30-11-2021 10-01-2022 10-05-2023 Rate of Interest 1Y MCLR+ 2.45% spread ,loan repayable Hypothecation of book
ICICI Bank Limited 3.88 19.41 29-12-2021 10-02-2022 10-06-2023 Rate of Interest 1Y MCLR+ 2.45% spread, loan repayable Hypothecation of book
ICICI Bank Limited 12.94 44.00 23-02-2022 10-04-2022 10-08-2023 Rate of Interest 1Y MCLR+ 2.45% spread, loan repayable Hypothecation of book
ICICI Bank Limited 37.64 69.00 31-03-2022 10-06-2022 10-03-2024 Rate of Interest 1Y MCLR+ 2.45% spread , loan repayable Hypothecation of book
ICICI Bank Limited 25.45 - 31-05-2022 10-08-2022 10-05-2024 Rate of Interest 1Y MCLR+ 2.45% spread , loan repayable Hypothecation of book
ICICI Bank Limited 28.00 - 11-01-2023 10-04-2023 10-01-2025 Rate of Interest 6M MCLR+ 2.20% spread , loan repayable Hypothecation of book

(` in Crores)

in 22 monthly installments of ` 1,00,00,000/- debts and cash collateral
IDBI Bank Limited 41.67 91.67 30-10-2021 01-02-2022 01-01-2024 Rate of Interest 1Y MCLR+ 1.15% spread, loan repayable Hypothecation of book
in 24 monthly installments of ` 4,16,66,667/- debts and cash collateral
IDBI Bank Limited 46.88 75.00 24-03-2022 01-07-2022 01-06-2024 Rate of Interest 1Y MCLR+ 2.25% spread, loan repayable Hypothecation of book
in 24 monthly installments of `3,12,50,000/- debts and cash collateral
IDBI Bank Limited 60.00 - 28-12-2022 01-04-2023 01-03-2025 Rate of Interest 1Y MCLR+ 2.25% spread, loan repayable Hypothecation of book
in 24 monthly installments of `2,50,00,000/- debts and cash collateral
IDFC First Bank - 36.25 28-09-2020 31-10-2020 28-09-2022 Rate of Interest 11%,loan repayable in 24 monthly Hypothecation of book
Limited installments of ` 6,04,16,667/- debts.
IDFC First Bank - 50.00 18-03-2021 30-04-2021 18-03-2023 Rate of Interest 10.25%,loan repayable in 24 monthly Hypothecation of book
Corporate Overview
IDFC First Bank 37.50 87.50 31-12-2021 31-01-2022 31-12-2023 Rate of Interest 9.50%, loan repayable in 24 monthly Hypothecation of book
IDFC First Bank 114.29 - 30-06-2022 31-10-2022 30-06-2024 Rate of Interest 1Y MCLR+ 1.00% spread, loan repayable Hypothecation of book
Limited in 21 monthly installments of `7,61,90,476/- debts.
Limited in 21 monthly installments of `2,38,09,523/- debts.
Limited in 21 monthly installments of `4,76,19,047.61/- debts.
Statutory Reports
Indian Bank - 16.63 18-12-2019 18-06-2020 18-03-2023 Rate of Interest 1Y MCLR+2.65% spread, loan Hypothecation of book
repayable in 12 quarterly installments of ` 4,16,66,667/- debts and cash collateral
Indian Bank 4.13 20.80 19-03-2020 18-06-2020 18-06-2023 Rate of Interest 1Y MCLR+2.65% spread, loan Hypothecation of book
Indian Bank 8.31 24.98 04-06-2020 04-01-2021 04-09-2023 Rate of Interest 1Y MCLR+2.75% spread, loan Hypothecation of book
Indian Bank 72.72 100.00 17-03-2022 17-09-2022 17-03-2025 Rate of Interest 1Y MCLR+ 3.00% spread, loan repayable Hypothecation of book
in 11 quarterly installments of ` 9,09,09,090.91/- debts and cash collateral
131
Standalone
132
(` in Crores)
Indian Bank 72.71 100.00 30-03-2022 30-09-2022 30-03-2025 Rate of Interest 1Y MCLR+ 3.00% spread, loan repayable Hypothecation of book
Indian Bank 200.00 - 30-03-2023 30-04-2023 30-03-2025 Rate of Interest 1Y MCLR+ 2.05% spread, loan repayable Hypothecation of book
Indian Overseas Bank 41.67 50.00 30-03-2022 31-12-2022 30-09-2025 Rate of Interest 1Y MCLR+ 1.55% spread, loan repayable Hypothecation of book
Indian Overseas Bank 20.83 - 30-04-2022 31-12-2022 30-09-2025 Rate of Interest 1Y MCLR+ 1.55% spread, loan repayable Hypothecation of book
Jana Small Finance - 4.84 15-03-2021 03-05-2021 03-06-2022 Rate of Interest 11%, loan repayable in 23 equal monthly Hypothecation of book
Bank Limited installments of ` 2,33,03,920/- and last instalment of debts
`2,33,87,657/-
Jana Small Finance 25.47 40.14 31-07-2021 03-08-2021 03-08-2024 Rate of Interest - 10.00%, loan repayable in 36 monthly Hypothecation of book
Bank Limited installments. debts
Jana Small Finance 31.67 - 28-09-2022 03-11-2022 03-10-2024 Rate of Interest EBLR+ 5.50% spread, loan repayable in Hypothecation of book
Bank Limited 24 monthly installments of ` 1,66,66,666.66/- debts
Karnataka Bank 24.99 50.00 29-09-2021 28-06-2022 28-12-2023 Rate of Interest 1Y MCLR+ 0.95% spread, loan repayable Hypothecation of book
Limited in 4 half-yearly installments of ` 12,50,00,000/- debts
Karur Vysya Bank 21.97 - 30-08-2022 31-12-2022 31-08-2025 Rate of Interest Repo Rate + 4.35% Spread, loan Hypothecation of book
repayable in 33 monthly installments of ` 75,75,757.57/- debts
Karur Vysya Bank 50.00 - 08-03-2023 31-07-2023 31-03-2026 Rate of Interest Repo Rate + 3.50% Spread, loan Hypothecation of book
repayable in 33 monthly installments of ` debts
1,51,51,515.15/-
Kookmin Bank 70.00 - 17-02-2023 17-05-2024 17-02-2026 Rate of Interest Repo Rate + 3.75% Spread, loan Hypothecation of book
repayable in 8 quarterly installments of ` 8,75,00,000/- debts
Kotak Mahindra Bank 18.75 43.75 29-12-2021 29-01-2022 29-12-2023 Rate of Interest 9.45%, loan repayable in 24 monthly Hypothecation of book
installments of ` 2,08,33,333.33/- debts
Kotak Mahindra Bank 28.33 - 29-08-2022 29-09-2022 29-08-2024 Rate of Interest 9.85%, loan repayable in 24 monthly Hypothecation of book
installments of ` 1,66,66,666.66/- debts
Kotak Mahindra Bank 45.00 - 09-03-2023 09-04-2023 09-03-2025 Rate of Interest 6M MCLR+ 1.80% spread, loan repayable Hypothecation of book
in 24 monthly installments of ` 1,87,50,000/- debts

(` in Crores)

Oriental Bank of - 8.48 31-12-2019 31-03-2020 31-12-2022 Rate of Interest 1Year MCLR+2.20% spread, loan Hypothecation of book
Commerce (Punjab repayable in 33 monthly installments of ` 1,06,06,061/- debts and cash collateral
National Bank)
Punjab and Sind Bank 18.26 25.00 08-03-2022 30-09-2022 31-03-2025 Rate of Interest 1Y MCLR+ 1.50% spread, loan repayable Hypothecation of book
in 10 quarterly installments of ` 2,28,00,000/- and last debts
Punjab and Sind Bank 75.00 - 27-03-2023 30-09-2023 26-03-2025 Rate of Interest 1Y MCLR+ 1.50% spread, loan repayable Hypothecation of book
in 7 quarterly installments of ` 10,71,42,857.14/- debts
RBL Bank Limited - 40.00 30-03-2021 30-07-2021 30-03-2023 Rate of Interest - 1Y MCLR + 1.35%, loan repayable in 21 Hypothecation of book
monthly installments' 3,33,33,333/- debts and cash collateral
RBL Bank Limited 5.00 25.00 24-06-2021 24-10-2021 24-06-2023 Rate of Interest 1Y MCLR+ 1.35% spread, loan repayable Hypothecation of book
RBL Bank Limited 68.18 - 16-11-2022 16-02-2023 16-11-2024 Rate of Interest 6M MCLR+ 0.50% spread, loan repayable Hypothecation of book
Corporate Overview

in 22 monthly installments of ` 22,72,727/- debts
Statutory Reports
South Indian Bank - 2.00 23-03-2020 23-04-2020 23-03-2023 Rate of Interest - 12M MCLR i.e. 8.90% +2.30% spread, Hypothecation of book
Limited loan repayable in 35 monthly installment of ` 16,67,000/- debts and cash collateral
and last installment of ` 16,55,000/-
South Indian Bank - 1.27 23-03-2020 23-04-2020 23-03-2023 Rate of Interest - 12M MCLR i.e. 8.90% +2.30% spread, Hypothecation of book
Limited loan repayable in 35 monthly installments of `11,11,111/- debts and cash collateral
and last installment of RS 11,15,000/-
133
Standalone
134
(` in Crores)
South Indian Bank 49.90 100.00 21-03-2022 21-04-2022 21-03-2024 Rate of Interest 1Y MCLR+ 1.35% spread, loan repayable Hypothecation of book
Limited in 23 monthly installments of ` 4,17,00,000/- and last debts
Standard Chartered - 12.50 06-05-2021 06-05-2022 06-05-2022 Rate of Interest - 1Y MCLR principal repayable on Hypothecation of book
Bank Limited maturity. debts
Standard Chartered 25.00 - 25-05-2022 24-08-2022 24-11-2023 Rate of Interest - 6M MCLR+2.00% spread, loan Hypothecation of
Bank Limited repayable in 6 quarterly installments of `8,33,33,333.33/- book debts and cash
collateral.
Standard Chartered 36.25 - 31-05-2022 31-08-2022 31-08-2023 Rate of Interest - 6M MCLR+2.00% spread, Hypothecation of
Bank Limited loan repayable in 6 quarterly installments of book debts and cash
`12,08,33,333.33/- collateral.
Standard Chartered 100.21 - 10-11-2022 10-02-2023 08-11-2024 Rate of Interest - 3M MIBOR+3.67% spread, loan Hypothecation of
Bank Limited repayable in 8 quarterly installments of `14,31,50,000/- book debts and cash
collateral.
Standard Chartered 16.67 - 27-12-2022 29-03-2023 28-06-2024 Rate of Interest - 6M MCLR+2.00% spread, loan Hypothecation of
Bank Limited repayable in 6 quarterly installments of `3,33,33,333.33/- book debts and cash
collateral.
State Bank (Mauritius) - 7.31 03-11-2020 03-02-2021 03-11-2022 Rate of Interest 1Y MCLR, loan repayable in 8 quarterly Hypothecation of book
State Bank (Mauritius) 7.50 22.50 28-04-2021 28-10-2021 28-07-2023 Rate of Interest 1Y MCLR loan repayable in 8 quarterly Hypothecation of book
State Bank (Mauritius) 9.38 - 30-05-2022 28-11-2022 28-08-2024 Rate of Interest 1Y MCLR loan repayable in 8 quarterly Hypothecation of book

(` in Crores)

State Bank (Mauritius) 19.25 - 29-08-2022 28-02-2023 30-11-2024 Rate of Interest 1Y MCLR loan repayable in 8 quarterly Hypothecation of book
State Bank Of India - 28.00 13-03-2020 20-05-2020 05-03-2023 Rate of Interest 1Y MCLR+2.10% spread, loan Hypothecation of book
and last installment of RS.2,00,00,000 /-
State Bank Of India 70.00 190.00 28-10-2020 27-04-2021 27-10-2023 Rate of Interest 6 M MCLR+2.05% spread, loan Hypothecation of
repayable in 30 monthly installments of ` 5,00,00,000 /- book debts and cash
collateral.
State Bank Of India 206.25 300.00 11-02-2022 30-06-2022 31-01-2025 Rate of Interest 1Y MCLR+ 2.60% spread, loan repayable Hypothecation of
in 32 monthly installments of ` 9,37,50,000/- book debts and cash
collateral.
Suryoday Small 7.20 17.01 26-10-2021 05-12-2021 05-11-2023 Rate of Interest - RR+6.65% spread , loan repayable in 24 Hypothecation of book
Finance Bank Limited equal monthly installments. debts.
Suryoday Small 31.98 - 30-01-2023 05-02-2023 05-03-2026 Rate of Interest - 11.25%, loan repayable in 37 monthly Hypothecation of book
Finance Bank Limited installments. debts.
Corporate Overview
UCO Bank 33.16 50.00 07-02-2022 30-06-2022 31-03-2025 Rate of Interest 1Y MCLR+ 2.15% spread, loan repayable Hypothecation of
in 12 quarterly installments of ` 4,16,66,666.67/- book debts and cash
collateral.
Union Bank of India - 6.24 30-09-2019 31-01-2020 31-01-2023 Rate of Interest - 1Y MCLR+1.90%+0.25% (T.P) spread Hypothecation of
loan repayable in 36 monthly installments of `69,44,444 /- book debts and cash
collateral.
Union Bank of India 6.67 13.94 26-02-2021 26-05-2021 26-02-2024 Rate of Interest 1Y MCLR+1.85% spread, loan repayable Hypothecation of
in 33 monthly installments of ` 60,60,606 /- book debts and cash
Statutory Reports
collateral.
Union Bank of India 32.73 45.00 24-03-2022 24-09-2022 31-03-2025 Rate of Interest 1Y MCLR+ 1.90% spread, loan repayable Hypothecation of book
in 10 quarterly installments of ` 4,09,00,000/- and last debts.
Union Bank of India 40.00 - 23-01-2023 30-06-2023 31-12-2025 Rate of Interest 1Y MCLR+ 1.90% spread, loan repayable Hypothecation of
in 11 quarterly installments of ` 3,63,63,636.36/- book debts and cash
collateral.
Utkarsh Small Finance 8.75 23.75 29-10-2021 29-11-2021 25-10-2023 Rate of Interest (364 Treasury bill) + 6.30% spread, loan Hypothecation of
Bank repayable in 24 monthly installments of ` 1,25,00,000/- book debts and cash
collateral.
135
Standalone
136
(` in Crores)
Utkarsh Small Finance 17.25 - 30-09-2022 25-10-2022 25-09-2024 Rate of Interest (364 Treasury bill) + 3.76% spread, loan Hypothecation of
Bank repayable in 24 monthly installments of ` 95,83,334/- book debts and cash
collateral.
Woori Bank - 11.43 29-09-2020 26-03-2021 29-09-2022 Rate of Interest 1Y MCLR+1.65% spread, loan repayable Hypothecation of
in 7 quarterly installments of ` 5,71,42,857/- book debts and cash
collateral.
Woori Bank 13.22 33.04 24-12-2021 31-01-2021 30-11-2023 Rate of Interest 1Y MCLR+ 1.10% Spread, loan repayable Hypothecation of
in 23 Monthly Installments of ` 1,65,21,739.13/- book debts and cash
collateral.
Woori Bank 21.30 - 28-06-2022 31-07-2022 28-06-2024 Rate of Interest 1Y MCLR+ 1.60% Spread, loan repayable Hypothecation of
in 23 Monthly Installments of ` 1,52,17,391/- book debts and cash
collateral.
Woori Bank 39.29 - 08-03-2023 31-03-2023 28-02-2025 Rate of Interest 1Y MCLR+ 1.25% Spread, loan repayable Hypothecation of book
in 23 Monthly Installments of ` 1,70,83,333.33/- debts
YES Bank Limited - 27.50 01-02-2021 01-03-2021 01-02-2023 Rate of Interest 1Y MCLR+1.9% spread, loan repayable in Hypothecation of
24 monthly installments of ` 2,50,00,000/- book debts and cash
collateral.
YES Bank Limited 50.00 - 31-03-2023 30-04-2023 31-03-2025 Rate of Interest 1Y MCLR+0.9% spread, loan repayable in Hypothecation of
24 monthly installments of ` 2,50,00,000/- book debts and cash
collateral.
Total 4,311.87 3,476.23

17.6 Loan from others

(` in Crores)
Particulars March 31, March 31, Start date Repayment Maturity Terms of repayment Security Offered
2023 2022 date date

Aditya Birla Finance - 3.33 31-03-2021 01-05-2021 01-10-2022 Rate of Interest - LTRR(-6.85%), loan repayable in 18 Hypothecation of book
Limited Monthly instalments of ` 55,55,555.56 debts.
Aditya Birla Finance 13.00 26.00 30-03-2022 01-05-2022 01-04-2024 Rate of Interest - LTRR(-7.85%), loan repayable in 24 Hypothecation of book
Limited Monthly instalments of ` 1,08,33,333.33 debts.
Aditya Birla Finance 14.15 - 30-09-2022 01-11-2022 01-10-2024 Rate of Interest - LTRR(-9.15%), loan repayable in 24 Hypothecation of book
Limited Monthly instalments of ` 78,58,333 debts.
Aditya Birla Finance 21.00 - 27-03-2023 05-05-2023 05-04-2025 Rate of Interest - LTRR(-9.50%), loan repayable in 24 Hypothecation of book
Limited Equated Monthly instalments debts.
Bajaj Finance Limited 8.75 25.00 28-10-2021 02-12-2021 28-10-2023 HDFC's 1Y MCLR+ 2.05% , loan repayable in 24 Monthly Hypothecation of book
instalments of ` 1,25,00,000/- debts.
Hero Fin Corp Limited - 0.23 13-02-2020 03-07-2020 03-05-2022 Rate of Interest - Herofincorp PLR(-1.40%)spread Hypothecation of book
loan repayable in 21 equated monthly instalment of debts
`1,05,68,961
Hero Fin Corp Limited 46.21 - 22-12-2022 03-02-2023 03-01-2025 Rate of Interest - SBI 12M MCLR+3.20% spread Hypothecation of book
Corporate Overview

`2,33,01,350
Hero Fin Corp Limited 25.00 - 30-03-2023 03-05-2023 03-04-2025 Rate of Interest - SBI 12M MCLR+2.50% spread Hypothecation of book
`1,16,55,466
JM Financial Products 170.92 - 26-09-2022 01-11-2022 25-03-2024 Rate of Interest - 10.40%, loan repayable in 17 monthly Hypothecation of book
Limited instalments of ` 15,06,03,549 and last instalment of debts
`15,04,26,552
Statutory Reports
JM Financial Products 141.91 - 10-03-2023 01-04-2023 01-09-2024 Rate of Interest - 10.85%, loan repayable in 17 monthly Hypothecation of book
Limited instalments of ` 9,06,73,790 and last instalment of ` debts
8,66,68,896
Kisetsu Saison Finance 50.00 - 15-03-2023 15-06-2023 15-03-2025 Rate of Interest HDFC 1Y MCLR+2.5% spread, loan Hypothecation of book
(India) Private Limited repayable in 8 quarterly installments of ` 6,25,00,000/- debts
Mahindra & Mahindra 34.44 - 27-07-2022 27-08-2022 27-07-2024 Rate of Interest SBI 1Y MCLR+2.25% spread, loan Hypothecation of book
Financial Services repayable in 24 equated monthly installments of ` debts
Limited 2,30,20,353
137
Standalone
138
(` in Crores)
2023 2022 date date
Mahindra & Mahindra 36.54 - 17-08-2022 27-09-2022 27-08-2024 Rate of Interest SBI 1Y MCLR+2.25% spread, loan Hypothecation of book
Financial Services repayable in 24 equated monthly installments of debts
Limited `2,31,25,396
Maanaveeya 16.66 33.33 26-03-2021 26-06-2021 26-03-2024 Rate of Interest - 11%, loan repayable in 12 Quarterly Hypothecation of book
Development & instalments of ` 4,16,66,666.67 debts
Finance Private Limited
MAS Financial Services 2.50 12.50 01-07-2021 23-07-2021 23-06-2023 Rate of Interest - PLR (-4.75%) , loan repayable in 24 Hypothecation of book
Limited Monthly instalments of ` 83,33,332/- debts
MAS Financial Services 5.63 13.13 31-12-2021 23-01-2022 25-12-2023 Rate of Interest - PLR (-4.75%) , loan repayable in 24 Hypothecation of book
Limited Monthly instalments of ` 62,50,000 debts
micro Units 150.00 - 31-01-2023 10-05-2023 10-01-2026 Rate of Interest - 11.50%, loan repayable in 32 monthly Hypothecation of book
Development & instalments of ` 4,55,00,000 and last instalment of debts
Refinance Agency ` 4,40,00,000
Limited (MUDRA)
Nabkisan Finance - 5.97 19-09-2019 01-02-2020 01-08-2022 Rate of Interest - 12.00%, loan repayable in 11 Quarterly Hypothecation of book
Limited instalments of ` 2,00,00,000 debts
Nabkisan Finance 6.63 13.33 01-03-2021 01-06-2021 01-03-2024 Rate of Interest - 10.40%, loan repayable in 12 Quarterly Hypothecation of book
Limited instalments of ` 1,66,66,666.67 debts
Nabkisan Finance 16.66 25.00 25-02-2022 01-05-2022 01-02-2025 Rate of Interest - 9.90%, loan repayable in 12 Quarterly Hypothecation of book
Limited instalments of ` 2,08,33,333.33 debts
Nabkisan Finance 55.00 - 13-01-2023 01-07-2023 01-01-2025 Rate of Interest - 10.75%, loan repayable in 6 Quarterly Hypothecation of book
Limited instalments of ` 7,85,71,428.57 and last quarterly debts
instalment of ` 7,85,67,706.58
Nabsamrudhi Finance 5.10 10.13 09-02-2021 31-03-2021 29-02-2024 Rate of Interest - 10.65%, loan repayable in 36 Monthly Hypothecation of book
Limited instalments of ` 55,55,555.56 debts
Nabsamrudhi Finance 29.00 - 09-03-2023 31-07-2023 31-03-2025 Rate of Interest - 10.60%, loan repayable in 21 equated Hypothecation of book
Limited monthly instalments of ` 1,51,90,663 debts
Northern Arc 26.37 50.00 21-03-2024 25-04-2022 25-03-2024 Rate of Interest - (3M FBLR) -7.35% spread , loan Hypothecation of book
repayable in 24 equated monthly instalments. debts
Northern Arc 26.55 50.00 25-03-2024 25-04-2022 25-03-2024 Rate of Interest - (3M FBLR) -7.35% spread , loan Hypothecation of book
repayable in 24 equated monthly instalments. debts

(` in Crores)
2023 2022 date date

Northern Arc 50.00 - 15-03-2023 15-04-2023 15-03-2025 Rate of Interest - (3M FBLR) -4.40% spread , loan Nil
repayable in 24 monthly instalments of `2,08,33,333.33.
NABARD 45.00 75.00 31-10-2019 31-01-2020 31-01-2025 Rate of Interest - 11.50%, loan repayable in 10 Half Hypothecation of book
instalments of ` 15,00,00,000 debts
NABARD - 32.50 08-06-2020 30-04-2021 30-04-2022 Rate of Interest -7% upto 30-04-2021 % 10.85% post Hypothecation of
that, loan repayable in 4 Half yearly instalments of ` book debts and cash
32,50,00,000 collateral.
NABARD - 30.00 18-02-2021 31-01-2022 31-08-2022 Rate of Interest -7% upto 30-04-2021 % 8.10% post that, Hypothecation of
loan repayable in 1st instalments of ` 70,00,00,000 and book debts and cash
2nd instalment of ` 30,00,00,000. collateral.
NABARD 66.00 108.00 18-02-2021 30-06-2021 31-03-2026 Rate of Interest - 8.70%, loan repayable in 11 quarterly Hypothecation of book
instalments of ` 10,50,00,000 and 8 quarterly instalments debts
of ` 3,00,00,000
NABARD - 100.00 11-08-2021 31-05-2022 31-01-2023 Rate of Interest - 7.05% Till 31-05-2022 post that 9.25%, Hypothecation of
loan repayable in 2 instalments of ` 70,00,00,000 and ` book debts and cash
Corporate Overview
30,00,00,000 respectively. collateral.

NABARD 18.00 60.00 17-12-2021 30-11-2022 30-06-2023 Rate of Interest - 7.10% Till 30-11-2022 post that 9.35%, Hypothecation of
loan repayable in 2 instalments of ` 42,00,00,000 and ` book debts and cash
18,00,00,000 respectively. collateral.
NABARD 136.00 200.00 29-03-2022 30-06-2022 31-12-2026 Rate of Interest - 9.80%, loan repayable in 5 quarterly Hypothecation of book
instalments of ` 16,00,00,000 and 6 quarterly instalments debts
of ` 12,00,00,000 and 8 quarterly instalments of `
6,00,00,000
Statutory Reports
NABARD 200.00 - 20-02-2023 30-06-2023 31-12-2025 Rate of Interest -11.05%, loan repayable in 1st Hypothecation of
instalments of ` 20,00,00,000 and 10 quarterly book debts and cash
instalments of ` 18,00,00,000 each. collateral.
Hinduja Leyland - 0.65 31-05-2019 30-06-2019 28-05-2022 Rate of Interest - 11.30% HBLR+0.45%, loan repayable in Hypothecation of book
Finance Limited 36 equal monthly instalments of ` 33,09,503 debts and letter of
comfort from Indian
Infoline Finance Limited
Hinduja Leyland 33.88 - 30-11-2022 30-12-2022 28-11-2024 Rate of Interest - HBLR -1.90% spread, loan repayable in Hypothecation of book
Finance Limited 24 equal monthly instalments of ` 1,84,76,436 debts
139
Standalone
140
(` in Crores)
2023 2022 date date
Hinduja Leyland 48.11 - 28-02-2023 28-03-2023 28-02-2025 Rate of Interest - HBLR -1.75% spread, loan repayable in Hypothecation of book
Finance Limited 24 equal monthly instalments of ` 2,31,30,198 debts
SIDBI - 13.33 10-12-2019 10-12-2019 10-11-2022 Rate of Interest 12.00%+loan Hypothecation of book
repayable in 30 Monthly instalments of ` 1,66,66,666 debts and cash collateral
SIDBI 30.00 60.00 31-03-2021 10-10-2021 10-03-2024 Rate of Interest 10.50%+loan Hypothecation of book
SIDBI - 35.00 12-11-2021 10-01-2022 10-10-2022 Rate of Interest 6%+loan Hypothecation of book
repayable in 10 Monthly instalments of ` 5,00,00,000 debts
SIDBI 95.00 150.00 12-11-2021 10-05-2022 10-10-2024 Rate of Interest 9.50 %+loan Hypothecation of book
SIDBI 386.66 - 30-09-2022 10-03-2023 10-08-2025 Rate of Interest 10.00 %+loan Hypothecation of book
and last instalment of ` 13,14,00,000
Tata Capital Financial 20.00 - 28-02-2023 10-04-2023 10-09-2024 Rate of Interest - LTLR(-11.55%), loan repayable in 18 Hypothecation of book
Services Limited Monthly instalments of ` 1,11,11,111.11 debts
Total 2,030.68 1,132.44

Standalone
NOTE 18. UNSECURED/SUBORDINATED LIABILITIES:

(a). Unsecured, Unsubordinated Non-Convertible Debentures
(` in Crores)
Unsecured Non Convertible Debentures - Other than 140.00 140.00 - -
Sub Debt
Unamortized Debenture Issue Expenses -0.99 -0.99 - -
Interest Accrued on Debt Securities 0.81 0.81 - -
Total (a) 139.83 139.83 - -
(b) Unsecured Subordinated Non-Convertible Debentures

(` in Crores)
Unsecured Non convertible debentures - Sub Debt 275.00 275.00 105.00 105.00
Less : Derivative Financial Liability (4.32) (4.32) (4.32) (4.32)
Less : Debenture Issue Expenses (11.30) (11.30) (0.72) (0.72)
Interest Accrued on Subordinated Liabilities 65.39 65.39 40.76 40.76
Total 324.77 324.77 140.72 140.72
Subordinated Liabilities in India 324.77 324.77 140.72 140.72
Subordinated Liabilities outside India - - - -
Total (b) 324.77 324.77 140.72 140.72
Total (a+b) 464.60 464.60 140.72 140.72
18.1 Unsecured Non convertible Debentures - Sub Debt includes debentures amounting to `11 Crore (P.Y. `11 Crore) in
respect of which the Company is having a call option at the end of the 5th year from 20-07-2018.

141
142
18.4 Loan from Other Parties- Unsecured Subordinated Non Convertible Debentures
(` in Crores)
Particulars March 31, March 31, Borrowing Repayment Maturity Terms of repayment Security Offered
2023 2022 Date start date date
INE413U08010 - NCD - 5.00 29-06-2016 30-06-2022 30-06-2022 Rate of Interest - 16.90% , principal repayable on Nil
maturity.
INE413U08036 - NCD* 21.85 21.85 20-07-2018 19-04-2024 19-04-2024 Rate of Interest - 10.24% p.a. calculated on a XIRR basis, Nil
principal repayable on maturity.
INE413U08044 - NCD 150.00 - 19-08-2022 19-07-2028 19-07-2028 Rate of Interest - 11.25% p.a, principal repayable on Nil
maturity.
INE413U08077 - NCD 25.00 - 02-02-2023 02-04-2029 02-04-2029 Rate of Interest - 11.25% p.a, principal repayable on Nil
maturity.
Total 275.00 105.00
* Represents Market Linked Debenture invested by various Parties
18.4 Loan from Other Parties- Unsecured Unsubordinated Non- Convertible Debentures
(` in Crores)
Particulars March 31, March 31, Borrowing Repayment Maturity Terms of repayment Security Offered
2023 2022 Date start date date
INE413U08051- 50.00 - 19-12-2022 19-09-2023 20-12-2023 Rate of Interest - 10.50.% p.a. principal repayable in 4 Nil
Northern Arc Money Monthly Installments Starting from 19-09-2023.
Market Alpha Trust
INE413U08069- 50.00 - 19-12-2022 19-01-2024 19-12-2024 Rate of Interest - 11.40.% p.a. principal repayable in 12 Nil
Northern Arc Capital Monthly Installments Starting from 19-01-2024.
Limited
INE413U08085 - 40.00 - 24-02-2023 24-05-2023 24-02-2025 Rate of Interest - 10.75.% p.a. principal repayable in 8 Nil
UNIFI-AIF Quarterly Installments Starting from 24-05-2023.
Total 140.00 -

Standalone
NOTE 19. LEASE LIABILITY

(` in Crores)
March 31, 2023 March 31, 2022
Lease Liability 9.21 7.42
Total 9.21 7.42
NOTE 20. OTHER FINANCIAL LIABILITIES

(` in Crores)
March 31, 2023 March 31, 2022
Interest Accrued but not due - -
Employee payables 18.27 5.15
Payable to assignee 194.60 79.39
Money held under trust - 0.22
Payable / Refundable to Borrowers 19.93 6.60
Insurance payable - -
Total 232.80 91.36
NOTE 21. CURRENT TAX LIABILITIES (NET)

(` in Crores)
March 31, 2023 March 31, 2022
Provision for Taxation 37.00 80.50
Advance Tax (33.90) (70.70)
TDS Receivable (2.92) (4.29)
Total 0.18 5.51
NOTE 22. PROVISIONS:

(` in Crores)
March 31, 2023 March 31, 2022
Leave encashment 5.89 3.71
Gratuity 7.40 4.75
Total 13.29 8.46
NOTE 23. OTHER NON FINANCIAL LIABILITIES:

(` in Crores)
March 31, 2023 March 31, 2022
Statutory Dues Payable 13.99 5.58
Others 12.58 -
Total 26.57 5.58

143
NOTE 24. EQUITY SHARE CAPITAL
Equity Share Capital:

(a) The Authorized, Issued, Subscribed and fully paid up share capital comprises of equity shares having a par value of `
10/- as follows:
(` in Crores)
No. of shares Amount in No. of shares Amount in
` Crore ` Crore
Authorized Share Capital
(a) Equity Shares of `10 each 69,80,00,000 698.00 59,80,00,000 598.00
(b) Preference Shares of `10 each 20,00,000 2.00 20,00,000 2.00
(Out of 20,00,000 shares 1,45,000 are Redeemable
Non Convertible Preference Shares of `10 each)
Issued , Subscribed and Paid Up:
Equity Shares of `10 each fully paid 59,36,43,037 593.64 49,82,23,190 498.22
(b) Reconciliation of the Equity Shares outstanding at the beginning and at the end of the reporting period.
(` in Crores)
No. of shares Amount in ` No. of shares Amount in `
At the beginning of the year 49,82,23,190 498.22 32,08,13,336 320.81
Add: Issued during the year 9,54,19,847 95.42 17,74,09,854 177.41
Outstanding at the end of the year 59,36,43,037 593.64 49,82,23,190 498.22
(c) Terms/rights attached to equity shares:

The Company has only one class of equity shares having at face value of `10/- per share. Each holder of equity shares
is entitled to one vote per share. The Company declares and pays dividends in Indian rupees.
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining
assets of the Company after distribution of all preferential amounts. However, no such preferential amount exists
currently. The distribution will be in proportion to the number of equity shares held by the shareholders.
(d) Details of Equity Shareholders holding more than 5% shares and details of shares held by the Holding Company:
No. of shares % of holding No. of shares % of holding
Equity shares of ` 10 each fully paid
IIFL Finance Limited 59,07,16,057 99.51% 37,07,40,413 74.41%
IIFL Home Finance Limited - 0.00% 12,45,55,797 25.00%

144
Standalone
(e) Details of Equity Shares held by promoters at the end of the year
As at 31 March 2023
Promoter Name No. of shares at Changes No. of shares % of Total % change
the beginning during the at the end of shares during the
of the year year the year year
IIFL Finance Limited 37,07,40,413 21,99,75,644 59,07,16,057 99.51% 59.33%
Narayanaswamy Venkatesh 13,35,840 - 13,35,840 0.23% 0.00%
Shivaprakash Deviah 3,45,000 - 3,45,000 0.06% 0.00%
As at 31 March 2022
Promoter Name No. of shares at Changes No. of shares % of Total % change
the beginning during the at the end of shares during the
of the year year the year year
IIFL Finance Limited 23,76,83,022 13,30,57,391 37,07,40,413 74.41% 55.98%
Narayanaswamy Venkatesh 13,35,840 - 13,35,840 0.27% 0.00%
Shivaprakash Deviah 3,45,000 - 3,45,000 0.07% 0.00%
(f) The Company’s capital management is intended to create value for shareholders. The assessment of Capital level and
requirements are assessed having regard to long-and short term strategies of the Company and regulatory capital
requirements of its businesses and constituent entities.
(h) Statement of changes in equity share capital

(` in Crores)
Particulars Balance at the beginning of Changes in equity share Balance at the end of
the reporting period capital during the year the reporting period
As at March 31, 2023 498.22 95.42 593.64
As at March 31, 2022 320.81 177.41 498.22
NOTE 25. OTHER EQUITY

(` in Crores)
Particulars Attributable to the Owners Total
Securities Special Reserve Capital Retained Re-measurement
Premium Pursuant to Section 45 Reserve Earnings of Actuarial
IC of Reserve Bank of Gains and Losses
India Act, 1934*
Balance at the beginning of the 254.27 56.84 0.25 191.71 (2.02) 501.06
April 01, 2022
Total Comprehensive Income for - - - 128.17 (0.32) 127.85
the year
Additions 104.58 25.63 - (25.63) - 104.58
Sub Total 358.85 82.47 0.25 294.25 (2.34) 733.49
Final Dividend - - - (4.98) - (4.98)
Balance at the end of the 358.85 82.47 0.25 289.27 (2.34) 728.51
March 31, 2023

145
(` in Crores)
Particulars Attributable to the Owners Total
Securities Special Reserve Capital Retained Re-measurement
Premium Pursuant to Section 45 Reserve Earnings of Actuarial
IC of Reserve Bank of Gains and Losses
India Act, 1934*
Balance at the beginning of the 131.68 46.72 0.25 151.23 (1.19) 328.69
April 01, 2021
Total Comprehensive Income for - - - 50.60 (0.83) 49.78
the year
Additions 122.59 10.12 - (10.12) - 122.59
Sub Total 254.27 56.84 0.25 191.71 (2.02) 501.06
Balance at the end of the March 254.27 56.84 0.25 191.71 (2.02) 501.06
31, 2022
*As per section 45-IC of the Reserve Bank of India Act, 1934, the Company is required to create a reserve fund at a rate of
20% of the net profit after tax of the Company every year. Considering the profit after tax for the year ended March 31, 2023,
` 25.63 Crore (P.Y.` 10.12 Crore) being 20% of the profit after taxes for the year has been transferred from the Statement of
Profit and Loss to Special Reserve.
The Board of Directors had recommended a final dividend of ` 0.10 per equity share amounting to ` 4.98 Crore for the FY 2021-22 on
April 23, 2022 which was paid in FY 2022-23
Accompanying notes are an integral part of these financial statements

Firm No. 000515S

M. No. 086761 DIN : 01018821 DIN : 02216802


146
Standalone
NOTE 26. INTEREST INCOME

(` in Crores)
Particulars Year Ended March 31,2023 Year Ended March 31,2022
On On Interest On On Interest
Financial Financial Income on Financial Financial Income on
Assets Assets Financial Assets Assets Financial
measured measured Assets measured measured Assets
at fair value at classified at fair value at classified
through Amortized at fair value through Amortized at fair value
OCI Cost through profit OCI Cost through profit
or loss or loss
Interest on Loans - 1,521.97 - - 973.58 -
Interest on deposits with Banks - 17.66 - - 10.65 -
Total - 1,539.63 - - 984.23 -
NOTE 27. FEE AND COMMISSION INCOME

(` in Crores)
March 31 2023 March 31 2022
On Financial On Financial Assets
Assets measured measured at
at Amortized Cost Amortized Cost
Income from Referral Fee 21.76 9.83
Income from Business Correspondents 56.72 7.21
Commission Income 20.09 8.25
Documentation Charges 2.10 0.80
Total 100.67 26.09
NOTE 28. NET GAIN ON DERECOGNITION OF FINANCIAL INSTRUMENTS UNDER AMORTIZED COST CATEGORY :
(` in Crores)
March 31 2023 March 31 2022
Bad debts recovered 12.73 2.47
Amortization of Interest only strip 93.20 -
Total 105.93 2.47
NOTE 29. OTHER INCOME

(` in Crores)
March 31 2023 March 31 2022
Profit on sale of investments 7.01 7.02
Miscellaneous Income 0.27 0.12
Total 7.28 7.14

147
NOTE 30. FINANCE COST

(` in Crores)
Particulars Year ended March 31 2023 Year ended March 31 2022
On Financial On Financial On Financial On Financial
liabilities liabilities liabilities measured liabilities
measured at fair measured at at fair value through measured at
value through Amortized Cost profit or loss Amortized Cost
profit or loss
Interest on Debt Securities - 50.71 0.06 78.28
Interest on subordinated liabilities 0.33 28.35 0.30 13.37
Interest on Borrowings - 465.20 - 277.59
Discount on Commercial Paper - 2.72 - 1.19
Interest Expense on Other borrowings - 10.97 - 7.56
Amortization of Processing Fees - 25.99 - 13.76
Interest on Lease Liability - 1.05 - 0.68
Documentation Charges - 0.21 - 0.26
Amortization of Debenture Issue Expenses - 0.70 - 2.00
Other Borrowing Cost - 0.75 - 0.06
Total 0.33 586.65 0.36 394.75
NOTE 31. NET LOSS ON DERECOGNITION OF FINANCIAL INSTRUMENTS UNDER AMORTIZED COST CATEGORY
(` in Crores)
March 31 2023 March 31 2022
Amortization of Interest only strip - 6.74
Bad Debts Written off 450.91 131.84
Total 450.91 138.58
NOTE 32. IMPAIRMENT ON FINANCIAL INSTRUMENTS:-

(` in Crores)
On Financial On Financial On Financial On Financial
instruments instruments instruments instruments
measured at fair measured at measured at fair measured at
value through OCI Amortized Cost value through OCI Amortized Cost
Loans - Expected Credit Loss - 4.37 - 98.72
Total - 4.37 - 98.72
NOTE 33. EMPLOYEE BENEFIT EXPENSES

(` in Crores)
March 31 2023 March 31 2022
Salaries and bonus 345.37 207.00
Contribution to provident and other funds 28.41 18.28
Leave Encashment 6.10 3.94
Gratuity 2.23 1.51
Staff Welfare Expenses 11.76 5.92
Total 393.87 236.65

148
Standalone
NOTE 34. OTHER EXPENSES

(` in Crores)
March 31 2023 March 31 2022
Rent Expenses 21.57 12.78
Rates and Taxes 1.00 0.74
Exchange and statutory Charges -
Marketing Expense 0.12 0.02
Bank Charges 17.53 9.52
Repairs and maintenance 2.02 1.11
Electricity 2.51 1.55
Communication Costs 5.38 3.95
Printing and stationery 8.81 2.82
Postage and courier 2.38 1.53
Advertisement and publicity 0.02 0.05
Payment to Auditors
(i) As Auditors 0.17 0.09
(ii) For taxation matters - -
(iii) For Certification Works 0.01 0.01
(iv) Out of pocket expenses 0.03 0.02
Legal and Professional charges 14.67 9.51
Software Charges/ Technology Cost 16.49 10.57
Travelling and conveyance 40.09 22.21
Miscellaneous Expenses 12.83 7.59
Total 145.63 84.07
33.1 Gratuity Abridged Disclosure Statement as per Indian Accounting Standard - 19 “Employee Benefits” for the period
01/04/2022 - 31/03/2023
Details of defined benefit plan of gratuity are given below:
(` in Crores)
Particulars For the year ended For the year ended
March 31, 2023 March 31, 2022
i) Changes in the Present Value of Obligation (PVO)
PVO as at the beginning of the period 6.67 4.18
Interest Cost 0.38 0.22
Current service cost 1.96 1.35
Past service cost - (non vested benefits) - -
Past service cost - (vested benefits) - -
Liability Transferred In/ Acquisitions - -
Benefits paid (0.47) (0.07)
The Effect Of Changes in Foreign Exchange Rates - -
Actuarial loss/(gain) on obligation -Due to Change in Demographic - 0.00
Assumptions
Actuarial (Gains)/Losses on Obligations - Due to Change in Financial (1.37) (0.66)
Assumptions
Actuarial (Gains)/Losses on Obligations - Due to Experience 1.73 1.65
PVO as at the end of the year 8.90 6.67

149
ii) Changes in the Fair Value of Plan Assets

(` in Crores)
March 31, 2023 March 31, 2022
Fair value of plan assets as at the beginning of the period 1.92 1.13
Interest Income 0.11 0.06
Contributions by the Employer - 0.92
Benefits paid from the Fund (0.47) (0.07)
Return on Plan Assets, Excluding Interest Income (0.07) (0.12)
Fair value of plan assets as at the end of the period 1.50 1.92
iii) Amount recognized in the Balance Sheet and Related Analysis
Present Value of Benefit Obligation at the end of the Period (8.90) (6.67)
Fair Value of Plan Assets at the end of the Period 1.50 1.92
Funded Status - Deficit (7.40) (4.75)
Net Liability recognized in the balance sheet (7.40) (4.75)
iv) Net Interest Cost for Current Period
Present Value of Benefit Obligation at the Beginning of the Period 6.67 4.18
Fair Value of Plan Assets at the Beginning of the Period (1.92) (1.13)
Net Liability at the Beginning 4.75 3.05
Interest Cost 0.38 0.22
Interest Income (0.11) (0.06)
Net Interest Cost for the Period 0.27 0.16
v) Expenses recognized in the Statement of Profit or Loss for Current
Period
Current service cost 1.96 1.35
Net Interest Cost 0.27 0.16
Past Service Cost -
Expected Contributions by the Employees -
(Gains)/Losses on Curtailments And Settlements -
Net Effect of Changes in Foreign Exchange Rates -
Expenses recognized in the statement of profit and loss 2.23 1.51
vi) Expenses Recognized in the Other Comprehensive Income (OCI) for
Current Period
Actuarial (Gains)/Losses on Obligation For the Period 0.36 0.99
Return on Plan Assets, Excluding Interest Income 0.07 0.12
Change in Asset Ceiling
Net Expense For the Period Recognized in OCI 0.43 1.11
vii) Principal Actuarial Assumptions (Expressed as weighted averages)
Discount Rate 7.29% 5.66%
Salary escalation rate 8.00% 8.00%
Attrition rate For service 4 years For service 4 years
and below: 35%p.a and below: 35%p.a
For service 5 years For service 5 years
and above: 10% p.a and above: 10% p.a
Mortality Rate Indian Assured Indian Assured Lives
Lives Mortality Mortality (2012-14)
(2012-14) Urban Urban
Expected rate of return on Plan Assets 7.29% 5.66%

150
Standalone
Sensitivity Analysis
(` in Crores)
March 31, 2023 March 31, 2022
Projected Benefit Obligation on Current Assumptions 8.90 6.67
Delta Effect of +1% Change in Rate of Discounting (0.70) (0.58)
Delta Effect of -1% Change in Rate of Discounting 0.77 0.69
Delta Effect of +1% Change in Rate of Salary Increase 0.81 0.66
Delta Effect of -1% Change in Rate of Salary Increase (0.72) (0.58)
Delta Effect of +1% Change in Rate of Employee Turnover (0.12) (0.19)
Delta Effect of -1% Change in Rate of Employee Turnover 0.12 0.21
The sensitivity analysis have been determined based on reasonably possible changes of the respective assumptions
occurring at the end of the reporting period, while holding all other assumptions constant.
The sensitivity analysis presented above may not be representative of the actual change in the Defined Benefit Obligation
as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may
be correlated.
Furthermore, in presenting the above sensitivity analysis, the present value of the Defined Benefit Obligation has been
calculated using the projected unit credit method at the end of the reporting period, which is the same method as applied
in calculating the Defined Benefit Obligation as recognized in the balance sheet.
There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.
Notes
Gratuity is payable as per company’s scheme as detailed in the report.
Actuarial gains/losses are recognized in the period of occurrence under Other Comprehensive Income (OCI). All above
reported figures of OCI are gross of taxation.
Salary escalation & attrition rate are considered as advised by the entity; they appear to be in line with the industry
practice considering promotion and demand & supply of the employees.
Maturity Analysis of Benefit Payments is undiscounted cashflows considering future salary, attrition & death in respective
year for members as mentioned above.
Average Expected Future Service represents Estimated Term of Post - Employment Benefit Obligation.
33.2 Leave Encashment

(` in Crores)
Particulars FY 2022-23 FY 2021-22
Projected Benefit obligation 5.89 3.71
Expense recognized in the Statement of P&L 6.10 3.94
Discount rate 7.29% 5.66%
Salary Escalation rate 8.00% 8.00%
Attrition rate For service 4 years For service 4 years
and below: 35%p.a and below: 35%p.a
For service 5 years For service 5 years
and above: 10% p.a and above: 10% p.a
Mortality rate During the Employment Indian Assured Indian Assured Lives
Lives Mortality Mortality (2012-14)
(2012-14) Urban Urban

151
33.3 Defined Contribution Plans:

The Company has recognized the following amounts as an expense and included in the Employee Benefit Expenses.
(` in Crores)
Contribution to Provident fund 22.60 14.31
Contribution to ESIC 5.75 3.93
Contribution to Labour Welfare Fund 0.06 0.04
Total 28.41 18.28
NOTE 35. INCOME TAXES

Amounts recognized in profit or loss
(` in Crores)
March 31 2023 March 31 2022
Current tax expense
Current year 13.77 36.77
Changes in estimates related to prior years (1.63) (0.19)
Deferred tax expense
Origination and reversal of temporary differences 18.19 (28.23)
Amounts recognized in OCI

(` in Crores)
Particulars Year Ended March 31,2023 Year Ended March 31,2022
Before tax Tax expense Net of tax Before tax Tax expense Net of tax
Items that will not be reclassified
to profit or loss
Remeasurements of defined benefit (0.42) 0.11 (0.32) (1.11) 0.28 (0.83)
liability (asset)
Reconciliation of Effective Tax Rate:

(` in Crores)
Particulars Year Ended Year Ended Year Ended Year Ended Year Ended Year Ended
March March March March March March
31,2023 31,2023 31,2023 31,2022 31,2022 31,2022
(Rate) (Amount) (Rate) (Amount)
Profit before tax 158.51 58.96
Tax using the Bank’s domestic tax 25.17% 39.89 25.17% 14.84
rate
Tax effect of:
Non-deductible 2.40 0.61 1.63 0.41
Tax-exempt income - - - -
Changes in the Estimates Taxes to - (1.63) - (0.19)
previous year
Interest for deferment of advance - - 0.11 0.02
tax
Deductible Income (35.71) (8.99) (27.07) (6.81)
Changes in the Deferred Tax 1.80 0.45 0.30 0.08
Assets/ Liabilities
Total income tax expense 30.33 8.35

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NOTE 36. CAPITAL, OTHER COMMITMENTS AND CONTINGENT LIABILITIES AT BALANCE SHEET DATE:
(` in Crores)
March 31 2023 March 31 2022
Contingent Liabilities and Commitments(to the extent not provided for )
Claims against the Company not acknowledged as debt* 0.00
Guarantee excluding finance guarantee - -
Other money for which a company is contingently liable - -
Total - 0.00
Commitments:
Estimated amount of contracts remaining to be executed on capital account - -
and not provided for
Other Commitments -
Total - -
*Income Tax Demand
36.1 The Company has not been declared as wilful defaulter by any bank or financial institution or other lender.
36.2 As per the information available with us, the Company is not having any relationship with struck off Companies during
the year.
36.3 During the year, the Company has not entered into any merger/amalgamations. Accordingly, Compliance with approved
mergers is not applicable for the Company.
36.4 The Company does not have any undisclosed income that has been surrendered or disclosed as income during the year
in the tax assessments under the Income Tax Act, 1961
36.5 During the year, the Company has not invested / traded in crypto currency or in virtual currency.
NOTE 37. EARNINGS PER SHARE:
Basic and Diluted Earnings Per Share [“EPS”] computed in accordance with Indian Accounting Standard - 33 “Earnings per
share”.
(` in Crores)
March 31 2023 March 31 2022
Face value of equity shares in ` fully paid up 593.64 498.22
BASIC
Profit after tax as per Statement of Profit and Loss (Total operations) A 128.18 50.60
Profit after tax (after minority)as per Statement of Profit and Loss from B 128.18 50.60
Continuing Operations
Weighted Average Number of Equity Shares Outstanding C 51,18,17,250 41,37,40,803
Basic EPS (In `) (i) Total operations A/C 2.50 1.22
(ii) Continuing operations B/C 2.50 1.22
DILUTED
Weighted Average Number of Equity Shares for computation of basic 51,18,17,250 41,37,40,803
EPS
Add: Potential Equity Shares on Account conversion of Employees Stock - -
Options.
Weighted Average Number of Equity shares for computation of diluted D 51,18,17,250 41,37,40,803
EPS
Diluted EPS (In `) (i) Total operations A/D 2.50 1.22
(ii)Continuing operations B/D 2.50 1.22

153
NOTE 38. RELATED PARTY DISCLOSURES AS PER INDIAN ACCOUNTING STANDARD – 24 “RELATED PARTY
DISCLOSURE” FOR THE YEAR ENDED MARCH 31, 2023
(a) Name of the related parties with whom transactions have been entered during the year and description of relationship:
Nature of Relationship Name of the Related Party
Holding Company IIFL Finance Limited
Group company IIFL Home Finance Limited
Others IIFL Management Services Limited
IIFL Investment Adviser And Trustee Services Limited
IIFL Facilities Services Limited
IIFL Wealth Management Limited
IIFL Alternate Asset Advisors Limited
IIFL Wealth Prime Limited (Erstwhile IIFL Wealth Finance Limited)
Key Management Personnel Mr. N. Venkatesh, Managing Director
Mr. D. Shivaprakash, Whole-time Director
Mr. Anantha Kumar T, Chief Financial Officer
Mr. Manoranjan Biswal, Company Secretary
Non Executive Director Mr. Monu Ratra, Non Executive Director upto 07/09/22
Independent Directors Mr. A. Vikraman, Independent Director
Mr. A. Ramanathan, Independent Director
Ms. Malini B Eden, Women Director
Mr. Badrinarayan Seshadri, Independent Director
(b) Disclosure of Transactions and Outstanding Balances with Related Parties

(` in Crores)
Nature of Transaction FY 2022-23 FY 2021-22
Service Fee on Business Correspondence- Income - -
IIFL Finance Limited 56.72 7.21
Interest Expense - -
IIFL Home Finance Limited 9.94 -
IIFL Facilities Services Limited - 0.00
IIFL Wealth Management Limited 0.37 -
IIFL Wealth Prime Limited (Erstwhile IIFL Wealth Finance Limited) 0.56 1.97
- -
Dividend Paid - -
IIFL Finance Limited 3.71 -
IIFL Home Finance Limited 1.25 -
Narayanaswamy Venkatesh 0.01 -
Shivaprakash Deviah 0.00 -
Venkatakrishnama Appanaidu Narayanaswamy 0.01 -
Anitha Shivaprakash 0.00 -
- -
Arranger Fee Expenses - -
IIFL Management Services Limited 0.50 -
IIFL Wealth Management Limited - 0.68
- -
Brokerage Expense/Other Expense - -
- -
Reimbursement of Expenses - -
Loans and Advances Received - -

154
Standalone
(` in Crores)
Nature of Transaction FY 2022-23 FY 2021-22
Inter Corporate Deposit Received from IIFL Finance Limited 100.00 550.00
Inter Corporate Deposit Repaid to IIFL Finance Limited 100.00 550.00
Inter Corporate Deposit Received from IIFL Home Finance Limited 775.00 -
Inter Corporate Deposit Repaid to IIFL Home Finance Limited 775.00 -
- -
Share Capital and Securities Premium - -
Equity Share Capital Received - -
IIFL Home Finance Limited - 44.35
Securities Premium - -
Remuneration to Key Managerial Personnel - -
Sitting Fees paid 0.00 0.10
Short term Employee benefit 4.07 2.78
Outstanding Balance as on March 31 ,2023 - -
Sundry Receivable - IIFL Finance Limited (after TDS deduction) 7.18 2.50
Market Linked Debentures - -
IIFL Wealth Prime Limited (Erstwhile IIFL Wealth Finance Limited) 7.60 26.70
ICD / Loan Portfolio outstanding (Payable) / Receivable - -
IIFL Wealth Prime Limited (Erstwhile IIFL Wealth Finance Limited) - 1.97
Disclosures of Transactions Pursuant to Regulation 34(3) of SEBI (LODR) Regulations, 2015:

(` in Crores)
Name of the Entity As at March 31, 2023
Outstanding Maximum Amount
Amount outstanding during the year
IIFL Finance Limited - 100.00
(` in Crores)
Name of the Entity As at March 31, 2022
Outstanding Maximum Amount
Amount outstanding during the year
IIFL Finance Limited - 350.00
NOTE 39. MATURITY ANALYSIS OF ASSETS AND LIABILITIES AS AT MARCH 31,2023

(` in Crores)
Particulars March 31, 2023 Current Non Current
ASSETS
1 Financial Assets
(a) Cash and cash equivalents 227.11 226.82 0.29
(b) Bank Balance other than (a) above 382.39 201.74 180.65
(c) Derivative financial instruments 9.22 9.22 -
(d) Receivables -
Trade Receivables 17.98 17.98 -
(e) Loans 7,736.08 4,439.50 3,296.58
(f) Investments 160.42 - 160.42
(g) Other Financial assets 289.48 272.10 17.38

155
(` in Crores)
2 Non-financial Assets
(a) Other non-financial assets 5.70 5.66 0.04
(b) Current tax assets (Net) 2.12 2.12 -
(c) Deferred tax Assets (Net) 45.04 - 45.04
(d) Investment Property 0.05 - 0.05
(e) Property, Plant and Equipment 20.36 - 20.36
(f) Right to Use 8.15 - 8.15
(g) Capital work-in-progress - - -
(h) Other Intangible assets - - -
Total Assets 8,904.10 5,175.14 3,728.96
LIABILITIES
1 Financial Liabilities
(a) Derivative financial instruments 9.22 9.22 -
(b) Payables
(I) Trade Payables
(i) total outstanding dues of micro - -
(ii) total outstanding dues of creditors 20.38 20.38 -
other than micro enterprises and small
enterprises
(c) Debt Securities 477.00 318.01 158.99
(d) Borrowings (Other than Debt Securities) 6,328.70 3,769.17 2,559.53
(e) Unsecured/ Subordinated Liabilities 464.60 91.00 373.60
(f) Lease Liability 9.21 1.90 7.31
(g) Other financial liabilities 232.80 232.80 -
2 Non-Financial Liabilities
(a) Current tax liabilities (Net) 0.18 0.18
(b) Provisions 13.29 10.20 3.09
(c) Other non-financial liabilities 26.57 26.57 -
3 Equity
(a) Equity Share capital 593.64 - 593.64
(b) Other Equity 728.51 - 728.51
Total Liabilities and Equity 8,904.10 4,479.44 4,424.66
Maturity Analysis of assets and liabilities as at March 31,2022
(` in Crores)
ASSETS
1 Financial Assets
(a) Cash and cash equivalents 455.08 455.08 -
(b) Bank Balance other than (a) above 255.56 123.65 131.91
(c) Derivative financial instruments 9.87 9.87
(d) Receivables -
Trade Receivables 8.48 8.48 -
(e) Loans 5,518.63 3,512.96 2,005.67
(f) Investments 0.05 - 0.05
(g) Other Financial assets 51.96 14.77 37.20

156
Standalone
(` in Crores)
2 Non-financial Assets
(a) Other non-financial assets 14.11 13.64 0.47
(b) Current tax assets (Net) 1.64 1.64 -
(c) Deferred tax Assets (Net) 63.12 - 63.12
(d) Investment Property 0.05 - 0.05
(e) Property, Plant and Equipment 9.12 - 9.12
(f) Right to Use 6.75 6.75
(g) Capital work-in-progress - - -
(h) Other Intangible assets 0.01 - 0.01
Total Assets 6,394.43 4,130.22 2,264.72
LIABILITIES
1 Financial Liabilities
(a) Derivative financial instruments 9.87 - 9.87
(b) Payables
(I) Trade Payables
(i) total outstanding dues of micro - - -
(ii) total outstanding dues of creditors 8.06 8.06 -
other than micro enterprises and small
enterprises
(c) Debt Securities 514.81 169.74 345.07
(d) Borrowings (Other than Debt Securities) 4,603.36 2,535.13 2,068.23
(e) Unsecured/ Subordinated Liabilities 140.72 4.65 136.07
(f) Lease Liability 7.42 1.14 6.28
(g) Other financial liabilities 91.36 91.35 -
2 Non-Financial Liabilities
(a) Current tax liabilities (Net) 5.51 5.51
(b) Provisions 8.46 6.52 1.94
(c) Other non-financial liabilities 5.58 5.58 -
3 Equity
(a) Equity Share capital 498.22 - 498.22
(b) Other Equity 501.06 - 501.06
Total Liabilities and Equity 6,394.43 2,827.68 3,566.74
NOTE 40. FINANCIAL RISK MANAGEMENT
a) Credit Risk
Credit Risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss
to the Company. The Company. has adopted a policy of only dealing with creditworthy counterparties and obtaining
sufficient collateral, where appropriate, as a means of mitigating the risk of financial loss from defaults. The exposure is
continuously monitored.
Trade Receivables and Other financial assets

Credit risk with respect to trade receivables and other financial assets are extremely low. Trade receivables are primarily
from other services provided, historically company has not suffered any defaults. Based on the credit assessment the
historical trend of low default is expected to continue. No provision for expected credit loss has been Trade Receivables
and Other financial assets.

157
Loans
The following table sets out information about credit quality of loan assets measured at amortized cost based on Number
of Days past due information. The amount represents gross carrying amount.
(` in Crores)
March 31, 2023 March 31, 2022
Gross Carrying value of loan Assets
Stage-1 (Less than 30 Days) 7,593.73 5,230.65
Stage-2 (30-90 Days) 235.46 364.62
Stage-3 (More than 90 Days) 169.35 177.45
Total Gross Carrying value on Reporting Date 7,998.54 5,772.72
Credit Quality
Financial services business has a comprehensive framework for monitoring credit quality of its retail and other loans
based on days past due monitoring. Repayment by individual customers and portfolio is tracked regularly and required
steps for recovery is taken through follow ups and legal recourse.
Inputs considered in the ECL model

In assessing the impairment of loans assets under Expected Credit Loss (ECL) Model, the loan assets have been
segmented into three stages.
The three stages reflect the general pattern of credit deterioration of a financial instrument. The differences in accounting
between stages relate to the recognition of expected credit losses and the calculation and presentation of interest
revenue.
The Company categorizes loan assets into stages based on the Days Past Due status:
i) Stage 1: 30 Days Past Due
ii) 31-90 Days Past Due
iii) More than 90 Days Past Due
Exposure at default (EAD) is the maximum exposure as on the date of provision which includes both principal outstanding
and interest. Interest is the total of interest outstanding and interest Accrued but not due.
Loss given default (LGD) estimates the normalized loss which company incurs post customer default. It is computed
through recovery observed in delinquent accounts over a period of time. It is always expressed as % of outstanding
amount and not in count. LGD is common for all three stages and is based on loss in past portfolio.
Effective Interest rate (EIR) is the rate that discounts estimated future cash flows through the expected life of financial
instrument.
Estimation Technique
Probability of default (PD) is the likelihood that customer will default on loan in time horizon. It is computed on count
basis .The reason is customer defaulting on loan is captured by its count and there is no relationship with his outstanding
dues.
Assessment of significant increase in credit risk

When determining whether the risk of default has increased significantly since initial recognition, the financial services
business considers both quantitative and qualitative information and analysis based on the business historical
experience, including forward-looking information. The financial services business considers reasonable and supportable
information that is relevant and available without undue cost and effort.

158
Standalone
The financial services business uses the number of days past due to classify a financial instrument in low credit risk
category and to determine significant increase in credit risk in retail. As a backstop, the financial services business
considers that a significant increase in credit risk occurs no later than when an asset is more than 30 days past due.
Impairment loss
The expected credit loss allowance provision is determined as follows:
(` in Crores)
Particulars Stage 1 Stage 2 Stage 3 Total
Gross Balance as at 31-03-2023 7,593.73 235.46 169.35 7,998.53
Expected Credit Loss 141.57 10.61 105.04 257.22
Expected Credit Loss Rate 1.86% 4.51% 62.03% 3.22%
Net of Impairment Provision 7,452.16 224.85 64.31 7,741.31
(` in Crores)
Particulars Stage 1 Stage 2 Stage 3 Total
Gross Balance as at 31-03-2022 5,230.65 364.62 177.45 5,772.72
Expected Credit Loss 108.86 15.81 130.13 254.80
Expected Credit Loss Rate 2.08% 4.34% 73.33% 4.41%
Net of Impairment Provision 5,121.79 348.81 47.32 5,517.92

159
160
The following tables show reconciliations from the opening to the closing balance of the loss allowance by class of financial instrument.
(` in Crores)
Reconciliation of loss allowance Financial Assets where Financial assets for which credit Financial assets for which credit Total
loss allowance measured risk has increased significantly and risk has increased significantly and
at 12-month ECL credit not impaired credit impaired
Principal Interest Principal Interest Principal Interest Principal Others
Opening ECL 01-04-2022 108.19 0.68 15.28 0.55 130.13 - 253.59 1.23
Incremental loans disbursed in FY 2022-23 124.58 1.74 6.46 0.57 47.95 178.99 2.30
Loans closed/written off during the year (43.66) (0.27) (13.79) (0.49) (113.26) (170.71) (0.76)
Stage same in both years- change in provisioning (44.39) (0.14) (0.29) (0.00) (1.93) (46.61) (0.14)
Movement of stages due to asset reclassification (5.15) (0.02) 2.12 0.22 42.17 39.14 0.20
Closing ECL 31-03-2023 139.58 1.99 9.78 0.85 105.04 - 254.41 2.84
(` in Crores)
Reconciliation of loss allowance Financial Assets where Financial assets for which credit Financial assets for which credit Total
Opening ECL 01-04-2021 73.53 0.54 6.29 0.31 74.78 - 154.60 0.84
Incremental loans disbursed in FY 2021-22 87.70 0.52 7.64 0.32 72.78 - 168.11 0.84
Loans closed/written off during the year (30.81) (0.21) (3.15) (0.18) (59.35) - (93.31) (0.39)
Stage same in both years- change in provisioning (17.56) (0.14) (0.04) (0.00) (4.31) - (21.91) (0.14)
Movement of stages due to asset reclassification (4.67) (0.03) 4.54 0.10 46.23 - 46.09 0.06
Closing ECL 31-03-2022 108.19 0.68 15.28 0.55 130.13 - 253.58 1.21

The following tables show reconciliations from the opening to the closing balance of the exposure at default (EAD) (Principal & Interest) by class of financial instrument.
(` in Crores)
Reconciliation of Exposure at default Financial Assets where Financial assets for which credit Financial assets for which credit Total

Opening EAD 01-04-2022 5,230.66 35.63 364.63 13.14 177.44 - 5,772.73 48.77
Incremental loans disbursed in FY 2022-23 6,777.93 46.18 155.45 7.62 77.30 7,010.68 53.81
Loans closed/written off during the year (2,111.78) (14.26) (329.11) (12.09) (154.45) (2,595.34) (26.35)
Stage same in both years- change in provisioning (2,054.96) (13.72) (6.77) (0.30) (0.72) (2,062.45) (14.02)
Movement of stages due to asset reclassification (248.11) (0.95) 51.26 2.74 69.79 (127.07) 1.78
Closing EAD 31-03-2023 7,593.74 52.88 235.46 11.11 169.35 - 7,998.54 63.99
(` in Crores)
Reconciliation of Exposure at default Financial Assets where Financial assets for which credit Financial assets for which credit Total
Corporate Overview

Opening EAD 01-04-2021 3,885.06 27.38 156.94 7.50 74.78 - 4,116.78 34.87
Incremental loans disbursed in FY 2021-22 4,238.67 27.74 182.33 7.78 99.24 4,520.24 35.52
Loans closed/written off during the year (1,626.04) (10.97) (78.57) (4.42) (59.35) (1,763.96) (15.39)
Stage same in both years- change in provisioning (1,014.31) (6.86) (1.48) (0.12) (0.87) (1,016.67) (6.98)
Movement of stages due to asset reclassification (252.72) (1.66) 105.41 2.38 63.64 (83.67) 0.73
Statutory Reports
Closing EAD 31-03-2022 5,230.66 35.63 364.63 13.14 177.44 - 5,772.72 48.75
161
Standalone
b) Liquidity risk
(i) Financing arrangements
The Company had access to the following undrawn borrowing facilities at the end of the reporting period:
(` in Crores)
March 31 2023 March 31 2022
Floating rate
Expiring within one year 334 328
Expiring beyond one year - -
Total 334 328
(ii) Maturities of financial liabilities

The tables below analyze the Company’s financial liabilities into relevant maturity groupings based on their
contractual maturities for:
1. all non-derivative financial liabilities, and
2. net and gross settled derivative financial instruments for which the contractual maturities are essential for an
understanding of the timing of the cash flows.
The amounts disclosed in the table are the contractual undiscounted cash flows. Balances due within 12 months
equal their carrying balances as the impact of discounting is not significant.
(` in Crores)
Contractual maturities of financial Less than 3 3 to 6 6 months to Between 1 More than 5
liabilities - 31-03-2023 months months 1 year and 5 years years
Non-derivatives
Borrowings 1,104.24 1,154.02 1,905.64 2,857.45 175.00
- Term Loans - Banks 665.12 713.68 1,257.14 1,675.92 -
- Term Loans - Others 259.12 292.84 588.50 890.23 -
- Commercial Paper - - - - -
- NCD-Secured 175.00 130.00 - 133.80 -
- NCD-Unsecured 5.00 17.50 60.00 157.50 175.00
- Cash Credit/Overdraft - - - - -
- Securitisation - - - - -
Trade payables 20.32
Other financial liabilities 214.53 18.27
Lease Liability 0.46 0.47 0.96 7.31
Total non-derivative liabilities 1,339.55 1,172.76 1,906.60 2,864.76 175.00
Derivative liabilities
Embedded Derivative - - 9.22 -
Total derivative liabilities - - 9.22 - -

162
Standalone
(` in Crores)
Contractual maturities of financial Less than 3 3 to 6 6 months to Between 1 More than 5
liabilities - 31-03-2022 months months 1 year and 5 years years
Non-derivatives
Borrowings 721.56 690.14 1,290.35 2,509.31 -
- Term Loans - Banks 479.90 501.88 938.98 1,555.47 -
- Term Loans - Others 201.16 149.86 261.37 520.04 -
- Commercial Paper - 25.90 - - -
- NCD-Secured 32.50 12.50 90.00 333.80 -
- NCD-Unsecured 5.00 - - 100.00 -
- Cash Credit/Overdraft 2.99 - - - -
- Secutization - - - - -
Trade payables 8.36 - (0.30) - -
Other financial liabilities 88.19 3.17 - - -
Lease Liability 0.28 0.28 0.57 5.20 1.08
Total non-derivative liabilities 818.38 693.59 1,290.62 2,514.51 1.08
Derivative liabilities
Embedded Derivative - - 9.87 -
Total derivative liabilities - - - 9.87 -
NOTE 40. FINANCIAL RISK MANAGEMENT

Market Risk is the risk that the fair value or the future cash flows of a financial instrument will fluctuate because of changes
in market factor. Such changes in the values of financial instruments may result from changes in the interest rates, credit,
liquidity, and other market changes. The Company is exposed to two types of market risk as follows:
c) Interest rate risk exposure

The exposure of the Company’s borrowing to interest rate changes at the end of the reporting period are as follows:
(` in Crores)
Particulars March 31, 2023 March 31, 2022
Variable rate borrowings 4,852.98 3,170.94
Fixed Rate of Borrowings 2,343.37 2,040.42
Total 7,196.35 5,211.36
As at the end of the reporting period, the Company had the following variable rate borrowings outstanding:
(` in Crores)
Weighted Balance % of total Weighted Balance % of total
Average loans Average loans
Interest Rate Interest Rate
Bank Loans 10.38% 4,852.98 67.44% 9.52% 3,170.94 60.85%
Sensitivity
Profit or loss is sensitive to higher/lower interest expense from borrowings as a result of changes in interest rates. Other
components of equity change as a result of an increase/decrease in the fair value of the cash flow hedges related to
borrowings.
(` in Crores)
Particulars Impact on profit after tax Impact on other components of equity
March 31, 2023 March 31, 2022 March 31, 2023 March 31, 2022
Interest rates – increase by 30 basis (11.77) (8.17) Nil Nil
points
Interest rates – decrease by 30 basis 11.77 8.17 Nil Nil
points

163
d) Price Risk Exposure

The Company’s exposure to assets having price risk is as under
(` in Crores)
Particulars Equity Shares Mutual
(Other than Subsidiary) Funds
Market Value as on March 31, 2023 0.05 -
Market Value as on March 31, 2022 0.05 -
To manage its price risk arising from investments in equity securities, the Company diversifies its portfolio. Diversification
of the portfolio is done in accordance with the limits set by the Company.
Sensitivity
The table below summarizes the impact of increases/decreases of the index on the Company’s equity and profit for the
period. The analysis is based on the assumption that the equity index had increased by 5% or decreased by 5% with all
other variables held constant, and that all the Company’s equity instruments moved in line with the index.
(` in Crores)
Particulars Impact on profit after tax Impact on other components of equity
March 31, 2023 March 31, 2022 March 31, 2023 March 31, 2022
Increase by 5% 0.00 0.00 Nil Nil
Decrease by 5% (0.00) (0.00) Nil Nil
e) Foreign Currency Risk Exposure

The Company is not exposed to foreign currency fluctuation risk for its External Commercial Borrowings (ECB).
NOTE 41. CORPORATE SOCIAL RESPONSIBILITY

During the year, the Company incurred an aggregate amount of ` 2.29 Crore (P.Y. ` 1.43 Crore) towards corporate social
responsibility in compliance of Section 135 of Companies Act 2013 read with relevant schedule and rules made thereunder.
The details of CSR Spend are given below:
(` in Crores)
March 31 2023 March 31 2022
(a) Gross amount required to be spent by the Company during the Year 1.88 1.97
(b) Excess/(Shortfall) amount spent in previous financial year carried forward (1.27) (0.73)
(c) Net amount required to be spent during the year (a-b) 3.14 2.70
(d) Amount spent during the year**
(i) Construction/acquisition of any asset - -
(ii) On purpose other than (i) above 2.29 1.43
(e) Excess/(Shortfall) at the end of the year (d-c) (0.85) (1.27)
(f) Total of previous year shortfall
(g) Reason for shortfall This unspent amount will be utilized for
the ongoing project in the FY 2023-24
(h) Nature of CSR activities, All the CSR activities of IIFL Samasta
Finance are aligned towards improving the
quality of life of the community. However,
Our CSR activities focuses on Livestock
Development, Women empowerment,
education, health and skill development .
(i) Details of related party transactions - -
(j) Provision made during the year - -

164
Standalone
Details of Ongoing Project

(` in Crores)
Opening Balance Amount required Amount spent during the year Closing Balance
to be spent
during the year
Within In Separate CSR From Company's From Separate With In Separate CSR
Company Unspent a/c Bank A/c CSR Unspent A/c Company Unspent a/c
- 1.27 1.88 1.03 1.27 - 0.85
Details of Unspent amount

(` in Crores)
Opening Amount deposited in Specified Fund Amount required to be Amount spent Closing Balance
Balance of Sch. VII within 6 months spent during the year during the year
1.27 1.27 1.88 2.29 0.85
NOTE 42. ADDITIONAL INFORMATION
a) Asset Classification & Provisioning:

As per MCA press release no 11/10/2009 CL - V dated January 18, 2016, the Company adopted Ind AS notified under
Sec 133 of CA 2013, from April 01, 2018. Pursuant to which the Company has made provision for loss as per ECL under
Ind As 109, Financial Instruments. Consequently the provision for loss is not on the basis of the Prudential Norms of the
Reserve Bank of India.
b) Disclosure Pursuant to Reserve Bank of India Notification DNBS.200/CGM (PK)-2008 dated August 01, 2008
i) Capital to risk Assets ratio (CRAR) (computed as per the method prescribed by RBI)
(` in Crores)
Particulars As on March 31, 2023 As on March 31, 2022
` `
Tier I Capital 1,097.86 869.18
Tier II Capital 296.73 108.55
Total Capital Funds 1,394.59 977.73
Total Risk Weighted Assets 8,138.62 5,484.09
CRAR - Tier I Capital (%) 13.49% 15.85%
CRAR - Tier II Capital (%) 3.65% 1.98%
CRAR (%) 17.14% 17.83%
ii) Exposure to Real Estate Sector (Direct & Indirect Exposure) – Nil (PY: Nil)
iii) Amount of Subordinated Debt raised as Tier II Capital – `175 Crore (PY: Nil)
iv) Exposure to Capital Markets –Nil
(` in Crores)
v) Ratings assigned during the year As on March 31, 2023 As on March 31, 2022
a) MFI Grading CRISIL M1C1 CRISIL M1C1
b) Bank loan rating CRISIL AA-/Stable CRISIL AA-/Stable
c) NCD rating- CRISIL AA-/Stable CRISIL AA-/Stable
d) MLD rating CRISIL PP- MLD AA-/ CRISIL PP- MLD AA-r/
Stable Stable
e) CP rating- CRISIL A1+ CRISIL A1+

165
166
vi) Maturity Pattern of Assets and Liabilities
Maturity pattern of certain items of assets and liabilities as on March 31, 2023 (Amount in `)
(` in Crores)
Particulars Liabilities Assets
Borrowings Borrowings NCD-Secured NCD- Cash Advances FD with Banks Investments
from Banks from NBFC/FI / Commercial Unsecured Credit/ (Loan portfolio (Free of Lien)
Paper Overdraft outstanding)
Up to one month 167.87 39.48 115.00 - - 333.39 - -
Over one month to 2 months 205.39 72.45 - 5.00 - 386.32 12.19 -
Over 2 months up to 3 months 291.87 147.18 60.00 - - 373.47 - -
Over 3 months up to 6 months 713.68 292.84 130.00 17.50 - 1,137.63 0.00 -
Over 6 months to 1 year 1,257.14 588.50 - 60.00 - 2,182.91 - -
Over 1 year to 3 years 1,675.92 872.23 133.80 157.50 - 3,576.26 - -
Over 3 years to 5 years - 18.00 - - - 7.72 -
Over 5 years - - - 175.00 - 0.84 - -
4,311.87 2,030.68 438.80 415.00 - 7,998.54 12.20 -

Standalone
c) Disclosure as required under DNBS (PD) CC. No. 300/03.10.038/2012-13 dated August 03, 2012
The cap on margins (as defined by Malegam Committee) and in compliance with RBI circular RBI/2012-13/161 DNBS
(PD) CC.No.300 /03.10.038/2012-13 August 03, 2012 is 9.39% as at March 31, 2023 (9.39% as at March 31, 2022)
d) Details of average interest paid on borrowings and charged on loans given to JLGs :
(` in Crores)
Rate of Interest in % Rate of Interest in %
for microfinance loan for microfinance loan
Average Rate of Interest on Borrowings 11.85% 10.71%
Average Rate of Interest on Loans given 21.00% 19.47%
Net Interest Margin 9.15% 8.75%
NOTE 43. DISCLOSURE PURSUANT TO RESERVE BANK OF INDIA NOTIFICATION DNBS.193DG (VL) 2007 DATED
FEBRUARY 22, 2007:
(` in Crores)
Sl Particulars As at March 31, 2023 As at March 31, 2022
No. Amount Amount Amount Amount
Outstanding Overdue Outstanding Overdue
LIABILITIES (`) (`) (`) (`)
1 Loan and Advances availed by the NBFC inclusive
of Interest Accrued thereon but not paid:
A Debentures - - - -
- Secured 477.93 - 492.18 -
- Unsecured 481.20 - 145.76 -
(Other than falling the meaning of Public Deposits) - - - -
B Deferred Credits - - - -
C Term Loan 6,360.45 - 4,625.06 -
D Inter-corporate Loans & Borrowings - - - -
E Commercial Paper - - -
F Public Deposits - - - -
G Other Loans – Vehicle Loan - - -
Other Loans – Non Convertible Debentures - - - -
(` in Crores)
Particulars Amount Outstanding Amount Outstanding
March 31, 2023 March 31, 2022
2 Break-up of (1) (f) above (Outstanding public deposits inclusive of
interest Accrued thereon but not paid)
(a) In the form of Unsecured debentures - -
(b) In the form of partly secured debentures i.e. debentures where - -
there is a shortfall in the value of security
(c) Other Public Deposit - -
Assets
3 Break-up of Loans & Advances including Bills Receivables [Other
than those included in (4) below]
(a) Secured 37.24 65.67
(b) Unsecured 7,956.06 5,707.76

167
(` in Crores)
Particulars Amount Outstanding Amount Outstanding
March 31, 2023 March 31, 2022
4 Breakup of Leased and Stock on Hire and other Assets counting
towards AFC activities
(i) Lease assets including Lease rentals under sundry debtors:
(a) Finance Lease - -
(b) Operating Lease - -
(ii) Stock on Hire including Hire Charges under sundry debtors:
(a) Assets on Hire - -
(b) Repossessed Assets - -
(iii) Other Loans counting towards AFC Activities
(a) Loans where assets have been repossessed - -
(b) Loans other than (a) above - -
5 Break-up of Investments Current Investments
I Quoted:
(i) Shares: (a) Equity - -
(b) Preference - -
(ii) Debentures and Bonds - -
(iii) Units of Mutual Funds - -
(iv) Government Securities - -
(v) Others - -
II Unquoted:
(b) Preference - -
(iii) Units of Mutual Funds
(v) Others - -
Long term Investments
I Quoted:
(b) Preference - -
(v) Others 9.22 9.87
II Unquoted:
(i) Shares: (a) Equity 0.05 0.05
(b) Preference - -
(v) Others 160.37 -

168
Standalone
6. Borrower Group wise classification of Assets Financed as in (3) and (4) above
(` in Crores)
Sl Particulars As at March 31, 2023
No. Amount in (`) (Gross of Provisions)
Secured Unsecured Total
1 Related Parties
(a) Subsidiaries - - -
(b) Companies in the same group - - -
(c) Other Related Parties - - -
2 Other than related parties 37 7,961 7,999
Total 37 7,961 7,999
(` in Crores)
Sl Particulars As at March 31, 2022
No. Amount in (`) (Gross of Provisions)
Secured Unsecured Total
1 Related Parties
(a) Subsidiaries - - -
(b) Companies in the same group - - -
(c) Other Related Parties - - -
2 Other than related parties 66 5,707 5,773
Total 66 5,707 5,773
7. Investor Group-wise classification of all investments (Current and Long Term) in Share and Securities (both Quoted
and Unquoted):
(` in Crores)
Sl Category Market Value / Breakup value or Book Value (`)
No. Fair Value or Net Assets Value
1 Related Parties
(a) Subsidiaries - -
(b) Companies in the same group - -
(c) Other Related Parties - -
2 Other than related parties 170 170
Total 170 170
8. Other Information
(` in Crores)
Particulars As on As on
March 31, 2023 March 31, 2022
Amount Amount
(i) Gross Non - Performing Assets
(a) Related Parties - -
(b) Other than Related Parties 105 130
(ii) Net Non - Performing Assets
(a) Related Parties - -
(b) Other than Related Parties - -
(iii) Assets acquired in Satisfaction of Debt - -
NOTE 44. THE COMPANY HAS NOT DISBURSED ANY LOAN AGAINST SECURITY OF GOLD.

169
NOTE 45. SECURITIZATION / ASSIGNMENT OF LOANS

During the year the Company has sold loans through direct Securitization / assignments. The information on direct
assignment activity of the Company as an Originator / Assignor is as shown below:
(` in Crores)
(`.) (`.)
Total number of loans securitized / assigned
a. Through Direct assignment 0.08 0.02
b. Through Pass through Certificates - -
Total 0.08 0.02
Total book value of loans securitized / assigned
a. Through Direct assignment 2,580.76 555.56
Total 2,580.76 555.56
Sale consideration received for loans securitized / assigned
Total 2,307.48 500.00
MFI Loans Subordinated as Credit Enhancement on Assets
Derecognized
a. Through Direct assignment - -
Total
Income recognized in the statement of profit and loss
Total 145.18 61.67
Income deferred on securitized transactions
a. Through Direct assignment 93.20 (6.74)
Total 93.20 (6.74)
Balance of loans assigned / securitized as at the balance sheet
date
Total 1,804.11 497.24
Cash collateral provided and outstanding as at the balance
sheet date
a. Through Direct assignment - -
Total - -

170
Standalone
Disclosure to be made under Securitization guidelines issued by Reserve Bank of India vide policy no. DNBS. PD.
No. 301/3.10.01/2012-13 dated August 21, 2012.
(` in Crores)
Sl Particulars As on 31.03.2023 As on 31.03.2022
No. (`) (`)
1 No. of SPVs sponsored by the NBFC for Securitization transactions
Total 10.00 2.00
2 Total amount of securitized assets as per the books of the SPVs
sponsored by the Company
Total 2,580.76 555.56
3 Total amount of exposures retained by the Company to comply with MRR - -
as on the date of balance sheet
i) Off-Balance Sheet exposures
a) First Loss - -
b) Others - -
ii) On-Balance Sheet exposures
a) First Loss (in the form of Fixed Deposit) - -
b) Others - -
4 Amount of exposures to securitization transactions other than MRR
(` in Crores)
Sl Particulars As on 31.03.2023 As on 31.03.2022
No. (`) (`)
i) Off-Balance Sheet exposures - -
a) Exposure to own securitization
First Loss - -
Others - -
b) Exposure to third party securitization transaction
First Loss - -
Others - -
ii) On-Balance Sheet exposures
a) Exposure to own securitization
First Loss - -
Others - -
b) Exposure to third party securitization transaction
First Loss - -
Others - -

171
172
NOTE 46. DISCLOSURE PURSUANT TO RESERVE BANK OF INDIA NOTIFICATION DOR (NBFC).CC.PD.NO.109/22.10.106/2019-20 DATED MARCH 13, 2020:
Asset Classification as per RBI Norms for the year ended March 31, 2023
MFI loan book
(` in Crores)
Asset Classification as per RBI Norms Asset Gross Carrying Loss Allowances Net Carrying Provisions Difference
Classification as Amount as per (Provisions) as Amount required as per between IND AS
per IND AS 109 IND AS 109 required under IRACP Norms 109 provisions &
IND AS 109 IRACP Norms
1 2 3 4 5 6 7= 4-6
Performing Assets
Standard Stage 1 7,064.16 131.61 6,932.55 104.18 27.43
Stage 2 221.03 10.05 210.97 3.26 6.79
Subtotal 7,285.19 141.66 7,143.52 107.44 34.22
Non Performing Assets (NPA)
Substandard Stage 3 167.06 103.94 63.12 2.46 101.48
Doubtful- upto 1 Year Stage 3 - - - -
1 to 3 Years Stage 3 - - - -
More than 3 Years Stage 3 - - - -
Subtotal for Doubtful 167.06 103.94 63.12 2.46 101.48
Loss Stage 3 - - - - -
Subtotal for NPA
Other Items such as guarantees,Loan Commitments etc.Which Stage 1 - - - - -
are in the scope of IND AS 109 but not covered under current Stage 2 - - - - -
income recognition, Asset Classification, Provisioning (IRACP)
norms Stage 3 - - - - -
Subtotal - - - - -
Total Stage 1 7,064.16 131.61 6,932.55 104.18 27.43
Stage 2 221.03 10.05 210.97 3.26 6.79
Stage 3 167.06 103.94 63.12 2.46 101.48
Total 7,452.25 245.60 7,206.64 109.90 135.70

Non - MFI loan book

(` in Crores)

1 2 3.00 4.00 5.00 6.00 7= 4-6
Performing Assets
Standard Stage 1 529.56 9.96 519.61 7.81 2.15
Stage 2 14.43 0.56 13.87 0.21 0.35
Subtotal 543.99 10.52 533.48 8.02 2.50
Doubtful- upto 1 Year Stage 3 - - - -
1 to 3 Years Stage 3 - - - -
More than 3 Years Stage 3 - - - - -
Corporate Overview
Subtotal for NPA
Subtotal - - - - -
Statutory Reports
Total Stage 1 529.56 9.96 519.61 7.81 2.15

Stage 2 14.43 0.56 13.87 0.21 0.35
Stage 3 2.29 1.10 1.19 0.03 1.07
Total 546.28 11.62 534.67 8.05 3.57
173
Standalone
174
Asset Classification as per RBI Norms for the year ended March 31, 2022
MFI loan Book
(` in Crores)
1 2 3.00 4.00 5.00 6.00 7= 4-6
Performing Assets
Standard Stage 1 4,868.61 102.72 4,765.89 106.03 (3.31)
Stage 2 343.18 14.96 328.22 7.47 7.48
Subtotal 5,211.79 117.68 5,094.11 113.50 4.17
Doubtful- upto 1 Year Stage 3 28.31 20.80 7.51 0.62 20.18
1 to 3 Years Stage 3 0.79 0.58 0.21 0.02 0.56
Subtotal for NPA
Subtotal - - - - -
Total Stage 1 4,868.61 102.72 4,765.89 106.03 (3.31)
Stage 2 343.18 14.96 328.22 7.47 7.48
Stage 3 161.86 118.93 42.92 3.53 115.41
Total 5,373.65 236.61 5,137.03 117.03 119.58

NON MFI loan Book

(` in Crores)

1 2 3.00 4.00 5.00 6.00 7= 4-6
Performing Assets
Standard Stage 1 362.04 6.14 355.90 7.88 (1.75)
Stage 2 21.45 0.85 20.59 0.47 0.39
Subtotal 383.49 6.99 376.49 8.35 (1.36)
Doubtful- upto 1 Year Stage 3 0.37 0.26 0.10 0.01 0.25
1 to 3 Years Stage 3 0.01 0.00 0.00 0.00 0.00
Corporate Overview
Subtotal for NPA
income recognition, Asset Classification, Provisioning (IRACP) Stage 3 - - - - -
norms
Subtotal - - - - -
Statutory Reports
Total Stage 1 362.04 6.14 355.90 7.88 (1.75)

Stage 2 21.45 0.85 20.59 0.47 0.39
Stage 3 15.59 11.19 4.40 0.34 10.85
Total 399.08 18.18 380.89 8.69 9.49
175
Standalone
NOTE 47. DISCLOSURES IN TERMS OF RBI/2019-20/88 DOR.NBFC (PD) CC. NO.102/03.10.001/2019-20 DATED
NOVEMBER 04, 2019:
(i) Funding concentration based on significant counterparty (both deposits and borrowings):
As at March 31, 2023
(` in Crores)
Number of Significant Counterparties Amount % of Total “% of Total
Deposits Liabilities”
28 5,875 Not Applicable 77.49%

(` in Crores)
Number of Significant Counterparties Amount % of Total “% of Total
Deposits Liabilities”
23 4,383 Not Applicable 81.23%
(ii) Top 20 large deposits (amount in lakhs and % of total deposits) - Not applicable
(iii) Top 10 borrowings

(` in Crores)
Amount % of total Amount % of total
Borrowings Borrowings
Top 10 Borrowings 3,540 49.19% 3,144 60.33%
(iv) Funding concentration based on significant instrument / product

(` in Crores)
Amount % of total Amount % of total
Liabilities Liabilities
Borrowings (other than debt securities) 6,343 83.65% 4,612 85.48%
Debt securities 439 5.79% 469 9.17%
Subordinated liabilities 415 5.47% 131 1.95%
Notes: A “significant instrument/product” is defined as a single instrument/product of group of similar instruments/
products which in aggregate amount to more than 1% of the NBFC-NDSI’s, NBFC-Ds total liabilities and 10% for other
non-deposit taking NBFCs.
Total Liabilities has been computed as Total Assets less Equity share capital less Reserve & Surplus and computed basis
extant regulatory ALM guidelines
(v) Stock Ratio

(` in Crores)
Commercial papers as a % of total liabilities 0.00% 0.48%
Commercial papers as a % of total assets 0.00% 0.41%
Non-convertible debentures (original maturity of less than one year) as a % 0.00% 0.00%
of total liabilities
Non-convertible debentures (original maturity of less than one year) as a % 0.00% 0.00%
of total assets
Other short-term liabilities as a % of total liabilities 59.08% 51.93%
Other short-term liabilities as a % of total assets 50.31% 43.82%

176
Standalone
(vi) Institutional set-up for Liquidity Risk Management

The Board of Directors of the Company has an overall responsibility and oversight for the management of all the risks,
including liquidity risk, to which the Company is exposed to in the course of conducting its business. The Board approves
the governance structure, policies, strategy and the risk limits for the management of liquidity risk. The Board of Directors
approves the constitution of the Risk Management Committee (RMC) for the effective supervision, evaluation, monitoring
and review of various aspects and types of risks, including liquidity risk, faced by the Company. The meetings of RMC
are held at quarterly interval. Further, the Board of Directors also approves constitution of Asset Liability Committee
(ALCO), which functions as the strategic decision making body for the asset-liability management of the Company from
risk-return perspective and within the risk appetite and guard-rails approved by the Board. The main objective of ALCO
is to assist the Board and RMC in effective discharge of the responsibilities of asset liability management, market risk
management, liquidity and interest rate risk management and also to ensure adherence to risk tolerance/limits set up by
the Board. ALCO provides guidance and directions in terms of interest rate, liquidity, funding sources, and investment of
surplus funds. ALCO meetings are held once in a month or more frequently as warranted from time to time. The minutes
of ALCO meetings are placed before the RMC and the Board of Directors in its next meeting for its perusal/ approval/
ratification.
NOTE 48. HIGH QUALITY LIQUID ASSETS DISCLOSURE PURSUANT TO RBI/2019-20/88 DOR.NBFC (PD) CC.
NO.102/03.10.001/2019-20 DATED 04 NOVEMBER 2019
(` in Crores)
Total Total Weighted Total Total
Unweighted Value Unweighted Weighted Value
Value (average) (average) Value (average) (average)
High Quality Liquid Assets
Cash and bank balances 214.91 214.91 265.16 265.16
Unencumbered fixed deposits 12.19 12.19 115.14 115.14
Total 227.10 227.10 380.30 380.30
Cash Outflows
Unsecured wholesale funding - - - -
Secured wholesale funding - - - -
Additional requirements, of which - - - -
Outflows related to derivative exposures and other - - - -
collateral requirements
Outflows related to loss of funding of debt products - - - -
Credit and liquidity facilities - - - -
Other contractual funding obligations 601.81 692.08 292.85 336.77
Other contingent funding obligations - - - -
Total 601.81 692.08 292.85 336.77
Cash Inflows
Secured lending - -
Inflows from fully performing exposures 333.39 250.04 262.26 196.70
Other cash inflows 313.69 235.27 155.74 116.80
Total 647.08 485.31 418.00 313.50

177
Liquidity coverage ratio

(` in Crores)
March 31, 2023 March 31, 2022
Total high quality liquid assets (a) 227.10 380.30
Total net cash outflows (b) (Refer, note below) 206.77 84.19
Liquidity coverage ratio (a)/(b) 109.83% 451.69%
Note Total net cash outflows over the next 30 days = Stressed Outflows - Minimum of (Stressed Inflows; 75% of Stressed
Outflows).
Qualitative disclosures
The Reserve Bank of India has prescribed monitoring of sufficiency of NBFC’s liquid assets pursuant to RBI/2019-
20/88 DOR.NBFC (PD) CC. No.102/03.10.001/2019-20 dated November 04, 2019. The Liquidity Coverage Ratio (LCR)
is aimed at measuring and promoting short-term resilience of NBFCs to potential liquidity disruptions by ensuring
maintenance of sufficient high quality liquid assets (HQLAs) to survive an acute stress scenario lasting for 30 days.
Liquidity of the Company is managed by the Asset Liability Management Committee (ALCO) under the supervision of
Borrowings committee.
The ratio comprises of high quality liquid assets (HQLAs) as numerator and net cash outflows in 30 days as denominator.
Cash outflows are calculated by multiplying the outstanding balances of various categories or types of liabilities by 1.15 times
and cash inflows are calculated by multiplying the outstanding balances of various categories of contractual receivables by
0.75 times.
The weighted cash outflows are primarily driven by secured and unsecured from banks, financial institutions ,
non-convertible debentures and securitization/direct assignment transactions. Borrowings contributed 46.58%
and 52.20% of the total weighted cash outflows as at 31 March 2023 and 31 March 2022 respectively. The
weighted cash inflows are primarily driven by unsecured micro loans and secured loans to MSME and individuals.
The Company has implemented the LCR framework and has consistently maintained LCR well above the regulatory threshold.
The average LCR for the year ended 31 March 2023 was 109.83% which is above the regulatory requirement of 60.00%.

178
NOTE 49. DISCLOSURES IN TERMS OF RBI/2022-23/26 DOR.ACC.REC.NO.20/21.04.018/2022-23 DATED APRIL 19, 2022:
Related Party Disclosure

(` in Crores)

Related Party Parent (as per Subsidiaries Associates/Joint Key Management Relatives of Key Others Total
ownership or Ventures Personnel Management
control) Personnel
FY FY FY FY FY FY FY FY FY FY FY FY FY FY
2022-23 2021-22 2022-23 2021-22 2022-23 2021-22 2022-23 2021-22 2022-23 2021-22 2022-23 2021-22 2022-23 2021-22
Borrowings
Balance at Year end - - - - - - - - - - - - - -
Maximum Amt Outstanding during the 100.00 350.00 - - - - - - - - 350.00 - 450.00 350.00
year
Market Linked Debentures - - - - - - - - - - 22.96 26.70 22.96 26.70
Deposits - - - - - - - - - - - - - -
Placement of Deposits - - - - - - - - - - - - - -
Advances - - - - - - - - - - - - - -
Investments - - - - - - - - - - - - - -
Issue of Share Capital 200.00 225.00 - - - - - - - - - 75.00 200.00 300.00
Purchase of Fixed/Other Assets - - - - - - - - - - - - - -
Corporate Overview
Sale of Fixed/Other Assets - - - - - - - - - - - - - -

Interest Paid 1.03 7.45 - - - - - - - - 10.87 1.97 11.91 9.42
Interest Received - - - - - - - - - - - - - -
Service Fee on Business 56.72 7.21 - - - - - - - - - - 56.72 7.21
Correspondence- Income
Dividend Paid 3.71 - - - - - 0.02 - 0.01 - 1.25 - 4.98 -
Arranger Fee Expenses - - - - - - - - - - 0.50 0.68 0.50 0.68
Remuneration to KMP - - - - - - 4.23 2.89 - - - -
Statutory Reports
Others 0.03 0.66 - - - - - - - - 0.09 - 0.12 0.66

179
Standalone
NOTE 50. DISCLOSURES IN TERMS OF RBI/2022-23/26 DOR.ACC.REC.NO.20/21.04.018/2022-23 DATED

APRIL 19, 2022:
Sectoral Exposure
(` in Crores)
Sectors FY 2022-23 FY 2021-22
Total Exposure Gross NPA Percentage Total Exposure Gross NPA Percentage
(includes on of Gross (includes on of Gross
balance sheet NPA to Total balance sheet NPA to Total
and off balance Exposure in and off balance Exposure in
sheet exposure) that sector sheet exposure) that sector
Agriculture & Allied Activities 4,877.33 46.50 0.95% 1,850.66 62.34 1.50%
MSME 3,121.21 122.86 3.94% 3,922.06 115.11 7.17%
Total 7,998.54 169.36 2.12% 5,772.72 177.45 3.07%
NOTE 51. LEASES

The Company has adopted Ind AS 116 ‘Leases’ with the date of initial application being April 01, 2019. Ind AS 116 replaces Ind
AS 17 – Leases and related interpretation and guidance. The Company did not have contract qualifying as Lease as on April
01, 2019 except short term leases which are exempted from the application of Ind AS 116.
Impact of adoption of Ind AS 116 on the statement of profit and loss

(` in Crores)
March 31 2023 March 31 2022
Interest on lease liabilities 1.05 0.68
Income recognized- Security deposit 0.08 0.06
Depreciation on Right to Use 2.23 1.26
Total cash outflow for leases 2.64 1.60
Lease expense on Low Value Assets / Short term assets 21.69 12.89
Impact of adoption of Ind AS 116 on the Balance Sheet

(` in Crores)
March 31, 2023 March 31, 2022
Right to Use Asset 8.15 6.75
Lease Liability 9.21 7.42
The Company has discounted lease payments at weighted average borrowing rate which is 10.56%.
Maturity analysis of Lease Liabilities (valued on undiscounted basis)

(` in Crores)
March 31, 2023 March 31, 2022
Year 1 2.77 1.86
Year 2 2.60 1.81
Year 3 2.36 1.72
Year 4 2.16 1.68
Year 5 1.55 1.58
More than 5 years 0.15 1.14

180
Standalone
NOTE 52. EMPLOYEE STOCK OPTION PLAN

1. The Company’s Employee Stock Option Plan - 2023 (“ESOP Plan”) provide for the grant of stock options to eligible
employees. The ESOPs are administered through Direct route by the Company. The Company transfers share to the
eligible employees upon exercise of the options by such employees.
2. The Company had an ESOP scheme called ESOP Plan 2023. The ESOP plan 2023 came into force on March 24, 2023.
3. During the FY 2022-23, the Company has introduced a new stock option scheme namely “ESOS 2023” effective from
March 24, 2023. The grant price shall be as decided by the Nomination and Remuneration Committee (‘N&RC’) of the
Company. The number of options and terms could vary at the discretion of the N&RC. Till March 31, 2022, the Company
has not granted any option under ESOS 2023.
4. The total number of Employee Stock Options to be granted, which shall not exceed 5% of the Paid up share Capital of the
Company, as expanded from time to time, comprising 2,96,82,152 (Two Crore Ninety Six lakhs Eighty Two Thousand One
Hundred and Fifty Two) Options which shall be convertible into equal number of Shares
The Company has provided various equity settled share based payment schemes to its employees. The details are ESOP
scheme are as follows.
(` in Crores)
Particulars Grant Number of Vesting Vesting Conditions
Options period
ESOP Scheme 2023 Grant I 84,41,758 3 20%,40% and 40% vests every year
subject to continuance of services.
Exercise period for all the above schemes is 3 years from the date of grant of the options.
The details of activity under ESOP Scheme 2023 Plan with an exercise price for the year ended March 31, 2023 have been
summarized as below:
Particulars Grant
Date of Grant 31.03.2023
Date of Board / Committee Approval 24.03.2023
Number of Options Granted 84,41,758
Method of settlement Equity
Graded Vesting Period
At the end of 1st year from date of grant 01-Apr-24
(Day following the expiry of 24 months from grant)
At the end of 2nd year from date of grant 01-Apr-25
At the end of 3rd year from date of grant 01-Apr-26
Exercise Price per Share ` 20.96
Number of options outstanding at the beginning of the year NIL

181
NOTE 53. FAIR VALUE MEASUREMENTS

(` in Crores)
Particulars Carrying Value Fair Value
31-Mar-23 31-Mar-22 31-Mar-23 31-Mar-22
Financial assets
Derivative Financial Instruments 9.22 9.87 9.22 9.87
Investments 160.42 0.05 160.42 0.05
Loans 7,736.08 5,518.63 7,736.08 5,518.63
Accrued interest on Fixed Deposits 4.38 4.57 4.38 4.57
Staff Loans 0.09 0.17 0.09 0.17
Security Deposits 9.67 6.35 9.67 6.35
Interest Strip Asset on Assignment 129.88 36.67 129.88 36.67
Other Receivable 145.46 4.20 145.46 4.20
TDS Receivable - - - -
Trade Receivables 17.98 8.48 17.98 8.48
Cash and cash equivalents 227.11 455.08 227.11 455.08
Bank Balance 382.39 255.56 382.39 255.56
Total Financial Assets 8,822.68 6,299.63 8,822.68 6,299.63
Financial liabilities
Derivative Financial Instruments 9.22 9.87 9.22 9.87
Debt Securities 477.00 514.81 477.00 514.81
Borrowings 6,328.70 4,603.36 6,328.70 4,603.36
Subordinated Liabilities 464.60 140.72 464.60 140.72
Lease Liability 9.21 7.42 9.21 7.42
Trade payables 20.38 8.06 20.38 8.06
Other financial liabilities 232.80 91.36 232.80 91.36
Total Financial Liabilities 7,541.91 5,375.60 7,541.91 5,375.60
Fair value hierarchy

Ind AS 113, ‘Fair Value Measurement’ requires classification of the valuation method of financial instruments measured at fair
value in the Statement of Balance sheet, using a three level fair-value-hierarchy (which reflects the significance of inputs used
in the measurements). The hierarchy gives the highest priority to un-adjusted quoted prices in active markets for identical
assets or liabilities (Level 1 measurements) and lowest priority to un-observable inputs (Level 3 measurements). Fair value of
derivative financial assets and liabilities are estimated by discounting expected future contractual cash flows using prevailing
market interest rate curves. The three levels of the fair-value-hierarchy under Ind AS 113 are described below.
(` in Crores)
Financial assets and liabilities measured at fair value - Level 1 Level 2 Level 3 Total Carrying
recurring fair value measurements -As at March 31, 2023 cost
Financial assets
Derivative Financial Instruments - 9.22 - 9.22 9.22
Investments - - - - -
(i) Mutual Funds - - - - -
(ii) Government Securities - - - - -
(iii) Debt Securities - - - - -
(iv) Equity - - - - -
Total financial assets - 9.22 - 9.22 9.22
Total financial liabilities - 9.22 - 9.22 9.22

182
Standalone
(` in Crores)
Financial assets and liabilities measured at fair value - Level 1 Level 2 Level 3 Total Carrying
recurring fair value measurements - As at March 31, 2022 cost
Financial assets
Investments - - - - -
(i) Mutual Funds - - - - -
(ii) Government Securities - - - - -
(iii) Debt Securities - - - - -
(iv) Equity - - - - -
Total financial assets - 9.87 - 9.87 9.87
Total financial liabilities - 9.87 - 9.87 9.87
(` in Crores)
Assets and liabilities which are measured at amortized cost Level 1 Level 2 Level 3 Total Carrying
for which fair values are disclosed - As at March 31, 2023 cost
Financial assets
Cash and cash equivalents - - - - 227.11
Bank Balance other than included above - - - - 382.39
Receivables -
(i) Trade Receivables - - 17.98 17.98 17.98
Loans - - 7,736.08 7,736.08 7,736.08
Investment in Equity - - 0.05 0.05 0.05
Other Financial assets - - 289.48 289.48 289.48
Total financial assets - - 8,043.59 8,043.59 8,653.09
Financial Liabilities
Trade Payables - - 20.38 20.38 20.38
Debt Securities - - - - 477.00
Borrowings (Other than Debt Securities) - - 6,328.70 6,328.70 6,328.70
Subordinated Liabilities - - - - 464.60
Lease Liability - - 9.21 9.21 9.21
Other financial liabilities - - 232.80 232.80 232.80
Total financial liabilities - - 6,591.09 6,591.09 7,532.69
(` in Crores)
Financial assets
Cash and cash equivalents - - - - 455.08
Bank Balance other than included above - - - - 255.56
Receivables -
(i) Trade Receivables - - 8.48 8.48 8.48
Loans - - 5,518.63 5,518.63 5,518.63
Investment in Equity - - 0.05 0.05 0.05
Other Financial assets - - 51.96 51.96 51.96
Total financial assets - - 5,579.12 5,579.12 6,289.76

183
(` in Crores)
Financial Liabilities
Trade Payables - - 8.06 8.06 8.06
Debt Securities - - - - 514.81
Borrowings (Other than Debt Securities) - - 4,603.36 4,603.36 4,603.36
Subordinated Liabilities - - - - 140.72
Lease Liability - - 7.42 7.42 7.42
Other financial liabilities - - 91.36 91.36 91.36
Total financial liabilities - - 4,710.20 4,710.20 5,365.73
NOTE 54. MOVEMENT OF NON PERFORMING ASSETS (NPA)

(` in Crores)
Sl. Particulars March 31, 2023 March 31, 2022
No
(i) Net NPAs to Net Advances (%)
(ii) Movement of NPAs (Gross)
a) Opening balance 177.44 74.78
b) Addition during the year 157.09 164.71
c) Reduction during the year 165.18 62.05
d) Closing balance 169.35 177.44
(iii) Movement of Net NPAs
a) Opening balance 47.32 -
b) Addition during the year 59.65 43.92
c) Reduction during the year 42.65 (3.40)
(iv) Movement of provision for NPAs (excluding provision on standard
assets)
a) Opening balance 130.13 74.78
b) Provision made during the year 97.44 120.79
c) Write off / write-back of excess provisions 122.53 65.44

184
NOTE 55. DETAILS OF TERMS OF REPAYMENT - TERM LOANS FROM BANKS AND OTHERS

(` in Crores)

Type of Frequency of Original Interest Range Due within 1 year Due within 1-2 year Due within 2-3 year Due within 3-4 year Due within 4-5 year Over 5 years
instrument / Repayment maturity of No. of Amount No. of Amount No. of Amount No. of Amount No. of Amount No. of Amount
institution loan Instalments Instalments Instalments Instalments Instalments Instalments
Debentures Monthly 1-3 years 10.00%-11.00% 4 50.00 - - - - - - - - - -
1-3 years 11.00%-12.00% - - 3 12.50 9 37.50 - - - - - -
Quarterly 1-3 years 10.00%-11.00% 4 20.00 4 20.00 - - - - - - - -
Bullet 1-3 years 8.00%-9.00% 1 105.00 - - - - - - - - - -
11.00%-12.00% 6 200.00 - - - - - - - - - -
Above 3 9.00%-10.00% - - 2 144.80 - - - - - - - -
Years 10.00%-11.00% - - 1 89.00 - - - - - - - -
11.00%-12.00% - - - - - - - - - - 3 175.00
Term Loans- Monthly 1-3 years 8.00%-9.00% 79 231.69 11 20.75 - - - - - - - -
Banks 9.00%-10.00% 343 821.91 127 289.13 17 21.97 - - - - - -
10.00%-11.00% 307 691.27 241 617.58 2 4.17 - - - - - -
Above 3 11.00%-12.00% 12 12.63 12 13.38 12 5.97 - - - - - -
Corporate Overview
Years
Quarterly 1-3 years 8.00%-9.00% 10 70.37 4 9.14 - - - - - - - -
9.00%-10.00% 53 488.69 27 232.11 6 40.91 - - - - - -
10.00%-11.00% 22 240.28 25 304.54 7 62.27 - - - - - -
Above 3 9.00%-10.00% 12 41.67 12 41.49 4 12.50 - - - - - -
Years 10.00%-11.00% 3 12.44 - - - - - - - - - -
Half-yearly 1-3 years 9.00%-10.00% 2 24.99 - - - - - - - - - -
Term Loans- Monthly 1-3 years 9.00%-10.00% 100 363.38 54 283.30 15 111.85 - - - - - -
Statutory Reports
Financial 10.00%-11.00% 161 480.87 83 179.20 2 2.12 - - - - - -

Institutions
Quarterly 1-3 years 9.00%-10.00% 4 8.33 4 8.33 - - - - - - - -
10.00%-11.00% 15 71.87 8 56.43 - - - - - - - -
11.00%-12.00% 4 74.00 4 72.00 3 54.00 - - - - - -
Above 3 8.00%-9.00% 4 42.00 4 12.00 4 12.00 - - - - - -
Years 9.00%-10.00% 4 52.00 4 42.00 4 24.00 3 18.00 - - - -
Half-yearly Above 3 11.00%-12.00% 2 30.00 2 15.00 - - - - - - - -
Years
Yearly 1-3 years 9.00%-10.00% 1 18.00 - - - - - - - - - -
1,153 4,151 632 2,463 85 389 3 18 - - 3 175
185
Standalone
186

(` in Crores)
Type of Frequency of Original Interest Range Due within 1 year Due within 1-2 year Due within 2-3 year Due within 3-4 year Due within 4-5 year Over 5 years
instrument / Repayment maturity of No. of Amount No. of Amount No. of Amount No. of Amount No. of Amount No. of Amount
institution loan Instalments Instalments Instalments Instalments Instalments Instalments
CP Bullet Up to 1 Year 7.00%-8.00% 1 25.90 - - - - - - - - - -
Debentures Quarterly 1-3 years 10.00%-11.00% 4 50.00 - - - - - - - - - -
Bullet 1-3 years 7.00%-8.00% 1 50.00 - - - - - - - - - -
9.00%-10.00% 2 30.00 - - - - - - - - - -
11.00%-12.00% - - 6 200.00 - - - - - - - -
Above 3 9.00%-10.00% - - - - 2 144.80 - - - - - -
Years 10.00%-11.00% - - - - 1 89.00 - - - - - -
15.00%-16.00% 1 5.00 - - - - - - - - - -
16.00%-17.00% 1 5.00 - - - - - - - - - -
Term Loans- Monthly 1-3 years 8.00%-9.00% 81 272.12 67 213.43 9 17.71 - - - - - -
Banks 9.00%-10.00% 312 817.33 155 464.94 21 107.99 - - - - - -
10.00%-11.00% 110 188.48 32 21.76 - - - - - - - -
11.00%-12.00% 24 3.26 - - - - - - - - - -
Above 3 10.00%-11.00% 1 0.14 - - - - - - - - - -
Years
Quarterly 1-3 years 8.00%-9.00% 3 6.84 4 9.12 4 9.04 - - - - - -
9.00%-10.00% 46 334.75 45 351.61 9 101.94 - - - - - -
10.00%-11.00% 23 139.53 8 72.73 8 72.73 - - - - - -
Above 3 9.00%-10.00% 14 58.26 9 37.50 8 33.33 2 8.33 - - - -
Years 10.00%-11.00% 4 16.67 2 8.32 - - - - - - - -
Half-yearly 1-3 years 9.00%-10.00% 2 25.00 2 25.00 - - - - - - - -
Bullet 1-3 years 9.00%-10.00% 3 58.38 - - - - - - - - - -
Term Loans- Monthly 1-3 years 5.00%-6.00% 7 35.00 - - - - - - - - - -
Financial 9.00%-10.00% 34 81.92 32 83.00 8 36.08 - - - - - -
Institutions 10.00%-11.00% 78 103.13 59 95.96 - - - - - - - -
11.00%-12.00% 11 14.22 - - - - - - - - - -
Quarterly 1-3 years 9.00%-10.00% 4 8.33 4 8.33 4 8.33 - - - - - -
10.00%-11.00% 8 23.33 8 23.33 - - - - - - - -
11.00%-12.00% 3 5.97 - - - - - - - - - -
Above 3 8.00%-9.00% 4 42.00 4 42.00 4 12.00 4 12.00 - - - -
Years 9.00%-10.00% 4 64.00 4 52.00 4 42.00 4 24.00 3 18.00 - -
Half-yearly 1-3 years 10.00%-11.00% 1 32.50 - - - - - - - - - -
Above 3 11.00%-12.00% 2 30.00 2 30.00 2 15.00 - - - - - -
Years
Yearly 1-3 years 7.00%-8.00% 2 112.00 - - - - - - - - - -
8.00%-9.00% 1 30.00 - - - - - - - - - -
9.00%-10.00% 1 30.00 1 18.00 - - - - - - - -
793 2,699 444 1,757 84 690 10 44 3 18 - -

NOTE 56. ASSET LIABILITY MANAGEMENT

Maturity Pattern of certain items of Assets and Liabilities as at March 31, 2023:
(` in Crores)

Particulars 1 to 7 days 8 days to 15 days to 31 Over 1 Over 2 Over 3 Over 6 Over 1 year Over 3 years Over 5 Total
14 days days month upto months upto months upto months & & upto 3 & upto 5 years
2 months 3 months 6 months upto 1 year years years
Liabilities
Borrowings from Banks, 35.28 60.48 111.59 277.84 439.04 1,006.52 1,845.64 2,548.15 18.00 - 6,342.55
Financial institution and
NBFCs
Market Borrowings - - 115.00 5.00 60.00 147.50 60.00 291.30 - 175.00 853.80
Securitization - - - - - - - - - - -
Total 35.28 60.48 226.59 282.84 499.04 1,154.02 1,905.64 2,839.45 18.00 175.00 7,196.35
Assets
Advances 100.02 133.35 100.02 386.32 373.47 1,137.63 2,182.91 3,576.26 7.72 0.84 7,998.53
Investments - - - - - - - 160.37 - 0.05 160.42
Total 100.02 133.35 100.02 386.32 373.47 1,137.63 2,182.91 3,736.63 7.72 0.89 8,158.95
Corporate Overview
(` in Crores)
Particulars 1 to 7 days 8 days to 15 days to 31 Over 1 Over 2 Over 3 Over 6 Over 1 year Over 3 years Over 5 Total
14 days days month upto months upto months upto months & & upto 3 & upto 5 years
2 months 3 months 6 months upto 1 year years years
Liabilities
Borrowings from Banks, 27.89 39.86 108.06 257.27 250.97 651.73 1,200.33 2,013.21 62.33 - 4,611.66
Financial institution and
NBFCs
Statutory Reports
Market Borrowings - - - - 37.50 38.40 90.00 433.80 - - 599.70

Securitization - - - - - - - - - - -
Total 27.89 39.86 108.06 257.27 288.47 690.13 1,290.33 2,447.01 62.33 - 5,211.36
Assets
Advances 52.45 157.36 52.45 286.71 290.11 884.22 1,769.97 2,255.44 20.09 3.91 5,772.72
Investments - - - - - - - - - 0.05 0.05
Total 52.45 157.36 52.45 286.71 290.11 884.22 1,769.97 2,255.44 20.09 3.96 5,772.77
187
Standalone
Capital Management
The Company manages capital risk in order to maximize shareholders’ profit by maintaining sound/optimal capital structure.
For the purpose of the Company’s capital management, capital includes equity share capital and other equity. Debt includes
term loans from banks, NBFC and debentures net of cash and bank balances. The Company monitors capital on the basis of
the following gearing ratio. There is no change in the overall capital risk management strategy of the Company compared to
last year.
(` in Crores)
Particulars As at Mar'23 As at Mar'22
Borrowings 7,196.35 5,211.36
Cash and bank balance 609.50 710.64
Net Debt (A) 6,586.85 4,500.72
Equity share capital 593.64 498.22
Other equity 679.21 475.30
Total Equity (B) 1,272.85 973.52
Net Debt to Equity Ratio 5.17 4.62
NOTE 57. FINANCIAL RATIOS

(` in Crores)
Ratio Numerator Denominator As at As at % Change Reason for
March 31, 2023 March 31, 2022 variance
Ratio Ratio
Current ratio Current assets Current liabilities 1.16 1.46 (20.90%) Due to
increase
in current
liabilities by
58% YoY and
increase in
current assets
by 25% YoY
Debt-equity Total debt [Non-current Total equity 5.65 5.37 5.19%
ratio borrowings + Current
borrowings]
Debt service Earnings before Interest expense NA NA NA
coverage depreciation and (including
ratio amortization and interest capitalized)
[Earnings = Profit after + Principal
tax + Depreciation and repayment
amortization expense + (including
Finance costs (excluding prepayments)
interest on lease liabilities)]
Return on Profit after tax Average of total 0.11 0.06 81.02% Due to
equity ratio equity increase in
profitability by
153% YoY
Inventory Costs of materials Average NA NA NA
turnover ratio consumed inventories
Trade Revenue from operations Average trade NA NA NA
receivables receivables
turnover ratio
Trade Purchases Average trade NA NA NA
payables payables
turnover ratio

188
Standalone
(` in Crores)
Ratio Numerator Denominator As at As at % Change Reason for
March 31, 2023 March 31, 2022 variance
Ratio Ratio
Net capital Revenue from operations Working capital 2.51 0.78 222.80% Due to
turnover ratio [Current assets - increase in
Current liabilities revenue from
operations
by 72% YoY
and reduction
in Capital
employed by
46% YoY.
Net profit Profit after tax Revenue from 0.07 0.05 47.95% Due to
ratio operations increase in
profitability by
153% YoY
Return Earnings before Capital employed 0.09 0.07 19.87% Due to
on capital depreciation and [Total assets - increase in
employed amortization, interest and Current liabilities EBITDA by
tax + Current 64% YoY
[Earnings = Profit after tax + borrowings]
Tax expense + Depreciation
and amortization expense
+ Finance costs (excluding
interest on lease liabilities)]
Return on Profit after tax Equity share 0.13 0.07 100.11% Due to
investment capital + increase in
Instruments profitability by
entirely equity in 153% YoY
nature + Securities
premium
NOTE 58. DETAILS OF FINANCIAL ASSETS SOLD TO SECURITIZATION/RECONSTRUCTION COMPANY FOR

RECONSTRUCTION
The details of stressed loan transferred during the year ended March’2023 (Previous Year ended March’2022-NIL) to ARCs
are given below:
(` in Crores)
Particulars NPA SMA Write Off
No. of Accounts 1,32,425 1,688 1,60,825
Aggregate principal outstanding of loans transferred (` in Crore) 432.19 4.10 341.90
Weighted average residual tenor of the loans transferred (in years) 1.51 1.61 -
Net book value of loans transferred (at the time of transfer) (`in 175.63 3.87 -
Crore)
Aggregate consideration (including interest) (`in Crore) 194.00
Additional consideration realized in respect of accounts transferred - - -
in earlier years
The Company has reversed ` 16.46 Crore provision on account of the sale of stressed loans.

189
NOTE 59. DISCLOSURES OF FRAUDS REPORTED DURING THE YEAR VIDE RBI/DNBS/2016-17/49 MASTER
DIRECTION DNBS. PPD.01/66.15.001/2016-17 DATED ON SEPTEMBER 29, 2016
(` in Crores)
Particulars Less than ` 1 lakh ` 1 - 5 lakhs `. 5 - 25 lakhs Total
No. of Value No. of Value No. of Value No. of Value
Accounts `. Accounts ` Accounts ` Accounts `
A) Person involved
Staff 330 0.52 31 0.60 4 0.44 365 1.56
Customer - - - - - - - -
Staff and Customer - - - - - - - -
Total 330 0.52 31 0.60 4 0.44 365 1.56
B) Type of fraud
Misappropriation and 330 0.52 31 0.60 4 0.44 365 1.56
Criminal
breach of trust
Fraudulent encashment - - - - - - - -
/ Manipulation of books
of Accounts
Unauthorized credit - - - - - - - -
facility extended
Cheating and forgery - - - - - - - -
Total 330 0.52 31 0.60 4 0.44 365 1.56
NOTE 60. DISCLOSURE PURSUANT TO RBI/2022-23/26 DOR.ACC.REC.NO.20/21.04.018/2022-23 DATED APRIL 19,

2022
Customer complaints
(` in Crores)
March 31, 2023 March 31, 2022
1. Number of complaints pending at beginning of the year 4 38
2. Number of complaints received during the year 1,498 667
3. Number of complaints disposed during the year 1,470 701
3.1 Of which, number of complaints rejected by the Company - -
4. Number of complaints pending at the end of the year 32 4
Maintainable complaints received by the Company from Office of Ombudsman
5. Number of maintainable complaints received by the Company from Office 20 10
of Ombudsman
5.1 Of 5, number of complaints resolved in favour of the Company by 20 10
Office of Ombudsman
5.2 Of 5, number of complaints resolved through conciliation/mediation/ - -
advisories issued by Office of Ombudsman
5.3 Of 5, number of complaints resolved after passing of Awards by Office - -
of Ombudsman against the NBFC
6. Number of Awards unimplemented within the stipulated time (other than - -
those appealed)

190
Standalone
Grounds of complaints, Number of Number of % increase/ decrease Number of Of 5, number

(i.e. complaints relating complaints complaints in the number of complaints of complaints
to) pending at the received during complaints received pending at the pending beyond
beginning of the year over the previous year end of the year 30 days
the year
Current Year
Disbursement - 355 482% 6 -
Loan Repayment 2 149 414% 19 -
Insurance - 593 126% 5 -
CB Dispute 2 204 308% - -
Staff Misbehaviour - 36 300% - -
Others - 161 (0.36) 2 -
Total 4 1,498 126% 32 -
Previous Year
Disbursement 8 61 - - -
Loan Repayment - 29 - - -
Insurance 24 262 - 2 -
CB Dispute 1 50 - - -
Staff Misbehaviour 1 9 - 2 -
Others - 252 - - -
Total 34 663 - 4 -
Details of registration with financial regulators

Regulator Registration No
Ministry of Company Affairs U65191KA1995PLC057884
Reserve Bank of India B-02.00250
Disclosure of penalties imposed by RBI and other regulators : There are no penalty imposed by Reserve Bank of India and
other regulators during the financial year.
NOTE 61. COVID-19 PANDEMIC

The outbreak of the COVID-19 pandemic had led to a nation wide lockdown in April - June 2020. This was followed by localized
lockdowns in areas with a significant number of COVID-19 cases. Following the easing of lockdown measures, there was an
improvement in economic activity in the second half of fiscal 2021. Since then India experienced two waves of the COVID-19
pandemic following the discovery of mutant coronavirus variants, leading to the reimposition of regional lockdowns which
were subsequently lifted.
The impact of COVID-19, including changes in customer behaviour and pandemic fears, as well as restrictions on business
and individual activities, led to significant volatility in global and Indian financial markets and a significant decrease in global
and local economic activities. The disruptions following the outbreak, impacted loan originations, and the efficiency in
collection efforts resulting in increase in customer defaults and consequent increase in provisions and write off there against.
India is emerging from the COVID-19 pandemic. The extent to which any new wave of COVID-19 will impact the Company’s
results will depend on ongoing as well as future developments, including, among other things. any new information concerning
the severity of the COVID-19 pandemic, and any action to contain its spread or mitigate its impact whether government-
mandated or elected by us.

191
NOTE 62. PREVIOUS YEAR FIGURES

Previous year’s figures have been reclassified to conform with the current year’s classification / presentation wherever
applicable.
Accompanying notes are an integral part of these financial statements

Firm No. 000515S

M. No. 086761 DIN : 01018821 DIN : 02216802


192
iiFl samasta Finance limited
(Erstwhile Samasta Microfinance Limited)
cin: U65191KA1995Plc057884
110/3, Lalbagh Main Road,
Krishnappa layout,
Bangalore - 560027, Karnataka, India.
www.iiflsamasta.com

AR 2022-23

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Annual Report

Beyond FinAnciAl SeRviceS

02 Beyond Financial Services. 22 Physical Capital 46 Management

For more investor-related information, please visit:

Basic of reporting reporting Principles and Framework

The Report has been prepared in accordance with the

leveraging three strategies for Optimising Our Future

read more on Pages 16-19

Furthermore, we recognize the vital importance of sustainable

IIFL Samasta Finance Limited

Key Business Metrics

Branches Presence in the Country Happy Employees

1,267 19 states 13,287

Assets Under Management Total Income Profit After Tax

102.52 Billion `17.54 Billion `1.28 Billion

Invested in CSR Activities Lives Benefited Trees Planted

` 0.02 Billion 44,185 1,450

IIFL Samasta Finance Limited

Incorporated in 1995, IIFL Finance as a part of the prestigious iiFl group,

Annual Report 2022-23

` 646.38 Billion ` 84.5 Billion ` 16.4 Billion 4,267

Employees GNPA (Consolidated) Return on Equity

33,910 1.8% 19.9%

iiFl samasta Finance limited the company underwent a rebranding

Annual Report 2022-23

• Respect for Individuals and

IIFL Samasta Finance Limited

Our diversified product portfolio signifies our commitment to meeting the

Loan size Loan size

sampark Advantage sampark

Loan size Loan size

` 0.6-5 lakhs ` 3-15 lakhs

Loan size Loan size

` 60,000-5 lakhs ` 60,000-90,000

Loan size Loan size

name of the customer shobha devi

loan type Micro-enterprise loan

loan Amount ` 50,000

IIFL Samasta's commitment to fostering exponential growth and

name of the customer sheela

loan type Micro-enterprise loan

loan Amount ` 47,000

Sheela, a resident of Vazhakulam, Aluva, experienced a remarkable

Annual Report 2022-23

Branch Magadi road

name of the customer Mrs. Girijambika

loan type Micro-enterprise loan

loan Amount ` 50,000

Since 2014, Mrs. Girijambika has been a valued customer of IIFL

Today, Girijambika is not only a satisfied customer but also a

name of the customer Mrs. Sujata Pradhan

loan type Micro-enterprise loan

loan Amount ` 1.10 lakhs

Mrs. Sujata Pradhan, a resident of Luhapada village in Balasore

IIFL Samasta Finance Limited

We are delighted to announce that we crossed a

Annual Report 2022-23

IIFL Samasta Finance Limited

#1 expanding Our product portfolio