HB STOCKHOLDINGS LTD.

Regd. Office: Plot No. 31, Echelon Institutional Area, Sector - 32, Gurugram -122001 (Haryana)
Ph.:O 124- 4675500, Fax:O 124-4370985, E -mail:corporate@ hbstockholdings.com
Website: www.hbstockholdings.com. CIN : L65929HR1985PLC033936

Date: 24th August, 2022

The Listing Department The Vice President

BSE Limited, National Stock Exchange of India Limited,
Pheroze Jeejeebhoy Towers, Exchange Plaza,
Dalal Street, Fort, Bandra Kurla Complex, Bandra (East)
Mumbai • 400 001 Mumbai - 400 051

Scrip Code: 532216 Scrip Symbol: HBSL

Sub: Submission of 35th Annual Report 2021·22 and Notice of AGM

Dear Sir / Madam,

Please find enclosed herewith copy of Annual Report 2021-22 along with the Notice of 35th Annual
General Meeting (AGM) in due compliance with Regulation 34 of SEBI (Listing Obligations and
Disclosure Requirements) Regulations, 2015.

The Annual Report along with the Notice of the AGM has also been uploaded on the Company's
website, www.hbstockholdings.com

You are requested to take the above information on record and oblige.

Thanking you,

Yours faithfully,

For HB Stockholdings Limited

~(~~

REi:MA MIGLANI
(Company Secretary & Compliance Officer)
.
Encl: As Above
HB STOCKHOLDINGS LIMITED

BOARD OF DIRECTORS

Mr. Lalit Bhasin Chairman

Mr. Anil Goyal Director

Mr. Ashish Kapur Director

Mr. Gulshan Rai Director

Mr. Harbans Lal Director

Mrs. Asha Mehra Director

COMPANY SECRETARY
Ms. Reema Miglani

CHIEF FINANCIAL OFFICER (CFO)

Mr. Mahesh Kumar Gupta

MANAGER
Mr. Naresh Khanna

STATUTORY AUDITORS
G. C. Agarwal & Associates
Chartered Accountants
240, Ghalib Apartments,
Parwana Road, Pitampura,
Delhi - 110 034

REGISTERED OFFICE
HB Stockholdings Limited
CIN: L65929HR1985PLC033936
Plot No. 31, Echelon Institutional Area,
Sector-32, Gurugram - 122 001, Haryana
Ph : 0124-4675500, Fax : 0124-4370985
Email: [email protected]

CONTENTS
Notice...........................................................................................................1
WEBSITE
www.hbstockholdings.com Board’s Report.............................................................................................6
Management Discussion and Analysis Report ..........................................12
Report on Corporate Governance .............................................................13
REGISTRAR & SHARE TRANSFER AGENT Independent Auditor’s Report (Standalone) ..............................................19
M/s. RCMC Share Registry Pvt. Ltd.
Standalone Financial Statements...............................................................22
CIN: U67120DL1950PTC601854
B-25/1, First Floor Notes of Standalone Financial Statements................................................24
Okhla Industrial Area, Phase-II
Independent Auditor’s Report (Consolidated) ...........................................39
New Delhi - 110020
Ph : 011-26387320, 26387321 Consolidated Financial Statements............................................................41
Fax : 011-26387322 Notes of Consolidated Financial Statements.............................................43
E-mail: [email protected]
Website: www.rcmcdelhi.com Form AOC-1 (Subsidiaries / Associate)............................................. 57

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HB STOCKHOLDINGS LIMITED
NOTICE
NOTICE IS HEREBY GIVEN THAT THE 35TH ANNUAL GENERAL MEETING RESOLVED FURTHER THAT the Board be and is hereby authorised to do all
(AGM) OF THE MEMBERS OF HB STOCKHOLDINGS LIMITED WILL BE HELD acts and take all such steps as may be necessary, proper or expedient to give
ON THURSDAY, 22ND SEPTEMBER, 2022, AT 11.00 A.M. THROUGH VIDEO effect to this resolution.”
CONFERENCING (“VC”)/ OTHER AUDIO-VISUAL MEANS (“OAVM”) TO
TRANSACT THE FOLLOWING BUSINESSES: BY ORDER OF THE BOARD
FOR HB STOCKHOLDINGS LIMITED
ORDINARY BUSINESS:
Sd/-
1. ADOPTION OF AUDITED FINANCIAL STATEMENTS INCLUDING REEMA MIGLANI
CONSOLIDATED FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR
Place : Gurugram (Company Secretary)
ENDED 31ST MARCH, 2022 TOGETHER WITH THE REPORTS OF THE
Date : 18th May, 2022 Membership No: A-45762
BOARD OF DIRECTORS AND AUDITORS THEREON.
NOTES:
To consider and, if thought fit, to pass, the following resolution as an
Ordinary Resolution: 1. In view of the massive outbreak of the COVID-19 pandemic and its continuation
in the current year, the Ministry of Corporate Affairs (“MCA”) has vide its Circular
“RESOLVED THAT the Audited Financial Statements including Consolidated No. 14/2020 dated 08th April, 2020, Circular No.17/2020 dated 13th April, 2020,
Financial Statements of the Company for the Financial Year ended 31st March, Circular No. 20/2020 dated 05th May, 2020 and Circular No. 02/2021 dated 13th
2022, including the Audited Balance Sheet as at 31st March, 2022, the Statement January, 2021 and Circular No. 03/2022 dated 05th May, 2022 and Securities
of Profit & Loss, Cash Flow Statement for the year ended on that date together and Exchange Board of India (“SEBI”) vide its Circular No. SEBI/HO/CFD/
with the Reports of the Board of Directors and Auditors thereon be and are CMD1/CIR/P/2020/79 dated 12th May, 2020 and Circular No. SEBI/HO/CFD/
hereby approved and adopted.” CMD2/CIR/P/2021/11 dated 15th January, 2021 and Circular No. SEBI/HO/CFD/
CMD2/CIRP/P/2022/62 dated 13th May, 2022 (hereinafter collectively referred
2. TO DECLARE DIVIDEND ON EQUITY SHARES FOR THE FINANCIAL YEAR
to as “the Circulars”), the Companies are permitted to hold the Annual General
ENDED 31ST MARCH, 2022.
Meeting (AGM) through Video Conferencing (VC) / Other Audio Visual Means
To consider and, if thought fit, to pass, the following resolution as an (OAVM), without the physical presence of the members at a common venue. In
Ordinary Resolution: compliance with the provisions of the Companies Act, 2013 (“Act”), SEBI (Listing
Obligations and Disclosure Requirements) Regulations, 2015 (“SEBI Listing
“RESOLVED THAT a dividend of Re. 1/- (Rupee One Only) per equity share of Regulations”) and the Circulars as mentioned hereinabove, the 35th AGM of the
face value of ` 10/- (Rupees Ten Only) each as recommended by the Board of Company is being held through VC / OAVM. The deemed venue of this AGM
Directors of the Company at its meeting held on 18th May, 2022, be and is hereby shall be the Registered Office of the Company.
declared for the financial year ended 31st March, 2022 and the same be paid out
of the profits of the Company.” 2. Since this AGM is being held through VC / OAVM, physical attendance of
Members has been dispensed with. Accordingly,the facility for appointment of
3. RE-APPOINTMENT OF MR. ASHISH KAPUR (DIN: 00002320), WHO proxies by the Members to attend and cast vote for the members will not be
RETIRES BY ROTATION AND BEING ELIGIBLE OFFERS HIMSELF FOR available for this AGM and hence the Proxy Form, Attendance Slip and route
RE-APPOINTMENT. map are not annexed to this Notice.
To consider and, if thought fit, to pass, the following resolution as an 3. The Register of Members and Share Transfer Books of the Company shall remain
Ordinary Resolution: closed from Friday, 16th September, 2022 to Thursday, 22nd September, 2022
(Both days inclusive).
“RESOLVED THAT pursuant to Section 152 (6) and other applicable provisions,
if any, of the Companies Act, 2013, Mr. Ashish Kapur (DIN: 00002320), who 4. A final dividend of Re. 1/- (Rupee One Only) per equity share of face value of
retires by rotation and being eligible offers himself for re-appointment, be and is ` 10/- (Rupees Ten Only) has been recommended by the Board of Directors
hereby re-appointed as a Director of the Company.” for the financial year ended 31st March, 2022. Subject to the approval of the
shareholders at the ensuing AGM, the dividend is proposed to be paid to those
4. APPOINTMENT OF M/S N.C. AGGARWAL & CO, CHARTERED members whose names appear as Members in the Register of Members of the
ACCOUNTANTS, NEW DELHI (FRN: 003273N) AS THE STATUTORY Company or Register of Beneficial Owners as on the cut-off date i.e. Thursday,
AUDITORS OF THE COMPANY AND TO FIX THEIR REMUNERATION. 15th September, 2022.

To consider and if thought fit, to pass the following resolution as an 5. The Company has appointed National Securities Depositary Limited (“NSDL”), to
Ordinary Resolution: provide VC/OAVM facility for the AGM and the attendant enablers for conducting
the AGM.
“RESOLVED THAT pursuant to the provisions of Sections 139, 141, 142
6. The Members can join the AGM in the VC/OAVM mode 15 minutes before and
and other applicable provisions, if any, of the Companies Act, 2013 and
after the scheduled time of the commencement of the Meeting by following
the Companies (Audit and Auditors) Rules, 2014, (including any statutory
the procedure mentioned in the Notice. The facility of participation at the AGM
modification(s) or re-enactment(s) thereof for the time being in force), and based
through VC/OAVM will be made available for 1000 Members on first come first
on the recommendations of the Audit Committee and the Board of Directors,
served basis as per the circular. However, this number does not include the large
approval of the members be and is hereby accorded for appointment of M/s
Shareholders i.e. Shareholders holding 2% or more shareholding, Promoters,
N.C. Aggarwal & Co., Chartered Accountants, New Delhi (Firm Registration No.
Institutional Investors, Directors, Key Managerial Personnel, the Chairman of the
003273N) as the Statutory Auditors of the Company to hold office for a term of
Audit Committee, Nomination and Remuneration Committee and Stakeholders
5 (five) years from the conclusion of this 35th Annual General Meeting until the
Relationship Committee, Auditors etc. who are allowed to attend the AGM
conclusion of 40th Annual General Meeting of the Company at such remuneration
without restriction on account of first come first served basis.
as may be mutually agreed between the Board of Directors of the Company and
the Statutory Auditors.” 7. Pursuant to Section 113 of the Companies Act, 2013, Institutional/Corporate
Shareholders (i.e. other than Individuals / HUF, NRI, etc.) are required to send
SPECIAL BUSINESS: a scanned copy (PDF/JPEG Format) of its Board Resolution or Authorization
5. TO CONSIDER REVISION IN REMUNERATION OF MR. NARESH KHANNA, Letter authorizing its representative to attend the AGM through VC / OAVM and
MANAGER (KMP) OF THE COMPANY to vote on their behalf through remote e-voting or through e-voting at the AGM.
The said Resolution or Authorization Letter shall be sent to the Scrutinizer, Mrs.
To consider and, if thought fit, to pass, the following resolution as a Special Jaya Yadav by an e-mail through its registered email address to jayayadav@
Resolution: whitespan.in with a copy marked to [email protected]
“RESOLVED THAT pursuant to the resolution passed by the Board of Directors 8. The attendance of the Members attending the AGM through VC will be counted
in their meeting held on 11th November, 2021 and subject to the provisions for the purpose of reckoning the quorum under Section 103 of the Companies
of Section 196, 197 and 198 read with the Companies (Appointment and Act, 2013.
Remuneration of Managerial Personnel) Rules, 2014, Schedule V and all other 9. In case of joint holders, the Member whose name appears as the first holder
applicable provisions of the Companies Act, 2013 (including any statutory in the order of names as per the Register of Members of the Company will be
modification(s) or re-enactment(s) thereof for the time being in force) and the entitled to vote at this AGM.
applicable provisions of SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015 as amended from time to time (including any statutory 10. In compliance with MCA and SEBI Circulars and owing to the difficulties involved
modification(s) or re-enactment(s) thereof for the time being in force), approval in dispatching of physical copies of the financial statements including Board’s
of the members be and is hereby accorded for revision in remuneration of Mr. Report, Auditor’s report or other documents required to be attached therewith
Naresh Khanna as Manager of the Company w.e.f 01st August, 2021 for the (together referred to as Annual Report 2021-22) and Notice of AGM are being
remaining currency of his tenure i.e. from 01st August, 2021 to 06th June, 2024 as sent through electronic mode to those Members whose e-mail addresses are
detailed in the explanatory statement annexed hereto. registered with the Company or the Depository Participant(s) unless any member
has requested for a physical copy of the same at [email protected]
RESOLVED FURTHER THAT subject to the provisions of Schedule V of mentioning their Folio No. / DP ID and Client ID.
the Companies Act, 2013, the remuneration shall be payable as minimum
remuneration comprising salary and other perquisites to the Manager (KMP) in 11. The Annual Report 2021-22 and Notice of AGM shall also be available on the
the event of absence / inadequacy of profits in any financial year. website of the Company, www.hbstockholdings.com; website of the Stock

1
HB STOCKHOLDINGS LIMITED
Exchange(s) i.e. BSE Limited at www.bseindia.com, National Stock Exchange The Company has sent individual letters to all the Members holding shares
of India Limited at www.nseindia.com and the website of NSDL (agency for in physical mode whose details are yet to be updated seeking the aforesaid
providing the Remote e-voting facility) i.e. https://www.evoting.nsdl.com. information.
12. Details of Directors seeking Appointment/ Re-appointment at the ensuing Annual 20. SEBI vide its Circular No. SEBI/HO/MIRSD/MIRSD_ RTAMB/P/CIR/2022/8
General Meeting [Pursuant to Regulation 36 of SEBI (Listing Obligations and dated 25th January, 2022 has mandated the listed entity that the service
Disclosure Requirements) Regulations, 2015 and Secretarial Standard – 2 requests received for Issuance of Duplicate Share Certificate, Release of Shares
issued by the Institute of Company Secretaries of India] is annexed hereto and from Unclaimed Suspense Account of the Company, Renewal/Exchange of
forms an integral part of this Notice. Share Certificate, Endorsement, Sub-division/Splitting of Share Certificate,
13. An Explanatory Statement(s) pursuant to Section 102 of the Companies Act, Consolidation of Folios/Share Certificates, Transmission and Transposition shall
2013 in respect of the Special Business herein is annexed hereto and forms an be processed by issuing shares in dematerialised form only and Physical Share
integral part of this Notice. Certificates shall not be issued by the Company to the Share Holder/Claimant.
14. All documents referred to in the Notice shall be made available for inspection Accordingly, Members are requested to make service requests by submitting
in electronic mode, from the date of circulation of this Notice up-to the date of a duly filled and signed Form ISR – 4, the format of which is available on the
the meeting. Members may request the same by sending an e-mail from their Company’s website under the weblink: www.hbstockholdings.com.
registered e-mail address stating their Name, DP ID / Client ID Number / Folio
Number, Mobile Number to the Company at [email protected]. 21. INFORMATION ON REMOTE E-VOTING, ATTENDING THE AGM THROUGH
VC / OAVM AND E-VOTING DURING AGM:
15. The Register of Directors and Key Managerial Personnel and their shareholding
(A) VOTING THROUGH ELECTRONIC MEANS:
maintained under Section 170 of the Companies Act, 2013, the Register of
Contracts or Arrangements in which Directors are interested under Section 189 (i) In compliance with Section 108 of the Act read with Rule 20 of
of the Companies Act, 2013 shall be made available for inspection in electronic the Companies (Management and Administration) Rules, 2014
mode during the AGM upon login at NSDL e-voting system at https://www. (as amended) and Regulation 44 of SEBI Listing Regulations and
evoting.nsdl.com various Circulars as mentioned above, the Members are provided
16. Members who would like to express their views/ask questions with regard to the with the facility to attend AGM through VC / OAVM, to cast their
Financial Statements or any other matter can submit their queries in advance vote electronically through the remote e-voting before the AGM and
through an e-mail from their registered e-mail address mentioning their Name, through e-voting during the AGM, through the Authorised Agency,
DP ID / Client ID Number / Folio Number, Mobile Number to the Company at National Securities Depository Limited (NSDL).
[email protected] on or before 18th September, 2022 till (ii) The remote e-voting period commences on Monday, 19th
05.00 P.M. The views/questions of those Members will only be taken up who
September, 2022 (09.00 A.M) and ends on Wednesday, 21st
have mailed it to the Company within time and the same will be replied by the
September, 2022 (05.00 P.M). The remote e-voting module shall be
Company suitably.
disabled by NSDL for voting thereafter. Once the vote on a resolution
17. As per Regulation 40 of SEBI (Listing Obligations and Disclosure Requirements) is casted by the Member, the Member shall not be allowed to change
Regulations, 2015, as amended, securities of listed companies can be it subsequently.
transferred only in dematerialized form from 01st April, 2019, except in case of
(iii) The e-voting rights of the Members shall be in proportion to the paid-
request received for transmission or transposition of securities. In view of the
up value of their Shares in the Equity Share Capital of the Company.
same and to eliminate all risks associated with physical shares and for ease of
Members of the Company holding Shares either in physical form or
portfolio management, members holding shares in physical form are requested
in dematerialized form, as on the cut-off date i.e. Thursday, 15th
to consider converting their holdings to demateralised form. For any assistance
September, 2022, may cast their vote by remote e-voting / e-voting
in this regard, the Members can contact to Registrar and Share Transfer Agent
at the meeting.
(“RTA”) of the Company namely,
RCMC Share Registry Pvt. Ltd. (iv) Any person who acquires Shares of the Company and becomes a
B-25/1, First Floor, Okhla Industrial Area, Member of the Company after the dispatch of the Notice and holding
Phase-II, New Delhi – 110 020 Shares as on the cut-off date, i.e. Thursday, 15th September,
Phone: 011 – 26387320, 26387321 2022, may obtain the login Id and password by sending a request
Fax: 011 – 26387322 at [email protected]. However, if you are already registered with
E-mail: [email protected] NSDL for remote e-voting then you can use your exiting user ID and
password for casting your vote.
18. The Ministry of Corporate Affairs (MCA) has notified provisions relating to
(v) Mrs. Jaya Yadav, Company Secretary in Whole-time Practice
Unpaid / Unclaimed Dividend under Sections 124 and 125 of the Companies
(Membership No.: F10822, C.P. No.: 12070) failing her Mr. Pushkar
Act, 2013 and the Investor Education and Protection Fund (Accounting, Audit,
Garg, Company Secretary (Membership No.: A69734) have been
Transfer and Refund) Rules, 2016. As per these rules, the amount of Dividend
appointed as the Scrutinizer(s) for conducting the remote e-voting &
remaining Unpaid or Unclaimed for a period of seven (7) years from the date of
e-voting at AGM in a fair and transparent manner.
transfer to Unpaid Dividend Account of the Company are liable to be transferred
to the Investor Education and Protection Fund (IEPF), constituted by the Central (vi) In case of any grievance connected with the facility for voting
Government. The shares in respect of such unclaimed dividend are also liable by electronic means, Members can directly contact Ms. Soni
to be transferred to the demat account of the IEPF Authority. The Equity Singh, Assistant Manager - NSDL, e-mail ID: evoting@nsdl.
Shareholders whose unclaimed dividends/ shares have been transferred to co.in or call on Toll Free No.: 1800-222-990. Members may also
IEPF, may claim back the same by making an application to the IEPF Authority, write to the Company Secretary at the e-mail ID:corporate@
in Form No. IEPF-5 available on www.iepf.gov.in The members can file only one hbstockholdings.com
consolidated claim in a financial year as per IEPF Rules.
(B) INSTRUCTIONS FOR REMOTE E-VOTING PRIOR TO AGM ARE AS
During the financial year 2021-22, the Company has not transferred any amount UNDER:
to the IEPF Account as no Dividend has been declared by the Company after
Financial Year 2012-13 till Financial Year 2021-22. The way to vote electronically on NSDL e-voting system consists of “Two
Steps” which are mentioned below:
The Company Secretary of the Company has been appointed as the Nodal
Officer in terms of the provisions of IEPF Rules and complete details are Step 1: Log-in to NSDL e-voting system at https://www.evoting.nsdl.
available on the website of the Company; com
https://www.hbstockholdings.com/Investor%20Information/Listing%20Information/ig.html Step 2: Cast your vote electronically and join the AGM on NSDL
19. Updation of PAN and other details: e-voting system.
SEBI vide its Circular No. SEBI/HO/MIRSD/MIRSD_ RTAMB/P/CIR/2021/655 Step 1: Log-in to NSDL e-voting system at https://www.evoting.nsdl.
dated 03rd November, 2021 and clarification issued vide Circular No. SEBI/ com
HO/MIRSD/MIRSD_ RTAMB/P/CIR/2021/687 dated 14th December, 2021 has I. Login method for e-voting and joining virtual meeting for
mandated all listed Companies to record/update the KYC details i.e. Postal INDIVIDUAL SHAREHOLDERS holding securities in demat
address with PIN Code, e-mail address, mobile number, bank account details, mode:
Nomination for the shares held in physical mode through Form ISR-1, Form ISR-
2 and Form ISR-3 etc. (as applicable). The said circular is effective form 01st In terms of SEBI circular no. SEBI/HO/CFD/CMD/CIR/P/2020/242
January, 2022. Detailed information in this regard is available at the Company’s dated 09th December, 2020 in relation to e-Voting facility provided
website www.hbstockholdings.com. by Listed Companies, Individual shareholders holding securities
in demat mode are allowed to vote through their demat account
Members holding shares in physical form are requested to ensure the aforesaid maintained with Depositories and Depository Participants.
KYC details are updated before 01st April, 2023, post which the said folios shall Shareholders are advised to update their mobile number and email
be frozen. In case, the folios continue to remain frozen, till 31st December, 2025, Id in their demat accounts in order to access e-Voting facility.
the same shall be referred to the Administering Authority under the Benami
Transactions (Prohibitions) Act, 1988 and Prevention of Money Laundering Act, Login method for Individual Shareholders holding securities in
2002. demat mode is given below:

2
HB STOCKHOLDINGS LIMITED
Helpdesk for Individual Shareholders holding securities in demat mode for any
Type of shareholders Login Method technical issues related to login through Depository i.e. NSDL and CDSL:
Individual Shareholders 1. If you are already registered with NSDL IDeAS facility,
holding securities please visit the e-Services website of NSDL.Open Login type Helpdesk details
in demat mode with web browser by typing the following URL:https://
NSDL. eservices.nsdl.com either on a Personal Computer Individual Share- Members facing any technical issue in login can contact NSDL
or on a mobile. On the home page of e-Services is holders holding helpdesk by sending a request at [email protected] or call at
launched click on the “Beneficial Owner” icon under securities in demat toll free no.: 1800 1020 990 and 1800 22 44 30
“Login” which is available under ‘IDeAS’ section. mode with NSDL
A new screen will open that this will prompt you to
enter your existing User ID and Password. After Individual Share- Members facing any technical issue in login can contact CDSL
successful authentication, you will be able to see holders holding helpdesk by sending a request at helpdesk.evoting@cdslin-
e-voting services under Value added services. Click securities in demat dia.com or contact at 022- 23058738 or 022-23058542-43
on “Access to e-voting” under e-voting services mode with CDSL
and you will be able to see e-Voting page. Click on
Company name or e-voting service provider i.e. II. Login Method for e-Voting and joining virtual meeting for Shareholders
NSDL and you will be re-directed to NSDL e-Voting OTHER THAN INDIVIDUAL SHAREHOLDERS holding securities in demat
website for casting your vote during the remote mode and Shareholders holding securities in Physical Mode:
e-voting period or joining virtual meeting & voting
during the meeting. 1. Visit the e-voting website of NSDL. Open web browser by typing the
following URL: https://www.evoting.nsdl.com/ either on a Personal
2. If you are not registered for NSDL IDeAS facility,
option to register is available at https://eservices.nsdl. Computer or on a mobile.
com. Select “Register Online for IDeAS Portal” 2. Once the home page of e-Voting system is launched, click on the icon
or click at https://eservices.nsdl.com/SecureWeb/
“Login” which is available under ‘Shareholder/Member’ section.
IdeasDirectReg.jsp
3. Visit the e-voting website of NSDL. Open web browser 3. A new screen will open. You will have to enter your User ID, your Password/
by typing the following URL: https://www.evoting.nsdl. OTP and a Verification Code as shown on the screen.
com/ either on a Personal Computer or on a mobile.
Once the home page of e-voting system is launched, Alternatively, if you are registered for NSDL e-services i.e. IDeAS, you can
click on the icon “Login” which is available under log-in at https://eservices.nsdl.com/ with your existing IDeAS login. Once
‘Shareholder/Member’ section. A new screen will you log-in to NSDL e-services after using your log-in credentials, click on
open that will prompt you to enter your User ID (i.e. e-voting and you can proceed to Step 2 i.e. Cast your vote electronically.
your sixteen digit demat account number held with
NSDL), Password/OTP and a Verification Code as 4. Your User ID details are given below:
shown on the screen. After successful authentication,
you will be redirected to NSDL Depository site wherein Manner of holding Your User ID is:
you can see e-Voting page. Click on Company name shares i.e. Demat
or NSDL e-voting service provider and you will be (NSDL or CDSL) or
redirected to e-voting website of NSDL for casting Physical
your vote during the remote e-voting period or joining
virtual meeting & voting during the meeting. a) For Members who 8 Character DP ID followed by 8 Digit Client ID
hold shares in For example, if your DP ID is IN300*** and
4. Shareholders/Members can also download NSDL demat account with Client ID is 12****** then your user ID is
Mobile App “NSDL Speede” facility by scanning NSDL.
the QR code mentioned below for seamless voting IN300***12******.
experience. b) For Members who 16 Digit Beneficiary ID
hold shares in For example, if your Beneficiary ID is
demat account with 12************** then your user ID is
CDSL. 12**************
c) For Members EVEN Number followed by Folio Number
holding shares in registered with the company
Physical Form. For example, if folio number is 001*** and
Individual Shareholders 1. Existing users who have opted for Easi / Easiest, EVEN is120993 then user ID is 120993 001***
holding securities in they can login through their user id and password.
demat mode with CDSL Option will be made available to reach e-voting page 5. Your password details are given below:
without any further authentication. The URL for users a) If you are already registered for e-voting, then you can use your
to login to Easi / Easiest arehttps://web.cdslindia.com/ existing password to login and cast your vote.
myeasi/home/login or www.cdslindia.com and click
on New System Myeasi. b) If you are using NSDL e-Voting system for the first time, you will
2. After successful login of Easi/Easiest the user will be need to retrieve the ‘initial password’ which was communicated to
also able to see the E-voting Menu. The Menu will you. Once you retrieve your ‘initial password’, you need to enter
have links of E-Voting Service Provider (ESP) i.e. the ‘initial password’ and the system will force you to change your
NSDL. Click on NSDL to cast your vote. password.
3. If the user is not registered for Easi/Easiest, option c) How to retrieve your ‘initial password’?
to register is available at https://web.cdslindia.com/
myeasi/Registration/EasiRegistration.  If your email ID is registered in your demat account or with the
4. Alternatively, the user can directly access e-voting Company, your ‘initial password’ is communicated to you on
page by providing Demat Account Number and PAN your email ID. Trace the email sent to you from NSDL from
No. from a link in www.cdslindia.com home page. The your mailbox. Open the e-mail and open the attachment i.e. a
system will authenticate the user by sending OTP on .pdf file.The password to open the .pdf file is your 8 digit client
registered Mobile & E-mail as recorded in the Demat ID for NSDL account, last 8 digits of client ID for CDSL account
Account. After successful authentication, user will be or folio number for shares held in physical form. The .pdf file
provided links for the respective ESP i.e. NSDL where contains your ‘User ID’ and your ‘initial password’.
the e-voting is in progress.
 If your email ID is not registered, please refer the
Individual Shareholders You can also login using the login credentials of your “PROCEDURE FOR REGISTRATION OF E-MAIL ID FOR
(holding securities in demat account through your Depository Participant OBTAINING E-VOTING USER ID & PASSWORD, NOTICE
demat mode) login registered with NSDL/CDSL for e-voting facility. Once OF AGM, ANNUAL REPORT 2021-22 AND UPDATION OF
through their depository logged in, you will be able to see e-voting option. Click BANK ACCOUNT DETAILS” provided hereinafter.
participants on e-voting option and you will be redirected to NSDL/
CDSL Depository site after successful authentication, 6. If you are unable to retrieve or have not received the “Initial password” or
wherein you can see e-voting feature. Click on company have forgotten your password:
name or e-voting service provider i.e. NSDL and you will
be redirected to e-voting website of NSDL for casting your a) Click on “Forgot User Details/Password?”(If you are holding
vote during the remote e-voting period or joining virtual shares in your demat account with NSDL or CDSL) option available
meeting & voting during the meeting. on www.evoting.nsdl.com.

Important note: Members who are unable to retrieve User ID/ Password are advised b) Physical User Reset Password?” (If you are holding shares in
to use Forget User ID/ Password option available at abovementioned website. physical mode) option available on www.evoting.nsdl.com.

3
HB STOCKHOLDINGS LIMITED
c) If you are still unable to get the password by aforesaid two options, menu. The link for VC/OAVM will be available in Shareholder/Member
you can send a request at [email protected] mentioning your login where the EVEN of Company will be displayed. Please note that the
demat account number/folio number, your PAN, your name and your members who do not have the User ID and Password for e-voting or have
registered address. forgotten the User ID and Password may retrieve the same by following the
remote e-voting instructions mentioned in the notice to avoid last minute
d) Members can also use the OTP (One Time Password) based login rush.
for casting the votes on the e-voting system of NSDL.
2. Members are encouraged to join the Meeting through Laptops for better
7. After entering your password, tick on Agree to “Terms and Conditions” by experience.
selecting on the check box.
3. Further Members will be required to allow Camera and use Internet with a
8. Now, you will have to click on “Login” button. good speed to avoid any disturbance during the meeting.

9. After you click on the “Login” button, Home Page of e-voting will open. 4. Please note that Participants Connecting from Mobile Devices or Tablets
or through Laptop connecting via Mobile Hotspot may experience Audio/
Step 2: Cast your vote electronically and join the AGM on NSDL e-Voting system. Video loss due to Fluctuation in their respective network. It is therefore
recommended to use Stable Wi-Fi or LAN Connection to mitigate any kind
1. After successful login at Step 1, you will be able to see all the companies “EVEN” of aforesaid glitches.
in which you are holding shares and whose voting cycle and General Meeting is
in active status. 5. Members who would like to express their views/ask questions during the
meeting may pre-register themselves as a speaker by sending a request
2. Select “EVEN” of company for which you wish to cast your vote during the from their registered e-mail address mentioning their Name, DP ID / Client
remote e-voting period and casting your vote during the General Meeting. For ID Number / Folio Number, Mobile Number to the Company at corporate@
joining virtual meeting, you need to click on “VC/OAVM” link placed under “Join hbstockholdings.com. Those Members who have registered themselves
General Meeting”. as a speaker on or before 18th September, 2022 till 5:00 P.M. will only
be allowed to express their views/ask questions during the meeting. The
3. Now you are ready for e-voting as the Voting page opens.
Company reserves the right to restrict the number of speakers depending
4. Cast your vote by selecting appropriate options i.e. assent or dissent, verify/ on the availability of time for the AGM. Questions that remain unanswered
modify the number of shares for which you wish to cast your vote and click on at the AGM will be appropriately responded by the Company at the earliest
“Submit” and also “Confirm” when prompted. post the conclusion of the AGM.

5. Upon confirmation, the message “Vote cast successfully” will be displayed. (E) PROCEDURE FOR REGISTRATION OF E-MAIL ADDRESS FOR OBTAINING
E-VOTING USER ID & PASSWORD, NOTICE OF AGM, ANNUAL REPORT
6. You can also take the printout of the votes cast by you by clicking on the print 2021-22 AND UPDATION OF BANK ACCOUNT DETAILS.
option on the confirmation page.
(i) Members holding Shares in physical form who have not registered
7. Once you confirm your vote on the resolution, you will not be allowed to modify their e-mail address are requested to send scanned copy of duly signed
your vote. request letter to Company’s Registrar and Share Transfer Agent (RTA),
RCMC Share Registry Private Limited through an e-mail at investor.
>> General Guidelines for Shareholders: [email protected] providing Folio No., Name of Shareholder along
with scanned copy of the Share Certificate (front and back), self-attested
1. Once the vote on a resolution is cast by a Member, the Member shall not be scanned copy of the PAN Card and any one of the following documents
allowed to change it subsequently. viz., Aadhaar Card, Driving License, Voter Card, Passport or Utility bill
in support of the address proof of the Member as registered with the
2. It is strongly recommended not to share your password with any other person Company for the purpose of obtaining e-voting User ID & Password,
and take utmost care to keep your password confidential. Login to the e-voting Notice of AGM and Annual Report 2021-22.
website will be disabled upon five unsuccessful attempts to key in the correct
password. In such an event, you will need to go through the “Forgot User Details/ For updation of Bank Account Details, please provide (i) Bank Account
Password?” or “Physical User Reset Password?” option available on www. Number (ii) Bank Name and Branch Address (iv) MICR Number (v)
evoting.nsdl.com to reset the password. IFSC Code (vi) Cancelled cheque leaf or copy of Bank Passbook / Bank
Statement duly attested by the Bank.
3. In case of any queries/ grievances, you may refer the Frequently Asked
Questions (FAQs) for Shareholders and e-voting user manual for Please note that the registration of e-mail address / updation of Bank
Shareholders available at the download section of www.evoting.nsdl.com Account Details on the basis of scanned documents is only for the purpose
or call on toll free no.: 1800 1020 990 and 180022 44 30 or send a request to this AGM. The Members will be required to send hard copy of the aforesaid
Ms. Soni Singh, Assistant Manager at [email protected] documents to RTA for necessary updation in the master records of the
Company.
(C) INSTRUCTIONS FOR MEMBERS FOR E-VOTING ON THE DAY OF THE AGM
ARE AS UNDER: (ii) Members holding Shares in demat form can update their e-mail address
and Bank Account Details with their Depository Participants.
1. The procedure for e-Voting on the day of the AGM is same as the
instructions mentioned above for remote e-voting. (F) DECLARATION OF RESULTS ON THE RESOLUTIONS:

2. Only those Members/ Shareholders, who will be present in the AGM (i) The Scrutinizer shall, immediately after the conclusion of voting at
through VC/OAVM facility and have not casted their vote on the Resolutions the AGM, first unblock the votes cast at the meeting through e-voting,
through remote e-voting and are otherwise not barred from doing so, shall thereafter unblock the votes cast through remote e-voting in the presence
be eligible to vote through e-voting system in the AGM. of at least two witnesses not in the employment of the Company, and
make, not later than forty eight (48) hours from conclusion of the meeting,
3. Members who have voted through Remote e-voting will be eligible to a Consolidated Scrutinizer’s Report of the total votes cast in favour or
attend the AGM. However, they will not be eligible to vote at the AGM. against, if any, to the Chairman or a person authorized by him in writing
who shall countersign the same. The Chairman or a person authorized
4. The details of the person who may be contacted for any grievances by him in writing shall declare the result of the voting forthwith upon
connected with the facility for e-voting on the day of the AGM shall be the submission of the Scrutinizer’s Report.
same person mentioned for remote e-voting.
(ii) The Company shall submit to the BSE Limited & National Stock Exchange
(D) INSTRUCTIONS FOR MEMBERS FOR ATTENDING THE AGM THROUGH of India Limited, within forty-eight (48) hours from the conclusion of the
VC/OAVM ARE AS UNDER: meeting, details regarding the voting results in the prescribed format. The
results declared along with the Scrutinizer’s Report(s) shall also be placed
1. Member will be provided with a facility to attend the AGM through VC/ on the website of the Company, http://www.hbstockholdings.com and
OAVM through the NSDL e-voting system. Members may access the on the website of NSDL, https://www.evoting.nsdl.com immediately
same by following the steps mentioned above for access to NSDL e-voting after the declaration of results.
system. After successful login, you can see link of “VC/OAVM link” placed
under “Join General meeting” menu against Company name. You are (iii) Subject to the receipt of requisite number of votes, the resolution(s) shall
requested to click on VC/OAVM link placed under Join General Meeting be deemed to be passed on the date of the meeting.

4
HB STOCKHOLDINGS LIMITED
PROFILE OF DIRECTOR SEEKING APPOINTMENT/RE-APPOINTMENT
AT THIS ANNUAL GENERAL MEETING
Name of Director MR. ASHISH KAPUR
Directors Identification Number (DIN) 00002320
Date of Birth 27th July, 1969
Date of First Appointment on the Board 23rd July, 2020
Profile / Expertise in Specific functional Areas. Mr. Kapur is a Commerce Graduate from Punjab University. He has also done Master in Business
Administration with major in Finance from Narsee Monjee Institute of Management Studies (NMIMS).
He has got more than two decades of rich working experience in Finance, Investments and Capital
Markets. He started his career in 1993 with Jardine Fleming Indiaas AVP Capital Markets. He is on the
Board of Directors of few other Companies.
Qualifications B. Com & MBA
List of Directorship in other Companies 1. RRB Master Securities Delhi Ltd. – Managing Director
2. Leo Portfolios Pvt. Ltd.
3. Invest Shoppe India Pvt. Ltd.
4. BSP Constructions Pvt. Ltd.
5. Aquarious Portfolios Pvt. Ltd.
Membership of Committee of the Board in other Companies. None
No. of Equity Shares held Nil
No. of Board Meetings attended/entitled to attend during the 4/5
year
Whether related to any Board Members, Manager or KMP of Mr. Lalit Bhasin, Director (Chairman) & Promoter of the Company is deemed interested.
the Company
BY ORDER OF THE BOARD
FOR HB STOCKHOLDINGS LIMITED

Sd/-
REEMA MIGLANI
Place: Gurugram (Company Secretary)
Date: 18th May, 2022 Membership No: A-45762

EXPLANATORY STATEMENT PURSUANT TO SECTION 102 OF THE COMPANIES ACT, 2013

ITEM NO. 5: 10. He shall maintain complete secrecy during the subsistence of this contract and
thereafter with regard to the Company’s affairs.
The Board of Directors in its meeting held on 07th June, 2021 had appointed Mr.
Naresh Khanna as Manager (KMP) of the Company for a period of three (3) years 11. He shall, while in Company’s services, devote his time and attention exclusively
w.e.f. 7th June, 2021 to 6th June, 2024 upon the recommendation of Nomination & to the business and interests of the Company and shall not engage in any other
Remuneration Committee and as per the provisions of Section 196, 197, 198, 203 read commercial business or pursuit, part-time or otherwise, and shall not undertake
with Schedule V and all other applicable provisions of Companies Act, 2013. The same part-time assignment or work in advisory capacity for any other person and/or
was subsequently approved by the members of the company in their Annual General concern either on his accord or as an agent for others except with prior consent
Meeting held on 29th September, 2021. in writing from the Company or unless he is deputed to do so by the Company.

Further, considering his extensive knowledge and experience in the domain of In case he is found to have indulged in any of the foregoing activities, his services
investments, the Board members in their meeting held on 11th November, 2021, on shall be liable to be terminated without Notice or compensation and any other
the recommendation of Nomination and Remuneration Committee and on the basis accrued benefits.
of Remuneration Policy of the Company had approved revision in remuneration of Mr. 12. He shall not receive any presents, commission, gifts, loans, advances or any
Naresh Khanna w.e.f 01st August, 2021, subject to the approval of the Shareholders of sort of gratification or benefits in cash or kind from any person, party or firm
the Company, on the terms and conditions as detailed herein below: or Company having dealing or any connection with the Company and if he is
1. BASIC SALARY offered the same, he shall immediately report the matter to the Company in
writing.
He shall be paid Basic Salary of Rs. 1,25,000/- (Rupees One Lakh Twenty-Five
Thousand Only) per month. 13. He shall undertake and agree that all property including all correspondence
addressed to/ by him, specifications, vouchers, literatures, books, circulars,
2. HOUSE RENT ALLOWANCE articles, goods etc. relating to the Company’s business which shall come into his
He shall be entitled to 75,000/- (Rupees Seventy-Five Thousand Only) per possession in the course of his employment or otherwise shall be held by him as
month as House Rent Allowance. a trustee for the company and shall deliver the same to the Company on demand
3. VEHICLE MAINTENANCE REIMBURSEMENT without claiming any lien or right whatsoever thereon.
He shall be reimbursed an amount up to Rs. 25,000/- (Rupees Twenty-Five 14. His services shall be subject to all the Rules and Regulations of the Company
Thousand Only) per month for maintenance (including salary of Driver) of from time to time.
Vehicle. 15. If any declaration or information furnished by him in his application is found to
4. PERFORMANCE INCENTIVE be false or if he is found to have wilfully suppressed any material information, he
shall be liable to removal from the services of the company without any Notice or
He shall be paid performance incentive @ 5% of Profit exceeding 10% per compensation and any other accrued benefits.
annum return on funds entrusted to him for investment. This will be calculated at
the end of 12 months from joining his duties on weighted average method. 16. He shall strictly abide by the Code of Conduct laid down by the Company as
amended from time to time.
5. PROVIDENT FUND
17. The above remuneration shall be payable as minimum remuneration to the
He shall not participate in the Employees Provident Fund Scheme. As such Manager (KMP) in the event of absence/ inadequacy of profits in any financial
neither he nor the company will be contributing towards Provident Fund. year subject to the overall ceiling laid down in Schedule V of the Companies Act,
6. His appointment may be terminated by the company by one month’s notice or in 2013.
lieu thereof pay and allowances as admissible. He may also leave the services of The Board recommends the Resolution as set out in Item No. 5 of the Notice for the
the company by giving one month’s notice or in lieu thereof pay and allowances
approval of the Members by way of Special Resolution.
as admissible.
7. His service may be terminated by the Management without notice or compensation Except Mr. Naresh Khanna and / or their relatives, none of the Directors, Key Managerial
and any other accrued benefits, if in the opinion of the management; he is guilty Personnel (KMP) or their relatives are in any way concerned or interested, financially or
of in subordination, insolence, gross negligence or dereliction of duty, dishonesty otherwise, in the resolution(s).
and embezzlement or conduct prejudicial to the company’s interest.
BY ORDER OF THE BOARD
8. His services are liable to be transferred, part-time or whole-time to other FOR HB STOCKHOLDINGS LIMITED
Departments and/or he may also be assigned such other duties, as it may be
necessary at the discretion of the Management in any office or branch of the Sd/-
Company and/or its subsidiaries. REEMA MIGLANI
9. He shall keep information and/or secrets of the Company to himself and shall not Place: Gurugram (Company Secretary)
disclose or use them for any purpose other than that of the Company. Date: 18th May, 2022 Membership No: A-45762

5
HB STOCKHOLDINGS LIMITED
BOARD’S REPORT
To the Members, (ii) Number of meeting(s) of the Board
Your Directors are pleased to present the 35th Annual Report together with the Audited During the year under review, five Board Meetings were convened and held. The details
Financial Statements for the Financial Year ended 31st March, 2022. of such meeting(s) are given in the Corporate Governance Report, which forms an
integral part of Board’s Report.
FINANCIAL RESULTS
(iii) Committees of the Board
The summarized financial results of the Company during the year under review are as under:
The Company has several Committees which have been established in compliance with
(Amount in ` Hundred) the requirement of the relevant provisions of applicable laws and statutes. As on 31st
Particulars Standalone Consolidated March, 2022, the Board has five committees namely, Audit Committee, Nomination and
Remuneration Committee, Stakeholders Relationship Committee, Business Restructuring
Year Ended Year Ended Year Ended Year Ended Committee and Capital Restructuring Committee. A detailed note on the composition of
31.03.2022 31.03.2021 31.03.2022 31.03.2021 the Committees is provided in the Corporate Governance Report, which forms an integral
part of the Board’s Report.
Interest Income 69925.75 87306.96 69925.75 87306.96
Business Restructuring Committee and Capital Restructuring Committee has been
Dividend Income 63213.15 15530.80 63213.15 15530.80 dissolved by the Board in its meeting held on 18th May, 2022 and all the functions of the
Committee shall be discharged by the Board of Directors.
Net Profit in Equity Derivative
trading/ Share Dealing 173598.22 168168.56 173598.22 168168.56 (iv) Public Deposits
Net gain on fair value change 1464254.83 1048447.54 1464254.83 1048447.54 The Company has not accepted any Deposits from the Public under Section 73 of the
Companies Act, 2013 read with the Companies (Acceptance of Deposits) Rules, 2014.
Total Revenue from Opera-
tions 1770991.95 1319453.83 1770991.95 1319453.83 (v) Significant and other material orders passed by the regulators or courts

Other Income 1092.90 5712.41 1092.90 5712.41 There are no significant material orders passed by the Regulators or Courts or Tribunal
during the year under review which has an impact on the Going Concern status and
Total Income 1772084.85 1325166.24 1772084.85 1325166.24 Company’s operations in future.

Expenses 193898.92 147825.10 199347.19 153016.17 (vi) Particulars of Loans, Guarantees or Investments

Profit / (Loss) Before Tax 1578185.93 1177341.14 1572737.66 1172150.07 The principal business activity of the Company is to undertake financial services, investing
and dealing in various kinds of securities. Details of Loans, Guarantees and Investments
Tax Expense 54131.88 (3100.05) 54131.88 (3100.05 made by the Company in the ordinary course of its business are given in the notes to the
Financial Statements.
Profit / (Loss) After Tax 1524054.05 1180441.19 1518605.78 1175250.12
(vii) Conservation of Energy, Technology Absorption, Foreign Exchange Earnings and
Profit / (Loss) for the year 1524054.05 1180441.19 1518605.78 1175250.12 Outgo
Other Comprehensive Income The particulars required under Section 134(3)(m) of the Companies Act, 2013 read with
for the year, net of tax 43157.55 1115175.57 43157.55 1115175.57 Rules 8 of the Companies (Accounts) Rules 2014 in respect of conservation of energy
and technology absorption are not applicable to your Company.
Total Comprehensive Income
for the year 156721 2295616.76 1561763.33 2290425.69 The total foreign exchange earnings during the year under review and previous period
is NIL and total foreign exchange out go during the year under review and the previous
DIVIDEND period is NIL.
(viii) Change in the Nature of Business
Your Directors are pleased to recommend a final dividend of Re. 1/- (Rupee One Only) per
equity share of face value of ` 10/- (Rupees Ten Only) each (i.e. 10%) for the financial year There is no change in the nature of business of the Company during the year under
ended 31st March 2022 after considering future needs of the company for growth.
review.
The dividend, if approved at the forthcoming Annual General Meeting will be paid to Members
(ix) Maintenance of cost records
within the time period stipulated under The Companies Act, 2013 (subject to deduction of Tax
at source). The nature of Company’s business / activities is such that maintenance of cost records
under Section 148(1) of the Companies Act, 2013 is not applicable to the Company.
TRANSFER TO GENERAL RESERVE
(x) Material Changes and commitments
The Board of Directors have decided to retain the entire amount of profit for Financial Year
2021-22 in the retained earnings, except an amount of Rs. 535,105/- Hundred, which has been No material changes and commitments have occurred between the end of the financial
transferred to Statutory Reserve created pursuant to Section 45-IC of the RBI Act, 1934. year to which the financial statements relate and date of this report, affecting the financial
position of the Company.
PERFORMANCE REVIEW & OUTLOOK
(xi) Reporting of frauds by the Auditors
The Financial Year 2021-22 has been another difficult year owing to the continuing and pervasive
impact of COVID-19, especially with the advent of new variants causing increased uncertainties. No fraud has been noticed or reported by the Statutory Auditor’s during the course of their
However, largescale vaccination drives around the world, coupled with accommodative policy Audit
measures, boosted economic recovery and supported the global equity markets. This was
SUBSIDIARIES, JOINT VENTURES AND ASSOCIATE COMPANIES
further aided by strong portfolio inflowsamid supportive surplus liquidity across the globe.
(i) Subsidiaries
The Company has taken adequate measures to control the cash flow and overhead expenditures
to manage the operations. There has been no impact on the internal financial reporting and The Company has following Subsidiary as on 31st March, 2022:
controls of the Company. At present, the Company is in position to fulfil its legal obligations. The Name of the Company As on 31st March, 2022
Company is closely monitoring the situation and continues to evaluate the impact of COVID-19
as the situation evolves. No. of Shares % of holding
Further, the Company does not foresee any material impact on the Company’s business due 1. Mount Finance Limited 830006 100.00%
to non-fulfilment of any obligation(s) by any party. The Management will continue to monitor
any material changes arising due to the impact of this pandemic on financial and operational A separate statement containing the salient features of the Financial Statement of the
performance of the Company and take necessary measures to address the situation. Company’s Subsidiary is being provided in Form AOC-1 along with Financial Statements
in terms of Section 129(3) of the Companies Act, 2013. The Financial Statements of
Industry trends and its future prospects have been summed up in the Management Discussion the Subsidiary Company will be made available upon request by any Member of the
and Analysis Report which forms part of this report. Company interested in obtaining the same. The Financial Statements of the Subsidiary
Company will also be kept for inspection by any Member of the Company at its Registered
STATUTORY STATEMENTS
Office.
(i) Share Capital The Board of Directors has approved a Policy for Determining Material Subsidiaries
The Paid-up Equity Share Capital as on 31st March, 2022 stood at ` 7,13,76,650/- in compliance with the provisions of Regulation 16 of the SEBI (Listing Obligations and
comprising of 7137665 Equity Shares of ` 10/- each. During the year under review, Disclosure Requirements) Regulations, 2015. The Policy for Determining Material
the Company has not issued any Shares with differential voting rights or granted stock Subsidiary has been suitably modified as per the provisions of the SEBI (Listing Obligations
options, sweat equity etc. and Disclosure Requirements) Regulations, 2015, as amended from time to time. The said
Policy is available on the website of the Company having following web-link,
The Shareholding of Directors of the Company is given in the Corporate Governance https://www.hbstockholdings.com/Investor%20Information/Corporate%20
Report forming part of this report. Governance/index.html

6
HB STOCKHOLDINGS LIMITED
(ii) Joint Ventures PREVENTION OF SEXUAL HARRASSMENT OF WOMEN AT WORKPLACE
The Company is not having any Joint Venture business and no Company has become its The Company has zero tolerance for sexual harassment at workplace. The Board of Directors
Joint Venture during the year under review. in their meeting held on 17th May, 2014 constituted the Internal Complaint Committee and
thereafter re-constituted on 16th June, 2020 on 18th May, 2022 respectively. The Company
(iii) Associate Companies adopted a Policy on prevention, prohibition and redressal of sexual harassment at workplace
In terms of Section 2(6) of the Companies Act, 2013, the Company is not having any in line with the provisions of the Sexual Harassment of Women at Workplace (Prevention,
Associate Company during the year under review. Prohibition and Redressal) Act, 2013 and the rules framed thereunder. The Internal Complaint
Committee comprises of following members:
MANAGEMENT DISCUSSION & ANALYSIS AND CORPORATE GOVERNANCE REPORT
(i) Mrs. Banmala Jha, Presiding Officer (Sr. V.P Legal – HB Estate Developers Ltd.)
As required under Regulation 34(3) read with Schedule V of the SEBI (Listing Obligations and
(ii) Mrs. Renu Gupta, Member
Disclosure Requirements) Regulations, 2015, the Management Discussion & Analysis Report;
a Report on the Corporate Governance together with the Compliance Certificate from the (iii) Mr. Mahesh Gupta, Member (Chief Financial Officer)
Company’s Statutory Auditors confirming compliance(s) forms an integral part of this report.
(iv) Mr. Rupesh Kumar, Member (Company Secretary) *
WHISTLE BLOWER POLICY – VIGIL MECHANISM
(*)Resigned w.e.f 24thJanuary, 2022
In terms of the provisions of Section 177(9) & (10) of the Companies Act, 2013 and pursuant to
The Company has complied with provisions relating to the constitution of Internal Complaints
the provisions of Regulation 22 of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015, a Vigil Mechanism for Stakeholders, Employees and Directors of the Committee under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and
Company has been established. The Whistle Blower Policy duly approved by the Board of Redressal) Act, 2013. The women employees were made aware about the provisions of the
Directors is available on the website of the Company having following web-link, Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013
and rules made there under and the provisions of Internal Complaint Policy of the Company.
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/
index.html Disclosure in relation to the Sexual Harassment of Women at Workplace (Prevention, Prohibition
and Redressal) Act, 2013 is provided in the Corporate Governance Report which forms an
RELATED PARTY TRANSACTIONS integral part of the Board’s Report.

The Related Party Transactions that were entered during the financial year under review were INTERNAL CONTROLS SYSTEMS AND THEIR ADEQUACY
on arm’s length basis and were in the ordinary course of business. The Audit Committee has The Company has proper and adequate system of Internal Controls. The information about
accorded its omnibus approval for the said transactions. The Company has not entered into any Internal Controls is set out in the Management Discussion and Analysis forming part of this
materially significant Related Party Transaction under Section 188 of the Companies Act, 2013. report.
Accordingly, the disclosure of Related Party Transactions as required under Section 134(3)(h)
of the Companies Act, 2013 in Form AOC-2 is not applicable. None of the Directors has any INTERNAL FINANCIAL CONTROLS
pecuniary relationships or transactions vis-à-vis the Company.
The Company has established Internal Financial Control System for ensuring the orderly and
The Board of Directors, on the recommendation of the Audit Committee, has approved a Policy efficient conduct of the business including adherence to Company’s Policies, the safeguarding of
to regulate transactions between the Company and its Related Parties, in compliance with the assets, the prevention and detection of frauds and errors, the accuracy and completeness of the
applicable provisions of the Companies Act, 2013, the Rules made there under and Regulation accounting records and the timely preparation of reliable Financial Statements.
23 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Policy
on Related Party Transactions has been suitably modified as per the applicable provisions of the CORPORATE SOCIAL RESPONSIBILITY (CSR)
Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, As per Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021, If a
2015, as amended from time to time. The Policy is available on the website of the Company company’s CSR obligation is less than or upto Rs. 50 lakh, then the Company shall not be
having following web-link, required to constitute the CSR committee and the board of directors shall discharge all the
function of the CSR committee as prescribed.
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/
index.html Pursuant to abovesaid amended CSR Rules and considering the specified threshold of CSR
obligations, the Board of Directors in its meeting held on 21st June, 2021 has dissolved the CSR
CODE OF CONDUCT FOR PREVENTION OF INSIDER TRADING Committee and all the functions of the Committee shall be discharged by the Board of Directors.
The Company endeavors to preserve the confidentiality of un-published price sensitive The CSR Policy as approved by the Board can be accessed on the Company’s Website having
information and to prevent misuse of such information. The Company is committed to following web link, https://www.hbstockholdings.com/Investor%20Information/CSR/index.html
transparency and fairness in dealing with all Stakeholders and in ensuring adherence to all laws
and regulation in force. Brief outline / salient features of the CSR Policy of the Company are as follows:

The Board of Directors has adopted the Code of Conduct for regulating, monitoring and reporting  The Company endeavors to adopt an integrated approach to address the community,
of trading by insiders and other connected persons, in compliance with Regulation 9 of the SEBI societal & environmental concerns by taking one or more of the activities allowed as per
(Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended from time to Section 135 of the Companies Act, 2013 and the applicable rules and regulations.
time. The Code of Conduct lays down guidelines and procedures to be followed and disclosures
to be made while dealing with the Shares of the Company, as well as the consequences of  To identify the activities in response to felt societal needs in diverse areas and to
violation. The Code of Conduct has been formulated for prevention of Insider Trading and to implement them with full involvement and commitment in a time bound manner.
maintain the highest standards of dealing in Company Securities. The Code of Conduct has
 To provide financial assistance in the form of grant-in-aid assistance and corpus fund
been suitably modified as per the provisions of the Insider Trading Regulations and SEBI (Listing
support etc. to support, supplement and improve the quality of life of different segments of
Obligations and Disclosure Requirements) Regulations, 2015, as amended from time to time.
the Society.
Further, the Policy and procedure for inquiry in case of leak of unpublished price sensitive
information or suspected leak of unpublished price sensitive information have been framed in  As a responsible corporate entity, the Company will consistently strive for opportunities
line with the provisions of the Insider Trading Regulations, as amended. to meet the expectation of its stake holders by pursuing the concept of sustainable
development with focus on the social welfare activities.
PRESERVATION OF DOCUMENTS & ARCHIVAL POLICY
 A total allocation of amount as prescribed by the Companies Act, 2013 and approved by
In terms of Regulation 9 of the Securities and Exchange Board of India (Listing Obligations and the Board earmarked every year for implementation of CSR activities.
Disclosure Requirements) Regulations, 2015, the Board of Directors in their meeting held on
11th February, 2016 has adopted a Policy for Preservation of Documents & Archival thereof, Further as per the provision of Section 135 of the Companies Act, 2013, every Company having
classifying them in two categories as follows: net worth of Rs. 500 Crore or more or Turnover of Rs. 1000 Crore or more or a Net Profit of
Rs. 5 Crore or more during the immediately preceding financial year is required to spent in
a) documents whose preservation shall be permanent in nature; every financial year, at least two percent (2%) of the average net profits made during the three
immediately preceding financial years, in pursuance of the CSR Policy.
b) documents with preservation period of not less than eight years after completion of the
relevant transactions. The Net Profit during the immediately preceding financial year 2020-21 is Rs. 11,76,15,301/-,
therefore the Company is required to spend at least two percent (2%) of the average net profits
The said Policy is available on the website of the Company having following web link, of the Company made during the three immediately preceding financial year, in pursuance of
the CSR Policy.
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/
index.html The Average Net Profit for the preceding three financial years comes to Rs. 1,85,38,000/-
calculated as per the provisions of Section 198 of the Companies Act, 2013. As per above, the
DEVELOPMENT AND IMPLEMENTATION OF A RISK MANAGEMENT POLICY
Company was required to spend two percent (2%) of the said amount i.e. Rs. 3,70,760/- during
The Board of Directors has adopted the Risk Management Policy which sets out the framework the financial year 2021-2022.
for the management of risks faced by the Company in the conduct of its business to ensure that
As a part of the CSR initiatives, your Company has undertaken CSR activity in accordance with
all business risks are identified, managed and monitored. The contents of Risk Management Schedule VII of the Companies Act, 2013 during the financial year 2021-2022. The report on
Policy have been included in Management Discussion and Analysis forming part of this report. CSR activities is attached as “ANNEXURE – I” forming part of this report.

7
HB STOCKHOLDINGS LIMITED
AUDITORS • Determining the appropriate size, diversity and composition of the Board.
(i) Statutory Auditors and their Report • Developing a succession plan for the Board and Senior Management of the
Company.
M/s G.C. Agarwal & Associates, Chartered Accountants (FRN: 017851N), the current
statutory auditors of the Company, who was appointed by the shareholders in the 30th • To recommend all remuneration, in whatever form, payable to senior
Annual General Meeting shall be completing their term of five years at the ensuing 35th management.
Annual General Meeting as the Statutory Auditors of the Company. Being a proprietor
firm, they are not eligible for re-appointment, in terms of section 139 of the Companies • Considering and determining the remuneration based upon the performance
Act, 2013. Hence, M/s G.C. Agarwal & Associates, Chartered Accountants, will retire to attract retain and motivate members of the Board.
as the Statutory Auditors of the Company at the conclusion of the 35th Annual General
Meeting of the Company. • Approving the remuneration of the Senior Management including KMPs of
the Company.
The Board of Directors at its meeting held on 18 May, 2022 has recommended the
th

appointment of M/s. N.C. Aggarwal & Co., Chartered Accountants (FRN: 003273N) as the • Evaluation of performance of the Board, its committees, individual directors
Statutory Auditors of the Company to hold office for a term of five (5) consecutive years i.e and Senior Management Personnel on yearly basis.
from the conclusion of the ensuing 35th Annual General Meeting up to the conclusion of
40th Annual General Meeting of the Company, subject to approval of the members at the • To extend or continue the term of appointment of the Independent Director,
ensuing Annual General Meeting. on the basis of the report of performance evaluation of Independent
Directors.
The Company has received a consent and eligibility certificate from them to the effect that
their appointment, if made would be within the prescribed limits under Section 141 of the  Approval of the Shareholders by way of Special Resolution is required in following
Companies Act, 2013 and they are not disqualified for appointment. cases:
Member’s attention is drawn to a Resolution proposing the appointment of M/s N.C. • To appoint or continue the employment of any person as Whole-time
Aggarwal & Co., Chartered Accountants as the Statutory Auditors of the Company which Director who has attained the age of seventy years.
is included at item no: 4 of the Notice convening the Annual General Meeting of the
Company. • To appoint a person or continue the directorship of any person as a non-
executive director who has attained the age of seventy-five years.
There are no qualifications, reservation, adverse remark, observations, comments
or disclaimer given by the Auditors in their Report. The Report given by the Statutory • To re-appoint Independent Directors for second terms of five consecutive
Auditors on the Financial Statements of the Company for the Financial Year 2021-22, is years.
part of the Annual Report and self-explanatory.
• Payment of fees or compensation to executive directors who are promoters
(ii) Internal Auditors or members of the promoter group exceeding particular limits specified in
‘Marv & Associates LLP’, Chartered Accountants, New Delhi were appointed to perform the policy.
the duties of the Internal Auditors of the Company and their report is reviewed by the Audit
• The annual remuneration payable to a single non-executive director exceeds
Committee on quarterly basis.
fifty per cent of the total annual remuneration payable to all non-executive
(iii) Secretarial Auditors and his Report directors.
Pursuant to the provisions of Section 204 of the Companies Act, 2013 and the Companies  Executive Directors / Managing Director are paid remuneration as per applicable
(Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Company provisions of the Companies Act, 2013 and rules made there under.
has appointed Mr. A.N. Kukreja, Proprietor, ‘A.N Kukreja & Co.’, Company Secretary in
Practice to undertake the Secretarial Audit of the Company. The Secretarial Audit Report  Non-Executive Directors are paid sitting fees for attending each meeting of the
is enclosed as a part of this report as “ANNEXURE – II”. Board of Directors and the Committees constituted by the Board. The sitting fee for
The Secretarial Auditors have not made any qualification, reservation or adverse remark each meeting of Board of Directors and the Committee of Directors has been fixed
or disclaimer in his Secretarial Audit Report. by the Board of Directors within the overall ceiling laid down under the Companies
Act, 2013.
DIRECTORS AND KEY MANAGERIAL PERSONNEL (KMP)
The complete Nomination and Remuneration Policy of the Company is available on the
(a) Appointment / Re-appointment / Resignation of Directors and KMP website of the Company having following web-link,
As per the provisions of Section 152 of the Companies Act, 2013, Mr. Ashish Kapur (DIN:
00002320), Director shall retire by rotation at the ensuing Annual General Meeting and https://www.hbstockholdings.com/Investor%20Information/Corporate%20
being eligible, offers himself for re-appointment. The Board of Directors recommends his Governance/index.html
re-appointment. (d) Board Diversity
Mr. Naresh Khanna has been appointed as Manager being the Key Managerial Personnel
of the Company w.e.f. 07th June, 2021 as per the provisions of Section 203 of the The Company recognizes the importance and benefits of having the diverse Board to
Companies Act, 2013 and Rule 8 of the Companies (Appointment and Remuneration) enhance quality of its performance.
Rules, 2014. The Company believes that a diverse Board will enhance the quality of the decisions
Mr. Rupesh Kumar (M.No. A-43104) has resigned from the position of the Company made by the Board by utilizing the different skills, qualification, professional experience,
Secretary with effect from 24th January, 2022. gender, knowledge etc. of the members of the Board, necessary for achieving sustainable
and balanced growth of the Company. The Board of Directors on the recommendations of
Ms. Reema Miglani (M.No. A-45762) has been appointed as the Company Secretary and the Nomination and Remuneration Committee has adopted a Policy on Diversity of Board
Compliance Officer being the Key Managerial Personnel of the Company w.e.f. 18th May, of Directors in terms of Regulation 19 of the SEBI (Listing Obligations and Disclosure
2022 as per the provisions of Section 203 of the Companies Act, 2013 and Rule 8 of the Requirements) Regulations, 2015.
Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.
(b) Declaration from Independent Directors (e) Board Evaluation

Mr. Harbans Lal, Mr. Gulshan Rai and Mrs. Asha Mehra are Non-Executive Independent Pursuant to the provisions of the Companies Act, 2013 and applicable provisions of the
Directors on the Board of the Company. The Company has received declarations from all SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Board
the Independent Director(s) confirming that they meet with the criteria of Independence as has carried out an annual performance evaluation of its own performance and of all the
prescribed both under Section 149(6) of the Companies Act, 2013 and under Regulation Directors individually as well as the evaluation of the working of Audit, Nomination &
16(1)(b), 25 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, Remuneration and other Compliance Committees. The manner in which the evaluation
2015. has been carried out is explained in the Corporate Governance Report.
(c) Nomination and Remuneration Policy (f) Remuneration of the Directors / Key Managerial Personnel (KMP) and Particulars of
The Board of Directors, on the recommendation of the Nomination & Remuneration Employees
Committee, has approved a Policy for selection, appointment & remuneration including
The information required pursuant to Section 197(12) of the Companies Act, 2013 read
criteria for determining qualifications, positive attributes of Directors, Key Managerial
with Rule 5 of the Companies (Appointment and Remuneration of Managerial Personnel)
Personnel (KMP) and Senior Management employees of the Company.
Rules, 2014 in respect of Directors / Key Managerial Personnel (KMP) and Employees of
Brief outline / salient features of the Nomination and Remuneration Policy are as follows: the Company is furnished hereunder:
 Nomination and Remuneration Committee has been empowered inter-alia to carry
(i) The ratio of the remuneration of each Director to the median remuneration of the
out the following functions:
employees of the Company for the financial year; and the percentage increase in
• Identification and selection of persons for appointment as Director, KMP or remuneration of each Director, Chief Financial Officer, Chief Executive Officer, Company
at Senior Management level considering their qualification, experience and Secretary or Manager, if any, in the financial year.
integrity.

8
HB STOCKHOLDINGS LIMITED

Sr. No. Name Category Ratio/Times per Median of employee remuneration % Increase in remuneration
1. Mr. Lalit Bhasin Director (Non-Executive) N.A N.A
2. Mr. Anil Goyal Director (Non-Executive) N.A N.A
3. Mr. Ashish Kapur Director (Non-Executive) N.A N.A
4. Mr. Harbans Lal Director (Non-Executive) N.A N.A
5. Mr. Gulshan Rai Director (Non-Executive) N.A N.A
6. Mrs. Asha Mehra Director (Non-Executive) N.A N.A
7. Mr. Mahesh Kumar Gupta Chief Financial Officer No Increase
8. Mr. Naresh Khanna# Manager No Increase
9. Mr. Rupesh Kumar* Company Secretary No Increase
(#) Appointed w.e.f 07th June, 2021.
(*) Resigned w.e.f 24thJanuary, 2022.
The Non-Executive Directors are paid only sitting fees for attending meeting of the Board of Directors and the Committees constituted by the Board.
(ii) There is no increase in the median remuneration in current financial year as compared to previous financial year.
(iii) There are Seven(7) permanent employees on the rolls of the Company as on 31st March, 2022.
(iv) Average percentile increases already made in the salaries of employees other than the managerial personnel in the last financial year is NIL as compared to the NIL percentile increase made
in the managerial remuneration of the KMP.
(v) It is hereby affirmed that the remuneration paid is as per the Remuneration Policy for Directors, Key Managerial Personnel and other Employees.
(vi) Statement of particulars of employees pursuant to Section 197(12) of the Companies Act, 2013 read with Rule 5(2) & (3) of the Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014 for the year ended 31st March, 2022:
a) Details of top ten employee in terms of remuneration drawn as on 31st March, 2022:
Sl. Name Designation Gross Nature of Qualifica- Experi- Date of Age Last Employ- Number & Whether any
No. Remunera- Employ- tion ence Commence- (In ment held before joining Percen- such employee
tion received ment (In Year) ment of Year) the Company tage of is a relative of
(In Rs.) Employ- Equity any director or
ment Shares manager of the
held company
1 Mr. Naresh Khanna Manager 23,50,000 Permanent B. Com, 34 22-02-2021 58 Oriental Bank of - No
CS Inter Commerce
2 Mr. Mahesh Kumar Gupta Chief Financial 21,08,333 Permanent Graduate, 32 13-03-1995  53 Hero Cycle Limited  - No
Officer (KMP) CMA 
3 Mr. Rupesh Kumar* Officer - 6,01,089 Permanent CS 7 13-03-2020 29 Jindal Poly Investment & - No
Secretarial Finance Co. Ltd.
4 Mr. Murari Lal Accountant 3,09,685 Permanent  M.com 23 04-11-2006 47 Sudesh Soni & Co. - No
(CA Firm)
5 Mr. Jitendra Kumar Secretarial 2,43,677 Permanent LLB 15 08-07-2015 42 HB Portfolio Ltd.  - No
Assistant
6 Mr. Ganga Singh Rawat Assistant 2,01,067 Permanent Matric 24 01-04-2017 51 QR Properties Pvt. Ltd. - No

7 Mr. Prashant Kumar Officer - 3,60,586 Permanent M.com 6 15-03-2021 27 Chaudhary Construction - No
Investment Co. Pvt. Ltd.
8 Mr. Arun Kumar Officer - 2,54,967 Permanent M.com 5 01-08-2021 27 Vivek Arora & Associates - No
Investment
Note: There were less than 10 employees, whose details are given hereinabove.
(*)Resigned w.e.f 24th January, 2022.
b) Details of the Employees, who were in receipt of remuneration aggregating Rs. 1,02,00,000/- or more per annum: None
c) Details of the Employees, who were employed for part of the financial year and was in receipt of remuneration not less than Rs. 8,50,000/- per month: None
d) Details of the Employees, who were employed throughout the financial year or part thereof, was in receipt of remuneration in that year which, in the aggregate, or as the case may be, at a
rate which, in the aggregate, is in excess of that drawn by the managing director or whole-time director or manager and holds by himself or along with his spouse and dependent children, not
less than two percent of the equity shares of the Company: None
SECRETARIAL STANDARDS
During the year under review, the Company has complied with all applicable Secretarial Standards issued by the Institute of Company Secretaries of India (ICSI).
ANNUAL RETURN
The Annual Return (Form MGT-7) is available on the website of the Company having following web link, https://www.hbstockholdings.com/Investor%20Information/Annual%20Returns/indexx.html
DIRECTORS’ RESPONSIBILITY STATEMENT
Pursuant to sub-section (3) & (5) of Section 134 of the Companies Act, 2013, it is hereby stated that:
a) in the preparation of the Annual Accounts, the applicable Accounting Standards had been followed along with proper explanation relating to material departures;
b) the Directors had selected such Accounting Policies and applied them consistently and made judgments and estimates, that are reasonable and prudent so as to give a true and fair view of
the State of Affairs of the Company at the end of the Financial Year and of the Profit or Loss of the Company for that period;
c) the Directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the Company
and for preventing and detecting fraud and other irregularities;
d) the Directors had prepared the Annual Accounts on a going concern basis;
e) the Directors had laid down Internal Financial Controls to be followed by the Company and that such Internal Financial Controls are adequate and were operating effectively; and
f) the Directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.
ACKNOWLEDGMENTS
Your Directors wish to thank and acknowledge the co-operation, assistance and support extended by the Banks, Company’s Shareholders and Employees.
For and on behalf of the Board of
HB Stockholdings Limited

Sd/-
LALIT BHASIN
Place: Gurugram (Chairman)
Date: 18th May, 2022 DIN: 00002114

9
HB STOCKHOLDINGS LIMITED
ANNEXURE “I”
ANNUAL REPORT ON CSR ACTIVITIES
1. Brief outline on CSR Policy of the Company:
HB Stockholdings Limited (“The Company”) recognizes that its business activities have wide impact on the societies in which it operates, and therefore an effective practice
is required giving due consideration to the interests of its stakeholders including shareholders, customers, employees, suppliers, business partners, local communities and
other organizations. The company endeavors to make CSR for sustainable development. The Company through its CSR Committee shall identify the activities/projects in
line with Section 135 read with Schedule VII of the Companies Act 2013 and the Rules made thereunder Our company is committed for better utilisation of CSR funds so
that it can serve the of public at large.
2. Composition of CSR Committee:
As per Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021, If a company’s CSR obligation is less than or upto Rs. 50 lakhs, then the Company
shall not be required to constitute the CSR committee and the board of directors shall discharge all the function of the CSR committee as prescribed.
Pursuant to abovesaid amended CSR Rules and considering the specified threshold of CSR obligations, the Board of Directors in its meeting held on 21st June, 2021 has
dissolved the CSR Committee and all the functions of the Committee shall be discharged by the Board of Directors.
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://www.hbstockholdings.com/Investor%20Information/CSR/index.html
4. Provide the details of Impact assessment of CSR projects carried out in pursuance of sub-rule (3) of rule 8 of the Companies (Corporate Social Responsibility
Policy) Rules, 2014, if applicable: Not applicable.
5. Details of the amount available for set off in pursuance of sub-rule (3) of rule 7 of the Companies (Corporate Social Responsibility Policy) Rules, 2014 and
amount required for set off for the financial year, ifany: Not applicable
6. Average net profit of the company as per section135(5).: ` 1,85,380 Hundreds
7. (a) Two percent of average net profit of the company as per section135(5): ` 3,707.60 Hundreds
(b) Surplus arising out of the CSR projects or programmes or activities of the previous financial years.: Nil
(c) Amount required to be set off for the financial year, if any: Nil
(d) Total CSR obligation for the financial year (7a+7b- 7c). : ` 3,707.60 Hundreds
8. (a) CSR amount spent or unspent for the financial year:

Total Amount Spent for the Amount Unspent (in ` Hundred)

Financial Year.
(in ` Hundred) Total Amount transferred to Unspent CSR Amount transferred to any fund specified under Schedule VII as per
Account as per section 135(6) second proviso to section 135(5)
Amount. Date of transfer. Name of the Fund Amount. Date of transfer.
3,980 NA NA NA NA NA

(b) Details of CSR amount spent against ongoing projects for the financial year: Nil

(c) Details of CSR amount spent against other than ongoing projects for the financial year:

1 2 3 4 5 6 7 8
Sl. Name of the Project Item from the list Local area Location of the Amount spent Mode of Mode of implementation
No. of activities in (Yes/ No). project for the project implementation - Through implementing
schedule VII to (in ` Hundred) agency
the Act.
State District Direct (Yes/No) Name. CSR
registration
number
1 Contribution to Eradicating hunger, Yes Delhi/NCR 1,980 Yes NA NA
The Akshaya Patra poverty and
Foundation towards malnutrition and
sponsorship of Mid- promoting education
Day Meal Program for (Item No. I & II of
children studying in Delhi Schedule VII)
Government Schools
2 Contribution to Delhi Eradicating hunger, Yes Delhi/NCR 2,000 Yes NA NA
Langar Seva Society poverty and
for feeding the Hungry malnutrition (Item
People No. I of Schedule
VII)

(d) Amount spent in Administrative Overheads :Nil

(e) Amount spent on Impact Assessment, if applicable: N.A.
(f) Total amount spent for the Financial Year (8b+8c+8d+:8e): ` 3,980 Hundreds
(g) Excess amount for set off, if any: Nil
9. (a) Details of Unspent CSR amount for the preceding three financial years: Nil
(b) Details of CSR amount spent in the financial year for ongoing projects of the preceding financial year(s):Nil
10. In case of creation or acquisition of capital asset, furnish the details relating to the asset so created or acquired through CSR spent in the financial year:Not
Applicable
11. Specify the reason(s), if the company has failed to spend two per cent of the average net profit as per section 135(5).: Not Applicable

For and on behalf of the Board of Directors

HB Stockholdings Limited

Sd/- Sd/-
ANIL GOYAL LALIT BHASIN
Place: Gurugram (Director) (Chairman)
Date: 18th May, 2022 DIN: 0001938 DIN: 00002114

10
HB STOCKHOLDINGS LIMITED
ANNEXURE “II”
Form No. MR-3
SECRETARIAL AUDIT REPORT
FOR THE FINANCIAL YEAR ENDED 31ST MARCH, 2022
(Pursuant to Section 204(1) of the Companies Act, 2013 and Rule No. 9 of the
Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.
To, (d) Sexual Harassment of Women at Workplace (Prevention, Prohibition and
The Members of Redressal) Act, 2013.
HB Stockholdings Limited 2. We have also examined the compliance with the applicable Regulations/circulars,
We have conducted the secretarial audit of the compliance of applicable statutory Guidelines/Standards of the following:
provisions and the adherence to good corporate practices by HB Stockholdings Limited - (i) SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and
CIN: L65929HR1985PLC033936 (hereinafter called the Company). Secretarial Audit was the Listing Agreements with Bombay Stock Exchange Ltd. and the National Stock
conducted in accordance with Auditing Standards (CSAS-1 to CSAS -4)and Guidance Exchange of India Ltd; and
Notes on ICSI Auditing Standards, ICSI Guidance Note on Code of Conduct for Company (ii) Secretarial Standards issued by the Institute of Company Secretaries of India.
Secretaries and in a manner that provided us a reasonable basis for evaluating the corporate
conducts/statutory compliances and expressing our opinion thereon. 3. During the period under review the company has complied with the provisions of the Act,
Rules, Regulations, Standards, Guidelines, etc. mentioned above.
Based on our verification of the HB Stockholdings Limited’s books, papers, minute books,
4. We further report that:
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 a) The Board of Directors of the Company is duly constituted with Non-Executive
of secretarial audit, we hereby report that in our opinion, the Company has, during the audit Directors, Woman Director, Independent Directors and Manager appointed under
period covering the financial year ended on 31st March, 2022 complied with statutory provisions Section 203 of the Act.
listed hereunder and also that the Company has proper Board processes and compliance b) Adequate notice is given to all directors to schedule the Board Meetings, agenda
mechanism in place to the extent, in the manner and subject to the reporting made hereinafter. and detailed notes on agenda were sent at least seven days in advance, and a
1. We have examined the books, papers, minute books, forms and returns filed and other system exists for seeking and obtaining further information and clarifications on the
records maintained by HB Stockholdings Limited for the financial year ended on 31st agenda items before the meeting and for meaningful participation at the meeting.
March, 2022 according to the provisions of: c) Majority decisions are carried through while dissenting members’ views are
captured and recorded as part of the minutes.
(i) The Companies Act, 2013 (the Act) and the rules made there under;
5. We further report that there are adequate systems and processes in the Company
(ii) The Securities Contracts (Regulation) Act, 1956 (SCRA) and the rules made there commensurate with the size and operations of the Company to monitor and ensure
under; compliance with applicable laws, rules, regulations and guidelines.
(iii) The Depositories Act, 1996 and the Regulations and Bye-laws framed there under; 6. We further report that during the audit period, no major decisions having a bearing on
Company’s affairs in pursuance of the above referred laws, rules/regulations were taken.
(iv) Foreign Exchange Management Act, 1999 and the rules and regulations made
there under to the extent of Foreign Direct Investment, Overseas Direct Investment This report is to be read with our letter of even date which is annexed as Annexure ‘A’
and External Commercial Borrowings*. and forms an integral part of this report.
For A.N. Kukreja & Co.
(v) The following Regulations and Guidelines prescribed under the Securities and Company Secretaries
Exchange Board of India Act, 1992 (SEBI Act): -
Sd/-
(a) The Securities and Exchange Board of India (Substantial Acquisition of
(A.N. Kukreja)
Shares and Takeovers) Regulations, 2011;
Proprietor
(b) The Securities and Exchange Board of India (Prohibition of Insider Trading) FCS 1070; CP 2318
Regulations, 2015; ICSI Unique Code: S1995DE014900
Place: New Delhi Peer Review Cert. 875/2020
(c) The Securities and Exchange Board of India (Listing Obligations and
Date: 18th May, 2022 UDIN: F001070D000337571
Disclosure Requirements) Regulations, 2015;
Annexure ‘A’
(d) The Securities and Exchange Board of India (Registrars to an Issue and To,
Share Transfer Agents) Regulations, 1993 regarding the Companies Act The Members of
and dealing with client; HB Stockholding Limited
(e) The Securities and Exchange Board of India (Issue of Capital and Disclosure 1. Maintenance of secretarial record is the responsibility of the management of the
Requirements) Regulations, 2018*; Company. Our responsibility is to express an opinion on these secretarial records based
on our audit.
(f) The Securities and Exchange Board of India (Share Based Employee
Benefits and Sweat Equity) Regulations, 2021*; 2. We have followed the audit practices and processes as were appropriate to obtain
reasonable assurance about the correctness of the contents of secretarial records. The
(g) The Securities and Exchange Board of India (Issue and Listing of Non- verification was done on test basis to ensure that correct facts are reflected in secretarial
convertible Securities) Regulations, 2021*; record. We believe that the process and practices, we followed provide a reasonable
(h) The Securities and Exchange Board of India (Delisting of Equity Shares) basis for our opinion.
Regulations, 2021*; and 3. We have not verified the correctness and appropriateness of financial records and books
of accounts of the Company.
(i) The Securities and Exchange Board of India (Buyback of Securities)
Regulations, 2018* 4. Wherever required, we have obtained the management representation about the
compliance of laws, rules and regulations and happening of events, etc.
*Foreign Exchange Management Act, 1999 and the rules and regulations at sub-
5. The compliance of the provisions of corporate and other applicable laws, rules,
para (iv) of para 1 above and SEBI Regulations listed at sub-para (v) Serial Nos.
regulations, standards is the responsibility of management. Our examination was limited
(e), (f), (g), (h) and (i) above are not applicable to the Company for 2021-22 as
to the verification of procedures on test basis.
there was no corporate decision/action attracting these regulations.
6. The Secretarial Audit report is neither an assurance as to the future viability of the
(vi) The Other Laws applicable specifically to the Company are: Company nor of the efficacy or effectiveness with which the management has conducted
(a) The Reserve Bank of India Act, 1934. the affairs of the Company.
7. During the course of our examination of the books and records of the Company carried
Non-Banking Financial Company – non-systemically Important Non-Deposit
out in accordance with generally accepted practices in India, we have neither come
Taking Company (Reserve Bank) Directions 2016, as amended and other
across any instance of fraud on or by the Company, nor the Company has noticed and
applicable guidelines/instructions issued by RBI;
reported any such case during the year and accordingly the Company has not informed
The Company is an NBFC-Investment and Credit Company and holds valid us of any such case.
Certificate of Registration No. 14.01345 dated 26.07.2000 issued under For A.N. Kukreja & Co.
Section 45IA of the Reserve Bank of India Act, 1934. The Company has Company Secretaries
complied with the applicable provisions of the RBI Act, KYC norms/Anti-
money Laundering standards under Prevention of Money Laundering Act, Sd/-
2002, Directions/ Guidelines, issued by Reserve Bank of India to the extent (A.N. Kukreja)
applicable. Proprietor
(b) Credit Information Companies (Regulation) Act, 2005. FCS 1070; CP 2318
Place: New Delhi ICSI Unique Code: S1995DE014900
(c) Employees Provident Funds and Miscellaneous Provisions Act, 1952; Date: 18th May, 2022 Peer Review Cert. 875/2020

11
HB STOCKHOLDINGS LIMITED
MANAGEMENT DISCUSSION AND ANALYSIS REPORT
1) OPERATING RESULTS yield (credit spread). The Company mitigates the concentration risk, industry specific risks
During the year under review, the Company’s Total Revenue from operation is by diversifying the borrower pool relating to different industries. The Company periodically
` 1770991.95 Hundreds as compared to ` 1319453.83 Hundreds in the previous year. monitors and reviews the financial condition, credit rating, debt to equity ratio to minimize
The Company incurred total expenses amounted to ` 193898.92 Hundreds as compared the credit default risks associated with the borrowers.
to ` 147825.10 Hundreds during the previous year. Profit/(Loss) after tax stood at The Company has established Internal Financial Control Systems to provide reasonable
` 1524054.05 Hundreds as against ` 1180441.19 Hundreds in the previous year. assurance regarding safeguarding of assets, maintenance of proper accounting records
2) INDUSTRY STRUCTURE AND DEVELOPMENTS and the reliability of financial reporting.
NBFCs have become important constituents of the financial sector and have been The Company controls the operational risks associated with its business activities by
recording higher credit growth than scheduled commercial banks (SCBs) over the past way of prescribing / amending processes, imposing controls and defining roles and
few years. NBFCs are leveraging their superior understanding of regional dynamics responsibilities.
and customised products and services to expedite financial inclusion in India. Lower The Company assesses the effectiveness of its risk management plan through structured
transaction costs, quick decision making, customer orientation and prompt service
continuous improvement processes to ensure risks and controls are continually monitored
standards have typically differentiated NBFCs from banks. Considering the reach and
and reviewed.
expanse of NBFCs, they are well-suited to bridge the financing gap in a large country like
India. 6) INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY
Policy environment in the economy remained quite supportive through the financial year The Company has proper and adequate system of Internal Controls to ensure that all its
with Government continuing to focus on capital expenditure, unveiling of Production assets are safeguarded and protected against loss from unauthorized use or disposition
Linked Incentive (PLI) schemes, supporting people in the lower strata through schemes of assets and that the transactions are recorded and reported.
like the free food-grain programs and emergency credit line guarantee scheme (ECLGS) The Company ensures adherence to all Internal Control policies and procedures as well
for Micro, Small and Medium Enterprises (MSMEs), etc. The RBI policy also maintained as compliance with all regulatory guidelines. The Internal Auditor monitors and evaluates
accommodative stance with rates being held steady through the year. the efficacy and adequacy of Internal Control Systems in the Company, its compliance
3) OPPORTUNITY AND THREATS with the operating systems, accounting procedures and policies. The Audit Committee
reviews the internal controls at periodic intervals in close coordination with the Internal
NBFCs offer a wide range of financial products and services including personal
Auditors.
loans, commercial vehicle finance, housing loans, infrastructure finance, gold loans,
microfinance, money transfer, insurance, education funding, and many more customised 7) FINANCIAL PERFORMANCE
finance solutions. The diversity of products and services offered enables them to focus on a) Share Capital: The Company’s Issued and Subscribed Share Capital consists
under-served populations of the economy, and create a niche market for themselves. of Equity Share Capital only. The Paid-up Share Capital of the Company as at
The geopolitical conflict in Europe which started in February 2022 has imparted a 31st March, 2022 stood at ` 7,13,76,650/- comprising of 7137665 Equity Shares of
strong shock that threatens to overwhelm the global economy and its constituents. ` 10/- each.
Negative externalities are already rippling through financial and commodity markets, the b) Financial Assets and Non-Financial Assets: The Financial Assets and Non-
international trade and financial systems, supply chains and the global geopolitical order. Financial Assets for the year under review stood at ` 7043115.57 Hundreds
Surging food and fuel prices, in particular, and shortages of essential items are impacting and ` 133272.53 Hundreds respectively as against ` 5755529.20 Hundreds and
the disadvantaged adversely. ` 143664.34 Hundreds for the previous year.
The informal nature of the NBFC sector increases its regulatory risk. One of the ways this c) Financial Liabilities and Non-Financial Liabilities: During the year under review,
increased regulatory risk can be observed is the frequency of regulatory changes brought the Financial Liabilities and Non-Financial Liabilities stood at ` 21930.44 Hundreds
in by the RBI. For example, on 19th April, 2022, RBI issued guidelines for loans and and ` 170423.39 Hundreds respectively as against ` 367863.09 Hundreds and
advances by NBFCs and the disclosures they are required to make under a scale-based ` 114507.77 Hundreds during the previous year.
regulatory framework. A consequence of frequent regulatory changes are compliance
costs that are borne by individual NBFCs, which reduces their ability to be competitive and d) Key Financial Ratios (Standalone):
protect their margins. Particulars FY FY % Reason for
4) FUTURE PROSPECTS AND OUTLOOK 2021-22 2020-21 Change change of
The escalation of geopolitical tensions into war from late February 2022 has delivered over more than 25%
a brutal blow to the world economy, battered as it has been through 2021 by multiple previous in Key Finan-
waves of the pandemic, supply chain and logistics disruptions, elevated inflation and year cial Ratios
bouts of financial market turbulence, triggered by diverging paths of monetary policy 1. Debtors Turnover Nil Nil. Nil -
normalisation. Ratio
NBFCs are playing their part by meeting the diverse financial needs of the economy. 2. Inventory Turnover N.A. N.A. Nil -
They have channelized the savings and investments of the customers and had helped in Ratio
the capital formation. The non-banking financial companies witnessed a year of ups and
down, but still managed to revive and recover from the disruptions caused by the second 3. Interest Coverage 120800.49 40351.39 199.37 Decrease in
COVID-19 wave. From July 2021 onwards, the COVID-19 lockdown started easing up Ratio Finance Cost
and many schemes were also implemented to help NBFCs get the funding they needed. and increase
The NBFC sector was seen leaning towards digitisation in 2021, to cope with COVID-19. in Operating
Profit
5) RISKS AND CONCERNS
The Company like any other Company is exposed to specific risks that are particular 4. Current Ratio 45.70 7.11 542.46 Increase in
to its business and the environment within which it operates. The Company is exposed Current Assets
to the market risk (including liquidity risk) and also the factors that are associated with 5. Debt Equity Ratio 0.0008 0.0048 -83.80 Decrease in
Capital market, which inter alia includes economic / business cycle, fluctuations in the debts and
stock prices in the market, besides the interest rate volatility and credit risk. increase in
Risk Management Policy Equity Funds
The Company has implemented a systematic process to assist in the identification, 6. Operating Profit 89.06 89.07 -0.01 -
assessment, treatment and monitoring of risks which provides the necessary tools and Margin (%)
resources to management and staff to support the effective management of risks.
7. Net Profit Margin 86.00 89.08 -3.45 -
The Company is primarily engaged in investment in Securities viz. Equity Shares, (%)
Preference Shares, Mutual Funds etc. which involves macroeconomic risks, investee
8. Return on Net- 21.82 21.79 0.14 -
company specific risks, market wide liquidity risks and execution risks relating to the
Worth (%)
Company / its intermediaries.
(a) The macroeconomic risks, investee company specific risks are covered by 8) HUMAN RESOURCES
investment decisions based on third party research and internal assessment. The Company has adequate human resources which is commensurate with the current
(b) Market wide risks are assessed and managed by investment timing decisions. volume of activity and is reviewed by the management periodically and the Company
would induct competent personnel on increase / expansion of the activity.
(c) The execution risk is managed by dealing with reputed intermediaries and through
own back-office discipline re accounting and follow up of trades. 9) CAUTIONARY STATEMENT
(d) All investment decisions are made after distinguishing among alternative courses Statements in this “Management’s Discussion and Analysis” describing the Company’s
of action with identification of expected risks. objectives, projections, estimates, expectations or predictions may be “forward looking
statements” within the meaning of applicable securities laws and regulations. Actual
The Company also faces credit default risks, concentration risk and industry specific risk results could differ materially from those expressed or implied. Important factors that
while making Inter corporate loans to other body corporate. The Company performs the could make a difference to the Company’s operations include interest rates and changes
credit check on the prospective borrower considering various factors relating to the loan in the Government regulations, tax regimes, economic developments and other factors
such as loan purpose, credit rating, and loan-to-value ratio and estimates the effect on such as litigation etc.

12
HB STOCKHOLDINGS LIMITED
REPORT ON CORPORATE GOVERNANCE
1. COMPANY’S PHILOSOPHY ON CORPORATE GOVERNANCE: 2. SIZE AND COMPOSITION OF THE BOARD:
Corporate Governance is an insight into the management of affairs of the Company. It The Board of Directors of your Company comprises of six (6) Non-Executive Directors out
implies governance with the highest standards of professionalism, integrity, accountability, of which three(3) are Independent Directors including one (1) Woman Director as on 31st
fairness, transparency, social responsiveness and business ethics for efficient and ethical March, 2022. Mr. Lalit Bhasin, Director (Promoter) is the Chairman and Non-Executive
conduct of business.Good Corporate Governance is the adoption of best business Director of the Company. All the Non-Executive Directors are proficient in their respective
practices which ensure that the Company operates within the regulatory framework. fields and bring with them vast experience in the area of Banking, Finance, Investment,
Legal and Securities Market Operations. The strength of the Independent Directors is half
The Company’s philosophy on Corporate Governance envisages adopting the high of the total strength of the Board. The composition of the Board is in conformity with the
standards of transparency, accountability and ethics in all transactions and interactions Regulation 17 of SEBI (Listing Obligations and Disclosure Requirements) Regulations,
with all Stakeholders including but not limited to the Shareholders, the Government, 2015.
Suppliers, Contractors and other business associates.
Five (5) Board meetings were held during the year under review on 07th June, 2021, 21st
June, 2021, 02nd August, 2021, 11th November, 2021 and 02nd February, 2022.
The particulars regarding composition of the Board of Directors and its Meetings held during the year with their shareholding in the Company as on 31st March, 2022 and presence in last AGM
are given hereunder:
Name of the Director Category Directorships in other #Committee Membership No. of Board Whether No. of Equity
Public Companies as held in other Public Compa- Meetings Attended last Shares held
on 31st March, 2022 nies as on 31st March, 2022 attended/ entitled AGM
Director Chairman Member Chairman during the year

Mr. Lalit Bhasin Chairperson Promoter Non-Executive 6 3 4 1 5/5 Yes 3678691

Mr. Anil Goyal Non-Independent Non- Executive 9 NIL 4 1 5/5 Yes NIL
Mr. Ashish Kapur Non-Independent Non- Executive 1 NIL NIL NIL 4/5 Yes NIL
Mr. Gulshan Rai Independent Non – Executive NIL NIL NIL NIL 5/5 Yes NIL
Mr. Harbans Lal Independent Non – Executive 2 NIL 3 1 5/5 Yes NIL
Mrs. Asha Mehra Independent Non –Executive 1 NIL 1 1 5/5 Yes NIL
#Comprises only Audit Committee and Stakeholders Relationship Committee of Indian Public Limited Companies.
Details of Directorships held in other listed entities by the Directors of the Company in terms of Regulation 36 of SEBI (Listing Obligations and Disclosure Requirements)
and the Category of their Directorship as on 31st March, 2022 is given as under: Regulations, 2015 and Secretarial Standard – 2 issued by the Institute of Company
Name of the Directorships in other listed entities (Category of Secretaries of India has been provided in the Notes to the Notice convening the Annual
Director Directorship) General Meeting.
Mr. Lalit Bhasin 1. HB Portfolio Ltd. (Non-Executive Non-Independent Director 3. CORE SKILLS / EXPERTISE / COMPETENCIES OF THE BOARD OF DIRECTORS
- Chairperson)
2. HB Estate Developers Ltd. (Non-Executive Non-Independent The Board comprises of qualified members who bring in the required skills, competence
Director - Chairperson) and expertise that enable them to make effective contributions to the Company’s working.
3. HB Leasing & Finance Co. Ltd. (Non-Executive Non- The Board members have expertise and extensive experience in financial services,
Independent Director - Chairperson) taxation, investments, capital markets, banking, hospitality, corporate restructuring,
4. CHL Ltd. (Non-Executive Independent Director) corporate governance, strategic planning, corporate administration and general
Mr. Anil Goyal 1. HB Portfolio Ltd. (Executive Director - MD) management. They uphold ethical standards of integrity and probity and exercise their
2. HB Estate Developers Ltd. (Non-Executive Non-Independent responsibility in the best interest of the Company and all stakeholders.
Director)
The Board comprises of members of varied age groups who demonstrate competence
3. HB Leasing & Finance Co. Ltd. (Executive Director - MD)
and experience required for the Company. Their diversity of experiences has a positive
Mr. Ashish Kapur None
impact on deliberations on various matters placed before the Board setting the right
Mr. Gulshan Rai None
direction for future strategy and plans. Sufficient time is devoted by them for informed and
Mr. Harbans Lal 1. HB Portfolio Limited(Non-Executive Independent Director)
balanced decision-making.
1. HB Estate Developers Ltd. (Non-Executive Independent
Mrs. Asha Mehra
Director) All Directors are familiar with the Company’s business, policies, culture (including the
The number of Committees (Audit Committee and Stakeholder Relationship Committee) of Mission, Vision and Values) and industry in which the Company operates.
Public Limited Companies in which a Director is a Member / Chairman is within the limits The below chart / matrix summarizes a mix of skills, expertise and competencies expected
provided under Regulation 26 of the SEBI (Listing Obligations and Disclosure Requirements) to be possessed by our individual directors, which are key to corporate governance and
Regulations, 2015, for all the Directors of the Company. The number of Directorships of board effectiveness:
each Independent Director is also within the limits as prescribed under Regulation 25 of the
Key Board Skills / Expertise / Competencies:
SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Financial Expertise Education and experience in the areas of capital
None of the Directors are related to each other as defined in Section 2(77) of the Companies
markets, mutual funds, banking and finance, treasury,
Act, 2013. investment banking, wealth management, institutional
The Company had issued formal letter of appointment to the Independent Directors as per and retail stock broking.
the provisions of Sec 149 read with Schedule IV of the Companies Act, 2013. The terms Risk Management Capability to identify, assess, and monitor the risks
and conditions of appointment are also available on the website of the Company, having associated with capital markets, macroeconomic,
business cycle, interest rate volatility, liquidity and credit
following web-link,
risk associated with the business of the Company.
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/index.html Corporate Governance Understanding of the relevant laws, rules, regulation
In the opinion of the Board, the Independent Directors fulfill the conditions specified in policies applicable to the organisation/industry/sector
in which the Company operates. Knowledge and
SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and are
understanding of organizations processes, strategic
independent of the management.
planning and observing appropriate governance
In terms of the provisions of the Articles of Association of the Company, one-third of the practices.
Directors of the Company, who are liable to retire by rotation, shall retire at every Annual Strategic Decision making To develop insights about maintaining board and
General Meeting. Accordingly, Mr. Ashish Kapur (DIN: 00002320), Director shall retire at the management accountability, protecting shareholder
ensuing Annual General Meeting and being eligible offers himself for re-appointment. interests. Demonstrated strengths in developing
business strategies, business transformation
The information on the Particulars of Director eligible for Appointment / Re-appointment contributing to long-term growth.

13
HB STOCKHOLDINGS LIMITED
Name of the Directors who have these expertise and skills: Chairman, Board as a whole and its committees in terms of the provision of the SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015 and applicable
Name of the Director Core Skills / Expertise / Competencies provisions of the Companies Act, 2013.
Financial Risk Corporate Strategic
7. BOARD COMMITTEES
Expertise Management Governance Decision
Making The terms of reference of the Board Committee(s), their composition and attendance of
Mr. Lalit Bhasin ✓ ✓ ✓ ✓ the respective members at the various Committee Meeting(s) held during the year 2021-
Mr. Anil Goyal ✓ ✓ ✓ ✓ 22 are set out below:

Mr. Ashish Kapur ✓ ✓ ✓ ✓ (A) AUDIT COMMITTEE

Mr. Harbans Lal ✓ ✓ ✓ ✓ The Board of Directors in their meeting held on 17th May, 2014 had approved the revised
term of reference pursuant to the provisions of Section 177 of the Companies Act, 2013
Mr. Gulshan Rai ✓ ✓ ✓ ✓
and Clause 49 of the erstwhile Listing Agreement.
Mrs. Asha Mehra ✓ ✓ ✓ ✓
Further, the terms of reference of the Audit Committee have been partially amended by
4. CODE OF CONDUCT FOR DIRECTORS AND SENIOR MANAGEMENT PERSONNEL the Board of Directors in their meeting held on 11th February, 2016 and 09th February,
2019 in terms of Regulation 18 read with Part C of Schedule II of SEBI (Listing Obligations
The Code of Conduct for Directors and Senior Management Personnel (‘the Code’), as and Disclosure Requirements) Regulations, 2015.
adopted by the Board, is a comprehensive Code applicable to all the Directors and Senior
The Audit Committee consists of three Non-Executive Directors as members, out of which
Management Personnel. The Company’s Board of Directors and Senior Management
two are Independent Directors. The Chairman of the Audit Committee is an Independent
Personnel are responsible for and are committed to setting the standards of conduct Director. The Audit Committee comprises of following members:
contained in the Code and for updating these standards, as appropriate, to ensure their
(i) Mr. Gulshan Rai, Chairman (Independent Director)
continuing relevance, effectiveness and responsiveness to the needs of investors and all
(ii) Mr. Anil Goyal, Member (Non-Executive- Non-Independent)
other stakeholders as also to reflect corporate, legal and regulatory developments. This
Code is adhered to in letter and in spirit. The Code has been circulated to all the Directors (iii) Mr. Harbans Lal, Member (Independent Director)
and Senior Management Personnel and the compliance of the same is affirmed by them The Company Secretary acts as Secretary to the Committee.
annually. The quorum for the Audit Committee meeting shall either be two members or one third of
the members of the Audit Committee, whichever is greater, with at least two Independent
All the members of Board of Directors and Senior Management Personnel have affirmed
Directors. There was no change in the Constitution of the Committee during the period
compliance with the Code of Conduct of the Company for the financial year 2021-22. The under review.
declaration to this effect signed by Mr. Anil Goyal, Director of the Company is attached
The Audit Committee has been empowered, inter-alia, to carry out the following
and forms an integral part of this Report. A copy of the Code has been uploaded on the functions:
Company’s website having following web link:
1. Oversight of the Company’s financial reporting process and the disclosure of its
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/index.html financial information to ensure that the Financial Statement is correct, sufficient
and credible;
5. MEETING OF INDEPENDENT DIRECTORS
2. Recommendation for appointment, remuneration and terms of appointment of
During the year under review, the Independent Directors met on 02nd February, 2022, inter auditors of the Company;
alia, to discuss and evaluate:
3. Approval of payment to statutory auditors for any other services rendered by the
(i) the performance of Non-Independent Directors and the Board of Directors as a statutory auditors;
whole; 4. Reviewing, with the management, the annual financial statements and auditor’s
report thereon before submission to the board for approval, with particular
(ii) the performance of the Chairman of the Company, taking into account the views of
reference to:
Executive and Non-Executive Directors;
a) Matters required to be included in the Director’s Responsibility Statement to
(iii) the quality, quantity and timeliness of flow of information between the Company be included in the Board’s report in terms of clause (c) of sub-section 3 of
management and the Board that is necessary for the Board to effectively and Section 134 of the Companies Act, 2013.
reasonably perform their duties. b) Changes, if any, in accounting policies and practices and reasons for the
same.
Further, the Company gave the presentation to the Independent Directors as a part of the c) Major accounting entries involving estimates based on the exercise of
Familiarisation programme to make them aware about their roles, rights, responsibilities in judgment by management.
the Company, nature of the industry in which the Company operates, business model of the d) Significant adjustments made in the financial statements arising out of audit
Company etc. The details of such familiarisation programme have been uploaded on the findings.
website of the Company, having following web-link, e) Compliance with listing and other legal requirements relating to financial
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/index.html statements.
f) Disclosure of any related party transactions.
All the Independent Directors were present at the Meeting.
g) Modified opinion(s) in the draft audit report.
6. PERFORMANCE EVALUATION CRITERIA
5. Reviewing, with the management, the quarterly financial statements before
The performance evaluation exercise has been carried out by way of a structured submission to the board for approval;
questionnaire covering various aspects of the Board’s functioning such as adequacy of
the composition of the Board and its Committees, execution and performance of specific 6. Reviewing, with the management, the statement of uses / application of funds
duties, obligations and governance. The performance of Individual Directors has been raised through an issue (public issue, rights issue, preferential issue, etc.), the
evaluated on parameters such as level of engagement and contribution, independence statement of funds utilized for purposes other than those stated in the offer
of judgement, safeguarding the interest of the Company, Shareholders etc. The document / prospectus / notice and the report submitted by the monitoring agency
Performance of Chairman was being evaluated in terms of leadership qualities, effective monitoring the utilisation of proceeds of a public or rights issue, and making
management, maintaining cordial relationship with Board, Shareholders, employees, etc. appropriate recommendations to the Board to take up steps in this matter;
The Independent Directors in their meeting held on 02nd February, 2022 have done 7. Reviewing and monitoring the auditor’s independence and performance, and
necessary performance evaluation of Non-Independent Directors, the Board of Directors effectiveness of audit process;
as a Whole & its Committees and the Chairman of the Company, taking into account the
views of Executive and Non-Executive Directors. All the Independent Directors expressed 8. Approval or any subsequent modification of transactions of the Company with
their satisfaction with the performance of Non-Independent Directors, the Board of related parties;
Directors as a Whole & its Committees and the Chairman of the Company. 9. Scrutiny of inter-corporate loans and investments;
Mr. Lalit Bhasin, Chairman of the Company had discussion with all individual Directors 10. Valuation of undertakings or assets of the Company, wherever it is necessary;
in order to review the performance of the Independent Directors of the Company. The
performance of the Independent Directors also found to be satisfactory during the period 11. Evaluation of internal financial controls and risk management systems;
under review.
12. Reviewing, with the management, performance of statutory and internal auditors,
The Nomination and Remuneration Committee and the Board of Directors in their meeting adequacy of the internal control systems;
held on 02nd February, 2022 expressed their satisfaction with the performance evaluation
of all individual Directors being the Independent Directors, Non-Independent Directors, 13. Reviewing the adequacy of internal audit function, if any, including the structure

14
HB STOCKHOLDINGS LIMITED
of the internal audit department, staffing and seniority of the official heading the Committee.There was no change in the Constitution of the Committee during the period
department, reporting structure coverage and frequency of internal audit; under review. The Nomination and Remuneration Committee comprises of following
members:
14. Discussion with internal auditors of any significant findings and follow up there on;
(i) Mr. Harbans Lal, Chairman (Independent Director)
15. Reviewing the findings of any internal investigations by the internal auditors into
matters where there is suspected fraud or irregularity or a failure of internal control (ii) Mr. Gulshan Rai, Member (Independent Director)
systems of a material nature and reporting the matter to the board;
(iii) Mrs. Asha Mehra, Member (Independent Director)
16. Discussion with statutory auditors before the audit commences, about the nature
The Company Secretary act as Secretary to the Committee.
and scope of audit as well as post-audit discussion to ascertain any area of
concern; The Nomination and Remuneration Committee has been empowered, inter-alia, to
carry out the following functions:
17. To look into the reasons for substantial defaults in the payment to the depositors,
debenture holders, shareholders (in case of non-payment of declared dividends) 1) Formulation of the criteria for determining qualifications, positive attributes and
and creditors; independence of a director and recommend to the Board a policy, relating to the
remuneration of the directors, key managerial personnel and other employees;
18. To review the functioning of the Whistle Blower mechanism;
IA. For every appointment of an independent director, the Nomination and
19. Approval of appointment of CFO (i.e., the whole-time Finance Director or any other Remuneration Committee shall evaluate the balance of skills, knowledge
person heading the finance function or discharging that function) after assessing and experience on the Board and on the basis of such evaluation, prepare a
the qualifications, experience and background, etc. of the candidate; description of the role and capabilities required of an independent director.
20. Reviewing the utilization of loans and/ or advances from/investment by the holding The person recommended to the Board for appointment as an independent
director shall have the capabilities identified in such description. For the
company in the subsidiary exceeding rupees 100 crore or 10% of the asset size of
purpose of identifying suitable candidates, the Committee may:
the subsidiary, whichever is lower including existing loans/advances/investments.
a. use the services of an external agencies, if required;
21. Consider and comment on rationale, cost-benefits and impact of schemes involving
merger, demerger, amalgamation etc., on the listed entity and its shareholders. b. consider candidates from a wide range of backgrounds, having due
regard to diversity; and
22. The Audit Committee shall mandatorily review the following information:
c. consider the time commitments of the candidates.
a) Management discussion and analysis of financial condition and results of
operations; 2) Formulation of criteria for performance evaluation of Independent Directors and the
Board;
b) Management letters / letters of internal control weaknesses issued by the
statutory auditors; 3) Devising a policy on Board diversity;
c) Internal audit reports relating to internal control weaknesses; and 4) Identifying persons who are qualified to become directors and who may be
appointed in senior management in accordance with the criteria laid down, and
d) The appointment, removal and terms of remuneration of the Chief internal recommend to the Board their appointment and removal.
auditor shall be subject to review by the Audit Committee.
5) Whether to extend or continue the term of appointment of the Independent Director,
e) Statement of deviations: on the basis of the report of performance evaluation of Independent Directors.
(i) quarterly statement of deviation(s) including report of monitoring
agency, if applicable, submitted to stock exchange(s) in terms 6) Recommend to the Board, all remuneration, in whatever form, payable to senior
of Regulation 32(1) of SEBI (Listing Obligations and Disclosure management.
Requirement) Regulations, 2015. 7) To deal with any other matters related and / or incidental to the above or as may be
(ii) annual statement of funds utilized for purposes other than those assigned, in addition to the aforesaid by the Board from time to time.
stated in the offer document/prospectus/notice in terms of Regulation
During the year under review Three (3) Nomination and Remuneration Committee
32(7) of SEBI (Listing Obligations and Disclosure Requirement)
Meetings were held on 07th June, 2021, 11th November, 2021 and 02nd February, 2022
Regulations, 2015.
and the same were attended by all the committee members.
23. The Audit Committee shall also have powers, which should include the following:
Remuneration paid during the year ended 31st March, 2022 is as under:
a) To investigate any activity within its terms of reference.
b) To seek information fromany employee. Director(s) Relationship Sitting Fees Salary & Commis-
with other (In`) Perks (In `) sion, if any
c) To obtain outside legal or other professional advice. Director(s)
d) To secure attendance of outsiders with relevant expertise, if it considers
necessary. Mr. Lalit Bhasin N.A. 50,000 NIL NIL

e) To consider and act on any matters as or included under Clause 49 of the Mr. Anil Goyal N.A. 98,000 NIL NIL
Listing Agreement and/or as may be so included from time to time, whether
Mr. Ashish Kapur N.A. 40,000 NIL NIL
provided here in above or not.
f) To deal with any other matters related and or incidental to the above or as Mr. Harbans Lal N.A. 1,23,000 NIL NIL
may be assigned, in addition to the aforesaid, by the Board from time to time. Mr. Gulshan Rai N.A. 1,15,000 NIL NIL
During the year under review, four (4) Audit Committee Meetings were held on 21st June,
Mrs. Asha Mehra N.A. 83,000 NIL NIL
2021, 02nd August, 2021, 11th November, 2021 and 02nd February, 2022. All the members
were present in all the Committee Meetings. The Non-Executive Directors are paid sitting fees for attending each meeting of the Board
of Directors and the Committees constituted by the Board. The sitting fee for Board and
The Audit Committee plays a crucial role in running the Corporate Governance Functions. the Committee meetings has been fixed by the Board of Directors within the overall ceiling
During the year the roles and responsibility of the Audit Committee have been effectively limits laid down under the Companies (Appointment and Remuneration of Managerial
carried out. The Audit Committee reviewed the related party transactions, financial Personnel) Rules, 2014.
operations and performance of the Company, interacted with the Auditors and Internal
Auditors, considered the reports of the Auditors and provided its valuable suggestions and Brief outline / salient features of the Nomination and Remuneration Policy has been
recommendations to the Board of Directors from time to time. included in the Board’s Report. The complete Nomination and Remuneration Policy of
the Company is available on the website of the Company having following web-link,http://
(B) NOMINATION AND REMUNERATION COMMITTEE www.hbstockholdings.com/Investor Information/Corporate Governance/index.html
The Board of Directors in their meeting held on 17th May, 2014 renamed the Committee as (C) STAKEHOLDERS RELATIONSHIP COMMITTEE
“Nomination and Remuneration Committee” and approved the revised term of reference
pursuant to the provisions of Section 178 of the Companies Act, 2013 and Clause 49 of The Board of Directors in their meeting held on 17th May, 2014 renamed the Committee
the erstwhile Listing Agreement. as “Stakeholders Relationship Committee in terms of provisions of Section 178 of the
Companies Act, 2013 and Clause 49 of the erstwhile Listing Agreement.
Further, the Board of Directors in its meeting held on 11th February, 2015 has approved
the Nomination and Remuneration Policy and subsequently, the terms of reference of the The Board of Directors in their meeting held on 21st May, 2015 and 12th November, 2018
Nomination and Remuneration Committee has been partially amended by the Board of respectively had re-constituted the composition of Committee in terms of Regulation 20 of
SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015 and Section
Directors in their meeting held on 11th February, 2016 and 09th February, 2019 in terms of
178 of Companies Act, 2013.
Regulation 19 read with Part D of Schedule II of SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015. Further, the Board of Directors in their meeting held on 09thFebruary, 2019 revised the
terms of reference of the Stakeholders Relationship Committee in terms of Regulation
The Nomination and Remuneration Committee consists of three Directors as members.
20 read with Part D of Schedule II of the SEBI (Listing Obligations and Disclosure
All of whom are Non-Executive and Independent Directors including the Chairman of the
Requirements) Regulations, 2015.

15
HB STOCKHOLDINGS LIMITED
The Stakeholders Relationship Committee (SRC) consists of three Directors as members. 2. To appoint consultants and to obtain opinion of professionals dealing in said fields
The Chairman of the Committee is a Non-Executive Director. The Stakeholders on various options available for re-organization of the business of group companies
Relationship Committee comprises of following members: and to place the opinion obtained from the said professionals before the Board of
Directors of the Company;
(i) Mr. Harbans Lal, Chairman (Independent Director)
(ii) Mr. Anil Goyal, Member (Non-Executive- Non-Independent) 3. To appoint Advocates & Legal Counsels for the drafting of Scheme of
Amalgamation/ Arrangement;
(iii) Mrs. Asha Mehra, Member (Independent Director)
4. To appoint valuer for obtaining the valuation report;
There was no change in the Constitution of the Committee during the period under review.
5. To place the Draft Scheme of Amalgamation/ Arrangement and valuation report
The Company Secretary acts as Secretary to the Committee who has also been before the Board of Directors of the Company;
designated as the Compliance Officer of the Company.
6. To restructure the Company’s Capital / Fund base.
The Stakeholders Relationship Committee has been empowered, inter-alia, to carry
out the following functions: (F) CAPITAL RESTRUCTURING COMMITTEE

1. To consider and approve the transfer, transmission and issue of fresh/duplicate The Board of Directors in its meeting held on 29th January, 2018 constituted the Capital
share certificates. Restructuring Committee at the time of implementation of Scheme of Arrangement. The
Capital Restructuring Committee comprises of following members:
2. To review the status of dematerialization of company’s shares and matters
(i) Mr. Harbans Lal, Chairman
incidental thereto.
(ii) Mr. Anil Goyal, Member
3. To review and monitor the approval to the transfers and transmission made by the
Director, under authority delegated to him from time to time. (iii) Mr. Gulshan Rai, Member
4. To consider, review and look into various aspects of interest of Shareholders, The Capital Restructuring Committee has been empowered, inter-alia, to carry out
debenture holders and other security holders. the following functions:
5. Resolving the grievances of the security holders of the Company including 1. To issue and allot 71,37,665 Nos. of Equity Shares of Rs. 10/- each upon reduction
complaints related to transfer/transmission of shares, non -receipt of annual report, of Share Capital as provided in the Clause 32 of the Scheme of Arrangement.
non-receipt of declared dividends, issue of new/duplicate certificates, general
2. To implement the Reduction of Capital by reducing the face value of existing
meetings etc.
shares from Rs. 10/- to Rs. 3/- and Consolidate the Shares in to the denomination
6. Review of measures taken for effective exercise of voting rights by the of Rs. 10/- each.
Shareholders.
3. To deal with the fraction entitlement of Shareholders and disposal of the fractional
7. Review of adherence to the service standards adopted by the Company in respect shares for the benefit of the equity shareholders of the Company.
of various services being rendered by the Registrar & Share Transfer Agent.
4. To do all necessary acts, deeds and things as may be considered necessary to
8. Review of the various measures and initiatives taken by the Company for reducing give effect to the Issue, Allotment and Reduction of Capital in order to give effect to
the quantum of unclaimed dividends and ensuring timely receipt of dividend the Scheme of Arrangement approved by the NCLT, Chandigarh.
warrants/annual reports/statutory notices by the Shareholders of the Company.
The above Non-Statutory Committees i.e. Business Restructuring Committee and Capital
9. To deal with any other matter related and/or incidental to the shareholders. Restructuring Committee were constituted by the Board of Directors as per the business
requirement from time to time. However, the Committees were not functioning anymore
Mr. Anil Goyal, Director has, however, been empowered to approve transfers up to 10,000 and the Board of Directors had dissolved the committee in their meeting held on 18thMay,
Equity Shares under one folio at a time. 2022. Further, the functions of this Committee shall be carried out by the Board of
During the year under review, Four (4) Stakeholders Relationship Committee Meetings Directors.
were held on 6thApril, 2021, 07thJuly, 2021, 7th October, 2021 and 06th January, 2022 and 8. GENERAL BODY MEETINGS:
the same were attended by all the Committee members.
Details of Annual General Meetings (AGM):
Number of Shareholders Complaints received and redressed during the year 2021-
2022: (i) Location and time where the last three AGM’s were held:

Nature of Grievance Received Disposed Off Pending Year Type Location Date Time

Non-receipt of Dividend 01 01 NIL 2020-21 AGM Meeting held through Video Confer- 29-09-2021 03:00 P.M.
encing (“VC”)/ Other Audio-Visual
Non-receipt of Annual Report 00 00 NIL 2019-20 AGM Means(“OAVM”) 29-09-2020 03:00 P.M.

Transfer, Transmission, Issue of Share 01 01 NIL 2018-19 AGM GIA House, I.D.C., Mehrauli Road, 17-09-2019 03:00 P.M.
Certificate etc. Opp. Sector 14, Gurugram - 122
001(Haryana)
Complaints received through SEBI/Stock 00 00 NIL
Exchange (ii) List of Special Resolutions passed in the previous three (3) AGMs:
Total 02 02 NIL
S. Subject Matter AGM Reference and
(D) CORPORATE SOCIAL RESPONSIBILITY (CSR) COMMITTEE No. Date of passing
1 None 34th AGM
As per Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021, If 29th September, 2021
a company’s CSR obligation is less than or upto Rs. 50 lacs, then the Company shall not
be required to constitute the CSR committee and the board of directors shall discharge all 2 • Re-appointment of Mrs. Asha Mehra (DIN: 33rdAGM
the function of the CSR committee as prescribed. 02658967) as an Independent Director of the Com- 29th September, 2020
pany.
Pursuant to abovesaid amended CSR Rules and considering the specified threshold
of CSR obligations, the Board of Directors in its meeting held on 21stJune, 2021 has 3 • Appointment of Mr. Jag Mohan Lal Suri As Manager 32ndAGM
dissolved the CSR Committee and all the functions of the Committee shall be discharged Designated as Executive Director (Operations) of the 17thSeptember, 2019
by the Board of Directors. Company

(E) BUSINESS RESTRUCTURING COMMITTEE • Re-Appointment of Mr. Harbans Lal (Din: 00076405)
as an Independent Director of the Company
The Board of Directors in their meeting held on 6 February, 2013 constituted the
th
• Re-Appointment of Mr. Gulshan Rai (DIN: 00527181)
Business Restructuring Committee at the time of analysing all the available options of
merger, demerger etc. and further re-constituted the composition of the Committee in their as an Independent Directorof the Company
meeting held on 21st May, 2015. • Continuation of Directorship of Mrs. Asha Mehra
(DIN: 02658967) Non-Executive Independent Direc-
The Business Restructuring Committee comprises of following members:
tor of the Company
(i) Mr. Gulshan Rai, Chairman E-voting facility was provided to all members pursuant to the provisions of Section 108
(ii) Mr. Anil Goyal, Member of the Companies Act, 2013, rules made there under and Regulation 44 of SEBI (Listing
Obligations and Disclosures Requirements) Regulations, 2015.
The Business Restructuring Committee has been empowered, inter-alia, to carry out the
following functions: (iii) Whether any Special Resolutions passed last year through Postal Ballot: No
1. To analyze all the available options of merger, demerger etc.; (iv) Whether any Special Resolution is proposed to be conducted through Postal Ballot: No

16
HB STOCKHOLDINGS LIMITED
9. MEANS OF COMMUNICATION all Directors and Senior Management Personnel have confirmed their adherence
to the provisions of said code.
I. Quarterly Results: Dissemination through Stock Exchange, Company’s Website
and through publication in newspaper as required under Regulation 47 of the SEBI XIII. The Company has complied with Corporate Governance requirements specified in
Regulation 17 to 27 and clauses (b) to (i) of sub-regulation (2) of Regulation 46 of
(Listing Obligations and Disclosure requirements) Regulations, 2015. the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
II. Newspaper wherein results normally published: Business Standard (English) all ADOPTION OF DISCRETIONARY REQUIREMENTS UNDER REGULATION 27
editions and Business Standard (Hindi) Delhi edition. OF THE SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS)
REGULATIONS, 2015:
III. Website where displayed: www.hbstockholdings.com
I. The Internal Auditor directly reports to the Audit Committee.
IV. The website also displays Public Notices / Announcements containing important
11. GENERAL SHAREHOLDER INFORMATION:
communications made to the National Stock Exchange of India Limited (NSE) &BSE
I. Ensuing Annual General Meeting Date, Time and Venue:
Limited (BSE). As and when any presentation is made to institutional investors the
The ensuing Annual General Meeting of the Company will be held through Video
same would be simultaneously uploaded on the Company’s Website.
Conferencing (VC) / Other Audio-Visual Means (OAVM) on Thursday, 22nd
September, 2022 at 11.00 A.M. The deemed venue of the 35thAGM shall be the
10. DISCLOSURES
Registered Office of the Company.
I. There have been no materially significant related party transactions, pecuniary
II. Financial Year : 1st April 2021 to 31st March 2022.
transactions or relationships other than those disclosed in the Financial Statements
for the year ended 31st March, 2022 forming part of the Financial Statements(Refer III. Date of Book Closure : 16th September, 2022 to 22nd September, 2022
Note No. 28 of Financial Statements). The Policy on Related Party Transactions
IV. Listing on Stock Exchanges:
has been uploaded on the website of the Company, having following web-link,
The Company’s Equity Shares are listed at BSE Limited (BSE) and at National
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/index.html
Stock Exchange of India Limited (NSE). The Annual Listing Fee for the financial
II. Except penalty imposed by National Stock Exchange of India Limited for non year 2022-23 has been paid to BSE and NSE respectively.
compliance with the requiment of composition of the Board in financial year 2020- V. Stock Code: The Company’s scrip code and Symbol is as follows with
21, no penalty has been imposed nor any strictures have been passed by the (ISIN:INE550B01022)
Stock Exchanges or SEBI or any other Statutory Authority on any matter related to
Capital Markets during the last three years. BSE (Scrip Code) 532216
NSE (Symbol) HBSL
III. The Vigil Mechanism for Stakeholders, Employees and Directors of the Company
has been established. The Whistle Blower Policy duly approved by the Board of VI. Market Price Data: The monthly High, Low price of the Company’s Equity Share
Directors has been uploaded on the website of the Company having following web-link, during each month in the last financial year at BSE and NSE are as under:
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/index.html   BSE NSE
IV. Mount Finance Limited, a Wholly Owned Subsidiary Company does not fall under Month(s) High Low Close Volume High Low Close Volume
‘Material Un-Listed Subsidiary’ of the Company in terms of Regulation 24 of the
SEBI Listing Regulations 2015. Apr-21 18.80 15.35 16.85 25209 18.10 15.70 16.30 101792
However, the Financial Results and the Investments (as and when made), are May-21 19.85 15.55 18.45 53318 19.95 15.65 18.25 130127
placed before the Audit Committee of the Company regularly for review. The Policy
for determining Material Subsidiary is available on the website of the Company, Jun-21 24.35 15.50 23.10 364949 24.55 16.50 23.20 794819
having following web-link,
Jul-21 32.85 22.30 25.40 135518 32.85 22.45 25.45 301434
https://www.hbstockholdings.com/Investor%20Information/Corporate%20Governance/index.html
Aug-21 51.95 25.20 40.30 211950 52.10 25.50 40.85 1016417
V. All the mandatory requirements under the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015 relating to Corporate Governance are being Sep-21 42.90 36.00 37.10 126852 42.90 35.70 37.35 314843
adhered to / complied with.
Oct-21 43.90 34.00 34.05 113884 43.90 33.75 34.90 347338
VI. Mr. Mahesh Kumar Gupta, Chief Financial Officer (CFO) and Mr. Naresh Khanna,
Manager (KMP) has given the Compliance Certificate on the review of Financial Nov-21 42.25 33.40 37.70 121740 42.95 33.15 38.35 390970
Statements, including Cash Flow Statement for the Financial Year ended 31st Dec-21 65.50 35.25 65.50 246145 65.00 33.25 65.00 899910
March, 2022 to the Board of Directors as required under Regulation 17(8) of the
SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Jan-22 75.65 54.40 56.20 565097 75.05 54.45 56.35 1751084
VII. Details of utilization of funds raised through preferential allotment or qualified Feb-22 64.10 44.95 47.75 109008 64.30 43.25 47.70 330226
institutions placement as specified under Regulation 32 (7A) – Not Applicable.
Mar-22 57.25 43.10 48.50 118288 57.00 43.50 48.75 342889
VIII. A certificate from a Company Secretary in practice that none of the Directors on the
Board of the Company have been debarred or disqualified from being appointed or
VII. Performance in Broad Based Indices
continuing as Directors of companies by the Board / Ministry of Corporate Affairs or
any such statutory authority is attached and forms an integral part of this report.
IX. The Board of Directors has duly accepted the recommendation of its committee(s),
wherever required in accordance with the provisions of applicable laws.
X. Total fees paid by the Company and its Subsidiaries, on a consolidated basis, to
the Statutory Auditors is given as under:
(Amount in `)

Audit Fees 1,79,750

Tax Audit Fees 25,000
Limited Review Reports 30,000
Certification and others 37,500
Total 2,72,250/-

XI. Disclosure in relation to the Sexual Harassment of Women at Workplace

(Prevention, Prohibition and Redressal) Act, 2013 is given as under:
Stock Performance-Absolute returns
a. Number of complaints filed during the financial year Nil
1 Year
b. Number of complaints disposed of during the financial year Nil
BSE
c. Number of complaints pending as on end of the financial year Nil
HB Stockholdings 90.94
XII. The Company has adopted a code of conduct applicable to all Directors and Senior BSE Sensex 20.06
Management Personnel of the Company and the same has been available on the
Company’s website viz. www.hbstockholdings.com. For the year under review, BSE 200 19.70

17
HB STOCKHOLDINGS LIMITED
VIII. Registrar and Share Transfer Agents: DIRECTOR’S DECLARATION ON CODE OF BUSINESS CONDUCT

RCMC Share Registry Pvt. Ltd. The Members of

B-25/1, First Floor, Okhla Industrial Area, Phase-II, HB Stockholdings Limited
Gurugram
New Delhi – 110 020
I, Anil Goyal, Director of the company declare that all the members of the Board of Directors and Senior
Phone: 011 – 26387320, 26387321
Management of the Company have affirmed compliance with the Code of Conduct.
Fax : 011 - 26387322 For HB Stockholdings Ltd
E-mail: [email protected]
IX. Share Transfer System Sd/-
ANIL GOYAL
As per Regulation 40 of SEBI (Listing Obligations and Disclosure Requirements) Place: Gurugram (Director)
Regulations, 2015, as amended, securities of listed companies can be transferred Date: 18th May, 2022 DIN: 00001938
only in dematerialized form, except in case of request received for transmission or
AUDITORS’ CERTIFICATE FOR CORPORATE GOVERNANCE
transposition of securities.
Share Transfers are registered and returned within a period of fifteen days from THE MEMBERS OF
the date of receipt, if the documents are clear in all respects. The authority for HB STOCKHOLDINGS LIMITED
GURUGRAM
transfer of shares has been delegated to the Director for transfer of shares up
to a fixed number beyond which the matters are placed before the Stakeholders 1. We have examined the compliance of conditions of Corporate Governance by HB
Relationship Committee, which meets as and when required. As reported by STOCKHOLDINGS LIMITED (“the Company”), for the financial year ended on 31st March, 2022,
as stipulated in Regulation 17 to 27 and clause (b) to (i) of sub-regulation (2) of Regulation 46
Company’s Registrar and Transfer Agent, all valid requests for transfer during the
and Paragraphs C, D and E of Schedule V of the Securities and Exchange Board of India (Listing
year under review were transferred within stipulated time limit.
Obligations and Disclosure Requirements) Regulations, 2015 (“Listing Regulations”) pursuant to
X. The distribution of shareholdings of the Company as on 31st March, 2022 is the Listing Agreement entered into by the Company with the Stock Exchanges.
as under: 2. The Compliance of conditions of Corporate Governance is the responsibility of the Management.
Our examination was limited to a review of the procedures and implementation thereof, adopted
Shareholding of Shareholders Shareholding by the Company for ensuring the compliance of the conditions of Corporate Governance. It is
value of Rs. No. of % to Shares Amount % to neither an audit nor an expression of opinion on the Financial Statements of the Company.
Shares total total 3. We have examined the relevant records of the Company in accordance with the Generally
Accepted Auditing Standards in India, to the extent relevant, and as per the Guidance Note on
Up to 5000 37861 98.31 1429909 14299090 20.03 Certification of Corporate Governance issued by the Institute of Chartered Accountants of India.
5001-10000 352 0.91 262728 2627280 3.68 4. In our opinion and to the best of our information and according to our examination of the relevant
10001-20000 171 0.44 247207 2472070 3.46 records and the explanations given to us and the representations made by the Directors and
the Management, we certify that the Company has complied with the conditions of Corporate
20001-30000 47 0.12 120654 1206540 1.69 Governance as stipulated in the above-mentioned Listing Regulations during the period under
30001-40000 17 0.04 58916 589160 0.83 review.
5. We state that such Compliance is neither an assurance as to the future viability of the Company
40001-50000 15 0.04 67547 675470 0.95 nor of the efficiency or effectiveness with which the management has conducted the affairs of the
50001-100000 28 0.07 204026 2040260 2.86 Company.
FOR G C AGARWAL & ASSOCIATES
100001 and above 22 0.06 4746678 47466780 66.50 CHARTERED ACCOUNTANTS
TOTAL 38513 100.00 7137665 71376650 100.00 Firm Registration No: 017851N
The category-wise distribution of Shareholders is as follows: Sd/-
Category No of % of G C AGARWAL
(PROPRIETOR)
Shares Sharehold-
Place: New Delhi Membership No: 083820
held ing
Date: 18th May, 2022 UDIN: 22083820AKFJHK4996
A. Promoters Holding CERTIFICATE OF NON-DISQUALIFICATION OF DIRECTORS OF
 Indian Promoter 3798335 53.22 HB STOCKHOLDINGS LIMITED
(Pursuant to Regulation 34(3) read with Schedule V Para C-clause (10)(i) of the SEBI (Listing
 Foreign Promoters Nil 0.00
Obligations and Disclosure Requirements) Regulations, 2015)
B. Public Shareholding (Institutions) To,
The Members of
 Mutual Funds and UTI 105 0.00
HB Stockholdings Limited
 Banks/Financial Institutions 45 0.00 Plot No. 31, Echelon Institutional Area
Sector – 32, Gurugram – 122001 (Haryana)
 Foreign Institutional Investors Nil 0.00
We have examined the relevant registers, records, forms, returns and disclosures received from the
C. Public Shareholding (Non-Institutions) Directors of HB STOCKHOLDINGS LIMITED having CIN:L65929HR1985PLC033936 and having
 Indian Public: 2327251 32.61 Registered Office at Plot No. 31, Echelon Institutional Area, Sector 32, Gurugram -122001, Haryana
(hereinafter referred to as “the Company”) produced before us by the Company for the purpose of
 Bodies Corporate 193868 2.72
issuing this Certificate in accordance with Regulation 34(3) read with Schedule V Para C clause 10(i) of
 NRIs 162347 2.27 Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations,
 Clearing Members 15362 0.22 2015.
 Trusts 165 0.00
In our opinion and to the best of our information and according to the verification (including Directors
 NBFCs 30 0.00 Identification Number (DIN) status at the portal - www.mca.gov.in as considered necessary and
 IEPF 639803 8.96 explanations furnished to us by the Company and its officers, we hereby certify that none of the Directors
on the Board of the Company as stated below for the Financial Year ending 31st March, 2022 have been
Total 7137665 100.00 debarred or disqualified from being appointed or continuing as Directors of companies by the Securities
XI. Dematerialization of Share and Liquidity: and Exchange Board of India, Ministry of Corporate Affairs, Government of India, or any such statutory
authority.
The shares of the Company are tradeable compulsorily in the electronic form. The
Company is a member of both the depositories, National Securities Depository Sr. No. Name of Director DIN Date of Appointment in Company
Limited (NSDL) and Central Depository Services (India) Limited (CDSL). 1 Mr. Lalit Bhasin 00002114 16/08/1989
The ISIN allotted to the Company is INE550B01022. As at 31st March 2022, 2 Mr. Anil Goyal 00001938 30/07/2005
67,08,189 Equity Shares of the Company are held in dematerialized form 3 Mr. Harbans Lal 00076405 28/01/2006
constituting 93.98% of the Company’s subscribed share capital. 4 Mr. Gulshan Rai 00527181 30/10/2004
As stipulated by SEBI, a qualified Practicing Company Secretary carries out Audit 5 Mrs. Asha Mehra 02658967 30/03/2015
of Reconciliation of Share Capital to reconcile the Total Admitted, Issued and 6 Mr. Ashish Kapur 00002320 23/07/2020
Listed Capital with National Securities Depository Limited (NSDL) and Central Ensuring the eligibility of for the appointment/continuity of every Director on the Board is the responsibility
Depository Services (India) Limited (CDSL) and Stock Exchanges. of management of the Company. Our responsibility is to express opinion based on our verification. This
XII. The Company has no outstanding GDRs/ ADRs/ Warrants or any other instruments certificate is neither an assurance as to the future viability of the Company nor of the efficiency or
convertible into equity. effectiveness with which the management has conducted the affairs of the Company.
XIII. List of all credit ratings obtained by the Company along with any revisions thereto For A.N. Kukreja & Co.
during the financial year: Not Applicable Company Secretaries

XIV. Address for Correspondence: Sd/-

The Company Secretary (A.N. Kukreja)
HB Stockholdings Limited Proprietor
Plot No. 31, Echelon Institutional Area, FCS 1070; CP 2318
Sector-32, Gurugram – 122 001, (Haryana) Peer Review Cert. 875/2020
Ph.: 0124-4675500; Fax: 0124-4370985 Place: New Delhi ICSI Unique Code: S1995DE014900
Email: [email protected] Date: 18th May, 2022 UDIN: F001070D000337593

18
HB STOCKHOLDINGS LIMITED
INDEPENDENT AUDITORS’ REPORT
To statements as a whole are free from material misstatement, whether due to fraud or error, and
The Members of HB Stockholdings Limited to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of
Report on the Audit of the Standalone Financial Statements assurance, but is not a guarantee that an audit conducted in accordance with SAs will always
detect a material misstatement when it exists. Misstatements can arise from fraud or error and
Opinion are considered material if, individually or in the aggregate, they could reasonably be expected
to influence the economic decisions of users taken on the basis of these standalone financial
We have audited the accompanying Standalone Financial Statements of HB Stockholdings statements.
Limited (“the Company”), which comprise the standalone balance sheet as at 31st March
2022, the Standalone Statement of Profit and Loss (including other comprehensive income), As part of an audit in accordance with SAs, we exercise professional judgment and maintain
Standalone Statement of Cash Flows and the Standalone Statement of Changes in Equity for professional skepticism throughout the audit. We also:
the year then ended, and notes to the Standalone Financial Statements, including a summary of
the significant accounting policies and other explanatory information (hereinafter referred to as • Identify and assess the risks of material misstatement of the standalone financial
“the Standalone Financial Statements”). statements, whether due to fraud or error, design and perform audit procedures
responsive to those risks, and obtain audit evidence that is sufficient and appropriate
In our opinion and to the best of our information and according to the explanations given to us, to provide a basis for our opinion. The risk of not detecting a material misstatement
the aforesaid Standalone Financial Statements give the information required by the Companies resulting from fraud is higher than for one resulting from error, as fraud may involve
Act, 2013, as amended (the “Act”) in the manner so required and give a true and fair view in collusion, forgery, intentional omissions, misrepresentations, or the override of
conformity with the accounting principles generally accepted in India, of the state of affairs of the internal control.
Company as at 31st March, 2022, itsprofit including other comprehensive income, its cash flows
and changes in equity for the year ended on that date. • Obtain an understanding of internal control relevant to the audit in order to design
audit procedures that are appropriate in the circumstances. Under Section 143(3)
Basis of Opinion (i) of the Act, we are also responsible for expressing our opinion on whether the
Company has adequate internal financial controls system in place and the operating
We conducted our audit of the Standalone Financial Statements in accordance with the effectiveness of such controls.
Standards on Auditing (SAs), as specified under Section 143(10) of the Act. Our responsibilities
under those SAs are further described in the Auditor’s Responsibilities for the Audit of the • Evaluate the appropriateness of accounting policies used and the reasonableness of
Standalone Financial Statements section of our report. We are independent of the Company accounting estimates and related disclosures made by the management.
in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India
together with the ethical requirements that are relevant to our audit of the Standalone Financial • Conclude on the appropriateness of management’s use of the going concern
Statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our basis of accounting and, based on the audit evidence obtained, whether a material
other ethical responsibilities in accordance with these requirements and the Code of Ethics. We uncertainty exists related to events or conditions that may cast significant doubt on
believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis the Company’s ability to continue as a going concern. If we conclude that a material
for our opinion on the Standalone Financial Statements. uncertainty exists, we are required to draw attention in our auditor’s report to the
related disclosures in the standalone financial statements or, if such disclosures are
Key Audit Matters inadequate, to modify our opinion. Our conclusions are based on the audit evidence
obtained up to the date of our auditor’s report. However, future events or conditions
We have determined that there are no key audit matter to communicate in our report. may cause the Company to cease to continue as a going concern.

Information other than the Standalone Financial Statements and Auditor’s Report thereon • Evaluate the overall presentation, structure and content of the standalone financial
statements, including the disclosures, and whether the standalone financial
The Company’sBoard of Directors is responsible for the other information. The other information statements represent the underlying transactions and events in a manner that
comprises the Directors report to be included in the Company’s Annual report, but does not achieves fair presentation.
include the standalone financial statements and our auditor’s report thereon.Our opinion on the
standalone financial statements does not cover the other information and we do not express any Materiality is the magnitude of misstatements in the standalone financial statements that,
form of assurance conclusion thereon. individually or in aggregate, makes it probable that the economic decisions of a reasonably
knowledgeable user of the standalone financial statements may be influenced. We consider
In connection with our audit of the standalone financial statements, our responsibility is to read quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in
the other information and, in doing so, consider whether the other information is materially evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements
inconsistent with the standalone financial statements or our knowledge obtained in the audit or in the standalone financial statements.
otherwise appears to be materially misstated.
We communicate with those charged with governance regarding, among other matters, the
If, based on the work we have performed, we conclude that there is a material misstatement planned scope and timing of the audit and significant audit findings, including any significant
of this other information, we are required to report that fact. We have nothing to report in this deficiencies in internal control that we identify during our audit.
regard.
We also provide those charged with governance with a statement that we have complied with
Management’s Responsibility for the Standalone Financial Statements relevant ethical requirements regarding independence, and to communicate with them all
relationships and other matters that may reasonably be thought to bear on our independence,
The Company’s Board of Directors is responsible for the matters stated in Section 134(5) of the
and where applicable, related safeguards.
Act with respect to the preparation of these Standalone Financial Statements that give a true and
fair view of the financial position, financial performance including other comprehensive income, From the matters communicated with those charged with governance, we determine those
cash flows and changes in equity of the Company in accordance with the accounting principles matters that were of most significance in the audit of the standalone financial statements for
generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under the financial year ended 31st March, 2022 and are therefore the key audit matters. We describe
Section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, these matters in our auditor’s report unless law or regulation precludes public disclosure about
as amended. This responsibility also includes maintenance of adequate accounting records in the matter or when, in extremely rare circumstances, we determine that a matter should not be
accordance with the provisions of the Act for safeguarding of the assets of the Company and for communicated in our report because the adverse consequences of doing so would reasonably
preventing and detecting frauds and other irregularities; selection and application of appropriate be expected to outweigh the public interest benefits of such communication.
accounting policies; making judgments and estimates that are reasonable and prudent; and
design, implementation and maintenance of adequate internal financial controls that were Report on other Legal and Regulatory Requirements
operating effectively for ensuring accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the Standalone Financial Statements that give a 1. As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”) issued by the
true and fair view and are free from material misstatement, whether due to fraud or error. Central Government of India in terms of sub-section (11) of Section 143 of the Act, and
on the basis of such checks of the books and records of the Company as we considered
In preparing the Standalone Financial Statements, the Management is responsible for assessing appropriate and according to the information and explanations given to us,we give in the
the Company’s ability to continue as a going concern, disclosing, as applicable, matters related Annexure ‘A’ a statement on the matters specified in the paragraph 3 and 4 of the Order,
to going concern and using the going concern basis of accounting unless the Board of Directors to the extent applicable.
either intends to liquidate the Company or to cease operations, or has no realistic alternative
but to do so. 2. As required by Section 143(3) of the Act, we report that:

Those Board of Directors are also responsible for overseeing the Company’s financial reporting (a) We have sought and obtained all the information and explanations which to the best
process. of our knowledge and belief were necessary for the purposes of our audit.
Auditors’ Responsibility for the Audit of the Standalone Financial Statements
(b) In our opinion, proper books of account as required by law have been kept by the
Our objectives are to obtain reasonable assurance about whether the standalone financial Company so far as it appears from our examination of those books;

19
HB STOCKHOLDINGS LIMITED
(c) The standalone Balance Sheet, the standalone Statement of Profit and Loss Annexure – A to the Auditors’ Report
(including other comprehensive income),the standalone Cash Flow Statement
and the standalone statement of changes in equity dealt with by this Report are in The annexure referred to in Independent Auditor’s Report to the members of HB Stockholdings
agreement with the books of account; Limited on the standalone financial statements for the year ended on 31st March, 2022, We
Report that:
(d) In our opinion, the aforesaid standalone financial statements comply with theIndian 1. a. (A) The Company is maintaining proper records showing full particulars, including
Accounting Standards (Ind AS) specified under Section 133 of the Act read with quantitative details and situation of Property, Plant and Equipment. The
Companies (Indian Accounting Standards) Rules, 2015, as amended. Company does not have any right of use assets.
(B) The company does not have intangible assets.
(e) On the basis of the written representations received from the directors as on 31st b. As explained to us, the management during the year has physically verified the
March, 2022 taken on record by the Board of Directors, none of the directors is Property, Plant and Equipment in a phased periodical manner, which in our opinion
disqualified as on 31st March, 2022 from being appointed as a director in terms of is reasonable, having regard to the size of the company and nature of its assets. No
Section 164 (2) of the Act. material discrepancies were noticed on such physical verification.
c. The Company does not have any immovable property.
(f) With respect to the adequacy of the internal financial controls over financial reporting d. The Company has not revalued any of its Property, Plant and Equipment during the
of the Company and the operating effectiveness of such controls, refer to Annexure year.
‘B’. Our report expresses an unmodified opinion on the adequacy and operating e. There are no proceedings initiated or are pending against the Company for holding
effectiveness of the Company’s internal financial controls over financial reporting. any Benami property under the Prohibition of Benami Property Transactions Act,
1988 and rules made thereunder.
(g) With respect to the other matters to be included in the Auditor’s Report in accordance 2. a. As explained to us, inventories (Investments) have been physically verified by
with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and the management at reasonable intervals during the year. As explained to us the
to the best of our information and according to the explanations given to us: discrepancies noticed on physical verification of inventory as compared to the book
records were not material.
i. The Company has disclosed the impact of pending litigations as at 31st March, b. No working capital limit has been sanctioned and availed by the Company. Hence, the
2022 on its financial position in its financial statements – Refer Note No 41 of reporting requirement of para 3(ii)(b) of the order is not applicable to the Company.
standalone financial statements 3. a. Since the principle business of the Company is to give loans, the reporting
requirement of para 3(iii)(a) is not applicable.
ii. The Company did not have any long-term contracts including derivative
b. During the year the investments made and the terms and conditions of the grant of
contracts for which there were any material foreseeable losses during the year
all loansprovided are not prejudicial to the Company’s interest. During the year, the
ended 31st March, 2022 Company has not provided any guarantee.
c. The schedule of repayment of principal and payment of interest has been stipulated
iii. There were no amounts which were required to be transferred to the Investor
for the loans granted and the repayment/receipts are regular except in case of loans
Education and Protection Fund by the Company.
amounting to Rs. 1,00,000.00 Hundred classified as doubtful and for which provision
towards doubtful recovery have already made in the earlier years.
iv. (a) The Management has represented that, to the best of its knowledge and
d. There are no amount of loan granted which are overdue for more than ninety days
belief, no funds (which are material either individually or in the aggregate)
except in case of loans amounting to Rs. 1,00,000/- Hundred classified as doubtful
have been advanced or loaned or invested (either from borrowed funds or
and for which provision towards doubtful recovery have already made in the earlier
share premium or any other sources or kind of funds) by the company to
years.
or in any other person or entity, including foreign entity (“Intermediaries”),
e. Since the principle business of the Company is to give loans, the reporting
with the understanding, whether recorded in writing or otherwise, that the
requirement of para 3(iii)(e) is not applicable.
intermediary shall, whether, directly or indirectly lend or invest in other
persons or entities identified in any manner whatsoever by or on behalf of f. The Company has not granted any loans or advances in the nature of loans, either
repayable on demand or withoutspecifying any terms or period of repayment to
the company (“Ultimate Beneficiaries”) or provide any guarantee, security
companies, firms, Limited Liability Partnerships or any other parties.Accordingly, the
or the like on behalf of the Ultimate Beneficiaries;
requirement to report on clause 3(iii)(f) of the Order is not applicable to the Company.
(b) The Management has represented that, to the best of its knowledge and 4. In our opinion and according to the information and explanations given to us, the company
belief, no funds (which are material either individually or in the aggregate) has complied with the provision of Section 185 and 186 of the Act, with respect to the loans
and investment made, to the extent applicable to the Company. As per the information
have been received by the company to or in any other person or entity,
and explanation given to us, the Company has not given any guarantee or provided any
including foreign entity (“Funding Parties”), with the understanding,
security in connection with a loan to any other body corporate or person.
whether recorded in writing or otherwise, that the intermediary shall,
5. The Company has neither accepted any deposits from the public nor accepted any amount
whether, directly or indirectly lend or invest in other persons or entities
which are deemed to be depositswithin the meaning of Sections 73 to 76 of the Act and the
identified in any manner whatsoever by or on behalf of the Funding Party
rules made thereunder, to the extent applicable. Accordingly, therequirement to report on
(“Ultimate Beneficiaries”) or provide any guarantee, security or the like on
clause 3(v) of the Order is not applicable to the Company.
behalf of the Ultimate Beneficiaries;
6. The nature of the company’s business/activities is such that maintenance of Cost Records
under Section 148(1) of the Companies Act, 2013 is not applicable to the company.
(c) Based on the audit procedures that have been considered reasonable and
appropriate in the circumstances, nothing has come to our notice that has 7. a. According to the records of the Company, undisputed statutory dues includingGoods
caused us to believe that the representations under sub-clause (i) and (ii) and Service Tax, Provident Fund, Employee’s State Insurance, Income Tax,Customs
Duty, Excise Duty, Value added tax, Cess and other statutory dues to the extent
of Rule 11(e), as provided under (a) and (b) above, contain any material
and as applicable to the company have been generally regularly deposited by the
misstatement.
company during the year with the appropriate authorities. However, there are some
delays in few cases and also non deposit of advance tax instalments.According to
v. The Board of Directors of the Company have proposed final dividend for the
the information and explanations given to us, no undisputed amounts payable in
year which is subject to the approvalof the members at the ensuing Annual respect of the aforesaid dues were outstanding as at 31st March, 2022 for a period
General Meeting. The amountof dividend proposed is in accordance with of more than six months from the date of becoming payable except for advance tax
section 123 ofthe Act, as applicable. instalments of Rs. 8,716.05 Hundred & Rs. 17,432.11 Hundred for June, 2021 and
September, 2021 quarters respectively.
(h) With respect to the matter to be included in the Auditor’s Report under Section b. According to the records of the Company, there are no disputed statutory dues
197(16): that have not been deposited on account of matters pending before appropriate
authorities.
The Company has not paid any managerial remuneration for the year ended 31st March, 2022
8. According to the information and explanations given to us and on the basis of our
to its directors.
examination of the records of the Company, the Company has not surrendered or
disclosed any transactions, previously unrecorded as income in the books of account, in
FOR G. C. AGARWAL & ASSOCIATES the tax assessments under the Income-tax Act, 1961 as income during the year. Hence,
CHARTERED ACCOUNTANTS the para 3(viii) of the order is not applicable to the Company.
FIRM REGISTRATION NO.: 017851N 9. a) In our opinion and according to the information and explanations given to us, the
company has not defaulted in repayment of loan or other borrowing or in the payment
of interest thereon to any lender.
Sd/- b) The Company has not been declared wilful defaulter by any bank or financial
(G C AGARWAL) institution or government or any government authority.
PROPRIETOR c) According to the records of the Company examined by us and the information and
PLACE: GURUGRAM (MEMBERSHIP NO. 083820) explanation given to us terms loans (vehicle loans) taken by the company were
DATE: 18TH MAY, 2022 UDIN: 22083820AKFIAS4945 applied for the purpose for which the loan were obtained.

20
HB STOCKHOLDINGS LIMITED
d) On an overall examination of the standalone financial statements of the Company, Annexure – B to the Auditors’ Report
no funds raised on short-term basishave been used for long-term purposes by the
Company. Report on the Internal Financial Control under clause (i) of sub section 3 of Section 143
e) On the basis of books and records examined by us, the Company has not taken of the Companies Act, 2013 (“the Act”)
any funds from any entity or person on account of or to meet the obligation of its
We have audited the internal financial controls over financial reporting of HB Stockholdings
subsidiary. The Company does not have any associate or joint venture.
Limited (“the Company”) as of 31st March 2022 in conjunction with our audit of the standalone
f) On the basis of books and records examined by us and as explained to us, the financial statements of the Company for the year ended on that date.
Company has not raised any loan during the year on the pledge of securities held in
its subsidiary. Management’s Responsibility for Internal Financial Controls
10. a) The Company has not raised any money by way of initial public offer or further The Company’s management is responsible for establishing and maintaining internal financial
public offer (including debt instruments).Hence, the para 3(x)(a) of the order is not controls based on the internal control over financial reporting criteria established by the Company
applicable to the Company. considering the essential components of internal control stated in the Guidance Note on Audit
b) According to the information and explanations given to us and based on our of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered
examination of the records of the Company, the Company has not made any Accountants of India (‘ICAI’). These responsibilities include the design, implementation and
preferential allotment or private placement of shares or fully or convertible debentures maintenance of adequate internal financial controls that were operating effectively for ensuring
(fully, partly or optionally convertible) during the year. Accordingly, provisions of the orderly and efficient conduct of its business, including adherence to company’s policies,
clause 3 (x)(b) of theOrderis notapplicable to the Company. the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy
11. a) In our opinion and according to the information and explanation given to us, no fraud and completeness of the accounting records, and the timely preparation of reliable financial
by the company or on the Company has been noticed or reported during the course information, as required under the Companies Act, 2013.
of our audit.
Auditors’ Responsibility
b) During the year no report under sub-section 12 of Section 143 of the Act has been
filed in Form ADT-4 as prescribed under Rule 13 of Companies (Audit and Auditors) Our responsibility is to express an opinion on the Company’s internal financial controls over
Rules, 2014 with the Central Government. financial reporting based on our audit. We conducted our audit in accordance with the Guidance
c) According to the information and explanations given to us, there were no whistle Note on Audit of Internal Financial Controls over Financial Reporting (the “Guidance Note”) and
blower complaints received during the year by the Company. the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10)
of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls,
12. In our opinion and according to the information and explanations given to us, the Company
both applicable to an audit of Internal Financial Controls and, both issued by the Institute of
is not a Nidhi Company. Accordingly, paragraph 3(xii) of the order is not applicable.
Chartered Accountants of India. Those Standards and the Guidance Note require that we
13. According to the information and explanations given to us and based on or examinations comply with ethical requirements and plan and perform the audit to obtain reasonable assurance
of the records of the Company, transactions with the related parties are in compliance about whether adequate internal financial controls over financial reporting was established and
with Sections 177 and 188 of the Act where applicable and details of such transaction maintained and if such controls operated effectively in all material respects.
have been disclosed in the standalone financial statements as required by the applicable
accounting standards. Our audit involves performing procedures to obtain audit evidence about the adequacy of the
14. a) In our opinion the company has an adequate internal audit system commensurate internal financial controls system over financial reporting and their operating effectiveness. Our
with the size and the nature of its business. audit of internal financial controls over financial reporting included obtaining an understanding
of internal financial controls over financial reporting, assessing the risk that a material weakness
b) We have considered, the internal audit reports for the year under audit, issued to the
exists, and testing and evaluating the design and operating effectiveness of internal control
company during the year and till date, in determining the nature, timing and extent of
based on the assessed risk. The procedures selected depend on the auditor’s judgment,
our audit procedures.
including the assessment of the risks of material misstatement of the financial statements,
15. According to the information and explanations given to us and based on our examination of whether due to fraud or error.
the record of the Company, the Company has not entered into non-cash transactions with
directors or persons connected with its director. Accordingly, paragraph 3(xv) of the order We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
is not applicable. basis for our audit opinion on the Company’s internal financial controls system over financial
16. a) The Company is required to be registered under Section 45-IA of the Reserve bank reporting.
of India Act, 1934 and such registration has been obtained by the Company. Meaning of Internal Financial Controls over Financial Reporting
b) The Company has not conducted any Non-Banking Financial activities
withoutobtaining a valid Certificate of registration from the Reserve Bank of India as A company’s internal financial control over financial reporting is a process designed to provide
per the Reserve Bank of India Act, 1934.] reasonable assurance regarding the reliability of financial reporting and the preparation of
financial statements for external purposes in accordance with generally accepted accounting
c) The Company is not a Core Investment Company as defined in the regulations made
principles. A company’s internal financial control over financial reporting includes those policies
by Reserve Bank of India. Accordingly, the requirement to report on clause 3(xvi)(c)
and procedures that (1) pertain to the maintenance of records that, in reasonable detail,
of the Order is not applicable to the Company.
accurately and fairly reflect the transactions and dispositions of the assets of the company; (2)
d) There is no Core Investment Company as a part of the Group. Accordingly, provide reasonable assurance that transactions are recorded as necessary to permit preparation
the requirement to report on clause 3(xvi)(d) of the Order is not applicable to the of financial statements in accordance with generally accepted accounting principles, and that
Company. receipts and expenditures of the company are being made only in accordance with authorisations
17. The Company has not incurred cash losses in the current year and the immediately of management and directors of the company; and (3) provide reasonable assurance regarding
preceding financial year. prevention or timely detection of unauthorised acquisition, use, or disposition of the company’s
18. There has been no resignation of the statutory auditor during the year. Hence, the reporting assets that could have a material effect on the financial statements.
para 3(xviii) of the order is not applicable to the Company.
Inherent Limitations of Internal Financial Controls over Financial Reporting
19. According to the information and explanations given to us and on the basis of the financial
ratios, ageing and expected dates of realization of financial assets and payment of Because of the inherent limitations of internal financial controls over financial reporting, including
financial liabilities, other information accompanying the standalone financial statements, the possibility of collusion or improper management override of controls, material misstatements
the our knowledge of the Board of Directors and Management plans and based on our due to error or fraud may occur and not be detected. Also, projections of any evaluation of the
examination of evidence supporting the assumptions, nothing has come to our attention, internal financial controls over financial reporting to future periods are subject to the risk that the
which causes us to believe that any material uncertainty exists as on the date of the audit internal financial control over financial reporting may become inadequate because of changes
report indicating that company is not capable of meeting its liabilities existing at the date in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
of balance sheet as and when they fall due within a period of one year from the balance
Opinion
sheet date. We, however, state that this is not an assurance as to the future viability of the
Company. We further state that our reporting is based on the facts up to the date to the In our opinion, the Company has, in all material respects, an adequate internal financial controls
audit report and we neither give any guarantee nor any assurance that all liabilities falling system over financial reporting and such internal financial controls over financial reporting were
due within a period of one year from the balance sheet date, will get discharged by the operating effectively as at 31st March 2022, based on the internal control over financial reporting
Company and when they fall due. criteria established by the Company considering the essential components of internal control
20. The Company is not required to spend any amount under sub section 5 of Section 135 of stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting
the Act. Accordingly the reporting para 3(xx) of the order is not applicable to the Company. issued by the Institute of Chartered Accountants of India.

FOR G. C. AGARWAL & ASSOCIATES FOR G. C. AGARWAL & ASSOCIATES

CHARTERED ACCOUNTANTS CHARTERED ACCOUNTANTS
FIRM REGISTRATION NO.: 017851N
FIRM REGISTRATION NO.: 017851N

Sd/-
Sd/- (G C AGARWAL)
(G C AGARWAL)
PLACE: GURUGRAM PROPRIETOR1
PLACE: GURUGRAM PROPRIETOR1
DATE: 18TH MAY, 2022 (MEMBERSHIP NO. 083820) DATE: 18TH MAY, 2022 (MEMBERSHIP NO. 083820)

21
HB STOCKHOLDINGS LIMITED
STANDALONE BALANCE SHEET AS AT 31ST MARCH, 2022 STANDALONE STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2022
Amount (` in Hundred) Amount (` in Hundred)

Particulars Notes As at As at  Particulars Notes For the Year ended For the Year ended
31st March, 2022 31st March, 2021   31st March, 2022 31st March, 2021

I. ASSETS INCOME    

Revenue from Operations  

  Financial Assets
(i) Interest Income 19 69,925.75 87,306.93
  a. Cash and cash equivalents 4 423,017.94 128,731.18 (ii) Dividend Income 20 63,213.15 15,530.80

  b. Loans 5 1,285,000.00 505,000.00 (iii) Net Gain on fair value changes 21 1,464,254.83 1,048,447.54

(iv) Net Profit in Equity derivative trading/ Share 173,598.22 168,168.56

  c. Investments 6 4,811,364.97 4,641,770.69 Dealing

  d. Other Financial Assets 7 523,732.66 480,027.33 I Total Revenue from operations 1,770,991.95 1,319,453.83

II Other Income 22 1,092.90 5,712.41

  Non-Financial Assets
III Total Income (I+II) 1,772,084.85 1,325,166.24
  a. Current tax assets (Net) 8 0.00 6,615.36 EXPENSES  

  b. Deferred Tax Assets (Net) 15 1,264.39 0.00 (i) Finance Costs 23 1,306.44 2,924.97

(ii) Employee Benefits Expenses 24 67,240.66 44,578.38

c Property, Plant and Equipment 9 55,232.41 68,976.35
(iii) Depreciation and amortisation expense 9 15,461.52 15,388.27
  d. Other non -financial assets 10 76,775.73 68,072.63 (iv) Others expenses 25 106,650.05 84,933.48

  TOTAL ASSETS 7,176,388.10 5,899,193.54 (v) Contingent Provisions against Standard Assets 3,240.25 0.00

IV Total Expenses (IV) 193,898.92 147,825.10

II. LIABILITIES AND EQUITY
V Profit before Tax (III-IV) 1,578,185.93 1,177,341.14
  LIABILITIES VI Tax Expense  

  Financial Liabilities (i) Current Tax 50,607.52 0.00

(ii) Tax for earlier years 3,769.94 0.00

  a. Borrowings 11 5,385.58 25,783.18
(iii) Deferred Tax (credit) / charge (245.58) (3,100.05)
  b. Other financial liabilities 12 16,544.86 342,079.91 Total Tax Expense (VI) 54,131.88 (3,100.05)

  Non-Financial Liabilities VII Profit for the year (V-VI) 1,524,054.05 1,180,441.19

VIII Other Comprehensive Income  

  a. Current Tax Liabilities (Net) 13 58,107.03 0.00
Items that will not be reclassified to profit or loss  
  b. Provisions 14 110,059.68 105,899.39 - Net change in Fair Value of Investments carried at 26 52,440.25 1,123,933.46
FVTOCI
  c. Deferred Tax Liabilities (Net) 15 0.00 8,142.84
- Remeasurement gain/ (losses) on defined benefit plan (895.65) 2,979.67
  d. Other non-financial liabilities 16 2,256.67 465.54 - Tax effect on above (8,387.05) (11,737.56)

  Equity Other Comprehensive Income for the year, net of tax 43,157.55 1,115,175.57

Total Comprehensive Income for the year (VII +VIII) 1,567,211.60 2,295,616.76
  a. Equity Share Capital 17 768,082.93 768,082.93
IX Earnings per Equity Share of face value of Rs. 27  
  b. Other Equity 18 6,215,951.35 4,648,739.75 10 each (previous year Rs. 10 each)

Basic (Rs.) 21.35 16.54

TOTAL LIABILITIES AND EQUITY 7,176,388.10 5,899,193.54
Diluted (Rs.) 21.35 16.54
Significant accounting policies and notes to 1-48     Significant accounting policies and notes to the 1-48    
the Standalone Financial Statements Standalone Financial Statements
The accompanying notes form an integral part of the Standalone Financial Statements. The accompanying notes form an integral part of the Standalone Financial Statements.
As Per our Report of even date attached As Per our Report of even date attached
FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED

Sd/- Sd/- Sd/- Sd/- Sd/- Sd/-

G C AGARWAL ANIL GOYAL LALIT BHASIN G C AGARWAL ANIL GOYAL LALIT BHASIN
(PROPRIETOR) (DIRECTOR) (CHAIRMAN) (PROPRIETOR) (DIRECTOR) (CHAIRMAN)
MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114 MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114

Sd/- Sd/- Sd/- Sd/-

MAHESH KUMAR GUPTA REEMA MIGLANI MAHESH KUMAR GUPTA REEMA MIGLANI
PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY) PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
DATE: 18TH MAY, 2022 M. NO.: ACS45762 DATE: 18TH MAY, 2022 M. NO.: ACS45762

22
HB STOCKHOLDINGS LIMITED
STANDALONE CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2022 Note: 1. Standalone Cash Flow Statement has been prepared under indirect method
as set out in IND AS-7 (Cash Flow Statement).
Amount (` in Hundred)
2. Cash and Cash Equivalents consist of cash in hand balances with banks.
Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021 Change in Liability arising from Financing Activities
A. CASH FLOW FROM OPERATION ACTIVITIES    
  Profit before tax 1,578,185.93 1,177,341.14 Particuars Borrowings (Refer Note No. 11)
  Adjustment for :
  Depreciation 15,461.52 15,388.27
  Profit on sale of Fixed Assets (1,044.90) 0.00 Balance as on 1st April 2021 25,783.18
  Finance Costs 1,306.44 2,924.97
  Cash generated form operation before Working 1,593,908.99 1,195,654.38
Capital Changes Proceeds/ Repayaments of borrowing (20,397.60)
  Working Capital Changes    
  Increase/ (decrease) in loans and advances (780,000.00) 955,000.00 Non cash change (Fair Value) 0.00
  Increase/ (decrease) in other financial assets (43,705.33) 227,107.52
  Increase/ (decrease) in other non-financial assets (7,714.68) 14,942.92
  Increase /(decrease) in other financial liabilities (325,535.05) 327,812.56 Balance as on 31st March 2022 5,385.58
  Increase /(decrease) in Investment/ Financial assets (1,640,351.73) (2,189,968.40)
  (Increase) /decrease in provisions 3,264.64 (4,749.94)
  (Increase) /decrease in other non financial liabilities 1,791.13 (167.54) The accompanying notes form an integral part of the Standalone Financial Statements.
  Cash Flows before OCI and Tax (1,198,342.03) 525,631.50 As Per our Report of even date attached
  Income Tax paid/ (Refund) (8,192.20) (11,299.34)
FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
  NET CASH FLOW FROM/ (USED) OPERATING ACTIVITIES (1,206,534.23) 536,930.84
CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
B. CASH FLOW FROM INVESTING ACTIVITIES    
Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED
Purchase of Fixed Assets (3,422.68) (668.97)
Sale of Fixed Assets 2,750.00 0.00
Purchase of Investment (170,052.59) (488,549.66)
  Sale of Investment 1,693,250.30 63,607.00 Sd/- Sd/- Sd/-
  NET CASH USED IN INVESTING ACTIVITIES 1,522,525.03 (425,611.63) G C AGARWAL ANIL GOYAL LALIT BHASIN
C. CASH FLOW FROM FINANCING ACTIVITIES     (PROPRIETOR) (DIRECTOR) (CHAIRMAN)
  Borrowings (20,397.60) (18,822.81) MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114
  Interest Paid (1,306.44) (2,924.97)
  NET CASH USED IN FINANCING ACTIVITIES (21,704.04) (21,747.78)
  NET INCRESE/ DECREASE IN CASH & CASH 294,286.76 89,571.43 Sd/- Sd/-
EQUIVALENTS MAHESH KUMAR GUPTA REEMA MIGLANI
  OPENING CASH AND CASH EQUIVALENTS 128,731.18 39,159.75 PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
  CLOSING CASH AND CASH EQUIVALENTS 423,017.94 128,731.18 DATE: 18TH MAY, 2022 M. NO.: ACS45762

STANDALONE STATEMENT OF CHANGES IN EQUITY

a. Equity Share Capital
Particulars Number of Shares Amount (` in Hundred)
As at 01st April, 2020 7,137,665 713,766.50
Changes in Equity share capital during the year - -
As at 31st March, 2021 7,137,665 713,766.50
Changes in Equity share capital during the year - -
As at 31st March, 2022 7,137,665 713,766.50
b. Other Equity Amount (` in Hundred)
Reserves and Surplus Other Total
Statutory Securities Retained Comprehensive
Reserve Premium Earnings Income
Balance as at 01st April, 2020 1,639,611.74 2,307,631.89 (1,597,197.25) 3,076.60 2,353,122.98
Profit for the year 0.00 0.00 1,180,441.19 0.00 1,180,441.19
Other comprehensive income for the year 0.00 0.00 0.00 1,115,175.57 1,115,175.57
Transferred to/(from) 236,088.24 0.00 (233,700.23) (2,388.01) 0.00
Total Comprehensive Income for the year 1,875,699.98 2,307,631.89 (650,456.28) 1,115,864.16 4,648,739.75
Balance as at 31st March, 2021 1,875,699.98 2,307,631.89 (650,456.28) 1,115,864.16 4,648,739.75
Balance as at 01st April, 2021 1,875,699.98 2,307,631.89 (650,456.28) 1,115,864.16 4,648,739.75
Profit for the year 0.00 0.00 1,524,054.05 0.00 1,524,054.05
Other Comprehensive Income for the year 0.00 0.00 0.00 43,157.55 43,157.55
Transferred to/(from) 535,105.00 0.00 616,365.90 (1,151,470.90) 0.00
Total Comprehensive Income for the year 2,410,804.98 2,307,631.89 1,489,963.67 7,550.81 6,215,951.35
Balance as at 31st March, 2022 2,410,804.98 2,307,631.89 1,489,963.67 7,550.81 6,215,951.35
Significant accounting policies and notes to the Standalone Financial Statements 1-48
The accompanying notes form an integral part of the Standalone Financial Statements.
As Per our Report of even date attached
FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED

Sd/- Sd/- Sd/-

G C AGARWAL ANIL GOYAL LALIT BHASIN
(PROPRIETOR) (DIRECTOR) (CHAIRMAN)
MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114

Sd/- Sd/-
MAHESH KUMAR GUPTA REEMA MIGLANI
PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
DATE: 18TH MAY, 2022 M. NO.: ACS45762

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HB STOCKHOLDINGS LIMITED
NOTES FORMING PART OF THE STANDALONE FINANCIAL STATEMENTS FOR these models are taken from observable markets where possible, but where
THE YEAR ENDED 31ST MARCH, 2022 this is not feasible, a degree of judgment is required in establishing fair values.
Judgments include considerations of inputs such as liquidity risk, credit risk and
1. COMPANY INFORMATION / OVERVIEW
volatility. Changes in assumptions about these factors could affect the reported
The Company is public limited company incorporated and domiciled in India having its fair value of financial instruments.
registered office at Gurugram,India. The Company is a Non-banking financial company-
E) Other Estimates:
Non-Systemically important Non-Deposit taking Company registered with Reserve Bank
of India. Equity share of the company are listed on National Stock Exchange and Bombay These include contingent liabilities, useful lives of tangible and intangible assets
stock exchange etc.
2. BASIS OF PREPARATION OF FINANCIAL STATEMENTS 3.2 Financial Instruments
(A) Compliance with Ind As A. Initial Recognition and measurement
The financial statements of the Company comply in all material aspects with Indian All financial assets and financial liabilities are recognised when the company
Accounting Standards (‘Ind AS’) notified under Section 133 of the Companies Act, become a party to the contractual provisions of the instruments.
2013 (‘the Act’) read with the Companies(Indian Accounting Standards) Rules,
Financial assets and financial liabilities are initially measured at fair value.
2015 as ammended from time to time and other relevant provisions of the Act. Any
Transaction costs that are directly attributable to the acquisition or issue of the
directions issued by the RBI or other regulators are implemented as and when they
financial assets and financial liabiities (other than financial assets and financial
become applicable.
liabilities at FVTPL) are added to or deducted from the fair value of the financial
Accounting policies have been consistently applied except where a newly issued assets or financial liabilities, as appropriate, on initial recognition. Transaction
accounting standard is initially adopted or a revision to the existing accounting costs directly attributable to the acquisition of financial assets or financial
standard requires a change in the accounting policy hitherto in use. liabilities at FVTPL are recognised immediately in Statement of profit and loss.
(B) Presentation of Financial Statements B. Classification and Subsequent measurement of Financial
Assets
The Balance Sheet, the statement of Changes in Equity and the Statement of Profit
and Loss are presented in the format prescribed under Division III of Schedule III The company classifies its financial assets into various measurements
of the Act, as amended from time to time, for Non-Banking Financial Companies categories. The classification depends on the contractual terms of the financial
(‘NBFCs’) that are required to comply with Ind AS. The statement of Cash Flows has assets’ cash flows and the company’s business model for managing financial
been presented as per the requirements of Ind AS 7 Statement of Cash Flows. assets.
(C) Basis of preparation a. Amortised Cost
The financial statements have been prepared under the historical cost convention on A financial asset is measured at Amortised Cost if it is held within a
the accrual basis except for certain financial instruments and plan assets of defined business model whose objective is to hold the asset in order to collect
benefit plans, which are measured at fair values at the end of each reporting as contractual cash flows and the contractual terms of the Financial Asset
explained in the accounting policies below. give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.
3. SIGNIFICANT ACCOUNTING POLICIES
b. FVOCI- Debt Instruments
3.1 Use of estimates and judgement
A debt instruments in nature of financial asset is measured at FVOCI
The preparation of financial statements in conformity with Ind AS requires that
when the instrument is held within a business model, the objective of
management make judgments, estimates and assumptions that affect the application
which is achieved by both collecting contractual cash flows and selling
of accounting policies and the reported amounts of revenues, expenses, assets,
financial assets; and the contractual terms of the Financial Asset give rise
liabilities and disclosures of contingent assets and liabilities at the end of the reporting
on specified dates to cash flows that are solely payments of principal and
period. The actual results could differ from these estimates.
interest on the principal amount outstanding.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions
c. FVOCI- Equity Instruments
to accounting estimates are recognised in the period in which the estimate is revised
and in any future periods affected. Equity instruments in nature of financial assets are measured at fair value
through profit or loss, unless the Company’s management has elected
In partiular, information about significant areas of estimation, uncertainity and critical
to classify irrevocably some of its equity instruments at FVOCI, when
judgements in applying accounting policies that have the most significant effect on
such instruments meet the definition of Equity under Ind AS 32 Financial
the amounts recognised in the financial statements is included in the following notes:
Instruments and are not held for trading.
A) Effective Interest Rate (EIR) Method
Financial assets are not reclassified subsequent to their initial recognition,
The Company recognizes interest income / expense using a rate of return that except if and in the period the Company changes its business model for
represents the best estimate of a constant rate of return over the expected life managing financial assets.
of the loans given / taken. This estimation, by nature, requires an element of
d. FVTPL
judgement regarding the expected behaviour and life-cycle of the instruments,
as well as expected changes to other fee income/expense that are integral parts A financial asset which is not classified in any of the above categories are
of the instrument. measured at FVTPL
B) Impairment of loans portfolio Subsequent Measurement of Financial Assets
The measurement of impairment losses across all categories of financial assets Financial assets at amortised cost are subsequently measured at amortised
requires judgement, in particular, the estimation of the amount and timing of cost using effective interest method. The amortised cost is reduced by
future cash flows and collateral values when determining impairment losses impairment losses. Interest income, foreign exchange gains and losses and
and the assessment of a significant increase in credit risk. These estimates are impairment are recognised in Statement of profit and loss. Any gain and loss on
driven by a number of factors, changes in which can result in different levels of derecognition is recognised in Statement of profit and loss.
allowances.
Debt investment at FVOCI are subsequently measured at fair value. Interest
It has been the Company’s policy to regularly review its models in the context of income under effective interest method, foreign exchange gains and losses and
actual loss experience and adjust when necessary. impairment are recognised in Statement of profit and loss. Other net gains and
losses are recognised in OCI. On derecognition, gains and losses accumulated
C) Defined Employee Benefit Assets and Liabilities
in OCI are reclassified to Statement of profit and loss.
The cost of the defined benefit gratuity plan and the present value of the gratuity
For equity investments, the Company makes an election on an instrument-by-
obligation are determined using actuarial valuations. An actuarial valuation
instrument basis to designate equity investments as measured at FVOCI. These
involves making various assumptions that may differ from actual developments
elected investments are measured at fair value with gains and losses arising
in the future. These include the determination of the discount rate, future salary
from changes in fair value recognised in other comprehensive income and
increases and mortality rates. Due to the complexities involved in the valuation
accumulated in the reserves. The cumulative gain or loss is not reclassified to
and its long-term nature, a defined benefit obligation is highly sensitive to
Statement of profit and loss on disposal of the investments. These investments
changes in these assumptions. All assumptions are reviewed at each reporting
in equity are not held for trading. Instead, they are held for strategic purpose.
date.
Dividend income received on such equity investments are recognised in
D) Fair value measurement: Statement of profit and loss.
When the fair values of financial assets and financial liabilities recorded in the Equity investments that are not designated as measured at FVOCI are
balance sheet cannot be measured based on quoted prices in active markets, designated as measured at FVTPL and subsequent changes in fair value are
their fair value is measured using various valuation techniques. The inputs to recognised in Statement of profit and loss.

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HB STOCKHOLDINGS LIMITED
Financial assets at FVTPL are subsequently measured at fair value. Net refundable purchase taxes, after deducting trade discounts and rebates, any directly
gains and losses, including any interest or dividend income, are recognised in attributable cost of bringing the item to its working condition for its intended use and
Statement of profit and loss. estimated costs of dismantling and removing the item and restoring the site on which
it is located.
C. Financial Liabilities and equity instruments
Classification as Debt or Equity Advances paid towards the acquisition of fixed assets, outstanding at each reporting
date are shown under other non-financial assets. The cost of property, plant and
Debt and equity instruments issued by the Company are classified as either equipment not ready for its intended use at each reporting date are disclosed as
financial liabilities or as equity in accordance with the substance of the capital work-in-progress.
contractual arrangements and the definitions of a financial liability and an equity
instrument. Subsequent expenditure related to the asset are added to its carrying amount or
recognised as a separate asset only if it increases the future benefits of the existing
Equity Instruments
asset, beyond its previously assessed standards of performance and cost can be
An equity instrument is any contract that evidences a residual interest in the measured reliably. Other repairs and maintenance costs are expensed off as and
assets of an entity after deducting all of its liabilities. Equity instruments issued when incurred.
by Company are recognised at the proceeds received. Transaction costs of an
equity transaction are recognised as a deduction from equity. Depreciation on PPE is provided on straight-line basis in accordance with the useful
lives specified in Schedule II to the Companies Act, 2013 on a pro-rata basis.
Financial Liabilities
The estimated useful lives used for computation of depreciation are as follows:
Financial liabilities are classified as measured at amortised cost or FVTPL. A
financial liability is classified as at FVTPL if it is classified as held-fortrading or
it is a derivative or it is designated as such on initial recognition. Other financial Particulars Useful life
liabilities are subsequently measured at amortised cost using the effective
interest method. Interest expense and foreign exchange gains and losses are Furniture & fixture 10 years
recognised in Statement of profit and loss. Any gain or loss on derecognition is
Office equipment 5 years
also recognised in Statement of profit and loss.
D. Derecognition Server and networking 6 years
Financial Assets Computer 3 years
The Company derecognises a financial asset when the contractual rights to the
cash flows from the financial asset expire, or it transfers the rights to receive Building 30 years
the contractual cash flows in a transaction in which substantially all of the risks
and rewards of ownership of the financial asset are transferred or in which the Vehicles 8 years
Company neither transfers nor retains substantially all of the risks and rewards
of ownership and does not retain control of the financial asset. Assets costing less than Rs.5000/- are fully depreciated in the period of purchase.
If the Company enters into transactions whereby it transfers assets PPE is derecognised on disposal or when no future economic benefits are expected
recognised on its balance sheet, but retains either all or substantially all of from its use. Any gain or loss arising on derecognition of the asset (caculated as
the risks and rewards of the transferred assets, the transferred assets are not the differnce between the net disposal proceeds and the net carrying amount of the
derecognised. asset) is recognised in other income / netted off from any loss on disposal in the
Financial Liabilities Statement of profit and loss in the year the asset is derecognised.
A financial liability is derecognised when the obligation in respect of the liability 3.5 Intangible Assets
is discharged, cancelled or expires. The difference between the carrying value
Intangible assets comprises of computer software which is amortized over the
of the financial liability and the consideration paid is recognised in Statement of
estimated useful life. The amortization period is lower of license period or 36 months
profit and loss.
which is based on management’s estimates of useful life. Amortisation is calcualted
E. Off-setting using the straight line method to write down the cost of intangible assets over their
Financial assets and financial liabilities are offset and the net amount presented estimated useful lives.
in the balance sheet when, and only when, the Company currently has a legally 3.6 Impairment of Assets other than Financial Assets
enforceable right to set off the amounts and it intends either to settle them
on a net basis or to realise the asset and settle the liability simultaneously. The Company reviews the carrying amounts of its tangible and intangible assets at
the end of each reporting period, to determine whether there is any indication that
F. Impairment
those assets have impaired. If any such indication exists, the recoverable amount of
The Company recognises lifetime expected credit losses (ECL) when there the asset is estimated in order to determine the extent of the impairment loss (if any).
has been a significant increase in credit risk since initial recognition and when Recoverable amount is determined for an individual asset, unless the asset does not
the financial instrument is credit impaired. If the credit risk on the financial generate cash flows that are largely independent of those from other assets or group
instrument has not increased significantly since initial recognition, the Company of assets.
measures the loss allowance for that financial instrument at an amount equal to
12 month ECL. The assessment of whether lifetime ECL should be recognised Recoverable amount is the higher of fair value less costs to sell and value in use.
is based on significant increases in the likelihood or risk of a default occurring In assessing value in use, the estimated future cash flows are discounted to their
since initial recognition. 12 month ECL represents the portion of lifetime ECL present value using a pretax discount rate that reflects current market assessments
that is expected to result from default events on a financial instrument that are of the time value of money and the risks specific to the asset for which the estimates
possible within 12 months after the reporting date. of future cash flows have not been adjusted.

G. Write-offs If the recoverable amount of an asset (or cashgenerating unit) is estimated to be less
than its carrying amount, the carrying amount of the asset (or cash-generating unit)
The gross carrying amount of a financial asset is written-off (either partially is reduced to its recoverable amount.
or in full) to the extent that there is no reasonable expectation of recovering
the asset in its entirety or a portion thereof. This is generally the case when When an impairment loss subsequently reverses, the carrying amount of the asset
the Company determines that the debtor does not have assets or sources of (or a cashgenerating unit) is increased to the revised estimate of its recoverable
income that could generate sufficient cash flows to repay the amounts subject to amount such that the increased carrying amount does not exceed the carrying
the write-off. However, financial assets that are written-off could still be subject amount that would have been determined if no impairment loss had been recognised
to enforcement activities under the Company’s recovery procedures, taking into for the asset (or cash-generating unit) in prior years. The reversal of an impairment
account legal advice where appropriate. Any recoveries made are recognised in loss is recognised in Statement of profit and loss.
statement of profit and loss. 3.7 Investments in Subsidiaries and Asociates
3.3 Cash and Cash Equivalents Investments in subsidiaries and associate are measured at cost less accumulated
Cash and cash equivalents comprise of cash at banks and on hand and short-term impairment, if any.
deposits with an original maturity of three months or less, which are subject to an 3.8 Provisions
insignificant risk of changes in value. Provisions are recognised when there is a present obligation as a result of a past
For the purpose of the statement of cash flows, cash and cash equivalents consist of event, and it is probable that an outflow of resources embodying economic benefits
cash and short- term deposits, as defined above, net of outstanding bank overdrafts will be required to settle the obligation and there is a reliable estimate of the amount
if any, as they are considered an integral part of the Company’s cash management. of the obligation. Provisions are reviewed at each balance sheet date and adjusted to
3.4 Property, Plant and Equipments (PPE) reflect the current best estimate.

Property, plant and equipment (PPE) are measured at cost less accumulated The amount recognised as a provision is the best estimate of the consideration
depreciation and accumulated impairment, if any. Cost of an item of property, plant required to settle the present obligation at the end of the reporting period, taking into
and equipment comprises its purchase price, including import duties and non- account the risks and uncertainties surrounding the obligation.

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HB STOCKHOLDINGS LIMITED
Provisions are determined by discounting the expected future cash flows at a pre-tax D) Superannuation Fund
rate that reflects current market assessments of the time value of money and the risks
The Company makes contribution to the Superannuation scheme, a defined
specific to the liability.
contribution scheme, administered by Life Insurance Corporation of India, which
When there is a possible obligation or a present obligation in respect of which the are charged to the Statement of profit and loss. The Company has no obligation
likelihood of outflow of resources is remote, no provision or disclosure is made. to the scheme beyond its contributions.
3.9 Revenue recognition E) Leave encashment / compensated absences
A) Recognition of interest income on loans The Company provides for the encashment / availment of leave with pay subject
to certain rules. The employees are entitled to accumulate leave subject to
Interest income is recognised in Statement of profit and loss using the effective
certain limits for future encashment / availment. The liability is provided based
interest method for all financial instruments measured at amortised cost,
on the number of days of unutilized leave at each balance sheet date on the
debt instruments measured at FVOCI and debt instruments designated at
basis of an independent actuarial valuation.
FVTPL. The ‘effective interest rate’ is the rate that exactly discounts estimated
future cash payments or receipts through the expected life of the financial 3.11 Finance Costs
instrument.
Finance costs include interest expense computed by applying the effective interest
The calculation of the effective interest rate includes transaction costs and fees rate on respective financial instruments measured at Amortised cost. Financial
that are an integral part of the contract. Transaction costs include incremental instruments include bank term loans, non-convertible debentures, fixed deposits
costs that are directly attributable to the acquisition of financial asset. mobilised, commercial papers, subordinated debts and exchange differences arising
from foreign currency borrowings to the extent they are regarded as an adjustment to
If expectations regarding the cash flows on the financial asset are revised
the interest cost. Finance costs are charged to the Statement of profit and loss.
for reasons other than credit risk, the adjustment is recorded as a positive or
negative adjustment to the carrying amount of the asset in the balance sheet 3.12 Taxation - Current and Deferred Tax
with an increase or reduction in interest income. The adjustment is subsequently
Income tax expense comprises of current tax and deferred tax. It is recognised in
amortised through Interest income in the Statement of profit and loss.
Statement of profit and loss except to the extent that it relates to an item recognised
The Company calculates interest income by applying the EIR to the gross directly in equity or in other comprehensive income.
carrying amount of financial assets other than credit-impaired assets.
A) Current Tax
When a financial asset becomes credit-impaired, the Company calculates
Current tax comprises amount of tax payable in respect of the taxable income
interest income by applying the effective interest rate to the net amortised cost
or loss for the year determined in accordance with Income Tax Act, 1961 and
of the financial asset. If the financial asset cures and is no longer creditimpaired,
any adjustment to the tax payable or receivable in respect of previous years. The
the Company reverts to calculating interest income on a gross basis.
Company’s current tax is calculated using tax rates that have been enacted or
Additional interest and interest on trade advances, are recognised when they substantively enacted by the end of the reporting period.
become measurable and when it is not unreasonable to expect their ultimate
B) Deferred Tax
collection.
Deferred tax assets and liabilities are recognized for the future tax consequences
Income from bill discounting is recognised over the tenure of the instrument so
of temporary differences between the carrying values of assets and liabilities
as to provide a constant periodic rate of return.
and their respective tax bases. Deferred tax liabilities and assets are measured
B) Fees and commission income at the tax rates that are expected to apply in the period in which the liability
is settled or the asset realised, based on tax rates (and tax laws) that have
Fee based income are recognised when they become measurable and when it
been enacted or substantively enacted by the end of the reporting period. The
is probable to expect their ultimate collection.
measurement of deferred tax liabilities and assets reflects the tax consequence
Commission and brokerage income earned for the services rendered are that would follow from the manner in which the Company expects, at the end of
recognised as and when they are due. the reporting period, to recover or settle the carrying amount of its assets and
liabilities.
C) Dividend and interest income on investments
Deferred tax assets are recognized to the extent that it is probable that future
- Dividends are recognised in Statement of profit and loss only when the right taxable income will be available against which the deductible temporary
to receive payment is established, it is probable that the economic benefits difference could be utilized. Such deferred tax assets and liabilities are not
associated with the dividend will flow to the Company and the amount of the recognised if the temporary difference arises from the initial recognition of
dividend can be measured reliably. assets and liabilities in a transaction that affects neither the taxable profit nor
- Interest income from investments is recognised when it is certain that the the accounting profit. The carrying amount of deferred tax assets is reviewed at
economic benefits will flow to the Company and the amount of income can be the end of each reporting period and reduced to the extent that it is no longer
measured reliably. Interest income is accrued on a time basis, by reference to the probable that sufficient taxable profits will be available to allow all or part of the
principal outstanding and at the effective interest rate applicable. asset to be recovered.

3.10 Employee Benefits 3.13 Leases

A) Short-term employee benefits As a lessee

Short-term employee benefits are expensed as the related service is provided. The Company has applied Ind AS 116. For these short term and low value leases,
A liability is recognised for the amount expected to be paid if the Company has the company recognizes the lease payments as an expense in the Statement of Profit
a present legal or constructive obligation to pay this amount as a result of past and Loss on a Straight line basis over the term of lease.
service provided by the employee and the obligation can be estimated reliably. 3.14 Exceptional items
B) Contribution to provident fund and ESIC When items of income and expenses within profit or loss from ordinary activities
Company’s contribution paid/payable during the year to provident fund and are of such size, nature or incidence that their disclosure is relevant to explain the
ESIC is recognised in the Statement of profit and loss. performance of the enterprise for the period, the nature and amount of such items is
disclosed separately as Exceptional items.
C) Gratuity
3.15 Earning Per Share
The Company’s liability towards gratuity scheme is determined by independent
actuaries, using the projected unit credit method. The present value of the The Company reports basic and diluted earnings per equity share. Basic earnings per
defined benefit obligation is determined by discounting the estimated future equity share have computed by dividing net profit/loss attributable to the equity share
cash outflows by reference to market yields at the end of the reporting period holders for the year by the weighted average number of equity shares outstanding
on government bonds that have terms approximating to the terms of the related during the year. Diluted earnings per equity share have been computed by dividing
obligation. Past services are recognised at the earlier of the plan amendment / the net profit attributable to the equity share holders after giving impact of dilutive
curtailment and recognition of related restructuring costs/ termination benefits. potential equity shares for the year by the weighted average number of equity shares
and dilutive potential equity shares outstanding during the year, except where the
The net interest cost is calculated by applying the discount rate to the net results are anti-dilutive.
balance of the defined benefit obligation and the fair value of plan assets. This
cost is included in employee benefit expense in the Statement of profit and loss. 3.16 Cash Flow Statement

Remeasurement gains/ losses- Cash flows are reported using the indirect method, whereby profit for the period
is adjusted for the effects of transactions of a non-cash nature, any deferrals or
Remeasurement of defined benefit plans, comprising of actuarial gains / losses, accruals of past or future operating cash receipts or payments and items of income
return on plan assets excluding interest. Remeasurement gains or losses or expenses associated with investing or financing cash flows. The cash flows from
on long-term compensated absences that are classified as other long-term operating, investing and financing activities of the Company are segregated.
benefits are recognised in Statement of profit and loss.

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HB STOCKHOLDINGS LIMITED
4. CASH AND CASH EQUIVALENT Amount (` in Hundred)
Particulars As at As at
Particulars As at As at 31st March, 2022 31st March, 2021
31st March, 2022 31st March, 2021
C) i) Loans in India
A) Balance with Banks
a) Public Sector 0.00 0.00
- In current and deposit account 402,399.80 108,372.74 b) Others 1,285,000.00 505,000.00
- Drafts on Hand 15,000.00 15,000.00 Total (Gross) 1,285,000.00 505,000.00

B) Cash on Hand 5,618.14 5,358.44 Less: Impairment loss allowance 0.00 0.00

Total 423,017.94 128,731.18 Total (Net) -C (i) 1,285,000.00 505,000.00

ii) Loans outside India 0.00 0.00

5. LOANS Amount (` in Hundred) Less: Impairment loss allowance 0.00 0.00
Particulars As at As at Total (Net) -C (ii) 0.00 0.00
31st March, 2022 31st March, 2021
Total (Net) -C ( i + ii) 1,285,000.00 505,000.00
A) Loans (at amortised cost) :
Note:- Provision for Sub-Standard and doubtful assets has been separately shown in
Others: Note No. 14 (Short term Provisions) instead of netting it from the value of asset. This is
Inter Corporate Loans - Standard* 1,185,000.00 405,000.00 being done as required by “Non-Banking Financial Company -Non-Systemically Important
NonDeposit taking Company (Reserve Bank) Directions, 2016.
Inter Corporate Loans & Deposits -Doubtful 100,000.00 100,000.00
Credit quality of assets
Total (Gross) 1,285,000.00 505,000.00
The table below shows the credit quality and the maximum exposure to credit risk based
Less: Impairment loss allowance 0.00 0.00 on year end stage classification.
Amount (` in Hundred)
Total (Net) 1,285,000.00 505,000.00
Particulars As at As at
B) i) Secured by Tangible Assets 0.00 0.00 31st March, 2022 31st March, 2021
Low credit risk- Stage I 1,185,000.00 405,000.00
ii) Unsecured 1,285,000.00 505,000.00
Significant increase in credit risk- Stage II
Total (Gross) 1,285,000.00 505,000.00 Credit impaired- Stage III 100,000.00 100,000.00
Less: Impairment loss allowance 0.00 0.00 1,285,000.00 505,000.00

1. The amount presented are net of impairment loss allowance.

Total (Net) 1,285,000.00 505,000.00
2. There are no changes in the impairment loss allowances during the period.

6. INVESTMENTS
S. Name of the Company Face Value As at 31st March, 2022 As at 31st March, 2021
No. (Rs.) Qty.(Nos.) Amount (` in Hundred) Qty.(Nos.) Amount (` in Hundred)
(A) INVESTMENTS IN EQUITY INSTRUMENTS  
(a) Quoted Instrument fully paid up Equity Shares(At FVTPL)  
1 ADITYA BIRLA CAPITAL LIMITED 10 40000 43,060.00 -- --
2 ALLCARGO LOGISTICS LIMITED 10 2750 9,839.50 -- --
3 ALPHAGEO INDIA LIMITED 10 17100 52,839.00 -- --
4 AMRIT CORPORATION LIMITED 10 -- -- 132 910.80
5 ARVIN LIQUID GASES LIMITED* 10 10000 0.00 10000 --
6 AUTOMOTIVE AXLES LIMITED 10 1000 17,199.00 -- --
7 BHARAT HEAVY ELECTRICALS LIMITED 2 50000 24,675.00 -- --
8 BHARAT HOTELS LIMITED 10 300 85.35 300 0.00
9 BHARTI AIRTEL LIMITED 5 1000 7,554.00 1000 5,173.00
10 CENTURY TEXTILES AND INDUSTRIES LIMITED 10 -- -- 986 4,581.94
11 CHENNAI PETROLEUM CORPORATION LIMITED 10 19500 24,901.50 -- --
12 CMI LIMITED 10 7 2.14 50000 20,950.00
13 COAL INDIA LIMITED 10 -- -- 3250 4,238.00
14 CRISIL LIMITED 1 -- -- 200 3,672.30
15 DCM SHRIRAM LIMITED 2 45726 517,001.02 45726 228,881.49
16 DOLPHIN OFFSHORE ENTERPRISES I LIMITED 10 10000 -- 10000 418.00
17 DWARIKESH SUGAR INDUSTRIES LTD. 1 -- -- 72500 22,330.00
18 EIH LTD. 2 52601 81,163.34 52601 48,761.13
19 EVEREST INDUSTRIES LIMITED 10 -- -- 2796 8,007.74
20 FINOLEX INDUSTRIES LIMITED 10 -- -- 5000 31,850.00
21 FOODS & INNS LIMITED 1 86200 71,416.70 136200 74,092.80
22 GLOBAL STONE INDIA LIMITED* 10 2000 -- 2000 --
23 GMR INFRASTRUCTURE LIMITED 10 350000 129,150.00 -- --
24 GRAPHITE INDIA LIMITED 2 -- -- 2500 12,797.50
25 GVK POWER & INFRA LTD. 1 60000 -- 60000 1,410.00
26 HARYANA LEATHER CHEMICALS LTD. 10 31347 11,567.04 31347 9,090.63
27 HARYANA PETROCHEMICALS LIMITED* 10 9050 -- 9050 --

27
HB STOCKHOLDINGS LIMITED

S. Name of the Company Face Value As at 31st March, 2022 As at 31st March, 2021
No. (Rs.) Qty.(Nos.) Amount (` in Hundred) Qty.(Nos.) Amount (` in Hundred)
28 HB ESTATE DEVLOPERS LIMITED 10 125400 22,258.50 125400 12,840.96
29 HB PORTFOLIO LIMITED 10 60000 19,770.00 60000 11,430.00
30 HIMACHAL FUTURISTIC COMMUNICATIONS LIMITED 1 -- -- 35000 8,820.00
31 HINDUSTAN ENGINEERING & INDS. LTD.* 10 108 -- 108 --
32 HOTLINE GLASS LIMITED* 10 166382 -- 166382 --
33 HUHTAMAKI INDIA LIMITED 2 -- -- 5000 14,015.00
34 ICP SECURITIES LIMITED* 10 1800 -- 1800 --
35 IDFC FIRST BANK LIMITED 10 50000 19,825.00 -- --
36 INDIA GLYCOLS LIMITED 10 -- -- 1000 4,168.00
37 INDIABULLS HOUSING FINANCE LIMITED 2 15000 23,670.00 -- --
38 INEOS STYROLUTION INDIA LIMITED 10 -- -- 3000 28,074.00
39 IRB INFRASTRUCTURE LIMITED 10 50000 125,775.00 -- --
40 IRIS BUSINESS SERVICES LIMITED 10 16000 16,136.00 -- --
41 ISPAT PROFILES INDIA LIMITED* 10 10000 0.00 10000 --
42 IST LIMITED 10 128032 595,924.94 128032 486,521.60
43 JAI CORP LTD. 1 13000 14,202.50 13000 10,978.50
44 JAI PRAKASH ASSOCIATES LTD. 2 7530773 626,560.31 9208773 632,642.71
45 JAYPEE INFRATECH LTD. 10 -- -- 60000 930.00
46 JINDAL STAINLESS LIMITED 10 6000 12,159.00 -- --
47 JK CEMENT LIMITED 10 1000 24,314.50 -- --
48 JK PAPER LTD. 10 -- -- 7000 10,493.00
49 JP POWER VENTURES LTD. 10 2670000 181,293.00 2495000 81,836.00
50 KARUR VYSYA BANK LIMITED 2 100000 46,300.00 -- --
51 KIRAN OVERSEAS EXPORTS LIMITED* 10 10,000 -- 10000 --
52 KRBL LIMITED 1 9,000 18,135.00 -- --
53 L&T TECHNOLOGY SERVICES LIMITED 10 100 5,102.05 -- --
54 LARSON & TURBO INFOTECH LIMITED 10 100 6,157.00 -- --
55 LCC INFOTECH LIMITED* 2 56300 -- 56300 --
56 LT FOODS LIMITED 1 -- -- 5000 2,912.50
57 LUNAR DIAMONDS LIMITED* 10 21000 -- 21000 --
58 MAWANA SUGARS LTD. 10 10000 13,315.00 10000 3,615.00
59 MERCATOR LTD. 1 -- -- 50000 405.00
60 MMTC LIMITED 1 38750 17,108.13 38750 16,430.00
61 MONTE CARLO FASHIONS LIMITED 10 100 484.55 -- --
62 NAHAR CAPITAL AND FINANCIAL SERVICES LTD. 10 -- -- 3000 3,169.50
63 NATIONAL ALUMINIUM COMPANY LIMITED 5 70000 85,225.00 -- --
64 NBCC (INDIA) LIMITED 1 -- -- 22000 6,402.00
65 NLC LIMITED 10 50000 31,275.00 -- --
66 NUCHEM LIMITED* 10 64755 -- 64755 --
67 NURECEA LIMITED 10 1250 17,029.38 -- --
68 OIL INDIA LTD. 10 -- 0.00 4500 5,519.25
69 OLECTRA GREENTECH LIMITED 10 4000 26,756.00 8000 17,296.00
70 ORISSA EXTRUSIONS LIMITED* 10 10728 -- 10728 --
71 OSWAL AGRO MILLS LTD. 10 30000 8,145.00 30000 3,075.00
72 PARSVNATH DEVLOPERS LIMITED 10 83904 12,669.50 -- --
73 PATHREJA FORGINGS LIMITED* 10 1000 -- 1000 --
74 PRAKASH INDUSTRIES LIMITED 10 350 266.00 -- --
75 PRISM MILLS LIMITED* 10 10000 -- 10000 --
76 PUNJAB WIRELESS LIMITED* 10 100 -- 100 --
77 RALLIS INDIA LIMITED 10 700 1,665.65 -- --
78 RELIANCE INDUSTRIES LTD. 10 26 684.83 -- --
79 RELIANCE INFRASTRUCTURE LIMITED 10 100000 112,600.00 -- --
80 RSWM LIMITED 10 8500 34,684.25 -- --
81 SAJJAN UDYOG EXPORTS LIMITED* 10 23600 -- 23600 --
82 SAREGAMA INDIA LIMITED 10 100 4,828.45 100 1,594.10
83 SATIN CREDITCARE NETWORKS LTD. 10 -- -- 10000 8,570.00
84 SAVANI FINANCIALS LIMITED* 10 7000 987.00 7000 --
85 SEACOAST SHIPPING SERVICES LIMITED 1 50000 6,435.00 -- --
86 SHREYANS INDUSTRIES LIMITED* 10 -- -- 5600 --
87 SRI VASAVI INDUSTRIES LIMITED* 10 10890 -- 10890 --
88 SURYA ROSHANI LIMITED 10 400 1,655.00 -- --

28
HB STOCKHOLDINGS LIMITED

S. Name of the Company Face Value As at 31st March, 2022 As at 31st March, 2021
No. (Rs.) Qty.(Nos.) Amount (` in Hundred) Qty.(Nos.) Amount (` in Hundred)
89 TATA STEEL LIMITED 10 800 10,456.40 -- --
90 THE NEW INDIA ASSURANCE CO LIMITED 10 -- -- 7000 10,804.50
91 TIME TECHNOPLAST LIMITED 1 -- -- 20000 12,070.00
92 U P HOTELS LIMITED* 10 45697 201,523.77 45697 80,905.61
93 UFLEX LIMITED 10 25000 152,225.00 -- --
94 UNITECH LTD. 2 500,000 10,150.00 1900000 31,540.00
95 UPL LIMITED 10 2000 15,394.00 -- --
96 UTI ASSET MANAGEMENT CO LIMITED 10 -- -- 15000 87,390.00
97 VARDHMAN TEXTILES LIMITED 2 2575 11,215.41 -- --
98 VEDANTA LTD. 1 4250 17,146.63 4250 9,717.63
99 VENUS REMEDIES LIMITED 10 20000 53,770.00 15000 41,190.00
100 VODAPHONE IDEA LIMITED 10 -- -- 100000 9,250.00
101 WARDWZARD INNOVATIONS & MOBILITY LIMITED 1 20000 15,420.00 -- --
TOTAL (a) 13025051 3,611,151.35 15324353 2,131,771.21
(b) Quoted Instrument fully paid up Equity Shares(At FVTOCI)
1 GLENMARK PHARMACEUTICALS LIMITED 1 5000 22,110.00 5000 23,227.50
2 GREAVES COTTON LIMITED 2 400 763.60 20400 26,071.20
3 IOL CHEMICALS ABD PHARMACEUTICALS LIMITED 10 7500 26,535.00 5473 30,134.34
4 PUNJAB NATIONAL BANK 2 -- -- 50000 18,325.00
5 RELIANCE INDUSTRIES LIMITED 10 1090 28,710.06 72440 1,451,118.08
TOTAL (b) 13990 78,118.66 153313 1,548,876.12
(c) Quoted Partly Paid up Equity Shares(At FVTPL)
1 BHARTI AIRTEL LIMITED 5 71 281.12 -- --
2 RELIANCE INDUSTRIES LIMITED 10 -- -- 26 283.53
3 SATIN CREDITCARE NETWORKS LTD. 10 -- -- 4500 2,025.00
TOTAL (c ) 71 281.12 4526 2,308.53
(d ) Unquoted Fully Paid up Equity Shares(At FVTPL)
1 KESORAM TEXTILE LIMITED 10 172 -- 172 --
TOTAL (d) 172 0 172 0
(e) Unquoted Fully Paid up Equity Shares in Wholly Owned Subsidiary (At Cost)
1 MOUNT FINANCE LIMITED 10 830006 83,000.60 830006 83,000.60
TOTAL (e) 830006 83,000.60 830006 83,000.60
TOTAL INVESTMENTS IN EQUITY -A (a+b+c+d+e) 13869290 3,772,551.73 16312370 3,765,956.46
(B) INVESTMENTS IN PREFERENCE INSTRUMENTS
(a) Unquoted 9% Redeemable Preference Shares (Units) (At Cost)
1 HB ESTATE DEVELOPERS LTD SERIES 2 TRANCH 2 100 275000 275,041.25 275000 275,041.25
2 HB ESTATE DEVELOPERS LTD SERIES 2 TRANCH 3 100 550000 550,082.50 550000 550,082.50
TOTAL INVESTMENTS IN PREFERENCE -B 825000 825,123.75 825000 825,123.75
(C) INVESTMENTS IN MUTUAL FUNDS
(a ) Quoted Mutual Funds (Units) (At FVTPL)
1 NIPPON INDIA MUTUAL FUND ETF LIQUID BeES 1000 10730 107,300.67 2533 25,332.34
2 DSP MUTUAL FUND LIQUID ETF 1000 10639 106,388.82 2536 25,358.14
TOTAL INVESTMENTS IN MUTUAL FUNDS -C 21369 213,689.49 5069 50,690.48
TOTAL INVESTMENTS (A+B+C) 14715659 4,811,364.97 17142439 46,41,770.69

Particulars As at 31st March, 2022 As at 31st March, 2021

Amount (` in Hundred) Amount (` in Hundred)
Aggregate cost of quoted investment 3,394,680.45 3,189,834.85
Carrying amount/ fair value of quoted investment 3,903,240.62 3,733,646.34
Aggregate cost of unquoted investment 908,124.35 908,124.35
Notes:
(*) Listed but not quoted
1. All above investments are in India itself
7. OTHER FINANCIAL ASSETS Amount (` in Hundred) 8. CURRENT TAX ASSETS (NET) Amount (` in Hundred)

Particulars As at As at Particulars As at As at
31st March, 2022 31st March, 2021 31st March, 2022 31st March, 2021
Security Deposits* 345,235.00 345,235.00
Tax deducted at source (Net of provision 0.00 6615.36
Interest accured on loans / Inter Corporate 60,695.04 47,051.00 for Income tax of Rs. Nil (Previous year
Deposits Rs.494.67/- Hundred))

Advance to others 70,197.91 70,000.00

Total 0.00 6,615.36
Advance to related parties 47,604.71 17,741.33
Total 523,732.66 480,027.33

(*) Includes Rental Deposits given to related Party namely HB Estate Developers Ltd.
Rs. 345,000.00/- Hundred (Previous Year Rs 345,000.00/- Hundred)

29
HB STOCKHOLDINGS LIMITED
The components of Income Tax expenses : Amount (` in Hundred) 11. BORROWINGS Amount (` in Hundred)
Particulars For the year ended For the year ended Particulars As at As at
31st March, 2022 31st March, 2021 31st March, 2022 31st March, 2021
Current tax 50,607.52 0.00 (A) In India
Adjustments in respect of current income 3,769.94 0.00
tax of prior years At Amortised Cost:

Deferred tax relating to origin and (245.58) (3,100.05) Term loan from Bank 5,385.58 25,783.18
reversal of temporary differences
Outside India 0.00 0.00
Income tax expense reported in 54,131.88 (3,100.05)
statement of profit and loss (B) Out of above
Income tax recognised on Other Secured against Hypothecation of Vehicle 5,385.58 25,783.18
Comprhensive Income (OCI) financed
Deferred tax related to items recognised
in OCI during the period: Unsecured 0.00 0.00

- Realised gain on equity instruments 9,161.65 (11,242.89) Total 5,385.58 25,783.18

at FVTOCI
(*) The Loan taken are at Interest rate of 8.25%
- 'Inome tax on realised gain on sale of (17,548.70) (494.67)
equity instruments at FVTOCI
- Maturity Profile of Secured Term Loan from banks are as under:
Income tax charged to OCI (8,387.05) (11,737.56)

Reconciliation of the total tax charge:  Particulars 0-1 Years 1-2 Years
The tax charge shown in the Statement of Profit and Loss differ from the tax charge that
would apply if all the profits had been charged at India corporate tax rate. A reconciliation - Vehicle Loan from HDFC Bank 5,385.58 Nil
between the tax expense and the accounting profit multiplied by India’s domestic tax rate
for the year ended 31st March, 2022 and year ended 31st March, 2021 is, as follows: - The company has not defaulted on any loans payable during the year.
Amount (` in Hundred)
12. OTHER FINANCIAL LIABILITIES Amount (` in Hundred)
Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021 Particulars As at As at
Accounting Profit Before Tax 1,578,185.93 1,177,341.14 31st March, 2022 31st March, 2021
Applicable Stautory Enacted Income 25.168 25.168 Expenses payable 16,544.86 342,079.91
Tax Rate Total 16,544.86 342,079.91
Computed Tax Expenses 397,197.83 296,313.22
- Adjustments due to brought forward (225,393.64) (295,407.52) 13. CURRENT TAX LIABILITIES (NET) Amount (` in Hundred)
losses as per tax laws
Particulars As at As at
- Non-deductible tax expenses (net) (121,196.68) (905.70) 31st March, 2022 31st March, 2021
- Adjustments recognised in relation to 3,769.94 - Provisions for tax (Net of adavnce tax/ TDS 58,107.03 0.00
tax of prior years of Rs. 10049.19/- Hundred (Previous year
- Deferred tax relating to origination and (245.58) (3,100.05) Rs. Nil))
reversal of temporary differences
Total 58,107.03 0.00
Income tax expense reported in the 54,131.88 (3,100.05)
Statement of Profit and Loss
14. PROVISIONS Amount (` in Hundred)
9. PROPERTY, PLANT & EQUIPMENT Amount (` in Hundred)
Particulars As at As at
Particulars Air Office Vehicles Data Total 31st March, 2022 31st March, 2021
Conditioners Equipment Processing Provision for Employee Benefits
Machine
Leave Encashment 3,467.53 2,547.49
GROSS BLOCK   Others
As at 31st March, 2021 7,185.55 22,533.62 179,566.23 6,069.02 215,354.42 Contingent provision against Standard Assets 6,592.15 3,351.90
Additions during the year 0.00 1,350.00 0.00 2,072.68 3,422.68 Sub Standard & Doubtful Assets 100,000.00 100,000.00
Deletions during the year 0.00 0.00 34,102.01 0.00 34,102.01 Total 110,059.68 105,899.39
As at 31st March, 2022 7,185.55 23,883.62 145,464.22 8,141.70 184,675.09
ACCUMULATED   15. DEFERRED TAX ASSETS/LIABILITIES (NET) Amount (` in Hundred)
DEPRECIATION
Particulars As at As at
As at 31st March, 2021 7,108.39 21,462.31 112,229.63 5,577.74 146,378.07 31st March, 2022 31st March, 2021
Additions during the year 0.00 832.60 13,799.16 829.76 15,461.52 Deferred tax liability in relation to: 2,081.24 11,242.89
Financial Assets carried at fair valued through
Adjustment during the 0.00 0.00 32,396.91 0.00 32,396.91
Other Comprehensive Income
year
(A) 2,081.24 11,242.89
As at 31st March, 2022 7,108.39 22,294.91 93,631.88 6,407.50 129,442.68
Deferred tax assets
NET BLOCK   Diffrence between Depreciation as per 3,345.63 3,100.05
As at 31st March, 2022 77.16 1,588.71 51,832.34 1,734.20 55,232.41 Books of Account and the Income Tax
Act, 1961
As at 31st March, 2021 77.16 1,071.31 67,336.60 491.28 68,976.35
(B) 3,345.63 3,100.05
10. OTHER NON FINANCIAL ASSETS Amount (` in Hundred) Net Deferred Tax liabilities/ (Assets) (A)-(B) (1,264.39) 8,142.84
Particulars As at As at
31st March, 2022 31st March, 2021 16. OTHER NON-FINANCIAL LIABILITIES Amount (` in Hundred)

Prepaid Expenses 39,807.85 32,093.16 Particulars As at As at

31st March, 2022 31st March, 2021
Recoverable from Tax Authorities 36,967.88 35,979.47
Statutory Dues Payable 2,256.67 465.54
Total 76,775.73 68,072.63 Total 2,256.67 465.54

30
HB STOCKHOLDINGS LIMITED
17. EQUITY SHARE CAPITAL Amount (` in Hundred) i. - There were no buy back of shares during the previous 5 years.
Particulars As at As at j Dividend
31st March, 2022 31st March, 2021 Final dividend distribution to shareholder is recognised as a liability in the period
in which dividend is approved by the shareholders. Any interim dividend paid is
a. Authorised:
recognised on approval by board of directors. Dividend payable is recognised directly
25000000 Equity shares of Rs. 10/- Each 2,500,000.00 2,500,000.00 in equity.
10000000 Redeemable Preference 1,000,000.00 1,000,000.00 Companies are required to pay/ distribute dividend after deducting applicable
Shares of Rs. 10/- each taxes. The remittance of dividend outside India is governed by indian law on foreign
exchange and is also subject to withholding tax at applicable rates.
Total 3,500,000.00 3,500,000.00
k The Company is an Investment company, the objective of the Company is to invest
b. Issued
in long term investments, and distributing the profits of Company in a way that
8788704 Equity Shares of Rs. 10/-Each 878,870.40 878,870.40 shareholders can participate equitably in the Company’s growth, while maintaining
the financial foundation of the Company and ensure sustainable growth.
Total 878,870.40 878,870.40
c. Subscribed and Paid up 18. OTHER EQUITY Amount (` in Hundred)
7137665 Equity Shares of Rs. 10/- Each 713,766.50 713,766.50 Particulars As at As at
fully paid up 31st March, 2022 31st March, 2021
713,766.50 713,766.50 Reserve and Surplus
Add: Forfeited shares 1651039 54,316.43 54,316.43 a. Securities Premium
(Other than Directors) Opening Balance 2,307,631.89 2,307,631.89
Total 768,082.93 768,082.93 Closing Balance 2,307,631.89 2,307,631.89
b. Stautory Reserve (Pursuant to Section
d. Reconciliation of number of equity shares outstanding at the beginning and
45-IC of The RBI Act, 1934)
end of the year :
Opening Balance 1,875,699.98 1,639,611.74
Particulars Number of As at
Addition during the year 535,105.00 236,088.24
Shares 31st March, 2021
Closing Balance 2,410,804.98 1,875,699.98
As at 01st April, 2020 7137665 713,766.50
c. Retained Earning
Issued during the year - 0.00
Opening Balance (650,456.28) (159,7197.25)
As at 31st March, 2021 7137665 713,766.50
Issued during the year - 0.00 Add: Profit for the current year 1,524,054.05 1,180,441.19
As at 31st March, 2022 7137665 713,766.50 Add: Reclassification of Realised Gain on 1,151,470.90 2,388.01
sale of investments from OCI
e. Terms / rights attached to the equity shares Less: Transferred to Statutory Reserves (535,105.00) (236,088.24)
Issued Share capital of the Company has only one class of shares referred to as Closing Balance 1,489,963.67 (650,456.28)
equity shares having Par value of Rs.10/.Each holder of Equity Shares is entitled to d. Other comprehensive income
One vote per share. In the event of the Liquidation of the company,the holder of equity
shares will be entitled to receive any of the remaining assets of the company,after Opening Balance 1,115,864.16 3,076.60
distribution of all Preferential amounts.The distribution will be in proportion to the Add: Remeasurement gain/ (losses) on (895.65) 2,979.67
number of equity shares held by the shareholders. The dividend proposed by the defined benefit plan
board of directors is subject to the approval of the sharehlders in the ensuing Annual Add: Fair value changes of Investments 52,440.25 1,123,933.46
General Meeting except in case of interim dividend. at FVTOCI
f. Shareholders holding more than 5% Equity Shares in the Company: Add: Tax Effects of above (8,387.05) (11,737.56)
Particulars As at 31st March, 2022 As at 31st March, 2021 Less: Reclassification of Realised Gain on (1,151,470.90) (2,388.01)
  sale of investments to retained earning
Number % holding Number of % holding in
of Shares in the class Shares the class Closing Balance 7,550.81 1,115,864.16
Mr. Lalit Bhasin 3678691 51.54% 3678691 51.54% TOTAL OTHER EQUITY 6,215,951.35 4,648,739.75
Description of the nature and purpose of Other Equity
g. Promoter’s Shareholding as at 31st March, 2022 and percentage change in
shareholding during the year as compared to previous year is as follows: - Securities Premium
Securities premium represents amount received in excess of face value of the equity
Promoter Name No. of % of % No. of
shares. The Securities premium can be applied by the company for limited purposes such
Shares as at total Change Shares as at
as issuance of bonus shares, buy back of shares etc. in accordance with the provisions of
31st March, shares during the 31st March,
Section 52 of the Companies Act, 2013.
2022 year 2021
Stautory Reserve
Lalit Bhasin 3678691 51.54 - 3678691
Statutory reserve represents reserve fund created pursuant to Section 45-IC of the RBI
Kanishk Kapur 22500 0.32 - 22500
Act, 1934 through transfer of specified percentage (20%) of net profit every year before
Ayush Kapur 22500 0.32 - 22500 any dividend is declared. The reserve fund can be utilised only for limited purposes as
Manasvin Arora 22500 0.32 - 22500 specified by RBI from time to time and every such utilisation shall be reported to the RBI
within specified period of time from the date of such utilisation.
Mehar Arora 22500 0.32 - 22500
Other Comprehensive Income
HB Corporate Services Limited 20496 0.29 - 20496
Equity Instruments through Other Comprehensive income
Merrygold Investments Limited 9148 0.13 - 9148
Total 3798335 53.22 - 3798335 The Company has elected to recognise changes in the fair value of certain investments
in equity securities in other comprehensive income. These changes are accumulated
within the FVTOCI equity investments reserve within equity. The Company transfers
h. Aggregate number of share issued in cash/ share issued pursuant to contract amounts from this reserve to retained earnings when the relevant equity securities are
without payment being received in cash during the period of five years derecognised.
immedietaly preceedings the reporting date
Remeasurement gain/ (losses) on defined benefit plan
-During the FY 2017-18, pursuant to scheme of arrangement between the Company
and HB Portfolio Ltd and HB Estate Developers Ltd,the issued and paid up equity The Company recognises change on account of remeasurement of the net defined benefit
share capital of the company was reduced by reducing the face value of the equity liability/(asset) as part of other comprehensive income.
shares from Rs. 10/- fully paid up to Rs. 3/- each fully paid.As a result, the issued Retained Earnings
and paid up equity share capital was reduced from Rs. 23,79,22,180 comprising of Retained earnings or accumulated surplus represents total of all profits retained since
23792218 shares of Rs. 10/- each to Rs. 7,13,76,654 comprising of 23792218 shares Company’s inception. Retained earnings are credited with current year profits, reduced
of Rs. 3/- each.Simultaneously, 10 (Ten) equity shares of Rs. 3 each fully paid up by losses, if any, dividend payouts, transfers to General reserve or any such other
stood consolidated into 3 (three) fully paid- up share of Rs. 10/- each resulting in appropriations to specific reserves. Debit balance in retained earnings represents balance
7137665 fully paid-up Equity Shares of Rs. 10/- each after ignoring fractional shares. of accumulated losses.

31
HB STOCKHOLDINGS LIMITED
19. INTEREST INCOME (ON FINANCIAL ASSETS, MEASURED AT AMORTISED COST) Particulars For the year ended For the year ended
Amount (` in Hundred) 31st March, 2022 31st March, 2021
Particulars For the year ended For the year ended Miscellaneous 647.11 3,515.20
31st March, 2022 31st March, 2021 Auditor's Remuneration
Interest on Loans / Inter Corporate Deposit 69,925.75 87,306.93 -Audit Fees 1,650.00 1,650.00
-Tax Audit Fees 250.00 250.00
Total 69,925.75 87,306.93
-Limited Review Reports 300.00 400.00
20. DIVIDEND Amount (` in Hundred) -Certification and others 375.00 375.00
Directors Sitting Fees 5,090.00 4,730.00
Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021 Total 106,650.05 84,933.48

Dividend income from Investment 63,213.15 15,530.80 26. NET GAIN ON FAIR VALUE CHANGES THROUGH OCI Amount (` in Hundred)
Total 63,213.15 15,530.80 Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021
21. NET GAIN/ (LOSS) ON FAIR VALUE CHANGES Amount (` in Hundred)

For the year ended For the year ended Net gain/ (loss) on financial instruments
Particulars
31st March, 2022 31st March, 2021 measured at fair value through OCI

Net gain/ (loss) on financial instruments Realised gain/(loss) loss on equity 1,169,019.60 2,882.68
measured at fair value through profit or loss instruments at FVTOCI
Realised gain/(loss) loss on equity 382,885.19 20,069.71
Unrealised gain/(loss) on equity instruments (1,116,579.35) 1,121,050.78
instruments at FVTPL
at FVTOCI
Unrealised gain/(loss) on equity instruments 1,081,369.64 1,028,377.83
at FVTPL Total 52,440.25 1,123,933.46

Total 1,464,254.83 1,048,447.54 27. EARNING PER SHARE (EPS)

22. OTHER INCOME Amount (` in Hundred) Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021
Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021 Profit/(Loss) for the year Amount (` in 1,524,054.05 1,180,441.19
Hundred)
Interest on Income Tax Refund 48.00 1,025.34
Profit on sale of Fixed Assets 1,044.90 0.00 Weighted average number of Equity Shares 7,137,665 7,137,665
Contingent Provision on Standard Assets 0.00 4,687.07 used in computing basic EPS
written back
Weighted average number of Equity Shares 7,137,665 7,137,665
Total 1,092.90 5,712.41 used in computing diluted EPS

23. FINANCE COST (ON BORROWINGS, AT AMORTISED COST) Amount (` in Hundred) Basic Earnings Per Share (Rs.) 21.35 16.54

Particulars For the year ended For the year ended Diluted Earnings Per Share (Rs.) 21.35 16.54
31st March, 2022 31st March, 2021
Face Value per share (Rs.) 10 10
Interest on Loans 1,306.44 2,924.97
Total 1,306.44 2,924.97 28. RELATED PARTY DISCLOSURES
As per Ind AS 24 on ‘Related Party Disclosures’, the related parties of the Company are as
24. EMPLOYEE BENEFIT EXPENSES Amount (` in Hundred) follows:
Particulars For the year ended For the year ended a) Key Managerial Personnel:
31st March, 2022 31st March, 2021 1. Shri Rupesh Kumar, Company Secretary (Joined on 16.06.2020 and Left on
Salaries and Benefits 63,343.89 39,642.82 24.01.2022)
Contribution to Provident fund and 2,121.56 3,171.68 2. Shri Mahesh Kumar Gupta, Chief Financial Officer
superannuation fund
3. Shri Jag Mohan Lal Suri, (Manager - upto 14.12.2020)
Gratuity 752.52 396.82 4. Shri Naresh Khanna, Manager (w.e.f. 07.06.2021)
Staff welfare 1,022.69 1,367.06
Directors
Total 67,240.66 44,578.38
1. Shri Gulshan Rai (Independent Director)
25. OTHER EXPENSES Amount (` in Hundred) 2. Shri Harbans Lal (Independent Director)
Particulars For the year ended For the year ended 3. Smt. Asha Mehra (Independent Director)
31st March, 2022 31st March, 2021
4. Shri Anil Goyal
Rent/Facility Charges 11,863.93 11,721.48
5. Shri Ashish Kapur
Vehicle Running and Maintenance 7,209.52 7,370.00
Insurance 2,028.91 1,976.66 6. Shri Lalit Bhasin (also see Para ‘b’ below)
Communication 3,114.81 4,025.73 b) Person having control/significant influence /major shareholders
CSR Expenses 3,980.00 2,450.00
1. Shri Lalit Bhasin
Travelling and Conveyance 15,882.57 14,188.36
Printing and Stationery 4,263.47 3,245.46 c) Wholly Owned Subsidiary Company
Office Repairs and Maintenance 1,310.88 1,044.60 1. Mount Finance Ltd.
Depository and custodial 4,234.52 1,219.91
d) Enterprises over which control/significant influence exist of the relatives of
Subscription and Membership 1,585.25 2018.38 persons mentioned in(c) above :-
Misc. Balances written off 12,372.60 0.00
1.RRB Master Securities Delhi Ltd.
Legal and Professional 17,438.22 12,260.12
Advertisement & Publicity 3,535.48 3,640.52 e) Enterprises under direct or indirect common control/significant influence:
Listing Fees 5,400.00 5,400.00 1. HB Estate Developers Ltd.
Business Promotion 4,117.78 3,452.06
2. HB Securities Ltd.

32
HB STOCKHOLDINGS LIMITED
f) Transactions during the financial year ended 31st March, 2022 with Related Parties as under : (ii) Movement in Plan Assets – Gratuity Amount (` in Hundred)
Amount (` in Hundred)
Particulars Gratuity Leave Encashment
Sr. Particulars Nature of Transaction For the For the (Funded) (Unfunded)
No. year ended year ended
31st March, 31st March, Year ended Year ended Year ended Year ended
2022 2021 31st March, 31st March, 31st March, 31st March,
i RRB Master Advances given (net) 14,604.71 16,741.33 2022 2021 2022 2021
Securities Delhi Ltd. Purchase of Investment 5,939,495.58 856,101.21
Fair value of plan assets at 15,382.46 13,410.56 - -
through them
beginning of year
Sale of Investment through 7,590,921.66 557281.39
them Expected return on plan assets 1,115.23 938.74 - -
Net Turnover of Derivative 106,859.40 168,168.56
Trading/Difference in share Employer contributions 0.00 0.00 - -
trading
Receivable at the year end in 14,604.71 16,741.33 Benefits paid 0.00 0.00 - -
respect of Loans & Advances
ii HB Estate Rent/ Facility Charges Paid 10,162.63 10,162.63 Actuarial gain / (loss) 1,538.00 1,033.16 - -
Developers Ltd. (including GST)
Receivable at the year end in 345,000.00 345,000.00 Fair value of plan assets at 18,035.69 15,382.46 - -
respect of Loans & Advances end of year*
iii HB Securities Ltd. Depository Charges 3,374.36 374.67
(*)100% of fund is managed by Insurance Company
iv Mount Finance Ltd. Advance paid 32,000.00 1,000.00
Receivable at the year end in 33,000.00 1,000.00 (iii) The amount to be recognised in the Balance Sheet Amount (` in Hundred)
respect of Loans & Advances
Particulars Gratuity Leave Encashment
v Lalit Bhasin Sitting Fees paid 500.00 550.00
(Funded) (Unfunded)
vi Anil Goyal Sitting Fees paid 980.00 1,010.00
vii Ashish Kapur Sitting Fees paid 400.00 300.00 Year ended Year ended Year ended Year ended
viii Gulshan Rai Sitting Fees paid 1,150.00 1,150.00 31st March, 31st March, 31st March, 31st March,
2022 2021 2022 2021
ix Harbans Lal Sitting Fees paid 1,230.00 1,060.00
x Asha Mehra Sitting Fees paid 830.00 660.00 Present value of obligation-at 12,419.31 10,128.73 3,467.53 2,547.49
xi Naresh Khanna Remuneration & other 18,500.00 Nil the end of the period
services
Fair value of plan assets at end 16,513.07 15,382.46 0.00 0.00
xii Jag Mohan Lal Suri Remuneration & other Nil 10,276.89
of year
services
xiii Mahesh Kumar Remuneration & other 21,083.33 17,101.99 Net liability/(asset) recognized (4,093.76) (5,253.73) 3,467.53 2,547.49
Gupta services in Balance Sheet
ix Rupesh Kumar Remuneration & other 6,010.89 5,230.33
services Funded Status- Surplus/ 4,093.76 5,253.73 (3,467.53) (2,547.49)
(Deficit)
29. RETIREMENT BENEFIT OBLIGATIONS
Disclosure in respect of Employee Benefits pursuant to Ind AS-19
(iv) Expense recognised in the statement of Profit and Loss Amount (` in Hundred)
A) Defined Contributions Plans:
The Company has recognised following expenses in respect of the defined contribution Particulars Gratuity Leave Encashment
plans: (Funded) (Unfunded)
Amount (` in Hundred)
Year ended Year ended Year ended Year ended
Particulars Current Year Previous Year 31st March, 31st March, 31st March, 31st March,
2022 2021 2022 2021
Company Contribution to Provident Fund 2,121.56 2,496.68 Interest cost 734.33 757.23 184.69 391.30

Company Contribution to Superannuation Fund 0.00 675.00 Current Service cost 1,133.42 578.33 742.15 194.91

B) Defined Benefit Plans: Expected return on plan assets (1,115.23) (938.74) 0.00 0.00
Below tables sets forth the changes in the projected benefit obligation and plan assets and Expenses to be recognised 752.52 396.82 926.84 586.21
amounts recognized in the Balance Sheet as of 31st March, 2022 and 31st March, 2021, in P&L
being the respective measurement dates:
(i) Movement in defined benefit obligation Amount (` in Hundred)
(v) Recognised in Other Comprehensive Income Amount (` in Hundred)
Particulars Gratuity Leave Encashment
Particulars Gratuity Leave Encashment
(Funded) (Unfunded)
(Funded) (Unfunded)
Year ended Year ended Year ended Year ended
Year ended Year ended Year ended Year ended
31st March, 31st March, 31st March, 31st March,
31st March, 31st March, 31st March, 31st March,
2022 2021 2022 2021
2022 2021 2022 2021
Present value of obligation 10,128.73 10,817.60 2,547.49 5,590.03 Cumulative unrecognized (5,257.98) (2,200.39) (798.29) (876.21)
-at the beginning of the actuarial (gain)/loss opening.
period B/F
Interest cost 734.33 757.23 184.69 391.30 Remeasurement - Actuarial 422.83 (2,024.43) 488.20 77.92
(gain)/loss -Obligation
Current service cost 1,133.42 578.33 742.15 194.91
Remeasurement - Actuarial (1,538.00) (1,033.16) 0.00 0.00
Benefits paid 0.00 0.00 (495.00) (37,06.67) (gain)/loss -Plan assets

Remeasurements - actuarial 422.83 (2,024.43) 488.20 77.92 Total Acturial (gain)/loss (1,115.17) (3,057.59) 488.20 77.92
(gain)/ loss
Cumulative unrecognized (6,373.15) (5,257.98) (310.09) (798.29)
Present value of obligation 12,419.31 10,128.73 3,467.53 2,547.49 actuarial (gain)/loss opening.
-at the end of the period C/F

33
HB STOCKHOLDINGS LIMITED
(vi) The principal actuarial assumptions used for estimating the Company’s defined 33. DISCLOSURE OF LOANS/ADVANCES IN THE NATURE OF LOANS IN TERMS
benefit obligations are set out below: OF PROVISION OF REGULATION 34 OF THE SEBI (LISTING OBLIGATION AND
DISCLOSURE REQUIREMENTS) REGULATIONS, 2015
Weighted average actuarial Gratuity Leave Encashment
assumptions Particulars Outstanding Max. Outstanding Max. Balance
(Funded) (Unfunded) Balance Balance Balance outstanding
as on 31st outstanding as on 31st during the
Year ended Year ended Year ended Year ended
March, 2022 during the March, 2021 previous
31st March, 31st March, 31st March, 31st March,
year Year
2022 2021 2022 2021
i. Loans & Advances in 33000 33000 1000.00 1000.00
Discount Rate 7.25 % per 7.00 % per 7.25 % per 7.00 % per the nature of loans to
anum anum anum anum Subsidiary.
Expected Rate of increase in 5.00 % per 5.00 % per 5.00 % per 5.00 % per ii. Loans & Advances in Nil Nil Nil Nil
salary anum anum anum anum the nature of loans to
Associates.
Mortality rate IALM IALM IALM IALM iii. Loans & Advances Nil Nil Nil Nil
2012-14 2012-14 2012-14 2012-14 in the nature of loans
Withdrwal Rate- 18 to 30 Years 5.00 % p.a. 5.00 % p.a. 5.00 % p.a. 5.00 % p.a. where there is no
- 30 to 44 Years 3.00 % p.a. 3.00 % p.a. 3.00 % p.a. 3.00 % p.a. repayment schedule ,
no interest or interest
- 44 to 70 Years 2.00 % p.a. 2.00 % p.a. 2.00 % p.a. 2.00 % p.a. below Section 186 of
The assumption of future salary increase takes into account the inflation, seniority, the Companies Act,
promotion and other relevant factors such as supply and demand in employment market. 2013
iv. Loans & Advances in Nil Nil Nil Nil
(vii) Sensitivity Analysis the nature of loans to
For the year ended 31st March, 2022 firms/companies in
Particulars Change in Effect on Effect on leave which directors are
assumption Gratuity encashment interested.
v. Investments by Loanee No. of Amount. No. of Amount.
Discount Rate +1% 11006.17 3079.18 in the Shares of Shares Shares
  -1% 14075.25 3923.61 Parent Company and Nil Nil Nil Nil
Salary Growth Rate +1% 14097.05 3929.59 Subsidiary Company
  -1% 10964.74 3067.89 when the Company has
Attrition Rate +1% 12680.43 3548.64 made loan or advance
in the nature of Loan.
  -1% 12126.21 3376.76
34. DISCLOSURE RELATING TO OUTSTANDING DERIVATIVE EXPOSURES IN SECURITIES
(viii) Estimate of expected benefit payments (In absolute terms i.e. undiscounted) a) Cash Margin amounting to ` 14,604.71/- Hundred (` 16,741.33/- Hundred) on Equity
Amount (` in Hundred) Derivative instruments contracts has been paid and outstanding as at the end of
previous year.
Particulars Gratuity Leave
encashment b) Detail of Open Interest in Equity Stock Futures Contracts as at the year-end 31st
March, 2022
01st April, 2022 to 31st March, 2023 410.41 126.81
Name of Equity Stock Future No. of Units Units
01st April, 2023 to 31st March, 2024 134.95 3,340.72 Contracts (In Nos.) (In Nos.)
01st April, 2024 to 31st March, 2025 134.95 - Long (Short)
01st April, 2025 to 31st March, 2026 142.12 - Adani Ports Ltd 5 1250 Nil
Nil Nil Nil
01st April, 2026 to 31st March, 2027 142.28 -
Bank of Baroda 12 11700 Nil
01st April, 2027 Onwards 11,454.60 - Nil Nil Nil
Bandhan Bank Nil Nil Nil
30. CONTINGENT LIABILITIES AND COMMITMENTS (TO THE EXTENT NOT PROVIDED FOR) 6 1800 Nil
CONTINGENT LIABILITIES: BPCL Nil Nil Nil
a) Income Tax Rs. Nil (Previous Year Rs. Nil) 8 1800 Nil
b) Amount payable in respect of partly paid up shares: Canara Bank 3 1800 Nil
Rs.284.89/- Hundred (previous year Rs. 920.11/- Hundred) 2 5400 Nil
Glenmark Pharma 6 1150 Nil
31. QUANTITATIVE DETAILS 6 1150 Nil
Quantitative information in respect of Investments FVTPL in securities: GMR Infrastructure Limited 8 22500 Nil
8 22500 Nil
EQUITY INSTRUMENTS
HCL Tecnologies Ltd Nil Nil Nil
Particulars Current Year Previous Year 12 700 Nil
Qty. Amount Qty. Amount India Bull Housing & Finance Ltd 24 3100 Nil
(Nos.) (` in Hundred) (Nos.) (` in Hundred) Nil Nil Nil
ITC Ltd 20 3200 Nil
Opening Balance 15329051 2,134,079.74 11778445 819,925.56 31 3200 Nil
Purchases/conversions 5164638 6,368,980.29 4755031 741,779.18 Hind Petro Ltd Nil Nil Nil
7 2700 Nil
Sales/Conversions/Transfer 7468395 6,355,962.80 1204425 476,019.28
L&T Finance Holding Ltd Nil Nil Nil
Closing Balance 13025294 3,611,432.47 15329051 2,134,079.74 1 8924 Nil
Lupin Laboratories Ltd Nil Nil Nil
MUTUAL FUND UNITS
3 850 Nil
Particulars Current Year Previous Year Punjab National Bank Nil Nil Nil
Qty. Amount Qty.(Nos.) Amount 1 16000 Nil
(Nos.) (` in Hundred) (` in Hundred) Petronet LNG Ltd 9 3000 Nil
Nil Nil Nil
Opening Balance 5069 50,690.48 Nil Nil SAIL 34 4750 Nil
Nil Nil Nil
Purchases/conversions 16300 163,079.42 16191 200,792.93
Sun Pharmacuticals Ltd 32 700 Nil
Sales/Conversions/Transfer 0 0.00 11122 150,155.71 8 1400 Nil
Tata Motors Ltd 10 2850 Nil
Closing Balance 21369 213,689.49 5069 50,690.48 8 2850 Nil
Tata Steel Ltd 24 425 Nil
32. DUE TO MICRO, SMALL AND MEDIUM ENTERPRISES Nil Nil Nil
To the extent information available with the company,it has no dues to the Micro,Small and Reliance Industries Ltd 4 250 Nil
medium enterprises as at 31st March, 2022 and 31st March, 2021. 11 250 Nil

34
HB STOCKHOLDINGS LIMITED
35. CAPITAL MANAGEMENT II. Credit risk
The Company’s policy is to maintain a strong capital base so as to maintain investor, Credit risk is the risk that a counter party will not meet its obligations under a financial
creditor and market confidence and to sustain future development of the business. instrument or customer contract, leading to a financial loss.The company is exposed
The company has adequate cash and bank balances. The company monitors its capital to credit risk from its financing activities towards inter corporate loans where no
by careful scrutiny of the cash and bank balances, and a regular assessment of any debt significant impact on credit risk has been identified.
requirements. In the absence of any significant amount of debt, the maintenance of debt
III. Liquidity risk
equity ratio etc. may not be of any relevance to the Company.
Liquidity risk is the risk that the Company may not be able to meet its present and
36. FINANCIAL RISK MANAGEMENT future cash and collateral obligations without incurring unacceptable losses.The
Financial risk factors Company manages its liquidity requirement by analysing the maturity pattern of
The Company’s principal financial liabilities, comprise borrowings and other payables. The Company’s cash flows of financial assets and financial liabilities.
main purpose of these financial liabilities is to purchase certain fixed assets and other The table below summarises the maturity profile of the undiscounted cash flows of
liabilities incurred during the ordianary course of Company’s operations. The Company’s the Company’s financial assets and liabilities.
principal financial assets include Investments, inter corporate deposits, loans, cash and Amount (` in Hundred)
cash equivalents and other receivables. The Company’s activities expose it to a variety of
financial risks: As at 31st March, 2022 Within After Total
I. Market Risk 12 Months 12 Months
Market risk is the risk that the fair value or future cash flows of a financial instrument Financial Assets
will fluctuate because of changes in market prices. Market prices comprise three
types of risk: currency rate risk, interest rate risk and other price risks, such as Cash and cash equivalents 423,017.94 0.00 423,017.94
commodity risk. Financial instruments affected by market risk include loans and Loans 1,285,000.00 0.00 1,285,000.00
borrowings, deposits, investments.
The company is exposed to market risk primarily related to the market value of its Investments 3,825,121.96 986,243.01 4,811,364.97
investments. Other Financial Assets 523,732.66 0.00 523,732.66
Interest Rate Risk
Total 6,056,872.56 986,243.01 7,043,115.57
Interest rate risk is the risk that the fair value of future cash flows of Financial
Instruments will fluctuate because of change in market interest rates.The company Financial Liabilities
does not have exposure to the risk of changes in market interest rate as it has debt
Borrowings
obligations with fixed interest rates which are measured at amortised cost.
Currency risk Other financial liabilities 5,385.58 0.00 5,385.58
Currently company does not have transaction in foreign currencies and hence the Total 16,544.86 0.00 16,544.86
company is not exposed to currency risk.
Total 21,930.44 0.00 21,930.44
Equity Price Risk
(a) Exposure Amount (` in Hundred)
The company is exposed to equity price risk arising from Investments held by
As at 31st March, 2021 Within After Total
the company and classified in the balance sheet as fair value through P&L. To
12 Months 12 Months
manage its price risk arising from investment in equity securities, the company
diversifies its portfolio. Financial Assets
The majority of the company’s equity instruments are listed on the Bombay
Cash and cash equivalents 128,731.18 0.00 128,731.18
stock exchange (BSE) or the National stock exchange (NSE) in India.
(b) Sensitivity analysis- Equity price risk Loans 505,000.00 0.00 505,000.00
The table below sumarise the impact of increase/ decrease of the index on the Investments 2,184,770.22 2,457,000.47 4,641,770.69
company’s equity and the profit for the period. The analysis is based on the
assumption that the equity/ index had increased by 2% or decreased by 2% with Other Financial Assets 480,027.33 0.00 480,027.33
all other variable held constant, and that all the company’s equity instruments Total 3,298,528.73 2,457,000.47 5,755,529.20
moved in line with the Index.
Financial Liabilities
Particulars Impact on Profit & Loss for the year
ended 31st March 2022 Borrowings 20,397.60 5,385.58 25,783.18
31st March, 2022 31st March, 2022
Other financial liabilities 342,079.91 0.00 342,079.91
NSE/ BSE Index - Increase by 2 % 72,228.65 42,681.59
NSE/ BSE Index - Decrease by 2 % (72,228.65) (42,681.59) Total 362,477.51 5,385.58 367,863.09

37. MATURITY ANALYSIS OF ASSETS AND LIABILITIES:

The table shows an analysis of assets and liabilities analysed according to when they are expected to be recovered or settled: Amount (` in Hundred)
Particulars 31st March, 2022 31st March, 2021
Within After Total Within After Total
12 Months 12 Months 12 Months 12 Months
ASSETS
Finacial Assets
Cash and cash equivalents 423,017.94 0.00 423,017.94 128,731.18 0.00 128,731.18
Loans 1,285,000.00 0.00 1,285,000.00 505,000.00 0.00 505,000.00
Investments 3,825,121.96 986,243.01 4,811,364.97 2,184,770.22 2,457,000.47 4,641,770.69
Other Financial Assets 523,732.66 0.00 523,732.66 480,027.33 0.00 480,027.33
Non-Finacial Assets
Current tax assets 0.00 0.00 0.00 6,615.36 0.00 6,615.36
Deferred Tax Assets (Net) 1,264.39 0.00 1,264.39 0.00 0.00 0.00
Property, Plant and Equipment 55,232.41 0.00 55,232.41 68,976.35 0.00 68,976.35
Other non -financial assets 76,775.73 0.00 76,775.73 68,072.63 0.00 68,072.63
TOTAL ASSETS 6,190,145.09 986,243.01 7,176,388.10 3,442,193.07 2,457,000.47 5,899,193.54
LIABILITIES
Financial Liabilities
Borrowings 5,385.58 0.00 5,385.58 20,397.60 5,385.58 25,783.18
Other financial liabilities 16,544.86 0.00 16,544.86 342,079.91 0.00 342,079.91
Non Financial Liabilities
Current Tax Liabilities (Net) 58,107.03 0.00 58,107.03 0.00 0.00 0.00
Provisions 100,059.68 10,000.00 110,059.68 93,557.31 12,342.08 105,899.39
Deferred Tax Liabilities (Net) 0.00 0.00 0.00 8,142.84 0.00 8,142.84
Other non-financial liabilities 2,256.67 0.00 2,256.67 465.54 0.00 465.54
TOTAL LIABILITIES 182,353.82 10,000.00 192,353.82 464,643.20 17,727.66 482,370.86

35
HB STOCKHOLDINGS LIMITED
38. FAIR VALUES
The management assessed that Fair Values of Financial Assets and Liabilities are approximately their carrying values.

39. FAIR VALUE HIERARCHY

The company determines fair values of its financial instruments according to the following hierarchy:
Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities.
Level 2: Other techniques for which all inputs have a significant effect on the recorded fair value are observable, either directly or indirectly.
Level 3: Techniques which use Inputs that have a significant effect on the recorded fair value that are not based on observable market data.

The following table presents the carrying value and fair value of each category of financial assets and liabilities as at 31st March, 2022: Amount (` in Hundred)
Particulars Ammortised Fair value Fair value Total carrying Total Fair Fair value
cost through OCI through P&L value Value Level 1 Level 2 Level 3 Total
Financial Assets  
Cash and cash equivalents 423,017.94 0.00 0.00 423,017.94 423,017.94 0.00 0.00 0.00 0.00
Bank Balance other than above 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00
Loans 1,285,000.00 0.00 0.00 1,285,000.00 1,285,000.00 0.00 0.00 0.00 0.00
Investments
-Quoted shares/Units 0.00 78,118.66 3,825,121.96 3,903,240.62 3,903,240.62 3,903,240.62 0.00 0.00 3,903,240.62
-Unquoted shares/Units 825,123.75 0.00 0.00 825,123.75 825,123.75 0.00 0.00 0.00 0.00
-Subsidiary 83,000.60 0.00 0.00 83,000.60 83,000.60 0.00 0.00 0.00 0.00
Other Financial Assets 523,732.66 0.00 0.00 523,732.66 523,732.66 0.00 0.00 0.00 0.00
Total 3,139,874.95 78,118.66 3,825,121.96 7,043,115.57 7,043,115.57 3,903,240.62 0.00 0.00 3,903,240.62
Financial Liabilities
Borrowings 5,385.58 0.00 0.00 5,385.58 5,385.58 0.00 0.00 0.00 0.00
Other financial liabilities 16,544.86 0.00 0.00 16,544.86 16,544.86 0.00 0.00 0.00 0.00
Total 21,930.44 0.00 0.00 21,930.44 21,930.44 0.00 0.00 0.00 0.00

The following table presents the carrying value and fair value of each category of financial assets and liabilities as at 31st March, 2021: Amount (` in Hundred)
Particulars Ammortised Fair value Fair value Total carrying Total Fair Fair value
cost through OCI through P&L value Value Level 1 Level 2 Level 3 Total
Financial Assets  
Cash and cash equivalents 128,731.18 0.00 0.00 128,731.18 128,731.18 0.00 0.00 0.00 0.00
Loans 505,000.00 0.00 0.00 505,000.00 505,000.00 0.00 0.00 0.00 0.00
Investments

-Quoted shares 0.00 1,548,876.12 2,184,770.22 3,733,646.34 3,733,646.34 3,733,646.34 0.00 0.00 3,733,646.34
-Unquoted shares 825,123.75 0.00 0.00 825,123.75 825,123.75 0.00 0.00 0.00 0.00
-Subsidiary 83,000.60 0.00 0.00 83,000.60 83,000.60 0.00 0.00 0.00 0.00
Other Financial Assets 480,027.33 0.00 0.00 480,027.33 480,027.33 0.00 0.00 0.00 0.00
Total 2,021,882.86 1,548,876.12 2,184,770.22 5,755,529.20 5,755,529.20 3,733,646.34 0.00 0.00 3,733,646.34
Financial Liabilities
Borrowings 25,783.18 0.00 0.00 25,783.18 25,783.18 0.00 0.00 0.00 0.00
Other financial liabilities 342,079.91 0.00 0.00 342,079.91 342,079.91 0.00 0.00 0.00 0.00
Total 367,863.09 0.00 0.00 367,863.09 367,863.09 0.00 0.00 0.00 0.00

40. SCHEDULE AS REQUIRED IN TERMS OF PARAGRAPH 18 OF “NON-BANKING (2) Break-up of (1) (f) above (Outstanding public deposits    
FINANCIAL COMPANY -NON-SYSTEMICALLY IMPORTANT NON-DEPOSIT TAKING inclusive of interest accrued thereon but not paid:
COMPANY (RESERVE BANK) DIRECTIONS, 2016:
  (a) In the form of Unsecured Debentures Nil Nil
Amount (` in Hundred) (Nil) (Nil)
Amount Amount   (b) In the form of partly secured debentures i.e. Nil Nil
Particulars debentures where there is a shortfall in the value (Nil) (Nil)
outstanding overdue
of security
LIABILITIES SIDE :
  (c) Other Public Deposits Nil Nil
(1) Loans and advances availed by the NBFCs inclusive (Nil) (Nil)
of interest accrued thereon but not paid:
  (a) Debentures : Secured Nil Nil ASSETS SIDE : Amount (` in Hundred)
(Nil) (Nil)
: Unsecured Nil Nil (3) Break-up of Loans and Advances including bills Amount
(Nil) (Nil) receivables [other than those included in (4) below] : outstanding *
(other than falling within the meaning of public   (a) Secured Nil
deposits) (Nil)
  (b) Deferred Credits Nil Nil   (b) Unsecured 1,748,540.51
(Nil) (Nil) (917,120.49)
  (c) Term Loans Nil Nil
(Nil) (Nil) * Net of Provisions and includes security deposits etc
  (d) Inter- Corporate Loans and Borrowing Nil Nil (4) Break up of Leased Assets and stock on hire and
(Nil) (Nil) hypothecation loans counting towards AFC activities
  (e) Commercial Paper Nil Nil   (i) Lease assets including lease rentals under sundry debtors :  
(Nil) (Nil)
  (a) Financial lease Nil
  (f) Public Deposits Nil Nil
(Nil)
(Nil) (Nil)
  (g) Other Loans (Vehicle Loan) 5,385.58 Nil   (b) Operating lease Nil
(25,783.18) (Nil) (Nil)

36
HB STOCKHOLDINGS LIMITED

  (ii) Stock on hire including hire charges under sundry debtors:   (6) Borrower group-wise classification of assets financed as in (3) and (4) above:
  (a) Assets on hire Nil Amount (` in Hundred)
(Nil)
  (b) Repossessed Assets Nil Amount net of provisions
(Nil)  
Category
 
  (iii) Other loans counting towards AFC activities Nil Secured Unsecured Total
(Nil) 
  1. Related Parties      
  (a) Loans where assets have been repossessed Nil
(Nil)
  (a) Subsidiaries Nil 33,000.00 330,00.00
  (b) Loans other than (a) above Nil
(Nil) (Nil) (1,000.00) (1,000.00)

(5) Break-up of Investments :  

  (b) Companies in the same group Nil 359,604.71 359,604.71
  Current Investments  
(Nil) (361,741.33) (361,741.33)
  1. Quoted :  
  (i) Shares : (a) Equity 3,611,433.46   (c) Other Related Parties Nil Nil Nil
(2,134,079.74) (Nil) (Nil) (Nil)
(b) Preference Nil
(Nil)   2. Other than Related Parties Nil 1,355,935.80 1,355,935.80
  (ii) Debentures and Bonds Nil (Nil) (554,379.16) (554,379.16)
(Nil)
  (iii) Units of mutual funds 213,689.49   Total Nil 1,748,540.51 1,748,540.51
(506,90.48) (Nil) (917,120.49) (917,120.49)
  (iv) Government Securities Nil
(Nil)
  (v) Others (please specify) Nil (7) Investor group-wise classification of all investments (Current and Long
(Nil) Term) in Shares and Securities (both Quoted and Unquoted):*
2. Unquoted : Amount (` in Hundred)

  (i) Shares : (a) Equity Nil Market Value / Book Value

(Nil)   Category Break up or fair (Net of
(b) Preference Nil value or NAV Provisions)
(Nil)
  1. Related Parties    
  (ii) Debentures and Bonds Nil
(Nil)
  (a) Subsidiaries Nil 83,000.60
  (iii) Units of mutual funds Nil (Nil) (83,000.60)
(Nil)
  (iv) Government Securities Nil   (b) Companies in the same group* 867,152.25 867,152.25
(Nil) (849,394.71) (849,394.71)

  (v) Others (please specify) Nil

  (c) Other Related Parties Nil Nil
(Nil) (Nil) (Nil)
  Long Term investments  
  1. Quoted :     2. Other than Related Parties 3,861,213.11 3,861,213.11
(3,709,375.38) (3,709,375.38)
  (i) Shares : (a) Equity 78,118.66
(1,548,876.12)   Total 4,728,365.36 4,811,365.96
(b) Preference Nil (4,558,770.09) (4,641,770.69)
(Nil)
  (ii) Debentures and Bonds Nil
(Nil) (8) Other Information

  (iii) Units of mutual funds Nil   Particulars (` in Hundred)

(Nil)
  (iv) Government Securities Nil   (i) Gross Non-Performing Assets 100.00
(Nil) (100.00)
  (v) Others (please specify) Nil
  (a) Related Parties Nil
(Nil) (Nil)
  2. Unquoted :  
  (b) Other than Related Parties 100.00
  (i) Shares : (a) Equity 83,000.60
(100.00)
(83,000.60)
(b) Preference 825,123.75   (ii) Net Non-Performing Assets Nil
(825,123.75) (Nil)
  (ii) Debentures and Bonds Nil
(Nil)   (a) Related Parties Nil
(Nil)
  (iii) Units of mutual funds Nil
(Nil)   (b) Other than Related Parties Nil
  (iv) Government Securities Nil (Nil)
(Nil)
  (iii) Assets acquired in satisfaction of debt Nil
  (v) Others (please specify) Nil (Nil)
(Nil)

37
HB STOCKHOLDINGS LIMITED
41. LITIGATION 47. OTHER STATUTORY INFORMATION
The Company is in appeal in respect of various income tax matters.The Contingent liability
in respect thereof is disclosed in note no. 30. Besides,in respect of appeals decided in i The Company does not have any Benami property, where any proceeding has been
favour of the company,the department is in appeals in certain cases. initiated or pending against the Group for holding any Benami property.

In addition,the company is subject to legal proceedings and claims,which have arisen in ii The Company does not have any charges or satisfaction which is yet to be registered
the ordinary course of business.The Company’s management does not reasonably expect with ROC beyond the statutory period.
that the above legal claims and proceedings, when ultimately concluded and decided will
have a meterial and adverse effect on the company’s results of operations or financial iii The Company has complied with the number of layers prescribed under clause
statements. (87) of section 2 of the Act read with Companies (Restriction on number of Layers)
42. LEASE Rules, 2017 for the financial years ended 31st March, 2022 and 31st March,
2021.
Expenses recognised in the statement of profit & loss in respect of short term lease for
` 11,863.93/- Hundred (PY Rs.11,721.48/- Hundred) iv The company did not have any transactions with companies which were struck off
43. SEGMENT REPORTING under section 248 of the Companies Act, 2013 or section 560 of Companies Act,
1956
In the opinion of Management there are no separate reportable segments as per Indian
Accounting Standard (Ind AS-108). v The Company has not traded or invested in Crypto currency or Virtual Currency
44. The Company did not have any long term contracts including derivative contracts for which during the financial year.
there were any material foreseeable losses.
vi The Company has not been declared wilful defaulter by any bank or financial
45. The Company is required to spent Rs.3,707.60/- Hundred (Previous year Rs. Nil) on institution or government or any government authority.
Corporate Social Responsibility(CSR) activities during the year. Amount spent during the
year Rs. 3,980.00/- Hundred (Previous Year Rs. 2,500.00/- Hundred). vii The Company has not advanced or loaned or invested funds to any other person(s)
or entity(ies), including foreign entities (Intermediaries) with the understanding that
Corporate Social Responsibility (CSR) Expenses during the year: - (Rs. in Hundred) the Intermediary shall:
For the For the year
year ended ended (a) directly or indirectly lend or invest in other persons or entities identified in any
Particulars manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or
31st March 31st March
2022 2021
(b) provide any guarantee, security or the like to or on behalf of the Ultimate
i Amount required to be spent by the company 3707.60 2500.00
Beneficiaries
ii during the year 3980.00 2500.00
iii Gross amount spent by the Company during the (272.40) 0.00 viii The Company has not received any fund from any person(s) or entity(ies), including
year foreign entities (Funding Party) with the understanding (whether recorded in writing
iv 0.00 0.00
Shortfall/(Excess) for the year (i-ii) or otherwise) that the Group shall:
v 0.00 0.00
Total of previous years shortfall
vi 0.00 0.00 (a) directly or indirectly lend or invest in other persons or entities identified in any
Previous year shortfall spent during the year manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or
vii
Reason for Shortfall
viii NA NA
Nature of CSR activities: - Promoting healthcare, (b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries,
ix
Promotoing education, Eradicating hunger
ix The Company has not any such transaction which is not recorded in the books of
CSR activities with Related Parties
accounts that has been surrendered or disclosed as income during the year in the tax
Movement of CSR Provisions: - assessments under the Income Tax Act, 1961 (such as, search or survey or any other
Opening Provision 0.00 0.00 relevant provisions of the Income Tax Act, 1961
Created during the year 3707.60 0.00
Utilized during the year 3980.00 0.00 48. The Previous year figures have been regrouped/reclassified,wherever necessary to
Closing Provision confirm to the Current Year’s presentation.
(272.40) 0.00

46. Analytical Ratios: -

Ratio Numerator Denominator 31st 31st % Reasons for
As Per our Report attached on even date
March March Variance change in ratio
2022 2021 by more than FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
25% as com- CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
pared to the
Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED
previous year
Capital to risk Tier I Capital Total risk 119.48% 119.91% -0.36% NA
weighted assets + Tier II Capital weighted assets
ratio (CRAR)
Sd/- Sd/- Sd/-
Tier I CRAR Tier I Capital Total risk 119.35% 119.83% -0.40% NA
G C AGARWAL ANIL GOYAL LALIT BHASIN
weighted assets
(PROPRIETOR) (DIRECTOR) (CHAIRMAN)
Tier II CRAR Tier II Capital Total risk 0.13% 0.08% 62.50% Change in ratio, MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114
weighted assets due to increase
in Tier II capital
Liquidity NA NA NA NA NA NA
Coverage
Ratio* Sd/- Sd/-
MAHESH KUMAR GUPTA REEMA MIGLANI
* The Company is a Non Deposit taking/ accepting Non Banking Finance Company and PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
asset size of the Company is less than Rs. 100 crore, so Liquidity Coverage ratio is not DATE: 18TH MAY, 2022 M. NO.: ACS45762
applicable to the Company.

38
HB STOCKHOLDINGS LIMITED
INDEPENDENT AUDITOR’S REPORT ON CONSOLIDATED FINANCIAL STATEMENTS
To, are considered material if, individually or in the aggregate, they could reasonably be expected
The Members to influence the economic decisions of users taken on the basis of these consolidated financial
HB Stockholdings Limited statements.
Report on the Audit of the Consolidated Financial Statements As part of an audit in accordance with SAs, we exercise professional judgment and maintain
professional skepticism throughout the audit. We also:
Opinion
• Identify and assess the risks of material misstatement of the consolidated financial
We have audited the accompanying consolidated financial statements of HB Stockholdings statements, whether due to fraud or error, design and perform audit procedures responsive
Limited (hereinafter referred to as “the Holding Company”) and its subsidiary (the Holding to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis
company and its subsidiary together referred to as ‘the group’), which comprise the consolidated for our opinion. The risk of not detecting a material misstatement resulting from fraud is
balance sheet as at 31st March 2022, the consolidated statement of profit and loss (including higher than for one resulting from error, as fraud may involve collusion, forgery, intentional
other comprehensive income), the consolidated cash flows statement and the consolidated omissions, misrepresentations, or the override of internal control.
statement of changes in equity for the year then ended, and notes to the consolidated financial
• Obtain an understanding of internal control relevant to the audit in order to design audit
statements, including a summary of the significant accounting policies and other explanatory
procedures that are appropriate in the circumstances. Under Section 143(3)(i) of the
information (hereinafter referred to as “the consolidated financial statements”).
Companies Act, 2013, we are also responsible for expressing our opinion on whether
In our opinion and to the best of our information and according to the explanations given to us, the Company has adequate internal financial controls system in place and the operating
the aforesaid consolidated financial statements give the information required by the Companies effectiveness of such controls.
Act, 2013, (“the Act”) in the manner so required and give a true and fair view in conformity with • Evaluate the appropriateness of accounting policies used and the reasonableness of
the accounting principles generally accepted in India, of the consolidated state of affairs of the accounting estimates and related disclosures made by the management.
Group as at 31st March 2022, its consolidated profit including other comprehensive income,
• Conclude on the appropriateness of management’s use of the going concern basis of
their consolidated cash flows and the consolidated statement of changes in equity for the year
accounting and, based on the audit evidence obtained, whether a material uncertainty
then ended.
exists related to events or conditions that may cast significant doubt on the ability of the
Basis of Opinion Group to continue as a going concern. If we conclude that a material uncertainty exists,
We conducted our audit of the consolidated financial statements in accordance with the we are required to draw attention in our auditor’s report to the related disclosures in the
Standards on Auditing (SAs) specified under section 143(10) of the Act. Our responsibilities consolidated financial statements or, if such disclosures are inadequate, to modify our
under those SAs are further described in the Auditor’s Responsibilities for the Audit of the opinion. Our conclusions are based on the audit evidence obtained up to the date of our
Consolidated Financial Statements section of our report. We are independent of the Group in auditor’s report. However, future events or conditions may cause the Group to cease to
accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India continue as a going concern.
and the relevant provisions of the Act, and we have fulfilled our other ethical responsibilities in • Evaluate the overall presentation, structure and content of the consolidated financial
accordance with the provisions of the Act. We believe that the audit evidence we have obtained statements, including the disclosures, and whether the consolidated financial statements
is sufficient and appropriate to provide a basis for our audit opinion on the consolidated financial represent the underlying transactions and events in a manner that achieves fair
statements. presentation.
Key Audit Matters • Obtain sufficient appropriate audit evidence regarding the financial information of the
We have determined that there are no key audit matter to communicate in our report. entities or business activities within the Group to express an opinion on the consolidated
financial statements. We are responsible for the direction, supervision and performance of
Information other than the Consolidated Financial Statements and Auditor’s Report
the audit of the financial statements of such entities included in the consolidated financial
thereon
statements of which we are the independent auditors.
The Holding Company’s Board of Directors is responsible for the other information. The other
Materiality is the magnitude of misstatements in the consolidated financial statements that,
information comprises the information included in the Annual report, but does not include
individually or in aggregate, makes it probable that the economic decisions of a reasonably
the consolidated financial statements and our auditor’s report thereon. Our opinion on the
knowledgeable user of the standalone financial statements may be influenced. We consider
consolidated financial statements does not cover the other information and we do not express
quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in
any form of assurance conclusion thereon.
evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements
In connection with our audit of the consolidated financial statements, our responsibility is to in the consolidated financial statements.
read the other information and, in doing so, consider whether the other information is materially
We communicate with those charged with governance of the Holding Company and such other
inconsistent with the consolidated financial statements or our knowledge obtained in the audit or
entities included in the consolidated financial statements of which we are the independent
otherwise appears to be materially misstated.
auditors regarding, among other matters, the planned scope and timing of the audit and
If, based on the work we have performed, we conclude that there is a material misstatement significant audit findings, including any significant deficiencies in internal control that we identify
of this other information, we are required to report that fact. We have nothing to report in this during our audit.
regard.
We also provide those charged with governance with a statement that we have complied with
Management’s Responsibility for the Consolidated Financial Statements relevant ethical requirements regarding independence, and to communicate with them all
The Holding Company’s Board of Directors is responsible for the preparation and presentation relationships and other matters that may reasonably be thought to bear on our independence,
of these consolidated financial statements in terms of the requirements of the Act that give a true and where applicable, related safeguards.
and fair view of the consolidated financial position, consolidated financial performance including From the matters communicated with those charged with governance, we determine those
other comprehensive income, consolidated cash flows and consolidated statement of changes matters that were of most significance in the audit of the consolidated financial statements for
in equity of the Group in accordance with the accounting principles generally accepted in India, the financial year ended 31st March, 2022 and are therefore the key audit matters. We describe
including the Indian Accounting Standards ( Ind AS) specified under Section 133 of the Act read these matters in our auditor’s report unless law or regulation precludes public disclosure about
with the Companies (Indian Accounting Standards) Rules, 2015, as amended. The respective the matter or when, in extremely rare circumstances, we determine that a matter should not be
Board of Directors of the companies included in the Group are responsible for maintenance of communicated in our report because the adverse consequences of doing so would reasonably
adequate accounting records in accordance with the provisions of the Act for safeguarding the be expected to outweigh the public interest benefits of such communication.
assets of the Group and for preventing and detecting frauds and other irregularities; the selection
and application of appropriate accounting policies; making judgments and estimates that are Report on Other Legal and Regulatory Requirements
reasonable and prudent; and the design, implementation and maintenance of adequate internal 1. As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”), issued by the
financial controls, that were operating effectively for ensuring the accuracy and completeness of Central Government of India in terms of sub-section (11) of section 143 of the Act, based
the accounting records, relevant to the preparation and presentation of the financial statements on our audit we give in the “Annexure A” a statement on the matters specified in paragraph
that give a true and fair view and are free from material misstatement, whether due to fraud 3(xxi) of the Order.
or error, which have been used for the purpose of preparation of the Consolidated Financial 2. As required by Section 143(3) of the Act, we report, to the extent applicable, that:
Statements by the Directors of the Holding Company, as aforesaid.
(a) We have sought and obtained all the information and explanations which to the best
In preparing the consolidated financial statements, the respective Board of Directors of the of our knowledge and belief were necessary for the purposes of our audit of the
companies included in the Group are responsible for assessing the ability of the Group to aforesaid consolidated financial statements.
continue as a going concern, disclosing, as applicable, matters related to going concern and
(b) In our opinion, proper books of account as required by law relating to preparation of
using the going concern basis of accounting unless management either intends to liquidate the
the aforesaid consolidated financial statements have been kept so far as it appears
Group or to cease operations, or has no realistic alternative but to do so.
from our examination of those books and the reports of the other auditors.
Those respective Board of Directors of the companies included in the Group are responsible for (c) The consolidated balance sheet, the consolidated statement of profit and loss
overseeing the financial reporting process of the Group. (including other comprehensive income), the consolidated statement of changes in
Auditor’s Responsibility for the Audit of the Consolidated Financial Statements equity and the consolidated statement of cash flows dealt with by this Report are in
Our objectives are to obtain reasonable assurance about whether the consolidated financial agreement with the books of account maintained for the purpose of preparation of the
statements as a whole are free from material misstatement, whether due to fraud or error, and consolidated financial statements.
to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of (d) In our opinion, the aforesaid consolidated financial statements comply with the Indian
assurance, but is not a guarantee that an audit conducted in accordance with SAs will always Accounting Standards (Ind AS) specified under Section 133 of the Act read with
detect a material misstatement when it exists. Misstatements can arise from fraud or error and Companies (Indian Accounting Standards) Rules, 2015, as amended.
39
HB STOCKHOLDINGS LIMITED
(e) On the basis of the written representations received from the directors of the Holding (b) The Management has represented that, to the best of its knowledge and
Company as on 31st March, 2022 taken on record by the Board of Directors of the belief, no funds (which are material either individually or in the aggregate)
Holding Company and the reports of respective companies included in the Group, have been received by the Holding Company or its subsidiary company
none of the directors of the Group companies is disqualified as on 31st March, 2022 incorporated in India from any other person or entities, including foreign
from being appointed as a director in terms of Section 164 (2) of the Act. entities (“Funding Parties”), with the understanding, whether recorded
(f) with respect to the adequacy of the internal financial controls over financial reporting in writing or otherwise, that the intermediary shall, whether, directly
of the Group and the operating effectiveness of such controls, refer to our separate or indirectly lend or invest in other persons or entities identified in any
report in “Annexure B”. Our report expresses an unmodified opinion on the adequacy manner whatsoever by or on behalf of the Funding Party (“Ultimate
and operating effectiveness of the Company’s internal financial controls over financial Beneficiaries”) or provide any guarantee, security or the like on behalf of
reporting. the Ultimate Beneficiaries;
(g) With respect to the other matters to be included in the Auditor’s Report in accordance (c) Based on the audit procedures that have been considered reasonable and
with Rule 11 of the Companies (Audit and Auditor’s) Rules, 2014, in our opinion and appropriate in the circumstances, nothing has come to our notice that has
to the best of our information and according to the explanations given to us: caused us to believe that the representations under sub-clause (i) and (ii)
of Rule 11(e), as provided under (a) and (b) above, contain any material
i. The Consolidated financial statements disclosed the impact of pending
misstatement.
litigations on the consolidated financial position of the Group – Refer Note 40 to
the consolidated financial statements; v. The Board of Directors of the Company have proposed final dividend for the
year which is subject to the approval of the members at the ensuing Annual
ii. The Group did not have any long-term contracts including derivative contracts
General Meeting. The dividend declared is in accordance with section 123 of
for which there were any material foreseeable losses;
the Act to the extent it applies to declaration of dividend.
iii. There were no amounts which were required to be transferred to the Investor
(h) With respect to the matter to be included in the Auditor’s Report under section
Education and Protection Fund by the Group Company.
197(16):
iv. (a) The Management has represented that, to the best of its knowledge and
The Group has not paid any managerial remuneration for the year ended 31st March,
belief, no funds (which are material either individually or in the aggregate)
2022 to its directors.
have been advanced or loaned or invested (either from borrowed funds
FOR G C AGARWAL & ASSOCIATES
or share premium or any other sources or kind of funds) by the Holding
Chartered Accountants
Company or its subsidiary company incorporated in India or in any other
Firm Registration No.: 017851N
persons or entities, including foreign entities (“Intermediaries”), with
the understanding, whether recorded in writing or otherwise, that the
intermediary shall, whether, directly or indirectly lend or invest in other Sd/-
persons or entities identified in any manner whatsoever by or on behalf of G. C. AGARWAL
the company (“Ultimate Beneficiaries”) or provide any guarantee, security (PROPRIETOR)
or the like on behalf of the Ultimate Beneficiaries; PLACE : GURUGRAM (Membership No. 083820)
DATE : 18 MAY, 2022
TH
UDIN: 22083820AKFIJY2643

Annexure ‘A’ referred to in paragraph under the heading “Report on other legal and internal financial controls system over financial reporting and their operating effectiveness. Our
regulatory requirements” of our report of even date on the consolidated financial audit of internal financial controls over financial reporting included obtaining an understanding
statements of HB Stockholdings Limited (“The Parent Company”) of internal financial controls over financial reporting, assessing the risk that a material weakness
In terms of the information and explanations sought by us and given by the Company and to the exists, and testing and evaluating the design and operating effectiveness of internal control
best of our knowledge and belief, we state that: based on the assessed risk. The procedures selected depend on the auditor’s judgment,
including the assessment of the risks of material misstatement of the financial statements,
3(xxi). There are no qualifications or adverse remarks in the Companies (Auditors Report)
whether due to fraud or error.
Order (CARO) reports of the Company and its subsidiary company included in the Consolidated
Financial Statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
FOR G C AGARWAL & ASSOCIATES basis for our audit opinion on the Company’s internal financial controls system over financial
Chartered Accountants reporting.
Firm Registration No.: 017851N Meaning of Internal Financial Controls over Financial Reporting
Sd/- A company’s internal financial control over financial reporting is a process designed to provide
G. C. AGARWAL reasonable assurance regarding the reliability of financial reporting and the preparation of
PLACE : GURUGRAM (PROPRIETOR) financial statements for external purposes in accordance with generally accepted accounting
DATE : 18 MAY, 2022
TH
(Membership No. 083820) principles. A company’s internal financial control over financial reporting includes those policies
and procedures that (1) pertain to the maintenance of records that, in reasonable detail,
Annexure – B to the Auditors’ Report accurately and fairly reflect the transactions and dispositions of the assets of the company; (2)
Report on the Internal Financial Control under clause (i) of sub section 3 of Section 143 provide reasonable assurance that transactions are recorded as necessary to permit preparation
of the Companies Act, 2013 (“the Act”) of financial statements in accordance with generally accepted accounting principles, and that
receipts and expenditures of the company are being made only in accordance with authorizations
In conjunction with our audit of the consolidated financial statements of the Company as of and of management and directors of the company; and (3) provide reasonable assurance regarding
for the year ended 31st March 2022, We have audited the internal financial controls over financial prevention or timely detection of unauthorized acquisition, use, or disposition of the company’s
reporting of HB Stockholdings Limited (“the Holding Company”) and its subsidiary company assets that could have a material effect on the financial statements.
which is company incorporated in India, as of that date.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Management’s Responsibility for Internal Financial Controls
Because of the inherent limitations of internal financial controls over financial reporting, including
The Company’s management is responsible for establishing and maintaining internal financial
the possibility of collusion or improper management override of controls, material misstatements
controls based on the internal control over financial reporting criteria established by the Company
due to error or fraud may occur and not be detected. Also, projections of any evaluation of the
considering the essential components of internal control stated in the Guidance Note on Audit
internal financial controls over financial reporting to future periods are subject to the risk that the
of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered
internal financial control over financial reporting may become inadequate because of changes
Accountants of India (‘ICAI’). These responsibilities include the design, implementation and
in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
maintenance of adequate internal financial controls that were operating effectively for ensuring
the orderly and efficient conduct of its business, including adherence to company’s policies, Opinion
the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy In our opinion, the Holding Company and its subsidiary company , in all material respects, an
and completeness of the accounting records, and the timely preparation of reliable financial adequate internal financial controls system over financial reporting and such internal financial
information, as required under the Companies Act, 2013. controls over financial reporting were operating effectively as at 31st March 2022, based on
Auditors’ Responsibility the internal control over financial reporting criteria established by the Company considering
the essential components of internal control stated in the Guidance Note on Audit of Internal
Our responsibility is to express an opinion on the Company’s internal financial controls over
Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants
financial reporting based on our audit. We conducted our audit in accordance with the Guidance
of India.
Note on Audit of Internal Financial Controls over Financial Reporting (the “Guidance Note”) and
FOR G C AGARWAL & ASSOCIATES
the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10)
Chartered Accountants
of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls,
Firm Registration No.: 017851N
both applicable to an audit of Internal Financial Controls and, both issued by the Institute of
Chartered Accountants of India. Those Standards and the Guidance Note require that we
comply with ethical requirements and plan and perform the audit to obtain reasonable assurance Sd/-
about whether adequate internal financial controls over financial reporting was established and G. C. AGARWAL
maintained and if such controls operated effectively in all material respects. PLACE : GURUGRAM (PROPRIETOR)
Our audit involves performing procedures to obtain audit evidence about the adequacy of the DATE : 18 MAY, 2022
TH
(Membership No. 083820)

40
HB STOCKHOLDINGS LIMITED
CONSOLIDATED BALANCE SHEET AS AT 31ST MARCH, 2022 CONSOLIDATED STATEMENT OF PROFIT AND LOSS FOR THE YEAR ENDED 31ST MARCH, 2022
Amount (` in Hundred) Amount (` in Hundred)

Particulars Notes As at As at  Particulars Notes For the Year ended For the Year ended
31st March, 2022 31st March, 2021   31st March, 2022 31st March, 2021

INCOME    
I. ASSETS
Revenue from Operations  
  Financial Assets
(i) Interest Income 19 69,925.75 87,306.93
  a. Cash and cash equivalents 4 424,171.35 130,026.27 (ii) Dividend Income 20 63,213.15 15,530.80

(iii) Net Gain on fair value changes 21 1,464,254.83 1,048,447.54

  b. Loans 5 1,285,000.00 505,000.00
(iv) Net Profit in Equity derivative trading/ Share 173,598.22 168,168.56
  c. Investments 6 4,728,364.37 4,558,770.09 Dealing

I Total Revenue from operations 1,770,991.95 1,319,453.83

  d. Other Financial Assets 7 490,936.06 479,230.73
II Other Income 22 1,092.90 5,712.41
  Non-Financial Assets
III Total Income (I+II) 1,772,084.85 1,325,166.24

  a. Current tax assets (Net) 8 0.00 6,615.36 EXPENSES  

(i) Finance Costs 23 1,306.44 2,924.97

  b. Deferred Tax Assets (Net) 15 1,264.39 0.00
(ii) Employee Benefits Expenses 24 67,240.66 44,578.38
  c. Property, Plant and Equipment 9 61,015.42 78,030.55
(iii) Depreciation and amortisation expense 9 18,732.71 18,659.46

  d. Other non -financial assets 10 78,788.23 70,085.13 (iv) Others expenses 25 108,827.13 86,853.36

(v) Contingent Provisions against Standard Assets 3,240.25 0.00

  TOTAL ASSETS 7,069,539.82 5,827,758.13
IV Total Expenses (IV) 199,347.19 153,016.17
II. LIABILITIES AND EQUITY V Profit/ (Loss) Before Tax (III-IV) 1,572,737.66 1,172,150.07

  LIABILITIES VI Tax Expense  

(i) Current Tax 50,607.52 0.00

  Financial Liabilities
(ii) Tax for earlier years 3,769.94 0.00
  a. Borrowings 11 5,385.58 25,783.18 (iii) Deferred Tax (credit) / charge (245.58) (3,100.05)

  b. Other financial liabilities 12 16,727.76 372,227.41 Total Tax Expense (VI) 54,131.88 (3,100.05)

VII Profit/(Loss) for the year (V-VI) 1,518,605.78 1,175,250.12

  Non-Financial Liabilities
VIII Other Comprehensive Income  
  a. Current Tax Liabilities (Net) 13 58,107.03 0.00 Items that will not be reclassified to profit or loss  

  b. Provisions 14 110,059.68 105,899.39 - Net change in Fair Value of Investments carried at 26 52,440.25 1,123,933.46
FVTOCI
  c. Deferred Tax Liabilities (Net) 15 0.00 8,142.84 - Remeasurement gain/ (losses) on defined benefit plan (895.65) 2,979.67

  d. Other non-financial liabilities 16 2,256.67 465.54 - Tax effect on above (8,387.05) (11,737.56)

Other Comprehensive Income for the year, net of tax 43,157.55 1,115,175.57
  Equity
Total Comprehensive Income for the year (VII +VIII) 1,561,763.33 2,290,425.69
  a. Equity Share Capital 17 768,082.93 768,082.93 IX Earnings per Equity Share of face value of Rs. 27  
10 each (previous year Rs. 10 each)
  b. Other Equity 18 6,108,920.17 4,547,156.84
Basic (Rs.) 21.28 16.47
  TOTAL LIABILITIES AND EQUITY 7,069,539.82 5,827,758.13 Diluted (Rs.) 21.28 16.47

Significant Accounting Policies and notes to the 1-47    

Significant Accounting Policies and notes to 1-47    
Consolidated Financial Statements
the Consolidated Financial Statements

The accompanying notes form an integral part of the Consolidated Financial Statements. The accompanying notes form an integral part of the Consolidated Financial Statements.
As Per our Report of even date attached As Per our Report of even date attached
FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED

Sd/- Sd/- Sd/- Sd/- Sd/- Sd/-

G C AGARWAL ANIL GOYAL LALIT BHASIN G C AGARWAL ANIL GOYAL LALIT BHASIN
(PROPRIETOR) (DIRECTOR) (CHAIRMAN) (PROPRIETOR) (DIRECTOR) (CHAIRMAN)
MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114 MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114

Sd/- Sd/ Sd/- Sd/

MAHESH KUMAR GUPTA REEMA MIGLANI MAHESH KUMAR GUPTA REEMA MIGLANI
PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY) PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
DATE: 18TH MAY, 2022 M. NO.: ACS45762 DATE: 18TH MAY, 2022 M. NO.: ACS45762

41
HB STOCKHOLDINGS LIMITED
CONSOLIDATED CASH FLOW STATEMENT FOR THE YEAR ENDED 31ST MARCH, 2022
Amount (` in Hundred)
  Particulars For the year ended For the year ended   Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021 31st March, 2022 31st March, 2021
A. CASH FLOW FROM OPERATION ACTIVITIES       OPENING CASH AND CASH EQUIVALENTS 130,026.27 40,374.74
  Profit before tax 1,572,737.66 1,172,150.07   CLOSING CASH AND CASH EQUIVALENTS 424,171.35 130,026.27
  Adjustment for :
Note: 1. Consolidated Cash Flow Statement has been prepared under indirect method
  Depreciation 18,732.71 18,659.46 as set out in IND AS-7 (Cash Flow Statement).
  Profit on sale of Fixed Assets (1,044.90) 0.00 2. Cash and Cash Equivalents consist of cash in hand balances with banks.
  Finance Costs 1,306.44 2,924.97
  Cash generated form operation before Working 1,591,731.91 1,193,734.50 Change in Liability arising from Financing Activities
Capital Changes
Particuars Borrowings (Refer Note No. 11)
  Working Capital Changes    
  Increase/ (decrease) in loans and advances (780,000.00) 955,000.00
Balance as on 1st April 2021 25,783.18
  Increase/ (decrease) in other financial assets (11,705.33) 228,107.51
  Increase/ (decrease) in other non-financial assets (7,714.69) 14,942.92 Proceeds/ Repayaments of borrowing (20,397.60)
  Increase /(decrease) in other financial liabilities (355,499.64) 328,812.56
  Increase /(decrease) in Investment/ Financial assets (1,640,351.73) (2,189,968.41) Non cash change (Fair Value) 0.00
  (Increase) /decrease in provisions 3,264.64 (4,749.94)
1,791.13 Balance as on 31 March 2022
st
5,385.58
  (Increase) /decrease in other non financial liabilities (167.54)
  Cash Flows before OCI and Tax (1,198,483.71) 52,5711.60
  Income Tax paid/ (Refund) (8,192.20) (11,299.34) The accompanying notes form an integral part of the Consolidated Financial Statements.
  NET CASH FLOW FROM/ (USED) OPERATING ACTIVITIES (1,206,675.91) 537,010.94 As Per our Report of even date attached
B. CASH FLOW FROM INVESTING ACTIVITIES     FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
Purchase of Fixed Assets (3,422.68) (668.97) CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
Sale of Fixed Assets 2,750.00 0.00 Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED
Purchase of Investment (170,052.59) (488,549.66) Sd/- Sd/- Sd/-
  Sale of Investment 1,693,250.30 63,607.00 G C AGARWAL ANIL GOYAL LALIT BHASIN
  NET CASH USED IN INVESTING ACTIVITIES 1,522,525.03 (425,611.63) (PROPRIETOR) (DIRECTOR) (CHAIRMAN)
C. CASH FLOW FROM FINANCING ACTIVITIES     MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114
  Borrowings (20,397.60) (18,822.81)
Sd/- Sd/
  Interest Paid (1,306.44) (2,924.97) MAHESH KUMAR GUPTA REEMA MIGLANI
  NET CASH USED IN FINANCING ACTIVITIES (21,704.04) (21,747.78) PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
  NET INCREASE/ DECREASE IN CASH & CASH 294,145.08 89,651.53 DATE: 18TH MAY, 2022 M. NO.: ACS45762
EQUIVALENTS

CONSOLIDATED STATEMENT OF CHANGES IN EQUITY

a. Equity Share Capital
Particulars Number of Shares Amount (` in Hundred)
As at 01st April, 2020 7,137,665 713,766.50
Changes in Equity share capital during the year - -
As at 31st March, 2021 7,137,665 713,766.50
Changes in Equity share capital during the year - -
As at 31st March, 2022 7,137,665 713,766.50
b. Other Equity Amount (` in Hundred)
Particulars Reserves and Surplus Other Total
Statutory Securities Retained Comprehensive
Reserve Premium Earnings Income
Balance as at 01st April, 2020 1,639,611.74 2,307,631.89 (1,693,589.08) 3,076.60 2,256,731.15
Profit for the year 0.00 0.00 1,175,250.12 0.00 1,175,250.12
Other comprehensive income for the year 0.00 0.00 0.00 1,115,175.57 1,115,175.57
Transferred to/(from) 235,050.03 0.00 (232,662.02) (2,388.01) 0.00
Total comprehensive income for the year 1,874,661.77 2,307,631.89 (751,000.98) 1,115,864.16 4,547,156.84
Balance as at 31st March, 2021 1,874,661.77 2,307,631.89 (751,000.98) 1,115,864.16 4,5471,56.84
Balance as at 01st April, 2021 1,874,661.77 2,307,631.89 (751,000.98) 1,115,864.16 4,547,156.84
Profit for the year 0.00 0.00 1,518,605.78 0.00 1,518,605.78
Other comprehensive income for the year 0.00 0.00 0.00 43,157.55 43,157.55
Transferred to/(from) 535,105.00 0.00 616,365.90 (1,151,470.90) 0.00
Total comprehensive income for the year 2,409,766.77 2,307,631.89 1,383,970.70 7,550.81 6,108,920.17
Balance as at 31st March, 2022 2,409,766.77 2,307,631.89 1,383,970.70 7,550.81 6,108,920.17

Significant accounting policies and notes to the Consolidated Financial Statements 1-47

The accompanying notes form an integral part of the Consolidated Financial Statements.
As Per our Report of even date attached
FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED
Sd/- Sd/- Sd/-
G C AGARWAL ANIL GOYAL LALIT BHASIN
(PROPRIETOR) (DIRECTOR) (CHAIRMAN)
MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114

Sd/- Sd/-
MAHESH KUMAR GUPTA REEMA MIGLANI
PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
DATE: 18TH MAY, 2022 M. NO.: ACS45762

42
HB STOCKHOLDINGS LIMITED
NOTES FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS A) Effective Interest Rate (EIR) Method
FOR THE YEAR ENDED 31ST MARCH, 2022 The Company recognizes interest income / expense using a rate of return
1. COMPANY INFORMATION / OVERVIEW that represents the best estimate of a constant rate of return over the
expected life of the loans given / taken. This estimation, by nature, requires an
The Company is public limited company incorporated and domiciled in India having its element of judgement regarding the expected behaviour and life-cycle of the
registered office at Gurgaon,India. The Company is a Non-banking financial company- instruments, as well as expected changes to other fee income/expense that are
Non-Systemically important Non-Deposit taking Company registered with Reserve Bank integral parts of the instrument.”
of India. Equity share of the company are listed on National Stock Exchange and Bombay
B) Impairment of loans portfolio
stock exchange
The measurement of impairment losses across all categories of financial assets
2. BASIS OF PREPARATION OF FINANCIAL STATEMENTS requires judgement, in particular, the estimation of the amount and timing of
(A) Compliance with Ind As future cash flows and collateral values when determining impairment losses
and the assessment of a significant increase in credit risk. These estimates are
The Consolidated financial statements of HB Stockholdings Ltd. (‘the Company’) driven by a number of factors, changes in which can result in different levels of
and its subsidiary (‘the Group’) comply in all material aspects with Indian Accounting allowances. It has been the Company’s policy to regularly review its models in
Standards (‘Ind AS’) notified under Section 133 of the Companies Act, 2013 (‘the Act’) the context of actual loss experience and adjust when necessary.
read with the Companies(Indian Accounting Standards) Rules, 2015 as ammended
C) Defined Employee Benefit Assets and Liabilities
from time to time and other relevant provisions of the Act. Any directions issued by the
RBI or other regulators are implemented as and when they become applicable. The cost of the defined benefit gratuity plan and the present value of the gratuity
obligation are determined using actuarial valuations. An actuarial valuation
Accounting policies have been consistently applied except where a newly issued involves making various assumptions that may differ from actual developments
accounting standard is initially adopted or a revision to the existing accounting in the future. These include the determination of the discount rate, future salary
standard requires a change in the accounting policy hitherto in use. increases and mortality rates. Due to the complexities involved in the valuation
(B) Presentation of Financial Statements and its long-term nature, a defined benefit obligation is highly sensitive to
changes in these assumptions. All assumptions are reviewed at each reporting
The Balance Sheet, the statement of Changes in Equity and the Statement of Profit date.
and Loss are presented in the format prescribed under Division III of Schedule III
of the Act, as amended from time to time, for Non-Banking Financial Companies D) Fair value measurement
(‘NBFCs’) that are required to comply with Ind AS. The statement of Cash Flows has When the fair values of financial assets and financial liabilities recorded in the
been presented as per the requirements of Ind AS 7 Statement of Cash Flows. balance sheet cannot be measured based on quoted prices in active markets,
their fair value is measured using various valuation techniques. The inputs to
(C) Basis of preparation these models are taken from observable markets where possible, but where
The consolidated financial statements have been prepared under the historical cost this is not feasible, a degree of judgment is required in establishing fair values.
convention on the accrual basis except for certain financial instruments and plan Judgments include considerations of inputs such as liquidity risk, credit risk and
assets of defined benefit plans, which are measured at fair values at the end of each volatility. Changes in assumptions about these factors could affect the reported
reporting as explained in the accounting policies below. All amounts disclosed in fair value of financial instruments.
the financial statements and notes have been rounded off to the nearest rupees in E) Other Estimates
compliance with Schedule III of the Act, unless otherwise stated. These include contingent liabilities, useful lives of tangible and intangible assets
(D) Principles of Consolidation etc.
(i) The consolidated financial statements incorporate the financial statements of 3.2 Financial Instruments
the Parent Company and all its subsidiaries (from the date control is gained), A) Initial Recognition and measurement
being the entities that it controls. Control is evidenced where the investor is
All financial assets and financial liabilities are recognised when the group
exposed, or has rights, to variable returns from its involvement with the becomes a party to the contractual provisions of the instruments.
investee and has the ability to affect those returns through its power over
the investee. Power is demonstrated through existing rights that give the Financial assets and financial liabilities are initially measured at fair value.
ability to direct relevant activities, which significantly affect the entity returns. Transaction costs that are directly attributable to the acquisition or issue of the
The financial statements of subsidiaries are prepared for the same reporting financial assets and financial liabiities (other than financial assets and financial
year as the Parent Company. Where necessary, adjustments are made to the liabilities at FVTPL) are added to or deducted from the fair value of the financial
assets or financial liabilities, as appropriate, on initial recognition. Transaction
financial statements of subsidiaries to align the accounting policies in line with
costs directly attributable to the acquisition of financial assets or financial
accounting policies of the Parent Company.
liabilities at FVTPL are recognised immediately in Statement of profit and loss.
(ii) The Consolidated financial statements include results of the subsidiaries of HB
B) Classification and Subsequent measurement of Financial Assets
Stockholdings Ltd. (Parent Company),consolidated in accordance with Ind AS
110 ‘Consolidated Financial Statements’. The group classifies its financial assets into various measurements categories.
The classification depends on the contractual terms of the financial assets’ cash
Name of the Company Country of Proportion of Consolidated flows and the company’s business model for managing financial assets.
incorporation ownership as as a. Amortised Cost
at reported
date A financial asset is measured at Amortised Cost if it is held within a
business model whose objective is to hold the asset in order to collect
Mount Finance Limited India 100% Subsidiary contractual cash flows and the contractual terms of the Financial Asset
give rise on specified dates to cash flows that are solely payments of
3. SIGNIFICANT ACCOUNTING POLICIES principal and interest on the principal amount outstanding.
b. FVOCI- Debt Instruments
3.1 Use of estimates and judgement
A debt instruments in nature of financial asset is measured at FVOCI
TThe preparation of consolidated financial statements in conformity with Ind AS when the instrument is held within a business model, the objective of
requires that management make judgments, estimates and assumptions that affect which is achieved by both collecting contractual cash flows and selling
the application of accounting policies and the reported amount of assets, liabilities financial assets; and the contractual terms of the Financial Asset give rise
and disclosures of contingent assets and liabilities as of the date of the financial on specified dates to cash flows that are solely payments of principal and
statements and the income and expense for the reporting period. The actual results interest on the principal amount outstanding.
could differ from these estimates. c. FVOCI- Equity Instruments
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions Equity instruments in nature of financial assets are measured at fair value
to accounting estimates are recognised in the period in which the estimate is revised through profit or loss, unless the Company’s management has elected
and in any future periods affected. to classify irrevocably some of its equity instruments at FVOCI, when
such instruments meet the definition of Equity under Ind AS 32 Financial
Accounting policies of the group require critical accounting estimates that involve
Instruments and are not held for trading.
complex and subjective judgments and the use of assumptions, some of which
may be for matters that are inherently uncertain and susceptible to change. Such Financial assets are not reclassified subsequent to their initial recognition,
critical accounting estimates could change from period to period and may have except if and in the period the group changes its business model for
a material impact on the Company’s financial condition, changes in financial managing financial assets.
condition or results of operations. Critical accounting estimates could also involve d. FVTPL
estimates where management could have reasonably used another estimate in A financial asset which is not classified in any of the above categories are
the current accounting period. The critical policies that involves critical accounting measured at FVTPL.
estimates includes valuation of financial instruments, impairment of financial assets,
recognition of interest income/expenses using Effective Interest Rate (EIR) method Subsequent Measurement of Financial Assets
and deferred tax. Management believes that the estimates used in the preparation of Financial assets at amortised cost are subsequently measured at amortised
the Company’s financial statements are prudent and reasonable. cost using effective interest method. The amortised cost is reduced by

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HB STOCKHOLDINGS LIMITED
impairment losses. Interest income, foreign exchange gains and losses and G. Write-offs
impairment are recognised in Statement of profit and loss. Any gain and loss on The gross carrying amount of a financial asset is written-off (either partially
derecognition is recognised in Statement of profit and loss. or in full) to the extent that there is no reasonable expectation of recovering
Debt investment at FVOCI are subsequently measured at fair value. Interest the asset in its entirety or a portion thereof. This is generally the case when
income under effective interest method, foreign exchange gains and losses and the Company determines that the debtor does not have assets or sources of
impairment are recognised in Statement of profit and loss. Other net gains and income that could generate sufficient cash flows to repay the amounts subject to
losses are recognised in OCI. On derecognition, gains and losses accumulated the write-off. However, financial assets that are written-off could still be subject
in OCI are reclassified to Statement of profit and loss. to enforcement activities under the Company’s recovery procedures, taking into
account legal advice where appropriate. Any recoveries made are recognised in
For equity investments, the group makes an election on an instrument-by- statement of profit and loss.
instrument basis to designate equity investments as measured at FVOCI. These 3.3 Cash and Cash Equivalents
elected investments are measured at fair value with gains and losses arising
from changes in fair value recognised in other comprehensive income and Cash and cash equivalents comprise of cash at banks and on hand and short-term
accumulated in the reserves. The cumulative gain or loss is not reclassified to deposits with an original maturity of three months or less, which are subject to an
Statement of profit and loss on disposal of the investments. These investments insignificant risk of changes in value.
in equity are not held for trading. Instead, they are held for strategic purpose. For the purpose of the statement of cash flows, cash and cash equivalents consist of
Dividend income received on such equity investments are recognised in cash and short- term deposits, as defined above, net of outstanding bank overdrafts
Statement of profit and loss. if any, as they are considered an integral part of the Company’s cash management.
Equity investments that are not designated as measured at FVOCI are 3.4 Property, Plant and Equipments (PPE)
designated as measured at FVTPL and subsequent changes in fair value are Property, plant and equipment (PPE) are measured at cost less accumulated
recognised in Statement of profit and loss. depreciation and accumulated impairment, if any. Cost of an item of property, plant
and equipment comprises its purchase price, including import duties and non-
Financial assets at FVTPL are subsequently measured at fair value. Net
refundable purchase taxes, after deducting trade discounts and rebates, any directly
gains and losses, including any interest or dividend income, are recognised in
attributable cost of bringing the item to its working condition for its intended use and
Statement of profit and loss..
estimated costs of dismantling and removing the item and restoring the site on which
C. Financial Liabilities and equity instruments it is located.

Classification as Debt or Equity Advances paid towards the acquisition of fixed assets, outstanding at each reporting
date are shown under other non-financial assets. The cost of property, plant and
Debt and equity instruments issued by the group are classified as either financial equipment not ready for its intended use at each reporting date are disclosed as
liabilities or as equity in accordance with the substance of the contractual capital work-in-progress.
arrangements and the definitions of a financial liability and an equity instrument.
Subsequent expenditure related to the asset are added to its carrying amount or
Equity Instruments recognised as a separate asset only if it increases the future benefits of the existing
asset, beyond its previously assessed standards of performance and cost can be
An equity instrument is any contract that evidences a residual interest in the measured reliably. Other repairs and maintenance costs are expensed off as and
assets of an entity after deducting all of its liabilities. Equity instruments issued when incurred.
by Company are recognised at the proceeds received. Transaction costs of an Depreciation on PPE is provided on straight-line basis in accordance with the useful
equity transaction are recognised as a deduction from equity. lives specified in Schedule II to the Companies Act, 2013 on a pro-rata basis.
Financial Liabilities The estimated useful lives used for computation of depreciation are as follows:
Financial liabilities are classified as measured at amortised cost or FVTPL. A Particulars Useful life
financial liability is classified as at FVTPL if it is classified as held-fortrading or
Furniture & Fixture 10 years
it is a derivative or it is designated as such on initial recognition. Other financial
liabilities are subsequently measured at amortised cost using the effective Office Equipment 5 years
interest method. Interest expense and foreign exchange gains and losses are Server and Networking 6 years
recognised in Statement of profit and loss. Any gain or loss on derecognition is
Computer 3 years
also recognised in Statement of profit and loss.
Building 30 years
D. Derecognition Vehicles 8 years
Financial Assets Assets costing less than Rs.5000/- are fully depreciated in the period of purchase.
The group derecognises a financial asset when the contractual rights to the PPE is derecognised on disposal or when no future economic benefits are expected
cash flows from the financial asset expire, or it transfers the rights to receive from its use. Any gain or loss arising on derecognition of the asset (caculated as
the contractual cash flows in a transaction in which substantially all of the risks the differnce between the net disposal proceeds and the net carrying amount of the
and rewards of ownership of the financial asset are transferred or in which the asset) is recognised in other income / netted off from any loss on disposal in the
Company neither transfers nor retains substantially all of the risks and rewards Statement of profit and loss in the year the asset is derecognised.
of ownership and does not retain control of the financial asset. 3.5 Intangible Assets
If the group enters into transactions whereby it transfers assets recognised Intangible assets comprises of computer software which is amortized over the
on its balance sheet, but retains either all or substantially all of the risks and estimated useful life. The amortization period is lower of license period or 36 months
rewards of the transferred assets, the transferred assets are not derecognised. which is based on management’s estimates of useful life. Amortisation is calcualted
using the straight line method to write down the cost of intangible assets over their
Financial Liabilities estimated useful lives.
A financial liability is derecognised when the obligation in respect of the liability 3.6 Impairment of Assets other than Financial Assets
is discharged, cancelled or expires. The difference between the carrying value The Group reviews the carrying amounts of its tangible and intangible assets
of the financial liability and the consideration paid is recognised in Statement of at the end of each reporting period, to determine whether there is any indication
profit and loss. that those assets have impaired. If any such indication exists, the recoverable
amount of the asset is estimated in order to determine the extent of the impairment
E. Offsetting
loss (if any). Recoverable amount is determined for an individual asset, unless the
Financial assets and financial liabilities are offset and the net amount presented asset does not generate cash flows that are largely independent of those from other
in the balance sheet when, and only when, the Company currently has a legally assets or group of assets.
enforceable right to set off the amounts and it intends either to settle them Recoverable amount is the higher of fair value less costs to sell and value in use.
on a net basis or to realise the asset and settle the liability simultaneously. In assessing value in use, the estimated future cash flows are discounted to their
present value using a pretax discount rate that reflects current market assessments
F. Impairment of the time value of money and the risks specific to the asset for which the estimates
of future cash flows have not been adjusted.
The Group recognises lifetime expected credit losses (ECL) when there has
been a significant increase in credit risk since initial recognition and when If the recoverable amount of an asset (or cashgenerating unit) is estimated to be less
the financial instrument is credit impaired. If the credit risk on the financial than its carrying amount, the carrying amount of the asset (or cash-generating unit)
instrument has not increased significantly since initial recognition, the Company is reduced to its recoverable amount.
measures the loss allowance for that financial instrument at an amount equal to When an impairment loss subsequently reverses, the carrying amount of the asset
12 month ECL. The assessment of whether lifetime ECL should be recognised (or a cashgenerating unit) is increased to the revised estimate of its recoverable
is based on significant increases in the likelihood or risk of a default occurring amount such that the increased carrying amount does not exceed the carrying
since initial recognition. 12 month ECL represents the portion of lifetime ECL amount that would have been determined if no impairment loss had been recognised
that is expected to result from default events on a financial instrument that are for the asset (or cash-generating unit) in prior years. The reversal of an impairment
possible within 12 months after the reporting date. loss is recognised in Statement of profit and loss.

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HB STOCKHOLDINGS LIMITED
3.7 Provisions : the balance sheet with corresponding debit or credit to Other Comprehensive
Provisions are recognised when there is a present obligation as a result of a past Income (OCI). Remeasurements are not reclassified to Statement of profit and
event, and it is probable that an outflow of resources embodying economic benefits will loss in the subsequent period.
be required to settle the obligation and there is a reliable estimate of the amount of the Remeasurement gains or losses on long-term compensated absences that are
obligation. Provisions are reviewed at each balance sheet date and adjusted to reflect classified as other long-term benefits are recognised in Statement of profit and
the current best estimate. loss.
The amount recognised as a provision is the best estimate of the consideration D) Superannuation Fund
required to settle the present obligation at the end of the reporting period, taking into The Group makes contribution to the Superannuation scheme, a defined
account the risks and uncertainties surrounding the obligation. contribution scheme, administered by Life Insurance Corporation of India, which
Provisions are determined by discounting the expected future cash flows at a pre-tax are charged to the Statement of profit and loss. The Company has no obligation
rate that reflects current market assessments of the time value of money and the risks to the scheme beyond its contributions.
specific to the liability.
E) Leave encashment / Compensated Bbsences
When there is a possible obligation or a present obligation in respect of which the
The Group provides for the encashment / availment of leave with pay subject to
likelihood of outflow of resources is remote, no provision or disclosure is made.
certain rules. The employees are entitled to accumulate leave subject to certain
3.8 Revenue recognition limits for future encashment / availment. The liability is provided based on the
A) Recognition of interest income on loans number of days of unutilized leave at each balance sheet date on the basis of
an independent actuarial valuation.
Interest income is recognised in Statement of profit and loss using the effective
interest method for all financial instruments measured at amortised cost, 3.10 Finance costs
debt instruments measured at FVOCI and debt instruments designated at Finance costs include interest expense computed by applying the effective
FVTPL. The ‘effective interest rate’ is the rate that exactly discounts estimated interest rate on respective financial instruments measured at Amortised cost.
future cash payments or receipts through the expected life of the financial Financial instruments include bank term loans, non-convertible debentures,
instrument. fixed deposits mobilised, commercial papers, subordinated debts and exchange
The calculation of the effective interest rate includes transaction costs and fees differences arising from foreign currency borrowings to the extent they are regarded
that are an integral part of the contract. Transaction costs include incremental as an adjustment to the interest cost. Finance costs are charged to the Statement
costs that are directly attributable to the acquisition of financial asset. of profit and loss.
If expectations regarding the cash flows on the financial asset are revised 3.11 Taxation - Current and Deferred Tax
for reasons other than credit risk, the adjustment is recorded as a positive or Income tax expense comprises of current tax and deferred tax. It is recognised in
negative adjustment to the carrying amount of the asset in the balance sheet Statement of profit and loss except to the extent that it relates to an item recognised
with an increase or reduction in interest income. The adjustment is subsequently directly in equity or in other comprehensive income.
amortised through Interest income in the Statement of profit and loss.
A) Current Tax
The Group calculates interest income by applying the EIR to the gross carrying
amount of financial assets other than credit-impaired assets. Current tax comprises amount of tax payable in respect of the taxable income
or loss for the year determined in accordance with Income Tax Act, 1961 and
When a financial asset becomes credit-impaired, the Company calculates any adjustment to the tax payable or receivable in respect of previous years. The
interest income by applying the effective interest rate to the net amortised cost Company’s current tax is calculated using tax rates that have been enacted or
of the financial asset. If the financial asset cures and is no longer creditimpaired, substantively enacted by the end of the reporting period.
the Company reverts to calculating interest income on a gross basis.
B) Deferred Tax
Additional interest and interest on trade advances, are recognised when they
become measurable and when it is not unreasonable to expect their ultimate Deferred tax assets and liabilities are recognized for the future tax consequences
collection. of temporary differences between the carrying values of assets and liabilities
and their respective tax bases. Deferred tax liabilities and assets are measured
Income from bill discounting is recognised over the tenure of the instrument so at the tax rates that are expected to apply in the period in which the liability
as to provide a constant periodic rate of return. is settled or the asset realised, based on tax rates (and tax laws) that have
B) Rental Income been enacted or substantively enacted by the end of the reporting period. The
measurement of deferred tax liabilities and assets reflects the tax consequence
Income from operating leases is recognised in the Statement of profit and that would follow from the manner in which the Company expects, at the end of
loss as per contractual rentals unless another systematic basis is more the reporting period, to recover or settle the carrying amount of its assets and
representative of the time pattern in which benefit derived from the leased asset liabilities.
is diminished.
Deferred tax assets are recognized to the extent that it is probable that future
C) Dividend and interest income on investments : taxable income will be available against which the deductible temporary
- Dividends are recognised in Statement of profit and loss only when the right difference could be utilized. Such deferred tax assets and liabilities are not
to receive payment is established, it is probable that the economic benefits recognised if the temporary difference arises from the initial recognition of
associated with the dividend will flow to the Company and the amount of the assets and liabilities in a transaction that affects neither the taxable profit nor
dividend can be measured reliably. the accounting profit. The carrying amount of deferred tax assets is reviewed at
-Interest income from investments is recognised when it is certain that the the end of each reporting period and reduced to the extent that it is no longer
economic benefits will flow to the Company and the amount of income can be probable that sufficient taxable profits will be available to allow all or part of the
measured reliably. Interest income is accrued on a time basis, by reference to the asset to be recovered.
principal outstanding and at the effective interest rate applicable. 3.12 Leases
3.9 Employee Benefits As a lessee
A) Short-term employee benefits The Company has applied Ind AS 116. For these short term and low value leases,
Short-term employee benefits are expensed as the related service is provided. the company recognizes the lease payments as an expense in the Statement of Profit
A liability is recognised for the amount expected to be paid if the Company has and Loss on a Straight line basis over the term of lease.
a present legal or constructive obligation to pay this amount as a result of past 3.13 Exceptional items
service provided by the employee and the obligation can be estimated reliably.
When items of income and expenses within profit or loss from ordinary activities
B) Contribution to provident fund and ESIC are of such size, nature or incidence that their disclosure is relevant to explain the
Group’s contribution paid/payable during the year to provident fund and ESIC is performance of the enterprise for the period, the nature and amount of such items is
recognised in the Statement of profit and loss. disclosed separately as Exceptional items.
C) Gratuity 3.14 Earning Per Share
The Group’s liability towards gratuity scheme is determined by independent The Group reports basic and diluted earnings per equity share. Basic earnings per
actuaries, using the projected unit credit method. The present value of the equity share have computed by dividing net profit/loss attributable to the equity share
defined benefit obligation is determined by discounting the estimated future holders for the year by the weighted average number of equity shares outstanding
cash outflows by reference to market yields at the end of the reporting period during the year. Diluted earnings per equity share have been computed by dividing
on government bonds that have terms approximating to the terms of the related the net profit attributable to the equity share holders after giving impact of dilutive
obligation. Past services are recognised at the earlier of the plan amendment / potential equity shares for the year by the weighted average number of equity shares
curtailment and recognition of related restructuring costs/ termination benefits. and dilutive potential equity shares outstanding during the year, except where the
results are anti-dilutive.
The net interest cost is calculated by applying the discount rate to the net
balance of the defined benefit obligation and the fair value of plan assets. This 3.15 Cash Flow Statement
cost is included in employee benefit expense in the Statement of profit and loss. Cash flows are reported using the indirect method, whereby profit for the period
Remeasurement gains/ losses- is adjusted for the effects of transactions of a non-cash nature, any deferrals or
accruals of past or future operating cash receipts or payments and items of income
Remeasurement of defined benefit plans, comprising of actuarial gains / losses, or expenses associated with investing or financing cash flows. The cash flows from
return on plan assets excluding interest income are recognised immediately in operating, investing and financing activities of the Company are segregated.

45
HB STOCKHOLDINGS LIMITED
4. CASH AND CASH EQUIVALENT Amount (` in Hundred)
Particulars As at As at
Particulars As at As at 31st March, 2022 31st March, 2021
31st March, 2022 31st March, 2021
C) i) Loans in India
A) Cash on Hand 5,753.88 5,494.18 a) Public Sector 0.00 0.00
B) Balance with Banks b) Others 1,285,000.00 505,000.00
- In current and deposit account 403,417.47 109,532.09 Total (Gross) 1,285,000.00 505,000.00
- Cheques on Hand 15,000.00 15,000.00 Less: Impairment loss allowance 0.00 0.00

Total 424,171.35 130,026.27 Total (Net) -C (i) 1,285,000.00 505,000.00

ii) Loans outside India 0.00 0.00
5. LOANS Amount (` in Hundred)
Less: Impairment loss allowance 0.00 0.00
Particulars As at As at
Total (Net) -C (ii) 0.00 0.00
31st March, 2022 31st March, 2021
Total (Net) -C ( i + ii) 1,285,000.00 505,000.00
A) Loans (at amortised cost) :
Note:- Provision for Sub-Standard and doubtful assets has been separetely shown in Note
Others: No. 14 (Short term Provisions) instead of netting it from the value of asset. This is being
Inter Corporate Loans - Standard* 1,185,000.00 405,000.00 done as required by “Non-Banking Financial Company -Non-Systemically Important Non
Deposit taking Company (Reserve Bank) Directions, 2016.
Inter Corporate Loans & Deposits -Doubtful 100,000.00 100,000.00
Credit quality of assets
Total (Gross) 1,285,000.00 505,000.00
The table below shows the credit quality and the maximum exposure to credit risk based
Less: Impairment loss allowance 0.00 0.00 on year end stage classification.
Total 1,285,000.00 505,000.00 Particulars As at As at
31st March, 2022 31st March, 2021
B) i) Secured by Tangible Assets 0.00 0.00
Low credit risk- Stage I 1,185,000.00 405,000.00
ii) Unsecured 1,285,000.00 505,000.00 Significant increase in credit risk- Stage II
Total (Gross) 1,285,000.00 505,000.00 Credit impaired- Stage III 100,000.00 100,000.00
1,285,000.00 505,000.00
Less: Impairment loss allowance 0.00 0.00
1. The amount presented are net of impairment loss allowance.
Total (Net) 1,285,000.00 505,000.00 2. There are no changes in the Impairment loss allowances during the period.

6. INVESTMENTS
S. Name of the Company Face Value As at 31st March, 2022 As at 31st March, 2021
No. (Rs.) Qty.(Nos.) Amount Qty.(Nos.) Amount
(` in Hundred) (` in Hundred)
(A) INVESTMENTS IN EQUITY INSTRUMENTS
(a) Quoted Instrument fully paid up Equity Shares(At FVTPL)
1 ADITYA BIRLA CAPITAL LIMITED 10 40000 43,060.00 -- --
2 ALLCARGO LOGISTICS LIMITED 10 2750 9,839.50 -- --
3 ALPHAGEO INDIA LIMITED 10 17100 52,839.00 -- --
4 AMRIT CORPORATION LIMITED 10 -- -- 132 910.80
5 ARVIN LIQUID GASES LIMITED* 10 10000 0.00 10000 --
6 AUTOMOTIVE AXLES LIMITED 10 1000 17,199.00 -- --
7 BHARAT HEAVY ELECTRICALS LIMITED 2 50000 24,675.00 -- --
8 BHARAT HOTELS LIMITED 10 300 85.35 300 0.00
9 BHARTI AIRTEL LIMITED 5 1000 7,554.00 1000 5,173.00
10 CENTURY TEXTILES AND INDUSTRIES LIMITED 10 -- -- 986 4,581.94
11 CHENNAI PETROLEUM CORPORATION LIMITED 10 19500 24,901.50 -- --
12 CMI LIMITED 10 7 2.14 50000 20,950.00
13 COAL INDIA LIMITED 10 -- -- 3250 4,238.00
14 CRISIL LIMITED 1 -- -- 200 3,672.30
15 DCM SHRIRAM LIMITED 2 45726 517,001.02 45726 22,8881.49
16 DOLPHIN OFFSHORE ENTERPRISES I LIMITED 10 10000 -- 10000 418.00
17 DWARIKESH SUGAR INDUSTRIES LTD. 1 -- -- 72500 22,330.00
18 EIH LTD. 2 52601 81,163.34 52601 48,761.13
19 EVEREST INDUSTRIES LIMITED 10 -- -- 2796 8,007.74
20 FINOLEX INDUSTRIES LIMITED 10 -- -- 5000 31,850.00
21 FOODS & INNS LIMITED 1 86200 71,416.70 136200 74,092.80
22 GLOBAL STONE INDIA LIMITED* 10 2000 -- 2000 --
23 GMR INFRASTRUCTURE LIMITED 10 350000 129,150.00 -- --
24 GRAPHITE INDIA LIMITED 2 -- -- 2500 12,797.50
25 GVK POWER & INFRA LTD. 1 60000 -- 60000 1,410.00
26 HARYANA LEATHER CHEMICALS LTD. 10 31347 11,567.04 31347 9,090.63
27 HARYANA PETROCHEMICALS LIMITED* 10 9050 -- 9050 --
28 HB ESTATE DEVLOPERS LIMITED 10 125400 22,258.50 125400 12,840.96
29 HB PORTFOLIO LIMITED 10 60000 19,770.00 60000 11,430.00
30 HIMACHAL FUTURISTIC COMMUNICATIONS LIMITED 1 -- -- 35000 8,820.00
31 HINDUSTAN ENGINEERING & INDS. LTD.* 10 108 -- 108 --
32 HOTLINE GLASS LIMITED* 10 166382 -- 166382 --

46
HB STOCKHOLDINGS LIMITED

S. Name of the Company Face Value As at 31st March, 2022 As at 31st March, 2021
No. (Rs.) Qty.(Nos.) Amount Qty.(Nos.) Amount
(` in Hundred) (` in Hundred)
33 HUHTAMAKI INDIA LIMITED 2 -- -- 5000 14,015.00
34 ICP SECURITIES LIMITED* 10 1800 -- 1800 --
35 IDFC FIRST BANK LIMITED 10 50000 19,825.00 -- --
36 INDIA GLYCOLS LIMITED 10 -- -- 1000 4,168.00
37 INDIABULLS HOUSING FINANCE LIMITED 2 15000 23,670.00 -- --
38 INEOS STYROLUTION INDIA LIMITED 10 -- -- 3000 28,074.00
39 IRB INFRASTRUCTURE LIMITED 10 50000 125,775.00 -- --
40 IRIS BUSINESS SERVICES LIMITED 10 16000 16,136.00 -- --
41 ISPAT PROFILES INDIA LIMITED* 10 10000 0.00 10000 --
42 IST LIMITED 10 128032 595,924.94 128032 486,521.60
43 JAI CORP LTD. 1 13000 14,202.50 13000 10,978.50
44 JAI PRAKASH ASSOCIATES LTD. 2 7530773 626,560.31 9208773 632,642.71
45 JAYPEE INFRATECH LTD. 10 -- -- 60000 930.00
46 JINDAL STAINLESS LIMITED 10 6000 12,159.00 -- --
47 JK CEMENT LIMITED 10 1000 24,314.50 -- --
48 JK PAPER LTD. 10 -- -- 7000 10,493.00
49 JP POWER VENTURES LTD. 10 2670000 181,293.00 2495000 81,836.00
50 KARUR VYSYA BANK LIMITED 2 100000 46,300.00 -- --
51 KIRAN OVERSEAS EXPORTS LIMITED* 10 10000 -- 10000 --
52 KRBL LIMITED 1 9000 18,135.00 -- --
53 L&T TECHNOLOGY SERVICES LIMITED 10 100 5,102.05 -- --
54 LARSON & TURBO INFOTECH LIMITED 10 100 6,157.00 -- --
55 LCC INFOTECH LIMITED* 2 56300 -- 56300 --
56 LT FOODS LIMITED 1 -- -- 5000 2,912.50
57 LUNAR DIAMONDS LIMITED* 10 21000 -- 21000 --
58 MAWANA SUGARS LTD. 10 10000 13,315.00 10000 3,615.00
59 MERCATOR LTD. 1 -- -- 50000 405.00
60 MMTC LIMITED 1 38750 17,108.13 38750 16,430.00
61 MONTE CARLO FASHIONS LIMITED 10 100 484.55 -- --
62 NAHAR CAPITAL AND FINANCIAL SERVICES LTD. 10 -- -- 3000 3,169.50
63 NATIONAL ALUMINIUM COMPANY LIMITED 5 70000 85,225.00 -- --
64 NBCC (INDIA) LIMITED 1 -- -- 22000 6,402.00
65 NLC LIMITED 10 50000 31,275.00 -- --
66 NUCHEM LIMITED* 10 64755 -- 64755 --
67 NURECEA LIMITED 10 1250 17,029.38 -- --
68 OIL INDIA LTD. 10 -- 0.00 4500 5,519.25
69 OLECTRA GREENTECH LIMITED 10 4000 26,756.00 8000 17,296.00
70 ORISSA EXTRUSIONS LIMITED* 10 10728 -- 10728 --
71 OSWAL AGRO MILLS LTD. 10 30000 8,145.00 30000 3,075.00
72 PARSVNATH DEVLOPERS LIMITED 10 83904 12,669.50 -- --
73 PATHREJA FORGINGS LIMITED* 10 1000 -- 1000 --
74 PRAKASH INDUSTRIES LIMITED 10 350 266.00 -- --
75 PRISM MILLS LIMITED* 10 10000 -- 10000 --
76 PUNJAB WIRELESS LIMITED* 10 100 -- 100 --
77 RALLIS INDIA LIMITED 10 700 1,665.65 -- --
78 RELIANCE INDUSTRIES LTD. 10 26 684.83 -- --
79 RELIANCE INFRASTRUCTURE LIMITED 10 100000 112,600.00 -- --
80 RSWM LIMITED 10 8500 34,684.25 -- --
81 SAJJAN UDYOG EXPORTS LIMITED* 10 23600 -- 23600 --
82 SAREGAMA INDIA LIMITED 10 100 4,828.45 100 1,594.10
83 SATIN CREDITCARE NETWORKS LTD. 10 -- -- 10000 8,570.00
84 SAVANI FINANCIALS LIMITED* 10 7000 987.00 7000 --
85 SEACOAST SHIPPING SERVICES LIMITED 1 50000 6,435.00 -- --
86 SHREYANS INDUSTRIES LIMITED* 10 -- -- 5600 --
87 SRI VASAVI INDUSTRIES LIMITED* 10 10890 -- 10890 --
88 SURYA ROSHANI LIMITED 10 400 1,655.00 -- --
89 TATA STEEL LIMITED 10 800 10,456.40 -- --
90 THE NEW INDIA ASSURANCE CO LIMITED 10 -- -- 7000 10,804.50
91 TIME TECHNOPLAST LIMITED 1 -- -- 20000 12,070.00
92 U P HOTELS LIMITED* 10 45697 201,523.77 45697 80,905.61
93 UFLEX LIMITED 10 25000 152,225.00 -- --
94 UNITECH LTD. 2 500000 10,150.00 1900000 31,540.00
95 UPL LIMITED 10 2000 15,394.00 -- --
96 UTI ASSET MANAGEMENT CO LIMITED 10 -- -- 15000 87,390.00

47
HB STOCKHOLDINGS LIMITED

S. Name of the Company Face Value As at 31st March, 2022 As at 31st March, 2021
No. (Rs.) Qty.(Nos.) Amount Qty.(Nos.) Amount
(` in Hundred) (` in Hundred)
97 VARDHMAN TEXTILES LIMITED 2 2575 11,215.41 -- --
98 VEDANTA LTD. 1 4250 17,146.63 4250 9,717.63
99 VENUS REMEDIES LIMITED 10 20000 53,770.00 15000 41,190.00
100 VODAPHONE IDEA LIMITED 10 -- -- 100000 9,250.00
101 WARDWZARD INNOVATIONS & MOBILITY LIMITED 1 20000 15,420.00 -- --
TOTAL (a) 13025051 3,611,151.35 15324353 2,131,771.21
(b) Quoted Instrument fully paid up Equity Shares(At FVTOCI)
1 GLENMARK PHARMACEUTICALS LIMITED 1 5000 22,110.00 5000 23,227.50
2 GREAVES COTTON LIMITED 2 400 763.60 20400 26,071.20
3 IOL CHEMICALS ABD PHARMACEUTICALS LIMITED 10 7500 26,535.00 5473 30,134.34
4 PUNJAB NATIONAL BANK 2 -- -- 50000 18,325.00
5 RELIANCE INDUSTRIES LIMITED 10 1090 28,710.06 72440 1,451,118.08
TOTAL (b) 13990 78,118.66 153313 1,548,876.12
(c) Quoted Partly Paid up Equity Shares(At FVTPL)
1 BHARTI AIRTEL LIMITED 5 71 281.12 -- --
2 RELIANCE INDUSTRIES LIMITED 10 -- -- 26 283.53
3 SATIN CREDITCARE NETWORKS LTD. 10 -- -- 4500 2,025.00
TOTAL (c ) 71 281.12 4526 2,308.53
(d) Unquoted Fully Paid up Equity Shares(At FVTPL)
KESORAM TEXTILE LIMITED 10 172 -- 172 --
TOTAL (d)   172 - 172 -
TOTAL INVESTMENTS IN EQUITY -A (a+b+c+d)   13039284 3,689,551 15482364 3,682,956
(B) INVESTMENTS IN PREFERENCE INSTRUMENTS
(a) Unquoted 9% Redeemable Preference Shares (Units) (At Cost)
1 HB ESTATE DEVELOPERS LTD SERIES 2 TRANCH 2 100 275000 275,041.25 275000 275,041.25
2 HB ESTATE DEVELOPERS LTD SERIES 2 TRANCH 3 100 550000 550,082.50 550000 550,082.50
TOTAL INVESTMENTS IN PREFERENCE -B   825000 825,123.75 825000 825,123.75
(C) INVESTMENTS IN MUTUAL FUNDS
(a) Quoted Mutual Funds (Units) (At FVTPL)
1 NIPPON INDIA MUTUAL FUND ETF LIQUID BeES 1000 10730 107,300.67 2533 25,332.34
2 DSP MUTUAL FUND LIQUID ETF 1000 10639 106,388.82 2536 25,358.14
TOTAL INVESTMENTS IN MUTUAL FUNDS -C   21369 213,689.49 5069 50,690.48
TOTAL INVESTMENTS (A+B+C)   13885653 4,728,364.37 16312433 4,558,770.09

Particulars As at 31st March, 2022 As at 31st March, 2021

Amount (` in Hundred) Amount (` in Hundred)
Aggregate cost of quoted investment 3,394,680.45 3,189,834.85
Carrying amount/ fair value of quoted investment 3,903,240.62 3,733,646.34
Aggregate cost of unquoted investment 825,123.75 825,123.75
Notes:
(*) Listed but not quoted
1. All above investments are in India itself

7. OTHER FINANCIAL ASSETS Amount (` in Hundred) The components of income tax expenses :

Particulars As at As at Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021 31st March 2022 31st March 2021
Security Deposits* 345,438.40 345,438.40 Current tax 50,607.52 0.00
Interest accured on loans / Inter Corporate 60,695.04 47,051.00 Adjustments in respect of current income 3,769.94 0.00
Deposits tax of prior years

Advance to others 70,197.91 70,000.00 Deferred tax relating to origin and reversal of (245.58) (3100.05)
temporary differences
Advance to related parties 14,604.71 16,741.33
Income tax expense reported in 54,131.88 (3,100.05)
Total 490,936.06 479,230.73
statement of profit and loss
*Includes Rental Deposits given to related Party namely HB Estate Developers Ltd. Income tax recognised on other
Rs. 345,000.00/- Hundred (Previous Year Rs 345,000.00/- Hundred) comprehensive income (OCI)

8. CURRENT TAX ASSETS (NET) Amount (` in Hundred) Deferred tax related to items recognised
in OCI during the period:
Particulars As at As at
31st March, 2022 31st March, 2021 - Realised gain on equity instruments 9,161.65 (11,242.89)
at FVTOCI
Tax deducted at source (Net of provision 0.00 6,615.36
for Income tax of Rs. Nil (Previous year - Income tax on realised gain on sale of (17,548.70) (494.67)
Rs.494.67/- Hundred) equity instruments at FVTOCI

Total 0.00 6,615.36 Income tax charged to OCI (8,387.05) (11,737.56)

48
HB STOCKHOLDINGS LIMITED
Reconciliation of the total tax charge:
The tax charge shown in the Statement of Profit and Loss differ from the tax charge that - Maturity Profile of Secured Term Loan from banks are as under:
would apply if all the profits had been charged at India corporate tax rate. A reconciliation
between the tax expense and the accounting profit multiplied by India’s domestic tax rate  Particulars 0-1 Years 1-2 Years
for the year ended 31st March, 2022 and year ended 31st March, 2021 is, as follows:
Amount (` in Hundred) - Vehicle Loan from HDFC Bank 5,385.58 Nil

Particulars For the year ended For the year ended - The company has not defaulted on any loans payable during the year.
31st March, 2022 31st March, 2021
12. OTHER FINANCIAL LIABILITIES Amount (` in Hundred)
Accounting profit before tax 1,572,737.66 1,172,150.07
Particulars As at As at
31st March, 2022 31st March, 2021
Applicable Stautory Enacted Income 25.17 25.17
Tax Rate Expenses payable 16,727.76 342,227.41

Computed Tax Expenses 395,826.61 295,006.73 Advance From customer & others 0.00 30,000.00
Total 16,727.76 372,227.41
- Adjustments due to brought forward (224,022.42) (294,924.32)
losses as per tax laws 13. CURRENT TAX LIABILITIES (NET) Amount (` in Hundred)
- Non-deductible tax expenses (net) (121,196.68) (82.41) Particulars As at As at
31st March, 2022 31st March, 2021
- Adjustments recognised in relation to 3,769.94 -
tax of prior years Provisions for tax (Net of adavnce tax/ TDS of 58,107.03 0.00
Rs. 10049.19 Hundred (Previous year Rs. Nil)
- Deferred tax relating to origination and (245.58) (3,100.05)
reversal of temporary differences 58107.03 0.00

Income tax expense reported in the 54,131.88 (3,100.05) 14. PROVISIONS Amount (` in Hundred)
Statement of Profit and Loss
Particulars As at As at
31st March, 2022 31st March, 2021
9. PROPERTY, PLANT & EQUIPMENT Amount (` in Hundred)
Provision for Employee Benefits
Particulars Flat Air Office Vehicles Data Total Leave Encashment 3,467.53 2,547.49
Conditioners Equipment Processing
Machine Others
GROSS BLOCK   Contingent provision against Standard Assets 6,592.15 3,351.90
As at 31st March, 2021 48,233.85 9,965.78 25,027.37 179,566.23 6,069.02 268,862.25 Sub Standard & Doubtful Assets 100,000.00 100,000.00

Additions during the year 0.00 0.00 1,350.00 0.00 2,072.68 3,422.68 Total 110,059.68 105,899.39

Deletions during the year 0.00 0.00 0.00 34102.01 0.00 34,102.01
15. DEFERRED TAX ASSETS/LIABILITIES (NET) Amount (` in Hundred)
As at 31st March, 2022 48,233.85 9,965.78 26,377.37 145,464.22 8,141.70 238,182.92
Particulars As at As at
ACCUMULATED 31st March, 2022 31st March, 2021
DEPRECIATION
Deferred tax liability in relation to: 2,081.24 11,242.89
As at 31st March, 2021 39,443.35 9,749.61 23,831.37 112,229.63 5,577.74 190,831.70 Financial Assets carried at fair valued through
Additions during the year 3,271.19 0.00 832.60 13,799.16 829.76 18,732.71 Other Comprehensive Income
Adjustment during the 0.00 0.00 0.00 32,396.91 0.00 32,396.91 (A) 2,081.24 11,242.89
year Deferred tax assets 3,345.63 3,100.05
As at 31st March, 2022 42,714.54 9,749.61 24,663.97 93631.88 6,407.50 177,167.50 Difference between Depreciation as per Books
of Account and the Income Tax Act, 1961
NET BLOCK
(B) 3,345.63 3,100.05
As at 31st March, 2022 5,519.31 216.17 1,713.40 51,832.34 1,734.20 61,015.42
Net Deferred Tax liabilities/ (Assets) (A)-(B) (1,264.39) 8,142.84
As at 31st March, 2021 8,790.50 216.17 1,196.00 67,336.60 491.28 78,030.55
16. OTHER NON-FINANCIAL LIABILITIES Amount (` in Hundred)
10. OTHER NON FINANCIAL ASSETS Amount (` in Hundred)
Particulars As at As at
Particulars As at As at 31st March, 2022 31st March, 2021
31st March, 2022 31st March, 2021
Statutory Dues Payable 2,256.67 465.54
Prepaid Expenses 39,807.85 32,093.16 Total 2,256.67 465.54
Recoverable from Tax Authorities 38,980.38 37,991.97
17. EQUITY SHARE CAPITAL Amount (` in Hundred)
Total 78,788.23 70,085.13
Particulars As at As at
11. BORROWINGS Amount (` in Hundred) 31st March, 2022 31st March, 2021
a. Authorised:
Particulars As at As at
31st March, 2022 31st March, 2021 2,50,00,000 Equity shares of Rs. 10/- each 2,500,000.00 2,500,000.00
100,00,000 Redeemable Preference 1,000,000.00 1,000,000.00
(A) In India Shares of Rs. 10/- each
At amortised cost: Total 3,500,000.00 3,500,000.00
b. Issued
Term loan from Bank 5,385.58 25,783.18
87,88,704 Equity Shares Of Rs. 10/- Each 878,870.40 878,870.40
Outside India - - Total 878,870.40 878,870.40
(B) Out of above c. Subscribed and Paid up
71,37,665 Equity Shares Of Rs. 10/- Each 713,766.50 713,766.50
Secured against Hypothecation of Vehicle 5,385.58 25,783.18 fully paid up
financed
Total 713,766.50 713,766.50
Unsecured 0.00 0.00 Add: Forfeited shares 16,51,039 54,316.43 54,316.43
Total 5,385.58 25,783.18 (Other than Directors)
Total 768,082.93 768,082.93
(*) The Loan taken are at Interest rate of 8.25%

49
HB STOCKHOLDINGS LIMITED
d. Reconciliation of number of equity shares outstanding at the beginning and 18. OTHER EQUITY Amount (` in Hundred)
end of the year :
Particulars As at As at
Particulars Number of Shares Amount (` in Hundred) 31st March, 2022 31st March, 2021
As at 01st April, 2020 7137665 713,766.50 Reserve and Surplus
Issued during the year - 0.00
a. Securities Premium 2,307,631.89 2,307,631.89
As at 31st March, 2021 7137665 713,766.50 Opening Balance
Issued during the year - 0.00 Closing Balance 2,307,631.89 2,307,631.89
As at 31st March, 2022 7137665 713,766.50
b. Stautory Reserve (Pursuant to Section
45-IC of The RBI Act, 1934)
e. Terms / Rights attached to the Equity Shares
Opening Balance 1,874,661.77 1,639,611.74
Issued Share capital of the Company has only one class of shares referred to as
equity shares having Par value of Rs.10/.Each holder of Equity Shares is entitled to Addition during the year 535,105.00 235,050.03
One vote per share. In the event of the Liquidation of the company,the holder of equity
Closing Balance 2,409,766.77 1,874,661.77
shares will be entitled to receive any of the remaining assets of the company,after
distribution of all Preferential amounts.The distribution will be in proportion to the c. Retained Earning
number of equity shares held by the shareholders. The dividend proposed by the Opening Balance (751,000.98) (1,693,589.08)
board of directors is subject to the approval of the sharehlders in the ensuing Annual
General Meeting except in case of interim dividend. Add: Profit for the current year 1,518,605.78 1,175,250.12
Add: Reclassification of Realised Gain on 1,151,470.90 2,388.01
f. Shareholders holding more than 5% Equity Shares in the Company
sale of investments from OCI
Promoter Name As at 31st March, 2022 As at 31st March, 2021 Less: Transferred to Statutory Reserves (535,105.00) (235,050.03)
Number % holding Number of % holding in Closing Balance 1,383,970.70 (751,000.98)
of Shares in the class Shares the class
d. Other Comprehensive Income
Lalit Bhasin 3,678,691 51.54% 3,678,691 51.54%
Opening Balance 1,115,864.16 3,076.60

g. Promoter’s Shareholding as at 31st March, 2022 and percentage change in Add: Remeasurement gain/ (losses) on (895.65) 2,979.67
shareholding during the year as compared to previous year is as follows: - defined benefit plan

As at 31st March, 2022 As at 31st March, 2021 Add: Fair value changes of Investments 52,440.25 1,123,933.46
Particulars
at FVTOCI
 
No. of % of total % Change No. of Shares Add: Tax Effects of above (8,387.05) (11,737.56)
Shares as shares during the as at March
at March year 31, 2021 Less: Reclassification of Realised Gain on (1,151,470.90) (2,388.01)
31, 2022 sale of investments to retained earning

Lalit Bhasin 3678691 51.54 - 3678691 Closing Balance 7,550.81 1,115,864.16

TOTAL OTHER EQUITY 6,108,920.17 4,547,156.84
Kanishk Kapur 22500 0.32 - 22500
Description of the nature and purpose of Other Equity
Ayush Kapur 22500 0.32 - 22500
Securities Premium
Manasvin Arora 22500 0.32 - 22500 Securities premium represents amount received in excess of face value of the equity
shares. The Securities premium can be applied by the company for limited purposes such
Mehar Arora 22500 0.32 - 22500
as issuance of bonus shares, buy back of shares etc. in accordance with the provisions of
HB Corporate Services 20496 0.29 - 20496 Section 52 of the Companies Act, 2013.
Limited Stautory Reserve
Merrygold Investments 9148 0.13 - 9148 Statutory reserve represents reserve fund created pursuant to Section 45-IC of the RBI
Limited Act, 1934 through transfer of specified percentage (20%) of net profit every year before
any dividend is declared. The reserve fund can be utilised only for limited purposes as
Total 3798335 53.22 - 3798335 specified by RBI from time to time and every such utilisation shall be reported to the RBI
within specified period of time from the date of such utilisation.
h. Aggregate number of share issued in cash/ share issued pursuant to contract Other Comprehensive Income
without payment being received in cash during the period of five years
immedietaly preceedings the reporting date Equity Instruments through Other Comprehensive income
The Company has elected to recognise changes in the fair value of certain investments
-During the FY 2017-18, pursuant to scheme of arrangement between the Company
in equity securities in other comprehensive income. These changes are accumulated
and HB Portfolio Ltd and HB Estate Developers Ltd,the issued and paid up equity
within the FVTOCI equity investments reserve within equity. The Company transfers
share capital of the company was reduced by reducing the face value of the equity
amounts from this reserve to retained earnings when the relevant equity securities are
shares from Rs. 10/- fully paid up to Rs. 3/- each fully paid.As a result, the issued
derecognised.
and paid up equity share capital was reduced from Rs. 23,79,22,180 comprising of
2,37,92,218 shares of Rs. 10/- each to Rs. 7,13,76,654 comprising of 2,37,92,218 Remeasurement gain/ (losses) on defined benefit plan
shares of Rs. 3/- each.Simultaneously, 10 (Ten) equity shares of Rs. 3 each fully The Company recognises change on account of remeasurement of the net defined benefit
paid up stood consolidated into 3 (three) fully paid- up share of Rs. 10/- each resulting liability/(asset) as part of other comprehensive income.
in 71,37,665 fully paid-up Equity Shares of Rs. 10/- each after ignoring fractional Retained Earnings
shares. Retained earnings or accumulated surplus represents total of all profits retained since
i. - There were no buy back of shares during the previous 5 years. Company’s inception. Retained earnings are credited with current year profits, reduced
by losses, if any, dividend payouts, transfers to General reserve or any such other
j. Dividend appropriations to specific reserves. Debit balance in retained earnings represents balance
Final dividend distribution to shareholder is recognised as a liability in the period of accumulated losses.
in which dividend is approved by the shareholders. Any interim dividend paid is
recognised on approval by board of directors. Dividend payable is recognised directly 19. INTEREST INCOME (ON FINANCIAL ASSETS, MEASURES AT AMORTISED COST)
in equity. Amount (` in Hundred)
Companies are required to pay/ distribute dividend after deducting applicable
Particulars For the year ended For the year ended
taxes. The remittance of dividend outside India is governed by indian law on foreign 31st March, 2022 31st March, 2021
exchange and is also subject to withholding tax at applicable rates.

k. The Company is an Investment company, the objective of the Company is to invest Interest on Loans / Inter Corporate Deposit 69,925.75 87,306.93
in long term investments, and distributing the profits of Company in a way that
shareholders can participate equitably in the Company’s growth, while maintaining Total 69,925.75 87,306.93
the financial foundation of the Company and ensure sustainable growth.

50
HB STOCKHOLDINGS LIMITED
20. DIVIDEND Amount (` in Hundred) 26. NET GAIN ON FAIR VALUE CHANGES THROUGH OCI Amount (` in Hundred)

Particulars For the year ended For the year ended Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021 31st March, 2022 31st March, 2021
Dividend income from investment 63,213.15 15,530.80
Net gain/ (loss) on financial instruments
Total 63,213.15 15,530.80 measured at fair value through OCI

Realised gain/(loss) loss on equity 1,169,019.60 2,882.68

21. NET GAIN / (LOSS) ON FAIR VALUE CHANGES Amount (` in Hundred) instruments at FVTOCI
Particulars For the year ended For the year ended Unrealised gain/(loss) on equity instruments (1,116,579.35) 1,121,050.78
31st March, 2022 31st March, 2021 at FVTOCI
Net gain/ (loss) on financial instruments
Total 52,440.25 1,123,933.46
measured at fair value through profit or
loss 27. EARNING PER SHARE (EPS)
Realised gain/(loss) loss on equity 382,885.19 20,069.71
instruments at FVTPL Particulars For the year ended For the year ended
31st March, 2022 31st March, 2021
Unrealised gain/(loss) on equity instruments 1,081,369.64 1,028,377.83
at FVTPL
Profit/(Loss) for the year Amount (` in 1,518,605.78 1,175,250.12
Total 1,464,254.83 1,048,447.54 Hundred)

22. OTHER INCOME Amount (` in Hundred) Weighted average number of Equity Shares 7,137,665 7,137,665
Particulars For the year ended For the year ended used in computing basic EPS
31st March, 2022 31st March, 2021
Weighted average number of Equity Shares 7,137,665 7,137,665
Interest on Income Tax Refund 48.00 1025.34 used in computing diluted EPS
Profit on sale of Fixed Assets 1044.90 0.00
Basic Earnings per share (Rs.) 21.28 16.47
Contingent Provision on Standard Assets 0.00 4687.07
written back
Diluted Earnings per share (Rs.) 21.28 16.47
Total 1092.90 5712.41
Face value per share (Rs.) 10 10
23. FINANCE COST (ON BORROWINGS, AT AMORTISED COST) Amount (` in Hundred)

Particulars For the year ended For the year ended 28. RELATED PARTY DISCLOSURES
31st March, 2022 31st March, 2021 As per Ind AS 24 on ‘Related party disclosures’, the related parties of the Company are as
Interest on Loans 1,306.44 2,924.97 follows:
Total 1,306.44 2,924.97 a) Key Managerial Personnel:

24. EMPLOYEE BENEFIT EXPENSES Amount (` in Hundred) 1. Shri Rupesh Kumar, (Joined on 16.06.2020 and Left on 24.01.2022)
2. Shri Mahesh Kumar Gupta, Chief Financial Officer
Particulars For the year ended For the year ended
3. Shri Jag Mohan Lal Suri, (Manager - upto 14th December, 2020)
31st March, 2022 31st March, 2021
4. Shri Naresh Khanna, (Manager upto 7th June, 2021)
Salaries and Benefits 63,343.89 39,642.82
Directors
Contribution to Provident fund and 2,121.56 3,171.68
superannuation fund 1. Shri Gulshan Rai (Independent Director)

Gratuity 752.52 396.82 2. Shri Harbans Lal (Independent Director)

3. Smt. Asha Mehra (Independent Director)
Staff welfare 1,022.69 1,367.06
4. Shri Anil Goyal
Total 67,240.66 44,578.38
5. Shri Ashish Kapur
25. OTHER EXPENSES Amount (` in Hundred) 6. Shri Lalit Bhasin (also see Para ‘b’ below)
Particulars For the year ended For the year ended b) Person having control/significant influence /major shareholders
31st March, 2022 31st March, 2021
1. Shri Lalit Bhasin
Rent/Facility Charges 11,863.93 1,1721.48
Vehicle Running and Maintenance 7,209.52 7,370.00 c) Enterprises over which control/significant influence exist of the relatives of
Insurance 2,028.91 1,976.66 persons mentioned in(c) above :-
Communication 3,114.81 4,025.73 1. RRB Master Securities Delhi Ltd.
CSR Expenses 3,980.00 2,450.00 d) Enterprises under direct or indirect common control/significant influence:
Travelling and Conveyance 15,882.57 14,188.36 1. HB Estate Developers Ltd.
Printing and Stationery 4,263.47 3,245.46 2. HB Securities Ltd.
Office Repairs and Maintenance 3,016.98 2,332.06
e) Transactions during the financial year ended 31.03.2022 with Related Parties as
Depository and custodial 4,293.52 1,506.74
under :
Subscription and Membership 1,585.25 2,018.38 Amount (` in Hundred)
Misc. Balances written off 12,372.60 0.00
Sr. Particulars Nature of Transaction For the year For the year
Legal and Professional 17,640.59 12,386.97
No. ended 31st ended 31st
Advertisement & Publicity 3,535.48 3,640.52 March, 2022 March, 2021
Listing Fees 5,400.00 5,400.00
i RRB Master Advances given (net) 14,604.71 16,741.33
Business Promotion 4,117.78 3,452.06 Securities Delhi Purchase of Investment 5,939,495.58 856,101.21
Miscellaneous 709.22 3,571.44 Ltd. through them
Auditor's Remuneration
Sale of Investment through 7,590,921.66 557,281.39
-Audit Fees 1,797.50 1,797.50 them
-Tax Audit Fees 250.00 250.00 Net Turnover of Derivative 106,859.40 168,168.56
-Limited Review Reports 300.00 300.00 Trading/Difference in share
-Certification and others 375.00 490.00 trading
Directors Sitting Fees 5,090.00 4,730.00 Receivable at the year end in 14,604.71 16,741.33
Total 108,827.13 86,853.36 respect of Loans & Advances

51
HB STOCKHOLDINGS LIMITED

Sr. Particulars Nature of Transaction For the year For the year (ii) Movement in Plan Assets – Gratuity Amount (` in Hundred)
No. ended 31st ended 31st Particulars Gratuity Leave Encashment
March, 2022 March, 2021 (Funded) (Unfunded)
ii HB Estate Rent/ Facility Charges Paid 10,162.63 10,162.63
Developers Ltd. (including GST) Year ended Year ended Year ended Year ended
31st March, 31st March, 31st March, 31st March,
Receivable at the year end in 345,000.00 345,000.00 2022 2021 2022 2021
respect of Loans & Advances
Fair value of plan assets at 15,382.46 13,410.56 - -
iii HB Securities Depository Charges 3,374.36 374.67 beginning of year
Ltd. Expected return on plan assets 1,115.23 938.74 - -

iv Lalit Bhasin Sitting Fees paid 500.00 550.00 Employer contributions 0.00 0.00 - -

v Anil Goyal Sitting Fees paid 980.00 1,010.00 Benefits paid 0.00 0.00 - -

vi Ashish Kapur Sitting Fees paid 400.00 300.00 Actuarial gain / (loss) 1,538.00 1,033.16 - -

vii Gulshan Rai Sitting Fees paid 1,150.00 1,150.00 Fair value of plan assets at 18,035.69 15,382.46 - -
end of year*
viii Harbans Lal Sitting Fees paid 1,230.00 1,060.00
(*) 100% of fund is managed by Insurance Company
ix Asha Mehra Sitting Fees paid 830.00 660.00
(iii) The amount to be recognised in the Balance Sheet Amount (` in Hundred)
x Naresh Khanna Remuneration & other 18,500.00 Nil
services Particulars Gratuity Leave Encashment
(Funded) (Unfunded)
xi Jag Mohan Lal Remuneration & other Nil 10,276.89 Year ended Year ended Year ended Year ended
Suri services 31st March, 31st March, 31st March, 31st March,
2022 2021 2022 2021
xii Mahesh Kumar Remuneration & other 21,083.33 17,101.99
Gupta services Present value of obligation-at 12,419.31 10,128.73 3,467.53 2,547.49
the end of the period
xiii Rupesh Kumar Remuneration & other 6,010.89 5,230.33 Fair value of plan assets at end 16,513.07 15,382.46 0.00 0.00
services of year
Net liability/(asset) recognized (4,093.76) (5,253.73) 3,467.53 2,547.49
29. RETIREMENT BENEFIT OBLIGATIONS in Balance Sheet
Disclosure in respect of Employee Benefits pursuant to Ind AS-19. Funded Status- Surplus/ 4,093.76 5,253.73 (3,467.53) (2,547.49)
(Deficit)
A) Defined Contributions Plans
The company has recognised following expenses in respect of the defined contribution (iv) Expense recognised in the statement of Profit and Loss Amount (` in Hundred)
plans:
Amount (` in Hundred) Particulars Gratuity Leave Encashment
(Funded) (Unfunded)
Particulars Current Year Previous Year
Year ended Year ended Year ended Year ended
31st March, 31st March, 31st March, 31st March,
Company Contribution to Provident Fund 2,121.56 2,496.68
2022 2021 2022 2021

Company Contribution to Superannuation Fund 0.00 675.00 Interest cost 734.33 757.23 184.69 391.30

Current Service cost 1,133.42 578.33 742.15 194.91

B) Defined Benefit Plans
Expected return on plan assets (1,115.23) (938.74) 0.00 0.00
Below tables sets forth the changes in the projected benefit obligation and plan assets and
amounts recognized in the Balance Sheet as of 31st March, 2022 and 31st March, 2021, Expenses to be recognised 752.52 396.82 926.84 586.21
being the respective measurement dates: in P&L
(i) Movement in defined benefit obligation Amount (` in Hundred)
(v) Recognised in Other Comprehensive Income Amount (` in Hundred)
Particulars Gratuity Leave Encashment Particulars
(Funded) (Unfunded) Gratuity Leave Encashment
(Funded) (Unfunded)
Year ended Year ended Year ended Year ended
31st March, 31st March, 31st March, 31st March, Year ended Year ended Year ended Year ended
2022 2021 2022 2021 31st March, 31st March, 31st March, 31st March,
2022 2021 2022 2021
Present value of obligation -at 10,128.73 10,817.60 2,547.49 5,590.03
Cumulative unrecognized (5,257.98) (2,200.39) (798.29) (876.21)
the beginning of the period
actuarial (gain)/loss opening.
B/F
Interest cost 734.33 757.23 184.69 391.30
Remeasurement - Actuarial 422.83 (2,024.43) 488.20 77.92
Current service cost 1,133.42 578.33 742.15 194.91 (gain)/loss -Obligation

Benefits paid 0.00 0.00 (495.00) (3,706.67) Remeasurement - Actuarial (1,538.00) (1,033.16) 0.00 0.00
(gain)/loss -Plan assets

Remeasurements - actuarial 422.83 (2,024.43) 488.20 77.92 Total Acturial (gain)/loss (1,115.17) (3,057.59) 488.20 77.92
(gain)/ loss
Cumulative unrecognized (6373.15) (5257.98) (310.09) (798.29)
Present value of obligation -at 12,419.31 10,128.73 3,467.53 2,547.49 actuarial (gain)/loss opening.
the end of the period C/F

52
HB STOCKHOLDINGS LIMITED
(vi) The principal actuarial assumptions used for estimating the Company’s defined 33. DISCLOSURE OF LOANS/ADVANCES IN THE NATURE OF LOANS IN TERMS
benefit obligations are set out below: OF PROVISION OF REGULATION 34 OF THE SEBI (LISTING OBLIGATION AND
DISCLOSURE REQUIREMENTS) REGULATIONS, 2015
Weighted average actuarial Gratuity Leave Encashment
assumptions (Funded) (Unfunded) Particulars Outstanding Max. Outstanding Max. Balance
Balance Balance Balance outstanding
Year ended Year ended Year ended Year ended
as on 31st outstanding as on 31st during the
31st March, 31st March, 31st March, 31st March,
March, 2022 during the March, 2021 previous
2022 2021 2022 2021
year Year
Discount Rate 7.25 % per 7.00 % per 7.25 % per 7.00 % per i. Loans & Advances in 0 0 1000.00 1000.00
anum anum anum anum the nature of loans to
Expected Rate of increase in 5.00 % per 5.00 % per 5.00 % per 5.00 % per subsidiary.
salary anum anum anum anum ii. Loans & Advances in Nil Nil Nil Nil
Mortality rate IALM IALM IALM IALM the nature of loans to
2012-14 2012-14 2012-14 2012-14 Associates.
Withdrwal Rate- 18 to 30 5.00 % p.a. 5.00 % p.a. 5.00 % p.a. 5.00 % p.a. iii. Loans & Advances in the Nil Nil Nil Nil
Years nature of loans where
there is no repayment
- 30 to 44 Years 3.00 % p.a. 3.00 % p.a. 3.00 % p.a. 3.00 % p.a. schedule , no interest or
- 44 to 70 Years 2.00 % p.a. 2.00 % p.a. 2.00 % p.a. 2.00 % p.a. interest below Section
186 of the Companies
The assumption of future salary increase takes into account the inflation, seniority,
Act,2013
promotion and other relevant factors such as supply and demand in employment market.
iv. Loans & Advances in Nil Nil Nil Nil
(vii) Sensitivity Analysis the nature of loans to
For the year ended 31st March, 2022 firms/companies in which
directors are interested.
Particulars Change in Effect on Effect on leave
v. Investments by Loanee No. of Amount. No. of Amount.
assumption Gratuity encashment
in the Shares of Parent Shares Shares
Discount Rate +1% 11006.17 3079.18 Company and Subsidiary Nil Nil Nil Nil
  -1% 14075.25 3923.61 Company when the
Salary Growth Rate +1% 14097.05 3929.59 Company has made loan
  -1% 10964.74 3067.89 or advance in the nature
of Loan.
Attrition Rate +1% 12680.43 3548.64
  -1% 12126.21 3376.76 34. DISCLOSURE RELATING TO OUTSTANDING DERIVATIVE EXPOSURES IN SECURITIES

(viii) Estimate of expected benefit payments (In absolute terms i.e. undiscounted) a) Cash Margin amounting to ` 14,604.71/- Hundred (` 16,741.33/- Hundred) on Equity
Derivative instruments contracts has been paid and outstanding as at the end of
Amount (` in Hundred) previous year.
Particulars Gratuity Leave b) Detail of Open Interest in Equity Stock Futures Contracts as at the year-end 31st
encashment March, 2022
01st April, 2022 to 31st March, 2023 410.41 126.81
Name of Equity Stock Future No. of Units Units
01st April, 2023 to 31st March, 2024 134.95 3,340.72 Contracts (In Nos.) (In Nos.)
01st April, 2024 to 31st March, 2025 134.95 Long (Short)
01st April, 2025 to 31st March, 2026 142.12 Adani Ports Ltd 5 1250 Nil
01st April, 2026 to 31st March, 2027 142.28 Nil Nil Nil
01st April, 2027 Onwards 11,454.60 Bank of Baroda 12 11700 Nil
30. CONTINGENT LIABILITIES AND COMMITMENTS (TO THE EXTENT NOT PROVIDED Nil Nil Nil
FOR) Bandhan Bank Nil Nil Nil
6 1800 Nil
CONTINGENT LIABILITIES:
BPCL Nil Nil Nil
a) Income Tax Rs. Nil (Previous Year Rs. Nil) 8 1800 Nil
b) Amount payable in respect of partly paid up shares: Rs.284.89/- Hundred (previous Canara Bank 3 1800 Nil
year Rs. 920.11/- Hundred) 2 5400 Nil
31. QUANTITATIVE DETAILS Glenmark Pharma 6 1150 Nil
6 1150 Nil
Quantitative information in respect of Investments in securities:
GMR Infrastructure Limited 8 22500 Nil
EQUITY INSTRUMENTS 8 22500 Nil
Particulars Current Year Previous Year HCL Tecnologies Ltd Nil Nil Nil
12 700 Nil
Qty. Amount Qty.(Nos.) Amount India Bull Housing & Finance Ltd 24 3100 Nil
(Nos.) (` in Hundred) (` in Hundred) Nil Nil Nil
Opening Balance 15329051 2,134,079.74 11778445 819,925.56 ITC Ltd 20 3200 Nil
31 3200 Nil
Purchases/conversions 5164638 6,368,980.29 4755031 741,779.18 Hind Petro Ltd Nil Nil Nil
Sales/Conversions/Transfer* 7468395 6,355,962.80 1204425 476,019.28 7 2700 Nil
L&T Finance Holding Ltd Nil Nil Nil
Closing Balance 13025294 3,611,432.47 15329051 2,134,079.74 1 8924 Nil
MUTUAL FUND UNITS Lupin Laboratories Ltd Nil Nil Nil
3 850 Nil
Particulars Current Year Previous Year Punjab National Bank Nil Nil Nil
1 16000 Nil
Qty. Amount Qty.(Nos.) Amount Petronet LNG Ltd 9 3000 Nil
(Nos.) (` in Hundred) (` in Hundred) Nil Nil Nil
Opening Balance 5069 50,690.48 Nil Nil SAIL 34 4750 Nil
Nil Nil Nil
Purchases/conversions 16300 163,079.42 16191 200,792.93
Sun Pharmacuticals Ltd 32 700 Nil
Sales/Conversions/Transfer* 0 0.00 11122 150,155.71 8 1400 Nil
Closing Balance 21369 213,689.49 5069 50,690.48 Tata Motors Ltd 10 2850 Nil
8 2850 Nil
Tata Steel Ltd 24 425 Nil
32. DUE TO MICRO, SMALL AND MEDIUM ENTERPRISES Nil Nil Nil
To the extent information available with the Company, it has no dues to the Micro, Small Reliance Industries Ltd 4 250 Nil
and Medium Enterprises as at 31st March, 2022 and 31st March, 2021. 11 250 Nil

53
HB STOCKHOLDINGS LIMITED
35. CAPITAL MANAGEMENT
 Particulars Impact on Profit & Loss for the year
The Company’s policy is to maintain a strong capital base so as to maintain investor, ended 31st March 2022
creditor and market confidence and to sustain future development of the business.
The company has adequate cash and bank balances. The company monitors its capital 31st March, 2022 31st March, 2021
by careful scrutiny of the cash and bank balances, and a regular assessment of any debt
requirements. In the absence of any significant amount of debt, the maintenance of debt NSE/ BSE Index - Increase by 2 % 72,228.65 42,681.59
equity ratio etc. may not be of any relevance to the Company.
NSE/ BSE Index - Decrease by 2 % (72,228.65) (42,681.59)
36. FINANCIAL RISK MANAGEMENT II. Credit risk
Financial risk factors Credit risk is the risk that a counter party will not meet its obligations under a financial
instrument or customer contract, leading to a financial loss.The company is exposed
The Company’s principal financial liabilities, comprise borrowings and other payables. The to credit risk from its financing activities towards inter corporate loans where no
main purpose of these financial liabilities is to purchase certain fixed assets and other significant impact on credit risk has been identified..
liabilities incurred during the ordianary course of Company’s operations. The Company’s
principal financial assets include Investments, inter corporate deposits, loans, cash and III. Liquidity risk
cash equivalents and other receivables. The Company’s activities expose it to a variety of Liquidity risk is the risk that the Company may not be able to meet its present and
financial risks: future cash and collateral obligations without incurring unacceptable losses.The
Company manages its liquidity requirement by analysing the maturity pattern of
I. Market Risk Company’s cash flows of financial assets and financial liabilities.
Market risk is the risk that the fair value or future cash flows of a financial instrument The table below summarises the maturity profile of the undiscounted cash flows of
will fluctuate because of changes in market prices. Market prices comprise three the Company’s financial assets and liabilities.
types of risk: currency rate risk, interest rate risk and other price risks, such as Amount (` in Hundred)
commodity risk. Financial instruments affected by market risk include loans and
borrowings, deposits, investments. As at 31st March, 2022 Within After Total
12 Months 12 Months
The company is exposed to market risk primarily related to the market value of its
Financial Assets
investments.
Cash and cash equivalents 424,171.35 0.00 424,171.35
Interest Rate Risk Loans 1,285,000.00 0.00 1,285,000.00
Interest rate risk is the risk that the fair value of future cash flows of Financial Investments 3,825,121.96 903,242.41 4,728,364.37
Instruments will fluctuate because of change in market interest rates.The company Other Financial Assets 490,936.06 0.00 490,936.06
does not have exposure to the risk of changes in market interest rate as it has debt
Total 6,025,229.38 903,242.41 6,928,471.79
obligations with fixed interest rates which are measured at amortised cost.
Financial Liabilities
Currency risk Borrowings 5,385.58 0.00 5,385.58
Currently company does not have transaction in foreign currencies and hence the Other financial liabilities 16,727.76 0.00 16,727.76
company is not exposed to currency risk. Total 22,113.34 0.00 22,113.34
Equity Price Risk Amount (` in Hundred)
(a) Exposure As at 31st March, 2021 Within After Total
The company is exposed to equity price risk arising from Investments held by 12 Months 12 Months
the company and classified in the balance sheet as fair value through P&L. To Financial Assets
manage its price risk arising from investment in equity securities, the company Cash and cash equivalents 130,026.27 0.00 130,026.27
diversifies its portfolio.
Loans 505,000.00 0.00 505,000.00
The majority of the company’s equity instruments are listed on the Bombay Investments 2,184,770.22 2,373,999.87 4,558,770.09
stock exchange (BSE) or the National stock exchange (NSE) in India. Other Financial Assets 479,230.73 0.00 479,230.73
(b) Sensitivity analysis- Equity price risk Total 3,299,027.22 2,373,999.87 5,673,027.09
The table below sumarise the impact of increase/ decrease of the index on the Financial Liabilities
company’s equity and the profit for the period. The analysis is based on the Borrowings 20,397.60 5,385.58 25,783.18
assumption that the equity/ index had increased by 2% or decreased by 2% with Other financial liabilities 372,227.41 0.00 372,227.41
all other variable held constant, and that all the company’s equity instruments Total 392,625.01 5,385.58 398,010.59
moved in line with the Index.

37. MATURITY ANALYSIS OF ASSETS AND LIABILITIES

The table shows an analysis of assets and liabilities analysed according to when they are expected to be recovered or settled
Amount (` in Hundred)
Particulars 31st March, 2022 31st March, 2021
Within After Total Within After Total
12 Months 12 Months 12 Months 12 Months
ASSETS
Finacial Assets
Cash and cash equivalents 424,171.35 0.00 424,171.35 130,026.27 0.00 130,026.27
Loans 1,285,000.00 0.00 1,285,000.00 505,000.00 0.00 505,000.00
Investments 3,825,121.96 903,242.41 4,728,364.37 2,184,770.22 2,373,999.87 4,558,770.09
Other Financial Assets 490,936.06 0.00 490,936.06 479,230.73 0.00 479,230.73
Non-Finacial Assets
Current tax assets 0.00 0.00 0.00 6,615.36 0.00 6,615.36
Deferred Tax Assets (Net) 1,264.39 0.00 1,264.39 0.00 0.00 0.00
Property, Plant and Equipment 61,015.42 0.00 61,015.42 78,030.55 0.00 78,030.55
Other non -financial assets 78,788.23 0.00 78,788.23 70,085.13 0.00 70,085.13
TOTAL ASSETS 6,166,297.42 903,242.41 7,069,539.83 3,453,758.27 2,373,999.87 5,827,758.14
LIABILITIES
Financial Liabilities
Borrowings 5,385.58 0.00 5,385.58 20,397.60 53,85.58 25,783.18
Other financial liabilities 16,727.76 0.00 16,727.76 372,227.41 0.00 372,227.41
Non Financial Liabilities
Current Tax Liabilities (Net) 58,107.03 0.00 58,107.03 0.00 0.00 0.00
Provisions 100,059.68 10,000.00 110,059.68 93,557.31 12,342.08 105,899.39
Deferred Tax Liabilities (Net) 0.00 0.00 0.00 8,142.84 0.00 8,142.84
Other non-financial liabilities 2,256.67 0.00 2,256.67 465.54 0.00 465.54
TOTAL LIABILITIES 182,536.72 10,000.00 192,536.72 494,790.70 17,727.66 512,518.36

54
HB STOCKHOLDINGS LIMITED
38. FAIR VALUES

The management assessed that Fair Values of Financial Assets and Liabilities are approximately their carrying values.

39. FAIR VALUE HIERARCHY

The company determines fair values of its financial instruments according to the following hierarchy:
Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities.
Level 2: Other techniques for which all inputs have a significant effect on the recorded fair value are observable, either directly or indirectly.
Level 3: Techniques which use Inputs that have a significant effect on the recorded fair value that are not based on observable market data.

The following table presents the carrying value and fair value of each category of financial assets and liabilities as at 31st March, 2022: Amount (` in Hundred)

Particulars Ammortised Fair value Fair value Total carrying Total Fair Fair value
cost through OCI through P&L value Value
Level 1 Level 2 Level 3 Total

Financial Assets  

Cash and cash equivalents 424,171.35 0.00 0.00 424,171.35 424,171.35 0.00 0.00 0.00 0.00

Bank Balance other than above 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00 0.00

Loans 1,285,000.00 0.00 0.00 1,285,000.00 1,285,000.00 0.00 0.00 0.00 0.00

Investments

-Quoted shares/Units 0.00 78,118.66 3,825,121.96 3,903,240.62 3,903,240.62 3,903,240.62 0.00 0.00 3,903,240.62

-Unquoted shares/Units 825,123.75 0.00 0.00 825,123.75 825,123.75 0.00 0.00 0.00 0.00

Other Financial Assets 490,936.06 0.00 0.00 490,936.06 490,936.06 0.00 0.00 0.00 0.00

Total 3,025,231.16 78,118.66 3,825,121.96 6,928,471.78 6,928,471.78 3,903,240.62 0.00 0.00 3,903,240.62

Financial Liabilities

Borrowings 5,385.58 0.00 0.00 5,385.58 5,385.58 0.00 0.00 0.00 0.00

Other financial liabilities 16,727.76 0.00 0.00 16,727.76 16,727.76 0.00 0.00 0.00 0.00

Total 22,113.34 0.00 0.00 22,113.34 22,113.34 0.00 0.00 0.00 0.00

The following table presents the carrying value and fair value of each category of financial assets and liabilities as at 31st March, 2021: Amount (` in Hundred)
Particulars Ammortised Fair value Fair value Total carrying Total Fair Fair value
cost through OCI through P&L value Value
Level 1 Level 2 Level 3 Total
Financial Assets  
Cash and cash equivalents 130026.27 0.00 0.00 130026.27 130026.27 0.00 0.00 0.00 0.00
Loans 505000.00 0.00 0.00 505000.00 505000.00 0.00 0.00 0.00 0.00
Investments
-Quoted shares 0.00 1548876.12 2184770.22 3733646.34 3733646.34 3733646.34 0.00 0.00 3733646.34
-Unquoted shares 825123.75 0.00 0.00 825123.75 825123.75 0.00 0.00 0.00 0.00
Other Financial Assets 479230.73 0.00 0.00 479230.73 479230.73 0.00 0.00 0.00 0.00
Total 1939380.75 1548876.12 2184770.22 5673027.09 5673027.09 3733646.34 0.00 0.00 3733646.34
Financial Liabilities
Borrowings 25783.18 0.00 0.00 25783.18 25783.18 0.00 0.00 0.00 0.00
Other financial liabilities 372227.41 0.00 0.00 372227.41 372227.41 0.00 0.00 0.00 0.00
Total 398010.59 0.00 0.00 398010.59 398010.59 0.00 0.00 0.00 0.00

40. LITIGATION Corporate Social Responsibility (CSR) Expenses during the year: (Rs. in Hundred)

The Company is in appeal in respect of various income tax matters.The Contingent liability Particulars For the year For the year
in respect thereof is disclosed in note no. 30. Besides,in respect of appeals decided in ended 31st ended 31st
favour of the company,the department is in appeals in certain cases. March 2022 March 2021
In addition,the company is subject to legal proceedings and claims,which have arisen in i Amount required to be spent by the company 3,707.60 2500.00
the ordinary course of business.The Company’s management does not reasonably expect during the year
that the above legal claims and proceedings, when ultimately concluded and decided will ii Gross amount spent by the Company during 3,980.00 2500.00
have a meterial and adverse effect on the company’s results of operations or financial the year
statements. iii Shortfall/(Excess) for the year (i-ii) (272.40) 0.00
41. LEASE iv Total of previous years shortfall 0.00 0.00
v Previous year shortfall spent during the year 0.00 0.00
Expenses recognised in the statement of profit & loss in respect of short term lease for ` vi Reason for Shortfall 0.00 0.00
11863.93/- Hundred (PY Rs.11721.48/- Hundred)
vii Nature of CSR activities: - Promoting
42. SEGMENT REPORTING healthcare, Promotoing education, Eradicating
hunger
In the opinion of Management there are no separate reportable segments as per Indian
Accounting Standard (Ind AS-108) viii CSR activities with Related Parties NA NA
43. The Company did not have any long term contracts including derivative contracts for which ix Movement of CSR Provisions: -
there were any material foreseeable losses. Opening Provision 0.00 0.00
44. The Company is required to spent Rs.3707.60/- Hundred (Previous year Rs. Nil) on Created during the year 3,707.60 0.00
Corporate Social Responsibility(CSR) activities during the year. Amount spent during the Utilized during the year 3,980.00 0.00
year Rs, 3980.00/- Hundred (Previous Year Rs. 2500.00/- Hundred) Closing Provision (272.40) 0.00

55
HB STOCKHOLDINGS LIMITED
45. ADDITIONAL INFORMATION PURSUANT TO PARA 2 OF GENERAL INSTRUCTIONS FOR THE PREPARATIONS OF CONSOLIDATED FINANCIAL STATEMENTS:
Name of the entity in the Net Assets i.e Total assets Share in Profit/ Loss Shares in other Amount Shares in total Amount
  minus total Liabilities Comprehensiv (` in Hundred) Comprehensive (`. in Hundred)
income income
As % of Amount As % of Amount
consolidated (` in Hundred) consolidated (` in Hundred)
net assets Profit/Loss
1 2 3 4 5        
Parent      
HB Stockholding Ltd. 100.35 6,901,033.67 100.46 1,180,698.39 100.00 43157.55 100.35 1,567,211.60
(100.35) (5,333,822.08) (100.44) (1,180,441.20) (100.00) (1,115,175.57) (100.23) (2,295,616.77)
Subsidiary (Indian)
Mount Finance Ltd. -0.35 -24,030.57 -0.46 -5,448.27 0.00 0.00 -0.35 -5448.27
(-0.35) (-18,582.30) (-0.44) (-5,191.07) (0.00) (0.00) (-0.23) (-5191.07)
Total 100.00 6,877,003.10 100.00 1,175,250.12 100.00 43,157.55 100.00 1,561,763.33
  (100.00) (5,315,239.78) (100.00) (1,175,250.13) (100.00) (1,115,175.57) (100.00) (2,290,425.70)

(*) Figure in bracket relates to previous year.

46. OTHER STATUTORY INFORMATION

i The Group does not have any Benami property, where any proceeding has been initiated or pending against the Group for holding any Benami property.

ii The Group does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period

iii The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017 for the
financial years ended 31st March, 2022 and 31st March, 2021.

iv The company did not have any transactions with companies which were struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956

v The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

vi The Company has not been declared wilful defaulter by any bank or financial institution or government or any government authority.

vii The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

viii The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that
the Group shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries,

ix The Company has not any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments
under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961

47. The Previous year figures have been regrouped/reclassified,wherever necessary to confirm to the Current Year’s presentation.

The accompanying notes form an integral part of the Consolidated Financial Statements.
As Per our Report attached on even date
FOR G. C. AGARWAL & ASSOCIATES FOR AND ON BEHALF OF THE
CHARTERED ACCOUNTANTS BOARD OF DIRECTORS OF
Firm Registration Number : 017851N HB STOCKHOLDINGS LIMITED

Sd/- Sd/- Sd/-

G C AGARWAL ANIL GOYAL LALIT BHASIN
(PROPRIETOR) (DIRECTOR) (CHAIRMAN)
MEMBERSHIP NO. : 083820 DIN: 00001938 DIN: 00002114

Sd/- Sd/-
MAHESH KUMAR GUPTA REEMA MIGLANI
PLACE: GURUGRAM (CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
DATE: 18TH MAY, 2022 ( M NO: ACS45762)

56
HB STOCKHOLDINGS LIMITED
Form AOC-1
(Pursuant to first proviso to sub section (3) of Section 129 read with Rule 5 of Companies (Accounts) Rules, 2014)
STATEMENT CONTAINING SALIENT FEATURES OF THE FINANCIAL STATEMENTS OF SUBSIDIARIES/ ASSOCIATE COMPANIES/ JOINT VENTURES

Part “A”: Subsidiaries:

(Amount In `)
S. No. Particulars

1. Name of the Subsidiary Mount Finance Limited

2. Reporting period for the subsidiary concerned, if different from the holding company’s reporting period. N.A.

3. Reporting currency and Exchange rate as on the last date of the relevant financial year in the case of foreign subsidiaries. N.A.

4. Share Capital 83,00,060

5. Reserves and Surplus (1,07,03,118)

6. Total Assets 9,15,232

7. Total Liabilities 9,15,232

8. Investments Nil

9. Turnover Nil

10. Profit/(Loss) Before Taxation (5,44,827)

11. Provision for taxation/ Deferred Tax Nil

12. Profit After Taxation (5,44,827)

13. Proposed Dividend Nil

14. % of Shareholding (Equity) 100%

Notes:

1. Names of Subsidiaries which are yet to commence operations: N.A.

2. Names of Subsidiaries which have been liquidated or sold during the year: N.A.

Part “B”: Associates and Joint Venture: Not Applicable

FOR AND ON BEHALF OF THE BOARD

HB STOCKHOLDINGS LIMITED

Sd/- Sd/-
ANIL GOYAL LALIT BHASIN
(DIRECTOR) (CHAIRMAN)
DIN:00001938 DIN: 00002114

Sd/- Sd/-
PLACE: GURUGRAM MAHESH KUMAR GUPTA REEMA MIGLANI
DATE : 18 MAY, 2022
TH
(CHIEF FINANCIAL OFFICER) (COMPANY SECRETARY)
ACS-45762

57
HB STOCKHOLDINGS LIMITED
Plot No. 31, Echelon Institutional Area,
Sector-32, Gurugram - 122 001, Haryana
Ph : 0124-4675500, Fax : 0124-4370985
Email: [email protected]
CIN: L65929HR1985PLC033936