PRIVI SPECIALITY CHEMICALS LIMITED Annual Report 2020-21

186 PRIVI SPECIALITY CHEMICALS LIMITED (Formerly known as Fairchem Speciality Limited) 35 Contingent Liabilities: Claims against the group not acknowledged as debts are as below : Particulars As at March 31, 2021 As at March 31, 2020 (Restated) Nature of tax Income tax 1,515.22 1,518.55 Custom duty* 15.52 15.52 * D emand of Rs. 15.52 lakhs (out of which Rs. 6.00 lakhs paid) raised by Customs, Excise and Service Tax Appellate Tribunal West Zonal Bench, Mumbai for clearance of imported goods under DEPB scheme. (Contravention of the provisions of Section 111 (o) of the Customs Act, 1962) The claims against the Group comprise of pending litigations / proceedings pertaining to demands raised by Excise, Custom, Sales/ VAT tax and other authorities / bodies. The Group has reviewed all its pending litigations and proceedings and has adequately provided for where provisions are required and disclosed as contingent liabilities where applicable, in its financial statements. The Company does not expect the outcome of these proceedings to have a materially adverse effect on its financial statements. It is not practicable for the Group to estimate the timings of cash outflows, if any, in respect of the above pending resolution of the respective proceedings as it is determinable only on receipt of judgements/decisions pending with various forums/ authorities. The Group does not expect any reimbursements in respect of the above contingent liabilities. 36 Commitments Particulars As at March 31, 2021 As at March 31, 2020 (Restated) Estimated amount of contracts remaining to be executed on capital account and not provided for (Net of advances of Rs. 3,290.41 lakhs, March 31, 2020 : Rs. 495.26 lakhs) 11,374.66 4,520.01 LC’s issued in favour of suppliers, but the material not dispatched 1,531.81 1,486.14 37 Earnings per share Particulars Year ended March 31, 2021 Year ended March 31, 2020 (Restated) Profit after tax attributable to equity shareholders [A] 11,690.06 14,602.94 Number of equity shares at the beginning of the year [B] 3,90,62,700 3,90,62,700 Number of equity shares outstanding at the end of the year [C] 3,90,62,700 3,90,62,700 Weighted average number of equity shares outstanding during the year [D] 3,90,62,700 3,90,62,700 Basic and diluted earnings per share of face value Rs. 10 [A]/[D] 29.93 37.38 38 Transfer Pricing Transactions with related parties are governed by transfer pricing regulations of the Indian Income-tax Act, 1961. The Holding Company’s international and domestic transactions with related parties are at arm’s length as per the independent accountants report for the year ended March 31, 2020. Management believes that the Company’s international and domestic transactions with related parties post March 2020 continue to be at arm’s length and that the transfer pricing legislation will not have any impact on the financial statements, particularly on the amount of tax expense and that of provision for taxation. NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS for the year ended March 31, 2021 (Currency: Indian Rupees in lakhs)