Arohan Financial Services Limited | Annual Report 2022-23

| 200 Annual Report | 2022-2023 Financial Arohan Financial Services Limited Summary of significant accounting policies and other explanatory information for the year ended 31 March 2023 (Contd.) (All amounts in ` lakhs unless otherwise stated) Note 50(A): Additional disclosures pursuant to the RBI/2021-22/112DOR.CRE.REC.No.60/03.10.001/2021-22 dated October 22, 2021 on Scale Based Regulation (contd) 4) Details of non-compliance with requirements of Companies Act, 2013 including with respect to compliance with accounting and secretarial standards: Nil 5) Details of penalties and strictures The Company has complied with all the requirements of regulatory authorities. No penalties or strictures were imposed on the Company by Stock Exchanges or SEBI or any statutory authority on any matter related to the activities of the Company except a penalty of an amount of ` 0.16 lakhs has been paid to Reserve Bank of India towards late submission fees of FC_TRS under Foreign Exchange Management Act, 1999. (b) There are no modified opinion expressed by the auditors. (c) There are no items of income and expenditure of exceptional nature. (d) Breach of financial covenant: (i) Debt securities Lender Sanction date Description of financial covenants Limit required Actual Japanese ASEAN Women Empowerment Fund December 2, 2020 (PAR 30 + restructure loan + net write-off of 12 months)/ Gross loan portfolio (refer note 1) less than 10.00% 16.09% (PAR 90 + restructure loans - provision)/ Tier 1 capital (refer note 2) less than 10.00% 21.69% Blue Orchard Microfinance Fund May 31, 2022 (PAR 30 + non-covid restructure loan + net write-off of 12 months)/ Gross loan portfolio (refer note ence 3) less than 15.00% 15.55% (PAR 90 + non-covid restructure loans - total provision)/ Tier I capital (refer note 4) less than 10.00% 13.79% CDC Group December 19, 2020 (PAR 90 + restructure loans)/ Gross loan portfolio (refer note 5) less than 5.00% 9.57% Indian Bank July 8, 2020 Operatinal self sufficiency ratio (refer note 6) greater than 110.00% 108.99% NorthernArc Capital Limited July 27, 2018 PAR 90 percentage (refer note 7) less than 2.00% 2.71% (ii) Borrowings (other than debt securities) and Subordinated liabilities Particulars Sanction date Description of financial covenants Limit required Actual Borrowings (other than debt securities) March 31, 2022 (PAR 90 + non-covid restructure loans + net write-off of 12 months)/ Gross loan portfolio (refer note 8) less than 5.00% 14.31% February 7, 2022 (PAR 90 + non-covid restructure loans + net write-off of 12 months)/ Gross loan portfolio (refer note 8) less than 5.00% 14.31% March 21, 2022 (PAR 30 + restructure loans)/ Gross loan portfolio less than 5.00% 9.80% (PAR 90 + restructure loans)/ Gross loan portfolio (refer note 5) less than 3.00% 9.57%