MSTC Ltd

Dear Shareholders,

The Directors of your Company are pleased to present the 59 Annual Report on the business and operations of the Company together with the Audited Financial Statements,

Auditor's Report and comments of the Comptroller & Auditor General of India for the year ended 31 March, 2024.

Financial Highlights of the Company

During the financial year 2023-24 the Pro t After Tax stands at Rs. 17,191 lakhs as against Rs. 23,923 lakhs in the previous year. Pro t Before Tax was Rs. 28,444 lakhs compare to

Rs. 31,348 lakhs in the previous year. Company has recorded total revenue of Rs. 51,929 lakhs. Total E-commerce income has increased from Rs. 34,893 lakhs to Rs. 36,409 lakhs.

The Standalone Financial results of the Company for the financial year 2023-24 and 2022-23 are given below:

*(Dividend (%) for FY 2023-24 includes 1 interim dividend

@ 55%, 2 interim dividend @ 50% and nal dividend proposed @ 50%)

**(Dividend (%) for FY 2022-23 includes 1 interim dividend

@ 55%, 2 interim dividend @ 63% and nal dividend @ 32%)

Operational Highlights:

During the financial year 2023-24, the Company has crossed

Rs. 1,41,58,657 Lakhs in terms of value of goods transacted through its trading and e-commerce verticals. Other operational highlights are as follows;

1. Circular Economy: In FY 2023-24 MSTC has added two more RVSFs (Registered Vehicle Scrapping Facility) at Guwahati and Bengaluru through its JV company MMRPL (Mahindra MSTC Recycling Pvt. Ltd) promoting Steel recycling towards circular economy.

2. ELV Auction Portal: MSTC launched ELV auction portal for disposal of 'End-Of-Life' Vehicles for Central and State Govt. in compliance with the MoRTH's notified Motor Vehicles (Registration and Functions of Vehicle Scrapping Facility) Rules, 2021. The services have now been extended for individual ELV owners also.

3. Coal Mine Auction for Commercial Mining: 20 Coal Mine blocks have been successfully allotted through auction for commercial mining in FY 2023-24.

4. Mineral Block Auction: 92 Major Mineral blocks have been successfully allotted through auctions for various States in FY 2023-24.

5. MSTC has developed the bidding portal for auction for leasing Critical Mineral Blocks. 6 (six) blocks of critical minerals have been auctioned successfully in FY 2023-24.

6. Auction of NPAs: In FY 2023-24, 10,815 Nos. of NPAs from various banks have been sold through auctions for a sale value of Rs.10,178 Crore.

Dividend

During the year, the Company paid a first interim dividend of

Rs. 5.50 per share and a second interim dividend of Rs. 5.00 per share. In addition, the Board of Directors of your Company has recommended a nal dividend of Rs. 5.00 per share for the year, thereby taking the total dividend for the year to

Rs. 15.50 per share with a total pay-out of Rs. 10,912 Lakhs. The nal dividend is payable to those Shareholders whose names appear in the Register of Members as on the Book Closure / Record Date. The dividend declared/ recommended for the year are in accordance with the Company's dividend distribution policy. The Dividend Distribution policy as formulated by the Company may be accessed at the web link https://www.mstcindia.co.in/MSTC_Static_Pages/frontpag e/newpolicy/DIVIDENDDISTRIBUTIONPOLICY.pdf.

Reserves

The Reserves stand at Rs. 59,417.08 Lakhs as on 31 March 2024.

Changes in Share Capital

The authorized share capital of your Company as on 31 March, 2024 stands at Rs. 15,000.00 Lakhs divided into 1,500.00 Lakhs equity shares of Rs. 10.00 each. During the year under review there is no change in share capital of your company.

Directors Responsibility Statement

Pursuant to the provisions of Section 134(5) of the

Companies Act, 2013, the Board of Directors state that:

a) In preparation of the Annual Accounts, applicable Indian Accounting Standards (IND-AS) have been followed along with proper explanation relating to material departures.

b) The Directors have 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 as at 31 March, 2024 and of the profit of the Company for the financial year 2023-24.

c) The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013 for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities.

d) The Directors have prepared the Annual Accounts for the year ended 31 March, 2024 on a going concern basis.

e) The Directors had laid down internal financial controls of the Company and that such systems were adequate and operating effectively.

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.

Directors & Key Managerial Personnel

Shri Manobendra Ghoshal, Chairman and Managing Director, Smt. Bhanu Kumar, Director (Commercial) and Shri Subrata Sarkar, Director (Finance) and Chief Financial Of cer are Whole-time Directors of the Company. Shri Manobendra Ghoshal is also acting as Chairman and Managing Director of Ferro Scrap Nigam Limited (FSNL), a wholly owned subsidiary of the Company and Chairman of Mahindra MSTC Recycling Pvt. Ltd. (MMRPL), a 50:50 joint venture of the Company. Smt. Bhanu Kumar is also acting as Director of FSNL. Shri Subrata Sarkar is also acting as Director of MMRPL.

During the year under review, Shri Surinder Kumar Gupta (DIN: 08643406) on attaining the age of superannuation ceased to be the Chairman and Managing Director of the Company w.e.f. 31 December, 2023. The Board places on its

record sincere gratitude for the valuable guidance and support rendered by Shri Surinder Kumar Gupta during his association with the company. Consequent to his cessation as CMD of the Company he also ceased to the Chairman and Managing Director of FSNL and as Chairman of MMRPL.

Administrative Ministry has vide its order no. S- 14018/1/2022-BLA-Part(1) dated 14 December, 2023 appointed Shri Manobendra Ghoshal (DIN: 09762368) as Chairman and Managing Director (CMD) of the company from the date of his assumption of charge till the date of his superannuation. Shri Manobendra Ghoshal has assumed the charge of Chairman and Managing Director of the Company w.e.f. 1 January, 2024. The Ministry vide its orders dated 1 January, 2024 has also appointed him as Chairman and Managing Director of FSNL.

Administrative Ministry has vide its order no. S-14011/1/2022-BLA dated 18 July, 2024 appointed Shri Vinod Kumar Tripathi (DIN: 10711675), Joint Secretary, Ministry of Steel as Government Nominee Director on the Board of Directors of the Company in place of Smt. Ruchika Chaudhary Govil (DIN: 07601895) with immediate effect and until further order from the administrative Ministry. The Board places on its record sincere gratitude for the valuable guidance and support rendered by Smt. Ruchika Chaudhary Govil during her long association with the company.

Smt. Bhanu Kumar, (DIN 07982360) Director (Commercial) is retiring by rotation and being eligible offered herself for reappointment. The Directors recommended her reappointment in the ensuing Annual General Meeting of the Company.

The Company has received necessary declaration and certificate from all the Independent Directors confirming that they meet the criteria prescribed for Independent Directors under the applicable provisions of the Companies Act, 2013, SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and rules made there under.

A separate meeting of Independent Directors was held during the year.

The provisions of Section 134(3)(p) of the Companies Act, 2013 require a listed entity to include a statement indicating the manner of formal annual evaluation of performance of the Board, its Committees and of individual Directors. However, the said provisions are not applicable for Government Companies as the performance evaluation of Directors is carried out by the Administrative Ministry as per laid down evaluation methodology.

A brief pro le of the Directors proposed to be appointed and reappointed at the ensuing AGM is provided in the Corporate Governance Report section. The details of the Key Managerial Personnel of the Company as on the date of this report are as follows;

The provisions of Section 134(3)(e) of the Companies Act, 2013 regarding the policy on Director's appointment and remuneration including criteria for determining quali cations, positive attributes, independence of a Director and other matters provided in Section 178(3) are exempted for Government Companies.

Alteration in Object Clause

The Board of Directors of your company felt that MSTC Limited has diversi ed its business portfolio and emerged as a multi-product and a multi-functional organization and in order to make it more comprehensive and enabling decided to change the object clause of the Memorandum of Association by inserting some new object clause and to make some changes in the existing clauses. The proposal was approved by the board.

The Government of India through the Ministry of Steel vide its letter no. S-31021/20/2023-MFH dated 4 March, 2024 has subject to the approval of the Shareholders of the Company have provided their approval for alteration in the Object Clause of Memorandum of Association of the Company. Subsequently, the shareholders of the company have also approved the proposal passed through the postal ballot. Approval of the Registrar of Companies (ROC) has also been obtained.

Related Party Transactions

All Related Party Transactions that were entered into during the financial year were on an arm's length basis and were in the ordinary course of business. Hence, the provision of Section 188 of Companies Act, 2013 as amended are not attracted. Details of all related party transactions are provided in the financial statement in notes to accounts.

Thus, disclosures in Form AOC-2 are not required. Further there are no related party transactions with the Directors and KMP or other designated persons, which may have a potential conflict with the interest of the Company. All Related Party Transactions are placed before the Audit Committee for approval.

The Company has a related party transaction policy and the same has been uploaded on the website of the Company at www.mstcindia.co.in.

The details of the related party transactions during the financial year are provided in note no. 34 of the standalone financial statement.

Conservation of Energy, Technology Absorption, Foreign

Exchange Earning and Outgo

In accordance with the provisions of Section 134(3) (m) of the Companies Act, 2013 read with Rule 8 of the Companies (Accounts) Rules, 2014, the particulars relating to Conservation of Energy, Technology Absorption and Foreign Exchange Earnings and Outgo are given in Annexure-I to this Report.

Corporate Governance Report

Separate details on Corporate Governance Report along with the Compliance Certificate on Corporate Governance are attached herewith as Annexure-II and form part of the Board's Report.

Management Discussion and Analysis Report

Management Discussion and Analysis Report forms part of the Board's Report.

Business Responsibility and Sustainability Report

Business Responsibility and Sustainability Report is attached herewith as Annexure III and forms part of the Board's Report.

Annual Return

In compliance of Section 92 of the Companies Act, 2013 and Rules made thereunder, the Annual Return for the financial year 2023-24 is available on the Company's Website at https://www.mstcindia.co.in/content/AnnualReturns.aspx

Corporate Social Responsibility

The Company is seriously committed to social upliftment. In line with the Companies Act, 2013, Companies (Corporate Social Responsibility Policy) Rules, 2014 & DPE guidelines, the Company has constituted a CSR Committee which functions as per the Govt. guidelines and the Company's CSR policy. The CSR Policy of the Company has been approved by the Board and is hosted on the website of the Company.

The Company has undertaken various activities as per the CSR policy of the Company. The Projects/ programmes/ activities are taken up in line with Schedule VII of the Companies Act, 2013.

Annual Report on Corporate Social Responsibility as required under Rule 8 of the Companies (Corporate Social Responsibility Policy) Rules, 2014 is placed as Annexure IV and forms part of the Board's Repost.

Secretarial Audit

In compliance with Section 204(1) of the Companies Act, 2013 and Rule 9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, Shri Saurabh Basu (Membership No. A18686), Practicing Company Secretary has been appointed as the Secretarial Auditor for the year 2023-24. The Report of the Secretarial Auditor as prescribed is enclosed as Annexure V to this Report.

The Secretarial Auditor has made following observations;

1. Regulation 17(1)(a) of SEBI LODR - The Board did not comprise of an Independent Woman Director for the period 1 April 2023 to 31 March 2024.

2. Regulation 17(1)(b) of SEBI LODR - The requirement of having at least half of the Board of Directors as

Independent Director is not complied for the period of 1 April 2023 to 31 March 2024.

In this regard it is clari ed that your Company is a Govt. Company under the administrative control of Ministry of Steel, Govt. of India. Neither the Board nor the Company is empowered to appoint Independent Directors as the power to appoint Independent Director vest with Government of India as per the Government guidelines. Company has requested administrative ministry for appointment of Independent directors and continuously following up.

The Secretarial Audit Report of Company's unlisted material subsidiary i.e. Ferro Scrap Nigam Limited (FSNL) also forms part of the Board's Report and is enclosed as Annexure VI.

Auditors

Pursuant to Section 139 of the Companies Act, 2013, the Comptroller and Auditor General of India, has appointed M/s. S Guha & Associates, Chartered Accountants (FRN: 322493E), as Statutory Auditors of the Company for the year 2023-24. The report of the Auditors is attached to the Financial Statements of the Company. Management replies on the comments/observations of the Auditors are placed as Annexure VII to the Board's Report.

Comments by the Comptroller and Auditor

General of India (CAG)

The comments of the CAG on the Annual Accounts of the Company in terms of Section 143(6) (b) of the Companies Act, 2013, shall be deemed as part of the Board's Report.

Number of Meetings of the Board

The Board met six times during the financial year 2023-24. The details of number of meetings of the Board of Directors held during the year 2023-24 form a part of the Corporate Governance Report.

Disquali cation of Directors

Pursuant to Section 164(2) of the Act and Rule 14(1) of Companies (Appointment and Qualification of Directors) Rules, 2014, all the Directors have intimated that, they stand free from any disquali cation from being appointed as a Director.

Notice of Interest by the Directors

Pursuant to Section 184(1) of the Act, Rule 9(1) of the Companies (Meetings of Board and its Powers) Rules, 2014 and applicable provisions of SEBI, all the Directors have given Notice of Interest.

Committees of the Board

MSTC has constituted ve committees of the Board viz., Audit Committee, Nomination and Remuneration Committee, Corporate Social Responsibility (CSR) Committee, Stakeholders Relationship Committee and Risk Management Committee, details of which are provided in the Corporate Governance Report.

Audit Committee

The Company has in place a board level Audit Committee, the details in respect of which are given in the Corporate Governance Report. Further, there has been no instance where the Board of Directors has not accepted the recommendation of Audit Committee.

Corporate Social Responsibility (CSR) Committee

In compliance of Section 135(1) of the Act, read with Rule 5 of the Companies (CSR Policy) Rules 2014, the Company had constituted CSR Committee of the Board with Shri Adya Prasad Pandey, Independent Director as Chairman, Dr. Vasant Ashok Patil, Independent Director, Shri Ashwini Kumar, Govt. Nominee Director and Shri Subrata Sarkar, Director (Finance) as members.

Subsidiary and Joint Venture Company

Ferro Scrap Nigam Limited

Ferro Scrap Nigam Limited is the 100% Subsidiary of the

Company. The financial result are given:

The detailed information relating to the subsidiary company in form AOC-1 in compliance with Section 129(3) of the Companies Act, read with Rule 5 of Companies (Accounts) Rules forms part of Annual Report as Annexure VIII.

The Cabinet Committee on Economic Affairs ("CCEA"), GoI, in its meeting held on 27 October, 2016, accorded its 'in-principle' approval to disinvest entire equity shareholding held through MSTC in FSNL, through strategic disinvestment and transfer of management control. Government of India through Department of Investment and Public Asset Management, Ministry of Finance ("DIPAM") has selected transaction advisor and legal advisor to advise DIPAM and MSTC. Shareholders of MSTC had also approved the proposal of Strategic Disinvestment of FSNL.

Government of India has already invited Global Expression of Interest (EOIs) from the Interested Bidders (IBs) for proposed Strategic Disinvestment.

Mahindra MSTC Recycling Pvt. Ltd

MSTC had entered into a JV Agreement with Mahindra Intertrade Limited and formed a Joint Venture Company "Mahindra MSTC Recycling Pvt. Ltd.". MSTC through this JV, has set up India's first authorised Collection and Dismantling centre at Greater Noida in 2018. RVSF units at Chennai and Pune were opened during 2020. Three more units at Indore, Hyderabad, Ahmedabad were operationalised during 2022.

During the FY 2023-24, two dismantling centres at Bangalore and Guwahati has been operationalised and one RVSF facility at Pune has been closed. At present MMRPL has presence at

40 locations throughout India through its 33 collection centres and 7 dismantling centres. During the year ended 31 March 2024, the Company earned an income of Rs. 2,981 lakhs as against a gure of Rs. 3,168 lakhs in previous year.

MMRPL has tied up with M&M Ltd., Renault India and Daimler as a partners for exchange scrap vehicles Pan India. MMRPL is also in discussion with other OEMs for tie-up. MMRPL has proposal to launch its Spare Parts Portal which is currently under development.

Consolidated Financial Results

In accordance with the provisions of the Companies Act, 2013 and the Accounting Standards issued by the Institute of Chartered Accountants of India, your Company has prepared the Consolidated Financial Statement for the group, including its subsidiary and joint venture.

The Summary of Consolidated Financial Results are as follows:

Material Changes and Commitments, if any, affecting the

Financial Position of the Company

There are no material changes and commitments affecting the financial position of the Company that have occurred between the close of the financial year ended 31 March, 2024 and the date of Board's Report.

Details of Significant and material order passed by the

Regulators, Courts and Tribunals

No significant and material order has been passed by the Regulators, Courts and Tribunals impacting the going concern status and the Company's operation in future.

Particulars of Loans, Guarantees or Investments

Details of Loans, Guarantees and Investments covered under the provisions of Section 186 of the Companies Act, 2013 and Rules made there under are given in the notes to the financial statements.

Public Deposits

Your company has not accepted any deposits under the Companies Act, 2013 during the financial year ended 31 March, 2024.

Compliance with DPE Guidelines and Policies

The guidelines and policies issued by the Department of Public Enterprise from time to time are duly complied with by the Company.

Compliance with Secretarial Standards

Your Company complies with the applicable Secretarial Standards issued by the Institute of Company Secretaries of India (ICSI).

Internal Financial Controls

Your Company has put in place adequate internal financial controls for ensuring the efficient conduct of its business in adherence with laid-down policies; the safeguarding of its assets; the prevention and detection of frauds and errors; the accuracy and completeness of the accounting records; and the timely preparation of reliable financial information, which is commensurate with the operations of the Company.

M/s. S. Poddar & Co. (FRN: 320294E) was the Internal Auditor of the Company for the year and their reports are put up to the management at regular intervals and summarized statement of important issues are placed before the Audit Committee.

Systems

MSTC's IT infrastructure is by far the most sophisticated and robust in the country to take up ecommerce services in a secure and transparent manner for more than 2,10,000 clients across the globe.

MSTC's IT Department is equipped with the powerful RISC based IBM Power Series Servers having robust processing power and can serve more than ten thousand concurrent hits. The servers are highly energy efficient leading to saving of power and these servers are in operation with redundancy & high availability disaster recovery mode for providing uninterrupted services to our stakeholders like Principals, Bidders & other users. Mumbai Disaster Recovery site is also having a similar set up as in Kolkata Data Centre.

MSTC is concerned with information security issues and has left no stone unturned to achieve maximum security by installing different OEM Next Generation Firewall, Intrusion Prevention System (IPS), Managed Distributed Denial of Service (MDDoS), SSL etc.

The much needed security features 'Write Once Media' which captures the Audit trails on a non-editable tamperproof media, has been the hallmark of MSTC's e-Commerce system.

SSL Encryption

SSL (Secure Sockets Layer) is the standard security technology for establishing an encrypted link between a web server and a client end browser. This link ensures that all data passed between the web server and browsers remain private and integral. We have implemented 256-bit SSL in our web server with enforcement of TLS 1.2 & above.

All network equipment like routers, switches are from CISCO/CHECKPOINT and are totally ready for IPv6 migration. Security Appliances like Firewalls, IPS are in place to prevent unauthorized intrusion with latest signatures.

Periodical Application Security Testing is conducted by STQC, a Govt. of India Department. MSTC ensures security through periodical penetration, vulnerability & performance testing by STQC. MSTC conducts its business through a dedicated 155.52 MBPS ILL and also has another 100MBPS ILL connectivity taken from a different provider and with Point-to-Point (P2P) connectivity between DC & DR for data synchronization with redundancy. Two ILLs are in operation with load balancing with the implementation of Radware Link Load Balancer.

MSTC has developed an in-house browser independent e-Procurement solution with e-tendering, e-reverse auction, e-reverse auction with L1 matching and many other models. General Financial Rules, CVC guidelines, IT Act 2000 and its Amendment of 2008 have been adhered to in this e-Procurement application and the said service has been certified by STQC.

MSTC server in Kolkata is manned round-the-clock throughout the year. The Systems dept. is well equipped with qualified professionals whose skills are continuously upgraded with training on latest technology.

MSTC's System Department is ISO 27001:2013 certified by STQC,

MSTC e-Commerce division is also ISO 9001:2015 Quality certi ed.

Developments of Information Technology during 2023-24

MSTC e-Commerce Systems is certified for ISO 27001:2013 by STQC and is valid up to 31 October, 2025 (Information Security Management System Certification) and is under upgradation to ISO 27001:2022.

Security is in place with two different OEM Checkpoint & CISCO Next Generation Firewall at two levels (Perimeter & Server side).

ISO 9001:2015 certi cation is also maintained as per standards and this certificate is valid up to 19 January, 2027.

Imperva Write-once management device is in place for better management & monitoring of activities related to data.

MSTC has developed in-house and implemented many customised projects like MP Sand portal, Portal for Sand Block in e-Tender followed by lottery in Chhattisgarh, Improvements for ELV portal with single MAC login, nCode multi-browser PKI implementation, OTP veri cation in buyer login across portals etc.

MSTC has also developed and customised in-house application of Narakas portal for all Steel CPSEs,

Implementation of Full- edged on-the- y translation of Jaivik kheti portal in multilingual format, State Dashboard to be used for Ministry and States in Jaivik kheti portal, Mobile App for ELV portal, Development and deployment of ve packages for FSNL like E-Of ce, HRMS, Online Recruitment module, accounting module & Bill track etc.

MSTC has implemented Security Information & Event Management (SIEM) and Security Orchestration, Automation, & Response (SOAR) solutions in its Data Centre at Kolkata for automation in log collection, analysis and response for improved security across different devices and servers.

E-Commerce

In the recent times MSTC has been increasing focus on Automation, MIS Dashboards, Accessibility and API based integration for seamless services. In FY 2023-24, MSTC implemented a new Ticket Raising System to streamline the issue resolution process for bidders. This system offers a structured, fast, and transparent way for bidders to raise and track their concerns. Additionally major e-Bidding portals for Enterprise e-Procurement (V3), Mineral Allocation (MLCL, Critical and Exploration Licenses) and e-Auction of Bank NPAs (IBAPI) were upgraded to support multibrowser experience.

MSTC In-house Team, updated DEEP (Ministry of Power) module with Aggregated Thermal Power B(v) Scheme bidding module, under which e-Bid event for procurement of 4178 MW Power from 1 April 2023 to 31 March 2024 was successfully conducted. Additionally in DEEP, a dedicated portal for "Power Procurement from ICB Plants during Crunch Period(s)" was developed and launched.

Based on the Noti cations from Ministry of Finance and Ministry of Road, Transport and Highways, MSTC Launched a dedicated End of Life Vehicle Scrapping Portal (ELV), where RVSFs (Registered Vehicle Scrapping Facilities) can purchase End of Life Vehicles (ELVs) of various Govt. entities through e-Auction and Individual Seller(s) through Direct Purchase. Using the portal both Institutional and Individual sellers can list their ELV's for sale through auctions or listing. A mobile app for Individual seller was also launched for ease of use.

Two tranches of e-Auction for Spectrum were successfully conducted by MSTC Limited at the behest of Department of Telecommunications. For 5G spectrum auction conducted in

FY 2022-23, GoI earned a revenue of Rs. 1,50,173 crore. For the 3 tranche of events, all the formalities have been completed in the portal for necessary compliance.

In Coal Linkage Schemes, new events in Shakti B(II), NRS Linkage and Shakti B(III) Long and Medium Term were successfully conducted.

In FY 2023-24, MSTC upgraded the portal for auctioning of Mining leases and Composite Licenses to include bidding for Critical mineral blocks and granting license for exploration of Mines, as per the guidelines issued by Ministry of Mines, Government of India. Events for granting of mine block exploration license are in-process for various states governments such as Andhra Pradesh, Chhattisgarh, Karnataka, Madhya Pradesh, Maharashtra and Rajasthan. While events for allocation of Critical mineral mines such as Lithium, Nickel, Chromium, Graphite, Titanium, Graphite etc have been taken up, with 6 bidding processes completed within the year itself. The upgraded portal has facilities for two cover e-Tenders followed by e-Forward Auctions or e-Reverse Auctions, as per specific guidelines of Ministry of Mines.

Portal(s) for minor mineral auctions for the state Govt. of Madhya Pradesh, Chhattisgarh and Odisha was also developed in FY 2023-24.

In FY 2023-24, MSTC has generated revenue from operations from service charges on e-Commerce to the tune of Rs. 28,028 Lakhs (previous year Rs. 29,232 Lakhs).

In the upcoming year, MSTC plans to increase automation to a significant degree and to improve the user experience with dedicated dashboards. A key focus area for this will include upgradation of Catalogue generation, e-Payment facilities, dedicated Seller and Buyer Dashboard(s), integrating with various clients like Rajasthan Mines dept., Banks for collection of payments, NIC for accepting COD data, Karnataka Forest dept. Kerala Treasury, Chhattisgarh forest dept etc.

In 2023-24, MSTC had executed 78,145 no. of Auctions/ events through its portal for general e-Auction, Coal e-Auction and e-Procurements.

MSTC has procured goods and services through GeM portal and such procurement percentage comes to 91% of total procurement made during the FY 2023-24.

MoU Performance

The Memorandum of Understanding (MoU) with the Government of India setting performance parameters and targets for the year 2023-24 was signed by Chairman and

Managing Director of the Company and Secretary (Ministry of Steel), Govt. of India, on 24 August, 2023. MoU targets for the Company continue to be more challenging and tougher over the years. However, the Company has been continuously striving to achieve new heights in terms of performance numbers. The performance rating for the financial year 2023-24 is under evaluation.

In terms of DPE guidelines, the evaluation of nancial parameters of MSTC will be done as a Group comprising of wholly owned subsidiary i.e. Ferro Scrap Nigam Ltd. (FSNL) and 50:50 JV company i.e. Mahindra MSTC Recycling Pvt. Ltd. (MMRPL), based on Consolidated Financial Results.

Human Resource Development (HRD)

MSTC Limited has always considered its human resource as the most important resource. With the increase in the volume of business and employees retiring from the Company, an assessment of manpower requirement was undertaken by the Company to identify the optimum requirement for the Company so that process can be initiated for lling up the same. No recruitments were made in 2023-24.

Since we are a people-oriented company, development of employees through training has been an important area of HR activities. Emphasis was laid on competency building of employees for higher roles in the Company. The company has trained 176 executives and 25 non-executives in various training programs held by Centres of excellence in India on topics for capability enhancement and skill development. The topics for training were chosen to promote overall development and to foster understanding, collaboration, teamwork and leadership qualities amongst the employees in the organization. Further out of the total employees trained 219 executives and 59 non-executives were trained in-house for development of their capabilities.

Welfare of Weaker Sections

The Presidential Directives issued from time to time in regard to reservation, relaxation, concession, etc. for the SC/ ST/OBC/PWD candidates pertaining to the policies and procedures of the Government were duly observed. The directives in matters concerning recruitment and promotion regarding the weaker sections have been duly complied with. All Departmental Promotion Committees constituted during the year had representatives of SC/ST community.

During the year, 43 SC, 15 ST, 83 OBC and all PWD employees of the Company, were sponsored for in-house and Institutional training programmes. In addition, all possible cooperation and assistance is provided to the MSTC SC/ST Employees' Council, which functions primarily to safeguard the interest of the reserved section of employees of the Company.

Empowerment of Women

MSTC is a Corporate Life Member of Forum of Women in Public Sector (WIPS) and women employees were nominated in the programs organized by WIPS. Internal Complaints Committees constituted in all the of ces of MSTC have been functioning successfully. Periodical meetings and Complaint redressal, awareness programs, etc. are also duly conducted by the Committees.

Disclosure under Section 22 of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.

MSTC has in place a mechanism for prevention and redressal of sexual harassment of women employees at the workplace, in accordance with the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. Internal Complaints Committees (ICCs) have been set up in all the of ces of the Company for rendering necessary assistance to and dealing with complaints, if any, of all the women employees of the Company. All employees (permanent, outsourced, trainees etc.) are covered under this policy. Workshops are held with an objective to create awareness among the employees.

(a) Number of Complaints led during the financial year

2023-24 : Nil

(b) Number of complaints disposed off during the nancial year 2023-24 : NA

(c) Number of Complaints pending as on end of the nancial year 2023-24 : Nil

*Including one official posted in MMRPL.

st

SC/ST/OBC/Physically Handicapped Employees status as on 31 March 2024

# PWD is on interlocking basis with other castes and categories.

st

Male/Female Employees as on 31 March 2024

Grievance Redressal Mechanism

MSTC has Public Grievance Redressal Cells. There are total eight (08) cells in regions and branches of the organisation and there is a Public Grievance Of cer and Nodal Authority in the Head Of ce. There is a facility of online registration for lodging grievance on the Company's website www.mstcindia.co.in. MSTC has also implemented Centralised Public Grievance Redress and Monitoring System (CPGRAMS) for online receipt and disposal of public grievances, so that grievance can be sorted out immediately and to take action to solve the case. Some grievances are also received by post. Action is taken to address and redress grievances received from outside and staff of the organisation.

Apart from the cells, a Grievance Committee is also constituted at Head Of ce. The Grievance Committee makes recommendations after examination of the grievances and comments obtained from the concerned department/ region/branch.

The Grievance Committee meets at periodical intervals to review the cases. The Centralised CPGRAMS and Public Grievance site of the Company are monitored regularly by Head Of ce.

MSTC also has a Ticket Raising System (TRS) designed to address stakeholder's concerns according to contemporary industry standards. MSTC also responds to the complaints of the stakeholders through its dedicated helpdesk st st

Statement of Public Grievances for the period of 1 April, 2023 to 31 March, 2024 is as under:

*one public grievance was under process as on 31 March, 2024 which has been disposed-off subsequently in the month of April, 2024.

Right to Information Act 2005

Your Company has aligned with the online RTI portal launched by DoPT and all the applications / appeals received through the portal have been disposed off through the portal, namely https://rtionline.gov.in. Provisions of RTI Act 2005 have been complied with for processing the RTI applications and appeals received in all of ces of MSTC. There is one Transparency Of cer, one First Appellate Authority, one CPIO, one Nodal Of cer in MSTC, Head office and every region/branch has one PIO for effectively processing the RTI applications received at various locations of the Company.

All quarterly reports have been uploaded online on CIC site.

During 1 April, 2023 to 31 March, 2024, a total of 164 RTI applications have been received through online and by post. A total of 19 First Appeals have been received. Out of the above, 161 RTI Applications and 17 First Appeals have been disposed off. The remaining RTI applications and appeal are under process.

Of cial Language

Continuous efforts are being made for publicity and effective implementation of official language in all the units of the company and the progress made in this regard is being continuously reviewed and monitored.

In order to promote use of Of cial Language in your Company, the following activities had been undertaken:

MSTC Of cial Language Implementation Calendar

The MSTC Of cial Language Implementation Calendar 2023-24 was published to ensure implementation of the annual programme released in the year 2023-24 by the Department of Of cial Language, Ministry of Home Affairs, Government of India for compliance with the Of cial Language Policy of the Union. As a result, there has been an improvement in awareness and implementation of Of cial Language at employees level.

Of cial Language Implementation Committee

Total 18 implementation committees are constituted in MSTC at the Head Office and various regional and branch of ces. Implementation Committee meetings are held regularly at the Head Office under the chairmanship of the Chairman and Managing Director. Of cial Language coordinators of regional and branch of ces also participate in such meetings. Four such review meetings have been organized during the year.

Committee on 27 March, 2024 for suggestions and guidance. After receiving suggestions and guidance, MSTC Shabdanjali will be published.

Vigilance Setup

The vigilance department serves as the guardian of integrity within the organizations, ensuring adherence to ethical standards and compliance of guidelines. It plays a pivotal role in detecting and preventing fraud, corruption, misconduct, safeguards the reputation and trust of organization, and preserves public con dence. The vigilance set up of MSTC is headed by Chief Vigilance Of cer (CVO), directing anti-corruption efforts, ensuring adherence to ethical standards, conducting impartial investigations to maintain organizational integrity, and fostering a culture of transparency and accountability. The vigilance department advises the management in all matters pertaining to vigilance. The major work pro le of the Vigilance department comprises: investigation of complaints received from the Customers, Principals, Bidders, Contractors, Company employees, individuals & other stakeholders, Ministry of Steel, CVC, PMO, MSTC Management, News reports, Audit reports and other sources; preventive vigilance activities like surprise checks, regular inspections, surveillance/scrutiny of procurement & contract les, CTE type inspections, system study, monitoring of sensitive posts, preparation of list of of cials of doubtful integrity & Agreed list and their surveillance; scrutiny of property returns of employees and coordination with the

Central Vigilance Commission (CVC), Chief Technical Examiner (CTE), Central Bureau of Investigation (CBI), Ministry of Steel, etc.

Some of the important activities undertaken by the

Vigilance Department during FY 2023-24 are as follows:

a) 49 complaints received and 41 complaints disposed of including 02 complaints referred by the Commission.

b) 15 contracts/audit reports scrutinized

c) 10 Surprise Checks and 08 Regular Inspections were conducted.

) 01 CTE Type Inspection/Systems Study was conducted.

e) Based on vigilance activities, 08 Systemic Improvements were recommended to the management.

f) Scrutiny of 86 Property returns was undertaken which constitute more than 29.86% of total employees.

g) Training Programmes: One Vendor Meet was organized by Vigilance Department during Vigilance Awareness Week-23. 13 Preventive Vigilance Training Sessions were organized through physical/online mode where more than 120 employees were covered. 06 Sensitization Programs were conducted at various MSTC of ces located at Mumbai, Hyderabad, Kolkata (HO), Ranchi, Chennai, etc. h) In accordance with the CVC instructions, as a prelude to

VAW-2023, a three-months campaign was undertaken successfully from 16 August to 15 November 2023

Vigilance Awareness Week. 5 edition of MSTC's in house Vigilance Magazine "Jaagrat" was published on this occasion containing various articles/poems written by MSTC's employees based on Vigilance Awareness Week theme. The messages received from the Hon'ble President, Vice-President, Prime Minister, and CVC were also published in the Vigilance Corner of the organization website. Skit Play, Walkathon and Candle-Light Vigil March on the theme was organized to spread awareness amongst the employees of Corporate Office and Eastern Regional Of ce. Customer Grievance Redressal Camps were organised at various of ces of MSTC. Competitions such as Elocution, Essay, Slogan, Painting and Quiz competitions involving MSTC employees (241 Nos.) and their wards and School & College students of Kolkata were also organized.

Compliance of recommendations made by the Committee on Papers Laid on the Table (Rajya Sabha) in its 150 Report:

Details of cases initiated / disposed-off during the nancial year 2023-24.

- No of cases pending as on 31 March 2023: 7

- No. of cases initiated during 2023-24: 1

- No. of cases pending as on 31 March 2024: 1

Nature of Pending case: Irregularities observed towards conducting e-Auctions.

- Of cer involved: Investigation is ongoing.

- Charge sheet issue on: N.A.

- Disciplinary Proceedings: N.A.

Acknowledgement

The Board of Directors wish to place on record their gratitude to the Hon'ble Union Minister for Steel, Hon'ble Minister of State for Steel, Secretary (Steel), Additional Secretary and FA (Steel), and other of cials of the Ministry of Steel, Defence Ministry, Coal Ministry, Mining Ministry, Civil Aviation, Petroleum, Natural Gas Ministry and various other Central Government Ministries, all State Governments, various Central and State public sector undertakings, private companies, the bankers, our principals and others for their valuable assistance and guidance extended to the Company during the year. The Directors express their gratitude to all stakeholders, customers and suppliers for the trust and con dence reposed by them on your Company year after year.

Your Directors also place on record the appreciation of the sincere efforts made by employees which has resulted in excellent performance of the Company.