ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
Contents
Trustee Report
Portfolio
Independent Auditor's Report
Balance Sheet
Revenue Account
Cash Flow Statement
Schedules
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Page No.
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
IIFCL MUTAUL FUND (IDF)5th Floor, Plate-A, NBCC Tower
Block-02, East Kidwai Nagar,
New Delhi-110023
SIXTH ANNUAL TRUSTEE'S REPORT TO THE UNITHOLDERS OF
IIFCL MUTAL FUND (IDF)
Dear Investors,
Greetings from IIFCL Mutual Fund (IDF)
The board of Trustee of IIFCL Mutual Fund (IDF) ("the Trustee") is pleased to present its Sixth Annual Report and the Audited Financial Statements of the schemes of IIFCL Mutual Funds for
stthe year ended 31 March, 2019.
IIFCL Mutual Fund continues to be one of the key players in india in infrastructure Debt Fund st
(IDF) space. The Asset under Management (AUM) of the fund as on 31 March, 2019 was at Rs. st
559.3033 crores as against Rs. 650.2754 crores as on 31 March, 2018. Reduction in AUM is due to provisioning of NPA accounts.
IIFCL Mutual Fund infrastructure Debt Fund Series-I:
Maiden Scheme "IIFCL Mutual fund infrastructure Debt Fund - Series-I" was launched under st th
'Private Placement' on 1 December, 2013 and closed successfully on 6 Febuary, 2014. The scheme is close ended Growth option and rated as "AAA idf-mf" by CARE and Brickworks rating at the lime of launching. Units of IIFCL Mutual Fund IDF Series I are listed on BSE Ltd. CARE has revised the Rating of IIFCL Mutual Fund (IDF) Scheme (Series I&II) with effect
thfrom April 30 , 2019 from AAA to AA+ for Series-I and Brickworks rating from BWR AAAidf
thmfs to BWR AA+idf mfs w.e.f. 11 March, 2019.
IIFCL Mutual Fund Infrastructure Debt Fund Series-II:
During the financial year, IIFCL Mutual Fund (IDF) successfully launched their second IDF series, i.e. IIFCL Mutual Fund IDF Series II with a fund size of Rs.200 Crore with the commitments received from six institutional investors. The scheme is close ended under Growth option and rated as "AAA idf-mf" by CARE and Brickworks rating at the time of launching. CARE has revised the Rating of IIFCL Mutual Fund (IDF) Schemes (Series I&II) with effect
thfrom April 30 , 2019 from AAA to AA+ for Series II and Brickworks rating from BWR AAAidf
thmfs to BWR AA+idf mfs w.e.f. 11 March, 2019.
1
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
1. BRIEF BACKGROUND OF SPONSOR, TRUST, TRUSTEES AND THE ASSET MANAGEMENT COMPANY (AMC)
A. SPONSOR
India infrastructure Finance Company Ltd (IIFCL) is the sponsor of IIFCL Mutual Fund (IDF). IIFCL was incorporated under the Companies Act, 1956 as a wholly-owned Government of India
thCompany on 5 January, 2006 as a Special Purpose Vehicle and commenced operations from April, 2006 to provide long term financial support to infrastructure projects in India through Direct Lending, Subordinate Debt, Takeout Finance and Credit Enhancement. IIFCL has been registered as a NBFC-ND-IFC with RBI since September 2013. The authorized and paid up
stcapital of the company as on 31 March, 2019 stood at Rs. 5000 Crore and Rs. 4202 Crore respectively.
stAs on 31 March, 2019, IIFCL has made cumulative gross sanctions of over Rs. 1,26,583 Crore and has mad cumulative disbursements of over Rs. 65,899 Crore.
IIFCL is a strategic investor in the maiden scheme "IIFCL Infrastructure Debt Fund Series-I" and "IIFCL Infrastructure Debt Fund Series-II" with investment of Rs.130 Crore (43.33%) and Rs.100 Crore (50%) respectively.
B. TRUST
thIIFCL Mutual Fund (IDF) has been constituted as a Trust on 17 August 2012 in accordance with provision of the Indian Trust Act, 1882 (2 of 1882) with IIFCL as the Sponsor and the Board of Trustees as the Trustees. The Trust Deed has been registered under the Indian Registration Act,
th1908. SEBI as on 24 January, 2013 registered IIFCL Mutual Fund (IDF) under Registration No. 071/13/01.
C. BOARD OF TRUSTEES OF IIFCL MUTUAL FUND (IDF)
The Sponsor has appointed a Board of Trustee (the "Trustees") for overviewing IIFCL Mutual Fund (IDF). The Trustee has been discharging its duties and carrying out the responsibilities as provided in the Regulation and the Trust Deed.
The Trustee ensures that the Mutual Fund and the Schemes floated managed by the AMC are in accordance with the Trust Deed, SEBI (Mutual Fund) Regulations, 1996, directions and guidelines/circulars as amended from time to time issued by SEBI, and also review the activities carried out by the AMC.
The Board of Trustees of IIFCL Mutual Fund (IDF) comprises of:
S.No.1.2.3.4.5.6.7.
Name of Directors Designation
Sh. P.R. JaishankarSh. J.M. Singh #¹
4Sh. Ishwar Singh #Sh. A.K. DebSh.. Rajneesh Karnatak#²Sh. Rajiv Rawat#³
5Sh. A.K. Mishra#
ChairmanIndependent TrusteeIndependent TrusteeIndependent TrusteeIndependent TrusteeIndependent TrusteeIndependent Trustee
2
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
st#¹ Ceased as Independent Trustee w.e.f. 1 , August 2018#² Appointed as Trustee w.e.f. 19 September, 2018
th#³ Appointed as Trustee w.e.f. 19 September, 20184 st# Ceased as Trustee w.e.f. 1 , June, 20185 th# Appointed as Trustee w.e.f. 26 July, 2018
D. THE ASSET MANAGMENT COMPANY (AMC)
IIFCL Asset Managment Company Limited (IAMCL) is a public limited company incorporated thunder Companies Act, 1956 on 28 March, 2012. It is a 100% subsidiary of India Infrastructure
st th Finance Company Limited (IIFCL) having its new registered office w.e.f. 1 January, 2019 at 5Floor, Plate-A, NBCC Tower, Block-02, East Kidwai Nagar, New Delhi-110023 have executed
ththe investment Management Agreement (IMA) on 17 August, 2012 whereby trustee company appointed IAMCL to act as an Asset Management Company (AMC) of the IIFCL Mutual Fund (IDF).
th
The Compostion of Board of Directors of IAMCL comprises of:
S.No.1.2.3.4.5.6.7.
Name of Directors Designation
Sh. Pankaj JainSh. Anil Kumar Taneja
1Sh. Deepak Kumar Chatterjee*Sh. M N Sarma*²Dr. Pawan Singh*³
4Sh. Sudhir Arya*5Sh. Sandeep Aggarwal*
ChairmanChief Executive OfficerDirectorIndependent DirectorIndependent DirectorIndependent DirectorIndependent Director
th*¹ Ceased as Director w.e.f. 16 , June 2018st*² Ceased as Independent Director w.e.f. 1 , June, 2018st*³ Ceased as Independent Director w.e.f. 1 , April, 2019
4 th* Ceased as Independent Director w.e.f. 30 , July, 20195 th * Appointed as Independent Director w.e.f. 5 September, 2019
The Fund Manager for the IIFCL Mutual Fund (IDF) Schemes during the Financial Year 2018-19 was as under
S.No.1.2.3.
Name of Fund Manager PeriodSh. Sumiran BansalSh. Prasanna Prakash PandaSh. Sumer Singh
Upto 2 June, 2018th 5from June, 2018 to 16 January, 2019th th 26
thfrom 17 January, 2019 to till date
2. INVESMENT OBJECTIVES OF THE SCHEMESIIFCL Mutual Fund Infrastructure Debt Fund Series-I & Series-IIThe investment objectives of the Scheme is to generate appreciation in capital/wealth by investing in various permissible instruments/ securities belonging to the infrastructure sector.
3
Provision for impairment in Non-Performing AssetsIIFCL Mutual Fund (Infrastructure Debt Fund) - Series-I• IIFCL Mutual Fund Infrastructure Debt Fund - Series I has invested in non-convertible
debentures (NCD) of GVR Infra Projects Limited (the Company) aggregating to Rs. 600,000,000 which is due for maturity on August 13, 2022. The Company has paid its coupon dues up to May 13, 2017 regularly. However, the Company defaulted in coupon payments due from August 13, 2017 onwards. The NCD was classified as a non-performing asset (NPA) with effect from November 13, 2017. No further interest has been accrued. A provision for non-performing asset aggregating to Rs. 60,000,000 was made representing 10% of the book value of the investments during the year ended March 31, 2018 as per SEBI Regulation. During the year ended March 31,2019, an additional provision of 540,000,000 representing the balance book value of investment in the company has been made resulting in the book value of the investment being written down to zero. The Scheme has filed its claim with National Company Law Tribunal (NCLT).
• IIFCL Mutual Fund Infrastructure Debt Fund - Series I has invested in the commercial paper (CP) of infrastructure Leasing & Financial Services Limited (the Company) which was seheduled to mature on September 26, 2018 with maturity / face value of Rs. 116,500,000. The Company defaulted on payment on maturity. Provision of Rs. 116,500,000 has been made representing 100% of the maturity value during the year ended March 31, 2019. The Scheme has filed its claim with NCLT.
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
3. SCHEME PERFORMANCE, OPERATIONS OF THE SCHEME, FUTURE OUTLOOK & INVESTOR SERVICE
A. SCHEME PERFORMANCE
IIFCL Mutual Fund Infrastructure Debt Fund Series-I
The performance of the IIFCL Mutual Fund (IDF) Series-I as on 3 March, 2019, vis-a-vis the respective benchmark indices and previous year's performance is tabulated as under:-
st 1
## Face Value is Rs. 10,00,000th
$$¹ Rs. 300 Crore was raised, inception date is 10 Febuary, 2014Note: Past performance or may be sustained in the future.
Particulars 31.03.2019 31.03.2018
Unit NAV (in Rs.)##AUM (Rs. Crores) $$¹ Annual Yield
Yield Since Inception
Yield of Benchmark (Since Inception)
Annual Yield of the Benchmark i.e. CRISILComposite Bond Fund Index
13,12,430.0662
393.73
-10.00%
6.72%
5.44%
9.11%
14,58,323.4477
437.50
5.24%
5.11%
9.55%
9.70%
4
Provision for impairment in Non-Performing AssetsIIFCL Mutual Fund (Infrastructure Debt Fund) - Series II
•IIFCL Mutual Fund Infrastructure Debt Fund - Series II has invested in NCD of IL&FS
Transportation Network Limited (the Company) aggregating to Rs.302,160,000 which is due for
maturity on April 15, 2022. The Company has paid its coupon dues up to June 30, 2018 regularly.
Pursuant to rating downgrade of the company on September 10, 2018 and September 28, 2018 by
credit rating agencies, provision for non-performing asset on the book value of NCDs
outstanding in the Scheme of Rs. 302,160,000 has been created during the year ended March 31,
2019. Income accrued on these NCDs upto September 17, 2018 aggregating to Rs. 5,973,699 has
been reversed. Accordingly, no further income has been accrued on these NCDs post credit rating
downgrade below investment grade. The Scheme has filed its claim with NCLT.•IIFCL Mutual Fund Infrastructure Debt Fund-Series II has invested in the commercial paper (CP)
of Infrastructure Leasing & Financial Services Limited (the Company) which was scheduled to mature on October 19, 2018 with maturity / face value of Rs. 306,000,000. Pursuant to rating downgrade of the Company on September 8, 2018 and September 17, 2018 by credit rating agencies, provision for non-performing asset on the book value (cost plus discount income accrued till September 17, 2018) of commercial paper (CP) outstanding in the Scheme of Rs. 303,857,575 has been created during the year ended March 31, 2019. No further income has been accrued on this CP post credit rating downgrade below investment grade. The maturity proceeds of this CP which were due on October 19, 2018, have not been realized till date. The Scheme has filed its claim with NCLT.
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
## Face Value is Rs. 10,00,000th
$$² Rs. 200 Crore was raised, inception date is 12 April, 2017Note: Past performance may or may not be sustained in the future.
5
Particulars 31.03.2019 31.03.2018
Unit NAV (in Rs.)##AUM (Rs. Crores) $$² Annual Yield
Yield Since Inception
Yield of Benchmark (Since Inception)
Annual Yield of the Benchmark i.e. CRISILComposite Bond Fund Index
8,27,871.9442
165.57
-22.18%
6.72%
-9.16%
6.03%
10,63,891.6170
212.78
NA
NA
6.39%
5.14%
IIFCL Mutual Fund Infrastructure Debt Fund Series-II
stThe performance of the IIFCL Mutual Fund (IDF) Series-IIsince inception to as on 31 March, 2019, vis-a-vis the respective benchmark indices is tabulated as under:-
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
6
Movement in NAV since Inception of IIFCL Mutual Fund Series-II has been presented in below chart. (IIFCL MF Series-II was launched in April 2017 with corpus of 200 crore).
IIFCL Mutual Fund (IDF)Series-II NAV(Rs. in Lakhs)
Movement in NAV since inception of IIFCL Mutual Fund Series-I has been presented in below chart:-
IIFCL Mutual Fund (IDF)Series-I NAV(Rs. in Lakhs)
7
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
A. OPERATIONS OF THE SCHEME: The Fund seeks to generate appreciation/wealth in capital in various permissible Instruments/securities as per SEBI (Mutual Fund) Regulations.The fund has been deployed across various sectors viz.Thermal & Renewable Energy, Transmission, Distribution and Roads.
stPortfolio of IIFCL Mutual Fund Infrastructure Debt Fund Series I as on 31 March 2019:
Description QuantityMarket Value
/ Fair Value
Rupees
Infrastructure (100.00%)
Fixed rates bonds - Corporate (71.86%) $
Green Infra Wind Farm Asset Limited 12.00% 30DEC23 NCD ^
Feedback Energy Distribution Company Limited 13% 20JAN23 ^
D.P Jain Infrastructure Private Limited 13.25% 12AUG22 NCD *
Green Infra Wind Energy Limited 9.65% 04AUG23 NCD ^
12.75% GMR Warora NCD 25SEP2022 SRS I ^#
12.75% GMR Warora NCD 25SEP2023 SRS II ^#
12.75% GMR Warora NCD 25SEP2023 SRS III ^#
East North Intreconnection Company Limited SR-11 8.85% 30SEP19 NCD^
Molagavalli Renewbale Private Limited 9.95% 31MAR23 NCD *
Narmada Wind Energy Private Limited 9.95% 31MAR23 NCD *
DPJ DRA Tollways Private Limited 12.75% 06SEP20 NCD *
GVR Infra Private Limited 13.25% 13AUG22 NCD **^
500
400
400
400
250
250
250
100
100
100
200
600
5277,88,000
4248,34,800
4241,67,200
4092,38,800
1875,00,000
1875,00,000
1875,00,000
1000,94,500
998,94,000
982,55,600
717,11,360
Fixed rates bonds - Corporate (Cost Rs. 2,814,779,100) excluding
Investments classified as NPA 27184,84,260
Treasury Bills (28.14%) $
364 DAY Treasury Bill (10OCT19)
91 DAY Treasury Bill (25APR19)
364 DAY Treasury Bill(12DEC19)
364 DAY Treasury Bill (20SEP19)
364 DAY Treasury Bill(27JUN19)
364 DAY Treasury Bill(13JUN19)
364 DAY Treasury Bill(26SEP19)
364 DAY Treasury Bill(31OCT19)
364 DAY Treasury Bill(24OCT19)
Treasury Bills (Cost Rs.1,061,772,394)
TOTAL INVESTMENTS (Cost Rs. 3,876,551,494)
10643,65,255
37828,49,515
28,85,200
18,03,000
18,50,000
12,43,000
11,93,000
7,11,000
5,00,000
5,00,000
2,39,000
2792,79,570
1795,79,701
1771,41,385
1207,21,776
1175,76,473
702,36,064
485,19,950
482,29,700
230,80,636
(#) Fair value of non-government non-investment grade performing security as determined by Investment Manager in accordance with SEBI Circular MFD/CIR/8/92/2000 dated September 18, 2000 and approved by the Trustee.
($) Fair value of non-traded securities as determined in accordance with the guidelines for valuation of securities of Mutual Funds and amendments thereto as applicable by IIFCL Asset Management Company Limited under procedures approved by the Trustee of IIFCL Mutual Fund.
(*) Denotes Private placement / unlisted NCDs(^) Denotes Listed / awaiting listing NCDs(**) Refer Note 17
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
stPortfolio of IIFCL Mutual Fund Infrastructure Debt Fund Series II as on 31 March 2019:
Description QuantityMarket Value
/ Fair Value
Rupees
11353,59,100
Infrastructure (100.00%)
Fixed rates bonds - Corporate (78.17%) $
Green Infra Wind Energy Limited 9.65% 04AUG23 NCD ^
12.75% Feedback Infra Private Limited20DEC22 NCD ^
9.15% SP Jammu Udhampur High 30JUN27 NCD ^
8.30% Darbhanga Motihari Transmission Company Limited 31MAR27 NCD ^
8.30% Darbhanga Motihari Transmission Company Limited 31DEC26 NCD ^
IL&FS TransportationNetwork Limted 9.20% 15APR2022 ^
600
300
100
50
50
300
6138,58,200
3176,46,000
1034,91,600
501,98,900
501,64,400
--
Fixed rates bonds - Corporate (Cost Rs. 1,102,068,900) excluding Investments classified as NPA
Treasury Bills (21.83%) $
364 DAY Treasury Bill (10OCT19)
91 DAY Treasury Bill (25APR19)
364 DAY Treasury Bill (27JUN19)
364 DAY Treasury Bill (12DEC19)
17,29,000
11,54,000
2,07,000
1,50,000
1673,62,532
1149,38,977
204,00,947
143,62,815
Treasury Bills (Cost Rs.316,272,335) 3170,65,271
TOTAL INVESTMENTS (Cost Rs. 1,418,341,235) 14524,24,371
8
($) Fair value of non-traded securities as determined in accordance with the guidelines for valuation of securities of
Mutual Funds and amendments thereto as applicable by IIFCL Asset Management Company Limited under
procedures approved by the Trustee of IIFCL Mutual Fund.
(^) Denotes Listed / awaiting listing NCDs
(**) Refer Note 17
B FUTURE OUTLOOK
This Financial Year 2019 started with great expectations of recovery in both domestic Gross Domestic Product (GDP) growth and corporate earnings. September 2018 saw the beginning of a liquidity crisis in the Non-Banking Financial Services sector. Trends in global GDP growth (including US and China) would need to be watched closely. As per World Bank “In India, growth is forecasted at 7.5% in 2019, and to stay at this pace through the next two fiscal years.” International Monetary Fund (IMF) estimates, India's economy grew 7.1% in 2018 and is expected to accelerate to 7.3% growth this fiscal and to 7.5% in 2020. Further giving the importance of the infrastructure sector in the economic growth of the country and constraints in meeting the financial needs from traditional sources such as Banks, NBFCs, the Infrastructure Debt Funds (IDFs) provide an alternative financial intermediation mechanism for infrastructure projects by pooling long term institutional capital.
D INVESTOR COMPLAINT
There were no investor complaints received during the financial year 2018-19 in respect of the Fund. The report as stipulated by SEBI is provided in Annexure I.
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
4. SIGNIFICANT ACCOUNTING POLICIES
The Significant Accounting Policies form part of the notes to the Accounts annexed to the
Balance Sheet of the scheme. The Accounting policies are in accordance with the Securities and
Exchange Board of India (Mutual Funds), Regulations, 1996.
5. UNCLAIMED DIVIDEND AND REDEMPTIONS
The IIFCL Mutual Fund (IDF) run only two schemes – IIFCL Mutual Fund (IDF) Series I &
Series II during the financial year 2018-19. The schemes are with 10 years tenor close ended th thInfrastructure Debt Fund which were closed on 10 February, 2014 and 12 April, 2017
respectively and are offering only Growth Option. Hence, there are no instances of unclaimed stdividend and redemption as on 31 March 2019.
6. LIABILITY AND RESPONSIBILITY OF TRUSTEE
The main responsibility of the Trustees on the Board of Trustee of IIFCL Mutual Fund (IDF) is to
safeguard the interest of the unit holders and inter- alia ensure that IIFCL Asset Management
Company Limited (IAMCL), AMC to IIFCL Mutual Fund (IDF) always function diligently and
in the interest of investors and regulate the entity as per the Securities and Exchange Board of
India (Mutual Funds) Regulations, 1996 as amended from time to time and comply with the
provisions of the Trust Deed, Statement of Additional Information and Scheme Information
Document of the respective schemes within its true letter and spirit.
7. STATUTORY INFORMATION
a) IIFCL is not responsible or liable for any loss resulting from the operation of the Schemes of
Schemes of the Fund beyond their initial contribution (to the extent contributed) of 0.1 L a k h
for setting up the Fund, and such other accretions / additions to the same.b) The price and redemption value of the units, and income from them, can go up as well as
down with fluctuations in the market value of its underlying investments. c) Full Annual Report shall be disclosed on the website (www.iifclmf.com) and shall be
available for inspection at the Head Office of the Mutual Fund. Present and prospective unit holder/investors can obtain copy of the trust deed, the full Annual Report of the Fund /AMC at a price and the text of the relevant scheme.
ACKNOWLEDGMENT
We wish to thank the unit holders of the fund for their overwhelming response and support throughout the year and also extend our gratitude to the Government of India, Securities and Exchange Board of India (SEBI), Association of Mutual Fund in India(AMFI), BSE for the guidance provided by them. Further we would also like to appreciate the support extended by our Registrar and Transfer Agent, Fund Accountant, Custodian, Banker(s), Auditors, key partners. Lastly we wish to express our appreciation of contribution made by the dedicated and committed team of employees of IIFCL Asset Management Company Limited.
We look forward to your continued support and assure you of our commitment to quality products and services from IIFCL Mutual Fund (IDF).
9
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
For and on behalf of the Board of Trustees of IIFCL Mutual Fund (IDF)
P.R JaishankarChairman
Place: New DelhithDate: 26 September 2019
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ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
Independent auditor's reportTo the Board of Trustees of IIFCL Mutual Fund Report on the Audit of the Financial Statements Qualified Opinion
We have audited the accompanying financial statements of IIFCL Mutual Fund Infrastructure Debt Fund – Series I and IIFCL Mutual Fund Infrastructure Debt Fund – Series II (the “Schemes”), which comprise the Balance Sheet as at March 31, 2019, the related Revenue Account and the Cash Flow Statement for the year then ended, including a summary of significant accounting policies and other explanatory information.
2. In our opinion, and to the best of our information and according to the explanations given to us, except for the effects of the matter described in the Basis for Qualified Opinion section of our report, the aforesaid financial statements give the information required by the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996 and amendments thereto (the “Regulations”) in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the Schemes as at March 31, 2019;
(b) in the case of the Revenue Account, of the net deficit for the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date.
Basic for qualified opinion
3. The Schemes are required to ensure compliance with the valuation policies and procedures for debt securities in the portfolio of the Schemes as approved by the Board of Trustees and Board of Directors of IIFCL Asset Company Management Limited in line with the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996 and amendments thereto (the “Regulations”). As per the approved valuation policy of the Scheme, non-traded debt securities which are more than sixty days to maturity are required to be valued using scrip level prices from one designated rating agency, if available. (Refer Note 2.2(b) to the financial statements) This is not in accordance with the best practices circular dated November 19, 2013 issued by Association of Mutual Funds in India (AMFI) which provides for using the average of scrip level prices provided by two designated rating agencies for valuation of debt securities. Further, as per the approved valuation policy of the Scheme, if prices are not provided by the designated rating agency, securities are to be valued based on yield-to-maturity using yields provided by the designated rating agency. (Refer Note 2.2(b) to the financial statements). We have noted that the scrip level valuation prices were not obtained from the designated rating agency in line with the approved valuation policy and the debt securities were continued to be valued using yields provided by the designated rating agency, Further, the approved valuation policy for debt securities is not in line with the AMFI best practices circular on valuation of securities. Refer Note 17A to the financial statements for impact on the net asset value of the Schemes on account of this non- compliance with the AMFI best practices circular on valuation of securities. Had such impact been accounted for, the investment and profit for the year would have been lower by Rs. 120,256,484 for IIFCL Mutual Fund Infrastructure Debt Fund – Series I and Rs.46,396,401 for IIFCL Mutual Fund Infrastructure Debt Fund – Series II resulting in a lower net asset value (NAV) per unit of the scheme of Rs. 1,272,344.5713 for IIFCL Mutual Fund Infrastructure Debt Fund – Series I and Rs. 804,673.7435 for IIFCL Mutual Fund Infrastructure Debt Fund – Series II.
1.
12
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
4. We conducted our audit in accordance with the Standards on Auditing (SAs) and other applicable authoritative pronouncements issued by the Institute of Chartered Accountants of India. Our responsibilities under those Standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Schemes 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 financial statements and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.
Emphasis of Matter
5. The Trustee of IIFCL Mutual Fund and the Management of IIFCL Asset Management Company Limited (the “Management”) noted irregularities in the investments made through the primary market transactions including non-compliance with sanction terms for investment to be made and conditions mentioned in the debenture trust deed of the respective investments as observed in the special management audit conducted by the internal auditors as per directions of the Board of Directors of IIFCL Asset Management Company Limited and Board of Trustees of IIFCL Mutual Fund (IDF) thus depicting a lapse in monitoring controls over the investments process during that period. The non-compliance continued from the time of investment upto the current year. This has resulted in some of the investments remaining unsecured for the part of the period and three investments remaining partially secured till the date of the audit report, (refer Note 19 to the financial statements). Further, this has also resulted in loss of income for the Schemes on account of additional / penal interest which should have been charged to the investee companies by the Schemes for the irregularities, (refer Note 18 to the financial statements). On account of the above irregularities, staff accountability process has been initiated in accordance with Staff and Service Regulations of the sponsor of IIFCL Mutual Fund duly adopted by IIFCL Asset Management Company Limited and show cause notices have been issued to the Chief Investment Officer (CIO) and then Fund Manager of the Schemes for alleged gross negligence, irregularities, misrepresentation and concealment of facts on some of the investments. The matter has been referred to the Chief Vigilance Officer (Government of India) and is pending conclusion for any further investigation / action required to be taken till the date of the audit report. (Refer Note 21 to the financial statements).
Our opinion is not modified in respect of this matter.
Key audit matters
6. Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Except for the matter described in the Basis for Qualified Opinion section, we have determined that there are no other key audit matters to communicate in our report.
13
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
Other Information
The Trustee of IIFCL Mutual Fund and the Management of IIFCL Asset Management Company Limited (the “Management”) are responsible for the other information. The other information comprises the information included in the Annual Report, but does not include the financial statements and our auditor's report thereon. Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact.We have nothing to report in this regard.
Responsibilities of Trustee, Management and Those Charged with Governance for the Financial Statements
8. The Trustee of IIFCL Mutual Fund and the Management of IIFCL Asset Management Company Limited (the “Management”) are responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Schemes in accordance with the accounting policies and standards specified in the Ninth Schedule of the Regulations. This responsibility also includes maintenance of adequate accounting records for safeguarding of the assets of the Scheme and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.
9. In preparing the financial statements, the Trustee and the Management are responsible for assessing the Schemes' ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Schemes or to cease operations, or has no realistic alternative but to do so. The Trustee and the Board of Directors of IIFCL Asset Management Company Limited are also responsible for overseeing the Schemes' financial reporting process.
Auditor's responsibilities for the audit of the financial statements
10. Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of 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 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 financial statements.
7.
14
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
11. As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional scepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial 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 to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances but not for the purpose of expressing an opinion on the effectiveness of internal control.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Management.
• Conclude on the appropriateness of Management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Schemes' ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are 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 may cause the Schemes to cease to continue as a going concern.
• Performed procedures including to confirm confirmation of securities owned and unit capital balances as at March 31, 2019 by correspondence with the custodian/others and registrar and transfer agent, respectively.
• Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
12. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
13. We also provide those charged with governance with a statement that we have complied with 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, and where applicable, related safeguards.
15
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
14. From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Report on other legal and regulatory requirements
15. As required by section 55(4) the Regulations we report That :-(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit; and
(b) In our opinion, except for the effects of the matters described in the Basis for Qualified Opinion section of our report, the Balance Sheet, Revenue Account and Cash Flow Statement dealt with by this report have been prepared in accordance with the accounting policies and standards specified in the Ninth Schedule of the Regulations.
16. As required by clause 5 (ii)(2) of the Eleventh Schedule to the Regulations, we report that the Balance Sheet, Revenue Account, and Cash Flow Statement dealt with by this report are in agreement with the books of account of the Schemes.
17. In our opinion, except for the effects of the matter described in the Basis for Qualified Opinion section of our report the methods used to value non-traded securities as at March 31, 2019, as determined by IIFCL Asset Management Company Limited under procedures approved by the Board of Trustees of IIFCL Mutual Fund in accordance with the guidelines for valuation of securities for mutual funds as mentioned in the Eighth Schedule of the Regulations issued by the Securities and Exchange Board of India, are fair and reasonable.
For Price Waterhouse Chartered Accountants LLP Firm Registration Number: 012754N/N500016 Chartered Accountants
Alpa Kedia
PartnerMembership Number : 100681 UDIN: 19100681AAAACW8624
Date: September 26, 2019Place : Mumbai
16
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
Management Reply to the Qualified Opinion made by the Independent Auditors for the Finance Year 2018-19
S.no. Qualified by PWC Management Reply
(a) The Schemes are required to ensure compliance with the valuation policies and procedures for debt securities in the portfolio of the Schemes as approved by the Board of Trustees and Board of Directors of IIFCL Asset Company Management Limited in line with the Securities and Exchange Board of India (Mutual Funds) Regulations, 1996 and a m e n d m e n t s t h e r e t o ( t h e “Regulations”). As per the approved valuation policy of the Scheme, non-traded debt securities which are more than sixty days to maturity are required to be valued using scrip level prices from one designated rating agency, if available. (Refer Note 2.2(b) to the financial statements) This is not in accordance with the best practices circular dated Nov 19, 2013 issued by Association of Mutual Funds in India (AMFI) which provides for using the average of scrip level prices provided by two designated rating agencies for valuation of debt securities. Further, as per the approved valuation policy of the Scheme, if prices are not provided by the designated rating agency, securities are to be valued based on yield-to-maturity using yields provided by the designated rating agency. (Refer Note 2.2(b) to the financial statements).We have noted that the scrip level valuation prices were not obtained from the designated rating agency in line with the approved valuation policy and the debt securities were continued to be valued using yields provided by the designated rating agency, Further, the approved valuation policy for debt securities is not in line with the Regulations and the Association of Mutual Funds in India (AMFI) best practices circular
IIFCL Mutual Fund IDF had been using the following valutionprocess for its Portfolio till July 2019as per the extant guidelines of existing Valution Manual of IIFCL MF IDF
i) In case of non-traded securities with residual maturity > 60 days, in absence of available prices from CRISIL/ICRA/Both, CRISIL Bond Valuer has to be followed. The yield obtained from CRISIL Bond Matrix is further marked up or marked down by adding/reducing discretionary spread by Fund Manager and approved by CEO IAMCL as illiquidity discount/ premium. The discretionary spread is being decided based on an effort to reduce the gap between the yield obtained from CRISIL Bond Matrix and actual yield of the individual securities and any security specific change in credit spread (>20 bps) will be documented with suitable justification.
Bank Fixed Deposits valued at cost plus accruals / amortization and Government Securities and Treasury Bills will be valued at prices/yield provided by CRISIL.
ii) Further, the statutory auditors of IIFCL Mutual Fund (IDF), advised IIFCL Mutual Fund (IDF) to follow Scrip Level Valuation (SLV) for the purpose of valuation of all the instruments as advised by Association of Mutual Funds in India (AMFI) vide its Best Practice Guidelines Circular
thNo. 42/2013-14 dated 19 November, 2013
As per the said circular AMFI has advised all Mutual Fund AMCs to implement the Scrip Level Valuation based on data received from CRISIL
16A
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
on valuation of securities. Refer Note 17A to the financial statements for impact on the net asset value of the Schemes on account of this non compliance with the Regulations. Had such impact been accounted, the investment and profit for the year would have been lower by Rs. 120,256,484 for Series I and Rs.46,396,401 for Series II resulting in a lower NAV of the scheme of Rs. 1,272,344.5713 for Series I and Rs. 804,673.7435 for Series II.
Bond Valuer has been enhanced to aggregate the prices provided by both the agencies. Additionally, ICRA is also geared up to provide ICRA bond valuer tool along with aggregator. Further, AMFI advised to make suitable changes in valuation manual for incorporation of the above.
iii) In view of the same, CRISIL and ICRA were contacted to provide the prices as per AMFI guidelines. CRISIL agreed for providing the valuations for August 2019 vide its mail dated 28.08.2019. IIFCL Mutual Fund (IDF) has since used the prices provided by CRISIL for August 2019 asper the existing valuation manual and the valuation was undertaken by Fund Accountant, Citibank in the following manner and using the following–
a) Security Level prices provided by CRISIL for below investment grade securities except GVR Infra Projects Limited. In case of GVR Infra Project Limited, since IIFCL Mutual Fund (IDF) has already booked a provision of 100% of the book value, IIFCL Mutual Fund (IDF) continued to take cost of GVR Infra Projects at Zero only.
b) Security Level prices provided by CRISIL forall Debt securities above 30 days to maturity.
c) Prices provided by CRISIL for all CP/CD securities above 30 days to maturity.
d) Prices provided by CRISIL for all G-Sec securities above 30 days to maturity
e) Prices provided by CRISIL for all T-Bill securities above 30 days to maturity.
16B
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
f) Prices provided by CRISIL for all SDL securities above 30 days to maturity and.
g) Amortizing any Debt, CP/CD, G-Sec, T-Bill and SDL security by considering 31st day CRISIL price (below 30 days to maturity).
iv) Further, IIFCL Mutual Fund (IDF) has Placed proposal to the Board of Directors of IAMCL and Board of Trustees for approval of modification in valuation policy for adopting scrip level valuation in line with AMFI for the valuation of all investments in its portfolio.
v) IIFCL Mutual Fund IDF has obtained the Scrip Level Valuation as on 31.03.2019 subsequently after the balance date for the investments in the portfolio of the Schemes as on 31.03.2019 from two designated rating agencies in accordance with the above mentioned AMFI circular and calculated the impact of using these prices for valuation of investments on the NAV of the respective Schemes. Relevant disclosures of the impact on valuation and NAV in consultation with PWC has been done as Note 17A of the financial statements for impact on the net asset value of the Schemes on account of this. Had such impact been accounted, the investment and profit for the year would have been lower by Rs. 120,256,484 for Series I and Rs. 46,396,401 for Series II resulting in a lower NAV of the scheme of Rs. 1,272,344.5713 for Series I and Rs. 804,673.7435 for Series II.
Now, with the approval of the Board of Directors of IAMCL and Board of Trustees formodification in valuation policy and by adopting Scrip Level Valuation in line with advise of AMFI for the valuation of all investments in its portfolio, there shall be no non-compliance w.e.f. September 2019.
16C
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,480
3,00
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4,20
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3,79
316
3,26
0,36
316
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,963
3,94
2,47
1,99
5
3,94
2,47
1,99
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4,38
5,59
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012
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0016
Ch
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Acc
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For
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IIF
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ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
17
IIFCL MUTUAL FUND (IDF)REVENUE ACCOUNT FOR THE YEAR ENDED MARCH 31, 2019
Schedule
INCOME AND GAINS'Profit on sale/redemption of investments (net) (Note 2.2)Interest and Discount (Note 2.3)Miscellaneous Income
EXPENSES AND LOSSES
'Loss on sale/redemption of investments (net) (Note 2.2)
Management Fees (Note 4)
GST/Service tax on Management Fees
Transfer Agents Fees and Expenses
'Custodian Fees and Transaction Charges (Note 6)
Trusteeship Fees (Note 5)
Statutory Audit Fees
Internal Audit Fees
Other Operating Expenses
Investor Education and Awareness Expenses
Provision for Non-Performing Assets (Note 17)
TOTAL
'Net Realised Gains/(Losses) for the Year/Period
'Net Change in Unrealised Depreciation in Value of Investments (Note 8)
'Net Gains/(Losses) for the Year/Period
Net Change in Unrealised Appreciation in Value of Investments (Note 8)
'Net Surplus/(Deficit) including Net Change in
Unrealised Appreciation in Value of Investments
Net Change in Unrealised Appreciation in Value of Investments
transferred to Unrealised Appreciation Reserve (Note 8)
'Net Surplus/(Deficit) for the Year / Period
Retained Surplus/(Deficit) brought forward
'Income available for appropriation
'Retained Surplus/(Deficit) carried forward to Balance Sheet
7
IIFCL Mutual Fund Infrastructure Debt Fund - Series II
Notes to Accounts
'The schedules referred to the above and the notes to accounts form an integral part of the accounts.
As per our attached report of even date
8
For Price Waterhouse Chartered Accountants LLP Firm Registration No: 012754N/N500016 Chartered Accountants
For Board of Trustees of IIFCL Mutual Fund (IDF) For IIFCL Asset Management Company Limited
Alpa KediaPartner Membership No.: 100681
P.R.JaishankarChairman Trustee
Pankaj Jain Chairman
Anil Kumar TanejaChief Executive Officer and Director
Sumer SinghFund Manager
Place : MumbaiDate : 26 Sep 2019
Place : New DelhiDate : 26 Sep 2019
Place : New DelhiDate : 25 Sep 2019
Period ended 12.04.2017 to 31.03.2018
Rs.-
149,994,590-
-126,910,673
22,50,000
149,994,590 129,160,673
71,736
18,995,338
3,419,178
56,640
23,794
44,000
120,000
70,800
306,898
393,138
606,017,575
629,519,097
(479,574,507)
537,673
(479,036,834)
6,997,486
(472,039,348)
(6,997,486)
(479,036,834)
100,697,585
(378,339,249)
(378,339,249)
30,513
23,221,874
4,014,072
51,680
22,095
32,584
50,000
44,250
59,520
398,827
-
27,925,415
101,235,258
(537,673)
100,697,585
27,085,650
127,783,235
(27,085,650)
100,697,585
-
100,697,585
100,697,585
IIFCL Mutual Fund Infrastructure Debt Fund - Series I
Year ended 31.03.2019Rs.
Year ended 31.03.2019Rs.
Year ended 31.03.2018Rs.
-406,807,678
-
15,611398,525,44817,200,000
406,807,678 415,741,059
1,049,918
49,518,076
8,913,213
117,996
49,865
66,000
180,000
106,200
475,244
838,739
656,500,000
717,815,251
(311,007,573)
(95,895,760)
(406,903,333)
(30,776,812)
(437,680,145)
30,776,812
(406,903,333)
1,341,600,670
934,697,337
934,697,337
49,887,940
8,620,541
117,246
49,581
48,876
200,000
88,500
107,607
861,282
60,000,000
119,981,573
295,759,486
(399,078)
295,360,408
(77,548,030)
217,812,378
77,548,030
295,360,408
1,046,240,262
1,341,600,670
1,341,600,670
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
18
Sche
dule
sU
NIT
CA
PIT
AL
Gro
wth
Opt
ion
Init
ial c
apit
al is
sued
and
sub
scri
bed:
Uni
ts o
f R
s.10
lakh
s ea
ch f
ully
pai
d up
Out
stan
ding
:
Ope
ning
Bal
ance
New
Fun
d / P
lan
Off
erIs
sued
dur
ing
the
year
/ pe
riod
Red
empt
ions
dur
ing
the
year
/ pe
riod
Uni
t C
apit
al a
t th
e en
d of
the
yea
r / p
erio
d
RE
SER
VE
S A
ND
SU
RP
LU
S
Ret
aine
d Su
rplu
sA
t the
beg
inni
ng o
f th
e ye
ar /
peri
odT
rans
ferr
ed to
Rev
enue
Acc
ount
Bal
ance
tran
sfer
red
from
Rev
enue
Acc
ount
Clo
sing
bal
ance
Unr
ealis
ed A
ppre
ciat
ion
Res
erve
on
Inve
stm
ents
O
peni
ng b
alan
ceR
ever
sed
duri
ng th
e ye
ar /
peri
odN
et c
hang
e in
unr
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ed a
ppre
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ion
as a
t yea
r en
d / p
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dC
losi
ng b
alan
ce
CU
RR
EN
T L
IAB
ILIT
IES
AN
D P
RO
VIS
ION
SC
UR
RE
NT
LIA
BIL
ITIE
S:
Paya
ble
to A
MC
for
- -
Man
agem
ent F
ees
- O
ther
Exp
ense
sSt
atut
ory
Aud
it Fe
es P
ayab
leIn
tern
al A
udit
Fees
Pay
able
Cus
todi
an F
ees
and
Exp
ense
s Pa
yabl
eG
ST P
ayab
le o
n M
anag
emen
t Fee
sO
ther
Pay
able
sIn
vest
or E
duca
tion
and
Aw
arne
ss I
nitia
tives
(N
ote
17)
Tota
l
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SCH
ED
UL
ES
FO
RM
ING
PA
RT
OF
BA
LA
NC
E S
HE
ET
AS
AT
MA
RC
H 3
1, 2
019
AN
D T
HE
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
201
9
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CL
Mu
tua
l F
un
d I
nfr
ast
ruct
ure
Deb
t F
un
d -
Ser
ies
I
As
at 3
1.03
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s at
31.
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018
Un
its
Rs.
3,00
03,
000,
000,
000
3,00
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3,00
0
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0,00
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its
Rs.
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its
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000,
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2,00
0- -
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0
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0,00
0,00
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0
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its
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2,00
0
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000,
000,
000 -
2,00
0,00
0,00
0
As
at31
.03.
2018 R
s
1,04
6,24
0,26
2
(1,0
46,2
40,2
62)
1,34
1,60
0,67
0
1,34
1,60
0,67
0
110,
917,
703 -
(77,
548,
030)
33,3
69,6
73
1,37
4,97
0,34
3
As
at31
.03.
2019 R
s
100,
697,
585
(100
,697
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)
(378
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,249
)
(378
,339
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)
27,0
85,6
50
-
6,99
7,48
634
,083
,136
(344
,256
,113
)
As
at31
.03.
2018 R
s - -
100,
697,
585
100,
697,
585 - -
27,0
85,6
5027
,085
,650
127,
783,
234
As
at31
.03.
2019 R
s
1,34
1,60
0,67
0
(1,3
41,6
00,6
70)
934,
697,
337
934,
697,
337
33,3
69,6
73
-
(30,
776,
812)
2,59
2,86
1
937,
290,
198
As
at31
.03.
2018 R
s
As
at31
.03.
2019 R
s
As
at31
.03.
2018 R
s
As
at31
.03.
2019 R
s
1,64
8,17
4
229,
915
180,
000
106,
200
3,94
6
296,
669
449,
398
2,26
7,49
5
8,27
7,79
0 -
200,
000
88,5
00
49,5
81
232,
978
38,4
58
1,73
2,46
9
645,
416
222,
775
120,
000
70,8
00
1,65
9
116,
178
305,
892
436,
352
-
50,0
00
44,2
50
- -
9,00
0
222,
089
5,18
1,79
710
,619
,776
1,91
9,07
232
5,33
8
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
19
1 2 3
4IN
VE
STM
EN
TS
(Ref
er N
ote
2.2,
2.4
, 7, 8
, 9, 1
2, 1
5, 1
7, 1
7A, 1
9)(R
efer
to th
e at
tach
ed S
tate
men
t of P
ortfo
lio H
oldi
ng a
s at M
arch
31,
201
9)
Bon
ds a
nd D
eben
ture
s -
Lis
ted
/ Aw
aitin
g L
istin
g -
Les
s -
Prov
isio
n fo
r N
on-P
erfo
rmin
g A
sset
s (R
efer
Not
e 17
) -
Pri
vate
Pla
cem
ent /
Unl
iste
d T
reas
ury
Bill
sC
omm
erci
al P
aper
s
5D
EP
OSI
TS
Fixe
d D
epos
its w
ith S
ched
uled
Ban
ksM
argi
n D
epos
it w
ith th
e C
lear
ing
Cor
pora
tion
of I
ndia
Lim
ited
(CC
IL)
Fixe
d D
epos
its w
ith S
ched
uled
Ban
ks to
war
ds I
nves
tor
Edu
catio
n an
d A
war
enes
s Fu
nd (
Not
e 16
)
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SCH
ED
UL
ES
FO
RM
ING
PA
RT
OF
BA
LA
NC
E S
HE
ET
AS
AT
MA
RC
H 3
1, 2
019
AN
D T
HE
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
201
9
IIF
CL
Mu
tual
Fu
nd
In
fras
tru
ctu
re D
ebt
Fu
nd
- S
erie
s I
IIF
CL
Mu
tual
Fu
nd
In
fras
tru
ctu
re D
ebt
Fu
nd
- S
erie
s II
As
at31
.03.
2018 R
s
163,
260,
363
As
at31
.03.
2019 R
s
192,
153,
000
As
at31
.03.
2018 R
s
13,2
64,7
30
As
at31
.03.
2019 R
s
132,
028,
000
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
As
at 3
1.03
.201
9R
s.A
s at
31.
03.2
018
Rs.
2,75
0,00
0,00
0(6
00,0
00,0
00)
664,
779,
100
1,06
1,77
2,39
4
2,02
4,45
6,10
0 -69
4,02
8,16
01,
064,
365,
255
2,45
0,00
0,00
0(6
0,00
0,00
0)51
0,00
0,00
01,
224,
219,
081
49,1
04,1
19
2,41
2,05
3,00
0 -52
1,22
0,64
01,
223,
820,
003
49,2
00,1
50
Cos
tM
ark
et/F
air
valu
eC
ost
Mar
ket
/Fai
r va
lue
As
at 3
1.03
.201
9R
s.A
s at
31.
03.2
018
Rs.
1,40
4,22
8,90
0(3
02,1
60,0
00) -
316,
272,
335 -
1,13
5,35
9,10
0 - -31
7,06
5,27
1
804,
228,
900 - -
1,26
3,48
2,37
0
831,
314,
550 - -
1,26
2,94
4,69
7
Cos
tM
ark
et/F
air
valu
eC
ost
Mar
ket
/Fai
r va
lue
3,87
6,55
1,49
43,
782,
849,
515
4,17
3,32
3,20
04,
206,
293,
793
1,41
8,34
1,23
51,
452,
424,
371
2,06
7,71
1,27
02,
094,
259,
247
128,
750,
000
1,10
0,00
0
2,17
8,00
0
161,
657,
000 -
1,60
3,36
3
191,
660,
000
100,
000
393,
000
13,1
00,0
00-
164,
730
6 7
OT
HE
R C
UR
RE
NT
ASS
ET
S
Bal
ance
s w
ith
Sche
dule
d B
anks
- I
n C
urre
nt A
ccou
nt -
Tow
ards
Inv
esto
r E
duca
tion
and
Aw
aren
ess
Fund
(N
ote
16)
Rec
eiva
ble
from
AM
C
Inte
rest
Rec
eiva
ble
on :
- B
onds
and
Deb
entu
res
- F
ixed
Dep
osits
- F
ixed
Dep
osits
for
Inv
esto
r E
duca
tion
and
Aw
aren
ess
Fund
(N
ote
16)
Inve
stm
ents
Mat
urity
Pro
ceed
s R
ecei
vabl
eL
ess:
Pro
visi
on f
or N
on-P
erfo
rmin
g A
sset
s (R
efer
Not
e 17
)O
ther
Rec
eiva
bles
As
at31
.03.
2019 R
s
27,5
94,4
80
11,0
05,9
3612
,632
-
16,3
47,5
6814
8,42
49,
950 - -
69,9
70
As
at31
.03.
2019 R
s
16,0
35,9
63
101,
383
10,4
64-
15,6
55,4
6415
4,38
844
,294
- -69
,970
116,
500,
000
(116
,500
,000
)
As
at31
.03.
2019 R
s
20,5
84,5
95
10,1
17,5
9349
,239
7,03
3,00
9 -3,
377,
808
2,24
34,
703 - -
As
at31
.03.
2019 R
s
13,0
85,5
88
7,40
0,69
79,
982 - -
3,46
0,79
12,
212,
323
1,79
5 - -
303,
857,
575
(303
,857
,575
)
INT
ER
EST
AN
D D
ISC
OU
NT
(N
ote
2.3)
Bon
ds a
nd D
eben
ture
sD
epos
itsT
reas
ury
Bill
sC
omm
erci
al P
aper
332,
724,
422
4,37
4,51
466
,421
,232
3,28
7,51
0
342,
550,
179
19,5
43,1
1036
,480
,490
41,6
69
20,4
54,3
841,
241,
629
105,
214,
660 -
406,
807,
678
398,
525,
448
126,
910,
673
149,
944,
590
96,6
12,0
454,
428,
085
44,8
87,4
114,
017,
049
20
IIFCL MUTUAL FUND (IDF)CASH FLOW STATEMENT FOR THE YEAR ENDED MARCH 31, 2019
Cash flow from Operating Activity Net Surplus/Deficit for the Year/PeriodAdd / (Less): Net change in unrealised depreciation in the value of investmentsAdd / (Less): Provision for Non-Performing Investment
Operating Profit Before Working Capital Changes Adjustments for:-
Increase/(Decrease) in Other Current Assets (651,796)(656,500,000)
296,771,706(118,164,637)
(5,437,979)
35,733,483(60,000,000)
(644,567,001)(545,798)7,857,402
4,742,854(606,017,575)
649,370,035(50,528,270)
1,593,735
(10,417,763)-
(2,067,711,270)(164,730)
325,338
Increase in Provision for Non-Performing InvestmentIncrease/(Decrease) in InvestmentsIncrease/(Decrease) in Deposits(Decrease)/Increase in Current Liabilities and Provisions
Net Cash Generated From / (used in) Operating Activities
Cash flow from Financing ActivitiesIncrease/(Decrease) in Unit Capital
Net Cash Used in Financing Activities
Net Increase/(Decrease) in Cash and Cash Equivalents
Cash and Cash Equivalents as at the beginning of the year/period
Cash and Cash Equivalents at the end of the year
Components of cash and cash equivalentsWith Banks - in Current accountFixed Deposits with Scheduled Banks - Fixed Deposits
IIFCL Mutual Fund Infrastructure Debt Fund - Series II
Note: The above cashflow statement has been prepared under the indirect method set out in Accounting Standard 3 - Cash Flow Statement, issued by
the Institute of Chartered Accountants of India.
As per our attached report of even date
For Price Waterhouse Chartered Accountants LLP Firm Registration No: 012754N/N500016 Chartered Accountants
For Board of Trustees of IIFCL Mutual Fund (IDF) For IIFCL Asset Management Company Limited
Alpa KediaPartner Membership No.: 100681
P.R.JaishankarChairman Trustee
Pankaj Jain Chairman
Anil Kumar TanejaChief Executive Officer and Director
Sumer SinghFund Manager
Place : MumbaiDate : 26 Sep 2019
Place : New DelhiDate : 26 Sep 2019
Place : New DelhiDate : 25 Sep 2019
Period ended 12.04.2017 to 31.03.2018
Rs.
126,443,068 101,235,258
IIFCL Mutual Fund Infrastructure Debt Fund - Series I
Year ended 31.03.2019Rs.
Year ended 31.03.2019Rs.
Year ended 31.03.2018Rs.
(406,903,333)95,895,760
656,500,000
295,360,408399,078
60,000,000
(479,036,834)(537,673)
606,017,575
100,697,585537,673
-
345,492,427 355,759,486
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
A.
B.
125,603,847
125,603,847
23,266,832
7,410,679-
141,460,000
148,870,679
148,870,679
(1,976,733,168)
23,266,832
-
10,166,832-
13,100,000
23.266.832
23.266,832
(138,490,279)
(138,490,279)
161,768,847
11,018,568-
12,260,000
23,278,568
23,278,568
(305,762,428)
(305,762,428)
467,531,275
111,847-
161,657,000
161,768,847
161,768,847
(A)
(B)
-
-
-
-
-
-
2,000,000,000
2,000,000,000
(A+B)
21
Description QuantityMarket Value
/ Fair Value
Rupees
Infrastructure (100.00%)
Fixed rates bonds - Corporate (71.86%) $
Green Infra Wind Farm Asset Limited 12.00% 30DEC23 NCD ^
Feedback Energy Distribution Company Limited 13% 20JAN23 ^
D.P Jain Infrastructure Private Limited 13.25% 12AUG22 NCD *
Green Infra Wind Energy Limited 9.65% 04AUG23 NCD ^
12.75% GMR Warora NCD 25SEP2022 SRS I ^#
12.75% GMR Warora NCD 25SEP2023 SRS II ^#
12.75% GMR Warora NCD 25SEP2023 SRS III ^#
East North Intreconnection Company Limited SR-11 8.85% 30SEP19 NCD^
Molagavalli Renewbale Private Limited 9.95% 31MAR23 NCD *
Narmada Wind Energy Private Limited 9.95% 31MAR23 NCD *
DPJ DRA Tollways Private Limited 12.75% 06SEP20 NCD *
GVR Infra Private Limited 13.25% 13AUG22 NCD **^
500
400
400
400
250
250
250
100
100
100
200
600
527,788,000
424,834,800
424,167,200
409,238,800
187,500,000
187,500,000
187,500,000
100,094,500
99,894,000
98,255,600
71,711,360
-
Fixed rates bonds - Corporate (Cost Rs. 2,814,779,100) excluding
Investments classified as NPA
2,718,484,260
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
IIFCL MUTUAL FUND INFRASTRUCTURE DEBT FUND-SERIES I
Statement of Portfolio Holding as at March 31, 2019(Referred to in Schedule 4 to the Balance Sheet as at March 31, 2019 and the Revenue
Account for the year ended March 31, 2019)
Treasury Bills (28.14%) $
364 DAY Treasury Bill (10OCT19)
91 DAY Treasury Bill (25APR19)
364 DAY Treasury Bill(12DEC19)
364 DAY Treasury Bill (20SEP19)
364 DAY Treasury Bill(27JUN19)
364 DAY Treasury Bill(13JUN19)
364 DAY Treasury Bill(26SEP19)
364 DAY Treasury Bill(31OCT19)
364 DAY Treasury Bill(24OCT19)
Treasury Bills (Cost Rs.1,061,772,394) 10643,65,255
28,85,200
18,03,000
18,50,000
12,43,000
11,93,000
7,11,000
5,00,000
5,00,000
2,39,000
2792,79,570
1795,79,701
1771,41,385
1207,21,776
1175,76,473
702,36,064
485,19,950
482,29,700
230,80,636
TOTAL INVESTMENTS (Cost Rs. 3,876,551,494) 37828,49,515
(#) Fair value of non-government non-investment grade performing security as determined by Investment Manager in accordance with SEBI Circular MFD/CIR/8/92/2000 dated September 18, 2000 and approved by the Trustee.
($) Fair value of non-traded securities as determined in accordance with the guidelines for valuation of securities of Mutual Funds and amendments thereto as applicable by IIFCL Asset Management Company Limited under procedures approved by the Trustee of IIFCL Mutual Fund.
(*) Denotes Private placement / unlisted NCDs(^) Denotes Listed / awaiting listing NCDs(**) Refer Note 17
22
Description QuantityMarket Value
/ Fair Value
Rupees
11353,59,100
Infrastructure (100.00%)
Fixed rates bonds - Corporate (78.17%) $
Green Infra Wind Energy Limited 9.65% 04AUG23 NCD ^
12.75% Feedback Infra Private Limited20DEC22 NCD ^
9.15% SP Jammu Udhampur High 30JUN27 NCD ^
8.30% Darbhanga Motihari Transmission Company Limited 31MAR27 NCD ^
8.30% Darbhanga Motihari Transmission Company Limited 31DEC26 NCD ^
IL&FS TransportationNetwork Limted 9.20% 15APR2022 ^
600
300
100
50
50
300
6138,58,200
3176,46,000
1034,91,600
501,98,900
501,64,400
--
Fixed rates bonds - Corporate (Cost Rs. 1,102,068,900) excluding Investments classified as NPA
Treasury Bills (21.83%) $
364 DAY Treasury Bill (10OCT19)
91 DAY Treasury Bill (25APR19)
364 DAY Treasury Bill (27JUN19)
364 DAY Treasury Bill (12DEC19)
17,29,000
11,54,000
2,07,000
1,50,000
1673,62,532
1149,38,977
204,00,947
143,62,815
Treasury Bills (Cost Rs.316,272,335) 3170,65,271
TOTAL INVESTMENTS (Cost Rs. 1,418,341,235) 14524,24,371
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
IIFCL MUTUAL FUND INFRASTRUCTURE DEBT FUND-SERIES II
Statement of Portfolio Holding as at March 31, 2019(Referred to in Schedule 4 to the Balance Sheet as at March 31, 2019 and the Revenue
Account for the Year/Period ended March 31, 2019)
($) Fair value of non-traded securities as determined in accordance with the guidelines for valuation of securities
of Mutual Funds and amendments thereto as applicable by IIFCL Asset Management Company Limited under
procedures approved by the Trustee of IIFCL Mutual Fund.
(^) Denotes Listed / awaiting listing NCDs
(**) Refer Note 17
23
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
(All
am
ou
nts
in I
NR
Ru
pee
s, u
nle
ss o
ther
wis
e st
ated
)S
ched
ule
8:
Sta
tem
ent
of S
ign
ific
ant
Acc
ou
nti
ng
Pol
icie
s an
d N
otes
for
min
g p
art
of t
he
fin
anci
al s
tate
men
t o
f II
FC
L M
utu
al
Fu
nd
(ID
F)
for
the
yea
r en
ded
Mar
ch 3
1, 2
019
.
1.B
ack
grou
nd
IIF
CL
Mu
tual
Fun
d (
the
Fu
nd)
has
bee
n e
stab
lish
ed a
s a
Tru
st in
acc
orda
nce
wit
h th
e In
dia
Tru
sts
Act
, 188
2. I
n c
onfo
rmit
y w
ith
Sec
urit
ies
and
Ex
chan
ge
Boa
rd o
f In
dia
(Mu
tual
Fun
ds)
Reg
ula
tion
s, 1
996
, and
am
endm
ents
ther
eto
whi
ch in
clu
de s
pec
ific
reg
ulat
ions
fo
r in
fras
truc
ture
deb
t fu
nd
sch
emes
(th
e S
EB
I R
egu
lati
ons
),
IIF
CL
Ass
et M
anag
emen
t Com
pan
y L
imit
ed (t
he “
Inv
estm
ent M
anag
er”)
has
bee
n se
t up
to a
ct a
s th
e A
sset
Man
agem
ent C
ompa
ny (A
MC
) to
IIF
CL
Mut
ual
Fu
nd.
In te
rms
of th
e In
vest
men
t Man
agem
ent A
gre
emen
t (IM
A)
date
d A
ugu
st 1
7, 2
012
, en
tere
d in
to b
etw
een
IIF
CL
Mut
ual F
und
's B
oar
d o
f Tru
stee
s an
d th
e A
MC
has
be
en a
ppo
inte
d a
s th
e In
vest
men
t M
anag
er t
o th
e S
chem
es o
f th
e F
und.
Thi
s F
un
d h
as g
ot t
wo
clos
ed e
nde
d in
fras
tru
ctu
re d
ebt
sche
mes
.Ser
ies-
I w
hic
h w
as
laun
ched
in th
e fi
nan
cial
yea
r 201
3-14
and
Ser
ies-
II w
hich
was
lau
nche
d in
fin
anci
al y
ear 2
017
-18
(th
e S
chem
es).
Indi
a In
fras
truc
ture
Fin
ance
Co
mpa
ny L
td (I
IFC
L)i
s th
e sp
ons
or o
f IIF
CL
MU
TU
AL
FU
ND
(ID
F).
Sch
eme
Nam
eD
ate
of L
aun
chN
ew F
un
d O
ffer
(N
FO
) p
erio
dD
ate
of A
llotm
ent
Inv
estm
ent
Ob
ject
ive
IIF
CL
Mut
ual
Fun
d In
fras
truc
ture
Deb
t F
und
- S
erie
s I
Dec
embe
r 31
, 201
3D
ecem
ber
31, 2
013
- F
ebru
ary
10, 2
014
Feb
ruar
y 10
, 201
4T
he in
vest
men
t obj
ecti
ve o
f the
Sch
eme
is to
gen
erat
e ap
prec
iati
on
in
capi
tal
by
inve
stin
g in
va
riou
s pe
rmis
sibl
e in
stru
men
ts/
secu
riti
es b
elon
ging
to
the
infr
astr
uctu
re s
ecto
r as
per t
he S
EB
I Reg
ulat
ions
.
IIF
CL
Mut
ual
Fun
d In
fras
truc
ture
Deb
t F
und
- S
erie
s II
Mar
ch 3
1, 2
017
Mar
ch 3
1, 2
017
- A
pril
12,
201
7A
pril
12,
201
7T
he in
vest
men
t obj
ecti
ve o
f the
Sch
eme
is to
gen
erat
e ap
prec
iati
on
in
capi
tal
by
inve
stin
g in
va
riou
s pe
rmis
sibl
e in
stru
men
ts/
secu
riti
es b
elon
ging
to
the
Infr
astr
uctu
re S
ecto
r as
per t
he S
EB
I Reg
ulat
ions
.
2S
ign
ific
ant A
cco
un
tin
g P
olic
ies
2.1
Pre
pa
rati
on
of F
ina
nci
al S
tate
men
ts o
f th
e S
chem
es
Th
e S
chem
es m
ain
tain
the
boo
ks
of
acco
unt o
n ac
crua
l bas
is. T
he
fin
anci
al s
tate
men
ts o
f th
e S
chem
es h
ave
bee
n p
repa
red
in a
ccor
dan
ce w
ith
the
requ
irem
ents
of
Sec
uri
ties
and
Exc
han
ge B
oard
of
Indi
a (M
utu
al F
und
s) R
egul
atio
ns, 1
996
an
d am
end
men
ts th
eret
o (t
he
“SE
BI
Reg
ula
tio
ns”)
, as
spec
ifie
d in
the
Nin
th S
ched
ule
w
hich
lay
dow
n th
e ac
cou
ntin
g p
olic
ies
and
sta
nd
ard
s to
be
ado
pted
and
the
dis
clos
ure
s to
be
mad
e.
Th
e p
rep
arat
ion
of
fin
anci
al s
tate
men
ts in
co
nfor
mit
y w
ith
the
SE
BI
Reg
ula
tio
ns r
equ
ires
the
use
of
cert
ain
crit
ical
acc
oun
tin
g e
stim
ates
. It a
lso
requ
ires
the
Bo
ard
of
Dir
ecto
rs o
f the
Inv
estm
ent M
anag
er to
exe
rcis
e it
s ju
dgm
ent i
n th
e p
roce
ss o
f ap
ply
ing
the
Fun
d's
acc
oun
tin
g p
olic
ies.
24
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
Th
e pr
epar
atio
n of
fina
ncia
l sta
tem
ents
in c
onfo
rmit
y w
ith
the
SE
BI R
egu
lati
ons
req
uir
es th
e u
se o
f cer
tain
cri
tica
l acc
ount
ing
est
imat
es. I
t als
o re
qu
ires
the
Bo
ard
of
Dir
ecto
rs o
f th
e In
ves
tmen
t Man
ager
to e
xer
cise
its
jud
gm
ent i
n th
e p
roce
ss o
f app
lyin
g th
e F
und
's a
ccou
ntin
g p
oli
cies
.
Pre
sen
tati
on
of th
ese
sep
arat
e ba
lanc
e sh
eets
, rev
enu
e ac
coun
ts a
nd
cash
flo
w s
tate
men
ts in
a c
olu
mna
r fo
rm is
not
inte
nd
ed to
ind
icat
e th
at th
ey b
ear
any
rel
atio
n to
ea
ch o
ther
, or a
re in
terd
epen
den
t or c
om
para
ble
in a
ny
way
.
2.2
Inve
stm
ents
a)A
cco
un
tin
g fo
r in
ves
tmen
t tra
nsa
ctio
ns
Tra
nsa
ctio
ns f
or p
urc
has
e an
d sa
le o
f in
vest
men
ts a
re r
eco
gniz
ed a
s o
f th
e tr
ade
date
. In
det
erm
inin
g th
e h
oldi
ng
cos
t of
inv
estm
ents
and
the
gai
n o
r lo
ss o
n s
ale
of
inv
estm
ents
, the
“w
eig
hted
av
erag
e co
st”
met
hod
is f
ollo
wed
. Th
e co
st o
f in
ves
tmen
ts in
clud
es a
ll c
osts
incu
rred
tow
ard
s ac
qui
ring
the
inv
estm
ent o
r in
cide
nta
l to
acqu
isit
ion
of t
he in
vest
men
ts b
ut e
xcl
ude
s cu
stod
ian
saf
ekee
pin
g fe
es.
b)
Va
lua
tio
n o
f in
ves
tmen
ts
Inve
stm
ents
are
sta
ted
at m
arke
t/fa
ir v
alue
at t
he B
alan
ce S
heet
dat
e/d
ate
of d
eter
min
atio
n.I
n v
alui
ng th
e S
chem
es' i
nves
tmen
ts:-
Va
lua
tio
n o
f Fix
ed I
nco
me
and
rel
ate
d s
ecu
riti
es
Tra
ded
S
ecu
riti
es
Ca
tego
ryP
oli
cy
Fo
r sec
uri
ties
wit
h re
sid
ual m
atu
rity
>6
0 d
ays:
•
At v
alua
tion
pri
ces
pro
vide
d b
y C
RIS
IL o
r any
oth
er a
gen
cy fo
r in
divi
dua
l sec
uri
ties
(wit
hou
t an
y d
iscr
etio
nar
y s
pre
ad).
•In
cas
e p
rice
s ar
e no
t ava
ilab
le a
s m
enti
on
ed a
bov
e: A
t wei
ghte
d a
ver
age
Yie
ld T
o M
atur
ity
Fo
r sec
uri
ties
wit
h re
sid
ual m
atu
rity
<=
60
day
s:•
At w
eig
hted
av
erag
e Y
TM
A s
ecur
ity
wil
l qua
lify
as
trad
ed s
ecur
ity
if:
•F
or
secu
riti
es w
ith
res
idua
l m
atur
ity
>1
Yea
r: A
t le
ast
two
tra
des
and
agg
rega
te v
olu
me
of R
s 2
5 cr
ores
fac
e v
alu
e or
mor
e on
a p
ubl
ic
plat
form
. •
Fo
r se
curi
ties
wit
h re
sidu
al m
atu
rity
<=
1 Y
ear:
At
leas
t fi
ve t
rade
s an
d ag
gre
gat
e vo
lum
e of
Rs
250
cro
res
face
val
ue
or m
ore
on
a p
ubl
ic
pla
tfor
m.
Non
Tra
ded
S
ecu
riti
esF
or s
ecu
riti
es w
ith
resi
dua
l mat
uri
ty <
= 6
0 d
ays:
•A
sset
s to
be
amor
tize
d o
n st
raig
ht
lin
e am
orti
zati
on
as l
ong
as
thei
r v
alu
atio
n re
mai
ns w
ith
in ±
0.1
0% b
and
of
the
pric
e de
riv
ed f
rom
the
re
fere
nce
rate
for e
ach
buck
et (r
efer
ence
rate
for e
ver
y 1
5-da
y bu
cket
wil
l be
prov
ided
by
CR
ISIL
or o
ther
ag
enci
es).
•In
cas
e o
f am
ort
ised
val
ue f
alli
ng o
uts
ide
the
abov
e b
and
, th
e Y
TM
of
the
asse
t wil
l hav
e to
be
adju
sted
in o
rder
to b
rin
g th
e p
rice
wit
hin
the
±0
.10
% b
and
wit
h s
uit
able
just
ific
atio
n.
25
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
Tra
ded
S
ecu
riti
es
Cat
ego
ryP
oli
cy
For
Gov
ern
men
t S
ecu
riti
es a
nd
T
reas
ury
Bil
ls
Fo
r sec
uri
ties
wit
h re
sid
ual m
atu
rity
>=
60
day
s:•
At v
alu
atio
n p
rice
s pr
ovid
ed b
y C
RIS
IL o
r an
y ot
her a
gen
cy fo
r ind
ivid
ual
sec
urit
ies
(wit
hou
t any
dis
cret
iona
ry s
prea
d).
•In
cas
e pr
ices
not
av
aila
ble
as
men
tion
ed a
bo
ve:
•C
RIS
IL B
ond
Val
uer
. No
cap
on
illi
qu
idit
y pr
emiu
m /
dis
coun
ts.
•Il
liq
uid
ity
chan
ges
: o
Fun
d M
anag
er w
ill f
reez
e th
e cr
edit
spr
ead
of e
ach
secu
rity
at t
he
tim
e o
f pur
chas
e. T
his
cred
it s
prea
d ca
n b
e ch
ange
d b
ased
on
prim
ary
mar
ket s
upp
ly, s
igni
fica
nt t
radi
ng a
ctiv
ity
in th
e se
con
dary
mar
ket
in s
ame
or s
imil
ar a
sset
s, p
rosp
ects
of a
cre
dit e
ven
t, e
tc.
oA
ny
sec
uri
ty s
pec
ific
ch
ange
in c
redi
t spr
ead
(>2
0 b
p) w
ill b
e d
ocu
men
ted
wit
h su
itab
le ju
stif
icat
ion
Any
po
rtfo
lio
vid
e ch
ange
to c
redi
t sp
read
s h
avin
g re
gard
to p
rev
alen
t mat
rix
yie
lds
wil
l als
o b
e d
ocu
men
ted
.
Go
vern
men
t S
ecu
riti
es a
nd T
reas
ury
Bil
ls w
ill
be v
alu
ed a
t pr
ices
/yie
ld p
rov
ided
by
CR
ISIL
.
Sel
f-T
rad
es
A s
elf-
trad
ed s
ecur
ity
hav
ing
a s
ing
le t
rad
e w
ith
face
val
ue
of a
t le
ast
Rs
5 c
rore
s, w
ill
be r
ecog
nize
d at
wei
ght
ed a
ver
age
YT
M f
or v
alu
atio
n
acro
ss a
ll s
chem
es.
Ref
er N
ote
17
A
Th
e ne
t unr
eali
zed
appr
ecia
tion
and
dep
reci
atio
n in
val
ue
of in
vest
men
ts is
det
erm
ined
sep
arat
ely
for e
ach
cat
ego
ry o
f in
vest
men
ts.
In r
espe
ct o
f ea
ch c
ateg
ory
of
inve
stm
ents
, the
cha
nge
in n
et u
nre
aliz
ed d
epre
ciat
ion,
if a
ny, b
etw
een
two
bal
ance
sh
eet d
ates
/ dat
e of
det
erm
inat
ion
is a
cco
unt
ed f
or
thro
ugh
the
Rev
enu
e A
cco
unt.
Th
e n
et c
han
ge i
n u
nrea
lize
d ap
pre
ciat
ion
, if
any,
bet
wee
n tw
o b
alan
ce s
hee
t d
ates
/ da
te o
f de
term
inat
ion
is
acco
unt
ed t
hrou
gh t
he
Rev
enu
e A
ccou
nt a
nd th
erea
fter
tran
sfer
red
fro
m th
e R
even
ue A
cco
unt t
o th
e U
nrea
lize
d A
ppr
ecia
tion
Res
erv
e.
2.3
Rev
enu
e re
cog
nit
ion
Inte
rest
In
com
ea)
Inte
rest
inc
om
e is
rec
ogni
zed
on
accr
ual
bas
is e
xcep
t w
her
e th
ere
is u
nce
rtai
nty
abou
t ul
tim
ate
reco
very
/ r
eali
sati
on
. S
uch
inc
om
e is
rec
ogn
ised
wh
en t
he
unc
erta
inty
is re
solv
ed.
b)In
cas
e of
dis
coun
ted
sec
urit
ies,
the
dis
coun
t to
rede
mp
tion
val
ue
is a
mo
rtiz
ed o
n a
stra
ight
-lin
e ba
sis
ove
r th
e pe
riod
up
to re
dem
pti
on.
2.4
Pro
vis
ion
for
Non
-Per
form
ing
Ass
ets
Non
-Per
form
ing
Ass
ets
are
iden
tifi
ed a
nd
pro
visi
on i
s m
ade
ther
eon
as p
er t
he S
EB
I R
egu
lati
ons.
An
asse
t is
cla
ssif
ied
as
no
n-pe
rfor
min
g, i
f th
e in
tere
st a
nd/
or
26
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
prin
cipa
l am
ount
has
no
t bee
n re
ceiv
edo
r ha
s re
mai
ned
outs
tand
ing
for
one
quar
ter
from
the
dat
e su
ch in
com
e/in
stal
lmen
t has
fal
len
due
. Acc
ord
ingl
y, th
e in
tere
st
and
inv
estm
ent
prov
isio
n a
s ab
ove
is m
ade
fro
m t
he d
ate
the
asse
t is
cla
ssif
ied
as N
on-P
erfo
rmin
g A
sset
. Th
e b
ook
val
ue o
f th
e in
vest
men
t is
co
nsid
ered
fo
r th
e pu
rpos
e of
pro
visi
onin
g.
2.5
Net
Ass
et V
alu
e
Th
e n
et a
sset
val
ue o
f the
un
its
of th
e S
chem
es p
erta
ins
to th
e G
row
th o
pti
on
of t
he re
spec
tive
Sch
emes
.
3N
et A
sset
Va
lue
(NA
V) p
er u
nit
Th
e n
et a
sset
val
ues
of th
e G
row
th O
pti
on o
f the
Sch
emes
as
on
the
dat
e of
the
bala
nce
sh
eet i
s as
foll
ow
s:-
Sch
eme
Nam
eM
arch
31,
201
9(R
up
ees
per
un
it)
Mar
ch 3
1, 2
018
(Ru
pee
s p
er u
nit
)
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctur
e D
ebt
Fun
d -
Ser
ies
I
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctur
e D
ebt
Fun
d -
Ser
ies
II
1,3
12
,43
0.0
662
1,4
58,
323
.447
7
827
,871
.94
421
,06
3,8
91.
617
0
4.M
an
ag
emen
t Fee
s
In a
cco
rdan
ce w
ith
the
agre
emen
t bet
wee
n II
FC
L M
utua
l Fun
d's
Boa
rd o
f Tru
stee
s (t
he “
Tru
stee
”) a
nd
the
Inv
estm
ent M
anag
er, t
he S
chem
es h
ave
pai
d /
prov
ided
for
inve
stm
ent m
anag
emen
t fee
s p
ayab
le to
the
AM
C f
or
man
agin
g th
e S
chem
es a
t the
fol
low
ing
aver
age
annu
al r
ate
(ex
clu
din
g G
ood
s an
d S
ervi
ce T
ax (
GS
T)
/ ser
vice
ta
x o
n m
anag
emen
t fee
s) a
s a
perc
enta
ge
of t
he
aver
age
dail
y n
et a
sset
s re
cord
ed b
y th
e re
spec
tiv
e S
chem
es.
Sch
eme
Nam
eM
arch
31
, 20
19M
arch
31
, 20
18
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctur
e D
ebt
Fun
d -
Ser
ies
I
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctur
e D
ebt
Fun
d -
Ser
ies
II
1.1
8%1.
16%
0.9
7%1
.17
%
Per
cen
tage
of
Ma
na
gem
ent
Fee
s ch
arge
d
5.T
rust
eesh
ip F
ees
As
per
the
Tru
st D
eed
dat
ed A
ugus
t 17,
20
12, t
he tr
ust
ees
are
elig
ible
for a
fee
calc
ulat
ed a
t a ra
te n
ot e
xcee
ding
one
-tw
enti
eth
of o
ne p
erce
nt o
f th
e w
eekl
y a
vera
ge n
et
asse
ts o
f th
e M
utua
l F
und
su
bje
ct t
o a
min
imu
m o
f R
s.25
0,0
00
pay
able
in
arr
ears
. H
ow
ever
, th
e B
oar
d of
Tru
stee
s in
th
e m
eeti
ng h
eld
on
Dec
embe
r 2
2,
201
5
appr
ov
ed t
he p
ropo
sal
for
pay
men
t of
sit
ting
fee
of
Rs.
10,
00
0 fo
r at
ten
ding
th
e m
eeti
ngs
of B
oard
of
Tru
stee
s an
d R
s.7
,500
fo
r at
tend
ing
any
co
mm
itte
e m
eeti
ng
ther
eof
(sin
ce r
evis
ed to
Rs.
20
,00
0 an
d R
s.1
0,0
00r
espe
ctiv
ely
wit
h ef
fect
fro
m F
ebru
ary
28, 2
019
) o
nly
to th
e p
art t
ime
No
n O
ffic
ial I
ndep
end
ent T
rust
ee w
ho a
re
neit
her
wo
rkin
g an
yw
here
nor
no
min
ated
by
any
Ban
k, C
orp
orat
e o
r In
stit
utio
n as
In
dep
end
ent T
rust
ee. A
cco
rdin
gly,
sit
tin
g fe
e w
as p
aid
to o
ne
mem
ber
trus
tee
for
atte
ndin
g th
e m
eeti
ngs
of B
oar
d o
f Tru
stee
s an
d co
mm
itte
e m
eeti
ngs
ther
eof w
hic
h is
wit
hin
the
over
all l
imit
of t
rust
ee fe
e as
per
cla
use
13 o
f th
e T
rust
Dee
d.
27
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
6C
ust
od
ian
Fee
s
Cit
iban
k N
A p
rov
ides
cus
todi
al s
ervi
ces
to th
e S
chem
es fo
r whi
ch it
rece
ives
cus
tod
y fe
es (i
ncl
udin
g tr
ansa
ctio
n a
nd re
gist
rati
on c
harg
es).
7C
ust
od
ian
Con
firm
ati
on
Con
firm
atio
n h
as b
een
rec
eiv
ed f
rom
Cit
iban
k N
.A. a
t the
en
d of
the
year
for
the
inve
stm
ents
hel
d b
y th
e S
chem
es. A
ll in
vest
men
ts, e
xcep
t Tre
asu
ry B
ills
and
Fix
ed
Dep
osi
ts r
ecei
pts
are
hel
d in
saf
e cu
sto
dy o
f th
e cu
sto
dian
. In
ves
tmen
ts i
n T
reas
ury
Bil
ls a
re h
eld
in a
Con
stit
uen
t S
ubsi
diar
y G
ener
al L
edg
er(C
SG
L)
acco
unt
mai
nta
ined
wit
h ID
BI B
ank
in th
e n
ame
of “
IIF
CL
Mu
tual
Fun
d”.
8A
ggre
gate
Ap
pre
cia
tion
an
d D
epre
cia
tion
in th
e V
alu
e o
f In
vest
men
ts
Sch
eme
Nam
e
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctu
re D
ebt
Fu
nd -
Ser
ies
I
Ass
et
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctu
re D
ebt
Fu
nd -
Ser
ies
II
Bo
nds
and
Deb
entu
res
Tre
asur
y B
ills
Co
mm
erci
al P
aper
Bo
nds
and
Deb
entu
res
Tre
asur
y B
ills
Ma
rch
31
, 20
19
Ma
rch
31
, 20
18
Ap
pre
cia
tion
(Ru
pee
s)A
pp
reci
atio
n(R
up
ees)
Dep
reci
atio
n(R
up
ees)
Dep
reci
ati
on
(Ru
pee
s)
91,
20
5,1
60
2,5
92,
861
-
34,
04
1,4
00
79
2,9
36
18
7,5
00,0
00
- -
751
,200
-
33
,27
3,6
40
288,
336
96,
033
27
,08
5,6
50
182,
235
-
687
,41
3 - -
719
,90
8
9A
ggre
gate
Val
ue
of P
urc
has
e an
d S
ale
of I
nve
stm
ents
The
agg
rega
te v
alue
of i
nves
tmen
ts p
urch
ased
and
sol
d (i
nclu
ding
rede
mpt
ions
) dur
ing
the
year
and
thei
r per
cent
age
of th
e re
spec
tive
ave
rage
dai
ly n
et a
sset
s ar
e as
foll
ows:
Sch
eme
Na
me
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctu
re D
ebt
Fun
d -
Ser
ies
I
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctu
re D
ebt
Fun
d -
Ser
ies
II
Pu
rch
ases
201
8-20
19(R
up
ees)
Sal
es20
18-2
019
(Ru
pee
s)
Pu
rch
ase
as
per
cen
tag
e to
a
vera
ge
da
ily
net
as
sets
Sal
e as
per
cen
tag
eto
av
era
ge d
aily
n
et a
sset
s
1,7
74,
444
,238
1,2
16,
738
,934
42.
36
%
61.
96
%
1,4
83,3
74,7
67
1,3
08,
924,
118
34.4
1%
66.6
5%
Sch
eme
Na
me
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctu
re D
ebt
Fun
d -
Ser
ies
I
IIF
CL
Mu
tual
Fun
d In
fras
tru
ctu
re D
ebt
Fun
d -
Ser
ies
II
Pu
rch
ases
201
7-20
18(R
up
ees)
Sal
es20
18-2
019
(Ru
pee
s)
Pu
rch
ase
as
per
cen
tag
e to
a
vera
ge
da
ily
net
as
sets
Sal
e as
per
cen
tag
eto
av
era
ge d
aily
n
et a
sset
s
1,4
97,
172
,296
4,5
40,
369
,719
34.
81
%
221.
08
%
889
,127
,45
4
2,5
77,8
73,1
08
20.6
7%
125
.52
%
28
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31
, 20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
10
Inco
me
and
Exp
ense
s
Th
e to
tal i
nco
me
(inc
lud
ing
net
pro
fit/
loss
on
sal
e o
r re
dem
pti
on
of
inv
estm
ents
, net
cha
nge
in u
nre
alis
ed d
epre
ciat
ion
in v
alue
of
inve
stm
ents
and
pro
vis
ion
for
no
n-
per
form
ing
asse
ts) a
nd to
tal e
xpen
ses
duri
ng th
e ye
ar /
per
iod
are
:-
Sch
eme
Nam
e
IIF
CL
Mu
tual
Fu
nd
Infr
astr
uct
ure
Deb
t F
und
- S
erie
s I
IIF
CL
Mu
tual
Fu
nd
Infr
astr
uct
ure
Deb
t F
und
- S
erie
s II
Fo
r T
he
Yea
r en
ded
Mar
ch 3
1, 2
019
To
tal
Inco
me
Ru
pee
sT
otal
Exp
ense
sR
up
ees
Per
cent
age
of a
vera
ge
daily
net
ass
ets
Per
cent
age
of a
vera
geda
ily n
et a
sset
s
(346
,638
,002
)
(455
,607
,048
)
Inco
me
Ra
tio
Ex
pen
se R
atio
(8.2
8%)
(23.
20%
)
60,
26
5,3
33
23,
42
9,7
86
10A
SE
BI
Cir
cula
r d
ate
d O
cto
ber
22,
201
8
As
per
SE
BI
circ
ula
r d
ated
Oct
ober
22
, 201
8, a
ll s
chem
e re
late
d ex
pen
ses
as p
er R
egul
atio
n 5
2 of
th
e S
EB
I R
egu
lati
ons
are
req
uir
ed t
o be
pai
d fr
om
th
e S
chem
es
wit
hin
reg
ula
tory
lim
its
and
not
fro
m th
e b
ook
s o
f the
ass
et m
anag
emen
t co
mpa
ny, i
ts a
ssoc
iate
, sp
onso
r, tr
uste
e or
any
oth
er e
nti
ty th
rou
gh
any
rout
e w
ith
eff
ect f
rom
the
dat
e o
f th
e sa
id c
ircu
lar.
Th
e In
vest
men
t Man
ager
con
tin
ued
to p
ay s
chem
e re
late
d ex
pens
es o
n b
ehal
f the
Sch
emes
aft
er O
cto
ber
22
, 20
18
thou
gh
the
expe
nse
has
been
rec
ove
red
fro
m th
e S
chem
es a
nd h
ence
acc
rued
in th
e bo
oks
of
acco
unt o
f th
e S
chem
es. T
hese
am
oun
ts a
re p
ayab
le to
the
Inve
stm
ent M
anag
er a
s at
Mar
ch 3
1,
2019
.
11.
Dis
clo
sure
un
der
Reg
ula
tion
25(
8) o
f th
e S
ecu
riti
es a
nd
Exc
ha
nge
Bo
ard
of I
nd
ia (M
utu
al F
un
ds)
Reg
ula
tio
ns,
199
6 a
s a
men
ded
:-
Th
e S
chem
es h
ave
ente
red
into
tran
sact
ion
s w
ith
cert
ain
rela
ted
par
ties
. The
info
rmat
ion
req
uire
d in
acc
ord
ance
wit
h A
cco
unti
ng S
tand
ard
(AS
) -18
on
'Rel
ated
Par
ty
Dis
clo
sure
s' is
sued
by
the
Inst
itut
e o
f Cha
rter
ed A
cco
unta
nts
of I
ndi
a an
d R
egu
lati
on 2
5(8
) of t
he
SE
BI R
egu
lati
ons,
is a
s fo
llow
s:-
1.4
4%
1.1
9%
Sch
eme
Nam
e
IIF
CL
Mu
tual
Fu
nd
Infr
astr
uct
ure
Deb
t F
und
- S
erie
s I
IIF
CL
Mu
tual
Fu
nd
Infr
astr
uct
ure
Deb
t F
und
- S
erie
s II
Fo
r T
he
Yea
r en
ded
Mar
ch 3
1, 2
018
To
tal
Inco
me
Ru
pee
sT
otal
Exp
ense
sR
up
ees
Per
cent
age
of a
vera
ge
daily
net
ass
ets
Per
cent
age
of a
vera
geda
ily n
et a
sset
s
355
,341
,98
1
128
,592
,48
7
Inco
me
Ra
tio
Ex
pen
se R
atio
8.2
6%
6.2
6%
59,
98
1,5
73
27,
89
4,9
02
1.3
9%
1.3
6%
29
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
Rel
ate
d P
art
y R
ela
tio
nsh
ips
Indi
a In
fras
truc
ture
Fin
ance
Com
pan
y L
imit
ed#
IIF
CL
Ass
et M
anag
emen
t C
om
pan
y L
imit
ed (
IAM
CL
)
Can
ara
Ban
k#P
anka
j Ja
in#
Ani
l K
um
ar T
anej
a#D
eep
ak K
um
ar C
hat
terj
ee #
P.R
. Jai
shan
kar
#
Nam
eD
escr
ipti
on
of
Rel
atio
nsh
ipS
pon
sor
of
the
Fu
nd
Inv
estm
ent
Man
ager
of
the
Fun
dH
oldi
ng 3
3% o
f N
et A
sset
Val
ue o
f th
e sc
hem
e of
IIF
CL
Mut
ual F
und
Infr
astr
uctu
re D
ebt F
und
– S
erie
s I
Cha
irm
an o
f IA
MC
L (
App
oin
ted
w.e
.f 1
8.0
1.2
018
)D
irec
tor
and
Chi
ef E
xecu
tive
Off
icer
of
IAM
CL
(A
ppoi
nted
w.e
.f 2
5.0
8.2
017)
Dir
ecto
r of
IA
MC
L (
Cea
sed
as
Dir
ecto
r w
.e.f
16
.06
.201
8)C
hair
man
of
the
Bo
ard
of
Tru
stee
(A
ppo
intm
ent
w.e
.f. 0
5.1
0.2
017
)
# N
o t
rans
acti
ons
duri
ng t
he
year
.
Tra
nsa
ctio
ns
du
rin
g th
e y
ear:
-
IIF
CL
Mu
tual
Fu
nd
In
fras
tru
ctu
re D
ebt
Fu
nd
- S
erie
s I
Nat
ure
of
tran
sact
ion
sN
ame
of
the
Rel
ate
d P
art
y(A
mo
un
t in
Ru
pee
s)
Ma
rch
31
, 20
19
Mar
ch 3
1, 2
018
Inve
stm
ent
Man
agem
ent
Fee
s (E
xclu
din
g S
erv
ice
Tax
/GS
T)
Rei
mb
urse
men
t of
exp
ense
s o
n b
ehal
f o
f th
e S
chem
e
Ter
m D
epos
it P
lace
men
t
Inte
rest
on
Ter
m D
epos
it
Red
empt
ion
of
Ter
m D
epo
sit
Bal
ance
s as
at
end
of
the
year
Inve
stm
ent
Man
agem
ent
Fee
s P
ayab
le
Pay
able
to
AM
C f
or e
xpen
se i
ncur
red
on
beh
alf
of
Sch
eme
Uni
t C
apit
al
Uni
t C
apit
al
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
Can
ara
Ban
k
Can
ara
Ban
k
Can
ara
Ban
k
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
Indi
a In
fras
truc
ture
Fin
ance
Com
pan
y L
imit
ed
Can
ara
Ban
k
49,5
18,0
76
229
,91
5
68,3
00,0
00
770
,48
0
69,0
70,4
80
1,6
84,1
74
229
,91
5
1,3
00,0
00,0
00
1000
,000
,00
0
49,8
87,
94
0
9,1
42,
17
4 - - -
8,2
77,7
90 Nil
1,3
00,0
00,0
00
1,0
00,0
00,0
00
30
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
IIF
CL
Mu
tual
Fu
nd
In
fras
tru
ctu
re D
ebt
Fu
nd
- S
erie
s II
Th
ere
are
no tr
ansa
ctio
ns
dur
ing
the
yea
r whi
ch a
re re
qu
ired
to b
e d
iscl
ose
d un
der
Reg
ulat
ion
25
(8) o
f th
e S
EB
I Reg
ula
tion
s.
12D
iscl
osu
re u
nd
er R
egu
lati
on 2
5(11
) of t
he
Sec
uri
ties
an
d E
xch
ange
Bo
ard
of I
nd
ia (M
utu
al F
un
ds)
Reg
ula
tion
s, 1
996
as
amen
ded
Dur
ing
the
yea
r, th
e S
chem
es h
ave
not
mad
e an
y in
ves
tmen
ts in
co
mpa
nie
s w
hich
hol
d un
its
in e
xce
ss o
f 5%
of t
he
net a
sset
val
ue o
f any
Sch
eme
of th
e fu
nd.
13In
com
e T
axes
No
prov
isio
n fo
r tax
atio
n h
as b
een
mad
e si
nce
the
Sch
emes
qua
lify
as
a re
cogn
ized
Mu
tual
Fun
d u
nder
Sec
tio
n 10
(23D
) of t
he In
com
e T
ax A
ct, 1
961
.
14S
egm
ent R
epo
rtin
g
Th
e S
chem
es a
re p
rim
aril
y en
gag
ed in
the
busi
nes
s o
f in
vest
ing
the
amou
nts
rece
ived
from
inve
stor
s as
un
it c
apit
al, i
n a
ccor
dan
ce w
ith
thei
r inv
estm
ent o
bje
ctiv
es, t
o ge
ner
ate
retu
rns.
Sin
ce th
ere
is o
nly
on
e bu
sin
ess
seg
men
t an
d n
o g
eogr
aph
ical
seg
men
ts, t
he
segm
enta
l rep
orti
ng
dis
clos
ure
s as
req
uire
d b
y A
ccou
nti
ng
Sta
nd
ard
(A
S) -
17,
issu
ed b
y th
e In
stit
ute
of C
har
tere
d A
ccou
ntan
ts o
f Ind
ia h
ave
not b
een
mad
e.
15A
ggre
gate
Fa
ir V
alu
e of
No
n-T
rad
ed I
nve
stm
ents
Agg
reg
ate
fair
val
ue
of
non
-tra
ded
(in
clud
ing
pri
vate
pla
cem
ent)
inve
stm
ents
as
dete
rmin
ed b
y I
IFC
L A
sset
Man
agem
ent C
om
pan
y L
imit
ed u
nder
the
pro
cedu
res
app
rove
d by
the
Tru
stee
is a
s fo
llo
ws:
Nat
ure
of
tran
sact
ion
sN
ame
of
the
Rel
ate
d P
art
y(A
mo
un
t in
Ru
pee
s)
Ma
rch
31
, 20
19
Mar
ch 3
1, 2
018
Inve
stm
ent
Man
agem
ent
Fee
s (E
xclu
din
g S
erv
ice
Tax
/GS
T)
Rei
mb
urse
men
t of
exp
ense
s o
n b
ehal
f o
f th
e S
chem
e
Bal
ance
s as
at
end
of
the
year
Inve
stm
ent
Man
agem
ent
Fee
s P
ayab
le
Pay
able
to
AM
C f
or e
xpen
se i
ncur
red
on
beh
alf
of
Sch
eme
Uni
t C
apit
al
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
IIF
CL
Ass
et M
anag
emen
t C
ompa
ny
Lim
ited
Indi
a In
fras
truc
ture
Fin
ance
Com
pan
y L
imit
ed
18,9
95,3
38
222
,77
5
64
5,5
16
222
,77
5
1000
,000
,00
0
23,2
21,
87
4
2,1
42,
15
2
Nil
Nil
1,0
00,0
00,0
00
31
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
16In
ves
tor
Ed
uca
tion
an
d A
war
enes
s F
un
d p
aya
ble
As
man
dat
ed b
y S
EB
I v
ide
circ
ular
no
. CIR
/IM
D/D
F/2
1/2
012
dat
ed S
epte
mb
er 1
3, 2
01
2 an
an
nua
l ch
arg
e o
f 0
.02
per
cent
of
dail
y n
et a
sset
s, b
ein
g a
part
of
tota
l re
curr
ing
ex
pen
ses
is s
et a
sid
e fo
r In
vest
or E
duca
tion
and
Aw
aren
ess
(IE
A).
Th
e cu
mu
lati
ve b
alan
ce i
s tr
ansf
erre
d o
n a
mo
nthl
y ba
sis
to a
sep
arat
e ba
nk a
ccou
nt
mai
nta
ined
for t
his
pu
rpos
e. T
hes
e fu
nds
are
req
uire
d to
be
util
ized
in a
ccor
danc
e w
ith
the
SE
BI R
egul
atio
ns fo
r In
vest
or E
duc
atio
n a
nd A
war
enes
s. T
he b
alan
ces
are
pen
din
g ut
iliz
atio
n. T
hes
e h
ave
bee
n p
lace
d a
s sh
ort
term
dep
osi
ts w
ith
ban
ks.
Th
e d
etai
ls o
f In
vest
or E
duca
tion
and
Aw
aren
ess
amo
unt o
utst
and
ing
are
as
foll
ow
s:-
(Am
ou
nt
in R
up
ees)
Ma
rch
31,
201
9M
arch
31,
201
8
IIF
CL
Mut
ual F
und
Infr
astr
uctu
re d
ebt F
und
Ser
ies
I
IIF
CL
Mut
ual F
und
Infr
astr
uctu
re d
ebt F
und
Ser
ies
I
IIF
CL
Mut
ual
Fun
d In
fras
truc
ture
deb
t F
und
Ser
ies
II
IIF
CL
Mut
ual
Fun
d In
fras
truc
ture
deb
t F
und
Ser
ies
II
3,7
82,8
49,5
15
1,4
52,4
24,3
71
4,2
06,2
93
,79
3
2,0
94,2
59
,24
7
Sch
eme
Nam
e
(Am
ou
nt
in R
up
ees)
Ma
rch
31,
201
9M
arch
31,
201
8
2,2
67,4
95
436
,352
1,7
32
,46
9
222
,08
9
Sch
eme
Nam
e
17P
rovi
sion
for
im
pai
rmen
t in
Non
-Per
form
ing
Ass
ets
•II
FC
L M
UT
UA
L F
UN
D I
NF
RA
ST
RU
CT
UR
E D
EB
T F
UN
D-S
ER
IES
I
(a)
IIF
CL
Mut
ual
Fun
d In
fras
tru
ctu
re D
ebt
Fun
d -
Ser
ies
I h
as i
nves
ted
in n
on
-co
nver
tibl
e de
ben
ture
s (N
CD
) of
GV
R I
nfra
Pro
ject
s L
imit
ed (
the
Com
pan
y)
agg
reg
atin
g to
Rs.
600
,000
,00
0 w
hich
is d
ue f
or
mat
uri
ty o
n A
ugus
t 13
, 202
2. T
he C
om
pany
has
pai
d it
s co
up
on d
ues
up
to M
ay 1
3, 2
017
reg
ular
ly. H
owev
er,
the
Com
pan
y d
efau
lted
in
cou
pon
pay
men
ts d
ue
fro
m A
ugu
st 1
3, 2
01
7 o
nwar
ds. T
he
NC
D w
as c
lass
ifie
d as
a n
on
-per
form
ing
ass
et (
NPA
) w
ith
eff
ect
from
Nov
emb
er 1
3, 2
017.
No
furt
her
inte
rest
has
bee
n ac
cru
ed. A
pro
vis
ion
for
non-
perf
orm
ing
asse
t ag
gre
gat
ing
to R
s. 6
0,0
00
,00
0 w
as m
ade
repr
esen
tin
g 10
% o
f
the
book
val
ue
of t
he
inve
stm
ents
dur
ing
the
yea
r en
ded
Mar
ch 3
1, 2
018
as
per
SE
BI
Reg
ulat
ion
s.D
urin
g th
e y
ear
ende
d M
arch
31,
201
9,
an a
ddi
tion
al
prov
isio
n of
Rs.
54
0,0
00,
000
rep
rese
nti
ng t
he
bal
ance
boo
k v
alue
of
inve
stm
ent
in t
he
com
pan
y ha
s b
een
mad
e re
sult
ing
in
th
e bo
ok
valu
e o
f th
e in
ves
tmen
t
bein
g w
ritt
en d
own
to z
ero
.The
Sch
eme
has
file
d it
s cl
aim
wit
h N
atio
nal C
om
pany
Law
Tri
bun
al (N
CL
T).
32
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
(b)
IIF
CL
Mut
ual
Fu
nd I
nfra
stru
ctur
e D
ebt
Fun
d-S
erie
s I
has
inve
sted
in
the
com
mer
cial
pap
er (
CP
) of
Inf
rast
ruct
ure
Lea
sin
g &
Fin
anci
al S
erv
ices
Lim
ited
(th
e
Co
mpa
ny)
whi
ch w
as s
ched
ule
d t
o m
atur
e on
Sep
tem
ber
26,
20
18
wit
h m
atur
ity
/ f
ace
valu
e of
Rs.
116
,500
,00
0.
Th
e C
ompa
ny
def
ault
ed o
n p
aym
ent
on
mat
uri
ty. P
rov
isio
n o
f R
s. 1
16,
50
0,0
00 h
as b
een
mad
e re
pres
enti
ng 1
00%
of
the
mat
uri
ty v
alu
e du
rin
g th
e ye
ar e
nded
Mar
ch 3
1, 2
019
. Th
e S
chem
e h
as f
iled
its
clai
m w
ith
NC
LT
.
•II
FC
L M
UT
UA
L F
UN
D I
NF
RA
ST
RU
CT
UR
E D
EB
T F
UN
D-S
ER
IES
II
(a)
IIF
CL
Mut
ual
Fun
d I
nfra
stru
ctu
re D
ebt
Fu
nd-S
erie
s II
has
inv
este
d i
n N
CD
s of
IL
&F
S T
rans
por
tati
on N
etw
ork
Lim
ited
(th
e C
om
pan
y)
aggr
egat
ing
to R
s.
302
,16
0,0
00
whi
ch is
due
for
mat
uri
ty o
n A
pri
l 15
, 202
2. T
he C
omp
any
has
pai
d it
s co
up
on d
ues
up
to J
une
30,
20
18 r
egu
larl
y. P
urs
uant
to r
atin
g d
owng
rad
e o
f
the
Co
mpa
ny
on
Sep
tem
ber
10,
2018
an
d S
epte
mbe
r 2
8,
20
18 b
y c
red
it r
atin
g ag
enci
es,
prov
isio
n f
or n
on-
perf
orm
inga
sset
on
the
bo
ok v
alue
of
NC
Ds
out
stan
din
g in
the
Sch
eme
of R
s. 3
02,
16
0,0
00 h
as b
een
crea
ted
dur
ing
the
year
end
ed M
arch
31
, 20
19. I
ncom
e ac
crue
d o
n th
ese
NC
Ds
upto
Sep
tem
ber
17,
20
18
aggr
egat
ing
to R
s. 5
,973
,699
has
bee
n re
vers
ed.
Acc
ord
ingl
y, n
o fu
rthe
r in
com
e ha
s b
een
acc
rued
on
thes
e N
CD
s po
st c
redi
t ra
ting
do
wn
grad
e b
elo
w
inv
estm
ent g
rad
e. T
he S
chem
e h
as fi
led
its
clai
m w
ith
NC
LT
.
(b)
IIF
CL
Mut
ual F
und
Infr
astr
uct
ure
Deb
t Fu
nd-S
erie
s II
has
inv
este
d in
the
com
mer
cial
pap
er (
CP
) of
Inf
rast
ruct
ure
Lea
sin
g &
Fin
anci
al S
ervi
ces
Lim
ited
(th
e
Co
mpa
ny)
wh
ich
was
sch
edul
ed to
mat
ure
on O
cto
ber
19, 2
018
wit
h m
atur
ity
/ fac
e va
lue
of
Rs.
306
,00
0,0
00.
Pur
suan
t to
rat
ing
dow
ng
rad
e of
the
Com
pan
y o
n
Sep
tem
ber
8, 2
018
an
d S
epte
mbe
r 17
, 201
8 b
y c
redi
t rat
ing
agen
cies
, pro
visi
on f
or n
on-
perf
orm
inga
sset
on
the
boo
k v
alue
(co
st p
lus
disc
ou
nt in
com
e ac
cru
ed
till
Sep
tem
ber
17,
20
18)
of
com
mer
cial
pap
er (
CP
) ou
tsta
ndin
g in
the
Sch
eme
of
Rs.
303
,857
,57
5 h
as b
een
cre
ated
du
rin
g th
e ye
ar e
nded
Mar
ch 3
1, 2
019
. No
furt
her
inco
me
has
been
acc
rued
on
this
CP
pos
t cre
dit r
atin
g d
ow
ngra
de
belo
w in
ves
tmen
t gra
de. T
he m
atu
rity
pro
ceed
s o
f th
is C
P w
hich
wer
e d
ue o
n O
ctob
er
19,
20
18, h
ave
not b
een
real
ized
till
dat
e. T
he
Sch
eme
has
file
d it
s cl
aim
wit
h N
CL
T.
17A
Im
pa
ct o
n N
AV
of v
alu
ati
on o
f In
vest
men
ts ta
kin
g a
ver
age
pri
ces
of I
CR
A a
nd
CR
ISIL
Non
-tra
ded
NC
Ds
wit
h r
esid
ual
mat
urit
y g
reat
er t
han
60
day
s ar
e b
eing
val
ued
by
usi
ng y
ield
s pr
ovid
ed b
y C
RIS
IL (
des
igna
ted
val
uat
ion
ag
ency
) af
ter
appl
ying
illi
quid
ity
disc
ount
as
app
rove
d by
Fun
d M
anag
er a
nd
trea
sury
bil
ls a
re b
ein
g va
lued
at
pric
es/y
ield
pro
vid
ed b
y C
RIS
ILas
men
tio
ned
in t
he
curr
ent
app
rove
d
valu
atio
n po
licy
.
As
per
circ
ula
r on
val
uat
ion
s b
y A
ssoc
iati
on
of
Mut
ual F
und
of I
nd
ia (
AM
FI)
, ave
rage
of
pri
ces
prov
ided
by
two
des
igna
ted
valu
atio
n ag
enci
es (
CR
ISIL
and
IC
RA
)
are
to b
e u
sed
for
valu
atio
n of
all
deb
t se
curi
ties
at
each
val
uati
on/d
eter
min
atio
n d
ate.
Du
rin
g th
e ye
ar t
he v
alua
tio
n w
as c
arri
ed o
ut
in a
ccor
dan
ce w
ith
the
pol
icy
men
tion
ed a
bov
e. H
ow
ever
, the
Inv
estm
ent M
anag
er h
as o
btai
ned
val
uati
on
from
two
des
igna
ted
val
uati
on
agen
cies
as
at M
arch
31,
20
19. H
ad th
e va
luat
ion
of N
CD
and
trea
sury
bil
ls a
s at
Mar
ch 3
1, 2
019
bee
n d
one
usin
g th
e av
erag
e o
f p
rice
s pr
ovid
ed b
y tw
o d
esig
nate
d va
luat
ion
agen
cies
, the
impa
ct o
f th
e sa
me
on
the
resp
ecti
ve
NA
Vs
of th
e S
chem
es w
ou
ld h
ave
bee
n as
foll
ows:
-
33
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
* E
xclu
din
g N
on-I
nves
tmen
t Gra
de
Sec
uri
ties
(Ref
er to
Sta
tem
ent o
f Por
tfo
lio
Hol
ding
)
Acc
ord
ingl
y, th
e F
un
d ha
s pr
opo
sed
to c
han
ge it
s va
luat
ion
poli
cy d
urin
g fi
nan
cial
yea
r 20
19-2
0 to
bri
ng it
in li
ne
wit
h th
e A
MF
I cir
cula
r and
ind
ustr
y p
ract
ice.
Th
ere
hav
e be
en n
o s
ub
scri
pti
on
an
d re
dem
pti
ons
du
ring
the
year
and
pos
t th
e ye
ar e
nd.
Th
e ab
ove
chan
ge,
if d
one
duri
ng th
e ye
ar o
r as
at t
he
year
en
d, w
oul
d no
t ad
vers
ely
imp
act i
nve
stor
s as
ther
e h
ave
bee
n n
o un
it c
apit
al m
ov
emen
ts.
17B
Va
luat
ion
of N
CD
s o
f Gre
en I
nfr
a W
ind
Fa
rms A
sset
s L
imit
ed
Val
uati
on o
f N
CD
s o
f G
reen
Inf
ra W
ind
Far
ms
Ass
ets
Lim
ited
as
at M
arch
31
, 2
019
in
IIF
CL
Mu
tual
Fu
nd I
nfr
astr
uctu
re D
ebt
Fun
d -
Ser
ies
Ihas
bee
n d
one
erro
neo
usl
yby
usi
ng y
ield
co
nsid
erin
g cr
edit
rat
ing
as “
A-
” in
stea
d o
f ac
tual
cre
dit r
atin
g o
f “A
”. H
ad th
e ac
tual
cre
dit
rat
ing
of
“A”
been
con
side
red
, the
impa
ct o
n N
AV
is a
s fo
llo
ws:
-
Sch
eme
Imp
act
on N
AV
as
on
Ma
rch
31
, 20
19
To
tal
valu
e of
In
vest
men
ts a
s on
M
arc
h 3
1, 2
019
as
per
val
uat
ion
po
licy
(Ru
pee
s)
Tota
l val
ue o
f Inv
estm
ents
as
on
Mar
ch 3
1, 2
019
usin
g av
erag
e of
pri
ces
by tw
o ra
ting
age
ncie
s(R
upee
s)
Imp
act
of
over
sta
tem
ent
in
inve
stm
ent
val
ue
(Ru
pee
s)
Pu
bli
shed
NA
V p
er u
nit
a
s p
er b
ook
s of
acc
oun
t (R
efer
No
te 3
)(R
up
ees)
Res
tate
d N
AV
per
un
it
aft
er i
mp
act
of
val
uat
ion
(Ru
pee
s)
IIF
CL
Mut
ual
Fun
d I
nfra
stru
ctur
e D
ebt
Fu
nd -
Ser
ies
I (*
)
IIF
CL
Mut
ual
Fun
d I
nfra
stru
ctur
e D
ebt
Fu
nd -
Ser
ies
II (
*)
NC
Ds
Tre
asur
y B
ills
Tot
al
2,1
55,
98
4,2
60 (
*)
1,0
64
,36
5,2
55
3,2
20,
34
9,5
15 (
*)
2,0
35,7
52,0
00
(*)
1,0
64,3
41,0
31
3,1
00,0
93,0
31
(*)
120
,23
2,2
60
24
,22
4
120
,25
6,4
84
1,3
12,4
30.0
662
827,
871
.944
2
1,2
72,
344
.571
3
NC
Ds
Tre
asur
y B
ills
Tot
al
1,1
35
,35
9,1
00
317
,06
5,2
71
1,4
52
,42
4,3
71
1,0
88,9
71,7
75
317
,056
,19
5
1,4
06,0
27,9
70
46,3
87
,32
5
9,0
76
46,3
96
,40
1
804
,67
3.7
435
Sch
eme
Imp
act
on N
AV
as
on
Ma
rch
31
, 20
19
Tota
l val
ue o
f Inv
estm
ent
in N
CD
s on
Mar
ch 3
1,
2019
as
per
A- r
atin
g (R
upee
s)
Tota
l val
ue o
f Inv
estm
ent
in N
CD
s on
Mar
ch 3
1,
2019
as
per
A r
atin
g (R
upee
s)
Imp
act
of
un
der
stat
emen
t in
in
vest
men
t v
alu
e(R
up
ees)
Pu
bli
shed
NA
V p
er u
nit
as
per
boo
ks
of a
ccou
nt
(Ref
er N
ote
3)
(Ru
pee
s)
Res
tate
d N
AV
per
un
it
aft
er i
mp
act
of
val
uat
ion
(Ru
pee
s)
Gre
en I
nfr
a W
ind
F
arm
s A
sset
s L
imit
ed5
27,7
88
,00
053
7,1
41
,115
9
,353
,115
1,3
12,4
30.0
662
1,3
15,5
47.7
710
34
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31
, 201
9 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
18
Inco
me
Rec
ogn
itio
n
•A
s pe
r th
e ex
tant
acc
oun
ting
pol
icy
in
Not
e 2.
3 (a
) re
gar
din
g re
ven
ue
reco
gni
tion
, pe
nal
inte
rest
, ad
dit
ion
al i
nter
est
and
oth
er p
enal
ties
on
acc
oun
t o
f n
on -
com
plia
nce
wit
h te
rms
of a
gree
men
t wit
h b
orro
wer
s ar
e re
cogn
ized
on
rece
ipt b
asis
in v
iew
the
unc
erta
inti
es in
vo
lved
in re
cov
ery.
•A
ccor
ding
ly, t
he
foll
ow
ing
amou
nt o
f in
com
e on
acc
ount
of
pen
al in
tere
st, a
ddit
ion
al in
tere
st a
nd
othe
r p
enal
ties
fo
r n
on-c
omp
lian
ce o
f te
rms
wit
h in
ves
tmen
t
by
the
som
e in
vest
ee c
omp
anie
s sh
all b
e re
cogn
ized
as
inco
me
in th
e bo
oks
of a
cco
unt
on
rece
ipt b
asis
as
and
wh
en re
ceiv
ed in
vie
w o
f unc
erta
inti
es in
vo
lved
in
reco
ver
y:-
For
th
e y
ear
end
ed
Ma
rch
31
, 20
19 (
Ru
pee
s)
IIF
CL
Mu
tual
Fu
nd
Infr
astr
uct
ure
Deb
t F
und
- S
erie
s-I
IIF
CL
Mu
tual
Fu
nd
Infr
astr
uct
ure
Deb
t F
und
- S
erie
s-II
20,1
76
,57
5
9,1
24
,77
8
77,
998
,973
-
Sch
eme
Na
me
Up
to t
he
yea
r en
ded
Ma
rch
31
, 2
018
sin
ce i
nce
pti
on
(Ru
pee
s)
As
the
abo
ve in
com
e h
as n
ot b
een
reco
gni
zed
in th
e b
ook
s of
acc
ount
, co
rres
po
ndin
g im
pac
t if a
ny
on N
AV
wil
l als
o b
e re
cogn
ized
on
real
izat
ion
of s
uch
inco
me.
19S
ecu
rity
/ C
olla
tera
l for
In
ves
tmen
ts
Inv
estm
ents
in
NC
Ds
held
by
the
Sch
emes
are
con
sid
ered
sec
ure
d on
the
bas
is o
f co
nfi
rmat
ion
s fu
rnis
hed
by
deb
entu
re t
rust
ee o
f re
spec
tive
in
vest
men
ts a
nd
info
rmat
ion
on
ass
et c
over
fro
m is
suer
s th
roug
h re
spec
tiv
e de
ben
ture
tru
stee
s ex
cep
t in
cas
e of
the
inv
estm
ent i
n th
e N
CD
s o
f D
P J
ain
& C
o. I
nfr
astr
uctu
re P
riva
te
Lim
ited
, DP
J-D
RA
To
llw
ays
Pri
vate
Lim
ited
, Fee
dba
ck E
ner
gy
Dis
trib
utio
n C
omp
any
Lim
ited
(ful
ly p
repa
id o
n M
ay 1
3, 2
019
) an
d F
eedb
ack
Inf
ra P
riv
ate
Lim
ited
whi
char
e co
nsi
dere
d as
par
tly
sec
ure
d a
s on
ly p
art s
ecu
rity
has
bee
n cr
eate
d as
ag
ain
st th
e re
quir
ed te
rms
of re
spec
tive
deb
entu
re tr
ust
dee
ds.
20.
Su
bse
qu
ent E
ven
t
As
per
Reg
ulat
ion
21(1
)(d
) o
f th
e S
EB
I R
egul
atio
ns,
the
boar
d o
f d
irec
tors
of
an a
sset
man
agem
ent c
omp
any
are
req
uir
ed to
hav
e at
leas
t fif
ty p
er c
ent d
irec
tors
, wh
o
are
not
ass
ocia
te
of,
or
asso
ciat
ed in
any
man
ner
wit
h, th
e sp
ons
or
or
any
of
its
sub
sidi
arie
s or
the
trus
tees
. On
acco
unt
of
resi
gnat
ion
of
two
ind
epen
den
t dir
ecto
rs
subs
equ
ent t
o th
e ye
ar e
nd, I
AM
CL
do
es n
ot h
ave
the
req
uire
d c
omp
osit
ion
of
inde
pen
dent
dir
ecto
rs r
esul
tin
g in
non
-co
mpl
ian
ce w
ith
SE
BI
Reg
ulat
ion
s. T
he
said
non-
com
pli
ance
has
bee
n co
mm
unic
ated
to S
EB
I vid
e le
tter
dat
ed J
une
18,
20
19a
nd
repo
rted
in th
e bi
-mon
thly
co
mp
lian
ce re
por
t su
bmit
ted
to S
EB
I.
35
IIF
CL
MU
TU
AL
FU
ND
(ID
F)
SC
HE
DU
LE
S F
OR
MIN
G P
AR
T O
F B
AL
AN
CE
SH
EE
T A
S A
T M
AR
CH
31,
20
19 A
ND
TH
E
RE
VE
NU
E A
CC
OU
NT
FO
R T
HE
YE
AR
EN
DE
D M
AR
CH
31,
20
19
ANNUAL REPORT 2018-19 IIFCL MUTUAL FUND (IDF)
21S
taff
Acc
ou
nta
bil
ity
Pro
cess
On
acco
unt
of
irre
gula
riti
es i
n th
ree
inve
stm
ents
mad
e d
uri
ng
the
fin
anci
al y
ear
20
14-1
5 th
rou
gh
pri
mar
y m
arke
t tr
ansa
ctio
ns
incl
udi
ng n
on-c
om
plia
nce
wit
h sa
ncti
on te
rms
for
resp
ecti
ve in
ves
tmen
ts a
nd
con
diti
ons
men
tion
ed in
the
deb
entu
re tr
ust d
eed
of
the
resp
ecti
ve in
ves
tmen
ts a
s o
bser
ved
in th
e sp
ecia
l man
agem
ent
aud
it c
ond
uct
ed b
y th
e in
tern
al a
udi
tors
of I
IFC
L M
utu
al F
und
(ID
F)
dur
ing
the
yea
r en
ded
Mar
ch 3
1, 2
019
as
per
dir
ecti
ons
of t
he
Boa
rd o
f Dir
ecto
rs o
f IIF
CL
Ass
et
Man
agem
ent
Com
pan
y L
imit
ed (
IAM
CL
) an
d B
oard
of
Tru
stee
s o
f II
FC
L M
utua
l F
und
(ID
F),
sta
ff a
ccou
nta
bil
ity
pro
cess
has
bee
n in
itia
ted
agai
nst
Ch
ief
Inve
stm
ent
Off
icer
(C
IO)
(IA
MC
L),
wh
o w
as t
hen
ap
poin
ted
as
Fun
d M
anag
er o
f th
e S
chem
es o
f II
FC
L M
utua
l F
und
(ID
F)
in a
cco
rdan
ce w
ith
Sta
ff a
nd S
erv
ice
Reg
ulat
ions
of
IIF
CL
(th
e sp
ons
or
of I
IFC
L M
utua
l F
und
-ID
F)
dul
y ad
opte
d b
y II
FC
L A
sset
Man
agem
ent
Co
mpa
ny
Lim
ited
(IA
MC
L).
Sh
owca
use
no
tice
s h
ave
been
iss
ued
to
the
CIO
/ F
und
Man
ager
fo
r al
lege
d g
ross
neg
lig
ence
, irr
egul
arit
ies,
mis
rep
rese
nta
tion
an
d co
nce
alm
ent
of
fact
s in
th
e sa
id t
hre
e in
ves
tmen
ts m
ade
duri
ng t
he f
inan
cial
yea
r 2
014
-15.
Th
e se
rvic
es o
f th
e C
IO /
Fu
nd M
anag
er h
ave
been
pla
ced
un
der
susp
ensi
on w
ith
eff
ect
fro
m J
une
28
, 20
19 u
nder
Sta
ff S
erv
ice
Reg
ulat
ions
of t
he
spon
sor o
f IIF
CL
Mu
tual
Fun
d a
dop
ted
by
IAM
CL
. In
vie
w o
f th
is m
atte
r, th
e F
und
Man
ager
of t
he
Sch
emes
of I
IFC
L M
utu
al F
und
has
sinc
e b
een
chan
ged
wit
h ef
fect
fro
m J
anu
ary
17,
20
19.
Th
e m
atte
r w
ith
reg
ard
to th
e ir
reg
ula
riti
es in
inve
stm
ent a
s m
enti
oned
abo
ve
has
bee
n re
ferr
ed to
the
Ch
ief V
igil
ance
Off
icer
of
IIF
CL
Ass
et M
anag
emen
t Co
mpa
ny
L
imit
ed a
pp
oint
ed b
y th
e G
ove
rnm
ent o
f Ind
ia a
nd th
e st
aff a
cco
unta
bil
ity
pro
cess
is in
pro
gres
s.
22.
Pre
vio
us
Yea
r's
Fig
ure
s
Pre
viou
s y
ear'
s fi
gure
s h
ave
bee
n r
egro
up
ed/r
earr
an
ged
wh
erev
er a
pp
rop
riat
e.
Sig
na
ture
s to
sch
edu
les
1 to
8 fo
rmin
g p
art
of t
he
bal
an
ce s
hee
t an
d r
even
ue
acco
un
t.
For
Pri
ce W
ater
hou
se C
har
tere
d A
ccou
nta
nts
LL
P
Fir
m R
egis
trat
ion
No:
012
754N
/N50
0016
Ch
arte
red
Acc
oun
tan
ts
For
Boa
rd o
f T
rust
ees
of I
IFC
L M
utu
al F
un
d (
IDF
)F
or I
IFC
L A
sset
Man
agem
ent
Com
pan
y L
imit
ed
Alp
a K
edia
Par
tner
Mem
ber
ship
No.
100
681
P.R
. Ja
ish
ank
ar
Ch
airm
anT
rust
ee
Pan
kaj
Jai
n
Ch
airm
an
An
il K
um
ar T
anej
a
Ch
ief
Exe
cuti
ve O
ffic
er a
nd
Dir
ecto
r
Pla
ce :
Mu
mb
ai
Dat
e :
Sep
tem
ber
26,
201
9
Pla
ce :
New
Del
hi
Dat
e :
26 S
ep 2
019
Pla
ce :
New
Del
hi
Dat
e :
25 S
ep 2
019
Su
mer
Sin
gh
Fu
nd
Man
ager
36
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