75 | Annual Report | 2025-2026 During the financial year, such controls were tested and no reportable material weaknesses in the design or operation were observed. VIGIL MECHANISM The Company has a Whistle-blower Policy which is periodically reviewed and details of the same are explained in the Corporate Governance Report. The Policy is also available on the Company’s website. PARTICIPATION IN CREDIT BUREAU In order to address the issue of multiple lending or over indebtedness and also to know the credit history of the customer, the Company is a member in all the Credit Information Companies (CICs) namely Experian Credit Information Company of India Private Ltd, High Mark Credit Information Services Pvt. Ltd., Equifax Credit Information Services Pvt. Ltd., and Transunion CIBIL Limited and shares requisite customer data to them, as applicable. RESOURCES AND LIQUIDITY Your Company, being a non-deposit taking Non-Banking Financial Company-Micro Finance Institution- Middle Layer (“NBFC-MFI-ML”), is subject to the capital adequacy requirements prescribed by the Reserve Bank of India. The Company was required to maintain a minimum Capital to Risk Asset Ratio (CRAR) of 15% as prescribed under the Reserve Bank of India (Non-Banking Financial Companies – Prudential Norms on Capital Adequacy) Directions, 2025 (as amended from time to time) based on total capital to risk weighted assets. Your Company has maintained a CRAR ratio of 27.56% as on March 31, 2026 which is higher than the RBI prescribed ratio of 15%. The Company has an outstanding, secured and unsecured borrowings of INR 5,89,962.32 Lakhs at the end of Financial Year 2025-2026. RBI GUIDELINES & SRO Your Company is registered with the Reserve Bank of India (“RBI”), as a systemically important non-deposit taking NBFC (“NBFC-ND-SI”) under Section 45-IA of the RBI Act, 1934. The Directors hereby report that the Company did not accept any public deposits during the financial year and did not have any public deposits outstanding at the end of the financial year. The Company being a member of Micro Finance Institutions Network (MFIN), adheres to the Code of Conduct prescribed by the Self-Regulatory Organisation (SRO). The Company also complies with the standards and rules as prescribed by the above SRO from time to time. CREDIT RATING The Company’s Financial discipline and prudence are reflected in the strong credit ratings ascribed by rating agencies as given below: Instrument Rating Agency Rating Outlook Bank facilities programme ICRA A Stable Non-convertible debentures ICRA A Stable Subordinated debt ICRA A Stable Long-term bank facilities – Fund based ICRA A Stable Long-term instruments CARE CARE A- Stable Non-convertible Debenture/Subordinate Debt ICRA A Stable PARTICULARS OF EMPLOYEES The Disclosures pertaining to remuneration and other details, as required under Section 197(12) of the Companies Act, 2013 read with Rule 5(2) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 have been annexed herewith as Annexure V to the Directors’ Report. For the details of top ten employees in terms of remuneration drawn, it may be sought by writing an email to compliance@arohan.in. The Disclosures pertaining to remuneration and other details, as required under Section 197(12) of the Companies Act, 2013 read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 is not applicable to the Company as the Company is not a listed Company under the Companies Act, 2013. EMPLOYEE STOCK OPTION PLAN (ESOP) The Company currently had implemented three plans, viz. Arohan Employee Stock Option Plan 2010 (“ESOP 2010”/ “Plan”), Arohan Employee Stock Option Plan 2018 (“ESOP 2018”/ “Plan”) and Arohan Employee Stock Option Plan 2021 (“ESOP 2021”/ “Plan”). Further, Stock Options are granted
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