"As fraud is a deliberate action to deceive others to gain advantage, a sound Fraud Risk Management Policy is required to deal with such activities". In this context design the policy following the subject guidelines and

To, The Board of Directors. .......Ltd. Subject: Formulation of the Fraud Risk Management Policy Dear Sir, Fraud Risk Management Policy of our company can be formulated keeping in view the following guidelines: Defining fraud: This shall cover activities which the company would consider as fraudulent. Defining Role & responsibilities: The policy may define the responsibilities of the officers who shall be involved in effective prevention, detection, monitoring & investigation of fraud. The company may also consider constituting a committee or operational structure that shall ensure an effective implementation of anti-fraud strategy of the company. This shall ensure effective investigation in fraud cases and prompt as well as accurate reporting of fraud cases to appropriate regulatory and law enforcement authorities. Communication channel: Encourage employees to report suspicious cases of fraud/misconduct. Any person with knowledge of suspected or confirmed incident of fraud/misconduct must report the case immediately through effective and efficient communication channel or mechanism. Disciplinary action: After due investigations disciplinary action against the fraudster may be considered as per the company's policy. Reviewing the policy: The employees should educate their team members on the importance of complying with Company's policies & procedures and identifying/ reporting of suspicious activity, where a situation arises. Based on the developments, the policy should be reviewed on periodical basis. Submitted for perusal and approval. Date: Sd/- Place: Company Secretary