Practice Drills: Reviewing a Sample Related Party Transaction Disclosure

Related party transactions are where money most often leaves a listed Indian company quietly: a royalty to the promoter's private firm, a loan to a group company that never comes back, purchases from a supplier owned by a director's relative. All of it has to be disclosed, but the disclosures are spread across the annual report, Form AOC-2, the half-yearly filing on NSE and BSE, and AGM notices, and most readers skip them. This foundation drill course hands you one fictional listed mid-cap's complete set of related party disclosures and teaches you to review them the way a forensic analyst, compliance professional or careful investor would. You will list who the related parties are, read and size every transaction, check that the right approvals were taken, run simple arm's length tests, cross-check the annual report against exchange filings, grade what you find, and write a one-page review note. No prior forensic experience is needed, only basic comfort with financial statements. Educational content only, not investment or legal advice.