Any set off of financial assets & financial liabilities has to be done as per IAS 32 - Financial Instruments: Presentation. IAS 32 specifies that a financial asset and a financial liability should be offset and the *** amount reported when, and only when, an entity:
1. has a legally enforceable right to set off the amounts; and
2. intends either to settle on a *** basis, or to realise the asset and settle the liability simultaneously.