TO THE MEMBERS OF
ANJANI FINANCE LIMITED
REPORT ON THE AUDIT OF THE STANDALONE FINANCIAL STATEMENTS OPINION
We have audited the accompanying Standalone Financial Statements of ANJANI FINANCE
LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2023,
the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of
Changes in Equity and the Statement of Cash Flows for the year then ended and notes to the
Standalone Financial Statements including a summary of significant accounting policies and
other explanatory information (hereinafter referred to as "Standalone Financial
Statements").
In our opinion and to the best of our information and according to the explanations
given to us, the aforesaid Standalone Financial Statements give the information required
by the Companies Act, 2013 (“the Act") in the manner so required and give a true
and fair view in conformity with the accounting principles generally accepted in India
including the Indian Accounting Standards ("Ind AS"), of the state of affairs of
the Company as at March 31. 2023. its total comprehensive income, changes in equity and
its cash flows for the year ended on that date.
BASIS FOR OPINION
We conducted our audit in accordance with Standards on Auditing (SAs) specified under
section 143(10) of the Act. Our responsibilities under those Standards are further
described in the Auditors Responsibilities for the Audit of the Standalone Financial
Statements section of our report. We are independent of the Company in accordance with the
Code of Ethics issued by the Institute of Chartered Accountants of India
("ICAI") - together with the ethical requirements that are relevant to our audit
of the Standalone Financial Statements under the provisions of the Act and Rules there
under 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 opinion.
KEY AUDIT MATTERS
Key audit matters are those matters that, in our professional judgment, were of most
significance in our audit of the standalone 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. We have determined no key audit matters to be reported.
INFORMATION OTHER THAN THE FINANCIAL STATEMENTS AND AUDITORS REPORT THEREON
The Companys board of directors is responsible for the preparation of the other
information. The other information comprises the information included in Boards Report
including Annexure to Boards Report and management compliance cej2j#€fj^bsat does
not include the Financial Statements and our auditors 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 during the
course of our 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 MANAGEMENT AND THOSE CHARGED WITH GOVERNANCE FOR THE STANDALONE
FINANCIAL STATEMENTS
The Companys Board of Directors is responsible for the matters stated in section
134(5) of the Act with respect to the preparation of these Standalone Financial Statements
that give a true and fair view of the financial position, financial performance including
other comprehensive income, changes in equity and cash flows of the Company in accordance
with the accounting principles generally accepted in India, including Ind AS specified
under section 133 of the Act, read with relevant rules issued there under. This
responsibility also includes maintenance of adequate accounting records in accordance with
the provisions of the Act for safeguarding of the assets of the Company 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 interna! financial controls, that were
operating effectively for ensuring the accuracy and completeness of the accounting
records, relevant to the preparation and presentation of the Standalone Financial
Statements that give a true and fair view and are free from material misstatement, whether
due to fraud or error.
In preparing the Standalone Financial Statements, management is responsible for
assessing the Companys 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 Company or to cease operations, or has no
realistic alternative but to do so. -
Those Board of Directors are also responsible for overseeing the Companys financial
reporting process.
AUDITORS RESPONSIBILITIES FOR THE AUDIT OF THE STANDALONE FINANCIAL STATEMENTS
Our objectives are to obtain reasonable assurance about whether the Standalone
Financial statements as a whole are free from material misstatement, whether due to fraud
or error, and to issue an auditors 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 Standalone Financial Statements.
As part of an audit in accordance with SAs, we exercise professional judgment and
maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the Standalone
Financial Statements, whether due to fraud or error, design and perform audit-pmcediirps
responsive to those risks, and obtain audit evidence that is^uffiife^sand
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. Under section 143(3)
(i) of the Act, we are also responsible for expressing our opinion on whether the
company has adequate internal financial controls with reference to financial statements in
place and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the reasonableness
of accounting estimates and related disclosures made by management.
• Conclude on the appropriateness of managements 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 Companys
ability to continue as a going concern. If we conclude that a material uncertainty exists,
we are required to draw attention in our auditors report to the related disclosures in
the Standalone 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
auditors report. However, future events or conditions may cause the Company to cease to
continue as a going concern.
* Evaluate the overall presentation, structure and content of the Standalone Financial
Statements, including the disclosures, and whether the Standalone Financial Statements
represent the underlying transactions and events in a manner that achieves fair
presentation.
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.
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.
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 year and are therefore the key audit matters. We describe these matters in our
auditors 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
1. As required by the Companies (Auditors Report) Order, 2020 ("the Order”)
issued by the Central Government of India in terms of sub-section (11) of section 143 of
the Act, we give in the "Annexure A", a statement on the matters specified in
the paragraph 3 and 4 of the Order, to the extent applicable.
2. As required by Section 143 (3) of the Act, based on our audit, 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. _
b) In our opinion, proper books of account as required by iavw^srpe^een kept by the
Company so far as it appears from our examinatic^?fM&^3^bi<s.
c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive
Income, Statement of Changes in Equity and the Cash Flow Statement dealt with by this
report are in agreement with the books of account.
d) In our opinion, the aforesaid Standalone financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014,
e) On the basis of the written representations received from the directors as on 315
March, 2023, taken on record by the Board of Directors, none of the directors is
disqualified as on 31st March, 2023 from being appointed as a director in terms
of Section 164 (2) of the Act;
f) With respect to the adequacy of the internal financial controls over financial
reporting of the Company and the operating effectiveness of such controls, refer to our
separate Report in "Annexure B" Our report expresses an unmodified opinion on
the adequacy and operating
effectiveness of the Companys internal financial controls over financial reporting,
g) With respect to the other matters to be included in the Auditors Report in
accordance with the requirements of section 197(16) of the Act as amended:
In our opinion and to the best of our information and according to the explanations
given to us, the remuneration paid by the Company to its directors during the year is in
accordance with the provisions of section 197 of the Act.
h) With respect to the other matters to be, included in the Auditors Report in ^“rdance
Wlth Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and
to the best of our information and accordinq to the explanations given to us:
i. The Company has disclosed the impact of pending litigations as at 31 March 2023 on
its financial position in its Standalone financial statements - Refer Note 20 (3) to the
Standalone financial Statements.
ii. The Company did not have any long-term contracts including derivative contracts for
which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor
Education and Protection Fund by the Company durinq the year ended 31st March
2023.
iv. (i) The management has represented that, to the best of its knowledge, and belief,
other than as disclosed in the notes to the accounts, no funds have been advanced or
loaned or invested (either from borrowed funds or share premium or any other sources or
kmd o funds) by the company to or in any other person(s) o) enhty(ies) including foreign
entities ("Intermediaries") with the understanding, whether recorded in writing
or otherwise tiwtJhe Intermediary shall, whether, directly or indirectly lend
other persons or entities identified in any manner what^pt^erlSy^^
on behalf of the company ("Ultimate Beneficiaries") or provide any guarantee,
security or the like on behalf of the Ultimate Beneficiaries (if any);
(ii) The management has represented, that, to the best of its knowledge and belief,
other than as disclosed in the notes to the accounts, no funds have been received by the
company from any person(s) or entity(ies), including foreign entities ("Funding
Parties”), with the understanding, whether recorded in writing or otherwise, that the
company shall, whether, directly or indirectly, lend or invest in other persons or
entities identified in any manner whatsoever by or on behalf of the Funding Party
("Ultimate Beneficiaries”) or provide any guarantee, security or the like on
behalf of the Ultimate Beneficiaries (-if any); and
(iii) Based on such audit procedures that we (the auditors of the company) have
considered reasonable and appropriate in the circumstances; nothing has come to our notice
that has caused us to believe that the representations under sub-clause (i) and (ii)
contain any material misstatements.
v. The Company has not declared or paid any dividend during the year.
vi. The company has used accounting software for maintaining its books of account which
has a feature of recording audit trail (edit log) facility and the same has been operated
throughout the year for all transactions recorded in the software and the audit trail
feature has not been tampered with and the audit trail has been preserved by the company
as per the statutory requirements for record retention.
. 5 ATUTO RY AU DITO RS
FOR MAHENDRA BADJATYA & CO CHARTERED ACCOUNTANTS 1C A! FRN 001457C
^ aTf ""-
\_yCA NIRDESjH BADJATYA —PARTNER ICAI MNO 420388 ICAI UDIN 23420388BGXHZG1255
PLACE: INDORE DATE: 29.05.2023
Annexure - "A" to the Independent Auditors Report
[Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory
Requirements in the Independent Auditors Report of even date to the members of ANJANI
FINANCE LIMITED on the Standalone Financial Statements for the year ended 31st
March 2023]
The Annexure required under CARO, 2020 referred to in our Report to the members of the
Anjani Finance Limited ("the Company") for the year ended 31st March
2023, and according to information and explanations given to us, we report as under:
i. a) (A) The company is maintaining reasonable records showing full particulars,
including quantitative details and situation of Property, Plant and Equipment.
(B) The company does not have any intangible assets; Accordingly, the provisions of
clause 3(i)(a)(B) of the Order is not applicable.
b) These Property, Plant and Equipment have been physically verified by the management
at reasonable intervals and as informed, no material discrepancies were noticed on such
verification. In our opinion, the frequency of verification is reasonable having regard to
the size of the Company and the nature of its assets.
c) The company does not have any immovable property; Accordingly, the provisions of
clause 3(i)(c) of the Order are not applicable.
d) The company has not revalued its Property, Plant and Equipment (including Right of
Use assets) or intangible assets or both during the year; Accordingly, the Provision of
Clause 3{i)(d) of the order is not applicable to the company.
e) The company does not have any benami property under the Benami Transactions
(Prohibition) Act, 1988 (45 of 1988) and rules made there under, Accordingly, the
provisions of clause 3(i)(e) of the Order is not applicable.
ii. (a) The nature of the companys business is such that it is not required to hold
any inventories. Accordingly, the provision of Clause 3(ii) of the order is not applicable
to the company,
(b) During any point of time of the year, the company has not been sanctioned any
working capital limits, from banks or financial institutions on the basis of security of
current assets. Since the company has not been sanctioned any working capital limits
therefore there is no requirement to file the quarterly returns or statements with such
banks or financial institutions. Accordingly, the provisions of clause 3(ii) (b) of the
order is not applicable.
iii. During the year the company has not made investments in, provided any guarantee or
security but has granted loans or advances in the nature of loans, secured or unsecured,
to companies, firms, Limited Liability Partnerships or any other parties, and,
a) During the year the company has provided loans or provided advances in the nature of
loans but has not stood guarantee or provided security to any other entity during the year
under review. The principal business of the company is to give loans. Accordingly, the
provisions of clause 3(iii)(a) (A) and (B) of the Order is not applicable.
b) The investments made, and the terms and conditions of the grant of all loans and
advances in the nature of loans and guarantees provided are not prejudicial to the
companys interest. The company has not provided any guarantees, security given.
c) In respect of loans and advances in the nature of loans, the schedule of repayment
of principal and payment of interest has been stipulated and the repayment of such loans
is received on the basis of mutual understanding.
d) There is no amount overdue for more than ninety days with respect to the loans
given.
e) That the company has loans or advances in the nature of loans grantedy^kpH)T^x has
fallen due during the year, has been renewed or extended or fr/egfi46ar^^\ granted to
settle the overdue of existing loans given to the same
the aggregate amount of such dues renewed or extended or settled by fresh loans and the
percentage of the aggregate to the total loans or advances in the nature of loans granted
during the year, but the principal business of the company is to give loans. Accordingly,
the provisions of clause 3(iii)(e) of the Order is not applicable.
f) That the company has not granted loans or advances in the nature of loans either
repayable on demand or without specifying any terms or period of repayment to Promoters,
related parties as defined in clause (76) of section 2 of the Companies Act, 2013.
Accordingly, the provisions of clause 3(iii)(f) of the Order is not applicable
iv. The company is a registered Non-Banking Financial company (NBFC) and has provided
loans in its ordinary course of business and in respect of such loans the interest is
charged over and above the bank rate declared by Reserve Bank of India (RBI). Accordingly,
the provisions of section 185 of the Companies act, 2013 are complied with. The provisions
of section 186 of the Companies act, 2013 are not applicable to the company.
v. In our opinion, the Company has not accepted any deposits within the meaning of
Sections 73 to 76 of the Act and the Companies (Acceptance of Deposits) Rules, 2014 (as
amended). Accordingly, the provisions of clause 3(v) of the Order are not applicable.
vi. Since the company is a registered NBFC company and is carrying on the business of
financial services therefore the requirement of maintenance of cost records under sub
section (1) of section 148 of the Companies Act 2013. Accordingly, the provisions of
clause 3(vi) of the Order is not applicable.
vii. a. The company , is regular in depositing undisputed statutory dues including
Goods and Services Tax, provident fund, employees state insurance, income-tax, sales-tax,
service tax, duty of customs, duty of excise, value added tax, cess and any other
statutory dues to the appropriate authorities. Further, no undisputed amounts payable in
respect thereof were outstanding at the year-end for a period of more than six months from
the date they become payable.
b. The following dues of Income Tax have not been deposited by the company on account
of disputes: -
Name of statute |
Nature of Dues |
Demand (In Rs.000) |
Deposi t (In 000) |
Balance Outstandin g (In rooo) |
Period to which Amount Relates (A.Y.) |
Forum where dispute is pending |
Income Tax Act, 1961 |
Income Tax |
214.95 |
0 |
214.95 |
2017-18 |
CPC |
Income Tax Act, 1961 |
TDS |
0.20 |
0 |
0.20 |
2022-23 |
CPC |
Income Tax Act, 1961 |
TDS |
0.13 |
0 |
0.13 |
Various years |
CPC |
|
Total |
215.28 |
0 |
215.28 |
— |
— |
viii.There were no transactions, not recorded in the books of account which have
been surrendered or disclosed as income during the year in the tax assessments
under the Income Tax Act, 1961 (43 of 1961), Accordingly, Jjjerpf^sions of
clause 3(viii) of the Order is not applicable.
ix. a) The Company has not defaulted in repayment of loans or other borrowings or in
the payment of interest thereon to any lender, Accordingly, the provisions of clause
3(ix)(a) of the Order is not applicable.
b) The company is not declared a willful defaulter by any bank or financial institution
or other lender, Accordingly, the provisions of clause 3(ix)(b) of the Order are not
applicable,
c) The company has not taken any term loans, Accordingly, the provisions of clause
3(ix)(c) of the Order are not applicable.
d) The company has not raised any funds on short term basis which have been utilized
for long term purposes, Accordingly, the provisions of clause 3(ix)(d) of the Order are
not applicable.
e) The company has not taken any funds from any entity or person on account of or to
meet the obligations of its subsidiaries, associates, or joint ventures, Accordingly, the
provisions of clause 3(ix)(e) of the Order are not applicable.
f) The company has not raised loans during the year on the pledge of securities held in
its subsidiaries, joint ventures, or associate companies. Accordingly, the provisions of
clause 3(ix)(f) of the Order are not applicable.
x. a) The Company did not raise moneys by way of initial public offer or further public
offer (including debt instruments} during the year. Accordingly, the provisions of clause
3(x)(a) of the Order are not applicable.
b) The Company has not made any preferential allotment or private placement of shares
or convertible debentures (fully, partially, or optionally convertible) during the year.
Accordingly, the provisions of clause 3{x)(b) of the Order are not applicable.
xi. a) No fraud by the company or any fraud on the company has been noticed or reported
during the year covered by our audit. Accordingly, the provisions of clause 3(xi)(a) of
the Order are not applicable.
b) No report under sub-section (12) of section 143 of the Companies Act has been •
filed by the auditors in Form ADT-4 as prescribed under rule 13 of Companies (Audit and
Auditors) Rules, 2014 with the Central Government. Accordingly, the provisions of clause
3(xi)(b) of the Order are not applicable.
c) There were no whistle-blower complaints received during the year by the company.
Accordingly, the provisions of clause 3(xi)(c) of the Order are not applicable.
xii. In our opinion, the Company is not a Nidhi Company; accordingly, the provision of
. clause 3(xii) of the Order is not applicable.
xiii. In our opinion all transactions with the related parties are in compliance with
Sections 177 and 188 of Act, where applicable, and the requisite details have been
disclosed in the financial statements etc., as required by the applicable Indian
accounting standard.
xiv. a) The company has an internal audit system commensurate with the size and nature
of its business.
b) The reports of the Internal Auditors for the period under audit were considered by
the statutory auditor.
xv. In our opinion, the company has not entered into any non-cash transactions with the
directors or persons connected with them covered under Section 192 of the Act.
Accordingly, the provision of clause 3(xv) of the Order is not applicable.
xvi. a) The company is a registered NBFC company U/s 45IA of the Reserve Bank of India
Act, 1934 vide registration no B-03.00173 dated 24/11/14 in category NonBanking Financial
Institution without accepting public deposit and accordingly, the company is carrying on
financial Services business.
b) The company has conducted Non-Banking Financial activities with a valid Certificate
of Registration (CoR) from the Reserve Bank of India as per the Reserve Bank of India Act,
1934.
c) The company is not a Core-Investment Company (CIC) as defined in the regulations
made by the Reserve Bank of India, Accordingly, the provision of clause 3(xvi)(c) of the
Order is not applicable.
d) The Group does not have any CIC as part of the Group. Accordingly, the provisions of
clause 3(xvi)<d) of the Order are not applicable.
xvii. The company has not incurred cash losses in the current and immediately previous
financial year.
xviii. There has been no resignation of the statutory auditors during the year.
Accordingly, the provision of clause 3(xviii) of the Order is not applicable.
xix. On the basis of the financial ratios, ageing and expected dates of realization of
financial assets and payment of financial liabilities, other information accompanying the
financial statements, the auditors knowledge of the Board of Directors and management
plans, we (the auditor) are of the opinion that no material uncertainty exists as on the
date of the audit report and that the company is capable of meeting its liabilities
existing at the date of balance sheet as and when they fall due within a period of one
year from the balance sheet date.
xx. The provisions of Section 135 are not applicable to the company. Accordingly, the
provision of clause 3(xx) of the Order is not applicable.
xxi. There have been no qualifications or adverse remarks by the respective auditors
in the Companies (Auditors Report) Order (CARO) reports of the companies included in
the consolidated financial statements of the company. •
| STATUTORY AUDITORS |
| FOR MAHENDRA BADJATYA & CO |
| CHARTERED ACCOUNTANTS |
| 1C A! FRN 001457C |
|
|
|
CA NIRDESjH BADJATYA |
| —PARTNER |
| ICAI MNO 420388 |
| ICAI UDIN 23420388BGXHZG1255 |
| PLACE: INDORE |
| DATE: 29.05.2023 |
Annexure - "B" to the Independent Auditors Report
(Referred to in paragraph 2 under Report on Other Legal and Regulatory
Requirements in the Independent Auditors Report of even date to the members of ANJANI
FINANCE LIMITED on the Standalone Financial Statements for the year ended 31st
March 2023).
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of
Section 143 of the Companies Act, 2013 ("the Act").
We have audited the internal financial controls over financial reporting of Anjani
Finance Limited ("the Company") as of 315t March 2023 in conjunction
with our audit of the standalone financial statements of the Company for the year ended on
that date.
MANAGEMENTS RESPONSIBILITY FOR INTERNAL FINANCIAL CONTROLS
The Companys management is responsible for establishing and maintaining internal
financial controls based on the internal control over financial reporting criteria
established by the Company considering the essential components of internal control stated
in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting
issued by the Institute of Chartered Accountants of India (the "Guidance Note").
These responsibilities include the design, implementation and maintenance of adequate
internal financial controls that were operating effectively for ensuring the orderly and
efficient conduct of its business, including adherence to companys policies, the
safeguarding of its assets, the prevention and detection of frauds and errors, the
accuracy and completeness of the accounting records, and the timely preparation of
reliable financial information, as required under the Act.
AUDITORS RESPONSIBILITY
Our responsibility is to express an opinion on the Companys internal financial
controls over financial reporting based on our audit. We conducted our audit in accordance
with the Guidance Note and the Standards on Auditing, issued by ICAI and deemed to be
prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to
an audit of internal financial controls, both applicable to an audit of Internal Financial
Controls. Those Standards and the Guidance Note require that we comply with ethical
requirements and plan and perform the audit to obtain reasonable assurance about whether
adequate internal financial controls over financial reporting was established and
maintained and if such controls operated effectively in all materia! respects. -
Our audit involves performing procedures to obtain audit evidence about the adequacy of
the internal financial controls system over financial reporting and their operating
effectiveness. Our audit of internal financial controls over financial reporting included
obtaining an understanding of internal financial controls over financial reporting,
assessing the risk that a material weakness exists, and testing and evaluating the design
and operating effectiveness of internal control based on the assessed risk. The procedures
selected depend on the auditors judgment, including the assessment of the risks of
materia! misstatement of the financial statements, whether due to fraud or error,
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the Companys internal financial controls system
over financial reporting.
MEANING OF INTERNAL FINANCIAL CONTROLS WITH REFERENCE TO FINANCIAL STATEMENTS
A companys internal financial control over financial reporting is a process designed
to provide reasonable assurance^ regarding the reliability of financial reporting and the
preparation of financial statements for external purposes in accordajgce=itttt$h generally
accepted accounting principles. A companys internal financial conf^ii2^^:mancial
reporting includes those policies and procedures that: U-
aRs.f f\ \oVj
1. Regarding the maintenance of records that, in reasonable detail, accurately and
fairly reflect the transactions and dispositions of the assets of the company.
2. provide reasonable assurance that transactions are recorded as necessary to permit
preparation of financial statements in accordance with generally accepted accounting
principles, and that receipts and expenditures of the company are being made only in
accordance with authorizations of management and directors of the company; and
3. Provide reasonable assurance regarding prevention or timely detection of
unauthorized acquisition, use, or disposition of the companys assets that could have a
material effect on the financial statements.
INHERENT LIMITATIONS OF INTERNAL FINANCIAL CONTROLS WITH REFERENCE TO FINANCIAL
STATEMENTS
Because of the inherent limitations of internal financial controls over financial
reporting, including the possibility of collusion or improper management override of
controls! material misstatements due to error or fraud may occur and not be detected.
Also! projections of any evaluation of the internal financial controls over financial
reporting to future periods are subject to the risk that the internal financial control
over financial reporting may become inadequate because of changes in conditions, or that
the degree of compliance with the policies or procedures may deteriorate.
OPINION
In our opinion, and to the best of our information and according to the explanation
given to us, the Company has, in all_material respects, an adequate internal financial
controls system over financial reporting and such internal financial controls over
financial reporting were operating effectively as at 31 March 2023, based on the internal
control over financial reporting criteria established by the Company considering the
essential components of internal control stated in the Guidance Note issued by ICAI.
| STATUTORY AUDITORS |
| FOR MAHENDRA BADJATYA & CO |
| CHARTERED ACCOUNTANTS |
| 1C A! FRN 001457C |
|
|
|
CA NIRDESjH BADJATYA |
| —PARTNER |
| ICAI MNO 420388 |
| ICAI UDIN 23420388BGXHZG1255 |
| PLACE: INDORE |
| DATE: 29.05.2023 |
+91-9892691696
