To the Members of
Dhruv Estates Limited
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of Dhruv Estates
Limited ("the Company”), which comprise the Balance Sheet as at 31st March 2023,
the Statement of Profit and Loss, the Statement of Cash Plows for the year then ended and
a Summary of Significant Accounting Policies and other explanatory information.
Managements Responsibility for the Standalone Financial Statements
The Companys Board of Directors is responsible for the matters in Section 134(5) of
the Companies Act, 2013 ("the Act”) with respect to the preparation and
presentation of these standalone financial statements that give a true and fair view of
the financial position, financial performance and cash flows of the Company in accordance
with the accounting principles generally accepted in India, including the Accounting
Standards specified under Section 133 of the Act, read with Rule 7 of the Companies
(Accounts) Rules, 2014.
This responsibility also includes the 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 the 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 internal financial
controls, that were operating effectively for ensuring the accuracy and completeness of
the accounting records, relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material misstatement, whether
due to fraud or error.
Auditors Responsibility
Our responsibility is to express an opinion on these standalone financial statements
based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing
standards and matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing specified under
Section 143(10) of the Act. Those Standards require that we comply with ethical
requirements and plan and perform the audit to obtain reasonable assurance about whether
the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures selected depend on the auditors
judgment, including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk assessments, the auditor
considers internal financial control relevant to the Companys preparation of the
financial statements that give true and fair view in order to design audit procedures that
are appropriate in the circumstances. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of the accounting
estimates made by Companys Directors, as well as evaluating the overall presentation of
the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the standalone financial statements.
Opinion
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 Act in the manner so required subject to note number 11 and give a true and fair
view in conformity with the accounting principles generally accepted in India:
• in the case of the Balance Sheet, of the state of affairs of tire Company as at
31st March 2023;
• in the case of the Statement of Profit and Loss, of the Loss for the year ended
on that date;
and
• in the case of the Statement of Cash Flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors Report) Order, 2016 ("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 paragraphs 3
and 4 of the order.
2. As required by Section 143(3) of the Act, 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 purpose of our audit;
b. in our opinion proper books of account as required by law have been kept by the
Company so far as appears from our examination of those books;
c. the Balance Sheet, the Statement of Profit and Loss and the Statement of Cash Flows
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 written representations received from the directors as on 31st March
2023 and 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"; and
g. with respect to the other matters to be included in the Auditors Report in
accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion
and to the best of our infomiation and according to the explanations given to us:
• tlie Company does not have any pending litigations which would impact its
financial position.
• the Company did not have any long-term contracts including derivative contracts
for which there were any material foreseeable losses.
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For Sujoy P. Mehta & Associates |
|
Chartered Accountants |
|
Firm Registration Number: 138588W -Sd/- |
Place: Mumbai |
Sujoy P. Mehta |
Date:07-08-2023 |
Proprietor |
|
Membership Number: 138040 |
|
UDIN: 23138040BGRLRS7921 |
SUJOY P. MEHTA AND ASSOCIATES |
Unit 204, Ruparel Iris, Matwiga Road |
CHARTERED ACCOU STATS |
Station, Senapati Bapat Marg, Mumbai-16 |
Annexure A to the Independent Auditors Report
i. The Company does not hold any fixed assets during the year. Therefore, the
provisions of Clause 3(i) of the Order are not applicable to the Company.
ii. (a) The inventory has been physically verified by the Management during the period.
In our opinion, the frequency of verification is reasonable.
• In our opinion, the procedures of physical verification of inventory followed by
the Management are reasonable and adequate in relation to tire size of the Company and the
nature of its business.
• On tire basis of our examination of the inventory records, in our opinion, the
Company is maintaining proper records of inventory.
iii. The Company has not granted/ taken any loans, secured or unsecured, to/ from
companies, firms or other parties covered in the register maintained under Section 189 of
the Act. Therefore, the provisions of Clause 3(iii) of the said Order are not applicable
to the Company.
iv. hi our opinion and according to the information and explanations given to us, the
Company has complied with the provisions of Section 185 and 186 of the Companies Act, 2013
in respect of loans, investments, guarantees, and security.
v. The Company has not accepted any deposits from the public.
vi. The Central Government has not prescribed the maintenance of cost records under
Section 148(1) of the Act in respect of the activities carried on by the Company.
vii. (a)According to the information and explanations given to us and on the basis of
our examination of the records of the Company, in our opinion, the Company is regular in
depositing undisputed statutory dues, including provident fund, investor education and
protection fund, employees state insurance, wealth tax, customs duty, excise duty and
other material statutory dues, as applicable, with the appropriate authorities.
(b) According to the information and explanations given to us and the records of the
Company examined by us, there are no dues of income tax, sales tax, wealth tax, service
tax, customs duty, and excise duty which have not been deposited on account of any
dispute.
viii. As the Company does not have any borrowings from any financial institution or
bank nor has it issued any debentures as at the balance sheet date, the provisions of
Clause 3(viii) of the Order are not applicable to the Company.
ix. The Company did not raise any money by way of initial public offer or further
public offer (including debt instruments) and term loans during the year. Accordingly,
Clause 3(ix) of the Order is not applicable.
x. According to the information and explanations given to us, no material fraud by the
Company or on the Company by its officers or employees has been noticed or reported during
the course of our audit.
• According to the information and explanations given to us and based on our
examination of
the records of the Company, the Company has not paid/provided for managerial
remuneration. Hence, the provisions of Clause 3(xi) of the said Order are not applicable
to the Company.
• In our opinion and according to the infomration and explanations given to us,
the Company is
not a nidhi company. Accordingly, Clause 3(xii) of the Order is not applicable.
xiii. According to the information and explanations given to us and based on our
examination of the records of the Company, there are no transactions with the related
parties. Accordingly, Clause 3(xiii) of the Order is not applicable.
xiv. According to the information and explanations give to us and based on our
examination of the records of the Company, the Company has not made any preferential
allotment or private placement of shares or fully or partly convertible debentures during
the year.
xv. According to the information and explanations given to us and based on our
examination of the records of the Company, the Company has not entered into non-cash
transactions with directors or persons connected with him. Accordingly, Clause 3(xv) of
the Order is not applicable.
xvi. Tire Company is not required to be registered under Section 45-IA of the Reserve
Bank of India Act, 1934.
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For Sujoy P Mehta & Associates |
|
Chartered Accountants |
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Firm Registration Number: 138588W |
|
- sd - |
|
Sujoy P. Mehta |
Place: Mumbai |
Proprietor |
Date: 07-08-2023 |
Membership Number: 138040 |
|
UDIN: 23138040BGRLRS7921 |
Annexure B to the Independent Auditors Report
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 Dhruv
Estates Limited ("the Company”) as of 31st 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 (TCAF). 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 Companies Act, 2013.
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 on Audit of Internal Financial Controls over Financial Reporting
(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 and, both issued by the Institute of Chartered Accountants of
India. 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 material 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. Tire
procedures selected depend on the auditors judgment, including the assessment of the
risks of material 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 over Financial Reporting
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 accordance with generally
accepted accounting principles. A companys internal financial control over financial
reporting includes those policies and procedures that (1) pertain to 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 pemrit 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 authorisations of
management and directors of the company; and (3) provide reasonable assurance regarding
prevention or timely detection of unauthorised acquisition, use, or disposition of the
companys assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
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, 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 31st 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 on Audit of
Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered
Accountants of hidia.
|
For Sujoy P. Mehta & Associates |
|
Chartered Accountants |
|
Finns Registration Number: 138588W |
|
- sd - |
|
Sujoy P. Mehta |
|
Proprietor |
Place: Mumbai |
Membership Number: 138040 |
Date: 07-08-2023 |
UDIN: 23138040BGRLRS7921 |
+91-9892691696
