To
The Members of Jindal Photo Limited
Report on the Audit of the Standalone Financial Statements Opinion
We have audited the standalone fi nancial statements of Jindal Photo Limited ("the
Company"), which comprise the balance sheet as at 31st March 2023, the statement of
Profi t & Loss and statement of cash fl ows for the year then ended, and notes to the
fi nancial statements, including a summary of signifi cant accounting policies. In our
opinion and to the best of our information and according to the explanations given to us,
the aforesaid standalone fi nancial statements give the information required by the Act in
the manner so required and give a true and fair view in conformity with the accounting
principles generally accepted in India, of the state of affairs of the Company as at March
31, 2023 and profi t, and its cash fl ows for the year ended on that date.
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing (SAs) specifi ed
under the Companies Act, 2013. Our responsibilities under those Standards are further
described in the Auditors Responsibilities for the Audit of the 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 together with the ethical
requirements that are relevant to our audit of the fi nancial statements under the
provisions of the Companies Act, 2013 and the Rules thereunder, and we have fulfi lled our
other ethical responsibilities in accordance with these requirements and the Code of
Ethics. We believe that the audit evidence we have obtained is suffi cient and appropriate
to provide a basis for our opinion.
Emphasis of Matter We draw attention to: i. Note 26(c) and 26(d) to the fi nancial
statements relating to non-provision of doubtful loans and non-provision of amount
recoverable from MCCL, a joint Venture Company due to petition and claims are pending for
fi nalization/settlement.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most
signifi cance in our audit of the fi nancial statements of the current period. These
matters were addressed in the context of our audit of the fi nancial statements as a
whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters. There are no key audit matters to communicate other than the matters those
are described under the heading Emphasis of Matter.
Information Other than the Standalone 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 the Boards
Report including Annexures to Boards Report, but does not include the standalone fi
nancial statements and our auditors report thereon. The Boards Report including
Annexures to Boards Report is expected to be made available to us after the date of this
auditors report.
Our opinion on the standalone fi nancial 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 standalone fi nancial statements, our responsibility is to read the
other information identifi ed above when it becomes available and, in doing so, consider
whether the other information is materially inconsistent with the standalone fi nancial
statements or our knowledge obtained during the course of our audit or otherwise appears
to be materially misstated. When we read the Boards report including annexures to Boards
Report, If, we conclude that there is a material misstatement of this other information;
we are required to communicate the matter to those charged with governance.
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 Companies Act, 2013 ("the Act") with respect to the preparation of
these standalone fi nancial statements that give a true and fair view of the fi nancial
position, fi nancial performance and cash fl ows of the Company in accordance with the
accounting principles generally accepted in India, including the accounting Standards
specifi ed under section 133 of the Act. 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 internal fi nancial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records, relevant to the
preparation and presentation of the fi nancial statement that give a true and fair view
and are free from material misstatement, whether due to fraud or error.
In preparing the fi nancial 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 fi nancial
reporting process.
Auditors Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the fi nancial
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 infl uence the economic decisions of users taken on the
basis of these fi nancial 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 fi nancial
statements, whether due to fraud or error, design and perform audit procedures responsive
to those risks, and obtain audit evidence that is suffi cient and 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 Companies Act, 2013, we are also responsible for expressing our opinion on whether
the company has adequate internal fi nancial controls system 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 signifi cant 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 fi nancial 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 fi nancial
statements, including the disclosures, and whether the fi nancial statements represent the
underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone fi nancial statements
that, individually or in aggregate, makes it probable that the economic decisions of a
reasonably knowledgeable user of the fi nancial statements may be infl uenced. We consider
quantitative materiality and qualitative factors in (i) planning the scope of our audit
work and in evaluating the results of our work; and (ii) to evaluate the effect of any
identifi ed misstatements in the fi nancial statements.
We communicate with those charged with governance regarding, among other matters, the
planned scope and timing of the audit and signifi cant audit fi ndings, including any
signifi cant defi ciencies 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 signifi cance
in the audit of the fi nancial statements of the current period 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
benefi ts of such communication.
Report on Other Legal and Regulatory Requirements
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 Companies Act, 2013, we give in the "Annexure A" statement on the matters
specifi ed in paragraphs 3 and 4 of the Order, to the extent applicable. 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 purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the
Company so far as it appears from our examination of those books
c) The Balance Sheet, the Statement of Profi t and Loss 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 fi nancial statements comply with the
Accounting Standards specifi ed 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 31st
March, 2023 taken on record by the Board of Directors, none of the directors is disqualifi
ed 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 fi nancial controls over fi nancial
reporting of the Company and the operating effectiveness of such controls, refer to our
separate Report in "Annexure B". Our report expresses an unmodifi ed opinion on
the adequacy and operating effectiveness of the Companys internal fi nancial controls
over fi nancial 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, if any, 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
accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion
and to the best of our information and according to the explanations given to us:
i. The Company does not have any pending litigations which would impact its fi nancial
position.
ii. The Company did not have any long-term contracts including derivative contracts for
which there were any material foreseeable losses. iii. There has been no delay in
transferring amounts, required to be transferred, to the Investor Education and Protection
Fund by the Company.
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
kind of funds) by the company to or in any other person(s) or entity(ies), including
foreign entities ("Intermediaries"), with the understanding, whether recorded in
writing or otherwise, that the Intermediary shall, whether, directly or indirectly lend or
invest in other persons or entities identifi ed in any manner whatsoever by or on behalf
of the company ("Ultimate Benefi ciaries") or provide any guarantee, security or
the like on behalf of the Ultimate Benefi ciaries;
(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 identifi ed in any manner whatsoever by or on behalf of the Funding Party
("Ultimate Benefi ciaries") or provide any guarantee, security or the like on
behalf of the Ultimate Benefi ciaries; and
(iii) Based on such audit procedures that the auditor has considered reasonable and
appropriate in the circumstances, nothing has come to their notice that has caused them to
believe that the representations under sub-clause (i) and (ii) contain any material
mis-statement.
v. In our opinion and based on the information and explanation provided to us, no
dividend has been declared or paid during the year by the company.
vi. Proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 for maintaining books
of account using accounting software which has a feature of recording audit trail (edit
log) facility is applicable to the Company with effect from April 1, 2023, and
accordingly, reporting under Rule 11 (g) of Companies (Audit and Auditors) Rules, 2014 is
not applicable for the fi nancial year ended March 31, 2023.
|
For Suresh Kumar Mittal & Co. |
|
Chartered Accountants |
|
Firms Registration No. 500063N |
|
Ankur Bagla |
| Place: New Delhi |
Partner |
| Date: 22.05.2023 |
Membership No. 521915 |
|
UDIN: 23521915BGXMNH6622 |
ANNEXURE A REFERRED TO IN PARAGRAPH (I) UNDER THE HEADING OF "REPORT ON OTHER
LEGAL AND REGULATORY REQUIREMENTS" OF OUR REPORT OF EVEN DATE ON THE STANDALONE
FINANCIAL STATEMENTS
(i) (a) (A) The company has maintained proper records showing full particulars
including quantitative details and situation of property, plant and equipments.
(a) (B) The company does not have any intangible assets and hence provisions of clause
(i) (a) (B) are not applicable to the company.
(b) All the property, plant and equipments have been physically verifi ed by the
management according to a regular program, which, in our opinion, is reasonable having
regard to the size of the company and the nature of its assets. No material discrepancies
with respect to book records were noticed on such verifi cation. Discrepancies noticed
have been properly dealt with in the books of account.
(c) The title deeds of immovable properties (other than properties where the company is
the lessee and the lease agreements are duly executed in favour of the lessee) disclosed
in the fi nancial statements are held in the name of the company.
(d) During the year, the company has not revalued its property, plant and equipments
(including right to use assets) or intangible assets or both and hence provisions of
clause (i) (d) are not applicable to the company.
(e) According to the information and explanation given to us and the records
maintaining by the company no proceedings have been initiated or are pending against the
company for holding any benami property under the Benami Transactions (Prohibition) Act,
1988 (45 of 1988) and rules made there under.
(ii) (a) The company has no inventory and hence provisions of clause (ii) (a) of the
order are not applicable to the company.
(b) During any point of time of the year, the company has not been sanctioned working
capital limits in excess of fi ve crore rupees, in aggregate, from banks or fi nancial
institutions on the basis of security of current assets and hence provisions of clause
(ii) (b) of the order are not applicable to the company.
(iii) (a) According to the information and explanation provided to us, during the year
the company has not made investments in or provided any guarantee or security or granted
any loans or advances in the nature of loans secured or unsecured to companies, fi rms,
limited liability partnerships or other parties.
(b) During the year, the company has not made investments in or provided any guarantee
or security or granted any loans or advances in the nature of loans and hence provisions
of clause (iii) (b) of the order are not applicable to the company.
(c) In respect of loan granted to one company, repayment of principal and interest is
on demand. No demand has been made by the company. The borrower has requested to waive the
interest for the year 2022-23 and the company has granted the request to waive the
interest.
(d) There are no overdue amounts.
(e) During the year, no loan or advances in the nature of loan granted have fallen due
for repayment
(f) During the year the company has not granted any loans or advances in the nature of
loans either repayable on demand or specifying any terms or period of repayment and hence
provisions of clause
(iii) (f) of the order are not applicable to the company.
(iv) In our opinion and according to the information and explanation 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) According to the information and explanation given to us, the company has not
accepted any deposit or amounts which are deemed to be deposits from the public.
Therefore, the provisions of clause
(v) of the order are not applicable to the company.
(vi) The Central Government has not specifi ed maintenance of cost records under sub
section (1) of Section 148 of the Companies Act, 2013 in respect of products dealt with by
the company.
(vii) (a) The company is generally regular in depositing with the appropriate
authorities undisputed statutory dues including goods and services tax, provident fund,
employees state insurance, income tax, sales tax, service tax, duty of custom, duty of
excise, value added tax, cess and any other statutory dues applicable to it. According to
the information and explanations given to us, no undisputed amounts payable in respect
thereof were outstanding as at 31st March, 2023 for a period of more than six months from
the date they became payable.
(b) According to the records of the company, there are no dues referred to in sub
clause
(a) which have not been deposited on account of any dispute.
(viii) According to the information and explanations provided to us, there were no
transactions which were not recorded in the books of account and have been surrendered or
disclosed as income, during the year, in the tax assessments under the Income Tax Act,
1961.
(ix) (a) In our opinion and according to the information and explanations given to us,
the company has not defaulted in repayment of loans or other borrowings or in the payment
of interest thereon to any lender.
(b) According to the records of the company and information or explanation given to us,
the company is not a declared wilful defaulter by any bank or fi nancial institution or
other lender.
(c) According to the records of the company and information and explanation given to
us, no term loans received during the year and hence provisions of clause (ix) (c) of the
order are not applicable to the company.
(d) According to the records of the company and information and explanation given to
us, funds raised on short term basis has not been utilized for long term purposes.
(e) According to the records of the company and information and explanation given to
us, during the year 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 venture.
(f) According to the records of the company and information and explanation given to us
the company has not raised loans during the year on the pledge of securities held in its
subsidiaries, joint ventures or associate companies.
(x) (a) In our opinion, no moneys raised by way of initial public offer or further
public offer (including debt instruments). Therefore, the provisions of clause (x)(a) of
the order are not applicable to the company.
(b) According to the records of the company and information and explanation given to
us, during the year the company has not made any preferential allotment or private
placement of shares or fully, partially or optionally convertible debentures.
(xi) (a) According to the information and explanations given to us, no fraud by the
company or on the company by its offi cers or employees has been noticed or reported
during the year.
(b) The auditors have not fi led any report under sub-section (12) of section 143 of
the Companies Act in form ADT-4 as prescribed under rule 13 of the Companies (Audit and
Auditors) Rules, 2014 with the Central Government.
(c) According to the records of the company and information and explanation given to
us, no whistle blower complaints have been received by the company during the year.
(xii) According to the records of the company and information and explanation given to
us, the company is not a Nidhi Company hence provisions of clause (xii) of the order are
not applicable to the company.
(xiii) In our opinion all transactions with the related parties are in compliance with
section 177 and 188 of Companies Act, 2013 where applicable and the details have been
disclosed in the fi nancial statements etc. as required by the applicable accounting
standards.
(xiv) (a) Accordingtotheinformationandexplanations given to us, in our opinion the
company has an internal audit system commensurate with the size and nature of its
business.
(b) We have considered the reports of internal auditors for the period under audit
provided to us by the company. (xv) The company has not entered into any non-cash
transactions with directors or persons connected with him.
(xvi) (a) The Company is not required to be registered under section 45-IA of the
Reserve Bank of India Act, 1934 (b) During the year, the company has not conducted any
Non-Banking Financial or Housing Finance activities without a valid certifi cate of
Registration (COR) from the Reserve Bank of India as per the Reserve Bank of India Act,
1934. (c) The company is a Core Investment Company (CIC) as defi ned in the regulations
made by the Reserve Bank of India and it continues to fulfi l such criteria.
(d) According to the records of the company and information and explanations given to
us, the group has 2 CIC as part of the group.
(xvii) The company has not incurred cash losses in the fi nancial year under audit and
has incurred cash loss of Rs. 31.60 lakhs in the immediately preceding fi nancial year.
(xviii) During the year there has been no resignation of the statutory auditors of the
company and hence provisions of clause (xviii) of the order are not applicable to the
company.
(xix) On the basis of the fi nancial ratio, ageing and expected date of realization of
fi nancial assets and payment of fi nancial liabilities, other information accompanying
the fi nancial statements, the auditors knowledge of the Board of Directors and management
plans we are of the opinion that no material uncertainty exists as on the date of audit
report 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) (a) According to the records of the company and information and explanations given
to us, in our opinion, there are no unspent amounts towards Corporate Social
Responsibility (CSR) on projects other than ongoing projects requiring transfer to a fund
specifi ed in schedule vii to the Companies Act in compliance with second proviso to
subsection (5) of section 135 of the said Act.
(b) According to the records of the company and information and explanations given to
us, in our opinion, there are no amount remaining unspent under sub section (5) of section
135 of the Companies Act, pursuant to any ongoing project.
|
For Suresh Kumar Mittal & Co. |
|
Chartered Accountants |
|
Firms Registration No. 500063N |
|
Ankur Bagla |
| Place: New Delhi |
Partner |
| Date: 22.05.2023 |
Membership No. 521915 |
|
UDIN: 23521915BGXMNH6622 |
ANNEXURE B REFERRED TO IN PARAGRAPH (II)(F) UNDER THE HEADING OF "REPORT ON OTHER
LEGAL AND REGULATORY REQUIREMENTS" OF OUR REPORT OF EVEN DATE ON THE STANDALONE
FINANCIAL STATEMENTS 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 fi nancial controls over fi nancial reporting of Jindal
Photo Limited ("the Company") as of March 31, 2023 in conjunction with our audit
of the standalone fi nancial 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 fi
nancial controls based on "the internal control over fi nancial 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 (the
"Guidance Note") issued by the Institute of Chartered Accountants of India
(ICAI)". These responsibilities include the design, implementation and maintenance of
adequate internal fi nancial controls that were operating effectively for ensuring the
orderly and effi cient 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 fi nancial information, as required under the Act.
Auditors Responsibility
Our responsibility is to express an opinion on the Companys internal fi nancial
controls over fi nancial 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 Act, to the extent applicable to an audit of
internal fi nancial controls, both applicable to an audit of Internal Financial Controls
and, both issued by the ICAI. 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 fi nancial controls over fi nancial 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 fi nancial controls system over fi nancial reporting and their operating
effectiveness. Our audit of internal fi nancial controls over fi nancial reporting
included obtaining an understanding of internal fi nancial controls over fi nancial
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 judgement, including the assessment of the
risks of material misstatement of the fi nancial statements, whether due to fraud or
error.
We believe that the audit evidence we have obtained is suffi cient and appropriate to
provide a basis for my / our audit opinion on the Companys internal fi nancial controls
system over fi nancial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A Companys internal fi nancial control over fi nancial reporting is a process designed
to provide reasonable assurance regarding the reliability of fi nancial reporting and the
preparation of fi nancial statements for external purposes in accordance with generally
accepted accounting principles. A Companys internal fi nancial control over fi nancial
reporting includes those policies and procedures that:
a) pertain to the maintenance of records that, in reasonable detail, accurately and
fairly refl ect the transactions and dispositions of the assets of the Company; b) provide
reasonable assurance that transactions are recorded as necessary to permit preparation of
fi nancial 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 c) 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 fi nancial
statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal fi nancial controls over fi nancial
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 fi nancial controls over fi nancial
reporting to future periods are subject to the risk that the internal fi nancial control
over fi nancial 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 fi
nancial controls system over fi nancial reporting and such internal fi nancial controls
over fi nancial reporting were operating effectively as at 31 March 2023, based on
"the internal control over fi nancial reporting criteria established by the Company
considering the essential components of internal control stated in the Guidance Note
issued by the ICAI".
|
For Suresh Kumar Mittal & Co. |
|
Chartered Accountants |
|
Firms Registration No. 500063N |
|
Ankur Bagla |
| Place: New Delhi |
Partner |
| Date: 22.05.2023 |
Membership No. 521915 |
|
UDIN: 23521915BGXMNH6622 |
+91-9892691696
