pitambar coated papers ltd Auditors report


TO THE MEMBERS OF PITAMBER COATED PAPERS LIMITED

Report on the Financial Statements

We have audited the accompanying financial statements of PITAMBER COATED PAPERS LIMITED ("the Company"), which comprises the Balance Sheet as at 31st March, 2016 and the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.

Managements Responsibility for the Financial Statements

The management of the Company is responsible for the matters stated in section 134 (5) of the Companies Act, 2013 (‘the Act") with respect to preparation and presentation of these 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 maintenance of adequate accounting records in accordance with the provisions of the Act for safe guarding 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 controls 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 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 Rules made there under. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India and 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 auditor’s 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 control relevant to the entity’s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of accounting estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained are sufficient and appropriate to provide a basis for our audit opinion on the financial statements.

Opinion

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial 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:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at 31st March, 2016;

(b) In the case of the Statement of Profit and Loss, of the loss for the year ended on that date; and

(c) In the case of the Cash Flow Statement, of the 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 statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

2. As required by section 143 (3) of the Act, we report that:

a) We have 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, Statement of Profit and Loss and Cash Flow Statement dealt with by this report are in agreement with the books of account;

d) In our opinion, the aforesaid 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, 2016, and taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2016 from being appointed as a director in terms of section 164 (2) of the Act.

In our opinion, keeping in view the operations of the company, nature of transactions and its activities, in all material respects, the Company has an adequate internal financial control system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31st March, 2016.

g) In our opinion and to the best of our information and according to the explanations given to us, we report in respect to other matters to be included in the Auditor’s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014 as under:

i. The Company does not have any pending litigations which would impact its financial position

ii. The Company did not have any long-term contracts including derivative contracts hence; question of commenting on any material foreseeable losses thereon does not arise There were no amounts which were required to be transferred, to the Investor Education and Protection Fund by the Company

h) Attention is invited to: Note no.3 of Notes to Account "21"- The Company has not accounted for the gratuity and leave encashment benefits as required by AS-15 "Accounting for retirement benefits in the financial Statements" of employees issued by the Institute of Chartered Accountants of India. The overall impact of the adjustment to be carried out as per our remark as given could not be ascertained and therefore we are unable to comment on this.

For Kumar Sharma & Co.
Chartered Accountants
(Firms Regn. No.001036N)
sd/-
(Vishwa Bandhu Agarwal)
Partner
M. No. 070522
Place: New Delhi
Dated: 01.09.2016

ANNEXURE "A" TO THE INDEPENDENT AUDITOR’S REPORT

REFERRED TO IN OUR REPORT OF EVEN DATE ON THE ACCOUNTS OF PITAMBER COATED PAPERS LIMITED, DELHI FOR THE YEAR ENDED 31ST MARCH, 2016

1. (a) The company is maintaining proper records showing full particulars, including quantitative details and situation of its fixed assets;

(b) These fixed assets have been physically verified by the management at reasonable intervals; no material discrepancies were noticed on such verification.

2. (a) The physical verification of inventory has been conducted at reasonable intervals by the management;

(b) The procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.

(c) The company is maintaining proper records of inventory and no material discrepancies were noticed on physical verification.

3. The company has not granted loans, to Companies and Other Parties covered in the register maintained under section 189 of the Companies Act 2013, ("the Act"). .

4. In our opinion and according to the information and explanations given to us the company has complied with the provisions of section 185 and 186 in respect to investments made and guarantees given. No loans were granted by the company during the year.

5. According to the information and explanation given to us the Company has not accepted any deposits from public covered under Section 73 to 76 or any other relevant provisions of the Companies Act 2013 and rules framed there under. Accordingly the paragraph is not applicable.

6. The Central Government has not prescribed the maintenance of cost records under section 148(1) of the Act.

7. (a) According to the information and explanation given to us and on the basis of our examination of records of the company, amounts deducted/accrued in the books of account in respect of undisputed statutory dues includes provident Fund, Investor Education and Protection Fund, Employees State Insurance, Income Tax, Service Tax, Sales Tax, Value Added Tax and any other material statutory dues have been regularly deposited during the year by the company with the appropriate authorities.

(b) According to the information and explanations given to us, following undisputed amounts payable in respect of the aforesaid dues were outstanding for a period of more than six months from the date they become payable.

Nature 2001-02 2002-03 2003-04 2004-05 2005-06 Total
Turnover Tax 21418.00 40298.00 27110.00 88826.00
Professional Tax 1200.00 4800.00 6000.00

(c) According to the information and explanation given to us following amounts have not been deposited on account of dispute with the concerned authorities.

Nature Amount Year Forum where dispute is pending
Rajasthan Sales Tax 609888.00 2007-08 Commissioner of Commercial Taxes

(d) There are no amounts required to be transferred to investor education and protection fund in accordance with the relevant provisions of the Companies Act, 1956 (1 of 1956) and rules made thereunder.

7. According to the information and explanations given to us, the company has no loans or borrowings from Financial Institutions, Banks, Government or Debenture Holders.

8. The company has not raised money by way of initial or further public offer (including debt instruments); hence question of terms of loan, its application, delays or defaults is not applicable.

9. According to the information and explanations given to us, no frauds on or by the Company by its officers or employees were noticed or reported during the year.

10. The company has not paid or provided any managerial remuneration hence the provisions of section 197 read with schedule V to the Companies Act 2013 is not applicable.

11. In our opinion and according to the information and explanations given to us, the company is not a Nidhi company accordingly the paragraph is not applicable.

12. The transactions of the company with related parties are in compliance with section 177 and 188 of the Companies Act, 2013 and the details have been disclosed in financial statements in accordance with applicable accounting standards.

14. The Company has not made any private placement of shares and preferential allotment during the year.

15. The company has not entered into any non-cash transactions with directors or persons connected with them; hence provisions of section 192 are not applicable.

16. The company is not required to be registered under section 45-IA of the Reserve Bank of India Act 1934.

For Kumar Sharma & Co.
Chartered Accountants
(Firms Regn. No. 001036N)
sd/-
(Vishwa Bandhu Agarwal)
Place: New Delhi Partner
Dated: 01.09.2016 M. No. 070522