TO THE MEMBERS OF VINTRON INFORMATICS LIMITED
Report on the Standalone Ind AS Financial Statements Qualified
Opinion
We have audited the accompanying standalone financial statements of VINTRON
INFORMATICS 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 ended on
that date, and a summary of the significant accounting policies and other explanatory
information (hereinafter referred to as "the standalone financial statements").
In our opinion and to the best of our information and according to the explanations
given to us, except for the impact of the matter described in "Basis for qualified
opinion" para hereunder, 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, of the state of affairs of the Company as at March 31,2023,
the Loss (including other comprehensive income), changes in equity and its cash flows for
the year ended on that date.
Basis for Qualified Opinion
1. Pursuant to default by the company in payment of dues in line with the settlement
agreement entered into in earlier year with a party, there can be incremental impact on
the liability as provided by the company on the basis of erstwhile terms and conditions.
However, the company is under negotiation with the party for revised settlement. In view
of uncertainty, the company has not made provision of incremental impact in the liability.
Had the differential liability and interest been provided, loss for the year would have
been higher by Rs. 27.65 Lacs (Previous year Rs. 27.65 lacs, Cumulative Rs. 246.67 lacs)
with a corresponding increase in financial liabilities. (Refer Note -37).
2. Balances shown in the financial statement as receivables (including bank deposits)
and payables under different heads are subject to confirmation/reconciliation. We are
unable to comment upon the impact, if any, which may result on such
reconciliation/settlement with the party. (Note-38)
We conducted our audit of the standalone financial statements in accordance with the
Standards on Auditing 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 independence requirements that are relevant
to our audit of the standalone financial statements under the provisions of the Act and
the Rules made thereunder, and we have fulfilled our other ethical responsibilities in
accordance with these requirements and the ICAIs Code of Ethics. 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
Emphasis of Matter
We draw out attention to
a) Note No. 36 - As at the end of the year the net worth of the company stands eroded,
Current Liabilities are greater than Current assets and company incurs cash losses during
the year under audit and preceding financial year. These conditions may cast doubt about
the Companys ability to continue as a going concern. Nevertheless, the management have
perception of revival of the company in subsequent years and management has considered the
loss/erosion as aforesaid as temporary, financial statements have been prepared on going
concern basis.
b) During the year, the company has written off various debit balances including Trade
receivables to tune of Rs. 14.27 lacs. In addition, credit balances (including foreign
parties) to the tune of Rs. 109.97 lacs have been written back. In view of the management,
aforesaid balances are no longer receivables and payables, consequently the same have been
written off/written back.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most
significance in our audit of the 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.
| S. No. Key Audit Matter |
Auditors Response |
| 1 Evaluation of uncertain tax/ statutory dues positions |
Principal Audit Procedures |
| The Company has material uncertain tax/ statutory dues positions including matters
under dispute which involves significant judgment to determine the possible outcome of
these disputes. |
Obtained details of completed tax assessments and demands under relevant statue for
the year ended March 31, 2023 from management. We have reviewed managements underlying
assumptions in estimating the tax provision/contingent liabilities and the possible
outcome of the disputes. |
Information Other than the Standalone Ind AS Financial Statements and Auditors Report
Thereon
The Companys Board of Directors is responsible for the preparation of other
information. The other information comprises the Directors report, Corporate Governance
report, Business responsible report and Management Discussion and Analysis of Annual
report, but does not include the Standalone Ind AS Financial Statements and our report
thereon. The Directors report, Corporate Governance report, Business responsible report
and Management Discussion and Analysis of Annual report is expected to be made available
to us after the date of this auditors report.
Our opinion on the Standalone Ind AS Financial Statements does not cover the other
information and we will not express any form of assurance conclusion thereon.
In connection with our audit of the Standalone Ind AS Financial Statements, our
responsibility is to read the other information identified above when it becomes available
to us and, in doing so, consider whether the other information is materially inconsistent
with the Standalone Ind AS Financial Statements or our knowledge obtained during the
course of our audit, or otherwise appears to be materially misstated.
When we read such other information as and when made available to us and if we conclude
that there is a material misstatement therein, we are required to communicate the matter
to those charged with governance.
Managements Responsibility 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, total
comprehensive income, changes in equity and cash flows of the Company in accordance with
the in AS and other accounting principles generally accepted in India. This responsibility
also includes maintenance of adequate accounting records in accordance with the provisions
of the Act for safeguarding 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 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. The Board of Directors are 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:
1. Identify and assess the risks of material misstatement of the standalone financial
statements, whether due to fraud or error audit procedures, design and perform responsive
to those risks, and obtain audit evidence that is sufficient 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.
2. Obtain an understanding of internal financial controls 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 system in place and the operating
effectiveness of such controls
3. Evaluate the appropriateness of accounting policies used and the reasonable ness of
accounting estimates and related disclosures made by management.
4. 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.
5. 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 event s 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 standalone financial 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 benefits of such communication.
Other Matter
The standalone financial statements of the Company for the year ended 31 March 2022
were audited by APAS & Co. LLP, Chartered Accountants, who have expressed a qualified
opinion on those standalone financial statements vide their audit report dated 30th
May 2022.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors Report) Order, 2020 ("the Order")
issued by the Central Government in terms of Section 143(11) of the Act, we give in
"Annexure I" a statement on the matters specified in paragraphs 3 and 4 of the
Order.
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 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 Profit and Loss including Other Comprehensive
Income, Statement of Changes in Equity and the Statement of Cash Flows dealt with by this
Report are in agreement with the relevant books of account.
d) In our opinion, the aforesaid standalone Ind AS financial statements comply with the
Indian Accounting Standards (Ind AS) prescribed under section 133 of the Act read with the
Companies (Indian Accounting Standards) Rules, 2015 as amended.;
e) On the basis of the written representations received from the directors as on March
31, 2023 taken on record by the Board of Directors, none of the directors is disqualified
as on March 31, 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 II". Our report expresses a disclaimer of opinion
on the adequacy and operating effectiveness of the Companys internal financial controls
over financial reporting.
g) 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) In our opinion the matters referred in para "Basis for Qualification" and
para "Emphasis of Matter" above may have an adverse effect on the functioning of
the company.
i) 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, as amended in
our opinion and to the best of our information and according to the explanations given to
us:
i. The Company has disclosed the impact of pending litigations on its financial
position in its standalone financial statements. Refer Note No- 33.
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. (a) The Management has represented that, to the best of its knowledge and belief,
no funds (which are material either individually or in the aggregate) 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 or entity, including foreign
entity ("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 identified in any manner whatsoever by or on behalf of the
Company ("Ultimate Beneficiaries") or provide any guarantee, security or the
like on behalf of the Ultimate Beneficiaries;
(b) The Management has represented, that, to the best of its knowledge and belief, no
funds (which are material either individually or in the aggregate) have been received by
the Company from any person or entity, including foreign entity ("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;
(c) Based on the audit procedures that have been 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) of Rule 11(e), as provided under (a) and
(b) above, contain any material misstatement.
V. (a) The company has not proposed and declared any final dividend in the previous
year. Hence this clause is not applicable.
(b) The company has not declared and paid any interim dividend during the year. Hence
this clause is not applicable.
(c) The Board of Directors of the Company have not proposed any final dividend for the
year which is subject to the approval of the members at the ensuing Annual General
Meeting. Hence this clause is not applicable.
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 financial year ended March 31, 2023.
For O P BAGLA & CO LLP
CHARTERED ACCOUNTANTS
Firm Regn. No. 000018N/N500091
|
(NITIN JAIN) |
| PLACE: NEW DELHI |
PARTNER |
| DATE: 30.05.2023 |
M. No. 510841 |
|
UDIN: 23510841BGWARU8821 |
(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory
Requirements section of our report of even date)
i. (a) (A) During the year under audit the Company could not produce the property,
plant and equipment (‘PPE) records/registers, before us for verification, which as
explained to us are under preparation. In view of above we are unable to comment on the
matter. The Company has sold all its property, plant and equipment (‘PPE) during the
year and does not have any PPE at end of the year under audit.
(B) The Company has maintained proper records showing full particulars of intangible
assets.
(C) The Company has maintained proper records showing full particulars of right to use
assets.
(b) The Company has not been physically verified the property, plant and equipment
(PPE) during the year.
(c) The Company does not have any immovable property in the company, hence reporting
under clause (i)(c) of the Order is not applicable.
(d) The Company does not have any property, plant and equipment (PPE) in the company,
hence reporting under clause
(i)(d) of the Order is not applicable.
(e) As informed to us no proceedings have been initiated during the year or are pending
against the Company as at March 31,2023 for holding any benami property under the Benami
Transactions (Prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.
ii. (a) As per information provided to us, physical verification of inventory has been
conducted by the management at regular interval and discrepancies notices have been duly
adjusted in books of account.
(b) The company has not been sanctioned working capital limits in excess of five crore
rupees, in aggregate, at any point of time during the year, from banks or financial
institutions on the basis of security of current assets and hence reporting under clause
(ii) (b) of the order is not applicable.
iii. No amount has been granted in the nature of loans or advances or guarantees or
security to subsidiaries, associates and joint ventures. Thus, this clause is not
applicable to the company.
iv. According to the information and explanations given to us, the company has no
transactions in respect of loans, investments, guarantees and securities covered under the
provisions of Section 185 and 186.
v. The Company has not accepted any deposit or amounts which are deemed to be deposits.
Hence, reporting under clause 3(v) of the Order is not applicable.
vi. In respect of business activities of the company maintenance of cost records has
not been specified by the Central Government under sub-section (l) of section 148 of the
Companies Act read with rules framed thereunder.
vii. a) As per information and explanations given to us the Company has been
depositing the undisputed statutory dues including Provident Fund, Employees State
Insurance, Income Tax, Goods and Service Tax and other statutory dues with the appropriate
Authorities which were delayed on most of the occasions. However, there is no
undisputed dues lying unpaid as at the year-end for a period of more than six months from
the date they become payable.
b) We have been informed that following statutory dues have not been deposited on
account of disputes and appeals for the same are pending with different forums as mention
herein
| NATURE OF DEMAND |
AMOUNT UNPAID (Rs. in lacs) |
FORUM BEFORE WHICH THE CASE IS PENDING |
| Customs Act |
606.47 |
Directorate of Revenue Intelligence |
| FEMA Act |
10.80 |
Directorate of Enforcement |
| ESI Act |
44.15 |
Delhi High Court |
viii. There were no transactions relating to previously unrecorded income that have
been surrendered or disclosed as income during the year in tax assessments under the
Income Tax Act, 1961 (43 of 1961).
ix. (a) The company has not taken any loans or other borrowings from any lender during
the year. Hence reporting under clause (ix) (a) of the order is not applicable.
(b) The company has not been declared wilful defaulter by any bank or financial
institution or other lender. Hence reporting under clause (ix) (b) of the order is not
applicable.
(c) During the year no term loan was obtained or applied for by the company.
(d) The company has not raised funds on short term basis and hence reporting under
clause (ix) (d) of the Order is 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. Hence reporting under clause (ix) (e) of the
order is not applicable.
(f) The company has not raised any loans during the year on pledge of securities held
in its subsidiaries, joint ventures or associates and hence reporting under clause (ix)
(f) of the order is not applicable.
x. a) During the year, the Company has not raised money by way of initial public offer
or further public offer (including debt instruments) during the year and hence reporting
under clause 3 (x) (a) of the Order is not applicable.
c) During the year, the company has not made any preferential allotment or private
placement of shares or convertible debentures (fully, partially or optionally) and hence
reporting under clause 3 (x) (b) is not applicable.
xi. a) No fraud by the Company or no material fraud on the Company has been noticed or
reported during the year.
b) No report under sub-section (12) of section 143 of the Companies Act has been filed
by in Form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors) Rules, 2014
with the Central Government, during the year and upto the date of this report.
c) As represented to us by the management, there are no whistle blower complaints
received by the company during the year.
xii. The provisions of clause (xii) of the Order are not applicable as the company is
not a Nidhi Company as specified in the clause.
xiii. According to information and explanations given to us we are of the opinion that
all related party transactions are in compliance with the Section 177 and 188 of Companies
Act 2013. Necessary disclosures have been made in the financial statements as required by
the applicable accounting Standards.
xiv. a. According to the information and explanation given to us the company has no
internal audit system in place commensurate with the size and nature of its business
during the year under audit. b. As there is not internal audit system, no internal audit
reports have been shared with us for review.
xv. According to information and explanations given to us the Company has not entered
into any non-cash transaction with the director or any person connected with him during
the year.
xvi. a) The Company is not required to be registered under section 45-IA of the Reserve
Bank of India Act, 1934.
b) In our opinion, there is no core investment company within the Group (as defined in
the Core Investment Companies (Reserve Bank) Directions, 2016) and accordingly reporting
under clause 3(xvi)(d) of the Order is not applicable.
xvii. The company has incurred cash losses during the financial year under audit and in
the immediately preceding financial year for Rs. 58.51 & Rs. 83.10 Lacs respectively.
xviii. There has been no resignation of the statutory auditors of the company during
the year.
xix. On the basis of the financial ratios, ageing and expected dates of realisation of
financial assets and payment of financial liabilities, other information accompanying the
financial statements and our knowledge of the Board of Directors and Management plans and
based on our examination of the evidence supporting the assumptions, nothing has come to
our attention, which causes us to believe that any material uncertainty exists as on the
date of the audit report that company is not 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. We, however, state that this is not an assurance as to the future
viability of the company. We further state that our reporting is based on the facts up to
the date of the audit report and we neither give any guarantee nor any assurance that all
liabilities falling due within a period of one year from the balance sheet date, will get
discharged by the company as and when they fall due.
xx. (a) There are no unspent amounts towards Corporate Social Responsibility (CSR) on
other than ongoing projects requiring a transfer to a Fund specified in Schedule VII to
the Companies Act in compliance with second proviso to sub-section (5) of Section 135 of
the said Act. Accordingly, reporting under clause 3(xx)(a) of the Order is not applicable
for the year.
(b) There are no unspent amount u/s 135(5) of the company act ,2013 hence clause 20 (b)
is not applicable.
xxi. This clause is not applicable on audit report on standalone financial statements.
For O P BAGLA & CO LLP
CHARTERED ACCOUNTANTS
Firm Regn. No. 000018N/N500091
|
(NITIN JAIN) |
| PLACE: NEW DELHI |
PARTNER |
| DATE: 30.05.2023 |
M. No. 510841 |
|
UDIN: 23510841BGWARU8821 |
(Referred to in paragraph 2(f) under ‘Report on Other Legal and Regulatory
Requirements section of our report of even date)
We were engaged to audit the internal financial controls over financial reporting of
VINTRON INFORMATICS LIMITED ("the Company") as of March 31,2023 in
conjunction with our audit of the 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. 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 conducted in accordance with the
Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the
"Guidance Note") and the Standards on Auditing, to the extent applicable to an
audit of internal financial controls, both issued by the Institute of Chartered
Accountants of India.
Because of the matter described in Disclaimer of Opinion paragraph below, we were not
able to obtain sufficient appropriate audit evidence to provide a basis for an audit
opinion on internal financial controls system over financial reporting of the Company.
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 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 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.
Disclaimer of Opinion
According to the information and explanation given to us, the Company has not
established its internal financial control over financial reporting on criteria based on
or 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. Because of this reason, we are unable to obtain sufficient
appropriate audit evidence to provide a basis for our opinion whether the Company had
adequate internal financial controls over financial reporting and whether such internal
financial controls were operating effectively as at March 31,2023. We have considered the
disclaimer reported above in determining the nature, timing, and extent of audit tests
applied in our audit of the standalone financial statements of the Company, and the
disclaimer does not affect our opinion on the standalone financial statements of the
Company.
For O P BAGLA & CO LLP
CHARTERED ACCOUNTANTS
Firm Regn. No. 000018N/N500091
|
(NITIN JAIN) |
| PLACE: NEW DELHI |
PARTNER |
| DATE: 30.05.2023 |
M. No. 510841 |
|
UDIN: 23510841BGWARU8821 |
+91-9892691696
