To,
The Members of
ATHARV ENTERPRISES LIMITED
Report on the Financial Statements for the F.Y. 2022-23 Opinion
We have audited the accompanying standalone financial statements of ATHARV
ENTERPRISES LIMITED which comprise the standalone Balance Sheet as at 31st March,
2023, and the standalone Statement of Profit and Loss (Including Other Comprehensive
Income), standalone Cash Flow Statement and the standalone statement of Changes in Equity
for the year ended, and notes to the standalone financial statements, including a summary
of significant accounting policies and other explanatory information. (Here in after
referred to as "Standalone Ind AS financial Statement").
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 inconformity with the Indian Accounting Standards prescribed under section
133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as
amended, ("Ind AS") and other accounting principles generally accepted in India,
of the state of affairs of the Company as at March 31, 2023, the profit and other
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 the Standards on Auditing (SAs) specified
under section 143(10) of the Companies Act, 2013. Our responsibilities under those SAs 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 together with the ethical requirements that are relevant to our audit of the
standalone financial statements under the provisions of the Companies Act, 2013 and the
Rules thereunder, 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 on the
standalone financial statements.
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.
There are no Key Audit Matters Reportable as per SA 701 issued by ICAI.
Information Other than the Financial Statements and Auditors Report Thereon
The Companys management and Board of Directors are responsible for the preparation of
the other information. The other information comprises the information included in the
Companys annual report, but does not include the financial statements and our auditors
report thereon.
Our opinion on the standalone 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 standalone financial statements, our responsibility
is to read the other information and, in doing so, consider whether the other information
is materially inconsistent with the standalone financial statements or our knowledge
obtained in the 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.
Managements Responsibility for the Financial Statements
The Companys management and Board of Directors are 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 state of affairs, profit/loss, other
comprehensive income, changes in equity and cash flows of the Company in accordance with
the Indian Accounting Standards specified under section 133 of the Companies Act and the
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 and Board of Director are
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 and Board of Directors either intends to liquidate
the Company or to cease operations, or has no realistic alternative but to do so.
The Board of Directors is also responsible for overseeing the Companys financial
reporting process.
Auditors Responsibility 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 procedures
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.
• 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 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 in the standalone financial statements
made by management and Board of Directors.
• Conclude on the appropriateness of management and Board of Directors 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 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.
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 section 143(11) of the Act, we give
in "Annexure A", a statement on the matter specified in the paragraph 3 and 4 of
the Order.
2. As required under provisions of section 143(3) of the Companies Act, 2013, we report
that:
a) We have obtained all the information and explanations which to the best of our
knowledge and belief where 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 appears from our examination of those books;
c) The standalone Balance Sheet and the standalone Statement of Profit and Loss(
including Other Comprehensive Income), the standalone Statement of Cash Flows and the
standalone Statement of Changes of Equity 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 Ind AS
specified under section 133 of the Act.
e) On the basis of 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 with reference to
financial statements of the Company and the operating effectiveness of such controls,
refer to our separate report in "Annexure B".
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 other matters to be included in the Auditors Report in accordance
with Rule 11 of the Companies (Audit and Auditor) Rules, 2014, in our opinion and to the
best of our knowledge and belief and according to the information and explanations given
to us:
i. The Company does not have any pending litigation as at March 31, 2023 on its
financial position in its financial statements, except as provided in Annexure
"A".
ii. The Company did not have any long-term and derivative contracts as at March 31,
2023.
iii. There has been no delay in transferring amounts, required to be transferred, the
Investor Education and Protection Fund by the Company during the year ended March 31,
2023.
| Date: 23/05/2023 |
For S.N. Kabra & Co. |
| Place: Indore |
Chartered Accountants |
|
Sd/- |
|
CA Satyanarayan Kabra |
|
Proprietor |
|
F R No.: 003439C |
|
M. No.: 072497 |
|
UDIN: 23072497BGSOCW5499 |
"ANNEXURE 1" TO THE INDEPENDENT AUDITORS REPORT
In terms of the information and explanations sought by us and given by the company and
the books and records examined by us in the normal course of audit and to the best of our
knowledge and belief, we state that: -
1) a) The Company has a regular program of physical verification of its fixed assets by
which all the fixed assets are verified in a phased manner over a period of two years. In
our opinion, the periodicity of physical verification is a reasonable having regards to
the size of the Company and nature of its assets. Pursuant to the program a portion of the
fixed assets has been physically verified by the management, during the year and no
material discrepancies have been notice on such verification.
b) According to the information and explanations received by us, and on the basis of
our examination of the records of the company, the title deeds of immovable properties as
disclosed in the Note E to the financial statement of the Company.
2) Physical verification of inventory has been conducted by the management at
reasonable intervals as required under clause 3(ii).
3) The Company has not granted loans, secured or unsecured to any companies, firms,
Limited Liability Partnerships or other parties covered in the register maintained under
section 189 of the Companies Act, 2013. Hence the reporting requirement under clause (iii)
of the said order does not arise.
4) Based on our scrutiny of the Companys records and according to the information and
explanations received by us from the management, we are of the opinion that in respect of
loans and guarantees given, investments made, and securities purchased by the company, the
provisions of section 185 and 186 of the Companies Act, 2013 have been complied with.
5) In our opinion and according to information and explanations given to us, the
Company has not accepted any deposits from the public and hence the reporting requirement
under clause (v) of the said order does not arise.
6) Being a trading company having turnover below prescribe limit, the provisions of
section 148(1) of the Act with regard to the maintenance of cost records are not
applicable to the Company.
7) a) Based on our scrutiny of the Companys Book of Account and other records and
according to the information and explanations received by us from the management, we are
of the opinion that the company is regular in depositing with appropriate authorities
undisputed statutory dues applicable to it and no undisputed amounts payable in respect of
any statutory dues 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 and the information and explanations
received by us from the management, there are no disputed statutory dues outstanding in
the name of the company.
8) Based on our audit procedures and according to the information and explanations
given to us, we are of the opinion, the company has not defaulted in repayment of dues to
a financial institution, bank, Government or dues to debenture holders.
9) According to the records of the company, the company has neither raised any moneys
by way of Initial Public Offer or Further Public Offer (including debt instrument) nor has
the company raised any term loans during the Financial Year start from 01/04/2022 to
31/03/2023. Hence, in our opinion the reporting requirement under clause (ix) of the said
order does not arise.
10) Based upon the audit procedures performed and according to the information and
explanations given to us, no fraud by the company or any fraud on the company by its
officers or employees has been noticed or reported during the course of our audit, that
causes the financial statements to be materially misstated.
11) According to the records of the company, Managerial remuneration has been paid or
provided during the year under audit is within the limit of provision of Companies Act,
2013.
12) In our opinion and to the best of our information and according to the explanations
provided by the management, we are of the opinion that the company is not a Nidhi Company.
Hence, in our opinion the reporting requirement under clause (xii) of the said order does
not arise.
13) According to the information and explanations given to us and based on our
examination of the records of the Company, transactions with the related parties are in
compliance with Sections 177 and 188 of the Act where applicable and details of such
transactions have been disclosed in the financial statements as required by the applicable
accounting standards.
14) Based on our scrutiny of the Companys Book of Account and other records and
according to the information and explanations received by us from the management, we are
of the opinion that the company has not made any preferential allotment or private
placement of shares or fully or partly convertible debentures during the year under
review. Hence, the reporting requirement under clause (xiv) of the said order does not
arise.
15) Based on our scrutiny of the Companys Book of Account and other records and
according to the information and explanations received by us from the management, we are
of the opinion that the company has not entered into any non-cash transactions with its
directors or persons connected with him. Hence, the reporting requirement under clause
(xv) of the said order does not arise.
| Date: 23/05/2023 |
For S.N. Kabra & Co. |
| Place: Indore |
Chartered Accountants |
|
Sd/- |
|
CA Satyanarayan Kabra |
|
Proprietor |
|
F R No.: 003439C |
|
M. No.: 072497 |
|
UDIN: 23072497BGSOCW5499 |
"ANNEXURE 2" TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph (2)g under Report on Other Legal and Regulatory
Requirements in our Independent Auditors Report of even date, to the members of the
Company on the 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 the Company
as of Atharv Enterprises Limited as on 31st March, 2023 in conjunction with our audit of
the financial statement 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. 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. 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.
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 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 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.
| Date:23/05/2023 |
|
| Place: Indore |
For S.N. Kabra & Co. |
|
Chartered Accountants |
|
Sd/- |
|
CA Satyanarayan Kabra |
|
Proprietor |
|
F R No.: 003439C |
|
M. No.: 072497 |
|
UDIN: 23072497BGSOCW5499 |
+91-9892691696
