To the Members of BFL Asset Finvest Limited
1, Tara Nagar, Ajmer Road, Jaipur 302006
Report on the Ind AS Financial Statements
Opinion:
We have audited the accompanying standalone Ind-AS Financial Statements of BFL Asset
Finvest Limited(CIN:L45201RJ1995PLC010646)which comprise the Balance Sheet as at 31
March 2023, and the Statement of Profit and Loss (including the Statement of Other
Comprehensive Income), Statement of Changes in Equity and Statement of Cash flow for the
year then ended, and notes to the Standalone Ind-AS Financial Statements, including a
summary of the significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanations
given to us, the aforesaid standalone Ind-AS 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 Indian Accounting Standards prescribed under
Section 133 of the Act read with Companies(Indian Accounting Standards)Rules,
2015, as amended, ("Ind-AS")and other accounting standards generally accepted
in India, of the state of affairs of the Company as at 31 March 2023, its Profit, total
comprehensive income, changes in equity and its Cash flow for the year ended on that date.
Basis for Opinion
We conducted our audit of the standalone Ind-AS 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 Ind-AS 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 Ind-AS financial statements under the provisions of the
Act and the rules there under, 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 standalone Ind-AS 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 Ind-AS financial statements of the current period. These
matters were addressed in the context of our audit of the Ind-AS financial statements as a
whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters.
We have determined the matters described below to be the key audit matters to be
communicated in our report.
Description of Key Audit Matters
Key audit matters How our audit addressed the key audit matter |
|
(a) Impairment of financial assets (expected credit losses) |
|
Ind AS 109 requires the Company to recognize impairment loss allowance
towards its financial assets (designated at amortized cost and fair value through other
comprehensive income) using the expected credit loss (ECL) approach. Such ECL allowance is
required to be measured considering the guiding principles of Ind AS 109. |
We read and assessed the Companys accounting policies for impairment
of financial assets and their compliance with Ind AS 109. However there being no loan
portfolio so no such allowance is required. |
Information Other than the Financial Statements and Auditors Report There on
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 Annexure to Boards Report, but does not include the standalone Ind AS
financial statements and our auditors report thereon.
Our opinion on the standalone Ind AS 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 Ind AS 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 Ind AS Financial Statements or our knowledge
obtained during the course of our 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 Ind AS Financial Statements
The Companys board of directors are responsible for the matters stated in Section 134
(5) of the Act with respect to the preparation of these Ind AS 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. 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 financial controls, that were
operating effectively for ensuring the accuracy and completeness of the accounting
records, relevant to the preparation and presentation of the financial statement that give
a true and fair view and are free from material misstatement, whether due to fraud or
error.
In preparing the Ind AS 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 also responsible for overseeing the Companys financial
reporting process.
Auditors responsibilities for the audit of the Ind AS Financial Statements
Our objectives are to obtain reasonable assurance about whether the Ind AS 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
Standard of Auditing 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 Ind AS Financial Statements.
As part of an audit in accordance with Standard of Auditing, we exercise professional
judgment and maintain professional skepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the Ind AS 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
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.
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 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 Ind AS 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 Ind AS Financial
Statements, including the disclosures, and whether the Ind AS Financial Statements
represent the underlying transactions and events in a manner that achieves fair
presentation.
Materiality is the magnitude of misstatements in the standalone Ind AS Financial
Statements that, individually or in aggregate, makes it probable that the economic
decisions of a reasonably knowledgeable user of the standalone Ind AS Financial Statements
may be influenced. 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 identified misstatements in the Standalone Ind AS Financial
Statements.
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 Ind AS 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, 2020 ("the Order"),
issued by the Central Government of India in terms of sub-Section (11) of Section 143 of
the Act, we give in the ‘Annexure A, a statement on the matters specified in
clauses 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 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, the Cash Flow Statement and
Statement of Changes in Equity dealt with by this Report are in agreement with the books
of accounts.
d) In our opinion, the aforesaid Financial Statements comply with the Ind AS specified
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 31st
March, 2023 taken on record by the Board of Directors, none of the directors is
disqualified as on 31st March, 2023 from being appointed as a director in terms of Section
164 (2) of the Act.
f) With respect to the adequacy of the internal financial controls over financial
reporting of the Company and the operating effectiveness of such controls, refer to our
separate Report in ‘Annexure B. Our report expresses an unmodified opinion on
the adequacy and operating effectiveness of the Companys internal financial controls over
financial 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 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, as amended 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 financial
position. ii. The Company did not have any long-term contracts including derivative
contracts for which there were any material foreseeable losses. iii. There were no amounts
which were 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 entities ("Intermediaries"), with the understanding,
whether recorded in writing or otherwise, that the Intermediary shall, 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 entities ("Funding
Parties"), with the understanding, whether recorded in writing or otherwise, that the
Company shall, 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 performed 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 mentioned under (a) and (b) above, contain any
material misstatement.
v. The company has not declared any final or interim dividend during the year.
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 Khilnani & Associates |
|
Chartered Accountants |
Place: Jaipur |
|
Date: May 25, 2023 |
Sd/- |
|
K. K. Khilnani |
|
Partner |
|
M. No. : 072736 |
|
FRN. 005776C |
|
UDIN: 23072736BGUQTW5664 |
Annexure ‘A
The Annexure referred to in paragraph 1 under "Other Legal and Regulatory
Requirements" section our report of even date.
I. We report that:
a) (A) The company has maintained proper records showing full particulars, including
quantitative details and situation of Property, Plant and Equipment.
(B) The Company does not have any intangible asset. Accordingly, clause1 (a)(B) of the
order is not applicable.
b) The Company has a regular program of physical verification of its ‘Property,
Plant and Equipment under which ‘Property, Plant and Equipment are verified in a
phased manner which, in our opinion, is reasonable having regard to the size of the
Company and the nature of its assets. In accordance with this program, all the
‘Property, Plant and Equipment were verified during the year. According to the
information and explanations given to us, no material discrepancies were noticed on such
verification.
c) According to the information and explanations given to us and the records examined
by us, The
Company does not hold any immovable property (in the nature of ‘property, plant
and equipment) as on balance sheet date i.e. March 31, 2023. However, the Company hold
immovable property at the beginning of the year which is sold during the year.
d) The Company has not revalued its Property, Plant and Equipment (including Right of
Use assets) and intangible assets during the year. Accordingly, the provisions of clause
3(i)(d) of the Order are not applicable.
e) There are no proceedings which have been initiated or are pending against the
Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988
(45 of 1988) (as amended in 2016) and rules made thereunder. Accordingly, the provisions
of clause 3(i)(e) of the Order are not applicable.
II. (a)Company has inventory of shares in demat form. The same has been duly verified.
(b) In our opinion and according to the information and explanations given to us,
during the year, the company has not been sanctioned any working capital limits.
Accordingly, the provisions of clause 3(ii)(b) of the Order is not applicable.
III. The Company has made investments in, provided guarantee or security and granted
loans or advances in the nature of loans, secured or unsecured, to companies, firms,
Limited Liability Partnerships or any other parties during the year, in respect of which:
(a) The Company has provided loans, during the year and details of which are given
below:
| A Aggregate amount granted / provided during the year: |
1032.97 |
| B. Balance outstanding as at balance sheet date in respect of above
cases: |
1072.33 |
(b) The investments made, guarantees provided, security given and the terms and
conditions of the grant of all the above mentioned loans and advances in the nature of
loans and guarantees provided, during the year are, in our opinion, prima facie, not
prejudicial to the Companys interest.
(c) In respect of loans granted and advances in the nature of loans provided by the
Company, are repayable on demand, therefore there is no schedule of repayment, however
receipt of interest is regular.
(d) According to information and explanations given to us and based on the audit
procedures performed, in respect of loans granted and advances in the nature of loans
provided by the Company, are repayable on demand, and there are no overdue principal and
interest amount remaining outstanding as at balance sheet date.
(e) According to information and explanations given to us and based on the audit
procedures performed, in respect of loan or advance in the nature of loan granted which
has fallen due during the year, has not been renewed or extended or fresh loans granted to
settle the over dues of existing loans given to the same parties.
(f) Based on our audit procedures, according to the information and explanation made
available to us, the Company has granted loans or advances in the nature of loans which
are repayable on demand. Details are given below:
|
All Parties |
Promoters/ Related Party/Other related company |
Aggregate amount of loans/ advances in nature of loans |
1072.05 |
603.83 |
- Repayable on demand (A) |
- |
- |
- Agreement does not specify any terms or period |
|
|
Percentage of loans/advances in nature of loan to the total loans |
100% |
56.32% |
IV. In our opinion and according to the information and explanations given to us, the
Company has not granted any loans, made investments or provided guarantees in
contravention of provisions of Section 185 of the Act. The Company has complied with the
provisions of Section 186(1) of the Act; the other provisions of Section 186 of the Act
are not applicable to the Company.
V. In our opinion and according to the information and explanations given to us, the
Company being a non-banking financial company registered with the Reserve Bank of India,
the provisions of Sections 73 to 76 or any other relevant provisions of the Act and the
Companies (Acceptance of Deposits) Rules, 2014, as amended, with regard to the deposits
accepted are not applicable to the Company. We are further informed by the Management that
no order has been passed by the Company Law Board, National Company Law Tribunal or
Reserve Bank of India or any Court or any other Tribunal on the Company in respect of the
aforesaid deposits.
VI. The Central Government of India has not prescribed the maintenance of cost records
under subsection (1) of Section 148 of the Act for any of the activities of the Company
and accordingly clause 3 (vi) of the order is not applicable.
VII. (a) According to the information and explanations given to us, the Company is
regular in depositing undisputed statutory dues including goods and services tax,
provident fund, employees state insurance, income-tax, cess and other material statutory
dues, as applicable, to the appropriate authorities. Further, no undisputed amounts
payable in respect thereof were outstanding at the year -end for a period of more than six
months from the date they become payable.
(b)According to the information and explanations given to us, there are no statutory
dues referred to in sub-clause (a) that have not been deposited with the appropriate
authorities on account of any dispute.
VIII. In our opinion and according to the information and explanations given to us,
there are no such transactions which were not recorded in the books of account earlier and
have been surrendered or disclosed as income during the year in the tax assessments under
the Income Tax Act, 1961 (43 of 1961). Accordingly, the provisions of clause 3(viii) of
the Order are not applicable.
IX. (a)In our opinion and according to the information and explanations given to us,
the Company has not taken any loans or borrowings from banks, financial institutions and
Government.
(b) According to the information and explanations given to us and on the basis of our
audit procedures, we report that the Company has not been declared willful defaulter by
any bank or financial institution or other lender, government or any government authority.
(c) In our opinion and according to the information and explanations given to us, the
Company has not taken any term loan during the year and there are no unutilized term loans
at the beginning of the year and hence, reporting under clause (ix)(c) of the Order is not
applicable.
(d) According to the information and explanations given to us, and the procedures
performed by us, and on an overall examination of the financial statements of the Company,
we report that no funds raised on short-term basis have been used for long-term purposes
by the Company.
(e) According to the information and explanations given to us, since the Company does
not have subsidiaries, associates or joint ventures. Accordingly, the provisions of clause
3(ix) (e) of the Order are not applicable.
(f) According to the information and explanations given to us, since the Company does
not have subsidiaries, associates or joint ventures. Accordingly, the provisions of clause
3(ix) (f) of the Order are not applicable.
X. (a) In our opinion and according to the information and explanations given to us,
the Company did not raise moneys by way of initial public offer or further public offer
(including debt instruments) during the year. Accordingly, the provisions of clause
3(x)(a) of the Order are not applicable.
(b) According to the information and explanations given to us, during the year, the
Company has not made private placement of shares (fully and partially paid). Accordingly,
the provisions of clause 3(x)(b) of the Order are not applicable.
XI. (a) To the best of our knowledge and according to the information and explanations
given to us, no fraud by the Company or on the Company has been noticed or reported during
the period covered by our audit.
(b) In our opinion and according to the information and explanations given to us, no
report under sub-section (12) of section 143 of the Act has been filed by the auditors in
Form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors) Rules, 2014 with
the Central Government.
(c) As represented to us by the management, there are no whistle blower complaints
received by the Company during the year.
XII. The company is not a Nidhi Company. Accordingly, provisions of clause 3(xii) of
the Order are not applicable.
XIII. According to the information and explanations given to us, all transactions with
the related parties are in compliance with Sections 177 and 188 of Companies Act, 2013
where applicable and the details have been disclosed in the Financial Statements etc. as
required by the applicable accounting standards.
XIV. (a) In our opinion and based on our examination, the Company has an internal audit
system commensurate with the size and nature of its business.
(b) We have considered the internal audit reports of the Company issued till date, for
the period under audit.
XV. In our opinion and according to the information and explanations given to us, the
Company has not entered into any non-cash transactions with the directors or persons
connected with them covered under Section 192 of the Act. Accordingly, provisions of
clause3 (xv) of the order are not applicable.
XVI. (a) The Company is required to be registered under Section 45-IA of the RBI Act,
1934 and such registration has been obtained by the Company.
(b) The Company has not conducted any Non-Banking Financial or Housing Finance
activities without a valid Certificate of Registration from the RBI as per the RBI Act,
1934.
(c) The Company is not a Core Investment Company (CIC) as defined in the regulations
made by the RBI.
(d) According to the information and explanations provided to us during the course of
audit, the Group does not have any CIC. Accordingly, the requirements of clause 3(xvi)(d)
are not applicable.
XVII. The Company has not incurred cash losses in the financial year and in the
immediately preceding financial year. Accordingly, provisions of clause3 (xvii) of the
order are not applicable.
XVIII. There has been no resignation of the statutory auditors of the Company during
the year.
Accordingly, provisions of clause3 (xviii) of the order are not applicable.
X
IX. According to the information and explanations given to us and on the basis of the
financial ratios, ageing and expected dates of realization of financial assets and payment
of financial liabilities, other information accompanying the financial statements, 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. The provisions of Section 135 of the Companies Act, 2013 are not applicable to the
Company.
Accordingly, provision of clause 3(xx)(a) and (b) of the order is not applicable.
XXI. According to the information and explanations given to us, since the Company does
not have subsidiaries, associates or joint ventures. Accordingly, the provisions of clause
3(xxi) of the Order are not applicable.
|
For Khilnani & Associates |
|
Chartered Accountants |
Place: Jaipur |
|
Date: May 25, 2023 |
Sd/- |
|
K. K. Khilnani |
|
Partner |
|
M. No. : 072736 |
|
FRN. 005776C |
|
UDIN: 23072736BGUQTW5664 |
Annexure ‘B
REPORT ON INTERNAL FINANCIAL CONTROLS OVER FINANCIAL REPORTING
The Annexure referred to in paragraph 2(f) under the heading ‘Report on Other
Legal and Regulatory Requirements Section of our report of even date)
Independent Auditors Report on the Internal Financial Controls with reference to
financial statements under Clause (i) of Sub-Section 3 of Section 143 of the Companies
Act, 2013 ("the Act")
We have audited the internal financial controls with respect to IND-AS financial
statements of BFL Asset Finvest Limited (the "Company") as of 31 March
2023 in conjunction with our audit of the Ind AS 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 Act.
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 Act, 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
Ind AS 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 Ind AS 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 IND AS 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 IND AS 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 March 31, 2023 based on the
internal control over financial reporting criteria established by the Company considering
the essential components of internal control stated in the Guidance Note on Audit of
Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered
Accountants of India.
|
For Khilnani & Associates |
|
Chartered Accountants |
Place: Jaipur |
|
Date: May 25, 2023 |
Sd/- |
|
K. K. Khilnani |
|
Partner |
|
M. No. : 072736 |
|
FRN. 005776C |
|
UDIN: 23072736BGUQTW5664 |
+91-9892691696
