TO THE MEMBERS OF M/S. DAULAT SECURITIES LIMITED
Report on Financial Statements
Opinion
We have audited the accompanying standalone financial statement of M/s. DAULAT
SECURITIES LIMITED, which comprises the Balance sheet as at 31st March, 2023, and the
Statement of Profit / Loss account (Including Other Comprehensive Income), the statement
of changes of Equity and the statement of Cash Flows for the year then ended on that date
and a summary of 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, the 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 Indian accounting standards prescribed under section 133
of the companies Act read with the Companies (Indian Accounting standard) Rules 2015, as
amended, ( "Ind As") and other accounting principles generally accepted in
India, of the state of affairs of the company as on 31st March 2023, the
Profit/Loss, total Comprehensive Income, changes in equity and its cash flows for the year
ended on that date.
Basis for Opinion
We have conducted our audit in accordance with the Standards on Auditing specified
under section 143(10) of the Companies Act, 2013. Our responsibilities under those
standards are further described in the Auditors Responsibilities for the Audit of
standalone Financial Statements section of our report. We are independent of the
Company in accordance with the Code of Ethics issued by Institute of Chartered Accountants
of India together with ethical requirements that are relevant to our audit of standalone
financial statement under the provisions of Companies Act, 2013 and rules made thereunder,
and we have fulfilled our other ethical responsibilities in accordance with these
requirements and ICAIs code of ethics. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our opinion.
Key Audit Matters
Key Audit Matters are those matters that in our Professional Judgement 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. These matters were
addressed in the context of Our Audit of the financial statements as a whole, and
informing our opinion thereon, and we do not provide a separate opinion on these matters.
1) Classification and measurement of financial assets -
Business model assessment
Ind AS 109, Financial Instruments, contains three principal measurement categories for
financial assets i.e.:
• Amortized cost;
• Fair Value through Other Comprehensive Income (‘FVOCI); and
• Fair Value through Profit and Loss (‘FVTPL).
A financial asset is classified into a measurement category at inception and is
reclassified only in rare circumstances. The assessment as to how an asset should be
classified is made on the basis of both the Groups business model for managing the
financial as set and the contractual cash flow characteristics of the financial asset.
The term ‘business model refers to the way in which the Group manages its
financial assets in order to generate cash flows. That is, the Groups business model
determines whether cash flows will result from collecting contractual cash flows, selling
the fina ncial assets or both.
Amortized cost classification and measurement category is met if the financial asset is
held within a business model whose objective is to hold financial assets in order to
collect contractual cash flows.
FVOCI classification and measurement category is met if the financial asset is held in
a business model in which assets are managed both in order to collect contractual cash
flows and for sale. Such financial assets are subsequently measured at fair value, with
changes in fair value recognized in other comprehensive income.
FVTPL classification and measurement category is met if the financial asset does not
meet the criteria for classification and measurement at amortized cost or at FVOCI. Such
financial assets are subsequently measured at fair value, with changes in fair value
recognized in profit or loss.
Key audit procedures included:
Design / controls
• Assessing the design, implementation and operating effectiveness of key internal
controls over managements intent of purch asing a financial asset and the approval
mechanism for such stated intent and classification of such financial assets on the basis
of managements intent (business model).
• For financial assets classified at amortized cost, we tested controls over the
classification of such assets and subsequent measurement of assets at amortized cost.
Further, we tested key internal controls over monitoring of such financial assets to check
whether there have been any subsequent sales of financial assets classified at amortized
cost.
• For financial assets classified at FVOCI, we tested controls over the
classification of such assets and subsequent measurement of assets at fair value.
2) Recognition and measurement of impairment of loans and advances involve significant
management judgment
With the applicability of Ind AS 109 credit loss assessment is now based on expected
credit loss (‘ECL) model. The Groups impairment allowance is derived from estimates
including the historical default and loss ratios. Management exercises judgments in
determining the quantum of loss based on a range of factors.
The most significant areas are:
• Segmentation of loan book
• Loan staging criteria
• Calculation of probability of default / Loss given default
• Consideration of probability weighted scenarios and forward looking
macro-economic factors.
Key audit procedures included:
Design / controls
• Assessing the design and implementation of key internal financial controls over
loan impairment process used to c alculate the impairment charge
• We used our modeling specialist to test the model methodology and reasonableness
of assumptions used.
• Testing of management review controls over measurement of impairment allowances
and disclosures in the consolidated financial statements.
Substantive tests
• We focused on appropriate application of accounting principles, validating
completeness and accuracy of the data and reasonableness of assumptions used in the model.
• Appropriateness of managements judgments was also independently reconsidered in
respect of calculation methodologies, segmentation, economic factors, the period of
historical loss rates used, loss emergence periods and the valuation of recovery assets
and collateral.
Responsibility of Management and Those Charged with Governance for the Financial
Statements
The Companys Board of Directors is responsible for the matters stated in Section
134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation
and presentation of these financial statements that give a true and fair view of the
financial position and financial performance, total comprehensive Income, changes in
equity and cash flow of the company in accordance with the Ind 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 financial statements that give a true and fair view
and are free from material misstatement, whether due to fraud or error.
In preparing the 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 tends to liquidate the company or to cease operations or has no
realistic alternative to do so.
Those Board of Directors are also responsible for overseeing the companys financial
reporting process.
Auditors Responsibility for the Audit of Financial Statement.
Our objectives are to obtain reasonable audit assurance about whether the 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 is 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 be reasonably be expected to influence the economic decisions of the user taken on
the basis of these financial statements. A further description of the auditors
responsibilities for the audit of the financial statements is included in Annexure A. This
descr iption forms part of our Audit Report
As a part of an audit in accordance with the SAs, we exercise professional judgment and
maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the 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 detecting a material misstatement resulting from fraud
is higher than for one resulting from error, a fraud may involve collusion, forgery,
intentional omissions, misrepresentations, or the override of internal control
• Obtaining 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 systems 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 on the managements use of the going concern
basis of accounting and, base d 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 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 Rep ort. 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 financial
statements, including the disclosures, and whether the financial statements represent the
underlying transactions and events in the 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 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 the 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 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 Accounts including other
comprehensive Income, Statement of Changes of Equity and statement of 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 Ind AS specified
under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014;
(e) On the basis of the written representations received from the directors as on 31
March 2023 and taken on record by the Board of Directors, none of the directors is
disqualified as on 31 March 2023 from being appointed as a director in terms of Section
164 (2) of the Act;
(f) With respect to report on the adequacy of the Internal Financial Control over
financial reporting of the Company and the operating effectiveness of such controls, refer
to our Separate report in "Annexure -B".
(g) With respect to the matters to be included in the Auditorss 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 explanation
given to us, the remuneration paid by the Company to its director during the Year is in
accordance with the Provisions of Section 197 of the Act.
(h) With respect to the other matters to be included in the Auditors Report in
accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion
and to the best of our information and according to the explanations given to us:
i. The Company does not have any pending litigations on its financial position in its
financial statements.
ii. The Company does not have any material foreseeable losses.
iii. The Company does not require to transfer any amount to the Investor Education and
Protection Fund.
iv. The Management has represented, that to the best of their knowledge and belief no
fund (which are material either individually or in aggregate) have been advances 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, 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.
v. The Management has represented, that to the best of their knowledge and belief no
fund (which are material either individually or in aggregate) have been received by the
company from any person or entity, including foreign entities ("funding
parties") wit h 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.
vi. Based on the Audit procedures performed that have been considered reasonable or
appropriate in the circumstances, nothing has came to our notice that has caused us to
believe that the representation under Sub Clause (i) and (ii) of rule 11(e) as provided
under (iv) and (v) above, contain material misstatement.
vii. The Company has not declared any dividend during the Year.
For, P. D. Randar & Co.
Chartered Accountants
Sd-Kriti Agarwal
Kriti Agarwal Partner
Firm Registration No. 319295E
Membership No. 302753
UDIN: 23302753BGZLHN9098
Place: Kolkata
Date:- 30.05.2023
2. As required by the Companies (Auditors Report ) order 2020 ("the order")
issued by the central Government in term of Sect ion 143(11) issued by the central
Government in term of section 143(11) of the Act, we give in "Annexure B" a
statement on the matters specified in paragraphs 3 and 4 of the Order.
ANNEXURE ‘A TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 2 under ‘Report on Other Legal and Regulatory
Requirements section of our report to the Members of M/s. Daulat Securities Limited of
even date)
The Annexure referred to in our Independent Auditors Report to the members of the
Company on the financial statements for the year ended 31stMarch 2023, we
report that:
1. In respect of the Companys Property, Plant and Equipment and Intangible Assets:
a. The Company has maintained proper records showing full particulars, including
quantitative details and situation of Property, Plant and Equipment and relevant details
of right-of-use-assets. The Company does not have any intangible assets.
b. According to the information and explanations given to us, the management at
reasonable intervals has physically verified the Assets and no discrepancies were noticed.
c. Based on our examination of the property tax receipts we report that the title deeds
of all other immovable properties disclosed in the financial statements included under
Property, Plant and Equipment are held in the name of the Company as at the balance sheet
date.
d. The Company has not revalued any of its Property, Plant and Equipment (including
right-of-use of assets) and intangible assets during the year.
e. 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 Transcations
(prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.
2. In respect of Inventories
a. According to the information and explanation given to us, physical verification of
Inventory has been conducted at reasonable intervals by the Management and in our opinion
the coverage and procedure of such verification is appropriate. Further No discrepancies
were notice by the auditor.
b. The Company has not been sanctioned working capital limits in excess of Rs.5 Crore,
in aggregate, at any points of time during the year, from banks or financial institutions
on the basis of security of current assets and hence reporting under clause 3(ii)(b) of
the Order is not applicable.
3. The Company has made investment in, companies, firms, Limited Liability
Partnerships, and granted unsecured loans to other parties, during the year, in respect of
which:
a. A. The Company has not given loans or advances in the nature of Loan to
subsidiaries, Joint Ventures and Associates.
B. The aggregate amount of loans or advances in the nature of Loans or security other
than (A) is as follows: -
| Aggregate Amount of Loans disbursed during the Year (Rs.) |
Aggregated Amount of Loans in the Nature of Advances disbursed
during the Year (Rs.) |
Balance Outstanding as on 31.03.2023 (Rs.) |
Value of Security Provided (Rs.) |
| 72,00,000/- |
NIL |
2,42,06,990/- |
NIL |
b. In our opinion, the Investments made and the terms and conditions of the grant of
loans, during the year are prima facie, not prejudicial to the Companys interest.
c. In respect of loans or advances in the nature of loans granted by the Company the
terms and conditions do not stipulate any repayment schedule.
d. In respect of loans or advances in the nature of loans granted by the Company, there
is no overdue amount remaining outstanding as at the balance sheet date.
e. No loans or advances in the nature of loans granted by the Company which has fallen
due during the year, has been renewed or extended or fresh loans granted to settle the
overdue of existing loans given to the same parties.
f. The Company has granted loans or advances in nature of loans, Unsecured, to
companies, firms, Limited liability Partnerships or any other parties which are repayable
on demand or are without specifying any terms or period of repayment and the details of
such loans or advances in nature of loan are being furnished hereinafter.
Loans repayable on demand or without specifying any terms or period of repayment
| Aggregate Loans or advances repayable on demand (Rs.) |
% of total Loans or advances |
Aggregate Loans granted to Promoters , related parties as defined in
clause 2(76) of the Companies Act 2013 (Rs.) |
| 72,00,000/- |
100% |
- |
The company has complied with the Provisions of Section 185 and 186 of the Companies
Act, 2013.
5. The company has not accepted any deposits or amounts which are deemed to be
deposits. Hence reporting under clause 3(v) of the Order is not applicable.
6. The maintenance of cost records has not been specified by the Central Government
under sub-section (1) of section 148 of the Companies Act, 2013 for the business
activities carried out by the Company. Hence, reporting under clause (vi) of the Order is
not Applicable to the Company.
7. a. According to the information and explanations given to us and on the basis of our
examination of the records of the Company, amounts deducted/ accrued in the books of
account in respect of undisputed statutory dues including provident fund, income tax,
sales tax, wealth tax, service tax, duty of customs, value added tax, cess and other
material statutory dues have been regularly deposited during the year by the Company with
the appropriate authorities. As explained to us, the Company did not have any dues on
account of employees state insurance and duty of excise.
b. According to the information and explanations given to us, no undisputed amounts
payable in respect of provident fund, income tax, sales tax, wealth tax, service tax, duty
of customs, value added tax, cess and other material statutory dues were in arrears as at
31st March 2023 for a period of more than six months from the date they became payable.
8. 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).
9. a. The Company has taken Auto Loan from HDFC Bank. The Company has not defaulted in
repayment or principal as well as Interest.
b. The company has not been declared wilful defaulter by any bank or financial
institution or government or any government authority.
c. The Company has not taken any term loan during the year and there are no outstanding
terms loans at the beginning of the year and hence, reporting under clause 3(ix)(c) of the
Order is not applicable.
d. On an overall examination of the financial statements of the Company that no funds
are raised during the year for long term purposes by the Company.
e. On an overall examination of the financial statements of the Company, the Company
has not taken any funds from any entity or person on account of or to meet the obligations
to its subsidiaries.
f. The Company has not raised any loans during the year and hence reporting on clause
3(ix)(f) of the Order is not applicable.
10. a. The Company has not raised moneys 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.
b. During the year, the Company has not made any preferential allotment or private
placement of shares or convertible debentures (fully or partly or optionally) and hence
reporting under clause 3(x)(b) of the Order is not applicable.
11. a. No fraud by the Company and no material fraud of 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
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 the report.
12. The Company is not a Nidhi Company and hence reporting under clause (xii) of the
Order is not applicable.
13. In our opinion, the Company is in compliance with Section 177 and 188 of the
Companies Act, 2013 with respect to applicable transactions with the related parties and
the details of related party transactions have been disclosed in the financial statements
as required by the applicable accounting standard.
14. a. In our opinion the Company has an adequate internal audit system commensurate
with the size and the nature of its business.
b. we have considered, the internal audit reports for the year under audit, issued to
the Company during the year and till date, in determining the nature, timing and extent of
our audit procedures.
15. In our opinion during the year the Company has not entered into any non-cash
transactions with its Directors or persons connected with its directors and hence
provisions of section 192 of the Company Act, 2013 are not applicable to the Company.
16. a. The Company is not required to be registered under section 45-IA of the Reserve
Bank of India Act, 1934. Accordingly clause 3(xvi)(a) of the Order is not applicable to
the company.
b. The Company has not conducted any Non- Banking Financial or Housing Finance
activities during the year which requires Certificate of Registration (COR) from the
Reserve Bank Of India Accordingly clause 3(xvi) (b) of the Order is not applicable to the
Company.
c. The Company is not a Core Investment Company (CIC) as defined in the regulations
made by the Reserve Bank Of India . Accordingly clause 3(xvi) of the Order is not
applicable to the Company.
d. According to the information and explanations provided to us during the course of
audit the Group (as per the provisions of the Core Investment Companies (Reserve Bank)
Directions 2016) does not have any CIC.
17. The company has not incurred cash losses during the financial year covered by our
audit and the immediately preceding financial year.
18. There has been no resignation of the statutory auditors of the Company during the
year.
19. 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 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 be believe that any material uncertainty exists as on
the date of audit report indicating that Company is not capable of the 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.
20. The provision of Corporate Social responsibility (CSR) is not applicable under the
provision of section 135(6) of the Act. Accordingly clause 3(xx) (a) and 3 (xx)(b) of the
Order is not applicable to the Company.
For, P. D. Randar & Co.
Chartered Accountants
Sd-Kriti Agarwal
Kriti Agarwal Partner
Firm Registration No. 319295E
Membership No. 302753
UDIN: 23302753BGZLHN9098
Place: Kolkata
Date:- 30.05.2023
21. The Company is not required to prepare consolidated financial statement under the
provisions of the Act. Accordingly clause 3(xxi) of the Order is not applicable to the
Company.
(Referred to in paragraph 1(f) under ‘Report on Other Legal and Regulatory
Requirements section of our report to the Members of Daulat Securities Limited of even
date)
Report on the Internal Financial Controls Over Financial Reporting 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 Daulat
Securities Limited ("the Company") as of March 31, 2023 in conjunction with
our audit of the standalone financial statements of the Company for the year ended on that
date.
Managements Responsibility for Internal Financial Controls
The Board of Directors of the Company 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, 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 internal financial controls over
financial reporting of the Company 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") issued by the Institute of Chartered Accountants
of India and the Standards on Auditing prescribed under Section 143(10) of the Companies
Act, 2013, to the extent applicable to an audit of internal financial controls. 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 judgement, 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 authorisations 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 Limitation 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 to be detected.
Also, projections of any evaluation of the internal financial controls 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 control system over financial reporting and such internal financial controls
system over financial reporting were operating effectively as on 31 March,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, P. D. Randar & Co.
Chartered Accountants
Sd-Kriti Agarwal
Kriti Agarwal Partner
Firm Registration No. 319295E
Membership No. 302753
UDIN: 23302753BGZLHN9098
Place: Kolkata
Date:- 30.05.2023
+91-9892691696
