Geekay Wires Auditors Report


To

The Members of GEEKAY WIRES LIMITED,

Hyderabad.

Report on the Financial Statements Opinion

We have audited the accompanying Standalone Financial Statements of GEEKAY WIRES LIMITED ("the Company"), which comprise of the Balance Sheet as at 31st March 2023, the Statement of Profit and Loss Account, the Cash Flow Statement for the year then ended and a summary of 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 financial statements together with notes thereon and attached thereto, give the information required by the Act in the matter so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2023 and its profit 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 Standards are further described in the Auditors Responsibilities for the Audit of the 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 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.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the Standalone Financial Statements of the current period. These matters were addressed in the context of our audit of the Standalone 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

1. Evaluation of Contingent Liabilities:

Refer Note 11of Notes to accounts forming part of the Standalone Financial Statements Claims against the company not acknowledged as debts are disclosed in Notes to Accounts. The existence of the payments against these claims requires management judgment to ensure disclosure of most appropriate values of contingent liabilities. Auditors Response: Our audit procedures include, among others, assessing the

appropriateness of the managements judgment in estimating the value of claims against the company not acknowledged as debts as given in the Note 11of Notes to accounts.

2. Evaluation of Contingent Assets:

Refer Note 11 (B) of Notes to accounts forming part of the Standalone Financial Statements,. The company is having a pending case regarding recovery of Dues amounting to RS 98,91,556 from M/s Punjab State Forest Corporation. During the year company has submitted certificate claiming interest amounting to Rs 10324331 to be received as per the provisions of Clause Number 16 of Chapter V of MSME Act 2006.The same is not considered during the year as Contingent assets are not recognized in financial statements since this may result in the recognition of income that may never be realized. However, when the realization of income is virtually certain, then the related asset is not a contingent asset and its recognition is appropriate

Other Matter Para

1. It is to be noted that Fire broke out due to short circuit on 17/12/2022 at around 3.00 PM at factory premises situated at Sy No 288/A,1/2, 289/B, 290/A2,290/A % , 291/A1 and 300/C %, Shankarampet R village Shankarampet R Mandal - Medak -5002271.The fire was controlled without causing any damage to Plant & machinery and workers. However the finished goods were destroyed in the fire for which no coverage of insurance is available for the company. The stock worth 50,150,036.99 is destroyed in the fire for which estimated scrap value is Rs 20,341,755.00 and loss of Rs 2,98,08,282/- is reported as a separate line item under Exceptional item in profit and loss account statement

2. The Company has made an application under Advance Ruling on reversal of input tax credit of goods destroyed in fire. The outcome of the same is awaited .However there may be a liability regarding reversal of input tax credit amounting to Rs 35, 72,577/- based on the calculation, in which input tax credit availed on cost of production is reduced by GST payable on scrap sales to be realized. The same shall be concluded after the disposal of Advance Ruling petition by the Advance Ruling Authorities. The company has not made any provision as on balance sheet date, as the petition under Advance Ruling is not disposed of and the liability will be determined only on the outcome of the petition pending before the Advance Ruling Authority.

3. USA Department of commerce has initiated the Anti-dumping and Anti-subsidy case against the company on 11th feb2022 alleging that the company has exported goods in the USA at less than fair value. Company has responded to all the questionnaires received from the US Department of commerce and the same was ruled in the favor of the company during the year and the link of the general decision is

https://www.usitc.gov/press room/news release/2023/er0125 63446.htm

Information Other than the Standalone Financial Statements and Auditors Report Thereon

The Companys Board of Directors is responsible for the preparation of the other information. The other information comprises the information included in the Management Discussion and Analysis; Boards

Report including Annexure to Boards Report, Corporate Governance Report but does not include the Standalone 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 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 Financial Statements

The Companys Board of Directors are responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance of the Company in accordance with the accounting principles generally accepted in India, including Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts), Rules, 2014.

This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for 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 misstatements, whether due to fraud or error.

In preparing the Standalone Financial Statements, management is responsible for assessing the Companys ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors are also responsible for overseeing the Companys financial reporting process. Auditors Responsibility

Our objectives are to obtain reasonable 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 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 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 financial controls relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls system in place and the operating effectiveness of such controls.

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 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

As required by Section 143(3) of the Act, we report that:

01. As required by the Companies (Auditors Report) Order, 2020 ("the order") issued by the Central Government in terms of Section 143(11) of the Act, we give in the "Annexure A" a statement on the matters specified in paragraph 3 and 4 of the said order.

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

(i) 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;

(ii) In our opinion, proper books of accounts as required by law have been kept by the Company so far as it appears from our examination of those books;

(iii) The Balance Sheet, Profit and Loss Account and Cash flow Statement dealt with by this Report are in agreement with the books of account;

(iv) In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

(v) On the basis of written representations received from the directors, as on 31st March, 2023 and taken on record by the Board of Directors, we report that none of the directors are disqualified as on 31st March, 2023 from being appointed as a director in terms of section 164(2) of the Act.

(vi) 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".

(vii) 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:

a. The Company has disclosed the impact of pending litigations on its financial position in its financial statements.

b. The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses;

c. There were no pending amounts which were, required to be transferred to the Investor Education and Protection Fund by the Company.

d. (a) The Management has represented, that, to the best of their knowledge and belief, no funds (which are material either individually and in aggregate) have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company, to or in any other person or entity, including foreign entity ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, 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 their knowledge and belief, no funds (Which are material either individually or in 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 provided under

(a) and (b) above, contain any material misstatement.

e. The dividend declared and paid by the Company during the years is in according with section 123 of the Act.

For MM PALOD& CO.,
Chartered Accountants
Firm Regn.No.0060207S

Place: Hyderabad

Murali Manohar

Date: 26/06/2023

(Partner)

M.No -200858.

UDIN: 23200858GWUIY4602

ANNEXURE -A

COMPANIES AUDITORSORDER REPORT

(Referred to in paragraph 1 under Report on Other Legal and Regulatory Requirements of our Audit Report of even date to the members of M/s. GEEKAY WIRES LIMITED on the Financial Statements of the Company for the year ended on 31st March 2023)

In terms of Companies (Auditors Report) Order 2020, issued by the Central Government of India, in terms of section 143(11) of The Companies Act, 2013, we further report, on the matters specified in paragraph 3 and 4 of the said Order, that :-

1) a) The Company is maintaining proper records showing full particulars including quantitative details and situation of Property, Plant and Equipment on the basis of the information made available to us;

b) As explained to us, these Property, Plant and Equipment have been physically verified by the Management at reasonable intervals; and no material discrepancies were found on such verification.

c) According to the information and explanations given to us and on the basis of records examined by us, the title deeds of the immovable properties are held in the name of the Company.

d) The company has not revalued its Property Plant and equipment or Intangible assets during the year.

e) No proceedings have been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder

ITEM

CATE

GORY

DESCRIPTI

ON

SURVEY NO COST AS PER SALES DEED GROSS

CARRYING

VALUE

TITLE DEEDS IN THE NAME OF TITLE

DEED

HOLDER

IS

PROMO

TER,

DIRECTO R OR RELATIV E OF PROMO TER / DIRECTO ROR

EMPLOY EE OF PROMO TER/DIR ECTOR

PROPERTY HELD SINCE WHICH DATE REASO N FOR NOT BEING HELD IN THE NAME OF

COMP ANY (ALSO INDICA TE IF IN DISPUT E)

PPE

LAND

1)MUPPIR EDDYPALL Y LAND TSIIC Plot No. E166 to E183 and E140 & E141 10,536,046 10,536,046 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

31.07.2018 NA

2) LAND-

PATANCH

ERU

300/A 70,180 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

07-Dec-18 NA
PLOT NO 4 & 5 IN SY NO 286,287 789,620 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

03-Feb-17 NA
PLOT NO 1 IN SY NO 300/A 310,500 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

03-Feb-17 NA
1,170,300 1,170,300
3)LAND

AT

288,289,2 90,300 AT SHANKAR AMPET

300/EE1/2,290/

A2,288/A1/2,28

9/AA,290/A1/2,

291/A1,288/A2,

Shankarampet

8,560,970 8,560,970 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

19-Jan-18 NA
4)LAND 297/A, 297/AA & PLOT NO 7 & 8 IN SY NO 286,287 661,500 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

14.02.2008 NA
296

Isnapoor

Village

PLOT NO 3 IN SY NO 286,287 345,000 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

08.03.2007 NA
PLOT NO 2 IN SY NO 286,287 345,000 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

16.06.2016 NA
SY NO 297 /A 297 AA 12,000,000 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

12.12.2012 NA
REVALUATION

2006-07

44,246,224 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

NA
57,597,724 57,597,724
TOTAL LAND VALUE 77,865,040 77,865,040
BUILD

ING

1)OTHER

FACTORY

BUILDING

CONSTRU

CTED

86,158,076 86,158,076 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

1)

Divyashak

ti,

FLAT NO 1-6106TH FLOOR 195,000 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

25.01.1995 NA

INVES

TMEN

T

BUILD

ING

Ameerpet FLAT NO 1-6096TH FLOOR 196,000 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

25.01.1995 NA

PROP

ERTY

REVALUATION-

2006-07

2,893,600 GEEKAY

WIRES

LIMITED

GEEKAY

WIRES

LIMITED

25.01.1995 NA
3,284,600 3,284,600
TOTAL BUILDING VALUE 89,442,676 89,442,676

NON

CURR

ENTA

SSETS

HELD

FOR

SALE

-NA- -NA -NA- -NA- -NA- -NA- -NA- -NA- -NA-

OTHE

RS

-NA- -NA- -NA- -NA- -NA- -NA- -NA- -NA- -NA-

2) a) In our opinion, the inventories have been physically verified during the year by the

Management at reasonable intervals and as explained to us no material discrepancies were noticed on physical verification.

b) Quarterly returns or statements filed by the company with financial institutions or banks are in agreement with the books of account of the Company.

3) (a) In our opinion and according to the information provided to us the company has made

investments as follows . However the company has not provided any guarantees and granted unsecured loans or advances in the nature of loans as specified below:

(A) Investments in Subsidiaries, Joint Ventures, Associates: (Amount in Rs.)

Nature

Aggregate amount during the year Balance outstanding as on 31.03.2023

Investments

Nil Nil

(B) Investments to other than Subsidiaries, Joint Ventures and Associates:

Nature

Aggregate amount during the year Balance outstanding as on 31.03.2023

Investments

28018500 28018500

(b) The terms and conditions of investments made, are not prejudicial to the interest of the company.

(c) Since the company has not given any loans and advances the clause (c ) to (f ) are not applicable.

4) In our opinion and according to the information and explanation given to us, the Company has complied with section 186 of companies act 2013 in respect of investments during the year. However the company has not provided any loans nor any guarantees and securities, as per the provisions of Section 185 of the companies act 2013.

5) The Company has not accepted any deposits from the public during the year. Hence Clause 3(v) of the Order is not applicable.

6) Maintenance of cost records has been specified by the Central Government under sub-section (1) of Section 148 of the Companies Act. However, the management explained that the information relating to cost data is available from the existing records maintained by the company.

7)

(a) According to the information and explanations given to us, and the records of the Company examined by us, in our opinion, the Company is generally regular in depositing the undisputed statutory dues including Goods and service tax, provident fund, employees state insurance, income tax, sales tax, wealth tax, service tax, duty of customs, duty of excise, value added tax, Goods and Service Tax, cess and any other statutory dues as applicable with the appropriate authorities. There are no arrears of undisputed statutory dues outstanding as at March 31, 2023 for a period of more than six months from the date they become payable.

(b) According to the information and explanations given to us, and the records of the Company examined by us, there are No dues of statutory dues referred to in sub-clause (a) which have not been deposited on account of any dispute

7) There are no transactions which are not recorded in the accounts and have been disclosed or surrendered before the tax authorities as income during the year.

8) a) In our opinion and according to the information and explanations given to us, the Company has not defaulted in repayment of loans or other borrowings or in the payment of interest thereon to any lender.

b) The company has not been declared a willful defaulter by any Bank or financial institution or any other lender.

c) Term loans been used for the object for which they were obtained.

d) The company has not used funds raised for a short term basis for long term purposes

e) The company does not have associate or subsidiaries or joint ventures, hence the clause is not applicable.

f) The company does not have associate or subsidiaries or joint ventures, hence the clause is not applicable.

9) a) The company has not raised funds by way of Initial Public offer or Further Public offer (including debt Instruments) during the year and has been applied for the purpose of which those are raised.

b) The company has not made any private placement or preferential allotment of shares or convertible debentures (fully, partially or optionally convertible) during the year, whether the same is in accordance with section 42 and section 62 of the Companies Act, 2013.

10) a) 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 course of our audit.

b) During the year, no report under sub-section (12) of section 143 of the Companies Act, 2013 has been filed by cost auditor/ secretarial auditor or by us in Form ADT - 4 as prescribed under Rule 13 of Companies (Audit and Auditors) Rules, 2014 with the Central Government.

c) There is no receipt of whistle-blower complaints; hence the clause is not applicable whether the complaints have been considered by the auditor.

11) In our opinion and according to the information and explanation given to us, the Company is not a Nidhi Company. Accordingly, Paragraph 3(xii) of the Order is not applicable.

12) According to the information and explanations given to us based on our examination of the records of the Company, transactions with the related parties are in compliance with Sections 177 & 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.

13) a) The company have an internal audit system in accordance with its size and business activities. b) The reports of the internal auditors have been considered by the Statutory auditor.

14) According to the information and explanations given to us and based on the examination of the records of the Company, the Company has not entered into non- cash transaction with directors or persons connected with him. Accordingly, paragraph 3(xv) of the Order is not applicable

15) a) In our opinion and according to the information and explanations provided to us, the Company is not required to be registered under section 45-IA of the Reserve Bank of India Act 1934.Accordingly, paragraph 3(xvi) of the Order is not applicable.

b) The company has not carried on any Non-Banking Financial or Housing Finance activities (NBFC or HFC) without having a valid registration certificate from RBI.

c) The company is not a core Investment Company and hence clause is not applicable

d) The company is not a core Investment Company and hence clause is not applicable

16) The company has not incurred any cash losses in the financial year and the immediately preceding financial year; hence the clause is not applicable.

17) There has been no resignation of statutory auditors during the year hence the clause is not applicable.

18) There is no Existence of any material uncertainty on the date of the audit report on the basis of the ageing report, financial ratios and expected dates of realization of financial assets and payment of financial liabilities, any other information accompanying the financial statements, in the auditors knowledge of the Board of Directors and management plan and the company can meet its the liabilities which exist as at the balance sheet date when such liabilities are due in the future.

19) (a) whether in respect of other than ongoing projects, the company has transferred the unspent amount to a Fund specified in Schedule VII to the Companies Act within a period of 6 months from the expiry of the financial year in compliance with second proviso to sub-section (5) of section 135 of the said act- no unspent amount hence clause is not applicable.

(b) Yes the company has transferred and deposited the amount which remains unspent under subsection (5) of section 135 of the companies act, pursuant to ongoing project , to a special account in accordance with provisions of section 135 (6) of the Companies Act, 2013.

In respect of ongoing projects, the Company has not transferred the unspent CSR amount as at the Balance Sheet date out of the amounts that was required to be spent during the year, to a Special Account in compliance with the provision of subsection (6) of section 135 of the said Act till the date of our report since the time period for such transfer i.e. 30 days from the end of the financial year has not elapsed till the date of our report.

For MM PALOD& CO.,
Chartered Accountants
Firm Regn.No.0060207S

Place: Hyderabad

Murali Manohar

Date: 26/06/2023

(Partner)

M.No -200858

ANNEXURE - B TO AUDITORS REPORT

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Act")

Opinion:

We have audited the internal financial controls over financial reporting of GEEKAY WIRES LIMITED ("the Company") as of 31st March, 2023 in conjunction with our audit of the financial statements of the Company for the year ended on that date.

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, 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 issued by the Institute of Chartered Accountants of India.

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 (ICAI). 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

For MM PALOD& CO.,
Chartered Accountants
Firm Regn.No.0060207S

Place: Hyderabad

Murali Manohar

Date: 26/06/2023

(Partner)
M.No -200858

22. Previous Year figures have been regrouped wherever necessary to confirm to the current year classification and figure are presented to the nearest rupee value.

OUR REPORT OF EVEN DATE ATTACHED

For M.M.PALOD& CO.,

FOR AND ON BEHALF OF THE BOARD

Chartered Accountants,

FRN.0060207S

Sd/-
GhanshyamDass
Chairman & Managing Director

Sd/-

DIN:01539152

(MuraliManohar)

Partner

M.No.200858

Sd/-
Abhijit Patki
CFO

Place: Hyderabad Date: 26/06/2022

Sd/-
Sanjay Kumar Prajapati
Company Secretary &Compliance Officer