TO THE MEMBERS OF GTV ENGINEERING LTD.
Report on the Audit of the Standalone Financial Statements Opinion
We have audited the accompanying standalone financial statements of GTV Engineering
Limited (“the Company”), which comprise the Balance Sheet as at March 31,
2023, the Statement of Profit and Loss and Cash Flow Statement for the year 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 aforesaid standalone financial statements give the information required
by the Companies Act, 2013 (“the Act”) in the manner so required and give a true
and fair view in conformity with the Accounting Standards prescribed under section 133 of
the Act and other accounting principles generally accepted in India, of the state of
affairs of the Company as at 31st March, 2023, and its profits 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 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 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 Act 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 audit opinion on the standalone financial statements.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most
significance in our audit of the financial statements of the current period. These matters
were addressed in the context of our audit of the financial statements as a whole, and in
forming our opinion thereon, and we do not provide a separate opinion on these matters.
We have determined that there are no key audit matters to communicate in our report.
Information Other than the Standalone Financial Statements & 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 Annexures to Boards Report, Business
Responsibility Report, Corporate Governance and Shareholders Information, 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 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 of
these standalone 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 statements that give a true and fair view
and are free from material misstatement, whether due to fraud or error.
In preparing the standalone financial statements, management is responsible for
assessing the Companys ability to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern basis of accounting unless
management either intends to liquidate the Company or to cease operations, or has no
realistic alternative but to do so.
The Board of Directors are also responsible for overseeing the Companys financial
reporting process. Auditors Responsibility for the Audit of the Financial Statements
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 financial
statements, whether due to fraud or error, design and perform audkq*$tg^ures responsive to
those risks, and obtain audit evidence that is sufficient and appropi^fertc3~pKmts(e a
basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud is higher than for one resulting
from error, as fraud may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to
design audit procedures that are appropriate in the circumstances. Under section 143(3)(i)
of the Companies Act. 2013, we are also responsible for expressing our opinion on whether
the company has adequate internal financial controls 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 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 financial
statements, including the disclosures, and whether the financial statements represent the
underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statements
that, individually or in aggregate, makes it probable that the economic decisions of a
reasonably knowledgeable user of the financial statements may be influenced. We consider
quantitative materiality and qualitative factors in (i) planning the scope of our audit
wrnrk and in evaluating the results of our work; and (ii) to evaluate the effect of any
identified misstatements in the 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 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, and the Cash Flow Statement
dealt with by this Report are in agree^in^wfth the books of account.
d. In our opinion, the aforesaid standalone financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with relevant rule
issued thereunder.
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 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 A”. 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 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 which would impact its financial
position.
ii. The Company has made provision, as required under the applicable law or accounting
standards, for material foreseeable losses, if any, and as required on long-term contracts
including derivative contracts.
iii. There were no amounts which were required to be transferred to Investor Education
& Protection fund by the company.
2. As required by the Companies (Auditors Report) Order 2016 (“The Order”)
issued by the Central Government of India in terms of Sub Section 11 of Section 143 (3) of
the Act, We give in the “Annexure B” statement on the matters specified in the
Paragraph 3 & 4 of the order to the extent applicable .
| Place: Bhopal |
For RATH DINESH & ASSOCIATES |
| Date:29th May 2023 |
Chartered Accountants |
|
FRN: 008344C |
|
Ajay Rath |
|
(Partner) |
|
M.No.075111 |
|
UDIN-23075111BGWOUU2953 |
Annexure- A to the Independent Auditors Report of even date on the Standalone
financial statement of GTV Engineering Limited
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section
143 of the Companies Act, 2013 (“the Act”)
We have audited the internal financial controls over financial reporting of GTV
Engineering Limited (“the Company”) as of 31 March 2023 in conjunction with
our audit of the standalone financial statements of the Company for the year ended on 31st
March 2023.
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 etTor.
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 unauthorised acquisition, use, or disposition of the
companys assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
Because of the inherent limitations of internal financial controls over financial
reporting, including the possibility of collusion or improper management override of
controls, material misstatements due to error or fraud may occur and not be detected.
Also, projections of any evaluation of the internal financial controls over financial
reporting to future periods are subject to the risk that the internal financial control
over financial reporting may become inadequate because of changes in conditions, or that
the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal
financial controls system over financial reporting and such internal financial controls
over financial reporting were operating effectively as at 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.
ANNEXURE- A TO THE AUDITORS REPORT
The Annexure referred to in our Independent Auditors report to the members of the
company on the Standalone Financial Statements for the year ended 31st March
2023 we report that
(i) (a) The Company has maintained proper records showing full particulars including
quantitative details and situation of fixed assets.
(b) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the Company has a regular programme of physical
verification of its property, plant and equipment by which all property, plant
andequipment are verified in a phased manner over a period of one years. In accordance
with this programme, property, plant and equipment were verified during the year. In our
opinion, this periodicity of physical verification is reasonable having regard to the
sizeof the Company and the nature of its assets. No material discrepancies were noticed on
such verification.
(c) According to the information and explanations given to us and on the basis of our
examination of records of the company, the registered title deeds of immovable property
provided to us, we report that the titles are held in name of the company.
Description of property |
Gross carrying value |
Held in name of |
Whether promoter, director or their relative or employee |
Period held - indicate range, where appropriate |
Reason for not being held in name of company* |
- |
|
- |
- |
- |
|
(d) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the Company has not revalued its property,
plant and equipment (including right of use assets) or intangible assets or both during
the year.
(e) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, there are no proceedings initiated or pending
against the Company for holding any benami property under the Prohibition of Benami
Property Transactions Act, 1988 and rules made thereunder.
(ii) (a) The physical verification of inventory has been conducted at reasonable
intervals by the management and in our opinion, the coverage and procedure of such
verification by the management is appropriate . As informed to us no discrepancies in any
class of inventory were noticed .
(b) During the year, the company has been sanctioned working capital limits aggregating
more than Rs 5 Crores from bank , on the basis of security of current assets, the
quarterly returns or statements filed by the company with such banks are in agreement with
the books of account of the Company .
(iii) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the Company has made investments in its
associate company of Rs. 8.95 crores. The company has not granted any loans or advances in
the nature of loans, secured or unsecured, to companies, firms, Limited Liability
Partnerships or any other parties.
(a) According to the information and explanations given to us and on the basis of our
examination of the records of the Company during the year the company has not provided
loans or provided advances in the nature of loans, or stood guarantee, or provided
security to any other entity .
(A) the aggregate amount during the year, and balance outstanding at the balance sheet
date with respect to such loans or advances and guarantees or security to subsidiaries,
joint ventures and associates- Nil
(B) the aggregate amount during the year, and balance outstanding at the balance sheet
date with respect to such loans or advances and guarantees or security to parties other
than subsidiaries, joint ventures- Nil
(b) whether the investments made, guarantees provided, security given and the terms and
conditions of the grant of all loans and advances in the nature of loans and guarantees
provided are not prejudicial to the companys interest- Not Applicable
(c) in respect of loans and advances in the nature of loans, whether the schedule of
repayment of principal and payment of interest has been stipulated and whether the
repayments or receipts are regular - Not applicable
(d) if the amount is overdue, state the total amount overdue for more than ninety days,
and whether reasonable steps have been taken by the company for recovery of the principal
and interest - Not applicable
(e) whether any loan or advance in the nature of loan granted which has fallen due
during the year, has been renewed or extended or fresh loans granted to settle the over
dues of existing loans given to the same parties, if so, specify the aggregate amount of
such dues renewed or extended or settled by fresh loans and the percentage of the
aggregate to the total loans or advances in the nature of loans granted during the year -
Not Applicable
(f) whether the company has granted any loans or advances in the nature of loans either
repayable on demand or without specifying any terms or period of repayment, if so, specify
the aggregate amount, percentage thereof to the total loans granted, aggregate amount of
loans granted to Promoters, related parties as defined in clause (76) of section 2 of the
Companies Act, 2013 - Not applicable
(iv) In our opinion and according to the information and explanations given to us, the
company has complied with the requirements of section 185 & 186 of the act, with
respect to loans & investments made.
(v) According to the information and explanations given to us, the company has not
accepted any deposits which are deemed as deposit from the Public during the year under
audit. Accordingly, clause 3(v) of the Order is not applicable
(vi) The provisions of maintenance of cost records under section 148 (1) of the
Companies Act, 2013 are applicable to the company and necessary cost records are
maintained by the company.
(vii) (a) The company is regular in depositing with appropriate authorities undisputed
statutory dues including provident fund, income tax, Goods and Service Tax, custom duty,
excise duty, cess and other material statutory dues applicable to it. According to the
information and explanations given to us, no undisputed amounts payable in respect of the
above were in arrears as at March 31, 2023 for a period of more than six months from the
date on when they become payable.
(b) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, in our opinion amounts deducted / accrued in
the books of account in respect of undisputed statutory dues including GST, Provident
fund, Employees State Insurance, Income-Tax, Duty of Customs, Cess and other
statutorydues have been regularly deposited by the Company with the appropriate
authorities;
According to the information and explanations given to us and on the basis of our
examination of the records of the Company, no undisputed amounts payable in respect of
GST, Provident fund, Employees State Insurance, Income-Tax, Duty of Customs, Cess and
other statutory dues were in arrears as at 31 March 2023 for a period of more than six
months from the date they became payable.
(viii) According to the information and explanations given to us and on the basis of
our examination of the records of the Company, the Company has not surrendered or
disclosed any transactions, previously unrecorded as income in the books of account, in
the tax assessments under the IncomeTax Act, 1961 as income during the year.
(ix) (a) According to the information and explanations given to us and on the basis of
our
examination of the records of the Company, the Company has not defaulted in the
repayment of loans or borrowings or in the payment of interest thereon to any lender.
Nature of borrowing, including debt securities |
Name of lender* |
Amount not paid on due date |
Whether principal or interest |
No. of days delay or unpaid |
Remarks, if any |
Not Applicable as the company is regular in payment
of Installments and interest |
(b) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the Company has not been declared a willful
defaulter by any bank or financial institution or government or government authority.
(c) In our opinion and according to the information and explanation given to us by the
management, the has not availed any term loans during the year .
(d) According to the information and explanations given to us and on an overall
examination of the balance sheet of the Company, we report that no funds raised shortterm
basis have been used for long-term purposes by the Company
(e) According to the information and explanations given to us and procedures performed
by us, we report that the Company has not raised loans during the year on the pledge of
securities held in its subsidiaries (as defined under the Act).
(0 According to the information and explanations given to us and procedures performed
by us, the company has not raised any loans during the year on the pledge of securities
held in its subsidiaries, joint ventures or associate companies.
(x) (a) The Company has not raised any moneys by way of initial public offer or further
public offer (including debt instruments) Accordingly, clause 3(x)(a) of the Order is not
applicable
(b) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the Company has not made any preferential
allotment or private placement of shares or fully or partly convertible debentures during
the year. Accordingly, clause 3(x)(b) of the Order is not applicable.
(xi) (a) Based on examination of the books and records of the Company and according to
the information and explanations given to us, considering the principles of materiality
outlined in the Standards on Auditing, we report that no fraud by the Company or on the
Company has been noticed or reported during the course of the audit.
(b) According to the information and explanations given to us, no such report under
subsection (12) of section 143 of the Companies 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 has been filled during the course of our audit.
(c) According to the information and explanations given to us no whistle-blower
complaints were received during the year by the company
(xii) (a) The company is not a Nidhi company. Accordingly, paragraph 3(xii) of the
Order is not applicable to the company.
(xiii) Whether all transactions with the related parties are in compliance with
sections 177 and 188 of Companies Act where applicable and the details have been disclosed
in the financial statements, etc., as required by the applicable accounting standards
(xiv) (a) Based on information and explanations provided to us and our audit
procedures, in our opinion, the Company has an internal audit system commensurate with the
size and nature of its business.
(b) We have considered the reports of the Internal Auditors for the period under audit
issued till date for the period under audit.
(xv) According to information & explanations given to us and based on our
examination of the records of the company, the company has not entered into non cash
transactions with directors or persons connected with him. Accordingly, paragraph 3(xv) of
the order is not applicable.
(xvi) (a) The Company is not required to be registered under Section 45-IA of the
Reserve Bank of India Act, 1934. Accordingly, clauses 3(xvi) (a) and 3(xvi)(b) of the
Order are not applicable.
(b) The company has not conducted any Non-Banking Financial or Housing Finance
activities during the year
(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)(c) of the Order is not
applicable
(d) According to the information and explanations provided to us during the course of
audit, the Group does not have any CICs.
(xvii) The company has not any incurred cash losses in the financial year and in the
immediately preceding Financial year
(xviii) There has been no resignation of the statutory auditors during the year.
Accordingly, clause 3(xviii) of the Order is not applicable
(xix) 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
the Company is not capable of meeting its liabilities existing at the date of balance
sheet as and when they fall due within a period of one year from the balance sheet date.
We, however, state that this is not an assurance as to the future viability of the
Company. We further state that our reporting is based on the facts up to the date of the
audit report and we neither give any guarantee nor any assurance that all liabilities
falling due within a period of one year from the balance sheet date, will get discharged
by the Company as and when they fall due.
(xx) (a) In our opinion and according to the information and explanations given to us,
there is
no unspent amount under sub-section (5) of section 135 of the Act pursuant to any
project. Accordingly, clauses 3(xx)(a) and 3(xx)(b) of the Order are not applicable
| Place: Bhopal |
For RATH DINESH & ASSOCIATES |
| Date:29th May 2023 |
Chartered Accountants |
|
FRN: 008344C |
|
Ajay Rath |
|
(Partner) |
|
M.No.075111 |
|
UDIN-23075111BGWOUU2953 |
+91-9892691696
