Hindoostan Mills Auditors Report


To The Members of Hindoostan Mills Limited Report on the Audit of the Financial Statements Opinion

We have audited the accompanying financial statements of Hindoostan Mills Limited ("the Company"), which comprise the Balance Sheet as at March 31, 2023, the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flows and the Statement of Changes in Equity for the year then ended, and notes to the financial statements including 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 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 accounting principles generally accepted in India including Indian Accounting Standards ("Ind AS") specified under section 133 of the Act, of the state of affairs of the Company as at March 31, 2023, its losses including its other comprehensive income, its cashflows and the changes in equity for the year ended on that date.

Basis of Opinion

We conducted our audit of the financial statements in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Act. Our responsibilities under those Standards are further described in the Auditors Responsibility 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 (ICAI) together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and the Rules made thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the ICAIs Code of Ethics. We believe that the audit evidence obtained by us is sufficient provide a basis for our audit opinion on the financialstatements.

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.

our audit Inventory, its valuation and provisions thereof (Refer Note 2.10 of the Significant Accounting Policies)

The inventories comprise of Cotton and Yarn (Raw Materials), Fabrics (FG), Work in Progress and others. Existence of Inventories is a matter of significant importance. Our audit procedures amongst others included the following: assessed the appropriateness of the inventories accounting policies and its compliances with applicable accounting standards.
evaluated the design of key internal financial controls and operating effectiveness of the relevant key controls with respect to physical verification of inventory, valuation of inventory and provision for inventory.
Inventory valuation involves significant assumptions and estimations made by the Management. Management also makes an estimate for slow-moving inventories based on the age of the inventories. year-end count of inventory was carried out by the management and was checked on a sample basis by us as well as the Internal Auditors.
tested, on a sample basis, the valuation of inventories as at the year end and the Managements assessment of provision required for slow- moving inventories held as at the balance sheet date.
We have identified inventories as a key audit matter because of the size of the inventories, judgment applied in the valuation of inventories and provision for inventories.

ii)

Provisions and Contingent Liabilities (Refer Note 33 (X) to the Financial Statements)

There are certain legal cases against the Company or pursued by the Company. Our audit procedures amongst others included the following:
Performing substantiative procedure on underlying calculations for the provisioning made, relying on opinions if any obtained by the management
This involves high and appropriate to level of management judgement to determine the possible outcome of the legal cases, estimation of level of provisioning and its related accounting disclosures. discussing the matters with the management and assessing management conclusion and provisions thereof
We have validated the completeness and appropriateness of the related disclosures of the financial statements and concluded that the disclosures are sufficient.

Information Other than the Financial Statements and Auditors Report Thereon

The Companys Board of Directors are responsible for the preparation of the other information. The other information comprises the information included in the Annual Report, but does not include the financial statements and our auditors report thereon.

Our opinion on the 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 financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

Responsibilities of Management and those charged with governance for the Financial Statements

The Companys Board of Directors are responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows, and changes in equity of the Company in accordance with accounting principles generally accepted in India including the Ind AS specified under Section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended. 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 financial statements, board of directors 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 board of directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

Those 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 Standards on Auditing will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these 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 audit procedures responsive to those risks, and obtain audit evidence that is sufficient 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 control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3) (i) of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls system in place and the operating effectiveness of such controls.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures in the financial statements made by the 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.

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 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 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 "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

2. 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 (including other comprehensive income), the statement of cash flows and the statement of changes in equity dealt with by this report are in agreement with the relevant 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 Companies (Indian Accounting Standards) Rules, 2015, as amended. e) On the basis of the written representations received from the directors as on March 31, 2023 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2023 from being appointed as a director in terms of Section 164(2) of during ouraudit. the Act. f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure B". g) In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the current year is in accordance with the provisions of section 197 of the Act read with Schedule V of the Act. h) With respect to the other matters to be included in the Auditors Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, (as amended), in our opinion and to the best of our information and according to the explanations given to us: (i) The Company has disclosed the impact of pending litigations as on March 31, 2023 on its financial position in its financial statements (Refer Note 33 (X) to the financial statements); (ii) The Company has made provision, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long-term contracts including derivative contracts; (iii) There was some delay in transferring the required amounts to the Investor Education and Protection Fund on account of technical issues on the portal of the concerned authorities (Refer Note 33 (XXI) of the Financial statements).

(iv) (a) The management has represented that to the best of its knowledge and belief, no funds 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 persons or entities, including foreign entities ("Intermediaries") with the understanding, whether recorded in writing or otherwise, that the intermediary shall: Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever ("Ultimate Beneficiaries") on behalf of the Company or Provide any guarantee, security or the like or on behalf of the Ultimate Beneficiaries. (b) The management has represented that, to the best of its knowledge and belief, no funds have been received by the Company from any persons or 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 ("Ultimate Beneficiaries") on behalf of the Funding Party or

Provide any guarantee, security or the like from or on behalf of the Ultimate Beneficiaries; and (c) Based on such audit procedures as 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 (iv) (a) & (b) above contain any material misstatement. (v) The Company has not paid any dividend during the year. by or

For S H R & CO.

Chartered Accountants FRN: 120491W

Deep N Shroff

Partner

Membership No. 122592 UDIN: 23122592BGVWTA7831

Place: Mumbai

Date: 16th May, 2023 by or

Annexure A referred to in Paragraph 1 Of Our Report of Even Date on The Financial Statements for The Year Ended March 31, 2023 of Hindoostan Mills Limited: i. In respect of Property, Plant & Equipment:

(a) The Company has maintained its Property, Plant & Equipment register showing full particulars including quantitative details and situation of Property, Plant & Equipment.

The Company does not have any intangible assets. Thus, the clause relating to maintenance of proper records showing full particulars of intangible assets is not applicable to the Company.

(b) According to the information and explanations given to us and on the basis of our examination of the records of the Company, all the Property, Plant & Equipment were physically verified by the management during the year. In our opinion the frequency of verification is reasonable having regard to the size of the Company and of its assets. According to the information and explanations given to us, no material discrepancies were noticed on such verification.

(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds (other than properties where the Company is the lessee and the lease agreements are duly executed in favour of the lessee) are held in the name of the 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 & Equipment during the year. Accordingly, clause 3(i) (d) of the Order is not applicable.

(e) According to the information and explanations given to us, no proceedings have been initiated or are pending against the Company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder. Accordingly, reporting under clause 3(i)(e) of the Order is not applicable to the Company ii. In respect of Inventories:

(a) As explained to us, inventory have been physically verified by the management during the year. In our opinion, the coverage and procedure of such material discrepancies of 10% or more in the aggregate for each class of inventory were noticed. However, the discrepancies between physical verification of inventory as compared to book records which is less than 10% in the aggregate for each class of inventory have been adjusted in the books of account.

(b) During the year, the Company has not been sanctioned working capital limits in excess of five crore rupees, in aggregate, from banks or financial institutions on the basis of security of current assets. Accordingly, clause 3(ii)(b) of the Order is not applicable. iii. In respect of Granting of Loan and Advance:

During the year, the Company has not made any investments in, provided any guarantee or security or granted any loans or advances in the nature of loans, secured or unsecured to the Companies, firms, Limited Liability Partnerships, or any other parties. Accordingly, clause 3(iii) (a) to (f) of the order is not applicable. iv. During the year, the Company has not made any investments, hence the provision of section 186 of the Companies Act, 2013 ("the Act") is not applicable. Further, the Company has not given any loans, guarantees and securities in relation to which provision of section 185 of the Act are not applicable. v. In respect of acceptance of Deposit:

In our opinion and according to the information and explanations given to us, the Company has not accepted any deposits from the public within the meaning of section 73 to 76 or any other relevant provision of the Companies Act and the rule framed there under during the year. No order has been passed by National Company Law Tribunal or Reserve Bank of India or any Court or any Tribunal. vi. In respect of Cost Audit and Records:

According to the information and explanation given to us, the maintenance of cost records has been specified by the Central Government under section 148(1) of the Act. We have broadly reviewed the cost records pursuant to the Rules made by the Central Government for the maintenance of cost records under Section 148 (1) of the Companies Act, 2013 and we are of the opinion that prima facie, the prescribed accounts and records have been so made and maintained. We have, however, not made detailed examination of the accounts and records with a view to determining whether they are accurate or complete.

vii. In respect of Statutory dues:

(a) The Company does not have liability in respect of Service tax, Duty of excise, Sales tax and Value added tax during the year since effective July 1, 2017, these statutory dues has been subsumed into GST.

According to the information and explanations given to us and based on our examination of the books of accounts of the Company, the Company is generally regular in depositing undisputed statutory dues in respect of Goods and Services Tax, Provident Fund, Employees State Insurance, Income-Tax, Duty of customs, cess and any other statutory dues to the appropriate authorities.

According to the information and explanations given to us, there are no statutory dues outstanding as at the last day of the financial year for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us, there are no dues of Goods and Services Tax, provident fund, employees State insurance, Income-tax, Sales tax, Service tax, Duty of customs, Duty of excise, Value added tax, cess and any other statutory dues outstanding on account of any dispute except the following dues which have not been deposited with appropriate authorities on account of dispute:

Statute In Lakhs) which it relates
Income Tax Act, 1961 Income Tax 0.32 2018 - 2019 Rectification application assessing officer pending before
Tax Deducted at source 0.67 2007 - 2008 Rectification with Central Processing Unit (Income tax)

viii.According to the information and explanations given to us, there are no transactions which are not recorded in the books of accounts which have been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961. Accordingly, clause 3(viii) of the Order is not applicable. ix. In respect of Loans taken:

(a) According to information and explanations given to us, the Company has not borrowed any funds, thus, question of repayment of loan and interest thereon does not arise. Accordingly, clause 3(ix) (a) of the Order is not applicable. (b) According to the information and explanations given to us, including confirmations received from banks and representation received from the management of the Company, and on the basis of our audit procedures, we report that the Company has not been declared a wilful defaulter by any bank or financial institution or other lender.

(c) According to the information and explanations given to us, the Company has not obtained any term loan during the year. Thus, question of utilisation does not arise. Accordingly, clause 3(ix) (c) of the Order is not applicable.

(d) According to the information and explanations given to us, the Company has not obtained any loan during the year, hence the question of utilisation of loan obtained on short term basis, for long term purpose does not arise. Accordingly, clause 3(ix) (d) of the Order is not applicable.

(e) According to the information and explanations given to us, the Company does not have any subsidiaries, associates or joint ventures, hence, the question of obtaining funds from any entity or person on account of or to meet the obligations does not arise. Thus, clause 3(ix) (e) of the Order is not applicable.

(f) According to the information given to us, the Company does not have any subsidiaries, associates or joint ventures, thus the question of raising any loan on pledge of securities of such entities does not arise. Accordingly, clause 3(ix) (f) of the Order is not applicable.

x. In respect of Public Offer

(a) According to the information and explanations given to us, during the year, the Company has not raised any funds by way of initial public offer or further public offer. Accordingly, applicable.

(b) According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or convertible debentures (fully or partly or optionally) during the year. xi. In respect of Fraud

(a) Based on the audit procedures performed and information and explanations given by the management, we report that no fraud by the Company or on the Company has been noticed or reported during the year. (b) According to the information and explanations given to us, no report under sub-section (12) of Section 143 of the Companies Act, 2013 has been filed by the auditors in Form ADT 4 as prescribed under Rule 13 of Companies (Audit and Auditors) Rules, 2014 with the Central Government.

(c) According to the information and explanations given to us, the Company has not received any whistle blower complaints during the year. Accordingly, clause 3 (xi) (c) of the Order is not applicable. xii. In respect of Nidhi Companies:

In our opinion and according to the information and explanations given to us, the Company is not a Nidhi Company. Accordingly, clause 3(xii) of the Order is not applicable. xiii. In respect of Related Party Transaction:

According to the information and explanations given to us by the Company, transactions with the related parties are in compliance with sections 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the notes to the financial statements as required by the applicable Indian Accounting Standards. xiv. In respect of Internal Audit

(a) In our opinion, the Company has an internal audit system commensurate with the size and nature of its business.

(b) All the reports of the Internal Auditors for the period under audit were considered by us. xv. In respect of non-cash transaction with Directors:

According to the information and explanations given to us 3(x)(a) of the Order is not and based on the examination of records conducted by us, during the year the Company has not entered into any non-cash transactions with its directors and hence provisions of section 192 of the Act are not applicable. xvi. In respect of Non-Banking Companies:

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

(b) The Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act, 1934. Accordingly, clause 3(xvi)(b) of the Order is not applicable.

(c) According to information and explanation given to us, 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 CIC. Accordingly, the requirements of clause 3(xvi)(d) of the order is not applicable. xvii.The Company has incurred cash loss in the current financial year. There is no cash loss incurred 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 realisation 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. xx. In respect of Corporate Social Responsibility:

(a) According to the information and explanations and based on the examinations of records, the Company is not required to transfer any amount to a fund specified in schedule VII of the Companies Act, 2013 within a period of six months of the expiry of the financial year in compliance with second proviso to subsection (5) of section 135 of the said Act. Accordingly, clause 3(xx) (a) of the Order is not applicable.

(b) As stated in clause xx (a) above, as provision of section 135(5) of the Act is not applicable to the Company, thus the question of transferring of unspent amount to a special account in compliance with the provision of section 135(6) does not arise. Accordingly, clause 3(xx) (b) of the Order is not applicable.

xxi. In respect of Consolidated Financial Report

According to the information and explanations given to us and based on the examination of records by us, the Company is not a holding Company of any other Company. Accordingly, clause 3(xxi) of the Order is not applicable.

For S H R & CO.

Chartered Accountants FRN: 120491W

Deep N Shroff

Partner

Membership No. 122592 UDIN: 23122592BGVWTA7831

Place: Mumbai Date: 16th May, 2023

ANNEXURE: B TO THE INDEPENDENT AUDITORS REPORT

Referred in paragraph 2(f) under "Report on Legal and

Regulatory Requirement" section of our report of even date on the Financial Statement of Hindoostan Mills Limited

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

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

2. Managements Responsibility for Internal Financial Controls

The Companys management are 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.

3. Auditors Responsibility

Our responsibility is to express an opinion on the Companys internal financial controls over financial reporting based on our audit. We have conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the "Guidance Note") issued by the ICAI 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 to the extent applicable.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls, 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 opinion on the Companys internal financial controls over financial reporting.

4. 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.

5. 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.

6. Opinion

In our opinion, to the best of our information and according to the explanations given to us the Company has maintained, in all material respects, adequate internal financial controls over financial reporting and such internal financial controls over financial reporting were operating effectively as of March 31, 2023, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.

For S H R & CO.

Chartered Accountants FRN: 120491W

Deep N Shroff

Partner

Membership No. 122592 UDIN: 23122592BGVWTA7831 Place: Mumbai Date: 16th May, 2023