To the Members of
Hindusthan National Glass & Industries Limited Report on the Audit of the Financial Statements
CORPORATE INSOLVENCY PROCEEDINGS AS PER INSOLVENCY AND BANKRUPTCY CODE, 2016 (IBC)
The Honble National Company Law Tribunal, Kolkata Bench (hereinafter referred to as"the NCLT") had admitted an insolvency and bankruptcy petition filed by a financial creditor against Hindusthan National Glass & Industries Limited (hereinafter referred to as "the Company") on 21st October 2021 and had appointed Resolution Professional (hereinafter referred to as "the RP") who has been vested with management of affairs and powers of the Board of Directors with direction to initiate appropriate action contemplated with extant provisions of the Insolvency and Bankruptcy Code, 2016 (hereinafter referred to as "the Code") and other related Rules. The detailed proceedings that have happened till the date of signing of this report has been described in Note no. 1.1 on "Corporate Information".
QUALIFIED OPINION
We have audited the accompanying financial statements of Hindusthan National Glass & Industries Limited ("the Company"), which comprise the Balance Sheet as at 31st March 2023, the Statement of Profit and Loss (including the Statement of Other Comprehensive Income), the Statement of Changes in Equity and the Statement of Cash flows 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, except for the effects of the matter described in the Basis for Qualified Opinion section of our report, the aforesaid financial statements give the information required by the Companies Act, 2013 as amended from time to time ("the Act") in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards notified under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended from time to time, ("Ind AS") and other accounting principles generally accepted in India, of the State of Affairs of the Company as at 31st March 2023 and its Loss (including Other Comprehensive Income), Changes in Equity and its Cash Flows for the year ended on that date.
BASIS FOR QUALIFIED OPINION
We conducted our audit 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 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 (ICAI) together with the ethical requirements that are relevant to our audit of financial statements under the provisions of the Act and Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and ICAIs Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.
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 for the financial year ended 31st March 2023. 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. In addition to the matter described in the Basis for Qualified Opinion section we have determined the matters described below to be the key audit matters to be communicated in our report.
We have fulfilled the responsibilities described in the "Auditors Responsibilities for the audit of the Financial Statements" section of our report, including in relation to these matters. Accordingly, our audit included the performance of procedures designed to respond to our assessment of the risks of material misstatement of the financial statements. The result of our audit procedures, including the procedures performed to address the matters below, provide the basis for our qualified opinion on the accompanying financial statements.
Sl. No. |
Key Audit Matter |
Auditors Response |
1 | Valuation of Inventories |
Our audit procedures include the following: |
We refer to Note 1.3.7 and 2.5 of the financial statements. | • We have checked and analyzed the ageing of the inventories, reviewed the historical trend on whether there were significant inventories written off or reversal of the allowances for inventories obsolescence. | |
As at 31st March 2023, the total carrying amount of inventories was Rs. 42,516.29 lakhs. The assessment of impairment of inventories involves significant estimation uncertainty, subjective assumptions and the application of significant judgment. | • We conducted a detailed discussion with the Companys key management and considered their views on the adequacy of allowances for inventories obsolescence considering the current economic environment. | |
Reviews are made periodically by management on inventories for obsolescence and decline in net realizable value below cost. Allowances are recorded against the inventories for any such declines based on historical obsolescence and slow-moving history. Key factors considered include the nature of the stock, its ageing, shelf life and turnover rate. | • We have also reviewed the subsequent selling prices in the ordinary course of business and compared them against the carrying amount of the inventories on a sampling basis at the reporting date. | |
• We found managements assessment of the allowance for inventory obsolescence to be reasonable based on available evidence. |
2 | Property, Plant and Equipment (PPE) – Impairment Assessment |
Our audit procedures include the following: |
The Company has been incurring continuous losses in previous years and in the current year due to various internal and external factors. As at 31st March 2023, the carrying amount of the PPE amounted to Rs. 1,58,412.16 Lakhs. | Our audit procedures included validating the appropriateness and reasonableness of the fair valuation approach and assumptions used for determining the fair value of assets by external experts through performing the following: | |
The management on an annual basis or whenever events or changes in circumstances indicate that the carrying amount may not be recoverable, assesses if there are any indicators that the PPE is impaired and if indicators exist, performs an impairment test at the Cash Generating Unit (CGU) level by making an estimate of recoverable amount, being the higher of fair value less costs to sell and value in use. | ||
Considering the continuous losses incurred by the Company, the probability of impairment could be dependent on assumptions and methodology used for the fair valuation of the PPE by the management appointed external experts. | • Obtained the understanding of controls instituted by the management to assess impairment indicators and perform impairment assessment. | |
Impairment assessment of the PPE is considered as a Key Audit Matter since there is significant management judgements and estimates involved in the impairment assessment, such as: | • Evaluation design and operating effectiveness of the management controls over the impairment assessment process and review of fair valuation report obtained from the external experts. | |
• The determination of recoverable amount, being the higher of value-in-use and fair value less costs to dispose. | • Evaluated the reasonableness of the fair valuation methodology used and the assumptions made for determining the fair value (such as useful life of the assets, salvage value, inflation and index rate) of the assets at CGU level using our internal fair valuation specialists. | |
• The methodology used in determination of the fair value of assets by management appointed external experts is dependent on interpretation of the valuation standards and the assumptions used such as inflation, index rates, useful lives, salvage value. | • Tested the mathematical accuracy and performed sensitivity analysis in order to assess the potential impact on the recoverable amount. | |
• Reconciled the carrying amount of the category wise assets as per the valuation report provided by the management and as per the books of account. | ||
• Evaluated the accuracy of disclosures in the financial statements with respect to the impairment of PPE. | ||
• We have also been provided with the Impairment study report conducted by the third party and have relied on the same. |
INFORMATION OTHER THAN THE FINANCIAL STATEMENTS AND AUDITORS REPORT THEREON
The Companys Directors and the RP are responsible for the other information. The other information comprises the information included in the Companys annual report but does not include 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 financial statements of the Company for the year ended 31st March 2023 have been taken on record by the RP while discharging the power of the Board of Directors of the Company which were conferred on him in terms of the provision of section 17 of the Code. For the said purpose or explained in note no. 1.1 of the financial statements, the RP has relied upon the certification, representations, statements and other relevant information provided by the Directors and other Officers of the Company in relation to these financial statements.
The Companys Directors and the RP is 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), changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) notified under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended from time to time. 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, the Directors and RP 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 the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Those Directors and RP are also responsible for overseeing the Companys financial reporting process.
AUDITORS RESPONSIBILITIES 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 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:
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.
OTHER MATTERS
The financial statements of the company for the year ended 31st March, 2022 was jointly conducted and reported by the joint auditors. One of them is predecessor audit firm and had expressed a qualified opinion vide their audit report dated 24th May, 2022. Reliance has been placed on the figures and other information incorporated for the purpose of the financial statements. Our opinion is not modified in respect of the above matter.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
In our opinion, and to the best of our information and according to the explanations given to us, the company has not paid any managerial remuneration during the financial year other than the sitting fees to its Independent Directors which is in accordance with the provisions of section 197(5) read with Rule 4 of Companies (Appointment & Remuneration of the Managerial Personnel) Rule, 2014 (as amended) of the Act.
For Lodha & Co Chartered Accountants Firm Registration No.: 301051E INDRANIL CHOUDHURY Partner Membership No. 058940 UDIN: 23058940BGWFYL5756 Place: Kolkata Date: 23rd May 2023 |
For J K V S & CO Chartered Accountants Firm Registration No.: 318086E AJAY KUMAR Partner Membership No.: 068756 UDIN: 23068756BGZELF1585 Place: Kolkata Date: 23rd May 2023 |
(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory Requirements section of our report to the Members of Hindusthan National Glass & Industries Limited of even date)
Date of Payment
(Rs. in lakhs) Remarks, if any
Not Paid The amount of TDS has not been paid by the Company on account of one time settlement entered with the
lenders under which the entire interest cost shall be waived for the given periods.
The Goods & Service Tax Act, 2017 |
GST |
1,716.58 |
1st October 2021 to 21st October 2021 |
20th November 2021 |
Not Paid |
The same was not paid due to advent of the CIRP Process from 21st October |
2021 |
(Rs. in lakhs)
Name of Statute | Nature of Dues | Amount | Period to which the amount relates | Forum where dispute is pending |
The Central Sales Tax (CST) 1956 | Sales Tax | 64.72 | 2006-07 | West Bengal Appellate Revisional Board |
19.98 | 2016-17 | West Bengal Appellate Revisional Board | ||
149.30 | 2008-09 | Sr. Joint Commissioner of Commercial Tax Appeal | ||
Maharashtra Value Added Tax, 2005 | VAT | 114.00 | 2005-06 to 2006-07 | Tribunal Maharashtra Sales Tax, Mumbai |
THE WBST ACT 1994 | Sales Tax | 55.14 | 2002-03 | West Bengal Taxation Tribunal |
The West Bengal, Value Added Tax, | Sales Tax | 104.38 | 2006-07 | West Bengal Appellate Revisional Board |
2003 | 140.84 | 2016-17 | West Bengal Appellate Revisional Board | |
108.72 | 2008-09 | West Bengal Taxation Tribunal | ||
3.53 | 2015-16 | West Bengal Taxation Tribunal | ||
Finance Act, 1994 | Service Tax | 0.66 | 2007-08 | CESTAT, Chennai |
0.01 | 2007-08 & 2008-09 | CESTAT | ||
0.99 | 2008-09 | CESTAT | ||
0.27 | 2006-ss07 & 2007-08 | CESTAT | ||
195.00 | 2001 to 2005 | CESTAT | ||
654.23 | 2013-14 to 2015-16 | CESTAT | ||
256.25 | 2007-08 to 2009-10 | The Customs Excise and Service Tax Appellant Tribunal | ||
Maharashtra Stamp Duty | Stamp Duty | 37.67 | 2010-11 | High Court, Mumbai |
Haryana Municipality Act,1973 | Octroi | 433.21 | Since 24-12-1990 | Honble Supreme Court |
The Foreign Exchange Management Act, 1999 | FEMA | 200.00 | Prior to 2002 | FEMA Tribunal, Delhi |
Property Tax, Haryana | Property Tax | 209.69 | FY 2022-23 onwards | Municipal Corporation Bahadurgarh |
(Rs. in Lakhs)
Month |
State Bank of India |
EARC Trust - SC 368 |
Canara Bank |
EARC Trust - SC 404 |
Exim Bank |
EARC Trust - SC 367 |
EARC Trust - SC 245 |
DBS Bank |
Goldman Sachs International Bank |
|||||||
Dec 17 |
496.00 |
112.50 |
187.50 |
375.00 |
- |
- |
- |
- |
- |
|||||||
Mar 18 |
1,553.10 |
112.50 |
187.50 |
440.00 |
- |
- |
- |
1,046.60 |
- |
|||||||
Jun 18 |
744.00 |
168.70 |
250.00 |
375.00 |
- |
- |
67.77 |
- |
- |
|||||||
Sep 18 |
2,244.00 |
168.70 |
250.00 |
472.50 |
- |
- |
259.10 |
2,990.54 |
- |
|||||||
Dec 18 |
744.00 |
168.70 |
250.00 |
375.00 |
- |
- |
259.10 |
- |
1,368.04 |
|||||||
Mar 19 |
2,244.00 |
168.70 |
250.00 |
472.50 |
- |
90.11 |
259.10 |
2,990.54 |
- |
|||||||
Jun 19 |
869.00 |
197.00 |
343.75 |
375.00 |
- |
156.25 |
302.28 |
- |
1,869.09 |
|||||||
Sep 19 |
2,369.00 |
197.00 |
343.75 |
488.75 |
- |
156.25 |
302.28 |
2,990.54 |
- |
|||||||
Dec 19 |
869.00 |
197.00 |
343.75 |
375.00 |
- |
156.25 |
302.28 |
2,315.46 |
1,869.09 |
|||||||
Mar 20 |
3,494.00 |
197.00 |
343.75 |
488.75 |
- |
156.25 |
302.28 |
- |
- |
|||||||
Jun 20 |
1,240.00 |
281.20 |
437.50 |
375.00 |
- |
156.25 |
431.83 |
6,728.72 |
2,803.63 |
|||||||
Sep 20 |
3,865.00 |
281.20 |
437.50 |
537.50 |
57.16 |
156.25 |
431.83 |
- |
- |
|||||||
Dec 20 |
1,240.00 |
281.20 |
437.50 |
375.00 |
229.25 |
156.25 |
431.83 |
6,728.72 |
2,803.63 |
|||||||
Mar 21 |
3865.00 |
281.20 |
437.50 |
537.50 |
229.25 |
156.25 |
431.83 |
- |
- |
|||||||
June 21 |
1240.00 |
281.20 |
437.50 |
375.00 |
229.25 |
156.33 |
431.83 |
8074.46 |
3364.36 |
|||||||
Sep 21 |
3865.00 |
281.20 |
437.50 |
537.50 |
229.25 |
156.33 |
431.83 |
- |
- |
|||||||
Oct21* |
43,728.00 |
7,538.00 |
3,500.00 |
2,552.50 |
6,140.17 |
156.33 |
11,573.06 |
- |
- |
*Up to 21st October 2021 i.e., date of initiation of CIRP
(Rs. in Lakhs)
Period |
EARC Trust - SC 368 |
Canara Bank |
EARC Trust - SC 404 |
DBS |
Standard Chartered Bank |
Bank of Baroda |
|||||
Default Since Nov2017 to 21st October 2021 |
4,672.60 |
1,706.80 |
730.25 |
1,214.26 |
3,598.68 |
2,729.70 |
(Rs. in Lakhs)
Month |
State Bank of India |
EARC Trust - SC 368 |
Canara Bank |
EARC Trust - SC 404 |
Exim Bank |
EARC Trust - SC 367 |
EARC Trust - SC 245 |
DBS Bank |
Goldman Sachs International Bank |
|||||||
Nov 17 |
- |
3.35 |
- |
- |
- |
- |
- |
- |
- |
|||||||
Dec 17 |
- |
101.95 |
82.98 |
75.66 |
75.10 |
- |
149.40 |
- |
- |
|||||||
Jan 18 |
- |
101.95 |
82.91 |
75.66 |
83.06 |
- |
149.42 |
- |
- |
|||||||
Feb 18 |
- |
92.08 |
74.89 |
68.34 |
75.02 |
- |
134.96 |
- |
- |
|||||||
Mar 18 |
701.72 |
101.95 |
82.91 |
75.66 |
83.06 |
- |
149.42 |
290.03 |
309.75 |
|||||||
Apr 18 |
679.10 |
98.66 |
80.23 |
74.03 |
80.38 |
- |
130.14 |
196.85 |
- |
|||||||
May 18 |
701.73 |
101.95 |
82.91 |
74.03 |
83.06 |
- |
134.48 |
- |
- |
|||||||
Jun 18 |
679.10 |
98.66 |
80.23 |
74.03 |
80.38 |
66.71 |
174.00 |
341.92 |
192.62 |
Month |
State Bank of India |
EARC Trust - SC 368 |
Canara Bank |
EARC Trust - SC 404 |
Exim Bank |
EARC Trust - SC 367 |
EARC Trust - SC 245 |
DBS Bank |
Goldman Sachs International Bank |
|||||||
Jul 18 |
701.73 |
101.95 |
82.91 |
74.85 |
83.06 |
- |
134.48 |
132.24 |
- |
|||||||
Aug 18 |
701.73 |
101.95 |
82.91 |
74.85 |
83.06 |
- |
134.48 |
- |
- |
|||||||
Sep 18 |
679.10 |
98.66 |
80.23 |
74.85 |
80.38 |
70.31 |
174.49 |
366.21 |
204.69 |
|||||||
Oct 18 |
701.73 |
101.95 |
82.91 |
74.85 |
83.06 |
- |
134.48 |
142.11 |
- |
|||||||
Nov 18 |
679.10 |
98.66 |
80.23 |
74.85 |
80.38 |
- |
130.14 |
- |
- |
|||||||
Dec 18 |
701.73 |
101.95 |
82.91 |
74.85 |
83.06 |
70.31 |
178.82 |
356.25 |
200.45 |
|||||||
Jan 19 |
701.73 |
101.95 |
79.15 |
75.66 |
83.07 |
- |
149.42 |
138.60 |
- |
|||||||
Feb 19 |
633.82 |
92.09 |
71.49 |
68.34 |
75.03 |
- |
134.96 |
- |
- |
|||||||
Mar 19 |
701.73 |
101.95 |
79.15 |
75.66 |
76.22 |
56.92 |
149.42 |
355.87 |
210.24 |
|||||||
Apr 19 |
679.09 |
98.67 |
80.24 |
73.22 |
72.40 |
- |
130.14 |
144.81 |
- |
|||||||
May 19 |
701.73 |
101.95 |
82.91 |
75.66 |
74.82 |
- |
134.48 |
- |
- |
|||||||
Jun 19 |
679.09 |
98.67 |
80.24 |
73.22 |
72.40 |
53.35 |
174.00 |
325.63 |
195.89 |
|||||||
Jul 19 |
701.73 |
101.95 |
82.91 |
75.66 |
74.82 |
- |
134.48 |
132.47 |
- |
|||||||
Aug 19 |
701.73 |
101.95 |
82.91 |
75.66 |
74.82 |
- |
134.48 |
- |
- |
|||||||
Sep 19 |
679.09 |
98.67 |
80.24 |
73.22 |
72.34 |
53.93 |
174.48 |
322.52 |
182.33 |
|||||||
Oct 19 |
701.73 |
101.95 |
82.91 |
75.66 |
72.89 |
- |
134.48 |
125.10 |
- |
|||||||
Nov 19 |
679.09 |
98.67 |
80.24 |
73.22 |
70.54 |
- |
130.14 |
- |
- |
|||||||
Dec 19 |
701.73 |
101.95 |
82.91 |
75.66 |
72.89 |
52.54 |
178.82 |
302.01 |
171.31 |
|||||||
Jan 20 |
701.73 |
101.95 |
82.91 |
75.66 |
72.89 |
- |
134.48 |
130.11 |
- |
|||||||
Feb 20 |
656.46 |
95.38 |
77.57 |
70.78 |
68.19 |
- |
125.80 |
- |
- |
|||||||
Mar 20 |
701.73 |
101.95 |
82.91 |
75.66 |
72.89 |
51.97 |
178.34 |
312.92 |
177.68 |
|||||||
Apr 20 |
679.09 |
98.67 |
80.24 |
73.22 |
66.39 |
- |
144.60 |
135.20 |
- |
|||||||
May 20 |
701.73 |
101.95 |
82.91 |
75.66 |
68.43 |
- |
149.42 |
- |
- |
|||||||
Jun 20 |
679.09 |
98.67 |
80.24 |
73.22 |
66.23 |
48.81 |
144.11 |
309.56 |
178.00 |
|||||||
Jul 20 |
701.73 |
101.95 |
82.91 |
75.66 |
68.43 |
- |
148.92 |
134.13 |
- |
|||||||
Aug 20 |
701.73 |
101.95 |
82.91 |
75.66 |
68.43 |
- |
148.92 |
- |
- |
|||||||
Sep 20 |
679.09 |
98.67 |
80.24 |
73.22 |
66.23 |
49.31 |
144.11 |
182.76 |
111.55 |
|||||||
Oct 20 |
701.73 |
101.95 |
82.91 |
75.66 |
68.43 |
- |
148.92 |
69.61 |
- |
|||||||
Nov 20 |
679.09 |
98.67 |
80.24 |
73.22 |
66.23 |
- |
144.11 |
- |
- |
|||||||
Dec 20 |
701.73 |
101.95 |
82.91 |
75.66 |
68.41 |
49.30 |
148.87 |
178.16 |
105.03 |
|||||||
Jan 21 |
701.73 |
101.95 |
82.91 |
75.66 |
68.12 |
- |
148.23 |
67.76 |
- |
|||||||
Feb 21 |
633.82 |
92.09 |
74.89 |
68.34 |
61.58 |
- |
133.49 |
- |
- |
|||||||
Mar 21 |
701.73 |
101.95 |
82.91 |
75.66 |
68.00 |
47.87 |
147.39 |
172.03 |
98.16 |
|||||||
Apr 21 |
679.09 |
98.67 |
80.24 |
73.22 |
65.40 |
- |
142.31 |
65.40 |
- |
|||||||
May 21 |
701.73 |
101.95 |
82.91 |
75.66 |
67.90 |
- |
146.58 |
- |
- |
|||||||
Jun 21 |
679.09 |
98.67 |
80.24 |
73.22 |
65.53 |
48.00 |
141.38 |
175.27 |
99.07 |
|||||||
Jul 21 |
701.70 |
101.95 |
82.91 |
75.66 |
67.02 |
- |
145.73 |
66.73 |
- |
|||||||
Aug 21 |
701.15 |
101.95 |
82.91 |
75.66 |
67.61 |
- |
145.34 |
- |
- |
|||||||
Sep 21 |
676.89 |
98.67 |
80.24 |
73.22 |
65.29 |
48.12 |
140.32 |
171.85 |
97.55 |
|||||||
Oct 21* |
472.56 |
69.07 |
56.17 |
51.25 |
45.02 |
10.93 |
97.98 |
121.62 |
23.07 |
*Up to 21st October 2021 i.e., date of initiation of CIRP
(Rs. in Lakhs)
Month |
State Bank of India |
EARC Trust - SC 368 |
Canara Bank |
EARC Trust - SC 404 |
EARC Trust - SC 245 |
Standard Chartered Bank |
DBS Bank |
Bank of Baroda |
||||||
Nov 17 |
- |
54.24 |
- |
- |
4.52 |
- |
- |
- |
||||||
Dec 17 |
- |
28.93 |
- |
- |
31.21 |
41.43 |
- |
- |
||||||
Jan 18 |
- |
25.77 |
28.02 |
- |
31.21 |
42.04 |
- |
26.80 |
||||||
Feb 18 |
- |
50.63 |
25.31 |
- |
28.19 |
37.96 |
- |
26.80 |
||||||
Mar 18 |
195.66 |
56.05 |
28.03 |
- |
30.78 |
42.04 |
7.30 |
28.01 |
||||||
Apr 18 |
198.23 |
54.25 |
27.12 |
- |
29.73 |
114.22 |
24.89 |
27.12 |
||||||
May 18 |
209.12 |
56.05 |
28.03 |
- |
30.78 |
4.67 |
26.74 |
28.03 |
||||||
Jun 18 |
202.28 |
54.25 |
27.12 |
20.59 |
29.73 |
4.52 |
25.89 |
27.12 |
||||||
Jul 18 |
208.89 |
56.05 |
28.03 |
37.65 |
30.78 |
115.57 |
19.53 |
28.03 |
||||||
Aug 18 |
208.76 |
56.05 |
28.03 |
37.65 |
30.78 |
4.67 |
19.53 |
28.03 |
||||||
Sep 18 |
201.89 |
54.25 |
27.12 |
36.43 |
29.73 |
4.52 |
18.45 |
27.12 |
||||||
Oct 18 |
208.61 |
56.05 |
28.03 |
37.65 |
30.78 |
115.57 |
19.53 |
28.03 |
||||||
Nov 18 |
201.88 |
54.25 |
27.12 |
36.43 |
29.73 |
4.52 |
18.45 |
27.12 |
||||||
Dec 18 |
208.09 |
56.05 |
28.03 |
37.65 |
30.78 |
4.67 |
19.53 |
28.03 |
||||||
Jan 19 |
207.67 |
56.05 |
28.03 |
37.65 |
30.78 |
42.04 |
19.11 |
28.03 |
||||||
Feb 19 |
187.57 |
50.63 |
25.32 |
34.00 |
28.61 |
34.96 |
17.27 |
25.32 |
||||||
Mar 19 |
107.38 |
41.17 |
17.96 |
26.70 |
16.09 |
38.70 |
2.46 |
24.33 |
||||||
Apr 19 |
85.46 |
36.90 |
15.39 |
23.73 |
12.85 |
36.65 |
16.47 |
22.86 |
||||||
May 19 |
88.26 |
38.13 |
15.91 |
24.52 |
13.28 |
37.86 |
17.01 |
23.63 |
||||||
Jun 19 |
85.18 |
36.90 |
15.39 |
23.73 |
12.85 |
36.67 |
16.47 |
22.86 |
||||||
Jul 19 |
87.82 |
61.85 |
28.25 |
26.24 |
13.28 |
37.83 |
16.85 |
36.37 |
||||||
Aug 19 |
87.51 |
61.85 |
28.25 |
26.24 |
13.28 |
37.83 |
16.85 |
36.37 |
||||||
Sep 19 |
83.99 |
59.72 |
27.24 |
25.31 |
12.72 |
36.58 |
16.04 |
35.17 |
||||||
Oct 19 |
66.34 |
57.66 |
25.41 |
23.45 |
8.28 |
36.87 |
16.36 |
35.58 |
||||||
Nov 19 |
64.20 |
55.80 |
24.59 |
22.69 |
8.01 |
35.68 |
16.19 |
34.44 |
||||||
Dec 19 |
66.34 |
57.66 |
25.41 |
23.45 |
11.01 |
36.87 |
17.28 |
35.58 |
||||||
Jan 20 |
66.34 |
57.66 |
25.41 |
23.45 |
8.28 |
36.87 |
19.84 |
35.58 |
||||||
Feb 20 |
62.06 |
53.94 |
23.77 |
21.94 |
7.74 |
34.49 |
18.56 |
33.19 |
||||||
Mar 20 |
66.34 |
57.66 |
25.41 |
23.45 |
10.98 |
36.87 |
19.84 |
34.78 |
||||||
Apr 20 |
18.72 |
53.52 |
18.49 |
21.19 |
6.02 |
33.58 |
14.76 |
25.52 |
||||||
May 20 |
17.45 |
50.19 |
18.85 |
18.49 |
2.72 |
34.62 |
5.17 |
26.30 |
||||||
Jun 20 |
16.89 |
46.39 |
18.24 |
16.44 |
- |
33.50 |
7.51 |
25.46 |
||||||
Jul 20 |
17.45 |
47.94 |
18.84 |
16.99 |
- |
34.62 |
14.79 |
26.30 |
||||||
Aug 20 |
17.45 |
47.94 |
18.24 |
16.99 |
- |
34.62 |
14.79 |
26.30 |
||||||
Sep 20 |
16.89 |
46.39 |
18.23 |
16.44 |
- |
33.50 |
14.31 |
25.46 |
||||||
Oct 20 |
17.46 |
47.94 |
18.84 |
16.99 |
- |
34.62 |
14.79 |
26.30 |
||||||
Nov 20 |
16.89 |
46.39 |
18.23 |
16.44 |
- |
33.50 |
14.31 |
25.46 |
||||||
Dec 20 |
17.23 |
47.89 |
18.81 |
16.96 |
- |
34.61 |
14.70 |
26.30 |
||||||
Jan 21 |
13.98 |
47.25 |
18.38 |
16.53 |
- |
34.46 |
14.18 |
26.17 |
||||||
Feb 21 |
10.69 |
42.28 |
16.33 |
14.66 |
- |
31.03 |
12.52 |
23.57 |
||||||
Mar 21 |
9.76 |
46.41 |
17.81 |
15.97 |
- |
34.30 |
13.15 |
26.02 |
||||||
Apr 21 |
7.84 |
44.59 |
17.02 |
15.24 |
- |
33.08 |
13.40 |
25.12 |
||||||
May 21 |
5.70 |
45.60 |
17.27 |
15.43 |
- |
34.07 |
12.91 |
25.87 |
Month |
State Bank of India |
EARC Trust - SC 368 |
Canara Bank |
EARC Trust - SC 404 |
EARC Trust - SC 245 |
Standard Chartered Bank |
DBS Bank |
Bank of Baroda |
||||||
Jun 21 |
3.13 |
43.66 |
16.39 |
14.62 |
- |
32.86 |
11.56 |
24.94 |
||||||
July 21 |
1.44 |
44.75 |
16.69 |
14.86 |
- |
33.88 |
11.24 |
25.71 |
||||||
Aug 21 |
- |
44.36 |
16.42 |
14.60 |
- |
33.78 |
11.99 |
25.63 |
||||||
Sep 21 |
- |
42.60 |
15.67 |
13.91 |
- |
32.62 |
11.18 |
24.75 |
||||||
Oct 21* |
- |
29.57 |
10.80 |
9.57 |
- |
22.78 |
7.34 |
17.28 |
*Up to 21st October 2021 i.e., date of initiation of CIRP
(Rs. in Lakhs)
Month |
EARC Trust - SC 368 |
Canara Bank |
EARC Trust - SC 404 |
DBS Bank |
Bank of Baroda |
|||
Nov 17 |
1,263.77 |
267.19 |
- |
- |
- |
|||
Dec 17 |
174.24 |
310.12 |
- |
- |
- |
|||
Jan 18 |
337.34 |
161.49 |
- |
- |
- |
|||
Feb 18 |
220.56 |
364.11 |
- |
- |
- |
|||
Mar 18 |
296.01 |
64.80 |
11.19 |
- |
- |
|||
Apr 18 |
153.72 |
25.19 |
- |
289.19 |
- |
|||
May 18 |
- |
- |
254.18 |
805.59 |
- |
|||
Jun 18 |
- |
- |
72.20 |
283.61 |
15.91 |
|||
Jul 18 |
- |
- |
7.80 |
- |
584.46 |
|||
Aug 18 |
- |
- |
- |
- |
610.58 |
|||
Sep 18 |
- |
- |
- |
- |
215.76 |
(Rs. in Lakhs)
Due Date |
Amount |
23rd November 2021 |
8,000.56 |
3rd February 2022 |
8,000.56 |
(Rs. in Lakhs)
*Up to 21st October 2021 i.e., date of initiation of CIRP
Note: Above mentioned default dues have not been repaid subsequently till the date of this audit report.
(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 to the Company;
(b) We have considered the reports of the Inhouse Department with respect to Internal Audit for the period under audit;
us by the management, the Company has incurred cash losses of Rs. (12,230) lakhs in the current financial year and in the immediately preceding financial year of Rs. (24,141) lakhs;
(xx) of paragraph 3 of the Order is not applicable;
For Lodha & Co Chartered Accountants Firm Registration No.: 301051E INDRANIL CHOUDHURY Partner Membership No. 058940 UDIN: 23058940BGWFYL5756 Place: Kolkata Date: 23rd May 2023 |
For J K V S & CO Chartered Accountants Firm Registration No.: 318086E AJAY KUMAR Partner Membership No.: 068756 UDIN: 23068756BGZELF1585 Place: Kolkata Date: 23rd May 2023 |
Annexure B to the Independent Auditors Report
(Referred to in paragraph 2 (h) under ‘Report on Other Legal and Regulatory Requirements section of our report to the Members of Hindusthan National Glass & Industries Limited of even date)
Report on the Internal Financial Controls with reference to financial statements under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Act")
We have audited the internal financial controls with reference to financial statements of Hindusthan National Glass & Industries 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.
MANAGEMENTS RESPONSIBILITY FOR INTERNAL FINANCIAL CONTROLS WITH REFERENCE TO FINANCIAL STATEMENTS
The Companys Directors and RP management are responsible for establishing and maintaining internal financial controls based on the internal control with reference to financial statements 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 (the "Guidance Note") issued by the Institute of Chartered Accountants of India (the "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 Act.
AUDITORS RESPONSIBILITY
Our responsibility is to express an opinion on the Companys internal financial controls with reference to financial statements based on our audit. We conducted our audit in accordance with the Guidance Note issued by ICAI and the Standards on Auditing prescribed under section 143(10) of the Act, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to financial statements 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 with reference to the financial statements and their operating effectiveness. Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to the financial statements, 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 with reference to financial statements.
MEANING OF INTERNAL FINANCIAL CONTROLS WITH REFERENCE TO FINANCIAL STATEMENTS
A companys internal financial controls with reference to financial statements 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 with reference to financial statements 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.
Annexure B to the Independent Auditors Report
INHERENT LIMITATIONS OF INTERNAL FINANCIAL CONTROLS WITH REFERENCE TO FINANCIAL STATEMENTS
Because of the inherent limitations of internal financial controls with reference to financial statements, 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 with reference to financial statements to future periods are subject to the risk that the internal financial control with reference to financial statements 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, to the best of our information and according to the explanations given to us, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls with reference to financial statements 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 on Audit of Internal Financial Controls with reference to financial statements issued by the Institute of Chartered Accountants of India.
For Lodha & Co Chartered Accountants Firm Registration No.: 301051E INDRANIL CHOUDHURY Partner Membership No. 058940 UDIN: 23058940BGWFYL5756 Place: Kolkata Date: 23rd May 2023 |
For J K V S & CO Chartered Accountants Firm Registration No.: 318086E AJAY KUMAR Partner Membership No.: 068756 UDIN: 23068756BGZELF1585 Place: Kolkata Date: 23rd May 2023 |
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www.indiainfoline.com is part of the IIFL Group, a leading financial services player and a diversified NBFC. The site provides comprehensive and real time information on Indian corporates, sectors, financial markets and economy. On the site we feature industry and political leaders, entrepreneurs, and trend setters. The research, personal finance and market tutorial sections are widely followed by students, academia, corporates and investors among others.
Copyright © IIFL Securities Ltd. All rights Reserved.
Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213, IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
This certificate demonstrates that IIFL as an organization has defined and put in place best-practice information security processes.