1. Overall Review
The Growth rate has been on the upward trend as compared to the
previous year with favorable market conditions which reflect the positive market.
2. Financial Review
During the year the company has continue its business activities and
earned the profit of Rs. 18.77 Lakhs.
3. Risk and Concern
Bullish about the construction business. However, Changes in rate of
Interest will affect Companys Profitability. The changes in law also affect the
quantum of work for the company.
4. Internal Control System and their adequacy
The internal control system is looked after by Directors themselves,
who also looked after the day to day affairs to ensure compliance of guide lines and
policies, adhere to the management instructions and policies to ensure improvements in the
system. The Internal Audit reports are regularly reviewed by the management.
5. Environmental Issues
As the company is not in the field of manufacture, the matter relating
to produce any harmful gases and the liquid effluents are not applicable.
6. Financial Performance with Respect to Operation Performance
The Company has all the plans for tight budgetary control on key
operational performance indication with judicious deployment of funds without resorting to
any kind of borrowing where ever possible.
7. Cautionary Statement
Statement in this report on Management Discussion and Analysis may be
forward looking statements within the meaning of applicable security laws or regulations.
These statements are based on certain assumptions and expectations of future events.
Actual results could however, differ materially, from those expressed or implied.
Important factors that could make a difference to the companys operations include
global and domestic demand supply conditions, finished goods prices, raw material cost and
availability and changes in government regulation and tax structure, economic development
within India and the countries with which the company has business contacts and other
factors such as litigation and industrial relations.
The Company assumes no responsibility in respect of forward - looking
statements, which may be amended or modified in future on the basis of subsequent
developments, information or events.
Form No.MR-3
SECRETARIAL AUDIT REPORT
For the Financial Year ended 31.03.2023
[Pursuant to section 204(1) of the Companies Act, 2013 and Rule No.9 of
the Companies (Appointment and Remuneration Personnel) Rules, 2014]
To, The Members, KRETTO SYSCON LIMITED CIN: L70100GJ1994PLC023061
A-401, SANKALP ICONIC, OPP. VIKRAM NAGAR ISCON TEMPLE CROSS ROAD, S.G HIGHWAY AHMEDABAD
Gujarat
I have conducted the Secretarial Audit of the compliance of applicable
statutory provisions and the adherence to good corporate practices by KRETTO SYSCON
LIMITED, (herein after called the company). Secretarial Audit was conducted in a manner
that provided me a reasonable basis for evaluating the corporate conducts/statutory
compliances and expressing my opinion thereon. Based on my verification of the
Companys books, papers, minute books, forms and returns filed and other records
maintained by the company and also the information provided by the Company, its officers,
agents and authorized representatives during the conduct of secretarial audit, I hereby
report that in my opinion, the company has, during the audit period covering the financial
year ended on 31st March, 2023, complied with the statutory provisions listed
hereunder and also that the Company has proper Board-processes and compliance-mechanism in
place to the extent, in the manner and subject to the reporting made hereinafter:
I have e-examined the books, papers, minute books, forms and returns
filed and other records maintained by the Company for the financial year ended on 31st
March, 2023 according to the provisions of:
i. The Companies Act, 2013 (‘the Act) and the rules made
there under; ii. The Securities Contracts (Regulation) Act, 1956 (‘SCRA) and
the rules made there under; iii. The Depositories Act, 1996 and the Regulations and
Bye-laws framed there under;
iv. Foreign Exchange Management Act, 1999 and the rules and regulations
made there under to the extent of Foreign Direct Investment and Overseas Direct Investment
and External commercial borrowing;
v. The following Regulations and Guidelines prescribed under the
Securities and Exchange
Board of India Act, 1992 (‘SEBI Act):-
a) The Securities and Exchange Board of India (Substantial Acquisition
of Shares and Takeovers) Regulations, 2011; b) The Securities and Exchange Board of India
(Prohibition of Insider Trading) Regulations, 2015;
c) The Securities and Exchange Board of India (Issue of Capital and
Disclosure Requirements) Regulations, 2018 ;
d) The Securities and Exchange Board of India (Share Based Employee
Benefits and Sweat Equity) Regulations, 2021 - Not Applicable as the Company has not
issued any shares / options to directors / employees under the said regulations during the
Financial Year under review;
e) The Securities and Exchange Board of India (Issue and Listing of
Non-Convertible Securities) Regulations, 2021 - Not Applicable as the Company has not
issued and listed debt securities during the Financial Year under review
f) The Securities and Exchange Board of India (Registrars to an Issue
and Share Transfer Agents) Regulations, 1993 regarding the Companies Act and dealing with
client;
g) The Securities and Exchange Board of India (Delisting of Equity
Shares) Regulations, 2009; - Not Applicable as the Company has not delisted/proposed to
delist its equity shares from any Stock Exchanges during the Financial Year under review
h) The Securities and Exchange Board of India (Buyback of Securities)
Regulations, 2018; -Not applicable as the Company has not bought back / has proposed to
buy-back any of its securities during the Financial Year under review.
vi. The management has identified and confirmed the following laws as
specifically applicable to the Company:-
a) The Employees Provident Fund & Miscellaneous Provisions
Act, 1952 b) The Employees State Insurance Act, 1948 c) The Maternity Benefit Act,
1961 d) The Payment of Gratuity Act, 1972 e) The Workmens Compensation Act, 1923 f)
Payment of Bonus Act,1965
I have also examined compliance with the applicable clauses of the
following: a) Secretarial Standards issued by The Institute of Company Secretaries of
India; b) SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and the
Listing Agreements entered into by the Company with BSE Limited.
During the period under review, the Company has complied with the
provisions of the Act, Rules, Regulations, Guidelines, Standards, etc. as mentioned above
except following:-
1. Company should appoint internal as per the companies act, 2013.
2. Newspaper Advertisement of Financial Results should be given as per
Regulation 47 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
3. Audit report of the company should be signed by CS and CFO of the
company.
4. Retirement of Directors as per Section 152 of the Companies Act,
2013 should be complied
5. Nomination and Remuneration Committee should be constituted as per
Section 178 of the Companies Act, 2013
6. Website of the company should be updated
I further report that
The Board of Directors of the Company should be duly constituted with
proper balance of Executive Directors, Non-Executive Directors and Independent Directors.
During the year under review, there were no changes in the composition of the Board of
Directors of Company. Adequate notice is given to all directors to schedule the Board
Meetings, agenda and detailed notes on agenda were sent at least seven days in advance,
and a system exists for seeking and obtaining further information and clarifications on
the agenda items before the meeting and for meaningful participation at the meeting.
Majority decision is carried through while the dissenting members views are captured
and recorded as part of the minutes.
I further report that there are adequate systems and processes in the
company commensurate with the size and operations of the company to monitor and ensure
compliance with applicable laws, rules, regulations and guidelines.
For M. S. Buchasia & Associates Practising Company Secretaries
Sd/- Manish Buchasia Proprietor COP: 4156, FCS: 5843 UDIN :
F005843E000780947
Date: 10/08/2023 Place: Ahmedabad
Note: This Report is to be read with Our Letter of event date which is
annexed as Annexure "A" and forms an integral part of this report.
To, The Members, KRETTO SYSCON LIMITED CIN: L70100GJ1994PLC023061
A-401, SANKALP ICONIC, OPP. VIKRAM NAGAR ISCON TEMPLE CROSS ROAD, S.G HIGHWAY AHMEDABAD
Gujarat
Secretarial Audit Report of event date, for the Financial Year 2022-23
is to be read along with this Letter.
1. Maintenance of Secretarial Record is the responsibility of the
management of the company. My responsibility is to express an opinion on Secretarial
Records based on my Audit as presented by management to us.
2. I have followed the audit practices and processes as were
appropriate to obtain reasonable assurance about the correctness of the contents of the
Secretarial Records. The verification was done on test basis to ensure that correct facts
are reflected in Secretarial records. I believe that the processes and practices I
followed provide a reasonable basis for my opinion.
3. I have not verified the correctness and appropriateness of financial
records and books of accounts of the company.
4. Wherever required, I have obtained the Management Representation
about the compliance of laws, rules and regulations and happening of events etc.
5. The compliance of the provisions of Corporate and other applicable
laws, rules, regulations, standards is the responsibility of the management. My
examination was limited to the verification of the procedures on test basis.
6. The Secretarial Audit report is neither an assurance as to the
future viability of the company nor of the efficacy or effectiveness with which the
management has conducted the affairs of the company.
| For M. S. Buchasia & Associates |
| Practising Company Secretaries |
| Sd/- |
| Manish Buchasia |
| Proprietor |
| COP: 4156, FCS: 5843 |
| UDIN: F005843E000780947 |
| Date: 10/08/2023 |
| Place: Ahmedabad |
+91-9892691696
