To the Members of
Mold-Tek Packaging Limited
Report on the Audit of the Financial Statements
Opinion
We have audited the financial statements of Mold-Tek Packaging
Limited ("the Company"), which comprise the Balance sheet as at 31 March,
2023, and the Statement of Profit and Loss (including Other Comprehensive Income), the
Statement of Changes in Equity and Cash Flow Statement for the year then ended, and notes
to the financial statements including a summary of significant accounting policies and
other explanatory information (hereinafter referred to as "the financial
statements").
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, of the
state of affairs of the Company as at 31 March, 2023, and its profit (including other
comprehensive income), changes in equity and its cash flows for the year ended on that
date.
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing
(SAs) specified under section 143(10) of the 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 issued by the Institute of Chartered Accountants of India. We believe that
the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our opinion.
Key Audit Matters
Key audit matters are those matters that, in our professional
judgement, 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 the matters described below to be
the key audit matters to be communicated in our report.
| Sr. No Key Audit Matter |
Auditors Response |
| 1. Revenue Recognition |
Principal Audit Procedures |
| Revenue from the sale of goods (hereinafter referred to as
"Revenue") is recognised when the Company performs its obligation to its
customers and the amount of revenue can be measured reliably and recovery of the
consideration is probable. The timing of such recognition is when the control over goods
is transferred to the customers, which is mainly upon delivery. |
Our audit approach was a combination of tests of internal
controls and substantive procedures including: |
|
• Assessing the appropriateness of Companys
revenue recognition in line with Ind AS 115 - Revenue from Contracts with Customers. |
|
• Evaluating the design and implementation of
Companys controls in respect of revenue recognition. |
| The timing of revenue recognition is relevant to the reported
performance of the Company. The management considers revenue as a key measure for
evaluation of performance. There is a risk of revenue being recorded before the control
over goods is transferred. |
• Testing the effectiveness of such controls over
revenue cut off at the year end. |
|
• Testing the supporting documentation for sales
transactions recorded during the period closer to the year-end and subsequent to the
year-end, including examination of credit notes issued after the year end to determine
whether revenue was recognised in the correct period. |
| Refer Note 2 to the financial statements - Significant
Accounting Policies. |
|
| 2. Appropriateness of capitalisation of costs as per Ind AS
16 Property, Plant and Equipment |
Principal Audit Procedures |
|
We have performed the following procedures in relation to
testing of capitalization of costs: |
| During the year, the Company capitalised 64.04 crores as
Property, plant and equipment in respect of its plant located at Sulthanpur, Hyderabad. |
|
|
• Understood, evaluated and tested the design and
operating effectiveness of key controls relating to capitalization of |
| Given the significance of the capital expenditure, there is a
risk that elements of costs that are ineligible for capitalization in accordance with the
recognition criteria provided in Ind AS 16 - Property, Plant and Equipment are
capitalized. |
various costs incurred in relation to Property, Plant and
Equipment. |
|
• Performed test of details with focus on those items
that we considered significant due to their amount or nature and tested a number of items
capitalized during the year against underlying supporting documents to ascertain nature of
costs and whether they meet the recognition criteria provided in Ind AS 16 in this regard. |
| Refer Note 2 to the financial statements - Significant
Accounting Policies. |
|
|
• Reviewed the other costs which are debited to
Statement of Profit and Loss, to ascertain whether these meet the criteria for
capitalization. |
Other Information
The Companys Board of Directors is responsible for the other
information. The other information in the annual report does not include the financial
statements and our auditors report thereon. The other information is expected to be
made available to us after the date of this auditors report.
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.
When we read the other information included in the annual report, if we
conclude that there is a material misstatement therein, we are required to communicate the
matter to those charged with governance.
Responsibilities of Management and Those Charged with Governance for
the Financial Statements
The Companys Board of Directors 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, changes in equity 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 financial statements, the 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 the 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 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 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
judgement 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 and appropriate to
provide a basis for our opinion. The risk of not detecting a material misstatement
resulting from fraud is higher than for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal
control.
• Obtain an understanding of internal 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 with reference to the
financial statements 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 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 work 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, 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), Statement of Changes in Equity and the Cash Flow Statement dealt
with by this report are in agreement with the books of account.
d) In our opinion, the aforesaid financial statements comply with the
Indian Accounting Standards prescribed under Section 133 of the Act.
e) On the basis of the written representations received from the
directors as on 31 March, 2023 taken on record by the Board of Directors, none of the
directors is disqualified as on 31 March, 2023 from being appointed as a director in terms
of Section 164 (2) of the Act.
f) With respect to the adequacy of the internal financial controls with
reference to financial statements of the Company and the operating effectiveness of such
controls, refer to our separate Report in "Annexure A".
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 year is in accordance with the provisions of section 197 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, 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 on its
financial position in its financial statements (Refer Note 33 of the financial
statements);
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable losses;
iii. There is no delay in transferring amounts, which were required to
be transferred to the Investor Education and Protection Fund by the Company.
iv. (a) The Management has represented that, to the best of its
knowledge and belief, no funds (which are material either individually or in the
aggregate) have been advanced or loaned or invested (either from borrowed funds or share
premium or any other sources or kind of funds) by the Company to or in any other person or
entity, including foreign entity ("Intermediaries"), with the understanding,
whether recorded in writing or otherwise, that the Intermediary shall, whether, directly
or indirectly lend or invest in other persons or entities identified in any manner
whatsoever by or on behalf of the Company ("Ultimate Beneficiaries") or provide
any guarantee, security or the like on behalf of the Ultimate Beneficiaries;
(b) The Management has represented, that, to the best of its knowledge
and belief, no funds (which are material either individually or in the aggregate) have
been received by the Company from any person or entity, including foreign entity
("Funding Parties"), with the understanding, whether recorded in writing or
otherwise, that the Company shall, whether, directly or indirectly, lend or invest in
other persons or entities identified in any manner whatsoever by or on behalf of the
Funding Party ("Ultimate Beneficiaries") or provide any guarantee, security or
the like on behalf of the Ultimate Beneficiaries;
(c) Based on the audit procedures that have been considered reasonable
and appropriate in the circumstances, nothing has come to our notice that has caused us to
believe that the representations under sub-clause (i) and (ii) of Rule 11(e), as provided
under (a) and (b) above, contain any material misstatement.
v. As stated in Note 41(B) to the financial statements:
(a) The final dividend proposed in the previous year, declared and paid
by the Company during the year is in accordance with Section 123 of the Act, as
applicable.
(b) The interim dividend declared and paid by the Company during the
year and until the date of this report is in compliance with Section 123 of the Act.
(c) The Board of Directors of the Company have proposed final dividend
for the year which is subject to the approval of the members at the ensuing Annual General
Meeting. The amount of dividend proposed is in accordance with section 123 of the Act, as
applicable.
vi. As proviso to rule 3(1) of the Companies (Accounts) Rules, 2014 is
applicable to the Company only w.e.f. 1 April, 2023, reporting under Rule 11(g) of
Companies (Audit and Auditors) Rules, 2014 is not applicable for the financial year ended
31 March, 2023.
2. As required by the Companies (Auditors Report) Order, 2020,
("the Order") issued by the Central Government of India in terms of Section 143
(11) of the Act, we give in "Annexure B" a statement on the matters specified in
paragraphs 3 and 4 of the Order.
Annexure - A to the Independent Auditors Report
(Referred to in paragraph 1(f) under ‘Report on Other Legal and
Regulatory Requirements section of our report of even date)
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 with reference to the
financial statements of Mold-Tek Packaging Limited ("the Company") as of
31 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
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 Act.
Auditors Responsibility
Our responsibility is to express an opinion on the Companys
internal financial controls with reference to the financial statements 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 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 the 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 the financial statements included obtaining an understanding of internal
financial controls over financial reporting, assessing the risk that a material weakness
exists, and testing and evaluating the design and operating effectiveness of internal
control based on the assessed risk. The procedures selected depend on the auditors
judgment, including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the Companys internal
financial controls system with reference to the financial statements.
Meaning of Internal Financial Controls with reference to the Financial
Statements
A Companys internal financial control 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 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 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 with reference to Financial Statements and such internal
financial controls with reference to Financial Statements 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 - B to the Independent Auditors Report
Annexure - B to the Independent Auditors Report
With reference to Paragraph 2 under ‘Report on Other Legal and
Regulatory Requirements section of our report to the Members of the Company, we
report that,
(i) (a) In respect of the Companys Property, Plant and Equipment
and Intangible Assets:
A. The Company has maintained proper records showing full particulars,
including quantitative details and situation of Property, Plant and Equipment and relevant
details of right-of-use assets.
B. The Company has maintained proper records showing full particulars
of intangible assets.
(b) The Property, Plant and Equipment have been physically verified by
the management in a periodical manner, which in our opinion is reasonable, having regard
to the size of the Company and the nature of its business. No material discrepancies were
noticed on such verification.
(c) According to the information and explanations given to us and on
the based on our examination of the records of the Company, the title deeds of immovable
properties are held in the name of the Company.
(d) The Company has not revalued any of its Property, Plant and
Equipment (including right-of-use assets) and intangible assets during the year.
(e) No proceedings have been initiated during the year or are pending
against the Company as at 31 March, 2023 for holding any benami property under the Benami
Transactions (Prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.
(ii) (a) The inventory has been physically verified by the management
during the year. In our opinion, the coverage, frequency and procedure of such
verification is reasonable and adequate in relation to the size of the Company and the
nature of its business. The discrepancies noticed on verification between the physical
stocks and the book records were not exceeding 10% in the aggregate for each class of
inventory
(b) The Company is sanctioned working capital limits in excess of 5
Crore during the year from banks or financial institutions on the basis of security of
current assets. Further, the quarterly returns or statements filed by the Company with
such banks or financial institutions are in agreement with the books of account of the
Company.
(iii) During the year, the Company has not made investments, not
provided loans or advances in the nature of loans or not stood guarantee or not provided
security in/to companies, firms, Limited Liability Partnerships or any other parties.
Hence, reporting under clause 3(iii) of the Order is not applicable.
(iv) In our opinion and according to the information and explanations
given to us, the Company has complied with the provisions of Section 185 and 186 of the
Act in respect of loans and investments. Further, the Company has not stood guarantee or
not provided security in/to companies, firms, Limited Liability Partnerships or any other
parties.
(v) According to the information and explanations given to us, the
Company has not accepted deposits nor the amounts which are deemed to be deposits within
the meaning of Sections 73 to 76 of the Act and the rules framed there under. Hence,
reporting under clause 3(v) of the Order is not applicable.
(vi) The maintenance of cost records has not been specified by the
Central Government under subsection (1) of section 148 of the Companies Act, 2013 for the
business activities carried out by the Company. Hence, reporting under clause (vi) of the
Order is not applicable to the Company.
(vii) In respect of statutory dues:
(a) According to the information and explanations given to us and the
records of the Company examined by us, the Company is regular in depositing undisputed
statutory dues including Provident fund, Employees state insurance, Income-tax,
Goods and Services Tax, Customs duty, cess and any other statutory dues as applicable with
the appropriate authorities and there were no arrears of outstanding statutory dues as at
the last day of the financial year concerned for a period of more than six months from the
date they became payable.
(b) According to the information and explanations given to us and
records of the Company examined by us, the particulars of income tax, sales tax/value
added tax, goods and services tax, customs duty, or cess as at 31 March, 2023 which have
not been deposited on account of any dispute pending are as under:
| Name of the statute |
Nature of the dues |
Amount ( in lakhs) |
Amount paid under protest ( in lakhs) |
Period to which the amount relates |
Forum where the dispute is pending |
| Income-tax Act, 1961 |
Income tax |
5.07 |
5.07 |
AY 2013-14 |
Commissioner of Income tax (Appeals), NFAC |
| Income-tax Act, 1961 |
Income tax |
67.90 |
67.90 |
AY 2017-18 |
Commissioner of Income Tax Appeals, NFAC |
| AP Value Added Tax Act, 2005 |
Value Added Tax |
1.53 |
0.19 |
FY 2007-08 |
Dy. Commissioner (CT), Punjagutta Division, Hyderabad |
(viii) There were no transactions relating to previously unrecorded
income that have been surrendered or disclosed as income during the year in the tax
assessments under the Income Tax Act, 1961 (43 of 1961).
(ix) (a) The Company has not defaulted in repayment of loans or other
borrowings or in the payment of interest thereon to any lender.
(b) The Company has not been declared wilful defaulter by any bank or
financial institution or other lender.
(c) According to the information and explanations given to us and
procedures performed by us, we report that the Company has applied the term loans for the
purpose for which the loans were obtained.
(d) On an overall examination of the financial statements of the
Company, funds raised on short-term basis have, prima facie, not been used for long-term
purposes by the Company.
(e) The Company does not have any Subsidiaries, associates or Joint
Ventures and hence, reporting under clause 3(ix) (e) and (f) of the Order is not
applicable.
(x) (a) The Company has not raised monies by way of initial public
offer or further public offer (including debt instruments) during the year and hence
reporting under clause 3 (x) of the Order is not applicable.
(b) The Company has not made any preferential allotment or private
placement of shares or fully or partly convertible debentures during the year and hence
reporting under clause (x) of the Order is not applicable.
(xi) (a) No fraud by the Company and no material fraud on the Company
has been noticed or reported during the year.
(b) No report under sub-section (12) of section 143 of the Companies
Act has been filed in Form ADT-4 as prescribed under rule 13 of Companies (Audit and
Auditors) Rules, 2014 with the Central Government, during the year and upto the date of
this report.
(c) As represented to us by the management, there are no whistle blower
complaints received by the Company during the year.
(xii) The Company is not a Nidhi Company and hence reporting under
clause 3 (xii) of the Order is not applicable.
(xiii) In our opinion, the Company is in compliance with Section 177
and 188 of the Companies Act, 2013 with respect to applicable transactions with the
related parties and the details of related party transactions have been disclosed in the
financial statements as required by the applicable accounting standards.
(xiv) (a) In our opinion the Company has an adequate internal audit
system commensurate with the size and the nature of its business.
(b) We have considered, the internal audit reports for the year under
audit, issued to the Company during the year and till date, in determining the nature,
timing and extent of our audit procedures.
(xv) In our opinion during the year the Company has not entered into
any non-cash transactions with its directors or persons connected with its directors. and
hence provisions of section 192 of the Companies Act, 2013 are not applicable to the
Company.
(xvi) (a) In our opinion, the Company is not required to be registered
under section 45-IA of the Reserve Bank of India Act, 1934. Hence, reporting under clause
3(xvi)(a) of the Order is not applicable.
(b) The Company is not engaged in any non-banking financial housing
finance activities. Accordingly, the requirement to report on clause 3(xvi)(b) of the
Order is not applicable to the Company.
(c) The Company is not a core investment Company as defined in the
Regulations made by the Reserve Bank of India. Accordingly, the requirement to report on
clause 3(xvi)(c) of the Order is not applicable to the Company.
(d) In our opinion, there is no core investment Company within the
Group (as defined in the Core Investment Companies (Reserve Bank) Directions, 2016) and
accordingly reporting under clause 3(xvi)(d) of the Order is not applicable.
(xvii) The Company has not incurred cash losses during the financial
year covered by our audit and in the immediately preceding financial year.
(xviii) There has been no resignation of the statutory auditors of the
Company during the year. Hence, reporting under clause 3(xviii) of the Order is not
applicable.
(xix) 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 and 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 indicating that 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) There are no unspent amounts towards Corporate Social
Responsibility (CSR) on other than ongoing projects requiring a transfer to a Fund
specified in Schedule VII to the Companies Act in compliance with second proviso to
sub-section (5) of Section 135 of the said Act. Hence, reporting under clause 3(xx) of the
Order is not applicable.
(b) In respect of ongoing projects, the Company has transferred unspent
Corporate Social Responsibility (CSR) amount as at the end of the previous financial year,
to a Special account within a period of 30 days from the end of the said financial year in
compliance with the provisions of section 135(6) of the Act.
|
For M. Anandam & Co., Chartered
accountants |
|
(Firm Registration No.000125S) |
|
Sd/- |
|
B.V. Suresh Kumar Partner |
| Place: Hyderabad |
Membership No.212187 |
| Date : 3 May, 2023 |
UDIN: 23212187BGWOPG4587 |
+91-9892691696
