To the Members of NEELKANTH ROCKMINERALS LIMITED Report on the Ind AS financial
statements
Opinion
We have audited the accompanying financial statements of NEELKANTH ROCKMINERALS LIMITED
(the Company), which comprise the Balance Sheet as at March 31, 2023, the Statement of
Profit and Loss, including the statement of other comprehensive Income, the cash flow
statement and the statement of change in equity for the year then ended, and 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 Ind AS financial statements give the information required by the Act in
the manner so required and give a true and fair view in conformity with the accounting
principles generally accepted in India, of the state of affairs of the Company as at 31st
March, 2023 and its profit/loss, other comprehensive Income, its cash flows and statement
of change in equity 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 SAs 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 hereunder, and we have fulfilled our other ethical
responsibilities in accordance with these requirements and the Code of Ethics. We believe
that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our opinion.
Key Audit Matters
We have determined that there are no key audit matters to communicate in our report.
Other Information
The Companys management and Board of Directors are responsible for the other
information. The other information comprises the information included in the
Companys 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.
1. Managements Responsibility for the Ind AS financial statements
The Companys management and 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 state of affairs, profit / loss (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) 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, management and Board of Directors are
responsible for assessing the Companys ability to continue as a going concern,
disclosing, as applicable, matters related to going concern and using the going concern
basis of accounting unless management either intends to liquidate the Company or to cease
operations, or has no realistic alternative but to do so.
Board of Directors is also responsible for overseeing the Companys financial reporting
process.
2. Auditors Responsibilities for the Audit of Financial Statements.
Our objectives are to obtain reasonable assurance about whether the financial
statements as a whole are free from material misstatement, whether due to fraud or error,
and to issue an auditors report that includes our opinion. Reasonable assurance is a high
level of assurance, but is not a guarantee that an audit conducted in accordance with SAs
will always detect a material misstatement when it exists. Misstatements can
arise from fraud or error and are considered material if, individually or in the
aggregate, they could reasonably be expected to influence the economic decisions of users
taken on the basis of these financial statements.
As part of an audit in accordance with SAs, we exercise professional judgment and
maintain professional skepticism
• 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 with reference to 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.
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.
3. Report on Other Legal and Regulatory Requirements
1) As required by the Companies (Auditors Report) Order, 2020 ("the Order")
issued by the Central Government of India in terms of sub-section (11) of section 143 of
the Act, we give in the 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, 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 purpose of our audit;
b. ) In our opinion proper books of account as required by law have been kept by
the Company so far as appears from our examination of those books.
c. ) The Balance Sheet, Statement of Profit and Loss, including the statement of
other comprehensive Income, its cash flows and statement of change in equity dealt with
by this Report are in agreement with the books of account.
d. ) In our opinion, the aforesaid Ind AS financial statements comply with the Ind
AS specified under section 133 of the Act.
e. ) On the basis of written representations received from the directors as on
March 31, 2023, and 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 sec
164(2) of 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. ) 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 explanation given to us:
i) The company does not have any pending litigation which would impact its financial
position.
ii) The company did not have any long term contracts including derivative contracts for
which there were any material foreseeable losses.
iii) There were no 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 knowledge and belief, no
fund have been advanced or loan or invested (either form borrowed funds or share premium
or any other sources or kinds of funds) by the company to or any other person(s) or
entity(ies), including foreign entities ("Intermediaries"), with the
understandings, 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 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 knowledge and belief, no fund
have been received by the company from any other person or entity, including foreign
entities ("funding parties"), with the understandings, 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; and
(c) based on such audit procedures that were considered reasonable and appropriate in
the circumstances, nothing has come to our notice that has caused us to believe that the
representation under sub clause (a) and (b) contain any material misstatement.
V) No dividend has been declared or paid during the year by the Company.
ANNEXURE A’
ANNEXURE TO THE INDEPENDENT AUDITORS’ REPORT TO THE MEMBERS OF NEELKANTH
ROCKMINERALS LIMITED AS AT 31ST MARCH 2023
(Referred to in paragraph 4 of our report of even date)
i) In respect of its fixed assets:
(a) 1. The Company has maintained proper records showing full particulars, including
quantitative details and situation of Property, Plant and Equipment.
2. It has been stated that there is no intangible assets held by the company.
(b) The Property, Plant and Equipment were physically verified during the year by the
Management. 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 company had no immovable assets as at the end of the reporting period
and hence question of verification of title deeds of the immovable properties held in the
name of the company does not arise.
(d) According to the information and explanation given to us, the company has not
revalued any of its Property, Plant and equipments or intangible assets during the year
under report.
(e) According to the information and explanation given to us, the company has not held
any Benami property under the Benami Transactions (Prohbition) Act, 1988 (45of 1988) and
therefore this clause is not applicable.
ii) (a.) As explained to us, the company had no inventories during the year which needs
to be physically verified. by the management and hence this clause No. (ii) (a) is not
applicable.
(b.) As explained to us, the company has not been granted any working capital limits
from any bank or financial institution on the basis of security of any current assets and
is therefore not required to file any quarterly returns or statement to the bank. This
clause No. (ii)(b) is therefore not applicable.
iii) According to the information and explanations given to us and on the basis of our
examination of the records of the company, the Company has granted loans, secured or
unsecured to companies, firm, limited liability partnership or any other parties.
(a.) According to the information and explanations given to us and on the basis of our
examination of the records of the company, the Company has granted loans, secured or
unsecured to companies, firm, limited liability partnership or any other entities.
A. According to the information given to us, there is no loan or advance in the nature
of loan given during the year to subsidiaries, joint ventures and associates.
B. The details of loans or advances in the nature of loan given to other than
subsidiaries, joint venture and associates are as under:-
| S.No. |
Name of Party |
Amount of Loan given during year |
Balance as at 31.03.2023 |
| 01. |
Shree Suraj Resources Ltd |
Rs. 4,00,000.00 |
Rs. 92,95,091.00 |
| 02. |
Oliver Overseas |
Rs. 270,00,000.00 |
Rs. 270,00,000.00 |
(b.) It has been stated that the terms and conditions of the grant of loan and advances
are not prejudicial to the companys interest.
(c.) According to the information given to us, there is no schedule fixed for repayment
of principle and payment of interest by the loanee company. However, the repayment is
regularly made as and when demanded.
(d.) As informed to us there is no amount overdue for more than 90 days.
(e.) As informed to us, no loan or advance in the nature of loan has been renewed,
extended or fresh loan granted to settle the overdue of existing loan given to the same
party.
(f.) As informed to us, the company has granted loans or advance in the nature of loan
amounting to Rs. 7,45,22,678/- which are repayable on demand and for which no terms have
been specified for its repayment and which amounted to 100% of the total loan granted. The
details of loans granted to Promoters and related parties as defined in Clause (76) of Sec
2 of the Companies Act, 2013 are as under:-
| S.No. |
Particulars |
Amount (Rs.) |
% of total Loans granted |
| 01. |
Loans to Related Parties |
606013.00 |
0.81 % |
iv) According to the information and explanations given to us, there is no loan,
investment, guarantee or security provided during the year under report which is covered
by the provisions of sec 185 or 186 of the Companies Act, 2013.
v) The Company has not accepted any deposits during the year under report.
vi) According to the information and explanation given to us, the rules made by the
Central Government for the maintenance of cost records under sec 148(1) of the Companies
Act, 2013, are not applicable.
vii) a. According to the information and explanations given to us and on the basis of
our examination of the records of the company, in respect of Statutory and other
dues, the Company has been regular in depositing undisputed statutory dues, including
Provident Fund, Employees State Insurance, Income Tax, Custom Duty, sales tax, Goods and
Service Tax and Cess and any other statutory dues with the appropriate authorities during
the year.
According to the information and explanations given to us, no undisputed amount of
statutory dues, including Provident Fund, Income Tax, Custom Duty, Goods and Service Tax
and Cess and any other statutory dues were in arrears as at 31.03.2023 for a period
exceeding six months from the date they became payable.
b. According to the information and explanations given to us, there is no disputed
amount of the statutory and other dues pending for payment which are under litigation at
any forum..
viii) According to the information and explanation given to us, there is no transaction
not recorded in the books of accounts have been surrendered or disclosed as income during
the year in the tax assessment under the Income Tax Act, 1961 (43 of 1961)..
ix) a. According to the information and explanations given to us, the company has not
availed any loans or borrowings from any financial institution or bank and therefore this
clause No.(ix)(a) is not applicable.
b. According to the information and explanation given to us, the company has not been
declared defaulter by any bank or financial institution or other lender.
c. According to the information and explanation given to us, the company has not
availed any term loans and therefore the Clause No. (ix)? is not applicable.
d. According to the information and explanation given to us, the funds raised on short
term basis have not been utilized for long term purposes.
e. According to the information and explanation given to us, the company has no
subsidiary, associates or joint ventures and therefore this Clause No. (ix)(e) is not
applicable.
f. According to the information and explanation given to us, the company has no
subsidiary, associates or joint ventures and therefore this Clause No. (ix)(f) is not
applicable.
x) a. According to the information and explanations given to us, the company has not
raised any moneys either by way of Initial Public Issue or Further Public Offer (including
debt instrument).
b. According to the information and explanations given to us and based on our
examination of records, the company has not made any preferential allotment or private
placement of shares or fully or partly convertible debentures during the year under
report.
xi) a. To the best of our knowledge and belief and according to the information and
explanations given to us there is no fraud by the company or any fraud on the Company by
its officers or employees has been noticed or reported during the year.
b. .To the best of our knowledge and belief and according to the information and
explanations given to us there is no report under sub-sec (12) of sec 143 of the Companies
Act has been filed by the auditors in Form ADT-4 as prescribed under rule 13of the
Companies (Audit and Auditors) Rules 2014 with the Central Government.
c. Accordingly to the information and explanation given to us, there is no
whistle-blower complaints received by the company during the year under report.
xii) According to the information and explanations given to us, the company is not a
nidhi company. Accordingly, the paragraph 3 (xii)(a) to (c) to the order is not
applicable.
xiii) According to the information and explanations given to us and based on our
examination of the records, all the transactions with the related parties are in
compliance with sec 177 and 188 of the Companies Act, 2013 where applicable and details
have been disclosed in the Financial Statement as required under Accounting Standard (AS)
18, Related Party Disclosure specified under sec 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
xiv) a. According to the information and explanation given to us, the company has an
internal audit system commensurate with the size and nature of its business.
b. As to best of our knowledge, the reports of internal auditor for the period under
audit were considered by us.
xv) According to the information and explanations given to us and based on our
examination of records, the company has not entered into any non cash transaction with the
directors or persons connected with him. Accordingly paragraph 3 (xv) of the order is not
applicable.
xvi) a. According to the information and explanations given to us, the company is not
required to be registered under sec 45IA of the Reserve Bank of India Act, 1934 during the
year under report. Accordingly paragraph 3 (xvi)(a) of the order is not applicable.
b. According to the information and explanation given to us, the company has not
conducted any Non-banking or Housing activities and therefore Clause (xvi)(b) is not
applicable.
c. According to the information and explanation given to us, the company is not a core
investment company as defined in the regulations made by the Reserve Bank of India and
therefore clause (xvi) (c) and (d) are not applicable.
xvii) According to the information and explanation given to us, the company has not
incurred any cash loss in the financial year and in the immediately preceding financial
year.
xviii) According to the information given, there is no resignation of statutory auditor
during the year and hence clause (xviii) is not applicable.
xix) On the basis of the financial ratios, ageing and expected dates of realization of
financial assets and payment of financial liabilities, other information accompanying the
financial statements, our knowledge of the Board of Directors and management plans, we are
of the opinion that no material uncertainty exists as on the date of the audit report that
company is 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;
xx) According to the information and explanation given to us, the provisions of sec 135
of the Companies Act, 2013 are not applicable to the company for the year under report and
hence Clauses (xx)(a) and (b) are not applicable.
xxi) According to the information and explanation given to us, the company is not
liable to prepare any Consolidated Financial Statement during the year under report and
hence Clause (xxi) is not applicable.
ANNEXURE - B TO THE INDEPENDENT AUDITORS REPORT
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section
143 of the Companies Act, 2013 ("the Act") referred to in our report of even
date.
We have audited the internal financial controls over financial reporting of NEELKANTH
ROCKMINERALS LIMITED. ("The Company") as of 31 March 2023 in conjunction with
our audit of the standalone financial statements of the Company for the year ended on that
date.
Management’s Responsibility for Internal Financial Controls:
The Companys management is responsible for establishing and maintaining internal
financial controls based on the internal control over financial reporting criteria
established by the Company considering the essential components of internal control stated
in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting
issued by the Institute of Chartered Accountants of India (‘ICAI). These
responsibilities include the design, implementation and maintenance of adequate internal
financial controls that were operating effectively for ensuring the orderly and efficient
conduct of its business, including adherence to companys policies, the safeguarding of
its assets, the prevention and detection of frauds and errors, the accuracy and
completeness of the accounting records, and the timely preparation of reliable financial
information, as required under the Companies Act, 2013.
Auditors’ Responsibility:
Our responsibility is to express an opinion on the Companys internal financial
controls over financial reporting based on our audit. We conducted our audit in accordance
with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting
(the "Guidance Note") and the Standards on Auditing, issued by ICAI and deemed
to be prescribed under section 143(10) of the Companies Act, 2013, to the extent
applicable to an audit of internal financial controls. Those Standards and the Guidance
Note require that we comply with ethical requirements and plan and perform the audit to
obtain reasonable assurance about whether adequate internal financial controls over
financial reporting was established and maintained and if such controls operated
effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of
the internal financial controls system over financial reporting and their operating
effectiveness. Our audit of internal financial controls over financial reporting included
obtaining an understanding of internal financial controls over financial reporting,
assessing the risk that a material weakness exists, and testing and evaluating the design
and operating effectiveness of internal control based on the assessed risk. The procedures
selected depend on the auditors judgment, including the assessment of the risks of
material misstatement of the financial statements, whether due to fraud or 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
over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting:
A companys internal financial control over financial reporting is a process designed
to provide reasonable assurance regarding the reliability of financial reporting and the
preparation of financial statements for external purposes in accordance with generally
accepted accounting principles. A companys internal financial control over financial
reporting includes those policies and procedures that (1) pertain to the maintenance of
records that, in reasonable detail, accurately and fairly reflect the transactions and
dispositions of the assets of the company; (2) provide reasonable assurance that
transactions are recorded as necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles, and that receipts and
expenditures of the company are being made only in accordance with 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.
Inherent Limitations of Internal Financial Controls over Financial Reporting:
Because of the inherent limitations of internal financial controls over financial
reporting, including the possibility of collusion or improper management override of
controls, material misstatements due to error or fraud may occur and not be detected.
Also, projections of any evaluation of the internal financial controls over financial
reporting to future periods are subject to the risk that the internal financial control
over financial reporting may become inadequate because of changes in conditions, or that
the degree of compliance with the policies or procedures may deteriorate.
Opinion:
In our opinion, the Company has, in all material respects, an adequate internal
financial control system over financial reporting and such internal financial controls
over financial reporting were operating effectively as at 31 March 2023, based on the
internal control over financial reporting criteria established by the Company considering
the essential components of internal control stated in the Guidance Note on Audit of
Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered
Accountants of India.
+91-9892691696
