To
The Members of M/s Pritika Autocast Limited
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of M/s Pritika
Autocast Limited ("the Company") which comprise the Balance Sheet as at 31st
March, 2016 the Statement of Profit and Loss and the Cash Flow Statement for the year
ended, and a summary of significant accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
The Companys Board of Directors is responsible for the matters stated in section
134(5) of the Companies Act, 2013 ("the Act") with respect to preparation &
presentation of these standalone financial statements that give a true and fair view of
the financial position, financial performance and cash flow of the company in accordance
with the accounting principles generally accepted in India, including the Accounting
Standards specified under section 133 of the Act, read with Rule 7 of the Companies
(Accounts) Rules, 2014 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 the 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 control, 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.
Auditors Responsibility
Our responsibility is to express an opinion on these standalone financial statements
based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing
standards and matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing specified under
Section 143(10) of the Act. Those Standards require that we comply with ethical
requirements and plan and perform the audit to obtain reasonable assurance about whether
the financial statements are free from material misstatement
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements 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. In making those risk assessments, the auditor
considers internal financial control relevant to the Companys preparation of the
financial statements that give true and fair view in order to design audit procedures that
are appropriate in the circumstances but not for the purpose of expressing an opinion on
whether the Company has in place an adequate internal financial controls system over
financial reporting and the operating effectiveness of such controls. An audit also
includes evaluating the appropriateness of accounting policies used and the reasonableness
of the accounting estimates made by Companys Directors as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the standalone financial Statements.
Opinion
In our opinion and to the best of our information and according to the explanations
given to us, the aforesaid standalone 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 acceptec in India,
(a) In the case of the Balance Sheet, of the state of affairs of the company as at
March 31, 2016;
(b) In the case of the Statement of Profit & Loss Account, of the Profit for the
year ended on that date; and
(c) In the case of the Cash Flow Statement, of the cash flows for the year ended on
that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors Report) Order, 2016 ("the Order")
issued by the Central Government of India in terms of sub section (11) of section 143 of
the Companies Act 2013, We give in the Annexure - A, statement on the matters specified in
paragraph 3 & 4 of the order.
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 it appears from our examination of those books;
c. The Balance Sheet and the Statement of Profit and Loss, and the Cash Flow Statement
dealt with by this Report are in agreement with the books of account;
d. In our opinion, the aforesaid standalone financial statements comply with the
Accounting Standards specified under section 133 of the Act, read with the Rule 7 of
the Companies (Accounts) Rules, 2014
e. On the basis of written representations received from the directors on 31st March,
2016 taken on record by the Board of Directors, non of the directors is disqualified as on
31st March, 2016 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 over financial
reporting of the company and operating effectiveness of such controls, refer to our
separate report in "Annexure - B" and
g. With respect to the other matters included in the Auditors Report in accordance
with Rule 11 of the companies (Audit & Auditors) Rules, 2014, in our opinion and to
our best of our information and according to the explanations given to us:
i. The Company does not have any pending litigations which would impact its financial
position.
ii The Company is not required to make provisions as at 31s1 March 2016 as
required under the applicable law or accounting standards for material foreseeable losses,
long term contracts including derivative contracts.
iii There has been no delay in transferring amounts, required to be transferred to the
Investor Education and Protection Fund by the Company.
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For VIKESH CHETAL & ASSOCIATES |
|
Firm Registration No 023836N |
|
Chartered Accountants |
| Place: Mohali |
|
| Date : 28/05/2016 |
|
|
(Vikesh KrChetal) |
|
(Membership No: 097901) |
|
Proprietor |
Annexure - A to the Independent Auditors Report of the even date to the members of
Rritika Autocast Limited on the financial statements for the year ended 31s1
March 2016.
Based on the audit procedures performed for the purpose of reporting a true and fair
view on the financial statements of the company and taking into consideration the
information and explanations given to us and the books of accounts and other records
examined by us in the normal course of audit, we report the members of M/s Pritika Auto
cast Limited as under-
(i) a) The company has maintained proper records showing full particulars, including
the quantitative details and situation of fixed assets on the basis of information
available
b) The company has a regular programme of physical verification of its fixed assets by
which fixed assets are verified in a phased manner over a period of three years. In
accordance with this programme certain fixed assets were verified during the year and no
material discrepancies were noticed on such verification. In our opinion, this periodicity
of physical verification is reasonable having regard to the size of the company and the
nature of its assets.
c) According to the information and explanations given to us and on the basis of our
examination of the records of the company, the title deeds of immovable properties are
held in the name of the company.
ii) The inventories have been physically verified by the management/banks and stock
auditors during the reasonable intervals In our opinion and according to information and
explanations given to us the frequency of physical verification is reasonable. The
discrepancies noticed on physical verification of inventory we re not material and have
been adequately dealt within the books of accounts. As the items of the stock are
technical in nature and being the chartered accountant by profession we are not technocrat
and due inadequate time we are unable to get it cross verified. However no adverse
information is available to us during our audit.
(iii) The company had not granted any loans, secured or unsecured, to the companies,
firms or other parties listed in the register maintained under Section 189 of the
Companies Act, 2013. Consequently, the provisions of clauses iii(a) and iii(b) of the
order are not applicable to the Company.
(iv) That during the year company had not granted any loan or given any guarantee with
respect to section 185 and 186 of company act 2013, however as on 25-06-2013 company had
given guarantee to Canara bank to the tune of Rupees 16,22,75,000/- in favour of its
sister concern Nibber Castings Private Limited which is still alive.
(v) In our opinion, and according to the information and explanation given to us, the
company has not accepted any deposit; hence, clause (v) is not applicable to the company.
Accordingly the directives issued by the Reserve Bank of India and the provisions of
Section 73 to 76 or any other relevant provisions of the Companies Act and rules framed
there under are not applicable.
(vi) The Company is not required to maintain the cost records pursuant to the Rules
made by the Central Government for the maintenance of cost records under sub section (1)
of section 148 of the Companies Act 2013.
(vii) a) According to the information and explanations given to us and on the basis of
our examination of the records of the company, amounts deducted/accrued in the books of
account in respect of undisputed statutory dues including provident fund, employees state
insurance, income-tax, sales tax, value added tax, duty of customs, duty of excise,
service tax, cess and other material statutory dues have been regularly deposited during
the year by the company with the appropriate authorities. As explained to us and on the
basis of examination of record no arrear of statutory dues for the period more than six
months from the date they be come payable at the end of financial year.
b) According to the information and explanations given to us, there is no amounts
payable in respect of Income Tax, Wealth Tax, Service Tax, Sales Tax, value added tax.
Customs Duty and Excise Duty which have not been deposited on account of any dispute.
(viii) In our opinion and according to the information and explanations given to us,
the company has not defaulted in repayment of dues to the banks or financial institutions
or debenture holders. Accordingly the paragraph 3(viii) of the order is not applicable.
(ix) The company did not raise any money by way of initial public offer or further
public offer (including debt instruments). Regarding the term loans, company had taken
term loans and it is used for the purposes which these had been taken.
(x) To the best of our knowledge & belief and according to the information and
explanations given to us, no material fraud by the company or on the company by its
officers or employees has been noticed or reported during the year.
(xi) According to information and explanations given to us and based on our examination
of the records of the company, the company has paid/provided for managerial
i remuneration in accordance with the requisite approvals mandated by provision of
section 197 read with schedule V of the act.
(xii) In our opinion and information and explanation given to us, the company is not a
Nidhi company. Accordingly, paragraph 3(xii) of the order is not applicable.
(xiii) According to information & explanations given to us and based on our
examination of the records of the company, transactions with the related parties are in
compliance with sections 177 and 188 of the Act 2013 where applicable and details of such
transactions have been disclosed in the financial statements as required by the applicable
accounting standards.
(xiv) According to the information and explanations given to us and based on our
examination of 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.
(xv) According to the information and explanations given to us and based on our
examination of records of the company, the company has not entered into the non - cash
transaction with the directors or persons connected with him, accordingly the paragraph
3(xv) of the order is not applicable.
(xvi) The company is not required to be registered under section 45-IA of Reserve bank
of India Act 1934.
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For VIKESH CHETAL & ASSOCIATES |
|
Firm Registration No 023836N |
|
Chartered Accountants |
| Place: Mohali |
|
| Date : 28/05/2016 |
|
|
(Vikesh KrChetal) |
|
(Membership No: 097901) |
|
Proprietor |
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 over financial reporting of M/s
Pritika Autocast Limited as of 31 March 2016 in conjunction with our audit 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 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, both applicable to an audit of
Internal Financial Controls and, both issued by the Institute of Chartered Accountants of
India. Those Standarcs 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 control 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 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 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 controls system over financial reporting and such internal financial controls
over financial reporting were operating effectively as at 31 March 2016, based on the
internal control over financial reporting criteria established by the Company considering
the essential components of internal control stated in the Guidance Note on Audit of
Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered
Accountants of India.
|
For VIKESH CHETAL & ASSOCIATES |
|
Firm Registration No 023836N |
|
Chartered Accountants |
| Place: Mohali |
|
| Date : 28/05/2016 |
|
|
(Vikesh KrChetal) |
|
(Membership No: 097901) |
|
Proprietor |
+91-9892691696
