To The Members of
RAS RESORTS AND APART HOTELS LIMITED
Report on the Audit of the Financial Statements
Opinion
We have audited the Financial Statements of
Ras Resorts and Apart Hotels Limited ("the Company"), which comprise of
the Balance Sheet as at 31st March 2023, the Statement of Profit and Loss, Statement of
Changes in Equity and
Statement of Cash Flows for the year then ended, and notes to the Financial Statements,
including accounting summary policies and of significant other explanatory
information.
In our opinion and to the best of our information and according to the explanations
given to us, the aforesaid financial required by the Companies Act, 2013 ("the
Act") in the manner so required and give a true and fair view in conformity with the
accounting principles generally accepted in India, (a) in the case of the Balance Sheet,
of the state of affairs 2023; (b) in the case of the Statement of Profit and Loss
(including Other Comprehensive Income), of the Profit for the year ended on that date; (c)
in the case of the Statement of Changes in Equity, of the changes in equity for the year
ended on that date; and (d) in the case of the Cash Flow Statement, of the 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
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 Act and the Rules thereunder, 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 basis for our
opinion on the Financial Statements.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most
significance in our audit of the financial period. These matters were addressed in the
context of our audit of the financial whole, and in forming our opinion thereon, and we do
not provide a separate opinion on statements these matters.give the information
| Key Audit Matters |
Auditors Response |
| 1 Accuracy of recognition, measurement, presentation and disclosures of
revenues and other related balances in view of adoption of Ind AS 115 "Revenue from
Contracts with Customers". |
Principal Audit Procedures |
| The assessment of procedures of revenue recognition adopted by management, involved:
of the Company as at March 31, |
| i) Identifying the impact on adoption of the new standard; |
| ii) Evaluation of industry wide procedures adopted for the revenue recognition under
this standard. |
| 2 Recognition and Cost ascertainment of fixed assets. |
Principal Audit Procedures: |
| The procedures of cost significant addition to ascertainment adopted by the management
were verified. The management procedures that were verified include: |
| i) Identification and measurement of borrowing cost allocable to capital expenditure. |
| ii) Identification and ascertainment of other direct and indirect costs allocable to
capital expenditure. |
Information Other than the Financial Statements and Auditors Report thereon
The Companys Board of Directors is responsible for the preparation of the other
information. The other information comprises of the information included in the Management
Discussion and
Analysis, Boards Report including Annexures to the said Boards Report, Corporate
Governance and Shareholders Information, 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 during the course of our 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.
Managements Responsibility 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 Ind AS and other accounting
principles generally accepted in India. 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 implementation and maintenance of
accounting policies; making judgments and estimates that are reasonable and prudent; and
design, implementation and maintenance of adequate internal financial controls, that were
effectivelyfor operating ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial statement 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 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 management
either intends to liquidate the Company or to cease operations, or has no realistic
alternative but to do so. The 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
Standards on Auditing("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 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 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 financial controls 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 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 significantdoubt cast 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 including any significant 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 such communication.
Report on Other Legal and Regulatory Requirements
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 statement on the matters specified in paragraphs 3 and
4 of the Order, to the extent applicable. 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, the Statement of Changes in Equity and the Cash Flow
Statement dealt with by this Report are in agreement with the relevant books of account.
d) In our opinion, the aforesaid financial statements comply with the Ind AS specified
under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. e)
On the basis of the written representations received from the directors as on 31st March,
2023 taken on record by the Board of Directors, none of the directors is disqualified as
on 31st 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 over financial
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 explanations 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 has been no delay in transferring the amount, required to be transferred, to the
Investor Education and Protection
Fund by the Company.
|
For Khandelwal & Mehta LLP |
|
Chartered Accountants |
|
Firm Regn. No. W100084 |
|
S. L. Khandelwal |
|
(Partner) |
| Place : Mumbai |
M. No. : 101388 |
| Date : 20th May 2023 |
uDIN: 23101388PGXLKK6062 |
ANNEXURE – ‘A TO THE INDEPENDENT AUDITORS REPORT OF EVEN DATE ON THE
FINANCIAL STATEMENTS OF RAS RESORTS AND APART HOTELS LIMITED
Statement on the matters specified in paragraphs 3 and 4 of 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 Companies Act, 2013 ("the Act")
to the extent applicable.
1. In respect of its Property Plant and Equipment: a) The Company, on the basis of
available information, has maintained proper records showing full particulars including
quantitative details and situations of Property Plant and Equipment; b) The Management of
the Company has physically verified the Property Plant and Equipment in accordance with
its policy of physical verification at reasonable intervals. The discrepancies, if any
noticed during such verification have been suitably adjusted in the books of account. 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. d)
According to information and explanations given to us and on the basis of examination of
the records of the Company, none of its Property, Plant and Equipment or intangible assets
or both are revalued during the year. e) On the basis of available information, the
Company does not hold any benami property under the Benami Transactions (Prohibition) Act,
1988 (45 of 1988) and rules made there under.
2. a) According to the information and explanations given to us, the inventories have
been physically verified at reasonable intervals by the management during the year and no
material discrepancies have been noticed. In our opinion and according to the information
and explanations given to us, the procedures followed by the management for physical
verification of inventory are reasonable and adequate in relation to the size of the
Company and the nature of the business. b) According to the information and explanations
given to us and on the basis of examination of the records of the Company, the Company has
not been sanctioned any working capital limits in excess of Rupees five crore, in the
aggregate, from banks on the basis of security of current assets and hence this clause is
not applicable.
3. a) A) During the year the Company has not granted any loans and advances to
subsidiaries, joint ventures and associates. Accordingly, paragraph 3(iii)(a)(A) of the
order is not applicable. B) The company has not given loans and advances to unrelated
parties during the year. b) Since during the year the Company has not made any investments
in, provided any guarantee or security or granted any loans or advances in the nature of
loans, secured or unsecured, to companies, firms, Limited Liability Partnerships or any
other parties. Accordingly, paragraph 3(iii) (b), (c), (d), (e) and (f) of the order is
not applicable.
4. In our opinion and according to the information and explanations given to us, the
Company has not given loans, investments, guarantees, and security. Accordingly, paragraph
3(iv) of the order is not applicable.
5. According to the information and explanation given to us, the Company has not
accepted any deposits or amounts which are deemed to be deposits as per the provisions of
Section 73 to 76 or any other relevant provisions of the Act and the rules framed there
under.
6. According to information and explanations given to us and on the basis of our
examination of books of accounts, the Company need not require to maintain cost records
pursuant to the Companies (Cost Accounting Records) Rules, 2011 prescribed by the Central
Government under Section 148(1) of the Act.
7. a) According to the records of the Company, undisputed statutory dues including
Goods and Services Tax, provident fund, employees state insurance, income-tax, sales-tax,
service tax, duty of customs, duty of excise, value added tax, cess and any other
statutory dues have been regularly deposited with the appropriate authorities. According
to the information and explanations given to us, no undisputed amounts payable in respect
of aforesaid dues were outstanding as at 31st March, 2023 for a period of more than six
months from the date it became payable. b) According to the records of the Company and
information and explanations given to us and the records of the Company examined by us,
there are no pending dues to be deposited of income tax, sales tax or service tax or duty
of customs or duty of excise or value added tax on account of any disputes.
8. On the basis of our examination of the books and according to the information and
explanations given to us, there is no transaction which is not recorded in the books of
account and have been surrendered or disclosed as income during the year in the tax
assessments under the Income Tax Act, 1961 (43 of 1961).
9. a) On the basis of our examination of the books and according to the information and
explanations given to us, during the year, there are no defaults in repayment of dues to
financial institutions, banks,
Government or debenture holders.
b) During the year the Company is not declared as wilful defaulter by any bank or
financials institution or other lender. c) On the basis of our examination of the books
and according to the information and explanations given to us, Term loans taken during the
years were applied for the purpose for which the loans were obtained. d) Funds raised on
short term basis have not been utilised for long term purposes. e) The Company does not
have any subsidiaries, associates or joint ventures hence question of raising of any funds
from any entity or person on account of or to meet the obligations of its subsidiaries,
associates or joint ventures does not arise. f) The Company does not have any
subsidiaries, associates or joint ventures hence question of raising of loans on the
pledge of securities held in subsidiaries, joint ventures or associate companies, does not
arise.
10. a) In our opinion and on the basis of information and explanations given to us, the
Company has not raised any money by way of initial public offer or further public offer
(including debt instruments). b) In our opinion and on the basis of information and
explanations given to us, the Company has not made any preferential allotment or private
placement of shares or convertible debentures (fully, partially or optionally convertible)
during the year. 11. 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 course of our audit.
12. In our opinion and according to information and explanations given to us, the
Company is not a Nidhi Company. Accordingly paragraph 3(xii) of the Order is not
applicable. 13. According to information and explanations given to us and based on our
examination of the records of the company, transactions with related parties are in
accordance with section 177 and 188 of the Act where applicable and details of such
transactions have been disclosed in Financial Statements as required by applicable Ind AS.
14. a) According to information and explanations given to us and based on our
examination of the records of the
Company, it has an internal audit system commensurate with the size and nature of its
business. b) The reports of the Internal Auditors for the period under audit were
considered by us.
15. According to information and explanations given to us and based on our examination
of the records of the Company, the Company has not entered into non-cash transactions with
directors or persons connected with him. Therefore paragraph 3(xv) of the Order is not
applicable.
16. In our opinion and according to the information and explanations given to us, the
Company is not required to be registered under section 45- IA of Reserve Bank of India
Act, 1934. Therefore paragraph 3(xvi) of the Order is not applicable.
17. The Company has not incurred any cash loss in the financial year and in the
immediately preceding financial year.
18. There has been no resignation of the statutory auditors during the year. Therefore
paragraph
3(xviii) of the Order is not applicable.
19. 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, 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 the
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.
20. According to the information and explanations given to us and based on our
examination of the records of the Company, there is no liability to spent any amount in
compliance with the provisions of Sub-section (6) of Section 135 of the Companies Act,
2013, accordingly paragraph 3(xx) of the order is not applicable.
21. The Company does not have any subsidiaries, associates or joint ventures. Therefore
paragraph 3(xxi) of the Order is not applicable to the Company.
|
For Khandelwal & Mehta LLP |
|
Chartered Accountants |
|
Firm Regn. No. W100084 |
|
S. L. Khandelwal |
|
(Partner) |
| Place : Mumbai |
M. No. : 101388 |
| Date : 20th May 2023 |
uDIN: 23101388PGXLKK6062 |
ANNEXURE – ‘B TO THE INDEPENDENT AUDITORS REPORT OF EVEN DATE ON THE
FINANCIAL STATEMENTS OF RAS RESORTS AND APART HOTELS LIMITED
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 Ras
Resorts and Apart Hotels Limited ("the Company") as of March 31, 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 wereoperatingeffectivelyfor ensuring the orderly and efficient conduct of its
business, including adherence to the 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 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 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 over financial reporting was established and
maintained and if such controls effectivelyin all material operated 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 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 onasthe 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 March 31, operating 2023, based effectively 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).
|
For Khandelwal & Mehta LLP |
|
Chartered Accountants |
|
Firm Regn. No. W100084 |
|
S. L. Khandelwal |
|
(Partner) |
| Place : Mumbai |
M. No. : 101388 |
| Date : 20th May 2023 |
uDIN: 23101388PGXLKK6062 |
+91-9892691696
