To,
The Members of RAVI KUMAR DISTILLERIES LIMITED. Report on the Audit of Financial
Statements Opinion
1. We have audited the accompanying financial statements of ‘RAVIKUMAR
DISTILLERIES LIMITED ("the Company"), which comprises the Balance Sheet as
at March 31, 2023, the Statement of Profit and Loss (including other comprehensive
income), the Statement of Changes in Equity and the Statement of Cash Flows for the year
then ended, and notes to the financial statements, including a summary of significant
accounting policies and other explanatory information.
2. In our opinion and to the best of our information and according to the explanations
given to us, except for the indeterminate effects of the matters stated herein above in
Basis of Qualified Opinion; the aforesaid 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 March 31, 2023, its Profit, total comprehensive income, the changes in
equity and its cash flows for the year ended on that date.
Basis of Qualified Opinion
3. We conducted our audit in accordance with the Standards on Auditing (SAs) specified
under section 143(10) of the Companies Act, 2013. 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 Companies Act, 2013 and the Rules there
under, 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 on the financial
statements.
3.1 Your attention is invited to Note No. 5.1 ‘Amount recoverable under Dispute
of Rs. 2,900.25 Lakhs; which have been classified as ‘Other Non-Current Assets; the
company has filed various cases against the parties and initiated action for recovery.
Further, Securities and Exchange Board of India (SEBI) vide its Order dated 12-03-2019
directed the above parties to repay the amounts back to Company. We are unable to comment
on reliability/ recoverability of these debts and amount given and no provision for
Expected Credit Loss as per Indian Accounting Standards (IND AS) for doubtful recovery of
such amount is considered necessary by the company.
3.2 Your attention is invited to Note No. 3 Regarding ‘Investment in Liquor India
Limited and ‘Amount received from ‘Lemonade Shares & Securities Private
Limited (Refer Note No. 17) which is considered as disputed and no adjustment for sale
thereof have been incorporated in the financial statements by the Company. The sale
agreement entered into with ‘Lemonade Shares & Securities Private Limited for
sale of entire undertaking has been challenged in National Company Law Tribunal to rectify
the Register of Members and also civil suit has been filed before IInd Additional District
Judge, Ranga Reddy District, L B Nagar, Hyderabad, with prayers inter-alia to rescind the
agreement as being void and restore the parties back to the position prior to MOU Dated
05-09-2012. The Company has also filed SLP in Supreme Court of India apart from
registering various complaints with Police, SEBI, and Enforcement Directorate. Management
does not anticipate any liability on this account and accordingly the company has not
provided for diminution in value of Investments and not made provision for Expected Credit
Loss in respect of Loan to ‘Liquor India Limited during the Financial Year 2022-23.
As the matter is sub-judice we are unable to comment whether any adjustments are needed
for the recoverability of investments thereof. Accordingly, impact on loss for the year
and investments thereof if any, is unascertainable.
3.3 Your attention is invited to Note No. 7 - In the absence of relevant information
regarding fair value of investments in respect of investment in shares of ‘S.V.
Distilleries Private Limited of Rs. 247.79 Lacs as on 31st March 2023; we are unable to
comment on whether any provision for diminution in value of investments thereof is
necessary.
3.4 Note No. 8 regarding Confirmations not obtained as of March 31, 2023 in respect of
certain financial assets such as Sundry Debtors, Sundry Creditors, Tie Up Parties etc. and
allowance for expected credit not recognized on these financial assets even though
indications of increase in credit risks were observed. Consequential impact on financial
results is not ascertained by the Company.
3.5 Note No. 20 There are many statutory dues amounting to Rs. 225.70 Lacs which are
pending to be deposited with appropriate government authorities by the Company. The
company has not made provision for interest on these dues on account of delay in
depositing them. Since the management of Company has not estimated overall liability on
account of interest, financial impact on Standalone financial Statements is not
ascertainable.
Information other than the Financial Statements and Auditors Report thereon
The Companys Board of Directors is responsible for the other information. The other
information comprises the information
included in the Annual Report, but does not include the standalone financial statements
and our auditors report thereon.
Our Opinion on the standalone financial statements does not cover the other information
and we do not express any form of
assurance conclusions thereon.
In connection with our audit of the standalone 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.
Responsibility of Management and those charged with Governance for the Standalone
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 the preparation of
these standalone financial statements that give a true and fair view of the financial
position, financial performance, (changes in equity)[iv] 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 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 operating effectively for 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 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 standalone
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 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 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 standalone 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 standalone
financial statements, including the disclosures, and whether the standalone financial
statements represent the underlying transactions and events in a manner that achieves fair
presentation. Materiality is the magnitude of misstatements in the standalone 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 standalone 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
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-1 a statement on the matters
specified in paragraphs 3 and 4 of the Order, to the extent applicable.
Further to our comments in Annexure-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, and the Cash Flow Statement
dealt with by this Report are in agreement
with the books of accounts.
d) In our opinion, the aforesaid financial statements comply with the Accounting
Standards 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) We have also audited the Internal Financial Controls over Financial Reporting
(IFCoFR) of the Company as on 31st March 2023 in conjunction with our audit of the
financial statements of the Company for the year ended on that date and our report as per
Annexure-2 expressed an unmodified opinion.
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, as detailed in Note 40 to the financial statements, has
disclosed the impact of pending litigations on its
financial position as at 31st March 2023.
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.
|
For ABHISHEK S TIWARI & ASSOCIATES |
|
Chartered Accountants |
|
Firm Registration No. : 141048W |
|
CA Abhishek S Tiwari |
| Place: Mumbai |
Partner |
| Date: 27.05.2023 |
M. No. 155947 |
|
UDIN: 23155947BGSTQR4010 |
ANNEXURE ‘1 TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 2 under ‘Report on Other Legal and Regulatory
Requirements
Section of our report to the Members of RAVI KUMAR DISTILLERIES LIMITED of even date
To the best of our information and according to the explanations provided to us by the
Company and the books of account and records examined by us in the normal course of audit,
we state 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. (B) The
Company has maintained proper record showing full particulars of Intangible assets.
(b) The Company has a regular program of physical verification of its Property, Plant
and Equipment so to cover all the assets once every two years which, in our opinion, is
reasonable having regard to the size of the Company and the nature of its assets. Pursuant
to the program, certain Property, Plant and Equipment were due for verification during the
year and were physically verified by the Management during the year. 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, the records examined by
us and based on the examination of the conveyance deeds / registered sale deed provided to
us, we report that, the title deeds, comprising all the immovable properties of land and
buildings which are freehold, are held in the name of the Company as at the balance sheet
date. (d) The Company has not revalued any of its Property, Plant and Equipment or
intangible assets during the year.
(e) No proceedings have been initiated during the year or are pending against the
Company as at March 31, 2023 for holding any
benami property under the Benami Transactions (Prohibition) Act, 1988 (as amended in
2016) and rules made thereunder.
(ii) (a) The inventories were physically verified during the year by the Management at
reasonable intervals. In our opinion and according to the information and explanations
given to us, the coverage and procedure of such verification by the Management is
appropriate having regard to the size of the Company and the nature of its operations. No
material discrepancies were noticed on such physical verification.
(b) The Company has not been sanctioned working capital limits in excess of INR five
crores in aggregate from banks and/or financial institutions during the year on the basis
of security of current assets of the Company. (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 not provided any guarantee or security or granted any loans or
advances in the nature of loans, secured or unsecured to companies, firms, limited
liability partnership or any other parties during the year. The Company has not made any
investments in firms, limited liability partnership or any other parties. Accordingly,
clause 3(iii)(a) to clause 3(iii)(f) of the Companies (Auditors Report) Order(CARO) are
not applicable to the Company. iv. In our opinion and according to the information and
explanations provided to us, the Company has not granted any loans or provided any
guarantees or security to the parties covered under Section 185 of the Companies Act,
2013. The Company has complied with the provisions of Section 186 of the Act in respect of
investments made or loans or guarantee or security provided to the parties covered under
Section 186 of the Act. v. The Company has not accepted any deposit or amounts which are
deemed to be deposits. Hence, reporting under clause 3(v) of the
Companies (Auditors Report) Order(CARO) is not applicable.
vi. According to the information and explanations given to us, the maintenance of cost
records has not been specified by the Central
Government under sub-section (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
Companies (Auditors Report) Order(CARO) is not applicable to the Company. vii. In respect
of statutory dues: (a) In our opinion and according to the information and explanations
given to us and based on audit procedures performed by us, the Company has generally not
been regular in depositing undisputed statutory dues, including Goods and Services tax,
Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Service Tax, duty of
Custom, duty of Excise, Value Added Tax, Cess and other material statutory dues applicable
to it with the appropriate authorities.
According to the information and explanations given to us and based on audit procedures
performed by us, there were no undisputed amounts payable in respect of Goods and Service
tax, Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Service Tax, duty
of Custom, duty of Excise, Value Added Tax, Cess and other material statutory dues in
arrears as at March 31, 2023 for a period of more than six months from the date they
became payable except the following amounts as mentioned in the table below :
| Particulars |
Amount |
|
Rs. In Lakhs |
| Tax Collected at Source |
117.41 |
| Tax Deducted at Source |
17.93 |
| Employees State Insurance |
22.85 |
| Provident Fund |
55.53 |
| Goods & Services Tax |
11.98 |
| Total |
225.70 |
(b) According to the information and explanations given to us and based on audit
procedures performed by us, Details of statutory dues
referred to in sub-clause (a) above which have not been deposited as on March 31, 2023
on account of disputes are given below:
| Name of the Statute |
Forum where the |
Period to which the |
Amount |
|
dispute is pending. |
amount relates |
(in Lakhs) |
| Kerala General Sales Tax Act |
High Court , Kerala |
2001-2004 |
|
116.24 |
| Income Tax Act 1961 |
High Court, Chennai |
2006-2007 |
AY 2007-08 |
238.20 |
| Income Tax Act 1961 |
High Court, Chennai |
2009-2010 |
AY 2010-11 |
81.66 |
| Income Tax Act 1961 |
Commissioner of Income Tax (Appeals), Chennai |
2011-2012 |
AY 2012-13 |
297.41 |
(viii) There were no transactions relating to previously unrecorded income that were
surrendered or disclosed as income during the year in
the tax assessments under the Income Tax Act, 1961 (43 of 1961).
(ix) a) in our opinion, the Company has not defaulted in the repayment of loans or
other borrowings or in the payment of interest thereon to any lender during the year. b)
The Company has not been declared willful defaulter by any bank or financial institution
or government or any government authority. c) The Company has not taken any term loan
during the year and there are no unutilised term loans at the beginning of the year and
hence, reporting under clause (ix)(c) of the Companies (Auditors Report) Order(CARO) is
not applicable. d) On an overall examination of the financial statements of the Company,
funds raised on short-term basis has, prima facie, not been used during the year for
long-term purposes by the Company. e) On an overall examination of the financial
statements of the Company, the Company has not taken any funds from any entity or person
on account of or to meet the obligations of its subsidiaries, associates or joint
ventures. f) The Company has not raised loans during the year on the pledge of securities
held in its subsidiaries, joint ventures or associate companies. Hence, the requirement to
report on clause 3(ix)(f) of the Companies (Auditors Report) Order(CARO) is not
applicable to the Company. x. a) The Company has not raised any money during the year by
way of initial public offer / further public offer (including debt instruments) hence, the
requirement to report on clause 3(x)(a) of the Companies (Auditors Report) Order(CARO) is
not applicable to the Company. b) The Company has not made any preferential allotment or
private placement of shares/fully or partially or optionally convertible debentures during
the year under audit and hence, the requirement to report on clause 3(x)(b) of the
Companies (Auditors Report) Order(CARO) is not applicable to the Company. xi. a) To the
best of our knowledge, no fraud by the Company and no material fraud on the Company has
been noticed or reported during the year. b) To the best of our knowledge, 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 were no whistle blower complaints received by the Company during the
year and up to the date of this report. xii. The Company is not a Nidhi Company and hence
reporting under clause (xii) of the Companies (Auditors Report) Order(CARO) is not
applicable. xiii. In our opinion, the Company is in compliance with Section 177 and 188 of
the Companies Act, where applicable, for all transactions with the related parties and the
details of related party transactions have been disclosed in the financial statements etc.
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) The internal audit reports of the Company issued till the date of the audit report,
for the period under audit have been considered by us. xv. According to the information
and explanations given to us and based on our examination of the records, 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)&(b) 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) and (b) of the Companies (Auditors Report)
Order(CARO) is not applicable.
(c)& (d) The Company is not a Core Investment Company (CIC) as defined in the
regulations made by the Reserve Bank of India. Accordingly, clause 3(xvi) and clause
3(xvi) of the Companies (Auditors Report) Order(CARO) is not applicable. xvii. The
Company has not incurred cash losses during the financial year covered by our audit and
the immediately preceding financial year. xviii. There has been no resignation of the
statutory auditors of the Company during the year. 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 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. Company is not required to comply with the
CSR provision as per section 135(5) of the Companies Act 2013. Accordingly, paragraph
3(xx) of the Companies (Auditors Report) Order(CARO) is not applicable. xxi. Company
is not required to prepare consolidated financial statements as per Companies Act 2013.
Accordingly, paragraph 3(xxi) of the Companies (Auditors Report) Order(CARO) is not
applicable.
|
For ABHISHEK S TIWARI & ASSOCIATES |
|
Chartered Accountants |
|
Firm Registration No. : 141048W |
|
CA Abhishek S Tiwari |
| Place: Mumbai |
Partner |
| Date: 27.05.2023 |
M. No. 155947 |
|
UDIN: 23155947BGSTQR4010 |
"Annexure-2" to the Independent Auditors Report of even date to the members
of ‘RAVI KUMAR DISTILLERIES
LIMITED on the financial statements for the year ended March 31, 2023
Referred to in paragraph 14(f) of the Independent Auditors Report of even date to the
members of Ravi Kumar Distilleries Limited on the
financial statements for the year ended March 31, 2023
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section
143 of the Act
1. We have audited the internal financial controls over financial reporting of Ravi
Kumar Distilleries 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.
2. 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.
3. 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 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 ICAI. 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.
4. 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 judgement, including the assessment of the
risks of material misstatement of the financial statements, whether due to fraud or error.
5. 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.
6. 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:
a) pertain to the maintenance of records that, in reasonable detail ,accurately and
fairly reflect the transactions and dispositions of the
assets of the company;
b) 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
c) 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.
7. 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.
8. 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 March 31, 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.
|
For ABHISHEK S TIWARI & ASSOCIATES |
|
Chartered Accountants |
|
Firm Registration No. : 141048W |
|
CA Abhishek S Tiwari |
| Place: Mumbai |
Partner |
| Date: 27.05.2023 |
M. No. 155947 |
|
UDIN: 23155947BGSTQR4010 |
+91-9892691696
