Rohit Ferro Tech Ltd Directors Report.

To

The Members of Rohit Ferro - Tech Limited

(A company under Corporate Insolvency Resolution Process vide NCLT Order)

Report on the Audit of Standalone Financial Statements Qualified Opinion

We have audited the accompanying Standalone Financial Statements of ROHIT FERRO - TECH LIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2021, 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 ended on that date, and a summary of the significant accounting policies and other explanatory information (hereinafter referred to as "the Standalone Financial Statements").

The Honble National Company Law Tribunal ("NCLT"), Kolkata Bench, admitted the Corporate Insolvency Resolution Process ("CIRP") application filed by a Financial Creditor of Rohit Ferro Tech Limited (the Company) and appointed an Interim Resolution Professional (RP), in terms of the Insolvency and Bankruptcy Code, 2016 (the code) vide order dated 7th February, 2020 and was subsequently confirmed by the Committee of Creditors (CoC) as the Resolution Professional (RP) in its 1st CoC meeting held on 5th March, 2020 as approved by virtue of e-voting by the CoC members on 13th March, 2020. In view of pendency of CIRP, the management of the affairs of the company and power of the Board of Directors are now vested with RP. These standalone financial statements have been prepared by the management of the company and certified by CFO and approved by RP.

In our opinion and to the best of our information and according to the explanations given to us, except for the possible effect of the matter described in the basis for qualified opinion section of our report, the aforesaid Standalone Financial Statements give the information required by the Companies Act, 2013 ("the Act") in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, ("Ind AS") and other accounting principles generally accepted in India, of the state of affairs of the Company as at 31 March 2021, the loss and total comprehensive loss, changes in equity and its cash flows for the year ended on that date.

Basis for Qualified Opinion

i. We draw your attention to Note No. 39 of the accompanying standalone Financial Statement regarding non provision of interest expense on the borrowings of the Company for the period till date of commencement of CIRP i.e., 7th February, 2020 amounting to Rs 108797.67 lakhs (penal interest and charges thereof remain unascertained) which is not in accordance with the requirements of Ind AS 23: Borrowing Costs read with Ind AS 109: Financial Instruments.

The above reported interest has been calculated using Simple Interest rate.

ii. As referred in Note No 28 of the Standalone Financial Statements, "Trade Receivables", "Trade payables", "Advances from Customer", "Advances Recoverable in Cash or Kind" and "Advance to Suppliers and Other Parties" etc includes balances remaining outstanding for a substantial period. The balances are subject to confirmation/reconciliation. In the absence of above and other corroborative evidence, we are unable to comment on the extent to which such balances are recoverable. The reported standalone Financials might have consequential impact which remains unascertained.

iii. As mentioned in Note No. 37 to the standalone financial statements, pursuant to commencement of CIRP of the Company under Insolvency and Bankruptcy Code, 2016, there are various claims submitted by the financial creditors, operational creditors, employees and other creditors to the RP. The overall obligations and liabilities including interest on loans and the principal amount of loans shall be determined during the CIRP. Pending final outcome of the CIRP, no accounting impact in the books of accounts has been made in respect of excess, short, or non-receipts of claims for operational and financial creditors. Hence, consequential impact, if any, is currently not ascertainable and we are unable to comment on possible financial impacts of the same.

iv. We have been informed by RP that certain information including minutes of CoC meeting and the outcome of certain procedures carried out as part of CIRP process could not be shared with anyone other than Committee of Creditors and NCLT. Accordingly, we are unable to comment on the possible impact, presentation and disclosures, if any on aforesaid information not provided to us.

We conducted our audit of the Standalone Financial Statements 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 Standalone 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 standalone 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. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified opinion.

Material Uncertainty Relating to Going Concern

As mentioned in Note No. 38 to the standalone financial statements, the Company has been referred to National Company Law Tribunal under the Insolvency and Bankruptcy Code, 2016, and its net worth has been fully eroded as on 31.03.2021. Since Corporate Insolvency Resolution Process (CIRP) is currently in progress, as per the Code, it is required that the Company be managed as going concern during CIRP. By virtue of corporate insolvency resolution process, the Resolution Professional has filed the Resolution Plan (as approved by the CoC on June 5, 2021), with the National Company Law Tribunal, Kolkata Bench on June 7, 2021 for its subsequent approval thereupon. Accordingly, the standalone financial statements are continued to be prepared on going concern basis. However, there exists a material uncertainty and the same is dependent upon the resolution plan to be approved by NCLT. The appropriateness of the preparation of standalone financial statements on going concern basis is critically dependent upon CIRP as specified in the IBC Code.

Key audit matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the standalone financial statements of the current period. These matters were addressed in the context of our audit of the standalone financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. We have determined the matters described below to be the key audit matters to be communicated in our report.

Key Audit Matter How our audit addressed the key Audit Matter
Claim and exposure relating to taxation and litigation Our audit procedures included the following:
The Company has material uncertain tax positions including matters in respect of disputed claims / levies under various taxes and legal matters. Our audit procedures include the following substantive procedures:
• Obtained understanding of key uncertain tax positions;
The taxes and litigation exposures have been identified as key audit matter due to: • We have reviewed and analysed key correspondences relating to dispute;
i. Litigation cases require significant judgement due to complexity of the case and involvement of various authorities. ii. These involve significant management judgment to determine the possible outcome of the uncertain tax positions. • We have discussed the matter for key uncertain tax positions with appropriate senior management;
• We have evaluated managements underlying key assumptions in estimating the tax provisions; and Assessed managements estimate of the possible outcome of the disputed cases;

Emphasis of Matter

i. We draw your attention to Note 35 to the standalone financial statements which explain the uncertainties and the managements assessment of the financial impact due to the lock-downs and other restrictions and conditions related to the COVID-19 pandemic situation, for which a definitive assessment of the impact in the subsequent period is highly dependent upon circumstances as they evolve.

ii. Substantial amount of statutory dues amounting to Rs 3716.98 lakhs has become overdue and remain unpaid. Interest, penalty if any in respect of the same has remained unascertained and unaccounted for.

iii. It has been observed that the financial statement of the company for the year 2019-20 has not been adopted on its Annual General Meeting (AGM) [adjourned 20th AGM] held on 13th November, 2020 and the same is not yet adopted thereafter till date. The company has filed AOC 4, MGT 15 for the Financial Year ended 31.03.2020 in compliance with ROC. The company has intimated to the listing department (NSE / BSE) voting result along with Scrutinizers Report of the adjourned 20th Annual General Meeting (AGM) relating to financial year 2019-20 giving reason thereof.

By virtue of first proviso to section 137(1), the financial statements along with the documents will be considered provisional till the time the adopted financial statements are filed with ROC. Hence, the financial statement for the year 2019-20 is still considered as provisional.

Our opinion is not modified in respect of this matter.

Information other than the Financial Statements and Auditors Report Thereon

The Companys Board of Directors is responsible for other information. The other information comprises the information included in the Companys Annual Return 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 conclusion 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 Standalone 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.

Responsibility of the Management for the Financial Statements

The Companys Board of Directors is responsible for the matters stated in section 134(5) of the Companies Act, 2013 with respect to the preparation of these Standalone financial statements that give a true and fair view of the financial position and 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. 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 standalone financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the standalone 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.

Those Board of Directors are also responsible for overseeing the Companys financial reporting process.

As The Corporate Insolvency Resolution Process has been initiated in respect of the company under the provision of the Insolvency and Bankruptcy Code, 2016 (The Code) by the National Company Law Tribunal (NCLT) Kolkata Bench, vide its order dated 7th February, 2020, the powers of the Board of Directors stand suspended as per section 17 of the Code and such power is being exercised by the Resolution Professional appointed by the NCLT by the said order under the provisions of the Code.

This statement which is the responsibility of the companys management and has been signed by Chief Financial Officer (CFO) of the company and taken on record by the Resolution Professional.

Auditors Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the standalone 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 the material misstatement of the standalone financial statement, 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 Companies Act, 2013, 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 the 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 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 standalone 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 standalone 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

I. As required by the Companies (Auditors Report) Order, 2016 ("the Order"), issued by the Central Government

Of India in terms of sub-section(ll) of Section 143 of the Companies Act, 2013, we give in the Annexure A, a

Statement on the matters specified in paragraphs 3 and 4 of the Order , to the extent applicable.

II. As required by Section 143(3) of the Act, we report that:

a) Except for the possible effect of the matter described in the basis for qualified opinion section of our report, 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) Except for the possible effect of the matter described in the basis for qualified opinion section of our report, in our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.

c) The Balance Sheet, the Statement of Profit and Loss including other comprehensive income, the cash flow statement and the statement of changes in equity dealt with by this Report are in agreement with the books of accounts.

d) Except for the possible effect of the matter described in the basis for qualified opinion section of our report, in our opinion, the aforesaid standalone 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) The matter described in the basis for qualified opinion section of our report, may have adverse effect on the functioning of the company.

f) On the basis of the written representations received from the directors as on 31st March, 2021 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2021 from being appointed as a director in terms of Section 164 (2) of the Act.

g) 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".

h) With respect to the other matters to be included in the Auditors Report in accordance with the requirements of section 197(16) of the Act, as amended :

In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act.

i) 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:

a) The Company has disclosed the impact of pending litigations on the financial position in the Standalone Financial Statements. Refer Note 27 to its standalone financial statements.

b) The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses;

c) The company does not have any amount of unpaid dividend required to be transferred to the Investor Education and Protection Fund.

For R Kothari & Co LLP
Chartered Accountants
FRN: 307069E/E300266
Date: 29th June, 2021 CA Manoj Kumar Sethia
Place: Kolkata Partner
UDIN: 21064308AAAABH8501 Membership No.:- 064308

"Annexure A" to Independent Auditors Report

The Annexure A referred to in paragraph 1 under the heading Report on Other Legal & Regulatory Requirements

of our report of even date to the standalone financial statements of the Company for the year ended March 31,

2021, we report that:

(i) (a) The Company is maintaining proper records showing full particulars, including quantitative details and

situation, of property, plant and equipment.

(b) The Property, plant and equipment of the Company have been physically verified by the management during the year and no material discrepancies were noticed on such verification. In our opinion, the periodicity of physical verification is reasonable having regard to the size of the company and 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 inventory has been physically verified by the management during the year at reasonable intervals. In our opinion the frequency of such verification is reasonable. The discrepancies noticed on verification between the physical stocks and the book records were not material having regard to the size of the operation of the Company and the same have been properly dealt with in the books of account.

(iii) The company has not granted any loans, secured or unsecured, to companies, firms, or other parties covered in the register maintained under section 189 of the Companies Act 2013. Therefore the reporting under Paragraph 3(iii) is not applicable to the company.

(iv) In our opinion and according to the information and explanation given to us, the Company has complied with the provisions of section 185 and 186 of the Companies Act, 2013 in respect of grant of loans, making investments and providing guarantees and securities, as applicable.

(v) The Company has not accepted any deposits from the public and consequently, the directives issued by Reserve Bank of India and provisions of Section 73 to Section 76 or any other relevant provisions of the Companies Act 2013 and the Companies (Acceptance of Deposit) Rules, 2015 with regard to the deposits accepted from the public are not applicable to the company.

(vi) We have broadly reviewed the books of account maintained by the Company in respect of manufacture of Ferro alloys & Minerals and Iron & steel pursuant to the Rules made by the Central Government for the maintenance of cost records under Section 148(1) of the Companies Act, 2013, and we are of the opinion that prima facie, the records have been maintained. We have however not made a detailed examination of the records with a view to determining whether they are accurate and complete.

(vii) (a) According to the information and explanation given to us and on the basis of our examination of

the books of account, the Company has generally delayed in depositing undisputed statutory dues including Provident Fund, Income tax, sales tax, Service Tax, Duty of customs, value added tax, GST, cess and other statutory dues during the year with appropriate authorities.

According to the information and explanation given to us, no undisputed amounts payable in respect of the above were in arrears as at March 31, 2021 for a period of more than six months from the date on when they become payable except the following:

Statutory Liabilities unpaid for a period exceeding six months as on 31.03.2021

Sl. No. Nature of dues Amount Involved (in Lacs)
1 GST 1,347.34
2. Excise Duty 610.28
3. Service Tax 552.97
4. TDS 123.96
5. Entry Tax 92.22
6. STDS 41.64
7. VAT 31.95
8. Welfare Cess 5.57
9. Provident Fund 16.28
10. P. Tax 0.57
11. ESIC 2.10
Total 2,824.88

(b) According to the information and explanations given to us and records of the company examined, there were no dues in respect of provident fund, employees state insurance, income taxes, sales taxes/ value added taxes, service taxes, duty of customs, excise duties, GST, cess etc. which have not been deposited with the appropriate authorities on account of any dispute except the followings:

Disputed Liabilities remain unpaid as on 31.03.2021

Name of the Statute Nature of Dues Amount in lacs Period to which the amount relates Forum where the dispute is pending
Central Excise Act, 1994 Cenvat credit 409.59 Feb 05-Jun 09 CESTAT
Cenvat credit 51.81 2007-08 Commissioner Appeal
Cenvat credit 108.80 Sep 2012-Aug 2014 CESTAT
Cenvat credit 6.85 2012-13 Commissioner (Appeal)
Cenvat credit 547.89 2014-15, 15-16 BOLPUR Commissionerate
Sub Total 1,124.93
Excise Duty 1,259.04 2014-15 CESTAT
Excise Duty 48.95 2008-2013 CESTAT
Excise Duty 2.71 April, 2013 - December, 2013 CESTAT
Excise Duty 75.08 January, 2014- September, 2014 CESTAT
Excise Duty 7.47 October, 2014 to November, 2014 CESTAT
Central Excise Act, 1994 Excise Duty 17.31 December,2014 to May 2015 CESTAT
Excise Duty 15.83 2014-15 CESTAT
Excise Duty 3.65 2004-05 CESTAT
Excise Duty 0.10 2005-07 CESTAT
Excise Duty 84.86 January, 2008 to March 2008 CESTAT
Excise Duty 4.22 October, 2009 to July, 2010 CESTAT
Excise Duty 4.31 2006-2009 CESTAT
Excise Duty 14.56 2006-07 Commissioner of Central Excise
Excise Duty 1,068.44 December, 2013 to June, 2017 Commissioner of CGST& Central Excise, Bhubaneswar Commissionerate, Bhubaneswar-751007 Mr. Deep Shekhar.
Sub Total 2,606.51
Finance act, 1994 Service Tax 2.59 2012-13 to 2015-16 Commissioner (Appeal), siliguri Appeal GST Taxpayer services Commissionerate
Service Tax 452.80 2012-13 to 2016-17 Commissioner Appeal
Service Tax 56.82 2007-08 to 2011-12 CESTAT
Service Tax 5.09 29.03.2014 to 12.06.2014 Assistant Commissioner of Service Tax Division, Haldia Commissionerate
Service Tax 128.50 2012-13 to 2015-16 BOLPUR COMMISSIONERATE
Service Tax 186.45 2012-13 to 2016-17 BOLPUR COMMISSIONERATE
Service Tax 18.79 2012-13 Durgapur Audit Commissionerate
Service Tax 27.17 April 2006 to Dec 2008 Commissioner of Central Excise
Service Tax 1.20 2012-13 To 2015-16 Durgapur Commissionerate
Service Tax 3.50 2015-16, 16-17 Bankura Division
Service Tax 5.04 2012-13 Asst. Commissioner of CGST& Central Excise, Jajpur Division, Jajpur
Sub Total 887.94
Odisha Vat Act, 2004 Odisha VAT 49.35 2008-09 Commissioner of Commercial Tax
Odisha VAT 23.58 01.04.2013 - 30.09.2015 JCCT
The Central Sales Tax Act, 1956 & West Bengal Vat Act, 2005 WB VAT & CST 89.19 2006-07 Honble Members of the West Bengal Taxes Appellete Board, Kolkata
WB VAT & CST 219.45 2007-08 Honble Members of the West Bengal Taxes Appellete Board, Kolkata
WB VAT & CST 91.74 2016-17 Additional Joint Commissioner of Commercial Tax, West Bengal
Central Sales Tax Act, 1956 Sales Tax 11.90 01.04.13 to 30.09.15 JCCT
Central Sales Tax Act, 1956 Sales Tax 14.15 01.04.13 to 30.09.15 JCCT
West Bengal Vat Act, 2005 WB VAT 59.34 2014-15 Additional Commissioner of Commercial Tax, West Bengal
WB VAT 210.61 2015-16 Additional Commissioner of Commercial Tax, West Bengal
WB VAT 9.11 2017-18 Sr. Joint Commissioner of Commercial Tax, West Bengal
Sub Total 778.42
The Central Sales Tax Act, 1956 & West Bengal Vat Act, 2005 Entry Tax 823.88 2012-13 Honble Members of the West Bengal Taxes Appellete Board, Kolkata
Entry Tax 1,201.37 2013-14 Honble Members of the West Bengal Taxes Appellete Board, Kolkata
Entry Tax 884.86 2014-15 Honble Members of the West Bengal Taxes Appellete Board, Kolkata
Entry Tax 402.41 2015-16 Honble Members of the West Bengal Taxes Appellete Board, Kolkata
Entry Tax 152.51 2016-17 Joint Commissioner of Commercial Tax, West Bengal
Sub Total 3,465.03
Income Tax Act, 1961 Income Tax 929.96 A.Y. 2014-15 CIT(A)
Income Tax 13,464.26 A.Y. 2013-14 CIT(A)
Income Tax 17.33 A.Y. 2012-13 CIT(A)
Income Tax 2,098.99 A.Y. 2011-12 CIT(A)
Income Tax 58.08 A.Y. 2010-11 CIT(A)
Sub Total 16,568.62
Goods and Services Tax Act 2017 GST 808.65 July, 2019 to Sept, 2019 Office of the Additional Commissioner, GST & Central Excise Bhubaneswar.
Sub Total 808.65
Employees Provident Fund Act 1952 Employees Provident Fund 1.80 1996- 2014 Provident Fund Commissioner
Sub Total 1.80
DRI, Kolkata Customs duty 40.35 2015-16

DRI, Kolkata

Customs duty on ship demurrage charges 500.00 2007- 2017
Sub Total 540.35

(viii) Based upon the audit procedures performed and according to the records of the Company examined by us and the information and explanation given to us, the Company has defaulted in payment of interest and repayment of principal on borrowings to banks as follows:

( in lakhs)

RUPEE TERM LOAN

Bank Merged Name of Amount of default as on 31.03.2021 Period of default
anchor bank Principal Repayment Interest (Net of Reversals)
ALLAHABAD BANK Indian Bank 6,716.62 486.88
CANARABANK Canara Bank 2,251.00 1,661.92
EXIM BANK EXIM Bank 8,748.12 5,121.95 Quarter ending 31st Dec,
STATE BANK OF INDIA State Bank of India 32,501.72 270.40 2015 to 31st March 2021
UNITED BANK OF INDIA Punjab National Bank 7,860.96 920.43
TOTAL 58,078.42 8,461.58

WORKING CAPITAL TERM LOAN

Particulars name of

Amount of default as on 31.03.2021

Period of default
anchor bank Principal Repayment Interest (Net of Reversals)
ALLAHABAD BANK Indian Bank 1,468.00 106.00
ANDHRA BANK Union Bank of India 1,191.00 756.90
BANK OF BARODA Bank of Baroda 4,450.00 -
CENTAL BANK OF INDIA Central Bank of India 231.00 -

Quarter ending 31st Dec, 2015 to 31st March 2021

PUNJAB NATIONAL BANK Punjab National Bank 4,256.00 -
STATE BANK OF INDIA State Bank of India 24,120.21 -
UNITED BANK OF INDIA Punjab National Bank 11,898.00 1,262.54
UCO BANK UCO Bank 2,596.41 305.79
total 50,210.61 2,431.23

FUNDED INTEREST TERM LOAN

Particulars

name of anchor bank

Amount of default as on 31.03.2021

Period of default

Principal Repayment Interest (Net of Reversals)
ALLAHABAD BANK Indian Bank 2,111.87 -

Quarter ending 31st Dec, 2015 to 31st March 2021

ANDHRA BANK Union Bank of India 409.25 294.47
BANK OF BARODA Bank of Baroda 1,048.68 -
CANARABANK Canara Bank 495.21 341.63
CENTRAL BANK OF INDIA Central Bank of India 220.11 -
EXIM BANK EXIM Bank 1,905.41 996.70
PUNJAB NATIONAL BANK Punjab National Bank 1,537.70 1.00
STATE BANK OF INDIA State Bank of India 14,573.39 148.98
UNITED BANK OF INDIA Punjab National Bank 5,218.73 557.16
UCO BANK UCO Bank 733.86 105.16
TOTAL 28,254.20 2,445.09
GRAND TOTAL 1,36,543.23 13,337.90

( in lakhs)

WORKING CAPITAL LOAN

Particulars

Amount of default as on 31.03.2021

Period of default

Name of anchor bank / Financial Institution Principal & Interest (Net of Reversals)
ALLAHABAD BANK (CC) Indian Bank 5,730.99

Quarter ending 31st Dec, 2015 to 31st March 2021

ANDHRA BANK (CC) Union Bank of India 5,679.15
BANK OF BARODA (CC) Bank of Baroda 9,601.95
CENTRAL BANK OF INDIA (CC) Central Bank of India 3,090.14
PUNJAB NATIONAL BANK (CC) Punjab National Bank 12,904.55
STATE BANK OF INDIA (CC) State Bank of India 59,649.65
UNITED BANK OF INDIA (CC) Punjab National Bank 13,906.99
UCO BANK (CC) UCO Bank 2,603.34
SBI GLOBAL FACTORS LIMITED SBI GLOBAL Factors Limited 636.28
TOTAL 1,13,803.04

The non-provision of interest expenses amounting to Rs 1,08,798 lakhs for the period till date of commencement of CIRP i.e., 7th February, 2020 amounting to Rs 108797.67 lakhs as referred in Note No. 39 of the Standalone Financial Statements continued to be a default. The company does not have any loans or borrowings from the government and has not issued any Debentures.

(ix) Based upon the audit procedures performed and the information and explanations given by the management, the company has not raised moneys by way of initial public issue/ follow-on offer (including debt instruments) and term loans.

(x) Based upon the audit procedures performed and the information and explanations given by the management, we report that no fraud by the Company or on the company by its officers or employees has been noticed or reported during the year.

(xi) Based upon the audit procedures performed and the information and explanations given by the management, the managerial remuneration has been paid or provided in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.

(xii) In our opinion and according to the information and explanations given to us, the Company is not a Nidhi Company. Therefore, the reporting under Paragraph 3 (xii) of the Order is not applicable to the Company.

(xiii) In our opinion and according to the information and explanations given to us, all transactions with the related parties are in compliance with Section 177 and 188 of Companies Act, 2013 where applicable and the details have been disclosed in the Standalone Financial Statements as required by the applicable Accounting Standards.

(xiv) According to the information and explanation given to us and based on our examination of the records of the company, the company has not made any preferential allotment or private placement of shares of fully or partly convertible debentures and hence reporting under paragraph 3(xiv) of the Order is not applicable to the Company.

(xv) Based upon the audit procedures performed and the information and explanations given by the management, the company has not entered into any non-cash transactions with directors or persons connected with them. Accordingly, the reporting under Paragraph 3 (xv) of the Order is not applicable to the Company and hence not commented upon.

(xvi) In our opinion, the company is not required to be registered under section 45 IA of the Reserve Bank of India Act, 1934.

For R Kothari & Co LLP
Chartered Accountants
FRN: 307069E/E300266
Date: 29th June, 2021 CA Manoj Kumar Sethia
Place: Kolkata Partner
UDIN: 21064308AAAABH8501 Membership No.:- 064308

"Annexure B" to Independent Auditors Report

Report on the Internal Financial Controls Over Financial Reporting 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. ROHIT FERRO-TECH LIMITED ("the Company") as of 31st March, 2021 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.

Managements Responsibility for Internal Financial Controls

The Companys management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (ICAI). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to companys policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the 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") issued by the Institute of Chartered Accountants of India and the Standards on Auditing issued by ICAI and 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 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 Standalone 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 Standalone 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 standalone 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 2021, 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 R Kothari & Co LLP
Chartered Accountants
FRN: 307069E/E300266
Date: 29th June, 2021 CA Manoj Kumar Sethia
Place: Kolkata Partner
UDIN: 21064308AAAABH8501 Membership No.:- 064308