To the Members of RRIL Limited
Report on the Standalone Ind AS Financial Statements
Opinion
We have audited the accompanying standalone Ind AS financial statements of RRIL
Limited. ("the Company), which comprise the Balance Sheet as on 31st March, 2023,
the Statement of Profit and Loss and Cash Flow Statement for the year ended, and a summary
of significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanations
given to us, the 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 accounting principles generally accepted in India
including Indian Accounting Standards (‘Ind AS) specified under Section 133 of the
Act, of the state of affairs (financial position) of the Company as at 31st March 2023,
and its Profit and its cash flows for the year ended on that date.
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing specified under
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 (‘ICAI) together with the ethical requirements
that are relevant to our audit of the financial statements under the provisions of the 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 and appropriate to provide a basis for our
opinion.
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 the information included in the Management
Discussion and Analysis, Boards Report including Annexures to Boards Report, Business
Responsibility Report, Corporate Governance and Shareholders Information, 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.
Managements Responsibility for the Standalone Ind AS Financial Statements
The Management and Board of Directors of the Company are responsible for the matters
stated in section 134(5) of the Companies Act, 2013 (‘the act) with respect to the
preparation of these standalone Ind AS financial statements that give a true and fair view
of the financial position, financial performance and cash flows of the Company in
accordance with the accounting principles generally accepted in India, including the
Accounting Standards (Ind AS) specified under Section 133 of the Act, read with rule 7 of
the Companies (Accounts) Rules, 2015 (as amended).
This responsibility also includes maintenance of adequate accounting records in
accordance with the provisions of the Act for safeguarding the assets of the Company and
for preventing and detecting frauds and other irregularities; selection and application of
appropriate accounting policies; making judgement and estimates that are reasonable and
prudent; design, implementation and maintenance of adequate internal financial control,
that are operating effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the financial
statements Ind AS 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.
Those Board of Directors are also responsible for overseeing the Companys financial
reporting process.
Auditors Responsibility 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 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 Standards on Auditing, 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 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.
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, 2020 (the ‘Order) issued
by the Central Government of India in terms of Section 143(11) of the Act, we give in the "Annexure
A" , a statement on the matters specified in paragraphs 3 and 4 of the Order.
Further to our comments in Annexure A, as required by section 143(3) of the Act, we
further report that:
a) we have sought and obtained all the information and explanations which to the best
of our knowledge and belief were necessary for the purpose of our audit;
b) in our opinion proper books of account as required by law have been kept by the
Company so far as appears from our examination of those books;
c) the Balance Sheet, Statement of Profit and Loss, and cash flow statement dealt with
by this Report are in agreement with the books of account;
d) in our opinion, the aforesaid standalone financial statement comply with the
applicable Accounting Standards specified under section 133 of the Act, read with the rule
7 of the Companies (Accounts) Rules, 2015 (as amended).
e) On the basis of written representations received from the directors as on 31st
March, 2023, and 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
standalone financial statements of the Company for the year ended as on that date and our
report as per "Annexure B" expressed an unmodified opinion.
g) In our opinion and to the best of our information and according to the explanations
given to us, we report as under with respect to other matters to be included in the
Auditors Report in accordance with the Rule 11 of the Companies (Audit and Auditors)
Rules, 2015 (as amended):
i. The Company does not have any pending litigations which would impact on its
financial position in its standalone Ind AS financial statements.
ii. The Company did not have any long-term contracts including derivative contracts; as
such the question of commenting on any material foreseeable losses thereon does not arise.
iii. During the year 2022-2023 the Company was not required to transfer any amount to
the Investor Education and Protection Fund.
iv. (a) The management has represented that, to the best of its knowledge and belief,
other than as disclosed in the notes to the accounts, no funds have been advanced or
loaned or invested (either from borrowed funds or share premium or any other sources or
kind of funds) by the company to or in any other person(s) or entity(ies), including
foreign entities ("intermediaries") with the understanding, whether recorded in
writing or otherwise, that the intermediary shall, whether, directly or indirectly lend or
invest in other persons or entities identified in any manner whatsoever by or on behalf of
the company ("Ultimate Beneficiaries") or provide any guarantee, security or the
like on behalf of the Ultimate Beneficiaries;
(b) The management has represented that, to the best of its knowledge and belief,
other than as disclosed in the notes to the accounts, no funds have been received by the
company from any person(s) or entity(ies), including foreign entities ("Funding
Parties"), with the understanding, whether recorded in writing or otherwise, that the
company shall, whether, directly or indirectly lend or invest in other persons or entities
identified in any manner whatsoever by or on behalf of the Finding Party ("Ultimate
Beneficiaries") or provide any guarantee, security or the like on behalf of the
Ultimate Beneficiaries; and
(c) Based on audit procedures which we considered reasonable and appropriate in the
circumstances, nothing has come to their notice that has caused them to believe that the
representations under sub-clause (a) and (b) contain any material mis-statement.
(d) The company has not declared or not paid any dividend during the year in
contravention of the provisions of section 123 of the Companies Act, 2013.
h) As required by Section 197(16) of the Act, we report that the Company has paid
remuneration to its directors during the year in accordance with the provisions of and
limits laid down under Section 197 read with Schedule V to the Act.
|
For Subramaniam Bengali & Associates |
|
Chartered Accountant |
|
FRN 127499W |
|
CA - P. Subramaniam |
|
Partner |
| Place: Mumbai |
Mem. No. 043163 |
| Dated: 08.05.2023 |
UDIN No.: 23043163BGWJET2946 |
"ANNEXURE A" TO INDEPENDENT AUDITORS REPORT OF EVEN DATE TO THE MEMBERS OF
RRIL LIMITED FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH 2023
Based on the audit procedures performed for the purpose of reporting a true and fair
view on the standalone financial statements of the Company and taking into consideration
the information and explanations given to us and the books of account and other records
examined by us in the normal course of audit, and to the best of our knowledge and belief,
we report that:
i. (a) The Company has maintained proper records showing full particulars including
quantitative details and situation of fixed assets.
(b) As explained to us, all the assets have been physically verified by the management
during the year. No material discrepancies in the assets have been noticed on such
verification.
(c) The title deed of immovable properties, as disclosed in Note 1 on fixed assets to
the financial statement, are held in the name of the Company.
(d) In our opinion and according to the information and explanations given to us
The company has not revalued any of its Property, Plant & Equipment during the
year.
(e) In our opinion and according to the information and explanations given to us no
Proceedings have been initiated or there are no case pending against the company for
holding any benami property under the Benami Transactions act, 1988.
ii. (a) The inventory has been physically verified during the year by the management.
In Our opinion, the frequency of verification is reasonable. In our opinion and according
to the information and explanations given to us, the procedure of physical verification of
inventories followed by the management are reasonable and adequate in relation to the size
of the company and the nature of its business. On the basis of our examination of the
records of inventory, we are of the opinion that the company is generally maintaining
proper records of inventory. We have not found any discrepancies of 10% or more in
aggregate, for each clause of inventory. Any discrepancies found were not material and the
same have been properly dealt with in the books of account.
(b) In our opinion and according to the information and explanations given to us
The company has not been sanctioned any working capital limit from banks or Financial
institution during any point of time in the year.
iii. (a) In our opinion and according to the information and explanations given to us,
The Company has granted unsecured loans to any parties as covered in the register under
section 189 of the Act.
| Sr., No. Particulars |
Loans(in Lakhs) |
| 1 Aggregate amount granted / provided during the year: |
|
| Related party |
1835.00 |
| 2 Balance outstanding as at balance sheet date in respect of above cases: |
|
| To Related party |
2475.53 |
According to the information and explanations given to us, the company has made
investment in companies and the provision of the section 186 of the companies Act 2013,
have been complied with.
| Sr., No. Particulars |
Investment (in Lakhs) |
| Aggregate amount of investment made during the year: |
|
| Subsidiaries (wholly owned) |
NIL |
| Related party |
NIL |
| Balance outstanding as at balance sheet date in respect of above cases: |
|
| Subsidiaries (wholly owned) |
2450.46 |
| Related party |
115.00 |
(b) According to the information and explanations given to us the terms and conditions
of the grant of loans and advances in nature of loans are not prejudicial to the interest
of the company.
(c) There is no stipulation of schedule of repayment of principal and payment of
interest and therefore we are unable to comment on the regularity of repayment of
principal & payment of interest.
(d) Since the term of arrangement do not stipulate any repayment schedule we are unable
to comment whether the amount is overdue or not.
(e) No loan or advance in the nature of loan granted which has fallen due during the
year, has been renewed or extended or fresh loans granted to settle the overdues of
existing loans given to the same parties.
(f) According to the information and explanations given to us the company has granted
loans or advance in nature of loan either repayable on demand or without specifying any
term or period of repayment.
| Particulars |
(in Lakhs) |
| Aggregate amount of loans or Advances: |
|
| - Repayable on Demand |
- |
| - Without specifying terms of repayment |
2475.53 |
| Percentage of loans/advances in nature of loans to the total loans |
100% |
iv. According to the information and explanations given to us and in our opinion all
the provision of section 185 and 186 of the Companies Act, 2013 have been complied.
v. According to the information and explanations given to us, the Company has not
accepted deposits from the public. Hence the question of complying with the directives
issued by the Reserve Bank of India and the provisions of Section 73 to 76 or other
relevant provisions of the Companies Act, 2013 and rules framed there under are not
applicable to the Company.
vi. According to the information and explanations given to us, the Central Government
has not prescribed the maintenance of cost records under Section 148 (1) of the companies
Act, 2013 for any products of the company.
vii. (a) According to the information and explanations given to us, no undisputed
amounts payable in respect of applicable 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 were in
arrears for a period exceeding six months as at the end of the financial year from the
date they became payable.
(b) According to the information and explanations given to us, where statutory dues
referred to in sub-clause (a) there are no other statutory dues that have not been
deposited with appropriate authorities on account of any dispute.
viii. According to the information and explanations given to us the Company has no such
transaction which are not recorded in the books of account and have surrendered or
disclosed as income during the year in the assessment under the Income Tax Act, 1961 (43
of 1961).
ix. According to the information and explanations give to us,
(a) the Company have not taken loan or borrowing from financial institution during the
year except car loan for which the company has been regular in paying the interest and
principal amount as stipulated.
(b) The Company has not been declared wilful 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 hence clause 3 (ix) (c) is
not applicable.
(d) On an overall examination and explanation given to us the Company has not raised
any funds on short-term basis hence clause 3 (ix) (d) is not applicable.
(e) We report that the Company has not taken any funds from any entity or person during
the year on account of or to meet the obligation of its subsidiaries, associates or joint
ventures.
(f) The Company has not raised any loans during the year on the pledge of securities
held in its subsidiaries, associate or joint ventures and hence, reporting of the Order is
not applicable for the year under report.
x. (a) The Company did not raise any money by way of initial public offer, further
public offer (including debt instruments) during the year.
(b) The company has not made any preferential allotment or private placement of shares
or convertible debentures (fully, partially or optionally convertible) during the year, as
requirements of section 42 and section 62 of the Companies Act, 2013 is not applicable to
the Company.
xi. (a) 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.
(b) During the year, no report under sub-section (12) of section 143 of the Companies
Act, 2013 has been filed by cost auditor/ secretarial auditor or by us in Form ADT –
4 as prescribed under Rule 13 of Companies (Audit and Auditors) Rules, 2014 with the
Central Government.
(c) As represented to us by the management, there were no whistle blower complaints
received by the company during the year.
xii. In our opinion and according to the information and explanation given to us, the
company is not a Nidhi company. Hence the provision of clause 3(xii) of the order are not
applicable to the Company.
xiii. According to the information and explanations given to us and based on our
examination of the records of the Company, transactions with the related parties are in
compliance with sections 177 and 188 of the Companies Act, 2013 where applicable and
details of such transactions have been disclosed in the financial statements as required
by the applicable accounting standards.
xiv. (a) The company has an internal Audit system Commensurate with the size and Nature
of its Business;
(b) The report of internal auditors for the period under audit were considered by the
statutory auditor;
xv. According to the 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. Hence the provision of clause
3(xv) of the order are not applicable to the company.
xvi. According to the information and explanations given to us,
(a) The Company is not required to be registered under Section 45-IA of the Reserve
Bank of India Act, 1934 and hence reporting under clause 3(xvi) (a), (b) and (c) of the
Order is not applicable to the Company.
(b) The Company is not part of any group (as per the provisions of the Core Investment
Companies (Reserve Bank) Directions, 2016 as amended). Accordingly, the requirements of
clause 3(xvi) (d) are not applicable.
xvii. According to the information and explanations given to us and based on our
examination of the records of the Company, the company has not incurred any cash loses in
the financial year and in the immediately preceding financial year.
xviii. According to the information and explanations given to us, there is no
resignation of the statutory auditors during the financial year.
xix. In our opinion and according to the information and explanations given to us, the
financial ratios, ageing and expected dates of financials assets and payment of financials
liabilities, other informations accompanying the financials statement, In our opinion and
according to the information and explanation given to us the board of directors and
management plans, there is no material uncertainty exists as on the date of 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 period of one year from the balance sheet date.
xx. In our opinion and according to the information and explanations given to us, the
Company is not being covered with second provision to sub-section (5) of section 135 of
the said Act; and accordingly said Order is not applicable
xxi. In our opinion and as per information given to us there are no qualification or
adverse remark by the respective auditors in the CARO report of the Company included in
consolidated financial statements.
|
For Subramaniam Bengali & Associates |
|
Chartered Accountant |
|
FRN 127499W |
|
CA - P. Subramaniam |
|
Partner |
| Place: Mumbai |
Mem. No. 043163 |
| Dated: 08.05.2023 |
UDIN No.: 23043163BGWJET2946 |
"ANNEXURE B" TO INDEPENDENT AUDITORS REPORT OF EVEN DATE TO THE MEMBERS OF
RRIL LIMITED FINANCIAL STAT EMENTS FOR THE YEAR ENDED 31ST MARCH 2023
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 RRIL
Limited ("the Company") as of March 31, 2023 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". These responsibilities
include the design, implementation and maintenance of adequate internal financial controls
that were operating effectively for ensuring the orderly and efficient conduct of its
business, including adherence to companys policies, the safeguarding of its assets, the
prevention and detection of frauds and errors, the accuracy and completeness of the
accounting records, and the timely preparation of reliable financial information, as
required under the Companies Act, 2013.
Auditors Responsibility
Our responsibility is to express an opinion on the Companys internal financial
controls over financial reporting based on our audit. We conducted our audit in accordance
with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting
(the "Guidance Note") and the Standards on Auditing, specified 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 financial statements for external purposes in accordance with generally
accepted accounting principles. A companys internal financial control over financial
reporting includes those policies and procedures that (1) pertain to the maintenance of
records that, in reasonable detail, accurately and fairly reflect the transactions and
dispositions of the assets of the company; (2) provide reasonable assurance that
transactions are recorded as necessary to permit preparation of financial statements in
accordance with generally accepted accounting principles, and that receipts and
expenditures of the company are being made only in accordance with authorisations of
management and directors of the company; and (3) provide reasonable assurance regarding
prevention or timely detection of unauthorised acquisition, use, or disposition of the
companys assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial
reporting, including the possibility of collusion or improper management override of
controls, material misstatements due to error or fraud may occur and not be detected.
Also, projections of any evaluation of the internal financial controls over financial
reporting to future periods are subject to the risk that the internal financial control
over financial reporting may become inadequate because of changes in conditions, or that
the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion and to the best of our information and according to the explanations
given to you, 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 Subramaniam Bengali & Associates |
|
Chartered Accountant |
|
FRN 127499W |
|
CA - P. Subramaniam |
|
Partner |
| Place: Mumbai |
Mem. No. 043163 |
| Dated: 08.05.2023 |
UDIN No.: 23043163BGWJET2946 |
+91-9892691696
