To the Members of Sagar Productions Limited
Report on the Audit of Financial Statements
Opinion
We have audited the Standalone financial statements of Sagar
Productions Limited ("the Company"), which comprise the Standalone Balance Sheet
as at March 31, 2023, the Standalone Statement of Profit and Loss, Standalone Statement of
Cash Flows and Standalone Statement of Changes in Equity for the year then ended, and
notes to the financial statements, including 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
("the 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 ("Ind AS") specified under Section 133 of
the Act read with the Companies (Indian Accounting Standards) Rules, 2015 and other
accounting principles generally accepted in India, of the state of affairs of the Company
as at 31 March 2023, its Loss (including other comprehensive income), its cash flows and
the changes in equity for the year ended on that date.
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing
(SAS) 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 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.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment,
were of most significance in our audit of the financial statements of the current period.
These matters were addressed in the context of our audit of the 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 that there are no key audit matters to be
communicated in our report.
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 management
discussion and analysis, report on corporate governance, directors report, etc 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 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.
Responsibilities of management and those charged with governance for
the standalone financial statements.
The accompanying standalone financial statements have been approved by
the Companys Board of Directors. The Companys Board of Directors is responsible for the
matters stated in section 134(5) of the Act with respect to the preparation of these
financial statements that give a true and fair view of the financial position, financial
performance including other comprehensive income, changes in equity and cash flows of the
Company in accordance with the Ind AS specified under section 133 of the Act and other
accounting principles generally accepted in India. This responsibility also includes
maintenance of adequate accounting records in accordance with the provisions of the Act
for safeguarding of the assets of the Company and for preventing and detecting frauds and
other irregularities; selection and application of appropriate 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, the board of directors are
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 the board of directors 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 standards on auditing specified
under Section 143(10) of the Act we exercise professional judgment and maintain
professional scepticism 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 control relevant to the
audit in order to design audit procedures that are appropriate in the circumstances. Under
Section 143(3)(1) of the Act, we are also responsible for expressing our opinion on
whether the company has adequate internal financial controls systems 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 Board of Directors 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 financial statements or, if such disclosures are inadequate, to
modify our opinion. Our conclusions are based on the audit evidence obtained up to the
date of our auditors report. However, future events or conditions may cause the Company
to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the
financial statements, including the disclosures, and whether the financial statements
represent the underlying transactions and events in a manner that achieves fair
presentation.
Materiality is the magnitude of misstatement 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 (1) planning
the scope of our audit work and in evaluating the results of our work; and (ii) to
evaluate the effect of any identified misstatement 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 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 sub-section (11) of
section 143 of the Act, we give in "Annexure A" a statement on the matters
specified in paragraphs 3 and 4 of the Order, to the extent applicable.
Further to our comments in Annexure A, as required by Section 143(3) of
the Act, we report, to the extent applicable 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
of the accompanying standalone financial statements.
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 standalone financial statements dealt with by this report are in
agreement with the books of account.
d) In our opinion, the aforesaid standalone financial statements comply
with the Ind AS specified under Section 133 of the Act,
e) On the basis of the written representations received from the
directors as on 31st March 2023 taken on record by the Board of Directors, none of the
directors is disqualified as on 31st March 2023 from being appointed as a director in
terms of Section 164 (2) of the Act.
f) With respect to the adequacy of the internal financial controls with
reference to financial statements of the Company as on 31 March 2023 and the operating
effectiveness of such controls, refer to our separate Report in Annexure B wherein we have
expressed an unmodified opinion; and
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 1 the best of our information and according to the explanations given to
us: i. The Company has disclosed the impact of pending litigations on its financial
position
as at 31 March 2023 in the standalone financial statements.
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.
iv. The management has represented that, to the best of its knowledge
and belief, other than as disclosed in the notes to the accounts,
a. 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; and
b. 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 Funding Party Ultimate Beneficiaries or provide any guarantee, security or
the like on behalf of the Ultimate Beneficiaries and
c. Based on audit procedures carried out by us, that we have considered
reasonable and appropriate in the circumstances, nothing has come to our notice that has
caused us believe that the representations under sub-clause (a) and (b) contain any
material misstatement. v. In our opinion and according to the information and explanations
given to us, No Dividend declared or paid during the year by the company under section 123
of the Companies Act, 2013.
For SC Mehra& Associates LLP Chartered Accountants
| Sd/ |
CA SC Mehra Partner |
Firm Registration No.106156W |
M. No. 039730 |
Place: Mumbai |
Date: 22-05-23 |
UDIN: 23039730BGWHBD3903 |
+91-9892691696
