To
The Members of TRESCON LIMITED
Report on the audit of the standalone financial statements
Opinion
We have audited the accompanying standalone financial statements of TRESCON LIMITED
(“the Company”), which comprise the balance sheet as at March 31, 2023, and the
Statement of Pro t and Loss (including Other Comprehensive Income), the Statement of
changes in Equity and statement of cash flows for the year then ended, and notes to the
standalone financial statements, including a summary of significant accounting policies
and other explanatory information. (hereinafter referred to as standalone financial
statements).
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 (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 a
airs of the Company as at March 31, 2023, its profit, total comprehensive income, changes
in equity and cash flows for the year ended on that date.
Basis for opinion
We conducted our audit of the standalone financial statement in accordance with the
standards on auditing 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 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.
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 that there are no key audit matters
to communicate in our report.
Information other than the standalone financial statements and auditors report thereon
The Companys Board of Directors is responsible for the other information. The other
information comprises of Boards report, Corporate governance report and Management
discussion analysis report, but does not include the Standalone financial statements and
our auditors report thereon. The Boards report, Corporate governance report and
Management discussion analysis report is expected to be made available to us after the
date of this auditors report.
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 such 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 as no other information as described above has
been made available for review.
Managements responsibility for the standalone financial statements
The Companys board of directors are responsible for the matters stated in section 134
(5) of 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 including
other comprehensive income, cash flows and changes in equity 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 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 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.
The board of directors are also responsible for overseeing the Companys financial
reporting process.
Auditors responsibilities for the audit of the standalone 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 standalone 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 control 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 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 ndings, 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.
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 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.
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 including the Statement of
Other Comprehensive Income, the cash flow statement and Statement of Changes in Equity
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
accounting standards specified under section 133 of the Act, read with Companies (Indian
Accounting Standards) Rules, 2015, as amended;
(e) On the basis of the written representations received from the directors as on March
31, 2023 taken on record by the board of directors, none of the directors is disqualified
as on March 31, 2023 from being appointed as a director in terms of Section 164 (2) of the
Act;
(f) With respect to the adequacy of the internal financial controls over financial
reporting of the Company with reference to these Standalone financial statements and the
operating effectiveness of such controls, refer to our separate Report in “Annexure
B” to this report; and
(g) In our opinion and according to the information and explanation given to us, no
managerial remuneration has been paid / provided by the Company to its directors for the
year ended on March 31, 2023. Accordingly, reporting u/s 197(16) of the Act is not
applicable.
(h) 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 does not have any pending litigations which would impact its nancial position;
b. The Company did not have any long-term contracts including derivative contracts for
which there were any material foreseeable losses;
c. There were no amounts which were required to be transferred to the Investor
Education and Protection Fund by the Company.
d. i. The Management has represented that, to the best of its knowledge and belief, no
funds (which are material either individually or in the aggregate) 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 or entity, including foreign
entity (“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 Bene ciaries”) or provide any guarantee, security or the like
on behalf of the Ultimate Bene ciaries (Refer Note. 27.13 to the standalone financial
statements) (Refer Note. 27.13 to the financial statement);
ii. The Management has represented, that, to the best of its knowledge and belief, no
funds (which are material either individually or in the aggregate) have been received by
the Company from any person or entity, including foreign entity (“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 Bene ciaries”) or provide any guarantee, security or the like on
behalf of the Ultimate Bene ciaries (Refer Note. 27.13 to the standalone financial
statements);
iii. Based on the audit procedures that have been considered reasonable and appropriate
in the circumstances, nothing has come to our notice that has caused us to believe that
the representations under sub-clause (i) and (ii) of Rule 11(e), as provided under (a) and
(b) above, contain any material misstatement.
iv. No dividend declared and paid during the year by the Company, hence no such
compliance with Section 123 of the Companies Act, 2013 applicable to the company.
v. Provison to Rule 3(1) of the Companies (Accounts) Rules, 2014 for maintaining books
of account using accounting software which has a feature of recording audit trail (edit
log) facility is applicable to the Company with effect from April 1, 2023, and
accordingly, reporting under Rule 11(g) of Companies (Audit and Auditors) Rules, 2014 is
not applicable for the financial year ended March 31, 2023.
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For Koshal & Associates |
|
Chartered Accountants |
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Firms registration number: 121233W |
|
Sd/- |
|
Koshal Maheshwari |
|
Proprietor |
|
Membership number: 043746 |
| Place: Mumbai |
UDIN: 23043746BGXBEA9484 |
| Date: 29 May, 2023 |
|
Annexure - A to the Auditors Report
The Annexure referred to in Independent Auditors Report to the members of TRESCON
LIMITED (the
Company) on the standalone financial statements for the year ended 31 March 2023, we
report that:
(i) (a) (A) The Company has maintained proper records showing full particulars,
including quantitative details and situation of Property, Plant and Equipment.
(B) The Company do not hold any intangible assets during the year. Hence clause
3(i)(a)(B) of the order in not applicable.
(b) As explained to us, Property, Plant and Equipment have been physically veri ed by
the management at reasonable intervals. No material discrepancies were noticed on such
veri cation.
(c) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the company does not hold any immovable
property as on 31.03.2023. Accordingly clause 3(i) (c) of the order in not applicable.
(d) The Company has not revalued any of its Property, Plant and Equipment and
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 Company does not have any inventory and hence reporting under clause
3(ii)(a) of
the Order is not applicable.
(b) The Company has not been sanctioned working capital limits in excess of 5 crore, in
aggregate, at any points of time during the year, from banks or financial institutions on
the basis of security of current assets and hence reporting under clause 3(ii)(b) of the
Order is not applicable.
(iii) According to the information and explanation given to us and based on the basis
of our examination of the records of the Company, the Company has not provided any
guarantee or security or granted any loan or advances in the nature of loans, secured or
unsecured, to companies, rms, limited liability partnership or any other parties during
the year.
The Company has made investments in mutual funds, in respect of which requisite
information is as below. Further, the Company has not made any investment in companies,
rms or limited liability partnership during the year.
(a) According to the information and explanations given to us and based on the audit
procedures conducted by us, during the year the company has not granted any loans or
advances in the nature of loan or stood guarantee or provided security to companies, rms,
limited liability partnership or any other parties. Accordingly, reporting under clause
3(iii)(a) of the Order is not applicable to the company.
(b) According to the information and explanations given to us and based on the audit
procedures conducted by us, in our opinion the investments made by the company and the
unsecured loans granted by the company are, prima facie, not prejudicial to the interest
of the Company. (c) According to the information and explanations given to us and on the
basis of our examination of the records of the Company, the repayment schedule of
principal and interest are not stipulated for the loans given by the company and hence the
repayments or receipts if any are regular in nature cannot be determined.
(d) Since the terms of repayment are not stipulated, total amount overdue/recoverable
for more than 90 days cannot be determined.
(e) Since the terms of repayment are not stipulated, the total amount of loan fallen
due during the year cannot be identified. According the reporting under clause 3 (iii) (e)
of the Order cannot be determined.
(f) 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 granted any loans or
advances in the nature of loans either repayable on demand or without specifying any terms
or period of repayment during the year. Hence, reporting under clause (iii) (f) of the
order is not applicable.
(iv) According to the information and explanations given to us, the Company has not
made any loans which require compliance with the provisions of section 185. However, the
Company has complied with the provisions of s.186 of the Act, with respect to loans and
investments made. (v) The Company has not accepted any deposits or amounts which are
deemed to be deposits from the public. Accordingly clause 3 (v) of the Order is not
applicable.
(vi) The Central Government has not prescribed the maintenance of cost records under
section 148(1) of the Act, for any of the services rendered by the Company. Accordingly
clause 3 (vi) of the Order is not applicable.
(vii) (a) According to the information and explanation given to us sales-tax, wealth
tax, duty of customs, duty of excise, value added tax are not applicable to the company.
The Company is regular in depositing undisputed statutory dues including income tax, Goods
and Service Tax, and other statutory dues with the appropriate authorities during the year
except for profession tax.
According to the information and explanation given to us, no undisputed amounts payable
were in arrears, as at 31st March, 2023 for the period of more than six months from the
date they became payable except for profession tax Rs. 35000.
(b) According to the information and explanation given to us, there are no statutory
dues of goods and service tax, cess which have not been deposited with the appropriate
authorities on account of any dispute. The particulars of other statutory dues referred to
in sub-clause (a) as at 31st March, 2023 which have not been deposited on account of a
dispute, are as follows:
Name of the Statute |
Nature of Dues |
Amount (Rs. in Lakhs) |
Period to which the amount relates |
Forum where dispute is pending |
Income Tax Act, 1961 |
Income Tax |
121.44 |
AY 2008-09 |
Commissioner of Income Tax (Appeals) |
(viii) There were no transactions relating to previously unrecorded income that have
been surrendered or disclosed as income during the year in the tax assessments under the
Income Tax Act, 1961 (43 of 1961) (Refer note 27.15 to the standalone financial
statement).
(ix) The Company does not have any loans or borrowings from any financial institution,
banks, government or debenture holders during the year. Accordingly, paragraph 3(viii) of
the Order is not applicable.
(x) (a) The Company did not raised any money by way of initial public offer or further
public offer (including debt instruments) during the year. Accordingly, paragraph 3 (x)
(a) of the Order is not applicable.
(b) During the year, the Company has not made any preferential allotment or private
placement of shares or convertible debentures (fully or partly or optionally) and hence
reporting under clause 3(x)(b) of the Order is not applicable.
(xi) According to the information and explanations given to us, no fraud by the Company
or on the Company by its o cers or employees has been noticed or reported during the
course of our audit.
(xii) The Company is not a nidhi company and accordingly, paragraph 3(xii) of the Order
is not applicable.
(xiii) According to the information and explanations given to us, the transactions
undertaken by the company with the related parties are in compliance with s. 177 and s.
188 of the Act and the details of such transactions have been disclosed in the financial
statement as required by the Ind AS 24-‘ Related Party Disclosures.
(xiv) (a) In our opinion the Company has an adequate internal audit system commensurate
with
the size and the nature of its business.
(b) We have considered, the internal audit reports for the year under audit, issued to
the Company during the year and till date, in determining the nature, timing and extent of
our audit procedures.
(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. Accordingly, paragraph 3(xv) of
the Order is not applicable.
(xvi) (a) 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), (b)
and (c) of the Order is not applicable.
(b) In our opinion, there is no core investment company within the Group (as defined in
the Core Investment Companies (Reserve Bank) Directions, 2016) and accordingly reporting
under clause 3(xvi)(d) of the Order 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 during the year and
accordingly this
clause is not applicable.
(xix) On the basis of the financial ratios (Also refer Note 27.11 to the standalone
financial statements), ageing and expected dates of realisation of financial assets and
payment of financial liabilities, other information accompanying the standalone 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) According to the information and explanations given to us and on the basis of our
examination of the records of the Company, the provisions of s. 135 of Companies Act, 2013
are not applicable to the company. Accordingly reporting under clause 3(xx)(a) & (b)
of the Order is not applicable.
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For Koshal & Associates |
|
Chartered Accountants |
|
Firms registration number: 121233W |
|
Sd/- |
|
Koshal Maheshwari |
|
Proprietor |
|
Membership number: 043746 |
| Place: Mumbai |
UDIN: 23043746BGXBEA9484 |
| Date: 29 May, 2023 |
|
Annexure - B to the Auditors Report
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 TRESCON
LIMITED (“the Company”) as of 31 March 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 (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”) and the Standards on Auditing, issued by ICAI and deemed
to be 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 standalone 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
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 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 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.
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For Koshal & Associates |
|
Chartered Accountants |
|
Firms registration number: 121233W |
|
Sd/- |
|
Koshal Maheshwari |
|
Proprietor |
|
Membership number: 043746 |
| Place: Mumbai |
UDIN: 21043746AAAACQ6148 |
| Date: 29 May, 2023 |
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+91-9892691696
