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Adani Enterprises Ltd.

BSE: 512599 Sector: Others
NSE: ADANIENT ISIN Code: INE423A01024
BSE LIVE 14:21 | 06 Dec 70.00 0.35
(0.50%)
OPEN

71.00

HIGH

71.00

LOW

69.50

NSE LIVE 14:20 | 06 Dec 70.10 0.45
(0.65%)
OPEN

71.00

HIGH

71.15

LOW

69.40

OPEN 71.00
PREVIOUS CLOSE 69.65
VOLUME 290664
52-Week high 92.00
52-Week low 58.35
P/E 9.06
Mkt Cap.(Rs cr) 7698.60
Buy Price 70.10
Buy Qty 11.00
Sell Price 70.20
Sell Qty 2636.00
OPEN 71.00
CLOSE 69.65
VOLUME 290664
52-Week high 92.00
52-Week low 58.35
P/E 9.06
Mkt Cap.(Rs cr) 7698.60
Buy Price 70.10
Buy Qty 11.00
Sell Price 70.20
Sell Qty 2636.00

Adani Enterprises Ltd. (ADANIENT) - Auditors Report

Company auditors report

To the Members of

ADANI ENTERPRISES LIMITED

Report on the Standalone Financial Statements

We have audited the accompanying Standalone Financial Statements of Adani EnterprisesLimited ("the Company") which comprise the Balance Sheet as at Marc Rs 312016 and the Statement of Profit and Loss and Cash Flow Statement for the year thenended and a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparationand presentation of these Standalone Financial Statements that give a true and fair viewof the financial position financial performance and cash flows of the Company inaccordance with the accounting principles generally accepted in India including theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingthe assets of the Company and for preventing and detecting frauds and otherirregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the financial statements that give a true and fair viewand are free from material misstatement whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express an opinion on these Standalone Financial Statementsbased on our audit.

We have taken into account the provisions of the Act the Accounting and AuditingStandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditing specified underSection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the financial statements. The procedures selected depend on theauditor's judgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances. An audit also includes evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates made by the Company's Directors as well as evaluating the overall presentationof the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Standalone Financial Statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Standalone Financial Statements give the information requiredby the Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at 31st March 2016 and its profit and its cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016 ("the Order")issued by the Central Government of India in terms of sub-section (11) of Section 143 ofthe Act we give in the "Annexure A" a statement on the matters specified inthe paragrap Rs 3 and 4 of the Order to the extent applicable.

2. 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 bestof 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 theCompany so far as it appears from our examination of those books;

c) the Balance Sheet Statement of Profit and Loss and Cash Flow Statement dealt withby this Report are in agreement with the books of account;

d) in our opinion the aforesaid Standalone Financial Statements comply with theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014;

e) on the basis of the written representations received from the directors as on 31stMarch 2016 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2016 from being appointed as a director in terms of Section164(2) of the Act;

f) with respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate report in "Annexure B";

g) with respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinionand to 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 financialposition in its financial statements - Refer Note 36(A) to the financial statements;

ii. The Company has made provision as at 31st March 2016 as required under theapplicable law

or Accounting Standards for material foreseeable losses if any on long termcontracts including derivative contracts;

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company.

For Dharmesh Parikh & Co.
Chartered Accountants
Firm Reg. No. 112054W
Anuj Jain
Place : Ahmedabad Partner
Date : 4th May 2016 Membership No. 119140

Annexure - A to the Independent Auditor's Report

RE: ADANI ENTERPRISES LIMITED

(Referred to in Paragrap Rs 1 of our Report of even date)

The Annexure referred to in our Independent Auditor's Report to the members of theCompany on the Standalone Financial Statements for the year ended 31st March 2016 wereport that:

(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation offixed assets.

(b) As explained to us fixed assets according to the practice of the Company arephysically verified by the management at reasonable intervals in a phased verificationprogramme which in our opinion is reasonable looking to the size of the Company andthe nature of its business.

(c) The title deeds of immovable properties as disclosed in Note 13 on fixed assets tothe financial statements are held in the name of the Company except for leasehold landand immovable assets acquired pursuant to the composite scheme of arrangement as referredto in Note 48 having a carrying value of Rs 41.32 Crores as at 31st March 2016.

(ii) The inventory other than stocks lying with third parties has been physicallyverified by the management during the year. In our opinion the frequency of verificationis reasonable. In respect of stocks lying with third parties at the year-end writtenconfirmations have been obtained. The discrepancies noticed on verification between thephysical stocks and the book records were not material and have been properly dealt within the books of account.

(iii) According to the information and explanations given to us and representationsmade by the Management the Company has not granted any loans secured or unsecured tocompanies firms limited liability partnerships or other parties covered in the Registermaintained under Section 189 of the Companies Act 2013 ('the Act'). Accordingly theprovisions of clause 3 (iii) (a) to (c) of the Order are not applicable to the Company.

(iv) According to the information and explanations given to us and representations madeby the Management the Company has complied with the provisions of Section 185 and 186 ofthe Act in respect of the loans and investments made and guarantees and securitiesprovided by it.

(v) In our opinion and according to the information and explanation given to us theCompany has not accepted any deposits from the public and hence the directives issued bythe Reserve Bank of India and the provisions of Sections 73 to 76 or any other relevantprovisions of the Act and the Companies (Acceptance of Deposit) Rules 2015 with regard tothe deposits accepted from the public are not applicable. Accordingly the provisions ofclause 3 (v) of the Order are not applicable to the Company.

(vi) We have broadly reviewed the cost records maintained by the Company pursuant tothe Companies (Cost

Records and Audit) Rules 2014 prescribed by the Central Government under Section148(1) of the Companies Act 2013 in respect of the Company's products/ services to whichthe said rules are made applicable and are of the opinion that prima facie the prescribedcost records have been made and maintained. However we have not made a detailedexamination of the cost records with a view to determine whether they are accurate orcomplete.

(vii) (a) According to information and explanations given to us and on the basis of ourexamination of the books of account and records the Company has been generally regularin depositing undisputed statutory dues including Provident Fund Employees StateInsurance Income-Tax Sales Tax Service Tax Duty of Customs Duty of Excise ValueAdded Tax Cess and any other statutory dues with the appropriate authorities. Accordingto the information and explanations given to us no undisputed amounts payable in respectof the above were in arrears as at 31st March 2016 for a period of more than six monthsfrom the date on when they become payable.

(b) According to the information and explanations given to us there are no materialdues of wealth tax which have not been deposited with the appropriate authorities onaccount of any dispute. However according to information and explanations given to usthe following dues of Duty of Customs Cess Income Tax Sales Tax/ Value Added TaxService Tax Duty of Excise and FEMA have not been deposited by the Company on account ofdisputes:

Name of Statute Nature of the dues Forum where dispute is pending Amount (*) (Rs in Crores) Amount paid under protest (Rs in Crores) Period to which the amount relates
Income Tax Act Income Tax Appellate Authority upto Commissioner's Level 69.98 31.27 2006-07 2008-09 to 2012-13
Appellate Tribunal 24.24 16.02 2001-02 2003-04 200607 to 2008-09 & 2010-11
High Court 0.02 - 1988-89
Finance Act 1994 Service Tax Appellate Authority upto Commissioner's Level 0.82 - 2007-08 to 2009-10
Appellate Tribunal 34.72 18.08 2004-05 to 2011-12
Sales Tax Acts Sales Tax Appellate Authority upto Commissioner's Level 239.60 22.86 1999-2000 2002-03 to 2014-15
Appellate Tribunal 4.60 1.98 2001-02 2004-05 200809 & 2013-14
High Court 6.22 0.58 2005-06 to 2010-11
Supreme Court 11.47 1.91 2006-07 to 2010-11
Excise Act Excise Duty High Court 0.31 0.15 1998-99 1999-2000
Customs Act Customs Duty Assessing Authority 504.55 151.03 1994-96 1997-98 19992000 to 2006-07 2012-13 2013-14
Appellate Authority upto Commissioner's Level 2.50 - 2000-01 to 2008-09
Appellate Tribunal 428.92 229.71 1992-93 1993-94 199798 2005-06 to 2007-08 2011-12 & 2012-13
High Court 1.74 0.87 1996-1997
Jt. Secretary Ministry of Finance 0.83 - 2006-07 to 2009-10
Supreme Court 1.82 - 1997-98 to 1999-2000
Foreign Exchange Management Act Penalty Appellate Tribunal 4.10 - 2000-01
Foreign Exchange Regulation Act Penalty Appellate Authority upto Commissioner's Level 0.16 - 1997-98

* Amount as per Demand orders including interest and penalty wherever figuresavailable.

(viii) Based on our audit procedures and on the information and explanations given bythe management we are of the opinion that the Company has not defaulted in repayment ofdues to any bank financial institution or debenture holders during the year.

(ix) Based upon the audit procedures performed and the information and explanationsgiven by the management the Company has not raised moneys by way of initial public offeror further public offer including debt instruments and term Loans. Accordingly theprovisions of clause 3 (ix) of the Order are not applicable.

(x) During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practice in India andaccording to the information and explanation given to us we have neither come across anyinstance of material fraud by the Company or on the Company by its officers or employeesnoticed or reported during the year nor have we been informed of any such case by themanagement.

(xi) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company managerial remuneration has been paid orprovided in accordance with the requisite approvals mandated by the provisions of Section197 read with Schedule V of the Act.

(xii) In our opinion the Company is not a Nidhi Company. Accordingly the provisions ofClause 3 (xii) of the Order are not applicable.

(xiii) As per information and explanation given to us and

on the basis of our examination of the records of the Company all the transaction withrelated parties are in compliance with Section 177 and 188 of the Act and all the detailshave been disclosed in financial statements as required by the applicable AccountingStandards.

(xiv) According to the information and explanations given to us and on the basis of ourexamination of the records the Company has not made any preferential allotment or privateplacement or not issued any debenture during the year under review. Accordingly theprovisions of paragrap Rs 3(xiv) of the Order are not applicable.

(xv) According to the information and explanations given to us and on the basis of ourexamination of the records Company has not entered into any non-cash transactions withany director or any person connected with him. Accordingly the provisions of Clauses 3(xv)of the Order are not applicable to the Company.

(xvi) In our opinion the Company is not required to be registered under Section 45 IAof the Reserve Bank of India Act 1934 and accordingly the provisions of Clause 3(xvi) ofthe Order are not applicable.

For Dharmesh Parikh & Co.
Chartered Accountants
Firm Reg. No. 112054W
Anuj Jain
Place : Ahmedabad Partner
Date : 4th May 2016 Membership No. 119140

Annexure - B to the Independent Auditor's Report

RE: ADANI ENTERPRISES LIMITED

(Referred to in paragrap Rs 2 (f) of our Report of even date)

Report on the Internal Financial Controls under Clause i of sub-section 3 of Section143 of the Companies Act 2013 ('the Act').

We have audited the internal financial controls over financial reporting of the AdaniEnterprises Limited ('the Company') as of 31st March 2016 in conjunction with our auditof the Standalone Financial Statements of the Company for the year ended on that date.

Management's Responsibilities for Internal Financial Controls

The Company's management is responsible for establishing and maintaining internalfinancial controls based on the

internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAudit of Internal Financial Controls over Financial Reporting issued by the Institute ofChartered Accountants of India. These responsibilities include the design implementationand maintenance of adequate internal financial controls that were operating effectivelyfor ensuring the orderly and efficient conduct of its business including adherence

to Company's policies the safeguarding of its assets the prevention and detection offrauds and errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Act.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith 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 beprescribed under Section 143(10) of the Act to the extent applicable to an audit ofinternal financial controls both applicable to an audit of Internal Financial Controlsand both issued by the Institute of Chartered Accountants of India. Those Standards andthe Guidance Note require that we comply with ethical requirements and plan and performthe audit to obtain reasonable assurance about whether adequate internal financialcontrols over financial reporting was established and maintained and if such controlsoperated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls overfinancial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgment including the assessment of the risks ofmaterial misstatement of the financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls systemoverfinancial reporting.

Meaning of Internal Financial Controls over Financial Reporting

ACompany's internal financial control overfinancial reporting is a process designed toprovide reasonable assurance regarding the reliability of financial reporting and thepreparation of financial statements for external purposes in accordance with generallyaccepted accounting principles. A Company's internal financial control over financialreporting includes those policies and procedures that:

(1) pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the Company;

(2) provide reasonable assurance that transactions are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the Company are being made only inaccordance with authorizations of management and directors of the Company; and

(3) provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the Company's assets that could have amaterial effect on the financial statements.

Inherent Limitations of Internal Financial Controls over Financial Reporting

Because of the inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.Also projections of any evaluation of the internal financial controls overfinancialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at 31st March 2016 based on theinternal control overfinancial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.

For Dharmesh Parikh & Co.
Chartered Accountants
Firm Reg. No. 112054W
Anuj Jain
Place : Ahmedabad Partner
Date : 4th May 2016 Membership No. 119140

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