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Amal Ltd.

BSE: 506597 Sector: Industrials
NSE: N.A. ISIN Code: INE841D01013
BSE LIVE 15:40 | 20 Jul 138.50 -0.20
(-0.14%)
OPEN

141.60

HIGH

141.60

LOW

135.00

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 141.60
PREVIOUS CLOSE 138.70
VOLUME 11961
52-Week high 207.90
52-Week low 32.75
P/E 9.15
Mkt Cap.(Rs cr) 97
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 141.60
CLOSE 138.70
VOLUME 11961
52-Week high 207.90
52-Week low 32.75
P/E 9.15
Mkt Cap.(Rs cr) 97
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Amal Ltd. (AMAL) - Auditors Report

Company auditors report

To the Members of Amal Ltd

Report on the Ind AS Financial Statements

We have audited the accompanying Ind AS financial statements of Amal Limited("the Company") which comprise the Balance Sheet as at March 31 2017 theStatement of Profit and Loss (including Other Comprehensive Income) the Cash FlowStatement and the Statement of Changes in Equity for the year then ended and a summary ofsignificant accounting policies and other explanatory information (hereinafter referredto as "Ind AS Financial Statements")

Management's responsibility for the Ind AS 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 preparation ofthese Ind AS financial statements that give a true and fair view of state of affairs (thefinancial position) profit (financial performance including other comprehensive income)cash flows and changes in equity of the Company in accordance with the accountingprinciples generally accepted in India including the Indian Accounting Standards (Ind AS)specified under Section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate InternalFinancial Controls and ensuring their operating effectiveness and the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe Ind AS financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditors' Responsibility

Our responsibility is to express an opinion on these Ind AS financial statements basedon our audit. We have taken into account the provisions of the Act the accounting andauditing standards and matters which are required to be included in the audit report underthe provisions 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 Ind AS financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the Ind AS financial statements. The procedures selected depend on theauditors' judgment including the assessment of the risks of material misstatement of theInd AS financial statements whether due to fraud or error. In making those riskassessments the auditor considers Internal Financial Controls relevant to the Company'spreparation of the Ind AS financial statements that give a true and fair view in order todesign audit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of accounting policies used and the reasonableness of theaccounting estimates made by the Company's Directors as well as evaluating the overallpresentation of the Ind AS financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Ind AS financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Ind AS financial statements give the information required bythe Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India including the Ind AS of the state ofaffairs (financial position) of the Company as at March 31 2017 its profit(financial performance including other comprehensive income) its cash flows and changesin equity for the year ended on that date.

Emphasis of Matter

We draw attention to note 27 of Ind AS financial statement wherein as per provision of"The Sick Industrial Companies (Special Provisions) Repeal Act 2003" themodified sanctioned scheme (MS - 13) approved by BIFR in its meeting held on July 01 2013continues to be in place. In view of the above books of account have been prepared ongoing concern basis. Our opinion is not modified in respect of this matter.

Other Matter

The comparative financial information of the Company for the year ended March 31 2016and the transition date opening balance sheet as at April 01 2015 included in these IndAS financial statements are based on the previously issued statutory financial statementsprepared in accordance with the Companies (Accounting Standards) Rules 2006 audited by uswhose report for the year ended March 31 2016 and March 31 2015 dated April 22 2016 andApril 24 2015 respectively expressed an unmodified opinion on those financial statementsas adjusted for the differences in the accounting principles adopted by the Company ontransition to the Ind AS which have been audited by us.

Our opinion is not modified in respect of this matter.

Report on other legal and regulatory requirements

1. As required by the Companies (Auditors' Report) Order 2016 ("the Order")issued by the Central Government of India in terms of sub-section (11) of Section143 of the Act we give in "Annexure 1" a statement on the matters specified inparagraphs 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 the Statement of Profit and Loss Cash Flow Statement and theStatement of Changes in Equity dealt with by this report are in agreement with the booksof account;

d. In our opinion the aforesaid Ind AS financial statements comply with the IndianAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014;

e. On the basis of written representations received from the Directors as on March 312017 and taken on record by the Board of Directors none of the Directors is disqualifiedas on March 31 2017 from being appointed as a Director in terms of Section 164 (2) of theAct;

f. With respect to the adequacy of the Internal Financial Controls over financialreporting of the Company and the operating effectiveness of such controls we give ourseparate report in "Annexure - 2".

g. With respect to the other matters to be included in the Auditors' 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 Ind AS financial statements – refer note 22 on Contingentliabilities.

(ii) The Company did not have any long-term contracts including derivative contracts.Hence the question of any material foreseeable losses does not arise;

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

(iv) The company has provided requisite disclosures in its Ind AS financial statementsas to holdings as well as dealings in Specified Bank Notes during the period from November08 2016 to December 30 2016 and these are in accordance with the books of accountmaintained by the company – refer note 31.

For Haribhakti & Co. LLP
Chartered Accountants
Firm Registration Number 103523W / W-100048 B L Shah
Mumbai Partner
April 21 2017 Membership Number 122071

Annexure - 1 to Independent Auditors' Report

Referred to in paragraph 1 under ‘Report on Other Legal and RegulatoryRequirements' in the Independent Auditors' Report of even date to the members of Amal Ltdon the IND AS financial statements for the year ended March 31 2017

(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of its Property plant and equipment.

(b) During the year Property plant and equipment have not been physically verified bythe Management. However there is a regular programme of verification which in ouropinion is reasonable having regard to the size of the Company and the nature of itsassets.

(c) According to the information and explanation given to us the title deeds ofimmovable properties other than self- constructed properties recorded as Property plantand equipment in the books of account of the Company as on March 31 2017 are held in thename of the Company.

(ii) The inventory has been physically verified by the Management during the year. Inour opinion the frequency of verification is reasonable. As informed no materialdiscrepancies were noticed on physical verification carried out during the year.

(iii) As informed 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 Act. Accordingly paragraph 3 (iii) (a) 3 (iii)(b)and 3 (iii)(c) of the Order are not applicable to the Company.

(iv) Based on information and explanation given to us in respect of loans investmentsguarantees and securities the Company has complied with the provisions of Section 185 and186 of the Act. (v) In our opinion and according to the information and explanations givento us the Company has not accepted any deposits from the public within the provisions ofSections 73 to 76 of the Act and the rules framed there under.

The Company has received share application money in earlier years towards which sharesare to be issued as per Modified Sanctioned Scheme(MS-13) approved by Board for Industrialand Financial Reconstruction (BIFR). Considering the exemptions available under the Schemeapproved by BIFR and pending approval for listing from Stock Exchanges such shareapplication money pending allotment has not been treated as public deposit under the Act.

(vi) According to the information and explanation given to us Central Government hasnot prescribed the maintenance of cost records for any of the products of the Companyunder subsection (1) of Section 148 of the Act and the rules framed there under.

(vii) (a) According to the information and explanation given to us and the records ofthe Company examined by us in our opinion the Company is generally regular in depositingwith appropriate authorities undisputed statutory dues including provident fundemployees' state insurance income tax sales tax service tax value added tax customsduty excise duty cess and any other material statutory dues applicable to it.

(b) According to the information and explanations given to us no undisputed amountspayable in respect of provident fund employees' state insurance income tax sales taxservice tax value added tax customs duty excise duty cess and any other materialstatutory dues applicable to it were outstanding at the year end for a period of morethan six months from the date they became payable.

(c) According to the information and explanation given to us the dues outstanding withrespect to income tax sales tax service tax value added tax customs duty excise dutyon account of any dispute are as follows:

Name of the statute Nature of dues Amount Rs. in 000 Period to which the amount relates Forum where dispute is pending
The Gujarat Sales Tax Act 1969 Sales tax (including interest and penalty) 1039 1999-00 High Court of Gujarat
The Gujarat Sales Tax Act 1969 Sales tax (including interest and penalty) 5247 2001-02 to 2003-04 Joint Commissioner Surat
CST Act 1956 Sales tax (including interest and penalty) 381* 2003-04 Gujarat VAT Tribunal Ahmedabad

* Out of the above Rs. 50000/- has been paid under protest by the Company towardsdues.

(viii) According to the information and explanations given to us the Company has notdefaulted in repayment of loans or borrowings to financial institution bank governmentor dues to debenture holder.

(ix) The Company has neither raised money by way of public issue offer nor has obtainedany term loans. Therefore paragraph 3(ix) of the Order is not applicable to the Company.

(x) During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations 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 instance by theManagement.

(xi) According to the information and explanations given to us managerial remunerationhas been paid l provided in accordance with the requisite approvals mandated by theprovisions of Section 197 read with Schedule V to the Act.

(xii) In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company. Therefore paragraph 3(xii) of the Order is not applicableto the Company.

(xiii) According to the information and explanations given to us and based on ourexamination of the records of the Company transactions entered into by the Company withthe related parties are in compliance with Sections 177 and 188 of the Act whereapplicable. The details of such related party transactions have been disclosed in the INDAS financial statements as required under IND AS 24 Related Party Disclosures specifiedunder Section 133 of the Act.

(xiv) The Company has not made any preferential allotment or private placement ofshares or fully or partly convertible debentures during the year under review. Thereforeparagraph 3(xiv) of the Order is not applicable to the Company.

(xv) According to the information and explanations given to us the Company has notentered into any non-cash transactions with directors or persons connected with him duringthe year.

(xvi) According to the information and explanation given to us the Company is notrequired to be registered under Section 45-IA of the Reserve Bank of India Act 1934.

For Haribhakti & Co. LLP
Chartered Accountants
Firm Registration Number 103523W / W-100048 B L Shah
Mumbai Partner
April 21 2017 Membership Number 122071

Annexure - 2 to Independent Auditors' Report

Referred to in paragraph 2 (f) under ‘Report on Other Legal and RegulatoryRequirements' in the Independent Auditors' Report of even date to the members of Amal Ltdon the IND AS financial statements for the year ended March 31 2017

Report on the Internal Financial Controls over Financial Reporting under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013 (‘Act')

We have audited the Internal Financial Controls over financial reporting of Amal Ltd(‘the Company') as of March 31 2017 in conjunction with our audit of the IND ASfinancial statements of the Company for the year ended on that date.

Management's responsibility for Internal Financial Controls

The Company's Management is responsible for establishing and maintaining InternalFinancial Controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls Over Financial Reportingissued by the Institute of Chartered Accountants of India ("ICAI"). Theseresponsibilities include the design implementation and maintenance of adequate InternalFinancial Controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to company's policies the safeguarding ofits assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the Companies Act 2013.

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 specified under section143(10) of the Act to the extent applicable to an audit of Internal Financial Controlsboth issued by the ICAI. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate Internal Financial Controls over financial reporting was established andmaintained and if such controls operated 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 included obtaining anunderstanding of Internal Financial Controls over financial reporting assessing the riskthat a material weakness exists and testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditors' judgement including the assessment of the risks of materialmisstatement of the IND AS 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 systemover financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A company's Internal Financial Controls over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of IND AS financial statements for external purposes in accordance withgenerally accepted accounting principles. The company's Internal Financial Controls overfinancial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the company (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of Ind ASfinancial statements in accordance with generally accepted accounting principles and thatreceipts and expenditures of the company are being made only in accordance withauthorisations of Management and Directors of the company and (3) provide reasonableassurance regarding prevention or timely detection of unauthorised acquisition use ordisposition of the company's assets that could have a material effect on the Ind ASfinancial 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 over financialreporting to future periods are subject to the risk that the Internal Financial Controlsover 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 March 31 2017 based on theinternal control over financial 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 ICAI.

For Haribhakti & Co. LLP
Chartered Accountants
Firm Registration Number 103523W / W-100048 B L Shah
Mumbai Partner
April 21 2017 Membership Number 122071