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Ashiana Ispat Ltd.

BSE: 513401 Sector: Metals & Mining
NSE: N.A. ISIN Code: INE587D01012
BSE LIVE 09:44 | 23 Feb 19.75 0
(0.00%)
OPEN

19.75

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19.75

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19.75

NSE LIVE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 19.75
PREVIOUS CLOSE 19.75
VOLUME 1200
52-Week high 19.75
52-Week low 7.19
P/E 3.77
Mkt Cap.(Rs cr) 8.81
Buy Price 19.75
Buy Qty 3555.00
Sell Price 0.00
Sell Qty 0.00
OPEN 19.75
CLOSE 19.75
VOLUME 1200
52-Week high 19.75
52-Week low 7.19
P/E 3.77
Mkt Cap.(Rs cr) 8.81
Buy Price 19.75
Buy Qty 3555.00
Sell Price 0.00
Sell Qty 0.00

Ashiana Ispat Ltd. (ASHIANAISPAT) - Auditors Report

Company auditors report

TO THE MEMBERS OF

ASHIANA ISPAT LIMITED

Report on the Financial Statements

We have audited the accompanying financial statements of Ashiana Ispat Limited ("theCompany") which comprise the Balance Sheet as at 31st March 2016 the Statement ofProfit and Loss the Cash Flow Statement for the year then ended and a summary of thesignificant 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 Section 134(5) of the Companies Act 2013 ("the Act") with respect to the preparation andpresentation of these financial statements that give a true and fair view of the financialposition financial performance and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified 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 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 that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express an opinion on these financial statements based on ouraudit.

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 there under.

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 Proceduresthose 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 financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid financial statements give the information required by the Actin the manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India of the state of affairs of the Company as at 31March 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 Annexure - I a statement on the matters specified in paragraphs3 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 obtained all the information and explanations which to the best of ourknowledge 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 and the Cash Flow Statementdealt with by this Report are in agreement with the books of account;

(d) In our opinion the aforesaid financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014;

(e) On the basis of the written representations received from the directors as on 31March 2016 taken on record by the Board of Directors none of the directors isdisqualified as on 31 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 - II and

(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 32 to the financial statements.

ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.

iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and

Protection Fund by the Company.

Dated : 30.05.2016 For S.Singhal & Co.
Place: Bhiwadi Chartered Accountants
(Registration No. 001526C)
(R.K.Gupta)
PARTNER
M.No.073846

Annexure I to Independent Auditors' Report (Referred to in Paragraph 1 under theheading of Report on other Legal & Regulatory Requirement in our report of even date)

On the basis of such checks as we considered appropriate and according to theinformation and explanation given to us during the course of our audit we report that

1. a. The company has maintained proper records showing full particulars includingquantitative details and situation of the Fixed Assets.

b. The fixed assets have been physically verified by the management during the year atreasonable intervals which in our opinion is reasonable having regard to the size of thecompany and the nature of the assets. No material discrepancies were noticed on suchverification.

c. According to the information and explanation given to us and on the basis of anexamination of the records of the Company the title deeds of immovable properties areheld in the name of the Company.

2. Physical verification of inventory has been conducted at reasonable intervals by themanagement and discrepancies noticed which were not material in nature have been properlydealt with in the books of accounts physically verified by the management at reasonableintervals during the year.

3. According to the information and explanation given to us the Company has not grantedany loans secured or unsecured to companies firms LLP or other parties covered in theregister maintained under section 189 of the Companies Act 2013.

4. According to the information and explanation given to us the Company has not grantedany loans guarantees and security where in the provisions of section 185 and 186 of theCompanies Act 2013 are applicable.

5. The Company has not accepted deposits from public within the meaning of provisionsof Section 73 to 76 or any other relevant provisions of the Companies Act 2013 and rulesframed there under.

6. We have broadly reviewed the books of accounts maintained by the Company pursuant tothe Rules made by the Central Government for the maintenance of Cost Records under section148 of the Act and are of opinion that prima facie the prescribed accounts and recordshave been made and maintained however we have not made the detailed examination of suchcost records.

7. a. On the basis of our examination of the records of the Company provident fundemployees’ state insurance income tax sales tax service tax value added tax dutyof customs duty of excise cess and other applicable undisputed statutory dues havegenerally been deposited regularly with the appropriate authorities except delays in fewcases and there are no arrears of outstanding statutory dues as at the last day of thefinancial year concerned for a period of more than six months from the date they becamepayable.

b. The disputed statutory dues aggregating to Rs 41.83 Lacs their against Rs 40.81 Lacshas been deposited under protest on account of disputed matters pending before appropriateauthorities as per details given below:

Name of the Statute Nature of the Dues Period to which the amount relates Amount Forum where Dispute is pending
(`.in Lacs)
Income Tax Act Income Tax Matters A.Y. 2013-14 2.26 C I T ( Appeals) Alwar
Central Excise Act & Finance Act Central Excise Duty F.Y. 2001-02 1.02 High Court of Rajasthan Jaipur
Service tax F.Y. 2008-09 38.55 CESTAT- Delhi

8. The Company has not defaulted in repayment of dues to banks or financialinstitutions. The Company has not issued any debentures

9. According to the information and explanation given to us & records examined byus no term loan has been taken during the year. The Company has not raised money by way ofinitial public offer or further public offer (including debt instruments) during the year.

10. According to the information and explanation given to us no fraud by the Companyor on the company by its officers or employees has been noticed or reported during thecourse of our audit.

11. The Company has paid/ provided for managerial remuneration in accordance with therequisite approvals mandated by the provisions of Section 197 read with Schedule V to theCompany Act.

12. The Company is not a Nidhi Company as prescribed under Section 406 of the Act.Accordingly paragraph 3(xii) of the

Order is not applicable.

13. According to the information and explanation given to us transactions with therelated parties are in compliance with Section 177 and 188 of Act wherever applicable andthe details have been disclosed in the Financial Statements as required by the applicableaccounting standards.

14. According to the information and explanation given to us the Company has not madeany preferential allotment or private placement of shares or fully or partly convertibledebentures during the year.

15. According to the information and explanation given to us the Company has notentered into non cash transactions with directors or persons connected with them.Accordingly paragraph 3(xv) of the Order is not applicable.

16. The Company is not required to be registered under Section 45 IA of the ReserveBank of India Act 1934.

Dated : 30.05.2016 For S.Singhal & Co.
Place: Bhiwadi Chartered Accountants
(Registration No. 001526C)
(R.K.Gupta)
PARTNER
M.No.073846

Annexure- II to Independent Auditors' Report

(Referred to in 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 AshianaIspat Limited ("the Company") as at 31st March 2016 in conjunction with ouraudit of the Financial 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").

These responsibilities include the design implementation and maintenance of adequateinternal financial controls that were operating effectively for ensuring the orderly andefficient conduct of its business including adherence to company's policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable 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 deemedto be prescribed 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 over financial 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 systemover financial reporting.

Meaning of Internal Financial Controls over Financial Reporting:

A Company's internal financial control over financial reporting is a process designedto provide 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:

(a) Pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the company;

(b) 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

(c) 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 over financialreporting 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 financial control over financial reporting criteria established by the companyconsidering the essential component of internal control as stated in the Guidance Note onAudit of Internal Financial Controls Over Financial Reporting issued by the Institute ofChartered Accountants of India.

Dated : 30.05.2016 For S.Singhal & Co.
Place: Bhiwadi Chartered Accountants
(Registration No. 001526C)
(R.K.Gupta)
PARTNER
M.No.073846