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Ashok Alco-Chem Ltd.

BSE: 524594 Sector: Industrials
NSE: ASHOKALCO ISIN Code: INE994D01010
BSE LIVE 15:09 | 28 Apr 96.75 -1.10
(-1.12%)
OPEN

99.00

HIGH

99.00

LOW

96.65

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 99.00
PREVIOUS CLOSE 97.85
VOLUME 1660
52-Week high 206.00
52-Week low 86.65
P/E 14.44
Mkt Cap.(Rs cr) 44.50
Buy Price 96.75
Buy Qty 100.00
Sell Price 97.45
Sell Qty 200.00
OPEN 99.00
CLOSE 97.85
VOLUME 1660
52-Week high 206.00
52-Week low 86.65
P/E 14.44
Mkt Cap.(Rs cr) 44.50
Buy Price 96.75
Buy Qty 100.00
Sell Price 97.45
Sell Qty 200.00

Ashok Alco-Chem Ltd. (ASHOKALCO) - Auditors Report

Company auditors report

To

The Members of

Ashok Alco-Chem Limited

Mumbai

Report on the Standalone Financial Statements

We have audited the accompanying standalone financial statements of Ashok Alco - ChemLimited ("the company") which comprise the Balance sheet as at 31st March2016 the statement of Profit and Loss and the Cash Flow Statement for the year thenended and a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Standalone Financial Statements

The Company's Board of Directors are 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 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 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

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 31 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 statement on the matters specified in the paragraph 3and 4 of the Order.

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 ouropinion proper books of account as required by law have been kept by the Company so far asit appears from our examination of those books; (c) The Balance Sheet the Statement ofProfit and Loss and the Cash Flow Statement dealt with by this Report are in agreementwith the books of account; (d) In our opinion the aforesaid standalone financialstatements comply with the Accounting Standards specified under Section 133 of the Actread with Rule 7 of the Companies (Accounts) Rules 2014; (e) On the basis of the writtenrepresentations received from the Directors as on 31 March 2016 taken on record by theBoard of Directors none of the Directors is disqualified as on 31 March 2016 from beingappointed as a Director in terms of Section 164 (2) of the Act; and (f) With respect toadequacy of the internal financial controls over financial reporting of the company andthe operating effectiveness of such controls refer to our separate report in"Annexure B" and (g) With respect to the other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules2014 in our opinion and to the best of our information and according to the explanationsgiven to us:

i. The Company does not have any pending litigations which would impact its financialposition. ii. The Company did not have any long term contracts including derivativecontracts for which there are any material foreseeable losses; iii. There were no amountswhich were required to be transferred to Investor Education and Protection Fund.

For R.A.Kuvadia & Co.
Chartered Accountants
FRN: 105487W
sd/-
R.A.Kuvadia
Place: Mumbai (Proprietor)
Date: 20.05.2016 M.No. 040087

"Annexure A" to the Auditors’ Report

ASHOK ALCO-CHEM LIMITED

(Referred to in Paragraph 1 under 'Report on other Legal and Regulatory Requirements'section of our report of even date)

1. (a) The Company is in the process of updating the records showing particularsincluding quantitative details and situation of fixed assets;

(b) The fixed assets have been physically verified by the management at the year end& we are informed that no major discrepancies were noticed on such verification;

(c) In our opinion and according to information and explanation given to us and on thebasis of an examination of the records of the Company the title deeds of immovableproperties being leasehold are held in the name of the company.

2. As explained to us the inventories were physically verified at the end of eachquarter by the management and no material discrepancies were noticed on physicalverification.

3. The company has not granted unsecured loan to companies firms limited liabilitypartnerships or other parties covered in the register maintained under Section189 of theCompanies Act 2013.

4. In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Sections 185 and 186 of the Companies Act2013 in respect of grant of loans making investments and providing guarantees andsecurities as applicable.

5. According to the information and explanations given to us the Company has notaccepted any deposit from the public during the year and does not have any unclaimeddeposit as on March 312016 and therefore the provisions of clause 3(v) of the order arenot applicable to the Company.

6. We have broadly reviewed the cost records maintained by the Company pursuant to theCompanies (Cost Accounting Records) Rules 2011 prescribed by the Central Government underSection 148 of the Companies Act 2013 and are of the opinion that prima facie theprescribed cost records have been maintained. We have however not made a detailedexamination of the cost records with a view to determine whether they are accurate orcomplete.

7. (a) According to the information and explanations given to us and the records of theCompany examined by us in our opinion the Company is generally regular in depositingundisputed statutory dues in respect of sales tax including value added tax service taxprovident fund employees' state insurance income tax duty of custom duty of excisecess and other material statutory dues as applicable with the appropriate authorities.

According to the information and explanations given to us no undisputed amountspayable in respect of provident fund employees' state insurance income tax sales taxvalue added tax service tax duty of customs duty of excise cess and other materialstatutory dues were in arrears as on 31 March 2016 for a period of more than six monthsfrom the date they became payable.

(b) The particulars of dues of income tax sales tax including value added tax atMarch 31 2016 which has not been deposited on account of dispute are as follows:

Name of the Statute Nature of Dues Amount Rs in lacs Financial Year /s to which the amount relates Forum where dispute is pending
Sales Tax Assessment dues 199.21 1993-1994 To 2004-2005 Commissioner of Sales Tax
Income Tax Act Demand Notice 226.50 2010-2011 Appeal Filed U/S 246 of the IT Act 1961
Income Tax Act Demand Notice 45.08 2012-2013 Rectification U/s 154 of the I.T Act. Dy.CIT Mumbai

8. In our opinion and according to the information and explanations given to us theCompany has not defaulted in the repayment of loans or borrowings to financialinstitutions banks and government and dues to debenture holders as at the balance sheetdate.

9. In our opinion and according to the information and explanations given to us on anoverall basis there were no money raised by way Initial Public Offer (IPO) and FurtherPublic Offer (FPO) (including Debt Instruments). Term loan raised during the year havebeen applied by the Company for the purposes for which they were raised with appropriateapprovals.

10. To the best of our knowledge and according to the information and explanationsgiven to us no fraud by the Company and no fraud on the Company by its officers oremployees has been noticed or reported during the year.

11. In our opinion and according to the information and explanations given to us theCompany has paid / provided managerial remuneration in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct 2013.

12. In our opinion and according to the information and explanations given to us theCompany is not a nidhi company. Accordingly paragraph 3(xii) of the Order is notapplicable.

13. According to the information and explanation given to us the Company has enteredinto transaction with related parties in compliance with the provisions of Sections 177and 188 of the Act. The details of such related party transactions have been disclosed inthe financial statements as required by the applicable accounting standards.

14. During the year the Company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures and hence reporting underclause (xiv) of CARO 2016 is not applicable to the Company.

15. In our opinion and according to the information and explanations given to usduring the year the Company has not entered into any non-cash transactions with itsdirectors or persons connected with him and hence provisions of section 192 of theCompanies Act 2013 are not applicable.

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

For R.A.Kuvadia & Co.
Chartered Accountants
FRNO.: 105487W
sd/-
(R.A. Kuvadia )
Place: Mumbai Proprietor
Date: 20.05.2016 M. No. 040087

"Annexure B" to the Auditors' Report

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 ASHOKALCO-CHEM LIMITED ("the Company") as of 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 responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to company's policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired 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 issued by ICAI and deemedto be prescribed under section 143(10) of the Companies Act 2013 to the extentapplicable to an audit of internal financial controls both applicable to an audit ofInternal Financial Controls and both issued by the Institute of Chartered Accountants ofIndia. Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetheradequate 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 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 (1) pertain to the maintenance ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the company are being made only in accordance with authorization's ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised acquisition use or disposition of thecompany's assets that could have a material 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 31 March 2016 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 Institute of CharteredAccountants of India.

For R.A.Kuvadia & Co.
Chartered Accountants
FRNO.: 105487W
sd/-
(R.A. Kuvadia )
Place: Mumbai Proprietor
Date: 20.05.2016 M. No. 040087