Dalmia Industrial Development Ltd.
|BSE: 539900||Sector: Others|
|NSE: N.A.||ISIN Code: INE642P01019|
|BSE LIVE 05:30 | 01 Jan||Stock Is Not Traded.|
|NSE 05:30 | 01 Jan||Stock Is Not Traded.|
|BSE: 539900||Sector: Others|
|NSE: N.A.||ISIN Code: INE642P01019|
|BSE LIVE 05:30 | 01 Jan||Stock Is Not Traded.|
|NSE 05:30 | 01 Jan||Stock Is Not Traded.|
To the Members of M/s DALMIA INDUSTRIAL DEVELOPMENT LIMITED
1. Report on the Financial Statements
We have audited the accompanying standalone financial statements of DALMIAINDUSTRIAL DEVELOPMENT LIMITED ("the Company") which comprises the BalanceSheet as at March 31st 2016 the Statement of Profit and Loss and statement ofCash Flow for the year ended March 31 2016 and a summary of significant accountingpolicies and other explanatory information.
2. Managements Responsibility for the Standalone Financial Statements
Management is responsible for the matters stated in Section 134(5) of the CompaniesAct 2013 (the Act) with respect to the preparation of these standalonefinancial statements that give a true and fair view of the financial position financialperformance of the Company in accordance with the Accounting principles generally acceptedin India including the Accounting Standards specified under section 133 of the Act readwith Rule 7 of the Companies (Accounts) Rules 2014. This responsibility also includesmaintenance of adequate accounting records in accordance with the provisions of the Actfor safeguarding the assets of the Company and for preventing and detecting frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgements 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.
3. Auditors Responsibility
Our responsibility is to express an opinion on these standalone financial statementsbased on our audit. We have taken in to account the provisions of the Act the accountingand auditing standards and matters which are required to be included in the audit reportunder the provisions of the Act and the Rules made there under. We conducted our audit inaccordance with the Standards on Auditing specified under Section 143(10) of the Act.Those Standards require that we comply with ethical requirements and plan and perform theaudit to obtain reasonable assurance about whether the financial statements are free frommaterial misstatement. An audit involves performing procedures to obtain audit evidenceabout the amounts and disclosures in the financial statements. The procedures selecteddepend on the auditors judgment including the assessment of the risks of materialmisstatement of the financial statements whether due to fraud or error. In making thoserisk assessments the auditor considers internal control relevant to the Companyspreparation of the financial statements that give a true and fair view in order to designaudit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of the accounting policies used and the reasonableness ofthe accounting estimates made by the Companys directors as well as evaluating theoverall presentation of the financial statements. We believe that the audit evidence wehave obtained is sufficient and appropriate to provide a basis for our audit opinion onthe standalone financial statements.
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 onthat date.
5. Report on Other Legal and Regulatory Requirements
5.1 As required by the Companies (Auditors Report) Order 2016 ("theOrder") issued by the Central Government of India in terms of sub-section (11) ofsection 143 of the Act we give in the "Annexure A" statement on the mattersspecified in paragraphs 3 and 4 of the Order to the extent applicable.
5.2 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 purpose 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 the 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 312016 and taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2016 from being appointed as a director in terms of section 164 (2) ofthe 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" and g) With respect to the other matters to beincluded in the Auditors Report in accordance with Rule 11 of the Companies (Auditand Auditors) Rules 2014 in our opinion and to the best of our information and accordingto the explanations given 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 derivative contractsfor which there were any material foreseeable losses;
(iii) There were no amounts which were required to be transferred to the InvestorEducation and Protection fund by the company.
"Annexure A" to the Independent Auditors Report
Referred to in paragraph 1 under the heading Report on Other Legal &Regulatory Requirement of report of even date to the standalone financial statementsof the company for the year ended March 31 2016; we report that:
3.1 Clause (i): a. The company has maintained proper records showing fullparticulars including quantitative details and situation of its fixed assets. b. Asexplained to us fixed assets have been physically verified by the management atreasonable intervals; no material discrepancies were noticed on such verification c. Thetitle deeds of immovable properties are held in the name of the company
3.2 Clause (ii):
The physical verification of inventory has been conducted at reasonable intervals bythe management and no material discrepancies were noticed and they have been properlydealt with in the books of account.
3.3 Clause (iii):
The company has not granted any loans secured or unsecured to companies firmsLimited Liability Partnerships or other parties covered in the register maintained undersection 189 of the Companies Act 2013. Accordingly the paragraph 3(iii) of the order isnot applicable to the company and hence not commented upon.
3.4 Clause (iv):
In respect of loans investments guarantees and security the provisions of section185 and 186 of the Companies Act 2013 have been complied with.
3.5 Clause (v):
According to the information and explanation given to us the company has not accepteddeposits from the public during the financial year under audit. Accordingly the paragraph3(v) of the order is not applicable to the company and hence not commented upon.
3.6 Clause (vi):
In our opinion and according to information and explanation given to us the companydoes not manufacturing any goods and as such the provision related to maintenance of costrecords by the company under sub section (1) of section 148 of Companies Act 2013 for anyof its products as prescribed by Central Government are not applicable.
3.7 Clause (vii):
(a) The company is regular in depositing undisputed statutory dues includingprovident fund employees' state insurance income-tax sales-tax service tax duty ofcustoms duty of excise value added tax cess and any other statutory dues to theappropriate authorities. (b) According to the information and explanations given to usthere are no dues of income tax or sales tax or service tax or duty of customs or duty ofexcise or value added tax which have not been deposited on account of any dispute.
3.8 Clause (viii):
According to the records of the company examined by us and as per the information andexplanation given to us the company has not availed of any loans from any financialinstitution or banks and has not issued debentures. Accordingly the paragraph 3(viii) ofthe order is not applicable to the company and hence not commented upon.
3.9 Clause (ix):
In our opinion and according to information and explanations given to us the companyhas not raised money by way of initial public offer or further public offer (includingdebt instruments) and term loans. Accordingly the paragraph 3(ix) of the order is notapplicable to the company and hence not commented upon.
3.10 Clause (x):
No fraud by the company or any fraud on the Company by its officers or employees hasbeen noticed or reported during the year.
3.11 Clause (xi):
Managerial remuneration has been paid or provided during the year in accordance withthe requisite approvals mandated by the provisions of section 197 read with Schedule V tothe Companies Act.
3.12 Clause (xii):
In our opinion and according to information and explanations given to us clause (xii)of para 3 to Companies (Auditor's Report) Order2016 w.r.t. Nidhi Company is notapplicable to company. Accordingly the paragraph 3(xii) of the order is not applicable tothe company and hence not commented upon.
3.13 Clause (xiii):
In our opinion all transactions with the related parties are in compliance withsections 177 and 188 of Companies Act 2013 where applicable and the details have beendisclosed in the Financial Statements etc. as required by the applicable accountingstandards.
3.14 Clause (xiv):
The company has not made any preferential allotment of equity shares during the yearunder review. The company has not made any allotment of fully or partly convertibledebentures during the year under review.
3.15 Clause (xv)
The company has not entered into any non-cash transactions with directors or personsconnected with him. Accordingly the paragraph 3(xv) of the order is not applicable to thecompany and hence not commented upon.
3.16 Clause (xvi):
The company is not required to be registered under section 45-IA of the Reserve Bank ofIndia Act 1934. Accordingly the paragraph 3(xvi) of the order is not applicable to thecompany and hence not commented upon.
"Annexure B" to the Independent 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 DALMIAINDUSTRIAL DEVELOPMENT LIMITED ("the Company") as of March 31 2016 inconjunction with our audit of the standalone financial statements of the Company for theyear ended on that date.
Managements Responsibility for Internal Financial Controls
The Companys 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 companys policies the safeguarding of its assetsthe prevention 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.
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 auditors judgement 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 Companys internal financial controlssystem over 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 authorisations 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.
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 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 (ICAI).