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Garware Synthetics Ltd.

BSE: 514400 Sector: Industrials
NSE: N.A. ISIN Code: INE340D01016
BSE LIVE 13:15 | 18 Oct 7.06 -0.34
(-4.59%)
OPEN

7.37

HIGH

7.37

LOW

7.06

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 7.37
PREVIOUS CLOSE 7.40
VOLUME 998
52-Week high 10.00
52-Week low 6.01
P/E 10.23
Mkt Cap.(Rs cr) 4
Buy Price 7.06
Buy Qty 900.00
Sell Price 7.37
Sell Qty 102.00
OPEN 7.37
CLOSE 7.40
VOLUME 998
52-Week high 10.00
52-Week low 6.01
P/E 10.23
Mkt Cap.(Rs cr) 4
Buy Price 7.06
Buy Qty 900.00
Sell Price 7.37
Sell Qty 102.00

Garware Synthetics Ltd. (GARWARESYNTH) - Auditors Report

Company auditors report

INDEPENDENT AUDITOR’S REPORT

To the Members of GARWARE SYNTHETICS LTD

Report on the Financial Statements

We have audited the accompanying financial statements of GARWARE SYNTHETICS LTD ("theCompany") which comprise the Balance Sheet as at March 31 2015 the Statement ofProfit and Loss and Cash Flow Statement for the year then ended and a summary ofsignificant accounting policies and other explanatory information.

Management’s Responsibility for the Financial Statements

The management and Board of Directors of the Company are responsible for the mattersstated in Section 134(5) of the Companies Act 2013 (‘the act’) with respect tothe preparation of these financial statements that give a true and fair view of thefinancial position financial performance and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the Accounting Standardsspecified under Section 133 of the Act read with rule 7 of Companies (Accounts) Rules2014. This responsibility includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company andfor preventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; design implementation and maintenance of adequate internal financial controlsthat are operating effectively for ensuring the accuracy and completeness of theaccounting records relevant to the preparation and presentation of the financialstatements that give a true and fair view and are free from material misstatement whetherdue 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 accordancewith the Standards on Auditing specified under Section 143(10) of the Act. Those Standardsrequire that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the financial statements are free from materialmisstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on theauditor’s judgment including the assessment of the risks of material misstatement ofthe financial statements whether due to fraud or error. In making those risk assessmentsthe auditor considers internal financial control relevant to the Company’spreparation of the financial statements that give a true and fair view in order todesign audit procedures that are appropriate in the circumstances but not for the purposeof expressing an opinion on whether the Company has in place an adequate internalfinancial controls system over financial reporting and the operating effectiveness of suchcontrols An audit also includes evaluating the appropriateness of accounting policies usedand the reasonableness of the accounting estimates made by the Company’s managementand Board of Directors as well as evaluating the overall presentation of the financialstatements. We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion.

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 31stMarch 2015 its profit/loss and its cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditor’s Report) Order 2015 ("theOrder") issued by the Central Government of India in terms of sub-section (11) ofsection143 of the Act we give in the Annexure a statement on the matters Specified inparagraphs 3 and 4 of the Order.

As required by section 143(3) of the Act we further report that: a) we have sought andobtained all the information and explanations which to the best of our knowledge andbelief were necessary for the purpose of our audit; b) in our opinion proper books ofaccount as required by law have been kept by the Company so far as appears from ourexamination of those books; c) the Balance Sheet Statement of Profit and Loss and CashFlow Statement dealt with by this Report are in agreement with the books of account; d) inour opinion the aforesaid financial statements comply with the applicable AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014. e) on the basis of written representations received from thedirectors as on March 31 2015 and taken on record by the Board of Directors none of thedirectors is disqualified as on March 31 2015 from being appointed as a director interms of Section 164(2) of the Act. f) In our opinion and to the best of our informationand according to the explanations given to us we report as under with respect to othermatters to be included in the Auditor’s Report in accordance with Rule 11 of theCompanies (Audit and Auditors) Rules 2014; i. The Company has disclosed the impact ofpending litigations as at March 31 2015 on its Financial Position on its FinancialStatements. ii. The Company did not have any long-term contracts including derivativecontracts; as such the question of commenting on any material foreseeable losses thereondoes not arise. iii. There has not been an occasion in case of the Company during the yearunder report to transfer any sums to the Investor Education and Protection Fund. Thequestion of delay in transferring such sums does not arise.

For B.V. Shah and Associates

Chartered Accountants

Firm Registration Number : 109511W

Sd/-

Bharat V. Shah

Proprietor

M. No. : 040210

Place: Mumbai

Date: 30/05/2015

ANNEXURE TO INDEPENDENT AUDITORS’ REPORT

Annexure referred to in paragraph 9 of the Independent Auditors Report of even date tothe members of Garware Synthetics Limited on the Financial Statements as of and for theyear ended March 31 2015.

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

1. In respect of fixed assets

(a) The company has maintained proper records showing full particulars includingquantitative details and situation of fixed Asset.

(b) As explained to us Fixed Assets have been physically verified by the managementat reasonable intervals; no material discrepancies were noticed on such verification.However the fixed assets include land & Building. The title of the same is underdispute and the case is pending with the court of law.

(c) In our opinion and according to the information and explanations given to us nosubstantial fixed asset has been disposed off during the year and therefore does notaffect the going concern assumption.

2. In respect of inventories

(a) As explained to us by the management and as observed by us the inventory of rawmaterial finished goods stores and spares etc. has been physically verified during theyear and specifically at the year-end by the management. In our opinion the frequency ofphysical verification is reasonable having regard to the size and nature of business ofthe company.

(b) In our opinion the procedure for physical verification of inventories followed bythe management is reasonable and adequate in relation to the size of the company and thenature of its business.

(c) On the basis of examination of the records of inventory we are of the opinion thatthe company is maintaining proper records of inventory and no material discrepancy wasnoticed on physical verification of the same.

3. In respect of loans covered under Section 189 of the Companies Act2013.

The company has not granted any loans secured or unsecured to/from companies firms orother parties covered in the register maintained under section 189 of the Act.

4. In respect of internal control system

In our opinion and according to the information and explanations given to us there isadequate internal control system commensurate with the size of the Company and the natureof its business for the purchase of fixed assets and for the sale of services. Furtheron the basis of our examination of the books and records of the Company and according tothe information and explanations given to us no major weakness has not been noticed orreported.

5. The Company has not accepted any deposits from the public covered under Section 73to 76 of the Companies Act 2013.

6. As informed to us the Central Government has not prescribed maintenance of costrecords under sub-section (1) of Section 148 of the Act.

7. In respect of Statutory Dues

(a) According to the information and explanations given to us and based on the recordsof the company examined by us the company is regular in depositing the undisputedstatutory dues including Provident Fund Employees’ State Insurance Income-taxSales-tax Wealth Tax Service Tax Custom Duty Excise Duty and other material statutorydues as applicable with the appropriate authorities in India except Profession Tax forthe year amounting to 166100 & Employer ESIC contribution for the year amounting to322398.

(b) According to the information and explanations given to us and based on the recordsof the company examined by us the particulars of dues of Income Tax Wealth Tax ServiceTax Sales Tax Customs Duty and Excise Duty which have not been deposited on account ofany disputes are as follows

Sr. No. Financial Year Bombay Sales Tax (BST) Central Sales Tax (CST) Forum where Dispute is pending
1 2001 - 02 3480294 770246 Deputy Commissioner of Sales Tax
2 2002 - 03 3316840 1115852 Deputy Commissioner of Sales Tax
3 2003 - 04 6222840 5098890 Deputy Commissioner of Sales Tax
4 2004 - 05 1948300 946532 Deputy Commissioner of Sales Tax
5 2008 - 09 621248 1204432 Deputy Commissioner of Sales Tax

(c) There has not been an occasion in case of the Company during the year under reportto transfer any sums to the Investor Education and Protection Fund. The question ofreporting delay in transferring such sums does not arise.

8. Company’s accumulated losses at the end of the financial year are more thanfifty per cent of its net worth and the company has incurred cash losses in this financialyear but not in preceding financial year.

9. According to the records of the company examined by us and as per the informationand explanations given to us the company has not availed of any loans from any financialinstitution or banks and has not issued debentures.

10. In our opinion and according to the information and explanations given to us theCompany has not given any guarantee for loan taken by others from a bank or financialinstitution during the year.

11. In our opinion and according to the information and explanations given to us thecompany has not raised any term loans during the year.

12. During the course of our examination of the books and records of the companycarried in accordance with the auditing standards generally accepted in India we haveneither come across any instance of fraud on or by the Company noticed or reported duringthe course of our audit nor have we been informed of any such instance by the Management.

For B.V.SHAH & ASSOCIATES

Chartered Accountants

Firm Registration No 109511W

Sd/-

BHARAT V. SHAH

Proprietor

Membership Number 040210

Place : Mumbai

Date : 30/05/2015