You are here » Home » Companies » Company Overview » Gokul Agro Resources Ltd

Gokul Agro Resources Ltd.

BSE: 539725 Sector: Industrials
NSE: GOKULAGRO ISIN Code: INE314T01025
BSE LIVE 15:40 | 17 Aug 22.20 22.20
(%)
OPEN

23.00

HIGH

23.10

LOW

22.00

NSE 15:31 | 17 Aug 22.55 -0.30
(-1.31%)
OPEN

22.70

HIGH

23.35

LOW

22.50

OPEN 23.00
PREVIOUS CLOSE 0.00
VOLUME 18080
52-Week high 34.40
52-Week low 12.00
P/E 13.62
Mkt Cap.(Rs cr) 293
Buy Price 22.20
Buy Qty 50.00
Sell Price 0.00
Sell Qty 0.00
OPEN 23.00
CLOSE 0.00
VOLUME 18080
52-Week high 34.40
52-Week low 12.00
P/E 13.62
Mkt Cap.(Rs cr) 293
Buy Price 22.20
Buy Qty 50.00
Sell Price 0.00
Sell Qty 0.00

Gokul Agro Resources Ltd. (GOKULAGRO) - Auditors Report

Company auditors report

To

The Members of

Gokul Agro Resources Limited

Ahmedabad

Report on the Standalone Financial Statements

We have audited the accompanying standalone financial statements of Gokul AgroResources Limited ("the Company") (CIN-U15142GJ2014PLC080010) whichcomprise the Balance Sheet as at 31st March 2016 the Statement of Profit andLoss the Cash Flow Statement for the year then ended and a summary of the significantaccounting 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 Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese financial statements that give a true and fair view of the financial positionfinancial performance and cash flows of the Company in accordance with the accountingprinciples generally accepted in India including the Accounting Standards specified underSection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding the assets of the Company and for preventingand detecting frauds and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; anddesign implementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.

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 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 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 Company’s 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 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 31stMarch 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 ("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’ a statement on the mattersspecified in the paragraphs 3 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 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 31stMarch 2016 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2016 from being appointed as a director in termsof Section 164 (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 B".

(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 2(d) 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 were no amounts which were required to be transferred to the Investoreducation and protection fund by the Company.

For Surana Maloo & Co.
Chartered Accountants
Firm Registration No: 112171W
Sunil Maloo
Place : Ahmedabad Partner
Date : June 10th 2016 Membership No: 138564

Annexure-"A" to the Independent Auditors’ Report

The Annexure referred to in paragraph 1 under the heading "Report on other legaland regulatory requirements" of our report of even date

(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

(b) The fixed assets have been physically verified during the year by the Management inaccordance with program of physical verification which in our opinion provides forphysical verification of all fixed assets at a reasonable intervals having regard to sizeof the Company and nature of fixed assets. According to the information and explanationgiven to us no material discrepancies were noticed on such verification.

(c) Based upon the audit procedure performed and according to the records of thecompany title deeds of all the immovable properties transferred to the Company under thescheme of the arrangement as approved by the Hon’ble Gujarat High Court are still inthe name of the Demerged Company ‘Gokul Refoils and Solvent Limited’ and titledeeds are in process of transfer in the name of the Company.

(ii) The Inventories of Raw materials Work in Progress Stock in trade Stores andspares and other consumables have been physically verified by the management. In ouropinion the frequency of verification is reasonable. On the basis of our examination ofthe records of the inventory we are of opinion that the discrepancies noticed onverification between physical stock and book records were not material and have beenproperly dealt with the books of account.

(iii) The company has granted unsecured loans to various companies as covered in theregister maintained under section 189 of the Companies Act 2013.

Sr. No. Name of the parties covered Nature of Transaction
1 Maurigo Pte Ltd Singapore
2 Gokul Refoils & Solvent Limited Loan balance transferred to the company on account of demerger scheme approved by the High Court
3 Gujarat Gokul Power Ltd

(a) The terms and conditions of the grant of such loans are not prejudicial to thecompany’s interest;

(b) The schedule of repayment of principal and payment of interest has been not beenexpressly stipulated as the same is considered to be on mutual demand; (c) As no repaymentschedule is expressly agreed hence no overdue principal and interest.

(iv) In respect of loans investments guarantees and security provisions of section185 and 186 of the Companies Act 2013 have been complied with.

(v) According to the information and explanations given to us the Company has notaccepted deposits from the public within the meaning of Sections 73 to 76 of the Act andthe rules framed there under.

Therefore the reporting requirements of paragraph 3 (v) of the Order is notapplicable to the Company.

(vi) The Company has made and maintained the cost records prescribed by the CentralGovernment under section 148(1) of the Act.

(vii) (a) According to the information and explanations given to us and on the basis ofour examination of the records of the Company amounts deducted/accrued in the books ofaccount in respect of undisputed statutory dues including provident fund employees’state insurance income tax sales tax service tax duty of custom excise duty valueadded tax cess and other material statutory dues as applicable have been regularlydeposited during the year by the Company with the appropriate authorities.

According to the information and explanations given to us no undisputed amountspayable in respect of provident fund income tax sales tax service tax value added taxcess and other material statutory dues were in arrears as at 31st March 2016for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us there are no materialdues of income tax sales tax service tax duty of customs duty of excise value addedtax or cess which have not been deposited with the appropriate authorities on account ofany dispute Except the followings:-

Sr. No. Name of the Statute Nature of Dues Amount (Rs. In Lacs) Period to which the amount relates Forum where dispute is pending
1 Customs Act 1962 Customs Duty / Duty Drawback 1031.69 2015-16 Commissioner of Customs Kandla

Further as per the scheme of the demerger as approved by the High Court the companyshall be responsible for the any disputed statutory liability of the GandhidhamUndertaking if any payable by the demerged company.

(viii) Based on our audit procedure and the information and explanations given by themanagement we are of the opinion that the Company has not defaulted in repayment of loansto banks. The Company has not borrowed or raised any money from debenture holders duringthe year.

(ix) The Company has not raised any moneys by way of initial public offer or furtherpublic offer (including debt instruments). In our opinion and according to the informationand explanation given to us and on examination of the balance sheet of the company theterm loans were applied for the purpose for which the loans were obtained.

(x) Based upon the audit procedures performed for the purpose of reporting the true andfair view of the financial statements and as per the information and explanations given bythe Management we report that no material fraud on or by the Company has been noticed orreported during the year.

(xi) In our opinion the managerial remuneration has been paid or provided inaccordance with the requisite approvals mandated by the provisions of section 197 readwith schedule V of the Act.

(xii) In our opinion the Company is not a chit fund or a nidhi/ mutual benefit fund/society. Therefore the provisions of Clause 3(xii) of the Order are not applicable tothe Company.

(xiii) According to the information and explanation given to us and on the basis of ourexamination of the records of the Company all the transactions with related parties arein compliance with Section 177 and 188 of the Act where applicable and also the detailswhich have been disclosed in the Financial Statements are in accordance with theapplicable Accounting Standard.

(xiv) The Company has not made any preferential allotment or private placement ofshares or fully or partly convertible debentures during the year therefore the reportingrequirement of paragraph 3(xiv) of the Order are not applicable to the Company.

(xv) In our opinion and according to the information and explanations given to us theCompany has not entered into any non-cash transactions with directors or persons connectedwith him. Accordingly reporting requirement of paragraph 3(xv) of the order is notapplicable to the Company.

(xvi) According to the information given and as explained to us the company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934.

For Surana Maloo & Co.
Chartered Accountants
Firm Registration No: 112171W
Sunil Maloo
Place : Ahmedabad Partner
Date : June 10th 2016 Membership No: 138564

Annexure-"B" to the Independent Auditors’ Report

Annexure to the Independent Auditor’s Report of even date on the StandaloneFinancial Statements of Gokul Agro Resources Limited Report on the Internal FinancialControls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013("the Act")

We have audited the internal financial controls over financial reporting of Gokul AgroResources Limited ("the Company") as of March 31st 2016 inconjunction with our audit of the financial statements of the Company for the year endedon 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 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 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 the ICAI anddeemed to be prescribed under section 143(10) of the Act to the extent applicable to anaudit of internal financial controls both applicable to an audit of Internal FinancialControls and both issued by the ICAI. Those Standards and the Guidance Note require thatwe comply with ethical requirements and plan and perform the audit to obtain reasonableassurance about whether adequate internal financial controls over financial reporting wasestablished and maintained and if such controls operated effectively in all materialrespects.

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 controlssystem over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A company’s internal financial control over financial reporting is a processdesigned to provide reasonable assurance regarding the reliability of financial reportingand the preparation of financial statements for external purposes in accordance withgenerally accepted accounting principles. A company’s internal financial control 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 financialstatements in accordance with generally accepted accounting principles and that receiptsand expenditures of the company are being made only in accordance with authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized 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 March 31st 2016based on the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAudit of Internal Financial Controls Over Financial Reporting issued by the Institute ofChartered Accountants of India.

For Surana Maloo & Co.
Chartered Accountants
Firm Registration No: 112171W
Sunil Maloo
Place : Ahmedabad Partner
Date : June 10th 2016 Membership No: 138564