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Gorani Industries Ltd.

BSE: 531608 Sector: Consumer
NSE: N.A. ISIN Code: INE792J01015
BSE 12:19 | 19 Jan 23.10 0
(0.00%)
OPEN

23.10

HIGH

23.10

LOW

23.10

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 23.10
PREVIOUS CLOSE 23.10
VOLUME 6001
52-Week high 23.10
52-Week low 8.84
P/E 14.90
Mkt Cap.(Rs cr) 13
Buy Price 23.10
Buy Qty 800.00
Sell Price 0.00
Sell Qty 0.00
OPEN 23.10
CLOSE 23.10
VOLUME 6001
52-Week high 23.10
52-Week low 8.84
P/E 14.90
Mkt Cap.(Rs cr) 13
Buy Price 23.10
Buy Qty 800.00
Sell Price 0.00
Sell Qty 0.00

Gorani Industries Ltd. (GORANIINDS) - Auditors Report

Company auditors report

To the Members of

Gorani Industries Limited

Report on the Standalone Financial Statements

We have audited the accompanying standalone financial statements of Gorani IndustriesLimited ("the Company") which comprise the Balance Sheet as at March 31 2017the Statement of Profit and Loss and Cash Flow Statement for the year then ended and asummary of significant accounting policies and other explanatory information.

Management’s Responsibility for the Standalone 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 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. This responsibility alsoincludes maintenance of adequate accounting records in accordance with the provisions ofthe Act for safeguarding the assets of the Company and for preventing and detecting fraudsand other irregularities; selection and application of appropriate Accounting Policies;making judgments and estimates that are reasonable and prudent; and design implementationand maintenance of adequate internal financial controls that were operating effectivelyfor ensuring 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.

Auditors’ 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 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 Sec 143(10) of the Act. Thosestandards require that we comply with ethical requirements and plan and perform the auditto obtain reasonable assurance about whether the financial statements are free frommaterial misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the financial statements. The procedures selected depend on theauditors’ 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 accounting policies used and the reasonableness of theaccounting estimates made by the company’s Directors as well as evaluating theoverall presentation of 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 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 2017 and its Profit its cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditors Report) Order 2016 ("the Order")issued by the Central Government of India in terms of Sub-section (11) of Section 143 ofthe Act we enclosed in the annexure A a statement on the matters specified in paragraphs3 and 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 informations 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 the Statement of Profit and Loss and Cash Flow Statement dealtwith by 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 section 133 of the Act.

e. On the basis of the written representations received from the directors as on March31 2017 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2017 from being appointed as a director in terms of Section 164(2) of theAct.

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. Our report expresses an unmodified opinion on the adequacyand operating effectiveness of the company’s internal financial controls overfinancial reporting; 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 explanation given to us:

i. There is no pending litigation which impact the financial position of company and tobe included in financial statements;

ii. The Company did not have any long term contracts including derivative contracts forwhich there were any material foreseeable losses; hence no provision was required to bemade; and

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company.

iv. The company has provided requisite disclosures in the standalone financialstatements as regard its holding and dealing in specified bank notes as defined innotification S.O. 3407(E) dated 8th November 2016 of the Ministry of Finance during theperiod from November 8 2016 to December 30 2016. Based on audit procedure performed andthe representations provided to us by the management we report that the disclosures are inaccordance with the books of accounts maintained by the company and as produced to us bythe management.

For: B.D. SHARDA & CO.
Chartered Accountants
Firm Reg. No. 00161C
Place: Indore (B.D. SHARDA)
Date : 30/05/2017 Proprietor
Membership No. 070209

Annexure-A to the Independent

Auditors’ Report

(Referred to in our report of even date)

(i) In respect of the Company’s property plant and equipment

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

(b) As explained to us fixed assets have been physically verified by the managementduring the year in accordance with the phased programme of verification adopted by themanagement which in our opinion provides for physical verification of all the fixedassets at reasonable intervals. According to the information and explanations given to usno material discrepancies were noticed on such verification.

(c) According to the information and explanations given to us the title deeds o f i mm o v a b l e properties as disclosed in Note 10 to the standalone financial statementsare held in the name of the Company.

(ii) In respect of its inventory:

(a) As explained to us the inventories of finished goods semi-finished goods storesspare parts and raw materials were physically verified at regular intervals by theManagement. In case of inventories lying with third parties certificates of stocksholding have been received.

(b) In our opinion and according to the information and explanations given to us theCompany has maintained proper records of its inventories. The discrepancies noticed onphysical verification of stocks as compared to book records were not material and havebeen properly dealt with in the books of account.

(iii) In our opinion and according to information and explanations given to us theCompany has not granted any loans secured or unsecured to companies firms LimitedLiability Partnerships or other parties covered in the register maintained under section189 of the Act. Accordingly paragraph 3(iii) of the Order is not applicable to theCompany.

(iv) In our opinion and according to information and explanations given to us theCompany has not granted any loans or provided any guarantees or security to the partiescovered under Section 185 or 186. Accordingly paragraph 3(iv) of the Order is notapplicable to the Company.

(v) The company has not accepted any deposits from public during the year. Accordinglyparagraph 3(v) of the Order is not applicable to the Company.

(vi) As informed to us the Central Government has not prescribed maintenance of costrecords under subsection (1) of Section 148 of the Act in respect of the activitiescarried on by the Company. Accordingly paragraph 3(vi) of the Order is not applicable tothe Company.

(vii) In respect of statutory dues:

(a) According to the records of the company and information and explanations given tous the Company has generally been regular in depositing undisputed statutory duesincluding Investor Education and Protection Fund Income-tax Tax deducted at sourcesTax collected at source Professional Tax Sales Taxvalue added tax (VAT) Service TaxCustom Duty Excise Duty Cess and other material statutory dues applicable to it withthe appropriateauthorities except Provident Fund Employees State Insurance (ESI) in whichthere is a delay in depositing the dues.

(b) According to the information and explanations given to us there were no undisputedamounts payable in respect of Income-tax Wealth Tax Custom Duty Excise Duty sales taxVAT Cess and other material statutory dues in arrears /were outstanding as at 31 March2017 for a period of more than six months from the date they became payable.

(viii) In our opinion and according to the information and explanations given to usthe Company has not defaulted in the repayment of loans or borrowings to financialinstitution bank Government or dues to debenture holders.

(ix) According to the records of the company the Company has not raised any money byway of initial public offer or further public offer (including debt instrument) during theyear. In our opinion the term loans raised during the year were applied for the purposefor which those are raised.

(x) Based upon the audit procedures performed and according to the information andexplanations given to us no material fraud on the Company by its officers or employeesnor any fraud by the Company has been noticed or reported during the course of our audit.(xi) According to the information and explanations given to us and based on ourexamination of the records the Company has paid/provided for managerial remuneration inaccordance with the requisite approvals mandated by the provisions of section 197 readwith Schedule V to the Act.

(xii) 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.

(xiii) According to the information and explanations given to us and based on ourexaminations of the records of the Company transactions with the related parties are incompliance with sections 177 and 188 of the Act where applicable. The details of suchrelated party transactions have been disclosed in the financial statements as requiredunder applicable Accounting Standard.

(xiv) According to the information and explanations give to us and based on ourexamination of the records the Company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures during the year.

(xv) According to the information and explanations given to us and based on ourexamination of the records the Company has not entered into non-cash transactions withdirectors or persons connected with him. Accordingly paragraph 3(xv) of the Order is notapplicable.

(xvi) The Company is not required to be registered under Section 45-IA of the ReserveBank of India Act 1934. Accordingly the provisions of Clause 3(xvi) of the Order are notapplicable to the Company.

For: B.D. SHARDA & CO.
Chartered Accountants
Firm Reg. No. 00161C
Place: Indore (B.D. SHARDA)
Date : 30/05/2017 Proprietor
Membership No. 070209

Annexure-B to the 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 Section 143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of GoraniIndustries Limited ('the Company') as of March 31 2017 in conjunction with our auditof the standalone 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 controls 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’). Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to company’s policies the safeguardingof its assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the Companies Act 2013 ("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 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 were established andmaintained and if such controls operated effectively in all material respects. Our auditinvolves performing procedures to obtain audit evidence about the adequacy of the internalfinancial controls system over financial reporting and their operating effectiveness. Ouraudit of internal financial controls over financial reporting included obtaining anunderstanding of internal financial controls over financial reporting assessing the riskthat a material weakness exists and testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditor’s judgment including the assessment of the risks of materialmisstatement 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 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 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 31 2017 based on theinternal control over financial reporting criteria established by the company consideringthe essential components of internal controls stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the ICAI.

For: B.D. SHARDA & CO.
Chartered Accountants
Firm Reg. No. 00161C
Place: Indore (B.D. SHARDA)
Proprietor
Date : 30/05/2017 Membership No. 070209