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ICICI Bank Ltd.

BSE: 532174 Sector: Financials
NSE: ICICIBANK ISIN Code: INE090A01021
BSE LIVE 15:53 | 22 Sep 277.10 -7.90
(-2.77%)
OPEN

282.30

HIGH

283.40

LOW

275.30

NSE 15:57 | 22 Sep 277.10 -7.85
(-2.75%)
OPEN

283.60

HIGH

283.95

LOW

275.75

OPEN 282.30
PREVIOUS CLOSE 285.00
VOLUME 1036279
52-Week high 314.50
52-Week low 217.41
P/E 18.49
Mkt Cap.(Rs cr) 177,803
Buy Price 0.00
Buy Qty 0.00
Sell Price 277.10
Sell Qty 633.00
OPEN 282.30
CLOSE 285.00
VOLUME 1036279
52-Week high 314.50
52-Week low 217.41
P/E 18.49
Mkt Cap.(Rs cr) 177,803
Buy Price 0.00
Buy Qty 0.00
Sell Price 277.10
Sell Qty 633.00

ICICI Bank Ltd. (ICICIBANK) - Auditors Report

Company auditors report

To The Members of ICICI Bank Limited

Report on the Standalone Financial Statements

1. We have audited the accompanying standalone financial statements of ICICI BankLimited (the ‘Bank') which comprise the Balance Sheet as at 31 March 2017 theProfit and Loss Account and the Cash Flow Statement for the year then ended a summary ofthe significant accounting policies and other explanatory information in which areincorporated the returns of the Singapore Bahrain Hong Kong Dubai Qatar China SouthAfrica New York and Sri Lanka branches of the Bank audited by the branch auditors.

Management's Responsibility for the Standalone Financial Statements

2. The Bank'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 standalone financial statements that give a true and fair view of the financialposition financial performance and cash flows of the Bank in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under Section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014 provisions of Section 29 of the Banking Regulation Act 1949 and thecirculars guidelines and directions issued by Reserve Bank of India (‘RBI') fromtime to time. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding of the assets of the Bankand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and the design implementation and maintenance of internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditor's Responsibility

3. Our responsibility is to express an opinion on these standalone financial statementsbased on our audit. 4. We have taken into account the provisions of the Act theaccounting and auditing standards and matters which are required to be included in theaudit report under the provisions of the Act and the Rules made thereunder.

5. We conducted our audit of the Bank including its branches in accordance with theStandards on Auditing (the ‘Standards') 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 misstatements.

6. An audit involves performing procedures to obtain audit evidence about the amountsand the 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 control relevant to the Bank's preparation of the financialstatements that give a true and fair view in order to design audit procedures that areappropriate in the circumstances. An audit also includes evaluating the appropriateness ofthe accounting policies used and the reasonableness of the accounting estimates made bythe Bank's Directors as well as evaluating the overall presentation of the financialstatements.

7. We believe that the audit evidence obtained by us and the audit evidence obtained bythe other auditors in terms of their report referred to in the Other Matters paragraphbelow is sufficient and appropriate to provide a basis for our audit opinion on thestandalone financial statements.

Opinion

8. 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 Banking Regulation Act 1949 as well as the relevant requirements of the Act inthe manner so required for banking companies and give a true and fair view in conformitywith the accounting principles generally accepted in India of the state of affairs of theBank as at 31 March 2017 and its profit and its cash flows for the year then ended.

Other Matters

9. We did not audit the financial statements of Singapore Bahrain Hong Kong DubaiQatar China South Africa New York and Sri Lanka branches of the Bank whose financialstatements reflect total assets of Rs.1407430 million as at 31 March 2017 totalrevenues of Rs.65406 million for the year ended 31 March 2017 and net cash outflowsamounting to Rs.58032 million for the year ended 31 March 2017. These financialstatements have been audited by other auditors duly qualified to act as auditors in thecountry of incorporation of the said branches whose reports have been furnished to us byManagement of the Bank and our opinion in so far as it relates to such branches is basedsolely on the reports of the other auditors. Our opinion is not modified in respect ofthis matter.

Report on Other Legal and Regulatory Requirements

10. The Balance Sheet and Profit and Loss Account have been drawn up in accordance withthe provisions of Section 29 of the Banking Regulation Act 1949 read with Section 133 ofthe Act read with the Rule 7 of the Companies (Accounts) Rules 2014.

11. As required by sub section (3) of Section 30 of the Banking Regulation Act 1949we report that:

(a) we have obtained all the information and explanations which to the best of ourknowledge and belief were necessary for the purpose of our audit and have found them tobe satisfactory;

(b) the transactions of the Bank which have come to our notice have been within thepowers of the Bank; and

(c) since the key operations of the Bank are automated with the key applicationsintegrated to the core banking systems the audit is carried out centrally as all thenecessary records and data required for the purposes of our audit are available therein.However during the course of our audit we have visited 100 branches. As stated abovereturns from nine foreign branches were received duly audited by other auditors and werefound adequate for the purposes of our audit.

12. Further as required by Section 143 (3) of the Act we further 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 theBank so far as it appears from our examination of those books and proper returns adequatefor the purposes of our audit have been received from the foreign branches not visited byus;

(c) the reports on the accounts of the foreign branch offices audited by the respectivebranch auditors of the Bank under Section 143 (8) of the Act have been sent to us and havebeen properly dealt with by us in preparing this report;

(d) the Balance Sheet the Profit and Loss Account and the Cash Flow Statement dealtwith by this report are in agreement with the books of account and with the returnsreceived from the foreign branches not visited by us;

(e) in our opinion the aforesaid standalone financial statements comply with theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014 to the extent they are not inconsistent with theaccounting policies prescribed by RBI;

(f) on the basis of the written representations received from the directors as on 31March 2017 taken on record by the Board of Directors none of the directors isdisqualified as on 31 March 2017 from being appointed as a director in terms of Section164 (2) of the Act;

(g) with respect to the adequacy of the internal financial controls over financialreporting of the Bank and the operating effectiveness of such controls refer to ourseparate Report in ‘Annexure A';

(h) 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 Bank has disclosed the impact of pending litigations on its financial positionin its financial statements - Refer Note 41 to the financial statements;

(ii) the Bank has made provision as required under the applicable law or accountingstandards for material foreseeable losses if any on long-term contracts includingderivative contracts - Refer Note 41 to the financial statements;

(iii) there has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Bank; and

(iv) the disclosure required on holdings as well as dealings in Specified Bank Notesduring the period from 8 November 2016 to 30 December 2016 as envisaged in notificationG.S.R. 308(E) dated 30 March 2017 issued by the Ministry of Corporate Affairs is notapplicable to the Bank. Refer Note 56 to the financial statements.

For B S R & Co. LLP
Chartered Accountants
Firm's Registration No.: 101248W/W-100022
Venkataramanan Vishwanath
Mumbai Partner
3 May 2017 Membership No.: 113156

ANNEXURE A to the Independent Auditors' Report of even date on the StandaloneFinancial Statements of ICICI Bank Limited

Report on the Internal Financial Controls under clause (i) of sub-section 3 of Section143 of the Companies Act 2013

1. We have audited the internal financial controls over financial reporting of ICICIBank Limited (the ‘Bank') as at 31 March 2017 in conjunction with our audit of thestandalone financial statements of the Bank for the year ended on that date.

Management's Responsibility for Internal Financial Controls

2. The Bank's Board of Directors is responsible for establishing and maintaininginternal financial controls based on the internal control over financial reportingcriteria established by the Bank considering the essential components of internal controlstated in the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting (the ‘Guidance Note') issued by the Institute of Chartered Accountants ofIndia (the ‘ICAI'). These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business including adherence to Bank'spolicies the safeguarding of its assets the prevention and detection of frauds anderrors the accuracy and completeness of the accounting records and timely preparation ofreliable financial information as required under the Companies Act 2013 (the‘Act').

Auditor's Responsibility

3. Our responsibility is to express an opinion on the Bank's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note and the Standards on Auditing (the ‘Standards') issued by theICAI and deemed to be prescribed under Section 143(10) of the Act to the extentapplicable to an audit of internal financial controls both issued by the ICAI. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols operated effectively in all material respects.

4. Our audit involves performing procedures to obtain audit evidence about the adequacyof the 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 judgement including the assessment of the risks ofmaterial misstatement of the financial statements whether due to fraud or error.

5. We believe that the audit evidence we have obtained and the audit evidence obtainedby the other auditors in terms of their reports referred to in the Other Matters paragraphbelow is sufficient and appropriate to provide a basis for our audit opinion on theBank's internal financial controls system over financial reporting.

Meaning of Internal Financial Controls over Financial Reporting

6. A bank'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 bank'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 bank; (2) provide reasonable assurance that transactionsare recorded as necessary to permit preparation of financial statements in accordance withgenerally accepted accounting principles and that receipts and expenditures of the bankare being made only in accordance with authorizations of management and directors of thebank; and (3) provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the bank's assets that could have amaterial effect on the financial statements.

Inherent Limitations of Internal Financial Controls over Financial Reporting

7. 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

8. In our opinion the Bank 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 2017 based on theinternal control over financial reporting criteria established by the Bank considering theessential components of internal control stated in the Guidance Note issued by the ICAI.

Other Matters

9. Our aforesaid report under Section 143(3)(i) of the Act on the adequacy andoperating effectiveness of the internal financial controls over financial reportinginsofar as it relates to overseas branches is based on the corresponding reports of thebranch auditors. Our opinion is not modified in respect of this matter.

For B S R & Co. LLP
Chartered Accountants
Firm's Registration No.: 101248W/W-100022
Venkataramanan Vishwanath
Mumbai Partner
3 May 2017 Membership No.: 113156