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IndusInd Bank Ltd.

BSE: 532187 Sector: Financials
NSE: INDUSINDBK ISIN Code: INE095A01012
BSE LIVE 15:40 | 23 Feb 1339.70 12.15
(0.92%)
OPEN

1323.50

HIGH

1350.00

LOW

1323.50

NSE LIVE 15:53 | 23 Feb 1340.75 14.20
(1.07%)
OPEN

1332.40

HIGH

1348.00

LOW

1329.05

OPEN 1323.50
PREVIOUS CLOSE 1327.55
VOLUME 37404
52-Week high 1364.30
52-Week low 802.55
P/E 29.28
Mkt Cap.(Rs cr) 80122.10
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 1323.50
CLOSE 1327.55
VOLUME 37404
52-Week high 1364.30
52-Week low 802.55
P/E 29.28
Mkt Cap.(Rs cr) 80122.10
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

IndusInd Bank Ltd. (INDUSINDBK) - Auditors Report

Company auditors report

To the Members of IndusInd Bank Limited Report on the Standalone Financial Statements

1. We have audited the accompanying standalone financial statements of IndusInd BankLimited (‘‘the Bank’’) which comprise the Balance Sheet as atMarch 31 2016 and the Profit and Loss Account and Cash Flow Statement for the year thenended and a summary of significant accounting policies and other explanatory informationwhich we have signed under reference to this report.

Management’s Responsibility for the Financial Statements

2. The Board of Directors of the Bank are responsible for the matters stated in Section134(5) of the Companies Act 2013 with respect to preparation of these standalonefinancial statements to give a true and fair view of the financial position financialperformance and cash flows of the Bank in accordance with the accounting principlesgenerally accepted in India including the Accounting Standards specified under Section133 of the Companies Act 2013 ("the Act") read with Rule 7 of the Companies(Accounts) Rules 2014 and provisions of Section 29 of the Banking Regulation Act 1949and circulars and guidelines issued by the Reserve Bank of India (RBI) from time to timeas applicable to banks. This responsibility also includes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding of theassets of the Bank and for preventing and detecting frauds and other irregularities;selection and application of appropriate accounting policies; making judgments andestimates that are reasonable and prudent; and design implementation and maintenance ofadequate internal financial controls that were operating effectively for ensuring theaccuracy and completeness of the accounting records relevant to the preparation andpresentation of the financial statements that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

Auditors’ 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 and the Rules made thereunderincluding the accounting standards provisions of section 29 of the Banking RegulationAct 1949 circulars and guidelines issued by RBI as applicable to banks and matters whichare required to be included in the audit report.

5. We conducted our audit in accordance with the Standards on Auditing specified undersection 143(10) of the Act and other applicable authoritative pronouncements issued by theInstitute of Chartered Accountants of India. Those Standards require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether the financial statements are free from material misstatement.

6. An audit involves performing procedures to obtain audit evidence about the amountsand 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 auditors consider internal control relevant to the Bank’s preparation and fairpresentation of the financial statements in order to design audit procedures that areappropriate in the circumstances. An audit also includes evaluating the appropriateness ofaccounting policies used and the reasonableness of the accounting estimates made by theBoard of Directors of the Bank as well as evaluating the overall presentation of thestandalone financial statements.

7. 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

8. In our opinion and to the best of our information and according to the explanationsgiven to us the accompanying standalone financial statements together with the notesthereon give the information required by provisions of section 29 of the BankingRegulation Act 1949 as well as the Companies Act 2013 and circulars and guidelinesissued by the Reserve Bank of India in the manner so required for banking companies andgive a true and fair view in conformity with the accounting principles generally acceptedin India of the state of affairs of the Bank as at March 31 2016 and its profit and itscash flow for the year then ended.

Other Matter

9. The standalone financial statements of the Bank as at March 31 2015 and for theyear then ended were audited by another firm of chartered accountants who vide theirreport dated April 16 2015 expressed an unmodified opinion on those financialstatements.

Report on Other Legal and Regulatory Requirements

10. In our opinion the Balance Sheet Profit and Loss Account and Cash Flow Statementdealt with by this report have been drawn up in accordance with the provisions of section29 of the Banking Regulation Act1949 read with applicable provisions of section 133 ofthe Act read with Rule 7 of the Companies (Accounts) Rules 2014.

11. As required by section 143(3) of the Act and section 30 of the Banking RegulationAct1949 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) The transactions of the Bank which have come to our notice during the course of ouraudit have been within the powers of the Bank;

c) During the course of our audit we have visited 32 branches to examine the books ofaccounts and other records maintained at the branch and performed other relevant auditprocedures. Since the key operations of the Bank are automated with the key applicationsintegrated to the core banking system the audit is primarily carried out at Mumbai andChennai as all the necessary records and data required for the purposes of our audit areavailable therein;

d) 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;

e) 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;

f) 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;

g) on the basis of written representations received from the directors as on 31 March2016 taken on record by the Board of Directors none of the directors is disqualified ason 31 March 2016 from being appointed as a director in terms of Section 164(2) of the Act;

h) 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".

i) With respect to the other matters to be included in the Auditors’ Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinionand to the best of our knowledge and belief and according to the information andexplanations given to us:

i. The Bank has disclosed the impact if any of pending litigations as at March 312016 on its financial position in its standalone financial statements – ReferSchedule 12 and Note 9.4 in Schedule 18;

ii. The Bank has made provision as at March 31 2016 as required under the applicablelaw or accounting standards for material foreseeable losses on long-term contractsincluding derivative contracts – Refer Note 9.5 in Schedule 18;

iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Bank during the year ended March 312016.

For Price Waterhouse Chartered Accountants LLP
Firm Registration Number:012754N/ N500016
Chartered Accountants
Russell I Parera
Place : Mumbai Partner
Date : April 21 2016 Membership Number 042190

Annexure A to Independent Auditors’ Report

Referred to in paragraph 11 h of the Independent Auditors’ Report of even date tothe members of IndusInd Bank Limited on the standalone financial statements for the yearended March 31 2016

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Act

1. We have audited the internal financial controls over financial reporting of IndusIndBank Limited ("the Bank") as of March 31 2016 in conjunction with our audit ofthe standalone financial statements of the Bank for the year ended on that date.

Management’s Responsibility for Internal Financial Controls

2. The Bank’s management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Bank considering the essential components of internal control stated inthe Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issuedby the Institute of Chartered Accountants of India (ICAI). These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to Bank’s policies the safeguarding of its assets theprevention 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

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 on Audit of Internal Financial Controls Over Financial Reporting(the "Guidance Note") and the Standards on Auditing deemed to be prescribedunder section 143(10) of the Act to the extent applicable to an audit of internalfinancial controls both applicable to an audit of internal financial controls and bothissued by the ICAI. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate internal financial controls over financial reporting was established andmaintained and if such controls 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 is sufficient and appropriate toprovide a basis for our audit opinion on the Bank’s internal financial controlssystem over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

6. A Bank’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 Bank’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 Bank; (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 Bank are being made only in accordance with authorisations ofmanagement and directors of the Bank; 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

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 March 31 2016 based on theinternal control over financial reporting criteria established by the Bank considering theessential components of internal control stated in the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India .

For Price Waterhouse Chartered Accountants LLP
Firm Registration Number:012754N/ N500016
Chartered Accountants
Russell I Parera
Place : Mumbai Partner
Date : April 21 2016 Membership Number 042190