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Longview Tea Company Ltd.

BSE: 526568 Sector: Others
NSE: N.A. ISIN Code: INE696E01019
BSE LIVE 12:07 | 17 Nov 16.40 -0.70
(-4.09%)
OPEN

16.25

HIGH

16.40

LOW

16.25

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 16.25
PREVIOUS CLOSE 17.10
VOLUME 101
52-Week high 26.90
52-Week low 14.42
P/E
Mkt Cap.(Rs cr) 5
Buy Price 16.40
Buy Qty 50.00
Sell Price 17.95
Sell Qty 125.00
OPEN 16.25
CLOSE 17.10
VOLUME 101
52-Week high 26.90
52-Week low 14.42
P/E
Mkt Cap.(Rs cr) 5
Buy Price 16.40
Buy Qty 50.00
Sell Price 17.95
Sell Qty 125.00

Longview Tea Company Ltd. (LONGVIEWTEA) - Auditors Report

Company auditors report

To the Members of Longview Tea Company Limited Report on the Financial Statements

We have audited the accompanying financial statements of Longview Tea Company Limited("the Company") which comprise the Balance Sheet as at March 31 2017 and theStatement of Profit and Loss and Cash Flow Statement for the year then ended asignificant accounting policies and other notes for the year ended on that date.

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. This responsibility also includes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding theassets of the company 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

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 thereunder. 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 theamounts and the disclosures in the financial statements. The procedures selected depend onthe auditors' 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 control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances. An audit also includes evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates made by the Company's Directors as well as evaluating the overall presentationof 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 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 2017 and its Profit 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 2016 ("the Order")issued by the Central Government of India in terms of sub-section (11) of Section 143 ofthe Act we give in "Annexure A" a statement on the matters specified inparagraphs 3 and 4 of the Order to the extent applicable.

Further to our comments in the annexure referred to in the paragraph above as requiredby Section 143(3) of the Act we report that: a) We have sought and obtained all theinformation and explanations which to the best of our knowledge and belief were necessaryfor the purposes of our audit; b) In our opinion proper books of account as required bylaw have been kept by the Company so far as appears from our examination of those books;c) The Balance Sheet the Statement of Profit and Loss and the Cash Flow Statement dealtwith by this Report are in agreement with the books of account; d) In our opinion theBalance Sheet Statement of Profit and loss and Cash Flow Statement comply with theAccounting Standards specified under section 133 of the Act; e) On the basis of thewritten representations received from the directors as on March 31 2017 taken on recordby the Board of Directors none of the directors is disqualified as on March 31 2017from being appointed as a director in terms of section 164 (2) of the Act. f) With respectto the adequacy of the internal financial controls over financial reporting of the Companyand the operating effectiveness of such controls refer to our separate Report in"Annexure B". Our report expresses an unmodified opinion on the adequacy andoperating effectiveness of the Company's internal financial controls over financialreporting. 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.Pending litigations (Other than those already recognised in the accounts) on the financialposition of the Company have been disclosed in the financial statement as required interms of the accounting standards and provisions of the Companies Act 2013; ii. TheCompany does not have any long-term contracts including derivative contracts for whichthere were any material foreseeable losses; iii. There were no amounts which were requiredto be transferred to the Investor Education and Protection Fund by the Company. iv. TheCompany has provided requisite disclosures in the financial statements as to holdings aswell as dealings in Specified Bank Notes (Bank notes of denominations of five hundred andone thousand rupees existing on November 08 2016) (SBN's) during the period from November08 2016 to December 30 2016. Based on audit procedures and relying on the managementrepresentation we report that the disclosure are in accordance with books of accountmaintained by the Company and as produced to us by the management. Refer Note No. 23.5 ofthe financial statements.

For Lodha & Co
Chartered Accountants
Firm's ICAI Registration No.:301051E
H. K. Verma
Place: Kolkata Partner
Date: 30th May 2017 Membership No: 055104

ANNEXURE "A" TO THE AUDITOR'S REPORT OF EVEN DATE :

i) a. The Company has maintained proper records showing full particulars includingquantitative details and situations of fixed assets except in case of furniture andfixture. b. During the year fixed assets have been physically verified by the managementaccording to a regular programme of verification which in our opinion is reasonablehaving regard to the size of the Company and the nature of its assets. As informed nomaterial discrepancies were noticed on such verifications. c. According to the informationand explanations given to us the company does not have any immovable properties.Accordingly provisions of clause 3 (i)(c) of the Order is not applicable to the Companyii) The Company is engaged in trading of tea and ferrous metals. Stock of tea or ferrousmetals is physically verified at the time of sale. The Company does not have any inventoryat the year end. Keeping in view the nature of operations in our opinion the procedurefor physical verification of inventory followed by the management are reasonable andadequate in relation to the size of the Company and nature of its business. The Company ismaintaining proper records of inventory. iii) The Company has not granted any loanssecured or unsecured to companies firms or parties covered in the register maintainedunder Section 189 of the Act. Accordingly provisions of clause 3 (iii) of the Order isnot applicable to the Company. iv) In our opinion and according to the information andexplanations given to us the Company has complied with the provisions of section 185 and186 of the Act with respect to the loans and investments made. v) The Company has notaccepted any deposits from public covered under Sections 73 to 76 or any other relevantprovisions of the Act and rules framed thereunder. Accordingly provisions of clause 3 (v)of the Order is not applicable to the Company. vi) According to the information andexplanation given to us the Central Government has not prescribed the maintenance of costrecords under Section 148(1) of the Companies Act 2013.Accordingly provisions of clause3 (vi) of the Order is not applicable to the Company. vii) a. According to the informationand explanations given to us during the year the Company has generally been regular indepositing with appropriate authorities undisputed statutory dues including ProvidentFund Investor Education Protection fund Employees' State Insurance Income Tax SalesTax Wealth Tax Service tax Custom Duty Excise Duty Value Added Tax Cess and otherstatutory dues as applicable to it except Income Tax amounting to Rs. 756375. b.According to the information and explanations given to us the details of disputed dues ofsales tax income tax customs duty wealth tax excise duty service tax and Cess ifany as at 31st March 2017 are as follows:

Name of the Statute Nature of Dues Amount (In Rs.) Period to which the amount relates Forum where dispute is pending
The Central Excise Act Excise Duty 792688 1999-2000 High Court Calcu a
Sales Tax Act Sales Tax 165658 1977-1978 1978-1979 1979-1980 1980-1981 No details were made available as to the forum where appeal is pending
308096 1995-1996 Assistant Commissioner
1934613 1998-1999 Assistant Commissioner
146090 2000-2001 Tribunal

viii) In our opinion and on the basis of information and explanations given to us bythe management we are of the opinion that the Company has not defaulted in repayment ofdues to financial institutions banks or debenture holders.

ix) In our opinion and according to the information and explanations given to us theCompany did not raise any money by way of initial public offer or further public offer(including debt instruments). Accordingly provisions of clause 3 (ix) of the Order is notapplicable.

x) During the course of our examination of books of account carried out in accordancewith generally accepted auditing practices in India we have neither come across anyincidence of fraud on or by the Company nor have we been informed of any such cases by themanagement.

xi) According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has not paid/provided formanagerial remuneration during the year. Accordingly provisions of clause 3 (xi) of theOrder is not applicable.

xii) In our opinion and according to the information and explanations given to us theCompany is not a nidhi company. Accordingly provisions of clause 3(xii) of the Order isnot applicable.

xiii) According to the information and explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with sections 177 and 188 of the Act where applicable and details of suchtransactions have been disclosed in the financial statements as required by the applicableaccounting standards.

xiv) According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year. Accordingly provisions of clause 3(xiv) of the Order is not applicable.

xv) According to the information and explanations given to us and as represented to usby the management and based on our examination of the records of the Company the Companyhas not entered into non-cash transactions with directors or persons connected with him.Accordingly provisions of clause 3(xv) of the Order is not applicable.

xvi) The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.

For Lodha & Co
Chartered Accountants
Firm's ICAI Registration No.:301051E
H. K. Verma
Place: Kolkata Partner
Date: 30th May 2017 Membership No: 055104

ANNEXURE "B" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph (f) under ‘Report on Other Legal and RegulatoryRequirements' of our report of even date)

Report on the Internal Financial Controls Over Financial Reporting under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of LongviewTea Company Limited ("the Company") as of 31st March 2017 in conjunction withour audit of the 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 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. 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 company's policies the safeguarding of its assets the preventionand detection of frauds and errors the accuracy and completeness of the accountingrecords and the timely preparation of reliable financial information as required underthe Companies Act 2013.

Auditor's 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") issued by the Institute of Chartered Accountants of Indiaand the Standards on Auditing prescribed under Section 143(10) of the Companies Act 2013to the extent applicable to an audit of internal financial controls. Those Standards andthe Guidance Note require that we comply with ethical requirements and plan and performthe audit to obtain reasonable assurance about whether adequate internal financialcontrols over financial reporting was established and maintained and if such controlsoperated effectively in all material respects.

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 judgement 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 controls systemover 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 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

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 to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at 31st March 2017 based on the internal controlover financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting issued by the Institute of Chartered Accountants ofIndia.

For Lodha & Co
Chartered Accountants
Firm's ICAI Registration No.:301051E
H. K. Verma
Place: Kolkata Partner
Date: 30th May 2017 Membership No: 055104