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M K Proteins Ltd.

BSE: 538420 Sector: Industrials
NSE: MKPL ISIN Code: INE964W01013
BSE 14:25 | 26 Dec 11.02 -1.04
(-8.62%)
OPEN

11.02

HIGH

11.02

LOW

11.02

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 11.02
PREVIOUS CLOSE 12.06
VOLUME 1
52-Week high 11.02
52-Week low 0.00
P/E 4.67
Mkt Cap.(Rs cr) 5
Buy Price 11.02
Buy Qty 4999.00
Sell Price 0.00
Sell Qty 0.00
OPEN 11.02
CLOSE 12.06
VOLUME 1
52-Week high 11.02
52-Week low 0.00
P/E 4.67
Mkt Cap.(Rs cr) 5
Buy Price 11.02
Buy Qty 4999.00
Sell Price 0.00
Sell Qty 0.00

M K Proteins Ltd. (MKPL) - Auditors Report

Company auditors report

To

The Members of

M. K. PROTEINS LIMITED

Report on the Financial Statements

We have audited the accompanying financial statements of M. K. PROTEINS LIMITEDAMBALA (‘the Company') which comprise the Balance Sheet as at March 31 2017 andthe Statement of Profit and Loss and the Cash Flow Statement for the year then ended anda summary of the significant accounting 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 these financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.

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 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 of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial 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 Board of Directors as well as evaluating the overallpresentation 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 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:

(a) In the case of the Balance Sheet of the state of affairs of the Company as at 31stMarch 2017;

(b) In the case of the Statement of Profit and Loss of the profit for the year endedon that date;

(c) In the case of the Cash Flow Statement of the cash flows for the year ended onthat date.

Report on Other Legal and Regulatory Requirements

1. 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 Companies Act 2013 we give in the Annexure "A" a statement on the mattersspecified in paragraphs 3 and 4 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 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".

(g) 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 information and according to the explanations given to us:

i) The Company does not have any pending litigations which would impact its financialstatement as of March 31 2017;

ii) The Company did not have any long-term contracts including derivatives contractsfor which there were any material foreseeable losses on long term contracts;

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

iv) The Company has provided requisite disclosures in the financial statements as toholdings as well as dealings in Specified Bank Notes during the period from 8th November2016 to 30th December 2016. Based on audit procedures and relying on the managementrepresentation we report that the disclosures are in accordance with books of accountmaintained by the Company and as produced to us by the Management – Refer Note[29(k)].

For Jayant Bansal & Co.
Chartered Accountants
Firm Registration No. 004694N
JAYANT BANSAL
Place: Ambala Cantt (PARTNER)
Date: 24th August 2017 Membership No.: 086478

ANNEXURE "A" REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING OF "REPORT ONOTHER LEGAL AND REGULATORY REQUIREMENTS" OF INDEPENDENT AUDITORS' REPORT OF EVEN DATEOF M. K. PROTEINS LIMITED FOR THE YEAR ENDED MARCH 31 2017

(i) In respect of the fixed assets of the Company:

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

(b) As explained to us the fixed assets have been physically verified by themanagement during the year in accordance with a regular programme of verification adoptedby the management which in our opinion provides for physical verification of all thefixed assets at reasonable intervals. According to the information and explanations givento us no material discrepancies were noticed on such verification.

(c) According to the information and explanations given to us and the records examinedby us the Company is not having any freehold immovable properties (i.e. land andbuilding) in the name of the Company as at the balance sheet date except land andbuilding which has been taken on lease agreement renewable every year.

(ii) As explained to us that the inventory except goods-in-transit has beenphysically verified during the year by the Management at reasonable intervals and nomaterial discrepancies were noticed on physical verification. In respect of stocks lyingwith third parties (if any) at the year-end written confirmations have been obtained bythe Management.

(iii) According to the information and explanations given to us the Company has notgranted any loans secured or unsecured to companies firms or other parties covered inthe Register maintained under Section 189 of the Companies Act 2013 except short termloan given to M/s Saatvik Green Energy Private Limited in which Director Sh. Parmod Kumarwas interested as director and same has duly been repaid with interest within 90 days.

(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Section 185 and 186 of the Act in respect ofgrant of loans making investments and providing guarantees and securities as applicableexcept short term loan given to M/s Saatvik Green Energy Private Limited in which one ofthe Director Sh. Parmod Kumar was interested as director and same has duly been repaidwith interest within 90 days. The maximum amount involved during the year wasRs.9500000.00 and the year end balance of loans granted to such parties was Nil (Previousyear Nil).

(v) In our opinion and according to the information and explanations given to us theCompany has not accepted deposits from public during the year. Therefore the provisionsof the clause 3 (v) of the Order are not applicable to the Company.

(vi) We have broadly reviewed the cost records maintained by the Company pursuant tothe Rules made by the Central Government under Section 148(1) of the Companies Act 2013in respect of its products and are of the opinion that prima facie the prescribed costrecords have been made and maintained. We have however not made a detailed examinationof the cost records with a view to determine whether they are accurate or complete.

(vii) (a) According to the records of the company and as per information andexplanations given to us the company has generally been regular in depositing undisputedstatutory dues including Provident Fund Employee's State Insurance Fund Income TaxSales Tax Service Tax Duty of Customs Duty of Excise Value added tax Cess and othermaterial statutory dues applicable to it with appropriate authorities.

(b) According to information and explanations given to us no undisputed amountspayable in respect of Provident Fund Employee's State Insurance Fund Income Tax SalesTax Service Tax Duty of Customs Duty of Excise Value added tax Cess and othermaterial statutory dues applicable to it were in arrears as at 31st March2017 for a period of more than six months from the date they become payable.

(c) According to the information and explanation given to us there are no dues ofIncome Tax Sales Tax Value added Tax Service Tax Duty of Custom and Duty of Exciseapplicable to it which have not been deposited on account of any dispute as on31-03-2017.

(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 banks/Non-BankingFinancial Institution. The Company does not have any loans or borrowings from governmentand has not issued any debentures.

(ix) As per the information and explanations given to us the management of the Companywas proposed for public issue of 1462000 Equity shares of face value of Rs.10/- each fullypaid up for cash at a price of Rs.70/- each (Including share premium of Rs.60/- per equityshare) aggregating Rs.1023.40 Lacs pursuant to resolution passed in the Board of Directorsmeeting held on February 15 2017 and approved by Shareholders of the Company by a passingspecial resolution pursuant to Section 62(1)(c) of the Companies Act 2013 at the ExtraOrdinary General Meeting held on February 16 2017 and the same was opened on dated March31 2017 and closed on April 07 2017. However no public money has been received till theend of March 31 2017 by the Company under this issue. In respect of fresh term loanRs.375.88 Lacs taken by the Company from Bank/Non-Banking Financial Institution andapplied during the year were for the purpose for which same were raised.

(x) According to the information and explanations given to us no material fraud by theCompany and no fraud on the Company by its officers or employees has been noticed orreported during year.

(xi) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has paid/provided managerialremuneration in accordance with the requisite approvals mandated by the provisions ofSection 197 read with 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 explanation 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 statement as required by the applicableaccounting standards.

(xiv) According to the information and explanations given to us the Company has notmade any preferential allotment or private placement of shares or fully or partlyconvertible debentures during the year and hence reporting under clause 3 (xiv) of theOrder is not applicable to the Company.

(xv) According to the information and explanations given to us the Company has notentered into non-cash transaction with directors or persons connected with him and hencereporting under clause 3 (xv) of the Order is not applicable to the Company.

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

For Jayant Bansal & Co.
Chartered Accountants
Firm Registration No. 004694N
JAYANT BANSAL
Place: Ambala Cantt (PARTNER)
Date: 24th August 2017 Membership No.: 086478

ANNEXURE "B" TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THEFINANCIAL STATEMENTS OF M. K. PROTEINS LIMITED

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of M. K.Proteins Limited ("the Company") as of March 31 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 the company'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 Companies Act 2013.

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 was established andmaintained and if such controls operated 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 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 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 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 considering nature of business size of operation and organizationalstructure of the entity 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 control stated in the Guidance Note on Audit ofInternal Financial Controls over Financial Reporting issued by the Institute of CharteredAccountants of India.

For Jayant Bansal & Co.
Chartered Accountants
Firm Registration No. 004694N
JAYANT BANSAL
Place: Ambala Cantt (PARTNER)
Date: 24th August 2017 Membership No.: 086478