To The Board of Directors of NLC India Limited (Formerly Neyveli Lignite CorporationLimited)
Report on the Comparative indian Accounting Standards (ind AS) Financial Statements
We have audited the accompanying special purpose standalone Ind AS financial statementsof NLC India Limited (Formerly Neyveli Lignite Corporation Limited) (theCompany) which comprise the Balance Sheet as at 31st March 2016 and theOpening Balance Sheet as at 1st April 2015 and the Statement of Profit andLoss (including Other Comprehensive Income) the Cash Flow Statement and the Statement ofChanges in Equity for the year ended 31st March 2016 and a summary of thesignificant accounting policies and other explanatory information (together hereinafterreferred to as Comparative standalone Ind AS Financial Statements).
Management's Responsibility for the Comparative Standalone Ind AS 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 Comparative Standalone Ind AS Financial Statements in accordance with the basis ofaccounting described in Note 2.
This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company andfor preventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the ComparativeStandalone Ind AS Financial Statements.
Our responsibility is to express an opinion on these Comparative Standalone Ind ASFinancial Statements based on our audit.
We conducted our audit of the Comparative Standalone Ind AS Financial Statements inaccordance with the Standards on Auditing issued by the Institute of Chartered Accountantsof India. Those Standards require that we comply with ethical requirements and plan andperform the audit to obtain reasonable assurance about whether the financial statementsare 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 controls 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 but not for the purpose of expressing anopinion on the effectiveness of the Company's internal financial controls. An audit alsoincludes evaluating the appropriateness of the accounting policies used and thereasonableness of the accounting estimates made by the Company's Directors as well asevaluating the overall 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 Comparative Standalone Ind AS FinancialStatements.
In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Comparative Standalone Ind AS Financial Statements for the yearended 31st March 2016 (including opening balance sheet as at 1stApril 2015) are prepared in all material respects in accordance with the basis ofaccounting described in Note 2 to these financial statements.
Basis of Accounting
Without modifying our opinion we draw attention to Note 2 to these ComparativeStandalone Ind AS Financial Statements which describes the basis of accounting. TheComparative Standalone Ind AS Financial Statements are prepared to assist NLC IndiaLimited to meet the requirements of preparation of first set of complete standalone Ind ASfinancial statements. As a result the Comparative Standalone Ind AS Financial Statementsmay not be suitable for another purpose.
Emphasis of Matter
We draw attention to Note 2 to the Comparative Standalone Ind AS Financial Statementswhich describes the basis of accounting and further states that the comparative financialinformation has not been included in these financial statements. Only a complete set offinancial statements together with comparative financial information can provide a fairpresentation of the Company's state of affairs (financial position) profit (financialperformance including other comprehensive income) cash flows and the changes in equity.
Our opinion is not modified in respect of this matter.
NLC India Limited has prepared a separate set of financial statements for the yearended March 312016 and March 312015 in accordance with the Accounting Standardsspecified under section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014 on which we issued a separate auditors' report to the shareholders of NLCIndia Limited dated 26th May 2016 and 29th May 2015 respectively.
Our opinion is not modified in respect of this matter.
|FOR P.B. VIJAYARAGHAVAN & CO. ||FOR CHANDRAN & RAMAN |
|Chartered Accountants ||Chartered Accountants |
|Firm Regn. No. 004721S ||Firm Regn. No 00571S |
|P.B. Srinivasan ||S. Pattabiraman |
|Partner ||Partner |
|M No. 203774 ||M No. 014309 |
|Date: 30.05.2017 || |
|Place: Chennai || |