R T Exports Ltd.
|BSE: 512565||Sector: Agri and agri inputs|
|NSE: N.A.||ISIN Code: INE581D01015|
|BSE 15:15 | 29 Dec||R T Exports Ltd|
|NSE 05:30 | 01 Jan||R T Exports Ltd|
|BSE: 512565||Sector: Agri and agri inputs|
|NSE: N.A.||ISIN Code: INE581D01015|
|BSE 15:15 | 29 Dec||R T Exports Ltd|
|NSE 05:30 | 01 Jan||R T Exports Ltd|
INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF R.T.Exports Limited
Report on the Financial Statements
We have auditedtheaccompanyingfinancialstatements of R.T.Exports Limited ("theCompany") which comprises of Balance Sheet as at 31st March 2017 the Statement ofProfit and Loss the Cash Flow Statement for the year then ended and a summary of thesignificant 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 (hereinafter referred to as "the Act") withrespect to the preparation and presentation of these financial statements that give a trueand fair view of the financial position financial performance and cash flows of theCompany in accordance with the accounting principles generally accepted in Indiaincluding the Accounting Standards specified under Section 133 of the Act read with Rule7 of the Companies (Accounts) Rules 2014. This responsibility also includes maintenanceof adequate accounting records in accordance with the provisions of the Act forsafeguarding of the assets of the Company and for preventing and detecting frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance that ofadequateinternalfinancial 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.
Our responsibility is to express an opinion on these financial statements based on ouraudit. While conducting the audit we have taken into account the provisions of the Actthe accounting and auditing standards and matters which are required to be included in theaudit report under the provisions of the Act and the Rules made there under.
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 obtained by us is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
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 their profit and their cash flows for the year ended on that 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 Act we give in the Annexure A' a statement on the matters specified inparagraphs 3 and 4 of the Order to the extent applicable.
2. As required by Section 143(3) of the Act we report to the extent applicable 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 of the aforesaidfinancial statements.
(b) In our opinion proper books of account as required by law relating to preparationof the aforesaid financial statements have been kept so far as it appears from ourexamination 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 maintained.
(d) In our opinion the aforesaid financial statements comply with the AccountingStandards 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 of theCompany as on 31st March 2017 taken on record by the Board of Directors of the Companynone of the directors is disqualified as on 31st March 2017 from being appointed as adirector in terms of Section 164 (2) of the Act.
(f) With respect to the adequacy of the Internal Financial Controls over financialreporting of the Company and the operating effectiveness of such controls referred to ourseparate report in Annexure B'; and
(g) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditor's) Rules 2014 in our opinionand to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financialposition in its financial statements. Please refer to notes nos. 3136 and 37 to thefinancial accounts.
ii. The Company did not have any material foreseeable losses on long-term contractsincluding derivative contracts.
iii. There has been no delay in transferring amounts required to be transferred toInvestor Education and Protection Fund by the company.
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 8 November2016 to 30 December 2016. Based on audit procedures and relying on the managementrepresentation we report that the disclosures are
in accordance with books of account maintained by the Company and as produced before usby the Management Refer Notes No. 38 to the financial statements.
Annexure A to the Auditors' Report
The Annexure referred to in Independent Auditor's Report to the members of R.T.ExportsLimited ("the Company") on the financial statements for the year ended 31 March2017 we report that:
(i) In respect to Fixed Assets :
a. The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets on the basis of available information.
b. As explained to us the Company has formulated a program of physical verification ofall the fixed assets. The fixed assets have been physically verified by the managementduring the year which in our opinion is reasonable having regard to the size of theCompany and nature of its assets. No material discrepancies were noticed on such physicalverification.
c. According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the title deeds of immovable properties areheld in the name of the company.
(ii) In respect of Inventories :
a. The Company has maintained proper records showing full particulars includingquantitative details and situation of Inventories on the basis of available information.
b. As explained to us the Company has formulated a program of physical verification ofall the Inventories. The Inventories have been physically verified by the managementduring the year which in our opinion is reasonable having regard to the size of theCompany. No material discrepancies were noticed on such physical verification.
(iii) The Company has not granted any loans secured or unsecured to any companiesfirms limited liability partnership or any such parties covered in the register maintainedunder section 189 of the Companies Act 2013 (the Act') and thus clause 3(iii) isnot applicable.
(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of the section 185 and 186 of the Act withrespect to the loans and investments made. The Company has not given any guarantees andsecurities to any parties.
(v) As represented the Company has not accepted any deposits from the public withinthe meaning of Sections 73 to 76 of Companies Act 2013 and the rules framed there under.
(vi) Reporting under clause 3(vi) of the order is not applicable as the Company'sbusiness activities/products are not covered by the Companies (Cost records and audit)Rule 2014 as prescribed under Section 148 of the Companies Act 2013.
(vii) In respect to statutory dues : a) According to the information and explanationgiven to us and records of the Company examined by us in our opinion the Company isirregular in depositing undisputed statutory dues like Income tax Service tax VAT andProfessional tax. The Company is not required to deposit statutory dues in the form ofprovident fund investor education and protection fund employees state insurance customduty excise duty cess and such other material statutory dues as applicable with theappropriate authorities. The Statutory dues in arrears as at 31st March 2017 for a periodof more than six months from the date they become payable and outstanding as on theBalance Sheet date are listed hereunder:-
b) According to the information and explanations given to us and the records of theCompany examined by us there are no dues of wealth tax service tax customs duty andcess as at 31st March 2017 which has not been deposited on account of dispute.
(viii) According to the information and explanations given to us and based on ourverification of accounts the company has not taken any loans from Debenture Holders orGovernment. However Company has taken loan from bank and has regularly paid the dues.
(ix) The Company did not raise any money by way of initial public offer or furtherpublic offer (including debt instruments) and term loans during the year. Accordinglyparagraph 3(ix) of the Order is not applicable.
(x) Based upon the audit procedures performed and information and explanation given bythe management we report that we have not come across any instances of fraud by theCompany and no material fraud on the company by its officers /employees has been noticedor reported during the year nor have we been informed of such case by the management.
(xi) According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has neither paid nor provided formanagerial remuneration during the year. Accordingly paragraph 3 (xi) of the Order is notapplicable.
(xii) The Company is not a Chit Fund Company/or Nidhi/ Mutual benefit fund/Society andhence reporting under clause XII of the order is not applicable.
(xiii) According to information and explanation given to us and based on ourverification of accounts all transactions with related parties are in compliance withsections 177 and 188 of Companies Act 2013 where applicable and the details have beendisclosed in the Financial Statements as required by applicable accounting standards.
(xiv) The Company has not made any preferential allotment or private placement ofshares or partly convertible debentures during the year and hence para (xiv) is notapplicable.
(xv) The Company has not entered into any non-cash transactions with any of itsdirectors and hence para (xv) of the
Order is not applicable.
(xvi) The Company is not required to be registered under section 45IA of the ReserveBank of India Act 1934.
Annexure B to the Auditor's Report
Report on the Internal Financial Controls of Financial Statements under Clause (i) ofSub-section 3 of the Section 143 of the Companies Act 2013 ("the Act")
We have audited the internal financial controls over financial reporting of R.T.ExportsLimited ("the company") as of 31 March 2017 in conjunction with our audit of thefinancial 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 establishment and maintaining internalfinancial controls based in the internal control over financial reporting criteriaestablishment by the Company considering the essential components of internal controlstated in the Guidance Note on audit of Internal Financial Controls over FinancialReporting issued by the Institute of Chartered Accountants of India (ICAI'). Theseresponsibility includes the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to company's policies the safeguarding ofits assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the Companies Act 2013.
Our responsibility is to express an opinion on theCompany'sinternalfinancialcontrolsover financialreporting based on our audit. We conducted our audit in accordance with theGuidance Note on Audit of Internal Financial Controls over Financial Reporting (the"Guidance Note") and the Standards on Auditing issued by ICAL and deemed to beprescribed under section
143(10) of the Companies Act 2013 to the extentapplicableto financial controls bothapplicable to an auditofinternal audit of Internal Financial Controls and both issued bythe Institute of Chartered Accountants of India. Those Standards and the Guidance Noterequire that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether adequate internal financial controls over financialreporting was establishment and maintained and if such controls operated effectively inall 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 financialcontrols 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 procedureselected depends 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 systemsover 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 the preparation of financial statements for externalpurposes in accordance regardingthereliabilityoffinancial with generally acceptedaccounting principles. A company's internal financial control over financial reportingincludes those policies and procedures that (1) pertain to the maintenance of recordsthat 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 controls over financial reportingincluding the possibility of collusion or improper management override of controlsmaterial misstatement due to error or fraud may occur and not be detected. Alsoprojections of any evaluation of the internal financialcontrols over financialreporting tofuture periods are subject to the risk that the internal control over financial reportingmay become inadequate because of changes in conditions or that the degree of compliancewith the policies or procedures may deteriorate.
In our opinion 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 31 March 2016 based on theinternal control over reporting criteria established by the Company 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.