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Safari Industries (India) Ltd.

BSE: 523025 Sector: Consumer
NSE: N.A. ISIN Code: INE429E01023
BSE LIVE 11:04 | 25 Sep 390.15 -10.80
(-2.69%)
OPEN

405.00

HIGH

459.00

LOW

383.00

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 405.00
PREVIOUS CLOSE 400.95
VOLUME 2933
52-Week high 459.00
52-Week low 171.02
P/E 68.33
Mkt Cap.(Rs cr) 810
Buy Price 390.10
Buy Qty 25.00
Sell Price 400.00
Sell Qty 100.00
OPEN 405.00
CLOSE 400.95
VOLUME 2933
52-Week high 459.00
52-Week low 171.02
P/E 68.33
Mkt Cap.(Rs cr) 810
Buy Price 390.10
Buy Qty 25.00
Sell Price 400.00
Sell Qty 100.00

Safari Industries (India) Ltd. (SAFARIINDS) - Auditors Report

Company auditors report

INDEPENDENT AUDITORS' REPORT

To

The Members

SAFARI INDUSTRIES (INDIA) LIMITED.

Report on the Standalone Financial Statements

1. We have audited the accompanying standalone financial statements of SAFARIINDUSTRIES (INDIA) LIMITED ("the Company") which comprise the Balance Sheetas at March 31 2017 the Statement of Profit and Loss and the Cash Flow Statement for theyear then ended and a summary of the significant accounting policies and otherexplanatory information.

Management's Responsibility for the Standalone Financial Statements

2. 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 standalone financial statements that give a true and fair view of the financialposition financial performance and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014 ("the Rules"). This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingthe assets of the Company and for preventing and detecting frauds and otherirregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the financial statements that give a true and fair viewand are free from material misstatement whether due to fraud or error.

Auditor's Responsibility

3. Our responsibility is to express an opinion on these standalone financial statementsbased on our audit.

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 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 standalone financial statements.

Opinion

4. In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at March 31 2017 and its profit and cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

5. 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 purpose 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 Statement of Profit and Loss and Cash Flow Statement dealt withby this Report are in agree- ment with the books of account;

(d) 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.

(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 of the Company in terms of section164 (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 refer to ourseparate Report in 'Annexure A'.

(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. The Company has disclosed the impact of pending litigations as on March 31 2017 onits financial position in its financial statements - Refer Note 30 to the financialstatements.

ii. The Company did not have any long-term contracts as on March 31 2017 includingderivative contracts;

iii. There were no amounts which were required to be transferred as on March 31 2017to the Investor Education and Protection Fund by the Company.

iv. The Company has provided requisite disclosure in the financial statements as toholding as well as dealings in Specified Bank Notes during the period from November 82016 to December 30 2016. Based on audit procedure and relying on managementrepresentation we report that the disclosures are in accordance with books of accountsmaintained by the Company and as produced to us by the Management- Refer Note no. 16.1 ofthe financial statements.

6. As required by the Companies (Auditor's Report) Order 2016 ("the Order")issued by the Central Government in terms of sub-section (11) of section 143 of the Actwe give in the 'Annexure B' a statement on the matters specified in paragraph 3 and 4 ofthe Order.

For BANSI S. MEHTA & CO.
Chartered Accountants
(Firm Regn. No. 100991W)
Mumbai H. G. Buch
Date : 23rd May 2017 Partner
(M. No. 33114)

ANNEXURE A TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THE STANDALONE FINANCIALSTATEMENTS OF SAFARI INDUSTRIES (INDIA) LIMITED

Refer to in paragraph 5(f) under the heading "Report on Other Legal and RegulatoryRequirements" of our Independent Auditors report of even date to the members of theCompany on the financial statement for the year ended March 31 2017.

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 SAFARIINDUSTRIES (INDIA) LIMITED ("the Company") as of March 31 2017 inconjunction with our audit of the standalone financial statements of the Company for theyear 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.

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 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 the Company has in all material respects an adequate internalfinancial controls system over financial reporting and such controls were operatingeffectively as at March 31 2017 based on the relevant criteria established by theCompany considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls Over Financial Reporting issued by theInstitute of Chartered Accountants of India.

For BANSI S. MEHTA & CO.
Chartered Accountants
(Firm Regn. No. 100991W)
Mumbai H. G. Buch
Date : 23rd May 2017 Partner
(M. No. 33114)

ANNEXURE B TO INDEPENDENT AUDITOR'S REPORT [Refer to in paragraph 5(f) under theheading "Report on Other Legal and Regulatory Requirements" of our IndependentAuditors report of even date to the members of the Company on the financial statement forthe year ended March 31 2017.]

Report on the Companies (Auditor's Report) Order 2016 issued in terms of Section143(11) of the Companies Act 2013 ("the Act") of Safari Industries (India)Limited ("the Company").

(i) (a) The Company is maintaining proper records to show full particulars includingquantitative details and situation of fixed assets.

(b) As explained to us the Company has a programme of physical verification of fixedassets which in our opinion is reasonable having regard to the size of the Company andthe nature of its assets. In accordance with such programme the management has physicallyverified fixed assets of significant value during the year and no material discrepancieswere noticed on such verification. In case of fixed assets lying with third partiesconfirmations have been obtained.

(c) The title deeds of immovable property are held in the name of the company.

(ii) Inventories have been physically verified by the management during the yearexcept material lying with third parties and stock in transit in respect of whichconfirmations and necessary documentary evidences have been obtained. In our opinion thefrequency of verification is reasonable. The Company is maintaining proper records ofinventory. The discrepancies noticed on verification between physical inventories and bookrecords were not material in relation to the size of operations of the Company and thesame have been properly dealt with in the books of account.

(iii) As per the information furnished to us the Company has not granted any loanssecured or unsecured to companies firms Limited Liability Partnership or other partiescovered in the register maintained under section 189 of the Companies Act 2013 ("theAct").Therefore the provision of Clause (iii)(a)(iii)(b) and (iii)(c) of the saidOrder are not applicable to the Company.

(iv) During the year the Company has not advanced or given any loan or given anyguarantee or provided any security in connection with any loan to any of its Directors orother persons covered under section 185 and 186 of the Act or made any investment coveredunder section 186 the Act.

(v) During the year the Company has not accepted any deposits from public nor are thereany deposits outstanding at the beginning of the year.

(vi) The maintenance of cost records has not been specified by the Central Governmentunder section 148(1) of the Act read with Rule 3 of the Companies (Cost Records andAudit) Amendment Rules 2014 notified by Ministry of Corporate Affairs Government ofIndia vide notification dated December 31st 2014 (vii) (a) According to the informationand explanations given to us and the records examined by us during the year the Companyhas generally been regular in depositing undisputed statutory dues with appropriateauthorities being Provident Fund Employees' State Insurance Income tax Sales taxService tax Customs Duty Excise Duty Value Added tax cess and any other materialstatutory dues. There are no undisputed statutory dues outstanding as at March 31 2017for a period of more than six months from the date they became payable.

(b) The disputed amounts that have not been deposited as on March 31 2017 in respectof Sales Tax Income Tax Entry Tax and Value Added Tax are as under:

Name of the Statute Nature of the dues Payable Rs. in Lacs Period to which it relates Forum where dispute is pending
BiharValueAddedTaxAct2005 InterestonValueAddedTax 1.26 2009-10 CommercialTaxTribunal
BiharValueAddedTaxAct2005 ValueAddedTax 1.98 2008-09 CommercialTaxTribunal
UttarPradeshValueAddedTax2008 ValueAddedTax 3.08 2014-15 CommercialTaxTribunal
UttarPradeshValueAddedTax2008 InterestonValueAddedTax 1.78 2007-08 AssistantCommissioner
CentralSalesTaxAct1956 Penalty for non-filing of CST return 0.60 2007-08 Sales Tax Officer

(viii) As per the information and explanation given to us the Company has notdefaulted in the repayment of loans or borrowings to the Banks during the year.

(ix) As per the information and explanations given to us during the year the termloans have been applied for the purpose for which they were obtained.

(x) Based on the audit procedures performed and information and explanations given tous by the management we report that no fraud by the Company or on the Company by itsofficers or employees has been noticed or reported during the course of our audit.

(xi) The Managerial remuneration has been paid or provided in accordance with therequisite approvals mandated by the provisions of section 197 read with Schedule V to theAct.

(xii) The Company is not a Nidhi Company Accordingly para 3(xii) of the Order is notapplicable to the Company.

(xiii) According to the information and explanation given to us all transactions withthe related parties are in compliance with section 177 and 188 of the Act where applicableand the details have been disclosed in the Financial State- ments as required by theapplicable accounting standards.

(xiv) As per the documents and records examined by us and the information andexplanation given to us the Company has made preferential allotment of shares during theyear under review. The requirements in that regard of section 42 of the Act have beencomplied with and the amounts so raised have been used for the purpose for which the fundswere raised.

(xv) The Company has not entered into any non-cash transaction during the year withDirectors or persons connected with him as contemplated in section 192 of the Act.

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

For BANSI S. MEHTA & CO.
Chartered Accountants
(Firm Regn. No. 100991W)
Mumbai H. G. Buch
Date : 23rd May 2017 Partner
(M. No. 33114)