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Shivam Autotech Ltd.

BSE: 532776 Sector: Auto
NSE: SHIVAMAUTO ISIN Code: INE637H01024
BSE LIVE 15:40 | 22 Sep 66.70 -3.25
(-4.65%)
OPEN

69.30

HIGH

69.30

LOW

66.00

NSE 15:45 | 22 Sep 66.90 -3.35
(-4.77%)
OPEN

69.90

HIGH

69.90

LOW

66.60

OPEN 69.30
PREVIOUS CLOSE 69.95
VOLUME 35342
52-Week high 75.80
52-Week low 37.10
P/E
Mkt Cap.(Rs cr) 667
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 69.30
CLOSE 69.95
VOLUME 35342
52-Week high 75.80
52-Week low 37.10
P/E
Mkt Cap.(Rs cr) 667
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Shivam Autotech Ltd. (SHIVAMAUTO) - Auditors Report

Company auditors report

To

The Members of

Shivam Autotech Limited

Report On the Financial Statements

We have audited the accompanying financial statements of Shivam Autotech Limited("the Company") which comprises the balance sheet as at March 31 2016 thestatement of profit and loss the cash flow statement for the year then ended and asummary of 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.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditor's 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 the 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 anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of the 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 offinancial statement that gives 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 whether the Company has in place an adequate internal financial controls systemover financial reporting and the operating effectiveness of such 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 standalone 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 March312016 and its profit and its 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 Section 143 (11) of the Act we givein the Annexure a statement on the matters specified in paragraphs 3 and 4 of the Order;

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 accounting standardsspecified 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 31stMarch 2016 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2016 from being appointed as a director 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 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 best of our information and accordingly to explanations given us;

i. The Company has disclosed the impact of pending litigation on its financial positionin its financial statements as referred to in Note 25 to the financial statements.

ii. Company did not have any long term contracts including derivative contracts forwhich there were any material foreseeable losses;

iii. There are no amounts which are required to be transferred to the InvestorEducation and Protection Fund by the Company.

For S. S. KOTHARI MEHTA & Co

Chartered Accountants

FRN - 000756N

Sd/-

SUNIL WAHAL

Partner

Membership No. 087294

Date: May 282016

Place: New Delhi

Annexure A to the Independent Auditor's Report to the Members of Shivam AutotechLimited dated 28th May 2016.

Report on the matters specified in paragraph 3 of the Companies (Auditor's Report)Order 2016 ("the Order') issued by the Central Government of India in terms ofsection 143(11) of the Companies Act 2013 ("the Act") as referred to inparagraph 1 of ‘Report on Other Legal and Regulatory Requirements' section.

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

(b) The fixed assets have been physically verified by the management during the yearthe frequency of which in our opinion is reasonable having regard to the size of theCompany and the nature of its assets. No discrepancies were noticed on such verification.

(c) In our opinion and according to the information and explanations given to us thetitle deeds of immovable properties are held in the name of the company.

(ii) In respect of the Company's inventories:

(a) (a) As explained to us the Management has conducted physical verification ofinventory at reasonable intervals during the year except stocks lying with third partieswhich have been verified with reference to correspondence received from third parties.

(b) In our opinion and according to the information and explanations given to us theprocedures of physical verification of inventories followed by the management arereasonable and adequate in relation to the size of the Company and the nature of itsbusiness.

(c) In our opinion and according to the information and explanations given to us theCompany has maintained proper records of its inventories. The discrepancies noticed onphysical verification of inventories as compared to book records were not material andhave been properly dealt with in the books of accounts.

(iii) The company has not granted any loans secured or unsecured to companies firmsor other parties covered in the register maintained under section 189 of the Act.Accordingly clauses 3(iii) (a) to (c) of the Order are not applicable.

(iv) In our opinion and according to the information and explanations given to usprovisions of section 185 and 186

of the Act in respect of loans to directors including entities in which they areinterested and in respect of loans and advances given investments made and guaranteesand securities given have been complied with by the Company.

(v) In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits from the public within the meaning of directivesissued by the Reserve Bank of India and provisions of sections 73 to 76 or any otherrelevant provisions of the Act and the Rules framed there under are not applicable.

(vi) We have broadly reviewed the Cost Accounting records maintained by the Companypursuant to the Rules prescribed by the Central Government for the maintenance of costrecords under sub-section (1) of section 148 of the Act and are of the opinion that primafacie the prescribed accounts and records have been made and maintained. We are howevernot required to make a detailed examination of such books and records.

(vii) (a) According to the records of the Company examined by us and the informationand explanations given to us the Company has generally deposited its statutory duesincluding Employees' Provident Fund Employees' State Insurance Investor Education andProtection Fund Income Tax Wealth Tax Service Tax Custom Duty Excise duty Cess andany other material statutory dues as applicable within the prescribed time with theappropriate authorities during the year and there are no such undisputed amounts payablewhich have remained outstanding as at March 312016 for a period of more than six monthsfrom the date they became payable.

(b) According to the records of the Company the details of dues of Income-taxSales-tax Wealth-tax Service- tax Customs Duty Excise Duty and Value added tax whichhave not been deposited on account of any dispute and the forum where the dispute ispending are as follows :

Name of the Statute Nature of Dues Amount (Rs. Lacs) Period to which the amount relates Forum where the dispute is pending
1. Income Tax Act 1961 Demand raised on assessment 6.45 A.Y 2008-09 Commissioner of Income Tax (Appeals) New Delhi
2. Central Excise Act 1944 Cenvat Credit disallowance on input services 8.95 April 2009 to March 2011 Commissioner of Central Excise (Appeals) Gurgaon

(viii) According to the records of the Company examined by us and the information andexplanations given to us in our opinion the Company has not defaulted in repayment ofits dues to banks and financial institutions. The Company does not have any debentures.

(ix) In our opinion and according to the information and explanations given to us theCompany has not raised any money way of initial public offer/further public offer furtherterm loans taken during the year were applied for the purpose for which the loan wereobtained. Hence reporting under clause (ix) of the order is not applicable to the Company.

(x) In our opinion and according to the information and explanations given to us wereport that no fraud by the company or on the company by the officers and employees of theCompany has been noticed or reported during the year.

(xi) In our opinion and according to the information and explanations given to us thatthe managerial remuneration has been paid/provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the Act.

(xii) The Company is not a Nidhi company. Therefore the provisions of clause 3(xii) ofthe Order are not applicable to the Company.

(xiii) In our opinion and according to the information and explanations given to usduring the course of audit transactions with the related parties are in compliance withsection 177 and section 188 of the Act and the details have been disclosed in the notes tothe financial statements as required by the applicable accounting standards.

(xiv) According to the information and explanations given to us and on an overallexamination of the books of account the Company has not made any preferential allotmentor private placement of shares or fully or partly convertible debentures during the yearunder review and hence not commented upon.

(xv) In our opinion and according to the information and explanations given to us theCompany has not entered into any non-cash transactions with directors or persons connectedwith him.

(xvi) According to the information and explanations given to us the provisions ofsection 45-IA of the Reserve Bank of India Act 1934 are not applicable to the Company.

For S. S. KOTHARI MEHTA & Co

Chartered Accountants

FRN - 000756N

Sd/-

SUNIL WAHAL

Partner

Membership No. 087294

Place: New Delhi

Date: 28th May 2016.

Annexure B to the Independent Auditor's Report to the members of Shivam AutotechLimited

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act") as referred to in paragraph 2(f) of‘Report on Other Legal and Regulatory Requirements' section

We have audited the internal financial controls over financial reporting of ShivamAutotech Limited ("the Company") as of March 312016 in conjunction with ouraudit 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 responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to 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 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 accordance with the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting (the "Guidance Note") and theStandards on Auditing issued by ICAI and deemed to be prescribed under section 143(10) ofthe Act to the extent applicable to an audit of internal financial controls bothapplicable to an audit of Internal Financial Controls and both issued by the Institute ofChartered Accountants of India. Those Standards and the Guidance Note require that wecomply with ethical requirements and plan and perform the audit to obtain reasonableassurance about whether adequate internal financial controls over financial reporting wasestablished and maintained and if such controls operated effectively in all materialrespects.

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 included obtaining anunderstanding of internal financial controls over financial reporting assessing the riskthat a material weakness exists and testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditor's judgment including the assessment of the risks of materialmisstatement 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:

a) pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the company;

b) provide reasonable assurance that transactions are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the company are being made only inaccordance with authorizations of management and directors of the company; and

c) provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the company's assets that could have amaterial 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 internal financial controlsover financial reporting were operating effectively as at 31stMarch 2016 based on"the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAudit of Internal Financial Controls Over Financial Reporting issued by the Institute ofChartered Accountants of India".

For S. S. KOTHARI MEHTA & Co

Chartered Accountants

FRN - 000756N

Sd/-

SUNIL WAHAL

Partner

Membership No. 087294

Place: New Delhi

Date: 28th May 2016.