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Star Delta Transformers Ltd.

BSE: 539255 Sector: Engineering
NSE: N.A. ISIN Code: INE541K01014
BSE LIVE 11:20 | 11 Dec 150.65 -1.35
(-0.89%)
OPEN

150.65

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150.65

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150.65

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 150.65
PREVIOUS CLOSE 152.00
VOLUME 100
52-Week high 204.95
52-Week low 81.50
P/E 13.50
Mkt Cap.(Rs cr) 45
Buy Price 150.65
Buy Qty 20.00
Sell Price 156.90
Sell Qty 100.00
OPEN 150.65
CLOSE 152.00
VOLUME 100
52-Week high 204.95
52-Week low 81.50
P/E 13.50
Mkt Cap.(Rs cr) 45
Buy Price 150.65
Buy Qty 20.00
Sell Price 156.90
Sell Qty 100.00

Star Delta Transformers Ltd. (STARDELTATRANS) - Auditors Report

Company auditors report

TO

THE MEMBERS OF STAR DELTATRANSFORMERS LIMITED Report on the Financial Statements

We have audited the accompanying financial statements of STAR DELTA TRANSFORMERSLIMITED("the Company") which comprise the Balance Sheet as at 31/03/2017 theStatement of Profit and Loss and Cash Flow Statementfor the year then ended and a summaryof 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 prescribedunder Section 133 of the Act as applicable.

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 financialstatements that give a true and fair view and are free from material misstatement whetherdue 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 matters which are required to be included in the audit report under theprovisions of the Act and the Rules made thereunder and the order under Section 143(11) ofthe Act. We conducted our audit of the financial statements in accordance with theStandards on Auditing specified under Section 143(10) of the Act. Those Standards requirethat we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the financial statements are free from materialmisstatement.

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 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 31stMarch 2017 and its Profits and its cash flowsfor the yearended 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 in terms of section 143(11) of the Act we give in the"Annexure - A" a statement on the matters specified in the paragraphs 3 and 4 ofthe 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 the AccountingStandards specified under Section 133 of the Act as applicable.

(e) On the basis of the written representations received from the directors as on31/03/2017 taken on record by the Board of Directors none of the directors isdisqualified as 31/03/2017 from being appointed as a director 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 refer to ourseparate Report in "Annexure - B". Our report expresses an unmodified opinion onthe adequacy and operating effectiveness of the company's internal financial control overfinancial reporting.

(g) With respect to the other matters to be included in Auditor's Report in accordancewith Rule 11 of the Companies (Audit & Auditors) Rules 2014 in our opinion and tothe best of our information and according to the explanations given to us: i. The Companydoes not have anypending litigationswhich would impact its financial position. ii. TheCompany did not have any long term contracts for which there were any material foreseeablelosses; and iii. The Company has transferred amount required to be transferred to theInvestor Education and Protection Fund.

For A. K. KHABYA & CO.
Firm Reg. No. 001994C
Chartered Accountants
Sd/-
Place : Bhopal CA. M. N. G. PILLAI
Date : 29th May 2017 Partner
Membership No.074051

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

(Refer to in paragraph 1 under 'Report on Other Legal and Regulatory Requirements' ofour report of even date)

(i) (a) On the basis of available information the company has maintained proper recordsshowing full particulars including quantitative details and situation of fixed assets.

(b) As explained to us all the assets have been physically verified by the managementas per a program of verification in a periodical manner which in our opinion isreasonable having regard to the size of the company and the nature of its assets. Nomaterial discrepancies were noticed on such verification.

('c) According to the information and explanations given to us and the record examinedby us and based on the examination of the registered sale deed/ transfer deed/ conveyancedeed and other relevant records evidencing title provided to us we report that the titledeeds comprising all the immovable properties of land and building which are free holdareheld in the name of the Company as at the balance sheet date.

In respect of immovable properties of land and buildings that have been taken on leaseand disclosed as fixed asset in the financial statements the lease agreements are in thename of the Company where the Company is the lessee in the agreement.

(ii) As explained to us the inventories were physically verified during the year by themanagement at reasonable intervals and no material discrepancies were noticed on physicalverification.

(iii) The Company hasnot granted any loans Secured or unsecured to companies firmsLimited Liability Partnerships or other parties covered in the register maintained undersection 189 of the Companies Act 2013.

(iv) In our opinion and according to the information and explanations given to uswherever applicable the Company has complied with the provisions of Section 185 and 186 ofthe Companies Act2013 in respect of grant of loans making investments and providingguarantees as applicable. The Company has not granted any security in term of Section 185and 186 of the Companies Act 2013.

(v) According to the information and explanations given to us the company has notaccepted any deposits from the public during the year and accordingly paragraph 5 of theorder is not applicable.

(vi) The maintenance of cost records has been specified by the Central Government undersection 148(1) of the Companies Act 2013. We have broadly reviewed the cost recordsmaintained by the company pursuant to the Companies (Cost Records and Audit) Rules 2014as amended prescribed by the Central Government under sub section (1) of Section 148(1)of the Companies Act 2013 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 records with a view to determine whether they are accurate and complete.

(vii) According to the information and explanations given to usin respect of statutorydues;

(a) The Company has generally been regular in depositing undisputed statutory duesincluding provident fund employees state insurance income tax sales tax service taxcustom duty excise duty value added tax cess and any other material statutory dues withthe appropriate authority.

(b) There were no undisputed amounts payable in respect of provident fund employees'state insurance income tax sales tax service tax custom duty excise duty value addedtax cess and other material statutory dues in arrears as at March 31 2017 for a periodof more than six month from the date they became payable. (c) According to the records ofthe company examined by us and information and explanations given to us the followingstatutory dues were outstanding on account of a dispute as on 31st March 2017:-

Name of the Statute Nature of demand Amount of demand Period to which unpaid as on the amt. relates Forum where dispute is pending
31/03/2017(Rs.) (Assessment Yr)
The Income Tax Act 1961 Income Tax and/or interest 7890.00 2005-06 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 154651.00 2006-07 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 434000.00 2007-08 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 846790.00 2007-08 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 280.00 2009-10 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 28020.00 2009-10 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 1149230.00 2010-11 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 128900.00 2013-14 Appellate Authorities
The Income Tax Act 1961 Income Tax and/or interest 2665270.00 2015-16 Appellate Authorities

(viii) In our opinion and according to the information and explanations given to usthe company has not defaulted in repayment of loans or borrowings to financialinstitutions government and banks.

(ix) The Company did not raise any moneys by way of initial public offer (includingdebt instruments) during the year. In our opinion and according to the information andexplanations given to us the term loans have been applied by the Company during the yearfor the purposes for which they were raised.

(x) To the best of our knowledge and according to the information and explanationsgiven to us no fraud by the Company and no material fraud on the Company by its officersor employees have been noticed or reported during the year.

(xi) In our opinion and according to the information and explanations given to us theCompany has paid/ provided managerial remuneration in accordance with the requisiteapprovals managed by the provisions of section 197 read with schedule V to the CompaniesAct 2013.

(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of theCARO 2016 Order is not applicable.

(xiii) In our opinion and according to the information and explanations given to usthe Company is in compliance with section 188 and 177 of the Companies Act 2013 whereapplicable for all transactions with the related parties and the details of related partytransactions have been disclosed in the financial statements etc. as required by theapplicable accounting standards.

(xiv) During the year the Company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures and hence reporting underclause (xiv) of the CARO 2016 Order is not applicable to the Company.

(xv) In our opinion and according to the information and explanations given to usduring the year the Company has not entered into any non-cash transactions with itsdirectors associate company or persons connected with them and hence provisions ofsection 192 of the Companies Act 2013 are not applicable.

(xvi) According to the information and explanations given to us the Company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934.

For A.K. KHABYA & CO.
Chartered Accountants
Firm Reg. No. 001994C
Sd/-
Place : Bhopal CA. M.N.G. PILLAI
Date : 29th May 2017 Partner.
Membership No. 074051

2016-2017

ANNEXURE "B" TO THE INDEPENDENT AUDITOR'S REPORT

(Refer to in paragraph 1(f) under 'Report on Other Legal and Regulatory Requirements'section of our report of even date)

Report on the Internal Financial Controls Over Financial Reporting under clause (i) ofSub-Section 3 of Section 143 of the Companies Act2013 ("The Act")

We have audited the internal financial controls over financial reporting of STAR DELTATRANSFORMERS 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 the Financial Controls

The Company's management is responsible establishing and maintaining internal financialcontrol based on the internal control over financial reporting criteria established by theCompany considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Reporting issued by the Institute of CharteredAccountants of India.These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the orderly and efficient conducts of its business including adherence tocompany's policies the safeguarding of its assets the prevention and detection of fraudsand errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Companies Act 2013.

Auditor's 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") issued by the Institute of Chartered Accountants of Indiaand the Standards on Auditing prescribed under Section 143 (10) of the Companies Act2013 to the extent applicable to an audit of internal financial controls. Those Standardsand the Guidance Note require that we comply with ethical requirements and plan andperformed the audit to obtain reasonable assurance about weather adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial reporting controls system over financial reporting and theiroperating effectiveness. Our audit of internal financial controls over financial reportingincluded obtaining an understanding of internal financial controls over financialreporting assessing the risk that a material weakness exist and testing and evaluatingthe design and operating effectiveness of internal control based on the assessed risk.Theprocedures selected depends on the auditor's judgment including the assessment of therisks of material misstatements of the financial statements weather due to fraud orerror.

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 purpose in accordance with generallyaccepted accounting principles. The 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 receipt 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 deposition 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 to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at March 31 2017 based on the internal controlover financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note on Audit of internal financialcontrol over financial reporting issued by the Institute of Chartered Accountants ofIndia.

For A.K. KHABYA & CO.
Chartered Accountants
Firm Reg. No. 001994C
Sd/-
Place : Bhopal CA. M.N.G. PILLAI
Date : 29th May 2017 Partner.
Membership No. 074051