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Switching Technologies Gunther Ltd.

BSE: 517201 Sector: Engineering
NSE: N.A. ISIN Code: INE311D01017
BSE 00:00 | 10 May 55.00 0
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NSE 05:30 | 01 Jan Switching Technologies Gunther Ltd
OPEN 57.50
PREVIOUS CLOSE 55.00
VOLUME 1200
52-Week high 92.85
52-Week low 55.00
P/E
Mkt Cap.(Rs cr) 13
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 57.50
CLOSE 55.00
VOLUME 1200
52-Week high 92.85
52-Week low 55.00
P/E
Mkt Cap.(Rs cr) 13
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Switching Technologies Gunther Ltd. (SWITCHINGTECH) - Auditors Report

Company auditors report

To the Members of Switching Technologies Gunther Limited

Report on the Financial Statements

We have audited the accompanying financial statements of Switching Technologies GuntherLimited ("the company") which comprise the Balance Sheet as at 31 March 2017the Statementof Profit and Loss the Statement of Cash Flow 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 in section 134(5) ofthe Companies Act 2013 ("the Act") with respect to the preparation of thesefinancial statements that give a true and fair view of the financial position financialperformance and cash flows of the Company in accordance with the accounting principlesgenerally accepted in India including the Accounting Standards specified under Section133 of the Act read with relevant rules issued thereunder.

This responsibility also includes the maintenance of adequate accounting records inaccordance with the provision of the Act for safeguarding of the assets of the Company andfor preventing and detecting the frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of 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.

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 dependpn the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders internal financial control relevant to the Company's preparation of thefinancial statements that give true and fair view in order to design audit procedures thatare appropriate in the circumstances. An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of the accountingestimates made by Company's Directors as well as evaluating the overall presentation ofthe 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

n I 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;

a) in the case of the Balance Sheet of the state of affairs of the Company as at March31 2017; b) in the case of the Statement of Profit and Loss of the loss for the yearended on that date; and c) in the case of the Cash Flow Statement of the cash flows forthe year ended on that date.

Report on other Legal and Regulatory Requirements

1. As required by the Companies (Auditors' Report) Order 2016 ('the Order') issued bythe Central Government of India it terms of sub-section (11) of section 143 of the Act wegive in the Annexure A a statement on the matters specified in the paragraph 3 and 4 ofthe Order to the extent applicable.

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 appears from our examination of those books.

c) The Balance Sheet the Statement of Profit and Loss and the Statement of Cash Flowdealt 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 read with relevant rule issuedthereunder.

e) On the basis of written representations received from the directors as on 31 March2017 taken on record by the Board of Directors none of the directors1 is disqualified ason 31 March 2017 from being appointed as a director in terms of Section 164(2) of theAct

) f With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls referto 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 Auditors) Rules 2014 in our opinionand to our best of our informationand accordingto the explanations given to us :

i. The Company does not have any pending litigations which would impact its financialposition.

ii. The Company did not have any long-term contracts including derivatives contractsforwhich there were any material foreseeable losses.

iii. There were no amounts which required to be transferred to the Investor Educationand Protection Fund and

iv. The Company has provided requisite disclosures in its financial statements as toholding as well as dealings in Specified Bank Notes during the period from8November 2016to 30 December2016 and these are in accordancewith the books of accounts maintained bythe Company. Refer to Note 25 of the financial statement.

For and on behalf of
M.L.Srinivasan & Associates
Chartered Accountants
Firm Registration No.006505S
M.L.SRINIVASAN
Place : Chennai Partne r
Date : 31st May 2017 Membershi p No. 203154

ANNEXURE A TO THE AUDITORS' REPORT

The Annexure referred to in our Independent Auditors' Report to the members of theCompany on the financial statements for the year ended 31 March 2017 we report that:

i. (a) The Company hasmaintained proper recordsshowing full particularsincluding quantitative details and situation of fixedassets.

(b) The fixed assets of the company have been physically verified by the managementduring the year and no material discrepancies between the book records and the physicalinventory have been noticed. In our opinion the frequency of verification is reasonable.

(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. (a) The inventory has been physically verified by the management during the year.In my opinion the frequencyof such verificationis reasonable.

(b) he discrepancies noticed on the aforesaid verification between the physical stocksand book records were not material.

iii. The Company has neither granted nor taken any loans secured or unsecured to/fromcompanies firms or other parties listed in the register maintained under section 189 ofthe Companies Act 2013.

iv. The Company has not granted any Loans or made Investments referred to under section185 and 186 of the Act.

v. The Company has not accepted any deposits from the public.

vi. We have broadly reviewed the cost records maintained by the Company specified bythe Central Government under Section 148(1) of the Companies Act 2013 and are of theopinion that prima facie the prescribed cost records have been maintained.

vii. (a) In our opinion and according to the information and explanations given to usthe Company is generally regular in depositing undisputed statutory dues includingProvident Fund Employees State Insurance Income Tax Sales tax Service tax Exciseduty Cess Investor Education Protection Fund VAT and other material statutory dues ifany applicable to it with the appropriate authorities during the year. As at the last dayof the financial year there are no arrears of such undisputed statutory dues outstandingfor a period of more than six months from the date they became payable.

(b) As at 31st March 2017 according to the records of the Company the following duesof Income tax have not been deposited by the Company on account of disputes :

Name of the Statute Nature of Dues Amount (in Rupees) Period to which the amount relates Forum where dispute s pending i
Income tax Act 1961 Income tax 2061790 Assessment Year 2012-13 CIT(Appeals) Chennai and Assistant Commissioner of Income tax Company Range Chennai

viii. The Company does not have any loans or borrowings from any financialinstitutions banks government or debenture holders during the year.

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. According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit.

xi. According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has paid / provided for managerialremuneration in accordance with the requisite approvals mandated by the provisions ofSection 197 read with Schedule V to the Act.

xii. In our opinion and according to the information and explanation given to us.theCompany is not a nidhi company. Accordingly paragraph 3(xii) of the order is notapplicable.

xiii. According to the information and explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with Sections 177 and 188 of the act where applicable and details of suchtransactions have been disclosed in the financial statements as required by the applicableaccounting standards.

xiv. According to the information and explanation given to us and based on ourexamination of the records of the Company the Company has not made and preferentialallotment or private placement of shares or fully or partly convertible debentures duringttje year.

xv. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into non cashtransactions with directors or persons connected with him. Accordingly paragraph 3(xv) ofthe order is not applicable.

xvi. The company is not required to be registered under Section 45-IA of the ReserveBank of India Act 1934.

For and on behalf of
M.L.Srinivasan & Associates
Chartered Accountants
Firm Registration No.006505S
M.L.SRINIVASAN
Place : Chennai Partner
Date : 31st May 2017 Membership No. 203154

ANNEXURE B TO THE AUDITORS' REPORT

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 ofSwitchingTechnologies Gunther Limited ("the Company") as of 31 March 2017 inconjunction with our audit of the financial statements of the Company for the year endedon 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 ('ICAI'). 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 Companies Act 2013.

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 auditqr'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 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 internal financial controlsover financial reporting were operating effectively as at 31 March 2016 based on theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued 6y the Institute of CharteredAccountants of India.

For and on behalf of
M.L.Srinivasan & Associates
Chartered Accountants
Firm Registration No.0065055
M.L.SRINIVASAN
Place : Chennai Partner
Date : 31st May 2017 Membershi p No. 203154