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Aarey Drugs & Pharmaceuticals Ltd.

BSE: 524412 Sector: Health care
NSE: AAREYDRUGS ISIN Code: INE198H01019
BSE 00:00 | 24 May 37.30 -2.15
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NSE 00:00 | 24 May 37.25 -2.05
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OPEN 39.50
PREVIOUS CLOSE 39.45
VOLUME 12602
52-Week high 64.40
52-Week low 30.70
P/E 10.87
Mkt Cap.(Rs cr) 95
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 39.50
CLOSE 39.45
VOLUME 12602
52-Week high 64.40
52-Week low 30.70
P/E 10.87
Mkt Cap.(Rs cr) 95
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Aarey Drugs & Pharmaceuticals Ltd. (AAREYDRUGS) - Auditors Report

Company auditors report

To the Members of AAREV DRUGS & PHARMACEUTICALS LTD

Report on the Audit of the Financial Statements

OPINION

We have audited the financial statements of AAREY DRUGS & PHARMACEUTICALS LTD("the Company'‘) which comprise the balance sheet as at 31stMarch 2021 thestatement of Profit and Loss statement of changes in equity and statement of cash flowsfor the year then ended and notes to the financial statements including a summary ofsignificant accounting policies and other explanatory information.

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 March31 2021 and profit/loss changes in equity and its cash flows for the year ended on thatdate.

BASIS FOR OPINION

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder section 143(10) of the Companies Act 2013. Our responsibilities under thoseStandards are further described in the Auditor’s Responsibilities for the Audit ofthe Financial Statements section of our report. We are independent of the Company inaccordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial statements under the provisions of the Companies Act 2013 and the Rulesthereunder and we have fulfilled our other ethical responsibilities in accordance withthese requirements and the Code of Ethics. We believe that the audit evidence we haveobtained is sufficient and appropriate to provide a basis for our opinion.

KEY AUDIT MATTERS

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the financial statements of the current period. These matterswere addressed in the context of our audit of the financial statements as a whole and informing our opinion thereon and we do not provide a separate opinion on these matters.

We have determined the matters described below to be key audit matter to becommunicated in our report.

1. REV ENUE RECOGNITION

Authenticity of recognition measurement presentation and disclosures of revenues andother related balances in view of adoption of Ind AS 115 "Revenue from Contracts withCustomers’ (new revenue accounting standard) The application of the new revenueaccounting standard involves certain key judgements relating to identification of distinctperformance obligations determination of transaction price of the identified performanceobligations the appropriateness of the basis used to measure revenue recognised over aperiod.

AUDITOR RESPONSE

Wc have assessed the Company's process to identify the impact of adoption of the newrevenue accounting standard. Our audit approach consisted testing of the design andoperating effectiveness of the internal controls and testing as follows:

• Evaluated the design of internal controls relating to implementation of the newrevenue accounting standard.

• Selected a sample of continuing and new contracts and tested the operatingeffectiveness of the internal control relating to identification of the distinctperformance obligations and determination of transaction price. We carried out acombination of procedures involving enquiry and observation performance and inspection ofevidence in respect of operation of these controls

2. STATUTORY LIABILITIES

The Company has various tax litigations pending before various authorities the outcomeof which are material but not practicable for the Company to estimate the timings of cashoutflows.

AUDITOR’S RESPONSE

For legal regulatory and tax matters our procedures included examining external legalopinions obtained by management; meeting with regional and local management and examiningrelevant Group correspondence; discussing litigations with the Company's legal counsel andtax head; assessing management’s conclusions through understanding precedents set insimilar cases; and circularization where appropriate of confirmations to third partylegal representatives regarding certain material cases

We also involved our internal tax specialists to gain an understanding and to determinethe level of exposure for tax litigations of the Company.

In light of the above we examined the level of provisions recorded in financialstatements.

RESPONSIBILITIES OF MANAGEMENT AND THOSE CHARGED WITH GOV ERNANCE FOR THE FINANCIALSTATEMENTS

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 changes in equity and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the Accounting Standardsspecified under section 133 of the Act. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingof the 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.

In preparing the financial statements management is responsible for assessing theCompany's ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so.

The Board of Directors are also responsible for overseeing the Company's financialreporting process.

AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL STATEMENTS

Our objectives are to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken on thebasis of these financial statements.

As part of an audit in accordance with SAs we exercise professional judgment andmaintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under section 143(3)(0of the Companies Act 2013 we are also responsible for expressing our opinion on whetherthe company has adequate internal financial controls system in place and the operatingeffectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of management's use of the going concern basisof accounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in otir auditor's report to the related disclosures hithe financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of ourauditor’s report. However future events or conditions may cause the Company to ceaseto continue as a going concern.

• Evaluate the overall presentation structure and content of the financialstatements including the disclosures and whether the financial statements represent theunderlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.

OTHER MATTER

The Einancial Statements for the financial year ended 31s' March 2020 and prior periodswere audited by the previous Statutory Auditor. We have relied upon Financial Statementsand Audit Reports of the preceding Statutory Auditor for all such previous periods.

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 Companies Act 2013 we give in "Annexurc A" a statement on the mattersspecified in paragraphs 3 and 4 of the 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 it appears from our examination of those books

(c) The Balance Sheet the Statement of Profit and Loss and the Cash Mow Statementdealt with by this Report are in agreement with the books of account.

(d) In our opinion the aforesaid financial statements comply with the IndianAccounting Standards (Ind AS) specified under Section 133 of the Act read with Companies(Indian Accounting Standards) Rules 2013 as amended.

(e) On the basis of the written representations received from the directors as on 31stMarch. 2021 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2021 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 "Anncxure B".

(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 on its financialposition in its financial statements.

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

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

For Motilal & Associates LLP

Chartered Accountants ICAI FRN: 106584W (formerly Known as Motilal & Associates)

M. H. Jain

Partner

Membership No. 036811

Place : Mumbai Date :29/06/2021

UDIN: 21036811AAAAFI7586

ANNEXURE "A" TO THE INDEPENDENT AUDITORS’ REPORT

(Referred to in paragraph 1 under 'Report on Other Legal and Regulatory Requirements'section of our report to the Members of AAREY DRUGS & PHARMACEUTICALS LTD of evendate)

(i) In respect of the Company’s fixed assets:

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

b) The fixed assets were physically verified during the year by the Management inaccordance with a regular programme of verification that in our opinion provides forphysical verification of all the fixed assets at reasonable intervals. According to theinformation and explanations given to us no material discrepancies were noticed on suchverification.

c) According to the information and explanations given to us the title deeds ofimmovable properties included in fixed assets tire held in the name of the Company.

(ii) a) As explained to us the inventories have been physically verified by themanagement during the year at reasonable intervals. The Company could not conduct thephysical verification of inventories for the year-end 31st March 2021 on account ofhealth travel and safety concerns due to COVID-19 pandemic. The Company's managementhowever conducted physical verification of inventories on dates other than the date offinancial statements but prior to the date of the board meeting to be held for thepurpose of adopting the financial statements at certain locations (factories andwarehouses) and has made available the documents in confirmation thereof.

We have performed alternate audit procedures based on documents and other informationmade available to us to audit the existence of inventories.

b) On the basis of our examination the Company has maintained proper records ofinventories and no material discrepancies were noticed on physical verification andrecords maintained by the Company.

(iii) According to the information and explanations given to us the company hasgranted loans secured or unsecured to one (1) company firm. Limited LiabilityPartnership or other party covered in the register maintained under section 189 of theCompanies Act 2013 having maximum outstanding balance during the year of Rs. 262300 /-and balance as of 31st March 2021 of Rs. 48813/-.

a) According to information and explanations given to us and based on the auditProcedures performed by us the terms and conditions of the loans granted to the Party isinterest free however the same is not prejudicial to the company’s interest onaccount of the fact that the said loan is so far not material;

b) No schedule of repayment of principal and payment of interest has been stipulated.Therefore we cannot comment on the same;

c) The amount is not overdue for more than 90 days since it is repayable on Demand.

(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Section 185 and 186 of the Act in respect ofgrant of loans making investment and providing guarantees and securities as applicable.

(v) According to the information and explanations given to us the Company has notaccepted deposits during the year and does not have any unclaimed deposits as at 31stMarch 2021 and therefore the provisions of the clause 3 (v) of the Order are notapplicable to the Company.

(vi) As per the information and explanation given to us the maintenance of costrecords specified by the Central Government under sub-section (1) of section 148 of theCompanies Act 2013 is not applicable to the Company and hence not commented upon.

(vii) a) The Company has generally been regular in depositing undisputed statutory duesincluding Provident fund Employees’ State Insurance Income-tax Goods & ServiceTax Sales-tax Service Tax Customs duty. Excise duty. Value Added Tax cess and anyother material statutory dues applicable to it with the appropriate authorities.

There were no undisputed amounts payable in respect of Provident fund Employees’State Insurance Income-tax Goods & Service Tax Sales tax. Service Tax Customsduty Excise duty. Value Added Tax cess and any other material statutory dues in arrearsas at March .31 2021 for a period of more than six months from the date they becamepayable except for the following;

Name of the Statue Nature of Dues Amount (in Rs) Period to which Amount relates Due Date Date of Payment
Income Tax Act 1961 Short Payment of TDS 45957 Prior Years Various dates Unpaid till date
Income Tax Act 1961 Short deduction of TDS 29847 Prior Years Various dates Unpaid till date
Income Tax Act 1961 Interest on payments default u/s 201 62384 Prior Years V arious dates Unpaid till date
Income Tax Act 1961 Interest on deduction default u/s 201 6549 Prior Years Various dates Unpaid till date
Income Tax Act 1961 Late Filing Fee u/s 234E 8200 Prior Years Various dates Unpaid till date
Income Tax Act 1961 Interest u/s 220(2) 10266 Prior Years V arious dates Unpaid till date
Income Tax Act 1961 Outstanding demand u/s 271( l)(c) 13256/- AY 200001 23-10-2011 Unpaid till date
Income Tax Act 1961 Outstanding demand u/s 271(1 )(c) 206/ ** AY 2001 - 02 23 -10-2011 Unpaid till date
Income Tax Act 1961 Outstanding demand u/s 271(l)(c) 125484 /- *** AY 200203 23-10-2011 Awaited for Refund Order
Income Tax Act 1961 Outstanding demand u/s 154 102760/- AY 2016 - 17 Various dates Unpaid till date
Income Tax Act 1961 Outstanding demand u/s 154 1061340 /- if# AY 2017 - 18 Various dates Unpaid till date
Income Tax Act 1961 Outstanding demand u/s 1431a 15575020/- II ft ft AY 2018 - 19 Various dates Unpaid till date
Income Tax Act 1961 Outstanding demand u/s 1431a 16490590 /- #### AY 201920 Various dates Unpaid till date
Income Tax Act 1961 Interest on payment default u/s 201 Interest u/s 220(2) Short Payment of TDS Late Filing Fee u/s 234E 54386 /- AY 2018-19 TO AY 2021-22 Various dates Unpaid till date

Note:

(*) The Income Tax Department has demanded Rs. 1363256/- from the assessee hutCompany has paid Rs. 1350000/- on 17'h March 2016 vide BSR Code 0250271 Challan No.90161.The order passed by Additional CIT Rg. 6(1) Mumbai vide approval dated 30.03.2011.

(**)The Income Tax Department has demanded Rs. 275206/- from the assessee but Companyhas paid Rs. 275000/- on 10th December 2015 vide BSR Code 6910333 Challan No. 52649. Theorder passed by Additional CIT Rg. 6(1) Mumbai vide approval dated 30.03.2011. (***)

(***) The Income Tax Department has demanded Rs. 70516/- from the assessee but Companyhas paid Rs. 196000/- on 10th December 2015 vide BSR Code 6910333 Challan No. 52726. Theorder passed by Additional CIT Rg. 6(1) Mumbai vide approval dated 30.03.2011. Refundorder is awaited.

(#) The accrued interest is Rs 87773 charged by CPC.

(##) The assessee has paid Rs. 5000000/- on 22nd Jan 2020 vide BSR Code 0250271Challan No. 00444

(###) The assesses has paid Rs. 5000000/- on 22nd Jan 2020 vide BSR Code 0250271Chall an No. 000744 & Rs.2500000/- on 07h Jan 2020 vide BSR Code 0250271 Challan No.00188

(####) The assessee has paid Rs. 10000000/- on 26th Feb 2020 vide BSR Code 0250271Challan No. 000039 & Rs.2500000/- on 18Jan 2020 vide BSR Code 0250271 Challan No.00035

b) Details of dues of Income Tax Sales Tax Service Tax Excise Duty and Value AddedTax which have not been deposited as at March 31 2021 on account of dispute are givenbelow:

Name of the Statute Nature of dues under section Amount (Rs.) Period to which the amount relates Forum where dispute is pending
Income Tax 154 6740220 /- * AY 2007 - 08 CIT (A)
Act 1961 143(3) 3067474 /- ** AY 2008 -09 Income Tax Tribunal
143(3) 8777290 /- *** AY 2009-10 Income Tax Tribunal
143( 1 )(a) 3028922 /- AY 2010- 11 Application for Settlement of Dues filed under Dispute Resolution The Direct Tax Vivad se Vishwas Act 2020
147 956.656 /- AY 2011 - 12 Application for Settlement of Dues filed under Dispute Resolution The Direct Tax Vivad se Vishwas Act 2020
143(1 )(a) 973138/- AY 2012- 13 Application for Settlement of Dues filed under Dispute Resolution The Direct Tax Vivad se Vishwas Act 2020
147 2489974/- AY 2013 -14 Application for Settlement of Dues filed under Dispute Resolution The Direct Tax Vivad se Vishwas Act 2020
143(3) 455.241 /- AY 2014- 15 Application for Settlement of Dues filed under Dispute Resolution The Direct Tax Vivad se Vishwas Act 2020
143(3) 5132990/ - AY 2015- 16 CIT (A)

Note:

(*)The company had appealed against the demand in CIT (A) with reference No. CIT (A)Mumbai 48/10003/2019-20. The accrued interest stands at 6067080/- of the said demand forthe AY 2007 - 08.

(**) The company had appealed against the demand in the Income Tax Tribunal withreference No. ITA No. 2819/Mum/2018 but has lost it. The accrued interest stands at4020193 /- of the said demand for the AY 2008 - 09 as order received by ITAT.

(***) The company had appealed against the demand in the Income Tax Tribunal withreference No. ITA No. 2820/Mum/2018 but has been partially allowed.

(**#) The company had appealed against the demand in CIT (A ) with reference No. CIT(A) 48 Mumbai/10195/2017- 18. The accrued interest stands at 58329/- of the said demandfor the AY 2015-16

(viii) Based on our audit procedures and on the basis of information and explanationsgiven by the management we are of the opinion that the Company has not defaulted inrepayment of loans or borrowings from banks and debenture holders. The Company has nottaken loans from Government or any Financial Institution.

(ix) According to the information and explanations given to us the Company has notraised any money by way of initial public offer or further public offer (including debtinstruments) and term loans during the year. Accordingly paragraph 3(ix) of the Order isnot applicable to the Company and hence not commented upon.

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

(xi) According to the information and explanations given by the management themanagerial remuneration has been paid/provided in accordance with the requisite approvalsmandated by the provisions of section 197 read with Schedule V to the Companies Act 2013.

(xii) In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company. Consequently provisions of clause 3(xii) of the Order arenot applicable to the Company and hence not commented upon.

(xiii) In our opinion and according to the information and explanations given to ustransactions with the related parties are in compliance with sections 177 and 188 ofCompanies Act 2013 where applicable and the details of related party transactions havebeen disclosed in the Financial Statements as required by the applicable accountingstandards.

(xiv) According to the information and explanations given to us the Company has notmade any preferential allotment or private placement of shares or fully or partlyconvertible debentures during the year under review and hence reporting under clause 3(xiv) are not applicable to the Company and hence not commented upon.

(xv) According to the information and explanations given to us during the year theCompany has not entered into any non-cash transactions with its directors or personsconnected with him and hence provisions of section 192 of the Companies Act 2013 are notapplicable to the Company.

(xvi) According to the information and explanations given to us the Company is notrequired to be registered under section 45-1A of the Reserve Bank of India Act 1934.

/orMotilal & Associates LLP

Chartered Accountants

ICAI FRN: 106584W

(formerly Known as Motilal & Associates)

M. H. Jain

Partner

Membership No. 036811

Place : Mumbai

Date : 29/06/2021

ANNEXURE"B" TO THE INDEPENDENT AUDITOR’S REPORT

(Referred to in paragraph 2(f) under Report on Other Legal and Regulatory Requirementssection of our report to the members of AAREY DRUGS & PHARMACEUTICALS LTD of evendate)

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 AARLY DRUGS& PHARMACEUTICALS LTD ("the Company") as of March 31. 2021 in conjunctionwith our audit of the standalone financial statements of the Company for the year ended onthat 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 itsbusinessincluding 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.

AU DITOR’SRESPONSIBILITY

Our responsibility is to express an opinion onthe Company's internal financial controlsover financial reporting based on our audit. We conducted our audit in accordance withtheGuidance Note on Audit of Internal Financial Controls Over Financial Reporting (the"Guidance Note") issued by the Institute of Chartered Accountants of India andthe Standards on Auditing prescribed under section 143(10) of the Companies Act 2013 tothe extent applicable to an audit of internal financial controls. Those Standards and theGuidance Note require that we comply with ethical requirements and plan and perform theaudit toobtain reasonable assurance about whether adequate internal financial controlsover financial reporting was established and maintained and if such controls operatedeffectively 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 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 providereasonable 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 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 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 explanation 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 2021 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 FinancialControls Over Financial Reporting issued by the Institute of Chartered Accountants ofIndia.

/wMotilal & Associates LLP

Chartered Accountants

ICAI FRN: 106584W

(formerly Known as Motilal & Associates)

M. H. Jain

Partner

Membership No. 036811

Place : Mumbai Date : 29/06/2021

.