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Adhunik Industries Ltd.

BSE: 538365 Sector: Metals & Mining
NSE: ADHUNIKIND ISIN Code: INE452L01012
BSE 00:00 | 27 Feb 36.15 0.30
(0.84%)
OPEN

34.50

HIGH

37.00

LOW

34.25

NSE 00:00 | 27 Feb 35.65 -0.15
(-0.42%)
OPEN

34.90

HIGH

36.40

LOW

34.20

OPEN 34.50
PREVIOUS CLOSE 35.85
VOLUME 428
52-Week high 127.00
52-Week low 34.20
P/E 50.92
Mkt Cap.(Rs cr) 169
Buy Price 35.55
Buy Qty 12.00
Sell Price 36.15
Sell Qty 12.00
OPEN 34.50
CLOSE 35.85
VOLUME 428
52-Week high 127.00
52-Week low 34.20
P/E 50.92
Mkt Cap.(Rs cr) 169
Buy Price 35.55
Buy Qty 12.00
Sell Price 36.15
Sell Qty 12.00

Adhunik Industries Ltd. (ADHUNIKIND) - Auditors Report

Company auditors report

To the Members of

Adhunik Industries Limited

Report on the Ind AS Financial Statements

We have audited the accompanying Ind AS financial statements of Adhunik IndustriesLimited ("the company") which comprise the Balance Sheet as at 31 March 2018the Statement of Profit and Loss(including Other Comprehensive Income) the Cash FlowStatement and the Statement of changes in Equity for the year then ended and a summary ofsignificant accounting policies and other explanatory notes for the year ended on thatdate (hereinafter referred to as " Ind AS Financial Statements").

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 Ind AS financial statements that give a true and fair view of the financialposition financial performance including other comprehensive income cash flows andchanges in equity of the Company in accordance with accounting principles generallyaccepted in India including the Indian Accounting Standards (Ind AS) specified undersection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014 and theCompanies (Indian Accounting Standards) Rules 2015 as amended.

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 the design implementation and maintenance of adequateinternal financial control that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe Ind AS 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 Ind AS financial statements basedon 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 of the Ind AS financial statements in accordance with theStandards on Auditing issued by the Institute of Chartered Accountants of India asspecified under Section 143(10) of the Act. Those Standards require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether the 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 material misstatement of the Ind ASfinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial control relevant to the Company's preparation of theInd AS financial statements that give a true and fair view in order to design auditprocedures that are appropriate in the circumstances. An audit also includes evaluatingthe appropriateness of accounting policies used and the reasonableness of the accountingestimates made by the Company's Directors as well as evaluating the overall presentationof the Ind AS financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Ind AS financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the Ind AS financial statements give the information required by the Act inthe 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 2018 its profit including other comprehensive income its cash flows and the changesin equity 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') issuedby the Central Government of India in terms of sub-section (11) of section 143 of theCompanies Act 2013 we give in the Annexure ‘A' statement of the mattersspecified in paragraph 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 appears from our examination of those books [and proper accountsadequate for the purposes of our audit have been received from the branches not visited byus ]

c) The reports on the accounts of the branch offices of the Company audited underSection 143(8) of the Act by branch auditors have been sent to us and have been properlydealt by us in preparing this report.

d) The Balance Sheet the Statement of Profit and Loss including the Statement of OtherComprehensive Income Cash Flow Statement and Statement of Changes in Equity dealt with bythis Report are in agreement with the books of account and the accounts received from thebranches not visited by us.

e) In our opinion the aforesaid Ind AS financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014 Companies (Indian Accounting Standards) Rules 2015 as amended;

f) On the basis of written representations received from the directors as on 31 March2018 taken on record by the Board of Directors none of the directors is disqualified ason 31 March 2018 from being appointed as a director in terms of Section 164(2) of theAct.

g) with respect to the adequacy of internal financial controls over financial reportingof the company and the operating effectiveness of such controls please refer to ourseparate report in Annexure ‘B' and

h) 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 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 as referred to in Note 28 to the financialstatements.

ii. the Company does not have any long-term contracts including derivatives contractsfor which there are any material foreseeable losses;

iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company.

FOR SUDHIR KUMAR JAIN & ASSOCIATES
(Chartered Accountants)
Firm Regn No: 318016E
Sd/-
CA. S Jain
Place: Kolkata (Partner)
Date: 28th May 2018 Membership No. 053537

Annexure ‘A' to the Independent Auditors Report

The Annexure referred to in our report to the members of Adhunik Industries Limited(‘The Company') for the year ended March' 2018.

On the basis of such checks as we considered appropriate and according to theinformation and explanation given to us during the course of our audit we report that:

i. (a) the company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets;

(b) The company has a regular programme of physical verification of its fixed asset bywhich fixed assets are verified in a phased manner over a period of three years. Inaccordance with this programme certain fixed assets were verified during the year and nomaterial discrepancies were noticed on such verification. In our opinion this periodicityof physical verification is reasonable having regard to size of the company and the natureof its assets.

(c) According to the information and explanation given to us and on the basis of ourexamination of the records of the company the title deed of immovable property held inthe name of the company.

ii. The company has a regular programme of physical verification of its inventory bywhich inventories are physically verified in regular intervals by the management.

iii. According to information and explanation given to us and on the basis of ourexamination of the books of accounts the company has not granted any loans secured orunsecured to companies firms or other parties covered in the register maintained undersection 189 of the Companies Act 2013. Consequently the provisions of paragraph 3 ofclause iii (a) and iii (b) of the order are not applicable to the company.

iv. According to information and explanation given to us and on the basis ofexamination of the books of accounts the company has complied provision of section 185and 186 of the Companies Act 2013 in respect of loans investments guarantee andsecurity.

v. According to the information and explanation given to us the company has notaccepted any deposits and accordingly the provisions of paragraph 3 of clause v of theOrder are not applicable to the Company.

vi. As per information & explanation given by the management maintenance of costrecords has been specified by the Central Government under sub-section (1) of section 148of the Companies Act 2013 and we are of the opinion that prima facie such prescribedaccounts and records have been made and maintained.

vii. (a) According to the records the company has generally been regular in depositingundisputed statutory dues including provident fund employees' state insuranceincome-tax service tax custom duty excise duty value added tax cess and any otherstatutory dues applicable to the Company with appropriate authorities during the year.

According to the information and explanations given to us no undisputed amountspayable in respect of provident fund employees' state insurance income-tax service taxcustom duty excise duty value added tax cess and any other statutory dues were inarrears as at 31st March 2018 for a period of more than six month from thedate they became payable.

(b) According to the information and explanations given to us there is no materialdues of income tax or service tax or custom duty or excise duty or value added tax or cesswhich have not been deposited on account of any dispute;

viii. Based on our audit procedures and on the information and explanations given bythe management we are of the opinion that the company has not defaulted in repayment ofdues to a financial institution or bank.

ix. The company has not raised any moneys by way of initial public offer or furtherpublic offer (including debt instruments) and term loans were applied for the purposes forwhich those are raised;

x. Based on our audit procedures and on the information and explanations given by themanagement we are of the opinion that there is no any fraud by the company and any fraudon the company by its officers or employees has been noticed or reported during the year.

xi. According to the information and explanations given to us managerial remunerationhas been paid/provided in accordance with the requisite approvals mandated by theprovisions of section 197 read with schedule V to the Companies Act.

xii. In our opinion and according to the information and explanation given to us thecompany is not a nidhi company. Therefore the provisions of paragraph 3 of clause xii ofthe order is not applicable to the company.

xiii. Based on our audit procedures and on the information and explanations given tous we report that transactions with the related parties are in compliance with Section177 and 188 of the Companies Act 2013 where applicable and the details have beendisclosed in the Ind AS financial statements etc. as required by the applicableaccounting standards.

xiv. According to the information and explanation given to us the company has not madeany preferential allotment or private placement of shares or fully or partly convertibledebentures during the financial year covered by our audit. Consequently the provisions ofparagraph 3 of clause xiv of the order is not applicable to the company.

xv. Based on our audit procedures and on the information and explanations given to usthe company has not entered into any noncash transactions with directors or personsconnected with him. Consequently the provisions of paragraph 3 of clause xv of the orderis not applicable to the company.

xvi. Based on our audit procedures and on the information and explanations given to usthe company is not required to registered under section 45-IA of the Reserve Bank of IndiaAct 1934.

FOR SUDHIR KUMAR JAIN & ASSOCIATES
(Chartered Accountants)
Firm Regn No: 318016E
Sd/-
CA. S Jain
Place: Kolkata (Partner)
Date: 28th May 2018 Membership No. 053537

Annexure ‘B' to the Independent Auditor's Report

Report on the Internal Financial Controls over financial reporting under Clause (i) ofsub-section 3 of Section 143 of the Companies Act 2013 (‘the Act').

We have audited the internal financial controls over financial reporting of AdhunikIndustries Limited (‘the Company') as of 31 March 2018 in conjunction with our auditof the Ind AS 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 (‘ICAI'). Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to the Company's policies the safeguardingof its assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required 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 deemed to beprescribed under Section 143(10) of the Companies Act 2013 to the extent applicable toan audit of internal financial controls both applicable to an audit of Internal FinancialControls and both issued by the Institute of Chartered Accountants of India. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting were 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 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 auditors' 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 of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the Company;

(2) 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 the Management and directors of the Company; and

(3) 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 31 March 2018 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 by the Institute of CharteredAccountants of India.

FOR SUDHIR KUMAR JAIN & ASSOCIATES
(Chartered Accountants)
Firm Regn No: 318016E
Sd/-
CA. S Jain
Place: Kolkata (Partner)
Date: 28th May 2018 Membership No. 053537