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Ador Multi Products Ltd.

BSE: 523120 Sector: Consumer
NSE: N.A. ISIN Code: INE628D01014
BSE 00:00 | 18 Feb 31.60 0
(0.00%)
OPEN

31.50

HIGH

33.05

LOW

31.50

NSE 05:30 | 01 Jan Ador Multi Products Ltd
OPEN 31.50
PREVIOUS CLOSE 31.60
VOLUME 55
52-Week high 52.60
52-Week low 26.60
P/E
Mkt Cap.(Rs cr) 12
Buy Price 31.60
Buy Qty 10.00
Sell Price 31.60
Sell Qty 40.00
OPEN 31.50
CLOSE 31.60
VOLUME 55
52-Week high 52.60
52-Week low 26.60
P/E
Mkt Cap.(Rs cr) 12
Buy Price 31.60
Buy Qty 10.00
Sell Price 31.60
Sell Qty 40.00

Ador Multi Products Ltd. (ADORMULTIPROD) - Auditors Report

Company auditors report

To the Members of Ador Multi Products Limited

Report on the Audit of the Standalone Ind AS Financial Statements

Opinion

We have audited the standalone Ind AS Financial statements of Ador Multi ProductsLimited ("the Company") which comprise the balance sheet as at 31stMarch 2019 and the statement of Profit and Loss statement of changes in equity andstatement of cash flows for the year ended and notes to the Ind AS Financial statementsincluding a summary of significant accounting policies and other explanatory informationReportsof Company's branch located at Puducherry for the year ended on that date auditedby the branch auditors.

In our opinion and to the best of our information and according to the explanationsgiven to usthe aforesaid standalone Ind AS Financial statements give the informationrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India(IND AS)

a. in the case of the Balance Sheet of the state of affairs of the Branch as at March31 2019; and

b. in the case of the Statement of Profit and Loss of the LOSS for the yearended on that date; and

c. Changes in equity; and

d. Cash flows for the year ended on that date.

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 of the IndAS 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 the Ind ASFinancial 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 thesame were informed to those charged with Governance and in forming our opinion thereonand we do not provide a separate opinion on these matters. The Key Audit matters that cameinto light during our Audit are as follows:

a. Non-Current Investment :

The company has made equity and debt investment in a company named "1908 E-Ventures Pvt Ltd" (herein after referred to as Associate Company). The AssociateCompany has been incurring losses since inception and has incurred losses during thecurrent financial year. However the impairment in the value of the investment has notbeen determined and given effect to in the Standalone Financial Statements. Refer Note 2.2to the Standalone Financial Statements.

b. Employee Benefit :

As per the provisions of Payment of Gratuity Act 1972 every employer liable for thepayment of gratuity should get his liability covered by an insurance. Otherwise theemployer can maintain an approved fund (herein referred as "Plan Asset") for thepurpose of payment gratuity. However it is observed that the company has made provisionsin the financial statement for payment of gratuity based on an actuarial valuationreport but has not get it covered the same by insurance or has maintained an approvedfund. Refer Note 2.13 to the Standalone Financial Statements.

Management's Responsibility for the Standalone Ind As 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 standalone Ind As Financial statements that give a true and fair view of thefinancial position financial performance changes in equity and cash flows of the Companyin accordance with the accounting principles generally accepted in India including theINDIAN Accounting Standards specified under section 133 of the Act. This responsibilityalso includes

a. Maintenance of adequate accounting records in accordance with the provisions of theAct for safeguarding of the assets of the Company and

b. For preventing and detecting frauds and other irregularities; and

c. Selection and application of appropriate accounting policies; and

d. Making judgments and estimates that are reasonable and prudent; and

e. Design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the Ind AS Financial statementthat give a true and fair view and are free from material misstatement whether due tofraud or error; and

f. In preparing the Ind AS Financial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablematters relatedto going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the Company or to cease operations or has norealistic alternative but to do so.

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

Auditor's Responsibilities for the Audit of Standalone Ind AS Financial statements

Our objectives are to obtain reasonable assurance about whether the Ind AS 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 Ind As Financial statements

Other Matter

We did not audit the Ind AS Financial statements of one branch included in theStandaloneInd As Financial statements of the Company whose Ind AS Financialstatements/financial information reflect total assets of Rs. 40734497/- as at 31st March2019 and the total loss of Rs. 7676143/- for the year ended on that date as consideredin the standalone Ind As Financial statements/information of these branches have beenaudited by the branch auditors whose reports have been furnished to us and our opinion inso far as it relates to the amounts and disclosures included in respect of branches isbased solely on the report of such branch auditors. Our opinion is not modified in respectof these matters.

Report on Other Legal and Regulatory Requirements

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 it in the Annexure A statement on the matters specifiedin paragraphs 3 and 4 of the Order to the extent applicable.

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 and proper returnsadequate 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 with by us in preparing this report.

d. The Balance Sheet the Statement of Profit and Loss Statement of Changes in Equityand the Cash Flow Statement dealt with by this Report are in agreement with the books ofaccount and with the returns received from the branches not visited by us.

e. In our opinion the aforesaid standalone Ind AS Financial statements comply with theIndian Accounting Standards specified under Section 133 of the Act read with Rule 7 ofthe Companies (Accounts) Rules 2014.

f. On the basis of the written representations received from the directors as on 31stMarch 2019 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2019 from being appointed as a director in terms of Section164 (2) of the Act.

g. 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".

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 the best of our information and according to 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 derivative contracts forwhich there were 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 Srinivas &Subbalakshmi
Chartered Accountants
(Firm's Registration No.011350S)
J.H. Madan Srinivas
Partner
Membership No.021643
Place: Mumbai
Date: 17th May 2019

"ANNEXURE A"

TO INDEPENDENT AUDITOR'S REPORT

As required by the Companies (Auditor's Report) Order 2016 issued by the CentralGovernment of India in terms of subsection (11) of section 143 of the Companies Act 2013of India (the ‘Act') and on the basis of such checks of the books and records of theCompany as we considered appropriate and on the basis of information and explanationsgiven to us during the course of our audit we report that in our opinion:

i. In respect of Company's fixed assets:

(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets on the basis of available information.

(b) According to the information and explanations given to us the fixed assets havebeen physically verified by the management during the year in a phased periodical mannerwhich in our opinion is reasonable having regard to the size of the Company and nature ofthe assets. No material discrepancies were noticed on such physical verification.

(c) The title deeds of immovable properties are held in the Name of the Company.

ii. As explained to us the stocks of inventory have been physically verified by themanagement at regular intervals during the year. In our opinion the frequency of suchverification is reasonable having regard to the size of the Company and the nature of itsbusiness.

The Company is maintaining proper records of inventory as explained to us there wereno materials discrepancies noticed on physical verification of the inventory having regardto the size of the operations of the Company.

iii. According to the information and explanations given to us the Company has notgranted any loans secured or unsecured to companies firms and limited liabilitypartnerships or other parties as listed in the register maintained under Section 189 ofthe Companies Act 2013.

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 Companies Act2013in respect of grant of loans making investments and providing guarantees and securitieswherever 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 deposit as at March 312019 and therefore the provisions of the clause 3 (v) of the Order are not applicable tothe Company.

vi. The Central Government has not prescribed maintenance of Cost Records under Section148(1) of the Companies Act 2013 in respect of manufacturing activities of the Company.

vii. According to the information and explanation given to us

(a) The Company has generally been regular in depositing undisputed statutory duesincluding provident fund employee's state insurance income-tax Goods & service taxduty of customs cess any other statutory dues to the appropriate authorities.

(b) There were no undisputed amounts payable in respect of Provident Fund Employees'State Insurance Income Tax Goods and Service Tax Customs Duty Cess and other materialstatutory dues in arrears as at March 31 2019 for a period of more than six months fromthe date they became payable. However sales tax and interest amounting to Rs.2293335/-is required to be paid in the event of C forms not being collected from the customers andsubmitted to the appropriate authority. The provision for the above has been made in thestandalone financial statement.

(c) Details of dues of Income Tax Sales Tax Service Tax Excise Duty and Value AddedTax which have not been deposited as at March 31 2019 on account of dispute are givenbelow:

viii. The Company has taken working Capital loan from banks.The Company has notdefaulted in repayment of working capital facility from banks. The Company has not takenany other loans or borrowings from financial institutions government or has not issuedany debentures.

xi. The Company has raised Money/Capital by way of issue of Equity on Preferentialbasis and reason of such issue of equity is to meet the working capital requirments of thecompany the funds raised have been utilised for the purpose which it had been raised.

x. To the best of our knowledge and according to the information and explanations givento us no fraud by the Company or any fraud on the Company by its officers or employeeshas been noticed or reported during the year. Hence reporting on the same does not arise.

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 mandated by the provisions of section 197 read with Schedule V to the Act.

xii. The Company is not a Nidhi Company and hence reporting under clause 3 (xii) of theOrder is not applicable to the Company.

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

xiv. The Company has made preferential allotment of shares during the year underreview. The requirement of section 42 of the Companies Act 2013 have been complied withand the amount raised have been used for the purposes for which the funds were raised.

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 or persons connected to its directors and hence provisions of section 192 of theCompanies Act 2013 are not applicable to the Company. xvi.

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

For Srinivas & Subbalakshmi
Chartered Accountants
(Firm's Registration No.011350S)
J.H. Madan Srinivas
Partner
Membership No.021643
Place: Mumbai
Date: 17th May 2019

"ANNEXURE B"

TO THE INDEPENDENT AUDITOR'S REPORT

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013

We have audited the internal financial controls over financial reporting of M/s. ADORMULTIPRODUCTS LIMITED as at 31 March 2019 in conjunction with our audit of theStandalone Ind AS Financial statements 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 responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to company policies the safeguarding of its assets the preventionand detection of frauds and errors the accuracy and completeness of the accountingrecords and the timely preparation of reliable financial information as required underthe Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's Internal Financial Controlover financial reporting based on our audit. We conducted our audit in accordance with theGuidance Note and the Standards on Auditing (‘the Standards') issued by the ICAI anddeemed to be prescribed under section 143(10) of the Act to the extent applicable to anaudit of internal financial controls both issued by the ICAI. Those Standards and theGuidance Note require that we comply with ethical requirements and plan and perform theaudit to obtain 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 Ind AS 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 Ind AS Financial statements for external purposes in accordance withgenerally accepted accounting principles. A Company's internal financial control overfinancial reporting 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 Ind AS Financial statements in accordance with generally acceptedaccounting principles and that receipts and expenditures of the Company are being madeonly in accordance with authorizations of 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 Ind AS 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 2019 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 Srinivas & Subbalakshmi
Chartered Accountants
(Firm's Registration No.011350S)
J.H. Madan Srinivas
Partner
Membership No.021643
Place: Mumbai
Date: 17th May 2019