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Alpine Housing Development Corporation Ltd.

BSE: 526519 Sector: Infrastructure
NSE: ALPINEHOU ISIN Code: INE840D01015
BSE 00:00 | 09 Dec 88.50 1.10
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NSE 05:30 | 01 Jan Alpine Housing Development Corporation Ltd
OPEN 85.10
PREVIOUS CLOSE 87.40
VOLUME 25745
52-Week high 95.85
52-Week low 19.65
P/E 130.15
Mkt Cap.(Rs cr) 153
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 85.10
CLOSE 87.40
VOLUME 25745
52-Week high 95.85
52-Week low 19.65
P/E 130.15
Mkt Cap.(Rs cr) 153
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Alpine Housing Development Corporation Ltd. (ALPINEHOU) - Auditors Report

Company auditors report

TO THE MEMBERS OF ALPINE HOUSING DEVELOPMENT CORPORATION LIMITED

Report on the Audit of Financial Statements:

We have audited the accompanying financial statements of ALPINE HOUSINGDEVELOPMENT CORPORATION LIMITED ( the Company ) which comprise the Balance Sheet as atMarch 31 2022 the Statement of Profit and Loss (including Other Comprehensive Income)the Statement of Changes in Equity and the Statement of Cash Flows for the year ended onthat date and a summary of significant accounting policies and other explanatoryinformation (hereinafter referred to as the financial statements ).

In our opinion and to the best of our information and according to theexplanations given to us the aforesaid financial statements give the information requiredby the Companies Act 2013 ( the Act ) in the manner so required and give a true and fairview in conformity with the Indian Accounting Standards prescribed under Section 133 ofthe Act read with the Companies (Indian Accounting Standards) Rules 2015 as amended (Ind AS ) and other accounting principles generally accepted in India of the state ofaffairs of the Company as at March 31 2022 and its profit total comprehensive incomechanges in equity and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit of the financial statements in accordance withthe Standards on Auditing ( SA s) specified under Section 143(10) of the Act. Ourresponsibilities under those Standards are further described in the Auditor sResponsibilities for the Audit of the Financial Statements section of our report. We areindependent of the Company in accordance with the Code of Ethics issued by the Instituteof Chartered Accountants of India ( ICAI ) together with the ethical requirements that arerelevant to our audit of the financial statements under the provisions of the Act and theRules made thereunder and we have fulfilled our other ethical responsibilities inaccordance with these requirements and the ICAI s Code of Ethics. We believe that theaudit evidence obtained by us is sufficient and appropriate to provide a basis for ouraudit opinion on the financial statements.

Key Audit Matters

Key audit matters are those matters that in our professional judgmentwere of most significance in our audit of the financial statements of the current period.These matters were addressed in the context of our audit of the financial statements as awhole and in forming our opinion thereon and we do not provide a separate opinion onthese matters. We have determined the matters described below to be the key audit mattersto be communicated in our report.

A. Measurement of Revenue on contractual projects recorded over timewhich is dependent on the estimates of the costs to complete– Refer note 2.2 (c) -(b) & (c)

Revenue recognition from the contractual projects represents asignificant portion of the total revenues of the company. Revenue recognition from thecontractual projects involves significant estimates related to measurement of costs tocomplete the projects. Revenue from projects is recorded based on company s assessment ofthe work completed costs incurred and accrued and the estimate of the balance costs tocomplete.

Due to the inherent nature of the projects and significant judgementinvolved in the estimate of costs to complete there is risk of overstatement orunderstatement of revenue hence this is considered as a key audit matter.

Auditor?s Response

Our audit procedures on Revenue recognition included the following:

? Evaluation of Company s accounting policies for revenuerecognition on contractual projects are in line with the applicable accounting standardsand their application to customer contracts including consistent application;

? For samples selected during the year verifying theunderlying documents contracts with customers invoices raised and collections from thecustomers;

? Comparing the costs to complete workings with the budgetedcosts and analysis of the variances if any;

? Sighting approvals for changes in budgeted costs with therationale for the changes; and

? Assessment of costs incurred on projects which is used bythe company to determine the percentage of completion.

B. Measurement of Revenue recorded from Sale of products – refernote 2.2 (c) - (e)

Revenue is recognised upon transfer of control of products manufacturedby the company to customers for an amount which reflects the consideration the companyexpects to receive in exchange for those products. The point of revenue recognition isnormally upon transfer of control to the customer on delivery of product.

Considering the competitive business environment there is a risk ofrevenue being overstated or understated in order to present consistent financial results.Since revenue recognition has direct impact on the company s profitability there is apossibility of the company being biased hence this is considered as a key audit matter.

Auditor?s Response

Our audit procedures on Revenue recognition included the following:

? Evaluation of company s accounting policies for revenuerecognition on sale of products manufactured are in line with the applicable accountingstandards;

? Evaluation of the design and implementation and testing theoperating effectiveness of key controls around approvals of sale order received invoiceraised intimation of delivery of product and controls over collection from customers;

? For samples selected verifying the underlying documents Saleorder invoice raised good received note authorised by the customer and the collections;and

? Cut-off procedures for recording of revenue in the relevantreporting period.

C. Assessment of Inventory valuation – refer note 2.2(e)

Inventories on construction of residential flats comprising ongoing andcompleted projects initiated but unlaunched projects and land stock represents asignificant portion of the company s total assets. A project comprises multiple units theconstruction of which is carried out over a number of years. The recognition of profit forsale of units is therefore dependent on the estimate of future selling prices andconstruction costs.

Forecasts of future sales are dependent on market conditions which canbe difficult to predict and be influenced by political and economic factors.

Considering the significance of the amount of carrying value ofinventories and the involvement of significant estimation this considered as a key auditmatter.

Auditor?s Response

Our audit procedures to assess the Inventory valuation include thefollowing:

? Enquiry with the company s personnel to understand the basisof computation and justification for the estimated recoverable amount of the unsold flats;

? Assessing the company s valuation methodology for the keyestimates data inputs and assumptions adopted in the valuation;

? While analyzing the expected average selling price we haveperformed a sensitivity analysis on the selling price and compared this to the budgetedcost; and

? For our samples obtained the fair valuation reports forassessing the valuation methodology key estimates and assumptions adopted in thevaluation.

Information Other than the Financial Statements and Auditor?sReport Thereon

The Company s Board of Directors is responsible for the otherinformation. The other information comprises the information included in the ManagementDiscussion and Analysis Board s Report including Annexures to Board s Report BusinessResponsibility Report Corporate Governance Report and Shareholder information but doesnot include the financial statements and our auditor s report thereon.

Our opinion on the financial statements does not cover the otherinformation and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements ourresponsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the financial statements or ourknowledge obtained during the course of our audit or otherwise appears to be materiallymisstated.

If based on the work we have performed we conclude that there is amaterial misstatement of this other information we are required to report that fact. Wehave nothing to report in this regard.

Managements Responsibility for the Financial Statements

The Company s Board of Directors is responsible for the matters statedin section 134(5) of the Act with respect to the preparation of these financial statementsthat give a true and fair view of the financial position financial performance includingother comprehensive income changes in equity and cash flows of the Company in accordancewith the Ind AS and other accounting principles generally accepted in India. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding the assets of the Company and for preventingand detecting frauds and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; anddesign implementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.

In preparing the financial statements management is responsible forassessing the Company s ability to continue as a going concern disclosing as applicablematters related to 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. The Board of Directors is also responsible foroverseeing the Company s financial reporting process.

Auditor?s Responsibilities for the Audit of the FinancialStatements

Our objectives are to obtain reasonable assurance about whether thefinancial statements as a whole are free from material misstatement whether due to fraudor error and to issue an auditor s report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material misstatement when it exists. Misstatements canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the economic decisions of userstaken on the basis of these financial statements.

As part of an audit in accordance with SAs we exercise professionaljudgment and maintain professional scepticism throughout the audit. We also:

? Identify and assess the risks of material misstatement of thefinancial statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.

? Obtain an understanding of internal financial controlrelevant to the audit in order to design audit procedures that are appropriate in thecircumstances. Under section 143(3)(i) of the Act we are also responsible for expressingour opinion on whether the Company has adequate internal financial controls system inplace and the operating effectiveness of such controls.

? Evaluate the appropriateness of accounting policies used andthe reasonableness of accounting estimates and related disclosures made by the management.

? Conclude on the appropriateness of management s use of thegoing concern basis of accounting and based on the audit evidence obtained whether amaterial uncertainty exists related to events or conditions that may cast significantdoubt on the Company s ability to continue as a going concern. If we conclude that amaterial uncertainty exists we are required to draw attention in our auditor s report tothe related disclosures in the financial statements or if such disclosures areinadequate to modify our opinion. Our conclusions are based on the audit evidenceobtained up to the date of our auditor s report. However future events or conditions maycause the Company to cease to continue as a going concern.

? Evaluate the overall presentation structure and content ofthe financial statements including the disclosures and whether the financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

Materiality is the magnitude of misstatements in the financialstatements that individually or in aggregate makes it probable that the economicdecisions of a reasonably knowledgeable user of the financial statements may beinfluenced. We consider quantitative materiality and qualitative factors in (i) planningthe scope of our audit work and in evaluating the results of our work; and (ii) toevaluate the effect of any identified misstatements in the financial statements.

We communicate with those charged with governance regarding amongother matters the planned scope and timing of the audit and significant audit findingsincluding any significant deficiencies in internal control that we identify during ouraudit. We also provide those charged with governance with a statement that we havecomplied with relevant ethical requirements regarding independence and to communicatewith them all relationships and other matters that may reasonably be thought to bear onour independence and where applicable related safeguards.

From the matters communicated with those charged with governance wedetermine those matters that were of most significance in the audit of the financialstatements of the current period and are therefore the key audit matters. We describethese matters in our auditor s report unless law or regulation precludes public disclosureabout the matter or when in extremely rare circumstances we determine that a mattershould not be communicated in our report because the adverse consequences of doing sowould reasonably be expected to outweigh the public interest benefits of suchcommunication.

Report on Other Legal and Regulatory Requirements

1. As required by Section 143(3) of the Act based on our auditwe report that:

a) We have sought and obtained all the information and explanationswhich to the best of our knowledge and belief were necessary for the purposes of ouraudit.

b) In our opinion proper books of account as required by law have beenkept by the Company so far as it appears from our examination of those books.

c) The Balance Sheet the Statement of Profit and Loss including OtherComprehensive Income Statement of Changes in Equity and the Statement of Cash Flows dealtwith by this Report are in agreement with the books of account.

d) In our opinion the aforesaid financial statements comply with theInd AS specified under Section 133 of the Act.

e) On the basis of the written representations received from thedirectors as on March 31 2022 taken on record by the Board of Directors none of thedirectors is disqualified as on March 31 2022 from being appointed as a director in termsof Section 164(2) of the Act.

f) With respect to the adequacy of the internal financial controls overfinancial reporting of the Company and the operating effectiveness of such controls referto our separate Report in Annexure A . Our report expresses an unmodified opinion on theadequacy and operating effectiveness of the Company s internal financial controls overfinancial reporting.

g) With respect to the other matters to be included in the Auditor sReport in accordance with the requirements of section 197(16) of the Act as amended: Inour opinion and to the best of our information and according to the explanations given tous the remuneration paid by the Company to its directors during the year is in accordancewith the provisions of section 197 of the Act.

h) With respect to the other matters to be included in the Auditor sReport in accordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 asamended in our opinion and to the best of our information and according to theexplanations given to us:

i. The Company has disclosed the impact of pending litigations on itsfinancial position in its financial statements.

ii. The Company has made provision as required under the applicablelaw or accounting standards for material foreseeable losses if any on long-termcontracts including derivative contracts.

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

iv. (a) The Management has represented that to the best of itsknowledge and belief no funds (which are material either individually or in theaggregate) have been advanced or loaned or invested (either from borrowed funds or sharepremium or any other sources or kind of funds) by the Company to or in any other person orentity including foreign entity ( Intermediaries ) with the understanding whetherrecorded in writing or otherwise that the Intermediary shall whether directly orindirectly lend or invest in other persons or entities identified in any manner whatsoeverby or on behalf of the Company ( Ultimate Beneficiaries ) or provide any guaranteesecurity or the like on behalf of the Ultimate Beneficiaries;

(b) The Management has represented that to the best of its knowledgeand belief no funds (which are material either individually or in the aggregate) havebeen received by the Company from any person or entity including foreign entity ( FundingParties ) with the understanding whether recorded in writing or otherwise that theCompany shall whether directly or indirectly lend or invest in other persons orentities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries ) or provide any guarantee security or the like on behalf of theUltimate Beneficiaries;

(c) Based on the audit procedures that have been considered reasonableand appropriate in the circumstances nothing has come to our notice that has caused us tobelieve that the representations under sub-clause (i) and (ii) of Rule 11(e) as providedunder (a) and (b) above contain any material misstatement.

v. The company has not declared or paid any divided during the year.Accordingly reporting under Rule 11(f) of the Companies (Audit and Auditors) Rules 2014is not applicable.

2. As required by the Companies (Auditor s Report) Order 2020(the Order ) issued by the Central Government in terms of Section 143(11) of the Act wegive in Annexure B a statement on the matters specified in paragraphs 3 and 4 of theOrder.

For R V K S And Associates
Chartered Accountants
Firm Registration No. 008572S
R Mohan
Partner
Membership No.203911
UDIN: 22203911AJUSKJ4146
Place: Bengaluru
Date: May 28 2022

ANNEXURE "A" to the Independent Auditor?s Report

(Referred to in paragraph 1(f) under Report on Other Legal andRegulatory requirements of our report to the members of Alpine Housing DevelopmentCorporation Limited of even date) Report on the Internal Financial Controls over FinancialReporting under Clause (i) of Sub Section 3 of Section 143 of the Companies Act 2013("the Act")

We have audited the internal financial controls over financialreporting of ALPINE HOUSING DEVELOPMENT CORPORATION LIMITED (the Company ) as of March 312022 in conjunction with our audit of the Ind AS financial statements of the Company forthe year ended on that date.

Management?s Responsibility for Internal Financial Controls

The Management of the Company is responsible for establishing andmaintaining internal financial controls based on the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls OverFinancial Reporting issued by the Institute of Chartered Accountants of India (the ICAI ).These responsibilities include the design implementation and maintenance of adequateinternal financial controls that were operating effectively for ensuring the orderly andefficient conduct of its business including adherence to company s policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Act.

Auditor?s Responsibility

Our responsibility is to express an opinion on the Company s internalfinancial controls over financial reporting of the Company based on our audit. Weconducted our audit in accordance with the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting (the Guidance Note ) issued by the ICAI and theStandards on Auditing prescribed under Section 143(10) of the Companies Act 2013 to theextent 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 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 aboutthe adequacy of the internal financial 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 exists and testing and evaluatingthe design and operating effectiveness of internal control based on the assessed risk. Theprocedures selected depend on the auditor s judgment including the assessment of therisks of material misstatement of the financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the Company s internal financialcontrols system over financial reporting.

Meaning of Internal Financial Controls over Financial Reporting

A company s internal financial control over financial reporting is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of financial statements for external purposes in accordancewith generally accepted accounting principles. A company s internal financial control overfinancial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of financialstatements in accordance with generally accepted accounting principles and that receiptsand expenditures 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 FinancialReporting

Because of the inherent limitations of internal financial controls overfinancial reporting including the possibility of collusion or improper managementoverride of controls material misstatements due to error or fraud may occur and not bedetected. Also projections of any evaluation of the internal financial controls overfinancial reporting to future periods are subject to the risk that the internal financialcontrol over financial reporting may become inadequate because of changes in conditionsor that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion to the best of our information and according to theexplanations given to us 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 March 31 2022 based on thecriteria for internal financial control over financial reporting established by theCompany considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls Over Financial Reporting issued by the ICAI.

For R V K S And Associates
Chartered Accountants
Firm Registration No. 008572S
R Mohan
Partner
Membership No.203911
UDIN: 22203911AJUSKJ4146
Place: Bengaluru
Date: May 28 2022

Annexure ‘B? to the Independent Auditor?s Report

(Referred to in paragraph 2 under ‘Report on Other Legal andRegulatory Requirements? section of our report to the Members of Alpine HousingDevelopment Corporation Limited of even date) To the best of our information and accordingto the explanations provided to us by the Company and the books of account and recordsexamined by us in the normal course of audit we state that: i. In respect of the Companys Property Plant and Equipment and Intangible Assets: (a) (A) The Company has maintainedproper records showing full particulars including quantitative details and situation ofProperty Plant and Equipment.

(B) The Company does not have intangible assets and hence reporting onmaintenance of proper records for the same is not applicable.

(b) All property plant and equipment and investment property have notbeen physically verified by the management during the year but there is a regular programof Physical verification of its fixed assets are verified in a phased manner over a periodof 3 years in our opinion is reasonable having regard to the size of the Company and thenature of its assets.

No material discrepancies were noticed on such verification.

(c) Based on our examination of the property tax receipts and leaseagreement for land on which building is constructed registered sale deed / transfer deed/ conveyance deed provided to us we report that the title in respect of self-constructedbuildings and title deeds of all other immovable properties (other than properties wherethe company is the lessee and the lease agreements are duly executed in favour of thelessee) disclosed in the financial statements included under Property Plant andEquipment are held in the name of the Company except the properties are mentioned below asat the balance sheet date.

Description of property Gross carrying value (In lakhs) Held in the name of Whether promoter director or their relative or employee Period held i indicate range where appropriate Reason for not being held in name of company
PPE-Land- Alpine Eco Project 207.81 Refer * below
PPE-Building Alpine Eco Flats 409.42

*Alpine Eco Apartment is a residential project developed by the Companythrough joint development agreement with the landowner as part of the regular business ofthe Company. As per the terms of joint development agreement and subsequently enteredsupplementary agreement the built-up area and the apartments are shared between thelandowner and the Company (the Developer). The said flats are developed by the Company aspart of the regular business of the Company and they are treated as stock-in-trade. Out ofthe apartments shared to the Company there are unsold stock of residential flats whichthe Company has converted into Property Plant & Equipment in the financial year2013-14. Out of these unsold residential apartments which are treated as Property Plant& Equipment there are fifty two residential apartments which are unsold as on March31 2022 in Alpine Eco Apartments project. The gross carrying value of the said unsoldfifty two flats is Rs.617.23 Lakhs (the total gross carrying value is bifurcated intogross carrying value of land Rs.207.81 & gross carrying value of building Rs.409.42).The Company has the duly executed joint development agreement supplementary agreement forsharing of the built-up area and the apartment in which the respective portions in theconstructed area are identified and are agreed to be shared between the Developer and thelandowner. Out of the identified and agreed share of the constructed area that belongs tothe Company it also includes these fifty two flats which are included in Property Plant& Equipment. However the title deeds in respect of these flats are not yet beenexecuted and registered in favour of the Company.

(d) The Company has not revalued any of its Property Plant andEquipment during the year.

(e) No proceedings have been initiated during the year or are pendingagainst the Company as at March 31 2022 for holding any benami property under the BenamiTransactions (Prohibition) Act 1988 (as amended in 2016) and rules made thereunder.

ii. (a) In case of housing / construction division the inventoriesheld by the Company comprise stock of units in completed projects and work in progress ofprojects under development. Having regard to the nature of inventory the management hasconducted physical verification of inventory by way of verification of title deeds sitevisits conducted and certification of extent of work completion by competent persons atreasonable intervals during the year and no material discrepancies were noticed on suchphysical verification.

In case of railway sleeper manufacturing division the inventory hasbeen physically verified by the management during the year.

In our opinion the frequency of such verification is reasonable andprocedures and coverage as followed by management were appropriate. No discrepancies werenoticed on verification between the physical stocks and the book records that were 10% ormore in the aggregate for each class of inventory.

(b) According to the information and explanation provided to us theCompany has not been sanctioned working capital limits in excess of Rs. 5 crores inaggregate at any points of time during the year from banks or financial institutions andhence reporting under clause 3(ii)(b) of the Order is not applicable.

iii. According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has not made anyinvestments provided guarantee or security or granted any advances in the nature ofloans secured or unsecured to companies firms limited liability partnerships or anyother parties during the year and hence reporting under clause 3(iii)(a) to (f) of theOrder is not applicable.

iv. According to the information and explanations given to us and onthe basis of our examination of the records the Company has not given any loans orprovided any guarantee or security as specified under Section 185 of the Companies Act2013 and the Company has not provided any guarantee or security as specified under Section186 of the Companies Act 2013.

v. The Company has not accepted any deposit or amounts which are deemedto be deposits. Hence reporting under clause 3(v) of the Order is not applicable.

vi. The maintenance of cost records has not been specified by theCentral Government under sub-section (1) of section 148 of the Companies Act 2013 for thebusiness activities carried out by the Company. Hence reporting under clause (vi) of theOrder is not applicable to the Company.

vii. In respect of statutory dues:

(a) In our opinion undisputed statutory dues including employeesstate insurance income-tax sales-tax service tax duty of customs duty of excisevalue added tax goods and service tax cess and other statutory dues have generally beenregularly deposited with the appropriate authorities however tax deducted at sourceProvident fund dues And Goods And Service Tax have not generally been regularly depositedwith the appropriate authorities though the delays in deposit have not been serious.

According to the information and explanations given to us noundisputed dues in respect of provident fund employees state insurance income-taxservice tax sales-tax duty of custom duty of excise value added tax goods and servicetax cess and other statutory dues which were outstanding at the year end for a periodof more than six months from the date they became payable.

(b) Details of statutory dues referred to in sub-clause (a) above whichhave not been deposited as on March 31 2022 on account of disputes are given below:

Name of the statutory Due Nature of the Dues Amount ( In lakhs) Period to which the amount relates Forum where dispute is pending
The Income
Tax Act 1961 TDS 19.43 FY 2008-09 2009-10 Income Tax
2010-11 2011-12 Department (TDS)
2012-13 2013-14
2014-15 2015-16
2016-17 2017-18
2018-19 2019-20
2020-21 2021-22
The Income
Tax Act 1961 Income Tax 12.96 FY 2016-17 & 2017-18 Commissioner of Income-tax (Appeals)

viii. There were no transactions relating to previously unrecordedincome that have been surrendered or disclosed as income during the year in the taxassessments under the Income Tax Act 1961 (43 of 1961).

ix. (a) According to the information and explanations given to us andon the basis of our examination of the records of the Company the Company has notdefaulted in repayment of loans or other borrowings or in the payment of interest thereon.

(b) According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has not beendeclared wilful defaulter by any bank or financial institution or government or anygovernment authority.

(c) The Company has availed term loans during the year. Based on theinformation and explanations given to us and on the basis of our examination of therecords of the Company the Company has applied the term loan for the purpose for whichsuch term loans are obtained.

(d) On an overall examination of the financial statements of theCompany funds raised on short-term basis have prima facie not been used during the yearfor long-term purposes by the Company.

(e) On an overall examination of the financial statements of theCompany the Company does not have any subsidiary associate or joint venture. Hencereporting under clause 3(ix)(e) of the Order is not applicable.

(f) On an overall examination of the financial statements of theCompany the Company does not have any subsidiary associate or joint venture. Hencereporting under clause 3(ix)(f) of the Order is not applicable.

x. (a) During the year the Company has not raised moneys by way ofinitial public offer or further public offer (including debt instruments) during the yearand hence reporting under clause 3(x)(a) of the Order is not applicable.

(b) During the year the Company has not made any preferentialallotment or private placement of shares or convertible debentures (fully or partly oroptionally) and hence reporting under clause 3(x)(b) of the Order is not applicable.

xi. (a) No fraud by the Company and no material fraud on the Companyhas been noticed or reported during the year.

(b) No report under sub-section (12) of section 143 of the CompaniesAct has been filed in Form ADT- 4 as prescribed under rule 13 of Companies (Audit andAuditors) Rules 2014 with the Central Government during the year and upto the date ofthis report.

(c) We have taken into consideration the whistle blower complaintsreceived by the Company during the year (and upto the date of this report) whiledetermining the nature timing and extent of our audit procedures.

xii. The Company is not a Nidhi Company and hence reporting underclause (xii) of the Order is not applicable. xiii. In our opinion the Company is incompliance with Section 177 and 188 of the Companies Act 2013 with respect to applicabletransactions with the related parties and the details of related party transactions havebeen disclosed in the financial statements as required by the applicable Indian accountingstandards.

xiv. (a) In our opinion the Company has an adequate internal auditsystem commensurate with the size and the nature of its business.

(b) We have considered the internal audit reports for the year underaudit issued to the Company during the year and till date in determining the naturetiming and extent of our audit procedures.

xv. In our opinion during the year the Company has not entered into anynon-cash transactions with its Directors or persons connected with its directors. andhence provisions of section 192 of the Companies Act 2013 are not applicable to theCompany.

xvi. (a) In our opinion the Company is not required to be registeredunder section 45-IA of the Reserve Bank of India Act 1934.Hence reporting under clause3(xvi)(a) (b) and (c) of the Order is not applicable.

(b) In our opinion there is no core investment company within theGroup (as defined in the Core Investment Companies (Reserve Bank) Directions 2016) andaccordingly reporting under clause 3(xvi)(d) of the Order is not applicable.

xvii.The Company has not incurred cash losses during the financial yearcovered by our audit and the immediately preceding financial year.

xviii.There has been no resignation of the statutory auditors of theCompany during the year.

xix. On the basis of the financial ratios ageing and expected dates ofrealisation of financial assets and payment of financial liabilities other informationaccompanying the financial statements and our knowledge of the Board of Directors andManagement plans and based on our examination of the evidence supporting the assumptionsnothing has come to our attention which causes us to believe that any materialuncertainty exists as on the date of the audit report indicating that Company is notcapable of meeting its liabilities existing at the date of balance sheet as and when theyfall due within a period of one year from the balance sheet date. We however state thatthis is not an assurance as to the future viability of the Company. We further state thatour reporting is based on the facts up to the date of the audit report and we neither giveany guarantee nor any assurance that all liabilities falling due within a period of oneyear from the balance sheet date will get discharged by the Company as and when they falldue. xx. According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the provisions of section 135 of the Act is notapplicable to the Company and hence reporting under clause 3(xx)(a) & (b) of the Orderis not applicable. xxi. According to the information and explanations given to us and onthe basis of our examination of the records of the Company consolidation of financialstatements is not applicable to the company and hence reporting under clause 3(xxi) of theOrder is not applicable.

For R V K S And Associates
Chartered Accountants
Firm Registration No. 008572S
R Mohan
Partner
Membership No.203911
UDIN: 22203911AJUSKJ4146
Place: Bengaluru
Date: May 28 2022

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