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Ashapuri Gold Ornament Ltd.

BSE: 542579 Sector: Consumer
NSE: N.A. ISIN Code: INE05FR01011
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NSE 05:30 | 01 Jan Ashapuri Gold Ornament Ltd
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VOLUME 20094
52-Week high 100.85
52-Week low 38.80
P/E 42.98
Mkt Cap.(Rs cr) 135
Buy Price 0.00
Buy Qty 0.00
Sell Price 54.90
Sell Qty 4.00
OPEN 57.00
CLOSE 57.00
VOLUME 20094
52-Week high 100.85
52-Week low 38.80
P/E 42.98
Mkt Cap.(Rs cr) 135
Buy Price 0.00
Buy Qty 0.00
Sell Price 54.90
Sell Qty 4.00

Ashapuri Gold Ornament Ltd. (ASHAPURIGOLD) - Auditors Report

Company auditors report

TO THE MEMBERS

To the Members of

ASHAPURI GOLD ORNAMENT LIMITED.

Report on the Audit of the Financial Statements

Opinion

We have audited the accompanying Standalone Financial Statements of Ashapuri GoldOrnament Limited ("the Company") which comprise the Balance Sheet as at 31stMarch 2022 the Statement of Profit and Loss (including other comprehensive income) theStatement of Cash Flows and the Statement of Changes in Equity for the year then endedand a summary of significant accounting policies and other explanatory information (hereinafter referred to as "Standalone Financial Statements").

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Companies Act 2013 ("the Act") in the manner so required and give a trueand fair view in conformity with the Indian Accounting Standards prescribed under section133 of the Act read with the Companies (Indian Accounting Standards) Rules 2015 asamended ("Ind AS") and other accounting principles generally accepted in Indiaof the state of affairs of the Company as at 31st March 2022 the Profit andtotal comprehensive Income changes in equity and its cash flows for the year ended onthat date.

Basis for Opinion

We conducted our audit of the standalone financial statements in accordance with theStandards on Auditing specified under section 143(10) of the Act (SAs). Ourresponsibilities under those Standards are further described in the Auditor'sResponsibilities for the Audit of the Standalone Financial Statements section of ourreport.

We are independent of the Company in accordance with the Code of Ethics issued by theInstitute of Chartered Accountants of India (ICAI) together with the independencerequirements that are relevant to our audit of the standalone financial statements underthe provisions of the Act and the Rules made there under and we have fulfilled our otherethical responsibilities in accordance with these requirements and the ICAI's Code ofEthics. We believe that the audit evidence we have obtained is sufficient and appropriateto provide a basis for our audit opinion on the standalone financial statements.

Other Information

The Company's board of directors is responsible for the preparation of the otherinformation. The other information comprises the information included in the Director'sReport but does not include the financial statements and our auditor's report thereon.

Our opinion on the financial statements does not cover the other information and we donot express any form of assurance conclusion thereon.

In connection with our audit of the financial statements our responsibility is to readthe other information and in doing so consider whether the other information ismaterially inconsistent with the standalone financial statements or our knowledge obtainedduring the course of our audit or otherwise appears to be materially misstated. If basedon the work we have performed we conclude that there is a material misstatement of thisother information we are required to report that fact. We have nothing to report in thisregard.

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 preparationand presentation of these Standalone Financial

Statements that give a true and fair view of the financial position financialperformance including other comprehensive income cash flows and changes in equity of theCompany in accordance with the accounting principles generally accepted in Indiaincluding the applicable Indian Accounting Standards (Ind AS) prescribed under Section 133of the Act read with the Companies (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 the assets of the Company andfor preventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the StandaloneFinancial Statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

In preparing the standalone 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 are responsible for overseeing the Company's financial reportingprocess.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the standalonefinancial 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 standalone financial statements.

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

a. Identify and assess the risks of material misstatement of the standalone 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.

b. Obtain an understanding of internal financial controls relevant to the audit inorder to design audit procedures that are appropriate in the circumstances. Under section143(3)(i) of the Act we are also responsible for expressing our opinion on whether theCompany has adequate internal financial controls system in place and the operatingeffectiveness of such controls.

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

d. Conclude on the appropriateness of management's use of the going concern basis ofaccounting 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 our auditor's report to the related disclosures inthe standalone financial statements or if such disclosures are inadequate to modify ouropinion. 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 cease tocontinue as a going concern

e. Evaluate the overall presentation structure and content of the standalone financialstatements including the disclosures and whether the standalone financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

Materiality is the magnitude of misstatements in the standalone financial statementsthat individually or in aggregate makes it probable that the economic decisions of areasonably knowledgeable user of the financial statements may be influenced. We considerquantitative materiality and qualitative factors in

(i) Planning the scope of our audit work and in evaluating the results of our work; and(ii) To evaluate the effect of any identified misstatements in the Financial Statements.

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.

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 of the Companies Act2013 we give in the "Annexure A" to this report 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 Flow Statementdealt with by this Report are in agreement with the books of account;

(d) In our opinion the aforesaid Financial Statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014.

(e) On the basis of the written representations received from the directors as on 31stMarch 2022 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2022 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

"Annexure 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:

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

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

C There were no amounts which were required to be transferred to the Investor Educationand Protection Fund by the Company.

D (i) The management of the company has represented that to the best of it's knowledgeand belief other than as disclosed in the notes to the accounts no funds have beenadvanced or loaned or invested (either from borrowed funds or share premium or any othersources or kind of funds) by the company to or in any other person(s) or entity(ies)including foreign entities ("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 anyguarantee security or the like on behalf of the Ultimate Beneficiaries;

(ii) The management of the company has represented that that to the best of it'sknowledge and belief other than as disclosed in the notes to the accounts no funds havebeen received by the company from any person(s) or entity(ies) including foreign entities("Funding Parties") with the understanding whether recorded in writing orotherwise that the company shall whether directly or indirectly lend or invest inother persons or entities identified in any manner whatsoever by or on behalf of theFunding Party ("Ultimate Beneficiaries") or provide any guarantee security orthe like on behalf of the Ultimate Beneficiaries; and

(iii) Based on such audit procedures that we have considered reasonable and appropriatein the circumstances; nothing has come to our notice that has caused us to believe thatthe representations under sub-clause (i) and (ii) contain any material misstatement.

E The company has not declared or paid any dividend during the year.

F The Ministry of Corporate Affairs (MCA) has amended the Rule 3 of Companies(Accounts) rules 2014 by way of notification dated 31st March 2022. Accordinglyrequirement to have accounting software with a feature of recording audit trail isextended till 1st April 2023. Therefore nothing is required to be reported under thispara for the year under review.

3. With respect to the matters to be included in the Auditor's Report in accordancewith the requirements of section 197(16) of the Act as amended:

According to the information and explanations given to us and on the basis of ourexamination of the records of the Company managerial remuneration/ Director Sitting Feehas not been paid. Accordingly reporting under section 197(16) of the Act is notapplicable.

ANNEXURE A TO THE INDEPENDENT AUDITORS' REPORT

RE: Ashapuri Gold Ornament Limited

(Referred to in Paragraph 1 of our Report of even date.)

The Annexure referred to in our Independent Auditor's Report to the members of theCompany on the Standalone Financial Statements for the year ended 31st March 2022 wereport that

1. a) A According to the information and explanation given to us and the recordsproduced to us for our verification the company has maintained proper records showingfull particulars including quantitative details and situation of Property Plant andEquipment.

B According to the information and explanation given to us and the records produced tous for our verification the company has maintained proper record showing full particularsof intangible assets.

b) According to the information and explanation given to us and the records produced tous for our verification the Company has a regular programme of physical verification ofits Property Plant and Equipment's by which all Property Plant and Equipment areverified by the management in a phased manner over a period of three years. In accordancewith this programme certain Property Plant and Equipment were verified during the yearand no material discrepancies were noticed on such verification. In our opinion thisperiodicity of physical verification is reasonable having regard to the size of theCompany and the nature of its assets. Based on our verification no material discrepancieswere noticed on such verification.

c) According to the information and explanation given to us and the records produced tous for our verification the title deeds of all the immovable properties. (Other thanproperties where the company is the lessee and the lease/rent agreements are duly executedin favour of the lessee) disclosed in the financial statements are held in the name of thecompany as at the Balance Sheet date.

d) According to the information and explanation given to us and the records produced tous for our verification the company does not revalue its Property Plant and Equipment(including Right of Use assets) or intangible assets or both during the year. Accordinglythe provision of paragraph 3(i)(d) of the Order is not applicable

e) According to the information and explanation given to us and the records produced tous for our verification no proceedings have been initiated or are pending against thecompany for holding any benami property under the Benami Transactions (Prohibition) Act1988 (45 of 1988) and rules made thereunder.

2. a) According to the information and explanation given to us and the records producedto us for our verification the Company has a regular programme of physical verificationof its inventory. In our opinion the coverage and procedure of verification by managementis appropriate. The discrepancies noticed on verification between the physical stock andthe book records were not material and have been appropriately dealt with in the books ofaccounts.

b) According to the information and explanation given to us and the records produced tous for our verification the company has been sanctioned working capital limits in excessof five crore rupees in aggregate from banks or financial institutions on the basis ofsecurity of current assets. In accordance with the information and explanation given tous the quarterly returns or statements for ending at 31st March 2022 were filed by theCompany.

3. According to the information and explanation given to us and the records produced tous for our verification the company has made investment or provided any guarantee orsecurity to companies or granted any loans or advances in the nature of loans secured orunsecured to firms Limited Liability Partnership or any other party..

a) According to the information and explanation given to us and the records produced tous for our verification the company has not provided unsecured loan to holding company.

b) According to the information and explanation given to us and the records produced tous for our verification the terms and conditions of the grant loans are not prejudicialto the Company's interest.

c) According to the information and explanation given to us and the records produced tous for our verification in respect of unsecured loans to companies the schedule ofrepayment of principal and payment of interest has been stipulated and receipts areregular

d) According to the information and explanation given to us and the records produced tous for our verification there are no amount of loan which are overdue for more thanninety days.

e) According to the information and explanation given to us and the records produced tous for our verification any loan or advance in the nature of loan granted which hasfallen due during the year has not been renewed or extended or fresh loans granted tosettle the overdue of existing loans given to the same parties. Accordingly the provisionof paragraph 3(iii)(e) of the Order is not applicable.

f) According to the information and explanation given to us and the records produced tous for our verification the company has granted loans or advances in the nature of loanseither repayable on demand or without specifying any terms or period of repayment.

4. In our opinion and according to information and explanations given to us andrepresentations made by the Management the Company has not granted any loans given anyguarantees or provided any securities to the parties covered under section 185 of the Act.Accordingly compliance under section 185 of the Act is not applicable to the company.Accordingly the provisions of Section 186 (except subsection (1) of Section 186) of theAct are not applicable to the Company. In our opinion and according to the informationand explanations given to us the Company has not made investments referred in Section186(1) of the Act.

5. According to information and explanations given to us the Company has not acceptedany deposits from the public within the meaning of the directives issued by the ReserveBank of India provisions of section 73 to 76 of the Act any other relevant provisions ofthe Act and the relevant rules framed thereunder. Accordingly the provisions of clause3(v) of the Order are not applicable to the Company.

6. The maintenance of cost records has not been specified by the Central Governmentunder Section 148(1) of the Act for the business activities carried out by the Company.Thus reporting under clause 3(vi) of the Order is not applicable to the Company.

7 (a) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company amounts deducted/accrued in the books ofaccount in respect of undisputed statutory dues including Income-Tax Goods and ServiceTax and other statutory dues have generally been regularly deposited during the year bythe Company with the appropriate authorities.

According to the information and explanations given to us no undisputed amountspayable in respect of Income-Tax Goods and Service Tax and other statutory dues were inarrears as at 31 March 2022 for a period of more than six months from the date they becamepayable.

(b) According to the information and explanations given to us there are no statutorydues as referred in sub clause(a) as at 31 March 2022 which have not been deposited withthe appropriate authorities on account of any dispute.

8. According to the information and explanations given to us and based on ourexamination of the records of the Company the company has not surrendered or disclosedtransactions as income during the year in the tax assessments under the Income Tax Act1961 (43 of 1961). Accordingly the provisions of clause 3(viii) of the Order is notapplicable to the Company.

9. a) According to the information and explanations given to us and based on ourexamination of the records of the Company the company has not defaulted in repayment ofloans or other borrowings or in the payment of interest thereon to any lender.

b) According to the information and explanations given to us and on the basis of ouraudit procedures we report that the company has not been declared willful defaulter byany bank or financial institution or government or any government authority or any otherlender . c) According to the information and explanations given to us and proceduresperformed by us we report that the company has not raised term loans during the period.

d) According to the information and explanations given to us and the proceduresperformed by us and on an overall examination of the financial statements of the companywe report that funds raised on short-term basis by the company funds raised on short-termbasis have prima facie not been used during the year for long-term purposes by theCompany.

e) According to the information and explanations given to us and on an overallexamination of the financial statements of the company we report that the company has nottaken any funds from any entity or person on account of or to meet the obligations of itssubsidiaries associates or joint ventures.

f) According to the information and explanations given to us and based on ourexamination of the records of the Company the company has not raised loans during theyear on the pledge of securities held in its subsidiaries joint ventures or associatecompanies.

10 a) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not raised any moneys by way ofinitial public offer or further public offer (including debt instruments) during the year.Accordingly the provisions of clause 3(x)(a) of the Order is not applicable to theCompany

b) According to the information and explanations given to us and on the basis of ourexamination of the records the Company has not made any preferential allotment or privateplacement or not issued any fully or partly convertible debenture during the year underreview. Accordingly the provisions of paragraph 3(x)(b) of the Order is not applicable.11 a) During the course of our examination of the books and records of the companycarried out in accordance with the generally accepted auditing practice in India andaccording to the information and explanation given to us we have neither come across anyinstance of material fraud by the company or on the company by its officers or employeeshas been noticed or reported during the year.

b) No report on any matter under sub-section (12) of section 143 of the Companies Acthas been filed in Form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors)Rules 2014 with the Central Government.

c) As represented to us by the management there are no whistle blower complaintsreceived by the company during the year.

12 In our opinion the Company is not a Nidhi Company. Accordingly the provisions ofClauses 3 (xii) (a) to (c) of the Order is not applicable.

13 As per information and explanation given to us and on the basis of our examinationof the records of the Company all the transaction with related parties is in compliancewith section 177 and 188 of Companies Act 2013 wherever applicable and all the detailshave been disclosed in Standalone Financial Statements as required by the applicableIndian Accounting Standards.

14 a) According to the information and explanations given to us and on the basis of ourexamination of the records we are of the opinion that the company has an internal auditsystem commensurate with the size and nature of its business.

b) We have considered the internal audit reports of the company issued till date forthe period under audit

15 According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into any non-cashtransactions within the meaning of Section 192 of the Act with directors or personsconnected with them. Accordingly paragraph 3(xv) of the Order is not applicable to theCompany.

16 a) In our opinion and according to the information and explanations given to us theCompany is not required to be registered under Section 45-IA of the Reserve Bank of IndiaAct 1934. Accordingly provision of Paragraph 3(xvi) (a to c) of the Order is notapplicable to the Company.

b) In our opinion and according to the information and explanations given to us thegroup does not have any CIC as part of the group. Accordingly the provisions of paragraph3(xvi) (d) of the Order are not applicable to the Company.

17 According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not incurred cash losses incurrent financial year and also not in the immediately preceding financial year.

18 According to the information and explanations given to us there is a resignation ofthe statutory auditors during the year in the company.

19 According to the information and explanations given to us and on the basis of thefinancial ratios ageing and expected dates of realization of financial assets and paymentof financial liabilities other information accompanying the financial statements ourknowledge of the Board of Directors and management plans and based on our examination ofthe evidence supporting the assumptions nothing has come to our attention which causesus to believe that any material uncertainty exists as on the date of the audit report thatcompany is not capable of meeting its liabilities existing at the date of balance sheet asand when they fall due within a period of one year from the balance sheet date. Wehowever state that this is not an assurance as to the future viability of the company. Wefurther state that our reporting is based on the facts up to the date of the audit reportand we neither give any guarantee nor any assurance that all liabilities falling duewithin a period of one year from the balance sheet date will get discharged by thecompany as and when they fall due.

20 According to the information and explanations given to us and based on ourexamination of the records of the Company the Company does not falls in the applicabilityof provisions of Corporate Social Responsibility (CSR) with respect to Section 135 of theCompanies Act. Accordingly paragraph 3(xx) of the Order is not applicable to the Company

ANNEXURE - B TO THE AUDITORS' REPORT

RE: Ashapuri Gold Ornament Limited

(Referred to in Paragraph 2(f) of our Report of even date)

Report on the Internal Financial Controls under Clause (i) of sub-section 3 of section143 of the Companies Act 2013 (the act).

Opinion

We have audited the internal financial controls over financial reporting of AshapuriGold Ornament Limited

("the Company") as of 31st March 2022 in conjunction with our audit of theStandalone Financial

Statements of the company for the year ended on that date.

In our opinion the company has in all material aspects an adequate internal financialcontrols system over financial reporting and such internal financial controls overfinancial reporting were operating effectively as at 31st March 2022 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

Management's Responsibility for Internal Financial Controls

The Company's management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls over Financial Reportingissued by the Institute of Chartered Accountants of India (ICAI). These responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to company's policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired under the Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting(the Guidance Note) and the Standards on Auditing issued by ICAI and 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 was 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 auditor's judgment including the assessment of the risks ofmaterial misstatement of the Standalone Financial Statements whether due to fraud orerror.

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) providereasonable assurance that transactions are recorded as necessary to permit preparation offinancial statements in accordance with generally accepted accounting principles and thatreceipts and expenditures of the company are being made only in accordance withauthorizations of management and directors of the company; and (3) provide reasonableassurance regarding prevention or timely detection of unauthorized acquisition use ordisposition of the company's assets that could have a material effect on the financialstatements.

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.

.