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AVI Polymers Ltd.

BSE: 539288 Sector: Others
NSE: N.A. ISIN Code: INE897N01014
BSE 12:12 | 06 Oct 21.05 0.10
(0.48%)
OPEN

21.50

HIGH

21.50

LOW

20.95

NSE 05:30 | 01 Jan AVI Polymers Ltd
OPEN 21.50
PREVIOUS CLOSE 20.95
VOLUME 3451
52-Week high 59.50
52-Week low 18.00
P/E 17.84
Mkt Cap.(Rs cr) 9
Buy Price 21.05
Buy Qty 147.00
Sell Price 21.10
Sell Qty 1000.00
OPEN 21.50
CLOSE 20.95
VOLUME 3451
52-Week high 59.50
52-Week low 18.00
P/E 17.84
Mkt Cap.(Rs cr) 9
Buy Price 21.05
Buy Qty 147.00
Sell Price 21.10
Sell Qty 1000.00

AVI Polymers Ltd. (AVIPOLYMERS) - Auditors Report

Company auditors report

TO THE MEMBERS OF AVI POLYMERS LIMITED

Report on the Audit of the Standalone Ind AS Financial Statements

Opinion

We have audited the accompanying Standalone Ind AS Financial Statements of Avi PolymersLimited ("the Company") which comprise the Balance Sheet as at March 31 2021the Statement of Profit and Loss including the Statement of Other Comprehensive Incomethe Statement of Changes in Equity and the Statement of Cash Flows for the year then endedand notes to the Standalone Ind AS Financial Statements including a summary ofsignificant accounting policies and other explanatory information.

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Standalone Ind AS Financial Statements give the informationrequired by the Companies Act 2013 as amended ("the Act") in the manner sorequired and give a true and fair view in conformity with the accounting principlesgenerally accepted in India of the state of affairs of the Company as at March 31 2021its profit including other comprehensive income changes in equity and its cash flows forthe year ended on that date.

Basis for Opinion

We conducted our audit of the standalone Ind AS financial statements in accordance withthe Standards on Auditing (SAs) specified under section 143(10) of the Act. Ourresponsibilities under those Standards are further described in the Auditor'sResponsibilities for the Audit of the Standalone Ind AS Financial Statements' section ofour report. We are independent of the Company in accordance with the ‘Code of Ethics'issued by the Institute of Chartered Accountants of India together with the ethicalrequirements that are relevant to our audit of the Financial Statements under theprovisions of the Actand the Rules thereunder and we have fulfilled our other ethicalresponsibilities in accordance with these requirements and the Code of Ethics. We believethat the audit evidence obtained by us is sufficient and appropriate to provide a basisfor our opinion on Standalone Ind AS Financial Statements.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the standalone Ind AS financial statements for the financialyear ended March 31 2021. These matters were addressed in the context of our audit of thestandalone Ind AS financial statements as a whole and in forming our opinion thereon andwe do not provide a separate opinion on these matters.

Information Other than the Financial Statements and Auditor's Report Thereon

The Company's Board of Directors is responsible for the other information. The otherinformation comprises the Director's Report and its annexures Management Discussion andAnalysis Report and Corporate Governance Report but does not include the Standalone Ind ASFinancial Statements and our Auditor's Report thereon.

Our opinion on the Standalone Ind AS 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 Standalone Ind AS Financial Statements ourresponsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the

Standalone Ind AS Financial Statements or our knowledge obtained during the course ofour audit or otherwise appears to be materially misstated.

If based on the work we have performed we conclude that there is a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.

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 Act with respect to the preparation of these Standalone Ind ASFinancialStatements that give a true and fair view of the financial position financial performanceincluding other comprehensive income changes in equity and cash flows of the Company inaccordance with the Ind AS and other accounting principles generally accepted in India.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgements and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe Financial Statement that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

In preparing the Standalone Ind AS Financial Statements the Management is responsiblefor assessing the ability of the Company to continue as a going concern disclosing asapplicable matters related to going concern and using the going concern basis ofaccounting unless management either intends to liquidate the Company or to ceaseoperations or has no realistic alternative but to do so.

The Board of Directors are also responsible for overseeing the financial reportingprocess of the Company.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the Standalone Ind ASFinancial 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 willalways detect a material misstatement when it exists. Misstatements can arisefrom fraud 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 theseStandalone Ind AS Financial Statements.

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

Identify and assess the risks of material misstatement of the StandaloneInd ASFinancial 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 control relevant to the audit in order to designaudit procedures that are appropriate in the circumstances. Under Section 143(3)(i) of theAct we are also responsible for expressing our opinion on whether the Company hasadequate internal financial controls system in place and the operating effectiveness ofsuch controls.

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

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 StandaloneInd AS Financial Statements or if such disclosures are inadequate tomodify our opinion. Our conclusions are based on the audit evidence obtained up to thedate of our auditor's report. However future events or conditions may cause the Companyto cease to continue as a going concern.

Evaluate the overall presentation structure and content of the Standalone Ind ASFinancial Statements including the disclosures and whether the Standalone Ind ASFinancial Statements represent the underlying transactions and events in a manner thatachieves fair presentation.

Materiality is the magnitude of misstatements in the Standalone Ind AS 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 Standalone Ind AS FinancialStatements.

We communicate with those charged with governance regarding amongst 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.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the Standalone Ind AS FinancialStatements of the current year and are therefore the key audit matters. We describe thesematters in our Auditor's Report unless law or regulation precludes public disclosure aboutthe matter or when in extremely rare circumstances we determine that a matter should notbe communicated in our report because the adverse consequences of doing so wouldreasonably be expected to outweigh the public interest benefits of such communication.

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 Act we give in the Annexure A a statement on the matters specified in paragraphs 3and 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 ouropinion proper books of account as required by law have been kept by the Company so faras it appears from our examination of those books. c) The Balance Sheet the Statement ofProfit and Loss including other comprehensive income the Statement of Cash Flows andStatement of Changes in Equity dealt with by this Report are in agreement with the booksof account. d) In our opinion the aforesaid Standalone Ind AS Financial Statements complywith the Indian Accounting Standards specified under Section 133 of the Act read withRule 7 of the Companies(Accounts) Rules 2014. e) On the basis of the writtenrepresentations received from the directors as on March 312021 taken on record by theBoard of Directors none of the directors is disqualified as on March 31 2021 from beingappointed as a director in terms of Section 164 (2) of the Act. f) With respect to theadequacy of the internal financial controls over financial reporting of the Company andthe operating effectiveness of such controls refer to our separate Report in"Annexure B". g) With respect to the other matters to be included in theAuditor's Report in accordance with the requirements of section 197(16) of the Act asamended in our opinion and to the best of our information and according to theexplanation given to us the remuneration paid by the Company to its Directors during theyear is in accordance with the provisions of section 197 of the Act. h) With respect tothe other matters to be included in the Auditor's Report in accordance with Rule 11 of theCompanies (Audit and Auditors) Rules 2014 in our opinion and to the best of ourinformation and according to the explanations given to us:

1) The Company has adequately disclosed the impact of pending litigations on itsfinancial position in its Standalone Ind AS Financial Statements.

2) The Company did not have any long-term contracts contracts for which there were anymaterial foreseeable losses.

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

For JAIN KEDIA & SHARMA
Chartered Accountants
Firm Reg. No. 103920W
Place: AHMEDABAD Ajaykrishna Sharma
Dated: May25 2021 Partner
Membership No. 035075
UDIN: 21035075AAAACL7844

Annexure A to the Independent Auditors' Report

Based on the audit procedures performed for the purpose of reporting a true and fairview on the Standalone Ind AS Financial Statementsof the Company and taking intoconsideration the information and explanations given to us and the books of account andother records examined by us in the normal course of audit we report that:

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

(b) The Company has a program of verification to cover all the items of fixed assets ina phased manner which in our opinion is reasonable having regard to the size of thecompany and the nature of the assets. According to the program of verification followed bythe company material portions of fixed assets are verified closer to the end of thefinancial year. However due to the situation prevalent pursuant to COVID-19 outbreak thescheduled physical verification could not be carried out.

(c)According to the information and explanations given to us by the management theCompany does not have any immovable properties therefore the provisions of clause 3(i)(c)of the Order are not commented upon.

(ii) According to the information and explanations given to us by the management theCompany does not have any inventory during and end of the period and the same has beenverified by us Accordingly the provisions of clause 3(ii)of the order are not commentedupon.

(iii) According to the information and explanations given to us the Company has notgranted any unsecured loan to Companies firms and other parties covered in the registermaintained under Section 189 of the Act in respect of which:

(a) There are no such loans provided during the year accordingly provisions of clause3(iii) of the Order are not commented upon.

(b) The schedule of repayment of principal has not been stipulated as there are no suchloans mentioned above. (c) Therefore no overdue amount remaining outstanding as at yearend.

(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Sections 185 and 186 of the Companies Act2013 in respect of grant of loans making investments and providing guarantees andsecurities as applicable.

(v) The Company has not accepted any deposits within the meaning of Sections 73 to 76of the Act and the Companies (Acceptance of Deposits) Rules 2014 (as amended).Accordingly the provisions of clause 3(v) of the Order are not commented upon.

(vi) The company is not required to maintain cost records as it is not applicableaccording to rules made by the Central Government under sub-section (1) of Section 148 ofthe Act therefore the provisions of clause3(vi) of the Order are not commented upon.

(vii) (a) Undisputed statutory dues including provident fund employee's stateinsurance income-tax sales-tax service tax Goods & Service Tax duty of customsduty of excise duty value added tax cess have generally been regularly deposited withthe appropriate authorities though the delays in deposit have not been significant.Further no undisputed amounts payable in respect thereof were outstanding at the year-endfor a period of more than six months from the date they become payable.

(b) The dues outstanding in respect of income-tax sales-tax service tax duty ofcustoms duty of excise and value added tax on account of any dispute are as follows:

Name of the statute Nature of dues Amount (in lacs ) Period to which the amount relates Forum where dispute is pending
Income-tax Act 1961 Income Tax 200 2000-01 High Court Gujarat

(viii) The Company has not defaulted in the repayment of loans or borrowings to afinancial institution or a bank or government during the year. The company has not issuedany debentures.

(ix) In our opinion and according to information and explanations given to us themoney raised by way of term loans have been applied for the purposes for which they wereobtained. The Company did not raise moneys by way of initial public offer or furtherpublic offer (including debt instruments) during the year.

(x) To the best of our knowledge and according to the information and explanationsgiven to us no fraud by the Company or no material fraud on the Company by its officersor employees has been noticed or reported during the period covered by our audit.

(xi) According to the information and explanations provided by the management themanagerial remuneration has been paid / provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct 2013.

(xii) In our opinion the Company is not a Nidhi Company. Accordingly the provisionsof clause 3(xii) of the Order of the Order are not commented upon.

(xiii) In our opinion all transactions with the related parties are in compliance withsections 177 and 188 of Act wherever applicable. The requisite details have beendisclosed in the Standalone Ind AS Financial Statements as required by the applicableaccounting standards.

(xiv) During the year the Company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures. Accordingly the provisionsof clause 3 (xiv) of the Order of the Order are not commented upon.

(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 Directorsor persons connected with them and hence provisions of Section 192 of the Companies Act2013 are not applicable to the Company.

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

For JAIN KEDIA & SHARMA
Chartered Accountants
Firm Reg. No. 103920W
Place: AHMEDABAD Ajaykrishna Sharma
Dated: May 25 2021 Partner
Membership No. 035075
UDIN: 21035075AAAACL7844

Annexure- B

to Independent Auditor's Report

Report on the Internal Financial Control 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 the companyas of March 31 2021 in conjunction with our audit of the financial statements of thecompany for the year ended on that date.

Management's Responsibility for Internal Financial Control

The Company's management is responsible for establishing and maintaining internalfinancial control based on the internal control over financial reporting criteriaestablished by the company considering the essential components of internal control statedin Guidance Note on Audit of Internal Financial Controls over Financial Reporting issuedby the Institute of Chartered Accountants of India ("ICAI"). Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial control that were operating effectively for insuring the orderly and efficientconduct of its business including adherence to the Company's policies the safeguardingof its assets the prevention and detection of fraud and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the Companies Act 2013.

Auditor's 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 of Auditing issued by ICAI and deemedto be prescribed under 143(10) of the Companies Act 2013 to the extent applicable to anaudit of internal financial controls both applicable to an audit of Internal FinancialControls and both issued by ICAI. Those Standards and the Guidance Notes required that wecomply with ethical requirements and plan and perform the audit to obtain reasonableassurance about whether adequate internal financial controls over financial reporting wereestablished and maintained and if such controls operated effectively in all materialrespects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls systems over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining and understanding of internal financial controls over financial reportingassessing the risk that material weakness exists and testing and evaluating the designand operating effectiveness the internal control based on the assessed risk. Theprocedures selected depends on the auditors' judgement 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 and appropriate toprovide a basis of our audit opinion of 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 the management and directors of the company; (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 Control over Financial Reporting

Because of the inherent limitations of internal financial control over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to fraud or error may occur and not be detected.Also projections of any evaluation of the internal financial control 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 31st March 2021 based on thecriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Internal Financial Controls over FinancialReporting issued by the ICAI.

For JAIN KEDIA & SHARMA
Chartered Accountants
Firm Reg. No. 103920W
Place: AHMEDABAD Ajaykrishna Sharma
Dated: May 25 2021 Partner
Membership No. 035075
UDIN: 21035075AAAACL7844

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