You are here » Home » Companies » Company Overview » Betex India Ltd

Betex India Ltd.

BSE: 512477 Sector: Industrials
NSE: N.A. ISIN Code: INE765L01017
BSE 00:00 | 05 Jun 9.50 -0.50
(-5.00%)
OPEN

10.50

HIGH

10.50

LOW

9.50

NSE 05:30 | 01 Jan Betex India Ltd
OPEN 10.50
PREVIOUS CLOSE 10.00
VOLUME 15
52-Week high 27.35
52-Week low 9.50
P/E 4.44
Mkt Cap.(Rs cr) 1
Buy Price 10.50
Buy Qty 200.00
Sell Price 10.22
Sell Qty 5.00
OPEN 10.50
CLOSE 10.00
VOLUME 15
52-Week high 27.35
52-Week low 9.50
P/E 4.44
Mkt Cap.(Rs cr) 1
Buy Price 10.50
Buy Qty 200.00
Sell Price 10.22
Sell Qty 5.00

Betex India Ltd. (BETEXINDIA) - Auditors Report

Company auditors report

TO THE MEMBERS

BETEX INDIA LIMITED

Surat

Opinion

We have audited the standalone financial statements of BETEX INDIA LIMITED("the Company") which comprise the balance sheet as at 31st March 2019 and thestatement of Profit and Loss (statement of changes in equity) and statement of cash flowsfor the year then ended and notes to the 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 financial statements give the information requiredby the Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at March 31 2019 and loss (changes in equity) and its cash flows for the year endedon that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder section 143(10) of the Companies Act 2013. Our responsibilities under thoseStandards are further described in the Auditor's Responsibilities for the Audit of theFinancial Statements section of our report. We are independent of the Company inaccordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial statements under the provisions of the Companies Act 2013 and the Rules thereunder and we have fulfilled our other ethical responsibilities in accordance with theserequirements and the Code of Ethics. We believe that the audit evidence we have obtainedis sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the financial statements of the current period. These matterswere addressed in the context of our audit of the financial statements as a whole and informing our opinion thereon and we do not provide a separate opinion on these matters.

Management's Responsibility for the Standalone Financial Statements

The Company's Board of Directors is responsible for the matters stated in section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese standalone financial statements that give a true and fair view of the financialposition financial performance (changes in equity) and cash flows of the Company inaccordance with the accounting principles generally accepted in India including theaccounting Standards specified under section 133 of the Act. This responsibility alsoincludes maintenance of adequate accounting records in accordance with the provisions ofthe Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate implementationand maintenance of accounting policies; making judgments and estimates that are reasonableand prudent; 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 financialstatement that give a true and fair view and are free from material misstatement whetherdue to fraud or error.

In preparing the financial statements management is responsible for assessing theCompany's ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so. Those Board of Directors are also responsible for overseeing theCompany's financial reporting process.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken on thebasis of these financial statements.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders internal financial control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in circumstances. An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of the accountingestimates made by the Company's Directors as well as evaluating the overall presentationof the financial statements. We believe that the audit evidence we have obtained issufficient and appropriate to provide a basis for our audit opinion on financialStatements.

We Report that:

1. As required by the Companies (Auditor's Report) Order 2016 as amended issued bythe

Central Government of India in terms of sub-section (11) of section 143 of the Act wegive in the gAnnexure Ah a statement on the matters Specified inparagraphs 3 and 4 of the Order.

2. As required by section 143(3) of the Act we further 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 purpose of our audit;

b) in our opinion proper books of account as required by law have been kept by theCompany so far as appears from our examination of those books;

c) the Balance Sheet Statement of Profit and Loss and Cash Flow Statement dealt withby this Report are in agreement with the books of account;

d) in our opinion the aforesaid financial statements comply with the applicableAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2015 as amended;

e) on the basis of written representations received from the directors as on March 312019 and taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2019 from being appointed as a director in terms of Section 164(2) of theAct

f) With respect to the adequacy of the internal financial control 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 the requirements of section 197(16) of the Act as amended: . h) in ouropinion and to the best of our information and according to the explanations given to uswe report as under with respect to other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014: i. The Companydoes not have any pending litigations which would impact its financial position.

ii. The Company did not have any long-term contracts including derivative contracts; assuch the question of commenting on any material foreseeable losses thereon does not arise.

iii. There has not been an occasion in case of the Company during the year under reportto transfer any sums to the Investor Education and Protection Fund. Therefore the questionof delay in transferring such sums does not arise.

FOR M/s B. CHORDIA & CO.
CHARTERED ACCOUNTANTS
(Firm's Registration No: 121083W)
CA. VIKAS CHORDIA
Place: Surat Partner
Date: May 30 2019 M. No. 158536

gAnnexure Ah to the Independent Auditor's Report

The Annexure referred to in our report to the members of BETEX INDIA LIMITED for theyear Ended on March 31 2019 we report that: i. a) As per the information providedto us and based on our verification the Company has maintained proper records showingfull particulars including quantitative details and situation of fixed assets ;

b) As explained to us the fixed assets have been physically verified by the managementin a phased manner designed to cover all the items over a period of three years which inour opinion is reasonable having regard to the size of the company and nature of itsbusiness. Pursuant to the program a portion of the fixed asset has been physicallyverified by the management during the year and no material discrepancies between the booksrecords and the physical fixed assets have been noticed.

c) As explained to us the title deeds of immovable properties are held in the name ofthe Company.

ii a) As informed to us physical verification of inventory has been conducted atreasonable intervals by the management.

b) In our opinion the procedures of physical verification of inventory followed by themanagement are reasonable and adequate in relation to the size of the company and thenature of its business.

c) The company is maintaining proper records of inventory. The discrepancies noticed onphysical verification were not material and these have been properly dealt with in booksof accounts.

iii. a) The company has granted unsecured loan/advances of Rs. 744.54 Lakh (Balanceas on 31.03.2019) to companies firms or other parties covered in the register maintainedunder section 189 of the Act.

b) As per information given to us receipt of the principal amount and interest are asper decided by management.

d) The company has taken reasonable steps to recover the loan whose overdue amount isexceeding Rs. 1 Lakh.

iv. In our opinion and according to the information and explanations given to us thecompany has complied with the provisions of section 185 and I86 of the Companies Act 2013In respect of loans investments guarantees and security.

v. The Company has not accepted any deposits from the public covered under Section 73to 76 of the Companies Act 2013.

vi. We have broadly reviewed the books of accounts maintained by the Company pursuantto the rule made by the Central Government of maintenance of cost records undersub-section (1) of Section 148 of the Act. We are of the opinion that the prima facie theprescribed accounts and records have been made and maintained. However we have not made adetailed examination of the records

vii. a) According to the information and explanations given to us and based on therecords of the company examined by us the company is regular in depositing the undisputedstatutory dues including Goods &

Services Tax Provident Fund Employees' State Insurance Income-tax Sales-taxWealth Tax Service Tax Custom Duty Excise Duty and other material statutory dues asapplicable with the appropriate authorities in India; b) According to the information andexplanations given to us and based on the records of the company examined by us there areno dues of Wealth Tax Service Tax Sales Tax Customs Duty and Excise Duty Goods &Services Tax which have not been deposited on account of any disputes. Income taxassessment for A.Y. 2009-10 A.Y. 2010-11 A.Y. 2011-12 A.Y. 2012-13 A.Y. 2013-14 A.Y.2014-15 A.Y. 2015-16 is pending with CIT (Appeals). Total amount involved in all thesecases are amounting to Rs.18.66 Crores which is subject to final order and rectification.

viii. According to the records of the company examined by us and as per the informationand explanations given to us the company has not defaulted in any repayment of dues tofinancial institution or banks or debentures holders.

ix. Based upon the audit procedures performed and the information and explanationsgiven by the management the company has not raised moneys by way of initial public offeror further public offer including debt instruments and term Loans. Accordingly theprovisions of clause 3 (ix) of the Order are not applicable to the Company and hence notcommented upon.

x. Based upon the audit procedures performed and the information and explanations givenby the management we report that no fraud by the Company or on the company by itsofficers or employees has been noticed or reported during the year.

xi. Based upon the audit procedures performed and the information and explanationsgiven by the management the managerial remuneration has been paid or provided inaccordance with the requisite approvals mandated by the provisions of section 197 readwith Schedule V to the Companies Act.

xii. In our opinion the Company is not a Nidhi Company. Therefore the provisions ofclause 4 (xii) of the Order are not applicable to the Company.

xiii. In our opinion all transactions with the related parties are in compliance withsection 177 and 188 of Companies Act 2013 and the details have been disclosed in theFinancial Statements as required by the applicable accounting standards.

xiv. Based upon the audit procedures performed and the information and explanationsgiven by the management the company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures during the year underreview. Accordingly the provisions of clause 3 (xiv) of the Order are not applicable tothe Company and hence not commented upon.

xv. Based upon the audit procedures performed and the information and explanationsgiven by the management the company has not entered into any non-cash transactions withdirectors or persons connected with him. Accordingly the provisions of clause 3 (xv) ofthe Order are not applicable to the Company and hence not commented upon.

xvi. In our opinion the company is not required to be registered under section 45 IAof the Reserve Bank of India Act 1934 and accordingly the provisions of clause 3 (xvi)of the Order are not applicable to the Company and hence not commented upon.

FOR M/s B. CHORDIA & CO.
CHARTERED ACCOUNTANTS
(Firm's Registration No: 121083W)
CA. VIKAS CHORDIA
Place: Surat Partner
Date: May 30 2019 M. No. 158536

g Annexure-Bh to the Auditor's Report

Report on the Internal Financial Controls under Clause (I) of Sub-Section 3 of Section143 of the

Companies Act 2013 (gthe Acth)

We have audited the internal financial controls over financial reporting of BETEX INDIALIMITED ("the Company") as on 31st March 2019 in conjunction with ouraudit of the financial statements of the Company for the year ended on that date.

MANAGEMENT RESPONSIBILITY FOR INTERNAL FINANCIAL CONTROLS

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

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 Controlling(the "Guidance Note")and the Standards on Auditing issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act 2013 to the extent applicable to an audit of internal financialcontrols-both applicable to an audit o Internal Financial Controls and both issued by theInstitute of Chartered Accountants of India .Those Standards and the Guidance Note requirethat we comply with ethical requirements and plan and perform the Audit to obtainresponsible assurance about whether adequate internal financial controls over financialreporting was established and maintained and if such controls operated effectively in allmaterial 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 testing and evaluating and design andoperating 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 financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls systemover financial reporting.

MEANING OF INTERNAL FINANCIAL CONTROLS OVER FINANCIAL REPORTING

A company's internal financial control over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of financial statements for external purposes in accordance with generallyaccepted accounting principles. A company's internal financial control over financialreporting includes those policies and procedures that (1) pertain to the maintenance ofrecords that in reasonable detail accurately and fairly reflect the transactions anddisposition of the assets of the Company. (2) provide reasonable assurance thattransaction are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the company are being made only in accordance with authorizations ofmanagement and directors of the company ; and (3) provide reasonable assurance regardingprevention or timely detection of un-authorized 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 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 internal financial control overfinancial reporting may become inadequate because of changes in conditions or that thedegree 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 2019based on the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAudit of Internal Financial Controls Over Financial Reporting issued by the Institute ofChartered Accountants of India.

FOR M/s B. CHORDIA & CO.
CHARTERED ACCOUNTANTS
(Firm's Registration No: 121083W)
CA. VIKAS CHORDIA
Place: Surat Partner
Date: May 30 2019 M. No. 158536