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Betex India Ltd.

BSE: 512477 Sector: Industrials
NSE: N.A. ISIN Code: INE765L01017
BSE 00:00 | 23 Sep 74.00 -4.00
(-5.13%)
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NSE 05:30 | 01 Jan Betex India Ltd
OPEN 73.30
PREVIOUS CLOSE 78.00
VOLUME 410
52-Week high 153.45
52-Week low 58.00
P/E 34.74
Mkt Cap.(Rs cr) 11
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 73.30
CLOSE 78.00
VOLUME 410
52-Week high 153.45
52-Week low 58.00
P/E 34.74
Mkt Cap.(Rs cr) 11
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Betex India Ltd. (BETEXINDIA) - Auditors Report

Company auditors report

TO THE MEMBERS

BETEX INDIA LIMITED Surat Gujarat India

Opinion

We have audited the standalone financial statements of BETEX INDIA LIMITED ("theCompany") which comprise the balance sheet as at 31st March 2022 and the statementof Profit and Loss (statement of changes in equity) and statement of cash flows for theyear then ended and notes to the financial statements including a summary of significantaccounting 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 2022 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.For each matter below our description of how our audit addressed the matter is providedin that context.

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 information included in the Annual Report but does not includethe 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 financial statements or our knowledge obtained in theaudit or otherwise appears to be materially misstated. If based on the work we haveperformed we conclude that there is a material misstatement of this other information weare required to report that fact. We have nothing to report in this regard.

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 total comprehensive income change in equity and cashflows of the Company in accordance with the accounting principles generally accepted inIndia including the Ind AS specified under Section 133 of the Act read with rule 7 ofcompanies (Accounts) Rules 2014 and the companies(Indian Accounting Standards) Rules2015 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 financialstatements 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.

The respective Board of Directors are also responsible for overseeing the Company'sfinancial 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 withStandards on Auditing will always detect a material misstatement when it exists.Misstatements can arise from fraud or error and are considered material if individuallyor in the aggregate they could reasonably be expected to influence the economic decisionsof users taken on the basis of these financial statements.

As part of an audit in accordance with Standards on Auditing we exercise professionaljudgment and maintain professional skepticism throughout the audit. We also:

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 withStandards on Auditing will always detect a material misstatement when it exists.Misstatements can arise from fraud or error and are considered material if individuallyor in the aggregate they could reasonably be expected to influence the economic decisionsof users taken on the basis of these financial statements.

As part of an audit in accordance with Standards on Auditing we exercise professionaljudgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the 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.

• Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under Section 143(3)(i) of the Act we are also responsible for explaining our opinion on whether the Companyhas adequate internal financial controls system in place and the operating effectivenessof such controls.

• Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimate and related disclosures made by management.

• Conclude on the appropriateness of management's use of the going concern basisof accounting 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 financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditor'sreport. However future events or conditions may cause the Company to cease to continue asa going concern.

• Evaluate the overall presentation structure and content of the financialstatements including the disclosures and whether the financial statements represent theunderlying transactions and events in a manner that achieves fair presentation.

• Materiality is the magnitude of the misstatements in the 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 auditwork and in evaluating the results of our work; and (ii) to evaluate the effect of anyidentified misstatements in the financial statements

• We communicate with those charged with governance regarding among othermatters 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 we determinethose matters that were of most significance in the audit of the financial statements ofthe current period and are therefore the key audit matters. We

describe these matters in our auditor's report unless law or regulation precludespublic disclosure about the matter or when in extremely rare circumstances we determinethat a matter should not be communicated in our report because the adverse consequences ofdoing so would reasonably be expected to outweigh the public interest benefits of suchcommunication

We Report that:

As required by the Companies(Auditor's Report) Order 2020 ("the Order")issued by the Central Government of India in terms o f

Sub-section (11) of Section 143 of the Act we give in the "Annexure A" astatement on the matters specified in the paragraph 3 &

4 of the order to the extent applicable.

As required by section 143(3) of the Act based on our audit 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 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 312021 and taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2021 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 other matters to be included in the Auditor's Report in accordancewith Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinion and to thebest of our information and according to the explanations given to us:

i) The Company has disclosed the impact of pending litigations on its financialposition in its standalone financial statements.

(ii) Based on the assessment made by the company there are no material foreseeablelosses on its long-term contracts that may require any provisioning.

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

(iv) a) The management has represented that to the best of its knowledge and beliefno funds have been

advanced or loaned or invested (either from borrowed funds or share premium or anyother sources or kind of funds) by the Company to or in any other persons or entitiesincluding foreign entities ("Intermediaries") with the understanding whetherrecorded in writing or otherwise that the Intermediary shall directly or indirectly lendor invest in other persons or entities identified in any manner whatsoever by or on behalfof the Company or any of such subsidiaries ("Ultimate Beneficiaries") or provideany guarantee security or the like to or on behalf of the Ultimate Beneficiaries.

b) The management has represented that to the best of its knowledge and belief nofunds have been received by the Company from any persons or entities including foreignentities ("Funding Parties") with the understanding whether recorded inwriting or otherwise that the Company shall directly or indirectly lend or invest inother persons or entities identified in any manner whatsoever ("UltimateBeneficiaries") by or on behalf of the Funding Party or provide any guaranteesecurity or the like from or on behalf of the Ultimate Beneficiaries.

c) Based on such audit procedures as considered reasonable and appropriate in thecircumstances nothing has come to our notice that has caused us to believe that therepresentations under sub-clause (iv)(a) and (iv)(b) contain any material mis-statement.

v) The company has not paid/declared any dividend during the years and hence complianceof section 123 of the Act is not applicable.

FOR M/s B. CHORDIA & CO.
CHARTERED ACCOUNTANTS
(Firm's Registration No: 121083W)
CA. VIKAS CHORDIA
Place: Surat Partner
Date: May 30 2022 M. No.158536
UDIN: 22158536AJWYOI6626

"ANNEXURE A" TO THE INDEPENDENT AUDITORS’ REPORT

BETEX INDIA LIMITED

The Annexure referred to in our report to the members of BETEX INDIA LIMITED for theyear Ended on March 31 2022 We report that:

On the basis of the information and explanation given to us during the course of ouraudit we report that:

i. (a) A. The company is maintaining proper records showing full particulars includingquantitative details and situation of Property Plant and Equipment;

B. The company has no intangible assets in their books of account. Hence Clause i(a)(B)of Companies (Auditor's Report) Order 2020 is not applicable.

(b) According to the explanation and information provided by the management PropertyPlant and Equipment have been physically verified by them at reasonable intervals. Nomaterial discrepancies were noticed on such verification by the management.

(c) The title deeds of all the immovable properties disclosed in the financialstatements are held in the name of the company.

(d) The Company has not revalued its Property Plant and Equipment during the year.Hence Clause (i)(d) of Companies (Auditor's Report) Order 2020 is not applicable.

(e) According to the information and explanations given to us there are no proceedingsinitiated or are pending against the company for holding any benami property under theBenami Transactions(Prohibition) Act 1988 (45 of 1988) and rules made thereunderAccordingly Clause (i)(e) of Companies (Auditor's Report) Order 2020 is not applicable.

ii. (a) According to the explanation given by the management Physical verification ofinventory has been conducted at reasonable intervals by them and in our opinion thecoverage and procedure of such verification by the management is appropriate & nosignificant discrepancies were noticed in the physical verification report.

(b) The company has not been sanctioned any working capital limit in excess of Rs. 5.00Crore during any point of time of the year. Accordingly Clause ii (b) of the order is notapplicable thereto.

iii. During the year the company has not provided any guarantee or security or grantedany loans or advances in the nature of loans secured or unsecured to companies firmsLimited Liability Partnerships or any other parties hence clause iii (a) to

(f) of the order is not applicable thereto

iv. In our opinion and according to the information and explanations given to us theCompany has complied with the provision of section 185 and 186 of the Act with respect tothe loans granted guarantees provided and investment made. The Company has not providedany security in connection with a loan to any other body corporate or person andaccordingly compliance under Sections 185 and 186 of the Act in respect of providingsecurities is not applicable to the Company.

v. The Company has not accepted any deposits or any amount which are deemed to bedeposits during the year and does not have any unclaimed deposits as at March 31 2022 asper the directives issued by the Reserve Bank of India and the provisions of sections 73to 76 or any other relevant provisions of the Companies Act 2013 and the rules framedthere under and therefore Clause 3 (v) of the Companies (Auditor's Report) Order is notapplicable.

vi. According to the information and explanation given to us the company ismaintaining cost records under section 148(1) of the Act. We have however not made adetailed examination of the cost records with a view to determine whether they areaccurate or complete.

vii. a) According to the information and explanation given to us and on the basis ofour examination of the records of the

Company amount deducted/accrued in the books of account in respect of undisputedstatutory due including provident fund employees' state insurance income tax goods andservice tax sales tax service tax duty of custom duty duty of excise value added taxcess Goods and Service tax and other material statutory dues have been regularlydeposited during the year by the Company with the appropriate authorities.

According to the information and explanations given to us no undisputed amountspayable in respect of provident fund income-tax goods and service tax sales taxservice tax duty of custom duty of excise cess and other material statutory due werein arrears as at 31/03/2022 for a period of more than six months from the date they becamepayable

(b) According to the information and explanation given to us there are no dues ofgoods and service tax sales tax or wealth tax or service tax or duty of customs or valueadded tax or cess which have not been deposited with the appropriate authorities onaccount of any dispute. However based on the audit procedure and on the information andexplanations given by the management

viii. According to information and explanation given to us and on the basis ofexamination of records there are no transactions

which are not recorded in books of accounts and have been disclosed as income duringthe year as tax assessment under I.T Act 1961.

ix. (a) Based on the audit procedures and on the information and explanations given bythe management we are of the opinion the company has not defaulted in repayment of duesto financial institutions banks etc.

(b) On the basis of the information or explanation provided by the management duringthe course of audit the company is not a declared wilful defaulter by any bank orfinancial institution or other lender. Hence Clause ix (b) of the Companies (Auditor'sReport) Order is not applicable.

(c) On the basis of the information or explanation provided by the management duringthe course of audit Term loans were applied for the purpose for which the loans wereobtained; no amount of loan has been diverted for any other purpose. Hence Clause ix (c)of the Companies (Auditor's Report) Order is not applicable.

(d) No funds has been raised on short term basis Hence Clause ix (d) of the Companies(Auditor's Report) Order is not applicable.

(e) On the basis of the information or explanation provided by the management duringthe course of audit the company has not taken any funds from any entity or person onaccount of or to meet the obligations of its subsidiaries associates or joint ventures.Hence Clause ix (e) of the Companies (Auditor's Report) Order is not applicable.

(f) On the basis of the information or explanation provided by the management duringthe course of audit the company has not raised loans during the year on the pledge ofsecurities held in its subsidiaries joint ventures or associate companies. Hence Clauseix (f) of the Companies (Auditor's Report) Order is not applicable.

(a) On the basis of the information or explanation provided by the management duringthe course of audit No money

X. was raised by way of initial public offer or further public offer (including debtinstruments) during the year. Hence Clause x (a) of the Companies (Auditor's Report) Orderis not applicable.

(b) On the basis of the information or explanation provided by the management duringthe course of audit The company has not made any preferential allotment or privateplacement of shares or convertible debentures during the year. Hence Clause x (b) of theCompanies (Auditor's Report) Order is not applicable.

(a) On the basis of the information or explanation provided by the management duringthe course of audit no material

Xi. fraud by the company or any fraud on the Company by its officers/employees has beennoticed or reported.

(b) During the course of performance of audit on the basis of information producedbefore us by the management we are in the opinion that no offence of fraud involving suchamount or amounts as may be prescribed is being or has been committed in the company byits officers or employees. Hence sub-section (12) of section 143 of the Companies Act isnot applicable and therefore there is no requirement of reporting under clause 11(b) ofCompanies (Auditor's Report) Order 2020.

(c) On the basis of the information or explanation provided by the management duringthe course of audit there were no whistle-blower complaints during the year.

In our opinion the company is not a nidhi company. Therefore the provisions of clause(xii) of the Companies (Auditor's

Xii. Report) Order 2020 are not applicable to the company.

According to the information and explanations given to us all the transactions with therelated parties are in compliance with

xiii. sections 177 and 188 of Companies Act 2013 and the details have been disclosedin the Standalone Financial Statements

Statement as required by the applicable Ind AS 24 Related Party Disclosures specifiedunder Section 133 of the Act.

(a) In our opinion and based on our examination the company has an internal auditsystem commensurate with the

xiv. size and nature of its business;

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

According to the information and explanations given to us in our opinion the Companyhas not entered into any non-cash

xv. transactions with the directors or persons connected with them covered underSection 192 of the Act. Hence reporting under Clause 15 of Companies (Auditor's Report)Order 2020 is not applicable.

In our opinion and according to the information and explanations given to us by themanagement the company is not

xvi. required to be registered under Section 45 - IA of the Reserve Bank of India1934.and sub clause (b)(c)(d) of clause xvi is not applicable.

According to the information and explanations given to us by the management thecompany has not incurred cash losses xvl1- in the financial year and in theimmediately preceding financial year.

There has not been any resignation of the statutory auditors during the year. HenceClause xviii of the Companies

xviii. (Auditor's Report) Order is not applicable

As per our opinion there is no material uncertainty exists as on the date of the auditreport that company is capable of

xix. 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 on the basis of thefinancial ratios ageing and expected date s of realization of financial assets andpayment of financial liabilities other information accompanying the financial statementsand the auditor's knowledge of the Board of Directors and management plans.

In our opinion and according to the information and explanations given to us there isno unspent amount under sub-section

xx. (5) of Section 135 of the Companies Act 2013 pursuant to any project. Accordinglyclauses 3(xx)(a) and 3(xx)(b) of the Order are not applicable.

FOR M/s B. CHORDIA & CO.
CHARTERED ACCOUNTANTS
(Firm's Registration No: 121083W)
CA. VIKAS CHORDIA
Place: Surat Partner
Date: May 30 2022 M. No.158536
UDIN: 22158536AJWYOI6626

ANNEXURE-B 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("the Act")

We have audited the internal financial controls over financial reporting of M/S BETEXINDIA LIMITED ("the Company") as on 31st March 2022 in conjunctionwith our audit 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'). These responsibilitiesinclude the designs implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the orderly and efficient conduct ofits business including adherence to company's policies the safeguarding of its assetsthe prevention 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.

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 FinancialControlling(the "Guidance Note") and the Standards on Auditing issued by ICAIand deemed to be prescribed under section 143 (10) of the Companies Act 2013 to theextent applicable to an audit of internal financial controls-both applicable to an audit oInternal Financial Controls and both issued by the Institute of Chartered Accountants ofIndia .Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the Audit to obtain responsible assurance about whetheradequate internal financial controls over financial reporting was established andmaintained and if such controls 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 reporting assessing 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 of records that in reasonable detail accurately andfairly reflect the transactions and disposition of the assets of the Company.

(2) provide reasonable assurance that transaction are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the company are being made only inaccordance with authorizations of management and directors of the company ; and

(3) provide reasonable assurance regarding prevention or timely detection ofun-authorized acquisition use or disposition of the company's assets that could have amaterial 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.

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 2021based 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 2022 M. No.158536
UDIN: 22158536AJWYOI6626

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