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BF Utilities Ltd.

BSE: 532430 Sector: Infrastructure
NSE: BFUTILITIE ISIN Code: INE243D01012
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OPEN 372.95
PREVIOUS CLOSE 367.65
VOLUME 22147
52-Week high 489.90
52-Week low 262.90
P/E 265.74
Mkt Cap.(Rs cr) 1,361
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 372.95
CLOSE 367.65
VOLUME 22147
52-Week high 489.90
52-Week low 262.90
P/E 265.74
Mkt Cap.(Rs cr) 1,361
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

BF Utilities Ltd. (BFUTILITIE) - Auditors Report

Company auditors report

INDEPENDENT AUDITORS' REPORT

T o

The Members of BF Utilities Limited Pune.

Report on the Audit of the Standalone Financial Statements

1 . Opinion

We have audited the accompanying standalone financial statements of BF UtilitiesLimited ("the Company") which comprise the Balance Sheet as at March 31 2022the Statement of Profit and Loss (including other comprehensive income) statement ofChanges in Equity and statement of Cash Flows for the year then ended and notes to thefinancial statements including a summary of significant accounting policies and otherexplanatory information (hereinafter referred to as 'the Standalone FinancialStatements').

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 as amended ('the Act') in the manner so required and give atrue and fair view in conformity with 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 March 31 2022 the profit (including othercomprehensive income) changes in equity and its cash flows for the year ended on thatdate.

2 . Basis for Opinion

We conducted our audit of Standalone Financial Statements in accordance with theStandards 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 Financial Statements section of ourreport. We are independent of the Company in accordance with the 'Code of Ethics' issuedby the Institute of Chartered Accountants of India ('the ICAI') together with the ethicalrequirements that are relevant to our audit of the Standalone Financial Statements underthe provisions of the Act and 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 we have obtained is sufficient and appropriate to provide a basisfor our opinion on the Standalone Financial Statements.

3 . Emphasis of Matter

We draw attention to the following matters in the Notes to the Standalone FinancialStatements:

a) Certain litigations by and against the Company and subsidiaries of the Company arepending in various Courts and the matter is subjudice. The company shall review and ifrequired carry out necessary accounting adjustments after the final outcome of the cases.

b) The Subsidiaries viz. Nandi Infrastructure Corridor Enterprises Ltd. (NICE) andNandi Economic Corridor Enterprises Ltd. (NECE) have not yet submitted their auditedfinancial statements for the year ended March 31 2022 to the Company. The Company willpublish consolidated financial statements once the audited financial statements are madeavailable by the subsidiary companies.

Our opinion is not modified in respect of these matters.

4 . Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the standalone financial statements for the financial yearended March 31 2022. These matters were addressed in the context of our audit of thestandalone financial statements as a whole and in forming our opinion thereon and we donot provide a separate opinion on these matters. For the matter given below ourdescription of how our audit addressed the matter is provided in that context.

We have determined the matters described below to be the key audit matter to becommunicated in our report.

Sr. no. Key Audit Matter Auditor's response
1 . Management's judgement in respect of Impairment testing of investment in Subsidiary having negative net worth Nandi Economic Corridor Enterprises Ltd. (NECE) which is subsidiary of the company is in the process of finalising the accounts for the financial year ended 31st March 2022. However negative net worth is observed based on the information available with the company. The audit procedures that were performed are as under:
• We have reviewed the reasonableness of the projected revenue expenses and the net present value of the cash flows (NPV) of the subsidiary and discount rate involved on the basis of the projected financial statements.
• We have also compared the NPV with carrying amounts of the asset in order to ascertain adequacy of judgement of impairment testing.
Management of NECE has applied key judgements in estimating the discounted future cash flows. Considering the discounted future cash flows and explanations the company's management is of the view that there is no impairment adjustment required in the value of investment in subsidiary company. Refer Note. 42 to the Standalone Financial Statement. • Our procedures did not reveal any material concerns in respect of impairment testing of investment in subsidiary.

5 . Information Other than the Standalone Financial Statements and Auditor's ReportThereon

The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the Management Discussion and AnalysisCorporate Governance and Directors' Report but does not include the Standalone FinancialStatements and our auditor's report thereon. The other information as stated above isexpected to be made available to us after the date of this report.

Our opinion on the Standalone Financial Statements does not cover the other informationand we will not express any form of assurance conclusion thereon.

In connection with our audit of the Standalone Financial Statements our responsibilityis to read the other information identified above and in doing so consider whether theother information is materially inconsistent with the Financial Statements or ourknowledge obtained in the audit or otherwise appears to be materially misstated.

Upon reading of the other information made available to us if we conclude that thereis a material misstatement therein we are required to communicate the matter to thosecharged with governance.

6 . Responsibilities of Management for the Standalone Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Act with respect to the preparation of these Standalone Financial Statementsthat give a true and fair view of the financial position financial performance changesin equity and cash flows of the Company in accordance with the accounting principlesgenerally accepted in India including the Indian Accounting Standards ("IndAS") specified under Section 133 of the Act read with the companies (IndianAccounting Standards) Rules 2015 as amended. This responsibility also includesmaintenance of adequate accounting records in accordance with the provisions of the Actfor safeguarding of the assets of the Company and for preventing and detecting frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the Standalone Financial Statements that give a true andfair view and are free from material misstatements whether due to fraud or error.

In preparing the Standalone Financial Statements Board of Directors 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 unlessBoard of Directors either intends to liquidate the Company or to cease operations or hasno realistic alternative but to do so.

The Board of Directors is also responsible for overseeing the Company's financialreporting process.

7 . Responsibilities of Auditor for the Audit of the Standalone 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 Standards 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 Standalone Financial Statements.

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

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

• Obtain an understanding of internal financial 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 with reference to the StandaloneFinancial Statements and the operating effectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates 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 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.

• Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the standalone financialstatements represent 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 standalone financial statements may be influenced. Weconsider quantitative materiality and qualitative factors in (i) planning the scope of ouraudit work and in evaluating the results of our work; and (ii) to evaluate the effect ofany identified misstatements in the standalone 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.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the standalone financial statementsfor the financial year ended March 31 2022 and are therefore the key audit matters. Wedescribe these matters in our auditor's report unless law or regulation precludes publicdisclosure about the matter or when in extremely rare circumstances we determine that amatter should not be communicated in our report because the adverse consequences of doingso would reasonably be expected to outweigh the public interest benefits of suchcommunication.

8 . Other Matter

The standalone financial statements of the company for the year ended March 31 2021were audited by predecessor auditor viz. Joshi Apte & Co. Chartered Accountants whoexpressed an unmodified opinion on those statements vide their audit report dated June 142021.

Our opinion is not modified in respect of this matter.

9 . Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2020 ("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 1" a statement on the matters specified inparagraphs 3 and 4 of the said 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 (including Other ComprehensiveIncome) the Statement of Changes in Equity and the Statement of Cash Flow dealt with bythis Report are in agreement with the books of account.

(d) In our opinion the aforesaid standalone financial statements comply with theIndian Accounting Standards specified under Section 133 of the Act read with Companies(Indian Accounting Standards) Rules 2015 as amended.

(e) On the basis of the written representations received from the directors as on March31 2022 and taken on record by the Board of Directors none of the director isdisqualified as on March 31 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 with reference toStandalone Financial Statements of the company and the operating effectiveness of suchcontrols refer to our separate Report in "Annexure 2" to this report.

(g) The managerial remuneration has been paid and provided in accordance with theprovisions of Section 197 and Schedule V of the Act.

(h) 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 as amended inour opinion and to the best of our information and according to the explanations given tous:

i. The Company has disclosed the impact of pending litigations on its financialposition in its standalone financial statements - Refer Note 24 to the financialstatements.

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

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

iv. The management has represented that to the best of its knowledge or belief nofunds have been advanced or loaned or invested (either from borrowed funds or sharepremium or any other sources or kind of funds) by the company to or in any other person(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 any guarantee securityor the like on behalf of the Ultimate Beneficiaries;

v. The management has represented that to the best of its knowledge or belief no fundshave been received by the company from any other person(s) or entity(ies) includingforeign entities (funding parties) with the understanding whether recorded in writing orotherwise that the company shall whether directly or indirectly lend or invest in otherpersons or entities identified in any manner whatsoever by or on behalf of the fundingparty (ultimate beneficiaries) or provide any guarantee security or the like on behalf ofthe Ultimate Beneficiaries;

vi. Based on the audit procedures considered reasonable and appropriate in thecircumstances carried out by us nothing has come to our notice that has caused us tobelieve that the representation under clause (iv) & (v) contain any materialmisstatements.

vii. The Company has neither declared nor paid any dividend during the year.

For G. D. Apte & Co.
Chartered Accountants
Firm Registration Number: 100515W
Anagha M. Nanivadekar
Partner
Place: Pune Membership Number: 121 007
Date: May 30 2022 UDIN: 22121007AJWVYG9834

(referred to in Paragraph 1 under the heading 'Report on Other Legal and RegulatoryRequirements' section of our report to the members of the BF Utilities Ltd. of even date).

i. (a) (A) The company has maintained proper records showing full particulars includingquantitative details and situation of Property plant and equipment.

(B) According to the information and explanations given to us and based on theexamination of the records of the company the company does not have any intangible assetsas at March 31 2022 and as such reporting under clause i(a)(B) of the Order is notapplicable to the company.

(b) The Company has carried out physical verification of significant items of itsproperty plant and equipment during the year and no materials discrepancies were noticedon such verification. In our opinion the periodicity of physical verification isreasonable having regard to the size of the Company and nature of its assets.

(c) According to the information and explanations given to us and based on theexamination of registered documents provided to us we report that the title deeds ofimmovable properties as disclosed in the Standalone Financial Statements are held in thename of the Company subject to correction in the revenue record in respect of landadmeasuring 65.75 Acres situated at Boposhi District Satara which is under litigation.

(d) During the year the Company has not revalued its Property plant and equipment.

(e) According to the information and explanations given to us we report that noproceedings have been initiated or are pending against the Company for holding any benamiproperty under the Benami Transactions (Prohibition) Act 1988 (45 of 1988) and rules madethereunder.

ii. (a) (1) The Company has carried out physical verification of inventories in thenature of spare parts during the year and no materials discrepancies were noticed on suchverification. In our opinion the periodicity of physical verification is reasonable.

(2) Based on the information and explanations provided to us and based on the auditprocedures conducted by us we report that the inventories of renewable energycertificates (RECs) have been verified electronically on web portal of "RenewableEnergy Certificate Registry of India" as at March 31 2022 since the same are notphysically verifiable considering the nature of inventories. We report that we did notobserve any material discrepancies therein.

(b) Based on the audit procedures conducted by us and according to the information andexplanations given to us we report that the Company has not been sanctioned any workingcapital limits from banks or financial institutions during the year. As such reportingunder paragraph 3 (ii)(b) of the Order is not applicable to the Company.

iii. Based on the audit procedures conducted by us and according to the information andexplanations provided to us during the year the company has not made any investments inor has not provided any guarantee or security or has not granted any loans or advances inthe nature of loans secured or unsecured to companies firms Limited LiabilityPartnerships or any other parties. As such reporting under paragraph 3 (iii) (a) to (f)of the Order are not applicable to the Company.

iv. In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Section 185 of the Act. The provisions ofsection 186 of the Act except sub-section 1 are not applicable to the Company beingcompany providing infrastructural facilities as specified in Schedule VI to the Act. Wefurther report that provisions of sub-section 1 of section 186 are complied with.

v. The Company has not accepted any deposits or amounts which are deemed to be depositsto which the provisions of section 73 to 76 or any other relevant provisions of theCompanies Act 2013 and the rules made there under apply. According to the information andexplanations given to us no order has been passed by Company Law Board or NationalCompany Law Tribunal or Reserve Bank of India or any court or any other tribunal.

vi. The maintenance of cost records is not applicable to the company pursuant to theprovisions of sub-section (1) of section 148 of the companies Act 2013.

vii. (a) The company is generally regular in depositing the undisputed statutory duesincluding provident fund income tax employees state insurance sales tax service taxduty of customs duty of excise value added tax goods and services Tax cess and othermaterial statutory dues as applicable with appropriate authorities.

According to the information and explanations given to us and on the basis ofexamination of the books of account and the records of the Company we report that therewere no undisputed statutory dues as at the last day of the financial year which wereoutstanding for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us and on the basis ofexamination of books of account and records of the company we report that there are nodues in respect of provident fund income tax employees state insurance sales taxservice tax duty of customs duty of excise value added tax goods and services Taxcess and other material statutory dues which have not been deposited on account of anydispute.

viii. According to the information and explanations given to us and on the basis ofexamination of books of account and records of the company we report that there are notransactions which were not recorded in the books of account but have been surrendered ordisclosed as income during the year in the tax assessments under the Income Tax Act 1961(43 of 1961).

ix. (a) The company has not defaulted in repayment of interest free inter corporateloans repayable on demand.

According to the information and explanations given to us such loans have not beendemanded for repayment. The company has not taken any loans from banks or financialinstitutions.

The company has not defaulted in repayment of other borrowings being amount of SalesTax Deferral obligation.

(b) According to the information and explanations given to us and on the basis ofexamination of books of account and records of the company we report that the company hasnot been declared to be a wilful defaulter by any lender.

(c) According to the information and explanations given to us and on the basis ofexamination of books of account and records the company has not availed term loans duringthe year. As such reporting under clause 3(ix)(c ) shall not be applicable.

(d) During the year the company has not raised any loans from banks or financialinstitutions and as such reporting under clause 3(ix)(d) is not applicable.

(e) According to the information and explanations given to us and on the basis ofexamination of books of account and records we report that the company has not taken anyfunds from any entity or person on account of or to meet the obligations of itssubsidiaries.

(f) During the year the company has not raised any loans on the pledge of securitiesheld in any of its subsidiaries and as such reporting under the clause 3(ix)(f) of theOrder is not applicable.

x. (a) During the year the Company has not raised any money by way of initial publicoffer or further public offer (including debt instruments). As such reporting underclause 3(x)(a) is not applicable.

(b) The company has not made any preferential allotment or private placement of sharesduring the year. As such reporting under clause 3(x)(b) is not applicable.

xi. (a) Based upon the audit procedures performed for the purpose of reporting the trueand fair view of the Standalone Financial Statements and as per the information andexplanations given by the management we report that no fraud by the Company or any fraudon the company has been noticed or reported during the year.

(b) No report under sub-section (12) of section 143 of the Companies Act has been filedby the auditors in Form ADT-4 as prescribed under rule 13 of Companies (Audit andAuditors) Rules 2014 with the Central Government.

(c) According to the information and explanations given to us we report that nowhistle-blower complaints were received during the year by the company.

xii. The Company is not a Nidhi Company within the meaning of Section 406 of the Act.As such reporting under clause 3 (xii) (a) to (c) is not applicable.

xiii. Based upon the audit procedures performed and as per the information andexplanations given to us we report that the transactions with the related parties are incompliance with Sections 177 and 188 of the Act where applicable and the details asrequired by the applicable Indian Accounting Standards have been disclosed in theStandalone Financial Statements.

xiv. (a) In our opinion the internal audit system of the company is commensurate withthe size and nature of its business.

(b) The reports of internal auditors for the year under audit have been considered byus.

xv. Based upon the audit procedures performed by us and according to the informationand explanations given to us we report that the Company has not entered into any non-cashtransactions of the nature as described in Section 192 of the Act.

xvi. (a) The company is not required to be registered under section 45-IA of theReserve Bank of India Act 1934 (2 of 1934). Accordingly the provisions of clause (xvi(a)) of the Order are not applicable to the company.

(b) The company has not conducted any Non-Banking Financial or Housing Financeactivities during the year.

(c) The Company would not be classified as a Core Investment Company (CIC) as definedin the regulations made by the Reserve Bank of India.

(d) According to the information and explanation given to us the group has two CoreInvestment Companies as defined in Core Investment Companies (Reserve Bank) Directions2016.

xvii. On the basis of examination of books of account and records of the company andoverall examination of the Standalone Financial Statements we report that the Company hasnot incurred cash losses in the financial year 2021-22 or in the immediately precedingFinancial Year 2020-2021.

xviii. There has been no resignation of the statutory auditors during the year andaccordingly the reporting under clause 3 (xviii) is not applicable.

xix. 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.

xx. In our opinion and according to information and explanation provided to us andbased on the audit procedures carried out by us we report that the Company is notrequired to incur expenditure on Corporate Social Responsibility (CSR) under section 135of the Act since the Company does not satisfy any of the criteria of applicability of CSRprovisions as specified under section 135 of the Act. Accordingly reporting under clause3(xx) of the Order is not applicable to the Company.

For G. D. Apte & Co.

Chartered Accountants Firm Registration Number: 100515W

Anagha M. Nanivadekar
Partner
Place: Pune Membership Number: 121 007
Date: May 30 2022 UDIN: 22121007AJWVYG9834

ANNEXURE "2" TO THE INDEPENDENT AUDITORS' REPORT

Annexure-2 to the Independent Auditor's Report of even date on the Standalone FinancialStatements of the BF Utilities Ltd.

Report on the Internal Financial Controls with reference to Standalone FinancialStatements under clause (i) of Sub-Section 3 of Section 143 of the Companies Act 2013("the Act").

To the Members of BF Utilities Limited

We have audited the internal financial controls with reference to BF Utilities Limited("the Company") as of March 31 2022 in conjunction with our audit of theStandalone Financial Statements of the Company for the year ended on that date.

Responsibilities of Management 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 the 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.

Responsibilities of Auditor

Our responsibility is to express an opinion on the Company's internal financialcontrols with reference to Standalone Financial Statement based on our audit. We conductedour audit in accordance with the Guidance Note on Audit of Internal Financial Controlsover Financial Reporting (the "Guidance Note") and the Standards on Auditing asspecified under Section 143(10) of the Companies Act 2013 to the extent applicable to anaudit of internal financial controls with reference to Standalone Financial Statementsboth issued by the ICAI. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate internal financial controls with reference to Standalone FinancialStatements were established and maintained and if such controls operated effectively inall material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls with reference to Standalone Financial Statements andtheir operating effectiveness. Our audit of internal financial controls with reference toStandalone Financial Statements included obtaining an understanding of such internalfinancial controls assessing the risk that a material weakness exists and testing andevaluating the design and operating effectiveness of internal control based on theassessed risk. The procedures selected depend on the auditor's judgement including theassessment of the risks of material misstatement of the standalone financial statementswhether 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 internal financial controls system withreference to Standalone Financial Statements.

Meaning of Internal Financial Controls over Financial Reporting with reference toStandalone Financial Statements

A Company's internal financial control over financial reporting with reference toStandalone Financial Statements is a process designed to provide reasonable assuranceregarding the reliability of financial reporting and the preparation of standalonefinancial statements for external purposes in accordance with generally acceptedaccounting principles. A Company's internal financial control over financial reportingwith reference to Standalone Financial Statements includes those policies and proceduresthat

(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) provide reasonable assurance that transactions are recorded as necessary to permitpreparation of standalone financial statements in accordance with generally acceptedaccounting principles and that receipts and expenditures of the Company are being madeonly in accordance with authorisations of management and directors of the Company; and

(3) provide reasonable assurance regarding prevention or timely detection ofunauthorised acquisition use or disposition of the Company's assets that could have amaterial effect on the standalone financial statements.

Inherent Limitations of Internal Financial Controls over Financial Reporting withreference to Standalone Financial Statements

Because of the inherent limitations of internal financial controls over financialreporting with reference to Standalone Financial Statements including the possibility ofcollusion or improper management override of controls material misstatements due to erroror fraud may occur and not be detected. Also projections of any evaluation of theinternal financial controls over financial reporting with reference to StandaloneFinancial Statements to future periods are subject to the risk that the internal financialcontrol over financial reporting with reference to Standalone Financial Statements maybecome inadequate because of changes in conditions or that the degree of compliance withthe policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internalfinancial controls with reference to Standalone Financial Statements and such internalfinancial controls were operating effectively as at March 31 2022 based on the internalcontrol over financial reporting criteria established by the Company considering theessential components of internal controls stated in the Guidance Note issued by the ICAI.

For G. D. Apte & Co.

Chartered Accountants Firm Registration Number: 100515W

Anagha M. Nanivadekar
Partner
Place: Pune Membership Number: 121 007
Date: May 30 2022 UDIN: 22121007AJWVYG9834

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