The Members of
Report on the Audit of the Standalone Ind AS Financial Statements
a) We have audited the accompanying standalone financial statements of CatvisionLimited which comprise the Balance Sheet as at 31st March 2021 the Statementof Profit and Loss (including Other Comprehensive Income) the Cash Flow Statement and theStatement of Changes in Equity for the year then ended and a summary of the significantaccounting policies and other explanatory information.
b) In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Companies Act 2013 (the Act') in the manner so required and give a true andfair view in conformity with the accounting principles generally accepted in Indiaincluding Indian Accounting Standards (Ind AS') specified under Section 133 of theAct of the state of affairs (financial position) of the Company as at 31stMarch 2021 and its profit/(loss) (financial performance including other comprehensiveincome) its cash flows and the changes in equity for the year ended on that date.
2. Basis of Opinion
We conducted our audit in accordance with the Standards on Auditing specified underSection 143(10) of the Act. Our responsibilities under those standards are furtherdescribed in the Auditor's Responsibilities for the Audit of the Financial Statementssection of our report. We are independent of the Company in accordance with the Code ofEthics issued by the Institute of Chartered Accountants of India (ICAI') togetherwith the ethical requirements that are relevant to our audit of the financial statementsunder the provisions of the Act and the rules thereunder and we have fulfilled our otherethical responsibilities in accordance with these requirements and the Code of Ethics. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our opinion.
3. 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 of the financial yearended 31st March 2021. These matters were addressed in the context of ouraudit of the standalone financial statements as a whole and in forming our opinionthereon and we do not provide a separate opinion on these matters.
We have determined the matters described below to be the key audit matters to becommunicated in our report.
|We have fulfilled the responsibilities described in the Auditors' responsibilities for the audit of the Standalone Financial Statements section of our report. |
| Internal Audit: At present the Internal audit is conducted by designated employee of the company. In our opinion the internal audit should be conducted by an independent agency. |
4. Information other than the Financial Statements and Auditor's Report thereon
The Company's Board of Directors is responsible for the preparation of otherinformation. The other information comprises the information included in the AnnualReport but does not include the financial statements and our auditor's report thereon.
Our opinion on the financial statements does not cover the other information and we donot express any form of assurance conclusion thereon.
In connection with our audit of the financial statements our responsibility is to readthe other information and in doing so consider whether the other information ismaterially inconsistent with the 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.
5. Responsibilities of Management and Those Charged with Governance for the StandaloneFinancial Statements
a. 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 financial statementsthat give a true and fair view of the state of affairs (financial position) profit orloss (financial performance including other comprehensive income) changes in equity andcash flows of the Company in accordance with the accounting principles generally acceptedin India including the Ind AS specified under Section 133 of the Act. This responsibilityalso includes maintenance of adequate accounting records in accordance with the provisionsof the Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate accountingpolicies; making judgments and estimates that are reasonable and prudent; and designimplementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.
b. 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.
c. Those Board of Directors are also responsible for overseeing the Company's financialreporting process.
6. Auditor's Responsibilities for the Audit of the Financial Statements
a. 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.
b. As part of an audit in accordance with Standards on Auditing we exerciseprofessional judgment 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 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 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.
c. We communicate with those charged with governance of the Company regarding amongother matters the planned scope and timing of the audit and significant audit findingsincluding any significant deficiencies in internal control that we identify during ouraudit.
d. 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.
e. From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the financial statements of thecurrent period and are therefore the key audit matters. We describe these matters in ourauditor's report unless law or regulation precludes public disclosure about the matter orwhen in extremely rare circumstances we determine that a matter should not becommunicated in our report because the adverse consequences of doing so would reasonablybe expected to outweigh the public interest benefits of such communication.
Report on other Legal and Regulatory Requirements
1. As required by the Companies (Auditors Report) Order 2016 ("the Order")issued by the Central Government in terms of Section 143(11) of the Act we give in the"Annexure B" a statement on the matters specified in the paragraph 3 and 4 ofthe Order to the extent applicable.
2. As required by section 143(3) of the Act we report that:
a. We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purposes of our audit.
b. In our opinion proper books of account as required by law have been kept by theCompany so far as it appears from our examination of those books.
c. The Balance Sheet the Statement of Profit and Loss and the Cash Flow Statementdealt with by this Report are in agreement with the books of account.
d. In our opinion the aforesaid standalone financial statements comply with theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014.
e. On the basis of the written representations received from the Directors as on 31stMarch 2021 taken on record by the Board of directors none of the Directors isdisqualified as on 31st March 2021 from being appointed as a Director in termsof section 164(2) of the Act.
f. With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate report in "Annexure A". Our report expresses an unmodified opinion onthe adequacy and operating effectiveness of the internal financial control over financialreporting of those companies for reasons stated therein.
g. In Our opinion the managerial remuneration for the year ended March 312021 hasbeen paid/provided by the company to its directors in accordance with the provisions ofsection 197 read with schedule V to the Act as amended
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:
The Company has disclosed the impact of pending litigations which would impactits financial position in the standalone Ind AS financial statements - Refer Note 34 tothe standalone financial statements.
The Company did not have any long-term contracts including derivatives contractsfor which there were any material foreseeable losses.
There has been no delay in transferring amounts required to be transferred toInvestor Education and Protection Fund by the company.
"Annexure A" to the Independent Auditor's Report of even date on theStandalone Financial Statements of Catvision Limited
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act") as referred to in paragraph 1(g) ofReport on Other Legal and Regulatory Requirements' section
We have audited the internal financial controls over financial reporting of CatvisionLimited ("the Company") as of 31st March 2021 in conjunction withour audit of the standalone financial statements of the Company for the year ended on thatdate.
Management's Responsibility for Internal Financial Controls
The Company's management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls over Financial Reportingissued by the Institute of Chartered Accountants of India (ICAI'). Theseresponsibilities include the design 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.
Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls over Financial Reporting(the "Guidance Note") and the Standards on Auditing issued by ICAI and deemedto be prescribed under section 143(10) of the Companies Act 2013 to the extentapplicable to an audit of internal financial controls both applicable to an audit ofInternal Financial Controls and both issued by the ICAI. Those Standards and the GuidanceNote require that we comply with ethical requirements and plan and perform the audit toobtain reasonable assurance about whether adequate internal financial controls overfinancial reporting was established and maintained and if such controls operatedeffectively in all material respects. Our audit involves performing procedures to obtainaudit evidence about the adequacy of the internal financial controls system over financialreporting and their operating effectiveness.
Our audit of internal financial controls over financial reporting included obtaining anunderstanding of internal financial controls over financial reporting assessing the riskthat a material weakness exists testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditor's judgment including the assessment of the risks of materialmisstatement 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 anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions 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 unauthorized 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 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.
In our opinion and to the best of our information and according to the explanationsgiven to us the Company has in all material respects an adequate internal financialcontrols system over financial reporting and such internal financial controls overfinancial reporting were operating effectively as at 31st March 2021 based onthe 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.
"Annexure B" to the Independent Auditor's Report to the members of CatvisionLimited dated June 28 2021.
Report on the matters specified in paragraph 3 of the Companies (Auditor's Report)Order 2016 ("the Order') issued by the Central Government of India in terms ofsection 143(11) of the Companies Act 2013 ("the Act") as referred to inparagraph 1 of Report on Other Legal and Regulatory Requirements' section
i. In respect of Company's fixed assets:
a. The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets on the basis of available information.
b. As explained to us all the fixed assets have been physically verified by themanagement at regular intervals which in our opinion is reasonable having regard to thesize of the Company and nature of its assets. According to the information and explanationgiven to us no material discrepancies were noticed on such physical verification.
c. According to the information and explanation given to us and records examined by usand based on the examination of the title deeds of immovable properties included in fixedassets are held in the name of the Company as at the balance sheet date.
ii. In respect of its inventories:
a. The inventories have been physically verified during the year by the management atreasonable intervals and no material discrepancies were noticed on physical verification.
b. In our opinion and according to the information and explanations given to us theprocedures of physical verification of inventories followed by the management arereasonable and adequate in relation to the size of the Company and the nature of itsbusiness.
c. The Company has maintained proper records of inventories. As per the information andexplanation given to us no material discrepancies were noticed on physical verification.
iii. According to the information and explanations given to us the company has notgranted any loans secured or unsecured to companies firms and limited liabilitypartnerships or other parties covered in the registered maintained under section 189 ofthe Act.
iv. In our opinion and according to the information & explanation given to usthere are no loans guarantees and securities granted in respect of which provision ofSection 185 & 186 of the Act however company has made investment in its Indian JointVenture and in its foreign Joint Venture in accordance with the provision of the Act.
v. According to the information and explanations given to us the Company had accepteddeposit from the shareholders of the Company and during the year under review all thedeposits were repaid. Necessary compliance of directives issued by the Reserve Bank ofIndia and the Act and Rules made there under has been complied with.
vi. The company is registered under MSMED Act 2006 therefore maintenance of costrecords is not required as per Rule 3 of the Companies (Cost Records and Audit) Rules2014.
vii. In respect of statutory dues:
a. According to the information and explanations given to us undisputed statutory duesincluding Provident Fund Employees' State Insurance Income Tax Goods and Service TaxCess and other material statutory dues have been regularly deposited with the appropriateauthorities. No undisputed amounts payable in respect of the aforesaid dues wereoutstanding as at 31st March 2021 for a period of more than six months fromthe date of becoming payable.
b. According to the records of the Company the dues of Income Tax outstanding onaccount of dispute which has not been deposited on account of disputes as on 31stMarch 2021 are given below:
|Name of Statute ||Nature of Dues ||Forum Where dispute is pending ||Period to which the amount relates ||Amount Involved (Rs) ||Amount Unpaid (Rs) |
|Income Tax Act 1961 ||Income Tax ||CIT ||AY 2010-11 ||1049070 ||1049070 |
|Income Tax Act 1961 ||Income Tax ||CIT ||AY 2011-12 ||137450 ||137450 |
viii. According to the records of the Company examined by us and the information andexplanations given to us in our opinion the Company has not defaulted in repayment ofits dues to Governments banks and financial institutions or has not issued anydebentures.
ix. According to the information and explanation given by the management the Companyhas not raised any money by way of Initial Public offer/further public offer (includingdebt instruments).
x. During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us no instances of fraud by theCompany or any fraud on the Company by its officers or employees have been noticed orreported during the year.
xi. According to the information & explanation given by the management managerialremuneration has been paid/provided in accordance with requisite approvals mandated by theprovision of Section 197 read with Schedule V to the Companies Act 2013.
xii. In our opinion the Company is not Nidhi Company therefore the provision ofclause (xii) of the Order is not applicable.
xiii. According to the information & explanation given by the managementtransactions with the related parties are in compliance with section 177 and 188 of theAct where applicable and the details have been disclosed in the notes to the financialstatements as required by the applicable Accounting Standards.
xiv. According to the information & explanation given to us and on an overallexamination of the balance sheet the Company has not made any preferential allotment orprivate placement of share or fully or partly convertible debentures during the year underreview and hence reporting requirements under clause (xiv) of the Order is not applicableto the company and not commented upon.
xv. According to the information & explanation given by the management the Companyhas not entered into any non-cash transactions with directors or persons connected withhim as referred to Section 192 of the Companies Act 2013.
xvi. The Company is not required to be registered under section 45-I A of the ReserveBank of India Act 1934.
|For GD Pandit & Co. Chartered Accountants FRN: 00167N || |
|Vinod Goyal . || |
|Partner ||Place: Noida U.P |
|Membership No. 083701 UDIN: 21083701AAAABM4058 ||Date: 28.06.2021 |