You are here » Home » Companies » Company Overview » Chowgule Steamships Ltd

Chowgule Steamships Ltd.

BSE: 501833 Sector: Infrastructure
NSE: CHOWGULSTM ISIN Code: INE490A01015
BSE 11:00 | 20 Mar 7.83 -0.41
(-4.98%)
OPEN

7.83

HIGH

7.83

LOW

7.83

NSE 05:30 | 01 Jan Chowgule Steamships Ltd
OPEN 7.83
PREVIOUS CLOSE 8.24
VOLUME 500
52-Week high 15.71
52-Week low 6.62
P/E
Mkt Cap.(Rs cr) 28
Buy Price 7.83
Buy Qty 500.00
Sell Price 8.25
Sell Qty 49.00
OPEN 7.83
CLOSE 8.24
VOLUME 500
52-Week high 15.71
52-Week low 6.62
P/E
Mkt Cap.(Rs cr) 28
Buy Price 7.83
Buy Qty 500.00
Sell Price 8.25
Sell Qty 49.00

Chowgule Steamships Ltd. (CHOWGULSTM) - Auditors Report

Company auditors report

TO THE MEMBERS OF

CHOWGULE STEAMSHIPS LIMITED

Report on the Standalone Ind-AS Financial Statements

We have audited the accompanying Standalone Ind-AS financial statementsof Chowgule Steamships Limited (‘the Company') which comprise the Balance Sheet asat 31st March 2018 the Statement of Profit and Loss (including Other ComprehensiveIncome) the Cash Flow statement and the Statement of Changes in Equity for the year thenended and a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Standalone Ind-AS FinancialStatements

The Company's Board of Directors is responsible for the matters statedin Section 134(5) of the Companies Act 2013 ("the Act") with respect to thepreparation and presentation of these Standalone Ind-AS financial statements that give atrue and fair view of the financial position financial performance including Othercomprehensive income cash flows and changes in equity of the Company in accordance withthe accounting principles generally accepted in India including the Indian AccountingStandards prescribed under section 133 of the Companies Act 2013 read with the relevantrules issued there under. This responsibility also includes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding theassets of the Company and for preventing and detecting frauds and other irregularities;selection and application of appropriate accounting policies; making judgments andestimates that are reasonable and prudent; and design implementation and maintenance ofinternal financial controls with reference to financial statements that were operatingeffectively for ensuring the accuracy and completeness of the accounting records relevantto the preparation and presentation of the standalone Ind-AS financial statements thatgive a true and fair view and are free from material misstatements whether due to fraudor error.

Auditor's Responsibility

Our responsibility is to express an opinion on these standalone Ind-ASfinancial statements based on our audit.

We have taken into account the provisions of the Act the accountingand auditing standards and matters which are required to be included in the audit reportunder the provisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditingspecified under section 143(10) of the Act. Those Standards require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether the standalone Ind-AS financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence aboutthe amounts and the disclosures in the standalone Ind-AS financial statements. Theprocedures selected depend on the auditor's judgment including the assessment of therisks of material misstatement of the standalone Ind-AS financial statements whether dueto fraud or error. In making those risk assessments the auditor considers internalfinancial control relevant to the Company's preparation of the standalone Ind-AS financialstatements that give a true and fair view in order to design audit procedures that areappropriate in the circumstances. An audit also includes evaluating the appropriateness ofthe accounting policies used and the reasonableness of the accounting estimates made bythe Company's Directors as well as evaluating the overall presentation of the standaloneInd-AS financial statements.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the Standalone Ind-AS financialstatements.

Opinion

In our opinion and to the best of our information and according to theexplanations given to us the aforesaid Ind-AS financial statements give the informationrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India including Ind-AS of the stateof affairs of the Company as at 31st March 2018 and its loss (financial positionincluding other comprehensive income) its cash flows and the changes in equity for theyear ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016("the Order") issued by the Central Government of India in terms of sub-section(11) of section 143 of the Act we give in the ‘Annexure A' a statement on thematters specified in the paragraph 3 and 4 of the order.

2. As required by Section 143 (3) of the Act we report that:

(a) We have sought and obtained all the information and explanationswhich to the best of our knowledge and belief were necessary for the purposes of ouraudit.

(b) In our opinion proper books of account as required by law have beenkept by the Company so far as it appears from our examination of those books; (c) TheBalance Sheet the Statement of Profit and Loss (including other Comprehensive Income)the Cash Flow Statement and the Statement of Changes in Equity dealt with by this Reportare in agreement with the books of account; (d) In our opinion the aforesaid standaloneInd-AS financial statements comply with the Indian Accounting Standards specified underSection 133 of the Act; (e) On the basis of the written representations received from thedirectors as on 31st March 2018 taken on record by the Board of Directors none of thedirectors are disqualified as on 31st March 2018 from being appointed as a director interms of Section 164 (2) of the Act; (f) With respect to the internal financial controlswith reference to financial statements of the Company and the operating effectiveness ofsuch controls refer to our separate report in‘Annexure B'; and (g) With respect tothe other matters to be included in the Auditor's Report in accordance with Rule 11 of theCompanies (Audit and Auditors) Rules 2014 as amended in our opinion and to the best ofour information and according to the explanations given to us: (i) The Company hasdisclosed the impact of pending litigations on its financial position in its standaloneInd-AS financial statements- Refer note 25 to the standalone Ind-AS financial statements.

(ii) The Company does not have any material foreseeable losses forwhich a provision may be necessary.

(iii) There has been no delay in transferring amounts that wererequired to be transferred to the investor education protection fund by the Company duringthe year ended 31st March 2018.

For C N K & Associates LLP
Chartered Accountants
FRN: 101961W/W-100036
Himanshu Kishnadwala
Partner
Membership number: 37391

Mumbai 9th May 2018

ANNEXURE - A TO THE INDEPENDENT AUDITORS' REPORT

(Referred to in paragraph 1 under ‘Report on Other Legal andRegulatory Requirements' section of our report of even date)

(i) (a) The Company is maintaining proper records showing fullparticulars including quantitative details and situation of fixed assets; (b) FixedAssets were physically verified by Management during the year and no materialdiscrepancies were noticed during such verification. (c) According to the information andexplanations given to us and the record examined by us and based on the examination of theagreement for sale and confirmations from the Banks provided to us we report that thetitle deeds comprising all the immovable properties of land and buildings which arefreehold are held in the name of the Company as at the Balance Sheet date. (ii) Theinventory has been physically verified by the Management at reasonable intervals duringthe year and no material discrepancies have been noticed on such verification; (iii) Inour opinion and according to the information and explanations given to us and on the basisof documents verified by us the Company had granted an unsecured loan to a Companycovered in the register maintained under Section 189 of the Companies Act 2013 in respectof which the repayment of principal and receipt of interest is regular. (iv) The companyhas not granted any loans made investments or provided guarantees during the year towhich the provisions of section 185 and 186 are applicable. . Hence clause (iv) of theorder is not applicable to the company.; (v) According to information and explanationsgiven to us the Company has not accepted any deposits within the meaning of Sections 73to 76 of the Act and the rules framed there under to the extent notified; (vi) Accordingto the information and explanations given to us the Company is not required to maintaincost records pursuant to the Companies (Cost Records and Audit) Amendment Rules 2016 andprescribed by the Central Government under sub-section (1) of section 148 of the CompaniesAct 2013; (vii) (a) According to the information and explanations given to us and therecords of the Company examined by us in our opinion the Company is regular indepositing undisputed statutory dues including provident fund Income tax Sales TaxService Tax value added tax goods and service tax and other material statutory dues asapplicable with appropriate authorities. Sales tax Excise duty Employees State Insuranceand custom duty are not applicable to the company. (b) There were no undisputed amountspayable in respect of provident fund Income tax Sales Tax Service Tax value addedtax goods and service tax and other material statutory dues in arrears as at 31st March2018 for a period of more than six months from the date they became payable.

(c) According to the information and explanations given to us and therecords of the Company examined by us the particulars of dues of income tax service taxand sales tax as at 31st March 2018 which have not been deposited on account of adispute are as follows:. ( Refer note 25 to the Financial Statements).

(Amounts in lakhs)

Name of the Statute

Nature of Dues

Amount

Period to which the amount relates

Forum where the matter is pending
The Tamil Nadu General Sales

Sales Tax

*237.00

FY 1995-96

High Court of Madras
Tax Act 1959

* Rs. 47.40 lakhs paid as deposit.

(viii) According to the records of the Company examined by us and theinformation and explanations given to us the Company has not defaulted in repayment ofdues to the bank. The company has not borrowed from financial institutions bank orgovernment as at the balance sheet date. The company has not issued any debentures. (ix)According to the records of the Company examined by us and the information and explanationgiven to us the Company has not raised money by way of initial public offer or furtherpublic offer (including debt instruments) during the year. The company has not raised termloans during the year; (x) According to the information and explanations given to us andto the best of our knowledge no fraud by the Company or on the Company by its officers oremployees has been noticed or reported during the course of our audit; (xi) In our opinionand according to Information and explanations given to us the managerial remuneration hasbeen paid in accordance with requisite approvals mandated by the provisions of section 197read with Schedule V of the Companies Act 2013.

(xii) The Company is not a Nidhi company and therefore the provisionsof clause 3 (xii) of the order are not applicable to the company; (xiii) In our opinionand according to information and explanations given to us the company is in compliancewith the provisions of section 177 and 188 of the Companies Act 2013 where applicablefor all the transactions with the related parties and the details of related partyTransactions have been disclosed in the Financial Statements etc. as required by theapplicable accounting standards; (xiv) The company has not made any preferential allotmentor private placement of shares or fully or partly convertible debentures during the yearunder review. Therefore clause 3(xiv) is not applicable to the Company; (xv) According tothe information and explanations given to us and based on our examination of the recordsof the Company during the year the Company has not entered into non-cash transactionswith directors or persons connected with him. Accordingly clause 3(xv) of the Order isnot applicable to the Company; (xvi) According to the information and explanations givento us and based on our examination of the records of the Company the Company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934.

For C N K & Associates LLP

Chartered Accountants FRN: 101961W/W-100036

Himanshu Kishnadwala

Partner Membership number: 37391

Mumbai 9th May 2018

ANNEXURE - B TO THE AUDITORS' REPORT

Report on the Internal Financial Controls under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financialreporting of Chowgule Steamships Limited ("the Company") as of 31stMarch 2018 in conjunction with our audit of the Standalone Ind-AS financial statements ofthe Company for the year ended on that date.

Management's Responsibility for Internal Financial Controls

The Company's management is responsible for establishing andmaintaining internal financial controls based on the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls overFinancial Reporting issued by the Institute of Chartered Accountants of India(‘ICAI'). These responsibilities include the design implementation and maintenanceof the internal financial controls with reference to financial statements that wereoperating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to company's policies the safeguarding of its assets the preventionand detection of frauds and errors the accuracy and completeness of the accountingrecords and the timely preparation of reliable financial information as required underthe Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internalfinancial controls over financial reporting based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls over FinancialReporting (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 auditof Internal Financial Controls and both issued by the Institute of Chartered Accountantsof India. Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe internal financial controls with reference to financial statements were establishedand maintained and if such controls operated effectively in all material respects. Ouraudit involves performing procedures to obtain audit evidence about the internal financialcontrols with reference to financial statements and their operating effectiveness. Ouraudit of internal financial controls over financial reporting included obtaining anunderstanding of internal financial controls over financial reporting assessing the riskthat a material weakness exists and 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 andappropriate to provide a basis for our audit opinion on the Company's internal financialcontrols system over financial reporting.

Meaning of Internal Financial Controls over Financial Reporting

A company's internal financial control over financial reporting is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of financial statements for external purposes in accordancewith generally accepted accounting principles. A company's internal financial control overfinancial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of financialstatements in accordance with generally accepted accounting principles and that receiptsand expenditures 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 FinancialReporting

Because of the inherent limitations of internal financial controls overfinancial reporting including the possibility of collusion or improper managementoverride of controls material misstatements due to error or fraud may occur and not bedetected. Also projections of any evaluation of the internal financial controls overfinancial reporting to future periods are subject to the risk that the internal financialcontrol over financial reporting may become inadequate because of changes in conditionsor that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion to the best of our information and according to theexplanations given to us the Company has in all material respects internal financialcontrols with reference to financial statements and such internal financial controls overfinancial reporting were operating effectively as at 31st March 2018 based on theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.

For C N K & Associates LLP

Chartered Accountants FRN: 101961W/W-100036

Himanshu Kishnadwala

Partner Membership number: 37391

Mumbai 9th May 2018