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Cords Cable Industries Ltd.

BSE: 532941 Sector: Engineering
NSE: CORDSCABLE ISIN Code: INE792I01017
BSE 00:00 | 22 Apr 65.40 0.35
(0.54%)
OPEN

65.00

HIGH

65.85

LOW

63.75

NSE 00:00 | 22 Apr 65.00 -1.30
(-1.96%)
OPEN

66.80

HIGH

66.80

LOW

64.15

OPEN 65.00
PREVIOUS CLOSE 65.05
VOLUME 1682
52-Week high 99.60
52-Week low 52.30
P/E 10.90
Mkt Cap.(Rs cr) 85
Buy Price 64.15
Buy Qty 4.00
Sell Price 67.00
Sell Qty 1.00
OPEN 65.00
CLOSE 65.05
VOLUME 1682
52-Week high 99.60
52-Week low 52.30
P/E 10.90
Mkt Cap.(Rs cr) 85
Buy Price 64.15
Buy Qty 4.00
Sell Price 67.00
Sell Qty 1.00

Cords Cable Industries Ltd. (CORDSCABLE) - Auditors Report

Company auditors report

To the Members of Cords Cable Industries Limited

Report on the Ind As Financial Statements

We have audited the accompanying standalone financial statements of Cords CableIndustries Limited which comprise the Balance Sheet as at 31stMarch 2018 theStatement of Profit and Loss (including Other Comprehensive Income) the Statement ofChanges in Equity and the Cash Flow Statement for the year then ended and a summary ofthe significant accounting policies and other explanatory information (hereinafterreferred to as "Standalone Ind AS Financial Statements").

Management's Responsibility for the Ind AS Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act 2013 ("the Act") with respect to the preparation andpresentation of these standalone Ind AS financial statements that give a true and fairview of the financial position financial performance (including other comprehensiveincome) cash flows and changes in equity of the Company in accordance with the accountingprinciples generally accepted in India including the Indian Accounting Standardsprescribed under Section 133 of the Act read with rule 3of the Companies (IndianAccounting Standards) Rules 2015 and Companies (Indian Accounting Standards) amendmentRules 2016. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding the assets of the Companyand for preventing and detecting frauds and other irregularities selection andapplication of appropriate accounting policies making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe standalone Ind AS financial statements that give a true and fair view and are freefrom material misstatement whether due to fraud or error.

Auditors' Responsibility

Our responsibility is to express an opinion on these standalone Ind AS FinancialStatements based on our audit.

We have taken into account the provisions of the Act the accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made there under. We conducted our audit of theStandalone Ind AS financial statements 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 about the amounts andthe disclosures in the standalone Ind AS financial statements. The procedures selecteddepend on the auditor's judgment including the assessment of the risks of materialmisstatement of the standalone Ind AS financial statements whether due to fraud or error.In making those risk assessments the auditor considers internal financial controlrelevant to the Company's preparation of the Standalone Ind AS financial statements thatgive a true and fair view in order to design audit procedures that are appropriate in thecircumstances. An audit also includes evaluating the appropriateness of the accountingpolicies used and the reasonableness of the accounting estimates made by the Company'sBoard of Directors as well as evaluating the overall presentation of the standalone IndAS financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the standalone Ind AS financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone 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 of the state of affairs of theCompany as at 31 March 2018 and its profit (including other comprehensive income) itscash flows and the changes in equity for the year 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 ofthe Act we give in the "Annexure I" a statement on the mattersspecified in paragraphs 3 and 4 of the Order to the extent applicable.

2. As required by Section 143 (3) of the Act we report that: (a) We have sought andobtained all the information and explanations which to the best of our knowledge andbelief 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 Cash Flow Statement and the Statement of changes in Equity dealt with by thisReport are in agreement with the relevant books of account. (d) In our opinion theaforesaid standalone Ind AS financial statements comply with the Indian AccountingStandards specified under Section 133 of the Act read with rule 3 of the Companies(Indian Accounting Standards) Rules 2015 and Companies (Indian Accounting Standards)amendment Rules 2016.

(e) On the basis of the written representations received from the directors as on 31March 2018 taken on record by the Board of Directors none of the directors isdisqualified as on 31 March 2018 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 over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate Report in

"Annexure II" and

(g) 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 2014as 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 Ind AS financial statements. ii. The Company did not have anylong term contracts including derivatives contracts for which there were any materialforeseeable losses. iii. There has been no delay in transferring amounts required to betransferred to the Investor Education and Protection Fund by the Company.

For Alok Misra & Co.
Chartered Accountants
Firm's Registration No: 018734N
CA. Alok Misra
Place of Signature : New Delhi Partner
Date : 28th May 2018 M.No: 500138

ANNEXURE I TO INDEPENDENT AUDITORS' REPORT

(REFERRED TO IN OUR REPORT OF EVEN DATE)

i. (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of the fixed assets.

(b) The fixed assets have been physically verified by the management at the reasonableintervals which in our opinion is considered reasonable having regard to the size of thecompany and the nature of its assets. No material discrepancies were noticed on suchverification.

(c) In our opinion and according to information and explanations given to us and on thebasis of an examination of the records of the Company the title deeds of immovableproperties are held in the name of the Company.

ii. The inventory includes finished goods raw material and work in progress along withinventory of consumables and packing material. Physical verification of inventory has beenconducted at reasonable intervals by the management and discrepancies noticed which werenot material in nature have been properly dealt with in the books of accounts.

iii. The Company has not granted loans (secured or unsecured) to companies covered inthe register maintained under Section 189 of the Act. Accordingly paragraph 3(iii) of theorder is not applicable.

iv. In our opinion and according to information and explanations given to us theCompany has complied with provisions of Section 185 and 186 of the Act in respect ofloans investments guarantees and security.

v. In our opinion and according to the information and explanations given to us theCompany has not accepted deposits in respect of which directives issued by the ReserveBank of India and the provisions of Section 73 to 76 or any other relevant provisions ofthe Companies Act 2013 and rules framed there under are not applicable on the company. Noorder had been passed by Company Law Board or National Company Law Tribunal or ReserveBank of India or any other tribunal.

vi. We have broadly reviewed the books of accounts maintained by the Company pursuantto the Rules made by the Central Government for the maintenance of Cost Records undersection 148 of the Act and are of opinion that prima facie the prescribed accounts andrecords have been made and maintained however we have not made the detailed examinationof such cost records.

vii. (a) According to the information and explanations given to us and on the basis ofour examination of the records of the Company provident fund employees' state insuranceincome tax sales tax service tax value added tax duty of customs duty of excisecess gst and other applicable material undisputed statutory dues have been depositedirregularly during the year with the appropriate authorities with delays in certain casesand there are no arrears of outstanding statutory dues as at the last day of the financialyear concerned i.e. 31st March 2018 for a period of more than six months fromthe date they became payable.

(b) According to the information and explanations given to us there are no dues ofincome tax sales tax service tax duty of customs duty of excise value added tax gstor other applicable material statutory dues which have not been deposited as on March 312018 on account of any dispute except the followings:-

Name of the Statute Nature of dues Amount (Rs. in lacs) Period to which the amount relates Forum where dispute is pending
Central Excise Act 1944 Excise Duties & Services Tax
Excise Duties 4.07 2010-2011 CESTAT New Delhi
Service Tax 1.21 2012-2014 Commissioner (Appeals) Jaipur
Less: Pre Deposit (-)0.09
Service Tax 33.75 2012-2014 Commissioner (Appeals) Jaipur
Less: Already Deposit (-) 6.60
Excise duties 4.81 2014-2015 Commissioner (Appeals) Jaipur
Less: Pre deposit (-)0.36
Excise duties 2.27 2016-2017 Assistant Commissioner Central ExciseBhiwadi
Excise duties 0.55 2016-2017 Commissioner (Appeals) Jaipur
Excise duties 1.75 2017-2018 Commissioner (Appeals) Jaipur
Penalty 1.75
Less: Pre-Deposit (-)0.13

viii. In our opinion and according to the information and explanations given to us theCompany has not defaulted in repayment of dues to banks financial institutions anddebenture holders as at the Balance Sheet date.

ix. According to the information and explanations given to us the term loans weregenerally applied for the purpose for which those are raised. The Company has not raisedmoney by way of initial public offer or further public offer (including debt instruments)during the year.

x. According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit. xi. According to the information and explanations given to us andbased on our examination of the records of the Company the Company has paid/provided formanagerial remuneration in accordance with the requisite approvals mandated by theprovisions of Section 197 read with Schedule V to the Act.

xii. According to the information and explanations given to us the Company is not aNidhi Company as prescribed under Section 406 of the Act. Accordingly paragraph 3(xii) ofthe Order is not applicable to the Company.

xiii. According to the information and explanations given to us all transactions withthe related parties are in compliance with Section 177 and 188 of Act where applicableand the details of related party transactions have been disclosed in the Standalone Ind ASFinancial Statements as required by the applicable accounting standards.

xiv. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year.

xv. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into non-cashtransactions with directors or persons connected with him. Accordingly paragraph 3(xv) ofthe Order is not applicable.

xvi. According to information and explanations given to us the Company is not requiredto be registered under Section 45 IA of the Reserve Bank of India Act 1934.

For Alok Misra & Co.
Chartered Accountants
Firm's Registration No: 018734N
CA. Alok Misra
Place of Signature : New Delhi Partner
Date : 28th May 2018 M.No: 500138

ANNEXURE II TO INDEPENDENT AUDITORS' REPORT — 31 MARCH 2018 (REFERRED TO IN OURREPORT OF EVEN DATE)

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 Cords CableIndustries Limited as at 31st March 2018 in conjunction with our audit of the StandaloneInd AS Financial Statements of the Company for the year ended on that date.

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"). These responsibilities include the designimplementation and maintenance of adequate internal financial controls that were operatingeffectively for ensuring the orderly and efficient conduct of its business includingadherence to company's policies the safeguarding of its assets the prevention anddetection of frauds and errors the accuracy and completeness of the accounting recordsand the timely preparation of reliable financial information as required under the Act.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting(the "Guidance Note") and the Standards on Auditing issued by ICAI and deemedto be prescribed under Section 143(10) of the Act to the extent applicable to an audit ofinternal financial controls. Those Standards and the Guidance Note require that we complywith ethical requirements and plan and perform the audit to obtain reasonable assuranceabout whether adequate internal financial controls over financial reporting wasestablished and maintained and if such controls operated effectively in all materialrespects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgement including the assessment of the risks ofmaterial misstatement of the standalone Ind AS financial statements whether due to fraudor 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:

(a) Pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the company;

(b) provide reasonable assurance that transactions 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

(c) Provide reasonable assurance regarding prevention or timely detection ofunauthorized 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 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.

Opinion

In our opinion to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting but requires more strengthening and such internalfinancial controls over financial reporting were operating effectively as at 31st March2018 based on the internal control over financial reporting criteria established by theCompany consisting the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls Over Financial Reporting issued by theInstitute of Chartered Accountants of India.

For Alok Misra & Co.
Chartered Accountants
Firm's Registration No: 018734N
CA. Alok Misra
Place of Signature : New Delhi Partner
Date : 28th May 2018 M.No: 500138