To The Members of Coromandel International Limited Report on the Audit of theStandalone Financial Statements
We have audited the accompanying standalone financial statements of CoromandelInternational Limited ("the Company") which comprise the Balance Sheet as atMarch 31 2021 and the Statement of Profit and Loss (including Other ComprehensiveIncome) 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.
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 trueand fair view in conformity with the 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 2021 and its profit totalcomprehensive income its cash flows and the changes in equity for the year ended on thatdate.
Basis for Opinion
We conducted our audit of the standalone financial statements in accordance with theStandards on Auditing specified under Section 143(10) of the Act (SAs). Ourresponsibilities under those Standards are further described in the AuditorsResponsibility for the Audit of the Standalone Financial Statements section of our report.We are independent of the Company in accordance with the Code of Ethics issued by theInstitute of Chartered Accountants of India (ICAI) together with the ethical requirementsthat are relevant to our audit of the standalone financial statements under the provisionsof the Act and the Rules made thereunder and we have fulfilled our other ethicalresponsibilities in accordance with these requirements and the ICAIs Code of Ethics.We believe that the audit evidence obtained by us is sufficient and appropriate to providea basis for our audit opinion on the standalone financial statements.
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 current period.These matters were addressed in the context of our audit of the standalone financialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these matters. We have determined the matters described below to bethe key audit matters to be communicated in our report.
|Key Audit Matter ||Auditor's Response |
|1 Revenue Recognition Sale of goods || |
|Refer to note 2.3 Revenue recognitionnote 2.25.1 Critical judgements in applying accounting policies and note 2.25.2 Key sources of estimation uncertainty to the standalone financial statements. ||We have performed the following principal audit procedures in relation to revenue recognised. |
|Revenue from sale of goods is recognised when the control of goods is transferred to the customers. In accordance with the accounting policy control is transferred either when the product is delivered to the customers site or when the product is shipped depending on the applicable terms. The Management has exercised judgement in applying the revenue accounting policy while recognising revenue. ||Understood the revenue recognition process evaluated the design and implementation and operating effectiveness of internal controls relating to revenue recognised. |
| ||Selected samples and tested the operating effectiveness of internal controls relating to transfer of control. We carried out a combination of procedures involving enquiry observation and inspection of evidence in respect of operation of these controls. |
| ||Tested the relevant information technology general controls automated controls and the related information used in recording and disclosing revenue. |
| ||In respect of the selected sample of transactions: |
| ||o Tested whether the revenue is recognised upon transfer of control to customer. |
| ||o We have evaluated the delivery and shipping terms of the contracts for revenue recognised during the period. |
| ||o We have also tested the location stock reports from Company warehouses where applicable for confirmation on sales quantity made during the year. |
| ||o We have tested on a sample basis (including for sales near to the period end) the acknowledgments of customers. In respect of sales of fertiliser products we have also agreed the quantities sold as per the Company books with the customer acknowledgements as per the iFMS portal of the Department of Fertilisers. |
|2 Accuracy recognition measurement valuation presentation and disclosures of Subsidy income/Government subsidies and related receivables ||The following principal audit procedures have been performed by us in relation to subsidy income recognition. |
|Refer to note 2.3 Revenue recognition and note 2.25.2 Key sources of estimation uncertainty to the standalone financial statements. ||We have read the relevant circulars and notifications issued by GOI from time to time with regard to the subsidy policies. |
|Subsidy income pertaining to the Nutrient and other allied business is recognised on the basis of the rates notified from time to time by the Department of Fertilisers Government of India (GOI) in accordance with the Nutrient Based Subsidy (NBS) policy on the quantity of fertilisers sold by the Company for the period for which notification has been issued and for the remaining period based on estimates when there is a reasonable assurance that the Company will comply with all necessary conditions attached to Subsidy including Direct Benefit Transfer (DBT) System which was introduced by Government of India. ||We enquired with the relevant personnel in the Company with regard to the updates of GOI Policy and their interpretations of the relevant circulars and notifications. |
|For the year ended March 31 2021 subsidy income of Rs. 332468 lakhs is recognised. Recognition and realisability of subsidy income is dependent on GOI Policy and its various initiatives/schemes. ||Tested the relevant information technology general controls automated controls and the related information used in recording and disclosing subsidy income. |
| ||We have tested the NBS rates considered by the Company for the product subsidy with the applicable circulars and notifications. |
| ||We have correlated the sales quantity considered for subsidy income with the actual sales made by the Company. |
| ||We have also agreed the quantities sold as per the Company books with the customer acknowledgements as per the iFMS portal of the Department of Fertilisers and tested the DBT claims made by the Company. |
| ||We have enquired from the Management and discussed with Those Charged With Governance the appropriateness of the subsidy rates applied to recognise subsidy income. |
| ||Valuation of subsidy receivables: |
| ||Following are the principal audit procedures performed by us for testing valuation of subsidy receivables: |
| ||We have analysed and discussed the status of outstanding subsidy receivables and its realisability with the Management. |
| ||We have tested the sanction notes received from the GOI for receipts. |
| ||We have tested the credits in the bank statements for the receipts during the year and also the subsequent receipts. |
| ||We have tested whether the deductions made by the GOI have been adjusted in the books of accounts. |
Information Other than the Financial Statements and Auditors Report Thereon
The Companys Board of Directors is responsible for the other information. Theother information comprises the information included in the Directors Report andManagement Discussion and Analysis but does not include the consolidated financialstatements standalone financial statements and our auditors report thereon.
Our opinion on the standalone financial statements does not cover the other informationand we do 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 and in doing so consider whether the other informationis materially inconsistent with the standalone financial statements or our knowledgeobtained during the course of our audit or otherwise appears to be materially misstated.
If based on the work we have performed we conclude that there is a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.
Managements Responsibility for the Standalone Financial Statements
The Companys 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 financial position financial performance includingother comprehensive income cash flows and changes in equity of the Company in accordancewith the Ind AS and other accounting principles generally accepted in India. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding the assets of the Company and for preventingand detecting frauds and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; anddesign implementation 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 thestandalonefinancial doubt onthe Companys statement that give a true and fair view and are free from materialmisstatement whether due to fraud or error.
In preparing the standalone financial statements management is responsible forassessing the Companys ability to continue as a going concern disclosing asapplicable matters related to going concern and using the going concern basis ofaccounting unless management either intends to liquidate the Company or to ceaseoperations or has no realistic alternative but to do so.
Those Board of Directors are also responsible for overseeing the Companysfinancial reporting process.
Auditors Responsibility 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 auditors report that includes our opinion. Reasonableassurance is a high level of assurance but is not a guarantee that an audit conducted inaccordance with SAs 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 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 standalone 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 financial 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 expressing our opinion on whether the Company hasadequate internal financial controls system in place and the operating effectiveness ofsuch controls.
Evaluate the appropriateness of accounting policies used and the reasonableness ofaccounting estimates and related disclosures made by the management.
Conclude on the appropriateness of managements use of the going concern basis ofaccounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant ability to continue as agoing concern. If we conclude that a material uncertainty exists we are required to drawattention in our auditors report to the related disclosures in the standalonefinancial statements or if such disclosures are inadequate to modify our opinion. Ourconclusions are based on the audit evidence obtained up to the date of our auditorsreport. 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 standalone financialstatements including the disclosures and whether the standalone financial statementsrepresent 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 our audit work and in evaluating the results of our work; and
(ii) to evaluate the effect of any identified misstatements in the standalone financialstatements.
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 alsoprovide those charged with governance with a statement that we have complied with relevantethical requirements regarding independence and to communicate with them allrelationships 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 statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditors report unless law or regulation precludes public disclosure aboutthe matter or when in extremely rare circumstances we determine that a matter should notbe communicated in our report because the adverse consequences of doing so wouldreasonably be expected to outweigh the public interest benefits of such communication.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act based on our audit we report that:
a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the 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 Statement of Changes in Equity dealt with by thisReport are in agreement with the relevant books of account.
d) In our opinion the aforesaid standalone financial statements comply with the Ind ASspecified under Section 133 of the Act.
e) On the basis of the written representations received from the directors as on March31 2021 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2021 from being appointed as a director in terms of Section 164(2) of theAct.
f) With respect to the adequacy of the internal financial 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 Companys internal financial controlsover financial reporting.
g) With respect to the other matters to be included in the Auditors Report inaccordance with the requirements of Section 197(16) of the Act as amended in our opinionand to the best of our information and according to the explanations given to us theremuneration paid/payable by the Company to the Managing director during the year is inaccordance with the provisions of Section 197 of the Act and the remuneration paid/payablein respect of the whole-time director is subject to the approval of shareholders in theensuing general meeting of the Company.
h) With respect to the other matters to be included in the Auditors 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 standalonefinancial . statements
ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.
iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company.
2. As required by the Companies (Auditors Report) Order 2016 ("theOrder") issued by the Central Government in terms of Section 143(11) of the Act wegive in "Annexure
B" a statement on the matters specified in paragraphs 3 and 4 of the Order.
For DELOITTE HASKINS & SELLS
(Firms Registration No. 008072S)
(Membership No. 209354)
Date: 29 April 2021
ANNEXURE "A" TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 1(f) under Report on Other Legal and RegulatoryRequirements section of our report of even date) Report on the Internal FinancialControls Over Financial Reporting under Clause (i) of Sub-section 3 of Section 143 of theCompanies Act 2013 ("the Act")
We have audited the internal financial reporting of Coromandel International Limited("the Company") as of March 31 2021 in conjunction with our audit of thestandalone financial statements for the year ended on that date.
Managements Responsibility for Internal Financial Controls
The Companys management is responsible for establishing and maintaining internalfinancialcontrols based on the internal control over financial reporting 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.
These responsibilities include the design implementation and maintenance of adequateinternal financial controls that were operating effectively for ensuring the orderly andefficientconduct of its business including adherence to companys policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financialinformation as required under the Companies Act 2013.
Our responsibility is to express an opinion on the Companys internal financialcontrols over financial reporting of the Company based on our audit. We conducted ouraudit in accordance with the Guidance Note on Audit of Internal Financial Controls OverFinancial Reporting (the "Guidance Note") issued by the Institute of CharteredAccountants of India and the Standards on Auditing prescribed under Section 143(10) of theCompanies Act 2013 to the extent applicable to an audit of internal financial controls.Those Standards and the Guidance Note require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial 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 auditors judgement including the assessment of the risks ofmaterial misstatement of the financial statements whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Companys internal financial controlssystem over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting of all theAcompanys internal financial control over financial overfinancial is a processdesigned to provide reasonable assurance regarding the reliability of financial reportingand the oftheCompany preparation of financial statements for external purposes inaccordance with generally accepted accounting principles. A companys internalfinancial control over financial reporting includes those policies and procedures that
(1) pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assetsestablished of the company;
(2) 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 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 companys assets that could havea 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 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 financial reporting and such internal financial controls over financial reportingwere operating effectively as at March 31 2021 based on the criteria for internalfinancial control over financial reporting established by the Company considering theessential components of internal control stated in the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.
For DELOITTE HASKINS & SELLS
(Firms Registration No. 008072S)
(Membership No. 209354)
Date: 29 April 2021
ANNEXURE B TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 2 under Report on Other Legal and RegulatoryRequirements section of our report of even date)
(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) The fixed assets were physically verified during the year by the Management inaccordance with a regular programme forphysical verification intervals. ofverificationAccording to the information and explanations given to us no material discrepancies werenoticed on such verification.
(c) According to the information and explanations given to us and the records examinedby us and based on the examination of the registered sale deed / transfer deed /conveyance deed provided to us we report that the title deeds comprising all theimmovable properties of land and buildings which are freehold are held in the name of theCompany as at the balance sheet date except the following:
|Particulars ||Carrying Amount (Rs. in Lakhs) ||Remarks |
|Freehold land ||75 ||446.92 acres of land located at Pattamadai is pending registration in the name of the Company. |
In respect of immovable properties of land and buildings that have been taken on leasethe lease agreements are in the name of the Company where the Company is the lessee inthe agreement as at the balance sheet date except the following:
|Particulars ||Carrying Amount (Rs. in Lakhs) ||Remarks |
|Leasehold Land ||17 ||Lease deed in respect of land admeasuring 3.52 acres at Madri Udaipur taken on lease is pending to be transferred in the name of the Company. |
|Leasehold Land ||22615 ||Lease deed in respect of land admeasuring 321.22 acres at Vishakhapatnam is pending to be executed. |
(ii) As explained to us the inventories were physically verified during the year bythe Management at reasonable intervals and nomaterialdiscrepancieswerenoticedonphysicalverification.
(iii) According to the information and explanations given to us the Company hasgranted loans secured or unsecured to companies firms Limited Liability Partnershipsor other parties covered in the register maintained under section 189 of the CompaniesAct 2013 in respect of which:
(a) The terms and conditions of the grant of such loans are in our opinion primafacie not prejudicial to the Companys interest.
(b) The loans granted by the Company are repayable on demand.
(c) There is no overdue amount remaining outstanding as at the balance sheet date.
(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Sections 185 and 186 of the Companies Act2013 in respect of grant of loans making investments and providing guarantees andsecurities as applicable.
(v) According to the information and explanations given to us the Company has notaccepted any deposit falling within the purview of the provisions of Section 73 to 76 ofthe Companies Act 2013. There are no unclaimed deposits.
(vi) The maintenance of cost records has been specified by the Central Government undersection 148(1) of the Companies Act 2013 for Fertilisers and Insecticides. We havebroadly reviewed the cost records maintained by the Company pursuant to the Companies(Cost Records and Audit) Rules 2014 as amended prescribed by the Central Governmentunder subsection (1) of Section 148 of the Companies Act 2013 and are of the opinionthat prima facie the prescribed cost records have been made and maintained. Wehave however not made a detailed examination of the cost records with a view todetermine whether they are accurate or complete.
(vii) According to the information and explanations given to us in respect ofstatutory dues:
(a) The Company has generally been regular in depositing undisputed statutory duesincluding Provident Fund Employees State Insurance Income-tax Sales Tax ServiceTax Customs Duty Cess and other material statutory dues applicable to it with theappropriate authorities.
(b) There were no undisputed amounts payable in respect of Provident FundEmployees State Insurance Income-tax Sales Tax Service Tax Customs Duty Cessand other material statutory dues in arrears as at 31 March 2021 for a period of more thansix months from the date they became payable.
(c) Details of dues of Income-tax Sales Tax Service Tax Customs Duty Excise DutyValue Added Tax and Cess which have not been deposited as on 31 March 2021 on account ofdisputes are given below:
|Name of Statute ||Nature of Dues ||Forum where Dispute is pending ||Period to which the Amount relates ||Amount involved (Rs. in Lakhs) ||Amount unpaid (Rs. in Lakhs) |
|The Income Tax Act 1961 ||Income Tax ||Income tax appellate tribunal ||2016-17 ||46 ||46 |
|West Bengal Sales Tax Act 1994 ||Sales tax ||Assistant Commissioner (Appeals) ||2002-2003 ||4 ||4 |
| || ||Sales Tax Appellate Tribunal ||2008-2009 2012- 2013 ||1058 ||958 |
| || ||Special Joint Commissioner ||2012-13 ||2 ||2 |
| || ||Assistant Commissioner ||2002-03 ||* ||* |
|Andhra Pradesh General Sales Tax Act 1957 ||Sales tax ||Additional Commissioner Legal ||1995-1996 to 1997- 1998 ||27 ||27 |
| || ||Sales Tax Appellate Tribunal ||2013-14 ||14 ||14 |
|Uttar Pradesh Value Added Tax Act 2008 ||Sales tax ||Deputy Commissioner ||2008-2009 ||125 ||111 |
| || ||Deputy Commissioner Appeal ||2012-2013 ||1 ||1 |
| || ||Appellate Deputy Commissioner ||2012-2013 ||40 ||40 |
| || ||Assistant Commissioner (Appeals) ||2013-2014 ||2 ||1 |
|Gujarat Value Added Tax Act 2003 ||Sales tax ||Appellate Deputy Commissioner (Appeals) ||2012-2013 ||3 ||3 |
| || ||Joint Commissioner (Appeals) ||2010-2011 ||5 ||5 |
| || ||Sales Tax Appellate Tribunal ||2008-2009 to 2010- 2011 ||91 ||91 |
|Rajasthan Value Added Tax Act 2003 ||Sales tax ||Appellate Deputy Commissioner (Appeals) ||2010-2011 to 2012- 2013 ||27 ||27 |
|Maharashtra Value Added Tax Act 2002 ||Sales tax ||Appellate Joint Commissioner ||2014-2015 ||14 ||14 |
|Electricity Supply Act 1948 ||Electricity Cess ||High Court for the State of Telangana ||2003-2004 to 2013- 2014 ||293 ||293 |
|Central Excise Act 1944 ||Excise duty ||High Court for the State of Telangana ||2003 to 2007 ||368 ||368 |
| || ||High Court of Madras ||2001-2003 ||7 ||7 |
| || ||Assistant Commissioner ||2009-2010 ||15 ||14 |
| || ||Commissioner (Appeals) ||2008-2009 to 2016- 2017 ||146 ||145 |
| || ||Commissioner ||2004-2005 & 2009- 2010 ||3 ||3 |
|The Customs Act 1962 ||Customs duty ||CESTAT ||2005-2006 to 2011- 2012 & 2016-2017 2018-2019 ||55 ||50 |
| || ||Commissioner of Customs (Appeals) ||2005-2006 to 2010- 2011 ||344 ||321 |
| || ||High Court for the State of Telangana ||2018-2019 ||461 ||461 |
|Central Goods and Service Tax Act 2017 ||GST ||Additional Commissioner (Appeals) ||2017-2018 ||32 ||32 |
|The Finance Act 1994 ||Service tax ||Commissioner (Appeals) ||2014-2015 to 2017- 2018 ||21 ||21 |
| || ||CESTAT ||2009-2010 to 2016- 2017 ||269 ||248 |
* less than a lakh
(viii) In our opinion and according to the information and explanations given to usthe Company has not defaulted in the repayment of loans or borrowings to financialinstitutions banks and government. The Company has not issued any debentures.
(ix) The Company has not raised moneys by way of initial public offer or further publicoffer (including debt instruments) or term loans and hence reporting under clause (ix) ofthe Order is not applicable.
(x) To the best of our knowledge and according to the information and explanationsgiven to us no fraud by the Company and no material fraud on the Company by its officersor employees has been noticed or reported during the year.
(xi) In our opinion and according to the information and explanations given to us theremuneration payable/paid by the Company to the Managing director during the year is inaccordance with the requisite approvals mandated by the provisions of Section 197 readwith Schedule V to the Companies Act 2013 and the remuneration paid/payable to thewhole-time director is subject to the approval of shareholders in the ensuing generalmeeting of the Company.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of theOrder is not applicable.
(xiii) In our opinion and according to the information and explanations given to us theCompany is in compliance with Section 177 and 188 of the Companies Act 2013 whereapplicable for all transactions with the related parties and the details of related partytransactions have been disclosed in the financial statements as required by the applicableaccounting standards.
(xiv) During the year the Company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures and hence reporting underclause (xiv) of the Order is not applicable to the Company.
(xv) In our opinion and according to the information and explanations given to usduring the year the Company has not entered into any non-cash transactions with itsdirectors or directors of its holding subsidiary or associate Company or personsconnected with them and hence provisions of section 192 of the Companies Act 2013 are notapplicable.
(xvi) The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.
For DELOITTE HASKINS & SELLS
(Firms Registration No. 008072S)
(Membership No. 209354)
Date: 29 April 2021