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Coromandel International Ltd.

BSE: 506395 Sector: Agri and agri inputs
NSE: COROMANDEL ISIN Code: INE169A01031
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OPEN 803.70
PREVIOUS CLOSE 797.55
VOLUME 19445
52-Week high 838.00
52-Week low 400.00
P/E 18.51
Mkt Cap.(Rs cr) 23,048
Buy Price 782.05
Buy Qty 10.00
Sell Price 778.00
Sell Qty 23.00
OPEN 803.70
CLOSE 797.55
VOLUME 19445
52-Week high 838.00
52-Week low 400.00
P/E 18.51
Mkt Cap.(Rs cr) 23,048
Buy Price 782.05
Buy Qty 10.00
Sell Price 778.00
Sell Qty 23.00

Coromandel International Ltd. (COROMANDEL) - Auditors Report

Company auditors report

To The Members of Coromandel International Limited

Report on the Audit of the Standalone Financial Statements

Opinion

We have audited the accompanying standalone financial statements of CoromandelInternational Limited ("the Company") which comprise the Balance Sheet as atMarch 312020 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 312020 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 Auditor'sResponsibility 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 ICAI's Code of Ethics. Webelieve that the audit evidence obtained by us is sufficient and appropriate to provide abasis 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.

Sr.No. Key Audit Matter Auditor's Response
1 Revenue Recognition - Sale of goods We have performed the following principal audit procedures in relation to revenue recognised.
Refer to note 2.3 'Revenue recognition' note 2.25.1 'Critical judgements in applying accounting policies' and note 2.25.2 'Key sources of estimation uncertainty' to the standalone financial statements. • Understood the revenue recognition process evaluated the design and implementation and operating effectiveness of internal controls relating 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 • 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:
transferred either when the product is delivered to the customer's 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. 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 Tested that the revenue recorded is after considering the applicable rebates and discounts.
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 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.
• We have had robust interactions with the relevant personnel in the Company with regard to the updates of GOI Policy and their interpretations of the relevant circulars and notifications.
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. • 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:
For the year ended March 312020 subsidy income of Rs 325119 lakhs is recognised. Recognition and realisability of subsidy income is dependent on GOI Policy and its various initiatives/schemes. • 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.
• We have tested whether the deductions made by the GOI have been adjusted in the books of accounts.
We have performed the following principal audit procedures involving our IT Specialists in relation to the new IT system implementation:
3 Implementation of new IT system used for accounting/financial reporting • We understood the Management's implementation plan of the new IT system and the changes from legacy versus the new IT system insofar as accounting/ financial reporting is concerned.
The Company implemented a new IT system which is an enterprise resource planning application used for accounting/financial reporting with effect from November 1 2019 ("Go-Live date"). • Tested the completeness and accuracy of migration of relevant financial and accounting data/information/balances from legacy IT system to the new IT system.
Matters which required significant audit attention in relation to the above implementation included: • We tested the IT general controls of the new IT system relevant to financial reporting including relevant interfaces.
• We tested the design and implementation and operating effectiveness of the relevant business cycle automated controls of the new IT system.
• We tested the completeness and accuracy of information used for controls and also the information produced by the new IT system.
(i) Complete and accurate migration of relevant financial and accounting data/ information/balances from legacy IT system to the new IT system. The above procedures were in addition to the relevant planned procedures for the legacy IT system used by the Company upto the Go-Live date.
(ii) Assessment and evaluation of relevant application systems programs processes interfaces reports and controls insofar as they relate to accounting and financial reporting.
(iii) IT general controls relevant for financial reporting.

Information Other than the Financial Statements and Auditor's Report Thereon

The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the Directors' Report and ManagementDiscussion and Analysis but does not include the consolidated financial statementsstandalone financial statements and our auditor's 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.

Management's Responsibility for the Standalone Financial Statements

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 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 the standalone financialstatement that give a true and fair view and are free from material misstatement whetherdue to fraud or error.

In preparing the standalone financial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablematters related to going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the Company or to cease operations or has norealistic alternative but to do so.

Those Board of Directors are also responsible for overseeing the Company's financialreporting process.

Auditor's 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 auditor's report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material misstatement when it exists. Misstatements canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the economic decisions of userstaken 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 standalonefinancial statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.

• Obtain an understanding of internal financial control relevant to the audit inorder to design audit procedures that are appropriate in the circumstances. Under section143(3)(i) of the Act we are also responsible for expressing our opinion on whether theCompany has adequate internal financial controls system in place and the operatingeffectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by the management.

• Conclude on the appropriateness of management's use of the going concern basisof accounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe standalone financial statements or if such disclosures are inadequate to modify ouropinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditor's report. However future events or conditions may cause the Company to cease tocontinue as a going concern.

• Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the standalone financialstatements represent the underlying transactions and events in a manner that achieves fairpresentation.

Materiality is the magnitude of misstatements in the standalone financial statementsthat individually or in aggregate makes it probable that the economic decisions of areasonably knowledgeable user of the standalone financial statements may be influenced. Weconsider quantitative materiality and qualitative factors in (i) planning the scope of ouraudit work and in evaluating the results of our work; and (ii) to evaluate the effect ofany identified misstatements in the standalone financial statements.

We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the standalone financial statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditor's report unless law or regulation precludes public disclosure about thematter or when 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 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 2020 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2020 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 Company's internal financial controls overfinancial reporting.

g) With respect to the other matters to be included in the Auditor's 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 its directors during the year is in accordancewith the provisions of section 197 of the Act.

h) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 as amended inour opinion and to the best of our information and according to the explanations given tous:

i. The Company has disclosed the impact of pending litigations on its financialposition in its standalone financial statements.

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 (Auditor's Report) Order 2016 ("the Order")issued by the Central Government in terms of Section 143(11) of the Act we give in"Annexure B" a statement on the matters specified in paragraphs 3 and 4 of theOrder.

For DELOITTE HASKINS & SELLS
Chartered Accountants
(F.R.N. 008072S)
Sumit Trivedi
Partner
(Membership No.209354)
UDIN:20209354AAAAFK2635
Secunderabad May 26 2020

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S 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 Financial Controls Over Financial Reporting under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of CoromandelInternational Limited ("the Company") as of March 31 2020 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. These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating 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.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's 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 auditor's 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 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 authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised 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.

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 and such internal financial controls over financialreporting were operating effectively as at March 31 2020 based on the criteria forinternal financial control over financial reporting 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 DELOITTE HASKINS & SELLS
Chartered Accountants
(F.R.N. 008072S)
Sumit Trivedi
Partner
(Membership No.209354)
UDIN:20209354AAAAFK2635
Secunderabad May 26 2020

ANNEXURE B TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 2 under 'Report on Other Legal and Regulatory Requirements'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 of verification which in our opinion provides forphysical verification of all the fixed assets at reasonable intervals. According to theinformation and explanations given to us no material discrepancies were noticed on suchverification.

(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 18 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 23567 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 no material discrepancies were noticed onphysical verification.

(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 Company's 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 sub-section (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. We havehowever not made a detailed examination of the cost records with a view to determinewhether 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 Service taxCustoms Duty Cess and other material statutory dues applicable to it with the appropriateauthorities.

(b) There were no undisputed amounts payable in respect of Provident Fund Employees'State Insurance Income-tax Sales Tax Customs Duty Cess and other material statutorydues in arrears as at March 312020 for a period of more than six months from the datethey 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 March 312020 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 Amount unpaid
(Rs in Lakhs) (Rs in Lakhs)
The Income Tax Act 1961 Income Tax Commissioner of Income Tax (Appeals) 2008 -2009 to 2013 -2014 498 409
West Bengal Sales Tax Act 1994 Assistant Commissioner (Appeals) 2002-2003 4 4
Sales tax Sales Tax Appellate 2008-2009 1058 958
Tribunal 2012-2013
Special Commissioner 2015-2016 3 3
Andhra Pradesh General Sales Tax Act 1957 Additional Commissioner Legal 1995-1996 to 1997-1998 27 27
Sales tax Sales Tax Appellate Tribunal 2002-2003 to 20032004 63 33
Deputy Commissioner Appeal 2013-2014 19 19
Deputy Commissioner 2008-2009 125 111
Uttar Pradesh Value Added Tax Act 2008 Deputy Commissioner Appeal 2012-2013 1 1
Sales tax Appellate Deputy Commissioner 2012-2013 40 40
Assistant Commissioner (Appeals) 2013-2014 2 1
Gujarat Value Added Tax Act 2003 Appellate Deputy Commissioner (Appeals) 2012-2013 3 3
Sales tax Joint Commissioner (Appeals) 2010-2011 2011-2012 110 110
Sales Tax Appellate Tribunal 2008-09 to 2010-2011 91 91
Rajasthan Value Added Tax Act 2003 Maharashtra Value Added Tax Act 2002 Electricity Supply Act 1948 Sales tax Appellate Deputy Commissioner (Appeals) 2010-2011 to 2012-2013 27 27
Sales tax Appellate Joint Commissioner 2014-2015 14 14
Electricity Cess High Court for the State of Telangana 2003-2004 to 20132014 293 293
High Court for the State of Telangana 2003 to 2007 368 368
High Court of Madras 2001-2003 7 7
CESTAT 2009-2010 to 2013- 180 48
Central Excise Act 1944 Excise duty 2014
Commissioner (Appeals) 2003-2004 to 20042005 2016-2017 8 7
Commissioner 2004-2005 & 2009-2010 18 17
The Customs Act 1962 Customs duty CESTAT 2005-2006 to 2011-2012 & 2016-2017 2018-19 83 78
Commissioner of Customs (Appeals) 2005-2006 to 2010-2011 344 321
High Court for the State of Telangana 2018-2019 461 461
The Finance Act 1994 Service tax CESTAT 2009-2010 to 2016-2017 272 252

(viii) In our opinion and according to the information and explanations given to ushaving regard to the rollover of buyer's credit by banks the Company has not defaulted inthe repayment of loans or borrowings to financial institutions banks and government. TheCompany 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 theCompany has paid / provided managerial remuneration in accordance with the requisiteapprovals mandated by the provisions of Section 197 read with Schedule V to the CompaniesAct 2013.

(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
Chartered Accountants
(F.R.N. 008072S)
Sumit Trivedi
Partner
(Membership No.209354)
Secunderabad May 26 2020 UDIN:20209354AAAAFK2635

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