You are here » Home » Companies » Company Overview » D P Wires Ltd

D P Wires Ltd.

BSE: 535012 Sector: Metals & Mining
NSE: DPWIRES ISIN Code: INE864X01013
BSE 05:30 | 01 Jan D P Wires Ltd
NSE 00:00 | 18 Feb 83.50 4.15
(5.23%)
OPEN

88.00

HIGH

88.00

LOW

80.15

OPEN
PREVIOUS CLOSE
VOLUME
52-Week high 0.00
52-Week low 0.00
P/E
Mkt Cap.(Rs cr) 0
Buy Price
Buy Qty
Sell Price
Sell Qty
OPEN
CLOSE
VOLUME
52-Week high 0.00
52-Week low 0.00
P/E
Mkt Cap.(Rs cr) 0
Buy Price
Buy Qty
Sell Price
Sell Qty

D P Wires Ltd. (DPWIRES) - Auditors Report

Company auditors report

To

The Members

D.P. WIRES LIMITED

[Previously known as ‘D.P. WIRES PRIVATE LIMITED']

Report on the Financial Statements

1. We have audited the accompanying financial statements of D.P. WIRES LIMITED

[Previously known as ‘D.P. WIRES PRIVATE LIMITED']("the Company") whichcomprise the Balance Sheet as at March 31st 2018 the Statement of Profit and Loss theCash Flow Statement for the year then ended and a summary of the significant accountingpolicies and other explanatory information.

Management's Responsibility for the Financial Statements

2. The Company's Board of Directors is responsible for the matters stated in section134(5) of the Companies Act 2013 ("the Act") with respect to the preparationand presentation of these financial statements that give a true and fair view of thefinancial position financial performance and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the Accounting Standardsspecified under section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding of 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 financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditors' Responsibility

3. Our responsibility is to express an opinion on these financial statements based onour audit. We have taken into account the provisions of the Act the accounting andauditing standards and matters which are required to be included in the audit report underthe provisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditing specified underSection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.

5. An audit involves performing procedures to obtain audit evidence about the amountsand disclosures in the financial statements. The procedures selected depend on theauditors' judgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial control relevant to the

Company's preparation of the financial statements that give a true and fair view inorder to design audit procedures that are appropriate in the circumstances. An audit alsoincludes evaluating the appropriateness of the accounting policies used and thereasonableness of the accounting estimates made by Company's Directors as well asevaluating the overall presentation of the financial statements.

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

Opinion

7. In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid financial statements give the information required by the Actin the manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India of the state of affairs of the Company as at March31st 2018 and its Profit and its Cash Flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

8. As required by the Companies (Auditors' 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-A" a statement on the matters specified inthe paragraph 3 and

4 of the Order to the extent applicable.

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

(a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purpose of our audit;

(b) In our opinion proper books of account as required by law have been kept by theCompany so far as appears from our examination of those books

(c) The Balance Sheet the Statement of Profit and Loss and the Cash Flow Statementdealt with by this Report are in agreement with the books of account;

(d) In our opinion the aforesaid financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014;

(e) On the basis of the written representations received from the directors as on March31st 2018 taken on record by the Board of Directors none of the directors isdisqualified as on March 31st 2018 from being appointed as a director in terms ofSection 164 (2) of the Act;

(f) With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate report in "Annexure-B"; and

(g) 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 in our opinionand to the best of our information and according to the explanations given to us:

(i) The Company has disclosed the impact of pending litigations on its financialposition in its financial statements Refer Note-27 to the financial statements.

(ii) The Company did not have any long-term contracts including derivative contractsfor which there could have been any material foreseeable losses.

(iii) There is no amount required to be transferred to the Investor Education andProtection Fund by the Company.

For Anil Kamal Garg& Company
Chartered Accountants
ICAI Firm Reg. No. : 004186C
Sd/-
(DevendraBansal)
Partner
Mem. No. : 078057
Place : Indore
Dated : May 29th 2018

"ANNEXURE A" TO THE INDEPENDENT AUDITORS' REPORT OF EVEN DATE

The Annexure referred to in Paragraph 8 under ‘Report on Other Legal andRegulatory Requirements' in the Independent Auditor's Report of even date we report that:

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

(b) As explained to us all the fixed assets have been physically verified by themanagement in a phased periodical manner which in our opinion is reasonable havingregard to the size of the Company and the nature of its assets. As explained to us nomaterial discrepancies were noticed on such physical verification.

(c) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the title deeds of immovable propertiesrecorded in the books of accounts of the Company are held in the name of the Company.

(ii) The inventory has been physically verified by the management during the year. Inour opinion the frequency of verification is reasonable. As informed no materialdiscrepancies were noticed on physical verification carried out during the year.

(iii) In respect of the granting of loans by the Company:

(a) The Company has granted unsecured loan to only one person covered in the registermaintained under section 189 of the Companies Act 2013. In our opinion the terms andconditions of such loan are not prejudicial to the Company's interest.

(b) The loan has been granted without stipulating any schedule of repayment ofprincipal and interest. As the loan is repayable on Demand along with interest thequestion as to regularity of the repayment or interest receipts does not arise.

(c) There being no stipulated schedule of repayment and the Company having not demandedthe repayment of loan the loan so granted has not become overdue.

(iv) In our opinion and according to the information and explanations given to us theCompany has not granted any loan or made any investment or provided any guarantees andsecurity in respect of which provisions of section 185 and 186 of the Companies Act 2013are applicable. Accordingly the provision of clause 3(iv) of the Order is not applicableto the Company.

(v) In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits from the public within the provisions of Sections 73to 76 of the Act and the rules framed there under.

We have broadly reviewed the records maintained by the Company pursuant to the rulesprescribed by Central Government for maintenance of cost records under sub section 1 ofSection 148 of the Act and are of the opinion that prima facie the prescribed accountsand records have been made and maintained. However we have not made a detailedexamination of the records.

(vii) (a) According to the information and explanations given to us and on the basis ofexamination of the records of the Company in our opinion the Company is regular indepositing the undisputed statutory dues including provident fund employees' stateinsurance income tax sales tax service tax duty of customs duty of excise valueadded tax goods and services tax cess and any other statutory dues as applicable withthe appropriate authorities.

According to the information and explanations given to us no undisputed amount payablein respect of aforesaid dues were in arrears as on 31st March 2018 for a period more thansix months from the date they became payable.

(b) According to the information and explanations given to us there are no materialdues of income tax sales tax service tax duty of customs goods and services tax cesswhich have not been deposited with the appropriate authorities on account of any dispute.However according to information and explanations given to us the following dues ofexcise duty value added tax central sales tax and entry tax have not been deposited ason 31st March 2018 by the Company on account of disputes :

Name of the Statute Nature of Dues Amount (Rs. in Lakhs) Period for which the Amount Relates (F.Y.) Forum where dispute is pending
1 Central Excise Act 1944 Excise Duty 24.67 2012-13 Commissioner Appeal Bhopal
Total 24.67
2 MP VAT Act 2002 Value Added Tax 25.58 2004-05 M.P.C.T Appellate Board Bhopal
3 MP VAT Act 2002 Value Added Tax 24.90 2005-06 M.P.C.T Appellate Board Bhopal
4 MP VAT Act 2002 Value Added Tax 20.36 2006-07 M.P.C.T Appellate
5 MP VAT Act 2002 Value Added Tax 6.29 2006-07 Board Bhopal M.P.C.T Appellate
Total 77.13 Board Bhopal
6 Central Sales Tax Act 1956 Central Sales Tax 20.79 2006-07 M.P.C.T Appellate Board Bhopal
7 Central Sales Tax Act 1956 Central Sales Tax 58.12 2008-09 M.P.C.T Appellate Board Bhopal
8 Central Sales Tax Act 1956 Central Sales Tax 6.90 2009-10 M.P.C.T Appellate Board
9 Central Sales Tax Act 1956 Central Sales Tax 12.87 2010-11 M.P.C.T Appellate Board Bhopal
10 Central Sales Tax Act 1956 Central Sales Tax 19.74 2011-12 Appellate Authority upto Commissioner's level Indore
11 Central Sales Tax Act 1956 Central Sales Tax 13.66 2012-13 do
12 Central Sales Tax Act 1956 Central Sales Tax 15.05 2013-14 do
13 Central Sales Tax Act 1956 Central Sales Tax 40.06 2014-15 do
14 Central Sales Tax Act 1956 Central Sales Tax 76.98 2014-15 do
Total 264.17
15 Entry Tax Act 1976 Entry-Tax 5.19 2014-15 Appellate Authority upto Commissioner's level Indore
Total 5.19
Grand Total 371.16

(viii) According to the records of the Company examined by us and the information andexplanation given to us the Company has not defaulted in repayment of loans or borrowingto a financial institution and bank. There is no borrowing from the Government and thereare no debenture holders.

(ix) The Company has made an initial public offer during the year as detailed in Noteno. 27 of financial statements. In our opinion and according to the information andexplanations given to us the Company has utilized the money raised by way of initialpublic issue offer during the year for the purposes for which they were raised.

Further in our opinion and according to the information and explanations given to usthe Company has utilized the Term Loans for the purposes for which they were obtained.

(x) During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstance of fraud by the Company or any fraud on the Company by its officers or employeesnoticed or reported during the year nor have we been informed of any such instance by themanagement.

(xi) According to the information and explanations given to us and based on ourexamination of the records of the Company the managerial remuneration has beenpaid/provided in accordance with the requisite approvals mandated by the provisions ofsection 197 read with Schedule V to the Act.

(xii) In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company. Accordingly the paragraph 3(xii) of the Order is notapplicable to the Company.

(xiii) According to the information and explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with sections 177 and 188 of the Act where applicable. The details of suchrelated party transactions have been disclosed in the notes to the financial statementsas required by the applicable accounting standards.

(xiv) According to the information and explanations give 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 under review. Accordingly the paragraph 3(xiv) of the Order is not applicable tothe Company.

(xv) According to the information and explanations given to us the Company has notentered into any non-cash transactions with directors or persons connected with him asreferred to in section 192 of the Companies Act 2013.

(xvi) According to the information and explanation given to us the Company is notrequired to be registered under Section 45-IA of the Reserve Bank of India Act 1934.

For Anil Kamal Garg& Company
Chartered Accountants
ICAI Firm Reg. No. : 004186C
Sd/-
(DevendraBansal)
Partner
Mem. No. : 078057
Place : Indore
Dated : May 29th 2018

"ANNEXURE B" TO THE INDEPENDENT AUDITORS' REPORT OF EVEN DATE

[Referred to in paragraph 9(f) under ‘Report on Other Legal and RegulatoryRequirements' in the Independent Auditor's Report 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 D.P. WiresLimited

[Previously known as 'D.P. Wires Private Limited']("the Company") as of 31stMarch 2018 in conjunction with our audit of the financial statements of the Company forthe 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 thedesign implementation and maintenance of adequate internal financial controls 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 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 deemed to beprescribed under section 143(10) of the Companies Act 2013 to the extent applicable toan audit of internal financial controls both applicable to an audit of Internal FinancialControls and both issued by the Institute of Chartered Accountants of India. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand 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 judgment 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 authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized acquisition use or disposition of thecompany's assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls over Financial Reporting

Because of the inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.Also projections of any evaluation of the internal financial controls over financialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial 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 Anil Kamal Garg& Company
Chartered Accountants
ICAI Firm Reg. No. : 004186C
Sd/-
(DevendraBansal)
Partner
Mem. No. : 078057
Place : Indore
Dated : May 29th 2018