To The Members of ELCID INVESTMENTS LTD
Report on the Audit of the Standalone Financial Statements
We have audited the accompanying standalone financial statements of ELCID INVESTMENTSLTD ("the Company") which comprise the standalone Balance Sheet as at March 312021 and the standalone Statement of Profit and Loss (including Other ComprehensiveIncome) the standalone Statement of Changes in Equity and the standalone Statement ofCash Flows for the year then ended and the notes to the standalone financial statementsincluding a summary of the significant accounting policies and other explanatoryinformation.
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 accounting principles generally accepted in India ofthe state of affairs of the Company as at March 31 2021 its profit and othercomprehensive income changes in equity and its cash flows for the year ended on thatdate.
Basis for Opinion
We have conducted our audit in accordance with the Standards on Auditing (SAs)specified under section 143(10) of the Act. Our responsibilities under those standards arefurther described in the Auditor's Responsibilities for the Audit of the FinancialStatements section of our report. We are independent of the Company in accordance with theCode of Ethics issued by the Institute of Chartered Accountants of India("ICAI") together with the ethical requirements that are relevant to our auditof the financial statements under the provisions of the Act and the Rules there under andwe have fulfilled our other ethical responsibilities in accordance with these requirementsand the Code of Ethics. We believe that the audit evidence we have obtained is sufficientand appropriate to provide a basis for our 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 financial statements of the current period. These matterswere addressed in the context of our audit of the financial statements as a whole and informing our opinion thereon and we do not provide a separate opinion on these matters. Wehave determined that there are no such key audit matters to be communicated in our auditreport.
Information other than the Financial Statements and Auditors' Report thereon
The Company's Board of Directors is responsible for the preparation of the otherinformation. The other information comprises the information included in the Annual Reportbut does not include the standalone 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.
Responsibilities of Management and Those Charged with Governance for the StandaloneFinancial Statements
The Company's Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these standalone financial statementsthat give a true and fair view of the state of affairs the profit or loss including othercomprehensive income changes in equity and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the Ind AS specifiedunder section 133 of the Act. This responsibility also includes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding of theassets of the Company and for preventing and detecting frauds and other irregularities;selection and application of appropriate accounting policies; making judgments andestimates that are reasonable and prudent; and design implementation and maintenance ofadequate internal financial controls that were operating effectively for ensuring theaccuracy and completeness of the accounting records relevant to the preparation andpresentation of the financial statements that give a true and fair view and are free frommaterial misstatement whether due 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.
That Board of Directors are also responsible for overseeing the Company's financialreporting process.
Auditor's responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken on thebasis of these 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 financial statementswhether due to fraud or error design and perform audit procedures responsive to thoserisks and obtain audit evidence that is sufficient and appropriate to provide a basis forour opinion. The risk of not detecting a material misstatement resulting from fraud ishigher than for one resulting from error as fraud may involve collusion forgeryintentional omissions misrepresentations or the override of internal control.
- Obtain an understanding of internal control relevant to the audit in order to designaudit procedures that are appropriate in the circumstances. Under section 143(3)(i) of theAct 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 management.
- Conclude on the appropriateness of management's 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 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 financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditor'sreport. 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 financial statementsincluding the disclosures and whether the financial statements represent the underlyingtransactions and events in a manner that achieves fair presentation.
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 financial statements of thecurrent period and are therefore the key audit matters. We describe these matters in ourauditor's report unless law or regulation precludes public disclosure about the matter orwhen 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 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 "A" a statement on the matters specified inparagraphs 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 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 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 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 internal financial controls over financialreporting of the Group and the operating effectiveness of such controls refer to ourseparate report in Annexure B;
(g) With respect to the other matters included in the Auditor's Report in accordancewith Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinion and to ourbest of our information and according to the explanations given to us:
i. The Company does not have any pending litigations which would impact its financialposition
ii. The Company did not have any long-term contracts including derivatives contractsfor which 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.
| ||UDIN: 21116667AAAAIZ7704 |
| ||for RAVI A. SHAH & ASSOCIATES Chartered Accountants ICAI Firm Registration No.125079W |
| ||Ravi A. Shah |
|Mumbai June 30 2021 ||Proprietor Membership No. 116667 |
Annexure A referred to in paragraph 1 under the heading 'Report on Other Legal andRegulatory equirements' of the Our Report of even date to the members of Elcid InvestmentsLtd. on the accounts of the company for the year ended 31st March 2021.
On the basis of such checks as we considered appropriate and according to theinformation and explanation given to us during the course of our audit we report that:
i. (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) There is a regular program of physical verification which in our opinion isreasonable having regard to the size of the Company and the nature of its fixed assets. Nomaterial discrepancies have been noticed in respect of the assets physically verifiedduring the year;
(c) Based on the audit procedures performed by us and based on the information andexplanations provided to us by the management the company has no immovable propertyhence reporting under clause 3(i)(c) is not applicable.
ii. In our opinion and according to the information and explanations given to us thecompany does not have inventory hence reporting under clause 3(ii) are not applicable andnot commented upon.
iii. In our opinion and according to the information and explanations given to us theCompany has not granted any loans secured or unsecured to companies firms or otherparties covered in the register maintained under section 189 of the Companies Act.Accordingly Paragraph 3 (iii) (a) (b) and (c) of the Order 2016 is not applicable andhence not commented upon.
iv. In our opinion and according to the information and explanations given to us theCompany has not granted any loans made investments given guarantee or provided securityin respect of which provisions of section 185 and 186 of the Companies Act 2013 areapplicable hence not commented upon.
v. In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits from the public in accordance with the provision ofSection 73 and 76 and the rules framed there under.
vi. The requirements of maintaining cost accounts and records as prescribed by theCentral Government under section 148 (1) of the Act are not applicable to the Company.
vii. (a). According to the information and explanations given to us in respect ofstatutory and other dues the Company has been regular in depositing undisputed statutorydues and other dues with the appropriate authorities during the year.
(b). According to the information and explanations given to us no undisputed statutoryamounts were outstanding at the year end for a period of more than six months from thedate when they became payable.
viii. Based upon the audit procedures performed for the purpose of reporting true andfair view of the financial statements and according to information and explanations givenby the management we are of the opinion that the Company has not defaulted in repaymentof dues to a financial institution bank or government. There are no outstandingdebentures during the year.
ix. Based upon the audit procedures performed for the purpose of reporting true andfair view of the financial statements and according to information and explanations givenby the management and on an overall examination of the balance sheet we report thatmonies raised by way of term loans were applied for the purpose for which they wereraised. The company has not raised any money by way of initial public offer furtherpublic offer and debt instruments.
x. Based upon the audit procedures performed for the purpose of reporting true and fairview of the financial statements and according to information and explanations given bythe management we report that no fraud on or by the officers and employees of the Companyhas been noticed or reported during the year.
xi. According to the information and explanations given to us and based on thedocuments and records produced to us no managerial remuneration has been paid orprovided hence reporting under clause 3(xi) are not applicable and not commented upon.
xii. In our opinion the company is not a nidhi company hence reporting under clause3(xii) are not applicable and not commented upon.
xiii. Based upon the audit procedures performed for the purpose of reporting true andfair view of the financial statements and according to information and explanations givenby the management transactions with related parties are in compliance with section 188 ofCompanies Act 2013 where applicable and details have been disclosed in the notes to thefinancial statements as required by the applicable accounting standard. The provisions ofsection 177 are not applicable to the company and accordingly reporting under clause3(xiii) insofar as it relates section 177 of the Act is not applicable and hence notcommented upon.
xiv. According to the information and explanations given to us and on overallexamination of balance sheet the company has not made any preferential allotment orprivate placement of shares or fully or partly convertible debentures during the yearunder review accordingly paragraph 3 (xiv) of the Order 2016 is not applicable andhence not commented upon.
xv. Based upon the audit procedures performed for the purpose of reporting true andfair view of the financial statements and according to the information and explanationsgiven to us by the management the company has not entered into any non-cash transactionswith directors or persons connected with him.
xvi. The company is required to be registered under section 45-IA of the Reserve Bankof India Act 1934 and registration has been obtained by the company.
| ||for RAVI A. SHAH & ASSOCIATES |
| ||Chartered Accountants |
| ||ICAI Firm Registration No.125079W |
| ||Ravi A. Shah Proprietor |
|Mumbai June 30 2021 ||Membership No. 116667 |
Annexure B referred to in paragraph 2(f) under the under the heading 'Report on OtherLegal and Regulatory Requirements' of the Our 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")
To the Members of ELCID INVESTMENTS LIMITED
We have audited the interna! financial controls over financial reporting of ELCIDINVESTMENTS LIMITED ("the Company") as of March 31 2021 in conjunction with ouraudit of the 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. 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.
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 as specified under section143(10) of the Companies Act 2013 to the extent applicable to an audit of internalfinancial controls 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 of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets 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 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.
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 March 31 2021 based on theinternal control over financial reporting criteria established by the company consideringthe essential components of internal control stated in Guidance Note on Audit of InternalFinancial Controls over Financial Reporting issued by the Institute of CharteredAccountants of India.
We also have audited in accordance with the Standard on Auditing issued by theInstitute of Chartered Accountants of India as specified under section 143(10) of theAct the financial statements of ELCID INVESTMENTS LIMITED ("the company")which comprise the Balance Sheet as at March 31 2021 and the related Statement of Profitand Loss and cash flow statement for the year then ended and a summary of significantaccounting policies and other explanatory information and our report dated June 30 2021expressed an unqualified opinion thereon.
| ||for RAVI A. SHAH & ASSOCIATES |
| ||Chartered Accountants |
| ||ICAI Firm Registration No.125079W |
| ||Ravi A. Shah Proprietor |
|Mumbai June 30 2021 ||Membership No. 116667 |