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Energy Development Company Ltd.

BSE: 532219 Sector: Infrastructure
NSE: ENERGYDEV ISIN Code: INE306C01019
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OPEN 18.80
PREVIOUS CLOSE 17.91
VOLUME 485660
52-Week high 18.80
52-Week low 6.29
P/E 30.82
Mkt Cap.(Rs cr) 89
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 18.80
CLOSE 17.91
VOLUME 485660
52-Week high 18.80
52-Week low 6.29
P/E 30.82
Mkt Cap.(Rs cr) 89
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Energy Development Company Ltd. (ENERGYDEV) - Auditors Report

Company auditors report

TO

THE MEMBERS OF ENERGY DEVELOPMENT COMPANY LIMITED

Report on the Audit of the Standalone Financial Statements Qualifi ed Opinion

We have audited the accompanying standalone fi nancial statements of Energy DevelopmentCompany Limited("the Company") which comprise the Balance Sheet as at 31stMarch2020 the Statement of Profi t and Loss(including other Comprehensive Income)Statement of Changes in Equity and Statement of Cash Flows for the year then ended andnotes to the fi nancial statements including a summary of signifi cant accountingpolicies and other explanatory notes for the year ended on that date (hereina er referredto as "standalone fi nancial statements").

In our opinion and to the best of our information and according to the explanationsgiven to us except for the e ects of the ma er described in the Basis for Qualifi edOpinion paragraph below the aforesaid standalone fi nancial statements give theinformation required by the Companies Act 2013 (" the Act") in the manner sorequired and give a true and fair view in conformity with the accounting principlesgenerally accepted in India including the Indian Accounting Standards ("Ind AS")prescribed under section 133 of the Act of the state of a airs of the Company as at 31stMarch 2020 and loss total comprehensive income/(loss) changes in equity and its cashfl ows for the year ended on that date.

Basis for Qualifi ed Opinion

A ention is drawn to Note 7 of the standalone fi nancial statements regardinginvestments and loans aggregating to

Rs. 2881.19 Lakhs in the State of Arunachal Pradesh and U arakhand Undertakingtransferred pursuant to the agreement therein and consideration of Rs. 4994.52 Lakhsrecoverable in this respect. In view of the uncertainty regarding implementation of theprojects and fulfi lment of the conditions precedent to the agreement impairment in thevalue thereof and consideration amount recoverable is presently not ascertainable and assuch cannot be commented upon by us. We conducted our audit in accordance with theStandards on Auditing (SAs) specifi ed under section 143(10) of the Act. Ourresponsibilities under those Standards are further described in the Auditors'Responsibilities for the Audit of the Standalone Financial Statements section of ourreport. We are independent of the Company in accordance with the Code of Ethics issued bythe Institute of Chartered Accountants of India together with the ethical requirementsthat are relevant to our audit of the standalone fi nancial statements under theprovisions of the Act and the Rules thereunder and we have fulfi lled our other ethicalresponsibilities in accordance with these requirements and the Code of Ethics. We believethat the audit evidence we have obtained is su cient and appropriate to provide a basisfor our opinion.

Key Audit Ma ers

Key audit ma ers are those ma ers that in our professional judgment were of mostsignifi cance in our audit of the standalone fi nancial statements of the current period.These ma ers were addressed in the context of our audit of the standalone fi nancialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these ma ers. In addition to the ma ers described in the Basis forQualifi ed Opinion section of our report we have considered the ma ers described below tobe the key audit ma ers for incorporation in our report.

Sl. No. Key Audit Ma ers Addressing the Key Audit Ma ers
1. Trade Receivables
Gross Trade Receivables of the Company is Rs. 3509.91 Lakhs as at 31st March 2020.This includes signifi cant amount which have fallen due for payment and are lying outstanding for a considerable period of time [Refer Note 14 of the Standalone Financial Statements]. Our audit procedures based on which we arrived at the conclusion regarding the carrying amount of Trade Receivables include the following:
The Company is exposed to potential risk of fi nancial loss when the customers fail to meet their contractual obligations. • We obtained an understanding from the Management assessed and tested the design and operating effectiveness of the Company's key controls over the recoveries against the outstanding amounts and resultant impairment assessment of material Trade Receivables;
The recoverable amount was estimated by management based on assessment of recoverability on case to case basis and required signifi cant audit attention. The Company evaluates whether there is any objective evidence that trade receivables are impaired and determines the amount of impairment allowance as a result of the inability of the customers to make required payments. The Company bases the estimates on the ageing of the trade receivables credit worthiness of the parties and historical write- off experience. We assessed the recoverability of the unse led receivables on a sample basis through our evaluation of management's assessment keeping in view the correspondences etc. with customers and reliance has been placed on management's representation on the expected outcome thereof;
2. Carrying value of investments and outstanding loans in certain subsidiaries
The Company has an investment of Rs. 5701.00 Lakhs (excluding investment of Rs. 2200.03 Lakhs other investment of Rs. 2.29 Lakhs and deemed equity of Rs. 6.42 Lakhsas referred in Note 7 of the Standalone Financial Statements) and outstanding loan of Rs. 2192.96 Lakhs in certain subsidiaries. Our audit procedures based on which we arrived at the conclusion regarding reasonableness of the impairment include the following:
The Company accounts for equity investments in those subsidiaries at cost (subject to impairment assessment). • We obtained an understanding from the management assessed and tested the design and operating effectiveness of the Company's key controls over the impairment assessment and valuation of investments and recoverability of outstanding loans.
For investments carried at cost where an indication of impairment exists the carrying value of investment is assessed for impairment and where applicable an impairment provision is recognized if required to its recoverable amount. • We evaluated the Company's process regarding impairment assessment and fair valuation of the loan by assessing the appropriateness of the assumptions considered by the management. This include valuation model taken for Cash Generating Unit and independent assessment of the underlying assumptions relating to discount rate terminal value etc.
As the fi nancial performances of these subsidiaries are unfavourable the impairment of the investment and recoverability of the loan could be dependent upon future fi nancial performance and cash fl ow generation from the operations and these investments and outstanding loan being long term and strategic in nature no impairment in the value of outstanding investments and loans has been considered by the management. • We assessed the carrying value/ fair value calculations of investments and loans determined by the Company which were within an acceptable range.
The exposure in the subsidiaries being signifi cant and impairment in the value of investments and the amount of loan in the event of the performance not being satisfactory in future the impact thereof is likely to be material. Based on the above procedures performed we did not identify any signi fi cant exceptions in the management's assessment in relation to the carrying value of investments and outstanding loans.

Information Other than the Financial Statements and Auditors' Report thereon

• The Company's Board of Directors is responsible for the other information. Theother information comprises the information included in the Board's Report includingAnnexures to Directors' Report Management Discussion and Analysis Report and Report onCorporate Governance but does not include the Standalone financial statementsConsolidated financial statements and our auditors' report thereon.

• Our opinion on the Standalone financial statements does not cover the otherinformation and we do not express any form of assurance conclusion thereon.

• In connection with our audit of the Standalone financial statements ourresponsibility is to read the other information identified above when it becomesavailable and in doing so consider whether the other information is materiallyinconsistent with the Standalone financial statements or our knowledge obtained during thecourse of our audit or otherwise appears to be materially misstated.

When we read the other information as stated above and if we conclude that there is amaterial misstatement therein we are required to communicate the ma er to those chargedwith governance and describe necessary actions as per applicable laws and regulations.

Responsibilities of Management and those Charged with Governance for the StandaloneFinancial Statements

The Company's Board of Directors is responsible for the ma ers stated in section 134(5)of the Act with respect to the preparation of these standalone fi nancial statements thatgive a true and fair view of the state of a airs (fi nancial position) Profi t or Loss(fi nancial performance including other comprehensive income) changes in equity and cashfl ows of the Company in accordance with the accounting principles generally accepted inIndia including the Indian Accounting Standards specifi ed under section 133 of the Act.This responsibility also includes maintenance of adequate accounting records in accordancewith the provisions of the Act for safeguarding of the assets of the Company and forpreventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal fi nancialcontrols that were operating e ectively for ensuring the accuracy and completeness of theaccounting records relevant to the preparation and presentation of the standalone financial statements that give a true and fair view and are free from material misstatementwhether due to fraud or error.

In preparing the standalone fi nancial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablema ers 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 fi nancialreporting process.

Auditors' Responsibilities for the Audit of the Standalone Financial Statements

Our objectives are to obtain reasonable assurance about whether the standalone financial statements as a whole are free from material misstatement whether due to fraud orerror and to issue an auditors' report that includes our opinion. Reasonable assurance isa 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 infl uence the economic decisions of userstaken on the basis of these standalone fi nancial 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 financial statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is su cient 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 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 fi nancial controls with reference to fi nancial statements in place andthe operating e ectiveness of such controls;

• Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by 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 signifi cant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw a ention in our auditors' report to the related disclosures in thestandalone fi nancial statements or if such disclosures are inadequate to modify ouropinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditors' report. However future events or conditions may cause the Company to cease tocontinue as a going concern; and

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

Materiality is the magnitude of misstatements in the standalone fi nancial statementsthat individually or in aggregate makes it probable that the economic decisions of areasonably knowledgeable user of the standalone fi nancial statements may be infl uenced.We consider quantitative materiality and qualitative factors in (i) planning the scope ofour audit work and in evaluating the results of our work; and (ii) to evaluate the e ectof any identifi ed misstatements in the standalone fi nancial statements.

We communicate with those charged with governance regarding among other ma ers theplanned scope and timing of the audit and signifi cant audit fi ndings including anysignifi cant defi ciencies 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 ma ers that may reasonably be thought to bear on our independenceand where applicable related safeguards. From the ma ers communicated with those chargedwith governance we determine those ma ers that were of most signifi cance in the audit ofthe standalone fi nancial statements of the current period and are therefore the key auditma ers. We describe these ma ers in our auditors' report unless law or regulationprecludes public disclosure about the ma er or when in extremely rare circumstances wedetermine that a ma er should not be communicated in our report because the adverseconsequences of doing so would reasonably be expected to outweigh the public interestbenefi ts 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 ma ers specifi ed inparagraphs 3 and 4 of the Order to the extent applicable.

2. Further to our comments in the annexure referred to in the paragraph above asrequired 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) Except for the e ects of the ma er described in Basis for Qualifi ed Opinion sectionabove 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 Profi t and Loss (including Other ComprehensiveIncome) the Statement of Changes in Equity and the Cash Flow Statement dealt with by thisReport are in agreement with the books of account;

d) Except for the e ects of the ma er described in Basis for Qualifi ed Opinion sectionabove in our opinion the aforesaid standalone fi nancial statements comply with theIndian Accounting Standards specifi ed under Section 133 of the Act read with Companies(Indian Accounting Standards) Rules 2015 as amended;

e) The ma ers described in the Basis for Qualifi ed Opinion section above in ouropinion may not have an adverse e ect on the functioning of the Company;

f) On the basis of the wri en representations received from the directors as at31stMarch 2020 taken on record by the Board of Directors none of the directors is disqualified as at31st March 2020 from being appointed as a director in terms of Section 164 (2) ofthe Act;

g) With respect to the adequacy of the internal fi nancial controls with reference tofi nancial statements of the Company and the operating e ectiveness of such controlsrefer to our separate Report in "Annexure B". Our report expresses a modifi edopinion on the adequacy and operating e ectiveness of the Company's internal control; and

3. With respect to the other ma ers 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 fi nancialposition in its standalone fi nancial statements – Refer Note 41(A) to the Standalonefi nancial 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 which were required to betransferred to the Investor Education and Protection Fund by the Company.

4. With respect to the reporting under section 197(16) of the Act to be included in theAuditors' Report in our opinion and according to the information and explanations givento us the remuneration (including si ing fees) paid / payable by the Company to itsDirectors during the current year is in accordance with the provisions of section 197 ofthe Act and is not in excess of the limit laid down therein.

For A L P S & Co

Chartered Accountants

Firm's ICAI Registration No. 313132E

Sd/- A. K. Khetawat

Partner

Membership No. 052751 UDIN:20052751AAAACL7969

Place : Kolkata

Dated : 7th August 2020

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

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

b. Fixed Assets have been physically verified by the management during the year whichin our opinion is reasonable having regard to the size of the Company and nature of itsassets. No material discrepancies in respect of the assets verified during the year werenoticed.

c. According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the title/lease deeds of immovable property areheld in the name of the Company.

ii) The inventory has been physically verified by the management during the year. Inour opinion and according to the information and explanations given to us the frequencyof verification is reasonable. As far as ascertained discrepancies noticed on physicalverification of inventory were not material as compared to the book records and these havebeen properly dealt with in books of account.

iii) According to information and explanations given to us the Company has givenunsecured loans to companies listed in the register maintained under section 189 of theAct :

a) As informed to us the terms and conditions of such loans are not prejudicial to theCompany's interest.

b) According to the information and explanations given to us as per the terms andconditions stipulated for loans given there were no amount due for repayment during theyear.

c) Further as informed to us having regard to terms and conditions of the loan thereare no amount outstanding as at 31st March 2020 which were overdue in respect of suchloans.

iv) According to the information and explanations given to us the Company has givenloans and guarantee for loan taken by a subsidiary from banks or financial institutionswhich are in accordance with the provision of section 185 and 186 of the Act and the rulesmade thereunder to the extent applicable to the Company.

v) The Company has not accepted any deposits from public and accordingly provisions ofSections 73 to 76 or any other relevant provisions of the Act are not applicable.

vi) We have broadly reviewed the cost records and accounts prescribed by the CentralGovernment under section 148(1) of the Act and are of the opinion that prima-facie suchrecords have been made and maintained by the Company. However we have not carried out anydetailed examination of such accounts and records.

vii) a. According to the information and explanations given to us except in case oftax deducted at source the Company has generally been regular in depositing with theappropriate authorities undisputed statutory dues including Provident Fund InvestorEducation Protection fund Sales Tax Service Tax Custom Duty Excise Duty Goods andServices Tax Cess and other statutory dues as applicable to it. According to theinformation and explanations given to us there are no undisputed statutory dues as aboveoutstanding as at 31st March 2020 for a period of more than six months from the date theybecame payable except Rs. 9.89 Lakhs in respect of tax deducted at source.

b. According to the information and explanations given to us and the records of theCompany examined by us there are no dues of income tax sales tax service tax customsduty excise duty goods and services tax and value added tax which have not beendeposited on account of dispute except as follows:

Name of the Statute Nature of Dues Amount (Rs. in lakhs)

Period to which the amount relates

Forum where dispute is pending
The Income Tax Act 1961 Income Tax 3334.54 FY 2010-2011 FY 2011-2012 CIT (Appeals)
FY 2012-2013 FY 2014-2015
FY 2015-2016 FY 2017-2018.
The Finance Act 1994 Service Tax 15.41 FY 2007-2008 CESTAT

viii) According to the information and explanations given to us the Company has notdefaulted in repayment of borrowings from bank. The Company does not have any outstandingloans or borrowings from financial institutions government or debenture holders as atBalance Sheet date.

ix) In our opinion and according to the information and explanations given to us theCompany has not raised any money by way of initial public o er or further public o er(including debt instruments) and term loan during the year.

x) During the course of our examination of books of account carried out in accordancewith generally accepted auditing practices in India we have neither come across anyincidence of material fraud by the Company or material fraud on the Company by its o cersor employees nor have we been informed of any such cases by the management.

xi) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has paid/provided for managerialremuneration 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 and accordingly 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 and details of suchtransactions have been disclosed in the standalone financial statements as required by theapplicable accounting standards.

xiv) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year. Accordingly paragraph 3(xiv) of the Order is not applicable to the Company.

xv) According to the information and explanations given to us and as represented to usby the management and based on our examination of the records of the Company the Companyhas not entered into non-cash transactions with its directors or persons connected withthem. Accordingly paragraph 3(xv) of the Order is not applicable.

xvi) According to the information and explanations given to us the Company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934 andaccordingly the provision of paragraph 3(xvi) of the order is not applicable to theCompany.

For A L P S & Co

Chartered Accountants

Firm's ICAI Registration No. 313132E

Sd/- A. K. Khetawat

Partner

Membership No. 052751

UDIN:20052751AAAACL7969

Place : Kolkata

Dated : 7th August 2020

"ANNEXURE – B" TO THE INDEPENDENT AUDITORS' REPORT

(Referred to in paragraph (f) under ‘Report on Other Legal and RegulatoryRequirements' of our report of even date)

Report on the Internal Financial Controls with reference to fi nancial statements underClause (i) of Sub-section 3 of Section 143 of the Act

We have audited the internal fi nancial controls with reference to fi nancialstatements of Energy Development Company Limited ("the Company") as at31st March2020 in conjunction with our audit of the standalone fi nancial statements of the Companyfor the year ended on that date.

Management's Responsibility for Internal Financial Controls

The Company's management is responsible for establishing and maintaining internal financial controls based on the internal control with reference to fi nancial statementscriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Internal Financial Controls over FinancialReporting issued by the Institute of Chartered Accountants of India. Theseresponsibilities include the design implementation and maintenance of adequate internalfi nancial controls that were operating e ectively for ensuring the orderly and e cientconduct of its business including adherence to Company's policies the safeguarding ofits assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable fi nancialinformation as required under the Act.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal fi nancialcontrols with reference to fi nancial statements 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 theAct to the extent applicable to an audit of internal fi nancial controls. Those Standardsand the Guidance Note require that we comply with ethical requirements and plan andperform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to fi nancial statements was established and maintainedand if such controls operated e ectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal fi nancial controls system with reference to fi nancial statements and theiroperating e ectiveness. Our audit of internal fi nancial controls with reference to financial statements included obtaining an understanding of internal fi nancial controlswith reference to fi nancial statements assessing the risk that a material weaknessexists and testing and evaluating the design and operating e ectiveness of internalcontrol based on the assessed risk. The procedures selected depend on the auditors'judgement including the assessment of the risks of material misstatement of thestandalone fi nancial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is su cient and appropriate toprovide a basis for our audit opinion on the Company's internal fi nancial controls withreference to fi nancial statements.

Meaning of Internal Financial Controls with reference to fi nancial statements

A company's internal fi nancial control with reference to fi nancial statements is aprocess designed to provide reasonable assurance regarding the reliability of fi nancialreporting and the preparation of standalone fi nancial statements for external purposes inaccordance with generally accepted accounting principles. A company's internal fi nancialcontrol with reference to fi nancial statements includes those policies and proceduresthat (1) pertain to the maintenance of records that in reasonable detail accurately andfairly refl ect the transactions and dispositions of the assets of the company; (2)provide reasonable assurance that transactions are recorded as necessary to permitpreparation of standalone fi nancial statements in accordance with generally acceptedaccounting principles and that receipts and expenditures of the company are being madeonly in accordance with authorizations of management and directors of the Company; and (3)provide reasonable assurance regarding prevention or timely detection of unauthorizedacquisition use or disposition of the Company's assets that could have a material e ecton the standalone fi nancial statements.

Inherent Limitations of Internal Financial Controls with reference to fi nancialstatements

Because of the inherent limitations of internal fi nancial controls with reference tofi nancial statements including the possibility of collusion or improper managementoverride of controls material misstatements due to error or fraud may occur and not bedetected. Also projections of any evaluation of the internal fi nancial controls withreference to fi nancial statements to future periods are subject to the risk that theinternal fi nancial control with reference to fi nancial statements may become inadequatebecause of changes in conditions or that the degree of compliance with the policies orprocedures may deteriorate.

Basis for Qualifi ed Opinion

According to the information and explanations given to us and based on our audit thefollowing material weakness has been identifi ed in the Company's internal fi nancialcontrols over fi nancial reporting as at 31st March 2020:

• As stated in Note 7 of the standalone fi nancial statements regardinginvestments and loans aggregating to

Rs. 2881.19 Lakhs in the State of Arunachal Pradesh and U arakhand Undertakingtransferred pursuant to the agreement therein and consideration of Rs. 4994.52 Lakhsrecoverable in this respect in view of the uncertainty regarding implementation of theprojects and fulfi lment of the conditions precedent to the agreement impairment in thevalue thereof and consideration amount recoverable is presently not ascertainable and assuch cannot be commented upon by us.

A ‘material weakness' is a defi ciency or a combination of defi ciencies ininternal fi nancial control over fi nancial reporting such that there is a reasonablepossibility that a material misstatement of the Company's annual or interim fi nancialstatements will not be prevented or detected on a timely basis.

Qualifi ed Opinion

In our opinion to the best of our information and according to the explanations givento us except for the e ects/ possible e ects of the material weakness described in theBasis for Qualifi ed Opinion paragraph above on the achievement of the objectives of thecontrol criteria the Company has maintained in all material respects an adequateinternal fi nancial controls over fi nancial reporting and such internal fi nancialcontrols over fi nancial reporting were operating e ectively as at 31st March 2020 basedon the internal control over fi nancial reporting criteria established 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. We have considered the material weakness identifi ed andreported above in determining the nature timing and extent of audit tests applied in ouraudit of the standalone fi nancial statements of the Company for the year ended 31stMarch 2020 and these material weakness have a ected our opinion on the said standalonefi nancial statements of the Company and we have issued a qualifi ed opinion on thestandalone fi nancial statements of the Company.

For A L P S & Co

Chartered Accountants

Firm's ICAI Registration No. 313132E

Sd/- A. K. Khetawat

Partner

Membership No. 052751

UDIN:20052751AAAACL7969

Place : Kolkata

Dated : 7th August 2020

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