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Foundry Fuel Products Ltd.

BSE: 513579 Sector: Others
NSE: N.A. ISIN Code: INE617C01027
BSE 00:00 | 24 Dec Foundry Fuel Products Ltd
NSE 05:30 | 01 Jan Foundry Fuel Products Ltd
OPEN 4.16
PREVIOUS CLOSE 4.16
VOLUME 1
52-Week high 4.59
52-Week low 4.16
P/E 8.16
Mkt Cap.(Rs cr) 3
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 4.16
CLOSE 4.16
VOLUME 1
52-Week high 4.59
52-Week low 4.16
P/E 8.16
Mkt Cap.(Rs cr) 3
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Foundry Fuel Products Ltd. (FOUNDRYFUEL) - Auditors Report

Company auditors report

TO THE MEMBERS OF FOUNDRY FUEL PRODUCTS LIMITED

Report on the Indian Accounting Standards (Ind AS) Financial Statements

We have audited the accompanying Ind AS financial statements of Foundry Fuel ProductsLimited ("the Company") which comprise the Balance Sheet as at 31stMarch 2018the Statement of Profit and Loss (including Other Comprehensive Income) the Statement ofCash Flowsand the Statement of Changes in Equity for the year then ended and a summary ofthe significant accounting policies and other explanatory information (together referredto as Ind AS financial statements).

Management's Responsibility for the Ind AS Financial Statements

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 preparation ofthese Ind AS financial statements that give a true and fair view of the financialposition financial performance including other comprehensive income cash flows andchanges in equity of the Company in accordance with the accounting principles generallyaccepted in India including the Ind AS specified under Section 133 of the Act read withRule 7 of the Companies (Accounts) Rules 2014. This responsibility also includesmaintenance of adequate accounting records in accordance with the provisions of the Actfor safeguarding the assets of the Company and for preventing and detecting frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the Ind AS financial statements that give a true and fairview and are free from material misstatement whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express an opinion on these Ind AS financial statements basedon our 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 Ind AS financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the Ind AS financial statements. The procedures selected depend on theauditor's judgment including the assessment of the risks of material misstatement of theInd AS financial statements whether due to fraud or error. In making those riskassessments; the auditor considers internal financial control relevant to the Company'spreparation of the Ind AS financial statements that give a true and fair view in order todesign audit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of accounting policies used and the reasonableness of theaccounting estimates made by the Company's Directors as well as evaluating the overallpresentation of the Ind AS financial statements. We believe that the audit evidence wehave obtained is sufficient and appropriate to provide a basis for our audit opinion onthe Ind AS financial statements.

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

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Ind AS financial statements give the information required bythe Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at 31st March 2018 and its loss (including other comprehensive income) its cashflows and changes in equity for the year ended on that date.

Material Uncertainty Related to Going Concern

We draw attention to Note 24 to the Ind AS financial statements in respect of theCompany's business which was dependent on the commencement of mining operation by itsholding company. However during the F.Y. 2014-15 the Hon'ble Supreme Court had passed anorder cancelling coal block allocations of various companies including the holdingcompany. Considering the aforesaid cancellation the Company is looking for anotherproject and is also evaluating the option to sell or lease or transfer the entire businessassets or undertaking comprising of all movable and immovable properties. In view of nobusiness operations the Company continues to incur losses on account of administrativeand other expenses and its net worth has also become negative.Notwithstanding above inthe opinion of the management fixed assets are sufficiently and substantially depreciated/ amortized and hence no adjustment would be required to its carrying value. For thepurpose of payment of trade liabilities Company has received commitment from holdingcompany for giving the funds as and when required. Considering the same accounts areprepared on going concern. Our opinion is not modified in respect of this matter.

Above matter was covered in emphasis of matter paragraph and our opinion was notmodified in respect of this matterin financial year 2014-15 2015-16 as well as in2016-17.

Emphasis of matter

We draw attention to Note 25to theInd AS financial statementsregarding pendingappointment of Chief financial officer and Company secretary (key managerial personnel) asrequired by Section 203 of the Companies Act 2013.Our opinion is not modified in respectof this matter.

Above matter was covered in emphasis of matter paragraph and our opinion was notmodified in respect of aforesaid matterin financial year 2014-15 2015-16 as well as in2016-17.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016('the Order') issued bythe Central Government of India in terms of section 143(11) of the Act we give in the"Annexure A" a statement on the matters specified in paragraphs 3 and 4 of theOrder.

2. As required by Section 143 (3) of the Act we report that: a) We have sought andobtained all the information and explanations which to the best of ourknowledge and beliefwere necessary for the purposes of our audit; b) In our opinion proper books of accountas required by law have been kept by the Company so faras it appears from our examinationof those books; c) The Balance Sheet the Statement of Profit and Loss (including othercomprehensive income) the Statement of Cash Flowsand the Statement of Changes in Equitydealt with by this Report are in agreement with the books of account; d) In our opinionthe aforesaid Ind AS financial statements comply with the Ind AS specified under Section133 of the Act; e) The going concern matter described in 'Material Uncertainty Relatedto Going Concern' paragraph above in our opinion may have an adverse effect on thefunctioning of the Company. f) On the basis of the written representations received fromthe directors as on 31stMarch 2018taken on record by the Board of Directors none of thedirectors aredisqualified as on31stMarch 2018from being appointed as a director in termsof Section 164 (2) of the Act; g) With respect to the adequacy of the internal financialcontrols over financial reporting of the Company and the operating effectiveness of suchcontrols our separate Report in "Annexure B"expresses an unmodified opinion onthe adequacy and operating effectiveness of the Company's internal financial controls overfinancial reporting. h) With respect to the other matters to be included in the Auditor'sReport in accordance withRule 11 of the Companies (Audit and Auditors) Rules 2014 in ouropinion and to the best of ourinformation and according to the explanations given to us:i. The Company does not have any pending litigations which would impact his financialposition; ii. The Company did nothave any long-term contracts including derivativecontracts for which there were anymaterial foreseeable losses; iii. There were no amountswhich were required to be transferred to theInvestor Education and Protection Fund by theCompany.

For N.A.Shah Associates LLP
Chartered Accountants
Firm's registration number : 116560W / W100149
Sd/-
Sandeep Shah
Place of signature: Mumbai Partner
Date: 30th May 2018 Membership number : 037381

Annexure A to the Independent Auditor's Report for the year ended 31st March 2018

[Referred to in paragraph 1 under the heading "Report on other legal andregulatory requirements" of our report of even date] (i) In respect of fixed assets:(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

(b) Fixed assets have been physically verified during the year by the management. Inour opinion the frequency of physical verification is reasonable having regard to thesize of the Company and the nature of its assets. According to information and explanationgiven to usno material discrepancies were noticed on such verification. (c) According tothe information and explanations given to us and on the basis of our examination of therecords of the Company the title deeds of immovable properties are held in the name ofthe Company.

(ii) The Company does not hold any inventory. Therefore clause (ii) of paragraph 3ofthe Order relating to inventory is not applicable to the Company.

(iii) According to the information and explanations given to us the Company has notgranted any loans secured or unsecured to companies firms or other parties covered inthe register maintained under section 189 of the Act. Therefore the requirement of clause(iii)(a) (b) and (c) of paragraph 3 of the Order is not applicable to the Company.

(iv) The Company has not granted loans made investments given any guarantee orprovided security in connection with any loan for which compliance under section 185 and186 of the Act is required. (v) In our opinion and according to the explanations given tous the Company has not accepted any deposits. Therefore question of reporting compliancewith directives issued by the Reserve Bank of India and the provisions of sections 73 to76 or any other relevant provisions of the Act and rules framed thereunder does not arise.We are informed that no order relating to the Company has been passed by the Company lawBoard or National Company Law Tribunal or Reserve Bank of India or any Court or any otherTribunal.

(vi) According to the information and explanations given to us there are no businessactivities in the Company in the current year. Accordingly clause (vi) of paragraph 3 theOrder regarding maintenance of costs records is not applicable to the Company.

(vii) In respect of statutory dues:

(a) According to the information and explanations given to us and on the basis of ourexamination of records of the Company in respect of amounts deducted / accrued in thebooks of account the Company has been generallyregular in depositing undisputed statutorydues including Provident Fund Employees' State Insurance Income Tax Sales Tax Servicetax Goods and Services tax Duty of Customs Duty of Excise Value Added Tax Cess andany other statutory dues as applicable to the Company during the year with theappropriate authorities. There are no undisputed statutory dues payable in respect toabove statues outstanding as at 31st March 2018for a period of more than six months fromthe date they became payable.

(b) According to information and explanations given to us there are no disputed duesof Income Tax Sales-tax Service Tax Goods and Services tax Duty of CustomsDuty ofExcise Value Added Tax and Cess as on 31st March 2018 which have not been depositedonaccount of any dispute.

(viii) The Company has neither taken any loan from financial institution bank andgovernment nor borrowed any amount by way of issue of debentures. Therefore clause (viii)of paragraph 3 of the Order is not applicable to the Company.

(ix) According to the information and explanations given to us and on the basis of ourexamination of records of the Companythe Company did not raised moneys by way of initialpublic offer or further public offer (including debt instruments) and term loans duringthe year. Therefore the question of utilization for the purpose for which it was takendoes not arise.

(x) During the course of our examination of the books of account and records of theCompany carried out in accordance with generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither noticed norhave been informed by the management any incidence of fraud by the Company or on theCompany by its officers or employees. (xi) The Company has not paid managerialremuneration during the year. Therefore the question of ensuring compliance with section197 read with Schedule V of the Act does not arise.

(xii) The Company is not a Nidhi Company and therefore clause (xii) of paragraph 3 ofthe Order is not applicable to the Company.

(xiii) According to the information and explanations given to us and on the basis ofour examination of records of the Company transactions with related partyare incompliance with sections 177 and 188 of the Act where applicable and details of suchtransactions have been disclosed in the financial statements as required by the applicableInd AS.

(xiv) According to the information and explanations given to usand on the basis of ourexamination of records of the Company the Company has not made any preferential allotmentor private placement of shares or fully or partly convertible debentures during the year.

(xv) According to the information and explanations given to usand on the basis of ourexamination of records of the Company the Company has not entered into any non-cashtransactions with directors or persons connected with him and hence compliance withSection 192 of the Act does not arise. (xvi) The Company is not required to be registeredunder section 45-IA of the Reserve Bank of India Act 1934.

For N.A.Shah Associates LLP
Chartered Accountants
Firm's registration number : 116560W / W100149
Sd/-
Sandeep Shah
Place of signature: Mumbai Partner
Date: 30th May 2018 Membership number : 037381

Annexure B to the Independent Auditor's Report for the year ended 31st March 2018

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the CompaniesAct 2013 ("theAct") We have audited the internal financialcontrols over financial reporting of Foundry Fuel Products Limited ('the Company')as of 31st March 2018 in conjunction with our audit of the financial statements of theCompany for the year then ended.

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 responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to company's policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired under the Act.

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 Act to the extent applicable to an audit ofinternal financial controls both applicable to an audit of Internal Financial Controlsand both issued by the Institute of Chartered Accountants of India. Those Standards andthe Guidance Note require that we comply with ethical requirements and plan and performthe audit to obtain reasonable assurance about whether adequate internal financialcontrols over financial reporting was established and maintained and if such controlsoperated 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. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our audit opinion on the Company's internal financial controls system overfinancial 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 N.A.Shah Associates LLP
Chartered Accountants
Firm's registration number : 116560W / W100149
Sd/-
Sandeep Shah
Place of signature: Mumbai Partner
Date: 30th May 2018 Membership number : 037381