THE MEMBERS OF
GABRIEL INDIA LIMITED
Report on the Audit of the Financial Statements
1. We have audited the accompanying financial statements of Gabriel India Limited("the Company") which comprise the Balance Sheet as at March 312022 and theStatement of Profit and Loss (including Other Comprehensive Income) the Statement ofChanges in Equity and the Statement of Cash Flows for the year then ended and notes tothe financial statements including a summary of significant accounting policies and otherexplanatory information.
2. 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 theCompanies Act 2013 ("the Act") in the manner so required and give a true andfair view in conformity with the accounting principles generally accepted in India of thestate of affairs of the Company as at March 31 2022 and total comprehensive income(comprising of profit and other comprehensive income) changes in equity and its cashflows for the year then ended.
Basis for Opinion
3. We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder Section 143(10) of the Act. Our responsibilities under those Standards are furtherdescribed in the "Auditor's Responsibilities for the Audit of the FinancialStatements" section of our report. We are independent of the Company in accordancewith the Code of Ethics issued by the Institute of Chartered Accountants of India togetherwith the ethical requirements that are relevant to our audit of the financial statementsunder the provisions of the Act and the Rules thereunder and we have fulfilled our otherethical responsibilities in accordance with these requirements and the Code of Ethics. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our opinion.
Key audit matters
4. 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.
|Key audit matter ||How our audit addressed the key audit matter |
|Revenue recognition (refer note 1.2.4 for accounting policy note 27 for financial disclosures and note 1.3.4 (significant judgements and estimates) to the Ind AS financial statements || |
|Revenue for the year ended March 31 2022 amounted to ' 23319.89 million. ||Our procedures included the following: |
|Revenue is recognised when control over promised goods or services are transferred to customers in an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. ||a) Understood and evaluated the design and tested the operating effectiveness of key controls relating to revenue recognition. |
|Revenue recognition includes determination of effect of variable consideration such as discounts revision for changes in commodity prices and amortisation of upfront payment made to customers. This involves management estimates and judgements with respect to region and product wise sales volume expected customer settlement for price changes and expected future sales volume for amortisation of upfront payment to customers. ||b) Evaluated the contract terms for a sample of customer contracts. |
|Due to the significance of revenue and the management estimates and judgement involved in determination of variable consideration revenue recognition is considered as a key audit matter. ||c) Tested the appropriateness of key assumptions estimates and judgements used by the Management in determination of variable consideration including discounts likelihood and quantum of price revision for changes in the commodity prices and expected sales volumes for amortisation of upfront payment to customers and evaluated related communications with the customers. |
| ||d) Assessed the historical accuracy of management estimates by comparing them to actual outcomes. |
| ||e) Evaluated the completeness and accuracy of the source data used by the Company for determining the accrual of discounts and price revisions. |
| ||f) Tested sales transactions on a sample basis by comparing the underlying sales invoices sales orders and dispatch documents to assess whether revenue was recognised appropriately. |
| ||g) Tested the timing of recognition of revenue including performing cut-off procedures to determine whether the same is in line with the terms of contracts. |
| ||h) Tested the journal entries for unusual/irregular revenue transactions if any. |
| ||i) Evaluated the adequacy of presentation and disclosures made in the financial statements in respect of revenue recognition. |
| ||Based on above procedures we did not note any significant exceptions in the assessment made by the Management in respect of revenue recognition. |
5. The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the Director's report but does notinclude the financial statements and our auditor's report thereon. Our opinion on thefinancial statements does not cover the other information and we do not express any formof assurance conclusion thereon.
In connection with our audit of the financial statements our responsibility is to readthe other information and in doing so consider whether the other information ismaterially inconsistent with the financial statements or our knowledge obtained in theaudit or otherwise appears to be materially misstated. If based on the work we haveperformed we conclude that there is a material misstatement of this other information weare required to report that fact. We have nothing to report in this regard.
Responsibilities of management and those charged with governance for thefinancial statements
6. The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Act with respect to the preparation of these financial statements that givea true and fair view of the financial position financial performance changes in equityand cash flows of the Company in accordance with the accounting principles generallyaccepted in India including the Accounting Standards specified under Section 133 of theAct. This responsibility also includes maintenance of adequate accounting records inaccordance 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.
7. In preparing the financial statements management is responsible for assessing theCompany's ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so. Those Board of Directors are also responsible for overseeing theCompany's financial reporting process.
Auditor's responsibilities for the audit of the financial statements
8. 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.
9. As part of an audit in accordance with SAs we exercise professional judgment andmaintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control.
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 Companyhas adequate internal financial controls with reference to financial statements in placeand the operating effectiveness 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 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 financialstatements including the disclosures and whether the financial statements represent theunderlying transactions and events in a manner that achieves fair presentation.
10. We communicate with those charged with governance regarding among other mattersthe planned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit.
11. We also provide those charged with governance with a statement that we havecomplied with relevant ethical requirements regarding independence and to communicatewith them all relationships and other matters that may reasonably be thought to bear onour independence and where applicable related safeguards.
12. From the matters communicated with those charged with governance we determinethose matters that were of most significance in the audit of the financial statements ofthe current period and are therefore the key audit matters. We describe these matters inour auditor's report unless law or regulation precludes public disclosure about the matteror when in extremely rare circumstances we determine that a matter should not becommunicated in our report because the adverse consequences of doing so would reasonablybe expected to outweigh the public interest benefits of such communication.
13. The financial statements of the Company for the year ended March 312021 wereaudited by another firm of chartered accountants under the Companies Act 2013 who videtheir report dated May 22 2021 expressed an unmodified opinion on those financialstatements. Our opinion is not modified in respect of this matter.
Report on other legal and regulatory requirements
14. As required by the Companies (Auditor's Report) Order 2020 ("theOrder") issued by the Central Government of India in terms of sub-section (11) ofSection 143 of the Act we give in the Annexure B a statement on the matters specified inparagraphs 3 and 4 of the Order to the extent applicable.
15. 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 including other comprehensiveincome the Statement of Changes in Equity and the Statement of Cash Flows dealt with bythis 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.
(e) On the basis of the written representations received from the directors as on March312022 taken on record by the Board of Directors none of the directors is disqualifiedas on March 312022 from being appointed as a director in terms of Section 164(2) of theAct.
(f) With respect to the adequacy of the internal financial controls with reference tofinancial statements of the Company and the operating effectiveness of such controlsrefer to our separate Report in "Annexure A".
(g) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 (as amended) inour opinion and to the best of our information and according to the explanations given tous:
i. The Company has disclosed the impact of pending litigations on its financialposition in its financial statements - Refer Note 41 to the financial statements;
ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.
iii. Except as referred to in Note 50 to the financial statements there has been nodelay in transferring amounts required to be transferred to the Investor Education andProtection Fund by the Company.
iv. (a) The management has represented that to the best of its knowledge and beliefno funds have been advanced or loaned or invested (either from borrowed funds or sharepremium or any other sources or kind of funds) by the Company to or in any other person(s)or entity(ies) including foreign entities ("Intermediaries") with theunderstanding whether recorded in writing or otherwise that the Intermediary shallwhether directly or indirectly lend or invest in other persons or entities identified inany manner whatsoever by or on behalf of the Company ("Ultimate Beneficiaries")or provide any guarantee security or the like on behalf of the Ultimate Beneficiaries(Refer Note 49 to the financial statements);
(b) The management has represented that to the best of its knowledge and belief nofunds have been received by the Company from any person(s) or entity(ies) includingforeign entities ("Funding Parties") with the understanding whether recordedin writing or otherwise that the Company shall whether directly or indirectly lend orinvest in other persons or entities identified in any manner whatsoever by or on behalf ofthe Funding Party ("Ultimate Beneficiaries") or provide any guarantee securityor the like on behalf of the Ultimate Beneficiaries (Refer Note 49 to the financialstatements); and
(c) Based on such audit procedures that we considered reasonable and appropriate in thecircumstances nothing has come to our notice that has caused us to believe that therepresentations under sub-clause (a) and (b) contain any material misstatement.
v. The dividend declared and paid during the year by the Company is in compliance withSection 123 of the Act.
16. The Company has paid/ provided for managerial remuneration in accordance with therequisite approvals mandated by the provisions of Section 197 read with Schedule V to theAct.
ANNEXURE A TO INDEPENDENT AUDITORS' REPORT
Referred to in paragraph 15(f) of the Independent Auditors' Report of even date to themembers of Gabriel India Limited on the financial statements for the year ended March312022
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Report on the Internal Financial Controls with reference to Financial Statementsunder clause (i) of sub-section 3 of Section 143 of the Act
1. We have audited the internal financial controls with reference to financialstatements of Gabriel India Limited ("the Company") as of March 31 2022 inconjunction with our audit of the financial statements of the Company for the year endedon that date.
Management's Responsibility for Internal Financial Controls
2. 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 Reporting("the Guidance Note") issued by the Institute of Chartered Accountants of India("ICAI"). These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business including adherence tocompany's policies the safeguarding of its assets the prevention and detection of fraudsand errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Act.
3. Our responsibility is to express an opinion on the Company's internal financialcontrols with reference to financial statements based on our audit. We conducted our auditin accordance with the Guidance Note and the Standards on Auditing deemed to be prescribedunder Section 143(10) of the Act to the extent applicable to an audit of internalfinancial controls both applicable to an audit of internal financial controls and bothissued by the ICAI. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate internal financial controls with reference to financial statements wasestablished and maintained and if such controls operated effectively in all materialrespects.
4. Our audit involves performing procedures to obtain audit evidence about the adequacyof the internal financial controls system with reference to financial statements and theiroperating effectiveness. Our audit of internal financial controls with reference tofinancial statements included obtaining an understanding of internal financial controlswith reference to financial statements assessing the risk that a material weaknessexists and testing and evaluating the design and operating effectiveness of internalcontrol based on the assessed risk. The procedures selected depend on the auditor'sjudgement including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error.
5. 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 systemwith reference to financial statements.
Meaning of Internal Financial Controls with reference to financial statements
6. A company's internal financial controls with reference to financial statements is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of financial statements for external purposes in accordancewith generally accepted accounting principles. A company's internal financial controlswith reference to financial statements 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 with reference to financialstatements
7. Because of the inherent limitations of internal financial controls with reference tofinancial 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 financial controls withreference to financial statements to future periods are subject to the risk that theinternal financial control controls with reference to financial statements may becomeinadequate because of changes in conditions or that the degree of compliance with thepolicies or procedures may deteriorate.
8. In our opinion the Company has in all material respects an adequate internalfinancial controls system with reference to financial statements and such internalfinancial controls with reference to financial statements were operating effectively as atMarch 312022 based on the internal control over financial reporting criteria establishedby the Company considering the essential components of internal control stated in theGuidance Note issued by ICAI.
ANNEXURE B TO INDEPENDENT AUDITORS' REPORT
Referred to in paragraph 14 of the Independent Auditors' Report of even date to themembers of Gabriel India Limited on the financial statements as of and for the year endedMarch 312022
i. (a) (A) The Company is maintaining proper records showing full particularsincluding quantitative details and situation of Property Plant and Equipment.
(B) The Company is maintaining proper records showing full particulars of IntangibleAssets.
(b) The Property Plant and Equipment are physically verified by the Managementaccording to a phased programme designed to cover all the items over a period of two yearswhich in our opinion is reasonable having regard to the size of the Company and thenature of its assets. Pursuant to the programme a portion of the Property Plant andEquipment has been physically verified by the Management during the year and no materialdiscrepancies have been noticed on such verification.
(c) The title deeds of all the immovable properties as disclosed in Note 2 & 3 tothe financial statements are held in the name of the Company.
(d) The Company has not revalued its Property Plant and Equipment (including Right ofUse assets) or intangible assets or both during the year. Consequently the question ofour commenting on whether the revaluation is based on the valuation by a RegisteredValuer or specifying the amount of change if the change is 10% or more in the aggregateof the net carrying value of each class of Property Plant and Equipment (including Rightof Use assets) or intangible assets does not arise.
(e) Based on the information and explanations furnished to us no proceedings have beeninitiated on or are pending against the Company for holding benami property under theProhibition of Benami Property Transactions Act 1988 (as amended in 2016) (formerly theBenami Transactions (Prohibition) Act 1988 (45 of 1988)) and Rules made thereunder andtherefore the question of our commenting on whether the Company has appropriatelydisclosed the details in its financial statements does not arise.
ii. (a) The physical verification of inventory excluding stocks with third parties hasbeen conducted at reasonable intervals by the Management during the year and in ouropinion the coverage and procedure of such verification by Management is appropriate. Inrespect of inventory lying with third parties these have substantially been confirmed bythem. The discrepancies noticed on physical verification of inventory and theconfirmations obtained as compared to book records were not 10% or more in aggregate foreach class of inventory and have been appropriately dealt with in the books of account.
(b) During the year the Company has not been sanctioned working capital limits inexcess of ' 5 Cr. in aggregate from banks and financial institutions on the basis ofsecurity of current assets and accordingly the question of our commenting on whether thequarterly returns or statements are in agreement with the unaudited books of account ofthe Company does not arise.
iii. The Company has not made any investments granted secured/ unsecuredloans/advances in nature of loans or stood guarantee or provided security to anyparties. Therefore the reporting under clause 3(iii) (iii)(a) (iii) (b) (iii)(c)(iii)(d) (iii)(e) and (iii)(f) of the Order are not applicable to the Company.
iv. The Company has not granted any loans or made any investments or provided anyguarantees or security to the parties covered under Sections 185 and 186. Therefore thereporting under clause 3(iv) of the Order are not applicable to the Company.
v. In our opinion and according to the information and explanations given to us theCompany has complied with the directives issued by the Reserve Bank of India and theprovisions of Sections 73 74 75 and 76 or any other relevant provisions of the Act andthe Rules framed thereunder to the extent notified with regard to the deposits acceptedby the Company or amounts which are deemed to be deposits. According to the informationand explanations given to us no order has been passed by the Company Law Board orNational Company Law Tribunal or Reserve Bank of India or any Court or any other Tribunalon the Company in respect of the aforesaid deposits and therefore the question of ourcommenting on whether the same has been complied with or not does not arise.
vi. Pursuant to the rules made by the Central Government of India the Company isrequired to maintain cost records as specified under Section 148(1) of the Act in respectof its products. We have broadly reviewed the same and are of the opinion that primafacie the prescribed accounts and records have been made and maintained. We have nothowever made a detailed examination of the records with a view to determine whether theyare accurate or complete.
vii. (a) According to the information and explanations given to us and the records ofthe Company examined by us in our opinion the Company is generally regular in depositingundisputed statutory dues in respect of provident fund income-tax though there hasbeen a slight delay in a few cases and is regular in depositing undisputed statutorydues including employees' state insurance sales tax service tax duty of customs dutyof excise value added tax cess goods and services tax and other material statutorydues as applicable with the appropriate authorities. Also refer note 41 to thefinancial statements regarding management's assessment on certain matters relating toprovident fund.
(b) According to the information and explanations given to us and the records of theCompany examined by us the particulars of statutory dues referred to in sub-clause (a) asat March 312022 which have not been deposited on account of a dispute are as follows:
|Name of the statute ||Nature of dues ||Amount (Rs in million) ||Period to which the amount relates ||Forum where the dispute is pending ||Remarks if any |
|Income-tax Act 1961 ||Income Tax ||12.26 ||FY 2000-01 and FY 2001-02 ||High Court || |
| ||Income Tax ||0.14 ||FY 2013-2014 ||Tribunal || |
| ||Income Tax ||54.13 ||FY 2016-2017 FY 2017-18 and FY 2018-2019 ||Commissioner (Appeals) || |
|Central Excise Act 1944 ||Excise Duty ||96.46 ||FY 2014-15 to 2017-18 FY 2003-07 FY 2011-12 & 2012-13 FY July 2015 to Sep-2017 ||Tribunal || |
| ||Excise Duty ||1.35 ||FY 2011-12 to 2013-14 ||Commissioner || |
|Finance Act 1994 ||Service Tax ||3.00 ||FY 2009-10 to 2017-18 ||Commissioner || |
|The Himachal Pradesh Tax on Entry of Goods into Local Area Act 2010 ||Entry tax ||14.53 ||FY 2011-12 to 2017-18 ||High Court || |
|Goods and Services Tax Act 2017 ||GST ||4.12 ||July 2017- November 2017 ||Deputy Commissioner || |
|Value added Tax Laws The Central Sales Tax Act 1956 ||VAT & CST ||2.43 ||FY 2004-05 & FY 2006-07 ||Commercial Tax Tribunal || |
| ||VAT & CST ||0.60 ||FY 2002-03 FY 2005-06 FY 2008-09 ||Additional Commissioner || |
| ||VAT & CST ||141.74 ||FY 2008-09 FY 2011-12 FY 2013-14 FY 2014-15 FY 2016-17 FY 2017-18 ||Joint Commissioner || |
| ||VAT & CST ||2.87 ||FY 2015-16 ||Assistant commissioner || |
viii. According to the information and explanations given to us and the records of theCompany examined by us there are no transactions in the books of account that has beensurrendered or disclosed as income during the year in the tax assessments under the IncomeTax Act 1961 that has not been recorded in the books of account.
ix. (a) As the Company did not have any loans or other borrowings from any lenderduring the year the reporting under clause 3(ix)(a) of the Order is not applicable to theCompany.
(b) According to the information and explanations given to us and on the basis of ouraudit procedures we report that the Company has not been declared Wilful Defaulter by anybank or financial institution or government or any government authority.
(c) According to the records of the Company examined by us and the information andexplanations given to us the Company has not obtained any term loans.
(d) According to the information and explanations given to us and the proceduresperformed by us and on an overall examination of the financial statements of the Companythe Company has not raised funds on short term basis.
(e) According to the information and explanations given to us and procedures performedby us we report that the Company did not have any subsidiaries joint ventures orassociate companies during the year.
(f) According to the information and explanations given to us and procedures performedby us we report that the Company did not have any subsidiaries joint ventures orassociate companies during the year.
x. (a) The Company has not raised any money by way of initial public offer or furtherpublic offer (including debt instruments) during the year. Accordingly the reportingunder clause 3(x)(a) of the Order is not applicable to the Company.
(b) The Company has not made any preferential allotment or private placement of sharesor fully or partially or optionally convertible debentures during the year. Accordinglythe reporting under clause 3(x)(b) of the Order is not applicable to the Company.
xi. (a) 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 material fraud by the Company or on the Company noticed or reported duringthe year nor have we been informed of any such case by the Management.
(b) 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 a report under Section 143(12)of the Act in Form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors)Rules 2014 was not required to be filed with the Central Government. Accordingly thereporting under clause 3(xi)(b) of the Order is not applicable to the Company.
(c) 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 and as represented to us by themanagement no whistleblower complaints have been received during the year by the Company.Accordingly the reporting under clause 3(xi)(c) of the Order is not applicable to theCompany.
xii. As the Company is not a Nidhi Company and the Nidhi Rules 2014 are not applicableto it the reporting under clause 3(xii) of the Order is not applicable to the Company.
xiii. The Company has entered into transactions with related parties in compliance withthe provisions of Sections 177 and 188 of the Act. The details of such related partytransactions have been disclosed in the financial statements as required under IndianAccounting Standard 24 "Related Party Disclosures" specified under Section 133of the Act.
xiv. (a) The internal audit of the Company is covered under the group internal auditpursuant to which an internal audit is carried out every year. In our opinion theCompany's internal audit system commensurate with the size and nature of its business.
(b) The reports of the Internal Auditor for the period under audit have been consideredby us.
xv. The Company has not entered into any non-cash transactions with its directors orpersons connected with him. Accordingly the reporting on compliance with the provisionsof Section 192 of the Act under clause 3(xv) of the Order is not applicable to theCompany.
xvi. (a) The Company is not required to be registered under Section 45-IA of theReserve Bank of India Act 1934. Accordingly the reporting under clause 3(xvi)(a) of theOrder is not applicable to the Company.
(b) The Company has not conducted non-banking financial / housing finance activitiesduring the year. Accordingly the reporting under clause 3(xvi) (b) of the Order is notapplicable to the Company.
(c) The Company is not a Core Investment Company (CIC) as defined in the regulationsmade by the Reserve Bank of India. Accordingly the reporting under clause 3(xvi)(c) ofthe Order is not applicable to the Company.
(d) Based on the information and explanations provided by the management of theCompany the Group does not have more than one CIC as part of the Group. We have nothowever separately evaluated whether the information provided by the management isaccurate and complete.
xvii. The Company has not incurred any cash losses in the financial year or in theimmediately preceding financial year
xviii. There has been no resignation of the statutory auditors during the year andaccordingly the reporting under clause xviii is not applicable.
xix. According to the information and explanations given to us and on the basis of thefinancial ratios (Also refer Note 49 to the financial statements) ageing and expecteddates of realisation of financial assets and payment of financial liabilities otherinformation accompanying the financial statements our knowledge of the Board of Directorsand management plans and based on our examination of the evidence supporting theassumptions nothing has come to our attention which causes us to believe that anymaterial uncertainty exists as on the date of the audit report that Company is not capableof meeting its liabilities existing at the date of balance sheet as and when they fall duewithin a period of one year from the balance sheet date. We however state that this isnot an assurance as to the future viability of the Company. We further state that ourreporting is based on the facts up to the date of the audit report and we neither give anyguarantee nor any assurance that all liabilities falling due within a period of one yearfrom the balance sheet date will get discharged by the Company as and when they fall due.
xx. (a) In respect of other than ongoing projects as at balance sheet date theCompany does not have any amount remaining unspent under Section 135(5) of the Act.
(b) In respect of other than ongoing projects as at balance sheet date the Companydoes not have any amount remaining unspent under Section 135(5) of the Act. Also referNote 47 to the financial statements
xxi. The reporting under clause 3(xxi) of the Order is not applicable in respect ofaudit of Standalone Financial Statements. Accordingly no comment in respect of the saidclause has been included in this report.
|For Price Waterhouse Chartered Accountants LLP |
|Firm Registration Number: 012754N/N500016 |
|Neeraj Sharma Partner Membership No. 108391 |
|UDIN: 22108391AJMKRF2283 |
|Place: Pune |
|Date: May 24 2022 |