Harish Textile Engineers Ltd.
|BSE: 542682||Sector: Engineering|
|NSE: N.A.||ISIN Code: INE01K301012|
|BSE 00:00 | 13 Apr||34.10||
|NSE 05:30 | 01 Jan||Harish Textile Engineers Ltd|
Harish Textile Engineers Ltd. (HARISHTEXTILE) - Auditors Report
Company auditors report
To the Members of Harish Textile Engineers Limited.
W e have audited the accompanying financial Statements of HarishTextile Engineers Limited ("the Company") which comprises the Balance Sheet asat 31st March 2019 the Statement of Profit and Loss (including Other ComprehensiveIncome) the Statement of Changes in Equity and the statement of Cash Flows for the yearthen ended and notes to the financial statements including a summary of significantaccounting policies and other explanatory information.
In our opinion and to the best of our inform ation and according to theexplanations given to us except for the effect of the matters described in the Basis forQualified Opinion section of our report the aforesaid financial Statements give theinform ation required by the Companies Act 2013 (the "Act") in the manner sorequired and give a true and fair view in conform ity with the Indian Accounting Standardsprescribed under section 133 of the Act read with the Companies (Indian AccountingStandards) Rules 2015 as amended ("Ind AS") and other accounting principlesgenerally accepted in India of the state of affairs of the Company as at 31st March2019 the profit and total com prehensive income the changes in equity and its cash flowsfor the year ended on that date.
Basis for Qualified Opinion
The Company has not provided for gratuity liability of employees asrequired by Ind AS 19 on "Employee Benefits" (Refer Note No. 28.1). The im pactof the same could not be quantified in the absence of actuarial valuation/m anagem entestimate. Our audit opinion on the financial statem ents for the year ended 31 March 2019is qualified in respect of the said matter.
W e conducted our audit of the Financial Statements in accordance withthe Standards on Auditing (SAs) specified under section 143(10) of the Companies Act2013. Our responsibilities under those Standards are further described in the Auditor'sResponsibilities for the Audit of the Financial Statements section of our report. W e areindependent of the Company in accordance with the Code of Ethics issued by the Instituteof Chartered Accountants of India together with the independence requirem ents that arerelevant to our audit of the financial Statements under the provisions of the Com paniesAct 2013 and the Rules thereunder and we have fulfilled our other ethicalresponsibilities in accordance with these requirem ents and the Code of Ethics. We believethat the audit evidence we have obtained is sufficient and appropriate to provide a basisfor our qualified opinion on the Financial Statements.
Report on Key Audit Matters
Key audit matters are those matters that in our professional judgmentwere of most significance in our audit of the financial statements of the current period.W e have determ ined that there are
no key audit matters to com m unicate in our report.
Information Other than the Financial Statements and Auditor's ReportThereon
The Company's Board of Directors is responsible for preparation of theother information. The other inform ation comprises the inform ation included in Board'sReport including Annexure to Board's Report Corporate Governance and Shareholder'sInformation but does not include the financial statements and our auditor's reportthereon.
Our opinion on the Financial Statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the Financial statements ourresponsibility is to read the other inform ation and in doing so consider whether theother inform ation is materially inconsistent with the financial statem ents or ourknowledge obtained in the audit or otherwise appears to be materially misstated.
If based on the work we have performed we conclude that there is amaterial m isstatem ent of this other information we are required to report that fact. We have nothing to report in this regard.
Responsibilities of Management and those charged with governance forthe financial Statements
The Company's Board of Directors is responsible for the matters statedin section 134(5) of the Companies Act 2013 ("the Act") with respect to thepreparation of these financial Statements that give a true and fair view of the financialposition financial performance including total comprehensive income changes in equityand cash flows of the Company in accordance with the Ind AS and other accountingprinciples generally accepted in India including Accounting Standards (Ind AS) specifiedunder section 133 of the Act. This responsibility also includes m aintenance 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 im plem entation and m aintenanceof adequate internal financial controls that were operating effectively for ensuring theaccuracy and completeness of the accounting records relevant to the preparation andpresentation of the Ind AS financial statem ent that give a true and fair view and arefree from material misstatement w hether due to fraud or error.
In preparing the Ind AS financial statements management is responsiblefor assessing the Company's ability to continue as a going concern disclosing asapplicable matters related to going concern and using the going concern basis ofaccounting unless management either intends to liquidate the Company or to ceaseoperations or has no realistic alternative but to do so.
The Board of Directors are also responsible for overseeing the company's financial reporting process.
Auditor's Responsibilities for the Audit of financial statement
Our objectives are to obtain reasonable assurance about w hether thefinancial Statements as a whole are free from material misstatement w hether due to fraudor error and to issue an auditor's report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material m isstatem ent when it exists. Misstatem ents canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the econom ic decisions of userstaken on the basis of these financial Statements.
Identify and assess the risks of material m isstatem ent of thefinancial Statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material m isstatem entresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions m isrepresentations or the override ofinternal control.
Obtain an understanding of internal control relevant to theaudit in order to design audit procedures that are appropriate in the circumstances. Undersection 143(3)(i) of the Companies Act 2013 we are also responsible for expressing ouropinion on whether the company has adequate internal financial controls system in placeand the operating effectiveness of such controls.
Evaluate the appropriateness of accounting policies used and thereasonableness of accounting estimates and related disclosures made by management.
Conclude on the appropriateness of m anagement's use of thegoing concern basis of accounting and based on the audit evidence obtained w hether amaterial uncertainty exists related to events or conditions that may cast significantdoubt on the Company's ability to continue as a going concern. If we conclude that amaterial uncertainty exists we are required to draw attention in our auditor's report tothe related disclosures in the financial Statements or if such disclosures areinadequate to modify our opinion. Our conclusions are based on the audit evidenceobtained up to the date of our auditor's report. However future events or conditions maycause the Company to cease to continue as a going concern.
Evaluate the overall presentation structure and content of thefinancial Statements including the disclosures and whether the financial Statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.
We com m unicate with those charged with governance regarding amongother matters the planned scope and tim ing of the audit and significant audit findingsincluding any significant deficiencies in internal control that we identify during ouraudit.
W e also provide those charged with governance with a statem ent thatwe have complied with relevant ethical requirem ents regarding independence and to com municate with them all relationships and other matters that may reasonably be thought tobear on our independence and where applicable related safeguards.
From the matters com m unicated with those charged with governance wedeterm ine those matters that were of most significance in the audit of the financialStatements of the current period and are therefore the key audit matters. We describethese matters in our auditor's report unless law or regulation precludes public disclosureabout the matter or when in extremely rare circumstances we determ ine that a m attershould not be com m unicated in our report because the adverse consequences of doing sowould reasonably be expected to outweigh the public interest benefits of such com munication.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order 2016("the Order") issued by the Central Governm ent of India in terms ofsub-section (11) of section 143 of the Companies Act 2013 we give in the Annexure"A" a statem ent on the matters specified in paragraphs 3 and 4 of the Order tothe extent applicable.
2. As required by Section 143(3) of the Act we report that: a) W ehave sought and obtained all the inform ation and explanations which to the best of ourknowledge and belief were necessary for the purposes of our audit.
b) In our opinion proper books of account as required by law have beenkept by the Company so far as it appears from our examination of those books.
c) The Balance Sheet the Statement of Profit and Loss including OtherComprehensive Income Statement of Changes in Equity and the Cash Flow Statement dealtwith by this Report are in agreem ent with the books of account.
d) In our opinion the aforesaid financial Statements com ply with theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts)
e) On the basis of the written representations received from thedirectors as on 31st March 2019 taken on record by the Board of Directors none of thedirectors is disqualified as on 31st March 2019 from being appointed as a director interm s of Section 164 (2) of the Act.
f) W ith respect to the adequacy of the Internal Financial Control overfinancial reporting of the Company and the operating effectiveness of such controls referto our separate Report in Annexure "B". Our report expresses an unmodifiedopinion on the adequacy and operating effectiveness of the Company's internal financialcontrols over financial reporting.
g) W ith respect to the other matters to be included in the Auditor'sReport in accordance with the requirem ents of the section 197(16) of the Act as amended:In our opinion and to the best of our inform ation and according to the explanation givento us the remuneration paid by the Company to its directors during the year is inaccordance with the provisions of section 197 of the Act.
h) W ith respect to the other matters to be included in the Auditor'sReport in accordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 inour opinion and to the best of our inform ation and according to the explanations given tous:
i. The Com pany has disclosed the impact of pending litigations on itsfinancial position in its financial Statements; ii. The Company has made provision asrequired under the applicable law or Ind AS for material foreseeable losses if any onlong-term contracts including derivative contracts; iii. There has been no delay intransferring amounts required to be transferred to the Investor Education and ProtectionFund by the Company during the year ended March 31 2019.