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India Motor Parts & Accessories Ltd.

BSE: 590065 Sector: Auto
NSE: IMPAL ISIN Code: INE547E01014
BSE 00:00 | 08 Dec 771.15 -8.00
(-1.03%)
OPEN

770.05

HIGH

779.80

LOW

763.10

NSE 00:00 | 08 Dec 771.05 1.70
(0.22%)
OPEN

765.10

HIGH

784.00

LOW

764.65

OPEN 770.05
PREVIOUS CLOSE 779.15
VOLUME 2199
52-Week high 919.05
52-Week low 525.05
P/E 16.46
Mkt Cap.(Rs cr) 962
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 770.05
CLOSE 779.15
VOLUME 2199
52-Week high 919.05
52-Week low 525.05
P/E 16.46
Mkt Cap.(Rs cr) 962
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

India Motor Parts & Accessories Ltd. (IMPAL) - Auditors Report

Company auditors report

TO THE MEMBERS OF INDIA MOTOR PARTS AND ACCESSORIES LIMITED

Report on the Audit of the Standalone Financial Statements

1. Opinion

We have audited the Ind AS standalone financial statements of India Motor Parts &Accessories Limited ("the Company") which comprise the Balance Sheet as at 31stmarch 2021 and the statement of Profit and Loss (including other Comprehensive Income)statement of changes in Equity and statement of Cash Flows for the year then ended andnotes to the Ind as Financial Statements including a summary of significant accountingpolicies and other explanatory information.

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Ind AS Standalone Financial Statements give the informationrequired by the Companies Act 2013 (the Act) in the manner so required and give a trueand fair view in conformity with the accounting principles generally accepted in India ofthe state of affairs of the Company as at march 312021 and Profit and otherComprehensive Income changes in Equity and its Cash Flows for the year ended on thatdate.

2. Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder section 143(10) of the Companies Act 2013. our responsibilities under thoseStandards are further described in the Auditor's Responsibilities for the Audit of the IndAS Standalone Financial Statements section of our report. We are independent of theCompany in accordance with the Code of Ethics issued by the Institute of CharteredAccountants of India together with the ethical requirements that are relevant to our auditof the financial statements under the provisions of the Companies Act 2013 and the Rulesthereunder and we have fulfilled our other ethical responsibilities in accordance withthese requirements and the Code of Ethics. We believe that the audit evidence we haveobtained is sufficient and appropriate to provide a basis for our opinion.

3. Emphasis of Matter

We draw attention to Note No.38 of the Standalone Financial Statements wherein theCompany has disclosed its Assessment of the Covid-19 pandemic. As mentioned therein theassessment of the management does not indicate any material effect on the carrying valueof its assets and liabilities of the Company on the reporting date or any adverse changein the ability of the Company to continue as a Going Concern. The assessment of theManagement is dependent on the circumstances as they evolve considering the uncertaintiesprevailing in the economic situation.

Our opinion is not modified in respect of this matter.

4. key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the standalone financial statements of the current period.These matters were addressed in the context of our audit of the Ind AS StandaloneFinancial Statements as a whole and in forming our opinion thereon and we do not providea separate opinion on these matters. We have determined that there are no key auditmatters to be communicated in our report.

5. Information Other than the Financial Statements and Auditor's Report Thereon

The Company's Board of Directors is responsible for the preparation of the otherinformation. The other information comprises the information included in the ManagementDiscussion and Analysis Board's Report including Annexures to Board's Report BusinessResponsibility Report Corporate Governance Report and Shareholder's Information but doesnot include the Ind AS financial statements and our auditor's report thereon.

Our opinion on the Ind AS 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 Ind AS Standalone Financial Statements ourresponsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the Ind AS Financial Statements 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 a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.

6. Responsibility of Management for Standalone 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 Standalone Financial Statements that give a true and fair view of thefinancial position financial performance including other comprehensive income changes inequity and cash flows of the Company in accordance with the accounting principlesgenerally accepted in India including the Indian Accounting Standards specified undersection 133 of the Act. This responsibility also includes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding of theassets of the Company and for preventing and detecting frauds and other irregularities;selection and application of appropriate accounting policies; making judgments andestimates that are reasonable and prudent; and design implementation and maintenance ofadequate internal financial controls that were operating effectively for ensuring theaccuracy and completeness of the accounting records relevant to the preparation andpresentation of the financial statement that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

In preparing the Ind AS Standalone Financial Statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablematters related to going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the Company or to cease operations or has norealistic alternative but to do so.

Those Board of Directors are also responsible for overseeing the company's financialreporting process.

7. Auditor's Responsibilities for the Audit of the Standalone Financial Statements

Our objectives are to obtain reasonable assurance about whether the Ind AS StandaloneFinancial Statements as a whole are free from material misstatement whether 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 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 influence the economic decisions of userstaken on the basis of these Ind AS Standalone Financial Statements.

As part of an audit in accordance with Standards on Auditing we exercise professionaljudgment and maintain professional skepticism throughout the audit. We also:

a) Identify and assess the risks of material misstatement of the Ind AS StandaloneFinancial 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 misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.

b) Obtain an understanding of internal control relevant to the audit in order to designaudit procedures that are appropriate in the circumstances. Under section 143(3)(i) of theCompanies Act 2013 we are also responsible for expressing our opinion on whether thecompany has adequate internal financial controls system in place and the operatingeffectiveness of such controls.

c) Evaluate the appropriateness of accounting policies used and the reasonableness ofaccounting estimates and related disclosures made by management.

d) Conclude on the appropriateness of management's use of the going concern basis ofaccounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditor'sreport. However future events or conditions may cause the Company to cease to continue asa going concern.

e) Evaluate the overall presentation structure and content of the standalone financialstatements including the disclosures and whether the standalone financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the standalone financial statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditor's report unless law or regulation precludes public disclosure about thematter or 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.

8. Report on Other Legal and Regulatory Requirements

i) 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 Companies Act 2013 we give in the "Annexure A" to this report a statementon the matters specified in paragraphs 3 and 4 of the Order to the extent applicable.

ii) 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 the statement of OtherComprehensive Income Statement of Changes in Equity and the Cash Flow Statement dealtwith by this Report are in agreement with the books of account.

d) In our opinion the aforesaid standalone financial statements comply with theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014.

e) On the basis of the written representations received from the directors as on 31stMarch 2021 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2021 from being appointed as a director in terms of Section164 (2) of the Act.

f) With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate Report in "Annexure B" to this report.

g) With respect to the other matters to be included in the auditor's report inaccordance with the requirements of section 197(16) of the Act as amended:

In our opinion and to the best of our information and according to the explanationsgiven to us the remuneration paid by the Company to its directors during the year is inaccordance with the provisions of section 197 of the Act read with schedule V to the Act.

h) 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 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 financialposition in its financial statements - Refer Note 30.5(a)to the financial statements.

(ii) The Company did not have any long-term contracts including derivative contractsfor which there were any material foreseeable losses

(iii) There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company.

For Brahmayya & Co.
Chartered Accountants
Firm Regn No. 000511S
L. Ravi Sankar
Place: Chennai. Partner
Date: 18th June 2021 Membership No. 025929
UDIN: 21025929AAAABS7210

ANNEXURE - A TO THE AUDITORS' REPORT

Referred to in Paragraph 8 of Our Report of Even Date

(i) (a) The Company is maintaining proper records showing full particulars includingquantitative details and

situation of fixed assets.

(b) Fixed assets have been physically verified by the Management during the year inaccordance with an annual plan of verification which in our opinion is reasonable havingregard to the size of the Company and the nature of the fixed assets. The discrepanciesnoticed on such verification were not material and have been properly dealt with in thebooks of account.

(c) The Title deeds of immovable properties owned by the company are held in the nameof the Company.

(ii) The inventories have been physically verified by the management at reasonableintervals during the year. In our opinion the frequency of such verification isreasonable. The discrepancies noticed on verification between the physical stocks and thebook records which were not material have been properly dealt with in the books ofaccount.

(iii) According to the information and explanations given to us the Company has notgranted any loans secured or unsecured to companies firms Limited LiabilityPartnerships or other parties covered in the register maintained under Section 189 of theCompanies act 2013. accordingly reporting under clauses 3 (iii) (a) (b) and (c) of theorder does not arise.

(iv) In our opinion and according to the information and explanations given to us theCompany has not advanced any loan given any guarantee or provided any security to theparties covered under Section 185 and the Company has not given any loan or made anyinvestment covered under section 186 of the Companies act 2013. accordingly reportingunder clause 3 (iv) of the order does not arise.

(v) according to the information and explanations given to us the Company has notaccepted any deposits within the meaning of sections 73 to 76 of the act and the companies(acceptance of Deposits) Rules 2014. accordingly reporting under clause 3 (v) of theorder does not arise.

(vi) The Central Government has not prescribed the maintenance of cost records undersection 148(1) of the Act

(vii) (a) The Company is regular in depositing undisputed statutory dues includingprovident fund employees' state insurance income tax duty of customs Goods and Servicetax and other statutory dues applicable to it during the year with appropriateauthorities. according to the information and explanations given to us there were noundisputed amounts payable in respect of provident fund employees' state insuranceincome-tax duty of customs Goods and Service tax and other statutory dues outstanding asat 31 march 2021 for a period of more than six months from the date they became payable.

(b) In our opinion and according to the information and explanations given to us thereare no dues of income tax duty of customs duty of excise and Goods and Service tax whichhave not been deposited on account of any dispute. The dues in respect of Service tax andSales tax which have not been deposited on account of dispute are as follows:

Nature of Dues amount (Rs.) in Lakhs Period to which the amount relates Forum where the dispute is pending
Value added Tax 6.72 assessment Years 2009-10 and 2011-12 Deputy Commissioner /appellate Tribunal

(viii) The Company does not have any loans or borrowings from banks financialinstitutions government or by issue of debentures.

(ix) According to the information and explanations given to us the Company has neitherraised any money by way of initial public offer or further public offer (including debtinstruments) nor has availed any term loans during the year. accordingly reporting underclause 3(ix) of the order does not arise.

(x) To the best of our knowledge and belief and according to the information andexplanations given to us no fraud by the Company or on the Company by its officers oremployees were noticed or reported during the course of our audit.

(xi) according to the information and explanations given to us and based on ourexamination of the records of the Company 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. accordingly reporting under clause 3(xii) of the orderdoes not arise.

(xiii) according to the information and explanations given to us and based on ourexamination of the records of the Company all transactions with the related parties arein compliance with sections 177 and 188 of the act where applicable and details of suchtransactions have been disclosed in the Ind aS financial statements as required by theapplicable accounting standards.

(xiv) according to the information and explanations give 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.

(xv) according to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into non-cashtransactions with directors or persons connected with them.

(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.

For Brahmayya & Co.
Chartered Accountants
Firm regn No. 000511S
L. Ravi Sankar
Place: Chennai. Partner
Date: 18th June 2021 Membership No. 025929
UDIN: 21025929AAAABS7210

ANNEXURE - B TO THE AUDITORS' REPORT:

Referred to in Paragraph 8 of Our Report of Even Date

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of India MotorParts & Accessories Limited ("the Company") as of 31 march 2021 inconjunction with our audit of the Ind as financial statements of the Company for the yearended on that date.

Management's Responsibility for Internal Financial Controls

The Company's management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls over Financial Reporting("the Guidance Note") issued by the Institute of Chartered Accountants of India(‘ICAI'). These responsibilities include the design implementation and maintenanceof adequate internal financial controls that were operating effectively for ensuring theorderly and efficient conduct of its business including adherence to company's policiesthe safeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Companies Act 2013 ("theAct").

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 deemedto be prescribed under section 143(10) of the Companies Act 2013 to the extentapplicable to an audit of internal financial controls both applicable to an audit ofInternal Financial Controls and both issued by the Institute of Chartered Accountants ofIndia. Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetheradequate internal financial controls over financial reporting was established andmaintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgment including the assessment of the risks ofmaterial misstatement of the Ind AS financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for

our audit opinion on the Company's internal financial controls system over financialreporting.

Meaning of Internal Financial Controls Over Financial Reporting

A company's internal financial control over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of financial statements for external purposes in accordance with generallyaccepted accounting principles. A company's internal financial control over financialreporting includes those policies and procedures that (1) pertain to the maintenance 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 authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised 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 31 March 2021 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 Brahmayya & Co.
Chartered Accountants
Firm Regn No. 000511S
L. Ravi Sankar
Place: Chennai. Partner
Date: 18th June 2021 Membership No. 025929
UDIN: 21025929AAAA

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