You are here » Home » Companies » Company Overview » Indo US Bio-Tech Ltd

Indo US Bio-Tech Ltd.

BSE: 541304 Sector: Others
NSE: N.A. ISIN Code: INE250Z01010
BSE 00:00 | 12 Aug 84.00 0
(0.00%)
OPEN

84.00

HIGH

84.00

LOW

84.00

NSE 05:30 | 01 Jan Indo US Bio-Tech Ltd
OPEN 84.00
PREVIOUS CLOSE 84.00
VOLUME 1500
52-Week high 104.80
52-Week low 44.62
P/E 14.71
Mkt Cap.(Rs cr) 77
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 84.00
CLOSE 84.00
VOLUME 1500
52-Week high 104.80
52-Week low 44.62
P/E 14.71
Mkt Cap.(Rs cr) 77
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Indo US Bio-Tech Ltd. (INDOUSBIOTECH) - Auditors Report

Company auditors report

The Members of

Indo US Bio-Tech Limited

Ahmedabad

Opinion

1. We have audited the accompanying standalone financial statements of Indo US Bio-TechLimited (“the Company”) which comprise the Balance Sheet as at 31st March 2022the standalone Statement of Profit and Loss and standalone Statement of Cash Flows for theyear then ended and notes to financial statements including a summary of significantaccounting policies and other explanatory 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 and fairview in conformity with accounting principles generally accepted in India includingaccounting standards specified under section 133 of the Act of the state of affairs ofthe Company as at 31st March 2022 its Profit and its cash flows for the year ended onthat date.

Basis for Opinion

3. We conducted our audit in accordance with 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 standalone FinancialStatements section of our report. We are independent of the Company in accordance with theCode of Ethics issued by the Institute of Chartered Accountants of India (ICAI) togetherwith the ethical requirements that are relevant to our audit of the standalone financialstatements under the provisions of the Act and the rules there under and we havefulfilled our other ethical responsibilities in accordance with these requirements and theICAI's Code of Ethics. We believe that the audit evidence we have obtained is sufficientand appropriate to provide a 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 standalone financial statements of the current year.These matters were addressed in the context of our audit of the standalone financialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these matters. We have determined the matter described below to be thekey audit matter to be communicated in our report.

Key Audit Matters Audit Procedures
Agricultural Activities
The company is engaged in the production and processing of commercial and vegetable seeds at various pieces of lands taken on lease from various growers/farmers spread over throughout India. The company enters into seed production agreements with these farmers / growers. The company is compensating the farmers/growers for various cultivation expenses based upon the rate agreement entered in to. Thus the company is engaged in the growing of various kinds of seeds based on the programs chalked out by the management depending on the area climatic conditions soil conditions water resources education of farmers processing facilities etc. We have performed the following principal audit procedures in relation to Agricultural Activities:-
- Evaluation and understanding of Seed production agreements.
- Verification and evaluation of the documents for existence of formers/growers on sample basis of the seeds.
- Verification and evaluation of documents on sample basis for the existence of leasehold land.
- Evaluation of the control / supervision over the crop.
- Evaluating the appropriateness of the adequate disclosures in accordance with the applicable accounting standards.

Information other than the standalone Financial Statements and Auditor's Report thereon

5. The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the annual report but does not includethe standalone financial statements and our auditor's report thereon.

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

7. In connection with our audit of the standalone financial statements ourresponsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the standalone financial statements orour knowledge obtained in the audit or otherwise appears to be materially misstated. Ifbased on the work we have performed we conclude that there is material misstatement ofthis other information; we are required to report that fact. We have nothing to report inthis regard.

Management's Responsibility for the standalone Financial Statements

8. 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 standalone financial statementsthat give a true and fair view of the financial position financial performance and cashflows of the Company in accordance with the accounting principles generally accepted inIndia including the accounting standards specified under section 133 of the Act. Thisresponsibility also includes maintenance of adequate accounting records in accordance

with the provisions of the Act for safeguarding of the assets of the Company and forpreventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the standalonefinancial statement that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

9. In preparing the 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.

10. The Board of Directors is also responsible for overseeing the Company's financialreporting process.

Auditor's Responsibilities for the Audit of the standalone Financial Statements

11. Our objectives are to obtain reasonable assurance about whether the 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 Standards on Auditing will always detect a material misstatement when it exists.Misstatements can arise from fraud or error and are considered material if individuallyor in the aggregate they could reasonably be expected to influence the economic decisionsof users taken on the basis of these standalone financial statements.

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

a. Identify and assess the risks of material misstatement of the standalone 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.

b. Obtain an understanding of internal financial controls relevant to the audit inorder to design audit procedures that are appropriate in the circumstances. Under section143(3)(i) of the Act we are also responsible for expressing our opinion on whether theCompany and its subsidiary companies which are companies incorporated in India hasadequate internal financial controls system in place and the operating effectiveness ofsuch 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 ability ofthe Company to continue as a going concern. If we conclude that a material uncertaintyexists we are required to draw attention in our auditor's report to the relateddisclosures in the standalone financial statements or if such disclosures are inadequateto modify our opinion. Our conclusions are based on the audit evidence obtained up to thedate of our auditor's report. However future events or conditions may cause the Companyto cease to continue as a going concern.

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

13. 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.

14. 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.

15. From the matters communicated with those charged with governance we determinethose matters that were of most significance in the audit of the standalone 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 determine that a mattershould not be communicated in our report because the adverse consequences of doing sowould reasonably be expected to outweigh the public interest benefits of suchcommunication.

Report on Other Legal and Regulatory Requirements

16. 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 Companies Act 2013 we give in the “Annexure A” a statementon the matters specified in paragraphs 3 and 4 of the Order to the extent applicable. Asrequired by Section 143(3) of the Act we report that:

(a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purposes of our audit.

(b) 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 and the Cash Flow Statementdealt with 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 2022 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2022 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”; and

(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 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 standalone financial statements- Refer Note No. 32 to the standalonefinancial statements.

ii. The Company does not have long term contracts or derivative contracts which requireprovision.

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company.

For Gautam N Associates Chartered Accountants FRN 103117W

Gautam Nandawat
Partner
Membership No 032742
UDIN No: 22032742AJVUPQ3239
Place: Aurangabad
Dated: 30th May 2022

ANNEXURE “A” TO THE INDEPENDENT AUDITORS' REPORT

The Annexure referred to in Independent Auditors' Report to the members of the Indo US

Biotech Limited on the standalone financial statements for the year ended 31st March

2022 we report that:

1. (a) The Company has maintained proper records showing full particulars including

quantitative details and situation of Property Plant and Equipment.

(b) The company has regular program of physical verification of its Property Plant andEquipment by which Property Plant and Equipment are verified in a phased manner over aperiod of three years. In accordance with this program certain Property Plant andEquipment were verified during the year and no material discrepancies were noticed on suchverification. In our opinion this periodicity of physical verification is reasonablehaving regard to the size of the company and nature of its business.

(c) According to the information and explanations given to us and on the basis of ourexamination of the record of the company the title deeds of the immovable properties areheld in the name of the company except the following which is shown as land in the booksof account;

i. Land situated at Plot No 248 Shahjanand Estate behind of Lalji Mulji TransportSarkhej Cross Road Sarkhej Dist Ahmedabad. It was explained that the value of the landshown in the books represents the land levelling and development expenses incurred by thecompany which in our opinion should have been written off.

(d) According to the information and explanations given to us and on the basis of ourexamination of the record of the company the company has not revalued any Property Plant& Equipment (including Right of Use assets) or intangible assets during the year.

(e) According to the information and explanations given to us and on the basis of ourexamination of the record of the company no proceedings have been initiated or arepending against the company for holding any Benami property under the “BenamiTransactions (Prohibition) Act 1988 and Rules made thereunder.

2. (a) The inventory has been physically verified during the year by the management. inthe opinion of the auditor the coverage and procedure of such verification by themanagement is appropriate. There is no discrepancy of 10% or more noticed duringverification between the physical stocks and book records. The discrepancies were notmaterial which have been properly dealt with in the books of account. The yearendinventory has been physically verified by the management and the same is incorporated asper inventory records and books of account maintained by the company.

i.During the year the Company has been sanctioned working capital limits in excess ofRs. 5 crores in aggregate from banks on the basis of security of current assets; themonthly statements filed by the Company with such bank though have insignificantdifference are largely in agreement with the unaudited books of account of the Company ofrespective months and no material discrepancies have been observed as stated in Note no 48of the standalone Financial Statements.

3. As per the information and explanations given to us the Company has not grantedloans including advances in the nature of loan made any investments or provided anyguarantee or security to any party.

4. The company has not granted loans provided any security or guarantee makeinvestments to any party covered under section 185 and 186 of the Act; hence the clause(iv) of the Order is not applicable.

5. The Company has not accepted deposits within the meaning of sections 73 to 76 or anyother relevant provisions of the Act and the rules framed there under.

6. No maintenance of cost records has been specified by the Central Government undersection 148(1) of the Act for the products of the company.

7. (a) The company is regular in depositing undisputed statutory dues including Goodsand Services tax provident fund employees' state insurance income-tax sales-taxservice tax duty of customs duty of excise value added tax cess and any otherstatutory dues to the appropriate authorities.

b) According to the information and explanations given to us details of Income taxSales tax Service tax Customs Duty Excise Duty and Value Added Tax which have not beendeposited as on 31st March 2022 on account of disputes are given below :-

Sr Name of the No Statute Nature of the dues Forum where dispute is pending Period to which the amount relates (AY) Total disputed Dues (Rs. In Lakhs)
1. Income tax Act 1961 IT Demand CIT (Appeal) 2013-14 14.63
2 Income tax Act 1961 IT Demand CIT (Appeal) 2014-15 11.22
3 Income tax Act 1961 IT Demand CIT (Appeal) 2017-18 10.92
4 Income tax Act 1961 IT Demand CIT (Appeal) 2018-19 28.34

8. According to the information and explanations given to us there is no transactionrecorded in the books of account that has been surrendered or disclosed as income

during the year in the tax assessments under the Income Tax Act 1961 hence clause(viii) of Order is not applicable.

9. (a) In our opinion and according to the information and explanations given to usthe Company has not defaulted in payment of dues to financial institutions or banks ordebenture holders.

i. According to the information and explanations given to us the company is notdeclared willful defaulter by any bank or financial institution or other lender.

ii. According to the information and explanations given to us term loans were appliedfor the purpose for which the loans were obtained.

iii. According to the information and explanations given to us no funds raised onshort term basis have been utilized for long term purposes.

iv. The Company has not taken any funds from any entity or person on account of or tomeet the obligations of its subsidiaries associates or joint ventures; hence clause (ix)(e) of the Order is not applicable.

v. The Company has not raised loans during the year on the pledge of securities held inits subsidiaries joint ventures or associate companies; hence clause (ix) (f) of theOrder is not applicable.

10. (a) According to the information and explanations received by us money raised byway of preferential allotment of shares during the year have been applied for the purposesfor which those are raised.

(b) According to the information and explanations received by us section 42 andsection 62 of the Act have been complied with.

11. (a) According to the information and explanations given to us no fraud by thecompany or any fraud on the Company has been noticed or reported during the year.

i. None of report under sub-Section (12) of Section 143 of the Companies Act has beenfiled by the auditors in Form ADT-4 as prescribed under Rule 13 of Companies (Audit andAuditors) Rules 2014 with the Central Government.

ii. We have not considered whistle-blower complaints since there is no compliantreceived during the year by the Company.

12. The company is not a Nidhi Company as such provisions of clause (xii) are notapplicable to the company.

13. All transactions with the related parties are in compliance with section 177 and188 of the Act where applicable and the details have been disclosed in the standalonefinancial statements etc. as required by the applicable accounting standards.

14. (a) In our opinion the internal audit system needs to be strengthened to make itcommensurate with the size and nature of its business.

(b) In framing our Independent Audit Reports we have considered Internal AuditorsReport for the period under audit.

15. According to the information and explanations given to us the company has enteredinto non-cash transactions with an associate company and a person connected with the

directors as regards allotment of equity shares against the credit balance lying withthe company after due approval from the board and shareholders of the Company.

16. (a) According to the information and explanations given to us and in our opinionthe company is not required to be registered under section 45-IA of the Reserve Bank ofIndia Act 1934. Accordingly paragraph 3(xvi) (a) (b) and (c) of the Order are notapplicable.

i.According to the information and explanations given to us the Company is not a CoreInvestment Company (CIC) as defined under the Regulations by the Reserve Bank of Indiahence paragraph 3(xvi) (d) of the Order are not applicable.

17. The Company has not incurred cash losses in the Financial Year and in theimmediately Preceding Financial Year.

18. There is no resignation of the statutory auditors during the year.

19. On the basis of the financial ratios ageing and expected dates of realization offinancial assets and payment of financial liabilities other information accompanying thefinancial statements we are of the opinion that no material uncertainty exists as on thedate of the audit report that company is capable of meeting its liabilities existing atthe date of balance sheet as and when they fall due within a period of one year from thebalance sheet date.

20. The provisions related to Corporate Social Responsibility are not applicable in thepreceding financial year hence clause (xx) of the Order is not applicable.

21. This report being issued on standalone financial statements clause (xxi) of theOrder is not applicable.

For Gautam N Associates Chartered Accountants FRN: 103117W
Gautam Nandawat M No: 32742 UDIN No: 22032742AJVUPQ3239
Place: Aurangabad Dated: 30th May 2022

ANNEXURE “B” TO THE AUDITORS' REPORT

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

1. We have audited the internal financial controls over financial reporting of Indo UsBio-Tech Limited (“the Company”) as of 31st March 2022 in conjunction with ouraudit of the standalone financial statements of the Company for the year ended on thatdate.

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 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 the Company's policies the safeguarding of its assetsthe prevention 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

3. 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”) issued by the ICAI and the Standards on Auditing deemed tobe prescribed under Section 143(10) of the Act to the extent applicable to an audit ofinternal financial controls. Those Standards and the Guidance Note require that we complywith ethical requirements and plan and perform the audit to obtain reasonable assuranceabout whether adequate internal financial controls over financial reporting 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 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 standalone financial statements whether due to fraud orerror.

5. We believe that the audit evidence we have obtained is sufficient and appropriateto provide a basis for our audit opinion on the Company's internal financial controlssystem over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

6. A company's internal financial control over financial reporting is a processdesigned to provide reasonable assurance regarding the reliability of financial reportingand the preparation of standalone financial statements for external purposes in accordancewith generally accepted accounting principles.

7. A company's internal financial control over financial reporting includes thosepolicies 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 standalone financial statements in accordance with generally acceptedaccounting principles and that receipts and expenditures of the company are being madeonly in accordance with authorizations of management and directors of the company; and

(3) provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the company's assets that could have amaterial effect on the standalone financial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

8. 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

9. In our opinion to the best of our information and according to the explanationsgiven to us the Company has in all material respects subject to our comments in CAROreporting above strengthening internal audit system an adequate internal financialcontrols system over financial reporting and such internal financial controls overfinancial reporting were operating effectively as at 31st March 2022 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 ICAI.

For Gautam N Associates Chartered Accountants FRN 103117W

Gautam Nandawat

Indo US Bio-Tech Limited

.