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Kesar Petroproducts Ltd.

BSE: 524174 Sector: Industrials
NSE: N.A. ISIN Code: INE133C01033
BSE 00:00 | 20 Feb 4.79 -0.02
(-0.42%)
OPEN

4.98

HIGH

4.98

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4.62

NSE 05:30 | 01 Jan Kesar Petroproducts Ltd
OPEN 4.98
PREVIOUS CLOSE 4.81
VOLUME 17380
52-Week high 11.65
52-Week low 4.40
P/E
Mkt Cap.(Rs cr) 46
Buy Price 4.79
Buy Qty 4304.00
Sell Price 4.81
Sell Qty 100.00
OPEN 4.98
CLOSE 4.81
VOLUME 17380
52-Week high 11.65
52-Week low 4.40
P/E
Mkt Cap.(Rs cr) 46
Buy Price 4.79
Buy Qty 4304.00
Sell Price 4.81
Sell Qty 100.00

Kesar Petroproducts Ltd. (KESARPETROPROD) - Auditors Report

Company auditors report

TO

THE MEMBERS OF

KESAR PETROPRODUCTS LIMITED

Opinion

We have audited the accompanying financial statements of KESAR PETROPRODUCTS LIMITED(‘the Company') which comprise the balance sheet as at 31 March 2019 the statementof profit comprehensive income) the statement of cash flows and the statement of changesin equity for the year then ended and a summary of the significant accounting policies andother explanatory information.

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 the Actin the manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India including the Ind As of the state of affairs(financial position) profit (financial performance includingthecompanyasat31stMarch2019andits other comprehensive income) its cash flow and thechanges in equity for the year ended on that date.

Basis of Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder section 143 (10) of the Companies Act 2013 ("the Act"). Ourresponsibilities under those Standards are further described in the Auditor'sResponsibilities for the Audit of the Financial Statements section of our report. We areindependent of the Company in accordance with the Code of Ethics issued by the Instituteof Chartered Accountants of India together with the ethical requirements that are relevantto our audit of the Financial Statements under the provisions of the Act and Rules thereunder and we have fulfilled our other ethical responsibilities in accordance with theserequirements and the code of Ethics. We believe that the audit evidence we have obtainedis sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

The Company is required to spend amount towards CSR for the financial year 2018-19being the 2% of the average of the net profits for the previous three years as statedabove. Further that the Company is carrying the unspent amount of Rs. 33.54 Lakhs for theyear 2016-17 and 2017-18. However the company has expended Rs. 00.00 Lakhs towards theCSR activities from it. Thus the Company is now required to spend total amount of Rs.33.54 Lakhs.

Our opinion is not modified in respect of this matter.

Key Audit Matters

Key audit matters are those matters that in our professional judgement were 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.

Other Information

The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the Director Report and CorporateGovernance Report 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 donot express any form of 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.

When we read the other information if 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.

Management's Responsibility for the 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 financial statements that give a true and fair view of the financial positionfinancial performance including other comprehensive income cash flows and changes inequity of the Company in accordance with the Indian Accounting Standards (Ind AS)prescribed under section 133 of the Act read with the Companies (Indian AccountingStandards) Rules 2015 as amended and other accounting principles generally accepted inIndia.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company andfor preventing 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 financialstatements that give a true and fair view and are free from material misstatement whetherdue to fraud or error.

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.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objective are to obtain reasonable assurance about whether the Financial Statementsas a whole are free from material misstatement whether due to fraud or error and toissue an auditor's report that includes our opinion. Reasonable assurance is a high levelof assurance but is not a guarantee that an audit conducted in accordance with SAs willalways detect a material misstatement when it exists. Misstatements can arise from fraudor error and are considered material if individually or in the aggregate they couldreasonably be expected to influence the economic decisions of users taken on the basis ofthese Financial Statements.

A further description of our responsibilities for the audit of the Financial Statementsis included in Appendix -1 of this auditor's report.

Report on Other Legal and Regulatory Requirements

1. 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 Statement of Changes in Equity and the Statement of Cash Flow dealt with by thisReport are in agreement with the books of account.;

(d) in our opinion the aforesaid financial statements comply with the IndianAccounting Standards prescribed under section 133 of the Act.

(e) on the basis of the written representations received from the directors as on 31March 2018 taken on record by the Board of Directors none of the directors isdisqualified as on 31 March 2018 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 and the operatingeffectiveness of such controls refer to our separate Report in "Annexure A".Our report expresses an unmodifiedopinion on the adequacy and operating effectiveness ofthe Company's internal financial controls over financial reporting; 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 as amended inour opinion and to the best of our information and according to the explanations given tous :

i. The company has no pending litigation which would impact its financial positionexcept those disclosed in financial statements;

ii. The company did not have any long-term contract including derivative contract forwhich there were any material foreseeable losses;

iii. There were no amounts which were required by the company to be transferred to theInvestor Education and Protection Fund and;

2. As required by Section 143(3) of the Act based on our audit we report that:

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

For A Sachdev & Co.
Chartered Accountants
(Firm‘s Registration No. 001307C)
CA Manish Agarwal
(Partner)
(M.no. 078628)
Place: Mumbai
Date : 30th May 2019

Appendix-1

(Referred to in ‘Auditor's Responsibilities for the Audit of the FinancialStatements ‘ paragraph of the independent Auditor's Report)

As part of an audit in accordance with SAs we exercise professional judgement andmaintain professional scepticism throughout the audit. We also:

Identify and assess the risks of material misstatement of the Financial Statementswhether due to fraud or error design and perform audit procedure responsive to thoserisks and obtain audit evidence that is sufficient and appropriate to provide a basis forour opinion. The risk of not detecting a material misstatement resulting from fraud ishigher than for one resulting from error as fraud may involve collusion forgeryintentional omissions misrepresentations or the override of internal control.

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) ofthe Act we are also responsible for expressing our opinion on whether the Company hasadequate Internal Financial Controls with reference to Financial Statements in place andthe operating effectiveness of such controls.

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

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 uncertainty exists we are required to draw attention in our auditor'sreport to the related disclosures in the Financial Statements or if such disclosures areinadequate to modify our opinion. Our conclusion are based on the audit evidence obtainedup to the date of our auditor's report. However future events or conditions may cause theCompany to cease to continue as a going concern.

Evaluate the overall presentation structure and content of the Financial Statementsincluding the disclosures and whether the Financial Statements represent the underlyingtransactions and events in a manner that achieves fair presentation.

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

We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and where applicable relatedsafeguards.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the Financial Statements of thecurrent period and are therefore the key audit matters. We describe these matters in ourauditor's report unless law or regulation precludes public disclosure about the matter orwhen 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.

For A Sachdev & Co
Chartered Accountants
FRN: 001307C
CA Manish Agarwal
Partner
M.No. 078628
Place: Mumbai
Date: 30th May 2019

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 1(f) under ‘Report on Other Legal and RegulatoryRequirements' section of our report to the Members of KESAR PETROPRODUCTS LIMITEDof even date) Report on the Internal Financial Controls under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of KESARPETROPRODUCTS LIMITED ("the Company") as of March 31 2019 in conjunction withour audit of the financial statements of the Company for the year ended on that date.

Management's Responsibility for Internal Financial Controls

The Company's management is responsible for establishing and maintaining internalfinancial internal control over financial reporting criteria established by the Companyconsidering the of internal control stated in the Guidance Note on Audit of InternalFinancial Controls over Financial Reporting issued by the Institute of CharteredAccountants of India. 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 Companies Act 2013.

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 financialcontrols 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 financial statements whether due to fraud or error. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for my /our audit opinion on the Company's internal financial controls system overfinancial reporting.

Meaning of Internal Financial Controls over Financial Reporting

A company's internal financial control over financial reporting is a process designedto provide assurance regarding the reliability of financial reporting and the preparationof financial statements for external purposes in accordance with generally acceptedaccounting principles. A company's internal financial control over financial reportingincludes those policies and procedures that (1) pertain to the maintenance of recordsthat in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the (2) provide reasonable assurance that transactions arerecorded as necessary to permit preparation of financial statements in accordance withgenerally accepted accounting principles and that receipts and expenditures of thecompany are being made only in accordance with authorisations of management and directorsof the company; and (3) provide reasonable assurance regarding prevention or timelydetection of unauthorised acquisition use or disposition of the company's assets thatcould 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 internalfinancialcontrols system over financial reporting and such internal financial at March 312019 based on the internal control over financial reporting criteria established by theCompany considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial

Controls Over Financial Reporting issued by the Institute of Chartered Accountants ofIndia.

For A Sachdev & Co
Chartered Accountants
(Firm‘s Registration No. 001307C)
CA Manish Agarwal
(Partner)
(M.no. 0078628)
Place: Mumbai
Date: 30th May 2019

Annexure ‘B' to the Independent Auditor's Report of KESAR PETROPRODUCTS LIMITEDfor the Year ended as on 31st March 2019

Annexure referred to in paragraph 2 under the heading "Report on Other Legal andRegulatory Requirements" of our report on even date:-

i. a) The company is maintaining proper records showing full particulars includingquantitative details and situation of fixed assets;

b) According to the information and explanations given to us the Fixed Assets havebeen physically verified by the management at regular intervals and no materialdiscrepancies were noticed on such verification

c) The title deeds of immoveable properties are held in the name of the company.

ii. The inventories have been physically verified by the management during the year atreasonable interval. According to information & explanations given to us thediscrepancies noticed on verification between the physical stock and books record havebeen properly dealt with in the Books of accounts.

iii. According to information & explanations given to us the Company has notgranted any loans secured or unsecured to companies firms limited liabilitiespartnership or other parties covered in the register maintained under section 189 of theCompanies Act 2013. Hence reporting under clause (a) to (c) of Para 3(iii) are notapplicable.

iv. The Company has not entered into any transaction in respect of loans investmentsguarantee and securities which attracts compliance to the provisions of the sections 185and 186 of the Companies Act 2013. Therefore the paragraph 3(iv) of the Order is notapplicable to the company.

v. In our opinion and according to information and explanations given to us theCompany has not accepted deposits in terms of the provisions of section 73 to 76 of theCompanies Act 2013 and rules framed there under. Therefore the paragraph 3(v) of theOrder is not applicable to the company.

vi. We have reviewed the books of account maintained by the Company pursuant to therules prescribed by the Central Government for maintenance of cost records u/s 148(1) ofthe Companies Act 2013 in relation to products manufactured and are of the opinion thatprima facie the prescribed accounts and records have been made and maintained. We havenot however made a detailed examination of the records.

vii. a) According to the information and explanations given to us and on the basis ofour examination of the books of accounts the company has been generally regular indepositing undisputed statutory dues including provident fund employee stateinsurance income tax service tax value added tax cess and other statutory duesduring the year with the appropriate authorities. As on 31st March 2019 there are no undisputedstatutory dues payables for period exceeding more than six month from the date they becomepayable.

b) According to the information and explanations given to us there were no statutorydues pending in respect of income tax sales tax VAT custom duty and cess etc. onaccount of any dispute.

viii. During the year the company has not defaulted in repayment of loans or borrowingsto the banks. The company has not taken any loan or borrowings from any financialinstitution or Government. The company has not issued debentures.

ix. Money raised by way of term loan were applied for the purpose for which it wasraised. The Company has not raised money by way of initial public offer or further publicoffer.

x. According to the information and explanation given to us by the management whichhave been relied by us there were no frauds on or by the company noticed or reportedduring the period under audit xi. In our opinion the managerial remuneration paid orprovided by the company is in accordance with the provision of section 197 read withSchedule V of the Companies Act 2013.

xii. The company is not a Nidhi Company therefore para 3(xii) of the Order is notapplicable. xiii. In our opinion and according to the information provided to use thetransaction entered with the related partied are in compliance with section 177 and 188 ofthe Act and are disclosed in the financial statements as required by the applicableaccounting standards.

xiv. In our opinion and according to the information provided to us the company hadnot made any preferential allotment or private placement of shares or fully or partlyconvertible debentures during the year.

xv. According to the information provided to us the company has not entered into anynon-cash transaction with directors or the persons connected with him covered undersection 192 of the Companies Act 2013. Therefore paragraph 3(xv) of the Order is notapplicable to the company.

xvi. According to the information provided to us the company is not required to beregistered under section 45IA of the Reserve Bank of India Act 1934. Therefore paragraph3(xvi) of the Order is not applicable to the company.

For A Sachdev & Co
Chartered Accountants
(Firm‘s Registration No. 001307C)
CA Manish Agarwal
(Partner)
(M.no. 0078628)
Place: Mumbai
Date: 30th May 2019