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Ladam Affordable Housing Ltd.

BSE: 540026 Sector: Infrastructure
NSE: N.A. ISIN Code: INE213U01019
BSE 00:00 | 12 Aug 5.09 0.22
(4.52%)
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4.81

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NSE 05:30 | 01 Jan Ladam Affordable Housing Ltd
OPEN 4.81
PREVIOUS CLOSE 4.87
VOLUME 4698
52-Week high 8.69
52-Week low 2.85
P/E
Mkt Cap.(Rs cr) 9
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 4.81
CLOSE 4.87
VOLUME 4698
52-Week high 8.69
52-Week low 2.85
P/E
Mkt Cap.(Rs cr) 9
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Ladam Affordable Housing Ltd. (LADAMAFFORDAB) - Auditors Report

Company auditors report

To the members of ‘’Ladam Affordable Housing Limited’’

Report on the Audit of the Standalone Financial Statements of Ladam Affordable HousingLimited

Opinion

We have audited the accompanying standalone financial statements of LADAM AFFORDABLEHOUSING LIMITED (“the Company”) which comprise the Balance Sheet as at31/03/2022 the Statement of Profit and Loss (including Other Comprehensive Income) thestatement of changes in equity and the statement of cash flows ended on that date and asummary of significant accounting policies and other explanatory information (hereinafterreferred to as the “standalone financial statements”).

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Companies Act 2013 (the “Act”) in the manner so required and give a trueand fair view in conformity with the Indian Accounting Standards prescribed under section133 of the Act read with the Companies (Indian Accounting Standards) Rules 2015 asamended (“Ind AS”) and other accounting principles generally accepted in Indiaof the state of affairs of the Company as at March 31 2021 and profit and Loss and Othertotal comprehensive income changes in equity and its cash flows for the year ended onthat date.

Basis for Opinion

We conducted our auditof the standalone financial statements in accordance with theStandards on Auditing (“SA”s) specified under section 143(10) of the CompaniesAct 2013. Our responsibilities under those Standards are further described in theAuditor’s Responsibilities for the Audit of the Standalone Financial Statementssection of our report. We are independent of the Company in accordance with the Code ofEthics issued by the Institute of Chartered Accountants of India (“ICAI”)together with the ethical requirements that are relevant to our audit of the standalonefinancial 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 ICAI’s Code of Ethics. We believe that the audit evidenceobtained by us is sufficient and appropriate to provide a basis for our audit opinion onthe standalone financial statements.

Key Audit Matter

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 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 matters described below to bethe key audit matters to be communicated in our report.

1. Shareholding of Ladam Steels Ltd. (LSL)

The company LAHL had been showing a holding of 3615600 equity shares of LSL. Duringthe year the Equity Share of the company having the Face value of Rs. 10/- has beensub-divided into 2 (Two) Equity Shares of Face value of Rs. 5/- (Rupees five only) eachfully paid up.

The share holders’ list of LSL was not updated and it had an error. While suchdivision it was discovered that LAHL is actually holding 600 shares less than therecorded. Such error in quantity of shares was rectified. However the monetary impact ofsuch error is Rs. 426. The amount being immaterial is not recorded in the books ofaccounts. Auditor’s Response Principal Audit Procedures adopted by us includeddiscussion with the management and perusal of respective documents. Such error in quantityof shares was rectified. However the monetary impact of such error is Rs. 426. The amountbeing immaterial is not recorded in the books of accounts.

Responsibility of management for the 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 standalone financial statements that give a true and fair view of the financialposition financial performance including other comprehensive income(changes in equity)and cash flows of the Company in accordance with theInd AS and the other accountingprinciples generally accepted in India. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingof the assets of the Company and for preventing and detecting frauds and otherirregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the standalone financial statement that give a true andfair view and are free from material misstatement whether due to fraud or error. Inpreparing the standalone 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. The Board of Directors are responsible for overseeing thecompany’s financial reporting process.

Auditor’s Responsibility

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. Reasonableassurance is a high level of assurance but is not a guarantee that an audit conducted inaccordance with SAs 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. As part of an auditin accordance with SAs we exercise professional judgment and maintain professionalskepticism throughout the audit. We also:

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.Obtain an understanding of internal financial controls 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 Company hasadequate internal financial controls system in place and the operating effectiveness ofsuch controls. Evaluate the appropriateness of accounting policies used and thereasonableness of accounting estimates and related disclosures made by the 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 theCompany’s ability to continue as a going concern. If we conclude that a materialuncertainty exists we are required to draw attention in our auditor’s report to therelated disclosures in the standalone 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 conditionsmay cause the Company to cease to continue as a going concern. Evaluate the overallpresentation structure and content of the standalone financial statements including thedisclosures and whether the standalone financial statements represent the underlyingtransactions and events in a manner that achieves fair presentation.

Materiality is the magnitude of misstatements in the standalone financial statementsthat individually or in aggregate makes it probable that the economic decisions of areasonably knowledgeable user of the financial statements may be influenced. We considerquantitative materiality and qualitative factors in (i) planning the scope of our auditwork and in evaluating the results of our work; and (ii) to evaluate the effect of anyidentified misstatements in the financial statements.

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 aboutthe matter or when in extremely rare circumstances we determine that a matter should notbe communicated in our report because the adverse consequences of doing so wouldreasonably be expected to outweigh the public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

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 statement on the mattersspecified in paragraphs 3 and 4 of the Order to the extent applicable.

As required by Section 143(3) of the Act we report that:

We have sought and obtained all the information and explanations which to the best ofour knowledge and belief were necessary for the purposes of our audit.

a) 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;

b) 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;

c) 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.

d) 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.

e) 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 A”.

f) 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 does not have any pending litigations which would impact its financialposition.

ii) The Company did not have any long-term contracts including derivativecontracts; assuch the question of commenting on any material foreseeable losses thereon does not arise.

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

For D P Sarda & Co
Chartered Accountants
FRN 117227w
Sd/-
Date : 06/05/2022
Place : Nagpur CA Mukund D Sarda
Partner
MRN 149588

Annexure A” to the Independent Auditor’s Report of even date on theStandalone Financial Statements of “Ladam Affordable Housing Limited”

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 LADAMAFFORDABLE HOUSINGLIMITED (“The Company”) as of March 31 2022 in conjunctionwith our audit of the standalone financial statements of the Company for the year ended onthat 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 Reportingissued by the Institute of Chartered Accountants of India. These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to company’s policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired 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 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 auditinvolves performing procedures to obtain audit evidence amount the adequacy of theinternal financial control system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reportingassessing the risk that a material weakness exists and operating effectiveness ofinternal control based on the assessed risk. The procedures selected depend upon on theauditor's judgment including the assessment of the risks of material misstatement of thefinancial 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 controlssystem over financial reporting.

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 and dispositions of the assets of the company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of financialstatements in accordance with generally accepted accounting principles and that receiptsand expenditures of the company are being made only in accordance with authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized 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 March 31 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 issues by the Institute of CharteredAccountants of India.

For D P Sarda & Co
Chartered Accountants
FRN 117227w
Sd/-
Date : 06/05/2022
Place : Nagpur CA Mukund D Sarda
Partner
MRN 149588
UDIN 22149588AINSNJ5658

Reports under The Companies (Auditor's Report) Order 2020 (CARO 2020) for the yearended on 31st March 2022

To

The Members of LADAM AFFORDABLE HOUSING LIMITED

(i) In Respect of tangible and intangible assets

(a) The company has maintained proper records showing full particulars includingquantitative details and situation of Plant Property and Equipment. The company has alsomaintained proper records showing full particulars of intangible assets.

(b) Plant Property Equipment have been physically verified by the management atreasonable intervals; No material discrepancies were noticed on such verification.

(c) According to the information and explanations given to us the records examined byus and based on the examination of the conveyance deeds / registered sale deed provided tous we report that the title deeds comprising all the immovable properties of land andbuildings which are freehold are held in the name of the Company as at the balance sheetdate.

(d) The company has not done revaluation of its property plant and equipment(including the right to use the assets) or intangible assets.

(e) No proceedings have been initiated or are pending against the company for holdingany benami property under the Benami Transactions ( Prohibition ) Act 1988.

(ii) In Respect of Inventories

There is only Work-in-Progress. Physical verification of such WIP have been conductedat reasonable intervals by the management.

(iii) Compliance under section 189 of The Companies Act 2013

According to the information and explanations given to us the Company has grantedunsecured loans to some body corporate (mentioned below) covered in the registermaintained under section 189 of the Companies Act 2013 in respect of which:

(a) In our opinion and according to the information and explanation given to us nointerest is charged on the loans and other terms and conditions for such loans are notprima facie prejudicial to the interest of company.

(b) As informed by the management the loans granted are repayable on demand. Thecompany has not demanded repayment of such loan during the year thus there has been nodefault on the part of the parties to whom the money has been advanced.

(c) There is no overdue amount remaining as at the year-end.

Sr. No. Name of the Party Relationship Outstanding balance in Rs.
1 Lacon India Ltd. Associate Company 190316
2 Ladam Flora Pvt. Ltd. Subsidiary Company 821659
3 Ladam Foods Pvt. Ltd. Subsidiary Company 16731939
4 Ladam Steels Ltd. Associate Company 45579232
5 Ram Kishan Metal Works (Bom) Significant influence in Partnership firm 18562995
6 Spear Head Metal & Alloys Ltd. Associate Company 1557462

(iv) Compliance under section 185 and 186 of The Companies Act 2013

In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Sections 185 and 186 of the Act in respect ofgrant of loans making investments and providing guarantees and securities as applicable.

(v) Compliance under section 73 to 76 of The Companies Act 2013 and Rules framedthereunder while accepting Deposits

The Company has not accepted deposits during the year and does not have any unclaimeddeposits as at March 31 2022 and therefore the provisions of the clause 3 (v) of theOrder are not applicable to the Company.

(vi) Maintenance of cost records

The maintenance of cost records has not been specified by the Central Government undersection 148(1) of the Companies Act 2013 for the business activities carried out by theCompany. Thus reporting under clause 3(vi) of the order is not applicable to the Company.

(vii) Deposit of Statutory Dues

(a) The company is regular in depositing the undisputed statutory dues including Goodsand service tax provident fund employees` state insurance income tax sales tax wealthtax service tax custom duty excise duty cess and other statutory dues applicable tothe Company with the appropriate authorities.

(b) No undisputed amounts payable in respect of the aforesaid statutory dues wereoutstanding as at the last day of the financial year for a period of more than six monthsfrom the date they became payable.

(c) There is no dispute with the revenue authorities regarding any duty or tax payable.

(viii) Unrecorded income

No transactions are recorded in the accounts which have been disclosed or surrenderedbefore the tax authorities as income during the year.

(ix) Repayment of Loans and Borrowings

The Company has not taken any loans or borrowings from financial institutions banksand government or has not issued any debentures. Hence reporting under clause 3 (viii) ofthe Order is not applicable to the Company.

(x) Utilization of Money Raised by Public Offers and Term Loan For which they Raised

(a) The Company has not raised moneys by way of initial public offer or further publicoffer (including debt instruments) or term loans during the period of audit and hencereporting under clause 3 (ix) of the Order is not applicable to the Company.

(b) The company has not made any preferential allotment or private placement of sharesor convertible debentures (fully partially or optionally convertible) during the yearunder review. Hence section 42 and section 62 of Companies Act 2013 not applicable.

(xi) Reporting of Fraud During the Year

(a) To the best of our knowledge and according to the information and explanationsgiven to us no fraud by the Company or no material fraud on the Company by its officersor employees have been noticed or reported during the year.

(b) No report under section (12) of section 143 of the Companies Act has been filed bythe auditors in form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors)Rules 2014 with the Central Government.

(c) No whistle blower complaints were received during the year by the company.

(xii) Compliance by Nidhi Company Regarding Net Owned Fund to Deposits Ratio

The Company is not a Nidhi Company and hence reporting under clause 3 (xii) of theOrder is not applicable to the Company.

(xiii) Related party compliance with Section 177 and 188 of companies Act - 2013

In our opinion and according to the information and explanations given to us theCompany is in compliance with Section 177 and 188 of the Companies Act 2013 whereapplicable for all transactions with the related parties and the details of related partytransactions have been disclosed in the standalone financial statements as required by theapplicable accounting standards.

(xiv) Internal Audit systems

In accordance to the company’s size and nature the company have an internal auditsystem and the reports of internal audit are verified by statutory auditors.

(xv) Compliance under section 192 of Companies Act - 2013

In our opinion and according to the information and explanations given to us duringthe year the Company has not entered into any non-cash transactions with its Directors orpersons connected to its directors and hence provisions of section 192 of the CompaniesAct 2013 are not applicable to the Company.

(xvi) Requirement of Registration under 45-IA of Reserve Bank of India Act 1934

The company is not required to be registered under section 45-IA of the Reserve Bank ofIndia Act 1934.

(xvii) Cash losses

The company has incurred cash losses of Rs. 2168479 during the financial year and Rs.3352061 in the immediately preceding financial year.

(xviii) Resignation of statutory auditors

There hasn’t been any resignation by statutory auditors during the financial year.

(xix) Material uncertainity

On the basis of the financial ratios ageing and expected dates of realization offinancial assets and payment of financial liabilities no material uncertainity exist onthe date of audit report and the company is capable of meeting its liabilities existing atthe balance sheet date as and when fall due. The auditor knows about the management plansof company meeting its liabilities and realization of financial assets exist at thebalance sheet date.

(xx) Compliance of Section 135 and Schedule VII of Companies Act 2013

The company is not liable to comply under section 135 and Schedule VII of CompaniesAct 2013.

(xxi) Qualifications or adverse auditor remarks in other group companies

No qualifications or adverse remarks in the audit reports by the respective auditorswere issued in case of companies included in consolidated financial statements.

Date : 06.05.2022 For D P Sarda & Co
Place : Nagpur Chartered Accountants
FRN 117227w
sd/-
CA Mukund D Sarda
Partner
MRN 149588
UDIN 22149588AINSNJ5658
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