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Laffans Petrochemicals Ltd.

BSE: 524522 Sector: Industrials
NSE: N.A. ISIN Code: INE919B01011
BSE 00:00 | 22 Oct 11.20 -0.39
(-3.36%)
OPEN

11.20

HIGH

11.20

LOW

11.20

NSE 05:30 | 01 Jan Laffans Petrochemicals Ltd
OPEN 11.20
PREVIOUS CLOSE 11.59
VOLUME 150
52-Week high 26.95
52-Week low 10.00
P/E
Mkt Cap.(Rs cr) 9
Buy Price 11.05
Buy Qty 100.00
Sell Price 11.20
Sell Qty 350.00
OPEN 11.20
CLOSE 11.59
VOLUME 150
52-Week high 26.95
52-Week low 10.00
P/E
Mkt Cap.(Rs cr) 9
Buy Price 11.05
Buy Qty 100.00
Sell Price 11.20
Sell Qty 350.00

Laffans Petrochemicals Ltd. (LAFFANSPETROCH) - Auditors Report

Company auditors report

Report on the Indian Accounting Standards (Ind AS) Financial Statements

We have audited the accompanying financialstatements of LAFFANS PETROCHEMICALSLIMITED ("the Company") which comprise the Balance Sheet as at March 312018 the Statement of Profit and Loss (including

Other Comprehensive Income) the Cash Flow Statement and the statement of changes inEquity for the year ended and a summary of the significant accounting policies and otherexplanatory information.

Management's Responsibility for the Ind AS 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 financial statements to give a true and fair view the financial positionfinancial performance (including other comprehensive income) cash flows and changesequity of the Company in accordance with the accounting principles generally accepted inIndia including the Indian Accounting Standards specified in the Companies (IndianAccounting Standards) Rules2015 (as amended) under Section 133 of the Act. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding of the assets of the Company and for preventingand detecting frauds and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; anddesign implementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the Ind AS financial statementsthat give a true and fair view and are free from material misstatement whether due tofraud or error.

Auditors' Responsibility

Our responsibility is to express an opinion on these Ind AS financial statements basedon our audit.

We have taken into account the provisions of the Act and the Rules made thereunderincluding the accounting and auditing standards and matters which are required to beincluded in the audit report under the provisions of the Act and the Rules madethereunder.

We conducted our audit of the Ind AS financial statements in accordance with theStandards on Auditing specified under Section 143(10) of the Act and other applicableauthoritative pronouncements issued by the Institute of Chartered Accountants of India.Those Standards and pronouncements require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether the Ind ASfinancial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the Ind AS financial statements. The procedures selected depend on theauditors' judgment including the assessment of the risks of material misstatement of theInd AS financial statements whether due to fraud or error. In making those riskassessments the auditor considers internal financial control relevant to the Company'spreparation of the Ind AS financial statements that give a true and fair view in order todesign audit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of the accounting policies used and the reasonableness ofthe accounting estimates made by the Company's Directors as well as evaluating theoverall presentation of the Ind AS financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Ind AS financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Ind AS financial statements give the information required bythe Act in the manner so required and give a true and fair view in conformity withthe accounting principles generally accepted in India of the state of affairs ofthe Company as at March 31 2018 and its profit (including other comprehensive income)its cash flowsand the changes in equity for the year ended on that date.

Other Matter

The financial information of the Company for the year ended March 31 2017 and thetransition date opening balance sheet as at April 1 2016 included in these Ind ASfinancial statements are based on the previously issued statutory financial statementsfor the years ended March 31 2017 and March 31 2016 prepared in accordance with theCompanies (Accounting Standards) Rules 2006 (as amended) which were audited by anotherauditor. The adjustments to those financial statements for the differences in accountingprinciples adopted by the Company on transition to the Ind AS have been audited by us.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditor's Report) Order 2016 issued by the CentralGovernment of India in terms of sub-section (11) of section 143 of the Act ("theOrder") and on the basis of such checks of the books and records of the Company aswe considered appropriate and according to the information and explanations given to uswe give in the Annexure B a statement on the matters specified in paragraphs 3 and 4 ofthe Order.

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 and proper returnsadequate for the purposes of our audit.

(c) The Balance Sheet the Statement of Profitand Loss (including other comprehensiveincome) the Cash Flow Statement and Statement of Changes in Equity dealt with by thisReport are in agreement with the books of account.

(d) In our opinion the aforesaid Ind AS financial statements comply with the IndianAccounting Standards specified under Section 133 of the Act.

(e) On the basis of the written representations received from the directors as on March31 2018 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2018 from being appointed as a director in terms of Section 164 (2) of theAct.

(f) With respect to the adequacy of the internal financial controls operatingeffectiveness of such controls the system of internal financialcontrols over financialreporting of the company was not made available to us to enable us to determine if thecompany has established adequate internal financial control over financial reporting andwhether such internal financial controls were operating effectively as at March 31 2018.We have considered the disclaimer reported above in determining the nature timing andextent of audit tests applied in our audit of the financial statements of the company andthe disclaimer does not affect our opinion on the financial statements of the company.

(g) With respect to the other matters to be included in the Auditors' Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinionand to the best of our knowledge and belief and according to the information andexplanations given to us: i. The Company has disclosed the impact if any of pendinglitigations as at March 31 2018 on its financial position in its Ind AS financialstatements -Refer Note26; ii. The company did not have long-term contracts as at March 312018 for which there were no material foreseeable losses. The Company did not have anylong-term derivative contract as at March 31 2018. iii. There were no requirement intransferring amounts to the Investor Education and Protection Fund by the Company duringthe year ended March 31 2018.

For Pushp K. Sahu & Co.
Chartered Accountants
Firm Registration No. 128013W
(Pushp K. Sahu)
Place: Mumbai Proprietor
Date : 30-05-2018 Membership No. 112502

Annexure - A to the Auditor's Report

Annexure to the Independent Auditor's Report of even date to the members of LaffansPetrochemicals Limited on the financial statements for the year ended 31st March 2018

(i) In respect of its fixed assets:

(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

(b) The Company has physically verified certain assets during the period in accordancewith a programme of verification which in our opinion provides for physical verificationof the fixed assets at reasonable intervals. According to the information and explanationsgiven to no material discrepancies were noticed on such verification. In our opinion fixedassets have been properly dealt with in the books of accounts.

(c) In our opinion and according to the information and explanations given to us In ouropinion and according to the information and explanations given to us the title deeds ofthe immovable properties of the company are held in the name of the company.

(ii) In respect of its Inventories in our opinion and according to the information andexplanations given to us the management at reasonable intervals has physically verifiedthe trading goods and no material discrepancies were noticed on physical verifications.

(iii) According to the information and explanations given to us the Company has notgranted loan to any party covered in register u/s. 2(76) hence clause iii(a) (b) and (c)are not applicable.

(iv) In respect of loans investments and guarantees In our opinion and according tothe i n f o r m a t i o n a n d explanations given to us provisions of Section 185 and186 complied (v) In our opinion and according to the information and explanation given tous the company has not accepted deposits from the public as per section 73 to 76 or anyother relevant provisions of the Companies Act 2013 (vi) According to information andexplanation given to us the maintenance of cost records has not been prescribed by theCentral Government sub section (1) of section 148 of the Companies Act 2013 (vii)According to the information and explanations given to us in respect of statutory andother dues: (a) The Company has been regular in depositing undisputed statutory duesincluding Provident Fund Employees' State Insurance Income-tax Sales-tax Wealth TaxService Tax Custom Duty Excise Duty Value added Tax cess and any other statutory dueswith the appropriate authorities during the period except TDS of Rs.84916. Were not paid.

(b) There are no disputed dues of Sales Tax Income Tax Customs Duty Wealth TaxService Tax Excise Duty Value Added Tax Cess and any other statutory dues with theappropriate authorities during the period except: i) Sales Tax Liability of Rs.10113369 for the year 2008-09 (P.Y. Rs.10113369) against which appeal is pending ii)Income Tax Liability for A.Y. 2009-10 Rs.807960/- (P.Y. 7860520/-) Against whichappeal is pending. iii) Income Tax Liability for A.Y. 2008-09 Rs.5303950/- (P.Y.769746/-) Against which appeal is pending. iv) Income Tax Liability for A.Y 2012-13Rs.83650990/- (P.Y Rs…91122060/) against which Appeal is pending. v) Income TaxLiability for A.Y 2015-16 Rs.4567000/- (P.Y Rs. Nil) against which Appeal is pending.

(viii) In our opinion and according to the information and explanations given to ussince the company has not taken any loan financial institutions banks and debentureholders clause viii is not applicable.

(ix) In our opinion and according to the information and explanations given to us thecompany has not raised any money by way of public issue/follow-on offer and the companyhas not availed any term loan the clause ix is not applicable.

(x) To the best of our knowledge and belief and according to the information andexplanations given to us no fraud on or by the Company was noticed or reported during theperiod.

(xi) In our opinion and according to the information and explanations given to us themanagerial remuneration has been paid/provided in accordance with the requisite approvalsmandated by the provisions of section 197 read with schedule V to the Companies Act.

(xii) Since the company is not a Nidhi Company clause xii is not applicable.

(xiii) In our opinion and according to the information and explanations given to usall transactions with the related parties are in compliance with Section 188 and 177 ofCompanies Act 2013 and the relevant details have been disclosed in the financialstatement etc. as required by the accounting standards and CompaniesAct 2013.

(xiv) In our opinion and according to the information and explanations given to us thecompany has not made any preferential allotment/private placement of shares or fully orpartly convertible debentures during the year under review.

(xv) In our opinion and according to the information and explanations given to us thenon- cash transactions with directors or persons connected with them in our opinionprovisions of Section 192 have been complied with.

For Pushp K. Sahu & Co.
Chartered Accountants
Firm Registration No. 128013W
(Pushp K. Sahu)
Place: Mumbai Proprietor
Date : 30-05-2018 Membership No. 112502