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Longview Tea Company Ltd.

BSE: 526568 Sector: Others
NSE: N.A. ISIN Code: INE696E01019
BSE 00:00 | 18 Apr 14.65 0
(0.00%)
OPEN

14.80

HIGH

14.80

LOW

14.65

NSE 05:30 | 01 Jan Longview Tea Company Ltd
OPEN 14.80
PREVIOUS CLOSE 14.65
VOLUME 350
52-Week high 20.00
52-Week low 11.65
P/E
Mkt Cap.(Rs cr) 4
Buy Price 14.65
Buy Qty 700.00
Sell Price 16.15
Sell Qty 1000.00
OPEN 14.80
CLOSE 14.65
VOLUME 350
52-Week high 20.00
52-Week low 11.65
P/E
Mkt Cap.(Rs cr) 4
Buy Price 14.65
Buy Qty 700.00
Sell Price 16.15
Sell Qty 1000.00

Longview Tea Company Ltd. (LONGVIEWTEA) - Auditors Report

Company auditors report

To The Member of Longview Tea Company Limited

Report on the Ind AS Financial Statements

We have audited the accompanying Ind AS financial statements of Longview Tea CompanyLimited("the Company") which comprise the Balance Sheet as at 31stMarch 2018 the Statement of Profit and Loss (including Other Comprehensive Income) theCash Flow Statement and the Statement of Changes in Equity for the year then ended and asummary of significant accounting policies and other explanatory 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 that give a true and fair view of the state of affairs(financial position) Profit or Loss(financial performance including other comprehensiveincome) cash flows and changes in equity of the Company in accordance with the accountingprinciples generally accepted in India including the Indian Accounting Standards (Ind AS)prescribed under Section 133 of the Act read with the Companies (Indian AccountingStandards) Rules 2015 as amended.

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 Ind ASfinancial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditor's 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 the accounting and auditingstandards and matters which are required to be included in the Audit Report under theprovisions of the Act and the Rules made thereunder.

We conducted our audit of Ind AS financial statements in accordance with the Standardson Auditing specified under Section 143(10) of the Act. Those Standards require that wecomply with ethical requirements and plan and perform the audit to obtain reasonableassurance about whether the Ind AS financial statements are free from materialmisstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the Ind AS financial statements. The procedures selected depend on theauditor's 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 accounting policies used and the reasonableness of theaccounting estimates made by the Company's Directors as well as evaluating the overallpresentation 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 with theaccounting principles generally accepted in India including the Ind AS of the state

of affairs(financial position) of the Company as at 31st March 2018 and its loss(financial performance including other comprehensive income) and its cash flows and thechanges in equity for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016 ("the Order")issued by the Government of India in terms of sub-section (11) of section 143 of the Actand on the basis of such checks of the books and records of the Company as we consideredappropriate and according to the information and explanations given to us we give in the"Annexure- A" a statement on the matters specified in paragraphs 3 and 4 of thesaid Order.

2. As required by section 143(3) of the Act wereport 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 faras it appears from our examination of those books;

c) the Balance Sheet the Statement of Profit and Loss (including Other ComprehensiveIncome) the Cash Flow Statement and the 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 read with the Companies(Indian Accounting Standards) Rules 2015 as amended;

e) on the basis of the written representations received from the directors and taken onrecord by the Board of Directors none of the directors is disqualified as on 31stMarch2018 from being appointed as a director in terms of Section 164 (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 litigationson its financial positionin its Ind AS financial statements. ReferNote 29 to the Ind AS financial statements;

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

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

For V. SINGHI & ASSOCIATES
Chartered Accountants
Firm Registration No. 311017E
Four Mangoe Lane
Surendra Mohan Ghosh Sarani (V.K. SINGHI)
Place: Kolkata Partner
Date : 28th May 2018 Membership No. 050051

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

Referred to in paragraph-1 on Other Legal and Regulatory Requirements of our Report ofeven date to the members of Longview Tea Company Limited on the Ind AS FinancialStatements for the year ended 31st March 2018:

i. a) The Company has generally maintained proper records showing full particularsincluding quantitative details and situation of its fixed assets except in case offurniture and fixture.

b) As explained to us the Fixed Assets have been physically verified by the managementat regular intervals which in our opinion is reasonable having regard to the size of thecompany and the nature of its assets. As informed to us no material discrepancies werenoticed on such verification.

c) According to the information and explanations given to us the Company does not holdany immovable properties. Accordingly clause 3(i)(c) of the Order is not applicable.

ii. The Company is engaged in trading of tea and ferrous metals. Stock of tea orferrous metals is physically verified at the time of sale. The Company does not have anyinventory at the year end. Keeping in view the nature of operations in our opinion theprocedure for physical verification of inventory followed by the management are reasonableand adequate in relation to the size of the Company and nature of its business.

iii. According to the information and explanations given to us the Company has notgranted any loan secured or unsecured during the year to companies firms LimitedLiability Partnership or other parties covered in the register maintained under Section189 of the Act. Accordingly Clause 3 (iii)(a) (b) & (c) of the Order are notapplicable.

iv. According to the information and explanations given to us the Company has compliedwith the provisions of sections 185 and 186 of the Act with respect to the loans given andinvestments made.

v. According to the information and explanations given to us the Company has notaccepted any deposits from the public during the year within the meaning of sections 73 to76 of the Act and the rules framed thereunder to the extent notified.

vi. As per the information and explanations given to us by the management the CentralGovernment has not prescribed the maintenance of cost records under section 148(1) of theAct. Accordingly Clause 3(vi) of the Order is not applicable.

vii. a) According to the information and explanations given to us during the year theCompany has generally been regular in depositing with appropriate authorities undisputedstatutory dues including Provident Fund Investor Education and Protection FundEmployees' State Insurance Income Tax Sales Tax Service tax Custom Duty Excise DutyGoods & Services Tax Value Added Tax Cess and other statutory dues as applicable toit.

b) According to the information and explanations given to us the details of disputeddues of sales tax income tax customs duty excise duty service tax and Cess if anyas at 31st March 2018 are as follows:

(Amount in Rs. '000)

Name of the Statute Nature of Dues Amount (In Rs) Period to which the amount relates Forum where dispute is pending
The Central Excise Act Excise Duty 793/- 1999-2000 High Court Calcutta
Sales Tax Act Sales Tax 166/- 1977-1978 1978-1979 1979-1980 1980-1981 No details were made available as to the forum where appeal is pending
308/- 1995-1996 Assistant Commissioner
1935/- 1998-1999 Assistant Commissioner
146/- 2000-2001 Tribunal

viii. According to the information and explanation given to us by the management weare of the opinion that the Company has not defaulted in repayment of dues to financialinstitutions banks or debenture holders.

ix. According to the information and explanations given to us the Company has notraised any money by way of initial public offer or further public offer (including debtinstruments) nor obtained any Term Loan. Accordingly clause 3 (ix) of the Order is notapplicable.

x. According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit nor have we been informed of any such case by the management.

xi. According to the information and explanations given to us and based on ourexamination of the records the Company has not paid/provided for managerial remunerationduring the year. Accordingly clause 3 (xi) of the Order is not applicable.

xii. According to the information and explanations given to us the Company is not aNidhi Company. Accordingly clause 3(xii) of the Order is not applicable.

xiii. According to the information and explanations given to us and on the basis of ourexamination of the records of the Company we report that all transactions with therelated parties are in compliance with sections 177 and 188 of the Act wherever applicableand the details in respect of such transactions have been disclosed in the FinancialStatements as required under applicable Indian Accounting Standards

xiv. According to the information and explanations given to us and on the basis ofexamination of the books and records the Company has not made any preferential allotmentor private placement of shares or fully or partly convertible debentures during the year.Accordingly clause 3 (xiv) of the Order is not applicable.

xv. According to the information and explanations given to us the Company has notentered into any non-cash transactions with directors or persons connected with him.Accordingly clause 3(xv) of the Order is not applicable.

xvi. The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934. Accordingly clause 3(xvi) of the Order is not applicable.

For V. SINGHI & ASSOCIATES
Chartered Accountants
Firm Registration No. 311017E
Four Mangoe Lane
Surendra Mohan Ghosh Sarani (V.K. SINGHI)
Place: Kolkata Partner
Date : 28th May 2018 Membership No. 050051

ANNEXURE "B" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph-2(f) on Other Legal and Regulatory Requirements of our Reportof even date to the members of Longview Tea Company Limited on the Ind AS FinancialStatements for the year ended 31st March 2018)

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 LongviewTea Company Limited ("the Company") as of 31st March 2018 in conjunction withour audit of the Ind AS financial statements of the Company for the year ended on thatdate.

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 ('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 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 Act.

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 the ICAI anddeemed to be prescribed under section 143(10) of the Act to the extent applicable to anaudit of internal financial controls both applicable to an audit of Internal FinancialControls and both issued by the Institute of Chartered Accountants of India. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols 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.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls systemover 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 Ind AS financial statements for external purposes in accordance withgenerally accepted accounting principles including the Ind AS. A company's internalfinancial control over financial reporting includes those policies and procedures that (1)pertain to the maintenance of records that in reasonable detail accurately and fairlyreflect the transactions and dispositions

of the assets of the company; (2) provide reasonable assurance that transactions arerecorded as necessary to permit preparation of Ind AS financial statements in accordancewith generally accepted accounting principles including the Ind AS and that receipts andexpenditures of the company are being made only in accordance with authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised acquisition use or disposition of thecompany's assets that could have a material effect on the Ind AS 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 31stMarch 2018 based on theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.

For V. SINGHI & ASSOCIATES
Chartered Accountants
Firm Registration No. 311017E
Four Mangoe Lane
Surendra Mohan Ghosh Sarani (V.K. SINGHI)
Place: Kolkata Partner
Date : 28th May 2018 Membership No. 050051