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M K Proteins Ltd.

BSE: 538420 Sector: Industrials
NSE: MKPL ISIN Code: INE964W01013
BSE 00:00 | 28 Mar M K Proteins Ltd
NSE 00:00 | 02 Dec 2045.00 83.80
(4.27%)
OPEN

1961.00

HIGH

2050.00

LOW

1905.00

OPEN 10.04
PREVIOUS CLOSE 10.04
VOLUME 24
52-Week high 10.04
52-Week low 0.00
P/E 0.41
Mkt Cap.(Rs cr) 4
Buy Price 10.35
Buy Qty 1400.00
Sell Price 0.00
Sell Qty 0.00
OPEN 10.04
CLOSE 10.04
VOLUME 24
52-Week high 10.04
52-Week low 0.00
P/E 0.41
Mkt Cap.(Rs cr) 4
Buy Price 10.35
Buy Qty 1400.00
Sell Price 0.00
Sell Qty 0.00

M K Proteins Ltd. (MKPL) - Auditors Report

Company auditors report

To

The Members of

M. K. PROTEINS LIMITED

(FORMELY KNOWN AS M. K. PROTEINS PRIVATE LIMITED)

Report on the Audit of the Standalone Financial Statements

Opinion

We have audited the accompanying standalone financial statements of M. K. PROTEINSLIMITED AMBALA (FORMERLY KNOWN AS M. K. PROTEINS PRIVATE LIMITED) AMBALA (the Company') which comprise Balance Sheet as at March 31 2022 and the Statement ofProfit and Loss and the Statement of Cash Flow for the year then ended and notes to thefinancial statements including a summary of the significant accounting policies and otherexplanatory information and a summary of the significant accounting policies and otherexplanatory information.

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 Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at March 31 2022 and profit and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder Section 143(10) of the Companies Act 2013. Our responsibilities under thoseStandards are further described in the Auditor's Responsibilities for the Audit of theFinancial Statements section of our report. We are independent of the Company inaccordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial 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 Code of Ethics. We believe that the audit evidence we haveobtained is sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

We draw attention to Note 28(f) in the financial statements which describes theeconomic and social consequences the entity is facing as a result of COVID-19 pandemicwhich is impacting business operation and carrying amounts of current and non-currentassets of the Company. Our opinion is not modified in respect of this matter."

Key Audit Matters

Key audit matters ("KAM") are those matters that in our professionaljudgment were of most significance in our audit of the financial statements of thecurrent period. These matters were addressed in the context of our audit of the financialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these matters.

There is no Key Audit Matters Reportable as per SA 701 issued by ICAI.

Other Information

The Company's Board of Directors is responsible for the preparation of the otherinformation. The other information comprises the information included in the Company'sAnnual Report but does not include the standalone financial statements and our auditor'sreport thereon.

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

In connection with our audit of the standalone financial statements our responsibilityis to read the other information and in doing so consider whether the other informationis materially inconsistent with the standalone financial statements or our knowledgeobtained during the course of our audit or otherwise appears to be materially misstated.If based on the work we have performed we conclude that there is a material misstatementof this other information we are required to report that fact. We have nothing to reportin this regard.

Management's Responsibility 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 and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under section 133 of the Act. 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 implementation and maintenance ofaccounting 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 standalone financialstatement 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.

Board of Directors is also responsible for overseeing the Company's financial reportingprocess. Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance withStandards 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 financial statements

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

• Identify and assess the risks of material misstatement of the 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 control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under section 143(3)(i)of the Companies act 2013 we are also responsible for expressing our opinion on whetherthe company has adequate internal financial controls with reference of financial statementin place and the operating effectiveness of such controls.

• Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by management.

• Conclude on the appropriateness of management's use of the going concern basisof accounting 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 as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditor'sreport. However future events or conditions may cause the Company to cease to continue asa going concern.

• Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

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 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.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2020 (‘the Order')issued by the Central Government of India in terms of sub-section (11) of section 143 ofthe Companies Act 2013 we give in the Annexure "A" a statement on the mattersspecified in paragraphs 3 and 4 of the Order to the extent applicable

2. 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 and the statement of Cash Flowsdealt 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 March31 2022 taken on record by the Board of Directors none of the Directors is disqualifiedas on March 31 2022 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 over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate report in Annexure "B".

(g) With respect to the other matters to be included in the Auditor's Report inaccordance with the requirements of section 197(16) of the Act as amended: In our opinionand to the best of our information and according to the explanations given to us theremuneration paid by the Company to its director during the year is in accordance with theprovisions of section 197 of the Act.

(h) 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 information and according to the explanations given to us:

i) The Company dose not have any pending litigations which would impact its financialstatement as of March 31 2022;

ii) The Company did not have any long-term contracts including derivatives contractsfor which there were any material foreseeable losses on long term contracts;

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

iv) a) The management has represented that to the best of its knowledge and belief nofunds have been advanced or loaned or invested (either from borrowed funds or sharepremium or any other sources or kind of funds) by the Company to or in any other personsor entities including foreign entities ("Intermediaries") with theunderstanding whether recorded in writing or otherwise that the Intermediary shall:

-Directly or indirectly lend or invest in other persons or entities identified in anymanner whatsoever ("Ultimate Beneficiaries") by or on behalf of the Company or-Provide any guarantee security or the like to or on behalf of the UltimateBeneficiaries. b)The management has represented that to the best of its knowledge andbelief no funds have been received by the Company from any persons or entities includingforeign entities ("Funding Parties") with the understanding whether recordedin writing or otherwise that the Company shall:

-Directly or indirectly lend or invest in other persons or entities identified in anymanner whatsoever ("Ultimate Beneficiaries") by or on behalf of the FundingParty or -Provide any guarantee security or the like from or on behalf of the Ultimatebeneficiaries; and

c) Based on such audit procedures as considered reasonable and appropriate in thecircumstances nothing has come to our notice that has caused us to believe that therepresentations under sub clause (d) (i) and (d) (ii) contain any material mis-statement.

ANNEXURE "A" REFERRED TO IN PARAGRAPH 1 UNDER THE HEADING OF "REPORT ONOTHER LEGAL AND REGULATORY REQUIREMENTS" OF INDEPENDENT AUDITORS' REPORT OFEVEN DATE OF M. K. PROTEINS LIMITED FOR THE YEAR ENDED MARCH 31 2022

(i) In respect of the Company's Property Plant and Equipment or Intangible assets orboth:

(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of Property Plant and Equipments.

According to the information and explanations given to us the Company is not havingintangible assets during the year under consideration.

(b) As explained to us the Property Plant and Equipments have been physically verifiedby the management during the year in accordance with a regular programme of verificationadopted by the management which in our opinion provides for physical verification of allthe Property Plant and Equipments at reasonable intervals. According to the informationand explanations given to us no material discrepancies were noticed on such verification.

(c) According to the information and explanations given to us and the records examinedby us the Company is not having any freehold immovable properties (i.e. land andbuilding) in the name of the Company as at the balance sheet date except land andbuilding which has been taken on lease agreement renewable every year hence clause3(i)(c) of the order is not applicable.

(d) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the Company has not revalued any of itsProperty Plant and Equipment (including Right-of- use assets) or intangible assets orboth during the year.

(e) According to the information and explanations given to us that no proceedings havebeen initiated during the year or are pending against the company as at March 31 2022 forholding any benami property under the Benami Transactions (Prohibition) Act 1988 (4 of1988) and rules made thereunder. Therefore the provisions of the clause 3(i)(e) of theOrder are not applicable to the Company.

(ii) (a) As explained to us that the inventory except goods-in-transit and stockslying with third parties has been physically verified during the year by the Managementat reasonable intervals and no material discrepancies (i.e. 10% or more in aggregate foreach class of inventory) were noticed on physical verification. In respect of stocks lyingwith third parties at the year-end written confirmations have been obtained by theManagement.

(b) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the Company has sanctioned/availed workingcapital limits (Fund based and Non fund based) in excess of five crore rupees inaggregate from banks on the basis of security of current assets during the year. In ouropinion and according to the information and explanations given to us the quarterlyreturns or statement comprising stock and book debts statement filed by the company withsuch banks are in agreement with the unaudited books of account of the company of therespective quarters.

(iii) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the Company has not made any investmentsprovided guarantee or security or granted any loans or advances in the nature of loanssecured or unsecured to companies firms Limited Liability Partnership or any otherparties during the year.

a) According to the information and explanations given to us the Company has notgranted loan or advances in the nature of loan or provided guarantee or provided securityto other entity (i.e. Subsidiaries joint ventures associates and other parties) duringthe year and hence reporting under clause 3(iii)(a) of the order is not applicable.

b) In our opinion the investment made and the terms and conditions of the grant of allloans advances in the nature of loans guarantees provided and security given are primafacie not prejudicial to the Company's interest.

c) In respect of loans granted by the Company the schedule of repayment of principaland payment of interest has been stipulated and the repayments of principal amounts andreceipts of interest are generally been regular as per stipulation.

d) In respect of loans granted by the Company there is no overdue amount remainingoutstanding as at the balance sheet date.

e) No loan granted by the Company which has fallen due during the year has beenrenewed or extended or fresh loans granted to settle the overdue of existing loans givento the same parties.

f) The Company has not granted any loans or advances in the nature of loans eitherrepayable on demand or without specifying any terms or period of repayment during theyear. Hence reporting under clause 3(iii)(f) of the order is not applicable.

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

(v) In our opinion and according to the information and explanations given to us theCompany has not accepted deposits from public during the year. Therefore the provisionsof the clause 3 (v) of the Order are not applicable to the Company.

(vi) We have broadly reviewed the cost records maintained by the Company pursuant tothe Rules made by the Central Government under Section 148(1) of the Companies Act 2013in respect of its products and are of the opinion that prima facie the prescribed costrecords have been made and maintained. We have however not made a detailed examinationof the cost records with a view to determine whether they are accurate or complete.

(vii) (a) According to the records of the company and as per information andexplanations given to us the company has generally been regular in depositing undisputedstatutory dues including Goods and Services Tax Provident Fund Employees' StateInsurance Fund Income Tax Sales Tax Service Tax Duty of Customs Duty of Excise Valueadded tax Cess and any other statutory dues applicable to it with appropriateauthorities.

(b) According to information and explanations given to us no undisputed amountspayable in respect of Goods and Services Tax Provident Fund Employees' State InsuranceFund Income Tax Sales Tax Service Tax Duty of Customs Duty of Excise Value addedtax Cess and any other statutory dues applicable to it were in arrears as at 31stMarch 2022 except for the following:

Name of the Statute Nature of the Dues Amount (in Lacs) Period Forum where dispute is pending
The Income Tax Act 1961 Income Tax 75.25 Assessment Year 2016-17 Commissioner of Income Tax (Appeals)
The Income Tax Act 1961 Income Tax 332.41 Assessment Year 2015-16 Commissioner of Income Tax (Appeals)
The Income Tax Act 1961 Income Tax 38.71 Assessment Year 2017-18 Commissioner of Income Tax (Appeals)

(viii) According to the information and explanation given to us that the company hasnot surrendered or disclosed any amount as income during the year in the tax assessmentsunder the Income Tax Act 1961 (43 of 1961) which are unrecorded in the books of accountof the company. Therefore the provisions of the clause 3 (viii) of the Order are notapplicable to the Company.

(ix) (a) In our opinion and according to the information and explanations given to usthe Company has not defaulted in the repayment of loans or other borrowings or in thepayment of interest thereon to any lender (i.e. Banks Financial Institution Non BankingFinancial Institution/Companies or government/state government etc.)

(b) According to the information and explanations given to us and on the basis of ouraudit procedures we report that the company has not been declared willful defaulter byany bank or financial institution or government or any government authority.

(c) In our opinion and according to the information and explanations given to us thecompany has utilized the money obtained by way of term loan Rs.284.73 Lacs during the yearfor the purpose for which they were obtained. However in respect of old term loans thesame have been applied for the purposes for which they were obtained.

(d) According to the information and explanations given to us and the proceduresperformed by us and on an overall examination of the financial statements of the companywe report that no funds raised on short-term basis have been used for long-term purposesby the company.

(e) According to the information and explanations given to us and on an overallexamination of the financial statements of the company we report that the company has nottaken any funds from any entity or person on account of or to meet the obligations of itssubsidiaries associates or joint ventures. Accordingly clause 3(ix)(e) of the Order isnot applicable.

(f) According to the information and explanations given to us and procedures performedby us we report that the company has not raised loans during the year on the pledge ofsecurities held in its subsidiaries joint ventures or associate companies. Accordinglyclause 3(ix)(f) of the Order is not applicable.

(x) (a) The company has not raised money by way of initial public offer or furtherpublic offer (including debt instruments) during the year and hence reporting under clause3(x)(a) of the order is not applicable.

(b) During the year the company has not raised money by way of preferential allotmentor private placement of shares or convertible debenture (fully partially or optionallyconvertible and hence reporting under clause 3(x)(b) of the order is not applicable.

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

(b) According to the information and explanations given to us no report undersub-section (12) of section 143 of the Companies Act has been filed by the auditors inForm ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors ) Rules 2014 withthe Central Government during the year and upto the date of this report.

(c) As represented to us by the management there are no whistle blower complaintsreceived by the company during the year and upto the date of this report.

(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 explanation given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with Sections 177 and 188 of the Act where applicable and details of suchtransactions have been disclosed in the financial statement as required by the applicableaccounting standards.

(xiv) (a) In our opinion and based on our examination the company has an internalaudit system commensurate with the size and nature of its business.

(b) We are unable of obtain any internal audit reports of the company hence theinternal audit reports have not been considered by us in determining the nature timingand extent of our audit procedures.

(xv) In our opinion and according to the information and explanations given to us thecompany has not entered into any non-cash transactions with its directors or personsconnected with its directors and hence provisions of section 192 of the Companies Act2013 are not applicable to the company.

(xvi) (a) In our opinion the Company is not required to be registered under Section45-IA of the Reserve Bank of India Act 1934. Hence reporting under clause 3(xvi)(a) (b)and (c) of the Order is not applicable.

(b) According to the information and explanations provided to us during the course ofaudit the group does not have any core investment company (CIC) (as defined in the CoreInvestment Companies (Reserve Bank) Directions 2016) and accordingly reporting underclause 3(xvi)(d) of the order is not applicable.

(xvii) In our opinion and according to the information and explanations given to usthat the company has not incurred any cash losses during the current financial year and inthe immediately preceding financial year.

(xviii) There has been no resignation of the statutory auditors during the year andaccordingly this clause is not applicable.

(xix) According to the information and explanations given to us and on the basis of thefinancial ratios ageing and expected dates of realization of financial assets and paymentof financial liabilities other information accompanying the financial statements ourknowledge of the Board of Directors and management plans and based on our examination ofthe evidence supporting the assumptions nothing has come to our attention which causesus to believe that any material uncertainty exists as on the date of the audit report thatcompany is not capable of meeting its liabilities existing at the date of balance sheet asand when they fall due within a period of one year from the balance sheet date. Wehowever state that this is not an assurance as to the future viability of the company. Wefurther state that our reporting is based on the facts up to the date of the audit reportand we neither give any guarantee nor any assurance that all liabilities falling duewithin a period of one year from the balance sheet date will get discharged by thecompany as and when they fall due.

(xx) (a) As per the information and explanation given to us there are no unspentamounts towards Corporate Social Responsibility (CSR) on other than ongoing projectsrequiring a transfer to a Fund specified in Schedule VII to the Companies Act incompliance with second proviso to sub-section (5) of section 135 of the said Act.Accordingly reporting under clause 3(XX)(a) of the Order is not applicable for the year.

(b) There are no ongoing projects with the Company. Accordingly reporting under clause3(XX)(b) of the Order is not applicable for the year.

(xxi) According to the information and explanations given to us that the company is nothaving any Holding Company/Subsidiary/associate/joint venture hence the provisions ofthe clause 3(xxi) of the Order are not applicable to the Company.

ANNEXURE "B" TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THEFINANCIAL STATEMENTS OF M. K. PROTEINS 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 M. K.Proteins Limited ("the Company") as of March 31 2022 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 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 the 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 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 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 anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures 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 considering nature of business size of operation and organizationalstructure of the entity 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 issued by the Institute of CharteredAccountants of India.

Place: Ambala Cantt For Jayant Bansal & Co.
Chartered Accountants
Date: 30th May 2022 Firm Registration No. 004694N
Sd/-
JAYANT BANSAL
(PARTNER)
Membership No.: 086478 UDIN: 22086478AJWRIQ7192

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