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Madhav Marbles and Granites Ltd.

BSE: 515093 Sector: Others
NSE: MADHAV ISIN Code: INE925C01016
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OPEN 45.25
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VOLUME 8394
52-Week high 64.40
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P/E 74.19
Mkt Cap.(Rs cr) 41
Buy Price 45.40
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Sell Price 45.75
Sell Qty 18.00
OPEN 45.25
CLOSE 44.45
VOLUME 8394
52-Week high 64.40
52-Week low 37.05
P/E 74.19
Mkt Cap.(Rs cr) 41
Buy Price 45.40
Buy Qty 11.00
Sell Price 45.75
Sell Qty 18.00

Madhav Marbles and Granites Ltd. (MADHAV) - Auditors Report

Company auditors report

To

The Members of

Madhav Marbles and Granites Limited

Report on the Audit of the Standalone Financial Statements Opinion

We have audited the accompanying Standalone Financial Statements ofMadhav Marbles & Granites Limited ("the Company") which comprise theBalance Sheet as at March 312022 the Statement of Profit and Loss (including OtherComprehensive Income) the Statement of Changes in Equity and the Statement of Cash Flowsfor the year ended on that date and notes to the Standalone Financial Statementsincluding summary of the significant accounting policies and other explanatory information(hereinafter referred to as "the Standalone Financial Statements").

In our opinion and to the best of our information and according to theexplanations given to us the aforesaid standalone financial statements give theinformation required by the Companies Act 2013 ("the Act") in the manner sorequired and give a true and fair view in conformity with the Indian Accounting Standardsprescribed under section 133 of the Act read with the Companies (Indian AccountingStandards) Rules 2015 as amended ("Ind AS") and other accounting principlesgenerally accepted in India of the state of affairs of the Company as at March 312022the profit and total comprehensive income changes in equity and its cash flows for theyear ended on that date.

Basis for Opinion

We conducted our audit of the standalone financial statements inaccordance with the Standards on Auditing specified under section 143(10) of the Act(SAs). Our responsibilities under those Standards are further described in the Auditor'sResponsibilities for the Audit of the Standalone Financial Statements section of ourreport. We are independent of the Company in accordance with the Code of Ethics issued bythe Institute of Chartered Accountants of India (ICAI) together with the ethicalrequirements that are relevant to our audit of the Standalone financial statements underthe provisions of the Act and the Rules made thereunder and we have fulfilled our otherethical responsibilities in accordance with these requirements and the ICAI's Code ofEthics. We believe that the audit evidences we have obtained are sufficient andappropriate to provide a basis for our audit opinion on the standalone financialstatements.

Key Audit Matters

Key audit matters are those matters that in our professional judgmentwere of most significance in our audit of the standalone financial statements of thecurrent period. These matters were addressed in the context of our audit of the standalonefinancial statements as a whole and in forming our opinion thereon and we do not providea separate opinion on these matters.

We have determined the matters described below to be the key auditmatters to be communicated in our report.We have fulfilled the responsibilities describedin 'Auditor's responsibilities for the audit of the Standalone financial statements'section of our report including in relation to these matters. Accordingly our auditincluded the performance of procedures designed to respond to our assessment of the risksof material misstatement of the standalone financial statements. The results of our auditprocedures including the procedures performed to address the matters below provide thebasis for our audit opinion on the accompanying standalone financial statements.

Description of Key Audit Matters

Key Audit Matters How the matter was addressed in our audit
REVENUE RECOGNITION
Recognition of the company's revenue is complex due to several types of Export sales contracts including generation and captive consumption of power. • We reviewed the Company's implementation of Ind AS 115 including changes to procedures accounting guidelines disclosures and systems to support correct revenue recognition. We reviewed and discussed the group accounting policy & disclosures with Management including the key accounting estimates and judgements made by Management.
• We focused on this area as recognition of revenue involves significant judgement and estimates made by Management including whether contracts contain multiple performance obligations which should be accounted for separately and the most appropriate method for recognition of revenue for identified performance obligations. This comprises allocation of consideration to the individual performance obligations assessing whether performance obligations under export sales contracts are satisfied at a point in time or over time. Further it comprises the point in time when transfer of control has occurred regarding generation and sale of electricity which are accounted for over time. • We tested the relevant internal controls used to ensure the completeness accuracy and timing of revenue recognised including controls over the generation and captive consumption of power at year-end.
• The Company has followed Ind AS-115 for recognizing revenue in the financial statements for the financial year 2021-22. • We read some sample of Export Sale contracts also the contract between Madhav Marbles & Granites Limited and Tamil Nadu Electricty Board to assess whether the method for recognition of revenue was relevant and consistent with Ind AS-115 and had been applied consistently. Where a contract contained multiple elements we considered Management's judgements as to whether they comprised performance obligations that should be accounted for separately and in such cases challenged the judgements made in the allocation of the consideration to each performance obligation.
• We evaluated the significant judgements and estimates made by Management in applying company's accounting policy to a sample of specific contracts and separable performance obligations of contracts and we obtained evidence to support them including details of contractual agreements shipping bills purchase orders etc. For the contracts selected we inspected original signed contracts and reconciled the revenue recognised to the underlying accounting records. We obtained a sample of Management's calculations for the recognition of revenue related to generation and captive consumption of power during the year as well as at the year-end.
DUES OF INCOME TAX AND INDIRECT TAX
The Company has material uncertain tax positions including matters under dispute which involves significant judgment to determine the possible outcome of these disputes. Our audit procedures include the following substantive procedures:
Refer to Note. no. (vii) of the ANNEXURE B of the Audit report on the Standalone Financial Statements. • We had obtained understanding of key uncertain tax positions by obtaining details of completed tax assessments and demands for the year ended March 31 2022 from the management.
• We along with our internal tax experts and appropriate senior management:
• Discussed and evaluated the Management's underlying key assumptions in estimating the tax provision.
• Assessed management's estimate of the possible outcome of the disputed cases; and formed an opinion that we do not require any legal opinion from the expert in that field.
• Considered the effect of new information in respect of uncertain tax positions as at March 31 2022 to evaluate whether any change was required to management's position on these uncertainties.
INVESTMENT
Investment in Mutual Funds: Our procedures included but were not limited to the following:
The Company has invested in various Quoted Mutual funds which is a financial asset for the company. Also the company has followed Ind AS- 109 and the investment in mutual funds has been recognized at market value as on March 31 2022 and remeasurement gain/loss has been recognizes in profit & loss account.
• Scrutiny of documents related to investment in mutual funds.
• Obtained an understanding of management's process of recording of investments profit/loss on sale of such investments expenses etc. and evaluated it on the basis statements received from the intermediary.
• Assessed the reasonableness & correct recording of the transactions based on statements available with the Company.
Investment in Subsidiary: Our procedures included but were not limited to the following:
The Company is holding 600000 shares of its subsidiary company MADHAV NATURAL STONE SURFACES PRIVATE LIMITED being 81.99% of the total shares issued by the said company. • Obtained an understanding of management's process & methodology of investment in shares. We also tested whether any Loss allowance is required to be made and formed an opinion that there is no such requirement.
Also the Company is holding 1320000 shares of MADHAV ASHOK VENTURES PRIVATE LIMITED being 60% of the total shares issued by the said company. • Assessed the appropriateness of the methodology and valuation model used by the management.
The company has followed Ind AS-27 and the said investment has been recognized at Amortizing cost as on March 31 2022 as the shares of the subsidiary companies are unquoted. • Assessed the reasonableness of the assumptions made by the management regarding the value of underlying shares.

Information Other than the Standalone Financial Statements andAuditor's Report Thereon

The Company's Board of Directors is responsible for the preparation ofthe other information. The other information comprises the information included in theManagement Discussion and Analysis Board's Report including Annexures to Board's ReportCorporate Governance and Shareholder's Information but does not include the standalonefinancial statements and our auditor's report thereon.

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

In connection with our audit of the standalone financial statementsour responsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the standalone financial statements orour knowledge obtained during the course of our audit or otherwise appears to bematerially misstated.

If based on the work we have performed we conclude that there is amaterial misstatement of this other information we are required to report that fact. Wehave nothing to report in this regard.

Management's Responsibility for the Standalone Financial Statements

The Company's Board of Directors is responsible for the matters statedin section 134(5) of the Companies Act 2013 (the "Act") with respect to thepreparation of these standalone financial statements that give a true and fair view of thefinancial position financial performance total comprehensive income changes in equityand cash flows of the Company in accordance with the Ind AS and other accountingprinciples generally accepted in India including the Indian Accounting Standard (Ind AS)specified under Section 133 of the Act read with the Companies (Indian AccountingStandards) Rules 2015 as amended.

This responsibility also includes maintenance of adequate accountingrecords in accordance with the provisions of the Act for safeguarding the assets of theCompany and for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe standalone financial statements that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

In preparing the standalone financial statements management isresponsible for assessing the Company's ability to continue as a going concerndisclosing as applicable matters related to going concern and using the going concernbasis of accounting unless management either intends to liquidate the Company or to ceaseoperations or has no realistic alternative but to do so.

The Board of Directors of the company are also responsible foroverseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Standalone FinancialStatements

Our objectives are to obtain reasonable assurance about whether thestandalone financial statements as a whole are free from material misstatement whetherdue to fraud or error and to issue an auditor's report that includes our opinion.Reasonable assurance is a high level of assurance but is not a guarantee that an auditconducted in accordance with SAs will always detect a material misstatement when itexists. Misstatements can arise from fraud or error and are considered material ifindividually or in the aggregate they could reasonably be expected to influence theeconomic decisions of users taken on the basis of these standalone financial statements.

As part of an audit in accordance with SAs we exercise professionaljudgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of thestandalone financial statements whether due to fraud or error design and perform auditprocedures responsive to those risks and obtain audit evidence that is sufficient andappropriate to provide a basis for our opinion. The risk of not detecting a materialmisstatement resulting from fraud is higher than for one resulting from error as fraudmay involve collusion forgery intentional omissions misrepresentations or the overrideof internal control.

• Obtain an understanding of internal financial controls relevantto the audit in order to design audit procedures that are appropriate in thecircumstances. Under section 143(3)(i) of the Act we are also responsible for expressingour opinion on whether the Company has adequate internal financial controls system inplace and the operating effectiveness of such controls.

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

• Conclude on the appropriateness of management's use of the goingconcern basis of accounting and based on the audit evidence obtained whether a materialuncertainty exists 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 conditions maycause the Company to cease to continue as a going concern.

• Evaluate the overall presentation structure and content of thestandalone financial statements including the disclosures and whether the standalonefinancial statements represent the underlying transactions and events in a manner thatachieves fair presentation.

Materiality

Materiality is the magnitude of misstatements in the standalonefinancial statements that individually or in aggregate makes it probable that theeconomic decisions of a reasonably knowledgeable user of the financial statements may beinfluenced. We consider quantitative materiality and qualitative factors in (i) planningthe scope of our audit work and in evaluating the results of our work; and (ii) toevaluate the effect of any identified misstatements in the financial statements.

Communication with those charged with governance

We communicate with those charged with governance regarding amongother matters the planned scope and timing of the audit and significant audit findingsincluding any significant deficiencies in internal control that we identify during ouraudit.

We also provide those charged with governance with a statement that wehave complied with relevant ethical requirements regarding independence and tocommunicate with them all relationships and other matters that may reasonably be thoughtto bear on our independence and where applicable related safeguards.

From the matters communicated with those charged with governance wedetermine those matters that were of most significance in the audit of the standalonefinancial statements of the cu rrent period and are therefore the key audit matters. Wedescribe these matters in our auditor's report unless law or regulation precludes publicdisclosure about the matter or when in extremely rare circumstances we determine that amatter should not be communicated in our report because the adverse consequences of doingso would reasonably be expected to outweigh the public interest benefits of suchcommunication.

Report on Other Legal and Regulatory Requirements

1. As required by Section 143(3) of the Act based on our audit wereport that:

a) We have sought and obtained all the information and explanationswhich to the best of our knowledge and belief were necessary for the purposes of ouraudit.

b) In our opinion proper books of account as required by law have beenkept by the Company so far as it appears from our examination of those books.

c) The Balance Sheet the Statement of Profit and Loss including OtherComprehensive Income Statement of Changes in Equity and the Statement of Cash Flow dealtwith by this Report are in agreement with the relevant books of account.

d) In our opinion the aforesaid standalone financial statements complywith the Ind AS specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014.

e) On the basis of the written representations received from thedirectors as on March 31 2022 taken on record by the Board of Directors none of thedirectors is disqualified as on March 31 2022 from being appointed as a director in termsof Section 164 (2) of the Act.

f) With respect to the adequacy of the internal financial controls overfinancial reporting of the Company and the operating effectiveness of such controls referto our separate Report in "Annexure A". Our report expresses an unmodifiedopinion on the adequacy and operating effectiveness of the Company's internal financialcontrols over financial reporting.

g) With respect to the other matters to be included in the Auditor'sReport in accordance with the requirements of section 197(16) of the Act as amended:

In our opinion and to the best of our information and according to theexplanations given to us the remuneration paid by the Company to its directors during theyear is in accordance with the provisions of section 197 of the Act.

h) With respect to the other matters to be included in the Auditor'sReport in accordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 asamended in our opinion and to the best of our information and according to theexplanations given to us:

The Standalone financial statements disclose the impact of pendinglitigations on the Standalone financial position of the company;

The Company did not have any long-term contracts including derivativecontracts hence; the question of any material foreseeable losses does not arise;

There has been no delay in transferring amounts required to betransferred to the Investor Education and Protection Fund by the company.

2. As required by the Companies (Auditor's Report) Order 2020("the Order") issued by the Central Government in terms of Section 143(11) ofthe Act we give in "Annexure B" a statement on the matters specified inparagraphs 3 and 4 of the Order.

Annexure "A" to the Independent Auditor's Report

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 1(f) under 'Report on Other Legal andRegulatory Requirements' section of our report to the Members of Madhav Marbles &Granites Limited of even date)

Report on the Internal Financial Controls Over Financial Reportingunder Clause

(i) of Sub-section 3 of Section 143 of the Companies Act 2013("the Act")

We have audited the internal financial controls over financialreporting of MADHAV MARBLES & GRANITES LIMITED ("the Company") as ofMarch 312022 in conjunction with our audit of the standalone financial statements of theCompany for the year ended on that date.

Management's Responsibility for Internal Financial Controls

The Board of Directors of the Company is responsible for establishingand maintaining internal financial controls based on the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls OverFinancial Reporting issued by the Institute of Chartered Accountants of India. Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to respective company's policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the internal financialcontrols over financial reporting of the Company based on our audit. We conducted ouraudit in accordance with the Guidance Note on Audit of Internal Financial Controls OverFinancial Reporting (the "Guidance Note") issued by the Institute of CharteredAccountants of India and the Standards on Auditing prescribed under Section 143(10) of theCompanies Act 2013 to the extent applicable to an audit of internal financial controls.Those Standards and the Guidance Note require that we comply with ethical requirements andplan and 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 aboutthe adequacy of the internal financial controls system over financial reporting and theiroperating effectiveness. Our audit of internal financial controls over financial reportingincluded obtaining an understanding of internal financial controls over financialreporting assessing the risk that a material weakness exists and testing and evaluatingthe design and operating effectiveness of internal control based on the assessed risk. Theprocedures selected depend on the auditor's judgement including the assessment of therisks of material misstatement of the financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the internal financial controlssystem over financial reporting of the Company.

Meaning of Internal Financial Controls Over Financial Reporting

A company's internal financial control over financial reporting is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of financial statements for external purposes in accordancewith generally accepted accounting principles. A company's internal financial control overfinancial reporting includes those policies and procedures that

(1) pertain to the maintenance of records that in reasonable detailaccurately and fairly reflect the transactions and dispositions of the assets of thecompany;

(2) provide reasonable assurance that transactions are recorded asnecessary to permit preparation of financial statements in accordance with generallyaccepted accounting principles and that receipts and expenditures of the company arebeing made only in accordance with authorizations of management and directors of thecompany; and

(3) provide reasonable assurance regarding prevention or timelydetection of unauthorized acquisition use or disposition of the company's assets thatcould have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over FinancialReporting

Because of the inherent limitations of internal financial controls overfinancial reporting including the possibility of collusion or improper managementoverride of controls material misstatements due to error or fraud may occur and not bedetected. Also projections of any evaluation of the internal financial controls overfinancial reporting to future periods are subject to the risk that the internal financialcontrol over financial reporting may become inadequate because of changes in conditionsor that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion to the best of our information and according to theexplanations given to us 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 312022 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.

Annexure 'B' To The Independent Auditor's Report

(Referred to in paragraph 2 under 'Report on Other Legal and RegulatoryRequirements' section of our report to the Members of Madhav Marbles & GranitesLimited of even date)

i. In respect of the Company's fixed assets:

(a) (A) The Company has maintained proper records showing fullparticulars including quantitative details and situation of Property Plant andEquipment.

(B) The Company is maintaining proper records showing full particularsof intangible assets on the basis of available information.

(b) The Company has a program of verification to cover all the items ofProperty Plant and Equipment in a phased manner which in our opinion is reasonablehaving regard to the size of the Company and the nature of its assets. Pursuant to theprogram certain Property Plant and Equipment were physically verified by the managementduring the year. According to the information and explanations given to us no materialdiscrepancies were noticed on such verification.

(c) According to the information and explanations given to us and onthe basis of our examination of records of the Company the title deeds of immovableproperties are held in the name of the Company.

(d) According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has not revaluedits Property plant and equipment both during the year.

(e) According to the information and explanations given to us and onthe basis of our examination of the records of the Company there are no proceedingsinitiated or pending against the Company for holding any benami property under theProhibition of Benami Property Transactions Act 1988 and rules made thereunder.

ii. (a) As explained to us the inventory has been physically verifiedat reasonable intervals during the year by the management. In our opinion the frequencyof verification is reasonable. The discrepancies between the physical stocks and the bookstocks were not material in relation to the operation of the Company and the same havebeen properly dealt with in the books of account.

(b) According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has not beensanctioned working capital limits in excess of five crore rupees in aggregate from bankson the basis of security of current assets.

iii. With respect to investments made in or any guarantee or securityprovided or any loans or advances in the nature of loans secured or unsecured grantedduring the year by the Company to companies firms Limited Liability Partnerships or anyother parties:

(a) During the year the Company has provided loans advances in thenature of loans provided guarantees and securities to its subsidiary companies asfollows:

Particulars Amount (in Thousands)
Aggregate amount during the year 42201.42
Balance outstanding as at balance sheet date 191134.93

(b) In our opinion and according to the information and explanationsgiven to us and based on the audit procedures conducted by us the terms and conditions ofthe loans given are prima facie not prejudicial to the interest of the company.

(c) According to the information and explanations given to us and onthe basis of our examination of the records of the Company in the case of loans giventhe repayment of principal and payment of interest has been stipulated and the repaymentsor receipts have been regular.

(d) According to the information and explanations given to us and onthe basis of our examination of the records of the Company there is no overdue amount formore than ninety days in respect of loans given.

(e) According to the information and explanations given to us and onthe basis of our examination of the records of the Company there is no loan given fallingdue during the year which has been renewed or extended or fresh loans given to settle theoverdues of existing loans given to the same party.

(f) According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has not given anyloans either repayable on demand or without specifying any terms or period of repaymentexcept the loan given to its subsidiary companies.

iv. In our opinion and according to the information and explanationsgiven to us the Company has complied with the provisions of Sections 185 and 186 of theAct in respect of grant of loans making investments and providing guarantees andsecurities as applicable.

v. The Company has not accepted deposits during the year and does nothave any unclaimed deposits as at March 312022 and therefore the provisions of theclause 3 (v) of the Order are not applicable to the Company.

vi. We have broadly reviewed the books of account maintained by theCompany in respect of products where the maintenance of cost records has been specified bythe Central Government under sub- section (1) of Section 148 of the Act and the rulesframed there under and we are of the opinion that prima facie the prescribed accounts andrecords have been made and maintained.

vii. According to the information and explanations given to us inrespect of statutory dues:

(a) The Company has generally been regular in depositing undisputedstatutory dues including Provident Fund Employees' State Insurance Income Tax Goodsand Service Tax Customs Duty Cess and other material statutory dues applicable to itwith the appropriate authorities.

(b) There were no undisputed amounts payable in respect of ProvidentFund Employees' State Insurance Income Tax Goods and Service Tax Customs Duty Cessand other material statutory dues in arrears as at March 31 2022 for a period of morethan six months from the date they became payable.

(c) Details of dues of Income Tax Sales Tax of dispute are ServiceTax Excise Duty and Value Added Tax which have not been deposited as at March 312022 onaccount given below:

Name of the statute Nature of the disputed dues Amount Rs. (Lacs) Period to which the amount relates Forum where disputes are pending
Income Tax Act 1961 Disallowance of claim of deduction u/s 80IA & other expenditure 91.99 A.Y. 201 7-18 CIT (A)
Income Tax Act 1961 Disallowance of claim of deduction u/s 80IA and other expenditure 54.42 A.Y. 2018-19 CIT (A)
Central Excise Duty Disallowing Exemption/concession towards DTA sale under Notification No.23/2003 dated 31.3.2003 89.81 1st April 2008-30th November 2015 Central Excise & Service Tax Appellate Tribunal Commissioner (Appeals)
Income Tax Act 1961 Disallowance of claim of deduction u/s 80IA 31.54 A.Y. 2016-17 CIT(A)

Departmental Appeal

Income Tax Act 1961 Disallowance of claim of deduction u/s 80IA and personal expenses. 28.37 A.Y. 201 3-14 ITAT
Income Tax Act 1961 Relief granted by Commissioner of Income Tax (Appeals) for deduction u/s 80IA 36(1 )(iii) and contribution towards PF/ESI 35.67 A.Y. 2012-13 ITAT
Income Tax Act 1961 Relief granted by Commissioner of Income Tax (Appeals) for deduction u/s 80IA 36(1 )(iii) and contribution towards PF/ESI 52.12 A.Y. 2011-12 ITAT
Income Tax Act 1961 Relief granted by Commissioner of Income Tax (Appeals) for deduction u/s 80IA 1 0B and allowance of expenses 36.14 A.Y. 2010-11 ITAT
Income Tax Act 1961 Relief granted by ITAT for deduction u/s 36(1 )(vii). 57.75 A.Y. 2004-05 Rajasthan High Court
Income Tax Act 1961 Relief granted by ITAT for deduction u/s 36(1)(vii) 10B and 40(a)(ia). 27.32 A.Y. 2005-06 Rajasthan High Court
Income Tax Act 1961 Relief granted by ITAT for deduction u/s 32 and 40(a)(ia). 07.44 A.Y. 2006-07 Rajasthan High Court
Income Tax Act 1961 Relief granted by ITAT for deduction u/s 40(a)(ia) and allowance of expenses. 03.17 A.Y. 2007-08 Rajasthan High Court
Income Tax Act 1961 Relief granted by ITAT for deduction u/s 40(a)(ia). 92.81 A.Y. 2008-09 Rajasthan High Court
Income Tax Act 1961 Relief granted by ITAT for deduction u/s 40(a)(ia). 03.69 A.Y. 2009-10 Rajasthan High Court

viii. According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has notsurrendered or disclosed any transactions previously unrecorded as income in the books ofaccount in the tax assessments under the Income-tax Act 1961 as income during the year.

ix. (a) According to the records of the Company examined by us and theinformation and explanation given to us the company has not defaulted in repayment ofloans or borrowings to any financial institution or bank or Government or due to debentureholders as at balance sheet date.

(b) According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has not beendeclared a willful defaulter by any bank or financial institution or government orgovernment authority.

(c) According to the information and explanations given to us by themanagement the Company has not obtained any term loans during the year accordinglyclause 3(ix)(c) of the Order is not applicable.

(d) According to the information and explanations given to us and theprocedures performed by us and on an overall examination of the financial statements ofthe Company we report that prima facie no funds raised on short-term basis have beenused during the year for long-term purposes by the Company.

(e) According to the information and explanations given to us and on anoverall examination of the financial statements of the Company we report that the Companyhas not taken any funds from any entity or person on account of or to meet the obligationsof its subsidiaries as defined under the Companies Act 2013. Accordingly clause 3(ix)(e)of the Order is not applicable.

(f) According to the information and explanations given to us andprocedures performed by us we report that the Company has not raised loans during theyear on the pledge of securities held in its subsidiaries as defined under the CompaniesAct 2013. Accordingly clause 3(ix)(f) of the Order is not applicable.

x. (a) The Company has not raised moneys by way of initial public offeror further public offer (including debt instruments) or term loans and hence reportingunder clause 3 (ix) of the Order is not appl icable to the Company.

(b) According to the information and explanations given to us and onthe basis of our examination of the records of the Company the Company has not made anypreferential allotment or private placement of shares or fully or partly convertibledebentures during the year. Accordingly clause 3(x)(b) of the Order is not applicable.

xi. (a) To the best of our knowledge and according to the informationand explanations given to us no fraud by the Company or no material fraud on the Companyby its officers or employees has been noticed or reported during the year.

(b) According to the information and explanations given to us noreport under sub-section (12) of Section 143 of the Companies Act 2013 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) The company did not received any whistle blower complaint duringthe year.

xii. The Company is not a Nidhi Company and hence reporting underclause 3 (xii) of the Order is not applicable to the Company.

xiii. In our opinion and according to the information and explanationsgiven to us the Company is in compliance with Section 177 and 188 of the Companies Act2013 where applicable for all transactions with the related parties and the details ofrelated party transactions have been disclosed in the standalone financial statements asrequired by the applicable accounting standards.

xiv. (a) Based on information and explanations provided to us and ouraudit procedures in our opinion the Company has an internal audit system commensuratewith the size and nature of its business. (b) We have considered the internal auditreports of the Company issued till date for the period under audit.

xv. In our opinion and according to the information and explanationsgiven to us during the year the Company has not entered into any non-cash transactionswith its Directors or persons connected to its directors and hence provisions of section192 of the Companies Act 2013 are not applicable to the Company.

xvi. (a) The Company is not required to be registered under Section45-IA of the Reserve Bank of India Act 1934. Accordingly clause 3(xvi)(a) of the Orderis not applicable.

(b) The Company has not conducted any Non-Banking Financial or HousingFinancial activities Accordingly clause 3(xvi)(b) of the Order is not applicable.

(c) The Company is not a Core Investment Company (CIC) as defined inthe regulations made by the Reserve Bank of India. Accordingly clause 3(xvi)(c) of theOrder is not applicable.

(d) According to the information and explanations provided to us duringthe course of audit the Group does not have any CIC. Accordingly the requirements ofclause 3(xvi)(d) are not applicable.

xvii. The Company has not incurred cash losses in the current and inthe immediately preceding financial year.

xviii. There has been no resignation of the statutory auditors duringthe year. Accordingly clause 3(xviii) of the Order is not applicable.

xix. According to the information and explanations given to us and onthe basis of the financial ratios ageing and expected dates of realisation of financialassets and payment of financial liabilities other information accompanying the financialstatements our knowledge of the Board of Directors and management plans and based on ourexamination of the evidence supporting the assumptions nothing has come to our attentionwhich causes us to believe that any material uncertainty exists as on the date of theaudit report that the Company is not capable of meeting its liabilities existing at thedate of balance sheet as and when they fall due within a period of one year from thebalance sheet date. We however state that this is not an assurance as to the futureviability of the Company. We further state that our reporting is based on the facts up tothe date of the audit report and we neither give any guarantee nor any assurance that allliabilities falling due within a period of one year from the balance sheet date will getdischarged by the Company as and when they fall due.

xx. In our opinion and according to the information and explanationsgiven to us the Corporate Social Responsibility (CSR) contribution under sub-section (5)of Section 135 of the Companies Act 2013 is not applicable to the company. Therefore theprovisions of clause (xx)(a) and (xx)(b) of the paragraph 3 of the Order are notapplicable to the company.

For L. S. KOTHARI & CO
Chartered Accountants
ICAI Firm Registration No.001450C
Lalit Kothari
Partner
(Membership No.081407)
Camp: Udaipur May 27 2022 UDIN: 22081407AKIPUD7746

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