You are here » Home » Companies » Company Overview » Menon Pistons Ltd

Menon Pistons Ltd.

BSE: 531727 Sector: Auto
NSE: N.A. ISIN Code: INE650G01029
BSE 00:00 | 20 Feb 14.15 0.10
(0.71%)
OPEN

13.50

HIGH

15.00

LOW

13.50

NSE 05:30 | 01 Jan Menon Pistons Ltd
OPEN 13.50
PREVIOUS CLOSE 14.05
VOLUME 4446
52-Week high 22.25
52-Week low 12.50
P/E 10.97
Mkt Cap.(Rs cr) 72
Buy Price 13.65
Buy Qty 73.00
Sell Price 15.25
Sell Qty 200.00
OPEN 13.50
CLOSE 14.05
VOLUME 4446
52-Week high 22.25
52-Week low 12.50
P/E 10.97
Mkt Cap.(Rs cr) 72
Buy Price 13.65
Buy Qty 73.00
Sell Price 15.25
Sell Qty 200.00

Menon Pistons Ltd. (MENONPISTONS) - Auditors Report

Company auditors report

TO

THE MEMBERS

MENON PISTONS LIMITED.

REPORT ON THE IND AS FINANCIAL STATEMENTS:

We have audited the accompanying Ind AS financial statements of Menon Pistons Limited("the Company") which comprise the Balance Sheet as at 31st March 2018 theStatement of Profit and Loss the Cash Flow Statement for the year then ended theStatement of Changes in Equity for the year then ended and a summary of the significantaccounting 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 preparationand presentation of these Ind AS financial statements that give a true and fair view ofthe financial position financial performance including other comprehensive income cashflows and changes in equity of the Company in accordance with the accounting principlesgenerally accepted in India including the Indian Accounting Standards specified underSection 133 of the Act read with Rule 7 of the Companies (Indian Accounting Standards)(Amendment) Rules 2016.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding of the assets of the Companyand 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 Ind AS financial 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. In conducting our audit we have taken into account the provisions of theAct the accounting and auditing standards and matters which are required to be includedin the audit report under the provisions of the Act and the Rules made there under.

We conducted our audit in accordance with the Standards on Auditing specified underSection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the financial statements. The procedures selected depend on theauditor's judgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances. An audit also includes evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates made by the Company's Directors as well as evaluating the overall presentationof the 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.

OTHER MATTER:

The financial statements of the Company for the year ended 31st March 2017 wereaudited by other independent auditor whose report dated 28th May 2017 expressed anunqualified opinion on those statements. The balances as on 31st March 2017 have beenconsidered as opening balances for the purpose of these financial statements.

OPINION:

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid financial statements give the information required by the Actin the manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India of the state of affairs of the Company as at 31stMarch 2018 its Profit its cash flows for the year ended on that date and the statementof changes in equity.

REPORT ON OTHER LEGAL AND REGULATORY

REQUIREMENTS:

1. As required by The Companies (Auditor's Report) Order 2016 issued by CentralGovernment of India in terms of sub-section (11) of section 143 of the Companies Act 2013we give in the Annexure A a statement on the matters specified in paragraphs 3 and 4 ofthe Order.

2. As required by Section 143(3) of the Act we report that: a)We have sought andobtained all the information and explanations which to the best of our knowledge andbelief 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 the Statement of changes inequity and the Cash Flow Statement dealt with by this Report are in agreement with thebooks of account.

d) In our opinion the aforesaid financial statements comply with the Indian AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Indian Accounting Standards) (Amendment) Rules 2016.

e) On the basis of the written representations received from the directors as on 31stMarch 2018 taken on record by the Board of Directors none of the directors aredisqualified as on 31st March 2018 from being appointed as a director in terms of Section164 (2) of the Act.

f) With respect to the existence of the internal financial controls with reference tothe financial statements of the Company and the operating effectiveness of such controlsrefer to our separate report in Annexure B; and

g) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 o f t h e C o m p a n i e s ( A u d i t a n d Auditors)AmendmentRules 2014 in our opinion and to the best of our information and according to theexplanations given to us:

d i. The Company has disclosed the impact of pending litigations on its financialposition in its financial statements Refer Note no. 32 to the financial statements;

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

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

Company. Except shares in respect of which dividend has not been paid or claimed forseven consecutive years or more. The company is in the process of transferring such sharesto Investor Education and Protection Fund.

For M/S P. G. Bhagwat
Chartered Accountants
FRN- 101118W
Akshay B. Kotkar
Place : Kolhapur Partner
Date : 18.05.2018 Membership No. 140581

Annexure - A to the Auditor's Report

Referred to in paragraph 1 of our Report on Other Legal and Regulatory Requirements ofeven date to the Members of Menon Pistons Limited.

(i) In respect of Property Plant & Equipment:

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

(b) In our opinion the frequency of verification of Property Plant & Equipment isreasonable. According to information and explanations given to us no materialdiscrepancies were noticed on such verification.

(c) The title deeds of immovable properties are held in the name of the company.

(ii) The inventory was physically verified during the year by the management. In ouropinion the frequency of verification is reasonable. Discrepancies between the physicalstock and the book records noticed on verification were properly dealt with in the booksof accounts.

(iii) According to information and explanations given to us the Company has grantedloans secured or unsecured to companies firms or other parties covered in the registermaintained under section 189 of the Companies Act 2013 in respect of which;

(a) The terms and conditions of the grant of such loan are in our opinion prima facienot prejudicial to the Company's interest.

(b) The principal amount is repayable on demand and schedule of payment of interest hasbeen stipulated and repayments or receipts of principal amounts and interest have beenregular.

(c) There is no amount overdue for more than 90 days at the balance sheet date.

(iv) According to information & explanations given to us in our opinion in respectof loan investment guarantees and security provision of Sections 185 and 186 of theCompanies Act 2013 has been complied with.

(v) According to information and explanation given to us the Company has not acceptedany deposits from public accordingly the reporting under Clause 3 (v) of the Companies(Auditor's report) Order 2016 is not applicable to the Company.

(vi) We have broadly reviewed the books of accounts and records maintained by theCompany relating to manufacture of base metals castings (Auto-components of Aluminium& Steel) pursuant to the rules made by Central Government for the maintenance of costrecords under sub-section (1) of Section 148 of the Companies Act 2013 and are of theopinion that prima facie the prescribed accounts and records have been made andmaintained. We have however not made a detailed examination of the records with a viewto determining whether they are accurate or complete.

(vii) (a) According to information and explanation given to us the Company isgenerally regular in depositing undisputed statutory dues with appropriate authoritiesincluding provident fund employees' state insurance income-tax sales-tax service taxduty of customs duty of excise value added tax Goods and Service tax cess and anyother statutory dues applicable to it.

(b) According to information and explanation given to us there are no dues of Incometax Sales Tax Service Tax Duty of Custom Duty of Excise Goods and Service tax andCess which have not been deposited on account of any dispute other than those mentionedbelow:

Statutory Dues Forum Outstanding Balance
1 Sales Tax Dy. Commissioner of Sales Tax (Appeals) Pune. 500000
2 Service Tax Liability CCE (Appeals) Pune-II. 331000
3 Service Tax Liability (2009-10) CCE (Appeals) Pune-II. 96000
4 Central Sales Tax (2009-10) Sales Tax Tribunal Mumbai. 861544
5 Maharashtra Value Added Tax (2009-10) Sales Tax Tribunal Mumbai. 461450

(viii)According to information and explanations given to us the Company has notdefaulted in repayment of dues to any financial institution or bank.

(ix) According to the information and explanation given to us in our opinion theCompany has not raised money by way of initial public offer or further public offer(including debt instruments) and term loans.

Accordingly the reporting under Clause 3 (ix) of the Companies (Auditor's report)Order 2016 is not applicable to the Company.

(x) According to information and explanation given to us no fraud by the Company orany fraud on the Company by its officers or employees has been noticed or reported duringthe year.

(xi) According to information and explanation given to us and based on our examinationof the records of the Company managerial remuneration has been paid or provided inaccordance with the requisite approvals mandated by the provision of Section 197 read withschedule V to the Companies Act 2013.

(xii) The Company is not a Nidhi Company accordingly the reporting under Clause 3(xii) of the Companies (Auditor's report) Order 2016 is not applicable to the Company.

(xiii)According to information & explanation given to us in our opinion alltransactions with related parties are in compliance with sections 177 & 188 ofCompanies Act 2013 wherever applicable and the details have been disclosed in notes toaccounts of Financial Statements as per Indian Accounting Standard 24 - Related PartyDisclosures.

(xiv)According to Information & Explanation given to us the Company has not issuedshares by way of preferential allotment/private placement of shares or fully or partlyconvertible debentures during the year under review accordingly provisions of section 42of the Companies Act 2013 are not applicable to the Company.

(xv) According to information & explanation given to us the Company has notentered into non-cash transactions with directors or persons connected with him;accordingly provisions of section 192 are not applicable to the Company.

(xvi)According to information & explanation given to us the Company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934.

For M/S P. G. Bhagwat
Chartered Accountants
FRN- 101118W
Akshay B. Kotkar
Place : Kolhapur Partner
Date : 18.05.2018 Membership No. 140581

Annexure - B to the Auditor's Report

(Referred to in paragraph 2(f) of our Report on Other Legal and Regulatory Requirementsof even date to the Members of Menon Pistons Limited)

Report on the Internal Financial Controls with reference to Standalone Ind AS FinancialStatements under Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013("the Act")

We have audited the internal financial controls with reference to Standalone Ind ASFinancial Statements of Menon Pistons Limited ("the Company") as of 31st March2018 in conjunction with our audit of the Ind AS financial statements of the Company forthe 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 ('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 Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols with reference to financial statements based on our audit. We conducted our auditin accordance with the Guidance Note on Audit of Internal Financial Controls overFinancial Reporting (the "Guidance Note") and the Standards on Auditing issuedby ICAI and deemed to be prescribed under section 143(10) of the Companies Act 2013 tothe extent applicable to an audit of internal financial controls both applicable to anaudit of Internal Financial Controls and both issued by the Institute of CharteredAccountants of India. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether internal financial controls with reference to Financial Statements wereestablished and maintained and if such controls operated effectively in all materialrespects.

Our audit involves performing procedures to obtain audit evidence about the existenceof the internal financial controls with reference to financial statements and theiroperating effectiveness. Our audit of internal financial controls with reference toFinancial Statements included obtaining an understanding of internal financial controlswith reference to Financial Statements assessing the risk that a material weaknessexists and testing and evaluating the design and operating effectiveness of internalcontrol based on the assessed risk. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements 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 withreference to financial statements.

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 with reference to Standalone Ind AS Financial Statements including thepossibility of collusion or improper management override of controls materialmisstatements due to error or fraud may occur and not be detected. Also projections ofany evaluation of the internal financial controls over financial reporting with referenceto Standalone Ind AS Financial Statements to future periods are subject to the risk thatthe internal financial control over financial reporting with reference to Standalone IndAS Financial Statements 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 internal financial controlswith reference to financial statements and such internal financial controls were operatingeffectively as at March 31 2018 based on the internal control over financial reportingcriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting issued by the Institute of Chartered Accountants of India.

For M/S P. G. Bhagwat
Chartered Accountants
FRN- 101118W
Akshay B. Kotkar
Place : Kolhapur Partner
Date : 18.05.2018 Membership No. 140581