To the Members of ORIENT PRESS LIMITED
Report on the Audit of the Financial Statements
We have audited the accompanying Financial Statements of ORIENT PRESS LIMITED("the Company") which comprise the Balance Sheet as at 31st March2019 the Statement of Profit and Loss and Statement of Cash Flow for the period ended onthat date and notes to the financial statements including summary of significantaccounting policies and other explanatory information (hereinafter referred as the"Financial Statements")
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 Companies Act 2013 ("the Act") in the manner so required and give a trueand fair view in conformity with the Accounting Principles Generally accepted in India ofthe state of affairs of the Company as at March 31 2019 the profit and totalcomprehensive income its cash flows for the year ended on that
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 2013 and the Rules there underand we have fulfilled our ethical responsibilities in accordance with these requirementsand the Code of Ethics. We believe that the audit evidence we have obtained issufficientand appropriate to provide a basis for our opinion on the Standalone FinancialStatements.
Information Other than the Financial Statements and Auditors' Report Thereon
The Board of Directors are responsible for the other information. The other informationcomprises the information included in the annual report but does not include thefinancial statements and our auditor's report thereon. The annual report is expected to bemade available to us after the date of this auditor's report.
Our opinion on the financial statements does not cover the other information and wewill not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements our responsibility is to readthe other information identified above when it becomes available and in doing soconsider whether the other information is materially inconsistent with the financialstatements or our knowledge obtained in the audit or otherwise appears to be materiallymisstated.
When we read the annual report if we conclude that there is a material misstatementtherein we are required to communicate the matter to those charged with governance andreport it to respective regulatory authorities.
Responsibility of Management for 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 accounting policies; making ajudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the financial statement that give a true and fair view andare free from material misstatement whether due 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.
The Board of Directors are also responsible for overseeing the company's financialreporting process.
Auditor's Responsibilities for the Audit of the Financial Statements Our objectives areto obtain reasonable assurance about whether the financial statements as a whole are freefrom material misstatement whether due to fraud or error and to issue an other auditor'sreport that includes our opinion. Reasonable assurance is a high level of assurance butis not a guarantee that an audit conducted in accordance with SAs will always detect amaterial misstatement when it exists. Misstatements can arise from fraud or error and areconsidered material if individually or in the aggregate they could reasonably beexpected to influence the economic decisions of users taken on the basis of thesefinancial statements.
As part of an audit in accordance with SAs we exercise professional judgment andmaintain professional skepticism throughout the audit. We also:
i) Identify and assess the risks of material misstatement of the financial statementswhether due to fraud or error design and perform audit procedures responsive to thoserisks and obtain audit evidence that is sufficient and appropriate to provide a basis forour opinion. The risk of not detecting a material misstatement resulting from fraud ishigher than for one resulting from error as fraud may involve collusion forgeryintentional omissions misrepresentations or the override of internal control.
ii) 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 onwhether the company has adequate internal financial controls system in place and theoperating effectiveness of such controls.
iii) Evaluate the appropriateness of accounting policies used and the reasonableness ofaccounting estimates and related disclosures made by management.
iv) Conclude on the appropriateness of management's use of the going concern basis ofaccounting 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 such disclosures are inadequate to modify our opinion. Ourconclusions 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.
v) Evaluate the overall presentation structure and content of the financialstatements including the disclosures and whether the financial statements represent theunderlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statementsthat individually or in aggregate makes it probable that the economic decisions of areasonably knowledgeable user of the financial statements may be influenced. factors in(i) planning the scope of our audit work and in evaluating the results of our work; and(ii) to evaluate the effect of any identified misstatements in the financial statements.
We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant in internal control that we identifyduring 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.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act based on our audit we report that:
a) We have sought and obtained all the information and in explanations which to thebest of 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 standalone balance sheet the standalone statement of profit and loss (includingother comprehensive income) the standalone statement of changes in equity and thestandalone statement of cash flows dealt withby this Report are in agreement with thebooks of account.
d) In our opinion the aforesaid financial statements comply with the AccountingStandards 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 the directors as on 31stMarch 2019 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2019 from being appointed as a director in terms of Section164 (2) of the Act.
f) With respect to the adequacy of the internal financial if controls with reference tofinancial statements of the Company and the operating effectiveness of such controlsrefer to our separate Report in "Annexure B".
2) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinionand to the best of our information and according to the explanations given to us: a) TheCompany has disclosed the impact of pending litigations on its financial position in itsfinancial statements in notes 37(f).
b) The Company has made provision as required under the applicable law or accountingstandards for material foreseeable losses if any on long-term contracts
We consider including derivative contracts. quantitative materiality and qualitative c)The requirement of transferring amount to Investor Education and Protection Fund is notapplicable to the Company during the year ended 31stMarch 2019.
3) With respect to the matter to be included in the Auditor's Report under sectionaudit findings 197(16): including any In our opinion and according to the information andexplanations given to us the remuneration paid by the company to its directors during thecurrent year is in accordance with the provisions of Section 197 of the Act.
The remuneration paid to any director is not in excess of the limit laid down underSection 197 of the Act. The Ministry of Corporate Affairs has not prescribed other detailsunder Section 197(16) which are required to be commented upon by us.
4) As required by the Companies (Auditor's Report) Order 2016 ("the Order")issued by the Central Government in terms of Section 143(11) Act we give in"Annexure A" a statement paragraph 3 & 4 of the order to onthe mattersspecified the extent applicable.
"ANNEXURE A" TO THE AUDITOR'S REPORT
Annexure referred to in Para 4 of our Report of even date on the financial statementsfor the year ended March 31 2019 of ORIENT PRESS LIMITED.
Report as per Sub-section 11 of Section 143 of the Companies Act 2013 ("theAct").
Based on the audit procedures performed for the purpose of reporting a true and fairview of the financial statements the Company and taking into consideration the informationand explanations given to us and the books and other records examined by us in the normalcourse of our audit in our opinion and to the best of our knowledge we report that: i) Inrespect of Fixed Assets :
a) The Company has maintained proper records showing full particulars includingquantitative details and situation of property plant and equipment.
b) The property plant and equipment were physically verified during the year by theManagement in accordance with a regular programme of verification which in our opinionprovides for physical verification of all the property plant and equipment at reasonableintervals. 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 on the basis of ourexamination of the records of the Company the title deeds of immovable properties areheld in the name of the Company.
ii) As explained to us the inventories other than material lying with third parties(which have substantially been confirmed) the Management werephysically at reasonableintervals and no material discrepancies were noticed on such physical verification.
iii) The Company has not granted any loans secured or unsecured to companies firmsLimited Liability Partnerships or other parties covered in the Register maintained underSection 189 of the Companies Act 2013.
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 Companies Act 2013in respect of grant of loans making investments and providing guarantees and securitiesas applicable.
v) According to the information and explanations given to us the Company has compliedwith Sections 73 to 76 or any other relevant provisions of the Act and the rules framedthere under with regard to the deposits accepted. Accordingly there have been noproceeding before the Company Law Board or National Company Law Tribunal or any court orany other Tribunal in this matter and no order has been passed by any of aforesaidauthorities.
vi) The maintenance of cost records has been prescribed by the Central Government underSection 148(1) of the Companies Act 2013 in respect of specifiedproducts of the Company.For such products we have broadly reviewed the cost records maintained by the Companypursuant to the Companies (Cost Records and Audit) Rules 2014 as amended and are of theopinion that prima facie the prescribed cost records have been made and maintained.
We have however not made a detailed examination of the cost records with a view todetermine whether they are accurate or complete vii) According to the information andexplanations given to us in respect of statutory dues:
a. The Company has been regular in depositing undisputed statutory dues includingProvident Fund Employees' State Insurance Income-tax Goods and of Service Tax CustomsDuty Cess and other material statutory dues applicable to it with the appropriateauthorities.
b. The dues outstanding in respect of Sales- Tax duty of excise Value added Tax onaccount of any dispute are as follows:
| || || || ||(Rs. in Lakhs) |
|Name of the Statute ||Nature of dues ||Amount ||Period ||Forum where dis- pute is pending |
|The Maharash- tra Value Added Tax Act2002 ||Value Added Tax and interest ||11.17 ||F.Y.2005-06 ||Joint Commissioner of Sales Tax (Ap- peals) |
|The Central Sales Tax Act1956 ||Sales Tax and interest ||17.17 ||F.Y.2007-08 ||Appellate Tribunal |
|Dadra & Nagar Haveli Central Sales Tax Act1956 ||Sales Tax and interest ||22.78 ||F.Y.2014-15 ||Joint Commissioner of Sales Tax (Ap- peals) |
|The Maharash- tra Value Added Tax Act2002 ||Value Added Tax and interest ||0.17 ||F.Y.2014-15 ||Joint Commissioner of Sales Tax (Ap- peals) |
|The Central Sales Tax Act1956 ||Sales Tax and interest ||14.31 ||F.Y. 2011-12 ||Appellate Tribunal |
|The Central Ex- cise Act1944 ||Duty of excisepenalty and interest ||11.24 ||April2014 to November 2015 ||Commissioner of (Appeals) Central Excise |
|Total || ||76.84 || || |
|Out of above amount paid under protest || ||-10.57 || || |
|Net Amount || ||66.27 || || |
viii) In our opinion and according to the information and explanations given to us theCompany has not defaulted in repayment of loan or borrowings to the banks government andfinancial institutions. The Company does not have any debentures issued/outstanding at anytime during the year.
ix) In our opinion and according to the information and explanations given to usmonies raised by way of the term loans during the year have been applied by the Companyfor the purposes for which they were raised. The Company has not raised any money by wayof initial public offer or further public offer (including debt instruments) during theyear.
x) To the best of our knowledge and according to the information and explanations givento us no fraud by the Company and no material fraud on the Company by its officersoremployees has been noticed or reported during the year.
xi) In our opinion and according to the information and explanations given to us theCompany has paid / provided managerial remuneration in accordance with the requisiteapprovals mandated by the provisions of Section 197 read with Schedule V to the CompaniesAct 2013.
xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of theOrder is not applicable.
xiii) In our opinion and according to the information and explanations given to us theCompany is in compliance with Sections 177 and 188 of the Companies Act 2013 whereapplicable for all transactions with the related parties and the details of related partytransactions have been disclosed in the standalone financial statements etc. as requiredby the applicable Indian accounting standards.
xiv) According to the information and explanations given to us and based on ourexamination of the records of the company the Company has not made any preferentialallotment or Private placement of shares or fully or partly convertible debenture duringthe year. Accordingly provision of clause 3(xiv)of the order is not applicable.
xv) In our opinion and according to the information and explanations given to usduring the year the Company has not entered into any non-cash transactions with itsdirectors or directors of its holding subsidiary or associate company or personsconnected with them and hence provisions of Section 192 of the Companies Act 2013 are notapplicable.
xvi) The Company is not required to be registered under Section 45-IA of the ReserveBank of India Act 1934.
"ANNEXURE B" TO THE AUDITOR'S REPORT
(Referred to in paragraph 1(f) under "Report on Other Legal and RegulatoryRequirements section of our report to the members of ORIENT PRESS LIMITED of even date)
Report on the Internal Financial controls under clause (i) of sub-section 3 of section143 of the Act
We have audited the internal financial controls over financial reporting of OrientPress Limited ("the Company") as of 31st March 2019 in conjunction with ouraudit of the standalone Ind AS financial statements of the Company for the year ended onthat date.
Management's Responsibility for Internal Financial Controls
The Company's management is responsible for establishing and fi controls based on theinternal control maintaininginternal over financial reporting criteria established by theCompany considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls over Financial Reporting issued by theInstitute of Chartered Accountants of India. These responsibilities include the designimplementation and maintenance of adequate internal financial controls that were operatingeffectively for ensuring the orderly and efficient conduct of its business includingadherence to company's policies the safeguarding of its assets the prevention anddetection of frauds and errors the accuracy and completeness of the accounting recordsand the timely preparation of reliable financialinformation as required under theCompanies Act 2013.
Our responsibility is to express an opinion on the internal financial controls overfinancial reporting of the Company based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting (the "Guidance Note") issued by the Institute of Chartered Accountantsof India and the Standards on Auditing prescribed under Section 143(10) of the CompaniesAct 2013 to the extent applicable to an audit of internal financial controls.
Those Standards and the Guidance Note require that we comply with ethical requirementsand plan and perform the audit to obtain reasonable assurance about whether adequateinternal financial controls over financial reporting was established and maintained and ifsuch controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy oftheinternalfinancialcontrols 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 judgement including the assessment of the risks ofmaterial misstatement of the financial statements whether due to fraud or error. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our audit opinion on the Company's internal financial controls system overfinancial 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.
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.
In our opinion to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at 31st March 2019 based on the criteria forinternal control over financial reporting established by the Company considering theessential components of internal control stated in the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.
For SARDA & PAREEK
Firm's Registration Number: 109262W
CA. Giriraj Soni
Membership Number: 109738
May 30 2019