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Parvati Sweetners and Power Ltd.

BSE: 541347 Sector: Agri and agri inputs
NSE: N.A. ISIN Code: INE295Z01015
BSE 00:00 | 06 Dec 1.63 -0.08
(-4.68%)
OPEN

1.71

HIGH

1.71

LOW

1.63

NSE 05:30 | 01 Jan Parvati Sweetners and Power Ltd
OPEN 1.71
PREVIOUS CLOSE 1.71
VOLUME 28
52-Week high 5.07
52-Week low 0.79
P/E 4.18
Mkt Cap.(Rs cr) 12
Buy Price 1.63
Buy Qty 7.00
Sell Price 1.71
Sell Qty 5.00
OPEN 1.71
CLOSE 1.71
VOLUME 28
52-Week high 5.07
52-Week low 0.79
P/E 4.18
Mkt Cap.(Rs cr) 12
Buy Price 1.63
Buy Qty 7.00
Sell Price 1.71
Sell Qty 5.00

Parvati Sweetners and Power Ltd. (PARVATISWEETNER) - Auditors Report

Company auditors report

To the Members of

Parvati Sweeteners & Power Limited Report On the FinancialStatements

We have audited the accompanying financial statements of ParvatiSweeteners & Power Limited ("the Company") which comprise the Balance Sheetas at March 31 2018 the Statement of Profit and Loss and Cash Flow Statement for theyear the ended and a summary of significant accounting policies and other explanatoryinformation.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters statedin Section 134(5) of the Companies Act2013 ("the Act") with respect to thepreparation of these financial statements that give a true and fair view of the financialposition financial performance and cash flowsof the Company in accordance with accountingprinciples generally accepted in India including the Accounting Standards specified undersection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014 and theCompanies (Accounting Standards) Amendment Rules 2016.

This responsibility also includes maintenance of adequate accountingrecords in accordance with the provisions of the Act for safeguarding of 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 the design implementation and maintenance of adequateinternal financial control that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe 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 financialstatements based on our audit.

We have taken into account the provisions of the Act the accountingand auditing standards and matters which are required to be included in the audit reportunder the provisions of the Act and the Rules made thereunder.

We conductedour audit in accordance with the Standards onAuditingissued by the Institute of Chartered Accountants of India as specified underSection 143(10) of the

Act.Those Standards require that we comply with ethical requirementsand plan and perform the audit to obtain reasonable assurance about whether the financialstatements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence aboutthe amounts and the disclosures in the standalone Ind AS financial statements. Theprocedures selected depend on the auditor's judgment including the assessment of therisks of material misstatement of the standalone Ind AS financial statements whether dueto fraud or error.

In making those risk assessments the auditor considers internalfinancial control relevant to the Company's preparation of the standalone Ind AS financialstatements that give a true and fair view in order to design audit procedures that areappropriate in the circumstances. An audit also includes evaluating the appropriateness ofthe accounting policies used and the reasonableness of the accounting estimates made bythe Company's Directors as well as evaluating the overall presentation of the standaloneInd AS financial statements.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the standalone Ind AS financialstatements.

Opinion

In our opinion and to the best of our information and according to theexplanations given to us the financial statements give the information required by theAct 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 2018 of its profit and its cash flows for the year ended on that date.

Emphasis of matter

We draw attention of the users to Note No. 8 to the financialStatements where large number of aged advances are given to suppliers but invoices for thesame are not obtained and resulted in non booking of expenses however we have notqualified the opinion since the amount involved does not affect true and fair view of thefinancial statements considering the size and nature of the Company.

Report On Other Legal And Regulatory Requirements

1. As required by the Companies (Auditor's report)Order 2016("the Order") issued by the Central Government of India in terms of sub-section(11) of section 143 of the Act we give in the Annexure 1 statement on the mattersspecified in paragraphs 3 and 4 of the Order.

2. As required by section 143 (3) of the Act we report that:

I. We have sought and obtained all the information and explanationswhich to the best of our knowledge and belief were necessary for the purpose of our audit;

ii. 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;

iii. The Balance Sheet Statement of Profit and Loss and Cash FlowStatement dealt with by this Report are in agreement with the books of account;

iv. In our opinion the a foresaid financial statements comply with theAccounting Standards specified under section 133 of the Act read with Rule 7 of theCompanies(Accounts) Rules 2014 and the Companies(Accounting Standards) AmendmentRules2016;

i. On the basis of written representations received from the directorsas on March 312018 and taken on record by the Board of Directors none of the directorsis disqualified as on March 31 2018 from being appointed as a director in terms ofsection 164 (2) of the Act;

ii. With respect to the adequacy of the internal financial controlsover financial reporting of the Company and the operating effectiveness of such controlsrefer to our separate Report in "Annexure 2" to this report;

iii. With respect to the other matters to be included in the Auditor'sReport in accordance with Rule 11 of the Companies (Audit andAuditors) Rules 2014 in ouropinion and to the best of our information and according to the explanations given to us:

a) The Company did not have any long-term contracts includingderivative contracts for which there were any material foreseeable losses.

b) There has been no delay in transferring amounts required to betransferred to the Investor Education and Protection Fund by the Company

For Khare Pamecha & Company

Chartered Accountants

ICAI Firm Registration Number: 06067C

Sd/-

Sumit Shastri Partner

Membership Number: 161894 Place: Indore Date: May 30 2018

Annexure 1 to the Independent Auditors' Report (referred to in ourreport of even date to the members of Parvati Sweetners & Power Limited as at and forthe year ended 31st March 2018)

(I) 4 (a) The Company has maintained proper records showing fullparticulars including quantitative details and situation of fixed assets.

(b) Fixed assets were physically verified by the management during theyear in accordance with a planned programme of verifying all of them once in three yearswhich in our opinion is reasonable having regard to the size of the Company and thenature of its assets. No material discrepancies were noticed on such verification.

(c) According to information and explanationsgiven by the managementthe title deeds of immovable properties included in Property Plant & Equipment whichare transferred to Company pursuant to Scheme of arrangement (Refer Note 2 (ii) to theFinancial Statements) are not held in the name of the Company.As explained to us stepsare being taken to complete the name transfer formalities.

(ii) The inventories have been physically verified during the year bythe management at reasonable intervals and no material discrepancies were noticed on suchphysical verification

(iii) According to the information and explanations given to us theCompany has not granted any loans secured or unsecured to companies firms LimitedLiability Partnerships or other parties covered in the register maintained under section189 of the Companies Act 2013. Accordingly theprovisions of clause 3(iii)(a) (b) and(c) of the Order are not applicable to the Company

(iv) In our opinion and according to the information and explanationsgiven to us there are no guarantees and securities granted in respect of which provisionsof section 185 and 186 of the Companies Act 2013 are applicable. Based on our auditprocedures performed and according to information and explanations given by themanagement the Company has complied with provisions of section 186 of the Act in respectof loans granted and investments

(v) The Company has not accepted any deposits with in the meaning ofSections 73 to 76 of the Act and the Companies (Acceptance of Deposits) Rules 2014 (asamended). Accordingly the provisions of clause 3(v) of the Order are not applicable.

(vi) We have broadly reviewed the books of account maintained by theCompany pursuant to the rules made by the Central Government for the maintenance of costrecords under section 148(1)of the Companies Act 2013 related to manufacture of itsproducts and are of the opinion that primafacie the specified accounts and records havebeen made and maintained. We have not however done a detailed examination of suchrecords.

(vii) (a) Undisputed statutory dues including provident fundemployees' state insurance income-taxGST sales-tax service tax duty of custom dutyof excise value added tax cess and other material statutory dues have generally beenregularly deposited with the appropriate authorities though there has been delay this yeardue to change in management in some cases.

(b) According to the information and explanations given to us noundisputed amounts payable in respect of provident fund employees' state insuranceservice tax sales-taxduty of custom duty of excise value added tax is payable at theyear end. However the amount GST and TDS were unpaid but none of the above are due formore than six months.

(Viii) In our opinion and according to information and explanationsgiven by the management the Company has not defaulted in repayment of dues to bank orgovernment. The Company did not have any outstanding dues in respect of financialinstitutions or debenture holders during the year.

(ix) In our opinion and according to the information and explanationsgiven by the management term loans were applied for the purpose for which the loans wereobtained. The Company has not raised any money by way of initial public offer / furtherpublic offer / debt instruments during the year.

(x) Based upon the audit procedures performed for the purpose ofreporting the true and fair view of the financial statements and according to theinformation and explanations given by the management we report that no fraud by theCompany or no material fraud on the Company by the officers and employees of the Companyhas been noticed or reported during the year.

(xi) Read with note 31(h) to the financial statements and according tothe information and explanations given by the management the managerial remuneration hasnot been paid / provided in accordance with the requisite approvals mandated by theprovisions of section 197 read with Schedule V to the Companies Act 2013.However the suchexcess remuneration has been written off and the amount is shown as recoverable underschedule 9 annexed to the financial statements

(xii) In our opinion the Company is not a Nidhi company. Thereforethe provisions of clause 3(xii) of the order are not applicable to the Company and hencenot commented upon.

(xiii) According to the information and explanations given by themanagement transactions with the related parties are in compliance with section 177and188 of Companies Act 2013 where applicable and the details have been disclosed in thenotes to the financial statements as required by the applicable accounting standards.

(xiv) According to the information and explanations given to us and onan overall examination of the balance sheet the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year under review and hence not commented upon.

(xv) According to the information and explanations given by themanagement the Company has not entered into any non-cash transactions with directors orpersons connected with him as referred to in section 192 of Companies Act 2013.

(xvi) According to the information and explanations given to us theprovisions of section 45-IA of the Reserve Bank of India Act 1934 are not applicable tothe Company.

For Khare Pamecha & Company

Chartered Accountants

ICAI Firm Registration Number: 06067C

Sd/-

CA Sumit Shastri Partner

Membership Number: 161894 Place: Indore Date: May 30 2018

Annexure 2 to the Independent Auditor's Report of Even Date on theFinancial Statements of Parvati Sweeteners & Power Limited

Report on the Internal Financial Controls under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013("the Act")

We have audited the internal financial controls over financialreporting of Parvati Sweeteners & Power Limited ("the Company") as of March31 2018 in conjunction with our audit of the financial statements of the Company for theyear ended on that date.

Management's responsibility for internal financial controls

The Company's Management is responsible for establishing andmaintaining 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 the Company's policies the safeguardingof its assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting recordsand the timely preparation of reliable financialinformation as required under the Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's internalfinancial controls over financial reporting based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls over FinancialReporting (the "Guidance Note") and the Standards on Auditing as specified undersection 143(10) of the Companies Act 2013to the extent 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 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 andoperating effectiveness of internal control basedon 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 and appropriate toprovide a basis for our audit opinion on the internal financial controls system overfinancial reporting.

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 the Company has in all material respects an adequateinternal financial controls system over financial reporting and such internal financialcontrols over financial reporting were operating effectively as at March 31 2018 basedon the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAudit of Internal Financial Controls Over Financial Reporting issued by the Institute ofChartered Accountants of India.

For Khare Pamecha & Company

Chartered Accountants

ICAI Firm Registration Number: 06067C

Sd/-

Sumit Shastri Partner

Membership Number: 161894 Place: Indore Date: May 30 2018