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PB Global Ltd.

BSE: 506580 Sector: Agri and agri inputs
NSE: N.A. ISIN Code: INE615W01011
BSE 05:30 | 01 Jan PB Global Ltd
NSE 05:30 | 01 Jan PB Global Ltd

PB Global Ltd. (PBGLOBAL) - Auditors Report

Company auditors report

TO THE MEMBERS OF PB GLOBAL LIMITED

Report on the Standalone Ind AS Financial Statements

We have audited the accompanying standalone Ind AS financial statements of PB GlobalLimited(‘the Company') which comprise the balance sheet as at 31 March 2021 thestatement of profit and loss the statement of cash flows and the statement of changes inequity for the year then ended and a summary of the significant accounting policies andother explanatory information.

Qualified Opinion

In our Opinion and to the best of our information and according to explanations givento us except for the possible Effects of the matter described in the basis of QualifiedOpinion paragraph above the aforesaid Standalone Ind AS financial statements give theinformation required by the Act in the manner so required and give a true & fair viewin conformity with the accounting principles generally accepted in India of the state ofaffairs of the Company as at 31st March 2021 and its profit total comprehensive incomeits cash flow and the changes in equity for the year ended on the date.

Basis of Qualified Opinion

On the basis of information received and audit evidence obtained we are of the opinionthat provision for employee benefit expenses is required to be made. As required by Ind

AS 19 "Employee Benefits" the Company is not making any provisions for the

Employee benefit accruing during the year. The Company has a policy to account for thesame on Cash basis.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the standalone financial statements of the current period.These matters were addressed in the context of our audit of the standalone financialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these matters. We have determined the matters described below to bethe key audit matters to be communicated in our report.

NO. KEY AUDIT MATTER PRINCIPAL AUDIT PROCEDURES/ AUDITOR'S RESPONSE
1. Non-responses of external confirmations request perpetrated pursuant to SA 505
COVID-19 has impacted the procedure of external confirmation request to vendors and customers. Postal facilities were not available in the near-end of the financial year. To combat this we had sent positive external confirmation requests through electronic modes. However due to suspension of business activities of many confirming parties there are fewer confirmations received than anticipated. In such events in accordance with SA auditors have to revise the assessed risk of material misstatement at the assertion level and modify the planned audit procedures. SA also directs the auditors to perform alternative audit procedures. We revised our assessed risk and have modified our audit procedures to mitigate these risks. We have obtained a reliable assurance pertaining to transactions with confirming parties in the sense for accurate and complete processing of routine and significant classes of transactions such as revenue purchases and cash receipts or cash purchases. We selected samples and tested the effectiveness of controls relating to accuracy and completeness of transactions in totality considering the frequency and regularity of transactions. We performed alternative audit procedures like follow-up confirmation requests verification of subsequent payments and receipts to verify part of the balances appearing in the original confirmation requests.

Management's Responsibility for the Standalone Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese standalone Ind AS financial statements that give a true and fair view of thefinancial position financial performance including other comprehensive income cash flowsand changes in equity of the Company in accordance with the accounting principlesgenerally accepted in India including the Indian Accounting Standards prescribed underSection 133 of the Act read with relevant rules issued there under.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company andfor preventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the standalone IndAS 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 standalone Ind AS financialstatements based on our audit. We have taken into account the provisions of the Act theaccounting and auditing standards and matters which are required to be included in theaudit report under the provisions of the Act and the Rules made there under. We conductedour audit in accordance with the Standards on Auditing specified under Section 143(10) ofthe Act. Those Standards require that we comply with ethical requirements and plan andperform the audit to obtain reasonable assurance about whether the standalone Ind ASfinancial statements are free from material misstatement. An audit involves performingprocedures to obtain audit evidence about the amounts and the disclosures in thestandalone Ind AS financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the standaloneIndAS financial statements whether due to fraud or error. In making those riskassessments the auditor considers internal financial control relevant to the Company'spreparation of the standalone IndAS financial statements that give a true and fair view inorder to design audit procedures that are appropriate in the circumstances. An audit alsoincludes evaluating the appropriateness of the accounting policies used and thereasonableness of the accounting estimates made by the Company's Directors as well asevaluating the overall presentation of the standalone Ind AS financial statements. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our audit opinion on the standalone IndAS financial statements.

EMPHASIS OF MATTER

We draw the attention towards the followings

Owing to continuous spreading of COVID -19 across of Uttar India the State Government31st May Pradesh announced a lockdown in April 2021 which remains in force till 2021 tocontain the on spread of the virus. This has resulted in restriction physical visit to theclient locations and the need for audit carrying out alternative Chartered procedures asper the Standards on Auditing prescribed by the Institute of Accountants of India (ICAI).

As a result of the above major portion of the audit was carried out based on remoteaccess of the data as provided the management. This has been carried out

Based on the advisory on "Specific Considerations while conducting Distance Audit/Remote Audit/ Online Audit under current Covid-19 situation" issued by the Auditingand Assurance Standards Board of ICAI. We have been represented by the management that thedata provided for our audit purposes is correct complete reliable and are directlygenerated by accounting system of the Company without any further manual modifications.

We bring to the attention of the users that the audit of the financial statements hasbeen performed in the aforesaid conditions.

Creditors Debtor Loans and advances are subject to confirmations from the respectiveparties.

Our opinion is not qualified in respect of the above.

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 section 143(11) of the Act we givein the "Annexure - A" a statement on the matters specified in the paragraph 3and 4 of the order.

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

A. We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purposes of our audit. B. in ouropinion proper books of account as required by law have been kept by the Company so far asit appears from our examination of those books; C. the balance sheet the statement ofprofit and loss the statement of cash flows and the statement of changes in equity dealtwith by this Report are in agreement with the books of account; D. in our opinion theaforesaid standalone IndAS financial statements comply with the Accounting Standardsspecified under Section 133 of the Act read with relevant rule issued there under; E. Onthe basis of the written representations received from the directors as on

31 March 2021 taken on record by the Board of Directors no director has beendisqualified to act as a Director of the Company.

F. with respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate report in "Annexure - B"; and G. with respect to the other matters tobe included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit andAuditors) Rules 2014 in our opinion and to the best of our information and according tothe explanations given to us:

i. the Company has disclosed the impact of pending litigations on its financialposition in its standalone Ind AS financial statements; ii. the Company has madeprovision as required under the applicable law or accounting standards for materialforeseeable losses if any on long-term contracts including derivative contracts;

iii. There were no amounts which were required to be transferred to the

Investor Education and Protection Fund by the Company.

For SSRV & ASSOCIATES
Chartered Accountants
FIRM NO. - 135901W
SD/-
Vishnukant Kabra
Partner
M.No: 403437
Place: Mumbai
Date: 05th July 2021

Annexure - A to the Auditors' Report

The Annexure referred to in Independent Auditors' Report to the members of the

Company on the standalone Ind AS financial statements for the year ended 31 March 2021we report that: i. The Company has maintained proper records showing full particularsincluding quantitative details and situation of fixed assets;

a. The Fixed Assets have been physically verified by the management in a phased mannerdesigned to cover all the items over a period of three years which in our opinion isreasonable having regard to the size of the company and nature of its business. Pursuantto the program a portion of the fixed asset has been physically verified by themanagement during the year and no material discrepancies between the books records and thephysical fixed assets have been noticed.

b. The title deeds of immovable properties are held in the name of the company.

ii. As explanation to us the inventory has been physically verified by the managementat reasonable intervals during the year. In our opinion and according to the informationand explanation given to us no material discrepancies notice on physical verification

iii. The Company has not availed loans from companies firms and other parties coveredin the Register maintained under section 189 of the Companies Act 2013. Thus paragraph3(iii) of the Order is not applicable to the Company.

iv. In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of section 185 and 186 of the Act with respectto the loans and investments made.

v. The Company has not accepted any deposits from the public. Thus paragraph

3(v) of the Order is not applicable to the Company.

vi. The Central Government has not prescribed the maintenance of cost records undersection 148(1) of the Act for any of the services rendered by the Company. Thusparagraph 3(vi) of the Order is not applicable to the Company. vii. (a) According to theinformation and explanations given to us and on the basis of our examination of therecords of the Company amounts deducted/ accrued in the books of account in respect ofundisputed statutory dues including Employee Provident Fund Employee Stock Insurancestatutory dues have been regularly deposited during the year by the Company with theappropriate authorities

Name of the statute Nature of dues Period to which the amount relates Amount due in Current Year Due date Date of Payment
INCOME TAX ACT 1961 TDS payable other than U/S192B 1st April 2020- 31stMarch 2021 Rs.726468.70 15th July2021 Not Paid Till the Reporting Date
INCOME TAX ACT 1961 TDS payable U/S192B 1st April 2020-31st March 2021 Rs.719009.00 15th July2021 Not Paid Till the Reporting Date
INCOME TAX ACT 1961 PROFESSIONAL TAX 1st April 2020-31st March 2021 Rs.30500 30th June2021 Not Paid Till the Reporting Date
GOODS AND SERVICE TAX ACT INCOME TAX 2020 GOODS & SERVICE TAX 1st April 2020-31st March 2021 Rs.15797397 .31 Rs.21500720 15th May2021 Not Paid Till the Reporting Date

(b) According to the information and explanations given to us and the records of thecompany examined by us there are no dues of income-tax sales- tax service tax goodsand service tax duty of customs duty of excise and value added tax which have not beendeposited on account of any dispute.

Statute Nature of dues/DIN & Notice No Amount Rs. Period to which the amount relates Forum where the dispute is pending
THE INCOME TAX ACT 1961 ITBA/AST/S/148/2021- 22/1032194872(1) U/S 147 Liability is uncertain as case in under process Assessment Year 2016-17 Income Tax Department
THE INCOME TAX ACT 1961 ITBA/AST/S/148/2021- 22/1032507041(1) U/S 147 Liability is uncertain as case in under process Assessment Year 2017-18 Income Tax Department
THE INCOME TAX ACT 1961 TBA/COM/F/17/2019- 20/1023771394(1) u/s 143(1)(a) Rs. 203050/- Assessment Year 2017-18 Income Tax Department
THE INCOME TAX ACT 1961 TBA/COM/F/17/2019- 20/1023771394(1) u/s 143(1)(a) Rs. 55280/- Assessment Year 2015-16 Income Tax Department
THE INCOME TAX ACT 1961 ITBA/COM/F/17/2019- 20/1023726293(1) Rs. 3056910/ Assessment Year 2019-20 Income Tax Department
Maharashtra Sales Tax (VAT) ASO/MUM-VAT-E- 621/1617/9013078 Rs.15032466/- Assessment Year 2012-13 Sales Tax Appeal (Maharashtra)
Maharashtra Sales Tax (CST) ASO/MUM-VAT-E- 621/1617/9013093 Rs. 6518936/- Assessment Year 2012-13 Central Sales Tax Appeal (Maharashtra)
Maharashtra Sales Tax (CST) MUM-VAT-E- 621/27060260845C/CST/CST/ 2021-22/3796841 Rs. 12371760/- Assessment Year 2014-15 Sales Tax Department (Maharashtra)
Maharashtra Sales Tax (CST) MUM-VAT-E- 621/27060260845C/CST/CST/ 2019-20/2370829 Rs. 3099846/- Assessment Year 2015-16 Sales Tax Department (Maharashtra)
Maharashtra Sales Tax (CST) MUM-VAT-E- 621/27060260845C/CST/CST/ 2020-21/3711559 Rs. 7549742/- Assessment year 2016-17 Sales Tax Department (Maharashtra)
Goods & Service Tax Summons (Central Tax) (Under Section 70 of the Central Goods & Services Tax Act 2017) Liability is uncertain as case in under process From July- 2017 to July- 2019 Goods & Service Tax Department
Goods & Service Tax State Tax Investigation (State Tax) Liability is uncertain as case in under process From July- 2017 to July- 2019 Goods & Service Tax Department

viii. Based on our audit process the Company has taken loans or borrowings fromfinancial institution banks. In our opinion and according to the information andexplanations given to us the Company has not defaulted in the repayment of dues to banks.

ix. Based upon the audit procedures performed and the information and explanationsgiven by the management the company has not raised moneys by way of further public offer.x. According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit.

xi. According to the information given based on our examination of the records of theCompany the Company has been paid or provided in accordance with the requisite approvalsmandated by the provisions of section 197 read with Schedule V to the Companies Act; xii.In our opinion and according to the information and explanations given to us the Companyis not a Nidhi company. Accordingly paragraph 3(xii) of the Order is not applicable.xiii. According to the information and explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with sections 177 and 188 of the Act where applicable and details of suchtransactions have been disclosed in the standalone IndAS financial statements as requiredby the applicable accounting standards. xiv. According to the information and explanationsgive to us and based on our examination of the records of the Company the Company has notmade preferential allotment of Non-Convertible Redeemable Preference shares during theyear. xv. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into non-cashtransactions with directors or persons connected with him. Accordingly paragraph 3(xv) ofthe Order is not applicable.

xvi. The Company is not required to be registered under section 45-IA of the Reserve

Bank of India Act 1934. Accordingly paragraph 3(xvi) of the Order is not applicable.

For SSRV & ASSOCIATES
Chartered Accountants
FIRM NO. - 135901W
SD/-
Vishnukant Kabra
Partner
M.No : 403437
Place: Mumbai
Date: 05th July 2021

Annexure - B to the Auditors' Report

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section

143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of P BGlobal LIMITED ("the Company") as of 31 March 2021 in conjunction with ouraudit of the standalone IndAS 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 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'). 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 company's policies the safeguarding ofits assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls over Financial Reporting(the

"Guidance Note") and the Standards on Auditing issued by ICAI and deemed tobe prescribed under section 143(10) of the Companies Act 2013 to the extent applicableto an audit of internal financial controls both applicable to an audit of InternalFinancial Controls and both issued by the Institute of Chartered Accountants of India.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 about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgment including the assessment of the risks ofmaterial misstatement of the standalone Ind AS financial statements whether due to fraudor error.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls systemover financial reporting.

Meaning of Internal Financial Controls over Financial Reporting

A company's internal financial control over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of financial statements for external purposes in accordance with generallyaccepted accounting principles. A company's internal financial control over financialreporting includes those policies and procedures that (1) pertain to the maintenance ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the company are being made only in accordance with authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized acquisition use or disposition of thecompany's assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.Also projections of any evaluation of the internal financial controls over financialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion 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 31 March 2021 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 ofChartered Accountants of India.

For SSRV & ASSOCIATES
Chartered Accountants
Firm Registration No - 135901W
SD/-
Vishnukant Kabra
Partner
Membership No: 403437
PLACE: - Mumbai
Date: 05th July 2021

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