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Penta Gold Ltd.

BSE: 535074 Sector: Consumer
NSE: PENTAGOLD ISIN Code: INE175Y01012
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Penta Gold Ltd. (PENTAGOLD) - Auditors Report

Company auditors report

To

The Members of PENTA GOLD LIMITED

Report on the Audit of the Standalone financial statements Qualified Opinion

We have audited accompanying Standalone Standalone financial statements of Penta GoldLimited ("the Company") which comprise the Balance Sheet as at 31st March 2021the statement of Profit and Loss and the cash flow statement for the year then ended on31st March 2021 and a summary of significant accounting policies and other explanatoryinformation (hereinafter referred to as "the Standalone financial statements")

In our opinion and to the best of our information and according to the explanationsgiven to us except for the possible effects of the matters described in the Basis forQualified Opinion section of our report the aforesaid Standalone financial statementsgive the information required by the Companies Act 2013 ("the Act") in themanner 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 31March 2021 and Statement of Profit & Loss and its Cash Flow Statement for the yearended on that date.

Basis for Qualified Opinion

As explained in note 23.12. to the Standalone financial statements amongst the totalinventory worth 262.28 crores as on 31st March 2021 majority of Inventories were lyingwith the third parties for which confirmation was obtained by the management.

Since these stocks were lying with the third parties we were not able to physicallyverify the Inventories and hence in absence of the physical verification of theInventories we are unable to comment upon the condition & existence of the Inventorybased on third party confirmations and hence we are unable to comment on the impact ifany of the same on the accompanying Standalone financial statements.

We conducted our audit of the Standalone financial statements in accordance with thestandards on Auditing specified under section 143(10) of the Act (SAs). Ourresponsibilities 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 independencerequirements 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 evidence we have obtained is sufficient and appropriateto provide a basis for our audit opinion on the Standalone financial statements.

Emphasis of Matter

(Rs in 000"s except otherwise mentioned specifically)

i. We draw attention to following points as mentioned in note 23.8. "SecuredLoans" to the accompanying Standalone financial statements regarding Secured loans

w.r.t repayment of overdrawn account and further no interest has been debited by axisbank for ail the facilities from the month of December 2020 moreover on 09hApril 2021 bank has matured FD of ? 4320.00 which was given as collateral security againstthe said facilities at ? 5692.95 (including accrued interest of ? 1372.95)

b. Facilities with SBI Bank

The Cash Credit facility has been overdrawn by ? 1010.89 as at 31-03-2021The companyhave accepted offer for restructuring through additional limit for the said facility videletter dated 22nd June 2021 in accordance with RBI guidelines dated 05thMay 2021 which is still pending with the State Bank of India

The Guaranteed Emergency Credit Line facility has been overdrawn by ? 100.56 as at31-03- 2021The company have accepted offer for restructuring through rescheduling of termloan for the said facility vide letter dated 22nd June 2021 in accordance withRBI guidelines dated 05th May 2021 which is still pending with the State Bankof India

c. Facilities with karur Vvsva Bank

All the facilities with Karur Vysya bank (i.e. Cash Credit Facility & FundedInterest Term Loan) are classified as NPA w.e.f. 23rd March 2021 on account ofirregularities w.r.t repayment of overdrawn account further Karur Vysya Bank has initiatedproceeding u/s 13(2) of SARFAESI Act through notice dated 09th June 2021directing to pay the entire outstanding amount within 60 days of receipt of notice towhich company is in process to submit its reply

d. Loan Outstanding of ICICI Bank - Export Packing Credit

The said facility has been cancelled on 06th March 2020 duly maturing allthe FDs lien due to non- compliance with terms & conditions with credit arrangementletter. Accordingly all the requisite provisions for Interest Cancellation of ForwardContracts & other charges was already made in last year ended March 2020 and furtherbank has already called for outstanding balance of ? 1975.00 which is outstanding as at 31stMarch 2021 to which company is in process of complying

ii. We draw attention to note 23.11. to the accompanying Standalone financialstatements regarding the delays in fulfilling the export obligation of total 758.37 kgImported raw gold beyond the timelines stipulated under Advance Authorisation obtainedfrom DGFT The Company is under proceeding for the said matter with Chief Commissioner ofCustoms.

iii. We draw attention to note 23.13. to the accompanying Standalone financialstatements regarding the delay in payment of foreign currency against Imports worth ?1246933.75 which has been outstanding for more than permissible limits for which thecompany has made application to authorized dealer to regularize the same.

iv. We draw attention to note 23.14. to the accompanying Standalone FinancialStatements regarding the delays in receipt of proceeds denominated in foreign currencyagainst export of goods made by the Company to its overseas customers aggregating to ?1461547.13 which have been outstanding for more than permissible limits. The Company isin process of filling necessary applications to authorize dealer/ Reserve Bank of India toregularize the same and further company is regularly following up with the customers torealize the export proceeds at earliest.

Our opinion is not modified in respect of the above matter.

Key Audit Matters

(Rs in 000"s except otherwise mentioned specifically)

This section of our auditor's report is intended to describe the matters selected fromthose communicated with those charged with governance 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.

In addition to the matters described in the Basis for Qualified Opinion & Emphasisof matter paragraph we have determined the matters described below to be the key auditmatters to be communicated in our report

Description of Key Audit Matters:

The Key Audit Matter How our audit addressed the key audit matter
Recognition of Foreign Exchange Gain/Loss
The company has recorded ? 19275.08 as Net Foreign Exchange gain from Monetary Items during the year. The company is subject to foreign exchange fluctuation risk Our Procedures Included:

Assessing the effectiveness of the controls relating to the recognition of foreign currency transactions

As detailed in Significant Accounting Policies described in note J transactions in foreign currencies are recorded at actual rate on the date of transaction
Assessing all the hedging practices for foreign currency exposures through execution / cancellation of Forward Contracts
Monetary items denominated in foreign currencies at the end of the period are restated at the exchange rate prevailing at the end of period.

Assessing the adequacy of disclosure in note J of Significant accounting policies & note no 23.9. of other notes with respect to the disclosure requirements as per Financial Reporting Framework

Any income or expense on account of exchange difference either on settlement or on translation is recognized in the Statement of Profit and Loss.

Information Other than the Standalone financial statements and Auditor's Report Thereon

The Company's Board of Directors is responsible for the preparation of the otherinformation. The other information comprises the information included in the ManagementDiscussion and Analysis Board's Report including Annexures to Board's Report but does notinclude the Standalone financial statements and our auditor's report thereon

Our opinion on the Standalone financial statements does not cover the other informationand we do not express any form of assurance conclusion thereon.

In connection with our audit of the standalone financial statements our responsibilityis to read the other information and in doing so consider whether the other informationis materially inconsistent with the Standalone financial statements or our knowledgeobtained during the course of our audit or otherwise appears to be materially misstated.

If based on the work we have performed we conclude that there is no a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.

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 preparationand presentation of these Standalone financial statements that give a true and fair viewof the financial position financial performance and cash flows of the Company inaccordance with the accounting principles generally accepted in India including theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingthe assets of the Company and for preventing and detecting frauds and otherirregularities; selection and application of appropriate accounting policies; makingjudgments 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 Standalone financial statements that give a true andfair view and are free from material misstatement whether due to fraud or error.

In preparing the Standalone financial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablematters related to going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the Company or to cease operations or has norealistic alternative but to do so.

The Board of Directors are responsible for overseeing the Company's financial reportingprocess.

Auditor's Responsibility for the Audit of the Standalone financial statements

Our objectives are to obtain reasonable assurance about whether the Standalonefinancial statements as a whole are free from material misstatement whether due to fraudor error and to issue an auditor's report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material misstatement when it exists. Misstatements canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the economic decisions of userstaken on the basis of these Standalone financial statements.

As part of an audit in accordance with SAs we exercise professional judgment andmaintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the Standalonefinancial statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.

• Obtain an understanding of internal financial controls relevant to the audit inorder to design audit procedures that are appropriate in the circumstances. Under section143(3)(i) of the Act we are also responsible for expressing our opinion on whether theCompany has adequate internal financial controls system in place and the operatingeffectiveness of such controls.

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

• Conclude on the appropriateness of management's use of the going concern basisof accounting 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 Standalone financial statements or if such disclosures are inadequate to modify ouropinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditor's report. However future events or conditions may cause the Company to cease tocontinue as a going concern.

• Evaluate the overall presentation structure and content of the Standalonefinancial statements including the disclosures and whether the Standalone financialstatements represent the underlying transactions and events in a manner that achieves fairpresentation.

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 Standalone financial statements may be influenced. Weconsider quantitative materiality and qualitative factors in (i) planning the scope of ouraudit work and in evaluating the results of our work; and (ii) to evaluate the effect ofany identified misstatements in the Standalone financial statements.

We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the Standalone financial statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditor's report unless law or regulation precludes public disclosure about thematter or when in extremely rare circumstances we determine that a matter should not becommunicated in our report because the adverse consequences of doing so would reasonablybe expected to outweigh the public interest benefits of such communication.

Report on other Legal and regulatory Requirements

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

(a) Except for the matters stated in basis for qualified opinion paragraph we havesought and obtained all the information and explanations which to the best of ourKnowledge and belief were necessary for the purposes of our audit.

(b) Except for the matters stated in basis for qualified opinion paragraph In ouropinion proper books of account as required by law have been kept by the Company so faras it appears from our examination of those books;

(c) The Balance Sheet the Statement of Profit and Loss and the Cash flow statementdealt with by this Report are in agreement with the books of accounts;

(d) Except for the matters stated in basis for qualified opinion paragraph In ouropinion the aforesaid Standalone 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 2021 taken on record by the Board of Directors none of the directors isdisqualified as on 31s' March 2021 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 over financialreporting of the Company and the operating effectiveness of such controls refer to OUrseparate report in ‘Annexure A';

(g) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of Companies (Audit and Auditors) Rules 2014 in our opinion andto the best of our information and according to the explanation given to us:

i. The Company has disclosed the impact of pending litigations on its financialposition in its Standalone financial statements - Refer to Note 23.10. to the Standalonefinancial statements;

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

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company. The question of delay in transferring suchsums does not arise.

2. 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 ofthe Act we give in the Annexure'B' a statement on the matters specified in the paragraph3 and 4 of the Order.

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 1(f) under ‘Report on Other Legal and RegulatoryRequirements' section of our report to the Members of Penta Gold Limited of even date)

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

We have audited the internal financial controls over financial reporting of Penta GoldLimited ("the Company") as of 31st March 2021 in conjunction withour audit of the Standalone financial statements of the Company for the year ended on thatdate.

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. These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to company's policies the safeguarding of its assets the preventionand detection of frauds and errors the accuracy and completeness of the accountingrecords and the timely preparation of reliable financial information as required underthe Companies Act 2013.

Auditor's 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") issued by the Institute of Chartered Accountants of Indiaand the Standards on Auditing prescribed under Section 143(10) of the Companies Act 2013to the 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 adequate 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 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 financial statements whether due to fraud orerror.

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 Standalone financial statements for external purposes in accordance withgenerally accepted accounting principles. A company's internal financial control overfinancial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of Standalonefinancial statements in accordance with generally accepted

accounting principles and that receipts and expenditures of the company are being madeonly in accordance with authorizations of management and directors of the company: and (3)provide reasonable assurance regarding prevention or timely detection of unauthorizedacquisition use or disposition of the company's assets that could have a material effecton the Standalone 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.

Qualified Opinion

According to the information and explanations given to us and based on our audit thefollowing material weakness has been identified in the operating effectiveness of theCompany's internal financial controls system over financial reporting as at 31 March 2021:

The Company's internal controls over financial reporting with respect to theInventories lying with the third parties which cannot be verified physically were notoperating effectively which could result in a potential material misstatement in thecarrying value of inventory cost of goods sold and its consequential impact on theearnings reserves and related disclosures in the Standalone financial statements.

A ‘material weakness' is a deficiency or a combination of deficiencies ininternal financial controls over financial reporting such that there is a reasonablepossibility that a material misstatement of the company's annual or interim Standalonefinancial statements will not be prevented or detected on a timely basis

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 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 of CharteredAccountants of India and except for the possible effects of the material weaknessdescribed above on the achievement of the objectives of the control criteria theCompany's internal financial controls over financial reporting were operating effectivelyas at 31 March 2021.

ANNEXURE "B" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 2 under the heading "Report on other Legal andRegulatory Requirements" of our report on even date to the members of Penta GoldLimited of even date.)

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

(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

(b) All fixed assets have been physically verified by the management in a phasedperiodical manner which in our opinion is reasonable having regard to the size of theCompany and nature of its assets. No material discrepancies were noticed on such physicalverification.

(c) According to the information and explanation given to US and based on the recordsproduced before us the title deed of immovable properties are held in the name of thecompany.

ii. In our opinion except for the possible effects of the matter described in the Basisfor Qualified Opinion paragraph the management has conducted physical verification ofinventory at reasonable intervals during the year except for stocks lying with thirdparties. For stocks lying with third parties at the year- end written confirmations havebeen obtained by the management from Third Parties. No material discrepancies were noticedon the aforesaid verification.

iii. According to the information and explanation given to us the Company has notgranted any secured/unsecured loans to companies firms or other parties listed in theregister maintained under section 189 of the Companies Act 2013.

iv. In our opinion and according to the information and explanations given to us thereare no loans investments guarantees and securities granted in respect of whichprovisions of section 185 and 186 of the Companies Act 2013 are applicable and hence notcommented upon.

v. The Company has not accepted any deposits within the meaning of section 73 to 76 ofthe Act and the Companies (Acceptance and Deposits) Rules 2014 (as amended). Accordinglythe provisions of clause 3(v) of the order are not applicable.

vi. The Central Government has not prescribed the maintenance of cost records undersection 148(1) of the Act in respect of activities of the company.

vii. According to the information and explanations given to us in respect of statutorydues:

(a) The Company has generally been regular in depositing undisputed statutory duesincluding Income Tax Sales Tax Wealth Tax Service Tax duty of Customs Duty of ExciseValue Added Tax Goods & Service Tax Cess and other material statutory duesapplicable to it to the appropriate authorities. According to the information andexplanations given to us no undisputed amounts payable in respect of the aforesaid dueswere outstanding as at 31st March 2021 for a period of more than six monthsfrom the date of becoming payable except for the following:

Name of the Statute Nature of the dues

Amount (f in 000's)

Period Due Date Date of Payment
Income Tax Act 1961 Income Tax (Including Interest)

? 13613.41

FY 2019- 20 15th February 2021 Not paid yet
Income Tax Act 1961 Income Tax (Including Interest)

? 469.16

FY 2018- 19 30th November Not paid yet
2019
Income Tax Act 1961 TDS ? 56.37

April 2020

7lh May 2020 Not Paid yet
Income Tax Act 1961 TDS ? 66.83

May 2020

7th June 2020 Not Paid yet
Income Tax Act 1961 TDS ? 80.69

June 2020

7th July 2020 Not Paid yet
Income Tax Act 1961 TDS ? 59.49

July 2020

7th August 2020 Not Paid yet
Income Tax Act 1961 TDS ? 57.01

August 2020

7m September 2020 Not Paid yet
Income Tax Act 1961 TDS ? 114.391

September 2020

7th October 2020 Not Paid yet

(b) Details of dues of Income Tax Sales Tax Wealth Tax Service Tax duty of CustomsDuty of Excise Value Added Tax Goods & Service Tax and Cess which have not beendeposited as on 31s1 March 2021 on account of disputes are given below:

Name of the Statute Nature of the dues Amount (? in 000's) Amount Paid under protest Period Forum
Income Tax Act 1961 Income Tax ? 13065.48 2613.10 FY 2013-14 Commissioner of Income Tax (Appeals)
Customs Act 1962 Penalty under Customs ? 1200.00 - FY 2013-14 Customs Excise and Service Tax Appellate Tribunal

viii. In our opinion and according to the information and explanations given to usduring the year the company has defaulted in the repayment of Term loan to banks &other financial institutions and Foreign Currency Demand Loan & Cash Credit Facilitiesfrom bank has been overdrawn as on 31B* March 2021

Lender wise defaults which are outstanding as on 31st March 2021 arementioned as follows:

Lenders Facility type Nature of Default & Remarks
Axis Bank Foreign Currency Demand Loan • All the said facilities has been classified as NPA as stated in Emphasis of matter para
Cash Credit "i.a" above
Funded Interest Term Loan • Cumulative Sanctioned Limit for all the facilities is ?. 200000.00 Whereas outstanding loan as at balance sheet date is?. 226522.08
• No Interest has been charged by Bank from the month of December 2020 and account has been overdrawn from 01st September 2020 i.e. post moratorium granted by bank in pursuant to guidelines issued by RBI
• Amount overdrawn as on 31s1 March 2021 is ?. 26522.08 (which includes currency fluctuation off 4723.21).
State Bank of India Cash Credit Facility • The company have opted for restructuring seeking additional limit as stated in Emphasis of matter para "i.b" above
• Sanctioned Limit for the facility is f 80000.00 Whereas outstanding loan as at balance sheet date is f. 81010.89
• Account has been overdrawn as on 31st March by f 1010.89
Guaranteed Emergency Credit Line • The company have opted for restructuring seeking rescheduling of term loan as disclosed in Emphasis of matter para "i.b" above
• Sanctioned Limit for the facility is f 16000.00 Whereas outstanding loan as at balance sheet date is f. 16100.56
• Account has been overdrawn as on 31s1 March by f 100.56
Karur Vysya Bank Cash Credit Facility Funded Interest Term Loan • All the said facilities has been classified as NPA as stated in Emphasis of matter para "i.c" above
• Cumulative Sanctioned Limit for all the facilities is f.80000.00 Whereas outstanding loan as at balance sheet date is ?. 93787.54
• The account has been overdrawn from 01st September 2020 i.e. post moratorium granted by bank in pursuant to guidelines issued by RBI
• Amount overdrawn as on 31st March 2021 is f.13787.54.
ICICI Bank Export Packing Credit • The said facility has been cancelled due to breach of terms & conditions of credit arrangement letter as stated in Emphasis of matter para "i.d" above
• The complete outstanding balance as at 31st march 2021 off 1975.00 is overdrawn since limit has been cancelled
Unsecured Term Loan • As at 31st March 2021 there was Outstanding default in payment of f.717.5 belonging to period December 2020 to March 2021
• (Principal - f 513.40 Interest - f 200.32 & other charges -f 3.78)
• No payment has been made till date of signing
IIFL Finance Ltd Unsecured Term Loan • As at 31st March 2021 there was Outstanding default in payment of f .476.07 belonging to period February 2021 to March 2021
• (Principal - f 386.21 Interest - ? 56.70 & other charges -f 33.16)
• No payment has been made till date of signing
Unsecured Guaranteed Emergency Credit Line • As at 31st March 2021 there was Outstanding default in payment of f.9.25 belonging to period March 2021
• (Interest- f 6.30 & other charges -f2.95)
• No payment has been made till date of signing
Capfloat Finance Service Private Limited Unsecured Term Loan • As at 31st March 2021 there was Outstanding default in payment of f.774.54 belonging to period January 2021 to March 2021
• (Principal - f 728.89 Interest - f 45.48 & other charges - f 0.17)
• The company have further paid f 239.14 against principal & f 18.99 against interest after balance sheet date on 24th May 2021
Tata Capital Finance Services Limited Unsecured Term Loan • As at 31s' March 2021 there was Outstanding default in payment of f 1021.81 belonging to period April 2020 & September 2020
• (Principal - 899.67 Interest - 21.90 & overcharges - 100.24)
• No payment has been made till date of signing
Unsecured Term Loan • As at 31st March 2021 there was outstanding default in payment off. 981.30 belonging to period December 2020 to March 2021
• (Principal - 769.68 Interest - 49.35 & other charges -162.27)
• No payment has been made till date of signing
Magma Fincorp Limited Unsecured Term Loan • As at 31st March 2021 there was Outstanding default in payment of f 1744.11 belonging to period September 2020 to March 2021
• (Principal - 1598.83 Interest - 92.67 & other charges - 52.61)
• No payment has been made till date of signing

ix. In our opinion and according to the information and explanation given to us theCompany has not raised any funds by way of initial public offer or further public offer(including debt instruments) and term loans during the year. Accordingly paragraph 3 (ix)of the Order is not applicable.

X. Based upon the audit procedures performed for the purpose of reporting the true andfair view of the Standalone financial statements and according to the information andexplanations given by the management we report that no fraud by the company or on thecompany by the officers or employees of the company has been noticed or reported duringthe year.

xi. In our opinion and according to the information and explanations given to us theCompany has paid/ provided managerial remuneration in accordance with provisions ofsection 197 read with Schedule V to the Companies Act 2013.

xii. In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company as specified in the Nidhi Ruies 2014 and hence reportingunder clause (xii) of Paragraph 3 of the Order is not applicable.

xiii. According to the information and explanations given by the managementtransactions with the related parties are in compliance with section 177 and 188 ofCompanies Act 2013 where applicable and the details have been disclosed in the notes tothe Standalone financial statements as required by the applicable accounting standards.

xiv. According to the information and explanation given to us during the year theCompany has not made any preferential allotment or private placement of shares or fully orpartly convertible debentures and hence reporting under clause (xiv) of CARO 2016 is notapplicable to the Company.

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 persons connected with him and hence provisions of section 192 of theCompanies Act 2013 are not applicable.

xvi. The Company is not required to be registered under section 45-I of the ReserveBank of India Act 1934.

.