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Raja Bahadur International Ltd.

BSE: 503127 Sector: Infrastructure
NSE: N.A. ISIN Code: INE491N01016
BSE 00:00 | 05 Aug 4050.00 -150.00
(-3.57%)
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NSE 05:30 | 01 Jan Raja Bahadur International Ltd
OPEN 4100.50
PREVIOUS CLOSE 4200.00
VOLUME 35
52-Week high 13704.90
52-Week low 3231.80
P/E
Mkt Cap.(Rs cr) 101
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 4100.50
CLOSE 4200.00
VOLUME 35
52-Week high 13704.90
52-Week low 3231.80
P/E
Mkt Cap.(Rs cr) 101
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Raja Bahadur International Ltd. (RAJABAHADURINT) - Auditors Report

Company auditors report

To

The Members of

Raja Bahadur International Limited

Report on the Audit of the Standalone Financial Statements

Opinion

We have audited the financial statements of Raja BahadurInternational Limited ("the Company") which comprise the balance sheet asat 31st March 2022 and the statement of Profit and Loss and statement of cash flows forthe year then ended and notes to the financial statements including a summary ofsignificant accounting policies and other explanatory information.

In our opinion and to the best of our information and according to theexplanations given to us the aforesaid financial statements give the information requiredby the Act 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 31st March 2022 its loss and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Accounting(SAs) specified under section 143(10) of the Companies Act 2013. Our responsibilitiesunder those Standards are further described in the Auditor's Responsibilities for theAudit of the Financial Statements section of our report. We are independent of the Companyin accordance 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 Act 2013 and the Rulesthereunder and we have fulfilled our other ethical responsibilities in accordance withthese requirements and the Code of Ethics. We believe that the audit evidence we haveobtained is sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

We draw your attention to the following:

Note No 32 to the standalone financial statements which explains theuncertainties and the management's assessment of the financial impact due to therestrictions and other conditions related to the Covid19 pandemic situation for which adefinitive assessment of the impact of the event in the subsequent period is dependentupon circumstances as they evolve.

Our opinion is not modified in respect of above matters.

Key Audit Matters

Key audit matters are those matters 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.

Information other than the financial statements and auditors' reportthereon

The Company's board of directors is responsible for the preparation ofthe other information. The other information comprises the information included in theBoard's Report including Annexures to Board's Report but does not include the financialstatements and our auditor's report thereon.

Our opinion on the financial statements does not cover the otherinformation and we do not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements ourresponsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the financial statements or ourknowledge obtained during the course of our audit or otherwise appears to be materiallymisstated.

If based on the work we have performed we conclude that there is amaterial misstatement of this other information we are required to report that fact. Wehave nothing to report in this regard.

Responsibilities of Management and Those Charged with Governance forthe Financial Statements

The Company's Board of Directors is responsible for the matters statedin section 134(5) of the Companies Act 2013 ("the Act") with respect to thepreparation of these 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 Indian AccountingStandards (Ind AS) specified under section 133 of the Act. This responsibility alsoincludes maintenance of adequate accounting records in accordance with the provisions ofthe Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate accountingpolicies; making judgments and estimates that are reasonable and prudent; and designimplementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.

In preparing the 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.

Those Board of Directors are also responsible for overseeing theCompany's financial reporting process.

Auditor's Responsibilities for the Audit of the Financial Statements

Our objectives are to obtain reasonable assurance about whether thefinancial 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 financial statements.

As part of an audit in accordance with SAs we exercise professionaljudgment and maintain professional skepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of thefinancial 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 control relevant to theaudit in order to design audit procedures that are appropriate in the circumstances. Undersection 143(3)(i) of the Companies Act 2013 we are also responsible for expressing ouropinion on whether the company has adequate internal financial controls system in placeand the operating effectiveness of such controls.

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

• Conclude on the appropriateness of management's use of the goingconcern basis of accounting and based on the audit evidence obtained whether a materialuncertainty exists related to events or conditions that may cast significant doubt on theCompany's ability to continue as a going concern. If we conclude that a materialuncertainty exists we are required to draw attention in our auditor's report to therelated disclosures in the financial statements or if such disclosures are inadequate tomodify our opinion. Our conclusions are based on the audit evidence obtained up to thedate of our auditor's report. However future events or conditions may cause the Companyto cease to continue as a going concern.

• Evaluate the overall presentation structure and content of thefinancial statements including the disclosures and whether the financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

Materiality is the magnitude of misstatements in the standalonefinancial statements that individually or in aggregate makes it probable that theeconomic decisions of a reasonably knowledgeable user of the standalone financialstatements may be influenced. We consider quantitative materiality and qualitative factorsin (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 standalone financialstatements.

We communicate with those charged with governance regarding amongother matters the planned scope and timing of the audit and significant audit findingsincluding any significant deficiencies in internal control that we identify during ouraudit.

We also provide those charged with governance with a statement that wehave complied with relevant ethical requirements regarding independence and tocommunicate with them all relationships and other matters that may reasonably be thoughtto bear on our independence and where applicable related safeguards.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2020("the Order") issued by the Central Government of India in terms of sub-section(11) of section 143 of the Companies Act 2013 we give in the 'Annexure A' a statementon the matters specified in paragraphs 3 and 4 of the Order to the extent applicable.

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

a) We have sought and obtained all the information and explanationswhich to the best of our knowledge and belief were necessary for the purposes of ouraudit.

b) 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.

c) The Balance Sheet the Statement of Profit and Loss and the CashFlow Statement dealt with by this Report are in agreement with the books of account.

d) In our opinion the aforesaid financial statements comply with theIndian Accounting Standards (Ind AS) specified under Section 133 of the Act read withRule 7 of the Companies (Accounts) Rules 2014.

e) On the basis of the written representations received from thedirectors as on 31st March 2022 taken on record by the Board of Directors none of thedirectors is disqualified as on 31st March 2022 from being appointed as a director interms of Section 164 (2) of the Act.

f) With respect to the adequacy of the internal financial controls withreference to financial statements of the Company and the operating effectiveness of suchcontrols refer to our separate Report in 'Annexure B'.

g) With respect to the matter to be included in the Auditor's Reportunder section 197(16) In our opinion and according to the information and explanationsgiven to us the remuneration paid by the Company to its directors during the current yearis in accordance with the provisions of section 197 of the Act. The remuneration paid toany director is not in excess of the limit laid down under section 197 of the Act.

h) With respect to the other matters to be included in the Auditor'sReport in accordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 inour opinion and to the best of our information and according to the explanations given tous:

i. The Company does not have any pending litigations which would impactits financial position.

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

iii. There were no amounts which were required to be transferred to theInvestor Education and Protection Fund by the Company

iv. (a) The management has represented that to the best of itsknowledge and belief no funds have been advanced or loaned or invested (either fromborrowed funds or share premium or any other sources or kind of funds) by the company toor in any other person(s) or entity(ies) including foreign entities("Intermediaries") with the understanding whether recorded in writing orotherwise that the Intermediary shall whether directly or indirectly lend or invest inother persons or entities identified in any manner whatsoever by or on behalf of thecompany ("Ultimate Beneficiaries") or provide any guarantee security or thelike on behalf of the Ultimate Beneficiaries;

(b) The management has represented that to the best of it's knowledgeand belief no funds have been received by the company from any person(s) or entity(ies)including foreign entities ("Funding Parties") with the understanding whetherrecorded in writing or otherwise that the company shall whether directly or indirectlylend or invest in other persons or entities identified in any manner whatsoever by or onbehalf of the Funding Party ("Ultimate Beneficiaries") or provide any guaranteesecurity or the like on behalf of the Ultimate Beneficiaries; and

(c) Based on such audit procedures that have been considered reasonableand appropriate in the circumstances nothing has come to our notice that has caused us tobelieve that the representations under sub-clause (i) and (ii) of Rule 11(e) as providedunder (a) and (b) above contain any material mis-statement.

v. No dividend have been declared or paid during the year by thecompany.

Annexure 'A'

The Annexure referred to in paragraph 1 of Our Report on "OtherLegal and Regulatory Requirements".

We report that:

i. a) A. The company is maintaining proper records showing fullparticulars including quantitative details and situation of Property Plant andEquipment;

B. The company is maintaining proper records showing full particularsof intangible assets;

b) As explained to us Property Plant and Equipment have beenphysically verified by the management at reasonable intervals; no material discrepancieswere noticed on such verification;

c) According to the information and explanation given to us and thetitle deeds and other records examined by us we report that the title deeds in respect ofall immovable properties have been disclosed in the financial statements and it is held inthe Company's name as at the balance-sheet date.

d) The company has not revalued its Property Plant and Equipment(including Right of Use assets) or intangible assets or both during the year.

e) As explained to us no proceedings have been initiated or arepending against the company for holding any benami property under the Benami Transactions(Prohibition) Act 1988 (45 of 1988) and rules made thereunder.

ii. a) The inventory of the Company represents construction in progressof real estate property which includes land and development related costs consumption ofmaterial and labour costs legal and professional fees and other incidental costs. Thecompany does not hold any other physical inventory. Hence the paragraph 3(ii) of the orderis not applicable to the company.

b) The Company has not been sanctioned working capital limits in excessof five crores in aggregate from banks or financial institutions during any point of timeof the year on the basis of security of current assets. Accordingly the requirement toreport on clause 3(ii)(b) of the Order is not applicable to the Company

iii. a) During the year the company has not made investments in norprovided any guarantee or security or granted any loans or advances in the nature ofloans secured or unsecured to companies firms Limited Liability Partnerships or anyother parties.

b) The company has not granted any loans or advances in the nature ofloans either repayable on demand or without specifying any terms or period of repayment.

iv. In our opinion and according to the information and explanationgiven to us the company has not given any loan made investment given any guaranteeprovided any security under Provision of the Section 185 and 186 of the Companies Act2013. Hence paragraph 3(iv) is not applicable to the company.

v. The company has not accepted any deposits or amounts which aredeemed to be deposits covered under sections 73 to 76 of the Companies Act 2013.

vi. The Central Government has not prescribed the maintenance of costrecords under section 148(1) of the Act for any activity carried out by the Company.Accordingly paragraph 3(vi) of the order is not applicable to the Company.

vii. a) According to the records made available to us company isregular in depositing undisputed statutory dues including Goods and Services Taxprovident fund employees' state insurance income-tax sales-tax service tax duty ofcustoms duty of excise value added tax cess and any other statutory dues to theappropriate authorities. According to the information and explanation given to us therewere no outstanding statutory dues as on 31st of March 2022 for a period of more than sixmonths from the date they became payable.

b) According to the information and explanations given to us there isno statutory dues referred to in sub-clause (a) that have not been deposited on account ofany dispute According to the information and explanations given by the management notransactions not recorded in the books of account have been surrendered or disclosed asincome during the year in the tax assessments under the Income Tax Act 1961.

viii. According to the information and explanations given by themanagement no transactions not recorded in the books of account have been surrendered ordisclosed as income during the year in the tax assessments under the Income Tax Act 1961.

ix. a) In our opinion and according to the information and explanationsgiven by the management we are of the opinion that the company has not defaulted inrepayment of loans or other borrowings or in the payment of interest thereon to anylender.

b) According to the information and explanations given by themanagement the company is not declared willful defaulter by any bank or financialinstitution or other lender;

c) In our opinion and according to the information and explanationsgiven by the management the Company has utilized the money obtained by way of term loansduring the year for the purposes for which they were obtained.

d) In our opinion and according to the information and explanationsgiven by the management funds raised on short term basis have not been utilized for longterm purposes.

e) In our opinion and according to the information and explanationsgiven by the management the company has not taken any funds from any entity or person onaccount of or to meet the obligations of its subsidiaries associates or joint ventures

f) In our opinion and according to the information and explanationsgiven by the management the company has not raised loans during the year on the pledge ofsecurities held in its subsidiaries joint ventures or associate companies.

x. a) The company has not raised any money by way of initial publicoffer or further public offer (including debt instruments) during the year.

b) The company has not made any preferential allotment or privateplacement of shares or convertible debentures (fully partially or optionally convertible)during the year.

xi. a) According to the information and explanations given by themanagement no fraud by the company or any fraud on the company has been noticed orreported during the year;

b) No report under sub-section (12) of section 143 of the Companies Acthas been filed by the auditors in Form ADT-4 as prescribed under rule 13 of Companies(Audit and Auditors) Rules 2014 with the Central Government;

c) According to the information and explanations given to us by themanagement no whistle-blower complaints had been received by the company

xii. The company is not a Nidhi Company. Therefore clause xii is notapplicable on the company.

xiii. According to the information and explanations given to us alltransactions with the related parties are in compliance with sections 177 and 188 ofCompanies Act where applicable and the details have been disclosed in the financialstatements etc. as required by the Indian Accounting Standards (Ind AS);

xiv. In our opinion and based on our examination the company have aninternal audit system which commensurate with the size and nature of its business and thereports of the Internal Auditors for the period under audit were also considered by theStatutory Auditor.

xv. On the basis of the information and explanations given to us inour opinion during the year the company has not entered into any non-cash transactionswith directors or persons connected with him.

xvi. a) In our Opinion and based on our examination the Company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934 (2 of1934).

b) In our Opinion and based on our examination the Company has notconducted any Non-Banking Financial or Housing Finance activities without a validCertificate of Registration (CoR) from the Reserve Bank of India as per the Reserve Bankof India Act 1934

c) In our Opinion and based on our examination the Company is not aCore Investment Company (CIC) as defined in the regulations made by the Reserve Bank ofIndia.

d) According to the information and explanations given by themanagement the Group does not have any CIC as part of the Group.

xvii. The company has incurred cash losses of 732.47 Lacs in thecurrent financial year. However there was no cash loss in the immediately precedingfinancial year.

xviii. There has not been any resignation of the statutory auditorsduring the year.

xix. On the information obtained from the management and auditprocedures performed and on the basis of the financial ratios ageing and expected datesof realization of financial assets and payment of financial liabilities other informationaccompanying the financial statements the auditor's knowledge of the Board of Directorsand management plans we are of the opinion that no material uncertainty exists as on thedate of the audit report that company is capable of meeting its liabilities existing atthe date of balance sheet as and when they fall due within a period of one year from thebalance sheet date;

xx. Based on our examination the provision of section 135 are notapplicable on the company. Hence this clause is not applicable on the company.

xxi. The requirement of clause 3(xxi) is not applicable in respect ofStandalone Financial Statements.

Annexure'B'

Report on Internal Financial Controls with reference to financialstatements

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 Raja Bahadur International Limited ("the Company") as ofMarch 31 2022 in conjunction with our audit of the financial statements of the Companyfor the year ended on that date.

Opinion

In our opinion to the best of our information and according to theexplanations given to us 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 March 31 2022 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.

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 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 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 issued by ICAIand deemed to be prescribed under section 143(10) of the Companies Act 2013 to theextent applicable to an audit of internal financial controls both applicable to an auditof Internal Financial Controls and both issued by the Institute of Chartered Accountantsof India. 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 and operating effectiveness of internal control based on 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 andappropriate to provide a basis for our audit opinion on the Company's internal financialcontrols system over financial 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.

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