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Rajendra Caterers & Confectioners Ltd.

BSE: 526833 Sector: Services
NSE: N.A. ISIN Code: INE151O01014
BSE 05:30 | 01 Jan Rajendra Caterers & Confectioners Ltd
NSE 05:30 | 01 Jan Rajendra Caterers & Confectioners Ltd

Rajendra Caterers & Confectioners Ltd. (RAJENDRACATER) - Auditors Report

Company auditors report

To the Members of RAJENDRA CATERERS & CONFECTIONERS LIMITED

Report on the standalone Financial Statements Opinion

We have audited the accompanying Standalone financial statements of which comprises theBalance Sheet as at March 312022 the Statement of Profit and Loss the Statement ofchanges in Equity' and the statement of cash flows for the year then ended and notes tothe financial statements including a summary of significant accounting policies and otherexplanatory information.

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Companies Act 2013 in the manner so required and give a true and fair view inconformity with the Indian Accounting Standards prescribed under Section 133 of the Actread with Companies (Indian Accounting Standards) Rules 2015 as amended and otheraccounting principles generally accepted in India of the state of affairs of the Companyas at March 31 2022 and loss and total comprehensive income and its cash flows for theyear ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder section 143(10) of the Companies Act 2013. Our responsibilities under thoseStandards are further described in the Auditor’s Responsibilities for the Audit ofthe Financial Statements section of our report. We are independent of the Company inaccordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial statements under the provisions of the Companies Act 2013 and the Rules thereunder and we have fulfilled our other ethical responsibilities in accordance with theserequirements and the-Code of Ethics. We believe that the audit evidence we have obtainedis sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

As more specifically explained in Note 2 to the financial statements the Company hasnot earned any revenue and incurred a net loss of Rs. 546727 resulting in an accumulatedloss of Rs. 53402351 as of 31st March 2022. As a result the net worth ofthe Company has gone negative to Rs. 10602351 as of 31s' March 2022. It wasrepresented by the company that it is still working out wavs and means to diversify andenhance the profitability of the company. In absence of any concrete evidence themanagement representation was relied upon in respect of Going concern concept.

Key Audit Matters

Key Audit matters are those matters that in our professional judgement were of mostsignificant in our Audit of the financial statements of the current period. These matterswere addressed in the context of our audit of the financial statements as a whole and informing our opinion thereon and we do not provide a separate opinion on these matters.

Information other than the Standalone financial statements and Auditor’s Reportthereon

The Company’s Board of Directors is responsible for the preparation of the otherinformation. The other information comprises the information included in the Board’sReport including Annexures to Board’s Report Management Discussion and AnalysisReport on Corporate Governance Business Responsibility Report but does not include theStandalone 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 thereon.

In connection with our audit of standalone financial statements our responsibility isto read the other information and in doing so consider whether the other information ismaterially inconsistent with the Standalone financial statements or our knowledge obtainedduring 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 a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.

Responsibility of Management 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 with respect to the preparation of these standalonefinancial statements that give a true and fair view of the financial position financialperformance changes in equity and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the accounting Standardsspecified under section 133 of the Act read with Rule 7 of the Companies (Accounts) Rules2014 and the Companies (Accounting Standards) Rules 2015 as amended. This responsibilityalso includes maintenance of adequate accounting records in accordance with the provisionsof the Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate implementationand maintenance of accounting policies; making judgments and estimates that are reasonableand prudent; 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 financialstatement that give a true and fair view and are free from material misstatement whetherdue to fraud or error.

In preparing the financial statements management is responsible for assessing theCompany’s ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so.

Those Board of Directors are also responsible for overseeing the company’sfinancial reporting process

Auditor’s Responsibility for the Audit of the Financial Statements

Our objectives arc to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor’s report that includes our opinion. Reasonable assurance is ahigh level of assurance but is not a guarantee that an audit conducted in accordance withSAs will always detect a material misstatement when it exists. Misstatements can arisefrom fraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken on thebasis of these financial statements.

Report on other legal and Regulatory Requirements

1) As required by the Companies (Auditor's Report) Order 2020 issued by the CentralGovernment of India we give in the Annexure A statement of the matters specified inSection 143 (11) of the order

2) As required by sectionl43(3) of the Act based on our audit we report that

a) we have obtained all the information and explanations which to the best of ourknowledge and belief were necessary for the purpose of our audit.

b) in our opinion proper books of account as required by law have been kept by theCompany so far as appears from our examination of those books.

c) the Balance Sheet Statement of Profit and Loss Statement of Changes in Equity'and Cash Flow Statement dealt with by this Report are in agreement with the books ofaccount.

d) in our opinion the Balance sheet Statement of Profit and Loss and Cash FlowStatement comply with the Accounting Standards referred to section 133 of the CompaniesAct 2013.

e) on the basis of written representations received from the directors as on 31stMarch 2022 and taken on record by the Board of Directors none of the directors isdisqualified as on 31 March 2022 from being appointed as directors in terms of Subsection (2) of section 164 of the Companies Act 2013.

f) The Company does not have any branch offices

g) 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 " Annexure B"

h) The books of accounts have been maintained properly and no such matters arose duringthe course of Audit which enables us for Qualification

i) No such matters came to light upon audit of financial transactions which may have anadverse effect on the functioning of the Company

j) With respect to the other matters to be included in the Auditor’s Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 as amended inour opinion and to the best of our information and according to the explanations given tous:

i) the company does not have anv pending litigations which would impact its financialposition.

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

iii) The Company does not have any amounts required to be transferred to the investoreducation and protection fund by the company.

iv) The company has not advanced any funds to or in any other persons or entitiesincluding foreign entities ("Intermediaries") with the understanding whetherrecorded in writing or otherwise that the Intermedian* shall whether directly orindirectly lend or invest in other persons or entities identified in any manner whatsoeverby or on behalf of the company ("Ultimate Beneficiaries") or provide anyguarantee security or the like on behalf of the Ultimate Beneficiaries other than thosedisclosed in the notes to accounts.

v) The company has not received any funds from any persons or entities includingforeign entities ("Funding Parties") with the understanding whether recorded inwriting or otherwise that the company shall whether directly or indirectly lend orinvest in other persons or entities identified in any manner whatsoever by or on behalf ofthe Funding Party ("Ultimate Beneficiaries") or provide any guarantee securityor the like on behalf of the Ultimate Beneficiaries other than those disclosed in thenotes to accounts.

vi) The company has not declared or paid any dividend during the year.

ANNEXURE(B) REFERRED TO IN PARAGRAPH 1 OF INDEPENDENT AUDITOR'S REPORT OF EVEN DATE TOTHE MEMBERS OF RAJENDRA CATERERS & CONFECTIONERS LIMITED ON THE FINANCIAL STATEMENTSOF THE COMPANY FOR THE YEAR ENDED 31st MARCH 2022.

In terms of Companies (Auditor’s Report) Order 2020 issued by the CentralGovernment of India in terms of section 143(11) of The Companies Act 2013 we furtherreport on the matters specified in paragraph 3 and 4 of the said Order that: -

1) (i) The company is maintaining proper records showing full particulars includingquantitative details and situation of Property Plant & Equipment.

(b) The company does not have any intangible asset and hence the clause is notapplicable

(ii) The Property Plant & Equipment have been physically verified by themanagement at reasonable intervals.

(iii) The title deeds of immovable properties shown in the financial statements areheld in the name of the company.

(iv)The company has not revalued its Property Plant & Equipment or Intangibleassets or both during the year

(v) No proceedings have been initiated against the company for holding benami propertyunder The Benami Transactions (Prohibition) Act 1988 and rules made thereunder and thedetails have been appropriately disclosed in the financial statements.

2) (i) No inventory held by the company and hence Physical verification of inventory isnot applicable.

(ii) No inventory is held by the company and hence the submission of quarterlyreturns/statements by the company with banks/ financial institutions is not applicable.

3) (i) The company has not made investments in provided any guarantee or securitygranted any loans or advances in the nature of loans secured or unsecured to companiesfirms LLPs or any other parties.

4) The company has not given any loans or guarantees/made any investments within themeaning of sections 185 & 186 of The Companies Act 2013. The company had given

i security towards. Income Tax Demand the Title Deeds of the property owned by it.

5) The company has not accepted any deposits from the public in terms of Section 73 to7b or any other relevant provisions of the Companies Act2013.

6) The Central Government has not prescribed the maintenance of cost records underSection 148(1) of the Act for any of the products manufactured by the company.

7) (i) The company is regular in depositing undisputed statutory dues with appropriateauthorities.

(ii) According to records of the company there are no statutory dues which have notbeen deposited on account of any dispute except the following:

Name of the Statute Nature of Dues Amount (Rs in lacs) Period to which the amount relates Forum where dispute is pending Amount paid under Protest
Income Tax Act Income tax demand 0.06 AY 2001-02 Income tax department

8) There are no transactions that are not recorded in the books of account to besurrendered or disclosed as income during the year in the tax assessments under the IncomeTax Act 1961;

9) (i) The Company has not obtained any loan from any Financial Institution or Bank

and hence details regarding default in repayment of dues do not arise.

(ii) The company has not been declared as a willful defaulter by any bank or financial

institution or other lender.

(iii) The company has not availed any term loans and hence this clause is notapplicable

(iv) The Company has not raised any funds on a short term basis and hence this clauseis not applicable.

(v) The Company has not taken any funds from any entity or person on account of or tomeet the obligations of its subsidiaries associates or joint ventures.

(vi) The Company has not raised any loans during the year on the pledge of securitiesheld in its subsidiaries joint ventures or associate companies.

10) (i) The company has not made any initial public offer during the year.

(ii) The company has not made any preferential allotment or private placement ofshares/debentures during the year.

11) (i) Based upon the audit procedures performed and information and explanationsgiven to us by the management we report that no fraud by the company or on the company byits officers/employees have been noticed or reported during the course of our audit.

(ii) No report under sub-Section (12) of Section 143 of the Companies Act has beenfiled by the auditors in Form ADT-4 as prescribed under Rule 13 of Companies (Audit andAuditors) Rules 2014 with the Central Government.

(iii) No whistle-blower complaints received during the year by the Company.

12) The transactions entered into with related parties are in compliance with section177 & 188 of The Companies Act 2013 and the details have been disclosed in thefinancial statements as required by the applicable accounting standards.

13) (i) The company has an internal audit system commensurate with the size and natureof its business.

(ii) The reports of the Internal Auditors for the period under audit has beenconsidered.

14) The company has not entered into any non-cash transactions with directors orpersons connected with directors during the year.

15) (i) The company is not required to be registered under section 45-IA of The ReserveBank of India Act 1934.

(ii) The Company is not conducted any Non-Banking Financial or Housing Financeactivities without a valid Certificate of Registration (CoR) from the Reserve Bank ofIndia as per the Reserve Bank of India Act 1934.

(iii) The Company is not a Core Investment Company (CIC) as defined under theRegulations by the Reserve Bank of India. Hence the clause (iii) and (iv) is notapplicable.

16) The company has incurred cash losses of Rs. 546727 lakhs in the Financial Year andRs. 401212 lakhs in the immediately preceding Financial Year.

17) There has not been any resignation of the statutory auditors during the year.

18) On the basis of the financial ratios aging and expected dates of realization offinancial assets and payment of financial liabilities other information accompanying thefinancial

4 statements the auditor's knowledge of the Board of Directors and management planswe are of the opinion that no material uncertainty exists as on the date of the auditreport that company is capable of meeting its liabilities existing at the date of balancesheet as and when they fall due within a period of one year from the balance sheet date.

19) (i) There are no ongoing projects for the company and hence this clause is notapplicable (ii) There are no projects in hand for the company and hence this clause is notapplicable

20) No consolidated financials for the company and hence this clause is not applicable.

21) The company is not a Nidhi Company and hence not applicable.

Annexure - B to the Auditors' Report

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of RAJENDRACATERERS & CONFECTIONERS LIMITED as of 31 March 2022 in conjunction with our audit ofthe standalone financial statements of the Company for the year ended on that 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'). These responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to company's policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired 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 deemedto be prescribed under section 143(10) of the Companies Act 2013 to the extentapplicable to an audit of internal financial controls both 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 i' 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 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 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 financialcontrols over financial reporting including the possibility of collusion or impropermanagement override of controls material misstatements due to error or fraud may occurand not be detected. Also projections of any evaluation of the internal financialcontrols over financial reporting to future periods are subject to the risk that theinternal financial control over financial reporting may become inadequate because ofchanges in conditions or. that the degree of compliance with the policies or proceduresmay 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 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.

For UPPILIAPPAN V & CO
Chartered Accountants
V.UPPILIAPPAN
PROPRIETOR
Membership No : 225471
Place : Chennai
Date : 30/05/2022
UDIN: 225471AJVRLW3622

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