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Salasar Exteriors & Contour Ltd.

BSE: 535346 Sector: Infrastructure
NSE: SECL ISIN Code: INE00Y701018
BSE 05:30 | 01 Jan Salasar Exteriors & Contour Ltd
NSE 05:30 | 01 Jan Salasar Exteriors & Contour Ltd

Salasar Exteriors & Contour Ltd. (SECL) - Auditors Report

Company auditors report

Report on the Financial Statements

Opinion

We have audited the accompanying financial statements of Salasar Exteriors andContour Ltd which comprise the Balance Sheet as at 31stMarch 2020and the Statement of Profit and Loss and Cash Flow Statement for the year then ended anda summary of significant accounting policies and other explanatory information.

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid financial statements give the information required by theCompanies Act 2013 (the ‘Act') in the manner so required and give a true and fairview in conformity with the accounting standards prescribed under section 133 of the Actand other accounting principles generally accepted in India of the state of affairs ofthe Company as at 31 March 2020 and its profit and its cash flows for the year ended onthat 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 of the Financial Statements section of our report. Weare independent of the Company in accordance with the Code of Ethics issued by theInstitute of Chartered Accountants of India together with the ethical requirements thatare relevant to our audit of the financial statements under the provisions of theCompanies Act 2013 and the Rules thereunder and we have fulfilled our other ethicalresponsibilities in accordance with these requirements and the Code of Ethics. We believethat the audit evidence we have obtained is sufficient and appropriate to provide a basisfor our opinion.

Information Other than the 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 doesnot include the financial statements and our auditor's report thereon. These reports areexpected to be made available to us after the date of our auditor's report.

Our opinion on the financial statements does not cover the other information and we donot express any form of assurance conclusion thereon.

In connection with our audit of the financial statements our responsibility is to readthe other information identified above when it becomes available and in doing soconsider whether the other information is materially inconsistent with the financialstatements or our knowledge obtained in the audit or otherwise appears to be materiallymisstated.

When we read the other information included in the above reports if we conclude thatthere is material misstatement therein we are required to communicate the matter to thosecharged with governance and determine the actions under the applicable laws andregulations.

Management's Responsibility for the Financial Statements

Management is responsible for the matters stated in section 134(5) of the CompaniesAct 2013("the Act") with respect to the preparation of these financialstatements that give a true and fair view of the financial position financial performanceand cash flows of the Company in accordance with the accounting principles generallyaccepted in India including accounting standards referred to in section 133 of the Act asapplicable.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

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's financialreporting process.

Auditor's Responsibility

Our objectives are 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 a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud 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 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 standalone financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control.

? Obtain an understanding of internal control relevant to the audit in order to designaudit procedures that are appropriate in the circumstances. Under section 143(3)(i) of theCompanies Act 2013 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 reasonableness ofaccounting estimates and related disclosures made by management.

? Conclude on the appropriateness of management's use of the going concern basis ofaccounting 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 standalone financialstatements including the disclosures and whether the standalone financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

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.

We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.

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 the Companies (Auditor's Report) Order 2016 ("theOrder") issued by the Central

Government of India in terms of section 143(11) of the Act we give in "AnnexureA" a statement on the matter specified in the paragraph 3 and 4 of the Order.

2. As required under provisions of section 143(3) of the Companies Act 2013 wereport that: a. We have obtained all the information and explanations which to thebest of our knowledge and belief where necessary for the purposes 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 and Statement of Profit and Loss dealt with this report are inagreement with the books of account d. In our opinion the aforesaid Financial Statementcomply with the Accounting Standards specified under Section 133 of Act read withrelevant rule issued thereunder. e. On the basis of written representations received fromthe directors as on March 31 2020 taken on record by the Board of Directors none of thedirectors is disqualified as on March 31 2020 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 over financialreporting of the company and operating effectiveness of such controls referred to ourseparate report in

"Annexure B".

g. With respect to other matters to be included in the Auditor's Report in accordancewith Rule 11 of the Companies (Audit and Auditor) Rules 2014 in our opinion and to thebest of our knowledge and belief and according to the information and explanations givento us: (a) The Company has no pending litigations as mentioned below as at 31stMarch 2020

(b) The Company did not have any long-term and derivative contracts as at March 312020.

(c) There has been no delay in transferring amounts require to be transferred theInvestor Education and Protection Fund by the Company during the year ended March 312020.

FOR DGMS & CO Chartered Accountants

Sd/-

ShashankP. Doshi Partner

M. No. 108456

FRN: 0112187W

Place: Jamnagar Date: 18.11.2020 UDIN: 21108456AAAAAI4180

ANNEXURE "A" TO THE AUDITORS' REPORT

In terms of the information and explanations given to us and the books and recordsexamined by us in the normal course of audit and to the best of our knowledge and beliefwe state as under:

(i) In respect of Its Fixed Assets:

 

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

b) The management during the year physically verified these fixed assets. We havebeen informed that no material discrepancies were noticed on such physical verification.

c) According to the information and explanation given to us and in the basis of ourexamination of the records of the company the title deeds of immovable properties are heldin the name of the company.

(ii) As explained to us the Management at reasonable intervals has physicallyverified the stock of inventory during the year. Due to Covid-19 Pandemic we unableto verify the stock physically and relied upon the management representation andverification.

(iii) The company has not granted any loans secured or unsecured to companiesfirms Limited Liability Partnerships or other parties covered in the register maintainedunder section 189 of the Companies Act 2013. Therefore the provisions of Clause 3(iii)(a) (iii)(b) and (iii)(c) of the said order are not applicable to the companysubject to our observation in notes to account in note no. 29.

(iv) In our opinion and according to the information and explanations given to us theCompany has not provided any loans and advances under section 185 and 186 of the CompaniesAct 2013.

(v) The company has not accepted any deposits from the public within the meaning ofsections 73 to 76 or any relevant provisions of the 2013 act and the rules framed thereunder to the extent notified. (vi) The Central government has not prescribed themaintenance of cost records by the company under section 148(1) of the companies Act 2013for any of its products

(vii) In respect of Statutory Dues: a) According to the information andexplanations given to us undisputed amounts payable in respect of income tax GST andcess were in arrears as at 31-03-20 for a period of more than six months from the datethey became payable are as follows:

Particulars

Amount

Salasar Exteriors (TDS)

1781268/-

Salasar Exteriors And Contour Limited

4920528/-

(TDS)
Salasar Exteriors (GST)

6399487/-

ESIC

31858/-

Gujarat State Tax

304418/-

MVAT FY 2017-18

359956/-

Provident Fund

53685/-

Professional Tax

43000/-

Service Tax FY 2017-18

41011/-

(viii) Based on our audit procedures and according to the information and explanationsgiven to us we are of the opinion that the Company has defaulted ininstallments of repayment of loans or borrowing to financial institutions banks orGovernment. The company has not issued any debentures as at the balance sheet date.

(ix) The company has raised moneys by way of initial public offer or further publicoffer (including debt instruments). The Moneys raised by way of term loan were applied forthe purpose for which those are raised.

(x) During the course of our examination of the books and records of the companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstance of fraud by the company or any fraud on the Company by its officers or employeesnoticed or reported during the year nor have we been informed of such cases by theManagement.

(xi) According to the information and explanations given to us we report thatmanagerial remuneration has been paid or provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct. (xii) In our opinion and according to the information and explanations given to usthe Company is not a nidhi company. Accordingly paragraph 3(xii) of the Order is notapplicable.

(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 Companies Act 2013 where applicable and thedetails have been disclosed in the financial statements etc. as required by theapplicable accounting standards; (xiv) According to information given to us the companyhas not made any preferential allotment or private placement of shares or fully or partlyconvertible debentures during the year under review. Accordingly the provisions of clause3(xiv) of the Order are not applicable to the company.

(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 any 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 ReserveBank of India Act 1934.

FOR DGMS & CO Chartered Accountants

Sd/- Shashank P. Doshi Partner M. No. 108456 FRN: 0112187W Place: Jamnagar Date: 18.11.2020UDIN: 21108456AAAAAI4180

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