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Samtel (India) Ltd.

BSE: 500371 Sector: Engineering
NSE: SAMTELTD ISIN Code: INE538C01017
BSE 00:00 | 24 Jun Samtel (India) Ltd
NSE 05:30 | 01 Jan Samtel (India) Ltd
OPEN 1.89
PREVIOUS CLOSE 1.89
VOLUME 200
52-Week high 1.89
52-Week low 0.00
P/E
Mkt Cap.(Rs cr) 1
Buy Price 1.89
Buy Qty 47.00
Sell Price 0.00
Sell Qty 0.00
OPEN 1.89
CLOSE 1.89
VOLUME 200
52-Week high 1.89
52-Week low 0.00
P/E
Mkt Cap.(Rs cr) 1
Buy Price 1.89
Buy Qty 47.00
Sell Price 0.00
Sell Qty 0.00

Samtel (India) Ltd. (SAMTELTD) - Auditors Report

Company auditors report

TO THE MEMBERS OF SAMTEL INDIA LIMITED

Report on the Standalone Ind AS Financial Statements

We have audited the accompanying Standalone Ind AS financial statements of M/sSamtel India Limited ('the Company') which comprise the Balance Sheet as atMarch 31 2019 and the Statement of Profit and Loss (including other comprehensiveincome) the statement of Cash Flow and statement of Changes in Equity for the year thenended and a summary of the significant accounting policies and other explanatoryinformation (herein after referred to as "Ind AS financial statements").

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Standalone Ind AS financial statements give the informationrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India including the Ind AS of thefinancial position of the Company as at 31 March 2019 and its loss including othercomprehensive income its cash flows and the change in equity for the year ended on thatdate.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder Section 143(10) of the Act. Our responsibilities under those standards are furtherdescribed in the Auditor's Responsibility for the Financial Statements section of ourreport. We are independent in accordance with the Code of Ethics issued by theInstitute of Chartered Accountants of India (ICAI) together with the independencerequirements that are relevant to our audit of the financial statements under theprovisions of the Act and the Rules made there under 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 financial statements.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the standalone financial statements of the current period.These matters were addressed in the context of our audit of financial statements as awhole and in forming our opinion thereon and we do not provide a separate opinion onthese matters.

Key Audit Matter Auditor's Response
i) Preparation of financial statements on going concern basis. We assessed company's address and found respective registrations in order. Our opinion is not qualified.
Refer Note 26 to the standalone financial statement
ii) Evaluation of uncertain tax positions : Obtained details of tax assessment and demands.
Refer Note 18 of the standalone financial statemen t Our internal experts evaluated the management's position on these uncertain tax positions.

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 BusinessResponsibility Report Corporate Governance and Shareholder's Information 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 financial statements or our knowledge obtained duringthe 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.

Management's Responsibility for the 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 Ind AS financial statements that give a true and fairview of the financial position financial performance including other comprehensiveincome cash flows and change in equity of the Company in accordance with the accountingprinciples generally accepted in India including the Indian Accounting Standards (AS)prescribed under Section 1.33 of the Act read with relevant rules issued thereunder.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company andfor preventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the Ind ASfinancial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditor's Responsibilities for the Audit of the Financial Statements

Our responsibility is to express an opinion on these Standalone Ind AS financialstatements based on our audit.

We have taken into account the provisions of the Act the accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditing specified underSection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe Ind AS standalone financial statements is free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the Ind AS standalone financial statements. The procedures selecteddepend on the auditor's judgment including the assessment of the risks of materialmisstatement of the Ind AS financial statements whether due to fraud or error. In makingthose risk assessments the auditor considers internal financial control relevant to theCompany's preparation of the Ind AS standalone financial statements that give a true andfair view in order to design audit procedures that are appropriate in the circumstances.An audit also includes evaluating the appropriateness of the accounting policies used andthe reasonableness of the accounting estimates made by the Company's Directors as well asevaluating the overall presentation of the Ind AS financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Ind AS financial statements.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016 ("the Order")issued by the Central Government in terms of Section 143(11) of the Act we give in theAnnexure "A" statement on the matters specified in paragraphs 3 and 4 of theOrder.

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

(a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purposes of our audit.

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

(c) The Balance Sheet the Statement of Profit and Loss Cash Flow Statement andstatement of change in equity dealt with by this Report are in agreement with the books ofaccount.

(d) In our opinion the aforesaid Ind AS financial statements comply with theAccounting Standards specified under Section 133 of the Act read with the relevant ruleissued thereunder.

(e) On the basis of the written representations received from the Directors as on March31 2019 taken on record by the Board of Directors none of the Directors is disqualifiedas on March 31 2019 from being appointed as a Director in terms of Section 164 (2) of theAct.

(f) With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate report in "Annexure B"

(g) 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 in our opinionand to the best of our information and according to the explanations given to us:

i) The Company has disclosed impact of pending litigations on its financial position inthe financial statements. Refer Note 18 of the financial statements.

ii) The Company did not have any long-term contracts including derivatives contractsfor which there were any material foreseeable losses.

iii) The company does not require transferring any amount to the Investor Educationand Protection Fund.

For R.SHARMA & ASSOCIATES.

Chartered Accountants

Firm Registration No: 003683N

Rakesli Sharma

Partner

Membership No. 082640

Place: New Delhi

Date: May 28 2019

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 M/s SamtelIndia Limited ("the Company) as of 31 March 2019 in conjunction with our audit of thestandalone Ind AS 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 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 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 opei ating effectiveness of internal control based on the assessed risk. Theprocedures selected depend on the auditor's judgment 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 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 of records that in reasonable detail accurately andfairly reflect the transactions and disposal of the assets of the company;

(2) provide assurance that transactions are recorded as necessary to permit preparationof financial statements in accordance with generally accepted accounting principles andthat receipts and expenditures of the company are being made only in accordance withauthorizations of management of the company; and

(3) Provide reasonable assurance regarding prevention and timely detection ofunauthorized acquisition use or disposition of the company's assets that could have amaterial effect on the financial statements.

Inherent Limitations of Internal Financial Controls over Financial Reporting

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

Opinion

In our opinion the Company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at 31 March 2019 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 R. SHARMA & ASSOCIATES.

Chartered Accountant

Firm Registration No: 003683N

Rakesh Sharma

Partner

Membership No. 082640

Place: New Delhi

Date: May 28 2019

Annexure A to the Independent Auditors' Report to the Samtel India Limited

Referred to in Paragraph 1 of "Report on Other Legal And RegulatoryRequirements" paragraph of our Report on the financial statement of even date

(i) In Respect of Fixed Assets

(a) The Company is not owning any fixed assets so clause no. (a) [b] [c] is notapplicable.

(ii) In Respect of Inventories

During the year the company has not carried any business of manufacturing or tradingin the goods. Therefore no inventories were held by the Company at any point of time.Accordingly. par a(ii) (a) (b) (c) of the order is not applicable.

(iii) Compliance under section 189 of The Companies Act 2013

The company has not granted any loans secured or unsecured to companies firms orother parties covered in the register maintained u/s 189 of the companies Act-2013.

(b) Since there are no such loans comments on repayment of the principal amount andinterest thereon and overdue amount at the year end are not required.

(iv) Compliance under section 185 and 186 of The Companies Act 2013

As per information and explanations given to us and on the basis of our examination ofthe records the company does not have any loans investments guarantees and securityunder 185 and 186 of the Companies Act 2013.

(v) Compliance under section 73 to 76 of The Companies Act 2013 and Rules framed thereunder while accepting Deposits

The Company has not accepted any deposits from Public within meaning of the directivesissued by the Reserve Bank of India and provisions of Sections 73 to 76 or any otherrelevant provisions of the Companies Act 2013 and rules framed there under.

(vi) Maintenance of cost records

As the Company has not carried any business of manufacturing or trading no CostRecords have been maintained. Accordingly Clause [vi] is not applicable

(vii) Deposit of Statutory Dues

(a) According to the information and explanations given to us and the records of thecompany examined by us in our opinion the company is generally irregular in depositingundisputed statutory dues in respect of provident fund investor education and protectionfund employees state insurance income tax sales tax wealth tax service tax customduty excise duty value added tax cess and other material statutory dues as applicablewith the appropriate authorities except Provident Fund by Rs.1020790 Service Taxincluding Cess by Rs. 1466332 Employees State Insurance Scheme by Rs.491284 Tax deductedat Source by Rs. 280212 and interest on Statutory dues of Rs.5283641 which are outstandingat the year end for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us and the records of thecompany examined by us the particulars of dues of income tax sales tax custom dutywealth tax excise duty value added tax service tax and cess which have not beendeposited on account of any dispute are as follows:

Related To Authority where Pending Financial Year Disputed Amount Paid under Protest
Sales Tax Additional Commissioner of Sales Tax 1985-86 29118000.00 20128000.00
Central Excise Law Rajasthan High Court Jaipur 1989-90 2059000.00 500000.00
Central Excise Law CESTAT Delhi 1997-98 884000.00 880000.00
Central Excise Law Commissioner Appeals Jaipur 1998-99 2404000.00 2401000.00
Income Tax Income Tax Appellate Tribunal 2005-06 490090.00 -
Income Tax Income Tax Appellate Tribunal 2007-08 28817000.00 -

(viii) Repayment of Loans and Borrowings

According to the records of the company examined by us and information and explanationsgiven to us the Company has not taken any loans from Bank or financial institution or notissued any Debentures.

(ix) Utilization of Money Raised by Public Offers and Term Loan For which they Raised

As per the the information and explanation given to us and on the basis of ourexamination of records the company has not raised money by way of initial public offer orfurther public offer (including debt instruments) and term loans have been applied for thepurpose for which they are obtained.

(x) Reporting of Fraud During the Year

During the course of our examination of books and records of the company carried out inaccordance with the generally accepted auditing practices in India we have neither comeacross any instance of fraud by the Company or on the Company by its officers or employeesnoticed or reported during he year nor we have been informed of such case by themanagement

(xi) Managerial Remuneration

As per the information and explanations given to us and on the basis of examination ofrecords the company has not paid any remuneration during the year.

(xii) Compliance by Nidhi Company Regarding Net Owned Fund to Deposits Ratio

As per information and records available. The company is not Nidhi Company.

(xiii) Related party compliance with Section 177 and 188 of companies Act - 2013

As per information and explanations given to us and on the basis of our examination ofthe records the company has transacted with the related parties which are in compliancewith section 177 and 188 of the Companies Act 2013 and the details have been disclosed infinancial statements at Para 25 B to the financial statements.

(xiv) Compliance under section 42 of Companies Act - 2013 regarding Private placementof Shares or Debentures

The Company has not made any preferential allotment or private placement of shares orfully or partly convertible debentures during the year.

(xv) Compliance under section 192 of Companies Act - 2013

As per the information and explanations given to us and on the basis of examination ofthe lecoids the company has not entered into any non cash transactions with the directorsor persons connected with them.

(xvi) Requirement of Registration under 45-IA of Reserve Bank of India Act 1934

The company is not required to be registered under section 45-IA of the Reserve Bank ofIndia Act.

FOR R.SHARMA & ASSOCIATES
(Chartered Accountants)
Place : NEW DELHI FRN. :003683N
Date : 28/05/2019 RAKESH SHARMA
(Partner)
Membership No : 082640

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