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Sarda Papers Ltd.

BSE: 516032 Sector: Industrials
NSE: N.A. ISIN Code: INE385D01011
BSE 00:00 | 24 Apr Sarda Papers Ltd
NSE 05:30 | 01 Jan Sarda Papers Ltd
OPEN 6.65
PREVIOUS CLOSE 6.65
VOLUME 100
52-Week high 13.23
52-Week low 6.65
P/E
Mkt Cap.(Rs cr) 2
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 6.65
CLOSE 6.65
VOLUME 100
52-Week high 13.23
52-Week low 6.65
P/E
Mkt Cap.(Rs cr) 2
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Sarda Papers Ltd. (SARDAPAPERS) - Auditors Report

Company auditors report

To the Members

Sarda Papers Limited

I. Report on the Financial Statements

We have audited the attached financial statements of Sarda Paper Limited (hereinafterreferred to as the Company) comprising of the Balance Sheet as at 31st March 2017 theStatement of Profit and Loss and the Cash Flow Statement for the year ended along with theSignificant Accounting Policies and other explanatory information forming an integral partthereof.

II. Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters in section 134(5) ofthe Companies Act 2013 ("the Act") with respect to the preparation of thesefinancial statements that give a true and fair view of the financial position financialperformance and cash flows of the Company in accordance with the Accounting Standardsreferred to in Section 133 of the Companies Act 2013 (hereinafter referred to as theAct) read with Rule 7 of the Companies (Accounts) Rules 2014 and in accordance with theaccounting principles generally accepted in India. This responsibility also includes themaintenance of adequate accounting records in accordance with the provision of the Act forsafeguarding of the assets of the Company and for preventing and detecting the frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of internal financial control that were operating effectively for ensuringthe accuracy and completeness of the accounting records relevant to the preparation andpresentation of the financial statements that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

III. Auditors' Responsibility

Our responsibility is to express an opinion on these financial statements based on ouraudit.

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 and the Order under Section 143(11) ofthe Act.

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 financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders internal financial control relevant to the Company's preparation of thefinancial statements that give true and fair view in order to design audit procedures thatare appropriate in the circumstances. An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of the accountingestimates made by Company's Directors as well as evaluating the overall presentation ofthe financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a reasonable basis

for our audit opinion.

IV. Opinion

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 the Actin the manner 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 31stMarch 2017 its Loss and its cash flows for the year ended on that date.

V. Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016 issued by the CentralGovernment of India in terms of sub-section (11) of Section 143 of the Act we enclose inthe Annexure-1 a statement on the matters specified in paragraphs 3 and 4 of thesaid Order to the extent applicable to the Company during the year under review.

2. Further to our comments in the Annexure referred to in 1. Above as per therequirements of Section 143(3) of the Act we report as follows:

(a) We have sought and obtained all the information and explanations which to the bestof our knowledge

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 the Statement of Profit and Loss and the Cash Flow Statementdealt with by this

report are in agreement with the books of account;

(d) In our opinion the Balance Sheet Statement of Profit and Loss and the Cash FlowStatement dealt with by this report comply with the Accounting Standards referred to inSection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014;

(e) On the basis of written representations received from the respective directors ason 31st March 2017 and taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2017 from being appointed as a director in terms ofsub-section (2) of Section 164 of the Act;

(f) We have no observations / comments on the financial transactions / matters whichhave adverse effect on the functioning of the Company nor do we have any qualified /adverse remarks related to the maintenance of the accounts or other matters connectedtherewith in respect of the Company;

(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 our separate report in Annexure-2;

(h) Refer Note No. 28 regarding non-compliance by the Company with the requirementsSection 203 of the Act in respect of appointment of a whole-time Company secretary. TheCompany is in the process of regularizing the same;

(i) 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 wereport that;

i) the Company does not have any pending litigations which would impact its financialposition;

ii) the Company does not have any long-term contracts including derivative contractsfor which

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; and

iv) the Company has provided requisite disclosures in its financial statements as toholdings as well as dealings in Specified Bank Notes during the period from 8 November2016 to 30 December 2016 and these are in accordance with the books of accounts maintainedby the Company (Refer Note No. 25 forming part of the financial statements).

For S M M P & Associates
Chartered Accountants
Firm Registration No. 120438 W
Chintan Shah
Partner
Membership No. 166729
Place : Mumbai
Date : 30th May 2017

Annexure-1 to the Independent Auditors' Report

(Referred to in paragraph V(1) of our report of even date)

In terms of the information and explanations given to us and the books and recordsexamined by us and on the basis

of such checks as we considered appropriate we further report as under:

1. Fixed Assets

(a) The Company does not have any fixed assets at the end of financial year .

2. Inventory

Based on the explanations we are of the opinion that the procedures of physicalverification of inventories followed by the management are reasonable and adequate inrelation to the size of the Company and nature of its business. No material discrepancieswere noticed during the said verification we have been explained

3. Loans to parties of Directors' interest

During the year the Company has not granted any loans secured or unsecured to theparties covered in the

register maintained under Section 189 of the Act.

4. Loans/Guarantees/Investments in / Provision of Security to certain parties

As per the records of the Company during the year the Company has not given any loans/guarantees to or

made any investments or provided any security within the purview of the Sections 185and 186 of the Act.

5. Acceptance of Deposits

According to the information and explanations given to us the Company has not accepteddeposits as per the directives issued by Reserve Bank of India and the provisions ofSections 73 to 76 or any other relevant provisions of the Act and the rules framed thereunder.

6. Maintenance of Cost Records

As explained to us maintenance of cost records has not been prescribed by the CentralGovernment for the

Company under Section 148(1) of the Act.

7. Undisputed & Disputed Statutory Dues

(a) According to the information and explanations given to us and as per the recordsverified by us the Company has been regular in depositing undisputed statutory duesinvolving Income Tax and Service Tax with the appropriate authorities and there were noarrears under the above heads which were due for more than six months from the date theybecome payable as at the close of the year. Keeping in view the present operations of theCompany statutes relating to Provident Fund Employees' State Insurance Sales-taxCustoms Duty Value Added Tax Excise Duty and Cess are not applicable to the Companyduring the year under review.

b) As per the Company's records and based on the information available there were nodisputed statutory dues with the Company pertaining to Sales Tax Service Tax CustomsDuty Excise Duty or Value Added Tax. In respect of Income-tax amounting to Rs 16.41 Lacsthe following are the disputed dues which have been lying pending with the Company as atthe close of the year under review

Sr. Name ofthe No. statute Nature of The Dues Amount (Rs. inLacs) Period Forum where dispute is pending
1 CentralExcise Excise Duty 3.07 01/09/1996 to Commissioner of Central
Act1944 and Penalties 31/01/1997 Deputy Excise (Appeals) Nashik
2 CentralExcise Excise Duty 5.70** October 1998 to Central Excise and Service tax
Act1944 and Penalties February 2000 Appellate Tribunal Mumbai
3 CentralExcise Excise Duty 7.64 FY 2002-03 Deputy Commissioner of Central
Act1944 and Penalties Excise(Appeals) Nashik

Note: ** includes Rs. 1.00 Lacs deposited by the Company under protest but charged torevenue.

8. Loans from Banks/Financial Institutions/ Government/Debentures

As per the records verified by us the Company has not availed any loan/facility frombanks/financial institutions/ Government and hence the question of default in repayment ofthe same does not arise. Further no amounts were borrowed by the Company throughDebentures.

9. Proceeds of Public issue (including debt instruments) /Term Loans

The Company has not raised any money during the year through initial / further publicoffer (including debt instruments). Also the Company has not availed any term loansduring the current or earlier years.

10. Frauds on or by the Company

During the course of our examination of the books and records of the Company carriedout in accordance with the generally accepted auditing practices in India and accordingto the information and explanations given to us we have neither come across any instanceof fraud on or by the Company or its officers noticed or reported during the year norhave we been informed of such case by the management.

11. Managerial Remuneration

As per the Company's records no managerial remuneration has been paid/provided forduring the year under review.

12. Nidhi Companies

The Company is not a Nidhi company during the year under review and hence the criteriaas stipulated under Nidhi Rules 2014 is not applicable to the Company.

13. Related Party Transactions

As per the information and explanations given during the course of our verification inour opinion all transactions with the related parties made by the Company were incompliance with Sections 177 and 188 of the Act to the extent applicable to the Companyduring the year. The relevant details in respect of the same have been appropriatelydisclosed as per the requirements of the Accounting Standard.

14. Preferential Issue

During the year the Company has not made any preferential allotment or privateplacement of shares or

convertible debentures and hence the requirements of Section 42 of the Act are notapplicable.

15. Non-cash Transactions with Directors etc.

As per the information and explanations provided to us during the year the Companyhas not entered into any non-cash transactions with directors or persons connected withthe directors within the purview of Section 192 of the Act.

16. Provisions of 45-IA of the Reserve Bank of India Act1934

In our opinion and according to the information and explanations given to us theCompany is not a Non-banking Finance Company (NBFC) and hence is not required to beregistered under section 45 IA of the Reserve Bank of India Act 1934.

For S M M P & Associates
Chartered Accountants
Firm Registration No. 120438 W
Chintan Shah
Partner
Membership No. 166729
Place : Mumbai
Date : 30th May 2017