To
The Members of Sirohia & Sons Limited.
Report on the Standalone Financial Statements Opinion
We have audited the accompanying financial statements of Sirohia & Sons Limited(“the Company”) which comprise the Balance Sheet as at March 31 2022 theStatement of Profit and Loss Cash Flow Statement for the year then ended and a summaryof significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanationgiven to us the aforesaid financial statements give the information required by the Act inthe 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 2022 and its profit and cash flows for the year 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.
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 (“the Act”) with respect to the preparation ofthese (Standalone) 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 Accounting Standardsspecified under Section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding 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’sfinancial reporting process.
Auditor’s Responsibility for the Audit of the Financial Statements
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 high level of assurance but is not a guarantee that an auditconducted in accordance with SAs will always detect a material misstatement when itexists. Misstatements can arise from fraud or error and are considered material ifindividually or in the aggregate they could reasonably be expected to influence theeconomic decisions of users taken on the basis of these 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 financial statementswhether due to fraud or error design and perform audit procedures responsive to thoserisks and obtain audit evidence that is sufficient and appropriate to provide a basis forour opinion. The risk of not detecting a material misstatement resulting from fraud ishigher than for one resulting from error as fraud may involve collusion forgeryintentional 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.
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 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 theCompany to cease to continue as a going concern.
Evaluate the overall presentation structure and content of the financial statementsincluding the disclosures and whether the financial statements represent the underlyingtransactions and events in a manner that achieves fair presentation.
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.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor’s Report) Order 2020 (“theOrder”) issued by the Central Government of India in terms of sub-section (11) ofsection 143 of the Act refer to our separate Report in “Annexure A”. astatement on the matters specified in paragraphs 3 and 4 of the Order to the extentapplicable.
2. As required by section 143 (3) of the Act we report that:
a. I have sought and obtained all the information and explanations which to the best ofour knowledge and belief were necessary for the purpose of our audit;
b. In my 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 and the Cash Flow Statementdealt with by this Report are in agreement with the books of account subject toconfirmation of balances of all the parties.
d. In my opinion the aforesaid (Standalone) financial statements comply with theAccounting Standards specified under section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014.
e. On the basis of written representations received from the directors as on March 312022 taken on record by the Board of Directors none of the directors is disqualified ason March 31 2022 from being appointed as a director in terms of Section 164 (2) of theAct.
f. Reporting on the adequacy of the internal financial controls over financialreporting of the Company and its operating effectiveness is exempted vide notification no.G.S.R. 583(E).-13.06.2017.
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. TheCompany does not have any pending litigations which would impact its financial position.
ii. The Company did not have any long-term contracts including derivative contracts forwhich 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.
| For and on behalf of |
| A SETHIA & CO |
| Chartered Accountants |
| Firm Registration No 328380E |
| Sd/- |
| CA BHAWANA BENGANI |
| Partner |
| Membership No: - 067606 |
| Place: Kolkata |
| Date: 30/05/2022 |
| UDIN:22067606AJXJGN2635 |
ANNEXURE A TO INDEPENDENT AUDITORS’ REPORT OF EVEN DATE ON THE STANDALONEFINANCIAL STATEMENTS OF SIROHIA & SONS LIMITED FOR THE YEAR ENDED 31STMARCH 2022
[Referred to in paragraph 1 under ‘Report on Other Legal and RegulatoryRequirements’ in the Independent Auditors’ Report]
i. (a) According to the information and explanations given to us the company hasmaintained proper records showing full particulars including quantitative details andsituation of Property Plant and Equipment’s.
(b) According to the information and explanations given to us Property Plant andEquipment have been physically verified by the management at reasonable intervals duringthe year and no material discrepancies were identified on such verification.
(c) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the title deeds of immovable properties (otherthan properties where the company is the lessee and the lease agreements are duly executedin favour of the lessee) as disclosed in the financial statements are held in the name ofthe company.
(d) According to the information and explanations given to us the Company has notrevalued its property plant and Equipment (including Right of Use assets) and itsintangible assets. Accordingly the requirements under paragraph 3(i)(d) of the Order arenot applicable to the Company.
(e) According to the information and explanations given to us no proceeding has beeninitiated or pending against the Company for holding Benami property under the BenamiTransactions (Prohibition) Act 1988 and rules made thereunder. Accordingly theprovisions stated in paragraph 3(i) (e) of the Order are not applicable to the Company.
ii. (a) According to the information and explanations provided to us the Company hasnot entered into any trading/manufacturing activities. Accordingly the requirements underparagraph 3(ii)(b) of the Order is not applicable to the Company.
(b) According to the information and explanations provided to us the Company has notbeen sanctioned working capital limits. Accordingly the requirements under paragraph3(ii)(b) of the Order is not applicable to the Company.
iii. (a) According to the information explanation provided to us the Company hasprovided loans or provided advances in the nature of loans or given guarantee orprovided security to any other entity. The details of loans and advances to other entitiesare as follows: -
| Particulars | Nature of Transactions | Amount (In Rs.) |
| Aggregate amount granted/provided during the year- | | |
| -Enterprises owned by KMP | Loans | 35716.76 |
| -Others | Loans | NIL |
| Balance Outstanding as at balance sheet date in respect of above cases | | |
| -Enterprises owned by KMP | Loans | 552068.89 |
| -Others | Loans | 1783816.03 |
(b) According to the information and explanations given to us and based on the auditprocedures performed by us we are of the opinion that the terms and conditions inrelation to investments made guarantees provided securities given and / or grant of allloans and advances in the nature of loans and guarantees are not prejudicial to theinterest of the Company.
(c) In case of the loans and advances in the nature of loan schedule of repayment ofprincipal and payment of interest have been stipulated and the borrowers have been regularin the payment of the principal and interest.
(d) According to the information and explanations given to us as the principal businessof the company is of granting loans and advances. Hence the requirements under paragraph3(iii) (d) of the Order are not applicable to the Company
(e) According to the information and explanation provided to us the loan or advance inthe nature of loan granted has not fallen due during the year. Hence the requirementsunder paragraph 3(iii) (e) of the Order are not applicable to the Company.
(f) According to the information explanation provided to us the Company has grantedloans/advances in the nature of loans repayable on demand or without specifying any termsor period of repayment. The details of the same are as follows:
| Particulars | All Parties | Promoters | Related Parties |
| Aggregate amount of loans/ advances in nature of loans | | | |
| - Repayable on demand (A) | 2335884.92 | - | - |
| - Agreement does not specify any terms or period of repayment (B) | Nil | - | - |
| Total (A+B) | 2335884.92 | - | - |
| Percentage of loans/ advances in nature of loans to the total | 100.00% | 0.00% | 0.00% |
| loans | | | |
iv. In our opinion and according to the information and explanations given to us theCompany has not either directly or indirectly granted any loan to any of its directors orto any other person in whom the director is interested in accordance with the provisionsof section 185 of the Act and the Company has not made investments through more than twolayers of investment companies in accordance with the provisions of section 186 of theAct. Accordingly provisions stated in paragraph 3(iv) of the Order are not applicable tothe Company.
v. In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of sections 73 74 75 and 76 of the Act therules framed thereunder and the Circulars notifications issued from time to time withregard to the deposits accepted. No order has been passed by the Company Law Board orNational Company Law Tribunal or Reserve Bank of India or any Court or any other Tribunalin this respect.
vi. The provisions of sub-section (1) of section 148 of the Act are not applicable tothe Company as the Central Government of India has not specified the maintenance of costrecords for any of the products of the Company. Accordingly the provisions stated inparagraph 3 (vi) of the Order are not applicable to the Company.
vii. According to the information and explanations given to us undisputed dues inrespect of provident fund employees’ state insurance income-tax service taxsales-tax duty of custom duty of excise value added tax goods and service tax cessand other statutory dues which were outstanding at the year end for a period of morethan six months from the date they became payable
(a) The company is regular in depositing with appropriate authorities undisputedstatutory dues including income-tax and other material statutory dues applicable to it.
(b) According to the records of the company the dues outstanding of income-tax andcess on account of any dispute are as follows: -
| Name of the Statute | Nature of Dues | Period to which the amount related | Forum where dispute is pending | Amount (In Rs.) | Remarks |
| Income Tax Act 1961 | Income Tax | 2013-2014 | Central Processing Centre | 349360.00 | Under Protest |
viii. According to the information and explanations given to us there are notransactions which are not accounted in the books of account which have been surrenderedor disclosed as income during the year in Tax Assessment of the Company. Also there areno previously unrecorded income which has been now recorded in the books of account.Hence the provision stated in paragraph 3(viii) of the Order is not applicable to theCompany.
ix. In our opinion and according to the information and explanations given to us theCompany has not defaulted in repayment of loans or borrowings or in payment of interestthereon to any lender.
x. The Company did not raise any money by way of initial public offer or further publicoffer (including debt instruments) during the year. Accordingly the provisions stated inparagraph 3 (x)(a) of the Order are not applicable to the Company. xi.
(a) During the course of our audit examination of the books and records of theCompany carried out in accordance with the generally accepted auditing practices inIndia and according to the information and explanations given to us we have neither comeacross any instance of fraud by the Company nor on the Company.
(b) We have not come across of any instance of fraud by the Company or on the Companyduring the course of audit of the standalone1 financial statement for the yearended March 31 2022 accordingly the provisions stated in paragraph (xi)(b) of the Orderis not applicable to the Company.
(c) As represented to us by the management there are no whistle-blower complaintsreceived by the Company during the year. Accordingly the provisions stated in paragraph(xi)(c) of the Order is not applicable to the company.
xii. In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company. Accordingly the provisions stated in paragraph 3(xii) (a)to (c) of the Order are not applicable to the Company.
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 the Act where applicable and details of suchtransactions have been disclosed in the financial statements. The details of which arementioned below: -
| I n Nature of the related party relationship | Nature of underlying transaction | Amount involved (Rs.) | Remarks (details of non-compliance may be given) |
| Gcs Chemicals Pvt Ltd | Interest | 4392.72 | Nil |
| o u Enterprises owned by Key Managerial Personnel | Received | | |
| r Sonajuli Plantations Pvt Ltd Enterprises Owned by Key Managerial Personnel | Interest Received | 20260.63/- | Nil |
| Sudhir Credit Pvt Ltd Enterprises Owned by Key Managerial Personnel | Interest Received | 7163.11/- | Nil |
xiv. In our opinion and based on our examination the Company does not require tocomply with provision of section 138 of the Act. Hence the provisions stated in paragraph3(xiv) (a) to (b) of the Order are not applicable to the company.
xv. According to the information and explanations given to us in our opinion duringthe year the Company has not entered into non-cash transactions with directors or personsconnected with its directors and hence provisions of section 192 of the Act are notapplicable to company. Accordingly the provisions stated in paragraph 3(xv) of the Orderare not applicable to the company.
xvi. In our opinion the Company is required to be registered under section 45 IA ofthe Reserve Bank of India Act 1934 and it has not obtained the registration.
xvii. Based on the overall review of standalone financial statements the Company hasnot incurred cash losses in the current financial year and in the immediately precedingfinancial year. Hence the provisions stated in paragraph clause 3 (xvii) of the Order arenot applicable to the Company.
xviii. There has been resignation of the statutory auditors during the year there wereno issues objections or concerns raised by the outgoing auditors.
xix. According to the information and explanations given to us and based on ourexamination of financial ratios ageing and expected date of realisation of financialassets and payment of liabilities other information accompanying the standalone1 financialstatements our knowledge of the Board of Directors and management plans we are of theopinion that no material uncertainty exists as on the date of audit report and the Companyis capable of meeting its liabilities existing at the date of balance sheet as and whenthey fall due within a period of one year from the balance sheet date.
xx. According to the information and explanations given to us the provisions ofsection 135 of the Act are not applicable to the Company. Hence the provisions ofparagraph (xx)(a) to (b) of the Order are not applicable to the company. xxi. According tothe information and explanations given to us the Company does not have any SubsidiaryAssociate or Joint Venture. Accordingly reporting under clause 3(xxi) of the Order is notapplicable.
| For and on behalf of |
| A SETHIA & CO |
| Chartered Accountants |
| Firm Registration No 328380E |
| Sd/- |
| CA BHAWANA BENGANI |
| Partner |
| Membership No: - 067606 |
| Place: Kolkata |
| Date: 30/05/2022 |
| UDIN: 22067606AJXJGN2635 |
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 internalfinancial controls over financial reporting of Sirohia & Sons Limited. (“theCompany”) as of 31 March 2022 in conjunction with our audit of the standaloneFinancial 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’). 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 safeguardingof its 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 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 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 standalone financial statements whether due to fraud orerror.
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 controlssystem over 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 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 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 and on behalf of |
| A SETHIA & CO |
| Chartered Accountants |
| Firm Registration No 328380E |
| Sd/- |
| CA BHAWANA BENGANI |
| Partner |
| Membership No: - 067606 |
| Place: Kolkata |
| Date: 30/05/2022 |
| UDIN: 22067606AJXJGN2635 |
