The MembersofSUPREMEXSHINESTEELS LIMITED
(Formerlyknown asICVLSTEELS LIMITED)
Report on the Financial Statements
1. We have audited the accompanying financial statements of SUPREMEX SHINE STEELSLIMITED (Formerly known as ICVLSTEELSLIMITED)("the Company") which comprise theBalance Sheet as at31stMarch 2018 the Statement of Profit and Loss (Including OtherComprehensive Income) the Cash Flow statement and the Statement of Changes in the Equityfor the year ended on that date and a summary of significant accounting policies and otherexplanatory information ( herein after referred toasIndAS Financial Statements).
Management's Responsibility for the Financial Statements
2. The Company's Board of Directors is responsible for the matters stated in section134(5) ofthe Companies Act 2013 ("the Act") with repect to the preparation ofthese Ind AS financial statements that give a true and fairview of the financial positionfinancial performance including Other Comprehensive Income Cash Flow and Changes in theEquity of the Company in accordance with the Accounting principles generally accepted inIndia including the Indian Accounting Standards("IndAS") specified undersection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014. Thisresponsibility also includes the maintenance of adequate accounting records in accordancewith the provision of the Act for safegaurding of the assets of the company and forpreventing and detecting the frauds and other irregularities selection and application ofappropriate accounting policies making judgements and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrol that were operating effectively for ensuring the accuracy and completeness of theaccounting records relevant to the preparation and presentation of the Ind AS financialstatementsthatgiveatrueandfairviewandarefreefrommaterialmisstatementwhetherduetofraudorerror.
3. Our responsibility is to express an opinion on these Ind AS financial statementsbased on our audit.
4. 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 Actand the Rules made thereunder.
5. We conducted our audit of the Ind AS Financial Statements in accordance with theStandards on Auditing specified under section 143(10) of the Act. Those Standards requirethatwe comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the Ind AS financial statements are free from materialmisstatement.
6. An audit involves performing procedures to obtain audit evidence about the amountsand disclosures in the Ind AS financial statements. The procedures selected depend on theauditor's judgment including the assessment ofthe risks of material misstatement of theInd AS financial statements whether due to fraud or error. In making those riskassessments the auditor considers internal financial control relevant to the Company'spreparation and presentation of the Ind AS financial statement that give a true & fairview in order to design audit procedures that are appropriate in the circumstances. Anaudit also includes evaluating the appropriateness of accounting policies used and thereasonableness ofthe accounting estimates made by Company's Director's as well asevaluating the overall presentation ofthe Ind AS financial statements.
7. 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.
8. In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Ind AS financial statements give the information required bythe Act in the manner so required and give a true and fairview in conformity with theaccounting principles generally accepted in India including the Ind AS of the state ofaffairs ofthe company as at March 312018 and its profit including Other ComprehensiveIncome its cash flow and Changes in the Equity for the year ended on thatdate.
Report on Other Legal and Regulatory Requirements
9. As required by the Companies (Auditor's Report) Order 2016 ('the order') issued bythe Central Government of India in terms of sub-section (11) of section 143 of the Actherein after referred to as the ("Order") and on the basis of such checks ofthe books and records of the company as we consider appropriate and according to theinformation and explanation given to us . We give in the Annexure A statement on thematters specified in paragraphs 3 and 4 of the Order to the extent applicable.
10. As required by section 143(3) oftheActwe further report that:
a. we have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary forthe purpose of our audit;
b. in our opinion proper books of account as required bylaw have been kept by theCompany so far as it appears from our examination ofthose books;
c. the Balance Sheet the Statement of Profit and Loss including Other Comprehensiveincome the Cash Flow Statement and Changes in Equity dealt with bythis Reportare inagreement with the booksof account;
d. in our opinion the aforesaid financial statements comply with theAccountingStandards specified under section 133 of theAct read with Rule 7 ofthe Companies(Accounts) Rule 2014.
e. on the basis of written representations received from the directors as on March312018 taken on record by the Board of Directors none of the directors is disqualifiedas on March 312018 from being appointed as a director in terms of section 164(2) oftheAct.
f. With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness ofsuch controlsrefertoourseparate ReportinAnnexure B.
g. With respect to other matters to be included in the Auditor's Report in accordancewith the Rule 11 ofthe Companies ( Audit and Auditors) Rules 2014 in our opinion and tothe best of our knowledge and belief and according to the information and explanationsgiven to us:
i. The Company does not have any pending litigations which would impact its financialposition and its financial statements.
ii. The company did not have any long term contracts including derivative contracts asat March 312018 as such the question of commenting for any material forceable lossesthere on does notarise.
iii. Therehas notbeen an occasion in case of the companyduring the year ended March312018 under reportto transfer any sums to the Investor Education and Protection Fund.The question of delay in transferring such sums does notarise.
ForJ. B. Dudhela&Co. Chartered Accountants
(J. B. Dudhela)
Place: Mumbai Proprietor
Date : 28th May 2018 (Memb. No. 035354)
ANNEXUREATO THE INDEPENDENT AUDITORS' REPORT
1. (a) The Company has maintained proper records showing full particulars includingquantitative detials and situation of its Property
Plant and Equipments.
(b) As explained to us the Property Plant and Equipments have been physically verifiedby the management during the year at regular intervals and no material discrepancies werenoticed on such physical verification. In our opinion the frequency ofthe verification isreasonable having regard to the size of the company and the nature of its assets.
(c) The company does not own any immovable property; therefore the clause Title deedsof immovable properties are held in the name ofthe company is not applicable.
2. As explained to us the inventories were physically verified during the year by theManagement at reasonable intervals and no material discrepancies were notice on physicalverification.
3. According to the information and explanations given to us and on the basis of ourexamination ofthe books of account the company has not granted any loans secured orunsecuredtothe companies firms Limited Liability Partnership and other parties listed inthe register maintained under section 189 ofthe CompaniesAct2013. Therefore the provisionof the clause 3 (iii) (iii)(a) (iii)(b)and (iii)(c) ofthe said order are not applicableto the company.
4. The company has not granted any loans or made any Investments or provided anyguarantee or security to the parties covered under section 185 and 186. Therefore theprovisions of the clause 3(iv) of the said order is not applicable to the company.
5. The company has not accepted any deposit from the public within the meaning ofsection 737475 and 76 of the Companies Act 2013and rules framed there under to theextent notified.
6. As informed to us the Central Government has not prescribed maintenance of costrecord under sub section (1) of section 148 of theAct.
7. According to the record information and explanations givento us in respect ofstatutory dues the company is generally regular in depositing with appropriateauthorities undisputed amount of provident fund employee state insurance Income TaxSales Tax Custom duty Excise duty Service Tax Cess and other statutory duesapplicable to it and no undisputed amount payable were outstanding as at March 312018 fora period of more than Six months from the date they become payable.
8. According to the records of the company examined by us and the Information andexplanation given to us the company does not have any loans or borrowings from anyFinancial Institution Bank Government or debenture holders during the year. Accordinglythe provisions of Clause 3(viii) of the order is not applicable to the company.
9. The company has not raised any moneys by way of initial public offer further publicoffer (including debt instruments) and Term Loans. Accordingly the provisions ofClause3(ix)of the order are not applicable to the company.
10. 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 explanation given to us we have neither come acrossanyinstanceofmaterialfraudbytheCompanyorontheCompanybyitsofficersoremployees noticed orreported during the year nor have we been informed of any such case by the management.
11. The Company has not paid / provided for Managerial Remuneration therefore provisionof Clause 3(xi) ofthe order are not applicable to the company.
12. As the company is nota Nidhi Company and the Nidhi Rules 2014 are not applicableto it. The Provision ofclause 3(xii) of the order are not applicable to the company
13. The company has entered into Transaction with related parties in compliance withthe provisions of section 177 and 188 of the Act. The details of such related partytransaction have been disclosed in the Financial Statement as required under AccountingStandard (AS) 18. Related Party Disclosers specified under section 133 of the Act readwith rule 7 of the Companies (Accounts) Rules2014.
14. During the year the Company has not made any preferential allotment or privateplacement of Shares or fully or partly convertible Debentures during the year underreview. Accordingly the provisions of Clause 3(xiv) of the order are not applicable to thecompany.
15. The Company has not entered into any Non Cash Transaction with its Directors orperson connected with him during the year. Accordingly the provisions of the Clause 3(xv) of the order are not applicable to the company.
16. The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934. Accordingly the provisions of the Clause 3 (xvi) ofthe order arenot applicable to the company
ForJ. B. Dudhela&Co. Chartered Accountants
(J. B. Dudhela)
Place: Mumbai Proprietor
Date : 28th May 2018 35 (Memb. No. 035354)
ANNEXURE-B TOINDEPENDENTAUDITORS' REPORT
Referredto in paragraph 10(f) ofthe IndependentAuditors' Reportofevendateto the membersofSUPREMEXSHINESTEELSLIMITED
(Formerlyknown as ICVLSTEELS LIMITED)onthefinancialstatementsasofandfortheyearendedMarch312018.
Reporton the Internal Financial Controls underClause (i) ofSub-section 3 ofSection 143oftheAct.
1. We have auditedthe internalfinancial controlsoverfinancialreportingofSUPREMEXSHINESTEELS LIMITED (Formerlyknown as ICVL STEELS LIMITED) ("TheCompany") as of March 312018 in conjunction with our audit ofthe financialstatements ofthe Companyfortheyearendedonthatdate.
Management's Responsibility forInternal Financial Controls
2. The Company's management is responsible for establishing and maintaininginternalfinancial controls basedonthe internal control overfinancial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit ofInternal Financial Controls over Financial Reportingissued bythe Institute ofCharteredAccountants of India ('ICAI'). These responsibilitiesinclude the design implementation and maintenance ofadequate internalfinancialcontrolsthat were operating effectivelyforensuring the orderlyand efficient conduct of itsbusiness including adherence to company's policies the safeguarding of its assets theprevention and detection offrauds and errors the accuracy and completeness oftheaccounting recordsandthe timely preparationof reliablefinancial information asrequiredundertheAct.
3. Our responsibility is to express an opinion onthe Company's internal financialcontrols overfinancial reporting based on our audit. We conductedourauditinaccordancewiththe Guidance Note onAudit of Internal Financial Controls over Financial Reporting (the"Guidance Note") and the StandardsonAuditing deemed to be prescribed undersection 143(10) ofthe Act to the extentapplicable toanauditofinternalfinancial controlsboth applicable to an auditofInternal Financial Controls and both issued bythe ICAI.ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand perform the audit to obtain reasonable assurance aboutwhetheradequateinternalfinancialcontrolsoverfinancialreportingwas established and maintained and ifsuch controlsoperatedeffectively in all material respects.
4. Our auditinvolves performing procedures to obtain audit evidence aboutthe adequacyofthe internalfinancial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding ofinternal financial controls overfinancial reportingassessing the riskthat 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 orerror.
5. We believe thatthe audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company'sinternalfinancial controls systemoverfinancial reporting.
Meaning ofInternal Financial Controls over Financial Reporting
6. Acompany's internal financial control overfinancial 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 dispositions ofthe assets ofthe company;
(2) provide reasonable assurance thattransactions are recorded as necessaryto permitpreparation offinancial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures ofthe company are being madeonlyinaccordance with authorizations ofmanagementanddirectors ofthe company; and
(3) provide reasonable assurance regarding prevention or timely detectionofunauthorised acquisition use or disposition of the company's assets that could have amaterial effect on the financial statements.
Inherent Limitations ofInternal Financial Controls over Financial Reporting
7. 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 ofany evaluation ofthe internal financial controls overfinancialreporting to future periods are subjectto the riskthatthe internal financial controloverfinancial reporting may become inadequate because ofchanges in conditions orthatthedegree of compliancewiththepoliciesorproceduresmaydeteriorate.
8. In our opinion the Company has in all material respects an adequate internalfinancial controls system overfinancial reporting and such internal financial controlsoverfinancial reporting wereoperating effectively as at March 312018 basedonthe internalcontrol overfinancial reporting criteria established by the Company considering theessential components of internal control stated in the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting issued bythe Institute ofCharteredAccountantsof India.
ForJ. B. Dudhela&Co. Chartered Accountants
(J. B. Dudhela)
Place: Mumbai Proprietor
Date : 28th May 2018 36 (Memb. No. 035354)