TO THE MEMBERS OF TAVERNIER RESOURCES LIMITED
Report on the financial statements
1. We have audited the accompanying financial statements of Tavernier Resources Limited(the "company") which comprise the Balance Sheet as at 31st March 2021 theStatement of Profit and Loss account Cash Flow Statement for the year then ended notesto the financial statements a summary of significant accounting policies and otherexplanatory information which we have signed under reference to this report.
2. In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Companies Act 2013 ("the Act") in the manner so required and give a trueand fair view in conformity with the accounting principles generally accepted in India ofthe state of affairs of the Company as at 31st March 2021 and profit and othercomprehensive income changes in equity and its cash flows for the year ended on thatdate.
Basis for Opinion
3. 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 theFinancial 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 Rulesthereunder and we have fulfilled our other ethical responsibilities in accordance withthese requirements and the Code of Ethics. We believe that the audit evidence we haveobtained is sufficient and appropriate to provide a basis for our opinion.
Key Audit Matters
4. Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the financial statements of the current period. These matterswere addressed in the context of our audit of the financial statements as a whole and informing our opinion thereon and we do not provide a separate opinion on these matters.
5. The Company's management and Board of Directors are responsible for the otherinformation. The other information comprises the information included in the Company'sannual report but does not include the standalone financial statements and our auditors'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 standalone financial statements or our knowledgeobtained in the audit or otherwise appears to be materially misstated. If based on thework we have performed we conclude that there is a material misstatement of this otherinformation we are required to report that fact. We have nothing to report in thisregard.
Management's Responsibility for the Standalone Financial Statements
6. The Company's Board of Directors is responsible for matters stated in section 134(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 in section 133 of the of the Act as applicable. This responsibility alsoincludes maintenance of adequate accounting records in accordance with the provisions ofthe Act for safeguarding the assets of the Company and for preventing and detecting fraudsand other irregularities selection and application of appropriate accounting policies making judgments and estimates that are reasonable and prudent and design implementationand maintenance of adequate internal financial controls that were operating effectivelyfor ensuring accuracy and completeness of the accounting records relevant to thepreparation and presentation of the financial statements that give a true and fair viewand are free from any material misstatement whether due to fraud or error.
7. In preparing the standalone financial statements management and Board of Directorsare responsible for assessing the Company's ability to continue as a going concerndisclosing as applicable matters related to going concern and using the going concernbasis of accounting unless management either intends to liquidate the Company or to ceaseoperations or has no realistic alternative but to do so. Board of Directors is alsoresponsible for overseeing the Company's financial reporting process.
Auditors' responsibilities for the Audit of the Financial Statements
8. 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 financial statements.
9. 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 standalonefinancial statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.
Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under section 143(3)(I)of the Act we are also responsible for expressing our opinion on whether the Company hasin place adequate internal financial controls with reference to standalone financialstatements and the operating effectiveness of such controls.
Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by management and Board of Directorsin the standalone financial statements.
Conclude on the appropriateness of management's and Board of Director's use ofthe going concern basis of accounting and based on the audit evidence obtained whether amaterial uncertainty exists related to events or conditions that may cast significantdoubt on the Company's ability to continue as a going concern. If we conclude that amaterial uncertainty exists we are required to draw attention in our auditor's report tothe related disclosures in the standalone financial statements or if such disclosures areinadequate to modify our opinion. Our conclusions are based on the audit evidenceobtained up to the date of our auditor's report. However future events or conditions maycause the Company to cease to continue as a going concern.
Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the standalone financialstatements represent the underlying transactions and events in a manner that achieves fairpresentation.
We communicate with audit committee regarding among other matters the planned scopeand timing of the audit and significant audit findings including any significantdeficiencies in internal control that we identify during our audit.
We also provide with audit committee with a statement that we have complied withrelevant ethical requirements regarding independence and to communicate with them allrelationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.
From the matters communicated with audit committee we determine those matters thatwere of most significance in the audit of the standalone financial statements of thecurrent period and are therefore the key audit matters. We describe these matters in ourauditors' report unless law or regulation precludes public disclosure about the matter orwhen 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
As required by the Companies (Auditors' Report) Order 2016 ("the Order")issued by the Central Government in terms of Section 143(11) of the Act we give in"Annexure A" a statement on the matters specified in paragraphs 3 and 4 of theOrder to the extent applicable.
10. As required by Section 143 (3) of the Act we report to the extent applicable that:
(i) 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;
(ii) 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;
In our opinion the aforesaid standalone financial statements comply with the Ind ASspecified under Section 133 of the Act.
(iii) The Balance Sheet Statement of Profit and Loss and Cash Flow statement dealtwith by this report are in agreement with the books of account;
(iv) In our opinion the Balance Sheet Statement of Profit and Loss and Cash FlowStatement dealt with by this report comply with the Accounting Standards specified underof section 133 of the said Act read with rule 7 of the Companies (Accounts) Rules 2014.
(v) On the basis of written representations received from the directors as on 31stMarch 2021 and taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2021 from being appointed as a director in termsof Section 164 (2) of the Act.
(vi) With respect to the adequacy of the internal financial controls with reference tofinancial statements of the Company and the operating effectiveness of such controlsrefer to our separate Report in "Annexure B"
(vii) 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 knowledge and according to the explanations given to us:
a) The Company does not have any pending litigations which could impact its financialposition.
b) The Company wherever necessary has made provisions in its financial statements asrequired under applicable law or accounting standards for material for eseeable losses.
c) There has been no delay in transferring amounts if any required to be transferred tothe Investor Education and Protection Fund by the Company.
d) The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.
Annexure A to Independent Auditors' report to the members of Tavernier Resources Ltd.
With reference to the Annexure A referred to in the Independent Auditors' Report to themembers of the Company on the standalone financial statements for the year ended 31stMarch 2021 we report the following:
1. In respect of its fixed assets:
a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
b) According to the information and explanation given to us the company has formulateda regular program of verification by which all the assets of the company shall be verifiedin a phased manner which in our opinion is reasonable having regard to the size of thecompany and nature of its assets. To the best of our knowledge no material discrepancieswere noticed on verification conducted during the year as compared with the book records.
i. In our opinion substantial part of fixed assets were disposed off during the year
ii. According to the information and explanations given to us the Company does nothave any immovable properties. Accordingly paragraph 3(i)(c) of the Order is notapplicable to the Company.
2. In respect of its Inventories:
a) As explained to us the inventories have been physically verified during the year bythe management. In our opinion the frequency of verification is reasonable.
b) In our opinion and according to the information and explanations given to us theprocedures of physical verification of stocks followed by the management are reasonableand adequate in relation to the size of the Company and the nature of its business.
c) On the basis of our examination of the inventory records of the Company we are ofthe opinion that the Company is maintaining proper records of its inventory.
3. According to the information and explanations given to us the Company has notgranted any loans secured or unsecured to companies firms limited liabilitypartnerships or other parties covered in the register maintained under Section 189 of theAct. Accordingly the provisions of paragraph 3(iii) (a) (b) and (c) of the order are notapplicable to the Company.
4. In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of sections 185 and 186 of the Act whereapplicable with respect to the loans given investments made guarantees and securitiesgiven.
5. The Company has not accepted any deposits from the public within the meaning of thedirectives issued by the Reserve Bank of India provisions of Section 73 to 76 of the Actany other relevant provisions of the Act and the relevant rules framed thereunder.
6. The Central Government has not prescribed the maintenance of cost records undersection 148 of the Act for any of the services rendered by the Company.
7. To the best of our knowledge and according to the information and explanations givento us the Company is in compliance with Section 177 and 188 of the Companies Act 2013where applicable for all transactions with the related parties and the details of relatedparty transactions have been disclosed in the financial statements as required by theapplicable accounting standards.
8. The Company has not taken any loans or borrowings from financial institutions banksand government or has not issued any debentures. Hence reporting under clause 3 (viii) ofthe Order is not applicable to the Company
9. In our opinion and according to the information and explanations given to us theCompany did not raise any money by way of initial public offer or further public offer(including debt instruments) and term loans during the year. Accordingly paragraph 3(ix)of the Order is not applicable to the Company.
10. According to the information and explanations given to us and on basis ofexamination of the records of the company amounts deducted / accrued in the books ofaccount in respect of undisputed statutory dues including Provident Fund InvestorEducation and Protection Fund Income Tax Sales tax Wealth tax Excise Duty Servicetax Customs duty and other material statutory dues have been generally regularlydeposited during the year by the Company with the appropriate authorities.
There were no undisputed amounts payable in respect of Provident Fund Employees' StateInsurance Income Tax Sales Tax Value Added Tax Service Tax Goods and Service TaxCustoms Duty Excise duty Cess and other material statutory dues as applicable in arrearsas at March 312021 for a period of more than six months from the date they becamepayable.
11. In our opinion and according to the information and explanations given to us andbased on examination of the records of the Company the Company has paid/ providedmanagerial remuneration in accordance with the requisite approvals mandated by theprovisions of section 197 read with Schedule V to the Act.
12. According to the records of the Company examined by us and the information andexplanations given to us the Company has not defaulted in repayment of dues to anyfinancial institution or bank or debenture holders as at the balance sheet date
13. The Company has not granted any loans and advances on the basis of security by wayof pledge of shares and other securities.
14. The provisions of any special statue applicable to chit fund / nidhi / mutualbenefit fund / societies are not applicable to the Company.
15. 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 non-cashtransactions with directors or persons connected with him. Accordingly paragraph 3(xv) ofthe Order is not applicable to the Company.
16. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year. Accordingly paragraph 3(xiv) of the Order is not applicable to the Company.
17. The Company has not given any guarantee for loans taken by others from bank orfinancial institution
18. On the basis of an overall examination of the Balance Sheet of the Company in ouropinion and according to the information and explanations given to us there are no fundsraised on a short-term basis which have been used for long-term investment.
19. Based upon the audit procedures performed and information and explanations given bythe management we report that no fraud on or by the company has been noticed or reportedduring the course of our audit.
20. According to the information and explanation given to us the company is notrequired to be registered under section 45-IA of the Reserve Bank of India Act 1934.
ANNEXURE B TO THE INDEPENDENT AUDITORS' REPORT
Report on the Internal Financial Controls Over Financial Reporting under clause (i) ofsub section 3 of Section 143 of the Companies Act 2013.
We have audited the internal financial controls over financial reporting of TAVERNIERRESOURCES LIMITED (Company) as at 31st March 2021 in conjunction with our audit ofStandalone Financial Statements of the Company as on that date.
Management Responsibility for Internal Financial Controls:
The Board of Directors of the Company are responsible for establishing and maintaininginternal financial controls based on the respective internal control over financialreporting criteria established by the Company considering the essential components ofinternal controls stated in the Guidance Note on Audit of Internal Financial Controls overFinancial Reporting issued by the Institute of Chartered Accountants of India (TheGuidance Note). These responsibilities include the design implementation and maintenanceof adequate financial controls that are operating effectively for ensuring orderly andefficient conduct of its business including adherence to the respective Company'spolicies the safeguarding of its assets detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the act.
Our responsibility is to express an opinion on Company's internal financial controlsover financial reporting based on our Audit. We conducted the audit in accordance withStandards on Auditing prescribed under section 143 (10) of the Act and the Guidance noteto the extent applicable to an Audit of internal financial controls over financialreporting. Those standards and the Guidance Note require that we comply with the ethicalrequirements and plan and perform the Audit to obtain reasonable assurance about whetheradequate internal financial controls over financial reporting was established andmaintained and such controls operated effectively in all material respects.
Our Audit involves performing procedures to obtain Audit evidence about the adequacy ofthe internal financial controls 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 efficiency and effectiveness of internal control based on assessed risk. Theprocedures selected depend on the auditor's judgement including the assessment of risks ofmaterial 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 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 ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of assets of the company; (2) provide reasonable assurance that transactionsare recorded as necessary to permit preparation of financial statements in accordance withauthorisations of management and directors of the company; and (3) provide reasonableassurance regarding prevention or timely detection of unauthorised acquisition use ordisposition of the Company's assets that could have material effect on the financialstatements.
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 misstatement due to error or fraud may occur and not be detected. Alsoprojections of evaluation of internal controls over financial reporting to future periodsare subject to the risk that the internal financial control over financial reporting maybecome inadequate because of changes in conditions or that the degree of compliance withthe policies or procedures may deteriorate.
In our opinion to the best of our information and according to the explanation given tous the company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at March 2021 based on the internal financialcontrol reporting criteria established by the Company considering the essential componentsof internal control stated in the Guidance Note.
|Rajeev & Rajesh |
|(Chartered Accountants) |
|FRN: - 120382W |
|Rajesh Pandey (Partner) |
|M. No.103969 |
|Date:09th June 2021 |
|Place: Mumbai |
|UDIN:- 21103969AAAAAX3269 |