THE MEMBERS OF
TCI DEVELOPERS LIMITED
Report on the Audit of Standalone Financial Statements
We have audited the accompanying Standalone financial statements of TCI DEVELOPERSLIMITED ("the Company") which comprise the Balance Sheet as at 31stMarch 2022 the Statement of Profit and Loss including the statement of OtherComprehensive Income the Cash Flow Statement and the statement of change in Equity forthe year then ended and notes to the standalone financial statements including thesummary of the significant accounting policies and other explanatory information(hereinafter referred to as "the standalone financial statements").
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 true andfair view in conformity with the Indian Accounting Standards prescribed under section 133of the Act read with the Companies (Indian Accounting Standards) Rules 2015 as amended("Ind AS") and other accounting principles generally accepted in India of thestate of affairs of the Company as at March 31 2022 and its profit total comprehensiveincome (comprising of profit and other comprehensive income) its cash flows and changes inequity for the year ended on that date.
Basis for Opinion
We conducted our audit of the standalone financial statements in accordance with theStandards on Auditing ("SA"s) specified under section 143(10) of the Act. Ourresponsibilities under those standards are further described in the Auditor'sResponsibility for the Audit of the Standalone Financial Statements section of our report.We are independent of the company in accordance with the Code of Ethics issued by theInstitute of Chartered Accountants of India ("ICAI") together with the ethicalrequirements that are relevant to our Audit of the Standalone Financial Statements underthe provision 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 obtained by us is sufficient and appropriate toprovide a basis for our audit opinion on the standalone financial statements.
We did not audit the financial information as regards Company's share in Profit ofpartnership firm (post tax) amounting to Rs.114.07 Lakhs for the year ended March 312022. The financial information has been audited by other auditors whose reports have beenfurnished to us and the Company's share in profits of partnership firm investments hasbeen included in the accompanying standalone financial statements solely based on thereport of other auditors.
Our opinion is not qualified in respect of these matters.
Key Audit Matters
Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of Standalone Financial Statements of the current period. Thesematters were addressed in the context of our audit of the Standalone Financial Statementsas a whole and in forming our opinion thereon and we do not provide a separate opinion onthese matters. We have determined the matters below to be the key audit matters to becommunicated in our report.
We have determined that there are no other key matters to communicate in our reports.
|Key audit matters ||Auditor's Response |
|Recovery of MAT credit entitlement in future (as described in note 12 of the financial Statements) || |
|Tto brought forward loss and unabsorbed depreciation and therefore it has been paying Minimum Alternative Tax (Mat) under Tax Act 1961. The Act also provides that such MAT paid can be carried forward (MAT credit entitlement) for set off against regular tax payable in subsequent fifteen year period. ||Following procedures have been performed to address this key audit matter. |
| || We have carried out testing of the design and implementation as well as operation effectiveness of key controls related to the calculation and recognition of such MAT credit. |
| || We have assessed the appropriateness of the mythology applied by the Company with current accounting standards and applicable taxation laws along with the future business forecast of taxable profits. |
|Such MAT credit entitlement are recognized when it is probable that normal taxable profit will be available against which these MAT credits can be utilized The Company's ability to recognize || |
|these MAT credit assets is assessed by management at the end of each reporting period taking into account forecast of future taxable profit and the law and jurisdiction of the land in force. The assumption on these projections are determined by management. At March 31 2022 MAT credit entitlement recognized in the Company's financial statements totaled Rs 144.10 lacs. || We have assessed the likelihood of the Company to utilize the available MAT credit entailment in the future with underlying projections and assumption relating to future estimated profits future capitalization and depreciation allowance thereon and future estimates of taxable income. |
| || We have re-calculated the future taxability workings obtained from the management to check the arithmetical accuracy of the working. |
|Given the degree of judgment involved in making a forecast of the profitability of the Company and the materiality of the amounts involved. We deemed this issue to be a key audit matter. || |
| || We have also checked the adequacy of the disclosure on these matters in the financial statement of the Company. |
Information Other than the Standalone 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 annexure to Board's Report BusinessResponsibility Report Corporate Governance and Shareholder's
Information but does not include the standalone financial statements and our auditor'sreport 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 during the 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.
If based on the work we have performed we conclude that there is a materialmisstatement of the other information we are required to report that fact. We havenothing to report in this regard.
Management Responsibility 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 including other comprehensive income cash flows andchanges in equity of the Company in accordance with the accounting principles generallyaccepted in India including the Indian Accounting Standards (Ind AS) specified underSection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014 and thecompanies (Indian Accounting Standards) Rule 2015 as amended. This responsibility alsoincludes maintenance of adequate accounting records in accordance with the provisions ofthe Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate accountingpolicies; making judgments and estimates that are reasonable and prudent; and designimplementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the standalone financialstatements that give a true and fair view and are free from material misstatement whetherdue to fraud or error.
In preparing the standalone financial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablematters related to going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the company or to cease operations or has norealistic alternative but to do so.
The Board of Directors is also responsible for overseeing the company's financialreporting process.
Auditor's Responsibilities for the Audit of Standalone Financial Statements.
Our objectives are to obtain reasonable assurance about whether the standalonefinancial statements as a whole are free from material misstatement whether due to fraudor error and to issue an auditor's report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material misstatement when it exists. Misstatements canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the economic decisions of userstaken on the basis of these Standalone 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 standalonefinancial statements whether due to fraud
or error design and perform audit procedures responsive to those risks and obtainaudit evidence that is sufficient and appropriate to provide a basis for our opinion. Therisk of not detecting a material misstatement resulting from fraud is higher than for oneresulting from error as fraud any involve collusion forgery intentional omissionsmisrepresentations or the override of internal control.
Obtain an understanding of internal financial controls relevant to the audit inorder to design audit procedures that are appropriate in the circumstances. Under section143(3)(i) of the Act we are also responsible for expressing our opinion on whether theCompany has adequate internal financial controls system in place and the operatingeffectiveness of such controls.
Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basisof accounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe standalone financial statements or if such disclosures are inadequate to modify ouropinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditor's report. However future events or conditions may cause the Company to cease tocontinue as a going concern.
Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.
Materiality is the magnitude of misstatements in the standalone financial statementsthat individually or in aggregate makes it probable that the economic decisions of areasonably knowledgeable user of the financial statements may be influenced. We considerquantitative materiality and qualitative factors in (i) planning the scope of our auditwork and in evaluating the results of our work; and (ii) to evaluate the effect of anyidentified misstatements in the financial statements.
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.
From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the standalone financial statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditor's report unless law or regulation precludes public disclosure about thematter or when 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
1) As required by section 143(3) of the Act based on our audit 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 including the statement of OtherComprehensive Income the Cash Flow Statement and Statement of Changes in Equity dealtwith by this Report are in agreement with the books of account.
d. In our opinion the aforesaid financial statements comply with the Ind AS specifiedunder section 133 of the Act.
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. 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 A". Our report expresses an unmodified opinion onthe adequacy and operating effectiveness of the Company's internal financial controls overfinancial reporting.
g. With respect to the other matters to be included in the Auditor's Report inaccordance with the requirements of section 197(16) of the Act as amended:
In our opinion and to the best of our information and according to the explanationsgiven to us no remuneration has been paid by the Company to its directors during the yearis in accordance with the provisions of section 197 of the Act.
h. With respect to other matters to be included in the Auditor's Report in accordancewith Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinion and to thebest of our information and according to the explanations given to us:
(i) The Company does not have any pending litigations which would impact its financialposition.
(ii) The Company did not have any long-term contracts including derivative contracts;as such the question of commenting on any material foreseeable losses thereon does notarise.
(iii) There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund.
(iv) a. The respective Managements of the company and its subsidiaries which areincorporated in India whose financial statements have been audited under the Act haverepresented to us that to the best of their knowledge and brief belief no funds (whichare material either individually or in aggregate) have been advanced or loaned or invested(either from the borrowed funds or share premium or any other sources or kind of funds) bythe Company or any such of subsidiaries to or in any other person or entity includingforeign entity ("Intermediaries") with the understanding whether recorded inwriting or otherwise that the Intermediary shall directly or indirectly lend or invest inother persons or entities identified in any manner whatsoever by or on behalf of theCompany or any of such subsidiaries ("Ultimate beneficiaries") or provide anyguarantee security or the like on behalf of the Ultimate beneficiaries.
b. The respective Management of the Company and its subsidiaries which are companiesincorporated in India whose financial statements have been audited under the Act haverepresented to us that to the best of the knowledge and belief no funds (which arematerial either individually or in the aggregate) have been received by the company or anyof subsidiaries from any person or entity including foreign entity ("Fundingparties") with the understanding whether recorded in writing or otherwise that theCompany or any of such subsidiaries shall directly or indirectly lend or invest in otherpersons or entities identified in any manner what's the whatsoever by or on behalf of thefunding party ("Ultimate beneficiaries') or provide any guarantee security or thelike on behalf of the Ultimate Beneficiaries.
c. Based on audit procedures that have been considered reasonable and appropriate inthe circumstances performed by us on the Company and its subsidiaries which are companiesincorporated in India whose financial statements have been audited under the Act nothinghas come to our notice that has caused us to believe that the representations are undersub clause(i) and (ii) of Rule 11(e) as provided under (a) and (b) above contain anymaterial misstatement.
2) As required by the Companies (Auditor's Report) Order 2022 (the "Order")issued by the Central Government of India in terms of sub-section (11) of section 143 ofthe Act we give in the "Annexure B" statement on the matters Specified inparagraphs 3 and 4 of the Order.
ANNEXURE " A " TO THE INDEPENDENT AUDITOR'S REPORT
(Referred to in paragraph 1(f) under 'Report on Other Legal and RegulatoryRequirements' section of our report to the Members of TCI Developers Limited of even date)
Report on the Internal Financial Controls Over Financial Reporting under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013 ("the Act")
We have audited the internal financial controls with reference to Standalone FinancialStatements of TCI DEVELOPERS LIMITED ("the Company") as of 31stMarch 2022 in conjunction with our audit of the Standalone financial statements of theCompany 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.
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 deemed tobe prescribed under section 143(10) of the Companies Act 2013 to the extent applicableto an audit of internal financial controls both applicable to an audit of InternalFinancial Controls and both issued by the Institute of Chartered Accountants of India.Those Standards and the Guidance Note require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols 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 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 systemwith reference to financial statements.
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 standalone financial statements for external purposes in accordance withgenerally accepted accounting principles. A company's internal financial control overfinancial reporting includes those policies and procedures that
(1) pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the company;
(2) provide reasonable assurance that transactions are recorded as necessary to permitpreparation of standalone financial statements in accordance with generally acceptedaccounting principles and that receipts and expenditures of the company are being madeonly in accordance with authorizations of management and directors of the company; and
(3) provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the company's assets that could have amaterial effect on the standalone 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.
In our opinion to the best of our information and according to the explanations givento us 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 31 March 2022 based on the criteria forinternal financial control over financial reporting 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.
'ANNEXURE 'B' TO THE INDEPENDENT AUDITOR'S REPORT
(Referred to in paragraph 2 under 'Report on Other Legal and Regulatory Requirements'section of our report to the Members of TCI Developers of even date)
To the best of our information and according to the explanations provided to us by thecompany and the books of account and records examined by us in the normal course of auditwe state that:
(i) In respect of the company's Property Plant and Equipment and intangible assets-
a) A) The Company has maintained proper records showing full particulars includingquantitative details and situation of Property Plant and Equipment.
(B) The Company has maintained proper records showing full particulars and situation ofintangible assets.
b) As explained to us the Property Plant and Equipment of the Company have beenphysically verified by the management at reasonable intervals. According to theinformation and explanation given to us by the management no material discrepancies havebeen noticed 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 property held inthe name of company except as mentioned below:
(Amount in Rs Lakhs)
|Description of item of property ||Gross Book Value ||Title deeds held in the name of ||Whether title deed holder is a promoter director or relative of promoter/ director or employee of promoter/director ||Property held since which date ||Reason for not being held in the name of the company |
|Land & Building- at Chennai ||64.82 ||Transport Corporation of India Limited ||No ||Feb-10 ||The Property being Transferred under the scheme of arrangement in 2010 Opinion is being sought on applicability of stamp duty Hence the transfer is pending in the name of company |
|Land & Building - at Panjim ||86.50 ||Transport Corporation of India Limited ||No ||Feb-10 ||The Property being Transferred under the scheme of arrangement in 2010 The mutation deed is pending in the name of transferor there after mutation will be done in the name of the company |
d) The Company has not revalued any of its Property Plant and Equipment and intangibleassets during the year.
e) As explained to us there are no proceedings have been initiated during the year orare pending against the Company as at March 31 2022 for holding any benami property underthe Benami Transactions (Prohibition) Act 1988 (as amended in 2016) and rules madethereunder.
(ii) a) The Company's business does not require maintenance of inventories andaccordingly the requirement to report on clause 3(iiXa) of the Order is not applicable tothe Company.
b) The Company has not been sanctioned working capital limits in excess of Rs. 5 crorein aggregate at any points of time during the year from banks or financial institutionson the basis of security of current assets and hence reporting under clause 3(ii)(b) ofthe Order is not applicable.
(iii) During the year the company had granted unsecured loan to a wholly ownedsubsidiary company as covered in the register maintained under section 189 of theCompanies Act 2013in respect of which:
a) The Balance outstanding at the balance sheet date with respect to such loan towholly owned subsidiary company is Rupees 3.81 Crore.
b) In our opinion the investments made and the terms and conditions of the grant ofloans during the year prima facie not prejudicial to the Company's interest.
c) In respect of loans granted by the Company the schedule of repayment of principaland payment of interest has been stipulated and the repayments of principal amounts andreceipts of interest are generally been regular as per stipulation.
d) There are no overdue amounts in respect of the loan granted to a body corporatelisted in the register maintained under section 189 of the Act.
e) No loan granted by the Company which has fallen due during the year has beenrenewed or extended or fresh loans granted to settle the over dues of existing loans givento the same parties.
f) The Company has not been granted any loans or advances in the nature of loans eitherrepayable on demand or without specifying any terms or period of repayment during theyear. Hence reporting under clause 3(iii)(f) is not applicable.
The Company has not provided any guarantee or security or granted any advances in thenature of loans secure or unsecured to companies firms Limited Liability Partnershipsor any other parties.
(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of section 185 and 186 of the Act with respectto the loans and investments made.
(v) In our opinion and according to the information and explanations given to us theCompany has neither accepted any deposits from the public nor accepted any amounts whichare deemed to be deposits within the meaning of sections 73 to 76 of the Companies Act andthe rules made thereunder to the extent applicable. Accordingly the requirement toreport on clause 3
(v) of the Order are not applicable to the Company.
(vi) As informed to us the maintenance of cost records has not been specified by theCentral Government under section 148(1) of the Companies Act 2013 for the businessactivities carried out by the Company. Thus reporting under clause 3(vi) of the order isnot applicable to the Company.
(vii) According to the information and explanations given to us in respect ofstatutory dues:
(a) The company is generally regular in depositing the undisputed statutory duesincluding Provident Fund Employees' State Insurance Income-tax Sales-tax Wealth TaxGoods and Services Tax Custom Duty Excise Duty and other statutory dues as applicablewith the appropriate authorities in India; According to the information and explanationsgiven to us and based on audit procedures performed by us no undisputed amounts payablein respect of these statutory dues were outstanding on the last day of the financial yearconcerned 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 there are no dues of income tax or goods and service taxprovident fund employees' state insurance income tax sales tax service tax customduty excise duty value added tax Cess and other statutory dues which have not beendeposited on account of any dispute.
(viii) According to the records of the company examined by us and as per theinformation and explanation given to us there were no transactions relating to previouslyunrecorded income that have been surrendered or disclosed as income during the year in thetax assessments under the Income Tax Act 1961 (43 of 1961).
(ix) a) According to the records of the company examined by us and as per theinformation and explanations given to us the company has not defaulted in repayment ofloans or other borrowings or in the payment of interest thereon to any financialinstitution or banks or lender.
b) According to the records of the company examined by us and as per the informationand explanations given to us The Company has not been declared willful defaulter by anybank or financial institution or government or any government authority.
c) According to the records of the company examined by us and as per the informationand explanations given to us the Term loans were applied for the purpose for which theloans were obtained.
d) According to the records of the company examined by us and as per the informationand explanations given to us on an overall examination of the financial statements of theCompany no funds raised on short-term basis have been used for long-term purposes by theCompany.
e) According to the records of the company examined by us and as per the informationand explanations given to us On an overall examination of the financial statements of theCompany the Company has not taken any funds from any entity or person on account of or tomeet the obligations of its subsidiaries or associate companies. f) According to therecords of the company examined by us and as per the information and explanations given tous the Company has not raised loans during the year on the pledge of securities held inits subsidiaries or associate companies. Hence the requirement to report on clause (ix)(f) of the Order is not applicable to the Company.
(x) a) According to the information and explanations given to us and based on ourexamination of the records of the company the Company has not raised moneys by way ofinitial public offer or further public offer (including debt instruments) during the yearand hence reporting under clause 3(x)(a) of the Order is not applicable. b) According tothe information and explanations given to us and based on our examination of the recordsof the company during the year the Company has not made any preferential allotment orprivate placement of shares or convertible debentures (fully or partly or optionally)during the year under audit and hence reporting under clause 3(x) (b) of the Order is notapplicable.
(xi) a) According to the information and explanations given to us no material fraud bythe Company or on the Company by its officers or employees has been noticed or reportedduring the course of our audit.
b) According to the information and explanations given to us during the year and uptothe date of this audit report no report under sub-section (12) of section 143 of theCompanies Act 2013 has been filed in Form ADT-4 as prescribed under rule 13 of Companies(Audit and Auditors) Rules 2014 with the Central Government.
c) According to the information and explanations given to us during the year there areno whistle blower complaints received by the company during the year.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of theOrder is not applicable.
(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 Section 177 and 188 of the Companies Act 2013 where applicable anddetails of such transactions have been disclosed in the Standalone Financial Statements asrequired by the applicable accounting standards.
(xiv) a) In our opinion the Company has an adequate internal audit system commensuratewith the size and the nature of its business
b) We have considered the internal audit reports for the year under audit issued tothe Company during the year and till date in determining the nature timing and extent ofour audit procedures.
(xv) In our opinion during the year the Company has not entered into any non-cashtransactions with its directors or persons connected with its directors. Hence provisionsof section 192 of the Companies Act 2013 are not applicable to the Company.
(xvi) a. In our opinion the Company is not required to be registered under section45-IA of the Reserve Bank of India Act 1934. Hence reporting under clause 3(xvi)(a) (b)and (c) of the Order is not applicable.
b. According to the information and explanations given to us and based on ourexamination of the records of the company the Company has not conducted any Non-BankingFinancial or Housing Finance activities without obtained a valid Certificate ofRegistration (CoR) from the Reserve Bank of India as per the Reserve Bank of India Act1934.
c. According to the information and explanations given to us and based on ourexamination of the records of the company the Company is not a Core Investment Company asdefined in the regulations made by Reserve Bank of India. Accordingly the requirement toreport on clause 3(xvi) (c) of the Order is not applicable to the Company.
d. In our opinion there is no core investment company within the Group (as defined inthe Core Investment Companies (Reserve Bank) Directions 2016) and accordingly reportingunder clause 3(xvi)(d) of the Order is not applicable.
(xvii) In our opinion there is no cash loss in the financial year and in theimmediately preceding financial year.
(xviii) There has been no resignation of the statutory auditors of the Company duringthe year.
(xix) On the basis of the financial ratios ageing and expected dates of realization offinancial assets and payment of financial liabilities other information accompanying thefinancial statements and our knowledge of the Board of Directors and Management plans andbased on our examination of the evidence supporting the assumptions nothing has come toour attention which causes us to believe that any material uncertainty exists as on thedate of the audit report indicating that Company is not capable of meeting its liabilitiesexisting at the date of balance sheet as and when they fall due within a period of oneyear from the balance sheet date. We however state that this is not an assurance as tothe future viability of the Company. We further state that our reporting is based on thefacts up to the date of the audit report and we neither give any guarantee nor anyassurance that all liabilities falling due within a period of one year from the balancesheet date will get discharged by the Company as and when they fall due.
(xx) a. According to the information and explanations given to us and based on ourexamination of the records of the company there are no unspent amounts that are requiredto be transferred to a fund specified in Schedule VII to the companies Act (the Act) incompliance with second proviso to sub section 5 of section 135 of the Act.
b. In our opinion there are no unspent amounts in respect of ongoing projects thatare required to be transferred to a special account in compliance of provision of subsection (6) of section 135 of Companies Act.
|For Luharuka & Associates |
|Chartered Accountants |
|Firm Reg No: - 01882S |
|Rameshchand Jain (Partner) |
|Membership No.023019 |
|UDIN: 22023019AIQVZB2337 Place: Secunderabad |
|Date: 4th May 2022 |