Tentiwala Metal Products Ltd.
|BSE: 537119||Sector: Engineering|
|NSE: N.A.||ISIN Code: INE486P01011|
|BSE 00:00 | 14 May||Tentiwala Metal Products Ltd|
|NSE 05:30 | 01 Jan||Tentiwala Metal Products Ltd|
|BSE: 537119||Sector: Engineering|
|NSE: N.A.||ISIN Code: INE486P01011|
|BSE 00:00 | 14 May||Tentiwala Metal Products Ltd|
|NSE 05:30 | 01 Jan||Tentiwala Metal Products Ltd|
To the Members
Tentiwala Metal Products Limited
Report on the Financial Statements
We have audited the accompanying standalone financial statements of Tentiwala MetalProducts Limited ("the Company") which comprise the Balance Sheet as at March31 2016 the Statement of Profit and Loss Statement and the Cash Flow Statement for theyear then ended and a summary of significant accounting policies and other explanatoryinformation.
Management's responsibility for the 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 andpresentation of these financial statements that give true and fair view of the financialposition financial performance and cash flow of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under section 133 of the Companies Act read with Rule 7 of the Companies(Accounts) Rules2014. This responsibility also includes the maintenance of adequateaccounting records in accordance with the provision of the Act for safeguarding of theassets of the Company and for preventing and detecting the frauds and otherirregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial control that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of financial statements that give a true and fair view andare free from material misstatement whether due to fraud or error.
Our responsibility is to express an opinion on these standalone financial statementsbased on our audit.
We have taken into account the provisions of the Act the accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing specified undersection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatements.
An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessments of the risk of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders internal financial control relevant to the Company's preparation of thefinancial statements that give true and fair view in order to design audit proceduresthat are appropriate in the circumstances but not for the purpose of expressing an opinionon whether the Company has in place an adequate internal financial controls system overfinancial reporting and operating effectiveness of such controls. An audit also includesevaluating the appropriateness of accounting policies used and the reasonableness of theaccounting estimates made by Company's Directors as well as evaluating the overallpresentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the 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 Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at March312016 and its profit and its cash flow for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order 2016 ("the order")issued by the Central the Government of India in terms of sub- section (11)of Section 143of the Actwe give in the annexure Aa statement on the matters specified in theparagraphs 3 and 4 of the order to the extent applicable.
2. As required by Section 143(3) of the Act we report that:
(a) We have sought and obtained all the information and explanation which to the bestof our knowledge and beliefs were necessary for the purpose of our audit:
(b) In our opinion proper books of accounts as required by law have been kept by theCompany so far as appears from our examination of those books.
(c) The Balance Sheet the Statement of Profit and Loss and Cash Flow Statement dealtwith by this Report arein agreement with the books of account;
(d) In our opinion the aforesaid financial Statements comply with theaccountingStandards specified under section 133 of the Act read with Rule 7 of TheCompanies (Accounts)Rules 2014.
(e) On the basis of the written representations received from the directors as on March31 2016and taken on record by the Board of directors none of the directors isdisqualified as on March 31 2016from being appointed as a director in terms of Sections164(2) of the Act.
(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 B'
(g) In our opinion and to the best of our information and according to the explanationsgiven to us we report as under with respect to other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit andAuditors)Rules2014:
(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 contractsfor which there were any material foreseeable losses.
(iii) There were no Amounts which required to be transferred by the Company to theInvestorEducation and Protection Fund.
ANNEXURE TO THE AUDITOR'S REPORT
[Referred to in paragraph 1 under Report on Other Legal and Regulatory Requirements ofour Report of even date to the members of Tentiwala Metal Products Limited on the accountsof the company for the year ended 31st March 2016]
On the basis of such checks as we considered appropriate and according to theinformation and Explanations given to us during the course of our audit we report that:
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of the fixed assets.
(b) As explained to us fixed assets have been physically verified by them during theyear in accordance with the regular programme of verification adopted by them which inour opinion provides for physical verification of all the fixed assets at reasonableintervals. According to the information and explanations given to us no materialdiscrepancies were noticed on such verification.
c) According to the information and explanations given to us and the basis of ourexamination of the records of the Company the title deed of immovable properties are heldin the name of the Company.
(ii) In respect of its inventory:
As explained to us the inventories of finished goods semi-finished goods.Storesspares parts and raw material were physically verified during the year byManagement at reasonable intervals and no material discrepancies were noticed on physicalverification.
(iii) According to the information and explanations given to us the Company hasnot granted any loans secured or unsecured to companies firms Limited LiabilityPartnerships or other parties covered in the Register maintained under Section 189 of theCompanies Act 2013.Accordingly the provisions of clause 3(iii) (a)(b) and (c) of theorder are not applicable to the Company and hence not commented upon.
(iv) In our opinion and according to the information and explanations given to usthe Company has complied with the provisions of section 185 and 186 of the Act withrespect to the loans and investments made.
(v) The company has not received any public deposits during the year.
(vi) We have broadly reviewed the cost records maintained by the Company pursuantto the Rules made by the Central Government under Section 148 (1) of the Companies Act2013 and are of the opinion that prima facie the prescribed cost records have not properlymade and maintained. We have however not made a detailed examination of these recordswith a view to determining whether they are accurate or complete.
(vii) In respect of statutory dues:
(a) According to the records of the company and information and explanations given tous the Company has generally been regular in depositing undisputed statutory duesincluding Provident Fund employees state insurance (ESI) Income-tax Tax deducted atsources Tax collected at source Professional Tax Sales Tax value added tax (VAT)Service Tax Excise Duty Cess and other material statutory dues applicable to it withthe appropriate authorities.
(b) According to the information and explanations given to us there were no undisputedamounts payable in respect of Income-tax Custom Duty Excise Duty Sales-tax VAT Cessand other material statutory dues in arrears/were outstanding as at 31 March 2016 for aperiod of more than six months from the date they became payable.
(c) There were no amounts which required to be transferred by the company to theInvestor Education and Protection Fund.
(viii) In our opinion and according to the information and explanations given tous the Company has not defaulted in the repayment of dues to financial institutionsbanks and debenture holders.
(ix) According to the information and explanations given by management the Companyas neither raised any monies by way of initial public offer or further public offer(including debt instruments)during the year.
According to the information and explanations given by the management the Company hasraised the term loans from bank and financial institution and were applied for the purposefor which they were raised.
(x) According to the information and explanations given by management no materialfraud by the Company or on the Company by its officers or employees has been noticed orreported during the course of our audit.
(xi) In our opinion and according to the information and explanations given to us theCompany has been paid/provided for the managerial remuneration in accordance with therequisite approval maintained in the section 197 read with Schedule V to the Act notprovided for our verification
(xii) The Company is not a Nidhi Company and hence reporting under clause 3(xii) of theorder is not applicable.
(xiii) In our opinion and according to the information and explanations given to us theCompany is in compliance with section 177 and 188 of the Act where applicable for alltransactions with the related party transactions have been disclosed in the standalonefinancial statements as required by the applicable accounting standards.
(xiv) 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.
(xv) According to the information and explanations given by the management the Companyhas not entered into any non-cash transactions with directors or persons connected withhim as referred to in section 192 of the Companies Act 2013.
(xvi) According to the information and explanations given to us the provisions ofsection 45-IA of Reserve Bank of India Act 1934 are not applicable to the Company.
Annexure B to the Auditors' Report
Report on the Internal Financial Control under Clause (i) of the sub-section 3ofSection 143 of the Companies Act 2013 (' the Act')
We have audited the internal financial controls over financial reporting of TentiwalaMetal Products Limited ('the Company') as of 31 March 2016 in conjunction with our auditof the standalone financial 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 Notes 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 adequateinternal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to the Company's policies the safeguardingof its assetsthe prevention and detection of frauds and errors the accuracy and completeness of theaccounting records and he 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 to beprescribed under Section 143(10) of the Companies Act 2013 to the extent applicable toan audit of internal financial controls both applicable to an audit of Internal FinancialControls and both issued by the Institute of Chartered Accountants of India. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting were established and maintained and if suchcontrols operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidences about the adequacyof the 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 auditors' 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 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 of records that in reasonable detail accurately andfairly the transactions and dispositions of the assets of the Company;
(2) provide reasonable assurance that transactions are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the Company are being made only inaccordance with authorizations of the 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 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 he 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 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 2016 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.