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Tirupati Starch & Chemicals Ltd.

BSE: 524582 Sector: Others
NSE: N.A. ISIN Code: INE314D01011
BSE 00:00 | 18 Oct 52.45 0
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50.75

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NSE 05:30 | 01 Jan Tirupati Starch & Chemicals Ltd
OPEN 50.75
PREVIOUS CLOSE 52.45
VOLUME 2712
52-Week high 67.50
52-Week low 32.05
P/E 5.75
Mkt Cap.(Rs cr) 37
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 50.75
CLOSE 52.45
VOLUME 2712
52-Week high 67.50
52-Week low 32.05
P/E 5.75
Mkt Cap.(Rs cr) 37
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Tirupati Starch & Chemicals Ltd. (TIRUPATISTARCH) - Auditors Report

Company auditors report

To the Members of

M/s. Tirupati Starch & Chemicals Limited

Report on the Audit of the Ind AS Financial Statements Opinion

We have audited the accompanying Ind AS financial statements of Tirupati Starch& Chemicals Limited ("the Company") which comprises the Balance sheetas at 31st March 2021 and the statement of Profit and Loss including the statement ofother Comprehensive Income the Cash flows Statement and the statement of changes inEquity and for the year then ended and notes to the Ind AS financial statementsincluding a summary of significant accounting policies and other explanatory information.In our opinion and to the best of our information and according to the explanations givento us the aforesaid Ind AS financial statements give the information required by theCompanies Act 2013 as amended ( " the Act ") in the manner so required and givea true and fair view in conformity with the accounting principles generally accepted inIndia of the state of affairs of the Company as at March 31 2021 its Profit includingother Comprehensive Income and its cash flows and the changes in Equity for the yearended on that date.

Basis for Opinion

We conducted our audit of the Ind AS financial Statements in accordance with theStandards on Auditing (SAs) specified under section 143(10) of the Companies Act 2013.Our responsibilities under those

Standards are further described in the Auditor's Responsibilities for the Audit of theInd AS Financial Statements section of our report. We are independent of the Company inaccordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial statements under the provisions of the Companies Act 2013 and the Rules thereunder and we have fulfilled our other ethical responsibilities in accordance with theserequirements and the Code of Ethics. We believe that the audit evidence we have obtainedis sufficient and appropriate to provide a basis for Audit opinion on the Ind AS Financialstatements.

Emphasis of Matter

We draw your attention to Note No. 45 to the financial Statements asregards to the management evaluation which describes uncertainty of impact due toCOVID-19 pandemic on the Company's Financial Performance which is dependent on futuredevelopments.

Our Opinion is not modified in respect of this matter.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the Ind AS financial statements for of the financial yearended March 31 2021. These matters were addressed in the context of our audit of the IndAS financial statements as a whole and in forming our opinion thereon and we do notprovide a separate opinion on these matters.

The Key Audit matters

We have determined that there are no key audit matters to communicate in our report.

Other Information

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 Ind AS financial statements and our auditors'report thereon.

Our opinion on the Ind AS financial statements does not cover the other information andwe do not express any form of assurance conclusion thereon.

In connection with our audit of the Ind AS financial statements our responsibility isto read the other information and in doing so consider whether the other information ismaterially inconsistent with the Ind AS financial statements or our knowledge obtained inthe 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.

Management's Responsibility for the Statement Ind AS 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 Ind AS financial statement that give a true and fair view of the financialposition financial performance including other Comprehensive Income and cash flows ofIncome and changes in Equity of the Company in accordance with the accounting principlesgenerally accepted in India including the Accounting Standards Ind AS specified undersection 133 of the Act read with the Companies (Indian Accounting Standard) Rules 2015 asamended. This responsibility also includes maintenance of adequate accounting records inaccordance with the provision of the Act for safeguarding of the assets of the Company andfor preventing and detecting frauds and other irregularities; selection and application ofappropriate implementation and maintenance of accounting policies; making judgments andestimates that are reasonable and prudent; and design implementation and maintenance ofadequate internal financial controls that were operating effectively for ensuring theaccuracy and completeness of the accounting records relevant to the preparation andpresentation of the Ind AS financial statement that give a true and fair view andare free from material misstatement whether due to fraud or error.

In preparing the Ind AS 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 foroverseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Ins AS Financial Statements

Our objectives are to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a 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. As part of an audit in accordance with SAs weexercise professional judgment and maintain professional skepticism throughout the audit.We also:

• Identify and assess the risks of material misstatement of the financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control.

• 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 hasadequate internal financial controls with reference to financial statements in place andthe operating effectiveness 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 financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditors'report. However future events or conditions may cause the Company to cease to continue asa going concern.

• Evaluate the overall presentation structure and content of the Ind AS financialstatements including the disclosures and whether the Ind AS financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.

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 Ind AS financial statements forthe financial year ended March 31 2021 and are therefore the key audit matters. Wedescribe these matters in our auditors' report unless law or regulation precludes publicdisclosure about the matter or when in extremely rare circumstances we determine that amatter should not be communicated in our report because the adverse consequences of doingso would reasonably be expected to outweigh the public interest benefits of suchcommunication.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016 ("the Order'')issued by the Central Government of India in terms of sub-section (11) of section 143 ofthe Companies Act. 2013 we give in the ‘Annexure A' a statement on thematters specified in paragraphs 3 and 4 of the said 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 explanations which to the bestof our knowledge and belief were necessary for the purpose 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 ofOther Comprehensive income) Statement of changes in equity and the statement of cashflow dealt with by this Report are in agreement with the books of account.

(d) In our opinion the aforesaid Ind AS financial statements comply with the InsAS AccountingStandards specified under section 133 of the Act Read with Companies (Indian AccountingStandard) Rules 2015. as amended.

(e) On the basis of the written representations received from the directors as on 31stMarch 2021 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.

(f) With respect to the adequacy of the internal financial controls over financialreporting of the Company with reference to these Ind AS Financial Statements and theoperating effectiveness of such controls Refer to our separate Report in ‘'AnnexureB'' to this report.

(g) In our opinion the Managerial Remuneration for the year ended March 31 2021 hasbeen paid by the Company to its directors in accordance with the provisions of Section 197read with Schedule V to the Act. The ministry of Corporate Affairs has not prescribedother details under Sec 197(16) of the Act which are required to be commented upon by us.

(h) 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 as amended Inour opinion and to the best of the our information and according to the explanations givento us:

i. The Company has disclosed the impact of pending litigations on its financialposition in its Ind AS financial statement Refer Note No. 33 to the Ind ASfinancial statements

ii. The company did not have any Long Term Contracts Including derivative contract forwhich there were any material foreseeable losses.

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company.

"Annexure A" referred to in Paragraph 1 under the heading "Report onother Legal and Regulatory requirements" of our Report of even date.

Re: Tirupati Starch & Chemicals Limited.

i. (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

(b) The company has a regular programme of physical verification of its fixed assets.All the fixed assets have been physically verified by the management during the year in aphased periodical manner which in our opinion is reasonable having regard to the size ofthe company and nature on its assets. No material discrepancies were noticed on suchphysical verification.

(c) According to the information and explanations provided to us and on the basis ofour examination of the records of the company the title deeds of immovable propertiesincluded in Property Plant and Equipment are held in the name of the company.

ii. a. The Inventories have been physically verified during the year by the management.In our opinion the frequency of verification is reasonable.

b. According to the information and explanations given to us no material discrepancieswere noticed on such Physical verification.

iii. 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 theCompanies Act 2013. Accordingly the provisions of clause 3 (iii) (a) to (C) of the Orderare not applicable to the Company and hence not commented upon by us.

iv. The company has not granted any loans or provided any guarantees or security to theparties covered under Section 185 and 186 of the companies Act 2013 therefore provisionsof act are not applicable and hence not commented upon.

v. According to the information and explanations given to us the Company has notaccepted any deposits within the meaning of the directives issued by Reserve Bank ofIndia provisions of Sections 73 to 76 of the Act any other relevant provisions of theAct and the relevant rules framed thereunder.

vi. We have broadly reviewed the books of accounts maintained by the company in respectof Manufacturing of Company's products where pursuant to the rules made by the CentralGovernment the maintenance of cost records has been prescribed of the section 148(1) ofthe Companies Act 2013 and are of the opinion that prima facie the prescribed accountsand records have been maintained. However we have not made a detailed examination of samewith a view to determine whether they are accurate or complete.

vii. (a) According to the information and explanations given to us t he company isgenerally regular in depositing with appropriate authorities undisputed ed statutory duesincluding Provident Fund Employees State Insurance Income Tax Sales Tax Service Taxduty of Custom Duty of Excise Value added tax Goods and Service Tax cess and othermaterial statutory dues to the extent applicable to it .

(b) According to the records and information and explanations given to us thefollowing dues of sales tax duty of excise and value added tax have not been depositedby the Company on account of disputes:

viii. In our opinion and according to the information and explanation given to us thecompany has not defaulted in repayment of loans or borrowings dues to banks. The Companydid not have any Outstanding Loan or Borrowings dues in respect of a financial Institutionor Government. Further the company has not issued any debenture.

ix . According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not raised any monies by way ofinitial public offer or further public offer (including debt instruments) but during theyear the company has raised money by way of Term Loan from the Bank. In our opinion andon an overall basis and according to the information and explanations given to us thecompany has applied the term loans for the purpose they were obtained.

x. According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit.

xi. According to Based on the information and explanation given the Managerialremuneration has been paid/provided in accordance with the requisite approvals mandated bythe provisions of section 197 read with the schedule V to the companies act 2013.

xii. In our opinion and according to the information and explanations given to us theCompany is not a nidhi company. Accordingly the paragraph 3 (xii) o f t he Or der i s notcommented upon.

xiii. According to the information and explanations given by the managementtransactions with the related parties are in compliance with sections 177 and 188 of theCompanies Act 2013 where applicable and details have been disclosed in the notes to theInd AS financial statements as required by the applicable accounting standards.

xiv. According to the information and explanations given to us during the year thecompany has raised funds by way of issue of 907591 Nos. of Equity Share of Rs. 10.00/-each at a premium of Rs. 20.30/- per share aggregating to Rs. 30.30/- par share topromoters on preferential basis amounting to Rs. 27500007/-. And the company has alsoissued 2750000 nos of Non- cumulative Non Convertible redeemable Preference share ofRs. 10.00/- each to promoters promoters group other than their existing ratio for cash atpar by way of preferential allotment aggregating to Rs. 27500000/- .In our opinion andon an overall basis and according to the information and explanations given to us theFunds has been used for the purpose it has been raised.

xv. According to the information and explanations given by the Management the Companythe Company has not entered into any non-cash transactions with directors or personsconnected with him as referred to section 192 of the Companies Act 2013.

xvi. According to the information and Explanation given to us the provision of section45-IA of the Reserve Bank of India Act 1934 are not applicable to the Company.

"Annexure B" to the Independent Auditor's Report on The Ind AS FinancialStatements of Tirupati

Starch & Chemicals Limited.

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of TirupatiStarch and Chemicals Limited ("the Company") as of March 31 2021 in conjunctionwith our audit of the Ind AS financial statements of the Company for the year ended onthat 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 Reporting (the "Guidance Note") issued by theInstitute of Chartered Accountants of India. These responsibilities include the designimplementation and maintenance of adequate internal financial controls with reference tofinancial statement of the company that were operating effectively for ensuring theorderly and efficient conduct of its business including adherence to company's policiesthe safeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of

Internal Financial Controls Over Financial Reporting (the "Guidance Note")and the Standards on

Auditing issued by ICAI and deemed to be prescribed under section 143(10) of theCompanies Act 2013 to the extent applicable to an audit of internal financial controlsboth applicable to an audit of Internal Financial Controls and both issued by theInstitute of Chartered Accountants of India. Those Standards and the Guidance Note requirethat we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether adequate internal financial controls with reference tofinancial statement of the company over financial reporting was established and maintainedand if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgement 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 reflect 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 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 withReference to these Financial Statements.

Because of the inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.Also projections of any evaluation of the internal financial controls over financialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion to the best of our information and according to explanations gives tous the Company has in all material respects an adequate internal financial controlssystem with reference to financial statement of the company over financial reporting andsuch internal financial controls over financial reporting were operating effectively as atMarch 31 2021 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.

For ABMS & Associates.
Chartered Accountants
(Registration No. 030879C)
(CA Atul Sharma)
Place: Indore Partner
Date: June 28 2021 M. No. 075615
UDIN: 21075615AAAABQ8582

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