To the Members of Tirupati Starch & Chemicals Limited Report on theFinancial Statements
We have audited the accompanying standalone financial statements of Tirupati Starchand Chemicals Limited (the Company') which comprise the Balance Sheet as at 31stMarch 2018 the Statement of Profit and Loss and Cash Flow Statements for the yearthen ended and a summary of the significant accounting policies and other explanatoryinformation ( hereinafter referred to as " standalone Ind AS financialstatements").
Management's Responsibility for the Standalone 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 standalone IND AS financial statements that gives a true and fair view of thefinancial position financial performance and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the Indian AccountingStandards ( Ind AS ) specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingthe assets of the Company and for preventing and detecting 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 controls that were operating effectively forensuring the 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 material misstatement whether due to fraud or error.
Our responsibility is to express an opinion on these Standalone Ind AS financialstatements based on our audit. We have taken into account the provisions of the Act theaccounting and auditing standards and matters which are required to be included in theaudit report under the provisions of the Act and the Rules made there under. We conductedour audit of the standalone Ind AS financial statements in accordance with the standardsspecified under Section 143(10) of the Act. Those Standards require that we comply withthe ethical requirements and plan and perform the audit to obtain reasonable assuranceabout whether the Standalone Ind AS financial statements are free from materialmisstatement. An audit involves performing procedures to obtain audit evidence about theamounts and the disclosures in the Standalone Ind AS financial statements. The proceduresselected depend on the auditor's judgment including the assessment of the risks ofmaterial misstatement of the Standalone Ind AS financial statements whether due to fraudor error. In making those risk assessments the auditor considers the internal controlrelevant to the Company's preparation and fair presentation of the Standalone Ind ASfinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances. An audit also include evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates made by the Company's Board of
Director as well as evaluating the overall presentation of the Standalone Ind ASfinancial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Standalone Ind AS financial statements.
(i) Basis for Qualifying conclusion :-
In respect of Provision made during the year for Employees Gratuity Rs 625479/- whichis made on estimated basis and which is not commensurate with the guidelines laid down byICAI under IndAS-19 "Employees Benefits". In the absence of Management'sinability to ascertain correct liability amount in Books as on 31.03.2018 its likelyQuantum and impact of the same on Profit or Loss and corresponding liability/Asset isunascertainable.
In our opinion and to the best of our information and according to the explanationsgiven to us except for the effects of the matter described in the Basis of QualifiedOpinion paragraph above the aforesaid Standalone Ind AS financial statements give theinformation required by the Act in the manner so required and give a true and fair view inconformity with the accounting principles generally accepted in India of the state ofaffairs of the Company as at 31 March 2018 and its Profit and its cash flowsand the changes in equity 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")as amended issued by the Central Government of India in terms of sub-section (11) ofsection 143 of the Act we give in the " Annexure B" statement on thematters specified in the paragraph 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 & 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 accounts as required by law have been kept by theCompany so far as it appears from our examination of those books.
c) The Balance Sheet and Statement of Profit and Loss including Other ComprehensiveIncome the cash Flow Statement and Statement of Changes in Equity dealt with by thisReport are in agreement with the books of account.
d) In our opinion the aforesaid standalone Ind AS financial statements comply with theIndian Accounting Standards prescribed under section 133 of the Act read with relevantrules 2014.
e) On the basis of the written representations received from the directors as on 31March 2018 taken on record by the Board of Directors none of the directors isdisqualified as on 31 March 2018 from being appointed as a director in terms of Section164 (2) of the Act; and
f) With Respect to adequacy of the internal financial controls over financial reportingof the Company and the Operating effectiveness of such controls refer to our separatereport in
"Annexure B" g) With respect to the other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules2014 in our opinion and to the best of our information and according to the explanationsgiven to us.
i. The Company has disclosed the impact of pending litigations on its Standalone IndAS financial statement Refer Note No. 27 the Financial Statements.
ii. The Company did not have any long term contracts including derivativecontracts for which there were any material foreseeable losses.
iii. There has been no delay in transferring amounts required to betransferred to the Investor Education and Protection Fund by the Company
2. 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 paragraph 3 and 4 of the order.
|Place: Indore ||For A P G & Associates. |
|Date: ||30/05/2018 ||Chartered Accountants |
| || ||(Registration No. 119598W) |
| || ||(Abhay Sharma) |
| || ||Partner |
| || ||M. No. 411569 |