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Warren Tea Ltd.

BSE: 508494 Sector: Agri and agri inputs
NSE: WARRENTEA ISIN Code: INE712A01012
BSE 00:00 | 24 Apr 63.75 0.85
(1.35%)
OPEN

63.50

HIGH

64.00

LOW

62.70

NSE 05:30 | 01 Jan Warren Tea Ltd
OPEN 63.50
PREVIOUS CLOSE 62.90
VOLUME 402
52-Week high 129.50
52-Week low 57.55
P/E
Mkt Cap.(Rs cr) 76
Buy Price 62.75
Buy Qty 10.00
Sell Price 63.75
Sell Qty 100.00
OPEN 63.50
CLOSE 62.90
VOLUME 402
52-Week high 129.50
52-Week low 57.55
P/E
Mkt Cap.(Rs cr) 76
Buy Price 62.75
Buy Qty 10.00
Sell Price 63.75
Sell Qty 100.00

Warren Tea Ltd. (WARRENTEA) - Auditors Report

Company auditors report

INDEPENDENT AUDITORS REPORT

To the Members of Warren Tea Limited

Report on the Standalone Financial Statements

We have audited the accompanying standalone Ind AS financial statements of WarrenTea Limited ("the Company") which comprise the Balance Sheet as at March31 2018 the Statement of Profit and Loss (including other comprehensive income) theStatement of Changes in Equity and the Statement of Cash Flows for the year then ended anda summary of significant accounting policies and other explanatory information.

Managements Responsibility for the Financial Statements

The Company Board of Directors is responsible for the matters stated in Section 134(5)of the Companies Act 201 3 ("the Act") with respect to the preparation of thesestandalone Ind AS 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 Indian Accounting Standards (IndAS) prescribed under Section 133 of the Act read with Companies (Indian AccountingStandards) Rules 2015 as amended and other accounting principles generally accepted inIndia.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company andfor preventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the standalone IndAS financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditor Rs. s Responsibility

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 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 there under and the order issued under Section143(11) of the Act.

We conducted our audit of the standalone Ind AS financial statements in accord ancewith the Standards on Auditing specified under Section 143(10) of the Act. Those Standardsrequire that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the standalone Ind AS financial statements are freefrom material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the standalone Ind As financial statements. The procedures selected dependon the auditor Rs. s judgment including the assessment of the risks of materialmisstatement of the standalone Ind AS financial statements whether due to fraud or error.In making those risk assessments the auditor considers internal financial controlrelevant to the Company preparation of the standalone Ind AS financial statements thatgive a true and

fair view in order to design audit procedures that are appropriate in thecircumstances. An audit also includes evaluating the appropriateness of accountingpolicies used and the reasonableness of the accounting estimates made by the Companydirectors 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.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone Ind AS financial statements give the informationrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India of the state of affairs of theCompany as at March 312018 and its loss total comprehensive income the changes inequity and its cash flows for the year ended on that date.

Other Matter

The financial information of the Company for the year ended March 312017 and thetransition date opening balance sheet as at April 12016 included in these standalone IndAS financial statements are based on the previously issued statutory financial statementsfor the years ended March 312017 and March 31 2016 prepared in accordance with theCompanies (Accounting Standards) Rules 2006 (as amended) which were audited by us onwhich we expressed an unmodified opinion dated May 30 2017 and May 26 2016 respectively.The adjustments to those financial statements for the differences in accounting principlesadopted by the Company on transition to the Ind AS have been audited by us.

Our opinion is not qualified in respect of this matter.

Report on Other Legal And Regulatory Requirements

i) As required by the Companies (Auditor Report) Order 2016 ("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 A" statement on the matters specified in theparagraph 3 and 4 of the Order to the extent applicable.

ii) 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 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 other comprehensiveincome the Statement of Changes in Equity and the Statement of Cash Flows dealt with bythis Report are in agreement with the books of account.

d) In our opinion the aforesaid standalone Ind AS financial statements comply with theIndian Accounting Standards specified under Section 133 of the Act.

e) On the basis of the written representations received from the directors as on March312018 taken on record bythe Board of Directors none of the directors is disqualifiedas on March 312018 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 B".

g) With respect to the other matters to be included in the Auditor Report in accordancewith Rule 11 of the Companies (Audit and Auditors) Rules 2014 as amended in our opinionand to the best of our information and according to the explanations given to us:

i. The Company has disclosed the impact of pending litigations on its financialposition in its standalone Ind AS financial statements as referred to in Note No. 30 (11)to the financial statements.

ii. The Company did not have any long-term contracts including derivative contracts asat March 312018 for which 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 during the year.

For B M Chatrath & Co LLP
Chartered Accountants
Firm Registration Number: 301011E/E300025
Sukhpreet S. Sidhu
Place: Ko l kata Partner
Date: 26 May 2018 Membership N umber 052187

ANNEXURE - A TO THE AUDITORS REPORT

The Annexure referred to in our Independent Auditors Rs. Report to the members of theCompany on the standalone Ind AS financial statements for the year ended March 31 2018 wereport that:

1. In respect of fixed assets:

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

(b) The fixed assets were physically verified during the year by the Management in aphased programme which in our opinion provides for physical verification of all the fixedassets at reasonable intervals. And as per the information and explanations given to usno material discrepancies were 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 deed of immovable properties are heldin the name of the Company as at the Balance Sheet date.

2. As explained to us the inventory of the Company has been physically verified duringthe year by the Management. In our opinion the frequency of such verification isreasonable and no material discrepancies were noticed on such verification.

3. The Company has not granted any loans secured or unsecured to companies firmslimited liability partnerships or other parties covered in the register maintained undersection 189 of the Companies Act 2013 Hence clause 3(iii)(a) (iii)(b) & (iii)(c) ofthe order is not applicable to the company

4. In our opinion and according to the information and explanations given to us inrespect of loans guarantees investments and security the company has complied with theprovisions of section 185 and 1 86 of the Companies Act 2013.

5. The Company has not accepted any deposits from the public hence the clause 3 (v) ofthe order is not applicable to the company

6. We have broadly reviewed the books of account maintained by the Company pursuant tothe rules made by the Central Government for the maintenance of cost records under section148 of the Act and are of the opinion that prima facie the prescribed accounts andrecords have been made and maintained.

7. (a) According to the information and explanations given to us and the records of theCompany examined by us in our opinion the Company has been regular in depositing theundisputed statutory dues including Provident Fund Employees State Insurance Income taxSales-tax Service tax Goods & Service Tax Customs duty Excise duty Value addedtax Cess and other statutory dues as applicable with the appropriate authorities.

According to the information and explanations given to us no undisputed amountspayable in respect of the above items were in arrears as at March 31 2018 for a periodexceeding six months from the date they became payable.

(b) According to the information and explanation given to us and the records of theCompany examined by us the particulars of dues of Income-Tax Sales Tax Service TaxGoods & Service Tax Customs Duty Excise duty Value added tax as at March 312018which have not been deposited on account of Dispute are as follows:

Name of the Statute Nature of the dues Amount (Rs. ii Lacs) Period to which the amount relates Forum where dispute is pending
Income Tax Act 1961 Income Tax 33.53 2014 - 2015 Deputy Commissioner of Income Tax
0.09 2012-2013 Commissioner of Income Tax - Appeals
24.98 2013 - 2014 Commissioner of Income Tax - Appeals
Central Sales Tax Act 1956 Assam General Sales Tax & Central Sales Tax 1.56 2008 - 2009 Deputy Commissioner of Taxes
66.60 1998 - 1999
Assam General Sales Tax & Central Sales Tax 1.71 1997 - 1998 Commissioner of Taxes
4.15 1998 - 1999
Assam General Sales Tax Act 1993 Assam General Sales Tax & Central Sales Tax 9.71 2004- 2005 Gauhati High Court
0.94 1997 - 1998
6.95 2004- 2005
Assam Land Revenue Reassessment Act 1936 Land Revenue Tax 28.33 2003-2004 to 2007-2008 Additional Deputy Commissioner

8. 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 any banksat the Balance Sheet date. The Company had neither any outstanding debenture nor has itissued any debenture during the year.

9. The Company has not raised money by way of initial public offer or further publicoffer (including debt instruments). Further money raised by way of term loans on anoverall basis have been applied for the purposes for which they were obtained.

10. During the course of our examination of the books and records of the company andaccording to the information and explanations given to us we have neither come across anyinstances of material fraud on or bythe Company by its officers or employees being noticedor reported during the year nor have we been informed of such case by the Management.

11. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has paid/provided for ManagerialRemuneration in accordance with the requisite approvals of Shareholders/Central Governmentas mandated by the provisions of Section 197 read with Schedule V to the Companies Act2013.

12. The company is not a Nidhi Company as per the provisions of section 406 (1) of theCompanies Act 2013. Hence clause 3 (xii) of the order is not applicable to the company.

13. According to the records of the Company examined by us and the information andexplanations given to us all transactions with the related parties are in compliance withsections 177 and 188 of Companies Act 2013 where applicable and the details have beendisclosed in the Financial Statements as required by the applicable Indian AccountingStandards.

14. The company has not made any preferential allotment or private placement of sharesor fully or partly paid debentures during the year under review. Hence clause 3 (xiv) ofthe order is not applicable to the company.

15. The company has not entered into any non-cash transactions with directors orpersons connected to its directors and hence provisions of Section 192 of the CompaniesAct 2013 are not applicable to the Company.

16. The company is not required to register itself under section 45-IA of the ReserveBankof India Act 1934.

For B M Chatrath & Co LLP
Chartered Accountants
Firm Registration Number: 301011E/E300025
Sukhpreet S. Sidhu
Place: Ko l kata Partner
Date: 26 May 2018 Membership N umber 052187

ANNEXURE - B TO THE INDEPENDENT AUDITOR S REPORT

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

We have audited the internal financial controls over financial reporting of WarrenTea Limited ("the Company") as of March 31 2018 in co njunction with ou raudit of the standalone Ind AS financial statements of the Company for the year ended onthat date.

Management Responsibility for Internal Financial Controls

The Company 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 bythe Institute of Chartered Accountants of India (CAI). 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 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.

Auditors Responsibility

Our responsibility is to express an opinion on the Company internal financial controlsover financial reporting based on our aud it. We conducted our audit in accordance withthe 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. 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 over financialreporting was established and maintained and if such controls operated effectively in allmaterial 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 repor ting included obtainingan understanding of internal financial controls over financial reporting assessing therisk that a material weakness exists and testing an d evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditor judgement including the assessment of the risks of materialmisstatement 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 internal financial controls systemover financial reporting.

Meaning of Internal Financial Controls over Financial Reporting

A Company internal financial control over financial reporting is a process designed toprovide reasonable

assurance regarding the reliability of financial reporting and the preparation offinancial statements for external purposes in accordance with generally acceptedaccounting principles. A Company internal financial control over financial reportingincludes 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 authorisations of the management and directors of the company; and

(3) provide reasonable assurance regarding prevention or timely detection ofunauthorised acquisition use or disposition of the Company 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 overfinancialreporting 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 and to the best of our information and according to the explanationsgiven to us the Company has in all material respects an adequate internal financialcontrols system over financial reporting and such internal financial controls overfinancial reporting were operating effectively as at March 31201 8 based on the internalcontrol over financial reporting criteria established by the Company considering theessential components of internal control stated in the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting issued byhe Institute of Chartered Accountantsof India.

For B M Chatrath & Co LLP
Chartered Accountants
Firm Registration Number: 301011E/E300025
Sukhpreet S. Sidhu
Place: Ko l kata Partner
Date: 26 May 2018 Membership N umber 052187