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Western Ministil Ltd.

BSE: 504998 Sector: Metals & Mining
NSE: N.A. ISIN Code: INE187U01015
BSE 05:30 | 01 Jan Western Ministil Ltd
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Western Ministil Ltd. (WESTERNMINISTIL) - Auditors Report

Company auditors report

To the Members of WESTERN MINISTIL LIMITED

Report on the Standalone Financial Statements

We have audited the accompanying standalone Ind AS financial statements of WesternMinistil Limited ("the Company") which comprise the Balance Sheet as at March312020 the Statement of Profit and Loss (including other comprehensive income) theStatement of Cash Flows and the Statement of Changes in Equity for the year then endedand a summary of the significant accounting policies and other explanatory information(hereinafter referred to as 'Standalone Ind AS financial statements').

Qualified Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us except for the effects of the matters described in the Basis for QualifiedOpinion paragraph 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 including the IndAS of the financial position of the Company as at March 31 2020 and its financialperformance including other comprehensive income its cash flows and the changes inequity for the year ended on that date.

Basis for Qualified Opinion

1. The company has not made provision for interest on short term borrowings since April

1 2001 till March 31 2020. As a consequence loss for the year is overstated by Rs.11. 47 lakhs and accumulated losses under Other Equity and Other Current FinancialLiabilities are understated by Rs. 206.40 lakhs (understated by Rs. 217.86 lakhs as atMarch 312019).

2. The management has prepared the financial statement on going concern basisnotwithstanding the fact that the Company is facing financial difficulties and accumulatedlosses of the Company as at the Balance Sheet date exceeds its paid up share capital andfree reserves indicating uncertainty that casts significant doubt on the Company'sability to continue as a going concern. As a consequence resultant impact on the assetsliabilities and loss for the year ended March 31 2020 is not ascertainable.

Key Audit Matters

Except for the matter described in the Basis for Qualified Opinion or MaterialUncertainty Related to Going Concern section we have determined that there are no keyaudit matters to communicate in our report.

Management's Responsibility for the Standalone Ind AS Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese standalone Ind AS financial statements that give a true and fair view of thefinancial position financial performance including other comprehensive income cash flowsand changes in equity of the Company in accordance with the accounting principlesgenerally accepted in India including the Indian Accounting Standards (Ind AS) prescribedunder Section 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014.This responsibility also includes maintenance of adequate accounting records in accordancewith the provisions of the Act for safeguarding the assets of the Company and forpreventing 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's Responsibility

Our responsibility is to express an opinion on these standalone Ind AS financialstatements based on our audit.

While conducting the 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 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 standalone Ind AS financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the standalone Ind AS financial statements. The procedures selecteddepend on the auditor'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's 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 the accountingpolicies used and the reasonableness of the accounting estimates made by the Company'sDirectors 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.

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 Section 143(11) of the Act we givein the Annexure "A" a statement on the matters specified in paragraphs 3 and 4of 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 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 Cash Flows and the Statement of Changes in Equity dealt with bythis Report are in agreement with the books of account.

(d) Except for the effects of the matter described in the Basis for Qualified Opinionparagraph above in our opinion the aforesaid standalone Ind AS financial statementscomply with the Accounting Standards specified under Section 133 of the Act read withrule 7 of the Companies (Accounts) Rules 2014.

(e) The matters described in paragraph under the Basis for Qualified Opinion paragraphabove in our opinion may have an adverse effect on the functioning of the Company.

(f) On the basis of the written representations received from the directors as on March31 2020 and taken on record by the Board of Directors none of the directors isdisqualified as on March 312020 from being appointed as a director in terms of Section164(2) of the Act.

(g) With respect to the adequacy of internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate report in Annexure B.

(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 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- Refer Note No. 19 on ContingentLiabilities to the standalone Ind AS financial statements.

ii. The Company did not have any long term contracts including derivative contracts.Hence the question of any material foreseeable losses does not arise.

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

For D B Shah & Associates
Chartered Accountants
(Firm's Registration No. 109530W)
Sd/-
(Dharmen B. Shah)
Proprietor
Place : Mumbai M.No: 036324
Date : 30th June 2020 UDIN: 20036324AAAABP6808

Annexure "A" to The Independent Auditor's Report

(Referred to in Paragraph 1 under the heading of "Report on Other Legal andRegulatory Requirements" in the Independent Auditor's Report to the members ofWestern Ministil Limited on the standalone Ind AS financial statements for the year endedMarch 312020)

(i) The Company does not hold any Fixed Assets. Accordingly paragraph 3 (i) of theOrder is not applicable to the Company.

(ii) The Company does not hold any inventory. Accordingly paragraph 3 (ii) of theOrder is not applicable to the Company.

(iii) According to the information and explanations given to us the Company hasduring the year not granted any loans secured or unsecured to companies firms LimitedLiability Partnership; or other parties covered in the register maintained under Section189 of the Act. Accordingly the provisions of subclause (a)(b) and (c) of Paragraph 3(iii) of the Order are not applicable to the Company.

(iv) Based on information and explanation given to us in respect of loans investmentsguarantees and securities the Company has not entered into any transactions which fallunder the purview of Section 185 and 186 of the Companies Act 2013.

(v) The Company has not accepted any deposits from the public within the meaning ofSection 73 to Section 76 of the Act and the rules framed there under to the extentnotified. Accordingly Clause 3 (v) of the Order is not applicable.

(vi) The Company has not maintained cost records as prescribed by Central Government ofIndia under sub-section (1) of Section 148 of the Act and the rules framed there under. Weare informed that operations of the Company have come to an end since December 1995.Accordingly the provisions of clause 3 (vi) of the Order are not applicable.

(vii) a) The Company is generally regular in depositing with appropriate authoritiesundisputed statutory dues including Provident Fund Employees' State Insurance IncomeTax Sales Tax Service tax Value Added Tax Custom duty Excise Duty Cess and any othermaterial statutory dues applicable to it however there have been slight delay in fewcases.

According to the information and explanations given to us no undisputed amounts payablein respect of Provident Fund Employees' State Insurance Income Tax Sales Tax Servicetax Value Added Tax Custom duty Excise Duty Cess and any other material statutory duesapplicable to it were outstanding at the year end for a period of more than six monthsfrom the date they became payable.

b) According to the information and explanation given to us there are no dues withrespect to income tax sales tax service tax value added tax customs duty excise dutywhich have not been deposited on account of any dispute.

(viii) According to the information and explanations given to us the Company has nottaken any loans or borrowings to financial institution bank government or debentureholders. Accordingly paragraph 3 (viii) of the Order is not applicable.

(ix) The Company has not raised any money by way of initial public offer or furtherpublic offer (including debt instruments) and term loans during the year. Accordinglyparagraph 3(ix) of the order is not applicable.

(x) According to the information and explanations given to us we have neither comeacross any instance of material fraud by the Company or on the Company by its officers oremployees noticed or reported during the year in course of our audit nor have we beeninformed of any such case by the Management.

(xi) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company does not pay any remuneration toits Directors and thus provisions of section 197 read with Schedule V to the Act is notapplicable.

(xii) In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company. Accordingly paragraph 3(xii) of the order is notapplicable.

(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 sections 177 and 188 of the Act where applicable and the details of suchtransactions have been disclosed in the Financial Statements as required by the applicableaccounting standards.

(xiv) The Company has not made any preferential allotment or private placement ofshares or fully or partly convertible debentures during the year under review. Thereforeparagraph 3 (xiv) of the Order is not applicable.

(xv) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into any non-cashtransactions with directors or persons connected with him. Accordingly paragraph 3(xv) ofthe order is not applicable.

(xvi) The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934. Accordingly paragraph 3(xvi) of the order is not applicable.

For D B Shah & Associates
Chartered Accountants
(Firm's Registration No. 109530W)
Sd/-
(Dharmen B. Shah)
Proprietor
Place : Mumbai M.No: 036324
Date : 30th June 2020 UDIN: 20036324AAAABP6808

Annexure "B" to The Independent Auditor's Report

(Referred to in Paragraph 2(f) under the heading of "Report on Other Legal andRegulatory Requirements" in the Independent Auditor's Report of even date to themembers of Western Ministil Limited on the financial statements for the year ended March312020)

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 WesternMinistil Limited ("the Company") as of March 312020 in conjunction with ouraudit of the standalone financial statements of the Company for the year ended on thatdate.

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"). Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to Company's policies the safeguarding ofits assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation 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 deemedto be prescribed under section 143(10) of the Act to the extent applicable to an audit ofinternal financial controls both applicable to an audit of Internal Financial Controlsand both issued by ICAI. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate internal financial controls over financial reporting was established andmaintained and 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 included obtaining anunderstanding of internal financial controls over financial reporting assessing the riskthat a material weakness exists and testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditor's judgment 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'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 ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the Company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the Company are being made only in accordance with authorizations ofmanagement and directors of the Company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized acquisition use or disposition of theCompany's assets that could have a material 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 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 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 March 312020 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.

For D.B. Shah & Associates
Chartered Accountants
(Firm's Registration No: 109530W)
Sd/-
(Dharmen B. Shah)
Proprietor
M No. 036324
Place : Mumbai
Date : 30th June 2020 UDIN: 20036324AAAABP6808

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