Mar 31, 2018
Report on the Audit of the Standalone Ind AS Financial Statements
We have audited the accompanying Standalone Ind AS Financial Statements of DCM Shriram Industries Limited (âthe Companyâ), which comprise the Balance Sheet as at 31 March 2018, the Statement of Profit and Loss, the Statement of Changes in Equity and the Statement of Cash Flows for the year then ended, and summary of the significant accounting policies and other explanatory information (hereinafter referred to as âStandalone Ind AS Financial Statementsâ)..
Managementâs Responsibility for the Standalone Ind AS Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these Standalone Ind AS Financial Statements that give a true and fair view of the state of affairs, profit and other comprehensive income, changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Act.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Standalone Ind AS Financial Statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the Standalone Ind AS Financial Statements, management is responsible for assessing the Companyâs ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Auditorâs Responsibility
Our responsibility is to express an opinion on these Standalone Ind AS Financial Statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.
We conducted our audit of the Standalone Ind AS Financial Statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the Standalone Ind AS Financial Statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the Standalone Ind AS Financial Statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the Standalone Ind AS Financial Statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the Standalone Ind AS Financial Statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the Standalone Ind AS Financial Statements.
We are also responsible to conclude on the appropriateness of managementâs use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the entityâs ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in the auditorâs report to the related disclosures in the Standalone Ind AS Financial Statements or, if such disclosures are inadequate, to modify the opinion. Our conclusions are based on the audit evidence obtained up to the date of the auditorâs report. However, future events or conditions may cause an entity to cease to continue as a going concern.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide 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 explanations given to us, the aforesaid Standalone Ind AS Financial Statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31 March 2018, its profits and other comprehensive income, changes in equity and its cash flows for the year ended on that date.
Other Matters
The comparative financial information of the Company for the year ended 31 March 2017 and the transition date opening balance sheet as at 1 April 2016 included in these Standalone Ind AS Financial Statements, are based on the previously issued Statutory Financial Statements prepared in accordance with the Accounting Standards specified under Section 133 of the Companies Act, 2013, audited by the predecessor auditor whose report for the year ended 31 March 2017 and 31 March 2016 dated 23 May 2017 and 30 May 2016 respectively expressed an unmodified opinion on those Standalone Financial Statements, as adjusted for the differences in the accounting principles adopted by the Company on transition to the Ind AS, which have been audited by us.
Our opinion is not modified in respect of this matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ), issued by the Central Government of India in terms of sub-section (11) of Section 143 of the Act, we give in âAnnexure Aâ, a statement on the matters specified in paragraphs 3 and 4 of the Order.
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 best of 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 the Company so far as it appears from our examination of those books;
c) The Balance Sheet, the Statement of Profit and Loss, the Statement of Cash Flows and the Statement of Changes in Equity dealt with by this Report are in agreement with the books of account;
d) In our opinion, the aforesaid Standalone Ind AS Financial Statements comply with the Indian Accounting Standards prescribed under Section 133 of the Act;
e) On the basis of the written representations received from the directors as on 31 March 2018 taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2018 from being appointed as a director in terms of Section 164 (2) of the Act;
f) With respect to the adequacy of the internal financial controls with reference to Standalone Ind AS Financial Statements of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure Bâ; and
g) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and 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 financial position in its Standalone Ind AS Financial Statements - Refer Note 41 to the Standalone Ind AS Financial Statements;
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses;
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company; and
iv. The disclosures in the Standalone Ind AS Financial Statements regarding holdings as well as dealings in specified bank notes during the period from 8 November 2016 to 30 December 2016 have not been made since they do not pertain to the financial year ended 31 March 2018. However amounts as appearing in the audited Standalone Financial Statements for the year ended 31 March 2017 have been disclosed.- Refer Note 53 to the Standalone Ind AS Financial Statements.
Annexure A referred to in our Independent Auditorâs Report to the members of DCM Shriram Industries Limited on the Standalone Ind AS Financial Statements for the year ended 31 March 2018.
(i) (a) According to the information and explanations given to us, the Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets (property, plant and equipment).
(b) According to the information and explanations given to us, the Company has a regular programme of physical verification of its property, plant and equipment by which all fixed assets (property, plant and equipment) are verified, in a phased manner, over a period of three years. In our opinion, this periodicity of physical verification is reasonable having regard to the size of the Company and the nature of its assets. In accordance with this programme, certain assets have been physically verified by the management during the current year. As informed to us, no material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company and based on the confirmation obtained by the Company from the custodian of the Company, with whom the title deeds are deposited as security for loans and the examination of the registered sale deed/ transfer deed/ conveyance deed, provided to us, we report that the title deeds of the immovable property is held in the name of the Company, except for: Rs. lakh
Land situation |
Whether leasehold / freehold |
Gross block as at 31 March 2018 |
Net block as at 31 March 2018 |
Daurala, Uttar Pradesh* |
Freehold |
379.04 |
379.04 |
Daurala, Uttar Pradesh** |
Freehold |
44.95 |
44.95 |
Kota, Rajasthan* |
Leasehold |
465.00 |
465.00 |
Total |
888.99 |
888.99 |
* Vested pursuant to a Scheme of Arrangement of erstwhile DCM Limited, are yet to be endorsed in the name of the Company.
** The Title deeds are in the name of Daurala Organics Limited, erstwhile company that was merged with the Company under section 391 to 394 of the Companies Act, 1956 in terms of the approval of the Honorable High court of judicature.
(ii) According to the information and explanations given to us, the inventories, except goods-in-transit, have been physically verified by the management at the year end. In our opinion, the frequency of such verification is reasonable having regard to the size of the Company and nature of its business. In our opinion and as per the information and explanation received by us, the discrepancies noticed on comparison of physical verification of inventories with book records were not material and have been properly dealt with in the books of account.
(iii) According to the information and explanations given to us, the Company has not granted any loans, secured or unsecured to Companies, Firms, Limited Liability Partnerships or other parties covered in the register maintained under Section 189 of the Act. Accordingly, paragraph 3 (iii) of the Order is not applicable.
(iv) According to the information and explanations given to us, the Company has complied with the provisions of Section 185 and 186 of the Act, with respect to the loans, investments, guarantees and security made.
(v) According to the information and explanations given to us, the Company has complied with the provisions of Sections 73 to 76 or any other relevant provisions of the Companies Act, 2013 and the Companies (Acceptance of Deposits) Rules, 2014, as amended with regards to the deposits accepted. According to the information and explanations given to us, no order has been passed by the Company Law Board or the National Company Law Tribunal or the Reserve Bank of India or any Court or any other Tribunal.
(vi) The Central Government has prescribed the maintenance of cost records under sub-section (1) of section 148 of the Act for activities carried out by the Company. We have broadly reviewed the books of account maintained by the Company pursuant to the Rules made by the Central Government for the maintenance of cost records under Section 148 of the Act, and are of the opinion that prima facie, the prescribed accounts and records have been made and maintained. However, we have not made a detail examination of the cost records.
(vii) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted / accrued in the books of account in respect of undisputed statutory dues including Provident fund, Employeesâ state insurance, Income-tax, Sales-tax, Goods and Services Tax (âGSTâ), Service tax, Duty of customs, Duty of excise, Value added tax, Cess and other material statutory dues have generally been regularly deposited during the year by the Company with the appropriate authorities.
According to the information and explanations given to us, no undisputed amounts payable in respect of Provident fund, Employeesâ state insurance, Income-tax, Sales-tax, GST, Service tax, Duty of customs, Duty of excise, Value added tax, Cess and other material statutory dues were in arrears as at 31 March 2018 for a period of more than six months from the date they became payable.
(b) According to the information and explanations given to us, there are no dues in respect Income-tax, Sales-tax, Service tax, Duty of custom, Duty of excise, GST and Value added tax which have not been deposited with the appropriate authorities on account of any dispute except for the following:
Name of the Statute |
Nature of dues |
Forum where dispute is pending |
Period to which the amount relates (various years covering the period) |
Amount involved * (Rs. lakhs) |
Amount paid under protest (Rs. lakhs) |
Income Tax Act, 1961 |
Income Tax |
Income Tax Appellate Tribunal |
2003-06 |
1708.75 |
1708.75 |
Central Excise Act, 1944 |
Excise Duty |
Additional Commissioner (Appeals) |
2012-2014 |
51.32 |
- |
Commissioner (Appeals) |
Marchâ12 to Februaryâ13 Januaryâ14 to Decemberâ14 Februaryâ09 to Novemberâ16 Aprilâ10 to Decemberâ13 Januaryâ14 to Octoberâ15 2004 to 2009 |
119.90 |
12.58 |
||
Central Excise Act, 1944 |
Excise Duty |
High court |
1995-1996 1998-1999 2004-05 |
30.76 |
- |
Service Tax Laws-Finance Act, 1994 |
Service Tax |
Customs, Excise & Service Tax Appellate Tribunal |
2011-12 Julyâ12 to Marâ14 |
360.02 |
16.19 |
Commissioner (Appeals) |
Aprilâ14 to Mayâ15 |
176.29 |
18.93 |
||
Assistant Commissioner |
Aprilâ14 to Decemberâ15 |
10.31 |
- |
Sales Tax Laws |
Sales Tax |
High court |
1976-77, 1978-80, 1984-85, 1989-90, 1992-93, 1995-96, 1997-98, 2008-11, 2013-14 |
134.30 |
|
Sales Tax Laws |
Sales Tax |
Additional Commissioner (Appeal) |
2004-05, 2014-15 |
7.55 |
0.88 |
* amount as per demand orders, including interest and penalty wherever indicated in the demand
(viii) According to the information and explanations given to us, there is no default existing at the balance sheet date in repayment of loans or borrowings to banks and a financial institution. The Company has neither taken any loans or borrowings from government nor has issued any debentures during the year.
(ix) In our opinion and according to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has utilized the money raised by way of term loans during the year, for the purposes for which they were raised. The Company did not raise any money by way of initial public offer or further public offer (including debt instruments) during the year.
(x) According to the information and explanations given to us, no material fraud by the Company and neither any material fraud on the Company by its officers or employees has been noticed or reported during the year.
(xi) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the managerial remuneration has been paid or provided by the Company in accordance with the provisions of Section 197 read with Schedule V of the Act.
(xii) According to the information and explanations given to us, the Company is not a Nidhi Company. Accordingly, paragraph 3(xii) of the Order is not applicable.
(xiii) According to the information and explanation given to us and on the basis of our examination of the records of the Company, all the transactions with related parties are in compliance with the provisions of Section 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the Standalone Ind AS Financial Statements as required by the applicable accounting standards.
(xiv) According to the information and explanation given to us and on the basis of our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year.
(xv) According to the information and explanations given to us, the Company has not entered into any non-cash transactions with directors or person connected with him. Accordingly, paragraph 3 (xv) of the Order and provisions of section 192 of the Companies Act, 2013 are not applicable.
(xvi) According to the information and explanations given to us, the Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act, 1934.
Annexure B to the Independent Auditorâs Report of even date on the Standalone Ind AS Financial Statements of DCM Shriram Industries Limited
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls with reference to the Standalone Ind AS Financial Statements of DCM Shriram Industries Limited (âthe Companyâ) as of 31 March 2018 in conjunction with our audit of the Standalone Ind AS Financial Statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs management is responsible for establishing and maintaining internal financial controls based on the internal control with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the âGuidance Noteâ) issued by the Institute of Chartered Accountants of India (âICAIâ). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to Companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.
Auditorâs Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls with respect to the Standalone Ind AS Financial Statements based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the ICAI.
Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to the Standalone Ind AS Financial Statements was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system with reference to the Standalone Ind AS Financial Statements and their operating effectiveness. Our audit of internal financial controls with reference to the Standalone Ind AS Financial Statements included obtaining an understanding of internal financial controls with reference to the Standalone Ind AS Financial Statements, assessing the risk that a material weakness exists and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgement, including the assessment of the risks of material misstatement of the Standalone Ind AS Financial Statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system with reference to the Standalone Ind AS Financial Statements.
Meaning of Internal Financial Controls with reference to the Standalone Ind AS Financial Statements
A companyâs internal financial control with reference to the Standalone Ind AS Financial Statements is a process designed to provide reasonable assurance regarding the reliability of Financial reporting and the preparation of Financial Statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control with reference to the Standalone Ind AS Financial Statements includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of Financial Statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the companyâs assets that could have a material effect on the Financial Statements.
Inherent Limitations of Internal Financial Controls with reference to the Standalone Ind AS Financial Statements
Because of the inherent limitations of internal financial controls with reference to the Standalone Ind AS Financial Statements, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls with reference to the Standalone Ind AS Financial Statements to future periods are subject to the risk that the internal financial control with reference to the Standalone Ind AS Financial Statements may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system with reference to the Standalone Ind AS Financial Statements and such internal financial controls with reference to the Standalone Ind AS Financial Statements were operating effectively as at 31 March 2018, based on the internal control with reference to the Standalone Ind AS Financial Statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For B S R & Co. LLP
Chartered Accountants
ICAI Firm Registration No. 101248W / W-100022
Kaushal Kishore
Place : New Delhi Partner
Date : May 29, 2018 (Membership No. 090075)
Mar 31, 2017
TO THE MEMBERS OF DCM SHRIRAM INDUSTRIES LIMITED
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of DCM SHRIRAM INDUSTRIES LIMITED (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2017, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards prescribed under Section 133 of the Act.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit.
In conducting our audit, we have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit of the standalone financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the standalone financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the standalone financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the standalone financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the standalone financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the standalone financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2017, and its profit and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143 (3) of the Act, based on our audit we report, to the extent applicable, that:
(a) We have sought and obtained all the information and explanations which to the best of 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 the Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.
(d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards prescribed under Section 133 of the Act.
(e) On the basis of the written representations received from the directors as on March 31, 2017 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2017 from being appointed as a director in terms of Section 164 (2) of the Act.
(f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure Aâ. Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Companyâs internal financial controls over financial reporting.
(g) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and 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 financial position in its standalone financial statements - Refer Note 32 and 33(a) to (c) and 33(e) of the standalone financial statements.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses- Refer Note 34(b) to the standalone financial statements.
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
iv. The Company has provided requisite disclosures in the standalone financial statements as regards its holding and dealings in Specified Bank Notes as defined in the Notification S.O. 3407(E) dated the 8th November, 2016 of the Ministry of Finance, during the period from 8th November 2016 to 30th December 2016. Based on the audit procedures performed and the representations provided to us by the management, we report that the disclosures are in accordance with the books of account maintained by the Company and as produced to us by the Management-Refer Note 46 to the standalone financial statements.
2. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ) issued by the Central Government in terms of Section 143(11) of the Act, we give in âAnnexure Bâ a statement on the matters specified in paragraphs 3 and 4 of the Order.
ANNEXURE âAâ TO THE INDEPENDENT AUDITORSâ REPORT
(Referred to in paragraph 1 (f) under âReport on Other Legal and Regulatory Requirementsâ section of our report of even date)
Report on the Internal Financial Controls Over Financial Reporting under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of DCM SHRIRAM INDUSTRIES Limited (âthe Companyâ) as of March 31, 2017 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs management is responsible for establishing and maintaining internal financial controls based on âthe internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of Indiaâ. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to Companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditorâs Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the âGuidance Noteâ) issued by the Institute of Chartered Accountants of India and the Standards on Auditing prescribed under Section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting were established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A companyâs internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs 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 financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
opinion
In our opinion, to the best of our information and according to the explanations given to us, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2017, based on âthe internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of Indiaâ.
ANNEXURE âBâ to the independent auditorsâ report
(Referred to in paragraph 2 under âReport on Other Legal and Regulatory Requirementsâ section of our report of even date)
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars, including quantitative details and situation of the fixed assets.
(b) As explained to us, the Company has a programme of physically verifying all its fixed assets over a period of three years, which in our opinion is reasonable having regard to the size of the Company and the nature of its fixed assets. In accordance with this programme, some of the fixed assets were physically verified by the management during the year. The discrepancies noticed on such verification between the physical balances and the fixed assets records were not material and have been properly dealt with in the books of account.
(c) According to the information and explanations given to us and the records examined by us and based on the confirmation obtained by the Company from the custodian of the Company, with whom the title deeds are deposited as security for loans and the examination of the registered sale deed / transfer deed / conveyance deed, provided to us, we report that, the title deeds, comprising all the immovable properties of land and buildings which are freehold, are held in the name of the Company as at the balance sheet date, except the following:
(Rs./Lakhs)
Particulars of the land |
Amount as on 31-03-2017 |
Remarks |
Land situated at Daurala, Uttar Pradesh |
88.37 |
Vested pursuant to a Scheme of Arrangement of erstwhile DCM Limited, are yet to be endorsed in the name of the Company. |
Land Situated at Daurala, Uttar Pradesh |
44.95 |
The title deeds are in the name of Daurala Organics Limited, erstwhile company that was merged with the Company under section 391 to 394 of the Companies Act, 1956 in terms of the approval of the Honorable High court of judicature. |
In respect of immovable properties of land that have been taken on lease and disclosed as fixed asset in the financial statements, the lease agreements are in the name of the Company, where the Company is the lessee in the agreement except the following.
(Rs./Lakhs)
Particulars of the land |
Amount as on 31-03-2017 |
Remarks |
Land situated at Kota, Rajasthan |
0.58 |
Acquired pursuant to a Scheme of Arrangement of erstwhile DCM Limited, are yet to be endorsed in the name of the Company. |
(ii) As explained to us, the inventories were physically verified during the year by the management at reasonable intervals other than for stock lying with third parties and/ or goods in transit for which confirmations have been obtained and subsequent receipts have been verified in most of the cases. The discrepancies noticed on physical verification of inventories as compared to book records were not material and have been properly dealt with in the books of account.
(iii) According to the information and explanations given to us, the Company has not granted any loans, secured or unsecured, to companies, firms or other parties covered in the register maintained under Section 189 of the Companies Act, 2013.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 185 and 186 of the Companies Act, 2013 in respect of grant of loans, making investments and providing guarantees and securities, as applicable.
(v) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 73 to 76 or any other relevant provisions of the Companies Act, 2013 and the Companies (Acceptance of Deposits) Rules, 2014, as amended, with regard to the deposits accepted. According to the information and explanations given to us, no order has been passed by the Company Law Board or the National Company Law Tribunal or the Reserve Bank of India or any Court or any other Tribunal.
(vi) We have broadly reviewed the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit) Rules, 2014, as amended and prescribed by the Central Government under Section 148(1) of the Companies Act, 2013, and are of the opinion that, prima facie, the prescribed cost records have been made and maintained. We have, however, not made a detailed examination of the cost records with a view to determine whether they are accurate or complete.
(vii) According to the information and explanations given to us in respect of statutory dues:
(a) The Company has generally been regular in depositing undisputed statutory dues, including, Provident Fund, Employees'' State Insurance, Entry Tax, Income tax, Tax deducted at source, Sales Tax, Service Tax, Purchase Tax, Customs Duty, Excise Duty, Value Added Tax, Works Contract Tax, Cess and other material statutory dues applicable to it with the appropriate authorities. There were no undisputed amounts payable in respect of Provident Fund, Employees'' State Insurance, Entry Tax, Income-tax, Tax deducted at source, Sales Tax, Service Tax, Purchase Tax, Customs Duty, Excise Duty, Value Added Tax, Works Contract Tax, Cess and other material statutory dues in arrears as at March 31, 2017 for a period of more than six months from the date they became payable.
(b) Details of dues of Excise Duty, Service Tax, Income-tax and Sales Tax matters which have not been deposited as on March 31, 2017 by the Company on account of disputes are given below:
Name of the Statute |
Nature of dues |
Forum where dispute is pending |
Period to which the amount relates (various years covering the period) |
Amount involved * (Rs. lakhs) |
Amount paid under protest (Rs. lakhs) |
Central Excise Act, 1944 |
Excise Duty |
Additional Commissioner (Appeals) |
2011-12 2013-14 |
48.50 |
- |
Modvat Credit |
Commissioner (Appeals) |
1995-96, November â04 to December â08 |
31.79 |
||
Service Tax Laws-Finance Act, 1994 |
Service Tax |
Customs, Excise & Service Tax Appellate Tribunal |
July â12 to March â14 and 2011-12 |
360.02 |
16.19 |
Commissioner (Appeals) |
March â12 to February â13 January â14 to December â14, April â14 to May â15 |
306.71 |
|||
Income Tax Act, 1961 |
Income Tax |
Income Tax Appellate Tribunal |
2003-06 |
1708.75 |
1708.75 |
Sales Tax Laws |
Sales Tax |
Additional Commissioner (Appeal) |
2004-05 2013-14 |
7.85 |
0.88 |
* amount as per demand orders including interest and penalty wherever indicated in the demand.
Further, in respect of following matters, the concerned authority is in appeal against favorable orders received by the Company:
Name of the Statute |
Nature of dues |
Forum where department has preferred appeal |
Period to which the amount relates (various years covering the period) |
Amount involved * (Rs. lakhs) |
Amount paid under protest (Rs. lakhs) |
Central Excise Act, 1944 |
Excise duty |
Customs, Excise & Service Tax Appellate Tribunal |
2005-06 |
12.08 |
- |
High Court |
1998-99 |
3.54 |
- |
||
Modvat Credit |
High Court |
1995-96 |
15.15 |
- |
|
Service Tax Laws-Finance Act, 1994 |
Service Tax |
Customs, Excise & Service Tax Appellate Tribunal |
2009-14 |
59.60 |
1.54 |
Sales Tax Laws |
Sales Tax |
High Court |
1976-77, 1978-80, 1984-85, 1989-90,1992-93, 1995-96, 1997-98 and 2008-11 |
133.10 |
- |
Sales Tax Laws |
Sales Tax |
Commercial tax Tribunal |
2011-13 |
14.16 |
- |
* amount as per demand orders including interest and penalty wherever indicated in the demand.
We have been further informed that there are no dues in respect of Customs Duty and Value Added Tax which have not been deposited as on March 31, 2017 on account of any dispute.
(viii) In our opinion and according to the information and explanations given to us, the Company has not defaulted in the repayment of dues to banks and financial institutions. The Company has neither taken any loans or borrowings from government nor has issued any debentures during the year.
(ix) In our opinion and according to the information and explanations given to us, money raised by way of the term loans have been applied by the Company during the year for the purposes for which they were raised. The Company has not raised moneys by way of initial public offer or further public offer (including debt instruments).
(x) To the best of our knowledge and according to the information and explanations given to us, no fraud by the Company and no material fraud on the Company by its officers or employees has been noticed or reported during the year.
(xi) In our opinion and according to the information and explanations given to us, the Company has paid/provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of Section 197 read with Schedule V to the Companies Act, 2013.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the CARO 2016 Order is not applicable.
(xiii) In our opinion and according to the information and explanations given to us the Company is in compliance with Section 177 and 188 of the Companies Act, 2013, where applicable, for all transactions with the related parties and the details of related party transactions have been disclosed in the financial statements etc. as required by the applicable accounting standards.
(xiv) During the year, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures and hence reporting under clause (xiv) of CARO 2016 is not applicable to the Company.
(xv) In our opinion and according to the information and explanations given to us, during the year the Company has not entered into any non-cash transactions with its directors or directors of its holding, subsidiary or associate company or persons connected with them and hence provisions of section 192 of the Companies Act, 2013 are not applicable.
(xvi) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934.
For A. F. Ferguson & Co.
Chartered Accountants
(Firm''s Registration No. 112066W)
Jaideep Bhargava
Place : New Delhi Partner
Date : May 23, 2017 (Membership No. 90295)
Mar 31, 2016
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of DCM SHRIRAM INDUSTRIES LIMITED (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2016, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards prescribed under Section 133 of the Act.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder and the Order under Section 143 (11) of the Act.
We conducted our audit of the standalone financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2016, and its profit and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. 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 best of 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 the Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.
(d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards prescribed under Section 133 of the Act.
(e) On the basis of the written representations received from the directors as on March 31, 2016 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2016 from being appointed as a director in terms of Section 164 (2) of the Act.
(f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in Annexure âAâ. Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Companyâs internal financial controls over financial reporting.
(g) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and 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 financial position in its financial statements
- Refer Note 32 and 33(a) to (c) of the financial statements.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses- Refer Note 34(b) to the financial statements.
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
2. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ) issued by the Central Government in terms of Section 143(11) of the Act, we give in Annexure âBâ a statement on the matters specified in paragraphs 3 and 4 of the Order.
(Referred to in paragraph 2 under âReport on Other Legal and Regulatory Requirementsâ section of our report of even date)
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars, including quantitative details and situation of the fixed assets.
(b) As explained to us, the Company has a programme of physically verifying all its fixed assets over a period of three years, which in our opinion is reasonable having regard to the size of the Company and the nature of its fixed assets. In accordance with this programme, some of the fixed assets were physically verified by the management during the year. The discrepancies noticed on such verification between the physical balances and the fixed assets records were not material and have been properly dealt with in the books of account.
(c) According to the information and explanations given to us and the records examined by us and based on the confirmation obtained by the Company from the custodian of the Company, with whom the title deeds are deposited as security for loans and the examination of the registered sale deed / transfer deed / conveyance deed, provided to us, we report that, the title deeds, comprising all the immovable properties of land and buildings which are freehold, are held in the name of the Company as at the balance sheet date, except the following:
(Rs./lacs)
Particulars of the land |
Amount as on 31-03-2016 |
Remarks |
Land situated at Daurala, Uttar Pradesh |
379.04 |
Vested from DCM Limited pursuant to a Scheme of Arrangement of erstwhile DCM Limited, are yet to be endorsed in the name of the Company. |
Land Situated at Daurala, Uttar Pradesh |
44.95 |
The title deeds are in the name of Daurala Organics Limited, erstwhile company that was merged with the Company under section 391 to 394 of the Companies Act, 1956 in terms of the approval of the Honorable High court of judicature. |
In respect of immovable properties of land that have been taken on lease and disclosed as fixed asset in the financial statements, the lease agreements are in the name of the Company, where the Company is the lessee in the agreement except the following.
(Rs./Lacs)
Particulars of the land |
Amount as on 31-03-2016 |
Remarks |
Land situated at Kota, Rajasthan |
465.00 |
Acquired from DCM Limited pursuant to a Scheme of Arrangement of erstwhile DCM Limited, are yet to be endorsed in the name of the Company. |
(ii) As explained to us, the inventories were physically verified during the year by the management at reasonable intervals other than for stock lying with third parties and/ or goods in transit for which confirmations have been obtained and subsequent receipts have been verified in most of the cases. The discrepancies noticed on physical verification of inventories as compared to book records were not material and have been properly dealt with in the books of account.
(iii) According to the information and explanations given to us, the Company has not granted any loans, secured or unsecured, to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act, 2013.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 185 and 186 of the Companies Act, 2013 in respect of grant of loans, making investments and providing guarantees and securities, as applicable.
(v) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 73 to 76 or any other relevant provisions of the Companies Act, 2013 and the Companies (Acceptance of Deposits) Rules, 2014, as amended, with regard to the deposits accepted. According to the information and explanations given to us, no order has been passed by the Company Law Board or the National Company Law Tribunal or the Reserve Bank of India or any Court or any other Tribunal.
(vi) We have broadly reviewed the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit) Rules, 2014, as amended and prescribed by the Central Government under Section 148(1) of the Companies Act, 2013, and are of the opinion that, prima facie, the prescribed cost records have been made and maintained. We have, however, not made a detailed examination of the cost records with a view to determine whether they are accurate or complete.
(vii) According to the information and explanations given to us in respect of statutory dues:
(a) The Company has been regular in depositing undisputed statutory dues, including, Provident Fund, Employeesâ State Insurance, Entry Tax, Income tax, Purchase Tax, Customs Duty, Excise Duty, Value Added Tax, Works Contract Tax, Sales Tax, Cess and other material statutory dues applicable to it and generally been regular in depositing dues in case of Tax Deducted At Source and Service Tax with the appropriate authorities. There were no undisputed amounts payable in respect of Provident Fund, Employeesâ State Insurance, Income-tax, Sales Tax, Customs Duty, Excise Duty, Value Added Tax, Cess and other material statutory dues in arrears as at March 31, 2016 for a period of more than six months from the date they became payable.
(b) Details of dues of Excise Duty, Service Tax, Income-tax and Sales Tax matters which have not been deposited as on March 31, 2016 by the Company on account of disputes are given below:
Name of the Statute |
Nature of dues |
Forum where dispute is pending |
Period to which the amount relates (various years covering the period) |
Amount involved * (Rs. lacs) |
Amount paid under protest (Rs. lacs) |
Central Excise Act, 1944 |
Excise Duty |
High Court |
March â86 to December â89 |
20.00 |
- |
Modvat Credit |
Commissioner (Appeals) |
1995-96, November â04 to December â08 |
31.79 |
- |
|
Service Tax Laws-Finance Act, 1994 |
Service Tax |
Deputy Commissioner |
January â08 to October â08 |
1.44 |
- |
Customs, Excise & Service Tax Appellate Tribunal |
January â11 to January â12 and July â12 to March â14 |
360.02 |
16.19 |
||
Assistant Commissioner, Central Excise & Customs |
Decemberâ09 to Decemberâ10 |
4.28 |
- |
||
Commissioner (Appeals) |
2009-14 |
59.60 |
1.54 |
||
Income Tax Act, 1961 |
Income Tax |
Income Tax Appellate Tribunal |
2003-06 |
1708.75 |
1708.75 |
Sales Tax Laws |
Sales Tax |
Additional Commissioner (Appeal) |
2004-05 |
2.21 |
0.88 |
* amount as per demand orders including interest and penalty wherever indicated in the demand.
Further, in respect of following matters, the concerned authority is in appeal against favorable orders received by the Company:
Name of the Statute |
Nature of dues |
Forum where department has preferred appeal |
Period to which the amount relates (various years covering the period) |
Amount involved * (Rs. lacs) |
Amount paid under protest (Rs. lacs) |
Central Excise Act, 1944 |
Excise duty |
Customs, Excise & Service Tax Appellate Tribunal |
2003-08 |
26.71 |
- |
High Court |
1998-99 |
3.54 |
- |
||
Modvat Credit |
High Court |
1995-96 |
15.15 |
- |
|
Service Tax Laws-Finance Act, 1994 |
Service Tax |
Customs, Excise & Service Tax Appellate Tribunal |
2005 |
2.01 |
|
Sales Tax Laws |
Sales Tax |
High Court |
1976-80, 1982-85, 198990, 1992-93, 1995-98 and 2008-11 |
137.38 |
- |
* amount as per demand orders including interest and penalty wherever indicated in the demand.
We have been further informed that there are no dues in respect of Customs Duty and Value Added Tax which have not been deposited as on March 31, 2016 on account of any dispute.
(viii) In our opinion and according to the information and explanations given to us, the Company has not defaulted in the repayment of dues to banks and financial institutions. The Company has neither taken any loans or borrowings from government nor has issued any debentures during the year.
(ix) In our opinion and according to the information and explanations given to us, money raised by way of the term loans have been applied by the Company during the year for the purposes for which they were raised. The Company has not raised moneys by way of initial public offer or further public offer (including debt instruments).
(x) To the best of our knowledge and according to the information and explanations given to us, no fraud by the Company and no material fraud on the Company by its officers or employees has been noticed or reported during the year.
(xi) In our opinion and according to the information and explanations given to us, the Company has paid/provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the CARO 2016 Order is not applicable.
(xiii) In our opinion and according to the information and explanations given to us the Company is in compliance with Section 177 and 188 of the Companies Act, 2013, where applicable, for all transactions with the related parties and the details of related party transactions have been disclosed in the financial statements etc. as required by the applicable accounting standards.
(xiv) During the year, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures and hence reporting under clause (xiv) of CARO 2016 is not applicable to the Company.
(xv) In our opinion and according to the information and explanations given to us, during the year the Company has not entered into any non-cash transactions with its directors or persons connected with him and hence provisions of section 192 of the Companies Act, 2013 are not applicable.
(xvi) The Company is not required to be registered under section 45-I of the Reserve Bank of India Act, 1934.
For A. F. Ferguson & Co.
Chartered Accountants
(Firm''s Registration No. 112066W)
Jaideep Bhargava
Place : New Delhi Partner
Date : 30.5.2016 (Membership No. 090295)
Mar 31, 2015
We have audited the accompanying standalone financial statements of DCM
SHRIRAM INDUSTRIES LIMITED ("the Company"), which comprise the
Balance Sheet as at 31st March, 2015, the Statement of Profit and
Loss,the Cash Flow Statement for the year then ended, and a summary of
the significant accounting policies and other explanatory information.
Management's Responsibility for the Standalone 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 of these standalone financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the accounting principles generally accepted in India, including the
Accounting Standards specified under 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 accordance with
the provisions of the Act for safeguarding the assets of the Company
and for preventing and detecting frauds and other irregularities;
selection and application of appropriate accounting policies; making
judgments and estimates that are reasonable and prudent; and
design,implementation and maintenance of adequate internal financial
controls, that were operating effectively for ensuring the accuracy and
completeness of the accounting records, relevant to the preparation and
presentation of the financial statements that give a true and fair view
and are free from material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these standalone
financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting
and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10)of the Act. Those Standards require that
we comply with ethical requirements and plan and perform the audit to
obtain reasonable assurance about whether the financial statements are
free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor's judgment,including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company's preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well
as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the standalone
financial statements.
opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone financial statements
give the information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at 31st March, 2015, and its profit and its cash flows for the year
ended on that date.
emphasis of Matter
Attention is invited to note 45 which sets out the position regarding
sugarcane subsidy aggregating Rs. 3277.93 lacs accounted by the Company
in these financial statements. As indicated in this note, necessary
adjustments would be made on final determination of the amount of
subsidy.
Our opinion is not modified in respect of this matter. report on other
Legal and regulatory requirements
1. As required by the Companies (Auditor's Report) Order, 2015
("the Order") issued by the Central Government in terms of section
143(11) of the Act, we give in the Annexure a statement on the matters
specified in paragraphs 3 and 4 of the Order.
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 best of 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 the Company so far as it appears from our examination of
those books.
(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account.
(d) In our opinion, the aforesaid standalone financial statements
comply with the Accounting Standards specified under Section 133 of the
Act, read with Rule 7 of the Companies (Accounts)Rules, 2014.
(f) On the basis of the written representations received from the
directors as on 31st March, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164 (2) of the
Act.
(e) With respect to the other matters to be included in the Auditor's
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and 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
financial position in its financial statements - Refer Note 32 and
33(a) to (c) to the financial statements.
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses-Refer Note 34(b) to the financial statements.
iii. There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO THE INDEPENDENT AUDITORS' REPORT (Referred to in
paragraph 1 under 'Report on Other Legal and Regulatory
Requirements' section of our report of even date)
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
(b) As explained to us, the Company has a programme of physically
verifying all its fixed assets over a period of three years, which in
our opinion is reasonable having regard to the size of the Company and
the nature of its fixed assets. In accordance with this programme, some
of the fixed assets were physically verified by the management during
the year. The discrepancies noticed on such verification between the
physical balances and the fixed assets records were not material and
have been properly dealt with in the books of account.
(ii) In respect of its inventory:
(a) As explained to us, the inventories were physically verified during
the year by the management at reasonable intervals other than for stock
lying with third parties and/ or goods in transit for which
confirmations have been obtained and subsequent receipts have been
verified in most of the cases.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and have been
properly dealt with in the books of account.
(iii) According to the information and explanations given to us, the
Company has not granted any loans, secured or unsecured, to companies,
firms or other parties covered in the register maintained under Section
189 of the Companies Act, 2013.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business with regard
to the purchase of inventories and fixed assets and the sale of goods
and services. During the course of our audit we have not observed any
major weakness in such internal control system.
(v) According to the information and explanations given to us, the
Company has not accepted any deposit during the year. In respect of
deposits accepted in earlier years, the Company has complied with the
provisions of Sections 73 to 76 or any other relevant provisions of the
Companies Act.
(vi) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Records and Audit) Rules, 2014,
as amended and prescribed by the Central Government under Section
148(1) of the Companies Act, 2013, and are of the opinion that, prima
facie, the prescribed cost records have been made and maintained. We
have, however, not made a detailed examination of the cost records with
a view to determine whether they are accurate or complete.
(vii) According to the information and explanations given to us, in
respect of statutory dues:
(a) The Company has been regular in depositing undisputed statutory
dues, including Provident Fund, Employees' State Insurance,
Income-tax, Wealth Tax, Entry Tax, Purchase Tax, Customs Duty, Excise
Duty, Value Added Tax, Works Contract Tax, Cess and other material
statutory dues applicable to it and generally been regular in
depositing dues in case of Tax Deducted At Source, Service Tax and
Sales Tax with the appropriate authorities.
(b) There were no undisputed amounts payable in respect of Provident
Fund, Employees' State Insurance, Income-tax, Sales Tax, Wealth Tax,
Service Tax, Customs Duty, Excise Duty, Value Added Tax, Cess and other
material statutory dues in arrears as at 31st March, 2015 for a period
of more than six months from the date they became payable.
(c) Details of dues of Excise Duty, Service Tax, Income-tax and Sales
Tax matters which have not been deposited as on 31st March, 2015 by the
Company on account of disputes are given below:
Name of the Nature Forum where dispute is Period to which the
Statute of dues pending amount relates
(various years
covering the period)
Central Excise High Court March '86 to
Excise Act, Duty December '89
1944
Modvat Commissioner 1995-96,
Credit (Appeals) November '04 to
December '08
Service Service Deputy Commissioner January '08 to
Tax Laws- Tax October '08
Finance Act
Customs, Excise & July '12 to
1994 Service Tax Appellate March '14
Tribunal
Assistant Commis- December'09 to
sioner, Central
Excise & December'10
Customs
Income Income Income Tax Appellate 2003-06
Tax Act, 1961 Tax Tribunal
Sales Tax Sales Additional Commissi
-oner 2004-05, 2010-11 and
Laws Tax (Appeals) 2011-12
Joint Commissioner 2010-11
Name of the
statute Amount Amount
involved * paid under
(Rs. lacs) protest
(Rs. lacs)
Central
Excise Act,
1944 20.00 -
31.79 -
Service
Tax Laws-
Finance Act,
1994 1.44 -
236.16 10.00
4.28 -
Income
Tax Act, 1961 1708.75 1708.75
Sales Tax
Laws 10.09 3.08
0.11 -
* amount as per demand orders including interest and penalty wherever
indicated in the demand.
Further, in respect of following matters, the concerned authority is in
appeal against favourable orders received by the Company:
Name of the Nature of Forum where department
Statute dues has preferred appeal
Central Excise Excise duty Customs, Excise & Service
Act, 1944 Tax Appellate Tribunal
High Court
Modvat Credit High Court
Service Tax Service Tax Customs, Excise & Service
Laws- Finance Tax Appellate Tribunal
Act, 1994
Sales Tax Sales Tax High Court
Laws
Name of the
Statute Period to which the Amount involved *
amount relates (various (Rs. lacs)
years covering the period)
Central Excise
Act, 1944 2003-08 26.71
1998-99 3.54
1995-96 15.15
Service Tax
Laws- Finance
Act, 1994 2005 2.01
Sales Tax
Laws 1976-80, 1982-85,
1989-90, 129.44
1992-93, 1995-98 and
2008-11
* amount as per demand orders including interest and penalty wherever
indicated in the demand. We have been further informed that there are
no dues in respect of Wealth Tax, Customs Duty, Value Added Tax and
Cess which have not been deposited as on 31st March, 2015 on account of
any dispute.
(d) The Company has been regular in transferring amounts to the
Investor Education and Protection Fund in accordance with the relevant
provisions of the Companies Act, 1956 (1of 1956) and Rules made
thereunder within time.
(viii) The Company does not have accumulated losses at the end of the
financial year and the Company has not incurred cash losses during the
financial year covered by our audit and in the immediately preceding
financial year.
(ix) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks and financial institutions. The Company has not issued any
debentures during the year.
(x) According to the information and explanations given to us, the
Company has not given guarantees for loans taken by others from banks
and financial institutions.
(xi) In our opinion and according to the information and explanations
given to us, the term loans have been applied by the Company during the
year for the purposes for which they were obtained.
(xii) To the best of our knowledge and according to the information and
explanations given to us, no fraud by the Company and no material fraud
on the Company has been noticed or reported during the year.
For A. F. Ferguson & Co.
Chartered Accountants
(Firm's Registration No. 112066W)
Jaideep Bhargava
Place : New Delhi Partner
Date : 29.5.2015 (Membership No. 090295)
Mar 31, 2014
We have audited the accompanying financial statements of DCM SHRIRAM
INDUSTRIES LIMITED ("the Company"), which comprise the Balance Sheet as
at 31st March, 2014, the Statement of profit and Loss and the Cash Flow
Statement for the year then ended, and a summary of the significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
The Company''s Management is responsible for the preparation of these
financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in
accordance with the Accounting Standards notifed under the Companies
Act, 1956 ("the Act") (which continue to be applicable in respect of
Section 133 of the Companies Act, 2013 in terms of General Circular
15/2013 dated 13th September, 2013 of the Ministry of Corporate
Affairs) and in accordance with the accounting principles generally
accepted in India. This responsibility includes the design,
implementation and maintenance of internal control relevant to the
preparation and presentation of the financial statements that give a
true and fair view and are free from material misstatement, whether due
to fraud or error.
Auditors'' Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the
Company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Company''s internal control. An audit also includes
evaluating the appropriateness of the accounting policies used and the
reasonableness of the accounting estimates made by the Management, as
well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is suffcient and
appropriate to provide a basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014;
(b) in the case of the Statement of profit and Loss, of the profit of the
Company for the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government in terms of Section 227(4A) of
the Act, we give in the Annexure a statement on the matters specified in
paragraphs 4 and 5 of the Order.
2. As required by Section 227(3) of the Act, we report that:
(a) We have obtained all the information and explanations which to the
best of 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 the Company so far as it appears from our examination of
those books.
(c) The Balance Sheet, the Statement of profit and Loss, and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account.
(d) In our opinion, the Balance Sheet, the Statement of profit and Loss,
and the Cash Flow Statement comply with the Accounting Standards
notifed under the Act (which continue to be applicable in respect of
Section 133 of the Companies Act, 2013 in terms of General Circular
15/2013 dated 13th September, 2013 of the Ministry of Corporate
Affairs).
(e) On the basis of the written representations received from the
directors as on 31st March, 2014 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2014
from being appointed as a director in terms of Section 274(1)(g) of the
Act.
ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT
(Referred to in paragraph 1 under ''Report on Other Legal and Regulatory
Requirements'' section of our
report of even date)
Having regard to the nature of the Company''s business / activities /
result during the year clauses (xii) and (xiii) of paragraph 4 of
Companies (Auditor''s Report) Order, 2003 (hereinafter referred to as
the Order) are not applicable to the Company.
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
(b) As explained to us, the Company has a programme of physically
verifying all its fixed assets over a period of three years, which in
our opinion is reasonable having regard to the size of the Company and
the nature of its fixed assets. In accordance with this programme, some
of the fixed assets were physically verifed by the management during the
year. The discrepancies noticed on such verifcation between the
physical balances and the fixed assets records were not material and
have been properly dealt with in the books of account.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company and
such disposal has, in our opinion, not affected the going concern
status of the Company.
(ii) In respect of its inventory:
(a) As explained to us, the inventories were physically verifed during
the year by the management at reasonable intervals other than for stock
lying with third parties and/ or goods in transit for which
confirmations have been obtained and subsequent receipts have been
verifed in most of the cases.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verifcation of inventories
followed by the management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories. The discrepancies noticed on physical verifcation of
inventories as compared to book records were not material and have been
properly dealt with in the books of account.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loan secured or unsecured to companies,
firms or other parties covered in the register maintained under section
301 of the Companies Act, 1956. Accordingly, clauses 4(iii) (a) to (d)
of the Order are not applicable.
(b) According to the information and explanations given to us,
unsecured loans taken by the Company from companies, firms or other
parties covered in the Register maintained under Section 301 of the
Companies Act, 1956 are by way of fixed deposits. The Company has not
taken any fixed deposits during the year from such parties. At the
year-end, the outstanding balances of such loans taken aggregated Rs.
19.00 lacs (four parties) and the maximum amount involved during the
year was Rs. 29 lacs (five parties).
(c) The rate of interest and other terms and conditions of such loans
taken by the Company are not, prima facie, prejudicial to the interest
of the Company.
(d) The payments of principal amounts and the interest in respect of
such loans are as per stipulations.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business with regard
to the purchase of inventories and fixed assets and the sale of goods
and services. During the course of our audit we have not observed any
major weakness in such internal control system.
(v) In respect of contracts or arrangements entered in the Register
maintained in pursuance of Section 301 of the Companies Act, 1956, to
the best of our knowledge and belief and according to the information
and explanations given to us:
(a) The particulars of contracts or arrangements referred to in Section
301 that needed to be entered in the Register maintained under the said
Section have been so entered.
(b) Where each of such transaction (excluding loans reported under
paragraph (iii) above) is in excess of Rs. 5 lacs in respect of any
party, the transactions have been made at prices which are prima facie
reasonable having regard to the prevailing market prices at the
relevant time.
(vi) In our opinion and according to the information and explanations
given to us, the Company has complied with the provisions of Sections
58A, 58AA or any other relevant provisions of the Companies Act, 1956
and the Companies (Acceptance of Deposits) Rules, 1975 with regard to
the deposits accepted from the public. According to the information and
explanations given to us, no order under the aforesaid sections has
been passed by the Company Law Board or the National Company Law
Tribunal or the Reserve Bank of India or any Court or any other
Tribunal on the Company.
(vii) In our opinion, the internal audit functions carried out during
the year by firms of Chartered Accountants appointed by the Management
have been commensurate with the size of the Company and the nature of
its business.
(viii) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Accounting Records) Rules, 2011
and the Cost Accounting Records (Sugar Industry) Rules, 2011 prescribed
by the Central Government under Section 209(1)(d) of the Companies Act,
1956 and are of the opinion that, prima facie, the prescribed cost
records have been made and maintained. We have, however, not made a
detailed examination of the cost records with a view to determine
whether they are accurate or complete.
(ix) According to the information and explanations given to us and the
records of the Company examined by us in respect of statutory dues:
(a) The Company has been regular in depositing undisputed statutory
dues, including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales Tax, Wealth Tax, Entry
Tax, Purchase Tax, Customs Duty, Excise Duty, Cess and other material
statutory dues applicable to it and generally been regular in
depositing dues in case of Tax Deducted At Source, Service Tax and
Works Contract Tax with the appropriate authorities.
(b) There were no undisputed amounts payable in respect of Provident
Fund, Investor Education and Protection Fund, Employees'' State
Insurance, Income-tax, Sales Tax, Wealth Tax, Service Tax, Customs
Duty, Excise Duty, Cess and other material statutory dues in arrears as
at March 31, 2014 for a period of more than six months from the date
they became payable.
(c) Details of dues of Excise Duty, Service Tax, Income-tax and Sales
Tax matters which have not been deposited as on March 31, 2014 by the
Company on account of disputes are given below:
Name of Nature Forum where dispute is Period to which the
the Statute of dues pending amount relates
(various years
covering the period)
Central Excise High Court March ''86 to
Excise Act, Duty December ''89
1944
Modvat Commissioner (Appeals) 1995-96,
Credit November ''04 to
December ''08
Service Service High Court 2004-07
Tax Laws Tax
Deputy Commissioner January ''08 to
Finance October ''08
Act, 1994
Assistant Commissioner, December''09 to
Central Excise &
Customs December''10
Income Tax Income Income Tax Appellate 2005-06
Act, 1961 Tax Tribunal
Commissioner of Income 2003-05
Tax (Appeals)
Sales Tax Sales Commercial Tax
Tribunal 2008-09
Laws Tax
Additional Commissioner 2007-11
Name of the Statute Amount Amount
involved * paid under
(Rs. lacs) protest
(Rs. lacs)
Central Excise Act, 1944 20.00 -
31.79 -
Service Tax Laws-
Finance Act, 1994 27.87 -
1.44 -
4.28 -
Income Tax Act, 1961 193.40 193.40
2112.46 1297.96
Sales Tax laws 0.88 -
10.78 7.94
*amount as per demand orders including interest and penalty wherever
indicated in the demand.
Further, in respect of following matters, the concerned authority is in
appeal against favourable orders received by the Company:
Name of the Nature of Forum where department
Statute dues has preferred appeal
Central Excise Excise Customs, Excise & Service
Act, 1944 Duty Tax Appellate Tribunal
High Court
Modvat High Court
Credit
Income Tax Income High Court
Act, 1961 Tax
Service Tax Service Customs, Excise & Service
Laws- Finance Tax Tax Appellate Tribunal
Act, 1994
Sales Tax Sales Tax High Court
Laws Commercial Tax Tribunal
Name of the Statute Period to which the Amount involved *
amount relates (various (Rs. lacs)
years covering the period)
Central Excise Act, 1944 2003-08 26.71
1998-99 3.54
1995-96 15.15
Income Tax Act, 1961 1999-2005 1441.45
Service Tax Laws-
Finance Act, 1994 2005 2.01
Sales Tax Laws 1976-2002 151.35
2006-07 0.32
* amount as per demand orders including interest and penalty wherever
indicated in the demand.
We have been further fnformed that there are no dues in respect of
wealth tax and cess which have not been deposited on account of any
dispute.
(x) The Company does not have accumulated losses at the end of the
financial year and the Company has not incurred cash losses during the
financial year covered by our audit and in the immediately preceding
financial year.
(xi) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks and financial institutions. There were no debentures outstanding
during the year.
(xii) According to the information and explanations given to us, the
Company has not given guarantees for loans taken by others from banks
and financial institutions.
(xiii) As the Company is not dealing or trading in shares, securities,
debentures and other investments, paragraph 4(xiv) of the CARO is not
applicable.
(xiv) In our opinion and according to the information and explanations
given to us, the term loans taken during the year have been applied by
the Company for the purposes for which they were obtained.
(xv) In our opinion and according to the information and explanations
given to us, and on an overall examination of the Balance Sheet of the
Company, we report that funds raised on short-term basis have not been
used during the year for long-term investment.
(xvi) During the year the Company has not made any preferential
allotment of shares to the parties and companies covered in the
Register maintained under Section 301 of the Companies Act, 1956.
(xvii) The Company has not issued any debentures during the year.
(xviii) The Company has not raised money by way of public issue during
the year.
(xix) To the best of our knowledge and according to the information and
explanations given to us, no fraud by the Company and no material fraud
on the Company has been noticed or reported during the year.
For A. F. Ferguson & Co.
Chartered Accountants
(Firm Registration No. 112066W)
Jaideep Bhargava
Place : New Delhi Partner
Date : 30.5.2014 (Membership No. 090295)
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of DCM SHRIRAM
INDUSTRIES LIMITED ("the Company"), which comprise the Balance Sheet as
at 31st March, 2013, the Statement of Profit and Loss and the Cash Flow
Statement for the year then ended and a summary of the significant
accounting policies and other explanatory information.
Management''s Responsibility for the Financial Statements
The Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in Section 211(3C) of the
Companies Act, 1956 ("the Act") and in accordance with the accounting
principles generally accepted in India. This responsibility includes
the design, implementation and maintenance of internal controls
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditors'' Responsibility
Our responsibility is to-expr-ss an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards dh''Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply wfth the
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal controls relevant to the
Company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the
effectiveness of the Company''s internal control. An audit also includes
evaluating the appropriateness of the accounting policies used and the
reasonableness of the accounting estimates made by the Management, as
well as evaluating the overall presentation of the financial
statements. We believe that the audit evidence we have obtained is
sufficient and appropriate to provide a basis for our qualified audit
opinion. Basis for Qualified Opinion
Various issues arisen/arising out of the reorganisation arrangement
will be settled and accounted for as and when the liabilities/benefits
are finally determined. The effect of these cannot be determined at
this stage (refer note 31 (b) of notes to the financial statements).
The matter referred to in above paragraph to the extent covered here
was also subject matter of qualification in our audit report on the
financial statements for the year ended March 31, 2012. Qualified
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, except for the effects of the matter
described in the Basis for Qualified Opinion paragraph, the aforesaid
financial statements give the information required by the Act in the
manner so required and give a true and fair view in conformity with the
accounting principles generally accepted in India: - ¦ (a) in the case
of the Balance Sheet, of the state of affairs of the Company as at 31
st March, 2013;
(b) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date and
(c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date. Report on Other Legal and
Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government in terms of
Section 227(4A) of the Act, we give in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the Order.
2. As required by Section 227(3) of the Act, we report that:
(a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary f for the purposes of
our audit. ;
(b) In our opinion proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
books.
(c) The Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account.
(d) In our opinion, the Balance Sheet, the Statement of Profit and Loss
and the Cash Flow Statement comply with the , accounting standards
referred to in Section 211 (3C) of the Act.
(e) On the basis of the written representations received from the
directors as on 31 st March, 2013 taken on record by the Board of
Directors, none of the directors is disqualified as on 31 st March,
2013 from being appointed as a director in terms of Section 274(1 )(g)
of the Act.
ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT
(Referred to in paragraph 1 under ''Report on Other Legal and Regulatory
Requirements'' section of our report of even date)
Having regard to the nature of the Company''s business / activities /
result, clauses (xii) and (xiii) of paragraph 4 of Companies (Auditor''s
Report) Order, 2003 (hereinafter referred to as the Order) are not
applicable to the Company.
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
(b) As explained to us, the Company has a programme of physically
verifying all its fixed assets over a period of three years, which in
our opinion is reasonable having regard to the size of the Company and
the nature of its fixed assets. In accordance with this programme, some
of the fixed assets were physically verified by the management during
the year. The discrepancies noticed on such verification between the
physical balances and the fixed assets records were not material and
have been properly dealt with in the books of account.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
(ii) In respect of its inventory:
(a) As explained to us, the inventories were physically verified during
the year by the management at reasonable intervals other than for stock
lying with third parties and/ or goods in transit for which
confirmations have been obtained and subsequent receipts have been
verified in.most of the cases.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and have been
properly dealt with in the books of account.
(iii) (a) According to the information and explanations given to us,
unsecured loan granted by the Company to companies, firms or other
parties covered in the register maintained under section 301 of the
Companies Act, 1956, are by way of housing loan to a whole time
director amounting to Rs. 47.50 lacs during the year. At the year-end,
the outstanding balance of such loan granted was Nil and the maximum
amount involved during the year was Rs. 47.50 lacs.
(b) The rate of interest and other terms and conditions of such loan
are, in our opinion, prima facie not prejudicial to the interest of the
Company.
(c) The receipts of principal amounts and interest have been as per
stipulations.
(d) According to the information and explanations given to us,
unsecured loans taken by the Company from companies, firms or other
parties covered in the register maintained under section 301 of the
Companies Act, 1956, are by way of fixed deposits aggregating Rs. 10.00
lacs (only one party) from directors and their relatives. Maximum
amount outstanding during the year and year end balance from five
parties is Rs. 29.00 lacs.
(e) In our opinion, the rate of interest and other terms and conditions
of unsecured loan taken by the Company are not, prima facie,
prejudicial to the interest of the Company.
(f) In our opinion, the Company is regular in payment of the principal
amount and the interest thereon.
(iv) In our opinion and according to therinformation and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business
1 with regard to the purchase of jnventories and fixed assets and the
sale of goods and services.
During the course of our audit, we have not observed any major weakness
in such internal control system.
(v) In respect of contracts or arrangements entered in the Register
maintained in pursuance of Section 301 of the Companies Act, 1956, to
the best of our knowledge and belief and according to the information
and explanations given to us :
(a) The particulars of contracts or arrangements referred to in Section
301 that needed to be entered in the Register maintained under the said
Section have been so entered.
(b) Where each of such transaction isin excess of Rs. 5 lakhs in
respect of any party, the transactions have been made at prices which
are prima facie reasonable having regard to the prevailing ! market
prices at the relevant time.
(vi) In our opinion and according to the information and explanations
given to us, the Company has complied with the directives issued by the
Reserve Bank of India and the provisions of section 58A and section
58AA of the Companies Act, 1956 or any other relevant provisions of the
Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules,
1975 with regard to the deposits accepted from public. According to the
information and explanations given to us, no order under the aforesaid
sections has been passed by the Company Law Board or National Company
Law Tribunal or Reserve Bank of India or any Court or any other
Tribunal on the Company.
(vii) In our opinion, the internal audit functions carried out during
the year by firms of Chartered Accountants appointed by the management
have been commensurate with the size of the Company and the nature of
its business.
(viii) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209(1) (d) of the
Companies Act, 1956 and are of the opinion that prima facie the
prescribed cost records have been maintained. We have, however, not
made a detailed examination of the cost records with a view to
determine whether they are accurate or complete.
(ix) According to the information and explanations given to us and the
records of the Company examined by us in respect of statutory dues:
(a) The Company has been regular in depositing undisputed dues,
including investor education and protection fund, employees'' state
insurance, income-tax, wealth tax, sales tax, customs duty, cess, entry
tax, purchase tax, provident fund and other material statutory dues
applicable to it and generally been regular in depositing dues in case
of tax deducted at source, service tax and excise duty with the
appropriate authorities. There were no undisputed statutory dues
outstanding for a period of more than six months from the date they
become payable as at the year end.
(xi) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks and financial institutions. There were no debentures outstanding
during the year.
(xii) As the Company is not dealing or trading in shares, securities,
debentures and other investments, paragraph 4(xiv}of the CARO is not
applicable.
(xiii) According to the information and explanations given to us, the
Company has not given any guarantees during the year for loans taken by
others from banks or financial institutions.
(xiv) In our opinion and according to the information and explanations
given to us, the term loans taken during the year have been applied for
the purposes for which they were obtained.
(xv) In our opinion and according to the information and explanations
given to us and on an overall examination of the balance sheet, we
report that funds raised on short term basis have not been used for
long term investments.
(xvi) As the Company has not made any preferential allotment during the
year, paragraph 4(xviii) of the CARO is not applicable.
(xvii) The Company has npt issued any debentures during the year.
(xviii)The Company has not raised money by way of public issue during
the year.
(xix) To the best of our knowledge and according to the information and
explanations given to us by the management, no fraud by the Company and
no fraud on the Company has been noticed or reported during the year.
For A. F. Ferguson & Co.
Chartered Accountants
(Registration No. 112066W)
Jaideep Bhargava
Place : New Delhi Partner
Date : 23.5.2013 (Membership No. 090295)
Mar 31, 2012
1. We have audited the attached Balance Sheet of DCM Shriram
Industries Limited ("the Company") as at March 31, 2012, the
Statement of Profit and Loss and the Cash Flow Statement of the Company
for the year ended on that date, both annexed thereto. These financial
statements are the responsibility of the Company's management. Our
responsibility is to express an opinion on these financial statements
based on our audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and the disclosures in the financial statements. An audit also includes
assessing the accounting principles used and the significant estimates
made by the management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditor's Report) Order, 2003
(CARO) issued by the Central Government of India in terms of section
227(4A) of the Companies Act, 1956, we give in the Annexure a statement
on the matters specified in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the annexure referred to in paragraph 3
above, we report that:
i) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
ii) in our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books;
iii) the Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this report are in agreement with the
books of account;
iv) in our opinion, the Balance Sheet, the Statement of Profit and Loss
and the Cash Flow Statement dealt with by this report are in compliance
with the accounting standards referred to in section 211 (3C) of the
Companies Act, 1956;
v) various issues arisen/arising out of the reorganisation arrangement
will be settled and accounted for as and when the liabilities/benefits
are finally determined. The effect of these cannot be determined at
this stage (refer note 31 (b) of notes to the financial statements).
The matter referred to in paragraph (v) to the extent covered here
above was also subject matter of qualification in our audit report on
the financial statements for the year ended March 31, 2011.
Subject to the foregoing, in our opinion and to the best of our
information and according to the explanations given to us, the said
accounts give the information required by the Companies Act, 1956 in
the manner so required and give a true and fair view in conformity with
the accounting principles generally accepted in India:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2012;
b) in the case of the Statement of Profit and Loss, of the loss of the
Company for the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
5. On the basis of written representations received from the directors
as on March 31, 2012 and taken on record by the Board of Directors, we
report that none of the directors is disqualified as on March 31, 2012
from being appointed as a director in terms of section 274(1)(g) of the
Companies Act, 1956.
Having regard to the nature of the Company's business / activities /
result, clause (xiii) of CARO is not applicable.
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
(b) As explained to us, the Company has a programme of physically
verifying all its fixed assets over a period of three years, which in
our opinion is reasonable having regard to the size of the Company and
the nature of its fixed assets. In accordance with this programme, some
of the fixed assets were physically verified by the management during
the year. The discrepancies noticed on such verification between the
physical balances and the fixed assets records were not material and
have been properly dealt with in the books of account.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
(ii) In respect of its inventory:
(a) As explained to us, the inventories were physically verified during
the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and have been
properly dealt with in the books of account.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loan, secured or unsecured to
companies, firms and other parties covered in the register maintained
under Section 301 of the Companies Act, 1956 (hereinafter referred to
as the Act). For this purpose, the Company has taken the view that the
transactions which are subjected to the provisions of section 299(6) of
the Act are not required to be entered in this register.
Notwithstanding the Company's views regarding the provisions of
section 299(6) of the Act, in respect of the loan granted by the
Company to a promoted company as per the Scheme of Rehabilitation
approved by Board for Industrial and Financial Reconstruction (BIFR) in
earlier years, the maximum amount outstanding during the year and the
year-end balance was Rs. 541.94 lacs.
(b) In our opinion and according to the information and explanations
given to us, during the year, the Company has rescheduled the terms of
repayment of the loan granted by the Company, as referred to in para
(iii) (a) above, the rate of interest and other terms and conditions of
such rescheduled loan are not, prima facie, prejudicial to the interest
of the Company.
(c) As per the information and explanations given to us, the receipt of
principal amount and interest has been as per stipulation.
(d) As per the information and explanations given to us and records of
the Company, there are no overdue amounts in respect of above loan, and
interest thereon.
(e) According to the information and explanations given to us,
unsecured loans taken by the Company from companies, firms or other
parties covered in the register maintained under section 301 of the
Companies Act, 1956, are by way of fixed deposits aggregating Rs. 14.00
lacs from directors and their relatives. Maximum amount outstanding
during the year and year end balance from four parties is Rs. 19.00
lacs.
(f) In our opinion, the rate of interest and other terms and conditions
of unsecured loan taken by the Company are not, prima facie,
prejudicial to the interest of the Company.
(g) In our opinion, the Company is regular in payment of the principal
amount and the interest thereon.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business with regard
to the purchase of inventories and fixed assets and the sale of goods
and services. During the course of our audit, we have not observed any
major weakness in such internal control system.
(v) According to the information and explanations given to us, during
the year, the particulars of contracts / arrangements referred to in
section 301 of the Act have been entered in the register required to be
maintained under that section. For this purpose, the Company has taken
the view that the transactions which are subjected to the provisions of
section 299(6) of the Act are not required to be entered in this
register. Notwithstanding the Company's views regarding the
provisions of section 299(6) of the Act, in respect of certain
transactions, exceeding the value of Rs. 5 lacs entered into with such
party during the year have been made at prices which are prima facie
reasonable having regard to prevailing market prices at the relevant
time.
(vi) In our opinion and according to the information and explanations
given to us, the Company has complied with the directives issued by the
Reserve Bank of India and the provisions of section 58A and section
58AA of the Companies Act, 1956 or any other relevant provisions of the
Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules,
1975 with regard to the deposits accepted from public. According to
the information and explanations given to us, no order under the
aforesaid sections has been passed by the Company Law Board or National
Company Law Tribunal or Reserve Bank of India or any Court or any other
T ribunal on the Company.
(vii) In our opinion, the internal audit functions carried out during
the year by firms of Chartered Accountants appointed by the management
have been commensurate with the size of the Company and the nature of
its business.
(viii) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209(1)(d) of the
Companies Act, 1956 and are of the opinion that prima facie the
prescribed cost records have been maintained. We have, however, not
made a detailed examination of the cost records with a view to
determine whether they are accurate or complete.
(ix) According to the information and explanations given to us and the
records of the Company examined by us in respect of statutory dues:
(a) The Company has been regular in depositing undisputed dues,
including investor education and protection fund, employees' state
insurance, income-tax, wealth tax, sales tax, customs duty, excise
duty, cess, entry tax, purchase tax and other material statutory dues
applicable to it and generally been regular in depositing dues in case
of tax deducted at source, service tax and provident fund with the
appropriate authorities. There were no undisputed statutory dues
outstanding for a period of more than six months from the date they
become payable as at the year end.
(b) Details of dues of excise duty, service tax, customs duty,
income-tax and sales tax matters which have not been deposited as on
March 31, 2012 by the Company on account of disputes are given below:
S. Name of the Nature of Amount Amount
No. Statute dues involved * paid
(Rs. lacs) under
protest
(Rs. lacs)
1 Central Excise Duty 1.84 -
Excise Laws
20.00 -
Modvat Credit 31.79 -
Service Tax 1.44 -
4.28 -
2 Income Tax Income Tax 193.40 193.40
Act, 1961
1468.20 480.01
3 Sales Tax Sales Tax 0.88 -
Laws
1.79 -
S. Name of the Period to which Forum where dispute is
No. Statute the amount pending
relates (various
years covering
the period)
1. Central 1981-82 Assistant Commissioner
Excise Laws
March '86 to High Court
December '89
1995-96, Commissioner (Appeals)
November '04 to
December '08
January '08 to Deputy Commissioner
October '08
December'09 to Assistant Commissioner,
December'10 Central Excise & Customs
2. Income Tax 2005-06 Income Tax Appellate
Act, 1961 Tribunal
1999-00, 2001-02 Commissioner of
to 2004-05 and Income Tax (Appeals)
2008-09
3 Sales Tax 2008-09 Joint Commissioner
Laws (Appeals), Commercial Tax
2009-10 Additional Commissioner
*amount as per demand orders including interest and penalty wherever
indicated in the demand.
Further, in respect of following matters, the concerned authority is in
appeal against favourable orders received by the Company:
S. Name of the Nature of Amount Period to
which the Forum where
department
No. statute dues involved amount
relates has preferred
appeal
(Rs. lacs) (various
years
covering
the period)
1 Central Excise duty 26.71 2003-08 Customs,
Excise &
Service
Excise Laws Tax Appellate
Tribunal
3.54 1998-99 High Court
Modvat Credit 15.15 1995-96 High Court
Service Tax 29.88 2004-08 Customs,
Excise &
Service
Tax Appellate
Tribunal
2 Customs Law Customs Duty 584.84 2000-01 High Court
3 Sales Tax
Laws Sales Tax 151.35 1976-2002 High Court
2.42 2006-07 &
2008-09 Commercial
Tax Tribunal
We have been further informed that there are no dues in respect of
wealth tax and cess which have not been
deposited on account of any dispute.
(x) The Company does not have accumulated losses at the end of the
financial year ended March 31, 2012. Further, the Company has incurred
cash losses during the financial year ended March 31, 2012 and had not
incurred cash losses during the immediately preceding financial year
ended March 31, 2011.
(xi) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks, financial institutions and debenture holders during the year.
(xii) As the Company has not granted any loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities, paragraph 4(xii) of the CARO is not applicable.
(xiii) As the Company is not dealing or trading in shares, securities,
debentures and other investments, paragraph 4(xiv) of the CARO is not
applicable.
(xiv) According to the information and explanations given to us, the
Company has not given any guarantees during the year for loans taken by
others from banks or financial institutions.
(xv) In our opinion and according to the information and explanations
given to us, the term loans taken during the year have been applied for
the purposes for which they were obtained.
(xvi) In our opinion and according to the information and explanations
given to us and on an overall examination of the balance sheet, we
report that funds raised on short term basis have not been used for
long term investments.
(xvii) As the Company has not made any preferential allotment during
the year, paragraph 4(xviii) of the CARO is not applicable.
(xviii) The Company has not issued any debentures during the year.
(xix) The Company has not raised money by way of public issue during
the year.
(xx) To the best of our knowledge and according to the information and
explanations given to us by the management, no fraud by the Company has
been noticed or reported during the year and with respect to fraud on
the Company during the year, there was a fraudulent withdrawal of Rs.
1.27 lacs from a bank account of the Company by a third party which is
being recovered from bank.
For A. F. Ferguson & Co.
Chartered Accountants
(Registration No. 112066W)
Jaideep Bhargava
Place : New Delhi Partner
Date : 30.5.2012 (Membership No. 090295)
Mar 31, 2011
1. We have audited the attached balance sheet of DCM Shriram
Industries Limited ("the Company") as at March 31, 2011, the Profit and
loss account and the cash flow statement of the Company for the year
ended on that date, both annexed thereto. These financial statements are
the responsibility of the Companys management. Our responsibility is
to express an opinion on these financial statements based on our audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and the disclosures in the financial statements. An audit also includes
assessing the accounting principles used and the signifcant estimates
made by the management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 (CARO)
issued by the Central Government of India in terms of section 227(4A)
of the Companies Act, 1956, we give in the Annexure a statement on the
matters specifed in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the annexure referred to in paragraph 3
above, we report that:
i) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
ii) in our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books;
iii) the balance sheet, the Profit and loss account and the cash flow
statement dealt with by this report are in agreement with the books of
account;
iv) in our opinion, the balance sheet, the Profit and loss account and
the cash flow statement dealt with by this report are in compliance with
the accounting standards referred to in section 211(3C) of the
Companies Act, 1956;
v) without qualifying our opinion, we draw attention to note 16 of
schedule 11 relating to accounting for cane purchase liability for
sugar season 2007-08 at Rs. 110 per quintal instead of State Advised
Price of Rs. 125 per quintal fxed by the Uttar Pradesh State
Government. Pending completion of legal proceedings in the matter, the
effect thereof on these accounts cannot be determined at this stage.
vi) various issues arisen/arising out of the reorganisation arrangement
will be settled and accounted for as and when the liabilities/Benefits
are fnally determined. The effect of these cannot be determined at this
stage (refer to note 2 (b) of Schedule 11).
The matter referred to in paragraph (vi) to the extent covered here
above was also subject matter of qualifcation in our audit report on
the financial statements for the year ended March 31, 2010.
Subject to the foregoing, in our opinion and to the best of our
information and according to the explanations given to us, the said
accounts give the information required by the Companies Act, 1956 in
the manner so required and give a true and fair view in conformity with
the accounting principles generally accepted in India:
a) in the case of the balance sheet, of the state of affairs of the
Company as at March 31, 2011;
b) in the case of the Profit and loss account, of the loss of the
Company for the year ended on that date; and
c) in the case of the cash flow statement, of the cash flows for the year
ended on that date.
5 On the basis of written representations received from the directors
as on March 31, 2011 and taken on record by the Board of Directors, we
report that none of the directors is disqualifed as on March 31, 2011
from being appointed as a director in terms of section 274(1 )(g) of
the Companies Act, 1956.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph 3 of our report of even date)
Having regard to the nature of the Companys business / activities /
result, clause (xiii) of CARO is not applicable.
(i) In respect of its fxed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fxed assets.
(b) As explained to us, the Company has a programme of physically
verifying all its fxed assets over a period of three years, which in
our opinion is reasonable having regard to the size of the Company and
the nature of its fxed assets. In accordance with this programme, some
of the fxed assets were physically verifed by the management during the
year. The discrepancies noticed on such verifcation between the
physical balances and the fxed assets records were not material and
have been properly dealt with in the books of account.
(c) The fxed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fxed assets of the Company and
such disposal has, in our opinion, not affected the going concern
status of the Company.
(ii) In respect of its inventory:
(a) As explained to us, the inventories were physically verifed during
the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verifcation of inventories
followed by the management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories. The discrepancies noticed on physical verifcation of
inventories as compared to book records were not material and have been
properly dealt with in the books of account.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loan, secured or unsecured to
companies, frms and other parties covered in the register maintained
under Section 301 of the Companies Act, 1956 (hereinafter referred to
as the Act). For this purpose, the Company has taken the view that the
transactions which are subjected to the provisions of section 299(6) of
the Act are not required to be entered in this register.
Notwithstanding the Companys views regarding the provisions of section
299(6) of the Act, in respect of the loan granted by the Company to a
promoted company as per the Scheme of Rehabilitation approved by Board
for Industrial and Financial Reconstruction (BIFR) in earlier years,
the maximum amount outstanding during the year and the year-end balance
was Rs. 541.94 lacs.
(b) In our opinion and according to the information and explanations
given to us and also in view of the rehabilitation scheme sanctioned by
the Board for Industrial and Financial Reconstruction
(BIFR) on May 24, 2007, in respect of the concerned promoted company,
the rate of interest and other terms and conditions of loan granted by
the Company, as referred to in para (iii)(a) above are not, prima
facie, prejudicial to the interest of the Company.
(c) As per the information and explanations given to us and also as per
Rehabilitation Scheme sanctioned by the BIFR, in respect of the
concerned promoted company, the receipts of principal amount and
interest has been as per stipulation.
(d) As per the information and explanations given to us and records of
the Company, there are no overdue amounts in respect of above loan, and
interest thereon.
(e) According to the information and explanations given to us, the
Company has during the year not taken any loans, secured or unsecured
from companies, frms and other parties covered in the register
maintained under section 301 of the Act. Accordingly, paragraphs (f)
and (g) of the Companies (Auditors Report) Order, 2003 (hereinafter
referred to as the CARO) are not applicable.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business with regard
to the purchase of inventories and fxed assets and the sale of goods
and services. During the course of our audit, we have not observed any
major weakness in such internal control system.
(v) According to the information and explanations given to us, during
the year, the particulars of contracts / arrangements referred to in
section 301 of the Act have been entered in the register required to be
maintained under that section. For this purpose, the Company has taken
the view that the transactions which are subjected to the provisions of
section 299(6) of the Act are not required to be entered in this
register. Notwithstanding the Companys views regarding the provisions
of section 299(6) of the Act, in respect of certain transactions,
exceeding the value of Rs. 5 lacs entered into with such party during
the year have been made at prices which are prima facie reasonable
having regard to prevailing market prices at the relevant time.
(vi) In our opinion and according to the information and explanations
given to us, the Company has complied with the directives issued by the
Reserve Bank of India and the provisions of section 58A and section
58AA of the Companies Act, 1956 or any other relevant provisions of the
Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules,
1975 with regard to the deposits accepted from public. According to
the information and explanations given to us, no order under the
aforesaid sections has been passed by the Company Law Board or National
Company Law Tribunal or Reserve Bank of India or any Court or any other
Tribunal on the Company.
(vii) In our opinion, the internal audit functions carried out during
the year by frms of Chartered Accountants appointed by the management
have been commensurate with the size of the Company and the nature of
its business.
(viii) We have broadly reviewed the books of account maintained by the
Company pursuant to the Rules made by the Central Government for the
maintenance of cost records under section 209(1 )(d) of the Companies
Act, 1956 and are of the opinion that, prima facie, the prescribed
accounts and records have been made and maintained. We have, however,
not made a detailed examination of the records with a view to determine
whether they are accurate or complete.
(ix) According to the information and explanations given to us and the
records of the Company examined by us in respect of statutory dues:
(a) The Company has been regular in depositing undisputed dues,
including investor education and protection fund, employees state
insurance, income-tax, wealth tax, service tax, customs duty, excise
duty, cess, entry tax, purchase tax and other material statutory dues
applicable to it and generally been regular in depositing dues in case
of tax deducted at source, sales tax and provident fund with the
appropriate authorities. There were no undisputed statutory dues
outstanding for a period of more than six months from the date they
become payable as at the year end.
(b) Details of dues of excise duty, customs duty, income-tax and sales
tax matters which have not been deposited as on March 31, 2011 by the
Company on account of disputes are given below:
S. Name of the Nature of Amount Amount Period to
which Forum where
dispute is
No. Statute dues involved paid the amount pending
(Rs.
lacs) under relates
(various
protest years
covering
(Rs.
lacs) the period)
1 Central Excise Duty 1.84 - 1981-82 Assistant
Commissioner
Excise Laws 21.90 - June Ã05 to Joint
Commissioner
December Ã07
20.00 - March Ã86 to High Court
December Ã89
Modvat
Credit 31.79 - 1995-96, Commissioner
(Appeals)
November
Ã04 to
December Ã08
Service Tax 216.85 - 2001-02 to Customs,
Excise &
Service
2005-06 Tax Appellate
Tribunal
1.44 - JanuaryÃ08 to Deputy
Commissioner
October Ã08
4.28 - December09 to Assistant
Commissioner,
December10 Central
Excise &
Customs
2 Customs Law Customs Duty 143.16 - 2006-07 Commissioner
(Appeals),
Customs Duty
3 Income Tax Income Tax 193.40 193.40 2005-06 Commissioner
of Income
Act, 1961 Tax (Appeals)
4 Sales Tax Sales Tax 1.68 0.43 2008-10 Joint
Commissioner
Laws (Appeals),
Commercial Tax
0.44 0.44 2006-07 & Deputy
Commissioner,
2009-10 Commercial Tax
1.79 - 2009-10 Additional
Commissioner
Purchase Tax 10.76 9.59 2001-02 Tax Board
* amount as per demand orders including interest and penalty wherever
indicated in the demand.
Further, in respect of following matters, the concerned authority is in
appeal against favourable orders received by the Company:
S. Name of the Nature of Amount Period to
which the Forum where department
No. Statute dues involved amount
relates has preferred appeal
(Rs. lacs) (various
years
covering
the period)
1 Central Excise
duty 27.25 2003-08 Customs, Excise & Service
Excise Laws Tax Appellate Tribunal
3.54 1998-99 High Court
1.00 1994 Commissioner (Appeals)
Modvat
Credit 15.15 1995-96 High Court
Service Tax 4.25 2004-08 Customs, Excise & Service
Tax Appellate Tribunal
2 Customs Law Customs
Duty 560.28 2000-01 High Court
3 Sales Tax Laws Sales Tax 151.35 1976-2002 High Court
65.00 2000-01 Supreme Court of India
2.42 2006-07 &
2008-09 Commercial Tax Tribunal
We have been further informed that there are no dues in respect of
wealth tax and cess which have not been deposited on account of any
dispute.
(x) The Company does not have accumulated losses at the end of the
financial year ended March 31, 2011. Further, the company has not
incurred any cash losses during the financial year ended March 31, 2011
and in the immediately preceding financial year ended March 31, 2010.
(xi) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks, financial institutions and debenture holders during the year.
(xii) As the Company has not granted any loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities, paragraph 4(xii) of the CARO is not applicable.
(xiii) As the Company is not dealing or trading in shares, securities,
debentures and other investments, paragraph 4(xiv) of the CARO is not
applicable.
(xiv) According to the information and explanations given to us, the
Company has not given any guarantees during the year for loans taken by
others from banks or financial institutions.
(xv) In our opinion and according to the information and explanations
given to us, the term loans taken during the year have been applied for
the purposes for which they were obtained.
(xvi) In our opinion and according to the information and explanations
given to us and on an overall examination of the balance sheet, we
report that funds raised on short term basis have not been used for
long term investments.
(xvii) As the Company has not made any preferential allotment during
the year, paragraph 4(xviii) of the CARO is not applicable.
(xviii) The Company has not issued any debentures during the year.
(xix) The Company has not raised money by way of public issue during
the year.
(xx) To the best of our knowledge and according to the information and
explanations given to us by the management, no fraud by the Company has
been noticed or reported during the year and with respect to fraud on
the Company during the year, there was a fraudulent withdrawl of Rs. 35
lacs from a bank account of the Company by a third party which has
subsequently been credited to the Companys account by the concerned
bank before the year end.
For A. F. Ferguson & Co.
Chartered Accountants
(Registration No. 112066W)
Manjula Banerji
Place : New Delhi Partner
Date : 30.5.2011 (Membership No. 086423)
Mar 31, 2010
1. We have audited the attached balance sheet of DCM Shriram
Industries Limited ("the Company") as at March 31, 2010, the profit and
loss account and the cash flow statement of the Cojnpany for the year
ended on that date, both annexed thereto. These financial statements
are the responsibility of the Companys management. Our responsibility
is to express an opinion on these financial statements based on our
audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and the disclosures in the financial statements. An audit also includes
assessing the accounting principles used and the significant estimates
made by the management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 (CARO)
issued by the Central Government of India in terms of section 227(4A)
of the Companies Act, 1956, we give in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the annexure referred to in paragraph 3
above, we report that:
i) we have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
ii) in our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books;
iii) the balance sheet, the profit and loss account and the cash flow
statement dealt with by this report are in agreement with the books of
account;
iv) in our opinion, the balance sheet, the profit and loss account and
the cash flow statement dealt with by this report are in compliance
with the accounting standards referred to in section 211(3C) of the
Companies Act, 1956;
v) without qualifying our opinion, we draw attention to note 16 of
schedule 11 relating to accounting for cane purchase liability for
sugar season 2007-08 at Rs 110 per quintal instead of State Advised
Price of Rs. 125 per quintal fixed by the Uttar Pradesh State
Government. Pending completion of legal proceedings in the matter, the
effect thereof on these accounts cannot be determined at this stage.
vi) various issues arisen/arising out of the reorganisation arrangement
will be settled and accounted for as and when the liabilities/benefits
are finally determined. The effect of these cannot be determined at
this stage (refer to note 2 (b) of Schedule 11).
The matter referred to in paragraph (vi) to the extent covered here
above was also subject matter of qualification in our audit report on
the financial statements for the year ended March 31, 2009.
Subject to the foregoing, in our opinion and to the best of our
information and according to the explanations given to us, the said
accounts give the information required by the Companies Act, 1956 in
the manner so required and give a true and fair view in conformity with
the accounting principles generally accepted in India:
a) in the case of the balance sheet, of the state of affairs of the
Company as at March 31, 2010;
b) in the case of the profit and loss account, of the profit of the
Company for the year ended on that date; and
c) in the case of the cash flow statement, of the cash flows for the
year ended on that date.
5. On the basis of written representations received from the directors
as on March 31, 2010 and taken on record by the Board of Directors, we
report that none of the directors is disqualified as on March 31, 2010
from being appointed as a director in terms of section 274(1 )(g) of
the Companies Act, 1956.
Having regard to the nature of the Companys business / activities /
result, clauses (x) and (xiii) of CARO are not applicable.
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets.
(b) As explained to us, the Company has a programme of physically
verifying all its fixed assets over a period of three years, which in
our opinion is reasonable having regard to the size of the Company and
the nature of its fixed assets. In accordance with this programme, some
of the fixed assets were physically verified by the management during
the year. The discrepancies noticed on such verification between the
physical balances and the fixed assets records were not material and
have been properly dealt with in the books of account.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
(ii) In respect of its inventory:
(a) As explained to us, the inventories were physically verified during
the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories. The discrepancies noticed on physical verification of
inventories as compared to book records were not material and have been
properly dealt with in the books of account.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loan, secured or unsecured to
companies, firms and other parties covered in the register maintained
under Section 301 of the Companies Act, 1956 (hereinafter referred to
as the Act). For this purpose, the Company has taken the view that the
transactions which are subjected to the provisions of section 299(6) of
the Act are not required to be entered in this register.
Notwithstanding the Companys views regarding the provisions of section
299(6) of the Act, in respect of the loan granted by the Company to a
promoted company as per the Scheme of Rehabilitation approved by the
Board for Industrial and Financial Reconstruction (BIFR), in earlier
years, the maximum amount outstanding during the year and the year-end
balance was Rs. 541.94 lacs.
(b) In our opinion and according to the information and explanations
given to us and also in view of the rehabilitation scheme sanctioned by
the Board for Industrial and Financial Reconstruction (BIFR) on May 24,
2007, in respect of the concerned promoted company, the rate of
interest and other terms and conditions of loan granted by the Company,
as referred to in para-(iii) (a) above are not, prima facie,
prejudicial to the interest of the Company.
(c) As per the information and explanations given to us and also as per
Rehabilitation Scheme sanctioned by the BIFR, in respect of the
concerned promoted company, the receipts of principal amount and
interest has been as per stipulation.
(d) As per the information and explanations given to us and records of
the Company, there are no overdue amounts in respect of above loan, and
interest thereon.
(e) According to the information and explanations given to us, the
Company has during the year not taken any loans, secured or unsecured
from companies, firms and other parties covered in the register
maintained under section 301 of the Act. Accordingly, paragraphs (f)
and (g) of the Companies (Auditors Report) Order, 2003 (hereinafter
referred to as the Order) are not applicable.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business with regard
to the purchase of inventories and fixed assets and the sale of goods
and services. During the course of our audit, we have not observed any
major weakness in such internal control system.
(v) According to the information and explanations given to us, during
the year, the particulars of contracts/ arrangements referred to in
section 301 of the Act have been entered in the register required to be
maintained under that section. For this purpose, the Company has taken
the view that the transactions which are subjected to the provisions of
section 299(6) of the Act are not required to be entered in this
register. Notwithstanding the Companys views regarding the provisions
of section 299(6) of the Act, in respect of certain transactions,
exceeding the value of Rs. 5 lacs entered into with such party during
the year have been made at prices which are prima facie reasonable
having regard to prevailing market prices at the relevant time.
(vi) In our opinion and according to the information and explanations
given to us, the Company has,complied with the directives issued by the
Reserve Bank of India and the provisions of section 58A and section
58AA of the Companies Act, 1956 or any other relevant provisions of the
Companies Act, 1956 and the Companies (Acceptance of Deposits) Rules,
1975 with regard to the deposits accepted from public. According to
the information and explanations given to us, no order under the
aforesaid sections has been passed by the Company Law Board or National
Company Law Tribunal or Reserve Bank of India or any Court or any other
Tribunal on the Company.
(vii) In our opinion, the internal audit functions carried out during
the year by firms of Chartered Accountants appointed by the management
have been commensurate with the size of the Company and the nature of
its business.
(viii) We have broadly reviewed the books of account maintained by the
Company pursuant to the Rules made by the Central Government for the
maintenance of cost records under section 209(1 )(d) of the Companies
Act, 1956 and are of the opinion that, prima facie, the prescribed
accounts and records have been made and maintained. We have, however,
not made a detailed examination of the records with a view to determine
whether they are accurate or complete.
(ix) According to the information and explanations given to us and the
records of the Company examined by us in respect of statutory dues:
(a) The Company has been regular in depositing undisputed dues,
including provident fund, investor education and protection fund,
employees state insurance, income-tax, sales tax, wealth tax, service
tax, customs duty, excise duty, cess, entry tax, purchase tax and other
material statutory dues applicable to it and generally been regular in
depositing dues in case of tax deducted at source with the appropriate
authorities. There were no undisputed statutory dues outstanding for a
period of more than six months from the date they become payable as at
the year end.
(b) Details of dues of excise duty, customs duty, income-tax and sales
tax matters which have not been deposited as on March 31, 2010 by the
Company on account of disputes are given below:
S. Name of Nature of Amount Amount Period to which the
No. the Statute dues involved* paid under amount relates
(Rs.lac) protest (various year
(Rs.lacs) covering the period)
1 Central Excise
Laws Excise Duty 1.84 - 1981-82
21.90 - June 05 to December 07
20.00 - March 86 to December 89
Modvat Credit 70.33 - 1995-96, November04 to
December 08
Service Tax 216.85 - 2001-02 to 2005-06
1.44 - January08 to October08
2 Customs Law Customs Duty 143.16 - 2006-07
3 Income Tax Act,
1961 Income Tax 209.96 105.86 2005-07
4 Sales Tax Laws Sales Tax 11.17 6.44 2005-06,2008-10
1.68 0.43 2008-10
9.61 4.13 2006-07,2009-10
Purchase Tax 10.76 9.59 2001-02
S.No. Name of the Forum where dispute
Statute is pending
1 Central Excise Laws Assistant Commissioner
Joint Commissioner
High Court
Commissioner (Appeals)
Customs, Excise & Service
Tax Appellate Tribunal
Deputy Commissioner
2 Customs Law Commissioner (Appeals),
Customs Duty
3 Income Tax Act,1961 Commissioner of Income
Tax (Appeals)
4 Sales Tax Laws Commercial Tax Tribunal
Joint Commissioner
(Appeals), Commercial Tax
Deputy Commissioner,
Tax Board
amount as per demand orders including interest and penalty wherever
indicated in the demand.
S.No. Name of the Forum where dispute
Statute is pending
1 Central Excise Laws Assistant Commissioner
Joint Commissioner
High Court
Commissioner (Appeals)
Customs, Excise & Service
Tax Appellate Tribunal
Deputy Commissioner
2 Customs Law Commissioner (Appeals),
Customs Duty
3 Income Tax Act,1961 Commissioner of Income
Further, in respect of following matters, the concerned authority is in
appeal against favourable orders received by the Company:
S. Name of Nature of Amount Period to which the
No. the Statute dues involved amount relates
(Rs. lacs) (various years
covering the period)
1 Central Excise Laws Excise Duty 26.71 2003-08
3.54 1998-99
12.56 1972-73,1977-78
Modvat Credit 15.15 1995-96
Service Tax 4.25 2004-08
2 Customs Law Customs Duty 327.10 2000-01
3 Sales Tax Laws Sales Tax 123.13 1976-98
65.00 2000-01
0.32 2006-07
S.No. Name of the Forum where dispute
Statute is pending
1 Central Excise Laws Assistant Commissioner
Joint Commissioner
High Court
Commissioner (Appeals)
Customs, Excise & Service
Tax Appellate Tribunal
Deputy Commissioner
2 Customs Law Commissioner (Appeals),
Customs Duty
3 Income Tax Act,1961 Commissioner of Income
We have been further informed that there are no dues in respect of
wealth tax and cess which have not been deposited on account of any
dispute.
(xi) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks, financial institutions and debentureholders during the year.
(xii) As the Company has not granted any loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities, paragraph 4(xii) of the Order is not applicable.
(xiv) As the Company is not dealing or trading in shares, securities,
debentures and other investments, paragraph 4(xiv) of the Order is not
applicable.
(xv) In our opinion and according to the information and explanations
given to us, the terms and conditions of the guarantees given by the
Company for loans taken by others from banks or financial institutions
are not prima facie prejudicial to the interest of the Company.
(xvi) In our opinion and according to the information and explanations
given to us, the term loans taken during the year have been applied for
the purposes for which they were obtained.
(xvii) In our opinion and according to the information and explanations
given to us and on an overall examination of the balance sheet, we
report that funds raised on short term basis have not been used for
long term investments.
(xviii) According to the information and explanations given to us,
during the year, the Company has not made any preferential allotment of
shares to parties and companies / firms covered in the Register
maintained under Section 301 of the Companies Act, 1956.
(xix) The Company has not issued any debentures during the year.
(xx) The Company has not raised money by way of public issue during the
year.
(xxi) To the best of our knowledge and according to the information and
explanations given to us by the management, no fraud by the Company and
no fraud on the Company has been noticed or reported during the year.
S. Name of Nature of Amount
No. the Statute dues involved
(Rs. lacs)
1 Central Excise Laws Excise Duty 26.71
3.54
12.56
Modvat Credit 15.15
Service Tax 4.25
2 Customs Law Customs Duty 327.10
3 Sales Tax Laws Sales Tax 123.13
65.00
0.32
S.No Name of Period to which the Forum where
Statute amount relates department has
(various years preferred appeal
covering the period)
1 Central Excise 2003-08 Customs, Excise &
Laws Service Tax Appellate
Tribunal
1998-99 High Court
1972-73, 1977-78 Collector, Central Excise
1995-96 High Court
2004-08 Customs, Excise &
Service Tax Appellate
Tribunal
2. Customs Laws 2000-01 High Court
3. Sales Tax Laws 1976-98 High Court
2000-01 Supreme Court of India
2006-07 Commercial Tax Tribunal
For A. F. Ferguson & Co.
Chartered Accountants
(Registration No. 112066W)
Manjula Banerji
Place : New Delhi Partner
Date : 29.5.2010 (Membership No. 086423)