Mar 31, 2018
1. Report on the standalone Ind AS Financial Statements
We have audited the accompanying standalone Ind AS financial statements of Sanwaria Consumer Limited ("the Company") which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit and Loss (including other comprehensive income), the Cash Flow Statement and statement of changes in equity for the year then ended, and a summary of significant accounting policies and other explanatory information (herein after referred to as "standalone Ind AS financial statements")
2. Management''s Responsibility for the 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 Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under Section 133 of the Act, read with relevant rules issued there under.
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.
3. Auditor''s 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 there under.
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 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 auditor''s 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 Company''s preparation of the standalone Ind AS financial statements that give a true and fair view in order to design audit procedures 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 Company''s Directors, as well as evaluating the overall presentation of the standalone Ind AS 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 Ind AS financial statements.
4. Basis of Qualified Opinion :
As explained in note no 37, the Company has provided the liability towards Employee''s Gratuity on estimated basis as on 31st March 2018 instead of based on valuation determined by the Actuarial as required under IND-AS 19- "Employee Benefits". In the absence of Actuarial Report, the impact of the same is not ascertainable on the Statement of Profit and Loss for the year and Balance Sheet as on 31st March 2018.
5. Qualified Opinion :
In our opinion and to the best of our information and according to the explanations given to us, except for the effect of matter described in the "Basis of Qualified Opinion" paragraph above, 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 including the standalone Ind AS, of the financial position of Company as at March 31, 2018, and its financial performance including other comprehensive income, its cash flows and changes in equity for the year ended on that date.
6. Report on Other Legal and Regulatory Requirements
(a) As required by the Companies (Auditor''s Report) Order, 2016 ("the Order"), issued by the Central Government of India in terms of of section 143(11) of the Act, we give in "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
(b) As required by section 143 (3) of the Act, we report that:
i. We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose 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, Statement of Profit and Loss, the statement of Cash Flow and statement of changes in equity dealt with by this report are in agreement with the books of account.
iv. In our opinion, the aforesaid standalone Ind AS financial statement comply with the Accounting Standards specified under section 133 of the Act, read with relevant rules issued there under except for the effect of matter described in the "Basis of Qualified Opinion" paragraph above.
v. On the basis of written representations received from the directors as on March 31, 2018 and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2018 from being appointed as a director in terms of Section 164 (2) of the Act.
vi. 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 B".
vii. 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 knowledge and belief and according to the information and explanations given to us:
a) The company has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 31 to the financial statements.
b) The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.
c) There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company during the year ended March 31, 2018.
7. Other Matter
The comparative financial information of the company for the year ended March 31, 2017 and the transition date opening balance sheet as at April 01, 2016 included in these Ind AS financial statements, are based on the previously issued statutory financial statements prepared in accordance with the Companies ( Accounting Standards) Rules, 2006, on which we have express an unmodified opinion on those financial statements, as adjusted for the difference in the accounting principal adopted by the company on transition to the Ind AS, which have been audited by us.
(The Annexure referred to in Independent Auditor''s Report to the members of the Company on the standalone Ind AS financial statements for the year ended 31 March 2018, we report that:
(i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets.
(b) As explained to us, all the fixed assets are physically verified by the management a Phased periodical manner, which in our opinion, is reasonable having regards to size of the Company and nature of its assets. No material discrepancies were noticed on such verification.
(c) As per information and explanation provided to us, the title deeds of immovable properties recorded as fixed assets in the books of account of the company are held in the name of the company.
(ii) (a) According to the information and explanations provided to us, the inventory has been physically verified by the management during the year. In our opinion, the frequency of verification is reasonable.
(b) In our opinion and according to the information and explanations given to us, the Company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material and have been properly dealt with in the books of accounts.
(iii) The Company has granted loans, secured or unsecured to companies, firms or other parties covered in the Register maintained under Section 189 of the Companies Act, 2013. As per information & Explanation provided to us, terms & conditions for loan given are not prejudicial to the interest of company. The Interest & Principal payment are regular as per the terms & condition of the loan given.
(iv) In our opinion and according to the information and explanation given to us, the Company has complied with the provisions Section 185 and 186 of the Companies Act 2013, in respect of grants of loans, making investment and providing guarantees and securities as applicable.
(v) According to the information and explanations provided to us, the Company has not accepted any deposits from the public. Therefore, the provisions of clause (v) of paragraph 3 of the order is not applicable to the company.
(vi) The maintenance of cost record has been prescribed by the Central Government under section 148(1) of the companies Act, 2013 in respect of specified products of the company. For such products we have broadly reviewed the cost the records maintained by the company pursuant to the Companies (Cost Records and Audit) Rules, 2014 as amended 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 with a view to determine whether they are accurate or complete.
(vii) (a) According to information and explanations given to us and on the basis of our examination of the books of account, and records, the Company has been generally regular in depositing undisputed statutory dues of including, Sales tax, Service Tax, Duty of Customs, Duty of Excise, Value added Tax, Goods and Service Tax, Cess and any other statutory dues with the appropriate authorities though there has been slight delay in few cases.
(b) However, according to the information and explanations given to us, following un-disputed liabilities of Income Tax and disputed liability of various statutory dues as at 31st March, 2018, are not deposited, the details are as follows:
Name of the statute |
Amount ( In Lacs ) |
Period to which the amount relates |
Type Disput-ed/ Undisputed |
Forum where dispute is pending |
Status |
Income Tax Act |
1507.46 |
2017-18 |
Advance Tax |
||
Income Tax Act |
1416.53 |
2014-15 to 2016-17 |
Income Tax |
||
Income Tax Act |
2932.84 |
Various Years |
Disputed |
CIT (A) |
Demand stayed by department |
Central Sale Tax Act |
52.60 |
Various Years |
Disputed |
Commercial Tax Tribunal |
Demand stayed by high court, Demand pending for grant of exemption and their effect |
Madhya Pradesh Entry Tax Act |
909.59 |
Various Years |
Disputed |
Commercial Tax Tribunal, Commissioner Appeal and Appeal with High Court |
Demand stayed by high court, Demand pending for grant of exemption and their effect |
Madhya Pradesh VAT Act |
2239.29 |
Various Years |
Disputed |
Commercial Tax Tribunal, Commissioner Appeal and Appeal with High Court |
Demand stayed by high court, Demand pending for grant of exemption and their effect |
(viii) Based on our audit procedure and on the basis of information and explanations given to us by the management, we are of the opinion that the Company has not made any delayed in repayment of dues and interest to bank or financial institution during the year.
(ix) The company has not raised money during the year by way of initial public offer or further public offer (including debt instruments). Based on our audit procedures and as per the information and explanations given to us by the management, the short term loans taken during the year by the Company have been applied for the purpose for which they were obtained
(x) As per the information and explanations given to us by the management, we report that we have neither come across any instances of fraud by the company or on the company by its officers or employees, noticed or reported during the year nor have we been informed of any such case by the management.
(xi) Based on our audit procedures and as per the information and explanations given to us by the management, the Company has paid/ provided managerial remuneration in accordance with the requisite approval mandated by the provision of 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 paragraph 3 of the order is not applicable.
(xiii) In our opinion and according to the information and explanation given to us the Company''s transitions with its related party are in compliance with section 177 and 188 of the Companies Act, 2013 where applicable and details of related parties transaction have been disclosed in the standalone Ind AS 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 share or fully or partly convertible debentures and hence reporting under clause (xiv) of paragraph 3 of the order is not applicable to the Company.
(xv) In our opinion and according to the information and explanation given to us, during the year the company has not entered into any non-cash transactions during with the directors or persons connected with them and hence reporting under clause (xv) of paragraph 3 of the Order is not applicable to the company.
(xvi) In our opinion and according to Information and explanations provided to us, the company is not required to be registered under section 45 IA of the Reserve Bank of India Act, 1934.
1. Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Act")
We have audited the internal financial controls over financial reporting of Sanwaria Consumer Limited ("the Company") as of March 31, 2018 in conjunction with our audit of the standalone Ind AS financial statements of the Company for the year ended on that date.
2. Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the 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 India. 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 company''s 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.
3. Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s 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 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 Institute of Chartered Accountants of India. 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 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 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 auditor''s 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 Company''s internal financial controls system over financial reporting.
4. Meaning of Internal Financial Controls over Financial Reporting
A company''s 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 company''s 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 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 company''s assets that could have a material effect on the financial statements.
5. 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.
6. Opinion
In our opinion, 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, 2018, based on the 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 India.
For Khandelwal Kakani & Co.
Chartered Accountants
ICAI Firm Registration No. 001311C
CA. Santosh Deshmukh
Partner
Membership No. 071011 30th May 2018
Mar 31, 2017
INDEPENDENT AUDITORSâ REPORT
To,
The Members Sanwaria Agro Oils Limited
1. We have audited the accompanying standalone financial statements of Sanwaria Agro Oils Limited (''the Company'') which comprise the Balance Sheet as at 31st March, 2017, the Statement of Profit and Loss, the Cash Flow Statement for the period then ended, and the Notes to Financial Statements comprising of a summary of significant accounting policies and other explanatory information.
2. MANAGEMENT''S RESPONSIBILITY FOR THE 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 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.
3. AUDITORS'' RESPONSIBILITY
Our responsibility is to express an opinion on these 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 there under.
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 disclosures in the financial statements. The procedures selected depend on the auditors'' judgment, including the assessment of the risks of the material misstatement of the financial statements, whether due to error or fraud. 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. An audit also includes evaluating the appropriateness of accounting policies used and 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 financial statements.
4. 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, of the state of affairs of the Company as at 31 March 2017, and its profit and its cash flows for the period ended on that date.
5. REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
(a) As required by the Companies (Auditors'' Report) Order, 2015 (''the Order'') issued by the Central Government of India in terms of sub section 11 of section 143 of the Act, we give in the "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
(b) As required under provisions of section 143(3) of the Act, 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 purpose of our audit;
ii. In our opinion, proper books of accounts as required by law have been kept by the Company so far as appears from our examination of those books;
iii. The Balance Sheet, Statement of Profit and Loss and Cash Flow Statement dealt with by this Report are in agreement with the books of accounts;
iv. In our opinion, the Balance Sheet, Statement of Profit and Loss and Cash Flow Statement comply with the Accounting Standards referred to in section 133 of the Act, as applicable.
v. On the basis of written representations received from the directors, as on 31st March, 2016 and taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2017, from being appointed as a director in terms of Section 164 (2) of the Act.
vi. With respect to the adequacy of the Internal Financial Controls over the financial reporting of the Company and the operative effectiveness of such controls, refer to our separate report in "Annexure B".
Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Company''s internal financial control over financial reporting.
vii. With respect to the other matters to be included in the Auditors'' Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our knowledge and belief and according to the information and explanations given to us:
- The Company has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 23-B-1 to the financial statements.
- The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.
- There has been delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company during the year ended March 31, 2016. Refer para VII-C of Annexure A.
- The Company has provided requisite disclosures in its financial statements as to holdings as well as dealings in Specified Bank Notes during the period from November 08, 2016 to December 30, 2016 and these are in accordance with the books of accounts maintained by the Company.
(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) The fixed assets are physically verified during the year by the management in accordance with a regular programme of verification, which in our opinion, provides for physical verification of all the fixed assets at reasonable intervals. According to the information and explanation given to us, no material discrepancies were noticed on such verification.
(c) The title deeds of immovable properties recorded as fixed assets in the books of account of the Company are held in the name of the Company.
(ii) (a) According to the information and explanations provided to us, the inventory has been physically verified by the management during the year. In our opinion, the frequency of verification is reasonable.
(b) In our opinion and according to the information and explanations given to us, the Company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material and have been properly dealt with in the books of accounts.
(iii) The Company has granted loans, secured or unsecured to Companies, firms or other parties covered in the Register maintained under Section 189 of the Companies Act, 2013 (''''The Act''''). As per information and explanation provided to us, terms and conditions for loan given are not prejudicial to the interest of the Company. The Interest and Principal payment are regular as per the terms and conditions of the loan given.
(iv) In our opinion and according to the information and explanation given to us, the Company has complied with the provisions of Section 185 and Section 186 of the Companies Act, 2013 in respect of loans, making investments and providing guarantees and securities as applicable.
(v) As per the information and explanations provided to us, the Company has not accepted any deposits from the public
(vi) The maintenance of cost records has been prescribed by the Central Government under section 148 (1) of the Companies Act, 2013 in respect of specified products of the Company. For such products we have broadly review the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit Rules), 2014 as amended 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 with a view to determine whether they are accurate or complete.
(vii) (a) According to the information and explanations given to us, and on the basis of our examination of the books of accounts, and records, the Company has been generally regular in depositing undisputed statutory dues including Income Tax, Sales Tax, Service Tax, Duty of Customs, Duty of Excise, Value Added tax, Cess and any other material statutory dues as applicable with the appropriate authorities, though there has been a slight delay in a few cases.
According to the information and explanations given to us, following disputed and un-disputed liability towards income tax & sales tax as at March 31, 2017 are as follows:
Name of statute |
/Amount (In Lakhs) |
Period to which amount related |
Disputed/ undisputed |
Forum where pending |
Status |
Income Tax Act, 1961 |
25.49 |
2003-2004 |
Disputed |
Income Tax Commissioner Appeal |
Demand stayed By Department. |
13.31 |
2006-2007 |
||||
31.98 |
2007-2008 |
||||
843.10 |
2010-2011 |
||||
327.69 |
2011-2012 |
||||
Central Sales Tax Act, 1956 |
0.72 |
2008-2009 |
Disputed |
Commercial Tax Tribunal |
Demand stayed By High Court, demand pending for grant of exemption & their effect |
1.77 |
2011-2012 |
||||
24.89 |
2014-15 |
||||
Entry Tax Act, 1976 |
15.49 |
2014-2015 |
Disputed |
Commissioner Appeal |
Demand stayed By High Court, demand pending for grant of exemption & their effect |
10.79 |
2006-2007 |
Appeal with High Court |
|||
9.25 |
2005-06 |
Commercial Tax Tribunal |
|||
19.27 |
2007-2008 |
||||
11.67 |
2008-2009 |
||||
292.17 |
2009-2010 |
||||
281.02 |
2010-2011 |
||||
96.08 |
2011-12 |
||||
8.47 |
2014-15 |
||||
M.P. VAT Act, 2002 |
0.51 |
2006-2007 |
Disputed |
Commercial Tax Tribunal |
Demand stayed By High Court, demand pending for grant of exemption & their effect |
1.27 |
2006-2007 |
Appeal with High Court |
|||
0.44 |
2007-2008 |
Commercial Tax Tribunal |
|||
102.55 |
2008-2009 |
||||
210.27 |
2011-2012 |
||||
58.66 |
2014-2015 |
(c)According to the information and explanations given to us, the amounts which were required to be transferred to Investor Education and Protection Fund in accordance with the relevant provisions of the Companies Act, 1956(1 of 1956) and rules made there under has been transferred to such fund within time.
Name of Statute |
Nature of dues |
Amount |
Period to which to amount related |
Investor Education & Protection Fund. |
Unclaimed Dividend |
9,78,054 |
2003-04, 2004-05, 2005-06 & 2006-07 |
(viii) Based on our audit procedure and on the basis of information and explanations given to us by the management, generally the Company is regular In the repayment of loans or borrowings to financial institutions, bank or Government.
(ix) The Company has not raised money during the year by way of initial public offer or further public offer (including debt instruments). Based on our audit procedures, and as per the information and explanations given to us by the management, the term loans taken by the Company have been applied for the purpose for which they were obtained.
(x) Based upon the audit procedures performed for the purpose of reporting the true and fair view of the financial statements and as per the information and explanations given to us by the management, we report that we have neither come across any instances of fraud by the company or on the company by its officers or employees, noticed or reported during the year nor have we been informed of any such case by the management.
(xi) Based on our audit procedures and as per the information and explanations given to us by the management, no managerial remuneration has been paid or provided in the book of accounts.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the order is not applicable.
(xiii) In our opinion and according to the information and explanation given to us the company is in compliance with section 177 and 188 of the Companies Act, 2013 where applicable for all transaction with the related parties and the details of related party transaction have been disclosed in the Financial Statements as required by the applicable accounting standards.
(xiv) During the year the company has made any preferential allotment to directors, relatives & Associate entities of Rs. 2,00,00,000 (two crore Equity Shares) of face value of Rs. 1.00 each at share premium of Rs. 24.00.On the basis of information and explanation provided to us the Company has complied with the requirements of section 42 & 62 of the Company''s Act, 2013 to the extent applicable.
(xv) In our opinion and according to the information and explanation given to us, during the year the company has not entered into any non-cash transactions during with the directors 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.
1. Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 ("the Act")
We have audited the internal financial controls over financial reporting of Sanwaria Agro Oils Limited ("the Company") as of March 31, 2017 in conjunction with our audit of the financial statements of the Company for the year ended on that date.
2. Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the 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 India. 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 company''s 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.
3. Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s 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 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 Institute of Chartered Accountants of India. 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 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 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 auditor''s 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 Company''s internal financial controls system over financial reporting.
4. Meaning of Internal Financial Controls over Financial Reporting
A company''s 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 company''s 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 company''s assets that could have a material effect on the financial statements.
5. 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.
6. Opinion
In our opinion, 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 the 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 India.
For Sunil Saraf & Associates
Chartered Accountants
ICAI Firm Registration No. 015021C
Sd/-
Kapil Binakiya
Partner
Membership No. 410051
30th May, 2017
Bhopal
Mar 31, 2016
To,
The Members
Sanwaria Agro Oils Limited
Bhopal.
1. We have audited the accompanying standalone financial statements of Sanwaria Agro Oils Limited (''the Company'') which comprise the Balance Sheet as at 31st March, 2016, the Statement of Profit and Loss, the Cash Flow Statement for the period then ended, and the Notes to Financial Statements comprising of a summary of significant accounting policies and other explanatory information.
2. MANAGEMENT''S RESPONSIBILITY FOR THE 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 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.
3. AUDITORS'' RESPONSIBILITY
Our responsibility is to express an opinion on these 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 there under.
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 disclosures in the financial statements. The procedures selected depend on the auditors'' judgment, including the assessment of the risks of the material misstatement of the financial statements, whether due to error or fraud. 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.
An audit also includes evaluating the appropriateness of accounting policies used and 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 financial statements.
4. 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, of the state of affairs of the Company as at 31 March 2016, and its profit and its cash flows for the period ended on that date.
5. REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
(a) As required by the Companies (Auditors'' Report) Order, 2015 (''the Order'') issued by the Central Government of India in terms of sub section 11 of section 143 of the Act, we give in the "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
As required under provisions of section 143(3) of the Act, 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 purpose of our audit;
ii. In our opinion, proper books of accounts as required by law have been kept by the Company so far as appears from our examination of those books;
iii. The Balance Sheet, Statement of Profit and Loss and Cash Flow Statement dealt with by this Report are in agreement with the books of accounts;
iv. In our opinion, the Balance Sheet, Statement of Profit and Loss and Cash Flow Statement comply with the Accounting Standards referred to in section 133 of the Act, as applicable.
v. On the basis of written representations received from the directors, as on 31st March, 2016 and taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2016, from being appointed as a director in terms of Section 164 (2) of the Act.
vi. With respect to the adequacy of the Internal Financial Controls over the financial reporting of the Company and the operative effectiveness of such controls, refer to our separate report in "Annexure B". Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Company''s internal financial control over financial reporting.
vii. With respect to the other matters to be included in the Auditors'' Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our knowledge and belief and according to the information and explanations given to us:
- The Company has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 22-B-1 to the financial statements.
- The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.
- There has been delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company during the year ended March 31, 2016. Refer para VII-C of Annexure A.
(As referred to in paragraph 5(a) of our "Report on Other Legal and Regulatory Requirements" section of our report of even date)
(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) The fixed assets are physically verified during the year by the management in accordance with a regular programme of verification, which in our opinion, provides for physical verification of all the fixed assets at reasonable intervals. According to the information and explanation given to us, no material discrepancies were noticed on such verification.
(c) The title deeds of immovable properties recorded as fixed assets in the books of account of the Company are held in the name of the Company.
(ii) (a) According to the information and explanations provided to us, the inventory has been physically verified by the management during the year. In our opinion, the frequency of verification is reasonable.
(b) In our opinion and according to the information and explanations given to us, the Company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material and have been properly dealt with in the books of accounts.
(iii) The Company has granted loans, secured or unsecured to Companies, firms or other parties covered in the Register maintained under Section 189 of the Companies Act, 2013 (''''The Act''''). As per information and explanation provided to us, terms and conditions for loan given are not prejudicial to the interest of the Company. The Interest and Principal payment are regular as per the terms and conditions of the loan given.
(iv) In our opinion and according to the information and explanation given to us, the Company has complied with the provisions of Section 185 and Section 186 of the Companies Act, 2013 in respect of loans, making investments and providing guarantees and securities as applicable.
(v) As per the information and explanations provided to us, the Company has not accepted any deposits from the public.
(vi) The maintenance of cost records has been prescribed by the Central Government under section 148 (1) of the Companies Act, 2013 in respect of specified products of the Company. For such products we have broadly review the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit Rules), 2014 as amended 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 with a view to determine whether they are accurate or complete.
(vii) (a) According to the information and explanations given to us, and on the basis of our examination of the books of accounts, and records, the Company has been generally regular in depositing undisputed statutory dues including Income Tax, Sales Tax, Service Tax, Duty of Customs, Duty of Excise, Value Added tax, Cess and any other material statutory dues as applicable with the appropriate authorities, though there has been a slight delay in a few cases.
According to the information and explanations given to us, no undisputed amounts payable in respect of the above were in arrears as at March 31, 2016 for a period of more than six months from the date on when they become payable except the following:
Name of the |
Financial Year |
As per Return |
As per Return Tax |
Balance Payable |
Statute |
|
Liability |
Paid |
|
Income Tax Act, 1961 |
2012-13 |
5,02,08,068 |
3,57,97,291 |
1,44,10,780 |
(b) According to the information and explanations given to us, the dues as at March 31, 2016 of income tax and Sales tax which have not been deposited on account of any dispute are as follows:
Name of the statute |
Amount (In Lakhs) |
Period to which amount related |
Forum where pending |
Income Tax Act, 1961 |
25.49 |
2003-2004 |
Commissioner Income Tax Appeal |
Income Tax Act, 1961 |
52.78 |
2005-2006 |
Commissioner Income Tax Appeal |
Income Tax Act, 1961 |
2.87 |
2006-2007 |
Commissioner Income Tax Appeal |
Income Tax Act, 1961 |
31.98 |
2007-2008 |
Commissioner Income Tax Appeal |
Income Tax Act, 1961 |
843.10 |
2010-2011 |
Commissioner Income Tax Appeal |
Income Tax Act, 1961 |
327.69 |
2011-2012 |
Commissioner Income Tax Appeal |
Central Sales Tax Act, 1956 |
0.76 |
2005-2006 |
Commercial Tax Tribunal |
Central Sales Tax Act, 1956 |
1.77 |
2011-2012 |
Commercial Tax Tribunal |
Entry Tax Act, 1976 |
6.48 |
2005-2006 |
Commercial Tax Tribunal |
Entry Tax Act, 1976 |
8.09 |
2006-2007 |
Appeal with High Court |
Entry Tax Act, 1976 |
19.27 |
2007-2008 |
Commercial Tax Tribunal |
Entry Tax Act, 1976 |
11.67 |
2008-2009 |
Commercial Tax Tribunal |
Entry Tax Act, 1976 |
292.17 |
2009-2010 |
Commercial Tax Tribunal |
Entry Tax Act, 1976 |
281.02 |
2010-2011 |
Commercial Tax Tribunal |
Entry Tax Act, 1976 |
96.08 |
2011-12 |
Commercial Tax Tribunal |
M.P. VAT Act, 1976 |
0.51 |
2006-2007 |
Commercial Tax Tribunal |
M.P. VAT Act, 1976 |
0.96 |
2006-2007 |
Appeal with High Court |
M.P. VAT Act, 1976 |
0.44 |
2007-2008 |
Commercial Tax Tribunal |
M.P. VAT Act, 1976 |
102.55 |
2008-2009 |
Commercial Tax Tribunal |
M.P. VAT Act, 1976 |
210.27 |
2011-2012 |
Commercial Tax Tribunal |
(d)According to the information and explanations given to us, the amounts which were required to be transferred to Investor Education and Protection Fund in accordance with the relevant provisions of the Companies Act, 1956(1 of 1956) and rules made there under has been transferred to such fund within time.
Name of Statute |
Nature of dues |
Amount |
Period to which to amount related |
Investor Education & Protection Fund. |
Unclaimed Dividend |
Not Available |
2003-04, 2004-05, 2005-06 & 2006-07 |
(viii) Based on our audit procedure and on the basis of information and explanations given to us by the management, the Company has not defaulted in the repayment of loans or borrowings to financial institutions, bank or Government.
(ix) The Company has not raised money during the year by way of initial public offer or further public offer (including debt instruments). Based on our audit procedures, and as per the information and explanations given to us by the management, the term loans taken by the Company have been applied for the purpose for which they were obtained.
(x) Based upon the audit procedures performed for the purpose of reporting the true and fair view of the financial statements and as per the information and explanations given to us by the management, we report that we have neither come across any instances of fraud by the company or on the company by its officers or employees, noticed or reported during the year nor have we been informed of any such case by the management.
(xi) Based on our audit procedures and as per the information and explanations given to us by the management, no managerial remuneration has been paid or provided in the book of accounts.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the order is not applicable.
(xiii) In our opinion and according to the information and explanation given to us the company is in compliance with section 177 and 188 of the Companies Act, 2013 where applicable for all transaction with the related parties and the details of related party transaction have been disclosed in the Financial Statements 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, however the company has received Share Application Money from Directors, Relative & Associates entities of Rs. 5,000.00 Lacs for preferential allotment of equity shares.
(xv) In our opinion and according to the information and explanation given to us, during the year the company has not entered into any non-cash transactions during with the directors 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 : Sunil Saraf& Associates.
Chartered Accountants
Firm''s Registration Number : 015021C
Sd/-
Kapil Binakiya
(Partner)
Membership Number : 410051
Place: Bhopal
May 30,2016
Mar 31, 2015
1. We have audited the accompanying financial statements of Sanwaria
Agro Oils 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 period then ended, and the Notes to Financial
Statements comprising of a summary of significant accounting policies
and other explanatory information.
2. Management's Responsibility for the 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 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.
3. Auditors' Responsibility
Our responsibility is to express an opinion on these 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 there under.
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 disclosures in the financial statements. The procedures
selected depend on the auditors' judgment, including the assessment of
the risks of the material misstatement of the financial statements,
whether due to error or fraud. 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 accounting policies used and 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 financial
statements.
4. 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, of the state of affairs of the Company as
at 31 March 2015, and its profit and its cash flows for the period
ended on that date.
5. Report on Other Legal and Regulatory Requirements
(a) As required by the Companies (Auditors' Report) Order, 2015 ('the
Order') issued by the Central Government of India in terms of sub
section 11 of section 143 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 3 and 4 of the Order.
(b) As required under provisions of section 143(3) of the Act, 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 purpose of our
audit;
ii. In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of
those books;
iii. The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this Report are in agreement with the books of
accounts;
iv. In our opinion, the Balance Sheet, Statement of Profit and Loss
and Cash Flow Statement comply with the Accounting Standards referred
to in section 133 of the Act read with Rule 7 Company (Accounts) Rules,
2014.
v. On the basis of written representations received from the
directors, as on 31st March, 2015 and 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.
ANNEXURE TO THE INDEPENDENT AUDITORS' REPORT
(As referred to in paragraph 5(a) of our report to the members of
Sanwaria Agro Oils Limited on the accounts as at and for the period
ended 31st March, 2015)
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) The fixed assets are physically verified by the management
according to a phased programme designed to cover all the items 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 assets.
Pursuant to the programme, a portion of the fixed assets has been
physically verified by the management during the year and no material
discrepancies were noticed on such verification.
(ii) (a) The inventory of the Company has been physically verified by
the management during the year. In our opinion, the frequency of
verification is reasonable.
(b) In our opinion, the procedures of physical verification of
inventory followed by the management are 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 is maintaining proper records of inventory.
The discrepancies noticed on verification between the physical stocks
and the book records were not material and have been properly dealt
with in the books of accounts.
(iii) (a) As per the information given to us, the Company has granted
advances /loans to companies, firms or other parties covered in the
register maintained under Section 189 of the Companies Act, 2013 ("The
Act").
(b) As per information and explanation provided to us, the receipts
against loans /advances are regular.
(iv) In our opinion and according to the information and explanations
given to us, there are adequate internal control systems commensurate
with the size of the Company and the nature of its business with regard
to purchase of inventory, fixed assets and with regard to the sale of
goods and services. Further, on the basis of our examination of the
books and records of the Company carried out in accordance with the
generally accepted auditing practices in India and according to the
information and explanations given to us, we have neither come across
nor have been informed of any continuing failure to correct major
weaknesses in the aforesaid internal control system.
(v) As per the information and explanations provided to us, the Company
has not accepted any deposits and therefore provisions of Sections 73
to 76 or any other relevant provisions of the Companies Act and rules
there under are not applicable to the Company.
(vi) We have broadly reviewed the books of accounts maintained in
pursuance to sub section (1) of section 148 of the Act in respect of
Crude & Refined vegetable oil and Rice manufactured by the Company and
are of the opinion that, prima facie, the prescribed records and
accounts have been made and maintained. However, we have not carried
out a detailed examination of such records to verify its authenticity
and accuracy.
(vii) According to the information and explanations given to us, and
the records of the Company examined by us, in our opinion.
(a) The Company is generally regular in depositing undisputed statutory
dues in respect of provident fund, employees' state insurance, income
tax, sales tax, wealth tax, service tax, customs duty, excise duty,
cess and other material statutory dues as applicable with the
appropriate authorities, though there has been a slight delay in a few
cases.
(b) According to the information and explanations given to us, there
are following dues of income tax/sales tax, have not been deposited by
the Company on account of any disputes: -
Amount in Period to
Name of the statute Rs which amount Forum where pending
related
Income Tax Act 25,49,381 2003-2004 Commissioner Income
Tax Appeal
Income Tax Act 47,61,011 2005-2006 Commissioner Income
Tax Appeal
Income Tax Act 2,84,200 2006-2007 Commissioner Income
Tax Appeal
Income Tax Act 31,98,476 2007-2008 Commissioner Income
Tax Appeal
Income Tax Act 480 2008-2009 Commissioner Income
Tax Appeal
Income Tax Act 8,83,47,850 2010-2011 Commissioner Income
Tax Appeal
Central Sales Tax 72,421 2008-2009 Commercial Tax
Act Appellate Tribunal
Commercial Tax 75,787 2005-2006 Commercial Tax
Appellate Tribunal
Entry Tax Act 6,47,515 2005-2006 Commercial Tax
Appellate Tribunal
Entry Tax Act 8,09,479 2006-2007 Appeal with High
Court
Entry Tax Act 19,26,899 2007-2008 Commercial Tax
Appellate Tribunal
Entry Tax Act 11,66,811 2008-2009 Commercial Tax
Appellate Tribunal
Entry Tax Act 2,92,16,695 2009-2010 Commercial Tax
Appellate Tribunal
Entry Tax Act 2,81,02,301 2010-2011 Commercial Tax
Appellate Tribunal
M.P. VAT Act 51,245 2006-2007 Commercial Tax
Appellate Tribunal
M.P. VAT Act 95,707 2006-2007 Appeal with High
Court
M.P. VAT Act 44,012 2007-2008 Commercial Tax
Appellate Tribunal
M.P. VAT Act 1,02,55,273 2008-2009 Commercial Tax
Appellate Tribunal
M-P- VAT Act 2,70,59,946 2011-2012 Addl. Commissoner CT
Entry Tax Act 1,36,80,982 2011-2012 Addl. Commissoner CT
Central Sales Tax 2,21,185 2011-2012 Addl. Commissoner CT
Act
(d) According to the information and explanations given to us, the
amounts which were required to be transferred to Investor Education and
Protection Fund in accordance with the relevant provisions of the
Companies Act, 1956(1 of 1956) and rules made there under has been
transferred to such fund within time.
Name of Statute Nature of Amount Period to which to
dues amount related
Investor Education Unclaimed Not 2003-04, 2004-05,
& Protection Fund. Dividend Available 2005-06 & 2006-07
(viii) The Company does not have any accumulated losses as at
31stMarch, 2015 and it has not incurred any cash losses during the
financial year ended on that date or in the immediately preceding
financial year.
(ix) Based on our audit procedure and on the basis of information and
explanations given to us by the management, we are of the opinion that
the Company has not defaulted in repayment of dues to any financial
institution or bank during the year.
(x) As per the information given to us, the Company has not given any
guarantee for loans taken by others from bank or financial
institutions.
(xi) According to the records of the Company examined by us and the
information and explanations given to us, in our opinion, the term
loans taken by the Company have been applied for the purpose for which
they were obtained.
(xii) Based upon the audit procedures performed and information and
explanation given by the management, we report that no fraud on or by
the Company has been noticed or reported during the course of our audit
for the year ended 31st March, 2015.
For : Sunil Saraf& Associates.
Chartered Accountants
Firm's Registration Number : 015021C
Sd/-
Kapil Binakiya
(Partner)
Membership Number : 410051
Place: Bhopal
Date : 30-May-2015
Mar 31, 2014
1. We have audited the accompanying financial statements of Sanwaria
Agro Oils Limited, which comprise the Balance Sheet as at March
31,2014, and the Statement of Profit and Loss and Cash Flow Statement
for the year then ended, and a summary of significant accounting
policies and other explanatory information, which we have singed under
reference to the report.
Management's Responsibility for the Financial Statements:
2. 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 sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act") read with the General Circular
5/2013 dated 15th September 2013 of the Ministry of Corporate Affairs
in respect of section 133 of Companies Act 2013. 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.
Auditor's Responsibility
3. 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.
4. An audit involves performing procedures to obtain audit evidence
about the amounts and 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 entity's internal control. An audit also includes
evaluating the appropriateness of accounting policies used and the
reasonableness of the accounting estimates made by management, as well
as evaluating the overall presentation of the financial statements.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.
Opinion
6. In our opinion and to the best of our information and according to
the explanations given to us, the 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 March 31,2014;
(b) in the case of the Profit and Loss Account, of the profit 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.
Report on Other Legal and Regulatory Requirements
7. As required by the Companies (Auditor's Report) Order, 2003 ("the
Order") as further amended by Companies (Auditor's Report) (Amendment)
Order 2004 issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, and on the basis of such
checks of books and records of the Company as we considered appropriate
and according to the information and explanation given to us, we give a
statement on the matter specified in paragraphs 4 and 5 of the Order.
8. As required by section 227(3) of the Act, 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 purpose of our
audit;
ii. in our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
iii. the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
iv. in our opinion, the Balance Sheet, Statement of Profit and Loss,
and Cash Flow Statement comply with the Accounting Standards referred
to in subsection (3C) of section 211 of the Companies Act, 1956 read
with the General Circular 5/2013 dated 15th September 2013 of the
Ministry of Corporate Affairs in respect of section 133 of Companies
Act 2013;
v. On the basis of written representations received from the directors
as on March 31,2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31,2014, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
As referred in paragraph 6 of our report to members of Sanwaria Agro
Oils Limited on the accounts as at & for the year ended 31st March
2014:-
(i) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets at all the locations.
(b) The company has a regular programme of physical verification of its
fixed assets by which fixed assets are verified in a phase manner over
a period of three years. In accordance with this programme , certain
fixed assets were verified during the year and no material
discrepancies were noticed on such verification. In our opinion, this
periodicity of physical verification is reasonable having regard to the
size of the company and the nature of its assets.
(c) According to information and explanations given to us, no
substantial part of fixed assets has been disposed off during the year.
(ii) (a) The inventories were physically verified by the management at
reasonable intervals during the year.
(b) In our opinion and according to information given to us, the
procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to the size of the
company and the nature of its business.
(c) On the basis of our examination of records of inventory, in our
opinion, the company has maintained proper records of inventory. The
discrepancies noticed on physical verification of stocks as compared to
book records were not material and have been properly dealt with in the
books of accounts.
(iii) (a) The company has granted secured or unsecured loans, to
companies, firms or other parties covered in
the register maintained under section 301 of the Act. The maximum
amount outstanding during the year was Rs. 8,257.78 Lacs and year end
balance of such loan was amounted to Rs. 5,627.24 Lacs.
(b) In our opinion, the rate of interest and other terms and conditions
of loans granted by the company, unsecured, were not prima facie
prejudicial to the interest of the company;
(c) Receipt of the principal amount and interest are also regular;
(d) None of the loan is overdue.
(e) The company has taken secured or unsecured loans, from companies,
firms or other parties covered in the register maintained under section
301 of the Act. The maximum amount outstanding during the year and year
end balance of such loan was amounted to Rs. 3,736.71 Lacs.
(f) In our opinion, the rate of interest and other terms and conditions
of loans taken by the company, unsecured, are prima facie not
prejudicial to the interest of the company;
(g) Payment of the principal amount and interest are also regular;
(iv) In our opinion and according to information given to us, there is
an adequate internal control procedure commensurate with the size of
the company and the nature of its business, for the purchase of
inventory and fixed assets and for the sale of goods. Further, on the
basis of our examination of books of accounts and records of the
company, carried out in accordance with the generally accepted auditing
practices in India, we have neither come across nor have been informed
of any instance of continuing failure to correct major weaknesses in
aforesaid internal control procedures.
(v) (a) To the best of our knowledge and belief and according to
information and explanation given to us,
transactions that need to be entered into a register in pursuance of
section 301 of the Act have been so entered;
(b) These transactions have been made at prices which are 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, company has not accepted any deposits from the public. As
the company has not accepted any deposit from the public paragraph (vi)
of the Order, is not applicable.
(vii) In our opinion, the company has adequate internal audit system
commensurate with its size and nature of its business;
(viii) We have broadly reviewed the books of accounts maintained by the
company in pursuance to section 209(1)(d) of the Companies Act, 1956 in
respect of Crude & Refined oils and are of the opinion that, prima
facie, the prescribed records and accounts have been maintained.
(ix) ((a) According to the records of the Company and the information
and explanations given to us, we have to state that,
i. Undisputed statutory dues in respect of Provident Fund, Employees
State Insurance, Sales tax, customs duty, excise duty and cess have
generally been regularly deposited with the appropriate authorities
though there has been a slight delay in a few cases.
(b) According to information and explanation given to us and records of
the company examined by us, the particulars of Income Tax/Sales Tax
dues as at 31st March, 2014, which have not deposited on account of
dispute, details are as follows:
Amount in Period to which
Name of the statute Rs. amount related
Income Tax Act 819,272 2002-2003
Income Tax Act 2,549,381 2003-2004
Income Tax Act 4,761,011 2005-2006
Income Tax Act 1,331,100 2006-2007
Income Tax Act 3,198,476 2007-2008
Income Tax Act 480 2008-2009
Central Sales Tax Act 72,421 2008-2009
Commercial Tax 75,787 2005-2006
Entry Tax Act 647,515 2005-2006
Entry Tax Act 809,479 2006-2007
Entry Tax Act 1,926,899 2007-2008
Entry Tax Act 1,166,811 2008-2009
Entry Tax Act 29,216,695 2009-2010
Entry Tax Act 32,977,721 2010-2011
M.P. VAT Act 51,245 2006-2007
M.P. VAT Act 95,707 2006-2007
M.P. VAT Act 44,012 2007-2008
M.P. VAT Act 10,255,273 2008-2009
Name of the statute Forum where pending
Income Tax Act Pending at CIT
Income Tax Act Pending at CIT
Income Tax Act Commissioner Income Tax Appeal
Income Tax Act Commissioner Income Tax Appeal
Income Tax Act Commissioner Income Tax Appeal
Income Tax Act Commissioner Income Tax Appeal
Central Sales Tax Act Commercial Tax Appellate Tribunal
Commercial Tax Commercial Tax Appellate Tribunal
Entry Tax Act Commercial Tax Appellate Tribunal
Entry Tax Act Appeal with High Court
Entry Tax Act Commercial Tax Appellate Tribunal
Entry Tax Act Additional Commissioner
Entry Tax Act Commercial Tax Appellate Tribunal
Entry Tax Act Commercial Tax Appellate Tribunal
M.P. VAT Act Commercial Tax Appellate Tribunal
M.P. VAT Act Appeal with High Court
M.P. VAT Act Commercial Tax Appellate Tribunal
M.P. VAT Act Commercial Tax Appellate Tribunal
(xi) In our opinion and according to information given to us, the
company has not defaulted in repayment of dues to bank.
(xii) Based on our examination of documents and records, we are of the
opinion that the company has not granted loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities.
(xiii) The provisions of any special statue as specified under
paragraph (xiii) of the Order are not applicable to the company.
(xiv) Based on our information and explanations given to us, the
company has maintained proper records of the transactions of
Investments and entry has been made timely therein. The company, in its
own name, has held investments.
(xv) According to information and explanations given to us, the terms
and conditions for guarantee given for loans/ guarantee taken by others
from bank are not prejudicial to the interest of the company.
(xvi) The term loans are applied for the purpose for which the loans
were obtained.
(xvii) According to the information and explanations given to us and on
the basis of overall examination of the balance sheet and cash flow
statement of the company, there are no funds raised on a short-term
basis, which have been used for long-term investment.
(xviii) The company has not made any preferential allotment of shares
to parties and companies covered in the register maintained under
Section 301 of the Act, during the year.
(xix) The company has not issued debentures. As the company did not
have any outstanding debentures during the year, paragraph (xix) of the
Order, is not applicable.
(xx) The company has not raised any money by way of public issue during
the year.
(xxi) To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the company
has been noticed or reported during the year.
For : Sunil Saraf & Associates.
Chartered Accountants
Firm's Registration Number : 015021C
Kapil Binakiya
(Partner)
Membership Number : 410051
Place: Bhopal
Date : 30-May-2014
Mar 31, 2013
1. We have audited the accompanying financial statements of Sanwaria
Agro Oils Limited, which comprise the Balance Sheet as at March 31,
2013, and the Statement of Profit and Loss and Cash Flow Statement for
the year then ended, and a summary of significant accounting policies
and other explanatory information.
2. Management''s Responsibility for the Financial Statements:
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 sub-section (3C) of section 211
of the Companies Act, 1956 ("the Act"). 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.
3. Auditor''s 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 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.
An audit also includes evaluating the appropriateness of accounting
policies used and the reasonableness of the accounting estimates made
by 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 audit opinion.
4. Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the 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 March 31, 2013;
(b) in the case of the Profit and Loss Account, of the profit 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. Report on Other Legal and Regulatory Requirements
a. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
b. As required by section 227(3) of the Act, 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 purpose of our
audit;
ii. in our opinion proper books of account as required by law have
been kept by the Company so far as appears from our examination of
those books;
iii. the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account;
iv. in our opinion, the Balance Sheet, Statement of Profit and Loss,
and Cash Flow Statement comply with the Accounting Standards referred
to in subsection (3C) of section 211 of the Companies Act, 1956;
v. On the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 ofthe Companies Act, 1956.
vi. Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
ANNEXURE TO THE AUDITOR''S REPORT
As referred in paragraph 5 (a) of our report to members of Sanwaria
Agro Oils Limited on the accounts as at & for the year ended 31st March
2013:-
(i) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets at all the locations.
(b) The Company has a regular programme of physical verification of its
fixed assets by which fixed assets are verified in a phased manner over
a period of three years. In accordance with this programme, certain
fixed assets were verified during the year and no material
discrepancies were noticed on such verification. In our opinion, this
periodicity of physical verification is reasonable having regard to the
size of the Company and the nature of its assets.
(c) According to information and explanations given to us, no
substantial part of fixed assets has been disposed off during the year.
(ii) (a) The inventories were physically verified by the management at
reasonable intervals during the year.
(b) In our opinion and according to information given to us, the
procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to the size of the
company and the nature of its business.
(c) On the basis of our examination of records of inventory, in our
opinion, the company has maintained proper records of inventory. The
discrepancies noticed on physical verification of stocks as compared to
book records were not material and have been properly dealt with in the
books of accounts.
(iii) (a) The company has granted secured or unsecured loans, to 3
companies, firms or other parties covered in the register maintained
under section 301 of the Act.
(b) In our opinion, the rate of interest and other terms and conditions
of loans granted by the company, unsecured, are prima facie not
prejudicial to the interest of the company;
(c) Receipt of the principal amount and interest are also regular;
(d) None of the loan is overdue.
(e) The company has taken any secured or unsecured loans, from
companies, firms or other parties covered in the register maintained
under section 301 of the Act.
(f) In our opinion, the rate of interest and other terms and conditions
of loans taken by the company, unsecured, are prima facie not
prejudicial to the interest of the company;
(g) Payment of the principal amount and interest are also regular;
(iv) In our opinion and according to information given to us, there is
an adequate internal control procedure commensurate with the size of
the company and the nature of its business, for the purchase of
inventory and fixed assets and for the sale of goods. Further, on the
basis of our examination of books of accounts and records of the
company, carried out in accordance with the generally accepted auditing
practices in India, we have neither come across nor have been informed
of any instance of continuing failure to correct major weaknesses in
aforesaid internal control procedures.
(v) (a) To the best of our knowledge and belief and according to
information and explanation given to us, transactions that need to be
entered into a register in pursuance of section 301 of the Act have
been so entered;
(b) These transactions have been made at prices which are 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, company has not accepted any deposits from the public. As
the company has not accepted any deposit from the public paragraph (vi)
of the Order, is not applicable.
(vii) In our opinion, the company has adequate internal audit system
commensurate with its size and nature of its business;
(viii) We have broadly reviewed the books of accounts maintained by the
company in pursuance to section 209(1)(d) of the Companies Act, 1956 in
respect of Crude & Refined oils and are of the opinion that, prima
facie, the prescribed records and accounts have been maintained.
(ix) (a) According to the records of the Company and the information
and explanations given to us, we have to state that, Undisputed
statutory dues in respect of Provident Fund, Employees State Insurance,
Sales tax, customs duty, excise duty and cess have generally been
regularly deposited with the appropriate authorities though there has
been a slight delay in a few cases.
(b) According to information and explanation given to us and records of
the company examined by us, the particulars of Income Tax/Sales Tax
dues as at 31st March, 2013, which are on account of dispute, details
are as follows:
Name of the Amount in Rs. Period to
which the Forum where pending
statute CARO amount
related
Income Tax 54,61,011 2005-2006 Commissioner Income
Tax Appeal
Income Tax 47,84,662 2007-2008 Commissioner Income
Tax Appeal
Income Tax 8,00,480 2008-2009 Commissioner Income
Tax Appeal
Commercial Tax 75,787 2005-2006 Commercial Tax
Appellate Tribunal
Entry Tax 9,24,759 2005-2006 Commercial Tax
Appellate Tribunal
Entry Tax 8,09,479 2006-2007 Appeal with High Court
M.P. VAT Act 51,245 2006-2007 Commercial Tax
Appellate Tribunal
M.P VAT Act 95,707 2006-2007 Appeal with High Court
M.P. VAT Act 44,012 2007-2008 Commercial Tax Appellate
Tribunal
Entry Tax Act 19,26,899 2007-2008 Commercial Tax Appellate
Tribunal
Entry Tax Act 11,66,811 2008-2009 Additional Commissioner
Central Sales Tax 72,421 2008-2009 Commercial Tax
Appellate Tribunal
M.P. VAT Act 1,02,55,273 2008-2009 Commercial Tax Appellate
Tribunal
(x) There is no accumulated losses at the end of the financial year and
the net worth of the Company is positive. The Company has not incurred
cash loss during the current and immediately preceding financial year.
(xi) In our opinion and according to information given to us, the
company has not defaulted in repayment of dues to bank.
(xii) Based on our examination of documents and records, we are of the
opinion that the company has not granted loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities.
(xiii) The provisions of any special statue as specified under
paragraph (xiii) of the Order are not applicable to the company.
(xiv) Based on our information and explanations given to us, the
company has maintained proper records of the transactions of
Investments and entry has been made timely therein. The company, in its
own name, has held investments.
(xv) According to information and explanations given to us, the terms
and conditions for guarantee given for loans/ guarantee taken by others
from bank are not prejudicial to the interest of the company.
(xvi) The term loans are applied for the purpose for which the loans
were obtained.
(xvii) According to the information and explanations given to us and on
the basis of overall examination of the balance sheet and cash flow
statement of the company, there are no funds raised on a short-term
basis, which have been used for long-term investment.
(xviii) The company has not made any preferential allotment of shares
to parties and companies covered in the Register maintained under
Section 301 of the Act, during the year.
(xix) The company has not issued debentures. As the company did not
have any outstanding debentures during the year, paragraph (xix) ofthe
Order, is not applicable.
(xx) The company has not raised any money by way of public issue during
the year.
(xxi) To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the company
has been noticed or reported during the year.
For Sunil Saraf & Associates.
Chartered Accountants
Firm''s Registration Number : 015021C
Ritesh Rathore
(Partner)
Membership Number : 411333
Place: Bhopal
Date : 30th, August, 2013
Mar 31, 2012
1. We have audited the attached Balance Sheet of Sanwaria Agro Oils
Limited, Bhopal, as at 31st March 2012 and the profit and loss account
and Cash Flow Statement for the year ended on that date 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 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 mis-statement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by 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) (Amendment) Order,
2004 issued by the Central Government of India in terms of sub-section
(4A) of section 227 of the Companies Act, 1956, we enclose in the
Annexure a statement on the matters specified in paragraph 4 and 5 of
the said Order.
Further to our comments in the Annexure referred to above and notes
forming part of balance sheet and profit & loss account, we report
that:
(i) We have obtained all the information and explanation, which to the
best of our knowledge and belief were necessary for the purpose of our
audit;
(ii) In our opinion, proper books of accounts as required by law have
been kept by the Company so far as appears from our examination of
those books;
(iii) The Balance Sheet and Profit and Loss Account dealt with by this
report are in agreement with the books of accounts;
(iv) In our opinion, the Balance Sheet and Profit and Loss account
dealt with by this report comply with the accounting standards referred
to in sub-section (3C) of Section 211 of the Companies Act, 1956;
(v) On the basis of written representations received from the
directors, as on 31SI March, 2012, and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2012 from being appointed as a director in terms of clause
(g) of sub-section (1) of Section 274 of the Companies Act, 1956;
(vi) In our opinion and to the best of our information and according to
the explanation given to us, the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
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, 2012; and
(b) In the case of the Profit and Loss account, of the profit for the
year ended on that date.
(c) In the case of the Cash Flow Statement for the year ended on that
date.
As referred in paragraph (3) of our report of even date attached:
1. In our opinion and according to the information explanation given
to us, the nature of Company's business/activities during the year is
such that clauses vi, xiii, xix, xx are not applicable to the Company.
(I) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
(b) These fixed assets have been physically verified by the management
during the year. The details of physical verification have been
compared with the book records; discrepancies noticed were not material
and have been properly dealt with in the books of accounts.
(c) According to information and explanations given to us, no
substantial part of fixed assets has been disposed off during the year
and would not have an impact on the operations of the Company.
(ii) (a) As explained to us, the inventories were physically verified
by the management at reasonable intervals during the year.
(b) In our opinion and according to information given to us, the
procedures of physical verification of inventory followed by the
management reasonable and adequate in relation to the size of the
Company and the nature of its business.
(c) On the basis of our examination of records of inventory, in our
opinion, the Company has maintained proper records of inventory. The
discrepancies noticed on physical verification of stocks as compared to
book records were not material and have been properly dealt with in the
books of accounts.
(iii) (a) The Company has granted unsecured loans, to companies, firms
or other parties covered in the register maintained under section 301
of the Act.
(b) In our opinion, the rate of interest and other terms and conditions
of loans granted by the Company, unsecured, are prima facie not
prejudicial to the interest of the Company;
(c) Receipt of the principal amount and interest are also regular;
(d) None of the loan is overdue.
(e) The Company has taken unsecured loans, from companies, firms or
other parties covered in the register maintained under section 301 of
the Act.
(f) In our opinion, the rate of interest and other terms and conditions
of loans taken by the Company, unsecured, are prima facie not
prejudicial to the interest of the Company;
(g) Payment of the principal amount and interest are also regular;
(iv) In our opinion and according to information given to us, there is
an adequate internal control procedure commensurate with the size of
the Company and the nature of its business, for the purchase of
inventory and fixed assets and for the sale of goods.
(v) (a) To the best of our knowledge and belief and according to
information and explanation given to us, transactions that need to be
entered into a register in pursuance of section 301 of the Act have
been so entered;
(b) These transactions have been made at prices which are 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, Company has not accepted any deposits from the public. As
the Company has not accepted any deposit from the public paragraph
(vi) of the Order, is not applicable.
(vii) In our opinion, the Company has adequate internal audit system
commensurate with its size and nature of its business;
(viii) We have been informed that the Company has maintained the cost
records as per provisions of Section 209(1 )(d) of Companies Act, 1956
for their Refinery Division, however we have not verified the same
since not in our scope of audit. '
(ix) (a) According to information and explanation given to us, the
Company is regular in depositing undisputed statutory dues including
Provident Fund, Investor Education and Protection Fund, Income-tax,
Sales-tax, Wealth Tax, Custom Duty, Excise Duty, Service Tax, Cess and
any other statutory dues with the appropriate authorities. There is no
outstanding statutory dues as at the last day of the financial year
concerned for a period of more than six months from the date they
became payable.
(b) According to information and explanation given to us and records of
the Company examined by us, the particulars of Income Tax/Sales Tax
dues as at 31st March, 2012, which have not been deposited on account
of dispute, are as follows:
Name of the
statute Amount (in Rs.) Period to which Forum where pending
the amount
related
Income tax 16,42,529 2000-2001 Income Tax
Commissioner
Appellate
Income tax 2,91,124 2001-2002 Income Tax
Commissioner
Appellate
Income tax 32,48,735 2002-2003 Income Tax
Appellate Tribunal
Income tax 3,75,366 2003-2004 Income Tax
Appellate Tribunal
Income tax 3,29,38,265 2004-2005 Income Tax
Commissioner
Appellate
Income Tax 64,48,850 2005-2006 Income Tax
Appellate Tribunal
Commercial Tax 10,00,546 2005-2006 Commercial Tax
Tribunal
Commercial Tax 9,05,186 2006-2007 Appeal with High
Court
Commercial Tax 51,245 2006-2007 Commercial Tax
Tribunal
Commercial Tax 19,70,911 2007-2008 Commercial Tax
Tribunal
Commercial Tax 1,03,27,694 2008-2009 Commercial Tax
Tribunal
Total 5,92,00,451
(x) The Company has been registered for a period not less than five
years; Company has no accumulated losses at the end of the financial
year and has not incurred cash loss during the current and immediately
preceding financial year.
(xi) In our opinion and according to information given to us, the
Company has not defaulted in repayment of dues to bank. The Company has
not obtained any borrowings from any financial institution or by way of
debentures.
(xii) Based on our examination of documents and records, we are of the
opinion that the Company has not granted loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities.
(xiii) The provisions of any special statue as specified under
paragraph (xiii) of the Order are not applicable to the Company.
(xiv) Based on our information and explanations given to us, the
Company has maintained proper records of the transactions of
Investments and entry has been made timely therein. The Company, in its
own name, has held investments.
(xv) According to information and explanations given to us, the terms
and conditions for guarantee given for loans/ guarantee taken by others
from bank are not prejudicial to the interest of the Company.
(xvi) Term loans were applied for the purpose for which the loans were
obtained.
(xvii) According to the information and explanations given to us and on
the basis of overall examination of the balance sheet and cash flow
statement of the Company, there are no funds raised on a short-term
basis, which have been used for long-term investment.
(xviii) The Company has not made any preferential allotment of shares
to parties and companies covered in the Register maintained under
Section 301 of the Act, during the year.
(xix) The Company has not issued debentures. As the Company did not
have any outstanding debentures during the year, paragraph (xix) of the
Order, is not applicable.
(xx) The Company has not raised any money by way of public issue during
the year.
(xxi) To the best of our knowledge and belief and according to the
information and explanations given to us, no fraud on or by the Company
has been noticed or reported during the year.
Place: Bhopal For Sunil Saraf & Associates
Dated: 25.08.2012 Chartered Accountants
Ritesh Rathore
Partner
M.No.411333
Firm No.: 15021C
Mar 31, 2010
1. We have audited the attached Balance Sheet of Sanwaria Agro Oils
Limited. Bhopal. as at 31 st March 2010 and the profit and loss account
and Cash Flow Siatement for the year ended on that date 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 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 mis-statement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the over all financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditors Report) (Amendment) Order,
2004 issued by the Central Government of India in terms of sub-section
(4A) of section 227 of the Companies Act. 1956, we enclose in the
Annexure a statement on the matters specified in paragraph 4 and 5 of
the said Order.
Further to our comments in the Annexure referred to above and notes
forming part of balance sheet and profit & loss account, we report
that:
(i) We have obtained all the information and explanation, which to the
best of our knowledge and belief were necessary for the purpose of our
audit:
(ii ) In our opinion, proper books of accounts as required by law have
been kept by the company so far as appears from our examination of
those books:
( iii) The Balance Sheet and Profit and Loss Account dealt with by this
report are in agreement with the books of accounts;
(iv) In our opinion, the Balance Sheet and Profit and Loss account
dealt with by this report comply with the accounting standards referred
to in sub-section (3C) of Section 211 of the Companies Act, 1956;
(v) On the basis of written representations received from the
directors, as on 31 st March. 2010, and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March, 2010 from being appointed as a director in terms of clause
(g) of sub-section (1) of Section 274 of the Companies Act. 1956:
(vi) In our opinion and to me best of our information and according to
the explanation given to us. the said accounts give the information
required by the Companies Act, 1956. in the manner so required and give
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. 2010: and
(b) In the case of the Profit and Loss account, of the profit for the
year ended on that date.
(c) In me case of the Cash Flow Statement for the year ended on mat
date.
Annexure To The Auditors Report As referred in paragraph (3) of our
report of even date attached:
I. In our opinion and according to the information explanation given to
us. the nature of companys business/activities during the year is such
that clauses vi. xiii. xix. are not applicable to the company.
(I) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of Fixed
Assets.
(b) These fixed assets have been physically verified by the management
during the year. The details of physical verification have been
compared with the book records: discrepancies noticed were not material
and have been properly dealt with in the books of accounts
(c) According to information and explanations given to us. no
substantial part of lixed assets has been disposed off during the year
and would not have an impact on the operations of the Company.
(ii) (a) As explained to us. the inventories were physically verified
by the management at reasonable intervals during the year.
(b) In our opinion and according to information given to us, the
procedures of physical verification of inventory followed by the
management reasonable and adequate in relation to the size of the
company and the nature of its business.
(c) On the basis of our examination of records of inventory, in our
opinion, the company has maintained P roper records of inventory The
discrepancies noticed on physical verification of stocks as compared to
Book records were not material and have been properly dealt with in the
books of accounts.
(iii) (a) The company has granted unsecured loans, to companies, firms
or other patties covered in the register maintained under section 301
of the Act.
(b) In our opinion, the rate of interest and other terms and conditions
of loans granted by the company. unsecured, are prima facie not
prejudicial to the interest of the company;
(c) Receipt of the principal amount and interest arc also regular;
(d) None of the loan is overdue.
(e) The company has taken unsecured loans, from companies, firms or
other parties covered in me register maintained under section 301 of
the Act.
(f) In our opinion, the rate of interest and other terms and conditions
of loans taken by the company. unsecured, are prima facie not
prejudicial to the interest of the company:
(g) Payment of the principal amount and interest are also regular;
(iv) In our opinion and according to information given to us. there is
an adequate internal control procedure commensurate with the size of
the company and the nature of its business, for the purchase of
inventory and fixed assets and for the sale of goods.
(v) (a) To the best of our knowledge and belief and according to
information and explanation given to us. transactions that need to be
entered into a register in pursuance of section 301 of the Act have
been so entered;
(b) These transactions have been made at prices which are 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, company has not accepted any deposits from the public. As
me company has not accepted any deposit from the public paragraph (vi)
of the Order, is not applicable.
(vii) In our opinion, the company has adequate internal audit system
commensurate with its size and nature of its business;
(viii) We have been informed that the company has maintained the cost
records as per provisions of Section 209( 1 )(d) of Companies Act. 1956
for their Refinery Division, however we have not verified the same
since not in our scope of audit.
(ix) (a) According to information and explanation given to us, the
company is regular in depositing undisputed statutory dues including
Provident Fund, Investor Education and Protection Fund, Income-tax.
Sales- tax. Wealth Tax. Custom Duty, Excise Duty, Service Tax, Cess and
any other statutory dues with the appropriate authorities. There is no
outstanding statutory dues as at the last day of the financial year
concerned for a period of more than six months from the date they
became payable.
(b) According to information and explanation given to us and records of
the company examined by us, the particulars of Income Tax/Sales Tax
dues as at 31st March. 2010. which have not been deposited on account
of dispute, are as follows:
Name of the statute Amount (in Rs.) Period to which
the amount related
Income Tax 34.835 Block-Assessment
Income tax 16.42.529 2000-2001
Income tax 2.91.124 2001-2002
Income tax 32.48.735 2002-2003
Income tax 6.25.366 2003-2004
Income tax 3.31,88,265 2004-2005
Income Tax 64.48.850 2005-2006
Income Tax 12.63.102 2006-2007
MP Vat Act 91.78.240 2004-2005
Central Sales Tax Act 1.337
MP Vat Act 3.70.70.693 2005-2006
Central SalcsTax Act 52.41.763 2006-2007
Entry Tax Ac 33.73.329
Name of the statute Forum where pending
Income tax InIncome Tax Appellate Tribunal
Income tax Income Tax Appellate Tribunal
Income Tax Assistant Commissioner Income Tax
Income Tax Assistant Commissioner Income Tax
Income Tax Assistant Commissioner Income Tax
Income Tax Income Tax Appellate Tribunal
Income Tax Income Tax Appellate Tribunal
Income Tax Income Tax Appellate Tribunal
Income Tax Commercial Tax Appellate Tribunal
Income Tax Commercial Tax Appellate Tribunal
(x) The company has been registered for a period not less than five
years: company has no accumulated losses at the en of the financial
year and has not incurred cash loss during the current and immediately
preceding financial year,
(xi) In our opinion and according to information given to us. the
company has not defaulted in repayment of dues to bank. The company has
not obtained any borrowings from any financial institution or by way of
debentures.
(xii) Basec on our examination of documents and records, we are of the
opinion that the company has not granted loans and advances on the
basis of security by way of pledge of shares, debentures and other
securities.
(xiii) The provisions of any special statue as specified under
paragraph (xiii) of the Order arc not applicable to the company.
(xiv) Based on our information and explanations given to us. the
company has maintained proper records of the transactions of
Investments and entry has been made timely therein. The company, in its
own name, has held investments.
(xv) According to information and explanations given to us. the terms
and conditions for guarantee given for loans- guarantee taken by others
from bank arc not prejudicial to the interest of the company.
(xvi) Term loans were applied for the purpose for which the loans were
obtained.
(xvii) According to the information and explanations given to us and on
the basis of overall examination of the balance sheet and cash flow
statement of the company, there are no funds raised on a short-term
basis, which have been used for long-term investment.
(xviii) The company has not made any preferential allotment of shares
to parties and companies covered in the Register maintained under
Section 301 of the Act, during the year.
(xix) The company has not issued debentures. As the company did not
have any outstanding debentures during the year, jaragraph (xix) of the
Order, is not applicable.
(xx) The company has not raised any money by way of public issue during
the year.
(xxi) To the best of our knowledge and belief and according to the
information and explanations given to us. no fraudon or by the company
has been noticed or reported during the year.
Place: Bhopal For Sunil Saraf & Associates
Dated: 23.08.2010 Chartered Accountants
Ritesh Rathore
Partner
M.No.411333
Firm No. 15021C