Mar 31, 2023
Symphony Limited
Report on the Audit of the Standalone Financial StatementsOpinion
We have audited the accompanying standalone financial statements of Symphony Limited ("the Company"), which comprise the Balance Sheet as at March 31, 2023, and the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flows and the Statement of Changes in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Companies Act, 2013 ("the Act") in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, ("Ind AS") and other accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2023, and its profit, total comprehensive income, its cash flows and the changes in equity for the year ended on that date.
We conducted our audit of the standalone financial statements in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Act. Our responsibilities under those Standards are further described in the Auditor''s Responsibility for the Audit of the Standalone Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India (ICAI) together with the ethical requirements that are relevant to our audit of the standalone financial statements under the provisions of the Act and the
Rules made thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the ICAI''s Code of Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the standalone financial statements of the current period. We have determined that there are no key audit matters to communicate in our report.
Information Other than the Financial Statements and Auditor''s Report Thereon
⢠The Company''s Board of Directors is responsible for the other information. The other information comprises the information included in the Director''s reports including annexures thereto, but does not include the consolidated financial statements, standalone financial statements and our auditor''s report thereon.
⢠Our opinion on the standalone financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
⢠In connection with our audit of the standalone financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the standalone financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially misstated.
⢠If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of Management and Those Charged with Governance for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the Ind AS and other accounting principles generally accepted in India. 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 statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the standalone financial statements, management is responsible for assessing the Company''s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
The Company''s Board of Directors are also responsible for overseeing the Company''s financial reporting process.
Auditor''s Responsibility for the Audit of the Standalone Financial Statements
Our objectives are to obtain reasonable assurance about whether the standalone financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor''s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these standalone financial statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
⢠Identify and assess the risks of material misstatement of the standalone financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
⢠Obtain an understanding of internal financial control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3X0 of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls with reference to standalone financial statements in place and the operating effectiveness of such controls.
⢠Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.
⢠Conclude on the appropriateness of management''s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company''s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor''s report to the related disclosures in the standalone financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor''s report. However, future events or conditions may cause the Company to cease to continue as a going concern.
⢠Evaluate the overall presentation, structure and content of the standalone financial statements, including the disclosures, and whether the standalone financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statements that, individually or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the standalone financial statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements in the standalone financial statements.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act, based on our audit we report, that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income, the Statement of Cash Flows and Statement of Changes in Equity dealt with by this Report are in agreement with the books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Ind AS specified under Section 133 of the Act.
e) On the basis of the written representations received from the directors as on March 31, 2023 taken on record by the Board of Directors, none of the directors is disqualified as on March 31,2023 from being appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls with reference to standalone financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure A". Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Company''s internal financial controls with reference to standalone financial statements.
g) With respect to the other matters to be included in the Auditor''s Report in accordance with the requirements of section 197(16) of the Act, as amended:
in our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act.
h) 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, as amended in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its standalone financial statements - Refer Note 33 to the standalone financial statements;
ii. The Company did not have any longterm contracts including derivative contracts for which there were any material foreseeable losses;
iii. There has been no delay in transferring
amounts, required to be transferred, to
the Investor Education and Protection
Fund by the Company;
iv. (a) The Management has represented that, to the best of it''s knowledge and belief, as disclosed in the note 47(vi) to the standalone financial statements no funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entities ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(b) The Management has represented, that, to the best of it''s knowledge and belief, as disclosed in the note 47(vii) to the financial statements, no funds have been received by the Company from any person or entity, including foreign entities ("Funding Parties"), with the understanding, whether recorded in writing or otherwise, that the Company shall, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(c) Based on the audit procedures performed that have been considered reasonable and appropriate in the circumstances, nothing has come to our notice that has caused us to believe that the representations under subclause (i) and (ii) of Rule 11(e), as
provided under (a) and (b) above, contain any material misstatement.
v. As stated in Note 16.4 to the standalone financial statements:
(a) The final dividend proposed in the previous year, declared and paid by the Company during the year is in accordance with Section 123 of the Act, as applicable.
(b) The interim dividend declared and paid by the Company during the year and until the date of this report is in compliance with Section 123 of the Act.
(c) The Board of Directors of the Company have proposed final dividend for the year which is subject to the approval of the members at the ensuing Annual General Meeting. The amount of dividend proposed is in accordance with section 123 of the Act, as applicable.
vi. Proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 for maintaining books of account using accounting software which has a feature of recording audit trail (edit log) facility is applicable to the Company w.e.f. April 1, 2023, and accordingly, reporting under Rule 11(g) of Companies (Audit and Auditors) Rules, 2014 is not applicable for the financial year ended March 31, 2023.
2. As required by the Companies (Auditor''s Report) Order, 2020 ("the Order") issued by the Central Government in terms of Section 143(11) of the Act, we give in "Annexure B" a statement on the matters specified in paragraphs 3 and 4 of the Order.
For Deloitte Haskins & Sells
Chartered Accountants (Firm''s Registration No. 117365W)
Kartikeya Raval
(Partner)
Place: Ahmedabad (Membership No. 106189)
Date: May 05, 2023 (UDIN 23106189BGVOQB1851)
Mar 31, 2022
Report on the Audit of the Standalone Financial StatementsOpinion
We have audited the accompanying standalone financial statements of Symphony Limited ("the Company"), which comprise the Balance Sheet as at 31st March 2022, and the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flows and the Statement of Changes in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Companies Act, 2013 ("the Act") in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, ("Ind AS") and other accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March 2022, and its profit, total comprehensive income, its cash flows and the changes in equity for the year ended on that date.
We conducted our audit of the standalone financial statements in accordance with the Standards on Auditing specified under section 143(10) of the Act (SAs). Our responsibilities under those Standards are further described in the Auditor''s Responsibility for the Audit of the Standalone Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India (ICAI) together with the ethical requirements that are relevant to our audit of the standalone financial statements under the provisions of the Act and the Rules made thereunder, and we have fulfilled our other ethical
responsibilities in accordance with these requirements and the ICAI''s Code of Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the standalone financial statements of the current period. We have determined that there are no key audit matters to communicate in our report.
Information Other than the Financial Statements and Auditor''s Report Thereon
⢠The Company''s Board of Directors is responsible for the other information. The other information comprises the Director''s report including annexures thereto, but does not include the consolidated financial statements, standalone financial statements and our auditor''s report thereon. This report is expected to be made available to us after the date of this audit report.
⢠Our opinion on the standalone financial statements does not cover the other information and will not express any form of assurance conclusion thereon.
⢠In connection with our audit of the standalone financial statements, our responsibility is to read the other information identified above when it becomes available and, in doing so, consider whether the other information is materially inconsistent with the standalone financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially misstated.
⢠When we read the other information identified above, if we conclude that there is a material misstatement therein, we are required to communicate the matter to those charged with governance as required under SA 720 ''The Auditor''s responsibilities Relating to Other Information.
Management''s Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these standalone 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 Ind AS and other accounting principles generally accepted in India. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the standalone financial statements, management is responsible for assessing the Company''s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Those Board of Directors are also responsible for overseeing the Company''s financial reporting process.
Auditor''s Responsibility for the Audit of the Standalone Financial Statements
Our objectives are to obtain reasonable assurance about whether the standalone financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor''s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the
economic decisions of users taken on the basis of these standalone financial statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
⢠Identify and assess the risks of material misstatement of the standalone financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
⢠Obtain an understanding of internal financial control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3X0 of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls system in place and the operating effectiveness of such controls.
⢠Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.
⢠Conclude on the appropriateness of management''s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company''s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor''s report to the related disclosures in the standalone financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor''s report. However, future events or conditions may cause the Company to cease to continue as a going concern.
⢠Evaluate the overall presentation, structure and content of the standalone financial statements, including the disclosures, and whether the standalone financial statements represent the
underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statements that, individually or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the standalone financial statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements in the standalone financial statements.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act, based on
our audit we report that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income, the Statement of Cash Flows and Statement of Changes in Equity dealt with by this Report are in agreement with the relevant books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Ind AS specified under Section 133 of the Act.
e) On the basis of the written representations received from the directors as on 31st March, 2022 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2022 from being appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure A". Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Company''s internal financial controls over financial reporting.
g) With respect to the other matters to be included in the Auditor''s Report in accordance with the requirements of section 197(16) of the Act, as amended, in our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act.
h) 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, as amended in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its standalone financial statements;
ii. The Company did not have any longterm contracts including derivative contracts for which there were any material foreseeable losses;
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company;
iv. (a) The Management has represented
that, to the best of it''s knowledge and belief, as disclosed in the note 49(vi) to the financial statements, no funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(b) The Management has represented, that, to the best of it''s knowledge and belief, as disclosed in the note 49(vii) to the financial statements, no funds have been received by the Company from any person(s) or entity(ies), including foreign entities ("Funding Parties"), with the understanding, whether recorded in writing or otherwise, that the Company shall, directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(c) Based on the audit procedures performed that have been considered reasonable and appropriate in the circumstances, nothing has come to our notice that has caused us to believe that the representations under sub-clause (i) and (ii) of Rule 11(e), as provided under (a) and (b) above, contain any material misstatement.
v. The final dividend proposed in the previous year, declared and paid by the Company during the year is in accordance with section 123 of the Act, as applicable.
As stated in note 16.4 to the financial statements, the Board of Directors of the Company have proposed final dividend for the year which is subject to the approval of the members at the ensuing Annual General Meeting. The amount of dividend proposed is in accordance with section 123 of the Act, as applicable.
The interim dividend declared and paid by the Company during the year and until the date of this report is in accordance with section 123 of the Companies Act 2013.
2. As required by the Companies (Auditor''s Report) Order, 2020 ("the Order") issued by the Central Government in terms of Section 143(11) of the Act, we give in "Annexure B" a statement on the matters specified in paragraphs 3 and 4 of the Order.
For Deloitte Haskins & Sells
Chartered Accountants (Firm''s Registration No.117365W)
Kartikeya Raval
(Partner)
Place: Ahmedabad (Membership No. 106189)
Date: 3rd May, 2022 (UDIN:22106189AIHYVB4681)
Mar 31, 2019
INDEPENDENT AUDITOR''S REPORT
To
The Members of Symphony Limited
Report on the Audit of the Standalone Financial Statements
Opinion
We have audited the accompanying standalone financial statements of Symphony Limited (âthe Company"), which comprise the Balance Sheet as at March 31, 2019, and the Statement of Profit and Loss (including Other Comprehensive Income), the Cash Flow Statement and the Statement of Changes in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Companies Act, 2013 (âthe Act") in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, (âInd AS") and other accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2019, and its profit, total comprehensive income, its cash flows and the changes in equity for the year ended on that date.
Basis for Opinion
We conducted our audit of the standalone financial statements in accordance with the
Standards on Auditing specified under section 143(10) of the Act (SAs). Our responsibilities under those Standards are further described in the Auditor''s Responsibility for the Audit of the Standalone Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India (ICAI) together with the ethical requirements that are relevant to our audit of the standalone financial statements under the provisions of the Act and the Rules made there under, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the ICAI''s Code of Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the standalone financial statements of the current period. These matters were addressed in the context of our audit of the standalone financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. We have determined the matters described below to be the key audit matters to be communicated in our report.
Sr. No. |
Key Audit Matter |
Auditorâs Response |
1 |
Occurrence and timely recognition of Revenue: We refer to the Company''s accounting policies on Revenue and disclosure in note 2(iii) to the standalone financial statements. We focused on this area as a key audit matter due to the risk of incorrect timing of revenue recognition and its non-occurrence. The revenue recognition occurs when the entity satisfies a performance obligation by transferring the promised good at an amount that reflects the consideration to which the entity expects to be entitled in exchange for transferring the said goods. Since the Company focuses on revenue as one of the key performance measure, it could create an incentive for revenue to be recognized though the performance obligations have not been satisfied by the Company. Accordingly, revenue recognition was determined to be a key audit matter and a significant risk of material misstatement. |
Principal audit procedures performed: Our audit approach consisted of testing the design and operating effectiveness of the internal controls and substantive testing as below: - Assessed the appropriateness of the Company''s revenue recognition accounting policies by comparing with applicable accounting standards. - Tested the effectiveness of the Company''s controls over the correct and timely recognition of revenue. - Obtained supporting documentation for sales transactions recorded during the year to determine whether revenue was occurred and recognized in the correct period. - Assessed the revenue recognized with substantive analytical procedures to ascertain whether the revenue recognized has any unexplained variations. - Assessed the adequacy of the Company''s disclosures related to revenues. |
2 |
Recognition of loss allowance as per Ind AS 109 on financial instruments measured at fair value A significant degree of judgment is required to determine the amount of loss allowance to be recognized with respect to investments made in financial instruments which are fair valued through other comprehensive income. The Company has material investments in the said category of financial instruments wherein significant downgrade in the fair value of some instruments have been observed and accordingly loss allowance for the same has been recognized. Refer note 38.1 to the standalone financial statements. |
We tested the design and operating effectiveness of key controls focusing on the following: - Identification of loss events, including early warning and default warning indicators; - Assessment and approval of individual impairment provisions; - Governance including model validation and the assessment of the suitability of models, appropriateness of assumptions, consideration of post model adjustments and approval of provisions; and - Completeness and accuracy of data input into models and provision calculators. In additions For modeled provisions we tested data inputs and agreed a sample of data used in the models and calculators to source systems. We involved our fair valuation specialists to test the assumptions and calculations. We evaluated the methodology to establish model parameters and assessed the appropriateness of the models used. The last traded market prices of two similar securities, of the same Company were considered. The yield implied in the price for both the securities was computed as of the date of trade. An average of the implied yields was considered for purpose of fair value calculations. The discounted cash flow method was applied to calculate the present value of coupon payments and redemption amount at respective payment dates. |
Information Other than the Financial Statements and Auditorâs Report Thereon
The Company''s Board of Directors is responsible for the other information. The other information comprises the information included in the Management Discussion and Analysis, Board''s Report including Annexure to Board''s Report, Business Responsibility Report and Corporate Governance Report, but does not include the financial statements and our auditor''s report thereon.
Our opinion on the financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Managementâs Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the Ind AS and other accounting principles generally accepted in India. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone financial statement that give a true and fair view and are free from material misstatement, whether due to fraud or error
In preparing the standalone financial statements, management is responsible for assessing the Company''s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Those Board of Directors are also responsible for overseeing the Company''s financial reporting process.
Auditorâs Responsibility for the Audit of the Standalone Financial Statements
Our objectives are to obtain reasonable assurance about whether the standalone financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor''s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these standalone financial statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
- Identify and assess the risks of material misstatement of the standalone financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
- Obtain an understanding of internal financial control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls system in place and the operating effectiveness of such controls.
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.
- Conclude on the appropriateness of management''s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company''s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor''s report to the related disclosures in the standalone financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor''s report. However, future events or conditions may cause the Company to cease to continue as a going concern.
- Evaluate the overall presentation, structure and content of the standalone financial statements, including the disclosures, and whether the standalone financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statements that, individually or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the standalone financial statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work; and
(ii) to evaluate the effect of any identified misstatements in the standalone financial statements.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the standalone financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor''s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act, based on our audit we report that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the Company.
c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income, the Statement of Cash Flows and Statement of Changes in Equity dealt with by this Report are in agreement with the relevant books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Ind AS specified under Section 133 of the Act.
e) On the basis of the written representations received from the directors as on March 31, 2019 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2019 from being appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure A". Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Company''s internal financial controls over financial reporting
g) With respect to the other matters to be included in the Auditor''s Report in accordance with the requirements of section 197(16) of the Act, as amended. In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act.
h) 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, as amended in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its standalone financial statements - Refer Note 31
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company
2. As required by the Companies (Auditor''s Report) Order, 2016 (âthe Order") issued by the Central Government in terms of Section 143(11) of the Act, we give in âAnnexure B" a statement on the matters specified in paragraphs 3 and 4 of the Order
(Referred to in paragraph 1(f) under ''Report on Other Legal and Regulatory Requirements'' section of our report of even date)
Report on the Internal Financial Controls Over Financial Reporting under Clause (i) of Subsection 3 of Section 143 of the Companies Act, 2013 (âthe Act")
We have audited the internal financial controls over financial reporting of Symphony Limited (âthe Company") as of March 31, 2019 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The 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. 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 respective 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 Companies Act, 2013.
Auditorâs Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting of the Company based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the âGuidance
Note") issued by the Institute of Chartered Accountants of India and the Standards on Auditing prescribed under Section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting 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.
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.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, to the best of our information and according to the explanations given to us the Company has in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2019, based on the criteria for internal financial control over financial reporting established by the respective 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.
(i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets.
(b) The Company has a program of verification of fixed assets to cover all the items in a phased manner 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 program, certain fixed assets were physically verified by the Management during the year According to the information and explanations given to us, no material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and the records examined by us and based on the examination of the registered sale deed / transfer deed / conveyance deed provided to us, we report that, the title deeds, comprising all the immovable properties of land and buildings which are freehold, are held in the name of the Company as at the balance sheet date. In respect of immovable properties of land and buildings that have been taken on lease and disclosed as fixed asset in the standalone Ind AS financial statements, the lease agreements are in the name of the Company, where the Company is the lessee in the agreement.
(ii) As explained to us, the inventories were physically verified during the year by the Management at reasonable intervals and no material discrepancies were noticed on physical verification.
(iii) The Company has not granted any loans, secured or unsecured, to companies, firms, Limited Liability Partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 185 and 186 of the Companies Act, 2013 in respect of grant of loans, making investments and providing guarantees and securities, as applicable.
(v) According to the information and explanations given to us, the Company has not accepted any deposits from the public within the meaning of provisions of sections 73 to 76 of the Act and the rules framed there under and hence reporting under clause (v) of the CARO, 2016 is not applicable.
(vi) The maintenance of cost records has been specified by the Central Government under section 148(1) of the Companies Act, 2013. We have broadly reviewed the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit) Rules, 2014, as amended prescribed by the Central Government under sub-section (1) of Section 148 of the Companies Act, 2013, and are of the opinion that, prima facie, the prescribed cost records have been made and maintained. We have, however, not made a detailed examination of the cost records with a view to determine whether they are accurate or complete.
(vii) According to the information and explanations given to us, in respect of statutory dues:
(a) The Company has generally been regular in depositing undisputed statutory dues, including Provident Fund, Employees'' State Insurance, Income Tax, Goods & Service Tax, Customs Duty, Cess and other material statutory dues applicable to it to the appropriate authorities.
Name of the Statute |
Nature of the Dues |
Forum where dispute is pending |
Period to which the amount relates |
Amount (H in lacs) |
Income Tax Act, 1961 |
Income Tax Demand |
Commissioner of Income Tax(Appeal), Ahmadabad |
2014-2015 |
2.71 |
Income Tax Appellate Tribunal |
2010-2011 & 2012-13 |
16.63 |
||
Assessment Level |
2017-2018 |
8.63 |
||
Central Excise Act, 1944 |
Demand of Penalty |
Central Excise and Service Tax Appellate Tribunal, Ahmadabad |
2009-2010 |
2.50 |
Commissioner of Central Excise and Customs, Baroda |
2009-2011 |
89.00 |
||
Jaipur High Court |
2012-2017 |
50.00 |
||
Central Sales Tax Act, 1956 |
Demand of Penalty |
Joint Commissioner of Commercial Tax Appeals, Mehsana |
1993-1996, 1997-1998 & 1999-2000 |
70.80 |
Bihar Value Added Tax Act, 2005 |
Commercial Tax Demand |
Commercial Taxes Tribunal, Bihar |
2010-2011 & 2014-2015 |
5.24 |
Joint Commissioner of Commercial Taxes(Appeals),Central Division, Patna |
2009-2010 & 2011-2013 |
6.53 |
||
Orissa Entry Tax, 1999 |
Commercial Tax Demand |
Assistant Commissioner, Circle Office Cuttack |
2001-2002 |
1.13 |
Punjab Value Added Tax Act,2005 |
Demand of Penalty |
VAT Tribunal, Punjab |
2014-2015 |
2.23 |
Kerala Value Added Tax Act, 2003 |
Commercial Tax Demand |
Deputy Commissioner (Appeals) |
2012-2013 |
1.99 |
(b) There were no undisputed amounts payable in respect of Provident Fund, Employees'' State Insurance, Income Tax, Goods & Service Tax, Customs Duty, Cess and other material statutory dues in arrears as at March 31, 2019 for a period of more than six months from the date they became payable.
(c) There were no disputed amounts payable in respect of Goods & Service Tax, Customs Duty and cess as at March 31, 2019. Details of dues of Income Tax, Sales Tax, Service Tax, Excise Duty, Value Added Tax and Entry Tax which have not been deposited as on March 31, 2019 on account of disputes are given below:
(viii) The Company has not taken any loans or borrowings from financial institutions, banks and government or has not issued any debentures. Hence reporting under clause (viii) of CARO 2016 is not applicable to the Company.
(ix) The Company has not raised moneys by way of initial public offer or further public offer (including debt instruments) or term loans and hence reporting under clause (ix) of the CARO 2016 Order is not applicable.
(x) To the best of our knowledge and according to the information and explanations given to us, no fraud by the Company and no material fraud on the Company by its officers or employees has been noticed or reported during the year
(xi) In our opinion and according to the information and explanations given to us, the Company has paid / provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the CARO 2016 Order is not applicable.
(xiii) In our opinion and according to the information and explanations given to us the Company is in compliance with Section 177 and 188 of the Companies Act, 2013, where applicable, for all transactions with the related parties and the details of related party transactions ha ve been disclosed in the stand alone Ind AS 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 and hence reporting under clause (xiv) of CARO 2016 is not applicable to the Company.
(xv) In our opinion and according to the information and explanations given to us, during the year the Company has not entered into any non-cash transactions with its directors or directors of its subsidiary 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 Deloitte Haskins & Sells
Chartered Accountants
(Firm''s Registration No. 1 17365W)
Gaurav J. Shah
Place: Ahmedabad Partner
Date: 22 May, 2019 (Membership No. 35701)
Mar 31, 2018
Report on the Standalone Ind AS Financial Statements
We have audited the accompanying standalone Ind AS financial statements of Symphony Limited (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2018, and the Statement of Profit and Loss (including Other Comprehensive Income), the Cash Flow Statement and the Statement of Changes in Equity for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Ind AS Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the Indian Accounting Standards (Ind AS) prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, and other accounting principles generally accepted in India.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone Ind AS financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone Ind AS financial statements based on our audit.
In conducting our audit, we have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder and the Order issued under section 143(11) of the Act.
We conducted our audit of the standalone Ind AS financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the standalone Ind AS financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the standalone Ind AS financial statements.
The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the standalone Ind AS financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the standalone Ind AS financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the standalone Ind AS financial statements.
We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the standalone Ind AS financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone Ind AS financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the Ind AS and other accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March, 2018, and its profit, total comprehensive income, its cash flows and the changes in equity for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act, based on our audit referred to in the Other Matters paragraph above we report, to the extent applicable that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the Company.
c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income, the Cash Flow Statement and Statement of Changes in Equity dealt with by this Report are in agreement with the relevant books of account.
d) In our opinion, the aforesaid standalone Ind AS financial statements comply with the Indian Accounting Standards prescribed under section 133 of the Act.
e) On the basis of the written representations received from the directors of the Company as on 31st March, 2018 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2018 from being appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure Aâ. Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Companyâs internal financial controls over financial reporting.
g) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its standalone Ind AS financial statements - Refer Note 31 for disclosures as contingent liabilities.
ii. The Company did not have any longterm contracts including derivative contracts for which there were any material foreseeable losses.
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
2. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ) issued by the Central Government in terms of Section 143(11) of the Act, we give in âAnnexure Bâ a statement on the matters specified in paragraphs 3 and 4 of the Order.
Annexure B to the Independent Auditorâs Report
(Referred to in paragraph 2 under âReport on Other Legal and Regulatory Requirementsâ 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 Company has a program of verification of fixed assets to cover all the items in a phased manner 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 program, certain fixed assets were physically verified by the Management during the year. According to the information and explanations given to us, no material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and the records examined by us and based on the examination of the registered sale deed / transfer deed / conveyance deed provided to us, we report that, the title deeds, comprising all the immovable properties of land and buildings which are freehold, are held in the name of the Company as at the balance sheet date. In respect of immovable properties of land and buildings that have been taken on lease and disclosed as fixed asset in the standalone Ind AS financial statements, the lease agreements are in the name of the Company, where the Company is the lessee in the agreement.
(ii) As explained to us, the inventories were physically verified during the year by the Management at reasonable intervals and no material discrepancies were noticed on physical verification.
(iii) The Company has not granted any loans, secured or unsecured, to companies, firms, Limited Liability Partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 185 and 186 of the Companies Act, 2013 in respect of grant of loans, making investments and providing guarantees and securities, as applicable.
(v) According to the information and explanations given to us, the Company has not accepted any deposits from the public within the meaning of provisions of sections 73 to 76 of the Act and the rules framed there under and hence reporting under clause (v) of the CARO, 2016 is not applicable.
(vi) The maintenance of cost records has been specified by the Central Government under section 148(1) of the Companies Act, 2013. We have broadly reviewed the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit) Rules, 2014, as amended prescribed by the Central Government under sub-section (1) of Section 148 of the Companies Act, 2013, and are of the opinion that, prima facie, the prescribed cost records have been made and maintained. We have, however, not made a detailed examination of the cost records with a view to determine whether they are accurate or complete.
(vii) According to the information and explanations given to us, in respect of statutory dues:
(a) The Company has generally been regular in depositing undisputed statutory dues, including Provident Fund, Employeesâ State Insurance, Income Tax, Goods & Service Tax, Sales Tax, Service Tax, Customs Duty, Value Added Tax, cess and other material statutory dues applicable to it to the appropriate authorities.
(b) There were no undisputed amounts payable in respect of Provident Fund, Employeesâ State Insurance, Income Tax, Goods & Service Tax, Sales Tax, Service Tax, Customs Duty, Excise Duty, Value Added Tax, cess and other material statutory dues in arrears as at March 31, 2018 for a period of more than six months from the date they became payable.
(c) There were no disputed amounts payable in respect of Goods & Service Tax, Customs Duty and cess as at March 31, 2018. Details of dues of Income Tax, Sales Tax, Service Tax, Excise Duty, Value Added Tax and Entry Tax which have not been deposited as on March 31, 2018 on account of disputes are given below:
Name of the statute |
Nature of the Dues |
Forum where dispute is pending |
Period to which the amount relates |
Amount (Rs. in lacs) |
Income Tax Act, 1961 |
Income Tax Demand |
Commissioner of Income Tax(Appeal), Ahmedabad |
2009-2014 |
24.02 |
Income Tax Appellate Tribunal |
2008-2009 |
1.91 |
||
Central Excise Act, |
Demand of Penalty |
Central Excise and Service |
2009-2010 |
2.50 |
1944 |
Tax Appellate Tribunal, Ahmedabad |
|||
Commissioner of Central |
2009-2011 |
89.00 |
||
Excise and Customs, Baroda |
||||
Central Sales Tax Act, |
Demand of Penalty |
Joint Commissioner of |
1993-1996, |
70.80 |
1956 |
Commercial Tax Appeals, Mehsana |
1997-1998 & 1999-2000 |
||
Bihar Value Added Tax |
Commercial Tax |
Commercial Taxes Tribunal, |
2010-2011 & |
12.94 |
Act, 2005 |
Demand |
Bihar |
2014-2015 |
|
Joint Commissioner |
2009-2010 |
6.00 |
||
of Commercial |
||||
Taxes(Appeals),Central |
||||
Division, Patna |
||||
Orissa Entry Tax, 1999 |
Commercial Tax Demand |
Deputy Commissioner, Circle office, Cuttack |
2001-2004 |
9.51 |
Punjab Value Added |
Demand of Penalty |
VAT Tribunal, Punjab |
2014-2015 |
2.23 |
Tax Act,2005 |
||||
Kerala Value Added |
Commercial Tax |
Deputy Commissioner |
2012-2013 |
1.99 |
Tax Act, 2003 |
Demand |
(Appeals) |
(viii) The Company has not taken any loans or borrowings from financial institutions, banks and government or has not issued any debentures. Hence reporting under clause (viii) of CARO 2016 is not applicable to the Company.
(ix) The Company has not raised moneys by way of initial public offer or further public offer (including debt instruments) or term loans and hence reporting under clause (ix) of the CARO 2016 Order is not applicable.
(x) To the best of our knowledge and according to the information and explanations given to us, no fraud by the Company and no material fraud on the Company by its officers or employees has been noticed or reported during the year.
(xi) In our opinion and according to the information and explanations given to us, the Company has paid / provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the CARO 2016 Order is not applicable.
(xiii) In our opinion and according to the information and explanations given to us the Company is in compliance with Section 177 and 188 of the Companies Act, 2013, where applicable, for all transactions with the related parties and the details of related party transactions have been disclosed in the standalone Ind AS 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 and hence reporting under clause (xiv) of CARO 2016 is not applicable to the Company.
(xv) In our opinion and according to the information and explanations given to us, during the year the Company has not entered into any noncash transactions with its directors or directors of its subsidiary or associate company or persons connected with them and hence provisions of section 192 of the Companies Act, 2013 are not applicable.
(xvi) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934.
For Deloitte Haskins & Sells
Chartered Accountants
(Firmâs Registration No. 117365W)
Gaurav J. Shah
Ahmedabad Partner
Date: May 22, 2018 (Membership No. 35701)
Mar 31, 2017
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of SYMPHONY LIMITED (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2017, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company ir accordance with the accounting principles generally accepted in India, including the Accounting Standards prescribed under section 133 of the Act.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy anc completeness of the accounting records, relevant to the preparation and presentation of the standalone financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit.
In conducting our audit, we have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.
We conducted our audit of the standalone financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the standalone financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the standalone financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the standalone financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the standalone financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the standalone financial statements.
We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March, 2017, and its profit and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143 (3) of the Act, based on our audit we report, to the extent applicable that:
a) We have sought and obtained all the information and explanations which tc the best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the relevant books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards prescribed under section 133 of the Act.
e) On the basis of the written representations received from the directors as on 31st March, 2017 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.
f) With respect to the adequacy of the internal financial controls over financial reporting of the Company incorporated in India and the operating effectiveness of such controls, refer to our separate Report in ââAnnexure Aâ. Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Companyâs internal financial controls over financial reporting.
g) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its standalone financial statements - Refer Note 28 and Note 36 to the financial statements,
ii. The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses,
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protector Fund by the Company,
iv. The Company has provided requisite disclosures in the standalone financial statements as regards its holding and dealings in Specified Bank Notes as defined in the Notification S.O. 3407(E) dated the 8th November, 2016 of the Ministry of Finance, during the period from 8th November 2016 to 30th December 2016. Based on audit procedures performed and the representations provided to us by the management we report that the disclosures are in accordance with the books of account maintained by the Company.
2. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ) issued by the Central Government in terms of Section 143(11) of the Act, we give in âAnnexure Bâ a statement on the matters specified in paragraphs 3 and 4 of the Order.
Annexure B to the Independent Auditorâs Report
(Referred to in paragraph 2 under âReport on Other Legal and Regulatory Requirementsâ 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 Company has a program of verification of fixed assets to cover all the items in a phased manner 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 program, certain fixed assets were physically verified by the Management during the year. According to the information anc explanations given to us, no material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and the records examined by us and based on the examination of the registered sale deed / transfer deed / conveyance deed provided to us, we report that, the title deeds, comprising all the immovable properties of land and buildings which are freehold, are held in the name of the Company as at the balance sheet date. In respect of immovable properties of land and buildings that have been taken on lease and disclosed as fixed asset in the standalone financial statements, the lease agreements are in the name of the Company, where the Company is the lessee in the agreement.
(ii) As explained to us, the inventories were physically verified during the year by the Management at reasonable intervals and nc material discrepancies were noticed on physical verification.
(iii) According to the information and explanations given to us, the Company has granted loans, secured or unsecured, to companies, firms, Limited Liability Partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013, in respect of which:
a) The terms and conditions of the grant of such loans are, in our opinion, prima facie, not prejudicial to the Companyâs interest.
b) The schedule of repayment of principal and payment of interest has been stipulated and repayments or receipts of principal amounts and interest have been regular as per stipulations.
c) There is no overdue amount remaining outstanding as at the balance sheet date.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of Sections 185 and 186 of the Companies Act, 2013 in respect of grant of loans, making investments and providing guarantees and securities, as applicable.
(v) According to the information and explanations given to us, the Company has not accepted any deposits from the public within the meaning of provisions of sections 73 to 76 of the Act and the rules framed there under and hence reporting under clause (v) of the CARO, 2016 is not applicable.
(vi) The maintenance of cost records has been specified by the Central Government under section 148(1) of the Companies Act, 2013. We have broadly reviewed the cost records maintained by the Company pursuant to the Companies (Cost Records and Audit) Rules, 2014, as amended prescribed by the Central Government under sub-section (1) of Section 148 of the Companies Act, 2013, and are of the opinion that, prima facie, the prescribed cost records have been made and maintained. We have, however, not made a detailed examination of the cost records with a view to determine whether they are accurate or complete.
(vii) According to the information and explanations given to us, in respect of statutory dues:
(a) The Company has generally been regular in depositing undisputed statutory dues, including Provident Fund, Employeesâ State Insurance, Income Tax, Sales Tax, Service Tax, Customs Duty, Value Added Tax, cess and other material statutory dues applicable to it to the appropriate authorities.
(b) There were no undisputed amounts payable in respect of Provident Fund, Employeesâ State Insurance, Income Tax, Sales Tax, Service Tax, Customs Duty, Excise Duty, Value Added Tax, cess and other material statutory dues in arrears as at March 31, 2017 for a period of more than six months from the date they became payable.
(c) There were no disputed amounts payable in respect of Provident Fund, Employeesâ State Insurance, Customs Duty and cess as at March 31, 2017. Details of dues of Income Tax, Sales Tax, Service Tax, Excise Duty, Value Added Tax and Entry Tax which have not been deposited as on March 31, 2017 on account of disputes are given below:
Name of the Statute |
Nature of the Dues |
Forum where Dispute is Pending |
Period to which the Amount Relates |
Amount (Rs. in Lacs) |
Income Tax Act, 1961 |
Income Tax Demand |
Commissioner of Income Tax (Appeals), Ahmedabad |
2010-2014 |
64.65 |
Central Excise Act, 1944 |
Demand of Penalty |
Central Excise and Service Tax Appellate Tribunal Ahmedabad |
2009-2010 |
2.50 |
Commissioner of Central Excise & Customs, Baroda |
2009-2011 |
89.00 |
||
Central Sales Tax Act, 1956 |
Demand of Penalty |
Joint Commissioner of Commercial Taxes Appeals, Mehsana, Gujarat |
1993-1996, 1997-1998 & 1999-2000 |
70.80 |
Bihar Value Added Tax Act, 2005 |
Commercial Tax Demand |
The Joint Commissioner of Commercial Taxes (Appeal), Bihar |
2009-2011 |
10.86 |
Orissa Entry Tax Act,1999 |
Entry Tax Demand |
Honâble High Court of Orissa, Cuttack |
2001-2004 |
18.46 |
Punjab Value Added Tax Act, 2005 |
Commercial Tax Demand |
Office of the Commissioner Commercial Tax Punjab |
2014-2015 |
2.97 |
(viii) The Company has not taken any loans or borrowings from financial institutions, banks and government or has not issued any debentures. Hence reporting under clause (viii) of CARO 2016 is not applicable to the Company.
(ix) The Company has not raised moneys by way of initial public offer or further public offer (including debt instruments) or term loans and hence reporting under clause (ix) of the CARO 2016 Order is not applicable.
(x) To the best of our knowledge and according to the information and explanations given to us, no fraud by the Company and no material fraud on the Company by its officers or employees has been noticed or reported during the year.
(xi) In our opinion and according to the information and explanations given to us, the Company has paid / provided managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.
(xii) The Company is not a Nidhi Company and hence reporting under clause (xii) of the CARO 2016 Order is not applicable.
(xiii) In our opinion and according to the information and explanations given to us the Company is in compliance with Section 177 and 188 of the Companies Act, 2013, where applicable, for all transactions with the related parties and the details of related party transactions have been disclosed in the standalone financial statements etc. as required by the applicable accounting standards.
(xiv) During the year the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures and hence reporting under clause (xiv) of CARO 2016 is not applicable to the Company.
(xv) In our opinion and according to the information and explanations given to us, during the year the Company has not entered into any noncash transactions with its directors or directors of its holding, subsidiary or associate company or persons connected with them and hence provisions of section 192 of the Companies Act, 2013 are not applicable.
(xvi) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934
For Deloitte Haskins & Sells
Chartered Accountants
(Firmâs Registration No. 117365W)
Gaurav J Shah
Ahmedabad Partner
May 16, 2017 (Membership No. 35701)
Mar 31, 2016
We have audited the accompanying standalone financial statements of
SYMPHONY LIMITED ("the Company"), which comprise the Balance Sheet as
at 31st March, 2016, the Statement of Profit and Loss for the period
July 1, 2015 to March 31, 2016 ("the period"), the Cash Flow Statement
for the period then ended and a summary of the significant accounting
policies and other explanatory information.
Management''s Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 ("the Act") with respect
to the preparation of these standalone financial statements that give a
true and fair view of the financial position, financial performance and
cash flows of the Company in accordance with the accounting principles
generally accepted in India, including the Accounting Standards
prescribed under section 133 of the Act, as applicable.
This responsibility also includes maintenance of adequate accounting
records in accordance with the provisions of the Act for safeguarding
the assets of the Company and for preventing and detecting frauds and
other irregularities; selection and application of appropriate
accounting policies; making judgments and estimates that are reasonable
and prudent; and design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these standalone
financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting
and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
thereunder and the Order under section 143 (11) of the Act.
We conducted our audit of the standalone financial statements in
accordance with the Standards on Auditing specified under Section
143(10) of the Act. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company''s preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances. An audit also includes evaluating
the appropriateness of the accounting policies used and the
reasonableness of the accounting estimates made by the Company''s
Directors, as well as evaluating the overall presentation of the
financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the standalone
financial statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone financial statements
give the information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at 31st March, 2016, and its profit and its cash flows for the period
ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by Section 143 (3) of the Act, we report that:
a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit.
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
books.
c) The Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account.
d) In our opinion, the aforesaid standalone financial statements comply
with the Accounting Standards prescribed under section 133 of the Act,
as applicable.
e) On the basis of the written representations received from the
directors as on 31st March, 2016 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.
f) With respect to the adequacy of the internal financial controls over
financial reporting of the Company and the operating effectiveness of
such controls, refer to our separate Report in "Annexure A". Our report
expresses an unmodified opinion on the adequacy and operating
effectiveness of the Company''s internal financial controls over
financial reporting.
g) With respect to the other matters to be included in the Auditor''s
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us::
i. The Company has disclosed the impact of pending litigations on its
financial position in its financial statements  Refer Note 27 to the
financial statements;
ii. The Company doesn''t have any long- term contracts including
derivative contracts for which there were any material foreseeable
losses;
iii. There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
2. As required by the Companies (Auditor''s Report) Order, 2016 ("the
Order") issued by the Central Government in terms of Section 143(11) of
the Act, we give in "Annexure B" a statement on the matters specified
in paragraphs 3 and 4 of the Order.
Annexure "B" to the Auditors'' Report
(Referred to in paragraph 2 under ''Report on Other Legal and Regulatory
Requirements'' section of our report of even date)
(i) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of the fixed assets.
(b) The fixed assets were 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) According to the information and explanations given to us and the
records examined by us and based on the examination of the registered
sale deed / transfer deed / conveyance deed provided to us, we report
that, the title deeds, comprising all the immovable properties of land
and buildings which are freehold, are held in the name of the Company
as at the balance sheet date. In respect of immovable property of land
that has been taken on lease and disclosed as fixed asset in the
financial statements, the lease agreement is in the name of the
Company, where the Company is the lessee in the agreement.
(ii) As explained to us, the inventories were physically verified
during the period by the Management at reasonable intervals and no
material discrepancies were noticed on physical verification.
(iii) The Company has not granted any loans, secured or unsecured, to
companies, firms, Limited Liability Partnerships or other parties
covered in the register maintained under section 189 of the Companies
Act, 2013.
(iv) In our opinion and according to the information and explanations
given to us, the Company has complied with the provisions of Sections
185 and 186 of the Companies Act, 2013 in respect of grant of loans,
making investments and providing guarantees and securities, as
applicable.
(v) According to the information and explanations given to us, the
Company has not accepted any deposits from the public within the
meaning of provisions of sections 73 to 76 of the Act and the rules
framed there under and hence reporting under clause (v) of the CARO
2016 is not applicable.
(vi) The maintenance of cost records has been specified by the Central
Government under section 148(1) of the Companies Act, 2013. We have
broadly reviewed the cost records maintained by the Company pursuant to
the Companies (Cost Records and Audit) Rules, 2014, as amended
prescribed by the Central Government under sub-section (1) of Section
148 of the Companies Act, 2013, and are of the opinion that, prima
facie, the prescribed cost records have been made and maintained. We
have, however, not made a detailed examination of the cost records with
a view to determine whether they are accurate or complete.
(vii) According to the information and explanations given to us, in
respect of statutory dues:
(a) The Company has been generally regular in depositing undisputed
statutory dues, including Provident Fund, Employees'' State Insurance,
Income-tax, Sales Tax, Service Tax, Customs Duty, Value Added Tax, Cess
and other material statutory dues applicable to it to the appropriate
authorities.
(b) There were no undisputed amounts payable in respect of Provident
Fund, Employees'' State Insurance, Income-tax, Sales Tax, Service Tax,
Customs Duty, Value Added Tax, Cess and other material statutory dues
in arrears as at March 31, 2016 for a period of more than six months
from the date they became payable.
(c) Details of dues of Income-tax, Sales Tax, Service Tax, Excise Duty
and Value Added Tax which have not been deposited as on March 31, 2016
on account of disputes are given below:
Name of the Nature of the Amount (Rs.)
Statute Dues
The Bihar Value Commercial Tax 16.97
Added Tax Act, Demand
2005
0.86
The Central Sales Demand of 70.80
Tax Act, 1956 Penalty
The Orissa Entry Entry Tax Demand 0.48
Tax Act, 1999
The Orissa sales Sales Tax Demand 17.98
Tax Act, 1999
Punjab Value Commercial Tax 2.97
Added Tax Act, Demand
2005
The Central Excise Demand of 2.50
Act, 1944 Penalty
89.00
The Income Tax Income Tax 17.42
Act, 1961 Demand
Name of the Statute Period to which Forum where
the amount dispute is
relates pending
The Bihar Value Added
Tax Act, 2005 2009-2012 The Joint Commissioner of
Commercial Taxes
(Appeal), Bihar
2013-2014 Bihar VAT Tribunal
The Central Sales Tax
Act, 1956 1993-1996, 1997- Joint
1998 & 1999-2000 Commissioner of
Commercial Taxes Appeals,
Mehsana, Gujarat
The Orissa Entry
Tax Act, 1999 2002-03 Hon''ble High
Court of Orissa,
The Orissa Sales 1999-2000 to Cuttack
Tax Act, 1999 2003-2004
Punjab Value Added
Tax Act, 2005 2014-15 Office of the
Commissioner Commercial
Tax Punjab
The Central Excise
Axt, 1944 2009-2010 Central Excise
and Service Tax
Appellate Tribunal
Ahmedabad
2009-2011 Commissioner of
Central Excise &
Customs, Baroda
The Income Tax
Act, 1961 2011-2012 Commissioner of Income
Tax (Appeals), Ahmedabad
(viii) The Company has not taken any loans or borrowings from financial
institutions, banks and government or has not issued any debentures.
Hence reporting under clause (viii) of CARO 2016 is not applicable to
the Company.
(ix) The Company has not raised moneys by way of initial public offer
or further public offer (including debt instruments) or term loans and
hence reporting under clause (ix) of the CARO 2016 Order is not
applicable.
(x) To the best of our knowledge and according to the information and
explanations given to us, no fraud by the Company and no fraud on the
Company by its officers or employees has been noticed or reported
during the period.
(xi) In our opinion and according to the information and explanations
given to us, the Company has paid / provided managerial remuneration in
accordance with the requisite approvals mandated by the provisions of
section 197 read with Schedule V to the Companies Act, 2013.
(xii) The Company is not a Nidhi Company and hence reporting under
clause (xii) of the CARO 2016 Order is not applicable.
(xiii) In our opinion and according to the information and explanations
given to us the Company is in compliance with Section 188 and 177 of
the Companies Act, 2013, where applicable, for all transactions with
the related parties and the details of related party transactions have
been disclosed in the financial statements etc. as required by the
applicable accounting standards.
(xiv) During the period the Company has not made any preferential
allotment or private placement of shares or fully or partly convertible
debentures and hence reporting under clause (xiv) of CARO 2016 is not
applicable to the Company.
(xv) In our opinion and according to the information and explanations
given to us, during the period the Company has not entered into any
non- cash transactions with its directors or persons connected with him
and hence provisions of section 192 of the Companies Act, 2013 are not
applicable.
(xvi) The Company is not required to be registered under section 45-I
of the Reserve Bank of India Act, 1934.
For DELOITTE HASKINS & SELLS
Chartered Accountants
Gaurav J Shah
Ahmedabad Partner
May 17, 2016 (Membership No. 35701)
Jun 30, 2015
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of
Symphony Limited ('the Company'), which comprise the Balance Sheet as
at June 30, 2015, the Statement of Profit and Loss and the Cash Flow
Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
Management's Responsibility for the Standalone Financial Statements
The Company's Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act 2013 ("the Act") with respect to
the preparation of these 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 of the assets of the Company and for preventing and
detecting frauds and other irregularities; selection and application of
appropriate accounting policies; making judgments and estimates that
are reasonable and prudent; and design, implementation and maintenance
of adequate internal financial controls, that were operating
effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor's responsibility
Our responsibility is to express an opinion on these standalone
financial statements based on our audit.
We have taken into account the provision of the Act, the accounting and
auditing standards and matters which are required to be included in the
audit report under the provision of the Act and the Rules made
thereunder.
We conducted our audit in accordance with 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 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 auditors
consider internal financial controls relevant to the Company's
preparation of the financial statements that give a true and fair view
in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on
whether the Company has in place an adequate internal financial
controls system over financial reporting and the operating
effectiveness of such controls. An audit also includes evaluating the
appropriateness of the accounting policies used and the reasonableness
of the accounting estimates made by the Company's Directors, as well as
evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion on the standalone
financial statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone financial statements
give the information required by the Act in the manner so required and
give a true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at June 30, 2015, and its profit and its cash flows for the year ended
on that date.
Report on Other Legal and Regulatory Requirements
1. As required by 'the Companies (Auditor's Report) Order, 2015',
issued by the Central Government of India in terms of sub-section (11)
of section 143 of the Act (hereinafter referred to as the "Order"), and
on the basis of such checks of the books and records of the Company as
we considered appropriate and according to the information and
explanations given to us, we give in the Annexure a statement on the
matters specified in paragraphs 3 and 4 of the Order.
2. As required by Section 143 (3) of the Act, we report that:
a. We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit;
b. In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books;
c. The Balance Sheet, the Statement of Profit & Loss , and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of account;
d. In our opinion, the aforesaid financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014;
e. On the basis of the written representations received from the
directors as on June 30,2015 taken on record by the Board of Directors,
none of the directors is disqualified as on June 30, 2015 from being
appointed as a director in terms of Section 164 (2) of the Act;
f. 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:
(i) The Company has disclosed the impact, of pending litigations as at
June 30, 2015 on its financial position in its financial statements as
on that date Refer Note 28 to the standalone financial statements;
(ii) The Company does not have any long term contract including
derivative contracts for which there were any material foreseeable
losses.
(iii) There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company during the year ended June 30, 2015.
Referred to in paragraph 1 under "Report on Other Legal and Regulatory
Requirements" of the Independent Auditors' Report of even date
i. (a) The company is maintaining 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 2 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 have been noticed on such verification.
ii. (a) 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 procedures of physical verification of inventories
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 the inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies noticed on physical verification of inventory as compared
to book records were not material.
iii. The Company has granted unsecured loans to Companies covered in
the register maintained under section 189 of The Companies Act, 2013,
the recovery of principal and interest thereon, wherever stipulated, is
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 purchases of inventory, fixed assets and with regard to the sale of
goods and services. During the course of our audit, we have not
observed any major weakness in such internal control system.
v. According to the information and explanations given to us, the
company has not accepted any deposits from the public within the
meaning of Sections 73 to 76 of the Act and the rules framed there
under. Therefore the provisions of Clause (v) of the paragraph 3 of the
order are not applicable to the company.
vi. In our opinion and according to the information and explanations
given to us, cost records are not required to be maintained by the
Company pursuant to the Companies (Cost Records and Audit) Rules, 2014,
as amended and prescribed by the Central Government under sub-section
(1) of Section 148 of the Companies Act, 2013.
vii. (a) According to the information and explanations given to us and
the records of the Company examined by us, in our opinion, the Company
is regular in depositing with appropriate authorities undisputed
statutory dues including Provident Fund, Investor Education and
Protection Fund, Employees' State Insurance, Income Tax, Sales Tax,
Wealth Tax, duty of custom, duty of excise, Service Tax, value added
tax, Cess and other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of dues as referred in above
Clause were in arrears, as at 30th June, 2015 for a period of more than
six months from the date they became payable.
(c) According to the records of the company, the disputed statutory
dues that have not been deposited on account of disputed matters
pending before appropriate authorities are as under:
Name of Nature of Dues Amount Period to
which the Forum Where Pending
the
Statute (Rs. in
lac) Amount
Relates
Sales Tax VAT including 2.54 2007-2008 Appellate
Authority-
interest Tribunal level
Sales Tax Penalty under 70.80 1993-2000 Joint Commissioner
Section 45(6) Appeals  Mehsana,
of CST Gujarat.
The Central Penalty under
rule 101 2007-2012 Appellate
Authority -
Excise Act, 26 of the
Central up to
Commissioners'/
1944 Excise Rules,
2002 Tribunal level
(d) In our opinion, the amount required to be transferred to investor
education and protection fund in accordance with the relevant
provisions of the Companies Act, 2013 and rules made there under has
been transferred to such fund within time.
viii. The Company has no accumulated losses as at the end of the
financial year and it has not incurred any cash losses in the financial
year ended on that date or in the immediately preceding financial year.
ix. As the Company does not have any borrowings from any financial
institution or bank; nor has it issued any debentures as at the balance
sheet date, the provisions of Clause (ix) of the paragraph 3 of the
Order are not applicable to the Company.
x. In our opinion, and according to the information and explanations
given to us, the Company has not given any guarantee for loans taken by
others from banks or financial institutions during the year.
Accordingly, the provisions of Clause (x) of the paragraph 3 of the
Order are not applicable to the Company.
xi. The Company has not raised any term loans. Accordingly, the
provisions of Clause (xi) of the paragraph 3 of the Order are not
applicable to the Company.
xii. During the course 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 any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For, Shah & Dalal
Chartered Accountants
(Firm Registration no: 109432W)
Malay J. Dalal
Place: Ahmedabad (Partner)
Date: August 13, 2015 Membership No. 36776
Jun 30, 2014
We have audited the accompanying financial statements of Symphony
Limited (''the Company'') which comprise the Balance Sheet as at June 30,
2014, the Statement of Profit and Loss and the Cash Flow Statement for
the year then ended, and a summary of significant accounting policies
and other explanatory information
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 principles generally accepted in India including
Accounting Standards notified under the Companies Act,1956 (the Act)
read with the General Circular 15/2013 dated 13th September, 2013 of
the Ministry of Corporate affairs in respect of section 133 of the
Companies Act, 2013. This responsibility includes the design,
implementation and maintenance of nternal 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
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with 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
I about whether the financial statements are free from material
misstatements.
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 auditors
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances but not for the
purpose of expressing an opinion on the effectiveness of the Company''s
internal control. An audit also includes evaluating the appropriateness
of 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
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at June 30, 2014;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
Report on other legal and regulatory requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 ("the
Order") issued by the Central Government 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
2. As required by section 227(3) of the Act, we report that:
a) We have obtained all the information and explanation, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) The Balance Sheet, Statement of Profit and Loss and Cash Flow
Statement dealt with by this Reportare in agreementwith the books of
account;
d) In our opinion, the Balance Sheet, the Statement of Profit and Loss,
and the Cash Flow Statement comply with the Accounting Standards
notified under the Act read with the General Circular 15/2013 dated
13th September, 2013 of the Ministry of Corporate Affairs in respect of
section 133 of the Companies Act, 2013.
e) On the basis of the written representations received from the
directors, as on June 30, 2014 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
June 30, 2014 from being appointed as a director in terms of clause (g)
of sub-section (1) of section 274 of the Companies Act, 1956.
Annexure to Independent Auditors'' Report (Referred to in paragraph (1)
under the heading "Report on Other Legal and Regulatory Requirements"
of our report of even date)
(I) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of its fixed
assets
(b) As explained to us, Fixed Assets of the Company have been
physically verified by the management at reasonable intervals To the
best of our knowledge, no material discrepancies have been noticed on
such verification
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and as such disposal, in our opinion, has not affected the going
concern status of the Company
(II) (a) As informed to us, the inventory has been physically verified
during the year by the management. In our opinion, the frequency of
verification is reasonable.
(b) In our opinion and according to the nformation and explanations
given to us, the procedures of physical verification of nventories
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 nformation and explanation
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 materia
(III) (a) The Company has given loans to its subsidiaries. In respect
of the said loans, the maximum amount outstanding at any time during
the year was Rs.4,428.96 Lac and the yearend balance is Rs.602.70 Lac. In
our opinion and according to the nformation and explanations given to
us, the rate of interest and other terms and conditions of the loans
given by the Company are not prima facie prejudicial to the interest of
the Company. The principal amounts are repayable over a period of three
to twelve months, while the interest is payable annually at the
discretion of the Company. In respect of the said loans and interest
thereon, there are no overdue amounts.
(b) According to the information and explanations given to us, the
Company has not taken any loans, secured or unsecured from companies,
firms and other parties covered in the register maintained under
section 301 of the Companies Act, 1956. Accordingly, paragraph
4(iii)(f), and (g) of the Order are not applicable.
(iv) In our opinion and according to the nformation 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 purchases of inventory, fixed assets and with regard to the sale of
goods and services During the course of our audit, we have not observed
any continuing failure to correct major weaknesses in internal controls
(v) According to the information and explanations given to us, we are
of the opinion that the particulars of contracts or arrangements
referred to in section 301 of the Companies Act, 1956 that need to be
entered into the register maintained under section 301 have been so
entered and that the transactions made in pursuance of such contracts
or arrangements exceeding value of Rupees five Lac have been entered
into during the financial year at prices which are reasonable having
regard to the prevailing market prices at the relevant time.
(vi) According to the information and explanations given to us, the
Company has not accepted any deposits from the public within the
meaning of Sections 58A and 58AA of the Companies Act, 1956 and the
rules framed there under. Therefore the provisions of Clause (vi) of
the paragraph 4 of the Orderare not applicable to the Company.
(vii) In our opinion, the Company has an interna audit system
commensurate with the size and nature of its business.
(viii) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209(1 )(d) of the
Act and are of the opinion that, prima facie, the prescribed cost
records have been maintained. We have, however, not made a detailed
examination of the records with a view to determine whether they are
accurate or complete.
(ix) (a) According to the records of the Company, the Company is
regular in depositing with appropriate authorities undisputed statutory
dues including Provident Fund, nvestor Education and Protection Fund,
Employees'' State Insurance, Income Tax, Sales Tax, Wealth Tax, Custom
Duty, Excise Duty, Service Tax, Cess and other material statutory dues
applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of dues as referred in above
Clause were in arrears, as at 30th June, 2014 for a period of more than
six months from the date they became payable.
(c) According to the records of the Company, the disputed statutory
dues that have not been deposited on account of disputed matters
pending before appropriate authorities are as under:
Name of the
Statute Nature of Dues Amount Period To Which
(Rs. in Lac) The Amount
Relates
VAT Laws VAT 0.86 2011-13
Income Tax
Act, 1961 Income tax 37.95 2009-10
Central
Excise Act,
1944 Penalty under
rule 132.1 2007to2012
26 of the Central
Excise Rules, 2002
Name of the Statue Forum Where
Pending
VAT Laws Appellate Authority-
Tribunal level
Income Tax Act, 1961 Appellate Authority- up
to Commissioner
Central Excise Act, 1944 Appellate Authority -
up to Commissioners''/
Tribunal level
(x) The Company does not have accumulated losses as at 30th June, 2014.
The Company has not incurred cash losses during the financial year
covered by the audit and in the mmediately preceding financial year
(xi) Based on our audit procedures and according to the information and
explanations given to us, the Company has not defaulted in repayment of
dues to banks. In our opinion and according to the information and
explanations given to us, the Company did not have any outstanding dues
to any financial nstitution or debenture holders during the year
(xii) In our opinion and according to the nformation and explanations
given to us, no loans and advances have been granted by the Company on
the basis of security by way of pledge of shares, debentures and other
securities
(xiii) In our opinion and according to the nformation and explanations
given to us, the provisions of any special statute applicable to chit
fund / nidhi / mutual benefit fund / societies are not applicable to
the Company Therefore, the provisions of clause 4(xiii)of the Order are
not applicable to the Company
(xiv) In our opinion and according to the nformation and explanations
given to us, the Company is not a dealer or trader in shares,
securities, debentures and other investments Accordingly, the
provisions of clause 4(xiii) of the Order are not applicable to the
Company
(xv) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from
Banks or Financial Institutions during the year
(xvi) According to the information and explanations given to us, the
Company has not obtained any term loans.
(xvii)According to the Cash Flow Statement and other records examined
and as per the nformation and explanations given to us, on an overall
basis, funds raised on short term basis have, prima facie not been used
during the year for long term investment.
(xviii) During the year, the Company has not made any preferential
allotment of shares to parties and companies covered in the register
maintained under Section 301 of the Companies Act, 1956
(xix) According to the information and explanations given to us, the
Company has not issued any debentures during the year.
(xx) The Company has not raised monies by Public Issue during the year.
Hence the question of disclosure and verification of end use of such
monies does notarise.
(xxi) During the course 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 any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been nformed of such case by the management.
For, Shah & Dalai
Chartered Accountants
(Firm Registration no: 109432W)
Malay J. Dalai
Place: Ahmedabad Partner
Date : July 31, 2014 Membership No: 36776
Jun 30, 2013
Report on the financial statements We have audited the accompanying
financial statements of Symphony Limited (''the Company'') which comprise
the balance sheet as at June 30,2013, 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.
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
accounting principles generally accepted in India, including the
Accounting Standards referred to in sub-section (3C) of section 211 of
the Companies Act, 1956 (Âthe 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.
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 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 auditors
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.
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 June 30, 2013;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
Report on other legal and regulatory requirements
1. As required by the Companies (Auditor''s Report) Order, 2003 as
amended("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.
2. As required by section 227(3) of the Act, we report that:
a) We have obtained all the information and explanation, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books;
c) 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;
d) In our opinion, the Balance Sheet, Statement of Profit and Loss and
Cash Flow comply with the accounting standards referred to in sub-
section (3C) of section 211 of the Companies Act, 1956
e) On the basis of the written representations received from the
directors, as on June 30, 2013 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
June 30, 2013 from being appointed as a director in terms of clause (g)
of sub-section (1) of section 274 of the Companies Act, 1956.
(i) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of its fixed
assets.
(b) As explained to us, Fixed Assets of the Company have been
physically verified by the management at reasonable intervals. To the
best of our knowledge, no material discrepancies have been noticed on
such verification.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and as such disposal, in our opinion, has not affected the going
concern status of the company.
(ii) (a) As informed to us, the inventory has been physically verified
during the year by the management. In our opinion, the frequency of
verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management 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 explanation
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.
(iii) (a) The company has given loans to its subsidiaries. In respect
of the said loans, the maximum amount outstanding at any time during
the year was Rs.1827.24 lacs and the yearend balance is Rs.1105.76 lacs. In
our opinion and according to the information and explanations given to
us, the rate of interest and other terms and conditions of the loans
given by the company are not prima facie prejudicial to the interest of
the company. The principal amounts are repayable over a period of three
to twelve months, while the interest is payable annually at the
discretion of the company. In respect of the said loans and interest
thereon, there are no overdue amounts.
(b) According to the information and explanations given to us, the
company has not taken any loans, secured or unsecured from companies,
firms and other parties covered in the register maintained under
section 301 of the Companies Act, 1956. Accordingly, paragraph
4(iii)(f), (g) and (h) of the Companies (AuditorRs.s Report)
Order,2003(as amended) are not applicable.
(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 purchases of inventory, fixed assets and with regard to the sale of
goods and services. During the course of our audit, we have not
observed any continuing failure to correct major weaknesses in internal
controls
(v) According to the information and explanations given to us, we are
of the opinion that the particulars of contracts or arrangements
referred to in section 301 of the Companies Act,1956 that need to be
entered into the register maintained under section 301 have been so
entered and that the transactions made in pursuance of such contracts
or arrangements exceeding value of Rupees five lakhs have been entered
into during the financial year at prices which are reasonable having
regard to the prevailing market prices at the relevant time.
(vi) According to the information and explanations given to us, the
company has not accepted any deposits from the public within the
meaning of Sections 58A and 58AA of the Act and the rules framed there
under.Therefore the provisions of Clause (vi) of the paragrah 4 of the
orderare not applicable to the company.
(vii) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
(viii) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209(1)(d) of the Act
and are of the opinion that, prima facie, the prescribed cost records
have been maintained. We have, however, not made a detailed examination
of the records with a view to determine whether they are accurate or
complete.
(ix) (a) According to the records of the company,the company is regular
in depositing with appropriate authorities undisputed statutory dues
including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income Tax, Sales Tax, Wealth Tax, Custom
Duty, Excise Duty, Service Tax, Cess and other material statutory dues
applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of dues as referred in above
Clause were in arrears, as at 30th June, 2013 for a period of more than
six months from the date they became payable
(x) TheCompany does not have accumulated losses as at 30thJune,2013.
The company has not incurred cash losses during the financial year
covered by the audit and in the immediately preceding financial year.
(xi) Based on our audit procedures and according to the information and
explanations given to us, we are of the opinion that the Company has
not defaulted in repayment of dues to financial institutions, banks and
debenture holders.
(xii) In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the company on
the basis of security by way of pledge of shares, debentures and other
securities.
(xiii) In our opinion and according to the information and explanations
given to us, the provisions of any special statute applicable to chit
fund / nidhi / mutual benefit fund / societies are not applicable to
the company. Therefore,the provisions of clause 4(xiii)of the
Companies(auditorRs.s Report) Order,2003 (as amended) are not applicable.
(xiv) In our opinion and according to the information and explanations
given to us, the company is not a dealer or trader in shares,
securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiii)of the Companies(auditorRs.s Report)
Order,2003 (as amended) are not applicable.
(xv) According to the information and explanations given to us, the
company has not given any guarantee for loans taken by others from
Banks or Financial Institutions during the year.
(xvi) According to the information and explanations given to us, the
company has not obtained any term loans.
(xvii) According to the Cash Flow Statement and other records examined
and as per the information and explanations given to us, on an overall
basis, funds raised on short term basis have, prima facie not been used
during the year for long term investment.
( x v i i i ) During the year, the company has not made any
preferential allotment of shares to parties and companies covered in
the register maintained under Section 301 of the companies Act,1956.
(xix) According to the information and explanations given to us, the
company has not issued any debentures during the year.
(xx) The Company has not raised monies by Public Issue during the year.
Hence the question of disclosure and verification of end use of such
monies does not arise.
(xxi) During the course 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 any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For, Shah &Dalal
(Firm Registration no: 109432W)
Chartered Accountants
Malay J. Dalal
Partner
Place: Ahmedabad Membership
Date: August 05, 2013 Number - 36776
Jun 30, 2012
1) We have audited the attached Balance sheet of SYMPHONY LIMITED ("the
Company") as at 30th June, 2012, the Statement of Profit & Loss and the
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 ar opinion on these
financial statements based on our audit.
2) We conducted our audit in accordance with the auditing standards
generally accepted in India. These standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. 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 (Auditors' Report) Order, 2003 as
amended issued by the Central Government of India in terms of sub-
section (4A) of Section 227 of 'The Companies Act, 1956' and on the
basis of such checks of the books and records of the company as we
considered appropriate and according to the information and
explanations given to us, we enclose in the annexure a statement on the
matters specified in paragraphs 4 & 5 of the said order
4) Further to our comments in the Annexure referred to in paragraph (3)
above, we report that:
a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
b) 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;
c) 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;
d) In our opinion, the Balance sheet, Statement of Profit and Loss
Accounts and Cash Flow Statement dealt with by this report comply with
accounting standards referred to in sub- section (3C) of Section 211 of
the Companies Act, 1956;
e) On the basis of written representations received from the directors
as on 30th June,2012 and taken on records by the Board of Directors, we
report that none of the directors is disqualified as on 30th June, 2012
from being appointed as a director in terms of clause (g) of
sub-section (1) of section 274 of the Companies Act, 1956;
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
significant accounting policies and notes thereon gives the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India:.
i) In the case of the Balance Sheet, of the state of affairs of the
company as at 30th June, 2012.
ii) In the case of the Statement of Profit & Loss , of the Profit of
the company for the year ended on that date.
iii) In the case of Cash Flow Statement, of the cash flows of the
company for the year ended on that date.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph (3) of our report of even date on the
accounts of Symphony Limited for the year ended on June 30, 2012)
(I) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) As explained to us, as per the phased program designed by the
Company, a portion of the Fixed Assets of the Company has been
physically verified by the management. In our opinion, frequency of
verification is reasonable. To the best of our knowledge, no material
discrepancies have been noticed on such verification.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and as such disposal, in our opinion, has not affected the going
concern status of the company.
(II) (a) As informed to us, the inventory has been physically verified
during the year by the management. In our opinion, the frequency of
verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management 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 explanation
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
(III) (a) According to the information and explanations given to us,
the company has not granted any loans, secured or unsecured to
companies, firms and other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Accordingly, paragraph
4(iii)(b), (c) and (d) of the Companies (Auditor's Report) Order, 2003
(as amended) are not applicable.
(b) According to the information and explanations given to us, the
company has not taken any loans, secured or unsecured from companies,
firms and other parties covered in the register maintained under
section 301 of the Companies Act, 1956. Accordingly, paragraph
4(iii)(f), (g) and (h) of the Companies (Auditor's Report) Order, 2003
(as amended) are not applicable.
(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 purchases of inventory, fixed assets and with regard to the sale of
goods and services. During the course of our audit, we have not
observed any continuing failure to correct major weaknesses in internal
controls
(v) According to the information and explanations given to us, we are
of the opinion that the particulars of contracts or arrangements
referred to in section 301 of the Companies Act, 1956 that need to be
entered into the register maintained under section 301 have been so
entered and that the transactions made in pursuance of such contracts
or arrangements exceeding value of Rupees five lakhs have been entered
into during the financial year at prices which are reasonable having
regard to the prevailing market prices at the relevant time.
(vi) According to the information and explanations given to us, the
company has not accepted any deposits from the public within the
meaning of Sections 58A and 58AA of the Act and the rules framed there
under.
(vii) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business
(viii) The Central Government has not prescribed the maintenance of
cost records in respect of the Company under section 209 (1) (d) of the
Companies Act, 1956.
(ix) (a) The company is regular in depositing with appropriate
authorities undisputed statutory dues including Provident Fund,
Investor Education and Protection Fund, Employees State Insurance,
Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty, Service
Tax, Cess and other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of dues as referred in above
Clause were in arrears, as at 30th June, 2012 for a period of more than
six months from the date they became payable
(c) According to the records of the company, the disputed statutory
dues that have not been deposited on account of disputed matters
pending before appropriate authorities are as under:
Name of Nature of Dues Amount
the Statute (Rs. in Lacs)
VAT Act, Gujarat Penalty 1.00
Central Sales Central Sales Tax 2,246.57
Tax Act, 1956
Income Tax Income tax and 78.15
Act, 1961 penalty
Central Excise Penalty u/s 26 of 356.50
Act, 1944 Central Excise Rules
Name of the Statute Period to Forum where pending
which the Amount
Relates
VAT Act, Gujarat F Y 06-07 DC, Commercial Tax,
Gandhinagar
Central Sales Tax
Act, 1956 F Y 93-94 to Guj. VAT Tribunal,
95-96, 97-98, 99-00 Ahmedabad
Income Tax Act, 1961 F Y 2008-09 Joint Comm. Of IT Circle
-8, Ahmedabad
Central Excise Act, 1944 F Y 2007-08 to
2009-10 Central Excise & Service
Tax Appellate Tribunal
x) The Company does not have accumulated losses as at 30th june, 2012.
The company has not incurred cash losses during the financial year
covered by the audit and in the immediately preceding financial year.
xi) On the basis of the records examined by us and on the basis of
information and explanations given to us, the Company has not taken any
loans from banks or financial institution.
xii) In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the company on
the basis of security by way of pledge of shares, debentures and other
securities.
xiii) In our opinion and according to the information and explanations
given to us, the provisions of any special statute applicable to chit
fund / nidhi / mutual benefit fund / societies are not applicable to
the company. Therefore, the provisions of clause 4(xiii)of the
Companies (auditor's Report) Order, 2003 (as amended) are not
applicable.
xiv) In our opinion and according to the information and explanations
given to us, the company is not a dealer or trader in shares,
securities, debentures and other investments. Accordingly, the
provisions of clause 4 (xiii)of the Companies (auditor's Report) Order,
2003 (as amended) are not applicable.
xv) According to the information and explanations given to us, the
company has not given any guarantee for loans taken by others from
Banks or Financial Institutions during the year.
xvi) According to the information and explanations given to us, the
company has not obtained any term loans.
xvii) According to the Cash Flow Statement and other records examined
and as per the information and explanations given to us, on an overall
basis, funds raised on short term basis have, prima facie not been used
during the year for long term investment.
xviii) During the year, the company has not made any preferential
allotment of shares to parties and companies covered in the register
maintained under Section 301 of the companies Act, 1956.
xix) According to the information and explanations given to us, the
company has not issued any debentures during the year.
xx) The Company has not raised monies by Public Issue during the year.
Hence the question of disclosure and verification of end use of such
monies does not arise.
xxi) During the course 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 any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For, Shah & Dalal
Firm Registration No : 109432W
Chartered Accountants
Malay J. Dalal
Partner
Place : Ahmedabad Membership
Date : July 31 , 2012 Number - 36776
Jun 30, 2010
We have audited the attached Balance sheet of SYMPHONY LIMITED as at
30th June, 2010, Profit & Loss Account and the Cash Flow Statement 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.
We conducted our audit in accordance with auditing standards generally
accepted in India. These standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. 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 the 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.
In accordance with the provisions of Section 227 of the Companies Act
1956, we report that (l)As required by the Companies (Auditors Report)
Order, 2003(CARO), issued by the Central Government of India under sub
section (4A) of Section 227 of the Companies Act, 1956 and on the basis
of such checks of the books and records of the company as we considered
appropriate and according to the information and explanations given to
us, we enclose in the annexure a statement on the matters specified in
paragraphs 4 & 5 of the said order.
(2) Further to our comments in the Annexure referred to in paragraph
(1) above, we report that:
(a) We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
(b) 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;
(c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
(d) In our opinion, the Balance sheet, Profit and Loss Accounts and
Cash Flow Statement dealt with by this report comply with accounting
standards referred to in sub-section (3C) of Section 211 of the
Companies Act, 1956;
(e) On the basis of written representations received from the directors
and taken on records by the Board of Directors, We report that none of
the directors is disqualified as on 30th June, 2010 from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956;
(f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
significant accounting policies and notes thereon gives the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India:
(i) In the case of the Balance Sheet, of the state of affairs of the
company as at 30th June, 2010.
(ii) In the case of the Profit & Loss Account, of the Profit of the
company for the year ended on that date.
(iii) In the case of Cash Flow Statement, of the cash flows of the
company for the year ended on that date.
ANNEXURE TO THE AUDITORS REPORT (Referred to in paragraph (3) of our
report of even date on the accounts of Symphony Limited for the year
ended on June 30, 2010)
(I) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets
(b) As explained to us, as per the phased program designed by the
Company, a portion of the Fixed Assets of the Company have been
physically verified by the management. In our opinion, frequency of
verification is reasonable. To the best of our knowledge, no material
discrepancies have been noticed on such verification.
(c) The fixed assets disposed off during the year.in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the company.
(II) (a) As informed to us, the inventory has been physically verified
during the year by the management. In our opinion, the frequency of
verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management 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 explanation
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.
(III) (a) According to the information and explanations given to us,
the company has not granted any loans, secured or unsecured to
companies, firms and other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Accordingly, paragraph
4(iii)(b), (c) and (d) of the order are not applicable.
(b) According to the information and explanations given to us, the
company has not taken any loans, secured or unsecured from companies,
firms and other parties covered in the register maintained under
section 301 of the Companies Act, 1956. Accordingly, paragraph
4(iii)(f), (g) and (h) of the order are not applicable.
(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 purchases of inventory, fixed assets and with regard to the sale of
goods and services. During the course of our audit, we have not
observed any continuing failure to correct major weaknesses in internal
controls.
(V) According to the information and explanations given to us and to
the best of our knowledge and belief, there are no transactions that
need to be entered into the register maintained under section 301 of
the Companies Act, 1956. Consequently, requirement of clause (v) (b) of
paragraph 4 of the order is not applicable.
(VI) According to the information and explanations given to us, the
company has not accepted any deposits from the public. Therefore
provisions of Clause (vi) of paragraph 4 of the order are not
applicable to the company.
(VII) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
(VIII)The Central Government has not prescribed the maintenance of cost
records in respect of the Company under section 209 (1) (d) of the
Companies Act, 1956.
(IX) (a) The company is regular in depositing with appropriate
authorities undisputed statutory dues including Provident Fund,
Investor Education and Protection Fund, Employees State Insurance,
Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty, Service
Tax, Cess and other material statutory dues applicable to it.
(b) According to the information and explanations given i to us, no
undisputed amounts payable in respect of dues as referred in above
Clause were in arrears, as at 30th June, 2010 for a period of more than
six months from the date they became payable.
(c) The disputed statutory dues that have not been deposited on account
of disputed matters pending before appropriate authorities are as
under:
NAME OF THE STATUTE NATURE OF DUES AMOUNT FORUM WHERE DISPUTE IS
(X) The Company does not have accumulated losses at the end of the
financial year. The company has not incurred cash losses during the
financial year covered by the audit and in the immediately preceding
financial year.
(XI) On the basis of the records examined by us and on the basis of
information and explanations given to us, the Company has not defaulted
in the repayment of dues to the banks.
(XII) In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the company on
the basis of security by way of pledge of shares, debentures and other
securities.
(XIII) In our opinion and according to the information and explanations
given to us, the provisions of any special statute applicable to chit
fund / nidhi / mutual benefit fund/ societies are not applicable to the
company.
(XIV) In our opinion and according to the information and explanations
given to us, the company is not a dealer or trader in securities.
(XV) According to the information and explanations given to us, the
company has not given any guarantee for loans taken by others from
Banks or Financial Institutions during the year.
(XVI) According to the information and explanations given to us, the
company has not obtained any term loans.
(XVII) According to the Cash Flow Statement and other records examined
and as per the information and explanations given to us, on an overall
basis, funds raised on short term basis have, prima facie not been used
during the year for long term investment.
(XVIII) During the year, the company has not made any preferential
allotment of shares to parties and companies covered in the register
maintained under Section 301 of the companies Act, 1956.
(XIX) According to the information and explanations given to us, the
company has not issued any debentures during the year.
(XX) The Company has not raised monies by Public Issue during the year.
Hence the question of disclosure and verification of end use of such
monies does not arise.
(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 course of our audit.
For, Shah & Dalai
Firm Registration No.: 109432W
Chartered Accountants
Malay J. Dalai
Place : Ahmedabad Partner
Date : 27th August, 2010 Membership No.: 36776
Jun 30, 2009
We have audited the attached Balance sheet of SYMPHONY COMFORT SYSTEMS
LIMITED as at 30th June, 2009, Profit & Loss Account and the Cash Flow
Statement 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.
We conducted our audit in accordance with auditing standards generally
accepted in India. These standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. 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 statements
presentation. We believe that our audit provides a reasonable basis for
our opinion.
In accordance with the provisions of Section 227 of the Companies Act
1956, we report that
(1) As required by the Companies (Auditors Report) Order, 2003, issued
by the Central Government of India under sub section (4A) of Section
227 of the Companies Act, 1956 and on the basis of such checks of the
books and records of the company as we considered appropriate and
according to the information and explanations given to us, we enclose
in the annexure a statement on the matters specified in paragraphs 4 &
5 of the said order.
(2) Further to our comments in the Annexure referred to in paragraph
(1) above, we report that:
a) We have obtained atl the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
b) 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;
c) The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d) In our opinion, the Balance sheet, Profit and Loss Accounts and Cash
Flow Statement dealt with by this report comply with accounting
standards referred to in sub-section (3C) of Section 211 of the
Companies Act, 1956;
e) On the basis of written representations received from the directors
and taken on records by the Board of Directors, We report that none of
the directors is disqualified as on 30th June, 2009 from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956;
f) In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
significant accounting policies and notes thereon gives the information
required by the Companies Act, 1956 in the manner so required and give
a true and fair view.
(i) In the case of the Balance Sheet, of the state of affairs of the
company as at 30,h June, 2009.
(ii) In the case of the Profit & Loss Account, of the profit for the
year ended on that date.
(iii) In the case of Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph (3) of our report of even date on the
accounts of Symphony Comfort Systems Limited for the year ended on June
30,2009)
(I) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets
(b) As explained to-us, as per the phased programme designed by the
Company, a portion of the Fixed Assets of the Company have been
physically verified by the management. In our opinion, frequency of
verification is reasonable. To the best of our knowledge, no material
discrepancies have been noticed on verification.
(c) During the year, the company has not disposed off any substantial/
major part of the Fixed Assets.
(II) (a) As informed to us, the inventory has been physically verified
during the year by the management. In our opinion, the frequency of
verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management 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 explanation
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
(III) (a) According to the information and explanations given to us,
the company has not granted any loans, secured or unsecured to
companies, firms and other parties covered in the register maintained
under section 301 of the Companies Act,1956. Accordingly, paragraph
4(iii)(b),
(b) According to the information and explanations given to us, the
company has not taken any loans, secured or unsecured from companies,
firms and other parties covered in the register maintained under
section 301 of the Companies Act, 1956. Accordingly, paragraph
4(iii)(f), (g) and (h) of the order are not applicable.
(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 purchases of inventory, fixed assets and with regard to the sale of
goods and services. During the course of our audit, we have not
observed any continuing failure to correct major weaknesses in internal
controls
(V) According to the information and explanations given to us and to
the best of our knowledge and belief, there are no transactions that
need to be entered into the register maintained under section 301 of
the Companies Act, 1956. Consequently, requirement of clause (v) (b)
of paragraph 4 of the order is not applicable.
(VI) According to the information and explanations given to us, the
company has not accepted any deposits from the public. Therefore
provisions of Clause (vi) of paragraph 4 of the order are not
applicable to the company.
(VII) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business
(VIII) The Central Government has not prescribed the maintenance of
cost records in respect of the Company under section 209 (1) (d) of the
Companies Act, 1956.
(IX) (a) The company is regular in depositing with appropriate
authorities undisputed statutory dues including Provident Fund,
Investor Education and Protection Fund, Employees State Insurance,
Income Tax, Sales Tax, Wealth Tax, Custom Duty, Excise Duty, Service
Tax, Cess and other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of dues as referred in above
Clause were in arrears, as at 30,h June, 2009 for a period of more than
six months from the date they became payable
(c) The disputed statutory dues that have not been deposited on account
of disputed matters pending before appropriate authorities are as
under:
NAME OF THE
STATUTE NATURE OF DUES AMOUNT FORUM WHERE PENDING
(RS. IN LACS)
SALES TAX ACT LOCAL SALES TAX 23.43 DY.COMMISSIONER (APPEALS) /
UNDER VARIOUS SALES TAX APPELLATE
ENACTMENTS TRIBUNAL
(X) In Company does not have accumulated losses at the end of the
financial year. The company has not incurred cash losses during the
financial year covered by the audit and in the immediately preceding
financial year.
(XI) On the basis of the records examined by us and on the basis of
information and explanations given to us, the Company has not defaulted
in the repayment of dues to the banks.
(XII) In our opinion and according to the information and explanations
given to us, no loans and advances have been granted by the company on
the basis of security by way of pledge of shares, debentures and other
securities.
(XII) In our opinion and according to the information and explanations
given to us, the provisions of any special statute applicable to chit
fund / nidhi / mutual benefit fund / societies are not applicable to
the company.
(XIII) In our opinion and according to the information and explanations
given to us, the company is not a dealer or trader in securities.
(XIV) According to the information and explanations given to us, the
company has not given any guarantee for loans taken by others from
Banks orfinancial institutions during the year.
(XV) According to the information and explanations given to us, the
company has not obtained any term loans.
(XVI) According to the Cash Flow Statement and other records examined
and as per the information and explanations given to us, on an overall
basis, funds raised on short term basis have, prima facie not been used
during the year for long term investment.
(XV) During the year, the company has not made any preferential
allotment of shares to parties and companies covered in the register
maintained under Section 301 of the companies Act, 1956.
(XVII) According to the information and explanations given to us, the
company has not issued any debentures during the year.
(XVIII) The Company has not raised monies by Public Issue during the
year. Hence the question of disclosure and verification of end use of
such monies does not arise.
(XIX) 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 course of our audit.
For Shah & Dalai
Chartered Accountants
Place : Ahmedabad Malay J. Dalai
Dated : 30th September, 2009 Partner
Membership Number - 36776