Mar 31, 2023
INDEPENDENT AUDITORâS REPORT
TO THE MEMBERS OF WHIRLPOOL OF INDIA LIMITED
REPORT ON THE AUDIT OF THE STANDALONE FINANCIAL STATEMENTS
Opinion
We have audited the accompanying standalone financial statements of Whirlpool of India Limited ("the Company"),
which comprise the Balance sheet as at March 31 2023, the Statement of Profit and Loss, including the statement
of Other Comprehensive Income, the Cash Flow Statement and the Statement of Changes in Equity for the year
then ended, and notes to the standalone financial statements, including 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, as amended ("the
Act") in the manner so required and give a true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as at March 31, 2023, its profit including other
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
(SAs), as specified under section 143(10) of the Act. Our responsibilities under those Standards are further
described in the ''Auditor''s Responsibilities 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 together with the ethical requirements that are relevant to our audit of the
financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other
ethical responsibilities in accordance with these requirements and the Code of Ethics. 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.
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 for the financial year ended March 31,2023. 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. For each matter below, our description of how our
audit addressed the matter is provided in that context.
We have determined the matters described below to be the key audit matters to be communicated in our
report. We have fulfilled the responsibilities described in the Auditor''s responsibilities for the audit of the
standalone financial statements section of our report, including in relation to these matters. Accordingly, our
audit included the performance of procedures designed to respond to our assessment of the risks of material
misstatement of the standalone financial statements. The results of our audit procedures, including the
procedures performed to address the matters below, provide the basis for our audit opinion on the accompanying
standalone financial statements.
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 Annual report but does not include the 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 such other information is materially inconsistent with the financial
statements or our knowledge obtained in the 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 Those charged 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 accounting principles generally accepted in India, including the Indian Accounting
Standards (Ind AS) specified under section 133 of the Act read with the Companies (Indian Accounting Standards)
Rules, 2015, as amended. 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 the design, implementation and maintenance
of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness
of the accounting records, relevant to the preparation and presentation of the standalone financial statements
that give a true and fair view and are free from material misstatement, whether due to fraud or error.
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 and those charged with Governance are also responsible for overseeing the Company''s
financial reporting process.
Auditor''s Responsibilities 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 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 with reference to 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 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 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.
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 for the financial year ended March 31,
2023 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.
The financial statements of the Company for the year ended March 31, 2022, included in these standalone
financial statements, have been audited by the predecessor auditor who expressed an unmodified opinion on
those statements on May 25, 2022.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2020 ("the Order"), issued by the Central Government
of India in terms of sub-section (11) of section 143 of the Act, we give in the "Annexure 1" 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. The Company has commenced taking daily backups in
India with effect from November 11,2022 as more fully discussed in Note 47 of the standalone financial
statements.
(c) The Balance Sheet, the Statement of Profit and Loss including the Statement of Other Comprehensive
Income, the Cash Flow Statement 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 Accounting Standards
specified under Section 133 of the Act, read with Companies (Indian Accounting Standards) Rules, 2015,
as amended;
(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 these standalone financial
statements and the operating effectiveness of such controls, refer to our separate Report in "Annexure
2" to this report;
(g) In our opinion, the managerial remuneration for the year ended March 31,2023 has been paid / provided
by the Company to its directors in accordance with the provisions of section 197 read with Schedule V to
the Act;
(h) The observation relating to maintenance of accounts and other matters connected therewith are as
stated in the paragraph (b) above.
(i) 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 34 to the standalone financial statements;
ii. The Company did not have any long-term contracts including derivative contracts for which there
were any material foreseeable losses;
iii. There were no amounts which were 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 its knowledge and belief, 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, whether, 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 its knowledge and belief, 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,
whether, 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; and
c) Based on such 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 (a) and (b) contain any material misstatement.
v. The final dividend paid by the Company during the year in respect of the same declared for the
previous year is in accordance with section 123 of the Act to the extent it applies to payment of
dividend.
vi. As proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 is applicable for the Company only
w.e.f. April 1, 2023, reporting under this clause is not applicable.
Chartered Accountants
ICAI Firm Registration Number: 301003E/E300005
Partner
Membership Number: 095619
UDIN: 230951 69BGXZYX4852
Place of Signature : Gurugram
Date : May 17, 2023
Mar 31, 2022
REPORT ON THE AUDIT OF THE STANDALONE FINANCIAL STATEMENTS Opinion
We have audited the standalone financial statements of Whirlpool of India Limited ("the Company"), which comprise the Balance Sheet as at March 31,2022, and the Statement of Profit and Loss, Statement of Changes in Equity and Statement of Cash Flows for the year then ended, and notes to the standalone financial statements, including a summary of significant accounting policies and other explanatory information (hereinafter referred to as "standalone financial statements").
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 Companies (Indian Accounting Standards) Rules, 2015 as amended and other accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2022, and profit, changes in equity and its cash flows for the year ended on that date.
Basis for Opinion
We conducted our audit 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 Responsibilities 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 thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
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 for the year ended March 31, 2022. 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.
Description of Key Audit Matter
Measurement of provisions and evaluation of contingent liabilities for uncertain tax positions (Direct Tax and Indirect Tax)
Refer Note 34 to the Standalone Financial Statement
The Company has significant transactions with group companies located outside India and hence are subject to transfer pricing regulations as per Income-Tax Act, 1961 in India. Certain transactions with group companies and various tax positions taken by the Company are challenged by the relevant jurisdictional tax authorities. Further, certain sales and service tax, custom duty positions relating to reporting of taxable turnover, tax rates applicable, non-collection of statutory forms, etc. are challenged by relevant jurisdictional tax authorities.
Management has applied judgement and evaluated the exposure to each litigation/assessment status and thus risk that such case may not be adequately provided for or disclosed as required under ''Ind AS 37 - Provisions, Contingent Liabilities, and Contingent Assets''.
We have determined this matter to be key audit matter due to the significance of the amounts and judgements involved.
Our audit procedure in respect of this area included the following, among others:
⢠Gained an understanding of the process of identification of claims, litigations and contingent liabilities and identified key controls in the process. For selected controls we have performed tests of controls.
⢠Obtained the summary of ongoing direct and indirect tax cases, management''s position through discussion with management of the possible outcome of such cases and provisions provided in the standalone financial statements.
⢠Verified the completeness of the ongoing direct and indirect tax cases by corroborating previous year with list of tax cases, tax litigation status and other underlying documents.
⢠Engaged tax specialists to technically appraise the tax positions taken by management with respect to direct and indirect tax issues (as considered necessary).
⢠Assessed litigations on income taxes in terms of recognition and measurement criteria mentioned in Appendix C, Uncertainty over Income Tax Treatments, to Ind AS 12-Income Taxes.
⢠Assessed the disclosures made in the standalone financial statements to address whether they appropriately reflect the facts and circumstances of the respective tax litigations exposure and the requirements of relevant accounting standards.
Information Other than the Standalone 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 report etc but does not include the 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 in the 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, changes in equity 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. 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 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, the Board of Directors 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.
Those Board of Directors are also responsible for overseeing the Company''s financial reporting process.
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.
We give in "Annexure A" a detailed description of Auditor''s responsibilities for Audit of the Standalone Financial Statements.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2020 ("the Order"), issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in "Annexure B" a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
2. As required by Section 143(3) of the Act, we report that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss, the Statement of Changes in Equity and the Statement of Cash Flow dealt with by this Report are in agreement with the books of account.
(d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
(e) On the basis of the written representations received from the directors as on March 31,2022 taken on record by the Board of Directors, none of the directors are disqualified as on March 31, 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 with reference to standalone financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure C".
(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 standalone financial statements - Refer Note 34 to the standalone financial statements;
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
iv.
(1) The Management has represented that, to the best of it''s knowledge and belief, 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/ entity, including foreign entities (''Intermediaries''), with the understanding, whether recorded in writing or otherwise, that the Intermediary has, whether 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;
(2) The Management has represented that, to the best of it''s knowledge and belief, no funds have been received by the Company from any person/ entity, including foreign entities, that the company has 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;
(3) Based on our audit procedures which we have considered reasonable and appropriate in the circumstances and according to the information and explanations provided to us by the Management in this regard, nothing has come to our notice that has caused us to believe that the representations made by the Management under sub-clause (i) and (ii) contain any material misstatement.
v. The Company has declared and paid dividend during the year which is in compliance with section 123 of the Act.
3. As required by The Companies (Amendment) Act, 2017, in our opinion, according to information, explanations given to us, the remuneration paid by the Company to its directors is within the limits laid prescribed under Section 197 of the Act and the rules thereunder.
Chartered Accountants
ICAI Firm Registration No. 105047W
Partner
Membership No. 216706
UDIN: 22216706AJNYHU8666
Place : Gurugram
Date : May 25, 2022
Mar 31, 2021
Opinion
We have audited the standalone financial statements of Whirlpool of India Limited ("the Company"), which comprise the Balance Sheet as at March 31,2021, and the Statement of Profit and Loss, Statement of Changes in Equity and Statement of Cash Flows for the year then ended, and notes to the standalone financial statements, including a summary of significant accounting policies and other explanatory information (hereinafter referred to as "standalone financial statements").
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 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 31,2021, and profit, changes in equity and its cash flows for the year ended on that date.
Basis for Opinion
We conducted our audit 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 Responsibilities 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 thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Emphasis of Matter
We draw attention to Note 43 to the standalone financial statements which states that the management has made an assessment of the impact of COVID-19 on the Company''s operations, financial performance and position as at and for the year ended March 31,2021 and has concluded that there is no impact which is required to be recognised in the financial statements. Accordingly, no adjustments have been made to the financial statements.
Our opinion is not modified in respect of this matter.
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.
Description of Key Audit Matter
Evaluation of uncertain tax positions (Direct Tax and Indirect Tax)
The Company has transactions with related parties in other countries and hence is subject to transfer pricing regulations as specified under Income-Tax Act, 1961 in India. Certain transactions with related parties and various tax positions taken by the Company are challenged by the relevant tax authorities. Further certain tax positions relating to reporting of taxable turnover, selection of tax rates, non-collection of statutory forms, etc. in indirect tax are challenged by relevant tax authorities.
Management has assessed the Litigations/ Assessments status and has applied judgement in classifying/ taking appropriate actions as required under ''Ind AS 37 - Provisions, Contingent Liabilities, and Contingent Assets''.
We have determined this matter to be key audit matter due to the significance of the amounts and judgements involved.
Description of Auditor''s Response
Our audit procedure in respect of this area included:
⢠Analysed the list of ongoing litigations, Management''s assessment of the possible outcome of the case and related accounting in the standalone financial statements.
⢠Verified the completeness of the information by corroborating prior year work papers and changes, if any, to tax litigations status with the underlying documents.
⢠Auditor''s expert was involved to reassess Management''s assessment of the possible outcome.
⢠Litigations on income taxes was assessed in terms of recognition and measurement criteria mentioned in Appendix C, Uncertainty over Income Tax T reatments, to Ind AS 12-Income Taxes.
⢠Assessed the appropriateness of presentation/ disclosures in the standalone financial statements in accordance with Ind AS 37 and Ind AS 12 notified under the Companies (Indian Accounting Standards) Rules, 2015 (as amended from time to time).
Information Other than the Standalone 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 report, etc but does not include the 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 in the 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, changes in equity 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. 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 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, the Board of Directors 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.
Those Board of Directors are also responsible for overseeing the Company''s financial reporting process.
Auditor''s Responsibilities 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.
We give in "Annexure A" a detailed description of Auditor''s responsibilities for Audit of the Standalone Financial Statements.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2016 ("the Order"), issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in "Annexure B" a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
2. As required by Section 143(3) of the Act, we report that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss, the Statement of Changes in Equity and the Statement of Cash Flow 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 31,2021 taken on record by the Board of Directors, none of the directors is disqualified as on March 31,2021 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 C".
(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 standalone financial statements - Refer Note 34 to the standalone financial statements;
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
3. As required by The Companies (Amendment) Act, 2017, in our opinion, according to information, explanations given to us, the remuneration paid by the Company to its directors is within the limits laid prescribed under Section 197 of the Act and the rules thereunder.
Chartered Accountants
ICAI Firm Registration No. 105047W
Partner
Place: Gurugram Membership No. 216706
Date : June 15, 2021 UDIN: 21216706AAAABR8420
Mar 31, 2019
Report on the Audit of the Standalone Financial Statements Opinion
We have audited the standalone financial statements of Whirlpool of India Limited (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2019, and the Statement of Profit and Loss, Statement of Changes in Equity and Statement of Cash Flows for the year then ended, and notes to the standalone financial statements, including a summary of significant accounting policies and other explanatory information (hereinafter referred to as âthe standalone financial statementsâ).
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 Actâ) in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2019, and profit, changes in equity and its cash flows for the year ended on that date.
Basis for Opinion
We conducted our audit 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 Auditorâs Responsibilities 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 thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
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.
Description of Key Audit Matter
Evaluation of uncertain tax positions (Direct Tax and Indirect Tax)
The Company has transactions with related parties in other countries and hence is subject to transfer pricing regulations as specified under Income-Tax Act, 1961 in India. Certain transactions with related parties and various tax positions taken by the Company are challenged by the relevant tax authorities. Further certain tax positions relating to reporting of taxable turnover, selection of tax rates, non-collection of statutory forms, etc. in indirect tax are challenged by relevant tax authorities.
Management has assessed the Litigations/ Assessments status and has applied judgement in classifying/ taking appropriate actions as required under âInd AS 37 - Provisions, Contingent Liabilities, and Contingent Assetsâ.
We have determined this matter to be key audit matter due to the significance of the amounts and judgements involved.
Description of Auditorâs Response
Our audit procedure in respect of this area included:
1. Analysed the list of ongoing litigations, Managementâs assessment of the possible outcome of the case and related accounting/ disclosures made in the standalone financial statements.
2. Verified the completeness of the information by corroborating prior year work papers and changes, if any, to tax litigations status with the underlying documents.
3. Auditorâs expert was involved to reassess Managementâs assessment of the possible outcome.
4. Assessed the appropriateness of presentation/ disclosures in the standalone financial statements.
Information Other than the Standalone Financial Statements and Auditorâs Report Thereon
The Companyâs Board of Directors is responsible for the other information. The other information comprises the information included in the Management report, Chairmanâs statement, Directorâs report etc but does not include the standalone financial statements and our auditorâs 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 in the 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 Companyâs 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, changes in equity 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. 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 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, the Board of Directors is responsible for assessing the Companyâs ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
The Board of Directors are also responsible for overseeing the Companyâs financial reporting process.
Auditorâs Responsibilities 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 auditorâs 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.
We give in âAnnexure Aâ a detailed description of Auditorâs responsibilities for Audit of the standalone financial statements.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ), issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in âAnnexure Bâ a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
2. As required by Section 143(3) of the Act, we report that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
(c) The Balance Sheet, the Statement of Profit and Loss, the Statement of Changes in Equity and the Cash Flow Statement dealt with by this Report are in agreement with the books of account;
(d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014;
(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 31 March, 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 with reference to standalone financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure Câ;
(g) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its standalone financial statements - Refer Note 34 to the standalone financial statements.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
3. As required by The Companies (Amendment) Act, 2017, in our opinion, according to information, explanations given to us, the remuneration paid by the Company to its directors is within the limits laid prescribed under Section 197 of the Act and the rules thereunder.
ANNEXURE A TO THE INDEPENDENT AUDITORâS REPORT ON EVEN DATE ON THE STANDALONE FINANCIAL STATEMENTS OF WHIRLPOOL OF INDIA LIMITED
Auditorâs Responsibilities for the Audit of the 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 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 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 internal financial controls with reference to 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 management.
- Conclude on the appropriateness of managementâs use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Companyâs ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditorâs report to the related disclosures in the 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 auditorâs 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 financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
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 financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditorâs 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.
ANNEXURE B TO INDEPENDENT AUDITORSâ REPORT OF EVEN DATE ON THE STANDALONE FINANCIAL
STATEMENTS OF WHIRLPOOL OF INDIA LIMITED FOR THE YEAR ENDED MARCH 31, 2019
[Referred to in paragraph under âReport on Other Legal and Regulatory Requirementsâ in the Independent Auditorsâ Report]
i. (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets (Property, Plant and Equipment).
(b) All the fixed assets (Property, Plant and Equipment) have not been physically verified by the management during the year but there is a regular program of verification which, in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. No material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds of immovable properties are held in the name of the Company except for one immovable properties aggregating INR 3 lacs as at March 31, 2019 for which title deeds were not available with the Company and hence we are unable to comment on the same.
ii. The inventory has been physically verified by the Management during the year except for inventories in transit aggregating to INR 11,496 lacs as on March 31, 2019. In our opinion, the frequency of verification is reasonable. No material discrepancies were noticed on verification between the physical stocks and the book records.
iii. The Company has not granted any loans, secured or unsecured to Companies, Firms, Limited Liability Partnerships (LLP) or other parties covered in the register maintained under section 189 of the Companies Act, 2013 (âthe Actâ). Accordingly, the provisions stated in paragraph 3 (iii) (a) to (c) of the Order are not applicable to the Company.
iv. In our opinion and according to the information and explanations given to us, the Company has not either directly or indirectly, granted any loan to any of its directors or to any other person in whom the director is interested, in accordance with the provisions of section 185 of the Act and the Company has not made investments through more than two layers of investment companies in accordance with the provisions of section 186 of the Act. Accordingly, provisions stated in paragraph 3(iv) of the Order are not applicable to the Company.
v. In our opinion and 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, 74, 75 and 76 of the Act and the rules framed there under.
vi. We have broadly reviewed the books of account relating to materials, labour and other items of cost maintained by the Company pursuant as specified by the Central Government for the maintenance of cost records under sub-section (1) of section 148 of the Act and we are of the opinion that prima facie the prescribed accounts and records have been made and maintained. We have not, however, made a detailed examination of the records with a view to determine whether they are accurate or complete.
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, employeesâ state insurance, income-tax, goods and service tax, duty of customs, cess and any other statutory dues applicable to it.
No undisputed statutory dues were in arrears, as at March 31, 2019 for a period of more than six months from the date they became payable.
(b) According to the information and explanation given to us and examination of records of the Company, the outstanding dues of income-tax, goods and service tax, customs duty, cess and any other statutory dues on account of any dispute, are as follows:
Amount in INR Lacs
Name of the statute |
Nature of dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum where dispute is pending |
Central Excise Act, 1994 |
Differential duty demanded by the department on washers |
17 |
- |
2000-03 |
CESTAT |
Recovery of CENVAT Credit |
101 |
96 |
1993-94 |
||
Customs Act, 1962 |
Denial of exemption on account of classification issue of water purifiers |
36 |
- |
2010-11 |
|
Service Tax Rule, 1994 |
Service Tax on Technical Assistance and bill discounting |
174 |
40 |
2005-07 |
|
Service tax on export of services |
22 |
- |
2007-08 |
||
Disallowance of input credit transferred |
5 |
- |
2003-05 |
||
Disallowance of input credit on Rent a cab service |
41 |
2 |
2003-05 |
Commissioner Appeal |
|
Income tax Act, 1961 |
Penalty under section 271 (1)(c) (Appeal filed by tax Department) |
148 |
- |
2004-05 |
ITAT |
Andhra Pradesh General Sales Tax Act, 1957 |
Tax levied on optional service contacts |
7 |
4 |
2000-01 |
Tribunal |
14 |
14 |
2001-02 |
Sales tax officer |
||
19 |
10 |
2002-03 |
High Court |
||
9 |
5 |
2003-04 |
Additional Commissioner |
||
Andhra Pradesh GST |
Check post penalty |
2 |
- |
2018-19 |
Commissioner Appeal |
Andhra Pradesh Value Added Tax Act, 2005 |
Dispute on tax rate at Gas |
7 |
7 |
2006-07 2007-08 |
Sales tax officer |
Bihar Sales Tax Act, 1959 |
Entry Tax |
1 |
- |
2003-04 |
Sales tax officer |
Penalty at Check Post |
4 |
1 |
2002-03 |
Tribunal |
|
Rebate disallowed |
1 |
- |
2004-05 |
Deputy Commissioner |
|
Bihar Value Added Tax Act, 2005 |
CAG objection |
47 |
14 |
2013-14 |
Revision with Commissioner |
Tax rate dispute |
2 |
2 |
2007-08 |
Tribunal |
|
Tax on discount through credit note |
8 |
8 |
2009-10 |
Joint Commissioner |
|
15 |
15 |
Tribunal |
|||
40 |
40 |
2010-11 |
Tribunal |
||
Entry tax |
7 |
7 |
2009-10 |
Deputy Commissioner |
|
Forms short |
25 |
25 |
2009-10 |
Tribunal |
|
Forms short |
71 |
71 |
2010-11 |
||
Forms short |
4 |
1 |
2006-07 |
Sales tax officer |
|
Road Permit Mismatch |
1 |
# |
2014-15 |
Commissioner |
|
Non submission of forms |
1 |
- |
2005-06 |
Deputy Commissioner |
|
Penalty |
1 |
- |
2011-12 |
||
Penalty |
67 |
20 |
2014-15 |
Commissioner |
|
31 |
- |
2015-16 |
|||
Tax on discount through credit note |
101 |
30 |
2012-13 |
Joint Commissioner |
|
Post sale discount and sales return disallowed |
85 |
26 |
2014-15 |
Commissioner |
|
47 |
19 |
2013-14 |
|||
Tax on discount through credit note |
24 |
24 |
2012-13 |
Joint Commissioner |
|
26 |
16 |
2011-12 |
|||
Tax on discount through credit note |
6 |
- |
2008-09 |
Commissioner of sales tax |
|
10 |
- |
2009-10 |
|||
3 |
- |
2010-11 |
|||
Tax on discount through credit note |
43 |
- |
2005-06 |
Sales tax officer |
|
1 |
- |
2006-07 |
Deputy Commissioner |
||
34 |
- |
Sales tax officer |
|||
Tax rate dispute |
10 |
10 |
2008-09 |
Tribunal |
Amount in INR Lacs
Name of the statute |
Nature of dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum where dispute is pending |
Bombay Sales Tax Act, 1959 |
Tax on CQB excess claimed and non submission of C forms |
11 |
3 |
2004-05 |
Joint Commissioner |
Haryana General Sales Tax Act, 1973 |
Enhancement of turnover by taxing on Maximum retail price value |
9 |
9 |
2002-03 |
Joint Commissioner |
Interest under section 59 of the sales tax act |
17 |
17 |
1982-83 |
High Court |
|
16 |
16 |
1983-84 |
|||
82 |
82 |
1984-85 |
|||
42 |
42 |
1985-86 |
|||
Haryana Value Added Tax Act, 2003 |
Entry Tax |
59 |
- |
2007-08 |
High Court |
C forms |
66 |
- |
2014-15 |
Excise & Taxation Officer |
|
Short payment of tax and interest for unverified forms |
98 |
2015-16 |
Joint Excise & Taxation Commissioner (Appeal) |
||
J & K General Sales Tax Act, 1962 |
Rejection of claim |
5 |
5 |
2002-03 |
Sales tax officer |
J & k Value Added Tax Act, 2005 |
Penalty at Check Post |
2 |
2007-08 2012-13 2014-15 |
Deputy Commissioner |
|
Rejection of claim |
3 |
3 |
2008-09 |
||
6 |
6 |
2009-10 |
|||
2 |
2 |
2012-13 |
Sales tax officer |
||
Jharkhand GST Act |
Penalty |
1 |
- |
2018-19 |
Joint Commissioner |
Jharkhand Value Added Tax Act, 2005 |
Non submission of Canteen Store Department Certificate |
6 |
2009-10 |
||
Kerala General Sales Tax Act, 1963 |
Penalty at Check post |
1 |
1 |
2013-14 |
Intelligence |
1 |
1 |
2015-16 |
|||
Enhancement of turnover |
11 |
11 |
2002-03 |
Tribunal |
|
Non submission of C forms |
6 |
2 |
2006-07 |
Deputy Commissioner |
|
Penalty |
1 |
1 |
2002-03 |
Sales tax officer |
|
Penalty at Check Post |
5 |
- |
2012-13 2013-14 |
Intelligence |
|
Rejection of credit notes on discounts |
18 |
18 |
2003-04 |
High Court |
|
Rejection of sales returns and non submission of F-forms |
2 |
2 |
2000-01 |
Sales tax officer |
|
Rejection of statutory forms |
5 |
5 |
2004-05 |
||
Enhancement of turnover |
5 |
1 |
2014-15 |
Deputy Commissioner |
|
Mismatch in Closing Stock |
30 |
9 |
2010-11 |
Tribunal |
|
Non Submission of Form C and Form F |
511 |
- |
2008-09 |
Deputy Commissioner |
Amount in INR Lacs
Name of the statute |
Nature of dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum where dispute is pending |
Kerala Value Added Tax Act, 2005 |
Penalty at Check Post |
1 |
- |
2016-17 |
Intelligence |
Non submission of C Forms and others |
501 |
- |
2007-08 |
Deputy Commissioner |
|
Dispute on tax rate |
8 |
8 |
2009-10 |
||
Non submission of forms |
1 |
- |
2005-06 |
Sales tax officer |
|
Penalty at Check Post |
3 |
3 |
2008-09 |
Deputy Commissioner |
|
Penalty at Check Post |
2 |
1 |
2006-07 |
Deputy Commissioner |
|
# |
- |
2007-08 |
|||
1 |
1 |
2009-10 |
|||
2 |
# |
2010-11 |
Deputy Commissioner |
||
7 |
7 |
Sales tax officer |
|||
1 |
- |
2009-10 2010-11 |
Intelligence |
||
# |
- |
2016-17 |
Assistant Commissioner |
||
Penalty due to stock difference at per physical inspection |
64 |
19 |
2007-08 |
Deputy Commissioner |
|
Refund |
3 |
3 |
2001-02 |
Sales tax officer |
|
Rejection of claim for concessional sale |
15 |
15 |
2008-09 |
Deputy Commissioner |
|
Rejection of claim of Lakshadweep sale |
4 |
3 |
2009-10 |
Tribunal |
|
Rejection of claim of stock transferred due to check post seal, Canteen sale and Interest etc |
15 |
15 |
2009-10 |
Deputy Commissioner |
|
61 |
25 |
2011-12 |
|||
Rejection of credit notes and forms short deposited |
109 |
109 |
2005-06 |
Sales tax officer |
|
Rejection of statutory forms |
58 |
38 |
2006-07 |
Deputy Commissioner |
|
Enhancement of turnover |
1 |
- |
2014-15 |
Deputy Commissioner |
|
Maharashtra Value Added Tax Act, 2005 |
CQB sales partially disallowed |
1,107 |
75 |
2011-12 |
Joint Commissioner |
Refund |
29 |
29 |
2006-07 |
Sales tax officer |
|
3 |
3 |
2012-13 |
|||
Tax on CQB |
3 |
- |
2005-06 |
Joint Commissioner |
|
MP commercial Tax Act, 1944 |
Non submission of forms |
# |
- |
2004-05 |
Sales tax officer |
Rejection of claim on discounts |
28 |
15 |
2002-03 |
Additional Commissioner |
|
26 |
3 |
2003-04 |
|||
Rejection of credit notes |
13 |
4 |
1998-99 |
Tribunal |
|
18 |
4 |
2001-02 |
High Court |
||
Rejection of Forms |
# |
# |
2003-04 |
Additional Commissioner |
|
Rejection of sales return |
3 |
1 |
1999-00 |
Tax Board |
|
MP Value Added Tax Act, 2005 |
Forms short |
2 |
- |
2011-12 |
Additional Commissioner |
Rejection of sales return |
20 |
6 |
2005-06 |
Additional Commissioner |
|
Orissa Sales Tax Act, 1947 |
Enhancement of turnover |
7 |
6 |
2001-02 |
High Court |
Non submission of forms |
2 |
2 |
1996-97 |
High Court |
|
1 |
1 |
1997-98 |
Sales tax officer |
||
2 |
- |
1998-99 |
Tribunal |
||
3 |
1 |
1999-00 |
|||
1 |
- |
2000-01 |
|||
1 |
1 |
2001-02 |
|||
Rejection of sales return |
1 |
1 |
1999-00 |
Tribunal |
|
6 |
2 |
2000-01 |
|||
Road permit |
1 |
1 |
2001-02 |
Sales tax officer |
|
Entry tax |
3 |
- |
2002-03 |
Tribunal |
Amount in INR Lacs
Name of the statute |
Nature of dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum where dispute is pending |
Orissa Value Added Tax Act, 2005 |
Tax on entry of goods |
332 |
- |
2008-09 |
High Court |
Punjab value added tax act, 2005 |
Penalty at Check Post |
1 |
- |
2006-07 |
Deputy Commissioner |
# |
# |
2010-11 |
Sales tax officer |
||
Tax on freight charged on invoices |
31 |
8 |
2005-06 |
Sales Tax Officer |
|
235 |
59 |
2006-07 |
Tribunal |
||
Turnover enhanced |
535 |
- |
2010-11 |
1st Appeal |
|
Rajasthan Entry Tax Act, 2005 |
Rejection of surcharge on tax on turnover |
12 |
- |
2013-14 2014-15 |
Deputy Commissioner |
Entry Tax |
67 |
11 |
2008-09 |
||
46 |
8 |
2009-10 |
|||
63 |
10 |
2010-11 |
|||
60 |
11 |
2011-12 |
|||
35 |
7 |
2012-13 |
|||
14 |
3 |
2013-14 |
|||
27 |
- |
2007-08 |
|||
25 |
- |
2008-09 |
|||
Rajasthan Sales Tax Act, 1954 |
CSD Certificate short submitted |
6 |
- |
2015-16 |
Assessing Authority |
Rejection of surcharge |
6 |
5 |
2000-01 |
Sales tax officer |
|
Rajasthan Value Added Tax Act, 2005 |
CSD form short |
2 |
2 |
2010-11 |
Deputy Commissioner |
Rejection of claim on credit notes for discount |
35 |
35 |
2006-07 |
High Court |
|
47 |
47 |
2007-08 |
|||
17 |
17 |
2008-09 |
|||
Tamil Nadu General Sales Tax Act, 1959 |
Penalty at Check Post |
23 |
8 |
1994-95 |
|
10 |
3 |
1995-96 |
|||
9 |
8 |
1996-97 |
|||
28 |
11 |
1997-98 |
|||
Demand on imported goods taxed at Higher rate |
53 |
16 |
2002-03 |
||
50 |
12 |
2003-04 |
|||
Demand on Statutory Form |
1 |
- |
2016-17 |
Deputy Commissioner |
|
Entry Tax |
1 |
- |
2001-02 |
Tribunal |
|
Penal interest on late payment - Entry tax |
3 |
- |
2002-03 |
High Court |
|
Rejection of Discount and non submission of F-Form |
1 |
1 |
2005-06 |
Sales tax officer |
|
Tamil Nadu Value Added Tax Act, 2006 |
C Form short |
3 |
3 |
2015-16 |
First Appellate Authority |
C Form short deposited |
2 |
1 |
2012-13 |
Joint Commissioner |
|
Penalty at Check post |
8 |
- |
2014-15 |
||
1 |
- |
2015-16 |
|||
Forms C & F short submitted |
44 |
27 |
2010-11 |
Sales tax officer |
|
Penalty at Road side |
8 |
8 |
2010-11 |
Joint Commissioner |
|
Rejection of Stock Transfer and C-form short |
5 |
5 |
2008-09 2009-10 |
Commercial Tax Officer |
|
Check post penalty |
17 |
- |
2015-16 |
Deputy State Tax Officer |
|
The Jharkhand Value Added Tax Act, 2003 |
Interest & penalty |
1 |
- |
2005-06 |
Sales tax officer |
Loss in trading account |
13 |
- |
2014-15 |
Joint Commissioner |
|
Non submission of forms |
1 |
- |
2004-05 2006-07 |
Sales tax officer |
|
Penalty at Check Post |
6 |
6 |
2011-12 |
Commissioner of sales tax |
|
Turnover enhanced |
42 |
- |
2010-11 |
Joint Commissioner |
Amount in INR Lacs
Name of the statute |
Nature of dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum where dispute is pending |
UP Entry Tax Act, 2007 |
Entry Tax |
213 |
180 |
2008-09 |
High Court |
Entry tax & interest |
54 |
47 |
2009-10 |
Tribunal |
|
UP State Goods and Services Tax Act |
Penalty at Check Post |
9 |
- |
2010-11 |
Assistant Commissioner |
9 |
- |
2017-18 |
Joint Commissioner |
||
UP Value Added Tax Act, 2008 |
Enhancement of turnover |
3 |
3 |
2007-08 |
Tribunal |
F-Form short and sales turnover increased |
3 |
3 |
2011-12 |
||
Penalty at Check Post |
1 |
1 |
2007-08 |
Assistant Commissioner |
|
6 |
6 |
2008-09 2009-10 |
Tribunal |
||
4 |
4 |
2009-10 |
|||
2 |
- |
2013-14 |
Joint Commissioner |
||
9 |
9 |
2014-15 |
Deputy Commissioner |
||
Penalty at Check Post |
# |
# |
2009-10 |
Commercial Tax Officer |
|
# |
- |
2010-11 |
Joint Commissioner |
||
Turnover enhanced |
22 |
22 |
2014-15 |
Deputy Commissioner |
|
Turnover increment as per departmental stock inspection |
71 |
25 |
2011-12 |
Tribunal |
|
Uttrakhand Value Added Tax Act, 2005 |
Tax on gas sales |
1 |
1 |
2008-09 |
First Appellate Authority Sales Tax Officer |
1 |
1 |
2009-10 |
|||
2 |
2 |
2010-11 |
|||
West Bengal Sales Tax Act, 1944 |
Rejection of claim of credit notes, canteen store Department Certificate not available |
105 |
- |
2002-03 |
Special Commissioner |
Rejection of claim for concessional sale |
36 |
5 |
2000-01 |
Revision Board |
|
Rejection of claim of concessional sale |
7 |
- |
2001-02 |
Deputy Commissioner |
|
5 |
- |
2002-03 |
Special Commissioner |
||
2 |
- |
2004-05 |
Additional Commissioner |
||
Rejection of claim of credit notes, forms short etc |
32 |
- |
1998-99 |
Tribunal |
|
25 |
2 |
1999-00 |
Revision Board |
||
14 |
3 |
2001-02 |
Deputy Commissioner |
||
85 |
- |
2003-04 |
Revision Board |
||
120 |
10 |
2004-05 |
Revision Board |
||
West Bengal Value Added Tax Act, 2005 |
Entry tax computed without reversal on stock transfer |
152 |
- |
2015-16 |
Joint Commissioner |
Export disallowed, Mismatch with customer |
26 |
4 |
2013-14 |
||
14 |
2 |
2014-15 |
|||
Export partly disallowed |
1 |
- |
2015-16 |
||
Increased in Turn over due to form rejection |
4 |
- |
2010-11 |
||
Rejection of claim of concessional sale |
12 |
- |
2006-07 |
Additional Commissioner |
|
Rejection of claim of credit notes, forms short |
106 |
- |
2005-06 |
Assistant Commissioner |
|
1 |
- |
2005-06 |
Revision Board |
||
Sales reversal not considered |
1 |
- |
2011-12 |
Joint Commissioner |
|
Sales reversal rejected |
116 |
18 |
2012-13 |
||
Wrong computation |
1 |
- |
2013-14 |
# Amount is below the round off norm.
viii. The Company does not have any loans or borrowings from any financial institution, banks, government or debenture holders during the year. Accordingly, the provision stated in paragraph 3(viii) of the Order is not applicable to the Company.
ix. The Company did not raise any money by way of initial public offer or further public offer (including debt instruments) and term loans during the year. Accordingly, the provisions stated in paragraph 3 (ix) of the Order are not applicable to the Company.
x. During the course of our audit, 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 material fraud by the Company or on the Company by its officers or employees.
xi. According to the information and explanations given to us and based on our examination of the records of the Company, the Company has paid/ provided for managerial remuneration in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Act.
xii. In our opinion and according to the information and explanations given to us, the Company is not a Nidhi Company. Accordingly, the provisions stated in paragraph 3(xii) of the Order are not applicable to the Company.
xiii. According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with sections 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the financial statements as required by the applicable accounting standards.
xiv. According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. Accordingly, the provisions stated in paragraph 3 (xiv) of the Order are not applicable to the Company.
xv. According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not entered into non-cash transactions with directors or persons connected with him. Accordingly, provisions stated in paragraph 3(xv) of the Order are not applicable to the Company.
xvi. In our opinion, the Company is not required to be registered under section 45 IA of the Reserve Bank of India Act, 1934 and accordingly, the provisions stated in paragraph clause 3 (xvi) of the Order are not applicable to the Company.
ANNEXURE C TO THE INDEPENDENT AUDITORâS REPORT OF EVEN DATE ON THE STANDALONE FINANCIAL STATEMENTS OF WHIRLPOOL OF INDIA LIMITED
[Referred to in paragraph 2(f) under âReport on Other Legal and Regulatory Requirementsâ in the Independent Auditorsâ Report of even date to the Members of Whirlpool of India Limited on the Standalone Financial statements for the year ended March 31, 2019]
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls with reference to financial statements of Whirlpool of India Limited (âthe Companyâ) 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 Companyâs Management is responsible for establishing and maintaining internal financial controls based on the internal control with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (ICAI) (the âGuidance Noteâ). These responsibilities include the design, implementation and maintenance of internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to Companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls with reference to financial statements based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Act, 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 internal financial controls with reference to financial statements was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls with reference to financial statements and their operating effectiveness. Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to financial statements, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls with reference to financial statements.
Meaning of Internal Financial Controls With reference to Financial Statements
A companyâs internal financial control with reference to financial statements is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A Companyâs internal financial control with reference to financial statements includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls With reference to financial statements
Because of the inherent limitations of internal financial controls with reference to financial statements, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls with reference to financial statements to future periods are subject to the risk that the internal financial control with reference to financial statements may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an internal financial controls with reference to financial statements and such internal financial controls with reference to financial statements were operating effectively as at March 31, 2019, based on the internal control with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note.
Mar 31, 2018
INDEPENDENT AUDITORâS REPORT To
The Members of Whirlpool of India Limited Report on the Financial Statements
We have audited the accompanying financial statements of Whirlpool of India Limited (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flow and the Statement of Changes in Equity for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the 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 financial statements that give a true and fair view of the state of affairs (financial position), profit or loss (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 Rule 7 of the Companies (Accounts) Rules, 2014 and the Companies (Indian Accounting Standards) Rules, 2015, as amended, and the 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 statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorsâ Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. In conducting our audit, we have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit of the 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 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 financial statements. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial statements.
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 including the Ind AS, of the state of affairs (financial position) of the Company as at March 31, 2018, and its profit (financial performance including other comprehensive income), its cash flows and the changes in equity for the year ended on that date.
Other Matter
The financial statements of the Company for the year ended March 31, 2017, were audited by another auditor whose report dated May 16, 2017 expressed an unmodified opinion on those statements.
Our opinion is not modified in respect of this matter.
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 (including other comprehensive income), the Statement of Cash Flow and the Statement of Changes in Equity dealt with by this Report are in agreement with the books of account;
(d) in our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014 and the Companies (Indian Accounting Standards) Rules, 2015, as amended;
(e) on the basis of the written representations received from the directors as on March 31, 2018 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2018 from being appointed as a director in terms of Section 164 (2) of the Act;
(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; and
(g) with respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. the Company has disclosed the impact of pending litigations on its financial position in its Ind AS financial statements - Refer Note 34 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; and
iii. there were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
2. As required by the Companies (Auditorâs Report) Order, 2016 (âthe Orderâ) issued by the Central Government in terms of sub-section 11 of Section 143 of the Act, we give in the âAnnexure Bâ, a statement on the matters specified in paragraphs 3 and 4 of the Order.
ANNEXURE A TO THE INDEPENDENT AUDITORSâ REPORT OF EVEN DATE ON THE FINANCIAL STATEMENTS OF WHIRLPOOL OF INDIA LIMITED FOR THE YEAR ENDED MARCH 31, 2018
[Referred to in paragraph 1(f) under âReport on Other Legal and Regulatory Requirementsâ in the Independent Auditorsâ Report]
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of Whirlpool of India Limited (âthe Companyâ) as of March 31, 2018 in conjunction with our audit of the financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs Management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (ICAI) (the âGuidance Noteâ). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to Companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Act, 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 auditorâs judgments, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A companyâs internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A Companyâs internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion and 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, 2018, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note.
Auditorsâ Report On Quarterly Financial Results and Year to Date Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
To the Board of Directors of Whirlpool of India Limited
1. We have audited the accompanying Statement of Standalone Financial Results of Whirlpool of India Limited (âthe Companyâ) for the quarter and year ended March 31, 2018 (the âStatementâ), being submitted by the Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as modified by Circular No.CIR/ CFD/ FAC/ 62/ 2016 dated July 5, 2016.
2. The Statement, as it relates to the quarter ended March 31, 2018, are the balancing figures between audited standalone figures in respect of the full financial year and the published standalone year to date figures up to the end of the third quarter of the financial year, prepared in accordance with the recognition and measurement principles laid down in Indian Accounting Standard 34 âInterim Financial Reportingâ (âInd AS 34â). The Statements relates to the year ended March 31, 2018, which has been prepared on the basis of the related standalone financial statements for the year ended March 31, 2018, prepared in accordance with the Indian Accounting Standards prescribed under Section 133 of the Companies Act, 2013, read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, and other accounting principles generally accepted in India. This Statement is the responsibility of the Companyâs Management and is approved by the Board of Directors. Our responsibility is to express an opinion on the Statement based on our audit of standalone financial statements for the year ended March 31, 2018 and our review of standalone financial results for the nine months period ended December 31, 2018.
3. We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Companies Act, 2013. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the Statement is free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the Statement. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the Statement, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Companyâs preparation of the Statement that give a fair presentation view 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 Companyâs internal control. 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 Statement.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Statement.
Opinion
4. In our opinion and to the best of our information and according to the explanations given to us, the Statement:
i. is presented in accordance with the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as modified by Circular No. CIR/CFD/FAC/62/2016 dated July 5, 2016; and
ii. gives a true and fair view in conformity with the aforesaid Indian Accounting Standards and other accounting principles generally accepted in India of the net profit, total comprehensive income and other financial information of the Company for the year ended March 31, 2018.
Other Matter
5. The comparative financial information of the Company for the quarter/ year ended March 31, 2017 prepared in accordance with Ind AS included in the Statement have been audited by the predecessor auditor who had audited the financial statements for the relevant periods. The report of the predecessor auditor dated May 16, 2017 on the comparative financial information dated March 31, 2017 expressed an unmodified audit opinion.
Our opinion is not modified in respect of this matter.
[Referred to in paragraph 2 under âReport on Other Legal and Regulatory Requirementsâ in the Independent Auditorsâ Report]
i. In respect of the Companyâs fixed assets:
(a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) All the fixed assets have not been physically verified by the Management during the year but there is a regular program of verification which, in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. No material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds of immovable properties are held in the name of the Company except for two immovable properties aggregating INR154 lacs as at March 31, 2018 for which title deeds were not available with the Company and hence we are unable to comment on the same.
ii. The inventory has been physically verified during the year by the Management, except for inventories in transit aggregating to INR10,167 lacs as on March 31, 2018. In our opinion, the frequency of verification is reasonable. No material discrepancies were noticed on verification between the physical stock and the book records.
iii. The Company has not granted any loans, secured or unsecured to companies, firms, Limited Liability Partnerships (LLP) or other parties covered in the register maintained under Section 189 of the Companies Act, 2013 (âthe Actâ). Accordingly, the provisions stated in paragraph 3 (iii) (a) to (c) of the Order are not applicable to the Company.
iv. In our opinion and according to the information and explanations given to us, the Company has not either directly or indirectly, granted any loan to any of its directors or to any other person in whom the director is interested, in accordance with the provisions of Section 185 of the Act and the Company has not made investments through more than two layers of investment companies in accordance with the provisions of Section 186 of the Act. Accordingly, provisions stated in paragraph 3(iv) of the Order are not applicable to the Company.
v. In our opinion and 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, 74, 75 and 76 of the Act and the rules framed there under.
vi. We have broadly reviewed the books of account relating to materials, labour and other items of cost maintained by the Company pursuant as specified by the Central Government for the maintenance of cost records under sub-section (1) of Section 148 of the Act and we are of the opinion that prima facie the prescribed accounts and records have been made and maintained. We have not, however, made a detailed examination of the records with a view to determine whether they are accurate or complete.
vii. According to the information and explanations given to us and the records of the Company examined by us in respect of statutory dues, in our opinion:
(a) the Company is regular in depositing with appropriate authorities undisputed statutory dues including provident fund, employeesâ state insurance, income-tax, sales-tax, service tax, duty of customs, duty of excise, value added tax, goods and service tax, cess and any other statutory dues applicable to it.
(b) there are no undisputed amounts payable in respect of provident fund, employeesâ state insurance, income-tax, sales-tax, service tax, duty of customs, duty of excise, value added tax, goods and service tax, cess and any other statutory dues which were applicable to the Company were in arrears, as at March 31, 2018 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, customs duty, excise duty, value added tax, cess and any other statutory dues on account of any dispute, are as follows:
Name of Statue |
Nature of Dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum Pending |
Central Excise Act,1944 |
Differential Duty demanded by the department on washers |
17 |
- |
2000-03 |
CESTAT |
Recovery of CENVAT Credit |
101 |
96 |
1993-94 |
||
Service Tax Rule, 1994 |
Service Tax on Technical knowhow and bill discounting |
174 |
40 |
2005-07 |
|
Service Tax on Export of services |
22 |
- |
2007-08 |
||
Disallowance of input credit transferred |
5 |
- |
2003-05 |
||
Disallowance of input credit on Rent a cab service |
41 |
2 |
2003-05 |
Commissioner Appeal |
|
Customs Act,1962 |
Denial of exemption on account of classification issue of water purifies |
36 |
- |
2010-11 |
Supreme Court |
Income Tax Act,1961 |
Tax and Interest Demand on completion of Assessment 143(3) |
37,186 |
2009-10 2010-11 2011-12 |
ITAT |
|
Penalty under section 271(1)(c) (Appeal filed by Tax Department) |
148 |
- |
2004-05 |
||
Andhra Pradesh General Sales Tax Act, 1957 |
Tax levied on optional service contacts |
17 |
8 |
2000-01 2003-04 |
Tribunal |
Tax levied on optional service contacts |
19 |
10 |
2002-03 |
High Court |
|
Tax levied on optional service contacts |
14 |
14 |
2001-02 |
Sales Tax Officer |
|
Andhra Pradesh Value Added Tax Act, 2005 |
Dispute on tax rate at Gas |
7 |
7 |
2006-07 2007-08 |
Sales Tax Officer |
Bihar Sales Tax Act, 1959 |
Penalty at Check Post |
4 |
1 |
2002-03 |
Tribunal |
Entry Tax |
1 |
- |
2003-04 |
Sales Tax Officer |
|
Rebate disallowed |
1 |
- |
2004-05 |
Deputy Commissioner |
|
Bihar Value Added Tax Act, 2005 |
Tax on discount through credit note |
101 |
30 |
2012-13 |
Joint Commissioner |
Post sale discount and sales return disallowed, CAG objection, Road Permit mismatch |
248 |
79 |
2013-14 2014-15 |
Commissioner |
|
Non submission of F forms |
1 |
- |
2005-06 |
Deputy Commissioner |
|
Penalty |
1 |
- |
2011-12 |
||
Tax on discount through credit note |
34 |
24 |
2009-10 2011-12 |
Joint Commissioner |
|
Tax on discount through credit note |
54 |
54 |
2009-10 2010-11 |
Tribunal |
|
Tax on discount through credit note |
79 |
1 |
2005-06 2006-07 |
Sales Tax Officer |
|
Forms Short |
3 |
- |
2006-07 |
||
Forms Short |
102 |
102 |
2007-08 2008-09 2009-10 2010-11 |
Tribunal |
|
Forms Short |
3 |
3 |
2012-13 |
Joint Commissioner |
|
Provisional assessment-demand created due to non submission of sales returns Invoices |
24 |
24 |
2012-13 |
||
Tax rate dispute |
0 |
0 |
2007-08 |
Sales Tax Officer |
|
Tax rate dispute |
12 |
12 |
2007-08 2008-09 |
Tribunal |
|
Entry Tax |
7 |
7 |
2009-10 |
Deputy Commissioner |
|
Bombay Sales Tax Act, 1959 |
Tax on CQB excess claimed and non submission of C forms |
11 |
2 |
2004-05 |
Joint Commissioner |
Haryana Value Added Tax Act, 2003 |
Entry Tax |
59 |
- |
2007-08 |
High Court |
Enhancement of turnover by taxing on Maximum retail price value |
9 |
9 |
2002-03 |
Joint Commissioner |
Name of Statue |
Nature of Dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum Pending |
Haryana General Sales Tax Act, 1973 |
Interest under section 59 of the act |
157 |
157 |
1982-83 1983-84 1984-85 1985-86 |
High Court |
Rajasthan Entry Tax Act, 2005 |
Entry Tax |
350 |
49 |
2007-09 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 |
Deputy Commissioner |
Rajasthan Value Added Tax, 2005 |
Canteen Store Department Certificate and C Form short submitted |
6 |
- |
2015-16 |
Assistant Commissioner |
Rejection of claim on credit notes for discount |
99 |
99 |
2006-07 2007-08 2008-09 |
High Court |
|
SRNâs not allowed |
2 |
2 |
2010-11 |
Deputy Commissioner |
|
J & K General Sales Tax Act, 1962 |
Rejection of claim |
5 |
5 |
2002-03 |
Sales Tax Officer |
J & K Value Added Tax Act, 2005 |
Penalty at Check Post |
2 |
- |
2012-13 2014-15 |
Deputy Commissioner |
Non submission of C forms |
1 |
- |
2012-13 |
||
Rejection of claim |
18 |
18 |
2008-09 2009-10 2010-11 2011-12 2012-13 |
||
Jharkhand Value Added Tax Act 2005 |
Non Submission of Canteen Store Department Certificate |
6 |
- |
2009-10 |
Joint Commissioner |
Rejection of discount |
19 |
2008-09 2009-10 2010-11 |
Commissioner of sales tax |
||
Interest and penalty |
1 |
- |
2005-06 |
Sales Tax Officer |
|
Non submission of F forms |
1 |
- |
2004-05 2006-07 |
||
Penalty at Check Post |
6 |
6 |
2011-12 |
Commissioner of sales tax |
|
Higher rate of tax imposed |
42 |
- |
2010-11 |
Joint Commissioner |
Name of Statue |
Nature of Dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum Pending |
Kerala Value Added Tax Act, 2005 |
Non submission of C forms |
6 |
2 |
2006-07 |
Deputy Commissioner |
Penalty at Check Post |
5 |
- |
2012-13 2013-14 |
Intelligence |
|
Mismatch in Closing Stock |
30 |
9 |
2010-11 |
Intelligence |
|
Non submission of C forms and others |
514 |
1 |
2007-08 2008-09 |
Deputy Commissioner |
|
Non submission of C forms |
1 |
- |
2005-06 |
Sales Tax Officer |
|
Penalty at Check Post |
8 |
2006-07 2007-08 2010-11 2012-13 |
Deputy Commissioner |
||
Penalty at Check Post |
6 |
2 |
2009-10 2010-11 2013-14 2015-16 2016-17 |
Intelligence |
|
Penalty due to stock difference as per physical verification |
64 |
19 |
2007-08 |
Deputy Commissioner |
|
Rejection of claim of Lakshadweep sale |
4 |
3 |
2009-10 |
Tribunal |
|
Rejection of claim of stock transferred due to check post seal, Canteen sale and Interest etc |
61 |
25 |
2011-12 |
Deputy Commissioner |
|
Enhancement of turnover and non submission of C and F forms |
501 |
- |
2007-08 |
||
Enhancement of Turnover on mismatch, debit note, Stock transfer value enhanced |
6 |
1 |
2014-15 |
||
Rejection of C and F forms |
58 |
38 |
2006-07 |
||
Rejection of claim for concessional sale |
15 |
15 |
2008-09 |
||
Rejection of claim of stock transfer, due to check post seal, Canteen sale and Interest etc. |
15 |
15 |
2009-10 |
||
Rejection of credit notes and forms short deposited |
109 |
109 |
2005-06 |
Sales Tax Officer |
|
Penalty at Check Post |
7 |
7 |
2010-11 |
||
Refund |
3 |
3 |
2001-02 |
||
Penalty at Check Post |
5 |
5 |
2006-07 2008-09 2009-10 |
Deputy Commissioner |
|
Dispute on tax rate |
8 |
8 |
2009-10 |
||
Enhancement of turnover |
11 |
11 |
2002-03 |
Tribunal |
|
Penalty |
1 |
1 |
2002-03 |
Sales Tax Officer |
|
Rejection of credit notes on discounts |
18 |
18 |
2003-04 |
Tribunal |
|
Rejection of sales returns and F-forms short |
2 |
2 |
2000-01 |
Sales Tax Officer |
|
Rejection of statutory forms |
5 |
5 |
2004-05 |
Sales Tax Officer |
|
Maharashtra Value Added Tax Act, 2005 |
CQB sales partially disallowed |
1,107 |
75 |
2011-12 |
Joint Commissioner |
Rejection of Input Tax on purchase |
253 |
38 |
2006-07 2007-08 |
||
Tax on CQB |
3 |
- |
2005-06 |
||
Refund |
32 |
32 |
2006-07 2012-13 |
Sales Tax Officer |
|
Tax on CQB and C forms short deposited etc |
86 |
22 |
2007-08 |
Joint Commissioner |
Name of Statue |
Nature of Dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum Pending |
MP commercial Tax Act, 1944 |
Rejection of claim on discounts |
53 |
17 |
2002-03 2003-04 |
Additional Commissioner |
Rejection of credit notes |
13 |
4 |
1998-99 |
Tribunal |
|
Rejection of credit notes |
18 |
4 |
2001-02 |
High Court |
|
Rejection of F forms |
1 |
1 |
2003-04 |
Additional Commissioner |
|
Non submission of forms |
1 |
1 |
2004-05 |
Sales Tax Officer |
|
Rejection of sales return |
3 |
1 |
1999-00 |
Tax Board |
|
MP Value Added Tax Act, 2005 |
F forms and Canteen Store Department Certificate short deposited |
2 |
- |
2011-12 |
Additional Commissioner |
Rejection of sales return |
21 |
6 |
2005-06 |
||
Orissa Sales Tax Act, 1947 |
Enhancement of turnover |
7 |
6 |
2001-02 |
High Court |
Non submission of local forms to registered dealers |
2 |
2 |
1996-97 |
||
Non submission of F forms |
8 |
3 |
1998-99 1999-00 2000-01 2001-02 |
Tribunal |
|
Entry Tax |
3 |
- |
2002-03 |
||
Non submission of forms |
1 |
1 |
2008-13 |
Sales Tax Officer |
|
Rejection of sales return |
7 |
3 |
1999-00 2000-01 |
Tribunal |
|
Orissa Value Added Tax Act, 2005 |
Tax on entry of goods |
332 |
- |
2008-09 |
High Court |
Non submission of forms |
1 |
1 |
1997-98 |
Sales Tax Officer |
|
Cash Discount, Non submission of Debit Note against cash discount and sale reversal |
2 |
- |
2013-14 2014-15 |
Joint Commissioner |
|
Punjab Value Added Tax Act, 2005 |
Penalty at Check Post |
1 |
- |
2006-07 |
Deputy Commissioner |
Penalty at Check Post |
1 |
1 |
2010-11 |
Sales Tax Officer |
|
Turnover enhanced |
535 |
- |
2010-11 |
Deputy Commissioner |
|
Tax on freight charged on invoices |
265 |
66 |
2005-06 2006-07 |
Sales Tax Officer |
|
Rajasthan Sales Tax Act, 1954 |
Rejection of surcharge on tax on turnover |
7 |
5 |
2000-01 |
Sales Tax Officer |
Rejection of surcharge on tax on turnover |
4 |
4 |
2001-02 2002-03 |
||
Tamil Nadu General Sales Tax Act, 1959 |
Demand on imported goods taxed at Higher rate |
103 |
28 |
2002-03 2003-04 |
High Court |
Enhancement of turnover |
69 |
30 |
1994-95 1995-96 1996-97 1997-98 |
||
Entry Tax |
1 |
- |
2001-02 |
Deputy Commissioner |
|
Rejection of Sales return and F-Form short |
1 |
1 |
2005-06 |
Sales Tax Officer |
|
Penal interest on late payment |
3 |
- |
2002-03 |
High Court |
Name of Statue |
Nature of Dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum Pending |
Tamil Nadu Value Added Tax Act, 2006 |
Penalty at Check Post |
9 |
- |
2014-15 2015-16 |
Joint Commissioner |
C and F forms short submitted |
44 |
27 |
2010-11 |
Commercial Tax Officer |
|
F form short submitted |
2 |
1 |
2012-13 |
Joint Commissioner |
|
C Form short submitted |
1 |
- |
2016-17 |
Deputy Commissioner |
|
Payment Challan not considered |
1 |
- |
2009-10 |
Commercial Tax Officer |
|
Tax and Compounding Fee on Vehicle Detention due to Transit Pass |
6 |
6 |
2016-17 |
Joint Commissioner |
|
C Form short |
3 |
3 |
2015-16 |
First Appellate Authority |
|
Penalty at Road side checking |
8 |
8 |
2010-11 |
Joint Commissioner |
|
Rejection of Stock Transfer and C Form short |
5 |
5 |
2008-09 |
Commercial Tax Officer |
|
UP Entry Tax Act, 2007 |
Entry Tax |
268 |
227 |
2008-09 2009-10 |
High Court |
UP Value Added Tax Act, 2008 |
Penalty at Check Post |
1 |
- |
2009-10 |
Deputy Commissioner |
Penalty at Check Post |
2 |
- |
2013-14 |
Joint Commissioner |
|
Turnover increment as per the departmental stock inspection |
71 |
25 |
2011-12 |
Tribunal |
|
C Form short |
1 |
1 |
2014-15 |
Deputy Commissioner |
|
Enhancement of turnover |
3 |
3 |
2007-08 |
Tribunal |
|
F-Form short and sales turnover increased |
3 |
3 |
2011-12 |
||
Penalty at Check Post |
1 |
1 |
2007-08 |
Assistant Commissioner |
|
Penalty at Check Post |
9 |
9 |
2008-09 2009-10 |
Tribunal |
|
Penalty at Check Post |
1 |
1 |
2010-11 |
Joint Commissioner |
|
Penalty at Check Post |
9 |
9 |
2014-15 |
Deputy Commissioner |
|
Turnover enhanced |
22 |
22 |
2014-15 |
||
Provisional Assessment |
1 |
1 |
2008-09 |
Additional Commissioner |
|
UP State Goods and Service Tax Act |
Penalty at Check Post |
9 |
- |
2017-18 |
Assistant Commissioner |
Uttrakhand Value Added Tax Act, 2005 |
Tax on gas sales |
4 |
4 |
2008-09 2009-10 2010-11 2012-13 |
First Appellate Authority Sales Tax Officer |
West Bengal Sales Tax Act, 1944 |
Rejection of claim of concessional sale etc |
36 |
5 |
2000-01 |
Revision Board |
Rejection of credit notes |
14 |
3 |
2001-02 |
Deputy Commissioner |
|
Rejection of claim of concessional sale etc |
7 |
- |
2001-02 |
||
Rejection of claim of concessional sale etc |
5 |
- |
2002-03 |
Special Commissioner |
|
Rejection of claim of concessional sale etc |
2 |
- |
2004-05 |
Additional Commissioner |
|
Rejection of claim of credit notes, CSD Certificate not available |
32 |
- |
1998-99 |
Tribunal |
|
Rejection of claim of credit notes, C form short etc |
230 |
12 |
1999-00 2003-04 2004-05 |
Revision Board |
|
Rejection of claim of credit notes, F form short etc |
105 |
- |
2002-03 |
Special Commissioner |
Name of Statue |
Nature of Dues |
Amount |
Amount paid under protest |
Period (Financial year) |
Forum Pending |
West Bengal Value Added Tax Act, 2005 |
Export disallowed, Mismatch with customer |
27 |
4 |
2013-14 |
Joint Commissioner |
Export disallowed, Mismatch with customer |
17 |
2 |
2014-15 |
||
Increased in Turn over due to form rejection |
4 |
- |
2010-11 |
||
Rejection of claim of concessional sale etc |
12 |
- |
2006-07 |
Additional Commissioner |
|
Rejection of claim of credit notes, Canteen Store Department Certificate not available |
106 |
- |
2005-06 |
Assistant Commissioner |
|
Rejection of claim of credit notes, C form short etc |
1 |
- |
2005-06 |
Revision Board |
|
Sale reversal rejected |
116 |
17 |
2012-13 |
Tribunal |
|
Sale reversal not considered |
1 |
- |
2011-12 |
Joint Commissioner |
viii. The Company does not have any loans or borrowings from any financial institution, banks, government or debenture holders during the year. Accordingly, the provision stated in paragraph 3(viii) of the Order is not applicable to the Company.
ix. The Company did not raise any money by way of initial public offer or further public offer (including debt instruments) and term loans during the year. Accordingly, the provisions stated in paragraph 3 (ix) of the Order are not applicable to the Company.
x. During the course of our audit, 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 material fraud by the Company or on the Company by its officers or employees.
xi. According to the information and explanations given to us and based on our examination of the records of the Company, the Company has paid/ provided for managerial remuneration in accordance with the requisite approvals mandated by the provisions of Section 197 read with Schedule V to the Act.
xii. In our opinion and according to the information and explanations given to us, the Company is not a Nidhi Company. Accordingly, the provisions stated in paragraph 3(xii) of the Order are not applicable to the Company.
xiii. According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with Sections 177 and 188 of the Act where applicable and details of such transactions have been disclosed in the financial statements as required by the applicable accounting standards.
xiv. According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. Accordingly, the provisions stated in paragraph 3 (xiv) of the Order are not applicable to the Company.
xv. According to the information and explanations given to us and based on our examination of the records of the Company, the Company has not entered into non-cash transactions with directors or persons connected with him. Accordingly, provisions stated in paragraph 3(xv) of the Order are not applicable to the Company.
xvi. In our opinion, the Company is not required to be registered under Section 45 IA of the Reserve Bank of India Act, 1934 and accordingly, the provisions stated in paragraph clause 3 (xvi) of the Order are not applicable to the Company.
For MSKA & Associates
(Formerly known as MZSK & Associates)
Chartered Accountants
ICAI Firm Registration No. 105047W
Manish P Bathija
Place : Gurugram Partner
Date : May 8, 2018 Membership No.: 216706
Mar 31, 2017
To
The Members of Whirlpool of India Limited Report on the Ind AS Financial Statements
We have audited the accompanying Ind AS financial statements of Whirlpool of India Limited (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2017, the Statement of Profit and Loss, including the statement of 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.
Managementâs Responsibility for the 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 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 accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under section 133 of the Act, read with the Companies (Indian Accounting Standards) Rules, 2015, as amended. 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 the design, implementation and maintenance of adequate internal financial control that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the 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 Ind AS financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under. We conducted our audit of the Ind AS financial statements in accordance with the Standards on Auditing, issued by the Institute of Chartered Accountants of India, as 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 auditorâs judgment, including the assessment of the risks of material misstatement of the 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 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 accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the Ind AS financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Ind AS financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the Ind AS financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2017, its profit including other 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 the Companies (Auditorâs report) Order, 2016 (âthe Orderâ) issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the Annexure 1 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 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 it appears from our examination of those books;
(c) The Balance Sheet, Statement of Profit and Loss including the Statement of Other Comprehensive Income, the Cash Flow Statement 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 Ind AS financial statements comply with the Accounting Standards specified under section 133 of the Act, read with the Companies (Indian Accounting Standards) Rules, 2015, as amended;
(e) On the basis of written representations received from the directors as on March 31, 2017, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2017, from being appointed as a director in terms of section 164 (2) of the Act;
(f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure 2â to this report;
(g) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its Ind AS financial statements - Refer Note 35 to the Ind AS financial statements;
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses;
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company;
iv. The Company has provided requisite disclosures in Note 44 to these Ind AS financial statements as to the holding of Specified Bank Notes on November 8, 2016 and December 30, 2016 as well as dealings in Specified Bank Notes during the period from November 8, 2016 to December 30, 2016. Based on our audit procedures and relying on the management representation regarding the holding and nature of cash transactions, including Specified Bank Notes, we report that these disclosures are in accordance with the books of account maintained by the Company and as produced to us by the Management.
Annexure 1 referred to in paragraph 1 of our report of even date
Re: Whirlpool of India Limited (âthe Companyâ)
(i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets.
(b) All fixed assets have not been physically verified by the management during the year but there is a regular programme of verification which, in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. No material discrepancies were noticed on such verification.
(c) According to the information and explanations given by the management, the title deeds of immovable properties included in fixed assets are held in the name of the company except two immovable properties aggregating INR 15,457,904 as at March 31, 2017 for which title deeds were not available with the Company and hence we are unable to comment on the same.
(ii) The management has conducted physical verification of inventory at reasonable intervals during the year and no material discrepancies were noticed on such physical verification.
(iii) According to the information and explanations given to us, the Company has not granted any loans, secured or unsecured to companies, firms, Limited Liability Partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013. Accordingly, the provisions of clause 3(iii)(a), (b) and (c) of the Order are not applicable to the Company and hence not commented upon.
(iv) In our opinion and according to the information and explanations given to us, there are no loans, investments, guarantees, and securities granted in respect of which provisions of section 185 and 186 of the Companies Act 2013 are applicable and hence not commented upon.
(v) The Company has not accepted any deposits from the public.
(vi) We have broadly reviewed the books of account maintained by the Company pursuant to the rules made by the Central Government for the maintenance of cost records under section 148(1) of the Companies Act, 2013, related to the manufacture of refrigerators and washing machines and are of the opinion that prima facie, the specified accounts and records have been made and maintained. We have not, however, made a detailed examination of the same.
(vii) (a) The Company is regular in depositing with appropriate authorities undisputed statutory dues including provident fund, employeesâ state insurance, income-tax, sales-tax, service tax, duty of custom, duty of excise, 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 provident fund, employeesâ state insurance, income-tax, service tax, sales-tax, duty of custom, duty of excise, value added tax, cess and other material statutory dues were outstanding, at the year end, for a period of more than six months from the date they became payable.
(c) According to the records of the Company, the dues outstanding of income tax, sales-tax, service tax, value added tax, duty of customs, duty of excise on account of any dispute, are as follows:
Name of Statute |
Nature of Dues |
Amount (Rs. Lacs) |
Period to which amount relates |
Forum Pending |
Customs Act, 1962 |
Custom duty on non fulfillment of project imports |
146 |
1993-94 |
CESTAT |
Central Excise Act, 1944 |
Differential duty demanded by the department on washers |
17 |
2000-03 |
CESTAT |
Recovery of Cenvat Credit |
5 |
1993-94 |
CESTAT |
|
Service Tax Rules, 1994 |
Service Tax on Technical Know-how and Bill Discounting |
134 |
2005-07 |
CESTAT |
Income Tax Act, 1961 |
Tax & Interest Demand on completion of Assessment 143(3) |
9,499 |
2010-11 |
ITAT |
Tax & Interest Demand on completion of Assessment 143(3) |
23,132 |
2011-12 |
ITAT |
|
Andhra Pradesh General Sales Tax Act, 1957 |
Tax levied on optional service contacts |
8 |
2000-01 2003-04 |
Tribunal |
Tax levied on optional service contacts |
10 |
2002-03 |
High Court |
|
Assam Value Added Tax Act, 2005 |
Non submission of C forms |
12 |
2009-10 2010-11 |
Commercial Tax Officer |
Bihar Sales Tax Act, 1959 |
Penalty at Check Post |
3 |
2002-03 |
Tribunal |
Entry Tax |
1 |
2003-04 |
Sales Tax Officer |
|
Rebate disallowed |
1 |
2004-05 |
Deputy Commissioner |
|
Bihar Value Added Tax Act, 2005 |
Tax on discount given through credit note |
81 |
2011-12 2012-13 |
Joint Commissioner |
Non submission of F forms |
1 |
2005-06 |
Deputy Commissioner |
|
Penalty |
1 |
2011-12 |
Deputy Commissioner |
|
Rejection of incentive discount |
1 |
2006-07 |
Deputy Commissioner |
|
Bombay Sales Tax Act, 1959 |
Tax on CQB excess claimed & non submission of C forms |
9 |
2004-05 |
Joint Commissioner |
Name of Statute |
Nature of Dues |
Amount (Rs. Lacs) |
Period to which amount relates |
Forum Pending |
The Chhattisgarh Value Added Sales Tax Act, 2003 |
C forms submitted but missing in VAT department |
1 |
2009-10 |
Deputy Commissioner |
Haryana Value Added Tax Act, 2003 |
Entry Tax |
59 |
2007-08 |
Supreme Court |
Rajasthan Entry Tax Act, 2005 |
Entry Tax |
301 |
2007-09 2008-09 2009-10 2010-11 2012-13 2013-14 2013-15 |
Deputy Commissioner |
J & k Value Added Tax Act, 2005 |
Penalty at Check Post |
2 |
2012-13 2014-15 |
Deputy Commissioner |
Non submission of C forms |
1 |
2012-13 |
Deputy Commissioner |
|
Jharkhand Value Added Tax Act 2005 |
Non submission of CSD Certificate |
6 |
2009-10 |
Tribunal |
Rejection of discount |
19 |
2008-09 2009-10 2010-11 |
Commissioner of sales tax |
|
Interest & penalty |
1 |
2005-06 |
Sales Tax Officer |
|
Non submission of F forms |
1 |
2004-05 2006-07 |
Sales Tax Officer |
|
Higher rate of tax imposed |
44 |
2010-11 2011-12 |
Joint Commissioner |
|
Kerala General Sales Tax Act, 1963 |
Non submission of C forms |
4 |
2006-07 |
Deputy Commissioner |
Penalty at Check Post |
5 |
2012-13 2013-14 |
Intelligence |
|
Mismatch in Closing Stock |
21 |
2010-11 |
Intelligence |
|
Non submission of C forms |
2 |
2007-08 |
Deputy Commissioner |
|
Non submission of C forms and others |
511 |
2008-09 |
Deputy Commissioner |
|
Kerala Value Added Tax Act, 2005 |
Non CSD claim rejected |
353 |
2012-13 2013-14 |
High Court |
Non submission of C forms |
1 |
2005-06 |
Sales Tax Officer |
|
Penalty at Check Post |
7 |
2006-07 2007-08 2010-11 2012-13 |
Deputy Commissioner |
|
Penalty at Check Post |
1 |
2009-10 2010-11 |
Intelligence |
|
Penalty due to stock difference as per physical |
45 |
2007-08 |
Deputy Commissioner |
|
Rejection of claim of Lakshadweep sale |
1 |
2009-10 |
Tribunal |
|
Rejection of claim of stock transferred due to check post seal, Canteen sale & Interest etc. |
36 |
2011-12 |
Deputy Commissioner |
|
Enhancement of turnover and non submission of C and F forms |
501 |
2007-08 |
Deputy Commissioner |
|
Rejection of C and F forms |
20 |
2006-07 |
Deputy Commissioner |
|
Maharashtra Value Added Tax Act, 2005 |
CQB sales partially disallowed |
1,032 |
2011-12 |
Joint Commissioner |
Input tax & sales return rejected |
1,828 |
2005-06 |
Joint Commissioner |
|
Rejection of sales return, turnover enhancement and others |
685 |
2009-10 |
Joint Commissioner |
|
Stock Transfer rejected |
679 |
2005-06 |
Joint Commissioner |
|
Rejection of Input Tax on purchase |
215 |
2006-07 2007-08 |
Joint Commissioner |
|
Tax on CQB excess claimed & C forms short deposited etc. |
64 |
2007-08 |
Joint Commissioner |
Name of Statute |
Nature of Dues |
Amount (Rs. Lacs) |
Period to which amount relates |
Forum Pending |
MP commercial Tax Act, 1944 |
Rejection of claim on discounts |
36 |
2002-03 2003-04 |
Additional Commissioner |
Rejection of credit notes |
9 |
1998-99 |
Tribunal |
|
Rejection of credit notes |
14 |
2001-02 |
High Court |
|
Rejection of F forms |
1 |
2003-04 |
Additional Commissioner |
|
Rejection of sales return |
2 |
1999-00 |
Tax Board |
|
Rejection of sales return |
2 |
2004-05 |
High Court |
|
MP Value Added Tax Act, 2005 |
Non submission of F forms and CSD Certificate |
1 |
2011-12 |
Additional Commissioner |
Rejection of sales return |
16 |
2005-06 |
Additional Commissioner |
|
Orissa Sales Tax Act, 1947 |
Enhancement of turnover |
1 |
2001-02 |
High Court |
Non submission of local forms to registered dealers |
1 |
1996-97 |
High Court |
|
Non submission of F forms |
8 |
1998-99 1999-00 2000-01 2001-02 2002-03 |
Tribunal |
|
Rejection of sales return |
4 |
1999-00 2000-01 |
Tribunal |
|
Orissa Value Added Tax Act, 2005 |
Tax on entry of goods |
326 |
2008-09 |
Additional Commissioner |
Tax on entry of goods |
6 |
2008-09 |
Sales Tax Officer |
|
Punjab value added tax act, 2005 |
Penalty at Check Post |
1 |
2006-07 |
Deputy Commissioner |
Tax on freight charged on invoices |
199 |
2005-06 2006-07 |
Sales Tax Officer |
|
Rajasthan Sales Tax Act, 1954 |
Rejection of surcharge on TOT |
3 |
2000-01 |
Sales Tax Officer |
Rajasthan Value Added Tax Act, 2005 |
CSD Certificate not considered |
29 |
2013-14 2014-15 |
Deputy Commissioner |
Tamil Nadu General Sales Tax Act, 1959 |
Demand on imported goods taxed at Higher rate |
75 |
2002-03 2003-04 |
High Court |
Enhancement of turnover |
39 |
1994-95 1995-96 1996-97 1997-98 |
High Court |
|
Entry Tax |
1 |
2001-02 |
High Court |
|
Penal interest on late payment |
3 |
2002-03 |
High Court |
|
Tamil Nadu Value Added Tax Act, 2006 |
Non submission of C forms |
2 |
2015-16 |
Joint Commissioner |
Penalty at Check Post |
8 |
2014-15 |
Joint Commissioner |
|
Non submission of C and F forms |
17 |
2010-11 |
Commercial Tax Officer |
|
Non submission of F forms |
1 |
2012-13 |
Joint Commissioner |
|
Payment Challan not considered |
1 |
2009-10 |
Commercial Tax Officer |
|
UP Entry Tax Act, 2007 |
Entry Tax |
41 |
2008-09 2009-10 |
Supreme Court |
UP Value Added Tax Act, 2008 |
Penalty at Check Post |
1 |
2009-10 |
Additional Commissioner |
Penalty at Check Post |
2 |
2013-14 |
Joint Commissioner |
|
Provisional Assessment |
9 |
2009-10 |
Additional Commissioner |
|
Turnover increment as per the departmental stock inspection |
46 |
2011-12 |
Additional Commissioner |
|
West Bengal Sales Tax Act, 1944 |
Rejection of claim of concessional sale etc. |
31 |
2000-01 |
Revision Board |
Rejection of claim of concessional sale etc. |
19 |
2001-02 |
Deputy Commissioner |
|
Rejection of claim of concessional sale etc. |
5 |
2002-03 |
Special Commissioner |
|
Rejection of claim of concessional sale etc. |
2 |
2004-05 |
Additional Commissioner |
|
Rejection of claim of credit notes and non submission of CSD Certificate |
32 |
1998-99 |
Tribunal |
|
Rejection of claim of credit notes and non submission of C forms etc. |
218 |
1999-00 2003-04 2004-05 |
Revision Board |
|
Rejection of claim of credit notes and non submission of F forms etc. |
105 |
2002-03 |
Special Commissioner |
Name of Statute |
Nature of Dues |
Amount (Rs. Lacs) |
Period to which amount relates |
Forum Pending |
West Bengal Value Added Tax Act, 2005 |
Export disallowed, Mismatch with customer |
23 |
2013-14 |
Joint Commissioner |
F form redetection |
4 |
2010-11 |
Joint Commissioner |
|
Rejection of claim of concessional sale etc. |
12 |
2006-07 |
Additional Commissioner |
|
Rejection of claim of concessional sale etc. |
8 |
2008-09 |
Revision Board |
|
Rejection of claim of credit notes and non submission of CSD Certificate |
106 |
2005-06 |
Assistant Commissioner |
|
Rejection of claim of credit notes and non submission of C forms etc. |
1 |
2005-06 |
Revision Board |
|
SRN rejected |
100 |
2011-12 |
Joint Commissioner |
According to the information and explanation given to us, there are no dues of cess which have not been deposited on account of any dispute.
(viii) In our opinion and according to the information and explanations given by the management, the Company has not defaulted in repayment of dues to a financial institution, bank or debenture holders or government.
(ix) According to the information and explanations given by the management, the Company has not raised any money way of initial public offer / further public offer / debt instruments and term loans hence, reporting under clause (ix) is not applicable to the Company and hence not commented upon.
(x) Based upon the audit procedures performed for the purpose of reporting the true and fair view of the financial statements and according to the information and explanations given by the management, we report that no fraud by the Company or no fraud on the Company by the officers and employees of the Company has been noticed or reported during the year.
(xi) According to the information and explanations given by the management, the managerial remuneration has been paid/ provided in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.
(xii) In our opinion, the Company is not a nidhi company. Therefore, the provisions of clause 3(xii) of the order are not applicable to the Company and hence not commented upon.
(xiii) According to the information and explanations given by the management, transactions with the related parties are in compliance with section 177 and 188 of Companies Act, 2013 where applicable and the details have been disclosed in the notes to the financial statements, as required by the applicable accounting standards.
(xiv) According to the information and explanations given to us and on an overall examination of the balance sheet, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review and hence, reporting requirements under clause 3(xiv) are not applicable to the Company and not commented upon.
(xv) According to the information and explanations given by the management, the Company has not entered into any non-cash transactions with directors or persons connected with him as referred to in section 192 of Companies Act, 2013.
(xvi) According to the information and explanations given to us, the provisions of section 45-IA of the Reserve Bank of India Act, 1934 are not applicable to the Company and hence not commented upon.
ANNEXURE 2 TO THE INDEPENDENT AUDITORâS REPORT OF EVEN DATE ON THE IND AS FINANCIAL STATEMENTS OF WHIRLPOOL OF INDIA LIMTED
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of Whirlpool of India Limited (âthe Companyâ) as of March 31, 2017 in conjunction with our audit of the Ind AS financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs Management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to the Companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditorâs Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing as specified under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the internal financial controls system over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A companyâs internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31, 2017, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control
stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm Registration Number: 301003E/E300005
per Vishal Sharma
Partner
Membership Number: 96766
Place of Signature : Gurgaon
Date : May 16, 2017
Mar 31, 2015
Report on the Financial Statements
We have audited the accompanying financial statements of Whirlpool of
India Limited ("the Company"), which comprise the Balance Sheet as at
March 31, 2015, 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
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 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 the design, implementation and
maintenance of adequate internal financial control 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 financial
statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder. We conducted our
audit in accordance with the Standards on Auditing, issued by the
Institute of Chartered Accountants of India, as 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 auditor considers internal financial control relevant
to the Company's preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the
effectiveness of such controls. An audit also includes evaluating the
appropriateness of 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 financial
statements.
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 of the state of affairs of the Company as at March 31, 2015, 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 ("the
Order") issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Act, we give in the Annexure 1 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
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 it 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 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 written representations received from the directors
as on March 31, 2015, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 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 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 did not 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.
Annexure referred to in paragraph 1 of our report of even date
Re: Whirlpool of India Limited ('the Company')
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) All fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its assets. As informed, no
material discrepancies were noticed on such verification.
(ii) (a) The management has conducted physical verification of
inventory at reasonable intervals during the year.
(b) The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification.
(iii) (a) As informed, the Company has not granted any loans, secured
or unsecured to companies, firms or other parties covered in the
register maintained under section 189 of the Companies Act, 2013.
Accordingly, the provisions of clause 3(iii) (a) and (b) of the Order
are not applicable to the Company and hence not commented upon.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and for the sale of goods and
services. During the course of our audit, we have not observed any
major weakness or continuing failure to correct any major weakness in
the internal control system of the company in respect of these areas.
(v) The Company has not accepted any deposits from the public.
(vi) We have broadly reviewed the books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under section 148(1) of the Companies Act,
2013, related to the manufacture of refrigerators and washing machines
and are of the opinion that prima facie, the specified accounts and
records have been made and maintained. We have not, however, made a
detailed examination of the same.
(vii) (a) The Company is regular in depositing with appropriate
authorities undisputed statutory dues including provident fund,
employees' state insurance, income-tax, sales-tax, wealth-tax,
service tax, customs duty, excise duty, value added tax, cess and
other material statutory dues applicable to it.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, employees'
state insurance, income-tax, wealth-tax, service tax, sales-tax,
customs duty, excise duty, value added tax, cess and other material
statutory dues were outstanding, at the year end, for a period of more
than six months from the date they became payable.
(c) According to the records of the Company, the dues outstanding of
sales-tax, service tax, excise duty, customs duty on account of any
dispute, are as follows:
Name of Statue Nature of Dues
CustomsCustoms Act, 1962 Custom duty on non fulfillment
of project imports
Central Excise Act, 1944 Differential duty demanded
by the department on
washers
Recovery of Cenvat Credit
Service Tax Rules, 1994 Service Tax on Tech.Know
how, Bill Discounting
Service Tax on Tech.Know how
Income Tax Act, 1961 Penalty u/s 271(1)( C ).
Income Tax Act, 1961 Penalty u/s 271(1)( C ). (FBT)
Income Tax Act, 1961 Tax & Interest Demand on
completion of Assessment
143(3) r.w.s 144C
Income Tax Act, 1961 Penalty u/s 271(1)( C ).
Income Tax Act, 1961 Short payment of TDS &
Interest u/s 201(1A)
Name of Statue Amount Period to which Forum
(Rs. Lacs) amount relates Pending
CustomsCustoms 145.94 1993-94 CESTAT
Act, 1962
Central Excise 16.58 2000-2003 CESTAT
Act, 1944
5.00 1993-94 CESTAT
Service Tax 133.64 2005-07 CESTAT
Rules, 1994
55.27 2007-08 CESTAT
Income Tax 2.35 2004-05 CIT (Appeals)
Act, 1961
Income Tax 11.20 2009-10 CIT (Appeals)
Act, 1961
Income Tax 14,617.80 2010-11 ITAT
Act, 1961
Income Tax 148.43 2005-06 CIT (Appeals)
Act, 1961
Income Tax 10.69 2010-11 CIT (Appeals)
Act, 1961
Name of Statue Nature of Dues
Andhra Pradesh General Tax levied on optional
Sales Tax Act, 1957 service contacts
Tax levied on optional
service contacts
Bihar Sales Tax Act, 1959 ``1Entry Tax
Penalty at Check Post
Rebate disallowed
Bihar Value Added Forms short
Tax Act, 2005
Non submission of forms
Rejection of credit notes
Rejection of discount
Rejection of incentive discount
Bombay Sales Tax Act, 1959 Tax on CQB excess claimed
& forms short
deposited etc
Haryana Value Added Entry Tax
Tax Act, 2003
Name of Statue Amount Period to which Forum
(Rs. Lacs) amount relates Pending
Andhra Pradesh 8.31 2000-01 Tribunal
GeneralSales 2003-04
Tax Act, 1957
9.71 2002-03 High Court
Bihar Sales 0.91 2003-04 STO
Tax Act, 1959
3.01 2002-03 Tribunal
0.52 2004-05 Dy.Commissioner
Bihar Value 101.29 2012-13 Joint Commissioner
Added Tax
Act, 2005 0.80 2005-06 Dy.Commissioner
13.02 2011-12 Joint Commissioner
18.87 2008-09 Commissioner of
2009-10 sales tax
2010-11
0.92 2006-07 Dy.Commissioner
Bombay Sales 8.76 2004-05 Joint Commissioner
Tax Act, 1959
Name of Statue Nature of Dues
Haryana Value Added Entry Tax
Tax Act, 2003
J & k Value Added Penalty at Check Post
Tax Act, 2005
Rejection of claim
of HUPS sale
Rejection of claim
of HUPS sale
Karnataka Value SRN claim rejected
Added Tax Act,
2005
Kerela General , Non submission of C-forms.
Sales Tax Act
1963
Kerela Value Added Non submission of forms
Tax Act, 2005
Non submission of forms
Penalty due to stock
difference at per physical
Rejection of claim of
Lakshadeep sale
Rejection of claim of
Lakshadeep sale
Rejection of statutory forms
Amount Period to which Forum
Name of Statue (Rs. Lacs) amount relates Pending
Haryana Value Added 58.54 2007-08 Supreme Court
Tax Act, 2003
J & k Value 1.61 2012-13 Dy.Commissioner
Added Tax 2014-15
Act, 2005
1.51 2007-08 Dy.Commissioner
2008-09
2.71 2009-10 Assessing Authority
Karnataka 208.71 2011-12 Joint Commissioner
Value Added 2012-13
Tax Act, 2005
Kerela General , 4.42 2006-07 Dy.Commissioner
Sales Tax Act
1963
Kerela Value 0.52 2005-06 STO
Added Tax
Act, 2005
8.59 2007-08 Dy.Commissioner
2009-10
2010-11
2012-13
44.71 2007-08 Dy.Commissioner
5.41 2009-10 Tribunal
36.25 2011-12 Dy.Commissionerhtra Value
19.91 2006-07 Dy.Commissioner
Name of Statue Nature of Dues
Maharashtra Value Added Input tax & sales return
Tax Act, 2005 rejected.
Stock Transfer rejected
Maharas Tax on CQB excess claimed
Added Tax deposited etc
Act, 2005
MP commercial Rejection of claim on
Tax Act, 1944 discounts
Rejection of credit notes
Rejection of credit notes
Rejection of Forms
Rejection of sales return
Rejection of sales return
MP Value Added Forms short
Tax Act, 2005
Rejection of sales return
Amount Period to which Forum
Name of Statue (Rs. Lacs) amount relates Pending
Maharashtra 2,282.04 2005-06 Joint Commissioner
Value Added
Tax Act, 2005
679.14 2005-06 Joint Commissioner
279.67 2006-07 Joint Commissioner
Maharas 2007-08
Added Tax
Act, 2005
41.01 2002-03 Addl.Commissioner
MP 2003-04
commercial
Tax Act, 9.10 1998-99 Tribunal
1944
13.79 2001-02 High Court
0.13 2003-04 Addl.Commissioner
2.23 1999-00 Tax Board
1.95 2004-05 High Court
1.29 2011-12 Addl.Commissioner
15.59 2005-06 Addl.Commissioner
Name of Statue Nature of Dues
MP Value Forms short
Added
Tax Act, Rejection of sales return
2005
Orissa Sales Tax Enhancement of turnover
Act, 1947
Non submission of forms
Non submission of forms
Rejection of sales return
Orissa Value Added , Tax on entry of goods
Tax Act 2005
Punjab Value Added , Penalty at Check Post
Tax Act 2005
Tax on freight charged
on invoices
Rajasthan Entry Entry Tax
Tax Act, 2005
Ex-parte order of entry tax
Amount Period to which Forum
Name of Statue (Rs. Lacs) amount relates Pending
MP Value 1.29 2011-12 Addl.Commissione
Added
Tax Act, 15.59 2005-06 Addl.Commissione
2005
Orissa Sales 0.54 2001-02 High Court
Tax
Act, 1947 0.15 1996-97 High Court
8.38 1998-99 Tribunal
1999-00
2000-01
2001-02
2002-03
4.42 1999-00 Tribunal
2000-01
Orissa Value 325.77 2008-09 Addl.Commissioner
Added , Tax
Act 2005
Punjab Value 0.99 2006-07 Dy.Commissioner
Added,
Tax Act 2005
199.06 2005-06 STO
2006-07
Rajasthan 237.14 2008-09 Dy.Commissioner
Entry Tax 2009-10
Act, 2005 2010-11
2011-12
2012-13
2013-14
51.87 2007-08 Dy.Commissioner
2008-09
Name of Statue Nature of Dues
Rajasthan Sales Penalty
Tax Act, 1954
Rejection of surcharge
on TOT
Rajasthan Value , Excess tax rate charged
Added Tax Act 2005
Tamil Nadu General Demand on imported goods
Sales Tax Act, 1959 taxed at Higher rate
Demand raised due to
Form- C & F short
Enhancement of turnover
Entry Tax
Penal interest on
late payment
Tamil Nadu Value Check post penalty
Added Tax Act,
2006
Forms- C & F short deposited
Forms- F short deposited
Payment Challan not considered
Amount Period to which Forum
Name of Statue (Rs. Lacs) amount relates Pending
Rajasthan 1.03 2001-02 ACTO
Sales
Tax Act, 2.55 2000-01 STO
1954
25.14 2011-12 Dy.Commissioner
Rajasthan
Value , 75.32 2002-03 High Court
Added Tax 2003-04
Act 2005
5.24 2004-05 Dy.Commissioner
Tamil Nadu
General
Sales Tax 39.17 1994-95 High Court
Act, 1959
1995-96
1996-97
1997-98
0.89 2001-02 High Court
3.07 2002-03 High Court
Tamil Nadu 18.09 2013-14 Joint Commissioner
Value Added 2014-15
Tax Act, 17.04 2010-11 CTO
2006
1.11 2012-13 Joint Commissioner
0.15 2009-10 CTO
The Jharkhand Interest &Penalty 0.78 2005-06
Value Added Non submission of forms 0.88 2004-05
Tax Act, 2006-07
2003 Turnover increment as 42.04 2010-11
per the department
UP Entry Tax Entry Tax 33.18 2008-09
Act, 2007 Entry tax & interest 7.69 2009-10
UP Value Enhancement of turnover 32.29 2010-11
Added Tax
Act, 2008 Penalty at Check Post 1.52 2009-10
2012-13
Penalty at Check Post 7.83 2012-13
2013-14
Provisional Assmt for 9.32 2009-10
Feb.10
Turnover increment as 46.33 2011-12
per the departmental
stock inspection
West Rejection of claim 31.22 2000-01
Bengal of
Sales Rejection of claim of 7.26 2001-02
Tax Act, concessional sale.etc
1944
eion of claim of 5.02 2002-03
concessional sale.etc
eion of claim 2.36 2004-05
of Commissioner
eion of claim of 32.04 1998-99
credit notes, forms
short etc
eion of claim of 217.66 1999-00
credit notes, forms
short etc
eion of claim of credit 11.36 2001-02
notes, forms short etc
eion of claim of credit 105.14 2002-03
notes, forms short etc
West Rejection of claim of 11.79 2006-07
Bengal concessional sale.etc
Value
Tax Rejection of claim 9.71 2008-09
Added of concessional sale.
Act, etc
2005 Rejection of claim of 105.67 2005-06
credit notes, forms
short etc
Rejection of claim of 1.30 2005-06
credit notes, forms
short etc
SRN rejected 0.71 2011-12
Increased in turnover 3.56 2010-11
due to form rejection
The Jharkhand STO
Value Added STO
Tax Act, Joint Commissioner
2003
UP Entry Tax Supreme Court
Act, 2007 Supreme Court
UP Value Joint Commissioner
Added Tax
Act, 2008 Addl.Commissioner
Joint Commissioner
Addl.Commissioner
Addl.Commissioner
West Revision Board
Bengal
Sales Dy.Commissioner
Tax Act,
1944 Special Commissioner
Addl.Commissioner
Tribunal
Revision Board
2003-04
2004-05
Dy.Commissioner
Special Commissioner
West Addl.Commissioner
Bengal
Value Revision Board
Tax
Added Asst.Commissioner
Act,
2005 Revision Board
Joint Commissioner
Joint Commissioner
According to the information and explanation given to us, there are no
dues of wealth-tax, income tax, and cess which have not been
deposited on account of any dispute.
(d) There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company in
accordance with the relevant provisions of the Companies Act,
1956 (1 of 1956) and rules made thereunder.
(viii) The Company has no accumulated losses at the end of the
financial year and it has not incurred cash losses in the current and
immediately preceding financial year.
(ix) Based on our audit procedures and as per the information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in repayment of dues to a bank. The Company
has no outstanding dues in respect of debentures and other securities.
(x) According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
(xi) The Company did not have any term loans outstanding during the
year.
(xii) Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the year.
For S.R. Batliboi & CO. LLP
Firm registration number: 301003E
Chartered Accountants
per Raman Sobti
Place of Signature : Gurgaon Partner
Date : May 20, 2015 Membership No.: 89218
Mar 31, 2014
We have audited the accompanying financial statements of Whirlpool of
India Limited ("the Company"), which comprise the Balance Sheet as at
March 31, 2014, and the Statement of Profit and Loss and Cash Flow
Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
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 notified under the Companies Act, 1956, read with
General Circular 8/2014 dated 4 April 2014 issued by the Ministry of
Corporate Affairs. 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 the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the
Company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances but not for the purpose of expressing an opinion on the
effectiveness of the entity''s internal control. An audit also includes
evaluating the appropriateness of accounting policies used and the
reasonableness of the accounting estimates made by management, as well
as evaluating the overall presentation of the financial statements. 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 Companies Act, 1956 ("the Act") in the manner so
required and give a true and fair view in conformity with the
accounting principles generally accepted in India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
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 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, the Statement of Profit and
Loss, and the Cash Flow Statement comply with the Accounting Standards
notified under the Companies Act, 1956, read with General Circular
8/2014 dated 4 April 2014 issued by the Ministry of Corporate Affairs;
(e) On the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
Annexure referred to in paragraph 1 of our report of even date
Re: Whirlpool of India Limited (''the Company'')
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) All fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its assets. As informed, no
material discrepancies were noticed on such verification.
(c) There was no substantial disposal of fixed assets during the year.
(ii) (a) The management has conducted physical verification of
inventory at reasonable intervals during the year.
(b) The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification.
(iii) (a) As informed, the Company has not granted any loans, secured
or unsecured to companies, firms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956.
Accordingly, the provisions of clause 4(iii) (a) to (d) of the
Companies (Auditor''s Report) Order, 2003 (as amended) (herein referred
to as the Order) are not applicable to the Company and hence not
commented upon.
(b) According to information and explanations given to us, the Company
has not taken any loans, secured or unsecured from companies, firms or
other parties covered in the register maintained under section 301 of
the Companies Act, 1956. Accordingly, the provisions of clause
4(iii)(e) to (g) of the Order are not applicable to the Company and
hence not commented upon.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and for the sale of goods and
services. During the course of our audit, no major weakness has been
noticed in the internal control system in respect of these areas.
During the course of our audit, we have not observed any continuing
failure to correct major weakness in internal control system of the
company.
(v) In our opinion, there are no contracts or arrangements that need to
be entered in the register maintained under Section
301 of the Companies Act, 1956. Accordingly, the provisions of clause 4
(v) (b) of the Order are not applicable to the Company and hence not
commented upon.
(vi) The Company has not accepted any deposits from the public.
(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 books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under section 209(1)(d) of the Companies
Act, 1956, and are of the opinion that prima facie, the prescribed
accounts and records have been made and maintained. We have not,
however, made a detailed examination of the same.
(ix) (a) Undisputed statutory dues including provident fund, investor
education and protection fund, or employees'' state insurance,
income-tax, sales-tax, wealth-tax, service tax, customs duty, excise
duty, cess and other material statutory dues have generally been
regularly deposited with the appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, investor
education and protection fund, employees'' state insurance, income-tax,
wealth-tax, service tax, sales-tax, customs duty, excise duty, cess and
other undisputed statutory dues were outstanding, at the year end, for
a period of more than six months from the date they became payable.
(c) According to the records of the Company, the dues outstanding of
sales-tax, service tax, excise duty on account of any dispute, are as
follows:
Name of Statue Nature of Dues Amount Period Forum Pending
(Rs. Lacs) to which
amount
relates
Customs Act,
1962 Custom duty on
non fulfillment
of project imports 158.28 1993-94 CESTAT
Central Excise
Act, 1944 Differential duty
demanded by the
department on
washers 16.58 2000-2003 CESTAT
Recovery of Cenvat
Credit 5.00 1993-94 CESTAT
Service Tax
Rules, 1994 Service Tax on
Techl.Know how,
Bill Discounting 133.64 2005-07 CESTAT
Service Tax on
Gtech Exports, &
Tech.Know how 82.53 2005-06, CESTAT
2007-08
Andhra Pradesh
General Sales
Tax Tax levied on
optional service
contacts, Tax on
exempted turnover 18.02 2000-01, Tribunal
Act, 1957 2002-03,
2003-04
Statutory forms
short 16.65 2010-11 CTO
Bihar Sales
Tax Act, 1959 Penalty at
Check Post 3.01 2002-03 Tribunal
Entry Tax 0.91 2003-04 STO
Rebate disallowed 0.52 2004-05 Dy.
Commissioner
Bihar Value
Added Tax
Act, 2005 Non submission
of forms 0.80 2005-06 Dy.
Commissioner
Rejection of
incentive discount 0.92 2006-07 Dy.
Commissioner
Rejection of
credit notes 26.04 2011-12 Joint
Commissioner
Forms short 33.77 2012-13, Joint
Commissioner
2013-14
Bombay Sales
Tax Act, 1959 Tax on CQB
excess claimed
& forms short
deposited etc 8.76 2004-05 Joint
Commissioner
Maharastra
Value Added
Tax Act, C-form short 1.94 2005-06 Joint
Commissioner
2005
Tax on CQB excess
claimed & forms
short deposited etc 417.85 2005-06
to Joint
Commissioner
2007-08
Haryana Value
Added Tax Act,
2003 Entry Tax 58.54 2007-08 Supreme Court
J & K Value
Added Tax
Act, 2005 Rejection of
claim of HUPS sale 4.22 2007-08
to Dy.
Commissioner
2009-10
Penalty at Check
Post 1.33 2012-13 Dy.
Commissioner
Kerela Value
Added Tax
Act, 2005 Non submission
of forms 0.52 2005-06 STO
Non submission
of forms. 43.74 2006-07 Dy.
Commissioner
Penalty at
Check Post 0.59 2006-07 Tribunal
Rejection of claim
for concessional
sale 78.10 2008-09 Dy.
Commissioner
Dispute on tax
rate-HUPS 21.20 2009-10, Dy.
Commissioner
2010-11
Penalty at Check
Post 3.11 2009-10 Dy.
Commissioner
Penalty at Check
Post 1.07 2009-10 Intelligence
2010-11
Rejection of
claim on statutory
forms 237.94 2009-10 Dy.
Commissioner
Penalty at Check
Post 1.57 2010-11 Dy.
Commissioner
Penalty at Check
Post 0.45 2007-08 Dy.
Commissioner
Rejection of
claim on
statutory forms 36.25 2011-12 Dy.
Commissioner
Penalty at
Check Post 4.89 2012-13, Intelligence
2013-14
Penalty at Check
Post 4.50 2012-13 Dy.
Commissioner
MP commercial
Tax Act, 1944 Rejection of
credit notes 9.10 1998-99 Tribunal
Rejection of
sales return 2.23 1999-00 Tax Board
Rejection of
credit notes 13.79 2001-02 High Court
Rejection of
claim on
discounts 41.01 2002-03, Addl.
Commissioner
2003-04
Rejection of
Forms 0.13 2003-04 Addl.
Commissioner
Rejection of
sales return 1.95 2004-05 High Court
MP Value Added
Tax Act, 2005 Rejection of
sales return 15.59 2005-06 Addl.
Commissioner
Orissa Sales
Tax Act, 1947 Non submission
of forms 0.15 1996-97 High Court
Non submission
of forms 8.37 1998-99
to Tribunal
2002-03
Rejection of
sales return 4.43 1999-00, Tribunal
2000-01
Enhancement of
turnover 0.54 2001-02 High Court
Orissa Value
Added Tax Act,
2005 Non submission of
forms 116.98 2009-10
to Addl.
Commissioner
2012-13
Tax on entry
of goods 325.77 2008-09 Addl.
Commissioner
Tax on entry of
goods 6.26 2008-09 STO
Punjab Value
Added Tax Act,
2005 Penalty at Check
Post 0.99 2006-07 Dy.
Commissioner
Tax on freight
charged on
invoices 199.06 2005-06, STO
2006-07
Rajasthan Entry
Tax Act, 2005 Entry Tax 289.01 2007-08
to Dy.
Commissioner
2013-14
Rajasthan Sales
Tax Act, 1954 Rejection of
surcharge on TOT 2.55 2000-01 STO
Tamil Nadu
General Sales
Tax Act, Enhancement of
turnover 69.32 1994-95
to High Court
1959 1997-98
Entry Tax 0.89 2001-02 High Court
Demand on imported
goods taxed at
Higher rate 75.32 2002-03, High Court
2003-04
Penal interest on
late payment 3.07 2002-03 High Court
Rejection of Sales
return & F-Form
short 22.51 2004-05, Dy.
Commissioner
2005-06
Tamil Nadu
Value Added
Tax Act, Payment Challan
not considered 0.15 2009-10 CTO
2006
Non submission
of forms 22.59 2010-11, CTO
2011-12
Check post penalty 10.05 2013-14 Joint
Commissioner
The Jharkhand
Value Added
Tax Act, Interest & penalty 0.78 2005-06 STO
2003
Non submission
of forms 0.23 2004-05 STO
Non submission of
forms 0.65 2006-07 STO
Rejection of
discount 18.87 2008-09
to Commissioner
of
2010-11 sales tax
UP Entry Tax
Act, 2007 Entry Tax 40.26 2008-09, Supreme Court
2009-10
UP Value Added
Tax Act, 2008 Provisional Assmt 18.54 2008-09, Addl.
Commissioner
2009-10
Penalty at Check
Post 9.35 2009-10, Addl.
Commissioner
2012-13,
2013-14
F-Form short &
sales turnover
increased 14.82 2011-12 Addl.
Commissioner
Turnover increment
as per the
departmental stock
inspection 46.33 2011-12 Addl.
Commissioner
Uttrakhand
Value Added
Tax Act, Tax on gas sales 1.82 2008-09, First Appl.
Authority
2005 2009-10
West Bengal
Sales Tax Act,
1944 Rejection of claim
of credit notes on
discount 32.04 1998-99 Tribunal
Rejection of claim
of credit notes on
discount 258.88 1999-00, Revision
Board
2000-01,
2003-04,
2004-05
Rejection of claim
of credit notes on
discount 18.62 2001-02 Dy.
Commissioner
Rejection of claim
of credit notes on
discount 110.16 2002-03 Special
Commissioner
Rejection of claim
of concessional
sale.etc 2.36 2004-05 Addl.
Commissioner
West Bengal
Value Added
Tax Act, Rejection of claim
of credit notes,
forms short etc 105.67 2005-06 Asst.
Commissioner
2005
Rejection of claim
of credit notes,
forms short etc 11.01 2005-06, Revision Board
2008-09
Rejection of claim
of concessional
sale.etc 11.79 2006-07 Addl.
Commissioner
Increased in Turn
over due to from
rejection 1,079.68 2010-11 Joint
Commissioner
According to the information and explanation given to us, there are no
dues of wealth-tax, service tax, and cess which have not been deposited
on account of any dispute.
(x) The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
(xi) Based on our audit procedures and as per the information and
explanations given by the management, we are of the
opinion that the Company has not defaulted in repayment of dues to
bank. The Company has no outstanding dues in respect of debentures and
other securities.
(xii) According to the information and explanations given to us and
based on the documents and records produced to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi /
mutual benefit fund / society. Therefore, the provisions of clause
4(xiii) of the Order are not applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) 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 bank
or financial institutions.
(xvi) The Company did not have any term loans outstanding during the
year.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that no funds raised on short-term basis have been used for long-term
investment.
(xviii) The Company has not made any preferential allotment of shares
to parties or companies covered in the register maintained under
section 301 of the Companies Act, 1956.
(xix) The Company did not have any outstanding debentures during the
year.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the course of our audit.
For S.R. Batliboi & CO. LLP
Firm registration number: 301003E
Chartered Accountants
per Tridibes Basu
Place of Signature : Gurgaon Partner
Date : May 19, 2014 Membership Number: 17401
Mar 31, 2013
Report on the Financial Statements
We have audited the accompanying financial statements of Whirlpool of
India Limited ("the Company"), which comprise the Balance Sheet as at
March 31, 2013, and the Statement of Profit and Loss and Cash Flow
Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
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 ("the Act"). This responsibility includes the
design, implementation and maintenance of internal control relevant to
the preparation and presentation of the financial statements that give
a true and fair view and are free from material misstatement, whether
due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the
Company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall
presentation of the financial statements. We believe that the audit
evidence we have obtained is sufficient and appropriate to provide a
basis for our audit opinion.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the financial statements give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India:
(a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2013;
(b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Report on Other Legal and Regulatory Requirements
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 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,
and Cash Flow Statement comply with the Accounting Standards referred
to in subsection (3C) of section 211 of the Companies Act, 1956;
(e) On the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
Annexure referred to in paragraph [1] of "Report on Other Legal and
Regulatory Requirements" in our report of even date
Re: Whirlpool of India Limited (''the Company'')
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) All fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its assets. No material
discrepancies were noticed on such verification.
(c) There was no disposal of a substantial part of fixed assets during
the year.
(ii) (a) The management has conducted physical verification of
inventory at reasonable intervals during the year.
(b) The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Accordingly, the
provisions of clause 4(iii)(a) to (d) of the Companies (Auditor''s
Report) Order, 2003 (as amended) (herein referred to as the Order) are
not applicable to the Company and hence not commented upon.
(e) According to information and explanations given to us, the Company
has not taken any loans, secured or unsecured from companies, firms or
other parties covered in the register maintained under section 301 of
the Companies Act, 1956. Accordingly, the provisions of clause
4(iii)(e) to (g) of the Order are not applicable to the Company and
hence not commented upon.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and for the sale of goods and
services. During the course of our audit, we have not observed any
major weakness or continuing failure to correct any major weakness in
the internal control system of the Company in respect of these areas.
(v) In our opinion, there are no contracts or arrangements that need to
be entered in the register maintained under Section 301 of the
Companies Act, 1956. Accordingly, the provisions of clause 4 (v) (b) of
the Order are not applicable to the Company and hence not commented
upon.
(vi) The Company has not accepted any deposits from the public.
(vii) In our opinion, the Company has an internal audit system
commensurate with the size of the Company and nature of its business.
(viii) We have broadly reviewed the books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under section 209(1)(d) of the Companies
Act, 1956, related to the manufacturing of refrigerators and washing
machines and are of the opinion that prima facie, the prescribed
accounts and records have been made and maintained. We have not,
however, made a detailed examination of the same.
(ix) (a) Undisputed statutory dues including provident fund, investor
education and protection fund, employees'' state insurance, income-tax,
sales-tax, wealth-tax, service tax, customs duty, excise duty, cess and
other material statutory dues have generally been regularly deposited
with the appropriate authorities though there has been a slight delay
in a few cases. Further, since the Central Government has till date
not prescribed the amount of cess payable under section 441 A of the
Companies Act, 1956, we are not in a position to comment upon the
regularity or otherwise of the Company in depositing the same.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, investor
education and protection fund, employees'' state insurance, income-tax,
wealth-tax, service tax, sales-tax, customs duty, excise duty, cess and
other material statutory dues were outstanding, at the year end, for a
period of more than six months from the date they became payable.
(c) According to the records of the Company, the dues outstanding of
sales-tax, customs duty and excise duty on account of any dispute, are
as follows:
Name of
Statue Nature of Dues Amount Period Forum Pending
(Rs. Lacs)
Customs
Act, 1962 Custom duty on non
fulfillment of
project imports 158.28 1993-94 CESTAT
Central
Excise
Act, 1944 Differential duty
demanded by the
department on
washers, 21.58 2000-2003 CESTAT
recovery of cenvat
credit 1993-94
Service Tax
Rules, 1994 Service tax on
techical knowhow,
bills discounting and 216.17 2005-07 CESTAT
exports, services
(Gtech) 2005-06, CESTAT
2007-08
UP Value
Added Tax
Act, 2008 Provisional
assessment and
Enhancement of
Turnover 17.73 2008-10 Addl.
Commissioner
Uttrakhand
Value added Disallowance of
concessional sale
of refrigeration gas 1.00 2008-09 First
Appellate
Authority
Tax Act,
2005
West Bengal
Sales Tax Rejection of claim
of credit notes,
forms short, etc 225.17 2002-03, Asst.
Commissioner
Act, 1944 2004-05,
Rejection of claim
of credit notes,
forms short, etc 34.42 1998-99, Addl.
Commissioner
2004-05
Rejection of claim
of credit notes,
forms short etc,
Rejection of 158.19 1999-02, Tax Board
claim for
concessional sale 2003-04,
2005-06
Rejection of claim
of concessional
sale.etc 6.76 2002-03 Special
Commissioner
West Bengal
Value Added Rejection of claim
of credit notes,
forms short etc,
Enhancement 363.39 2006-07, Addl.
Commissioner
Tax Act,
2005 of Turnover 2008-10,
2009-10
Rejection of claim
of credit notes,
forms short, etc 111.65 2005-06 Asst.
Commissioner
According to the information and explanations given to us, there are no
dues of wealth-tax, service tax, and cess which have not been deposited
on account of any dispute.
(x) The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
(xi) Based on our audit procedures and as per the information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in repayment of dues to banks. The Company
has no outstanding dues in respect of debentures to a financial
institution.
(xii) According to the information and explanations given to us and
based on the documents and records produced before us, the Company has
not granted loans and advances on the basis of security by way of
pledge of shares, debentures and other securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi /
mutual benefit fund / society. Therefore, the provisions of clause
4(xiii) of the Order are not applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) 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.
(xvi) The Company did not have any term loan outstanding during the
year.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that no funds raised on short-term basis have been used for long-term
investment.
(xviii) The Company has not made any preferential allotment of shares
to parties or companies covered in the register maintained under
section 301 of the Companies Act, 1956.
(xix) The Company did not have any outstanding debentures during the
year.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the year.
For S R Batliboi & Co LLP
Chartered Accountants
ICAI Firm registration number: 301003E
per Tridibes Basu
Place: Gurgaon Partner
Date : May 14, 2013 Membership No.: 17401
Mar 31, 2012
1. We have audited the attached Balance Sheet of Whirlpool of India
Limited ('the Company') as at March 31, 2012 and also the Statement of
Profit and Loss Account 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 an opinion on these financial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material 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 (Auditor's 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, we enclose
in the Annexure a statement on the matters specified in paragraphs 4
and 5 of the said Order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. we have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
ii. in our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
those books;
iii. the Balance Sheet, Statement of Profit and Loss Account and Cash
Flow Statement dealt with by this report are in agreement with the
books of account;
iv. in our opinion, the Balance Sheet, Statement of Profit and Loss
Account and Cash Flow Statement dealt with by this report comply with
the accounting standards referred to in sub-section (3C) of Section 211
of the Companies Act, 1956.
v. On the basis of the written representations received from the
directors, as on March 31, 2012 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
March 31, 2012 from being appointed as a director in terms of clause
(g) of sub-section (1) of Section 274 of the Companies Act, 1956.
vi. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India;
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2012;
b) in the case of the Statement of Profit and Loss Account, 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.
Annexure referred to in paragraph [3] of our report of even date Re:
Whirlpool of India Limited ('the Company')
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) All fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its assets. No material
discrepancies were noticed on such verification.
(c) There was no disposal of a substantial part of fixed assets during
the year.
(ii) (a) The management has conducted physical verification of
inventory at reasonable intervals during the year.
(b) The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification.
(iii) (a) According to the information and explanations given to us,
the Company has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Accordingly, the
provisions of clause 4(iii)(a) to (d) of the Companies (Auditor's
Report) Order, 2003 (as amended) (herein referred to as the Order) are
not applicable to the Company and hence not commented upon.
(e) According to information and explanations given to us, the Company
has not taken any loans, secured or unsecured from companies, firms or
other parties covered in the register maintained under section 301 of
the Companies Act, 1956. Accordingly, the provisions of clause
4(iii)(e) to (g) of the Order are not applicable to the Company and
hence not commented upon.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and for the sale of goods and
services. During the course of our audit, we have not observed any
major weakness or continuing failure to correct any major weakness in
the internal control system of the Company in respect of these areas.
(v) (a) In our opinion, there are no contracts or arrangements that
need to be entered in the register maintained under Section 301 of the
Companies Act, 1956. Accordingly, the provisions of clause 4 (v) (b) of
the Order are not applicable to the Company and hence not commented
upon.
(vi) The Company has not accepted any deposits from the public.
(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 books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under section 209(1)(d) of the Companies
Act, 1956, related to the manufacturing of refrigerators and washing
machines and are of the opinion that prima facie, the prescribed
accounts and records have been made and maintained.
(ix) (a) Undisputed statutory dues including provident fund, investor
education and protection fund, employees' state insurance, income-tax,
sales-tax, wealth-tax, service tax, customs duty, excise duty, cess and
other material statutory dues have generally been regularly deposited
with the appropriate authorities though there has been a slight delay
in a few cases.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, investor
education and protection fund, employees' state insurance, income-tax,
wealth-tax, service tax, sales-tax, customs duty, excise duty, cess and
other material undisputed statutory dues were outstanding, at the year
end, for a period of more than six months from the date they became
payable.
(c) According to the records of the Company, the dues outstanding of
sales-tax, customs duty and excise duty on account of any dispute, are
as follows:
Name of Statue Nature of Dues
Customs Act, 1962 Custom duty on non fulfillment of project
imports
Central Excise Act, Differential duty demanded by the department
1944 on washers
Recovery of Cenvat Credit
Service Tax Rules, Service Tax on Technical Knowhow,
1994 Bill Discounting
Service Tax on Gtech Exports,
& Technical knowhow
Andhra Pradesh General Tax levied on optional service contacts,
Sales Tax Act, 1957 Tax on exempted turnover
Tax levied on optional service contacts,
Tax on exempted turnover
Tax levied on optional service contacts,
Tax on exempted turnover
Bihar Value Added Disallowance of rebate
Tax Act, 2005
Rejection of incentive discount & Non
submission of forms
Delhi Sales Tax Act, Rejection of claim on forms
1975
Rejection of claim of OSC charges
Gujarat Sales Tax Act, Rejection of sales return, Non submission of
1969 forms
Haryana General Enhancement of turnover, Non submission
Sales Tax Act, 1973 of forms
J & K GST Act, 1962 Non submission of forms & rejection of claim
of HUPS sales
Kerala General Sales Rejection of claim on credit notes
Tax Act, 1963
Rejection of sales returns, Rejection
of credit notes, forms short deposited,
Rejection of claim for concessional sale
& penalty
Enhancement of turnover & non submission
of forms
Kerala Value Added Rejection of credit notes on discounts,
Tax Act, 2005 enhancement of turnover & non submission
of forms
MP Commercial Tax Act, Rejection of credit notes
1944
Rejection of claim on discounts, Rejection
of credit notes and Rejection of sales return
Rejection of sales return
Rejection of claim on discounts and
Non submission of forms
MP Value Added Tax Act, Rejection of sales return
2005
Orissa Sales Tax Act, Non submission of forms, Levy of entry tax,
1947 Enhancement of turnover, Dispute in rate
of tax
Non submission of forms, Enhancement of
turnover, Rejection of sales return
Non submission of forms &Enhancement
of turnover
Rajasthan Value Added Rejection of surcharge,
Tax Act, 2005 Ex-parte order of entry tax
Tamil Nadu General Demand on imported goods taxed at Higher rate
Sales Tax Act, 1959
Penal interest on late payment
Enhancement of turnover & Entry tax
Tamil Nadu Value Added Enhancement of turnover & Form short
Tax Act, 2005 & Rejection of Stock Trf & C-form short
The Chhattisgarh Value Rejection of Forms
Added Tax Act, 2003
Penalty at Check Post
Levy of entry tax
UP Entry Tax Act, 2007 Entry tax
UP Value Added Tax Act, Penalty at Check Post
2008
Rejection of claim of credit notes,
forms short, etc.
Provisional Assessment
West Bengal Sales Rejection of claim of credit notes,
Tax Act, 1944 forms short, etc
Rejection of claim of credit notes,
forms short, etc
Rejection of claim of credit notes,
forms short etc,
Rejection of claim for concessional sale
Rejection of claim of concessional sale.etc
West Bengal Value Added Rejection of claim of credit notes,
Tax Act, 2005 forms short etc
Punjab Value Added Tax on freight charged on invoices
Tax Act, 2005
Penalty at Check Post
Penalty at Check Post
Maharashtra Value Added Tax on CQB excess claimed & forms short
Tax Act, 2005 deposited etc
Name of Statue Amount Period Forum Pending
(Rs. Lacs)
Customs Act, 1962 158.28 1993-94 CESTAT
Central Excise Act, 16.58 2000-03 CESTAT
1944
5.00 1993-94 CESTAT
Service Tax Rules, 133.64 2005-07 CESTAT
1994
77.56 2005-06, CESTAT
2007-08
Andhra Pradesh Genaral 18.02 2000-01, Tribunal
Sales Tax Act, 1957 2002-04
8.50 1993-94 Sales Tax Officer
3.32 2006-08 Deputy Commissioner
Bihar Value Added 0.51 2004-05 Deputy Commissioner
tax Act, 2005
30.41 2005-07 Deputy Commissioner
Delhi Sales Tax Act, 0.48 2002-03 Sales Tax Officer
1975
2.96 2003-04 Addl. Commissioner
Gujarat Sales Tax Act, 7.38 1993-04, Tribunal
1969 1996-98
Haryana General 23.77 1997-98, Joint Commissioner
Sales Tax Act, 1973 2006-07,
2007-08
J & K GST Act, 1962 3.76 2007-08 Dy. Commissioner
2008-09
Kerala General Sales 10.39 1997-98 Sales Tax Officer
Tax Act, 1963
5.87 1999-01 Dy. Commissioner
38.96 2002-03 Sales Tax Officer
Kerala Value Added 331.68 2003-11 Dy. Commissioner
Tax Act, 2005
MP Commercial Tax 13.79 2001-02 High Court
Act, 1944
31.46 1998-00, Tribunal
2002-03
1.95 2004-05 Tax Board
24.62 2003-05 Addl. Commissioner
MP Value Added Tax 15.59 2005-06 Addl. Commissioner
Act, 2005
Orissa Sales Tax Act, 23.48 1992-94, Asst. Commissioner
1947 1996-99,
2002-03
32.31 1999-00, Tribunal 1991-93,
2000-02
34.11 1991-97 STO
1999-02
Rajasthan Value Added 54.42 2000-01 Dy. Commissioner
Tax Act, 2005 2007-09
Tamil Nadu General 75.32 2002-04 High Court
Sales Tax Act, 1959
3.07 2002-03 High Court
2.39 1997-98 Addl.Commissioner
2001-02
Tamil Nadu Value Added 730.17 2007-10 Addl.Commissioner
Tax Act, 2005
The Chhattisgarh Value 169.96 2002-03 Addl. Commissioner
Added Tax Act, 2003
3.01 2002-03 Tribunal
3.11 2002-03, Commissioner of Sales
2004-07 Tax
UP Entry Tax Act, 2007 0.69 2007-08 High Court
UP Value Added Tax Act, 0.12 2010-11 Deputy Commissioner
2008
8.51 2009-10 Addl. Commissioner
5.87 2010-11 Joint Commissioner
West Bengal Sales 336.82 2002-03, Asst. Commissioner
Tax Act, 1944 2004-05,
2005-06
47.17 1998-99, Addl. Commissioner
2004-05
2006-07,
158.19 1999-02, Tax Board
2003-04
2005-06
6.76 2002-03 Special Commissioner
9.71 2008-09 Addl. Commissioner
265.41 2005-07 STO
0.99 2006-07 Dy. Commissioner
0.64 2010-11 Dy. Commissioner
Maharashtra Value Added 10.95 2004-05 Dy. Commissioner
Tax Act, 2005
According to the information and explanations given to us, there are no
dues of income-tax, wealth-tax, service tax, and cess which have not
been deposited on account of any dispute.
(x) The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
(xi) Based on our audit procedures and as per the information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in repayment of dues to banks. The Company
has no outstanding dues in respect of debentures or financial
institution.
(xii) According to the information and explanations given to us and
based on the documents and records produced before us, the Company has
not granted loans and advances on the basis of security by way of
pledge of shares, debentures and other securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi /
mutual benefit fund / society. Therefore, the provisions of clause
4(xiii) of the Order are not applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) 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.
(xvi) The Company did not have any term loan outstanding during the
year.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that no funds raised on short-term basis have been used for long-term
investment.
(xviii) The Company has not made any preferential allotment of shares
to parties or companies covered in the register maintained under
section 301 of the Companies Act, 1956.
(xix) The Company did not have any outstanding debentures during the
year.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the year.
For S.R. Batliboi & Co.
Firm Registration Number: 301003E
Chartered Accountants
per Tridibes Basu
Place: Gurgaon Partner
Date : May 8, 2012 Membership No.: 17401
Mar 31, 2011
1. We have audited the attached Balance Sheet of Whirlpool of India
Limited (the Company) as at March 31, 2011 and also the Profit and
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.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material 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, we enclose
in the Annexure a statement on the matters specified in paragraphs 4
and 5 of the said Order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. we have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
ii. in our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
those books;
iii. the Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
iv. in our opinion, the Balance Sheet, Profit and Loss Account and Cash
Flow Statement dealt with by this report comply with the accounting
standards referred to in sub-section (3C) of Section 211 of the
Companies Act, 1956.
v. On the basis of the written representations received from the
directors, as on March 31, 2011 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
March 31, 2011 from being appointed as a director in terms of clause
(g) of sub-section (1) of Section 274 of the Companies Act, 1956.
vi. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India;
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2011;
b) in the case of the Profit and Loss Account, of the 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.
Annexure referred to in paragraph [3] of our report of even date Re:
Whirlpool of India Limited (the Company)
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fixed
assets.
(b) All fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion, is reasonable having regard to the
size of the Company and the nature of its assets. No material
discrepancies were noticed on such verification.
(c) There was no disposal of a substantial part of fixed assets during
the year.
(ii) (a) The management has conducted physical verification of
inventory at reasonable intervals during the year.
(b) The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification.
(iii) (a) The Company has not granted any loans, secured or unsecured
to companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Accordingly, the
provisions of clause 4(iii) (a) to (d) of the Companies (Auditors
Report) Order, 2003 (as amended) (herein referred to as the Order) are
not applicable to the Company and hence not commented upon.
(b) The Company has not taken any loans, secured or unsecured from
companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Accordingly, the
provisions of clause 4(iii) (e) to (g) of the Order are not applicable
to the Company and hence not commented upon.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fixed assets and for the sale of goods and
services. During the course of our audit, we have not observed any
major weakness or continuing failure to correct any major weakness in
the internal control system of the Company in respect of these areas.
(v) (a) In our opinion, there are no contracts or arrangements that
need to be entered in the register maintained under Section 301 of the
Companies Act, 1956. Accordingly, clause 4 (v) (b) of he Order are not
applicable to the Company and hence not cmmented upon.
(vi) In respect of deposits accepted in earlier years, in our opinion
and according to the information and explanations given to us,
directives issued by the Reserve Bank of India and the provisions of
sections 58A, 58AA or any other relevant provisions of the Companies
Act, 1956 and the rules framed there under, to the extent applicable,
have been complied with. We are informed by the management that no
order has been passed by the Company Law Board, National Company Law
Tribunal or Reserve Bank of India or any Court or any other Tribunal.
(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 books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under section 209(1)(d) of the Companies
Act, 1956, related to the manufacturing of refrigerators and washing
machines and are of the opinion that prima facie, the prescribed
accounts and records have been made and maintained.
(ix) (a) Undisputed statutory dues including provident fund, investor
education and protection fund, employees state insurance, income-tax,
sales-tax, wealth-tax, service tax, customs duty, excise duty and other
material statutory dues have generally been regularly deposited with
the appropriate authorities though there has been a slight delay in a
few cases.
Further, since the Central Government has till date not prescribed the
amount of cess payable under section 441 A of the Companies Act, 1956,
we are not in a position to comment upon the regularity or otherwise of
the Company in depositing the same.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, investor
education and protection fund, employees state insurance, income-tax,
wealth-tax, service tax, sales-tax, customs duty, excise duty and other
material undisputed statutory dues were outstanding, at the year end,
for a period of more than six months from the date they became payable.
(c) According to the records of the Company, the dues outstanding of
income-tax, sales- tax, customs duty and excise duty on account of any
dispute, are as follows:
Name of Statue Nature of Dues Amount
(Rs. Lacs)
Customs Act, 1962 Custom duty on non fulfillment
of project imports 158.28
Central Excise
Act, 1944 Differential duty demanded by
the department on washers 16.58
Recovery of Cenvat Credit 5.00
Income Tax Act, 1961 Penalty on transfer pricing adjustment 638.61
Andhra Pradesh
General Tax levied on optional service
contacts, 18.02
Sales Tax Act, 1957 Tax on exempted turnover
Tax levied on optional service contacts,
Tax on exempted Turnover 20.95
Tax levied on optional service
contacts, 3.32
Tax on exempted turnover
Bihar Value Added Rejection of incentive discount & 50.12
Tax Act, 2005 Non submission of forms
Bombay Sales Tax
Act, 1959 Rejection of claim for concessional sale21.75
Delhi Sales Tax
Act, 1975 Rejection of claim of OSC charges 2.96
Gujarat Sales Tax
Act, 1969 Rejection of sales return, Non
submission of forms 7.38
Name of Statue Period Forum Pending
Customs Act, 1962 1993-94 CESTAT
Central Excise Act, 1944 2000-2003 CESTAT
1993-94 CESTAT
Income Tax Act, 1961 2002-03 Commissioner of
Income Tax (Appeals)
Andhra Pradesh General
Sales Tax Act, 1957 2000-01& Tribunal
2002-04
2001-02 &
1993-94 STO
2006-08 Deputy Commissioner
Bihar Value Added
Tax Act, 2005 2005-07 Asst. Commissioner
Bombay Sales Tax Act, 1959 1997-99 Tribunal
Delhi Sales Tax Act, 1975 2003-04 Addl. Commissioner
Gujarat Sales Tax Act, 1969 1993-04 & Tribunal
1996-98
Name of Statue Nature of Dues Amount
(Rs. Lacs)
Haryana General Sales Non submission of forms 21.57
Tax Act, 1973
J & K GST Act, 1962 Non submission of forms & rejection
of claim on sales 2.11
Kerela Value Added Rejection of sales returns,
Rejection of credit notes, 231.66
Tax Act, 2005 forms short deposited, Rejection
of claim for concessional sale
& penalty
Enhancement of turnover 38.96
Kerela General Sales Rejection of claim on credit notes, 77.84
Tax Act, 1963 Rejection of statutory forms
Rejection of claim on credit notes 10.39
MP Commercial Rejection of credit notes 13.79
Tax Act, 1944
Rejection of claim on discounts, 31.32
Rejection of credit notes and
Rejection of sales return
Rejection of sales return 1.95
Rejection of claim on discounts and 24.49
Non submission of forms
MP Value Added Rejection of sales return 15.63
Tax Act, 2005
Orissa Sales Tax
Act, 1947 Non submission of forms, Levy of
entry tax, 25.56
Enhancement of turnover, Dispute
in rate of tax
Non submission of forms,
Enhancement of turnover, 24.17
Rejection of sales return
Non submission of forms 1.16
Rajasthan Value Added Rejection of surcharge 1.41
Tax Act, 2005
Tamil Nadu General
Sales Demand on imported goods taxed at
Higher rate 75.32
Tax Act, 1959
Penal interest on late payment 3.07
The Chhattisgarh Value Rejection of Forms 169.96
Added Tax Act, 2003
Penalty at Check Post 3.01
Levy of entry tax 4.94
UP Entry Tax Act, 2007 Entry tax 100.17
UP Value Added Penalty at Check Post 2.80
Tax Act, 2008
Rejection of claim of credit notes,
forms short etc 8.51
West Bengal Sales Rejection of claim of credit notes,
forms short, etc 336.83
Tax Act, 1944
Rejection of claim of credit notes,
forms short, etc 34.43
Rejection of claim of credit notes,
forms short etc, 158.19
Rejection of claim for concessional
sale
Rejection of claim of concessional
sale.etc 6.76
Name of Statue Period Forum Pending
Haryana General Sales
Tax Act, 1973 1997-98 & Joint Commissioner
2006-07
J & K GST Act, 1962
2003-04 & Dy. Commissioner
2007-08
Kerela Value Added
Tax Act, 2005 1999-01, Dy. Commissioner
2002-03
2005-07,
2008-09 &
2010-11
Kerela General Sales
Tax Act, 1963 2002-03 STO
2003-05 Dy. Commissioner
1997-98 STO
MP Commercial
Tax Act, 1944 2001-02 & High Court
1998-99
1998-00, Tribunal
2002-03
2004-05 Tax Board
2003-05 Addl. Commissioner
2005-06 Addl. Commissioner
MP Value Added
Tax Act, 2005 1992-94, Asst. Commissioner
1996-99 &
2002-03
1999-00, Tribunal
1991-93,
2000-02
1999-00 STO
Orissa Sales Tax Act, 1947 2000-01 Dy. Commissioner
Rajasthan Value Added
Tax Act, 2005 2002-04 High Court
Tamil Nadu General Sales
Tax Act, 1959 2002-03 STO
The Chhattisgarh Value
Added Tax Act, 2003 2002-03 Addl. Commissioner
2002-03 Tribunal
2002-03 & Commissioner of
2004-07 Sales Tax
UP Entry Tax Act, 2007 2007-09 High Court
UP Value Added
Tax Act, 2008 2008-09 Deputy Commissioner
2009-10 Addl. Commissioner
West Bengal Sales
Tax Act, 1944 2002-03, Asst. Commissioner
2004-05 &
2005-06
1998-99 & Addl. Commissioner
2004-05
1999-02, Tax Board
2003-04
2002-03 Special Commissioner
According to the information and explanations given to us, there are no
dues of wealth tax, service tax and cess which have not been deposited
on account of any dispute.
(x) The Company has no accumulated losses at the end of the financial
year and it has not incurred cash losses in the current and immediately
preceding financial year.
(xi) Based on our audit procedures and as per the information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in repayment of dues to banks. The Company
has no outstanding dues in respect of debentures or financial
institution.
(xii) According to the information and explanations given to us and
based on the documents and records produced before us, the Company has
not granted loans and advances on the basis of security by way of
pledge of shares, debentures and other securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi /
mutual benefit fund / society. Therefore, the provisions of clause
4(xiii) of the Order are not applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) 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.
(xvi) The Company did not have any term loan outstanding during the
year.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that no funds raised on short-term basis have been used for long-term
investment.
(xviii) The Company has not made any preferential allotment of shares
to parties or companies covered in the register maintained under
section 301 of the Companies Act, 1956.
(xix) The Company did not have any outstanding debentures during the
year.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the year.
For S.R. Batliboi & Co.
Firm registration number: 301003E
Chartered Accountants
per Tridibes Basu
Place: Gurgaon Partner
Date : May 9, 2011 Membership No.: 17401
Mar 31, 2010
1. We have audited the attached Balance Sheet of Whirlpool of India
Limited (Ãthe CompanyÃ) as at March 31, 2010 and also the Profi t and
Loss Account and the Cash Flow Statement for the year ended on that
date annexed thereto. These fi nancial statements are the
responsibility of the CompanyÃs management. Our responsibility is to
express an opinion on these fi nancial statements based on our audit.
2. We conducted our audit in accordance with auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the fi
nancial statements are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the fi nancial statements. An audit also includes
assessing the accounting principles used and signifi cant estimates
made by management, as well as evaluating the overall fi nancial
statement presentation. We believe that our audit provides a
reasonable basis for our opinion.
3. As required by the Companies (AuditorÃs 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, we enclose
in the Annexure a statement on the matters specifi ed in paragraphs 4
and 5 of the said Order.
4. Further to our comments in the Annexure referred to above, we
report that:
i. we have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
ii. in our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
those books;
iii. the Balance Sheet, Profi t and Loss Account and Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
iv. in our opinion, the Balance Sheet, Profi t and Loss Account and
Cash Flow Statement dealt with by this report comply with the
accounting standards referred to in sub-section (3C) of section 211 of
the Companies Act, 1956.
v. On the basis of the written representations received from the
directors, as on March 31, 2010 and taken on record by the Board of
Directors, we report that none of the directors is disqualifi ed as on
March 31, 2010 from being appointed as a director in terms of clause
(g) of sub-section (1) of section 274 of the Companies Act, 1956.
vi. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts give the information
required by the Companies Act, 1956, in the manner so required and give
a true and fair view in conformity with the accounting principles
generally accepted in India; a) in the case of the Balance Sheet, of
the state of affairs of the Company as at March 31, 2010;
b) in the case of the Profi t and Loss Account, of the profi t for the
year ended on that date; and
c) in the case of Cash Flow Statement, of the cash fl ows for the year
ended on that date.
Annexure referred to in paragraph [3] of our report of even date Re:
Whirlpool of India Limited (Ãthe CompanyÃ)
(i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of fi xed
assets.
(b) All fi xed assets have not been physically verifi ed by the
management during the year but there is a regular programme of verifi
cation which, in our opinion, is reasonable having regard to the size
of the Company and the nature of its assets. No material discrepancies
were noticed on such verifi cation.
(c) There was no substantial disposal of fi xed assets during the year.
(ii) (a) The management has conducted physical verifi cation of
inventory at reasonable intervals during the year.
(b) The procedures of physical verifi cation of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verifi cation.
(iii) (a) As informed, the Company has not granted any loans, secured
or unsecured to companies, fi rms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956.
Accordingly, the provisions of clause 4(iii) (b), (c) and (d) of the
Companies (AuditorÃs Report) Order, 2003 (as amended) (herein referred
to as the Order) are not applicable to the Company.
(b) As informed, the Company has not taken any loans, secured or
unsecured from companies, fi rms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956.
Accordingly, the provisions of clause 4(iii) (f) and (g) of the Order
are not applicable to the Company.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory and fi xed assets and for the sale of goods and
services. During the course of our audit, no major weakness has been
noticed in the internal control system in respect of these areas.
During the course of our audit, we have not observed any continuing
failure to correct major weakness in internal control system of the
company.
(v) (a) According to the information and explanations provided by the
management, we are of the opinion that there are no transactions that
need to be entered into the register maintained under Section 301 of
the Companies Act, 1956. Accordingly, clause 4 (v) (b) of the Order
are not applicable to the Company.
(vi) In respect of deposits accepted, in our opinion and according to
the information and explanations given to us, directives issued by the
Reserve Bank of India and the provisions of sections 58A, 58AA or any
other relevant provisions of the Companies Act, 1956 and the rules
framed there under, to the extent applicable, have been complied with.
We are informed by the management that no order has been passed by the
Company Law Board, National Company Law Tribunal or Reserve Bank of
India or any Court or any other Tribunal.
(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 books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under section 209(1)(d) of the Companies
Act, 1956, and are of the opinion that prima facie, the prescribed
accounts and records have been made and maintained.
(ix) (a) Undisputed statutory dues including provident fund, investor
education and protection fund, employeesà state insurance, income-tax,
sales-tax, wealth- tax, service tax, customs duty and excise duty have
generally been regularly deposited with the appropriate authorities
though there has been a slight delay in a few cases.
Further, since the Central Government has till date not prescribed the
amount of cess payable under section 441 A of the Companies Act, 1956,
we are not in a position to comment upon the regularity or otherwise of
the company in depositing the same.
(b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, investor
education and protection fund, employeesà state insurance, income-tax,
wealth-tax, service tax, sales-tax, customs duty and excise duty and
other undisputed statutory dues were outstanding, at the year end, for
a period of more than six months from the date they became payable.
(c) According to the information and explanations given to us, dues
outstanding of income-tax, sales-tax, wealth-tax, service tax, customs
duty, excise duty and cess on account of any dispute, are as follows:
Name of Statue Nature of Dues Amount
(Rs. Lacs)
Customs Act, 1962 Custom duty on non fulfillment
of project imports 158.28
Central Excise
Act, 1944 Differential duty demanded by
the department 8.29
on washers
Andhra Pradesh
General Sales Tax levied on optional service
contacts, 34.34
Tax Act, 1957 Tax on exempted turnover
Bihar Sales Tax
Act, 1981 Penalty at Check Post 2.21
Bihar Value Added
Tax Act, 2005 Rejection of incentive discount 50.12
Bombay Sales
Tax Act, 1959 Rejection of claim for
concessional sale 21.72
Delhi Sales Tax
Act, 1975 Rejection of claim of OSC charges 2.96
Rejection of sales
return,
Non submission of forms 6.10
Gujarat Sales
Tax Act, 1969 Rejection of claim of freight
charges on sales return 9.16
Haryana General
Sales Non submission of forms 86.41
Tax Act, 1973
J & K GST Act, 1962 Non submission of forms 1.75
Kerela General
Sales Penalty at Check Post 1.06
Tax Act, 1963
Kerela Value Added Rejection of sales returns,
Enhancement of
Tax Act, 2005 turnover, Rejection of credit
notes & forms 294.51
short deposited, Rejection of
claim for concessional sale
Kerela General
Sales Rejection of claim on
credit notes, 88.23
Tax Act, 1963 Rejection of statutory forms
Rejection of credit notes 13.79
Rejection of claim on discounts,
Rejection of credit notes, 31.32
MP Commercial Tax
Act, 1944 Rejection of sales return
Rejection of sales return 1.95
Rejection of claim on discounts,
Non submission of forms 24.49
MP Value Added
Tax Act, 2005 Rejection of sales return 19.18
Non submission of forms,
Levy of entry tax, 37.33
Enhancement of turnover,
Orissa Sales Tax
Act, 1947 Dispute in rate of tax
Non submission of forms,
Enhancement of turnover, 17.72
Rejection of sales return
Name of Statue Period Forum Pending
Customs Act, 1962 1993-94 CESTAT
Central Excise Act, 1944 2000 -2003 CESTAT
Andhra Pradesh General Sales
Tax Act, 1957 2000-03, Tribunal
1993-94
Bihar Sales Tax Act, 1981 2003-04 Asst. Commissioner
Bihar Value Added Tax
Act, 2005 2005-07 Asst. Commissioner
Bombay Sales Tax Act, 1959 1997-99 Tribunal
Delhi Sales Tax Act, 1975 2003-04 Addl. Commissioner
Gujarat Sales Tax Act, 1969 1996-98 Tribunal
2002-03 Joint Commissioner
Haryana General Sales
Tax Act, 1973 1997-98, Joint Commissioner
2003-04
J & K GST Act, 1962 2003-04 Dy. Commissioner
Kerela General Sales 2002-03 Tribunal
Tax Act, 1963
Kerela Value Added
Tax Act, 2005 1999-01,
2002-03, Dy. Commissioner
2005-07,
2008-09
Kerela General Sales
Tax Act, 1963 1997-98, Dy. Commissioner
2003-05
MP Commercial Tax Act, 1944 2001-02 High Court
1998-00, Tribunal
2002-03
2004-05 Tax Board
2003-05 Addl. Commissioner
MP Value Added Tax Act, 2005 2005-06 Addl. Commissioner
1992-94,
1996-99, Asst. Commissioner
2002-03
Orissa Sales Tax Act, 1947 2005-06
1999-00,
1991-93, Tribunal
2000-02
Name of Statue Nature of Dues Amount
(Rs. Lacs)
Orissa Sales Tax
Act, 1947 Non submission of forms 1.16
Rajasthan Value
Added Rejection of claim on credit
notes for discount 38.48
Tax Act, 2005 Rejection of surcharge on TOT 1.41
Tamil Nadu
General Sales Demand on imported goods taxed
at Higher rate 68.32
Tax Act, 1959 Penal interest on late payment 3.07
Rejection of Forms 169.96
The Chhattisgarh
Value Added Penalty at Check Post 3.01
Tax Act, 2003 Refund matter 1.96
Levy of entry tax 1.45
UP Entry Tax
Act, 2007 Entry tax 89.47
UP Value Added
Tax Act, 2008 Penalty at Check Post 4.08
Rejection of claim of credit
notes, forms short etc. 336.83
Rejection of claim of credit
notes, forms short etc. 34.43
West Bengal Sales
Tax Act, 1944 Rejection of claim of credit
notes, forms short etc., 157.53
Rejection of claim for
concessional sale
Rejection of claim of
concessional sale etc. 6.76
Name of the Statue Period Forum Pending
Orissa Sales Ta x Act, 1947 1999-00 STO
Rajasthan Value Added 2007-08 Tribunal
Tax Act, 2005 2000-01 Dy. Commissioner
Tamil Nadu General Sales 2002-04 High Court
Tax Act, 1959 2002-03 STO
The Chhattisgarh Value Added 2002-03 Addl. Commissioner
Tax Act, 2003 2002-03 Tribunal
2001-02 STO
2002-03 Commissioner of
Sales Tax
UP Entry Tax Act, 2007 2007-09 High Court
UP Value Added Tax Act, 2008 2008-09 Asst. Commissioner
2002-06 Asst. Commissioner
1998-99, Addl. Commissioner
2004-05
West Bengal Sales Tax Act, 1944 1999-02,
2003-05 Tax Board
2002-03 Special Commissioner
According to the information and explanations given to us, there are no
dues of income-tax, wealth tax and cess which have not been deposited
on account of any dispute.
(x) The Company has no accumulated losses at the end of the fi nancial
year and it has not incurred cash losses in the current and immediately
preceding fi nancial year.
(xi) Based on our audit procedures and as per the information and
explanations given by the management, we are of the opinion that the
Company has not defaulted in repayment of dues to a fi nancial
institution, bank or debenture holders.
(xii) According to the information and explanations given to us and
based on the documents and records produced to us, the Company has not
granted loans and advances on the basis of security by way of pledge of
shares, debentures and other securities.
(xiii) In our opinion, the Company is not a chit fund or a nidhi /
mutual benefi t fund / society. Therefore, the provisions of clause
4(xiii) of the Order are not applicable to the Company.
(xiv) In our opinion, the Company is not dealing in or trading in
shares, securities, debentures and other investments. Accordingly, the
provisions of clause 4(xiv) 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 fi nancial institutions.
(xvi) Based on information and explanations given to us by the
management, term loans were applied for the purpose for which the loans
were obtained.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the Company, we report
that no funds raised on short-term basis have been used for long-term
investment.
(xviii) The Company has not made any preferential allotment of shares
to parties or companies covered in the register maintained under
section 301 of the Companies Act, 1956.
(xix) The Company did not have any outstanding debentures during the
year.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the fi nancial statements and as
per the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the course of our audit.
For S.R. Batliboi & Co.
Firm Registration No. 301003E
Chartered Accountants
per Tridibes Basu
Place: Gurgaon Partner
Date : May 17, 2010 Membership No.: 17401