Mar 31, 2023
INDEPENDENT AUDITOR''S REPORT
To,
The Members,
Brahmaputra Infrastructure Limited
R.O. A-7, Main Mahipalpur,
New Delhi -110037
Report on the Standalone Ind AS Financial Statements
Qualified Opinion
We have audited the accompanying standalone Ind AS financial statements of Brahmaputra Infrastructure Limited
(âthe Companyâ) which comprises the Balance Sheet as at March 31, 2023, the Statement of Profit and Loss
(including Other Comprehensive Income), Statement of Changes in Equity and Statement of Cash Flows for the year
then ended, and notes to the 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, except for the possible
effects of the matters described in the Basis for Qualified Opinion section of our report, the aforesaid standalone
financial statements give the information required by the Companies Act, 2013 (âAct'') in the manner so required and
give a true and fair view in conformity with the accounting principles generally accepted in India including Indian
Accounting Standards (âInd AS'') specified under section 133 of the Act, of the state of affairs of the Company as at 31
March 2023, and its profit (including other comprehensive income),standalone statement of changes in equity and
standalone statement of cash flows for the year then ended, and notes to the standalone financial statements,
including a summary of the significant accounting policies and other explanatory information (hereinafter referred to
as âthe standalone financial statementsâ).
During the year the company has not made the provisions towards interest payable to banks and financial institutions
which were not paid for the year under audit. This constitute a departure from the Indian Accounting Standards-37
Provisions, Contingent Liabilities and Contingent Assets referred to in section 133 of the Companies Act, 2013. Sum
of Rs. 19.15 crore has not recognized the interest expenses resulting in understatement of expenses and over
statement of Net profit before Tax . Balances in Other Equity in the Balance sheet is overstated by the said amount.
We are not able to verify the actual interest booked by the company as expenses as the loan statements of the lenders
was not provided to us.
We conducted our audit in accordance with the Standards on Auditing 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
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 (âICAI'') 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 and that obtained by other auditors, in terms of their reports referred to in
paragraph 20 of the Other Matters section below is sufficient and appropriate to provide a basis for our qualified
opinion.
1. In the standalone financial Statements, which describes the impairment assessment in accordance with Ind AS
36 âImpairment of assetsâ / Ind AS 109 âFinancial Instrumentsâ performed by the Company, in respect of
regarding uncertainties relating to recoverability of unbilled work-in-progress (Inventories), trade receivables and
Retention/withheld by clients Receivables & claim receivables amounting to ? 22.26 crore (Note No. 12) , ? 15.88
crore (Note No. 7 and 13), ? 10.85 Crore(Note No. 9 and 15) and Rs. 126.04 Crore (Note No. 9, 11 and 16)
respectively as at 31 March 2023, which represent various claims raised in the earlier years in respect of projects
substantially closed and where the claims are currently under negotiation//s / discussions / arbitration / litigation.
Based on legal opinion / past experience with respect to such claims, management is of the view that the
aforementioned majority of the balances are fully recoverable.
2. Non-receipt of confirmation of balances as at March 31, 2023 from some lenders, customers and vendors in
absence of confirmation, the adjustments, if any, on account of unsettled transactions, to the carrying values of
assets and liabilities cannot be ascertained
Our report is not modified on above matter.
Key audit matters (âKAM'') 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.
Information Other than the Standalone Ind AS financial Statements and Auditorâs Report Thereon
The Company''s Board of Directors is responsible for the other information. The other information comprises the
information included in the Board Report and Management Discussion and Analysis 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. The
Company''s Board of Directors is responsible for the other information. The other information comprises the
information included in the Management Discussion and Analysis, Board''s Report including Annexures to Board''s
Report, Business Responsibility Report, Corporate Governance and Shareholder''s Information, but does not include
the standalone Ind AS financial statements and our auditor''s report 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.
Management Responsibility for the Standalone Ind AS financial Statements
The accompanying standalone financial statements have been approved by the Company''s Board of Directors. 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, changes in equity and cash flows of the Company in
accordance with the accounting principles generally accepted in India, including the Ind AS 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 financial statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
In preparing the 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 is also responsible for overseeing the Company''s financial reporting process.
Auditorâs Responsibilities for the Audit of Standalone Ind AS financial Statement
Our objectives are to obtain reasonable assurance about whether the 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
Standards on Auditing 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 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 Ind AS 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 Companies Act, 2013, 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 management''s use of the going concern basis of accounting and, based on
the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast
significant doubt on the Company''s ability to continue as a going concern. If we conclude that a material
uncertainty exists, we are required to draw attention in our auditor''s report to the related disclosures in the
standalone Ind AS 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 Ind AS financial statements, including
the disclosures, and whether the standalone Ind AS 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 Ind AS financialstatements 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.
1. Inventories consisting of Building Materials, Raw Materials and Store & Spares at various site of company
amounting to Rs. 18.05 Crores as at 31st March 2023 which have not been Physical verified by our self. We have
relied on the purchase register, production reports, stock transfer report, consumption report, stock Audit report of
the independent Stock Auditors and verification report performed by the Management at regular intervals.
2. The company is required to take Impact of 15 Joint Operations for the financial year 2022-23 as per accounting
principles laid under Ind AS 111 âJoint Arrangementâ. However till reporting date as at 31st march'' 2023, the
company has not taken Impact of these operations in the financial statements for the period 2022-23.
Our report is not modified in respect of this matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors'' Report) Order, 2020 (âthe Orderâ) issued by the Central Government in
terms of section 143 (11) of the Act, and except for the possible effects, of the matter described in the Basis for
Qualified of Opinion section, we give in the âAnnexure Aâ, a statement on the matters specified in paragraphs 3
and 4 of the Order, to the extent applicable.
2. (A) As required by section 143(3) of the Act, we report that:
a) We have sought andexcept for the matters described in the Basis for Qualified Opinion section obtained
all the information and explanations which to the best of our knowledge and belief were necessary for the
purposes of our audit.
b) Except for the possible effects of the matters described in the Basis for Qualified Opinion section, 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 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) Except for the possible effects of the matters described in the Basis for Qualified Opinion section, in our
opinion, the aforesaid standalone Ind AS 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) The Company has defaulted in repayment of the obligations to its lenders which is outstanding as at
March 31, 2023. Based on the legal opinion obtained by the Company and based on the written
representations received from the directors as on March 31, 2023 taken on record by the Board of
Directors, none of the directors is disqualified as on March 31,2023 from being appointed as a director in
terms of section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls with reference to standalone financial
statements of the Company and the operating effectiveness of such controls, refer to our separate Report
in âAnnexure Bâ.
g) With respect to the matter to be included in the Auditors'' Report under section 197(16) of the Act: In our
opinion and according to the information and explanations given to us, the remuneration paid by the
Company to its directors during the current year is in accordance with the provisions of section 197 of the
Act.
(B) With respect to the other matters to be included in the Auditors'' Report in accordance with Rule 11 of the
Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according
to the explanations given to us:
(i) Except for the possible effects of the matters described in Basis for Qualified Opinion section, the
standalone financial statements disclose the impact of pending litigations on the standalone financial
position of the Company as at 31 March 2023, as detailed in Notes 38 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, other than as disclosed
in notes to accounts, no funds (which are material either individually or in the aggregate) have been
advanced or loaned or invested (either from borrowed funds or share premium or any other sources or
kind of funds) by the Company to or in any other person or entity, including foreign entity
(âIntermediaries'') 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 (âUltimate 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 (which are
material either individually or in the aggregate) have been received by the Company from any person or
entity, including foreign entity (âFunding 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 (âUltimate
Beneficiaries'') or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
c) Based on the audit procedures that have been considered reasonable and appropriate in the
circumstances, nothing has come to our attention that has caused us to believe that the
representations under sub-clause (i) and (ii) of Rule 11 (e) as provided under (a) and (b) above, contain
any material misstatement.
(v) The Company has not declared or paid any dividend during the year.
Chartered Accountants
(Firm''s Registration No. 018289C)
Partner
(Membership No. 416004)
Place : New Delhi
Date : 30 May 2023
UDIN: 23416004BGU0T27085
Mar 31, 2018
Report on the Standalone Ind AS Financial Statements
We have audited the accompanying standalone Ind AS financial statements of BRAHMAPUTRA INFRASTRUCTURE LIMITED (âthe Companyâ), which comprise the Balance Sheet as at 31st March,2018, 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 the significant accounting policies and other explanatory disclosures.
Management''s Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Actâ) with respect to the preparation of these Standalone Ind AS Financial Statements that give a true and fair view of the Financial Position, Financial Performance including Other Comprehensive Income and Cash Flows , Statement of Change in Equity of the Company in accordance with the accounting principles generally accepted in India, including the 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 the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these Standalone Ind AS Financial Statements based on our audit. We have taken in to account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.
We conducted our audit of Standalone Ind AS Financial Statements in accordance with the Standards on Auditing issued by 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 the disclosures in the Ind AS financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company''s Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone 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 31st March, 2018, and its profit and its cash flows for the year ended on that date.
Emphasis of Matters
1. We draw attention to the Note No. 13.1 to the Financial Statements which describes about âNo Provision made for Slow Moving WIP" amounting to Rs.62.30 Crore.
Our opinion is not modified in respect of this matter.
2. Note: on 19-06-2018. i.e. before approving of financial statements of 31 -03-2018 we have received a letter from ICICI Bank for One Time Settlement of outstanding dues under cash credit, Bank Guarantee, Working Capital, Term Loan and Funded Interest Term Loan Facilities ("Credit Facilities") amounting to Rs.6,98,91,788/- out of which Rs.2,25,00,000/- is paid by us as final settlement and Rs.1,36,794 is Cut Back by the Bank.
Our opinion is not modified in respect of this matter.
Other Matter
The comparative financial information of the Company for the year ended 31st March, 2017 and the transition date opening Balance Sheet as at 1st April, 2016 included in these Ind AS financial statements, are based on the statutory financial statements prepared in accordance with the Companies (Accounting Standards) Rules, 2006 audited by the previous auditors whose report for the year ended 31st March, 2017 and 31st March, 2016 dated 10th June, 2017 and 30th May, 2016 respectively expressed an unmodified opinion on those financial statements, as adjusted for the differences in the accounting principles adopted by the Company on transition to the Ind AS, which have been audited by us. Our opinion on the Ind AS financial statements and our report on Other Legal and Regulatory Requirements below is not modified in respect of these matters.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s 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 `1âa statement on the matters specified in paragraphs 3 and 4 ofthe Order, to the extent applicable.
2. As required by Section 143 (3) of the Act, we re port 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, pro per books of account as required by law have been kept by th e Company so faras it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive Income and the Cash Flow Statement dealt with by this Report are in agreement with the books of accounts.
(d) In our opinion, the aforesaid Standalone 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 the written representations received from the directors as on 31st March 2018, taken on record by the Board of Directors, none of the directors is disqualified as on 31st March 2018 from being appointed as a director in terms of Section 164 (2) of the Act.
(f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure 2â.
(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 financial statement disclose the impact of pending litigation on the financial position of the refer para 1 (c) to 1 (i) and 2(b) of Note 26(C).
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses; and
iii. No amounts were required to be transferred to the Investor Education and Protection Fund by the Company.
Annexure ''1'' Referred to in paragraph 1 under the heading ''Report on Other Legal & Regulatory Requirement'' of our report of even date to the financial statements of the Company for the year ended March 31,2018:
1. a. The Company has maintained proper records showing full particulars, including quantitative details and situation of its fixed assets, However due to frequent movement of fixed assets movable construction equipment''s from site to site, actual location of such assets has not been mentioned in the records.
b. Significant Portion of Fixed Assets have been physically verified by the management during the period .which in our opinion is reasonable having regard to the size of the Company and nature of its business. No material discrepancies were noticed on such physical verification.
c. According to the information and explanations given to us, The title deeds of All the Immovable Properties are Held in the name of the Company.
2. As per information and explanations given to us, the inventories and construction materials at company''s sites which include work in progress, have been physically verified by the management once in a year for each site. Shortage / Excess on the basis of physical verification have been duly accounted for in books of accounts which were not material, However no provision is being made for slow moving work in progress.
3. According to the information & explanation given to us, the company has granted unsecured loans to Three Companies (All Subsidiaries) covered in the registered maintained u/s 189 of the Companies Act .The maximum amount involved during the year was Rs 434.16 Lakhs and year end balance of the loans granted to subsidiaries were Rs. 356.53 Lakhs.
a. The Terms and Conditions of grant of such loans are not prejudicial to the company interest as the loans are given to Subsidiaries Companies.
b. The parties wherever applicable are regular in repayment of principal amount as stipulated.
c. Not Applicable as there is no overdue amount.
4. In our opinion and according to the information and explanation provided to us, provision of section 185 and 186 of the Companies Act, 2013 and in respect of loans to directors including entities in which they are interested and in respect of loans and advances given, investments made and guarantees, and securities given has been complied with by the company.
5. The Company has not accepted any deposits from the public and hence the directives issued by the Reserve Bank of India and the provisions of Sections 73 to 76 or any other relevant provisions of the Act and the Companies (Acceptance of Deposit) Rules, 2015 with regard to the deposits accepted from the public are not applicable.
6. The Maintenance of Cost Records has been prescribed by the Central Govt. under section 148(1) of the Companies Act, 2013 vide Companies (Cost Records and Audit) Rules, 2014 and we are of the opinion that prima facie the prescribed records were made and maintained. We have not, however, made a detailed examination of the same.
7. a) According to the information and explanations given to us, the Company is not regular in depositing undisputed statutory dues with appropriate authorities such as TDS, Service Tax, Interest on TDS, Interest on Service Tax etc. Dues applicable to the Company.
b) According to information and explanations given to us, the detail of undisputed amounts payable in respect of Service Tax, Sales Tax, TDS etc. are in arrears as at 31st March, 2018 for a period of more than six months from the date of they became payable is as under;
Nature of Amount |
Amount Outstanding as on 31st March, 2018 for More than 6 Months from the date become payable |
Service Tax |
Rs.643.82 Lakhs |
TDS |
Rs.15.85 Lakhs |
Interest on TDS Payable |
Rs.105.21 Lakhs |
Nature of Amount |
Amount Outstanding as on 31st March, 2018 for More than 6 Months from the date become payable |
Interest on Service Tax Payable |
Rs.43.61 Lakhs |
Vat / Entry Tax / WCT |
Rs.537.24 Lakhs |
Provident Fund/ESI and Prof. Tax |
Rs.8.77 Lakhs |
ROC Fees Payable |
Rs.1.40 Lakhs |
c) According to the information and explanation given to us, there are no dues of sales tax, income tax, customs duty, wealth tax, excise duty and cess which have not been deposited on account of any dispute except in respect of the following disputed liabilities pending for adjudication at different appellate authorities:
Name ofthe statute |
Nature of the dues |
Amount (Rs. in Lacs) |
Forum where dispute is pending |
West Bengal Vat Act |
Vat Liability for Project Executed in West Bengal |
98.31 |
Pending before Commissioner |
UP Vat Act |
Vat Liability for Lucknow Project/Penalty for Non Submission of C Form |
168.11 |
Pending before Commissioner |
Service Tax |
Servloe tax Demand including penalty raised by Service tax Department |
710.62 |
Pending before Additional District Judge of Saket Court (Delhi) |
Income Tax |
Demand including interest u/s 153A/143(3), raised by Income Tax Department |
474.52 |
2.26 is pending before ITAT and 472.25 is pending before CIT |
Income Tax |
Penalty for late filing of TDS returns |
3.50 |
Pending before CIT |
Income Tax |
Demand for Penalty |
0.70 |
Pending before CIT |
8. As per Books and Records maintained by the company and according to the information and explanations given to us, the company has defaulted in repayment of dues to financial institutions and banks. Such continuing default as on balance sheet date were of Rs.5812.75 Lacs as reported in note no. 3.2 to financial statements. Month wise detail and amount of Such Defaults are attached as per Annexure 3
9. According to the records of the company examined by us and as per the information and explanations given to us, term loans taken were applied for the purposes for which those are raised. The company has not raised any money by way of initial public offer of further public offer (including debt instruments).
10. 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 explanation provided 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.
11. According to the Information and explanation given to us, 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.
12. 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.
13. All transactions with the related parties are in compliance with sections 188 and 177 of Companies Act, 2013 and the details have been disclosed in the Financial Statements as required by the applicable accounting standards and Companies Act, 2013.
14. During the year under review, the Company has not made any preferential allotment of private placement of shares of fully or partly convertible debentures.
15. 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. Accordingly, the provisions of clause 3 (xv) of the Order are not applicable to the Company and hence not commented upon.
16. According to the information and explanations given to us and in our opinion the company is not required to be registered under section 45-IAof the Reserve Bank of India Act, 1934.
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 Brahmaputra Infrastructure Limited (âthe Companyâ) as of March 31,2018 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the âGuidance Note") and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor''s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A Company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the company''s assets that could have a material effect on the financial statements.
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
According to the information and explanation given to us, in our opinion, the Company has, in all material aspects, an adequate internal financial control system over financial reporting and such internal financial controls were operating effectively as at March 31, 2018, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For NAVEEN ATM ARAM GARG & CO
CHARTERED ACCOUNTANTS
Firm Registration. No. 324383E
(NAVEEN GARG)
PROPRIETOR
M. No. 060338
PLACE: Guwahati
DATED:03-07-2018
Mar 31, 2016
To the Members of
BRAHMAPUTRA INFRASTRUCTURE LIMITED
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of BRAHMAPUTRA INFRASTRUCTURE LIMITED (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2016, the Statement of Profit and Loss, the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other disclosures.
Management''s Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditors'' Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company''s Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March, 2016, and its profit and its cash flows for the year ended on that date.
Emphasis of Matters
We draw attention to the Note No. 13.1 to the Financial Statements which describes about âNo Provision made for Slow Moving WIPâ amounting to Rs. 62.30 Crore.
Our opinion is not modified in respect of this matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 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, to the extent applicable.
2. As required by Section 143(3)of the Act, were port that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of accounts.
(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 31st March, 2016, taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2016 from being appointed as a director in terms of Section 164 (2) of the Act.
(f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure 2â.
(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 financial statement disclose the impact of pending litigation on the financial position of the refer para 1 (c) to 1 (i) and 2(b) of Note 26(C).
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses; and
iii. No amounts were required to be transferred to the Investor Education and Protection Fund by the Company.
ANNEXURE-1 TO THE INDEPENDENT AUDITORS REPORT Re.: BRAHMAPUTRA INFRASTRUCTURE LIMITED
Annexure ''1'' Referred to in paragraph 1 under the heading ''Report on Other Legal & Regulatory Requirement âof our report of even date to the financial statements of the Company for the year ended March 31,2016:
1. a) The Company has maintained proper records showing full particulars, including quantitative details and
situation of its fixed assets, However due to frequent movement of fixed assets movable construction equipments from site to site, actual location of such assets has not been mentioned in the records.
b) Significant Portion of Fixed Assets have been physically verified by the management during the period, which in our opinion is reasonable having regard to the size of the Company and nature of its business. No material discrepancies were noticed on such physical verification.
c) According to the information and explanations given to us, The title deeds of All the Immovable Properties are Held in the name of the Company.
2. As per information and explanations given to us, the inventories and construction materials at company''s sites which include work in progress, have been physically verified by the management once in a year for each site. Shortage / Excess on the basis of physical verification have been duly accounted for in books of accounts which were not material, However no provision is being made for slow moving work in progress.
3. According to the information & explanation given to us, the company has granted interest free unsecured loans to Four Companies (All Subsidiaries) covered in the registered maintained u/s 189 of the Companies Act .The maximum amount involved during the year was Rs 1966.81 Lacs and yearend balance of the loans granted to subsidiaries were Rs. 1952.97 Lacs.
a. The Terms and Conditions of grant of such loans are not prejudicial to the company interest as the loans are given to Subsidiaries Companies.
b. The parties wherever applicable are regular in repayment of principal amounts, as stipulated.
c. Not Applicable as there is no overdue amount.
4. Except Interest Free Loans to the Two Wholly Owned Subsidiaries outstanding Rs 1887.22 Lacs as on 31st March 2016 (Max Balance Outstanding Rs. 1887.22 Lacs) and Interest Free Loans to Two Partly Owned Subsidiaries Outstanding of Rs 65.74 Lacs as on 31st March 2016 (Max Balance Outstanding Rs . 65.58 Lacs), Provisions of Section 185 and 186 of the Companies Act, 2013 Have Been Complied with.
5. The Company has not accepted any deposits from the public and hence the directives issued by the Reserve Bank of India and the provisions of Sections 73 to 76 or any other relevant provisions of the Act and the Companies (Acceptance of Deposit) Rules, 2015 with regard to the deposits accepted from the public are not applicable.
6. The Maintenance of Cost Records has been prescribed by the Central Govt, under section 148(1) of the Companies Act, 2013 vide Companies (Cost Records and Audit) Rules , 2014 and we are of the opinion that prima facie the prescribed records were made and maintained.
7. a) According to the information and explanations given to us, the Company is not regular in depositing undisputed statutory dues with appropriate authorities such as TDS, Service Tax, Interest on TDS, Interest on Service Tax etc. Dues applicable to the Company.
b) According to information and explanations given to us, the detail of undisputed amounts payable in respect of Service Tax, Sales Tax, TDS etc. are in arrears as at 31 st March, 2016 for a period of more than six months from the date of they became payable is as under;
Nature of Amount |
Amount Outstanding as on 31st March, 2016 for More than 6 Months from the date become payable |
Service Tax |
Rs. 328.92 Lacs |
TDS |
Rs. 27.14 Lacs |
Interest on TDS Payable |
Rs. 152.02 Lacs |
Interest on Service Tax Payable |
Rs. 24.83 Lacs |
Vat / Entry Tax / WCT |
Rs. 249.75 Lacs |
Provident Fund and Prof. Tax |
Rs. 3.57 Lacs |
ROC Fees Payable |
Rs. 11.30 Lacs |
c) According to the information and explanation given to us, there are no dues of sales tax, income tax, customs duty, wealth tax, excise duty and cess which have not been deposited on account of any dispute except in respect of the following disputed liabilities pending for adjudication at different appellate authorities;
Name of the statute |
Nature of the dues |
Amount (Rs in Lacs) |
West Bengal Vat Act |
Vat Liability for Project Executed in West Bengal |
72.07 |
UP Vat Act |
Vat Penalty / Liability for Lucknow Project for Non Submission of C Form |
282.48 |
Service Tax |
Service tax Demand including penalty raised by Service tax Department |
710.62 |
Income Tax |
Demand including interest u/s 153A/143(3), raised by Income Tax Department |
515.83 |
Income Tax |
Penalty for late filing of TDS returns |
3.50 |
Income Tax |
Demand for Penalty |
0.70 |
8. As per Books and Records maintained by the company and according to the information and explanations given to us, the company has defaulted in repayment of dues to financial institutions and banks. Such continuing default as on balance sheet date were of Rs. 2080.84 Lacs as reported in note no. 3.2 to financial statements. Month wise detail and amount of Such Defaults are attached as per Annexure 3
9. According to the records of the company examined by us and as per the information and explanations given to us, term loans taken were applied for the purposes for which those are raised. The company has not raised any money by way of initial public offer of further public offer(including debt instruments).
10. According to the information and explanations given to us, no fraud by the Company or any fraud on the company by its officers/employees has been noticed or reported during the course of our audit.
11. According to the Information and explanation given to us, 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.
12. 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.
13. All transactions with the related parties are in compliance with sections 188 and 177 of Companies Act, 2013 and the details have been disclosed in the Financial Statements under note 26(C)(8) of Financial Statement as required by the applicable accounting standards and Companies Act, 2013.
14. During the year under review, the Company has not made any preferential allotment of private placement of shares of fully or partly convertible debentures.
15. 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. Accordingly, the provisions of clause 3 (xv) of the Order are not applicable to the Company and hence not commented upon.
16. According to the information and explanations given to us and in our opinion the company is not required to be registered undersection45-IAofthe Reserve Bankof IndiaAct, 1934.
ANNEXURE - 2 TO THE INDEPENDENT AUDITORS REPORT Re.: BRAHMAPUTRA INFRASTRUCTURE LIMITED
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of Brahmaputra Infrastructure Limited (âthe Companyâ) as of March 31,2016 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the âGuidance Noteâ) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A Company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company''s assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
According to the information and explanation given to us, in our opinion, the Company has, in all material aspects, an adequate internal financial control system over financial reporting and such internal financial controls were operating effectively as at March 31, 2016, 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 A. B. BANSAL & COMPANY
CHARTERED ACCOUNTANTS
Firm Registration. No. 010538N
(A. B. BANSAL)
PARTNER M. No. 84628
PLACE: New Delhi
DATE D :30-05-2016
Mar 31, 2015
We have audited the accompanying financial statements of BRAHMAPUTRA
INFRASTRUCTURE LIMITED ("the Com- pany"), 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 disclosures.
Management's Responsibility for the Financial Statements
The Company Board of Directors is responsible for the matters stated in
Section 134(5) of the Companies Act, 2013 ("the act") with respect to
the preparation of these financial statements that give a true and fair
view of the financial position, financial performance and cash flows of
the Company in accordance with the accounting principles generally
accepted in India, including the Accounting Standards specified under
Section 133 of the Act, read with Rule 7 of the Companies (Accounts)
Rules, 2014. This responsibility also includes maintenance of adequate
accounting records in accordance with the provisions of the Act for
safeguarding the assets of the company and for preventing and detecting
frauds and other irregularities; selection and application of
appropriate accounting policies; making judgements and estimates that
are rea- sonable and prudent; and design, implementation and
maintenance of internal financial controls, that were operating effec-
tively for ensuring the accuracy and completeness of the accounting
records, relevant to the preparation and presentation of the financial
statement that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
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 standard and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
thereunder.
We conducted our audit in accordance with the Standards on Auditing
specified under section 143(10) of the Act. Those Standards require
that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether the financial statements
are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial state- ments. The
procedures selected depend on the auditor's judgment, including the
assessment of the risks of material mis- statement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor consid- ers internal financial control
relevant to the Company's preparation of the financial statements that
give a true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls.. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by 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 aforesaid financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India, of the state of affairs of the Company as
at 31st March, 2015, its Loss and its cash flows for the year ended on
that date.
Emphasis of Matters
We draw attention to the Note No.13.1 to the Financial Statements which
describes about " No Provision made for slow Moving "WIP" amounting to
Rs.62.30 Crore.
Our Opinion is not modified in respect of this matter.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015 ("the
Order") issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Companies Act, 2013, we give in
the Annexure a statement on the matters specified in paragraphs 3 and 4
of the Order.
2. As required by section 143(3) of the Act, we report that:
a. we have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
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 aforesaid financial statements comply with the
Accounting Standards specified under Section 133 of the Act, read with
Rule 7 of the Company (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 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 explana- tions given to us:
(i) The financial statement disclose the impact of pending litigation
on the financial position of the company - refer para 1(c) to 1 (i) and
2(b) of Note 26(C).
(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 TO THE AUDITORS' REPORT OF EVEN DATE Re: BRAHMAPUTRA
INFRASTRUCTURE LIMITED
I. The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets, However
due to frequent movement of fixed assets - movable construction
equipments from site to site, actual location of such assets has not
been mentioned in the records. Significant Portion of Fixed Assets have
been physically verified by the management during the period ,which in
our opinion is reasonable having regard to the size of the Company and
nature of its business. No material discrepancies were noticed on such
physical verification.
II. As per information and explanations given to us, the inventories
and construction materials at company's sites which include work in
progress, have been physically verified by the management once in a
year for each site. Shortage / Excess on the basis of physical
verification have been duly accounted for in books of accounts which
were not mate- rial, However no provision is being made for slow moving
work in progress. In our opinion and according to the information and
explanations given to us, the procedure of physical verification of
inventories followed by the manage- ment is reasonable and adequate in
relation to size of the Company and the nature of its business. The
Company is mainly engaged in business of construction. In view of
multifarious jobs at different sites spread at different locations and
practical difficulties, records of inventory have been maintained in
ERP System and consumption booked on quarterly basis.
III. (a) According to the information & explanation given to us, the
company has granted interest free unsecured loans to Four Companies (All
Subsidiaries) and also to one Associate Company covered in the
registered maintained u/s 189 of the Companies Act .The maximum amount
involved during the year was Rs 1938.25 Lacs in respect of subsidiaries
and Rs 10 lacs in respect of associate company and year end balance of
the loans granted to subsidiaries were Rs. 1927.17 Lacs and to Associate
was NIL .
(b) The parties wherever applicable are regular in repayment of
principal amounts and interest as stipulated.
(c) Not Applicable as there is no overdue amount.
IV. In our opinion and according to the information and explanations
given to us, there are adequate internal control system commensurate
with the size of the company and the nature of its business with regard
to purchases of inven- tories and Fixed Assets and for construction
receipt and services. During the course of our audit, we have not
observed any continuing failure to correct major weaknesses in internal
control system.
V. In our opinion and according to the information and explanations
given to us, the company has not accepted any deposits hence provisions
of sections 73 to 76 or any other provision of the Companies Act and
rules framed thereun- der, , are not applicable.
VI. The Maintenance of Cost Records has been prescribed by the Central
Govt. under section 148(1) of the Companies Act, 2013 vide Companies
(Cost Records and Audit) Rules , 2014 and we are of the opinion that
prima facie the prescribed records were made and maintained.
VII. (a) In the Year under report, The company is not regular in
depositing with appropriate authorities undisputed statu- tory dues such
as Service tax, TDS, Sales Tax and PF etc. dues wherever applicable on
it.
According to the information and explanations given to us, the detail
of undisputed amounts payable in respect of Service Tax , sales tax,
TDS etc. in arrears, as at 31st March, 2015 for a period of more than
six months from the date of they became payable is as under;
Nature of Amount Amount Outstanding as on
31st March, 2015
for More than 6 Months from
the date become payable
Service Tax Rs. 329.01 Lacs
TDS Rs. 96.18 Lacs
Interest on TDS Payable Rs. 119.69 Lacs
Interest on Service Tax Payable Rs. 17.34 Lacs
Vat / Entry Tax / WCT Rs. 179.32 Lacs
Provident Fund and Prof. Tax Rs. 2.06 Lacs
(b) According to the information and explanation given to us, there are
no dues of sales tax, income tax, customs duty, wealth tax, excise duty
and cess which have not been deposited on account of any dispute except
in respect of the following disputed liabilities pending for
adjudication at different appellate authorities ;
Name of the Nature of the dues
statute
Assam Vat Act Vat Liability for Spanish Garden Project
UP Vat Act Vat Liability for Lucknow Project/Penalty
for Non Submission of C Form
Service Tax Service tax Demand including penalty raised
by Service tax Department
Income Tax Demand including interest u/s 153A/143(3), raised
by Income Tax Department
Income Tax Penalty for late filing of TDS returns
Income Tax Demand for Penalty
Name of the Amount
statute (Rs in Lacs)
Assam Vat Act 47.87
UP Vat Act 269.31
Service Tax 1661.66
Income Tax 515.83
Income Tax 3.50
Income Tax 0.70
(c) According to the information and explanation given to us, No amount
is required to be transferred to investor education and protection fund
in accordance with the relevant provision of the Companies Act, 1956 (1
of 1956) and rules made there under.
VIII. In our opinion, the company has no accumulated losses at the end
of the year. The company has incurred cash losses during the financial
year of Rs 1555.15 Lacs covered by our audit and also Rs 358.02 Lacs in
the immediately preced- ing financial year.
IX. As per Books and Records maintained by the company and according
to the information and explanations given to us, the company has
defaulted in repayment of dues to a financial institution and banks.
Such continuing default as on balance sheet date were of Rs. 1351.48
Lacs as reported in note no. 3.2 to financial statements.
X. According to the information and explanations given to us, the
Company has given bank guarantees for and on behalf of its Joint
Ventures. Considering the nature and volume of business, in our opinion
the term and conditions on which such guarantees given are prima-facie
not prejudicial to the interest of the Company.
XI. Under implementation of "Restructuring Approval under CDR System"
Some portion of borrowings from banks includ- ing BG invocation got
converted into "Term Loans" under name & style as "Working Capital Term
Loan / Funded Interest Term Loan.
XII. In our opinion and according to the information and explanations
given to us by the management which have been relied upon by us, no
fraud on or by the company has been noticed or reported during the
year.
For A.B Bansal and Company
Chartered Accountants
Firm Regn No. 010538N
A.B. Bansal
Place: New Delhi Partner
Dated: 30.05.2015 M.No. 84628
Mar 31, 2014
1. We have audited the accompanying financial statements of BRAHMAPUTRA
INFRASTRUCTURE LIMITED, which comprises the Balance Sheet as at 31st
March 2014 and the Statement of Profit & Loss and Cash Flow Statement
for the year then ended and a summary of significant accounting
policies and other disclosures.
Management''s Responsibility for the Financial Statements
2. Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the company in accordance with
the Accounting Standards referred to in sub section (3C) of section 211
of 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
3. Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standard on Auditing issued by the Institute of Chartered
Accountants of India. Those standards require that we comply with
ethical requirement and plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free from material
misstatement.
4. An audit involves performing procedures to obtain audit evidence
about the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the
company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances. An audit also includes evaluation of appropriateness of
accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall
presentation of the financial statements.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.
Opinion
6. In our opinion and to the best of our information and according to
the explanations given to us, the financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) in the case of Balance Sheet, of the state of affairs of the
Company as at 31st March, 2014;
(b) in the case of the Statement of Profit and Loss, of the loss for
the year ended on that date; and
(c) in the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
Report on Other Legal and Regulatory Requirements
7. 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.
8. 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
sub-section (3C) of section 211 of the Companies Act, 1956;
e. On the basis of written representations received from the Directors
as on 31st March, 2014 and taken on record by the Board of Directors,
none of the Directors are disqualified as on 31st March, 2014 from
being appointed as a Director in terms of clause (g) of sub- section
(1) of section 274 of the Companies Act,1956;
f. Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act,1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company
ANNEXURE TO THE AUDITORS'' REPORT
(Referred to in Paragraph 7 of our Report of even date)
1 (a) The Company has maintained proper records of fixed assets showing
full particulars including quantitative details and situation of fixed
assets. However, due to frequent movement of fixed assets - movable
construction equipments from site to site, actual location of such
assets has not been mentioned in the records. Significant portion of
fixed assets have been physically verified by the management during the
period, which in our opinion is reasonable having regard to the size of
the Company and nature of its business. No material discrepancies were
noticed on such physical verification.
(b) There was no substantial disposal of fixed assets during the year
under audit.
2 As per information and explanations given to us, the inventories and
construction materials at Company''s sites which include work in
progress, have been physically verified by the management once in a
year for each site. Shortage / Excess on the basis of physical
verification have been duly accounted for in books of accounts which
were not material. However no provision is being made for slow moving
work in progress. In our opinion and according to the information and
explanations given to us, the procedure of physical verification of
inventories followed by the management is reasonable and adequate in
relation to size of the Company and the nature of its business. The
Company is mainly engaged in business of construction. In view of
multifarious jobs at different sites spread at different locations and
practical difficulties, records of inventory have been maintained in
ERP System and consumption booked on quarterly basis.
3 (a) According to the information & explanation given to us, the
company has granted interest free unsecured loans to Five Companies
(All Subsidiaries) and also granted interest bearing Unsecured Loan to
One Associate Company covered in the register maintained u/s 301 of the
Companies Act, 1956. The maximum amount involved during the year was Rs
1921.31 Lacs in respect of subsidiaries and Rs 303.50 lacs in respect
of associate company and year end balance of the loans granted to
subsidiaries were Rs. 1921.31 Lacs and to Associate was NIL.
(b) We are of the opinion that other terms and conditions of the loan
given by the Company are prima facie not prejudicial to the interest of
the Company.
(c) The parties wherever applicable are regular in repayment of
principal amounts and interest as stipulated.
(d) Not Applicable as there is no overdue amount.
(e) According to the information and explanation given to us, the
Company has taken unsecured loans from three Companies (Associate)
covered in the register maintained u/s 301 of the Companies Act, 1956.
The maximum amount outstanding during the year was Rs. 504.71 Lacs and
year end balance was Rs. 56.07 Lacs.
(f) We are of the opinion that the rate of interest and other terms and
conditions of the loan taken by the Company are prima facie not
prejudicial to the interest of the Company.
(g) The Company is regular in repayment of principal amount & Interest
wherever applicable.
4. 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 construction receipt
and services. During the course of our audit, we have not observed any
major weaknesses in internal controls.
5. (a) Based on the audit procedure applied by us and according to the
information and explanation provided by the management, we are of the
opinion that the particulars of contracts and/or arrangements referred
to in section that need to be entered into the register maintained
under Section 301 of the Companies Act, 1956 have been so entered.
(b) In our opinion and according to the information and explanations
given to us, the transactions made in pursuance of such contracts or
arrangement exceeding the value of rupees five lacs in respect of any
party during the year have been made at prices which are reasonable
having regard to prevailing market prices at the relevant time.
6. As per the information and explanations given to us, the company has
not accepted any deposits from the public.
7. In our opinion the internal audit system of the Company is
commensurate with the size and the nature of its business.
8. The Maintenance of Cost Records has been prescribed by the Central
Govt. under section 209(1) of the Companies Act, 1956 vide Companies
(Cost Accounting Records) Rules, 2011 and we are of the opinion that
prima facie the prescribed records were made and maintained.
9. (a) Except TDS, Service Tax and Provident Fund, the Company is
generally regular in depositing undisputed statutory dues including
Investor Education Protection fund, Employees'' State Insurance, Income
tax, Sales- tax, Customs Duty, Excise Duty, Cess and other statutory
dues with the appropriate authorities. The Detail of Statutory Dues as
on 31.03.14, which is due for a period of more than 6 months from the
date they become payable is as under:
Nature of Amount Amount Outstanding as on 31st March, 2014
for More than 6 Months from the date
become payable
Service Tax Rs.242.96 Lacs
TDS Rs.38.73 Lacs
Interest on TDS Payable Rs.65.52 Lacs
Interest on Service Tax
Payable Rs.12.47 Lacs
Vat / Entry Tax / WCT Rs.88.24 Lacs
Provident Fund Rs.1.13 Lacs
(b) According to the information and explanation given to us there are
no such statutory dues of income tax, custom duty, wealth tax, service
tax, excise duty, cess, ESI, PF, entry tax and Sales Tax which have not
been deposited on account of any dispute except in respect of the
following disputed liabilities at different appellate authorities:
Name of the statute Nature of the dues Amount
(Rs in Lacs)
Assam Vat Act Vat Liability for
Spanish Garden Project 47.87
UP Vat Act Vat Liability for Lucknow
Project 54.25
Service Tax Service tax Demand including
penalty raised by Service
tax Department 1661.66
Income Tax Demand including interest
u/s 153A/143(3),raised by
Income Tax Department 515.83
Income Tax Penalty for late filing
of TDS returns 3.50
Income Tax Demand for Penalty 0.70
10. The Company has no accumulated losses for the year ended 31st
March, 2014 and it has suffered cash loss of Rs 358.02 Lacs during the
year and has earned profits in the immediately preceding financial
year.
11. As per books and records maintained by the Company and according to
the information and explanation given to us, the Company has defaulted
in repayment of term dues to financial institutions and Banks. Such
continuing default as on balance sheet date were of Rs. 679.75 Lacs as
reported in note no. 3.2 to financial statements.
12. In our opinion and according to the information and explanation
given to us, no Loans and Advances have been granted by the Company on
the basis of security by way of shares, debentures and other securities
.
13. In our opinion, the Company is not a chit fund or a nidhi /mutual
benefit fund / society. Therefore, Clause 4 (xiii) of the Companies
(Auditor''s Report) Order 2003 is not applicable to the company.
14. The Company does not deal in shares, securities debentures and
other investment. However, the Company is hold- ing investments in
shares of its subsidiaries/Associates and the Company has maintained
proper records of transac- tions in respect of Such Investment.
15. According to the information and explanations given to us, the
Company has given bank guarantees for and on behalf of its Joint
Ventures. Considering the nature and volume of business, in our opinion
the term and conditions on which such guarantees given are prima-facie
not prejudicial to the interest of the Company.
16. The Company has raised term loans during the year and the same were
applied for the purpose for which the loans were obtained.
17. According to the information and explanation 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.
18. During the year covered under our audit, Company has not made /
proposed any preferential Allotment of shares to parties covered in the
register maintained under section 301 of the Companies Act, 1956.
19. The Company has not issued any debentures during the year.
20. The Company has not raised any money by way of public issue during
the year.
21. In our opinion and according to the information and explanations
given to us by the management which have been relied upon by us, no
fraud on or by the Company has been noticed or reported during the
year.
For A.B Bansal and Company
Chartered Accountants
Firm Regn No. 010538N
A.B. Bansal
Place : New Delhi Partner
Dated : 30.05.2014 M.No. 84628
Mar 31, 2013
1. We have audited the accompanying merged financial statements of
BRAHMAPUTRA INFRASTRUCTURE LIMITED ("the transferee Company") and
BRAHMAPUTRA INFRAPROJECT LIMITED ("the transferor company"), which
comprises the Balance Sheet as at 31st March 2013 and the Statement of
Profit & Loss and Cash Flow Statement for the year then ended and a
summary of significant accounting policies and other Disclosures.
Management''s Responsibility for the Financial Statements
2. Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the company in accordance with
the accounting standards referred to in sub section (3C) of section 211
of 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
3. Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standard on Auditing issued by the Institute of Chartered
Accountants of India. Those standards require that we comply with
ethical requirement and plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free from material
misstatement.
4. An audit involves performing procedures to obtain audit evidence
about the amounts and disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the
company''s preparation and fair presentation of the financial statements
in order to design audit procedures that are appropriate in the
circumstances. An audit also includes evaluation of appropriateness of
accounting policies used and the reasonableness of the accounting
estimates made by management, as well as evaluating the overall
presentation of the financial statements.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.
Opinion
6. In our opinion and to the best of our information and according to
the explanations given to us, the financial statements give the
information required by the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
a) in the case of Balance Sheet, of the state of affairs of the company
as at 31st March, 2013;
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
Report on Other Legal and Regulatory Requirements
7. 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.
8. 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 sub-section (3C) of section 211 of the Companies Act, 1956;
e. On the basis of written representations received from the Directors
as on 31st March, 2013 and taken on record by the Board of Directors,
none of the Directors are disqualified as on 31st March, 2013 from
being appointed as a Director in terms of clause (g) of sub- section
(1) of section 274 of the Companies Act,1956;
f. Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act,1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
ANNEXURE TO THE AUDITORS'' REPORT
(Referred to in Paragraph 7 of our Report of even date)
1. (a) The Company has maintained proper records of fixed assets
showing full particulars including quantitative
details and situation of fixed assets. However due to frequent movement
of fixed assets - movable construction equipments from site to site,
actual location of such assets has not been mentioned in the records.
Significant Portion of Fixed Assets have been physically verified by
the management during the period, which in our opinion is reasonable
having regard to the size of the Company and nature of its business. No
material discrepancies were noticed on such physical verification. (b)
There was no substantial disposal of fixed assets during the year under
audit.
2. As per information and explanations given to us, the inventories
and construction materials at company''s sites which include work in
progress, have been physically verified by the management at reasonable
intervals during the year. In our opinion and according to the
information and explanations given to us, the procedure of physical
verification of inventories followed by the management is reasonable
and adequate in relation to size of the Company and the nature of its
business. The Company is mainly engaged in business of construction. In
view of multifarious jobs at different sites spread at different
locations and practical difficulties, records of inventory have been
maintained in ERP System and consumption booked on closing of accounts.
3. (a) According to the information & explanation given to us, the
company has granted interest free unsecured loans to Five Companies
(All Subsidiaries) covered in the register maintained u/s 301 of the
Companies Act, 1956. The maximum amount involved during the year was Rs
1685.02 Lacs and yearend balance of the loans granted to such
companies were Rs. 1685.02 Lacs.
(b) We are of the opinion that other terms and conditions of the loan
given by the Company are prima facie not prejudicial to the interest of
the Company.
(c) The parties wherever applicable are regular in repayment of
principal amounts and interest as stipulated.
(d) Not Applicable as there is no overdue amount.
(e) According to the information and explanation given to us the
company has taken unsecured loans from two companies (Associate)
covered in the register maintained u/s 301 of the Companies Act, 1956.
The maximum amount outstanding during the year was Rs. 712.25 Lacs and
yearend balance was Rs. 117.75 Lacs.
(f) We are of the opinion that the rate of interest and other terms and
conditions of the loan taken by the Company are prima facie not
prejudicial to the interest of the Company.
(g) The Company is regular in repayment of principal amount & Interest
wherever applicable.
4. 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 construction receipt
and services. During the course of our audit, we have not observed any
major weaknesses in internal controls.
5. (a) Based on the audit procedure applied by us and according to the
information and explanation provided by the management, we are of the
opinion that the particulars of contracts and/or arrangements referred
to in section that need to be entered into the register maintained
under Section 301 of the Companies Act, 1956 have been so entered. (b)
In our opinion and according to the information and explanations given
to us, the transactions made in pursuance of such contracts or
arrangement exceeding the value of rupees five lacs in respect of any
party during the year have been made at prices which are reasonable
having regard to prevailing market prices at the relevant time.
6. As per the information and explanations given to us, the company
has not accepted any deposits from the public.
7. In our opinion the internal audit system of the Company is
commensurate with the size and the nature of its business.
8. The Maintenance of Cost Records has been prescribed by the Central
Govt. under section 209(1) of the Companies Act, 1956 vide Companies
(Cost Accounting Records) Rules, 2011 and we are of the opinion that
prima facie the prescribed records were made and maintained.
9. (a) Except TDS, Service Tax and Wealth Tax, the company is
generally regular in depositing undisputed statutory dues including
Provident Fund, Investor Education Protection Fund, Employees'' State
Insurance, Income tax, Sales- tax, Customs Duty, Excise Duty, Cess and
other statutory dues with the appropriate authorities. The Detail of
Statutory Dues as on 31.03.13, which is due for a period of more than 6
months from the date they become payable is as under:
Nature of Amount Amount Outstanding as on 31st March, 2013
for More than 6 Months from the date become
payable
Service Tax Rs. 174.37 Lacs
Wealth Tax Rs. 0.99 Lacs
TDS Rs. 120.75 Lacs
Interest on
TDS and Service Tax Rs. 44.24 Lacs
Vat / Entry
Tax / WCT Rs. 37.15 Lacs
(b) According to the information and explanation given to us there are
no such statutory dues of income tax, custom duty, wealth tax, service
tax, excise duty, cess, ESI, PF, entry tax and Sales Tax which have not
been deposited on account of any dispute except in respect of the
following disputed liabilities at different appellate authorities:
Name of the statute Nature of the dues Amount
(Rs in Lacs)
Assam Vat Act Vat Liability for Spanish
Garden Project 47.87
Service Tax Service tax Demand raised
by Service 1753.90
tax Department
Income Tax Demand including interest
u/s 153A/143(3), 515.83
raised by Income Tax
Department
10. The Company has no accumulated losses for the year ended 31st
March, 2013 and it has not incurred any cash losses during the said
year covered by our audit or in the immediately preceding financial
year.
11. As per books and records maintained by the Company and according
to the information and explanation given to us, the Company has
defaulted in repayment of dues to financial institutions and Banks.
Such continuing default as on balance sheet date are reported in note
no. 3.2 to financial statements.
12. In our opinion and according to the information and explanation
given to us, no Loans and Advances have been granted by the Company on
the basis of security by way of shares, debentures and other
securities.
13. In our opinion, the Company is not a chit fund or a nidhi /mutual
benefit fund / society. Therefore, Clause 4 (xiii) of the Companies
(Auditor''s Report) Order 2003 is not applicable to the company.
14. The company does not deal in shares, securities debentures and
other investment. However the company is holding investments in shares
of its subsidiaries/Associates and the Company has maintained proper
records of transactions in respect of Such Investment.
15. According to the information and explanations given to us, the
Company has given bank guarantees for and on behalf of its Joint
Ventures and Associate. Considering the nature and volume of business,
in our opinion the term and conditions on which such guarantees given
are prima-facie not prejudicial to the interest of the Company.
16. The Company has raised term loans during the year and the same
were applied for the purpose for which the loans were obtained.
17. According to the information and explanation 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.
18. Besides the Shares issued vide scheme of amalgamation approved by
Hon''ble High Court Order dated 4th January, 2013, during the year
covered under our audit, Company has not made / proposed any
preferential Allotment of shares to parties covered in the register
maintained under section 301 of the Companies Act, 1956.
19. The Company has not issued any debentures during the year.
20. The Company has not raised any money by way of public issue during
the year.
21. In our opinion and according to the information and explanations
given to us by the management which have been relied upon by us, no
fraud on or by the Company has been noticed or reported during the
period.
For A.B Bansal and Company
Chartered Accountants
Firm Regn No. 010538N
A.B. Bansal
Place : New Delhi Partner
Dated : 02.09.2013 M.No. 84628
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