Mar 31, 2018
Report on the Standalone Indian Accounting Standards (Ind AS) Financial Statements
1. We have audited the accompanying standalone Ind AS financial statements of Tide Water Oil Co. (India) Limited (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit and Loss (including Other Comprehensive Income), the Cash Flow Statement and the Statement of Changes in Equity for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Managementâs Responsibility for the Standalone Ind AS Financial Statements
2. 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 Ind AS financial statements to give a true and fair view of the financial position, financial performance (including other comprehensive income), cash flows and changes in equity of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards specified in the Companies (Indian Accounting Standards) Rules, 2015 (as amended) under Section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone Ind AS financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorsâ Responsibility
3. Our responsibility is to express an opinion on these standalone Ind AS financial statements based on our audit.
4. We have taken into account the provisions of the Act and the Rules made thereunder including 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.
5. We conducted our audit of the standalone Ind AS financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act and other applicable authoritative pronouncements issued by the Institute of Chartered Accountants of India. Those Standards and pronouncements require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the standalone Ind AS financial statements are free from material misstatement.
6. An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the standalone Ind AS financial statements. The procedures selected depend on the auditors''judgment, including the assessment of the risks of material misstatement of the standalone Ind AS financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the standalone Ind AS financial statements that give a true and fair view, in order to design audit procedures 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 standalone Ind AS financial statements.
7. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone Ind AS financial statements.
Opinion
8. 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 March 31, 2018, and its total comprehensive income (comprising of profit and other comprehensive income), its cash flows and the changes in equity for the year ended on that date.
Other Matter
9. The standalone Ind AS financial statements of the Company for the year ended March 31, 2017, were audited by another firm of chartered accountants under the Companies Act, 2013 who, vide their report dated May 30, 2017, expressed an unmodified opinion on those financial statements. Our opinion is not qualified in respect of this matter.
Report on Other Legal and Regulatory Requirements
10. As required by the Companies (Auditor''s Report) Order, 2016, issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act (âthe Orderâ), and on the basis of such checks of the books and records of the Company as we considered appropriate and according to the information and explanations given to us, we give in the Annexure B a statement on the matters specified in paragraphs 3 and 4 of the Order.
11. As required by Section 143 (3) of the Act, we report that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss (including other comprehensive income), the Cash Flow Statement and the Statement of Changes in Equity dealt with by this Report are in agreement with the books of account.
(d) In our opinion, the aforesaid standalone Ind AS financial statements comply with the Indian Accounting Standards specified under Section 133 of the Act.
(e) On the basis of the written representations received from the directors as on March 31, 2018 taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2018 from being appointed as a director in terms of Section 164 (2) of the Act.
(f) With respect to the adequacy of the internal financial controls with reference to financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in Annexure A.
(g) With respect to the other matters to be included in the Auditors'' Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our knowledge and belief and according to. the information and explanations given to us:
i. The Company has disclosed the impact of pending litigations as at March 31, 2018 on its financial position, in its standalone Ind AS financial statements - Refer Note 33(a) to the standalone Ind AS financial statements.
ii. The Company has long-term contracts as at March 31,2018 for which there were no material foreseeable losses. The Company did not have any derivative contracts as at March 31, 2018.
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company during the year ended March 31, 2018.
iv. The reporting on disclosures relating to Specified Bank Notes is not applicable to the Company for the year ended March 31, 2018.
Annexure A to Independent Auditorsâ Report
Report on the Internal Financial Controls with reference to financial statements under Clause (i) of Subsection 3 of Section 143 of the Act
1. We have audited the internal financial controls with reference to financial statements of Tide Water Oil Co. (India) Limited (âthe Companyâ) as of March 31, 2018 in conjunction with our audit of the standalone Ind AS financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
2. 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 (ICAI). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.
Auditorsâ Responsibility
3. Our responsibility is to express an opinion on the Company''s internal financial controls with reference to financial statements 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 deemed to be prescribed under Section 143(10) of the Act to the extent applicable to an audit of internal financial controls, both applicable to an audit of internal financial controls and both issued by the ICAI. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to financial statements was established and maintained and if such controls operated effectively in all material respects.
4. Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system with reference to financial statements and their operating effectiveness- Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to financial statements, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor''s judgement, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
5. 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 with reference to financial statements.
Meaning of Internal Financial Controls with reference to financial statements
6. A company''s internal financial controls with reference to financial statements is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial controls with reference to financial statements includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with 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 with reference to financial statements
7. Because of the inherent limitations of internal financial controls with reference to financial statements, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls with reference to financial statements to future periods are subject to the risk that the internal financial controls with reference to financial statements may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
8. In our opinion, the Company has, in all material respects, an adequate internal financial controls system with reference to financial statements and such internal financial controls with reference to financial statements 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.
Annexure B to Independent Auditorsâ Report
i. (a) The Company is maintaining proper records showing full particulars, including quantitative details and situation, of fixed assets.
(b) The fixed assets are physically verified by the Management according to a phased programme designed to cover all the items over a period of three years which, in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. Pursuant to the programme, a portion of the fixed assets has been physically verified by the Management during the year and no material discrepancies have been noticed on such verification.
(c) The title deeds of immovable properties, as disclosed in Note 3.1 on property, plant and equipment to the standalone Ind AS financial statements, are held in the name of the Company.
ii. The physical verification of inventory (excluding stocks with third parties) have been conducted at reasonable intervals by the Management during the year. In respect of inventory lying with third parties, these have substantially been confirmed by them. The discrepancies noticed on physical verification of inventory as compared to book records were not material.
iii. The Company has not granted any loans, secured or unsecured, to companies, firms, Limited Liability Partnerships or other parties covered in the register maintained under Section 189 of the Act. Therefore, the provisions of Clause 3(iii), (iii)(a), (iii)(b) and (iii)(c) of the said Order are not applicable to the Company.
iv. In our opinion, and according to the information and explanations given to us, the Company has complied with the provisions of Section 185 and 186 of the Companies Act, 2013 in respect of the loans and investments made, and guarantees and security provided by it, as applicable.
v. The Company has not accepted any deposits from the public within the meaning of Sections 73, 74, 75 and 76 of the Act and the Rules framed there under to the extent notified.
vi. Pursuant to the rules made by the Central Government of India, the Company is required to maintain cost records as specified under Section 148(1) of the Act in respect of its products. We have broadly reviewed the same, and are of the opinion that, prima facie, the prescribed accounts and records have been made and maintained. We have not, however, made a detailed examination of the records with a view to determine whether they are accurate or complete.
vii. (a) According to the information and explanations given to us and the records of the Company examined by us, in our opinion, the Company is generally regular in depositing undisputed statutory dues in respect of provident fund, employeesâ state insurance, income tax, service tax and professional tax, though there has been a slight delay in a few cases, and is regular in depositing undisputed statutory dues, including sales tax, duty of customs, duty of excise, value added tax, cess, goods and service tax with effect from July 1, 2017 and other material statutory dues, as applicable, with the appropriate authorities.
(b) According to the information and explanations given to us and the records of the Company examined by us, there are no dues of service tax, duty of customs and goods and service tax as at March 31, 2018 which have not been deposited on account of any dispute. The particulars of dues of income tax, sales tax, duty of excise and value added tax as at March 31, 2018 which have not been deposited on account of a dispute, are as follows:
Name of the statute |
Nature of dues |
Amount (Rs.in Crores) |
Period to which the amount relates |
Forum where the dispute is pending |
Central Sales Tax Act, 1956 |
Sales tax |
0.01 |
2009-10 and 2010-11 |
West Bengal Revision Board |
0.19 |
2014-15 and 2015-16 |
Joint Commissioner (Appeals) |
||
Bombay Provincial Municipal Corporations Act, 1949 |
Cess |
1.36 |
1998-99 to 2003-04 |
High Court |
Central Excise Act, 1944 |
Excise duty |
12.55 |
2001-02, 2002-03, 2011-12 to 2015-16 |
CESTAT |
0.64 |
2006-07 to 2008-09, 2010-11 to 2012-13 |
Commissioner (Appeals) |
||
0.22 |
1997-98 |
Superintendent of Central Excise |
||
Orissa Sales Tax Act, 1947 |
Sales tax |
0.02 |
1997-98,1998-99 and 2000-01 |
Appellate Authority |
Orissa Value Added Tax Act, 2004 |
Value added tax |
0.02 |
2008-09 and 2009-10 |
High Court |
0.03 |
2006-07 to 2008-09 |
Appellate Authority |
||
Dadra & Nagar Haveli Value Added Tax Regulation 2005 |
Value added tax |
2.99 |
2008-09 and 2009-10 |
Appellate Authority |
Jharkhand Value Added Tax Act, 2005 |
Value added tax |
0.09 |
2011-12 and 2012-13 |
Appellate Authority |
0.04 |
2006-07 and 2007-08 |
Commissioner (Appeals) |
||
Bihar Valued Added Tax Act, 2005 |
Value added tax |
0.06 |
2013-14 |
Commissioner (Appeals) |
West Bengal Value Added Tax Act, 2003 |
Value added tax |
0.01 |
2012-13 |
West Bengal Sales Tax Appellate & Revisional Board |
0.001 |
1995-96 |
Deputy Commissioner of Commercial Taxes |
||
1.94 |
2014-15 and 2015-16 |
Joint Commissioner (Appeals) |
viii. As the Company does not have any loans or borrowings from any financial institution or bank or Government, nor has it issued any debentures as at the balance sheet date, the provisions of Clause 3(viii) of the Order are not applicable to the Company.
ix. The Company has not raised any moneys by way of initial public offer, further public offer (including debt instruments) and term loans. Accordingly, the provisions of Clause 3(ix) of the Order are not applicable to the Company.
x. During the course of our examination of the books and records of the Company, carried out in accordance with the generally accepted auditing practices in India, and according to the information and explanations given to us, we have neither come across any instance of material fraud by the Company or on the Company by its officers or employees, noticed or reported during the year, nor have we been informed of any such case by the Management.
xi. The Company has paid/ provided for managerial remuneration in accordance with the requisite approvals mandated by the provisions of Section 197 read with Schedule V to the Act.
xii. As the Company is not a Nidhi Company and the Nidhi Rules, 2014 are not applicable to it, the provisions of Clause 3(xii) of the Order are not applicable to the Company.
xiii. The Company has entered into transactions with related parties in compliance with the provisions of Sections 177 and 188 of the Act. The details of related party transactions have been disclosed in the standalone Ind AS financial statements as required under Indian Accounting Standard (Ind AS) 24, Related Party Disclosures specified under Section 133 of the Act.
xiv. The Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review. Accordingly, the provisions of Clause 3 (xiv) of the Order are not applicable to the Company.
xv. The Company has not entered into any non cash transactions with its directors or persons connected with him. Accordingly, the provisions of Clause 3(xv) of the Order are not applicable to the Company.
xvi. The Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act, 1934. Accordingly, the provisions of Clause 3(xvi) of the Order are not applicable to the Company.
For Price Waterhouse Chartered Accountants LLP
Firm Registration Number: 012754N/N500016
Chartered Accountants
Pinaki Chowdhury
Kolkata Partner
May 30, 2018 Membership Number 57572
Mar 31, 2017
Report on the Standalone Ind AS Financial Statements
We have audited the accompanying standalone Ind AS financial statements of Tide Water Oil Co. (India) Ltd. ("the Company"), which comprise the Balance Sheet as at 31st March, 2017, the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flows and the Statement of Changes in Equity for the year then ended, and a summary of the significant accounting policies and other explanatory information (herein after referred to as "standalone Ind AS financial statements").
Management''s Responsibility for the Standalone Ind AS Financial Statements
The Company''s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these standalone Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Act read with relevant rules issued there under.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone Ind AS 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 into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit of the standalone Ind AS financial statements in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the standalone Ind AS financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the standalone Ind AS financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the standalone Ind AS financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the standalone Ind AS financial statements that give a true and fair view in order to design audit procedures 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 Company''s Directors, as well as evaluating the overall presentation of the standalone Ind AS financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone Ind AS financial statements.
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 including the Ind AS, of the financial position of the Company as at 31st March, 2017, its financial performance including other comprehensive income, its cash flows and its changes in equity for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor''s Report) Order, 2016 ("the Order") issued by the Central Government in terms of sub-section (11) of Section 143 of the Act, we give in the "Annexure A", a statement on the matters specified in the paragraphs 3 and 4 of the Order, to the extent applicable.
2. As required by Section 143 (3) of the Act, we report to the extent applicable that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books and proper returns adequate for the purpose of our audit have been received from the branches;
(c) The reports on the accounts of the branch offices of the Company audited by us under section 143(8) of the Act have been properly dealt with by us in preparing this report;
(d) The Balance Sheet, the Statement of Profit and Loss, the Statement of Cash Flows and the Statement of Changes in Equity dealt with by this Report are in agreement with the books of account and with the returns received from the branches;
(e) In our opinion, the aforesaid standalone Ind AS financial statements comply with the Indian Accounting Standards specified under Section 133 of the Act read with relevant rules issued there under;
(f) On the basis of the written representations received from the directors as on 31st March, 2017 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2017 from being appointed as a director in terms of Section 164 (2) of the Act;
(g) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure B"; and
(h) With respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014 read with Companies (Audit & Auditors) Amendment Rules 2017, in our opinion and to the best of our information and according to the explanations given to us:
(i) The Company has disclosed the impact of pending litigations on its financial position in its standalone Ind AS financial statements - Refer Note 27.1 (a) to the standalone Ind AS financial statements;
(ii) The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses;
(iii) There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company ; and
(iv) The Company has provided requisite disclosures in the standalone Ind AS financial statements as to holdings as well as dealings in Specified Bank Notes during the period from 8th November, 2016 to 30th December, 2016. Based on audit procedures and relying on the management representation we report that the disclosures are in accordance with books of account maintained by the Company. Refer Note 33 to the standalone Ind AS financial statements.
Annexure A referred to in paragraph 1 under the heading "Report on Other Legal and Regulatory Requirements" of our report of even date :-
(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets.
(b) The Company has a regular programme of physical verification of its fixed assets which, in our opinion is reasonable having regard to the size of the Company and the nature of its assets. According to the information and explanation given to us, any material discrepancy noticed on such verification between book records and the physical records has been properly dealt with in the books of account.
(c) The title deeds of immovable properties are held in the name of the Company.
(ii) As explained to us, inventories have been physically verified by the Management during the year at reasonable intervals. Material discrepancies noticed on verification between the physical records and book records have been properly dealt with in the books of account.
(iii) The Company has not granted any loans, secured or unsecured, to companies, firms, and Limited Liability partnerships or other parties covered in the Register maintained under Section 189 of the Act. Therefore, clauses 3(iii) (a), (b) and (c) of the aforesaid Order are not applicable.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of sections 185 and 186 of the Act, in respect of loans, investments, guarantees and security.
(v) According to the information and explanations given to us, the Company has not accepted any deposits during the year.
(vi) The Company has maintained cost records specified by the Central Government under section 148(1) of the Act.
(vii) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company is generally regular in depositing with appropriate authorities undisputed statutory dues including Provident fund, Employees'' State Insurance, Income-tax, Sales-tax, Service tax, Duty of Custom, Duty of Excise, Value Added Tax, Cess and other material statutory dues applicable to it.
On the basis of the records of the Company and according to the information and explanations given to us, no undisputed amounts payable in respect of Provident fund, Employees'' State Insurance, Income-tax, Sales-tax, Service tax, Duty of Custom, Duty of Excise, Value Added Tax and Cess were outstanding, as at 31st March, 2017 for a period of more than six months from the date they became payable.
(b) Details of dues of Income Tax, Sales-tax/Value Added Tax, Duty of Excise and Cess which have not been deposited as at 31st March, 2017 on account of disputes are given below:
Statute |
Nature of Dues |
Forum where Dispute is pending |
Period to which the amounts relates |
Amount involved (Rs. in crores) |
The Central sales Tax Act and SalesTax Act of Various States |
Sales tax/ Value Added Tax |
Deputy Commissioner of Commercial Taxes West Bengal, Appellate Authority Orissa, Appellate Authority Jharkhand, Commercial Tax Tribunal Patna, Commissioner of Commercial Taxes Ranchi, Orissa High Court, Assistant Commissioner of Sales Tax, Delhi and Commissioner of VAT ( Appeals) |
1994-95 to 2013-14 |
3.86 |
Central Excise Act, 1944 |
Duty of Excise |
Commissioner of Central Excise Chennai, Madras High Court, Commissioner of Central Excise and Customs (Appeals), CESTAT, Kolkata, Asst. Commissioner, Faridabad. |
1998-99, 2001-02 to 2008-09 and 2010-11 |
2.22 |
Statute |
Nature of Dues |
Forum where Dispute is pending |
Period to which the amounts relates |
Amount involved (Rs. in Crores) |
Navi Mumbai Municipal Corporation Cess Act |
Cess |
Bombay High Court |
1998-2004 |
1.36 |
Income Tax Act 1961 |
Income tax |
DCIT |
1998-99 |
0.14 |
|
|
DCIT |
1999-2000 |
0.13 |
|
|
DCIT |
2000-01 |
0.11 |
|
|
DCIT |
2003-04 |
0.17 |
|
|
DCIT |
2005-06 |
0.19 0.74 |
(viii) The Company does not have any loans or borrowings from any financial institution, bank, Government or dues to debenture holders during the year. Accordingly, clause 3(viii) of the Order is not applicable.
(ix) The Company has not raised moneys during the year by way of initial public offer or further public offer (including debt instruments) or by way of term loans. Therefore clause 3(ix) of the aforesaid Order is not applicable.
(x) During the course of our examination of the books of accounts carried out in accordance with Generally Accepted Auditing Practices, we have neither come across any instance of fraud by the Company or any fraud on the Company by its officers or employees, nor have we been informed of any such case by the Management.
(xi) From the verification of records produced to us, managerial remuneration has been paid or provided in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Act.
(xii) The Company is not a Nidhi company. Therefore clause 3(xii) of the aforesaid Order is not applicable.
(xiii) In our opinion and according to the information and explanations given to us, the transactions entered with the related parties are in compliance with section 177 and 188 of the Act and the details of such transactions have been disclosed in the Financial Statements as required by the applicable Indian Accounting Standards.
(xiv) The Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review.
(xv) In our opinion and according to the information and explanations given to us, the Company has not entered into any non- cash transactions with directors or persons connected with him.
(xvi) In our opinion and according to the information and explanations given to us, the Company is not required to be registered under section 45-IA of the Reserve Bank of India Act, 1934.
For RAY & RAY
Chartered Accountants
(Firmâs Registration No. 301072E)
(Asish Kumar Mukhopadhyay)
Place : Kolkata Partner
Date : 30th May, 2017 Membership no. 056359
Mar 31, 2016
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of Tide Water Oil Co. (India), Ltd (âthe Companyâ), which comprise the Balance Sheet as at 31st March, 2016, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information in which are incorporated the returns for the year ended on that date of the Companyâs branches at four regions which are also audited by us.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards 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 consistent application of appropriate accounting policies and making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditorâs Responsibility
Our responsibility is to express an opinion on these Standalone financial statements based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made 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 auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our qualified audit opinion on the standalone financial statements.
Basis for Qualified Opinion
Note no 23.9 of Notes to Accounts regarding non provisioning of possible diminution in value of quoted investment. Qualified Opinion
In our opinion and to the best of our information and according to the explanations given to us, except for the effects of the matter described in the Basis for Qualified Opinion paragraph, the aforesaid 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 Matter
We draw attention to Note 23.5 to the financial statements, which describe the treatment of loan to Tide Water Oil Company (India) Limited - Employee Benefit Scheme against share capital/ premium in terms of SEBI guidelines and Expert Advisory Committee of The Institute of Chartered Accountants of India. The accounts of the said Trust have been audited by another auditor which has been considered by us.
Our opinion is not modified in respect of this matter.
Report on Other Legal and Regulatory Requirements
1 As required by the Companies (Auditorâs Report) Order 2016 (âthe Orderâ), issued by the Central Government of India in terms of sub-Section (11) of Section 143 of the Companies Act, 2013, we give in the âAnnexure Aâ a statement on the matters specified in Paragraphs 3 and 4 of the said Order, to the extent applicable.
2 As required by Section 143 (3) of the Act, we report to the extent applicable, that:
(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books and proper returns adequate for the purpose of our audit have been received from the branches.
(c) The reports on the accounts of the branch offices of the Company audited by us under section 143(8) of the Act have been properly dealt with by us in preparing this report.
(d) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account and with the returns received from the branches.
(e) Except for the effects of the matters described in the Basis for Qualified Opinion paragraph above, in our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
(f) On the basis of the written representations received from the directors as on 31st March, 2016 taken on record by the Board of Directors, none of the directors are disqualified as on 31st March, 2016 from being appointed as a director in terms of Section 164 (2) of the Act.
(g) With respect to the adequacy of internal financial control over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in âAnnexure Bâ.
(h) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements mentioned in Note No 23.1 to the financial statements;
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses;
iii. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
The Annexure referred to in paragraph 1 under the heading âReport on other Legal and Regulatory Requirementsâ of our report at even date
(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation
of fixed assets.
(b) The Company has a regular programme of physical verification of its fixed assets which, in our opinion provides for physical verification of all the fixed assets at reasonable intervals. According to the information and explanation given to us, any material discrepancy noticed on such verification between book records and the physical records has been properly dealt with in the books of account.
(c) The title deeds of immovable properties are held in the name of the Company.
(ii) As explained to us, inventories have been physically verified by the Management during the year at reasonable intervals. Material discrepancies noticed on verification between the physical records and book records have been properly dealt with in the books of account.
(iii) The Company has not granted any loans, secured or unsecured, to companies, firms, Limited Liability partnerships or other parties covered in the Register maintained under Section 189 of the Act. Therefore, clauses 3(iii) (a), (b) and (c) of the aforesaid Order are not applicable.
(iv) In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of sections 185 and 186 of the Act, in respect of loans, investments, guarantees and security.
(v) The Company has not accepted any deposits from the public as notified in the Companies (Acceptance of Deposits) Rules, 2014 as amended by Companies (Acceptance of Deposits) Rules, 2015. Therefore, the provisions of clause 3(v) of the aforesaid order are not applicable.
(vi) The Central Government has not specified maintenance of cost records under section 148(1) of the Act for the Company.
(vii) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company is generally regular in depositing with appropriate authorities undisputed statutory dues including Provident fund, Employeesâ State Insurance, Income-tax, Sales-tax, Service tax, Duty of Custom, Duty of Excise, Value Added Tax, Cess and other material statutory dues applicable to it. According to the information and explanations given to us, no undisputed amounts payable in respect of Provident fund, Employeesâ State Insurance, Income-tax, Sales-tax, Service tax, Duty of Custom, Duty of Excise, Value Added Tax and Cess were outstanding, as at 31st March, 2016 for a period of more than six months from the date they became payable.
(b) Details of dues of Income Tax, Sales-tax, Service Tax, Duty of Custom, Duty of Excise, Value Added Tax and Cess which have not been deposited as at 31st March, 2016 on account of disputes are given below :
Statute |
Nature of Dues |
Forum where Dispute is pending |
Period to which the amounts relates |
Amount involved (Rs. in crores) |
The Central sales Tax Act and Sales Tax Act of Various States |
Sales tax |
West Bengal Commercial Taxes Tribunal, Deputy Commissioner of Commercial Taxes West Bengal, Appellate Authority Orissa, Commissioner Tax Tribunal Patna, Commissioner of Commercial Taxes Ranchi, Orissa High Court, Assistant Commissioner Delhi, Commissioner of VAT (Dadar and Nagar Haveli) |
1979-2011 |
3.79 |
Central Excise Act, 1944 |
Duty of Excise |
Commissioner of Central Excise Chennai, High Court, Chennai, Commissioner of Central Excise and Customs (Appeals) Central Excise, Mumbai, Excise Range Superintendent, Kolkata, Asst. Commissioner, Faridabad. |
1998-99 2001-11 |
0.97 |
Navi Mumbai Municipal Corporation Cess Act |
Cess |
High Court Mumbai |
1998-04 |
1.36 |
Income Tax Act 1961 |
Income tax |
DCIT |
1998-99 |
0.14 |
DCIT |
1999-00 |
0.13 |
||
DCIT |
2000-01 |
0.11 |
||
DCIT |
2003-04 |
0.17 |
||
DCIT |
2005-06 |
0.19 |
||
DCIT |
2011-12 |
0.23 0.97 |
The Annexure referred to in Paragraph 2(g) under the heading âReport on Other Legal and Regulatory Requirementsâ of our report of even date
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 Tide Water Oil Co. (India), Ltd (âthe Companyâ) as of 31st March, 2016 in conjunction with our audit of financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs management is responsible for establishing and maintaining internal financial controls considering the essential components of internal control as per section 134(5) of the Act and as stated in the applicable Standards of Auditing issued by the Institute of Chartered Accountants of India (âICAIâ). These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to companyâs policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Companyâs internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note 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 Act, 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 auditorâs judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A companyâs internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A companyâs internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls over Financial Reporting
In view 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 explanations given to us, the Company has not fully documented its Internal Financial Control over Financial Reporting that is in vogue, based upon the criteria of the Guidance Note on audit of Internal Financial Control over Financial Reporting issued by The Institute of Chartered Accountants of India (ICAI). However, we have carried out some walk through and other audit tests to ascertain the effectiveness of Internal Financial Control over Financial Reporting as practiced by the Company, so far as it affects the financial reporting on the key account balances and processes.
Based on our audit procedures, in our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31st March 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 RAY & RAY
Chartered Accountants
(Firmâs Registration No. 301072E)
(Asish Kumar Mukhopadhyay)
Place : Kolkata Partner
Date : 30th May, 2016 Membership no. 056359
Mar 31, 2015
We have audited the accompanying standalone financial statements of
TIDE WATER OIL CO. (INDIA) LTD. ("the Company") which comprise the
Balance Sheet as at 31st March 2015, the Statement of Profit and Loss
and the Cash Flow Statement for the year then ended, and a summary of
significant accounting policies and other explanatory information, in
which are incorporated the returns for the year ended on that date of
the Company''s branches'' at four regions which are also audited by us.
Management''s Responsibility for the Standalone Financial Statements
The Company''s Board of Directors is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 ("the Act") with respect
to the preparation of these standalone financial statements that give a
true and fair view of the financial position, financial performance and
cash flows of the Company in accordance with the accounting principles
generally accepted in India, including the Accounting Standards
specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
This responsibility also includes maintenance of adequate accounting
records in accordance with the provisions of the Act for safeguarding
the assets of the Company and for preventing and detecting frauds and
other irregularities; selection and application of appropriate
accounting policies; making judgements and estimates that are
reasonable and prudent; and design, implementation and maintenance of
adequate internal financial controls, that were operating effectively
for ensuring the accuracy and completeness of the accounting records,
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these Standalone
financial statements based on our audit. We have taken into account the
provisions of the Act, the accounting and auditing standards and
matters which are required to be included in the audit report under the
provisions of the Act and the Rules made thereunder. We conducted our
audit in accordance with the Standards on Auditing specified under
Section 143(10) of the Act. Those Standards require that we comply
with ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and the disclosures in the financial statements. The
procedures selected depend on the auditor''s judgment, including the
assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant
to the Company''s preparation of the financial statements that give a
true and fair view in order to design audit procedures that are
appropriate in the circumstances, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial control system over financial reporting and the operating
effectiveness of such controls.
An audit also includes evaluating the appropriateness of the accounting
policies used and the reasonableness of the accounting estimates made
by the Company''s Directors, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our qualified audit opinion on the
standalone financial statements. Basis for Qualified Opinion
Note no 22.10 of Notes to Accounts regarding non provisioning of
possible diminution in value of quoted investment.
Qualified Opinion
In our opinion and to the best of our information and according to the
explanations given to us, except for the effects of the matter
described in the Basis for Qualified Opinion paragraph, the aforesaid
standalone financial statements give the information required by the
Act in the manner so required and give a true and fair view in
conformity with the accounting principles generally accepted in India;
of the state of affairs of the Company as at 31st March, 2015, and its
profit and its cash flows for the year ended on that date.
Emphasis of Matter
We draw attention to Note 22.8 to the finanical statements, which
describe the treatment of loan to Tide Water Oil Company (India)
Limited  Employee Welfare Trust (TWOC-EWT) against share capital /
premium in terms of SEBI guidelines and Expert Advisory committee of
the Institute of Chartered Accountants of India. The accounts of the
said Trust have been audited by another auditor which has been
considered by us. Our opinion is not qualified 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 Paragraph 3 and 4
of the said order, to the extent applicable.
2. As required by Section 143(3) of the Act, we report that :
(a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit.
(b) In our opinion, proper books of account as required by law have
been kept by the Company so far as it appears from our examination of
those books and proper returns adequate for the purposes of our audit
have been received from the branches.
(c) The reports on the accounts of the branch offices of the Company
audited by us under Section 143 (8) of the Act have been properly dealt
with by us in preparing this report.
(d) The Balance Sheet, the Statement of Profit and Loss, and the Cash
Flow Statement dealt with by this report are in agreement with the
books of account and with the returns received from the branches.
(e) Except for the effects of the matter described in the Basis for
Qualified Opinion paragraph above, in our opinion, the aforesaid
standalone financial statements comply with the Accounting Standards
specified under section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
(f) On the basis of the written representations received from the
Directors as on 31st March 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164 (2) of the
Act.
(g) With respect to the other matters to be included in the Auditor''s
Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and
according to the explanations given to us :
i) The Company has disclosed the impact of pending litigations on its
financial position in its financial Statements  Refer Note 22.1 to the
financial statements;
ii) The Company has not made any provision for material foreseeable
losses, if any, on long-term contracts including derivative contracts.
iii) There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO THE INDEPENDENT AUDITOR''S REPORT
Referred to in paragraph 1 of the Auditor''s Report on "Other Legal
and Regulatory Requirements" of even date to the members of TIDE
WATER OIL CO. (INDIA) LTD. d 31st March, 2015.
i) (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of
its fixed assets.
(b) All fixed assets have not been physically verified by the
management during the year but there is a regular program of
verification which, in our opinion is reasonable having regard to the
size of the Company and nature of its business. Pursuant to the
program, plant and machinery located at different locations/factories
have been physically verified by the management during the year and no
material discrepancies between the book records and the physical
inventory have been noticed.
ii) (a) As explained to us, inventories were verified by the Management
during the year at reasonable intervals. In our opinion, the frequency
of verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) On the basis of our examination of the inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies noticed on physical verification of inventory as compared
to book records were not material and have been properly dealt with in
the books of account.
iii) As informed to us, the Company has not granted any loans, secured
or unsecured to Companies, firms or other parties covered in the
register maintained under Section 189 of the Act. Accordingly, clauses
(iii)(a) to (iii) (b) of paragraph 3 of the aforesaid Order are not
applicable to the Company for the current year.
iv) On the basis of our examination of books of account and according
to the information and explanations given to us, in our opinion, there
exists an adequate internal control system commensurate with the size
of the Company and the nature of its business with regard to the
purchase of inventory, fixed assets and with the sale of goods and
services. Further, on the basis of our examination of the books and
records of the Company and according to the information and
explanations given to us, we have neither come across nor have we been
informed of any continuing failure to correct major weaknesses in the
internal control system of the Company.
v) The Company has not accepted any deposits, and as such the
requirement of clause (v) is not applicable to the Company. According
to the information and explanations given to us, no order has been
passed by the Company Law Board or the National Company Law Tribunal or
The Reserve Bank of India or any Court or any other Tribunal.
vi) The Central Government has not prescribed maintenance of cost
records under section 148(1) of the Act for the company.
vii) (a) The Company has generally been regular in depositing
undisputed statutory dues, including Provident Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax,
Service Tax, Customs Duty, Excise Duty, Value Added Tax, Cess and other
material statutory dues applicable to it with the appropriate
authorities.
There were no undisputed amount payable in respect of Provident Fund,
Employees'' State Insurance, Sales tax, Income-tax, Wealth tax,
Service tax, Value Added Tax, Custom Duty, Excise Duty or Cess which
were outstanding as at 31st March 2015 for a period of more than six
months from the date they became payable.
(b) Details of dues of Income-Tax, Sales Tax, Excise Duty and Cess
which have not been deposited as on 31st March, 2015 on account of
disputes are given below.
Statute Nature of Forum where
Dues Dispute is pending
The Central Sales Sales Tax West Bengal Commercial Taxes Tribunal,
Tax Act and Deputy Commissioner of Commercial Taxes
Sales Tax Acts West Bengal, Appellate Authorities
Orissa,
of Various High Court Lucknow, Assistant
States Commissioner Sales Tax, New Delhi.
Central Excise Excise Commissioner of Central Excise Chennai,
High Act, 1944 Duty Court, Chennai,
Commissioner of Central Excise
and Customs (Appeals) Central excise,
Mumbai Excise Range
Superintendent, Kolkata,
Asst. Commissioner, Faridabad
Navi Mumbai Cess High Court, Mumbai
Municipal
Corporation
CESS Act
Income Tax Act, Income Tax DCIT
DCIT
DCIT
DCIT
DCIT
DCIT
DCIT
Income Tax Act Fringe CIT (A)
Benefit Tax
Satue Period to which Amount
the amounts involved
relates (Rs. in Crores)
The Central Sales 1979-2006 2.50
Tax Act and
Sales Tax Act
of Variousn States
Centrol Excise
Act 1944 1998-1999 1.00
2001-2009
Navi Mumbai 1998-2004 1.36
Municipal
Corporation
CESS Act
Income Tax Act, 1998- 99 0.14
1999- 00 0.13
2000- 01 0.11
2003-04 0.17
2005-06 0.19
2011- 12 0.03
2012- 13 0.06
0.83
Income Tax Act, 2005-2006 0.006
(c) The amount required to be transferred to investor education and
protection fund has been transferred within time as required by
relevant statute.
viii) The Company has no accumulated loss as at 31 st March, 2015 and
it has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
ix) According to the records of the Company examined by us and on the
basis of information and explanations given to us, the Company has not
defaulted in repayment of dues to any bank. The Company has neither
taken any loan from financial institution nor has it issued any
debentures.
x) According to the information and explanations given to us, the
Company has given guarantee for the loan taken by its subsidiaries from
banks. According to the information and explanations given to us, we
are of the opinion that the terms and conditions on which the Company
has given guarantee for loans taken from banks are not prima facie
prejudicial to the interest of the Company.
xi) To the best of our knowledge and belief and according to the
information and explanations given to us, the Company has not taken any
term loans from bank or financial institution during the year.
xii) During the course of our examination of the books of account
carried out in accordance with the generally accepted auditing
practices in India and according to the information and explanations
given to us, we have neither come across any instance of material fraud
on or by the Company, nor have we been informed of any such case by the
management.
Place : Kolkata
Date : 30th May, 2015
For RAY & RAY
Chartered Accountants
Firm''s Registration.
No. 301072E K.
K. Ghosh
Partner
Membership No. 059781
Mar 31, 2014
We have audited the accompanying financial statements of TIDE WATER OIL
CO. (INDIA) LTD. ("the Company") which comprise the Balance Sheet as at
31 March 2014, the Statement of Profit and Loss and the Cash Flow
Statement for the year ended and a summary of significant accounting
policies and other explanatory information (other notes to financial
statements).
2. Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of Section 211
of the Companies Act, 1956 ("the Act"). This responsibility includes
the design, implementation and maintenance of internal control relevant
to the preparation and presentation of the financial statements that
give a true and fair view and are free from material misstatement,
whether due to fraud or error.
3. Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by The Institute of Chartered
Accountants of India. Those standards require that we comply with the
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment of
risks of material misstatement of the financial statements, whether due
to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
4. Basis for Qualified Opinion
i. Note no 22.7 of Notes to Accounts regarding non provisioning of
possible diminution in value of quoted investments.
Qualified Opinion
In our opinion and to the best of our information and according to the
explanations given to us, except for the effects of the matter
described in the Basis for Qualified Opinion paragraph, the financial
statements read together with the notes thereon, give the information
required by the Act in the manner so required and give a true and fair
view in conformity with the accounting principles generally accepted in
India;
a) in the case of the Balance Sheet, of the state of the affairs of the
Company as at 31st March, 2014.
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
5. Report on Other Legal and Regulatory Requirements
5.1 As required by the Companies (Auditor''s Report) Order, 2003 ("the
order"), as amended, 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 Paragraph 4 and 5 of the said
order.
5.2 As required by Section 227(3) of the Act, we report that :
a. we have obtained all the information and explanations, which to the
best of our knowledge and belief, were necessary for the purposes of
our audit;
b. in our opinion, proper books of account as required by law have
been kept by the company so far as 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. except for the matter described in the Basis for Qualified Opinion
paragraph, 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 Act;
e. on the basis of written representations received from the Directors
as on 31 March 2014, and taken on record by the Board of Directors,
none of the Directors is disqualified as on 31 March, 2014, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Act.
f. the Central Government has neither 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. However, no
cess is due and payable by the Company.
ANNEXURE TO THE AUDITORS'' REPORT
(Referred to in paragraph 5 of our report of even date)
1. (a) The Company has maintained proper records showing full
Particulars, including quantitative details and situation of it''s fixed
assets.
(b) All the fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion is reasonable having regard to the
size of the Company and nature of its business. Pursuant to the
programme, plant and machinery located at different locations/factories
have been physically verified by the management during the year and no
material discrepancies between the book records and the physical
inventory have been noticed.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
2. (a) As explained to us, inventories were verified by the Management
during the year at reasonable intervals. In our opinion, the frequency
of verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) On the basis of our examination of the inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies noticed on physical verification of inventory as compared
to book records were not material and have been properly dealt with in
the books of account.
3. As informed to us, the Company has not granted any loans, secured
or unsecured to Companies, firms or other parties covered in the
register maintained under Section 301 of "the Act". Accordingly,
clauses (iii)(b) to (iii) (d) of paragraph 4 of the aforesaid Order are
not applicable to the Company for the current year.
4. As informed to us, the Company has not taken any loans, secured or
unsecured from Companies, firms or other parties covered in the
register maintained under Section 301 of "the Act". Accordingly,
clauses (iii)(e) to (iii) (g) of paragraph 4 of the aforesaid Order are
not applicable to the Company for the current year.
5. On the basis of our examination of books of account and according
to the information and explanations given to us, in our opinion, there
exists an adequate internal control system commensurate with the size
of the Company and the nature of the business with regard to the
purchase of inventory, fixed assets and with the sale of goods.
Further, on the basis of our examination of the books and records of
the Company and according to the information and explanations given to
us, we have neither come across nor have we been informed of any
continuing failure to correct major weaknesses in the internal control
system of the Company.
6. According to the information and explanations given to us and on
the basis of checking of books of account of the Company, we are of the
opinion that the Company had not entered into any contracts or
arrangements required to be entered in the Register required to be
maintained in pursuance to Section 301 of ''the Act''.
7. In view of our comments in paragraph 6 above, in our opinion,
requirements of clause (v) (b) of paragraph 4 of the aforesaid Order
are not applicable to the Company for the current year.
8. The Company has not accepted any deposits during the year from the
public under Section 58A and 58AA of ''the Act'' and the Companies
(Acceptance of Deposits) Rules, 1975. According to the information and
explanations given to us, no order has been passed by the Company Law
Board or the National Company Law Tribunal or The Reserve Bank of India
or any Court or any other Tribunal.
9. In our opinion, the internal audit functions carried out during the
year by a firm of Chartered Accountants appointed by the management
have been commensurate with the size of the Company and nature of its
business.
10. We have broadly reviewed the books of account maintained by the
Company pursuant to the Rules made by the Central Government for the
maintenance of cost records under Section 209(1 )(d) of ''the Act'' in
respect of manufacture of lubricating oil and grease and are of the
opinion that prima facie the prescribed accounts and records have been
made and maintained. We have ,however, not made a detailed examination
of the records with a view to determining whether they are accurate or
complete. To the best of our knowledge and according to the
explanations given to us, the Central Government has not prescribed the
maintenance of cost records for any other product of the Company.
11. According to the information and explanations given to us in
respect of Statutory dues :
(a) The Company has generally been regular in depositing undisputed
dues, including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Value Added Tax, Sales-Tax,
Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess and other
material statutory due applicable to it with the appropriate
authorities.
(b) There were no undisputed amount payable in respect of Income-tax,
Wealth tax, Service tax,Value Added Tax, Custom Duty, Excise Duty, Cess
which were outstanding as at 31st March, 2014 for a period of more than
six months from the date they became payable.
12. The Company has no accumulated loss as at 31st March, 2014 and it
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
13. According to the records of the Company examined by us and on the
basis of information and explanations given to us, the Company has not
defaulted in repayment of dues to any Bank. The Company has neither
taken any loan from financial institution nor has it issued any
Debentures.
14. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other similar
securities.
15. The provisions of any special statute applicable to Chit
fund/Nidhi/ Mutual benefit fund/ Societies are not applicable to the
Company.
16. In our opinion and according to the information and explanations
given to us, the Company is not a dealer or trader in shares,
securities, debentures and other investments.
17. According to the information and explanations given to us, the
Company has given guarantee for the loan taken by its subsidiary from
bank. According to the information and explanations given to us, we are
of the opinion that the terms and conditions on which the Company has
given Guarantee for loan taken from bank are not prima facie,
prejudicial to the interest of the Company.
18. To the best of our knowledge and belief and according to the
information and explanations given to us, the Company has not taken any
term loans during the year.
19. In our opinion and according to the information and explanations
given to us and on the basis of an overall examination of the Balance
Sheet and Cash Flow Statement of the Company, no funds raised on short
term basis has been used for long term investments.
20. The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under Section
301 of ''the Act'' during the year.
21. The Company has not issued any debentures during the year.
22. The Company has not raised any money by public issue during the
year.
23. During the course of our examination of books of account carried
out in accordance with generally accepted auditing practices in India
and according to the information and explanations given to us, we have
neither come across any instance of material fraud on or by the
Company, nor have we been informed of any such case by the management.
For RAY & RAY
Chartered Accountants
Firm''s Registration. No. 301072E
Amitava Chowdhury
Place : Kolkata Partner
Date : 27 May, 2014 Membership No. 056060
Mar 31, 2013
1. Report on the Financial Statements
We have audited the accompanying financial statements of TIDE WATER OIL
CO. (INDIA) LTD. ("the Company") which comprise the Balance Sheet
as at 31 March, 2013 the Statement of Profit and Loss and the Cash Flow
Statement for the year ended and a summary of significant accounting
policies and other explanatory information (other notes to financial
statements).
2. Management''s Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance and cash flows of the Company in accordance with
the Accounting Standards referred to in sub-section (3C) of Section 211
of the Companies Act, 1956 ("the Act"). This responsibility
includes the design, implementation and maintenance of internal control
relevant to the preparation and presentation of the financial
statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
3. Auditor''s Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. Those standards require that we comply with the
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
An audit involves performing procedures to obtain audit evidence about
the amounts and disclosures in the financial statements. The procedures
selected depend on the auditor''s judgment, including the assessment
of risks of material misstatement of the financial statements, whether
due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, as
well as evaluating the overall presentation of the financial
statements.
We believe that the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our audit opinion.
4. Opinion
We report that :-
4.1 No provision has been made in the accounts in respect of advance
given to a company towards purchase of shares for Rs. 3.48 crores which
is doubtful in nature with consequential impact on profit and Net
Assets Position at the end of the year; (Refer Note 24.6);
4.2 Investments in quoted equity shares made by the Company have
suffered diminution in value (amount not ascertained) for which no
provision has been made in the accounts with consequential impact on
Profit and Net Assets Position at the end of the year; (Refer Note
24.8);
4.3 Subject to our comments in paragraph 4.1 and 4.2 above, with
consequential impact on year''s profit and year-end net assets
position, the extent of which is not currently ascertainable, in our
opinion and to the best of our information and according to the
explanations given to us, the said accounts read together with the
notes thereon, give the information required by the Act in the manner
so required and give a true and fair view in conformity with the
accounting principles generally accepted in India;
a) in the case of the Balance Sheet, of the state of the 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 the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
5. Report on Other Legal and Regulatory Requirements
5.1 As required by the Companies (Auditor''s Report) Order, 2003
("the order"), as amended, 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 Paragraph 4 and
5 of the said order.
5.2 As required by Section 227(3) of the Act, we report that :
a. we have obtained all the information and explanations, which to the
best of our knowledge and belief, were necessary for the purposes of
our audit;
b. in our opinion, proper books of account as required by law have
been kept by the Company so far as 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. Subject to our comments in paragraph 4.2 above, the financial
statements dealt with by this report comply with the Accounting
Standards referred to in sub-section (3C) of Section 211 of the Act;
e. On the basis of written representations received from the Directors
as on 31 March 2013, and taken on record by the Board of Directors,
none of the Directors is disqualified as on 31 March, 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Act.
f. the Central Government has neither 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. However, no
cess is due and payable by the Company;
ANNEXURE TO THE AUDITORS'' REPORT
(Referred to in paragraph 5 of our report of even date)
1. (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of its fixed
assets.
(b) All the fixed assets have not been physically verified by the
management during the year but there is a regular programme of
verification which, in our opinion is reasonable having regard to the
size of the Company and nature of its business. Pursuant to the
programme, plant and machinery located at different locations/factories
have been physically verified by the management during the year and no
material discrepancies between the book records and the physical
inventory have been noticed.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
2. (a) As explained to us, inventories were verified by the Management
during the year at reasonable intervals. In our opinion, the frequency
of verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) On the basis of our examination of the inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies noticed on physical verification of inventory as compared
to book records were not material and have been properly dealt with in
the books of account.
3. As informed to us, the Company has not granted any loans, secured
or unsecured to Companies, firms or other parties covered in the
register maintained under Section 301 of the Act. Accordingly, clauses
(iii)(b) to (iii) (d) of paragraph 4 of the aforesaid Order are not
applicable to the Company for the current year.
4. As informed to us, the Company has not taken any loans, secured or
unsecured to Companies, firms or other parties covered in the register
maintained under Section 301 of the Act. Accordingly, clauses (iii) (e)
to (iii) (g) of paragraph 4 of the aforesaid Order are not applicable
to the Company for the current year.
5. On the basis of our examination of books of account and according
to the information and explanations given to us, in our opinion, there
exists an adequate internal control system commensurate with the size
of the Company and the nature of the business with regard to the
purchase of inventory, fixed assets and with the sale of goods.
Further, on the basis of our examination of the books and records of
the Company and according to the information and explanations given to
us, we have neither come across nor have we been informed of any
continuing failure to correct major weaknesses in the internal control
system of the Company.
6. According to the information and explanations given to us and on
the basis of checking of books of account of the Company, we are of the
opinion that the Company had not entered into any contracts or
arrangements required to be entered in the Register required to be
maintained in pursuance to Section 301 of the Act.
7. In view of our comments in paragraph 6 above, in our opinion,
requirements of clause (v) (b) of paragraph 4 of the aforesaid Order
are not applicable to the Company for the current year.
8. The Company has not accepted any deposits during the year from the
public Under Section 58A and 58AA of ''the Act'' and the Companies
(Acceptance of Deposits) Rules, 1975. According to the information and
explanations given to us, no order has been passed by the Company Law
Board or the National Company Law Tribunal or The Reserve Bank of India
or any Court or any other Tribunal.
9. In our opinion, the internal audit functions carried out during the
year by a firm of Chartered Accountants appointed by the management
have been commensurate with the size of the Company and nature of its
business.
10. We have broadly reviewed the books of account maintained by the
Company pursuant to the Rules made by the Central Government for the
maintenance of cost records under Section 209(1)(d) of ''the Act'' in
respect of manufacture of lubricating oil and grease and are of the
opinion that prima facie the prescribed accounts and records have been
made and maintained. We have, however, not made a detailed examination
of the records with a view to determining whether they are accurate or
complete. To the best of our knowledge and according to the
explanations given to us, the Central Government has not prescribed the
maintenance of cost records for any other product of the Company.
11. According to the information and explanations given to us in
respect of Statutory dues :
(a) The Company has generally been regular in depositing undisputed
dues, including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Value Added Tax, Sales-Tax,
Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess and other
material statutory due applicable to it with the appropriate
authorities.
(b) There were no undisputed amount payable in respect of Income-tax,
Wealth tax, Service tax, Value Added Tax, Custom Duty, Excise Duty,
Cess which were outstanding as at 31st March 2013 for a period of more
than six months from the date they became payable.
(c) Details of dues of Income-Tax, Sales Tax, Wealth Tax, Service Tax,
Custom Duty, Excise Duty and Cess which have not been deposited as on
31st March 2013 on account of disputes are given below.
Nature of Forum where
Statute Dues Dispute is pending
The Central Sales Sales Tax West Bengal Commercial Taxes Tribunal,
Tax Act and Deputy Commissioner of Commercial Taxes
Sales Tax Acts West Bengal, Appellate Authorities
Orissa,
of Various High Court, Lucknow, Assistant
States Commissioner Sales Tax, New Delhi.
Central Excise Excise Commissioner of Central Excise
Chennai, High
Act, 1944 Duty Court, Chennai, Commissioner of
Central Excise and Customs (Appeals)
Central excise, Mumbai
Statute Period to which Amount
the amounts involved
relates (Rs. in Crores)
The Central Sales Tax Act and
Sales Tax Acts of Various States 1979-2006 1.83
Central Excise Act 1944 1998-1999 0.60
2001-2009
12. The Company has no accumulated loss as at 31st March, 2013 and it
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
13. According to the records of the Company examined by us and on the
basis of information and explanations given to us, the Company has not
defaulted in repayment of dues to any bank. The Company has neither
taken any loan from financial institution nor has it issued any
Debentures.
14. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other similar
securities.
15. The provisions of any special statute applicable to Chit
fund/Nidhi/ Mutual benefit fund/ Societies are not applicable to the
Company.
16. In our opinion and according to the information and explanations
given to us, the Company is not a dealer or trader in shares,
securities, debentures and other investments.
17. According to the information and explanations given to us, the
Company has given guarantee for the loan taken by its subsidiary from
bank. According to the information and explanations given to us, we are
of the opinion that the terms and conditions on which the Company has
given Guarantee for loan taken from bank are not prima facie,
prejudicial to the interest of the Company.
18. To the best of our knowledge and belief and according to the
information and explanations given to us, the Company has not taken any
term loans during the year.
19. In our opinion and according to the information and explanations
given to us and on the basis of an overall examination of the Balance
Sheet and Cash Flow Statement of the Company, no funds raised on short
term basis has been used for long term investments.
20. The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under Section
301 of the Act during the year.
21. The Company has not issued any debentures during the year.
22. The Company has not raised any money by public issue during the
year.
23. During the course of our examination of books of account carried
out in accordance with generally accepted auditing practices in India
and according to the information and explanations given to us, we have
neither come across any instance of material fraud on or by the
Company, nor have we been informed of any such case by the management.
For RAY & RAY
Chartered Accountants
Firm''s Registration. No. 301072E
Amitava Chowdhury
Place : Kolkata Partner
Date : 30 May, 2013 Membership No. 56060
Mar 31, 2012
1. We have audited the attached Balance Sheet of TIDE WATER OIL CO.
(INDIA), LTD. ("the Company") as at 31st March 2012, the Statement
of Profit and Loss and also the Cash Flow Statement of the Company for
the year ended on that date, both annexed thereto. These financial
statements are the responsibility of the Company's Management. Our
responsibility is to express an opinion on these Financial Statements
based on our audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement. An audit
includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
3. As required by the Companies (Auditor's Report) Order, 2003, (as
amended) issued by the Central Government of India, in terms of Section
227(4A) of the Companies Act 1956, ("the Act") and on the basis of
such checks as we considered appropriate and according to the
information and explanations given to us, we enclose in the Annexure a
statement on the matters specified in paragraphs 4 & 5 of the said
Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report that
4.1 No provision has been made in the accounts in respect of advance
given to a company towards purchase of shares for Rs. 3.48 crores which
is doubtful in nature with consequential impact on profit and Net
Assets position at the end of the year, (Refer Note 24.6);
4.2 Investments in quoted equity shares made by the Company have
suffered diminution in value (amount not ascertained) for which no
provision has been made in the accounts with consequential impact on
profit and Net Assets position at the end of the year, (Refer Note
24.8);
4.3 We have obtained all the information and explanations, which to the
best of our knowledge and belief, were necessary for the purposes of
our audit;
4.4 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;
4.5 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;
4.6 Subject to our comments in paragraph 4.2 above, the financial
statements dealt with by this report comply with the Accounting
Standards referred to in sub-section (3C) of Section 211 of the
Companies Act, 1956;
4.7 On the basis of written representations received from the
directors, as on 31st March 2012, and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
31st March 2012 from being appointed as a director in terms of clause
(g) of sub-section (1) of Section 274 of the Act.
5. Subject to our comments in paragraph 4.1 and 4.2 above, with
consequential impact on year's profit and year- end net assets
position, the extent of which is not currently ascertainable, in our
opinion and to the best of our information and according to the
explanations given to us, the said accounts read together with the
notes thereon, give the information required by the Companies Act,
1956, in the manner so required and give a true and fair view in
conformity with the accounting principles generally accepted in India;
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2012.
b) in the case of the Statement of Profit and Loss, of the profit for
the year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph 3 of our report of even date)
1. (a) The Company has maintained proper records showing full
particulars, including quantitative details and situation of its fixed
assets.
(b) All the fixed assets have not been physically verified by the
Management during the year but there is a regular programme of
verification which, in our opinion is reasonable having regard to the
size of the Company and nature of its business. Pursuant to the
programme, land and vehicles located at different locations / factories
have been physically verified by the management during the year and no
material discrepancies between the book records and the physical
inventory have been noticed.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
2. (a) As explained to us, inventories were verified by the Management
during the year at reasonable interval. In our opinion, the frequency
of verification is reasonable.
(b) In our opinion, and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) On the basis of our examination of the inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies noticed on physical verification of inventory as compared
to book records were not material and have been properly dealt with in
the books of account.
3. As informed to us, the Company has not granted any loans, secured
or unsecured to companies, firms or other parties covered in the
register maintained under Section 301 of 'the Act.' Accordingly,
clauses (iii) (b) to (iii) (d) of paragraph 4 of the aforesaid Order
are not applicable to the Company for the current year.
4. In respect of purchase of tea from associate company, it has been
observed that comparable quotations from other parties have not been
obtained. Subject to above, in our opinion, there exists an adequate
internal control system commensurate with the size of the Company and
the nature of its business with regard to the purchase of inventory,
fixed assets and with the sale of goods. And further, on the basis of
our examination of the books and records of the Company and according
to the information and explanations given to us, we have neither come
across nor have we been informed of any continuing failure to correct
major weaknesses in the internal control system of the Company.
5. In respect of contracts and arrangements entered in the Register
maintained in pursuance to section 301 of the Act, to the best of our
knowledge and belief and according to the information and explanations
given to us :
a) The particulars of the contracts and arrangements referred to in
section 301 that needed to be entered in the register maintained under
the said section have been so entered.
b) Where each of such transaction is in excess of Rs. 5 lakhs in
respect of any party, the transactions have been made at prices which
are prima facie reasonable having regard to the prevailing market
prices at the relevant time.
6. The Company has not accepted any deposits during the year from the
public under Section 58A and 58AA of 'the Act' and the Companies
(Acceptance of Deposits) Rules, 1975. According to the information and
explanations given to us, no order has been passed by the Company Law
Board or the National Company Law Tribunal or The Reserve Bank of India
or any court or any other Tribunal.
7. In our opinion, the internal audit functions carried out during the
year by a firm of Chartered Accountants appointed by the management
have been commensurate with the size of the Company and nature of its
business.
8. We have broadly reviewed the books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under Section 209(1) (d) of the Companies
Act, 1956 in respect of manufacture of lubricating oil and grease and
are of the opinion that prima facie the prescribed accounts and records
have been made and maintained. We have, however, not made a detailed
examination of the records with a view to determining whether they are
accurate or complete. To the best of our knowledge and according to the
explanations given to us, the Central Government has not prescribed the
maintenance of cost records for any other product of the Company.
9. According to the information and explanations given to us in
respect of Statutory dues :
(a) The Company has generally been regular in depositing undisputed
dues, including Provident Fund, Investor Education and Protection Fund,
Employees' State Insurance, Income-Tax, Value added Tax, Sales Tax,
Wealth Tax, Service Tax, Custom Duty, Excise Duty, Cess and other
material statutory due applicable to it with the appropriate
authorities.
(b) There were no undisputed amount payable in respect of Income-Tax,
Wealth Tax, Service Tax, Value added Tax, Custom Duty, Excise Duty,
Cess which were outstanding as at 31st March, 2012 for a period of more
than six months from the date they became payable.
(c) Details of dues of Income-Tax, Sales Tax, Wealth Tax, Service Tax,
Custom Duty, Excise Duty and Cess which have not been deposited as on
31st March, 2012 on account of dispute are given below :
Period to Amount
Nature of Forum where
Statute Dues which the involved
Dispute is
pending amount relates (Rs. in
Crores)
The Central
Sales Sales Tax West Bengal
Commercial Taxes
Tribunal, 1979-2006 2.18
Tax Act and Deputy
Commissioner of
Commercial Taxes
Sales Tax
Acts West Bengal,
Appellate
Authority Orissa,
of various High Court,
Lucknow, Assistant
States Commissioner Sales
Tax, New Delhi.
Central
Excise Excise Commissioner of
Central Excise
Chennai, High 1998-1999 0.60
Act, 1944 Duty Court, Chennai,
Commissioner of
Central Excise 2001-2009
and Customs
(Appeals) Central
excise, Mumbai
The Finance Service Tax Commissioner of
Appeals Central 2005-2006 0.05
Act, 1994 Excise (Service
Tax), Mumbai
Navi Mumbai Cess High Court, Mumbai 1998-2004 1.36
Municipal
Corporation
CESS Act
Income Tax
Act Income Tax JCIT 1998-2001 1.95
& 2003-04
CIT (Appeal) 2009-10 0.51
Income
Tax Act Fringe JCIT 2005-06 0.006
Benefit Tax
Haryana
Local
Development Supreme Court 2007-09 0.43
Area
Development Tax
Act, 2000
10. The Company has no accumulated loss as at 31st March, 2012 and it
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
11. According to the records of the Company examined by us and on the
basis of information and explanations given to us, the Company has not
defaulted in repayment of dues to any bank. The Company has neither
taken any loan from financial institution nor has it issued any
debenture.
12. The Company has not granted any loans and advances on the basis of
security by way of pledge of shares, debentures and other similar
securities.
13. The provisions of any special statute applicable to chit fund /
nidhi / Mutual benefit fund / societies are not applicable to the
Company.
14. In our opinion and according to the information and explanations
given to us, the Company is not a dealer or trader in shares,
securities, debentures and other investments.
15. According to the information and explanations given to us, the
Company has given guarantee for the loan taken by its subsidiary from
bank. According to the information and explanations given to us, we are
of the opinion that the terms and conditions on which the Company has
given Guarantee for loan taken from bank are not prima facie,
prejudicial to the interest of the Company.
16. To the best of our knowledge and belief and according to the
information and explanations given to us, the Company has not taken any
term loans during the year.
17. In our opinion and according to the information and explanations
given to us and on the basis of an overall examination of the Balance
Sheet and Cash Flow Statement of the Company, no funds raised on short
term basis has been used for long term investments.
18. The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under Section
301 of 'the Act' during the year.
19. The Company has not issued any debentures during the year.
20. The Company has not raised any money by public issue during the
year.
21. During the course of our examination of books of account carried
out in accordance with generally accepted auditing practices in India
and according to the information and explanations given to us, we have
neither come across any instance of material fraud on or by the
Company, nor have we been informed of any such case by the management.
For RAY & RAY
Chartered Accountants
Firm's Registration. No. 301072E
Amitava Chowdhury
Place : Kolkata Partner
Date : 30th May, 2012 Membership No. 56060
Mar 31, 2011
1. We have audited the attached Balance Sheet of TIDE WATER OIL CO.
(INDIA), LTD. ("the company") as at 31st March, 2011, the Profit and
Loss Account and the Cash Flow Statement of the Company for the year
ended on that date, both annexed thereto. These financial statements
are the responsibility of the Companys Management. Our responsibility
is to express an opinion on these financial statements based on our
audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain .reasonable assurance about whether the
financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and the disclosures in the financial statements. An audit also includes
assessing the accounting principles used and the significant estimates
made by the Management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditors Report) Order, 2003(CARO)
issued by the Central Government in terms of Section 227(4A) of the
Companies Act, 1956, we enclose in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report as follows :
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
books;
c) The Balance Sheet, the Profit and Loss Account and the Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
d) With the exception of Accounting Standard 13 on Investments and as
referred to in Note 10 of Schedule 16 on notes to accounts, the Balance
Sheet, Profit and Loss Account and Cash Flow Statement dealt with by
this report comply with the accounting standards referred to in
sub-section (3C) of Section 211 of the Companies Act, 1956;
e) (i) The investments as referred to in Note 10 of Schedule 16 on
notes to accounts, of the Company in
quoted companies has probably suffered a diminution in value as
information on their market value is not available. However no
provision has been made in the accounts since the amount of diminution
is indeterminable. (ii) Advances as referred to in Note 8 of Schedule
16 on notes to accounts continues to be considered good even though
recovery of the balance appears reasonably uncertain. These matter
were similarly modified during the last year.
f) Subject to the matters described in sub-paragraphs 4(e)(i) and
4(e)(ii) with corresponding effect on the year-end net assets and the
years profit, the extent of which is currently not ascertainable, in
our opinion and to the best of our information and according to the
explanations given to us, the said accounts read together with the
notes thereon, give the information required by the Companies Act, 1956
in the manner so required and give a true and fair view in conformity
with the accounting principles generally accepted in India :
(i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2011;
(ii) in the case of the Profit and Loss Account, of the profit of the
Company for the year ended on that date and
(iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
5. On the basis of the written representations received from the
Directors as on 31st March, 2011 taken on record by the Board of
Directors, none of the Directors is disqualified as on 31st March, 2011
from being appointed as a director in terms of Section 274(1 )(g) of
the Companies Act, 1956.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph 3 of our report of even date)
(i) Having regard to the nature of the Companys
business/activities/result, clause (xiii) of CARO is not applicable.
(ii) In respect of its fixed assets:
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of the fixed assets.
(b) The fixed assets were physically verified during the year by the
Management in accordance with a regular programme of verification
which, in our opinion, provides for physical verification of all the
fixed assets at reasonable intervals. According to the information and
explanation given to us, no material discrepancies were noticed on such
verification.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
(iii) In respect of its inventory:
(a) As explained to us, the inventories were physically verified during
the year by the Management at reasonable intervals.
(b) In our opinion and according to the information and explanation
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories and no material discrepancies were noticed on physical
verification.
(iv) The Company has neither granted nor taken any loans, secured or
unsecured, to/from companies, firms or other parties listed in the
Register maintained under Section 301 of the Companies Act, 1956.
(v) In our opinion and according to the information and explanations
given to us, having regard to the explanations that some of the items
purchased are of special nature and suitable alternative sources are
not readily available for obtaining comparable quotations, there is an
adequate internal control system commensurate with the size of the
Company and the nature of its business with regard to purchases of
inventory and fixed assets and the sale of goods. During the course of
our audit, we have not observed any major weakness in such internal
control system.
(vi) In respect of contracts or arrangements entered in the Register
maintained in pursuance of Section 301 of the Companies Act, 1956, to
the best of our knowledge and belief and according to the information
and explanations given to us:
(a) The particulars of contracts or arrangements referred to Section
301 that needed to be entered in the Register maintained under the said
Section have been so entered.
(b) Where each of such transaction is in excess of Rs. 5 lakhs in
respect of any party, the transactions have been made at prices which
are prima facie reasonable having regard to the prevailing market
prices at the relevant time.
(vii) According to the information and explanations given to us, the
Company has not accepted any deposit from public during the year.
(viii) In our opinion, the internal audit functions carried out during
the year by firm of Chartered Accountants appointed by the Management
have been commensurate with the size of the Company and the nature of
its business.
(ix) We have broadly reviewed the books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under Section 209(1 )(d) of the Companies
Act, 1956 in respect of manufacture of lubricating oil and grease and
are of the opinion that prima facie the prescribed accounts and records
have been made and maintained. We have, however, not made a detailed
examination of the records with a view to determining whether they are
accurate or complete. To the best of our knowledge and according to the
information and explanations given to us, the Central Government has
not prescribed the maintenance of cost records for any other product of
the Company.
(x) According to the information and explanations given to us in
respect of statutory dues :
(a) The Company has generally been regular in depositing undisputed
dues, including Provident Fund, Investor Education and Protection Fund,
Employees State Insurance, Income-tax, Sales Tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, Cess and other material statutory dues
applicable to it with the appropriate authorities.
(b) There were no undisputed amounts payable in respect of Income-tax,
Wealth Tax, Custom Duty, Excise Duty, Cess and other material statutory
dues in arrears as at 31st March, 2011 for a period of more than six
months from the date they became payable.
(c) Details of dues of Income-tax, Sales Tax, Wealth Tax, Service Tax,
Custom Duty, Excise Duty and Cess which have not been deposited as on
31st March, 2011 on account of disputes are given below:
Period to Amount
Statute Nature of Forum where which the involved
Dues Dispute is pending amount relates (Rs. in
Crores)
Sales
Tax Act Sales Tax West Bengal Commercial
Taxes Tribunal, 1979-2005 1.91
Deputy Commissioner
of Commercial
Taxes West Bengal,
Appellate
Authority Orissa, High
Court, Lucknow,
Assistant Commissioner
Sales Tax, New Delhi.
Central
Excise Excise Commissioner of Central
Excise 1998-1999 0.63
Act,
1944 Duty Chennai, High Court,
Chennai, 2001-2009
Commissioner of
Central Excise and
Customs (Appeals)
Central excise,
Mumbai
Central
Excise Service Tax Commissioner of Appeals
Central 2005-2006 0.05
Act,
1944 Excise (Service Tax),
Mumbai
Navi
Mumbai Cess High Court, Mumbai 1998-2004 1.36
Municipal
Corpor
ation
CESS
Income
TaxAct Income Tax High Court, Kolkata,
ITAT (Appeal) 1998-2008 1.95
& CIT (Appeal)
Income
Tax Act Fringe ACIT 2005-06 0.006
Benefit Tax
Haryana
Local Development Supreme Court 2007-09 0.30
Area
Develop
ment Tax
Act,
2000
(xi) The Company does not have any accumulated losses at the end of the
financial year and the Company has not incurred any cash losses during
the financial year covered by our audit and immediately preceding
financial year.
(xii) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks. There were no dues to financial institutions and debenture
holders.
(xiii) In our opinion, the Company has not granted any loans and
advances on the basis of security byway of pledge of shares, debentures
and other securities.
(xiv) In our opinion and according to the information and explanations
given to us, the Company is not a dealer or trader in securities.
(xv) In our opinion and according to the information and explanations
given to us, the Company has not given any guarantee for loans taken by
others from banks or financial institutions.
(xvi) To the best of our knowledge and belief and according to the
information and explanations given to us, the Company has not taken any
term loan during the year.
(xvii) In our opinion and according to the information and explanations
given to us and on an overall examination of the Balance Sheet, we
report that funds raised on short-term basis have not been used during
the year for long-term investment.
(xviii) According to the information and explanations given to us the
Company has not made any preferential allotment of shares during the
year.
(xix) According to the information and explanations given to us and the
records examined by us, the Company has not issued any debentures
during the year.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) To the best of our knowledge and according to the information and
explanations given to us, no fraud by the Company and no material fraud
on the Company has been noticed or reported during the year.
For DELOITTE HASKINS & SELLS
Chartered Accountants
Regn. No. 302009E
Abhijit Bandyopadhyay
Place: Kolkata Partner
Date : 30th May, 2011 M/No. 054785
Mar 31, 2010
1. We have audited the attached Balance Sheet of TIDE WATER OIL CO.
(INDIA), LTD. ("the company") as at 31st March, 2010, the Profit and
Loss Account and the Cash Flow Statement of the Company for the year
ended on that date, both annexed thereto. These financial statements
are the responsibility of the Companys Management. Our responsibility
is to express an opinion on these financial statements based on our
audit.
2. We conducted our audit in accordance with the auditing standards
generally accepted in India. Those Standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatements. An audit
includes examining, on a test basis, evidence supporting the amounts
and the disclosures in the financial statements. An audit also includes
assessing the accounting principles used and the significant estimates
made by the Management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditors Report) Order, 2003(CARO)
issued by the Central Government in terms of Section 227(4A) of the
Companies Act, 1956, we enclose in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the said Order.
4. Further to our comments in the Annexure referred to in paragraph 3
above, we report as follows :
a) We have obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our
audit;
b) In our opinion, proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
books;
c) The Balance Sheet, the Profit and Loss Account and the Cash Flow
Statement dealt with by this report are in agreement with the books of
account;
d) With the exception of Accounting Standard 13 on Investments and as
referred to in Note 9 of Schedule 16 on notes to accounts, the
Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt
with by this report comply with the accounting standards referred to in
sub-section (3C) of Section 211 of the Companies Act, 1956;
e) (i) The investments as referred to in Note 9
of Schedule 16 on notes to accounts, of the Company in quoted companies
has probably suffered a diminution in value as information on their
market value is not available. However no provision has been made in
the accounts since the amount of diminution is indeterminable. (ii)
Advances as referred to in Note 7 of Schedule 16 on notes to accounts
continues to be considered good even though recovery of the balance
appears reasonably uncertain.
f) Subject to the matters described in sub- paragraphs 4(d), 4(e)(i)
and 4(e)(ii) with corresponding effect on the year-end net assets and
the years profit, the extent of which is currently not ascertainable,
in our opinion and to the best of our information and according to the
explanations given to us, the said accounts read together with the
notes thereon, give the information required by the Companies Act, 1956
in the manner so required and give a true and fair view in conformity
with the accounting principles generally accepted in India:
(i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March, 2010;
(ii) in the case of the Profit and Loss Account, of the profit of the
Company for the year ended on that date and
(iii) in the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
5. On the basis of the written representations received from the
Directors as on 31st March, 2010 taken on record by the Board of
Directors, none of the Directors is disqualified as on 31st March, 2010
from being appointed as director in terms of Section 274(1)(g) of the
Companies Act, 1956.
ANNEXURE TO THE AUDITORS REPORT
(Referred to in paragraph 3 of our report of even date)
(i) Having regard to the nature of the Companys
business/activities/result, clause xiii of CARO is not applicable.
(ii) In respect of its fixed assets :
(a) The Company has maintained proper records showing full particulars,
including quantitative details and situation of the fixed assets.
(b) The fixed assets were physically verified during the year by the
Management in accordance with a regular programme of verification
which, in our opinion, provides for physical verification of all the
fixed assets at reasonable intervals. According to the information and
explanation given to us, no material discrepancies were noticed on such
verification.
(c) The fixed assets disposed off during the year, in our opinion, do
not constitute a substantial part of the fixed assets of the Company
and such disposal has, in our opinion, not affected the going concern
status of the Company.
(iii) In respect of its inventory :
(a) As explained to us, the inventories were physically verified during
the year by the Management at reasonable intervals.
(b) In our opinion and according to the information and explanation
given to us, the procedures of physical verification of inventories
followed by the Management were reasonable and adequate in relation to
the size of the Company and the nature of its business.
(c) In our opinion and according to the information and explanations
given to us, the Company has maintained proper records of its
inventories and no material discrepancies were noticed on physical
verification.
(iv) The Company has neither granted nor taken any loans, secured or
unsecured, to/from companies, firms or other parties listed in the
Register maintained under Section 301 of the Companies Act, 1956.
(v) In our opinion and according to the information and explanations
given to us, having regard to the explanations that some of the items
purchased are of special nature and suitable alternative sources are
not readily available for obtaining comparable quotations, there is an
adequate internal control system commensurate with the size of the
Company and the nature of its business with regard to purchases of
inventory and fixed assets and the sale of goods. During the course of
our audit, we have not observed any major weakness in such internal
control system.
(vi) In respect of contracts or arrangements entered in the Register
maintained pursuance of Section 301 of the Companies Act, 1956, to the
best of our knowledge and belief and according to the information and
explanations given to us :
(a) The particulars of contracts or arrangements referred to Section
301 that needed to be entered in the Register maintained under the said
Section have been so entered.
(b) Where each of such transaction is in excess of Rs. 5 lakhs in
respect of any party, the transactions have been made at prices which
are prima facie reasonable having regard to the prevailing market
prices at the relevant time except in respect of certain purchases for
which comparable quotations are not availble and in respect of which we
are unable to comment.
(vii) According to the information and explanations given to us, the
Company has not accepted any deposit from public during the year.
(viii) In our opinion, the internal audit functions carried out during
the year by firm of Chartered Accountants appointed by the Management
have been commensurate with the size of the Company and the nature of
its business.
(ix) We have broadly reviewed the books of account maintained by the
Company pursuant to the rules made by the Central Government for the
maintenance of cost records under Section 209(1)(d) of the Companies
Act, 1956 in respect of manufacture of lubricating oil and grease and
are of the opinion that prima facie the prescribed accounts and records
have been made and maintained. We have, however, not made a detailed
examination of the records with a view to determining whether they are
accurate or complete. To the best of our knowledge and according to the
information and explanations given to us, the Central Government has
not prescribed the maintenance of cost records for any other product of
the Company.
(x) According to the information and explanations given to us in
respect of statutory dues :
(a) The Company has generally been regular in depositing undisputed
dues, including Provident Fund, Investor Education and Protection Fund,
Employees State Insurance, Income-tax, Sales Tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, Cess and other material statutory dues
applicable to it with the appropriate authorities.
(b) There were no undisputed amounts payable in respect of Income-tax,
Wealth Tax, Custom Duty, Excise Duty, Cess and other material statutory
dues in arrears as at 31st March, 2010 for a period of more than six
months from the date they became payable except Rs. 45,634 relating to
Employees State Insurance.
(c) Details of dues of Income-tax, Sales Tax, Wealth Tax, Service Tax,
Custom Duty, Excise Duty and Cess which have not been deposited as on
31st March, 2010 on account of disputes are given below:
Period to
Amount
Forum where
Nature of which the
involved
Statute Dispute is pending
Dues amount
(Rs. in
Crores)
relates
Sales Tax Act Sales Tax West Bengal Commercial
Taxes Revision 1982-2005 2.02
Board, West Bengal
Appelate, Deputy
Commissioner of
CommercialTaxes
West Bengal, DCCT
Dhanbad, Appellate
Authority Orissa,
High Court,Lucknow,
Assistant Commissioner
Sales Tax, New Delhi.
Central Excise Excise Commissioner of Central
Excise 1998-1999 0.32
Act, 1944 Duty Chennai, High Court,
Chennai, 2001-2009
CEGAT Mumbai,
Central Excise Service
Tax Commissioner of Appeals
Central 2005-2006 0.05
Act, 1944 Excise (Service Tax),
Mumbai
Navi Mumbai Cess Dy. Municipal
Commissioner 1998-2004 1.36
Municipal Cess Navi Mumbai
Corporation
CESS
Income Tax
Act Income Tax High Court, Kolkata,
ITAT (Appeal) 1998-2008 3.34
& CIT (Appeal)
Employees ESI Principal Judge,
Labour Court, 1998-2001 Original
demand
- 0.01,
State
Insurance contribution Madras (ESI Court) Interest
- 0.02
Act. Amount
paid
- 0.003
Income Tax
Act Fringe ACIT 2005-06 0.006
Benefit Tax
Haryana Local Development Supreme Court 2007-09 0.20
Area
Development Tax
Act, 2000
(xi) The Company does not have any accumulated losses at the end of the
financial year and the Company has not incurred any cash losses during
the financial year covered by our audit and immediately preceding
financial year.
(xii) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in the repayment of dues to
banks. There were no dues to financial institutions and debenture
holders.
(xiii) In our opinion, the Company has not granted any loans and
advances on the basis of security by way of pledge of shares,
debentures and other securities.
(xiv) In our opinion and according to the information and explanations
given to us, the Company is not a dealer or trader in securities.
(xv) In our opinion and according to the information and explanations
given to us, the Company has not given any guarantee for loans taken by
others from banks or financial institutions.
(xvi) To the best of our knowledge and belief and according to the
information and explanations given to us, the Company has not taken any
term loan during the year.
(xvii) In our opinion and according to the information and explanations
given to us and on an overall examination of the Balance Sheet, we
report that funds raised on short-term basis have not been used during
the year for long-term investment.
(xviii) According to the information and explanations given to us the
Company has not made any preferential allotment of shares during the
year.
(xix) According to the information and explanations given to us and the
records examined by us, the Company has not issued any debentures
during the year.
(xx) The Company has not raised any money through a public issue during
the year.
(xxi) To the best of our knowledge and according to the information and
explanations given to us, no fraud by the Company and no material fraud
on the Company has been noticed or reported during the year.
For DELOITTE HASKINS & SELLS
Chartered Accountants
Abhijit Bandyopadhyay
Place : Kolkata Partner
Date : 26th May, 2010 M/No. 054785