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Aplab Ltd.

BSE: 517096 | NSE: APLAB | Series: NA | ISIN: INE273A01015 | SECTOR: Telecommunications - Equipment

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Dec 08, 16:00
18.15 -0.90 (-4.72%)
Volume
AVERAGE VOLUME
5-Day
2,975
10-Day
2,710
30-Day
4,300
2,287
  • Prev. Close

    19.05

  • Open Price

    18.75

  • Bid Price (Qty.)

    0.00 (0)

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    0.00 (0)

NSE Live

Jan 29, 15:31
31.00 0.00 (0.00%)
Volume
No Data Available
50
  • Prev. Close

    31.00

  • Open Price

    31.00

  • Bid Price (Qty.)

    0.00 (0)

  • Offer Price (Qty.)

    0.00 (0)

Aplab is not traded on NSE in the last 30 days

Annual Report

For Year :
2015 2014 2013 2012 2011 2010 2009 2007

Auditor's Report

We have audited the accompanying standalone financial statements of Aplab Limited (the Company), which comprise the Balance Sheet as at March 31, 2015, and the Statement of Profit and Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information. Management''s Responsibility for the 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 referred specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error. Auditor''s Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under. We conducted our audit in accordance with the Standards on Auditing specified under section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation 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 accounting policies used and the reasonableness of the accounting estimates made by the Company''s Directors, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion. Opinion In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31st March, 2015, and its Loss and its Cash flows for the year ended on that date. Emphasis of Matters a. The Company has incurred substantial cash loss during this year. The Company has accumulated losses and its net worth has been substantially eroded. During the year, Company could not repay some of the borrowings or honor LCs on its due dates. The overall debt burden has gone up during the year. These events indicate uncertainty that may cast doubt on the Company''s ability to continue as a going concern considering operational inflows. Company has plans to sell some of its assets to reduce debt burden and improve its financial position. b. The Inventory includes Rs. 1216 lacs which is non-moving over 3 years and may include some obsolescence. The Company claims that there is no obsolescence in electronics industry and therefore valued inventory at Cost. c. The Receivables of Rs. 341 lacs which are overdue over one year need to be reconciled and confirmed. Some of these may have become doubtful or bad, however, the Company has not made adequate provision in the financial statements. d. The Company has not tested & computed Impairment of Assets as per AS 28 considering substantial cash loss during the year. Other Matters a. The Company has unfunded Gratuity Policy of Rs. 1074 lacs on the Balance Sheet date. b. The Company also has unpaid liability of Matured Public deposits of Rs. 23 lacs and Settlements of separated employees of Rs. 241 lacs. Report on Other Legal and Regulatory Requirements 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, we give in the Annexure a statement on the matters specified in paragraphs of the Order and as required by section 143 (3) of the Act, we report that: a. We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit; b. In our opinion proper books of account as required by law have been kept by the Company so far as appears from our examination of those books. c. The Balance Sheet, Statement of Profit and Loss and Cash Flow Statement dealt with by this Report is in agreement with the books of account. d. The Balance Sheet, Statement of Profit and Loss and Cash Flow Statement comply with the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2013; e. On the basis of written representations received from the directors as on March 31, 2015, and taken on record by the Board of Directors, none of the directors is disqualified as on March 31, 2015, from being appointed as a director in terms of section 164 (2) of the Act. 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 not provided the impact of pending litigations in its financial statements. The total value of such litigations has been given in para vii(b) of the Annexure to this report ; ii) The Company did not have any long-term contracts including derivative contracts in which there were any material foreseeable losses iii) There has been a delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company ANNEXURE TO THE INDEPENDENT AUDITORS'' REPORT (Annexure referred to in paragraph under ''Report on Other Legal and Regulatory Requirements'' section of our report of even date on the accounts of Aplab Limited for the year ended on 31st March 2015.) i. (a) The Company has maintained reasonable records showing particulars including quantitative details and situation of fixed assets. (b) Physical verification of items of the fixed assets was conducted by the management during the year as per the programme and we are informed that no material discrepancies were noticed in such verification. The verification results are being reconciled with Fixed Assets Register by the Company. ii. (a) As explained to us, the inventory has been physically verified during the year by the management at the various locations. In our opinion, the frequency of such verification needs to be improved at regional offices. (b) In our opinion and according to the information and explanations given to us, the procedures of physical verification of inventory followed by the management are reasonable and adequate at all manufacturing locations in relation to the size of the Company and the nature of its business. However, such procedures require improvement for Inventory at Regions and Branch offices. (c) In our opinion and according to the information and explanations given to us and on the basis of our examination of the records of inventory, the Company is maintaining proper records of inventory at all manufacturing locations. However, there is need to improve & strengthen inventory recordkeeping at all regions and branches. As informed to us, the discrepancies noticed in physical verification of inventory as compared to the book records were not material and have been properly dealt with in the books of account. iii. According to the information and explanations given to us, the Company has not granted any loan to the parties listed in the Register maintained under Section 189 of the Companies Act, 2013. Consequently, the requirements of Clause (a) and (b) are not applicable. iv. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and nature of its business with regard to the purchase of inventory and fixed assets, and with regard to the sale of goods. However, improvement is required in internal control procedures in the areas of Inventory & Service Income at the regional offices. On the basis of our examination and according to the information and explanations given to us, we have neither come across nor have been informed of any instance of major weakness in other areas of internal control procedures except the above. v. In our opinion and according to the information and explanations given to us, the Company has not fully complied with the directives issued by the Reserve Bank of India, the provisions of Section 73 to 76 of the Companies Act, 2013 and the rules framed there under with regard to the deposits accepted from the public. Company has not repaid on due dates matured Public deposits worth Rs. 23 lacs, which are outstanding on report date, as these were not claimed. vi. We have broadly reviewed the cost records maintained by the Company pursuant to the Companies (Cost Accounting Records) Rules, 2011 prescribed by the Central government u/s 148 (1) of the Companies Act, 2013 and are of the opinion that prima facie the prescribed cost records have been maintained. We have, however not made a detailed examination of the Cost records with a view to determine whether they are accurate or complete. vii. (a) According to the records of the Company and information and explanations given to us, the Company has been generally regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income tax, Wealth tax, Service Tax, Customs Duty, Excise Duty, Value Added Tax, Cess and other statutory dues with the appropriate authorities during the year, though there is a delay in few cases. There are no undisputed statutory dues outstanding as of March 31, 2015 for a period of more than six months since they became payable. The Company has not transferred amount of Rs. 1.59 lacs to Investor Education and Protection Fund as on balance sheet date. (b) As at the year-end, according to the records of the Company and information and explanations given to us, the following are particulars of disputed dues on account of various Statutory Dues :- Statute Amount F.Y. Forum where dispute is pending (Rs. in Lacs) Excise Duty 10.76 1999-00 Appeal Pending With CESTAT Excise Duty 5.35 2007-08 Appeal Pending With CESTAT Excise Duty 1.50 2008-09 Appeal Pending With CESTAT Excise Duty 1.81 2009-10 Appeal Pending With CESTAT Excise Duty 6.60 2012-13 Appeal Pending with Commissioner of Central Excise (Appeals) CBD Belapur Excise Duty 3.53 2013-14 Appeal Pending with Asst. Commissioner of Central Excise (Appeals) Excise Duty 3.81 2014-15 Appeal Pending With CESTAT Sales Tax 6.11 2002-03 Dy. Commissioner Appeals, New Delhi. Sales Tax 2.10 2003-04 Dy. Commissioner Appeals, New Delhi. Sales Tax 2.18 2004-05 Joint Commissioner Appeals, New Delhi. Sales Tax 3.48 2004-05 Joint Commissioner Appeals, New Delhi. Sales Tax 0.83 2005-06 Additional Commissioner Grade II, Appeal III, Commercial Taxes (Lucknow) Sales Tax 1.70 2006-07 Additional Commissioner Grade II, Appeal III, Commercial Taxes (Lucknow) Sales Tax 1.09 2007-08 Additional Commissioner Grade II, Appeal III, Commercial Taxes (Lucknow) Income Tax 7.28 2004-05 Additional Commissioner Grade II, Appeal filed with Tribunal Mumbai Income Tax 125.40 2009-10 Additional Commissioner Circle 1, Thane Income Tax 682.31 2010-11 Commissioner of IT Range 1 Income Tax 124.02 2011-12 CIT II Thane Total 989.86 viii. The Company has accumulated losses at the end of the year which is more than fifty percent of its net worth. The Company has incurred a Cash Loss during the current financial year; however, the company has not incurred a Cash Loss in the immediately preceding financial year. ix. Based on our audit procedures and on the basis of information and explanations given by the management, there are cases of delay in Repayment of Principal amount of Term Loans and such overdue amount is Rs. 142 lacs as on 31st March, 2015 for two term loans for a period of one month. x. According to the information and explanations given to us, the Company has not given any guarantee for loans taken by its subsidiary from a bank. xi. To the best of our knowledge and belief and according to the information and explanations given to us, term loans availed by the Company were, prima facie, applied by the Company for the purposes for which the loans were obtained. However, complete utilization of Term Loan availed could not be fully ascertained. xii. Based on information and the explanations furnished by the management, which have been relied upon by us, there were no frauds on or by the company noticed or reported during the year, save for one instance of Rs. 8.20 lacs, a forged cheque withdrawal. For Shahade & Associates Chartered Accountants (ICAI Firm Reg. No. 109840W) Atul Shahade Place : Mumbai, Partner Date : 23rd May, 2015 M. No. 35227