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National Aluminium Company Ltd.

BSE: 532234 | NSE: NATIONALUM |

Represents Equity.Intra - day transactions are permissible and normal trading is done in this category
Series: EQ | ISIN: INE139A01034 | SECTOR: Aluminium

BSE Live

Oct 20, 16:00
109.30 -4.85 (-4.25%)
Volume
AVERAGE VOLUME
5-Day
4,420,780
10-Day
3,115,757
30-Day
2,617,917
4,091,786
  • Prev. Close

    114.15

  • Open Price

    114.35

  • Bid Price (Qty.)

    109.30 (784)

  • Offer Price (Qty.)

    109.30 (45)

NSE Live

Oct 20, 15:59
109.45 -4.60 (-4.03%)
Volume
AVERAGE VOLUME
5-Day
75,243,534
10-Day
49,671,144
30-Day
39,884,011
47,258,759
  • Prev. Close

    114.05

  • Open Price

    113.80

  • Bid Price (Qty.)

    109.45 (5177)

  • Offer Price (Qty.)

    0.00 (0)

Annual Report

For Year :
2018 2017 2016 2015 2014 2013 2012 2011 2010

Auditor's Report

We have audited the accompanying standalone financial statements of National Aluminium Company Limited (the Company), which comprises Balance Sheet as at 31st March 2016, the Statement of Profit & Loss and Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information. Management''s Responsibility for the Financial Statements The Company''s board of directors is responsible for the matters stated in section 134(5) of the Companies Act 2013 (the Act) with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and free from material misstatement, whether due to fraud or error. Auditors'' Responsibility Our responsibility is to express an opinion on these financial statements based on our audit. We have taken into account the provisions of the Act, the accounting and auditing standards and matters, which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder. We conducted our audit in accordance with the Standards on Auditing specified under section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on whether the Company has in place an adequate internal financial controls system over financial reporting and the operating effectiveness of such controls. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by Company''s directors, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements. Opinion In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India of the state of affairs of the Company as at 31st March, 2016, and its profit and its cash flows for the year ended on that date. Report on Other Legal and Regulatory Requirements 1. As required by the Companies (Auditor''s Report) Order, 2016 (the Order) issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, we, on the basis of information and explanations given to us, give in the Annexure A to this report, a statement on the matters specified in paragraphs 3 and 4 of the Order to the extent applicable. 2. In compliance to directions of the Comptroller and Auditor General of India u/s.143(5) of the Act, we give in Annexure B to this report a statement on the matters specified therein. 3. 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 purpose of our audit. b. In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books. c. The Balance Sheet, Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account. d. In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. e. Section 164(2) of the Act regarding disqualification of directors is not applicable to the Company by virtue of Notification No. G.S.R. 463(E) dated 05.06.2015 issued by the Ministry of Corporate Affairs, Govt. of India. f. With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in Annexure C. g. With respect to the other matters to be included in the Auditor''s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us: i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements - Refer Note 20 to the financial statements. ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses. iii. There were no amounts that required to be transferred to the Investor Education and Protection Fund by the Company. Refer Note 17 to the financial statements. Annexure to the Independent Auditors'' Report of even date on Standalone Financial Statements of National Aluminium Company Limited (Referred to in paragraph 1 under the heading of Report on Other Legal and Regulatory Requirements of our Report of even date) i) (a) The Company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets. (b) All movable assets of the Company are physically verified by the management every year. The frequency of verification, in our opinion, is reasonable. No material discrepancies were noticed on such verification conducted during the year; Non-movable assets have been physically verified by the management at an interval of three years, which, in our opinion, is reasonable having regard to the size and nature of assets of the Company. As informed to us, no material discrepancies between book records and physical assets have been noticed; (c) According to the information and explanations given to us and on the basis of our examination of the records of the Company the title deeds of immovable properties are held in the name of the Company. Out of 7972.31 acres of freehold land and 8945.98 acres of leasehold land held by the Company, title/lease deeds are not yet executed in respect of 66.92 acres of freehold and 1576.10 acres of leasehold land respectively. However, the Company has been permitted by the concerned authorities to carry on its operation on the said land. Registration formalities in respect of office space for 6459 sft. in Kolkata is also not completed. ii) As explained to us, all inventories, except stocks relating to expansion project, stocks lying with third parties and stocks-in-transit have been physically verified during the year by firms of Chartered Accountants appointed by the management. The frequency of verification is reasonable. The discrepancies noticed on physical verification between physical stocks and book records relating to shortage have been dealt in the books of accounts while excess have been ignored; iii) According to the information and explanations given to us, the Company has not granted any loans, secured or unsecured, to companies, firms, limited liability partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013. Consequently, clauses (iii) (a), (b) & (c) of paragraph 3 of the Order are not applicable; iv) Section 185 of the Act regarding loans to directors is not applicable to the Company by virtue of Notification No. G.S.R. 463(E) dated 05.06.2015 issued by the Ministry of Corporate Affairs, Govt. of India. In our opinion and according to the information and explanations given to us, the Company has complied with the provisions of section 186 of the Act with respect to the loans and investments made. v) In our opinion and according to the information and explanations given to us, the Company has not accepted any deposits from the public. vi) We have broadly reviewed the books and records maintained by the Company as specified by the Central Government for the maintenance of cost records under section 148(1) of the Companies Act, 2013 in respect of manufacturing activities 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 determine whether they are accurate and complete. vii) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, in our opinion the Company is generally regular in depositing undisputed statutory dues including provident fund, employees'' state insurance, income tax, sales tax, service tax, duty of customs, duty of excise, value added tax, cess, electricity duty and other material statutory dues with the appropriate authorities and there are no undisputed statutory dues as at 31st March, 2016 outstanding for a period of more than six months from the date they became payable. (b) According to the information and explanations given to us, following statutory dues have not been deposited by the Company on account of disputes: Name of the Statute Nature of Dues Amount Amount Forum where disputes disputed deposited are pending (Rs. in crore) (Rs.in crore) Sales Tax Sales Tax 147.44 31.25 Commissioner 181.60 53.38 Tribunal 80.95 3.56 High Court 409.99 88.29 Entry Tax Entry Tax 158.63 40.94 Commissioner 71.64 35.10 Tribunal 58.40 22.68 High Court 288.67 98.72 Central Excise Act,1944 Excise Duty 18.08 1.17 Commissioner 7.79 0.14 Tribunal 26.75 0.00 High Court 52.62 1.31 Service Tax Service tax 2.25 0.00 Commissioner 0.10 0.02 Tribunal 2.35 0.02 Customs Act, 1962 Custom Duty 5.25 0.00 Commissioner Income Tax Act, 1961 Income Tax 569.80 569.80 Commissioner 86.64 60.40 Tribunal 31.92 31.92 High Court 688.36 662.12 Odisha Stamps Act Stamp duty 204.53 0.00 High Court Total: 1,651.77 850.46 viii) The Company does not have any loans or borrowings from any financial institution, banks, government or debenture holders during the year. ix) The Company did not raise any money by way of initial public offer or further public offer (including debt instruments) and term loans during the year. x) According to the information and explanations given to us, no fraud by the Company or any fraud on the Company by its officers or employees has been noticed or reported during the year. xi) Section 197 of the Act regarding managerial remuneration is not applicable to the Company by virtue of Notification No. G.S.R. 463(E) dated 05.06.2015 issued by the Ministry of Corporate Affairs, Govt. of India. xii) In our opinion and according to the information and explanations given to us, the Company is not a nidhi company. xiii) According to the information and explanations given to us and based on our examination of the records of the Company, transactions with the related parties are in compliance with sections 177 and 188 of the Companies Act, 2013 wherever applicable and details of such transactions have been disclosed in the financial statements as required by the applicable accounting standards. xiv) According to the information and explanations given to us and based on our examination of the records, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. xv) According to the information and explanations given to us and based on our examination of the records, the Company has not entered into any non-cash transactions with any director or persons connected with him. xvi) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act 1934. Annexure to the Independent Auditor''s Report of even date on the Standalone Financial Statements of National Aluminium Company Limited (Referred to in paragraph 2 under the heading of Report on Other Legal and Regulatory Requirements of our Report of even date) Report on the directions under section 143(5) of the Companies Act, 2013 by the Comptroller & Auditor General of India 1. According to the information and explanations given to us by the management and on the basis of our examination of books and records, the Company has clear title/lease deeds for freehold and leasehold land respectively wherever the title/lease deeds are executed. There are 66.92 acres of freehold and 1576.10 acres of lease hold land out of 7972.31 acres of freehold and 8945.98 acres of lease hold land in respect of which the title/lease deeds are not yet executed. However the Company has been permitted by the concerned authorities to carry on its operation on the said land. 2. As informed to us by the management and based on our examination of books and records of the Company, there are 35 cases of write-off of advances, debtors, claims and capital work-in-progress amounting to Rs.89.21 lacs as detailed below. The reason of write-off, as explained to us, is that these are old balances lying unadjusted / unrealized for a long time, have become time-barred and chances of recovery / adjustments are remote. Types of write off / waiver No of cases Amount in Rs. Lacs Advances 22 21.08 Debtors 5 0.08 Claims 7 58.05 Capital Work-in-Progress 1 10.00 Total 35 89.21 3. (a) On the basis of our examination of books and records of the Company, we state that proper records are maintained for inventories lying with third parties. (b) According to the information and explanations given to us and based on our examination of books and records, the Company has not received any asset as gift/grant(s) from Government or other authorities during the year. For ABP & Associates For Guha Nandi & Co. Chartered Accountants Chartered Accountants FRN - 315104E FRN - 302039E (CA Niranjan Agrawalla) (Dr. B. S. Kundu) Partner Partner Membership No. 087939 Membership No.051221 Place : Bhubaneswar Dated : 28th May, 2016