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Pasupati Spinning and Weaving Mills Ltd.

BSE: 503092 | NSE: PASUPATSPG | Series: NA | ISIN: INE909B01020 | SECTOR: Textiles - Spinning - Synthetic Blended

BSE Live

Dec 08, 16:00
19.80 -1.00 (-4.81%)
Volume
AVERAGE VOLUME
5-Day
323
10-Day
433
30-Day
863
99
  • Prev. Close

    20.80

  • Open Price

    21.00

  • Bid Price (Qty.)

    0.00 (0)

  • Offer Price (Qty.)

    0.00 (0)

NSE Live

Dec 27, 11:22
11.00 0.00 (0.00%)
Volume
No Data Available
1,100
  • Prev. Close

    11.00

  • Open Price

    -

  • Bid Price (Qty.)

    - (0)

  • Offer Price (Qty.)

    - (0)

Pasupati Spinning and Weaving Mills is not listed on NSE

Annual Report

For Year :
2015 2014 2013 2012 2011 2010 2009 2008 2007

Auditor's Report

We have audited the accompanying financial statements of Pasupati Spinning Weaving Mills Limited (the Company) which comprise the Balance Sheet as at 31 March 2015, the Statement of Profit and Loss and Cash Flow Statement for the year then ended and a summary of significant accounting policies and other explanatory information. Management''s responsibility for the Financial Statements The Company''s Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 (the Act) with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with 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 of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error. 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 the disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company''s preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company''s Directors, as well as evaluating the overall presentation of the financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial statements. Basis of Qualified Opinion The company has claimed additional compensation in respect of part of factory land acquired. The additional compensation demand is Rs.61464287 (including amount upto previous year Rs. 61464287), which according to the management shall be accounted for as and when received. Had the additional compensation been accounted for the profit for the year and other current assets would have been higher by the said amount.(Refer Note no. 12 of the accompanying notes to the financial statements). 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 above, 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 profit and its cash flows for the year ended on that date. 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, 2013, we give in the Annexure a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable. 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, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account. d) In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. e) As per information and explanations given to us, we report that as on 31.3.2015 none of the directors of the company are disqualified from being appointed as a director of the company under Section 164((2) of the Companies Act, 2013 As the company had not redeemed its debentures on due dates and as the default continued for more than a year, directors of the company were not qualified for being appointed as directors of any other public company in terms of provision of Section 164(2) of the Companies Act, 2013 as amended by the companies Amendment Act, 2000. Board for Industrial and Financial Reconstruction (BIFR) has sanctioned rehabilitation scheme for the company vide its order dated 17.2.2012. The said scheme has approved payments of the settled amount to debenture-holders in instalments. The payment as approved by BIFR has been made and there is no default in such payment. Besides, four of the directors have been appointed after the scheme has been sanctioned. They have certified that they are not disqualified from being appointed as a director in any other company. f) In our opinion, the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls are adequate. 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 21 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. Annexure 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 has maintained proper records showing full particulars including quantitative details and situation of fixed assets. (b) All the fixed assets have been physically verified by the management according to a regular program, which, in our opinion, is reasonable having regard to the size of the company and the nature of its assets. No material discrepancies with respect to book records were noticed on such verification. (ii) (a) Physical verification of inventory (except material in transit and lying with third party) has been conducted by the management at reasonable intervals. In our opinion, the frequency of verification is reasonable. (b) The procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and nature of its business. (c) The company is maintaining proper records of inventory. Discrepancies noticed on 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 or other parties covered in the register maintained under section 189 of the Act and as such clauses (iii) (a) and (b), of the order are not applicable to the company. (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 the nature of its business for the purchase of inventory and fixed assets and for sale of goods and services. During the course of our audit, no major weakness has been noticed in the internal control system. (v) According to the information and explanation given to us, the company has not accepted any deposit from the public. Therefore, the provisions of clause (v) of the order are not applicable to the company. (vi) We have broadly reviewed the books of account maintained by the company pursuant to the order made by the Central Government for the maintenance of cost records under section 148(1) of the Act, and we are of the opinion that prima facie the prescribed accounts and records have been made and maintained. However, we have not made a detailed examination of such accounts and records. (vii) (a) The company is generally regular in depositing with the appropriate authorities undisputed statutory dues including provident fund, employees state insurance, income tax, sales tax, wealth tax, service tax, duty of custom, duty of excise, value added tax, cess and any other statutory dues applicable to it. According to the information and explanations given to us, undisputed amounts payable in respect thereof outstanding as at 31st March,2015 for a period of more than six months from the date they became payable are as under:- Name of the statue Nature of dues Amount (Rs.) Period to which amount relates Income Tax Act Tax deducted at source 555089 31.03.2014 (b) According to the records of the company, dues of income-tax or Sales tax or wealth-tax or service tax or duty of custom or duty of excise or value added tax or cess which have not been deposited on account of any dispute are as under:- Name of the statue Nature of dues Amount (Rs.) Forum where pending Central Excise Act Excise Duty 2670382 Hon''ble Supreme Court Central Excise Act Excise Duty 2583953 Central Excise & Service Tax Tribunal Haryana Value Added Tax Act VAT 4222661 Sales Tax Tribunal Service Tax Act Service Tax 229316 Central Excise & Service Tax Tribunal Income Tax Act, 1961 Income Tax 465270 Income Tax Tribunal (c) No amount was required to be transferred to investor education and protection fund in accordance with the relevant provisions of the Companies Act, 1956 and rules made there under. (viii) There were no accumulated losses at the end of the financial year. The company has not incurred any cash losses during the financial year and in the immediately proceeding financial year. (ix) In our opinion and according to the information and explanations given to us, the delay in repayment of dues to a financial institution or bank or debenture holders are as under : Nature of Limit Name of the Bank Limit Balance Excess Remarks (Rs. in lacs) as per Bank (Rs. in lacs) (Rs. in lacs) Cash Credit Canara Bank 457.50 462.40 4.90 Due to interest charged State Bank of Patiala 104.00 104.93 0.93 by bank on 31.03.2015 ING Vysya Bank Ltd 187.25 191.31 4.06 and paid subsequently Packing Credit State Bank of Patiala 317.00 319.54 2.54 Nature of Limit Name of the Bank Amount overdue (Rs.) Due Date Remarks Bill discounted/ Bank of Baroda 2261158 13.03.2015 Realized on 06.04.2015 purchased State Bank of Patiala 5201022 30.03.2015 Realized on 08.04.2015 (x) In our opinion, the company has not given guarantee for loans taken by others from banks or financial institutions. (xi) In our opinion, the term loans have been applied for the purposes for which they were obtained. (xii) According to the information and explanations given to us, no fraud on or by the company has been noticed or reported during the course of our audit. For B.K.Shroff & Co. Chartered Accountants Reg. No. : 302166E O.P.Shroff Partner Membership No. 06329 Place: New Delhi Date : May 28, 2015