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Reliance Industries Ltd.

BSE: 500325 | NSE: RELIANCE |

Represents Equity.Intra - day transactions are permissible and normal trading is done in this category
Series: EQ | ISIN: INE002A01018 | SECTOR: Refineries

BSE Live

May 14, 16:00
1936.85 23.30 (1.22%)
Volume
AVERAGE VOLUME
5-Day
311,823
10-Day
411,518
30-Day
502,133
515,884
  • Prev. Close

    1913.55

  • Open Price

    1925.10

  • Bid Price (Qty.)

    1936.85 (38)

  • Offer Price (Qty.)

    1936.85 (241)

NSE Live

May 14, 15:59
1937.30 24.15 (1.26%)
Volume
AVERAGE VOLUME
5-Day
6,231,233
10-Day
7,505,634
30-Day
7,836,987
6,134,079
  • Prev. Close

    1913.15

  • Open Price

    1928.05

  • Bid Price (Qty.)

    0.00 (0)

  • Offer Price (Qty.)

    1937.30 (2605)

Annual Report

For Year :
2019 2018 2017 2016 2015 2014 2013 2012 2011

Auditor's Report

We have audited the attached Balance Sheet of RELIANCE INDUSTRIES LIMITED as at March 31, 2006, the Profit and Loss Account and also the Cash Flow Statement for the year ended on that date 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. 1. We conducted our audit in accordance with 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. 2. As required by the Companies (Auditor's Report) Order, 2003 issued by the Central Government of India in terms of sub-section (4A) of section 227 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. 3. Further to our comments in the Annexure referred to in paragraph 2 above, 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, Profit and Loss Account and Cash Flow Statement dealt with by this report are in agreement with the books of account; d) As explained in Note 3 of Schedule O, in accordance with the Scheme of Arrangement approved by the Hon'ble High Court of Mumbai, the adjustment for net assets transferred has been appropriated against the Revaluation Reserve. Having regard to this, in our opinion, the Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with by this report are in compliance with the Accounting Standards referred to in Section 211(3C) of the Companies Act, 1956. e) On the basis of written representations received from the Directors as on March 31, 2006 and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on March 31, 2006 from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956; f) 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 Significant Accounting Policies and other 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 March 31, 2006; (ii) in the case of the Profit and Loss Account, of the Profit for the year ended on that date; and (iii) in the case of the Cash Flow Statement, of the cash flows for the year ended on that date. For Chaturvedi & Shah For Rajendra & Co. For Deloitte Haskins & Sells Chartered Accountants Chartered Accountants Chartered Accountants D. Chaturvedi A. R. Shah P. R. Barpande Partner Partner Partner Membership No.: 5611 Membership No.: 47166 Membership No.: 15291 Mumbai April 27, 2006 Annexure to Auditor's Report Referred to in Paragraph 2 of our report of even date 1. In respect of its fixed assets: a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets on the basis of available information except in respect of Naroda complex and the retail outlets wherein the fixed assets register is in the process of being updated. b) As explained to us, all the fixed assets have been physically verified by the management in a phased periodical manner, which in our opinion is reasonable, having regard to the size of the Company and nature of its assets. No material discrepancies were noticed on such physical verification. c) In our opinion, the Company has not disposed of a substantial part of its fixed assets during the year and the going concern status of the Company is not affected. 2. In respect of its inventories: a) The inventory has been physically verified during the year by the management. 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 are reasonable and adequate in relation to the size of the Company and the nature of its business. c) The Company has maintained proper records of inventory. As explained to us, there were no material discrepancies noticed on physical verification of inventory as compared to the book records. 3. In respect of the loans, secured or unsecured, granted or taken by the company to/from companies, firm or other parties covered in the register maintained under section 301 of the Companies Act, 1956: a) The Company has given loan to one party. In respect of the said loan, the maximum amount outstanding at any time during the year is Rs. 753.78 crores and year-end balance is Rs. 458.60 crores. b) In our opinion and according to the information and explanations given to us, the aforesaid loan is interest free and other terms and conditions are not prima facie prejudicial to the interest of the Company. c) The said interest free loan given to a wholly owned subsidiary of the Company is repayable on demand and there is no repayment schedule. d) In respect of the loan given by the Company, the same is repayable on demand and therefore the question of overdue amount does not arise. e) The Company has not taken any new loans during the year. The Company had taken loans in the past from one party whose balance at the beginning of the financial year was Rs. 1,600 crore. The Company has repaid the loan in its entirety during the financial year. f) In our opinion and according to the information and explanations given to us, the rate of interest and other terms and conditions are not prima facie prejudicial to the interest of the Company. g) The interest payments in respect of the said loan upto the dates of repayment were regular and the principal amount has been repaid during the year. 4. In our opinion and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the Company and the nature of its business for the purchase of inventory and fixed assets and also for the sale of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal control systems. 5. In respect of the contracts or arrangements referred to in Section 301 of the Companies Act, 1956: a) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements, that needed to be entered in the register maintained under section 301 of the Companies Act, 1956 have been so entered. b) In our opinion and according to the information and explanations given to us, there are no transactions in pursuance of contracts or arrangements entered in the register maintained under section 301 of the Companies Act, 1956 aggregating during the year to Rs. 5,00,000/- (Rupees Five Lakhs only) or more in respect of any party in the said financial year. 6. According to the information and explanations given to us, the Company has not accepted any deposits from the public. Therefore, the provisions of Clause (vi) of the Companies (Auditor's Report) Order, 2003 are not applicable to the Company. 7. In our opinion, the Company has an internal audit system commensurate with the size and nature of its business. 8. The Central Government has prescribed maintenance of cost records under Section 209(1)(d) of the Companies Act, 1956 in respect of certain manufacturing activities of the Company. We have broadly reviewed the accounts and records of the Company in this connection and are of the opinion, that prima facie, the prescribed accounts and records have been made and maintained. We have not, however, carried out a detailed examination of the same. 9. In respect of statutory dues: a. According to the records of the Company, undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax, Customs Duty, Excise Duty, Cess and any other statutory dues have been generally regularly deposited with the appropriate authorities. According to the information and explanations given to us, no undisputed amounts payable in respect of the aforesaid dues were outstanding as at 31st March, 2006 for a period of more than six months from the date of becoming payable except a sum of Rs. 2.37 crores in respect of Investor Education and Protection Fund. b. The disputed statutory dues aggregating to Rs. 1,444.42 crore, that have not been deposited on account of disputed matters pending before appropriate authorities are as under: Sr. Name of Nature of Amount No. the Statute Dues (Rs. in crore) 1. Income Tax Income-Tax/ 787.41 Act, 1961 Penalties 157.89 2. Central Excise Duty 16.50 Excise Act, and Service 1944 Tax 270.76 0.06 30.40 3. Central Sales Tax/ 11.42 Sales Tax Entry Tax Act, 1956 and Sales Tax Act of 9.41 various states 139.50 4. Customs Custom Duty 19.82 Act, 1962 1.25 TOTAL 1,444.42 Period to Forum where which the dispute is amount pending relates 2002-03 Commissioner of Income-Tax 1989-90 to 1992-93, Commissioner of 1995-96 to 2001-02 & Income-Tax (Appeals) 2002-03 1994-95 to 1996-97 & Commissioner of 1998-99 to 2005-06 Central Excise (Appeals) 1987-88, Central Excise and 1991-92 to 1992-93 & Service Tax Appellate 1994-95 to 2004-05 Tribunal 1992-93 & 1995-96 High Court 1991-92 to 1994-95 & Supreme Court 1997-98 to 1998-99 1999-2000 & Joint Commissioner/ 2002-03 to 2003-04 & Deputy Commissioner 2002-03 to 2004-05 (Appeals) 1994-95, 2001-02 & Appellate Tribunal 2002-03 1990-91 to 1993-94 & High Court 1997-98 to 2001-02 1992-93 to 2000-01 Commissioner of Customs (Appeals) 2002-03 Customs Tribunal 10. The Company does not have accumulated losses at the end of the financial year. The Company has not incurred cash losses during the financial year covered by the audit and in the immediately preceding financial year. 11. Based on our audit procedures and according to the information and explanations given to us, we are of the opinion that the Company has not defaulted in repayment of dues to financial institutions, banks or debenture holders. 12. In our opinion and according to the explanations given to us and based on the information available, no loans and advances have been granted by the Company on the basis of security by way of pledge of shares, debentures and other securities. 13. In our opinion, the Company is not a chit fund or a nidhi/mutual benefit fund/society. Therefore, the provisions of clause (xiii) of the Companies (Auditor's Report) Order, 2003 are not applicable to the Company. 14. The Company has maintained proper records of the transactions and contracts in respect of dealing or trading in shares, securities, debentures and other investments and timely entries have been made therein. All shares, securities, debentures and other investments have been held by the Company in its own name. 15. The Company has given guarantees for loans taken by others from banks or financial institutions. According to the information and explanations given to us, we are of the opinion that the terms and conditions thereof are not prima facie prejudicial to the interests of the Company. 16. The Company has raised new term loans towards the end of the year. Pending utilization of the same, the funds have been temporarily invested in current investments and placed as fixed deposits with banks. The term loans outstanding at the beginning of the year were applied for the purposes for which they were raised. 17. According to the information and explanations given to us and on an overall examination of the Balance Sheet of the Company, we are of the opinion that there are no funds raised on short-term basis that have been used for long-term investment. 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 Companies Act, 1956. 19. The Company has created securities and/or charges in respect of secured debentures issued. 20. The Company has not raised any monies by way of public issues during the year. 21. In our opinion and according to the information and explanations given to us, no material fraud on or by the company has been noticed or reported during the course of our audit. For Chaturvedi & Shah For Rajendra & Co. For Deloitte Haskins & Sells Chartered Accountants Chartered Accountants Chartered Accountants D. Chaturvedi A. R. Shah P. R. Barpande Partner Partner Partner Membership No.: 5611 Membership No.: 47166 Membership No.: 15291 Mumbai April 27, 2006