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SML Isuzu Ltd.

BSE: 505192 | NSE: SMLISUZU |

Represents Equity.Intra - day transactions are permissible and normal trading is done in this category
Series: EQ | ISIN: INE294B01019 | SECTOR: Auto - LCVs & HCVs

BSE Live

Sep 17, 16:00
552.95 -12.70 (-2.25%)
Volume
AVERAGE VOLUME
5-Day
3,273
10-Day
2,174
30-Day
2,837
3,478
  • Prev. Close

    565.65

  • Open Price

    574.00

  • Bid Price (Qty.)

    550.00 (2)

  • Offer Price (Qty.)

    556.10 (2420)

NSE Live

Sep 17, 15:57
554.00 -11.45 (-2.02%)
Volume
AVERAGE VOLUME
5-Day
31,965
10-Day
27,284
30-Day
38,435
24,365
  • Prev. Close

    565.45

  • Open Price

    570.00

  • Bid Price (Qty.)

    0.00 (0)

  • Offer Price (Qty.)

    554.00 (8)

Annual Report

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

Auditor's Report

Report on the Financial Statements

We have audited the accompanying financial statements of SML Isuzu Limited (''the Company''), which comprise the Balance Sheet as at 31 March 2016, 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.

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 and presentation 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 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.

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 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 standalone financial statements.

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 31 March 2016 and its profit and its cash flows for the year ended on that date.

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 give in the Annexure A, a statement on the matters specified in the paragraph 3 and 4 of the order.

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;

(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) on the basis of the written representations received from the directors as on 31 March 2016 taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2016 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 over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate report in Annexure B; and

(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 27 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 Independent Auditor''s Report to the members of the Company on the financial statements for the year ended 31 March 2016, we report that:

(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 by which fixed assets are verified in a phased manner over a period of three years. In accordance with this programme, certain fixed assets were verified during the year and no material discrepancies were noticed on such verification. In our opinion, this periodicity of physical verification is reasonable having regard to the size of the Company and the nature of its assets.

(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.

(ii) The inventory, except materials-in-transit and stock lying with third parties, has been physically verified by the management during the year and no material discrepancies were noticed on such verification. In our opinion, the frequency of such verification is reasonable. For stocks lying with third parties at the year-end, written confirmations have been obtained.

(iii) According to the information and explanations given to us, we are of the opinion that there are no companies, firms or other parties covered in the register required under Section 189 of the Companies Act, 2013 (''the Act''). Accordingly, paragraph 3(iii) of the Order is not applicable.

(iv) The Company has not given any loans, or made any investments, or provided any guarantee, or security as specified under Section 185 and 186 of the Companies Act, 2013. Accordingly, paragraph 3(iv) of the Order is not applicable.

(v) The Company has not accepted any deposits covered under Section 73 to 76 of the Act.

(vi) The Central Government has not prescribed the maintenance of cost records under Section 148(1) of the Act, for any of the activities carried out by 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, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues including provident fund, employees'' state insurance, income-tax, sales tax, service tax, duty of customs, duty of excise, value added tax and other statutory dues have been regularly deposited during the year by the Company with the appropriate authorities.

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 customs, duty of excise, value added tax and other statutory dues were in arrears as on 31 March 2016 for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us, there are no dues of duty of customs which have not been deposited with the appropriate authorities on account of any dispute. Further, according to information and explanations given to us, except as stated below, there are no dues of income-tax, sales tax, service tax, duty of excise and value added tax which have not been deposited by the Company on account of disputes:

Name of the statute

Nature of dues

Amount disputed Rs. Lakhs

Amount deposited Rs. Lakhs

Period to which the amount relates

Forum where dispute is pending

Central Excise Act, 1944

Excise duty

4.25 (includes penalty

Rs. 2.12 lakhs)

2.13

Apr 2000 to Mar 2004

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Finance Act, 1994

Service Tax

5.70 (includes penalty

Rs. 2.85 lakhs)

Nil

2005-2006

Commissioner (Appeals)

Finance Act, 1994

Service Tax

5.70 (includes penalty

Rs. 2.85 lakhs)

Nil

2005-2006

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Central Excise Act, 1944

Excise Duty

3.19 (includes penalty

Rs. 0.30 lakhs)

Nil

Jan 2004 to Sep 2004

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Central Excise Act, 1944

Excise Duty

1.94

Nil

Oct 2004 Mar 2005

The Supreme Court

Central Excise Act, 1944

Excise Duty

1.89

Nil

Oct 2006 to

Jun 2008

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Central Excise Act, 1944

Excise Duty

5.79 (includes penalty

Rs. 2.90 lakhs)

Nil

Apr 2005 to Jan 2006

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Finance Act, 1994

Service Tax

4.26 (includes penalty

Rs. 2.13 lakhs)

Nil

Apr 2006 to Dec 2008

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Finance Act, 1994

Service Tax

3.36

Nil

Apr 2006 to Dec 2008

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Finance Act, 1994

Service Tax

1.15

Nil

Jun 2009 to Mar 2011

Commissioner (Appeals)

Central Excise Act, 1944

Excise Duty

3.62 (includes penalty

Rs. 1.81 lakhs)

Nil

Apr 2008 to Jun 2009

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Central Excise Act, 1944

Excise Duty

4.05 (includes penalty

Rs. 1.83 lakhs)

Nil

Apr 2010 to Sep 2011

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Central Excise Act, 1944

Excise Duty

25.00

Nil

Dec 2008 to Jul 2009

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Central Excise Act, 1944

Excise Duty

300.00

Nil

Apr 2005 to Nov 2009

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Finance

Act,

1944

Service Tax

8.66

Nil

Oct 2009 to Sep 2010

Customs Excise and Service Tax Appellate Tribunal (CESTAT)

Sub Total

378.56

2.13

Central Sales Tax Act, 1956

Sales Tax

218.23

87.30

Apr 2000 to Sep 2000

Sales Tax appellate Tribunal, Chandigarh

Punjab VAT Act, 2005

Valued Added Tax

1.57

0.39

Aug 2007

Deputy Excise and Taxation Commissioner cum Joint Director Enforcement, Patiala

U P Trade Tax Act, 1948

Sales Tax

15.94

7.20

1993-1994

Additional Commissioner (Appeals), Lucknow

Punjab VAT Act, 2005

Valued Added Tax

67.76

67.76

2009-2010

Excise and Taxation Offricer cum Designated Officer

Gujarat Sales Tax Act

Sales Tax

161.68

Nil

2008-09

Joint Commercial Tax Commissioner (Appeals)

U P Trade Tax Act, 1948

Sales Tax

5.80

0.87

2005-06

Assistant Commissioner grade-II

Kerala Value Added Tax Rules, 2005

Value Added Tax

93.40

28.02

2011-12

Assistant Commissioner Special Circle-Trivandrum

Maharashtra Value Added Tax Act-2002

Valued Added Tax

84.49

45.26

2008-09

Joint Commercial Tax Commissioner (Appeals)

Kerala Value Added Tax Rules, 2005

Value Added Tax

1.42

0.43

2010-11

Assistant Commissioner Special Circle-Trivandrum

Kerala Value Added Tax Rules, 2005

Value Added Tax

2.56

0.76

2011-12

Assistant Commissioner Special Circle-Trivandrum

Patna Sales Tax Tribunal

Sales Tax

2.36

0.45

2012-13

Patna Sales Tax Tribunal

Sub Total

655.21

238.44

Income-tax Act, 1961

Income-tax

101.55

88.61

FY 2004-05

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

94.79

94.79

FY 2005-06

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

137.10

137.10

FY 2006-07

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

50.88

50.88

FY 2005-06

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

476.33

476.33

FY 2007-08

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

42.41

Nil

FY 2008-09

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

82.82

82.82

FY 2006-07

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

39.30

Nil

FY 2009-10

Income-tax Appellate Tribunal

Income-tax Act, 1961

Income-tax

54.64

Nil

FY 2010-11

Commissioner of Income-tax (appeals)

Income-tax Act, 1961

Income-tax

31.86

15.44

FY 2011-12

Commissioner of Income-tax (appeals)

Sub Total

1,111.68

945.97

(viii) According to the information and explanations given to us, the Company has not defaulted in repayment of dues to banks. Further, according to the information and explanations given to us, the Company did not have any outstanding dues to any financial institutions, government or debenture holders during the year.

(ix) According to the information and explanations given to us, the Company has not raised any money by way of initial public offer or further public offer (including debt instruments) and term loans during the year. Accordingly, paragraph 3(ix) of the Order is not applicable.

(x) According to the information and explanations given to us, no fraud by the Company or on the Company by its officers or employees has been noticed or reported during the year.

(xi) According to the information and explanations give to us and based on our examination of the records of the Company, 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) According to the information and explanations given to us, the Company is not a nidhi Company. Accordingly, paragraph 3(xii) of the Order is not applicable.

(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 Act where 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 give to us and based on our examination of the records of the Company, 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 of the Company, the Company has not entered into non-cash transactions with directors or persons connected with him. Accordingly, paragraph 3(xv) of the Order is not applicable.

(xvi) The Company is not required to be registered under section 45-IA of the Reserve Bank of India Act 1934.

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (the Act”)

We have audited the internal financial controls over financial reporting of SML Isuzu Limited (the Company) as of 31 March 2016 in conjunction with our audit of the financial statements of the Company for the year ended on that date.

Management''s Responsibility for Internal Financial Controls

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 Companies Act, 2013.

Auditors'' Responsibility

Our responsibility is to express an opinion on the Company''s 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 Guidance Note) and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, 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 auditor''s 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 Company''s internal financial controls system over financial reporting.

Meaning of Internal Financial Controls over Financial Reporting

A company''s 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 company''s 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 company''s assets that could have a material effect on the financial statements.

Because 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

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 31 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 B S R & Associates LLP

Chartered Accountants

Firm Registration No.: 116231W/W-100024

Manish Gupta

Place: New Delhi Partner

Date : 10 May 2016 Membership No.: 095037