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Atul Ltd | Annual Report 2014-15
Annexure
to the Independent Auditors’ Report
Referred to in paragraph 9 of the Independent Auditors’
Report of even date to the Members of Atul Ltd on the
Standalone Financial Statements for the year ended
March 31, 2015.
i) a) The Company is maintaining proper records
showing full particulars, including quantitative
details and situation of fixed assets.
b) The fixed assets are physically verified by the
Management according to a phased program
designed to cover all the items over a period
of 3 years which, in our opinion, is reasonable
having regard to the size of the Company
and the nature of its assets. Pursuant to the
program, a portion of the fixed assets has been
physically verified by the Management during
the year and no material discrepancies have
been noticed on such verification.
ii) a) The inventory (excluding stocks with third
parties) has been physically verified by the
Management during the year. In respect of
inventory lying with third parties, these have
substantially been confirmed by them. In
our opinion, the frequency of verification is
reasonable.
b) In our opinion, the procedures of physical
verification of inventory followed by the
Management are reasonable and adequate in
relation to the size of the Company and the
nature of its business.
c) On the basis of our examination of the
inventory records, in our opinion, the Company
is maintaining proper records of inventory. The
discrepancies noticed on physical 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. Therefore, the provisions of
Clause 3(iii)(a) and (iii)(b) of the said Order are not
applicable to the Company.
iv) 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
for the sale of goods and services. Further, on the
basis of our examination of the books and records
of the Company and according to the information
and explanations given to us, we have neither come
across, nor have been informed of, any continuing
failure to correct major weaknesses in the aforesaid
Internal Control System.
v) The Company has not accepted any deposit from
the public within the meaning of Sections 73, 74,
75 and 76 of the Act and the Rules framed there
under to the extent notified.
vi) We have broadly reviewed the books of account
maintained by the Company in respect of products
where, pursuant to the rules made by the Central
Government of India, the maintenance of cost
records has been specified under sub-section (1)
of Section 148 of the Act, and are of the opinion
that, prima facie, the prescribed accounts and
records have been made and maintained. We have
not, however, made a detailed examination of the
records with a view to determine whether they are
accurate or complete.
vii) a) According to the information and explanations
given to us and the records of the Company
examined by us, in our opinion, the Company is
regular in depositing the undisputed statutory
dues, including Employees’ state insurance,
Provident Fund, customs duty, excise duty,
sales tax, service tax, income tax, wealth tax,
value added tax and other material statutory
dues, as applicable, with the appropriate
authorities.
b) According to the information and explanations
given to us and the records of the Company
examined by us, there are no dues of sales tax,
service tax, and wealth tax, which have not
been deposited on account of any dispute.
The particulars of dues of customs duty, excise
duty and income tax as at March 31, 2015
which have not been deposited on account of
a dispute, are as follows: