We have audited the standalone financial statements of INDO BORAX & CHEMICALS LIMITED (“the Company"] which comprises the Balance Sheet as at March if], 2D24, the Statement of Profit and i oss, (including other Comprehensive Income), statement of changes in Equity and statement of cash flows for the year then ended, and notes to the financial statements, including a summary of material accounting policies and other explanatory information.
In our opinion and to the hest of our information and according to the explanations given to nsr the aforesaid ind AS financial statements give the information required by the Act in the manner so required and given true and fairviiswin conformity with the accounting principles gene rally accepted in India, of the state of affairs of the Company ns at March 31, 2024, atid its total comprehensive income [comprising of profit and other comprehensive income), its cash flows and the changes in equity for the year ended on that date.
Basisfor Opinion
We conducted our audit in accordance with the Standards ftp Auditing (SAs] specified under section 143[10) of the Act, Our responsibilities under those Standards are further described in the Auditor's Responsibilities for the Audit of the Standalone Financial Statements section of our report. We lire Independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India [ICAiJ together with the ethical requirements that are relevant to our audit of the standalone financial statements under the provisions of the Act and the Rules made thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the 1C A11 s Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.
Key Audit matter j
We have determined that there are no key audit matters to communicate in our report.
Emphasis of Matter
Wo draw your kind attention to the Note No, 45 to the stand alone financial statement; The Company has given InterCorporate Deposit in the nature of loan to one of the party, which has filed th£ application for corporate i n solvency re solution pro ces s u nde r T he ] n s o Ive n cy a n d B ankru ptcy c ode, 2016.
The company has filed us claim as financial creditors as per the regulation 8 of the IBC code for the said (i u titan ding amount The company is awaiting the outcome from. National Company Law Tribunal (NOT), Due to uncertainty in realization of the said debt and pending decision of NCLT company continues not to provide interest on the said loan for the linancial year ended 31-03-2024.
Ouropinion isnoi modified to respect of this matter.
Other Infor mation:
The Company's Board of Directors is responsible for the other information. The other information comprises the information included in the Annual Report
V- Our opinion on the standalone financial statements does not cover the other information and we
d&B&t express any formof assure nee conclusion thereon.
> In connection with ourauditof the standalone financial statements,pur responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the standalone financial statements or our knowledge obtained during the course of ou r audit or otherwise appear s to be materia My mi ss ta
> If, based on the work we have performed, we conclude that there is a material misstatement of this other information, wc arc required to report that fact, We have nothing to report in this regard,
Responsibilities of Management and Those Charged with Governance for the Standalone Financial Statements
The Company's Board of Directors is responsible tor the mailers stated in section 134(5J oi the Companies Acl, 2{) 13 ["The Act11) with respect to the preparation of ihese Ind AS standalone financial statements that give a true and fair view of the financial position, financial performance, [in dud mg Other Comprehensive Income), changes In equity and cash flows of the Company in accordance with the accounting principles generally accepted in India.
This responsibility also includes maintenance of adequate accounting records m accordance with the provisions of the Acl 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 csti mates 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 rhe preparation and presentation of the Ind AS financial statement that give a true and fa i 3’ view a n d a re fre e from ma te ri a I mi ss ta tcm ent, whether due to fran d or c rr cm
In preparing the standalone financial statements, management and Board ol Directors are responsible lor assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concert* and using the going concern basis of unless the Board of Director either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
The B 03 ret o f D i recto rs i s als i > res p o n si bl e fo r ove r s^ei ng t he co i n pa ny’s ti n a nd al i epor t i ngp rocess.
Auditor's Hesponsibi lity for the Audit of the Finn ncial Statements
Uur objectives are to obtain reasonable assurance about whether the financial statements as a whole are tree from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detect a matei’ial misstatement when it exists, Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these standalone financial statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. Wealsn:
(i) Identify and assess the risks of materia! misstatement of the standalone financial statements.
whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtni n mi di t ev idenee t hut i s suffi dent and ap pro prla to to pro vide a basts for oitfopinion^ The risk of not detecting a material misstatement resulting From fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override ofinternal control,
(if) Obtain an understanding of internal controls relevant to the audit 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 interna! financial controls with reference to financial statements in place and die ope rating effective ness of such controls.
(iii] Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures in the standalone financial statements made by the Management
(iv) Conclude on the appropriateness of management's use of the going concern basis of accou nting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions chat cast significant doubt on the ability of the company to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the Standalone iinancial statements or, if such disclosures are inadequate* to modify our opinion, Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.
(V) Evaluate the overall presentation, structure and content of the ]iid AS financial statements, including the disclosures, and whether the Standalone consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation,
Materiality is the magnitude of misstatements in the standalone financial statements that, individually or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the standalone financial statements may be influenced. We consider quantitative materiality and qualitative factors in [i) planning the scope of odr audit work and in ovaluating the results O^our work; a n d (i i] to evaluate the effect of any tdentitied missta temen ts in the Standalone f i n anti al state m e n ts
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit Findings, including any significant deficit: n dc s i n infernal co n tro I th a t we identify du n n g our aud it.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
Repatt ail Other 1 ,egal a nd R egu ia to ry Req u j i e m e nts
1] As required hy the Companies [Auditor's Report] Order, 2020 (“the Order"], issued lay the Central Government of India in terms ofsub-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 exte n t a p pi ioab I e.
2) Asreq uhred by S ect Ion 14 3 (3) of the Act* we report that
a] We have sought and obtained ail the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
bj Incur opinion, proper hooks of account as required bylaw have been kept by the Company so far as it appears from r>ur examination ofthose books,
c) The Balance Sheet, the Statement of Profit and Loss, [including other comprehensive Income) the standalone statement of changes irt equity and the standalone Cash Flow Statement dealt with by this Reportare in agreement with die books of account,
d] In our opinion, the aforesaid standalone financial statements comply with the Ind AS specified under Section 133 ofthc 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 31st March, 2024 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2 024 from beingappolntedasa director in terms of Section 164 [2] ofthe Act,
f) With respect to the adequacy of Che internal financial controls over financial reporting ofthe Company and the operating effectiveness of such controls, refer to our separate Report in ''Annextire-B".
g} According to information and explanations given to us and based on our examination ofthe records of the Company, the Company has paid/ provided managerial remuneration in accordance with the provisions of Section 197 ofthe Act,
3) 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:
a) The company has disclosed the impact of pendjtfg litigations as at 31st March, 2024 on its financial position in its ind AS financial position in its standalone financial statements -refe r n ote 4 3 to the I nd AS fi n and a I sta te m e n ts.
bj The Company did not have any long-term contracts Including derivate contracts as at 31 sL March, 2U24.
c) There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection fund by the company during the year ended 31st March, 2024,
d] fi) The management has represented that, to the best of its knowledge and belief, no funds
have been advanced or loaned or invested [either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other persons or entities, including foreign entities ["Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall:
« directly or indirectly [end or invest in other persons or entities identified in any manner whatsoever ("Ultimate Beneficiaries"] by or on behalf of the Company or
* provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries;
(ii) The management has represented that, to the best of its knowledge and belief, no funds have been received by the Company from any persons or entities, Including foreign entities ['‘Funding Parties"], with the understanding, whether recorded in writing or oth erw is c, th at th c Co m pa ny shall:
* directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever (“Ultimate Beneficiaries'') hy or on behalf of the Funding Party or
* provide any guarantee, security or the like from or on behalf of the Ultimate Beneficiaries; and
(iii) Based on such audit procedures that we considered reasonable and appropriate itt the circumstances, nothing has come to our notice that has caused us to believe that the representations under sub-clause (j] ami fit] contain any material misstatement,
e] The dividend declared or paid during the year by the Company is in compliance with Section 123 of the Act.
f) Based on our examination which included test checks, the company has used an accounting software for maintaining its hooks of account which has a feature of recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the software. Further, during the course of our audit we did not come .across any instance ofaudit trail feat u re being tampered with.
For liohra & do.
Chartered Accountants FRN No. 136492W Anil fain Partner
Place: Mumbai Membership No.tMf3991
Date : 25th May, 2024 UDIN No.: 24039803BKCLRU1364
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