Atul Ltd 2012-13

97 Report of the Auditors on Consolidated Financial Statements To the Members To the Board of Directors of Atul Ltd 1. We have audited the accompanying Consolidated Financial Statements (the ‘Consolidated Financial Statements’) of Atul Ltd (‘the Company’) and its subsidiary companies, its jointly controlled entity and associate companies; hereinafter referred to as the ‘Group’ (refer Note 27.8, 27.9 and 27.10 to the attached Consolidated Financial Statements) which comprise the Consolidated Balance Sheet as at March 31, DQG WKH &RQVROLGDWHG 6WDWHPHQW RI 3URÀW DQG /RVV and the Consolidated Cash Flow Statement for the year WKHQ HQGHG DQG D VXPPDU\ RI VLJQLÀFDQW $FFRXQWLQJ Policies and other explanatory information which we have signed under reference to this report. Responsibility of the Management for the Consolidated Financial Statements 2. The Management of the Company is responsible for the preparation of these Consolidated Financial Statements that give a true and fair view of the Consolidated )LQDQFLDO SRVLWLRQ FRQVROLGDWHG ÀQDQFLDO SHUIRUPDQFH DQG FRQVROLGDWHG FDVK ÁRZV RI WKH *URXS LQ DFFRUGDQFH ZLWK Accounting Principles generally accepted in India. This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the Consolidated Financial Statements that give a true and fair view and are free from material misstatement, whether due to fraud or error. Responsibility of the Auditors 3. Our responsibility is to express an opinion on these Consolidated Financial Statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. These Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the Consolidated Financial Statements are free from material misstatement. 4. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the Consolidated Financial Statements. The procedures selected depend on the judgement of the Auditors’, including the assessment of the risks of material misstatement of the Consolidated Financial Statements, whether due to fraud or error. In making those risk assessments, the Auditors consider internal control relevant to the preparation and fair presentation of the Consolidated Financial Statements of the Company in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of Accounting Policies used and the reasonableness of the accounting estimates made by the Management, as well as evaluating the overall presentation of the Consolidated Financial Statements. 5. We believe that the audit evidence we have obtained is VXIÀFLHQW DQG DSSURSULDWH WR SURYLGH D EDVLV IRU RXU DXGLW opinion. Opinion 6. We report that the Consolidated Financial Statements have been prepared by the Management of the Company in accordance with the requirements of Accounting Standard - 21 – Consolidated Financial Statements, Accounting Standard - 23 – Accounting for Investments in Associates in Consolidated Financial Statements, and Accounting Standard - 27 – Financial Reporting of ,QWHUHVWV LQ -RLQW 9HQWXUHV QRWLÀHG XQGHU 6HFWLRQ & of the Companies Act, 1956. 7. Based on our audit and on consideration of reports of RWKHU $XGLWRUV RQ VHSDUDWH ÀQDQFLDO VWDWHPHQWV DQG RQ WKH RWKHU ÀQDQFLDO LQIRUPDWLRQ RI WKH FRPSRQHQWV RI the Group as referred to in paragraph 9 and 10 below, and to the best of our information and according to the explanations given to us, in our opinion, the accompanying Consolidated Financial Statements give a true and fair view in conformity with the Accounting Principles generally accepted in India: (a) in the case of the consolidated Balance Sheet, of the state of affairs of the Group as at March 31, 2013; E LQ WKH FDVH RI WKH FRQVROLGDWHG 6WDWHPHQW RI 3URÀW DQG /RVV RI WKH SURÀW IRU WKH \HDU HQGHG RQ WKDW date; and (c) in the case of the Consolidated Cash Flow Statement, RI WKH FDVK ÁRZV IRU WKH \HDU HQGHG RQ WKDW GDWH Other Matters 7KH ÀQDQFLDO VWDWHPHQWV RI L QLQH VXEVLGLDU\ FRPSDQLHV and one jointly controlled entity included in the Consolidated Financial Statements, which constitute total assets of ` 192.08 cr and net assets of ` 108.79 cr as at March 31, 2013, total revenue of ` 350.56 cr, net loss of ` FU DQG QHW FDVK ÁRZV DPRXQWLQJ WR ` 0.82 cr for the year then ended; and (ii) fourteen associate companies ZKLFK FRQVWLWXWH QHW SURÀW RI ` 0.04 cr for the year then ended have been audited by us | audited by other Auditors _ FHUWLÀHG E\ WKH 0DQDJHPHQW :H GLG QRW DXGLW WKH ÀQDQFLDO VWDWHPHQWV RI L VHYHQ subsidiary companies and one jointly controlled entity included in the Consolidated Financial Statements, which constitute total assets of ` 143.29 cr and net assets of ` 76.44 cr as at March 31, 2013, total revenue of ` 328.71 cr, net loss of ` FU DQG QHW FDVK ÁRZV DPRXQWLQJ WR ` 1.08 cr for the year then ended; and (ii) fourteen associate FRPSDQLHV ZKLFK FRQVWLWXWH QHW SURÀW RI ` 0.04 cr for the year then ended. These Financial Statements and other ÀQDQFLDO LQIRUPDWLRQ KDYH EHHQ DXGLWHG E\ RWKHU $XGLWRUV whose reports have been furnished to us, and our opinion on the Consolidated Financial Statements to the extent they have been derived from such Financial Statements is based solely on the report of such other Auditors. 10. We did not audit the Financial Statements of two subsidiary companies which constitute total assets of ` 2.68 cr and net assets of ` 2.52 cr as at March 31, 2013, total revenue of ` 0.12 cr, net loss of ` 0.02 cr and net FDVK ÁRZV DPRXQWLQJ WR ` 0.33 cr for the year then ended. 7KH XQDXGLWHG ÀQDQFLDO LQIRUPDWLRQ KDV EHHQ FHUWLÀHG DQG provided to us by the Management, and our opinion on the Consolidated Financial Statements to the extent they relate to these subsidiary companies is based solely on VXFK XQDXGLWHG ÀQDQFLDO LQIRUPDWLRQ IXUQLVKHG WR XV For Dalal & Shah Firm Registration Number: 102020W Chartered Accountants S. Venkatesh Mumbai Partner May 07, 2013 Membership Number: 037942