We have audited the accompanying financial statements of CFF FLUID
CONTROL LIMITED ("the Company"), which comprise the balance sheet
as at 31st March 2025, the statement of profit and loss, and cash flow
statement for the year ended and notes to the financial statements,
including a summary of significant accounting policies and other ex¬
planatory information.
In our opinion and to the best of our information and explanations given
to us, the aforesaid financial statements give the information required
by the Companies Act, 2013 ("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
31st March, 2025, the net profit and of the cash flows for the year ended
on that date.
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing
(SAs) specified under section 143(10) of the Act. Our responsibilities un¬
der those standards are further described in the 'Auditor's Responsibili¬
ties for the Audit of the Financial Statements' section of our report. We
are independent of the Company in accordance with the Code of Ethics
issued by the Institute of Chartered Accountants of India (ICAI) together
with ethical requirements that are relevant to our audit of the financial
statements under the provisions of the companies Act, 2013 and the
rules thereunder, and we have fulfilled our ethical responsibilities in
accordance with these requirements and the Code of Ethics. We believe
that the audit evidence we have obtained are sufficient and appropri¬
ate to provide a basis for our opinion.
Information other than the financial statements and Auditor's Report
Thereon
The Company's Board of Directors is responsible for the preparation of
the other information. The other information comprises the information
included in the Management Discussion and Analysis, Board's Report
including Annexure to Board's Report, Business Responsibility Report
and Shareholder's Information, but does not include the financial state¬
ments and our auditor's report thereon.
Our opinion on the financial statements does not cover the other in¬
formation and we do not express any form of assurance conclusion
thereon.
In connection with our audit of the financial statements, our responsi¬
bility is to read the other information and, in doing so, consider wheth¬
er the other information is materially inconsistent with the financial
statements, or our knowledge obtained during the course of our audit
or otherwise appears to be materially misstated.
If, based on the work we have performed on the other information
obtained prior to the date of auditor's report, we conclude that there is
a material misstatement of this other information; we are required to
report that fact. We have nothing to report in this regard.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment,
were of most significance in our audit of the financial statements of
the current period. These matters were addressed in the context of our
audit of the financial statements as a whole, and in forming our opinion
thereon, and we do not provide a separate opinion on these matters.
We have determined that there are no key audit matters to be commu¬
nicated in our report.
Responsibilities of Management and Those Charged with Governance
for the Financial Statements
The Company's Board of Directors is responsible for the matters stated in
section 134(5) of the Act with respect to the preparation of these finan¬
cial statements that give a true and fair view of the financial position,
financial performance, and cash flows of the Company in accordance
with the applicable accounting standards and the other accounting
principles generally accepted in India. This responsibility also includes
maintenance of adequate accounting records in accordance with the
provisions of the Act 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 estimates that are reasonable and prudent; and design, implemen¬
tation and maintenance of adequate internal financial controls, that are
operating effectively for insuring 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 misstatements, whether due to fraud or error.
In preparing the financial statements, management is responsible for
assessing the Company's ability to continue as a going concern, dis¬
closing, as applicable, matters related to going concern and using the
going concern basis of accounting unless management either intends
to liquidate the Company or to cease operations, or has no realistic al¬
ternative but to do so.
The Board of Directors is also responsible for overseeing the Company's
financial reporting process.
Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain a reasonable assurance about whether the
financial statements as a whole are free from material misstatement,
whether due to fraud or error, and to issue our 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 material misstatement when it exists. Misstatements can arise
due to fraud or error and are considered material if, individually or in
aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with the SAs, we exercise professional
judgment and maintain professional skepticism throughout the audit. We
also:
• Identify and assess the risks of material misstatement of the fi¬
nancial statements, whether due to fraud or error, design and
perform audit procedures responsive to those risks, and obtain
audit evidence that is sufficient and appropriate to provide a ba¬
sis for our opinion. The risk of not detecting a material misstate¬
ment resulting from fraud is higher than one resulting from error,
as fraud may involve collusion, forgery, intentional omissions,
misrepresentations or the override of internal control.
• Obtain an understanding of the internal controls relevant to the
audit in order to design audit procedures that are appropriate in
the circumstances. Under section 143(3)(i) of the Act, we are also
responsible for expressing our opinion on whether the company
has adequate internal financial controls system in place and the
operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the
reasonableness of accounting estimates and related disclosures
made by management.
• Conclude on the appropriateness of management's use of the go¬
ing concern basis of accounting and, based on the audit evidence
obtained, whether a material uncertainty exists related to events
or conditions that may cast significant doubt on the Company's
ability to continue as a going concern. If we conclude that a ma¬
terial uncertainty exists, we are required to draw attention in our
auditor's report to the related disclosures in the financial state¬
ments or, if such disclosures are inadequate, to modify our opin¬
ion. Our conclusions are based on the audit evidence obtained
upto the date of our auditor's report. However, future events or
conditions may cause the Company to cease to continue as a
going concern.
• Evaluate the overall presentation, structure and content of the
financial statements, including the disclosures, and whether the
financial statements represent the underlying transactions and
events in a manner that achieves fair presentation.
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 deficiencies in inter¬
nal controls that we identify during our audit.
We also provide those charged with governance with a statement that
we have complied with relevant ethical requirements regarding inde¬
pendence, and to communicate with them all relationships and other
matters that may reasonable be thought to bear on our independence,
and where applicable, relevant safeguards.
From the matters communicated with those charged with governance,
we determine those matters that were of most significance in the audit
of the financial statements of the current period and are therefore the
key audit matters. We describe these matters in our auditor's report
unless law or regulation precludes public disclosure about the matter or
when, or when in extremely rare circumstances, we determine that a
matter should not be communicated in our report because the adverse
consequences of doing so would reasonable be expected to outweigh
the public interest benefits of such communication.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2020 ('the
Order'), as amended, 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 paragraphs 3
and 4 of the order, to the extent applicable.
2. As required by Section 143(3) of the Act, we report that:
a. We have sought and obtained all the information and explana¬
tions which to the best of our knowledge and belief were neces¬
sary for the purpose 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 exam¬
ination of those books;
c. The Balance Sheet, the Statement of Profit and Loss and 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 31st March, 2025 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March,
2025 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 ef¬
fectiveness of such controls, refer to our separate Report in An-
nexure-B. Our report expresses an unmodified opinion on the
adequacy and operating effectiveness of the Company's internal
financial controls over financial statements.
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 infor¬
mation and according to the explanations given to us:
i. The Company has disclosed the impact, if any, of pending
litigations on its financial position, in its financial statements
(Refer Note 31 of the financial statements);
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material fore¬
seeable losses; and
iii. The Company is not required to transfer any amount to the
Investor Education and Protection Fund.
iv. (a)The management has represented that, to the best of its
knowledge and belief, other than as disclosed in the notes to
the accounts, no funds have been advanced or loaned or in¬
vested (either from borrowed funds or share premium or any
other sources or kind of funds) by the company to or in any
other person(s) or entity(ies), including foreign entities ("In¬
termediaries"), with the understanding, whether recorded in
writing or otherwise, that the Intermediary shall, whether,
directly or indirectly lend or invest in other persons or entities
identified in any manner whatsoever by or on behalf of the
company ("Ultimate Beneficiaries") or provide any guarantee,
security or the like on behalf of the Ultimate Beneficiaries;
(b) The management has represented, that, to the best of
its knowledge and belief, other than as disclosed in the
notes to the accounts, no funds have been received by
the company from any person(s) or entity(ies), includ¬
ing foreign entities ("Funding Parties"), with the under¬
standing, whether recorded in writing or otherwise, that
the company shall, whether, directly or indirectly, lend or
invest in other persons or entities identified in any man¬
ner whatsoever by or on behalf of the Funding Party ("Ul¬
timate Beneficiaries") or provide any guarantee, securi¬
ty or the like on behalf of the Ultimate Beneficiaries; and
(c) Based on audit procedures that we have considered rea¬
sonable and appropriate in circumstances, nothing has come
to our notice that has caused us to believe that the repre¬
sentations under sub-clause (i) and (ii) above, contain any
material mis-statement.
v. The dividend declared and paid during the year by the Com¬
pany is in compliance with the provisions of section 123 of
the Companies Act, 2013
vi. Based on examination, which includes test checks, the Com¬
pany has used accounting software for maintaining its books
of account for the financial year ended on 31st March 2025
which has a feature of recording audit trail (edit log) facility
and the same has been operated throughout the year for
all relevant transactions recorded in the software. Further,
during the course of our audit and the audit trail feature has
not been tampered with and the audit trail has been pre¬
served as per statutory requirement for record retention.
h. In our opinion and according to information and explanations giv¬
en to us, the company has paid/ provided for managerial remu¬
neration in accordance with the requisite approvals mandated by
the provisions of section 197 read with Schedule V of the Act.
FOR V.N. PUROHIT & CO. O.P. Pareek
Chartered Accountants Partner
Firm Regn. No. 304040E Membership No. 014238
UDIN: 25014238BMJMAM5007
New Delhi, the 29th day of April, 2025
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