We have audited the standalone financial statements of M/s. Gem Spinners India Limited
("the Company*), which comprise the Balance Sheet as at March 31. 2025. the Statement of
Profit and Loss (including other comprehensive income), statement of Changes in Equity and
the Statement of Cash Flows for the year ended on that date and notes to the financial
statements including a summary of the significant accounting policies and other explanatory
information (hereinafter referred to as the "Financial Statements')
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 Companies Act
2013 ("the Act*) in the manner so required and give a true and fair view in conformity with
the Indian Accounting Standards prescnbed under Section 133 of the Act read with the
Companies (Indian Accounting Standards) Rules. 2015, ("Ind AS") as amended and other
accounting pnnciples generally accepted in India, of the state of affairs of the Company as at
March 31. 202S and its Profit and Other total Comprehensive Income, Changes in Equity and
Cash Flows for the year ended on that date.
Basis of Opinion
We conducted our audit in accordance with the Standards on 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 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 (ICAO together with the 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 other ethical responsibilities in
accordance with the requirements and the ICA1 s Code of Ethics We believe that the audit
evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinion on the financial statements.
Key Audit Matter
Key audit matters are those matters that in our professional judgment were of most
significance m our audit of the standalone financial statements of the current period FM?
have determined that no fair value measurements were made in respect of
assets/habiltties as required under Ind AS 1 f3. Accordingly, the values stated are as pet
books of accounts and not fair values
Our report on the standalone financial statements is not modified no adjustments are
considered necessary by the Management in the standalone financial statements.
Information Other than the Financial Statements and Auditor's Report Thereon
The Company's Board of Directors is responsible for the other information. The other
information comprises the Director's report including Annexure to Board Report and
Shareholders Information but does not include the financial statements and our auditor's
report thereon
Our opinion on the financial statements does not cover the other information and we do not
express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the other
information and, in doing so, consider whether 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 this 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.
Responsibility of Management 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 of these financial
statements that give a true and fair view of the financial position, financial performance, total
comprehensive income, changes in equity and cash flows of the Company in accordance with
the Ind AS and other accounting principles generally accepted in India.
The Company's Board of Directors is responsible for 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.
In preparing the financial statements, the management is responsible for assessing the
Company's ability to continue as a going concern, disclosing, as applicable, matters related to
going concern and using the going concern basis of accounting unless the management
either intends to liquidate the Company or to cease operations, or has no realistic alternative
but to do so. Those Board of Directors are 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 reasonable assurance about whether the financial statements as
a whole are free 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
material 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 financial statements.
As part of an audit in accordance with SAs, we exercise professional Judgment and maintain
professional scepticism throughout the audit We also:
• Identify and assess the risks of material misstatement of the financial 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 basis for
our opinion. 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 of internal control.
• Obtain an understanding of internal financial controls relevant to the audit in order to
design audit procedures that are appropriate in the circumstances. Under section
143(B>(t) of the Act. we are also responsible for expressing our opinion on whether the
Company has adequate internal financial controls with reference to financial statements
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 going concern basts 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 material uncertainty exists,
we are required to draw attention in our auditor's report to the related disclosures in the
financial 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.
• 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 internal control 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 independence, and to communicate with them
all relationships and other matters that may reasonably be thought to lear^-t^njy
independence, and where applicable, related safeguards. k©"
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2020 ("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 paragraphs 3
and 4 ot 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 of the
aforesaid financial statements.
(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 including other Comprehensive
Income. Statement of Changes in Equity 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 Ind As 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 other operating effectiveness of such controls, refer to our
separate report in ‘Annexure B‘.
With respect to the other matters to be included in the Auditors Report in accordance with
the requirements of section 197(16) of the Act, as amended:
(g) In our opinion and to the best of our information and according to the explanations
given to us, no remuneration was paid by the Company to its directors during the year.
(h) 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 me:
i. The Company does not have any pending litigations which would impact its
financial position.
ii. The Company did not have any long-term contracts including derivative
contracts for which there were any material foreseeable losses,
iii There were no amounts which were required to be transferred to the Investor
Education and Protection Fund by the Company, v'CoAN">j!w
iv. 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 invested (either from borrowed funds or any other sources or kind of
funds) by the company to or in any other person(s) or entityfis), including
foreign entities ('Intermediaries'), 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.
v 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), including foreign entities
("Funding Parties'), with the
understanding, 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 manner whatsoever by or on behalf of the Funding Party
("Ultimate Beneficianes') or provide any guarantee, security or the like on behalf
of the Ultimate Beneficiaries, and Based on the audit procedures adopted by me.
nothing has come to my notice that has caused me to believe that the
representations made by the management under sub clause (i) and (ii) above,
contain any material Misstatement
vi. In our opinion and according to the information and explanations given to us,
the no remuneration was paid by the Company to its directors.
vii. Based on our examination which included test checks and in accordance with
requirements of Implementation Guide on Reporting on Audit Trail under the
rule 11 (g) of the Companies (Audit and Auditors) Rule,2014 the company has not
maintained the audit trail (edit log) in the accounting software.
For Vivekanandan Associates
Firm Reg No 005268S
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S. De ha lee sap. Partner
M. No: 027312
UDIN: 25027312BMITGE51S8
Date: 30-05-202S
Place: Chennai
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