INDEPENDENT AUDITOR'S REPORT
TO THE MEMBERS OF
MISHTANN FOODS LIMITED
(CIN: L15400GJ1981PLC004170)
REPORT ON THE STANDALONE FINANCIAL STATEMENTS
We have audited the Financial Statements of MISHTANN
FOODS LIMITED L15400GJ1981PLC004170 ("the
Company"), which comprise the Balance Sheet as at 31st
March 2023, the Statement of Profit and Loss, Statement of
Cash Flows for the year then ended and notes to the financial
statements, including a summary of significant accounting
policies and other explanatory information.
Auditor Opinion
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
Accounting Standards prescribed under section 133 of the
Act and other accounting principles generally accepted in
India, of the state of affairs of the Company as at March 31,
2023, the Profit and its 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 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 together with the ethical requirements that are relevant
to our audit of the financial statements under the provisions
of the Act and the Rules there under, and we have fulfilled our
other ethical responsibilities in accordance with these
requirements and the 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 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 key audit matter to communicate in our report as
under
• The closing stock valued excess to the extent of RS.
9,55,04,370/- hence profit increased to that extend as
per AS 2 the inventories should be valued at lower of the
cost and net realizable value. Hence inventory valuation
policy followed by the company is not consistent with
going concern basis. The director has explain in written
submission that realisation value will be higher than cost
as inventory of rice proposed to sold in export market
through own subsidiary at Dubai established in year.
• The company has made provisions for income tax
payable on net income for FY2021-22 Rs.
15,85,66,980/- and for FY2022-23 Rs. 26,89,12,613/-
which are unpaid, together with interest till date. The
management has explain that the said demand will be
paid in next year.
• The GST department has issued show cause notice. The
matter required adjudication. Till date no demand notice
has been served on the company. Also the company has
file a writ petition against the show cause notice.
• The company has issued bonus share 1:1 on dated
09/06/2022 hence paid-up capital increase from Rs.
50crores to 100crores.
• As per resolution of board of director meeting heal on
dated 31/12/2022 the company has decided to go for
right issue of Rs. 150crores which are pending for
approval.
• The company has incorporated wholly own subsidiary
company name GROW AND GRUB NUTRIENTS LLC at
Dubai on dated 29/04/2023 after balance sheet date.
Information Other than the Standalone 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
Annexures to Board's Report, Business Responsibility
Report, Corporate Governance and Shareholder's
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 in the audit or otherwise appears to be materially
misstated.
If, based on the work we have performed, 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 except noted in key audit matter
FOR J M Patel & Bros.
Place: Ahmedabad CHARTERED ACCOUNTANTS
Date: 30 - 05 - 2023 Reg. No. 107707W
UDIN: 23030161BGRRPO3835
CA JASWANT M PATEL
PROPREITOR
Mem. No. 030161
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