We have audited the accompanying standalone financial statements of SHAKTI PRESS
LIMITED ["the Company"], which comprise the Balance Sheet as at 31/03/2024, 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 the significant accounting policies and other explanatory
information.
In our opinion and to the best of our information and according to the explanations given to us,
except for the matters described in the Basis of Qualified Opinion, the aforesaid standalone
financial statements give the information required by 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 March 31, 2024, and profit, and its cash flows
for the year ended on that date.
Basis for Qualified Opinion
We conducted our audit in accordance with the Standards on Auditing [SAs] specified under
section 143(10] of the Companies Act, 2013. 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 Companies
Act, 2013 and the Rules thereunder, 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. Basis of
Qualified Opinion are mentioned in the Emphasis of Matter paragraph.
Emphasis of Matter
- 1. Long outstanding Share Application Money of Rs. 53,13,000 is still not refunded as on
31/03/2024.
2. Banks Accounts & Cash;
a. Arvind Bank Cash Credit A/c;
• Cash deposited into the account is Rs. 32.94 Lacs during the year.
• Cash withdrawn from account is Rs. 112.28 Lacs during the year.
b. ICICI Bank A/c:
• Cash deposited into the account is Rs. 201.04 Lacs during the year.
• Cash withdrawn from account is Rs. 10.81 Lacs during the year.
c. Cash;
• Cash collected from Debtors is Rs. 124,02 Lacs.
d. No satisfactory explanation has been provided for the above.
3. Physical verification of stock could not be carried out and we had to rely on the stock
figures as given by the management.
4. There are various long outstanding balances both in debit and credit side under various
head such as Sundry Debtors, Creditors, Loans and Advances. They are lying here for
years without any ledger confirmation. They should be written off or rectified in
accordance with.,the generally accepted accounting policies.
5. The management'has not been recognizing deferred tax asset/liability, it seems they
have not been following the provisions of Ind AS 12.
6. Debtors (30 Parties] of Rs. 1,55,75,872 are more than 3 years old. The same being time
barred should have been written off.
7. Depreciation is calculated on aggregate basis as the company has not maintained the
component wise records of fixed assets. This is not in accordance with Ind AS 16
"Property Plant and Equipment".
8. Internal auditor for the F.Y. 2023-24 has not been appointed by the company as required
under section 138 of the Companies Act, 2013.
9. Managerial remuneration has not been paid or provided in accordance with the
requisite approvals mandated by the provisions of section 197 read with Schedule V to
the Companies Act
10. GST RCM have not been paid on some required payments. GST credit as per portal is
more than that is recorded in the books. It has not been reconciled by the Management
11. The company has not held its Annual General Meeting for last 4 years for financial years
2019-20 till 2023-24. Hence, the Financial Statements of the company have not received
the approval of the shareholders. In such situation, for carry forward of opening balance
we have relied on audited financial statements of last year.
12. Salary expense is not booked properly. PF, ESIC payments are done more than the
liability as per salary recorded. No satisfactory explanation is provided for the same.
13. Fair Value of Kedia Distilleries Ltd.'s shares is not known and not been valued by the
management As per the MCA Portal the company is under liquidation.
Responsibility of Management and Those Charged With Governance for the standalone
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 standalone financial
statements that give a true and fair view of the financial position, financial performance,
(changes in equity] and cash flows of the Company in accordance with the accounting principles
generally accepted in India, including the accounting Standards specified under section 133 of
the Act. 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 implementation and maintenance of 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 statement that give a true and fair view and are free from material misstatement,
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, disclosing, 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 alternative but to do so.
Those Board of Directors are also responsible for over seeing the company’s financial reporting
process.
Auditors' Responsibility
Our responsibility is to express an opinion on the Company's internal financial controls over
financial reporting based on our audit. We conducted our audit in accordance with the Guidance
UCjk
Note on Audit of Internal Financial Controls Over Financial Reporting (the "Guidance Note"] and
the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10]
of the Companies Act,' 2013, to the extent applicable to an audit of internal financial controls,
both applicable to an audit of Internal Financial Controls and, both issued by the Institute of
Chartered Accountants of India. Those Standards and the Guidance Note require that we comply
with ethical requirements and plan and perform the audit to obtain reasonable assurance about
whether adequate internal financial controls over financial reporting was established and
maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence amount the adequacy of the
internal financial control system over financial reporting and their operating effectiveness. Our
audit of internal financial controls over financial reporting, assessing the risk that a material
weakness exists, and operating effectiveness of internal control based on the assessed risk. The
procedures selected depend upon on the auditor's judgment, including the assessment of the
risks of material misstatement of the financial statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a
basis for our audit opinion on the Company’s internal financial controls system over financial
reporting.
Report on Other Legal and Regulatory Requirements
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 Companies Act,
2013, we give in the Annexure A, a statement on the matters specified in paragraphs 3 and 4 of
the Order, to the extent applicable.
As required by Section 143(3] of the Act, we report that:
a] We have sought but not obtained all the information and explanations which to the best
of our knowledge and belief were necessary for the purposes 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 examination of those books;
c] The Balance Sheet, the Statement of Profit and Loss, Statement of Changes in Equity and
the Statement of Cash Flow dealt with by this Report are in agreement with the books of
account;
d] In our opinion, the aforesaid financial statements do comply with the Ind AS specified
under Section 133 of the Act.
e] There was no instance of Director Disqualification under Section 164 (2] of the Act, as
on 31.03.2024.
f] This report includes report relating to internal financial controls as required u/s
143(3](i] pursuant to Notification No. GSR 583(E] dated 13.06.2017 issued by MCA.
g] With respect to the adequacy of the internal financial controls over financial reporting of
the Company and the operating effectiveness of such controls, such reporting is included
in Annexure A.
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 us:
i. The Company has disclosed pending litigations in the annexure to this report
and financial statements. Ý<.
ii. The Company did not have any long-term contracts including derivative
contracts. _
components of internal control stated in the Guidance Note on Audit of Internal Financial
Controls over Financial Reporting issues by the Institute of Chartered Accountants of India.
%
For D P Sarda & Co
Chartered Accountants
®CA Pavan Gahukar
Partner
MRN149588
FRN117227W
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UDIN:24140097BKHIEX2599
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