We have audited the accompanying standalone Ind AS financial
statements of Shyamkamal Investments Limited ("the Listed Company"),
which comprise the Balance Sheet as at 31st March 2025, and the
Statement of Profit and Loss (including Other Comprehensive Income), the
Statement of Changes in Equity and the Statement of Cash Flows for the
year then ended, and a summary of 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, the aforesaid standalone 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 read
with the Companies (Indian Accounting Standards) Rules, 2015, as
amended ("Ind AS") and other accounting principles generally accepted in
India, of the state of affairs of the Company as at 31st March 2025, and its
Loss, total comprehensive income, changes in equity and its cash flows for
the year ended on that date.
Basis of Qualified Opinion
Attention is drawn towards Note 2(h)(vi) in respect of Audit Trail. Based
on our inquiry it has come to our notice that the company was under
the process of migrating to a software having audit trail facility. In
the absence of availability of audit log, we unable to comment on the
same.
We draw attention towards other current assets. The Company has a
joint venture investment arrangement with two entities for the
purpose of trading and investment in shares. These arrangements
have been continuing from earlier years. As of the reporting date, an
amount of ?80 lakhs remains outstanding from one of the parties. In
the absence of confirmation, the recoverability of the outstanding
amount of ?80 lakhs could not be independently verified.
We conducted our audit of the standalone financial statements in
accordance with the Standards on Auditing specified under section 143(10)
of the Act (“SA”s). Our responsibilities under those Standards are further
described in the Auditor's Responsibility for the Audit of the Standalone
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 the ethical
requirements that are relevant to our audit of the standalone financial
statements under the provisions of the Act and the Rules made thereunder,
and we have fulfilled our other ethical responsibilities in accordance with
these requirements and the ICAI's Code of Ethics. We believe that the audit
evidence obtained by us is sufficient and appropriate to provide a basis for
our audit opinion on the standalone financial statements.
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 communicated in our report.
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 obtained at the date of this auditor's report is
information included in the Directors Report but does not include the
standalone financial statements and our auditor's report thereon.
Our opinion on the standalone 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 standalone financial statements, our
responsibility is to read the other information and, in doing so, consider
whether the other information is materially inconsistent with the standalone
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 that we 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.
As, we haven’t received other information, we have nothing to report in this
regard.
Management's Responsibility for the Standalone 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 standalone
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 Indian Accounting
Standards (Ind AS) prescribed under section 133 of the Act read with
relevant rules issued thereunder and 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 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 standalone financial statement that give
a true and fair view and are free from material misstatement, whether due to
fraud or error.
In preparing the standalone 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.
The Board of Directors is also responsible for overseeing the Company's
financial reporting process.
Auditor's Responsibility for the Audit of the Standalone Financial
Statements
Our objectives are to obtain reasonable assurance about whether the
standalone 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
standalone financial statements.
As part of an audit in accordance with SAs, we exercise professional
judgment and maintain professional skepticism throughout the audit. We
also:
• Identify and assess the risks of material misstatement of the standalone
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 control 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
the management.
• Conclude on the appropriateness of management's use of the going
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 material uncertainty exists, we are
required to draw attention in our auditor's report to the related
disclosures in the standalone 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
standalone financial statements, including the disclosures, and whether
the standalone financial statements represent the underlying
transactions and events in a manner that achieves fair presentation.
• Our audit is not specifically designed to determine compliance with the
provisions of the Prevention of Money Laundering Act, 2002 (‘PMLA’) and
the rules framed thereunder. As represented by the management, the
Company has complied with all applicable provisions of PMLA, including
related rules, amendments, and regulatory communications, to the extent
applicable. Management has further confirmed that, to the best of their
knowledge and belief, neither the Company nor its promoters, directors,
key managerial personnel, or employees have engaged in or facilitated
any activities construed as money laundering or fraud under applicable
laws, and that no such matters requiring disclosure have come to their
attention during the year. However, we do not express any opinion or
provide any assurance on the Company’s compliance with PMLA and
related regulations.
Materiality is the magnitude of misstatements in the Ind AS Financial
Statements that, individually or in aggregate, makes it probable that the
economic decisions of a reasonably knowledgeable user of the Ind AS
Financial Statements may be influenced. We consider quantitative
materiality and qualitative factors in (i) planning the scope of our audit work
and in evaluating the results of our work; and (ii) to evaluate the effect of
any identified misstatements in the Ind AS Financial Statements.
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 bear on our independence, and where applicable,
related safeguards.
From the matters communicated in with those charged with governance, we
determine those matters that were of most significance in the audit of the
Ind AS 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, in
extremely rare circumstances, we determine that a matter should not be
communicated in our report because the adverse consequences of doing so
would reasonably 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”) issued by the Central Government in terms of Section 143(11) of
the Act, we give in “Annexure A” a statement on the matters specified in
paragraphs 3 and 4 of 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.
b) In our opinion, proper books of accounts 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, Statement of Profit and Loss (including Other
Comprehensive Income), the Statement of Changes in Equity and the
Statement of Cash Flows are in agreement with the books of account.
d) In our opinion, the aforesaid Standalone financial statements comply
with the Ind AS specified under section 133 of the Act read with relevant
rules issued there under.
e) On the basis of the written representations received from the directors of
the Company as on March 31, 2025 taken on record by the Board of
Directors, none of the directors is disqualified as on March 31, 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 effectiveness of
such controls, refer to “Annexure B”. Our report expresses an
unmodified opinion on the adequacy and operating effectiveness of the
company’s internal financial controls over financial reporting.
g) With respect to the other matters to be included in the Auditor’s Report
in accordance with the requirements of section 197(16) of the Act, as
amended:
In our opinion and to the best of our information and according to the
explanations given to us, no remuneration has been 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 us:
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 are required to be transferred to the
Investor Education and Protection Fund by the Company.
iv. (a) The Management has represented that, to the best of its
knowledge and belief, no funds (which are material either
individually or in the aggregate) have been advanced or loaned or
invested (either from borrowed funds or share premium or any
other sources or kind of funds) by the Company to or in any other
person or entity, including foreign entity (“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;
(b) The Management has represented, that, to the best of its
knowledge and belief, no funds (which are material either
individually or in the aggregate) have been received by the
Company from any person or entity, including foreign entity
(“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 Beneficiaries”) or provide any guarantee, security or the
like on behalf of the Ultimate Beneficiaries;
(c) Based on the audit procedures that have been considered
reasonable and appropriate in the circumstances, nothing has
come to our notice that has caused us to believe that the
representations under sub-clause (i) and (ii) of Rule 11(e), as
provided under (a) and (b) above, contain any material
misstatement.
v. The company has not declared or paid any dividend during the
year.
vi. As represented by the management and based on our audit
procedures, the company has not maintained accounting software
having the feature of recording an audit trail (edit log) as
prescribed under Rule 3(1) of the Companies (Accounts) Rules,
2014, for the financial year ended March 31, 2025. Accordingly, we
are unable to comment on whether such audit trail was operated
throughout the year for all transactions, not tampered with, and
preserved as per statutory requirements.
For Mukeshkumar Jain & Co
Chartered Accountants
ICAI Firm Registration No.
106619W
Place: Ahmedabad Rajit Tillani
Date: 12th May, 2025 Partner
Membership No. 405662
UDIN: 25405662BMOGJK7388
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