We have audited the accompanying financial statements of Coventry Coil-O-Matic (Haryana) Limited (“the
company”), which comprise the Balance sheet as at March 31 2024, the Statement of Profit and Loss, (including
the Statement of Other Comprehensive Income), the Cash Flow Statement and the Statement of Changes in
Equity for the year then ended, and notes to the financial statements, including a summary of 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, based on Basis of
qualified opinion section or our report, aforesaid financial statements does not give the information required by
the Companies Act, 2013 (“the Act”) in the manner so required and does not give a true and fair view in
conformity with the 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 March 31,2024, its loss including other comprehensive income, its cash
flows and the changes in equity for the year ended on that date.

Basis for Qualified Opinion

1. Material Uncertainty related to Going Concern:

Note No. (14) of 31 of other notes to financial statement regarding Going Concern Assumption may no
longer be appropriate - As the Company has incurred significant operating losses, negative operating
cash flow, negative working capital, adjudication of legal process against the company for loan liability,
Notice of Recovery Officer-II of DRT-1, Delhi for settling sale proclamation for the sale of the factory
property and negative net worth indicating that going concern assumption is no longer be appropriate.
However, the management is continuing with the operations, therefore the accounts have been
prepared on basis of going concern assumption. Consequently, adjustment for amount of assets and
classification of liabilities required to be recorded has not been carried out.

2. 2.1 The company has not made provisions of Interest & Other Charges on Secured Loans taken from
Financial Institutions/ Banks (ICICI Bank and IDBI Bank) Rs. 705.34 lakhs as per interim order of the
divisional bench of Punjab and Haryana high court, Chandigarh, as stated in Note No. - 31(7) of Other
notes.

2.2 Note No. 31(7)(E) para (k) of other notes to financial statements describes that company has not made
provision calculated on the IFCI debts confirmed DRT-I on 18-01-2016 of Rs. 8449.39 Lakhs together
with Simple interest of 13.5% P.A. from 14-05-2007 which amounts to Rs. 27,718.85 Lakhs as on 31st
March'24 (Gross Value before adjusting repayment through Cash and Land) related to liability of IFCI
debt. Other liability of IDBI is yet to be ordered by Courts. Liability provided in the book against these
are only of Rs. 393.59 lakhs, non-provision of Rs. 28,030.59 Lakhs.

2.3 Had the provision been made, the loss up to the year after tax Rs. 156.46 lakhs would have resulted in
loss of Rs. 28,187.06 lakhs, Reserve & Surplus Deficit (Balance of Statement of Profit & Loss) would
have been Rs. 29,750.52 lakhs instead of Rs. 1,719.93 lakhs.

3. The company had given physical possession of a part of land comprising of approx. 10 acres whose
approx. cost appearing in books is Rs. 12.02 Lakhs, to Alchemist Asset Reconstruction Company Ltd.,
assignees of IDBI & IFCI (Financial Institution) on 8th March 2013 as per the direction of Honourable
Supreme Court who re-affirmed the interim orders of Honourable Punjab & Haryana High Court,

Chandigarh of 9th August 2011. The land is sold by Alchemist Asset Reconstruction Company Ltd. at
Rs. 1350 lakhs. The company is not made accounting entries on transfer of such lands and tax thereon
if any.

4. Company have not worked out and provided for the Interest and penalty which will arise due to long
outstanding of statutory dues and non-filing of statutory returns in time.

Our opinion is qualified in respect of the above matter. Impact with respect to 1, 3 and 4 above are
presently not ascertainable and as such cannot be commented upon by us.

We conducted our audit of the financial statements 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 (ICAI) 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 ICAI's Code of Ethics. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our qualified audit opinion on the financial
statements.

Emphasis of Matter

1. Note No. 31 (1A) (ii) to financial statement, which describes contingent liability not provided for claims under

adjudication in DRT-I, New Delhi by AARCL for recovery of the dues calculated on the IDBI Debts Rs.

9,315.19 lakhs

(The Company has also filed counter claims of more than Rs.500 Crores on both KMBL and AARCL.)

2. We draw your attention to the following matters:

a) Note No. 31 (9) to financial statement, which describes Account Reconciliation/Confirmation in respect
of certain accounts of Debtors have not been received and they are subject to confirmations and
reconciliation. The management is of the opinion that adjustment, if any, arising out of such
reconciliation would not have material effect on the financial statement of current year.

b) Note No. 31 (10) to financial statement, which describes Account Reconciliation/Confirmation in
respect of certain accounts of Vendor's have not been received and they are subject to confirmations
and reconciliation. The management is of the opinion that adjustment, if any, arising out of such
reconciliation would not have material effect on the financial statement of current year.

Our opinion is not qualified in respect of the above matters.

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 for the financial year ended March 31, 2024. 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. For each matter below, our description of how our audit addressed
the matter is provided in that context.

We have determined the matters described below to be the key audit matters to be communicated in our report.
We have fulfilled the responsibilities described in the Auditor's responsibilities for the audit of the financial
statements section of our report, including in relation to these matters. Accordingly, our audit included the
performance of procedures designed to respond to our assessment of the risks of material misstatement of the
financial statements. The results of our audit procedures, including the procedures performed to address the
matters below, provide the basis for our audit opinion on the accompanying financial statements.

Other Information

The Company's Board of Directors is responsible for the other information. The other information comprises the
information included in the Annual report, but does not include the financial statements and our auditor's report
thereon. We have obtained all other information prior to the date of this auditors' report. 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
identified above when it becomes available 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.

Responsibilities of Management 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 financial statements that give a true and fair view of the financial position, financial
performance including other comprehensive income, cash flows and changes in equity of the Company in
accordance with the accounting principles generally accepted in India, including the Indian Accounting
Standards (Ind AS) specified under section 133 of the Act read with the Companies (Indian Accounting
Standards) Rules, 2015, as amended. 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 the 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, 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 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
skepticism 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 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 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
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.

Materiality is the magnitude of misstatements in the financial statements that, individually or in aggregate,
makes it probable that the economic decisions of a reasonably knowledgeable user of the 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 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 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, 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 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.

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, except of the matter described in Basis for Qualified Opinion paragraph above and the
matter stated in paragraph 2(k) below on reporting under Rule 11(g) of the Companies (Audit and
Auditors) Rules 2014, 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 the Statement of Other Comprehensive
Income, the Cash Flow Statement and Statement of Changes in Equity dealt with by this Report are in
agreement with the books of account;

(d) Due to the effects/ possible effects of the matter described in the basis for qualified opinion paragraph
in our opinion, the aforesaid financial statements does not comply with the Accounting Standards
specified under Section 133 of the Act, read with the Companies (Indian Accounting Standards) Rules,
2015, as amended;

(e) the outcome of the matters described in Basis for Qualified Opinion and Emphasis of Matter paragraph
above in our opinion, may have an adverse effect on the functioning of the company.

(f) On the basis of the written representations received from the directors as on March 31,2024 taken on
record by the Board of Directors, none of the directors is disqualified as on March 31,2024 from being
appointed as a director in terms of Section 164(2) of the Act;

(g) With respect to the adequacy of the internal financial controls over financial reporting of the Company
with reference to these financial statements and the operating effectiveness of such controls, refer to
our separate Report in “Annexure B” to this report.

(h) In our opinion, the managerial remuneration for the year ended March 31, 2024 has been paid/
provided by the Company to its directors in accordance with the provisions of section 197 read with
Schedule V to the Act; and

(i) 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, as amended, in our opinion and to the best of our
information and according to the explanations given to us:

I. The Company has disclosed the impact of pending litigations on its financial position in its Ind AS financial
statements - Refer Note No. 31 (1A) to the financial statements;

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.

iv. a. The management has represented that, to the best of it's 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 share premium or any other sources or kind of funds) by the Company to or in any other persons or
entities, including foreign entities ("Intermediaries"), with the understanding, whether recorded in writing or
otherwise, that the Intermediaries 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 it's knowledge and belief, other than as disclosed in
the notes to the accounts, no funds have been received by the Company from any persons or entities,
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 Beneficiaries") or
provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries; and

c. There are nothing has come to their notice that has caused them to believe that the representations under
sub-clause iv(a) and iv(b) contain any material mis-statement.

j. The Company has not declared and paid any dividend during the year. Therefore, reporting in this regard is
not applicable to the Company.

k. The company has used accounting software (Tally) for maintaining its books of account which does not have
a feature of recording audit trail (edit log) facility throughout the year for all relevant transaction recorded in
the software, hence we are unable to comment on audit trail feature of the said software.

For J K V S & Co.

Chartered Accountants
Firm Reg. No. 318086E

Vineet Mahipal

Place: Noida (Delhi NCR) Partner

Dated: May 28, 2024 Membership No.: 508133

UDIN:24508133BKGQER2694