A. A.We have audited the accompanying Financial Statements
of Poddar Pigments Limited (“the Company”), which
comprise the Balance Sheet as at March 31, 2025, 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 ended
on that date, and a summary of the material accounting
policies and other explanatory information (hereinafter
referred to as “the Financial Statements”).
B. 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 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, 2025, its
profit and total comprehensive income, changes in equity
and its cash flows for the year ended on that date.
2. Basis for Opinion
We conducted our audit of the Financial Statements in
accordance with the Standards on Auditing specified under
section 143(10) of the Act (SAs). 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 (ICAI) together with the
independent requirements that are relevant to our audit of the
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 we
have obtained is sufficient and appropriate to provide a basis for
our audit opinion on the Financial Statements.
3. 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 matter which is required to be
described as key audit matter to be communicated in our report.
4. Information Other than the Financial Statements and
Auditor's Report Thereon
A. 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 Ind AS Financial Statements does
not cover the other information and we do not express any
form of assurance conclusion thereon.
B. 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, we conclude that there is no
material misstatement of this other information, we are
required to report that fact. We have nothing to report in this
regard.
5. Management's Responsibility for the Financial Statements
A. 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, 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. 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 financial statements that
give a true and fair view and are free from material
misstatement, whether due to fraud or error.
B. 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 responsible for overseeing the
Company's with reference to financial statements process.
6. Auditor's Responsibilities for the Audit of the Financial
Statements
A. 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.
B. As part of an audit in accordance with SAs, we exercise
professional judgment and maintain professional skepticism
throughout the audit. We also:
i) 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.
ii) 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(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.
iii) Evaluate the appropriateness of accounting policies used
and the reasonableness of accounting estimates and related
disclosures made by management.
iv) 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.
v) Evaluate the overall presentation, structure and content of
the Financial Statements, including the disclosures, and
whether the Ind AS Financial Statements represent the
underlying transactions and events in a manner that
achieves fair presentation.
C. 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.
D. 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.
E. 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.
F. 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.
II. Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act, based on our audit 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 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 Statement of Cash Flow dealt
with by this Report are in agreement with the relevant
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,2015, as amended.
E. On the basis of the written representations received from
the directors 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 our
separate Report in “Annexure A”. 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, the remuneration
paid by the Company to its directors during the year is in
accordance with the provisions of section 197 of the Act.
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, 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 Financial
Statements.
ii) The Company has made provision, as required under the
applicable law or accounting standards, for material
foreseeable losses, if any, on long-term contracts including
derivative contracts.
iii) There has been no delay in transferring amounts, 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 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 Intermediary shall:
• directly or indirectly lend or invest in other persons or
entities identified in any manner whatsoever ("Ultimate
Beneficiaries") by or on behalf of the Company or
• provide any guarantee, security or the like to or on behalf of
the Ultimate Beneficiaries.
(b) The management has represented, that, to the best of its
knowledge and belief, 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:
• directly or indirectly, lend or invest in other persons or entities
identified in any manner whatsoever ("Ultimate
Beneficiaries") by or on behalf of the Funding Party or
• provide any guarantee, security or the like from or on
behalf of the Ultimate Beneficiaries.
(c) Based on such audit procedures as 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 (iv) (a) and (iv) (b) contain
any material mis-statement.
v) The dividend declared or paid during the year by the company is
in compliance with section 123 of the Act.
vi) Based on our examination which included test checks, the
Company has used accounting software for maintaining its
books of account for the financial year ended March 31, 2025
which has a feature of recording audit trail (edit log) facility and
the same has operated throughout the year for all relevant
transactions recorded in the software. Further, during our audit
we did not come across any instance of audit trail feature being
tampered with and the audit trail has been preserved by the
Company as per the statutory requirements for record retention.
2. 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 B” a
statement on the matters specified in paragraphs 3 and 4 of the
Order.
For K.N. Gutgutia & Co.,
Chartered Accountants
FRN 304153E
(B.R. Goyal)
Partner
M. No. 12172
UDIN: 25012172BMIGSZ7189
Place : Jaipur
Date : 20th May, 2025
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