We have audited the accompanying Standalone Ind AS Financial Statements of PagariaEnergy Limited (“the Company”), which comprise the Balance Sheet as at March 31, 2024,the Statement of Profit and Loss (including Other Comprehensive Income), the Statement ofChanges in Equity and the Statement of Cash Flows for the year ended on that date, and asummary of the significant accounting policies and other explanatory information (hereinafterreferred to as “the financial statements”).
In our opinion and to the best of our information and according to the explanations given tous, the aforesaid Financial Statements give the information required by the Companies Act,2013 (“the Act”) in themanner so required and give a true and fair view in conformity withthe Indian Accounting Standards prescribed under section 133 of the Act read with theCompanies (Indian Accounting Standards) Rules, 2015, as amended, (“In AS”) and otheraccounting principles generally accepted in India, of the state of affairs of the Company as atMarch 31, 2024, its profit and total comprehensive income, changes in equity and its cashflows for the year ended on that date.
We conducted our audit in accordance with the Standards on Auditing specified undersection 143 (10)of the Companies Act, 2013. Our responsibilities under those Standards arefurther described in the Auditor’s Responsibilities for the audit of the financial statementssection of our report. We are Independent of the Company in accordance with the code ofethics issued by the Institute of Chartered Accountants of India together with the ethicalrequirements that are relevant to our audit of the financial statements under the provisions ofthe Companies Act’2013 and the rules there under, and we have fulfilled our other ethicalresponsibilities in accordance with these requirements and the code of ethics. We believe thatthe audit evidence we have obtained is sufficient and appropriate to provide a basis for ouropinion.
Key audit matters are those matters that, in our professional judgment, were of mostsignificance in our audit of the financial statements of the current period. These matters wereaddressed in the context of our audit of the financial statements as a whole, and in formingour opinion thereon, and we do not provide a separate opinion on these matters. We did notdetermine any 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 preparation of the other information.The other information comprises the information included in the Management Discussion and
Analysis, Board’s Report including Annexure to Board’s Report, Business ResponsibilityReport, Corporate Governance and Shareholder’s Information, but does not include the FinancialStatements and our auditor’s report thereon.
Our opinion on the Financial Statements does not cover the other information and we do notexpress any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the otherinformationand, in doing so, consider whether the other information is materially inconsistentwith the financial statements or our knowledge obtained during the course of our audit orotherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatementof this other information; we are required to report that fact. We have nothing to report in thisregard.
The Company’s Board of Directors is responsible for the matters stated in section 134(5) ofthe Act with respect to the preparation of these Financial Statements that give a true and fairview of the financial position,financial performance, total comprehensive income, changes inequity and cash flows of the Company in accordance with the Ind AS and other accountingprinciples generally accepted in India. This responsibility alsoincludes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding the assets ofthe Company and for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design, implementation and maintenance of adequate internalfinancial controls, that were operatingeffectively for ensuring the accuracy and completeness ofthe accounting records, relevant to the preparation andpresentation of the Financial Statementsthat give a true and fair view and are free from material misstatement,whether due to fraud orerror.
In preparing the financial statements, management is responsible for assessing the Company’sability to continue as a going concern, disclosing, as applicable, matters related to going concernand using the going concern basis of accounting unless management either intends to liquidatethe Company or to cease operations, or has no realistic alternative but to do so.
The Board of Directors is responsible for overseeing the Company’s financial reporting process.
Our objectives are to obtain reasonable assurance about whether the Financial Statements as awhole are freefrom material misstatement, whether due to fraud or error, and to issue anauditor’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 Standards on Auditingwill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if, individually or in the aggregate, they couldreasonably be expected to influence the economic decisions of userstaken on the basis ofthese financial statements.
As part of an audit in accordance with Standards on Auditing, we exercise professionaljudgmentand maintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial statements, whetherdue 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 detectinga material misstatement resulting from fraud is higher than forone resulting from error, as fraud may involve collusion, forgery, intentional omissions,misrepresentations, or the override of internalcontrol.
• Obtain an understanding of internal financial controls relevant to the audit in order todesign 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 hasadequate internal financial controlssystem in place and the operating effectiveness of suchcontrols.
• Evaluate the appropriateness of accounting policies used and the reasonableness ofaccounting estimates and related disclosures made by management
• Conclude on the appropriateness of management’s use of the going concern basis ofaccountingand, based on the audit evidence obtained, whether a materialuncertainty exists relatedto events or conditions that may cast significant doubt on theCompany’s ability to continue as a going concern. If we conclude that a materialuncertainty exists, we are required to draw attention in our auditor’s report to therelated 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 thedate of our auditor’s report. However, future events or conditions may cause theCompany to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the standalone financialstatements, including the disclosures, and whether the Financial Statements represent theunderlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone Ind AS financial statementsthat, individually or in aggregate, makes it probable that the economic decisions of areasonably knowledgeable user of the Ind AS financial statements may be influenced.We consider quantitative materiality and qualitative factors in (i) planning the scope of ouraudit work and in evaluating the results of our work; and (ii) to evaluate the effect ofany 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 anysignificant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence, and to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence, and where applicable, related safeguards. From the matters communicatedwith those charged with governance, we determine those matters that were of mostsignificance 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 reportunless law or regulation precludes public disclosure about the matter or when,in extremely rare circumstances, we determine that a matter should not becommunicated in our report because the adverse consequences of doingso wouldreasonably be expected to outweigh the public interest benefits of such communication.
1) As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”), issued by theCentral Government of India in terms of sub-section (11) of section 143 of the CompaniesAct, 2013, we give in The Annexure “A”, a statement on the matters specified in paragraphs3 and 4 of the Order, to the extent applicable.
2) 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 ourknowledge andbelief were necessary for the purposes of our audit.
(b) In our opinion, proper books of account as required by law have been kept by theCompany so far asit appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss including Other ComprehensiveIncome, Statement of Changes in Equity and the Statement of Cash Flow dealt with by thisReport are in agreement with the relevant books of account.
(d) In our opinion, the aforesaid standalone financial statements comply with Ind ASaccounting standards specified under Section 133 of the Act, read with Rule 7 of theCompanies (Accounts) Rules, 2014.
(e) 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 are disqualified as onMarch 31, 2024 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 ofthe Company and the operating effectiveness of such controls, refer to our separate Report in“Annexure B”. Our report expresses an unmodified opinion on the adequacy and operatingeffectiveness of the Company’s internal financial controls over financial;
(g) In our opinion, 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 sec. 197 readwith schedule v to the Act.
(h) With respect to the other matters to be included in the Auditor’s Report in accordance withRule 11 ofthe Companies (Audit and Auditors) Rules, 2014, as amended in our opinion andto the best of our information and according to the explanations given to us:
i) The company does not have any pending litigations which will have any impact on itsfinancialposition in its financial statement.
ii) The Company has made provision, as required under the applicable law or accountingstandards, formaterial foreseeable losses, if any, on long-term contracts including derivativecontracts.
iii) No amount is required to be transferred to Investor Education and Protection Fundin accordancewith the relevant provisions of the Companies Act, 2013 and rules made thereunder.
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 loanedor invested (either from borrowed funds or share premium or any other sources or kind offunds) by the company to or in any other person(s) or entity(ies), including foreign entities(“Intermediaries”), with the understanding, whether recorded in writing or otherwise, thatthe Intermediaries shall whether, directly or indirectly lend or invest in other persons orentities identified in any manner whatsoever by or on behalf of the company (“UltimateBeneficiaries”) or provide any guarantee, security or the like on behalf of the UltimateBeneficiaries;
b) The management has represented, that, to the best of it's knowledge and belief, otherthan asdisclosed in the notes to the accounts, no funds have been received by the companyfrom any person(s) or entity(ies), including foreign entities ("Funding Parties"), with theunderstanding, whether recorded in writing or otherwise, that the company shall, whether, directlyor indirectly,lend or invest in other persons or entities identified in any manner whatsoever by or onbehalf ofthe Funding Party ("Ultimate Beneficiaries") or provide any guarantee, security or the likeon behalf of the Ultimate Beneficiaries; and
c) Based on such audit procedures that have been considered reasonable and appropriatein the circumstances, nothing has come to our notice that has caused us to believe that therepresentations under sub-clause (i) and (ii) of Rule 11(e), as provided under (a) and (b)above,contain any material mis-statement.
(v) No dividend has been declared or paid during the year by the company.
(vi) Proviso to Rule 3(1) of the Companies (Accounts) Rules,2014 for maintaining booksof account using accounting software which has a feature of recording audit trail (edit log)facility is applicable to the Company with effect from April 1,2023 and accordingly, reportingunder Rule 11(g) of Companies (Audit and Auditors) Rules,2014 is not applicable for thefinancial year ended March 31,2024.
For Manish Mahavir & Co
Chartered AccountantsFirm Registration no. 324355E
Membership Number. - 059264UDIN: 24059264BKCSNX5276Place: KolkataDate: 29th MAY, 2024