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IFCI Ltd. Annual Report 2021
59191_rns_2021-06-28_c90c49e2-d8bd-4e5c-bab2-2565ed2c4819.pdf
Annual Report
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June 28, 2021
No. IFCl/CS/2021-
BSE Limited Department of Corporate Services Phiroze Jee.Jeebhoy Tower Dalai Street, Fort Mumbai — 400 001
CODE: 500106
Dear Sir/Madam,
Re: Outcome of the Board Meeting held on June 28, 2021.
This is to inform that the Board at its Meeting held on June 28, 2021 has approved the following:
-
- The Standalone and Consolidated Financial Results of the Company for the quarter and Financial Year ended March 31, 2021 along with Auditor's Reports, Statements of Assets and Liability, Statement of Cash Flow and Declaration of Unmodified Opinion for the Standalone and Consolidated Financial Results respectively.
-
- The initiation of process of selection and appointment of Consultant for formulating the IFCI's Revival Strategy.
This is for your information and record.
Thanking You
Yours faithfully For IFCI Limited
Encl.: As above
arrt um arrt rtdrIff cmq60:
311-671At3111 E1dZ, 61 4875 j3T, l88I - 110 019 TilITZT: +91-11-4173 2000, 4179 2800 ItTZT: +91-11-2623 0201, 2648 8471 UMW; WWW.ifciltd.com 731rd-eq•: L74899D1_1993G01053677
1948 -e/cR faORT
IFCI Limited Regd. Office:
IFCI Tower, 61 Nehru Place, New Delhi - 110 019 Phone: +91-4173 2000, 4179 2800 Fax: +91-11-2623 0201, 2648 8471 Website: www.ifciltd.com CIN: L74899D11993G01053677
In Development of the Nation since 1948
No. IFCI/CS/2021- 33の
June 28, 2021
BSE Limited Department of Corporate Services Phiroze JeeJeebhoy Tower Dalal Street, Fort Mumbai - 400 001
CODE: 500106
Dear Sir/Madam,
Re: Declaration regarding Auditor's Report with an unmodified opinion for the Financial Year ended March 31, 2021
Pursuant to Regulation 33(3)(d) of the SEBI (Listing Obligations and Disclosure Regulations, 2015, read with SEBI Circular No. Requirements) CIR/CFD/CMD/56/2016 dated May 27, 2016, this is to state that there is unmodified opinion in the Standalone and Consolidated Audit Reports of the Company for the Financial Year ended March 31, 2021.
This is for your information and record.
Thanking You Yours faithfully For IFCI Limited
(Rupa Deb) Company Secretary
Encl.: As above
आई एफ सी आई लिमिटेड पंजीकृत कार्यालयः
आईएफसीआई टावर, 61 बेहरू फोस, बई दिल्ली - 110 019 दूरभाषः +91-11-4173 2000, 4179 2800 फैक्सः +91-11-2623 0201, 2648 8471 वेबसाइटः www.ifciltd.com सीआईएनः L74899DL1993GOI053677
1948 से राष्ट्र के विकास में
IFCI Limited
Regd. Office: IFCI Tower, 61 Nehru Place, New Delhi - 110 019 Phone: +91-4173 2000, 4179 2800 Fax: +91-11-2623 0201, 2648 8471 Website: www.ifclltd.com CIN: L74899DL1993GOI053677
In Development of the Nation since 1948
. IFCLLTD. CIN: L74899DL1993GOI053677 REGD. OFFICE : IFCI TOWER61, NERRU PLACE, NEW DELHI - 110 019 WEBSITE: www.ifciltd.com
A 1990 The State of State (United State Ald) ten Aye (Alter State State Cook the Quarter AND YEAR PROPD MARCH 31, 2011, 2021, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022, 2022 $(7$ in Crores) $\mathbb{R}^2$
| 했던 퇴근했어Standalone Results | ||||||||
|---|---|---|---|---|---|---|---|---|
| Particulars | Quarter ended | Ouarter ended31/03/21 (Unavdited) 31/12/20 (Unaudited) | Quarter ended31/03/20(Unaudited) | Year cuded 31/03/21(Audited)ĂУ-41 | Vear ended31/03/20 (Audited) | |||
| Revenue from operations | ||||||||
| a) | Interest IncomeDividend Income | (188.64)15.76 | 314.138,80 | 733.790.11 | 1,085.7325.69 | 2,144.1043.24 | ||
| ыo) | Rental Income | 8.86 | 9.81 | 9,52 | 38.60 | 36.19 | ||
| d) | Fees and commission Income | 8.51 | 10.21 | 4.73 | 34.72 | 20.13 | ||
| e) | Net gain on fair value changes | (1.11) | 57.23 | $\blacksquare$ | 193.26 | $\sim$ | ||
| Total Revenue from operations | (1.56, 62) | 400.18 | 748.15 | 1,378.00 | 2,243.66 | |||
| Ð | Other Income | 10.20 | 0.79 | 1.16 | 18.92 | 20.40 | ||
| Total income | (146.42) | 400.97 | 749.31 | 1,396.92 | 2,264.06 | |||
| Expenses | 275.81 | |||||||
| a)b) | Finance costsNet loss on fair value changes | 267.24 | 318.8298.56 | 1,118.97 | 1,416,35275.50 | |||
| c) | Impairment on financial instruments | 193.91 | 979.82 | 727.08 | 2,271.63 | 421.96 | ||
| d) | Employee Benefits Expenses | 32.99 | 16.55 | 67.40 | 91.09 | 143.92 | ||
| e) | Depreciation and Amertization | 7.93 | 6.64 | 7.40 | 29.30 | 30.66 | ||
| Ð | Others expenses | 13.08 | 6.03 | 45.32 | 33.16 | 116.58 | ||
| Total expenses | 515.15 | 1,284.85 | 1,264.58 | 3.544.15 | 2.404.97 | |||
| з. | Profit/ (loss) before exceptional and tax (1-2)38 F | (661.57)ुरु स | (853.88) | (515.27) | (2,147.23) | (140.91) | ||
| 4 | Exceptional items | |||||||
| .5.3 | Profit/ (loss) before that (3-4) is additional profit for the state of the control of the state of | APPE 6.661.57) | ta giy titl(883.88) | (515.27)236735 | $\sim$ (2,147.23) | (140.91)an Lagar | ||
| 6 | Tax expense | |||||||
| a) | Income tax | $\mathbf{r}$ | $\mathbf{r}$ | $\bullet$ | ||||
| Ы | Taxation for earlier years | 8.57 | $\bullet$ | 8.57 | 43.99 | |||
| c) | Defened Tax (Net) | 178.50 | (143.71) | 74,41 | (197.99) | 92.98 | ||
| Total Tax expense [6(a) to 6(c)] | 187.07 | (143.71) | 74.41 | (189.42) | 136.97 | |||
| 73 | Profit/(loss) for the period ($+6) and solven and solven in the state of the second | (848.54) | (740.17) | $4.21 \le 3.1589.681$ | - - - - - - - d.957.811163 | (277, 88) | ||
| 8 | Other Comprehensive Income | |||||||
| a) | Items that will not be reclassified to profit or loss | |||||||
| Fair value changes on FVTOCI - equity securities | 2.52 | 5.05 | (7.58) | 27.77 | (30.27) | |||
| Loss on sale of FVTOCI - equity securities | $\bullet$ | $\omega$ | (5, 12) | |||||
| Income tax relating to items that will not be reclassified to profit orloss | ||||||||
| -Tax on Fair value changes on FVTOCI - Equity securities | (0.89) | (1.76) | 2.65 | (9.71) | (30.87) | |||
| Tax on Actuarial gain/(less) on Defined benefit obligation | 18.65 | |||||||
| $\sin 5n \sin 3n$ and $\sin 5n \sin 5n$ and $\sin 5n \sin 5n$ and $\sin 5n \sin 5n$ and $\sin 5n \sin 5n$ | $31 - 23 + 163$ | kata Kerama 199 | (4.93)SERVICES | 18 Oc | 14761) | |||
| ы | Items that will be reclassified to profit or loss | |||||||
| -Debt securities measured at FVTOCI - net change in fair value | (9.99) | 15.84 | (9.22) | 2.35 | (10.76) | |||
| -Debt securities measured at FVTOCI - reclassified to profit and loss | ||||||||
| Income tax relating to items that will be reclassified to profit or loss | ||||||||
| Tax on Fair value changes on FVTOCI - Debt securities | 4.03 | (5.54) | 17.15 | 1.72 | 18.72 | |||
| Subtolat (b) at the control of | 15.96 * | $-10.30$ | $f = 1/2$ | $\mathbb{Z}$523554.07 | 17.36 | |||
| on the College comprehensive income (floss) (act of fax) and the contraction | $-44.33$ ) $-5.58$ $-2.13.59$ $-5.61$ $-5.10$ $-2.13$ | (39.65) | ||||||
| ب تھی | Potal comprehensive higoure # (tess) forter dax (1748) | (852.96) | - 54 Cort - 6726.591 | $1.1443 - 1586.681$ | 23343511935.681 | 13 | ||
| 10 10 | Paid-up equity share capital (Face Value of ₹ 10/- each) | 1,895.99 | 1,895.99 | 1.695.99 | 1,895.99 | 1,695.99 | ||
| $_{11}$ | Other equity (as per audited balance sheet as at 31st March) | 476.11 | 2,411.78 | |||||
| 12 | Earnings per share (face value of $\bar{x}$ 10 each) (not annualised for the interim periods): | |||||||
| $\left( a\right)$ | [Basic (₹) | (4.48) | (3.90) | (3.48) | (10.33) | (1.64) | ||
| (b) | Diluted (R) | (4.48) | (3.90) | (3.48) | (10.33) | (1.64) | ||
| See accompanying notes to the financial results. |
$-3-$
IFCI LTD.CIN: L74899DL1993GOI053677REGD. OFFICE : IFCI TOWER 61, NEHRU PLACE, NEW DELHI - 110 019 WEBSITE: www.ifelitd.com
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| STATEMENT OF AUDITED (CONSOLIDATED) FINANCIAL RESULTS FOR THE QUARTER AND YEAR ENDED MARCH 31, 202177 | |||||||
|---|---|---|---|---|---|---|---|
| Consolidated ResultsChe a Nat121$\mathcal{L}_{\text{max}}$나라 사회의 기 | (7 In Crore)79. AR 2 | ||||||
| Particulars | Quarter ended31/03/21(Unaudited) | Quarter ended31/12/20(Unaudited) | Ouarter ended31/03/20(Unaudited) | Year ended31/03/21(Audited) | Year ended31/03/20(Andited) | ||
| Revenue from operations | |||||||
| a) | Interest Income | (170, 76) | 341,47 | 778.05 | 1,192.86 | 2,254.92 | |
| b) | Dividend Income | 10.21 | 8.82 | 20.08 | 27.74 | 63.21 | |
| c) | Rental Income | 6.22 | 9.91 | (0.21) | 29.39 | 28.17 | |
| d) | Fees and commission Income | 3.19 | 16.10 | (114.29) | 46.98 | 40.62 | |
| e) | Not gain on fair value changes | (19.49) | 58.69 | (4.01) | 196.55 | $\blacksquare$ | |
| f)g). | Sale of products (including Excise Duty)Sale of services | 730 | 38.66 | 3.34 | 56.02 | 13.84 | |
| Total Revenue from operations | 169.69 | 137.14 | 246.95 | 516.82 | 471.23 | ||
| h) | Other Income | 6.369.40 | 610.79(0,67) | 929.91(70.92) | 2,066.36 | 2,871.99 | |
| Total income | 15.76 | 610.12 | 858.99 | 27.452,093.81 | 33.692,905.68 | ||
| $\mathbf 2$ | Expenses | ||||||
| a) | Finance costs | 263.62 | 286.13 | 316.02 | 1,147.23 | 1,451,27 | |
| b) | Fees and commission expense | 22.08 | 21.05 | 8.11 | 60.57 | 37.09 | |
| c) | Net loss on fair value changes | $\mathbf{r}$ | 68.98 | 245.92 | |||
| d) | Impairment on financial instruments | 209.33 | 984.23 | 751.03 | 2,305.11 | 473.40 | |
| e) | Cost of materials consumed | 1.90 | 28.33 | 17.02 | 30.31 | 37.35 | |
| f) | Purchases of Stock-in-trade | 5.92 | 5,72 | 3.08 | 21.40 | 13,28 | |
| g) | Employee Benefits Expenses$\tilde{\textbf{r}}$ | 100.78 | 60.81 | 120.62 | 292,42 | 326.06 | |
| h) | Depreciation and Amortization | 18,54 | 17.04 | 19.44 | 72.39 | 81.34 | |
| i) | Others expenses | 58.90 | 67.82 | 63.33 | 251.54 | 330.25 | |
| - 3. | Total expensesProfit/(loss) before exceptional and lax (1-2) | 681.07 | 1,471,13 | 1,367.63 | 4,180.97 | 2,995.96 | |
| 4 | Exceptional items | (665.31) | (861.01) | (508.64) | (2.087.16)ege. | ntra(90.28) | |
| 5. | Profit/floss) before thx (3-4) and the property statesೆಂಡ | (2.37)(662.94) | (861.01) | 3.96 | (2.37) | 3.96 | |
| 6 | Tax expense | (512.60)gen | $25.79$ (2,084.79) | (94.24)⊙83. | |||
| a) | Income tax | 4.83 | 3.26 | 0.03 | 17.50 | ||
| p) | Taxation for earlier years | 8.67 | (0.12) | 1.22 | 8.97 | 3.7044,38 | |
| c) | Deferred Tax (Net) | 172.53 | (146, 16) | 70.34 | (199.68) | 80,89 | |
| Tax expense [6(a) to 6(c)] | 186.03 | (143.02) | 71.59 | (173.21) | 128.97 | ||
| 7 | Profit/(loss) for the period after taxes ($-6) and state of the state of the state | (848.97) | (717.99) | ûvek(584, 19) | (1, 911.58) | (223.21) | |
| 8 | Share of net profit of associates and joint ventures accounted for using the | ||||||
| ŋ | Profit/(loss) for the period (7+8) and a state of the second second | (848.97) | ැ(717.99) | 化放射(584.19) | 8 ∵``.{1,911,58) | $\mathbb{C}\subseteq\mathbb{C}\cup{(223,21)}$ | |
| 10 | Other Comprehensive Income | ||||||
| a) | Items that will not be reclassified to profit or loss | ||||||
| -Fair value changes on FVTOCI - Equity securities-Gaiu/(loss) on sale of FVTOCI - Equity securities | 209.48 | 19.32 | 102.35 | 542.33 | (119.94) | ||
| -Actuarial gain/(loss) on Defined benefit obligation | 3.02 | $\qquad \qquad \blacksquare$ | (5.12) | ||||
| Income tax relating to items that will not be reclassified to profit or loss | (3.29) | (1.15) | 0.42 | (4.46) | |||
| Tax on Fair value changes on FVTOCI - Equity securities | (49.13) | (5.85) | (24.54) | (130.20) | (15.37) | ||
| -Tax on Actuarial gain/(loss) on Defined benefit obligation | (0.73) | 0.81 | 1.82 | (0.07) | 19.76 | ||
| b) | Items that will be reclassified to profit or loss | ||||||
| -Fair value changes on FVTOCl - Debt securities | (9.99) | 15.84 | (9.22) | 2.35 | (10.76) | ||
| -Debt securities measured at FVTOCI - reclassified to profit and loss | $\blacksquare$ | $\overline{a}$ | |||||
| Exchange differences in translating the financial statements of a foreignoperation | 0.05 | (0.12) | 0.76 | (0.34) | 1.16 | ||
| Income tax relating to items that will be reclassified to profit or loss | |||||||
| -Tax on Fair value changes on FVTOCI - Debt securities | 4.03 | (5.54) | 17.15 | 1,72 | 18.72 | ||
| Other comprehensive income / (loss) (net of tax) | 156.73 | 21.17 | 87.17 | 416.21 | (116.01) | ||
| -11. | Total comprehensive income / (loss) (after fax) (9+10) | (692.24)$\mathcal{A}^{\mathcal{R}}$ : | (696.82)40 | (497.02)ナご | (1,495.37)52∵$; | (339.22) | |
| 12 | Prefit for the period attributable to Equity holders of the parent | ||||||
| (854.20) | (727.12) | (572.82) | (1, 941.51) | (230.44) | |||
| Non-controlling interest | 5.25 | 9,12 | (11.36) | 29.93 | 7.23 | ||
| 13 | Other Comprehsive income attributable to Equity holders of the parent | ||||||
| 81.02 | 17.53 | 47.39 | 230.51 | (80.22) | |||
| 14 | Non-controlling interest | 75.73 | 3.65 | 39.79 | 185.70 | (35.79) | |
| parent | Total comprehensive income for the period attributable to Equity holders of the | ||||||
| Non-controlling interest | (773.18) | (709.59) | (525.43) | (1,711.00) | (310.66) | ||
| 15 | Paid-up equity share capital (Face Value of ₹ 10/- each) | 80.981,895.99 | 12.77 | 28.43 | 215.63 | (28.56) | |
| 16 | Other Equity (as per audited balance sheet as at 31st March) | 1,895,99 | 1,695.99 | 1,895.99 | 1,695.99 | ||
| 17 | Earnings per share (face value of $\bar{\tau}$ 10 each) (not annualised for the interim periods): | 1,841.97 | 3,553.04 | ||||
| (a) | $\text{Basic}(\vec{x})$ | (4.51) | (3.84) | (3.38) | (10.24) | (1,36) | |
| (b) [Diffusory] | (4.51) | (3.84) | (3.38) | (10.24) | $\sqrt{16/36}$ | ||
| See agoontomy me netes to the thumcial results |
$-4-$
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्अल्फ्लीआई काम61, ग्रेज़ि फोस 겳 $\sum_{k=1}^{N}$ ſ. Nav Delbi-19 Engineer Costs
IFCLUTD.CIN: L74899DL1.993GOI053677REGD. OFFICE : IFCLTOWER61, NEHRU PLACE, NEW DELHI – 110 019WEBSITE: www.lfclitd.com
$\ddot{\phantom{a}}$
$\mathbb{R}^2$
$\overline{a}$
$\overline{a}$
$(7 in Crores)$
| Standalone | Consolidated | ||||
|---|---|---|---|---|---|
| Particulars | As at 31/03/21(Audited) | As at 31/03/20(Audited) | As at 31/03/21(Audited) | As at 31/03/20(Audited) | |
| ASSETS APP | |||||
| (1) | Financial assets | ||||
| (a) Cash and cash equivalents | 533.56 | 1,034.03 | 1,179.73 | 1,527.72 | |
| (b) Bank balance other than (a) above | 588.33 | 589.76 | 1,340.71 | 1,052.86 | |
| (c) Derivative financial instruments | 50.04 | 50.04 | |||
| (d) Trade receivables | 57.32 | 78.43 | 193.63 | 192.67 | |
| (e) Loans | 6,479.71 | 10,295.36 | 6,840.83 | 10,767.31 | |
| (f) Investments | 2,950.34 | 1,882.54 | 5,504.10 | 3,962.55 | |
| (g) Other financial assets | 139.49 | 132.68 | 1,538.06 | 1,039.15 | |
| 카위스 | 138ತ್ರವಿತ್ರಿಯ ವಿವ13 diyên seTotal Financial Assets | $-22.10,748,75$ | 14,062.8443 U.S.S | 16,597.06 | 18,592.30ಮಿ |
| (2) | Non-Financial Assets | ||||
| (a) Investment in subsidiaries | 1,343.71 | 1.352.13 | |||
| (b) Investment accounted using equity method | |||||
| (c) Inventories | 88,63 | 118.53 | |||
| (d) Current tax assets (Net) | 62.23 | 181.48 | 111.03 | 276.31 | |
| (e) Deferred tax assets (Net) | 2,122.05 | 1,932.04 | 1,707.08 | 1,635.93 | |
| (f) Investment property | 185.50 | 190.08 | 201.13 | 206.01 | |
| (g) Property, plant and equipment | 741.73 | 687.08 | 1,068.88 | 1,017.73 | |
| (h) Capital work-in-progress | 8.89 | 4.28 | |||
| (i) Intangible assets under development | 0,02 | 0.01 | |||
| (i) Goodwill | 446.64 | 446.64 | |||
| (k) Other intangible assets | 0.91 | 1.27 | 45.57 | 49.82 | |
| (I) Other non-financial assets | 14.46 | 22.36 | 77.88 | 79.96 | |
| NG. | Total Non-Financial Assets and the SecondMed.الداحلે છે. વર્ષ97 | an, ar4,470.59 | 4,356,44- 3- | 3,755.75k Birutikan | 3.835.2203 R.E.N |
| (3) | Assets classified as held for sale | 0.04 | 11.31 | 11,28 | |
| Total Assets (1+2+3) | 15.219.38÷ | 18,429.28 | 48.20,364.12 | 22,438.80 | |
| $\mathbf{H}$ | LIABILITIES AND EQUITY | ||||
| LIABILITIES | |||||
| (1) | Financial Liabilities | ||||
| (a) Derivative financial instruments | 15.91 | 15.91 | |||
| (b) Trade payables | |||||
| (i) total outstanding dues of MSMEs | 0.40 | 4.88 | |||
| (ii) total outstanding dues of creditors other than MSMEs | 165.68 | 66.60 | 409.92 | 242,72 | |
| (c) Other payables | |||||
| (i) total outstanding dues of MSMEs | |||||
| (ii) (o(al outstanding dues of creditors other than MSMEs | 211.10 | 192.50 | |||
| (d) Debt securities | 7,270.78 | 7,844,60 | 7,370.99 | 7,973.93 | |
| (e) Borrowings (other than debt securities) | 2,285.70 | 3,165.50 | 2.356.95 | 3,279.11 | |
| (f) Subordinated liabilities | 1,313,30 | 1,313.30 | 1,313.30 | 1,313.30 | |
| (g) Other financial liabilitiesmarko31.CP | 1,713.31 | 1,805,64 | 3,496,10 | 2,871.52 | |
| 1974년al dTotal Financial Liabilities | 12,764.68 | 14.195.64 | 15,174.67580 a.C | 15,877.96 | |
| (2) | Non-Financial Liabilities | ||||
| (a) Provisions | 82,18 | 125.01 | 152,39 | 205.04 | |
| (b) Other non-financial liabilities | 0.42 | 0.86 | 12.57 | 28.75 | |
| Total Non-Financial Liabilities 2000 and 20059.-91 | 82.60X.¢.D | 125.87 | 164.96Ý. | 233.75 | |
| (3) | Equity | ||||
| (a) Equity share capital | 1,895.99 | 1,695,99 | 1,895.99 | 1,695.99 | |
| (b) Other equityNon controlling interest | 476.II | 2,411.78 | 1,841.97 | 3,553.04 | |
| 1,286.53 | 1,078.02 | ||||
| Total Equity 2002 2003Total Liabilities and Equity (1+2+3).平衡 | 2.372.10Ŧ. | 5.253334,102.77$-15,219.38$ $\pm 1.15$ $\pm 18,429.28$ | ASSESSES, 737.9620,364.12 | 5,249.0322,438.80V SI |
$-5$
FCI LTD.CIN: L74899DL1993GCI053577REGD. OFFICE : IFCI TOWER61, NEHRU PLACE, NEW DELHI ~ 110 019WEBSITE: www.ifciltd.com
i.
$\mathcal{A}$
$\bar{\mathcal{A}}$
| (C in Crores) | |||||
|---|---|---|---|---|---|
| STATEMENT OF CASH FLOW FOR THE YEAR ENDED MARCH 31, 2021 | |||||
| Standalone. | Consolidated | ||||
| Particulars | Year ended 31/03/21(Audlied) | Year ended 31/03/20(Audited) | Year ended31/03/21 (Audited) | Year ended 31/03/20(Audited) | |
| A. CASH FLOW FROM OPERATING ACTIVITES | |||||
| Net Profit before Tax | (2,147.23) | (140.91) | (2,084.79) | (94.24) | |
| Adjustments for: | |||||
| Depreciation and amortisation | 29.30 | 30.66 | 72.39 | 81,34 | |
| Impainment provision/write offs | 2,271.63 | 421.96 | 2,305.11 | 472.29 | |
| Unrealised gain/(loss) on investments | (304.53) | 275,50 | 53.42 | (252.78) | |
| Impairment on Non-financial asset | (11.34) | 63.17 | |||
| (Profit)/ Loss on Sale of Assets | (0.01) | (8.53) | (0.01) | (7.41) | |
| Operating Profit before Working Capital Changes & Operating Activities | (162, 18) | 641.85 | 346.12 | 199,20 | |
| Adjustments for Operating Activities: | |||||
| (Increase)/ decrease in Investments | (727.68) | 1,163.64 | (1,0.50,30) | 1.734.49 | |
| (Increase)/ decrease in Inventory | 29.90 | 36.52 | |||
| (Increase)/ decrease in Loans & Advances | 1,589.08 | 2,488,28 | 1,621.38 | 2,473.92 | |
| (Increase)/ decrease in Derivative Financial Instruments | 65.95 | (35.38) | 65.95 | (35.38) | |
| Increase/ (decrease) in Trade Payables | 99.08 | (40.67) | 181,31 | 60.42 | |
| (Increase)/ decrease in Receivables | 19.99 | (71.48) | (0.96) | (17.53) | |
| Increase/ (decrease) in Debt Securities | (573.82) | (1, 382, 19) | (602.94) | (1,360.12) | |
| Increase/ (decrease) in Borrowings | (879.80) | (2,388.21) | (922.16) | (2,467.79) | |
| Operating Profit before Working Capital Changes | (569.38) | 375.84 | (331.70) | 623.73 | |
| Adjustments for: | 7.90 | ||||
| (Increase)/ decrease in Other Financial Assets | (9, 54) | (7.85)20.16 | (498.91)1.66 | (118.57) | |
| Increase/ (decrease) in Other Non-financial AssetIncrease/ (decrease) in Other Financial Liability | (92.33) | 60.93 | 608.91 | 3,98175.11 | |
| Increase/ (decrease) in Other Non-financial Liability | (0.44) | (0.53) | (16, 17) | 12.35 | |
| (82, 21) | 61.59 | (52.23) | 47.94 | ||
| Increase/ (decrease) in Provision | 1.43 | (45.55) | |||
| Increase/ (decrease) in other bank balancesIncrease/ (decrease) in assets held for sale | (0.04) | 45.46 | (287.85)(0.03) | (113.91)46.56 | |
| Cash Flow before taxation | (175.23) | 134,21 | (244.62) | 53.57 | |
| Income Tax (paid)/refund - Net | 110.67 | (23.40) | 138.79 | (42.12) | |
| ∡[80Net cash flow from Operating Activities | (633.94) | 486.65 | 1437.531 | 635.18T) i | |
| B. CASH FLOW FROM INVESTING ACTIVITIES | (82.84) | (3.03) | (97.98) | (41.79) | |
| Purchase of / Advance for property, plant and equipments (including Leased property) | |||||
| Investment in subsidiaries | 11.34 | (63.17) | |||
| Proceeds from sale of investment property | 4.58 | (3.29) | 4.60 | 3,29 | |
| Sale of investment in associates and joint ventures | |||||
| Purchase of Advance for Intangible Asset | 0.36 | 0.38 | (0.71) | (1.00) | |
| Proceeds from sale of property, plant and equipments (including leased property) | 0.03 | 25.95 | (9.25) | 6,99 | |
| Net eash flow from Investing Activities and the state of | (66.53) | 1 r.) 23(48.16) | (103.34) | 425,95(32.50) | |
| C. CASH FLOW FROM FINANCING ACTIVITIES | |||||
| Dividend Paid | (7.12) | (4.21) | |||
| Share application money received | 200,00 | 200.00 | 200.00 | 200.00 | |
| Net cash flow from Fluoreing Activities and a property of the4230825 | $-200.00$- 만들렛 | ಳ ಚುನಾ,200.00 | 192,88tranca | 195.79 | |
| Net Increase/ (Decrease) in Cash and Cash Equivalent Flow (A+B+C) | (500.47) | 636.49 | (347.99) | 798.46 | |
| Add : Cash and Cash Equivalents at beginning of the financial year | 1,034.03 | 395.54 | 1,527.72 | 729,25 | |
| Cash and Cash Equivalents at the end of the financial year. | 533.56 | 1.034.03 | 1 179 73 | 1.527.72 |
$-b-$
IECI LTD. CI ft 1.748991)1.1993001053677 REGD. OFFICE : IFC TOWER fitTOS 61, NEHRU PLACE, NEW DELHI — 110 219 swat WEBSITE: www.lfoiltd.com
Notes:
- 1 The above financial results were reviewed by the Audit Committee and approved by the Board of Directors at the meeting held on 20th lune 2021. These results have been audited by the Statutory Auditors of the Company, Mis talK. Agganval & Co, Chartered Accountants.
- 2 The shareholders at its 27th Annual General Meeting held on December 22, 21120 approved the increase in Authorised Equity Shut e Capital from extent Rs. 2000 Crore comprising of 200 Crore number of equity shares of Rs. 10 each to Rs. 4000 Crore comprising of 400 Crore number or equity shares of Rs. 10 each. Further, the Company has received Rs. 200 crates from GOI, Department of Financial Services, Ministry of Finance, an March 23, 2020, towards subscription to the share capital of the Company. The same has been classified under Other Equity ( Share application money pending allotment) as on 31 St March 2020. The Company has subsequently allotted 20 cron number of equity shares 0 Rs. 10 each to the President of India (Government of India) on May 21, 2020. Also, the Company received Rs. 200 more on March 15, 2021 from the Government of Enda towards subscription to the share capital during the Financial Year 2020-21 as share application money. In this regard, the Committees of Directors had allotted 14,59,65401 number of equity shares of face value of Rs. 101- each to the Government of India on April 23, 2021 0 Rs. 13.70/- per equity chain (including security premium of Rs. 3.704 per equity share)".
- 3 Interest income is stated at net off FEL provisions and for the current quarter it has becomes negative due to increase in LOP from 49.63% (Decemeber 2020) to 57.59% (March 2071).
- 4 In accordance with the RBI Circular No RE1/2021-22/17 DOR.STR.REC.4121.04.1048/2021-22 dated April 7, 2021 far reforid/adjustment of' interest on interest' charged during moratorium petted i.e. March 1, 2020 to August 31,2020, an amount of Rs 0.25 crore has been estimated. Accordingly such provision has been cleated in books of account by debiting interest income,
- 5 As on March 31, 2021, Impairment allowance under Ind AS 109 is higher than REC Prudential (IRACP) Norms (including standard assets provisioning). Accordingly the company has provided for the amount as per Ind As in the books of accounts as on 31st Mardi 2021, The existing impairment reserve of Rs.34.54 crores created upto March 31, 2021 has not been reversed. Though ECL on Loan Assets is computed on portfolio basis, however during the current year, full W./Minn-era allowance has been made on loan accounts declared as fraud as per RBI norms.
- 6 The Company has changed its accounting policy whereby income on stage 3 assets shall not be recognized in books of accounts with effect Brom Olst April 2021. Also, income all eady accrued upto 31st March 2021 shall be de-recognized on certain stage 3 assets.
Accordingly, an amount of Rs 613.71 crC net of ECL impaimient allowance of Rs 833.38 or) has been charged to P&L account Than the loss for the year is higher by Ils 615.71 or and loan assets are lower by Rs 447.08 cc
- 7 The (Covid.I9) pandemic globally and in India is causing significant disturbance in the financial Markets. On 11.03.2020, the Covid-19 outbreak was declared a global pandemic by the World Health Organization) WHO). it has resulted in significant disruption in global and Indian economic activities. The situation has been under close watch by the Company to take prompt actions for continuity of business operation is optimized manner. The Company believes that going forward, the impact of this outbreak will not be significant on its business and financial position
- it The valuation of Investments in subsidiary companies has been considered on the basis of financial statements of the subsidiaries for the period ended 31st December 2020, instead of 31st Marsh 2021. There inns material impact of this on the financial statements of the company.
- 9 Stoolthelding Comoration of India Ltd. (SHCIL) land during the year 2000-01 undertaken a transaction oft 24,45 men with a client through the Calcutta Stock Exchange (CSE) under the 'Cash on Payout' scheme for the sale of 7,20,000 equity shares of DSO Industries Limited. The said transaction was 'confirmed by COB based on which post-dated cheques were issued, The cheques were stopped for payment before their due date by the Company as the underlying trade transaction was contended lobe non-bonafide and disallowed by CSE. A Bank, which had granted financial assistance against the said cheques, issued a notice of demand against the Cempany under Section 138 of the Negotiable instrument Act, 1881. The Bank also filed an application in the Debt Recovery Tribunal )PRT) for recovery of the amount aiongwith ccmpound inter est from the Company and the client. The Company disputed the claim of the Bank. The Bank's application to the DRT was dismissed and only the client was held liable. The Bank and the client had filed an appeal in the Debt Recovery Appellate Tribunal (DRAT) against the order of DRT. The appeals were allowed vide the DRAT order dated September 23, 2011, which stated that the amount would cany compound interest from 1st August 2001 @ 19% pa. with quarterly rests till realisation and the Bank was entitled to realize the stun from both the client and the Company. The Company filed a Revision Application in High Court, Calcutta on November ao, 2011 which was admitted but no interim rellefwes granted. Hence, the Company filed a Special Leave Politico (SLP) in the Supreme Court for stay of the High Court Order for not granting interim relief of staying the DRAT order, the Order of the DRAT and the recovery certificate and notice of demand issued by Presiding Officer and recovery officer of DRT respectively. The Supreme Court vide its order dated April 23, 2012 granted stay on the recovery proceedings and requested the Calcutta High Court to dispose off the Revision Applicatien within a period of four months and the Company to deposit 30.00 cram with the Calcutta High COW Registry within a period of 4 weeks From the date of order by way of a short term deposit trio nationalised bank. Accordingly, the Company Fad deposited the money with the Calcutta High Court, Registry. The revision application was dismissed. The Company filed Special Leave Petition (S12) in the Supreme Court in May 2015. The Supreme Court vide its order dated May 14, 2015 stayed the operation of the execution proceedings and Ole Company to deposit with the Registrar, Supreme Court of India, a freed deposit receipt in the name alba Company and endorsed in favour of the Registrar an amount of nal less than 5 30.00 crone. Accordingly, the Company made the deposik The amount of 60.00 ante, deposited by the Company in the High Court 1,5 30.00 crow) and Supreme Court (0 30.00 core) is shown under the heading "Long Term Loans and Advances" under the sub heading "Security and other deposits" in the Statement of Balance Shed. The bank was granted liberty to withdraw 30.00 cram along with interest that had been lying as deposit before the High Court of Kolkata which is subject to final decision in the SIX. Accordingly, an amount of 5 38.04 crore was released to the Bank. Further by an order dated October 12, 2015, the Supreme Court directed the bank to withdraw an additional amount of 0 15,00 crore along with accrued interest from the money deposited with the Supreme Court. Accordingly, an amount of 0 15.45 more was released to the Bank, The Special Leave petition has been converted into a Civil Appeal on February OB, 2017 and the matter is listed in the Supreme Court for find disposal. The matter is appearing regularly and was last taken up for hearing in February 2020.
The amends released to the Bank is subject to the final decision in the matter. Jr view of the nature of dispute, the amount of contingent liabiliry has not been ascertained. Pending final adjudication of the matter by the Honorable Supreme Court and also in view of the legal opinion obtained by SHC1L, in the opinion of SHCIL management no provision is required lobe made in the statement of Profit and Loss for year ended March 21, 2021.
RI In Case of Stock Holding Corporation of India Lid (SHCIL), there were certain unreconciled Items amounting to Rs 3.50 Cr grouped under trade receivable axon 31st March 2019. On hether Investigation It has been revealed that one of the employee of the company had fraudulently made payments to the non-dents amounting to Rs 2.94 Cr (net after recovery) from client bank accounts. The company has filed a First Information Report to the Rebate police station. And the company has filed an insurance claim to New India Assurance Company Limited.
As at March 31, 2020, the Company can determine the amount of embezzlement of fund to prior accounting periods however it cannot detennine the amount of period specific loss as required under IndAS B, as amounts recoverable from the employee mid that from the Insurance claim is not Tully determinable at March 31, 2020. Therefore it falls under the exception to IndAS 0 which slates that If the quantum of loss cannot be ascertained clearly during the current period the accounting effects can be taken prospectively. The company on a conservative assessment, has provided an impairment of P..s 2.94 cc for the entire recoverable in the profit & loss statement of the previous financial year. Also the company had appointed an outside agency to prepare the bank reconciliation of the said bank account from FY 2014.15 to FY 2(110- 19. Rectification entries have been passed on receipt of revised bank reconciliation statement in the previous financial year.
During the current financial year, the insurance company has granted Rs 2.75 cm against a claim of Rs 2.94 cr. Out of the awarded claim. Rs 2.21 cc has been received from the insurance company and the balance of Rs 53.791akIrs will be recived upon the monetization of assets owned by the said employee or from the insurance company in case of any shotteall. Accordingly, the reversal of an impairment of Rs 2.75 cr accounted in the current financial year.
The company had appointed a forensic waiter to conduct detailed analysts of the embezelemont of fend The final report has been submitted by Forensic Auditor. Based on report management bdie_ ves2:_at there is unlikely of any further financial Impact of the same on the financial statements.
I ECI LTD. CIN: L74899DL1992G01059677 EIEGO, OFFICE: I FCI TOWER 61, NEHRU PLACE, NEW DELHI — 110 019 WEBSITE: www.ifoilte.corn
- 11 On all the secured bonds and debentures issued by the Company and outstanding as on 31st March 2021, 100% security cover has been maintained against principal and interest, by way of Coating charge on receivables of the Company and/or Govermoent Securities owned by the Company,
- 12 In the context of riposting business/geographical segment es required by Ind AS 108 "Operating Segments", the Company operations comprise of only one business segment of financing. Hence, them is r10 reportable segment as pm Ind AS 108.
- 13 The figure for the quarter ended 31st March 2021 and 31st March 2070 have been derived by deducting the year to date figures for the period ended 31st December 2020 and 31st December 2019 frorn the audited figures for the year coded 31st March 7021 and 31 at March 2026 respectively.
- 14 The figures for the previous quarter/period have been regrouped / rearranged wherever necessary to conform la the current period presentation.
Place: New Delhi Date 28 June 2021
By Drdggpftheefl1d (Ma anaging I2ectar & Chief Executive Officer
• 30, Ilishant Kunj, Mat Pura, New Delhi-110034
III Tele : 011-47517171, 27355151 M.: 9899997699, 9810064176 Email : [email protected] Website : virww.mkac.in
Independent Auditor's Report on Quarterly & Annual Standalone Financial Results of IFCI Limited pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended
To, The Board of Directors of IFC! Limited
Opinion
1. We have audited the accompanying Standalone financial results of IFCI Limited ('The Company') for the quarter and year to date ended 31st March, 2021 (the "statement") attached herewith, being submitted by the company pursuant to the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the "Listing Regulations")
In our opinion and to the best our information and according to the explanations given to us, these standalone financial results:
- i. are presented in accordance with the requirements of Regulation 33 of the Listing Regulations in this regard; and
- give a true and fair view in conformity with the recognition and measurement principles laid down in the applicable accounting standards and other accounting principles generally accepted in India of the net- loss including other comprehensive loss and other financial information for the quarter ended and year to date ended 31st March 2021.
Basis for 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.
Emphasis of Matter
-
- We draw attention to Note No. 4, regarding the reversal of "Interest charged on Interest" related to Moratorium period i.e. 1st March, 2020 to 31st August, 2020.
-
- We draw attention to Note No. 5, with regard to full impairment allowance on fraud accounts, in terms of RI3I guidelines.
-
- We draw attention to Note No. 6, regarding change in accounting policy towards derecognition of income on certain Stage-3 assets. Consequently, the loss for the year is higher by Rs. 613.71 Crores (net of ECL provision of Rs. 833.38 Crores) and loan assets are lower by Rs. 1447.08 Crores.
-
- We draw attention to Note No. 7, regarding the entity's impact of COVID-19 pandemic on its financial results.
-
- We draw attention to Note No, 8, where the valuation of the investments in subsidiary companies has been considered on the basis of limited review of financial statement for the quarter ended 31st December 2020.
-
- The Capital Risk Adequacy Ratio (CRAR) stands at (-) 10.80% as on 31.03.2021, below the RBI stipulated guideline vide circular dated 31st May, 2018 (RI31/2017-18/181 DNBR (PD) CC.No,092/03.10.001/2017-18).
Our Opinion is not modified in respect of these matters.
Management's Responsibilities for the Standalone Financial Statements
These quarterly financial results as well as the year to date standalone financial statements have been prepared on the basis of interim financial statements. The Company's management and Board of Directors are responsible for the preparation and presentation of these financial statements that give a true and fair view of the net profit, other comprehensive income and other financial information in accordance with the recognition and measurement principles laid down in Indian Accounting Standards 34 "Interim Financial Reporting" specified under Section 133 of the Act read with relevant rules issued thereunder and other accounting principles generally accepted in India and in compliance with Regulation 33 of the Listing Regulations. This responsibility also includes the maintenance of adequate accounting records in accordance with the provision of the Act for safeguarding of the assets of the Company and for preventing and detecting the 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 control, 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 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 management and Board of Directors are also responsible for overseeing the company's financial reporting process.
Auditor's Responsibilities for the Audit of Standalone 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 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 control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company's internal control.
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures in the Standalone Financial Statements 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.
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.
Other Matters
- The statement includes the results for the quarter ended March 31, 2020, being the balancing figures between audited figures in respect of full financial year ending on that date and the published year to date figures up to third quarter of the current financial year which were subjected to limited review by us. Our report on the statement is not modified in respect of this matter.
For M K Aggarwal & Co. Chartered Accountants Firm Registration No: 001411N
A (Acoiwov
CAiArwal Partner Membership No. 099374 UDIN: 2.1 cM2-1 ft 14.P942115":e
Place: - New Delhi Date: - 28th June 2021
Ns 30, Nishant Kunj, Pitam Pura, New Delhi-110034
Ne Tele : 011-47517171, 27355151 M.: 9899997699, 9810064176 Email : [email protected] Webslte www.mkac.in
Independent Auditor's Report on Quarterly & Annual Consolidated Financial Results of IFCI Limited pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended
To, The Board of Directors of IFCI Limited
Opinion
- We have audited the accompanying statement of Annual Consolidated financial results of IFCI Limited (hereinafter referred to as 'Holding Company') and its subsidiaries (the holding company and its subsidiaries together referred to as "the Group"), for the year to date ended 31st March, 2021 (the "statement") attached herewith, being submitted by the company pursuant to the requirements of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the "Listing Regulations").
In our opinion and to the best our information and according to the explanations given to us, and on consideration of the reports of the other auditors on separate audited financial statements of the subsidiaries, the aforesaid consolidated financial results:
- includes the annual financial results of the following entities:
| No | Name of the Entity | Relationship |
|---|---|---|
| 1. | IFCI Limited | Parent Company |
| 2. | IFCI Financial Services Ltd. (IFIN) | Subsidiaries |
| 3. | IFCI Venture Capital Funds Ltd. (IVCF) | Subsidiaries |
| IFCI Infrastructure Development Ltd. (IIDL) | Subsidiaries |
| 5. | IFCI Factors Ltd. (IFL) | Subsidiaries |
|---|---|---|
| 6. | MPCON Ltd. | Subsidiaries |
| 7. | Stock Holding Corporation of India Ltd. | Subsidiaries |
| 8. | IFIN Commodities Ltd. (indirect control throughWIN) | Step-downsubsidiaries |
| 9. | IFIN Credit Ltd. (indirect control through WIN) | Step-downsubsidiaries |
| 10. | IFIN Securities Finance Limited (indirect controlthrough IFIN) | Step-downsubsidiaries |
| 11. | IIDL Realtors Pvt. Ltd. (indirect control throughIIDL) | Step-downsubsidiaries |
| 12. | SHCIL Services Ltd. (indirect control throughSHCIL) | Step-downsubsidiaries |
| 13. | Stockholding Document Management ServicesLimited (indirect control through SHCIL) | Step-downsubsidiaries |
| 14. | Stockholding Securities IFSC Limited(indirectcontrol through SHCIL) | Step-downsubsidiaries |
- I. are presented in accordance with the requirements of Regulation 33 of the Listing Regulations in this regard; and
- give a true and fair view in conformity with the recognition and measurement principles laid down in the applicable accounting standards and other accounting principles generally accepted in India of the net loss and other comprehensive loss and other financial information for the quarter ended and year to date ended 31st March 2021.
Basis for 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.
Emphasis of Matter
-
- We draw attention to Note No. 4, regarding the reversal of "Interest charged on Interest" related to Moratorium period i.e. 1st March, 2020 to 31st August, 2020.
-
- We draw attention to Note No. 5, with regard to full impairment allowance on fraud accounts, in terms of RBI guidelines.
-
- We draw attention to Note No. 6, regarding change in accounting policy towards derecognition of income on certain Stage-3 assets. Consequently, the loss for the year is higher by Rs. 613.71 Crores (net of ECL provision of Rs. 833.38 Crores) and loan assets are lower by Rs. 1447.08 Crores.
-
- We draw attention to Note No. 7, regarding the entity's impact of COVID-19 pandemic on its financial results.
-
- We draw attention to Note No. 9, related to outcome of continuing litigation of Stock Holding Corporation of India Limited with a Bank, pending adjudication of the matter by the Honorable Supreme Court. As per the legal opinion obtained by the Management of Stock Holding Corporation of India Limited, no provision has been recognized in the Statement of Profit and Loss.
- The Capital Risk Adequacy Ratio (CRAR) stands at (-) 10.80% as on 31,03.2021, below the RBI stipulated guideline vide circular dated 31st May, 2018 (RBI/2017-18/181 DNBR (PD) CC.No.092/03.10.001/2017-18).
Our Opinion is not modified in respect of these matters
management's Responsibilities for the Consolidated Financial Statements
The Holding Company's Board of Directors is responsible for the preparation and presentation of these Consolidated financial statements in terms of the requirements of the Companies Act, 2013 that give a true and fair view of the consolidated financial position, consolidated financial performance and consolidated cash flows and consolidated changes in equity of the Group in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards specified under Section 133 of the Act,.
The respective Board of Directors of the companies included in the Group are responsible for maintenance of adequate accounting records in accordance with the provision of the Act for safeguarding of the assets of the Company and for preventing and detecting the 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 control, 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, which have been used for the purpose of preparation of the Consolidated Financial Statements by the Directors of the Holding Company, as aforesaid.
In preparing the consolidated financial statements, respective Board of Directors of the companies included in the Group and of its subsidiaries are 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 de so.
The respective Board of Directors of the companies included in the Group are responsible for overseeing the company's financial reporting process of the Group.
Auditor's Responsibilities for the Audit of Consolidated Financial Statements
Our , objectives are to obtain reasonable assurance about whether the consolidated 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 consolidated 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 control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the company's internal control.
- Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures in the Consolidated Financial Statements 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.
We communicate with those charged with governance of Holding Company and such other entities included in the consolidated financial results of which we are the independent auditors 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.
Other Matters
-
- The statement includes the results for the quarter ended March 31, 2021, being the balancing figures between audited figures in respect of full financial year ending on that date and the published year to date figures up to third quarter of the current financial year which were subjected to limited review by us. Our report on the statement is not modified in respect of this matter.
-
- We did not audit the financial statements of six subsidiaries and seven step-down subsidiaries, whose financial statements reflect total assets of Rs. 6757.83 Crores, total income of Rs. 742.76 Crores, total net profit after tax of Rs. 60.30 Crores and total comprehensive income (net of tax) of Rs, 454.37 Crores for the year to date ended 31.03.2021, as considered suitably in the consolidated audited financial statements. These audited financial statements have been audited by other Auditors whose report has been furnished to us by the Management and our opinion on the Consolidated Audited Financial Statement, in so far as it relates to the amounts and disclosures included in respect of these subsidiaries and our report in terms of sub-section (3) and (11) of Section 143 of the Act, in so far as it related to the aforesaid subsidiaries, is based solely on the report of the other auditors.
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- In respect of Subsidiary Company" M/s IFCI Factors Limited", the statutory auditor has opined that "The company has classified one of the account as Standard on 31.03.2021, by providing an adhoc sanction of Rs. 120 Crore (10% of outstanding) on 31.03.2021 and accordingly the overdue has been adjusted and account regularized."
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- In respect of consolidated accounts of Subsidiary Company "M/s IFCI Infrastructure Development Limited", the statutory auditor has opined that, "During the year, the company has followed the system of processing its accounting transactions through the Accounting Software "Tally ERP", All the vouchers are approved manually and same are posted in the books of accounts maintained in Tally Software only. However, it has been observed that there is possibility of posting of entries in back date within the quarter of the financial year. Accordingly, the company did not have any appropriate Internal Control System in place in Tally Software to prohibit such back dated entries, which may have financial implications."
The above observations at S. No. 3 & 4 are not material in nature in respect of consolidated state of affairs of the group and hence our opinion is not modified in respect of these matters.
* 11314 all Towtuta iegr
PlaC0 NweI 1 9
For M K Aggarwal & Co.
Chartered Accountants Firm Registration No: 001411N
CA Atul Aggarwal Partner Membership No. 099374 UDIN: 2,1 019. 31 Li Roa-PE0 (IIIK
