We have audited the accompanying financial statements of RAAMA PAPER MILLS LIMITED (FORMERLY
RAMA PAPER MILLS LIMITED)(“the Company”), which comprise the Balance Sheet as at 31st March 2024, and
the Statement of Profit and Loss (including Other Comprehensive Income), the Statement of Cash Flows, the
Statement of Changes in Equity for the year then ended, notes to the financial statements including a summary of
material 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, 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 31st March, 2024, and its loss, total
comprehensive income, its cash flows and changes in equity for the year ended on that date.
Basis for Opinion
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
Responsibility 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
ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and the
Rules made 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 obtained by us is sufficient and appropriate to
provide a basis for our opinion on the financial statements.
Material Uncertainty Related To Going Concern
As on 31st March, 2024, the company has accumulated losses of ? 3,823.10 lakhs and incurred Net Loss of ? 1948.32
lakhs during the year ended 31st March, 2024, and as of that date the company's current liabilities exceeded its
Currents Assets by ? 6,443.79 lakhs. The company has negative net worth of ?. 1,856.63 lakhs as on 31st March,
2024. Post Balance Sheet Date two Secured Creditors who have given Secured Inter Corporate Deposits to the
Company have filed petition before National Company Law Tribunal (NCLT), Allahabad Bench under Section 7 of
The Insolvency and Bankruptcy Code, 2016 to initiate Corporate Insolvency Resolution Process, appointment of
Insolvency Resolution Professional and declare a moratorium in respect of all actions set forth in Section 14 of the
Insolvency and Bankruptcy Code, 2016.
NCLT has issued Notice to the Company seeking response. The matter is pending before NCLT. This indicates that
a material uncertainly exists that may cast significant doubt on the company's ability to continue as a Going
Concern. The management of the Company is taking steps to make company profitable and is also evaluating
methods to induct capital in the Company. Accordingly, the Financial Results has been prepared on Going Concern
Basis.
Please Refer Note No.42 & 43.
Our opinion is not modified in respect of this matter.
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. We have determined that there are no key audit matters to communicate
in our report.
Information Other than the Financial Statements and Auditor’s Report thereon
The Company's Management and Board of Directors are responsible for 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, but does not include the financial statements and our auditor's report thereon. The other
information is expected to be made available to us after the date of this auditor's report.
Our opinion on the financial statements does not cover the other information and we will 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 during the course of our audit or otherwise appears to be
materially misstated.
When we read the other information, if we conclude, that there is a material misstatement therein, we are required to
communicate the matter to those charged with governance as required under SA 720 ‘The Auditor's responsibilities
Relating to Other Information'.
Management’s Responsibility for the Financial Statements
The Company's Management and 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 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.
In preparing the financial statements, Management and Board of Directors 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 Board of Directors 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 Responsibility 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 scepticism
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 financial control relevant to the audit in order to design audit procedures
that are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for
expressing our opinion on whether the Company has adequate internal financial controls system in place
and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates
and related disclosures made by the Management and Board of Directors.
• Conclude on the appropriateness of Management and Board of Directors 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 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.
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
in terms of sub-section (11) of Section 143 of the Act, we give in Annexure A a statement on the matters
specified in paragraphs 3 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 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) the Statement
of Cash Flows and Statement of Changes in Equity 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 Indian Accounting Standards (Ind AS)
prescribed under Section 133 of the Act read with Companies (Indian Accounting Standards) Rules, 2015,
as amended.
e. On the basis of the written representations received from the directors as on 31stMarch, 2024 taken on record
by the Board of Directors, none of the directors is disqualified as on 31st March, 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 with reference to financial statements of the
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 operating effectiveness of the Company's
internal financial controls with reference to financial statements.
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 explanation given to us, the
remuneration paid/provided by the Company to its directors during the year is in accordance with the
provisions of section 197 of the Act. The Ministry of Corporate Affairs has not prescribed other details under
section 197 (16) of the Act, which are required to be commented upon by us.
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 as at 31st March, 2024on its financial
position in its financial statements -Refer Note No- 29 of financial statements.
ii. The Company did not have any long-term contracts including derivative contracts for which there were
any material foreseeable losses during the year ended 31st March 2024.
iii. There were no amounts which were required to be transferred, to the Investor Education and Protection
Fund by the Company during the year ended 31st March, 2024.
iv. (a)The Management has represented that, to the best of its knowledge and belief, no funds (which are
material either individually or in the aggregate) have been advanced or loaned or invested (either from
borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any
other person or entity, including foreign entity (“Intermediaries”), with the understanding, whether
recorded in writing or otherwise, that the Intermediary shall, whether, directly or indirectly lend or invest
in other persons or entities identified in any manner whatsoever by or on behalf of the Company
(“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate
Beneficiaries;
(b) The Management has represented, that, to the best of its knowledge and belief, no funds (which are
material either individually or in the aggregate) have been received by the Company from any person
or entity, including foreign entity (“Funding Parties”), with the understanding, whether recorded in writing
or otherwise, that the Company shall, whether, directly or indirectly, lend or invest in other persons or
entities identified In any manner whatsoever by or on behalf of the Funding Party (“Ultimate
Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;
(c) Based on the audit procedures that have been considered reasonable and appropriate in the
circumstances, nothing has come to our notice that has caused us to believe that the representations
under sub-clause (i) and (ii) of Rule 11(e), as provided under (a)and (b) above, contain any material
misstatement.
v. 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 31st March, 2024 which did not have
audit trail feature from 01st April'2023 to 07th August 2023. With effect from 08thAugust'2023 accounting
software has a feature of recording audit trail (edit log) facility and the same has operated throughout
the period from 08-08-2023 to 31-03-2024 for all relevant transactions recorded in the software. Further,
during the course of our audit we did not come across any instance of the audit trail feature being
tampered with w.e.f. 08-08-2023.
As proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 is applicable from April 1,2023, reporting
under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014 on preservation of audit trail as per the
statutory requirements for record retention is not applicable for the financial year ended 31st March, 2024.
[Also Refer Note 41.1]
vi. The Company has not paid or declared dividend during the year and until the date of this report.
Place: Bijnor (U.P.) For Jagdish Chand & Co.
Date: 04.06.2024 Chartered Accountants
ICAI Firm Regn No. 000129N
Sd/-
CA Abhinav Anand
Partner
M No. 529197
UDIN:24528197BKQFRK5157
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