Page 124 - Kolte Patil AR 2019-20
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          (Referred to in paragraph 1(f) under ‘Report on Other Legal and Regulatory Requirements’ section of our report of even date)
          Report on the Internal Financial Controls Over Financial Reporting under Clause (i) of Sub-section 3 of Section 143 of the Companies
          Act, 2013 (“the Act”)

          We have audited the internal financial controls over financial   of internal financial controls over financial reporting included
          reporting of Kolte-Patil Developers Limited (“the Company”) as   obtaining an understanding of internal financial controls over
          of March 31, 2020 in conjunction with our audit of the standalone   financial reporting, assessing the risk that a material weakness exists,
          Ind AS financial statements of the Company for the year ended on   and testing and evaluating the design and operating effectiveness of
          that date.                                         internal control based on the assessed risk. The procedures selected
                                                             depend on the auditor’s judgement, including the assessment
          MANAGEMENT’S RESPONSIBILITY FOR INTERNAL           of the  risks  of material misstatement  of the  financial statements,
          FINANCIAL CONTROLS                                 whether due to fraud or error.
          The Company’s management is responsible for establishing and   We believe that the audit evidence we have obtained is sufficient
          maintaining internal financial controls based on the internal control   and  appropriate  to  provide  a  basis  for  our  audit  opinion  on  the
          over financial reporting criteria established by the Company   Company’s internal financial controls system over financial reporting.
          considering  the  essential  components  of  internal  control  stated
          in the Guidance Note on Audit of Internal Financial Controls Over   MEANING OF INTERNAL FINANCIAL CONTROLS
          Financial Reporting issued by the Institute of Chartered Accountants   OVER FINANCIAL REPORTING
          of India. These responsibilities include the design, implementation   A company’s internal financial control over financial reporting is a
          and maintenance of adequate internal financial controls that were   process designed to provide reasonable assurance regarding the
          operating effectively for ensuring the orderly and efficient conduct   reliability of financial reporting and the preparation of financial
          of its business, including adherence to company’s policies, the   statements for external purposes in accordance with generally
          safeguarding of its assets, the prevention and detection of frauds   accepted accounting principles. A company’s internal financial
          and errors, the accuracy and completeness of the accounting   control over financial reporting includes those policies and
          records, and the timely preparation of reliable financial information,   procedures that (1) pertain to the maintenance of records that, in
          as required under the Companies Act, 2013.
                                                             reasonable detail, accurately and fairly reflect the transactions and
                                                             dispositions of the assets of the company; (2) provide reasonable
          AUDITOR’S RESPONSIBILITY                           assurance that transactions are recorded as necessary to permit
          Our  responsibility is  to express an  opinion  on the  Company’s   preparation of financial statements in accordance with generally
          internal financial controls over financial reporting of the Company   accepted accounting principles, and that receipts and expenditures
          based on our audit. We conducted our audit in accordance with   of the company are being made only in accordance with
          the Guidance Note on Audit of Internal Financial Controls Over   authorisations of management and directors of the company; and
          Financial Reporting (the “Guidance Note”) issued by the Institute   (3) provide  reasonable  assurance  regarding  prevention or  timely
          of Chartered Accountants of India and the Standards on Auditing   detection of unauthorised acquisition, use, or disposition of the
          prescribed  under Section 143(10) of the Companies  Act, 2013,   company’s assets that could have a material effect on the financial
          to the extent applicable to an audit of internal financial controls.   statements.
          Those Standards and the Guidance Note require that we comply
          with ethical requirements and plan and perform the audit to obtain   INHERENT LIMITATIONS OF INTERNAL FINANCIAL
          reasonable assurance about whether adequate internal financial
          controls over financial reporting was established and maintained   CONTROLS OVER FINANCIAL REPORTING
          and if such controls operated effectively in all material respects.  Because of the inherent limitations of internal financial controls over
                                                             financial reporting, including the possibility of collusion or improper
          Our audit involves performing procedures to obtain audit evidence   management override of controls, material misstatements due to
          about the adequacy of the internal financial controls system over   error or fraud may occur and not be detected. Also, projections of
          financial reporting and their operating effectiveness. Our audit   any evaluation of the internal financial controls over financial

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