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Integrated Annual Report 2020-21

Annexure A to the Independent Auditors’ report

on the Consolidated Financial Statements of Tata

Chemicals Limited for the year ended March 31, 2021

Report on the internal financial controls with timely preparation of reliable financial information, as required
reference to the aforesaid Consolidated Financial under the Companies Act, 2013 (hereinafter referred to as “the
Statements under Clause (i) of Sub-section 3 of Act”).
Section 143 of the Companies Act, 2013
(Referred to in paragraph (f) under ‘Report on Other Legal and Auditors’ Responsibility
Regulatory Requirements’ section of our report of even date) Our responsibility is to express an opinion on the internal financial
controls with reference to Consolidated Financial Statements
Opinion based on our audit. We conducted our audit in accordance with the
Guidance Note and the Standards on Auditing, prescribed under
We have audited the internal financial controls with reference Section 143(10) of the Act, to the extent applicable to an audit of
to Consolidated Financial Statements of Tata Chemicals Limited internal financial controls with reference to Consolidated Financial
(hereinafter referred to as “the Holding Company”) and such Statements. Those Standards and the Guidance Note require that
companies incorporated in India under the Companies Act, 2013 we comply with ethical requirements and plan and perform the
which are its subsidiary companies and its joint ventures as of audit to obtain reasonable assurance about whether adequate
March 31, 2021 in conjunction with our audit of the Consolidated internal financial controls with reference to Consolidated Financial
Financial Statements of the Holding Company for the year ended Statements were established and maintained and whether such
on that date.
controls operated effectively in all material respects.
In our opinion, the Holding Company and such companies
incorporated in India which are its subsidiary companies and joint Our audit involves performing procedures to obtain audit
ventures have, in all material respects, adequate internal financial evidence about the adequacy of the internal financial controls
controls with reference to Consolidated Financial Statements with reference to Consolidated Financial Statements and their
and such internal financial controls were operating effectively as operating effectiveness. Our audit of internal financial controls
at March 31, 2021, based on the internal financial controls with with reference to Consolidated Financial Statements included
reference to Consolidated Financial Statements criteria established obtaining an understanding of such internal financial controls,
assessing the risk that a material weakness exists, and testing
by such companies considering the essential components of and evaluating the design and operating effectiveness of internal
internal control stated in the Guidance Note on Audit of Internal control based on the assessed risk. The procedures selected
Financial Controls Over Financial Reporting issued by the Institute depend on the auditor’s judgment, including the assessment of
of Chartered Accountants of India (the “Guidance Note”).
the risks of material misstatement of the Consolidated Financial
Management’s Responsibility for Internal Statements, whether due to fraud or error.
Financial Controls We believe that the audit evidence we have obtained is sufficient
The respective company’s management and the Board of Directors and appropriate to provide a basis for our audit opinion on the
are responsible for establishing and maintaining internal financial internal financial controls with reference to Consolidated Financial
controls based on the internal financial controls with reference Statements.
to Consolidated Financial Statements criteria established by the
respective companies considering the essential components of Meaning of Internal Financial controls with
internal control stated in the Guidance Note. These responsibilities Reference to Consolidated Financial Statements
include the design, implementation and maintenance of adequate A company’s internal financial controls with reference to
internal financial controls that were operating effectively for Consolidated Financial Statements is a process designed
ensuring the orderly and efficient conduct of its business, including to provide reasonable assurance regarding the reliability of
adherence to respective company’s policies, the safeguarding of financial reporting and the preparation of Consolidated Financial
its assets, the prevention and detection of frauds and errors, the Statements for external purposes in accordance with generally
accuracy and completeness of the accounting records, and the accepted accounting principles. A company’s internal financial

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