Page 82 - Tata_Chemicals_yearly-reports-2021-22

Integrated Annual Report 2021-22

The annual accounts of the subsidiaries and related detailed 20. Internal Financial Controls
information will be made available to investors seeking Internal financial control systems of the Company are
information till the date of the AGM. They are also available on commensurate with its size and the nature of its operations.
the website of the Company at https://www.tatachemicals. These have been designed to provide reasonable assurance
com/investors/agm-documents. with regard to recording and providing reliable financial
and operational information, complying with applicable
19. Subsidiary Companies, Joint Ventures and accounting standards and relevant statutes, safeguarding
Associate assets from unauthorised use, executing transactions with
As on March 31, 2022, the Company had 28 (direct and proper authorisation and ensuring compliance of corporate
indirect) Subsidiaries (2 in India and 26 overseas), 3 Joint policies. The Company has a well-defined delegation of
Ventures (‘JV’) and 1 Associate. There has been no material authority with specified limits for approval of expenditure,
change in the nature of the business of the subsidiaries. both capital and revenue. The Company uses an established
Enterprise Resource Planning (ERP) system to record day-to-
The changes pertaining to Subsidiaries, JVs and Associate
during the year are as under: day transactions for accounting and financial reporting.
1. Following wholly-owned step-down subsidiaries of The Audit Committee deliberated with the members of
the Company which were dormant in nature have the Management, considered the systems as laid down
dissolved and accordingly ceased to be subsidiaries and met the internal audit team and statutory auditors to
with effect from the dates given below: ascertain their views on the internal financial control systems.
The Audit Committee satisfied itself as to the adequacy
- NHO Canada Holdings Inc. effective August 30, and effectiveness of the internal financial control systems
2021
as laid down and kept the Board of Directors informed.
- General Chemical International, Inc. effective However, the Company recognises that no matter how
August 30, 2021 the internal control framework is, it has inherent limitations
- Irish Feeds Limited effective September 14, 2021 and accordingly, periodic audits and reviews ensure that
such systems are updated on regular intervals.
- TCNA (UK) Limited effective November 30, 2021
Details of internal control system are given in the
2. PT Metahelix Lifesciences Indonesia, a subsidiary of
Rallis, received approval for the cancellation of its Management Discussion & Analysis which forms part of this
Tax Identification Number on March 23, 2022 and Integrated Annual Report.
accordingly ceased to be a subsidiary of the Company 21. Directors’ Responsibility Statement
with effect from such date.
Based on the framework of internal financial controls and
3. The name of Tata Chemicals Africa Holdings compliance systems established and maintained by the
Limited, subsidiary of the Company was changed to Company, work performed by the internal, statutory, cost
TC Africa Holdings Limited effective October 11, 2021. and secretarial auditors and external consultant(s), including
4. Tata Chemicals International Pte. Ltd.’s (‘TCIPL’, subsidiary audit of internal financial controls over financial reporting
of the Company) holding in JOil (S) Pte. Ltd., JV reduced by the statutory auditors and the reviews performed by the
from 33.78% to 17.07% and consequently JOil has Management and the relevant Board Committees, including
been classified as an associate of TCIPL and that of the the Audit Committee, the Board is of the opinion that the
Company with effect from September 21, 2021. Company’s internal financial controls were adequate and
effective during FY 2021-22.
Pursuant to SEBI (Listing Obligations and Disclosure
Requirements) (Second Amendment) Regulations, 2021, Accordingly, pursuant to Sections 134(3)(c) and 134(5) of
the Company’s Policy on determining material subsidiaries the Act, the Directors, to the best of their knowledge
was amended during the year and the same is uploaded on and ability, confirm that for the year ended March 31, 2022:
the Company’s website at https://www.tatachemicals.com/ a) in the preparation of the annual accounts, the
policy-on-determining-material-subsidiaries.pdf. applicable accounting standards have been followed
and that there are no material departures;
A report on the financial position of each of the subsidiaries,
joint ventures and associate as per Section 129(3) of the b) they have selected such accounting policies and
Act is provided in Form No. AOC-1 enclosed to the Financial applied them consistently and made judgements and
Statements. estimates that are reasonable and prudent so as to

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