INDEPENDENT AUDITOR'S REPORT

To

The Members of

The Gandhi Cooperative Urban Bank Limited

Vijayawada

 

Report on the Financial Statements:

Opinion:

We have audited the financial statements of THE GANDHI COOPERATIVE URBAN BANK LIMITED (‘’the Bank’) (Reg. No: H.948), which comprise the Balance Sheet as at 31^st March 2025, the Profit & Loss Account, the statement of cash flows, the Receipt and Payments Account for the year then ended and a summary of significant accounting policies and other explanatory information forming part of these financial statements. Incorporated in these financial statements are the returns of Head Office and Branches audited by us.

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 Banking Regulation Act, 1949 , the guidelines Issued by RBI (to the extent applicable), in the manner so required and give a true and fair view in conformity with applicable accounting standards issued by Institute of chartered accountant of India (ICAI).

1. In the case of Balance Sheet, of the state of affairs of the Bank as at 31st March, 2025,
2. In the case of Profit and Loss Account, of the Profit for the year ended on that date
3. In the case of Statement of Cash Flows, of the Cash Flows of the Bank for the year ended on that date and
4. In the case of Receipts and Payments Account 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 issued by Institute of Chartered Accountants of India (ICAI). 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 Bank 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, 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 audit opinion on the financial statements.

Management Responsibility for the Financial Statements:

Management is responsible for the preparation and fair presentation of the financial statements in accordance with the Banking Regulation Act, 1949 complying with Reserve Bank of India guidelines from time to time, applicable Accounting Standards, and for such internal controls as management determines necessary to enable the preparation of the financial statements that are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, management is responsible for assessing the Bank’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 Bank or to cease operations, or has no realistic alternative but to do so.

The Board of Directors are responsible for overseeing the Bank’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 Standards on Auditing 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 Standards on Auditing, we exercise professional judgment and maintain professional skepticism 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 control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expression of opinion on the effectiveness of the Bank’s internal controls.

• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures 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 Bank’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 Bank 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.

Report on Other Legal and Regulatory Requirements:

The Balance Sheet and the Statement of Profit and Loss have been drawn up in accordance with the Third Schedule to the Banking Regulation Act, 1949 (as applicable to Co-operative Societies / Co-operative Banks) and applicable accounting standards issued by ICAI.

 As required by sec 30(3) of the Banking Regulation Act and subject to the matters specified Basis for Opinion para above, we report that:

• We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit and have found them to be satisfactory;

• The transactions of the Bank which have come to our notice have been within the powers of the Bank;

• The returns received from the offices and branches of the Bank have been found adequate for the purpose of the audit.

• The profit and loss account shows a true balance of profit for the period.

• As per the information and explanations given to us and based on the examination of the books of accounts and other records, we have not come across material instances which need to be reported to RBI / shareholders / members.

We further report that:

• The Balance Sheet, the Profit & Loss Account, the Statement of Cash Flows and the Statement of Receipts and Payments dealt with by this Report are in agreement with the books of account;

• In our opinion proper books of account as required by law have been kept by the Bank so far as appears from our examination of those books;

• The Bank has been awarded “A” class for the year under audit.

For Garre & Co

Chartered Accountants

Firm Reg. No: 002460S

Place: Vijayawada

Date : 31-May-2025                                                              

(Raghava Gupta Garre)

Partner

Membership No. 021797

UDIN: 25021797BMHYNP2970