AUDIT CERTIFICATE To The Chief Engineer (R&B), EAP & PPP, Road Sector Project (Telangana State), Errummanzil, Hyderabad Report on the Project Financial Statements We have audited the accompanying Finanial Statements of the Road Sector Project (Telangana) financed under World Bank Cr. No. 7792 which comprise the Statement of Sources and Applications of Funds and the Reconci lation of Claims to Total Applications of Funds for the year ended 31' March, 2018 (provided in Annexure 1). These Statements are the responsibility of the Projects Management. Our responsibility is to express an opinion on the accompanying financial statements.based on our Audit. We conducted our audit in accordance with the Auditing Standards promulg ted by the Comptroller and Auditor General of India. Those Standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material mis-statement. Our audit examines, on a test basis, evidence supporting the amounts and disclosures in the financial statements. It also included assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall statement presentation. We believe that our audit provides a reasonable basis for our opinion. in our opinion, the Project Financial Statements present fairly, in all material respects, the sources and applications of funds of Road Sector Project for the ye r ended 31" March 2018 in accordance with Government of India Accounting Standards. In addition, in our opinion, (a) with respect to interim Unaudited Financial Reports (IUFRs), adequate supporting documentation has been maintained to support cl aims to the World Bank for reimbursements of expenditure incurred; and (b) except for ineligible expenditure as detailed in audit observations in Annexure 11, if Any, appended to this audit report, expenditure are eligible for financing under the Loan/Credit Agreement. During the course of the audit, IUFRs and the connected documents were examined and these can be relied upon to support reimbursement under the Loan Agreement as per Annexures ~~l& Ill. This report is issued without prejudice to Comptroller and Auditor General of lndia's right to incorporate the audit observations in the Report of Comptroller and Auditor General of India for being laid before Parliament of India/State or UT Legislature. Sr. Deputy Accountant General/ES-1 Annexure-I Statement showing the details of expenditure incurred i.e. category wise, component wise for the year 2017-18 in respect of World Bank assisted Road Sector Project (Telangana State) (Loan No.7792-IN ) -TiAwal L\ ii r \pefltdrlurc \ctul pspedlutur eenasl Ire Expenditure as Döa, lAvd n muitrd in c cmpnen\ AcVrified in audit iu Audit Rs,Rs . Rs. Ai 154915406 1ne15406 i 1000553 1\ 46433729 46433729 40732 46392997 \ 14657952 14657953 u 14657952 A4 0 0 A 5 4445000 4445000 445000 Yompofm1\ 220452087 220452087 3582058 184631502 å pÖne-1 743259 743259> 0 743259 S001951 20011951 I 10 110875 2ne 3847027 1 28470271 0 28470 7 Total 269677568 2696778 7013661 232663907 E-xpenditure1 atdmttd in (4) Component 232663907 APB C and]) A\ud it Al, 3 A4, jnk 1 n5 C and 1) audA2 20% 0 9278599 exenditure ~A5 0% tal (5) 158295327 Hank share eaimed as per (6) 1603 i c Difference in 7 -6373 Sr. DEPUTY ACCOUNTANT GENERAL/ES-1 Annexure-II Statement showing the details of disallowances made from the expenditure incurred during the year 2017-18 in respect of World Bank assisted Road Sector Project (Telangana State) (Loan No.7792-IN) S No Name ofthe Auditee Compo Amount Reasons fr disal ow ance Vn nent disalowed _____ (Rsi neligible xpn itur cmurre-d on Sh du auA 31 334853 shiiftling oft uitilies- 8 eo 2 473ý2ShrreoryfDM R__ angaR eddx___________________ Iditi,e docs not pertais to this 3C4 l l (ý076 R&13 L)I sionSddipet piole.-t lnCu iu toed Ionard,, iand I ; i 7dapalv A5 4445000 ot al _37013661 Sr. DEPUTY ACCOUNTANT GENERAL/ES-1 Annexure-Ill Statement showing the details of disallowance made from the expenditure incurred during the previous years now released during the year 2017-18 in respect of World Bank Assisted Road Sector Project (Telangana State) (Loan No.7792-IN) DS No D)stnit ( T ce Year of Amount Amount now Balance Disallowance Disalowd in alowed D,salowanc previous years (Rs amou(nt 7 ote: iheti7errification Judit for the years 2017-18 id 2)18-1 is condueced in 1arXJune 2019. ience, tie details oJ Outtanding 14isallowances for ti preious sars ..from 2008-09 to 2016-17 are wrified now i.e., in the present audit. lhe .tatemnwt showing Outstanding birallowantee now heing re1eased are em yiored with the Certification 1 uditjor ii i 0/A-19 Sr. DEPUTY ACCOUNTANT GENERAL/ES-1