(To be issued on the Letterhead of Chartered Accountant)
Ref. No.: ____________
Date: _______________
To,
The Branch Manager
______________________________ Bank
Branch: _______________________
Subject: Certification of Stock Statement
We have examined the stock statement of M/s ____________________________ (“the Borrower”), having its registered office at ____________________________________________, submitted to us for the purpose of certification in connection with the credit facilities sanctioned by your bank.
The details of the credit facilities are as under:
| Particulars | Details |
| Nature of Facility | Cash Credit / Working Capital / Others |
| Sanction Letter No. & Date | __________________ |
| Sanctioned Limit | Rs. __________________ |
| Stock Statement Date | ____ / ____ / ______ |
Management’s Responsibility
The preparation and maintenance of stock records, inventory valuation and submission of stock statements to the bank are the responsibility of the management of the entity.
Our Responsibility
Our responsibility is to verify the stock statement based on the books of account, stock records and other documents and information produced before us and issue this certificate.
Based on our verification of the books of account, stock registers, inventory records, purchase invoices, valuation records and other relevant documents and according to the information and explanations provided to us, we certify that:
- The stock statement as at ____ / ____ / ______ submitted by the borrower reflects the quantity and value of stock held as per the records produced before us.
- The value of inventory amounting to Rs. __________________ has been arrived at in accordance with the accounting policy consistently followed by the entity.
- The stock hypothecated / charged to the bank consists of raw materials, work-in-progress, finished goods, stores & spares and other eligible current assets as detailed below:
| Particulars | Amount (Rs.) |
| Raw Materials | __________ |
| Work-in-Progress | __________ |
| Finished Goods | __________ |
| Stores & Spares | __________ |
| Receivables (if applicable) | __________ |
| Total | __________ |
- Based on our examination, no material discrepancy has been noticed between the stock records and the stock statement furnished to the bank, subject to physical verification not being conducted by us unless specifically stated.
- This certificate is based on the records, documents and explanations made available to us and has not involved independent physical verification of stock unless otherwise specifically mentioned.
This certificate is issued at the specific request of the borrower for submission to __________________ Bank in connection with monitoring of working capital facilities and should not be used for any other purpose without our prior written consent.
This certificate has been issued in accordance with the Guidance Note on Reports or Certificates for Special Purposes issued by the Institute of Chartered Accountants of India.
For __________________ & Co.
Chartered Accountants
Firm Registration No.: ______________
Signature: _______________________
Name of Chartered Accountant: _______________________
Membership No.: _______________________
UDIN: _______________________
Place: _______________________
Date: _______________________
