Adharshila Capital Services Ltd.
|BSE: 539493||Sector: Financials|
|NSE: N.A.||ISIN Code: INE269F01012|
|BSE LIVE 09:45 | 11 Feb||Stock Is Not Traded.|
|NSE 05:30 | 01 Jan||Stock Is Not Traded.|
|BSE: 539493||Sector: Financials|
|NSE: N.A.||ISIN Code: INE269F01012|
|BSE LIVE 09:45 | 11 Feb||Stock Is Not Traded.|
|NSE 05:30 | 01 Jan||Stock Is Not Traded.|
TO THE SHAREHOLDERS OF ADHARSHILA CAPTIAL SERVICES LIMITED
Report on the Financial Statements
We have audited the accompanying financial statements of ADHARSHILA CAPTIAL SERVICESLIMITED which comprise the Balance Sheet as at March 31 2016 the Profit and LossStatement and the Cash Flow Statement for the year then ended and a summary of significantaccounting policies and other explanatory information.
Management Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Companies Act2013 ("the Act") with respect to the preparation ofthese financial statements that give a true and Fair view of the financialpositionfinancial performance and cash flows of the Company in accordance with theaccounting principles generally accepted in Indiaincluding the Accounting Standardsspecified under Section 133 of the Actread with Rule 7 of the Companies (Accounts)Rules2014.This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and designimplementation and maintenance of adequate internalfinancial controlsthat were operating effectively for ensuring the accuracy andcompleteness of the accounting recordsrelevant to the preparation and presentation of thefinancial statements that give a true and fair view and are free from materialmisstatementwhether due to fraud or error.
Our responsibility is to express an opinion on these financial statements based on ouraudit.
We have taken into account the provisions of the Actthe accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified underSection 143(10) of the Act.Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the financial statements.The procedures selected depend on theauditor's judgmentincluding the assessment of the risks of material misstatement of thefinancial statementswhether due to fraud or error.In making those risk assessmentstheauditor considers internal financial control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances.An audit also includes evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates made by the Company's Directorsas well as evaluating the overall presentationof the financial Statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
In our opinion and to the best of our information and according to the explanationsgiven to usthe financial statements give the information required by the Act in themanner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India:
a. In the case of Balance Sheetof the state of affairs of the Company as at March312016;
b. In the case of Profit and Loss Statementof the Profit for the year ended on thatdate; and
c. In the case of the Cash Flow Statementof the cash flows for the year ended on thatdate.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order2016 ("the Order")issued by the Central Government in terms of section 143(11) of the Companies Act2013wegive in the Annexure a statement on the matters specified in paragraphs 3 and 4 of theOrder.
2. As required by section 143(3) of the Actwe report that:
a. We have obtained all the information and explanations which to the best ourknowledge and belief were necessary for the purpose of our audit;
b. In our opinion proper books of account as required by law have been kept by theCompany so far as appears from our examination to those books.
c. The Balance SheetProfit and Loss Statement and Cash Flow Statement dealt with bythis Report are in agreement with the books of account.
d. In our opinionthe aforesaid financial statements comply with the AccountingStandards referred to in section 133 of the Companies Act2013 read with Rule 7 of theCompanies (Accounts) Rules2014;
e. On the basis of written representations received from the directors as on March312016and taken on record by the Board of Directorsnone of the directors isdisqualified as on March 312016 from being appointed as a director in terms of section164(2) of the Act.
f. With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules2014in our opinionand to the best of our information and according to the explanations given to us:
i. The Company does not have any pending litigations which would impact its financialpositions
ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.
iii. There were no amountswhich were required to be transferred to the InvestorEducation and Protection Fund by the Company.
3. Furtheras required by 'Non Banking Financial Companies Auditor's Report (ReserveBank) Direction2008we further state that we have submitted a separate report to theBoard of Directors of the Company on the matter specified in said directions as under: -
a) The company applied for registration as provided in section 45IA of the Reserve Bankof India Act1934 and has obtained certificate of registration from the Reserve Bank ofIndia.
b) The Company is entitled to continue to hold the Certificate of Registration in termsof its asset/ income pattern as on 31st March2016.
c) The Board of Directors of the company has passed a resolution for nonacceptance ofany public deposit.
d) The company has not accepted any public deposit during the year under reference.
e) The Company has complied with the prudential norms relating to incomerecognitionaccounting standardsassets classification and provisioning of bed anddoubtful debts as applicable to it in terms of Non-Banking Financial (Non-DepositAccepting or Holding) Companies Prudential Norms (Reserve Bank) Directions2015.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph (1) of our Report on other Legal and Regulatory requirementssection of our report of even date)
1. a.The Company has maintained proper records to show full particulars includingquantitative details and situation of its fixed assets.
b. The fixed assets of the company have been physically verified during the year by themanagement at reasonable intervals and no material discrepancies between the book recordsand the physical inventory have been noticed on such verification.
c. According to the information and explanation given to usas the Company owns noimmovable properties the requirement on reporting whether title deeds of immovableproperties held in the name of the Company is not applicable.
2. Since the company does not have any inventory information required under para 3(ii)is not being given.
3. According to the information made available to usthe company has not granted anyloansecured or unsecured to companiesfirmsLLPs or other parties covered in the registermaintained under section 189 of the Actaccordingly Para 3(iii)(a) & (c) of the Orderare not applicable to the Company.
4. On the basis of information and explanations given to usthe Company has not enteredinto transactions mentioned in section 185 and 186 of the Actaccordingly Paragraph 3(iv)of the Order is not applicable
5. On the basis of information and explanations given to us and our scrutiny ofcompany's recordsin our opinionthe company has not accepted any public deposits.
6. To the best of our knowledge and belief and according to information given tousCentral Government has not prescribed the maintenance of cost records under sub-section(1) of section 148 of the Companies Act2013 for the products of the Company.
7. (a)According to the information and explanation given to us the company is generallyregular in depositing with appropriate authorities the undisputed statutory dues includingprovident fundemployees' state insuranceincome-taxsales-taxservice taxcustomsdutyexcise dutyvalue added taxcess and any other statutory dues applicable toit.Furtherthere was no arrears of undisputed statutory dues outstanding as at 31stMarch2016 for a period of more than six month from the date they became payable.
(b)According to the information and explanations given to usthere are no tax dues ofIncome TaxSales-taxService taxCustom DutyExcise DutyValue added tax which have notbeen deposited on account of any dispute.
8. Based on our examination and according to the information and explanation givenusthe company has not borrowed from any financial intuitionsbanks or issued anydebentures.
9. The Company did not raise money by way of initial public offer or further publicoffer (including debt instruments) and term loans during the year.accordingly Paragraph3(ix) of the Order is not applicable.
10. To the best of our knowledge and belief and according to information andexplanation given to usno fraud on or by the company has been noticed or reported duringthe course of our audit for the year ended 31 March2016.
11. According to the information and explanations given to us and based on ourexamination of the records of the companythe Company has not paid/provided for managerialremunerationaccordingly Paragraph 3(xi) of the Order is not applicable.
12. In our opinion and according to the information and explanations given to ustheCompany is not a nidhi company.accordingly Paragraph 3(xii) of the Order is notapplicable.
13. According to the information and explanations given to us and based on ourexamination of the records of the companytransactions with the related parties are incompliance with sections 177 and 188 of the Act where applicable and the details have beendisclosed in the Financial Statements as required by the applicable accounting standards;
14. According to the information and explanations given to us and based on ourexamination of the records of the companythe Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year.
15. According to the information and explanations given to us and based on ourexamination of the records of the companythe company has not entered into any non-cashtransactions with directors or persons connected with him.accordingly Paragraph 3(xv) ofthe Order is not applicable.
16. The Company applied for registration as provided in section 45-IA of the ReserveBank of India Act1934 and has obtained certificate of registration from the Reserve Bankof India.
Annexure - B to the Auditors' Report
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act2013 ("the Act")
We have audited the interna! financial controls over financial reporting of ADHARSHILACAPTIAL SERVICES limited ("the Company") as of 31 March 201G in conjunction withour audit of the financial statements of The Company for the year ended on thatdate.
Management's Responsibility for Internal Financial Controls
The Company's management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls over Financial Reportingissued by the Institute of Chartered Accountants of India ('ICAI').These responsibilitiesinclude the designimplementation and maintenance of adequate internal financial controlsthat were operat ng effectively for ensuring the orderly and efficient conduct of itsbusinessincluding adherence to companys policiesthe safeguarding of its assetstheprevention and detection of frauds and errorsthe accuracy and compEeteness of theaccounting recordsand the timely preparation of reliable financial informationasrequired under the Compan ies Act2013.
Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based ori our auditWe conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls over Financial Reporting(the ''Guidance Note") and the Standards on Auditingissued by ICAI and deemed to beprescribed under section 143(10) of the Companies Act2013to the extent applicable to anaudit of internal financial controlsboth applicable to an audit of Internal FinancialControls andboth issued by the Institute of Chartered Accountants of India.ThoseStandards and the Guidance Note require that we comply with ethical requirements and planarid perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols operated effectively in all material respects.
Our audit Involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness.Our audit of internal financial controls over financial reporting includedobtaining an understanding of interna! financial controls over financialreportingassessing the risk that a material weakness existsand resting and evaluatingthe design and operating effectiveness of internal control based on the assessed risk.Theprocedures selected depend on the auditor's judgmentincluding the assessment of the risksof material misstatement of the financial statementswhether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls systemover financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A companys internal financial control over financial reporting is a processdesigned to provide reasonable assurance regarding the reliability of financial reportingand the preparation of financial statements for external purposes in accordance withgenerally accepted accounting principles.A company's internal financial control overfinancial reporting includes those policies and procedures that (l) pertain to themaintenance of records thatin reasonable detailaccurately and fairly reflect thetransactions and dispositions of the assets of the company; (2) provide reasonableassurance that transactions are fecorded as necessary to permit preparation of financialstatements in accordance with generally accepted accounting principlesand that receiptsand expenditures of the company are be^ng made only in accordance with authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorired acquisitionuseor disposition of thecompany's assets that could have a material effect on the financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting
Because of the inheren- limitations of internal financial controls over financialreportingincluding the possibility of collusion or improper management override ofcontrolsmaterial misstatements due to error or 'raud may occur and not bndetected.Alsoprojections of any evaluation of the internal financial controls overfinancial reporting to future periods are subject to the risk that the internal financialcontrol over financial reporting may become inadequate because of changes in conditionsorthat the degree of compliance with the policies or procedures may deteriorate.
In our opinionthe Company hasin all material respectsan adequate internal financialcontrols system over financial reporting and such internal financial controls overfinancial reporting were operating effectively as at 31 March 2016based on the internalcontrol over financial reporting criteria established by the Company considering theessential components of internal control stated in the Guidance Noteon Audit of InternalFinancial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.