To the Members of Anand Projects Limited
Report on the Financial Statements
Wc have audited the accompanying financial statements of Anand Projects Limited(the Company') which comprises the Balance Sheet as at March 31 2017 theStatement of Profit and Loss the Cash Flow Statement for the year then ended and asummary of significant accounting policies and other explanatory information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese financial statements that give a true and fair view of the financial positionfinancial performance and cash flows of the Company in accordance with the accountingprinciples generally accepted in India including the Accounting Standards specified underSection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding of the assets of the Company and for preventingand detecting frauds and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; anddesign implementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.
Our responsibility is to express an opinion on these financial statements based on ouraudit.
We have taken into account the provisions of the Act the accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made thereunder.
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 judgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error53In making those riskassessments the auditor considers internal financial control relevant to the Company'spreparation of the financial statements that give a true and fair view in order to designaudit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of the accounting policies used and the reasonableness ofthe accounting estimates made by the Company's Directors as well as evaluating theoverall presentation of 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 us the aforesaid financial statements give the information required by the Actin the manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India of the state of affairs of the Company as at March31 2017 i:s profit and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order 2016 ("the Order")issued by the Central Government of India in terms of sub-section (11) of section 143 ofthe Act we give in the Annexure A' a statement on the matters specified inparagraph 3 and 4 of the Order.
2. As required by Section 143(3) of the Act we report that:
a) We have sought and obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purposes of our audit;
b) In our opinion proper books of account as required by law have been kept by theCompany so far as it appears from our examination of those books.
c) The Balance Sheet the Statement of Profit and Loss and the Cash Flow Statementdealt with by this Report are in agreement with the books of account.
d) In our opinion the aforesaid financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014.
e) On the basis of the written representations received Rom the directors as on March.31 2017 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2017 from being appointed as a director in terms of Section 164 (2) of theAct.
f) With respect to the adequacy of the internal financial controls over financialreporting of the Company and the f>erating effectiveness of such controls refer toour separate Report in "Annexure B".
g) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinionand to the best of our information and according to the explanations given to us;
i. The Company has disclosed the impact of pending litigations on its financialposition in its financial statements - Refer Note 21 to the financial statements
ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.
iii. There were no amounts which were required to be transfened to the InvestorEducation and Protection Fund by the Company.
iv. The Company has provided requisite disclosures in its financial statements as toholdings as well as dealings in Specified Bank Notes during the period from November 82016 to December 30 2016 and these are in accordance with the books of accountsmaintained by the Company.
For R.S. Dani & Company
ICAI Firm registration number: 000243C
Membership No.: 072229
Date: May 29 2017
Annexure referred to in paragraph 1 under the heading "Report on other legal andregulatory requirements" of our report of even date
(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) As explained to us all the fixed assets have been physically verified by themanagement in a phased periodical manner which in our opinion is reasonable havingregards to the size of the Company and nature of its assets. No materia discrepancies werenoticed on such physical verification.
(c) Based upon the audit procedure performed and according to the records of theCompany there is no immovable property held by the Company. Accordingly th^ provisionsof clause 3(i) (c) of the Order is not applicable to the Company and henc^ not commentedupon.
(ii) As explained to us the management has conducted physical verification ofinventory at reasonable intervals during the year and no material discrepancies werenoticed on such physical verification.
(iii) (a) According to the information and explanations given to us the Company hasno; granted any loans secured or unsecured to the companies films limited liabilitypartnership or other parties covered in the register maintained under section 189 of theAct. Accordingly the provisions of clause 3(iii)(a) to 3(iii)(c) of the Order are notapplicable to the Company and hence not commented upon.
(iv) In our opinion and according to the information and explanations given to usprovisions of section 186 of the Act in respect of loans and advances given investmentsmade and guarantees and securities given have been complied with by the company.Further the Company has not granted any loan to directors or any entity in whichdirectors are interested to which provisions of section 185 of the Ac ; apply and hencenot commented upon.
(v) According to the infoimation and explanations given to us the company has no;accepted any deposit from the public within the meaning of section 73 to 76 of the Act andthe rules framed thereunder. Therefore the provision of clause 3(v) of the Order is notapplicable to the Company.
(vi) To the best of our knowledge and as explained the Central Government has no;specified the maintenance of cost records under clause 148(1) of the Act for theproducts/services of the Company.
(vii) (a) According to the records of the Company the Company is generally regular indepositing with appropriate authorities undisputed statutory dues including Income- taxSales-tax Wealth tax. Service tax. Customs duty. Excise duty Value Added tax cess andother material statutory dues applicable to it.
According to the information and explanations given to us no undisputed amountspayable in respect of Income-tax Sendee tax Salcs-tax Customs duty. Excise duty Valueadded tax Cess and other material statutory dues were outstanding at the year end for aperiod of more than six months from the date they became payable.
(b) According to the information and explanations given to us there are no dues ofSales tax Income tax Custom duty Wealth tax Excise duty Value added tax and Cess thathave not been deposited on account of any dispute except the case mentioned below :
|Name of Statute ||Nature of the Dues ||Amount (Rs.) ||Period for which the amount relates ||Forum where the dispute is pending |
|Income Tax Act 1961 ||Income tax Demand ||110486630/- ||A.Y. 2012-13 ||C1T (A) Mumbai |
|Finance Act 1994 ||Service tax Demand ||9158691/- ||F.Y. 2011-12 ||Commissioner (Appeal) Central Excise & Service Tax Kanpur |
(viii) Based on our audit procedures performed for the purpose of reporting the timeand fair view of the financial statements and according to information and explanationsgiven by the management we are of the opinion that the Company has not taken any loanfrom bank or financial institution or Government and has not obtained any borrowings byway of debentures. Accordingly the provision of clause 3(viii) of the Order is notapplicable to the Company and hence not commented upon.
(ix) Based on our audit procedures performed for the purpose of reporting the true and
fair view of the financial statements and according to the information and
explanations given by the management and on an overall examination of the balancesheet we report that the Company has not raised any money way of initial public offer /further public offer / debt instruments and term loans hence reporting under clause 3(ix)of the Order is not applicable to the Company hence not commented upon.
(x) Based upon the audit procedures performed for the purpose of reporting the true andfair view of the financial statements and according to the information and explanationsgiven by the management we report that no fraud on or by the officers and employees ofthe Company has been noticed or reported during the year.
(xi) Based on our audit procedures performed for the purpose of reporting the true andfair view of the financial statements and according to the information and explanationsgiven by the management we report that the managerial remuneration has been paid inaccordance with the requisite approvals mandated by the provisions of section 197 readwith Schedule V to the Act.
(xii) In our opinion the Company is not a chit fund or a nidhi / mutual benefit Hind /society. Therefore the provisions of clause 3 (xii) of the Order are not applicable tothe Company and hence not commented upon.
(xiii) Based on our audit procedures performed for the purpose of reporting the trueand fair view of the financial statements and according to the information andexplanations given by the management transactions with the related parties are incompliance with section 177 and 188 of the Act where applicable and the details have beendisclosed in the notes to the financial statements as required by the applicableaccounting standards.
(xiv) According to the information and explanations given to us and on an overallexamination of the balance sheet the Company has not made any preferential allotment orprivate placement of shares or fully or partly convertible debentures during the year andhence not commented upon.
(xv) Based on our audit procedures performed for the purpose of reporting the true and
fair view of the financial statements and according to the information ana explanationsgiven by the management we report that the Company has not entered into any non-cashtransactions with directors or persons connected with him.
(xvi) According to the information and explanations given to us the provisions ofsection 45-1A of the Reserve Bank of India Act 1934 are not applicable to the Company.
For R.S. Dani & Company
TCAI Firm registration number: 000243C
Membership No.: 072229
Date: May 29 2017