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Anshus Clothing Ltd.

BSE: 534707 Sector: Industrials
NSE: N.A. ISIN Code: INE636N01016
BSE LIVE 15:15 | 21 Apr 1.08 -0.07
(-6.09%)
OPEN

1.10

HIGH

1.10

LOW

1.07

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 1.10
PREVIOUS CLOSE 1.15
VOLUME 123261
52-Week high 11.04
52-Week low 1.07
P/E
Mkt Cap.(Rs cr) 1.35
Buy Price 1.08
Buy Qty 7460.00
Sell Price 1.10
Sell Qty 33000.00
OPEN 1.10
CLOSE 1.15
VOLUME 123261
52-Week high 11.04
52-Week low 1.07
P/E
Mkt Cap.(Rs cr) 1.35
Buy Price 1.08
Buy Qty 7460.00
Sell Price 1.10
Sell Qty 33000.00

Anshus Clothing Ltd. (ANSHUSCLOTHING) - Auditors Report

Company auditors report

To the Members of Anshu's Clothing Limited

Report on the Financial Statements:

We have audited the accompanying financial statements of M/s. Anshu's Clothing Limited (the Company) which comprise the Balance Sheet as at 31st March 2016 the Statement of Profit and Loss the Cash Flow Statement for the year then ended and a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Financial Statements:

The Company's Board of Directors are responsible for the matters stated in Section 134(5) of the Companies Act 2013 (`the Act') with respect to the preparation of these financial statements that give a true and fair view of the financial position financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India including the Accounting Standards specified under Section 133 of the Act read with rule 7 of Companies (Accounts) Rules 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement whether due to fraud or error.

Auditor's Responsibility:

Our responsibility is to express an opinion on these financial statements based on our audit. We have taken into account the provisions of the Act the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor's judgment including the assessment of the risks of material misstatement of the financial statements whether due to fraud or error. In making those risk assessments the auditor considers internal financial control relevant to the Company's preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by the Company's Directors as well as evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial statements.

Basis of Qualified Opinion:-

Attention is drawn to:

A) In respect of balances of receivables and payables confirmation and reconciliation is unsecured and doubtful. Impact is uncertain and cannot be commented by us. For receivables considered doubtful and no provision has been created in the books of accounts.

B) Claims & Discounts payable to the debtors/creditors are subject to confirmations adjustments and realization are not ascertained.

C) Valuation and verification of inventories is as taken valued and certified by the management the impact of any variation on the statement of Profit and Loss and state of affairs not being ascertained.

Qualified Opinion:

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 Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India of the state of affairs of the Company as at 31st March 2016 and its profit/loss 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 of the Act we give in the Annexure a statement on the matters specified in paragraphs 3 and 4 of the Order.

2 As required by section 143(3) of the Act we report that: a) Except as stated in under the head Basis of Qualified Report 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.

b) In our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.

c) The Balance Sheet Statement of Profit and Loss and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.

d) In our opinion the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014.

e) On the basis of written representations received from the directors as on 31st March 2016 taken on record by the Board of Directors none of the directors are disqualified as on 31st March 2016 from being appointed as a director in terms of Section 164(2) of the Act.

f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls refer to our separate Report in Annexure A.

g) With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 in our opinion and to the best of our information and according to the explanations given to us:

i. The Company does not have any pending litigations as on 31st March 2016 which would impact its financial position.

ii. The Company did not have any long-term contracts including derivative contracts as at 31st March 2016.

iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company during the year ended 31st Mach 2016.

Annexure referred to in paragraph `Report on Other Legal and Regulatory Requirements' of our report of even date

Re: Anshu's Clothing Limited (the Company)

(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.

(b)The fixed assets of the Company have not been physically verified by the Management during the year. Accordingly the discrepancies if any could not be ascertained and therefore we are unable to comment on whether the discrepancies if any have been properly dealt with in the books of account.

(c) The title deeds of immovable properties as disclosed in note 11 on fixed assets to the financial statements are held in the name of the Company.

(ii) No physical verification of inventory has been conducted by the Management during the year.

(iii) According to the information and explanations given to us the Company has not granted any loans secured or unsecured to companies firms Limited Liability Partnerships or other parties covered in the register maintained under Section189 of the Companies Act 2013. Accordingly the provisions of clause 3(iii) (a) to (c) of the Order are not applicable to the Company and hence not commented upon.

(iv) In our opinion and according to the information and explanations given to us there are no loans investments guarantees and securities granted in respect of which provisions of Section 185 and 186 of the Companies Act 2013 are applicable and hence not commented upon.

(v) The Company has not accepted any deposits from the public.

(vi) We have broadly reviewed the books of account maintained by the Company pursuant to the rules made by the Central Government for the maintenance of cost records under Section 148(1) of the Companies Act 2013 related to the manufacture of products and are of the opinion that prima facie the prescribed accounts and records have been made and maintained. We have not however made a detailed examination of the same.

(vii) (a) According to the records of the Company the company is not regular in depositing amount payable on account of undisputed statutory dues including provident fund sales tax and other statutory dues with appropriate authorities.

(b) According to the information and explanations given to us undisputed dues in respect of provident fund value added tax professional tax which were outstanding at the year end for a period of more than six months from the date they became payable are of Rs. 11.60 lacs.

(c) According to the information and explanations given to us there are no dues of income tax sales-tax wealth tax service tax customs duty excise duty value added tax and cess which have not been deposited on account of any dispute.

(viii)According to the records of the Company examined by us and the information and explanations given to us except for loans or borrowings from Bank of Baroda Barclays Finance ltd Magma Fincrop Ltd & Religare Finvest Ltd for the period from 1st April 2015 to 31st March 2016 aggregating Rs. 947.27 lacs. The company does not have provisions of interest payable to bank/NBFC amounting to Rs. 143.98 lacs approx in view of default.

(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 we report that the Company has not raised any money by way of initial public offer or further public offer (including debt instruments).

(x) Based upon the 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 we report that no fraud on or by the officers and employees of the Company has been noticed or reported during the year.

(xi) 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 we report that the managerial remuneration has been paid / provided as per the provisions of Section197 read with Schedule V to the Companies Act 2013.

(xii) In our opinion the Company is not a Nidhi company. Therefore the provisions of clause 3(xii) of the Order are not applicable to the Company and hence not commented upon.

(xiii)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 we report that transactions with related parties are in compliance with the provisions of Section 177 & 188 of the Companies Act 2013 wherever applicable.

However all the transactions with related parties have been disclosed in the Financial Statements as required by applicable accounting standards.

(xiv)According to the information and explanations given to us and on an overall examination of the balance sheet the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review and hence 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 and explanations given by the management the Company has not entered into any non-cash transactions with directors or persons connected with him.

(xvi) According to the information and explanations given to us the provisions of Section 45IA of the Reserve Bank of India Act 1934 are not applicable to the Company.

ANNEXURE `A' TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THE FINANCIAL STATEMENTS OF ANSHU'S CLOTHING LIMTED

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013 (the Act)

To the Members of ANSHU'S CLOTHING Limited we have audited the internal financial controls over financial reporting of Anshu's Clothing Limited (the Company) as of March 31 2016 in conjunction with our audit of the financial statements of the Company for the year ended on that date.

Management's Responsibility for Internal Financial Controls

The Company's Management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business including adherence to the Company's policies the safeguarding of its assets the prevention and detection of frauds and errors the accuracy and completeness of the accounting records and the timely preparation of reliable financial information as required under the Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the Guidance Note) and the Standards on Auditing as specified under Section 143(10) of the Companies Act 2013 to the extent applicable to an audit of internal financial controls both applicable to an audit of Internal Financial Controls and both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting assessing the risk that a material weakness exists and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor's judgement including the assessment of the risks of material misstatement of the financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the internal financial control system over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A Company's internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A Company's internal financial control over financial reporting includes those policies and procedures that (1) pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the Company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and (3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition use or disposition of the Company's assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting including the possibility of collusion or improper management override of controls material misstatements due to error or fraud may occur and not be detected. Also projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at Marchb312016 based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.

For S Kansal & Associates
Chartered Accountants
(Firm Regn. No. 134937W)
Sachin Kansal
Place : Ahmadabad(Proprietor)
Date : 3rd Sept 2016Membership No. 137191