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Archies Ltd.

BSE: 532212 Sector: Others
NSE: ARCHIES ISIN Code: INE731A01020
BSE LIVE 15:51 | 24 May 28.20 -0.80
(-2.76%)
OPEN

28.95

HIGH

29.30

LOW

28.05

NSE 15:31 | 24 May 28.05 -0.80
(-2.77%)
OPEN

28.80

HIGH

29.15

LOW

27.80

OPEN 28.95
PREVIOUS CLOSE 29.00
VOLUME 29192
52-Week high 40.10
52-Week low 20.05
P/E
Mkt Cap.(Rs cr) 95
Buy Price 28.20
Buy Qty 402.00
Sell Price 0.00
Sell Qty 0.00
OPEN 28.95
CLOSE 29.00
VOLUME 29192
52-Week high 40.10
52-Week low 20.05
P/E
Mkt Cap.(Rs cr) 95
Buy Price 28.20
Buy Qty 402.00
Sell Price 0.00
Sell Qty 0.00

Archies Ltd. (ARCHIES) - Auditors Report

Company auditors report

To The Members of ARCHIES LIMITED

Report on the Financial Statements

We have audited the accompanying financial statements of ARCHIES LIMITED ("theCompany") which comprise the Balance Sheet as at 31 March 2016 the Statement ofProfit and Loss the Cash Flow Statement for the year then ended and a summary of thesignificant accounting policies and other explanatory information incorporating theBranch Auditors' Report of Mumbai Pune Goa Indore Ahmedabad Chennai ChandigarhHyderabad Ludhiana Kolkata Bhubaneswar Ernakulam and Bangalore Branches.

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 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.

Auditors' Responsibility

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 anddisclosures in the financial statements. The procedures selected depend on the auditors'judgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders 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 Company's Directors as well as evaluating the overall presentation ofthe 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. Opinion

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 31March 2016 and its 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 "Annexure-A" a statement on the matters specified inparagraphs 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 and proper returnsadequate for the purposes of our audit have been received from the branches not visited byus;

(c) The reports on the accounts of the branch offices of the Company audited underSection 143 (8) of the Act by branch auditors have been sent to us and have been properlydealt with by us in preparing this report;

(d) 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 and with the returnsreceived from the branches not visited by us;

(e) 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;

(f) On the basis of the written representations received from the directors as on 31March 2016 taken on record by the Board of Directors none of the directors isdisqualified as on 31 March 2016 from being appointed as a director in terms of Section164(2) of the Act;

(g) With respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating effectiveness of such controls refer to ourseparate Report in "Annexure-B";

(h) With respect to the other matters to be included in the Auditors' 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 as at 31 March 2016 onits financial position in its financial statements-Refer Note 28 to the financialstatements;

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 transferred to the InvestorEducation and Protection Fund by the Company.

For UBEROI SOOD & KAPOOR
CHARTERED ACCOUNTANTS
(Firm Registration No. 001462N)
S.D. SHARMA
Place: New Delhi PARTNER
Date: 23 May 2016 (Membership No. 80399)

ANNEXURE-ATOTHE INDEPENDENT AUDITORS' REPORT

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) All the fixed assets have been physically verified by the management during theyear. There is a regular programme of verification which in our opinion is reasonablehaving regard to the size of the company and nature of its fixed assets. No materialdiscrepancies were noticed on such verification.

(c) According to our examination of the books and records of the Company and theinformation and explanations given to us the title deeds of immovable properties are heldin the name of the Company.

ii. The inventory has been physically verified by the management at reasonableintervals. The discrepancies noticed on verification between the physical stocks and bookrecords were not material.

iii. The Company has not granted any loans secured or unsecured to companies firmsLimited Liability Partnership or other parties covered in the register maintained undersection 189 of the Act. Accordingly paragraph 3(iii) of the order is not applicable.

iv. The Company has not entered into any transaction in respect of loans investmentsguarantee and security to which the provisions of Section 185 and 186 of the Act wouldapply.

v. The company has not accepted any deposits from the public to which the provisions ofsection 73 to 76 or any other relevant provisions of the Act and the rules framedthereunder would apply.

vi. The Central Government has not prescribed maintenance of cost records under section148 (1) of the Act in respect of the products of the company.

vii. (a) According to the records of the company the company is regular in depositingwith appropriate authorities undisputed statutory dues including provident fundemployees' state insurance income tax sales tax service tax duty of customs duty ofexcise value added tax cess and any other statutory dues applicable to it except in fewcases where there is a delay in deposit. According to the information and explanationsgiven to us no undisputed amounts payable in respect of provident fund employees' stateinsurance income tax sales tax service tax duty of customs duty of excise valueadded tax cess and any other statutory dues applicable to it were outstanding as at 31March 2016 for a period of more than six months from the date they became payable; exceptan amount for Rs. 9.33 Lacs payable towards Entry tax at Kolkata Branch as this matter issub-judice before the Hon'ble Calcutta High Court for striking down such tax.

(b) According to the records of the company there are no dues of income tax salestax service tax duty of customs duty of excise value added tax which have not beendeposited with the appropriate authorities on account of any dispute except thefollowing:-

Nature of the Statutory Dues Amount (Rs. in Lacs) Period to which the amount relates Forum where the dispute is pending
Income Tax 340.27 Block Period Ending 31.3.2000 High Court Delhi
VAT 2.43 Financial year 2009-10 and 2012-13 Department of Commercial Taxes Ernakulam

viii. The company has not defaulted in repayment of loans or borrowings to any bank.

ix. According to the information and explanations given to us on an overall basis theterm loans have been applied for the purpose for which they were raised.

x. During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstance of fraud on or by the Company by its officers or employees noticed or reportedduring the year nor have we been informed of such case by the Management.

xi. According to our examination of the books and records of the Company and theinformation and explanations given to us the Company has paid/ provided for managerialremuneration in accordance with the requisite approvals mandated by the provisions ofsection 197 read with Schedule V to the Act.

xii. According to the information and explanations given to us the Company is not anidhi company.

xiii. According to our examination of the books and records of the Company and theinformation and explanations given to us transactions with the related parties are incompliance with Section 177 and 188 of the Act where applicable and the details of suchtransactions have been disclosed in Note 34 to the Financial Statements as required by theAccounting Standard 18 specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014.

xiv. The Company has not made any preferential allotment or private placement of sharesor fully or partly convertible debentures during the year.

xv. According to our examination of the books and records of the Company and theinformation and explanations given to us the Company has not entered into non-cashtransactions with directors or persons connected with him.

xvi. The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.

For UBEROI SOOD & KAPOOR
CHARTERED ACCOUNTANTS
(Firm Registration No. 001462N)
S.D. SHARMA
Place: New Delhi PARTNER
Date: 23 May 2016 (Membership No. 80399)

ANNEXURE-BTOTHE INDEPENDENT AUDITORS' REPORT

Annexure referred to in paragraph 2(g) under the heading "Report on Other Legaland Regulatory Requirements" of our report of even date Report on the InternalFinancial Controls under Clause (i) of Sub-section 3 of Section 143 of the Act.

We have audited the internal financial controls over financial reporting of the Companyas of 31 March 2016 in conjunction with our audit of the financial statements of theCompany for the year ended on that date.

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 Reporting (the"Guidance Note") issued by the Institute of Chartered Accountants of India("the ICAI"). These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business including adherence tocompany's policies the safeguarding of its assets the prevention and detection of fraudsand errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Act.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note and the Standards on Auditing both issued by ICAI and deemed to beprescribed under section 143(10) of the Act to the extent applicable to an audit ofinternal financial controls. Those Standards and the Guidance Note require that we complywith ethical requirements and plan and perform the audit to obtain reasonable assuranceabout whether adequate internal financial controls over financial reporting wasestablished and maintained and if such controls operated effectively in all materialrespects.

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 internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgment including the assessment of the risks ofmaterial misstatement of the financial statements whether 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 company's internal financial control over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of financial statements for external purposes in accordance with generallyaccepted accounting principles. A company's internal financial control over financialreporting includes those policies and procedures that (1) pertain to the maintenance ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the company are being made only in accordance with authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised acquisition use or 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 inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.Also projections of any evaluation of the internal financial controls over financialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at 31 March 2016 based on theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note.

For UBEROI SOOD & KAPOOR
CHARTERED ACCOUNTANTS
(Firm Registration No. 001462N)
S.D. SHARMA
Place: New Delhi PARTNER
Date: 23 May 2016 (Membership No. 80399)