TO THE MEMBERS OFBALURGHAT TECHNOLOGIESLIMITED
Report on the Financial Statements
1.We have audited the accompanying financial statements of Balurghat TechnologiesLimited ("the Company") which comprise the Balance Sheet as at March 312017the statement of Profit and Loss the Cash Flow Statement for the year then ended anda summary of the significant accounting policies and other explanatory information.
2.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 preparationof these financial statements to give a true and fair view of the financial positionfinancial performance and cash flows to the company in accordance with the accountingprinciples generally accepted in India including the Accounting Standards specified under133 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 judgements 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 accounting recordsrelevant to the preparation and presentation of the financial statements that give a trueand fair view and are free from material misstatement whether due to fraud or error.
3. Our responsibility is to express an opinion on these financial statements basedon our audit
4. We have taken into account the provisions of the Act and the Accounting andAuditing standards and matters which are required to included in the audit report underthe provisions of the Act and the Rules made there under.
5. We conducted our audit in accordance with the Standards on Auditing issued bythe Institute of Chartered Accountants Of India as specified under Section 143 (10) of theAct . Those standards and pronouncements require that we comply with the ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.
6. An Audit involves performing procedures to obtain audit evidence about the amountsand the disclosures in the financial statements. The procedures selected depend on theauditor's judgement including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error .In making those risks assessments theauditor 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 Directors as well as evaluating the overall presentationof the financial statements.
7.We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
8. 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 state of affairs of the Company as at March 312017 and its profit and its Cash Flows for the year ended on that date .
9.As required by the Companies (Auditor's Report ) Order 2016 issued by the CentralGovernment of India in terms of sub-section (11) of Section of Section 143 of the Act (hereinafter referred to as the Order") and on the basis of such checks of the booksand records of the Company as we considered appropriate and according to the informationand explanations given to us we give in the Annexure a statement on the mattersspecified in Paragraphs 3 and 4 of the Order .
10. 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 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 itappears from our examination of those books.. c. The Balance Sheet the Statement ofProfit and Loss and the Cash Flow Statement dealt with by this Report are in agreementwith the books of account. d. In our opinion the aforesaid financial statements complywith the Accounting Standards specified under section 133of the Act read with rule 7 ofthe Companies (Accounts) Rules 2014. e. On the basis of the written representationsreceived from the directors as on March 31 2017 taken on record by the Board none of thedirectors is disqualified as on 31st March2017 from being appointed as a Director interms of Section 164 (2) of the Act. f.. With respect to the other matters to be includedin the Auditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors )Rules 2014 in our opinion and to the best to our knowledge and according to theinformation and explanations given to us :
1. The Company has disclosed the impact if any of litigations as at March 31 2017 onits financial statements .
2 The Company has no long term contracts as at 31 March 2017.
3.There is no such requirement of transferring funds to Investor Protection Fund duringthe Year ended March 31 2017 4. As far as our knowledge and information provided by theCompany it has provided adequate disclosure in its financial statements to holding aswell as dealings in specified Bank notes during the period from 8 th November to 30 thDecember 2016.Further it may be added that such disclosures are in accordance with theBook of Accounts of the Company. Refer Note 24 to the Financial Statement.
(Annexure of the Independent Auditor's Report of even date to the Members of BalurghatTechnologies Limited on the financial statements as of and for the year ended March 312017)
i) In respect of its fixed assets : a) The Company is maintaining proper recordsshowing full particulars including quantitative details and situation of fixed assets.
(b) The fixed assets are physically verified by the Management according to a phasedprogramme designed to cover all items over a period of three years which in our opinionis reasonable having regard to the size of the company and the nature of its assets.Pursuant to the programme a portion of the fixed assets has been physically verified bythe Management during the year and no material discrepancies have been noticed on suchverifications c)According to the information and explanation given to us the title deedsinvestment made in immovable property are held in the name of the Company.
ii) a)The inventory (excluding stocks with third parties ) has been physically verifiedby the Management during the year . In respect of inventory lying with third partiesthese have substantially been confirmed by them. In our opinion the frequency ofverification is reasonable.
iii) The Company has not granted any loans secured or unsecured to Companies firmsor other parties covered in the register maintained under Section 189 of the Act.Therefore the provisions of Clause 3 (iii) of the said Order are not applicable to theCompany.
iv) In our opinion and according to the information and explanations given to us theCompany has not provided any loans guarantees investment and security under theprovisions of section 185 and 186 of the CA2013. v) In our opinion and information givento us the Company has not accepted any deposits within the meaning of sections 73 to 76or any other relevant provisions of the Companies Act 2013 and the rule framed thereunder. Therefore the provisions of clause (v) of paragraph 3 of the CARO are notapplicable to the company.
vi) Since the net worth of the Company and turnover of is less than the limitsprescribed by the Central Government under section 148 of the Companies Act 2013 maintenance of Cost records is not considered necessary. vii) a)According to t h einformation and explanations given to us the company has been generally regular indepositing undisputed statutory dues including provident fund investor education andprotection fund employees' state insurance income tax wealth tax service tax customcess and other material statutory dues as applicable to it with the appropriateauthorities during the year.
b)As at 31st March2017 according to the record of the company and the information andexplanation given to us there are no disputes in respect of any of the statutory duesExcept an amount of damages imposedbythePFauthoritiesRs.1250404/-(PreviousyearRs.1250404)for a period prior to
Incorporation of the company pending before the Hon'ble Tribunal of PF at New Delhifor necessary Adjudication. viii) repayment of loans borrowing to financial institutionbankGoverment and dues to debenture According to our information and explanation giventous the Company has not defaulted in holders. ix) During the year theCompany has notraisedmoneys by way of initial public offer or further public offer including debtinstrument and no term loan has been raisedby the Company.
X) According to the information and explanation given to us no instance of fraud onthe Company by its officers and employees has been noticed or reported during the givenperiod.
xi) The Company has fixed remuneration of managerial personnel as per the provision ofsection 197 read with schedule v ofCA 2013 .
xii) The Company is not a Nidhi Company. Therefore Provision xii of paragraph3 of orderis not applicable to the Company.
Xiii) There no related party transaction as provided under section 188 and 177 of theCA2013
xiv) The Company has not made any preferential allotment or private placement of sharesor fully and partly convertible debenture during the period under review. ThereforeSection 42 of CA2013 is not applicableand therefore clause xiv is not applicable.
xv) The Company has not entered into any non cash transaction with directors andpersons connected withhim hence section 192 ofCA2013 is not applicable and so theclause xv of paragraph 3 of order is not applicable to the Company.
xvi) TheCompany is not required to be registered under section 451A of the Reserve Bankof India Act 1934 and consequently clause xviof paragraph 3 of the order is notapplicable to the Company
| ||In terms of our report of even date attached |
| ||GUHA&SONS |
|Place: Kolkata ||CHARTERED ACCOUNTANTS Dated: |
|30thDay ofMay2017. ||15/1 Chowrangee SquareKolkata 700069 |
| ||K.GUHA(PROPRIETOR) |
| ||Membership No: 008256 |
| ||Firm Registration No: 302159E |