The Members of BERVIN INVESTMENT & LEASING LTD.
We have audited the accompanying consolidated financial statements of BERVIN INVESTMENT& LEASING LTD. ("the company") and its associate Wavin India Ltd. whichcomprise the Consolidated Balance Sheet as at March 31 2017 the Consolidated Statementof Profit and Loss Consolidated Cash Flow Statement and a summary of significantaccounting policies and other explanatory information.
Management's Responsibility for the Consolidated 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 preparationand presentation of these consolidated financial statements that give a true and fair viewof the financial position and financial performance of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under Section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes the maintenance of adequate accountingrecords in accordance with the provision of the Act for safeguarding of the assets of theCompany and for preventing and detecting the frauds and other irregularities; selectionand application of appropriate accounting policies; making judgments and estimates thatare reasonable and prudent; and design implementation and maintenance of adequateinternal financial control that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.
Our responsibility is to express an opinion on these consolidated financial statementsbased on our audit. We have taken into account the provisions of the Act the accountingand auditing standards and matters which are required to be included in the audit reportunder the provisions 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 consolidated 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 auditor'sjudgment including the assessment of the risks of material misstatement of theconsolidated financial statements whether due to fraud or error. In making those riskassessments the auditor considers consolidated internal financial control relevant to theCompany's preparation of the consolidated financial statements that give true and fairview in order to design audit procedures that are appropriate in the circumstances butnot for the purpose of expressing an opinion on whether the Company has in place anadequate consolidated internal financial controls system over financial reporting andoperating effectiveness of such controls. An audit also includes evaluating theappropriateness of 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 consolidated financial statements.
In Our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid consolidated financial statements give the information requiredby the Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at 31Bt March 2017 its profit for the year ended on that date.
Report on other Legal and Regulatory Requirements
As required by the Companies (Auditor's Report) Order 2015 ("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 statement on the matters specified in paragraphs 3 and4 of the Order.
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 consolidated Balance Sheet and the Statement of Profit and Loss dealt with bythis Report are in agreement with the books of account.
d) In our opinion the aforesaid consolidated financial statements comply with theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014.
e) On the basis of written representations received from the directors as on 31 March2017 taken on record by the Board of Directors none of the directors is disqualified ason 31 March 2017 from being appointed as a director in terms of Section 164(2) of theAct.
f) In our opinion and to the best of our information and according to the explanationsgiven to us we report as under with respect to other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules2014:
i) The Company does not have any pending litigations which would impact its financialposition;
ii) The Company did not have any long-term contracts including derivatives contractsfor which there were any material foreseeable losses;
iii) There were no amounts which required to be transferred by the Company to theInvestor Education and Protection Fund.
iv) The Company has provided disclosures in its consolidated financial statements as toholdings as well as dealing in Specified Bank Notes during the period from 8th November2016 to 30th December 2016 and disclosures are in accordance with the books ofaccounts maintained by the Company.
M. No. 8311 For and on behalf of KRISHAN K. GUPTA & CO. Chartered Accountants FRN:000009N
Place: New Delhi
Dated: April 28 2017
BERVIN INVESTMENT & LEASING LTD.
Report on the Consolidated Internal Financial Controls under Clause (i) of Sub-Section3 of Section 143 of the Companies Act 2013 (the Act') for the year ended March 312017
We have audited the consolidated internal financial controls over financial reportingof BERVIN INVESTMENT & LEASING LTD. (the Company') as of March 31 2017 inconjunction with our audit of the consolidated financial statements of the Company for theyear ended on that date.
Management's Responsibility for Consolidated Internal Financial Controls
The Company's management is responsible for establishing and maintaining consolidatedinternal financial controls based on the internal control over financial reportingcriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Financial Controls over FinancialReporting issued by Institute of Chartered Accountants of India. These responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to Company's policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired under the Companies Act 2013.
Our responsibility is to express an opinion on the Company's consolidated internalfinancial controls over financial reporting based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting (the Guidance Note') and the Standards on Auditing issued by ICAI anddeemed to be prescribed under Section 143(10) of the Companies Act 2013 to the extentapplicable to an audit of internal financial controls both applicable to an audit ofInternal Financial Controls and both issued by the Institute of Chartered Accountants ofIndia. Those Standards and the Guidance 168 Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetheradequate internal financial controls over financial reporting was established andmaintained and if such controls 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 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 judgement including the assessment of the risks ofmaterial miss-statement of the consolidated financial statements whether due to fraud orerror. We believe that the audit evidence we have obtained is sufficient and appropriateto provide a basis for our audit opinion on the Company's consolidated internal financialcontrols system over financial reporting.
Meaning of Consolidated Internal Financial Controls over Financial Reporting
A Company's consolidated internal financial control over financial reporting is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of consolidated financial statements for external purposesin accordance with generally accepted accounting principles. A Company's consolidatedinternal financial control over financial reporting includes those policies and proceduresthat (1) pertain to the maintenance of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the Company; (2) providereasonable assurance that transactions are recorded as necessary to permit preparation ofconsolidated financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the Company are being made only inaccordance with authorizations of management and directors of the Company; (3) providereasonable assurance regarding prevention or timely detection of unauthorized acquisitionuse or disposition of the Company's assets that could have a material effect on theconsolidated financial statements.
Inherent Limitations of Consolidated Internal Financial Controls over FinancialReporting
Because of the inherent limitations of consolidated internal financial controls overfinancial reporting including the possibility of collusion or improper managementover-ride of controls material mis-statements due to error or fraud may occur and not bedetected. Also projections 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 conditions orthat the degree of compliance with the policies or procedures may deteriorate.
In our opinion the Company has in all material respects an adequate consolidatedinternal financial controls system over financial reporting and such consolidated internalfinancial controls over financial reporting were operating effectively as at March 312017 based on the internal control over financial reporting criteria established by theCompany considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls over Financial Reporting issued by theInstitute of Chartered Accountants of India.
M. No. 8311
For and on behalf of
KRISHAN K. GUPTA & CO.
Chartered Accountants FRN: 000009N
Place: New Delhi
Dated: April-28 2017