TO THE MEMBERS OF CAPFIN INDIA LIMITED
(CIN : L74999DL1992PLC048032 PAN : AABCC8829M)
REPORT ON THE FINANCIAL STATEMENTS
We have audited the accompanying standalone financial statements of CAPFIN INDIALIMITED (the company) which comprise the Balance Sheet as at 31 March 2016 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 are responsible for the matters stated in Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese standalone financial statements that give a true and fair view of the financialposition financial performance and cash flows 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 maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding of the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls 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 standalone financial statementsbased on our audit.
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 there under.
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 error. In making those risk 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.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the standalone financial statements.
In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone 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:
(a) In the case of the Balance Sheet of the state of affairs of the company as at 31March 2016;
(b) In the case of the Statement of Profit and Loss of the profit of the company forthe year ended on that date; and
(c) In the case of the Cash Flow Statement of the cash flows of the company for theyear 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 Companies Act 2013 we give in the Annexure a statement on the matters specified inparagraphs 3 and 4 of the Order to the extent applicable.
2. As required by Section 143(3) of the Act we report that: a. We have sought andobtained all the information and explanations which to the best of our knowledge andbelief 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 standalone 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 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.
f. 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 opinion and to thebest of our information and according to the explanations given to us:
(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 derivative contractsfor which 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 BHUPINDER SHAH & CO. |
| ||Chartered Accountants |
| ||Firm Registration No. 008169N |
| ||(BHUPINDER SHAH) |
| ||B.Com(H) FCA DISA |
|DELHI ||ICAI Membership No. 084879 |
|TH || |
|30 MAY 2016 ||PARTNER |
ANNEXURE TO INDEPENDENT AUDITORS' REPORT
[Referred to in Paragraph 1 under the heading of "Report on Other Legal andRegulatory Requirements" of our report of even date]
CAPFIN INDIA LIMITED
YEAR ENDED 31 MARCH 2016
|Para No. ||Sub Para No. ||Particulars |
|(i) ||(a) ||The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets. |
| ||(b) ||As explained to us these fixed assets have been physically verified by the management at reasonable intervals; no any material discrepancies were noticed on such verification. |
| ||(c) ||According to the information and explanations given to us the title deeds of the investments made in immovable property are held in name of the Company. |
|(ii) || ||According to the information and explanation given to us the company is engaged in trading of shares. Further the company had no closing inventory whatsoever. |
|(iii) || ||The Company has not granted any loans secured or unsecured to Companies firms or other parties listed in the register maintained under Section 189 of the Companies Act 2013. Consequently the provision of clauses (iii) of paragraph 3of the Order are not applicable to the Company. |
|(iv) || ||According to the information and explanations given to us the said clause is inapplicable to the Company being a non -banking financial company registered under Chapter IIIB of the Reserve Bank of India Act1934 |
|(v) || ||The Company has not accepted any deposits during the year hence the directives issued by the Reserve Bank Of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act 2013 and the rules framed there under are not applicable. |
|(vi) || ||As per information & explanation given by the management maintenance of cost records has not been prescribed by the Central Government under sub-section (1) of section 148 of the Act. Consequently the provisions of clause (vi) of paragraph 3 of the Order are not applicable to the Company. |
|(vii) ||(a) ||According to the records of the company undisputed statutory dues including Provident Fund Investor Education and Protection Fund Employees State Insurance Income -tax Sales-tax Wealth Tax Service Tax Custom Duty Excise Duty Cess to the extent applicable and any other statutory dues have generally been regularly deposited with the appropriate authorities. According to the information and explanations given to us there were no outstanding statutory dues as on 31 st of March 2016 for a period of more than six months from the date they became payable. |
| ||(b) ||According to the information and explanations given to us there were no dues of Sales Tax or Service Tax or Duty of Custom or Duty of Excise or Value Added Tax have remained unpaid or disputed. |
|(viii) || ||The Company has not availed any loan from any financial institution bank Government and there are no dues to debenture holders. T herefore the provisions of clause (viii) of paragraph 3 of the order are not applicable to the Company. |
|(ix) || ||During the year the Company has not raised moneys by way of initial public offer or further public offer (including debt instruments) and no term loan was raised by the Company. |
|(x) || ||According to the information and explanations given to us no instance of fraud on the Company by its officers or employees has been noticed or reported during the year. |
|(xi) || ||The Company has paid remuneration to managerial personnel as per the provisions of Section 197 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 (xii) of paragraph 3 of the Order are not applicable to the Company. |
|(xiii) || ||The Company has not entered into related party transactions referred to in section 188 of the Act and also section 177 of the Companies Act 2013 is not applicable. Consequently the provisions of clause (xiii) of paragraph 3 of the Order are not applicable. |
|(xiv) || ||The Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review. Therefore section 42 of the Companies Act 2013 is not applicable. Consequently the provisions of clause (xiv) of paragraph 3 of the Order are not applicable to the Company. |
|(xv) || ||The Company has not entered into any non -cash transactions with directors or persons connected with him hence section 192 of Companies Act 2013 is not applicable. Consequently the provisions of clause (xv) of paragraph 3 of the Order are not applicable to the Company. |
|(xvi) || ||In our opinion the Company is registered under section 45 -IA of the Reserve Bank Of India Act 1934 vide registration no. 14.00643 dated 06/04/19 98. Therefore the provisions of clause (xvi) or paragraph 3 of the Order are applicable and have been complied with. |