You are here » Home » Companies » Company Overview » Capital Trust Ltd

Capital Trust Ltd.

BSE: 511505 Sector: Financials
NSE: CAPTRUST ISIN Code: INE707C01018
BSE LIVE 15:40 | 20 Nov 490.75 -20.20
(-3.95%)
OPEN

506.70

HIGH

511.85

LOW

483.75

NSE 15:31 | 20 Nov 493.70 -16.45
(-3.22%)
OPEN

512.05

HIGH

512.05

LOW

490.00

OPEN 506.70
PREVIOUS CLOSE 510.95
VOLUME 4378
52-Week high 565.35
52-Week low 322.90
P/E 70.41
Mkt Cap.(Rs cr) 803
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 506.70
CLOSE 510.95
VOLUME 4378
52-Week high 565.35
52-Week low 322.90
P/E 70.41
Mkt Cap.(Rs cr) 803
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Capital Trust Ltd. (CAPTRUST) - Auditors Report

Company auditors report

TO THE MEMBERS OF CAPITAL TRUST LIMITED

Report on the Standalone Financial Statements

1. We have audited the accompanying standalone financial statements of Capital TrustLimited ("the Company") which comprise the Balance Sheet as at 31 March 2017the Statement of Profit and Loss the Cash Flow Statement for the year then ended and asummary of the significant accounting policies and other explanatory information.

Management’s Responsibility for the Standalone Financial

Statements

2. The Company’s Board of Directors is responsible for the matters stated inSection 134(5) of the Companies Act 2013 ("the Act") with respect to thepreparation of these standalone financial statements that give a true and fair view ofthe financial position financial performance and cash flows of the Company in accordancewith the accounting principles generally accepted in India including the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014 (as amended) and the applicable directions issued by the ReserveBank of India. This responsibility also includes maintenance of adequate accountingrecords in accordance with the provisions of the Act; safeguarding the assets of theCompany; 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 standalone financial statements that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

Auditor’s Responsibility

3. Our responsibility is to express an opinion on these standalone financial statementsbased on our audit.

4. 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.

5. 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 standalone financial statements are free from material misstatement.

6. An audit involves performing procedures to obtain audit evidence about the amountsand the disclosures in the standalone financial statements. The procedures selected dependon the auditor’s judgment including the assessment of the risks of materialmisstatement of the standalone financial statements whether due to fraud or error. Inmaking those risk assessments the auditor considers internal financial controls relevantto the Company’s preparation of the standalone financial statements that give a trueand fair view in order to design audit procedures that are appropriate in thecircumstances. An audit also includes evaluating the appropriateness of the accountingpolicies used and the reasonableness of the accounting estimates made by theCompany’s Directors as well as evaluating the overall presentation of the standalonefinancial statements.

7. 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.

Opinion

8. 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 of the state of affairs of the Companyas at 31 March 2017 and its profit and its cash flows for the year ended on that date.

Other Matter

9. The audit of financial statements for the year ended 31 March 2016 included in thestatements were carried out and reported by S G R & Associates Chartered Accountantsvide their unmodified audit report dated 26 April 2016 whose audit report have beenfurnished to us and which has been relied upon by us for the purpose of our audit of thestandalone financial results. Our audit report is not modified in respect of this matter.

Report on Other Legal and Regulatory Requirements

10. As required by the Companies (Auditor’s Report) Order 2016 ("theOrder") issued by the Central Government of India in terms of Section 143(11) of theAct we give in the Annexure A a statement on the matters specified in paragraphs 3 and 4of the Order.

11. Further to our comments in Annexure A as required by

Section 143(3) of the Act we report that:

a. We have sought and; except for the information and explanations required in respectof the matter described in paragraph (g)(iv)belowobtainedall the information andexplanations which to the best of our knowledge and belief were necessary for the purposeof 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 standalone financial statements dealt 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 (as amended);

e. On the basis of the written representations received from the directors and taken onrecord by the Board of Directors none of the directors is disqualified as on 31 March2017 from being appointed as a director in terms of Section 164(2) of the Act;

f. We have also audited the internal financial controls over financial reporting(IFCoFR) of the Company as of 31 March 2017 in conjunction with our audit of thestandalone financial statements of the Company for the year ended on that date and ourreport dated 23 May 2017 as per annexure B expresses anunqualified opinion; and

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 theexplanations given to us: i. as detailed in Note 36 to the standalone financialstatements the Company has disclosed the impact of pending litigations on its standalonefinancial position;

ii. the Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses; and

iii. there were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company.

iv. the Company has provided disclosures in Note

28 to the standalone financial statements regarding holdings as well as dealings inspecified bank notes during the period from 8 November 2016 to 30 December 2016. Based onthe audit procedures performed and taking into consideration the information andexplanations given to us in our opinion the total receipts total payments withdrawalfrom banks and total amount deposited in banks are in accordance with the books of accountmaintained by the Company. However in the absence of sufficient appropriate auditevidence we are unable to comment upon the appropriateness of classification betweenspecified bank notes and other denomination notes of‘Permitted receipts’‘Non-permitted receipts’ ‘Permitted payments’ ‘Non-permittedpayments’ and ‘Amount deposited in banks’ as disclosed in Note28.

For Walker Chandiok & Co LLP
Chartered Accountants
FRN - 001076N/N500013
per Lalit Kumar
Place: New Delhi Partner
Date: 23 May 2017 M.No.-095256

Annexure A

Independent Auditor’s Report of even date to the members of Capital Trust Limitedon the standalone financial statements for the year ended 31 March 2017.

Based on the audit procedures performed for the purpose of reporting a true and fairview on the standalone financial statements of the Company and taking into considerationthe information and explanations given to us and the books of account & other recordsexamined by us in the normal course of audit & to the best of our knowledge &belief we report that: i) (a) The Company has maintained proper records showing fullparticulars including quantitative details and situation of fixed assets.

(b) The fixed assets have been physically verified by the management during the yearand no material discrepancies were noticed on such verification. In our opinion thefrequency of verification of the fixed assets is reasonable having regard to the size ofthe Company and the nature of its assets.

(c) The Company does not hold any immovable property (in the nature of ‘fixedassets’). Accordingly the provisions of clause 3(i)(c) of the Order are notapplicable.

ii) The Company does not have any inventory. Accordingly the provisions of clause3(ii) of the Order are not applicable.

iii) The Company has granted unsecured loans to a Company covered in the registermaintained under Section 189 of the Act; and with respect to the same:

a) in our opinion the terms and conditions of grant of such loans are not prima facieprejudicial to the Company’s interest.

b) the schedule of repayment of principal and payment of interest has been stipulatedand the repayment/ receipts of the principal amount and the interest are regular;

c) there is no overdue amount in respect of loans

granted to such Company.

iv) In our opinion the Company has complied with the provisions of Sections 185 and186 of the Act in respect of loans investments guarantees and security.

v) In our opinion the Company has not accepted any deposits within the meaning ofSections 73 to 76 of the Act and the Companies (Acceptance of Deposits) Rules 2014 (asamended). Accordingly the provisions of clause 3(v) of the Order are not applicable.

vi) The Central Government has not specified maintenance of cost records undersub-section (1) of Section 148 of the Act in respect of Company’s products/services. Accordingly the provisions of clause 3(vi) of the Order are not applicable.

vii) (a) Undisputed statutory dues including provident fund employees’ stateinsurance income-tax sales-tax service tax duty of customs duty of excise valueadded tax cess and other material statutory dues as applicable have generally beenregularly deposited to the appropriate authorities though there has been a slight delayin a few cases. Further no undisputed amounts payable in respect thereof were outstandingat the year-end for a period of more than six months from the date they became payable.

(b) There are no dues in respect of income-tax sales-tax service tax duty ofcustoms duty of excise and value added tax that have not been deposited with theappropriate authorities on account of any dispute.

viii) The Company has not defaulted in repayment of loans or

borrowings to any bank or financial institution or

Government during the year. The Company did not have

any outstanding debentures during the year.

ix) The Company did not raise moneys by way of initial public offer or further publicoffer (including debt instruments). In our opinion the term loans were applied for thepurpose for which the loans were obtained though idle/surplus funds which were notrequired for immediate utilization were temporarily used for the purpose other than forwhich the loan was sanctioned but were ultimately utilized for the stated end-use.

x) No fraud by the Company or on the Company by its officers or employees has beennoticed or reported during the period covered by our audit except for five instances ofmisappropriation of cash collected from customers amounting to Rs. 1534792. The Companyhas terminated the services of such employees and also initiated legal action against suchemployees.

xi) Managerial remuneration has been paid and provided by the Company in accordancewith the requisite approvals mandated by the provisions of Section 197 of the Act readwith Schedule V to the Act.

xii) In our opinion the Company is not a NidhiCompany.

Accordingly clause 3(xii) of the Order is not applicable.

xiii) In our opinion all transactions with the related parties are in compliance withSections 177 and 188 of Act where applicable and the requisite details have beendisclosed in the standalone financial statements etc. as required by the applicableaccounting standards.

xiv) During the year the Company has made preferential allotment of shares. In respectof the same in our opinion the Company has complied with the requirement of

Section 42 of the Act and the Rules framed thereunder. Further in our opinion theamounts so raised have been

used for the purposes for which the funds were raised. During the year the Company didnot make preferential allotment/private placement of convertible debentures.

xv) In our opinion the Company has not entered into any non-cash transactions with thedirectors or persons connected with them covered under Section 192 of the Act.

xvi) The Company is required to be registered under Section 45-IA of the Reserve Bankof India Act 1934 and such registration has been obtained by the Company.

For Walker Chandiok & Co LLP
Chartered Accountants
FRN - 001076N/N500013
per Lalit Kumar
Place: New Delhi Partner
Date: 23 May 2017 M.No.-095256

Annexure B

Independent Auditor’s report on the Internal Financial Controls under Clause (i)of Sub-section 3 of Section 143 of the Companies Act 2013 ("the Act")

1. In conjunction with our audit of the standalone financial statements of CapitalTrust Limited ("the Company") as of and for the year ended 31 March 2017 wehave audited the internal financial controls over financial reporting (IFCoFR) of theCompany of as of that date.

Management’s Responsibility for Internal Financial

Controls

2. The Company’s Board of Directors is responsible for establishing andmaintaining internal financial controls based on the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls overFinancial Reporting (the "Guidance Note") issued by the Institute of CharteredAccountants of India ("ICAI"). These responsibilities include the designimplementation and maintenance of adequate internal financial controls that were operatingeffectively for ensuring the orderly and efficient conduct of the Company’s businessincluding 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 Act.

Auditors’ Responsibility

3. Our responsibility is to express an opinion on the Company's IFCoFR based on ouraudit. We conducted our audit in accordance with the Standards on Auditing issued by theInstitute of Chartered Accountants of India (ICAI) and deemed to be prescribed undersection 143(10) of the Act to the extent applicable to an audit of IFCoFR and theGuidance Note issued by the ICAI. Those Standards and the Guidance Note require that wecomply with ethical requirements and plan and perform the audit to obtain reasonableassurance about whether adequate IFCoFR were established and maintained and if suchcontrols operated effectively in all material respects.

4. Our audit involves performing procedures to obtain audit evidence about the adequacyof the IFCoFR and their operating effectiveness. Our audit of IFCoFR included obtaining anunderstanding of IFCoFR assessing the risk that a material weakness exists and testingand evaluating the design and operating effectiveness of internal control based on theassessed risk. The procedures selected depend on the auditor’s judgement includingthe assessment of the risks of material misstatement of the standalone financialstatements whether due to fraud or error.

5. We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company’s IFCoFR.

Meaning of Internal Financial Controls over Financial

Reporting

6. A Company's IFCoFR is a process designed to provide reasonable assurance regardingthe reliability of financial reporting and the preparation of standalone financialstatements for external purposes in accordance with generally accepted accountingprinciples. A Company's IFCoFR includes those policies and procedures that (1) pertain tothe maintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the Company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of standalonefinancial statements in accordance with generally accepted accounting principles and thatreceipts and expenditures of the Company are being made only in accordance withauthorisations of management and directors of the Company; and (3) provide reasonableassurance regarding prevention or timely detection of unauthorised acquisition use ordisposition of the Company's assets that could have a material effect on the standalonefinancial statements.

Inherent Limitations of Internal Financial Controls over

Financial Reporting

7. Because of the inherent limitations of IFCoFR including the possibility ofcollusion or improper management override of controls material misstatements due to erroror fraud may occur and not be detected. Also projections of any evaluation of the IFCoFRto future periods are subject to the risk that IFCoFR may become inadequate because ofchanges in conditions or that the degree of compliance with the policies or proceduresmay deteriorate.

Opinion

8. In our opinion the Company has in all material respects adequate internalfinancial controls over financial reporting and such internal financial controls overfinancial reporting were operating effectively as at 31 March 2017 based on the internalcontrol over financial reporting criteria established by the Company considering theessential components of internal control stated in the Guidance Note issued by the ICAI.

For Walker Chandiok & Co LLP
Chartered Accountants
FRN - 001076N/N500013
per Lalit Kumar
Place: New Delhi Partner
Date: 23 May 2017 M.No.-095256