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Cityman Ltd.

BSE: 521210 Sector: Industrials
NSE: N.A. ISIN Code: INE117C01010
BSE 11:44 | 18 Jan 4.32 -0.18
(-4.00%)
OPEN

4.72

HIGH

4.72

LOW

4.28

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 4.72
PREVIOUS CLOSE 4.50
VOLUME 371
52-Week high 8.35
52-Week low 4.28
P/E
Mkt Cap.(Rs cr) 5
Buy Price 4.28
Buy Qty 74.00
Sell Price 4.32
Sell Qty 1042.00
OPEN 4.72
CLOSE 4.50
VOLUME 371
52-Week high 8.35
52-Week low 4.28
P/E
Mkt Cap.(Rs cr) 5
Buy Price 4.28
Buy Qty 74.00
Sell Price 4.32
Sell Qty 1042.00

Cityman Ltd. (CITYMAN) - Auditors Report

Company auditors report

TO THE MEMBERS OF CITYMAN LIMITED

Report on the Indian Accounting Standards (Ind AS) Financial Statements

1. We have audited the accompanying Financial Statements of Cityman Limited ("thecompany") which comprise the Balance Sheet as at March 31 2017 the Statement ofProfit and Loss (including Other Comprehensive Income) the Cash Flow statement and theStatement of Changes in Equity for the year then ended and a summary of the significantaccounting policies and other explanatory information.

Management's Responsibility for the Ind AS Financial Statements.

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 preparation ofthese Ind AS financial statements to give a true and fair view of the financial positionfinancial performance (including other comprehensive income) cash flows and changes inequity of the Company in accordance with the Accounting Principles generally accepted inIndia including the Indian Accounting Standards specified in the Companies (IndianAccounting Standards) Rules2015(as amended) under Section 133 of the Act. 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 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 Ind AS financial statementsthat give a true and fair view and are free from material misstatement whether due tofraud or error.

Auditor's Responsibility

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

4. We have taken into account the provisions of the Act and the Rules made thereunderincluding the accounting and auditing standards and matters which are required to beincluded in the audit report under the provisions of the Act and the Rules madethereunder.

5. We conducted our audit of the Ind AS financial statements in accordance with theStandards on Auditing specified under Section 143(10) of the Act and other applicableauthoritative pronouncements issued by the Institute of Chartered Accountants of India.Those Standards and pronouncements require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether the Ind ASfinancial statements are free from material misstatement.

6. An audit involves performing procedures to obtain audit evidence about the amountsand the disclosures in the Ind AS financial statements. The procedures selected depend onthe auditor's judgment including the assessment of the risks of material misstatement ofthe Ind AS financial statements whether due to fraud or error. In making those riskassessments the auditor considers internal financial control relevant to the Company'spreparation of the Ind AS financial statements that give a true and fair view in order todesign audit procedures that are appropriate in the circumstances. An audit also includesevaluating the appropriateness of the accounting policies used and the reasonableness ofthe accounting estimates made by the Company's Directors as well as evaluating theoverall presentation of the Ind AS 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 Ind AS financial statements.

Opinion

8. In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Ind AS financial statements give the information required bythe 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 March 31 2017 and its loss(including other comprehensive income) its cash flowsand the changes in equity for the year ended on that date.

Other Matter

9. The financial information of the Company for the year ended March 31 2016 and thetransition date opening balance sheet as at April 1 2015 included in these Ind ASfinancial statements are based on the previously issued statutory financial statementsfor the years ended March 31 2016 and March 31 2015 prepared in accordance with theCompanies (Accounting Standards) Rules 2006 (as amended) which were audited by us onwhich we expressed an unmodified opinion dated May 202016 and May 22 2015 respectively.The adjustments to those financial statements for the differences in accounting principlesadopted by the Company on transition to the Ind AS have been audited by us.

Our opinion is not qualified in respect of these matters.

Report on Other Legal and Regulatory Requirements

10. As required by the Companies (Auditor's Report) Order2016 issued by the CentralGovernment of India in terms of subsection (11) of section 143 of the Act("theorder") and on the basis of such checks of the books and records of the Company aswe considered appropriate and according to the information and explanations given to uswe give in the Annexure B a statement on the matters specified in paragraph 3 and 4 of theOrder.

11. 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 Balance sheet the Statement of Profit and Loss (including other comprehensiveincome) the Cash Flow Statement and the Statement of Changes in Equity dealt with by thisReport are in agreement with the books of account.

d. In our opinion the aforesaid Ind As financial statements comply with the IndianAccounting Standards specified under Section 133 of the Act.

e. On the basis of the written representations received from the directors as on March312017 taken on record by the Board of Directors none of the directors is disqualifiedas on March 312017 from being appointed as a director in terms of Section 164 (2) of theAct.

f. 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 A.

g. With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules2014 in our opinionand to the best of our knowledge and belief and according to the information andexplanations given to us:

i. There is no pending litigation as at March31 2017 by or against the company havingimpact on its financial position in it's Ind AS financial statements.

ii. The company did not have any long term contracts as at March 31 2017 and hencethere were no material foreseeable losses. The company did not have any derivativecontracts as at March 31 2017.

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company during the year ended March 31 2017:

iv. The Company has provided requisite disclosures in the Financial Statement as toholdings as well as dealings in Specified Bank Notes during the period from November82016 to December 30 2016.

Based on audit procedures and relying on the management representation we report thatthe disclosures are in accordance with books of account maintained by the Company and asproduced to us by the management –Refer Note

For Chandy and Zacheria
Chartered Accountants
Firm's Registration No. 000664S
Thankachan Zacherias LLB FCA CISA DISA
Place: Bengaluru Partner
Date: May 26 2017 Membership No.023421

ANNEXURE "A" TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 1(f) under ‘Report on Other Legal and RegulatoryRequirements' section of our report of even date)

Report on the Internal Financial Controls Over Financial Reporting under Clause (i) ofSub-section 3 of Section 143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of CITYMANLIMITED ("the Company") as at March 31 2017 in conjunction with our audit ofthe financial statements of the Company as at and 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.These responsibilities include the design implementation and maintenance of adequateinternal financial controls that were operating effectively for ensuring the orderly andefficient conduct of its business including adherence to company's policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Act.

Auditor's 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 issued by the Institute of Chartered Accountants of India and theStandards on auditing prescribed under Section 143(10) of the Act to the extentapplicable to an audit of internal financial controls. Those Standards and the GuidanceNote require that we comply with ethical requirements and plan and perform the audit toobtain reasonable assurance about whether adequate internal financial controls overfinancial reporting was established and maintained and if such controls operatedeffectively 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 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 that transactions are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the company are being made only inaccordance with authorisations of management and directors of the company; and (3) providereasonable assurance regarding prevention or timely detection of unauthorised acquisitionuse or disposition of the company's assets that could have a material effect on thefinancial 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 to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at March 31 2017 based on the internal controlover financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note issued by the Institute ofChartered Accountants of India.

For CHANDY & ZACHERIA
Chartered Accountants
FRN.NO. 000664S
Thankachan Zacherias LLB FCA CISA DISA
Camp: Bangalore Partner
Date: May 26 2017 M. No. 023421

ANNEXURE "B"TO THE INDEPENDENTAUDITOR'S REPORT

(Referred to in paragraph 2 of our report of even date on the financial statements ofCITYMAN LIMITED for the year ended March 31 2017.)

In terms of Companies ( Auditor's Report) Order 2016 (the order) issued by theGovernment of India in terms of Sub Section (11) of Section 143 of Companies Act2013 wefurther report on the matters specified in the said order to the extent applicable tothe Company We report that :

(i). (a). The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

(b). The company has a regular programme of physical verification of its fixed assetsby which fixed assets are verified in a phased manner over a period of three years. Inaccordance with this programme certain fixed assets were verified during the year and nomaterial discrepancies were noticed on such verification.

In our opinion this periodicity of physical verification is reasonable having regardto the size of the Company and the nature of its assets.

(c ). According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the title deeds of immovable properties areheld in the name of the Company.

(ii). (a). We are informed that physical verification of inventory was conducted atreasonable intervals by the management during the year.

(b). The discrepancies noticed on verification between the physical stock and recordswere not material having regard to the size of the company and operations of business ofthe company.

(iii). We are informed that the company has not granted any loans secured or unsecuredto companies firms limited liability partnerships or other parties listed in the registermaintained under section 189 of the Companies Act2013except those mentioned in (b)belowand trade advances in the course of regular trade as per commercial expediency and theterms and conditions of which are in our opinion not prima facie prejudicial to theinterest of the company.

(a). In our opinion the rate of interest and other terms and conditions on which theloans had been granted to the bodies corporate listed in the register maintained underSection 189 of the Act were not prima facie prejudicial to the interest of the Company.

(b). In the case of the loans granted to the bodies corporate listed in the registermaintained under Section 189 of the Act the borrowers have been regular in the payment ofthe principal and interest as stipulated. The company has given Rs.12/- lakhs as interestfree refundable deposit to a partnership firm in which the Managing Director and anotherDirector are partners for using the brand name owned by them for a period of 99 years inaddition to royalty payment of 1 % of the turnover of the company under the brand name tothe above firm for using its brand name. The above payment has been approved by theshareholders of the Company. This refundable deposit of Rs.12lakhs for a period of 99years from 1992 is properly split as non-current and current assets in the reported Ind ASfinancial statements as per the Indian Accounting Standards specified in the Companies(Indian Accounting Standards) Rules2015 ( as amended) under section 133 of the Act.

(c). There are no overdue amounts in respect of the loan granted to a body corporatelisted in the register maintained under section 189 of the Act.

(iv). In our opinion and according to the information and explanations give to us thecompany has complied with the provisions of Section 185 and 186 of the Act with respectto the loans investments guarantee and securities made.

(v). The company has not accepted any deposits from the public during the year and doesnot have any unclaimed deposits as at the year end.

(vi). The Central Government has not prescribed the maintenance of cost records undersection 148 (1)of the Act for any of the products manufactured or services rendered bythe Company.

(vii) (a). According to the records of the company the company is regular indepositing with appropriate authorities undisputed statutory dues including provident fundand employees state insurance Income Tax Sales Tax and other statutory dues applicableto it except interest on Income Tax amounting to Rs.4.96 lakhs for assessment years 1997– 98 and 1998 - 99.

(b) According to the information and explanations given to us there are no undisputedamounts payable in respect of income tax wealth tax sales tax customs duty VATService Tax E.S.I. Provident Fund and excise duty which have remained outstanding as at31st March 2017 for a period of more than six months from the date they becomepayable except interest on Income Tax amounting to Rs.4.96 lakhs for assessment years1997–98 and 1998–99.

(viii). The company has not taken any term loan from financial institutions orGovernment or banks nor has issued any debentures during the year under reference. Thereare no dues from the company to any bank or financial institutions as at March 31 2017.Accordingly paragraph 3(viii) of the Order is not applicable.

(ix). The company has not raised any money by way of initial public offer or furtherpublic offer (including debt instruments) and term loans during the year. AccordinglyParagraph 3(ix) of the Order is not applicable.

(x). According to the information and explanations given to us no fraud by the Companyor on the Company by its officers or employees has been noticed or reported during thecourse of our audit.

(xi). According to the information and explanation give to us and based on ourexamination of the records of the company the company has not paid managerial remunerationduring the year.

(xii). According to the information and explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with Sections 177 and 188 of the Act where applicable and details of suchtransactions have been disclosed in the financial statements as required by the applicableaccounting standards.

(xiii). According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year.

(xiv). According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into any non-cashtransactions with directors or persons connected with them. Accordingly Paragraph 3(xv)of the Order is not applicable.

(xv). The Company is not required to be registered under Sections 45-1A of the ReserveBank of India Act 1934.

For CHANDY & ZACHERIA
Chartered Accountants
FRN.NO. 000664S
Thankachan Zacherias LLB FCA CISA DISA
Camp: Bangalore Partner
Date: May 26 2017 M. No. 023421