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CNI Research Ltd.

BSE: 512018 Sector: Media
NSE: N.A. ISIN Code: INE135H01029
BSE LIVE 14:50 | 27 Mar 2.54 -0.01
(-0.39%)
OPEN

2.55

HIGH

2.59

LOW

2.43

NSE LIVE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 2.55
PREVIOUS CLOSE 2.55
VOLUME 6406
52-Week high 4.65
52-Week low 2.15
P/E
Mkt Cap.(Rs cr) 29.16
Buy Price 2.43
Buy Qty 2350.00
Sell Price 2.54
Sell Qty 1000.00
OPEN 2.55
CLOSE 2.55
VOLUME 6406
52-Week high 4.65
52-Week low 2.15
P/E
Mkt Cap.(Rs cr) 29.16
Buy Price 2.43
Buy Qty 2350.00
Sell Price 2.54
Sell Qty 1000.00

CNI Research Ltd. (CNIRESEARCH) - Auditors Report

Company auditors report

INDEPENDENT AUDITOR’S REPORT

TO THE MEMBERS OF Cni RESEARCH LTD

Report on the Financial Statements

We have audited the accompanying nancial statements of Cni Research Ltd ("thecompany") which comprise the Balance Sheet as at 31st March 2016 the Statement ofPro t and Loss the Cash Flow Statement for the year then ended and a summary of thesigni cant accounting policies and other explanatory information.

Management’s Responsibility for the 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 preparation ofthese nancial statements that give a true and fair view of the nancial position nancialperformance and cash ows of the company in accordance with the accounting principlesgenerally accepted in India including the Accounting Standards speci ed under Section 133of the Act read with Rule 7 of the Companies (Accounts) Rules 2014. This responsibilityalso includes maintenance of adequate accounting records in accordance with the provisionof the Act for safeguarding the assets of the company and for preventing and detectingfrauds and other irregularities; selection and application of appropriate accountingpolicies; making judgments and estimates that are reasonable and prudent; and designimplementation and maintenance of adequate internal nancial controls that were operatinge ectively for ensuring the accuracy and completeness of the accounting records relevantto the preparation and presentation of the nancial statements that give a true and fairview and are free from material misstatement whether due to fraud or error.

Auditors’ Responsibility

Our responsibility is to express an opinion on these nancial statements based on ouraudit. 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 accordancewith the Standards on Auditing speci ed under section 143(10) of the Act. Those Standardsrequire that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the nancial statements are free from materialmis-statement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the nancial statements. The procedures selected depend on theauditor’s judgment including the assessment of the risks of material misstatement ofthe nancial statements whether due to fraud or error. In making those risk assessmentsthe auditor considers internal nancial control relevant to the company’s preparationof the nancial statements that give a true and fair view in order to design auditprocedures that are appropriate in the circumstances. An audit also includes evaluatingthe appropriateness of the accounting policies used and the reasonableness of theaccounting estimates made by the company’s Directors as well as evaluating theoverall presentation of the nancial statements.

We believe that the audit evidence we have obtained is su cient and appropriate toprovide a basis for our audit opinion on the nancial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid nancial statements give the information required by the Act inthe manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India of the state of a airs of the company as at 31stMarch 2016 and its loss and its cash ows for the year ended on that date.

Report on other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2016 ("theOrder") issued by the Central Government of India in terms of sub-section (11) ofsection 143 of the Companies Act 2013 and on the basis of such checks of the books andrecords of the company as we considered appropriate and according to the information andexplanation given to us we give in "Annexure 1" a statement on the mattersspecified in paragraphs 3 & 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 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 Pro t and Loss and the Cash Flow Statement dealtwith by this Report are in agreement with the books of account.

d. In our opinion the aforesaid nancial statements comply with the AccountingStandards speci ed under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014.

e. On the basis of the written representations received from the directors as on 31stMarch directors 2016 taken on record by the Board of Directors none of the is disqualied as on 31st March 2016 from being appointed as a director in terms of Section 164(2)of the Act.

f. With respect to the adequacy of the internal financial controls over financialreporting of the company and the operating effectiveness of such controls we give ourseparate Report in "Annexure 2".

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) Rules 2014 in our opinionand to the best of our information and according to the explanations given to us:

i. The company has disclosed the impact of pending litigations on its financialposition in its financial statements Refer Note 25 to the financial statements.

ii. The company did not have any long-term contracts including derivative contracts forwhich 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 N.K. JALAN & CO.
CHARTERED ACCOUNTANTS
FIRM NO. 104019W
PLACE: MUMBAI
DATED: 13/05/2016 (N.K. JALAN) PROPRIETOR
Membership No.0 11878

Annexure 1 to the Independent Auditors' Report

(Referred to in paragraph 1 under ‘Report on Other Legal and RegulatoryRequirements’ section of our report of even date) (i) In respect of its fixed assets:(a) The company has maintained proper records showing full particulars includingquantitative details and situation of the fixed assets.

(b) As explained to us all the fixed assets have been physically verified by themanagement in a phased periodical manner which in our opinion is reasonable having regardto the size of the company and nature of its assets. No material discrepancies werenoticed on such physical verification.

(c) The company does not own any immovable property. Therefore provisions of sub clause(c) of clause (i) of paragraph 3 of the Order are not applicable to the company.

(ii) In respect of its inventories:

The company is into the business of trading in shares and securities which are held indematerialized form and not in physical form. Therefore provisions of clause (ii) ofparagraph 3 of the Order are not applicable to the company.

(iii) As informed the company has not granted any loans secured or unsecured tocompanies firms Limited Liability Partnerships or other parties covered in the registermaintained under Section 189 of the Act. Therefore provisions of sub clause (a) (b) and(c) of clause (iii) of paragraph 3 of the Order are not applicable to the company.

(iv) As per the information and explanation given to us in respect of loansinvestments guarantees and securities the company has complied with the provisions ofSection 185 and 186 of the Act. (v) In our opinion and according to the information andexplanations given to us the company has not accepted any deposits from the public withinthe provisions of Sections 73 to 76 of the Act and the rules framed there under.Therefore the provisions of clause (v) of paragraph 3 of the Order are not applicable tothe company.

(vi) As per the information and explanations given to us in respect of the class ofindustry in which the company falls the maintenance of cost records has not beenprescribed by the Central Government under sub-section (1) of section 148 of the CompaniesAct 2013. Therefore the provisions of clause (vi) of paragraph 3 of the Order are notapplicable to the company.

(vii) In respect of statutory dues:

(a) The company is regular in depositing with appropriate authority undisputedstatutory dues including provident fund employees’ state insurance income taxsales tax service tax duty of customs duty of excise value added tax cess and anyother statutory dues applicable to it with the appropriate authorities. According to theinformation and explanations given to us no undisputed amounts payable in respect ofabove dues were in arrears as at 31st March 2016 for a period of more than six monthsfrom the date they became payable.

(b) According to the information and explanations given to us details of dues ofIncome Tax which have not been deposited as at 31st March 2016 on account of disputes aregiven below:

Nature of Dues Forum where Dispute is pending Period to which the amount relates Amount involved (Rs.)
Income Tax ITAT 2009-10 432590/-*

* Some of the refunds due for subsequent years have been adjusted against the abovedemand.

(viii) According to the information and explanation given to us the company has nottaken loan from any financial institution bank and government or has no dues to debentureholders. Therefore the provisions of clause (viii) of paragraph 3 of the Order are notapplicable to the company. (ix) The company has neither raised money by way of publicissue offer nor has obtained any term loans. Therefore the provisions of clause (ix) ofparagraph 3 of the Order are not applicable to the company.

(x) During the course of our examination of the books and records of the companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstance of fraud by the company or any fraud on the company by its officers or employeesnoticed or reported during the year nor have we been informed of any such instance by themanagement.

(xi) As per the information and explanations given to us managerial remuneration hasbeen paid / provided in accordance with the requisite approvals mandated by the provisionsof Section 197 read with Schedule V to the Act.

(xii) In our opinion the company is not a Nidhi Company. Therefore the provisions ofclause (xii) of paragraph 3 of the Order are not applicable to the company.

(xiii) As per the information and explanation given to us all transactions enteredinto by the company with the related parties are in compliance with Sections 177 and 188of Act where applicable and the details have been disclosed in the Financial Statementsetc. as required by the applicable accounting standards.

(xiv) The company has made preferential allotment or private placement of shares duringthe previous year preceding to the year under review and has received some amount duringthe year under review on account of conversion of warrants issued pursuant to saidpreferential allotment or private placement of shares. The requirement of Section 42 ofthe Act has been complied and the amount raised has been used for the purposes for whichthe funds were raised.

(xv) The company has not entered into any non-cash transactions with directors orpersons connected with him. Therefore the provisions of clause (xv) of paragraph 3 of theOrder are not applicable to the company.

(xvi) As per the information and explanation given to us the company is not required tobe registered under Section 45-IA of the Reserve Bank of India Act 1934.

FOR N.K. JALAN & CO.
CHARTERED ACCOUNTANTS
FIRM NO. 104019W
PLACE: MUMBAI
DATED: 13/05/2016 (N.K. JALAN) PROPRIETOR
Membership No.0 11878

Annexure 2 to the Independent Auditors' Report

(Referred to in paragraph 2 under ‘Report on Other Legal and RegulatoryRequirements’ section of our report of even date)

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("theAct")

We have audited the internal financial controls over financial reporting of CniResearch Ltd ("the company") as of 31st March 2016 in conjunction with ouraudit of the financial statements of the company 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 Reportingissued by the Institute of Chartered Accountants of India ("ICAI"). Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to company’s policies the safeguardingof its assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the Companies Act 2013.

Auditors’ 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 on Audit of Internal Financial Controls Over Financial Reporting(the "Guidance Note") and the Standards on Auditing specified under section143(10) of the Act to the extent applicable to an audit of internal financial controlsboth issued by the ICAI. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate 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 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 controlssystem over 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. The 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 thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the company are being made only in accordance with authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised acquisition use or disposition of thecompany's assets that could have a material effect on the financial 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 the company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at 31st March 2016 based on theinternal control over financial reporting criteria established by the company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the ICAI.

FOR N.K. JALAN & CO.
CHARTERED ACCOUNTANTS
FIRM NO. 104019W
PLACE: MUMBAI
DATED: 13/05/2016 (N.K. JALAN) PROPRIETOR
Membership No.0 11878