To the Members of
IFM Impex Global Limited
REPORT ON THE FINANCIAL STATEMENTS
We have audited the accompanying financial statements of IFM IMPEX GLOBAL LIMITEDNew Delhi which comprise the Balance Sheet as at March 31 2016 the Statement of Profitand Loss and Cash Flow Statement for the year then ended and a summary of significantaccounting policies and other explanatory information.
MANAGEMENTS RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
The Companys 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 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 financial statements based on ouraudit. We conducted our audit in accordance with the Standards on Auditing issued by theInstitute of Chartered Accountants of India. Those Standards require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether the 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 theauditors judgment including the assessment of the risks of material misstatement ofthe financial statements whether due to fraud or error. In making those risk assessmentsthe auditor considers internal control relevant to the Companys preparation and fairpresentation of the financial statements in order to design audit procedures that areappropriate in the circumstances but not for the purpose of expressing an opinion on theeffectiveness of the Companys internal control. An audit also includes evaluatingthe appropriateness of accounting policies used and the reasonableness of the accountingestimates made by management as well as evaluating the overall presentation of thefinancial statements. We believe that the audit evidence we have obtained is sufficientand appropriate to provide a basis for our audit opinion.
In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid financial statements give the information required by the Actin the manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India:
(a) In the case of the Balance Sheet of the state of affairs of the Company as atMarch 31 2016;
(b) In the case of the Statement of Profit and Loss of the Loss of the Companyfor the 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 (Auditors Report) Order 2016 (the Order) issuedby the Central Government of India in terms of Sub Section 11 of Section 143 of the Actwe give in the Annexure a statement on the matters specified in paragraphs 3 and 4 of theOrder.
2. As required by Section 143(3) of the Act we report that:
a. We have sought & obtained all the information and explanations which to the bestof our knowledge and belief were necessary for the purpose of our audit;
b. In our opinion proper books of account as required by law have been kept by theCompany so far as 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 Balance Sheet the Statement of Profit and Loss and the CashFlow Statement comply with Accounting Standards specified in under section 133 under theAct read with Rule 7 of the Companies (Accounts) Rules 2014.
e. On the basis of the written representations received from the directors as on March31 2016 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2016 from being appointed as a director in terms of Section 164 (2) ofthe Act.
f. With respect to the adequacy of internal financial controls over financial reportingof the company and operating effectiveness of such controls the company has in allmaterial respects an adequate internal financial controls system over financial reportingand such internal financial controls over financial reporting were operating effectivelyas at 31st March 2016 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 Internal Financial Controls over FinancialReporting issued by the Institute of Chartered Accountants of India.
g. With respect to the other matters to be included in the Auditors 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 does not have any pending litigations for which financial impact to beascertained in the financial statements.
ii. The Company does not have any long-term contracts including derivative contractsfor which there were any material foreseeable losses.
iii. There has been no amount required to be transferred to the Investor Education andProtection Fund by the Company.
| ||For Neeraj Ramesh Chandra & Associates |
| ||Chartered Accountants |
| ||FRN: 017155N |
| ||Sd/- |
|Place: New Delhi ||Nitesh Garg(Partner) |
|Date: 27.05.2016 ||M. No.525696 |
ANNEXURE TO AUDITORS REPORT
Annexure referred to in Para 1 of our report of even date to the shareholders of IFMImpex Global Limited on accounts for the year ended 31stMarch 2016.
1. a) During the year under audit the Company could not produce the fixed assetsrecords/registers before us for verification which as explained to us are underpreparation. In view of above we are unable to comment on the matter.
b) As explained to us major fixed assets have been physically verified by themanagement during the year. We have been informed that the discrepancies noticed on suchverification as compared to book record were not material and have been properly dealtwith in the books of account. In our opinion the frequency of verification is reasonable.
2. a) As informed to us physical verification of inventory has been conducted atreasonable intervals by the management.
(b) In our opinion the procedures of physical verification of inventory followed by themanagement are reasonable and adequate in relation to the size of the Company and thenature of its business.
(c) In our opinion the Company is maintaining proper records of inventory. As informedto us no material discrepancies were noticed on physical verification. As explained to usthe discrepancies noticed have been properly dealt with in the books of account.
3. During the year the Company has not granted any loans secured or unsecured tocompanies firms or other parties covered in the register maintained under Section 189 ofthe Companies Act 2013. Therefor the provisions of clause 3(iii) [(a) to (c)] of the saidOrder are not applicable to the Company.
4. In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of Section 186 of the Act with respect to theInvestment made. The Company has not given any loans to which the provisions of section185 of the Act is applicable.
5. According to the information and explanations given to us the Company has notaccepted any deposits in terms of the directives issued by the Reserve Bank of India andthe provisions of sections 73 to 76 or any other relevant provisions of the Companies Act2013 and the rules framed there under.
6. In respect of business activities of the Company maintenance of cost records hasnot been specified by the Central Government under sub-section (l) of section 148 of theCompanies Act 2013 read with rules framed thereunder.
7. a) As per information and explanations given to us there are no undisputed statutoryliabilities lying unpaid as at the year-end for a period of more than six months from thedate they become payable.
b) No amounts were required to be transferred to investor education and protection fundin accordance with the relevant provisions of the Companies Act 1956 (1 of 1956) andrules made thereunder.
8. The accumulated losses of the Company as at the end of the financial year haveexceeded 50% of its net worth. The Company has incurred cash losses in the financial yearunder audit and in the immediately preceding financial year.
9. During the year the Company has not borrowed any loan/funds from bank or/andfinancial institution. Also the Company has not issued any debentures or raised money byway of initial public offer or further public offer during the year.
10. The Company has not given any guarantee for loans taken by others from bank orfinancial institutions.
11. Based upon the audit procedures and information and explanations given by themanagement we report that no fraud on or by the Company or its employees has beennoticed or reported during the course of our audit nor have we been informed of any suchcases by the Management for the year ended 31st March 2016.
12. In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company. Accordingly paragraph 3(xii) of the Order is notapplicable.
13. According to the information and explanations given to us and based on ourexamination of the records of the Company no transactions with the related parties havebeen undertaken as per section 177 and 188 of the Act.
14. 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.
15. 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 non-cashtransactions with Directors or persons connected with them. Accordingly paragraph 3(xv)of the Order is not applicable.
16. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company is not required to be registeredunder section 45-IA of the Reserve Bank of India Act 1934.
| ||For Neeraj Ramesh Chandra & Associates |
| ||Chartered Accountants |
| ||FRN: 017155N |
| ||Sd/- |
|Place: New Delhi ||NiteshGarg |
|Date: 27.05.2016 ||Partner |
| ||M.No.525696 |