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Indiabulls Ventures Ltd.

BSE: 532960 Sector: Financials
NSE: IBVENTURES ISIN Code: INE274G01010
BSE LIVE 13:49 | 22 Aug 199.00 0.65
(0.33%)
OPEN

199.90

HIGH

201.65

LOW

194.90

NSE 13:34 | 22 Aug 199.60 1.15
(0.58%)
OPEN

199.55

HIGH

201.70

LOW

195.10

OPEN 199.90
PREVIOUS CLOSE 198.35
VOLUME 178611
52-Week high 215.20
52-Week low 18.50
P/E 207.29
Mkt Cap.(Rs cr) 8,804
Buy Price 198.85
Buy Qty 351.00
Sell Price 199.00
Sell Qty 70.00
OPEN 199.90
CLOSE 198.35
VOLUME 178611
52-Week high 215.20
52-Week low 18.50
P/E 207.29
Mkt Cap.(Rs cr) 8,804
Buy Price 198.85
Buy Qty 351.00
Sell Price 199.00
Sell Qty 70.00

Indiabulls Ventures Ltd. (IBVENTURES) - Auditors Report

Company auditors report

TO THE MEMBERS OF INDIABULLS VENTURES LIMITED (FORMERLY KNOWN AS INDIABULLS SECURITIESLIMITED) Report on the Consolidated Financial Statements

We have audited the accompanying consolidated financial statements of INDIABULLSVENTURES LIMITED (hereinafter referred to as "the Holding Company") and itssubsidiaries (the Holding Company and its subsidiaries together referred to as "theGroup") comprising of the Consolidated Balance Sheet as at 31st March 2016 theConsolidated Statement of Profit and Loss the Consolidated Cash Flow Statement for theyear then ended and a summary of the significant accounting policies and otherexplanatory information (hereinafter referred to as "the consolidated financialstatements").

Management's Responsibility for the Consolidated Financial Statements

The Holding Company's Board of Directors is responsible for the preparation of theseconsolidated financial statements in terms of the requirements of the Companies Act 2013(hereinafter referred to as "the Act") that give a true and fair view of theconsolidated financial position consolidated financial performance and consolidated cashflows of the Group in accordance with the accounting principles generally accepted inIndia including Accounting Standards prescribed under Section 133 of the Act asapplicable. The respective Board of Directors of the companies included in the Group areresponsible for maintenance of adequate accounting records in accordance with theprovisions of the Act for safeguarding the assets of the Group and for preventing anddetecting frauds and other irregularities; the selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; andthe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror which have been used for the purpose of preparation of the consolidated financialstatements by the Directors of the Holding Company as aforesaid.

Auditor's Responsibility

Our responsibility is to express an opinion on these consolidated financial statementsbased on our audit. While conducting the audit we have taken into account the provisionsof the Act 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.

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 consolidated financial statements are free from material misstatement. An auditinvolves performing procedures to obtain audit evidence about the amounts and thedisclosures in the consolidated financial statements. The procedures selected depend onthe auditor's judgment including the assessment of the risks of material misstatement ofthe consolidated financial statements whether due to fraud or error. In making those riskassessments the auditor considers internal financial control relevant to the HoldingCompany's preparation of the consolidated financial statements that give a true and fairview in order to design audit procedures that are appropriate in the circumstances. Anaudit also includes evaluating the appropriateness of the accounting policies used and thereasonableness of the accounting estimates made by the Holding Company's Board ofDirectors as well as evaluating the overall presentation of the consolidated financialstatements. We believe that the audit evidence obtained by us and the audit evidenceobtained by the other auditors in terms of their reports referred to in the Other Mattersparagraph below is sufficient and appropriate to provide a basis for our audit opinion onthe consolidated financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid consolidated 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 consolidated state of affairs ofthe Group as at 31st March 2016 and their consolidated profit and their consolidated cashflows for the year ended on that date.

Other Matters

We did not audit the financial statements of seventeen subsidiaries whose financialstatements reflect total assets of Rs 17461970096 as at 31st March 2016 totalrevenues of Rs 3301788173 and net cash outflows amounting to z200552950 for the yearended on that date as considered in the consolidated financial statements. Thesefinancial statements have been audited by other auditors whose reports have been furnishedto us by the

Management and our opinion on the consolidated financial statements in so far as itrelates to the amounts and disclosures included in respect of these subsidiaries is basedsolely on the reports of the other auditors.

Our opinion on the consolidated financial statements and our report on Other Legal andRegulatory Requirements below is not modified in respect of the above matters with respectto our reliance on the work done and the reports of the other auditors.

Report on Other Legal and Regulatory Requirements

1. As required by Section 143(3) of the Act we report to the extent applicable 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 of the aforesaidconsolidated financial statements.

b) In our opinion proper books of account as required by law relating to preparationof the aforesaid consolidated financial statements have been kept so far as it appearsfrom our examination of those books and the reports of the other auditors.

c) The Consolidated Balance Sheet the Consolidated Statement of Profit and Loss andthe Consolidated Cash Flow Statement dealt with by this Report are in agreement with therelevant books of account maintained for the purpose of preparation of the consolidatedfinancial statements.

d) In our opinion the aforesaid consolidated financial statements comply with theAccounting Standards prescribed under Section 133 of the Act as applicable.

e) On the basis of the written representations received from the directors of theHolding Company as on 31st March 2016 taken on record by the Board of Directors of theHolding Company and the reports of the statutory auditors of its subsidiary companiesincorporated in India none of the directors of the Group companies incorporated in Indiais disqualified as on 31st March 2016 from being appointed as a director in terms ofSection 164 (2) of the Act.

f) With respect to the adequacy of the internal financial controls over financialreporting and the operating effectiveness of such controls refer to our report in"Annexure A" which is based on the auditors' reports of the Holding company andsubsidiary companies incorporated in India. Our report expresses an unmodified opinion onthe adequacy and operating effectiveness of the subsidiary company's incorporated in Indiainternal financial controls over financial reporting.

g) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditor's) Rules 2014 in our opinionand to the best of our information and according to the explanations given to us:

i. The consolidated financial statements disclose the impact of pending litigations onthe consolidated financial position of the Group - Refer Note 32 A

ii. The Group did not have any material foreseeable losses on long-term contractsincluding derivative contracts.

iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Holding Company and its subsidiarycompanies incorporated in India.

For DELOITTE HASKINS & SELLS LLP
Chartered Accountants
(Firm’s Registration No. 117366W/W-100018)
A. Siddharth
Partner
Mumbai 06th May 2016 (Membership No. 31467)

Annexure "A" to the Independent Auditors’ Report

(Referred to in paragraph (f) under 'Report on Other Legal and Regulatory Requirements'of our report of even date) Report on the Internal Financial Controls Over FinancialReporting under Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013("the Act")

We have audited the internal financial controls over financial reporting of IndiabullsVentures Limited (hereinafter referred to as "the Holding Company") and itssubsidiary companies which are companies incorporated in India as of 31st March 2016 inconjunction with our audit of the consolidated financial statements of the Holding Companyfor the year then ended.

Management's Responsibility for Internal Financial Controls

The respective Board of Directors of the Holding company and its subsidiary companieswhich are companies incorporated in India are responsible for establishing andmaintaining internal financial controls based on the internal control over financialreporting criteria established by the respective companies considering the essentialcomponents of internal control stated in the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting ("the Guidance Note") issued by the Instituteof Chartered Accountants 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 its business includingadherence to the respective 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 Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting of the Holding Company and its subsidiary companieswhich are companies incorporated in India based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting (the "Guidance Note") issued by the Institute of Chartered Accountantsof India and the Standards on Auditing prescribed under Section 143(10) of the CompaniesAct 2013 to the extent applicable to an audit of internal financial controls. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols 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. Webelieve that the audit evidence we have obtained and the audit evidence obtained by theother auditors of the subsidiary companies which are companies incorporated in India interms of their reports referred to in the Other Matters paragraph below is sufficient andappropriate to provide a basis for our audit opinion on the Company's internal financialcontrols system over financial reporting of the aforesaid entities.

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 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 to the best of our information and according to the explanations givento us and taking into consideration the reports of the other auditors referred to in theOther Matters paragraph below the Holding Company and its subsidiary companies which arecompanies incorporated in India have in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at March 31 2016 based on"the internal control over financial reporting criteria established by the respectivecompanies considering the essential components of internal control stated in the GuidanceNote on Audit of Internal Financial Controls Over Financial Reporting issued by theInstitute of Chartered Accountants of India".

Other Matters

Our aforesaid report under Section 143(3)(i) of the Act on the adequacy and operatingeffectiveness of the internal financial controls over financial reporting insofar as itrelates to seventeen subsidiary companies which are companies incorporated in India isbased on the corresponding reports of the auditors of such companies incorporated inIndia.

For DELOITTE HASKINS & SELLS LLP
Chartered Accountants
(Firm’s Registration No. 117366W/W-100018)
A. Siddharth
Partner
MUMBAI 6th May 2016 (Membership No. 31467)