You are here » Home » Companies » Company Overview » Josts Engineering Company Ltd

Josts Engineering Company Ltd.

BSE: 505750 Sector: Engineering
NSE: N.A. ISIN Code: INE636D01017
BSE LIVE 15:40 | 20 Nov 1005.00 4.40
(0.44%)
OPEN

1091.50

HIGH

1091.50

LOW

981.05

NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 1091.50
PREVIOUS CLOSE 1000.60
VOLUME 1213
52-Week high 1233.56
52-Week low 527.75
P/E
Mkt Cap.(Rs cr) 94
Buy Price 0.00
Buy Qty 0.00
Sell Price 1000.00
Sell Qty 16.00
OPEN 1091.50
CLOSE 1000.60
VOLUME 1213
52-Week high 1233.56
52-Week low 527.75
P/E
Mkt Cap.(Rs cr) 94
Buy Price 0.00
Buy Qty 0.00
Sell Price 1000.00
Sell Qty 16.00

Josts Engineering Company Ltd. (JOSTSENGGCO) - Auditors Report

Company auditors report

TO

THE MEMBERS OF

JOST'S ENGINEERING COMPANY LIMITED

Report on the Financial Statements

We have audited the accompanying standalone financial statements of JOST'SENGINEERING COMPANY LIMITED ("the Company") which comprise the BalanceSheet as at 31st March 2017 the Statement of Profit and Loss the Cash Flow Statementfor the year then ended and a summary of significant accounting policies and otherexplanatory 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 financial statements that give a true and fair view of the financial positionfinancial performance and cash flows of the Company in accordance with the accountingprinciples generally accepted in India including the Accounting Standards specified underSection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding 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 financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.

Auditor's Responsibility

Our responsibility is to express an opinion on these financial 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 thereunder.

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 financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the financial statements. The procedures selected depend on theauditor's judgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances. An audit also includes evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates made by the Company's Directors as well as evaluating the overall presentationof the financial statements.

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

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 of the state of affairs of the Company as at 31stMarch 2017 and its loss and its cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) Order 2017 ("the Order")issued by the Central Government of India in terms of sub-section (11) of section 143 ofthe Act we give in Annexure I a statement on the matters specified in paragraphs 3 and 4of 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 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 aforesaid standalone financial statements comply with theAccounting Standards specified under section 133 of the Act Read with Rule 7 of theCompanies (Accounts) Rules 2014.

(e) On the basis of the written representations received from the directors as on 31stMarch 2017 and taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2017 from being appointed as a director in terms of Section164 (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 refer to ourseparate Report in "Annexure II".

(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 27 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 has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company.

iv. The Company has provided requisite disclosures in the financial statements asregards its holdings and dealings in Specified Bank Notes as defined in the NotificationS.O. 3407 (E) dated the 8th November 2016 of the Ministry of Finance during the periodfrom 8th November 2016 to 30th December 2016. Based on audit procedures and relying on themanagement representation we report that such disclosures are in accordance with thebooks of account maintained by the Company and as produced to us by the Management - ReferNote 48 to the financial statements.

For Sorab S. Engineer & Co.
Chartered Accountants
Firm Registration No. 110417W
CA. N. D. Anklesaria
Partner
Mumbai: 15th May 2017. Membership No. 10250

ANNEXURE I TO THE INDEPENDENT AUDITOR'S REPORT

Re: JOST'S ENGINEERING COMPANY LIMITED Referred to in Paragraph 1 under the heading"Report on other legal and regulatory requirements" of our Independent Auditor'sReport of even date

(i) (a) The Company has generally maintained proper records showing full particularsincluding quantitative details and situation of its fixed assets.

(b) All the assets have not been physically verified by the management during the yearbut there is a regular programme of verification which in our opinion is reasonablehaving regard to the size of the Company and the nature of its assets. We are informedthat no material discrepancies were noticed on such verification.

(c) The title deeds of immovable properties as disclosed in fixed assets to thefinancial statements are held in the name of the Company.

(ii) As explained to us physical verification of inventory has been conducted atreasonable intervals by the management and the discrepancies noticed on verificationbetween the physical stocks and the book records were not material having regard to thesize of the Company and the same have been properly dealt with in the books of account.

(iii) The Company has not granted secured/unsecured loans to Companies firms LimitedLiability Partnerships or other parties covered in the register maintained under Section189 of the Act. Consequently requirements of clause (iii) of paragraph 3 of the Order arenot applicable.

(iv) The Company has not advanced any loan or given any guarantee or provided anysecurity or made any investment covered under Sections 185 and 186 of the Act.Consequently requirements of clause (iv) of paragraph 3 of the Order are not applicable.

(v) In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits from the public within the meaning of Sections 73 to76 or any other relevant provisions of the Act and rules framed thereunder. No Order hasbeen passed by the Company Law Board or National Company Law Tribunal or Reserve Bank ofIndia or any Court or any other Tribunal.

(vi) According to the information and explanations given to us the Company is requiredto maintain cost records for certain products manufactured by the Company under Section148(1) of the Companies Act 2013 read with the Companies (Cost Records and Audit)Amendment Rules 2014. We are of the opinion that prima facie the prescribed records havebeen made and maintained. We have not however made a detailed examination of theserecords.

(vii) a. The Company is generally regular in depositing undisputed statutory duesincluding Provident Fund Employees' State Insurance Income Tax Sales Tax Service TaxCustom Duty Excise Duty Value Added Tax Cess and any other material statutory dues withthe appropriate authorities. According to the information and explanations given to usthere are no outstanding statutory dues as at the last day of the financial year whichwere outstanding for a period of more than six months from the date they became payable.

b. According to the records of the Company as at 31st March 2017 the following are theparticulars of disputed dues on account of Income Tax Sales Tax Service Tax Custom Dutyand Excise Duty matters which have not been deposited.

Name of the Statute Nature of Dues Amount (Rs. in Lakhs) Period to which matter relates Forum where dispute is pending
The Central Sales Tax Act 1956 and Bombay Sales Tax Act 1956 Sales Tax 0.33 A.Y. 2005-06 Deputy Commissioner of Sales Tax Mazgaon Mumbai.
MVAT Act 2002 Sales Tax 3.05 A.Y. 2008-09 Asst. Commissioner of Sales Tax Business Audit I Mumbai.
MVAT Act 2002/The Central Sales Tax Act 1956 Sales Tax 930.46 A.Y. 2009-10 Deputy Commissioner of Sales Tax Mazgaon Mumbai.
The Central Sales Tax Act 1956 Sales Tax 324.86 A.Y. 2010-11 Joint Commissioner of Sales Tax Mumbai.
The Central Sales Tax Act 1956 Sales Tax 3.08 A.Y. 2010-11 Assistant Commissioner of Sales Tax Mumbai.
The Central Sales Tax Act 1956 Sales Tax 1.26 A.Y. 2012-13 Sales Tax Officer Mumbai.
Central Excise Act Central Excise 42.00 1.4.2008 to 26.2.2010 CESTAT Mumbai.
Central Excise Act Central Excise 60.44 29.4.2008 to 31.7.2008 CESTAT Mumbai.
Central Excise Act Central Excise 101.09 1.11.2012 to 31.10.2013 CESTAT Mumbai.
Central Excise Act Central Excise 289.86 27.2.2010 to 31.10.2012 CESTAT Mumbai.
Central Excise Act Central Excise 660.29 1.5.2008 to 31.3.2013 CESTAT Mumbai.
Central Excise Act Central Excise 137.69 1.10.2011 to 31.3.2013 CESTAT Mumbai.
Central Excise Act Central Excise 37.46 1.12.2011 to 31.3.2013 Additional Commissioner of Central Excise Pune III Commissionerate.
Central Excise Act Central Excise 50.81 1.11.2013 to 31.3.2014 Additional Commissioner of Central Excise Mumbai III Commissionerate.
Central Excise Act Central Excise 48.94 1.4.2013 to 31.10.2014 CESTAT Mumbai.
Central Excise Act Central Excise 11.00 1.11.2014 to 31.7.2015 CESTAT Mumbai.
Finance Act Service Tax 4.27 1.1.1999 to 31.3.2002 Assistant Commissioner of Service Tax Mulund Division Mumbai - III.
Finance Act Service Tax 0.39 1.4.2002 to 31.3.2003 Assistant Commissioner of Service Tax Mulund Division Mumbai - III.
Finance Act Service Tax 0.78 1.4.2005 to 30.9.2005 Assistant Commissioner of Service Tax Division VI Mumbai.
Finance Act Service Tax 5.09 1.7.2000 to 31.3.2003 CESTAT Mumbai.

Referred to in paragraph 1 of our Report of even date.

(viii) In our opinion and according to the information and explanations given to usthe Company has not defaulted in repayment of dues to financial institutions and banks.

(ix) To the best of our knowledge and belief and according to the information andexplanations given to us the Company has not raised money by way of initial public offeror further public offer (including debt instruments). The term loan received by theCompany from a Bank was applied for the purpose for which it was received.

(x) To the best of our knowledge and belief and according to the information andexplanations given to us no fraud by the Company or on the Company by its officers oremployees has been noticed or reported during the year.

(xi) To the best of our knowledge and belief and according to the information andexplanations given to us no managerial remuneration except fees paid to Directors forattending Board meetings and Committee meetings has been paid/provided during the year.Consequently requirements of clause (xi) of paragraph 3 of the Order are not applicable.

(xii) The Company is not a Nidhi Company. Consequently requirements of clause (xii) ofparagraph 3 of the Order are not applicable.

(xiii) To the best of our knowledge and belief and according to the information andexplanations given to us all transactions with the related parties are in compliance withSections 177 and 188 of the Act where applicable and the details have been disclosed inthe Financial Statements etc. as required by the applicable accounting standards.

(xiv) To the best of our knowledge and belief and according to the information andexplanations given to us the Company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures during the year underreview. Consequently requirements of clause (xiv) of paragraph 3 of the Order are notapplicable.

(xv) To the best of our knowledge and belief and according to the information andexplanations given to us the Company has not entered into any non-cash transactions withdirectors or persons connected with him.

(xvi) According to the nature of the business the Company is not required to beregistered under section 45-IA of the Reserve Bank of India Act 1934.

For Sorab S. Engineer & Co.
Chartered Accountants
Firm Registration No. 110417W
CA. N.D. Anklesaria
Partner
Mumbai: 15th May 2017. Membership No. 10250

ANNEXURE II TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THE

FINANCIAL STATEMENTS OF JOST'S ENGINEERING COMPANY LIMITED

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

We have audited the internal financial controls over financial reporting of JOST'SENGINEERING COMPANY Limited ("the Company") as of March 31 2017 in conjunctionwith our audit 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 safeguarding ofits 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 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 on Audit of Internal Financial Controls Over Financial Reporting(the "Guidance Note") and the Standards on Auditing issued by ICAI and deemedto be prescribed under section 143(10) of the Companies Act 2013 to the extentapplicable to an audit of internal financial controls both applicable to an audit ofInternal Financial Controls and both issued by the Institute of Chartered Accountants ofIndia. Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetheradequate 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 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 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 authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized 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 March 31 2017 based on"the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAudit of Internal Financial Controls Over Financial Reporting issued by the Institute ofChartered Accountants of India".

For Sorab S. Engineer & Co.
Chartered Accountants
Firm Registration No. 110417W
CA. N.D. Anklesaria
Partner
Mumbai: 15th May 2017. Membership No. 10250