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Mudit Finlease Ltd.

BSE: 531919 Sector: Financials
NSE: N.A. ISIN Code: INE220D01010
BSE 14:13 | 15 Jun Stock Is Not Traded.
NSE 05:30 | 01 Jan Stock Is Not Traded.
OPEN 67.55
PREVIOUS CLOSE 64.35
VOLUME 362
52-Week high 67.55
52-Week low 53.00
P/E 34.29
Mkt Cap.(Rs cr) 34
Buy Price 67.55
Buy Qty 38.00
Sell Price 0.00
Sell Qty 0.00
OPEN 67.55
CLOSE 64.35
VOLUME 362
52-Week high 67.55
52-Week low 53.00
P/E 34.29
Mkt Cap.(Rs cr) 34
Buy Price 67.55
Buy Qty 38.00
Sell Price 0.00
Sell Qty 0.00

Mudit Finlease Ltd. (MUDITFINLEASE) - Auditors Report

Company auditors report

TO THE MEMBERS OFMUDIT FINLEASE LIMITED

REPORT ON THE FINANCIAL STATEMENTS

We have audited the accompanying financial statements of MUDIT FINLEASE LIMITED [CIN: L65993DL1989PLC035635](the Company) which comprise of the Balance Sheet as at March 31 2016the Statement of Profit and Loss and Cash Flow Statement for the year then ended and a summary of significant accounting policies notes and other explanatory information.

MANAGEMENT'S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS

The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act 2013 with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India including the accounting standards specified under Section 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement whether due to fraud or error.

AUDITORS' RESPONSIBILITY

Our responsibility is to express an opinion on these standalone financial statements based on our audit.

We have taken into account the provisions of the Act the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act.Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

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

We believe that the audit evidence we have obtained is sufficient and appropriate to provide 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 explanations given to us the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

a) In the case of the Balance Sheet of the state of affairs of the company as at 31.03.2016;

b) In the case of the Statement of Profit and Loss of the Loss of the company for the year ended on that date.

c) In the case of the Cash Flow Statements of the cash flows of the company for the year ended on that date.

REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS

1. As required by sub - section (11) of Section 143 of the Act a statement on the matters specified in paragraphs 3 and 4 of the Companies (Auditors' Report) Order 2016 (the Order) issued by the Central Government of India has been reported in Annexure-I to this report.

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 best of 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 the Company so far as appears from our examination of those books;

c) The company has no branch offices and consequently we have not received any report on accounts of branch of the company.

d) The Balance Sheet the Statement of Profit & Loss and Cash Flow Statement dealt with by this Report are in agreement with the books of account;

e) In our opinion the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act read with Rule 7 of the Companies (Accounts) Rule 2014;

f) On the basis of written representations received from the Directors as on 31st March 2016 and taken on record by the Board of Directors none of the Directors is disqualified as on 31st March 2016 from being appointed as a director in terms of section 164(2) of the Act;

g) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls refer to our separate report in Annexure-II.

h) With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit & Auditors) Rule 2014 in our opinion and to the best of our information and according to the explanations given to us:

(i) Company does not have any pending litigation which would impact its financial position;

(ii) Company did not have any long-term contracts including derivatives contracts for which there were any material foreseeable losses

(iii) No amounts were required to be transferred to the Investor Education and Protection Fund by the company as on 31.03.2016.

For G. K.Kedia & Co.

Chartered Accountants

Firm Registration No.: 013016N

Sd/-

Satish Kumar Singh

Partner

M. No. 525888

Place: New Delhi

Date: 30.05.2016

ANNEXURE-I TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THESTANDALONE FINANCIAL STATEMENTS OF MUDIT FINLEASE LIMITED

(as referred in Paragraph 1 of Other Legal and Regulatory Matters in Independent Auditor's Report)

We report on the matters contained in Paragraph 3 of the Companies (Auditor's Report) Order 2016 as follows:

i) a) The company has maintained proper records showing full particulars including quantitative details and situation of fixed assets;

b) Those fixed assets were physically verified by the management at reasonable intervals and according to the information and explanation given to us no material discrepancies were noticed on such verification;

c) The title deeds of immovable properties were held in the name of the company.

ii) Physical verification of inventories i.e. shares is not feasible and therefore reconciliation of holding of shares with the demat account has been conducted at reasonable intervals by the management and according to information and explanation given to us no material discrepancies were noticed;

iii) According to the information and explanations given to us and on the basis of our examination of the books of accounts the Company has not granted loans secured or unsecured to companies firms or other parties covered in the register maintained under section 189 of the Companies Act 2013. Hence sub clause (a) (b) and (c) of this clause are not applicable to this company;

iv) According to the information and explanations given to us and on the basis of our examination of the books of accounts the Company has not granted loans made investments provide guarantees or securities under section 185 & 186 of the Companies Act 2013;

v) According to the information and explanations given to us and on the basis of our examination of the books of accounts the Company has not accepted any deposits. Therefore compliances as stated in this clause with respect to directive issued by the Reserve Bank of India the provision of section 73 to 76 or any other relevant provisions of the Companies Act 2013 the rules framed thereunder are not required. Further according to the information and explanations given to us no order was passed by Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other tribunal for this company. Therefore question of compliance or contravention with the same does not arise;

vi) The provision of clause (3) (vi) of the Order are not applicable to the Company as the Company is not covered by the Companies (Cost Records and Auditors) Rules 2014;

vii) According to the information and explanations given to us in respect of statutory dues:

a. The Company has been regular in depositing undisputed statutory dues including provident fund employees' state insurance Income Tax sales tax service tax duty of customs duty of excise value added tax cess and other statutory dues applicable to it with the appropriate authorities and as on 31.03.2016 no amount was outstanding for a period of more than six months from the date they became payable;

b. No dues were required to be deposited on account of any dispute with income tax or sales tax or service tax or duty of customs or duty of excise or value added tax. Therefore this sub-clause is not applicable for this company;

viii) In our opinion and according to the information and explanations given to us the Company has not defaulted in repayment of any loans or borrowing from a financial institution bank Government or dues to debenture holders;

ix) In our opinion and according to the information and explanations given to us and on the basis of our examination of the books of accounts the Company did not raise any moneys by way of IPO / FPO (including debt instruments) and term loans during the year therefore this clause of the Order is not applicable to this company;

x) In our opinion and according to the information and explanations given to us no fraud by Company or any fraud on the company by its officers or employees has been noticed or reported during the year;

xi) In our opinion and according to the information and explanations given to usand on the basis of our examination of the books of accounts no Managerial Remuneration has been paid during the year therefore this clause of the Order is not applicable to this company;

xii) The Company is not Nidhi company therefore the provisions of clause (3) (xii) of the Order are not applicable to the company;

xiii) In our opinion and according to the information and explanations given to us all related parties transactions are in compliance with sections 177 and 188 of Companies Act 2013 and the details of same have been disclosed in Financial Statements etc. as required by the applicable accounting standards;

xiv) In our opinion and according to the information and explanations given to us and on the basis of our examination of the books of accounts the Company has not made any preferential issue / private placement of shares or debentures during reporting period therefore this clause of the Order is not applicable to this company;

xv) According to the information and explanations given to us and on the basis of our examination of the books of accounts the Company has not entered into any non - cash transactions with directors or person connected with him during the reporting period therefore this clause of the Order is not applicable to this company;

xvi) The company is already registered u/s 45-IA of Reserve Bank of India Act 1934 having certificate of registration No.14.00750.

For G. K. Kedia & Co.

Chartered Accountants

Firm Registration No.: 013016N

Sd/-

Satish Kumar Singh

Partner

Membership No.: 525888

Place: New Delhi

Date: 30.05.2016

ANNEXURE-II TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THESTANDALONE FINANCIAL STATEMENTS OF MUDITFINLEASE LIMITED

(as referred in Paragraph 3(h) of Other Legal and Regulatory Matters in Independent Auditor's Report)

REPORT ON THE INTERNAL FINANCIAL CONTROLS 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 MUDIT FINLEASE LIMITED [CIN: L65993DL1989PLC035635] (the Company) as of March 31 2016 in conjunction with our audit of the standalone 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 internal financial controls based onthe internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business including adherence to company's policies the safeguarding of its assets the prevention and detection of frauds and errors the accuracy and completeness of the accounting records and the timely preparation of reliable financial information as required under the Companies Act 2013.

AUDITORS' RESPONSIBILITY

Our responsibility is to express an opinion on the Company's internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the Guidance Note) and the Standards on Auditing issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act 2013 to the extent applicable to an audit of internal financial controls both applicable to an audit of Internal Financial Controls and both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting assessing the risk that a material weakness exists and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor's judgement including the assessment of the risks of material misstatement of the financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company's internal financial controls system over financial reporting.

MEANING OF INTERNAL FINANCIAL CONTROLS OVER FINANCIAL REPORTING

A company's internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company's internal financial control over financial reporting includes those policies and procedures that

(1) pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the company;

(2) provide reasonable assurance that transactions are recorded as necessary to permit reparation of financial statements in accordance with generally accepted accounting principles and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company; and

(3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition use or disposition of the company'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 financial reporting including the possibility of collusion or improper management override of controls material misstatements due to error or fraud may occur and not be detected. Also projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate.

OPINION

In our opinion the Company has in all material respects an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March 31 2016 based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.

For G. K. Kedia & Co.

Chartered Accountants

Firm's Registration No.01316N

Sd/-

Satish Kumar Singh

Partner

Membership No. 525888

Place: New Delhi

Date:30.05.2016