To the Members of
STANDARD SHOE SOLE & MOULD (INDIA) LIMITED
Report on the Financial Statements
We have audited the accompanying Financial Statements of Standard Shoe Sole & Mould(India) Limited ('the Company') comprising the Balance Sheet as at 31s' March 2017 andthe Statement of Profit and Loss Account the Statement of Cash flows for the year endedand a summary of significant 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 financial statement that give a true and lair view of the financial positionfinancial performance of the company in accordance with the accounting principlesgenerally accepted in India including the Accounting Standard specified under Section 133of the Act read with Rule 7of the Companies (Accounts) Rules 2014. This responsibilityalso includes maintenances of adequate accounting records in accordance with^he 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 judgment and estimates that are reasonable and prudent: and designimplementation and maintenances of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant for ensuring and preparation of the financial statements that give trueand tair view and are free from material misstatement wheter due to fraud or error.
Our responsibility is to express an opinion on these financial statements based on ouraudit. We have taken into account the provision of the Act the accounting and auditingstandards and matters which are inquired to be included in the audit report under theprovision of the Act and Rules made thereunder We conducted our audit in accordance withthe Standards on Auditing specified under section 143(10) ol the Act. T hose Standardsrequire that we comply with ethical requirements and plan and perform the
audit to obtain reasonable assurance about whether the financial statements are freefrom material i sst<itom cnt.
An audit involves performing procedures to obtain audit evidence about the amounts anddisclosure in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks ot material misstatement of the financialstatements whether due to fraud or ciror. In making those risk assessments; the auditorconsiders internal control relevant to the Company's preparation and fair presentation ofthe financial statements in order to design the audit procedures that are appropriate inthe circumstances but not for the purpose of expressing an opinion on wheter the Companyhas in place an adequate internal financial controls system over financial reporting andthe operating effectiveness of such controls. An audit alsq includes evaluating theappropriateness of accounting polices used and the reasonableness of the accountingestimates made by the management as well as evaluating the overall presentation of thefinancial statement.
ou5 nJdi! opinfonhe eV'denCe We have obained is sufficient and appropriate to providea basis for
In our opinion and to the best of our information and according to the explanationsgiven to us the financial statements give the information required by the Act in themanner 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 at 3ls< March 2017;
(b) in the case of Statement of Profit & Loss of the Loss for the year ended onthat date and 1
(c) in the case of Statement of Cash Flow 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 ("the Order")issued by the Central Government of India in terms of sub-section (11) of section 143 ofthe Act we give in the Annexure a statement on the matters specified in paragraphs 3 and4 of the Order.
2. As required by section 143 (3) of the Act we report that
a) We have obtained all the information and explanations which to the best of ourknowledge 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 and Statement of Profit and Loss Account and Statement of CashFlows dealt with by this report are in agreement with the books of account.
d) In our opinion the Balance Sheet and Statement of Profit and Loss comply with theaccounting standards specified under Section 133 of the Act read with rule 7 of theCompanies (accounts) rules20I4;
e) On the basis of written representation received from the directors as on 31s' March2017 and taken on record by the Board of Directors none of the directors is disqualifiedas on 31st March 2017 from being appointed as a director in terms of Section 164(2) ofthe Act.
0 the Company has maintain adequacy of the internal financial controls over financialreporting of the Company and operating effectiveness of such controls.
g) with the respect to the others matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit & Auditor's) Rule 2014 in ouropinion and to the best of our information and according to the explanations given to us:i) the Company has provided requisite disclosures in the Financial Statements as toholding as ^ well as dealing in Specified Bank Notes during the period from 8th November2016 to 30 1 December 2016 and these are in accordance with the books of accountsmaintained by the Company. Refer Note to the Financial Statement.
For Mukherjee Sanyal & Co. (Chartered Accountants) FRN: 307039E .
(C A Kamal Kumar Maltherjee) Partner ^
Membership No: 011435
Date: 30/05/2017 Place: Kolkata
Standard Shoe Sole And Mould (India) Limited Annexure to the Auditors' Report
The Annexure referred to in our report to the members Standard Shoe Sole And Mould(India) Ltd. for the year Ended on 31.03.2017. We report that:
|(i) || |
(a) whether the company is maintaining proper records showing full particulars including quantitative details and situation of fixed assets;
As the company has no Fixed Assets hence the section is not applicable.
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b) whether these fixed assets have been physically verified by the management at reasonable intervals; whether any material discrepancies were noticed on such verification and if so whether the same have been properly dealt with in the books of account;
In View of the above the comments with regards to reasonable of terms and conditions of the verification of the Fixed Assets does not arise.
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(c) whether the title deeds of immovable properties are held in the name of the company. If not provide the details thereof;
In View of the above the comments this clause not applicable to the company.
|(ii) || |
whether physical verification of inventory has been conducted at reasonable intervals by the management and whether any material discrepancies were noticed and if so whether they have been properly dealt with in the books of account;
The Company has carried physical verification of inventory at reasonable intervals during the year
There is no such material discrepancies were noticed.
|(Hi) || |
whether the company has granted any loans secured or unsecured to companies firms Limited Liability Partnerships or other parties covered in the register maintained
Tiie Company has not granted any loans secured or unsecured to companies firms or other parties covered in the register maintained under Section 189 of the Company's Act 2013.
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under section 189 of the Companies Act 2013. If so
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(a) whether the terms and conditions of the grant of such loans are not prejudicial to the company's interest;
In view of the above the comments with regards to reasonableness of terms and conditions of the grant of such loans are no prejudicial to the company's interest.
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(b) whether the schedule of repayment of principal and payment of interest has been stipulated and whether the repayments or receipts are regular;
In view of the above the comments there were no irregularities in Receipt of the Principal amount and interest 'on loans schedule arise.
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(c) if the amount is overdue state the total amount overdue for more than ninety days and whether reasonable steps have been taken by the company for recovery of the principal and interest;
In view of the above the comments with regards to reasonableness there is no overdue amount with company.
|(iv) || |
in respect of loans investments guarantees and security whether provisions of section 185 and 186 of the Companies Act 2013 have been complied with. If not provide the details thereof.
The Company has compiled with the provisions of Section 185 & 186 of the Company's Act 2013 in respect of loans investments guarantees and security.
|(v) || |
in case the company has accepted deposits whether the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act 2013 and the rules framed thereunder where applicable have been complied with? If not the nature of such contraventions be stated; If an order has been passed by Company Law Board or National Company Law Tribunal or Reserve Bank of India or any court or any other tribunal whether the same has been complied with or not?
The Company has not accepted such type of deposits.
|(vi) || |
whether maintenance of cost records has been specified by the Central Government under sub-section (1) of section 148 of the Companies Act 2013 and whether such* accounts and records have been so made and maintained.
This clause is not applicable to the Company.
|(vii) || |
(a) whether the company is 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 any other statutory dues to the appropriate authorities and if not the extent of the arrears of outstanding statutory dues as on the last day of the financial year concerned for a period of more than six months from the date they became payable shall be indicated;
During the year under review there was no outstanding dues in respect of Provident Fund Investor Education and Protection Fund Employees' State Insurance Income Tax Sales Tax Wealth Tax Customs Duty Excise Duty Cess and other material statutory dues as applicable with the appropriate authorities.
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(b) where dues of income tax or sales tax or service tax or duty of customs or duty of excise or value added tax have not been deposited on account of any dispute then the amounts involved and the forum where dispute is pending shall be mentioned. (A mere representation to the concerned Department shall not be treated as a dispute).
A) Income Tax Dispute:
a) Amount: Rs. 10.52 lacs
b) Forum: CIT (A)/Kol/IV
|(viii) || |
whether the company has defaulted in repayment of loans or borrowing to a financial institution bank Government or dues to debenture holders? If yes the period and the amount of default to be reported (in case of defaults to banks financial institutions and Government lender wise details to be provided).
The Company has not made any default in repayment of dues to any financial institution or bank Government or dues to debenture holders.
|(ix) || |
whether moneys raised by way of initial public offer or further public offer (including debt instruments) and term loans were applied for the purposes for which those are raised. If not the details together with delays or default and subsequent rectification if any as may be applicable be. reported;
The Company has not applied the moneys raised by way of Initial Public Offer and term loans for the purpose other than for which it obtained.
|(x) || |
whether any fraud by the company or any fraud on the Company by its officers or employees has been noticed or reported
According to the information and explanations given by the management and during our audit procedure there is no such fraud noticed by us.
|i || |
during the year; If yes the nature and the amount involved is to be indicated;
|(xi) || |
whether managerial remuneration has been paid or provided in accordance with the requisite approvals mandated by the provisions of section 197 read with Schedule V to the Companies Act? If not state the amount involved and steps taken by the company for securing refund of the same;
|According to the information and explanations given by the management and during our audit procedure there is no such cases noticed by us. |
|(xii) || |
whether the Nidhi Company has complied with the Net Owned Funds to Deposits in the ratio of 1: 20 to meet out the liability and whether the Nidhi Company is maintaining ten per cent unencumbered term deposits as specified in the Nidhi Rules 2014 to meet out the liability;
|1 his clause is not applicable to this company. |
|(xiii) || |
whether all transactions with the related parties are in compliance with sections 177 and 188 of Companies Act 2013 where applicable and the details have been disclosed in the Financial Statements etc. as required by the applicable accounting standards;
|According to the information and explanations given by the management and during our audit procedure the company is compliance with section 177 and 188 of Companies Act 2013 in respect of all transaction with related parties. |
|(xiv) || |
whether the company has made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review and if so as to whether the requirement of section 42 of the Companies Act 2013 have been complied with and the amount raised have been used for the purposes for which the funds were raised. If not provide the details in respect of the amount involved and nature of non-compliance;
|This clause is not applicable to this company. |
|(xv) || |
whether the company has entered into any non-cash transactions with directors or persons connected with him and if so whether the provisions of section 192 of Companies Act 2013 have been complied with
|This clause is not applicable to this company. |
|(xvi) || |
whether the company is required to be registered under section 45-IA of the Reserve Bank of India Act 1934 and if so whether the registration has been obtained.
This clause is not applicable to this company.
For Mukherjee Sanyal & Co. Chartered Accountants FRN:307039E
CA Kamal Kumar Mytfherjee Partner
Membership number: 011435
Place: Kolkata Date: 30/05/2017