Virat Leasing Ltd.
|BSE: 539167||Sector: Financials|
|NSE: N.A.||ISIN Code: INE347L01014|
|BSE 05:30 | 01 Jan||Virat Leasing Ltd|
|NSE 05:30 | 01 Jan||Virat Leasing Ltd|
|BSE: 539167||Sector: Financials|
|NSE: N.A.||ISIN Code: INE347L01014|
|BSE 05:30 | 01 Jan||Virat Leasing Ltd|
|NSE 05:30 | 01 Jan||Virat Leasing Ltd|
The Members of VIRAT LEASING LIMITED
REPORT ON THE STANDALONE FINANCIAL STATEMENTS
We have audited the accompanying standalone financial statements of VIRAT LEASINGLIMITED (the Company') which comprise the balance sheet as at 31 st March 2017 theStatement of Profit and Loss and the Cash Flow Statement for the year then ended and asummary of significant accounting policies and other explanatory information.
MANAGEMENT'S RESPONSIBILITY FOR THE STANDALONE FINANCIAL STATEMENTS
The Company's Board of Directors are responsible for the matters stated in Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparationand presentation of these standalone financial statements that give a true and fair viewof the financial position financial performance and cash flows of the Company inaccordance with the accounting principles generally accepted in India including theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingthe assets of the Company and for preventing and detecting frauds and otherirregularities; selection and application of appropriate accounting policies; makingjudgements and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the financial statements that give a true and fair viewand are free from material misstatements whether due to fraud or error.
Our responsibility is to express an opinion on these standalone financial statementsbased on our audit. We have taken into account the provisions of the Act the accountingand auditing standards and matters which are required to be included in the audit reportunder the provisions of the Act and the Rules made there under. We conducted our audit inaccordance 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 theaudit to obtain reasonable assurance about whether the financial statements are free frommaterial misstatements.
An audit involves performing procedures to obtain audit evidences about the amounts andthe disclosures in the financial statements. The procedures selected depend on theauditor's judgement including the assessment of the risks of material misstatements inthe financial statements whether due to fraud or error. In making those risk assessmentsthe auditor considers internal financial control relevant to the Company's preparation ofthe financial statements that give a true and fair view in order to design auditprocedures that are appropriate in the circumstances. An audit also includes evaluatingthe appropriateness of the accounting policies used and the reasonableness of theaccounting estimates made by the Company's Directors as well as evaluating the overallpresentation of the financial statements. We believe that the audit evidences we haveobtained are sufficient and appropriate to provide a basis for our audit opinion on thestandalone financial statements.
In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone 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 state of affairs of the Companyas at 31 st March 2017 and its profit 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 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 a statement on the matters specified in the paragraph3 and 4 of the order.
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 it 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 accounts;
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 taken on record by the Board of Directors none of the directors aredisqualified 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 B"; and
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:
a. The Company does not have any pending litigations which would impact its financialposition.
b. The Company has made provision as required under the applicable law or accountingstandards for material foreseeable losses. However the Company does not have any ongoinglong-term contracts including derivative contracts as on the Balance sheet date.
c. There are no such amounts appearing in the books which are required to betransferred to the Investor Education and Protection Fund by the Company.
d. The company has provided requisite disclosure in its Financial Statement as toholdings as well as dealing in Specified Bank Notes during the period from 8th November2016 to 30th December 2016 and these are in accordance with the books of accountsmaintained by the Company.
ANNEXURE "A" TO THE INDEPENDENT AUDITORS' REPORT
The Annexure referred to in our report of even date to the members of Virat LeasingLimited on accounts of the Company for the year ended on March 312017.
In our opinion and to the best of our information and according to the explanationsgiven to us we certify that:
(i) Based on our scrutiny of the Company's Book of Accounts and other records andaccording to the information and explanations received by us from the Management we areof the opinion that the questions of commenting on the maintenance of proper records offixed assets physical verification of fixed assets and title of fixed assets does notarise since had no fixed assets as on 31.03.2017.
(ii) Physical verification of inventory has been conducted at reasonable intervals bythe management and no material discrepancies were noticed and they have been properlydealt with in the books of account;
(iii) The company has not granted unsecured loans(Considered good) to differentcompanies under section 189 of the Companies Act 2013 during the financial year
(iv) In respect of the loans provided & investments made the provisions of section185 and 186 of the Companies Act 2013 have been complied with.
(v) The Company has not accepted any deposits from the public.
(vi) Maintenance of cost records under sub-section (1) of section 148 of the CompaniesAct 2013 was not applicable during the financial year.
(vii) (a) The company is regular in depositing undisputed statutory dues includingincome-tax sales-tax service tax duty of excise value added tax cess and any otherstatutory dues to the appropriate authorities and the extent of the arrears of outstandingstatutory dues as on the last day of the financial year concerned were not for a period ofmore than six months from the date they became payable.
(b) No dues of income tax or sales tax or service tax or duty of customs or duty ofexcise or value added tax have not been deposited on account of any dispute. Howeveraccording to information and explanation given to us the following dues of income taxhave not been deposited by the comDanvon account of disputes.
The Company has filled appeal before CIT (Appeal) on 08.12.2016.
(viii) The company has not defaulted in repayment of loans or borrowing to a financialinstitution bank Government or dues to debenture holders.
(ix) No moneys were raised by way of initial public offer or further public offer(including debt instruments).
(x) That no instance of any fraud by the company or any fraud on the Company by itsofficers or employees has been noticed or reported during the year.
(xi) The Company has paid no provisions of section 197 read with Schedule V to theCompanies Act do not apply.
(xii) The Company is not a Nidhi Company as defined under the provisions of theCompanies Act 2013 and that the Nidhi Rules 2014 were not applicable on the company.
(xiii) All transactions with the related parties are in compliance with sections 177and 188 of Companies
Act 2013. And the details have been disclosed in the Financial Statements etc. asrequired by the applicable accounting standards;
(xiv) The company has not made any preferential allotment or private placement ofshares or fully or partly convertible debentures during the year under review and hencerequirements under section 42 of the Companies Act 2013 were not attracted.
The Company has filed appeal before CIT (Appeals) on 08.12.2016.
(xv) The company has not entered into any non-cash transactions with directors orpersons connected with him and hence the provisions of section 192 of Companies Act 2013were not attracted.
(xvi) The company is a Non deposit taking Systemically not important Non BankingFinancial Company and is duly registered under section 45-IAofthe Reserve Bank of IndiaAct 1934.
Report on Internal Financial Controls over Financial Reporting
REPORT ON THE INTERNAL FINANCIAL CONTROLS UNDER CLAUSE (!) OF SUB-SECTION 3 OF SECTION143 OF THE COMPANIES ACT. 2013 ("THE ACT")
We have audited the internal financial controls over financial reporting of M/S ViratLeasing Limited ("the Company") as of March 312017 in conjunction with ouraudit 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. These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to company's policies the safeguarding of its assets the preventionand detection of frauds and errors the accuracy and completeness of the accountingrecords and the timely preparation of reliable financial information as requiredunderthe Companies Act 2013.
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 included obtaining anunderstanding of internal financial controls over financial reporting assessing the riskthat a material weakness exists and testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditor's judgement including the assessment of the risks of materialmisstatement 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 systemoverfinancial 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 of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the company;
2. provide reasonable assurance that transactions are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the company are being made only inaccordance with authorisations of management and directors of the company; and
3. provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the company's assets that could have amaterial 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.
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 theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.