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Adinath Exim Resources Ltd.

BSE: 532056 Sector: Financials
NSE: N.A. ISIN Code: INE398H01015
BSE 00:00 | 20 Feb 7.65 0
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7.65

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NSE 05:30 | 01 Jan Adinath Exim Resources Ltd
OPEN 7.65
PREVIOUS CLOSE 7.65
VOLUME 38
52-Week high 13.00
52-Week low 7.13
P/E 7.89
Mkt Cap.(Rs cr) 3
Buy Price 7.60
Buy Qty 40.00
Sell Price 7.65
Sell Qty 28.00
OPEN 7.65
CLOSE 7.65
VOLUME 38
52-Week high 13.00
52-Week low 7.13
P/E 7.89
Mkt Cap.(Rs cr) 3
Buy Price 7.60
Buy Qty 40.00
Sell Price 7.65
Sell Qty 28.00

Adinath Exim Resources Ltd. (ADINATHEXIMRES) - Auditors Report

Company auditors report

To

The Members of

Adinath Exim Resources Limited

REPORT ON THE FINANCIAL STATEMENTS

We have audited the accompanying financial statements of ADINATH EXIM RESOURCESLIMITED ("the Company") which comprise the Balance Sheet as at 31st March2018 the Statement of Profit and Loss the Cash Flow Statement and a summary of thesignificant 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 standalone financial statements that give a true and fair view of the financialposition financial performance and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under Section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes maintenance of adequate accounting recordsin accordance with the preparation of the Act for safeguarding the assets of the Companyand for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

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 there under.

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 performingprocedures to obtain audit evidence about the amounts and the disclosures in the financialstatements. The procedures selected depend on the auditor’s judgment including theassessment of the risks of material misstatement of the financial statements whether dueto fraud or error. In making those risk assessments the auditor considers internalfinancial control relevant to the Company’s preparation of the financial statementsthat give a true and fair view in order to design audit procedures that are appropriate inthe circumstances but not for the purpose of expressing an opinion on whether the Companyhas in place an adequate internal financial control system over financial reporting andthe operating effectiveness of such controls. 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 overallpresentation of 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 a) In the case of the Balance Sheet of the stateof affairs of the company’s at March 312018; b) In the case of the Profit and Lossof the Profit for the year ended on that date; and c) In the case of the Cash FlowStatement of the cash flow for the year ended on that date.

REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS

i) As required by the Companies (Auditor’s Report) Order2016 ("theorder") as issued by Central Government of India in terms of sub section (11) ofsection 143 of Companies Act 2013 we give in the Annexure –"1" astatement on the matters specified in paragraph 3 and 4 of the order.

ii) As required by Section 143 (3) of the Act we report that: (a) We havesought and 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 it appears from our examination of those books; (c) The Balance Sheetthe Statement of Profit and Loss and the Cash Flow Statement dealt with by this Reportare in agreement with the books of account.

(d) In our opinion the aforesaid financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014. (e) On the basis of the written representations received from thedirectors as on 31st March 2018 taken on record by the Board of Directors none of thedirectors is disqualified as on 31st March 2018 from being appointed as a director interms of Section 164 (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-"2".

(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. theCompany does not have any pending litigations which would impact its financial position.ii. the Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses. iii. there were no amounts which wererequired to be transferred to the Investor Education and Protection Fund by the Company.

For Dhirubhai Shah & Co
Chartered Accountants
FRN :102511W
sd/-
Place : Ahmedabad Harish B Patel
Date : 04th May 2018 Partner
Mem. No. : 014427

ANNEXURE -1 TO INDEPENDENT AUDITOR’S REPROT

1. (a) The Company is maintaining proper records showing full particulars includingquantitative details and situation of fixed assets.

(b) The Company has regular programs of physical verification of its fixed assets bywhich fixed assets are verified in a phase manner over a period of the year. In accordancewith this verification certain fixed assets were verified during the year and no materialdiscrepancies were noticed on such verification. In our opinion this periodicity ofphysical verification is reasonable having regard to the size of the Company and thenature of its assets; (c) As the company has no immovable property as Fixed Assetsinformation required under this para is not applicable.

2. The Company is a non-banking finance company ("NBFC"). Accordingly itdoes not hold any physical inventories. Thus paragraph 3(ii) of the Order is notapplicable to the Company.

3. According to the information and explanation given to us the Company has not grantedloans secured or unsecured to companies firms limited liability partnerships or otherrelated parties covered in the register maintained u/s 189 of the Companies Act 2013.Therefore the provision of Clause 3(iii)(iii)(a) (iii)(b) and (iii)(c) of the saidOrder are not applicable to the company.

4. In our opinion and according to the information and explanations given to us theprovisions of section 185 and 186 of the Act has been complied with considering theexemptions given to NBFC Companies.

5. In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits within the meaning of Section 73 to 76 of theCompanies Act 2013 and rules framed there under.

6. We have been informed by the management no cost audit records have been prescribedunder section 148(1) of the Companies Act 2013 in respect of financial services providedby the company.

7. According to the information and explanations given to us and on the basis of ourexamination of the records of the Company amounts deducted/accrued in the books ofaccount in respect of undisputed statutory dues including Income Tax Service Tax andother material statutory dues have been generally regularly deposited during the year bythe Company with the appropriate authorities.

According to the information and explanations given to us no undisputed amount payablein respect of Income Tax Wealth Tax Value added Tax Service Tax and other statutorydues applicable to the Company were in arrears as on 31st March 2018 for a period of morethan six months from the date become payable.

8. Based on our verification and according to the information and explanations given bythe management the company has not defaulted in repayment of loans or borrowings to aFinancial Institution Bank Government or dues to debenture holders.

9. The Company did not raise any money by way of initial public offer or further publicoffer (including debt instruments) during the year. Accordingly para 3(ix) of the orderis not applicable.

10. According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit. 11. According to the information and explanations given to us andbased on our examination of the records of the Company the Company has not paid/providedfor managerial remuneration. So provisions of section 197 read with Schedule V of the Actis not applicable.

12. In our opinion and according to information and explanations given to us theCompany is not a Nidhi Company. Accordingly para 3(xii) of the Order is not applicable.

13. According to the information and explanations given to us and based on ourexamination of records of the Company transactions with related parties are in compliancewith section 177 and 188 of the Act wherever applicable and details of such transactionshave been disclosed in the financial statements as required by applicable accountingstandards.

14. According to the information and explanations given to us and based on ourexamination of records of the Company the Company has not made any preferential allotmentor private placement of shares or fully or partly convertible debentures during the year.Accordingly the provision of Clause 3(xiv) of the Order are not applicable to theCompany.

15. According to the information and explanations given to us and based on ourexamination of records of the Company the Company has not entered into non-cashtransactions with directors or persons connected with him. Accordingly para 3(xv) is notapplicable.

16. The Company being a NBFC is required to be registered under section 45-IA of theReserve Bank of India Act 1934. The Company is registered as a Non-Banking FinancialCompany ("NBFC") with the Reserve Bank of India ("RBI") and has gotclassified as a Non-Banking Financial Company with effect from February 20 1998.

For Dhirubhai Shah & Co
Chartered Accountants
FRN :102511W
sd/-
Place : Ahmedabad Harish B Patel
Date : 04th May 2018 Partner
Mem. No. : 014427

ANNEXURE-2 TO INDEPENDENT AUDITOR’S REPORT

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 AdinathExim Resources Limited ("The Company") as of March 31 2018 in conjunction withour 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. 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 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.

Auditors’ 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 amount the adequacyof the internal financial control system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reportingassessing the risk that a material weakness exists and operating effectiveness ofinternal control based on the assessed risk. The procedures selected depend upon theauditor’s judgment including the assessment of the risks of material misstatement ofthe 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 controlssystem over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A company’s internal financial control over financial reporting is a processdesigned to provide reasonable assurance regarding the reliability of financial reportingand the preparation of financial statements for external purposes in accordance withgenerally accepted accounting principles. A company’s internal financial control overfinancial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of financialstatements in accordance with generally accepted accounting principles and that receiptsand expenditures 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 2018 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 issues by the Institute of CharteredAccountants of India.

For Dhirubhai Shah & Co
Chartered Accountants
FRN :102511W
sd/-
Place : Ahmedabad Harish B Patel
Date : 04th May 2018 Partner
Mem. No. : 014427