TO THE MEMBERS OF AMBITION MICA LIMITED Report on the standaloneFinancial Statements Opinion
We have audited the accompanying Standalone financial statements ofM/s. Ambition Mica Limited ("the Company") which comprises the Balance Sheet asat March 31 2018 the Statement of Profit and Loss and statement of cash flows for theyear then ended and notes to the financial statements including a summary of significantaccounting policies and other explanatory information.
In our opinion and to the best of our information and according to theexplanations given to us the aforesaid standalone financial statements give theinformation required by the Act in the manner so required and give a true and fair view inconformity with the accounting principles generally accepted in India of the state ofaffairs of the Company as at March 31 2018 and profit/loss and its cash flows for theyear ended on that date.
Basis for Opinion
We conducted our audit in accordance with the Standards on Auditing(SAs) specified under section 143(10) of the Companies Act 2013. Our responsibilitiesunder those Standards are further described in the Auditor's Responsibilities for theAudit of the Financial Statements section of our report. We are independent of the Companyin accordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial statements under the provisions of the Companies Act 2013 and the Rulesthereunder and we have fulfilled our other ethical responsibilities in accordance withthese requirements and the Code of Ethics. We believe that the audit evidence we haveobtained is sufficient and appropriate to provide a basis for our opinion.
Responsibility of Management for the Standalone Financial Statements
The Company's Board of Directors is responsible for the matters statedin section 134(5) of the Companies Act 2013 ("the Act") with respect to thepreparation of these standalone financial statements that give a true and fair view of thefinancial position financial performance and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the accounting Standardsspecified under section 133 of the Act. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingof the assets of the Company and for preventing and detecting frauds and otherirregularities; selection and application of appropriate implementation and maintenance ofaccounting 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 statement that givea true and fair view and are free from material misstatement whether due to fraud orerror.
In preparing the financial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablematters related to going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the Company or to cease operations or has norealistic alternative but to do so. That Board of Directors is also responsible foroverseeing the company's financial reporting process.
Auditor's Responsibility for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether thefinancial statements as a whole are free from material misstatement whether due to fraudor error and to issue an auditor's report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material misstatement when it exists. Misstatements canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the economic decisions of userstaken on the basis of these financial statements.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditor's Report) Order 2016 ("theOrder") issued by the Central Government of India in terms of sub-section (11) ofsection 143 of the Companies Act 2013 we give in the Annexure "A" a statementon the matters specified in paragraphs 3 and 4 of the Order to the extent applicable.
As required by Section 143(3) of the Act we report that:
We have sought and obtained all the information and explanations whichto the best of our knowledge and belief were necessary for the purposes of our audit.
a. In our opinion proper books of account as required by law have beenkept by the Company so far as it appears from our examination of those books;
b. The Balance Sheet the Statement of Profit and Loss and the CashFlow Statement dealt with by this Report are in agreement with the books of account;
c. In our opinion the aforesaid standalone financial statements complywith the Accounting Standards specified under Section 133 of the Act read with Rule 7 ofthe Companies (Accounts) Rules 2014;
d. 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;
e. With respect to the other matters to be included in the Auditor'sReport in accordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 inour opinion and to the best of our information and according to the explanations given tous:
i. The Company does not have any pending litigations which could impactits financial position;
ii. The Company did not have any long-term contracts includingderivative contracts for which there were any material foreseeable losses.
iii. There were no amounts which were required to be transferred hasbeen no delay in transferring amounts required to be transferred to the investorEducation and Protection Fund. For Hitesh Gohel & Co. Chartered Accountants (F.R.No.129089W)
[CA Hitesh R. Gohel] Proprietor
Membership No. 129427
Place: Ahmedabad Date: 29th May 2018
Reports under The Companies (Auditor's Report) Order 2016 (CARO 2016)for the year ended on 31st March 2018
The Members of AMBITION MICA LIMITED
(1) In Respect of Fixed Assets
(a) The company has maintained proper records showing full particularsincluding quantitative details and situation of fixed assets.
(b) According to the Information and explanations given to us thefixed assets are verified in a phased manner by the management during the year which inour opinion is reasonable having regard to the size of the Company and nature of itsassets. No material discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and onthe basis of our examination of the records of the Company the title deed of allimmovable assets are held in the name of company.
(2) In Respect of Inventories
As explained to us the inventories have been physically verified bythe management at reasonable intervals during the year.
(3) Compliance under section 189 of The Companies Act 2013
The company has not granted any loans secured or unsecured tocompanies firms limited liability partnerships or other parties covered in the registermaintained u/s 189 of the Companies Act2013 (the Act).
(4) Compliance under section 185 and 186 of The Companies Act 2013
As per information and explanation given to us Company has not givenany loan or gurantees and has not provided any securities.
(5) Compliance under section 73 to 76 of The Companies Act 2013 andRules framed there under while accepting Deposits
The company has not accepted any Deposits from the public.
(6) Maintenance of cost records
As explained to us the Central Government has not prescribed themaintenance of Cost records under sub section (1) of section 148 of the Companies Act2013.
(7) Deposit of Statutory Dues
(a) Company is generally regular in depositing with appropriateauthorities undisputed statutory dues including Income tax Sales-tax Service tax Dutyof Excise Value added tax or Cess and any other statutory dues applicable to it exceptfor a professional tax amounting to Rs. 36520/- and GST of Rs. 8636465/- which isoutstanding on the last date of the financial year concerned for a period of more than sixmonths from the date they became payable also there has been a delay in CST VAT Exciseduty Service tax GST and TDS Payment. Company still have unpaid GST of Rs. 12991201as on the date of Balance sheet.
(b) According to the information and explanation given to us and as perthe records of the company the dues outstanding of Central Sales Tax on account of anydispute is as per annexure of Statement of Disputed Dues.
Statement of Disputed Dues
|Name of the Statute ||Name of the Dues || |
Amount in Rs.
Period to which the amount relate
|Forum where dispute is pending |
|1 Central Sales Tax Act(Gujarat) ||Central Sales Tax Interest and Penalty (For Non-submission of C Forms) || |
|Deputy Commissioner of Commercial Tax( Appeal-2) Ahmedabad |
(8) Repayment of Loans and Borrowings
According to the information and explanation given to us the companyhas not defaulted in repayment of its dues to financial institution bank or Government.The company does not have any borrowings from debenture holders.
(9) Utilization of Money Raised by Public Offers and T erm Loan Forwhich they Raised
According to the information and explanation given to us the companyhas raised Rs. 12.60 crores by way of further public offer (including debt instruments)during the year under review and utilized for the purpose for which it was intended to beraised.
(10) Reporting of Fraud During the Year
According to the information and explanation given to us during theyear under review no fraud by the company or any fraud on the company by its officers oremployees has been noticed or reported.
(11) Managerial Remuneration
According to the information and explanations given to us and based onour examination of the records of the company we report that company has complied with theprovisions of managerial remuneration of section 197 read with Schedule V to the CompaniesAct.
(12) Compliance by Nidhi Company Regarding Net Owned Fund to DepositsRatio
As per information and records available with us the company is notNidhi Company.
(13) Related party compliance with Section 177 and 188 of companies Act- 2013
According to the information and explanations given to us and based onour examination of the records of the company all transactions with the related partiesare in compliance with section 177 and 188 of Companies Act 2013 where applicable and thedetails have been disclosed in the Financial Statements etc. as required by theapplicable accounting standards.
(14) Compliance under section 42 of Companies Act - 2013 regardingPrivate placement of Shares or Debentures
According to the information and explanations given to us and based onour examination of the records of the company the company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year under review.
(15) Compliance under section 192 of Companies Act - 2013
According to the information and explanations given to us and based onour examination of the records of the company the company has not entered into anynon-cash transactions with directors or persons connected with him.
(16) Requirement of Registration under 45-IA of Reserve Bank of IndiaAct 1934
The company is not required to be registered under section 45-IA of theReserve Bank of India Act 1934. Hitesh Gohel & Co. Chartered Accountants
[Hitesh R. Gohel] Proprietor M'ship No. 129427 Firm Reg. No. 129089W
Place: Ahmedabad Date: 29th May 2018
Report on the Internal Financial Control under Clause (i) ofsub-section 3 of Section 143 of the Companies Act 2013 ("the Act")
We have audited the internal financial controls over financialreporting of AMBITION MICA LIMITED ("the Company") as of 31st March 2018 inconjunction with our audit of the financial statement of the Company for the year ended onthat date.
Management's Responsibility for Internal Financial Controls
The Company's management is responsible for establishing andmaintaining internal financial controls based on the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls overFinancial Reporting issued by the Institute of Chartered Accountants of India ('ICAI').These responsibilities include the design implementation and maintenance of adequateinternal financial controls that were operating effectively for ensuring the orderly andefficient conduct of its business including adherence to company's policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Companies Act 2013.
Our responsibility is to express an opinion on the Company's internalfinancial controls over financial reporting based on our audit. We conduct our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls over FinancialReporting (the "Guidance Note") and the Standards on Auditing issued by ICAIand deemed to be prescribed under section 143(10) of the Companies Act 2013 to theextent applicable to an audit of internal financial controls both applicable to an auditof Internal financial Controls and both issued by the Institute of Chartered Accountantsof India. Those Standards and the guidance Note require that we comply with ethicalrequirements and plans 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 procedure to obtain audit evidence aboutthe adequacy of the internal financial controls system over financial reporting and theiroperating effectiveness. Our audit of internal financial controls over financial reportingincluded obtaining an understanding of internal financial controls over financialreporting assessing the risk that a material weakness exist and testing and evaluatingthe design and operating effectiveness of internal control based on the assessed risk. Theprocedure selected depends on the auditor's judgment including the assessment of therisks of material misstatement of the financial statements whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the Company's internal financialcontrols system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A company's internal financial control over financial reporting is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of financial statements for external purpose in accordancewith generally 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 authorization 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 FinancialReporting
Because of the inherent limitations of internal financial controls overfinancial reporting including the possibility of collusion or improper managementoverride of controls material misstatements due to error or fraud may occur and not bedetected. Also projections of any evaluation of the internal financial controls overfinancial reporting to future periods are subject to the risk that the internal financialcontrol over financial reporting may become inadequate because of changes in conditionsor that the degree of compliance with the policies or procedures may deteriorate.
In our opinion the Company has in all material respects an adequateinternal financial controls system over financial reporting and such internal financialcontrols over financial reporting were operating effectively as at 31st March 2018 basedon the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAuditing of Internal Financial Controls Over Financial Reporting issued by the Instituteof Chartered Accountants of India. For Hitesh Gohel & Co. Chartered Accountants
[Hitesh R. Gohel] Proprietor M'ship No. 129427 Firm Reg. No. 129089W
Place: Ahmedabad Date: 29th May 2018