Apex Capital and Finance Ltd.
|BSE: 541133||Sector: Financials|
|NSE: N.A.||ISIN Code: INE758W01019|
|BSE 00:00 | 29 Jul||Apex Capital and Finance Ltd|
|NSE 05:30 | 01 Jan||Apex Capital and Finance Ltd|
|BSE: 541133||Sector: Financials|
|NSE: N.A.||ISIN Code: INE758W01019|
|BSE 00:00 | 29 Jul||Apex Capital and Finance Ltd|
|NSE 05:30 | 01 Jan||Apex Capital and Finance Ltd|
The Members of
Apex Capital and Finance Limited
We have audited the accompanying Ind AS financial statements of Apex Capital andFinance Limited ("the Company") which comprise the Balance Sheet as at March31 2021 the Statement of Profit and Loss including the statement of other Comprehensiveincome the Cash Flow statement and the statement of changes in Equity for the year endedand notes to the Ind AS 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 the explanationsgiven to us the aforesaid Ind AS financial statements give the information required bythe Companies Act 2013 as amended ('the Act') in the manner so required and give a trueand fair view in conformity with the accounting principles generally accepted in India ofthe state of affairs of the Company as at March 31 2021 its profit including othercomprehensive income its cash flows and the changes in equity for the year ended on thatdate.
Basis for opinion
We conducted our audit of the Ind AS financial statements in accordance with thestandards on auditing (SAs) as specified under section 143 (10) of the Act. Ourresponsibilities under those Standards are further described in the auditor'sresponsibilities for the audit of the Ind AS financial statements section of our report.We are independent of the Company in accordance with the 'code of ethics' issued by theInstitute of Chartered Accountants of India together with the ethical requirements thatare relevant to our audit of the Ind AS financial statements under the provisions of theAct and the rules thereunder and we have fulfilled our other ethical responsibilities inaccordance with these requirements and the code of ethics. We believe that the auditevidence we have obtained is sufficient and appropriate to provide a basis for our auditopinion on the Ind AS financial statements.
Key Audit Matters
Key audit matters ('KAM') are those matters that in our professional judgment were ofmost significance in our audit of the Ind AS financial statements of the current period.These matters were addressed in the context of our audit of the Ind AS financialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these matters. We have determined the matters described below to bethe key audit matters to be communicated in our report.
We have determined the matters described below to be the key audit matters to becommunicated in our report. We have fulfilled the responsibilities described in theAuditor's responsibilities for the audit of the standalone Ind As financial statementssection of our report including in relation to these matters. Accordingly our auditincluded the performance of procedures designed to respond to our assessment of the risksof material misstatement of the Ind AS financial statements. The results of our auditprocedures including the procedures performed to address the matters below provide thebasis for our audit opinion on the accompanying Ind AS financial statements.
Management's Responsibility for the IND AS Financial Statements
The Company's board of directors are responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these Ind AS financial statements thatgive a true and fair view of the financial position financial performance and cash flowsof the Company in accordance with the accounting principles generally accepted in Indiaincluding the accounting standards specified under section 133 of the Act.
This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding of 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 Ind AS financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.
In preparing the Ind AS financial statements management is responsible for assessingthe Company's ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so.
The Board of Directors are also responsible for overseeing the Company's financialreporting process. Auditor's responsibilities for the audit of Ind AS FinancialStatements
Our objectives are to obtain reasonable assurance about whether the Ind AS financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken on thebasis of these Ind AS financial statements.
As part of an audit in accordance with SAs we exercise professional judgment andmaintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the Ind AS financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under section 143(3)(i)of the Companies Act 2013 we are also responsible for expressing our opinion on whetherthe company has adequate internal financial controls system in place and the operatingeffectiveness of such controls
Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basisof accounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe Ind AS financial statements or if such disclosures are inadequate to modify ouropinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditor's report. However future events or conditions may cause the Company to cease tocontinue as a going concern.
Evaluate the overall presentation structure and content of the Ind AS financialstatements including the disclosures and whether the Ind AS financial statementsrepresent the underlying transactions and events in a manner that achieves fairpresentation.
We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit and significant audit findings including anysignificant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.
From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the Ind AS financial statements ofthe current period and are therefore the key audit matters. We describe these matters inour auditor's report unless law or regulation precludes public disclosure about the matteror when in extremely rare circumstances we determine that a matter should not becommunicated in our report because the adverse consequences of doing so would reasonablybe expected to outweigh the public interest benefits of such communication.
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 in terms of sub-Section (11) of Section 143 of the Actwe give in "Annexure A" a statement on matters specified in paragraphs 3and 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 purpose 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 account.
d) in our opinion the aforesaid Ind AS financial statement 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 written representations received from the directors as on March 312021 and taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2021 from being appointed as a director in terms of Section 164(2) of theAct.
f) With respect of 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".
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) The Company does not have any pending litigations which would impact itsfinancial position.
(ii) The Company did not have any long-term contracts including derivative contractsfor which there were any material foreseeable losses.
(iii) There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company.
The Annexure referred to in paragraph 1 under the heading "Report on other legaland regulatory requirements" of Our Report of even date.
On the basis of such checks as we considered appropriate and according to theinformation and explanation given to us during the course of our audit we report that:
1. (a) The company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) As explained to us all the assets have been verified by the management at areasonable interval having regard to the size of the Company and nature of its assets. Nomaterial discrepancies were noticed on such physical verification.
(c) According to the information and explanations given to us the company doesn't haveany immovable property. Therefore in our opinion the requirement on reporting whethertitle deeds of immovable properties held in the name of the company is not applicable.
2. The Company does not have any inventories therefore no comments are required inrespect of physical verification and maintenance of its inventories.
3. The Company has not granted any loans or advances in the nature of loans to theCompanies firms Limited Liability Partnerships covered in the register maintained u/s189 of the Companies Act 2013. Hence the sub-clauses of the clause (iii) are notapplicable to the Company. However the company has granted loan to a concern in its normalcourse of business and terms and conditions of the loan are not prejudicial to theinterest of the company.
4. The Company has complied with the provisions of section 185 & 186 of thecompanies Act 2013 in respect of advances given by the company.
5. The Company has not accepted any deposits from public during the year ended31.03.2021 and consequently the directives issued by the RBI the provisions of 73 to 76or any other relevant provision of the Companies Act and the rules framed there under arenot applicable to the Company.
6. The maintenance of the cost records prescribed by the central government U/s 148(1)of the Act is not applicable to the company.
7. According to the information and explanations given to us the Company is regular indepositing with appropriate authorities undisputed statutory dues including providentfund Employees' State Insurance Income tax Goods & Service Tax Sales Tax ServiceTax Excise duty tax Value Added Tax Custom Duty Cess and other statutory dueswhichever is applicable to it.
According to the information and explanations given to us no undisputed amountspayable in respect of income tax. Goods & service tax sales tax value added taxcustom duty and excise duty were outstanding as at March 31 2021 for a period of morethan six months from the date they became payable.
According to information and explanations given to us there are no dues in respect ofincome tax Goods & service tax wealth tax sales tax value added tax custom dutyand excise duty which have not been deposited with the appropriate authorities on accountof any dispute.
8. The company has not taken any term loan from financial institution or bank or issueddebentures till 31st March 2021. Hence in our opinion the question ofreporting on default in repayment of dues to financial institution or bank or debentureholders does not arise.
9. As per the Information and explanations given to us and as per the records producedbefore us the Company has not raised any moneys by way of initial public offer or furtherpublic offer or term loans during the financial year ended 31st March 2021 so reportingon application of such moneys does not arise.
10. During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstance of fraud on or by the Company noticed or reported during the year nor have webeen informed of such case by the management.
11. The Company has not paid or provided any Managerial remuneration during thefinancial year ended on 31.03.2021.
12. As per the information and explanations given to us and as per the records producedbefore us by the management of the Company We are of the opinion that the company is nota nidhi company hence the requirement of clause 3 (xii) of the order do not apply to thecompany.
13. As per the information and explanations given to us and as per the records producedbefore us by the management of the Company We are of the opinion that all transactionswith the related parties are in the ordinary course of business and in compliance withsections 177 and 188 of the Companies Act 2013 wherever applicable. The details of thetransactions have been disclosed in the Ind AS financial statements as required by theapplicable accounting standards.
14. The Company has not made any preferential allotment or private placement of sharesor fully or partly convertible debentures during the year under review.
15. According to the information and explanations given by the management 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. Accordingly paragraph3(XV) of the order is not applicable.
16. The Company has been registered under section 45-IA of the Reserve Bank of IndiaAct 1934.
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 ApexCapital and Finance Limited ('the Company) as of 31st March 2020 inconjunction with our audit of the standalone Ind AS financial statements of the Companyfor 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. These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business including adherence tocompany's policies the safeguarding of its assets the prevention and detection of fraudsand errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the 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 auditinvolves performing procedures to obtain audit evidence about the adequacy of the internalfinancial controls system over financial reporting and their operating effectiveness. Ouraudit 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 Ind AS financial statements whether due to fraud or error. We believethat the audit evidence we have obtained is sufficient and appropriate to provide a basisfor our audit opinion on the Company's internal financial controls system over financialreporting.
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 Ind AS 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 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 Ind AS financial statements in accordance with generally acceptedaccounting principles and that receipts and expenditures of the company are being madeonly in accordance with authorisations of management and directors of the company; and
(3) provide reasonable assurance regarding prevention or timely detection ofunauthorised acquisition use or disposition of the company's assets that could have amaterial effect on the Ind AS 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 31st March 2020.