THE MEMBERS OF BANSAL MULTIFLEX LIMITED Ahmedabad (Gujrat)
Report on the Financial Statements
We have audited the accompanying financial statements of Bansal Multiflex Limited (FormallyKnown Bansal Tradeworld Pvt Ltd) ("the Company") which comprise the BalanceSheet as on 31/03/2017 the Statement of Profit and Loss for the year then ended and asummary of the 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 statements that give a true and fair view of the financial position andfinancial performance of the Company in accordance with the accounting principlesgenerally accepted in India including the Accounting Standards specified under Section133 of the Act read with Rule 7 of the Companies
(Accounts) Rules 2014. This responsibility also includes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding of theassets of the Company and for preventing and detecting frauds and other irregularities;selection and application of appropriate accounting policies; making judgments andestimates that are reasonable and prudent; and design implementation and maintenance ofadequate internal
financial 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.
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 thereunder.
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 ethical requirements and plan andperform the audit to obtain reasonable assurance about whether the financial statementsare free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the financial statements. The procedures selected depend on theauditor's judgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances but not for the purpose of expressing anopinion on whether the Company has in place an adequate internal financial controls systemover financial reporting and the operating effectiveness of such controls. An audit alsoincludes evaluating the appropriateness of the accounting policies used and thereasonableness of the accounting estimates made by the Company's Directors as well asevaluating the overall presentation 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.
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 of the state of affairs of the Company as on 31/03/2017and its Profit the on that date.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditors' Report) Order2016("the Order")issued by the Central Government of India in terms of sub section (11) of section 143 ofthe Companies Act 2013. We give in the Annexure A statements on the matters specified inparagraphs 3 and 4 of the order to the extent applicable.
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 dealt with by thisReport are 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 the directors as on 31/03/2017taken on record by the Board of Directors none of the directors disqualified as 31/03/2017from being appointed as a director in terms 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 A".
(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 has disclosed the impact of pending litigations on its financialposition in its financial statements.
ii. The Company has made provision as required under the applicable law or accountingstandards for material foreseeable losses if any on long-term contracts includingderivative contracts.
iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and
Protection Fund by the Company.
"ANNEXURE A" TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THESTANDALONE FINANCIAL STATEMENTS OF BANSAL MULTIFLEX LIMITED
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 BansalMultiflex Limited .
("The Company") as on 31st March 2017 in conjunction with our audit ofthe standalone financial statements of the Company 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 required underthe 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 of India. Those Standards and the Guidance Note require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether adequate 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 amout the adequacy ofthe 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 on theauditor's judgment including the assessment of the risks of material misstatement of thefinancial 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 systemover financial 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 ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures 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.
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 issues by the Institute of CharteredAccountants of India.
REPORTS UNDER THE COMPANIES AUDITORS REPORT ORDER 2016 CARO 2016
FOR THE YEAR ENDED ON 31ST MARCH 2017
The Members of Bansal Multiflex Limited (1) In Respect of Fixed Assets
(a) The company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) Fixed assets have been physically verified by the management at reasonableintervals; No material discrepancies were noticed on such verification.
(c) Yes held in the name of co but Motor Car is in the name of one of the director
(2) in Respect of Inventories
Physical verification of inventory has been conducted at reasonable intervals by themanagement.
(3) Compliance under section 189 of The Companies Act 2013
As informed the company has granted loans to 2 parities of Rs230732/ unsecured tocompanies firms or other parties covered in the register maintained under section 189 ofthe Companies Act 2013.
(a) In our opinion and according to the information and explanations given to us. Therate of interest and other terms and conditions for such loans are not prima facieprejudicial to the interest to the company.
(b) The loans granted are re-payable on demand. As informed the company has notdemanded repayment of any such loan during the year thus there has been no default onthe part of the parties to whom the money has been lent. The payment of interest has beenregular.
(c) There is no overdue amount of loans granted to companies firms or other partieslisted in the register maintained un section 189 of the companies Act 2013.
(4) Compliance under section 185 and 186 of The Companies Act 2013
While doing transaction for loans investments guarantees and security provisions ofsection 185 and 185 of Companies Act 2013 have been complied with.
(5) Compliance under section 73 to 76 of The Companies Act 2013 and Rules framedthereunder while accepting Deposits
The Company have taken unsecured loan of Rs2075890/- from one of the Director of theCompany. In our opinion & according to information and explanations given to us thecompany has complied with directives issued by the RBI and provisions of Sec.73 to 76 ofthe compnay's act. 2013 and rules framed thereunder.
(6) Maintenance of cost records
The Company is not required to maintain cost records pursuant to the Rules made by theCentral Govenment for the maintenance of cost records under sub-section (1) of section 148of the Companies Act 2013.
(7) Deposit of Statutory Dues
(a) The company is regular in depositing the undisputed statutory dues includingprovident fund employees' state insurance income tax sales tax wealth tax servicetax custom duty excise duty cess and other statutory dues applicable to the Company withthe appropriate authorities. No undisputed amounts payable in respect of the aforesaidstatutory dues were outstanding as at the last day of the financial year for a period ofmore than six months from the date they become payable.
(b) There is no dispute with the revenue authorities regarding any duty or tax payable.
(8) Repayment of Loans and Borrowings
The company has not defaulted in repayment of dues to financial institution bank ordebenture holders.
(9) Utilization of Money Raised by Public O ers and Term Loan For which they Raised
The Company has not applied term loans for the purposes other than for which those areraised
(10) Reporting of Fraud During the Year
Based on our audit procedures and the information and explanation made available to usno such fraud noticed or reported during the year.
(11) Managerial Remunearion
Managerial remuneration has been paid or provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct.
(12) Compliance by Nidhi Company Regarding Net Owned Fund to Deposits Ratio
As per information and records available with us The Company is not Nidhi Company.
(13) Related party compliance with Section 177 and 188 of companies Act - 2013
Yes All transactions with the related parties are in compliance with section 177 and188 of Companies Act
2013 where applicable and the details have been disclosed in the Financial Statementsetc as required by the applicable accounting standards.
(14) Compliance under section 42 of Companies Act - 2013 regarding Private placement ofShares or Debentrues
Not applicable as no preferential allotment made during the year.
(15) Compliance under section 192 of Companies Act 2013
The Company have take over the business of two related party namely 1) BarisalEnterprise at Rs 51506455 2) Ayush Marketing at Rs 4050196 at book cost as on 18thJanuary 2017 and approval for the such arrangement is accorded by resolution passed inExtra Ordinary General Meeting held as on 9th January 2017 at the registered office ofthe company.
(16) Requirement of Registration under 45-IA of Reserve Bank of India Act 1934
The company is not required to be registered under section 45-IA of the Reserve Bank ofIndia Act.
| ||FOR Kishor Goyal &Co. |
| ||(Chartered Accountants) |
| ||Reg. No. 008897N |
| ||Sd/- |
| ||Premchand Kadmawala |
|Date : 25/04/2017 ||(Partner) |
|Place : Ahmedabad ||Membership No: 030740 |