TO THE MEMBERS OF GANESH HOLDING LIMITED
1. Report on the Financial Statements
We have audited the accompanying financial statements of Ganesh Holding Limited(the Company) which comprise the Balance Sheet as at 31sl March2018 and the Statement of Profit and Loss and cash flow statement for the year then ended and a summary of significant accounting policies and other explanatory information.
2. 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. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding of the asssets of the Company and forpreventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgements and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the financialstatements that give a true and fair view and are free from material misstatement whetherdue to fraud or error.
In preparing the financial statements management is responsible for assessing theCompany'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 the operations or has no realisticalternative but to do so.
3. Auditor's Responsibility
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 thereunder 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 misstatement an audit involves performing procedures to obtain audit evidenceabout the amounts and disclosures in the financial statements. The procedures selecteddepend on the auditor's judgment including the assessment of the risks of materialmisstatement of the financial statements whether due to fraud or error. In making thoserisk assessments the auditor considers internal financial control relevant to theCompany's preparation of the financial statements that give a true and fair view in orderto design audit procedures that are appropriate in the circumstances. An audit alsoincludes evaluating the appropriateness of accounting policies used and the reasonablenessof the accounting estimates made by Company's Directors as well as evaluating the overallpresentation of the financial statements.
We are also responsible to conclude on the appropriateness of management's use of thegoing concern basis of accounting and based on the audit evidence obtained whether amaterial uncertainty exists related to events or conditions that may cast significantdoubt on the entity's ability to continue as a going concern. If we conclude that amaterial uncertainty exists we are required to draw attention in the auditor's report tothe related disclosures in the financial statements or if such disclosures areinadequate to modify the opinion. Our conclusions are based on the audit evidenceobtained up to the date of the auditor's report. However future events or conditions maycause an entity to cease to continue as a going concern
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
4. Basis of qualified opinion :
As stated in note no 17 the company has bought and sold commodities through brokerAnand Rathi Commodities Limited who is registered with NSEL. Due to NSEL scam all stockas on th^ date was not delivered and business had stopped. In August 2013 the committee ofNSEL has decided to Pay money to investor in small amount. Hence the company has decidedto convert the stock of Rs 7307951/- into recoverable under other current assets. Sincelong nothing is recovered against this advance management as per their resolution dated12-02-2018 decided to w/off 7.50% of the advances as Bad Debts every year till it becomesnil. Total advances recoverable after written off of 7.5% as on 31st March2018is Rs 6759855/- (7307951/-). The company need to follow provisioning requirement inline of master circular no RBI /2014 -15/299 DNBR(PD) CC No 002/03.10.001/2014-15 .Further in the absence security and further development of case we are unable to commenton recoverability of carrying amount.
Subject to basis of qualification para In our opinion and to the best of ourinformation and according to the explanations given to us the aforesaid financialstatements give the information required by the Act in the manner so required and give atrue and fair view in conformity with the accounting principles generally accepted inIndia of the state of affairs of the Company as at 31st March 2018 and itsprofit and its cash flow for the year ended on that date.
6. Report on Other Legal and Regulatory Requirements
(i) 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 Annexure A a statement on the matters specified in the paragraph 3and 4 of the order.
(ii) As required by sub- section (3) of section 143of 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 Statement of Profit and Loss and cash flow statement dealt withby this Report 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.
ic> I 'n the basis of written representations received from the Directors as on 31March. 2018 and taken on record by the Board of Directors none of the directors isdisqualified as on 31st March. ..'nix. troin being appointed as a director interms of Section 164(2) of the Act.
(f) W ith respect to the adequacy of the internal financial controls over financialreporting of the Company and the operating ettectiveness ot such controls reter 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:
(i) As explained to us the company has does have any pending litigation which wouldimpact its financial position in its financial statement. Please refer note no 17 ot thefinancial statement
(ii) The Company did not have any long term contract including derivities contracr asat 31st March 2018.
(hi) The Company was not required to deposit or pay any dues in respect of the InvestorEducation and Protection Fund during the year.
|For Chaturvedi Sohan & Co || |
|Chartered Accountants || |
|Firm Reg. No. 118424 W || |
|S<*/- || |
|Rajiv Chauhan || |
|Partner ||Place : Mumbai |
|Membership No. : 143866 ||Date : 31st May 2018 |