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Garbi Finvest Ltd.

BSE: 539492 Sector: Financials
NSE: N.A. ISIN Code: INE721C01019
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Garbi Finvest Ltd. (GARBIFINVEST) - Auditors Report

Company auditors report

TO

THE MEMBERS OF

GARBI FINVEST LIMITED (Formerly known as GOLDEN PROPERTIES & TRADERS LIMITED)

Report on the Financial Statements

We have audited the accompanying financial statements of GARBI FINVEST LIMITED(Formerly known as GOLDEN PROPERTIES & TRADERS LIMITED) ("the Company")which comprise the Balance Sheet as at 31st March 2017 the Statement of Profitand Loss and the Cash Flow Statement for the year then ended and a summary of significantaccounting 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 Companies Act 2013 (‘' the Act'') with respect to the preparation of thesefinancial statements that give a true and fair view of the financial position financialperformance and cash flows 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) Rules2014. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding the assets of the Company and for preventingand detecting frauds and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; andthe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.

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 performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders 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. An audit also includes evaluating theappropriateness of accounting policies used and the reasonableness of the accountingestimates made by the company's management as well as evaluating the overall presentationof 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 Balance Sheet of the state of affairs of the Company as at 31stMarch 2017;

(b) In the case of Statement of Profit and Loss of the profit of the Company for theyear ended on that date; and (c) In the case of Cash Flow Statement of the cashflows of the Company for the year ended on that date. Report on Other Legal and RegulatoryRequirements

1. As required by the Companies(Auditors Report) Order 2016 (‘the order') issuedby the Central Government of India in terms of subsection (11) of the section 143 of theAct we give in the Annexure A a statement on the matters specified in the paragraphs 3and 4 of the Order to the extent applicable.

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 purposes of our audit. (b) In ouropinion proper books of account as required by law have been kept by the Company so faras it appears from our examination of those books. (c) The Balance Sheet the Statement ofProfit and Loss and the Cash Flow Statement dealt with by this Report are in agreementwith the books of account. (d) In our opinion the aforesaid financial statements complywith the Accounting Standards specified under section 133 of the Act read with Rule 7 ofthe Companies (Accounts) Rules 2014.

(e) On the basis of written representations received from the directors as on 31stMarch 2017 and taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2017 from being appointed as a director in termsof Section 164 (2) of the Act; (f) With respect to the adequacy of the internal financialcontrols over financial reporting of the company and the operating effectiveness of suchcontrols refer to our separate report in "Annexure B"; and (g) With respect tothe other matters to be included in the Auditor's Report in accordance with Rule 11 of theCompanies (Audit and Auditors) Rules 2014 in our opinion and to the best of ourinformation and according to the explanations given to us: i. The Company does not haveany pending litigations which would impact on financial position in its financialstatements. ii. The Company did not have any long-term contracts including derivativescontracts for which there were any material foreseeable losses. iii. There were no amountswhich were required to be transferred by the Company to the Investor

Education and Protection Fund. iv. The Company had provided requisite disclosures inits financial statements as to holdings as well as dealings in Specified Bank Notes duringthe period from 8th November 2016 to 30th December 2016 and these are in accordance withthe books of accounts maintained by the company.

For J.B.S & Company
Chartered Accountants
FRN: 323734E
Sd/-
(Shilpa Poddar)
Partner
Membership Number: 068845

Place: Kolkata Date: 30.05.2017

Annexure-A to the Independent Auditor's Report (referred to in our report of even date)

The Annexure referred to in Independent Auditor's report to the members of the companyon financial statements for the year ended 31st March 2017 we report that:

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

(b) These Fixed Assets have been physically verified by the management at reasonableintervals and no material discrepancies were noticed on such verification. In our opinionthe periodicity of physical verification is reasonable having regard to the size of thecompany and nature of its assets.

(c) The company does not hold any immovable property. Therefore the provisions ofparagraph 3(i)(c) of the said Order is not applicable to the Company.

(ii) The company does not hold any inventory. Therefore the provisions of paragraph3(ii) of the said Order is not applicable to the Company (iii) The Company has not grantedloan to any person covered in the register maintained under section 189 of the CompaniesAct 2013 (‘the Act'). Hence provisions of paragraph 3 (iii) of the said Order isnot applicable to the company. (iv) In our opinion and according to the information andexplanation given to us the Company has not granted any loan under section 185 of theAct. The Company being a Non Banking Financial Institution hence the provision undersection 186 of the Act with regard to Loans and Investments is not applicable to theCompany. (v) The Company has not accepted any deposits from the public. (vi) The CentralGovernment has not prescribed the maintenance of the Cost records under section 148(1) ofthe Act for the services of the Company. Hence provisions of paragraph 3(vi) of the saidOrder is not applicable. (vii) (a) According to the information and explanations given tous and on the basis of our examinations of the records of the Company amountsdeducted/accrued in the books of account in respect of undisputed statutory dues includingIncome Tax and other material statutory dues have been regularly deposited during the yearby the Company with the appropriate authorities and there are no arrear of outstandingstatutory dues as on the last date for the period more than six months. (b) According tothe information and explanations given to us there are no dues of Income Tax and othermaterial statutory dues which have not been deposited as on 31st March withthe appropriate authorities on account of any dispute. (viii) Based on our auditprocedures and on the information and explanations given by the management the Companydid not have any outstanding dues to the financial institutions banks and Government ordebenture holders during the year. (ix) The Company did not raise any money by way ofinitial public offer or further public offer (including debt instruments) and term loansduring the year. Thus provisions of paragraph 3 (ix) of the said Order is not applicableto the Company.

(x) 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. (xi) Based upon the audit procedures performed and theinformation and explanations given by the management the company has not paid anymanagerial remuneration during the year. Hence provisions of paragraph 3 (xi) of the saidOrder is not applicable to the Company. (xii) According to the information andexplanations provided to us the company is not a Nidhi Company as defined under section406 of the Act. (xiii) In our opinion and according to the information and explanationsgiven to us there were no transactions with the related parties as stated in Section 177and 188 of Companies Act 2013. Hence provisions of paragraph 3 (xiii) of the said Orderis not applicable to the Company. (xiv) According to the information and explanations giveto us and based on our examination of the records of the Company the Company has not madeany preferential allotment or private placement of shares or fully or partly convertibledebentures during the year. (xv) According to the information and explanations given to usand based on our examination of the records of the Company the Company has not enteredinto non-cash transactions with directors or persons connected with him. Accordinglyprovisions of paragraph 3 (xv) of the said Order is not applicable to the Company. (xvi)According to the information and explanations provided to us and based on our examinationof the records of the Company the Company is registered under section 45-IA of theReserve Bank of India Act 1934 and such registration has been obtained.

For J.B.S & Company Chartered Accountants FRN: 323734E Sd/- (Shilpa Poddar) PartnerMembership Number: 068845

Place: Kolkata
Date: 30.05.2017

Annexure - B to the Auditors' Report

Report on the Internal Financial Controls over Financial Statements under Clause (i) ofSub-section 3 of Section

143 of the Companies Act 2013 ("the Act")

We have audited the internal financial controls over financial reporting of GARBIFINVEST LIMITED (Formerly known as GOLDEN PROPERTIES & TRADERS LIMITED) ("theCompany") as of 31st March 2017 in conjunction with our audit of thefinancial 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 Reporting issued by the Institute of Chartered Accountants of India(‘ICAI'). These responsibilities include the design implementation and maintenanceof adequate internal financial controls that were operating effectively for ensuring theorderly and efficient conduct of its business including adherence to company's policiesthe safeguarding 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.

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 prescribed under section 143(10) of theCompanies Act 2013 to the extent applicable to an audit of internal financial controlsboth applicable to an audit of Internal Financial Controls and both issued by theInstitute of Chartered Accountants of India. Those Standards and the Guidance Note requirethat we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether adequate internal financial controls over financialreporting was established and maintained and if such controls operated effectively in allmaterial respects. Our audit involves performing procedures 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 exists and testing and evaluatingthe design and operating effectiveness of internal control based on the assessed risk. Theprocedures selected depend 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 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.

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 31 March 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 issued by the Institute of CharteredAccountants of India.

For J.B.S & Company Chartered Accountants FRN: 323734E Sd/- (Shilpa Poddar) PartnerMembership Number: 068845

Place: Kolkata Date: 30.05.2017