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Geecee Ventures Ltd.

BSE: 532764 Sector: Infrastructure
NSE: GEECEE ISIN Code: INE916G01016
BSE 00:00 | 02 Dec 144.40 8.55
(6.29%)
OPEN

136.10

HIGH

152.00

LOW

136.05

NSE 00:00 | 02 Dec 148.50 12.45
(9.15%)
OPEN

136.00

HIGH

155.20

LOW

135.55

OPEN 136.10
PREVIOUS CLOSE 135.85
VOLUME 317
52-Week high 191.50
52-Week low 76.05
P/E 20.75
Mkt Cap.(Rs cr) 302
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 136.10
CLOSE 135.85
VOLUME 317
52-Week high 191.50
52-Week low 76.05
P/E 20.75
Mkt Cap.(Rs cr) 302
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Geecee Ventures Ltd. (GEECEE) - Auditors Report

Company auditors report

To

The Members of

Geecee Ventures Limited

Report on the Audit of the Standalone Ind AS Financial Statements

Opinion

We have audited the accompanying Standalone Ind AS Financial Statements of GeeceeVentures Limited ("the

Company") which comprise of the Balance Sheet as at 31st March 2020 theStatement of Profit and Loss (including other comprehensive income) the Cash FlowStatement and Statement of changes in equity for the year then ended and notes to thefinancial statements including a summary of significant accounting policies and otherexplanatory information. (Hereinafter referred to as "Standalone Ind AS FinancialStatements") In our opinion and to the best of our information and according to theexplanations given to us the aforesaid Standalone Ind AS Financial Statements give theinformation required by the Companies Act 2013 ("the Act") in the manner sorequired and give a true and fair view in conformity with the accounting principlesgenerally accepted in India including the Ind AS of the state of affairs of the Companyas at March 31 2020 and its profit and total comprehensive income its cash flows andchanges in equity for the year ended on that date.

Basis for Opinion

We conducted our audit of the Standalone Ind AS Financial Statements in accordance withthe Standards on Auditing

(SAs) specified under section 143(10) of Act. Our responsibilities under thoseStandards are further described in the

Auditor's Responsibilities for the Audit of the Standalone Ind AS Financial Statementssection of our report. We are independent of the Company in accordance with the Code ofEthics issued by the Institute of Chartered Accountants of India (ICAI) together with theethical requirements that are relevant to our audit of the financial statements under theprovisions of the Act and the Rules thereunder and we have fulfilled our other ethicalresponsibilities in accordance with these requirements and the Code of Ethics. We believethat the audit evidence we have obtained is sufficient and appropriate to provide a basisfor our opinion on Ind As Financial Statement.

Emphasis of Matter

We further draw your attention to Note 43 of Standalone Ind AS Financial Statements asregards the management's assessment of the financial impact dueto restrictions andconditions related to Covid-19 pandemic situation. Our opinion is not modified in respectof this matter

Key Audit Matters

Key Audit Matters are those matters that in our professional judgment were of mostsignificance in our audit of the financial statements of the current period. These matterswere addressed in the context of our audit of the financial statements as a whole and informing our opinion thereon and we do not provide a separate opinion on these matters.

We have determined the matters described below to be the key audit matters to becommunicated in our report

Key Audit Matter Auditor's Response
1. Revenue Recognition
The Company's most significant revenue streams• involve sale of residential and commercial units representing 55.28% of the total revenue from operations of the Company. Our audit procedures included following:
Revenue is recognised post transfer of control of residential and commercial units to customers for the amount / consideration which the Company expects to receive in exchange for those units. Evaluating the design and implementation and tested operating effectiveness of key internal controls over revenue recognition.
The trigger for revenue recognition is normally completion of the project and receipt of approvals on completion from relevant authorities post which the contract becomes non-cancellable. • Evaluating the accounting policies adopted by the Company for revenue recognition to check those are in line with the applicable accounting standards and their consistent application to the significant sales contracts.
The risk for revenue being recognised in an incorrect period presents a key audit matter due to the financial significance. • Scrutinising the revenue journal entries raised throughout the reporting period and comparing details of a sample of these journals which met certain risk-based criteria with relevant underlying documentation.
• Testing timeliness of revenue recognition by comparing individual sample sales transactions to underlying contracts.
• Conducting site visits during the year for selected projects to understand the scope nature and progress of the projects.
• Considering the adequacy of the disclosures in the standalone financial statements in respect of the judgments taken in recognising revenue for residential and commercial property units in accordance with Ind AS 115. Our audit procedures included:
2. Inventories
Inventories held by the Company comprising of finished goods and construction work in progress represent 25.49% of the Company's total assets. Inventory may be held for long periods of time before sale making it vulnerable to reduction in net realizable value (NRV). This could result in an overstatement of the value of inventory when the carrying value is higher than the NRV. • Understanding from the Company the basis of estimated selling price for the unsold units and units under construction.
• Evaluating the design and testing operating effectiveness of controls over preparation and update of NRV workings by designated personnel.
Testing controls related to Company's review of key estimates including estimated future selling prices and costs of completion for property development projects.
Assessing NRV • Evaluating the Company's judgement with regards to application of write-down of inventory units by auditing the key estimates data inputs and assumptions adopted in the valuations.
NRV is the estimated selling price in the ordinary course of business less estimated costs necessary to make the sale and estimated costs of completion (in case of construction work-in- progress). The inventory of finished goods and construction work-in- progress is not written down below cost when completed flats/ under- construction flats /properties are expected to be sold at or above cost. Comparing expected future average selling prices with available market conditions such as price range available under industry reports published by reputed consultants and the sales budget plans maintained by the Company.
For NRV assessment the estimated selling price is determined for a phase sometimes comprising multiple units. • Comparing the estimated construction costs to complete each project with the Company's updated budgets. Re-computing the NRV on a sample basis to test inventory units are held at the lower of cost and NRV.
The assessment and application of write-down of inventory to NRV are subject to significant judgement by the Company.
As such inappropriate assumptions in these judgements can impact the assessment of the carrying value of inventories. Considering the Company's judgement associated with long dated estimation of future market and economic conditions and materiality in the context of total assets of the Company we have considered assessment of net realizable value of inventory as key audit matter.

Information Other than the Standalone Ind AS Financial Statements and Auditor's ReportThereon

The Company's Board of Directors is responsible for the preparation of the otherinformation. The other information comprises the information included in the ManagementDiscussion and Analysis Board's Report including Annexures to Board's Report BusinessResponsibility Report Corporate Governance and Shareholder's Information but does notinclude the Standalone Ind AS Financial Statements and our auditor's report thereon.

Our opinion on the Standalone Ind AS Financial Statements does not cover the otherinformation and we do not express any form of assurance conclusion thereon.

In connection with our audit of the Standalone Ind AS Financial Statements ourresponsibility is to read the other information and in doing so consider whether theother information is materially inconsistent with the Standalone Ind AS FinancialStatements or our knowledge obtained during the course of our audit or otherwise appearsto be materially misstated.

If based on the work we have performed we conclude that there is a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.

Responsibility of Management and Those Charged with Governance for Standalone Ind ASFinancial 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 of these Standalone Ind ASfinancial statements that give a true and fair view of the financial position financialperformance total comprehensive income changes in equity and cash flows of the Companyin accordance with Ind AS and other accounting principles generally accepted in India.This responsibility also includes maintenance of adequate accounting records in accordancewith the provisions of the Act for safeguarding of the assets of the Company and forpreventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments 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 Ind ASfinancial material misstatement whether due to fraud or error.

In preparing the Standalone Ind AS 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.

The Board of Directors are also responsible for overseeing the company's financialreporting process.

Auditor's Responsibilities for the Audit of the Standalone Ind AS Financial Statements

Our objectives are to obtain reasonable assurance about whether the Standalone Ind ASFinancial 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 Standalone Ind AS Financial Statements. As part of an audit inaccordance with SAs we exercise professional judgment and maintain professionalskepticism throughout the audit. We also:

• Identify and assess the risks of material misstatement of the Standalone Ind ASFinancial Statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.

Obtain an understanding of internal financial control that are appropriate in thecircumstances. Under section 143(3)(i) of the Companies Act 2013 we are also responsiblefor expressing our opinion on whether the company has adequate internal financial controlssystem in place and the operating effectiveness 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 Standalone Ind AS Financial Statements or if such disclosures are inadequate tomodify our opinion. Our conclusions are based on the audit evidence obtained up to thedate of our auditor's report. However future events or conditions may cause the Companyto cease to continue as a going concern.

• Evaluate the overall presentation structure and content of the Standalone IndAS Financial Statements including the disclosures and whether the Standalone Ind ASFinancial Statements represent the underlying transactions and events in a manner thatachieves fair presentation.

Materiality is the magnitude of misstatements in the Standalone Ind AS FinancialStatements that individually or in aggregate makes it probable that the economicdecisions of a reasonably knowledgeable user of the financial statements may beinfluenced. We consider quantitative materiality and qualitative factors in (i) planningthe scope of our audit work and in evaluating the results of our work; and (ii) toevaluate the effect of any identified misstatements in the financial statements.

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 Financial Statements of thecurrent period and are matters. We describe these matters in our Auditor's Report unlesslaw or regulation precludes public disclosure about the matter or when in extremely rarecircumstances we determine that a matter should not be communicated in our report becausethe adverse consequences of doing so would reasonably be expected to outweigh the publicinterest benefits of such communication.

Report on Other Legal and Regulatory Requirements

1. As required by Section 143(3) of the Act based on our audit 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 including other comprehensiveincome Statement of Cash Flows and Statement of changes in equity dealt with by thisReport are in agreement with the relevant books of account.

d. In our opinion the aforesaid Standalone Ind AS Financial Statements comply with theInd AS 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 31stMarch 2020 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2020 from being appointed as a director in terms of Section164 (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". Our Report expressed an unmodified opinion onthe adequacy and operating effectiveness of the Company's internal financial controls overfinancial reporting. g. With respect to the other matters to be included in the Auditor'sReport in accordance with the requirements of section 197(16) of the Act as amended: Inour opinion and to the best of our information and according to the explanations given tous the remuneration paid by the Company to its directors during the year is in accordancewith the provisions of section 197 of the Act. h. With respect to the other matters to beincluded in the Auditor's Report in accordance with Rule 11 of the Companies (Audit andAuditors) Rules 2014 in our opinion and to the best of our information and according tothe explanations given to us:

i. The Company has disclosed the impact of pending litigations on its financialposition in its Standalone

Ind AS Financial Statements in Note No. 38. ii. The Company did not have any long-termcontracts including derivatives contracts for which there were any material foreseeablelosses. iii. There has been no delay in transferring amounts required to be transferredto the Investor Education and Protection Fund by the Company.

2. As required by the Companies (Auditor's Report) Order 2016 ("the Order")issued by the Central Government in terms of Section 143(11) of the Act we give in "AnnexureB" a statement on the matters specified in paragraphs

3 and 4 of the Order.

For MRB & Associates

Chartered Accountants Firm Registration Number-136306W

Manish R Bohra

Partner Membership No.: 058431

Place: Mumbai Date: 18th June 2020

UDIN: 20058431AAAACF3300

ANNEXURE - A TO THE INDEPENDENT AUDITORS' REPORT

Referred to in paragraph 1(f) under "Report on Other Legal and RegulatoryRequirements" section of our report to the members of Geecee Ventures Limited.

We have audited the internal financial controls over financial reporting of GeeceeVentures Limited ("the Company") as of 31st March 2020 in conjunction with ouraudit of the Standalone Ind AS financial statements of the Company for the year ended onthat date.

Management's Responsibility for Internal Financial Controls

The Board of directors of the company is responsible for establishing and maintaininginternal financial controls based on the internal control over financial reportingcriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Internal Financial Controls over FinancialReporting issued by the Institute of Chartered Accountants of India. Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to respective company's policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the information as required under the Companiesaccountingrecordsandthetimelypreparation of reliable financial

Act 2013.

Auditors' Responsibility

Our responsibility is to express financialreporting of the Companyopinionontheinternal controlsover 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") issued by the Institute of Chartered Accountants of Indiaand the Standards on Auditing prescribed under Section 143(10) of the Companies Act 2013to the extent applicable to an audit of internal financial controls. Those Standards andthe Guidance Note require that we comply with ethical requirements and plan and performthe audit to obtain reasonable assurance about whether adequate internal financialcontrols over financial reporting was established and maintained and if such controlsoperated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgement including the assessment of the risks ofmaterial misstatement of the financial statements whether due to fraud or error. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our audit opinion on the Company's internal financial controls system overfinancial reporting of the company.

Financial Reporting Meaning of company's internal financial Control

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 accordance withgenerally accepted accounting principles and that receipts and expenditures of thecompany are being made only in accordance with authorizations of management and directorsof the company; and (3) Provide reasonable assurance regarding prevention or timelydetection of unauthorized acquisition use or disposition of the company's assets thatcould have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting reportingincluding the possibility ofBecauseoftheinherentlimitationsofinternalfinancialcontrolsoverfinancial collusion orimproper management override of controls material misstatements due to error or fraud mayoccur and not be detected. Also projections of any evaluation of the internal financialcontrols over financial reporting to future reporting may become inadequate periodsaresubjecttotheriskthattheinternalfinancialcontroloverfinancial because of changes inconditions or that the degree of compliance with the policies or procedures maydeteriorate.

Opinion

In our opinion to the best of our knowledge and according to the explanations given tous the Company has maintained in all material respects adequate internal financialcontrols over financial reporting and such internal financial controls over financialreporting were operating effectively as of 31st March 2020 based on the internal controlover financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting issued by the Institute of Chartered Accountants ofIndia.

For MRB & Associates

Chartered Accountants Firm Registration Number-136306W

Manish R Bohra

Partner Membership No.: 058431

Place: Mumbai Date: 18th June 2020

UDIN: 20058431AAAACF3300

ANNEXURE - B TO THE INDEPENDENT AUDITORS' REPORT

Referred to in Paragraph 2 under "Report on Other Legal and RegulatoryRequirements" section of our Report of even date to the members of Geecee VenturesLimited

Based on audit procedure performed for the purpose of reporting the true and fair viewof the financial statements of the company and taking into consideration the informationand explanations given to us and the books of accounts and other records examined by us inthe normal course of our audit in our opinion and to the best of our knowledge andbelief we report that:

i. In respect of its fixed assets: -

a. The company is maintaining proper records showing full particulars includingquantitative details and situation of Property Plant and Equipment's; b. The fixed assetshave been physically verified by the management at reasonable intervals and no materialdiscrepancies were noticed on such verification;

c. All title deeds of immovable properties are held in the name of the company.

In respect of immovable properties which has been taken on lease and disclose asproperty plant and equipment in the standalone Ind AS financial statements the leaseagreements are in the name of the

Company.

ii. The Company's inventory includes construction work in progress. Accordingly therequirements under paragraph

3(ii) of the Order are not applicable for construction work in progress. The inventorycomprising of finished goods has been physically verified by the management during theyear. In our opinion the frequency of such verification is reasonable. No discrepancieswere noticed on verification between the physical stocks and the book records.

iii. According to the information and explanations given to us the company has grantedunsecured loan to body corporate covered under section 189 of the Companies Act 2013 inthe respect of which:

a) The terms and conditions of the grant of such loans are in our opinion primafacie not prejudicial to the company's interest.

b) The schedule of repayment of principal and payment of interest has been stipulatedand repayments of principal amount and interest has been regular as per stipulation. iv.In our opinion and according to the information and explanations given to us the Companyhas complied with the provisions of Sections 185 and 186 of the Companies Act 2013 inrespect of grant of loans making investments and providing guarantees and securities asapplicable. v. The Company has not accepted any public deposit for the year ended 31stMarch 2020. vi. We have reviewed the books of account maintained by the Company pursuantto the rules made by the Central Government for the maintenance of cost records undersection 148(1) of the Companies Act 2013 related to the manufacturing activities andare of the opinion that prima facie the specified accounts and records have been made andmaintained. vii. In respect of statutory dues:

-(a) The company has been generally regular in depositing undisputed statutory duesincluding Provident fund Investor Education and Protection Fund Employees' StateInsurance Income-Tax Sales Tax Service Tax Wealth Tax Customs Duty Excise DutyValue Added Tax Goods and Services Tax Cess and any other material statutory dues to theappropriate authorities. The Company did not have any undisputed amount payable in thisrespect at 31st March 2020 for a period of more than six months from the date when theybecome payable.

(b) According to the information and explanations given to us there are no dues ofIncome-tax Sales tax Service tax Value added tax and Goods and Service tax as at 31stMarch 2020 which have not been deposited with the appropriate authorities on account ofany dispute except as stated below: (Rs. in Lakh)

Name of the Statute Particulars As on 31.03.2020 As on 31.03.2019
The Central Sales Tax Act On account of C Forms) (F.Y.2001-02) - 4.11
1956 and Value Added Tax Act On Account of C Forms (F.Y.2007-08 F.Y.2008-09 F.Y. 2009-10) 3.22 3.22
On Account of VAT Reversal (F.Y.2008-09) - 30.92
On Account of VAT Reversal (F.Y.2009-10) - 3.52
The Income-tax Act 1961 Income Tax A.Y.2010-11 Amount not ascertainable Amount not ascertainable
Income Tax A.Y.2013-14 Amount not ascertainable Amount not ascertainable
Income Tax A.Y.2017-18 16.72 -
The Central Excise Act 1944 Excise Duty Liabilities 8.40 8.40
The Entry Tax Act 1976 Entry Tax 2.46 2.46
The Finance Act1994 Service Tax 2.35 2.35

viii. In our opinion and according to the information and explanations given to us theCompany has not defaulted in repayment of dues to a financial institutions or banks.

ix. The Company has not raised money by way of initial public offer or further publicoffer (including debt instruments) and term loans during the year.

x. In our opinion and according to the information and explanations given to us nofraud by the company or any fraud on the Company by its officers or employees has beennoticed or reported during the year.

xi. In our opinion and according to the information and explanations given to us theCompany has paid / provided managerial remuneration in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct 2013.

xii. The Company has not been classified as Nidhi Company hence clause 3(xii) of theorder is not applicable to the company.

xiii. According to the information and explanations provided by the managementtransactions with the related parties are in compliance with section 177 and 188 ofCompanies Act 2013 where applicable and the details have been disclosed in theFinancial Statements as required by the applicable accounting standards.

xiv. According to the information and explanations given to us the company has notmade any preferential allotment or private placement of shares or fully or partlyconvertible debentures during the year under review.

xv. According to the information and explanations given to us during the year theCompany has not entered into any non-cash transactions with its directors or directors ofits subsidiaries or persons connected with them and hence provisions of section 192 of theCompanies Act 2013 are not applicable.

xvi. The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.

For MRB & Associates Chartered Accountants

Firm Registration Number:136306W

Manish R Bohra

Partner

Membership Number- 058431

Place: Mumbai Date: 18th June 2020 UDIN: 20058431AAAACF3300

.