You are here » Home » Companies » Company Overview » Globalspace Technologies Ltd

Globalspace Technologies Ltd.

BSE: 540654 Sector: IT
NSE: N.A. ISIN Code: INE632W01016
BSE 00:00 | 02 Aug Globalspace Technologies Ltd
NSE 05:30 | 01 Jan Globalspace Technologies Ltd
OPEN 55.50
PREVIOUS CLOSE 55.50
VOLUME 4000
52-Week high 66.00
52-Week low 55.50
P/E 55.50
Mkt Cap.(Rs cr) 64
Buy Price 48.00
Buy Qty 2000.00
Sell Price 52.00
Sell Qty 2000.00
OPEN 55.50
CLOSE 55.50
VOLUME 4000
52-Week high 66.00
52-Week low 55.50
P/E 55.50
Mkt Cap.(Rs cr) 64
Buy Price 48.00
Buy Qty 2000.00
Sell Price 52.00
Sell Qty 2000.00

Globalspace Technologies Ltd. (GLOBALSPACE) - Auditors Report

Company auditors report

To

The Members

GLOBALSPACE TECHNOLOGIES LIMITED

(Formerly known as "Globalspace Technologies Private Limited"

Formerly known as "Globalspace Tech Private Limited")

1. Report on the Financial Statements

We have audited the accompanying financial statements of Globalspace TechnologiesLimited (("the Company") which comprise the Balance Sheet as at March 31st2018 the Statement of Profit and Loss and Cash Flow Statement for the year then endedand 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 (Standalone) financial statements that give a true and fair view of the financialposition financial performance and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under Section 133 of the Act read with Rule 7 of the Companies (Accounts)Rules 2014. This responsibility also includes maintenance of adequate accounting recordsin accordance with the provisions of the Act for safeguarding 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 financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

3. 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 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 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 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.

4. Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at March 31st 2018 its profit and its cash flows for the year ended onthat date.

5. Report on Other Legal and Regulatory Requirements

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 the "Annexure A" a statement on the mattersspecified in paragraphs 3 and 4 of the Order.

6. 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 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;

e) On the basis of the written representations received from the directors as on March31st 2018 taken on record by the Board of Directors none of the directors isdisqualified as on March 31st 2018 from being appointed as a director in termsof 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 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 has disclosed the impact of pending litigations on its financialposition in its financial statements - Refer Note 30 to the financial statements.

II. The Company did not have any long-term contracts including derivative contracts forwhich 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.

For Tolia & Associates

Chartered Accountants

ICAI Firm Registration Number: 111017W

Sd/-

Kiran P. Tolia

Proprietor

Membership Number:043637 Navi Mumbai May 29 2018

Annexure A referred to in paragraph 5 of our report of even date to the shareholdersGlobalspace Technologies Limited

Based on the audit procedures performed for the purpose of reporting a true and fairview on the financial statements of the Company and taking into consideration theinformation and explanations given to us and the books of account and other recordsexamined by us in the normal course of audit we report that:

1. 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.

No material discrepancies were noticed on such verification.

2. Inventories were physically verified at reasonable integrals by the Management andno material discrepancies were noticed during such physical verification.

3. The Company has not granted loans secured or unsecured to companies firms or otherparties covered in the registers maintained under section 189 of the Act. Accordingly theprovisions of clause 3 of the Order are not applicable.

4. The Company has not given any loans investments guarantees and security.Accordingly the provisions of clause 4 of the Order are not applicable.

5. a) The Company has not accepted any deposits and therefore the directives issued bythe

Reserve Bank of India and the provisions of sections 73 to 76 or any other relevantprovisions of the Act and the rules framed there under are not applicable.

b) No order has been passed by Company Law Board or National Company Law Tribunal orReserve Bank of India or any court or any other tribunal against the Company. Accordinglythe provisions of clause 5 (b) of the Order are not applicable.

6. The maintenance of cost records has not been prescribed by the Central Governmentunder section (1) of section 148 of the Act for the activities of the Company.

7. a) Undisputed statutory dues in respect of income tax and other material statutorydues have

generally been regularly deposited by the Company. There were no arrears of outstandingdues as at the last day of the financial year concerned for a period of more than sixmonths from the date they became payable. No disputed amounts payable in respect of incometax was outstanding as at the last day of the financial year.

b) No amount is required to be transferred to investor education and protection fund inaccordance with the relevant provisions of the Companies Act 1956 (1 of 1956) and rulesmade.

8. The Company has not defaulted in borrowings from a bank. There are no loans formfinancial institutions government or dues to debenture holders.

9. Moneys raised by way of initial public offer or further public offer (including debtinstruments) were applied for purposes for which they were raised except a sum of INR38173048.00 raised from Initial Public Offering of Company's equity shares which ispending utilization. (Refer Note 32

to the financial statements). Amounts raised by way of term loans were applied forpurposes for which it was raised.

10. No fraud by the Company or any fraud on the Company by its officers or employeeshas been noticed or reported during the year.

11. The managerial remuneration has been paid or provided in accordance with therequisite approvals mandated by the provisions of section 197 read with Schedule V of theAct.

12. The Company is not a Nidhi Company. Accordingly the provisions of clause 12 of theOrder are not applicable.

13. All transactions with related parties are in compliance with section 177 andsection 188 of the Act and the details have been disclosed in the financial statementsetc. as required by the applicable accounting standards.

14. The Company has made preferential allotment or private placement of shares and hascomplied with the requirements of section 42 of the Act. The amounts raised have been usedfor the purposes for which the funds were raised. The Company has not made any issue offully or partly paid convertible debentures.

15. The Company has not entered into non-cash transactions covered by section 192 ofthe Act with directors or persons connected with them. Accordingly the provisions ofclause 15 of the Order are not applicable.

16. The Company is not required to be registered under section 45 IA of the ReserveBank of India Act 1934. Accordingly the provisions of clause 16 of the Order are notapplicable.

For Tolia & Associates

Chartered Accountants

ICAI Firm Registration Number:111017W

Sd/-

Kiran P. Tolia

Proprietor

Membership Number:043637 Navi Mumbai May 29 2018

Annexure B to the Auditors' Report

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Act

We have audited the internal financial controls over financial reporting of GlobalspaceTechnologies Limited ("the Company") as of March 31st 2018 inconjunction with our audit of the financial statements of the Company for the year endedon 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(GNAIFC) issued by the Institute of Chartered Accountants of India (ICAI). 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 Company's policies the safeguarding ofits assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation as required under the Act.

Management's Responsibility for Internal Financial Controls

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 GNAIFC and the Standards on Auditing issued by ICAI and deemed to be prescribedunder section 143(10) of the Act to the extent applicable to an audit of internalfinancial controls both applicable to an audit of Internal Financial Controls and bothissued by the ICAI.

Those Standards and the GNAIFC require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols operated 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 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 judgments including the assessment of the risks of materialmisstatement 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 financial reporting includes those policiesand 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 financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the Company are being made only inaccordance with authorisations of management and directors of the Company; and

3. provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the Company's assets that could have amaterial 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 March 31st 2018based on the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the GNAIFC issued bythe ICAI.

For Tolia & Associates

Chartered Accountants

ICAI Firm Registration Number:111017W

Sd/-

Kiran P. Tolia

Proprietor

Membership Number:043637

Navi Mumbai May 29 2018