TO THE MEMBERS OF GOLDCREST CORPORATION LIMITED
Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of GoldcrestCorporation Limited ("the Company") which comprises of Balance Sheet as at 31stMarch 2017 the Statement of Profit and Loss the Cash Flow Statement for the year thenended and a summary of the significant accounting policies and other explanatoryinformation.
Management's Responsibility for the Standalone Financial Statements
The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Companies Act 2013 (hereinafter referred to as "the Act") withrespect to the preparation and presentation of these standalone financial statements thatgive a true and fair view of the financial position financial performance and cash flowsof the Company in accordance with the accounting principles generally accepted in Indiaincluding the Accounting Standards specified under Section 133 of the Act read with Rule7 of the Companies (Accounts) Rules 2014. This responsibility also includes maintenanceof adequate accounting records in accordance with the provisions of the Act forsafeguarding of the assets of the Company and for preventing and detecting frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the accuracy and completeness of the accounting records relevant to thepreparation and presentation of the financial statements that give a true and fair viewand are free from material misstatement whether due to fraud or error.
Our responsibility is to express an opinion on these standalone financial statementsbased on our audit. While conducting the audit we have taken into account the provisionsof the Act the accounting and auditing standards and matters which are required to beincluded in the audit report under the provisions of the Act and the Rules madethereunder.
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 standalone financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the standalone financial statements. The procedures selected depend onthe auditor's judgment including the assessment of the risks of material misstatement ofthe standalone financial statements whether due to fraud or error. In making those riskassessments the auditor considers internal financial control relevant to the Company'spreparation of the standalone 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 the accounting policies used and thereasonableness of the accounting estimates made by the Company's Board of Directors aswell as evaluating the overall presentation of the standalone financial statements.
We believe that the audit evidence obtained by us is sufficient and appropriate toprovide a basis for our audit opinion on the standalone financial statements.
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 31st March 2017 and their profit and their cash flows for the year ended on thatdate.
Report on Other Legal and Regulatory Requirements
1. 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 matters specified inparagraphs 3 and 4 of the Order to the extent applicable.
2. As required by Section 143(3) of the Act we report to the extent applicable 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 of the aforesaidfinancial statements.
(b) In our opinion proper books of account as required by law relating to preparationof the aforesaid financial statements have been kept so far as it appears from ourexamination of those books.
(c) The Balance Sheet the Statement of Profit and Loss and the Cash Flow Statementdealt with by this Report are in agreement with the books of account maintained.
(d) In our opinion the aforesaid standalone financial statements comply with theAccounting Standards specified under Section 133 of the Act read with Rule 7 of theCompanies (Accounts) Rules 2014.
(e) On the basis of the written representations received from the directors of theCompany as on 31st March 2017 taken on record by the Board of Directors of the Companynone of the directors is disqualified as on 31st March 2017 from being appointed as adirector 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 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 Auditor's) 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 if any on its financialposition in its financial statements
ii. The Company did not have any material foreseeable losses on long-term contractsincluding derivative contracts.
iii. There has been no delay in transferring amounts required to be transferred toInvestor Education and Protection Fund by the company.
For Ramesh M. Sheth & Associates
Firm's Registration No. 111883W
Mehul R. Sheth
Membership No. 101598
Annexure A to the Auditors' Report
The Annexure referred to in Independent Auditor's Report to the members of GOLDCRESTCORPORATION LIMITED
("the Company") on the Standalone financial statements for the year ended 31March 2017 we report that:
(i) In respect to Fixed Assets :
(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets on the basis of available information.
(b) As explained to us the Company has formulated a program of physical verificationof all the fixed assets. The fixed assets have been physically verified by the managementduring the year which in our opinion is reasonable having regard to the size of theCompany and nature of its assets. No material discrepancies were noticed on such physicalverification.
(c) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the title deeds of immovable properties areheld in the name of the company.
(ii) In respect of Inventories :
(a) The Company has maintained proper records showing full particulars includingquantitative details and situation of Inventories on the basis of available information.
(b) As explained to us the Company has formulated a program of physical verificationof all the Inventories. The Inventories have been physically verified by the managementduring the year which in our opinion is reasonable having regard to the size of theCompany. No material discrepancies were noticed on such physical verification.
(iii) The Company has granted loans to a corporate covered in the register maintainedunder section 189 of the Companies Act 2013 (the Act').
(a) In the absence of terms and condition we are unable to comment whether terms andconditions are prejudicial to the interest of the company.
(b) In the absence of terms and condition we are unable to comment on whether loansgranted to the bodies corporate listed in the register maintained under section 189 of theAct are regular in the payment of the principal and interest as stipulated.
(c) In the absence of terms and condition we are unable to comment on whether thereare any overdue amounts in respect of the loan granted to a body corporate listed in theregister maintained under section 189 of the Act.(c)In the absence of terms and conditionwe are unable to comment on whether there are any overdue amounts in respect of the loangranted to a body corporate listed in the register maintained under section 189 of theAct.
(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of the section 185 and 186 of the Act withrespect to the loans and investments made. The Company has not given and guarantees andsecurities to any parties.
(v) As represented the Company has not accepted any deposits from the public withinthe meaning of Sections 73 to 76 of Companies Act 2013 and the rules framed there under.
(vi) Reporting under clause 3(vi) of the order is not applicable as the Company'sbusiness activities/products are not covered by the Companies (Cost records and audit)Rule 2014 as prescribed under Section 148 of the Companies Act 2013.
(vii) In respect to statutory dues :
(a) According to the information and explanations given to us and records of theCompany examined by us in our opinion the Company is generally regular in depositingundisputed statutory dues including provident fund investor education and protectionfund employees state insurance income tax sales-tax service tax custom duty exciseduty cess and any other material statutory dues as applicable with the appropriateauthorities were in arrears as at 31st March 2017 for a period of more than six monthsfrom the date they become payable.
(b) According to the information and explanations given to us and the records of theCompany examined by us there are no dues of wealth tax service tax customs duty andcess as at 31st March 2017 which has not been deposited on account of dispute except thefollowing disputed income tax demand :-
|Sr. No. Name of Dues ||Forum where dispute is pending ||Period to which amount relates ||Amount involved in Rs . |
|1. Income Tax ||CIT Appeals 4 ||A.Y. 2014-15 ||2661960 |
|2. Income Tax ||CIT Appeals 4 ||A.Y. 2013-14 ||459450 |
(viii) According to the information and explanations given to us and based on ourverification of accounts the company has not taken any loans from Debenture Holders orGovernment. However Company has taken loan from bank and has regularly paid the dues.
(ix) The Company did not raise any money by way of initial public offer or furtherpublic offer (including debt instruments) and term loans during the year. Accordinglyparagraph 3(ix) of the Order is not applicable.
(x) Based upon the audit procedures performed and information and explanations given bythe management we report that we have not come across any instances of fraud by theCompany and no material fraud on the company by its officers /employees has been noticedor reported during the year nor have we been informed of such case by the management.
(xi) According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has paid/provided for managerialremuneration during the year which is in accordance with the provisions of section 197read with Schedule V to the Companies Act 2013.
(xii) The Company is not a Chit Fund Company/or Nidhi/ Mutual benefit fund/Society andhence reporting under clause XII of the order is not applicable.
(xiii) According to information and explanation given to us and based on ourverification of accounts all transactions with related parties are in compliance withsections 177 and 188 of Companies Act 2013 where applicable and the details have beendisclosed in the Financial Statements as required by applicable accounting standards.
(xiv) The Company has not made any preferential allotment or private placement ofshares or partly convertible debentures during the year and hence para (xiv) is notapplicable.
(xv) The Company has not entered into any non-cash transactions with any of itsdirectors and hence para (xv) of the Order is not applicable.
(xvi) The Company is not required to be registered under section 45IA of the ReserveBank of India Act 1934.
For Ramesh M. Sheth & Associates
Firm's Registration No. 111883W
Mehul R. Sheth
Membership No. 101598
29th May 2017