GOLDWON TEXTILES LIMITED.
Report on the financial statements
We have audited the accompanying financial statements of GOLDWON TEXTILES LIMITED whichcomprises the Balance Sheet as at March 31 2017 the Statement of Profit and Loss andCash Flow Statement for the year ended on 31st March 2017 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 in section 134(5) ofthe Companies Act 2013 with respect to the preparation of these 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 themaintenance of adequate accounting records in accordance with the provision of the Act forsafeguarding of the assets of the Company and for preventing and detecting the frauds andother irregularities; selection and application of appropriate accounting policies; makingjudgments and estimates that are reasonable and prudent; and design implementation andmaintenance of internal financial control that were operating effectively for ensuringthe accuracy and completeness of the accounting records relevant to the preparation andpresentation of the financial statements that give a true and fair view and arc free frommaterial misstatement whether due to fraud or error.
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 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 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 financialstatements that give true and fair view in order to design audit procedures that areappropriate in the circumstances. An audit also includes evaluating the appropriateness ofaccounting policies used and the reasonableness of the accounting estimates made byCompany's Directors as well as evaluating the overall presentation of the financialstatements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
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:
i. in the case of the Balance Sheet of the state of affairs of the Company as at March31 2017; and
ii. in the case of Statement of Profit & Loss of the Loss for the year ended onthat date.
iii. in the case of Cash Flow Statement of the cash flow for the year ended on thatdate.
Emphasis of Matter
Since there are no operations during the current year the going concern assumption isbeing affected. Our opinion is not qualified in this matter.
Report on Other Legal and Regulatory Requirements
1. As required by the companies (auditor's report) order 2016 (the order) issued by theCentral Government of India in terms of section 143(11) of the act we give in annexure astatement on the matters specified in paragraphs3 of the order.
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 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 the Statement of Profit and Loss and Cash How Statement dealtwith by 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 written representations received from the directors as on 31 March2017 taken on record by the Board of Directors none of the directors is disqualified ason 31 March 2017 from being appointed as a director in terms of Section 164(2) of theAct.
(1) 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 erf 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 does not have any pending litigations which would impact its financialposition.
ii. There is no requirement for any provision as required by any act or AccountingStandards for material foreseeable losses if any on long term contracts includingderivative contracts;
iii. There is no such amount required to be transferred to the Investor Education andProtection Fund by the Company.
iv. The Company has provided requisite disclosures in the financial statements as toholdings as well as dealings in specified bank notes during the period from 8thNovember 2016 to 30lh December 2016. Based on audit procedures and relying onthe management representation we report that the disclosures are in accordance with booksof account maintained by the Company and as produced to us by the Management.
For C RAMACHANDRAM & CO
Membership No. 025834
Annexure referred to in paragraph lof report on Other Legal and Regulatory Requirementsof Goldwon Textiles Limited on the financial statements for the year ended March 31 2017
I. There are no fixed assets in the company.
II. No inventory since the company has no operations.
III. The Company has not granted any loans secured or unsecured to companies firms orother parties covered in the register maintained U/s.189 of the Companies Act 2013.
IV. In our opinion and according to the information and explanations given to us thereis adequate internal control system commensurate with the size of the Company and thenature of its business with regard to purchases of inventory fixed assets and with regardto the sale of goods. During the course of our audit we have not observed any continuingfailure to correct major weaknesses in internal system.
V. The Company has not accepted any deposits from the public within the meaning ofSection 73 or any other relevant provision of the Companies Act 2013 and the rules framedthere under.
VI. We are informed that the central government has not prescribed the maintenance ofcost records under section 148(1) of the Act for any of the services rendered by thecompany. Hence clause (vi) of Companies (Auditor's Report) Order 2017 is not applicable.
VII. a) There are no statutory dues pending during the year.
b) There are no dues in respect of income tax or sales tax or wealth tax or service taxor duty of customs or duty of excise or value added tax or cess.
c. There is no such amount required to be transferred to the Investor Kducation andProtection Fund by the Company in accordance with the relevant provisions of the CompaniesAct 1956 (1 of 1956) and rules made there under has been transferred to such fund withintime.
VIII. The company has not defaulted in repayment of dues to a financial institution orbank or debenture holders.
IX. The company has not raised any moneys by way of public offer and term loans duringthe year. Accordingly paragraph 3(ix) of the order is not applicable.
X. During (he course of our examination of the books and other records of the companycarried out in accordance with the generally accepted auditing practices in India andaccording 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 year nor have we been informed of such case by the management
XI. The Company has not paid any managerial remuneration during the year.
XII. According to the information and explanation given to us and based on ourexamination of the records the company is not a nidhi company. Accordingly paragraph3(xii) of the Order is not applicable.
XIII. There are no related party transaction during the year and hence paragraph3(xiii) is not applicable.
XIV. According to the information and explanation given to us and based on ourexamination of the records of the Company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year.
XV. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into non-cashtransactions with directors or persons connected with him during the year.
XVI. The Company is not required to be registered under section 45-1A of the ReserveBank of India Act 1934.
For C. RAMACHANDRAM & CO.