The Members of
IDream Film Infrastructure Company Limited (Formerly - Known as Softbpo Global ServicesLimited)
Report on the Standalone Financial Statement
We have audited accompanying standalone financial statements of IDream FilmInfrastructure Company Limited (Formerly Known as Soft BPO Global Services Limited)("the Company") which comprise the Balance Sheet as at March 312017 theStatement of Profit and Loss and Cash Flow Statement for the year then ended and asummary of significant accounting policies and other explanatory information.
Management' Responsibility for the Standalone Financial Statements
The Company's Board of Directors are responsible for the matters stated in Section134(5) of Companies Act 2013 ("the Act") with respect to the preparation andpresentation of these standalone financial statements that give a true and fair view ofthe financial position financial performance and Cash Flows of the Company in accordancewith the Accounting principles generally accepted in India including the AccountingStandards specified under section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014.
This responsibility includes maintenance of adequate accounting records in accordancewith the provisions of the Act for safeguarding 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; design implementation and maintenance of adequate internal financial controlsthat are operating effectively for ensuring the accuracy and completeness of theaccounting records relevant to the preparation and presentation of the financialstatements that give a true and fair view and are free from material misstatement whetherdue 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 and the Rules made thereunderincluding the accounting standards and matters which are required to be included in theaudit report.
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 control relevant to the Company's preparation of the financialstatements that give a true and fair view in order to design audit procedures that areappropriate in the circumstances but not for the purpose of expressing an opinion onwhether the Company has in place an adequate internal financial controls system overfinancial reporting and the operating effectiveness of such internal controls. An auditalso includes evaluating the appropriateness of 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 financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit 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:
a) in the case of the Balance Sheet of the state of affairs
of the Company as at March 312017;
b) in the case of the Statement of Profit and Loss of the loss for the year ended onthat date; and
c) in the case of Cash Flow Statement of the cash flows for the year ended on thatdate.
Emphasis of Matter:
1. We draw attention to note number 4(1) of the financial statements the Company hasincurred net losses in the past years and in current year also. The Company hasaccumulated losses which exceed its net worth at the balance sheet date resulting innegative net worth. However the financial statements have been prepared on going concernbasis in view of the undertaking from its holding company for continuous financialsupport.
2. The company's subsidiary AHA Parks Limited has incurred losses in the past years andin the current year also. The company has continuously provided financial support to itssubsidiary considering the financial situation and delay in implementation of projectThe company has made provision for Investment and loan amounting to Rs. 25523122/-
Our opinion is not modified in respect of above matter. Report on other Legal andRegulatory Requirements
1. As required by 'the Companies (Auditor's Report) Order 2016' issued by the CentralGovernment of India in terms of sub-section (11) of section 143 of the Act (hereinafterreferred to as the "Order") and on the basis of such checks of the books andrecords of the Company as we considered appropriate and according to the information andexplanations given to us we give in the "Annexure A" a statement on thematters specified in paragraphs 3 and 4 of the Order
2. As required by section 143(3) ofthe Act we report that:
a) We have sought and sought and obtained all the information and explanations whichto the best of our knowledge and belief were necessary for the purpose 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 Balance Sheet Statement of Profit and Loss and Cash FlowStatement comply with the Accounting Standards specified under section 133 of CompaniesAct 2013 read with rule 7 of the Companies (Accounts) Rules 2014.
e) On the basis of the written representations received from the directors as on March312017 and taken on record by the Board of Directors we report that none of thedirectors is disqualified as on March 31 2017 from being appointed as a director in termsof Section 164(2) ofthe Companies Act 2013.
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 Auditors) Rules 2014 in our opinionand to the best of our information and according to the explanations given to us
1. The Company did not have any pending litigations as at March 31 2017 which wouldimpact its financial position;
2. The Company did not have any long-term contracts including derivative contracts asat March 312017;
3. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company during the year ended March 312017.
For Kanu Doshi Associates LLP
Firm Registration Number: 104746W/W100096
Membership No: 102888
Date: May 23 2017
Annexure A to Auditor's Report
[Referred to in paragraph 3 under 'Report on other Legal and Regulatory Requirements'in the Independent Auditor's Report of even date to the members of IDream FilmInfrastructure Company Limited (Formerly Known as Soft BPO Global Services Limited)("the Company") on the financial statements for the period ended March 312017.]
(I) The Company does not have any fixed assets. Hence the question of maintainingproper records carrying out physical verification and disposing off a substantial part ofthe fixed assets does not arise
(ii) The Company does not have any inventory. Hence the question of carrying outphysical verification and maintaining proper records does not arise.
(iii) As per information and explanations given to us the Company has not grantedloan secured or unsecured to or from companies firms or other parties covered in theregister maintained under Section 189 ofthe Companies Act 2013. Accordingly thesub-clause (a) and (b) of clause (iii) are not applicable to the Company.
(iv) The Company has not granted any loans or made any investments or provided anyguarantees or security as referred to Section 185 and 186 of the Companies Act 2013.Therefore the provision of clause 3(iv) of the said Order are not applicable to theCompany.
(v) The Company has not accepted any deposits from the public within the meaning ofSections 73 74 75 and 76 of the Act and the Rules framed there under to the extentnotified.
(vi) The Central Government of India has not specified the maintenance of cost recordsunder section 148 (1) of the Companies Act 2013:
(vii) a) According to the information and explanations given to us and the records ofthe Company examined by us in our opinion the Company is generally regular in depositingwith appropriate authorities undisputed statutory dues including income tax service taxcess and other material statutory dues applicable to it. According to the information andexplanations given to us no undisputed arrears of statutory dues were outstanding as atMarch 31 2017 for a period of more than six months from the date they become payable
b) There are no dues in respect of Income Tax Service tax and cess that have not beendeposited with appropriate authorities on account of any dispute.
(viii) As the Company does not have any loans or borrowings from any financialinstitutions or bank or Government nor has it issued any debentures as at the balancesheet date the provisions of clause 3 (viii) of the Order is not applicable to theCompany.
(ix) The Company has not raised any moneys by way of public issue further public offer(including debt instruments) and term loans. Accordingly the provisions of clause 3(ix)is not applicable
(x) During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us we have neither come across anyinstance of material fraud on or by the Company noticed or reported during the year norhave we been informed of any such case by the Management.
(xi) No managerial remuneration has been paid or provided during the year. Accordinglythe provisions of clause 3(xi) of the Order are not applicable to the Company..
(xii) The company is not a Nidhi Company.
(xiii) The Company has entered into transactions with related parties in compliancewith the provisions of section 177 and 188 of the Act. The details of such related partytransactions have been disclosed in the financial statements as required under AccountingStandard (AS) 18 Related Party Disclosures specified under Section 133 of the Act readwith Rule 7 of Companies (Accounts) Rules 2014.
(xiv) The Company has not made any preferential allotment or private placement ofshares or fully or partly convertible debentures during the year under review.Accordingly the provisions of clause 3(xiv) of the Order are not applicable to theCompany.
(xv) The Company has not entered into any non-cash transactions with directors orpersons connected with him. Accordingly provisions of clause 3(xv) of the Order are notapplicable to the Company.
(xvi) The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934. Accordingly the provisions of clause 3(xvi) of the Order are notapplicable to the Company.
| ||For Kanu Doshi Associates LLP |
| ||Chartered Accountants |
| ||Firm Reg. No: 104746W/W100096 |
| ||Arati Parmar |
|Place: Mumbai ||Partner |
|Date: 23'" May 2017 ||Membership No: 102888 |