You are here » Home » Companies » Company Overview » Ind-Agiv Commerce Ltd

Ind-Agiv Commerce Ltd.

BSE: 517077 Sector: Others
NSE: N.A. ISIN Code: INE115E01010
BSE 00:00 | 17 Nov 22.60 0
(0.00%)
OPEN

22.60

HIGH

22.60

LOW

22.60

NSE 05:30 | 01 Jan Ind-Agiv Commerce Ltd
OPEN 22.60
PREVIOUS CLOSE 22.60
VOLUME 100
52-Week high 33.95
52-Week low 18.00
P/E 18.23
Mkt Cap.(Rs cr) 2
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 22.60
CLOSE 22.60
VOLUME 100
52-Week high 33.95
52-Week low 18.00
P/E 18.23
Mkt Cap.(Rs cr) 2
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Ind-Agiv Commerce Ltd. (INDAGIVCOMMER) - Auditors Report

Company auditors report

on standalone Financial Results of the Company pursuant to the Regulation 33 of theSEBI (Listing Obligation and Disclosure Requirements) Regulation^OlS

To the Members of Ind Agiv Commerce Limited

Report on the Audit of the Standalone Financial Statements

Opinion

We have audited the standalone financial statements of lnd Agiv Commerce Limited ('theCompany') which comprise the standalone balance sheet as at 31 March 202Qr thestandalone statement of profit and iqss (including other comprehensive income) standalonestatement of changes in equity and standalone statement of cash flows foe the year thenended and notes to the standalone financial statements including a summary of thesignificant accounting policies and other explanatory information (hereinafter referred toas '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 reauiredby the Companies Act 2013 {'the Act') in the manner so required and give a true and fairview ib conformity with the accounting principles generally accepted in India of tnestate of affairs of the Company as at '31 March 2020 profit and other comprehensiveinaome changes in equity and its cash flows for the year then ended.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder

section 143(10) of the Act. Our responsibilities under those SAs are further describedin the Auditor's Responsibilities for the Audit of the Standalone 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 together with the ethicalrequirements that are relevant to our audit of the standalone financial statements underthe provisions of the Act and the Rules thereunder and we have fulfilled our otherethical responsibilities in accordance with these requirements and the Code of Ethics. Webelieve that the audit evidence we nave obtained is sufficient and appropriate to providea basis for our opinion on the standalone financial statements.

Key Audit Matters

Key audit matters ('KAMH) are those matters that in our professionaljudgment were of most significance in our audit of tne Standalone financial statements oftne current period. These matters were addressed in the context of our audit of thestandalone financial statements as a whole and in forming our opinion thereon and we donot provide a separate opinion on these matters

The key audit matter How the matter was addressed in our audit
Adoption of Ind AS 116/ Leases
As described in Note 2 to the standalone financial statements during the current year the Company has adopted Ind AS 116 Leases ( Ind AS H6') the new standard on lease accounting The appi^bon and transition to this accounting standard is comple?rand is an area of focus in our audit as the Company has a large number of leases with different contractual terms. Our audit procedures on adoption of Ind AS 116 include the following.
A 4t Ind AS 116 introduces a new lease accounting model Wherein lessees are required to recognize a nght-of-use (ROU) asset and a lease liability arising from a lease on its balance sheet. The lease liabilities are initially measured by discounting future lease payments during tne lease term as per the contract/ arrangement. Adoption of the standard involves significant judgements and estimates including determination of the discount rates and the lease term. * Evaluated the design and implementation of the processes and Internal controls "elating to implementation of the new lease standard. * Based on our evaluation of the contractual agreements entered into and our knowledge of the business assessed the appropriateness of the leases identified by the Company. * Involved our internal valuation specialists to evaluate the reasonableness of the discount rates used in computing the lease liab lities. • On transition to Ind AS 116 with effect from l April 2019! - Evaluated the method of transition and related adjustments.
The Company adopted the modified retrospective approach method to transition to Ind AS 116 consequently comparative financial information was not restated. Additionally the standard mandates detailed disclosures with respect of transition. Tested completeness of the lease data by reconciling the Company's operating lease commitments as at 31 March 2019 to data used ir computing the ROU asset and related lease liabilities.
The Company operates in India and is subject to periodic challenges by local tax authorities on a range of tax matters during the normal course of business Including direct tax and indirect tax matters. Estimating the income tax expense also requires the Company to determine the probability of tax authorities accepting a particular tax treatment for potential tax exposures. These involve significant judgment by the Company to determine the possible outcome of the tax litigations and potential tax exposures consequently having an impact on related accounting and disclosures in the financial statements. Selected samples using the statistical sampling approach. For such samples selected we assessed the key terms and conditions of each lease with the underlying lease contracts evaluated computation of lease liabilities and challenged the key estimates such as discount rates and the lease term.
For new / modified leases tested the lease accounting and estimates/ judgments used by the Company.
* Evaluated the appropriateness of the accounting policy disclosures provided under the new lease standard and assessed the completeness and mathematical accuracy of the relevant disclosures including those related to transition. Our audit procedures include the following substantive procedures.
* Obtained an understanding of key tax litigations and potential tax exposures.
* The audit team along with our internal tax experts:
read and analyzed select key correspondences and consultations carried out by the Company including with external tax experts for key tax litigations and potential tax exposures.
/ discussed with appropriate senior management evaluated and challenged key assumptions and grounds of appeal considered by the Company in estimating the current and deferred tax balances.
evaluated the status or the recent tax assessments / inquiries results of previous tax assessments legal precedence / judicial rulings and changes in the tax environment to assess and challenge the Company's estimate of the possible outcome of key tax litigations and potential tax exposures. - assessed and tested the presentation and disclosures in the standalone financial statements relating to taxes.

In connection with our audit of the standalone financial statements our responsibilityis to read the other information and in doing so consider whether the other informationis materially inconsistent with the standalone financial statements or our knowledgeobtained in the audit or otherwise appears to be materially misstated. If based on thework we have performed we conclude that there is a material misstatement of this other

information we are required to report that fact We have nothing to report in thisregard.

-

Management's and Board of directors' Responsibility for the Standalone NnancialStatements

The Company's management and Board of*Directors are responsible for the matters statedin section 134(5) of the Act with respect to the preparation of these standalone financialstatements that give a true and fair view of the state of affairs profit/toss (includingother comprehensive income) changes in equity and cash flows of the Company in accordancewith the accounting principles generally accepted in India including the IndianAccounting Standards (Ind AS) specified under section 133 of the Act. This responsibilityalso includes maintenance of adequate accounting records in accordance with the provisionsof the Act for safeguarding of the assets of the Company and for preventing and detectingfrauds and other irregularities selection and application of appropriate accountingpolicies; making judgments and estimates that are reasonable and prudent; and designimplementation and maintenance of adequate internal financial controls that were operatingeffectively for ensuring the accuracy and completeness of the accounting records relevantto the preparation and presentation of the standalone financial statements that give atrue and fair view and are free from material misstatement whether due to fraud or error

In preparing the standalone financial statements management and Board of Directors areresponsible for assessing the Company's ability to continue as a going concerndisclosing as applicable matters related to going concern and using the going concernbasis of accounting unless management and the Board of Directors either intend toliquidate the Company or to cease operations or has no realistic alternative but to doso.

The Board of Directors is also responsible for overseeing the Company's financialreporting process.

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

Our objectives are to obtain reasonable assurance about whether the standalonefinancial 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 inthe aggregate they could reasonably be expected to influence the economic decisions ofusers taken on the basis of these standalone financial statements.

As part of an audit in accordance with SAs we exercise professional judgment andmaintain

professional skepticism throughout the audit. We also:

* Identify and assess the risks of material misstatement of the standalone financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate toprovide a oasis 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 control relevant to the audit in order to designaudit procedures that are appropriate in the circumstances. Under section 143(3)(i) of theAct we are also responsible for expressing our opinion on whether the Company has inplace adequate internal financial controls with reference to standalone financialstatements and the operating effectiveness of such controls.

* Evaluate the appropriateness of accounting policies used and the reasonableness ofaccounting estimates and related disclosures made by management and Board of Directors inthe standalone financial statements.

* Conclude on the appropriateness of management s and Board of Director's use of thegoing concern basis of accounting and based on the audit evidence obtained whether amaterial uncertainty exists related to events or conditions that may cast significantdoubt on the Company's ability to continue as a going concern. IF we conclude that amaterial uncertainty exists we are required to draw attention in our auditor's report tothe related disclosures in the standalone financial statements or if such disclosures areinadequate to modify our opinion. Our conclusions are based on the audit evidenceobtained up to the data of our auditor's report. However future events or conditions maycause the Company to cease to continue as a going concern.

• Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the standalone financialstatements represent the underlying transactions and events in a manner that achieves fairpresentation.

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 m 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 changed with governance we determine thosematters that were of most significance in the audit of the standalone financial statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditors' report unless law or regulation precludes public disclosure about thematter or when in extremely rare circumstances we determine that a matter should not becommunicated in our report because the adverse consequences of doing so

would reasonably be expected to outweigh the public: interest benefits of such com nnunteat ion.

Report on Other Legal and Regulatory Requirements

1 As required by the Companies (Auditors' Report) Order 2016 ("the Order")issued by the Central Government of India in terms of section 143(11) of the Act we givein the 'Annexure A" a statement on the matter^ specified in paragraphs 3 and 4 ofthe Order to the extent applicable.

(A) 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 beer kept by theCompany so far as it appears from our examination of those books.

(c) The standalone balance sheet the standalone statement ' of profit and loss(inCuding other comprehensive income) the standalone statement of charges in equity andthe standalone statement of

^ cash flows dealt with by this Report are m agreement with the books of account.

(d) In our opinion the aforesaid standalone financial statements comply with the IndAS specified under section 133 of the Act

(e) On the basss of the written representations received from the directors as or 31March 2020 taken on record by the Board of Directors none of the directors isdisqualified as on 31 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 with reference tostandalone financial statements of the Company and the Affairs has nut prescribed otherdetails under section 197(16) of the Act which are required to be commented upon by us.

operating effectiveness of such controls refer to our separate Report in"Anncxure B".

Report on Other Legal and Regulatory Requirements (continued)

(B) With respect to the other matters to be included in the Auditors' 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 not pending litigations as at 31 March 2020 or its financial positionin its standalone financial statements.

ii. Provision has been made in the standalone financial statements as required underthe applicable law or ind AS for material foreseeable losses on long-term contracts.

iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company.

iv. The disclosures in the standalone financial statements regarding holdings as wellas dealings in specified bank notes during the period from 8 November 2016 to 30 December2016 have not been made in these standalone finance statements since they do not pertainto the financial year ended 31 March 2020.

(C) With respect to the matter to be included m the Auditors' Report under section197(16) of the Act:

In ou!" opinion and according to the information and explanations given to us theremuneration paid by the Company to its directors during the current year is in accordancewith the provisions of section 197 of the Act. The remuneration paid to any director isno! m excess of the limits laid down under section 197 of the Act. The Ministry ofCorporate

For M/s Shah & Bhosale Chartered Accountants Firm Registration No.: 129657W

Madhav Bhosale Proprietors Membership No.040228 UDIN: 20040228AAAADK9449

Annexure A to the Independent Auditors' Report

With reference to the Annexure A referred to in the Independent Auditors' Report to themembers of the Company on the standalone Finan iat statements for the year ended 31 March2020 we report the following:

(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of property plant and equipment

(b) The Company has a regular- programme of physical verification of its propenfcjtplant and equipment by which all property/' plant and equipment are verified In a phasedmanner over a penod of three years. In our opinion this periodicity of physicalverification is reasonably having regard to the size of the Company and the nature of itsassets. Pursuant to the programme certain property plant and equipment were physicallyverified during the year and no material discrepancies were noticed on such verification

(c) According to the information and explanations given to us the Company does nothave any immovable properties. Accordingly paragraph 3(0(c) of the Order is notapplicable to the Company

In respect of immovable properties taken on lease and disclosed as right-of-use-assetsIn the standalone financial statements the lease agreements are in the name of theCompany

(ii) The Company is an Audio Visual Installation Commissioning and paint wholesalercompany and accordingly it does hold any physical inventories. Accordingly paragraph3{ii) of the Order is applicable to the* Company.

(iii) According to the information and explanations given to us the Company has notgranted any loans secured or unsecured to companies firms limited liabilitypartnerships or other parties covered in the register maintained under st?ction 189 of theAct Accordingly the provisions of paragraph 3< iii) (a) (b) and (c) of the Order arenot applicable to the Company

(iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of sections 185 and 1.86 of the Act whereapplicable with respect to the loans given investments made guarantees and securitiesgiven.

(v) The Company has not accepted any deposits from the public within the meaning of thedirectives issued by the Reserve Bank of India provisions of sections 73 to 76 of theAct any other relevant provisions of the Act and the relevant rules framed thereunder.

(vi) The Central Government has not prescribed the maintenance of cost records undersection 148 of the Act for any of the Audio Visual Installation Commissioning by theCompany

(vii) (a) According to the information and explanations given to us and on thebasis of our examination of the records of the Company/amounts deducted/ accrued in thebooks of account in respect of undisputed statutory dues including Provident fundEmployees' State Insurance Income-tax Goods and Services Lax Duly of Customs Cess andany other statutory dues have generally been regularly deposited during the yearby the Company with the appropriate authorities As explained to us the Company didnot have any dues on account of Duty of excise and Sales tax

id) According to the information and explanations given to us no undisputed amountspayable in respect oF Provident fund Employees' State Insurance Income-tax Goods andServices tax duty of Customs Cess and any other material statutory dues were in arrearsas at 31 March 2020 fur a period of more than six months from the date they becamepayable

(l) According to the information and explanations given to us there are no dues ofincome-tax or Sales tax or Service tax or Goods and Services tax

viii) In our opinion and according to the information and explanations given to us theCompany has not defaulted in the repayment of loans or borrowings to banks The Company didnot have any outstanding loans or borrowings from financial institutions or Government andthere are no dues to debenture holders during the year

(ix) In our opinion and according 10 the information and explanations given to us theCompany did not raise any money bt way of initial public oFfer or further pubhcoffer (including debt instruments) and term loans during the year. Accordingly paragraph3(ix) of the Order is not applicable to ihe Company.

(x) To the nest of our knowledge and according to the information and explanationsgiven to us no material Fraud by the Company or on the Company by is officers oremployees has been noticed or reported during rhe course of our audit

{xi) In our opinion and according to the information and exptanafions given to us andbased on examination of the records of the Company the Company has paid/pnovidedmanagerial remuneration in accordance with the requisite approvals mandated by theprovisions of section 1.97 read with Schedule V to the Act.

(x11) According to the information and explanations given to us in our opinionthe Company is not a Nidhi Company as prescribed under sect.on 406 of the Act.Accordingly paragraph 3{xii) of the Order is not applicable to the Company.

(xiil) According to the information and explanations given to us and based on ourexamination of the records of the Company all transactions with the related parties are mcompliance with sections 177 arid 18H Of the Act. where applicable and details oF suchtransactions have been disclosed in the standalone financial statements as required by theapplicable accounting standards

(xiv) According to the information and explanations given to us ana based on ourexamination of the records nf the Company the Company has nor made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year. Accordingly paragraph 3(xiv) of the Order is not applicable to the Company

(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 w tn inm. Accordingly paragraph 3{xv) ofthe Order is nuL applicable Lo the Company

(xvi} According to the information and evplanations given to us the Company is notrequired to be

registered under section 45-IA of the Reserve Bank of India Act 1934. for M/sShah & Bhosa(e

Chartered Accountants Firm Registration No: 129657W

Madhav Bhosale Proprietor Membership No.040228 UDIN; 2004022SAAAADK9449

Annexure B to the Independent Auditors' report on the standalone financial statementsof Ind Agiv Commerce Limited

Report on the internal financial controls with reference to the aforesaid standalonefinancial statements under Clause (i) of Sub-section 3 of Section 143 of the CompaniesAct 2013

Referred to in paragraph l(A)(f) under 'Report on Other Legal ana RegulatoryRequirements' section of our report of even date)

I

Opinion

We have audited the Internal financial controls with reference to standalone financialstatements of Ind Agiv Commerce Limited ("the Company") as of 31 March 2020 Inconjunction with our audit of the standalone financial statements of the Company for theyear then ended.

In our opinion the Company has in all material

respects adequate internal financial controls with

reference to standalone financial statements and such

internal financial controls were operating effectively as

at 31 March 2020 based on the internal financial

controls with reference to standalone financial

statements criteria established by the Company

considering the essenttal components of internal

control stated in the Guidance Note on Audit of

Internal Financial Controls Over Financial Reporting

issued by the Institute of Chartered Accountants of

India (the "Guidance Note").

* *

Managements Responsibility for Internal Financial Controls

The Company's management and the Board of Directors are responsible For establishingand maintaining internal financial controls based on the internal financial controls withreference to standalone financial Statements criteria established by the Companyconsidering the essential components of internal control stated in the GuidanceNote These responsibilities include the design implementation and maintenance oradequate internal financial Controls that were operating effectively iorensuring the orderly and efficient conduct of its business including adherence to theCompany's policies the safeguarding of its assets the prevention and detection of Fraudsand errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Companies Act.2013 (hereinafter referred to as "the Actr).

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal Financialcontrols with reference to standalone financial statements based on our audit. Weconducted our audit in accordance with the

Guidance Note and the Standards on Auditing

prescribed under section 143(10) of the Act to the extent applicable to an audit ofinternal Financial controls with reference to standalone Financial

statements. Those Standards and the Guidance Note require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetheradequate internal financial controls with reference to standalone financial

statements were established and maintained and whether such controls operatedeffectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls with reference to standalone

financial statements and their operating effectiveness Our audit ot internal financialcontrols with reference to standalone financial statements Included obtaining anunderstanding or' such internal financial controls

Annexure B to the Independent Auditors' Report

Auditors' Responsibility

assessing the risk that a material weakness exists and testing and evaluating thedesign and operating effectiveness of internal control based on the assessed risk. Theprocedures selected depend on the auditor's judgement meluding the assessment of therisks of material misstatement of the standalone financial statements whether due tofraud or error.

We believe that the audit evidence we have obtained (5 sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls withreference to standalone financial statements.

Meaning of Internal Financial Controls with Reference to Standalone FinancialStatements

A company s internal financial controls with reference to standalone financialstatements is a process designed to provide reasonable assurance regarding the reliabilityof financial reporting and the preparation of standalone financial statements foi externalpurposes m accordance with generally accepted accounting principles. A company's internalfinancial controls with reference to standalone financial statements Include thosepolicies and procedures that (1) pertain to the maintenance of records that in reasonabledetail accurately and fairly reflect the transactions and dispositions of the assets ofthe company; (2) provide reasonable assurance that transactions are recorded as necessaryto permit preparation of standalone financial statements in accordance with generallyaccepted accounting principles and that. receipts and expenditures of the company arebeing made only in accordance with authorizations of management and directors of thecompany; and (3) provide reasons Hi assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the company's assets that could have amaterial effect on Lhe standalone financial statements.

Inherent Limitations of Internal Financial Controls with Reference to StandaloneFinancial Statements

Because of the inherent limitations of internal financial controls with reference tostandalone financial statements including the possibility of collusion or impropermanagement override of controls material misstatements due to error or fraud may occurand not be detected

Also projections of any evaluation of the internal financial controls with referenceto standalone financial statements to future periods are subject to

the risk that the internal financial controls with reference to standalone financialstatements may become inadequate because of changes in conditions

or that the degree of compliance with the policies or procedures may deteriorate.

For M/s Shah & Bhosale Chartered Accountants Firm Registration No.; 129657W

Madhav Bhosale Proprietor Membership No.040228 UDIN: 20040228AAAADK9449

Date: 31s1 July2020. Place: Mumbai

.