You are here » Home » Companies » Company Overview » Indian Energy Exchange Ltd

Indian Energy Exchange Ltd.

BSE: 540750 Sector: Financials
NSE: IEX ISIN Code: INE022Q01020
BSE 00:00 | 18 Nov 142.90 0.10
(0.07%)
OPEN

141.95

HIGH

144.85

LOW

141.45

NSE 00:00 | 18 Nov 143.10 0.10
(0.07%)
OPEN

143.00

HIGH

144.85

LOW

141.25

OPEN 141.95
PREVIOUS CLOSE 142.80
VOLUME 8828
52-Week high 172.95
52-Week low 112.00
P/E 25.34
Mkt Cap.(Rs cr) 4,281
Buy Price 142.90
Buy Qty 3.00
Sell Price 144.95
Sell Qty 500.00
OPEN 141.95
CLOSE 142.80
VOLUME 8828
52-Week high 172.95
52-Week low 112.00
P/E 25.34
Mkt Cap.(Rs cr) 4,281
Buy Price 142.90
Buy Qty 3.00
Sell Price 144.95
Sell Qty 500.00

Indian Energy Exchange Ltd. (IEX) - Auditors Report

Company auditors report

To

The Members of

Indian Energy Exchange Limited

Report on the Audit of the Ind AS Financial Statements

We have audited the accompanying Ind AS financial statements of IndianEnergy Exchange Limited ("the Company" or "IEX") which comprise theBalance sheet as at 31 March 2018 the Statement of Profit and Loss the Statement ofChanges in Equity and the Statement of Cash Flows for the year then ended and a summaryof significant accounting policies and other explanatory information.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters statedin Section 134(5) of the Companies Act 2013 ("the Act") with respect to thepreparation of these Ind AS financial statements that give a true and fair view of thestate of affairs profit (including other comprehensive income) changes in equity andcash flows of the Company in accordance with the accounting principles generally acceptedin India including the Indian Accounting Standards (Ind AS) prescribed under section 133of the Act.

This responsibility also includes maintenance of adequate accountingrecords in accordance with the provisions of the Act for safeguarding the assets of theCompany and 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 Ind AS financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

In preparing the financial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing asapplicable matters related to going concern and using the going concern basis ofaccounting unless management either intends to liquidate the Company or to ceaseoperations or has no realistic alternative but to do so.

Auditor's Responsibility

Our responsibility is to express an opinion on these Ind AS financialstatements based on our audit.

We have taken into account the provisions of the Act the accountingand auditing standards and matters which are required to be included in the audit reportunder the provisions of the Act and the Rules made thereunder.

We conducted our audit of the Ind AS financial statements in accordancewith the Standards on Auditing specified under Section 143(10) of the Act. Those Standardsrequire that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the Ind AS financial statements are free from materialmisstatement.

An audit involves performing procedures to obtain audit evidence aboutthe amounts and the disclosures in the Ind AS financial statements. The proceduresselected depend on the auditor's judgment including the assessment of the risks ofmaterial misstatement of the Ind AS financial statements whether due to fraud or error.In making those risk assessments the auditor considers internal financial controlrelevant to the Company's preparation of the Ind AS financial statements that give a trueand fair view in order to design audit procedures that are appropriate in thecircumstances. An audit also includes evaluating the appropriateness of the accountingpolicies used and the reasonableness of the accounting estimates made by the Company'sDirectors as well as evaluating the overall presentation of the Ind AS financialstatements.

We are also responsible to conclude on the appropriateness ofmanagement's use of the going concern basis of accounting and based on the auditevidence obtained whether a material uncertainty exists related to events or conditionsthat may cast significant doubt on the entity's ability to continue as a goingconcern. If we conclude that a material uncertainty exists we are required to drawattention in the auditor's report to the related disclosures in the financialstatements or if such disclosures are inadequate to modify the opinion. Our conclusionsare based on the audit evidence obtained up to the date of the auditor's report.However future events or conditions may cause an entity to cease to continue as a goingconcern.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the Ind AS financial statements.

Opinion

In our opinion and to the best of our information and according to theexplanations given to us the aforesaid Ind AS financial statements give the informationrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India of the state of affairs of theCompany as at 31 March 2018 its profit (including other comprehensive income) changes inequity and its cash flows for the year ended on that date.

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 in terms of Section 143(11) ofthe Act we give in "Annexure A" a statement on the matters specified inparagraphs 3 and 4 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 explanationswhich to 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 havebeen kept by the Company so far as it appears from our examination of those books;

(c) The Balance Sheet the Statement of Profit and Loss the Cash FlowStatement and Statement of Changes in Equity dealt with by this Report are in agreementwith the books of account;

(d) In our opinion the aforesaid financial statements comply with theAccounting Standards specified under Section 133 of the Act;

(e) On the basis of written representations received from the directorsas on 31 March 2018 and taken on record by the Board of Directors none of the directorsis disqualified as on 31 March 2018 from being appointed as a director in terms ofSection 164(2) of the Act;

(f ) With respect to the adequacy of the internal financial controlswith reference to Ind AS financial statements of the Company and the operatingeffectiveness of such controls refer to our separate Report in "Annexure B; and

(g) With respect to the other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors)Rules 2014 in our opinion and to the best of our information and according to theexplanations given to us:

i. The Company has disclosed the impact of pending litigations on itsfinancial position in its Ind AS financial statements – Refer Note 31 and 32 of theInd AS financial statements.

ii. The Company did not have any long-term contracts includingderivative contracts for which there were any material foreseeable losses.

iii. There were no amounts which were required to be transferred to theInvestor Education and Protection Fund.

iv. The disclosures in the Ind AS financial statements regardingholdings as well as dealings in specified bank notes during the period from 8 November2016 to 30 December 2016 have not been made since they do not pertain to the financialyear ended 31 March 2018. However disclosures as appearing in the audited financialstatements for the year ended 31 March 2017 have been given.

For B S R & Associates LLP

Chartered Accountants

ICAI Firm Registration Number: 116231W /W-100024

Sd/-

Manish Gupta

Partner

Membership No.: 095037

Place: New Delhi

Date: 26 April 2018

Annexure A to the Auditor's report to the members of Indian EnergyExchange Limited on the Ind AS financial statements for the year ended 31 March 2018

(i) (a) The Company has maintained proper records showing fullparticulars including quantitative details and situation of fixed assets.

(b) The Company has a regular programme of physical verification of itsfixed assets by which all fixed assets are verified at least once every year. In ouropinion this periodicity of physical verification is reasonable having regard to the sizeof the Company and the nature of its fixed assets. As informed to us the discrepanciesnoticed on such verification were not material.

(c) According to the information and explanations given to us theCompany does not hold any immovable property in its name. Accordingly para 3(i)(c) of theOrder is not applicable to the Company.

(ii) The Company is a service company and is a registered nationallevel power exchange. Accordingly it does not hold any physical inventories. Thusparagraph 3(ii) of the Order is not applicable.

(iii) According to the information and explanations given to us theCompany has not granted any loans secured or unsecured to companies firms or otherparties covered in the register maintained under Section 189 of the Companies Act 2013.Thus paragraph 3(iii) of the Order is not applicable.

(iv) In our opinion and according to the information and explanationgiven to us investments made by the Company does not attract provisions of section 185and 186 of the Act hence paragraph 3(iv) of the Order is not applicable to the Company.

(v) According to the information and explanations given to us theCompany has not accepted any deposits as mentioned in the directives issued by the ReserveBank of India and the provisions of section 73 to 76 or any other relevant provisions ofthe Act and the rules framed there under. Accordingly para 3(v) of the Order is notapplicable to the Company.

(vi) The Central Government has not prescribed the maintenance of costrecords under section 148(1) of the Act for any of the service rendered by the Company.Accordingly para 3(vi) of the Order is not applicable.

(vii) (a) According to the information and explanations given to us andon the basis of our examination of the records of the Company amounts deducted/accrued inthe books of account in respect of undisputed statutory dues including Provident FundIncome-tax Goods and Service tax Service tax Cess and other material statutory dueshave been generally been regularly deposited during the year by the Company with theappropriate authorities. As explained to us the provisions of Employees' StateInsurance Sales-tax Value added tax Duty of customs and Duty of excise are notapplicable to the Company.

According to the information and explanations given to us noundisputed amounts payable in respect of Provident Fund Income-tax Service tax Goodsand Service tax Cess and other material statutory dues were in arrears as at 31 March2018 for a period of more than six months from the date they became payable.

(b) According to the information and explanations given to us thereare no amounts in respect of dues of Income tax Service tax Goods and Service tax andCess which have not been deposited with the appropriate authorities on account of anydispute. As explained to us the provisions Sales-tax Value added tax Duty of customsand Duty of excise are not applicable to the Company.

(viii) The Company did not defaulted in repayment of borrowings(overdraft) or loans to banks during the year. The Company did not have any outstandingdues to financial institution Government and debenture holder during the year.

(ix) The Company has completed an initial public offering through anOffer for sale of equity shares by certain selling shareholders only during the year. TheCompany did not raise any money itself by way of initial public offer or further publicoffer (including debt instrument) and term loans during the year. Accordingly paragraph3(ix) of the Order is not applicable.

(x) According to the information and explanations provided to us nomaterial fraud by the Company or on the Company by its officers or employees has beennoticed or reported during the course of our audit. (xi) According to the information andexplanation given to us and based on our examination of the records of the Company theCompany has paid/provided for managerial remuneration in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the Act.

(xii) In our opinion and according to the information and explanationsgiven to us the Company is not a nidhi company. Accordingly paragraph 3(xii) of theOrder is not applicable.

(xiii) According to the information and explanations given to us andbased on our examination of the records of the Company transactions with the relatedparties are in compliance with sections 177 and 188 of the Act where applicable anddetails of such transactions have been disclosed in the financial statements as requiredby the applicable accounting standards.

(xiv) According to the information and explanations give to us andbased on our examination of the records of the Company the Company has not made anypreferential allotment or private placement of shares or fully or partly convertibledebentures during the year. Accordingly para 3(xiv) of the Order is not applicable to theCompany.

(xv) According to the information and explanations given to us andbased on our examination of the records of the Company the Company has not entered intonon-cash transactions with directors or persons connected with him. Accordingly paragraph3(xv) of the Order is not applicable.

(xvi) The Company is not required to be registered under section 45-IAof the Reserve Bank of India Act 1934.

For B S R & Associates LLP
Chartered Accountants
ICAI Firm Registration Number: 116231W /W-100024
Sd/-
Manish Gupta
Place: New Delhi Partner
Date: 26 April 2018 Membership No.: 095037

Annexure B to the Independent Auditor's Report of even date on theInd AS financial statements of Indian Energy Exchange Limited for the year ended 31 March2018

Report on the Internal financial controls with reference to financialstatements under Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013("the Act")

We have audited the internal financial controls with reference tofinancial statements of Indian Energy Exchange Limited ("the Company" or"IEX") as of 31 March 2018 in conjunction with our audit of the Ind AS financialstatements of the Company for the year ended on that date.

Management's Responsibility for Internal Financial Controls

The Company's management is responsible for establishing andmaintaining internal financial controls based on the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls overFinancial Reporting issued by the Institute of Chartered Accountants of India(‘ICAI'). These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business including adherence toCompany's policies the safeguarding of its assets the prevention and detection offrauds and errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company'sinternal financial controls with reference to financial statements based on our audit. Weconducted our audit in accordance with the Guidance Note on Audit of Internal FinancialControls over Financial Reporting (the "Guidance Note") and the Standards onAuditing issued by ICAI and deemed to be prescribed under section 143(10) of theCompanies Act 2013 to the extent applicable to an audit of internal financial controlswith reference to financial statements both applicable to an audit of Internal FinancialControls and both issued by the Institute of Chartered Accountants of India. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls with reference to financial statements was established and maintainedand if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence aboutthe adequacy of the internal financial controls with reference to financial statements andtheir operating effectiveness. Our audit of internal financial controls with reference tofinancial statements included obtaining an understanding of internal financial controlswith reference to financial statements assessing the risk that a material weaknessexists and testing and evaluating the design and operating effectiveness of internalcontrol based on the assessed risk. 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.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the Company's internalfinancial controls with reference to Ind AS financial statements.

Meaning of Internal Financial Controls with reference to FinancialStatements

A company's internal financial controls with reference tofinancial statements is a process designed to provide reasonable assurance regarding thereliability of financial reporting and the preparation of financial statements forexternal purposes in accordance with generally accepted accounting principles. Acompany's internal financial controls with reference to financial statements includesthose policies and procedures that (1) pertain to the maintenance of records that inreasonable detail accurately and fairly reflect the transactions and dispositions of theassets of the company; (2) provide reasonable assurance that transactions are recorded asnecessary to permit preparation of financial statements in accordance with generallyaccepted accounting principles and that receipts and expenditures of the company arebeing made only in accordance with authorisations of management and directors of thecompany; and (3) provide reasonable assurance regarding prevention or timely detection ofunauthorised acquisition use or disposition of the company's assets that could havea material effect on the financial statements.

Inherent Limitations of Internal Financial Controls with reference toFinancial Statements

Because of the inherent limitations of internal financial controls withreference to 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 financialcontrols with reference to financial statements to future periods are subject to the riskthat the internal financial controls with reference to financial statements may becomeinadequate because of changes in conditions or that the degree of compliance with thepolicies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequateinternal financial controls with reference to Ind AS financial statements and suchinternal financial controls with reference to Ind AS financial statements were operatingeffectively as at 31 March 2018 based on the internal financial controls with referenceto Ind AS financial statements criteria established by the Company considering theessential components of internal control stated in the Guidance Note on Audit of InternalFinancial Controls Over Financial Reporting issued by the Institute of CharteredAccountants of India.

For B S R & Associates LLP
Chartered Accountants
ICAI Firm Registration Number: 116231W /W-100024
Sd/-
Manish Gupta
Place: New Delhi Partner
Date: 26 April 2018 Membership No.: 095037