You are here » Home » Companies » Company Overview » IO System Ltd

IO System Ltd.

BSE: 523752 Sector: Others
NSE: N.A. ISIN Code: INE502D01011
BSE 00:00 | 24 Jan 2.43 0
(0.00%)
OPEN

2.43

HIGH

2.43

LOW

2.43

NSE 05:30 | 01 Jan IO System Ltd
OPEN 2.43
PREVIOUS CLOSE 2.43
VOLUME 12000
52-Week high
52-Week low
P/E
Mkt Cap.(Rs cr) 4
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 2.43
CLOSE 2.43
VOLUME 12000
52-Week high
52-Week low
P/E
Mkt Cap.(Rs cr) 4
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

IO System Ltd. (IOSYSTEM) - Auditors Report

Company auditors report

To

The Membersof IO SystemLimited Report on the Ind AS Financial Statements

We have audited the accompanying Ind AS financial statements of IO System Limited("the Company") which comprise the Balance Sheet as at 31st March2018 and the statement of Profit and Loss including Other Comprehensive Income the CashFlow Statement and the Statement of Changes in Equity for the year then ended and asummary of the significant accounting policies and other explanatory Information.

Management‘s Responsibility for the Ind AS Financial Statements

The Company's Board of Directors is responsible for the matters stated in section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese Ind AS financial statement that give a true and fair view of the state of affairs(financial position) profit (financialperformance) cash flows and changes inequity of the Company in accordance loss with the accounting principles generally acceptedin India including the Indian Accounting Standards (Ind AS) prescribed under section 133of the Act read with Rule 7 of Companies (Accounts) Rules 2014 and Companies (IndianAccounting Standards) Rules 2015 as amended.

This responsibility also includes maintenance of adequate accounting records inaccordance with the provision of the Act for safeguarding the assets of the Company andfor preventing and detecting fraud and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness of theaccounting records relevant to the preparation and presentation of the Ind AS financialstatements that give a true and fair view and are free from material misstatement whetherdue to fraud or error.

Auditor's responsibility

Our responsibility is to express an opinion on these Ind AS financial statements basedon our audit. We have taken into account the provision of the Act the accounting andauditing standards and matters which are required to be included in audit report under theprovision of the Act and the Rules made there under and the Order issued under section143(11) of the Act.

We conducted our audit of the Ind AS financial statements in accordance with theStandards on Auditing specified section 143 (10) of the Act. Those Standards require thatwe comply with ethical requirement and plan and perform the audit to obtain reasonableassurance about whether the Ind AS financial statements are free from material

An audit involves performing procedures to obtain the audit evidence about the amountsand the disclosure in the Ind AS on the auditor's judgment including the assessment ofthe risks financialstatements. of material misstatement statementsdue to fraud or error.In making those risk assessments the oftheIndASfinancial auditor considers internalfinancial control relevant to the Company's preparation of the Ind ASfinancialstatementsthat give true and fair view in order to design audit procedures thatare appropriate in the circumstances. An audit also includes evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates by the Company's Directors as well as evaluating the overall presentation ofthe Ind AS financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide 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 the explanationsgiven to us the aforesaid Ind AS financial statements gives the information required bythe Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India including the Ind AS of the state ofaffairs of the Company as at 31st March 2018 its loss including othercomprehensive income its cash flows and the changes in equity 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 ‘1' a statement on the matters specified in theparagraph 3 and 4 of the Order to the extent applicable.

2. As required by section 143 (3) of the Act we report that : a) We have sought andobtained all the information and explanations which to the best of our knowledge andbelief were necessary for the purpose of our audit. b) In our opinion proper books ofaccount as required by law have been kept by the Company so far as it appears from ourexamination of those books. c) The balance sheet the statement of profit and lossincluding other comprehensive income the cash flow statement and statement of changes inequity dealt with by this report are in agreement with the books of account. d) In ouropinion the aforesaid Ind As financial statementscomply with the Indian AccountingStandards under section 133 of the Act read with Rule 7 of the Companies (Accounts) Rules2014 and Companies (Indian Accounting Standards) Rules 2015 as amended. e) On the basisof the written representation received from the Directors as on 31st March2018 taken on record by the Board of Directors none of the Directors is disqualified ason 31 st March 2018 from being appointed as a Director in terms of Section164(2) of the Act. f) With respect to the adequate internal financial controls overfinancial reporting of the Company and the operating effectiveness of such controls referto our separate Report in "Annexure 2" to this report; and g) With respect tothe other matters to be included in the Auditor's Report in accordance with Rule 11 of theCompanies (Audit and Auditors) Rules 2014 in our opinion and to the best of ourinformation and according to the explanations given to us: i) the Company does not haveany pending litigations which would impact its financial position. ii) the Company did nothave any long-term contracts including derivative contracts for which there were anymaterial foreseeable losses. iii) there has been no amounts which are required to betransferred to the Investor Education and Protection

Fund by the company.

For H S GUPTA & CO.
CHARTERED ACCOUNTANTS
FRN 000326C
(H. S. GUPTA)
PARTNER
M. No. 012834
Place: Noida
Date : 30.05.2018

ANNEXURE "1" RFERRED TO IN PARAGRAPH OF OUR REPORT OF EVEN DATE

The comments are in seriatim of the order:

(i) (a) The Company is maintaining proper records of its Fixed Assets showing fullparticulars including quantitative details and situation thereof.

(b) As per the information given by the management the physical verification of fixedassets was carried out at the end of the financial year. No discrepancy on suchverification noticed by the management and reported to us. (c) As per books of accountsverified by us and according to the information and explanations given by the managementthe company does not have immovable properties and as such the sub clause is notapplicable.

(ii) The company is carrying non moving inventories valuing Rs. 2.25 lacs which havebeen physically verified at the year-end by the management. A provision of Rs. 2.00 lacshad already been made for diminution in value/obsolesce. No material discrepancies werenoticed on such physical verification and reported to us.

(iii) As per the information and explanations given to us and certified by themanagement and verified from the books of account the company has not granted any loanssecured or unsecured to companies firms limited liability partnerships or other partiescovered in the register maintained in pursuance of Section 189 of the Companies Act 2013as such there are no comments on sub clauses a) b) and c).

(iv) In our opinion and according to the information and explanations given to usthere are no loans investments guarantees and securities granted in respect of whichprovisions of Section 185 and 186 of the Companies Act 2013 are applicable hence there areno comments in this regard.

(v) The Company has not accepted any deposits from the public and as such the clause isnot applicable. (vi) To the best of our knowledge and as per information and explanationsgiven to us by the management the central government has not prescribed maintenance ofcost records under section 148(1) of the Companies Act 2013 for the products/ services ofthe Company.

(vii) (a) The Company is generally regular in depositing with appropriate authoritiesundisputed statutory dues including provident fund employees' state insurance fundincome-tax sales tax service tax customs duty excise duty value added tax goods andservice tax cess and other material statutory dues applicable to it.

According to the information and explanations given to us no undisputed amountspayable in respect of provident fund employees' state insurance fund income-tax salestax service tax duty of customs duty of excise value added tax goods and service taxcess and other material statutory dues were outstanding at the period end for a period ofmore than six months from the date they became payable.

(b) Details of dues of Sales Tax Income Tax Custom Duty Excise Duty which have notbeen deposited as on 31st March 2018 on account of disputes are attached as Annexure‘A'.

(viii) The Company does not have any loan from Bank Institutions or Debenture holdersand as such clause is not applicable.

(ix) As per the information and explanations given to us by the management the Companyhas not raised any money way of initial public offer / further public offer / debtinstruments and term loans hence there are no comments in this regard.

(x) To the best of our knowledge and according to the information and explanationsgiven to us no fraud by the company and no material fraud on the company has been noticedand reported during the year.

(xi) In our opinion and according to the information and explanations given to us theCompany has paid / provided managerial remuneration in accordance with the requisiteapprovals mandated by the provisions of Section 197 read with Schedule V of the Act.

(xii) The clause is not applicable as the company is not a ‘Nidhi Company'.

(xiii) Based on our audit procedures performed for the purpose of reporting the trueand fair view of the Ind AS financial statements and according to the information andexplanations given by the management transactions with the related parties are incompliance with Section 177 and 188 of Companies Act 2013 wherever applicable and thedetails have been disclosed in the notes to the Ind AS financial statements as requiredby the applicable accounting standards. (xiv) As per the information and explanationsgiven to us and on an overall examination of the balance sheet the Company has not madeany preferential allotment or private placement of shares or fully or partly convertibledebentures during the year under review and as such there are no comments in this regard.

(xv) As per the information and explanations given by the management the Company hasnot entered into any non-cash transactions with directors or persons connected with him.

(xvi) As per the information and explanations given to us the provisions of Section45-IA of the Reserve Bank of India Act 1934 are not applicable to the Company.

For H S GUPTA & CO.
CHARTERED ACCOUNTANTS
FRN 000326C
(H. S. GUPTA)
PARTNER
M. No. 012834
Place: Noida
Date : 30.05.2018

ANNEXURE 2 TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THE FINANCIAL STATEMENTSOF IO SYSTEM LIMITED Report on the Internal Financial Controls under Clause (f) ofSub-section 3 of Section 143 of the Companies Act 2013 ("the Act")

To the members of IO System Limited

We have audited the internal financial controls over financial reporting of IO SystemLimited ("the Company") as of March 31 2018 in conjunction with our audit ofthe Ind AS financial statements of the Company for date.

Management's Responsibility for Internal Financial Controls

The Company's Management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the stated in the Guidance Note on Audit of Internal Financial ControlsOver Financial Reporting issued by the Institute of

Chartered Accountants of India. These responsibilities include the designimplementation and maintenance of adequate internal financial controls that were operatingeffectively for ensuring the orderly and efficient conduct of its business includingadherence to the Company's policies the safeguarding of its assets the prevention anddetection of frauds and errors the accuracy and completeness of the accounting recordsand the timely preparation of reliable financial information as required under theCompanies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting based on our audit. We conducted our audit in accordancewith the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting(the "Guidance Note") and the Standards on Auditing as specified under Section143(10) of the Companies Act 2013 to the extent applicable to an audit of internalfinancial controls Controls and both issued by the Institute of Chartered Accountants ofIndia. 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 over financial reporting was established andmaintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy ofthe internal financial controls system over financial reporting and their operatingeffectiveness. Our audit of internal financial controls over financial reporting includedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testing and evaluating the designand operating effectiveness of internal control based on the assessed risk. The proceduresselected depend on the auditor's judgement including the assessment of the risks ofmaterial misstatement of the Ind AS financial statements whether due to fraud or error.We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the internal financial controls system overfinancial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A Company's internal financial control over financial reporting is a process designedto provide reasonable assurance regarding the reliability of financial reporting and thepreparation of Ind AS financial statements for external purposes in accordance withgenerally accepted accounting principles. A Company's internal financial control overfinancial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions and dispositions of the assets of the Company; (2) provide reasonableassurance that transactions are recorded as necessary to permitpreparationoffinancialstatements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the Company are being made only inaccordance with authorisations of management and directors of the Company; and (3) providereasonable assurance regarding prevention or timely detection of unauthorised acquisitionuse or disposition of the Company's assets that could have a material effect on thefinancial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financialreporting including the possibility of collusion or improper management override ofcontrols material misstatements due to error or fraud may occur and not be detected.

Also projections of any evaluation of the internal financial controls over financialreporting to future periods are subject to the risk that the internal financial controlover financial reporting may become inadequate because of changes in conditions or thatthe degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financialcontrolsoverfinancialreportingwereoperatingeffectivelyas at March 31 2018 based on theinternal control over financialreporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting issued by the

Institute of Chartered Accountants of India.

For H S GUPTA & CO.
CHARTERED ACCOUNTANTS
FRN 000326C
(H. S. GUPTA)
PARTNER
M. No. 012834
Place: Noida
Date : 30.05.2018