To the Members of Jatalia Global Ventures Limited
(Formerly known as Aashee Infotech Limited)
Report on the standalone FinancialStatements Modified Opinion
We have audited the accompanying standalone financial statements of Jatalia GlobalVentures Limited (the Company') which comprise the Balance Sheet as at March 312020 the Statement of Profit and Loss (including other comprehensive income) theStatement of Changes in Equity and the Statement of Cash Flows for the year then ended anda summary of the significant accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanationsgiven to us the except for the possible effects of the matter described in the basis forQualified opinion section of our report the aforesaid standalone financial statement givethe information required by the Acts in the manner so required and give a true and fairview in conformity with the accounting principles generally accepted in India of thestate of affairs of the Company as at March 31 2020 its loss including othercomprehensive income its cash flows and the changes in equity for the year ended on thatdate.
Basis for Modified Opinion
The company has not provided for the retirement benefit in term of gratuity as per theactuarial valuation which constitute a departure from the Accounting Standards prescribedu/s 133 of the Companies Act 2013. In the absence of credible estimate provided by themanagement in respect of the said liability it is impracticable to report the possiblefinancial effect on the financial statements.
The Company has not provided for the bank interest on Allahabad bank Credit facilityavailed by the company The details about its financialimpact have been Stated in theirNotes to accounts 2.34 standalone financial statement
We conducted our audit of the Ind AS financial statements in accordance with theStandards on Auditing (SAs) as specified under section 143(10) of the Act. Ourresponsibilities under those Standards are further described in the Auditor'sResponsibilities for the Audit of the Ind AS Financial Statements' section of our report.We are independent of the Company in accordance with the Code of Ethics issuedby the Institute of Chartered Accountants of India together with the ethical requirementsthat are relevant to our audit of the financial statements under the provisions of the Actand the Rules thereunder and we have fulfilled our other ethical responsibilities inaccordance with these requirements and the Code of Ethics. We believe that the auditevidence we have obtained is sufficient and appropriate to provide a basis for our auditopinion on the Ind AS financial statements.
Key Audit Matters
Key audit matters are those matters that in our professional judgement were of mostsignificance in our audit of the Ind AS financial statements of the current period. Thesematters were addressed in the context of our audit of the Ind AS financial statements as awhole and in forming our opinion thereon and we do not provide a separate opinion onthese matters.
We have determined that there are no key audit matters to communicate in our report.
Responsibilities of Management for the Standalone 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 standalone financial statements that give a true and fair view of the financialposition financial performance including other comprehensive income cash flows andchanges in equity of the Company in accordance with the Indian Accounting Standards (IndAS) prescribed under Section 133 of the Act read with the Companies (Indian AccountingStandards) Rules 2015 as amended and other accounting principles generally accepted inIndia.
This responsibility also includes maintenance of adequate accounting records inaccordance with the provisions of the Act for safeguarding the assets of the Company andfor preventing and detecting frauds 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 ofthe accounting records relevant to the preparation and presentation of the standalonefinancial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.
In preparing the Ind AS financial statements management is responsible for assessingthe Company's ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so.
Those Board of Directors are 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 Ind AS financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken on thebasis of these Ind AS 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 Ind AS financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from erroras fraud may involve collusion forgeryintentional omissions misrepresentations or the override of internal control.
Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under section 143(3)(i)of the Act we are also responsible for expressing our opinion on whether the Company hasadequate internal financial controls system in place and the operating effectiveness ofsuchcontrols.
Evaluatetheappropriatenessofaccountingpoliciesusedandthereasonablenessofaccountingestimatesandrelated disclosures made by management.
Conclude on the appropriateness of management's use of the going concern basisof accounting and based on the audit evidence obtained whether a material uncertaintyexists related to events or conditions that may cast significant doubt on the Company'sability to continue as a going concern. If we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditor'sreport. However future events or conditions may cause the Company to cease to continue asa going concern.
Evaluate the overall presentation structure and content of the Ind AS financialstatements including the disclosures and whether the Ind As financial statementsrepresent the underlying transactions and events in a manner that achievesfairpresentation.
We communicate with those charged with governance regarding among other matters theplanned scope and timing of the audit andsignificantaudit findings includinganysignificantdeficiencies in internalcontrolthat we identify during ouraudit.
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 whereapplicable related safeguards.
From the matters communicated with those charged with governance we determine thosematters thatwere of most significance in the audit of the Ind AS financial statements forthe financial year ended March 312020 and are therefore the key audit matters. Wedescribe these matters in our auditor's report unless law or regulation precludes publicdisclosure about the matter or when in extremely rare circumstances we determine that amatter should not be communicated in our report because the adverse consequences of doingso would reasonably be expected to outweigh the public interest benefits of suchcommunication.
Report on Other Legal and Regulatory Requirements
1- As required by Section 143(3) of the Act based on our audit 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 it appears from our examination of those books.
c. The Balance Sheet the Statement of Profit and Loss including other comprehensiveincome Statement of Changes in Equity and the Statement of Cash Flows dealt with by thisReport are in agreement with the books of account.
d. In our opinion the aforesaid standalone financial statements comply with the IndianAccounting Standards prescribed under Section 133 of the Act.
e. On the basis of the written representations received from the directors of theCompany as on March 31 2020 taken on record by the Board of Directors none of thedirectors is disqualified as on March 312020 from being appointed as a director in termsof Section 164(2) of the Act.
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 A'. Our report expresses an unmodified opinion on theadequacy and operating effectiveness of the Company's internal financial controls overfinancial reporting.
g. In our opinion the managerial remuneration for the year ended March 31 2020 hasbeen paid/ provided by the Company to its directors in accordance with the provisions ofsection 197 read with Schedule V to the Act.
h. 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 as amended inour opinion and to the best of our information and according to the explanations given tous :
i. The details about the pending litigations against the company and its financialimpact have been Stated in their Notes to accounts 2.33 standalone financial statement
ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeablelosses.
iii. There were no amounts which are required to be transferred to the InvestorEducation and protection Fund by the Company.
2. As required by the Companies (Auditor's Report) Order 2016 (the Order')issued by the Central Government in terms of Section 143(11) of the Act we give inAnnexure B' a statement on the matters specified in paragraphs 3 and 4 of the Order.
For Girotra & Company Chartered Accountants FRN No. 025056N
RAJESH GIROTRA Prop.
M.NO. : 087274
DATE : 31.08.2020 PLACE: DELHI
Annexure A to the Independent Auditors' Report
(Referred to in paragraph 1 (f) under Report on Other Legal and RegulatoryRequirements' section of our report to the members of Jatalia Global Ventures Limited ofeven date)
Report on the Internal Financial Controls Over Financial Reporting under Clause (i) ofsub-section 3 of Section 143 of the Companies Act 2013 (the Act')
We have audited the internal financial controls over financial reporting of JataliaGlobal Ventures Limited (the Company') as of March 31 2020 in conjunction with ouraudit of the standalone financial statements of the Company for the year ended on thatdate.
Management's Responsibility for Internal Financial Controls
The Board of Directors of the Company is responsible for establishing and maintaininginternal financial controls based on the internal control over financial reportingcriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting issued by the Institute of Chartered Accountants of India. Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business 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.
Our responsibility is to express an opinion on the internal financial controls overfinancial reporting of the Company based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting (the Guidance Note') issued by the Institute of Chartered Accountants ofIndia and the Standards on Auditing prescribed under Section 143(10) of the Companies Act2013 to the extent applicable to an audit of internal financial controls. Those Standardsand the Guidance Note require that we comply with ethical requirements and plan andperform the audit to obtain reasonable assurance about whether adequate internal financialcontrols over financial reporting was established and maintained and if such controlsoperated 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 procedures selected depend on the auditor's judgment including the assessment ofthe risks of material misstatement of the financial statements whether due to fraud orerror.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the Company's internal financial controls systemover financial reporting of the company.
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 financial statements for external purposes in accordance with generallyaccepted accounting principles. A company's internal financial control over financialreporting includes those policies and procedures that (1) pertain to the maintenance ofrecords that in reasonable detail accurately and fairly reflect the transactions anddispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with generally accepted accounting principles and that receipts andexpenditures of the company are being made only in accordance with authorizations of themanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized acquisition use or disposition of thecompany's assets that could have a material effect on the financial statements.
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.
In our opinion to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at March 312020 based on the internal controlover financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting issued by the Institute of Chartered Accountants ofIndia.
For Girotra & Company Chartered Accountants FRN No. 025056N
RAJESH GIROTRA Prop.
DATE: 31.08.2020 PLACE: DELHI
Annexure B to the Independent Auditors' Report
(Referred to in paragraph 2 under Report on Other Legal and RegulatoryRequirements' section of our report to the
members of Jatalia Global Ventures Limited of even date)
i. In respect of the Company's fixed assets:
a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
b) The fixed assets were physically verified by the management at reasonable intervals.As explained to us no material discrepancies have been noticed on such verification bythe management.
c) The company has no immovable property in its records. Hence order 3(i)(c) is notapplicable on the company.
ii. As explained to us inventories have been physically verified by the management atreasonable intervals during the year. As explained to us no material discrepancies havebeen noticed on physical verification of stocks as compared to book records.
iii. In our opinion and according to information and explanation given to us in respectof loans investment guarantees and security provisions of section 185 and section 186of the Companies Act 2013 have been complied with.
iv. In our opinion and according to the information and explanations given to us thecompany has not accepted any deposits from the public.
v. According to the information and explanation given to us the Central Government hasnot prescribed for the maintenance of cost record under sub-section (1) of section 148 ofthe Companies Act 2013.
vi. a)According to the information and explanations given to us the company is regularin depositing undisputed statutory dues including provident fund employees' stateinsurance income tax service tax custom duty cess with appropriate authorities exceptincome tax for the assessment year 2018-2019 amounting Rs 14489470/-
b) According to the information and explanations given to us the value added tax hasbeen raised by the dvat department in relation to F.Y 2012-13 & 2013-14 Rs.1094822/- & 25383/- The company is in process of appeal with the dvat appellateauthorityZonal Delhi. The matter is subject to pending with the department.
vii. As per information and explanations provided to us the company has not defaultedin repaymentof loans or borrowing to a financial institution bank and government.
viii. As per information and explanations provided to us no moneys raised by way ofinitial public offer or further public offer (including debt instruments) and term loanswere applied for the purposes for which those are raised.
ix. According to the information and explanations given to us no fraud by the companyor any fraud on the company by its officers or employees has been noticed or reportedduring the year.
x. As per information and explanations provided to us managerial remuneration has beenpaid or provided in accordance with requisite approvals mandated by the provisions ofsection 197 read with Schedule V of the companies Act.
xi. As the company is not a Nidhi company. Hence this clause is not applicable.Therefore the provisions of clause 3(xii) of the order are not applicable.
xii. According to the information and explanation given to us and records of thecompany examined by us transaction with related parties are in compliance with section 177and 188 of the Act where applicable and details of such transactions have been disclosedin the financial statements etc as required by the applicable Indian Accounting
Standards (Ind AS).
xiii. According to the information and explanation given to us and records of thecompany examined by us the Company has not made any preferential allotment of sharesduring the year.
xiv. As per information and explanations provided to us the company has not enteredinto any non-cash transactions with directors or persons connected with him.
xv. The company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.
For Girotra & Company Chartered Accountants FRN No. 025056N
RAJESH GIROTRA Prop.
M.NO.: 087274 DATE: 31.08.2020 PLACE: DELHI