You are here » Home » Companies » Company Overview » Jhaveri Credits & Capital Ltd

Jhaveri Credits & Capital Ltd.

BSE: 531550 Sector: Financials
NSE: N.A. ISIN Code: INE865D01012
BSE 00:00 | 06 Mar 2.38 0
(0.00%)
OPEN

2.38

HIGH

2.38

LOW

2.38

NSE 05:30 | 01 Jan Jhaveri Credits & Capital Ltd
OPEN 2.38
PREVIOUS CLOSE 2.38
VOLUME 200
52-Week high 3.64
52-Week low 2.17
P/E
Mkt Cap.(Rs cr) 2
Buy Price 2.38
Buy Qty 300.00
Sell Price 2.85
Sell Qty 500.00
OPEN 2.38
CLOSE 2.38
VOLUME 200
52-Week high 3.64
52-Week low 2.17
P/E
Mkt Cap.(Rs cr) 2
Buy Price 2.38
Buy Qty 300.00
Sell Price 2.85
Sell Qty 500.00

Jhaveri Credits & Capital Ltd. (JHAVERICREDITS) - Auditors Report

Company auditors report

To the Members of JHAVERI CREDITS AND CAPITAL LIMITED

Report on the Financial Statements:-

Opinion:-

We have audited the accompanying financial statements of JHAVERI CREDITS AND CAPITAL LIMITED which comprise the Balance Sheet as at 31st March 2019 the Statement of Profit and Loss and statement of cash flows for the year then ended and notes to the financial statements including a summary of significant accounting policies and other explanatory information.

In our opinion and to the best of our information and according to the explanations given to us the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India of the state of affairs of the Company as at 31st March 2019 and its profit/loss and its cash flows for the year ended on that date.

Basis for opinion:-

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Our responsibilities under those Standards are further described in the Auditor s Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Companies Act 2013 and the Rules there under and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion.

Responsibility of Management's for the Financial Statements:-

The Company s Board of Directors are responsible for the matters stated in Section 134(5) of the Companies Act 2013 (the Act) with respect to the preparation of these financial statements that give a true and fair view of the financial position financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India including the Accounting Standards specified under Section 133 of the Act read with rule 7 of Companies (Accounts) Rules 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate implementation and maintenance of accounting policies; making judgments and estimates that are reasonable and prudent; and design implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement whether due to fraud or error.

In preparing the financial statements management is responsible for assessing the Company s ability to continue as a going concern disclosing as applicable matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations or has no realistic alternative but to do so.

Those Board of Directors are also responsible for overseeing the company s financial reporting process.

Auditor's Responsibility for the Audit of Financial Statements:-

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement whether due to fraud or error and to issue an auditor s report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if individually or in the aggregate they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the financial statements.

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 of the Act we give in the Annexure- A a statement on the matters specified in paragraphs 3 and 4 of the Order.

2. As required by section 143(1) of the Act we report that:

a) The company has sold some of its assets consisting of shares at a price less than that at which they were purchased.

3. 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 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 the Company so far as it appears from our examination of those books.

c) The Balance Sheet Statement of Profit and Loss and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.

d) In our opinion the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014 except Employee Benefit Expenses as per AS- 15 Employee Benefits wherein valuation of Employee Benefits is not done as per actuarial valuation;

a) On the basis of written representations received from the directors as on 31st March 2019 taken on record by the Board of Directors none of the directors are disqualified as on 31st March 2019 from being appointed as a director in terms of Section 164(2) of the Act.

b) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls refer to our separate Report in Annexure B.

c) With respect to the other matters to be included in the Auditor 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 the explanations given to us:

i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements Refer Note 25 to the financial statements;

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

iii. There has not been an occasion in case of the Company during the year under report to transfer any sums to the Investor Education and Protection Fund hence the question of delay in transferring such sums does not arise.

FOR M A R K S & CO.
[Firm Registration No. 139476W]
Chartered Accountants
Rohan D. Mehta
Place : AhmedabadPartner
Date : 30/05/2019Mem. No. 142372

Annexure A referred to in paragraph 1 under the heading Report on Other Legal and Regulatory Requirements of our report of even date to the member of Jhaveri Credits and Capital Limited (the Company)

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

(b) The fixed assets have been physically verified by the management during the year as per the regular programme of verification. However the formal documentations for the same are not available for our verification. Thus we are unable to comment for the same.

(c) According to the information and explanation given to us the title deeds of immovable properties as disclosed in Note No.-11 are held in the name of the Company.

(ii) Since the Company holds inventory of shares in Dematerialized form the question of commenting on physical verification of inventory does not arise and no material discrepancies were noticed during the period under review.

(iii) According to the information and explanations given to us the Company has not granted any loans secured or unsecured to companies firms Limited Liability Partnerships or other parties covered in the register maintained under Section189 of the Companies Act 2013. Accordingly the provisions of clause 3(iii) (a) to (c) of the Order are not applicable to the Company and hence not commented upon.

(iv) In our opinion and according to the information and explanations given to us there are no loans investments guarantees and securities granted in respect of which provisions of Section 185 and 186 of the Companies Act 2013 are applicable and hence not commented upon.

(v) The Company has not accepted any loans or deposits from the public; which are Deposits within the meaning of Rule 2(b) of the Companies (Acceptance of Deposit's) Rules 2014.

(vi) As informed to us the Central Government has not specified maintenance of cost records under sub-section (1) of Section 148 of the Companies Act 2013 in respect of activities undertaken by the company during the financial year.

(vii) (a) According to information and explanations given to us and the records of the Company examined by us in our opinion the Company is generally regular in depositing with appropriate authorities undisputed statutory dues including provident fund employees state insurance sales-tax income-tax service tax customs duty excise duty value added tax cess and other material statutory dues applicable to it. However there have been delays in payment / deposit of statutory dues in respect of few cases of employees state insurance and tax deduction at source.

(b) According to the information and explanations given to us no undisputed amounts payable in respect of provident fund employees state insurance income-tax sales-tax service tax customs duty excise duty value added tax cess and other material statutory dues were outstanding at the year end for a period of more than six months from the date they became payable.

(c) According to the records of the Company there are no dues of income tax sales tax service tax duty of customs duty of excise value added tax outstanding on account of any dispute.

(viii) Based on our audit procedures performed for the purpose of reporting the true and fair view of the financial statements and according to information and explanations given by the management we are of the opinion that the Company has not defaulted in repayment of dues to any bank. Further the Company does not have any debentures and loan from government and financial institution.

(ix) Based on our audit procedures performed for the purpose of reporting the true and fair view of the financial statements and according to the information and explanations given by the management we report that the Company has not raised any money by way of initial public offer or further public offer (including debt instruments).

(x) Based upon the audit procedures performed for the purpose of reporting the true and fair view of the financial statements and according to the information and explanations given by the management we report that no fraud on or by the officers and employees of the Company has been noticed or reported during the year.

(xi) Based on our audit procedures performed for the purpose of reporting the true and fair view of the financial statements and according to the information and explanations given by the management we report that the managerial remuneration has been paid / provided as per the provisions of Section197 read with Schedule V to the Companies Act 2013.

(xii) In our opinion and according to the information and explanations given by the management the Company is not a Nidhi company. Therefore the provisions of clause 3(xii) of the Order are not applicable to the Company and hence not commented upon.

(xiii) Based on our audit procedures performed for the purpose of reporting the true and fair view of the financial statements and according to the information and explanations given by the management we report that transactions with related parties are in compliance with the provisions of Section 177 & 188 of the Companies Act 2013 wherever applicable and all the transactions with related parties have been disclosed in the Financial Statements as required by applicable accounting standards at Note No. 27 of the financial statements.

(xiv) According to the information and explanations given to us and on an overall examination of the balance sheet the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year under review and hence reporting requirements under clause 3(xiv) are not applicable to the company and not commented upon.

(xv) Based on our audit procedures performed for the purpose of reporting the true and fair view of the financial statements and according to the information and explanations given by the management the Company has not entered into any non-cash transactions with directors or persons connected with him.

(xvi) According to the information and explanations given to us the Company is not required to be registered under section 45-IA of the Reserve Bank of India Act 1934. Therefore the provisions of clause 3(xvi) of Companies (Auditor's Report) Order 2016 are not applicable.

FOR M A R K S & CO.
[Firm Registration No. 139476W]
Chartered Accountants
Rohan D. Mehta
Place : AhmedabadPartner
Date : 30/05/2019Mem. No. 142372

ANNEXURE B TO THE INDEPENDENT AUDITOR S REPORT OF EVEN DATE ON THE FINANCIAL STATEMENTS OF Jhaveri Credits and Capital Limited

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013 (the Act)

We have audited the internal financial controls over financial reporting of Jhaveri Credits and Capital Limited (the Company) as of March31 2019 in conjunction with our audit of the financial statements 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 and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential 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. These responsibilities include the design implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business including adherence to the Company s policies the safeguarding of its assets the prevention and detection of frauds and errors the accuracy and completeness of the accounting records and the timely preparation of reliable financial information as required under the Companies Act 2013.

Auditor's Responsibility

Our responsibility is to express an opinion on the Company s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the Guidance Note) and the Standards on Auditing as specified under Section 143(10) of the Companies Act 2013 to the extent applicable to an audit of internal financial controls both applicable to an audit of Internal Financial Controls and both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting assessing the risk that a material weakness exists and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor s judgment including the assessment of the risks of material misstatement of the financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the internal financial control system over financial reporting.

Meaning of Internal Financial Controls Over Financial Reporting

A Company s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A Company s internal financial control over financial reporting includes those policies and procedures that

(1) pertain to the maintenance of records that in reasonable detail accurately and fairly reflect the transactions and dispositions of the assets of the Company;

(2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and

(3) provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition use or disposition of the Company s assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting including the possibility of collusion or improper management override of controls material misstatements due to error or fraud may occur and not be detected. Also projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions or that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion the Company has in all material respects an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at March312019 based on the internal control over financial reporting criteria established by the Company considering the essential 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.

FOR M A R K S & CO.
[Firm Registration No. 139476W]
Chartered Accountants
Rohan D. Mehta
Place : AhmedabadPartner
Date : 30/05/2019Mem. No. 142372