TO THE MEMBERS OF JINA AM'S DRESS LIMITED
Report on the Audit of the Financial Statements
We have audited the accompanying financial statements of JINA AM'S DRESS LIMITED("the Company") which comprise the Balance Sheet as at March 31 2019and the Statement of Profit and Loss and Cash Flow Statement for the year then ended anda summary of 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 financial statements give the information required by the Act in themanner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India of the state of affairs of the Company as at March31 2019 and its profit and its cash flow for the year ended on that date.
Basis for Opinion
We conducted our audit of the Financial Statements in accordance with the Standards onAuditing (SAs) as specified under section 143(10) of the Act. Our responsibilities underthose Standards are further described in the Auditor's Responsibilities for theAudit of the Financial Statements' section of our report. We are independent of theCompany in accordance with the Code of Ethics' issued by the Institute of CharteredAccountants of India together with the ethical requirements that are relevant to our auditof the financial statements under the provisions of the Act and the Rules thereunder andwe have fulfilled our other ethical responsibilities in accordance with these requirementsand the Code of Ethics. We believe that the audit evidence we have obtained is sufficientand appropriate to provide a basis for our audit opinion on the Financial Statements.
Key Audit Matters
Since the Company is not listed as on 31st MARCH 2019 Hence Key Audit Matters is notapplicable to it.
Information Other than the Financial Statements and Auditor's Report Thereon
The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the Annual report but does not includethe Financial Statements and our auditor's report thereon.
Our opinion on the Financial Statements does not cover the other information and we donot express any form of assurance conclusion thereon.
In connection with our audit of the Financial Statements our responsibility is to readthe other information and in doing so consider whether such other information ismaterially inconsistent with the Financial Statements or our knowledge obtain in the auditor otherwise appears to be materially misstated. If based on the work we have performedwe conclude that there is a material misstatement of this other information we arerequired to report that fact. We have nothing to report in this regard.
Responsibilities of Management and Those Charged with Governance for the FinancialStatements
The Management and Board of Directors of the Company are responsible for the mattersstated in Section 134(5) of the Companies Act 2013 ("the Act") with respect tothe preparation of these financial statements that give a true and fair view of thefinancial position financial performance and cash flows of the Company in accordance withthe accounting principles generally accepted in India including the Accounting Standardsspecified under section 133 of the Act read with rule 7 of Companies (Accounts) Rules2014. This responsibility 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 judgements and estimates that are reasonable andprudent; design implementation and maintenance of adequate internal financial controlthat are operating effectively for ensuring the accuracy and completeness of theaccounting records relevant to the preparation and presentation of the financialstatements that give a true and fair view and are free from material misstatement whetherdue to fraud or error.
In preparing the financial statements management is responsible for assessing thecompany'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.
The Board of Directors are also responsible for overseeing the company's financialreporting process.
Auditor's Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the 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 theyreasonably be expected to influence the economic decisions of users taken on the basis ofthese financial statements.
As part of an audit in accordance with SAs We exercises professional judgment andmaintain professional scepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the financialstatements whether due to fraud or error to design and perform audit proceduresresponsive to those risks and to obtain audit evidence that is sufficient and appropriateto provide a basis for the auditor's opinion. The risk of not detecting a materialmisstatement resulting from fraud is higher than for one resulting from error as fraudmay involve collusion forgery intentional omissions misrepresentations or the overrideof 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 Companies Act 2013 we are responsible for expressing our opinion on whetherthe company has adequate internal financial controls system in place and the operatingeffectiveness of such controls.
Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related 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 disclosure in thefinancial statements or if such disclosures are inadequate to modify the opinion. Ourconclusions are based on the audit evidence obtained up to the date of the auditor'sreport. However future events or conditions may cause an entity to cease to continue as agoing concern.
Evaluate the overall presentation structure and content of the financialstatements including the disclosures and whether the financial statements represent theunderlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statementsthat individually or in aggregate makes it probable that the economics decisions of areasonably knowledgeable user of the financial statement may be influenced. We considerquantitative materiality and qualitative factor in (i) planning the scope of our auditwork and in evaluating the result of our work and (ii) to evaluate the effect of anyidentified misstatements in the financial statements.
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 in 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 communicate with them allrelationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.
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
A a statement on the matters specified in paragraph 3 and 4 of the Order.
2. As required by section 143(3) of the Act we report that:
a. We have obtained all the information and explanations which to the best of ourknowledge 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 theCompany so far as appears from our examination of those books;
c. The Balance Sheet Statement of Profit and Loss Cash Flow Statement dealt with bythis Report are in agreement with the books of account;
d. In our opinion the aforesaid financial statements comply with the AccountingStandards referred to in section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014.
e. On the basis of written representations received from the directors as on March 312019 and taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2019 from being appointed as a director in terms of section 164(2) of theAct.
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 B" and
g. In our opinion the managerial remuneration for the year ended March 31 2019 hasbeen paid/ provided by the company to its directors in accordance with the provisions ofsection 197 read with schedule V to the Act.
h. In our opinion and to the best of our information and according to the explanationsgiven to us we report as under with respect to other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules2014:
i. The Company does not have any pending litigations which would impact its financialposition
ii. The company does not have any long-term contracts including derivative contracts;as such the question of commenting on any material foreseeable losses does not arise.
iii. There has not been an occasion in case of the company during the year under reportto transfer any sums to the investor Education and Protection Fund.The question of delayin transferring such sums does not arise.
C. S. JARIWALA & CO
FRN - 114906W
(ANUJ C. JARIWALA PARTNER)
Membership No. 109919
Date: 05 June 2019
UDIN : 19109919A A A AEC4152
Annexure-A to the Auditors' Report
Annexure referred to in above paragraph of our report of even date to the members ofCompany on the accounts of the Company for the year ended 31st March 2019.
1 PROPERTY PLANT AND EQUIPMENT:
a. The company has maintained proper records showing full particulars includingquantitative details and situation of Fixed Assets.
b. All the Fixed Assets have not been physically verified by the management during theyear but there is a regular programme of verification which in our opinion is reasonablehaving regard to the size of the company and the nature of its assets. No materialdiscrepancies were noticed on such verification.
c. According to the information and explanations given to us there have been noimmovable properties of land and buildings which are freehold held in the name of theCompany as at the balance sheet date. However the company has incurred capital expenditureon Building premises taken on lease which have been shown as Fixed assets Valueadditions in Building (Construction) in the books of account.
As explained to us the inventories were physically verified during the year by themanagement at reasonable intervals and the discrepancies noticed on verification betweenthe physical stocks and the book records were not material.
3.The Company has not granted any loans secured or unsecured to companies firms andlimited liability partnerships or other parties covered in the register maintained underSection 189 of the Act. Consequently the provisions of clauses iii (a) (b) and (c) of theorder are not applicable to the Company.
4.In our opinion and according to the information and explanations given to us thecompany has complied with the provisions of section 185 and 186 of the Act in respect ofgrant of loans making investments and providing guarantees and securities as applicable.
5.The Company has not accepted any deposits from the public and hence the directivesissued by the Reserve Bank of India and the provisions of section 73 to 76 or any otherrelevant provisions of the Act and the Companies (Acceptance of Deposit) Rules 2015 withregards to the deposits accepted from public are not applicable.
6.We have broadly reviewed the books of account maintained by the company pursuant tothe Rules made by the Central Government for the maintenance of cost records under section148 of the Act and are of the opinion that prima facie the prescribed accounts andrecords have been made and maintained .
7.IN RESPECT OF STATUTORY DUES :
a. According to the informations and explanations given to us and based on the recordsof the company examined by us the company has been regular in depositing the undisputedstatutory dues including Provident Fund Employees' State Insurance Income Tax Sales Tax Wealth Tax Goods and Service Tax Service Tax Custom Duty Excise Duty cessand other material statutory as applicable with the appropriate authorities in India. b.According to the information and explanations given to us no undisputed amounts payablein respect of income Tax Wealth Tax Goods and Service Tax Service Tax Sales TaxCustoms Duty and Excise Duty were outstanding as at 31-03-2019 for a period of more thansix months from the date they became payable. c. According to the records of the companythere are no dues of sale-tax Goods and Service Tax income tax customs-tax/wealth-taxexcise duty/cess which have not been deposited on account of any dispute.
8.According to the records of the Company examined by us and as per the information andexplanations given to us we are of opinion that the company has not made default inrepayment of dues to financial institutions or banks and further the company has notissued debentures.
9. The company has not raised moneys by way of Initial public offer or further publicoffer (including debt instruments). Further the company has raised term loans during theyear and was applied for the purposes for which they are raised.
10.During the course of our examination of the books and records of the companycarried in accordance with the auditing standards generally accepted in India we haveneither come across any instance of fraud by the company or by its officers or employeeson or by the company noticed or reported during the course of our audit nor have we beeninformed of any such instance by the Management.
11.According to the information and explanation provided by the management themanagerial remuneration has been paid/provided in accordance with the requisite approvalsmandated by the provisions of section 197 read with schedule V to the Companies Act 2013.
12.The company is not a Nidhi company and hence reporting under this clause of order isnot applicable.
13.In our opinion and according to the information and explanations given to us thecompany is in compliance with section 177 and 188 of the Act where applicable for alltransactions with related parties and details of related party transactions have beendisclosed in the financial statement as required by the applicable accounting standards.
14.During the year the Company has made Private placement of shares and based oninformations and explanations Provided to us we are of opinion that the company hascomplied with the requirement of section 42 of the Companies Act 2013 and amount havebeen used for the purpose for which the funds have been raised.
15.In our opinion and according to the information and explanations given to us duringthe year the company has not entered into any non cash transactions with itsDirectors or persons connected to its directors and hence provisions of section 192 of theAct are not applicable.
16.The company is not required to be registered under section 45-I of Reserve bank ofIndia Act 1934.
For and on behalf of
C. S. JARIWALA & CO
FRN - 114906W
ANUJ C. JARIWALA PARTNER
Membership No. 109919
Date: 05 June 2019
UDIN: 19109919A A A AEC4152
Annexure-B to the Auditors' Report
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act")
We have audited the internal financial controls over financial reporting of JINAAM'S DRESS LIMITED ("the Company") as of 31 March 2019 in conjunctionwith our audit of the financial statements of the Company for the year ended on that date.
Management's Responsibility for Internal Financial Control
The Company's management is responsible for establishing and maintaining internalfinancial controls based on the internal control over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the guidance note on audit of internal financial controls over financial reporting bythe institute of Chartered Accountants of India (ICAI'). These responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to company's policies the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired under the Companies Act 2013.
Our responsibility is to express an opinion on the company's internal financialcontrols over financial reporting based on our audit. We conducted our audits inaccordance with the guidance notes on audit of internal financial controls over financialreporting (the "Guidance Note") and the standards on auditing issued by ICAIand deemed to be prescribed under section 143(10) of the companies act 2013 to theextent applicable to an audit of internal financial controls both applicable to an auditof internal financial and both issued by the Institute of Chartered Accountants of India.Those standards and the guidance note require that we comply with ethical requirements andplan and perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was maintained and if such controls operatedeffectively 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 control over financial reporting includedobtaining an understanding of internal financial control 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 judgment including the assessment of materialmisstatement of the financial statements whether due to fraud or error.
We believe that 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.
Meaning of internal financial controls over financial reporting
A company's internal financial control over financial reporting is a process designedto provide assurance regarding the reliability of financial reporting and the preparationof financial statements for external purposes in accordance with generally acceptedaccounting principles. A company's internal control over financial reporting includesthose policies and procedures that (1) pertain to the maintenance of records that inreasonable details accurately and fairly reflect the transaction and dispositions of theassets of the company; (2) provide reasonable assurance that transaction are recorded asnecessary to permit preparation of financial statements in accordance with generallyaccepted accounting principles 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 materials misstatements due to error fraud may occur and not be detected. Alsoprojections of any evaluation of the internal financial controls over financial reportingto future periods are subject to the risk that the internal financial control overfinancial reporting may become inadequate because of changes in conditions or that thedegree of compliance with the policies or procedures may deteriorate.
In our opinion the company has in all material respects an adequate internalfinancial controls system over financial reporting and such internal financial controlsover financial reporting were operating effectively as at 31 march 2019 based on theinternal controls over financial reporting 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 charteredaccountants of India.
For and on behalf of
C. S. JARIWALA & CO
FRN - 114906W
ANUJ C. JARIWALA PARTNER
Membership No. 109919
Date: 05 June 2019
UDIN: 19109919A A A AEC4152