You are here » Home » Companies » Company Overview » Joindre Capital Services Ltd

Joindre Capital Services Ltd.

BSE: 531861 Sector: Financials
NSE: N.A. ISIN Code: INE024B01010
BSE 00:00 | 20 Jan 32.25 -0.45
(-1.38%)
OPEN

34.10

HIGH

34.15

LOW

32.00

NSE 05:30 | 01 Jan Joindre Capital Services Ltd
OPEN 34.10
PREVIOUS CLOSE 32.70
VOLUME 10223
52-Week high 38.75
52-Week low 14.10
P/E 7.92
Mkt Cap.(Rs cr) 45
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 34.10
CLOSE 32.70
VOLUME 10223
52-Week high 38.75
52-Week low 14.10
P/E 7.92
Mkt Cap.(Rs cr) 45
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Joindre Capital Services Ltd. (JOINDRECAPITAL) - Auditors Report

Company auditors report

To the Members of

JOINDRE CAPITAL SERVICES LIMITED

Report on the Audit of the Standalone Financial Statements

Opinion

We have audited the accompanying standalone financial statements of JOINDRE CAPITALSERVICES LIMITED

("the Company") which comprise the Standalone Balance Sheet as at March 312021 the Standalone Statement of Profit and Loss (including other comprehensive income)standalone statement of changes in equity and the Standalone Statement of Cash Flows forthe year ended on that date and a summary of the significant accounting policies andother explanatory information (hereinafter referred to as "the standalone financialstatements").

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone financial statements give the information requiredby the Companies Act 2013 ("the Act") in the manner so required and give a trueand fair view in conformity with the Accounting Standards as prescribed under section 133of the Act read with rule 7 of the Companies (Accounts) Rules 2014 and other accountingprinciples generally accepted in India of the state of affairs of the Company as at March31 2021 the profit and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit of the standalone financial statements in accordance with theStandards on Auditing specified under section 143(10) of the Act. Our responsibilitiesunder those Standards are further described in the Auditor's Responsibilities for theAudit of the Standalone Financial Statements section of our report. We are independent ofthe Company in accordance with the Code of Ethics issued by the Institute of CharteredAccountants of India (ICAI) together with the independence requirements that are relevantto our audit of the standalone financial statements under the provisions of the Act andthe Rules made thereunder and we have fulfilled our other ethical responsibilities inaccordance with these requirements and the ICAI's Code of Ethics. We believe that theaudit evidence we have obtained is sufficient and appropriate to provide a basis for ouraudit opinion on the standalone financial statements.

Key Audit Matters

Key audit matters ('KAM') are those matters that in our professional judgment were ofthe most significance in our audit of the financial statements of the current period.These matters were addressed in the context of our audit of the financial statements as awhole and in forming our opinion thereon and we do not provide a separate opinion onthese matters.

We have determined the matters described below to be the key audit matters to becommunicated in our report.

Key Audit Matter How our Audit addressed the matter
Use of Information technology System for business and financial reporting process The procedures as given below are being followed
Design/Control :
The company is involved in the business of broking and proprietary trading. Thus company is dependent on its IT system since there are very large voluminous transactions. The main financial items i.e brokerage income and trade receivables and payable of the company are dependent on the Information system and its controls. l Understanding the design implementation and operating effectiveness of IT operating system application and its control and integration.
Substantive Test :
The accuracy and completeness of the transaction and reporting of the financial item is dependent on the IT systems. l We have verified and tested the accuracy effectiveness of the IT controls and applications.
l We have performed walkthrough to evaluate the design and implementation of the IT controls. On the basis of the walkthrough we have selected the samples for verification and validation of the controls and the security procedures that the company has implemented in its IT system.
l Tested other operation areas like password policies access rights user creation reports generated by the systems.
l Where deficiencies were identified we have performed alternative audit procedures.

Information Other than the Standalone Financial Statements and Auditor's Report Thereon

The Company's Board of Directors is responsible for the preparation of the otherinformation. The other information comprises the information included in Annual Reportbut does not include the standalone financial statements and our auditor's report thereon.

Our opinion on the standalone financial statements does not cover the other informationand we do not express any form of assurance conclusion thereon.

In connection with our audit of the standalone financial statements our responsibilityis to read the other information and in doing so consider whether the other informationis materially inconsistent with the standalone financial statements or our knowledgeobtained during the course of our audit or otherwise appears to be materially misstated.If based on the work we have performed we conclude that there is a material misstatementof this other information; we are required to report that fact. We have nothing to reportin this regard.

Responsibility of Management for the Standalone Financial Statements

The Company's Board of Directors is responsible for the matters stated in section134(5) of the Act with respect to the preparation of these standalone financial statementsthat give a true and fair view of the standalone financial position standalone financialperformance standalone profit and other comprehensive income standalone statement ofchanges in equity and standalone cash flows of the Company in accordance with accountingprinciples generally accepted in India including the Accounting Standards specified undersection 133 of the Act. This responsibility also includes maintenance of adequateaccounting records in accordance with the provisions of the Act for safeguarding theassets of the Company and for preventing and detecting frauds and other irregularities;selection and application of appropriate accounting policies; making judgments andestimates that are reasonable and prudent; and design implementation and maintenance ofadequate internal financial controls that were operating effectively for ensuring theaccuracy and completeness of the accounting records relevant to the preparation andpresentation of the standalone financial statements that give a true and fair view and arefree from material misstatement whether due to fraud or error.

In preparing the standalone financial statements management is responsible forassessing the Company's ability to continue as a going concern disclosing as applicablematters related to going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the Company or to cease operations or has norealistic alternative 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 standalonefinancial statements as a whole are free from material misstatement whether due to fraudor error and to issue an auditor's report that includes our opinion. Reasonable assuranceis a high level of assurance but is not a guarantee that an audit conducted in accordancewith SAs will always detect a material misstatement when it exists. Misstatements canarise from fraud or error and are considered material if individually or in theaggregate they could reasonably be expected to influence the economic decisions of userstaken on the basis of these standalone financial statements. As part of an audit inaccordance with Standards on Auditing we exercise professional judgment and maintainprofessional skepticism throughout the audit. We also:

l Identify and assess the risks of material misstatement of the standalonefinancial statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is sufficient and appropriate toprovide a basis for our opinion. The risk of not detecting a material misstatementresulting from fraud is higher than for one resulting from error as fraud may involvecollusion forgery intentional omissions misrepresentations or the override of internalcontrol.

l Obtain an understanding of internal financial controls relevant to the audit inorder to design audit procedures that are appropriate in the circumstances. Under section143(3)(I) of theAct we are also responsible for expressing our opinion on whether theCompany has adequate internal financial controls system in place and the operatingeffectiveness of such controls.

l Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by management.

l Conclude on the appropriateness of management's use of the going concern basis ofaccounting 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 standalone financial statements or if such disclosures are inadequate to modify ouropinion. Our conclusions are based on the audit evidence obtained up to the date of ourauditor's report. However future events or conditions may cause the Company to cease tocontinue as a going concern.

l Evaluate the overall presentation structure and content of the standalonefinancial statements including the disclosures and whether the standalone financialstatements represent the underlying transactions and events in a manner that achieves fairpresentation. We communicate with those charged with governance regarding among othermatters the planned scope and timing of the audit and significant audit findingsincluding any significant deficiencies in internal control that 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 where applicable related safeguards.

From the matters communicated with those charged with governance we determine thosematters that were of most significance in the audit of the standalone financial statementsof the current period and are therefore the key audit matters. We describe these mattersin our auditor's report unless law or regulation precludes public disclosure about thematter or when in extremely rare circumstances we determine that a matter should not becommunicated in our report because the adverse consequences of doing so would reasonablybe expected to outweigh the public interest benefits of such communication.

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 Companies Act 2013 we give in the "Annexure A" a statement on the mattersspecified in paragraphs 3 and 4 of the Order to the extent applicable.

2. A) 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 standalone balance sheet the standalone statement of profit and loss (includingother comprehensive income) the standalone statement of changes in equity and thestandalone statement of cash flows dealt with by this Report are in agreement with therelevant books of account.

d) In our opinion the aforesaid standalone financial statements comply with theAccounting Standards specified under Section 133 of the Act read with rule 7 of Companies(Accounts) Rules 2014.

e) On the basis of the written representations received from the directors as on March31 2021 taken on record by the Board of Directors none of the directors is disqualifiedas on March 31 2021 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 with reference to these standalone financial statements of the company and theoperating effectiveness of such controls refer to our separate Report in "AnnexureB". Our report expresses an unmodified opinion on the adequacy and operatingeffectiveness of the Company's internal financial controls over financial reporting;

B) 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 in our opinionand 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 financialposition in its financial statements. Refer note 33 of Notes to the financial statements

ii. The Company did not have any long - term contracts including derivative contractsfor which there were any material foreseeable loses.

iii. There has been no delay in transferring amounts required to be transferred tothe Investor Education and Protection Fund by the Company.

C) With respect to the matter to be included in the Auditors' Report under Section197(16) of the Act: In our opinion and according to the information and explanations givento us the remuneration paid by the Company to its directors during the current year is inaccordance with the provisions of Section 197 of the Act. The remuneration paid to anydirector is not in excess of the limit laid down under Section 197 of the Act. TheMinistry of Corporate Affairs has not prescribed other details under Section 197(16) whichare required to be commented upon by us.

For M/S. S. RAKHECHA & CO.
Chartered Accountants
(Firm's Registration No.108490W)
S.B. RAKHECHA
Proprietor
Place : Mumbai Membership No. 038560
Date : 29/06/2021 UDIN: 21038560AAAAEJ1203

ANNEXURE 'A' TO THE INDEPENDENT AUDITOR'S REPORT

(Referred to in paragraph 2 under the heading 'Report on Other Legal and RegulatoryRequirements' of our report to the members of Joindre Capital Services Limited)

Based on the audit procedures performed for the purpose of reporting a true and fairview on the standalone financial statements of the Company and taking into considerationthe information and explanations given to us and the books of account and other recordsexamined by us in the normal course of audit and to the best of our knowledge and beliefwe report that:

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 company has a regular program of physical verification of its fixed assetsunder which the fixed assets are verified in a phased manner which in our opinion isreasonable having regard to the size of the Company and the nature of its assets. Inaccordance with this program certain fixed assets were verified during the year and nomaterial discrepancies were noticed on such verification.

(c) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the title deed of immovable property is held inthe name of the company.

ii. In respect of its inventories:

(a) As explained to us the inventory of shares and securities has been physicallyverified during the year by the Management. In our opinion the frequency of verificationis reasonable.

(b) According to the information and explanations given to us in our opinion theprocedures of physical verification of inventories followed by the Management arereasonable and adequate in relation to the size of the Company and the nature of itsbusiness.

(c) According to the information and explanations given to us and on the basis of ourexamination of records of inventory in our opinion the Company has maintained properrecords of shares and securities and there were no material discrepancies noticed onverification between the stocks lying in demat account and the book records.

iii. In Respect of Loans Granted:-According to the information and explanation given tous the company has granted unsecured loans to companies firms or other parties covered inthe register maintained under Section 189 of the Companies Act. The balance outstanding asat the end of the year was Rs.6455911/-. In our opinion and according to the informationand explanation given to us:-

(a) The terms and conditions of the grant of aforesaid loans are not prejudicial to thecompany's interest.

(b) In respect of the aforesaid loans the parties are repaying the principal amountsas stipulated and are also regular in payment of interest wherever applicable.

(c) There are no amounts of loan granted to the company listed in the registermaintained under section 189 of the Act which were overdue for more than ninety days.

iv. In our opinion and according to the information and explanations given to usprovisions of section 185 and 186 of the Companies Act 2013 in respect of loans todirectors including entities in which they are interested and in respect of loans andadvances given investments made guarantees and securities given have been complied bythe company.

v. In our opinion the Company has not accepted deposits within the meaning of Section73 to 76 of the Act and the Companies (Acceptance of Deposits) Rules 2014 (as amended).

Accordingly the provisions of clause 3(v) of the Order are not applicable.

vi. The maintenance of cost records has not been specified by the Central Governmentunder section 148(1) of the Companies Act 2013 for the business activities carried out bythe Company.

Thus reporting under clause 3(vi) of the order is not applicable to the Company.

vii. According to the information and explanation given to us in respect of statutorydues:

a) Undisputed statutory dues including provident fund employees' state insuranceincome tax duty of customs goods and service tax cess and other statutory dues havegenerally been regularly deposited with the appropriate authorities.

According to the information and explanation given to us no undisputed amounts payablein respect of provident fund employees' state insurance income tax duty of customsgoods and service tax and cess and other statutory dues were outstanding at the yearend for a period of more than six months from the date they became payable.

b) According to the information and explanation given to us there are no dues ofincome tax sales tax goods and service tax duty of customs duty of excise value addedtax which have not been deposited on account of any dispute. However according to theinformation and explanation given to us the particulars of dues of Income Tax as on 31stMarch 2021 which have not been deposited on account of any dispute as as follows:

Name of the Statute Nature of dues Amount involved Period to which the amount relates Forum where dispute is pending
Income Tax Income Tax 2674210/- 2017-18 Commissioner of Income Tax (Appeals)

viii. According to the records of the company examined by us and the information andexplanations given to us the company has not defaulted in repayment of dues to financialinstitution or bank as at the balance sheet date. Further the Company has not issued anydebentures as at the balance sheet date.

ix. The Company has not raised moneys by way of initial public offer or further publicoffer (including debt instruments) or term loans and hence reporting under clause 3 (ix)of the Order is not applicable to the Company.

x. No fraud by the Company or no material fraud on the Company by its officers oremployees has been noticed or reported during the year.

xi. Managerial remuneration has been paid by the company in accordance with therequisite approvals mandated by the provisions of Section 197 of the Act read withSchedule V to the Act.

xii. In our opinion the Company is not a Nidhi Company. Accordingly provision ofclause 3 (xii) of the Order is not applicable to the Company.

xiii. In our opinion all transactions with the related parties are in compliance withSection 177 and 188 of the Act where applicable and the requisite details have beendisclosed in the notes to financial statements as required by the applicable accountingstandards.

xiv. During the year the Company has not made any preferential allotment or privateplacement of shares or fully or partly paid convertible debentures. Accordingly reportingunder clause 3 (xiv) of the Order is not applicable to the Company.

xv. In our opinion the Company has not entered into any non -cash transactions withdirectors or persons covered with them under section 192 of the Act.

xvi. The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.

For M/S. S. RAKHECHA & CO.
Chartered Accountants
(Firm's Registration No.108490W)
S.B. RAKHECHA
Proprietor
Place : Mumbai Membership No. 038560
Date : 29/06/2021 UDIN: 21038560AAAAEJ1203

ANNEXURE-B TO THE INDEPENDENT AUDITORS' REPORT"

Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section143 of the Companies Act 2013 ("the Act")

In conjunction with our audit of the standalone financial statements of JoindreCapital Services Limited (the "Company") as at and for the year ended 31March 2021 we have audited the internal financial controls over financial reporting ofthe Company as of that date.

Management's Responsibility for Internal Financial Controls

The Company's Board of Directors 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 ("the Guidance Note") issued by the Institute of Chartered Accountantsof India ('ICAI').

These responsibilities include the design implementation and maintenance of adequateinternal financial controls that were operating effectively for ensuring the orderly andefficient conduct of Company's business including adherence to Company's policies thesafeguarding of its assets the prevention and detection of frauds and errors theaccuracy and completeness of the accounting records and the timely preparation ofreliable financial information as required under the Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols over financial reporting with reference to these financial statements based onour audit. We conducted our audit in accordance with the Guidance Note and the Standardson Auditing as specified under section 143(10) of the Companies Act 2013 to the extentapplicable to an audit of internal financial controls both applicable to an audit ofInternal Financial Controls and both issued by the ICAI. Those Standards and the GuidanceNote require that we comply with ethical requirements and plan and perform the audit toobtain reasonable assurance about whether adequate internal financial controls overfinancial reporting were established and 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 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 judgment including the assessment of the risks ofmaterial misstatement of the 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 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 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 of records that in reasonable detail accurately andfairly reflect the transactions and dispositions of the assets of the company;

(2) provide reasonable assurance that transactions are recorded as necessary to permitpreparation of financial statements in accordance with generally accepted accountingprinciples and that receipts and expenditures of the company are being made only inaccordance with authorizations of management and directors of the company and;

(3) provide reasonable assurance regarding prevention or timely detection ofunauthorized acquisition use or disposition of the company's assets that could have amaterial effect on the financial 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 financial controlsover financial reporting were operating effectively as at March 31 2021 based on theinternal control 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 ICAI.

For M/S. S. RAKHECHA & CO.
Chartered Accountants
(Firm's Registration No.108490W)
S.B. RAKHECHA
Proprietor
Place : Mumbai Membership No. 038560
Date : 29/06/2021 UDIN: 21038560AAAAEJ1203

.