You are here » Home » Companies » Company Overview » Jumbo Bag Ltd

Jumbo Bag Ltd.

BSE: 516078 Sector: Industrials
NSE: JUMBO ISIN Code: INE699D01015
BSE 00:00 | 23 Oct 15.20 0.72
(4.97%)
OPEN

15.17

HIGH

15.20

LOW

15.17

NSE 05:30 | 01 Jan Jumbo Bag Ltd
OPEN 15.17
PREVIOUS CLOSE 14.48
VOLUME 30
52-Week high 23.15
52-Week low 12.00
P/E 10.20
Mkt Cap.(Rs cr) 13
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 15.17
CLOSE 14.48
VOLUME 30
52-Week high 23.15
52-Week low 12.00
P/E 10.20
Mkt Cap.(Rs cr) 13
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Jumbo Bag Ltd. (JUMBO) - Auditors Report

Company auditors report

To the Members of Jumbo Bag Limited Report on the Financial Statement

We have audited the accompanying standalone financial statements of Jumbo Bag LimitedChennai which comprise the Balance Sheet as at March 31 2018 and the Statement ofProfit and Loss (including Other Comprehensive Income) the Statement of Changes in Equityand the Statement of Cash Flows for the year then ended and a summary of the significantaccounting policies and other explanatory information.

Management's Responsibility for the Standalone Financial Statement

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 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 standalone financial statementsbased on our audit. In conducting our Audit we have taken into account the provisions ofthe Act the accounting and auditing standards and matters which are required to beincluded in the audit report under the provisions of the Act and the Rules made thereunderand the Order issued under section 143(11) of the Act.

We conducted our audit in accordance with the Standards on Auditing specified underSection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts andthe disclosures in the financial statements. The procedures selected depend on theauditor's judgment including the assessment of the risks of material misstatement of thefinancial statements whether due to fraud or error. In making those risk assessments theauditor considers internal financial control relevant to the Company's preparation of thefinancial statements that give a true and fair view in order to design audit proceduresthat are appropriate in the circumstances. An audit also includes evaluating theappropriateness of the accounting policies used and the reasonableness of the accountingestimates made by the Company's Directors as well as evaluating the overall presentationof the financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the standalone financial statements.

Opinion

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 Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the companyas at March 31 2018; and its Profit Total Comprehensive Income the changes in Equityand Cash Flows for the year ended on that date.

Emphasis of Matters:

We draw attention to Note no.4 to notes forming part of the financial statements inrespect of the status of the insurance claim which is self explanatory. Our opinion is notmodified in respect of this matter.

Report on the 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 inparagraphs 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 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;

c) The Balance Sheet the Statement of Profit and Loss including Other ComprehensiveIncome Statement of Changes in Equity and the Statement of Cash Flow dealt with by thisReport are in agreement with the books of account;

d) I n our opinion the aforesaid standalone financial statements comply with theIndian Accounting Standards specified under Section 133 of the Act.

e) On the basis of written representations received from the directors as on March 312018 taken on record by the Board of Directors none of the directors is disqualified ason March 31 2018 from being appointed as a director in terms of Section 164(2) of theAct.

f) W ith 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".

g) 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 standalone financial statements.

ii. The Company has made provision as required under the applicable law and Accountingstandards for material foreseeable losses if any on long-term contracts.

iii. There has been no delay in transferring amounts required to be transferred tothe investor's education and protection fund by the Company.

For J. V. RAMANUJAM & Co.
Chartered Accountants
FRN:02947S
Place : Chennai
Date : 26th May 2018 (J VEDANTHA RAMANUJAM)
Partner M. No: 022188

"ANNEXURE A'' TO INDEPENDENT AUDITORS' REPORT

(Referred to in Paragraph 1 under the heading "Report on Other Legal andRegulatory Requirements" of our report of even date on the accounts of Jumbo BagLimited Chennai ("the Company") for the year ended March 31 2018)

i) (a) The Company has maintained proper records showing full particulars includingquantitative details

and situation of its Property Plant and Equipment (PPE).

(b) According to the information and explanations given to us physical verification ofPPE is being conducted in a phased manner by the management under a programme designed tocover all the PPE over a period of three years which in our opinion is reasonablehaving regard to the size of the Company and nature of its business. Pursuant to theprogram a portion of the PPE has been physically verified by the management during theyear and no material discrepancies between the books records and the physical PPE havebeen noticed.

(c) The title deeds of immovable properties are held in the name of the company.

ii) (a) The management has conducted the physical verification of inventory atreasonable intervals.

(b) In our opinion and according to the information and explanations given to us theprocedures for physical verification of inventory followed by the management werereasonable and adequate in relation to the size of the company and the nature of itsbusiness.

(c) In our opinion the company has maintained proper records of inventory. We areinformed that no major discrepancies were noticed on verification between the physicalstock and book records.

iii) According to the information given to us the Company has not granted any loanssecured or unsecured to companies firms Limited Liability Partnerships or other partiescovered in the register maintained under section 189 of the Companies Act 2013. Thereforeclauses (iii) (a) (iii) (b) and (iii) (c) of Paragraph 3 of the Order are not applicableto the Company.

iv) The Company has complied with the provisions of the section 185 and 186 of theCompanies Act 2013 in respect of loans investments guarantees and security.

v) The Company has not accepted any deposits from public during the year hence thedirectives issued by RBI and the provisions of sections 73 to 76 or any other relevantprovisions of the Companies Act 2013 and the Companies (Acceptance of Deposits) Rules2015 are not applicable.

vi) The Company is not required to maintain cost records pursuant to the Rules made bythe Central Government for maintenance of Cost Records under sub-section (1) of section148 of the Act.

vii) (a) According to the information and explanations given to us and on the basis ofour examination of

the books of account and records the Company is generally regular in depositing withappropriate authorities undisputed statutory dues including Provident Fund Employees'State Insurance Income Tax Sales Tax Service Tax duty of Customs duty of ExciseValue Added Tax Cess and any other statutory dues as applicable to it. According to theinformation and explanations given to us no undisputed amounts payable in respect ofstatutory dues mentioned above were outstanding as at March 31 2018 for a period of morethan six months from the date they became payable.

(b) According to the information and explanations given to us the particulars of duesof Excise Duty and Sales Tax which have not been deposited with the appropriateauthorities on account of any dispute are as follows:

EXCISE DUTY/ SERVICE TAX:

Sl No. Name of the Statute Nature of Dues Demand (incl Penalty) Amount Not provided Forum where the dispute is pending
1 Excise Duty Whether Value of Deemed Export shall be considered for Arriving At DTA Sale Eligibility (Difference Of Duty For Disallowed Deemed Export Portion 12.69 12.69 Appeal pending with Supreme Court
2 Excise Duty Advance release order (ARO)- non-payment of CVD 26.55 26.55 Case remanded in Tribunal
3 Excise Duty Third Party Export On Payment Of Duty Refund Sanctioned & Duty Demanded 2.77 2.77 Appeal filed in the High Court at Chennai on 6/7/2011
4 Excise Duty Rebate Claim Original Docs Missed-Unit-2 3.55 3.55 Case closed & Order passed in our favor but Dept has filed review petition before The Secretary Government Of India
5 Income Tax Act Notice u/s 148 Scrutiny /C C IV (2)/11-12 dt. 01.08.2011 for AY 2005-06 39.85 39.85 Appeal made with CIT
6 Income Tax Act Notice u/s 148 Scrutiny /C C IV (2)/11-12 dt. 01.08.2011 for AY 2006-07 16.24 16.24 Appeal made with CIT
7 Income Tax Act Notice u/s 143/(3) dt 14.03.14 for AY 2011-12 53.38 53.38 Appeal made with CIT
8 Income Tax Act Order passed u/s 154 dt 14.02.2017 for AY 2013-14 4.99 4.99 Pursued with I.T authorities.
TOTAL 160.02 160.02

viii) Based on our audit procedures and according to the information and explanationsgiven to us the Company has not defaulted in repayment of loans or borrowings to afinancial institution bank or dues to debenture holders

ix) Based on our audit procedures and according to the information and explanationsgiven to us the Company did not raise any money by way of further public offer (includingdebt instruments) during the year. According to the information and explanations given bythe management term loans were applied for the purpose for which the loans were obtained.

x) During the course of our examination of the books and records of the Companycarried out in accordance with the generally accepted auditing practices in India andaccording to the information and explanations given to us no fraud by the Company or anyfraud on the Company by its officers or employees has been noticed or reported during thecourse of our Audit.

xi) Based upon the audit procedures performed and the information and explanationsgiven by the management the managerial remuneration has been paid or provided inaccordance with the requisite approvals mandated by the provisions of section 197 readwith Schedule V to the Companies Act;

xii) In our Opinion the company is not a Nidhi Company. Therefore clause 3 (xii) ofthe Companies (Auditor's Report) Order 2016 is not applicable to the Company.

xiii) I n our opinion all transactions with the related parties are in compliance withsection 177 and 188 of Companies Act 2013 and the details have been disclosed in theFinancial Statements as required by the applicable accounting standards.

xiv) According to the information and explanations given to us the Company has notmade any preferential allotment or private placement of shares or fully or partlyconvertible debentures during the year under review and therefore clause 3(xiv) of theCompanies (Auditor's Report) Order 2016 is not applicable to the Company.

xv) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into non-cashtransactions with directors or persons connected with him. Accordingly paragraph 3(xv) ofthe Order is not applicable.

xvi) I n our opinion and according to the information and explanations given to us theCompany is not required to be registered under Section 45-IA of the Reserve Bank of IndiaAct 1934.

For J. V. RAMANUJAM & Co.
Chartered Accountants
FRN:02947S
Place : Chennai
Date : 26th May 2018 (J VEDANTHA RAMANUJAM)
Partner M. No: 022188

"Annexure B" to the Independent Auditor's Report of even date on theStandalone Financial Statements of Jumbo Bag Limited

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 M/s JumboBag Limited ("the Company") as of March 31 2018 in conjunction with our auditof the standalone 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 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 Reportingissued by the Institute of Chartered Accountants of India. These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to company's policies the safeguarding of its assets the preventionand detection of frauds and errors the accuracy and completeness of the accountingrecords and the timely preparation of reliable financial information as required underthe Companies Act 2013.

Auditors' 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 issued by ICAI and deemedto be prescribed 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 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 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 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 authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised acquisition use or disposition of thecompany'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 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 2018 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 Institute of CharteredAccountants of India and jointly controlled companies which are companies incorporated inIndia as of that date.

For J. V. RAMANUJAM & Co.
Chartered Accountants
FRN:02947S
Place : Chennai
Date : 26th May 2018 (J VEDANTHA RAMANUJAM)
Partner M. No: 022188