The Members of
M/s Learning Edge Academy of Professionals Limited
Report on the Financial Statements
We have audited the attached financial statements of M/s Learning Edge Academy ofProfessionals Limited ('the Company') which comprise the balance sheet as at 31stMarch 2017 the statement of profit and loss Account and the cash flow statement for theyear ended and a summary of the significant accounting policies and other explanatoryinformation for the period ended on that date.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the preparation and presentation ofthese financial statements that give a true and fair view of the financial positionfinancial performance and cash flows of the Company in accordance with the accountingprinciples generally accepted in India Including the Accounting Standards specified underSection 133 of the Act read with Rule 7 of the Companies (Accounts) Rules 2014. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding the assets of the Company and for preventingand detecting frauds and other irregularities; selection and application of appropriateaccounting policies; making judgments and estimates that are reasonable and prudent; anddesign implementation and maintenance of adequate internal financial controls that wereoperating effectively for ensuring the accuracy and completeness of the accountingrecords relevant to the preparation and presentation of the financial statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.
Our responsibility is to express an opinion on these financial statements based on ouraudit We have taken into account the provisions of the Act the accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made thereunder.
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 but not for the purpose of expressing anopinion on whether the Company has in place an adequate internal financial controls systemover financial reporting and the operating effectiveness of such controls. An audit alsoincludes evaluating the appropriateness of the accounting policies used and thereasonableness of the accounting estimates made by the Company's Directors as well asevaluating the overall presentation of 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 financial statements.
In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid Financial Statements give the information required by the Actin the manner 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 31stMarch 2017 and its Profits and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order 2016 issued by the CentralGovernment of India in terms of sub-section (11) of section 143 of the Companies Act2013 we enclose in the "Annexure-A" a statement on the matters specified inparagraph 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 as required by law have beenkept by the Company so far as appears from our examination of those books;
(c) The Balance Sheet the statement of profit and loss and the cash flow statementdealt with by this Report are in agreement with the books of account;
(d) In our opinion the Financial Statements comply with the accounting standardsreferred to in Section 133 of the Companies Act 2013 read with Rule 7 of the Companies(Accounts) Rules 2014;
(e) On the basis of the written representations received from the directors as on 31March 2017 taken on record by the Board of Directors none of the directors isdisqualified as on 31 March 2017 from being appointed as a director in terms of Section164 (2) of the Act; and
(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) 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. There are no pending litigations affecting financial position;
ii. The Company has made provision as required under the applicable law or accountingstandards for material foreseeable losses if any on Long-term contracts includingderivative contracts;
iii. The company is not required to transfer any amount to Investor Education andProtection Fund.
iv. The company as detailed in Annexure to Note 19 to the financial statements hasmade requite disclosures in the financial statements as to holding as well as dealings inthe Specified Bank Notes during the period 8 November 2016 to 30 December 2016. Based onthe audit procedures performed and taking into consideration the information andexplanation's given to us in our opinion these are in accordance with the books ofaccounts maintained by the company.
For R.K. BAHETI & CO.
Ajay Baheti Partner
Membership No. 088545
Annexure-A to the Auditors' Report
Annexure referred to in paragraph 4 of the Auditors' Report to the Members of M/sLearning Edge Academy of Professionals Limited on the accounts for the year ended 31stMarch 2017.
1. (a) As informed by the management the company has maintained proper records showingfull particulars including quantitative details and situation of fixed assets;
(b) As informed by the management all fixed assets have been physically verified bythe management during the period in a phased periodical manner and no materialdiscrepancies were noticed on such verification;
(c) There are no immovable properties held by the company.
2. The Company is a service company. Accordingly it does not hold any physicalinventories. Thus paragraph 3(ii) of the Order is not applicable;
3. We are informed that the company has not granted any unsecured loan to personscovered in the register maintained under Section 189 of the Act.
(a) The clause relating to principal and interest recovery on regular basis is notapplicable;
(b) The clause relating to overdue amount exceeding Rs. One lakh is not applicable;
(c) There is no overdue as there are no loans given.
4. In our opinion and according to the information and explanations given to us thereare adequate internal control procedures commensurate with the size of the company and thenature of its business for purchase of fixed assets and for sale of services;
5. The company has not accepted any deposits from the public within the meaning ofSections 73 to 76 of the Act and the rules framed thereunder;
6. The Central Government has not prescribed maintenance of cost records undersubsection (1) of section 148 of the Companies Act 2013 for the products of the Company;
7. (a) the Company is regular in depositing undisputed statutory dues includingprovident fund employees' state insurance income tax sales tax wealth tax servicetax duty of customs duty of excise value added tax cess and any other statutory dueswith the appropriate authorities
(b) According to the information and explanations given to us no undisputed amountspayable in respect of provident fund income tax sales tax wealth tax service tax dutyof customs value added tax cess and other material statutory dues were in arrears as at31 March 2017 for a period of more than six months from the date they became payable
(c) The Company is not required to transfer to investor education and protection fundin accordance with the ruies and relevant provisions of the Act;
8. The Company does not have any accumulated losses at the end of the financial yearand has not incurred cash Losses in the financial year and in the immediately precedingfinancial year;
9. Based on our examination and on the information and explanations given by themanagement we observed that the Company does not have any liability towards repayment ofdues to a financial institution or bank there are no debenture holders;
10. The company has not given any guarantee for loans taken by others from bank orfinancial institutions;
11. As per our examination there are no term loans accepted during the year by theCompany;
12. Based upon the audit procedures performed and as per information and explanationsgiven by the management we report that no fraud on or by the company has been noticed orreported during the year.
For R.K. BAHETI & CO.
Membership No. 088545
Annexure B to the Independent Auditor's Report
Annexure referred to paragraph 2(f) under 'Report on Other Legal and Regulator/Requirements' of the Auditors' Report to the Members of M/s Learning Edge Academy ofProfessionals Limited on the accounts for the year ended 31st March 2017.
Report on the Internal Financial Controls Over Financial Reporting 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 M/sLearning Edge Academy of Professionals Limited as of 31st March 2017 in conjunction withour audit of the standalone financial statements of the Company for the year ended on thatdate.
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.
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") issued by the Institute of Chartered Accountants of Indiaand the Standards on Auditing prescribed under Section 143(10) of the Companies Act 2013to the extent applicable to an audit of internal financial controls. Those Standards andthe Guidance Note require that we comply with ethical requirements and plan and performthe 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 proceduresselected depend on the auditor's judgement 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.
The Company is in process of setting up of the port and power Project by acquisition ofland and obtaining permission with various regulatory authorities. The Company is nothaving documented formal process of Risk assessment and related controls relating to itssetup phase and future business processes but all the possible risk are adequatelymitigated through effective control by personal supervision of Board of Directors.
In our opinion Considering the size of the business and related operations andachievement of the objectives of the control criteria and to the to the best of ourinformation and according to the explanations given to us the Company has in allmaterial respects an adequate internal financial controls system over financial reportingand such internal financial controls over financial reporting were operating effectivelyas at 31st March 2017 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.
For R.K. BAHETI & CO.
Membership No. 088545