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Luharuka Media & Infra Ltd.

BSE: 512048 Sector: Financials
NSE: N.A. ISIN Code: INE195E01020
BSE 00:00 | 18 Apr 0.74 -0.03
(-3.90%)
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0.77

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0.77

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0.74

NSE 05:30 | 01 Jan Luharuka Media & Infra Ltd
OPEN 0.77
PREVIOUS CLOSE 0.77
VOLUME 423
52-Week high 0.89
52-Week low 0.43
P/E 18.50
Mkt Cap.(Rs cr) 7
Buy Price 0.79
Buy Qty 868.00
Sell Price 0.77
Sell Qty 275.00
OPEN 0.77
CLOSE 0.77
VOLUME 423
52-Week high 0.89
52-Week low 0.43
P/E 18.50
Mkt Cap.(Rs cr) 7
Buy Price 0.79
Buy Qty 868.00
Sell Price 0.77
Sell Qty 275.00

Luharuka Media & Infra Ltd. (LUHARUKAMEDIA) - Auditors Report

Company auditors report

To

The Members of LUHARUKA MEDIA & INFRA LIMITED (Formerly known as Splash Media& Infra Limited)

REPORT ON THE FINANCIAL STATEMENTS

We have audited the accompanying standalone financial statements of LUHARUKA MEDIA& INFRA LIMITED(Formerly known as Splash Media & Infra Limited) ("theCompany") which comprise the Balance Sheet as at 31st March 2018 theStatement of Profit & Loss and Cash Flow Statement for the year ended on that date anda summary of Significant Accounting Policies and other explanatory information.

MANAGEMENT'S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS

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 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 the maintenance of adequate accounting records in accordancewith the provision of the Act for safeguarding of the assets of the Company and forpreventing and detecting the frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonable andprudent; and design implementation and maintenance of internal financial control thatwere operating 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.

AUDITOR'S RESPONSIBILITY

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 there under.

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 anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders internal financial control relevant to the Company's preparation and of thefinancial statements that give true and fair view in order to design audit proceduresthat are appropriate in the circumstances but not for the purpose of expressing an opinionon the effectiveness of the company's internal control. An audit also includes evaluatingthe appropriateness of accounting policies used and the reasonableness of the accountingestimates made by management as well as evaluating the overall presentation of thefinancial statements.

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

MATTER OF EMPHASIS PARAGRAPH

We draw your attention to:

Contravention of Accounting Standard 15 on Accounting for retirement benefit ofemployees.

As stated in Point No. 8of Note No.1 of Significant Accounting Policies followed by thecompany the Company is not making any provision for the Gratuity and leave encashment asthe same is accounted for on payment basis. This is in Contravention of AccountingStandard 15 on Accounting for retirement benefits of employees.

Contravention of provisions relating to availment of ITC under Central Goods&Service Tax Act 2017

As stated in note no. 31 of Notes to Accounts the Company being a NBFC is allowed toclaim 50% of Input Tax credit on the Input Goods/ Services availed during the year howeverthe Company has claimed full Input Tax Credit of INR 1407600 on purchase of goodswithout applying the provision to claim 50% credit of the total Input Tax Credit. This isin contravention of CGST Act 2017 [Section 17 (4)] and SGST Act 2017 [Section 17 (4)].

Our opinion is not qualified in respect of this matter.

OPINION

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:

(i) In the case of the Balance Sheet; of the State of affairs of the company as at 31stMarch 2018; (ii) In the case of the Statement of Profit and Loss; of the PROFITfor the year ended on that date; (iii) In the case of the Cash Flow Statement of the CashFlows for the year ended on that date.

REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS

1. As required by the companies (Auditors Report) Order 2016 issued by the CentralGovernment of India in terms of section 143 (11) of the Act. We give in Annexure Aa statement on matters specified in paragraph 3 and 4 of the said 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 purposes of the audit;

b. In our opinion proper books of accounts 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 and Cash Flow Statement dealt withby this report are in agreement with the books of accounts;

d. In our opinion the Balance Sheet Statement of Profit and Loss and Cash FlowStatement comply with the mandatory Accounting Standards referred to in section 133 of theCompanies Act 2013 read with Rule 7 of the Companies (Accounts) Rules 2014.

e. On the basis of the written representation received from the Directors as on 31stMarch 2018 and taken on record by the Board of Directors we report that none of theDirectors is disqualified as on 31st March 2018 from being appointed as a Director interms of Sub-section (2) of section 164 of the Act 2013.

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";

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 if any of pending litigations on itsfinancial position in its financial statements.

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

For S A R A & ASSOCIATES

CHARTERED ACCOUNTANTS

FIRM REGN NO.: 120927W

Govind Gopal Sharma

(PARTNER)

M. No. 132454

Place : Mumbai

Date : 28th May 2018

ANNEXURE ‘A' TO THE AUDITORS' REPORT

Referred to in paragraph 1 of our report of even date on the accounts for the yearended 31st March 2018 of LUHARUKA MEDIA & INFRA LIMITED (Formerly known as SplashMedia & Infra Limited). On the basis of such checks as we considered appropriate andin terms of information and explanations provided to us we state that:

1) a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

b) All the assets have been physically verified by the management during the year. Inour opinion the frequency of verification is reasonable; no material discrepancies werenoticed 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 deeds of immovable properties areheld in the name of the Company.

2) The Company does not have any inventory. Therefore the provision of clause 3 (ii)(a) (b) (c) of Companies (Auditor's Report) Order 2016 are not applicable to theCompany

3) The Company has not granted any loans covered in the register maintained undersection 189 of the Companies Act 2013 (‘the Act').

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 with respectto the loans and investments made.

5) The Company has not accepted any deposits from the public.

6) The Central Government has not prescribed the maintenance of cost records undersection 148(1) of the Act for any of the services rendered by the Company.

7) a) According to the information and explanations given to us and on the basis of ourexamination of the records of the company amounts deducted/ accrued in the books ofaccount in respect of undisputed statutory dues including provident fund income-taxsales tax value added tax duty of customs service tax cess and other materialstatutory dues have been regularly deposited during the year by the Company with theappropriate authorities. As explained to us the Company did not have any dues on accountof employees' state insurance and duty of excise

According to the information and explanations given to us no undisputed amountspayable in respect of provident fund income tax sales tax value added tax duty ofcustoms service tax cess and other material statutory dues were in arrears as at 31March 2018 for a period of more than six months from the date they became payable.

b) According to the information and explanations given to us there are no materialdues of duty of customs which have not been deposited with the appropriate authorities onaccount of any dispute.

8) According to the information and explanations given to us the Company has not takenany loans or borrowings from any financial institution banks government or debentureholders during the year. Accordingly paragraph 3(viii) of the Order is not applicable.

9) The Company did not raise any money by way of initial public offer or further publicoffer (including debt instruments) and term loans during the year. Accordingly paragraph3 (ix) of the Order is not applicable.

10) According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit.

11) The company has given remuneration to the directors in accordance with therequisite approvals and in accordance with the provisions of section 197 of the companiesact 2013

12) In our opinion and according to the information and explanations given to us theCompany is not a nidhi company. Accordingly paragraph 3(xii) of the Order is notapplicable.

13) According to the information and explanations given to us and based on ourexamination of the records of the company company has disclosed all the related partytransactions entered during the year in the financial statements and are in compliancewith the section 177 and 188 of the Companies Act 2013.

14) According to the information and explanations given to us and based on ourexamination of the records of the company the company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year.

15) 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.

16) The Company is registered under section 45-IA of the Reserve Bank of India Act 1934

For S A R A & ASSOCIATES

CHARTERED ACCOUNTANTS

Firm Registration No. 120927W

Govind Gopal Sharma

Partner

Membership No. 132454

Place : Mumbai

Date : 28th May 2018

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 LuharukaMedia & Infra Limited (Formerly known as Splash Media & Infra Limited) ("theCompany") as of 31 March 2018 in conjunction with our audit of financial statementsof 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 (‘ICAI'). Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to company's policies the safeguarding ofits assets the prevention and detection of frauds and errors the accuracy andcompleteness of the accounting records and the timely preparation of reliable financialinformation 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 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 onAuditing issued by ICAI and deemed tobe prescribed under section 143(10) of the Companies Act 2013 to the extent applicableto an audit of internal financial controls both applicable to an audit of InternalFinancial 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 andplan and perform the audit to obtain reasonable assurance about whether adequate internalfinancial controls over financial reporting was established and maintained and if suchcontrols 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 31 March 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.

For S A R A & ASSOCIATES

CHARTERED ACCOUNTANTS

Firm's Registration No.: 120927W

Govind Gopal Sharma

Partner

Membership No.: 132454

Place: Mumbai

Date: 28th May 2018