TO THE MEMBERS OF MOONGIPA SECURITIES LIMITED
We have audited the accompanying financial statements of MOONGIPA SECURITIES LIMITED("the Company") which comprise the Balance Sheet as at 31st March 2020 theStatement of Profit and Loss and the Cash Flow Statement for the year ended and a summaryof the significant accounting policies and other explanatory information attachedherewith being submitted by the company pursuant to the regulation 33 of the SEBI(Listing Obligations and Disclosure Requirements) Regulation 2015 as amended ('ListingRegulation').
In our opinion and to the best of our information and according to the explanationsgiven to us the statement:
I. is presented in accordance with the requirements of the Listing Regulations in thisregard; and
II. givers a true and fair view in conformity with the applicable accounting standardsand other accounting principles generally accepted in India of the net profit othercomprehensive loss and other Financial information of the company for the quarter and yearended March 31 2020.
Basis of Opinion
We conducted our Audit in accordance with the standards on Auditing (SAs) specifiedunder section 143(10) of the companies Act 2013 as amended ("the Act"). Ourresponsibility under those standards are further described in the "Auditor'sResponsibilities for the audit of Standalone financial Result" section of our Report.We are Independent of the Company in accordance with the Code of Ethics issued by theInstitute of Chartered Accountant of India together with the ethical Requirement that arerelevant to our Audit of the financial statements under the provision of the act and Rulesthere under and we have fulfilled our other ethical Responsibilities in accordance withthese requirement and the code of Ethics. We believe that the audit evidence obtained byus is sufficient and appropriate to provide a basis of our opinion.
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 Accounting Standard prescribed undersection 133 of the Act read with rules made there under.
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.
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 auditors' 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 in accordance with SAs we exercise professional judgment andmaintain professional skepticism throughout the audit. We also:
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.
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 Act we are also responsible for expressing our opinion on whether the company hasadequate internal financial controls with reference to standalone financial statements inplace and the operating effectiveness 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 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.
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 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 to communicate with themall relationships and other matters that may reasonably be thought to bear on ourindependence and where applicable related safeguards.
The statement includes the results for the quarter ended March 31 2020 being thebalancing figure between the audited figures in respect of full financial year ended March31 2020 and the published unaudited year to date figures in respect of the full financialyear which were subjected to a limited review by us as required under the ListingRegulations.
|For Kuldeep Dahiya & Associates Company Secretaries || |
|Kuldeep Dahiya Proprietor ACS No.: 34404 C P No.: 18930 UDIN: A03444B000388626 ||Place: Sonepat Date: 27.06.2020 |
ANNEXURE A TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THE FINANCIAL STATEMENTSOF MOONGIPA SECURITIES 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 internalfinancial controls over financial reporting of MOONGIPA SECURITIES LIMITED ("theCompany") as of March 31 2020 in conjunction with our audit of the financialstatements 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 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 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 168 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 auditinvolves performing procedures to obtain audit evidence about the adequacy of the internalfinancial controls system over financial reporting and their operating effectiveness. Ouraudit of internal financial controls over financial reporting included obtaining anunderstanding of internal financial controls over financial reporting assessing the riskthat a material weakness exists and testing and evaluating the design and operatingeffectiveness of internal control based on the assessed risk. The procedures selecteddepend on the auditor's judgment including the assessment of the risks of materialmisstatement of the financial statements whether due to fraud or error. We believe thatthe audit evidence we have obtained is sufficient and appropriate to provide a basis forour audit opinion on the Company's internal financial controls system over financialreporting.
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.
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 on March 31 2020 based on"the internal control over financial reporting criteria established by the Companyconsidering the essential components of internal control stated in the Guidance Note onAudit of Internal Financial Controls Over Financial Reporting issued by the Institute ofChartered Accountants of India".
For Rajesh K. Sachdeva & Associates Chartered Accountants (Firm Regn. No. 019200N)
M. No. 525576
Place: New Delhi
ANNEXURE B TO THE INDEPENDENT AUDITORS' REPORT TO THE MEMBERS OF MOONGIPA SECURITIESLIMITED ON THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31 2020 WE REPORT THAT:
(i) (a) The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.
(b) The fixed assets have been physically verified by the management at reasonableintervals and no material discrepancies were noticed on such verification.
(c) The company does not hold any immovable properties.
(ii) The company is a loan company. Therefore it does not keep any inventory.
(iii) The company has not granted unsecured loan to companies firms Limited LiabilityPartnerships or other parties covered in the register maintained under section 189 of theCompanies Act 2013.
(iv) The company has not granted loans or made investments guarantees and securitywhere provisions of section 185 and 186 of the Companies Act 2013 need to be compliedwith.
(v) The company has not accepted any deposits. Therefore compliance of Section 73 to 76of Companies Act 2013 is not required.
(vi) The company is not required to maintain cost records specified by the CentralGovernment under sub-section
(1) of section 148 of the Companies Act 2013.
(vii)(a) The company is regular in depositing undisputed statutory dues includingprovident fund employees' state insurance income-tax sales- tax service tax duty ofcustoms duty of excise value added tax cess and any other statutory dues to theappropriate authorities.
(b) There are no dues of income tax or sales tax or service tax or duty of customs orduty of excise or value added tax have not been deposited on account of any dispute.
(viii) The company has not defaulted in repayment of loans or borrowing to a financialinstitution bank Government or dues to debenture holders.
(ix) The company has not raised moneys by way of initial public offer or further publicoffer (including debt instruments) and term loans were applied for the purposes for whichthose are raised.
(x) According to the information and explanations given to us no material fraud on orby the Company has been noticed or reported during the course of our audit.
(xi) The company has paid managerial remuneration in accordance with the requisiteapprovals mandated by the provisions of section 197 of Companies Act 2013
(xii) The company is not a Nidhi Company therefore compliance of Nidhi Rules 2014 isnot applicable.
(xiii) All transactions with the related parties are in compliance with sections 177and 188 of Companies Act 2013.
(xiv) The company has not made any preferential allotment or private placement ofshares or fully or partly convertible debentures during the year under review.
(xv) The company has not entered into any non-cash transactions with directors orpersons connected with him and has complied with the provisions of section 192 ofCompanies Act 2013.
(xvi) The company is registered under section 45-IA of the Reserve Bank of India Act1934.
For Rajesh K. Sachdeva & Associates
(Firm Regn. No. 019200N)
M. No. 525576
Place: New Delhi