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MT Educare Ltd.

BSE: 534312 Sector: Others
NSE: MTEDUCARE ISIN Code: INE472M01018
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VOLUME 17602
52-Week high 13.94
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P/E
Mkt Cap.(Rs cr) 64
Buy Price 0.00
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OPEN 8.50
CLOSE 8.69
VOLUME 17602
52-Week high 13.94
52-Week low 6.22
P/E
Mkt Cap.(Rs cr) 64
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

MT Educare Ltd. (MTEDUCARE) - Auditors Report

Company auditors report

To the Members of MT Educare Limited

Report on the Audit of the Standalone Financial Statements

Qualified Opinion

We have audited the standalone financial statements of MT Educare Limited("theCompany") which comprise the balance sheet as at March 31 2020 and the Statementof Profit and Loss Statement of Changes in Equity and Statement of Cash Flows for theyear then ended and notes to the standalone financial statements including a summary ofsignificant accounting policies and other explanatory information.

In our opinion and to the best of our information and according to the explanationsgiven to us except for the e3ects of the matter described in the Basis for QualifiedOpinion section of our report the aforesaid standalone financial statements give theinformation required by the Companies Act 2013 ("the Act") in the manner sorequired and give a true and fair view in conformity with the Indian Accounting Standardsprescribed under section 133 of the Act read with Companies (Indian Accounting Standards)Rules 2015 as amended and other accounting principles generally accepted in India of thestate of a3airs of the Company as at March 31 2020 and its loss changes in equity andits cash flows for the year ended on that date.

Basis for Qualified Opinion

1. The Company has recognized net deferred tax assets of Rs. 7791.25 Lakhs based onthe estimate that su3cient taxable profits would be available in future years againstwhich deferred tax asset can be utilized. In our opinion due to the uncertainty over theestimated profits for the future years arising out of the outbreak of COVID-19 and theexistence of unutilized tax losses available with the Company it is highly uncertainthat the Company would have su3cient taxable profits in future against which deferred taxasset can be utilized. Accordingly we are unable to obtain su3cient appropriate auditevidence to corroborate Management's assessment of recognition of deferred tax assets asof March 31 2020. Had the deferred tax asset not been recognized the net the loss forthe year ended March 31 2020 and accumulated losses would have been higher byRs.7791.25 Lakhs.

2. The Company has not complied with the provisions of Regulation 33 of Securities andExchange Board of India (Listing Obligations and Disclosure Requirements) Regulation 2015relating to the submission of the results for the quarter and year ended March 31 2020 toSecurities and Exchange Board of India (SEBI) within the stipulated time. Penalties onaccount of such non-compliances are presently not ascertainable and not provided for inthe books of account. Consequently we are unable to comment on the impact if any on thestandalone financial statements.

We conducted our audit in accordance with the Standards on Auditing (SAs) specifiedunder section143(10) of the Act. Our responsibilities under those Standards are furtherdescribed in the Auditor's Responsibilities for the Audit of the Standalone FinancialStatements section of our report. We are independent of the Company in accordance with theCode of Ethics issued by the Institute of Chartered Accountants of India("ICAI") together with the ethical requirements that are relevant to our auditof the standalone financial statements under the provisions of the Act and we havefulfilled our other ethical responsibilities in accordance with these requirements and theICAI's Code of Ethics. We believe that the audit evidence we have obtained is su3cient andappropriate to provide a basis for our qualified opinion.

Emphasis of Matter

1. We draw attention to Note 45 to the standalone financial statements that state thatthe management has made an assessment of the impact of COVID-19 on the Company'soperations financial performance and position as at and for the year ended March 312020 and has concluded that there is no impact which is required to be recognised in thestandalone financial statements. Accordingly no adjustments have been made to thefinancial statements. However the extent of the impact of the COVID-19 pandemic on theCompany's standalone financial statements is dependent upon future developments.

2. We draw attention to Note 48 to the standalone financial statements which statesthat the contracts for revenue from management services has been renegotiated and the newarrangement is applicable from retrospective e3ect. Consequently the revenue frommanagement services recorded during the quarter ended 31 December 2019 amounting to Rs910.00 lakhs has been remeasured based on renegotiation of contracts with customers whichhas resulted in the reversal of revenue amounting to Rs 745.33 lakhs by the management inthe quarter ended 31 March 2020.

Our opinion is not modified in respect of the above matters

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

The Company's Board of Directors is responsible for the other information. The otherinformation comprises the information included in the Management Report Chairman'sStatement Director's Report etc but does not include the standalone financial statementsand our auditor's report thereon. The above reports are expected to be made available tous after the date of this auditor's report.

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 in the audit or otherwise appears to be materially misstated.

When we read the Management Report Chairman's Statement Director's Report etc if weconclude that there is a material misstatement therein we are required to communicate the

Key Audit Matters matter to those charged with governance under SA 720 ‘TheAuditor's responsibilities Relating to Other Information'.

Key Audit Matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the standalone financial statements of the current period.These matters were addressed in the context of our audit of the standalone financialstatements as a whole and in forming our opinion thereon and we do not provide aseparate opinion on these matters. In addition to the matter described in the Basis forQualified Opinion section we have determined the matters described below to be the keyaudit matters to be communicated in our report.

Sr. No. Key Audit Matter How the Key Audit Matter was addressed in our audit
1 Recoverability of Loans Our audit procedures in respect of this area included:
Refer Notes 6 and Note 12 to the standalone financial statements. Loans and advances includes Certain loans aggregating Rs. 14757.96 lakhs given to various trusts as on March 31 2020. Out of the above provision recognised amounted to Rs. 12357.16 lakhs as at March 31 2020 which involves significant management's estimate and judgment. As the assessment of recoverability of loans and deposits requires management to make significant estimation exercise judgement on customer payment behaviour other relevant risk characteristics we determined this to be a key audit matter. i. Obtaining an understanding of Group's processes and controls relating to the monitoring of loans given and review of credit risk of borrowers.
ii. Reviewing underlying documents and other supporting evidences.
iii. Obtaining Balance confirmations and evidence of receipts from the borrower subsequent to the year end.
iv. Reviewing ageing report to identify collection risks assessing overdue receivables and where applicable reviewing payment history and correspondence with the borrowers on expected settlement dates.
v. Discussing with the management with respect to collectability of the amount lent and adequacy of provision for doubtful advance including whether any dispute or concerns have been noted by management.
vi. Evaluating management's assumptions and estimates used to determine the provision for doubtful advances.
vii. Assessing the adequacy of the disclosure on receivables and the related risks such as credit risks and liquidity risks in the financial statements.
2 Recoverability and valuation of Government trade receivables: Our audit procedures in respect of this area included:
• Reading through the agreements and correspondence with the Government authorities and understanding the key terms.
Refer Note 9 to the standalone financial statements Government trade receivables (Net) amounting to Rs. 1529.12 lakhs as of March 31 2020 are recognised at their anticipated realisable value which is the original invoiced amount less an estimated allowance based on Expected Credit Loss model. Valuation of trade receivables is considered as a key audit matter due to the magnitude of the balance and the significant management judgement used in determining the impairment provision. Analysing the ageing of trade receivables.
• Analysing the list of outstanding receivables and assessing the recoverability of these through inquiry with management and verifying corroborative evidence to support the conclusions drawn.
• Assessing management's estimate and related policies with respect to provision on account of credit loss.
• Verification of calculation of provisions for credit loss.
• Verifying the related disclosures provided in the financial statements.

Responsibilities of Management and Those Charged with Governance for the StandaloneFinancial 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 financial position financial performance changesinequity and cash flows of the Company in accordance with the accounting principlesgenerally accepted in India including the accounting Standards specified under section133 of the Act. This responsibility also includes maintenance of adequate accountingrecords in accordance with the provisions of the Act for safeguarding of the assets of theCompany and for preventing and detecting frauds and other irregularities; selection andapplication of appropriate accounting policies; making judgments and estimates that arereasonable and prudent; and design implementation and maintenance of adequate internalfinancial controls that were operating e3ectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe standalone financial statement that give a true and fair view and are free frommaterial misstatement whether due to fraud or error.

In preparing the standalone financial statements the Board of Directors is responsiblefor assessing the Company's ability to continue as a going concern disclosing asapplicable matters related to going concern and using the going concern basis ofaccounting unless the Board of Directors either intends to liquidate the Company or tocease operations or has no realistic 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.

We give in "Annexure A" a detailed description of Auditor's responsibilitiesfor Audit of the Standalone Financial Statements.

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 of the Act we givein the"Annexure B" a statement on the matters specified in paragraphs 3 and 4 of theOrder 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 books

(c) The Balance Sheet the Statement of Profit and Loss the Statement of Changes inEquity and the Cash Flow Statement dealt with by this Report are in agreement with thebooks of account.

(d) Except for the matter described in the Basis of Qualified Opinion section above inour opinion the aforesaid standalone financial statements comply with the AccountingStandards specified under Section 133 of the Act read with Rule 7 of the Companies(Accounts) Rules 2014 and Companies (Indian Accounting Standards) Rules 2015 as amended.

(e) On the basis of the written representations received from the directors as on March312020taken on record by the Board of Directors none of the directors is disqualified ason 31st March2020 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 with reference tostandalone financial statements of the Company and the operating e3ectiveness of suchcontrols refer to our separate Report in "Annexure C".

(g) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule11 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 – Refer Note 32 to the standalonefinancial statements;

ii. The Company did not have any long-term contracts including derivative contracts forwhich there were any material foreseeable losses.

iii. Following are the instances of delay in transferring amounts required to betransferred to the Investor

Education and Protection Fund (IEPF) by the Company –

Year Amount Due date Transferred to IEPF on Delay in no. of days
FY 2011-12 1260 November 13 2019 January 01 2020 49
FY 2012-13 72493 December 30 2019 March 07 2020 68

3. As required by The Companies (Amendment) Act 2017 in our opinion according toinformation explanations given to us the remuneration paid by the Company to itsdirectors is within the limits laid prescribed under Section 197 of the Act and the rulesthere under.

For MSKA & Associates
Chartered Accountants
ICAI Firm Registration No. 105047W
Vaijayantimala Belsare
Partner
Membership No. 049902
UDIN: 20049902AAAAAP5040
Place: Mumbai
Date: September 25 2020

ANNEXURE A TO THE INDEPENDENT AUDITOR'S REPORT ON EVEN DATE ON THE STANDALONE FINANCIALSTATEMENTS OF MT EDUCARE LIMITED

Auditor's Responsibilities for the Audit of the 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 thefinancial statements whether due to fraud or error design and perform audit proceduresresponsive to those risks and obtain audit evidence that is su3cient 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 inorder to design audit procedures that are appropriate in the circumstances. Under section143(3)(i) of the Act we are also responsible for expressing our opinion on whether thecompany has internal financial controls with reference to financial statements in placeand the operating e3ectiveness of such controls.

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

Conclude on the appropriateness of management's use of the goingconcern basis of accounting and based on the audit evidence obtained whether a materialuncertainty exists related to events or conditions that may cast significant doubt on theCompany's ability to continue as a going concern. If we conclude that a materialuncertainty exists we are required to draw attention in our auditor's report to therelated disclosures in the financial statements or if such disclosures are inadequate tomodify our opinion. Our conclusions are based on the audit evidence obtained up to thedate of our auditor's report. However future events or conditions may cause the Companyto cease to continue as a going concern.

Evaluate the overall presentation structure and content of thefinancial statements including the disclosures and whether the financial statementsrepresent 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 alsoprovide those charged with governance with a statement that we have complied with relevantethical requirements regarding independence and to communicate with them allrelationships 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 financial statements of thecurrent period and are therefore the key audit matters. We describe these matters in ourauditor's report unless law or regulation precludes public disclosure about the matter orwhen 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.

For MSKA& Associates
Chartered Accountants
ICAI Firm Registration No. 105047W
Vaijayantimala Belsare
Partner
Membership No. 049902
UDIN:20049902AAAAAP5040
Place: Mumbai
Date:September 25 2020

ANNEXURE B TO INDEPENDENT AUDITORS' REPORT OF EVEN DATE ON THE STANDALONE FINANCIALSTATEMENTS OF MT EDUCARE LIMITED FOR THE YEAR ENDED 31st MARCH 2020

[Referred to in paragraph 1 under ‘Report on Other Legal and RegulatoryRequirements' in the Independent Auditors' Report] i. (a) The Company has maintainedproper records showing full particulars including quantitative details and situation ofProperty Plant and Equipment.

(b) All the fixed assets have not been physically verified by the management during theyear but there is a regular program of verification which in our opinion is reasonablehaving regard to the size of the Company and the nature of its assets. No materialdiscrepancies 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 deeds of immovable properties areheld in the name of the Company.

ii. The Company is involved in the business of rendering services. Accordingly theprovisions stated in paragraph 3(ii) of the Order are not applicable to the Company.

iii. The Company has granted unsecured loans to four Companies covered in the registermaintained under section 189 of the Act.

(a) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the rate of interest and other terms andconditions on which the loans have been granted to the Companies listed in the registermaintained under Section 189 of the Act are prima facie not prejudicial to the interestsof the Company.

(b) In case of the loans granted to the Companies listed in the register maintainedunder section 189 of the Act we have been informed that repayment of principal andpayment of interest are on demand. In our opinion and based on the information andexplanation provided to us we did not notice any delay in repayment of principal andpayment of interest as neither were demanded by the Company during the year

(c) There are no amounts overdue for more than ninety days in respect of the loangranted to Companies listed in the register maintained under section 189 of the Act.

According to the information and explanations given to us during the year the Companyneither demanded repayment of any principal nor interest from any of the parties to whomloans have been given.

iv. 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 in respect ofloans investments guarantees and security made.

v. In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits from the public within the meaning of sections 7374 75 and 76 of the Act the rules framed there under.

vi. We have broadly reviewed the books of account relating to materials labour andother items of cost maintained by the Company pursuant as specified by the CentralGovernment for the maintenance of cost records under sub-section (1) of section 148 of theAct and we are of the opinion that prima facie the prescribed accounts and records havebeen made and maintained. We have not however made a detailed examination of the recordswith a view to determine whether they are accurate or complete

vii. (a) According to the information and explanations given to us and the records ofthe Company examined by us in our opinion undisputed statutory dues including providentfund employees' state insurance income-tax sales-tax service tax duty of custom dutyof excise value added tax goods and service tax cess and other statutory dues have notbeen regularly deposited with the appropriate authorities and there have been seriousdelays in large number of cases.

(b) According to the information and explanations given to us undisputed dues inrespect of provident fund employees' state insurance income-tax service tax sales-taxduty of custom duty of excise value added tax goods and service tax cess and otherstatutory dues which were outstanding at the year end for a period of more than sixmonths from the date they became payable.

Statutory dues which were outstanding as at March 31 2020 for a period of more thansix months from the date they became payable are as follows:

Name of the statute Nature of the dues Amount (Rs. In lacs) Period to which the amount relates Due Date Date of Payment
Tamilnadu Municipal Laws (Second Amendment) Act 1998 Profession Tax 0.33 FY 19-20 Various dates Unpaid

(c) According to the information and explanation given to us and examination of recordsof the Company the outstanding dues of income-tax goods and service tax customs dutyand cess on account of any dispute are as follows:

Name of the statute Nature of dues Amount (Rs. in lacs) Period to which the amount relates Forum where dispute is pending Remarks if any
Income Tax Act 1961 Income tax 344.14 FY 2016-17 CIT (A) None

viii. In our opinion and according to the information and explanations given to us theCompany has not defaulted in repayment of loans or borrowings to the financial institutionor bank or dues to the debenture holders. The Company did not have any outstanding loansor borrowings due to government.

ix. The Company has not raised any money by way of initial public o3er or furtherpublic o3er (including debt instruments) and term loans during the year. Accordingly theprovisions stated in paragraph 3 (ix) of the Order are not applicable to the Company.

x. During the course of our audit and based on examination of the books and records ofthe Company carried out in accordance with the generally accepted auditing practices inIndia and according to the information and explanations given to us we have not comeacross any instance of material fraud by the Company or on the Company by its o3cers oremployees.

xi. According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has paid/ provided for managerialremuneration in accordance with the requisite approvals mandated by the provisions ofsection 197 read with Schedule V to the Act.

xii. In our opinion and according to the information and explanations given to us theCompany is not a Nidhi Company. Accordingly the provisions stated in paragraph 3(xii) ofthe Order are not applicable to the Company.

xiii. According to the information and explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with sections 177 and 188 of the Act where applicable and details of suchtransactions have been disclosed in the financial statements as required by the applicableaccounting standards.

xiv. 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. Accordingly the provisions stated in paragraph 3 (xiv) of the Order are notapplicable 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 provisions statedin paragraph 3(xv) of the Order are not applicable to the Company.

xvi. In our opinion the Company is not required to be registered under section 45 IAof the Reserve Bank of India Act 1934 and accordingly the provisions stated in paragraphclause 3 (xvi) of the Order are not applicable to the Company.

For MSKA & Associates
Chartered Accountants
ICAI Firm Registration No. 105047W
Vaijayantimala Belsare
Partner
Membership No. 049902
UDIN: 20049902AAAAAP5040
Place: Mumbai
Date: September 25 2020

ANNEXURE C TO THE INDEPENDENT AUDITOR'S REPORT OF EVEN DATE ON THE STANDALONEFINANCIALSTATEMENTS OF MT EDUCARE LIMITED

[Referred to in paragraph 2 (f) under ‘Report on Other Legal and RegulatoryRequirements' in 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")

We have audited the internal financial controls with reference to financial statementsof MT Educare Limited ("the Company") as of March 31 2020 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 with reference to financial statementscriteria established by the Company considering the essential components of internalcontrol stated in the Guidance Note on Audit of Internal Financial Controls over FinancialReporting issued by the Institute of Chartered Accountants of India (ICAI) (the"Guidance Note"). These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating e3ectively forensuring the orderly and e3cient conduct of its business including adherence to Company'spolicies the safeguarding of its assets the prevention and detection of frauds anderrors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Act.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internal financialcontrols with reference to financial statements based on our audit. We conducted our auditin accordance with the Guidance Note and the Standards on Auditing issued by ICAI anddeemed to be prescribed under section 143(10) of the Act to the extent applicable to anaudit of internal financial controls. Those Standards and the Guidance Note require thatwe comply with ethical requirements and plan and perform the audit to obtain reasonableassurance about whether internal financial controls with reference to financial statementswas established and maintained and if such controls operated e3ectively in all materialrespects.

Our audit involves performing procedures to obtain audit evidence about the internalfinancial controls with reference to financial statements and their operatinge3ectiveness. Our audit of internal financial controls with reference to financialstatements included obtaining an understanding of internal financial controls withreference to financial statements assessing the risk that a material weakness exists andtesting and evaluating the design and operating e3ectiveness of internal control based onthe assessed risk. The procedures selected depend on the auditor's judgement includingthe assessment of the risks of material misstatement of the financial statements whetherdue to fraud or error.

We believe that the audit evidence we have obtained is su3cient and appropriate toprovide a basis for our qualified audit opinion on the Company's internal financialcontrols with reference to financial statements.

Meaning of Internal Financial Controls with reference to Financial Statements

A Company's internal financial control with reference to financial statements is aprocess designed to provide reasonable assurance regarding the reliability of financialreporting and the preparation of financial statements for external purposes in accordancewith generally accepted accounting principles. A Company's internal financial control withreference to financial statements includes those policies and procedures that (1) pertainto the maintenance of records that in reasonable detail accurately and fairly reflectthe transactions and dispositions of the assets of the company; (2) provide reasonableassurance that transactions are recorded as necessary to permit preparation of financialstatements in accordance with generally accepted accounting principles and that receiptsand expenditures of the company are being made only in accordance with authorizations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorized acquisition use or disposition of thecompany's assets that could have a material e3ect on the financial statements.

Inherent Limitations of Internal Financial Controls with reference to financialstatements

Because of the inherent limitations of internal financial controls with reference tofinancial statements including the possibility of collusion or improper managementoverride of controls material misstatements due to error or fraud may occur and not bedetected. Also projections of any evaluation of the internal financial controls withreference to financial statements to future periods are subject to the risk that theinternal financial control with reference to financial statements may become inadequatebecause of changes in conditions or that the degree of compliance with the policies orprocedures may deteriorate.

Qualified Opinion

According to the information and explanations given to us and based on our audit thefollowing material weaknesses have been identified as at March 31 2020:

The Information Technology General Controls being the access controls and changemanagement controls with respect to accounting for student revenue and controls on thefinancial statement closure process were operating ine3ectively which could potentiallylead to material misstatement in the financial statements.

A ‘material weakness' is a deficiency or a combination of deficiencies ininternal financial control with reference to financial statements such that there is areasonable possibility that a material misstatement of the company's annual or interimfinancial statements will not be prevented or detected on a timely basis.

In our opinion except for the e3ects of the material weaknesses described above on theachievement of the objectives of the control criteria the Company has maintained in allmaterial respects internal financial controls with reference to financial statements andsuch internal financial controls with reference to financial statements were operatinge3ectively as of March 31 2020 based on the internal control with reference to financialstatements criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note.

We have considered the material weaknesses identified and reported above in determiningthe nature timing and extent of audit tests applied in our audit of the standalonefinancial statements of the Company and these material weaknesses do not a3ect ouropinion on the standalone financial statements of the Company.

For MSKA & Associates
Chartered Accountants
ICAI Firm Registration No. 105047W
Vaijayantimala Belsare
Partner
Membership No. 049902
UDIN: 20049902AAAAAP5040
Place : Mumbai
Date : September 25 2020

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