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Nagreeka Capital & Infrastructure Ltd.

BSE: 532895 Sector: Financials
NSE: NAGREEKCAP ISIN Code: INE245I01016
BSE 00:00 | 09 Apr 5.82 0.27
(4.86%)
OPEN

5.29

HIGH

5.82

LOW

5.29

NSE 00:00 | 08 Apr 5.35 0
(0.00%)
OPEN

5.05

HIGH

5.35

LOW

5.05

OPEN 5.29
PREVIOUS CLOSE 5.55
VOLUME 146
52-Week high 9.06
52-Week low 4.61
P/E
Mkt Cap.(Rs cr) 7
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 5.29
CLOSE 5.55
VOLUME 146
52-Week high 9.06
52-Week low 4.61
P/E
Mkt Cap.(Rs cr) 7
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Nagreeka Capital & Infrastructure Ltd. (NAGREEKCAP) - Auditors Report

Company auditors report

To the Members of Nagreeka Capital and Infrastructure Limited

Report on the Audit of the Financial Statements

Opinion

We have audited the accompanying financial statements of Nagreeka Capital &lnfrastructure Limited ("the Company") which comprise the balance sheet as atMarch 31 2019 and the Statement of Profit and Loss and statement of cash flows for theyear then ended and notes to the financial statements including a summary ofsignificantaccounting policies and other explanatory information.

ln 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 theCompanies Act 2013 ('The Act') in the manner so required and give a true and fair view inconformity with the accounting principles generally accepted in lndia

i. in the case of the balance sheet of the state of affairs of the Company as at 31stMarch 2019

ii. in the case of the statement of profit and loss of the loss for the year ended onthat date and

iii. in the case of the statement of Cash Flows of the cash flows for the year endedon that date

Basis for opinion

We conducted our audit in accordance with the standards on auditing specified undersection 143(10) of the Companies Act 2013. Our responsibilities under those Standards arefurther described in the auditor's responsibilities for the audit of the financialstatements section of our report. We are independent of the Company in accordance with thecode of ethics issued by the lnstitute of Chartered Accountants of lndia together with theethical requirements that are relevant to our audit of the financial statements under theprovisions of the Act and the rules there under and we have fulfilled our other ethicalresponsibilities in accordance with these requirements and the code of ethics.

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

Key audit matters

Key audit matters are those matters that in our professional judgment were of mostsignificance in our audit of the financial statements of the current period. These matterswere addressed in the context of our audit of the financial statements as a whole and informing our opinion thereon and we do not provide a separate opinion on these matters. Wedid not determine any key audit matter to be communicated in our report.

lnformation other than the financial statements and auditors' report thereon

The Company's board of directors is responsible for the preparation of the otherinformation. The other informdtion comprises the information included in the ManagementDiscussion and Analysis Board's Report including Annexure to Board's Report BusinessResponsibility Report Corporate Governance and Shareholders' lnformation but does notinclude the financial statements and our auditor's report thereon.

Our opinion on the financial statements does not cover the other information and we donot express any form of assurance conclusion thereon.

In connection with our audit of the financial statements our responsibility is to readthe other information and in doing so consider whether the other information ismaterially inconsistent with the standalone financial statements or our knowledge obtainedduring the course of our audit or otherwise appears to be materially misstated.

If based on the work we have performed we conclude that there is a materialmisstatement of this other information we are required to report that fact. We havenothing to report in this regard.

Management's responsibility for the financial statements

The Company's board of directors are responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these financial statements that give atrue and fair view of the financial position financial performance and cash flows of theCompany in accordance with the accounting principles generally accepted in lndiaincluding the accounting standards specified under section 133 of the Act. Thisresponsibility also includes maintenance of adequate accounting records in accordance withthe provisions of the Act for safeguarding of 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 statement that givea true and fair view and are free from material misstatement whether due to fraud orerror.

ln preparing the financial statements management is responsible for assessing theCompany's ability to continue as a going concern disclosing as applicable mattersrelated to going concern and using the going concern basis of accounting unless managementeither intends to liquidate the Company or to cease operations or has no realisticalternative but to do so.

The Board of Directors are also responsible for overseeing the Company's financialreporting process.

Auditor/s responsibilities for the audit of the financial statements

Our objectives are to obtain reasonable assurance about whether the financialstatements as a whole are free from material misstatement whether due to fraud or errorand to issue an auditor's report that includes our opinion. Reasonable assurance is a highlevel of assurance but is not a guarantee that an audit conducted in accordance with SAswill always detect a material misstatement when it exists. Misstatements can arise fromfraud or error and are considered material if individually or in the aggregate theycould reasonably be expected to influence the economic decisions of users taken on thebasis of these financial statements.

As part of an audit in accordance with SAs we exercise professional judgment andmaintain professional skepticism throughout the audit. We also:

• ldentify and assess the risks of material misstatement of the financialstatements whether due to fraud or error design and perform audit procedures responsiveto those risks and obtain audit evidence that is sufficient and appropriate to provide abasis for our opinion. The risk of not detecting a material misstatement resulting fromfraud is higher than for one resulting from error as fraud may involve collusionforgery intentional omissions misrepresentations or the override of internal control.

• Obtain an understanding of internal control relevant to the audit in order todesign audit procedures that are appropriate in the circumstances. Under section 143(3Xi)of the Companies Act 2013 we are also responsible for expressing our opinion on whetherthe company has adequate internal financial controls system in place and the operatingeffectiveness 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. lf we conclude that a material uncertainty existswe are required to draw attention in our auditor's report to the related disclosures inthe financial statements or if such disclosures are inadequate to modify our opinion.Our conclusions are based on the audit evidence obtained up to the date of our auditor'sreport. However future events or conditions may cause the Company to cease to continue asa going concern.

• Evaluate the overall presentation structure and content of the financialstatements including the disclosures and whether the financial statements represent theunderlying transactions and events in a manner that achieves fair presentation.

• We communicate with those charged with governance regarding among othermatters the planned scope and timing of the audit and significant audit findingsincluding any significant deficiencies in internal control that we identify during ouraudit. We also provide those charged with governance with a statement that we havecomplied with relevant ethical requirements regarding independence and to communicatewith them all relationships and other matters that may reasonably be thought to bear onour independence and where applicable related safeguards. From the matters communicatedwith those charged with governance we determine those matters that were of mostsignificance in the audit of the financial statements of the current period and aretherefore the key audit matters. We describe these matters in our auditor's report unlesslaw or regulation precludes public disclosure about the matter or when in extremely rarecircumstances we determine that a matter should not be communicated in our report becausethe adverse consequences of doing so would reasonably be expected to outweigh the publicinterest benefits of such communication.

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 lndia in terms of sub-section (11) of section 143 ofthe Companies Act 2013 we give in the Annexure "A" a statement on the mattersspecified in paragraphs 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) ln 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 and the cash flow statementdealt with by this report are in agreement with the books of account;

(d) ln our opinion the aforesaid financial statements comply with the accountingstandards specified under section 133 of the Act read with rule 7 of the companies(Accounts) Rules 2o!4;

(e) on the basis of the written representations received from the directors as on March31 2019 taken on record by the board of directors none of the directors is disqualifiedas on March 31 2019 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 over financialreporting of the company and the operating effectiveness of such controls refer to ourseparate report in Annexure 8 our report expresses an unmodified opinion on the adequacyand operating effectiveness of the Company's internal financial controls over financialreporting; and

(g) with respect to the other matters to be included in the Auditor's Report inaccordance with the Rule 11 of 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 financial statement as stated in Note -27 of the financial statement.

ii) The company has made provision as required under the applicable law or accountingstandards for material foreseeable losses if any as required on long term contractsincluding derivative contracts;

iii) No amount is required to be transferred to the investor Education and protectionFund in accordance with the relevant provisions of the companies Act'2013 and the rulesmade there under.

For P. K. PACHISIA & CO.
Chartered Accountants
Firm's Registration No. 318129E
(PAWAN KUMAR PACHISIA)
Place : Kolkata Proprietor
Date : 27th May 2019 M. No. : 053836

Annexure "A" to the Independent Auditors' Report on the financial statementsof Nagreeka Capital & infrastructure Ltd.

(Referred to in paragraph 1 under the heading "Report on other and regulatoryrequirements section" of our Report of even date) We report that:

II. a. The company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets on the basis of available informations

b. The company has a regular programme of physical verification of its Fixed Assets atperiodic intervals. In accordance with this programme fixed assets were physicallyverified during the year and no material discrepancies were noticed on such verification.In our opinion this periodicity of physical verification is reasonable having regard tothe size of the company and the nature of its assets.

c. According to the explanation given to us and on the basis of our examination of therecords of the company produced before us the title deeds of immovable properties areheld in the name of the company.

II. As explained to us Inventories consisting of stock and securities in physical formotherwise than in demat form have been physically verified by the management during theyear. In our opinion the frequency of verification is reasonable and no materialdiscrepancies were noticed on such verification.

III. The Company has not granted any loans secured or unsecured to companies firmsLLP's or other parties covered in the register maintained under Section 189 of the Act.

IV. In our opinion and according to the information and explanations given to us theCompany does not have any transactions to which the provisions of Section 185 apply. TheCompany has complied with the provisions of Section 186 of the Act with respect to theloans investments guarantees and security.

V. In our opinion and according to the information and explanations given to us theCompany has not accepted any deposits from the public in pursuance to sections 73 to 76 orany other relevant provisions of the Companies Act 2013 and the rules framed thereunder.

VI. The Central Government has not prescribed the maintenance of cost records underSection 148(1) of the Act for any of the products or services rendered by the Company.Thus reporting under clause 3(vi) of the order is not applicable to the Company

VII. a. According to the information and explanation given to us and on the basis ofexamination of the records of the Company amounts deducted/ accrued in the books ofaccount in respect of undisputed statutory dues including provident fund employees' stateinsurance income-tax sales-tax service tax Goods and Service Tax duty of customsduty of excise value added tax cess and other material statutory dues have regularlydeposited during the year by the Company with the appropriate authorities. As explained tous the company did not have any dues on account of employees' state insurance and duty ofexcise.

According to the information and explanations given to us no undisputed amountspayable in respect of provident fund employees' state insurance income tax sales-taxservice tax Goods and Service Tax duty of customs duty of excise value added tax cessand other material statutory dues were in arrears as at March 31 2019 for a period ofmore than six months from the date they became payable.

b. According to the information and explanations given to us there are no materialdues of customs service tax Goods and Service Tax sales tax duty of excise and valueadded tax which have not been deposited with the appropriate authorities on account of anydispute. However according to the information and explanations given to us the followingdues of income tax have not been deposited by the Company on account of disputes:

Name of the Statute Nature of the dues Amount Rs. Period to which the amount relates (Assessment year) Forum where dispute is pending
The Income Tax Act 1961 Income Tax 9830 2010-11 The Honorable High Court
39423 2011-12 The Honorable High Court
1212390 2012-13* Commissioner of Income Tax Kolkata
21939790 2013-14* Commissioner of Income Tax Kolkata
727390 2014-15 Commissioner of Income Tax Kolkata

* Rs. 10 Lakhs for the AY 2012-13 and Rs. 30 Lakhs for the AY 2013-14 has been paidagainst the demand during the financial year.

VIII. In our opinion and according to the information and explanations given to us theCompany has not defaulted in repayment of its dues to the financial institutions. TheCompany did not have any outstanding dues to any banks government or debenture holdersduring the year.

IX. The Company did not raise any money by way of initial public offer or furtherpublic offer (including debt instruments) and term loans during the year. Accordinglyparagraph 3 (IX) of the order is not applicable.

X. According to the information and explanations given to us no fraud by the Companyor on the Company by its officers or employees has been noticed or reported during thecourse of our audit.

XI. According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has paid/provided 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 Clause (XII) of paragraph 3 of the order isnot 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 preferencialallotment or private placement of shares or fully or partly convertible debentures duringthe year. Accordingly Clause (XIV) of paragraph 3 of the order is not applicable to theCompany.

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.

XVI. According to the information and explanation given to us and based on ourexamination of the records of the Company the Company is a Non- Banking Finance Companyand it is registered under section 45-IA of the Reserve bank of Indian Act 1934.

For P. K. PACHISIA & CO.
Chartered Accountants
Firm's Registration No. 318129E
(PAWAN KUMAR PACHISIA)
Place : Kolkata Proprietor
Date : 27th May 2019 M. No. : 053836

Annexure "B" to the Independent Auditors' Report on the financial statementsof Nagreeka Capital & infrastructure Ltd

(Referred to in paragraph 2(f) under the heading "Report on other and regulatoryrequirements section" of our Report of even date)

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 NagreekaCapital and Infrastructure Limited ("the Company") as of March 31 2019 inconjunction with our audit of the financial statements of the Company for the year endedon that date.

Management's Responsibility for Internal Financial Controls

The Board of Directors of the Company is responsible for establishing and maintaininginternal financial controls based on the internal control over financial reportingcriteria 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'). 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 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 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 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 to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at March 31 2019 based on the internal controlover financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note on Audit of Internal FinancialControls Over Financial Reporting issued by the Institute of Chartered Accountants ofIndia.

For P. K. PACHISIA & CO.
Chartered Accountants
Firm's Registration No. 318129E
(PAWAN KUMAR PACHISIA)
Place : Kolkata Proprietor
Date : 27th May 2019 M. No. : 053836

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