To the Members of P G Industry Limited
1. We have audited the accompanying standalone financial statements of PG Industry Limited ("the Company") which comprise the Balance Sheet as atMarch 31 2018 and the Statement of Profit and Loss and Cash Flow Statement for the yearthen ended and a summary of significant accounting policies and other explanatoryinformation.
Management s Responsibility on the Financial Statements
2. The Company's Board of Directors is responsible for the mattersstated in Section 134(5) of the Companies Act 2013 ("the Act") with respect tothe preparation of these standalone financial statements that give a true and fair view ofthe financial position financial performance and cash flows of the Company in accordancewith the accounting principles generally accepted in India including the IndianAccounting Standards specified under Section 133 of the Act read with Companies(Accounts) Rules 2014 and Companies (Indian Accounting Standards) Rules 2015. 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 statements thatgive a true and fair view and are free from material misstatement whether due to fraud orerror.
Auditor s Responsibility
3. Our responsibility is to express an opinion on these financialstatements based on our audit.
4. We have taken into account the provisions of the Act the accountingand auditing standards and matters which are required to be included in the audit reportunder the provisions of the Act and the Rules made thereunder.
5. We conducted our audit in accordance with the Standards on Auditingspecified under Section 143(10) of the Act. Those Standards require that we comply withethical requirements and plan and perform the audit to obtain reasonable assurance aboutwhether the financial statements are free from material misstatement.
6. An audit involves performing procedures to obtain audit evidenceabout the amounts and the disclosures in the financial statements. 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. In making thoserisk assessments the auditor considers internal financial control relevant to theCompany's preparation of the financial statements that give a true and fair view in orderto design audit procedures that are appropriate in the circumstances. An audit alsoincludes evaluating the appropriateness of the accounting policies used and thereasonableness of the accounting estimates made by the Company's Directors as well asevaluating the overall presentation of the financial statements.
7. We believe that the audit evidence we have obtained is sufficientand appropriate to provide a basis for our audit opinion on the standalone financialstatements.
8. In our opinion and to the best of our information and according tothe explanations given to us the aforesaid standalone financial statements give theinformation required by the Act in the manner so required and give a true and fair view inconformity with the accounting principles generally accepted in India:
a) in the case of the Balance Sheet of the state of affairs of theCompany as at March 31 2018;
b) in the case of the Profit and Loss Account of the profit/ loss forthe year ended on that date; and
c) in the case of the Cash Flow Statement of the cash flows for theyear ended on that date.
Report on Other Legal and Regulatory Requirement
9. As required by the Companies (Auditor's Report) Order 2016("the Order") issued by the Central Government of India in terms of section 143of the Act we give in the Annexure a statement on the matters specified in paragraphs 3and 4 of the Order.
10. As required by section 143(3) of the Act we report that:
a) we have sought and obtained all the information and explanationswhich to the best of our knowledge and belief were necessary for the purpose of our audit;
b) in our opinion proper books of account as required by law have beenkept by the Company so far as appears from our examination of those books;
c) the Balance Sheet Statement of Profit and Loss and Cash FlowStatement dealt with by this Report are in agreement with the books of account. d) in ouropinion the Balance Sheet Statement of Profit and Loss and Cash Flow Statement complywith the Accounting Standards;
e) on the basis of written representations received from the directorsas on March 31 2018 and taken on record by the Board of Directors none of the directorsis disqualified as on March 31 2018 from being appointed as a director in terms ofsub-section (2) of section 164 of the Companies Act 2013;
f) In our opinion the company has adequate internal financial controlssystem in place and such controls have the operating effectiveness.
g) with respect to the other matters to be included in the Auditor'sReport in accordance with Rule 11 of the Companies (Audit and Auditors) Rules 2014 inour opinion and to the best of our information and according to the explanations given tous:
i. the Company has no pending litigations which have the impact on itsfinancial position in its financial statements; ii. the Company is not required to makeany provision as required under the applicable law or accounting standards for materialforeseeable losses if any on long-term contracts including derivative contracts; iii. Noamount is required to be transfer to the Investor Education and Protection Fund by theCompany.
For: Vipul Kumar Goel & Co.
CA Vipul Kumar Goel
Membership No.- 507842
Firm Regn. No.- 021325N
Place: New Delhi Date: 30 May 2018
Annexure to Auditors' Report for the year ended on 31st March 2018
The Annexure referred to in paragraph 9 of the Our Report of even dateto the members of P G Industry Limited on the accounts of the company for the year ended31st March 2018.
1) a) The company has maintained proper records showing fullparticulars including quantitative details and situations of fixed assets.
b) We are informed that management has carried out the physicalverification of the fixed assets at reasonable intervals which is considered reasonablehaving regard to the size of the Company and the nature of its business and no materialdiscrepancies have been noticed on such physical verification to the extent verificationwas made during the year.
c) The title deeds of immovable properties are held in the name of theCompany.
2) a) As explained to us physical verification of inventory has beenconducted by the management during the year at reasonable intervals. The Company hasmaintained proper records of inventories and no material discrepancies were noticed onphysical verification.
3) The company has not granted interest free unsecured loans to anyparty covered in the register maintained under section 189 of the Companies Act 2013.
4) The company has complied with the provisions of Section 185 and 186of the Companies Act 2013 in respect of guarantee given to Vijaya Bank Defence ColonyDelhi on behalf of Working Capital Loan taken by other Company.
5) According to the information and explanation given to us thecompany has not accepted any deposits during the year from the public under the provisionsof the sections 73 to 76 of the Act and the rules framed there.
6) As per information & explanation given by the managementmaintenance of cost records has been prescribed by the Central Government undersub-section (1) of section 148 of the Act and we are of the opinion that prima facie theprescribed accounts and records have been made and maintained.
7) (a) According to the information and explanation given to us in ouropinion the company is generally regular in depositing undisputed statutory duesincluding Provident Fund Employees State Insurance Income Tax Sales Tax Wealth TaxService Tax Custom Duty and Excise Duty Value Added Tax Goods & Service Tax Cessand any other material statutory dues as applicable with the appropriate authorities. (b)There are no undisputed amount payable in respect of such statutory dues which haveremained outstanding as at 31st March 2018 for a period more than six months from thedate they became payable except Sales tax Maharashtra of Rs. 21661.58 /- for firstQuarter ended on 30 June 2018.
8) According to the records of the company examined by us and theinformation and explanation given to us the Company has not defaulted in repayment of itsdues to banks and financial institutions.
9) As per information and explanation given to us the company has notobtained any money raised by way of Initial Public Issue or Further Public Issue(including debt instruments) and term loan during the year. 10) No fraud by the company oron the company by its officers or employees has been noticed or reported during the year.11) Managerial Remuneration has been paid or provided in accordance with the requisiteapprovals mandated by the provisions of section 197 read with Schedule V to the CompaniesAct 2013. 12) The provisions of any Special Statute applicable to Nidhi Company are notapplicable to the company. 13) All transactions with the related parties are in compliancewith the provisions of sections 177 and 188 of the Companies Act 2013 and the detailshave been disclosed in the Financial Statements. 14) The company has not made anypreferential allotment or private placement of shares or fully or partly convertibledebentures during the year under review. 15) The company has not entered into any non cash transaction with directors or person connected with him. 16) The company isnot required to be registered under section 45 IA of the Reserve Bank of India Act1934.
For: Vipul Kumar Goel & Co.
Sd/- CA Vipul Kumar Goel
(Proprietor) Membership No.- 507842 Firm Regn. No.- 021325N
Place: New Delhi Date: 30 May 2018
P G Industry Limited (Amount in Rs.)