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Punctual Trading Ltd.

BSE: 512461 Sector: Metals & Mining
NSE: N.A. ISIN Code: INE07NX01019
BSE 05:30 | 01 Jan Punctual Trading Ltd
NSE 05:30 | 01 Jan Punctual Trading Ltd

Punctual Trading Ltd. (PUNCTUALTRADING) - Auditors Report

Company auditors report

To The Shareholders Of Punctual Trading Limited

Report on Financial Statements

We have audited the accompanying Financial Statements of PunctualTrading Limited ("the Company") which comprise the Balance Sheet as at 31stMarch 2020 the Statement of Profit and Loss and the Cash Flow Statement for the year thenended and a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Financial Statements

The Company's Board of Directors are responsible for the matters statedin Section 134(5) of the Companies Act 2013 (‘the act') with respect to thepreparation of these Financial statements that give a true and fair view of the financialposition and financial performance and cash flows of the Company in accordance with theaccounting principles generally accepted in India including the Accounting Standardsspecified under Section 133 of the Act read with rule 7 of Companies (Accounts) Rules2014. 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; design implementation and maintenance of adequate internal financial controlsthat are operating effectively for ensuring the accuracy and completeness of theaccounting 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.

Auditor's Responsibility

Our responsibility is to express an opinion on these financialstatements based on our audit. We have taken into account the provisions of the Act theaccounting and auditing standards and matters which are required to be included in theaudit report under the provisions of the Act and the Rules made thereunder We conductedour audit in accordance with the Standards on Auditing specified under Section 143(10) ofthe Act. Those Standards require that we comply with ethical requirements and plan andperform the audit to obtain reasonable assurance about whether the financial statementsare free from material misstatement.

An audit involves performing procedures to obtain audit evidence aboutthe amounts and disclosures in the financial statements. The procedures selected depend onthe auditor's judgment including the assessment of the risks of material misstatement ofthe financial statements whether due to fraud or error. In making those risk assessmentsthe auditor considers internal financial control relevant to the Company'spreparation of the financial statements that give a true and fair view in order to designaudit procedures that are appropriate in the circumstances but not for the purpose ofexpressing an opinion on whether the Company has in place an adequate internal financialcontrols system over financial reporting and the operating effectiveness of such controls.An audit also includes evaluating the appropriateness of accounting policies used and thereasonableness of the accounting estimates made by the Company's Directors as wellas evaluating the overall presentation of the financial statements.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the financial statements.

Opinion

In our opinion and to the best of our information and according to theexplanations given to us the aforesaid financial statements give the information requiredby the Act in the manner so required and give a true and fair view in conformity with theaccounting principles generally accepted in India of the state of affairs of the Companyas at 31st March 2020 its profit and its cash flows for the year ended onthat date.

Report on Other Legal and Regulatory Requirements.

1. As required by the Companies (Auditor's Report) Order 2015("the Order") issued by the Central Government of India in terms of sub-section(11) of section 143 of the Act we give in the Annexure 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 further 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 our opinion the aforesaid financial statements comply with theapplicable Accounting Standards specified under Section 133 of the Act read with Rule 7of the Companies (Accounts) Rules 2014.

(e) on the basis of written representations received from the directorsas on March 31 2020 and taken on record by the Board of Directors none of the directorsare disqualified as on March 312020 from being appointed as a director in terms ofSection 164(2) of the Act.

(f) With respect to the adequacy of the internal financial controlsover financial reporting of the Company and the operating effectiveness of such controlsrefer to our separate Report in Annexure B.

(g) With respect to the other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors)Rules 2014 in our opinion and to the best of our information and according to theexplanations given to us:

(i) The Company does not have any pending litigations which wouldimpact its financial position

(ii) The Company did not have any long-term contracts includingderivative contracts; as such the question of commenting on any material foreseeablelosses thereon does not arise

(iii) There has not been an occasion in case of the Company during theyear under report to transfer any sums to the Investor Education and Protection Fund.

Annexure "A" to The Independent Auditors' Report to themembers of Punctual Trading Ltd.

(The Annexure referred to in paragraph 1 under the heading "Reporton Other Legal and Regulatory Requirements" of our report of even date).

1. In respect of fixed assets:

(a) The Company has maintained proper records showing full particularsincluding quantitative details and

the situation of its fixed assets.

(b) The fixed assets have been physically verified by the Managementduring the year in accordance with a regular programme of verification which in ouropinion provides for physical verification of the fixed asset at reasonable intervals.According to the information and explanation given to us no material discrepancies werenoticed on such verification.

(c) According to the information and explanation given to us the titledeeds of immovable properties are held in the name of the company.

2. In respect of inventories:

No inventories were held by the Company throughout the year.

3. The Company has not granted any loans secured or unsecured tocompanies firms or other parties covered in the Register maintained under section 189 ofthe Companies Act 2013.

4. In our opinion and according to the information and explanationgiven to us provisions of section 185 and 185 of the Companies Act 2013 have beencomplied with in respect of loans investments guarantees and security.

5. The Company has not accepted deposits from the public

6. According to the information and explanation given to usmaintenance of cost audit records has not been specified by the Central Government.

7. in respect of statutory dues :

(a) According to the records of the Company it is regular indepositing with appropriate authorities undisputed amount of Provident Fund investorEducation Protection Fund Employees State Insurance Income Tax Goods & Service TaxCustom Duty Cess and other statutory dues applicable to it and according to theinformation and explanation given to us no undisputed amounts payable were outstanding asat 31s< March 2020 for a period of more than six months from the date theybecame payable.

(b) There are no dues of Income Tax Goods & Service Tax WealthTax Custom Duty etc. which have

not been deposited on account of any dispute.

8. According to the information and explanations given by themanagement the Company has not taken any borrowings from financial institutions banksGovernment and not issued any debenture. Therefore the provisions of clause (viii) ofparagraph 3 of the Order are not applicable to the Company.

9. To the best of our knowledge and according to the information andexplanations given to us no fraud on or by the Company has been noticed or reportedduring the year.

10. According to the information and explanation given to us theprovisions of section 197 read with Schedule V to the Companies Act are not applicable tothe managerial remuneration paid by the Company.

11. According to the information and explanation given to us therewere no transactions with the related parties during the year.

12. According to the information and explanation given to us theCompany has not entered into any noncash transactions with directors or persons connectedwith him.

Annexure "B" to independent auditor's report to themembers of Punctual Trading Ltd.

(Referred to in paragraph 2 (f) under the heading "Report on otherlegal and regulatory requirements" of our report of even date on the accounts for theyear ended 31st March 2020)

Report on the Internal Financial Controls over financial reportingunder Clause (i) of Sub-section 3 of Section 143 of the Companies Act 2013 ("theAct")

We have audited the internal financial controls over financialreporting of Punctual Trading Ltd. ("the Company") as of March 31 2020 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 Company's management is responsible for establishing andmaintaining internal financial controls based on "the internal control over financialreporting criteria established by the Company considering the essential components ofinternal control stated in the Guidance Note on Audit of Internal Financial Controls overFinancial Reporting ("the Guidance Note") issued by the Institute of CharteredAccountants of India. These responsibilities include the design implementation andmaintenance of adequate internal financial controls that were operating effectively forensuring the orderly and efficient conduct of its business including adherence tocompany's policies the safeguarding of its assets the prevention and detection of fraudsand errors the accuracy and completeness of the accounting records and the timelypreparation of reliable financial information as required under the Companies Act 2013.

Auditors' Responsibility

Our responsibility is to express an opinion on the Company's internalfinancial controls over financial reporting based on our audit. We conducted our audit inaccordance with the Guidance Note on Audit of Internal Financial Controls Over FinancialReporting and the Standards on Auditing prescribed under section 143(10) of the CompaniesAct 2013 to the extent applicable to an audit of internal financial controls. ThoseStandards and the Guidance Note require that we comply with ethical requirements and planand 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 aboutthe adequacy of the internal financial controls system over financial reporting and theiroperating effectiveness. Our audit of internal financial controls over financial reportingincluded obtaining an understanding of internal financial controls over financialreporting assessing the risk that a material weakness exists and testing and evaluatingthe design and operating effectiveness of internal control based on the assessed risk. Theprocedures selected depend on the auditor's judgment including the assessment of therisks of material misstatement of the financial statements whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the Company's internalfinancial controls system over financial reporting.

MEANING OF INTERNAL FINANCIAL CONTROLS OVER FINANCIAL REPORTING

A company's internal financial control over financial reporting isa process 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 controlover financial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly reflect thetransactions 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 effect on the financial statements.

Inherent Limitations of Internal Financial Controls over FinancialReporting

Because of the inherent limitations of internal financial controls overfinancial reporting 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 overfinancial reporting to future periods are subject to the risk that the internal financialcontrol over financial reporting may become inadequate because of changes in conditionsor that the degree of compliance with the policies or procedures may deteriorate.

Opinion

In our opinion to the best of our information and according to theexplanations given to us 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 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.

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