To the Shareholders of S G N TELECOMS LIMITED
Report on the Ind AS Financial Statements
We have audited the accompanying Ind AS financial statements of S G NTELECOMS LIMITED(the Company) which comprise the Balance Sheet as at 31stMarch 2019 the Statement of Profit and Loss (Including Other Comprehensive income) theCash Flow Statement for the yearthen ended and a summary of the significant accountingpolicies and other explanatory information.
Management's Responsibility for the Financial Statements
The Management and Board of Directors of the Companyisresponsible forthe matters stated in Section 134(5) of the Companies Act 2013 (The Act) withrespect to the preparation of these Ind AS financial statements that give a true and fairview of the state of affairs (financial position) profit or loss (including othercomprehensive income) and cash flows of the Company in accordance with the accountingprinciples generally accepted in India including the Indian Accounting Standards (Ind AS)prescribed under section 133 of the Act read with relevant rules issued there under.
This responsibility also includes maintenance of adequate accountingrecords in accordance with the provisions of the Act for safeguarding 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 effectively for ensuring the accuracy andcompleteness of the accounting records relevant to the preparation and presentation ofthe Ind AS financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.
Our responsibility is to express an opinion on these Ind AS financialstatements based on our audit.
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 there under.
We conducted our audit of Ind AS financial statements in accordancewith the Standards on Auditing specified under Section 143(10) of the Act. Those Standardsrequire that we comply with ethical requirements and plan and perform the audit to obtainreasonable assurance about whether the Ind AS financial statements are free from materialmisstatement.
An audit involves performing procedures to obtain audit evidence aboutthe amounts and the disclosures in the Ind AS financial statements. The proceduresselected depend on the auditor's judgment including the assessment of the risks ofmaterial misstatement of the Ind AS financial statements whether due to fraud or error.In making those risk assessments the auditor considers internal financial controlrelevant to the
Company's preparation of the Ind AS financial statements that givea true and fair view in order to design audit procedures that are appropriate in thecircumstances but not for the purpose of expressing an opinion on whether the Company hasin place an adequate internal financial control system over financial reporting and theoperating effectiveness of such controls.
An audit also includes evaluating the appropriateness of the accountingpolicies used and the reasonableness of the accounting estimates made by the Managementand Board of Directors of the Company as well as evaluating the overall presentation ofthe Ind AS financial statements.
We believe that the audit evidence we have obtained is sufficient andappropriate to provide a basis for our audit opinion on the Ind AS financial statements.
In our opinion and to the best of our information and according to theexplanations given to us the aforesaid Ind AS financial statements give the informationrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India including the Ind AS of thestate of affairs (financial position) of the Company as at 31st March 2019 its profit(financial performance including other comprehensive income) and its cash flows for theyear ended on that date.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditor's Report) Order 2016(the Order) issued by the Central Government in terms of Section 143(11) ofthe Act we give in Annexure A a statement on the matters specified inparagraphs 3 and 4 of the Order.
As required by section 143(3) of the Act we report that:
i. We have sought and obtained all the information and explanationswhich to the best of our knowledge and belief were necessary for the purposes of ouraudit;
ii. In our opinion proper books of account as required by law havebeen kept by the Company so far as appears from our examination of those books;
iii. The Balance Sheet Statement of Profit and Loss and Cash FlowStatement dealt with by this report are in agreement with the books of account;
iv. In our opinion the aforesaid Ind AS financial statements complywith the Indian Accounting Standards prescribed under Section 133 of the Act read withrelevant rules issued there under.
v. On the basis of written representations received from the Directorsas on 31st March 2019 and taken on record by the Board of Directors none ofthe directors is disqualified as on 31st March 2019 from being appointed as adirector in terms of Section 164(2) of the Act. vi. With respect to the adequacy of theinternal financial controls over financial reporting of the Company and the operatingeffectiveness of such controls refer to our separate Report in
vii. 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 in ouropinion and to the best of our information and according to the explanations given to us:
a) The Company has disclosed the impact of pending litigations on itsfinancial position in its Ind AS financial statements Refer note 2.30 to the financialstatements;
b) The Company did not have any long term contracts includingderivative contracts for which there were any material foreseeable losses;
c) There was no delay in transferring amounts required to betransferred to the Investor Education and Protection Fund by the Company during the year.
|For ANEET & ASSOCAITES |
|Chartered Accountants |
|Firm Regn No: 0014815N |
|M.No:- 090380 |
|Place : Mohali |
|Date : 30.05.2019 |