You are here » Home » Companies » Company Overview » Step Two Corporation Ltd

Step Two Corporation Ltd.

BSE: 531509 Sector: Financials
NSE: N.A. ISIN Code: INE623D01015
BSE 00:00 | 25 Sep 9.14 -0.48
(-4.99%)
OPEN

9.14

HIGH

9.14

LOW

9.14

NSE 05:30 | 01 Jan Step Two Corporation Ltd
OPEN 9.14
PREVIOUS CLOSE 9.62
VOLUME 1
52-Week high 10.65
52-Week low 3.80
P/E 28.56
Mkt Cap.(Rs cr) 4
Buy Price 10.65
Buy Qty 1.00
Sell Price 9.14
Sell Qty 2576.00
OPEN 9.14
CLOSE 9.62
VOLUME 1
52-Week high 10.65
52-Week low 3.80
P/E 28.56
Mkt Cap.(Rs cr) 4
Buy Price 10.65
Buy Qty 1.00
Sell Price 9.14
Sell Qty 2576.00

Step Two Corporation Ltd. (STEPTWOCORP) - Auditors Report

Company auditors report

To

The Members of

STEP TWO CORPORATION LIMITED

Report on the Financial Statements

Opinion

We have audited the accompanying financial statements of STEP TWO CORPORATION LTD.which comprise the Balance sheet as at 31st March 2019 the Statement of Profit and Lossand the Cash Flow Statement for the year then ended and notes to the financialstatements including a summary of significant accounting policies and other explanatoryinformation. 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 2019 its Loss and its cash flows for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the standards on Auditing (SAS) specifiedunder section 143(10) of the companies Act 2013. Our responsibilities under thosestandards are further described in the Auditor's Responsibilities for the Audit of theFinancial Statements section of our report. We are independent of the company inaccordance with the Code of Ethics issued by the Institute of Chartered Accountants ofIndia together with the ethical requirements that are relevant to our audit of thefinancial statements under the provision of the Companies Act 2013 and the Rulesthereunder and we have fulfilled our ethical responsibilities in accordance with thoserequirements and the Code of Ethics. We believe that the audit evidence we have obtainedis sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

Key Audit Matters are those matters that in our professional judgement were of mostsignificance of our audit of the financial statements of the current period. These matterswere addressed in the context of our audit of the financial statement as a whole andinforming our opinion thereon and we do not provide a separate opinion on these matters.

Responsibilities of Management and those charged with governance for the FinancialStatements The Company's Board of Directors is responsible for the matters stated inSection 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 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. This responsibility also includes maintenance ofadequate accounting records in accordance with the provisions of the Act for safeguardingthe assets of the Company and for preventing and detecting frauds and otherirregularities; selection and application of appropriate implementation and maintenance ofaccounting 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. In 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 of to cease operations or has no realisticalternative but to do so.

The Board of Directors are also responsible for overing the company's financialreporting process.

Auditor's Responsibilities for the Audit of Financial Statement

Our objective are to obtain reasonable assurance about whether the financial statementas a whole are free from material misstatement whether due to fraud or error and toissue an auditor's report that includes our opinion. Reasonable assurance is a high levelof assurance bust is not a guarantee that an audit conducted in accordance with Sas willalways detect a material misstatement when it exists. Misstatements can arise from fraudor error and are considered material if individually or in the aggregate they couldreasonably be expected to influence the economics decision of users taken on the basis ofthese financial statements.

A further description of the auditor's responsibilities for the audit of the financialstatements is included in Annexure A. This description forms part of our auditor'sreport..

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 ofthe Companies Act 2013 we give in the "Annexure B" a statement on the mattersspecified in the paragraph 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) 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 and the cash flow statementdealt with by this Report are in agreement with the books of account;

d) in 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 2014;

e) on the basis of the written representations received from the directors as on 31stMarch 2019 taken on record by the Board of Directors none of the directors isdisqualified as on 31st March 2019 from being appointed as a director in terms of Section164 (2) of the Act;

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 C'.

g) with respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 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 does not have any pending litigations which would impact its financialposition;

ii. the Company did not have any long term contract including derivatives contracts forwhich there were any material foreseeable losses; and

iii. there were no amount which is required to be transferred to the Investor Educationand Protection Fund by the Company.

3. As required by the "Non Banking Financial Companies Auditor's Report (ReserveBank) Directions 1998" we further state that we have submitted a Report to theBoard of Directors of the Company containing a statement on the matters of supervisoryconcern to the Reserve Bank of India as specified in the said Directions namely thefollowing: -

a) The company incorporated prior to January 9 1997 has applied for registration asprovided in section 45IA of the Reserve Bank of India Act 1934 (2 of 1934). The Companyhas been granted certificate of registration as NBFC by the Reserve Bank of India &the Registration no. is 05.02614 dated 04.06.1998.

b) The Board of Directors of the Company has passed a Resolution for non-acceptance ofany public deposits.

c) The Company has not accepted any public deposits during the year under reference.

d) The Company has complied with the prudential norms relating to income recognitionaccounting standards asset classification and provisioning of bad doubtful debts asapplicable to it.

for B. P. AGARWAL & ASSOCIATES
Chartered Accountants
FRN No. 316155E
Place : Kolkata (Amit Tulsyan)
Date : 30.05.2019 Partner
Membership No. 064210

Annexure ‘A' Responsibilities for Audit of Financial Statement

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 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(3)(i)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. If 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 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 also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence and to communicate with themall relationships 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 B.P. AGARWAL & ASSOCIATES
Chartered Accountants
FRN:-316155E
(AMIT TULSYAN)
Place : Kolkata Partner
Date : 30.05.2019 Membership No.064210

ANNEXURE ‘B' TO THE INDEPENDENT AUDITORS' REPORT

The Annexure referred to in our Independent Auditors' Report to the members of theCompany on the financial statements for the year ended 31st March 2019 we report that:

1. Fixed Assets:

a. The Company has maintained proper records showing full particulars includingquantitative details and situation of fixed assets.

b. As explained to us all fixed assets have been physically verified by the managementduring the year in a phased periodical manner which in our opinion is reasonable havingregard to the size of the company and nature of its assets. No material discrepancies werenoticed on such physical verification.

c. The company doesn't have any immovable property hence this clause is notapplicable.

2. In respect of its inventories it was explained to us that inventory consists ofShares and securities which are held in dematerialized form hence physical verificationis not possible. However it has been verified from demat statements by the management atregular intervals and no material discrepancies were noticed during the year.

3. The company has not granted any loans secured or unsecured to companies firm andother parties covered in the register maintained under section 189 of Companies Act 2013.

4. The Company being a Non-Banking Financial Company the provisions of Section 185& 186 are not applicable to it.

5. The Company has not accepted any deposits from the public.

6. The Central Government has not prescribed the maintenance of cost records undersection 148(1) of the Act in respect of activities of the Company.

7. In respect of Statutory dues:

a. According to the records maintained by the Company and information and explanationsgiven to us undisputed statutory dues in respect of Income Tax wealth tax sales taxcustom duty excise duty Service Tax Cess and other statutory dues have been regularlydeposited with the appropriate authorities. According to the information and explanationsgiven to us no undisputed amounts payable in respect of the aforesaid dues wereoutstanding as at March 31 2019 for a period of more than six months from the date ofbecome payable.

b. There are no Disputed Statutory dues.

8. The Company did not have any outstanding dues to financial institutions banksGovernment dues or debenture holders during the year.

9. The company has not raised any money by way of Initial Public Offer Further PublicOffer or term loan during the year. Hence this clause is not applicable.

10. According to the information and explanations given to us no material fraud on orby the Company has been noticed or reported during the course of our audit.

11. The managerial remuneration has been paid after the requisite approvals as mandatedby provisions of Section 197 read with Schedule V of the Companies Act 2013

12. The company is not a Nidhi Company. Therefore this clause is not applicable

13. The company has made adequate disclosures in Financial Statements for related partytransaction as required u/s 188 of Companies Act

14. The company has not made any preferential allotment or private placement of sharesor fully or partly convertible debentures during the year.

15. The company has not entered into any non-cash transaction with directors or personsas per provisions of Section 192 of companies Act 2013.

16. The Company is registered u/s 45-IA of the Reserve Bank of India Act 1934 videregistration no. 05.02614 dated 04.06.1998

for B. P. AGARWAL & ASSOCIATES
Chartered Accountants
FRN No. 316155E
Place : Kolkata (Amit Tulsyan)
Date : 30.05.2019 Partner
Membership No. 064210

ANNEXURE 'C' TO 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 over financial reporting of Step TwoCorporation Ltd. ("the Company") as of March 31 2019 in conjunction with ouraudit 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 over financial reporting criteriaestablished by the Company considering the essential components of internal control statedin the Guidance Note on Audit of Internal Financial Controls Over Financial Reportingissued by the Institute of Chartered Accountants of India. These responsibilities includethe design implementation and maintenance of adequate internal financial controls thatwere operating effectively for ensuring the orderly and efficient conduct of its businessincluding adherence to company's policies the safeguarding of its assets the preventionand detection of frauds and errors the accuracy and completeness of the accountingrecords and the timely preparation of reliable financial information as required underthe 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 Standards on Auditing prescribed under Section 143(10) of the Act and theGuidance Note on Audit of Internal Financial Controls Over Financial Reporting (the"Guidance Note") to the extent applicable to an audit of internal financialcontrols 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 judgement 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 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 2019 based on theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note

for B. P. AGARWAL & ASSOCIATES
Chartered Accountants
FRN No. 316155E
(Amit Tulsyan)
Place : Kolkata Partner
Date : 30.05.2019 Membership No. 064210

.