You are here » Home » Companies » Company Overview » Tivoli Construction Ltd

Tivoli Construction Ltd.

BSE: 511096 Sector: Infrastructure
NSE: N.A. ISIN Code: INE747V01014
BSE 05:30 | 01 Jan Tivoli Construction Ltd
NSE 05:30 | 01 Jan Tivoli Construction Ltd

Tivoli Construction Ltd. (TIVOLICONSTRUC) - Auditors Report

Company auditors report

To the Members of TIVOLI CONSTRUCTION LIMITED

Report on the Standalone Ind AS Financial Statements

we have audited the accompanying standalone Ind AS financial statements of TIVOLICONSTRUCTION LIMITED ("the Company") which comprise the Balance Sheet as atMarch 31 2018 the Statement of Profit and Loss (including Other Comprehensive Income)the Cash Flow * Statement and the Statement of Changes In Equity for the year then endedand a summary of significant accounting policies and other explanatory information.

Management's Responsibility for the Standalone Ind AS Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section134(5) of the Companies Act 2013 ("the Act") with respect to the preparation ofthese standalone Ind AS financial statements that give a true and fair view of thefinancial position financial performance including other comprehensive income cash flowsand changes In equity of the Company in accordance with the accounting principlesgenerally accepted in India including the Indian Accounting Standards (Ind AS) specifiedunder Section 133 of the Act.

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; and design implementation and maintenance of adequate internal financialcontrols that were operating effectively for ensuring the accuracy and completeness ofthe accounting records relevant to the preparation and presentation of the standalone IndAS financial statements that give a true and fair view and are free from materialmisstatement whether due to fraud or error.

Auditor's Responsibility

Our responsibility is to express an opinion on these standalone Ind AS financialstatements based on our audit.

In conducting 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 conducted our audit of the standalone Ind AS financial statement in accordance withthe 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 standalone Ind AS financial statements are freefrom material

An audit Involves performing procedures to obtain audit evidence about the amounts anddisclosures in the standalone Ind AS financial statements. The procedures selected dependon the auditor's judgment including the assessment of the risks of material misstatementof the standalone Ind AS financial statements whether due to fraud or error. In makingthose risk assessments the auditor considers internal financial control relevant to theCompany's preparation of the standalone Ind AS financial statements that give a true andfair view in order to design audit procedures that are appropriate in the circumstances.An audit also includes evaluating the appropriateness of accounting policies used and thereasonableness of the accounting estimates made by Company's Directors as welt asevaluating the overall presentation of the standalone Ind AS financial statements.

We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the standalone Ind AS financial statements.

Opinion

In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid standalone Ind AS financial statements give the in forma bonrequired by the Act in the manner so required and give a true and fair view in conformitywith the accounting principles generally accepted in India of the state of affairs of theCompany as at March 31 2018 and its toss total comprehensive income its cash flows andchanges in equity for the year ended on that date.

Other Matters

The comparative financial information of the Company for the year ended 31stMarch 2017 and the transition date opening balance sheet as at 1st April 2016included in these standalone Ind AS financial statement are based on the statutoryfinancial statement prepared in accordance with the Companies (Accounting Standard) Rules2006 audited by us for 31** March 2017 and by G. M. Kapadia & Co. for 31** March2016 whose report for the year ended 31** March 2017 and 31st March 2016dated 30th May 2017 and 25**' May 2016 respectively expressed an unmodifiedopinion on those standalone financial statements as adjusted for the differences in theaccounting principles adopted by the Company on transition to the ind AS which have beenaudited by us.

Our opinion on the standalone Ind AS financial statements and our report on Other Legaland Regulatory Requirements below is not modified in respect of these matters.

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 section 143(11) of the Act we givein the "Annexure I" a statement on the matters specified in paragraph 3 and 4 ofthe Order to the extent applicable.

2. As required by section 143(3) of the Act based on our audit we report to theextent applicable 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 including Other ComprehensiveIncome the Cash Flow Statement and Statement of Changes in Equity dealt with by thisReport are in agreement with the books of account.

d. In our opinion the aforesaid standalone Ind AS financial statements comply with theIndian Accounting Standards specified under Section 133 of the Act.

e. On the basis of written representations received from the directors as on 3istMarch 2018 taken on record by the Board of Directors none of the directors isdisqualified as on 3lst March 2018 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 II".

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 contracts including derivative contracts forwhich there were any material foreseeable losses.

iii. There were no amounts which were required to be transferred to the InvestorEducation and Protection Fund by the Company and

iv. The disclosures requirements relating to holdings as well as dealings in SpecifiedBank Notes were applicable for the period from 8th November 2016 to 30th December 2016which are not relevant to these standalone ind AS financial statements. Hence reportingunder this clause is not applicable.

Annexure I referred to in paragraph 1 under "Report on Other Legal and Regulatory

Requirements" of our report of even date

(i) The Company does not have any fixed asset and hence clause (i) is not applicable.

(ii) The Company does not have any Inventory and hence dause (li) is not applicable tothe Company.

(iri) The Company has not granted any loan secured or unsecured to any company firmsLimited Liability Partnership or other parties covered in the register maintained undersection 189 of the Act. Accordingly the provisions of clause (lii) (a) to (c) of theorder are not applicable to the company.

(iv) In our opinion and according to the Information and explanation given to us theCompany has complied with the provisions of section 185 and 186 of the Companies Act 2013in respect of loans investments guarantees and security

(v) The Company has not accepted any deposits from the public and hence the directivesissued by the Reserve Bank of India and the provisions of Sections 73 to 76 or any otherrelevant provisions of the Act and the Companies (Acceptance of Deposit) Rules 2015 withregard to the deposits accepted from the public are not applicable

(vi) As informed to us the maintenance of Cost Records has not been specified by theCentral Government under sub-section (1) of Section 148 of the Act in respect of theactivities carried on by the company.

(vii) (a) According to information and explanations given to us and on the basis of our

examination of the books of account and records the Company has been generallyregular in depositing undisputed statutory dues including Income-Tax Service Tax GSTCess and any other statutory dues with the appropriate authorities. According to theinformation and explanations given to us no undisputed amounts payable in respect of theabove were in arrears as at March 31 2018 for a period of more than six months from thedate on when they become payable;

(b) According to the information and explanation given to us there are no dues ofIncome Tax Service Tax GST and Cess outstanding on account of any dispute.

(vrii) According to the information and explanations given to us the Company has nottaken any loan either from financial institutions or from the government and has notissued any debentures. Hence the question of repayment of loan does not arise.

(ix) Based upon the audit procedures performed and the information and explanationsgiven by the management the company has not raised moneys by way of initial public offeror further public offer Including debt instruments and term Loans. Accordingly theprovisions of dause (ix) of the Order are not applicable to the Company and hence notcommented upon.

(x) Based upon the audit procedures performed and the information and explanationsgiven by the management we report that no fraud by the Company or on the company by itsofficers or employees has been noticed or reported during the year.

(xt) The Company has not paid or provided any managerial remuneration during the year.Accordingly provisions of section 197 read with Schedule v to the Companies Act 2013

(xil) In our opinion the Company is not a Nidhi Company Therefore the provisions ofclause (xii) of the Order are not applicable to the Company.

(xiii) In our opinion all transactions with the related parties are In compliance withsection 177 and 188 of Companies Act 2013 and the details have been disclosed in theFinancial Statements as required by the applicable Ind AS.

(xlv) Based upon the audit procedures performed and the Information and explanationsgiven by the management the company has not made any preferential allotment or privateplacement of shares or fully or partly convertible debentures during the year underreview. Accordingly the provisions of dause (xiv) of the Order are not applicable to theCompany and hence not commented upon.

(xv) Based upon the audit procedures performed and the Information and explanationsgiven by the management the company has not entered into any non-cash transactions withdirectors or persons connected with him. Accordingly the provisions of clause (xv) of theOrder are not applicable to the Company and hence not commented upon.

(xvl) In our opinion the Company is not required to be registered under section 45 IAof the Reserve Bank of India Act 1934.

For N. S. She tty & Co.

Chartered Accountants

Firn^ s Registration No: 110101W

Annexure II referred to In paragraph 2 under "Report on Other Legal and RegulatoryRequirements" 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 fntemal financial controls over financial reporting of TIVOLICONSTRUCTION LIMITED ("the Company") as of March 31 2018 in conjunction withour audit of the standalone Ind AS 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 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 (ICAI). These responsibilitiesinclude the design implementation and maintenance of adequate internal financial controlsthat were operating effectively for ensuring the orderly and efficient conduct of itsbusiness including adherence to company's polides the safeguarding of its assets theprevention and detection of frauds and errors the accuracy and completeness of theaccounting records and the timely preparation of reliable financial information asrequired 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 fndudedobtaining an understanding of internal financial controls over financial reportingassessing the risk that a material weakness exists and testfng and evaluating the designand operating effectiveness of interna) 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 indudes those polities and procedures that (l) 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 authorisations ofmanagement and directors of the company; and (3) provide reasonable assurance regardingprevention or timely detection of unauthorised 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 2018 based on theinternal control over financial reporting criteria established by the Company consideringthe essential components of internal control stated in the Guidance Note on Audit ofInternal Financial Controls Over Financial Reporting Issued by the institute of CharteredAccountants of India.

For N. S. Shetty & Co.

Chartered Accountants Firrns Registration No: 110101W