THE MEMBERS OF
VMV HOLIDAYS LIMITED
Report on the Financial Statements
We have audited the accompanying financial statements of VMV HOLIDAYS LIMITED("the company") which comprises the Balance Sheet as at 31st March2017 the Statement of Profit and Loss for the year ended 31st March 2017and a summary of significant accounting policies and other explanatory information.
Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters stated in section134(5) of the Companies Act 2013 with respect to the preparation of these financialstatements that give a true and fair view of the financial position financial performanceincluding cash flows of the company in accordance with the accounting principles generallyaccepted in India including the Accounting Standards specified under Section 133 of theAct read with Rule 7 of the Companies (Accounts) Rules 2014. This responsibility alsoincludes the maintenance of adequate accounting records in accordance with the provisionof the Act for safeguarding of the assets of the Company and for preventing and detectingthe frauds and other irregularities; selection and application of appropriate accountingpolicies; making judgments and estimates that are reasonable and prudent; and designimplementation and maintenance of adequate internal financial control that were operatingeffectively for ensuring the accuracy and completeness of the accounting records relevantto the preparation and presentation of the financial statements that give a true and fairview and are free from material misstatement whether due to fraud or error.
Our responsibility is to express an opinion on these financial statements based on ouraudit We have taken into account the provisions of the Act the accounting and auditingstandards and matters which are required to be included in the audit report under theprovisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified undersection 143(10) of the Act. Those Standards require that we comply with ethicalrequirements and plan and perform the audit to obtain reasonable assurance about whetherthe financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts anddisclosures in the financial statements. The procedures selected depend on the auditor'sjudgment including the assessment of the risks of material misstatement of the financialstatements whether due to fraud or error. In making those risk assessments the auditorconsiders internal financial control relevant to the Company's preparation of thefinancial statements that give true and fair view in order to design audit proceduresthat are appropriate in the circumstances but not for the purpose of expressing anopinion on whether the Company has in place an adequate internal financial controls systemover financial reporting such and operating effectiveness of controls. An audit alsoincludes evaluating the appropriateness of accounting policies used and the reasonablenessof the accounting estimates made by Company's Directors as well as evaluating the overallpresentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate toprovide a basis for our audit opinion on the financial statements.
In our opinion and to the best of our information and according to the explanationsgiven to us the aforesaid financial statements give the information required by the Actin the manner so required and give a true and fair view in conformity with the accountingprinciples generally accepted in India
(a) In the case of Balance Sheet of the state of affairs of the Company as at 31stMarch 2017
(b) In the case of the statement of profit and loss of the Profit for the year ended onthat date and its cash flows for the year ended on that date.
Emphasis of Matter
Confirmation of Debtors Creditors and Loans & Advances has not been fullyobtained. Our opinion is not qualified in this matter.
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 Act we give in "Annexure A" a statement on the mattes specified inparagraph 3 and 4 of the order.
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 statement of Cash flowsdealt 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 written representations received from the directors as on 31 March2017 taken on record by the Board of Directors none of the directors is disqualified ason 31 March 2017 from being appointed as a director in terms of Section 164(2) of theAct.
f) With respect to the adequacy of the internal financial controls over financialreporting and the operating effectiveness of such controls refer to our report in"Annexure B" and
g) In our opinion and to the best of our information and according to the explanationsgiven to us we report as under with respect to other matters to be included in theAuditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules2014:
i. The Company does not have any pending litigations which would impact its financialposition.
ii. The Company has made provision as required under the applicable law or accountingstandards for material foreseeable losses if any on long term contracts includingderivative contracts.
iii. There were no amounts which required to be transferred by the Company to theInvestor Education and Protection Fund.
iv. The company has provided requisite disclosures in the financial statements asregards its holding and dealings in specified bank notes as defined in the notificationS.O. 3407(E) dated 8th Nov 2016 of the Ministry of Finance during the periodfrom 8th No 2016 to 30th Dec 2016. Based on audit proceduresperformed and the representations provided to us by the management we report that thedisclosures are in accordance with the books of account maintained by the Company andproduced to us by the management.
For Bandyopadhyay & Dutt
(Firm's Registration No. : 325116E)
P K Bandyopadhyay
Membership No.: 055658
ANNEXURE-A TO THE INDEPENDENT AUDITOR'S REPORT
(Referred to in paragraph 1 under Report on other Legal and RegulatoryRequirement' sections of our report of even date)
i) a) The Company has maintained proper records showing full particulars includingquantitative details and situation of property plant and equipment.
b) Fixed assets have been physically verified by the Management at reasonableintervals. According to the information and explanation given to us no materialdiscrepancies were noticed on such verification. In our opinion this periodicity ofphysical verification is reasonable having regard to the size of the Company and thenature of its assets.
c) According to the information and explanations given to us and on the basis of ourexamination of the records of the Company the company does not hold any immovableproperties.
ii) The Company is a service company primarily rendering tour operating services.Accordingly it does not hold any physical inventories. Thus paragraph 3(ii) of the Orderis not applicable to the Company.
iii) As per the information and explanation given to us the company has not grantedany loans secured or unsecured to Companies firms Limited Liability Partnership orother parties covered in the register maintained under section 189 of the Companies Act2013. Therefore sub-clause (a) (b) and (c) of clause (iii) of Paragraph 3 of the orderare not applicable to the Company.
iv) In our opinion and according to the information and explanations given to us theCompany has complied with the provisions of section 185 and 186 of the Act with respectto the loans and investments made.
v) The Company has not accepted any deposit from the public as stipulated under theprovisions of section 73 to 76 or any other relevant provisions of the Companies Act 2013and the Rules framed there under and the directives issued by the Reserve Bank of India.
vi) The Central Government has not prescribed the maintenance of cost records undersection 148(1) of the Act for any of the business/services rendered by the Company.
vii) a) According to the information and explanations given to us and on the basis ofour examination of the records of the Company amounts deducted/ accrued in the books ofaccount in respect of undisputed statutory dues including provident fund income-taxsales tax value added tax duty of customs service tax cess and other materialstatutory dues have been regularly deposited during the year by the Company with theappropriate authorities.
According to the information and explanations given to us no undisputed amountspayable in respect of provident fund income tax sales tax value added tax duty ofcustoms service tax cess and other material statutory dues were in arrears as at 31March 2017 for a period of more than six months from the date they became payable.
b) According to the information and explanations given to us there are no materialstatutory dues of income tax or sales tax or service tax or duty of customs or duty ofexcise or value added tax which have not been deposited with the appropriate authoritieson account of any dispute.
viii) The Company does not have any loans or borrowings from any financial institutionbanks government or debenture holders during the year. Accordingly paragraph 3 (viii) ofthe Order is not applicable.
ix) The Company did not raise any money by way of further public offer (including debtinstruments) and term loans during the year. The money raised by way of initial publicoffer were applied for the purposes for which those are raised.
x) According to the information and explanations given to us no material fraud by theCompany or on the Company by its officers or employees has been noticed or reported duringthe course of our audit.
xi) According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has paid/provided for managerialremuneration in accordance with the requisite approvals mandated by the provisions ofsection 197 read with Schedule V to the Act.
xii) In our opinion and according to the information and explanations given to us theCompany is not a nidhi company. Accordingly paragraph 3 (xii) of the Order is notapplicable.
xiii) According to the information and explanations given to us and based on ourexamination of the records of the Company transactions with the related parties are incompliance with sections 177 and 188 of the Act where applicable and details of suchtransactions have been disclosed in the financial statements as required by the applicableaccounting standards.
xiv) According to the information and explanations give to us and based on ourexamination of the records of the Company the Company has not made any preferentialallotment or private placement of shares or fully or partly convertible debentures duringthe year.
xv) According to the information and explanations given to us and based on ourexamination of the records of the Company the Company has not entered into non-cashtransactions with directors or persons connected with him. Accordingly paragraph 3(xv) ofthe Order is not applicable.
xvi) The Company is not required to be registered under section 45-IA of the ReserveBank of India Act 1934.
| ||For BANDYOPADHYAY & DUTT |
| ||Chartered Accountants |
| ||[Firm Registration No.325116E) |
| ||Sd/- |
| ||Pronab Kr Bandyopadhyay |
| ||Partner |
|Kolkata ||[Membership no.055658) |
|Dated: 30/05/2017 || |
ANNEXURE 'B' TO THE INDEPENDENT AUDITOR'S REPORT
(Referred to in paragraph 2 (f) under 'Report on Other Legal and Regulatoryrequirements' section of our report of even date)
Report on the Internal Financial controls Over Financial reporting under Clause (i) ofSub-section 3 of Section 143 of the companies Act 2013('the Act')
We have audited the internal financial controls over financial reporting of VMVHOLIDAYS LIMITED ('the company') as of March 31 2017 in conjunction with our audit of thefinancial statements of the company for the year ended and as on that date.
Management's Responsibility for Internal Financial Controls
The company's management 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 the Audit of Internal Financial Controls Over Financial Reportingissued by the Institute of Chartered Accountants of India ('the Guidance Note'). Theseresponsibilities include the design implementation and maintenance of adequate internalfinancial controls that were operating effectively for ensuring the orderly and efficientconduct of its business including adherence to Company's policies the safeguards of itsassets the prevention and detection of frauds and errors the accuracy and completenessof the accounting records and the timely preparation of reliable financial informationas required under the Act 2013.
Our responsibility is to express an opinion on the company's internal financialcontrols over financial reporting based on our audit. We have conducted our audit inaccordance with the Standards on Auditing prescribed under Section 143(10) of the Act andthe Guidance Note to the extent applicable to an audit of internal financial controls.Those Standards and the Guidance Note require that we comply with the ethical requirementsand plan and perform the audit to obtain reasonable assurance about whether adequateinternal financial controls over financial reporting was established and if such controlsoperated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidences about the adequacyof the 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 judgment including assessment of the risk of materialmisstatement of the financial statements whether due to fraud or error.
We believe that the audit evidences 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 controls system over financial reporting is a processdesigned to provide reasonable assurance regarding the reliability of financial reportingand the preparation of financial statements for external purposes in accordance withgenerally accepted accountings principles. A Company's internal financial controls systemover financial reporting includes those policies and procedures that (1) pertain to themaintenance of records that in reasonable detail accurately and fairly the transactionsand dispositions of the assets of the company; (2) provide reasonable assurance thattransactions are recorded as necessary to permit preparation of financial statements inaccordance with authorizations of management and directors of the company; and (3) providereasonable assurance regarding prevention or timely detection of unauthorized acquisitionuse or disposition of the company's assets that could have a material effect on thefinancial 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. Alsoprojections of any evaluation of the internal financial controls over financial reportingto future periods are subject to the risk that the internal financial controls overfinancial reporting may become inadequate because of changes in conditions or that thedegree of compliance with the policies or procedures may deteriorate.
In our opinion to the best of our information and according to the explanations givento us the Company has in all material respects an adequate internal financial controlssystem over financial reporting and such internal financial controls over financialreporting were operating effectively as at March 31 2017 based on the internal controlover financial reporting criteria established by the Company considering the essentialcomponents of internal control stated in the Guidance Note issued by the Institute ofChartered Accountants of India.
| ||For BANDYOPADHYAY & DUTT |
| ||Chartered Accountants |
| ||[Firm Registration No.325116E) |
| ||Sd/- |
| ||Pronab Kr Bandyopadhyay |
| ||Partner |
|Kolkata || |
|Dated: 30/05/2017 ||[Membership no.055658) |