Mar 31, 2015
We have audited the accompanying standalone financial statements of VIBRANT GLOBAL CAPITAL LIMITED("the Company"), which comprise the Balance Sheet as at 31st March, 2015. the Statement of Profit and Loss, the Cash Flow Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.
II. Management's Responsibility for the Standalone Financial Statements
The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act. 2013 ("the Act") with respect to the preparation of these standalone financial statements that give a true and fair view of the financial position, financial performance and cash flows of the company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate implementation and maintenance of adequate internal financial controls, relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
III. Auditor's Responsibility
Our responsibility is to express an opinion on these standalone financial statements based on our audit.
We have taken into account the provisions of the Act. the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company's preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company's Directors, as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
In our opinion and to the best of our information and according to the explanations given to us. the aforesaid standalone financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India.
a) in the case of Balance Sheet, of the state of affairs of the Company as at 31st March, 2015,
b) in the case of the Statement of Profit and Loss, of the profit of the Company for the year ended on that date and
c) in the case of Cash Flow Statement, of the cash flows of the Company for the year ended on that date.
V. 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 the terms of sub-section (11) of section 143 of the Companies Act 2013. we give in the Annexure a statement on the matters specified in 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 best of 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 the Company 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 Statement dealt with by this Report are in agreement with the books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards 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 31st March, 2015 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2015 from being appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the other matters to be included in the Auditor'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 the explanations given to us:
i. The Company does not have any pending litigations which would impact its financial position.
ii. The Company has made provision, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long-term contracts including derivative contracts - Refer Note 1(h) to the financial statements;
iii. There was no amount, required to be transferred, to the Investor Education and Protection Fund by the Company.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph V (1) of our Report of even date on the Accounts for the year ended 31st March, 2015 of Vibrant Global Capital Ltd)
(i) (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) As per information and explanations given to us these assets have been physically verified by the management at reasonable intervals. No material discrepancies were noticed on such verification.
(ii) (a) The inventory of shares has been physically verified through de-mat statement during the year as confirmed by the management In our opinion, the frequency of verification is reasonable.
(b) The procedures of physical verification of inventories followed by the management are reasonable and adequate in relation to the size of the company and the nature of its business.
(c) The Company is maintaining proper records of inventory. There was no discrepancy between the stock as per book records and de-mat statement.
(iii) (a) According to the information and explanations given to us, we are of the opinion that, apart from the opening balance,during the year the Company has granted unsecured loan amounting to Rs. 1518.50 lakhs (P.Y. Rs.612 lakhs) to two parries covered in the register maintained under section 189 of the Companies Act,2013.The maximum amount involved during the year was Rs. 1096.50 lakhs (P.Y. Rs.1381 Lakhs) and year end balance from such company is Rs. 925.28 lakhs (P.Y. Rs. 865 lakhs).
(b) As informed to us, there is no formal agreement in respect of the loans granted and accordingly we are unable to comment on the receipt of interest and repayment status of such loan.
(c) In view of our comment in (b) above, we are unable to comment on overdue status.
(iv) In our opinion and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventory and fixed assets and sales of goods and services. During the course of our audit, we have not observed any continuing failure to correct major weaknesses in internal controls.
(V) The Company has not accepted any deposit from public. In our opinion, and according to the information and explanations given to us, the Company has complied with the provisions of Section 73 to 76 or other relevant provisions of the Act, the rules framed there under and the directives issued by Reserve Bank of India. There have been no proceedings before the Company Law Board or National Company Law Tribunal (as applicable) or Reserve Bank of India or any other Tribunal in this matter and no order has been passed by any of the aforesaid authorities.
(vi) Central Government has not prescribed maintenance of cost records under clause (d) of subsection (1) of section 148 of the Companies Act, 2013 in respect of products of the Company and hence no comments are warranted in respect of those.
(vii)(a) As informed, the Company does not come under the purview of the Provident Fund Act and Employees State Insurance Act. According to the records of the Company, no undisputed amounts payable in respect of Income Tax, sales tax, wealth tax, service tax custom duty, excise duty, Value Added Tax cess and other material statutory dues applicable to it are outstanding as at 31st March, 2015 for a period of more than six months from the date they become payable.
(b) According to the information and explanation given to us, there are no dues of sales tax, income tax, service Tax, customs duty, wealth tax, excise duty, Value Added Tax and cess which have not been deposited on account of any dispute.
(c) As per the information and explanations given to us no amount was due to be transferred to Investors Education and Protection Fund .
(viii); The Company does not have any accumulated losses. Company has not incurred cash losses during the financial year covered by our audit but incurred cash losses of Rs.57,57,350/- in the immediately preceding financial year.
(ix) In our opinion and according to the information and explanations given to us, the company has not defaulted in repayment of dues to a financial institution or bank. The Company has not issued any debenture.
(x) The Company has nor given any guarantee for loans taken by others from Bank or Financial Institutions. Accordingly provisions of clause (x) of the Companies (Auditor's Report) Order, 2015 are nor applicable to the Company.
(xi) During the year the Company has not availed any term loan and accordingly provisions of Clause (xi) of the Companies (Auditor's Report) Order, 2015 are not applicable to it.
(xii) According to the information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year under audit.
FOR GUPTA SARDA & BAGDIA CHARTERED ACCOUNTANTS
(P.C. SARDA) PARTNER M.NO. 35245 Firm Registration No.l03447V PLACE ; MUMBAI DATED:- 30.05.2015