Mar 31, 2018
TO THE MEMBERS
RDB REALTY & INFRASTRUCTURE LIMITED
We have audited the accompanying standalone Ind AS financial statements (herein referred to as financial statement in this report) of RDB REALTY & INFRASTRUCTURE LIMITED, which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit & Loss, Cash Flow Statement and the Statement of Changes in Equity for the year then ended, for the year ended, and also 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 Section 134(5) of the Companies Act, 2013 (âthe Actâ) with respect to the preparation of these Ind AS financial statements that give a true and fair view of the financial position, financial performance including other comprehensive income, cash flows and changes in equity of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Act read with relevant rules issued thereunder.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; the selection and application of appropriate accounting policies; making judgments and the estimates that are reasonable and prudent; and the design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the Ind AS financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
Auditor''s Responsibility
Our responsibility is to express an opinion on these Ind AS 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 Ind AS financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the Ind AS financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the Ind AS 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 Ind AS 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 Ind AS 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 Ind AS financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid Ind AS 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 including the Ind AS, of the state of affairs of the Company as at 31st March, 2018, and its profit, its cash flows and its statements of changes in equity for the year ended on that date.
Emphasis of Matter
We draw attention to the following matter in the Notes to the following Ind AS financial statements:
a) Note 36 (a) to the Ind AS financial statements which describes the uncertainty regarding corporate guarantee given by company to other company, for securing a term loan for subsidiary company. Our opinion is not qualified on this matter
b) Note 36 (c) to the Ind AS financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Appellate tribunal of Income Tax. Our opinion is not qualified on this matter.
c) Note 36 (d) & (e) to the Ind AS financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Commissioner (Appeal) of Income Tax. Our opinion is not qualified on this matter.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditor''s Report) Order, 2016 (âthe Orderâ) issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act, and on the basis of such checks of the books and records as we considered appropriate and according to the information and explanations given to us, we set out a statement on the matters specified in the paragraph 3 and 4 of the Order, to the extent applicable.
1. a) The company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets.
b) As explained to us Fixed Assets of the company are physically verified by the management according to a phased programme designed to cover all the items which considering the size and nature of operations of the company appears to be reasonable. Pursuant to such program, no material discrepancies between book records and physical inventory have been noticed on physical verification.
c) The title deeds of immovable properties are held in the name of the company.
2. a) The inventory has been physically verified by the smanagement at regular intervals. In respect of inventory lying with third parties, these have substantially been confirmed by them.
b) In our opinion and according to the information''s and explanations given to us, 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) On the basis of our examinations of records of the inventory, in our opinion, the company is maintaining proper records of inventory except in respect of work-in-progress. As in earlier years, work-in-progress has been determined by the management on the basis of physical verification. The discrepancies ascertained on physical verification between the physical stock and the book records of inventory were not material in relation to the operations of the Company.
3. The company has not granted loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act 2013. Hence clause is not applicable.
4. According to the records of the company examined by us and according to the information and explanations neither given to us, in our opinion the company has given any guarantees or security nor has made any investments nor given a loan covered under the provisions of section 185 and 186 of the Companies Act, 2013.
5. The company has not accepted deposits and the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act 2013 and the rules framed there under are not applicable.
6. The rules regarding maintenance of cost records which have been specified by the central government under subsection (1) of section 148 of the Companies Act, 2013 are not applicable to the Company.
7. a) The company is regular in depositing undisputed statutory dues including provident fund, employees'' state insurance, income-tax, sales-tax, service tax, duty of customs, duty of excise, value added tax, goods and service tax, cess and any other statutory dues with the appropriate authorities and there is no arrears of outstanding statutory dues as at the last day of the financial year concerned for a period of more than six months from the date they became payable.
b) According to the records of the company examined by us and according to information and explanations given to us, there are no dues in respect of income tax, sales tax, wealth tax, service tax, duty of customs, duty of excise, value added tax or cess which have not been deposited on account of any dispute except as stated below:
Nature of Statute |
Nature of Dues |
Amount (Rs in Lacs) |
Period |
Forum where pending |
Income Tax Act, 1961 |
In come Tax |
174.28 |
2010-11 |
Appbllate Tribunal (Income Tax) |
Income Tax Act, 1961 |
In come Tax |
103.66 |
2011-12 |
Commissioner Appeal (Income Tax) |
Income Tax Act, 1961 |
In come Tax |
102.36 |
2012-13 |
Commissioner Appeal (Income Tax |
8. According to the records of the Company examined by us and the information and explanations given to us, the Company has neither defaulted in repayment of loans or borrowing to any financial institution, bank and government nor has it any outstanding debenture; hence the clause is not applicable.
9. In our opinion, and according to the information''s and explanations given to us, there was no money raised by way of initial public offer or further public offer (including debt instruments) and the term loan has been applied, on an overall basis, for the purpose for which they were obtained.
10. According to the information and explanations given to us, we report that neither any fraud by the company nor on the company by its officers / employees has been noticed or reported during the year.
11. As examined by us, the company has paid remuneration to managerial personnel during the period in accordance with the requisite approval mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.
12. The company is not a nidhi company. Hence clause is not applicable.
13. According to the information and explanations given to us, we are of the opinion that all the transactions with the related parties are in compliance with sections 177 and 188 of Companies Act, 2013 and the details have been disclosed in the Ind AS financial statements etc., as required by the applicable accounting standards.
14. According to the information and explanations given to us, we report that the company has neither made any preferential allotment or private placement of shares nor fully or partly convertible debentures during the year under review. Hence clause is not applicable.
15. According to the information and explanations given to us, we report that the company has not entered into any noncash transactions with directors or persons connected with them. Hence clause is not applicable.
16. According to the information and explanations given to us, we report that company is not required to be registered u/s 45-IA of Reserve Bank of India Act, 1934.
Report on Other Legal and Regulatory Requirements
As required by Section 143 (3) of the Act, we report that:
1. 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.
2. 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.
3. The Balance Sheet, the Statement of Profit and Loss, the Cash Flow Statement and the statement of charges in equity dealt with by this Report are in agreement with the books of account.
4. In our opinion, the aforesaid financial statements comply with the Ind AS specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
5. On the basis of the written representations received from the directors as on 31st March, 2018 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2018 from being appointed as a director in terms of Section 164 (2) of the Act.
6. With respect to the adequacy of the internal financial controls over financials reporting of the company and the operating effectiveness of such controls, refer to our separate report in Annexure A.
7. 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:
a) I) Note 36 (c) to the Ind AS financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Appellate tribunal of Income Tax. Our opinion is not qualified on this matter
ii) Note 36 (d)&(e) to the Ind AS financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Commissioner (Appeal) of Income Tax. Our opinion is not qualified on this matter.
b) The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.
c) There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013
We have audited the internal financial controls over financial reporting of RDB REALTY & INFRASTRUCTURE LIMITED as of 31st March, 2018 in conjunction with our audit of the Ind AS financial statements of the Company for the year ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. 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.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that
I) Pertains to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company.
II) Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company.
III) Provide reasonable assurance regarding prevention or timely detection of unauthorised acquisition, use, or disposition of the company''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 financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31st March, 2018, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For S. M. Daga & Co.
Chartered Accountants
Firm Registration No. 3031 19E
Deepak Kumar Daga
(Partner)
Membership No. 059205
Place: 1 1, Clive Row , Kolkata - 700 001
Date: 30th May , 2018
Mar 31, 2016
INDEPENDENT AUDITOR''S REPORT
TO THE MEMBERS OF RDB REALTY & INFRASTRUCTURE LIMITED
We have audited the accompanying standalone financial statements of RDB REALTY & INFRASTRUCTURE LIMITED, which comprise the Balance Sheet as at 31st March, 2016, the Statement of Profit & Loss and Cash Flow Statement for the year ended, and also a summary of significant accounting policies and other explanatory information.
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 the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, 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.
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, but not for the purpose of expressing an opinion on whether the Company has in place an adequate internal financial controls system over financial reporting and the operating effectiveness of such controls. 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 financial statements.
Opinion
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, of the state of affairs of the Company as at 31st March, 2016, and its profit and its cash flows for the year ended on that date.
Emphasis of Matter
We draw attention to the following matter in the Notes to the following financial statements:
a) Note 34 (b) to the standalone financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Appellate tribunal of Income Tax. Our opinion is not qualified on this matter.
b) Note 34 (c) & (d) to the standalone financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Commissioner (Appeal) of Income Tax. Our opinion is not qualified on this matter.
c) Note 35 to the standalone financial statements which, describes the uncertainty related to the recovery of amount of sub-contractor in the matter of revocation of bank guarantee by contractor. Our opinion is not qualified on this matter.
Report on Other Legal and Regulatory Requirements
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 of the Act, and on the basis of such checks of the books and records as we considered appropriate and according to the information and explanations given to us, we set out a statement on the matters specified in the paragraph 3 and 4 of the Order, to the extent applicable.
1. a) The company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets.
b) As explained to us Fixed Assets of the company are physically verified by the management according to a phased programme designed to cover all the items which considering the size and nature of operations of the company appears to be reasonable. Pursuant to such program, no material discrepancies between book records and physical inventory have been noticed on physical verification.
c) The title deeds of immovable properties are held in the name of the company.
2. a) The inventory has been physically verified by the management at regular intervals. In respect of inventory lying with third parties, these have substantially been confirmed by them.
b) In our opinion and according to the information''s and explanations given to us, 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) On the basis of our examinations of records of the inventory, in our opinion, the company is maintaining proper records of inventory except in respect of work-in-progress. As in earlier years, work-in-progress has been determined by the management on the basis of physical verification. The discrepancies ascertained on physical verification between the physical stock and the book records of inventory were not material in relation to the operations of the Company.
3. The company has not granted loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act 2013. Hence clause is not applicable.
4. According to the records of the company examined by us and according to the information and explanations given to us, in our opinion the company has neither given any guarantees or security nor has made any investments nor given a loan covered under the provisions of section 185 and 186 of the Companies Act, 2013.
5. The company has not accepted deposits and the directives issued by the Reserve Bank of India and the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act 2013 and the rules framed there under are not applicable.
6. The rules regarding maintenance of cost records which have been specified by the central government under sub-section (1) of section 148 of the Companies Act, 2013 are not applicable to the Company.
7. a) The company is regular in depositing undisputed statutory dues including provident fund, employees'' state insurance, income-tax, sales-tax, service tax, duty of customs, duty of excise, value added tax, cess and any other statutory dues with the appropriate authorities and there is no arrears of outstanding statutory dues as at the last day of the financial year concerned for a period of more than six months from the date they became payable.
b) According to the records of the company examined by us and according to information and explanations given to us, there are no dues in respect of income tax, sales tax, wealth tax, service tax, duty of customs, duty of excise, value added tax or cess which have not been deposited on account of any dispute except as stated below
Nature of Statute |
Nature of Dues |
Amount (Rs in Lacs) |
Period |
Forum where pending |
Income Tax Act, 1961 |
Income Tax |
174.28 |
2010-11 |
Appellate Tribunal (Income Tax) |
Income Tax Act, 1961 |
Income Tax |
103.66 |
2011-12 |
Commissioner Appeal (Income Tax) |
Income Tax Act, 1961 |
Income Tax |
102.36 |
2012-13 |
Commissioner Appeal (Income Tax |
8. According to the records of the Company examined by us and the information and explanations given to us, the Company has neither defaulted in repayment of loans or borrowing to any financial institution, bank and government nor has it any outstanding debenture; hence the clause is not applicable.
9. In our opinion, and according to the information''s and explanations given to us, there was no money raised by way of initial public offer or further public offer (including debt instruments) and the term loan has been applied, on an overall basis, for the purpose for which they were obtained.
10. According to the information and explanations given to us, we report that neither any fraud by the company nor on the company by its officers / employees has been noticed or reported during the year.
11. As examined by us, the company has paid remuneration to managerial personnel during the period in accordance with the requisite approval mandated by the provisions of section 197 read with Schedule V to the Companies Act, 2013.
12.)The company is not a nidhi company. Hence clause is not applicable.
13.)According to the information and explanations given to us, we are of the opinion that all the transactions with the related parties are in compliance with sections 177 and 188 of Companies Act, 2013 and the details have been disclosed in the financial statements etc., as required by the applicable accounting standards.
14.)According to the information and explanations given to us, we report that the company has neither made any preferential allotment or private placement of shares nor fully or partly convertible debentures during the year under review. Hence clause is not applicable.
15.)According to the information and explanations given to us, we report that the company has not entered into any non-cash transactions with directors or persons connected with them. Hence clause is not applicable.
16.)According to the information and explanations given to us, we report that company is not required to be registered u/s 45-IA of Reserve Bank of India Act, 1934.
Report on Other Legal and Regulatory Requirements
As required by Section 143 (3) of the Act, we report that:
1. 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.
2. 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.
3. 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.
4. In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
5. On the basis of the written representations received from the directors as on 31st March, 2016 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2016 from being appointed as a director in terms of Section 164 (2) of the Act.
6. 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:
(a) (I) Note 34 (b) to the standalone financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Appellate tribunal of Income Tax. Our opinion is not qualified on this matter
(ii) Note 34 (c)&(d) to the standalone financial statements which, describes the uncertainty related to the outcome of pending dispute in the matter of Income Tax against Commissioner (Appeal) of Income Tax. Our opinion is not qualified on this matter.
(iii) Note 35 to the standalone financial statements which, describes the uncertainty related to the recovery of amount of sub-contractor in the matter of revocation of bank guarantee by contractor. Our opinion is not qualified on this matter.
(b) The Company did not have any long term contracts including derivative contracts for which there were any material foreseeable losses.
(c) There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013
We have audited the internal financial controls over financial reporting of RDB REALTY & INFRASTRUCTURE LIMITED as of 31st March 2016 in conjunction with our audit of the financial statements of the Company for the year ended on that date.
Management''s Responsibility for Internal Financial Controls
The Company''s management is responsible for establishing and maintaining internal financial controls based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered Accountants of India. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company''s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors'' Responsibility
Our responsibility is to express an opinion on the Company''s internal financial controls over financial reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls over Financial Reporting and the Standards on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls over financial reporting was established and maintained and if such controls operated effectively in all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls system over financial reporting and their operating effectiveness. Our audit of internal financial controls over financial reporting included obtaining an understanding of internal financial controls over financial reporting, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. 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.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company''s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A company''s internal financial control over financial reporting is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company''s internal financial control over financial reporting includes those policies and procedures that
(I) Pertains to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company.
(II) Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorizations of management and directors of the company.
(III) Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the company''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 financial reporting, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects, an adequate internal financial controls system over financial reporting and such internal financial controls over financial reporting were operating effectively as at 31 March 2016, based on the internal control over financial reporting criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India.
For S. M. Daga & Co.
Chartered Accountants
Firm Registration No. 303119E
Deepak Kumar Daga (Partner)
Membership No. 059205
Place: 11, Clive Row, Kolkata - 700 001.
Date: 30th May,2016.
Mar 31, 2015
We have audited the accompanying standalone financial statements of RDB
REALTY & INFRASTRUCTURE LIMITED, which comprise the Balance Sheet as at
March 31,2015, the Statement of Profit & Loss and Cash Flow Statement
for the year ended, and also a summary of significant accounting
policies and other explanatory information.
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 the assets of the
Company and for preventing and detecting frauds and other
irregularities; selection and application of appropriate accounting
policies; making judgements and estimates that are reasonable and
prudent; and design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for
ensuring the accuracy and completeness of the accounting records,
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.
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 judgement, 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, but not for the purpose of expressing
an opinion on whether the Company has in place an adequate internal
financial controls system over financial reporting and the operating
effectiveness of such controls. 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 financial
statements.
Opinion
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, of the state of affairs of the Company as
at 31st March, 2015, and its profit and its cash flows for the year
ended on that date.
Emphasis of Matter
We draw attention to the following matter in the Notes to the following
financial statements:
a) Note 36 (b) to the standalone financial statements which, describes
the uncertainty related to the outcome of pending dispute in the matter
of Income Tax against Commissioner (Appeal) of Income Tax. Our opinion
is not qualified on this matter.
b) Note 37 to the standalone financial statements which, describes the
uncertainty related to the recovery of amount of sub- contractor in the
matter of revocation of bank guarantee by contractor. Our opinion is
not qualified on this matter.
c) Note 38 to the standalone financial statements, regarding change in
the method of depreciation from Written Down Value Method to Straight
Value Method. Our opinion is not qualified on this matter.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditor's Report) Order, 2015 ("the
Order") issued by the Central Government of India in terms of sub-
section (11) of section 143 of the Act, and on the basis of such checks
of the books and records as we considered appropriate and according to
the information and explanations given to us, we set out a statement on
the matters specified in the paragraph 3 and 4 of the Order, to the
extent applicable.
1. a) The company is maintaining proper records showing full
particulars, including quantitative details and situation of fixed
assets.
b) As explained to us Fixed Assets of the company are physically
verified by the management according to a phased programme designed to
cover all the items which considering the size and nature of operations
of the company appears to be reasonable. Pursuant to such program, no
material discrepancies between book records and physical inventory have
been noticed on physical verification.
2. a) The inventory has been physically verified by the management at
regular intervals.
b) In our opinion and according to the information and explanations
given to us, 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) On the basis of our examinations of records of the inventory, in our
opinion, the company is maintaining proper records of inventory except
in respect of work-in-progress. As in earlier years, work-in-progress
has been determined by the management on the basis of physical
verification. The discrepancies ascertained on physical verification
between the physical stock and the book records of inventory were not
material in relation to the operations of the Company.
3. a) The company has granted unsecured loans to parties covered in the
register maintained under section 189 of the Companies Act, 2013.
b) The receipt of the principal amount and interest are regular.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control systems commensurate
with the size of the company and nature of its business, for the
purchase of inventory and fixed assets and for the sale of goods and
services. Further, on the basis of our examination of the books and
records of the company and according to the information and
explanations given to us, no major weakness in internal control have
been noticed or reported.
5. The company has not accepted deposits and the directives issued by
the Reserve Bank of India and the provisions of sections 73 to 76 or
any other relevant provisions of the Companies Act 2013 and the rules
framed there under are not applicable.
6. As per the Companies (Cost Records & Audit) Amendment Rules, 2014
dated 31st December, 2014 the products of the Company do not fall under
any of the Central Excise Tariff Act, 1985 heading which are covered
for applicability of the above rules. Hence maintenance of Cost Records
and Cost Audit is not applicable to the Company.
7. a) The company is regular in depositing undisputed statutory dues
including provident fund, employees' state insurance, income-tax,
sales-tax, service tax, duty of customs, duty of excise, value added
tax, cess and any other statutory dues with the appropriate authorities
and there is no arrears of outstanding statutory dues as at the last
day of the financial year concerned for a period of more than six
months from the date they became payable. b) According to the records
of the company examined by us and according to information and
explanations given to us, there are no dues in respect of income tax,
sales tax, wealth tax, service tax, duty of customs, duty of excise,
value added tax or cess which have not been deposited on account of any
dispute except as stated below:
Nature of
Statute Nature of Dues Amount Period Forum where pending
(Rs in Lacs)
Income Tax
Act, 1961 Income Tax 174.28 2010-11 Commissioner Appeal
(Income Tax)
Income Tax
Act, 1961 Income Tax 103.66 2011-12 Commissioner Appeal
(Income Tax)
c) There was no amount required to be transferred to Investor education
and protection fund in accordance with the relevant provisions of the
companies Act, 1956 (1 of 1956) and rules made there under.
8. The Company does not have accumulated losses in the current
financial year. Further, neither there was any cash loss in the
financial year under review nor in the immediately preceding financial
year.
9. As per the books and records examined by us and according to the
information and explanations given to us, in our opinion, the company
has not defaulted in repayment of dues to financial institutions or
banks or debenture holders.
10. The Company has not given any guarantee for the loans taken by
others from banks or financial institutions during the year.
11. In our opinion, and according to the informations and explanations
given to us, the term loan has been applied, on an overall basis, for
the purpose for which they were obtained.
12. During the course of our examination of the books and records of
the company carried out in accordance with the generally accepted
auditing practices in India and according to the informations and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of any such case by the management.
Report on Other Legal and Regulatory Requirements
As required by Section 143 (3) of the Act, we report that:
1. 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.
2. 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.
3. 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.
4. Subject to note 38, regarding change in method of accounting of
depreciation from WDM to SLM. In our opinion, the aforesaid financial
statements comply with the Accounting Standards specified under Section
133 of the Act, read with Rule 7 of the Companies (Accounts) Rules,
2014.
5. 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.
6. 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:
(a) (i) Note 36 (b) to the standalone financial statements which,
describes the uncertainty related to the outcome of pending dispute in
the matter of Income Tax against Commissioner (Appeal) of Income Tax.
Our opinion is not qualified on this matter.
(ii) Note 37 to the standalone financial statements which, describes
the uncertainty related to the recovery of amount of sub- contractor in
the matter of revocation of bank guarantee by contractor. Our opinion
is not qualified on this matter.
(b) The Company did not have any long term contracts including
derivative contracts for which there were any material foreseeable
losses.
(c) There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
For S. M. Daga & Co.
Chartered Accountants
Firm Registration No. 303119E
Deepak Kumar Daga
(Partner)
Membership No. 059205
Place: 11, Clive Row, Kolkata - 700 001.
Date: 28th Day Of May, 2015
Mar 31, 2014
We have audited the accompanying financial statements of RDB REALTY &
INFRASTRUCTURE LIMITED, which comprise the Balance Sheet as at March
31,2014, the Statement of Profit & Loss and Cash Flow Statement for the
year ended, and also a summary of significant accounting policies and
other explanatory information.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance of the Company in accordance with the Accounting
Standards under the Companies Act, 1956 ("the Act") read with General
Circular 15/2013 dated 13th September 2013 of the Ministry of Corporate
Affairs in respect of Section 133 of the Companies Act, 2013. This
responsibility includes the design, implementation and maintenance of
internal control 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.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. 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 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 control relevant to the Company's preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, 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.
Opinion
We report that, in our opinion and to the best of our information and
according to the explanations given to us, the said financial
statements read with notes give the information required by the
Companies Act, 1956 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 the Balance Sheet, of the state of affairs of the
company as at 31st March 2014;
b) In the case of the Statement of Profit & Loss, of the profit for the
year ended 31 st March 2014; and
c) In the case of the Cash Flow Statement, of the cash flows for the
year ended 31 st March 2014. Report on Other Legal and Regulatory
Requirements
As required by the Companies (Auditors' Report) Order, 2003, issued by
the Government of India in terms of sub-section (4A) of section 227 of
the Companies Act, 1956 of India (the 'Act') and on the basis of such
checks of the books and records as we considered appropriate and
according to the information and explanations given to us, we set out a
statement on the matters specified in paragraphs 4 and 5 of the said
order.
1. a The company is maintaining proper records showing full particulars
including quantitative details and situation of fixed assets.
b. In our opinion and as explained to us, the fixed assets have been
physically verified by the management at reasonable intervals. No
material discrepancies were noticed on such verification.
c. In our opinion and according to the information and explanations
given to us, a substantial part of fixed assets has not been disposed
off by the company during the year.
2. a. The inventory of the company has been physically verified by the
management at regular intervals. In respect of inventory lying with
third parties, these have substantially been confirmed by them.
b. In our opinion and according to the informations and explanations
given to us, 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. On the basis of our examinations of records of the inventory, in
our opinion, the company is maintaining proper records of inventory.
The discrepancies ascertained on physical verification between the
physical stock and the book records of inventory were not material in
relation to the operations of the Company.
3. a. The company has granted loan to Nine (9) parties covered in the
register maintained under section 301 of the Companies Act, 1956. The
maximum amount involved during the year was Rs. 38,41,22,413/- and the
year end balance was Rs. 13,62,44,350/-
b. In our opinion and according to the explanation given to us, the
rate of interest and other terms and conditions are not prima facie
prejudicial to the interest of the Company.
c. The receipt of the principal amount and interest are regular.
d. The Company has taken unsecured loan from two (2) parties covered
in the register maintained under section 301 of the Companies Act 1956.
The maximum amount involved during the year was Rs. 15,78,78,514/- and
the yea rend balance was Rs. NIL.
e. In our opinion and according to the explanation given to us, the
rate of interest and other terms and conditions are not prima facie
prejudicial to the interest of the Company.
f. The Company has repaid the principal amount as stipulated and have
been regular in the repayment of interest.
4. In our opinion and according to the information and explanations
given to us, there are adequate internal control systems commensurate
with the size of the company and nature of its business, for the
purchase of inventory and fixed assets and for the sale of goods and
services. Further, on the basis of our examination of the books and
records of the company and according to the information and
explanations given to us, no major weakness in internal have been
noticed or reported.
5. a. In our opinion and according to information and explanations given
to us, all the transactions that need to be entered into a register in
pursuance of section 301 of the Companies Act, 1956 have been entered.
b. Transactions made in pursuance to section 301, have been entered at
price with regard to the prevailing market price.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposits from the public.
Therefore the provisions of clause (vi) are not applicable to the
company.
7. In our opinion, the company has an internal audit system
commensurate with its size and nature of its business.
8. We have broadly reviewed the cost records maintained by the Company
pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209( 1)(d) of the
companies Act, 1956 and are of the opinion that prima facie the
prescribed cost records have been made and maintained. We have,
however, not made a detailed examination of the cost records with a
view to determine whether they are accurate or complete.
9. a. According to the information and explanations given to us and
records of the company examined by us, in our opinion, no undisputed
amounts payable in respect of provident fund, investor education and
protection fund, employees state insurance, income tax, sales tax,
wealth tax, service tax, custom duty, excise duty, cess and other
statutory dues were outstanding, at the year end, for a period of more
than six months from the date they became payable.
b. According to the information and explanations given to us and the
record examined by us, there are no dues in respect of income tax, sales
tax, wealth tax, service tax, custom duty, excise duty and cess which
have not been deposited on account of any dispute.
10. The Company does not have accumulated losses. Further, neither
there was any cash loss in the financial year under review nor in the
immediately preceding financial year.]
11. As per the books and records examined by us and according to the
information and explanations given to us, in our opinion, the company
has not defaulted in repayment of dues to financial institutions or
banks.
12. According to the information and explanations given to us and
based on the documents and records examined by us, in our opinion, the
company has not granted any loans & advances on the basis of security
by way of pledge of shares, debentures and other securities.
13. The provisions of any special statue applicable to chit fund /
nidhi / mutual benefit fund / societies are not applicable to the
company.
14. In our opinion and according to the informations and explanations
given to us, the company is not dealing in or trading in shares,
securities, debentures and other investments.
15. The Company has not given any guarantee for the loans taken by
others from banks or financial institutions during the year.
16. In our opinion, and according to the informations and explanations
given to us, the term loan has been applied, on an overall basis, for
the purpose for which they were obtained.
17. Based on the information and explanations given to us and an on
overall examination of the balance sheet of the company, in our
opinion, no fund raised on short term basis have been used for long
term investment.
18. Based on the information and explanations given to us, in our
opinion, the company has not made any preferential allotment of shares
to parties and companies covered in the register maintained under
Section 301 of the Companies Act, 1956 during the year.
19. The company does not have any debentures outstanding at any time
during the year under audit and hence question of creating security in
respect thereof does not arise.
20. The Company has not raised any money by way of public issue during
the year.
21. During the course of our examination of the books and records of
the company carried out in accordance with the generally accepted
auditing practices in India and according to the informations and
explanations given to us, we have neither come across any instance of
fraud on or by the company, noticed or reported during the year, nor
have we been informed of any such case by the management.
As required by section 227(3) of the Act, we report that:
a. We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
b. In our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
these books.
c. The Balance Sheet, Statement of Profit & Loss and Cash How
Statement are in agreement with the Books of Account.
d. In our opinion, the Balance Sheet, the Statement of Profit and Loss
and Cash How Statement comply with the Accounting Standards notified
under the Companies Act, 1956 read with the General Circular 15/2013
dated 13 September 2013 of the Ministry of Corporate Affairs in respect
of section 133 of the Companies Act, 2013.
e. On the basis of written representations received from the directors
as on 31 st March 2014 and taken on record by the Board of Directors,
we report that none of the directors are disqualified as on 31 st March
2014 from being appointed as a director in terms of clause (g) of sub
section (1) of Section 274 of Companies Act, 1956.
For S.M.Daga&Co.
Chartered Accountants
Firm Registration No. 303119E
Deepak Kumar Daga
ll,CliveRow,Kolkata-700001 (Partner)
The 28th day of May, 2014 Membership No. 059205
Mar 31, 2013
We have audited the accompanying financial statements of RDB REALTY &
INFRASTRUCTURE LIMITED, which comprise the Balance Sheet as at March
31, 2013, the Statement of Profit & Loss for the year ended on that
date and Cash Flow Statement for the year ended on that date, and a
summary of significant accounting policies and other explanatory
information.
MANAGEMENT''S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
Management is responsible for the preparation of these financial
statements that give a true and fair view of the financial position,
financial performance of the Company in accordance with the Accounting
Standards referred to in sub-section (3C) of section 211 of the
Companies Act, 1956 ("the Act"). This responsibility includes the
design, implementation and maintenance of internal control 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.
AUDITOR''S RESPONSIBILITY
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. 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 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 control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances. An audit also
includes evaluating the appropriateness of accounting policies used and
the reasonableness of the accounting estimates made by management, 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.
OPINION
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid financial statements read with
notes give the information required by the Companies Act, 1956 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, 2013.
b) In the case of the Statement of Profit & Loss of the Profit for the
year ended 31st March, 2013.
c) In the case of Cash Flow Statement, of the Cash Flows for the year
ended on that date. REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
As required by Section 227(3) of the Act, we report that:
1. We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
2. Proper books of account as required by law have been kept by the
Company so far as appears from our examination of these books.
3. The Balance Sheet, Statement of Profit & Loss and Cash Flow
Statement dealt with by this report are in agreement with the Books of
Account.
4. The Balance Sheet, Statement of Profit & Loss and Cash Flow
Statement comply with the accounting standards referred to in sub-
section (3C) of section 211 of the Companies Act, 1956.
5. In our opinion and according to the explanations given to us none
of the Directors are disqualified from being appointed as directors
under clause (g) of sub-section (1) of section 274 of the Companies
Act, 1956.
As required by the Companies (Auditors'' Report) Order, 2003, issued by
the Government of India in terms of sub-section (4A) of section 227 of
the Companies Act, 1956 of India (the ''Act'') and on the basis of such
checks of the books and records as we considered appropriate and
according to the information and explanations given to us, we set out a
statement on the matters specified in paragraphs 4 and 5 of the said
order.
i) a) The company is maintaining proper records showing, full
particulars including quantitative details and situation of Fixed
Assets.
b) In our opinion, the fixed assets have been physically verified by
the management at reasonable intervals. No material discrepancies were
noticed on such verification.
c) In our opinion, a substantial part of fixed assets has not been
disposed off by the company during the year.
ii) a) In our opinion, the inventory of the Company has been physically
verified by the management at reasonable intervals during the year. In
respect of material lying with third parties, these have substantially
been confirmed by them.
b) In our opinion, the procedures of physical verification followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
c) On the basis of our examination of inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies ascertained on physical verification between the physical
stocks and the book records of inventories were not material in
relation to the operations of the Company.
iii) a) The company has granted loan to a party during the year to
company covered in the register maintained under section 301 of the
Companies Act, 1956. The maximum amount involved during the year was Rs.
1,81,29,663/- and the year end balance was Rs. 1,70,96,241/-
b) In our opinion and according to the explanation given to us, the
rate of interest and other terms and conditions are not prima facie
prejudicial to the interest of the Company.
c) The receipt of the principal amount and interest are regular.
d) The Company has taken unsecured loan from seven parties covered in
the register maintained under section 301 of the Companies Act 1956.
The maximum amount involved during the year was Rs. 27,53,80,034/- and
the year end balance was Rs. 63,23,190/-.
e) In our opinion and according to the explanation given to us, the
rate of interest and other terms and conditions are not prima facie
prejudicial to the interest of the Company.
f) The Company has repaid the principal amount as stipulated and have
been regular in the repayment of interest.
iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business for the
purchase of inventory and fixed assets and for the sale of goods and
services. Further, on the basis of our examination of the books and
records of the Company and according to the information and
explanations given to us, we have neither come across nor have we been
informed of any continuing failure to correct major weaknesses in the
aforesaid internal control system.
v) a) In our opinion and according to information and explanations
given to us, the particulars of contracts or arrangements referred to
in section 301 of the Companies Act, 1956 have been so entered.
b) In our opinion and according to information and explanations given
to us, the transactions made in pursuance of contract or arrangements
entered in the register maintained under section 301 of the Companies
Act, 1956 and exceeding the value of Rupees Five Lacs in respect of any
party during the year, have been made at prices which are reasonable
having regard to the prevailing market prices at the relevant time.
vi) The Company has not accepted any deposit from public.
vii) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
viii) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Accounting Records)
Rules, 2011 prescribed by the Central Government under Section
209(l)(d) of the Companies Act, 1956 and are of the opinion that prima
facie the prescribed cost records have been maintained. We have,
however, not made a detailed examination of the cost records with a
view to determine whether they are accurate or complete.
ix) a) According to the information and explanations given to us and
records of the company examined by us, in our opinion, no undisputed
amounts payable in respect of provident fund, employees state
insurance, income tax, sales tax, wealth tax, service tax, custom duty,
excise duty, cess and other statutory dues were outstanding, at the
year end, for a period of more than six months from the date they
became payable.
b) According to the information and explanations given to us and the
record examined by us, there are no dues in respect of sales tax,
income tax, customs duty, wealth tax, excise duty and cess which have
not been deposited on account of any dispute.
x) The accumulated losses as at 31st March, 2013 are not more than
fifty percent of its net worth. The company has not incurred any cash
losses in the financial year ended on that date or in the immediately
preceding financial year.
xi) According to the records of the Company examined by us and the
information and explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank or debenture
holder as at the Balance Sheet date.
xii) In our opinion, the company has not granted any loans & advances
on the basis of security by way of pledge of shares, debentures and
other securities.
xiii) The provisions of any special statute applicable to chit
fund/nidhi/mutual benefit fund/societies are not applicable to the
company.
xiv) In our opinion and according to information and explanations given
to us, the Company is not dealing in or trading in shares, securities,
debentures and other investments.
xv) The Company has given guarantees for loans taken by its associate
company from Banks. According to the information and explanations given
to us, we are of the opinion that the terms and conditions, on which
the company has given guarantees for such loans, are not prima facie,
prejudicial to the interest of the Company.
xvi) The term loan obtained by the Company has been applied for the
purpose for which they were raised.
xvii) According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we report
that no funds raised on short term basis have been used for long term
investments by the Company.
xviii) The Company has not made any preferential allotment of shares to
parties and companies covered in the register maintained under section
301 of the Companies Act, 1956.
xix) The Company has not issued any debentures and hence question of
creating security in respect thereof does not arise.
xx) The Company has not raised any money by way of public issue during
the year.
xxi) During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For S. M. DAGA&CO.
Chartered Accountants
Firm Regd. No. 303119E
11, Clive Row Deepak Kumar Daga
Kolkata-700 001 Partner
Dated : 27th day of May, 2013 Membership No. 059205
Mar 31, 2012
We have audited the attached Balance Sheet of RDB REALTY &
INFRASTRUCTURE LIMITED as at 31st March 2012, the related Statement of
Profit & Loss and Cash Flow Statement for the year ended on that date
annexed thereto. These financial statements are the responsibility of
the Company's Management. Our responsibility is to express an opinion
on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes
examining on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion.
We report that:
1. We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
2. In our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
these books.
3. The Balance Sheet, Statement of Profit & Loss and Cash Flow
Statement dealt with by this report are in agreement with the Books of
Accounts.
4. In our opinion, the Balance Sheet, Statement of Profit & Loss and
Cash Flow Statement dealt with by this report comply with the
accounting standards referred to in sub- section (3C) of section 211 of
the Companies Act, 1956.
5. On the basis of written representations received from the directors
as on 31st March 2012 and taken on record by the Board of Directors, we
report that none of the directors is disqualified as on 31st March 2012
from being appointed as a director in terms of clause (g) of
sub-section (1) of section 274 of the Companies Act, 1956.
6. In our opinion and based on the information and according to the
explanations given to us, the said account read with Notes forming part
of the financial statements give the information required by the
Companies Act, 1956 in the manner so required and give true and fair
view:
(a) in the case of Balance Sheet, of the State of Affairs of the
Company as at 31st March 2012;
(b) in the case of Statement of Profit & Loss, of the Profit of the
Company for the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the Cash flows for the
year ended on that date.
As required by the Companies (Auditor's Report) Order, 2003, as amended
by the Companies (Auditor's Report) (Amendment) Order, 2004, issued by
the Central Government of India in terms of sub-section (4A) of section
227 of the Companies Act, 1956 and on the basis of such checks of the
books and records as we considered appropriate and according to
information and explanations given to us, the matters specified in the
said order are given hereunder to the extent to which they are
applicable.
i) a) The Company is maintaining proper records showing, full
particulars including quantitative details and situation of fixed
assets.
b) In our opinion, the fixed assets have been physically verified by
the management at reasonable intervals. No material discrepancies were
noticed on such verification.
c) In our opinion, a substantial part of fixed assets has not been
disposed off by the Company during the year.
ii) a) In our opinion, the inventory of the Company has been physically
verified by the management at reasonable intervals during the year. In
respect of material lying with third parties, these have substantially
been confirmed by them.
b) In our opinion, the procedures of physical verification followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
c) On the basis of our examination of inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies ascertained on physical verification between the physical
stocks and the book records of inventories were not material in
relation to the operations of the Company.
iii) a) The Company has not granted any loan during the year to
companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956. Consequently, the
requirements of sub clauses (a), (b), (c) and (d) of clause (iii) of
paragraph 4 of the order are not applicable.
b) The Company has taken secured loan from one party and unsecured loan
from fourteen parties covered in the register maintained under section
301 of the Companies Act 1956. The maximum amount involved during the
year was Rs84,94,50,469/- and the year end balance was Rs40,87,94,028/-.
c) In our opinion, the rate of interest and other terms and conditions
on which loans have been taken from such Companies covered in the
register maintained under section 301 of the Companies Act, 1956 are
not, prima facie prejudicial to the interest of the Company.
d) The Company has repaid the principal amount as stipulated and have
been regular in the repayment of interest.
iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business for the
purchase of inventory and fixed assets and for the sale of goods and
services. Further, on the basis of our examination of the books and
records of the Company and according to the information and
explanations given to us, we have neither come across nor have we been
informed of any continuing failure to correct major weaknesses in the
aforesaid internal control system.
v) a) In our opinion and according to information and explanations
given to us, the particulars of contracts or arrangements
referred to in section 301 of the Companies Act, 1956 have been so
entered. b) In our opinion and according to information and
explanations given to us, the transactions made in pursuance of
contract or arrangements entered in the register maintained under
section 301 of the Companies Act, 1956 and exceeding the value of
Rupees Five Lacs in respect of any party during the year, have been
made at prices which are reasonable having regard to the prevailing
market prices at the relevant time.
vi) The Company has not accepted any deposits from the public.
vii) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
viii) We have broadly reviewed the cost records maintained by the
Company pursuant to the Companies (Cost Accounting Records) Rules, 2011
prescribed by the Central Government under Section 209(1 )(d) of the
Companies Act, 1956 and are of the opinion that prima facie the
prescribed cost records have been maintained. We have, however, not
made a detailed examination of the cost records with a view to
determine whether they are accurate or complete.
ix) a) According to the information and explanations given to us and
records of the Company examined by us, in our opinion, no undisputed
amounts payable in respect of provident fund, employees state insurance,
income tax, sales tax, wealth tax, service tax, custom duty, excise
duty, cess and other statutory dues were outstanding, at the year end,
for a period of more than six months from the date they became payable.
b) According to the information and explanations given to us and the
record examined by us, there are no dues in respect of sales tax,
income tax, customs duty, wealth tax, excise duty and cess which have
not been deposited on account of any dispute.
x) The Company does not have accumulated losses as at 31st March 2012
and it has not incurred any cash losses in the financial year ended on
that date or in the immediately preceding financial year.
xi) According to the records of the Company examined by us and the
information and explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank or debenture
holders during the year.
xii) In our opinion, the Company has not granted any loans & advances
on the basis of security by way of pledge of shares, debentures and
other securities.
xiii) The provisions of any special statute applicable to chit
fund/nidhi/mutual benefit fund/societies are not applicable to the
Company.
xiv) In our opinion and according to information and explanations given
to us, the Company is not dealing in or trading in shares, securities,
debentures and other investments.
xv) The Company has given guarantees for loans taken by its associate
company from Banks. According to the information and explanations given
to us, we are of the opinion that the terms and conditions, on which
the Company has given guarantees for such loans, are not prima facie,
prejudicial to the interest of the Company.
xvi) According to the information and explanations given to us, the
Company has not taken any term loans during the year.
xvii) According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we report
that no funds raised on short term basis have been used for long term
investment by the Company.
xviii) The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under section 301
of the Companies Act, 1956 during the year.
xix) The Company has no debentures outstanding at any time during the
year and hence question of creating security in respect thereof does
not arise.
xx) As informed to us, the Company has not raised any money by way of a
public issue during the period covered by our audit report.
xxi) During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For S. M. Daga & Co.
Chartered Accountants
Firm Registration No. 303119E
11, Clive Row, MEGH RAJ DAGA
Kolkata - 700 001 (Partner)
28th May 2012 Membership No. 013625
Mar 31, 2010
We have audited the attached Balance Sheet of RDB REALTY &
INFRASTRUCTURE LIMITED as at 31st March, 2010, the related Profit &
Loss Account and Cash Flow Statement for the year ended on that date
annexed thereto. These financial statements are the responsibility of
the Companys Management. Our responsibility is to express an opinion
on these financial statements based on our audit.
We conducted our audit in accordance with auditing standards generally
accepted in India. Those standards require that we plan and perform the
audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An Audit includes
examining, on a test basis, evidence supporting the amounts and
disclosures in the financial statements. An Audit also includes
assessing the accounting principles used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audit provides a reasonable basis for
our opinion. We report that Ã
1. We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purpose of our
audit.
2. In our opinion, proper books of account as required by law have
been kept by the Company so far as appears from our examination of
these books.
3. The Balance Sheet, Profit & Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the Books of Account.
4. In our opinion, the Balance Sheet, Profit & Loss Account and Cash
Flow Statement dealt with by this report comply with the accounting
standards referred to in sub-section (3C) of section 211 of the
Companies Act, 1956.
5. On the basis of written representations received from the directors
as on 31st March, 2010 and taken on record by the Board of Directors,
we report that none of the directors is disqualified as on 31st March,
2010 from being appointed as a director in terms of clause (g) of
sub-section (1) of section 274 of the Companies Act, 1956. In our
opinion and based on the information and according to the explanations
given to us, the said account read with Notes appearing in Schedule 21
give the information required by the Companies Act, 1956 in the manner
so required and give true and fair view:
(a) in the case of Balance Sheet, of the State of Affairs of the
Company as at 31st March, 2010;
(b) in the case of Profit & Loss Account, of the Profit of the Company
for the year ended on that date; and
(c) in the case of the Cash Flow Statement, of the Cash flows for the
year ended on that date.
As required by the Companies (Auditors Report) Order, 2003, as amended
by the Companies (Auditors Report) (Amendment) Order, 2004, issued by
the Central Government of India in terms of sub-section (4A) of section
227 of the Companies Act, 1956 and on the basis of such checks of the
books and records as we considered appropriate and according to
information and explanations given to us, the matters specified in the
said order are given hereunder to the extent to which they are
applicable.
i) a) The Company is maintaining proper records showing, full
particulars including quantitative details and situation of fixed
assets.
b) In our opinion, the fixed assets have been physically verified by
the management at reasonable intervals. No material discrepancies were
noticed on such verification. c) In our opinion, a substantial part of
fixed assets has not been disposed off by the company during the year.
ii) a) In our opinion, the inventory of the Company has been physically
verified by the management at reasonable intervals during the year. In
respect of material lying with third parties, these have substantially
been confirmed by them.
b) In our opinion, the procedures of physical verification followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
c) On the basis of our examination of inventory records, in our
opinion, the Company is maintaining proper records of inventory. The
discrepancies ascertained on physical verification between the physical
stocks and the book records of inventories were not material in
relation to the operations of the Company.
iii) a) The Company has granted unsecured loan to a company covered in
the register maintained under section 301 of the Companies Act 1956.
The maximum amount involved during the year was Rs.39,821,129/- and the
year end balance of loan granted to such party was Rs.8,488,089/- b) In
our opinion, the rate of interest and other terms and conditions on
which loans have been granted to such companies covered in the register
maintained under section 301 of the Companies Act, 1956 are not, prima
facie prejudicial to the interest of the Company.
c) The Parties have repaid the principal amount as stipulated and have
been regular in the repayment of interest.
d) There is no overdue amount of loan granted to company covered in the
register maintained under section 301 of the Companies Act, 1956.
e) The Company has taken unsecured loan from 2 companies covered in the
register maintained under section 301 of the Companies Act 1956. The
maximum amount involved during the year was Rs69,679,979/- and the year
end balance of loans taken from such parties were Rs.51,273,385/- f) In
our opinion, the rate of interest and other terms and conditions on
which loans have been taken from such
Companies covered in the register maintained under section 301 of the
Companies Act, 1956 are not, prima facie prejudicial to the interest of
the Company. g) The Company has repaid the principal amount as
stipulated and have been regular in the repayment of interest.
iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business for the
purchase of inventory and fixed assets and for the sale of goods and
services. Further, on the basis of our examination of the books and
records of the Company and according to the information and
explanations given to us, we have neither come across nor have we been
informed of any continuing failure to correct major weaknesses in the
aforesaid internal control system.
v) a) In our opinion and according to information and explanations
given to us, the particulars of contracts or arrangements referred to
in section 301 of the Companies Act, 1956 have been so entered.
b) In our opinion and according to information and explanations given
to us, the transactions made in pursuance of contract or arrangements
entered in the register maintained under section 301 of the Companies
Act, 1956 and exceeding the value of Rupees Five Lacs in respect of any
party during the year, have been made at prices which are reasonable
having regard to the prevailing market prices at the relevant time.
vi) The Company has not accepted any deposits from the public.
vii) In our opinion, the Company has an internal audit system
commensurate with the size and nature of its business.
viii) According to the information and explanations given to us, the
Central Government has not prescribed maintenance of Cost records under
clause (d) of sub-section (1) of section 209 of the Companies Act, 1956
for the products of the Company.
ix) a) According to the information and explanations given to us and
the records of the Company examined by us, in our opinion, the Company
is regular in depositing the undisputed statutory dues including
Provident Fund, Investor Education and Protection Fund, Employees
State Insurance, Income-tax, Sales-tax, Wealth Tax, Service Tax,
Customs Duty, Excise Duty, Cess and any other material statutory dues
as applicable with the appropriate authorities.
b) According to the information and explanations given to us, no
undisputed amounts payable in respect of provident fund, investor
education and protection fund, employees state insurance, income-tax,
wealth-tax, service tax, sales-tax, customs duty, excise duty, cess and
other undisputed statutory dues were outstanding, at the year end, for
a period of more than six months from the date they became payable.
c) According to the information and explanations given to us and as far
as ascertained from the records produced for our verification, there
are no dues of income tax, sales tax, wealth tax, service tax, customs
duty, excise duty and cess which have not been deposited on account of
disputes.
x) The Company does not have accumulated losses as at 31st March, 2010
and it has not incurred any cash losses in the financial year ended on
that date.
xi) According to the records of the Company examined by us and the
information and explanations given to us, the Company has not defaulted
in repayment of dues to any financial institution or bank or debenture
holders during the year.
xii) In our opinion, the Company has not granted any loans & advances
on the basis of security by way of pledge of shares, debentures and
other securities.
xiii) The provisions of any special statute applicable to chit
fund/nidhi/mutual benefit fund/societies are not applicable to the
Company.
xiv) In our opinion and according to information and explanations given
to us, the Company is not dealing in or trading in shares, securities,
debentures and other investments.
xv) The Company has not given any guarantees for loans taken by others
from banks or financial institution.
xvi) According to the information and explanations given to us, the
term loans have been applied for the purpose for which they were
raised.
xvii) According to the information and explanation given to us and on
an overall examination of the Balance Sheet of the Company, we report
that no funds raised on short term basis have been used for long term
investment by the Company.
xviii)The Company has not made preferential allotment of shares to
parties and companies covered in register maintained under section 301
of the Companies Act, 1956 during the year.
xix) The Company has no debentures outstanding at any time during the
year and hence question of creating security in respect thereof does
not arise.
xx) As informed to us, the Company has not raised any money by way of a
public issue during the period covered by our audit report.
xxi) During the course of our examination of the books and records of
the Company, carried out in accordance with the generally accepted
auditing practices in India and according to the information and
explanations given to us, we have neither come across any instance of
fraud on or by the Company, noticed or reported during the year, nor
have we been informed of such case by the management.
For M.K. Surana & Co.
Chartered Accountants
20, Synagogue Street,2nd Floor,
Kolkata - 700 001.
The 29th day of May, 2010
Kirti Kumar Surana
Partner
Membership No. 061605