Mar 31, 2015
We have audited the accompanying financial statements of Stellar
Capital Services Limited ("the company") which comprises the Balance
Sheet as at 31st March 2015, Statement of Profit and Loss, Cash Flow
Statement for the year then ended and 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 in
section 134(5) of the Companies Act, 2013 ("the Act") with respect to
the preparation of these 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
the maintenance of adequate accounting records in accordance with the
provision of the Act for safeguarding of the assets of the Company and
for preventing and detecting the 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 internal financial control, 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 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 the adequate internal
financial control 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 the explanations
given to us, the financial statements give the information required by
the Act in the manner so required and give a true and fair view in
conformity with 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.
Report on other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015 ("the
Order") issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Companies Act 2013, We give in
the Annexure statement on the matters specified in paragraph 3 & 4 of
the order.
2. The Company is a Non- Banking Financial Company not accepting
public deposit and the Certificate of Registration No. B-14.02359
dated 23rd March 2001 from Reserve Bank of India has been issued to
the Company: -
a) The Board of Directors of the company has passed a resolution for
the non-acceptance of any public deposits.
b) The company has not accepted any public deposits during the
relevant year.
c) The company has complied with the prudential norms relating to
income recognition, accounting standards, assets classification and
provisioning for bad and doubtful debts as applicable to it.
3. As required by section 143(3) of the Act, we report that: -
a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as appears from our examination of those
books.
c) The Balance Sheet, the Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) 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.
e) On the basis of written representations received from the directors
as on 31 March, 2015, taken on record by the Board of Directors, none
of the directors is disqualified as on 31 March, 2015, from being
appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the other matters to be included in the Auditor's
Report in accordance with Rule 11 of the Companies (Audit and
Auditors) Rules, 2014, in our opinion and to the best of our
information and according to the explanations given to us:
i. The company does not have any pending litigations which would
impact its financial position
ii. The Company did not have any long-term contracts including
derivatives contracts for which there were any material foreseeable
losses.
iii. There has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of Stellar
Capital Services Limited on the accounts of the company for the year
ended 31st March, 2015.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of
our audit, we report that:
(i) In respect of fixed assets: -
(a) The company has maintained proper records showing full particulars
including quantitative details and situation of its fixed assets.
(b) As explained to us, fixed assets have been physically verified by
the management at reasonable intervals; no material discrepancies were
noticed on such verification.
(ii) In respect of inventories: -
(a) As explained to us, the inventories have been physically verified
by the management at reasonable intervals during the year. In our
opinion, the frequency of such verification is reasonable having
regard to the size of the Company and the nature of its business.
(b) In our opinion and according to the information and explanations
given to us, the physical verification of inventories followed by the
management is reasonable and adequate in relation to the size of the
Company and the nature of the business.
(c) The Company has maintained proper records of inventory. As
explained to us, there was no material discrepancies noticed on
physical verification of stocks, as compared to book records.
(iii) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not granted any loans, secured or unsecured, to companies, firms or
other parties covered in the register maintained under Section 189 of
the Companies Act, 2013. Consequently, the provisions of clauses
iii(a) and iii(b) of the order are not applicable to the Company.
(iv) In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories & fixed assets and for the
sale of goods and services. During the course of our audit, no major
instance of continuing failure to correct any weaknesses in the
internal controls has been noticed.
(v) In our opinion, and according to the information and explanation
given to us, the company has not accepted any deposits; hence, clause
(v) is not applicable to the company. Accordingly, directives issued
by the Reserve Bank of India and the provisions of section 73 to 76 or
any other relevant provisions of the Companies Act and the rules
framed there under are not applicable.
(vi) The Company is not required to maintain cost records pursuant to
the Rules made by the Central Government for maintenance of cost
records under sub-section (1) of section 148 of the Act.
(vii) (a) According to the records of the company, undisputed
statutory dues including Provident Fund, Employees' State Insurance,
Income-tax, Sales-tax, Wealth Tax, Service Tax, Duty of Custom, Duty
of Excise, Value added tax, cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanations
given to us there were no outstanding statutory dues as on 31st of
March, 2015 for a period of more than six months from the date they
became payable.
(b) According to the information and explanations given to us, there
is no amounts payable in respect of income tax, sales tax, wealth tax,
service tax, duty of customs, duty of excise or value added tax or
cess which have not been deposited on account of any disputes.
(c) Company does not have any 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.
(viii) The Company does not have any accumulated loss at the end of
the financial year and has not incurred cash losses in the financial
year and in the financial year immediately preceding such financial
year.
(ix) In our opinion and according to the information and explanations
given to us, the Company has not defaulted in repayment of dues to a
financial institution, bank or debenture holders.
(x) According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institutions.
(xi) Based on the information and explanations given to us by the
management, we are of the opinion that the term loans taken were
applied for the purpose they are obtained.
(xii) 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
material fraud on or by the Company, noticed or reported during the
year, nor have we been informed of any such case by the management.
For V.N. PUROHIT & CO.
Chartered Accountants
FRN : 304040E
Sd/-
O.P.Pareek
Partner
M. No. : 014238
Place : New Delhi
Date : 30th May, 2015
Mar 31, 2014
We have audited the accompanying financial statements of Stellar
Capital Services Limited (the Company), which comprise the Balance
Sheet as at March 31, 2014, the Statement of Profit and Loss 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
The Company''s Management is responsible for the preparation of these
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 Standards notified under the Companies
Act, 1956 (the Act) read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013 and in accordance with the
accounting principles generally accepted in India. 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 g-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 of 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 of
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 risk 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, but not for the
purpose of expressing an opinion on the effectiveness of the Company''s
internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of the
accountingestimates 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 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 31sl March, 2014; and
(b) in the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date; and
(c) in the case of Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1. As required by the Companies (Auditor''s Report) Order, 2003as
amended by the Companies (Auditor''s Report) (Amended) Order, 2004
issued by the Central Government of India in terms of sub-section (4A)
of section 227 of the Companies Act, 1956, we enclose in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the said
Order.
2. As required by sub-section (3) of section 227 of the Companies Act.
1956, we report that:
(i) We have obtained all the information and explanations which to the
best of our knowledge an belief were necessary for the purpose of our
audit;
(ii) 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
those books.
(iii) The Balance Sheet and profit and Loss Account and the cash flow
statements dealt with by this report are in agreement with the books of
account.
(iv) In our opinion, the Balance Sheet, the Statement of Profit and
Lossand the Cash Flow Statement comply with the Accounting Standards
notified under the Act read with the General Circular 15/2013 dated
13th September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013;
(v) On the basis of written representations received from the
directors, as on 31st March, 2014 and taken on records by the Board of
Directors, none of the directors is disqualified as on 31st March, 2014
from being appointed as a director in terms of clause (g) of
sub-section (1) section 274 of the Companies Act, 1956.
As per Non-Banking Financial Companies Auditors Report (Reserve Bank)
Directions, 1998 issued by Reserve Bonk of India vide Notification No.
DFC 117/DG(SPT)-98 dated January 2, 1998, we further report to the
extent to which matters specified therein are applicable to the company
that :
(i) The company is a Non-Banking Financial Company not accepting public
deposit and the certificate of registration no. 8-14-02359 dated
11.02.2014 from Reserve Bank of India has been issued to the company.
(ii) The Board of Directors of the company has passed a resolution for
the nonacceptance of any public deposits.
(iii) The company has not accepted any public deposits during the
relevant year.
(iv) The company has complied with the prudential norms relating to
income recognition, accounting standards, assets classification and
provisioning for bad and doubtful debts as applicable to it.
Annexure to Independent Auditors Report
Referred to in Paragraph lunder the heading "report on other legal and
regulatory requirements" of our report of even date
1. In respect of its fixed assets:
a) The Company has maintained proper records showing full particulars
including quantitative details and situation of fixed assets on the
basis of available information.
b) As explained to us, all the fixed assets have been physically
verified by the management in a phased periodical manner, which in our
opinion is reasonable, having regard to the size of the company and
nature of its assets. No material discrepancies were noticed on such
physical verification.
c) In ouropinion, the company has not disposed off a substantial part
of its fixed assets during the year and the going concern status of the
company is not affected.
2. In respect of Inventories consisting of shares and securities held
in other Company :
a) The inventories have been physically verified during the year by the
management. In our opinion, the frequency of verification is
reasonable.
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) The Company has maintained proper records of inventories. As
explained to us, there were no material discrepancies noticed on
physical verification of inventories as compared to the book records.
3. In respect of the loans, secured or unsecured, granted or taken by
the company to/from companies, firms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956:
a) In our opinion, and according to the information and explanation
given to us, the company has not granted any loans, secured or
unsecured 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 as per sub clause (iii) (e) of
paragraph 4 of the order are not applicable in case of the company.
b) The Company has not taken any loans, secured or unsecured during the
year from companies, firms or other parties covered in the register
maintained under Section 301 of the Companies Act, 1956. Consequently,
the requirements as per sub clause (iii) (f) and (iii) (g) of paragraph
4 of the order are not applicable in case of the company.
4. In our opinion, and according to the information and explanation
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 or
services. During the course of our audit, we have not observed any
continuing failure to correct major weaknesses in internal control
system.
5. As explained and according to information given to us there has not
been any contract or arrangement referred to in section 301 of the Act,
particulars of which need to be entered in the register required to be
maintained under section 301 of the Companies Act, 1956.
6. 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) of paragraph 4 of the Order are not
applicable to the company.
7. In our opinion, the Company has an internal audit system
commensurate with the size of the company and the nature of its
business.
8. The cost record maintained by the Companies (Cost Accounting
Records) Rules, 2011 prescribed by the Central Government under section
209(1)(d) of the Companies Act, 1956 are not applicable to the company.
9. In respect of statutory dues:
a) According to the records of the company, undisputed statutory dues
including 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 have been
generally regularly deposited with the appropriate authorities.
According to the information and explanations given to us, there are no
undisputed amount payable in respect of the aforesaid statutory dues
were outstanding as at 31.03.2014 for a period of more than six months
from the date of becoming payable.
b) According to the information and explanations given to us, there are
no outstanding statutory dues on the part of company which is not
deposited on account of dispute.
10. The company does not have accumulated losses at the end of
financial year. The company has not incurred any cash losses during the
financial year covered by the audit and in the immediately preceding
financial year.
11. According to the information and explanations given to us the
company has not defaulted in repayment of dues to any loan from bank or
financial institution.
12. The Company has not granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities,
and in our opinion, adequate documents and records are maintained.
13. The Company is not a chit fund, nidhi or mutual benefit society.
Therefore, the provisions ofsub clause (xiii) of paragraph 4 of the
Order are not applicable to the Company.
14. The Company has kept adequate records of its transactions and
contracts in shares, securities, debentures and other investments and
timely entries have been made therein. The shares, securities,
debentures and other investments held by the company, in its own name.
15. According to the information and explanations given to us, the
company has not given any guarantee for loans taken by other from bank
or financial institutions.
16. As per information and explanations given to us, the company has
applied term loans for the purpose for which they were obtained.
17. According to the information and explanations given to us, no funds
raised on short-term basis have been used for long-term investment.
18. According to the information and explanations given to us no
preferential allotment of shares has been made by the company to
companies, firms or other parties listed in the register maintained
under section 301 of the Companies Act, 1956.
19. The company has not issued any debentures. Hence the requirements
of sub-clause (xix) of paragraph 4 of the Order is not applicable to
the company.
20. According to the information and explanations given to us, the
management has disclosed on the end use of money raised by public
issues and the same has been verified.
21. According to the information and explanations given to us, a fraud
on or by the company has not been noticed or reported during the year.
FOR V.N. PUROHIT & CO.
Chartered Accountants
Firm Regn. No. 304040E
Sd/-
O.P. Pareek
Partner
M.No.014238
Place: New Delhi
Date: 30.05.2014