Mar 31, 2023
VLS Finance Limited Report on the Standalone Financial Statements
Opinion
We have audited the accompanying Standalone financial statements of VLS Finance Limited (âthe Companyâ) which comprises the Balance Sheet as at March 31, 2023, the Statement of Profit and Loss (including other comprehensive income), statement of changes in equity and statement of cash flows for the year ended on that date and notes to the financial statements, including a summary of significant accounting policies and other explanatory information (hereinafter referred to as âthe standalone financial statementsâ).
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 Companies Act, 2013 (âthe Actâ) in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended, (âInd ASâ) and other accounting principles generally accepted in India, of the state of affairs of the Company as at March 31, 2023, and its profit and total comprehensive loss, changes in equity and its cash flows for the year ended on that date.
Basis for Opinion
We conducted our audit of the standalone financial statements in accordance with the Standards on Auditing (Sas) specified under section 143(10) of the Companies Act, 2013. Our responsibilities under those Standards are further described in the Auditorâs Responsibilities for the Audit of the Financial Statements section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India (ICAI) together with the ethical requirements that are relevant to our audit of the standalone financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statements.
Information Other than the Standalone Financial Statements and Auditorâs Report Thereon
The Companyâs Board of Directors is responsible for the preparation of the other information. The other information comprises the information included in the Management Discussion and Analysis, Boardâs Report including Annexures to Boardâs Report, Business Responsibility Report, Corporate Governance and Shareholderâs Information, but does not include the standalone financial statements and our auditorâs report thereon.
Our opinion on the standalone financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of the standalone financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the standalone financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Managementâs Responsibility for the Standalone Financial Statements
The Companyâs Board of Directors is responsible for the matters stated in section 134(5) of 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, total comprehensive income, changes in equity and cash flows of the Company in accordance with accounting principles generally accepted in India, including the accounting Standards specified under section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate 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 statement that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is responsible for assessing the Companyâs ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern
basis of accounting unless Management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
The Board of Directors are also responsible for overseeing the companyâs financial reporting process.
Auditorâs Responsibility for the Audit of the Standalone Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditorâs report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Sas will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these financial statements.
As part of an audit in accordance with Sas, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
⢠Identify and assess the risks of material misstatement of the standalone financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
⢠Obtain an understanding of internal financial controls relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls system in place and the operating effectiveness of such controls.
⢠Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.
⢠Conclude on the appropriateness of managementâs use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Companyâs ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditorâs report to the related disclosures in the standalone financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditorâs report. However, future events or conditions may cause the Company to cease to continue as a going concern.
⢠Evaluate the overall presentation, structure and content of the standalone financial statements, including the disclosures, and whether the standalone financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statements that, individually or in aggregate, makes it probable that the economic decisions of reasonably knowledgeable user of the standalone financial statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements in the standalone financial statements.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the standalone financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditorâs report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Report on Other Legal and Regulatory Requirements
As required by the Companies (Auditorâs Report) Order, 2020 (âthe Orderâ),
issued by the Central Government of India in terms of sub-section (11) of
section 143 of the Act, we give in Annexure âAâ a statement on the matters
specified in paragraphs 3 and 4 of the Order, to the extent applicable.
As required by Section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
c) The Balance Sheet, the Statement of Profit and Loss including other comprehensive income, the Statement of Change in Equity, and the Statement of Cash Flow dealt with by this Report are in agreement with the books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Indian Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
e) On the basis of the written representations received from the directors as of 31st March 2023 taken on record by the Board of Directors, none of the directors is disqualified as of 31st March 2023 from being appointed as a director in terms of Section 164 (2) of the Act.
f) In our opinion, proper books of accounts and records as specified in Rule 15 of the Securities Contract (Regulation) Rules, 1957 have been kept in so far as it appears from our examination of such books;
g) The company as Stock Broker has complied with the requirements of the stock exchange so far as they relate to maintenance of accounts and was regular in submitting the required accounting information to the Stock Exchange;
h) With respect to the other matters to be included in the Auditorâs Report in accordance with the requirements of section 197(16) of the Act, as amended: In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 of the Act.
i) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in âAnnexure Bâ. Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Companyâs internal financial controls over financial reporting.
j) With respect to the other matters to be included in the Auditorâs 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 has informed and explained to us the pending litigations have no adverse effect on its financial position in its standalone financial statements as of 31st March 2023.
ii. The Company has made provision as of 31st March 2023, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long-term contracts including derivative contracts.
iii. There has been no requirement to transfer any amount to the Investor Education and Protection Fund, as the Company has no due outstanding during the year ended 31st March 2023.
iv. a) The Management has represented that, to the best of its
knowledge and belief, no funds (which are material either individually or in the aggregate) have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entity (âIntermediariesâ), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, whether, directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (âUltimate Beneficiariesâ) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;
b) The Management has represented, that, to the best of its knowledge and belief, no funds (which are material either individually or in the aggregate) have been, received by the Company from any person or entity, including foreign entity (âFunding Partiesâ), with the understanding, whether recorded in writing or otherwise, that the Company shall, whether, directly or indirectly, lend or invest in other persons
or entities identified in any manner whatsoever by or on behalf of the Funding Party (âUltimate Beneficiariesâ) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries;
c) Based on the audit procedures that have been considered reasonable and appropriate in the circumstances, nothing has come to our notice that has caused us to believe that the representations under sub-clause (i) and (ii) of Rule 11(e), as provided under (a) and (b) above, contain any material misstatement.
v. As stated in note 20, foot note (6) of the accompanying standalone financial statements, the final dividend paid by the Company during the year ended 31 March 2023 in respect of dividend declared for the previous year ended 31 March 2022 is in accordance with section 123 of the Act to the extent it applies to payment of dividend.
Further as stated in note 54 (i)of the accompanying standalone financial statements, the Board of Directors of the Company have proposed final dividend for the year ended 31 March 2023 which is subject to the approval of the members at the ensuing Annual General Meeting. The final dividend declared by the Company for the previous year ended 31 March 2023 is in accordance with section 123 of the Companies Act 2013 to the extent it applies to declaration of dividend.
vi. Proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 for maintaining books of account using accounting software which has a feature of recording audit trail (edit log) facility is applicable to the Company with effect from April 1, 2023, and accordingly, reporting under Rule 11(g) of Companies (Audit and Auditors) Rules, 2014 is not applicable for the financial year ended March 31,2023.
For Agiwal & Associates Chartered Accountants (FRN: 000181N)
CA P. C. Agiwal
Partner
M. No. 080475
Place: New Delhi
Date: May 27, 2023
UDIN: 23080475BGWKSU1549
Mar 31, 2018
INDEPENDENT AUDITORâS REPORT
TO THE MEMBERS OF VLS FINANCE LIMITED
REPORT ON THE FINANCIAL STATEMENTS
We have audited the accompanying standalone financial statements of VLS FINANCE LIMITED (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2018, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the Financial Statements
The Companyâs 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 standalone financial statements to 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 adequate 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.
Auditorâs 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 and the Rules made there under including the Accounting & Auditing Standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.
We conducted our audit in accordance with the Standards on Auditing specified under section 143(10) of the Act. Those Standards and pronouncement 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 standalone financial statements. The procedures selected depend on the auditorâs 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 Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances on the effectiveness of the entityâs internal financial control. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the standalone 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 March 31, 2018 and its profit and its Cash Flow for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditorâs Report) Order, 2016, issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act (herein after referred to as the âOrderâ), and on the basis of such checks of the books and records of the Company as we considered appropriate and according to the information and explanations given to us, we give in the Annexure âAâ, a statement on the matters specified in paragraphs 3 and 4 of the Order.
2. As required by section 143(3) of the Act, we report that:
a) we have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit;
b) in our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books;
c) the Balance Sheet, the Statement of Profit and Loss, the Statement of Cash Flow dealt with by this Report are in agreement with the books of account;
d) in our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014;
e) on the basis of written representations received from the directors as on 31 March, 2018, taken on record by the Board of Directors, none of the directors is disqualified as on 31 March, 2018, from being appointed as a director in terms of Section 164(2) of the Act;
f) in our opinion, proper books of accounts and records as specified in Rule 15 of the Securities Contract (Regulation) Rules, 1957 have been kept in so far as it appears from our examination of such books
g) the company as Stock Broker has complied with the requirements of the stock exchange so far as they relate to maintenance of accounts and was regular in submitting the required accounting information to the Stock Exchange;
h) with respect to the adequacy of the Internal Financial Controls over Financial Reporting of the Company and operating effectiveness of such controls, refer to our separate Report in Annexure- B; and
i) with respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our knowledge and belief and according to the information and explanations given to us:
i. After coming into effect of the Companies act 2013, the definition of âAssociateâ covers a company or companies in which holding company holds not less than 20% of the Total Share Capital of that company or those companies irrespective of whether they are in the same group or not. Hence, Sunair Hotels Ltd. and BMS IT Institute (P) Ltd which are presently not in the same group, have been considered as Associate. Even though the company is in litigation with these companies, in the opinion of company, there is no adverse impact of such litigations on investments/advances made by it in these associates.
ii. The Company has informed & explained to us that pending litigations has no adverse effect on its financial position in its financial statements as at 31st March, 2018.
iii. The Company has made provision as at 31st March, 2018, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long term contracts including derivative contracts.
iv. There has been no requirement to transfer any amount to the Investor Education and Protection Fund, as the Company has no due outstanding during the year ended 31st March, 2018.
vi. Clause 3 (vi) of CARO is not applicable as the Company is not engaged in production of such goods and providing such services as prescribed by Central Government under sub section (1) of section 148 of the Companies Act, 2013 for maintenance of cost records.
vii. a) The Company is regular in depositing undisputed statutory dues,
including provident fund, employeesâ state insurance, income-tax, wealth tax, service tax and any other statutory dues with the appropriate authorities.
b) There were no undisputed amounts payable in respect of provident fund, employeesâ state insurance, income-tax, wealth tax, service tax and any other material statutory dues in arrears as at 31.03.2018 for a period of more than six months from the date they became payable.
c) According to the records and information and explanations given to us, there is no outstanding of any disputed statutory dues as on 31.03.2018.
viii. In our opinion, on the basis of audit procedures and according to the information and explanations given to us, the Company has not defaulted in the repayment of loans and/or borrowings to financial institutions and banks. No debentures are outstanding as on 31.03.2018.
ix. During the year, no monies have been raised by public offer of shares. Money raised on term loans has been applied for the purposes for which loans were raised.
x. Based on the audit procedure performed and on the basis of information and explanations provided by the management, no fraud by the Company and on the Company by its officers or employees has been noticed or reported during the course of the audit.
xi. On the basis of records and information and explanations made available, managerial remuneration which has been paid or provided is in accordance with the requisite approvals mandated under Section 197 read with Schedule V of the Act.
xii. In our opinion and according to information & explanation given to us, the Company is not a Nidhi company. Accordingly, paragraph 3(xii) of the order is not applicable.
xiii. As per the information and explanations and records made available by the management of the Company and audit procedure performed, for the related parties transactions entered during the year, the Company has complied with the provisions of Section 177 and 188 of the Act, where applicable. As explained, details of related parties transactions are disclosed as per the applicable Accounting Standards.
xiv. 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 made any preferential allotment or private placement of shares during the financial year ended on 31st March, 2018, hence clause (xiv) is not applicable.
xv. On the basis of records made available to us and according to information and explanations given to us, the Company has not entered into any noncash transactions with the directors or persons connected with him.
xvi. The Company is not required to be registered under 45-IA of the Reserve Bank of India Act, 1934.
The Annexure referred to in Independent Auditorâs Report to the members of the Company on the Standalone Financial Statements for the year ended 31st March 2018, we report that:
i. (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) The fixed assets, except assets on lease which are in the possession of the lessees, have been physically verified by the Management according to the program of periodical verification in phased manner which in our opinion is reasonable having regard to the size of the Company and the nature of its fixed assets. The discrepancies noticed on such physical verification were not material.
(c) As per the records and information and explanations given to us, title deeds of immovable properties are held in the name of the Company.
ii. The company generally deals in shares, securities and Units of Mutual funds. Primarily these are held in electronic form so inventory of the Company has been electronically verified by the management at reasonable intervals and the procedures of verification of inventory followed by the Management are reasonable in relation to the size of the Company and nature of its business. There were no discrepancies noticed on such verification of inventory as compared to book records.
iii. The Company has granted interest free unsecured loan to one subsidiary company covered under section 189 of companies Act, 2013. 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, Limited Liability Partnerships or other parties covered in the register maintained under section 189 of the Companies Act, 2013.
a) As per the information given to us, the aforesaid loan given to the subsidiary company is payable on demand.
b) In respect of the aforesaid loan, there is no overdue amount at the year end.
iv. According to the information, explanations and representations provided by the management and based upon audit procedures performed, we are of the opinion that in respect of loans, investments, guarantees and security the Company has complied with the provisions of the Section 185 and 186 of the Companies Act, 2013.
v. In our opinion and according to the information and explanations given to us, the Company has not accepted any deposits from the public within the meaning of Section 73 to 76 or any other relevant provisions under the Act. Accordingly, paragraph v of the Order is not applicable to the Company.
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the Companies Act, 2013 (âthe Actâ)
We have audited the internal financial controls over financial reporting of VLS Finance Limited (âthe Companyâ) as of 31 March 2018 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.
Managementâs Responsibility for Internal Financial Controls
The Companyâs 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 (âICAIâ). 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 companyâs 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.
Auditorsâ Responsibility
Our responsibility is to express an opinion on the Companyâs 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 (the âGuidance Noteâ) 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 auditorâs 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 Companyâs internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting
A companyâs 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 companyâs internal financial control over financial reporting includes those policies and procedures that:
(1) Pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company;
(2) 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; and
(3) Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use, or disposition of the companyâs 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 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 M.L. PURI & CO.
Chartered Accountants
Firmâs registration number: 002312N
CA M.L. PURI
New Delhi Partner
17th May, 2018 Membership No. 009198
Mar 31, 2016
INDEPENDENT AUDITORâS REPORT
TO THE MEMBERS OF VLS FINANCE LIMITED
REPORT ON THE FINANCIAL STATEMENTS
1. We have audited the accompanying standalone financial statements of VLS FINANCE LIMITED (âthe Companyâ), which comprise the Balance Sheet as at March 31, 2016, the Statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of significant accounting policies and other explanatory information.
Managementâs Responsibility for the Financial Statements
2. The Companyâs 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 standalone financial statements to 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 adequate 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.
Auditorâs Responsibility
3. Our responsibility is to express an opinion on these standalone financial statements based on our audit.
4. We have taken into account the provisions of the Act and the Rules made there under including the Accounting & Auditing Standards and matters which are required to be included in the audit report.
5. We conducted our audit in accordance with the Standards on Auditing specified under section 143(10) of the Act and other applicable authoritative pronouncements issued by the Institute of Chartered Accountants of India. Those Standards and pronouncement 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.
6. An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditorâs 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 Companyâs preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances on the effectiveness of the entityâs internal financial control. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Companyâs Directors, as well as evaluating the overall presentation of the financial statements.
7. 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
8. 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 March 31, 2016 and its profit and its Cash Flow for the year ended on that date.
Report on Other Legal and Regulatory Requirements
9. As required by the Companies (Auditorâs Report) Order, 2016, issued by the Central Government of India in terms of sub-section (11) of section 143 of the Act (herein after referred to as the âOrderâ), and on the basis of such checks of the books and records of the Company as we considered appropriate and according to the information and explanations given to us, we give in the Annexure âAâ, a statement on the matters specified in paragraphs 3 and 4 of the Order.
10. As required by section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books
c) the Balance Sheet, the Statement of Profit and Loss, and Cash Flow Statement dealt with by this Report are in agreement with the books of account.
d) In our opinion, the aforesaid standalone financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.
e) On the basis of written representations received from the directors as on 31 March, 2016, taken on record by the Board of Directors, none of the directors is disqualified as on 31 March, 2016, from being appointed as a director in terms of Section 164(2) of the Act.
f) In our opinion, proper books of accounts and records as specified in Rule 15 of the Securities Contracts (Regulation) Rules, 1957 have been kept in so far as it appears from our examination of such books.
g) The company as Stock Broker has complied with the requirements of the stock exchange so far as they relate to maintenance of accounts and was regular in submitting the required accounting information to the Stock Exchange.
h) With respect to the adequacy of the Internal Financial Controls over Financial Reporting of the Company and operating effectiveness of such controls, refer to our separate Report in Annexure- B.
i) With respect to the other matters to be included in the Auditorâs Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our knowledge and belief and according to the information and explanations given to us :
i. After coming into effect of the Companies act 2013, the definition of âAssociateâ covers a company or companies in which holding company holds not less than 20% of the Total Share Capital of that company or those companies irrespective of whether they are in the same group or not. Hence, Sunair Hotels Ltd. and BMS IT Institute (P) Ltd which are presently not in the same group, have been considered as Associate. Even though the company is in litigation with these companies, in the opinion of company, there is no adverse impact of such litigations on investments/advances made by it in these associates.
ii. The Company has informed & explained to us that pending litigations has no adverse effect on its financial position in its financial statements as at 31st March, 2016.
iii. The Company has made provision as at 31st March, 2016, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long term contracts including derivative contracts.
iv. There has been no requirement to transfer any amount to the Investor Education and Protection Fund, as the Company has no due outstanding during the year ended 31st March, 2016.
ANNEXURE âAâ TO INDEPENDENT AUDITORâS REPORT
REFERRED TO IN PARAGRAPH (9) OF OUR REPORT OF EVEN DATE
Re: VLS Finance Ltd. for the year ended 31st March, 2016
1. (a) The Company has maintained proper records showing full particulars including quantitative details and situation of fixed assets.
(b) The fixed assets, except assets on lease which are in the possession of the lessees, have been physically verified by the Management according to the program of periodical verification in phased manner which in our opinion is reasonable having regard to the size of the Company and the nature of its fixed assets. The discrepancies noticed on such physical verification were not material.
(c) As per the records and information and explanations given to us, title deeds of immovable properties are held in the name of the Company.
2. The company generally deals in shares, securities and Units of Mutual funds. Primarily these are held in electronic form so inventory of the Company has been electronically verified by the management at reasonable intervals and the procedures of verification of inventory followed by the Management are reasonable in relation to the size of the Company and nature of its business. There were no discrepancies noticed on such verification of inventory as compared to book records.
3. The Company has granted Interest free unsecured loan to one subsidiary company covered in the register maintained under section 189 of companies Act, 2013. The Company has not granted any secured/ unsecured loans to the firms and parties covered in the register maintained under section 189 of the Act.
a) As per the information given to us, the aforesaid loan given to the subsidiary company is payable on demand.
b) In respect of the aforesaid loan, there is no overdue amount at the year end.
4. According to the information, explanations and representations provided by the management and based upon audit procedures performed, we are of the opinion that in respect of loans, investments, guarantees and security the Company has complied with the provisions of the Section 185 and 186 of the Companies Act, 2013.
5. In our opinion and according to the information and explanations given to us, the Company has not accepted any deposits from the public within the meaning of Section 73 to 76 or any other relevant provisions under the Act. Accordingly, paragraph 3(v) of the Order is not applicable to the Company.
6. According to the information & explanations given to us, maintenance of cost records has not been specified by Central Government under sub section (1) of section 148 of the Companies Act, 2013 for the company.
7. (a) The Company is regular in depositing undisputed statutory dues, including provident fund, employeesâ state insurance, income-tax, wealth tax, service tax and any other statutory dues with the appropriate authorities.
(b) There were no undisputed amounts payable in respect of provident fund, employeesâ state insurance, income-tax, wealth tax, service tax and any other material statutory dues in arrears as at 31.03.2016 for a period of more than six months from the date they became payable.
(c) According to the records and information and explanations given to us, there is no outstanding of any disputed statutory dues as on 31.03.2016.
8. In our opinion, on the basis of audit procedures and according to the information and explanations given to us, the Company has not defaulted in the repayment of loans and/or borrowings to financial institutions and banks. No debentures are outstanding as on 31.03.2016.
9. During the year, no monies have been raised by public offer of shares. Money raised on term loans has been applied for the purposes for which loans were raised.
10. Based on the audit procedure performed and on the basis of information and explanations provided by the management, no fraud by the Company and on the Company by its officers or employees has been noticed or reported during the course of the audit .
11. On the basis of records and information and explanations made available, managerial remuneration which has been paid or provided is in accordance with the requisite approvals mandated under Section 197 read with Schedule V of the Act.
12. In our opinion and according to information & explanation given to us, the Company is not a Nidhi company. Accordingly, paragraph 3(xii) of the order is not applicable.
13. As per the information and explanations and records made available by the management of the Company and audit procedure performed, for the related parties transactions entered during the year, the Company has complied with the provisions of Section 177 and 188 of the Act, where applicable. As explained, details of related parties transactions are disclosed as per the applicable Accounting Standards.
14. According to the information and explanations given to us, the Company has not made any preferential allotment or private placement of shares or fully / partly convertible debentures during the year.
15. On the basis of records made available to us and according to information and explanations given to us, the Company has not entered into any non-cash transactions with the directors or persons connected with him.
16. The Company is not required to be registered under 45-IA of the Reserve Bank of India Act, 1934.
For Agiwal & Associates
Chartered Accountants
(FRN : 000181N)
P. C. Agiwal
Place: New Delhi Partner
Date: 28th May, 2016 Membership No. : 080475
Mar 31, 2015
1. We have audited the accompanying financial statements of VLS
FINANCE LIMITED ("the Company"), which comprise the Balance Sheet as at
March 31, 2015, the Statement of Profit and Loss and the 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
2. 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 financial statements to 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 adequate 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
3. Our responsibility is to express an opinion on these financial
statements based on our audit.
4. We have taken into account the provisions of the Act and the Rules
made there under including the accounting standards and matters which
are required to be included in the audit report.
5. We conducted our audit in accordance with the Standards on Auditing
specified under section 143(10) of the Act and other applicable
authoritative pronouncements issued by the Institute of Chartered
Accountants of India. Those Standards and pronouncement 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.
6. 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 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 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.
7. 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
8. 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 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 March 31, 2015 and its profit and its Cash Flow for the year ended
on that date.
Report on Other Legal and Regulatory Requirements
9. As required by the Companies (Auditor's Report) Order, 2015, issued
by the Central Government of India in terms of sub-section (11) of
section 143 of the Act (herein after referred to as the "Order"), and
on the basis of such checks of the books and records of the Company as
we considered appropriate and according to the information and
explanations given to us, we give in the Annexure a statement on the
matters specified in paragraphs 3 and 4 of the Order.
10. As required by section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations
which to the best of our knowledge and belief were necessary for the
purposes of our audit.
b) In our opinion proper books of account as required by law have been
kept by the Company so far as it appears from our examination of those
books
c) The Balance Sheet, the Statement of Profit and Loss, and 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) In our opinion, proper books of account and records as specified in
Rule 15 of the Securities Contracts (Regulation) Rules, 1957 have been
kept in so far as it appears from our examination of such books.
g) The Company as Stock broker has complied with the requirements of
the stock exchange so far as they relate to maintenance of accounts and
was regular in submitting the required accounting information to the
stock exchange.
h) With respect to the other matters 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 knowledge and belief and
according to the information and explanations given to us :
i. After coming into effect of the Companies Act, 2013, the definition
of "Associate" covers a Company or Companies in which the Company holds
not less than 20% of the Total Share Capital of that company or those
companies irrespective of whether they are in the same group or not.
Hence, Sunair Hotels Ltd. and BMS IT Institute Private Ltd which are
presently not in the same group, have been considered as Associate.
Even though the company is in litigation with these companies, in the
opinion of the Company, there is no adverse impact of such litigation
on investments/advances made by it in these associates.
ii. The Company has made provision as at 31st March, 2015, as required
under the applicable law or accounting standards, for material
foreseeable losses, if any, on long term contracts including derivative
contracts.
iii. There has been no requirement to transfer any amount to the
Investor Education and Protection Fund, as the Company has no due
outstanding during the year ended 31st March, 2015.
ANNEXURE TO INDEPENDENT AUDITOR'S REPORT
REFERRED TO IN PARAGRAPH (9) OF OUR REPORT OF EVEN DATE
Re: VLS Finance Ltd. for the year ended 31st March 2015
(i) (a) The Company is maintaining proper records showing full
particulars, including quantitative details and situation, of fixed
assets.
(b) All the fixed assets except assets on lease, which are in the
possession of the lessee, have been physically verified by the
management at the reasonable interval. No material discrepancies were
noticed on such verification as informed to us.
(ii) (a) The securities held as stock-in-trade have been physically
verified by the management during the year. 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 stock-in- trade
followed by the management were found reasonable and adequate in
relation to the size of the Company and the nature of its business.
(c) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of its inventories.
The discrepancies noticed on verification between the physical stocks
and book records which are not material in relation to the Company,
have been properly dealt with in the books of accounts.
(iii) The Company has granted interest free unsecured loan to one
subsidiary company covered in the register maintained under section 189
of the Act. The Company has not granted any secured/unsecured loans to
firms or other parties covered in the register maintained under Section
189 of the Act.
(a) As per information given to us, the aforesaid loan given to the
subsidiary company is payable on demand.
(b) In respect of the aforesaid loan, there is no overdue amount at the
year end.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with its size of the Company and the nature of its business for the
purchase of fixed assets and for purchase/sale of securities. During
the course of our audit, we have not observed any continuing failure to
correct major weaknesses in internal control system during the year.
(v) The Company has not accepted any deposit from the public within the
meaning of Section 73 and 74 of the Act and the rules framed there
under to the extent notified.
(vi) In our opinion and according to the information and explanations
given to us, maintenance of cost records as prescribed by the Central
Govt. under sub-section (1) of Section 148 of the Act is not required
as the Company has not done any activity prescribed under the said
section.
(vii) (a) The Company is regular in depositing undisputed statutory
dues, including provident fund, employees' state insurance, income-
tax, wealth tax, service tax and any other statutory dues with the
appropriate authorities.
(b) There were no undisputed amounts payable in respect of provident
fund, employees' state insurance, income-tax, wealth tax, service tax
and any other material statutory dues in arrears as at 31.03.2015 for a
period of more than six months from the date they became payable.
(c) According to the records and information and explanations given to
us, there is no outstanding of any disputed statutory dues as on
31.03.2015.
(d) There has been no requirement to transfer any amount to the
Investor Education and Protection Fund in accordance with the
provisions of the Companies Act, 1956 and rules made there under, as
the Company has no due outstanding during the year ended 31st March,
2015.
(viii) The Company has no accumulated losses as at the end of the
financial year and it has not incurred any cash losses during the
financial year ended on that date or in the immediately preceding
Financial Year.
(ix) On the basis of the verification of records and information and
explanations given to us, the Company has not defaulted in repayment of
dues to bank. The company does not owe any dues to financial
institutions. No Debenture is outstanding as on 31/03/2015.
(x) In our opinion and according to information and explanations given
to us, the Company has not given any Guarantee for loans taken by
others from Banks or Financial Institutions.
(xi) The Company has not raised any Term Loan during the year.
(xii) To the best of our knowledge and information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the year.
For Agiwal & Associates
Chartered Accountants
(FRN : 000181N)
P. C. Agiwal
Place: New Delhi Partner
Date: 30th May, 2015 M. No. 080475
Mar 31, 2014
1. We have audited the accompanying financial statements of VLS
FINANCE LIMITED (Âthe Company"), which comprise the Balance Sheet as at
March 31, 2014, the Statement of Profit and Loss and the 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
2. 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 referred to in sub-section
(3C) of Section 211 of the Companies Act, 1956 (Âthe Act") 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 free from
material misstatement, whether due to fraud or error.
Auditor''s Responsibility
3. 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 the ethical
requirements and plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free from material
misstatement.
4. 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 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 accounting estimates made by the Management, as
well as evaluating the overall presentation of the financial
statements.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.
Opinion
6. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
Significant Accounting Policies and Notes to Accounts 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 March 31, 2014;
(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 the Cash Flow Statement, of the cash flows of the
company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
7. As required by the Companies (Auditor''s Report) Order, 2003 as
amended by Âthe 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 Act (herein after referred to as the ÂOrder"),
and on the
basis of such checks of the books and records of the Company as we
considered appropriate and according to the information and
explanations given to us, we give in the Annexure a statement on the
matters specified in paragraphs 4 and 5 of the Order. 8. 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
those books;
(c) The Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of accounts.
(d) In our opinion, the Balance Sheet, the Statement of Profit and Loss
and the 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;
(e) On the basis of written representations received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as a director in terms of section 274(1) (g) of the Act.
ANNEXURE TO INDEPENDENT AUDITOR''S REPORT REFERRED TO IN
PARAGRAPH (7) OF OUR REPORT OF EVEN DATE Re: VLS Finance Ltd. for the
year ended 31st March 2014
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets except assets on lease, which are in the
possession of the lessee, have been physically verified by the
management at the reasonable interval. No material discrepancies were
noticed on such verification as informed to us.
(c) In our opinion and according to information and explanations given
to us, the Company has not disposed off substantial part of fixed
assets during the year.
(ii) (a) The securities held as stock-in-trade have been physically
verified by the management during the year. 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 stock-in-trade
followed by the management were found reasonable and adequate in
relation to the size of the Company and the nature of its business.
(c) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of its inventories.
The discrepancies noticed on verification between the physical stocks
and book records which are not material in relation to the Company,
have been properly dealt with in the books of accounts.
(iii) (a) The Company has granted interest free unsecured loan to the
subsidiary company listed in the register maintained under section 301
of the Companies Act, 1956 and the amount outstanding from one
subsidiary company as on 31.03.2014 is Rs.9,19,595/-.
(b) In our opinion the terms and conditions of such unsecured loan
given by the Company are prima facie not prejudicial to interest of the
Company.
(c) As per information given to us, the aforesaid loan given to the
subsidiary company is payable on demand and there is no overdue amount
at the year end.
(d) The Company has not taken any loans, secured or unsecured from
companies, firms or other parties covered in the register maintained
under section 301 of the Act. Accordingly, the provisions of clause (f)
and (g) of the Order are not applicable.
(iv) In our opinion and according to the information and explanations
given to us, the Company has an adequate internal control procedure
commensurate with its size and nature of its business, for the purchase
of fixed assets and for purchase/sale of securities. During the course
of our audit, we have not observed any continuing failure to correct
major weaknesses in internal control system during the year.
(v) (a) To the best of our knowledge and belief and according to
information and explanations given to us, the transactions that needed
to be entered into the register maintained in pursuance to section 301
of the Companies Act, 1956, have been so entered. (b) According to
information and explanation given to us, the transaction, made in
pursuance of contracts or arrangements entered into Register(s)
maintained under section 301 of the Companies Act, 1956 as aggregating
to Rs. 5,00,000/- (Rs. Five Lacs only) or more in respect of each party
have been made during the period at the rates which are reasonable
having regard to prevailing market rates.
(vi) The Company has not accepted any deposits from the public
during the year. Hence provisions of section 58A & 58AA or any other
relevant provisions of the Companies Act, 1956 and rules of Companies
(Acceptance of Deposits) Rules, 1975 with regard to the deposits are
not applicable to the Company.
(vii) In our opinion, the Company has an internal audit system,
commensurate with its size and nature of its business.
(viii) In our opinion and according to the information and explanations
given to us, maintenance of cost records as prescribed by the Central
Govt. under section 209(1) (d) of the Act, is not required as the
Company is not in the manufacturing activity.
(ix) (a) The Company is regular in depositing undisputed statutory dues
including provident fund, investor education and protection fund,
employees'' state insurance, income-tax, wealth tax, service tax and any
other statutory dues with the appropriate authorities. There was no
outstanding against any undisputed statutory dues as on 31.03.2014.
(b) According to the records and information and explanations given to
us, there is no outstanding of any disputed statutory dues as on
31.03.2014.
(x) The Company neither have accumulated losses at the end of
the year, nor incurred cash losses during the current financial year or
in the immediately preceding Financial Year.
(xi) On the basis of the verification of records and information and
explanations given to us, the Company does not owe any dues to
financial institutions or banks. The Company has not issued any
debentures during the year.
(xii) The Company has maintained proper record for dealing and
trading in shares, securities, debentures and timely entries have been
made therein. The shares, securities and debentures and other
investments have been held by the Company in its own name except to the
extent of exemption granted under section 49 of the Act.
(xiii) In our opinion and according to information and explanations
given to us, the Company has not given any Guarantee for loans taken by
others from Banks or Financial Institutions.
(xiv) The Company has not raised any Term Loan during the year.
(xv) According to the cash flow statement and other records
examined by us and the information and explanations given to us, on
overall basis, the funds raised on short-term basis have not been used
during the year for long-term investments.
(xvi) The Company has not made any preferential allotment of shares
to any party covered in the register maintained u/s 301 of the
Companies Act, 1956.
(xvii) To the best of our knowledge and information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the year.
The Para Nos. 4 (xii), (xiii), (xix) and (xx) of the Companies
(Auditor''s Report) Order, 2003 are not applicable to the Company.
FOR AGIWAL & ASSOCIATES
CHARTERED ACCOUNTANTS
(FRN: 000181N)
Place: New Delhi (P.C.Agiwal)
Date: 26th May, 2014 Partner
(M. No. 080475)
Mar 31, 2013
Report on the Financial Statements
1. We have audited the accompanying financial statements of VLS
FINANCE LIMITED ("the Company"), which comprise the Balance Sheet
as at March 31, 2013, the Statement of Profit and Loss and the 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
2. 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 referred to in sub-section
(3C) of Section 211 of the Companies Act, 1956 ("the Act") 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 free from
material misstatement, whether due to fraud or error.
Auditor''s Responsibility
3. 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 the
ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free
from material misstatement.
4. 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 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 the Management, as well as evaluating
the overall presentation of the financial statements.
5. We believe that the audit evidence we have obtained is sufficient
and appropriate to provide a basis for our audit opinion.
Opinion
6. In our opinion and to the best of our information and according to
the explanations given to us, the said accounts read together with the
Significant Accounting Policies and Notes to Accounts 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 March 31, 2013;
(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 the Cash Flow Statement, of the cash flows of the
company for the year ended on that date.
Report on Other Legal and Regulatory Requirements
7. 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 Act (herein after referred to as
the "Order"), and on the basis of such checks of the books and
records of the Company as we considered appropriate and according to
the information and explanations given to us, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
8. 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
those books;
(c) The Balance Sheet, the Statement of Profit and Loss and the Cash
Flow Statement dealt with by this Report are in agreement with the
books of accounts.
(d) In our opinion, the Balance Sheet, the Statement of Profit and Loss
and the Cash Flow Statement dealt with by this report comply with the
Accounting Standards referred to in sub-section (3C) of Section 211of
the Companies Act, 1956;
(e) On the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a director in terms of section 274(1) (g) of the Act.
ANNEXURE TO AUDITORS REPORT REFERRED TO IN PARAGRAPH (1) OF OUR REPORT
OF EVEN DATE Re: VLS Finance Ltd. for the year ended 31st March 2013
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets except assets on lease, which are in the
possession of the lessee, have been physically verified by the
management at the reasonable interval. No material discrepancies were
noticed on such verification as informed to us.
(c) In our opinion and according to information and explanations given
to us, the Company has not disposed off substantial part of fixed
assets during the year.
(ii) (a) The securities held as stock-in-trade have been physically
verified by the management during the year. 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 stock-in-trade
followed by the management were found reasonable and adequate in
relation to the size of the Company and the nature of its business.
(c) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of its inventories.
The discrepancies noticed on verification between the physical stocks
and book records which are not material in relation to the Company,
have been properly dealt with in the books of accounts.
(iii) (a) The Company has granted interest free unsecured loan to the
subsidiary company listed in the register maintained under section 301
of the Companies Act, 1956 and the amount outstanding from one
subsidiary company as on 31.03.2013 is Rs.9,18,572/-.
(b) In our opinion the terms and conditions of such unsecured loan
given by the Company are prima facie not prejudicial to interest of the
Company.
(c) As per information given to us, the aforesaid loan given to the
subsidiary company is payable on demand and there is no overdue amount
at the year end.
(d) The Company has not taken any loans, secured or unsecured from
companies, firms or other parties covered in the register maintained
under section 301 of the Act. Accordingly, the provisions of clause
(f) and (g) of the Order are not applicable.
(iv) In our opinion and according to the information and explanations
given to us, the Company has an adequate internal control procedure
commensurate with its size and nature of its business, for the purchase
of fixed assets and for purchase/sale of securities. During the course
of our audit, we have not observed any continuing failure to correct
major weaknesses in internal control system during the year.
(v) (a) To the best of our knowledge and belief and according to
information and explanations given to us, the transactions that needed
to be entered into the register maintained in pursuance to section 301
of the Companies Act, 1956, have been so entered.
(b) According to information and explanation given to us, the
transaction, made in pursuance of contracts or arrangements entered
into Register(s) maintained under section 301 of the Companies Act,
1956 as aggregating to Rs. 5,00,000/- (Rs. Five Lacs only) or more in
respect of each party have been made during the period at the rates
which are reasonable having regard to prevailing market rates.
(vi) The Company has not accepted any deposits from the public during
the year. Hence provisions of section 58A & 58AA or any other relevant
provisions of the Companies Act, 1956 and rules of Companies
(Acceptance of Deposits) Rules, 1975 with regard to the deposits are
not applicable to the Company.
(vii) In our opinion, the Company has an internal audit system,
commensurate with its size and nature of its business.
(viii)In our opinion and according to the information and explanations
given to us, maintenance of cost records as prescribed by the Central
Govt. under section 209(1) (d) of the Act, is not required as the
Company is not in the manufacturing activity.
(ix) (a) The Company is regular in depositing undisputed statutory dues
including provident fund, investor education and protection fund,
employees'' state insurance, income-tax, wealth tax, service tax and
any other statutory dues with the appropriate authorities. There was no
outstanding against any undisputed statutory dues as on 31.03.2013.
(b) According to the records and information and explanations given to
us, there is no outstanding of any disputed statutory dues as on
31.03.2013.
(x) The Company neither have accumulated losses at the end of the year,
nor incurred cash losses during the current financial year or in the
immediately preceding Financial Year.
(xi) On the basis of the verification of records and information and
explanations given to us, the Company does not owe any dues to
financial institutions or banks. The Company has not issued any
debentures during the year.
(xii) The Company has maintained proper record for dealing and trading
in shares, securities, debentures and timely entries have been made
therein. The shares, securities and debentures and other investments
have been held by the Company in its own name except to the extent of
exemption granted under section 49 of the Act.
(xiii) In our opinion and according to information and explanations
given to us, the Company has not given any Guarantee for loans taken by
others from Banks or Financial Institutions.
(xiv)The Company has not raised any Term Loan during the year.
(xv) According to the cash flow statement and other records examined by
us and the information and explanations given to us, on overall basis,
the funds raised on short-term basis have not been used during the year
for long-term investments.
(xvi)The Company has not made any preferential allotment of shares to
any party covered in the register maintained u/s 301 of the Companies
Act, 1956.
(xvii)To the best of our knowledge and information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the year.
The Para Nos. 4 (xii), (xiii), (xix) and (xx) of the Companies
(Auditor''s Report) Order, 2003 are not applicable to the Company.
By Order of the Board
For VLS Finance Ltd.
Place: New Delhi H. Consul
Date: 22/07/2013 Company Secretary
Mar 31, 2012
We have audited the attached Balance Sheet of VLS Finance Ltd. as at
31st March 2012 and also Profit and Loss Account of the Company for the
year ended on that date annexed thereto and the 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.
1. As required by the Companies (Auditor's Report) Order, 2003
issued by the Department of Company Affairs in terms of section 227
(4A) of the Companies Act, 1956 we enclose in the annexure a statement
on the matters specified in paragraph 4 & 5 of the said Order, to the
extent applicable to the Company.
2. Further to our comments in the annexure referred to in paragraph
one above 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 accounts as required by law have
been kept by the Company, so far as appears from our examination of
those books;
c) The Balance Sheet, Profit & Loss Account and cash flow statement
dealt with by this report are in agreement with the books of accounts;
d) 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;
e) 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
subsection (1) of section 274 of the companies Act 1956;
In our opinion and to the best of our information and according to the
explanation given to us, the said accounts read with significant
accounting policies and notes to accounts thereon 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;
1) In the case of Balance Sheet, of the state of affairs of the Company
as at 31st March 2012 and;
2) In the case of the Profit and Loss Account, of the profit of the
Company for the year ended on that date;
3) In the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
ANNEXURE TO AUDITORS REPORT
REFERRED TO IN PARAGRAPH (1) OF OUR REPORT OF EVEN DATE Re: VLS Finance
Ltd. for the year ended 31st March 2012
(i) (a) The Company has maintained proper records showing full
particulars
including quantitative details and situation of fixed assets.
(b) All the fixed assets except assets on lease, which are in the
possession of the lessee, have been physically verified by the
management at the reasonable interval. No material discrepancies were
noticed on such verification as informed to us.
(c) In our opinion and according to information and explanations given
to us, the Company has not disposed off substantial part of fixed
assets during the year.
(ii) (a) The securities held as stock-in-trade have been physically
verified
by the management during the year. 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 stock-in-trade
followed by the management were found reasonable and adequate in
relation to the size of the Company and the nature of its business.
(c) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of its inventories.
The discrepancies noticed on verification between the physical stocks
and book records which are not material in relation to the Company,
have been properly dealt with in the books of accounts.
(iii) (a) The Company has granted interest free unsecured loan to the
subsidiary company listed in the register maintained under section 301
of the Companies Act, 1956 and the amount outstanding from one
subsidiary company as on 31.03.2012 is Rs.9,17,551/-.
(b) In our opinion the terms and conditions of such unsecured loan
given by the Company are prima facie not prejudicial to interest of the
Company.
(c) As per information given to us, the aforesaid loan given to the
subsidiary company is payable on demand and there is no overdue amount
at the year end.
(d) The Company has not taken any loans, secured or unsecured from
companies, firms or other parties covered in the register maintained
under section 301 of the Act. Accordingly, the provisions of clause (f)
and (g) of the Order are not applicable.
(iv) In our opinion and according to the information and explanations
given to us, the Company has an adequate internal control procedure
commensurate with its size and nature of its business, for the purchase
of fixed assets and for purchase/sale of securities. During the course
of our audit, we have not observed any continuing failure to correct
major weaknesses in internal control system during the year.
(v) (a) To the best of our knowledge and belief and according to
information
and explanations given to us, the transactions that needed to be
entered into the register maintained in pursuance to section 301 of the
Companies Act, 1956, have been so entered.
(b) According to information and explanation given to us, the
transaction, made in pursuance of contracts or arrangements entered
into Register(s) maintained under section 301 of the Companies Act,
1956 as aggregating to Rs. 5,00,000/- (Rs. Five Lacs only) or more in
respect of each party have been made during the period at the rates
which are reasonable having regard to prevailing market rates.
(vi) The Company has not accepted any deposits from the public during
the year. Hence provisions of section 58A & 58AA or any other relevant
provisions of the Companies Act, 1956 and rules of Companies
(Acceptance of Deposits) Rules, 1975 with regard to the deposits are
not applicable to the Company.
(vii) In our opinion, the Company has an internal audit system,
commensurate with its size and nature of its business.
(viii)In our opinion and according to the information and explanations
given to us, maintenance of cost records as prescribed by the Central
Govt. under section 209(1) (d) of the Act, is not required as the
Company is not in the manufacturing activity.
(ix) (a) The Company is regular in depositing undisputed statutory
dues including provident fund, investor education and protection fund,
employees' state insurance, income-tax, wealth tax, service tax and
any other statutory dues with the appropriate authorities. There was no
outstanding against any undisputed statutory dues as on 31.03.2012.
(b) According to the records and information and explanations given to
us, there is no outstanding of any disputed statutory dues as on
31.03.2012.
(x) The Company neither have accumulated losses at the end of the year,
nor incurred cash losses during the current financial year or in the
immediately preceding Financial Year.
(xi) On the basis of the verification of records and information and
explanations given to us, the Company does not owe any dues to
financial institutions or banks. The Company has not issued any
debentures during the year.
(xii) The Company has maintained proper record for dealing and trading
in shares, securities, debentures and timely entries have been made
therein. The shares, securities and debentures and other investments
have been held by the Company in its own name except to the extent of
exemption granted under section 49 of the Act.
(xiii) In our opinion and according to information and explanations
given to us, the Company has not given any Guarantee for loans taken by
others from Banks or Financial Institutions.
(xiv)The Company has not raised any Term Loan during the year.
(xv) According to the cash flow statement and other records examined by
us and the information and explanations given to us, on overall basis,
the funds raised on short-term basis have not been used during the year
for long-term investments.
(xvi)The Company has not made any preferential allotment of shares to
any party covered in the register maintained u/s 301 of the Companies
Act, 1956.
(xvii)To the best of our knowledge and information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the year.
The Para Nos. 4 (xii), (xiii), (xix) and (xx) of the Companies
(Auditor's Report) Order, 2003 are not applicable to the Company.
For Agiwal & Associates
(Firm Registration No: 000181N)
Chartered Accountants
Place: New Delhi (P.C. Agiwal)
Date: 29th May, 2012 Partner
(M.No. 80475)
Mar 31, 2010
We have audited the attached Balance Sheet of VLS Finance Ltd. as at
31st March 2010 and also Profit and Loss Account of the Company for the
year ended on that date annexed thereto and the cash flow statement for
the year ended on that date annexed thereto. These financial statements
are the responsibility of the CompanyÃs 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.
1. As required by the Companies (Auditors Report) Order, 2003 issued
by the Department of Company Affairs in terms of section 227 (4A) of
the Companies Act, 1956 we enclose in the annexure a statement on the
matters specified in paragraph 4 & 5 of the said Order, to the extent
applicable to the Company.
2. Further to our comments in the annexure referred to in paragraph
one above 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 accounts as required by law have
been kept by the Company, so far as appears from our examination of
those books;
c) The Balance Sheet, Profit & Loss Account and cash flow statement
dealt with by this report are in agreement with the books of accounts;
d) 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;
e) 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
subsection (1) of section 274 of the companies Act 1956;
In our opinion and to the best of our information and according to the
explanation given to us, the said accounts read with significant
accounting policies and notes to accounts thereon 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;
1) In the case of Balance Sheet, of the state of affairs of the Company
as at 31st March 2010 and;
2) In the case of the Profit and Loss Account, of the profit of the
Company for the year ended on that date;
3) In the case of Cash Flow Statement, of the cash flows for the year
ended on that date.
ANNEXURE TO AUDITORS REPORT
REFERRED TO IN PARAGRAPH (1) OF OUR REPORT OF EVEN DATE
Re: VLS Finance Ltd. for the year ended 31st March 2010
(i) (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the fixed assets except assets on lease, which are in the
possession of the lessee, have been physically verified by the
management at the reasonable interval. No material discrepancies were
noticed on such verification as informed to us.
(c) In our opinion and according to information and explanations given
to us, the Company has not disposed off substantial part of fixed
assets during the year.
(ii) (a) The securities held as stock-in-trade have been physically
verified by the management during the year. 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 stock-in-trade
followed by the management were found reasonable and adequate in
relation to the size of the Company and the nature of its business.
(c) In our opinion and according to information and explanations given
to us, the Company has maintained proper records of its inventories.
The discrepancies noticed on verification between the physical stocks
and book records which are not material in relation to the Company,
have been properly dealt with in the books of accounts.
(iii) (a) The Company has granted interest free unsecured loan to the
subsidiary company listed in the register maintained under section 301
of the Companies Act, 1956 and the amount outstanding from one
subsidiary company as on 31.03.2010 is Rs.9,15,511/-.
(b) In our opinion the terms and conditions of such unsecured loan
given by the Company are prima facie not prejudicial to interest of the
Company.
(c) As per information given to us, the aforesaid loan given to the
subsidiary company is payable on demand and there is no overdue amount
at the year end.
(d) The Company has not taken any loans, secured or unsecured from
companies, firms or other parties covered in the register maintained
under section 301 of the Act. Accordingly, the provisions of clause
(f) and (g) of the Order are not applicable.
(iv) In our opinion and according to the information and explanations
given to us, the Company has an adequate internal control procedure
commensurate with its size and nature of its business, for the purchase
of fixed assets and for purchase/sale of securities. During the course
of our audit, we have not observed any continuing failure to correct
major weaknesses in internal control system during the year.
(v) ( a) To the best of our knowledge and belief and according to
information and explanations given to us, the transactions that needed
to be entered into the register maintained in pursuance to section 301
of the Companies Act, 1956, have been so entered.
(b) According to information and explanation given to us, the
transaction, made in pursuance of contracts or arrangements entered
into Register(s) maintained under section 301 of the Companies Act,
1956 as aggregating to Rs. 5,00,000/- (Rs. Five Lacs only) or more in
respect of each party have been made during the period at the rates
which are reasonable having regard to prevailing market rates.
(vi) The Company has not accepted any deposits from the public during
the year. Hence provisions of section 58A & 58AA or any other relevant
provisions of the Companies Act, 1956 and rules of Companies
(Acceptance of Deposits) Rules, 1975 with regard to the deposits are
not applicable to the Company.
(vii) In our opinion, the Company has an internal audit system,
commensurate with its size and nature of its business.
(viii) In our opinion and according to the information and explanations
given to us, maintenance of cost records as prescribed by the Central
Govt. under section 209(1) (d) of the Act, is not required as the
Company is not in the manufacturing activity.
(ix) (a) The Company is regular in depositing undisputed statutory dues
including provident fund, investor education and protection fund,
employees state insurance, income- tax, wealth tax, service tax and
any other statutory dues with the appropriate authorities. There was
no outstanding against any undisputed statutory dues as on 31.03.2010.
(b) According to the records and information and explanations given to
us, there is no outstanding of any disputed statutory dues as on
31.03.2010.
(x) The Company neither have accumulated losses at the end
of the year, nor incurred cash losses during the current financial year
or in the immediately preceding Financial Year.
(xi) On the basis of the verification of records and information and
explanations given to us, the Company does not owe any dues to
financial institutions or banks. The Company has not issued any
debentures during the year.
(xii) The Company has maintained proper record for dealing and trading
in shares, securities, debentures and timely entries have been made
therein. The shares, securities and debentures and other investments
have been held by the Company in its own name except to the extent of
exemption granted under section 49 of the Act.
(xiii) In our opinion and according to information and explanations
given to us, the Company has not given any Guarantee for loans taken by
others from Banks or Financial Institutions.
(xiv) The Company has not raised any Term Loan during the year.
(xv) According to the cash flow statement and other records examined by
us and the information and explanations given to us, on overall basis,
the funds raised on short-term basis have not been used during the year
for long-term investments.
(xvi) The Company has not made any preferential allotment of shares to
any party covered in the register maintained u/s 301 of the Companies
Act, 1956.
(xvii) To the best of our knowledge and information and explanations
given to us, no fraud on or by the Company has been noticed or reported
during the year.
The Para Nos. 4 (xii), (xiii), (xix) and (xx) of the Companies
(Auditors Report) Order, 2003 are not applicable to the Company.
For Agiwal & Associates
Chartered Accountants
(Firm Registration No: 000181N)
Place: New Delhi (P.C.Agiwal)
Date: 26th May, 2010 Partner
(M. No.80475)
Disclaimer: This is 3rd Party content/feed, viewers are requested to use their discretion and conduct proper diligence before investing, GoodReturns does not take any liability on the genuineness and correctness of the information in this article