TO THE MEMBERS OF AASTHA BROADCASTING NETWORK LIMITED
REPORT ON THE STANDALONE FINANCIAL STATEMENTS
We have audited the accompanying standalone financial statements of AASTHA BROADCASTING
NETWORK LIMITED ( "the company") which comprise the Balance Sheet as at 31st
March 2016, the statement of Profit & Loss Account, 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 Standalone Financial Statements:
The companys Board of Directors is responsible for the matters stated in Section
134(5) of the Companies Act, 2013("the Act") with respect to the preparation of
these standalone financial statements that give a true and fair view of the financial
position, financial performance and cash flows of the Company in accordance with the
accounting principles generally accepted in India, including the Accounting Standards
specified Under Section 133 of the Act, read with Rule 7 of the Companies (Accounts)
Rules, 2014. This responsibility also includes maintenance of adequate accounting records
in accordance with the provisions of the Act for safeguarding of the assets of the Company
and for preventing and detecting frauds and other irregularities; selection and
application of appropriate 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 ef the accounting records, relevant to the preparation and presentation of
the financial statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
Auditor’s Responsibility:
Our responsibility is to express an opinion on these standalone financial statements
based on our audit.
We have taken into account the provisions of the Act, the accounting and auditing
standards and matters which are required to be included in the audit report un • -
the provisions of the Act and the Rules made there under.
We conducted our audit in accordance with the Standards on Auditing specified under
Section 143(10) of the Act. Those Standards require that we comply with ethical
requirements and plan and perform the audit to obtain reasonable assurance about whether
the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and
the disclosures in the financial statements. The procedures selected depend on the
auditor’s judgment, including the assessment of the risks of material misstatement of
the financial statements, whether due to fraud or error. In making those risk assessments,
the auditor considers internal financial control relevant to the Company’s
preparation of the financial statements that give a true and fair view in order to design
audit procedures that are appropriate in the circumstances. An audit also includes
evaluating the appropriateness of accounting policies used and the reasonableness of the
accounting estimates made by the Companys Directors, as well as evaluating the overall
presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the standalone financial statement.
Opinion:
In our opinion and to the best of our information and according to the explanations
given to us, the aforesaid standalone financial statements give the information required
by the Act in the manner so required and give a true and fair view in conformity with the
accounting principles generally accepted in India, of the state of affairs of the Company
as at 31st March 2016, and its loss and its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements:
1. As required by the Companies (Auditor’s Report) Order, 2016 ( "the
Order" ) issued by the Central Government of India in terms of sub-section (11) of
section 143 of the Companies Act, 2013, we give in the Annexure A, a statement on the
matters specified in paragraph 3 and 4 of the order, to the extend applicable.
2. As required by section 143(3) of the Act, we report that:
a) We have sought and obtained all the information and explanations which to the best
of our knowledge and belief were necessary for the 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 it appears from our examination of those books;
c) The Balance Sheet, 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 31st March
2016, taken on record by the Board of Directors, none of the Directors is disqualified as
on 31st March, 2016 from being appointed as a director in terms of Section
164(2) of the Act.
f) 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 " Annexure B" and
g) With respect to the other matters to be included in the Auditors Report in
accordance with the 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 disclosed the impact of pending litigations in its financial
statements - as stated in Clause No. 2 of Notes No. 20 of financial statements.
ii) the Company did not have any long-term contracts including derivative contracts for
which there were any material foreseeable losses;
iii) there were no amounts which were required to be transferred to the Investor
Education and Protection Fund by the Company.
For K.U. Kothari & Co.
Chartered Accountants
Firm Registration No.: 105310
Prakash Chechani
Partner
Membership No.: 104203
Place: Mumbai .
Date:30/05/2016
ANNEXURE-A TO THE AUDITOR’S REPORT
The Annexure referred to in our independent Auditors Report to the Members AASTHA
BROADCASTING NETWORK LIMITED, on the standalone financial statement for the year ended 31st
March, 2016.
i. (a) The Company has maintained proper records showing full particulars, including
quantitative details and situation of fixed assets;
(b) As explained to us, the company has a regular programme of. physical verification
of its fixed assets by which all the fixed assets are verified in a phased manner over a
period of three years. In our opinion this periodicity of the physical verification is
reasonable having regard to the size of the Company and nature of its assets. No material
discrepancies were noticed on such verification.
(c) According to the information and explanations given to us and on the basis of our
examination of the records of the company, the title deeds of immovable properties if any
are held in the name of the company.
ii. As Explained to us, the physical verification of the inventory has been conducted
at reasonable intervals by the management and no material discrepancies were noticed .
iii. As per the information and explanations given to us, the company has not granted
any loans, secured or unsecured to the companies, firms, Limited Liability partnerships or
other parties covered in the register maintained under section 189 of the Companies Act,
2013 hence clause no. iii(a), iii(b) and iii(c) of the order are not applicable to the
Company.
iv. In our opinion and according to the information and explanations given to us, there
are no loans to directors including entities in which they are interested in respect uf
which the provisions of section 185 of the Companies Act, 2013 are applicable and hence
not commented upon. In our opinion and according to the information and explanations given
to us, the Company has complied with the provisions of section 186 of the Companies Act,
2013 in respect of investments made if any.
v. In our opinion and according to the information and explanations given to us, the
Company has not accepted deposits, in terms of directives issued by the Reserve Bank of
India and the provisions of Sections 73 to 76 or any other relevant provisions of the
Companies Act, 2013 and the rules framed there under.
vi. According to the information and explanations given to us, the maintenance records
has not been specified by the Central Government under Section 148(1) of the Companies
Act, 2013.
vii. a) According to the information and explanations given to us, the company is
generally regular in depositing undisputed statutory dues including provident fund,
employees state insurance, income - tax, sales - tax, wealth tax, service -tax, duty of
customs, duty of excise, value added tax, cess and any other statutory dues where ever
applicable with the appropriate authorities except Service tax of Rs. 1,60,872/-. which
have remained outstanding as at 31st March, 2016 for a period of more than six months from
the date they became payable and the company had filed an appeal against the said
liability before CESTAT.
(b) According to the information and explanations given to us, there are no dues of
income tax or sales tax or wealth tax or duty of customs or duty of excise or value added
tax or cess have not been deposited on account of any dispute. The details of disputed
dues as 31st March, 2016 in respect of service tax, are as follows
| Name of statute |
Nature of dues |
Amount Rupees |
Period to which the amount relates (various years covering the
period) |
| Service Tax |
Service Tax Penalty |
1,02,55,493/- |
2001-06 |
viii. The company has not taken any loan from financial institution, bank, Government
or there are no due to debenture holders hence the clause viii of the order is not
applicable to the company.
ix. The Company did not raise any money by way of initial public offer or further
public offer (including debt instruments) and term loans during the year. Accordingly,
paragraph 3 (ix) of the Order is not applicable.
x. According to the information and explanations given to us, no fraud by the Company
or on the Company by its officers or employees has been noticed or reported during the
course of our audit.
xi. According to the information and explanations give to us no managerial remuneration
has been paid or provided hence the clause (xi) of the order is not applicable.
xii. In our opinion and according to the information and explanations given to us, the
Company is not a nidhi company. Accordingly, paragraph 3(xii) of the Order is not
applicable.
xiii. According to the information and explanations there are no transactions with the
related parties hence the clause (xiii) of the order is not applicable.
xiv. The company has not made any preferential allotment or private plat of shares or
fully or partly convertible debentures during the year under i^vicw therefore clause (xiv)
of the order is not applicable.
xv. According to the information and explanations given to us and based on our
examination of the records of the Company, the Company has not entered into non-cash
transactions with directors or persons connected with him. Accordingly, clause (xv) of the
Order is not applicable.
xvi. According to the information and explanations given to us, the provisions of
section 45-IA of the Reserve Bank of India Act, 1934 are not applicable to the Company.
For K.U. Kothari & Co.
Chartered Accountants
Firm Registration No.: 105310
Prakash Chechani
Partner
Membership No.: 104203
Place: Mumbai .
Date:30/05/2016
+91-9892691696
