Independent Auditor
To the Members of ACE TOURS WORLDWIDE LTD
Report On the Financial Statement
We have audited the accompanying financial statements of ACE TOURS WORLDWIDE LTD. ("the
Company"), which comprise the Balance Sheet as at March 31, 2014, and the Statement
of Profit and Loss and 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:
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 principles generally accepted in India,
including the Accounting Standards notified under the Companies Act, 1956 read with
General Circular 15/2013 dated 13 September 2013, issued by the Ministry of Corporate
Affairs, in respect of Section 133 of the Companies Act, 2013. This responsibility
includes the design, implementation and maintenance of internal control relevant to the
preparation and presentation of the financial statements that give a true and fair view
and are free from material misstatement, whether due to fraud or error.
Auditor’s Responsibility:
Our responsibility is to express an opinion on these financial statements based on our
audit. We conducted our audit in accordance with the Standards on Auditing issued by the
Institute of Chartered Accountants of India. Those Standards require that we comply with
ethical requirements and plan and perform the audit to obtain reasonable assurance about
whether the financial statements are free from material misstatement. An audit involves
performing procedures to obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on the auditor’s judgment,
including the assessment of the risks of material misstatement of the financial
statements, whether due to fraud or error. In making those risk assessments, the auditor
considers internal control relevant to the Company’s preparation and fair
presentation of the financial statements in order to design audit procedures that are
appropriate in the circumstances. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of the accounting estimates made by
management, as well as evaluating the overall presentation of the financial statements.
Opinion
We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion. In our opinion and to the best of our information
and according to the explanations given to us, the financial statements give the
information required by the Companies Act, 1956 in the manner so required and give a true
and fair view in conformity with the accounting principles generally accepted in India:
a) in the case of the Balance Sheet, of the state of affairs of the Company as at March
31, 2014;
b) in the case of the Profit and Loss Account, of the profit for the year ended on that
date; and
c) in the case of the Cash Flow Statement, of the cash flows for the year ended on that
date.
Report on Other Legal and Regulatory Requirements:
1. As required by the Companies (Auditor’s Report) Order, 2003 ("the
Order") issued by the Central Government of India in terms of sub-section (4A) of
section 227 of the Act, we give in the Annexure a statement on the matters specified in
paragraphs 4 and 5 of the Order. 2. 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, 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 Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement comply with the Accounting Standards notified under the Companies Act, 1956 read
with General Circular 15/2013 dated 13 September 2013, issued by the Ministry of Corporate
Affairs, in respect of Section 133 of the Companies Act, 2013;
e) on the basis of written representations received from the directors as on 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 clause (g) of
sub-section (1) of section 274 of the Companies Act, 1956.
|
for RASESH SHAH & ASSOCIATES |
|
Chartered Accountants |
|
RASESH B. SHAH |
|
(PARTNER) |
| Place : SURAT |
M. No. 34217 |
| Date : 05/07/2014 |
(F. R. NO. 108671W) |
Annexure to the Independent Auditors’ Report
(Referred to in paragraph (1) under the heading of "report on other legal and
regulatory requirements" of our report of even date)
(1) (a) The Company has maintained proper records showing full particulars including
quantitative details and situation of fixed assets.
(b) The fixed assets have been physically verified by the management during the period
at reasonable interval. As explained, no material discrepancy was noticed on physical
verification as compared with the record of fixed assets.
(c) In our opinion, substantial part of fixed assets have not been disposed off during
the year by the company, hence it does not affect the going concern status of the company.
(2) (a) The management of the company is not required to conduct physical verification
of inventories at reasonable intervals during the year.
This company is in the business of Tours and Travels, hence there is no closing stock.
In the absence of any transactions related to above clause, the question of our comments
on point no. 2(b), 2(c) of CARO, 2004 does not arise.
(3) (a) The company has granted loan to companies, firms or other parties covered in
the register maintained under section 301 of the Companies Act,1956. There are Twenty six
such parties, to whom the company has granted unsecured loans and the amount of new loan
granted is Rs 7,36,80,222/-. The loan granted has been repaid to the extent of Rs
31,79,060/-.
(b) The rate of interest and other terms and conditions of loans given by the company
are prima facie not prejudicial to the interest of the company.
(c) In absence of any documentary evidence relating to stipulation for payment of
principal amount or interest amount, it is not possible to comment whether payment of
principal amount & interest are regular.
(d) The company has taken unsecured loans from companies, firms or other parties
covered in the register maintained under section 301 of the Act. There are thirty one such
parties from whom the company has taken loan and the amount of loan taken is Rs
7,18,63,900/-. The loan taken has been repaid to the extent of Rs. 7,28,26,822/-.
(e) The rate of interest and other terms and conditions of loans taken by the company
are prima facie not prejudicial to the interest of the company.
(4) In our opinion and according to the information and explanation furnished, there is
adequate internal control procedure commensurate with the size of the company and the
nature of its business, for the purchase of inventory and fixed assets.
(5) (a) In our opinion and according to the information and explanations given to us,
there are no transactions exceeding Rs. 5,00,000/- in pursuance of contracts and
arrangements, that needed to be entered into the register maintained under section 301 of
the Companies Act, 1956.
(b) In respect to above, Para 5(b) is not applicable
(6) In our opinion and according to the information and explanation given, the company
has not accepted any deposits falling within the preview of Section 58A/ 58AA of Companies
Act, 1956 during the financial year.
(7) In our opinion and according to the information and explanation given to us, the
company has adequate internal audit system commensurate with the size and nature of its
business.
(8) The central government has not prescribed maintenance of cost records under clause
(d) of sub-section (1) of section 209 of the Act.
(9) (a) In our opinion and according to the information and explanation given, the
company is generally regular in depositing undisputed statutory dues including Provident
Fund, Employees State Insurance, Wealth Tax, Cess with the appropriate authorities.
However, the company has following taxes outstanding as on the 31st March 2014,
outstanding for more than six months from the date it became due.
| Service tax |
2007-08 |
Rs.2,58,133/- |
| Service tax |
2008-09 |
Rs. 55,586/- |
| Service tax |
2009-10 |
Rs.8,23,100/- |
| Service tax |
2012-13 |
Rs.7,86,592/- |
| Service tax |
2013-14 |
Rs.12,48,807/- |
| Professional Tax |
2009-10 |
Rs.21,900/- |
| Professional Tax |
2010-11 |
Rs.21,278/- |
| Professional Tax |
2011-12 |
Rs.4,280/- |
| Professional Tax |
2012-13 |
Rs.40,520/- |
| Professional Tax |
2013-14 |
Rs.5,675/- |
| Income Tax |
2009-10 |
Rs.1,20,210/- |
| ESIC |
EARLIER YEARS |
Rs.91,686/- |
| ESIC |
2013-14 |
Rs.10,989/- |
(b) In our opinion and according to the information and explanation given, there are no
dues which have not been deposited on account of any dispute. (10) The Company does not
have any accumulated losses.
(11) The company has not made any default in repayment of dues to a financial
institution or bank.
(12) No loans and advances have been granted on the basis of security by way of pledge
of shares, debentures and other securities by the company.
(13) The company is not a chit fund or a nidhi / mutual benefit fund/society.
Therefore, clause 4 (xiii) of the Companies (Auditor’s Report) Order 2003 is not
applicable to the Company.
(14) No transaction has been carried out by the company for dealing or trading in
shares, securities, debentures, and other investments.
(15) According to the information and explanations given, the company has not given
guarantees for the loans taken by others from banks or financial institutions.
(16) During the year under consideration, the company has not raised any term loan,
hence the question of our comments on this point does not arise.
(17) According to the information and explanations given to us and on an overall
examination of Balance Sheet, fund raised on short term basis have not been used for long
term investments.
(18) The company has not made any preferential allotment of shares to parties and
companies covered in the Register maintained under section 301 of the Act.
(19) The company has not issued debenture during the year. Hence, the question of
creation of securities in respect of debentures does not arise.
(20) According to the information and explanations given to us, the company has raised
a sum of Rs. 8,00,00,000/- (Including Security Premium of Rs. 3,00,00,000/-) by way of
public issues during the year under review. In this regard, it is stated that the company
has temporarily deployed the said fund in inter corporate deposits as an interim measures
to earn interest pending deployment towards object of the issue.
(21) In our opinion and according to the information & explanation given to us, no
fraud on or by the company has been noticed or reported during the year.
|
for RASESH SHAH & ASSOCIATES |
|
Chartered Accountants |
|
RASESH B. SHAH |
|
(PARTNER) |
| Place : SURAT |
M. No. 34217 |
| Date : 05/07/2014 |
(F. R. NO. 108671W) |
+91-9892691696
