TO THE MEMBERS OF MIDAS INFRA TRADE LIMITED Report on the IND AS Financial Statements
Qualified Opinion
We have audited the accompanying Ind AS financial statements of MIDAS INFRA TRADE
LIMITED ("the Company"), which comprise the Balance Sheet as at 31st
March, 2021, the Statement of Profit and Loss, the Statement of Cash Flows and the
Statement of Changes in Equity for the year then ended on that date including a summary of
significant accounting policies and other explanatory information (hereinafter referred to
as ‘financial statements).
In our opinion and to the best of our information and according to the explanations
given to us except for the effect of the matters described in the Basis for Qualified
opinion referred to in our report which could not be quantified, the aforesaid financial
statements give the information required by the Companies Act, 2013 ("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 2021, the statement of profit & loss for the loss, its cash flows and changes in
equity for the year ended on that date.
Basis for Qualified Opinion
(a) The Company fails to provide sufficient appropriate evidence for the measurement of
Financial assets and liabilities as per the requirements of Ind AS 109 "Financial
Instruments". In the absence of any convincing audit evidences regarding the
measurement of the Financial Assets & Liabilities as recognized in the financial
statements, we are unable to determine the possible effect on the financial result.
We conducted our audit of the financial statements in accordance with the Standards on
Auditing (SAs) specified under section 143(10) of the Act. Our responsibilities under
those Standards are further described in the Auditors 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
financial statements under the provisions of the Act and the Rules made 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 opinion on the financial statements.
Information Other than the Financial Statements and Auditors Report Thereon
The Companys Board of Directors is responsible for the Other Information. The Other
Information comprises the information included in the Directors Report but does not
include the financial statements and our auditors report thereon.
Our opinion on the 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 financial statements, our responsibility is to read
the other information and, in doing so, consider whether the other information is
materially inconsistent with the 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.
Responsibilities of Management and Those Charged with Governance for the Financial
Statements
The Companys Board of Directors is responsible for the matters stated in section
134(5) of the Act with respect to the preparation of these financial statements that give
a true and fair view of the financial position, financial performance, changes in equity
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. 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 judgements and estimates that are
reasonable and prudent; and design, implementation and maintenance of adequate internal
financial controls, that were operating effectively for ensuring the accuracy and
completeness of the accounting records, relevant to the preparation and presentation of
the financial statements that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
In preparing the financial statements, the Board of Directors is responsible for
assessing the Companys ability to continue as a going concern, disclosing, as applicable,
matters related to going concern and using the going concern basis of accounting unless
the Board of Directors 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 Companys financial
reporting process.
Auditors Responsibilities for the Audit of the 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 auditors 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 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 control 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 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.
• Evaluate the appropriateness of accounting policies used and the reasonableness
of accounting estimates and related disclosures made by management.
• Conclude on the appropriateness of managements 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 Companys
ability to continue as a going concern. If we conclude that a material uncertainty exists,
we are required to draw attention in our auditors report to the related disclosures in
the 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 auditors
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 financial
statements, including the disclosures, and whether the financial statements represent the
underlying transactions and events in a manner that achieves fair presentation.
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.
Report on Other Legal and Regulatory Requirements
1 As required by the Companies (Auditors Report) Order, 2016 ("the Order")
issued by the Central Government of India in terms of sub-section (11) of Section 143 of
the Act, we give in the Annexure-A, a statement on the matters specified in paragraph 3
and 4 of the Order, to the extent 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 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) Balance Sheet, the Statement of Profit and Loss including Other Comprehensive
Income, Statement of changes 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 financial statements comply with the Accounting
Standards specified under Section 133 of the Act.
(e) On the basis of the written representations received from the directors as on 31st
March 2021, taken on record by the Board of Directors, none of the directors is
disqualified as on 31st March 2021 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 with reference to
financial statements of the Company and the operating effectiveness of such controls,
refer to our separate Report in ‘Annexure-B;
(g) With respect to the other matters to be included in the Auditors 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 disclosed the impact, wherever necessary, of pending litigations on
its financial position in its financial statement.
ii. the Company has made provision, as required under the applicable law or accounting
standard, for material foreseeable losses, if any, on long-term contracts including
derivative contracts.
iii. there were no amounts which were required to be transferred to the Investor
Education and Protection Fund by the Company.
ANNEXURE-A TO THE INDEPENDENT AUDITORS REPORT ON FINANCIAL STATEMENTS OF MIDAS INFRA
TRADE LIMITED, FOR THE YEAR ENDED 31ST MARCH, 2021
(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory
Requirements section of our report of even date)
1. a) The Company has not maintained proper records showing full particulars, including
quantitative details and situation of fixed assets.
b) The fixed assets have not been physically verified by the management during the year
and we are unable to comment on the discrepancies (if any)
c) The title deed of the Immovable property (which was purchased during the year
2019-20) disclosed in the financial statements are held in the name of the company.
2. As explained to us, inventories have been physically verified during the year by the
management. We are unable to comment on the discrepancies (if any) as the same were not
made available to us. Valuation of inventory has been taken as provided and certified by
the management of the Company.
3. According to the information and explanations given to us, the Company has not,
granted any loans to the parties covered in the register maintained under Section 189 of
the Companies Act, 2013, hence, the provisions of clause 3(iii) of the Order are not
applicable to the Company.
4. In our opinion and according to the information and explanations given to us, the
Company has complied with provisions of Sections 185 and 186 of the Act in respect of
loans, investments, guarantees and securities.
5. According to the information and explanations given to us, the Company has not
accepted any deposits covered by the provisions of Sections 73 to 76 or any other relevant
provisions of the Act and the rules framed there under.
6. Central Government has not prescribed for the Company the maintenance of cost
records under sub Section (1) of Section 148 of the Companies Act, and hence the
provisions of clause 3(vi) of Companies (Auditors Report) Order 2016 are not applicable
to the Company.
7. a) According to the information and explanations given to us and on the basis of
examination of the records of the Company, the Company is generally regular in depositing
with appropriate authorities undisputed statutory dues including provident fund,
employees state insurance, income tax, goods and services tax, duty of customs, cess and
other statutory dues applicable to it except as mentioned below. According to the
information and explanations given to us, no undisputed amounts payable in respect of the
aforesaid dues were in arrears as at the balance sheet date for a period of more than six
months from the date they became payable except as mentioned below.
| Name of the Statute |
Nature of the Dues |
Amount (Rs) |
Period to which the amount relates |
Due Date |
Date of Paym ent |
Remar ks, if any |
| Employee Provident Fund |
Employer and employee share |
84,000 |
2019-20 |
15.10.2019 |
|
|
| Employee Provident Fund |
Employer and employee share |
81,364 |
2019-20 |
15.11.2019 |
|
|
| Employee Provident Fund |
Employer and employee share |
68,311 |
2019-20 |
15.12.2019 |
|
|
| Employee Provident Fund |
Employer and employee share |
69,698 |
2019-20 |
15.01.2020 |
|
|
| Employee Provident Fund |
Employer and employee share |
68,908 |
2019-20 |
15.02.2020 |
|
|
| Employee Provident Fund |
Employer and employee share |
64,640 |
2019-20 |
15.03.2020 |
|
|
| Employee Provident Fund |
Employer and employee share |
45,264 |
2019-20 |
15.04.2020 |
|
|
| Employee state insurance scheme |
Employer and employee share |
7,024 |
2019-20 |
15.12.2019 |
|
|
| Employee state insurance scheme |
Employer and employee share |
7,147 |
2019-20 |
15.01.2020 |
|
|
| Employee state insurance scheme |
Employer and employee share |
7,323 |
2019-20 |
15.02.2020 |
|
|
| Employee state insurance scheme |
Employer and employee share |
1,358 |
2019-20 |
15.03.2020 |
|
|
| Employee state insurance scheme |
Employer and employee share |
949 |
2019-20 |
15.04.2020 |
|
|
| Income Tax |
TDS u/s 194C |
3,496 |
2019-20 |
07.05.2019 |
- |
- |
| Income Tax |
TDS u/s 194C |
47,190 |
2019-20 |
07.06.2019 |
- |
- |
| Income Tax |
TDS u/s 194C |
15,594 |
2019-20 |
07.07.2019 |
- |
- |
| Income Tax |
TDS u/s 194C |
16,967 |
2019-20 |
07.08.2019 |
- |
- |
| Income Tax |
TDS u/s 194C |
5,681 |
2019-20 |
07.09.2019 |
- |
- |
| Income Tax |
TDS u/s 194C |
6,689 |
2019-20 |
07.10.2019 |
- |
- |
| Income Tax |
TDS u/s 194C |
599 |
2019-20 |
07.11.2019 |
|
|
| Income Tax |
TDS u/s 194C |
585 |
2019-20 |
07.12.2019 |
|
|
| Income Tax |
TDS u/s 194C |
8,527 |
2019-20 |
07.01.2020 |
|
|
| Income Tax |
TDS u/s 194C |
16,750 |
2019-20 |
07.02.2020 |
|
|
| Income Tax |
TDS u/s 194C |
35,339 |
2019-20 |
07.03.2020 |
|
|
| Income Tax |
TDS u/s 194C |
7,820 |
2019-20 |
30.04.2020 |
|
|
| Income Tax |
TDS u/s 194I |
2,18,484 |
2019-20 |
07.05.2019 |
- |
- |
| Income Tax |
TDS u/s 194I |
2,18,484 |
2019-20 |
07.06.2019 |
- |
- |
| Income Tax |
TDS u/s 194I |
2,18,484 |
2019-20 |
07.07.2019 |
- |
- |
| Income Tax |
TDS u/s 194I |
63,384 |
2019-20 |
07.08.2019 |
- |
- |
| Income Tax |
TDS u/s 194I |
55,884 |
2019-20 |
07.09.2019 |
- |
- |
| Income Tax |
TDS u/s 194I |
55,884 |
2019-20 |
07.10.2019 |
- |
- |
| Income Tax |
TDS u/s 194I |
60,000 |
2019-20 |
07.11.2019 |
|
|
| Income Tax |
TDS u/s 194I |
37,500 |
2019-20 |
07.12.2019 |
|
|
| Income Tax |
TDS u/s 194I |
75,500 |
2019-20 |
07.01.2020 |
|
|
| Income Tax |
TDS u/s 194I |
75,500 |
2019-20 |
07.02.2020 |
|
|
| Income Tax |
TDS u/s 194I |
56,500 |
2019-20 |
07.03.2020 |
|
|
| Income Tax |
TDS u/s 194I |
56,500 |
2019-20 |
30.04.2020 |
|
|
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.05.2019 |
- |
- |
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.06.2019 |
- |
- |
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.07.2019 |
- |
- |
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.08.2019 |
- |
- |
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.09.2019 |
- |
- |
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.10.2019 |
- |
- |
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.11.2019 |
|
|
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.12.2019 |
|
|
| Income Tax |
TDS u/s 194B |
18,000 |
2019-20 |
07.01.2020 |
|
|
| Income Tax |
TDS u/s 194B |
36,000 |
2019-20 |
07.02.2020 |
|
|
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
07.03.2020 |
|
|
| Income Tax |
TDS u/s 194B |
27,000 |
2019-20 |
30.04.2020 |
|
|
| Income Tax |
TDS u/s 194J |
56,750 |
2019-20 |
07.05.2019 |
|
|
| Income Tax |
TDS u/s 194J |
71,400 |
2019-20 |
07.06.2019 |
|
|
| Income Tax |
TDS u/s 194J |
58,200 |
2019-20 |
07.07.2019 |
|
|
| Income Tax |
TDS u/s 194J |
20,175 |
2019-20 |
07.08.2019 |
|
|
| Income Tax |
TDS u/s 194J |
72,100 |
2019-20 |
07.09.2019 |
|
|
| Income Tax |
TDS u/s 194J |
81,600 |
2019-20 |
07.10.2019 |
|
|
| Income Tax |
TDS u/s 194J |
12,500 |
2019-20 |
07.11.2019 |
|
|
| Income Tax |
TDS u/s 194J |
18,900 |
2019-20 |
07.12.2019 |
|
|
| Income Tax |
TDS u/s 194J |
12,500 |
2019-20 |
07.01.2020 |
|
|
| Income Tax |
TDS u/s 194J |
19,500 |
2019-20 |
07.02.2020 |
|
|
| Income Tax |
TDS u/s 194J |
30,000 |
2019-20 |
07.03.2020 |
|
|
| Income Tax |
TDS u/s 194J |
57,456 |
2019-20 |
30.04.2020 |
|
|
| Income Tax |
TDS u/s 194C |
4,778 |
2020-21 |
07.05.2020 |
|
|
| Income Tax |
TDS u/s 194C |
765 |
2020-21 |
07.07.2020 |
|
|
| Income Tax |
TDS u/s 194C |
8,652 |
2020-21 |
07.10.2020 |
|
|
| Income Tax |
TDS u/s 194J |
32,500 |
2020-21 |
07.05.2020 |
|
|
| Income Tax |
TDS u/s 194J |
15,500 |
2020-21 |
07.06.2020 |
|
|
| Income Tax |
TDS u/s 194J |
7,827 |
2020-21 |
07.07.2020 |
|
|
| Income Tax |
TDS u/s 194J |
1,875 |
2020-21 |
07.08.2020 |
|
|
| Income Tax |
TDS u/s 194J |
1,875 |
2020-21 |
07.09.2020 |
|
|
| Income Tax |
TDS u/s 194J |
1,875 |
2020-21 |
07.10.2020 |
|
|
| Income Tax |
TDS u/s 194I |
3,750 |
2020-21 |
07.07.2020 |
|
|
| Income Tax |
TDS u/s 194I |
3,750 |
2020-21 |
07.08.2020 |
|
|
| Income Tax |
TDS u/s 194I |
3,750 |
2020-21 |
07.09.2020 |
|
|
| Income Tax |
TDS u/s 194I |
3,750 |
2020-21 |
07.10.2020 |
|
|
b) According to the records of the Company, there are no dues outstanding of income
tax, sales tax (including value added tax and central sales tax), service tax, goods and
services tax, duty of customs or duty of excise on account of any dispute.
8. Based on our audit procedures, in our opinion and according to the information and
explanations given by the management, the Company is regular in repayment of dues to
financial institutions or banks.
9. According to the information and explanations given to us, the Company has not
raised moneys by way of initial public offer or further public offer (including debt
instruments).
10. Based upon the audit procedures and according to the information and explanations
given by the management, we report that 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.
11. Based on the information provided, the managerial remuneration has not been paid or
provided in accordance with the requisite approvals mandated by the provision of Section
197 read with schedule 5 to the Companies Act, 2013.
12. In our opinion and according to the information and explanations given to us, the
Company is not a Nidhi Company. Accordingly, the paragraph 3(xii) of the Order is not
applicable.
13. According to the information and explanations given to us and based on our
examination of the records of the Company, transactions with the related parties are in
compliance with Sections 177 and 188 of Companies Act, 2013 where applicable and the
details of such transactions have been disclosed in the Ind AS financial statements as
required by the applicable accounting standards.
14. According to the information and explanations given to us and on an overall
examination of the balance sheet, the Company has not made private placement of shares
during the period under review.
15. According to the information and explanation given to us, the Company has not
entered into any non-cash transactions with directors or persons connected with him.
16. The Company is not required to be registered under Section 45-IA of the Reserve
Bank of India Act, 1934. Accordingly, the paragraph 3(xvi) of the Order is not applicable.
ANNEXURE-B TO THE INDEPENDENT AUDITORS REPORT ON FINANCIAL STATEMENTS OF MIDAS INFRA
TRADE LIMITED, FOR THE YEAR ENDED 31ST MARCH, 2021
(Report on the Internal Financial Controls under Clause (i) of sub-section 3 of Section
143 of the Companies Act, 2013 ("the Act) as referred to in paragraph 2(f) of
‘Report on Other Legal and Regulatory Requirements section.)
We have audited the internal financial controls with reference to financial statements
of MIDAS INFRA TRADE LIMITED ("the Company") as of 31st March, 2021
in conjunction with our audit of the Ind AS financial statements of the Company for the
year ended on that date.
Managements Responsibility for Internal Financial Controls
The Companys management is responsible for establishing and maintaining internal
financial controls based on the internal control with reference to financial statements
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 (the "Guidance Note") issued by the Institute of Chartered Accountants
of India (ICAI).
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 Companys 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 Act.
Auditors Responsibility
Our responsibility is to express an opinion on the Companys internal financial
controls with reference to financial statements based on our audit conducted in accordance
with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting
(the ‘Guidance Note) and the Standards on Auditing, issued by ICAI and deemed to
be prescribed under Section 143(10) of the Act, 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 with reference to financial statements 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 with reference to financial statements and their
operating effectiveness. Our audit of internal financial controls with reference to
financial statements included obtaining an understanding of internal financial controls
with reference to financial statements, 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 auditors
judgement, 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 Companys internal financial controls system
with reference to financial statements.
Meaning of Internal Financial Controls with reference to Financial Statements
A Companys internal financial control with reference to financial statements 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 Companys internal financial control with reference
to financial statements 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 the management and directors of the Company; and
(3) Provide reasonable assurance regarding prevention or timely detection of
unauthorized acquisition, use, or disposition of the Companys assets that could have a
material effect on the financial statements.
Inherent Limitations of Internal Financial Controls with reference to Financial
Statements
Because of the inherent limitations of internal financial controls with reference to
financial statements, 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 with
reference to financial statements to future periods are subject to the risk that the
internal financial control with reference to financial statements may become inadequate
because of changes in conditions, or that the degree of compliance with the policies or
procedures may deteriorate.
Qualified Opinion
In our opinion, the Company does not have internal financial controls with reference to
financial statements, which were operating effectively as at 31st March, 2021,
based on the internal control with reference to financial statements criteria considering
the essential components of internal control stated in the Guidance Note on Audit of
Internal Financial controls with reference to financial statements issued by Institute of
Chartered Accountants of India.
For A P R A & ASSOCIATES LLP
Chartered Accountants
Firm Registration Number: 011078N/N500064
ASHOK GUPTA
DESIGNATED PARTNER
Membership Number: 085683
Place: New Delhi
Date: JULY 03, 2021
UDIN: 21085683AAAACY1276
+91-9892691696
