TO THE MEMBERS OF
JAYBHARAT TEXTILES AND REAL ESTATE LIMITED REPORT ON THE STANDALONE FINANCIAL
STATEMENTS
We have audited the accompanying standalone financial statements of JAYBHARAT
TEXTILES AND REAL ESTATE LIMITED (‘the Company), which comprise the Balance
Sheet as at March 31, 2019, the Statement of Profit and Loss and the Cash Flow Statement
for the year then ended, and a summary of the significant accounting policies and other
explanatory information.
MANAGEMENTS 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, as applicable. This responsibility also includes
maintenance of adequate accounting records in accordance with the provisions of the Act
for safeguarding 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 these standalone financial statements that give a true and
fair view and are free from material misstatement, whether due to fraud or error.
AUDITORS 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
under the provisions of the Act and the Rules made there under and the Order under Section
143(11) of the Act. 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 standalone financial statements are free from material misstatement. An audit
involves performing procedures to obtain audit evidence about the amounts and the
disclosures in the standalone financial statements. The procedures selected depend on the
auditors judgment, including the assessment of the risks of material misstatement of the
standalone financial statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal financial control relevant to the Companys
preparation of the standalone 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 the 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 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, 2019, and its profit and its cash flows for the year ended on that date.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1. As required by 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 relating to preparation
of the standalone financial statements 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 the Cash Flow Statement
dealt with by this Report are in agreement with the books of account maintained for the
purpose of preparation of these standalone financial statements.
(d) In our opinion, the aforesaid standalone financial statements comply with the
Accounting Standards specified under Section 133 of the Act, as applicable.
(e) On the basis of the written representations received from the Directors as on March
31, 2019, taken on record by the Board of Directors, none of the Directors is disqualified
as on March 31, 2019 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 A. Our report expresses an unmodified opinion on the
adequacy and operating effectiveness of the Companys internal financial controls over
financial reporting.
(g) With respect to the other matters to be included in the Independent 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 of pending litigations on its financial
position in its standalone financial statements.
ii) The Company has made provision in its financial statements, as required under the
applicable law or accounting standards, for material foreseeable losses on long term
contracts including derivative contracts;
iii) There has been no delay in transferring amounts, required to be transferred, to
the Investor Education and Protection Fund by the Company.
2. As required by the Companies (Auditors Report) Order, 2016 (‘the Order)
issued by the Central Government in terms of Section 143(11) of the Act, we give in
‘Annexure B a statement on the matters specified in paragraphs 3 and 4 of the Order.
|
FOR RISHI SEKHRI & ASSOCIATES |
|
CHARTERED ACCOUNTANTS |
|
Sd/- |
|
Rishi Sekhri |
|
Partner |
| Place: Mumbai, |
MEMBERSHIP NO: 126656 |
| Date: 29/05/2019 |
FIRM REG NO: 128216W |
ANNEXURE ‘A TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 1(f) under ‘Report on Other Legal and Regulatory
Requirements section of our report of even date)
Report on the Internal Financial Controls Over Financial Reporting under Clause (i) of
Sub–section 3 of Section 143 of the Companies Act, 2013 (‘the Act)
We have audited the internal financial controls over financial reporting of JAYBHARAT
TEXTILES AND REAL ESTATE LIMITED (‘the Company) as of March 31, 2018 in conjunction
with our audit of the standalone financial statements of the Company for the year ended
and as 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 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 (the ‘Guidance Note).
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 over financial reporting based on our audit. We conducted our audit in accordance
with the Standards on Auditing prescribed under Section 143(10) of the Act and the
Guidance Note, to the extent applicable to an audit of internal financial controls. Those
Standards and the Guidance Note require that we comply with the 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 auditors judgment, including the assessment of the risks of
material misstatement of the standalone 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 over financial reporting.
Meaning of Internal Financial Controls Over Financial Reporting
A companys 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 companys 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
companys 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 controls
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, to the best of our information and according to the explanations given
to us, 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 March 31, 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.
|
FOR RISHI SEKHRI & ASSOCIATES |
|
CHARTERED ACCOUNTANTS |
|
Sd/- |
|
Rishi Sekhri |
|
Partner |
| Place: Mumbai, |
MEMBERSHIP NO: 126656 |
| Date: 29/05/2019 |
FIRM REG NO: 12821600W |
ANNEXURE ‘B TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 2 under ‘Report on Other Legal and Regulatory
Requirements section of our report of even date) Report on Companies (Auditors Report)
Order, 2016 (‘the Order) issued by the Central Government in terms of Section
143(11) of the Companies Act, 2013 (‘the Act) of JAYBHARAT TEXTILES AND REAL ESTATE
LIMITED (‘the Company)
1. In respect of the Companys fixed assets:
(a) The Company has maintained proper records showing full particulars, including
quantitative details and situation of fixed assets.
(b) The fixed assets were physically verified during the year by the Management in
accordance with a regular programme of verification which, in our opinion, provides for
physical verification of all the fixed assets at reasonable intervals. According to the
information and explanations given to us, no material discrepancies were noticed on such
verification.
(c) According to the information and explanations given to us and the records examined
by us and based on the examination of the title deeds, we report that, the title deeds,
comprising all the immovable properties of land and buildings, are held in the name of the
Company as at the balance sheet date.
2. As explained to us, the inventories were physically verified during the year by the
Management at reasonable intervals and no material discrepancies were noticed on physical
verification.
3. 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 Act.
4. In our opinion and according to the information and explanations given to us, the
Company has complied with the provisions of Sections 185 and 186 of the Act in respect of
grant of loans, making investments and providing guarantees and securities, as applicable.
5. The Company has not accepted deposits during the year and does not have any
unclaimed deposits as at March 31, 2019 and therefore, the provisions of the clause 3 (v)
of the Order are not applicable to the Company.
6. Reporting under clause 3(vi) of the Order is not applicable as the Companys
business activities are not covered by the Companies (Cost Records and Audit) Rules, 2014.
7. According to the information and explanations given to us, in respect of statutory
dues:
(a) The Company has generally been regular in depositing undisputed statutory dues,
including Provident Fund, Employees State Insurance, Income Tax, Sales Tax, Service Tax,
Value Added Tax, duty of Customs, duty of Excise, Cess and other material statutory dues
applicable to it with the appropriate authorities.
(b) There is disputed amounts payable in respect of Provident Fund, Income Tax, Value
Added Tax, duty of Customs, duty of Excise, Cess and other material statutory dues in
arrears as at March 31, 2019 for a period of more than six months from the date they
became payable.
8. In our opinion and according to the information and explanations given to us, the
Company has not defaulted in the repayment of loans or borrowings to banks. The Company
does not have any loans or borrowings from financial institutions or government and has
not issued any debentures.
9. The Company has not raised moneys by way of initial public offer or further public
offer (including debt instruments) or term loans and hence reporting under clause 3 (ix)
of the Order is not applicable.
10. To the best of our knowledge and according to the information and explanations
given to us, no fraud by the Company and no fraud on the Company by its officers or
employees has been noticed or reported during the year.
11. In our opinion and according to the information and explanations given to us, the
Company has paid / provided managerial remuneration in accordance with the requisite
approvals mandated by the provisions of Section 197 read with Schedule V to the Act.
12. The Company is not a Nidhi Company and hence reporting under clause 3(xii) of the
Order is not applicable.
13. In our opinion and according to the information and explanations given to us the
Company is in compliance with Section 177 and 188 of the Act, where applicable, for all
transactions with the related parties and the details of related party transactions have
been disclosed in the standalone financial statements as required by the applicable
accounting standards.
14. During the year, the Company has not made any preferential allotment or private
placement of shares or fully or partly convertible debentures and hence reporting under
clause 3(xiv) of the Order is not applicable to the Company.
15. In our opinion and according to the information and explanations given to us,
during the year the Company has not entered into any non–cash transactions with its
Directors or persons connected to its Directors and hence provisions of Section 192 of the
Act are not applicable.
16. The Company is not required to be registered under Section 45–I of the Reserve
Bank of India Act, 1934.
|
FOR RISHI SEKHRI & ASSOCIATES |
|
CHARTERED ACCOUNTANTS |
|
Sd/- |
|
Rishi Sekhri |
|
Partner |
| Place: Mumbai, |
MEMBERSHIP NO: 126656 |
| Date: 29/05/2019 |
FIRM REG NO: 12821600W |
+91-9892691696
