To,
The members of,
KELVIN FINCAP LIMITED
Report on Financial Statements
We have audited the accompanying financial statements of KELVIN FINCAP LIMITED
("the Company") which comprise the Balance Sheet as at March 31, 2017, the
Statement of Profit and Loss & Cash Flow Statement for the year then ended, and a
summary of significant accounting policies and other explanatory information.
Managements Responsibility for the 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 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 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 statements that
give a true and fair view and are free from material misstatement, whether due to fraud
orerror.
Auditors Responsibility
Our responsibility is to express an opinion on these 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 thereunder.
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
auditors 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 Companys 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 controls 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 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 financial statements
Opinion
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, 2017, and its Loss for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditors Report) Order, 2016 ("the Order"),
as amended, 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 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 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, the Statement of Profit and Loss 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 March 31,
2017 taken on record by the Board of Directors, none of the directors is disqualified as
on March 31, 2017 from being appointed as a director in terms of Section 164 (2) of the
Act.
f. This being private limited company having turnover less than 50 crore as per the
latest audited financial statement and has borrowing less than 25 crore from bank or
financial institution or any body corporate at any point of time during the financial
year. Hence, the clause relative to adequate internal financial controls and its operating
effectiveness is not applicable.
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 does not have any pending litigations which would impact its financial
position.
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.
iv. According to the information and records of the company, the company had provided
requisite disclosures in its financial statements.
| PLACE: MUMBAI |
FOR ABHISHEK N SHAH & CO., |
| DATE : 01/09/2017 |
CHARTERED ACCOUNTANTS |
|
SD/- |
|
(ABHISHEK N SHAH) |
|
PROPRIETOR |
|
MEM. NO. 161573 |
Annexure A to Auditors Report of even date to the members of KELVIN FINCAP
LIMITED on the Financial Statements as of and for the year ended March 31,2017
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 at the end of the
year. In our opinion, the frequency of verification is reasonable having regard to the
size of the company and the nature of its fixed assets. No discrepancies were noticed on
such verification.
c) Since the Company does not have any Immovable property the sub clause (c) of clause
a) (i) of Paragraph 3 of the said Order is not Applicable to the Company.
2 The Companys nature of operation does not require it to hold the inventories and
hence the clause (ii) of Paragraph 3 of the said Order is not applicable.
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. Accordingly, the provision of clause (iii) (a) to (c) of Paragraph
3 of the said Order is not applicable to the Company.
4 In our opinion and according to the information and explanations given to us the
Company has not granted any loans or provided any guarantees or security to the parties
covered under section 185 and has complied with the provisions of section 186 of the
Companies Act, 2013 in respect of loans and investments made by it.
5 The Company has not accepted any deposits from the public and hence the directives
issued by the Reserve Bank of India and the provisions of Sections 73 to 76 or any other
relevant provisions of the Act and the Companies (Acceptance of Deposit) Rules, 2015 with
regard to the deposits accepted from the public are not applicable.
6 As informed to us, the maintenance of Cost Records has not been specified by the
Central Government under Section 148(1) of the Act, in respect of the activities carried
on by the company.
7 a) According to information and explanations given to us and on the basis of our
examination of the books of account, and records, the Company has been generally regular
in depositing undisputed statutory dues including Provident Fund, Employees State
Insurance, Income-Tax, Sales tax, Service Tax, Duty of Customs, Duty of Excise, Value
added Tax, Cess and any other statutory dues with the appropriate authorities. According
to the information and explanations given to us, no undisputed amounts payable in respect
of the above were in arrears as at March 31, 2017 for a period of more than six months
from the date on when they become payable.
b) According to the information and explanation given to us, there are no dues of
income tax, sales tax, service tax, duty of customs, duty of excise, value added tax
outstanding on account of any dispute.
8 The Company has not taken any loan during the year therefore the provisions of clause
3 (viii) of the Order are not applicable to the Company and hence not commented upon.
9 Based upon the audit procedures performed and the information and explanations given
by the management, the company has not raised moneys by way of initial public offer or
further public offer including debt instruments. Accordingly, the provisions of clause 3
(ix) of the Order are not applicable to the Company and hence not commented upon.
10 Based upon the audit procedures performed and 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 year.
11 Based upon the audit procedures performed and the information and explanations given
by the management, the provisions of section 197 read with Schedule V to the Act have been
complied with. However, no such remuneration has been paid during the year under review.
12 In our opinion, the Company is not a Nidhi Company. Therefore, the provisions of
clause 4 (xii) of the Order are not applicable to the Company.
13 Based upon the Examination and explanations given by the management there were no
related party transactions by the Company.
14 Based upon the information and explanations given by the management, the Company has
not made any preferential allotment or private placement of shares or fully or partly
convertible debentures during the year under review. Accordingly, the provisions of clause
(xiv) of para 3 of the Order is not applicable to the Company.
15 Based upon the audit procedures performed and the information and explanations given
by the management, the company has not entered into any non-cash transactions with
directors or persons connected with him. Accordingly, the provisions of clause 3 (xv) of
the Order are not applicable to the Company and hence not commented upon.
16 In our opinion, the company is not required to be registered under section 45 IA of
the Reserve Bank of India Act, 1934 and hence has not obtained the registration as the
company is not NBFC.
| PLACE: MUMBAI |
FOR ABHISHEK N SHAH & CO., |
| DATE :01/09/2017 |
CHARTERED ACCOUNTANTS |
|
SD/- |
|
(ABHISHEK N SHAH) |
|
PROPRIETOR |
|
MEM. NO. 161573 |
ANNEXURE-‘B TO THE INDEPENDENT AUDITORS REPORT
(Referred to in paragraph 2(f) under ‘Report on Other Legal and Regulatory
Requirements section of the independent auditors report of even date on the standalone
financial statements of the Company for the year ended 31 st March, 2017)
Report on the Internal Financial Controls 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 KELVIN
FINCAP LIMITED ("the Company") as of 31st March, 2017 in conjunction with our
audit of the 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 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. 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 Companies Act, 2013.
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 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 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 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
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 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 March 31, 2017, 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.
| PLACE: MUMBAI |
FOR ABHISHEK N SHAH & CO., |
| DATE : 01/09/2017 |
CHARTERED ACCOUNTANTS |
|
SD/- |
|
(ABHISHEK N SHAH) |
|
PROPRIETOR |
|
MEM. NO. 161573 |
+91-9892691696
