TO THE MEMBERS OF M/s MBI Intercorp Limited (FORMERLY KNOWN AS MOONBEAM INDUSTRIES
LIMITED)
REPORT ON THE FINANCIAL STATEMENTS
We have audited the accompanying financial statement of M/s MBI Intercorp Limited
(FORMERLY KNOWN AS MOONBEAM INDUSTRIES LIMITED) ("the Company"), which
comprise the Balance Sheet as at 31st March 2016 the Statement of Profit &
Loss, the Cash Flow Statement for the year ended and a summary of significant accounting
policies and other explanatory information.
MANAGEMENT’S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
The Company’s 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 include maintenance 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 others irregularities; selection and application of appropriate
accounting policies; making judgment and estimatesthat 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.
AUDITOR’S 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 misstatements.
An audit involves performing procedures to obtain audit evidence about the amounts and
disclosures in the financial statements. The procedures setected 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 risks
assessments, the auditor considers internal financial control relevant to the
Company’s preparation of the financial statement 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 Company’s 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 31st
March 2016, and its Profit and cash flows statement 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 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 the paragraph 3
and 4 of the order, to the extent applicable.
2. As required by Subsection 3 of Section 143 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 and the Cash Flow Statement
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 the 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 sub-section 2 of Section 164 of the Act.
f) In our opinion, the company has adequate internal financial control system and
operating effectively as per the nature and size of the business.
g) With respect to the other matters to be included in the Auditor’s 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 financial Statements as referred to in Note 2.20 of the financial
statements.
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 has been no delay during the year in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the Company, however there
is delay in transferring amounts, required to be transferred, to the Investor Education
and Protection Fund by the Company, relating to previous years amounting to Rs 36602.50
For Sanjay Rawal & Co.
Chartered Accountants
(Firm Reg. No. 012820N)
(SANJAY RAWAL)
Partner
Membership No.: 088156
Place: New Delhi
Dated: 30/05/2016
ANNEXURE TO THE INDEPENDENT AUDITOR’S REPORT
i) (a)The Company has maintained proper records showing full particulars including
quantitative details and situation of fixed assets.
(b) Assets have been physically verified by the Management during the year .No material
discrepancies were noticed on such Verification.
(c) According to the information provided to us, title deeds of all immovable property
are in the name of the company.
ii) The inventory has been physically verified by the management at reasonable
intervals during the year, In our opinion, the frequency of such verification is
reasonable. The discrepancies noticed on verification between the physical stocks and the
book records were not material.
iii) In our opinion and according to the information and explanations given to us, the
company has not granted any loans, secured or unsecured, to Companies, Firms, Limited
Liability Partnership and other parties covered in the register maintained under section
189 of the Companies Act, 2013. Accordingly, paragraph 3(iii) of the Order is not
applicable to the Company.
iv) According to information and explanation provided to us, the company has not
granted any loans, investments, guarantees, and security to the parties covered under
section 185 and 186 of the Companies Act, 2013.
v) The company has not accepted any deposits from the public in accordance with the
provisions of sections 73 to 76 of the Act and the rules framed there under.
(vi) According to information and explanation given to us provision of section 148(1)
of the Companies Act, 2013 with regard to maintenance of cost records do not apply to the
company.
(vii) (a) According to the information and explanations given to us and the records of
the company examined by us, in our opinion, the Company is regular in depositing the
undisputed statutory dues including Provident Fund, Employees’ State Insurance,
Income Tax, Sales Tax, Service Tax, Duty of Customs, Excise duty, Value Added Tax, Cess,
Professional Tax and other material statutory dues, as applicable, with the appropriate
authorities.
Accordingly to the information and explanations given to us, no undisputed amounts
payable in respect of provident fund, employees state insurance, income tax, sales tax,
service tax, duty of customs, duty of excise, value added tax, cess, professional tax and
other material statutory dues were in arrears as at 31st march 2016 for a
period of more than six months from the date they become payable.
However, According to the information and explanations given to us, undisputed amounts
payable in respect of Sales Tax/ Value added Tax amounting Rs. 620431.75, were in arrears
as at 31 March 2016 for a period of more than six months from the date they become
payable.
(b) According to the information and explanations given to us, there are no material
dues of Income Tax, Sales Tax. Value Added Tax, Service Tax, Duty of Customs, Duty of
Excise which have not been deposited with the appropriate authorities on account of any
dispute. However, according to the information and explanations given to us, the following
Statutory dues of Provident Fund was not deposited by the Company on account of dispute
and was outstanding as at 31/03/2016
| Nature of dues |
Amount |
Period to which it relates |
Forum where dispute Dending |
| Provident fund (Interest) |
5,93,748.00 |
April 1997 to June 2005 |
Allahabad High Court |
(viii) In our opinion and according to the information and explanations given to us,
the company has not default in payment of any loans or borrowings from any financial
institution, Bank, Government or debenture holders.
ix) According to the information & explanation given to us, the company has not
raised money by way of initial public offer or further public offer (including debt
instruments) or term loan. Accordingly the provision of clause 3(ix) of the order is not
applicable to the company.
x) Based upon the audit procedures performed and information and explanations given by
the management, we report that no fraud by the company or no fraud on the company by its
officers or employees has been noticed or reported during the year.
xi) According to the information & explanation given to us, the company has not
paid any managerial remuneration as defined by the provisions of the section 197 read with
schedule V of the Companies Act, 2013
xii) In our opinion and according to the information & explanation given to us, the
company is not a Nidhi company. Hence the provision of clause 3(xii) of the order is not
applicable to the company.
xiii) According to the information and explanation given to us and based on our
examinations of the records of the Company during the year, the company has entered into
transactions with related parties in compliance with the provisions of the sections 177
& 188 of the Companies Act, 2013. The details of such transactions have been properly
disclosed in the Financial Statements (if any) as required under Accounting Standard 18,
Related Party Disclosures specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
xiv) According to the information & explanation given to us, the company has not
made any preferential allotment or private placement of shares or fully or partly
convertible debentures during the year under review.
xv) According to the information & explanation given to us, the company has not
entered into any non-cash transaction with directors or any person connected with him.
Accordingly the provision of clause 3(xv) of the order is not applicable to the company.
xvi) In our opinion and according to the information & explanation given to us, the
company is not required to be registered under section 45-IA of the Reserves Bank of India
Act, 1934. Accordingly the provision of clause 3(xvi) of the order is not applicable to
the company.
For Sanjay Rawal & Co.
Chartered Accountants
(Firm Reg.
(SANJAY RAWAL)
Partner
Membership No.: 088156
Place: New Delhi
Dated: 30/5/2016
+91-9892691696
