TO,
THE MEMBERS OF RUSHABH SURFIN CHEMICALS PRIVATE LIMITED Report on the Financial
Statements
We have audited the accompanying financial statements of RUSHABH SURFIN CHEMICALS
PRIVATE LIMITED ("the Company"), which comprise the Balance Sheet as at
31/03/2017, the Statement of Profit and Loss, for the year then ended, and a summary of
the 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 and
financial performance 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 of 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 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 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
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 financial control relevant to the Company’s
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 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
31/03/2017, and its Profit for the year ended on that date.
Report on Other Legal and Regulatory Requirements
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 Companies Act, 2013. We give in the Annexure A statements on the matters specified in
paragraphs 3 and 4 of the order, to the extent applicable.
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) The Balance Sheet, the Statement of Profit and Loss, and 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
31/03/2017 taken on record by the Board of Directors, none of the directors is
disqualified as 31/03/2017 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 B".
(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.
ii. The Company has made provision, as required under the applicable law or accounting
standards, for material foreseeable losses, if any, 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.
iv. The Company has provided requisite disclosures in the financial statements as to
holdings as well as dealings in Specified Bank Notes during the period from 8th November,
2016 to 30th December, 2016. Based on audit procedures and relying on the management
representation we report that the disclosures are in accordance with books of account
maintained by the Company and as produced to us by the Management.
| Date : 14/05/2017 |
FOR KAMLESH BHOJANI & ASSOCIATES |
| Place : AHMEDABAD |
(Chartered Accountants) |
|
Reg No. :127505W |
|
KAMLESH BHOJANI |
|
Proprietor |
|
M.No. : 119808 |
"Annexure B" to the Independent Auditor’s Report of even date on the
Standalone Financial Statements of RUSHABH SURFIN CHEMICALS PRIVATE LIMITED Company
limited
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 RUSHABH
SURFIN CHEMICALS PRIVATE LIMITED Company Limited
("The Company") as of March 31, 2017 in conjunction with our audit of the
standalone financial statements of the Company for the year ended on that date.
Management’s Responsibility for Internal Financial Controls
The Company’s 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 company’s 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 amout the adequacy of the internal
financial control system over financial reporting and their operating effectiveness. Our
audit of internal financial controls over financial reporting, assessing the risk that a
material weakness exists, and operating effectiveness of internal control based on the
assessed risk. The procedures selected depend upon on the auditors judgment, 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 Company’s 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 issues by the Institute of Chartered
Accountants of India.
| Date : 14/05/2017 |
FOR KAMLESH BHOJANI & ASSOCIATES |
| Place : AHMEDABAD |
(Chartered Accountants) |
|
Reg No. :127505W |
|
KAMLESH BHOJANI |
|
Proprietor |
|
M.No. : 119808 |
Reports under The Companies (Auditors Report) Order, 2016 (CARO 2016) for the year
ended on 31st March 2017
To,
The Members of RUSHABH SURFIN CHEMICALS PRIVATE LIMITED
(i) In Respect of Fixed Assets
(a) The company has maintained proper records showing full particulars including
quantitative details and situation of fixed assets.
(b) Fixed assets have been physically verified by the management at reasonable
intervals; No material discrepancies were noticed on such verification.
(c) The title deeds of immovable properties are held in the name of the company.
(ii) In Respect of Inventories
Physical verification of inventory has been conducted at reasonable intervals by the
management.
(iii) Compliance under section 189 of The Companies Act, 2013
The company has granted unsecured loan to Mahavir Expochem Ltd. for amount Rs.1,00,000.
(a) In our opinion and according to the information and explanations given to us. The
rate of interest and other terms and conditions for such loans are not prima facie
prejudicial to the interest to the company.
(b) In respect of loans granted, repayment of the principal amount and payment of
interest is not regular.
(c) Based on our audit procedures and the information and explanation made available to
us, in case where overdue amount is more than rupees 1,00,000, reasonable steps have been
taken by the company of the principal and interest.
(iv) Compliance under section 185 and 186 of The Companies Act , 2013
While doing transaction for loans, investments, guarantees, and security provisions of
section 185 and 186 of the Companies Act, 2013 have been complied with.
(v) Compliance under section 73 to 76 of The Companies Act, 2013 and Rules framed
thereunder while accepting Deposits
The company has not accepted any Deposits.
(vi) Maintenance of cost records
The Company is not required to maintain cost cecords pursuant to the Rules made by the
Central Govenment for the maintenance of cost records under sub-section (1) of section 148
of the Companies Act, 2013.
(vii) Deposit of Statutory Dues
(a) The company is regular in depositing with appropriate authorities 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 applicable to it.
(b) There is no dispute with the revenue auhorities regarding any duty or tax payable.
(viii) Repayment of Loans and Borrowings
The company has not defaulted in repayment of dues to financial institution, or a bank.
(ix) Utilization of Money Raised by Public Offers and Term Loan For which they Raised The
Company has not applied term loans for the purposes other than for which those are raised
(x) Reporting of Fraud During the Year
Based on our audit procedures and the information and explanation made available to us
no such fraud noticed or reported during the year.
(xi) Managerial Remunearion
Managerial remuneration has not been paid.
(xii) Compliance by Nidhi Company Regarding Net Owned Fund to Deposits Ratio
As per information and records available with us The company is not Nidhi Company.
(xiii) Related party compliance with Section 177 and 188 of companies Act - 2013
Yes , All transactions with the related parties are in compliance with section 177 and
188 of Companies Act, 2013 where applicable and the details have been disclosed in the
Financial Statements etc., as required by the applicable accounting standards.
(xiv) Compliance under section 42 of Companies Act - 2013 regarding Private placement
of Shares or Debentrues
No, Company has not made any preferential allotment of shares or fully or partly
convertible debentures during the year.
(xv) Compliance under section 192 of Companies Act - 2013
The company has not entered into any non-cash transactions with directors or persons
connected with him.
(xvi) Requirement of Registration under 45-IA of Reserve Bank of India Act, 1934
The company is not required to be registered under section 45-IA of the Reserve Bank of
lndia Act.
|
FOR KAMLESH BHOJANI & ASSOCIATES |
|
(Chartered Accountants) |
|
Reg No. :127505W |
|
KAMLESH BHOJANI |
| Place : AHMEDABAD |
(Proprietor) |
| Date : 14/05/2017 |
Membership No : 119808 |
+91-9892691696
