INDEPENDENT AUDITORS
To
The Members of Sahara Asset Management Company Private Limited
Report on the Financial Statements
We have audited the accompanying financial statements of Sahara Asset Management
Company Private Limited ("the Company") which comprise the Balance Sheet as
at March 31, 2014, and the Statement of Profit and Loss for the year then ended, and a
summary of significant accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
Management is responsible for 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
Accounting Standards notified under the Companies Act, 1956 ("the Act") read
with the General Circular 15/2013 dated 13 th September 2013 of the Ministry of Corporate
Affairs in respect of section 133 of the Companies Act, 2013. This responsibility includes
the design, implementation and maintenance of internal control 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.
Auditors Responsibility
Our responsibility is to express an opinion on these financial statements based on our
audit. We conducted our audit in accordance with the Standards on Auditing issued by the
Institute of Chartered Accountants of India. 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
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 control relevant to the Companys preparation and fair presentation of
the financial statements in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the effectiveness of
the entitys internal control. An audit also includes evaluating the appropriateness of
accounting policies used and the reasonableness of the accounting estimates made by
management, 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.
Opinion
In our opinion and to the best of our information and according to the explanations
given to us, the 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:
i. in the case of the Balance Sheet, of the state of affairs of the Company as at March
31, 2014 and
ii. in the case of the Statement of Profit and Loss, of the loss for the year ended on
that date.
Report on other legal and regulatory requirements
1. As required by the Companies (Auditors Report) Order, 2003 (as amended) ("the
Order"), issued by the Central Government of India in terms of sub-section (4A) of
Section 227 of the Act, we give in the Annexure hereto, a statement on the matters
specified in the paragraphs 4 and 5 of the said Order.
2. As required by section 227(3) of the Act, we report that:
a) We have 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 appears from our examination of those books;
c) The Balance Sheet and Statement of Profit and Loss dealt with by this Report are in
agreement with the books of account;
d) In our opinion, the Balance Sheet and Statement of Profit and Loss, comply with the
Accounting Standards notified under the Companies Act, 1956 read with the General Circular
15/2013 dated 13 th September 2013 of the Ministry of Corporate Affairs in respect of
section 133 of the Companies Act, 2013;
e) On the basis of written representations received from the directors as on March 31,
2014, and taken on record by the Board of Directors, none of the directors is
disqualified as on March 31, 2014, from being appointed as a director in terms of
clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.
f) Since the Central Government has not issued any notification as to the rate at which
the cess is to be paid under section 441A of the Companies Act, 1956 nor has
it issued any Rules under the said section, prescribing the manner in which such cess is
to be paid, no cess is due and payable by the Company.
|
For CHATURVEDI & PARTNERS |
|
Chartered Accountants |
|
(Firm Registration No.: 307068E) |
|
(Khyati M. Shah) |
|
Partner |
|
(Membership No.: 117510) |
| Place: Mumbai |
|
| Date: 06 th June, 2014 |
|
ANNEXURE TO THE INDEPENDENT AUDITORS REPORT
The Annexure referred to in our report to the members of Sahara Asset Management
Company Private Limited ("the Company") for the year ended 31st March, 2014. We
report that:
1) a) The Company has maintained proper records showing full particulars, including
quantitative details and situation of fixed assets.
b) All the assets have been physically verified by the management during the year. No
material discrepancies were noticed on such verification.
c) Fixed assets disposed off during the year were not substantial, and therefore, do
not affect the going concern assumption.
2) The company is a service company, primarily rendering mutual fund and portfolio
management services. Accordingly, it does not hold any physical inventories. Thus,
paragraph 4 (ii) of the Order is not applicable.
3) The Company has neither granted any loans to, nor taken any loans from, companies,
firms or other parties covered in the register maintained under section 301 of the
Companies Act, 1956.In view of the foregoing, the question of reporting on Clause 4 (iii)
of the said order does not arise.
4) In our opinion and according to the information and explanations given to us, there
are adequate internal control procedures commensurate with the size of the company and the
nature of its business with regard to purchases of fixed assets and with regard to the
sale of services. During the course of our audit, we have not observed any continuing
failure to correct major weaknesses in internal controls.
5) According to the information and explanations given to us, there are no transactions
that need to be entered into the register maintained under section 301 of the Companies
Act., 1956.
6) The Company has not accepted deposits from the Public within the meaning of Section
58A and 58AA of the Companies Act, 1956 and the rules framed there under.
7) In our opinion, the company has an internal audit system commensurate with the size
and nature of its business.
8) The Central Government has not prescribed maintenance of Cost Records under section
209(1) (d) of the Companies Act, 1956 for any of the activities of the company.
9) a) According to the information and explanations given to us and the records of
the Company examined by us, the Company is regular in depositing with appropriate
authorities undisputed statutory dues including provident fund, income tax, service tax,
cess & other material statutory dues applicable to it. There were no arrears as at
31st March 2014 for a period of more than six months from the date they became payable.
b) According to the books of accounts and records as produced and examined by us in
accordance with the generally accepted auditing practices in India, as at 31st March 2014,
the following are the particulars of dues that have not been deposited on account of any
dispute.
| Name of the Statute |
Nature of Dues |
Amount (Rs. in lacs) |
Forum where dispute is pending |
| Income Tax |
Demand raised for A.Y.2006-07 |
13.56 |
Income Tax Appellate Tribunal, Mumbai |
10)The accumulated losses of the Company as at 31st March 2014 are more than 50% of its
net worth. The Company has incurred cash loss during the year and in the immediately
preceding financial year.
11) The Company has not borrowed any funds from Financial Institutions/Banks/Debenture
Holders.
12) According to the information and explanations given to us, the company has not
granted any loans and advances on the basis of security by way of pledge of shares,
debentures and other securities.
13) In our opinion, the company is not a chit fund or a Nidhi / mutual benefit
fund/society. Therefore, the provisions of clause 4(xiii) of the Companies (Auditors
Report) Order, 2003 are not applicable to the company.
14) The Company is maintaining proper records of the transactions and contracts about
the dealings in securities & investments and has made timely entries in records. The
share, securities, debenture and other securities have been held by the Company, in its
own name.
15) According to the information and explanations given to us, the company has not
given guarantees for loans taken by others from Banks & Financial Institutions.
16) The Company has not obtained any Term Loan during the year.
17) According to the information and explanations given to us and on an overall
examination of the Balance Sheet of the company, we report that, prima facie, no funds
raised on short term basis have been used for long term investment.
18) The Company has not made any preferential allotment of shares to parties and
companies covered in the Register maintained under section 301 of the Companies Act, 1956
during the year.
19) According to the information and explanations given to us, the Company has not
issued any Debentures.
20) The Company has not raised any money by way of public issue during the year.
21) During the course of our examination of the books of accounts and records of the
Company, carried out by us in accordance with the generally accepted auditing practices in
India, we have neither come across any instance of fraud on or by the Company, noticed or
reported during the year, nor have we been informed of such case by the management.
|
For CHATURVEDI & PARTNERS |
|
Chartered Accountants |
|
(Firm Registration No.: 307068E) |
|
(Khyati M. Shah) |
|
Partner |
|
(Membership No.: 117510) |
| Place: Mumbai |
|
| Date: 06 th June, 2014 |
|
+91-9892691696
