| 1. We have audited the attached Balance Sheet of MARVEL CAPITAL &
FIANCE (INDIA) LIMITED as at March 31, 2015, and also the Profit and
Loss Account and the Cash Flow Statement for the year ended on that
date annexed thereto and a summary of significant accounting policies
and other explanatory information. These financial statements are the
responsibility of the Company's management. Our responsibility is to
express an opinion on these financial statements based on our audit.
2. Management's Responsibility for the Financial Statements
The Company's Board of Directors is responsible for the matters 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 the maintenance of
adequate accounting records in accordance with the provision of the Act
for safeguarding of the assets of the Company and for preventing and
detecting the 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 internal financial control, 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.
3. 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
there under.
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 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 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 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
4. As required by the Companies (Auditor's Report) Order, 2015 (the
'Order') (as amended), issued by the Central Government of India in
terms of sub-section (11) of section 143 of the Companies Act, 2013
(the 'Acf), we enclose in the Annexure a statement on the matters
specified in paragraphs 3 and 4 of the said Order.
5. Further to our comments in the Annexure referred to above , 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 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 appears from our examination of
those books;
c. The Balance Sheet, Profit and Loss Account and Cash Flow Statement
dealt with by this report are in agreement with the books of account;
d. In our opinion, the Balance Sheet, Profit and Loss Account and Cash
Flow Statement dealt with by this report comply with the accounting
standards referred to in sub section (3C) of section 211 of the
Companies Act, 1956.
e. On the basis of written representations received from the
directors, as on March 31, 2015 and taken on record by the Board of
Directors, we report that none of the directors is disqualified as on
March 31,2015 from being appointed as a director in terms of clause (g)
of sub-section (1) of section 274 of the Act;
f. In our opinion and to the best of our information and according to
the explanations given to us, the Balance Sheet and Profit and Loss
Account read together with the accounting policies and the notes
thereon give the information required by the Companies Act, 1956 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, 2015;
ii) in the case of the Profit and Loss Account, of the loss for the
year ended on that date; and
iii) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
Annexure to the Auditors' Report of even date to the members of MARVEL
CAPITAL & FINANCE (INDIA) LIMITED, on the financial statements for the
year ended March 31, 2015.
Based on the audit procedures performed for the purpose of reporting a
true and fair view on the financial statements of the Company and
taking into consideration the information and explanations given to us
and the books of account and other records examined by us in the normal
course of audit, we report that:
(i) (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
during the year and no material discrepancies were noticed on such
verification. In our opinion, the frequency of verification of the
fixed assets is reasonable having regard to the size of the Company and
the nature of its assets.
(ii) (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventory followed by
the management are reasonable and adequate in relation to the size of
the Company and the nature of its business.
(c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification.
(iii) The Company has not granted or taken any loan, secured or
unsecured to companies, firms or other parties covered in the register
maintained under section 189 of the Act. Therefore, the provisions of
clauses 3(iii) of the Order are not applicable.
(iv) In our opinion and according to the information and explanations
given to us, there is an adequate internal control system commensurate
with the size of the Company and the nature of its business, for the
purchase and sale of goods, there was no purchases of fixed assets and
sales of services during the year. During the course of our audit, no
major weakness has been noticed in the internal control system in
respect of these areas. Further, we have not observed any continuing
failure to correct major weakness in internal control system of the
Company.
(v) The Company has not accepted any deposits from the public within
the meaning of sections 73 to 76 of the Act or under any other relevant
provisions of the Companies Act and the rules framed there under.
Therefore, the provisions of clauses 3(v) of the Order are not
applicable.
(vi) Since the Company is not engaged in manufacturing, processing,
production and mining activities, to the best of our knowledge and
belief, provisions of Section 148(1) is not applicable to the Company.
Therefore, the provisions of clauses 3(vi) of the Order are not
applicable.
(vii) (a) The Company is regular in depositing the undisputed statutory
dues including provident fund, investor education and protection fund,
employees' state insurance, income tax, sales tax, wealth tax, service
tax, custom duty, excise duty, cess and other material statutory dues,
as applicable, with the appropriate authorities.
(b) According to the information and explanations given to us, there
are no dues of income-tax, sales tax, wealth tax, service tax, custom
duty, excise duty and cess which have not been deposited on account of
any dispute.
(c) According to the information and explanations given to us, there
are no amount required to be transferred to investor education and
protection fund in accordance to relevant provision of the companies
Act 1956(1 of 1956) and rules made there under.
(viii) In our opinion, the Company's accumulated losses at the end of
the financial year are not more than fifty percent of its net worth.
The Company has not incurred cash losses during the year, and in the
immediately preceding financial year.
(ix) The Company had no borrowings from financial institutions, banks
or debenture holders during the given financial year. Therefore, the
provisions of clauses 3(ix) of the Order are not applicable.
(x) The Company has not given any guarantees for loans taken by others
from banks or financial institutions. Therefore, the provisions of
clauses 3(x) of the Order are not applicable.
(xi) The Company did not have any terms loans outstanding during the
year. Therefore, the provisions of clauses 3(xi) of the Order are not
applicable.
(xii) Based upon the audit procedures performed for the purpose of
reporting the true and fair view of the financial statements and as per
the information and explanations given by the management, we report
that no fraud on or by the Company has been noticed or reported during
the course of our audit
For S M Palsule Desai& Co.
CHARTERED ACCOUNTANTS
Proprietor
Membership No. : 044338
Mumbai, 08th Sept, 2015
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