| REPORT ON THE FINANCIAL STATEMENTS
We have audited the accompanying financial statements of INTERFACE
FINANCIAL SERVICES LIMITED (the Company), which comprise the Balance
Sheet as at March 31, 2014, the Statement of Profit and Loss and Cash
Flow Statement for the year then ended, and a summary of significant
accounting policies and other explanatory information.
MANAGEMENT'S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
The Company's Management is responsible for 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 Standards notified under the Companies
Act, 1956 (the Act) read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013 and in accordance with the
accounting principles generally accepted in India. 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 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 control relevant to the Company's 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 Company's
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 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:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(b) In the case of the Statement of Profit and Loss, of the loss of the
Company for the year ended on that date; and
(c) In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1. As required by the Companies (Auditor's Report) Order, 2003 (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Act, we give in the Annexure a statement on the matters
specified in paragraphs 4 and 5 of the 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, 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 Balance Sheet, the Statement of Profit and
Loss, and the Cash Flow Statement comply with Accounting Standards
notified under the Act read with the General Circular 15/2013 dated
13th September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013.
e. On the basis of the written representations received from the
directors as on March 31, 2014, 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 Section 274(1)(g) of the
Act.
Annexure to the Auditors' Report referred in Paragraph-3 of our report
of Even date
As required by the Companies ( Auditors' Report ) Order, 2003 issued by
the central Government under section 227(4A) of the Companies Act, 1956
and in terms of the information and explanation given to us and also on
the basis of such checks as we considered appropriate, we further
report that:
1. The company does not have any Fixed Assets. Hence, clause (i) (a),
(b) & (c) are not applicable to the company.
2. (a) The stock of shares and securities has been physically verified
by the management during the current year and also at the end of the
year. In our opinion, the frequency of verification is reasonable.
(b) In our opinion the procedures of physical verification of stock of
shares and securities followed by the management are reasonable and
adequate in relation to the size of the company and the nature of its
business.
(c) On the basis of our examination of record s of shares and
securities, we are of the opinion that the company is maintaining
proper record of the stock of shares and securities. As informed to us.
The discrepancies noticed on verification between physical stock and
book stocks were not materiel and the same have been property dealt
with in the books of account.
3 (a) The company has not granted any unsecured loan to the companies
firms or other parties covered in the register maintained under section
301 of the Companies Act, 1956.
(b) The company has not taken unsecured interest free loans from
companies firms and other parties covered in the register maintained
under section 301 of the companies Act, 1956.
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 purchase of shares and securities and fixed
assets and sale of shares and securities. During the course of our
audit, no major weaknesses have been observed in internal controls.
5 As per information & according to explanation given to us, the
company has not entered into any transaction that need to be entered
into the register maintained under section 301 of the Act.
6 The Company has not accepted any deposits from the public, therefore
the directives issued by Reserve bank of India, the provisions of
section 58 A and 58 AA of the companies Act, 1956 and the rules framed
there under are not Applicable.
7 In our opinion, the company has an internal audit system,
commensurate with its size and nature of its business.
8 According to information and explanations given to us, 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 company, during the year, the company has been
generally regular in depositing undisputed statutory dues including
Investor Education and Protection fund, Income tax, Sales tax, Wealth
tax, service tax, cess and any other dues applicable to it with the
appropriate authorities.
(b) According to the information and explanations given to us, no
undisputed Amounts payable by the company in respect of Provident Fund,
Investor Education and protection fund, Employees' state Insurance,
Income tax, Sales tax, Wealth tax, service tax, cess or any other
applicable to it were Outstanding as on 31st March 2014 for a period of
more than six months From the date they became payable.
(c) According to the information and explanations given to us there no
dues in respect of income tax. Sales tax, wealth tax, service tax, or
cess that have not been deposited with appropriate authority on account
of dispute.
10 The accumulated losses of the company at the end of the financial
year are not less than fifty percent of its net worth. The company has
incurred cash losses of Rs. 194073/- during the financial year under
audit and during the immediately preceding financial year.
11 During the financial year the company did not have any outstanding
debentures or any outstanding loans from financial institution or bank
12 According to the information and explanations given to us, the
company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and securities.
13 The company is not a chit fund, Nidhi or Mutual Benefit fund /
society. Accordingly clause 4(xiii) of the order is not applicable.
14 In our opinion, the company has maintained proper records of the
transactions and contracts relating to dealing or trading in shares,
debentures and other securities and timely entries have been made
therein. All the investments referred to in Schedule-7, are either held
in the name of the company or are in process of transfer in the name of
the company.
15 As informed to us, the company has not given any guarantee for any
loans taken by others from bank or financial institutions. Accordingly
clause 4(xv) of the order is not applicable.
16 The company has not obtained any term loan during the year.
Accordingly clause 4 (xvi) of the order is not applicable.
17 According to information and explanations given to us and on an
overall examination of the Balance Sheet and Cash Flow Statement of the
company, we are of the opinion that no funds raised on short-term basis
have Prima facie been used during the year for long-term investments
and vice-versa.
18 The company has not made any preferential allotment to the parties
and companies covered in the Register maintained under section 301 of
the Companies Act, 1956. Accordingly clause 4(xviii) of the order is
not applicable.
19 There are no debentures issued or outstanding during the year.
Accordingly clause 4(xix) of the order is not applicable.
20 During the year, the company has not raised money by public issue.
Accordingly clause 4(xx) of the order is not applicable.
21 According to the information and explanations given to us, no fraud
on or by the company has been noticed or reported during the year.
For, Y. D. & Co
CHARTERED ACCOUNTANTS
FRN:018846N
PLACE: LUDHIANA
DATE: 24.05.2014
CA RAKESH PURI
PARTNER
M. No.: 092728 | 