We have audited the accompanying standalone financial statements of
M/s NDA SECURITIES LTD("the Company") which comprise the Balance Sheet
as at March 31, 2015, 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 Board of Directors are responsible for the matters stated
in section 134(5) of the Companies Act, 2013("the Act") with respect to
the preparation of these standalone financial statements that give a
true and fair view of the financial position and financial performance
and cash flow of the company in accordance with the accounting
principles generally accepted in India, including Accounting Standards
specified under section 133 of the Act, read with Rule 7 of 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
standalone 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 standalone
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
issued by the Institute of Chartered Accountants of India as specified
u/s 143(10) of the Companies Act 2013 . 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 evidences 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 misstatements of the standalone financial
statements, whether due to fraud or error. In making those risk
assessments the auditor considers internal financial controls relevant
to the company's preparation of the standalone financial statements
that give a true and fair view in order to design audit procedure 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 accounting policies used and the
reasonableness of the accounting estimates made by Company's Directors,
as well as evaluating the overall presentation of the standalone
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 standalone financial statements. Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaid standalone 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, 2015, and its Loss and its cash flows for the year ended
on that date.
Emphasis of matter
1. We draw attention to note no.3.5.1 to the standalone financial
statements of the company regarding the valuation of inventory of
shares, for which no provision has been made for deficiency or
impairment loss in the value of stock of shares as at 31st March, 2015.
2. We draw attention to note no.3.4.3(C) to the standalone financial
statements of the company regarding the membership cost of OTCEI is
considered good and recoverable by the management of the company for
the no reasons mentioned in the said note.
Our opinion is not modified in respect of these matter.
Report on Other Legal and Regulatory Requirements
1. As required by the companies (Auditor's Report) Order, 2015 ("the
Order) issued by the Central Government of India in terms of
sub-section (11) of section 143 of the Companies Act2013, we give in
the Annexure a statement on the matters specified in paragraphs 3 and 4
of the Order, to the extent applicable.
2. 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
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 Statements 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 7of the Companies (Accounts) Rule, 2014.
(e) On the basis of the written representations received from the
Directors as on March 31, 2015 taken on record by the board of
Directors, none of the directors is disqualified as on March 31, 2015
from being appointed as a director in terms of sub section (2) of
section 164 of the Companies Act 2013.
(f) 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 does not have any pending litigations which would impact
its financial position. ii) The Company did not have any long-term
contracts including derivative contracts for which there were any
material foreseeable losses.
iii) There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
ANNEXURE TO THE INDEPENDENT AUDITORS' REPORT
(Referred to in paragraph 1 under Report on other legal and regulatory
requirement section of our Audit Report of even date to the member of
NDA Securities Limited)
1) in Respect of Fixed Assets :
(a) The company has maintained proper records showing full particulars,
including quantitative details and situation of fixed assets;
(b) As explained to us all the assets have been physically verified by
the management at regular interval. As informed to us no material
discrepancies were noticed on such verification.
2) In respect of its inventories:
(a) The inventory has been physically verified during the year by
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. The
discrepancies noticed on verification between the physical stocks and
the book records were not material.
3) According to the information and explanations given to us,
theCompany has not granted any loans, secured or unsecured to
companies, firms or other parties covered in the register maintained
under section 189 of the Companies Act 2013 during the year.
Accordingly, the provisions of clause 3(iii)(a) and (b) of the order
are not applicable and hence not commented upon.
4) 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 of inventory
and fixed assets and with regard to the sale of goods and services.
During the course of our audit, no major weaknesses have been observed
in such internal control system.
5) According to the information and explanation given to us, the
company has not accepted any deposits in contravention of the
directives issued by the Reserve Bank of India and the provisions of
sections 73 to 76 or any other relevant provisions of the Companies Act
2013 and the rules framed there under, where applicable, have been
complied with.
6) According to the information and explanation given to us, government
has not prescribed maintenance of cost records under sub section (1) of
section 148 of the Companies Act, 2013 for the products of the company.
7) According to the information and explanations given to us in respect
of statutory dues:
(a) In our opinion the company is regular in depositing applicable
undisputed statutory dues including provident fund, employees' state
insurance, income-tax, sales-tax, wealth tax, service tax, duty of
customs, duty of excise, value added tax, cess and any other statutory
dues with the appropriate authorities..
(b) There are no dues on account of provident fund, employees' state
insurance, income-tax, sales- tax, wealth tax, service tax, duty of
customs, duty of excise, value added tax, cess and any other statutory
dues, in arrear as at March 31, 2015 fora period of more than six
months from the date they became payable.
(c) There is no amount which is required to be transferred to Investor
Education and Protection Fund in accordance with the relevant
provisions of the Companies Act, 1956 and rules made thereunder.
8) The Company does not have accumulated losses at the end of the
financial year. The Company has not incurred cash losses during the
financial year covered by the audit and in the immediately preceding
financial year.
9) According to information and explanations given to us, the company
has not defaulted in repayment of any dues to a financial institution
or bank or debenture holders during the year of audit.
10) According to information and explanations given to us, the company
has not given any guarantee for loans taken by others from bank or
financial institutions.
11) In our opinion and according to information and explanations given
to us, the company has not taken any term loan during the year.
12) To the our best knowledge and according to information and
explanations given to us, no fraud on or by the company has been
noticed or reported during the year.
For Gupta Rustagi & Aggarwal
Chartered Accountants
(Registration No.008084N)
CA. S.C. Gupta
Partner
Membership No.086839
Place: New Delhi Dated: May 28, 2015
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