| Report on the Standalone Financial Statements
We have audited the accompanying standalone financial statements of HB
PORTFOLIO LIMITED ("the Company"), which comprises the Balance Sheet as
at 31st March, 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 Standalone 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 and presentation of these standalone 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 maintenance of adequate accounting records in accordance
with the provisions of the Act for safeguarding 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 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 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 statement 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 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 profit and its cash flows for the year
ended on that date.
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 Act, 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
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 the Cash
flow statement dealt with by this Report are in agreement with the
books of account;
d) In our opinion, the aforesaid standalone 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 31st March, 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on 31st March, 2015
from being appointed as a director in terms of Section 164(2) of the
Act;
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 has been no delay in transferring amounts, required to be
transferred, to the Investor Education and Protection Fund by the
Company.
ANNEXURE TO INDEPENDENT AUDITORS' REPORT
The annexure referred to in our report to the members of the Company on
the standalone financial statements for the year ended on 31st March,
2015, we report that:
1. a). The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets on the basis of available information. b). As explained to us,
the management during the year has physically verified the fixed assets
in a phased periodical manner, which in our opinion is reasonable,
having regard to the size of the Company and nature of its assets. No
material discrepancies were noticed on such physical verification.
2. a) As explained to us, the Company does not have any inventories.
The Shares/ securities held as investments have been physically
verified by the management at reasonable intervals during the year.
b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of
shares/securities followed by the management are reasonable and
adequate in relation to the size of the Company and the nature of its
business and activities.
c) The Company has maintained proper records of investments. As
explained to us, no material discrepancies have been noticed on
physical verification of investments as compared to the book records.
3. a) The Company had granted unsecured loans of Rs. 9,00,00,000/-
during the earlier years to one company covered in the register
maintained under Section 189 of the Companies Act, 2013 ('the Act').
The year end balance and maximum amount outstanding at any time during
the year of such loan is Rs. 9,00,00,000/-.
b) The loanee company is regular in payment of interest and principal
as stipulated.
c) There is no overdue amount receivable.
4. 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
purchases of inventory and fixed assets and sale of goods. During the
year there was no sale of services. During the course of our audit, we
have not observed any major weakness in the internal control system.
5. The Company has not accepted any deposits from the public.
6. The nature of the Company's business / activities is such that
maintenance of Cost Records under section 148(1) of the Act is not
applicable to the Company.
7 a) According to the records of the Company, undisputed statutory dues
including Provident Fund, Employees' State Insurance, Income Tax,
Sales-Tax, Value Added Tax, Wealth Tax, Customs Duty, Excise Duty,
Service Tax, Cess and other statutory dues to the extent and as
applicable to the Company have been generally regularly deposited by
the Company during the year with the appropriate authorities. According
to the information and explanations given to us, no undisputed amounts
payable in respect of the aforesaid dues were outstanding as at 31st
March, 2015 for a period of more than six months from the date of
becoming payable except for Rs. 10,80,000/- on account of advance Tax
installments for June and September, 2014 quarters.
b) According to the records of the Company, there are no disputed
statutory dues that have not been deposited on account of matters
pending before appropriate authorities.
c) In our opinion and according to the information and explanations
given to us, there has been no delay in transferring amounts, required
to be transferred, to the Investor Education and Protection Fund by the
Company in accordance with the relevant provisions of the Companies
Act, 1956 (1 of 1956) and rules made thereunder.
8. The Company does not have any accumulated losses. The Company has
not incurred cash losses during the financial year covered by our audit
or in the immediately preceding financial year.
9. Based on our audit procedures and according to the information and
explanation given to us, we are of the opinion that the Company has not
defaulted in repayment of dues to financial institutions, banks or
debenture holders.
10. The Company has given guarantees for loans taken by others from
banks or financial institutions. According to the information and
explanations given to us, we are of the opinion that the other terms
and conditions thereof are not prima-facie prejudicial to the interests
of the Company.
11. The Company has not raised any term loans during the year. The
outstanding vehicle loan raised from bank in the earlier year was
utilized for that purpose.
12. In our opinion and according to the information and explanation
given to us, no fraud on or by the Company has been noticed or reported
during the course of our audit.
For P. BHOLUSARIA & CO.
Chartered Accountants
Firm Registration No. : 000468N
Sd/-
AMIT GOEL
Place : Gurgaon (Partner)
Date : 28th May, 2015 Membership No.: 092648 |