| We have audited the accompanying financial statements of M/s Purshottam
Invest of in Limited ('the Company), which comprises the Balance Sheet as
at 31st March, 2015 and the statement of Profit and Loss, Cash Flow
Statement of the company for the year 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 is responsible for the matters stated
in Section 134(5) of the Companies Act, 2013 with respect to
preparation 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 Standards
referred in Section 133 of the Companies Act, 2013 ("the Act"), read
with Rule 7 of the Companies (Accounts) Rule, 2014. 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, safeguarding of
the assets of the company, selection and application of appropriate
accounting policies, making judgments and estimates that are reasonable
and prudent and are free from material misstatement, whether due to
fraud or error.
Auditor's 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 specified under section 143(10), 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 entity'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 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 31st March 2015; and
b) In the case of statement of profit and loss, of the profit for the
year ended on that date.
c) In the case of the cash flow statement, of the cash flows for the
year ended on that date.
Emphasis of Matters
We draw attention to following matters in the notes to the financial
statements:
a) As certified by the management and relied upon by us in the matter
that no lawsuit filed against the company.
b) Note "BS-B" in the financial statements which indicates that the
company has accumulated losses but net worth of the company is not
substantially eroded. The company had earned the net profit during the
current and previous year(s). The company's current liabilities does
not exceed its current assets. The management is of the view that the
company is going concern and our opinion is not modified in respect of
this matter. Hence the financial statements of the company have been
prepared on a going concern basis.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015 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.
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 appears from our examination of those
books
c) The Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) In our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards referred to in
section 133 of the Act, read with Rule 7 of the Companies (Accounts)
Rules, 2014.
e) On the basis of written representations received from the directors
as on March 31st, 2015, taken on record by the Board of Directors, none
of the directors is disqualified as on March 31st 2015, from being
appointed as a director section 164(2) of the Companies Act, 2013
Annexure to the Auditors' Report
The Annexure referred to in our report to the members of Purshottam
Invest of in Limited (the Company') 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. c) 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. However the company has disposed off all
of its fixed assets during the year and no fixed assets is held as on
Balance sheet date. However fixed assets disposed off during the year
were not substantial and does not affects the going concern of the
company.
2. (a) Yes, physical verification of the inventory has been conducted
at regular reasonable intervals by the management. The company is a Non
Banking Financial Company and holds inventory in the form of investment
in shares.
(b) The procedures of physical verification of inventory followed by
the company is reasonable and adequate in relation to the size of the
company and nature of its business.
(c) The Company is maintaining proper records of inventory (shares) and
no discrepancies between inventory and book records were noticed on
verification.
3. Yes, the Company has granted unsecured loan to companies, firms or
other parties covered in the register maintained under Section 189 of
the Act.
(a) Receipt of the principal amount and the interest is regular.
(b) No amount of loan & advances is overdue.
3. In our opinion and according to the information and explanations
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 for the sale of goods and services.
During the course of our audit, no major weakness has been noticed in
the internal control system in respect of these areas.
4. The Company has not accepted any deposits within the meaning of
Sections 73 to 76 or any other relevant provisions of the Act and the
Companies (Acceptance of Deposits) Rules, 2014 (as amended).
5. To the best of our knowledge and belief, the Central Government has
not specified maintenance of cost records under sub-section (1) of
Section 148 of the Act, in respect of Company's products/ services.
Accordingly, the provisions of clause 3(vi) of the Order are not
applicable.
6. (a) The Company is generally regular in depositing 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 other material statutory dues, as
applicable, with the appropriate authorities (except in few cases where
the amount of TDS is deposited with interest). Further, no undisputed
amounts payable in respect thereof were outstanding at the year-end for
a period of more than six months from the date they become payable.
(b) According to the information & explanations given to us there are
outstanding demand of Rs. 8,00,940/- in respect of income-tax and
outstanding demand of Rs. 1,55,925/- in respect to TDS which have not
been deposited with the appropriate authority on account of dispute.
Further dispute is pending with the Income Tax Department. There are no
amount of sales-tax, wealth tax, service tax, duty of customs, duty of
excise, value added tax and cess that have not been deposited with the
appropriate authorities on account of any dispute.
(c) According to the information's and explanations given to us there
are no amount which was required to be transferred to the investor
education and protection fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules made there
under.
7. The Company has accumulated losses of Rs. 40,27,532/- at the end of
financial year which is less than fifty percent of its net worth.
Further the company has not incurred any cash losses in the current
financial year and in the immediately preceding financial year.
8. In our opinion, the Company has not defaulted in repayment of dues
to any financial institution or a bank or to debenture-holders during
the year.
9. The Company has not given any guarantee for loans taken by others
from banks or financial institutions.
10. In our opinion, the Company has applied the term loans for the
purpose for which these loans were obtained.
11. No fraud on or by the Company has been noticed or reported during
the period covered by our audit.
For STRG & ASSOCIATES
CHARTERED ACCOUNTANTS
FRN: 014826N
Sd/-
CA Rakesh Gupta
Place: New Delhi Partner
Date: May 30, 2015 M. No: 094040 |