We have audited the accompanyingfinancial statements of Bharat Bhushan
Finance & Commodity Brokers Ltd. (Formerly Known as Bharat Bhushan
Share & Commodity Brokers 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 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 financial statements that
give a true and fair view of financial position, financial performance
and cash flow 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, relevantto 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 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
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 the 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 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 of our audit opinion on thefinancial
statements.
Opinion
In our opinion and to the best of our information and according to the
explanations given to us, the aforesaidfinancial 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 the paragraph 3 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 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 31 March 2015 taken on record by the Board of
Directors, none of the directors is disqualified as on31 March 2015
from being appointed as a director in terms of Section 164 (2) of the
Act; and
(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 ,the Company has disclosed
the impact of pending litigations on its financial position in its
financial statements - Refer Note 2.15 to the financial statements.
Annexure to Independent Auditors' Report
(RE: BHARAT BHUSHAN FINANCE & COMMODITY BROKERS LTD.)
(Formerly Known as Bharat Bhushan Share & Commodity Brokers Ltd.)
The Annexure referred to in our Independent Auditors' Report to the
members of the Company on the financial statements for the year ended
31 March 2015, we report that:
i) Inrespect of its 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, the fixed assets have been physically verified
by the management during the year, 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.
ii) In respect of its inventories:
a. According to the information and explanations given to us the
Inventories have been physically verified by the management during the
year at reasonable Intervals.
b. In our opinion and according to the information and explanations
given to us, 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 has maintained the proper records of inventories.
Thediscrepancies noticed on verification between the physical
verification and the book records were not material and have been
properly dealt with in the books of accounts.
iii) The Company has neither granted nor taken any loans, secured or
unsecured, to/from companies, firms or other parties covered in the
register maintained under Section 189 of the Companies Act,
2013:Accordingly, paragraphs 3(iii)(a) and (b) of the order are not
applicable.
iv) In our opinion and according to the information and explanation
given to us, there is adequate internal control System commensurate
with the size of the Company and the nature of its business, for the
purchase of inventory, fixed assets and also for the sale of goods and
services. Further, on the basis of our examination and according to the
information and explanations given to us, we have neither come across
nor we have been informed of any instance of major weaknesses in the
aforesaid
Internal Control System.
v) The company has not accepted any deposits from the public.
vi) The nature of business activities is such that clause 3(vi) of
Companies (Auditors Report) 2015 regarding maintenance of cost record,
is not applicable to the Company.
vii) In respect of statutory dues :
a. According to the records of the Company and information and
explanation given to us, undisputed statutory dues including provident
fund, Investor education and protection fund, employee state Insurance,
Income Tax, Sales Tax, Wealth Tax, Service Tax, Custom duty, Excise
duty, Cess and other statutory dues to the extent applicable have been
regularly deposited with the appropriate authorities. There are no
undisputed amount payable in respect of the aforesaid dues which were
outstanding as at 31st, March 2015 for a period of more than six months
from the date of becoming payable.
b. According to the information and explanation given to us, there are
no dues of Income Tax/Sales Tax/ Wealth tax/Service Tax/ Custom
tax/excise duty /Cess, outstanding on account of any dispute.
viii) The Company has not any accumulated losses and also not incurred
any cash losses during the financial year covered by our audit or in
the immediately preceding financial year.
ix) As the Company has not any outstanding dues of financial
institutions, banks or debenture holders during the year.
x) According the information and explanation given to us, during the
year, the company has not given any guarantee for loans taken by others
from banks or financial Institutions.
xi) According to the information and explanation given to us, during
the year, the Company has not obtained any term Loan.
xii) In our opinion and according to the information and explanation
given tous, no fraud on or by the Company has been noticedor reported
during the year nor we have been informed of such case by management.
For P. BHOLUSARIA & CO.
Chartered Accountants
Firm Registration No.: 000468N
PLACE : Delhi (PAWAN BHOLUSARIA)
DATED : 25\05\2015 PARTNER
(Membership No. 80691)
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