| We have audited the accompanying financial statements of Devki Cyber
Securities Private Limited ("the Company"), which comprise the Balance
Sheet as at March 31, 2014, and 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
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 referred to in sub-section (3C) of section 211
of the Companies Act, 1956 (" the Act "). 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 of error.
Auditor 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 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 misstatements.
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 risk 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. 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
explanation 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 Balance Sheet , of the state of affairs of the
Company as at March 31,2014;
(b) In the case of the Profit and Loss Account, of the Profit for the
year ended on that date ; and
(c) In the case of the Cash Flow Statement, of the cash flows for the
year ended on the 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
sub-section (4A) of section 227 of the Act, We give in the Annexure a
statement of 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, 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 sub-section (3C) of Section 211 of the Companies Act, 1956 ;
e. On the basis of written representation received from the directors
as on March 31, 2014, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2014, from being
appointed as director in terms of clause (g) of sub section (1) of
section 274 of the Companies Act, 1956 ;
ANNEXURE TO THE INDEPENDENT AUDITORS REPORT
[Referred to in paragraph 1 under the heading of "Report on Other Legal
and Regulatory Requirement" of our report of even date]
1 (a) The Company has maintained proper records showing full
particulars including quantitative details and situation of fixed
assets.
(b) All the 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 is
reasonable.
(c) None of the substantial part of fixed assets has been disposed off
during the year.
2. (a) The stock of shares and securities has been physically verified
by the management at reasonable intervals during the year. In our
opinion the frequency of verification is reasonable.
(b) In our opinion and according to the information and explanations
given to us, the procedure of physical verification of stock of shares
& securities followed by the management are reasonable and adequate in
relation to the size of the Company and nature of its business.
(c) The Company has maintained proper records of inventory and the
discrepancies noticed on verification between the physical stocks and
book records were not material and have been properly dealt with in the
books of account.
3. (a) According to the information and explanation given to us, the
Company has not granted any loans, secured or unsecured to companies,
firm or other parties covered in the register maintained under Section
301 of the Companies Act, 1956. Accordingly, the provision of clause
4(iii) (a) to (d) of the order are not applicable to the Company and
hence not commented upon.
(b) According to the information and explanation given to us, the
Company has not taken any loans, secured or unsecured from companies,
firm or other parties covered in the register maintained under Section
301 of the Companies Act, 1956. Accordingly, the provision of clause
4(iii)(e) to (g) of the order are not applicable to the Company and
hence not commented upon.
4. In our opinion and according to the information and explanations
given to us The Company has an adequate internal control procedure
commensurate with the size and nature of its business, for the purchase
of inventory and fixed assets and for the sale of goods. During the
course of our audit we have not observed any continuing failure to
correct major weaknesses in internal controls.
5. In our opinion and according to the information and explanations
given to us all the transactions that need to be entered into the
register maintained under section 301 of the act have been properly
entered and are made at prices which are reasonable having regard to
the prevailing market price at the relevant time.
6. In our opinion and according to the information and explanations
given to us, the Company has not accepted any deposit from the public
as governed by the provision of Section 58A and 58 AA of the Companies
Act, 1956 and rules framed their under.
7. In our opinion, the Company has as an Internal Audit system
commensurate with the size and nature of its business.
8. According to the information and explanations given to us, we are
of the opinion that no cost records maintenance has been prescribed by
the Central Govt. under section 209 (1) (b) of the Companies Act, 1956.
9. (a) The company is regular in depositing with the appropriate
authorities undisputed statutory dues including provident fund,
employees' state insurance, income tax, sales tax, wealth tax, custom
duty, excise duty, cess and other material statutory dues applicable to
it.
(b) According to the information and explanations given to us and there
is no undisputed amount payable in respect of income tax, sales tax,
wealth tax, custom duty, excise duty, and cess were in arrears, as at
the last day of the financial year concerned for a period of more than
six months from the date they become payable.
(c) According to the information and explanations given to us, there
are no dues of income tax, sales tax, wealth tax, custom duty, excise
duty, and cess, which have not been, deposited on account of any
dispute
10. The Company has no accumulated losses at the end of the financial
year and it has not incurred cash loss during the financial year
concerned by our audit and has incurred loss in the immediately
preceding financial year.
11. In our opinion and according to the information and explanations
given to us, the company has not taken any loan from bank or financial
institution. Hence requirement of this clause is not applicable to the
company.
12. In our opinion and according to the information and explanations
given to us, the company has not granted loans & advances on the basis
of security by way of pledge of share, debentures and other securities.
13. As the company is not a Nidhi /Mutual Benefit Fund /Society
/Investment Company, the reporting requirement under point no. (xii),
(xiii), (xiv) are not applicable to the company.
14. In our opinion the company has maintained proper records of
transactions and contracts in securities and other investments. Timely
entries have been made in the records. The shares and securities held
in investments and stock in trade is held by the company in its own
name.
15. According to information and explanations given to us, we are of
the opinion that the company has not given any guarantee for loans
taken by others from banks & other financial institutes
16. According to the information and explanation given to us, the
company has not taken any term loan during the year; hence requirement
of this clause is not applicable to the company.
17. According to the information and explanation given to us and on an
overall examination of the Balance Sheet of the company, we report that
the no funds raised on short-term basis have been used for long term
investment.
18. In our opinion and according to the information and explanations
given to us, the company has not made any preferential allotment of
shares during the year to parties and companies covered in the register
maintained under section 301 of the Companies Act, 1956.
19. The company has not issued debentures during the year hence the
question of creation of securities for debenture dose not arises.
20. The company has not raised any funds by Public issue; clause (xx)
of the order is not applicable.
21. In our opinion and according to the information and explanations
given to us, no fraud on or by the company has been noticed or reported
during the course of our audit.
For A.B.DOSHI & CO.
Chartered Accountants
Firm Registration No. 001577C
Place: Indore Ashwini Kumar Doshi
Date: May 30, 2014 Proprietor
Membership .No. 031460 |