| We have audited the accompaying financial statements of Datasoft
Application Software (India) 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 finanicial position,
financial performance and cash flow 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"), read with General Circular No.
15/2013 dated 13th September 2013 of the Ministry of Company Attairs in
respect of Section 133 of the Companies Act, 2013. 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 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 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 judgement, 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 circumastances. 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
1. 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, 2014;
b) in the case of the 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 Matter :
Without Qualifying Our Opinion :
We draw attention to Note No. 3 and 4 of Notes of the Financial
Statement regarding following factors raise substantial doubt on the
assumption of going concern concept in preparation of financial
statements :
i) There is no business activity during the year.
i i ) Management has already laid off its entire staff and they have
not shown any evidence for the revival of the business by recruiting
any employee.
In view of the above, we are unable to express any opinion as regards
the appropriateness of going concern assumption followed in preparation
of the financial statements.
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 on the matter 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, the 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, the 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, read
with General Circular No. 15/2013 dated 13th September 2013 of the
Ministry of Company Attairs in respect of Section 133 of the Companies
Act, 2013.
e) On the basis of written representations received from the directors,
as on March 31st, 2014, and taken on record by the Board of Directors,
we report that none of the directors is disqualified as on March 31st,
2014 from being appointed as a director, in terms of clause (g) of
sub-section (1) of Section 274 of the Companies Act, 1956.
ANNEXURE TO THE AUDITORS' REPORT
(Referred to in paragraph 1 of Report on other Legal and Regulator
Requirements of the Auditors' Report of even date to the members of
DATASOFT APPLICATION SOFTWARE (INDIA) LIMITED on the financial
statements for the year ended 31st March, 2014)
(i) The Company does not have any fixed assets. Hence the question of
maintaining proper records, carrying out physical verification and
disposing off a substantial part of the fixed assets does not arise.
(ii) The Company does not have any inventory. Hence the question of
carrying out physical verification and maintaining proper records does
not arise.
(iii) a) According to information and explanations given to us, the
company has not granted any loans, secured
or unsecured, to companies, firms or other parties covered in the
register maintained under section 301 of the Companies Act, 1956. Hence
clauses (iii) (a), (iii) (b), (iii) (c), (iii) (d) of paragraph 4 of
the order are not applicable to the Company.
b) The Company has taken loan from three parties listed in Register
maintained under section 301 of the Companies Act, 1956. The maximum
amount involved during the year was Rs. 1,20,000 and the year-end
balance of loans taken from such parties was Rs. 7,33,502.
c) In our opinion, the rate of interest and other terms and conditions
on which loans have been taken from companies, firms or other parties
listed in the register are not, prima facie, prejudicial to the
interest of the company.
d) In respect of such loan taken by the Company, no stipulation has
been made with respect to repayment of loan and payment of interest,
hence we are unable to comment on the same.
(iv) During the year, the company has not been engaged in purchase of
inventory and fixed assets and sale of goods and services. Hence clause
4 (iv) is not applicable to the company.
(v) a) According to the information and explanation given to us, we are
of the opinion that the particulars of
contracts and arrangements referred to in section 301 of the Act have
been entered into the register required to be maintained under that
section.
b) In our opinion and according to the information and explanations
given to us, there are no transactions made in pursuance of contracts
or arrangements need to be entered in the register maintained under
section 301 of the Companies Act, 1956 exceeding Rs. 5,00,000/-
(vi) The Company has not accepted any deposits during the year from the
public within the meaning of the provisions of Section 58A and 58AA of
the Companies Act, 1956 and rules made there under. Hence, the clause
(vi) of the order is not applicable.
(vii) In our Opinion, the Company does not have any Internal Audit
System.
(viii) We have been informed that the Central Government has not
prescribed the maintenance of cost records under Section 209(1)(d) of
the Companies Act, 1956.
(ix) a) According to the information and explanations given to us and
on the basis of records produced before us, the
Company is generally regular in depositing with appropriate authorities
undisputed statutory dues including Provident Fund, Investor education
Protection fund, employees' State Insurance, Income Tax, Sales Tax,
Wealth Tax, Custom Duty, Excise Duty, Cess and other material statutory
dues applicable to it. According to the information and explanations
given to us, no undisputed arrears of statutory dues were outstanding
as at 31st March, 2014 for a period of more than six months from the
date they became payable.
b) There are no cases of non deposit with appropriate authorities of
disputed due of Sales Tax / Income Tax / Custom Duty / Wealth Tax /
Exicse authorities.
(x) The Company has accumulated losses at the end of the financial year
exceeding fifty percent of its net worth. However the company has
earned cash profit during the current financial year and in the
immediately preceding financial year also.
(xi) In our opinion and according to the information and explanations
given to us, the Company has not taken any loans from any financial
institutions, banks or debenture holders and hence the question of
defaulting in repayment of dues not arise.
(xii) According to the information and explanations given to us, the
Company has not granted loans or advances on the basis of security by
way of pledge of shares, debentures and other securities.
(xiii) In our opinion, the provisions of any special statute applicable
to Chit Fund, Nidhi or Mutual Benefit Fund / Societies are not
applicable to the Company.
(xiv) According to the information and explanations given to us, the
Company does not deal or trade in shares, securities, debentures and
other investment.
(xv) The Company has not given any guarantee for loans taken by others
from banks or financial institutions.
(xvi) The Company has not taken any term loan during the year.
(xvii) According to the information and explanations given to us, and
on overall examination of the balance sheet and cash flow statement of
the Company, in our opinion, the funds raised on short term basis have
not been used for long terms investment.
(xviii) The Company has not made any preferential allotment of shares
to parties and companies covered in the register maintained under
section 301 of the Companies Act, 1956 during the year.
(xix) The company has not issued debentures during the financial year
and hence the question of creating securities in respect thereof does
not arise.
(xx) The Company has not raised any money by public issues during the
year.
(xxi) On the basis of our examination 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 KANU DOSHI ASSOCIATES
Chartered Accountants
Firm Reg. No. : 104746W
PLACE : MUMBAI ANKIT PAREKH
DATE : 29-05-2014 Partner
M. No. : 114622 |