We have audited the accompanying financial statements of M/s Real Growth
Commercial Enterprises Limited ( the Company ), which comprise the
Balance Sheet as at March 31, 2015, and the Statement of Profit and
Loss, cash flow for the year then ended, and a summary of significant
accounting policies and other explanatory information.
Managements Responsibility for the Financial Statements
The Companys Board of Directors is responsible for the matters in
section 134(5) of the Companies Act, 2013 ( the Act) with respect to
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 principles generally
accepted in India including the Accounting Standards specified under
Section 133 of the Act, read with Rule 7 of the Companies (Account)
Rules, 2014. This responsibility also includes the maintenance of
adequate accounting records in accordance with the provision of the Act
for safeguarding of the assets of the Company and for preventing and
detecting the frauds and other irregularities) selection and application
of appropriate accounting policies) making judgements and estimates that
are reasonable and prudent) and design, implementation and maintenance
of internal financial control, 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 financial
statements based on our audit. We have taken into account the
provisions of the Act , the accounting and auditing standards and the
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 the 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 auditors 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 Companys preparation and
fair presentation of the financial statements that give true and fair
view 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 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.
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
a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31,2015;
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.
Report on other Legal & Regulatory Requirements
1. As required by the Companies (Auditor''s Re port) 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 paragraphs 3 and 4 of the
Order to the extent applicable.
2. A s 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
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
d. In our opinion, the aforesaid financial statements 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 31, 2015, and taken on record by the Board of
Directors, none of the directors is disqualified as on March 31, 2015 ,
from being appointed as a director in terms of Section 164(2) of the
f. With respect to the other matters included in the Auditor s Report
in accordance with the Rule 11 of the Companies (Audit & Auditors)
Rules 2014, in our opinion and to our best of our information and
according to the explanations given to us:
(i) The management has represented that the company does not have any
pending litigations and hence no provision/disclosure has been made
against the same.
(ii) That provision as required under the applicable laws or accounting
standard for all the material foreseeable losses as represented to us &
identifiable from the financial statements have been made in the books
of accounts. The management has represented that all loans/advances &
recoverable are good and fully recoverable.
(iii) There were no amount which was required to be transferred to
Investor education & Protection fund.
ANNEXURE TO AUDITORS'' REPORT
Referred to in paragraph 3 of the Auditors Report of even date to the
members of REAL GROWTH COMMERCIAL ENTERPRISES LIMITED March 31,2015
(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 according to a regular program of verification which,
in our opinion, is reasonable having regard to the size of the company
and the nature of its assets. No material discrepancies were noticed on
(a) Traded Stock is purchased and sold in lots and it''s inventory at
year end is NIL. Inventory of commercial shops have been physically
verified and certified by the management at the year end. In our
opinion, the frequency of such verification is reasonable.
(b) The procedures for the physical verification of inventories
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 is maintaining proper records of inventory. The records
of inventory maintained at the registered office are proper and no
discrepancies have been stated to be noticed on verification between
the physical stocks and the book records.
(iii) (a)The company has not granted loan to any parties covered in the
register maintained under section 189 of the Companies Act.
(b) Since the company has not granted any loans as mentioned in (iii)
(a) hence para iii (b) is not applicable.
(iv) In our opinion and accordance 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 with regard
to purchase of inventory and fixed assets and for the sale of goods and
services. During the course of our audit, we have not observed any
continuing failure to correct major weakness in internal controls
(v) The company has not accepted any deposits and hence para (v) is not
(vi) The company is not required to maintain the cost records
prescribed by the Central Government under subsection (1) of section
148 of the Companies Act.
(a) The company is regular in depositing with appropriate authorities
undisputed statutory dues including Income Tax, Service Tax, Cess and
other statutory dues applicable to it. According to the information
and explanations given to us, no undisputed amounts payable in respect
of income tax, service tax, cess and other statutory dues were in
arrears, as at 31st M arch 2015 for a period of more than six months
from the date they become payable.
(b) According to the information and explanation given to us, there are
no dues of service tax, income tax, cess and other statutory dues,
which have not been deposited on account of any dispute.
(c) There were no amount which was required to be transferred to
Investor education & Protection fund.
(viii) The Company does not have accumulated losses. The Comp any has
not incurred any cash losses during the financial year covered by our
audit and also in the immediately preceding financial year In our
opinion and according to the information and explanations given to us,
the company has not defaulted in repayment of dues to a financial
institution, bank or debenture holders.
(ix) As informed to us & according to the information and explanations
given to us, the company has not given any guarantee for loans taken by
others from banks or financial institutions during the year.
(x) The company has not taken any term loans & hence para (xi) is not
(xi) During the course of our examination of the books and records of
the company, carried out in accordance with the generally accepted
auditing practices in India, and according to the information and
explanations given to us, we have neither come across any instance of
material fraud on or by the company, noticed or reported during the
year, nor have we been informed of such case by the management.
For Serva Associates
Firm Registration Number: 000272N
C.A. Nitin Jain Place of Signature: Delhi
(Partner) Date: 27th April 2015
Membership Number: 506898