We have audited the accompanying Standalone Financial Statements of ANJANI FINANCELIMITED ("the Company"), which comprise the Balance Sheet as at March 31, 2024, theStatement of Profit and Loss (including Other Comprehensive Income), the Statement ofChanges in Equity and the Statement of Cash Flows for the year then ended and notes tothe Standalone Financial Statements including a summary of significant accountingpolicies and other explanatory information (hereinafter referred to as "StandaloneFinancial Statements").
In our opinion and to the best of our information and according to the explanations givento us, the aforesaid Standalone Financial Statements give the information required by theCompanies Act, 2013 ("the Act”) in the manner so required and give a true and fair viewin conformity with the accounting principles generally accepted in India including theIndian Accounting Standards ("Ind AS"), of the state of affairs of the Company as atMarch 31, 2024, its total comprehensive income, changes in equity and its cash flows forthe year ended on that date.
BASIS FOR QUALIFIED OPINION
We conducted our audit of the standalone financial statements in accordance withStandards on Auditing (SAs) specified under section 143(10) of the Act. Ourresponsibilities under those Standards are further described in the Auditor'sResponsibilities for the Audit of the Standalone Financial Statements section of ourreport. We are independent of the Company in accordance with the Code of Ethics issuedby the Institute of Chartered Accountants of India ("ICAI") together with the ethicalrequirements that are relevant to our audit of the Standalone Financial Statements underthe provisions of the Act and Rules there under and we have fulfilled our other ethical .
responsibilities in accordance with these requirements and the Code of Ethics. Webelieve that the audit evidence we have obtained is sufficient and appropriate to providea basis for our qualified opinion.
"As required by Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014, asamended, we report that the Company has not maintained an adequate audit trail asrequired by the Account Rules during the current financial year but has subsequentlyratified the non-compliance."
KEY AUDIT MATTERS
Key audit matters are those matters that, in our professional judgment, were of mostsignificance in our audit of the standalone financial statements of the current period.
These matters were addressed in the context of our audit of the financial statements as awhole, and in forming our opinion thereon, and we do not provide a separate opinion onthese matters. We have determined no key audit matters to be reported.
INFORMATION OTHER THAN THE FINANCIAL STATEMENTS AND AUDITOR'S REPORTTHEREON
The Company s board of directors is responsible for the preparation of the otherinformation. The other information comprises the information included in Board's Reportincluding Annexure to Board’s Report and management compliance certificate but doesnot include the Financial Statements and our auditor's report thereon.
Our opinion on the Financial Statements does not cover the other information and we donot express any form of assurance conclusion thereon.
In connection with our audit of the Financial Statements, our responsibility is to read theother information and, in doing so, consider whether the other information is materiallyinconsistent with the Financial Statements or our knowledge obtained during the courseof our audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a materialmisstatement of this other information; we are required to report that fact. We havenothing to report in this regard.
RESPONSIBILITIES OF MANAGEMENT AND THOSE CHARGED WITH GOVERNANCE FOR THESTANDALONE FINANCIAL STATEMENTS
The Company's Board of Directors is responsible for the matters stated in section 134(5)of the Act with respect to the preparation of these Standalone Financial Statements thatgive a true and fair view of the financial position, financial performance including othercomprehensive income, changes in equity and cash flows of the Company in accordancewith the accounting principles generally accepted in India, including Ind AS specifiedunder section 133 of the Act, read with relevant rules issued there under. Thisresponsibility also includes maintenance of adequate accounting records in accordancewith the provisions of the Act for safeguarding qf the assets of the Company and forpreventing and detecting frauds and other irregularities; selection and application ofappropriate accounting policies; making judgments and estimates that are reasonableand prudent; and design, implementation and maintenance of adequate internal financialcontrols, that were operating effectively for ensuring the accuracy and completeness of .the accounting records, relevant to the preparation and presentation of the StandaloneFinancial Statements that give a true and fair view and are free from materialmisstatement, whether due to fraud or error.
In preparing the Standalone Financial Statements, management is responsible forassessing the Company's ability to continue as a going concern, disclosing, as applicable,matters related to going concern and using the going concern basis of accounting unlessmanagement either intends to liquidate the Company or to cease operations, or has norealistic alternative but to do so.
Those Board of Directors are also responsible for overseeing the Company's financialreporting process.
AUDITOR'S RESPONSIBILITIES FOR THE AUDIT OF THE STANDALONE FINANCIALSTATEMENTS
Our objectives are to obtain reasonable assurance about whether the StandaloneFinancial statements as a whole are free from material misstatement, whether due tofraud or error, and to issue an auditor's report that includes our opinion. Reasonableassurance is a high level of assurance but is noJ^$uarantee that an audit conducted in
accordance with SAs will always detect a material misstatement when it exists.Misstatements can arise from fraud or error and are considered material if, individually orin the aggregate, they could reasonably be expected to influence the economic decisionsof users taken on the basis of these Standalone Financial Statements.
As part of an audit in accordance with SAs, we exercise professional judgment andmaintain professional skepticism throughout the audit. We also:
• Identify and assess the risks of materia! misstatement of the Standalone FinancialStatements, whether due to fraud or error, design and perform audit proceduresresponsive to those risks, and obtain audit evidence that is sufficient andappropriate to provide a basis for our opinion. The risk of not detecting a materialmisstatement resulting from fraud is higher than for one resulting from error, asfraud may involve collusion, forgery, intentional omissions, misrepresentations, orthe override of internal control,
• Obtain an understanding of internal control relevant to the audit in order to designaudit procedures that are appropriate in the circumstances. Under section 143(3}
(i) of the Act, we are also responsible for expressing our opinion on whether thecompany has adequate interna! financial controls with reference to financialstatements in place and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the reasonablenessof accounting estimates and related disclosures made by management,
• Conclude on the appropriateness of management's use of the going concern basisof accounting and, based on the audit evidence obtained, whether a materialuncertainty exists related to events or conditions that may cast significant doubton the Company's ability to continue as a going concern. If we conclude that amaterial uncertainty exists, we are required to draw attention in our auditor'sreport to the related disclosures in the Standalone Financial Statements or, if suchdisclosures are inadequate, to modify our opinion. Our conclusions are based onthe audit evidence obtained up to the date of our auditor's report. Fiowever,future events or conditions may cause the Company to cease to continue as agoing concern.
• Evaluate the overall presentation, structure and content of the StandaloneFinancial Statements, including the disclosures, and whether the StandaloneFinancial Statements represent the underlying transactions and events in amanner that achieves fair presentation.
We communicate with those charged with governance regarding, among other matters,the planned scope and timing of the audit and significant audit findings, including anysignificant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have compliedwith relevant ethical requirements regarding independence, and to communicate withthem ail relationships and other matters that may reasonably be thought to bear on ourindependence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determinethose matters that were of most significance in the audit of the Financial Statements ofthe current year and are therefore the key audit matters. We describe these matters inour auditor's report unless law or regufation precludes public disclosure about the matteror when, in extremely rare circumstances, we determine that a matter should not becommunicated in our report because the adverse consequences of doing so wouldreasonably be expected to outweigh the public interest benefits of such communication.
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REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
L hv ComPanies (Auditor's Report) Order, 2020 ("the Order”) issued
H ^ Government of India in terms of sub-section (11) of section 143 ofthe Act, we give in the "Annexure A", a statement on the matters specified in theparagraph 3 and 4 of the Order, to the extent applicable.
2. As required by Section 143 (3) of the Act, based on our audit, we report that;
3) !etiar 5,°Uf9ht *nd obtained aM the ^formation and explanations whichour auditSt °f °Ur know edqe and belief were necessary for the purposes of
b) 'rr °pinion' Pr°Per books of account as required by law have been keptby the Company so far as it appears from our examination of those booksexcept the non-maintenance of Audit trail Feature.
c) The Balance Sheet, the Statement of Profit and Loss including OtherComprehensive Income, Statement of Changes in Equity and the Cash Flow
Statement dealt with by this report are in agreement with the books ofaccount.
d) In our opinion, the aforesaid Standalone financial statements comply withthe Accounting Standards specified under Section 133 of the Act, read withRule 7 of the Companies (Accounts) Rules, 2014.
e) nn 31* M^i-Sh°U^ Titten rePresentati°ns received from the directors as
on 31 March, 2024, taken on record by the Board of Directors, none of thedirectors is disqualified as on 31st March, 2024 from being appointed as adirector in terms of Section 164 {2} of the Act; ,
f) With respect to the adequacy of the internal financial controls overfinancial reporting of the Company and the operating effectiveness of such -controls, refer to our separate Report in "Annexure B”. Our reportexpresses an unmodified opinion on the adequacy and operating
effectiveness of the Company's internal financial controls over financialreporting.
g) With respect to the other matters to be included in the Auditor's Report inamended^ W'th ^ requirements of section 197(16) of the Act, as
In our opinion and to the best of our information and according to theHS^rtl0J1S-9,V!I! t0 us'.the remuneration paid by the Company to its197tof>thedActn9 the ySar 'S 'n accordance with the provisions of section
h) With respect to the other matters to be included in the Auditor's Report inaccordance with Rule 11 of the Companies (Audit and Auditors) Rules,2014, in our opinion and to the best of our information and according tothe explanations given to us:
i. The Company has disclosed the impact of pending litigations as at31st March 2024 on its financial position in its Standalone financialstatements - Refer Note 20 (3) to the Standalone financialStatements.
ii. The Company did not have any long-term contracts includingderivative contracts for which there were any material foreseeablelosses.
iii. There were no amounts which were required to be transferred tothe Investor Education and Protection Fund by the Company duringthe year ended 31st March 2024.
iv. (i) The management has represented that, to the best of it'sknowledge and belief, other than as disclosed in the notes to theaccounts, no funds have been advanced or loaned or invested(either from borrowed funds or share premium or any other sourcesor kind of funds) by the company to or in any other person(s) orentity(ies), including foreign entities ("Intermediaries"), with theunderstanding, whether recorded in writing or otherwise, that theIntermediary shall, whether, directly or indirectly lend or invest inother persons or entities identified in any manner whatsoever by oron behalf of the company ("Ultimate Beneficiaries") or provide anyguarantee, security or the like on behalf of the UltimateBeneficiaries (if any);
(ii) The management has represented, that, to the best of itsknowledge and belief, other than as disclosed in the notes to theaccounts, no funds have been received by the company from anyperson(s) or entity(ies), including foreign entities ("FundingParties"), with the understanding, whether recorded in writing orotherwise, that the company shall, whether, directly or indirectly,lend or invest in other persons or entities identified in any mannerwhatsoever by or on behalf of the Funding Party ("UltimateBeneficiaries") or provide any guarantee, security or the like on 'behalf of the Ultimate Beneficiaries (if any); and
(iii) Based on such audit procedures that we (the auditors of thecompany) have considered reasonable and appropriate in thecircumstances; nothing has come to our notice that has caused usto believe that the representations under sub-clause (i) and (ii)contain any material misstatements.
v. The Company has not declared or paid any dividend during theyear.
vi. The company has not used accounting software for maintaining itsbooks of accounts which has a feature of recording audit trail (editlog) facility and the same has been operated throughout the yearfor all transactions recorded in the software and the audit trailfeature has not been tampered with and the audit trail has not beenpreserved by the company as per the statutory requirements forrecord retention.
STATUTORY AUDITORSFOR MAHENDRA BADJATYA & COCHARTERED ACCOUNTANTS
ICAI FRN.GMfcTc ' .V
WlMNO 420388ICAI UDIN 24420388BKFRJG6405PLACE: INDOREDATE: 29.05.2024