INDEPENDENT AUDITOR'S REPORT

TO THE MEMBERS OF JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

Report on the Standalone Financial Statements
We have audited the accompanying financial statements of JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED
("the Company"), which comprise the Balance Sheet as at 31st March, 2015, the Statement of Profit and Loss, the Cash Flow
Statement for the year then ended, and a summary of the significant accounting policies and other explanatory information.
Management's Responsibility for the Standalone 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 of these standalone 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 (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, 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

standalone

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 for our audit opinion on the
standalone financial statements.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone
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, of the state of affairs of the Company as at 31st March,
2015, and its loss and its cash flows for the year ended on that date.
Emphasis of Matter
We draw attention to Note 14 in the financial statements which indicate that the Companys net worth is further eroded due to
losses incurred during the year. Going concern assumption for the company is dependent upon the financial support from its parent
company.
Our Opinion is not qualified in respect of the above matter.

Report on Other Legal and Regulatory Requirements

1.

As required by the Companies (Auditors Report) Order, 2015 (the Order) issued by the Central Government in terms of
Section 143(11) of the Act, we give in the Annexure a statement on the matters specified in paragraphs 3 and 4 of the Order.

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 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 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 standalone 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)

The matters described in under the Emphasis of Matters paragraph above, in our opinion, may have an adverse effect on
the functioning of the Company.

(f)

On the basis of the written representations received from the directors as on 31st March, 2015 taken on record by the
Board of Directors, none of the directors is disqualified as on 31st March, 2015 from being appointed as a director in
terms of Section 164 (2) of the Act.

(g)

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:
i.

There were no pending litigations which would impact the financial position of the Company;

ii.

The Company did not have any long-term contracts including derivative contracts for which there were any
material foreseeable losses.

iii.

There were no amounts which were required to be transferred to the Investor Education and Protection Fund
by the Company.

For CHATURVEDI & SHAH

Chartered Accountants
Firm Registration No.: 101720W

Sd/Parag D. Mehta
Partner
Membership No.: 113904
Place: Mumbai
Date: 28th May, 2015

ANNEXURE TO THE INDEPENDENT AUDITORS REPORT

(Referred to in paragraph 1 under Report on Other Legal and Regulatory Requirements section of our report of even date)
1)

The Company does not hold any fixed assets. Thus paragraph 3(i) of the order is not applicable.

2)

The Company does not hold any inventories. Thus paragraph 3(ii) of the order is not applicable.

3)

According to the 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 189 of the Companies Act 2013.
Therefore, the paragraph 3(iii) (a) and (b) of the Order are not applicable. to the company.

4)

During the year, the Company has neither purchased any inventory nor any fixed assets nor sold any goods and services.
Accordingly paragraph 3(iv) of this Order does not apply in respect of the adequacy of internal control system for
purchase of inventory, fixed assets and sale of goods or services.

5)

According to information and explanations given to us, the Company has not accepted any deposit during the year.

6)

According to information and explanations given to us, maintenance of cost records has not been prescribed for the
Company by the Central Government under clause sub section (1) of section 148 of the Companies Act, 2013.

7) According to the information and explanations given to us, in respect of statutory dues:
a)

Undisputed statutory dues, including provident fund, employees state insurance, income tax, sales-tax, value added
tax, wealth tax, service tax, duty of customs, duty of excise, cess and any other material statutory dues, as applicable,
have been generally regularly deposited with the appropriate authorities.
There were no undisputed amounts payable in respect of provident fund, employee state insurance, sales tax, wealth
tax, service tax, duty of customs, duty of excise, value added tax, cess and other material statutory dues in arrears as
at 31st March, 2015 for a period of more than six months from the date they became payable.

b)

According to the information and explanations given to us, there are no material dues of sales tax, wealth tax, duty of
customs, duty of excise, value added tax, and cess which have not been deposited with the appropriate authorities on
account of any dispute.

c)

According to the information and explanations given to us there were no amounts which were required to be
transferred to the Investor Education and Protection Fund by the Company in accordance with the relevant provisions
of the Companies Act, 1956 (1 of 1956) and rules there under.

8)

The Company has been registered for a period less than five years and hence paragraph 3(viii) of the order does not apply
to incurrence of cash losses in the current financial year or immediately preceding financial year.

9)

The Company has not borrowed money from any financial institution or bank or by issue of debentures and hence
defaulting in repayment of its dues does not arise. Therefore, paragraph 3(x) of this order does not apply to the company.

10)

In our opinion and according to the information and the explanations given to us, the Company has not given any
guarantee for loans taken by others from banks or financial institutions.

11)

In our opinion and according to the information and explanations given to us, the term loans have been applied by the
Company during the year for the purposes for which they were obtained.

12)

According to the information and explanations given to us, no material fraud on or by the Company has been noticed or
reported during the course of our audit.

For CHATURVEDI & SHAH

Chartered Accountants
Firm Registration No.: 101720W

Sd/Parag D. Mehta
Partner
Membership No.: 113904
Place: Mumbai
Date: 28th May, 2015

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

Balance Sheet as at 31st March, 2015
Particulars

Note No.

As at 31st
March, 2015

` in INR
As at 31st
March, 2014

EQUITY AND LIABILITIES

Shareholders' Funds
Share Capital
Reserves and Surplus

2
3

100,000
(306,411)
(206,411)

100,000
(206,837)
(106,837)

Non-Current Liabilities
Long-term borrowings

500,000

Current Liabilities
Trade Payables
Other Current Liabilities

5
6

56,180
23,151
579,331

135,179
135,179

372,920

28,342

372,920

28,342

372,920

28,342

TOTAL
ASSETS
Current Assets
Cash and Cash equivalents

7
TOTAL

The accompanying notes are an integral part of

the Financial Statements
As per our attached report of even date
For CHATURVEDI & SHAH

1
On behalf of Board of Directors

Chartered Accountants

Sd/Parag D. Mehta
Partner

Sd/Gaurang Shetty
Director

Sd/Belson Coutinho
Director

Date: 28th May, 2015

Place: Mumbai

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

Statement of Profit and Loss for the Year ended 31st March, 2015
` in INR
For the Year
Ended
31st March, 2015
-

For the Year

Ended
31st March, 2014
-

23,151
76,423
99,574

169
92,988
93,157

Loss before Tax

(99,574)

(93,157)

Tax Expense
- Current Tax
Loss for the period

(99,574)

(93,157)

(9.96)

(9.32)

Particulars

Note No.

Income
Total Revenue
Expenses
Finance cost
Other Expenses
Total expenses

8
9

Earnings per Equity Share: (Face value ` 10 Per Share)

Basic and Diluted (in ` )
The accompanying notes are an integral part of
the Financial Statements
As per our attached report of even date
For CHATURVEDI & SHAH

10
1

On behalf of Board of Directors

Chartered Accountants

Sd/Parag D. Mehta

Sd/Gaurang Shetty
Director

Sd/Belson Coutinho
Director

Partner

Date: 28th May, 2015

Place: Mumbai

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

Cash Flow Statement for the Year ended 31st March, 2015
` in INR
Note No.

For the Year

Ended 31st
March,2015

Particulars
Cash Flow from Operating Activities :
Net loss Before Tax
Adjustment for:
Finance Cost
Operating (Loss) before Working Capital Changes

For the Year

Ended 31st
March,2014

(99,574)

(93,157)

23,151
(76,423)

(93,157)

78,999
(155,422)

21,499
(71,658)

Cash Flow from Financing Activities

Proceeds from Long Term Loan
Net Cash from Financing Activities

500,000
500,000

Net Increase in Cash & Cash Equivalents

344,578

(71,658)

Cash and Cash Equivalents as at the Beginning of the period

Cash and Cash Equivalents as at End of the period

28,342
372,920

100,000
28,342

Changes in Trade Payables and Other Current Liabilities

Net cash from / (used in) operating activities
Cash Flow from Investing Activities
Net Cash Flow from / (used in) Investing Activities

As per our attached report of even date

On behalf of Board of Directors

For CHATURVEDI & SHAH

Chartered Accountants
Sd/Parag D. Mehta
Partner

Sd/Gaurrang Shetty
Director

Sd/Belson Coutinho
Director

Date: 28th May, 2015

Place: Mumbai

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

Notes to the Financial Statements for the Year ended 31st March, 2015
1. Significant Accounting Policies
A.

BASIS OF PREPARATION OF FINANCIAL STATEMENTS :

The financial statements are prepared under the historical cost convention, in accordance with the generally accepted
accounting principles in India, the provisions of the Companies Act, 2013 and the applicable accounting standards.

B.

USE OF ESTIMATES :
The preparation of financial statements in conformity with generally accepted accounting principles requires estimates
and assumptions to be made that affect the reported amount of assets and liabilities on the date of the financial
statements and the reported amount of revenue and expenses during the reporting period. Differences between the
actual results and estimates are recognized in the period in which the results are known / materialized.

C.

REVENUE RECOGNITION :
Revenue is recognized on accrual basis.

D.

TAXES :
Provision for current tax is made after taking into consideration benefits admissible under the provisions of the Income
Tax Act, 1961.
Deferred tax resulting from timing differences between book and taxable profit is accounted for using the tax rates and
laws that have been enacted or substantively enacted as on the balance sheet date. The deferred tax asset is
recognized and carried forward only to the extent that there is a reasonable / virtual certainty, as the case may be, that
the asset will be realized in future.

E.

PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS :

Provisions involving a substantial degree of estimation in measurement are recognized when there is a present
obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities
are not recognized but are disclosed in the notes. Contingent Assets are neither recognized nor disclosed in the
financial statements.

F.

BORROWING COSTS :
Borrowing costs attributable to the acquisition or construction of a qualifying asset are capitalised as part of the cost of
such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended use. All
other borrowing costs are recognized as an expense in the period in which they are incurred

G. PRELIMINARY EXPENSES:
Preliminary expenses are written off in the period in which it incurred.

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

2.

Share Capital
` in INR
31st

As at 31st
March,
2014

As at
March,
2015

Particulars
Authorised
50,000 Equity Shares of ` 10/- each

500,000

500,000

500,000

500,000

100,000

100,000

100,000

100,000

(Previous Year 50,000 Equity Shares of ` 10/- each)

Issued, subscribed and Fully Paid up:

10,000 Equity Shares: Face value of ` 10/- each
(Previous Year 10,000 Equity Shares of ` 10/- each)
TOTAL
a.

Reconciliation of Number of Shares

As at 31st March, 2015
Number
` in INR
of shares

Particulars

As at 31st March, 2014

Number
` in INR
of shares

Issued, Subscribed and Fully Paid up:

Equity Shares: Face value of ` 10/- each
10,000
10,000

Outstanding as at the beginning of the year

Add : Issued during the year
Outstanding as at the end of the year

b.

100,000
100,000

10,000
10,000

100,000
100,000

Shareholders holding more than 5% of share capital and shares held by Holding Company / Ultimate Holding
Company
As at 31st March, 2015

Name of the Shareholder

Equity Shares
Jet Airways (India) Limited (Holding Company) and its
nominee

Number
of shares

10,000

Percentage
of holding

100.00%

As at 31st March, 2014

Number of
shares
10,000

Percentage
of holding
100.00%

Terms and Rights attached to Equity Shares

The Company has equity shares having a par value of ` 10/-. Each holder of equity shares is entitled to one vote per share.
The Company declares and pays dividends if any, in Indian rupees. The dividend proposed, if any, by the Board of Directors is
subject to the approval of the shareholders in the ensuing Annual General Meeting.
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of
the company, after distribution of all preferential amount.

3.

Reserves and Surplus

Particulars
Deficit in Statement of Profit and Loss
Balance as per Last Balance Sheet
Loss for the year
Deficit at the end of the year

As at 31st
March, 2015

` in INR
As at 31st
March, 2014

(206,837)
(99,574)
(306,411)

(113,680)
(93,157)
(206,837)

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

4.

Long Term Borrowings

As at 31st
March, 2015
500,000
500,000

Particulars
Loans from Related Parties

` in INR
As at 31st
March, 2014
-

Salient Terms
Loan of ` 500,000 (Previous Year ` Nil) is an interest rate bearing loan taken from the Holding Company to support its operations
and is repayable in March, 2020. Interest is charge by holding company @10% p.a.

5.

Trade Payables
As at 31st
March, 2015

Particulars
Trade payables
Total outstanding dues to Micro, Small and Medium Enterprises
Others for Goods and Services
TOTAL

56,180
56,180

` in INR
As at 31st
March, 2014
135,179
135,179

Under the Micro, Small and Medium Enterprise Development Act, 2006, which came into force from October 2, 2006, certain
disclosures are required to be made relating to micro and small enterprise. The Company has taken necessary steps to seek
relevant information from its suppliers about the coverage under the Act. According to information available with the
management, no amounts are outstanding pertaining to covered creditors for a period more than 45 days.

6.

Other Current Liabilities

` in INR

Particulars
Interest accrued but not due
TOTAL

7.

As at 31st
March, 2015
23,151
23,151

As at 31st
March, 2014
-

As at 31st
March, 2015

` in INR
As at 31st
March, 2014

372,920

28,342

372,920

28,342

Cash and Cash Equivalents

Particulars
Balances with Banks
In Current Accounts
TOTAL

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

8. Finance Cost

Particulars
Interest Expenses

For the Year

ended 31st
March, 2015
23,151

` in INR
For the Year
ended 31st
March, 2014
169

23,151

169

For the Year

ended 31st
March, 2015
56,180
6,067

` in INR
For the Year
ended 31st
March, 2014
56,180
33,708

14,176

3,100

76,423

92,988

TOTAL

9.

Other Expenses

Particulars
Auditors Remuneration- Audit Fee
Professional Fees
Filing Fees
TOTAL

10. Earnings Per Share (EPS)

The earnings per equity share, computed as per the requirements of Accounting Standard20 Earnings Per Share issued
by the Institute of Chartered Accountants of India, is as under:
For the Year
ended 31st
March, 2015

Particulars

Loss after tax

` in INR
For the Year
ended 31st
March, 2014

(99,574)

(93,157)

Amount available for Equity Share holders

(99,574)

(93,157)

Weighted Average No. of Equity Shares outstanding during the period

10,000

10,000

10

10

(9.96)

(9.32)

Nominal Value of Equity Shares (`)

Basic and Diluted EPS (`)
(A/B)

11. Related Party Transactions

As per Accounting Standard - 18 on Related Party Disclosures issued by the Institute of Chartered Accountants of India,
the disclosure of transactions with the related party as defined in the Accounting Standard are given below:
i.

List of Related Parties with whom transactions have taken place and Relationships
Sr. No.
1.

ii.

Name of the related party

. Jet Airways (India) Limited

Nature of relationship
Holding Company

List of Related Parties with whom no transactions have taken place and Relationships
Sr. No.
Name of the related party
Nature of relationship
1. . Naresh Goyal
Controlling Shareholders of Holding Company
2.
Tail Winds Limited (Upto 30th May, 2013)
Ultimate Holding Company
3.

Jet Lite India Limited

4.
Jet Privilege Private Limited
5.

Etihad Airways PJSC (w.e.f.20th November, 2013)

Fellow Subsidiary
Fellow subsidiary upto 23rd March, 2014
Effective 24th March, 2014, enterprise over
which Holding Company having significant
Influence
Enterprise which exercises Significant Influence

JET AIRWAYS TRAINING ACADEMY PRIVATE LIMITED

iii. Transactions during the year ended 31st March, 2014 and balances with related parties
Holding company
` in INR
Jet Airways (India) Limited
Transactions during the year :
Loan Received
Interest Expense
Closing Balance
Interest accrued but not due
Loan

2014-15

2013-14

500,000
23,151

23,151
500,000

12. Segment Reporting: The Company operates in single business segment of providing training and educational services in
various fields. It also operates in a single geographical segment viz. India since all its customers and assets are located in
India.

13. As a matter of prudence, deferred tax asset on account of preliminary expenses has not been recognized.
14. The Company to get financial support from the holding company and has also been assured of such assistance in future. In
view of the fact that the holding company has also incurred losses and its net-worth is fully eroded as at the end of the year,
the going concern assumption for the Company is dependent on the ability of the holding company to raise adequate funds.
As the management of the holding company is hopeful of being able to raise necessary funds, the Company has prepared
its accounts on going concern basis despite of erosion in its net-worth due to losses suffered.

15. Previous Years Figures

Previous years figures have been regrouped / reclassified wherever necessary to correspond with the current years
classification / presentation.

As per our attached report of even date

For CHATURVEDI & SHAH

On behalf of Board of Directors

Chartered Accountants

Sd/Parag D. Mehta
Partner

Sd/-

Sd/-

Gaurang Shetty
Director

Belson Coutinho
Director

Date : 28th May, 2015

Place: Mumbai