AUDIT REPORT & A S S 0 C IAT E S To, CHARTERED ACCOUNTANTS The State Programme Officer, RNTCP Gulabi Bagh New Delhi Introduction We have audited the accompanying Balance Sheet as at 3 1" March 2015, Income & Expenditure Account and Receipt and Payment Account for the year ended on that date of RNTCP of Delhi Stae Health Society which includes expenditure statements of the RNTCP ProAram implemented through the Delhi State Hlealth Society. New Delhi. Our responsibility is to express an opinion on these financial statements based on our audit. Scope We conducted our audit in accordance with standards on auditing issued by the Institute of Chartered Accountants of India. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion. Opinion a. The statements of account dealing with this report does not include linds received from World Bank under RNTCP-ll (Cr. No. 4228-IN). However includes funds received from Govt. of India and Delhi State Government. b. We have obtained all the informations and explanations which to the best of our knowledge and belief were necessary for the purpose of our examination. c. In our opinion, proper books of account have been kept by the State Health Society, so far as appears from our examination of the books. d. The statements of account dealt with this report are in iigreement with the books of account. e. Financial Statements of the State is the consolidated Financial Statements of the State and District Societies. f. We draw attention to the followings: i) Fixed Assets Purchased for units are treated as expenditure and not shown as Fixed assets of the society. ii) Fixed assets purchased for state & districts during the year are treated as Revenue expenditure and charged to Income & Expenditure account but also capitalised as FIXED ASSET with equivalents credit to Capital Fund. Fixed Assets should have been directly capitalized and should have been included in itilization. ___ ___.__:__ iii) Fixed assets registers are not complete & updated at units & centers. iv) As per accounting policy of the society no depreciation is charged on fixed assets as total assets have already been charged to revenue. We suggest that fixed assets should by shown in balance sheet at their depreciated value by charging deprecation to capital fund. v) Most of the persons associated with society including persons at District and Units are contractual employees and therefore Tax Deduction at Source (TDS) should be made considering payments as salaries u/s 192 of the income Tax Act. The amount such paid is already shown as salary in the accounts. Presently the society is making TDS u/s 194-J from the persons who are paid more than Rs 20,000 p.m., which is not correct? g. In our opinion and to the best of our information and according to the explanations given to us the said consolidated accounts of the State and District Societies, gives the information in the manner so required and give a true and fair view unless otherwise stated:- 1. In the case of the balance sheet, of the State of affairs of the Society as at 31st March, 2015. 2. In the case of the Income and Expenditure Account of the excess of income over expenditure for the year ended on that date. 3. In case of Receipts and Payments Account of the receipts and payments during the year ended on that date. h. In addition with respect to FMR/SOEs, adequate supporting documentation has been maintained to support claims to the World Bank for reimbursements of expenditures incurred; i. The expenditures so claimed are eligible for financing under the Credit Agreement; and j. Procurement of goods and services has been carried out as per the Procurement manual by Central TB Division and other concerned division of the Govt. of India. FOR KPMR & ASSOCIATES CHARTERED ACCOUNTANTS FRN 002904N , & AS D EPAK JAIN FCA 090854 U) PARTNER 0~ Ne v , Place: New Delhi eVoel Date: 14.10.2015 ( Acco' ' OFFICE OF THE STATE PROGRAMME OFFICER DELI STATE RNTCP DELHI STATE HEALTH SOCIETY 2" FLOOR, DELIII GOVT. DISPENSARY BUILDING DELHI GOVT. EMPLOYEES COLONY GULABI BAGH, DELHI-1 10007 Phone: 23646049, 23646173: E-mail- stodI@rntcD.org REPRESENTATION LETTER To. M/s KPMR & Associates Chartered Accountants 211. Delhi Chamber, Delhi Gate, New Delhi -- 110001 a) The Financial Statements of Delhi State RNTCP are free of material misstatements. including omissions. b) Assets shown on the Balance Sheet exists, is owned by Delhi State RNTCP and placed at different Chest Clinics under different IDHS, Delhi is used solely for the RNTCP purpose. c) Funds have been used for the purpose for which they were provided. d) Expenditures incurred by Delhi State RNTCP3 are eligible for financing. e) There have been no irregularities involving management or employees who have a significant role in Internal Control or that could have a material effect on the Delhi State RNTCP financial statements. f) We have made available to you all books of accounts and supporting documentation relating to the Delhi State RNTCP. g) All the Financial records prepared as per NRIIM guidelines & under limit specified in State ROP 2014-15. Thanking you, . shwani K hanna) .State Programme Officer eldhi State RNTCP UTILIZATION CERTIFICATE DELHI STATE RNTCP Utilization Certificate for the period of 01-04-2014 to 31-03-2015 1. Certified that out of Rs. I 3.38.87,000/-*of Grant-in-Aid sanctioned during the period from 01-04-2014 to 31-03-2015 in favour of Delhi State RNTCP under the Ministry of Health and Family Welfare sanctions No.given hereunder, we received only Rs. 10.49,23,000/- out of the sanctioned grant and remaining is still as fund- in- transit, we also received 25% State Share of total sanctioned grant i.e. Rs. 4.46.29.000/- from NRHM and a Loan of Rs. 4,20,05,534/-from DSHM, Rs. 61,59.460.84 on account of unspent balance of the previous year and an amount of Rs. 2,09,915/- on account of miscellaneous receipts (including interest received on bank) totaling of Rs. 19,79,26,909.84, an amount of Rs. 18,83,54.059.49 has been utilized by Delhi State RNTCP (State Health Society) for the purpose of various activities approved by the Govt. of India for implementation, amount given to different IDHSs to carried out RNTCP activities as per the approved ROP through different chest clinics for which it was sanctioned and for the contingent liabilities (amount attached by ESIC) and that the balance of Rs. 95.72,850.35* remaining unutilized (before clearing the total Loan of Rs 5,85.78,979/- given by DSHM as & when required and committed Liabilities of Rs. 1,63,38,806/- still pending at District Level as well state level due to non-receiving of fund) at the end of the year will be adjusted towards the grants-in-aid payable during the year 2015-16. Sr. NO. Sanction No. and Date Amount__ 1 19015/41/2014 TB Dated : 17-06-2014 Rs. 7,78,58.000 2 L.19015/44/2014TB Dated :30-09-2014 Rs. 2,70,65,000 3 L.19015/45/2014 TB *Dated :13-03-2015 Rs. 2.13,57,000 [4 { L.19015/45/2014 TB *Dated :13-03-2015 Rs. 76,07,000 Total Rs. 13,38,87,000 * Rs. 2,89,64000/- still as Fund-in-transit (treasury route). 2. Certified that the conditions on which the grant-in-aid was sanctioned have been duly fulfilled and that I have exercised the following check to see the money was actually utilized for the purpose for which it was sanctioned. Kind of check exercised: a) Expenditure for the year 2014-15 "2 ,r.,As,hw ani.EhaApA) State Programme Officer Delhi State RNTCP C New Delhi O d AcO STATE HEALTH SOCIETY, DELHI STATE RNTCP Balance Sheet as on 31-03-2015 Amount in Rupees Previou Sch. Current Previous Yr. At Sch. Current At Liabilities Rch. Yr At Prevous3r.1A Assets Sch. Yr, At 31-03-Ref. 31 03-14 Ref. 31-03-15 Reserve & Surplus 1905527.48 Opening Balance (Surplus) 2366036.30 IX 31262310.00 Fixed Assets i-A 25527974.00 Add/Less Surplus/Deficit for 460508.82 the year 209915.00 IX 2575951.30 0.00 0.00 Unspent Grant 0.00 Loan & Advances 0.00 0.00 RCH-1 0.00 I-A 0.00 RCH-I IV-A 0.00 0.00 RCH Flexipooi 0.00 I-B 0.00 RCH Flexipoo IV-B 0.00 0.00 NRHM Additionalites 0.00 I-C 0.00 NRHM Additionalites IV-C 0OC 0.00 RI Strengthening Project 0.00 1-D 0.00 RI Strengthening Prr)ject IV-D 0.00 0.00 Pulse Polio (PPI) 0.00 I-D 0.00 Pulse Polio (PPI) IV-D 0.00 0.00 EC SIP 0.00 I-E 0.00 EC SIP IV-E 0.0C 0.00 Iodine Deficiency (NIDDCP) 0.00 I-F 0.00 Iodine Deficiency (NIDDCP) IV-F 0.0C 0.00 IDSP 0.00 I-G 0.00 IDSP IV-G 0.0C 0.00 NVBDCP 0.00 I-H 0.00 NVBDCP IV-H 0.0C 0.00 NLEP 0.00 1-I 0.00 NLEP IV-1 0.00 4905849.31 RNTCP 18942857.40 I-J 20022585.72 RNTCP IV-J 43897523.3C 0.00 NUHM 0.00 I-K 0.00 NUHM IV-K 0.0C 0.00 NPCB 0.00 I-L... 0.00 NPCB IV-L. 0.00 0.00 NMHP 0 00 I-M 0.00 NMHP IV-M 0.0C National Programme for Health Care of the Elderly National Programme for I lealth Care of 0.00 (NPHCE) 0.00 I-N 0.00 the Elderly (NPHCE) IV-N 0.0C 0.00 NPPCD 0.00 1-0 0.00 NPPCD IV-0 0.00 0.00 NTCP 0.00 I-P 0.00 RNTCP IV-P 0.0C 0.00 NOHP 0.00 1-0 0.00 NOHP IV-Q 0.0C; National Programme for Prevention & Control of National Programme for Prevention & Cancer, Diabetes, Control of Cancer, Diabetes. Cardiovascular Diseases and Cardiovascular Diseases and Stroke Stroke (NPCDCS) I-R 0.00 (NPCDCS) IV-R 0.00 NPPC I-S 0.00 NPPC IV-S 0.0( 0.00 Non-NHM Funds i-T 0.00 0.00 Non-NHM Funds IV-T 0.0t 18942857.40 4710.00 Other Current assets V 4840.00 Fixed Assets Reserves Fund 31262310.00 A/C II 25527974.00 16573445.00 Loan from DSHM 58578979.00 Closing Balances 2341425.95 Current Liabilities Ill 2341425.95 28548.89 Cash in Hand VI 4000.0{ 6130911,95 Bank Balance VI 9568850.31 Fund in Transit - VII 28964000.OC 57449066.56 Total 107967187.85 57449066.56 Total 107967187.6 Place Date - As per our report of even date attached M/s KPMR & Associates Chartered Accountants Firm RMd. No. 02504N (Dr. Ashwani Khanna) State Programme Officer -Dethi state RNTCP *bisswon Director, DSM vI New Delhi ed Acco'~ STATE HEALTH SOCIETY DELSHI STATE RNTCP Income & Expenditure For The Year Ending 31-03-2015 Amount in Rupees evious Yr. At Sch Current Previous Yr. Sch Current 31-03-14 Expenditure Ref. Yr. At At Income Ref. Yr. At 31-03-15 31-03-14 R 31-03-15 Grant Received RCH-1 I-A 0.00 0.00 RCH-1 I-A 0.00 0.00 RCH Flexipool I-B 0.00 0.00 RCH Flexipool I-B 0.00 0.00 NRHM Additionalites I-C 0.00 0.00 NRHM Additionalites I-C 0.00 0.00 RI Strengthening Project 1-0 0.00 0.00 RI Strengthening Project I-D 0.00 0.00 Pulse Polio (PPI) 1-D 0.00 0.00 Pulse Polio (PPI) I-D 0.00 0.00 EC SIP I-E 0.00 0.00 EC SIP I-E 0.00 0.00 Iodine Deficiency (NIDDCP) I-F 0.00 0.00 Iodine Deficiency tNIDDCP) I-F 0.00 0.00 IDSP I-G 0.00 0.00 IDSP 1-G 0.00 0.00 NVBDCP I-H 0.00 0.00 NVBDCP I-H 0.00 0.00 NLEP 1-1 0.00 0.00 NLEP 1-1 0.00 18647367.69 RNTCP 1-J 164478991.91 18647367.69 RNTCP I-J 16.,, 8991.91 0.00 NUHM I-K 0.00 0.00 NUHM 1l-K 0.00 0.00 NPCB I-L... 0.00 0.00 NPCB lL... 0.00 0.00 NMHP I-M 0.00 0.00 NMHP I-M 0.00 National Programme for National Programme for Health Health Care of the Elderly 0.00 Care of the Elderly (NPHCE) I-N 0.00 0.00 (NPHCE) I-N 0.00 0.00 NPPCD 1-0 0.00 0.00 NPPCD 1-0 0.00 0.00 NTCP I-P 0.00 0.00 RNTCP I-P 0.00 0.00 NOHP 1-Q 0.00 0.00 NOHP I-Q 0.00 National Programme for National Programme for Prevention & Prevention & Control of Control of Cancer. Diabetes, Cancer, Diabetes. Cardiovascular Diseases and Stroke Cardiovascular Diseases and 0.00 (NPCDCS) I-R 0.00 Stroke (NPCDCS) I-R 0.00 NPPC I-S 0.00 NPPC 1-S 0.00 Non-NHM Funds I-T 0.00 0.00 Non-NHM Funds I-T 0.00 0.00 0.00 0.00 0.00 Others (PI. specify) Interest Earned/Misc. 460508.82 Receipts Vill 209915.00 460508.62 Income Over Expenditure (Surplus) 209915.00 Expenditure Over Income 19107876.31 Total 164688906.91 19107876.51 Total 164688906.9 ice bet As per our report of even date te o M/s KPMR & Associates Chartered Accountants (Dr. Ashwani Kharma) Firm Reqd. No. 02504N state Programme Officer- Delhi state RNTCP V,& ASSO C Q New Delhi ed AccO RECEIPTS AND PAYMENTS ACCOUNT FOR THE YEAR ENDING 31st MARCH 2015 DELHI STATE RNTCP Previous year AT 31- Current Year AT 31 Previous year AT 31 Current Year AT 31- 03-2014 Receipts 03-2015 03-2014 Payments 03-2015 (Rs.) (Rs.) (Rs.) . (Rs.) Opening Balance 38.344 40 Cash 28,548.89 20000 Civil Works 507.00 705.251 08 Bank 6,130,911.95 3.061,124 00 Laboratory Material 3,297,955.00 743.59548 6,159,460,84 535,90000 Honorarium 896,350.00 5.672.986 00 IEC IPublicity 2,939,976.00 107652 00 Equipment Maintenance 270,523.00 3 1801 00 Training 762,801.00 620,43000 Vehicle Maintenance 745,078.00 1049 23.000 00 Grant-in-aid received from GO 133,887,000,00 71579500 Vehicle Hiring Charges 1,554,905.00 Other Grant/Loan from DSHM 42,006,534.00 2.343037 00 NGO/PP Support 41,347,529.00 State Contribution 44,629,000,00 77.136.00 Medical College 10,530.00 2,791.325 69 Office Operation (Miscellaneous) 3,472,138.59 3587600 Govt. or others, Delhi Govt. 79.223,996.00 Contractual services 104,951,100.00 Advance Recovered/adjusted 89,369.00 Printing 348,334.00 Research and Studies 443,962 00 Interest 206,225.00 4.646497 00 Procurement of Drugs 3,187,479.00 Procurement of Vehicles 7461 00 Procurement of Equipment 220.510 95 Fund Received From STOC Patient Support & Transportaation 49,980.00 92,441 00 Supervision & Monitoring 385,391.00 100,017.150 69 Sub Total /64,220,576.59 16 546 00 Miscellaneous receipt 3,690.00 206,87890 Advance 24,133,482.90 Grant refunded to GO Refund of EMDISD GIA to Others Closing Balance 28.54889 Cash-in-hand 4,000.00 Bank 9,568,850.35 6.130,911 95 Fund in Transit 28,964,000.00 10,63,83,490.43 Total 226,890,909.84 10,63,83,490.43 Total 226,890,909.84 As per our report of even date atached M/s KPMR & Associates ( .A owarti latna) Chartered Accountant State Programme Office , . Fi Regn. No 02504N Delhi state RNTCP. Place:Delhi D ated : / 1 I D , t o i &ASSO Mission Director. DSHM New Dehi dAcCO DELHI STATE RNTCP SCHEDULES FORMING PART OF THE ACCOUNTS Schedule: Significant Accounting Policies for the year ended 31" March, 2015 1. Basis of preparation of Financial Statements The financial statements have been prepared on the cash basis of accounting and the applicable accounting standards issued by the Institute of Chartered Accountants of India. 2. Fixed Assets Fixed assets are stated at cost of acquisition and subsequent improvements thereto including taxes. duties, freight and other incidental expenses relating to the acquisition. Capital fund, equivalent to cost of fixed assets purchased during the year, is created. 3. Depreciation Depreciation on fixed assets is no provided as assets are generated out of Grant- in-aid. However assets are disposed off/condemned as per the provisions under General Financial Rules (GFR) of State Government or GOI. 4. Recognition of Income/Expenditure i. The Grant-in-aid is reflected in the Income & Expenditure account as income to the extent of fund utilization. ii. The Grant-in-aid to the extent it remains unutilized at the end of the financial year is shown as liability in the Balance Sheet. iii. 'Other income'- interest income are accounted on cash basis. iv. The Grant-in-aid to NGOs are treated as advance at the time of release, however monitoring is done through 'Memorandum Accounts'. 5. Accounting of assets acquired under assisted program (other than GOI) The assets acquired out of funds from agencies (other than GOI) are also capitalized and equivalent amount is transferred to 'Capital Fund'. State Programme Offiocr Delhi State RNTCP New 0elhi A A