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Auditor Report of ABC Gas (International) Ltd.

Mar 31, 2015

We have audited the accompanying financial statements of ABC GAS INTERNATIONAL) LTD ("the Company"), previously known as Brassco Extrusions Ltd, which comprise the Balance Sheet as at 31st March 2015, the statement of Profit and Loss and the Cash Flow Statement for the year then ended, and a summary of 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 and presentation of the 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 the 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 financial statements.

Opinion

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by theAct 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 31 March 2015 and its profit and its cash flows for the year ended on that date.

Emphasis of Matter:

We would like to draw the attention on the Company's policy of providing for gratuity and other long term employee benefits on the payment basis and not on the actuarial valuation as per AS 15. The same has been stated in Notes NO. 24.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor's Report) 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 paragraph 3 and 4 of the Order, to the extent applicable.

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 purposes 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) 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; and

(f) 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) the Company does not have any pending litigations and therefore no impact or disclosure in relation to the same has been made in the financial statement;

(ii) the Company does not see any foreseeable losses on long-term contracts as on the balance sheet date and the Company has not entered into any derivative contracts, therefore no provision has been made in relation to the same;

(iii) the Company has not declared any dividend in the current year and there was no unclaimed dividend outstanding as on 31.03.2015 of any previous years hence therefore transferring of the amounts in the Investor Education and Protection Fund by the Company does not arise, however company having Rs.9500/- refund of shares application money since long back.

Annexure to the Independent Auditors' Report

The Annexure referred to in our Independent Auditors' Report to the members of the Company on the financial statements for the year ended 31 March 2015, we report that:

(i) (a) The Company has maintained proper records showing full particulars, including quantitative details and situation of fixed assets.

(b) The Company has a programme of physical verification of its fixed assets by which fixed assets are verified. In accordance with this programme, fixed assets were verified during the year and no material discrepancies were noticed on such verification. In our opinion, the periodicity of physical verification is reasonable having regard to the size of the Company and the nature of its assets.

(ii) In respect of the inventories :

a) As per the information furnished, the inventories have been physically verified during the year by the management. In our opinion, having regard to the nature and location of stocks, the frequency of the physical verification is reasonable.

b) In our opinion and according to the information and explanations given to us, procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and nature of its business.

c) The company has maintained proper records of inventory. In our opinion, discrepancies noticed on physical verification of stocks were not material in relation to the operations of the Company and the same have been properly dealt with in the books of account.

(iii) In respect of loans granted, secured or unsecured, to the companies, firms or other parties covered in the Register maintained under section 301 of the Companies Act, 1956 during the year, we report, as per the information and explanations provided to us, that the Company has not granted any loans, to the referred party & hence other sub clauses are not applicable for the year under review

(iv) In our opinion and according to the information and explanations given to us, there is an 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 service. We have not observed any continuing major weakness in the internal control system during the course of the audit.

(v) The Company has not accepted any deposits from the public and thus, paragraph 3(v) of the Order is not applicable.

(vi) The Central Government has prescribed maintenance of the cost records under section 148(1) of the Companies Act, 2013 in respect of manufacturing/ extrusion activity of the company. We have broadly reviewed the books of accounts and record maintained by the company in this connection and are of the opinion that, prima facie, the prescribed accounts and records have been made and maintained. We have however not made a detail examination of the records with a view to determining whether they are accurate or complete.

(vii) a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues such as provident fund, income tax, and others as applicable, have been regularly deposited during the year by the Company with the appropriate authorities.

b) According to the records of the Company, and information and explanations given to us there are no dues of Income tax / Sales Tax/ Wealth Tax/ Service Tax/ Custom Duty/ Excise Duty/ Cess which has not been deposited on account of disputes.

c) According to the audit carried by us and the information and explanations given to us, the Company has not declared any dividend in the current year and there was no unclaimed dividend outstanding as on 31.03.2015 of any previous years hence therefore transferring of the amounts in the Investor Education and Protection Fund by the Company does not arise, however company having Rs.9500/- refund of shares application money since long back.

(viii) The Company does not have any accumulated losses at the end of the financial year and has not incurred any cash losses in the current financial year and in the immediately preceding financial year.

(ix) As per the information and explanations given to us and based on our audit, the Company has not defaulted in repayment of dues to financial institution or bank.

(x) 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.

(xi) To the best of our knowledge and belief and according to the information and explanations given to us, in our opinion, term loans availed by the Company were, prima facie, applied by the Company during the year for the purposes for which the loans were obtained.

(xii) 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 Bhuwania & Agrawal Associates Chartered Accountants Registration No.101483W

(Abhishek Jain) Partner Membership No.509839

Place: Mumbai

Date: 30.05.2015






Mar 31, 2012

1. We have audited the attached Balance Sheet of ABC Gas (International) Ltd ("the Company'), previously known as Brassco Extrusions Ltd, as at 31 st March 2012, and the related Profit and Loss Account and Cash Row Statement of the Company for the year ended on that date annexed thereto, which we have signed under reference to this report. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit.

2. We conducted our audit in accordance with auditing standards generally accepted in 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 presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion.

3. As required by the Companies (Auditor's Report) Order, 2003 (CARO), and as amended by the Companies (Auditors Report) (Amendment) Order, 2004 (together the "Order"), issued by the Central Government of India in terms of sub section (4A) of section 227 of the Companies Act, 1956, we give in the Annexure hereto a statement on the matters specified in paragraphs 4 & 5 of the said Order.

4. Further to our comments in the Annexure referred to in paragraph 3 above, we report that:

a) we have obtained ail 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 accounts 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 Profit and Loss Account and the Cash Flow Statement dealt with by this report are in agreement with the books of account;

d) in our opinion, the attached Balance Sheet, Profit and Loss Account dealt with by this report are in compliance with the Accounting Standards referred to in Section 211 (3C) of the Companies Act, 1956 to the extent applicable except non provision of long term defined employee benefits as referred in point no. 23 of notes on account.

e) On the basis of written representations received from the directors, as on 31st March 2012 and taken on record by Board of Directors, none of the Directors are disqualified as on 31st March 2012 from being appointed as Directors in term of clause (g) of sub-section (1) of Section 274 of the Companies Act, 1956.

f) In our opinion and to the best of our information and according to the explanation given to us, the said accounts give the information required by the Companies Act, 1956 in the manner so required and give a true & fair view in conformity with the accounting principle generally accepted in India:

j. in the case of Balance Sheet of the state of affairs of the Company as at 31 st March 2012;

ii. in the case of the Profit and Loss Account of the Profits for the year ended on that date and

iii. in the case of the Cash Flow Statement, of the cash flows of the Company for the year ended on that date.

ANNEXURE TO THE AUDITOR'S REPORT

(Referred to in paragraph 3 of our report of even date to the members of ABC Gas (International) Ltd on the accounts for the year ended 31 st March, 2012)

i. In respect of the Fixed Assets,

a) The company has maintained proper records showing fuH particulars, including quantitative details and situations of fixed assets.

b) As per the information and explanations given to us, physical verification of fixed assets has been carried out by the Company and no material discrepancies were noticed on such verification. In our opinion, the frequency of verification is

4 reasonable, having regard to the size ofthe Company and nature of its business.

c) No substantial part of fixed assets has been disposed off during the year under review, which could affect the going concern status of the company.

ii. In respect of the inventories:

a) As per the information furnished, the inventories have been physically verified during the year by the management. In our opinion, having regard to the nature and location of stocks, the frequency of the physical verification is reasonable.

b) In our opinion and according to the information and explanations given to us, procedures of physical verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and nature of its business.

c) The company has maintained proper records of inventory. In our opinion, discrepancies noticed on physical verification of stocks were not material in relation to the operations of the Company and the same have been properly dealt with in the books of account.

iii. In respect of loans granted, secured or unsecured, to the companies, firms or other parties covered in the Register maintained under section 301 of the Companies Act, 1956, we report, as per the information and explanations provided to us, that the Company has granted interest free unsecured loans, details of which have been provided as under

(Amt in Rs. Lac)

No. of Accounts Amount of Loan Given Maximum Outstanding CI. Balance

2 159.76 215.21 151.78

In our opinion, and according to the information and explanations given to us, other terms and conditions of above loan given is prima facie not prejudicial to the interest of the company. In absence of any stipulated term for receipt of principal amount we are unable to comment whether the principal amount is due for receipt Similarly we are unable to comment on whether there has been any overdue amount of Rs. 1 Lac.

In respect of loans taken, secured or unsecured, from the companies, firms or other parties covered in Register maintained under Section 301 of Companies Act, 1956, we report that there are six such interest free unsecured loans taken, details of which is as under

(Amt. In Rs. Lac)

No. of Accounts Amount of Loan Taken Maximum Outstanding CI. Balance 5 43.00 46.44

In our opinion, and according to the information and explanations given to us, other terms and conditions of above loan taken is prima fade not prejudicial to the interest of the company. In absence of any stipulated term for repayment of principal amount we are unable to comment on whether the principal amount is due for repayment.

In our opinion and according to the information and explanations given to us, there is an 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 come across any continuing failure to correct major weaknesses in internal control system.

v a) Based on the audit procedures applied by us and according to the information and explanations provided by the management, we report that the transactions that need to be entered into a register in pursuance of section 301 of the Act, have been so entered.

b) In our opinion and according to the information and explanations give to us, the transactions made in pursuance of contracts or arrangements entered in the Register maintained under Section 301 and exceeding the value of five lacs rupees in respect of any party during the year, have been made at prices which are reasonable having regard to prevailing market prices at the relevant time.

vL According to the information and explanations given to us, the Company has not accepted any deposits during the year from the public, within the meaning of the provisions of Sections 58A and 58AA of the Companies Act, 1956 and rules made there under. Therefore, the provisions of clause (vi) of paragraph 4 of the said Order are not applicable to the Company.

vii. In our opinion, the Company has an internal audit system commensurate with the size of the Company and the nature of its business.

vni. The Central Government has prescribed maintenance of the cost records under section 209(1 )(d) of the Companies Act, 1956 in respect of manufacturing/ extrusion activity of the company. However there has been no manufacturing activity during the year and therefore such Order for the maintenance of books of accounts and is not applicable during the year under review.

ix. a) According to the information and explanations given to us and the records examined by us, the company has been regular in depositing with appropriate authorities undisputed statutory dues including Income Tax, Provident Fund, Sales Tax and any other statutory dues wherever applicable. According to the information and explanations given to us, no undisputed arrears of statutory dues were outstanding as at 31st March, 2012 for a period of more than six months from the date they became payable, except PF and ESIC which is not deducted and deposited during the year.

b) According to the records of the Company, and information and explanations given to us there are no dues of Income tax / Sales Tax/ Wealth Tax/ Service Tax/ Custom Duty/ Excise Duty/Cess which has not been deposited on account of disputes.

x. The Company has accumulated losses which is less than fifty per cent of its net worth. The Company has not incurred any cash losses during the financial year covered by our audit and the immediately preceding financial year.

xi. As per the information and explanations given to us and based on our audit, the Company has not defaulted in repayment of dues to financial institution or bank

xii. Based on our examination of the records and the information given to us, the Company has not granted any loans and/or advances on the basis of security by way of pledge of shares, debentures and other securities. Therefore, the provisions of clause (xii) of paragraph 4 of the said Order are not applicable to the Company.

xiii. In our opinion, the Company is not a chit fund or a nkJhi / mutual benefit fund / society. Therefore, the provisions of clause (xiii) of paragraph 4 of the said Order are not applicable to the Company.

xfv. Based on our examination of the records and the information given to us, the Company has not dealt or traded in shares, securities, debentures and other investments. Therefore, the provisions of clause (xfv) of paragraph 4 of the said Order are not applicable to the Company.

xv. 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.

xvi. The company has not taken any term loans during the year. Therefore, the provisions of clause (xvi) of paragraph 4 of the said Order are not applicable to the Company.

xvii. In our opinion and according to information and explanations made available to us, no short term funds have been utilized for long term purposes during the year.

xviii.During the year, the Company has not made any preferential allotment of shares to the parties and companies covered in the Register maintained under Section 301 of the Companies Act, 1956.

xix. The Company has not issued any debentures. Therefore, the provisions of clause (xix) of paragraph 4 of the said Order are not applicable to the Company.

xx. The Company has not raised any money by public issues during the year covered by our report Therefore, the provisions of clause (xx) of paragraph 4 of the said Order are not applicable to the Company.

xxi. Based on our audit procedures performed for the purpose of reporting the true and fair view of financial statements and as per the information and explanations given to us by the management, we report that no fraud on or by the Company has been noticed or reported during the course of our audit.

For Bhuwania & Agrawal Associates

Chartered Accountants

AbhishekJain

Registration No.101483W

Partner

Membership No. 509839

Place : Mumbai

Date : 01.09.2012


Mar 31, 2011

I) We have audited the attached Balance Sheet of M/S ABC GAS (INTERNATIONAL) LTD., as at 31st March 2011, and the Profit and Loss Account for the year ended on that date annexed thereto. These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on these financial statements based on our audit.

ii) We conduct our audit in accordance with auditing standards generally accepted in 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 presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion.

iii) As required by the Companies (Auditor's Report) Order, 2003, issued by the Central Government of India in terms of sub section (4A) of section 227 of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraphs 4 & 5 of the said order.

iv) Further to our comments in the annexure referred to above, 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 accounts as required by Law have been kept by the Company so far as appears from our examination of those books.

c. The Balance Sheet, Profit and Loss Account dealt with by this report are in agreement with the books of account.

d. In our opinion, the attached Balance Sheet, Profit and Loss Account and Cash Flow statement dealt with by this report comply with the Accounting Standards referred to in Section 211 (3C)of the Companies Act, 1956 except non-provision of Gratuity as referred in Poiht.No.4 of notes of Accounts.

e. On the basis of written representations received from the directors, and taken on record by the Board of Directors, we report that none of the directors are disqualified as on 31st March 2011 from being appointed as Directors in term of clause (g) of sub-section (1) of Section 274 of the Companies Act, 1956.

f. In our opinion and to the best of our information and according to the explanation given to us, the said accounts give the information required by the Companies Act, 1956 in the manner so required and give a true & fair view in conformity with the accounting principle generally accepted in India, subject to note No.4 .of Notes of account regarding non provision of gratuity and the exact quantum of such non provision is not ascertainable.

i. In the case of Balance Sheet of the state of affairs of the Company as at 31st March 2011;

ii. In the case of the Profit and Loss Account of the Profit for the year ended on that date.

iii. In the case of Cash Flow statement of the cash flow for the year ended on that date

ANNEXURE TO THE AUDITOR'S REPORT

Statement referred to in paragraph iii) of the Auditors Report of even date to the Members of M/S ABC GAS (INTERNATIONAL) LTD on the accounts for the year ended 31st March 2011

As required by the Companies (Auditor's Report) Order 2003, issued by the Company Law Board in terms of Section 227 (4A) of the companies Act, 1956, and on the basis of such checks as consider appropriate and as per the information and explanations given to us during the course of the. audit.

1. In respect of its fixed assets:

a) The company has maintained proper records showing full particulars, including quantitative details and situations of fixed assets.

b) As per 'he information and explanations given to us, physical verification of fixed assets has been carried out by the Company and no material discrepancies were noticed on such verification. In our opinion, the frequency of verification is reasonable, having regard to the size of the Company and nature of its business.

c) None of the fixed assets have been disposed off during the year.

2. In respect of its inventory:

i. As explain to us, the inventories were physically verified during the year by management at reasonable intervals.

ii. In our opinion and according to information and explanation given to us , the procedure of physical verification of inventories followed by management were reasonable and adequate in relation to the size of the company and the nature of business.

iii. In our opinion and according to information and explanation given to us , the company has maintained proper records of its inventory and no material discrepancies were noticed on physical verification.

3. In respect of the loans, secured or unsecured, granted by the company to companies, firms, and other parties covered in register under section 301 of the companies Act. 1956 according to information and explanation given to us

I) The Company has granted loan unsecured to the companies, firm & other parties covered in register maintained u/s.301 of the companies act, 1956,during this year under review, details are as under

No. of Account Amount Maximum Closing Of Loan. Outstanding Balance

166.77 Lacs 61.32 Lacs 61.32 Lacs

i) The rate of interest and the other terms and conditions of loan given by the company are not prima- facle prejudicial to the interest of the company.

ii) Receipts of principal amount are on regular basis.

iii) As informed to us ho amount In excess of Rs.One Lac are overdue for payment of the principal and interest.

II) The company has taken unsecured loan from companies covered in the register maintained U/s.301 of companies act, 1956, during the year under review. Details are as under:

No. of Account Amount Maximum Closing Of-Loan - Outstanding Balance

5 13.55 Lacs 40.98 Lacs 3.44 Lacs

i) The rate of interest and the other terms and conditions of loan taken are not prima-facie prejudicial to the interest of the company.

ii) The company is regular in paying the principal amount and interest as stipulated, if any.

iii) As informed to us no amount in excess of Rs.One Lac are overdue for payment of the principal and . interest.

4. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures 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. During the course of our audit, we have not come across with the continuing major weakness in the internal control procedure.

5. i) Based on the audit procedures applied by us and according to the information and explanations provided

by the management, we are of the opinion that the transactions that need to be entered into the Register maintained under Section 301 have been so entered.

ii) In our opinion and according to the information and explanations give to us, there was no transaction made in pursuance exceeding the value of five lacs rupees in respect of any parties during the year

6. The Company has not accepted any deposits during the year from the public, within the meaning of the provisions of Sections 58A and 58AA of the Companies Act, 1956 and rules made there under. Hence, the Clause (vi) of the order is not applicable.

7. In our opinion, the Company has an internal audit system commensurate with the size of the Company and the nature of its business.

8. The Central Government has not prescribed maintenance of the cost records under section 209 (1) (d) of the Companies Act, 1956 in respect of the company's product

9. i) According to the information and explanations given to us and the records examined by us, the company

is regular in depositing with appropriate authorities undisputed statutory dues including Provident Fund, Income Tax, Sales Tax, Custom Duty, Excise Duty, Cess and any other statutory dues except provident fund and ESIC which was not deducted and deposited. According to the information and explanations given to us, no undisputed arrears of statutory dues were outstanding as at 31st March 2011 for a period of more than six months from the date they became payable .

ii) According to the records of the Company, the dues of Sales Tax / Income Tax / Custom Duty / Service Tax /Wealth Tax / Excise Duty / Cess, which has not been deposited on account of disputes and the forum where the dispute is pending, are as under Nil

10. The Company having accumulated loss of Rs 3514733/-.as on 31st March 2011. The Company has not incurred any cash losses during the financial year covered by our audit and the immediately preceding financial year.

11. There is no default in repayment of dues to financial institution or bank during the year.

12. Based on our examination of the records and the information given to us, the Company has not granted any loans and/or advances on the basis of security by way of pledge of shares, debentures and other securities.

13. Clause (xiii) of the Order is not applicable to the company as the Company is not a chit fund Company or nidhi / mutual benefit fund / societies.

14. The clause (xiv) of the order is not applicable to the Company. as the company is not dealing in shares, securities, debentures and other investment during the year under review.

15. According to the information and explanations given to us, the Company has given corporate guarantee for loans taken by others from banks or financial institution.

16. According to the information and explanations given to us, the company has not been raised any term loan during the year

17. In our opinion and according to information and explanations, no short-term fund has been used for long-term investment.

18. The Company has not made any preferential allotment of shares during the year.

19. During the year covered by our audit report, the Company has not issued secured debentures.

20. The Company has hot raised any money by public issues during the year covered by our report

21. As per the information and explanations given to us, no fraud on or by the Company has been noticed or reported during the year.

For Bhuwanla & Agrawal Associates

(Chartered Accountants) (Regn.No.101483W)

(Partner)

(Nlranjankumar Agrawal)

M.NO. 34659

Place.- Mumbai

Date- 22(10/2011


Mar 31, 2010

A. We have audited the attached Balance sheet of M/S ABC Gas {International) Ltd. (Previously known as Brassco Extrusions Ltd.) as at 31st March 2010 and also the Profit and Loss Account for and the Cash Flow statement for the year ended on that date annexed thereto. These financial statements are the responsibility of the Companys management. Our responsibility is to express an opinion on these financial statements based on our audit.

B. We conducted our audit in accordance with the auditing standards generally accepted in India. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatements. 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 presentation of the financial state- ment. We believe that our audit provides a reasonable basis for our opinion.

C. As required by the Companies (Auditors Report) Order, 2003, as amended by the Companies (Auditors Report Amendment) Order 2004 issued by he Central Government of India in terms of Sub Section (4A) of section 227 of the Companies Act, 1956, we enclose in the Annexure a statement on the matters specified in paragraph 4 & 5 of the said order.

D. Further to our comments in the annexure referred to above, we report that:

i) We have obtained all the information and explanation, which to the best of our knowledge and belief were necessary for the purpose of our audit.

ii) In our opinion, proper Books of Accounts as required by law have been kept by the Company, so far as appears from our examination of the books.

iii) The Balance Sheet, the Profit & Loss Account and Cash flow Statement dealt with by this report are in agreement with Books of Account.

iv) In our opinion the attached Balance Sheet, Profit & Loss Account and Cash Flow statement dealt with by this report comply with the Accounting Standards referred to in Sub-Section (3C) of section 211 of the Companies Act, 1956 to the extent applicable except non provision of gratuity as refer in point no.4 of notes on account.

v) On the basis of written representations received from the Directors, and taken on record by the Board of Directors, we report that none of the directors are disqualified as on March 31st 2010 from being appointed as Directors in term of Clause (g) of Sub-Section (1) of Section 274 of the Companies Act, 1956.

E. In our opinion and to the best of our information and according to the explanation given to us, the said accounts read with the notes in schedule 12 regarding non provision of gratuity, exact amount are not acertainable and other notes, give the information required by the Companies Act, 1956 (as amended) in the manner so required and give a free and fair view in conformity with the accounting principles generally accepted in India.

i) In case of Balance Sheet of the state of affairs of the Company as at 31st March 2010

ii) In the case of Profit & Loss Account of the PROFIT for the year ended on that date and.

iii) In the case of Cash flow statement of the Cash Flow for the year ended on that date.

ANNEXURE TO THE AUDITORS REPORT

Statement referred to in paragraph (C) of the Auditors Report of even date to the Members of M/S ABC Gas (International) Ltd. (Previously known as Brassco Extrusions Ltd.) on the accounts for the year ended 31st March 2010. As required by the Companies (Auditors Report) Order 2003, issued by the Company Law Board in terms of Section 227 (4A) of the companies Act, 1956, and on the basis of such checks as consider appropriate and as per the information and explanation given to us during the course of the audit.

1. i) As inform to us, the company has maintained proper records showing full particulars, including quantitative details and Situation of fixed assets.

ii) As per the information and explanations given to us, physical verifications of fixed assets have been carried out by the Company and no material discrepancies were noticed on such verification. In our opinion, the frequency of verification is reasonable and adequate in relation to the size of the Company and nature of its business.

iii) As informed to us Fixed Assets disposed during the year having no substantial effect on business going concept of the company.

2. i) As per the information furnished, the inventories have been physically verified during the year by the management. In our opinion, having regard to the nature and location of stocks, the frequency of the Physical verification is reasonable.

ii) In our opinion and according to the information and explanations given to us, procedures of physical Verification of inventory followed by the management are reasonable and adequate in relation to the size of the company and nature of its business.

iii) The company is maintaining proper records of inventory. In our opinion discrepancies noticed on physical Verification of stocks were not material in relation to the operation of the Company and the same have been properly dealt with in the books of account.

3. i) The company has not granted any loan secured or unsecured to the companies or other parties covered in the register maintained under Section 301 of the Companies Act during the year. Hence other sub clauses of the section are not applicable for the year under review.

ii) The Company has taken interest free Unsecured loans from the companies & other parties covered under section 301 of the companys Act during the year under review. Details are as follow:-

(Rs. in Lacs)

No. of account Amount of loan taken Maximum outstanding Closing balance

4 43.03 40.38 33.53

iii) Other term & condition of the loan taken by the company is not prima facie prejudicial to the interest of the company.

iv) The company is paying principal regularly for the loan taken as stipulated if any

v) There is no overdue amount of Rs.1 Lac outstanding more than one year as stipulated if any.

4. In our opinion and according to the information and explanations given to us, there are adequate internal control procedures 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. During the course of our audit, no major continuing weakness has been noticed in the internal controls system;.

5. i) Based on the audit procedures applied by us and according to the information and explanations provided by the management, we are of the opinion that the transactions that need to be entered into the Register maintained under Section 301 have been so entered.

ii) In our opinion and according to the information and explanations given to us, the transactions made in pursuance of contracts or arrangements entered in the Register maintained under Section 301 and exceeding the value of five lacs rupees in respect of any party during the year have been made at prices wnich are reasonable having regard to prevailing market prices at the relevant time.

6. The company has not accepted any deposits during the year from the public, within the meaning of the provisions of Section 58 A and 58 AA of the companies Act, 1956 and rules made there under. Hence, the clause (vi) of the order is not applicable.

7. In our opinion, the company has an internal audit system commensurate with the size of the Company and the nature of its business.

8. We have been informed that maintenance of cost value records has not been prescribed by the Central Government under Section 209 (1) (d) of the Companies Act, 1956 in respect of the Companys Product.

9. i) According to the information and explanations given to us and the records examined by us, the company is regular in depositing with appropriate authorities undisputed statutory dues including, Income tax, Sales Tax, Custom Duty, Excise Duty, cess and any other statutory dues applicable except provident fund and ESIC which was not deducted and deposited. According to the information and explanations given to us, there is no undisputed arrears of statutory dues were outstanding as at 31st March 2010 for a period of more than six months from the date they became payable.

ii) According to the records of the Company, the dues of sales tax/ income tax/ custom duty/ wealth tax/ excise duty/ cess have not been deposited on account of disputes and the forum where dispute is pending are NIL

10. The Company having accumulated loss of Rs.49.77 Lacs as on 31st March 2010. The company has not incurred any cash losses during the financial year covered by our audit and immediately preceding financial year.

11. There is no default in repayment of dues to a financial institution or bank during the year.

12. Based on our examination of the records and the information given to us, the Company has not granted any loans and/or advances on the basis of security by way of pledge of shares, debentures and other securities.

13. Clause (xiii) of the Order in not applicable to the company as the company is not a chit fund company or nidhi / mutual benefit fund / societies.

14. The clause (xiv) of the order is not applicable to the company, as the company is not dealing in shares, securities, debenture and othejr investment during the year under review.

15. According to the information and explanations given to us, the Company has been not given any Guarantee for loans taken by others from banks of financial institution.

16. According to the information and explanations given to us, the company has not raised term loan during the Year.

17. In our opinion and according to information and explanations, no short-term fund has been used for long-term investment.

18. The company has not made any preferential allotment of shares during the year.

19. During the year covered by our audit report, the company has not issued secured debentures.

20. The Company has not raised any money by public issues during the year covered by our report.

21. As per the information and explanations given to us, no frauds or by the Company has been noticed or reported during the year.

For Bhuwanla & Agrawal Associates

Chartered Accountant

Firm registration no. 101483W

N. K. AGRAWAL

PARTNER

M.NO. 34659

Place - Mumbai Date - 01/09/2010

 
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