Mar 31, 2015
Report on the Financial Statements
We have audited the accompanying financial statements of AMRAPALI
INDUSTRIES LTD., which comprise the Balance Sheet as at March 31,2015,
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 with respect to the
preparation of these financial statements that give a true and fair
view of the financial position, financial performance and cash flows of
the Company in accordance with the accounting principles generally
accepted in India, including the Accounting Standards specified under
Section 133 of the Act, read with Rule 7 of the Companies(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 operation
effectively for ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the
financial statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial
statements based on our audit.
We have taken into account the provisions of the Act, the accounting
and auditing standards and matters which are required to be included in
the audit report under the provisions of the Act and the Rules made
there under.
We conducted our audit in accordance with the Standards on Auditing
specified under Section 143(10) of the Act. Those Standards require
that we comply with 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 control 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.
Basis for Qualified Opinion
A search was conducted by the competent authority u/s 132 of the Income
Tax Act, 1961 in the premises of the Company as on 26.10.2012 pursuant
to which the Company made disclosure of additional income to the tune
of Rs. 11,58,98,063/- for a block period of 01.04.2006 to 31.03.2014 in
order to purchase peace of mind and avoid unwanted litigations. The
Company preferred an application before the Settlement Commission which
stood admitted. Pursuant to which, the Company has paid sum of Rs.
6,81,25,000/- on the additional income so offered and final order from
the Commission is awaited. In light of facts as informed by the Company
and for want of adequate evidences clearly indicating exact nature of
undisclosed income, impact of the disclosure on the assertions made in
the financial statements as well as internal financial control system
cannot be quantified and thus the opinion is qualified to that extent
in this report.
Qualified Opinion
In our opinion and to the best of our information and according to the
explanations given to us, except for the effects of the matter
described in the Basis for Qualified Opinion paragraph above, the
aforesaid 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 March 31,2015 and its profit and
its cash flows for the year ended on that date.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2015 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 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 on31stMarch, 2015taken on record by the Board of
Directors, none of the directors is disqualified as on 31stMarch, 2015
from being appointed as a director in terms of Section 164 (2) of the
Act.
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 ofour information and
according to the explanations given to us:
i. The Company has disclosed the impact of pending litigations on its
financial position in its financial statement.
ii. The Company did not have any long-term contracts including
derivative contracts for which there were any material foreseeable
losses; hence the company need not make any provision.
iii. There were no amounts which were required to be transferred to the
Investor Education and Protection Fund by the Company.
Annexure to the Independent Auditor's Report
The Annexure referred to in our Independent Auditors' Report to the
members of the company on the standalone financial statements for the
year ended March 31, 2015, we report that:
i. In respect of its Fixed Assets:
a) The Company is maintaining proper records showing full particulars,
including quantitative details and situation of fixed assets.
b) All the assets have been physically verified by the management
during the period as per the regular programme of verification which,
in our opinion, is reasonable having regard to the size of the Company
and the nature of its assets. No material discrepancies were noticed on
such verification.
ii. In respect of its inventories:
a) The management has conducted physical verification of inventory
atreasonable intervals.
b) The procedures of physical verification of inventory followed by the
management are reasonable and adequate in relation to the size of the
Company and the nature of its business.
c) The Company is maintaining proper records of inventory and no
material discrepancies were noticed on physical verification by the
management.
iii. In respect of loans, secured or unsecured, granted by the Company
to companies, firms or other parties covered in the register maintained
under Section 189 of the Companies Act, 2013:
a) The company has not granted any secured or unsecured loan to the
companies, firms or other parties covered in the register maintained
u/s. 189 of the Act. Accordingly, relevant paragraph of the said Order
is not applicable to the company.
iv. The company has not accepted any deposit from public.
v. We are informed that the Central Government has not prescribed
maintenance of cost records under section 148(1) of the Companies Act
for any products of the company.
vi. In respect of statutory dues:
a) According to the records of the Company, the Company is regular in
depositing undisputed statutory dues including Provident Fund,
Employees' State Insurance, Income-tax, Sales-tax, Wealth Tax,Service
tax, duty of Custom Duty, Duty of Excise, Value added tax, Cess and
other statutory dues with the appropriate authorities.
b) According to the information and explanation given to us, there are
no outstanding disputed dues of Income Tax, Sales Tax, Wealth Tax,
Service Tax, duty of Custom, duty of Excise, value added tax or Cess.
c) According to the information and explanations given to us there is
no amount which are required to be transferred to the investor
education and Protection fund in accordance with the relevant
provisions of the Companies Act, 1956 (1 of 1956) and rules there
under.
vii. The company does not have accumulated losses at the end of the
financial year and has not incurred cash losses in the financial year
and in the immediately preceding financial year.
viii. In our opinion and according to the information and explanations
given to us, the company has not defaulted in the repayment of dues to
banks.
ix. According to the information and explanations given to us, the
Company has not given any guarantee for loans taken by others from bank
or financial institutions.
x. The company has not taken any term loan during the year. Accordingly
paragraph 4(xi) of the order is not applicable to the company.
xi. 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, Mehul Thakker & Co.
Chartered Accountants,
Firm Reg.No. 118993W
Place: Ahmedabad S. P. Thakker
Date: 30-05-2015 Partner
Membership No. 032233
Mar 31, 2014
1. We have audited the attached Balance Sheet of M/S. AMRAPALI
INDUSTRIES LIMITED, AHMEDABAD, as at 31st March, 2014 and also the
profit and loss account for the year ended on that date annexed
thereto. These financial statements are responsibility of the company''s
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. Further 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
books;
(c) the balance sheet and the profit and loss Account referred to in
this report are in agreement with the books of accounts ;
(e) in our opinion and to the best of our information and according to
the explanations given to us, the said balance sheet and profit and
loss account read together with the notes thereon, give a true and fair
view :
(i) in the case of Balance Sheet, of the state of the affairs of the
company as on 31st March,2014 and
(ii) in the case of Profit and Loss Account, of the Profit for the year
ended on that date.
For, ANAM & ASSOCIATES
CHARTERED ACCOUNTANTS
PLACE: BARODA
DATE: 25/05/2014 (A. A. Bhada)
Mar 31, 2013
To The Members of AMRAPALI INDUSTRIES LIMITED AHMEDABAD
1. We have audited the attached Balance Sheet of M/S. AMRAPALI
INDUSTRIES LIMITED, AHMEDABAD, as at 31st March, 2013 and also the
profit and loss account for the year ended on that date annexed
thereto. These financial statements are 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 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 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 of
our opinion.
3. As required by the Companies (Auditor''s Report) Order, 2003
issued by the Central Government in terms of section 227(4A) of the
Companies Act, 1956, we enclose in Annexure - A a statement on the
matter specified in paragraph 4 & 5 of the said order.
4. 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
books ;
(c) the balance sheet and the profit and loss Account referred to in
this report are in agreement with the books of accounts ;
(d) in our opinion, the profit and loss account and balance sheet
comply with the accounting standards referred in section 211(3C) of the
Companies Act. 1956.
(e) on the basis of written representations received from the directors
of the company as at 31st March 2013 and taken on record by the board
of directors, we report that no director is disqualified from being
appointed as director of the company under clause (g) of sub-section
(1) of the section 274 of the Companies Act, 1956.
(f) in our opinion and to the best of our information and according to
the explanations given to us. the said balance sheet and profit and
loss account read together with the notes thereon, give the information
required under the Companies Act, 1956 in the manner so required and
give a true and fair view :
(i) in the case of Balance Sheet, of the state of the affairs of the
company as on 31st March,2013 and
(ii) in the case of Profit and Loss Account, of the Profit for the year
ended on that date. protection fund, employees'' state insurance,
income tax. sales tax, wealth tax, custom tax, excise duty, cess and
other material statutory dues applicable to it.
(b) According to the information and explanations given to us, there
are no dues of, wealth tax. sales tax, custom duty, excise duty and
cess which have not been deposited on account any dispute.
(x) The Company has no accumulated losses as at March 31.2013 and it
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
(xi) In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to a
financial institution or banks.
(xii)The company has not granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
(xiii) In our opinion, the company is not a chit fund or a nidhi mutual
benefit fund/ society. Therefore, the provisions of clause 4(xiii) of
the Companies (Auditor''s Report) Order, 2003 arc not applicable to the
company.
(xiv) In our opinion, the company has maintained proper records of the
transactions and contracts and made timely entries therein. As per the
records of the company, the shares, securities, debentures and other
securities have been held in its own name.
(xv) According to the information and explanations given to us, the
company had not given guarantees for loans taken by others from banks
or financial institutions.
(xvi) According to the information and explanations given to us, term
loans are applied for the purpose for the purpose for which the loans
were obtained.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the eompany, wc report
that the no funds raised, if any, on short-term basis have been used
for long-term investment.
(xviii) The company has not made preferential allotment of shares to
parties and companies covered in the register maintained under section
301 of the Companies Act, 1956
(xix) No debentures have been issued by the Company and hence the
question of creating securities in respect thereof does not arise.
(xx) During the year, the company has not raised money by public issue
and hence question of disclosure and verification of end use of such
monies does not arise.
(xxi) According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of our audit.
For, MEHUL THAKKER & CO.
CHARTERED ACCOUNTANTS
PLACE : AHMEDABAD
DATE : 23/05/2013 (S.P.THAKKER)
PARTNER
Mar 31, 2012
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF THE AUDITOR''S REPORT
(i) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
Assets.
(b) All the assets have been physically verified by the management
during the year and no material discrepancies were noticed on such
verification.
(c) The company has not disposed of a substantial part of fixed assets
during the previous year.
(ii) (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
company and the nature of its business.
(c) The company is maintaining proper records of inventory. No material
discrepancies were noticed on physical verification.
(iii)
(a) According to the information and explanations given to us, the
Company has not granted any loans, secured or unsecured, to companies,
firms and other parties covered in the register maintained under
section 301 of companies Act,1956. Accordingly, paragraphs
4(iii)(b),(c) and (d) of the Order are not applicable.
(b) According to the information and explanations given to us, the
Company has not taken any loans, secured or unsecured from companies,
firms and other parties covered in the register maintained under
section 301 of companies Act,1956. Accordingly, paragraphs 4(iii)(f)
and (g) of the Order are not applicable.
(iv) 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 purchases of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
(v) According to the information and explanation given to us, the
company has not indulged into the transactions which need to be entered
into the register maintained under section 301 of the Companies Act,
1956 have been so entered.
(vi) The company has not accepted any deposits from the public.
(vii) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
(viii) In our opinion, the company is not required to maintain cost
records as per the provisions of section 209(1) (d). Accordingly, the
provisions of clause 4(vii) of the Companies (Auditor''s Report) Order,
2003 are not applicable to the company.
(ix) (a) According to the records of the company, the Company is
regular in depositing with appropriate authorities undisputed statutory
dues including provident fund, investor education protection fund,
employees'' state insurance, income tax, sales tax, wealth tax, custom
tax, excise duty, cess and other material statutory dues applicable to
it.
(b) According to the information and explanations given to us, there
are no dues of, wealth tax, sales tax, custom duty, excise duty and
cess which have not been deposited on account any dispute.
(x) The Company has no accumulated losses as at March 31,2012 and it
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
(xi) In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to a
financial institution or banks.
(xii)The company has not granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
(xiii) In our opinion, the company is not a chit fund or a nidhi mutual
benefit fund/ society. Therefore, the provisions of clause 4(xiii) of
the Companies (Auditor''s Report) Order, 2003 are not applicable to the
company.
(xiv) In our opinion, the company has maintained proper records of the
transactions and contracts and made timely entries therein. As per the
records of the company, the shares, securities, debentures and other
securities have been held in its own name.
(xv) According to the information and explanations given to us, the
company had not given guarantees for loans taken by others from banks
or financial institutions.
(xvi) According to the information and explanations given to us, term
loans are applied for the purpose for the purpose for which the loans
were obtained.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the company, we report
that the no funds raised, if any, on short-term basis have been used
for long-term investment.
(xviii) The company has not made preferential allotment of shares to
parties and companies covered in the register maintained under section
301 of the Companies Act, 1956
(xix) No debentures have been issued by the Company and hence the
question of creating securities in respect thereof does not arise.
(xx) During the year, the company has not raised money by public issue
and hence question of disclosure and verification of end use of such
monies does not arise.
(xxi) According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of our audit.
For, MEHUL THAKKER & CO.
CHARTERED ACCOUNTANTS
PLACE : AHMEDABAD
DATE : 15 / 07 / 2012 (S.P.THAKKER)
PARTNER
Mar 31, 2010
1. We have audited the attached Balance Sheet of M/S. AMRAPALI
INDUSTRIES LIMITED, AHMEDABAD, as at 31st March, 2010 and also the
profit and loss account for the year ended on that date annexed
thereto. These financial statements are responsibility of the companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. 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 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 of
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 issued
by the Central Government in terms of section 227(4A) of the Companies
Act, 1956, we enclose in Annexure - A a statement on the matter
specified in paragraph 4 & 5 of the said order.
4. 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
books ;
(c) the balance sheet and the profit and loss Account referred to in
this report are in agreement with the books of accounts ;
(d) in our opinion, the profit and loss account and balance sheet
generally comply with the accounting standards referred in section
211(3C) of the Companies Act, 1956.
(e) on the basis of written representations received from the directors
of the company as at 31st March 2010 and taken on record by the board
of directors, we report that no director is disqualified from being
appointed as director of the company under clause (g) of sub- section
(1) of the section 274 of the Companies Act, 1956.
(f) in our opinion and to the best of our information and according to
the explanations given to us, the said balance sheet and profit and
loss account read together with the notes thereon, give the information
required under the Companies Act, 1956 in the manner so required and
give a true and fair view :
(i) in the case of Balance Sheet, of the state of the affairs of the
company as on 31st March,2010 and
(ii) in the case of Profit and Loss Account , of the profit for the
year ended on that date.
(iii) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF THE AUDITORS REPORT
(i) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
Assets.
(b) All the assets have been physically verified by the management
during the year and no material discrepancies were noticed on such
verification.
(c) The company has not disposed of a substantial part of fixed assets
during the previous year.
(ii) (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
company and the nature of its business.
(c) The company is maintaining proper records of inventory. No material
discrepancies were noticed on physical verification.
(iii) The Company has granted free loans, secured or unsecured, to
companies, firms or other parties covered in the register maintained
under section 301 of the Companies Act, 1956.
a. In our opinion and as per the information and explanations given to
us, the terms and conditions of the said loans are not prima facie
prejudicial to the interest of the company;
b. In our opinion, in respect of the above mentioned loans, recovery
is done as per the terms and conditions subject to which loans are
granted.
The Company has taken any loans, secured or unsecured, from companies,
firms or other parties need to be entered in the register maintained
under section 301 of Companies Act, 1956. In our opinion and as per the
information and explanations given to us, the terms and conditions of
the said loans are not prima facie prejudicial to the interest of the
company;
(iv) 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 purchases of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
(v) According to the information and explanation given to us, the
company has not indulged into the transactions which need to be entered
into the register maintained under section 301 of the Companies Act,
1956 have been so entered.
(vi) The company has not accepted any deposits from the public.
(vii) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
(viii) In our opinion, the company is not required to maintain cost
records as per the provisions of section 209(1) (d). Accordingly, the
provisions of clause 4(vii) of the Companies (Auditors Report) Order,
2003 are not applicable to the company.
(ix) (a) According to the records of the company, the Company is
regular in depositing with appropriate authorities undisputed statutory
dues including provident fund, investor education protection fund,
employees state insurance, income tax, sales tax, wealth tax, custom
tax, excise duty, cess and other material statutory dues applicable to
it.
(b) According to the information and explanations given to us, there
are no dues of, wealth tax, sales tax, custom duty, excise duty and
cess which have not been deposited on account any dispute.
(x) The Company has no accumulated losses as at March 31,2010 and it
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
(xi) In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to a
financial institution or banks.
(xii) The company has not granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
(xiii) In our opinion, the company is not a chit fund or a nidhi mutual
benefit fund/ society. Therefore, the provisions of clause 4(xiii) of
the Companies (Auditors Report) Order, 2003 are not applicable to the
company.
(xiv) In our opinion, the company has maintained proper records of the
transactions and contracts and made timely entries therein. As per the
records of the company, the shares, securities, debentures and other
securities have been held in its own name.
(xv) According to the information and explanations given to us, the
company had not given guarantees for loans taken by others from banks
or financial institutions.
(xvi) According to the information and explanations given to us, term
loans are applied for the purpose for the purpose for which the loans
were obtained.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the company, we report
that the no funds raised, if any, on short- term basis have been used
for long-term investment.
(xviii) The company has not made preferential allotment of shares to
parties and companies covered in the register maintained under section
301 of the Companies Act, 1956
(xix) No debentures have been issued by the Company and hence the
question of creating securities in respect thereof does not arise.
(xx) During the year, the company has not raised money by public issue
and hence question of disclosure and verification of end use of such
monies does not arise.
(xxi) According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of our audit.
For,MEHULTHAKKER & CO.
CHARTERED ACCOUNTANTS
PLACE: AHMEDABAD
DATE: 06/07/2010 (S.P.THAKKER)
PARTNER
Mar 31, 2009
1. We have audited the attached Balance Sheet of M/S. AMRAPALI
INDUSTRIES LIMITED, AHMEDABAD, as at 31st March, 2009 and also the
profit and loss account for the year ended on that date annexed
thereto. These financial statements are responsibility of the companys
management. Our responsibility is to express an opinion on these
financial statements based on our audit.
2. 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 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 of
our opinion.
3. As required by the Companies (Auditors Report) Order, 2003 issued
by the Central Government in terms of section 227(4A) of the Companies
Act, 1956, we enclose in Annexure - A a statement on the matter
specified in paragraph 4 & 5 of the said order.
4. 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
books ;
(c) the balance sheet and the profit and loss Account referred to in
this report are in agreement with the books of accounts ;
(d) in our opinion, the profit and loss account and balance sheet
generally comply with the accounting standards referred in section
211(3C) of the Companies Act, 1956.
(e) on the basis of written representations received from the directors
of the company as at 31st March 2009 and taken on record by the board
of directors, we report that no director is disqualified from being
appointed as director of the company under clause (g) of sub-section
(1) of the section 274 of the Companies Act, 1956.
(f) in our opinion and to the best of our information and according to
the explanations given to us, the said balance sheet and profit and
loss account read together with the notes thereon, give the information
required under the Companies Act, 1956 in the manner so required and
give a true and fair view :
(i) in the case of Balance Sheet, of the state of the affairs of the
company as on 31st March,2009 and
(ii) in the case of Profit and Loss Account , of the profit for the
year ended on that date.
(iii) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
ANNEXURE REFERRED TO IN PARAGRAPH 3 OF THE AUDITORS REPORT
(i) (a) The company has maintained proper records showing full
particulars including quantitative details and situation of fixed
Assets.
(b) All the assets have been physically verified by the management
during the year and no material discrepancies were noticed on such
verification.
(c) The company has not disposed of a substantial part of fixed assets
during the previous year.
(ii) (a) The inventory has been physically verified during the year by
the management. In our opinion, the frequency of verification is
reasonable.
(b) The procedures of physical verification of inventories followed by
the management are reasonable and adequate in relation to the size of
company and the nature of its business.
(c) The company is maintaining proper records of inventory. No material
discrepancies were noticed on physical verification.
(iii) According to the information and explanations given to us, the
Company has neither granted nor taken any loans, secured or unsecured,
to/from companies, firms or other parties covered in the register
maintained under section 301 of the Companies Act, 1956.
(iv) 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 purchases of inventory, fixed assets and with
regard to the sale of goods. During the course of our audit, we have
not observed any continuing failure to correct major weaknesses in
internal controls.
(v) According to the information and explanation given to us, the
company has not indulged into the transactions which need to be entered
into the register maintained under section 301 of the Companies Act,
1956 have been so entered.
(vi) The company has not accepted any deposits from the public.
(vii) In our opinion, the company has an internal audit system
commensurate with the size and nature of its business.
(viii) In our opinion, the company is not required to maintain cost
records as per the provisions of section 209(1) (d). Accordingly, the
provisions of clause 4(vii) of the Companies (Auditors Report) Order,
2003 are not applicable to the company.
(ix) (a) According to the records of the company, the Company is
regular in depositing with appropriate authorities undisputed statutory
dues including provident fund, investor education protection fund,
employees state insurance, income tax, sales tax, wealth tax, custom
tax, excise duty, cess and other material statutory dues applicable to
it.
(b) According to the information and explanations given to us, there
are no dues of, wealth tax, sales tax, custom duty, excise duty and
cess which have not been deposited on account any dispute.
(x) The Company has no accumulated losses as at March 31,2009 and it
has not incurred any cash losses in the financial year ended on that
date or in the immediately preceding financial year.
(xi) In our opinion and according to the information and explanations
given to us, the company has not defaulted in repayment of dues to a
financial institution or banks.
(xii) The company has not granted loans and advances on the basis of
security by way of pledge of shares, debentures and other securities.
(xiii) In our opinion, the company is not a chit fund or a nidhi mutual
benefit fund/ society. Therefore, the provisions of clause 4(xiii) of
the Companies (Auditors Report) Order, 2003 are not applicable to the
company.
(xiv) In our opinion, the company has maintained proper records of the
transactions and contracts and made timely entries therein. As per the
records of the company, the shares, securities, debentures and other
securities have been held in its own name.
(xv) According to the information and explanations given to us, the
company had not given guarantees for loans taken by others from banks
or financial institutions.
(xvi) According to the information and explanations given to us, term
loans are applied for the purpose for the purpose for which the loans
were obtained.
(xvii) According to the information and explanations given to us and on
an overall examination of the balance sheet of the company, we report
that the no funds raised, if any, on short-term basis have been used
for long-term investment.
(xviii) The company has not made preferential allotment of shares to
parties and companies covered in the register maintained under section
301 of the Companies Act, 1956
(xix) No debentures have been issued by the Company and hence the
question of creating securities in respect thereof does not arise.
(xx) During the year, the company has not raised money by public issue
and hence question of disclosure and verification of end use of such
monies does not arise.
(xxi) According to the information and explanations given to us, no
fraud on or by the company has been noticed or reported during the
course of our audit.
For, Mehul Thakker & Co.
Chartered Accountant
(S.P. Thakker)
Partner
Place : Ahmedabad
Date : 07.07.2009