Mar 31, 2014
We have audited the accompanying financial statements of AVI PHOTOCHEM
Limited (the Company), which comprise the Balance Sheet as at March 31,
2014, the Statement of Profit and Loss and Cash Flow Statement for the
year then ended, and a summary of significant accounting policies and
other explanatory information.
MANAGEMENT''S RESPONSIBILITY FOR THE FINANCIAL STATEMENTS
The Company''s Management is responsible for 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 Standards notified under the Companies
Act, 1956 (the Act) read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013 and in accordance with the
accounting principles generally accepted in India. This responsibility
includes the design, implementation and maintenance of internal control
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.
AUDITORS'' RESPONSIBILITY
Our responsibility is to express an opinion on these financial
statements based on our audit. We conducted our audit in accordance
with the Standards on Auditing issued by the Institute of Chartered
Accountants of India. 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 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 control relevant to the Company''s preparation and
fair presentation of the financial statements in order to design audit
procedures that are appropriate in the circumstances, but not for the
purpose of expressing an opinion on the effectiveness of the Company''s
internal control. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of the accounting
estimates made by management, 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.
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 the Act in the manner so required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(a) In the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2014;
(b) In the case of the Statement of Profit and Loss, of the profit of
the Company for the year ended on that date; and
(c) In the case of the Cash Flow Statement, of the cash flows of the
Company for the year ended on that date.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1. As required by the Companies (Auditor''s Report) Order, 2003 (the
Order) issued by the Central Government of India in terms of Section
227(4A) of the Act, we give in the Annexure a statement on the matters
specified in paragraphs 4 and 5 of the Order.
2. As required by Section 227(3) of the Act, 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 account as required by law have been
kept by the Company so far as 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 Balance Sheet, the Statement of Profit and Loss,
and the Cash Flow Statement comply with Accounting Standards notified
under the Act read with the General Circular 15/2013 dated 13th
September, 2013 of the Ministry of Corporate Affairs in respect of
Section 133 of the Companies Act, 2013.
e. On the basis of the written representations received from the
directors as on March 31, 2014, taken on record by the Board of
Directors, none of the directors is disqualified as on March 31, 2014,
from being appointed as a director in terms of Section 274(1)(g) of the
Act.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of AVI PHOTOCHEM LIMITED. On the accounts of the company
for the year ended 31st March, 2014.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1. (a)As explained to us, inventories have been physically verified
during the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion and on the basis of our examination of the records,
the Company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
2. (a) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not granted any loans, secured or unsecured, to companies, firms or
other parties listed in the register maintained under Section 301 of
the Companies Act, 1956. Consequently, the provisions of clauses iii
(b), iii(c) and iii (d) of the order are not applicable to the Company.
(b) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not taken loans from companies, firms or other parties listed in the
register maintained under Section 301 of the Companies Act, 1956. Thus
sub clauses (f) & (g) are not applicable to the company.
3. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories and payment for expenses &
for sale of goods. During the course of our audit, no major instance of
continuing failure to correct any weaknesses in the internal controls
has been noticed.
4. The Company has not accepted any deposits from the public covered
under section 58A and 58AA of the Companies Act, 1956.
5. As per information & explanations given by the management, the
Company has an internal audit system commensurate with its size and the
nature of its business.
6. As per information & explanation given by the management,
maintenance of cost records has not been prescribed by the Central
Government under clause (d) of sub-section (1) of section 209 of the
Act.
7. (a) According to the records of the company, undisputed statutory
dues including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanations
given to us there were no outstanding statutory dues as on 31st of
March, 2014 for a period of more than six months from the date they
became payable.
(b) According to the information and explanations given to us, there is
no amounts payable in respect of income tax, wealth tax, service tax,
sales tax, customs duty and excise duty which have not been deposited
on account of any disputes.
8. The Company''s accumulated losses at the end of the Financial Year
are more than fifty percent of it''s net worth. The company has not
incurred cash losses in Financial year but has incurred cash losses in
preceding Financial year.
9. According to the information and explanations given to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
10. The Company is not a chit fund or a nidhi /mutual benefit
fund/society. Therefore, the provision of this clause of the Companies
(Auditor''s Report) Order, 2003 (as amended) is not applicable to the
Company.
11. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution
12. Based on our audit procedures and on the information given by the
management, we report that the company has not raised any term loans
during the year.
13. Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2014, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
14. Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares during the year.
15. The Company has no outstanding debentures during the period under
audit.
16. The Company has not raised any money by public issue during the
year.
17. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of
For S. SHAH & ASSOCIATES
Chartered Accountants
(Firm Registration No. 109771W)
Sd/-
Place :Mumbai Â
Date :30-05-2014 Propriter
Membership No.: 034446
Mar 31, 2013
We have audited the accompanying financial statements of AVI PHOTOCHEM
LIMITED (Âthe Company ), which comprise the Balance Sheet as at March
31, 2013, and the Statement of Profit and Loss and Cash Flow Statement
for the year then ended, and a summary of significant accounting
policies and other explanatory information.
Management is responsible for 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 Standards referred to in sub-section (3C) of section 211
of the Companies Act, 1956 (Âthe Act ). This responsibility includes
the design, implementation and maintenance of internal control 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. Our responsibility is to express an
opinion on these financial statements based on our audit. We conducted
our audit in accordance with the Standards on Auditing issued by the
Institute of Chartered Accountants of India. 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 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
control relevant to the Company''s preparation and fair presentation of
the financial statements in order to design audit procedures that are
appropriate in the circumstances. An audit also includes evaluating the
appropriateness of accounting policies used and the reasonableness of
the accounting estimates made by management, 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.
In our opinion and to the best of our information and according to the
explanations given to us, the 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:
a) in the case of the Balance Sheet, of the state of affairs of the
Company as at March 31, 2013;
b) in the case of the Profit and Loss Account, of the profit for the
year ended on that date; and
c) in the case of the Cash Flow Statement, of the cash flows for the
year ended on that date.
1. As required by the Companies (Auditor''s Report) Order, 2003 (Âthe
Order ) issued by the Central Government of India in terms of
sub-section (4A) of section 227 of the Act, we give in the Annexure a
statement on the matters specified in paragraphs 4 and 5 of the Order.
2. As required by section 227(3) of the Act, 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 account as required by law have been
kept by the Company so far as appears from our examination of those
books
c) the Balance Sheet, Statement of Profit and Loss, and Cash Flow
Statement dealt with by this Report are in agreement with the books of
account.
d) in our opinion, the Balance Sheet, Statement of Profit and Loss, and
Cash Flow Statement comply with the Accounting Standards referred to in
subsection (3C) of section 211 of the Companies Act, 1956;
e) on the basis of written representations received from the directors
as on March 31, 2013, and taken on record by the Board of Directors,
none of the directors is disqualified as on March 31, 2013, from being
appointed as a director in terms of clause (g) of sub-section (1) of
section 274 of the Companies Act, 1956.
f) Since the Central Government has not issued any notification as to
the rate at which the cess is to be paid under section 441A of the
Companies Act, 1956 nor has it issued any Rules under the said section,
prescribing the manner in which such cess is to be paid, no cess is due
and payable by the Company.
The Annexure referred to in paragraph 1 of the Our Report of even date
to the members of AVI PHOTOCHEM LIMITED. On the accounts of the company
for the year ended 31st March, 2013.
On the basis of such checks as we considered appropriate and according
to the information and explanation given to us during the course of our
audit, we report that:
1. (a) As explained to us, inventories have been physically verified
during the year by the management at reasonable intervals.
(b) In our opinion and according to the information and explanations
given to us, the procedures of physical verification of inventories
followed by the management are reasonable and adequate in relation to
the size of the company and the nature of its business.
(c) In our opinion and on the basis of our examination of the records,
the Company is generally maintaining proper records of its inventories.
No material discrepancy was noticed on physical verification of stocks
by the management as compared to book records.
2. (a) According to the information and explanations given to us and
on the basis of our examination of the books of account, the Company
has not granted any loans, secured or unsecured, to companies, firms or
other parties listed in the register maintained under Section 301 of
the Companies Act, 1956. Consequently, the provisions of clauses iii
(b), iii(c) and iii (d) of the order are not applicable to the Company.
(b) According to the information and explanations given to us and on
the basis of our examination of the books of account, the Company has
not taken loans from companies, firms or other parties listed in the
register maintained under Section 301 of the Companies Act, 1956. Thus
sub clauses (f) & (g) are not applicable to the company.
3. In our opinion and according to the information and explanations
given to us, there is generally an adequate internal control procedure
commensurate with the size of the company and the nature of its
business, for the purchase of inventories and payment for expenses &
for sale of goods. During the course of our audit, no major instance of
continuing failure to correct any weaknesses in the internal controls
has been noticed.
4. The Company has not accepted any deposits from the public covered
under section 58A and 58AA of the Companies Act, 1956.
5. As per information & explanations given by the management, the
Company has an internal audit system commensurate with its size and the
nature of its business.
6. As per information & explanation given by the management,
maintenance of cost records has not been prescribed by the Central
Government under clause (d) of sub-section (1) of section 209 of the
Act.
7. (a) According to the records of the company, undisputed statutory
dues including Provident Fund, Investor Education and Protection Fund,
Employees'' State Insurance, Income-tax, Sales-tax, Wealth Tax, Service
Tax, Custom Duty, Excise Duty, cess to the extent applicable and any
other statutory dues have generally been regularly deposited with the
appropriate authorities. According to the information and explanations
given to us there were no outstanding statutory dues as on 31st of
March, 2013 for a period of more than six months from the date they
became payable.
(b) According to the information and explanations given to us, there is
no amounts payable in respect of income tax, wealth tax, service tax,
sales tax, customs duty and excise duty which have not been deposited
on account of any disputes.
8. The Company''s accumulated losses at the end of the Financial Year
are more than fifty percent of it''s net worth. The company has not
incurred cash losses in financial year but has incurred cash losses in
preceding financial year.
9. According to the information and explanations given to us, the
Company has not granted loans and advances on the basis of security by
way of pledge of shares, debentures and other securities.
10. The Company is not a chit fund or a nidhi /mutual benefit
fund/society. Therefore, the provision of this clause of the Companies
(Auditor''s Report) Order, 2003 (as amended) is not applicable to the
Company.
11. According to the information and explanations given to us, the
Company has not given any guarantees for loan taken by others from a
bank or financial institution.
12. Based on our audit procedures and on the information given by the
management, we report that the company has not raised any term loans
during the year.
13. Based on the information and explanations given to us and on an
overall examination of the Balance Sheet of the Company as at 31st
March, 2013, we report that no funds raised on short-term basis have
been used for long-term investment by the Company.
14. Based on the audit procedures performed and the information and
explanations given to us by the management, we report that the Company
has not made any preferential allotment of shares during the year.
15. The Company has no outstanding debentures during the period under
audit.
16. The Company has not raised any money by public issue during the
year.
17. Based on the audit procedures performed and the information and
explanations given to us, we report that no fraud on or by the Company
has been noticed or reported during the year, nor have we been informed
of such case by the management.
For S. SHAH & Associates
Chartered Accountants
PROPRIETOR
SHAILESH K SHAH
Membership No: 34446
Place: Mumbai
Date: 30th May 2013
Mar 31, 2010
1 We have audited the accompanying balance sheet of AVI PHOTOCHEM
LIMITED as at 31st March. 2010 and the statements of profit and loss
for the year ended, prepared in conformity with accounting principles
generally accepted in India These financial statements are (he
responsibility of the Companys management Our responsibility is to
express an opinion on these financial statements based on our audit
2. We have 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 stitements are free of material misstatement An audit
includes examining, on 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 the management, as well as evaluating the overall financial
statement presentation We believe that our audit provides a reasonable
basis for our opinion.
3. As required by the Companies (Auditors 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 and 5 of the said
order
4 Further to our comments in the Annexure referred to in paragraph (3)
above:
4.1 We have obtained all the information and explanations, which to the
best of our knowledge and belief were necessary for the purposes of our
audit
4.2 In our opinion, proper books of account, as required by law. have
been kept by the Company so far as appears from our examination of
these books
4.3 In our opinion, the Profit and Loss Account and the Balance Sheet
comply with the Accounting standards referred to in Section 211(3C) of
the Companies Act. 1956. Subject to. Non Compliance of:
a Interest Income on sticky Loan (Refer Note 4 of Notes annexed to and
forming pan of Accounts)
b. Excise Duty (Refer Note I F of notes annexed to and forming pans of
Accounts)
c. Custom Duty Refer G of notes annexed to and forming parts of
Accounts) and subject to valuation of inventor) not complying with the
provision of Accounting Standard 2 (Revised) (Refer Note I c)
4.4 The Balance Sheet and the Profit and Loss Account dealt with by the
report are in agreement with the books of account
4.5 On the basis of the written representation received from the
directors, as on 31st March, 2010 and taken on record by the Board of
Directors, we report that none of the directors are disqualified as on
31st March, 2010 from being appointed as Directors in terms of clause
(g) of sub-section (I) of Section 274 of the Companies Act, 1956.
4 6 In our opinion and to the best of our information and according to
the explanations given to us, Balance Sheet and the Profit and Loss
Account read with the Notes thereon, give the information required by
the Companies Act, 1956, Subject to non compliance of:
(i) a. Interest on Sticky Loans not provided which has resulted in
understatement of loss by Rs.538,655/- (Refer note 4 of notes annexed
to and forming parts of Accounts)
b. Excise Duty (Refer Note I F of notes annexed to and forming parts
of Accounts) which will have no effect on loss.
c Custom Duty (Refer Note I G of notes annexed to and forming parts of
Accounts) which has no effect on the loss for the year.
d. Non provision of term loan interest (Refer note 16 of Notes annexed
to and forming parts Accounts) which has resulted in to understatement
of current year loss by Rs 284,000/- and under statement of liability
and accumulated loss by Rs 26.98,000/-
e Non provision of interest on other bank facilities (Refer note 16 of
notes annexed to and forming pans of Accounts)
In view of (a) to (d) total loss for the current year have been
understated by Rs.254,655/-. The impact of loss cannot be fully
quantified In view of non quantification of interest figure of item (e)
(ii) a. Non-appointment of full time Company Secretary Refer Note No
11 of notes annexed to and forming parts of Accounts). b
Non-disclosure of creditors of Small Scale Industries (Refer Note 19 of
notes annexed to and forming parts of Accounts)
4 7 In so far as it relates to Balance Sheet of the state of affairs of
the Company as at 31st March, 2010 in the manner required and give a
true and fair view in conformity with the accounting principles
generally accepted in India:
(i) in the case of the Balance Sheet, of the state of affairs of the
Company as at 31st March 2010; and
(ii) in the case of the Profit & Loss Account, of the Loss of the
Company for the year ended on that date.
ANNEXURE TO THE AUDITORS REPORT OF AVI PHOTOCHEM LIMITED
YEAR ENDED 31st MARCH, 2010
(Referred to in paragraph (3) of our report of even dated)
(i) (a) The Company has maintained proper records showing lull
particulars including quantitative details and situation of all fixed
assets (b) According to the information and explanation provided to us,
fixed assets have been physically verified by the management at
reasonable intervals during the year. As informed to us by the
management, no material discrepancies were noticed on such
verification. (c) In our opinion and according to the information and
explanation provided to us, none of the fixed assets have been sold
during the year.
(ii) (a) Physical Verification was conducted by the management at
reasonable intervals during the year in respect of finished goods,
semi-finished goods and raw material (b) The procedure of physical
verification is of stocks followed by the management are reasonable and
adequate in relation to the size of the company and nature of its
business. (c) The discrepancies noticed on verification between the
physical stock and the book records
were not material and the same have been properly dealt within the
books of accounts. On the basis of our examination of the stock
records, we are of the opinion that there has been a contravention of
Accounting Standard 2 (Revised) " Valuation of Inventories" regarding
the valuation of stock. However, the same will not have much material
impact on the loss
(iii) (a) According to the records of the Company and according to the
information and explanation given to us. the Company has not
granted/taken any loans to the companies, firms or other parties listed
on the register maintained u/s 301 and to companies under same
management.
(b) The company has taken interest free Unsecured Loans from the
directors & those amounts are in nature of current account However, the
terms are not preducial to the company.
(c) There is no stipulation of payment in case of loans given or taken.
(d) This clause is not applicable in view of (iii) (a).
(iv) In our opinion and according to the information and explanation
provided to us, the company has no adequate internal control in
commensurate with the size and nature of the business in respect of
fixed assets, purchase of inventory or sale of inventory.
(v) (a) In our opinion and according to the information and
explanations given to us, the transactions during the year that need to
be entered into Register maintained under Section 301 of the Companies
Act. 1956 has been entered.
(b) In our opinion and according 10 the information and explanations
provided to us each of the transactions have been made at the prices
which are reasonable having regard to the prevailing market prices at
the relevant time
(vi ) In our opinion and according to explanations given to us. the
company has complied with the provisions of sections 58A and 58AA of
the act and the rules formed there under for acceptance of deposits.
But no interest has been provided for the same.
(vii) The Company is not having any internal audit system
(viii) This clause is not applicable as no Cost Records have been
prescribed under section 209(l)(d) of the Companies Act, 1956 that are
required to be maintained by the Company
(ix) (a) According to the information and explanation given to us and
books and records examined by us there are no undisputed amounts
payable in respect of Income Tax, Wealth Tax, Custom Duty and Excise
Duty Except undisputed liabilities
(b) There are no dues of Wealth lax/Custom Duty/Excise Duty/Cess that
have not been deposited on account of any dispute.
(c) There is disputed liabilities in respect of Income Tax amounting to
Rs 6,40,000 which has not been paid by the company Matter is pending
before the ITAT and also disputed liabilities in respect of Sales Tax
amounting to Rs. 3,25,000/-
(x) The Company has accumulated losses at the end of the current
financial year exceeding fifty percent of its net worth. The Company
has suffered cash losses in the us immediately preceding Financial
Year.
(xi) The Company has not obtained any funds from Financial Institutions
or has not raised money by issue of debentures. Hence, the clause is
not applicable with regards to Financial Institutions and Debenture
Holders.
(xii) The Company has not granted any loans or advances in the nature
of loans on the basis of security by way of pledge of any shares,
debentures or other securities Therefore this clause is not applicable.
(xiii) The Company is neither chit fund nor a nidhi/ mutual benefit
fund/ society. Thus the provisions of any special statute applicable to
chit fund are not applicable to the Company.
(a) The clause is not applicable in view of para (xiii).
(b) The clause is not applicable in view of para (xiii).
(c) The clause is not applicable in view of para (xiii)
(d) The clause is not applicable in view of para (xiii).
(xiv) According to the information and explanations provided to us and
on the basis of audit procedure the Company does not deal or trade in
shares, securities, debentures and other investments. Thus, further
provisions in respect of these transactions are not applicable to the
Company and hence no further comments are issued under this clause
(xv) According to the information and explanation given to us. the
Company has not given any guarantee for loans taken by others from bank
or financial institutions
(xvi) On the basis of audit procedure and according to the information
and explanations given to us, the Company has not taken any term loans
during the year and therefore this clause is not applicable
(xvii) Company has not raised any funds during the year therefore this
clause is not applicable.
(xviii) As informed by the management, the Company has not made any
preferential allotment of shares to parties and companies covered in
the Register maintained under Section 301 of the Act.
(xix) The Company has not issued any Debentures. Thus, there is no need
for creation of any security.
(xx) The Company has not raised money through public issue.
Accordingly, provisions of clause 4(xx) of the Companies (Auditors
Report) Order, 2003 is not applicable to the Company.
(xxi) According to the information and explanation given to us, no
frauds on or by the Company have been noticed or reported during the
period under audit.
For and on behalf of
J.H. Ghumnra & Co.
Chartered Accountants
Firm Registration No: 103185W
S/d
(J.H. Ghumara)
Proprietor
Mumbai
Dated: 4th September, 2010