Auditor Report of Basil Infrastructure Projects Ltd.

Mar 31, 2015

1. We have audited the accompanying financial statements of M/s. Basil Infrastructure Projects Limited, ("the Company"), 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 explantory information.

Management's Responsibility for the Financial Statements:

2. The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("The Act") with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flow 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 judgements and estimates that are responsible 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:

3. Our responsibility is to express an opinion on these financial statements based on our audit.

4. 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.

5. 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.

6. 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 judgement, 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.

7. 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

8. Incur 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, of the state of affairs of the Company as at 31st March, 2015, and its loss and its cash flows for the year ended on that date.

Emphasis of Matters

9. We draw attention to the following matters in the Notes to the financial statements :

a. Note No. 2.26 that in the opinion of the board of directors of the company the diminution in the value of certain investments is temporary in nature and hence no provision towards diminution in the value of investments is considered necessary.

b. Note No. 2.27 that balances lying in some of the receivables', payables' accounts are subject to confirmation

Our opinion is not modified in respect of these matters.

Report other Legal and Regulatory Requirements:

10. 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.

11. 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 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 Statement of Profit an Loss, and the Cash Flow Statement specified delat with by this Report are in agreement with the books of account.

d. In our opinion, the aforesaid financial statements comply with the Accounting Standars specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

e. The matter described in paragraph 9(a) and (b) under the Emphasis of Matters paragraph above, in our opinion, may not have an adverse effect on the functioning of the Company.

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

g. With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:

i. The Company does not have any pending litigations that would impact its financial position.

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

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

Annexure to the Independent Auditor's Report:

The Annexure referred in paragraph (10) of our Independent Auditor's Report of even date to ht emembers 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 regular programme of physical verification of its fixed asets by which all the fixed assets are physically verified by the manegement over a period of three yers. In our opinion the the periodicity of the physical verification is reasonable having regard to the size of the Company and the nature of its assets. In accordance with this programme, certain fixed assets were verified during the year and no material discrepancies have been noticed on such verification.

ii) The Company does not hold any inventory. Accordingly clause 3(ii) of the order is not applicable to the Company.

iii) The Company has not granted any loans, secured or unsecured, to companies, firms or other parties covered in the register maintained under section 189 of the Companies Act, 2013 ("the Act"). Consequently, clauses 3 (iii) (a) and 3 (iii) (b) of the Order are not applicable to the company.

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 inventories fixed assets and sale of goods. The activities of the Company do not include sale of services. We have not observed any major weakness in the internal control system during the course of the audit.

v) The Company has not accepted any deposits. Consquently, the clause 3(v) of the order is not applicable to the Company.

vi) According to the information and explanations given to us, maintenance of cost records by the company is not required pursuant to the Rules made by the Central Government for the maintenance of cost records under sub-section (1) of section 148 of the Companies Act, 2013 ("the Act"), in respect of the business activities carriedout by the company.

vii) a) According to the information and explanations given to us and on the bais of examination of the records of the Company, amounts deducted / accrued in the books of account in respect of undisputed statutory dues including provident fund, employees' state insurance, income-tax, cess and other material statutory tax, duty of customs, duty of excise, value added tax, cess and other material statutory dues have been regularly deposited during the year by the Company with the appropriate authorities.

According to the information and explanations given to us, no undisputed amounts are payable in respect of income tax, sales tax, wealth tax, service tax, duty of customs, duty of excise, value added tax or cess and other material statutory dues which were in arrears as at 31 st March 2015 for a period of more than six months from the date they became payable.

b) As at 31 st March 2015, there have been no disputed dues, which have not been deposited with the respective authorities in respect of Income tax, Sales tax, Wealth tax, Service tas, duty of customs, duty of excise, value added tax and cess.

c) According to the information and explanations given to us there are no amounts which were 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 made thereunder.

viii) The Company has no accumulated losses as at the end of the financial year. However it has incurred cash losses in the financial year covered by our audit and the immediately preceding financial year.

ix) The Company has neither taken any term loan from financial institutions or a bank nor issued any debentures. Consequently, the clause 3 (ix) of the Order is not applicable to Company.

x) 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. Consequently the clause 3 (x) of the order is not applicable to the Company.

xi) According to the information and explanations given to us, the Company has not obtained any term loans. Consequently; the clause 3 (xi) of the order is not applicable to Company.

xii) During the course of our examination of the books of account and records of the Company, carried out in accordance with the generally accepted auditing practices in India, and according to the information and explanations given to us, we have neither come across any instance of material fraud on or by the Company nor the Company has been noticed or reported during the course of our audit.

For BRAHMAYYA & CO., Place: Hyderabad Chartered Accountants Date : 2.05.2015 Firm Regn No.000513S

Sd/- (C.V. Rmana Rao) Partner Membership No. 018545

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Mar 31, 2014

1. We have audited the accompanying financial statements of Basil infrastructure Projects Limited, Hyderabad (''the Company0), 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:

2. Management Is responsible for the preparation of these financial statements that give a true and fair view of the financial position and financial performance of the Company in accordance with the Accounting Standards referred to In sub-section (3C) of section 211 of the Companies Act, 1956 (''the Act0). 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.

Auditor''s Responsibility :

3. 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.

4. 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 entity''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.

5. We believe that the audit evidence we have obtained Is sufficient and appropriate to provide a basis for our audit opinion.

Opinion :

6. 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 31st March, 2014;

b) in the case of the Statement of Profit and Loss, of the Loss for the year ended on that date ; and

c) In the case of Cash Flow Statement, of the cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements:

7. As required by the Companies (Auditor''s Report) Order, 2003 (''the Order0) 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.

8. As required by section 227(3) of the Act, 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 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 the Accounting Standards referred to In subsection (3C) of section 211 of the Companies Act, 1956;

e) on the basis of the written representations received from the directors as on 31st March, 2014, taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2014, from being appointed as a director in terms of section 274 (1) (g) of the Act..

ANNEXURE TO THE AUDITORS'' REPORT REFERRED TO IN PARAGRAPH 7 OF OUR REPORT OF EVEN DATE:

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

b) All the fixed assets have been physically verified by the management during the year. According to the information furnished to us, no material discrepancies have been noticed on such verification.

c) The Fixed Assets disposed off by the Company during the year do not form a substantial part thereof. Accordingly the "going concern" status of the company is not affected.

ii) The company does not hold any inventory. Accordingly clause 4 (ii) of the Order is not applicable.

iii) a) The Company has not granted any loans, secured or unsecured to companies, firms, or other parties covered in the register maintained under section 301 of the Companies Act, 1956. Consequently, clauses 4(iii) (b) to (d) of the Order are not applicable.

b) The Company has not taken any loans, secured or unsecured from companies, firms, or other parties covered in the register maintained under section 301 of the Companies Act, 1956. Consequently, clauses 4(iii) (f) & (g) of the Order are not applicable.

iv) In our opinion and according to the information and explanations given to us, there is adequate internal control system commensurate with the size of the Company and the nature of its business with regard to purchase of fixed assets and sale of services. We have not observed any major weakness in the internal control system during the course of the audit.

v) a. According to the information and explanations given to us, we are of the opinion that the particulars of contracts and arrangements that need to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b. In our opinion and according to the information and explanations given to us, the contracts and arrangements made in pursuance of contracts or arrangements entered in the register maintained under section 301 of the Companies Act, 1956 have been made at prices which are reasonable having regard to prevailing market prices at the relevant time.

vi) The Company has not accepted any deposits from public. Consequently the clause 4(vi) of the order is not applicable.

vii) In our opinion, the Company has an internal audit system commensurate with its size and nature of its business, though it has no formal internal audit.

viii) According to the information and explanations given to us, maintenance of cost records by the company is not required under the provisions of section 209(1) (d) of the Companies Act, 1956, in respect of the business activities carried out by the company.

ix) a) According to the information and explanations given to us and on the basis of examination of the records of the Company, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues including provident fund, income-tax, sales-tax, wealth-tax, custom duty, excise duty, service-tax, cess and other material statutory dues, except service tax on rental income have been regularly deposited during the year by the Company with the appropriate authorities.

b) According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, sales tax, wealth tax, service tax, customs duty, excise duty, cess and other material statutory dues which were in arrears as at 31st March 2014 for a period of more than six months from the date they became payable, except service tax on rental income amounting to Rs 481902.

c) As at 31 st March 2014, there have been no disputed dues, which have not been deposited with the respective authorities in respect of Income tax, Sales tax, Wealth-tax, Service tax, Customs duty, Excise Duty and Cess.

x) The Company has no accumulated losses and has not incurred cash losses in the financial year covered by our audit and the immediately preceding financial year.

xi) The Company has not defaulted in payment of any loan installment or interest in respect of term loans from LIC of India.

xii) The Company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures and other securities. Consequently the clause 4(xii) of the order is not applicable.

xiii) In our opinion, the Company is not a chit fund or a nidhi/mutual benefit fund/society. Consequently the clause 4(xiii) of the order is not applicable.

xiv) In our opinion, the Company is not dealing in ortrading in shares, securities, debentures and other instruments. Consequently the clause 4(xiv) of the order is not applicable.

xv) The Company has not given any guarantee for loans taken by others from banks or financial institutions. Consequently the clause 4(xv) of the order is not applicable.

xvi) In our opinion, the Term Loans taken during the year have been applied for the purposes for which they were raised.

xvii) According to the information and explanations given to us and on overall examination of the Balance Sheet of the Company, we report that no funds raised on short term basis have been used for long term investment.

xviii) During the year, the Company has not made any preferential allotment of shares. Consequently the clause 4(xviii) of the order is not applicable.

xix) The Company has not issued any debentures so far. Consequently clause 4(xix) of the order is not applicable.

xx) During the year, the Company has not raised money by Public issue. Consequently the clause 4(xx) of the order is not applicable.

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 BRAHMAYYA & CO.,

Chartered Accountans (Firm Regd. No. 000513S)

Sd/- (C.V. Ramana Rao) Place: Hyderabad. Partner Date : 30.05.2014 Membership No. 018545

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Mar 31, 2013

Report on the Financial Statements :

1. We have audited the accompanying financial statements of Basil Infrastructure Projects Limited, Hyderabad ("the Company"), which comprise the Balance Sheet as at March 31, 2013, 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 :

2. Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position and financial performance of the Company in accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956 ("the 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.

Auditor''s Responsibility:

3. 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.

4. 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.

5. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.

Opinion :

6. 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 31st March, 2013;

b. In the case of the Statement of Profit and Loss, of the Loss for the year ended on that date ; and

c. In the case of Cash Flow Statement, of the cash flows for the year ended on that date. Report on Other Legal and Regulatory Requirements :

7. As required by the Companies (Auditor''s Report) Order, 2003 ("the 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.

8. 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 the Accounting Standards referred to in subsection (3C) of section 211 of the Companies Act, 1956;

e. on the basis of the written representations received from the directors as on 31st March, 2013, taken on record by the Board of Directors, none of the directors is disqualified as on 31st March, 2013, from being appointed as a director in terms of section 274 (1) (g) of the Act.

ANNEXURETOTHE AUDITORS'' REPORT REFERRED TO IN PARAGRAPH 7 OF

OUR REPORT OF EVEN DATE:

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

b) All the fixed assets have been physically verified by the management during the year. According to the information furnished to us, no material discrepancies have been noticed on such verification.

c) The Fixed Assets disposed off by the Company during the year do not form a substantial part thereof. Accordingly the "going concern" status of the company is not affected.

ii) The company does not hold any inventory. Accordingly clause 4 (ii) of the Order is not applicable.

iii) a) The Company has not granted any loans, secured or unsecured to companies, firms, or other parties covered in the register maintained under section 301 of the Companies Act, 1956. Consequently, clauses 4(iii) (b) to (d) of the Order are not applicable.

b) The Company has not taken any loans, secured or unsecured from companies, firms, or other parties covered in the register maintained under section 301 of the Companies Act, 1956. Consequently, clauses 4(iii) (f) & (g) of the Order are not applicable.

iv) In our opinion and according to the information and explanations given to us, there is adequate internal control system commensurate with the size of the Company and the nature of its business with regard to purchase of fixed assets and sale of services. We have not observed any major weakness in the internal control system during the course of the audit.

v) a. According to the information and explanations given to us, we are of the opinion that the particulars of contracts and arrangements that need to be entered into the register maintained under section 301 of the Companies Act, 1956 have been so entered.

b. In our opinion and according to the information and explanations given to us, the contracts and arrangements made in pursuance of contracts or arrangements entered in the register maintained under section 301 of the Companies Act, 1956 have been made at prices which are reasonable having regard to prevailing market prices at the relevant time.

vi) The Company has not accepted any deposits from public. Consequently the clause 4(vi) of the order is not applicable.

vii) In our opinion, the Company has an internal audit system commensurate with its size and nature of its business, though it has no formal internal audit.

viii) According to the information and explanations given to us, maintenance of cost records by the company is not required under the provisions of section 209(1) (d) of the Companies Act, 1956, in respect of the business activities carried out by the company.

ix) a) According to the information and explanations given to us and on the basis of examination of the records of the Company, amounts deducted/ accrued in the books of account in respect of undisputed statutory dues including provident fund, income-tax, sales-tax, wealth-tax, custom duty, excise duty, service-tax, cess and other material statutory dues, except service tax on rental income have been regularly deposited during the year by the Company with the appropriate authorities.

b) According to the information and explanations given to us, no undisputed amounts payable in respect of income tax, sales tax, wealth tax, service tax, customs duty, excise duty, cess and other material statutory dues which were in arrears as at 31st March 2013 for a period of more than six months from the date they became payable, except service tax on rental income amounting to Rs 4888366.

c) As at 31 st March 2013, there have been no disputed dues, which have not been deposited with the respective authorities in respect of Income tax, Sales tax, Wealth-tax, Service tax, Customs duty, Excise Duty and Cess.

x) The Company has no accumulated losses and has not incurred cash losses in the financial year covered by our audit and the immediately preceding financial year.

xi) The Company has not defaulted in payment of any loan installment or interest in respect of term loans from LIC of India.

xii) The Company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures and other securities. Consequently the clause 4(xii) of the order is not applicable.

xiii) In our opinion, the Company is not a chit fund or a nidhi/mutual benefit fund/society. Consequently the clause 4(xiii) of the order is not applicable.

xiv) In our opinion, the Company is not dealing in or trading in shares, securities, debentures and other instruments. Consequently the clause 4(xiv) of the order is not applicable.

xv) The Company has not given any guarantee for loans taken by others from banks or financial institutions. Consequently the clause 4(xv) of the order is not applicable.

xvi) In our opinion, the Term Loans taken during the year have been applied for the purposes for which they were raised.

xvii) According to the information and explanations given to us and on overall examination of the Balance Sheet of the Company, we report that no funds raised on short term basis have been used for long term investment.

xviii) During the year, the Company has not made any preferential allotment of shares. Consequently the clause 4(xviii) of the order is not applicable.

xix) The Company has not issued any debentures so far. Consequently clause 4(xix) of the order is not applicable.

xx) During the year, the Company has not raised money by Public issue. Consequently the clause 4(xx) of the order is not applicable.

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 BRAHMAYYA & CO.,

Chartered Accountants

(Firm Regd. No. 000513S)

Sd/-

(C.V. Ramana Rao)

Place: Hyderabad. Partner

Date : 29.05.2013 Membership No. 018545

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Mar 31, 2012

1. We have audited the attached Balance Sheet of M/s. BASIL INFRASTRUCTURE PROJECTS LIMITED, Hyderabad as at 31st March, 2012, the Profit and Loss account and the Cash Flow Statement 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 the said financial statements based on our audit.

2. We have conducted our audit in accordance with auditing standards generally accepted in India. These 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 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' of India (the 'Act') and on the basis of such checks as we considered appropriate and according to the information and explanations given to us, we set out 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 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 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 appears from our examination of such books.

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

d) In our opinion the Balance Sheet and the Profit and Loss account dealt with by this report comply with the Accounting Standards referred to in Sub Section (3c) of Section 211 of the Companies Act, 1956.

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

i. In the case of Balance Sheet, of the state of affairs of the company as at 31st March, 2012.

ii. In the case of the Profit and Loss account, of the profit for the year ended on that date.

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

f) On the basis of written representations received from the Directors as on March 31, 2012 and taken on record by the Board of Directors, we report that none of the directors is disqualified as on March 31, 2012 from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Act.

ANNEXURE TO THE AUDITORS' REPORT REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE:

1.1 The Company has maintained proper records showing full particulars, including the quantitative details and situation of fixed assets.

1.2 All the fixed assets have been physically verified by the management during the year. According to the information furnished to us, no material discrepancies have been noticed on such verification.

1.3 The company has not disposed off any fixed assets during the year under report.

2. The company does not own any inventory. Accordingly clause 4 (ii) of the order is not applicable.

3.1 The company has not granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 301 of the Companies Act. Accordingly clauses (4)(iii) (b), (c) and (d) of paragraph 4 of the Order are not applicable.

3.2 The Company has not taken unsecured loans from companies covered in the register maintained under section 301 of the Companies Act. Accordingly Clauses (4)(iv) (b) and (d) of paragraph 4 of the Order are not applicable.

4. There are adequate internal control systems commensurate with the size of the company, the nature of its business and for the sale of its services. We have not come across any continuing major weaknesses, which are required to be corrected.

5.1 According to the information and explanations given to us, we are of the opinion that the particulars of contracts or arrangements referred to in section 301 of the Companies Act, 1956 have been so entered.

5.2 The transactions made during the year in pursuance of contracts or arrangements have been made at prices which are reasonable having regards to prevailing market prices at the relevant time.

6. The Company has not accepted any deposits from public. Accordingly clause 4(vi) of the order is not applicable.

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

8. According to the information and explanations given to us, maintenance of cost records by the Company is not required under the provisions of section 209(1) (d) of the Companies Act, 1956, in respect of the business activities carried out by the company.

9.1 According to the records of the company, the company is regular in depositing with appropriate authorities undisputed statutory dues including investor education and protection fund, income-tax, sales tax, wealth-tax, service tax and other material statutory dues applicable to it.

9.2 As at 31st March, 2012 there have been no disputed dues, which have not been deposited with the respective authorities in respect of Income tax, Wealth-tax, Service tax, Excise Duty, Customs duty and cess.

10. The company has no accumulated losses and has not incurred cash loss during the financial year covered by our audit and immediately preceding financial year.

11. The Company has neither taken any loans from a financial institution or a bank not issued any debentures. Accordingly clause 4(xi) of the order is not applicable.

12. The company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures, and other securities. Accordingly clause 4 (xii) of the order is not applicable.

13. In our opinion, the Company is not a chit fund or a Nidhi/mutual benefit fund/society. Accordingly, clause 4(xiii) of the order is not applicable.

14. In our opinion, the Company is not dealing in or trading in shares, securities, debentures and other instruments. Accordingly, clause 4(xiv) of the order is not applicable.

15. The company has not given any guarantees for loans taken by others from banks or Financial Institutions. Accordingly clause 4(xv) of the order is not applicable.

16. The company has not obtained any term loans. Accordingly, clause 4(xvi) of the order is not applicable.

17. According to the information and explanations given to us and on overall examination of the Balance Sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment.

18. During the year, the company has not made any allotment of shares. Accordingly clause 4 (xviii) of the order is not applicable.

19. The Company has not issued any debentures so far. Accordingly clause 4 (xiv) of the order is not applicable.

20. During the year, the Company has not raised money by Public issue. Accordingly clause 4(xx) of the order is not applicable.

21. 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 BRAHMAYYA & CO Chartered Accountants (Firm Regd. No 000513S)

Sd/- (C.V. Ramana Rao) Partner Membership No.018545

Place: Visakhapatnam Date : 31st May, 2012

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Mar 31, 2011

1 We have audited the attached Balance sheet of M/s Basil Infrastructure Projects Limited, Hyderabad as at 31st March, 2011, the Profit &Loss Account and the Cash Flow Statement 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.

2 We have conducted our audit in accordance with auditing standards generally accepted in India. These 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 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 of India (the Act) and on the basis of such checks as we considered appropriate and according to the information and explanations given to us, we set out 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 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 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 appears from our examination of such books.

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

d) In our opinion the Balance Sheet and Profit and Loss Account dealt with by this report comply with the accounting standards referred to in sub section (3c) of section 211 of the Companies Act, 1956.

e) In our opinion and to the best of our information and according to the explanations given to us the said accounts give the information required by the Companies Act, 1956, in the manner so 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, 2011.

II) In the case of the Profit and Loss account, of the profit for the year ended on that date.

III) In case of the cash flow statement, of the cash flows for the year ended on that date.

f) On the basis of written representations received form the Directors as on March 31,2011 and taken on record by the Board of Directors, we report that none of the directors is disqualified as on March 31,2011 from being appointed as a director in terms of clause (g) if sub-section (1) of section 274 of the Act.

ANNEXURE TO THE AUDITORS' REPORT REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE:

1.1 The company has maintained proper records showing full particulars including the quantitative details and situation of the fixed assets

1.2 All the fixed assets have been physically verified by the management during the Year. According to the information furnished to us, no material discrepancies have been noticed on such verification.

2. The Company does not own any inventory. Accordingly clause 4 (ii) of the order is not applicable.

3.1 The Company has not granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 301 of the Companies Act. Accordingly clauses 4(iii) (b), (c) and (d) of paragraph 4 of the order are not applicable.

3.2 The Company has not taken unsecured loans from companies covered in the register maintained under section 301 of the Companies Act. Accordingly clauses 4(iv) (b) and (d) of paragraph 4 of the order are not applicable.

4. There are adequate internal control systems commensurate with the size of the company the nature of its business and for the sale of services. We have not come across any continuing major weaknesses, which are required to be corrected.

5.1 According to the information and explanations given to us, we are of the opinion that the particulars of contracts or arrangements referred to in section 301 of the Companies Act, 1956 have been so entered.

5.2 The transactions made during the year in pursuance of such contracts or arrangements have been made at prices which are reasonable having regards to prevailing market prices at the relevant time.

6 The Company has not accepted any deposits from public. Accordingly clause 4(vi) of the order is not applicable.

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

8 According to the information and explanations given to us, maintenance of cost records by the company is not required under the provisions of section 209(1) (d) of the companies Act, 1956, in respect of the business activities carried out by the company.

9.1 According to the records of the company, the company is regular in depositing with appropriate authorities undisputed statutory dues including investor education and protection fund, Income-tax, sales-tax wealth-tax service tax and other material statutory dues applicable to it.

9.2 As at 31st March, 2011 there have been no disputed dues, which have not been deposited with the respective authorities in respect of, Income-tax, Wealth-tax, service tax, excise duty, customs duty and cess.

10. The Company has no accumulated losses and has not incurred cash loss during the financial year covered by our audit and immediately preceding financial year.

11. The Company has neither taken any loans from a financial institution or a bank not issued any debentures. Accordingly clause 4(xi) of the order is not applicable

12. The company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures, and other securities. Accordingly clause 4(xii) of the order is not applicable.

13. In our opinion, the company is not a chit fund or a Nidhi / mutual benefit fund/ society. Accordingly clause 4(xiii) of the order is not applicable.

14. In our opinion, the company is not dealing in or trading in shares, securities, debentures and other instruments, Accordingly clause 4(xiv) of the order is not applicable,.

15. The company has not given any guarantees for loans taken by others from banks or Financial Institutions, Accordingly clause 4(xv) of the order is not applicable.

16. The company has not obtained any term loans. Accordingly clause 4(xvi) of the order is not applicable.

17. According to the information and explanations given to us and on overall examination of the Balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment.

18. During the year, the company has not made any allotment of shares. Accordingly clause 4(xviii) of the order is not applicable.

19. The company has not issued any debentures so far. Accordingly clause (xiv) of the order is not applicable.

20. During the year, the company has not raised money by public issue. Accordingly clause 4 (xx) of the order is not applicable.

21. 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 BRAHMAYYA & CO

Chartered Accountants (Firm Regd. No 000513S)

(C.V. Ramana Rao)

Partner Place: Visakhapatnam Membership No.018545

Date : 30.05.2011

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Mar 31, 2010

1 We have audited the attached Balance sheet of M/s Basil Infrastructure Projects Limited, Hyderabad as at 31st March, 2010, the Profit &Loss Account 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.

2 We have conducted our audit in accordance with auditing standards generally accepted in India. These 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 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 CompaniesAct,1956 of India (the Act) and on the basis of such checks as we considered appropriate and according to the information and explanations given to us, we set out 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 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 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 appears from our examination of such books.

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

d) In our opinion the Balance Sheet and Profit and Loss Account dealt with by this report comply with the accounting standards referred to in sub section (3c) of section 211 of the Companies Act, 1956.

e) In our opinion and to the best of our information and according to the explanations given to us the said accounts give the information required by the Companies Act, 1956, in the manner so 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.

II) In the case of the Profit and Loss account, of the profit for the year ended on that date.

III) In case of the cash flow statement, of the cash flows for the year ended on that date.

f) On the basis of written representations received form the Directors as on March 31,2010 and taken on record by the Board of Directors, we report that none of the directors is disqualified as on March 31, 2010 from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Act.

ANNEXURE TO THE AUDITORS REPORT REFERRED TO IN PARAGRAPH 3 OF OUR REPORT OF EVEN DATE:

1.1 The company has maintained proper records showing full particulars including the quantitative details and situation of the fixed assets

1.2 All the fixed assets have been physically verified by the management during the year. According to the information furnished to us, no material discrepancies have been noticed on such verification.

1.3 During the year, the company has not disposed off any of its fixed assets.

2. The Company does not own any inventory. Accordingly clause 4(ii) of the order is not applicable.

3.1 The Company has not granted any loans, secured or unsecured to companies, firms or other parties covered in the register maintained under section 301 of the Act. Accordingly clauses 4(iii) (b), (c) and (d)of paragraph 4 of the order are not applicable.

3.2 The Company has not taken unsecured loans from companies covered in the register maintained under section 301 of the company. Accordingly clauses 4(iv) (b) and (d) of paragraph 4 of the order are not applicable.

4. There are adequate internal control systems commensurate with the size of the company the nature of its business and for the sale of services. We have not come across any continuing major weaknesses, which are to be corrected.

5.1 According to the information and explanations given to us, we are of the opinion that the particulars of contracts or arrangements referred to in section 301 of the Companies Act, 1956 have been so entered.

5.2 The transactions made during the year in pursuance of such contracts or arrangements have been made at prices which are reasonable having regards to prevailing market prices at the relevant time.

6 The Company has not accepted any deposits from public. Accordingly clause 4(vi) of the order is not applicable.

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

8 According to the information and explanations given to us, maintenance of cost records by the company is not required under the provisions of section 209(1) (d) of the Companies act, 1956, in respect of the business activities carried out by the company.

9.1 According to the records of the company, the company is regular in depositing with appropriate authorities undisputed statutory dues including investor education and protection fund, Income-tax, sales-tax wealth-tax service tax and other material statutory dues applicable to it.

9.2 As at 31stMarch, 2010 there have been no disputed dues, which have not been deposited with the respective authorities in respect of, Income-tax, Wealth-tax, service tax, excise duty, customs duty and cess.

10. The Company has no accumulated losses and has not incurred cash loss during the financial year covered by our audit and immediately preceding financial year.

11. The Company has neither taken any loans from a financial institution or a bank not issued any debentures. Accordingly clause 4(xi) of the order is not applicable

12. The company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures, and other securities. Accordingly clause 4(xii) of the order is not applicable.

13. In our opinion, the company is not a chit fund or a Nidhi / mutual benefit fund/ society. Accordingly clause 4(xiii) of the order is not applicable.

14. In our opinion, the company is not dealing in or trading in shares, securities, debentures and other instruments, Accordingly clause 4(xiv) of the order is not applicable,.

15. The company has not given any guarantees for loans taken by others from banks or Financial Institutions, Accordingly clause 4(xv) of the order is not applicable.

16. The company has not obtained any term loans. Accordingly clause 4(xvi) of the order is not applicable.

17. According to the information and explanations given to us and on overall examination of the Balance sheet of the company, we report that no funds raised on short-term basis have been used for long-term investment.

18. During the year, the company has not made any allotment of shares. Accordingly clause 4(xviii) of the order is not applicable.

19. The company has not issued any debentures so far. Accordingly clause (xiv) of the order is not applicable.

20. During the year, the company has not raised money by public issue. Accordingly clause 4 (xx) of the order is not applicable.

21. 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 BRAHMAYYA & CO

Chartered Accountants

Sd/- (C.V. Ramana Rao)

Partner Place: Visakhapatnam Membership No.018545 Date: 03.06.2010