Auditor Report of BCC Fuba India Ltd.

Mar 31, 2014

We have audited the accompanying financial statements of BCC FUBA INDIA LTD. ("the Company"), which comprise the Balance Sheet as at March 31,2014, 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''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 13 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. The 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:

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.

Opinion

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 said financial statements together with Significant Accounting Policies and Notes thereon, give in the Prescribed manner, the information required by the Act, and give a true and fair view in conformity with the accounting principles generally accepted in India, subject to

a) Non amortization of miscellaneous expenditure up to 31 st March 2014 to the extent Rs.51.23 lacs (previous year 51.23 lacs)

b) The company has failed to appoint a whole time secretary as required by section 383Aof the Companies Act 1956.

c) The company has not complied with Companies (cost Accounting RecordsJRules 2011 Prescribed vide notification dated 3rd June 2011 which requires to keep and maintain Cost records and to submit compliance report duly certified by cost accountant for the Financial Year 2013-14.

i) in the case of the Balance Sheet, of the state of affairs of the Company as at March 31,2014;

ii) in the case of the Profit and Loss Account, of the loss for the year ended on that date; and

iii) in the case of the Cash Flow Statement, of the 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, 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.

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 notified under the Companies Act 1956 read with the general circular 15/2013 dated 13 September 2013 of the Ministry of Corporate Affairs in respect of Section 133 of the Companies Act 2013.

e) on the basis of written representations received from the directors as on March 31,2014, and 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 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 BCC FUBA INDIA LTD., on the accounts of the company for the year ended 31 st 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) The company has maintained proper records showing full particulars including quantitative details and situation of its fixed assets.

(b) As explained to us, fixed assets have been physically verified by the management at reasonable intervals; no material discrepancies were noticed on such verification.

(c) In our opinion and according to the information and explanations given to us, no fixed asset has been disposed during the year and therefore does not affect the going concern assumption.

2. (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.

3. (a) The company has taken loan from the following parties covered in the register maintained under section 301 of the companies act 1956

i) Three companies in which directors are interested

ii) One director

The maximum amount outstanding during the year in the above accounts was aggregating to RS 78307827/-.and the year end balance of the loan taken from such parties was RS 75700516/-, As explained to us the company has not granted loan to any firm covered in the register maintained under section 301 of the companies act, 1956.

(b) In our opinion the rate of interest and other terms and conditions on which the loan has been taken from companies,firm and other parties listed in the register maintained under section 301 are not, prima facie, prejudicial to the interest of the company.

(c) As explained to us, there is no stipulated time frame for the repayment of the above loan hence we are unable to comment on the regularity of the repayment of principal and interest on above loan taken or granted to the parties covered under section 301 of the companies act, 1956.

(d) In the view of the above we are unable to comment whether there is any overdue amounts of loan taken from or granted to the companies, firms or other parties listed in the register maintained under section 301 of the companies act, 1956.

4. 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 & fixed assets 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.

5. In our opinion and according to the information and explanations given to us, there were no transaction during the year that need to be entered in the register maintained under section 301.

6. The Company has not accepted any deposits from the public covered under section 58Aand 58AAof the Companies Act, 1956.

7. 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.

8. As per information & explanation given by the management, maintenance of cost records has been prescribed by the Central Government under clause (d) of sub-section (1) of section 209 of the Act. The company has not prepared and maintained proper cost records as required.

9. (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 31 st of March, 2014 for a period of more than six months from the date they became payable, except the following:

Nature of Liability: Sales Tax on on sale of DEPB Rs.101758/- (b) According to the information and explanations given to us, there are 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.

10. The accumulated losses of the company exceeded hundred percent of its net worth and it has incurred cash loss during the financial year covered by our audit and in the immediately preceding financial year.

11. Based on our audit procedures and on the information and explanations given by the management, we are of the opinion that, the Company has not defaulted in repayment of dues to a financial institution, bank or debenture holders.

12. According to the information and explanations given to us, the Company has not granted loans and advances on the basis of security byway of pledge of shares, debentures and other securities.

13. 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.

14. According to information and explanations given to us, the Company is not trading in Shares, Mutual funds & other Investments.

15. According to the information and explanations given to us, the Company has not given any guarantees for loan taken by others from a bank orfinancial institution.

16. 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.

17. Based on the information and explanations given to us and on an overall examination of the Balance Sheet of the Company as at 31 st March, 2014, we report that no funds raised on short-term basis have been used for long-term investment by the Company.

18. 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.

19. The Company has no outstanding debentures during the period under audit.

20. The Company has not raised any money by public issue during the year.

21. 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 Jawahar Kalra &Co. Chartered Accountants FRN-004008N

Place: New Delhi Jawahar Kalra Date: 30/05/2014 (proprietor) M.No.083130

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Mar 31, 2013

We have audited the attached Balance Sheet of M/S BCC FUBA INDIA LIMITED as at 31st March, 2013 and alio 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. We have expressed an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards required that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. Our audit included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our audit also included assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion; As required by the Companies (Auditor''s Report),2003 as amended by Companies (Auditors Report) (Amendment) Order, 2004 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. Further to our comments in the Annexure referred to above, we report that:

1. 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.

2. In our opinion, the company has kept proper books of account as required by law so far as appears from our examination of those books.

3. The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with in this report are in agreement with the books of account.

4. In our opinion, the Profit & Loss Account and Balance Sheet and Cash Flow Statement generally comply with the accounting standard referred to in sub-section (3C) of section 211 of the Companies Act, 1956.

5. On the basis of the written representation received from the directors, as on 31 st March, 2013, and taken on record by the Board of Directors, we report that none of the directors are disqualified as on 31 st March, 2013 from being appointed as a director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956

6. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the notes on account thereon 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, subject to

a) Non amortization of miscellaneous expenditure up to 31" March, 2013 to the extent ofRs. 51.23 Lacs (previous year Rs 51.23 Lacs)

b) The Company has failed to appoint whole-time secretary as required by section 383A of the Companies Act, 1956

c) The Company has not complied with "Companies (Cost Accounting Records) Rules, 2011 "prescribed vide Notification dated 03rd June 2011 which requires to keep and maintain cost records and to submit compliance report duly certified by a cost accountant for the financial year 2012-13.

I) In the case of Balance Sheet, of the state of affairs of the Company as at 31st March, 2013 and ii) In the case of the Profit and Loss Account, of the Loss for the year ended on that date. iii) In so far as it relates to the Cash Flow Statement of Cash Flow of the company for the year ended on that date.

ANNEXURE TO REPORT UNDER COMPANIES (AUDITOR''S REPORT! ORDER 2003 REFERRED AS AMENDED BY COMPANIES (AUDITORS REPORT)(AMENDMENT ORDER)TO IN OUR AUDIT REPORT OF EVEN DATE OF BCC FUBA INDIA LIMITED:-

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

(b) As explained to us most of the assets have been physically verified by the management during the year and as per the explanations and information given to us there is a regular program of verification which, in our opinion, is reasonable having regard to the size of the company and the nature of its assets. As explained, to us discrepancies noticed on physical verification were not significant and have been properly dealt with in the books of account.

(c) During the year, the company has not disposed off any part of the plant and machinery, which will have the effect on the Going concern of the company.

2 (a) As explained to us 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 the company and the nature of its business.

(c) As explained and based on the information given to us, we are of the opinion that the company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material and the same have been properly dealt with in the books of account.

3 (a) The Company has taken loan from the following parties covered in the register maintained under section 301 of the companies act, 1956.

(i) Three companies in which directors are interested.

(ii) One director.

The maximum amount outstanding during the year in the above accounts was aggregating to Rs. 565.93 lacs and the year end balance of loans taken from such parties was RS. 710.07 lacs As explained to us, the company has not granted loan to any firm covered in the register maintained under section 301 of the companies act, 1956.

(b) In our opinion the rate of interest and other terms and condition on which the loan has been taken from companies, firms and other parties listed in the register maintained under section 301 are not, prima facie, prejudicial to the interest of the company.

(c) As explained to us there is no stipulated time frame for the repayment of the above loan hence we are unable to comment on the regularity of the repayment of the principal and interest on above loan taken or granted to the parties covered under section 301 of the companies act, 1956.

(d) In the view of the above we are unable to comment whether there is any overdue amounts of loans taken from or granted to the companies, firms or other parties listed in the registers maintained under section 301 of the companies act, 1956.

4. In our opinion and according to the information and explanations given to us, the company has a system of internal control and of its evaluation on regular basis to strengthened it, in order to make it commensurate with the size of company and the nature of its business with regard to, purchase of inventory, fixed assets, and with regard to the sale of goods. During the course of our audit, no major weakness has been noticed in such internal controls.

5. In our opinion and according to the information and explanations given to us, there were no transactions during the year that need to be entered in the registers maintained under section 301.

6. In our opinion and according to the information and explanations given to us, the company has not accepted any Deposits as defined with in the meaning of Sections 58A and 58AA of the companies Act, 1956 and the companies (Acceptance of Deposits) Rules 1975.

7. In our opinion and according to the information and explanation given to us, the company has an internal Audit System commensurate with the size of the company and nature of its Business.

8. The company has not prepared and maintained proper records of cost records as prescribed by the Central Government under section 209 (1) (d) of the Companies Act, 1956.

9. (a) The company is generally regular in depositing with appropriate authorities undisputed statutory dues including provident fund, investor education protection fund, employees state insurance, income tax, sales tax, Service Tax, wealth tax, custom duty, excise-duty, Fringe Benefit Tax, cess and other statutory dues applicable to it, and according to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, custom duty and excise duty were outstanding, as at 31.03.2013 for a period of more than six months from the date they became payable except the followings:-

According to the records of company and as per information and explanations given to us there are no dues of sales tax, income tax, custom tax, wealth tax, excise duty, cess which have not been deposited on account of any dispute.

10. The accumulated losses of the company exceeded fifty percent of its net worth. Further it has incurred cash losses of Rs.81,64,419 during the financial year and has incurred cash losses of Rs.70,13,542 in the immediately preceding financial year.

11. As explained and informed to us by the management, we are of the opinion that the company has not defaulted in repayment of dues to a financial institution, or bank.

12. Based on the records, the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

13. In our opinion and to the best of our information and according to the explanation provided by the management the company is neither a Chit fund company nor a Nidhi / Mutual Benefit Funds / Societies. Hence the requirements of the para do not apply to the company.

14. In our opinion and as per explanations given to us by the management the Company is not dealing or trading in Shares, securities or Debentures and other investments.

15. The company has not given any guarantee for loans taken by others from bank or financial institutions.

16. The company has not raised any Term Loan during the year.

17. According to the information and explanations given to us and on an 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 and no Long-term funds have been used to finance short-term assets except core (permanent) working capital

18. As explained and informed to us by the management and upon our examination of records we report that 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.

19. During the period covered by our audit report, the company has not issued any types of debentures.

20. During the financial year the company did not raise any money by public issue.

21. In our opinion and according to the information and explanations given to us by the management, there was no fraud on or by the company which has been noticed and reported during the year that causes the financial statements to be materially misstated.

For Aggarwal & Rampal Chartered Accountants

F. R. No. 003072N

Vinay Aggarwal

Partner

M.No082045

Place: New Delhi

Dated: 15.05.2013

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Mar 31, 2011

We have audited the attached Balance Sheet of M/S BCC FUBA INDIA LIMITED as at 31st March, 2011 and also 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. We have expressed an opinion on these financial statements based on our audit. We conducted our audit in accordance with auditing standards generally accepted in India. ThoseStandards required that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. Our audit included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our audit also included assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion; As required by the Companies (Auditor's Report),2003 as amended by Companies (Auditors Report) (Amendment) Order, 2004 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. Further to our comments in the Annexure referred to above, we report that:

1. 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.

2. In our opinion, the company has kept proper books of account as required by law so far as appears from our examination of those books.

3. The Balance Sheet, Profit and Loss Account and Cash Flow Statement dealt with in this report are in agreement .with the books of account.

4. In our opinion, the Profit & Loss Account and Balance Sheet and Cash Flow Statement generally comply with the accounting standard referred to in sub-section (3C) of section 211 of the Companies Act, 1956.

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

6. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the notes on account thereon 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, subject to :-

a) Note No. B(6) regarding non amortisation of miscellaneous expenditure up to 31st march,2011 to the extent of RS 51.23 Lacs (previous year Rs 51.23 Lacs)

i) In the case of Balance Sheet, of the state of affairs of the Company as at 31s' March,2011 and

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

iii) In so far as it relates to the Cash Flow Statement of Cash Flow of the company for the year ended on that date.

ANNEXURE TO REPORT UNDER COMPANIES (AUDITOR'S REPORT) ORDER 2003 REFERRED AS AMENDED BY COMPANIES (AUDITORS REPORTUAMENDMENT ORDER^TO IN OUR AUDIT REPORT OF EVEN DATE OF BCC FUBA INDIA LIMITED:-

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

(b) As explained to us most of the assets have been physically verified by the management during the year and as per the explanations and information given to us there is a regular program of verification which, in our opinion, is reasonable having regard to the size of the company and the nature of its assets. As explained to us discrepancies noticed on physical verification were not significant and have been properly dealt with in the books of account.

(c) During the year, the company has not disposed off any part of the plant and machinery, which will have the effect on the Going concern of the company.

2 (a) As explained to us the inventory has been physically verified during the year by the

management. In ouropinion, 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 the company and the nature of its business.

c) As explained and based on the information given to us, we are of the opinion that the company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material and the same have been properly dealt with in the books of account.

3 (a) The Company has taken loan from the following parties covered in the register

maintained under section 301 of the companies act, 1956.

i) Three companies in which directors are interested.

ii) One director.

The maximum amount outstanding during the year in the above accounts was aggregating to Rs. 522.92 lacs and the year end balance of loans taken from such parties was RS. 504.44 lacs.

As explained to us, the company has not granted loan to any firm covered in the register maintained under section 301 of the companies act, 1956.

b) In our opinion the rate of interest and other terms and condition on which the loan has been taken from companies, firms and other parties listed in the register maintained under section 301 are not, prima facie, prejudicial to the interest of the company.

c) As explained to us there is no stipulated time frame for the repayment of the above loan hence we are unable to comment on the regularity of the repayment of the principal and interest on above loan taken or granted to the parties covered under section 301 of the companies act, 1956.

d) In the view of the above we are unable to comment whether there is any overdue amounts of loans taken from or granted to the companies, firms or other parties listed in the registers maintained under section 301 of the companies act, 1956.

4. In our opinion and according to the information and explanations given to us, the company has a system of internal control and of its evaluation on regular basis to strengthened it, in order to make it commensurate with the size of company and the nature of its business with regard to, purchase of inventory, fixed assets, and with regard to the sale of goods. During the course of our audit, no majorweakness has been noticed in such internal controls.

5. In our opinion and according to the information and explanations given to us, there were no transactions during the year that need to be entered in the registers maintained under section 301.

6. In our opinion and according to the information and explanations given to us, the company has not accepted any Deposits as defined with in the meaning of Sections 58A and 58AA of the companies Act, 1956 and the companies (Acceptance of Deposits) Rules 1975.

7. In our opinion and according to the information and explanation given to us, the company has an internal Audit System commensurate with the size of the company and nature of its Business.

8. As informed to us maintenance of cost records has not been prescribed by the Central Government under section 209 (1) (d) of the Companies act, 1956.

9. (a) The company is generally regular in depositing with appropriate authorities undisputed statutory dues including provident fund, investor education protection fund, employees state insurance, income tax, sales tax, Service Tax, wealth tax, custom duty, excise- duty, Fringe Benefit Tax, cess and other statutory dues applicable to it, and according to trie information and explanations given to us, no undisputed amounts ' payable in respect of income tax, wealth tax, custom duty and excise duty were outstanding, as at 31.03.2011 for a period of more than six months from the date they became payable except followings.

Nature of Liabilities Amount(Rs.) Sales tax on sale of DEPB 101758/ (Inclusive of Rs. 101758/- Which is outstanding for more than six months and has not been provided in books of accounts)

(b) According to the records of company and as per information and explanations given to us there are no dues of sales tax,, income tax, custom tax, wealth tax, excise duty, cess which have not been deposited on account of any dispute.

10. The accumulated losses of the company exceeded fifty percent of its net worth. Further it has not incurred any cash losses during the financial year and incurred Rs. 17.92 Lacs in the immediately preceding financial year.

11. As explained and informed to us by the management, we are of the opinion that the company has not defaulted in repayment of dues to a financial institution, or bank.

12. Based on the records, the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

13. In our opinion and to the best of our information and according to the explanation provided by the management the company is neither a Chit fund company nor a Nidhi/Mutual Benefit Funds/Societies. Hence the requirements of the para do not apply to the company.

14. In our opinion and as per explanations given to us by the management the Company is not dealing or trading in Shares, securities or Debentures and other investments.

15. The company has not given any guarantee for loans taken by others from bank or financial institutions.

16. The company has not raised any Term Loan during the year.

17. According to the information and explanations given to us and on an 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 and no Long-term funds have been used to finance short- term assets except core (permanent) working capital.

18. As explained and informed to us by the management and upon our examination of records we report that 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.

19. During the period covered by our audit report, the company has not issued any types of debentures.

20. During the financial year the company did not raise any money by public issue.

21. In our opinion and according to the information and explanations given to us by the management, there was no fraud on or by the company which has been noticed and reported during the year that causes the financial statements to 6e materially misstated.

For AGGARWAL & RAMPAL CHARTERED ACCOUNTANTS F. R. No. 003072N

PLACE : New Delhi (Vinay Aggarwal) DATED: 30.05.2011 PARTNER M.No 082045

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Mar 31, 2010

We have audited the attached Balance Sheet of M/S BCC FUBA INDIA LIMITED as at 31sMarch, 2010 and also 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 Companys management. We have expressed an opinion on these financial statements based on our audit.

We conducted our audit in accordance with auditing standards generally accepted in India. Those Standards required that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. Our audit included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our audit also included assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion;

As required by the Companies (Auditors Report),2003 as amended by Companies (Auditors Report) (Amendment) Order, 2004 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. Further to our comments in the Annexure referred to above, we report that:

1. 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.

2. In our opinion, the company has kept proper books of account as required by law so far as appears from our examination of those books.

3. The Balance Sheet.Profit and Loss Account and Cash Flow Statement dealt with in this report are in agreement with the books of account.

4. In our opinion, the Profit & Loss Account and Balance Sheet and Cash Flow Statement generally comply with the accounting standard referred to in sub-section (3C) of section 211 of the Companies Act, 1956.

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 31- 03-2010 from being appointed as a director in terms of clause(g)of sub-section (1) of section 274 of the Companies Act, 1956.

6. In our opinion and to the best of our information and according to the explanations given to us, the said accounts read together with the notes on account thereon 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. subject to :-

a) Note No.B(6) regarding non amortisation of miscellaneous expenditure up to 31 march,2010 to

the extent of RS 51.23 Lakhs (previous year Rs 51.23 Lakhs) i) In the case of Balance Sheet, of the state of affairs of the Company as at 31st March, 2010 and ii) In the case of the Profit and Loss Account, of the Loss for the year ended on that date. iii) In so far as it relates to the Cash Flow Statement of Cash Flow of the company for the year ended on that date.

ANNEXURE TO REPORT UNDER COMPANIES (AUDITORS REPORT) ORDER 2003 REFERRED AS AMENDED BY COMPANIES (AUDITORS REPORTUAMENDMENT ORDER)TO IN OUR AUDIT REPORT OF EVEN DATE OF BCC FUBA INDIA LIMITED:-

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

(b) As explained to us most of the assets have been physically verified by the management during the year and as per the explanations and information given to us there is a regular program of verification which, in our opinion, is reasonable having regard to the size of the company and the nature of its assets. As explained to us discrepancies noticed on physical verification were not significant and have been properly dealt with in the books of account.

(c) During the year, the company has not disposed off any part of the plant and machinery, which will have the effect on the Going concern of the company.

2 (a) As explained to us 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 the company and the nature of its business.

(c) As explained and based on the information given to us, we are of the opinion that the company is maintaining proper records of inventory. The discrepancies noticed on verification between the physical stocks and the book records were not material and the same have been properly dealt with in the books of account.

3 (a) The Company has taken loan from the following parties covered in the register maintained under section 301 of the companies act, 1956.

(i) Three companies in which directors are interested.

(ii) One director. The maximum amount during the year in the above accounts was aggregating to Rs. 425.03 lakhs and the year end balance of loans taken from such parties was RS. 416.27 lakhs. As explained to us.the company has not granted loan to any firm covered in the register maintained under section 301 of the companies act, 1956.

1. In our opinion the rate of interest and other terms and condition on which the loan has been taken from companies.firms and other parties listed in the register maintained under section 301 are not.prima facie, prejudicial to the interest of the company.

2. As explained to us there is no stipulated time frame for the repayment of the above loan hence we are unable to comment on the regularity of the repayment of the principal and interest on above loan taken or granted to the parties covered under section 301 of the companies act, 1956.

3. In the view of the above we are unable to comment whether there is any overdue amounts of loans taken from or granted to the companies, firms or other parties listed in the registers maintained under section 301 of the companies act, 1956.

4. In our opinion and according to the information and explanations given to us, the company has a system of internal control and of its evaluation on regular basis to strengthened it, in order to make it commensurate with the size of company and the nature of its business with regard to, purchase of inventory, fixed assets, and with regard to the sale of goods. During the course of our audit, no major weakness has been noticed in such internal controls.

5. In our opinion and according to the information and explanations given to us, there were no transactions during the year that need to be entered in the registers maintained under section 301.

6. In our opinion and according to the information and explanations given to us, the company has not accepted any Deposits as defined with in the meaning of Sections 58A and 58AA of the companies Act, 1956 and the companies (Acceptance of Deposits) Rules 1975.

7. In our opinion and according to the information and explaination given to us, the company has an internal Audit System commensurate with the size of the company and nature of its Business.

8. As informed to us maintenance of cost records has not been prescribed by the Central Government under section 209 (1 )(d) of the Companies Act, 1956.

9. (a) The company is generally regular in depositing with appropriate authorities undisputed statutory

dues including provident fund, investor education protection fund, employees state insurance, income tax, sales tax, Service Tax, wealth tax, custom duty, excise-duty, Fringe Benefit Tax, cess and other statutory dues applicable to it, and according to the information and explanations given to us, no undisputed amounts payable in respect of income tax, wealth tax, custom duty and excise duty were outstanding, as at 31.03.2010 for a period of more than six months from the date they became payable except followings.

Nature of Liabilities Amount(Rs.)

Sales tax on sale of DEPB 101758/ (Inclusive of Rs.101758/-

Which is outstanding for more than six

months and has not been provided in

books of accounts)

(b) According to the records of company and as per information and explanations given to us there are no dues of sales tax,, income tax, custom tax, wealth tax, excise duty, cess which have not been deposited on account of any dispute.

10. The accumulated losses of the company exceeded fifty percent of its net worth. Further it has incurred cash losses amounting to Rs. 17.92 Lacs during the financial year covered by our audit and Rs. 63.03 in the immediately preceding financial year.

11. As explained and informed to us by the management, we are of the opinion that the company has not defaulted in repayment of dues to a financial institution, or bank.

12. Based on the records, the company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

13. In our opinion and to the best of our information and according to the explanation provided by the management the company is neither a Chit fund company nor a Nidhi/Mutual Benefit Funds/Societies.Hence the requirements of the para do not apply to the company.

14. In ouropinion and as per explanations given to us by the management the Company is not dealing or trading in Shares, securities or Debentures and other investments.

15. The company has not given any guarantee for loans taken by others from bank or financial institutions.

16. The company has not raised any Term Loan during the year.

17. According to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that nofundsRaised on short-term basis have been used for long-term investment and no Long-term funds have been used to finance short-term assets except core (permanent) working capital.

18. As explained and informed to us by the management and upon our examination of records we report that 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.

19. During the period covered by our audit report, the company has not issued any types of debentures.

20. During the financial year the company did not raise any money by public issue.

21. In our opinion and according to the information and explanations given to us by the management, there was no fraud on or by the company which has been noticed and reported during the year that causes the financial statements to be materially misstated.



For AGGARWAL & RAMPAL

CHARTERED ACCOUNTANTS

R. No. 003072N

Sd/-

(Sunil Singh)

PLACE: New Delhi PARTNER

DATED: 29.05.2010 M.No.503608