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Auditor Report of Bodhtree Consulting Ltd.

Mar 31, 2015

We have audited the accompanying financial statements of BODHTREE CONSULTING 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 explanatory information.

Management's Responsibility for the Financial Statements

The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were 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.

Auditors' Responsibility

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

We have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder.

We conducted our audit in accordance with the Standards on Auditing specified under Section 143(10) of the Act. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal financial control relevant to the Company's preparation of the financial statements that give a true and fair view in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on whether the Company has in place an adequate internal financial controls system over financial reporting and the operating effectiveness of such controls. An audit also includes evaluating the appropriateness of the accounting policies used and the reasonableness of the accounting estimates made by the Company's Directors, as well as evaluating the overall presentation of the financial statements.

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

Basis for Qualified Opinion

The company has a strategic long term investments in Equity Shares of certain companies, the cost of acquisition of those investments is Rs.722.50 lacs. Based on the Latest Audited Financial Statements of those companies made available to us the breakup value of those investments works out to Rs.125.82 lacs. Accordingly, the decline in value i.e. Rs. 596.68 lacs, being the difference between cost of acquisition and the breakup value, which in our view is of other than of temporary nature, is not provided for in the Statement of Profit and Loss. Had the company considered the diminution in value of investments the profit for the year would have been lower by the said amount.

Further the company has given advance of Rs.339 lacs and Rs.310 lacs receivable on account of services rendered by the company, which in our view are doubtful of recovery against which the company has not made any provision. Had the company considered the provision for the aforesaid amounts the profit for the year would have been lower by the said amount.

Qualified Opinion

In our opinion and to the best of our information and according to the explanations given to us, except for the possible effects of the matter described in the Basis for Qualified Opinion paragraph above, the aforesaid financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at March 31,2015, and its profit and its cash flows for the year ended on that date.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditors' 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 paragraphs 3 and 4 of the Order.

2. As required by Section 143 (3) of the Act, we report that:

(a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.

(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.

(c) The Balance Sheet, the Statement of Profit and Loss, and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.

(d) Except for the possible effects of the matter described in the Basis for Qualified Opinion paragraph above, in our opinion, the aforesaid financial statements comply with the Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014.

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

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

i. The Company does not have any pending litigations which 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 Fund by the Company.

ANNEXURE REFERRED TO IN PARAGRAPH 1 'REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS' OF OUR REPORT TO THE MEMBERS OF BODHTREE CONSULTING LIMITED OF EVEN DATE FOR THE YEAR ENDED MARCH 31, 2015

(i) (a)The company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets;

(b) The fixed assets have been physically verified by the management at reasonable intervals; and no material discrepancies were noticed on such verification and material discrepancies noticed on such verification have been properly dealt with in the books of account;

(ii) Since the company does not have inventory Clauses (ii) (a), (ii) (b) and (ii) (c) are not applicable.

(iii) Based on the audit procedures applied by us and according to the information and explanations provided by the management, 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.

(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, for the purchase of fixed assets and for the sale of goods and services. During the course of our audit we have not observed any continuing failure to correct major weaknesses in internal control system.

(v) In our opinion and according to the information and explanations given to us, during the year the company has not accepted any deposits from the public within the meaning of the provisions of sections 73 to 76 or any other relevant provisions of the Companies Act and the rules framed there under.

(vi) As informed to us, maintenance of cost records has not been specified by the Central Government under sub-section (1) of section 148 of the Companies Act, 2013.

(vii) (a) According to the records of the company, the company is not regular in depositing the undisputed statutory dues of provident fund, income-tax, service tax, with the appropriate authorities and regular in depositing the Employee State Insurance, Value Added Tax with the appropriate authorities. The arrears of statutory dues as at March 31, 2015 for a period of more than six months from the date they became payable are as under.

S.No Nature of Due Amount in Rs.

1 Income Tax 1,22,08,347

2. Service Tax 1,11,64,148

3. Provident Fund 2,04,13,457

(b) According to the records of the company, there are no dues of income tax or sales tax or wealth tax or service tax or duty of customs or duty of excise or value added tax or cess which have not been deposited on account of dispute.

(c) According to the records of the company, there are no amounts required to be transferred to 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 does not have accumulated losses at the end of the financial year and the company has not incurred cash losses during the financial year covered by our audit and also in the immediately preceding financial year.

(ix) According to the records of the company, the company has not defaulted in repayment of dues to financial institution or bank or debenture holders.

(x) According to the records of the company, during the year the company has not given any guarantee for loans taken by others from bank or financial institutions.

(xi) According to the records of the company, the term loans taken during the year has been utilized for the purpose for which it was taken.

(xii) Based upon the audit procedures performed and information and explanations given by the management, we report that no fraud on or by the company has been noticed or reported during the course of our audit.

For Nisar & Kumar Chartered Accountants (Firm Registration No. 127820 W)

Sd/- T.N.V.Visweswara Rao Partner

Membership No. 204084

Place: Hyderabad Date: 30-05-2015


Mar 31, 2014

We have audited the accompanying financial statements of Bodhtree Consulting Limited (ithe Company-), which comprise the Balance Sheet as at March 31,2014, the Statement of Profit and Loss and Cash Flow Statement for the year ended and a summary of Significant accounting policies and other explanatory information.

Management''s Responsibility for the Financial Statements

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 principles generally accepted in India including Accounting Standards referred to in Section 211 (3C) of the Companies Act, 1956 (ithe 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.

Auditors'' Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on auditing issued by the Institute of Charted 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 misstatements.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

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

Basis for Qualified Opinion

I. Investment in equity shares of Pressmart Media Limited is being shown in the Balance sheet at cost of Rs.672 lakhs. We are of the opinion that there is a fall in the value of this investment which is ''other that temporary.'' The book value of investment as per the audited financial statements as at March 31,2013 (Audited Financial Statements as on March 31,2014 not available as on the date of report) is Rs 99.43 lakhs. Had the company provided for the difference amount ofRs 572.57 lakhs as diminution in the value of investment, the profit for the year would have been lower by the said amount.

ii. The company has invested an amount of Rs.50.50 lakhs in equity capital of Learnsmart India Private Limited. In addition to this an advance of Rs. 3.40 crores and a debit balance of Rs. 19.06 lakhs is receivable from the above named company. Based on the past performance of the company and the audited financial statement as on March 31,2013 (Audited Financial Statements as on March 31,2014 not available as on the date of report) we are of the view that there is a fall in the value of investment which is ''other than temporary.'' The recovery of the advance and the receivable also appears to be difficult. In view of this the company should have made a provision for the probable losses both for the investment as well as the advance amount. If the company had provided for the probable loss, the Profit for the year would have been lower by the said amount.

iii. The company has a debit balance ofRs. 2.91 crores is receivable from E2E Analitix Inc. Based on the duration it is outstanding and lack of progress in recovery procedures we are of the opinion that there is an uncertainty in recovery of said amount. In view of this, the company should have made a provision for the doubtful debts.

Qualified Opinion

In our opinion and to the best of our information and according to the explanations given to us, except for the possible effects of the matter described in the Basis for Qualified Opinion paragraph, 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 this case of the Balance Sheet, of the state of affairs of the Company as at March 31,2014;

(b) I n the case of the Statement of Profit and Loss, of the profit for the year ended on that date,

(c) I n 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 Section 227(4A) of the Act, we give in the Annexure

a statement on the matters specified in paragraphs 4 and 5 of the Order.

2. As required by Section 227(3) of the Act, we report that:

a) We have obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of ouraudit;

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 section 211 (3C) of the Act;

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

Annexureto Independent Auditors'' Report

Referred to in Paragraph 1 under the heading of "report on other legal and regulatory requirements" of our report of even date

1. In respect of its fixed assets:

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

(b) As explained to us, all the assets have not been physically verified by the management during the year but there is a regular programme of verification which, in our opinion, is reasonable having regard to the size of the company and the nature of its business. No material discrepancies were noticed on such physical verification.

(c) According to the information and explanations furnished to us, the Company has not disposed of a substantial part of its fixed assets during the year and the going concern status of the company is not affected.

2. In respect of its inventories, the Company is a Service Company, primarily rendering information technology services. Accordingly it does not hold any physical inventories. Thus Paragraph 4(ii) of the Order is not applicable.

3. In respect of the loans, secured or unsecured, granted or taken by the Company to/from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act, 1956:

a) The company has made the following advances to the parties covered in the register maintained under section 301 of the Companies Act, 1956.

a. Learnsmart India Private Limited -Rs. 3,39,56,501/-

b. PressmartMedial Limited 33,547/-

b) The company has not charged any interest on the above mentioned advance. In our opinion as given in the ''Basis for Qualified Opinion Paragraph'' in ''Independent Auditors'' Report'' the recovery of the above mentioned advance is doubtful.

c) According to the information and explanation given to us, the Company has not taken any loan from parties covered in the register maintained under section 301 of the Companies Act, 1956.

4. In our opinion, there are adequate internal control procedures commensurate with the size of the Company and the nature of its business with regard to purchase of inventories, fixed assets and for the sale of goods. During the course of our audit, we have not observed any continuing failure to correct the weaknesses in internal control system.

5. In respect of the contracts or arrangements referred to in Section 301 of the Companies Act, 1956:

(a) According to the information and explanation given to us we are of the opinion, that the transactions 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 explanation given to us, the transactions made in pursuance of contracts or arrangements entered in the register maintained under Section 301 of the Companies Act, 1956 aggregating during the year to Rs. 5,00,000/- or more in respect of any party have been made at prices which are reasonable having regard to prevailing market prices at the relevant time.

6. In our opinion and according to the information and explanation given to us, the Company has not accepted any deposits as defined under section 58A of the Companies Act''1956. Therefore, the provisions of Clause (vi) of paragraph 4 of the Order are not applicable to the Company.

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

8. To the best of our knowledge and as explained, the Central Government has not prescribed the maintenance of cost records under clause (d) of sub-section (1) of section 209 of the Companies Act, 1956, for the services rendered by the Company.

9. In respect of Statutory Dues:

(a) According to the books and records of the company, the company is not regular in depositing undisputed statutory dues including Provident Fund, Investor Education and Protection Fund, Employees'' State Insurance, Income Tax, Customs Duty, Excise Duty, Cess and other statutory dues with appropriate authorities.

(b) According to the information and explanations given to us, there are undisputed amounts payable in respect of such statutory dues which have remained outstanding as at 31st March, 2014 for a period exceeding six months from the date they became payable and the details of outstanding dues are as below:

Nature of Due Amount Outstanding for period exceeding 6 Months Provident Fund 1,30,33,814 TDS Deducted 1,71,38,291

10. The Company has no accumulated losses and has not incurred cash loss in the current Financial Year; however the Company has incurred cash loss in immediately preceding financial year.

11. In our opinion and according to the information and explanations given to us, the Company has not defaulted in repayment of its dues to banks and financial institutions.

12. Based on audit procedures and according to the information and explanations given to us, the Company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures or other securities.

13. In our opinion, the company is not a chit fund or a nidhi/mutual benefit fund / society. Therefore, the previsions of clause 4(xiii) of the Companies (Auditor''s Report) order, 2003 are not applicable to the company.

14. In our opinion, the Company is not dealing or trading in shares, securities, debentures or other investments and hence, the requirements of clause 4(xiv) of the Companies (Auditor''s Report) order, 2003 are not applicable to the Company.

15. 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.

16. In our opinion and according to the information and explanations given to us and on an overall examination of the books of accounts of the Company, no term loans were raised during the year.

17. In our opinion and according to the information and explanations given to us and on an overall examination of the balance sheet of the company, we report that, the funds raised on short-term basis have not been used for long-term investments.

18. The Company has not made preferential allotment of shares to parties and companies covered inthe Register maintained under Section 301 of the Companies Act, 1956.

19. No debentures have been issued by the company and hence, the question of creating securities in respect thereof does notarise.

20. The company has not raised any monies byway of public issues during the year.

21. On the basis of our examination and according to the information and explanations given to us, no material fraud, on or by the Company, has been noticed or reported during the year.

For PAVULURI & Co. Chartered Accountants Place: Hyderabad Firm Registration No: 012194S Date: 28.05.2014

Sd/-

CA B KANTHI SREE PARTNER M.No.: 224434


Mar 31, 2013

Report On The Financial Statements

We have audited the accompanying financial statements of Bodhtree Consulting Limited, which comprise the Balance Sheet as at March 31, 2013, and the Statement of Profit and loss for the year then ended, and a summary of significant accounting policies and other explanatory information.

Managements'' Responsibility for the Financial Statements

Management is responsible for the preparation of these financial statements that give a true and fair view of the financial position, financial performance and cash flows of the Company in accordance with the Accounting Standards referred to in sub-section (3C) of section 211 of the Companies Act, 1956 .This responsibility includes the design, implementation and maintenance of internal control relevant to the preparation and presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

Auditors'' Responsibility

Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our audit in accordance with the Standards on Auditing issued by the Institute of Chartered Accountants of India. Those Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about theamounts and disclosures in the financial statements. The procedures selected depend on the auditor''s judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the Company''s preparation and fair presentation of the financial statements in order to design audit procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of accounting policies used and the reasonableness of the accounting estimates made by management, as well as evaluating the overall presentation of the financial statements.

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

Basis for Qualified Opinion

i. Investment in equity shares of Pressmart Media Limited is being shown in the Balance Sheet at cost ofRs. 672 lakhs. We are of the opinion that there is a fall in the value of this investment which is ''other than temporary.'' The book value of investment as per the audited financial statements as at March 31,2012 (Audited Financial Statements as on March 31, 2013 not available as on the date of report) is Rs. 209.88 lakhs. Had the company provided for the difference amount of Rs. 462.12 lakhs as diminution in the value of investment, the loss for the year would have been higher by the said amount.

ii. The company has invested an amount ofRs. 50.50 lakhs in equity capital of Learnsmart India Private Limited. In addition to this an advance of Rs. 3.40 crores and a debit balance of Rs. 19.06 lakhs is receivable from the above named company. Based on the past performance of the company and the audited financial statement as on March 31, 2012 Audited Financial Statements as on March 31, 2013 not available as on the date of report) we are of the view that there is a fall in the value of investment which is ''other than temporary.'' The recovery of the advance and the receivable also appears to be difficult. In view of this the company should have made a provision for the probable losses both for the investment as well as the advance amount. If the company had provided for the probable loss, the loss for the year would have been higher by the said amount.

Qualified Opinion

In our opinion and to the best of our information and according to the explanations given to us, except for the possible effects of the matter described in the Basis for Qualified Opinion paragraph, the financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at March 31,2013;

(b) In the case of the Profit and Loss Account, of the profit/loss for the year ended on that date,

(c) 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, issued by the Central Government of India in terms of Subsection (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.

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 purposes ofouraudit;

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 and Statement of Profit and Loss dealt with by this Report are in agreement with the books of account;

d. In our opinion, subject to the observations made in the ''basis for qualified opinion'' paragraph, the Balance Sheet and Statement of Profit and Loss comply with the accounting standards referred to in Subsection (3C) of Section 211 of the Companies Act, 1956;

e. On the basis of written representations received from the Directors, as on 31st March, 2013 and taken on record by the Board of Directors, none of the Directors is disqualified as on 31st March, 2013 from being appointed as 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 441Aofthe 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.

ANNEXURE

As required by the Companies (Auditor''s Report) Order, 2003 issued by the Central Government of India in terms of Subsection (4A) of Section 227 of the Companies Act, 1956 ( 1 of 1956 ) and on the basis of such checks, as we considered appropriate, we further report that:

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

(b) Fixed assets have been physically verified by the management during the period and no material discrepancies were identified on such verification.

(c) Some Fixed Assets have been disposed off during the year. However, the same does not affect the going concern of the entity.

(ii) As the Company is service Sector Company it does not have any inventory.

(iii) (a) The company has made the following advances to the parties covered in the register maintained under section 301 of the Companies Act, 1956.

(a) Learnsmart India Private Limited- Rs. 3,39,56,501 /-

(b) Pressmart Media Limited -Rs. 33,547/- The company has not charged any interest on the above mentioned advance. In our opinion as given in the ''Basis for Qualified Opinion Paragraph'' in ''Independent Auditors'' Report'' the recovery of the above mentioned advance is doubtful.

(b) According to the information and explanation given to us, the Company has not taken any loan from parties covered in the register maintained under section 301 of the Companies Act, 1956.

(iv) In our opinion and according to the information and explanations given to us, there is an adequate internal control system commensurate with the size of the Company and the nature of its business, for the purchase of fixed assets, inventory and sale of goods and services. During the course of our audit, we have not observed any major weakness or continuing failure to correct any major weakness in the internal control system of the Company in respect of these areas.

(v) Transactions that need to be entered in the register in pursuance of section 301 of the Act have been entered. In our opinion and based on the information and explanation given to us transactions of the value of Rs. 5 lakhs or more have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

(vi) The Company has not accepted any deposits from the public.

(vii) The company has an internal audit system commensurate with the size and nature of its business

(viii) To the best of our knowledge and as explained, the Central Government has not prescribed the maintenance of cost records under clause (d) of sub-section (1) of section 209 of the Companies Act, 1956, for the products of the Company.

(ix) (a) There is a considerable delay in depositing undisputed statutory dues including provident fund, service tax and income tax during the financial year. However, according to explanations and information given to us there were no undisputed statutory dues including Investor Education and Protection Fund, Income Tax, Sales tax, Wealth tax, Service tax, Customs duty, Excise duty and other statutory dues outstanding for a period of more than six month from the date they became payable.

(x) The company has accumulated losses at the end of the financial year, however the accumulated losses is less than fifty percent of the Networth of the company as at the end of the financial year. The company has incurred Cash loss during the financial year. The company has not incurred any Cash losses in the preceding financial year.

(xi) The company has not defaulted in repayment of any dues to its banks in respect of loans taken by it and there are no dues payable to financial institutions.

(xii) According to the information and explanations given to us and based on the documents and records produced before us, the Company has not granted any loans or advances on the basis of security by way of pledge of shares, debentures and other securities.

(xiii) In our opinion, the Company is not a chit fund or a nidhi / mutual benefit fund / society. Therefore, the provisions of clause 4(xiii) of the Companies (Auditor''s Report) Order, 2003 (as amended) are not applicable to the Company.

(xiv) In our opinion, the Company is not dealing in or trading in shares, securities, debentures and other investments. Accordingly, the provisions of clause 4(xiv) of the Companies (Auditor''s Report) Order, 2003 (as amended) are not applicable to the Company.

(xv) According to the information and explanations given to us, the Company has not given any guarantee for loans taken by others from bankorfinancial institutions.

(xvi) According to the information and explanations given to us, the company has not taken any term loans during the financial year.

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

(xviii) The Company has made preferential allotment of shares to parties or companies covered in the register maintained under section 301 of the Companies Act, 1956. In our opinion and according to the information and explanations given to us the price at which the shares have been issued is not prejudicial to the interest of the company.

(xix) The Company did not issue any debentures during the period.

(xx) The Company has not raised any money through a public issue during the period.

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

For Gokhale & Co

Chartered Accountants

FRN 000942S

Chandrashekhar Gokhale

Partner

Membership No 023839

Place: Hyderabad

Date: 16.05.2013


Mar 31, 2012

We have audited the attached Balance Sheet of BODHTREE CONSULTING LIMITED, Hyderabad as at March 31, 2012 and 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 these financial statements based on our audit.

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

1 As required by the Companies (Auditors' Report) Order, 2003 issued by the Central Government of India in terms of Subsection (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.

2 Investment in equity shares of Pressmart Media Limited is being shown in the Balance Sheet at cost of Rs. 672 Lakhs. We are of the opinion that there is a fall in the value of this investment which is 'other than temporary. The book value of the investment as at March 31, 2012, based on unaudited financial results, is Rs. 213.33 Lakhs. Had the company provided for the difference amount of Rs. 458.67 Lakhs as diminution in the value of investment, the company would have shown a Net loss for the year under audit.

3. Further to our comments in the annexure referred to in paragraph 1 above and our observations in para 2 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 those books

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

d. In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report comply with the accounting standards referred to in Subsection (3C) of Section 211 of the Companies Act, 1956.

e. On the basis of written representations received from the Directors, as on 31st March, 2012 and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2012 from being appointed as director in terms of clause (g) of Subsection (1) of Section 274 of the Companies Act, 1956.

f. In our opinion and to the best of our information and according to the explanations given to us, the said 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:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2012;

(b) In the case of the Profit & Loss Account, of the Profit of the company for the year ended on March 31, 2012; and

(c) In the case of the Cash Flow Statement of the Cash Flows for the year ended on March 31, 2012

ANNEXURE

As required by the Companies (Auditor's Report) Order, 2003 issued by the Central Government of India in terms of Subsection (4A) of Section 227 of the Companies Act, 1956 (1 of 1956) and on the basis of such checks, as we considered appropriate, we further report that:

(i) The company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets. The fixed assets have been physically verified by the management according to the phased programme designed to cover all assets on rotation basis. In respect of assets verified according to this programme, which is reasonable, no material discrepancies were noticed. The company has not disposed off substantial part of its fixed assets during the year.

(ii) As at the end of the year Rs. 0.34 Lakhs is receivable from Pressmart Media Ltd. and Rs. 339.56 Lakhs is receivable from Learnsmart (India) Private Limited. No interest has been received on the above advances. Apart from the above the company has not taken or given any loans, secured or unsecured from companies, firms or other parties covered in the register maintained under Section 301 of the Companies Act.

(iii) 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, for the purchase of fixed assets and for the sale of its goods and services.

(iv) Transactions that need to be entered into a register in pursuance of Section 301 of the Act have been entered. In our opinion and based on information and explanations given to us transactions of the value of Rs. 5 Lakhs or more have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

(v) The company has not accepted deposits from the public covered by the provisions of Section 58 A of the Companies Act.

(vi) The company has an internal audit system commensurate with its size and nature of its business.

(vii) The company is not required to maintain any cost records under clause (d) of sub-section (1) of section 209 of the Act.

(viii) The company, in general, is regular in depositing Provident Fund and ESI dues with the appropriate authorities. However, as at March 31, 2012 Provident Fund (both employer's contributions and employees' contributions) amounts are pending payable from January 2012 onwards. According to the explanations and information given to us there were no undisputed statutory dues including Investor Education and Protection Fund, Income-Tax, Sales-Tax, Wealth-Tax, Service-Tax, Custom Duty, Excise Duty and other statutory dues outstanding for a period of more than six months from the date they became payable.

(ix) The company had no accumulated losses. The company has not incurred cash losses for the year under audit. For the immediately preceding financial year the company had incurred a cash loss.

(x) The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

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

(xii) During the year under audit the company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under Section 301 of the Companies Act.

(xiii) According to the information and explanations given to us and on an overall examination of the financial statements, we report that no part of the funds raised on short-term basis have been used for long-term investments.

(xiv) On the basis of information and explanations given to us no fraud on or by the company has been noticed or reported during the year.

The other clauses of the order are not applicable to the company for the year under audit.

For Gokhale & Co

Chartered Accountants

Chandrashekhar Gokhale

Partner

Membership No 023839

Firm Regn. No 000942S


Mar 31, 2010

We have audited the attached Balance Sheet of BODHTREE CONSULTING LIMITED , Hyderabad as at March 31, 2010 and 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. Our responsibility is to express 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 require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

1 As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of Subsection (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.

2. Further to our comments in the annexure referred to in paragraph 1 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 those books

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

d. In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report comply with the accounting standards referred to in Subsection (3C) of Section 211 of the Companies Act, 1956.

e. On the basis of written representations received from the Directors, as on 31st March, 2010 and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2010 from being appointed as director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956

f. In our opinion and to the best of our information and according to the 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:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2010;

(b) In the case of the Profit & Loss Account, of the Profit of the company for the year ended on March 31, 2010; and

(c) In the case of the Cash Flow Statement of the Cash Flows for the year ended on March 31, 2010

ANNEXURE TO AUDITORS REPORT

As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of Subsection (4A) of Section 227 of the Companies Act, 1956 ( 1 of 1956 ) and on the basis of such checks, as we considered appropriate, we further report that:

(i) The company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets. The fixed assets have been physically verified by the management according to the phased programme designed to cover all assets on rotation basis. In respect of assets verified according to this programme, which is reasonable, no material discrepancies were noticed. The company has not disposed off substantial part of its fixed assets during the year.

(ii) As at the end of the year an amount of Rs. 10.54 Lakhs is receivable from Pressmart Media Ltd. and Rs. 338.17 Lakhs is receivable from Learnsmart (India) P. Ltd. No interest has been received on the above advances. Apart from the above the company has not taken or given any loans, secured or unsecured from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act.

(iii) 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, for the purchase of fixed assets and for the sale of its goods and services.

(iv) Transactions that need to be entered into a register in pursuance of section 301 of the Act have been entered. In our opinion and based on information and explanations given to us transactions of the value of Rs. 5 lakhs or more have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

(v) The company has not accepted deposits from the public covered by the provisions of section 58 A of the Companies Act.

(vi) The company has an internal audit system commensurate with its size and nature of its business.

(vii) The company is not required to maintain any cost records under clause (d) of sub-section (1) of section 209 of the Act.

(viii) The company is regular in depositing Provident Fund and ESI dues with the appropriate authorities. According to the explanations and information given to us there were no undisputed statutory dues including Investor Education and Protection Fund, Income-tax, Sales-tax, Wealth Tax, Service Tax, Custom Duty, Excise Duty and other statutory dues outstanding for a period of more than six months from the date they became payable.

(ix) The company had no accumulated losses and has not incurred cash losses during the financial year covered by our audit or in the immediately preceding financial year.

(x) The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

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

(xii) During the year under audit the company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section 301 of the Companies Act.

(xiii) According to the information and explanations given to us and on an overall examination of the financial statements, we report that no part of the funds raised on short-term basis have been used for long-term investments.

(xiv) On the basis of information and explanations given to us no fraud on or by the company has been noticed or reported during the year.

The other clauses of the order are not applicable to the company for the year under audit. For Gokhale & Co Chartered Accountants

For Gokhale & Co

Chartered Accountants



Chandrashekhar Gokhale

Partner

Membership No 23839

Firm Regn. No 000942S



Date: 28th May, 2010






Mar 31, 2009

We have audited the attached Balance Sheet of BODHTREE CONSULTING LIMITED , Hyderabad as at March 31, 2009 and 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. Our responsibility is to express 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 require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

1 As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of Subsection (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.

2. Further to our comments in the annexure referred to in paragraph 1 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 those books

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

d. In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report comply with the accounting standards referred to in Subsection (3C) of Section 211 of the Companies Act, 1956.

e. On the basis of written representations received from the Directors, as on 31st March, 2009 and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31s March, 2009 from being appointed as director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956

f. In our opinion and to the best of our information and according to the 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:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at March 31,2009;

(b) In the case of the Profit & Loss Account, of the Profit of the company for the year ended on March 31, 2009;and

(c) In the case of the Cash Flow Statement of the Cash Flows for the year ended on March 31,2009

Annexure to Auditors Report

As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of Subsection (4A) of Section 227 of the Companies Act, 1956 ( 1 of 1956 ) and on the basis of such checks, as we considered appropriate, we further report that:

(i) The company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets. The fixed assets have been physically verified by the management according to the phased programme designed to cover all assets on rotation basis. In respect of assets verified according to this programme, which is reasonable, no material discrepancies were noticed. The company has not disposed off substantial part of its fixed assets during the year.

(ii) As at the end of the year an amount of Rs 33.10 Lakhs is receivable from Pressmart Media Ltd and an amount of Rs 270.04 Lakhs is receivable from Learnsmart (India) Pvt. Ltd. No interest has been received on the above advances. Apart from the above the company has not taken or given any loans, secured or unsecured from companies, firms or other parties covered in the register maintained under section 301 of the Companies Act.

(iii) In our opinion, and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the company and the nature of its business, for the purchase of fixed assets and for the sale of its products.

(iv) Transactions that need to be entered into a register in pursuance of section 301 of the Act have been entered. In our opinion and based on information and explanations given to us transactions of the value of Rs 5 lakhs or more have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.

(v) The company has not accepted deposits from the public covered by the provisions of section 58 A of the Companies Act.

(vi) The company has an internal audit system commensurate with its size and nature of its business.

(vii) The company is not required to maintain any cost records under clause (d) of sub-section (1) of section 209 of the Act.

(viii) The company is regular in depositing Provident Fund and ESI dues with the appropriate authorities. According to the explanations and information given to us there were no undisputed statutory dues including Investor Education and Protection Fund, Income-tax, Sales-tax, Wealth Tax, Custom Duty, Excise Duty etc outstanding for a period of more than six months from the date they became payable.

(ix) The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

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

(xi) During the year the company has not made any preferential allotment of shares to parties and companies covered in the Register maintained under section 301 of the Companies Act.

(xii) On the basis of information and explanations given to us no fraud on or by the company has been noticed or reported during the year.

The other clauses of the order are not applicable to the company for the year under audit.

ForGokhale&Co

Chartered Accountants

Chandrashekhar Gokhale

Partner

Membership No 23839


Mar 31, 2004

We have audited the attached Balance Sheet of BODHTREE CONSULTING LIMITED (Formerly Anant Resources Limited), Hyderabad as at March 31, 2004 and 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. Our responsibility is to express 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 require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management as well as evaluating the overall financial statement presentation. We believe that our audit provides a reasonable basis for our opinion.

1. As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of Subsection (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.

2. For the Investment in Equity shares of Manyfutures Inc., USA, and Perigon LLC, USA ( both of which are unlisted companies ), neither the assets and liabilities position nor any independent market valuation is available and in the absence of above, effect of permanent fall, if any, in the value of investment could not be quantified.

3. Further to our comments in the annexure referred to in paragraph 1 and subject to our comments in paragraph 2 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 those books

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

d. In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report comply with the accounting standards referred to in Subsection (3C) of Section 211 of the Companies Act, 1956..

e. On the basis of written representations received from the Directors, as on 31st March, 2004 and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2004 from being appointed as director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956.

f. In our opinion and to the best of our information and according to the 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:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2004;

(b) In the case of the Profit & Loss Account, of the Profit of the company for the year ended on March 31, 2004; and

(c) In the case of the Cash Flow Statement of the Cash Flows for the year ended on March 31, 2004.

Annexure to the Auditors Report

As required by the Companies (Auditors Report) Order, 2003 issued by the Central Government of India in terms of Subsection (4A) of Section 227 of the Companies Act, 1956 (1 of 1956) and on the basis of such checks, as we considered appropriate, we further report that:

(i) The Company is maintaining proper records showing full particulars, including quantitative details and situation of fixed assets. The fixed assets have been physically verified by the management according to the phased programme designed to cover all assets on rotation basis. In respect of assets verified according to this programme, which is reasonable, no material discrepancies were noticed. The company has not disposed off substantial part of its fixed assets during the year.

(ii) 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 Act.

(iii) In our opinion, and according to the information and explanations given to us, there are adequate internal control procedures commensurate with the size of the company and the nature of its business, for the purchase of fixed assets and for the sale of its products.

(iv) Transactions that need to be entered into a register in pursuance of section 301 of the Act have been entered. In our opinion and based on information and explanations given to us transactions of the value of Rs.5 lakhs or more have been made at prices which are reasonable having regard to the prevailing market prices at the relevant time.,

(v) The company has not accepted deposits from the public covered by the provisions of section 58 A of the Companies Act.

(vi) The company has an internal audit system commensurate with its size and nature of its business.

(vii) The company is not required to maintain any cost records under clause (d) of sub-section (1) of section 209 of the Act.

(viii) The company is regular in depositing Provident Fund and ESI dues with the appropriate authorities. According to the explanations and information given to us there were no undisputed statutory dues including Investor Education and Protection Fund, Income-tax, Sales-tax, Wealth Tax, Custom Duty, Excise Duty etc outstanding for a period of more than six months from the date they became payable.

(ix) The company has not granted any loans and advances on the basis of security by way of pledge of shares, debentures and other securities.

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

(xi) On the basis of information and explanations given to us no fraud on or by the company has been noticed or reported during the year.

The other clauses of the order are not applicable to the company for the year under audit.

for Gokhale & Co

Chartered Accountants

Chandrashekhar Gokhale

Partner

Membership No 23839


Mar 31, 2003

We have audited the attached Balance Sheet of BODHTREE CONSULTING LIMITED (Formerly Anant Resources Limited), Hyderabad as at March 31, 2003 and the Profit and Loss Account and the Cash Flow Statement for the 9 months financial 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.

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

1. As required by the Manufacturing and other Companies (Auditors Report Order, 1988) issued by the Central Government of India in terms of Subsection (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:

2. Investment in Equity shares of Hypersoft Limited has been shown at cost of acquisition and that in Imenso.com has been shown at 5 % of cost of acquisition. In the absence of any market quotation for shares in Hypersoft and investees assets and liabilities position in the case of Immenso.com effect of permanent fall, if any, in the value of investment could not be quantified.

3. Further to our comments in the annexure referred to in paragraph 1 and subject to our comments in paragraph 2 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 those books

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

d. In our opinion, the Balance Sheet, Profit & Loss Account and Cash Flow Statement dealt with by this report comply with the accounting standards referred to in Subsection (3C) of Section 211 of the Companies Act, 1956.

e. On the basis of written representations received from the Directors, as on 31st March, 2003 and taken on record by the Board of Directors, we report that none of the Directors is disqualified as on 31st March, 2003 from being appointed as director in terms of clause (g) of sub-section (1) of section 274 of the Companies Act, 1956

f. In our opinion and to the best of our information and according to the 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:

(a) In the case of the Balance Sheet, of the state of affairs of the Company as at March 31, 2003;

(b) In the case of the Profit & Loss Account, of the Loss of the company for the 9 (ponths financial year ended on March 31, 2003; and

(c) In the case of the Cash Flow Statement of the Cash Flows for the 9 months financial year ended on March 31, 2003.

Annexure to the Auditors Report

As required by the Manufacturing and Other Companies (Auditors Report) Order, 1988 issued by the Company Law board in terms of Section 227(4A) of the Companies Act, 1956 and on the basis of such checks as we considered appropriate, we further report that:

1. The Company has maintained proper records showing full particulars including quantitative details and situation of all fixed assets. The fixed assets have been physically verified by the management according to the phased programme designed to cover all assets on rotation basis. In respect of assets verified according to this programme which is reasonable, no material discrepancies were noticed

2. None of the fixed assets have been revalued during the year.

3. The company has not taken any loans, secured or unsecured, from companies, firms or other parties listed in the Register maintained under Section 301 of The Companies Act, 1956 or from companies under the same management as defined under sub-section (IB) of section 370 of The Companies Act, 1956.

4. The company has not granted any loans, secured or unsecured, to companies, firms or other parties listed in the Register maintained under section 301 of the Companies Act, 1956 or to companies under the same management as defined under sub-section (IB) of section 370 of The companies Act, 1956.

5. The company has given loans and advances in the nature of loans to its employees who have been repaying the same as stipulated.

6. In our opinion and according to the informatiorr and explanations given to us there are adequate internal control procedures commensurate with the size of the company and the nature of its business with regard to purchase of machinery, equipment and other assets, and for the sale of its products.

7. In our opinion and according to information and explanation given to us, the transactions made in pursuance of contract or arrangement entered in the register maintained under section 301 of The Companies Act, 1956 aggregating to Rs 50,000 or more during the year have been made at prices which are reasonable having regard to prevailing market prices.

8. The company has not accepted any deposits from the public covered by the provisions of Section 58A of The Companies Act, 1956.

9 The company has an internal audit system commensurate with its size and nature of its business.

10 The company is not required to maintain any cost records under Section 209(1) of the Companies Act, 1956 (1 of 1956).

11 As explained to us the provisions of the ESI Act are not applicable to the company for this year. The company is regular in depositing the Provident Fund dues with the appropriate authority.

12 According to the information and explanations given to us there were no undisputed amounts payable in respect of income tax, wealth tax, sales tax, customs duty or excise duty outstanding as at the year-end for more than 6 months.

13 According to the information and explanations given to us, no personal expenses of employees or directors have been charged to the revenue account other than those payable under contractual obligations and in accordance with generally accepted business practices.

14 As per the information and explanations given to us, the company is not a sick industrial company within the meaning of clause (o) of sub-section (1) of section 3 of the Sick Industrial Companies (Special Provisions) Act, 1985 (1 of 1986).

(B) 1 The Company has a reasonable system of allocating man-hours utilised to the relative > jobs of development of software, commensurate with its size and nature of its business.

The other provisions of the order are not applicable to the company for the year under audit.

for Gokhale & Co Chartered Accountants

Chandrashekhar Gokhale Proprietor Membership No 23839

 
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